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Sale of Frontier Airlines closes

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December 3, 2013 05:10 PM EST | AP

DENVER (AP) — The sale of Frontier Airlines to a company that plans to turn it into an ultra-low-cost airline is a done deal.

New owner Indigo Partners LLC has said it will refashion Frontier as an ultra-low-cost airline. Airlines like that, including Spirit Airlines, generally charge low fares but have fees for things like using the overhead bin, or printing a boarding pass at the airport.

William Franke (FRANK-ee) runs Indigo, and used to be Spirit's chairman. He says demand is growing for more affordable airline options.

Indigo says Frontier will continue to be based in Denver.

Frontier's old owner, Republic Airways Holdings Inc., had said selling Frontier for $36 million plus assumed debt will let it refocus on running feeder airlines for major carriers such as Delta and United.