Frontier Airlines Leaving Newark Airport, Cites ‘Cost Pressures’

NEWARK, NJ — Frontier Airlines is bidding Newark Liberty International Airport goodbye – for now.

During the carrier’s third quarter earnings call on Wednesday, a senior executive said the budget airline will be ending service to Newark – as well as Washington Dulles International Airport – sometime in the first quarter of 2022.

Earlier this year, Frontier Airlines exited Los Angeles International Airport and San Jose International Airport.

“We’re taking action on the significant increase we’re seeing in the cost pressures at airports,” Daniel Shurz said.

“As with any airport, if the fare and cost relationship improves, we will revisit the decision,” Shurz added.

Frontier’s coming exodus from Newark will mark a short honeymoon. In August 2019, the airline announced it would be providing low-cost service for 15 nonstop routes from Newark to Chicago, Dallas, Denver, Miami, Phoenix, Raleigh and San Juan. That announcement came a month after Southwest Airlines announced it was pulling out of Newark Airport because of "below expectation" financial results.

• See related article: Newark Airport Loses Southwest, But Gains Frontier Airlines

Frontier Group Holdings Inc., the airline’s parent company, reported the following financial results for the third quarter of 2021:

“Frontier was profitable in the third quarter on a GAAP basis, recognizing $23 million of net income. After adjusting for non-GAAP items, including $72 million of CARES Act credits and $1 million in early lease termination costs, Frontier recognized a net loss of $24 million. Frontier had 112 aircraft at the end of the quarter, 10 percent higher than the corresponding prior year period and 20 percent higher than the third quarter of 2019. Frontier's capacity, as measured by ASMs, modestly exceeded the levels achieved in the comparable pre-COVID quarter in 2019. Frontier opened three new stations during the third quarter of 2021 and operated an average of over 435 flights per day, which was eight percent higher than the comparable pre-COVID quarter in 2019. Frontier generated $106 of total revenue per passenger during the quarter, including $63 of ancillary revenue per passenger. Frontier's ancillary revenue per passenger during the third quarter was 12 percent higher than the comparable pre-COVID quarter in 2019. While the quarter was impacted by the delta variant and rising fuel prices, management remained financially disciplined and the company ended the quarter in a strong financial position.”

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