A lawsuit filed today in U.S. District Court in Denver by the International Brotherhood of Teamsters asks the court to nullify the concession agreement struck by the Frontier Airlines Pilots Association and parent company Republic Airways.
The Teamsters also seek an injunction that orders Frontier and Republic to deal only with the Teamsters, which won an election in June to represent all of Republic’s pilot groups.
The lawsuit contends that Frontier and Republic Airways conspired to interfere with the election in exchange for FAPA agreeing to concessions for pilots.
After losing $55 million in the first quarter this year, Republic Airways has devised a $120 million program to restructure Frontier’s finances. As part of that program, Frontier pilots have agreed to pay and benefit concessions in exchange for an equity stake and a profit-sharing plan.
In return, Republic is securing new investments and acquiring new aircraft for Frontier with the goal of the Denver-hubbed airline to become a stand-alone company. Republic also is working on becoming a minority owner by the end of 2014.
Ann Schrader: 303-954-1967 or aschrader@denverpost.com.
