Frontier Airlines Holdings reported a consolidated net loss of $32.5 million for the Company’s third fiscal quarter ended December 31, 2007 compared to a consolidated net loss of $14.4 million for the same period last year. Included in the consolidated net loss for the quarter ended December 31, 2007 was a non-cash mark to market derivative loss which increased fuel expense by $3.5 million. Also included in the net loss for the quarter ended December 31, 2007 was $4.8 million of net start-up costs and losses for Lynx Aviation.
Frontier Airlines Holdings, Inc. President and CEO Sean Menke said, “Regardless of the rise in fuel costs for the quarter or the delay of Lynx Aviation’s start-up, today’s financial results are clearly not acceptable. This loss is even more unbearable when it follows one of the best quarters in our history.
“After a thorough fleet analysis completed against a backdrop of wild fluctuations in the price of fuel and the potential impacts of a slowing economy, we have elected to sell four of our 22 owned Airbus aircraft. We have begun marketing both the A318 and A319 aircraft and feel confident that we should be able to close on these transactions in the next few months, allowing us to slow our capacity growth and bolster our cash position. In addition to changes to the mainline fleet, we are finalizing our fleet requirements as it relates to our regional operation. As we roll out future schedule enhancements, we will provide more details on fleet composition and deployment within our regional aircraft structure.”
