Airline Merger

[ACMAir]

Hello,

Currently Frontier Airlines Holding (OTC:FRNTQ) are trading at 30 cents a share. Their market capital is 11.08 Million dollars. With such a low market capital for an airline with a fleer of over 60 new airbus A319/318 and A320 aircraft, aren't they at risk of being acquired or merging with another airline, eager to obtain their large number of slots at Denver airport? It would give the airline a large chance to rival united and Southwest out of Denver.

[jasaunders]

Not really, because an acquirer would have to assume their debt which is over $600 million. Looking at their balance sheet, you'll also find their retained earnings are negative (something you don't see too often).

The more likely scenario is that Frontier would file for bankruptcy.

[ACMAir]

Not really, because an acquirer would have to assume their debt which is over $600 million. Looking at their balance sheet, you'll also find their retained earnings are negative (something you don't see too often).

The more likely scenario is that Frontier would file for bankruptcy.

They did file for Chapter 11