Cruise lines and tour ops cancel visits to Ukraine, Crimea

By Michelle Baran

Sevastopol's Monument to Scuttled ShipsAs Russia annexed Crimea and the Ukraine government began to withdraw its military personnel from the peninsula this week, travel suppliers began cancelling visits to Ukraine and Russia, as well as to Crimean destinations.

Cruise lines have begun altering some of their Black Sea sailings to bypass previously scheduled port stops in Odessa, Sevastopol and Yalta.

Windstar, Oceania, MSC, Regent Seven Seas and Azamara have substituted port calls in alternative countries, including Turkey, Romania, Bulgaria and Greece.

Silversea canceled calls to the Crimean peninsula for the April 25 Black Sea sailing of the Silver Wind and for the July 21 departure of the Silver Spirit. However, should the situation in Crimea improve, the line said it would consider returning to its original itineraries.

Viking Cruises has a 12-day Footsteps of the Cossacks river cruise on the 196-passenger Viking Sineus, which sails from Kiev into the heart of the Crimean peninsula, with port stops in Sevastopol and Yalta. But its Ukraine departures begin in May, and the company has yet to decide if it will cancel any sailings.

“Though we know our passengers are paying attention to the developments on the ground, we have not yet seen significant cancellations,” Richard Marnell, Viking’s senior vice president of marketing, wrote in an email.

During a speech earlier this month at a dinner event to celebrate the christening of its latest generation of river cruise ships, Viking Cruises Chairman Torstein Hagen said that while nearly all of Viking’s river cruise capacity through the end of October was sold out, space was still available on its Ukraine sailings.

Many tour operators have already canceled either part or all of their 2014 tour itineraries that include stops in Crimea, offering affected passengers refunds or the option to rebook travel elsewhere.

Globus canceled all 2014 departures of its Ukraine and Crimea tour; Insight Vacations is no longer offering its 12-day Ukraine, Moldova and Crimea tour; and Intrepid Travel has canceled three Ukraine departures through mid-June.

Seven Seas Voyager emerges from drydock

Seven Seas Voyager emerges from drydock

By Tom Stieghorst
The 700-passenger Seven Seas Voyager is on a Rome-to-Venice cruise, its first since emerging from a scheduled drydock for interior and deck upgrades.

Among many changes, the ship’s nightclub and observation lounge got new furnishings, wall coverings, carpeting and lighting. The Constellation Theater was rejuvenated, penthouse suites were redone and new teak was installed on the balconies of all 350 cabins.

The refurbishment was overseen by Frank Del Rio, CEO of Prestige Cruise Holdings, parent of Regent Seven Seas Cruises. Del Rio flew to Marseille, France, for a final inspection before the Seven Seas Voyager set sail, the cruise line said.

UBS Sees Conservative Growth in Cruise Capacity

UBS Sees Conservative Growth in Cruise Capacity

Findings are based on scheduled delivery of new ships during the upcoming yearsBy: Marilyn Green

Cruise
Viking Ocean has newbuilds scheduled for 2015 and 2016, with the potential for additional orders. // © 2013 Viking Cruises

Viking Ocean has newbuilds scheduled for 2015 and 2016, with the potential for additional orders. // © 2013 Viking Cruises

UBS Investment Research periodically publishes an evaluation of cruise capacity and where it is headed. In its current study, UBS said Carnival Corporation may be in discussions with shipbuilders for another Seabourn order, which could be announced before the end of 2013. The new ship is likely planned for 2017, as the analysts think Carnival is finished ordering for 2016, with three orders currently in place. In addition, Royal Caribbean International has an option that expires in December for a fourth Oasis-class order scheduled for mid-2018 delivery — another possible order that could be announced later this year.

UBS expects 3-4 percent compound annual capacity growth in North America for the period of 2012-2016, which is below the 10-year average between 2003 and 2012, which came in at just under 6 percent. Analysts are predicting about three percent average growth in 2013 and 2014, as all ordering for those years is now completed, and further withdrawals of existing ships are likely to be announced later.

Analyst Robin Farley pointed out that Carnival Corporation has reiterated its intention of scheduling delivery of two to three ships per year and has only two ships on order for delivery in each 2014 and 2015. Royal Caribbean had been maintaining capital spending discipline, with one ship on order for delivery in 2014 and one in 2015, and no ships scheduled to be delivered for 2013.

Meanwhile, Norwegian Cruise Line exercised its option for a second Breakaway Plus ship for spring 2017 delivery — the line has the first Breakaway Plus order scheduled for October 2015. The two 4,200-berth vessels will be the largest in Norwegian’s fleet.

Another summer announcement came from Prestige Cruise Holdings, which announced in early July that the company has put in an order for a new 738-passenger all-suite, all-balcony ship for Regent Seven Seas. This will be the largest vessel in the fleet, driving close to 40 percent growth in capacity. Named Seven Seas Explorer, it is scheduled for delivery in summer 2016.

UBS notes that Viking Ocean Cruises has been in discussions for additional orders we may see later this year, related to the December 2012 Memorandum of Agreement with Fincantieri for the construction of two more ocean cruise vessels with an option for another two. Neither the shipyard nor Viking has announced an exact delivery date for the additional newbuild orders at this time, but UBS predicts the timing to be the end of 2016 and the end of 2017. Viking Ocean already has newbuilds scheduled to debut in May 2015 and early 2016.