Low-cost-carrier Frontier Airlines is shrinking its existing fleet and delaying plans to buy additional planes in an effort to make operations more profitable.
The Denver-based airline said on February 11 that it is arranging an early return of 24 Airbus A320neo planes that are currently in operation to its aircraft lessor AerCap Holdings.
Leases on the 24 planes were set to expire within the next two to eight years, according to Frontier. The airline expects to complete the returns by the end of the second quarter of 2026.
As part of the deal, AerCap will also agree to 10 future sale-leaseback transactions for aircraft scheduled to be delivered in 2028 and 2029.
The move “represents a significant milestone in our new strategy to improve the productivity of the airline by a disciplined right sizing of our fleet,” said Frontier President and CEO Jimmy Dempsey. “We are delighted AerCap will remain one of our largest lessors, and we look forward to expanding our partnership with an additional ten sale‑leaseback transactions."
In its annual earnings call on February 11, the low-cost airline announced a net loss of $137 million for 2025.
Frontier executives also announced on the airline’s earnings call that the carrier has reached a non-binding agreement with Airbus to defer 69 new Airbus A320neo planes that had been scheduled to be delivered between 2027 and 2030.
“As we look ahead to fiscal 2026, we are encouraged by demand trends and are laser focused on returning Frontier to profitability, strengthening our competitive position and driving enhanced value for our stakeholders,” Dempsey said about the 2025 earnings report. “To achieve this, we're executing a strategy centered on four key priorities: rightsizing our fleet, strengthening our cost discipline, reducing cancellations and improving on-time performance, and maturing customer loyalty."
Despite its smaller fleet, Frontier has announced the launch of 23 new routes across the U.S. and Mexico that are scheduled to begin in March and April. The airline confirmed in its earnings report that those route launches will be moving ahead.
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