Category Archives: Republic Airlines (2nd)

Republic Airways Holdings loses $14.9 million in the second quarter

Republic Airways Holdings (Indianapolis) reported operating revenues of $739.7 million for the quarter ended June 30, 2011, an increase of 8.3%, compared to $683.3 million for the same period last year. The increase in revenues is primarily due to a 10.6% increase in Frontier Airlinesโ€™ unit revenues. On a GAAP basis, the Company reported a net loss of $14.9 million, or $0.31 per diluted share, for the quarter ended June 30, 2011, compared to net income of $2.6 million, or $0.08 per diluted share, for the same period last year.

The total operational fleet of all subsidiary airlines increased from March 31, 2011, by two aircraft to 282 aircraft as of June 30, 2011. The Company increased its Frontier Airbus fleet by leasing five additional A320 aircraft during the quarter. Also, the Company returned two Embraer ERJ 145 aircraft to the lessor and sold one Airbus A318 aircraft.

By the end of September 2011, the Company expects to have transitioned all 14 Republic Airlines (2nd) Embraer ERJ 170 aircraft from its Frontier operation into fixed-fee service on behalf of Delta Air Lines. In order to backfill a portion of the capacity vacated by these aircraft, the Company expects to place into service for Frontier five of the seven Chautauqua Airlines ERJ 145 aircraft being removed from the Continental Express fixed-fee service during 2011. The other two ERJ 145 aircraft removed from Continental were returned to the lessor in the second quarter. The Company also expects to take delivery of six Embraer ERJ 190 aircraft beginning in September. Those aircraft are expected to be placed into the Frontier operation by January 2012.

Frontier Airlines-Republic Airlines Slide Show: CLICK HERE

Copyright Photo: Mark Durbin. Please click on the photo for additional information.

Republic Airlines to remove the last six ERJ 170s from the Frontier operation, will now operate 14 ERJ 170s for Delta

Republic Airlines (2nd) (Indianapolis) will remove the last six Embraer ERJ 170s from the Frontier Airlines branded operation by September 30, 2011. Republic will now operate 14 ERJ 170s under the Delta Connection banner by October 1, 2011.

Copyright Photo: Mark Durbin. Please click on the photo for the full details.

Frontier Airlines reduces its fees, launches “Frontier Express”

Frontier Airlines (2nd) (Denver) yesterday (April 12) announced a move to significantly enhance the guest experience with new fee reductions and policy changes effective for tickets purchased on or after today, April 13, 2011. Key changes include the addition of no change fees for itinerary changes made prior to the day of travel on the airlineโ€™s popular Classic fares and the expansion of the airlineโ€™s guest commitment posted on FrontierAirlines.com.

For tickets purchased on or after April 13, 2011, Frontier will reduce the change fee from $100 to $50 on Economy fares and will also add a discount on the first checked bag fee for any guest who checks in online at FrontierAirlines.com. This discount is currently set at $5, which reduces the checked bag fee from $20 to $15 on the Economy fare. Guests traveling on Classic and Classic Plus fares will continue to receive two complimentary checked bags on every flight.

Frontier also added another level of transparency for its guests by posting its revised guest commitment online. The guest commitment outlines what a Frontier Airlines guest can expect in any kind of irregular operation including, flight delays and cancelations. The guest commitment can be found in the customer service section at FrontierAirlines.com.

Other key changes effective April 13, 2011, include:

Bicycles:

Frontier is removing the flat fee for checked bicycles and will now include them in the standard baggage allowance, meaning customers traveling on Classis or Classic Plus fares can include their bike as one of their two complimentary checked bags and Economy passengers would pay $20 if the bike is one of their first two checked bags. Bikes will be exempt from any oversize fees, but subject to overweight fees and excess bag fees, if applicable. This is similar to the carrierโ€™s current policy for golf clubs and skis.

Policy changes:

Name changes will now be permitted for $50 on Classic and Economy tickets. Classic Plus ticket holders and Summit-level EarlyReturns members can change a name at no charge. In addition to the name-change fee, guests will also be responsible for paying any difference in fare at the time the change is made.

Fees for same-day confirmed flight changes on Classic tickets will be reduced to $25 from $50 with no fare difference.
The excess bag fee โ€“ for a third bag and beyond โ€“ will be standardized at $50 per bag for all markets, domestic and international.

Included in the guest enhancements is the launch of Frontier Express, a branding designation that will now be used for all Frontier flights operated on ERJ 135, ERJ 145 and Q400 aircraft. The Frontier Express branding will indicate that the in-flight service and amenities will differ from Frontierโ€™s standard mainline service found on Airbus, Embraer 190 and Embraer 170 aircraft.

Copyright Photo: Brian McDonough. Please click on the photo for additional information including Frontier’s new partnership with The Wilderness Society.

Frontier-Republic Slide Show: CLICK HERE

Frontier Airlines adds five new routes and three cities

Frontier Airlines (2nd) (Denver) has announced plans to add Knoxville, TN (TYS) (June 6); Provo, UT (PVU) (June 20) and Sioux Falls, SD (FSD) (July 4) to its route map with the addition of nonstop service from its Denver hub. These three markets bring the total of nonstop destinations served from Denver by Frontier to 63.

In addition, the carrier announced it will launch new nonstop service between its Kansas City hub and both Minneapolis/St. Paul, MN (MSP) (June 6) and San Antonio, TX (SAT) (June 7) this summer. The new service rounds out the carrierโ€™s summer schedule that features increased capacity in top markets and the return of popular summer seasonal service.

All of the new routes will be operated by Republic Airlines’ (2nd) Embraer ERJ 170s and ERJ 190s except the Knoxville route which will be operated by Frontier A319s.

Frontier will drop the Denver-Long Beach route on February 16.

Frontier Slide Show: CLICK HERE

Frontier-Republic Slide Show: CLICK HERE

Copyright Photo: Michael B. Ing. Please click on the photo for additional information.

Updated Frontier Route Map:

Republic Airways Holdings swings to the red in the fourth quarter and 2010

Republic Airways Holdings Inc. (Indianapolis) reported operating revenues of $649.8 million for the quarter ended December 31, 2010, a 2.0% increase, compared to $637.3 million for the same period last year. The increase in revenues is the result of higher unit revenues from the Companyโ€™s Frontier operations.

On a GAAP basis, the holding company reported a net loss of $1.3 million, or $0.03 per diluted share, for the fourth quarter ended December 31, 2010, compared to $20.1 million of net income, or $0.55 per diluted share, for the same period last year.

During the fourth quarter of 2010, the Companyโ€™s pre-tax loss of $3.0 million was negatively impacted by a total of $15.1 million of items: $14.5 million of fleet transition costs for A318 and Q400 aircraft, $2.5 million of expenses related to the integration of the branded business, offset by $1.9 million in benefits for fuel hedges.

Excluding the negative impact of the items during the quarter, the Company is reporting net income of $7.4 million and earnings per diluted share of $0.18 for the fourth quarter of 2010. Comparatively, the Company reported ex-item net income for the fourth quarter of 2009 of $2.1 million, or $0.06 per diluted share.

For the full year 2010, the holding company reported revenues of $2.7 billion compared to $1.6 billion for 2009. On a GAAP basis, the Company reported a net loss for 2010 of $13.8 million, or $0.38 per diluted share compared to net income of $39.7 million, or $1.13 per diluted share for the full year 2009.

Frontier Airways Holdings joins AMR Corporation as the only two large airline groups to lose money in the United States in 2010.

The operational fleet decreased from September 30, 2010 by two aircraft to 275 aircraft as of December 31, 2010. During the quarter, the Company removed one Airbus A318 aircraft and one Q400 aircraft from the fleet.

The total operational fleet as of December 31, 2010 was 275 aircraft, a reduction of 15 aircraft, compared to the 290 aircraft operated as of December 31, 2009.

The Company removed eight Q400 aircraft from its Frontier operations. Five were returned to the lessor, two were classified as held for sale as of December 31, 2010, and one has been subleased. Seven CRJ200 aircraft were returned to the lessor from the fixed-fee service with Continental Airlines. Four A318 aircraft were removed from our Frontier operation and sold or returned to the lessor. Two ERJ 145 aircraft were subleased offshore and one ERJ 170 was sold. Four Embraer ERJ 190 aircraft and three Airbus A320 aircraft were placed into our Frontier operation during the year.

Copyright Photo: Bruce Drum. Please click on the photo for background information on the holding company and aircraft operated.

Republic Airways Holdings’ Fixed-Fee Route Map (not including Frontier Airlines branded operations):

Frontier Airlines starts its Omaha expansion

Frontier Airlines (2nd) (Denver) is kicking off its Omaha (OMA) expansion this weekend with the return of seasonal nonstop service to Orlando (MCO) and St. Petersburg/Clearwater (PIE) and the launch of new non-stop service to the sunny beaches of San Diego (SAN).

Nonstop service between Omaha and Orlando begins today (January 15, 2011), and the nonstop service to St. Petersburg/Clearwater and San Diego both begin on Sunday, January 16. Frontier will also launch nonstop service from Omaha to Los Angeles (LAX) beginning on February 14, 2011.

Frontier will assign its Embraer ERJ 190 aircraft to the new routes – operated by Republic Airlines (2nd). The E190 features comfortable all-leather seating in a two-by-two configuration. The E190 aircraft comes equipped with four rows of STRETCH seating, which provides an additional five inches of legroom. The aircraft will also feature in-flight Wi-Fi in spring of 2011.

Copyright Photo: James Helbock. Please click on the photo for additional aircraft details.

Frontier Airlines starts seasonal Denver-Steamboat Springs/Hayden service with ERJ 190s

Frontier Airlines (2nd) (Denver) has started seasonal nonstop service between its Denver International Airport (DEN) hub and the Steamboat Springs/Hayden airport (HDN), a well known ski destination. The daily roundtrip flight begins on December 16, 2010, and runs through April 10, 2011. The addition of the seasonal Steamboat Springs service brings Frontierโ€™s Colorado destinations to five.

This new route will be flown by Republic Airlinesโ€™ (2nd) 99-seat Embraer ERJ 190 aircraft.

Copyright Photo: James Helbock. Please click on the photo for additional information.

Frontier Airlines starts San Antonio-Milwaukee flights

Frontier Airlines (2nd) (Denver) yesterday (November 19) launched new nonstop service between its hub at Milwaukeeโ€™s General Mitchell International Airport (MKE) and San Antonio International Airport (SAT) with four weekly roundtrip flights. The inaugural flight, F9 1048, departed San Antonio at 6:05 p.m. (1805) CST.

Republic Airlines (2nd) will operate its 99-seat Embraer ERJ 190 aircraft on this new route for sister airline Frontier.

Copyright Photo: James Helbock. Please click on the photo for additional details.

Frontier Airlines starts Kansas City-Austin flights

Frontier Airlines (2nd) (Denver) today celebrated the start of service between Austin-Bergstrom International Airport (AUS) and Kansas City International Airport (MCI) with flight F9 1735 departing Kansas City at 7:28 p.m. (1928) CST. This new route brings the number of nonstop destinations served by Frontier in Kansas City to 14, and is the second nonstop destination served by the carrier from Austin.

This new route will be flown by Republic Airlines’ (2nd) 76-seat Embraer ERJ 170 aircraft. The Republic E170 and E190 aircraft will be outfitted with in-flight internet service by early 2011.

Copyright Photo: Jay Selman. Please click on the photo for background information on Republic Airlines’ history with Frontier Airlines.

Republic Airways reports net income of $21.3 million in the third quarter

Republic Airways Holdings Inc. (Indianapolis) reported operating revenues of $711.9 million for the quarter ended September 30, 2010, a 97.9% increase, compared to $359.6 million for the same period last year. The increase in revenues is primarily due to the acquisition of Frontier Airlines (2nd) and Midwest Airlines during 2009. The Company also reported net income of $21.3 million, or $0.58 per diluted share, for the quarter ended September 30, 2010, compared to $3.3 million of net income, or $0.09 per diluted share, for the same period last year. The diluted share count for the third quarter of 2010 includes 2.5 million shares for the $25 million of convertible debt at the Company, which decreases earnings per share by $0.04.

During the third quarter of 2010, the Companyโ€™s GAAP pre-tax income of $35.1 million was negatively impacted by a total of $7.8 million, or $0.14 per diluted share, of items: $4.7 million of expenses related to the integration of the branded business; $2.9 million of disposal costs for A318 and DHC-8-400 (Q400) aircraft; and $0.2 million in negative adjustments for fuel hedges.

Excluding the dilutive effect of the convertible debt ($0.04) and the negative impact on earnings of the integration expense items during the quarter ($0.14), the Company is reporting earnings per share of $0.76 for the third quarter of 2010.

The Companyโ€™s โ€œBrandedโ€ business segment includes all operations at Frontier Airlines (2nd), Lynx Airlines, and Midwest Airlines, collectively referred to as โ€œFrontierโ€. Total revenues on Frontier were $445.8 million for the quarter. Load factor was 87.4% for the quarter and total revenue per ASM (TRASM) was 11.15ยข. Frontier posted income before taxes of $11.6 million for the third quarter. However, excluding the items outlined in the table above, Frontier produced a pre-tax profit of $19.4 million for the third quarter. Operating cost per ASM (CASM), excluding fuel, was 7.17ยข for the third quarter of 2010. Excluding integration and aircraft return expenses, the unit cost for Frontier, excluding fuel, was 6.98ยข for the quarter.

During the quarter the Company removed three Airbus A318 aircraft, one Bombardier DHC-8-400 (Q400) aircraft, and one Embraer ERJ 170 aircraft from service. The total operational fleet was 277 aircraft as of September 30, 2010 compared to 282 aircraft as of June 30, 2010.

On July 1, 2010, the Company announced that it would remove four 120-seat A318 aircraft and one 76-seat E170 aircraft from scheduled service for Frontier in September 2010. Three of these aircraft have been sold to third parties and two were returned to their lessors. Beginning in January 2011, Frontier will accept the first of seven new 162-seat A320 aircraft. All seven aircraft have firm lease financing arranged and will be delivered during the first two quarters of 2011. The Company will also be leasing three additional 136-seat A319 aircraft that are scheduled for delivery between February and April 2011.

On July 21, 2010, the Company announced it had signed a non-binding letter of intent with Embraer to acquire 24 ERJ 190 or ERJ 195 aircraft with deliveries beginning in the mid 2011. On November 5, 2010, the Company announced it had placed a firm order for 6 E190 aircraft with Embraer for delivery in 2011 starting in August. The Company also has conditional firm orders for 18 E190 or E195 aircraft. Both aircraft types would be configured with STRETCH seating. These aircraft will be used to replace smaller regional jets in the Company as well as provide flexibility for growth at Frontier through 2013.

All ERJ 170 aircraft operating for Frontier will be reconfigured with STRETCH seating by November 30, 2010, enabling its guests to take advantage of 5 extra inches of legroom. Also, all 32 E-Jet aircraft operating for Frontier will have Gogo WiFi installed by the end of 2010.

Copyright Photo: Bruce Drum. Please click on the photo for additional information.