The recent snow storms in Denver have cost both major airlines there, Frontier and United who both have major hubs there, millions of dollars. Frontier Airlines is reporting that the 3 snow storms one right after another hit them hard, especially since they fell near or on holiday travel days. Revenue in December for Frontier would be down by about $11 million because Denver International Airport was forced to shut down for nearly 48 hours right before the big Christmas Holiday.
The news is even worse over at United Airlines. The airline said that December revenue would also be down for the 4th quarter by some $40 million dollars. The airline was forced to cancel some 3,900 flights for the period in and out of their Denver hub. Most travelers opted for a refund instead of rebooking on the airline, which has cost the airline, even after passengers were given the option to rebook fee free with both airlines.
Both airlines build in losses due to airport closures and storms but these totals are signficant numbers for both airlines. Since profit margins have been tight these last few years, a $11 or $40 million dollar loss could mean the difference between making a profit in the 4th quarter and not making a profit.
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