Cruise Lines 2019 Q4 Breakdown: By the Numbers

Cruise Lines 2019 Q4 Breakdown: By the Numbers

Cruise Industry News takes a look at the financial performance of the “big three” following the final quarter of 2019.

Takeaways:

While gross revenue was up for Q4 2019 for the three publicly-traded cruise companies, increased operating expenses led to reduced operating income, net income and net income per passenger day, compared to Q4 for the previous year.

Net revenue per passenger day was also down year-over-year for Carnival Corporation, up noticeably for Royal Caribbean and up slightly for Norwegian.

Gross revenue per passenger day was significantly up for all three companies, including onboard spending, with gross ticket revenue per day also up for Royal Caribbean and Norwegian, but down for Carnival.

Carnival saw the biggest difference between gross and net onboard revenue: more than $25, making it flat with last year, while Royal had nearly a $12 drop and Norwegian a little more than $10, and up from last year.

Both Carnival and Royal Caribbean saw a decrease in fuel costs year-over-year while Norwegian saw its fuel spend to go up.

Carnival cited the regulatory change preventing travel to Cuba, geopolitical events in Arabian Gulf, Hurricane Dorian, an unscheduled drydock, and multiple shipyard delays. Royal cited the Oasis drydock mishap, Cuba and Hurricane Dorian, and Norwegian also cited Cuba and Dorian.

Because of the fleet mix, Norwegian continued to generate the highest gross and net ticket and onboard spend revenue.

Cruise Industry Financial Tracking

The Cruise Industry Financial Tracking Report provides an in-depth look into the financial metrics of the leading cruise companies. Learn more.

Included: Carnival, Royal Caribbean, Norwegian, MSC, Star/Genting, Royal Olympic, P&O Princess, Regent, American Classical Voyages and Commodore.

Key metrics include revenue, operating expenses, operating income and net income, as well as those metrics on a per passenger day basis. We also look at EPS, fleets, berths and passenger cruise days. 

Carnival returning to Grand Bahama

Carnival Pride

Carnival Cruise Line will resume regular calls to Grand Bahama beginning Oct. 11, when the Carnival Pride will dock in Freeport.  

The Carnival Elation will follow on Oct. 13 and the Carnival Freedom on Oct. 15.

Carnival Pride departed Baltimore on Oct. 6 on a weeklong cruise with nearly 2,400 guests.  

Between now and the end of the year, Carnival expects to do 39 calls in Freeport, bringing more than 100,000 visitors.

Some 15 shore excursions will be offered, including The All-Inclusive Beach Club; A Select Retreat with Beach and Water Toys; and the VIP Luxury Sail.

Freeport has been recovering from Hurricane Dorian, which hit Grand Bahama on Sept. 1.

Carnival Corp. building private destination on Grand Bahama

Carnival Corp. and the Bahamas government signed development agreements that pave the way for a Carnival-run port destination on Grand Bahama and the expansion of the company's private island Half Moon Cay.

Among other things, the agreements provide for the construction of a pier at Half Moon Cay, which until now has been a tender port.

Carnival said the Grand Bahama project will represent an investment of over $100 million, and the development on Little San Salvador, where Half Moon Cay is situated, will be an estimated $80 million investment over time.

Once environmental and other permitting processes are completed, construction for both projects is projected to start by mid-2020. 

Carnival and the Bahamas said the projects are expected to play an important role in the country's recovery from Hurricane Dorian. They said construction parameters will be designed to meet or exceed guidelines for "being able to mostly withstand the impact of a Category 5 hurricane." Carnival's plans for both projects were laid well before Dorian. 

The Grand Bahama project is intended primarily for Carnival Cruise Line and will be its first dedicated private destination in the Bahamas.

Some Carnival Cruise Line ship call at Half Moon Cay, which is primarily used by Holland America Line. 

Carnival Corp. said the current development on the western side of Little San Salvador covers less than 3% of the 2,400-acre island. The new addition will be on the northern part of the island and include a pier able to accommodate larger ships. The beaches of Half Moon Cay will continue to be the main attraction, Carnival said.

Carnival's Q3 profit rises, but storm clouds are on the horizon

Carnival Corp. reported higher third quarter-net income, but reduced its outlook for the 2019 fiscal year and said that business in Europe and the U.S. had eroded since it last reported results three months ago.

Reacting to the mix of news, investors pushed Carnival shares down 7% in mid-morning trading on Thursday.

Carnival said net income for the quarter ended Aug. 31 was $1.78 billion, up from $1.71 billion a year earlier, while revenue rose to $6.53 billion from $5.84 billion.

Carnival also reported higher earnings adjusted for nonrecurring factors, but forecast that earnings for the full year would fall in the range of $4.23 to $4.27 a share, compared to a previous range of $4.25 to $4.35 put forth in June and actual results of $4.26 a share in 2018.

Carnival blamed higher anticipated fuel prices for the reduction.

"We achieved additional cost improvements largely driven by leveraging our scale, offsetting the earnings impact due to voyage disruptions from the combined impact of Hurricane Dorian, the tensions in the Arabian Gulf and the delayed delivery of Costa Smeralda," Carnival CEO Arnold Donald said in a statement.

"A further reduction in guidance for ticket and onboard revenue worth 6 cents per share in part contributed to by the high level of close-in voyage disruptions was also offset. However, due to an 8 cent a share impact from the recent spike in fuel prices caused by geopolitical events, we are reducing our full-year guidance for 2019 by 5 cents a share," Donald said.

Carnival said it expects it's North America and Australia segment yields to be up for the year, but slightly less than previous guidance while its Europe and Asia segment is still expected to be down for the year but slightly more than previous guidance.

It also said: "Cumulative advanced bookings for the first half of 2020 are ahead of the prior year at prices that are in line compared to 2019 on a comparable basis. Since June, both booking volumes and prices for the first half of next year have been running lower than the prior year."

By mid-afternoon Thursday, Carnival shares were trading at $44.14, off 8.2% from Wednesday's close.

When Dorian threatened, Royal Caribbean had a balloon to deal with

AUSTIN, Texas -- Royal Caribbean had a myriad of decisions to make before, during and after Hurricane Dorian hit the Bahamas. 

And while it's Up, Up and Away helium balloon at private island CocoCay was not at the top of the list, it was still something the company had to address. To deflate or not to deflate?

Royal Caribbean chairman Richard Fain talked about the balloon, and Royal's other efforts surrounding Dorian, during a press breakfast last week at Signature Travel Network's Owners' Meeting at the Fairmont Hotel Austin.

At first glance, it seems like an easy decision to deflate the balloon and not risk hurricane damage. Giant custom helium balloons aren't exactly for sale on Amazon.

However, deflating the balloon wasn't a cheap option. The balloon takes over a week to inflate, and with a worldwide helium shortage, filling Up Up and Away costs around $350,000.

The company took the more conservative route and deflated it.

After the storm, a team of about 300 people were flown to a nearby island, then took boats to get to CocoCay. They worked to restore the island, and it has since reopened.

Fain confirmed that the Up Up and Away balloon is being reinflated.

Carnival brands resume Bahamas calls

Carnival Corp. said that its brands have resumed regular sailings to the Bahamas for the first time since Hurricane Dorian struck on Sept. 1.

The company's private islands, Princess Cays and Half Moon Cay, have resumed taking ship calls and Carnival's three largest North American brands -- Carnival Cruise Line, Princess Cruises and Holland America Line -- together are projected to make over 250 sailings to the Bahamas through the end of 2019.

Carnival Cruise Line alone will make an estimated 204 calls through the remainder of the year, visiting Nassau, Half Moon Cay and Princess Cays on eight of its ships.

Princess will return to with the Crown Princess' arrival on October 9, and Holland America resumes Bahamas calls beginning Oct. 21, when the Zuiderdam arrives at Half Moon Cay.

Two Carnival ships -- Carnival Liberty and Carnival Pride -- have made stops this week in Freeport to deliver relief supplies to assist residents, including dozens of pallets of water, generators, chain saws, prepared meals and medical supplies. 

Carnival Corp. chief communications officer Roger Frizzell said, "It is important to spread the word that much of the country had no or little impact and is open for business."

Grand Bahama Shipyard Welcomes First Commercial Vessel After Hurricane Dorian

PHOTO: Grand Bahama Shipyard welcomes its first commercial vessel, the Agathonissos. (photo via Carnival Corporation)

Following the devastation of Hurricane Dorian, officials from the Grand Bahama Shipyard (GBS) announced Thursday the facility has resumed operations and welcomed back its first commercial vessel.

The Grand Bahama Shipyard is located in Freeport, Grand Bahama, and will once again host cruise ships when Carnival Cruise Line's Carnival Ecstasy arrives on October 5. The facility will also support recovery efforts through the ongoing work of its more than 600 employees.

The Freeport shipyard also expects to service 29 dry-dockings throughout the remainder of the year and generate additional economic activity for the surrounding area of Grand Bahama.

“It was extremely important to get up and running as quickly as possible and begin taking in vessels to help support the employees and families at the shipyard, along with economic contributions and rebounding activity for the island,” Grand Bahama Shipyard CEO David Skentelbery said in a statement.

“This is a significant sign of positive progress for the island, and we look forward to continuing our normal operations while also supporting the Bahamian recovery with direct support, including to island utilities, along with increased economic activity from our operations, and also from the industry's collective efforts to support The Bahamas with immediate and long-term relief,” Skentelbery continued.

The Grand Bahama Shipyard suffered no significant damage from the hurricane, with the only issues coming from erosion. The facility can power its core operations and communications infrastructure, as well as provide fresh water and meals in its cafeteria, which serves hundreds of workers daily.

Cruise Lines Could Face Major Drydock Challenge Following Hurricane Damage

The cruise industry could be looking at a monumental impact to their operations following Hurricane Dorian if the Grand Bahama Shipyard’s capacity is taken offline or further limited following an April incident.

The go-to-yard for drydocks and refurbishments in the cruise industry is partly owned by both Carnival Corporation and Royal Caribbean Cruises.

It is ideally located in the Bahamas, meaning little out-of-service transit time on the way to or from various deployment regions, including the Caribbean in the winter.

The yard is regularly used by cruise vessels from almost all cruise lines for mandatory class drydocking and refurbishment work.

There are few alternatives for big vessels in the region. Shipyards in Newport News, Virginia, and Mobile, Alabama, both have facilities that can handle larger vessels but are generally used for naval purposes and are known to be well booked ahead of time.

Deytens, located in South Carolina, has also played host to the expedition and luxury ships and mid-sized vessels over the years.

Costs at U.S.-based facilities are also higher, and there are challenges in bringing in skilled labour and large amounts of the hotel and marine supplies from foreign countries that are needed for large scale refurbishments, which often see spending of up to $3 million per day in supplies and labour.

With reported widespread damage in Freeport, operations to the yard could be impacted. Housing both permanent and temporary workers could prove challenging unless accommodation vessels are brought in.

Another expensive option could be the Boka Vanguard, a semi-submersible heavy transport vessel operated by Netherlands-based Boskalis, which helped provide a platform for emergency repairs to the Carnival Vista earlier this year.

In Curacao, Damen Shipyards offers a drydock option and has plenty of cruise experience.

Cruise lines could also choose to wet-dock their vessels at industrial piers just about anywhere. The upside being the vessel would be empty and available for hotel refit. Crane access could be limited making logistics of getting supplies off and on the ship challenging.

However, classification societies require ships to come out of the water at regular intervals for inspection.

The most likely option, however, is the regular drydock facilities in Europe. The question is whether they have available space when needed, and the impact of moving ships that were scheduled to drydock in the Bahamas to Europe, mixing up some itineraries and deployment.  

Cancelling a scheduled drydocking for the third or fourth quarter of 2019 or early 2020 and replacing it with a normal sailing would also pose challenges with a short booking window.

Trump Asks Cruise Lines for Housing Assistance in the Bahamas

U.S. President #DonaldTrump has asked cruise lines to further help in the Bahamas by providing housing assistance in a post on Twitter.

"The @USCG, @FEMA, and all others, along with other countries that have been helping, have been asked to move people in the badly hit sections of the Bahamas to other sections of the Bahamas that were not hit – and that are in good condition. Any cruise ship companies willing to act as stationary housing, etc., I am sure would be appreciated!"

Donald J. Trump

✔@realDonaldTrump

 · Sep 7, 2019

The @USCG, @FEMA, and all others, along with other countries that have been helping, have been asked to move people in the badly hit sections of the Bahamas to other sections of the Bahamas....

Donald J. Trump

✔@realDonaldTrump

....that were not hit – and that are in good condition. Any cruise ship companies willing to act as stationary housing, etc., I am sure would be appreciated!

47.2K

12:56 AM - Sep 7, 2019

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Cruise lines are no stranger to lending their ships for aid as FEMA previously chartered the Carnival Fascination and Grand Celebration following hurricanes in 2017; Carnival also chartered ships to FEMA following Hurricane Katrina to help house emergency workers. 

Displaced residents and emergency workers in Grand Bahama will be short on housing, with cruise ships, ferries and accommodation vessels potentially being able to assist. 

The cruise lines have stepped up significantly in the Bahamas, delivering supplies, relief workers and even helping to evacuate. 

Bahamas Paradise Steps Up in Freeport; Runs Evacuation, Delivers Supplies

The Grand Celebration from Bahamas Paradise Cruise Line returned to Palm Beach on Saturday morning with more than 1,100 evacuated Bahamian and American residents aboard.

The cruise line spent nearly a full day on Friday clearing potential evacuees, including vetting their visa and passport documentation, as well as landing key supplies.

The ship sailed from Palm Beach on Thursday evening on a humanitarian mission, with 300 first responders and volunteers aboard, as well as 200 Bahamian residents who were stranded in South Florida during Hurricane Dorian.

"Doctors were leaving work to join the ship," said Oneil Khosa, CEO of Bahamas Paradise. "After making the announcement earlier in the week that we were going, we had 300 tons of supplies donated within hours."

Prior to docking in Freeport, the crew had prepared 850 boxed lunches and delivered them to local shelters.

The ship was also loaded with 150 palettes, totalling more than 225,000 pounds of supplies, including water, food, personal hygiene products, medical equipment, generators and more. Four of these palettes were exclusively dog food, according to a press release. 

"Everything is pro bono," Khosa told Cruise Industry News. "We opened up the ship going there and going back."

100 additional Bahamian bins were also transported, sent from family members in South Florida and delivered directly to Grand Bahama Island residents who picked them up in Freeport.

In addition to delivering supplies, medical personnel onboard also delivered a baby when visiting a local facility in Freeport.

Cruise lines eye reopening of private islands in the Bahamas

The Disney Dream at Castaway Cay. Photo Credit: David Roark/Disney

With the passing of Hurricane Dorian, cruise lines were assessing, and gearing up to reopen, their private destinations in the Bahamas.

At Disney Cruise Line's Castaway Cay, the line said that it needed to evaluate the pier and ship channel before reopening the island to passengers. It also will clean up some landscaping and make minor repairs to the roof of one small covered pavilion area. 

Holland America Line said its ships were to return to Half Moon Cay on Oct. 21 as scheduled, and Carnival Cruise Line will be back on the island Sept. 12. Holland America said there was minor beach erosion that will be cleaned up, but no structural damage. "The horses and stingrays are doing well," it said.

Princess Cruises said initial reports "show only cosmetic damage and beach erosion" on  Princess Cays, its private destination on Eleuthera.

Norwegian Cruise Line said Thursday it was still assessing the situation at Great Stirrup Cay.

As reported previously, Royal Caribbean said it would reopen Perfect Day at CocoCay on Sept. 7, after survey teams decided it was feasible.

MSC Group joins international Bahamas hurricane relief effort

MSC Group joins international Bahamas hurricane relief effort

The vast container shipping conglomerate behind MSC Cruises is to provide temporary shelters to people left homeless due to the destruction caused by Hurricane Dorian.

MSC Group’s initial efforts will focus on semi-permanent prefabricated modular housing in the areas most affected by the hurricane as well as making ships available for cargo from the US to the Freeport and Marsh Harbour container terminals.

The operation will involve its cargo shipping, cruising and its charitable foundation.

The latest aid initiative came as the death toll from Hurricane Dorian rose to 23 with fears that numbers could rise at least into the hundreds given the number of people missing across the island nation.

An estimated 76,000 people have been left in need of food and shelter with the International Red Cross estimating that 45% of homes on Grand Bahama and the Abacos – some 13,000 properties – were severely damaged or destroyed.

Dorian hit the Bahamas as a category 5 hurricane with winds reaching 185mph, matching the highest ever recorded at landfall, and stayed over affected areas for two days.

A fleet of ships from various cruise lines has been deployed on aid missions to the islands.

Royal Caribbean ships are to be re-deployed over the next few weeks to tender outside of Freeport, the Bahamas carrying goods and meals. This operation began with Empress of the Seas delivering 10,000 meals and 10,000 bottles of water.

The company is also sending container ships with emergency supplies including 47,000 bottles of water, 362 generators, 250 tarpaulins, 25,000 square feet of plywood, 55,400 nappies and 7,500 pounds of pet food.

Carnival Cruise Line is to divert the ships Carnival Pride and Carnival Liberty next week to deliver food, water and relief supplies in addition to an agreement to run shipments of aid by container ship.

The latest aid initiative came as the death toll from Hurricane Dorian rose to 23 with fears that numbers could rise at least into the hundreds given the number of people missing across the island nation.

An estimated 76,000 people have been left in need of food and shelter with the International Red Cross estimating that 45% of homes on Grand Bahama and the Abacos – some 13,000 properties – were severely damaged or destroyed.

Dorian hit the Bahamas as a category 5 hurricane with winds reaching 185mph, matching the highest ever recorded at landfall, and stayed over affected areas for two days.

A fleet of ships from various cruise lines has been deployed on aid missions to the islands.

Royal Caribbean ships are to be re-deployed over the next few weeks to tender outside of Freeport, the Bahamas carrying goods and meals. This operation began with Empress of the Seas delivering 10,000 meals and 10,000 bottles of water.

The company is also sending container ships with emergency supplies including 47,000 bottles of water, 362 generators, 250 tarpaulins, 25,000 square feet of plywood, 55,400 nappies and 7,500 pounds of pet food.

Carnival Cruise Line is to divert the ships Carnival Pride and Carnival Liberty next week to deliver food, water and relief supplies in addition to an agreement to run shipments of aid by container ship.

Sandals Resorts International has responded with help through its SRI Foundation.

Deputy chairman Adam Stewart said: “All three of the Sandals properties in the Bahamas have been unaffected which gives us the opportunity to focus on recovery and assisting however we can.

“We are proud to be working with the government of Jamaica and the Global Tourism Resilience and Crisis Management Centre to help our neighbouring island of the Bahamas who parts of which were badly affects by hurricane Dorian.

“The foundation, through the efforts of those who have supported us thus far, donated $10,000 worth of water, as a first gesture to those in Abaco, through our partner the Bahamian non-profit group HeadKnowles. A partner of Sandals has also donated $100,000 worth of cleaning material which we will also be collecting in the next 48 hours.”

MSC Group through its MSC Mediterranean Shipping Company has been present in the region for 20 years as the leading cargo import and export operator in the Bahamas. Its local headquarters are based in Freeport, Grand Bahama.

Gianluigi Aponte, executive chairman and founder of MSC Group, said: “It is heartbreaking to see the impact and devastation that Hurricane Dorian has brought over the Bahamas and its population. The thoughts and prayers of my entire family are with the people of the Bahamas and their families and loved ones.

“As a family company and one that has lived off the sea for over 300 years, we are fully committed to supporting both immediate and longer-term relief and recovery efforts in the Bahamas.

“Our businesses have long been closely tied to the Bahamas and its people, with a rich history spanning over many decades. We now look forward to supporting their efforts to rebuild and recover in every way we can and through all our businesses.”

Carnival Cruise Line president Christine Duffy said: “The devastation of the Bahamsa is truly tragic and heartbreaking and we are keeping them in our thoughts as we continue to offer our support and assistance.”

The US states of North and South Carolina are at risk of dangerous storm surges today before the hurricane moves towards Nova Scotia at the weekend.

NCLH: Hurricane Relief Underway; Breakaway to Deliver Key Supplies

Norwegian Cruise Line Holdings today announced the relaunch of Hope Starts Here, the company's hurricane relief campaign in partnership with All Hands and Hearts, and pledged a minimum commitment of $1 million toward immediate short-term relief for those affected by Hurricane Dorian, according to a prepared statement.

The company has also vowed to match donations dollar-for-dollar to assist with rebuilding efforts across the Bahamas, including debris cleanup and removal, and the delivery of supplies and temporary shelters.

"Our hearts are heavy after witnessing the impact and devastation caused by Hurricane Dorian across the Bahamas," said Frank Del Rio, president and chief executive officer of Norwegian Cruise Line Holdings. "We have been cruising to these islands for over 50 years and remain committed to its wonderful people during this unprecedented event. Through our partnership with All Hands and Hearts, we vow to match all donations collected to support the country's rebuilding efforts."

Norwegian Cruise Line Holdings is also coordinating with local Bahamian authorities to bring needed provisions to the affected areas, as quickly and as humanly possible. On Sept. 5, Norwegian Breakaway will depart Miami with hurricane relief supplies donated by Norwegian Cruise Line Holdings and its employees, in addition to items collected by the City of Miami, Baptist Health South Florida, the 305 Gives Back foundation, and other Miami-based organizations, to be delivered to Nassau, Great Harbor Cay, the company's private island Great Stirrup Cay, Bahamas.

"We are pleased and humbled to again partner with Norwegian Cruise Line Holdings, to bring both immediate and long-term support to those who have so tragically suffered from Hurricane Dorian in the Bahamas," said Erik Dyson, chief executive officer of All Hands and Hearts. "We partnered, after Hurricanes Irma and Maria, to help respond to and rebuild communities in Key West, St. Thomas, Tortola, Puerto Rico, and Dominica - this resulted in helping literally tens of thousands of people moving forward on their path to recovery. We look forward to continuing this joint impact working with and for the people of the Bahamas."

Carnival and Arison's Pledge $2 Million for Hurricane Relief

Carnival Corporation today announced that the corporation's philanthropic arm, Carnival Foundation, and its nine global cruise line brands together with the Micky and Madeleine Arison Family Foundation have pledged to donate $2 million in funding and in-kind support for relief efforts in The Bahamas following Hurricane Dorian, according to a press release. 

Carnival Foundation and the company's nine cruise line brands are pledging a total of $1 million in monetary and in-kind donations in support of immediate relief and recovery efforts in The Bahamas.

Carnival Corporation Chairman Micky Arison and his wife Madeleine are matching the corporation's commitment with a $1 million donation from the Micky and Madeleine Arison Family Foundation.

"We are fully committed to supporting the critical relief and recovery efforts already underway for The Bahamas, and we are working closely with officials and affected communities to identify the needs for support and assistance," said Arnold Donald, CEO of Carnival Corporation. "Our company has always been closely tied to The Bahamas with a rich history spanning many years, so it's heartbreaking to see the impact of Hurricane Dorian, and our thoughts and prayers are with the people of The Bahamas. We have long admired the unyielding spirit of the Bahamian people and have no doubt they will overcome, rebuild and recover, and we look forward to supporting their efforts."

A portion of the combined pledge will immediately go to support efforts being managed by Direct Relief, an international humanitarian organization that provides critical medications and supplies during emergency situations. Direct Relief is currently assembling and delivering requested medical aid and additional emergency medical caches with first-aid supplies to the affected areas in The Bahamas.

In addition, Carnival Corporation and its brands are working together with local officials, community leaders and key relief and recovery organizations to identify the most timely and urgent relief needs and immediate allocations for additional funds and support.

Separately, the company today announced an effort to collect and deliver food and supplies donated in Broward, Miami-Dade and Palm Beach counties for the people of The Bahamas, through a partnership with Tropical Shipping and The Bahamas National Emergency Management Agency (NEMA). The effort, funded by Carnival Corporation and Tropical Shipping, will work in partnership with NEMA to provide immediate assistance to the people of the Bahamas where it is most needed.

Royal to deliver 20,000 meals daily to Grand Bahama

Damage caused by Hurricane Dorian.

Royal Caribbean Cruises Ltd. has forged an ambitious plan to deliver 20,000 meals a day to Grand Bahamas residents who are labouring to recover from Hurricane Dorian.

The first ship, the Empress of the Seas, is scheduled to arrive on Sept. 4 with 10,000 cold meals, which will be tendered in for distribution ashore. Thereafter, the plan is to raise the number of meals to 20,000.

Following the first effort by Empress, the Symphony of the Seas and the Celebrity Equinox will both be visiting Grand Bahama on Friday.

Each day, Royal will take one of its ships headed for the Bahamas or the Caribbean and divert it for several hours to deliver on the commitment.

Richard Fain, chairman and CEO of RCCL, said paying guests won't notice any difference in the foodservice on board, but the itineraries will be tweaked for the near future so that a sea day may be substituted for a certain port call or vice versa.

Fain said the plan was hatched mid-morning on Wednesday as company officials considered how they could best provide relief.

"It's hard to get your hands around what total devastation is like," Fain said in an interview. "You don't even know what the issues are."

But one certain thing, Fain said, is that people need to keep eating, and many no longer have the means to feed themselves.

"If the refrigerator is out if the stove won't turn on, what do you do? They need good, warm healthy food. Now they may not be receiving our normal cruise line fare, but they will think this is the best dinner they've ever had," Fain said.

Royal Caribbean will cook the food in its ships and coordinate with a cargo operator that will be delivering water and canned goods separately. The distribution will be handled by the Bahamian government, by churches, by the Bahamas Feeding Network, a Nassau-based entity that has a long-term partnership with RCCL, and by chef Jose Andres' World Central Kitchen.

Fain said that the plan is still coming together and that given the chaotic post-storm conditions in Freeport, will have to be modified as needed.

"There are going to be problems, but we're determined to figure it out," Fain said.

The tentative plan also calls for kitchen equipment to be brought to Freeport to begin making meals onshore at the Grand Bahama Shipyard, where there's an existing kitchen for 500-600 employees, and at the kitchen at the Grand Lucayan Resort.

Two More Cruises Cancelled Due to Hurricane

Two more cruises have been cancelled due to Hurricane Dorian, as the storm slowly moves toward Florida.

Bahamas Paradise Cruise Line, which sails from Palm Beach to Freeport, announced its Sept. 5 sailing aboard the Grand Celebration has been cancelled, making it three cancelled voyages for the company due to the hurricane.

Royal Caribbean International confirmed the Mariner of the Seas' Sept. 2 sailing from Port Canaveral has been cancelled, after initially being delayed by two days. The ship was set to return to port from her August 30 sailing on Wednesday and is now expected back to port on Thursday, Sept. 5. Royal Caribbean is expected to issue another itinerary update midday Tuesday.

CocoCay Closed For Next Week Due to Weather

Royal Caribbean is closing CocoCay due to weather challenges, citing Hurricane Storm Dorian.

"Given its current strength and path projections, we've decided to close CocoCay until Wednesday, September 4," the company said, in a statement.

Ships are being rerouted to other ports and sent on different itineraries to avoid challenging weather in the Caribbean.

Pre-purchased shore excursions will be refunded to onboard expense accounts in the form of a credit, the company said.

Cruise Lines Make More Hurricane Adjustments

The three major cruise lines announced more itinerary changes due to Hurricane Dorian following Thursday's itinerary change news, and more adjustments are expected to follow on Friday as the storm develops.

Carnival

The Carnival Paradise will now leave Tampa early on August 31, with Carnival asking guests to arrive at the cruise terminal between 10:00 AM – 1:00 PM.

For the Carnival Miracle, with the anticipation of a potential port closure on Sunday, this sailing will now operate as an eight-day sailing, departing on Saturday evening. 

Royal Caribbean

Royal Caribbean has modified more sailings as a result of the impact of Hurricane Dorian.

Guests aboard the Navigator's August 30 sailing are now returning to Miami on Sept. 4 as opposed to Sept. 2, meaning the ship's Sept. 2 sailing will leave two days later.

The Empress will see guests get multiple days added to the itinerary. Unable to return to Miami this Sunday, the cruise now will add a call to Roatan, spend two days at sea, call in Nassau and then return to Miami on Sept. 4.

The Mariner will also get two days added to its current itinerary, returning to Port Canaveral on Sept. 4 as opposed to Sept. 2.

Norwegian

The Norwegian Breakaway will extend its port time in Cozumel until Sept. 1, giving guests a chance to disembark and return home or remain onboard if they choose.  Guests who choose to end their cruise in Cozumel will receive a 25% future cruise credit.

The  Norwegian Sun departed from Port Canaveral, Florida Thursday, August 29, 2019, as scheduled. The calls to Nassau, Great Stirrup Cay and Freeport, Bahamas have been cancelled. Instead, the ship will spend a day at sea on Friday, August 30 and will call to Cozumel, Mexico on August 31. She will remain at sea on September 1 and is scheduled to return to Port Canaveral on September 2.