Indigo Partners LLC announced its plan to proceed with its purchase of Frontier Airlines amidst labor agreement problems. This was according to a report published by Yahoo Finance on its website.
In September, the Phoenix-based company agreed to buy Frontier from Republic Airways Holdings. This agreement was subject to the condition that the company should reach a successful negotiation with the Association of Flight Attendants. However, Indigo Partners failed to comply with the condition. Indigo announced on Wednesday that it will waive that condition instead, said the report.
The acquisition deal would still be subjet to regulatory approval. Its sale price was not yet confirmed, but it was earlier reported to be at around USD36 million in addition to assumed debt, the report stated.
Frontier Airlines flight attendants said they want to have a fair offer for the equity and profit-sharing provisions stipulated in their contracts. They also expressed their willingness to cooperate with Indigo Partners for the airline's improvement, Yahoo Finance reported.
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