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Carnival had $11.7 billion in liquidity end-February

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 20 March 2020 20 March 2020

Carnival Corporation and plc, the largest cruise shipping group in the world, said it had a total of $11.7 billion of liquidity at the end of February

“This included $3.0 billion of immediate liquidity plus $2.8 billion from four committed export credit facilities that are available to fund the originally planned ship deliveries for the remainder of this year,”the company said in a statement.

It also has $5.9 billion from committed export credit facilities that are available to fund ship deliveries originally planned in 2021 and beyond.

“On March 13, 2020, the Corporation fully drew down its $3.0 billion multi-currency revolving credit. The Corporation borrowed under the Facility Agreement in order to increase its cash position and preserve financial flexibility in light of current uncertainty in the global markets resulting from the COVID-19 outbreak,”the company said.

“Substantially all of the Corporation's assets, with the exception of certain ships with a net book value of approximately $6 billion as of February 29, 2020, are currently available to be pledged as collateral,”Carnival added.

Carnival says first half 2021 bookings slowed down in March

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 20 March 2020 20 March 2020

Cruise bookings for the first half of 2021 ran slightly ahead of the previous year up to the beginning of March, but in the two weeks to 15 March, the pace of bookings fell significantly behind the pace of a year before, Carnival Corporation & plc, the world’s largest cruise shipping group said.

“For the first half of 2021, booking volumes since its last conference call in mid-December through March 1, 2020, have been running slightly higher than the prior year,” the company said in a statement.

“Also for the first half of 2021 and during the two weeks ended March 15, 2020, the Corporation booked 546,000 Occupied Lower Berth Days (“OLBD”), albeit considerably behind the prior year pace,” Carnival said.

“As of March 15, 2020, cumulative advanced bookings for the first half of 2021, are slightly lower than the prior year,” the company concluded.

Carnival says 2020 bookings lower at lower prices, ship deliveries to be delayed and full year loss looms

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 20 March 2020 20 March 2020

Carnival Corporation& plc, the world’s largest cruise shipping group, said that bookings for the rest of the year were lower at much lower prices, while ship deliveries were likely to be delayed due to the COVID-19 epidemic.

The company said as of 15 March, cumulative advanced bookings for the remainder of 2020, are meaningfully lower than the prior year at prices that are considerably lower than the prior year on a comparable basis, reflecting the impact of COVID-19.

It also said it expects a net loss for the financial year to 30 November 2020.

“The Corporation previously announced a voluntary, temporary pause of its global fleet operations across all brands. The Corporation believes the ongoing effects of COVID-19 on its operations and global bookings will have a material negative impact on its financial results and liquidity,” the company said in a statement.

Carnival said it also believes the effects of COVID-19 on the shipyards where its ships are under construction, will result in a delay in ship deliveries. “The Corporation is taking additional actions to improve its liquidity, including capital expenditure and expense reductions, and pursuing additional financing,” Carnival stated.

“Given the uncertainty of the situation, the Corporation is currently unable to provide an earnings forecast, however it expects a net loss on both a U.S. GAAP and adjusted basis for the fiscal year ending November 30, 2020," Carnival said.