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Frontier Airlines receives confirmation of Plan of Reorganisation
Thursday , September 10, 2009 11:54ET
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Sep 10, 2009 (AIRLINE INDUSTRY INFORMATION via COMTEX) -- Frontier Airlines Holdings Inc (OTCBB:FRNTQ) reported on Thursday that its Plan of Reorganisation has been confirmed by the Bankruptcy Court for the Southern District of New York.
The company said that it successfully resolved the objections to the plan prior to the hearing, which resulted in it being an uncontested confirmation hearing.
Following the Bankruptcy Court's order confirming Frontier's Plan of Reorganisation, the company will emerge from bankruptcy on or about 1 October 2009, as a wholly owned subsidiary of Republic Airways Holdings Inc (NASDAQ:RJET).
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FRNTQ: Volume Spike; 18% > 20-adsv, Stock -27.93%
Thursday , September 10, 2009 11:00ET
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This is the 1st VOLUME alert for FRNTQ in the past 7 calendar days.
Trading for Frontier Airlines Holdings, Inc. (OTC: FRNTQ) has been heavier than usual in today's session. By 11:00 ET, the stock had already traded 2,510,032 shares via 244 trades. The cumulative volume is 18.24% above its 20-day average of 2,122,795. Normally the stock experiences around 278 individual trades per session.
So far, today's volume surge has caused a net decline in FRNTQ's stock price. At the time of this alert, the stock was trading at $0.080, down $-0.031 (-27.93%).
One year ago, the Company's shares closed at $0.270. The price has declined more than 70 percent since then.
Over the last 10 trading session FRNTQ has traded in a range between $0.000 and $0.210 and is currently trading 87.50% below its 52-week high of $0.640 set on May 29,2009 and 143.90% above its 52-week low of $0.033 from July 10,2009.
In the previous 3 sessions, FRNTQ trading has displayed a mixed trend. Closing results have been as follows:
September 09, 2009 --- closed at $0.111 up $0.001 (+0.91%) on 484,200 shares
September 08, 2009 --- closed at $0.110 even for the day on 379,800 shares
September 04, 2009 --- closed at $0.110 down $0.001 (-0.90%) on 1,256,600 shares
The Company last released news on September 08, 2009:
"Frontier Airlines Reports Preliminary Traffic for August 2009"
FRONTIER AIRLINES HOLDINGS, INC.
The Company is a low cost, affordable fare airline operating primarily in a hub and spoke fashion connecting cities coast to coast through its hub at DIA.
Public Companies Associated with this story:
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Technical Analysis VOLUME(-)
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Nevermind, I found it. Top of page 27
https://www.ecasites.com/Frontier-Restructuring/Documents/944-A.pdf
Does anyone have a link to the approved reog plan? What is the fate of common stock when they emerge?
Frontier Airlines' Plan of Reorganization Confirmed by Bankruptcy Court
Sep. 10, 2009 (Business Wire) -- Frontier Airlines Holdings, Inc. (OTCBB: FRNTQ) announced today that the Bankruptcy Court for the Southern District of New York has confirmed the Company's Plan of Reorganization.
The Company successfully resolved the few objections to its Plan of Reorganization prior to today, resulting in an uncontested confirmation hearing. Frontier, along with its legal advisors Davis Polk and Wardwell LLP and financial advisors Seabury Group, LLC, has worked throughout its stay in bankruptcy to achieve consensual resolutions with affected parties, which has become a hallmark of Frontier's entire Chapter 11 case. With the Bankruptcy Court's order confirming its Plan of Reorganization, Frontier will proceed to emerge from bankruptcy on or about Oct. 1, 2009, as a wholly owned subsidiary of Republic Airways Holdings, Inc. (NASDAQ: RJET)
“This is an extremely proud day for everyone in our Company,” said Frontier President and CEO Sean Menke. “Many people doubted that we would even survive, let alone accomplish a successful reorganization, provide a recovery for our creditors and emerge a stronger competitor and company. Upon consummation of our Plan of Reorganization with Republic, we will be a successfully restructured airline, well positioned to be a competitive, successful, sustainable airline for years to come.”
Menke continued, “I must give a special thanks to all of our Frontier and Lynx employees. Their hard work, sacrifice and resiliency during the bankruptcy was key to our successful reorganization. They are the primary reason why Frontier Airlines and Lynx Aviation are where we are today.”
About Frontier Airlines Holdings, Inc.
Frontier Airlines Holdings, Inc. is the parent company of Denver-based Frontier Airlines and Lynx Aviation. Currently in its 16th year of operations, Frontier Airlines is the second-largest jet service carrier at Denver International Airport, employing approximately 5,000 aviation professionals. Frontier Airlines' mainline operation is made up of one of the youngest Airbus fleets in North America offering 24 channels of DIRECTV® service in every seatback along with a comfortable all-coach configuration. In conjunction with a fleet of Bombardier Q400 aircraft operated by Lynx Aviation, Frontier offers routes to more than 50 destinations in the U.S., Mexico and Costa Rica. In addition, Frontier and Midwest Airlines have a codeshare partnership that allows passengers of both airlines access to 70 destinations in the U.S., Mexico and Costa Rica. Republic Airways Holdings, Inc. (NASDAQ: RJET) expects to close on its purchase of Frontier Airlines on or about Oct. 1, 2009, after which Frontier and Lynx will become subsidiaries of Republic, alongside Midwest Airlines and Republic’s other wholly owned subsidiaries.
SOURCE: Frontier Airlines Holdings, Inc. Web site: http://www.FrontierAirlines.com/
I read that it didn't seem to affect the stock in anyway, it's looking stable at .11
nice buying volume, lets see 1m or more in volume days
http://ih.advfn.com/p.php?pid=trades&cb=1252555505&symbol=FRNTQ
09/09/2009 (09:43 ET) Frontier Airlines August passenger traffic decreases 10% - Datamonitor
Frontier Airlines August passenger traffic decreases 10%
Wednesday, September 09, 2009 09:43ET
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Sep 09, 2009 (Datamonitor via COMTEX) -- Frontier Airlines Holdings has reported that its passenger traffic decreased 10.3% to 826.75 million revenue passenger miles in August 2009, compared to 921.3 million revenue passenger miles in the same period of 2008.
The airline's capacity, measured in available seat miles, decreased 13.8% to 932.6 million, compared to 1.07 billion in August 2008. Load factor for August 2009 was 88.7%, compared to 86% in August 2008.
Frontier Airlines has carried 915,970 passengers in August 2009, a decrease of 9.5%, compared to 1.01 million passengers in August 2008.
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Expect to see this buy out deal to close starting october
http://finance.yahoo.com/news/Frontier-Airlines-July-apf-132906295.html?x=0&.v=1
Way undervalued down here IMO
Sir Monk, what do you think of the charts now?
http://stockcharts.com/h-sc/ui?s=frntq&p=D&b=5&g=0&id=p11530901891
My bet is these guys come out of bankruptcy seems like FRNTQ is a new and improved company
09/08/2009 (12:23 ET) Frontier Airlines announces improvement in load factor for August - M2 Communications - Airline Industry Information
Frontier Airlines announces improvement in load factor for August
Tuesday , September 08, 2009 12:23ET
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Sep 08, 2009 (AIRLINE INDUSTRY INFORMATION via COMTEX) -- Frontier Airlines Holdings Inc (OTCBB:FRNTQ) reported on Tuesday traffic results for its mainline operation and its wholly owned subsidiary Lynx Aviation for August 2009, with Frontier Airlines carrying 915,970 passengers and Lynx Aviation carrying 125,934 passengers, a decrease of 9.5% compared to the same period of last and an increase of 22.0%, respectively.
Revenue passenger miles for Frontier's mainline operations for the month dropped by 10.3% compared to August 2008, while available seat miles fell 13.8%, resulting in a rise in load factor of 2.7 percentage points at 88.7%.
Lynx Aviation reported an increase in revenue passenger miles for August 2009 of 21.2% compared to August 2008, while available seat miles grew by 6.8%, resulting in a load factor of 77.6%, an improvement of 9.2 percentage points.
Comments on this story may be sent to aii.feedback@m2.com
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As of Friday, 09-04-2009 23:59, the latest Comtex SmarTrend® Alert,
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A nice amount of volume came in on friday! I would like to see it continue this week.
Should be ready to buy in 2 weeks max the charts are pinching tighter nicely
http://stockcharts.com/h-sc/ui?s=frntq&p=D&b=5&g=0&id=p23463897154
Lets see where the upcoming news on the Ch11 takes us!!!
oh yea. News out today.
Gonna see some good movement here real soon!!!!!!
This stock is fantastic! I just loaded this morning - I haven't posted in IH in a long time because things have been going very well, very smoothly, but I felt like I had to say SOMETHING about this.
Net profit of almost double the current share price, emerging from Ch.11 next month. I wish I had a LOT more to load into this. :( My only regret is that I'm already in several long positions. I may cash out of FRE (had since .61) and put some here.
Is .50 a realistic high? This stock used to trade for $8 avg before the current recession situation and Ch.11 I know they won't get to $8 but is .50/.60 where everyone else is seeing this too?
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Frontier Airlines Reports July Net Profit of $17.8 Million
Monday, August 31, 2009
bookmark this
Frontier Airlines Holdings, Inc. (OTC Bulletin Board: FRNTQ) today reported a net profit of $17.8 million for the month of July and its ninth consecutive monthly operating profit. The results were filed in the Company’s unaudited Monthly Operating Report for July 2009.
Frontier reported a consolidated operating profit of $24.9 million for the month of July 2009, compared to an operating income of $1.2 million for the same period in 2008, and a total consolidated net income of $17.8 million compared to a net loss of $3.2 million for July 2008. Excluding special items, the Company would have reported net income of $23.1 million, or a net margin of 20.4 percent in July 2009, compared to a net loss of $0.3 million, or a negative margin of 0.2 percent in 2008. Excluding special items, the operating profit for the month was $24.7 million versus an operating profit of $1.8 million in July 2008.
Special items for the month of July 2009 included:
• $5.5 million of reorganization expense (which includes $3.4 million in accelerated depreciation for a planned aircraft sale), compared to $2.4 million in July 2008
• Non-cash mark-to-market gains on fuel hedge contracts of $0.1 million
Operational results for the month of July 2009 included:
• A 16.0 percent year-over-year mainline capacity reduction
• Mainline unit cost excluding fuel (CASM ex-fuel) was 5.78 cents, compared to 5.74 cents in July 2008
• Mainline total unit cost (CASM) was 8.58 cents, a 27.0 percent reduction compared to July 2008
• Mainline passenger revenue (PRASM) was 10.33 cents, down 9.9 percent from the previous year
• Mainline total unit revenue (RASM) was 11.26 cents, an 5.1 percent decrease from July 2008
“These results are absolutely outstanding,” said Frontier President and CEO Sean Menke. “Our financial performance in July and over the past nine months was possible because of our continuous focus on achieving the lowest cost structure in the industry, developing alternative revenue streams through our branded AirFairs program as well as the introduction of ancillary revenues and our constant attention to quality customer service. These results attracted two major investors to vie for ownership of our company and bring us out of bankruptcy. I am proud of the effort put forth by every Frontier and Lynx employee; our success wouldn’t have been possible without their tireless efforts.”
Frontier expects to emerge from bankruptcy in late September as a wholly-owned subsidiary of Republic Airways Holdings, Inc. (NASDAQ: RJET)
Companies in Chapter 11 bankruptcy protection are required to file monthly operating reports to the U.S. Trustee in addition to quarterly reports filed with the U.S. Securities and Exchange Commission.
A copy of the Monthly Operating Report is available at:
FrontierAirlines.com/frontier/who-we-are/investor-relations/annual-reports-sec-filings.do
About Frontier Airlines Holdings, Inc.
Frontier Airlines Holdings, Inc. is the parent company of Denver-based Frontier Airlines. Currently in its 16th year of operations, Frontier Airlines is the second-largest jet service carrier at Denver International Airport, employing approximately 5,000 aviation professionals. Frontier Airlines' mainline operation has 51 aircraft with one of the youngest Airbus fleets in North America. Frontier Airlines' mainline operations offer 24 channels of DIRECTV® service in every seatback along with a comfortable all-coach configuration. In conjunction with a fleet of 11 Bombardier Q400 aircraft operated by Lynx Aviation (a subsidiary of Frontier Airlines Holdings, Inc.), Frontier offers routes to more than 50 destinations in the U.S., Mexico and Costa Rica. In addition, Frontier and AirTran Airways operate a first-of-its-kind integrated marketing partnership that offers travelers the ability to reach more than 80 destinations across four countries with low fares, aboard two of the youngest fleets in the industry. For more in-depth information on Frontier Airlines, please visit its Web site at FrontierAirlines.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
Statements contained in this press release that are not historical facts July be forward-looking statements as that item is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties that could result in actual results differing materially from expected results and represent the Company's expectations and beliefs concerning future events based on information available to the Company as of the date of this press release. The Company undertakes no obligation to publicly update or revise any forward-looking statements to reflect events or circumstances that July arise after the date of this press release. Additional information regarding risk factors that July affect future performance at the Company are contained in the Company's SEC filings, including without limitation, the Company's Form 10-K for its fiscal year ended March 31, 2009.
FRNTQ: Q's Stocks Share Volume Leaders/Friday/08 28/2009
Pinksheet & OTC:BB Bankrupt Companies Stocks End of Day Report Friday Aug 28 2009 Pinksheet & OTC:BB Bankrupt Companies.
Share Volume Leaders ** Bankrupt companies are identified by fifth letter 'Q'
http://endofdayrecap.equityfeed.com/export/n_letter/gen/Microcap_Recap_Report_28_Aug_2009.html
Symbols Company Name Share Vol. ($) Vol. Last Net
LEHMQ LEHMAN BROS. HOLDINGS 73,339,554 $7,223,300 0.15
0.099
THMRQ THORNBURG MORTGAGE INC NEW 43,052,052 $1,574,377 0.04
0.02
WAMUQ WASHINGTON MUTUAL INC 41,552,015 $5,117,904 0.141
0.0365
SPCBQ SPECTRUM BRANDS INC 28,710,078 $450,748 0.0121
-0.0199
NRTLQ NORTEL NETWORKS CORP 22,063,550 $1,572,299 0.09
0.042
CEMJQ CHEMTURA CORPORATION 12,511,657 $9,638,490 0.76
0.06
SSCCQ SMURFIT STONE CONTAINER CO 11,987,687 $5,812,520 0.52
0.115
MTLQQ MOTORS LIQUIDATION COMPANY 11,598,813 $9,498,961 0.827
0.004
DPHIQ DELPHI CORP 9,529,140 $424,963 0.044
-0.0008
XKEMQ XECHEM INTERNATIONAL INC 5,826,680 $3,609 7.0E-4
0
CBCGQ COLONIAL BANCGROUP INC 5,206,872 $377,518 0.074
-0.004
WCIMQ WCI COMMUNITIES INC 5,166,119 $94,763 0.012
-0.01
ITMUQ ITEMUS INC 4,530,951 $658 1.0E-4
-0.0001
CHTRQ CHARTER COMMUNICATIONS INC 3,606,982 $81,388 0.025
0.0034
JRCOQ JOURNAL REGISTER CO 2,553,010 $9,863 0.0020
0.0005
SPSNQ SPANSION INC 2,348,319 $463,760 0.19
-0.015
OSCIQ OSCIENT PHARMACEUTICALS CO 2,293,802 $160,681 0.069
0.002
CCTYQ CIRCUIT CITY STORES INC 1,965,290 $25,163 0.014
0.0015
IDMCQ INDYMAC BANCORP INC 1,682,082 $84,162 0.0595
0.0115
LEARQ LEAR CORP 1,642,247 $482,322 0.295
0.015
Symbols Company Name Share Vol. ($) Vol. Last Net
SIXFQ SIX FLAGS INC 681,453 $80,886 0.12
0.001
APSOQ APPLIED SOLAR INC 167,753 $2,422 0.0135
-0.0005
EGLSQ ELECTROGLAS INC 106,995 $506 0.0047
0.0002
MMDAQ MEGA MEDIA GROUP INC 52,241 $104 0.0020
0
FNLYQ FINLAY ENTERPRISES INC 26,000 $229 0.0090
0
BPUFQ BIOPURE CORPORATION 12,000 $6 5.0E-4
0
SROEQ SARATOGA RESOURCES INC 917 $641 0.7
-0.3
DRFOQ DIAMOND RANCH FOODS LTD 169 $507 3.0
-2.25
That's great! This is the exact kind of news that we needed to push us to .40, .50, or maybe even .60. Congrats to all who got in early. This should be a fun ride. All aboard:)
Just read the latest news on FRNTQ, the CEO announced that FRNTQ will emerge from bankruptcy next month due to the outstanding net profits from operation....
THIS IS HUGE! LOAD UP AND HOLD.
FRNTQ News DJ Frontier In Black For July, Continuing Profitability Streak
Thursday, August 27, 2009 12:26 PM
Scottrade.com
This email is compliments of Scottrade.com
News for 'FRNTQ' - (=DJ Frontier In Black For July, Continuing Profitability Streak)
DOW JONES NEWSWIRES
Frontier Airlines Holdings Inc. (FRNTQ) remained profitable in July, continuing a streak of black ink for the company while the industry continues as a whole to remain unprofitable.
The regional carrier was recently the subject of a fight over who would control Denver-based Frontier when it emerges from bankruptcy next month. Regional carrier Republic Airways Holdings Inc. (RJET) bested Southwest Airlines Co. (LUV) in an auction to buy Frontier for $108.75 million and a waiver on tens of millions of dollars of aid given to Frontier.
President and Chief Executive Sean Menke called July's results "absolutely outstanding," saying the performance was what attracted Republic and Southwest into the bidding war.
Frontier posted a profit of $17.8 million, compared to a year-earlier loss of $3.2 million. Excluding items such as reorganization costs, earnings would have been $23.1 million, compared with a $300,000 loss a year ago.
While capacity fell 16%, passenger revenue per available seat mile - a key industry measurement - dropped 9.9%. Many carriers have been posting sizable declines for that metric as fare prices have slumped.
-By Joan E. Solsman, Dow Jones Newswires; 212-416-2291; joan.solsman@dowjones.com
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http://www.djnewsplus.com/access/al?rnd=CIsrIqgd%2BLmkhB0nEsDfWg%3D%3D. You can use this link on the day this article is published and the following day.
(END) Dow Jones Newswires
August 27, 2009 12:25 ET (16:25 GMT)
Copyright (c) 2009 Dow Jones & Company, Inc.- - 12 25 PM EDT 08-27-09
Source: DJ Broad Tape
IMO, just reported $17.8mil net income for the month of July and $57.6mil in stockholders' equity will prevent "the plan of reorganization announced in June 22nd and revised August 13th with Republic Airways.
"9. Plan of reorganization
On June 22, 2009, the Company filed its proposed plan of reorganization and a related disclosure statement with the U.S. Bankruptcy Court for the Southern District of New York. The Company also filed a motion to approve an investment agreement with Republic Airways Holdings, Inc. (“Republic”), subject to higher and better proposals under a court-supervised auction. On August 13, 2009, the Debtors concluded the auction and determined that Republic had submitted the highest and otherwise best proposal for the purchase of the Compnay. As part of the winning proposal, Republic agreed to waive recovery on its allowed $150.0 million unsecured claims increasing the potential recovery for the remaining unsecured claims. The Company entered into the Second Amended and Restated Investment Agreement with Republic on August 13, 2009. This revised Investment Agreement retains a purchase price of $108.8 million, with $28.8 million of the purchase price allocated to payment of the unsecured creditors. Under the revised Investment Agreement and the Debtors’ Plan of Reorganization, the Company’s current outstanding common stock will have no value and will be canceled. The confirmation hearing on the Plan of Reorganization is currently scheduled for September 10, 2009. Assuming the Plan of Reorganization is confirmed at that hearing, the Company expects to consummate the Plan and the Investment Agreement and emerge from Chapter 11 in September 2009. There can be no assurance at this time, however, that the Plan of Reorganization will be confirmed by the Bankruptcy Court, or that the plan will be implemented successfully."
Bankruptcy judge can't allow stockholders' equity given away to the winning bidder, Republic Airways, leaving its current shareholder holding the empty bag. I don't think so.
Cancelling of common share is not done deal until the judge approves the plan of reorganization. You can bet many common shareholders, to late to sell and with big losses, will voice strong opposition.
08/27/2009 (13:20 ET) FRNTQ: Filed New Form 8-K, Material Event Disclosure - Edgar
http://xml.10kwizard.com/filing_raw.php?repo=tenk&ipage=6490596
http://www.knobias.com/individual/public/quote.htm?ticker=FRNTQ
8-K
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
http://xml.10kwizard.com/filing_raw.php?repo=tenk&ipage=6490596
FORM 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported):
July 31, 2009
Frontier Airlines Holdings, Inc.
(Exact name of registrant as specified in its charter)
Delaware
000-51890
20-4191157
(State of
Incorporation)
(Commission
File Number)
(I.R.S. Employer
Identification No.)
7001 Tower Road, Denver, Colorado
80249
(Address of principal executive offices)
(Zip Code)
720-374-4200
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
¨
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
¨
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
¨
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operation and Financial Condition
On August 27, 2009, Frontier Airlines Holdings, Inc. filed its monthly operating report for the month of July 31, 2009, with the United States Bankruptcy Court for the Southern District of New York, in connection with its proceedings under Chapter 11 of the United States Bankruptcy Code in Case No. 08-11298 (RDD). A copy of the monthly operating report and the related press release is provided hereunder as Exhibits 99.01 and 99.02.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
Exhibit 99.01 Monthly Operating Report for the month ended July 31, 2009.
Exhibit 99.02 Press Release dated August 27, 2009, entitled “Frontier Airlines Reports July Net Profit of $17.8 Million”
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
FRONTIER AIRLINES HOLDINGS, INC.
Date: August 27, 2009
By: /s/ Sean E. Menke
Its: President and CEO
EX-99.01
UNITED STATES BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK
Debtors: Frontier Airlines Holdings, Inc., et al. (1)
Case Number: Jointly Administered 08-11298 (RDD)
Monthly Operating Report for the Period:
Month ended July 31, 2009
Debtors’ Address:
7001 Tower Road
Denver, CO 80249
Monthly Operating Income: $17.8 million
Debtors’ Attorney:
Damian Schaible
Davis Polk & Wardwell LLP
450 Lexington Avenue
New York, NY 10017
Telephone: (212) 450-4000
Fax : (212) 450-6501
Email: damian.schaible@dpw.com
Report Preparer: Frontier Airlines Holdings, Inc.
The undersigned, having reviewed the attached report and being familiar with the Debtors’ financial affairs, verifies under the penalty of perjury that the information contained therein is complete, accurate and truthful to the best of my knowledge. (2)
Date: August 27, 2009
/s/ Heather Iden
Heather Iden
Vice President Controller
(1)
See next page for a listing of Debtors by case number.
(2)
All amounts herein are unaudited and subject to revision. The Debtors reserve all rights to revise this report.
FRONTIER AIRLINES HOLDINGS, INC., ET AL.
MONTHLY OPERATING REPORT
(1) The Debtors in these jointly administered cases are as follows:
Debtor Name
Case Number
Frontier Airlines, Inc.
08-11297
Frontier Airlines Holdings, Inc.
08-11298
Lynx Aviation, Inc.
08-11299
Case Number: 08-11298 (RDD) (Jointly Administered)
2
FRONTIER AIRLINES HOLDINGS, INC., ET AL.
SCHEDULE OF DISBURSEMENTS
Debtor Name
Case
Number
Disbursements for
April 10, 2008 to
April 30, 2008
Disbursements for
month ended
May 31, 2008
Disbursements for
month ended
June 30, 2008
Frontier Airlines, Inc.
08-11297 $ 83,767,766 $ 142,196,923 $ 164,914,886
Frontier Airlines Holdings, Inc.
08-11298 $ – $ – $ –
Lynx Aviation, Inc.
08-11299 $ 961,414 $ 1,353,682 $ 6,791,728
Debtor Name
Case
Number
Disbursements for
month ended
July 31, 2008
Disbursements for
month ended
August 31, 2008
Disbursements for
month ended
September 30, 2008
Frontier Airlines, Inc.
08-11297 $ 143,770,237 $ 155,230,714 $ 136,478,359
Frontier Airlines Holdings, Inc.
08-11298 $ – $ – $ –
Lynx Aviation, Inc.
08-11299 $ 4,718,790 $ 4,944,656 $ 3,228,961
Debtor Name
Case
Number
Disbursements for
the month ended
October 31, 2008
Disbursements for
the month ended
November 30,
2008
Disbursements for
the month ended
December 31, 2008
Frontier Airlines, Inc.
08-11297 $ 101,142,014 $ 101,849,443 $ 91,293,244
Frontier Airlines Holdings, Inc.
08-11298 $ – $ – $ –
Lynx Aviation, Inc.
08-11299 $ 2,979,135 $ 3,094,850 $ 6,568,062
Debtor Name
Case
Number
Disbursements for
the month ended
January 31, 2009
Disbursements for
the month ended
February 28, 2009
Disbursements for
the month ended
March 31, 2009
Frontier Airlines, Inc.
08-11297 $ 112,494,144 $ 105,711,455 $ 92,196,807
Frontier Airlines Holdings, Inc.
08-11298 $ – $ – $ –
Lynx Aviation, Inc.
08-11299 $ 4,719,470 $ 3,123,645 $ 7,166,953
Debtor Name
Case
Number
Disbursements for
the month ended
April 30, 2009
Disbursements for
the month ended
May 31, 2009
Disbursements for
the month ended
June 30, 2009
Frontier Airlines, Inc.
08-11297 $ 111,961,288 $ 98,832,027 $ 94,883,165
Frontier Airlines Holdings, Inc.
08-11298 $ – $ – $ –
Lynx Aviation, Inc.
08-11299 $ 4,127,258 $ 4,321,774 $ 5,137,517
Debtor Name
Case
Number
Disbursements for
the month ended
July 31, 2009
Disbursements
filing to date
Frontier Airlines, Inc.
08-11297 $ 112,115,631 $ 1,848,838,102
Frontier Airlines Holdings, Inc.
08-11298 $ – $ –
Lynx Aviation, Inc.
08-11299 $ 4,864,656 $ 68,102,551
Case Number: 08-11298 (RDD) (Jointly Administered)
3
FRONTIER AIRLINES HOLDINGS, INC., ET AL.
MONTHLY OPERATING REPORT
INDEX
Description
Page
Condensed Consolidated Debtors-in-Possession Statement of Operations for the month ended July 31, 2009 and filing to date
5
Condensed Consolidated Debtors-in-Possession Balance Sheet as of July 31, 2009
6
Condensed Consolidated Debtors-in-Possession Statement of Cash Flows for the month ended July 31, 2009 and filing to date
7
Notes to the Condensed Consolidated Monthly Operating Report
9
Case Number: 08-11298 (RDD) (Jointly Administered)
4
FRONTIER AIRLINES HOLDINGS, INC., ET AL.
MONTHLY OPERATING REPORT
CONDENSED CONSOLIDATED DEBTORS-IN-POSSESSION STATEMENT OF OPERATIONS
(In $U.S. 000’s)
Month Ended
Filing
July 31, 2009
To date
Revenues:
Passenger
$ 104,762 1,546,247
Cargo
467 7,833
Other
8,330 85,205
Total revenues
113,559 1,639,285
Operating expenses:
Flight operations
13,032 212,144
Aircraft fuel
28,037 609,489
Aircraft lease
9,339 149,776
Aircraft and traffic servicing
14,871 235,123
Maintenance
5,319 109,917
Promotion and sales
10,136 135,449
General and administrative
5,039 74,222
Operating expenses – regional partner
– 22,288
Loss (gain) on sales of assets, net
(3 ) (8,536 )
Employee separation and other charges
– 462
Depreciation
2,935 52,081
Total operating expenses
88,705 1,592,415
Operating income
24,854 46,870
Nonoperating income (expense):
Interest income
100 4,296
Interest expense (contractual interest expense was $41,103 from April 10, 2008 to July 31, 2009) (Note 2)
(1,660 ) (35,036 )
Loss from early extinguishment of debt
– (1,174 )
Other, net
58 (541 )
Total nonoperating expenses, net
(1,502 ) (32,455 )
Income (loss) before reorganization items and income taxes
23,352 14,415
Reorganization items (Note 4)
5,486 222,926
Income tax expense
104 2,459
Net income (loss)
$ 17,762 (210,970 )
The accompanying notes are an integral part of the financial statements.
Case Number: 08-11298 (RDD) (Jointly Administered)
5
FRONTIER AIRLINES HOLDINGS, INC., ET AL.
MONTHLY OPERATING REPORT
CONDENSED CONSOLIDATED DEBTORS-IN-POSSESSION BALANCE SHEETS
(In $U.S. 000’s, except share data)
July 31, 2009
ASSETS
Current assets:
Cash and cash equivalents (Note 7)
$ 67,779
Restricted cash and investments
170,015
Receivables, net of allowance
36,992
Prepaid expenses and other assets
25,053
Inventories, net of allowance
12,993
Assets held for sale
618
Total current assets
313,450
Property and equipment, net
565,313
Security and other deposits
27,376
Maintenance reserve deposits
133,390
Aircraft pre-delivery payments
7,835
Restricted investments
2,987
Deferred loan expenses and other assets
11,056
Total assets
$ 1,061,407
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities not subject to compromise:
Current liabilities:
Accounts payable (Note 6)
45,671
Air traffic liability
150,859
Other accrued expenses
53,635
Deferred revenue and other current liabilities
13,558
Debtor-in-Possession financing (Note 8)
40,000
Total current liabilities not subject to compromise
303,723
Deferred revenue and other liabilities
17,578
Other long - term debt (post petition)
3,000
Total liabilities not subject to compromise
324,301
Liabilities subject to compromise (Note 5)
679,472
Total liabilities
1,003,773
Stockholders’ equity:
Preferred stock, no par value, authorized 1,000,000 shares; none issued
–
Common stock, no par value, stated value of $.001 per share, authorized 100,000,000 shares; 36,945,744 issued and outstanding
37
Additional paid-in capital
197,411
Cumulative effect of change in accounting principle
124,511
Accumulated deficit
(264,325 )
Total stockholders’ equity
57,634
Total liabilities and stockholders’ equity
$ 1,061,407
The accompanying notes are an integral part of the financial statements
Case Number: 08-11298 (RDD) (Jointly Administered)
6
FRONTIER AIRLINES HOLDINGS, INC., ET AL.
MONTHLY OPERATING REPORT
CONDENSED CONSOLIDATED DEBTORS-IN-POSSESSION STATEMENT OF CASH FLOWS
(In $U.S. 000’s)
Month
Ended
Filing to
July 31,
2009
Date
Cash flows from operating activities:
Net income (loss)
$ 17,762 (210,970 )
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
ESOP and stock option compensation expense
83 2,096
Depreciation and amortization
3,148 55,722
Assets beyond economic repair and reserve for inventories
46 1,783
Mark to market adjustments on derivative contracts
(111 ) 19,115
Amounts paid for settled derivative contracts
– (2,605 )
Gain on disposal of equipment and other assets, net
(3 ) (8,536 )
Loss on early extinguishment of debt
– 1,175
Reorganization items
5,486 222,926
Changes in operating assets and liabilities:
Restricted investments
(8,974 ) (90,915 )
Receivables
480 16,369
Security and other deposits
(1,105 ) (4,596 )
Maintenance reserve payments
(2,064 ) (8,880 )
Prepaid expenses and other assets
(5,107 ) 5,722
Inventories
394 2,333
Accounts payable
3,066 5,333
Air traffic liability
(8,822 ) (82,599 )
Other accrued expenses and income tax payable
2,621 (16,900 )
Deferred revenue and other liabilities
(985 ) (9,655 )
Net cash provided by (used in) operating activities
5,915 (103,082 )
Cash flows from reorganization activities
Net cash provided by (used in) reorganization activities
(1,311 ) (17,709 )
Total net cash provided by (used in) operating activities
4,604 (120,791 )
Cash flows from investing activities:
Aircraft purchase deposits made
(285 ) (8,569 )
Aircraft purchase deposits returned
16 11,620
Sale of short-term investment
– 8,800
Proceeds from the sale of property and equipment and assets held for sale
25 59,777
Capital expenditures
(680 ) (19,714 )
Proceeds from the sale of aircraft – reorganization
– 214,296
Net cash provided by (used in) investing activities
(924 ) 266,210
Case Number: 08-11298 (RDD) (Jointly Administered)
7
FRONTIER AIRLINES HOLDINGS, INC., ET AL.
MONTHLY OPERATING REPORT
CONDENSED CONSOLIDATED DEBTORS-IN-POSSESSION STATEMENT OF CASH FLOWS
CONTINUED
(In $U.S. 000’s)
Month
Ended
Filing to
July 31, 2009
Date
Cash flows from financing activities:
Proceeds from Debtor-in-Possession financing (post-petition)
– 40,000
Extinguishment of long-term borrowings
– (33,754 )
Principal payments on long-term borrowings
(2,271 ) (42,658 )
Principal payments on short-term borrowings
(3,000 ) (6,139 )
Payment of financing fees
(31 ) (3,690 )
Extinguishment of long-term borrowings – reorganization
– (138,655 )
Net cash used in financing activities
(5,302 ) (184,896 )
Increase (decrease) in cash and cash equivalents
(1,622 ) (39,477 )
Cash and cash equivalents at beginning of period
69,401 107,256
Cash and cash equivalents at end of period
$ 67,779 67,779
The accompanying notes are an integral part of the financial statements.
Case Number: 08-11298 (RDD) (Jointly Administered)
8
FRONTIER AIRLINES HOLDINGS, INC., ET AL.
NOTES TO MONTHLY OPERATING REPORT
1. Background and Organization
General – Frontier Airlines Holdings, Inc. (“Frontier Holdings” or the “Company”) is an international airline carrier ranking as the second largest carrier out of Denver International Airport, with an average of 315 daily system-wide departures and arrivals.
Chapter 11 Reorganization Cases – On April 10, 2008 (the “Petition Date”), Frontier Holdings and its two subsidiaries (the “Debtors”) filed voluntary petitions for relief under chapter 11 of the United States Bankruptcy Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Southern District of New York (the “Court”). The Debtors continue to operate their businesses as “debtors-in-possession” under the jurisdiction of the Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Court. On April 24, 2008, the Office of the United States Trustee for the Southern District of New York appointed a statutory committee of unsecured creditors.
2. Basis of Presentation
Condensed Consolidated Debtor-in-Possession Financial Statements – The unaudited financial statements and supplemental information contained herein represent the condensed consolidated financial information for the Debtors. The results of operations for the period from April 11 to April 30, 2008 were estimated based upon estimates that included the use of statistical data, processed revenue, fuel purchases, and a pro-ration of calendar days within the month of April. Amounts presented in the unaudited statement of cash flows for the period from April 11 to April 30, 2008 were estimated based on estimated asset and liability balances as of the filing date and actual balances as of April 30, 2008, as well as the aforementioned estimated results of operations for the period from April 11 to April 30, 2008.
In June 2008, the FASB issued EITF 08-3, "Accounting by Lessees for Maintenance Deposits", on the accounting for maintenance deposits under an arrangement accounted for as a lease. EITF 08-3 applies to the lessee’s accounting for maintenance deposits paid by a lessee under an arrangement accounted for as a lease that are refunded only if the lessee performs specified maintenance activities. EITF 08-3 requires that lessees continually evaluate whether it is probable that an amount on deposit with a lessor will be returned to reimburse the costs of the maintenance activities incurred by the lessee. When an amount on deposit is less than probable of being returned, it shall be recognized as additional expense. When the underlying maintenance is performed, the maintenance costs shall be expensed or capitalized in accordance with the lessee's maintenance accounting policy. EITF 08-3 is effective for financial statements issued for fiscal years beginning on or after December 15, 2008, including interim periods within those fiscal years. Earlier application by an entity that has previously adopted an alternative accounting policy is not permitted. Prior to the adoption of EITF 08-3, the Company recorded its maintenance payments, or supplemental monthly payments under aircraft lease agreements, as an expense when paid.
The Company recognized the effect of the change as a change in accounting principle as of April 1, 2009, for all arrangements existing at this effective date, as an adjustment to the opening balance of retained earnings in the amount of $124.5 million. The cumulative effect adjustment is the difference between the amounts recognized in the statement of financial position before initial application of this Issue and the amounts recognized in the statement of financial position at initial application of this Issue.
American Institute of Certified Public Accountants Statement of Position 90-7, “Financial Reporting by Entities in Reorganization under the Bankruptcy Code” (“SOP 90-7”), which is applicable to companies in chapter 11, generally does not change the manner in which financial statements are prepared. It does, however, require that the financial statements for periods subsequent to the filing of the chapter 11 petition distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. The Debtors’ financial statements contained herein have been prepared in accordance with the guidance in SOP 90-7. Further information concerning the Debtors’ accounting policies can be found in the footnotes to our Annual Report on Form 10-K for the period ended March 31, 2009 filed with the United States Securities and Exchange Commission.
Case Number: 08-11298 (RDD) (Jointly Administered)
9
The unaudited consolidated financial statements have been derived from the books and records of the Debtors. Certain financial information, however, has not been subject to procedures that typically would be applied to financial information presented in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”), and, upon the application of such procedures, the Debtors believe that the financial information will be subject to changes. These changes could be material. The information furnished in this report includes primarily normal recurring adjustments but does not include all of the adjustments that typically would be made for quarterly financial statements in accordance with U.S. GAAP. Certain prepaid balances and pre- and post-petition trade accounts payable balances are subject to further review and reclassification. In addition, certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. Therefore, this report should be read in conjunction with our consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the period ended March 31, 2009 filed with the United States Securities and Exchange Commission.
The results of operations contained herein are not necessarily indicative of results that may be expected from any other period or for the full year, and may not necessarily reflect the consolidated results of operations, financial position and cash flows of the Debtors in the future.
Case Number: 08-11298 (RDD) (Jointly Administered)
10
Intercompany Transactions – Intercompany transactions between Debtors have been eliminated in the financial statements contained herein.
Property and Equipment, net – Recorded at cost net of accumulated depreciation.
Reclassification of Prior Month Amounts - Certain prior month items have been reclassified to conform to the current month presentation.
Contractual Interest Expense – Contractual interest expense represents amounts due under the contractual terms of outstanding debt for the reporting periods, including debt subject to compromise for which interest expense is not recognized in the income statement in accordance with the provisions of SOP 90-7.
Taxes – The Debtor accounts for income taxes in accordance with SFAS No. 109, “Accounting for Income Taxes,” and recognizes current and deferred income tax assets and liabilities based upon all events that have been recognized in the consolidated financial statements as measured by the enacted tax laws.
The Debtors have received approval to pay pre-petition employee withholding obligations in addition to employment and wage related taxes, sales and use taxes, and certain other taxes due in the normal course of business through certain first day motions. As such, the Debtors have paid such taxes when due.
Further, employee withholding obligations are pre-funded by the Debtors and paid directly by the Debtors’ payroll contractor, Automatic Data Processing, Inc. (“ADP”). Thus, no further information regarding taxes is included in this report.
3. Cash Management System & Use of Cash
The Court has entered an order authorizing the Debtors to continue to use their existing cash management system including: (i) investment guidelines; (ii) maintenance of existing bank accounts and business forms; and (iii) the authorization to open and close bank accounts. The Debtors are continuing to collect and disburse cash since the Petition Date using the existing cash management system.
Case Number: 08-11298 (RDD) (Jointly Administered)
11
4. Reorganization Items
SOP 90-7 requires separate disclosure of reorganization items such as realized gains and losses from the settlement of pre-petition liabilities, provisions for losses resulting from the reorganization and restructuring of the business, as well as professional fees directly related to the process of reorganizing the Debtors under Chapter 11. The Debtors’ reorganization items consist of the following:
(In $U.S. 000’s)
Month ended
July 31, 2009
Filing to
Date
Professional fees directly related to reorganization
$ 2,033 28,777
Unsecured claims allowed by the court
– 177,817
Loss on sale-leaseback transaction
– 4,654
Write-off of debt issuance cost
– 1,833
(Gain)/loss on the sale of aircraft (1)
3,453 575
Cost related to the early return and sale of aircraft
– 2,418
Write-off of equipment note
– 13,541
Gains on contract terminations and cure payment reductions, net
– (7,662 )
Other
– 973
Total reorganization items
$ 5,486 222,926
Professional fees directly related to the reorganization (“Professional Fees”) include fees associated with advisors to the Debtors, the statutory committee of unsecured creditors and certain secured creditors. Other expenses are primarily related to gains and losses related to a plan to reduce capacity, gain/(loss) on contract terminations, unsecured claims allowed by the courts and penalty fees incurred during 1110 provisions of Bankruptcy. Professional Fees are estimated by the Debtors and will be reconciled to actual invoices when received.
(1)
Includes $6.9 million of accelerated depreciation for an A318 aircraft that the Company plans to sell in August 2009.
5. Liabilities Subject to Compromise
As a result of the Chapter 11 Filings, most pre-petition indebtedness is subject to compromise or other treatment under a plan of reorganization. Generally, actions to enforce or otherwise effect payment of pre-Chapter 11 liabilities are stayed. At hearings held in April 2008, the Court granted final approval of many of the Debtors’ “first day” motions covering, among other things, human capital obligations, supplier relations (including fuel supply and fuel contracts), insurance, customer relations, business operations, certain tax matters, cash management, utilities, case management and retention of professionals.
The Debtors may reject pre-petition executory contracts and unexpired leases with respect to the Debtors’ operations, with the approval of the Bankruptcy Court. Damages resulting from rejection of executory contracts and unexpired leases are generally treated as general unsecured claims and will be classified as liabilities subject to compromise. Holders of pre-petition claims were required to file proofs of claims by the bar date. The deadline for the filing of proofs of claims against the Debtors in this case was November 17, 2008.
A bar date is the date by which claims against the Debtors must be filed if the claimants wish to receive any distribution in the Chapter 11 cases. Differences between liability amounts estimated by the Debtors and claims filed by creditors will be investigated and, if necessary, the Court will make a final determination of the allowable claim. The determination of how liabilities will ultimately be treated cannot be made until the Court approves a Chapter 11 plan of reorganization. Accordingly, the ultimate amount or treatment of such liabilities is not determinable at this time.
Case Number: 08-11298 (RDD) (Jointly Administered)
12
SOP 90-7 requires pre-petition liabilities that are subject to compromise to be reported at the amounts expected to be allowed, even if they may be settled for lesser amounts. The amounts currently classified as liabilities subject to compromise may be subject to future adjustments depending on Court actions, further developments with respect to disputed claims, determinations of the secured status of certain claims, the values of any collateral securing such claims, or other events.
Liabilities subject to compromise consist of the following:
(In $U.S. 000’s)
July 31, 2009
Accounts payable and other accrued expenses
$ 232,544
Accrued interest expense
2,879
Secured aircraft debt
352,049
Convertible bonds
92,000
Total liabilities subject to compromise
$ 679,472
Liabilities subject to compromise includes trade accounts payable related to pre-petition purchases, all of which were scheduled for payment in the post-petition period. As a result, the cash flows from operations were favorably affected by the stay of payment related to these accounts payable.
6. Post-petition Accounts Payable
To the best of the Debtors’ knowledge, all undisputed post-petition accounts payable have been and are being paid under agreed-upon payment terms except for approximately $3.4 million of invoices received, not yet paid, as of July 31, 2009.
7. Passenger Facility Charges
Passenger Facility Charges (“PFC”) are assessed on the sale of tickets to end customers and are collected by the Company as an agent and remitted to the respective taxing authority. These taxes and fees are recorded as a liability until remitted to the respective taxing authority. As mandated by Federal Regulations for any air carrier that has filed for protection under chapter 11 of the Bankruptcy Code, the Company established a separate reserve account for these funds. The balances of collected PFC funds as of July 31, 2009 was $4.5 million and are included in cash and cash equivalents in the condensed and consolidated balance sheet.
8. Debtor-in-Possession (“DIP”) Financing
On March 20, 2009, the Bankruptcy Court approved an order authorizing a $40 million Amended and Restated DIP Credit Facility (“Amended DIP Credit Agreement”) with Republic Airways Holdings, Inc. The Bankruptcy Court also allowed the damage claim of Republic Airways Holdings, Inc. in the amount of $150 million arising from the Debtors’ rejection of the Airline Services Agreement with Republic Airlines, Inc. and Republic Airways Holdings, Inc. The allowance of this claim was a condition to Republic Airways Holdings, Inc. providing the Amended DIP Credit Agreement. The Company retired the existing $30 million DIP Credit Agreement on April 1, 2009.
9. Plan of reorganization
On June 22, 2009, the Company filed its proposed plan of reorganization and a related disclosure statement with the U.S. Bankruptcy Court for the Southern District of New York. The Company also filed a motion to approve an investment agreement with Republic Airways Holdings, Inc. (“Republic”), subject to higher and better proposals under a court-supervised auction. On August 13, 2009, the Debtors concluded the auction and determined that Republic had submitted the highest and otherwise best proposal for the purchase of the Compnay. As part of the winning proposal, Republic agreed to waive recovery on its allowed $150.0 million unsecured claims increasing the potential recovery for the remaining unsecured claims. The Company entered into the Second Amended and Restated Investment Agreement with Republic on August 13, 2009. This revised Investment Agreement retains a purchase price of $108.8 million, with $28.8 million of the purchase price allocated to payment of the unsecured creditors. Under the revised Investment Agreement and the Debtors’ Plan of Reorganization, the Company’s current outstanding common stock will have no value and will be canceled. The confirmation hearing on the Plan of Reorganization is currently scheduled for September 10, 2009. Assuming the Plan of Reorganization is confirmed at that hearing, the Company expects to consummate the Plan and the Investment Agreement and emerge from Chapter 11 in September 2009. There can be no assurance at this time, however, that the Plan of Reorganization will be confirmed by the Bankruptcy Court, or that the plan will be implemented successfully.
Case Number: 08-11298 (RDD) (Jointly Administered)
13
EX-99.02
NEWS
FOR IMMEDIATE RELEASE
Contact
Corporate Communications
Frontier Airlines
720-374-4560
media@flyfrontier.com
Frontier Airlines, Inc.
Frontier Center One
7001 Tower Road
Denver, CO 80249
P 720.374.4200 F 720.374.4375
frontierairlines.com
Frontier Airlines Reports July Net Profit of $17.8 Million
Represents Ninth Consecutive Month of Operating Profit
DENVER (Aug. 27, 2009) –– Frontier Airlines Holdings, Inc. (OTC Bulletin Board: FRNTQ) today reported a net profit of $17.8 million for the month of July and its ninth consecutive monthly operating profit. The results were filed in the Company’s unaudited Monthly Operating Report for July 2009.
Frontier reported a consolidated operating profit of $24.9 million for the month of July 2009, compared to an operating income of $1.2 million for the same period in 2008, and a total consolidated net income of $17.8 million compared to a net loss of $3.2 million for July 2008. Excluding special items, the Company would have reported net income of $23.1 million, or a net margin of 20.4 percent in July 2009, compared to a net loss of $0.3 million, or a negative margin of 0.2 percent in 2008. Excluding special items, the operating profit for the month was $24.7 million versus an operating profit of $1.8 million in July 2008.
Special items for the month of July 2009 included:
§
$5.5 million of reorganization expense (which includes $3.4 million in accelerated depreciation for a planned aircraft sale), compared to $2.4 million in July 2008
§
Non-cash mark-to-market gains on fuel hedge contracts of $0.1 million
Operational results for the month of July 2009 included:
§
A 16.0 percent year-over-year mainline capacity reduction
§
Mainline unit cost excluding fuel (CASM ex-fuel) was 5.78 cents, compared to 5.74 cents in July 2008
§
Mainline total unit cost (CASM) was 8.58 cents, a 27.0 percent reduction compared to July 2008
§
Mainline passenger revenue (PRASM) was 10.33 cents, down 9.9 percent from the previous year
§
Mainline total unit revenue (RASM) was 11.26 cents, an 5.1 percent decrease from July 2008
“These results are absolutely outstanding,” said Frontier President and CEO Sean Menke. “Our financial performance in July and over the past nine months was possible because of our continuous focus on achieving the lowest cost structure in the industry, developing alternative revenue streams through our branded AirFairs program as well as the introduction of ancillary revenues and our constant attention to quality customer service. These results attracted two major investors to vie for ownership of our company and bring us out of bankruptcy. I am proud of the effort put forth by every Frontier and Lynx employee; our success wouldn’t have been possible without their tireless efforts.”
Frontier expects to emerge from bankruptcy in late September as a wholly-owned subsidiary of Republic Airways Holdings, Inc. (NASDAQ: RJET)
Companies in Chapter 11 bankruptcy protection are required to file monthly operating reports to the U.S. Trustee in addition to quarterly reports filed with the U.S. Securities and Exchange Commission.
A copy of the Monthly Operating Report is available at:
FrontierAirlines.com/frontier/who-we-are/investor-relations/annual-reports-sec-filings.do
About Frontier Airlines Holdings, Inc.
Frontier Airlines Holdings, Inc. is the parent company of Denver-based Frontier Airlines. Currently in its 16th year of operations, Frontier Airlines is the second-largest jet service carrier at Denver International Airport, employing approximately 5,000 aviation professionals. Frontier Airlines' mainline operation has 51 aircraft with one of the youngest Airbus fleets in North America. Frontier Airlines' mainline operations offer 24 channels of DIRECTV® service in every seatback along with a comfortable all-coach configuration. In conjunction with a fleet of 11 Bombardier Q400 aircraft operated by Lynx Aviation (a subsidiary of Frontier Airlines Holdings, Inc.), Frontier offers routes to more than 50 destinations in the U.S., Mexico and Costa Rica. In addition, Frontier and AirTran Airways operate a first-of-its-kind integrated marketing partnership that offers travelers the ability to reach more than 80 destinations across four countries with low fares, aboard two of the youngest fleets in the industry. For more in-depth information on Frontier Airlines, please visit its Web site at FrontierAirlines.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
Statements contained in this press release that are not historical facts July be forward-looking statements as that item is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties that could result in actual results differing materially from expected results and represent the Company's expectations and beliefs concerning future events based on information available to the Company as of the date of this press release. The Company undertakes no obligation to publicly update or revise any forward-looking statements to reflect events or circumstances that July arise after the date of this press release. Additional information regarding risk factors that July affect future performance at the Company are contained in the Company's SEC filings, including without limitation, the Company's Form 10-K for its fiscal year ended March 31, 2009.
SOURCE: Frontier Airlines Holdings, Inc.
Web site: FrontierAirlines.com
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http://www.knobias.com/individual/public/quote.htm?ticker=FRNTQ
http://xml.10kwizard.com/filing_raw.php?repo=tenk&ipage=6490596
http://xml.10kwizard.com/filing_raw.php?repo=tenk&ipage=6490596
Frontier earned $0.24 per share for the quarter ending June 30, 2009 and ended with shareholder equity of $39.8mil or $1.07 per share on fully diluted basis.
After seeing this huge net income, I took a position today.
NEWS up we goooooooo!!
Frontier Airlines Reports July Net Profit of $17.8 Million
11:44a ET August 27, 2009 (Business Wire)
Frontier Airlines Holdings, Inc. (OTC Bulletin Board: FRNTQ) today reported a net profit of $17.8 million for the month of July and its ninth consecutive monthly operating profit. The results were filed in the Company's unaudited Monthly Operating Report for July 2009.
Frontier reported a consolidated operating profit of $24.9 million for the month of July 2009, compared to an operating income of $1.2 million for the same period in 2008, and a total consolidated net income of $17.8 million compared to a net loss of $3.2 million for July 2008. Excluding special items, the Company would have reported net income of $23.1 million, or a net margin of 20.4 percent in July 2009, compared to a net loss of $0.3 million, or a negative margin of 0.2 percent in 2008. Excluding special items, the operating profit for the month was $24.7 million versus an operating profit of $1.8 million in July 2008.
Special items for the month of July 2009 included:
-- $5.5 million of reorganization expense (which includes $3.4 million in accelerated depreciation for a planned aircraft sale), compared to $2.4 million in July 2008
-- Non-cash mark-to-market gains on fuel hedge contracts of $0.1 million
Operational results for the month of July 2009 included:
-- A 16.0 percent year-over-year mainline capacity reduction
-- Mainline unit cost excluding fuel (CASM ex-fuel) was 5.78 cents, compared to 5.74 cents in July 2008
-- Mainline total unit cost (CASM) was 8.58 cents, a 27.0 percent reduction compared to July 2008
-- Mainline passenger revenue (PRASM) was 10.33 cents, down 9.9 percent from the previous year
-- Mainline total unit revenue (RASM) was 11.26 cents, an 5.1 percent decrease from July 2008
"These results are absolutely outstanding," said Frontier President and CEO Sean Menke. "Our financial performance in July and over the past nine months was possible because of our continuous focus on achieving the lowest cost structure in the industry, developing alternative revenue streams through our branded AirFairs program as well as the introduction of ancillary revenues and our constant attention to quality customer service. These results attracted two major investors to vie for ownership of our company and bring us out of bankruptcy. I am proud of the effort put forth by every Frontier and Lynx employee; our success wouldn't have been possible without their tireless efforts."
Frontier expects to emerge from bankruptcy in late September as a wholly-owned subsidiary of Republic Airways Holdings, Inc. (NASDAQ: RJET)
Companies in Chapter 11 bankruptcy protection are required to file monthly operating reports to the U.S. Trustee in addition to quarterly reports filed with the U.S. Securities and Exchange Commission.
A copy of the Monthly Operating Report is available at:
FrontierAirlines.com/frontier/who-we-are/investor-relations/annual-reports-sec-filings.do
About Frontier Airlines Holdings, Inc.
Frontier Airlines Holdings, Inc. is the parent company of Denver-based Frontier Airlines. Currently in its 16th year of operations, Frontier Airlines is the second-largest jet service carrier at Denver International Airport, employing approximately 5,000 aviation professionals. Frontier Airlines' mainline operation has 51 aircraft with one of the youngest Airbus fleets in North America. Frontier Airlines' mainline operations offer 24 channels of DIRECTV(R) service in every seatback along with a comfortable all-coach configuration. In conjunction with a fleet of 11 Bombardier Q400 aircraft operated by Lynx Aviation (a subsidiary of Frontier Airlines Holdings, Inc.), Frontier offers routes to more than 50 destinations in the U.S., Mexico and Costa Rica. In addition, Frontier and AirTran Airways operate a first-of-its-kind integrated marketing partnership that offers travelers the ability to reach more than 80 destinations across four countries with low fares, aboard two of the youngest fleets in the industry. For more in-depth information on Frontier Airlines, please visit its Web site at FrontierAirlines.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
Statements contained in this press release that are not historical facts July be forward-looking statements as that item is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties that could result in actual results differing materially from expected results and represent the Company's expectations and beliefs concerning future events based on information available to the Company as of the date of this press release. The Company undertakes no obligation to publicly update or revise any forward-looking statements to reflect events or circumstances that July arise after the date of this press release. Additional information regarding risk factors that July affect future performance at the Company are contained in the Company's SEC filings, including without limitation, the Company's Form 10-K for its fiscal year ended March 31, 2009.
SOURCE: Frontier Airlines Holdings, Inc.
Web site: FrontierAirlines.com
SOURCE: Frontier Airlines Holdings, Inc.
Making positive cash flow!!!!!!!!!!!!!!
Much much more on the horizon with a new cash flow into Frontier. Especially with the Republic club members joining in the aquiring of Frontier stock. We should see a significant rise before the close on Friday!!! It doesnt cost Republic anything for the commons to survive~~~ And why would you put frontier employees through the pain and suffering of wipeing out the shares that they have owned for so long as bonuses for their performance? Only stands to reason let the commons survive. That is my interpretation of them getting this airline so cheap and approved by the BK Judge as well. After all the frontier name and management will stay they same as well!!!!!!!!
This stock is a traders wet dream come true... ahhhh:) come to papa!
WOW... THAT KIND OF NEWS WOULD MAKE THIS STOCK EXPLODE!!!
There is alot more to show!! I am to believe that there were some special concessions made on the part of Republic in order for them to walk away with the Frontier grab. After all Southwest did have the $170 Million plus in cash. My guess is that the commons in Frontier, will continue to survive as a private entity of Republic.
just like the last run-up next stop .20 then .40 HERE WE GOOOO :)
This things up & downs are unreal...you profited, you did well...sure didn't think it would spike that quick...
sld too early again-----tmonkey
Nice play, tmonkey, way to go!
funny---- just before i got your post i gave the 11.5 buyer all the 7s i picked up the last week--------last run i got out way too early----maybe repeat here-- but i have a few of the freebies left if we get to atmosphere again---glta---------tmonkey
Saw that...careful, tho...always take profit, ride free if possible...GLTY...
indeed someone is taking all the 11.5s they can grab----i just wish the co. would come out and say the shares have value to end all of the no value posts-----------tmonkey
Dont worry Jerry! You will get that chance again and alot more to go along with it!............FF03
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Headquarters
7001 Tower Road
Denver, CO 80249
Contact
Phone: 720-374-4200
Fax: 720-374-4375
Web site
http://www.frontierairlines.com
Basics
Sector: Services
Industry: Regional Airlines
Full Time Employees: 5,200
Exchange: NASDAQ
Ownership
Shares Outstanding: 36.64M
Float: 29.77M
% Held by Insiders: 27.22%
% Held by Institutions: 60.80%
Background
Frontier Airlines Holdings, Inc., through its subsidiaries, provides air transportation for passengers and freight. The company operates jet service carriers linking from its Denver, Colorado hub to 46 cities coast-to-coast, 8 cities in Mexico, and 1 city in Canada, as well as provides service from other non-hub cities, including service from 10 non-hub cities to Mexico. As of May 18, 2007 it operated 59 jets, including 49 Airbus A319s and 10 Airbus A318s. The company was founded in 1994 and is headquartered in Denver, Colorado.
Moderator's Disclaimer - This board is for Frontier Airlines discussion purposes only and in no way a recommendation to invest or not in this stock. Any investment decisions should be based on your own due diligence and decision. You are solely responsible for your choices to buy or sell. This is a disclaimer and in no way holds the moderators legally liable for your investments.
Share price
Sean Menke Speaks Out
Frontier CEO: Credit-card processors eyeing airline industry
Thursday April 17, 6:30 pm ET
By Sandy Shore, AP Business Writer
Credit-card processing companies visiting other airlines, Frontier Airlines CEO says
DENVER (AP) -- The head of Frontier Airlines Holdings Inc., which is reorganizing under bankruptcy protection, said Thursday credit-card processing companies are visiting other airlines, too, worried by the industry's financial struggles.
In an interview with The Associated Press, Chief Executive Officer Sean Menke said the processors are concerned because the industry is coping with persistently high fuel prices, a credit market crunch and the slowing economy.
The card processors don't want to be on the hook for ticket refunds if airlines stop flying.
"I do know that airlines are being visited and they're being visited for all the same reasons that we were visited," Menke said. He declined to name which airlines were involved.
Menke's comments came a week after the Denver-based parent of Frontier Airlines filed a Chapter 11 petition in U.S. Bankruptcy Court to gain protection as it restructures debt. He said Thursday the airline is focused on staying a standalone carrier as it reorganizes under bankruptcy protection.
Menke said Frontier was forced into the move because its credit card processing company, First Data Corp., sought to hold up to 100 percent of proceeds from ticket sales in reserve until the passengers' flights are completed.
The filing prevents Greenwood Village, Colo.-based First Data from implementing the change until Frontier emerges from bankruptcy or received a judge's approval.
"We're in discussions with them looking for a resolution to this," Menke said.
Some analysts who follow the credit card processing industry said it's likely that the companies would re-evaluate the risk potential of individual airlines.
"In my opinion, I think they will be doing that just because of what the airline industry is going through," said analyst Adil Moussa of Aite Group, which is a market research company for financial industry.
Any decision, however, depends on the individual carrier's financial picture, Digital Transactions magazine Editor John Stewart said.
From its Denver International Airport hub, Frontier battles Southwest and United Airlines in an atmosphere that has kept ticket prices low. Analysts have mixed views about whether the airline will emerge successfully from bankruptcy, saying a critical factor will be its reorganization plan.
Menke said he is re-evaluating every part of the operation. While nothing has been ruled out, he has no plans now to lay off any of Frontier's 6,000 employees.
Since he became CEO in August, the price of oil has risen $70 a barrel.
The airline has adjusted its routes, reached an agreement to sell four jets and laid off about 100 employees. It also launched a turboprop subsidiary, called Lynx Aviation, to reach into small and mid-sized markets with higher-yield traffic.
Last month, Frontier posted a record 84 percent load factor -- the number of seats filled on a plane. That compared with about 77 percent in March 2006.
"All the changes are being reflected in the bottom line relative to production," Menke said. "In any other year, I'd be doing cartwheels or backflips" with those results.
As he examines operations, Menke is focused on staying independent but is looking at marketing agreements or other such partnerships and implementing a tiered fare structure where passengers pay more for additional services.
"I think everybody understands the pressure this industry is under right now and we have to find ways of driving additional revenue," he said. "We have to find ways of finding more cost savings and that will continue to be my focus."
King Capital Investment Group
http://kingcapital.tripod.com
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