Princess Cruises to Suspend Operations for 60 Days

Posted on 12 March, 2020 by Spacejunkie2

Princess Cruises announced will temporarily and voluntarily pause all ship operations for 60 days, calling it a proactive response to the unpredictable circumstances evolving from the global spread of COVID-19 and in an abundance of caution.

The company will voluntarily pause global operations of its 18 cruise ships for two months (60 days), impacting voyages departing March 12 to May 10.

“Princess Cruises is a global vacation company that serves more than 50,000 guests daily from 70 countries as part of our diverse business, and it is widely known that we have been managing the implications of COVID-19 on two continents,” said Jan Swartz, president of Princess Cruises. “By taking this bold action of voluntarily pausing the operations of our ships, it is our intention to reassure our loyal guests, team members and global stakeholders of our commitment to the health, safety and well-being of all who sail with us, as well as those who do business with us, and the countries and communities we visit around the world,” added Swartz.

Those currently onboard a cruise that will end in the next five days will continue to sail as expected through the end of the itinerary so that onward travel arrangements are not disrupted. Current voyages that are underway and extend beyond March 17 will be ended at the most convenient location for guests, factoring in operational requirements.

Princess will do everything possible to return each guest home with the greatest amount of care possible, the company said.

For those who are impacted by this business decision, Princess is offering guests the opportunity to transfer 100% of the money paid for their cancelled cruise to a future cruise of their choice. To add a bonus incentive for guests to accept this offer, the company will add an additional generous future cruise credit benefit which can be applied to the cruise fare or onboard expenses. In addition, Princess will honour this offer for those guests who had made final payment and cancelled their booking on or after February 4, 2020. The future cruise credit can be used on any voyage departing through May 1, 2022.

Princess will protect travel advisor commissions on bookings for cancelled cruises that were paid in full and for the total amount of the future cruise credits, in recognition of the critical role they play in the cruise line’s business and success.

If the future cruise credit option does not work for some guests, they will be able to complete an electronic form on Princess.com to request a cash refund. Princess asks guests not to call the Reservation Call Center due to the possibility of high call volumes and the potential of long on-hold wait times due to this unprecedented action. Guests and their travel advisors will be sent communications on how to manage cancellations and desired compensation. Information and instructions for requesting a refund are available online at Princess.com

Princess Cruises plans to be back in operation beginning with cruises departing May 11, 2020.

Royal Caribbean Comments on Liquidity Actions and 2020 Outlook

Posted on 11 March, 2020 by Spacejunkie2

Royal Caribbean Cruises today announced that due to the spread and recent developments related to the COVID-19 outbreak, the company has increased its revolving credit capacity by $550 million bolstering the company’s liquidity, according to a press release.

The company is pursuing additional actions to improve its liquidity by reducing capital expenditures, operating expenses and taking other actions to improve liquidity by at least a further $1.7 billion in 2020.

The company is also planning reductions to the 2021 capital expenditures and operating expenses.

The company had previously communicated that its 2020 guidance did not include the impact of the COVID-19 outbreak.

Given the recent government actions and the heightened impact and uncertainty of changes in the magnitude, duration and geographic reach of COVID-19, the company is withdrawing its first quarter and full-year 2020 guidance.

“These are extraordinary times and we are taking these steps to manage the company prudently and conservatively,” said Richard D. Fain, chairman and CEO. “I am proud of the work our teams are doing to address this unprecedented situation.”

U.S. State Dept. Issues Cruise Travel Warning

Posted on 9 March, 2020 by Spacejunkie2

U.S. State Department Logo

The U.S. State Department has issued an updated travel warning for American citizens considering travel by cruise ship.

“U.S. citizens, particularly travellers with underlying health conditions, should not travel by cruise ship,” the State Department has said in a statement posted to its website on Sunday, March 8.

“CDC notes increased risk of infection of COVID-19 in a cruise ship environment. In order to curb the spread of COVID-19, many countries have implemented strict screening procedures that have denied port entry rights to ships and prevented passengers from disembarking. In some cases, local authorities have permitted disembarkation but subjected passengers to local quarantine procedures. While the U.S. government has evacuated some cruise ship passengers in recent weeks, repatriation flights should not be relied upon as an option for U.S. citizens under the potential risk of quarantine by local authorities.

“This is a fluid situation. CDC notes that older adults and travellers with underlying health issues should avoid situations that put them at increased risk for more severe disease. This entails avoiding crowded places, avoiding non-essential travel such as long plane trips, and especially avoiding embarking on cruise ships.”