Frontier: commitment for financing, new fee policy

Good news for Denver-based Frontier Airlines. The carrier, currently operating in Chapter 11 Bankruptcy, says it has a commitment from a private investment firm for $75 million in “post-petition, debtor-in-possession financing”. The company anteing up the money is Perseus LLC.

Frontier President and CEO Sean Menke considers the move, “a major boost to Frontier, and builds momentum toward its emergence from bankruptcy as a viable enterprise”.

Brian Leitch, the Perseus' senior managing director, says the investment firm is, “enthusiastic about the opportunity to invest in the future” of the carrier. He believes the airline, “has the highest-quality affordable coach product in the domestic airline industry”.

Separately, Frontier says its changing its standby policy, and adopting what it terms a “simpler fee structure”. The previous standby policy is going away. Flyers changing to a different flight the same days as their originally scheduled flight get a confirmed seat on another departure - if it's available - and are now charged a fee for the difference, if any, between the original fare and the price of the new flight.

While it may cost you, Frontier's Menke says: “Anyone who has tried to standby without a confirmed seat knows the frustration of not knowing if you will make the flight.” He says the carrier's new policy means, “customers will immediately know if they have a seat or not”.

Another change: if you want to change your original reservation in advance of your travel date, you'll have to pay a $150 change fee plus any difference in fare.

The fee and policy changes take effect for tickets purchased on or after July 25, for travel on or after August 15.

Most airlines are raising fees and changing policy these days, in the face of unprecedented fuel prices.

How to cope: As nearly as you can, be rock-solid sure of your travel plans before you book. Take into considerations as many contingencies as you can - illness, work commitments, that sort of thing. Changing plans these days can be costlier than ever before, and can materially affect your journey.

© Cheapflights Ltd Jerry Chandler