RCL Cutting 400 Jobs

[Retired LEO]

Second quarter earnings down.

 

http://www.rclinvestor.com/phoenix.zhtml?c=103045&p=irol-newsArticle&ID=1177313&highlight=

[Cruising89143]

Current thread on this subject and earnings.

http://boards.cruisecritic.com/showthread.php?t=813548

[Darkwolfe]

This was posted yesterday. All the cuts are shore side, which still stinks, but at least there's no mention of shipboard reductions.

 

Primary cause is fuel costs. RCI is still making a profit though. I don't think they're in any real trouble. They're just doing what any company does in a spot like this, defending the bottom line.

[Cruising89143]

According to the Miami Herald article, about 100 of the 400 jobs were already open so those positions were just done away with and the actual cut number is around 300. NCL did this back in March.

http://www.bizjournals.com/pacific/stories/2008/03/03/daily57.html?ana=from_rss

[RCCLCARIB]

How odd.....RCCL stock is up 13% today and oil is down!

[Darkwolfe]

How odd.....RCCL stock is up 13% today and oil is down!

 

Not odd at all. Investors always react when a company cuts costs. Usually by buying more of the stock. Seen it happen a number of times even though it seems rather backwards.