Spirit Airlines said on Wednesday it has rejected a bid from rival Frontier Group as it was not favorable for the low-cost carrier and expects to exit bankruptcy in the first quarter. Frontier offered Spirit shareholders $400 million in debt and a 19% stake in Frontier earlier this month,

Discount carrier says a merger would be a better path out of bankruptcy for Spirit, which has rebuffed the latest proposal.

Frontier Airlines is proposing a deal to acquire competitor Spirit Airlines out of bankruptcy in a cash and stock offer revealed Wednesday morning.

Spirit Airlines on Wednesday said it expects to exit bankruptcy in the first quarter and rejected a merger with rival Frontier Group, saying it was not favorable for the low-cost carrier. It received a proposal from Frontier earlier this month,

Frontier Airlines is attempting for a second time to merge with the now bankrupt Spirit Airlines, which declared bankruptcy late last year as budget airlines struggle

Frontier says a merger would be a better path out of bankruptcy for Spirit, as budget carriers struggle with high costs and competition.

Budget carrier Frontier Airlines announced on Wednesday that it has made another bid for fellow discount carrier Spirit Airlines, which is in bankruptcy, for an undisclosed sum.

Frontier Airlines struck out yet again in its second attempt to acquire rival carrier Spirit Airlines. Spirit filed for bankruptcy last year as it faced mounting losses.

Frontier Airlines said Wednesday it has again proposed merging with struggling rival Spirit Airlines, which is in bankruptcy.

Frontier Airlines is attempting for a second time to merge with Spirit Airlines, which declared bankruptcy late last year as budget airlines struggle. Frontier Group Holdings Inc., the parent company of Frontier Airlines,