Royal Caribbean Group Chairman and CEO Richard Fain saw total compensation of just over $12 million for the fiscal year 2020, according to a company SEC filing.

Fain saw his base salary cut by nearly 50 per cent, but made up for it with $11 million in stock awards.

Other company executives also had a good year, with CFO Jason Liberty seeing total compensation of $5.6 million, up from 2019.

Royal Caribbean International President and CEO Michael Bayley earned $7.4 million, also up from 2019.

The SEC filing noted that executives did forgo portions of their base salaries

The company said it wants to establish a mix of compensation components, including fixed and variable pay and short- and long-term incentives, that encourages “focus on both the short- and long-term interests of the company and its shareholders.”

Of note, Carnival Corporation CEO Arnold Donald took home $11 million and Norwegian Cruise Line Holdings CEO Frank Del Rio saw compensation of $36.4 million.

Royal Caribbean Group Compensation Table:

Name and
Principal Position
Fiscal YearSalary ($)Stock Awards ($)One-Time
Stock Awards
Non-Equity
Incentive
Plan
Compensation
Change in
Pension Value
and NQDC
Earnings
All Other
Compensation
Total ($)
Richard D. Fain
Chairman/CEO
2020$645,000$11,171,146 $3,042,000*$154,879$112,478$12,083,503*
2019$1,276,923$8,699,024$4,006,080$189,347$187,545$14,358,919
2018$1,100,000$7,664,567$3,500,000$157,949$12,422,715
2017$1,100,000$7,661,433$4,327,400$99,493$155,087$13,343,413
2016$1,092,308$6,441,770$2,740,222$131,384$10,405,684
2015$1,038,462$5,803,644$2,426,667$119,796$9,388,569
2014$1,000,000$3,673,186$4,923,759$2,246,222$56,611$114,100$12,013,878
2013$1,000,000$3,371,587$2,083,629$250,089$127,858$6,833,163
Jason T. Liberty
CFO
2020$818,798$3,228,563 $1,411,938$89,503$100,429$5,649,231
2019$788,462$2,621,510$1,731,002$91,472$113,674$5,424,004
2018$788,462$2,136,947$1,685,523$140,932$4,751,864
2017$692,308$1,700,547$2,792,203$1,521,533$57,849$125,806$6,890,246
2016$592,308$1,127,080$798,217$21,980$88,478$2,628,062
2015$511,538$765,923$655.175$66,801$1,999,437
2014$444,231$519,248$716.111$508.197$6,393$79,563$2,273,743
2013$380,019$373,728$364.324$25,741$77,676$1,221,488
Michael W. Bayley
President/CEO RCI
2020$866,346$4,943,887 $1,435,000$74,355$116,244$7,435,832
2019$941,923​$4,061,696$1,803,361$110,1190$140,711$7,057,881
2018$870,769$3,086,742$1,577,143$187,432$5,722,086
2017$792,308$2,834,275$2,792,203$1,519,461$121,223$135,123$8,194,593
2016$696,154$1,784,470$938,428$11,630$107,334$3,866,773
2015$675,000$1,436,142$986,229$115,934$3,213,305
2014$598,846$944,096$1,909,604$861,000$15,897$79,207$4,408,650
2013$575,00$770,630$658,891$67,786$101,625$2,173,932
Lisa Lutoff-Perlo
President/CEO
Celebrity
2020$710,558$2,719,084 $1,092,650$130,177$96,854$4,749,323
2019$770,769$2,278,490$1,098,258$140,211$142,114$4,429,842
2018$688,462$1,786,762$1,228,438$136,520$3,840,202
2017$596,154$1,558,865$1,861,505$1,072,083$64,609$123,701$5,276,917
2016$546,154$1,033,167$639,532$92,045$2,310,898
Harri Kulovaara
EVP
Maritime
2020$803,846 $1,483,167 $830,250$81,764$107,746$3,606,773
2019$761,923$1,139,243$870,446$98,382$102,335$3,422,329
2018$692,308$893,480$924,236$764,728$109,262$3,844,014
 

*Declined Non-Equity Incentive Plan Compensation of $3,042,000

Cruise Industry Execs Meet with Health Officials to Discuss Restart Plans

FILE PHOTO: Tourists enjoy a ride on a catamaran as cruise ship Carnival Magic is seen near the shores of Cozumel on October 17, 2014./File Photo

Cruise industry executives met with health experts and White House staff earlier this week, the Centers for Disease Control and Prevention (CDC) said on Friday, following criticism of its guidelines on restarting voyages.

The discussion, which centred around how the pandemic-battered industry could get back into business, comes after the CDC said passengers and crew would need COVID-19 vaccine shots and more frequent testing, but did not give a timeline on when it will lift its ban on cruises.

Carnival Corp, the industry’s largest player, had said the instructions were “unworkable” and threatened to shift the home ports of its cruise ships to other parts of the world if the United States did not allow it to start sailing.

Industry leaders showed their frustration with the guidelines relating to vaccination requirements and sought to set up a working group with industry and CDC, the agency said in a statement about the meeting that took place on Monday.

The CDC said it wanted to restart sailing in a phased approach but again did not provide a timeline.

The chief executives of Carnival, Norwegian Cruise Line Holdings and Royal Caribbean Group attended the Monday meeting, CNBC reported.

The companies did not immediately respond to Reuters’ request for comment.

The state of Florida, where the three companies are based, had earlier this month filed a lawsuit against the CDC, demanding cruise ships be allowed to resume sailing.

“We welcome the CDC’s expressed commitment to working with the cruise industry… to address the changes in the science, including the impact of vaccines, that will move us toward our shared goal of responsibly resuming operations this summer,” the Cruise Lines International Association said in a statement.

LISA LUTOFF-PERLO: ‘LOOK FOR THE SILVER LINING IN THE COVID CLOUD’

As Celebrity Cruises plots its return, with new sailings announced for the Caribbean, European and UK waters this summer, president and chief executive Lisa Lutoff-Perlo tells Tom Parry how the line is looking beyond the pandemic.

“I honestly don’t know if I can put it into words,” beams Lisa Lutoff-Perlo.

Despite the early morning interview, the excitement from Celebrity Cruises’ president and chief executive seems to fizz through her video screen – and for good reason.

Within a matter of weeks the line has revealed restart plans for the UK, Europe and Caribbean – including the launch of its second Edge-class ship, Celebrity Apex, out of Athens.

In the UK, Celebrity Silhouette – fully “revolutionised” after a multimillion-pound renovation infused with Kelly Hoppen redesigns and the British debut of its Always Included all-inclusive fare – will cruise from Southampton in July.

When we meet over Zoom in the last week of March, Silhouette has just joined an ever-growing fleet of ships due to sail UK shores this summer.

But Lutoff-Perlo, rather aptly clutching an Edge-branded mug as she chats, says she is confident Celebrity’s offering will stand out in the “crowded space”.

“The brand we’ve built up and our positioning of ‘new luxury’ – I think the British consumer really understands that. We’re not worried about all the other brands out there. Celebrity is a special brand that stands for a lot and that will serve us well this summer.”

Silhouette will cruise from Southampton in July as Celebrity makes its UK restart

SAFETY FIRST

One obvious point of difference compared with other lines is Celebrity and sister line Royal Caribbean International’s vaccination policy for these summer sailings. Unlike other lines, both require adults to be fully vaccinated, while under-18s must provide negative PCR results.

Lutoff-Perlo says the approach – backed by Royal Caribbean Group’s Healthy Sail Panel – is “something that’s important right now” to instil confidence.

“We’re trying to be agile and do what we believe is the right thing to do at this time, so we can start up and everybody can have a wonderful vacation and feel like they’re in a healthy and safe environment”, she adds.

Lutoff-Perlo has herself recently received her second vaccine dose.

“When I got my second shot, I felt liberated. I carry my little vaccination card around with me – it’s like a badge of honour,” she grins.

The ship has been fully “revolutionised” after a multimillion-pound renovation

Capacity levels also reflect a cautious approach, with sailings starting at around 50% occupancy. “It will start lower than it will end,”

Lutoff-Perlo insists. “We’ll start to slowly but surely ramp up to somewhere in the 50, 60, 70% range.

“We want to prove that a cruise is a very controllable environment where people can have the healthiest and safest vacation in the world.”

She contrasts the onboard measures being prepared to wider tourism regulations in her resident state of Florida. “Tourists are not wearing masks; they don’t need to be vaccinated. I look at that and think: ‘This is OK?’ But yet it’s not OK for cruising to operate [in the US]…”

Her assessment of the US Centers for Disease Control and Prevention’s (CDC) lack of progress in green-lighting sailings is admirably diplomatic amid growing frustrations from stateside cruise bosses and political leaders in recent weeks.

“I don’t believe [the CDC] are ignoring the industry on purpose as they’ve had so much to focus on, but I believe it’s time [to act], and they’re taking notice.”

TIME TO REFLECT

Talk of restarts is a welcome tonic compared with this time last year when Covid’s ever-tightening grip saw the March launch of Celebrity Apex in Southampton cancelled and its fleet begins a prolonged suspension.

I ask Lutoff-Perlo how she has coped during the enforced shutdown and where her and her team’s efforts have been focused. Echoing Royal Group chief Richard Fain’s “Never let a good crisis go to waste” mantra, she says she has coined one of her own: “Wake up and look for the silver lining in the Covid-19 cloud”.

For Lutoff-Perlo, this silver lining was having the time to explore and develop new strategies and onboard experiences.

“I thought, ‘we can’t just be focused on this pandemic, we need to focus on our future’. That was very different from what was going on in the rest of the industry – other brands were just focused on what it was going to take to come out of the pandemic.

“We were trying to say, ‘OK, we’re going to come out of this – but who do we want to be when that happens?’” Lutoff-Perlo admits her leadership style has also adapted to suit the challenges.

“Things that are innate in me as a leader have had to be amplified, and others de-amplified. I’ve always led with my head and a lot of my heart and I think those things have been inversed this past year.