Oil closes above $70

[kimchee1212]

Good news. Carnival Head said that they do not plan on reinstating the surcharge anytime soon! :D

[caribill]

Good news. Carnival Head said that they do not plan on reinstating the surcharge anytime soon! :D

 

 

(9:30 AM) -- Will cruise line fuel surcharges make a comeback?

That's the question cruise-selling travel agents and their customers are asking today in the wake of oil's surge Tuesday past $70 a barrel -- the level at which several lines have said they reserved the right to bring back the levies. But so far, at least, cruise lines aren't pulling the trigger.

A spokesman for industry giant Carnival, which operates more than half a dozen major brands including Carnival, Princess, Holland America and Seabourn, says the company's executives haven't even met to discuss the issue.

 

"What we have said is that if oil exceeds $70 per barrel, we still reserve the right to reinstitute a fuel supplement at up to $9 per person per day ($15 on Seabourn), but (we) have not had any discussions on doing so at this juncture," Carnival spokesman Tim Gallagher says.

 

Carnival removed its fuel surcharge in December as oil prices plunged below $50 a barrel. Oil remained below $50 a barrel until April, when it began a steady rise to its current level.

 

Carnival isn't the only line holding off on bringing back fuel surcharges as oil prices soar. Royal Caribbean and Norwegian Cruise Line, which also had fuel surcharges last year, have said they reserved the right to bring back the levies when oil passed $65 a barrel but so far haven't taken action.

Spokespeople for Royal Caribbean and Norwegian Cruise Line did not respond to a USA TODAY request for information about their current plans for surcharges.

[frankathy]

Carnival Corporation & plc Statement on Reinstatement of Fuel Supplements

MIAMI (June 10, 2009)- At the time we suspended fuel supplements for our six North American brands, we reserved the right to reinstate them if the price of light sweet crude oil, according to the NYMEX, should increase above $70 per barrel. While we have now exceeded that threshold, in light of the economic crisis and resulting consumer weakness, we presently have no plans to institute a fuel supplement. We will continue to monitor the situation in the markets and review our position as the situation warrants.

[Happy2Cruise4Fun]

Carnival Corporation & plc Statement on Reinstatement of Fuel Supplements

MIAMI (June 10, 2009)- At the time we suspended fuel supplements for our six North American brands, we reserved the right to reinstate them if the price of light sweet crude oil, according to the NYMEX, should increase above $70 per barrel. While we have now exceeded that threshold, in light of the economic crisis and resulting consumer weakness, we presently have no plans to institute a fuel supplement. We will continue to monitor the situation in the markets and review our position as the situation warrants.

 

 

Which this should now end the discussion of the FS as it put a little bit more behind the prior generic statement/policy they had listed on their website.

 

Thanks for posting the above update.

[paul929207]

Carnival Corporation & plc Statement on Reinstatement of Fuel Supplements

MIAMI (June 10, 2009)- At the time we suspended fuel supplements for our six North American brands, we reserved the right to reinstate them if the price of light sweet crude oil, according to the NYMEX, should increase above $70 per barrel. While we have now exceeded that threshold, in light of the economic crisis and resulting consumer weakness, we presently have no plans to institute a fuel supplement. We will continue to monitor the situation in the markets and review our position as the situation warrants.

Yeah.

[Jamiebearr]

Carnival Corporation & plc Statement on Reinstatement of Fuel Supplements

MIAMI (June 10, 2009)- At the time we suspended fuel supplements for our six North American brands, we reserved the right to reinstate them if the price of light sweet crude oil, according to the NYMEX, should increase above $70 per barrel. While we have now exceeded that threshold, in light of the economic crisis and resulting consumer weakness, we presently have no plans to institute a fuel supplement. We will continue to monitor the situation in the markets and review our position as the situation warrants.

Thank you for that statement. I just booked a cruise for my grandparents, and wasn't looking forward to explaining fuelsurcharges, guess I should start broaching the subject though so they are ready if they get added to their July cruise.

[springfire]

This is very good news.

[wizard-of-roz]

Thank you for that statement. I just booked a cruise for my grandparents, and wasn't looking forward to explaining fuelsurcharges, guess I should start broaching the subject though so they are ready if they get added to their July cruise.

 

Did you just "book" it or, did you book and pay for it? If it was the latter, would you like to adopt some "standby" grandparents? ;)

[DanJ]

Carnival is probably going to sit back and see what RCI does next Wednesday on their quarterly milestone date. In the past, Carnival would lead the way, then RCI would come out with their fuel surcharge and word it in such a way that it made Carnival look bad. I wouldn't be surprised if RCI does bring their surcharge back if oil is still in the $70's since their number is $65, in which case Carnival would likely follow.

[spongerob]

I think most of you are getting way too agitated over nothing. Cruise ships use Heavy Fuel Oil, which is the leftovers from the refining process. Last year the price of HFO (which includes Bunker B or C) was $2.40 per gallon, and fuel surcharges were enacted. The current price of HFO is around $1 per gallon, so that commodity is not seeing the same price increases.

[wizard-of-roz]

I think most of you are getting way too agitated over nothing. Cruise ships use Heavy Fuel Oil, which is the leftovers from the refining process. Last year the price of HFO (which includes Bunker B or C) was $2.40 per gallon, and fuel surcharges were enacted. The current price of HFO is around $1 per gallon, so that commodity is not seeing the same price increases.

 

Finally, the voice of knowledge and reason!!!!! Thank you, Bob!!! :);)

[Paulchili]

I think most of you are getting way too agitated over nothing. Cruise ships use Heavy Fuel Oil, which is the leftovers from the refining process. Last year the price of HFO (which includes Bunker B or C) was $2.40 per gallon, and fuel surcharges were enacted. The current price of HFO is around $1 per gallon, so that commodity is not seeing the same price increases.

 

That may well be true - except that is not the index they are monitoring (unfortunately for us); they specificaly indicated the price of crude over $ 70 as a cut-off.

[Jfultz81]

Princess posted this on their website:

 

At the time we suspended fuel supplements we reserved the right to reinstate them if the price of light sweet crude oil, according to the NYMEX, should increase above $70 per barrel. While we have now exceeded that threshold, in light of the economic crisis and resulting consumer weakness, we presently have no plans to institute a fuel supplement. We will continue to monitor the situation in the markets and review our position as the situation warrants.