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Frontier targets top 20 U.S. metro areas for low-fare

dominance

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Spirit's uncertain future allows Frontier to expand in key

markets

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Frontier adjusts existing routes to accommodate new

service

expansions

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Frontier aims to double loyalty revenue by next year

By Rajesh Kumar Singh

CHICAGO, Aug 26 (Reuters) - Frontier Airlines

CEO Barry Biffle said on Tuesday the budget carrier is seeing an

opportunity to grow its market share, thanks to financial

troubles at rival Spirit Airlines and Southwest

Airlines' ( LUV ) decision to end its policy of allowing free

checked bags.

To cash in on the opportunity, the Denver-based carrier has

announced 20 routes it plans to start this winter. It is also

rolling out a host of offers to cultivate loyal customers and

poach passengers from rival airlines.

The measures are aimed at making Frontier the number one

low-fare carrier in the top 20 U.S. metro areas, Biffle said in

an interview.

"There are ... things that are taking place that have kind

of opened the door for Frontier," he told Reuters.

Southwest's ( LUV ) decision to start charging for bags has created

a "level playing field" in the low-fare airline industry as

customers are now choosing airlines primarily on price, Biffle

said.

Meanwhile, Spirit's future remains uncertain as its finances

remain shaky just months after emerging from bankruptcy. Earlier

this month, the company warned that it might not continue to

operate if its financial results failed to improve rapidly.

The financial troubles have forced Spirit to shrink

operations, enabling Frontier to swoop in some of its key

markets like Fort Lauderdale in Florida. Beginning in November,

Frontier will start service to Fort Lauderdale from Detroit,

Dallas, Houston, Chicago, and Charlotte.

"ULCC capacity is going down. And we think we can fill that

void," Biffle said.

The airline, however, would adjust capacity on some of its

existing routes to serve the new routes, he added.

Frontier, like other U.S. carriers, has been grappling with

soft travel demand in the domestic market. The company has

forecast a wider-than-expected loss for the current quarter and

has been betting on network changes, capacity cuts and improved

product offerings to lift its earnings.

On Monday, it unveiled loyalty matching programs to grab

customers from other airlines. Biffle said Frontier is aiming to

double its loyalty revenue to $6 per passenger by next year.