Katherine

Katherine asked about the factors that could push Frontier's full-year guidance towards the low or high end of the range, seeking insight into the underlying assumptions. She also inquired about the catalyst for deferring aircraft deliveries and whether it was primarily driven by determining the optimal long-term growth rate.

Answer

Chief Financial Officer Mark Mitchell explained that the guidance range reflects the transition year, the timing of productivity resets, cost savings, and the constructive supply-demand environment. President and CEO Jimmy Dempsey stated that the 10% growth rate was chosen for revenue stability and new market opportunities, providing flexibility to accelerate or decelerate based on market conditions, and is considered a good long-term number for the business.

Katherine asked for clarification on Frontier's wide guidance range for the year, seeking insights into factors that would push results towards the low versus high end. She also inquired about the catalyst for deferring some aircraft, specifically whether it was driven by a decision on the optimal long-term growth rate.

Answer

Chief Financial Officer Mark Mitchell explained that the guidance range reflects the current year as a transition period focused on resetting productivity and efficiency, with cost savings having clear line of sight. He noted that a constructive supply-demand environment, anticipated productivity gains, cost savings, and traction on revenue initiatives could push results towards the higher end. President and CEO Jimmy Dempsey added that the decision to defer planes and target 10% growth was made to provide more revenue stability compared to historical growth rates, allowing for disciplined expansion into new markets while leveraging Frontier's low-cost base.

Katherine asked for more color on why Sunitinib was chosen as the control arm for the Stellar-304 study in non-clear cell renal cell carcinoma (nccRCC), considering the various histologic subtypes in this population.

Answer

Dana Aftab, EVP of Research and Development, explained that Sunitinib is a highly relevant standard of care in this setting, used extensively both ex-US and in the US, and has an overlap in target profile with Zanzalintinib, making it a suitable comparator for a pivotal Phase 3 trial.

Katherine asked for more details on why Sunitinib was chosen as the control arm for the STELLAR-304 study, which evaluates Zanzalintinib in non-clear cell renal cell carcinoma, considering the diverse histologic subtypes in this patient population.

Answer

Dana Aftab, Executive Vice President of Research and Development, explained that Sunitinib is a standard of care in this setting and a highly relevant comparator, especially given its target profile overlap with Zanza. She noted its extensive use both internationally and in the U.S.