RCCL Founder Retires After 35 Years
Edwin W. Stephan, a founder and former longtime president and vice chairman of Royal Caribbean Cruises Ltd., will retire from the Board of Directors following the company's May 20 annual meeting in Miami. Stephan, 71, guided Royal Caribbean at its birth more than three decades ago. In 1970, when the fledgling cruise line launched Song of Norway with an expansive pool deck, it was the first ship designed specifically for warm-weather cruising. It revolutionized the cruise industry; previous ships were built for point-to-point ocean transport with far less open space. Stephan was the cruise line's president from 1969 to 1996, when he became vice chairman of the board of directors. At various times, he served as general manager, CEO, president, and vice chairman.
Lawsuit Accuses RCCL of Bogus Taxes
A lawsuit filed on Friday is claiming that Royal Caribbean Cruises and subsidiary Celebrity Cruise Lines overcharged passengers at least $150 million in fraudulent taxes. "We are outraged by the actions of the attorneys filing this suit," said Lynn Martenstein, vice president, Corporate Communications. "We actually pay more in government taxes and fees than we charge our guests," she explained, citing a preliminary analysis of guest charges and payments made to government. Using actual figures paid by two of the plaintiffs as examples, the RCCL said they were charged $26 and $40, respectively, for government taxes and fees. The company, in turn, paid approximately $45 and $58, respectively, to cover such taxes and fees.
RCCL Newest Ship to Sail from NYC
Royal Caribbean's newest ship, Serenade of the Seas, will arrive in New York this August. The Serenade of the Seas will be the first Royal Caribbean ship to sail an inaugural season from New York City, as well as the first to offer Canada itineraries from The Big Apple. Set to be delivered on July 31, 2003, Serenade of the Seas first will sail a series of special, pre-inaugural cruises before offering four- and five-night itineraries to Canada from New York City, Sept. 1 through Oct. 27. "Serenade is the third in our Radiance-class series of ships, which combine an elegant, yacht-like design with many of the most innovative amenities and onboard programs available in the cruise industry," said Adam Goldstein, executive vice president, Royal Caribbean International.
RCCL Appoints New CFO
Royal Caribbean Cruises Ltd. has named senior executive Luis E. Leon as its Executive Vice President and Chief Financial Officer. Leon will assume broad-reaching responsibilities to formulate and manage financial and investment strategy, policies and plans. Leon will report directly to Richard D. Fain, Chairman and CEO. Leon has a unique background with over two decades of financial and investor relations experience where he has focused on achieving efficiencies that impact the bottom line. Most recently, Leon has been Chief Financial Officer for Graphic Packaging International Corporation, a position that involved significant cost management initiatives and other transactions including a stock swap merger and acquisition.
RCCL Plans to Scrub Emissions into Shape
As new emission standards enter force across the commercial maritime sector, Royal Caribbean has opted to outfit 19 of its ships with scrubbers from two manufacturers. This month we visit with Harri Kulovaara, EVP, Maritime, and Kevin Douglas, VP, Technical Projects/Newbuilds, Royal Caribbean Cruises Ltd., to discuss the reasoning behind the decision. As new emission standards enter force across the commercial maritime sector, Royal Caribbean has opted to outfit 19 of its ships with scrubbers from two manufacturers.
Kvaerner Delivers Second of Project Eagle Series For RCCL
Explorer of the Seas was delivered by Kvaerner Masa-Yards' Turku shipyard on September 28 to Royal Caribbean in time for its dedication and naming ceremony, which was held in New York on October 21. The second member of RCCL's Project Eagle series, the vessel follows the successful delivery of the class' premiere vessel, Voyager of the Seas, which was delivered last October. Known as a member of the largest class of vessels in the world, Explorer has a gross tonnage of 137,300 and is able to hold 3,840 passengers. Measuring 1,020 ft. (311.1 m), the vessel boasts a breadth of 126 ft. (38.6 m) at waterline level and holds a height of 237 ft. (72.3 m) from keel to the top of the funnel. The vessel's Post-Panamax size allows for the option of unique design features and interior solutions.
MTN Awarded Celebrity Cruises Contract; Renews RCCL Agreement
Maritime Telecommunications Network (MTN), Inc. has signed of a renewed contract on June 5, 2000, with Royal Caribbean International (RCI). This new contract will include RCI's sister fleet Celebrity Cruises. Under these agreements, MTN will provide a C-Band satellite communications network, allowing for shore-to-ship and ship-to-shore telephony, fax, data, and Internet transmission to 17 vessels and six new-builds. MTN will manage, support, and consult on this extensive global satellite network as well as supply and integrate NX Networks voice-over IP multi-plexers and Cisco routers. These systems will act as a platform for the roll-out of RCI's wireless remote management project, based upon Computer Associates' Unicenter TNG software.
Meyer Turku Builds Big
Maritime Reporter & Engineering News recently visited Finnish shipbuilding giant Meyer Turku, whose sights are set on building bigger. It is safe to say that when shipbuilding commenced in the town of Turku, Finland in 1737, the company building wooden boats at the time could not have envisioned the enormous vessels that would eventually be built by the site’s current occupant, Meyer Turku. The Meyer family, operator of the German shipbuilding company Meyer Werft, took over the…
Repercussions From Damaged Ship Propeller Expected to Drive Down RCCL's 2Q Profits
Celebrity Cruises said on Monday it expects the cancellation of a 14-day European voyage as a result of a damaged ship propeller to drag down second-quarter profits of parent Royal Caribbean Cruises Ltd. The company said repairs, refunds and other compensation to the 1,696 passengers aboard its Galaxy ship will hurt Royal Caribbean's profits for the quarter by $.04 to $0.5 a share. Analysts had on average estimated earnings for Royal Caribbean, the world's number two cruise group behind Carnival Corp., at $.40 a share. Celebrity canceled the cruise so a damaged propeller on the Galaxy can be repaired, spokeswoman Lynn Martenstein said. Celebrity staff continued to investigate, but suspect Galaxy's port propeller was damaged on Saturday as the 858-ft.
Carnival Gives RCCL A Run For Its Money
Exactly one month to the day that P&O Princess and Royal Caribbean Cruise Lines announced that they would merge to form a $6 billion cruise corporation, Micky Arison's powerhouse Carnival Corp. approached P&O with a $4.59 billion proposal. As reported in today's Wall Street Journal, P&O Princess, which initially rejected Carnival's offer, has now reconsidered and is currently weighing all its options of a possible merger with the "world's largest cruise line," - quite possibly leaving Royal Caribbean hanging out to dry. Despite these new developments, Royal Caribbean still stands firmly on its initial agreement with P&O Princess, according to Richard Fain, RCCL's chairman and CEO.
RCCL’s Mariner of the Seas to Debut in November
Royal Caribbean International announced that its 3,114-passenger Mariner of the Seas now will debut in Port Canaveral on November 16, 2003, a week earlier than originally scheduled. The new maiden voyage will be a special, one-time-only Eastern Caribbean itinerary calling in Nassau, Bahamas; San Juan, Puerto Rico; and Philipsburg, St. Maarten. The new, 142,000-ton Mariner of the Seas will be the fifth ship in the company's Voyager class and will be the largest ship to sail from Port Canaveral. Mariner features the line's signature rock-climbing wall, an inline skating track, full-size basketball court, and Royal Promenade - a shopping, dining and entertainment street running through the center of the ship.
RCCL, Celebrity to Call at Alaska’s Icy Strait Point
and Mercury for the Alaska cruise season beginning in May 2004. destination currently has 33 ship calls slated. wildlife tours and native Indian experiences. Development, the company that is marketing Icy Strait. Ltd. from Glacier Bay National Park. Alaska. original site. pioneers with employees in period dress. showcasing native and regional crafts. through live performances.
RCCL Appoints Danis as VP of Supply Chain Management
Royal Caribbean Cruises Ltd. appointed Jeff Danis as the cruise line’s new vice president of Supply Chain Management. Danis will be responsible for overseeing worldwide procurement, inventory management, distribution, warehousing, and shipping operations for both Royal Caribbean International and Celebrity Cruises. He will focus on supplier relationship management, maintaining integrity of the procurement process, and driving efficiencies in the supply chain process, from planning to consumption and utilization. His efforts will be closely coordinated with internal offices such as Total Guest Satisfaction and Marine Operations. Before joining Royal Caribbean, Danis worked with P&O Princess Cruises as vice president of Global Purchasing and Logistics.
RCCL’s Explorer of the Seas Assists in Hurricane Tracking
Explorer of the Seas, which is reportedly the world's only cruise ship equipped with state-of-the-art ocean and atmospheric science laboratories, continues to make important contributions of meteorological data to assist the National Hurricane Center. The 142,000-ton Royal Caribbean International ship recently provided the NHC with valuable 15-minute updates of surface winds on Hurricane Claudette as it grew from a tropical storm. The data was mentioned by NHC as a factor in locating the center of Claudette as it interacted with the Yucatan Peninsula. In readings taken east of Cozumel early on July 11, Explorer of the Seas recorded 50-knot surface winds when reconnaissance planes were unable to get a more reliable indicator that flight-level winds of 40 knots.
RCCL Takes Delivery of Serenade of the Seas
The Serenade of the Seas’ atrium is among many of the exotic features aboard the latest addition to the RCCL fleet. The third of Royal Caribbean's Radiance-class ships, Serenade of the Seas will be named in NYC on August 22. At a ceremony today in Eemshaven, Netherlands, Royal Caribbean International added Serenade of the Seas to its fleet. The 2,110-guest ship, built at Meyerwerft Yard in Papenburg, Germany, will be the first Royal Caribbean ship to sail an inaugural season from New York City, as well as the first to offer Canada itineraries from The Big Apple. "Serenade of the Seas is one of the most beautiful ships we've introduced to date," said Jack Williams, president and chief operating officer for Royal Caribbean International.
RCCL Reports 2Q Results
Royal Caribbean Cruises Ltd. announced that net income for the second quarter of 2003 was $55.7 million, or $0.28 per share. This compares to $66.7 million, or $0.34 per share, for the second quarter of 2002. Revenues for the second quarter of 2003 were $905.8 million, up 10.2% from $821.8 million in 2002. The increase in revenues was primarily due to a 15.5% increase in capacity, partially offset by a 4.6% decline in gross yields. The decrease in gross yields was primarily associated with lower cruise ticket prices and occupancy levels, partially offset by an increase in shipboard revenues. Net yields for the second quarter of 2003 decreased 4.8% from the second quarter of 2002, which was significantly better than the company's previous guidance of a decline of 6% to 9%.
RCCL Receives Extension On Options for Two Radiance-Class Ships
Royal Caribbean Cruises Ltd. has deferred its options to purchase a fifth and sixth ship within its new Radiance class with deliveries in 2005 and 2006. Royal Caribbean and Meyer Werft shipyard of Papenburg, Germany, builder of the Radiance-class ships, agreed to extend the options to January 10, 2003. Both options were to have expired on September 20, 2002. The Radiance-class ships are operated by the Royal Caribbean International brand. Radiance of the Seas entered service in March of 2001. The second Radiance-class ship, Brilliance of the Seas, entered service in July 2002. The third and fourth Radiance-class ships are scheduled for delivery in 2003 and 2004, respectively.
RCCL Names Jean Driscoll Godmother of Newest Ship
Royal Caribbean International has announced that Jean Driscoll - world-class athlete, Olympian, Paralympian and international advocate for persons with disabilities - will serve as godmother to the line's newest ship, Mariner of the Seas, which debuts later this year. As godmother, Driscoll will officially give the ship its name during ceremonies in Port Canaveral, Fla., on Nov. 14, 2003. "We are immensely pleased that such a prominent athlete and outstanding advocate for persons with disabilities will be the godmother of our newest, fully accessible ship," said Richard Fain, chairman and CEO, Royal Caribbean Cruises Ltd. "Jean is a true champion who excels in everything she does, in the sports arena and beyond.
Meyer Werft Delivers to RCCL
The most recent addition to Royal Caribbean's (RCCL) fleet of vessels is the 90,090-gt Serenade of the Seas, which was delivered to the cruise line by Meyer Werft Shipyard in Papenburg, Germany on July 30, 2003. The third member of the Radiance-class fleet, Serenade, along with its sisterships, is a luxury cruise vessel boasting a very slim, yachtlike design with extensive use of glass on the outside, as more than 80 percent of the vessel's cabins are designated as outside cabins. Serenade features advanced technology designed to make the ship efficient, and to ensure it is as quiet and vibration free as possible. To this end, it features an advanced gas turbine propulsion plant, and its 15 decks employ the latest in sound dampening technology.
NJ Sues RCCL After Diversion
Reports indicate that New Jersey's attorney general sued Royal Caribbean Cruises Ltd. for diverting a Bermuda-bound cruise to Canada last summer and refusing to issue refunds. The cruise line said a looming storm prompted the change, and was adhering to policies. The state's lawsuit accuses the cruise line of violating the state Consumer Fraud Act. It seeks restitution for the people aboard the ship plus civil penalties. The ship was scheduled to leave on July 24, 2005, for a five-day cruise to Bermuda. Instead, passengers found out as they boarded that they would be going to St. John, New Brunswick, and Halifax, Nova Scotia, according to the state.
RCCL: Bayley, Lutoff-Perlo take CEO Posts
Royal Caribbean Cruises Ltd (NYSE, OSLO: RCL) named two senior company executives to lead the company’s two largest brands. Michael Bayley, who worked his way up from an assistant purser’s position aboard the Nordic Prince, will serve as President and CEO of Royal Caribbean International. Lisa Lutoff-Perlo, whose career at the company began in the New England sales office, will serve as President and CEO of Celebrity Cruises. “This is a happy day for Michael and Lisa, and a proud day for all of us at the company,” said Richard D. Fain, Chairman and CEO of Royal Caribbean Cruises Ltd.
RCCL Names Pimentel President & CEO
Royal Caribbean Cruises Ltd. (RCCL) has announced the appointment of Larry Pimentel to the newly created position of president and chief executive officer of Azamara Cruises. Pimentel will have responsibility for the strategic direction and leadership of the deluxe brand to ensure its continuous growth and success. He will report directly to Richard D. Fain, chairman and chief executive officer of RCCL. Pimentel has more than 25 years of travel industry experience catering to the high-end consumer. Most recently, he served as president, chief executive officer and co-owner of Seadream Yacht Club and was previously president and chief executive officer of Cunard Line, Seabourn Cruise Line, and Classic Hawaii.
DNV GL, RCCL, University of Strathclyde Rolls Out Maritime Research Centre
The Maritime Safety Research Centre (MSRC) is an industry-university partnership, involving Strathclyde's Department of Naval Architecture, Ocean & Marine Engineering, Royal Caribbean Cruises Ltd (RCCL), and DNV GL. The world’s first centre of its kind, the MSRC will aim to improve safety at sea through a close collaboration between industry and academia, that targets interdisciplinary, common-threaded research and development. The Maritime Safety Research Centre was officially opened this week by the IMO Secretary General Kitak Lim…