Carnival Prepared for ‘Worst Case’ Scenario

Carnival Corporation ships from P&O, AIDA and Princess
Arnold Donald, CEO of Carnival Corporation, addressed the media on a conference call on Thursday afternoon.

Highlights:

Donald said recent fundraising efforts from Carnival Corporation has prepared the company for a “worst-case scenario,” meaning capital to operate for some time without revenue. He noted the company was still seeking additional liquidity options in the form of stimulus packages from other governments.

Donald said he was hopeful that existing debt could be extended as well.

He noted the company is doing everything it can to take care of its crew and manage ships during the disruption.

“We want to make sure we are in a position to succeed once cruising resumes,” he commented.

As for as previously proposed industry regulations that said guests over 70 needed a medical waiver to board ships, Donald said he did not know what the future would hold in terms of new rules and regulations.

Donald said there was still demand and the company was seeing bookings for this summer as well as for the rest of 2020 and 2021.

“The (start-up) will probably be certain locations, certain destinations, certain times … it’s unlikely you’ll be sailing a full fleet right away or anything like that.”

In terms of Carnival’s upcoming 18 new ships and orderbook extending to 2025, Donald said most of the newbuilds could be delayed with shipyards currently closed.

Donald said the company was in dialogue with its shipyard partners on timelines, delays and event potential cancellations.