Frontier Airlines CEO Barry Biffle has responded to United Airlines CEO Scott Kirby’s statement that the deep discount model in the U. S. is no longer viable. Biffle made his comments at the Skift Global Forum, a travel conference in New York, on Wednesday.

Kirby had previously stated at an airline conference in California that he believed Spirit Airlines, the largest U. S. discount carrier, would go out of business. When asked why, he replied, “Because I’m good at math. ” Kirby also added that if Frontier Airlines wants to be the largest discount carrier in the U. S. , they will be the “last man standing on a sinking ship.

In response, Biffle called Kirby’s remarks “cute” and stated that there is currently an oversupply of flights in the U. S. He also pointed out that Frontier has lower unit costs compared to United and caters to a diverse customer base, including those who may not have flown otherwise and those who are willing to splurge on luxury accommodations.

When asked about Frontier’s reliance on leftover capacity from United, Biffle compared it to the CEO of Nordstrom saying they allow customers to buy jeans from Walmart. Both Frontier and United, along with other airlines like JetBlue Airways, have announced plans to add new flights on major Spirit routes in an effort to win over its customers.

However, ultra-low-cost carriers have faced challenges in recent times, including increased costs due to the pandemic, a surplus of domestic flights leading to lower fares, and competition from larger airlines offering both basic economy tickets and global networks.

Kirby emphasized that customers care about value and do not receive it on ultra-low-cost carriers. These budget airlines have traditionally offered rock-bottom fares and charged fees for additional services such as seat assignments and carry-on baggage. Now, they are looking to offer more upscale options and bundles that include these services.

In the second quarter, Frontier reported a net loss of $70 million but is forecasting growth in unit revenue for the third quarter and expects to achieve profitability in 2026.