Rare LMaxwell Posted March 9, 2020 #1 Share Posted March 9, 2020 (edited) https://www.seatrade-cruise.com/news/nclh-secures-additional-675m-liquidity-amid-coronavirus-uncertainty This is a second loan to bolster access to cash in short term Edited March 9, 2020 by LMaxwell 1 Link to comment Share on other sites More sharing options...
CarolinaMamma Posted March 9, 2020 #2 Share Posted March 9, 2020 Wow. One more thing to tip the scales in favor of using CFAR insurance instead of taking the FCC I’d I cancel our upcoming cruise. I feel badly for the cruise lines. This is beyond their control and it’s gotta hurt. Link to comment Share on other sites More sharing options...
MeHeartCruising Posted March 9, 2020 #3 Share Posted March 9, 2020 (edited) Deleted. Edited March 9, 2020 by MeHeartCruising Link to comment Share on other sites More sharing options...
IrieBajan54 Posted March 9, 2020 #4 Share Posted March 9, 2020 (edited) That throws water on the false equivalence that some peddle that COVID-19 is not as bad as regular flu. How many times has a cruise line had to secure a loan because regular flu had impacted revenue? How many times have cruise ships been quarantined or refused docking because of regular flu? Edited March 9, 2020 by IrieBajan54 correction 5 Link to comment Share on other sites More sharing options...
pghflyer Posted March 9, 2020 #5 Share Posted March 9, 2020 (edited) I think this was the intended link: https://www.seatrade-cruise.com/news/nclh-secures-additional-675m-liquidity-amid-coronavirus-uncertainty Edited March 9, 2020 by pghflyer 1 Link to comment Share on other sites More sharing options...
Rare LMaxwell Posted March 9, 2020 Author #6 Share Posted March 9, 2020 3 minutes ago, MeHeartCruising said: the posted link seems to be for a Carnival IT project instead of anything to do with NCL's finances. Thank you for pointing that out; I had that article open as well. I have fixed the first link. https://www.seatrade-cruise.com/news/nclh-secures-additional-675m-liquidity-amid-coronavirus-uncertainty Link to comment Share on other sites More sharing options...
MeHeartCruising Posted March 9, 2020 #7 Share Posted March 9, 2020 Ouch. They have used the Epic as collateral. I guess that means she is their least favorite child. Haha. 6 6 Link to comment Share on other sites More sharing options...
Rare luv2kroooz Posted March 9, 2020 #8 Share Posted March 9, 2020 15 minutes ago, MeHeartCruising said: Ouch. They have used the Epic as collateral. I guess that means she is their least favorite child. Haha. Poor Epic. Even NCL is quick to throw her under the bus. Seriously that is pretty wild, not something you hear about routinely. 1 Link to comment Share on other sites More sharing options...
Trimone Posted March 9, 2020 #9 Share Posted March 9, 2020 Why do they need a loan, they have all the DSC ? 2 2 Link to comment Share on other sites More sharing options...
Rare ColeThornton Posted March 9, 2020 #10 Share Posted March 9, 2020 5 minutes ago, Trimone said: Why do they need a loan, they have all the DSC ? Well, that obviously is because of the cheap people who remove it. 😉 3 1 Link to comment Share on other sites More sharing options...
Comi.uy Posted March 10, 2020 #11 Share Posted March 10, 2020 I hope this doesnt hurt us, the customers, in the long run ... Link to comment Share on other sites More sharing options...
Isabella Benjamin Posted March 10, 2020 #12 Share Posted March 10, 2020 Norwegian took out that loan because they know exactly what's happening going on in other countries like Italy and they may have to close up shop for months. 3 Link to comment Share on other sites More sharing options...
Bonobochick Posted March 10, 2020 #13 Share Posted March 10, 2020 Link to comment Share on other sites More sharing options...
Russiamomm Posted March 10, 2020 #14 Share Posted March 10, 2020 I look at this as a positive thing. I’m a banker. No bank is going to lend this kind of money if they’re not reasonably sure they will get the money back. Trust me, no bank wants to have to own the Epic or any other cruise ship. They want to be repaid in cash. If they weren’t convinced they would be, they would not have made the loan. This loan is a good thing. 9 Link to comment Share on other sites More sharing options...
SplashOfWater Posted March 10, 2020 #15 Share Posted March 10, 2020 9 minutes ago, Bonobochick said: I can't believe (ok, I really can) that they actually think banning travel on cruise ships will stop the spread of coronavirus. Hello! It's spread by people, regardless of whether or not they are on a cruise ship. 3 Link to comment Share on other sites More sharing options...
Isabella Benjamin Posted March 10, 2020 #16 Share Posted March 10, 2020 2 minutes ago, akmarshall said: I can't believe (ok, I really can) that they actually think banning travel on cruise ships will stop the spread of coronavirus. Hello! It's spread by people, regardless of whether or not they are on a cruise ship. If it spreads too fast the hospitals will be beyond capacity. Link to comment Share on other sites More sharing options...
Russiamomm Posted March 10, 2020 #17 Share Posted March 10, 2020 5 minutes ago, akmarshall said: I can't believe (ok, I really can) that they actually think banning travel on cruise ships will stop the spread of coronavirus. Hello! It's spread by people, regardless of whether or not they are on a cruise ship. The madness has to stop. Nothing will stop the spread of this thing. We will have to learn to live with it. The entire world economy is at stake here. Unfortunately, the Cruise lines are a convenient scapegoat. But such is the world we live in. Sigh. 5 Link to comment Share on other sites More sharing options...
Rare LMaxwell Posted March 10, 2020 Author #18 Share Posted March 10, 2020 17 minutes ago, akmarshall said: I can't believe (ok, I really can) that they actually think banning travel on cruise ships will stop the spread of coronavirus. Hello! It's spread by people, regardless of whether or not they are on a cruise ship. What they can't keep doing is having ships with 3000+ people that need quarantine turning up at US ports with no real plan how to handle. Pause on the industry is like a big reset and removes one part of containment puzzle. Not saying it WILL happen, but don't be surprised. 1 Link to comment Share on other sites More sharing options...
Rare LMaxwell Posted March 10, 2020 Author #19 Share Posted March 10, 2020 31 minutes ago, Russiamomm said: I look at this as a positive thing. I’m a banker. No bank is going to lend this kind of money if they’re not reasonably sure they will get the money back. Trust me, no bank wants to have to own the Epic or any other cruise ship. They want to be repaid in cash. If they weren’t convinced they would be, they would not have made the loan. This loan is a good thing. NCL quickly saw cash flow problems and has made the unprecedented move of amending their deposit and refund policies for already booked guests to lock their money in. Those two together aren't confidence inspiring. NCL needs the cash to get through fixed cost operations and overhead. But for how long?? That's a huge unknown. 2 Link to comment Share on other sites More sharing options...
Rare ColeThornton Posted March 10, 2020 #20 Share Posted March 10, 2020 Interesting. RCL just did the same type of financial move to the tune of $550M. No big surprise there. 1 Link to comment Share on other sites More sharing options...
Rare luv2kroooz Posted March 10, 2020 #21 Share Posted March 10, 2020 Oh, the ban is coming, in my opinion. Just a matter of when and for how long. Perhaps another reason to not play your full hand of cards and cancel today. 4 Link to comment Share on other sites More sharing options...
Farts Posted March 10, 2020 #22 Share Posted March 10, 2020 1 hour ago, ColeThornton said: Interesting. RCL just did the same type of financial move to the tune of $550M. No big surprise there. What ship did they put up for collateral? Link to comment Share on other sites More sharing options...
CruisingSince1982 Posted March 10, 2020 #23 Share Posted March 10, 2020 58 minutes ago, blcruising said: Oh, the ban is coming, in my opinion. Just a matter of when and for how long. Perhaps another reason to not play your full hand of cards and cancel today. It is definitely coming. I wouldn't cancel until the last minute. If they stop you from going, they have to refund your money. I don't want a FCC - want the money back. 2 Link to comment Share on other sites More sharing options...
Rare Lupush Posted March 10, 2020 #24 Share Posted March 10, 2020 There isn't a successful company in existence that doesn't leverage their holdings and borrow against their assets. This was in the works before Coronavirus took over the news. It would be cause for concern if banks REFUSED to lend to NCL. 2 Link to comment Share on other sites More sharing options...
MeHeartCruising Posted March 10, 2020 #25 Share Posted March 10, 2020 1 hour ago, Farts said: What ship did they put up for collateral? It was not mentioned in their press release announcing the financing. "MIAMI, March 10, 2020 /PRNewswire/ -- Royal Caribbean Cruises Ltd (NYSE: RCL) today announced that due to the spread and recent developments related to the COVID-19 outbreak, the company has increased its revolving credit capacity by $550 million bolstering the company's liquidity. The company is pursuing additional actions to improve its liquidity by reducing capital expenditures, operating expenses and taking other actions to improve liquidity by at least a further $1.7 billion in 2020. The company is also planning reductions to the 2021 capital expenditures and operating expenses. The company had previously communicated that its 2020 guidance did not include the impact of the COVID-19 outbreak. Given the recent government actions and the heightened impact and uncertainty of changes in the magnitude, duration and geographic reach of COVID-19, the company is withdrawing its first quarter and full-year 2020 guidance." Link to comment Share on other sites More sharing options...
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