Cityfile: New York's Most Notable and Influential

You can add The Carlyle Group to the long, long list of financial firms looking to cut back on their private jet budgets. The Washington-based private equity giant that counts members of the Bush family as investors is now looking to unload its 2004 Gulfstream G450. Like its rivals, it's been a challenging few months for Carlyle, which was ranked the largest private equity firm last year by Private Equity International. In December, the firm announced plans to slash 10 percent of its staff—the first layoffs in Carlyle's 20-year history—and it also said it planned to close down its Silicon Valley office. The jet broker responsible for selling the G4 didn't indicate how much Carlyle is hoping to get for the plane. (Similar models run about $30 million.) But if you're in the market for a jet that's made its fair share of trips to Kennebunkport and Crawford, you may want to set aside a little extra to replace all the gaudy gold plating in the bathroom and kitchen. Photos and detailed specs after the jump. More

• Andrew Cuomo may demand the return of $4 billion in bonuses paid by Merrill Lynch just before it was acquired by Bank of America. [BN]
• U.S. GDP shrank 3.8% in the fourth quarter, the most since 1982. [BN, NYT]
• Two senators have introduced legislation to regulate hedge funds. [NYT]
• A handful of ex-Merrill execs were victims of Bernie Madoff. [WSJ]
• More layoffs at Morgan and Goldman are in the works. [Dealbreaker]
• A silver lining to the recession (at least for non-lawyers): Corporate firms are dropping rates and looking at "alternative billing practices." [NYT]
• "Private equity is not dead," says Henry Kravis. Glad to hear it! [DB]

♦  With so many companies looking to tap into the $700 billion bailout, it's clear there won't be enough to go around, and a lot more work (and cash) is going to be needed to fix the problem. [WSJ]
♦  The latest company to convert itself into a bank to tap into government funds: American Express, which earned approval from the Fed to become a commercial bank yesterday as it seeks to cover rising credit card defaults. [Bloomberg]
♦  GM's possible bankruptcy was a major topic of conversation at the White House yesterday when Barack Obama met with George Bush. Meanwhile, shares of GM fell to $3.36 yesterday, its lowest level since 1949. [WSJ, Bloomberg]
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Further evidence it's an election year: One of the biggest unions in the country, Service Employees International Union (or S.E.I.U.) is teaming up with MoveOn.org and Amnesty International to expand its campaign against private equity firms. (This is the same group, as you may recall, that staged protests outside the homes of KKR's Henry Kravis and Carlyle Group's David Rubenstein last year.) They've even roped in comedian Lewis Black, who's now appearing in commercials to rail against buyout firms for downsizing companies, taking on too much debt, and treating employees like numbers on a spreadsheet. Cute! Kinds of sounds like Viacom, the company that signs Black's paycheck, too!