Scott Kirby Thinks Low-Cost Airlines Are Dead; This Airline CEO Thinks He’s Wrong

United Airlines (NYSE: UAL) CEO Scott Kirby recently said that the ultra-low-cost carrier model is dying, and he predicted the imminent collapse of the now-bankrupt Spirit Airlines. In a statement to investors, Frontier Airlines (NYSE: ULCC) CEO Barry Biffle has a cold response to Scott Kirby, calling his comments “cute.” Biffle argued that the principal challenges facing the US industry are related to oversupply, not necessarily discount flying on its own. He cited a cost edge, arguing that the airline had a lower cost per available seat mile (CASM) than full-service airlines like United by a significant margin.