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11/10/2021
Ladies and gentlemen, thank you for standing by, and welcome to the Frontier Group Holdings 3rd Quarter 2021 Earnings Conference Call. At this time, all participants are in listen-only mode. Later, we will conduct a question-and-answer session, and if you would like to ask a question during that time, simply press star 1 on your telephone keypad. If anyone should require assistance during the conference, please press star 0. I would now like to turn the conference over to Suzanne D'Oprio, head of investor relations. Please go ahead.
Thank you, operator, and welcome everyone to Frontier's third quarter earnings call. This call is being recorded and simultaneously webcast. A replay of this call can be found on our website. On the call with me today are Barry Biffle, Frontier's president and CEO, Jimmy Dempsey, EVP and CFO, and Daniel Schurz, senior VP commercial, as well as other members of the management team. Following our prepared remarks, there will be a question and answer session for the cell site analysts. We also wanted to remind everyone on the call today that today's discussion does contain forward-looking statements that are based on the company's current expectations and are not a guarantee of future performance. There could be significant risks and uncertainties that cause actual results to differ materially from those reflected by the forward-looking statements, including the risk factors discussed in our reports on file with the SEC. We undertake no duty to update any forward-looking statements. In comparing results today, we will be adjusting all periods to exclude special items. Please refer to our third quarter 2021 earnings release, which is available on our website for the reconciliation of our non-GAAP measures. With that, I will turn it over to Barry for his opening remarks. Barry.
Thank you, Susan. And thank you everyone for taking the time to attend our third quarter earnings call. This quarter reflected another step in our path to recovery with the business remaining resilient and managing the dynamic nature of the pandemic. I'm very proud of the team and thank them for their continued delivery of safe and reliable service to our customers. During the quarter, we increased our capacity while also delivering a high level of operational reliability. We continue to view the Delta variant as transitory and remain focused on getting the airline back to full utilization in the second quarter of 2022, while being nimble to address any further impacts from COVID. We also achieved $63 in ancillary revenue per passenger, which is higher than the levels we were able to achieve pre-COVID. While the pandemic has lasted longer than any of us expected, the vaccine boosters, vaccines for children, and the new therapeutic treatment expected to be approved by year-end provide strong support for sustained demand recovery into 2022. More broadly, as the recovery progresses and demand returns, we plan to continue the expansion of our domestic and international network while continuing to build on our ancillary performance. In a moment, Daniel will take you through our third quarter revenue performance and the opportunities we see going forward. On the cost side, We're focused on expanding our relative cost advantage by driving efficiency in all aspects of the business and offsetting inflation by being relentless in eradicating waste in our efforts to drive lower costs. And to be clear, when we reference our relative cost advantage, we mean our total costs, including fuel and interest expense. I'll now turn it over to Daniel to provide a commercial update.
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