Frontier Company Presentation
Post-COVID Debt Burden has Potential to Widen Cost Advantage
Principal and Interest Payments from
Incremental Debt Issued During the Pandemic,
per Passenger ($)
1
21
Other Airlines
●
• Other U.S. airlines added approximately
$80 billion of debt to their balance sheets
due to COVID-19
●
Interest expense will burden those who
borrowed heavily, providing an opportunity
for Frontier to expand its relative cost
advantage
Note: Incremental debt reflects debt raised during 2020 and 1H 2021 from public filings as of 8/3/21; Principal and interest payment per passenger reflects the average annual
payment assuming 5 years amortization and 2019 passenger count; Other airlines include Big 4 (American, Delta, Southwest and United), Middle 3 (Alaska, Hawaiian and JetBlue),
Spirit and Allegiant; Source: Respective companies' public filings
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