Frontier Group Holdings Inc., the parent company of Denver-based Frontier Airlines, announced Monday that CEO Barry Biffle has stepped down effective immediately.
The company’s president, James G. Dempsey, was named as interim CEO as the board seeks a new leader, according to an announcement made after the close of stock trading on Monday. Biffle will stay on as an adviser through the end of the year.
“Jimmy has been an invaluable member of Frontier’s senior leadership team for more than 10 years and has played an
instrumental role in the company’s evolution and growth during that time,” said Board Chairman Bill Franke. “We believe Jimmy is uniquely qualified to guide our airline into the future.”
Biffle joined the Denver-based airline in July 2014 as president, leaving behind a job as the chief marketing officer at Spirit Airlines, a leading ultra-low-cost carrier at the time. He was promoted to CEO in March 2016.
Frontier’s owners at the time, Indigo Partners, gave Biffle the task of converting Frontier into an ultra-low-cost carrier. And Biffle added his own colorful flair to the task.
The airline attracted customers with low fares, and then tried to convince them to pay extra for bundles that included additional services. Biffle beefed up the company’s loyalty program. He significantly expanded the airline’s route network, focusing on underserved secondary markets as well as a handful of international destinations. Earlier this month, Frontier Airlines announced it was adding 23 new routes, with fares starting at $39 each way.
He placed one of the country’s largest orders ever for the Airbus A320neo, ordering 134 jets in a bid to significantly improve the fuel efficiency of Frontier’s fleet, something the airline heavily marketed.
Biffle navigated the turbulence of the pandemic, but Frontier struggled to maintain consistent profits in the years that followed, despite innovations like the GoWild! Pass, which Frontier rolled out in 2023 as a way to put bodies into surplus seats for customers willing to pay a flat membership fee and book last-minute.
“The Board of Directors is deeply appreciative of Barry’s leadership and dedicated service to Frontier over the past 11 years. We thank him for his many contributions during his tenure,” Franke said.
No reason was provided for Biffle’s departure, but the company’s stock performance provides some clues. Since it went public again in April 2021 at $19 a share, Frontier Group’s share price has fallen 70%. And shares, which closed at $5.76 on Monday, are down nearly 19% this year.
The company’s operating margins, after swinging positive last year, moved into the red again this year. After generating a net income of $31 million last year, Frontier lost $190 million in the first nine months of the year.
Dempsey came to Frontier Group from Ryanair Holdings PLC, an Irish ultra-low-cost carrier known for its strict financial discipline. His background in finance and accounting contrasts with Biffle’s expertise in marketing and growth focus, which makes it likely that some belt-tightening is in store next year.
As for timing, year-end is a popular time for corporate boards to part ways with their CEOs. Through October, there have been 1,760 CEO departures, according to the placement firm Challenger, Gray & Christmas.
Biffle now joins that list.
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