Frontier to Build New Heavy Maintenance Facility in Colorado Springs
November 02 2007 - 11:00AM
PR Newswire (US)
Frontier to add new commercial service between Denver and Colorado
Springs by spring 2008 DENVER, Nov. 2 /PRNewswire-FirstCall/ --
After more than a year of intensive research and in-depth financial
analysis, Frontier Airlines Holdings, Inc. (NASDAQ:FRNT) today
announced that it will build a new base maintenance facility for
Frontier Airlines' heavy maintenance program at Colorado Springs
Airport. Although final designs have not been completed, Frontier
estimates the facility will be approximately 100,000 square feet,
with about 30,000 square feet of hangar floor space and 45,000
square feet of offices and support shops, as well as 25,000 square
feet of warehouse and tool room space. Including parking
facilities, the Company believes the project will require a site of
approximately 11 acres. Frontier and Colorado Springs Airport are
expected to begin the $25 million construction project in late
spring 2008 and estimate it will take 12 to 18 months to complete.
Frontier anticipates financing the construction project and related
equipment and tooling purchases through a tax exempt special
facility bond offered through the City of Colorado Springs.
Frontier will then lease the facility from the City for an initial
30-year period. The new facility will be a base for approximately
225 airline professionals, including mechanics, supervisors,
quality control inspectors, and purchasing and material handling
staff. "This is a historic day for Frontier Airlines and one that
has been in the making for many years," said Sean Menke, Frontier
President and CEO. "We began the latest search for a site in
earnest well over a year ago, with many considerations such as the
impact the location would have on our employees, as well as a
critical review of the financials associated with such a large
scale project and potential move from our current leased facility
at DIA. In the end, we feel that we have found a great fit in
Colorado Springs, both for our employees as well as for our balance
sheet. The City of Colorado Springs has proven throughout the
review process that they understand the sensitivities our employees
have with relocating and they recognized early on that any offer
they made would have to be very financially compelling for us to
consider it. "I commend all of the Colorado sites from whom we
received proposals. I have no doubt they all put forward their very
best packages and we greatly appreciate the time, coordination and
sacrifices those proposals represent. Specifically I want to thank
DIA and the City of Denver for their efforts. They worked very
aggressively to keep our maintenance base in Denver but at the end
of the day, the Colorado Springs opportunity was simply a better
financial fit for our needs. "While we anxiously await the start,
and ultimately completion of this new state-of-the-art maintenance
facility, we are happy to add that we will be able to easily
transport our new friends in Colorado Springs to and from our hub
in Denver. While we are still analyzing the appropriate aircraft
and frequencies for this service, we are committed to linking
Colorado Springs to our DIA hub by late spring of 2008, offering
Colorado Springs a one-stop connection to over 60 cities in the
U.S., Canada, and Central America via Frontier's mainline Airbus
service. "Most importantly, on behalf of the board and the entire
leadership team of Frontier, I want to thank our employees for
their input and patience as we engaged in a process that we
understood could have a very direct impact on their lives and their
families with the potential for relocation. We did not make this
decision lightly, and we plan to work very closely with the City of
Colorado Springs to ensure that our employees have every possible
benefit offered to a new company moving into their community. There
will be extensive relocation programs developed specifically for
Frontier and of course, Colorado Springs offers an excellent
quality of life. We are hopeful that all of our current employees
will be able to make the move to the new facility upon completion
of the construction project." "This is a day to celebrate," said
Colorado Springs Mayor Lionel Rivera. "This announcement is one
that we have worked on diligently to make a reality. It is with
enthusiasm and pride that we warmly welcoming Frontier and the
families of Frontier to the Colorado Springs community. City
Council had an important role in landing the maintenance hangar,
and I am happy to see a public goal of mine come to fruition as
plans for low cost air service begin to take off from the Colorado
Spring Airport. This has been a team effort and is a team success.
It has been about creativity and collaboration. It is about a
professional, dedicated airport staff listening to a customer, a
partner, and thinking outside the box. The City of Colorado Springs
has a strategic goal of economic vitality. This is a huge step
forward toward successfully setting the pace for that goal. We will
see new jobs, a new facility and new families joining our
community. We can't wait to show you what Colorado Springs is all
about. Welcome aboard." "The new Frontier service is a great
addition for Colorado Springs," said Colorado Springs Airport
Aviation Director Mark Earle. "This will give our customers more
choices, making it easier for them to enjoy the convenience of
flying out of their hometown airport. We're also excited about the
new base maintenance facility and look forward to welcoming the
Frontier maintenance team and their families to our community."
About Frontier Airlines Holdings, Inc. Frontier Airlines Holdings,
Inc. is the parent company of Denver-based Frontier Airlines.
Currently in its 14th year of operations, Frontier Airlines is the
second-largest jet service carrier at Denver International Airport,
employing approximately 6,000 aviation professionals. With 60
aircraft and one of the youngest Airbus fleets in North America,
Frontier offers 24 channels of DIRECTV(R) service in every seatback
along with 33 inches of legroom in an all coach configuration. In
conjunction with its regional jet fleet, operated by Horizon and
Republic Airlines, Frontier offers routes linking its Denver hub to
61 destinations, including 53 U.S. cities in 32 states spanning the
nation from coast to coast, seven cities in Mexico, two cities in
Canada and one in Costa Rica. In November 2006, Frontier and
AirTran announced 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. In December 2006, Frontier was
designated "Best Low Cost Carrier" in the U.S. by the readers of
Business Traveler magazine. Frontier's maintenance department has
received the Federal Aviation Administration (FAA) Diamond Award
recognizing its advanced training standards for eight consecutive
years, from 1999 to 2006. For more in-depth information on Frontier
Airlines, please visit its Web site at
http://www.frontierairlines.com/. DATASOURCE: Frontier Airlines
Holdings, Inc. CONTACT: Joe Hodas of Frontier Airlines Holdings,
Inc., +1-720-374-4504, Web site: http://www.frontierairlines.com/
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