Frontier Airlines, Inc 8K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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): November 5, 2002
FRONTIER AIRLINES, INC
(Exact name of Registrant as specified in its charter)
Colorado 0-24126 84-1256945
(State or Other Jurisdiction of (Commission (I.R.S. Employer Identification
Incorporation) File Number) No.)
7001 Tower Road, Denver, CO 80249
(Address of principal executive offices) (zip code)
Registrant's telephone number, including area code: (720) 374-4500
Not Applicable
(Former name or former address, if changed since last report)
Item 5. Other Events and Regulation FD Disclosure
Frontier Airlines, Inc. announces that it has received conditional approval from the Air Transportation
and Stabilization Board for a $63 million federal loan guarantee of a $70 million commercial loan facility.
The press release dated November 5, 2002 entitled "Frontier Airlines Receives Conditional Approval for
Federal Loan Guarantee" is attached hereto as Exhibit 99.1.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
(c) Exhibits
Exhibit No. Description
99.1 Press release dated November 5, 2002 entitled "Frontier Airlines Receives
Conditional Approval for Federal Loan Guarantee"
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 hereunto duly authorized.
FRONTIER AIRLINES, INC.
Date: November 5, 2002 By: /s/
Jeff S. Potter, President & CEO
By: /s/
Paul H. Tate, CFO
EXHIBIT 99.1
[GRAPHIC OMITTED][GRAPHIC OMITTED]
FOR IMMEDIATE RELEASE
CONTACT: Tracey Kelly
(720) 374-4504
E-mail: corpcomm@flyfrontier.com
Frontier Airlines Receives Conditional Approval for
Federal Loan Guarantee
DENVER (Nov. 5, 2002) - Frontier Airlines (Nasdaq: FRNT) today announced it has received
conditional approval from the Air Transportation Stabilization Board (ATSB) for a $63 million federal
loan guarantee of a $70 million commercial loan facility.
"On behalf of Frontier's 3,000 employees, we are extremely appreciative of the government's
recognition of Frontier's solid business plan and the value Frontier's presence brings to aviation in
our country," said Frontier President and CEO Jeff Potter. "During the past eight years, the employees
of Frontier have worked hard to create a strong, economically viable airline that brings affordable,
competitive air service to millions of air travelers each year.
"The events of September 11 and its aftershocks have had a debilitating effect on the capital
markets. We are in the midst of our fleet improvement/transition plan, and access to capital is a critical '
success factor. Obtaining conditional approval for this government backed loan helps to ensure that we can
continue our business strategy, bring competitive air travel options to more communities and preserve
competition in the aviation industry. We are especially grateful for the professional manner in which the ATSB
and their staff conducted this process. We found their knowledge of our industry and the unique challenges we
face to be thorough and comprehensive, and we thank them for their efforts.
"Congress enacted the ATSB loan guarantee program in September 2001 in order to provide financial
stability for airlines impacted by the September 11 terrorist attacks. Subject to satisfaction of the conditions
imposed by the ATSB and obtaining the necessary internal approvals, Frontier Airlines expects to obtain funds
from the ATSB supported loan transaction in its current quarter.
Denver-based Frontier Airlines employs approximately 3,000 aviation professionals and is the second largest
jet service carrier at Denver International Airport. The airline offers service to 37 cities with a fleet
of 34 aircraft, which feature a single-class configuration. In 1999, 2000 and 2001, Frontier's maintenance
and engineering department received the Federal Aviation Administration's highest award, the Diamond
Certificate of Excellence, in recognition of 100 percent of its maintenance and engineering employees
completing advanced aircraft maintenance training programs. In April 2002, Entrepreneur ranked Frontier
one of two "Best Low-Fare Airlines," and in September 2001, Fortune ranked Frontier 41st on its 100
Fastest Growing Companies list. Frontier provides capacity information and other operating statistics
on its Web site, which may be viewed at WWW.FRONTIERAIRLINES.COM.
Legal Notice Regarding Forward-Looking Statements
Frontier notes that this press release contains forward-looking statements and that certain information
contained in this press release involves risks and uncertainties that could result in actual results
differing materially from expected results. These statements include, but are not limited to, Frontier's
ability to receive the ATSB supported loan, and statements relating to future operations and business model
of the airline. Forward-looking statements 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.
Forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted
with accuracy and some of which might not even be anticipated. Some of the factors that could significantly
impact the forward-looking statements in this press release include, but are not limited to: the inability to
reach final agreement with all parties involved with the loan transaction supported by the ATSB; the inability
to obtain all necessary consents and approvals to proceed with the loan transactions; the inability of Frontier
to meet its financial forecasts; significant restructuring of the airline industry and Frontier's direct
competitors; the higher costs of aircraft insurance coverage for future claims caused by acts of war, terrorism,
sabotage, hijacking and other similar perils; and additional incidents, including a potential war with Iraq,
that could cause the public to question the safety and/or efficiency of air travel or disrupt the availability
of fuel supplies at commercially reasonable prices. The Company undertakes no obligation to publicly update \
or revise any forward-looking statements to reflect events or circumstances that may arise after the date of this
press release. Additional information regarding these and other factors may be contained in the Company's SEC
filings, including without limitation, the Company's 10-Q for its fiscal first quarter ended June 30, 2002 and
the Company's 10-K for its fiscal year ended March 31, 2002.