True.

Age 67 is looking somewhat likely to pass. Spirit and JetBlue might get approved and I wouldn't be surprised at all if they slow down hiring too as they work to figure out their future fleet plan as they cycle Spirit planes out of service to get retrofitted and painted. Plus, in the meantime we are still filing new hire classes.

The forum has been full of very dire sounding posts lately but the reality is; we are clearly making solid profits and filing new hire classes. And all that talk of how much money the company must be spending on training and new hire bonuses??? Well, we are still solidly profitable.

 

Franke isn’t interested in single digit profits. Time to clean house up top, hopefully sooner than later.

 

the issue is not whether Frontier makes profits. We know they do. I would HOPE they do, in the often-proclaimed "busiest summer in travel history" we are wrapping up. Yes, please make a profit. You are a ULCC with everything sub-contracted out, bag fees, low fuel prices, and underpaid employees. Yes, Barry, I expect a profit. Please put one on the table.

The issue is will management fairly compensate the employees, for the hard work and "efficiencies" obtained. The operation "stays together" basically because in-flight and the Pilots manage to seemingly push the rope uphill.

"Filling classes" is not a metric. It is "keeping pilots." The latter is not happening.

Also, the first link in this thread is a company press release. No outside independent airline business analysts have come forward yet to review Frontier's performance this recent quarter.

 

You are incorrect.
It is not a new hire bonus. It is a new hire loan. This loan is recorded as a current asset in the F9 accounts receivable column. All of these new hire loans part of the "profit" you speak of. Smoke and mirrors accounting. Hopefully the union shines more light on this for the investors to see.

 

Some "additional stuff" to add to this thread....

CNBC interview with Barry today:

https://twitter.com/RossFeinstein/st...54844848078848

meanwhile, ULCC is down 8% while other airline stocks are down 2-3%, in line with the overall market being down today

meanwhile, arguably a competitor, Allegiant, just released their own 2Q performance: https://ir.allegiantair.com/news-rel...ancial-results

Allegiant reported 16.1 % margin

 

They’re bombing this. I wanted to stay…I just can’t justify it anymore. I’ll risk a furlough at a legacy to get out of this **** show.

 

Doesn’t Allegiant have other income sources like hotels and tour packages ? Wonder how much that adds to the bottom line.

 

We cancelled 7 % of our flights yesterday. United cancelled 2 %. Just a couple days ago 2 of my planes were ferried in from 3 to 4 hours away. The potential is there but the current team
running this place aren’t doing a very good job. I bet our profits would be 15 percent if it was run and staffed properly.

 

the "airline only" margin was 16%, shown in the image

 

To be fair, if you skip to 19:00 in the CAPA interview, Franke stated, “At the end of the day, I can’t survive low single-digit returns on capital.”

He did not say, “At the end of the day, I can’t survive low, single-digit returns on capital.” (Note the placement of the comma.)

The conversation they were having was not that single-digit returns are bad but, instead, that single-digit returns on the low end of the scale are bad, i.e. less than 5%.

This is my interpretation, anyway.