MSC Signs Five-Year Deal With Cruise Saudi

MSC Cruises has signed a five-year agreement with Cruise Saudi for preferential berthing rights at the port of Jeddah.

According to the cruise line’s press release, this is a “further sign of its long-term commitment to support the development of the local tourism sector by operating cruises in the Red Sea and Arabian Gulf.”

The announcement was made in Jeddah as one of the company’s most modern ships, the MSC Bellissima, celebrated the opening of the city’s new passenger terminal with a commemorative event onboard.

The new cruise terminal will welcome guests onboard for MSC Bellissima’s inaugural season in the Red Sea with three- and four-night cruises from Jeddah, Saudi Arabia to both Egypt and Jordan until the end of October.

The event onboard the MSC Bellissima was hosted by Pierfrancesco Vago, executive chairman of MSC Cruises and Fawaz Farooqui, managing director of Cruise Saudi, for local dignitaries, senior officials from the Saudi Tourism Authority, Cruise Saudi, the Saudi Ports Authority – Mawani as well as members of the Saudi Arabian media and travel community.

The Master of the ship Captain Roberto Leotta, who will helm the MSC Bellissima in the months ahead, exchanged crests with Fawaz Farooqui in a traditional maritime ceremony to celebrate a vessel’s maiden port call.

MSC said that those onboard for the event were given guided ship tours, treated to a special show by MSC Cruises’ entertainment team and also enjoyed fine dining in a range of the ship’s specialty restaurants.

“This is a very special, historic day for all of us. The largest and most modern cruise ship to operate in the Red Sea has set sail from Jeddah’s new terminal to mark a new beginning for cruising in Saudi Arabia and, more broadly, for its growing tourism industry,” said Vago.

“We can now allow our global guest base to come and experience our unique itineraries in this beautiful country with its historic UNESCO World Heritage sites and pristine shores. And with the new agreement in place, together with Cruise Saudi we will work in unison to develop this very special aspect of Saudi Arabia’s determined and sustainable growth in tourism which mirrors exactly our own strategy and ambition … And we will work together in attracting guests from all corners of the world as well as local markets for a Red Sea and Arabian Gulf holiday like no other onboard our modern and environmentally high performing vessels,” he added.

Chief Operations and Commercial Officer for Cruise Saudi, Mark Robinson, said that the event marked a great milestone for Cruise Saudi and for the tourism industry in Saudi Arabia, “in line with Vision 2030.”

“The creation of Cruise Saudi, tasked with launching the cruise industry in Saudi Arabia, happened just six months ago at FII in Riyadh. Yet in these few months we have been able to work with international partners such as the Cruise Division of MSC Group and national bodies such as the Saudi Ports Authority, MAWANI, the Red Sea Gateway Terminal, the Saudi Tourism Authority, the Ministries of Transport, Culture, Health and Tourism, Saudi Customs and Immigration, the Saudi Border Guard, Jeddah Chambers of Commerce and many more such organizations to build Saudi Arabia’s first cruise terminal at Jeddah Islamic Port, and to mobilize the infrastructure, manpower and systems required to host global cruise lines for Saudi Arabia’s first full summer and winter cruise seasons,” Robinson said.

He added: “The remit of Cruise Saudi; to create 50,000 jobs by 2025, to facilitate the building of an additional five ports, with Jeddah as a homeport, and to welcome 1.5 million annual passenger visits by 2028; is an ambitious one, which will play a major part in strengthening the tourism industry in Saudi Arabia. It is a vision that we would not be able to accomplish were it not for our trusted business partners such as MSC.”

Targeted Iranian Tanker Plugged as it Heads for Gulf, Iran Says

The Iranian-owned Sabiti oil tanker is seen sailing in the Red Sea

An undated picture shows the Iranian-owned Sabiti oil tanker sailing in the Red Sea. National Iranian Oil Tanker Company via WANA (West Asia News Agency) via REUTERS 

DUBAI, Oct 12 (Reuters) – Leakage of cargo from an Iranian-owned oil tanker apparently hit by missiles in Red Sea waters off Saudi Arabia has been stopped as it heads for the Gulf, the semi-official Iranian news agency Mehr reported on Saturday.

The tanker Sabiti was targeted on Friday, Iranian media reported earlier, an incident that if confirmed will stoke friction in a region rattled by attacks on tankers and oil installations since May.

“The tanker is heading for Persian Gulf waters and we hope it will enter Iranian waters safely,” Mehr quoted an unnamed official as saying. “The cargo leakage has stopped.”

Carnival’s Q3 profit rises, but storm clouds are on the horizon

Carnival Corp. reported higher third quarter-net income, but reduced its outlook for the 2019 fiscal year and said that business in Europe and the U.S. had eroded since it last reported results three months ago.

Reacting to the mix of news, investors pushed Carnival shares down 7% in mid-morning trading on Thursday.

Carnival said net income for the quarter ended Aug. 31 was $1.78 billion, up from $1.71 billion a year earlier, while revenue rose to $6.53 billion from $5.84 billion.

Carnival also reported higher earnings adjusted for nonrecurring factors, but forecast that earnings for the full year would fall in the range of $4.23 to $4.27 a share, compared to a previous range of $4.25 to $4.35 put forth in June and actual results of $4.26 a share in 2018.

Carnival blamed higher anticipated fuel prices for the reduction.

“We achieved additional cost improvements largely driven by leveraging our scale, offsetting the earnings impact due to voyage disruptions from the combined impact of Hurricane Dorian, the tensions in the Arabian Gulf and the delayed delivery of Costa Smeralda,” Carnival CEO Arnold Donald said in a statement.

“A further reduction in guidance for ticket and onboard revenue worth 6 cents per share in part contributed to by the high level of close-in voyage disruptions was also offset. However, due to an 8 cent a share impact from the recent spike in fuel prices caused by geopolitical events, we are reducing our full-year guidance for 2019 by 5 cents a share,” Donald said.

Carnival said it expects it’s North America and Australia segment yields to be up for the year, but slightly less than previous guidance while its Europe and Asia segment is still expected to be down for the year but slightly more than previous guidance.

It also said: “Cumulative advanced bookings for the first half of 2020 are ahead of the prior year at prices that are in line compared to 2019 on a comparable basis. Since June, both booking volumes and prices for the first half of next year have been running lower than the prior year.”

By mid-afternoon Thursday, Carnival shares were trading at $44.14, off 8.2% from Wednesday’s close.