I think it's the order of jets on the expense side if things. They added 8 jets in the 3rd quarter. That's a significant expense on the balance sheet. Add to that increased fuel costs, that also lowers profit margins.

They have $600m in cash, so theyshave plenty of liquidity to get through the losses as they grow the fleet and fly more people with the larger planes.

They can go about 10 quarters of current losses before they run into issues with cash reserves, but then there are other ways to get money.

I do think that with this new rewards model, we will start to see higher ticket prices. The industry as a whole has increased prices, but Frontier hasn't really.