MEFIowa Posted February 1, 2022 #26 Share Posted February 1, 2022 21 hours ago, pinotlover said: ...I’m sure the bond holders would entertain an offer that meet or exceeded the net present value of the projected ROI of the ship for its expected lifetime. Calculating that projected ROI is tricky when the restart date keeps sliding and ship occupancy levels are dismal. The MBA in me would love to see the various assumptions they're making regarding ROI criteria. And by "they" I mean both NCL/Oceania and any potential buyer. Regatta (R2) has been sailing since 1998. So one assumption is how long can she continue to sail in a cost-effective manner. Considering that a major refit was already planned back in 2019. The Wiki entry for her claims she cost 150 million pounds back in 1998. It seems entirely unlikely that anyone could turn a profit on her for a $150 million purchase in 2022. As one then adds in the refit cost and the higher future upkeep and maintenance on an aging 24-year-old ship. Of course, one would need to know the cost of the refit/upgrade, what impact it has on room pricing & future occupancy, and projections on years of service just to estimate the ROI on that small piece purely for Oceania's ongoing use of her. Link to comment Share on other sites More sharing options...
Rare LHT28 Posted February 1, 2022 #27 Share Posted February 1, 2022 OT The Marco Polo formerly Alexandr Pushkin sailed for 50+ yrs until recently when covid killed her 20,000GRT & was still popular Still life in the R ships yet 1 Link to comment Share on other sites More sharing options...
MEFIowa Posted February 1, 2022 #28 Share Posted February 1, 2022 8 minutes ago, LHT28 said: OT The Marco Polo formerly Alexandr Pushkin sailed for 50+ yrs until recently when covid killed her 20,000GRT & was still popular Still life in the R ships yet That AP/MP a famous East German ship built for the USSR. In service 1965. Quite a fascinating history, including a very long and expensive rebuild: "Following the purchase by Orient Lines, Marco Polo sailed to Neorion Shipyard, Greece, where her engines were reconditioned by Sulzer Diesels. Following this she was moved to Perama Shipyard, Greece, where a near-total reconstruction of the ship commenced. Externally this resulted in notable extension of the rear superstructure and heightening of the funnel to maintain the proportions of the ship. Internally the ship was almost entirely rebuilt under the guidance of naval architect Knud Hansen and interior designers Michael and Agni Katzourakis. In addition to the more visual changes, the ship was fitted with Denny Brown stabilizers, additional diesel engines and brought up to the latest IMO and SOLAS standards. The refit took 21⁄2 years [1990-1993]; various sources estimate the cost as between $US 20m and $60m." One wonders in 1990 or even 1993 how much a similar new build cost? US B-52H bombers were built in 1963, the year of my birth and are still flying. When I was in SAC in 1991-1992 we thought they be long gone by now. Yet projected to fly to at least 2040 if not later. YOU can rebuild nearly anything. But costs rise. Those B-52s are essentially completely new aircraft. I doubt there's a panel or screw or nut from 1963. Link to comment Share on other sites More sharing options...
Rare Host Jazzbeau Posted February 1, 2022 #29 Share Posted February 1, 2022 You're speculating on the 'sell by' date of the R-ships, but six of the eight ships in Renaissance Cruises' earlier generation are still sailing (for Noble Caledonia, APT, and several Antarctic operators): https://en.wikipedia.org/wiki/Renaissance_Cruises#Renaissance_class Link to comment Share on other sites More sharing options...
MEFIowa Posted February 1, 2022 #30 Share Posted February 1, 2022 4 minutes ago, Host Jazzbeau said: You're speculating on the 'sell by' date of the R-ships, but six of the eight ships in Renaissance Cruises' earlier generation are still sailing (for Noble Caledonia, APT, and several Antarctic operators): https://en.wikipedia.org/wiki/Renaissance_Cruises#Renaissance_class And that's what future ROI projects rely on, "speculation", making assumptions about future costs, occupancy, room pricing, and end of life. It is only cost effective so long to keep a cruise ship running without serious refit. Engines, for example, don't last forever without rebuild. IF you pay for it, anything can be kept working or floating. If you want to see an old beauty barely being kept "alive", see the USS Texas, the only pre-WW I super-dreadnaught battleship extant. Whether she survives another 10 years, let alone 25 or 50, is dicey. Paraguay maintains a late 1920s Italian-built gunboat, ARP Paraguay (C1), on her active rolls to this day (I'm planning on seeing her in Asuncion on my trip there in April). Link to comment Share on other sites More sharing options...
Rare FlyerTalker Posted February 1, 2022 #31 Share Posted February 1, 2022 23 minutes ago, MEFIowa said: Those B-52s are essentially completely new aircraft. I doubt there's a panel or screw or nut from 1963. What about the CRM 114 Discriminator that was in Dr Strangelove? 😉 2 Link to comment Share on other sites More sharing options...
MEFIowa Posted February 1, 2022 #32 Share Posted February 1, 2022 3 minutes ago, FlyerTalker said: What about the CRM 114 Discriminator that was in Dr Strangelove? 😉 Too darn funny! Easily tied for my greatest films along with Blade Runner & Touch of Evil. CRM 114 (fictional device) - Wikipedia Link to comment Share on other sites More sharing options...
MEFIowa Posted February 1, 2022 #33 Share Posted February 1, 2022 7 minutes ago, FlyerTalker said: What about the CRM 114 Discriminator that was in Dr Strangelove? 😉 Wonder how much the refit cost after her "accident" in 1997? Star Legend (ship) - Wikipedia Link to comment Share on other sites More sharing options...
susiesan Posted February 1, 2022 #34 Share Posted February 1, 2022 I hope O keeps the R ships going as long as possible. Comparable cruises on R ships and O ships have the R ship pricing well below that of the O. The new Vista ship is very expensive as compared to the older ships, 20% more for the same itinerary on a R ship in the lowest priced veranda. Also, R ships have some insides and outsides that are very cost effective, Vista does not. I love the R ships, sailed on them as Renn, Azamara, and Oceania. Keep them going as long as possible.😙 1 Link to comment Share on other sites More sharing options...
Jancruz Posted February 1, 2022 #35 Share Posted February 1, 2022 You can stop wondering Regatta is not for sale... Jancruz1 3 2 1 Link to comment Share on other sites More sharing options...
lj77346 Posted February 1, 2022 #36 Share Posted February 1, 2022 This topic is a great example of how misinformation can easily get circulated on the internet. I know I was sure hoping that the Regatta was not for sale as I have 4 cruises booked on her in 2022. Link to comment Share on other sites More sharing options...
KirkNC Posted February 1, 2022 #37 Share Posted February 1, 2022 On 1/30/2022 at 11:43 PM, Host Jazzbeau said: There have been threads from time to time on several CC cruise line forums about yacht broker listings of ships. The standard cruise line response is that it is not true, and I don't recall ever seeing one of these 'listings' end up with a sale of the ship. I'm guessing that yacht brokers can get ship info and pictures [often outdated] from the internet and publish 'listings' without the owner's approval or even knowledge. If it were a true listing authorized by the ship owner, I would expect all the details to be up to date. But it's also possible that ship owners are slyly testing the waters, and using these red herrings to give them deniability. A couple of HAL ships were in those listings and ultimately were sold. Not saying the listing had anything to do with it. Link to comment Share on other sites More sharing options...
ECCruise Posted February 1, 2022 #38 Share Posted February 1, 2022 9 hours ago, MEFIowa said: Yep, they bought it all, lock, stock and barrel: Royal Caribbean Has Sold Its Azamara Cruise Line, 4 Ships for $201 Million (businessinsider.com) Awful article. Sycamore only bought THREE ships from RCCL at the $201 Million price. The Onward was purchased from Carnival months later. Price has never been disclosed. Link to comment Share on other sites More sharing options...
MEFIowa Posted February 1, 2022 #39 Share Posted February 1, 2022 15 minutes ago, ECCruise said: Awful article. Sycamore only bought THREE ships from RCCL at the $201 Million price. The Onward was purchased from Carnival months later. Price has never been disclosed. I guess the devil is in the details for this article is dated March 19, 2001, the same day as the Business Insider Piece: "Azamara, the upscale boutique cruise line, is now an independent brand and has taken delivery of its fourth ship, named Azamara Onward. The vessel handover, which took place on March 15, 2021, coincides with the close of Azamara’s purchase by Sycamore Partners, a private equity firm, specializing in consumer, retail and distribution investments. Royal Caribbean Group sold Azamara in an all-cash transaction for $201 million that includes three ships and associated intellectual property." Azamara Officially Sold, Takes Possession of Fourth Ship | TravelPulse Link to comment Share on other sites More sharing options...
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