Republic, Frontier Sign Service Contract

[F9 Driver]

Thursday January 11, 1:05 pm ET
Republic Airways to Supply Regional Jet Service to Frontier Airlines in 11-Year Agreement
INDIANAPOLIS (AP) -- Republic Airways Holdings Inc., a regional carrier for several major irlines, said Thursday its Republic Airlines unit will provide Frontier Airlines regional jet service for Denver-based Frontier Airlines.
Financial terms of the deal were not disclosed.

Republic replaces Horizon Air Industries Inc., whose contract with Frontier expires in December 2007.

The latest agreement calls for Republic Airways to provide and operate 17 Embraer 170 jets for Frontier Airlines beginning in March. Frontier will continue to schedule and market all of its regional jet service flights.

The agreement spans 11 years after the final, 76-seat jet is delivered in December 2008, and Frontier can extend the deal for an additional six years. Frontier will purchase all capacity at a predetermined rate and then directly pay or reimburse Republic. Frontier will also purchase all fuel, which will not be charged back to Republic.

Shares of Republic rose 19 cents to $18.33 in midday trading on the Nasdaq Stock Market. Shares of Frontier Airlines Holdings Inc., parent company to Frontier Airlines, gained 22 cents to $7.52 on the Nasdaq.

Shares of Alaska Air Group Inc., parent to Horizon Air, added $1.37, or 3.2 percent, to $43.81 on the New York Stock Exchange. The stock has traded in a 52-week range of $29.44 to $45.85.

 

[embraerdriver]

Total Domination

Us Airways, Delta, American, United, Continental, and now Frontier.

You gotta admit, thats pretty stout for a regional.

What's your flavor?

Ready, set, flame!

 

[Oakum_Boy]

Where's the scope?

 

[OpenClimb]

Scope? Scope? We don't need no stinking SCOPE.

Why would Frontier want to replace/supplant Airbus flying with a "small jet"? You must be one of those people who just try to poke holes in an otherwise stellar relationship.

 

[amt]

Scope? Scope? We don't need no stinking SCOPE.

Why would Frontier want to replace/supplant Airbus flying with a "small jet"? You must be one of those people who just try to poke holes in an otherwise stellar relationship.

I bet you've never been on another major airline buddy. It wouldn't take a minute for F9 management to give all of our 318 flying to either Lynx or Republic to operate for HALF of our wages. We DO need a scope, unless you're so senior or rich that you don't care about job security. It seems like the clause on the TA is good enough to start.

Happy Flying and watch your back :beer:

 

[TAWS]

Damn right you need scope! 85% - 90% of our guys plan on moving on, we need somewhere to (hopefully) go!

 

[OpenClimb]

Gentlemen, Gentlemen...

I was being sarcastic. Of course we need scope!

I'm being sarcastic because some of our pilot group think we should just sit back and trust management to preserve our jobs. In another thread, someone basically accused me of being paranoid/argumentative for wanting a more sound scope clause.

Sorry to raise your blood pressure... even for just a minute! :-D