Frontier Airlines Emerges From Bankruptcy

JOSHUA FREED

Frontier Airlines emerged from bankruptcy protection on Thursday, under new ownership but still facing a tough competitive situation at its Denver base.

Frontier is now a subsidiary of Republic Airways Holdings Inc., which beat out a bid from Southwest Airlines Co.

Republic has said it will keep the Frontier name for its new subsidiary and there's no change to its frequent-flier program, so passengers are unlikely to see any difference in the airline now that it's out of Chapter 11 protection. Republic is looking for ways to make the operation more efficient, though, possibly including moving Frontier's maintenance operation out of Denver.

"This is the end of a long, difficult journey and the beginning of a new, exciting one," said Sean Menke, Frontier's president and CEO, in a prepared statement. He's staying as Frontier CEO as well as becoming a Republic executive vice president and its chief marketing officer.

Republic now owns all of Frontier Airways Holdings Inc. through its $108.8 million bid in bankruptcy court. The plan called for Frontier's old shares to be canceled.