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Royal Caribbean suspends all cruising in US


Charles4515
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It's a fine balancing act for the cruise lines: Offering a lot of FCC turns people away from getting a cash refund right now and therefore helps the company maintain cash levels in the short run but will eat into their financial results in future as they're giving away future income.  

Edited by [g]cruiserke
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7 minutes ago, Barcelona17 said:

This is the latest from their web page:

 

As with our announcement yesterday regarding U.S. sailings, we expect to return to service on April 11, 2020.

 

Based on how quickly the number of cases is rising almost everywhere in the world, I expect that the April 11 date is way too optimistic.

 

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3 hours ago, [g]cruiserke said:

It's a fine balancing act for the cruise lines: Offering a lot of FCC turns people away from getting a cash refund right now and therefore helps the company maintain cash levels in the short run but will eat into their financial results in future as they're giving away future income.  


It seems to me that people accepting FCC over cash refunds are being overly optimistic. Those FCCs might turn out to be worthless. 

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1 hour ago, cruiserchuck said:

 

Based on how quickly the number of cases is rising almost everywhere in the world, I expect that the April 11 date is way too optimistic.

 


In addition to the rising cases ports are closing down to cruise ships. April 11 seems doubtful but I can see why the cruise lines are only canceling 30 days. They can continue to convince  people to accept FCCs instead of cash refunds . 

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3 hours ago, [g]cruiserke said:

It's a fine balancing act for the cruise lines: Offering a lot of FCC turns people away from getting a cash refund right now and therefore helps the company maintain cash levels in the short run but will eat into their financial results in future as they're giving away future income.  

 

It increases the likelihood exponentially of them rebooking though versus them getting cash back and possibly never returning again. And then they hope to capture ancillary revenue from them when they add on shore excursions, specialty restaurants, beverage packages, etc. Also, many of these people will probably rebook relatively soon to make sure they get their preferred itinerary/cabin and prices are looking higher next yea, so they will have to give the cruise line more money unless they lower their cabin category. Not sure how many will sit on their credits waiting for prices to come down. The more of these rebookings there are the less cabins there will be to sell off next year at discounted rates. Obviously this is a nightmare for the cruise lines, but a savvy revenue management department will find ways to try and maximize the situation to ensure that next year's revenue doesn't go down into the garbage chute too.

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FYI - saw this on Facebook just now:

 

Due to continued port closures and global travel restrictions, as well as to help ensure the continued safety of our guests and crew, we are temporarily suspending all cruising operations globally beginning tomorrow, March 15th, and plan to resume sailing again on Saturday, April 11.

27B5C5B2-191A-4626-B00A-4A74D191A393.jpeg

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9 minutes ago, Dreamcruise27 said:

FYI - saw this on Facebook just now:

 

Due to continued port closures and global travel restrictions, as well as to help ensure the continued safety of our guests and crew, we are temporarily suspending all cruising operations globally beginning tomorrow, March 15th, and plan to resume sailing again on Saturday, April 11.

27B5C5B2-191A-4626-B00A-4A74D191A393.jpeg

Wow...saw this on Twitter a few minutes ago. Can’t imagine why they possibly let ships sail yesterday hours before the shutdown.

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Maybe like the other cruise lines that are also announced  suspending operations today  It is driven by countries closing the ports combined with increasing limits on the movement of people between countries.  NZ closed, Spain closed,  much of Asia,  UAE, India Canadian ports closed the list grew bigger again today.  Add  the fact that citizens of  much of Europe and Asia can’t enter the US, and probably other countries.  Comes down to no where to go 

Edited by jelayne
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30 minutes ago, jelayne said:

Maybe like the other cruise lines that are also announced  suspending operations today  It is driven by countries closing the ports combined with increasing limits on the movement of people between countries.  NZ closed, Spain closed,  much of Asia,  UAE, India Canadian ports closed the list grew bigger again today.  Add  the fact that citizens of  much of Europe and Asia can’t enter the US, and probably other countries.  Comes down to no where to go 

And likely the 4/11 date will be pushed out until the various country prohibitions are relaxed

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7 hours ago, cruiserchuck said:

 

Based on how quickly the number of cases is rising almost everywhere in the world, I expect that the April 11 date is way too optimistic.

 

It’s hugely optimistic, over here in the UK they are stating the peak numbers will be in June.

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On Friday night, March 13, Celebrity announced its 30 day suspension.  For some reason the list of cancellations included the Reflection sailing on April 13, 1 day past the suspension.  That was quickly corrected and removed from the cancellation list.  Subsequently the 30 day reference was removed and replaced with suspension period beginning March 15 and resuming on April 11.  

For a few days the cruise finder for April cruises with US embarkation ports began with April 21 cruise.  Now I'm seeing April 11, April 12, and the April 21 cruise. The April 13 Reflection is still not showing.  Wonder why?  Do you think they know something they're not telling us, or they're just so overwhelmed and befuddled that the website is simply not reliable at this point.  Seems if they really intend to sail the Reflection on April 13 they would want to make every effort to sell some of those empty cabins. 

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I believe the week of April 11th was school vacation week for many places.  I know in our town though, there is no school for the upcoming week (maybe even longer than that), and I believe they have lost their vacation  week in April because of it.  My heart goes out to all those who had to book during school vacation time and now they no longer have this week off.  These are definitely challenging times.  Everyone, stay safe!  This too shall pass.

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