Frontier Airlines

The increasing fuel prices are forcing all airlines to re-think their business strategies and Frontier Airlines is definitely one of them.

Republic Airways Holdings Inc. said Monday that it is reducing growth plans for its Frontier Airlines unit because of uncertainty about future oil prices.

Frontier's seat capacity will be flat in the second quarter, rather than expanding by 1.5 percent to 2.5 percent as the airline had previously planned. The number of passenger bookings is ahead of last year and revenue is climbing, the company said. However, the price of jet fuel -- the largest expense at most airlines -- has been rising dramatically with the price of oil.

It is reasonable for airlines to take a strategic review of their business operation in line with the increasing fuel prices.