Carnival Corporation

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By ,   August 3, 2017 ,   Ships and Lines

Carnival Corporation & PLC is an US-British cruise company (currently ranked the world's largest cruise shipping operator) with combined fleet of over 110 liners across 9 cruise line brands. This is a dual listed company, composed of two parties - Carnival Corporation and Carnival PLC. They are combined as one entity, despite their separate listings, respectively on NYSE (New York) and LSE (London) stock exchanges. As such, Carnival Corporation Plc is the world's only company listed on both FTSE 100 and S&P 500 indices.

Carnival Group has its global headquarters in Doral Florida (USA) and Southampton England (UK), with regional headquarters in the UK, Germany, Italy, Australia and the USA. Today, the Corporation is one of the world's oldest cruise ship companies, as PandO's first passenger ship was launched in 1844. Next, for quick access, are listed jump links to this page's Ocean Medallions (wearable technology) and Bad Carnival (Triumph ship fire / FY2013 financial consequences of the accident).

Carnival Corporation - CruiseMapper

History

The Corporation was formed in 2003, with the merger of "P&O Princess Cruises PLC" with Carnival Corporation. In 1972, the Corporation was originally established as "Carnival Cruise Lines". The company had a steady growth throughout the 70s and 80s, making an initial public offering in 1987 on the New York Stock Exchange. The capital generated was used for financing acquisitions. Between 1989 and 1999, the company acquired Windstar Cruises, Holland America Line, Westours, Costa Cruises, Cunard Line and Seabourn Cruise Line. In 1993 the "Carnival Corporation" name was adopted in order to distinguish the parent company from the flagship line subsidiary.

Prior to the merger, P&O Princess had agreed on a merger with RCCL (Royal Caribbean Cruises Ltd). However, there was a decision to abandon the deal after Carnival Corp made a new bid with improved terms for the PandO's British shareholders. P&O Princess Cruises plc remained LSE-listed as separate company, retaining its management team and UK shareholder body. The company was renamed "Carnival PLC", with operations of the two parties merged into one entity. Carnival Corp and Carnival PLC jointly own all Carnival Group-operated cruise line companies.

On June 25, 2013, after 34 years as Corporation's CEO, Micky Arison (aka "Mr Carnival Cruise Lines") resigned. As new CEO (at his suggestion) was elected the 12-year board member Arnold W Donald (58 years old at the time). The new CEO started on July 3. Howard Frank remained on his position of Vice Chair / Chief Operating Officer. Micky Arison turned 64 on June 29 (Cancer). Besides "The Fun Ships", he also owns the "Miami Heat" NBA team.

Micky Arison (Carnival Corporation)

In November 2013, "Miami HEAT" teamed up with Carnival Corp (all the brands, all employees) and the "Carnival Foundation" donating over USD 1 million for the Philippines' Typhoon Haiyan relief works.

In February 2015, Carnival Corporation signed a "memorandum of understanding" (MoU) with China Merchants Group for 2 joint ventures. The MoU outlined an eventual partnership that could result in a new cruise line brand (ship-owning joint company), as well as joint development plans for Chinese destination and ports.

  • The MouU's joint venture port plans included development of transit and turnaround / home-ports within China. China Merchants Group (founded 1872) is a state-owned company focusing on infrastructure and transportation, also on real estate development and financial services. Currently, Carnival Corporation serves the Chinese ship cruising market through Princess and Costa ships.
  • In October 2015, Carnival Corp signed am agreement with the Chinese companies SWS (Shanghai Waigaoqiao Shipbuilding, which is controlled by CSSC / China State Shipbuilding Corp) and China Investment Corp. The USD 3,88 billion deal established a Hong Kong-based joint venture to place shiporders with SWS. The company plans to build up to 5 new cruise vessels per year for the next 15-20 years. All ships will be China-homeported and with technical support and design plans provided by Fincantieri. SWS builds some of the world's largest container ships (capacity up to 21000 TEUs) for CSCL.

In May 2016, Carnival Corporation hired Omnicom Media Group (advertising agency) to handle all media planning and buying for all cruise brands. The result was "multi-million dollar" savings in ad costs. Previously were used the services of 6 different agencies. Just in 2015, Corporation's combined media spend in North America and UK was USD 116 million.

In July 2016, Carnival Corporation opened the EUR 75 million "Arison Maritime Center" in Almere (Holland). This is a cruise ship training facility for bridge and engineering officers operating ships across all brands. The simulation room ("Center for Simulator Maritime Training" / CSMART) creates various bridge and engine room scenarios and sea conditions. Among the simulated events are ship traffic, aircraft interference, weather events, wildlife circumvention. Simulations provide access to the exact visual elements of 60 cruise ports. The campus also has medical facilities and a 176-room hotel for the currently trained employees.

The following table shows Carnival Corporation's Q4 2017 financial results. For comparison, there are also shown the corporation's Q42016 respective numbers, as well as the results reported by its main competitors on the market - RCCL (Royal Caribbean Cruises Ltd) and NCLH (Norwegian Cruise Line Holdings Ltd). Statistical data is for all brands (subsidiary companies) in their fleets.

Breakdown2017 Q42016 Q4RCCL (2016)NCLH (2016)
Total RevenueUSD 4 billionUSD 3,9 billionUSD 2 billion (USD 1,9 billion)USD 1,25 billion (USD 1,1 billion)
Net IncomeUSD 546 millionUSD 609 millionUSD 288 million (USD 261 million)USD 98 million (USD 72 million)
Net Income Per Passenger DayUSD 25,38USD 28,69USD 29 (USD 26,42)USD 21 (USD 16,45)
Gross Revenue Per Passenger DayUSD 198USD 185,40USD 201,79 (USD 193,21)USD 265,66 (USD 256,16)
Net Revenue Per Passenger DayUSD 162,58USD 152,47USD 161,21 (USD 154,49)USD 206,18 (USD 196,17)
Operating Expense Per Passenger DayUSD 172,48-USD 170,85USD 227,99
Fuel Costs Year-over-YearUSD 63 million-USD 10 millionUSD 8 million

In May 2018, Dufry (Swiss-based travel retail.company) signed with Carnival Corp 2 separate contracts for operating onboard gift shops on Holland America (8 ships) and Carnival (3 ships). The 5-year deal for HAL (till 2023) covers 1744 m2 retail space . The contract with CCL is for 250 m2 retail space, Dufry also signed with NCL (in April 2018) a 4-year contract for 750 m2 retail space. Among the brands that Dufry represents are MontBlanc, Tag Heuer, Longines, Hublot, Colombian Emeralds International, EFFY, Dior, Clinic, Chanel, Estee Lauder, Lancome. As of 2018, Dufry Cruise Services cover 27 liners. Shipboard shops sell liquor, tobaccos, cosmetics, perfumes, confectionery, fashion clothing and accessories, leather goods, sunglasses, brand jewelry and watches, gadgets, electronics, souvenirs, sundries.

Carnival Corporation-owned cruise companies

The list of Carnival Group cruise brands (Carnival Corporation lines and subsidiary companies) includes AIDA (Kreuzfahrten), Costa (Crociere), Carnival, Cunard Line, Holland America Line (HAL), P&O (UK, Australia), Princess and Seabourn.

  • Carnival Group / Carnival UK

Carnival Group (carnivalukgroup.com) includes the following seven cruise lines: AIDA (Germany), Costa (Italy), Carnival (USA), Cunard (UK), Holland America (USA), P&O Cruises (two separate brands - for UK and (Australia), Princess (USA), Seabourn (USA). All these brands traditionally offer excellent quality of services and onboard amenities distinguishing the group and giving it a leading position in the ocean cruising industry.

Primary operating of Carnival plc, one of major operating companies in Carnival Group. Consisting of former P&O Princess brands, with executive control of Cunard line and PandO Cruises. Sharing facilities and departmental areas with UK operations of Holland America Line, Princess Cruises, Yachts of Seabourn. Carnival's base is in purpose-built headquarters at Carnival House, Southampton, Hampshire England. The company Carnival Corp also has offices in UK for other operating bodies.

"Carnival UK" is trade marked as a business name of Carnival PLC. It is also a separate company incorporated in the UK (registered in London, England). Its office address is "5 Gainsford Str, London SE1 2NE".

  • Carnival PLC is a holding company of Carnival Group. In 2002, PandO Princess operated in the UK as the world's largest cruise ship operator and owned the brand lines AIDA, Ocean Village, Princess, P&O UK, P&O Australia. PandO demerged ship operations on October 23, 2000, forming P&O Princess Cruises plc. In 2002 P&O Princess announced the "Ocean Village" brand, starting operations in May 2003. After that, the company had agreed to merge with Carnival Corporation. P&O Princess was then re-registered as "Carnival PLC".
  • Princess Cruises is the US-style sister of P&O Cruises, sharing a commitment to provide stylish sea ship vacation experience and first-class service. The dress code is more informal and relaxed.
  • Carnival Corporation and the PLC are separate companies (with different shareholder bodies) that own jointly the group's companies.

In 2002 was agreed P&O Princess to remain a separate company. It was relisted as "Carnival plc" in London, with predominantly British shareholder body, retaining P&O's executive team. Carnival Corporation & plc comprises 11 company brands, which operate combined fleet of ~100 ships, with ~190,000 berths plus new vessels on order.

The executive control is directed by geographical location, as Carnival UK controls operations in the UK (operations of Cunard Line, P&O (UK and AU), Princess); Carnival Corporation controls the operations in North America; Costa Cruises Group controls operations in rest of Europe. The combined brands of Carnival Corp in 2011 controlled a 49.2% share of the world cruise market.

The first acquisition in 1989 of Holland America Line, including Windstar Cruises and Holland America Tours, was followed in 1992 by Seabourn Cruise Line. Note: Windstar was sold to Xanterra Parks and Resorts (the US largest park management company) in 2011.

In 1993 changed name to Carnival Corporation, continuing to expand into cruise travel industry, acquisitioning in 1998 Cunard and Costa in 2000. Company website - phx.corporate-ir.net

  • Costa Cruises Group

Being within the largest cruise operators in Europe, as part of Carnival Corporation, Costa Cruises became one of primary companies in the group, mainly responsible Europe operations. It controls AIDA Cruises in Germany, Costa Cruises (Costa Crociere) in Italy and Ibero Cruises (iberoCruceros) in Spain (new cruise brand, created in 2007 by Carnival Corp).

  • Costa Asia

Costa Asia is Carnival Corp's subsidiary that manages all the corporation's Asian cruise shipping operations. The Costa Asia company has offices in China (including Hong Kong), Singapore, Indonesia, Malaysia, Philippines, Thailand, and India. Costa Asia is also the operator of all Asia-based Costa cruise ships.

Since May 2017, all Carnival Corporation ships managed by Costa Asia (all brands) allow using Alipay payment services onboard. The partnership between Carnival Corporation and Ant Financial Services Group (subsidiary of Alibaba, China's biggest online trading company) enables Chinese cruise passengers on all Carnival Corp ships in Asia to pay for onboard services and products using their Alipay (mobile payment platform) accounts. Among the onboard services and products are shopping, tours/excursions, food and drinks. These expenditures are added to the passenger's cabin folio, then cleared via his/her Alipay account on a nightly basis.

  • Carnival Australia

A branch of Carnival PLC, with control of P&O Australia brand, responsible for operations of Carnival Corporation ships in South Pacific and Australia regions. Company website - carnivalaustralia.com

New ships

In July 2015, Carnival Corporation signed a shipbuilding agreement with Meyer Werft for the construction of all 4 new-class vessels. Of these 4 new cruise ships, 2 liners were for Costa Cruises and the other 2 for AIDA Cruises (Germany).

new Costa cruise ship design

  • The new Costa ships were scheduled for deliveries in 2019 and 2020 (built in Turku Finland), while the AIDA ships are built in Papenburg Germany. On February 27, 2018, the Corporation signed a shipbuilding contract for a 3rd AIDA ship (scheduled delivery in 2023). This was the 98th shiporder for the cruise industry's global fleet (vessels in the orderbook 2018-2026).
  • Each vessel has gross tonnage 183,000 GT tons, over 2,600 cabins, passenger capacity 6,600, crew capacity 700.
  • The new ships for Costa and AIDA are the industry's first fully LNG-powered vessels, generating 100% of their onboard and propulsion power from LNG (Liquefied Natural Gas) - both in ports and at sea.
  • The 4-vessel contract was part of a previously announced larger shipbuilding order with Fincantieri (Italy) and Meyer Werft for all 9 new vessels with scheduled deliveries between 2019 and 2022. Managed by Costa Group, the Costa and AIDA combinjed fleet became Europe's largest. In 2014, one out of every two cruise ship tourists in Europe sailed on either AIDA or Costa ship. In 2015, Costa Group had 20 offices in 14 countries, around 27,000 shipbard employees and total passenger capacity of over 68,000 berths (across the combined fleet). Costa Group also is the leader on China's rapidly growing cruise market in Asia.

In January 2016, Carnival Corp signed a MoA (memo of agreement) with the Italian shipbuilder Fincantieri to build 4 new vessels. Contracts were finalized in April 2016. Of these, 2 vessels were for Costa Asia (homeported in China), 1 for Princess and 1 for P&O Australia.

Princess Cruises ship design (Royal, Regal)

  • With this shipbuilding order, the Corporation had a total of 17 new ships scheduled for deliveries between 2016 and 2020. The four vessel will be built at Fincantieri's shipyards in Monfalcone and Marghera, with scheduled deliveries in 2019-2020.
  • Three of the vessels are designed with gross tonnage 133,500 tons, LOA length is 323 m (1060 ft) and capacity 4000 passengers plus 1450 crew (2 are for Costa Asia, 1 for PandO AU). One ship with GT 143,700 tons and capacity 3560 passengers is for Princess. Both Costa ships are exclusively for the booming Chinese market.
  • Each vessel is powered by two MAN diesel engines (model 14V48 / 60CR) plus three MAN diesel engines (medium-speed, model 8L48 / 60CR), providing total power output 62,400 kW. The engines are Tier-II compliant.

In September 2016, Carnival Corporation signed a shiporder for the first two new vessels to be built for the Chinese market.

  • The newbuilds are constructed by a newly formed China-based shipbuilding joint venture between the country's largest shipbuilder CSSC ("China State Shipbuilding Corporation" and the Italian shipbuilder Fincantieri.
  • The agreement grants Carnival the option to order 2 additional China-built cruise ships. The first 2 newbuilds were scheduled for delivery in 2022. They are with Vista-class design, and for a new Chinese cruise line (yet to be named).
  • The joint venture ship operator company is expected to start operations with ships purchased from Carnival Corporation's existing fleet, and will be homeported in China (Hong Kong). Then will be added the China-built vessels (starting 2022).
  • The Fincantieri-CSSC shipbuilding joint venture was signed on July 4, 2017, in Shanghai (CruiseMapper news).
  • In the period 1990-2017, the Fincantieri company had built a total of 78 cruise vessels, of which 55 between 2002-2017. Of all ships, 63 were ordered by Carnival Corp. In 2017, Fincantieri had a total of 31 cruise vessels currently being built or in design phase, of which 8 were for Carnival Corp.

AIDA and Costa cruise ship robots

An innovative AIDA and Costa shipboard program implemented latest cyborg technology fleets-wide. Humanoid robots greet and guide passengers upon embarkation. They also assist them throughout the cruise by providing information and tips on dining (restaurants, bars), entertainment (lounges, scheduled events, presentations, promotions), shore excursions and tours (offered in ports of call along the cruise itinerary).

These robots (named "Pepper") are able to communicate in 3 different languages (English, German, Italian), to move fluidly and even to interpret human emotions by analyzing voice tones and face expressions.

pepper robot - CruiseMapper

Designed by the companies ALDEBARAN and SoftBank, the Pepper robot was launched in Japan (June 2014) as the world's first "emotional robot". The machine's main statistics are:

  • height 120 cm / 4 ft
  • weight 28 kg / 62 pounds
  • 3x wheels (omnidirectional)
  • 17x joints
  • 1x 3D depth sensor
  • 2x HD cameras
  • 4x microphones
  • touch sensors (in its head and hands)
  • a 10-inch (25 cm) touch screen

The new technology was first tested on the AIDAstella ship where Pepper learned to engage with passengers and crew. The first set of robots were introduced on Costa Diadema and AIDAprima in April 2016. By the end of summer 2016, Pepper robots were available on all AIDA and Costa ships.

Carnival "fathom" Cruise Line (Cuban itineraries 2016-2017)

In April 2016, Carnival Corporation launched the "fathom cruise" brand (with a lower case "f"). The new company was designed to offer an unique "social impact travel" experience and was the first cruise line dedicated to volunteer tourism (voluntourism).

Adonia cruise ship (Carnival Fathom, Cuba)

  • Fathom Cruises catered to travelers who wanted to have positive impact on people's lives, to experience personal growth while making engaging contributions to the world. Fathom gave its customers the opportunity to work directly with people to improve their lives. The brand targeted mainly first-time cruisers.
  • The 710-passenger ship Adonia (now Azamara Pursuit) was transferred from PandO UK to fathom. The vessel underwent a drydock refurbishment in March 2016, nut without structural changes. The fathom company's President was Tara Russell (Create Common Good's founder and chairman).
  • fathom's first itinerary was a 7-day voyage roundtrip from Miami. The first port of call was Amber Cove (Carnival's exclusive port in Dominican Republic). There, passengers were able to choose from a range of both onboard and ashore activities.
  • Each week, a new passenger group boarded Adonia and underwent 2 sea days of training in local volunteer activities. Then the ship arrived at Amber Cove, where passengers spent up to 3 days working with local organizations and residents. The program also included reforestation projects, as well as exploration and recreational activities. The Adonia ship offered only low-key onboard entertainment and activities - no casino, no large theater shows. Food included local specialties.
  • Dominican Republic impact activities were designed to help local economy, education and environment. Fathom cruise tourists were engaged (and participated alongside with local partners) in the following activities - "Student / Community English Conversation and Learning", "Water Filter Production" (produced and installed in community homes), "Reforestation and Nursery", "Concrete Floors in Community Homes", "Cacao and Women's Chocolate Cooperative" (helping small woman-owned business by cleaning cacao nibs, also wrapping, packaging and preparing for sale cacao products), "Recycled Paper and Crafts Entrepreneurship".
  • Cuba-themed onboard activities included Cuban food and rum tastings, live music concerts, history- and art-themed lectures, film screenings. Cuban shore excursions included Old Havana walking tour (local cafe lunch included), Havana tour visiting Tropicana and Cabaret Parisien in a classic American car. Santaigo de Cuba tour (visits several community projects),
  • Adonia's second fathom cruise itinerary was a 7-day roundtrip Miami to Cuba, where the ship visited Havana, Cienfuegos, Santiago de Cuba. Ashore activities (cruise-price inclusive) were again educational- and humanitarian themed. The daily "shore excursion" programming was 8 hours long (each day, mandatory for all passengers) and included activities like city walks, visiting Colimar (fishing village), private home-restaurant (paladares) lunches, meeting Cuban people, visiting local ruins, museums, schools.
  • Fathom cruise prices included volunteer training, all excursions, supplies (tips were not included). Fathom pricing varied by season and started from USD 1540 per person per day (Dominican Republic itinerary) and USD 2990 (Cuban itinerary). Bookings required a fully-refundable USD 300 pp deposit 90 days before departure. Deals were inclusive of select ashore activities, lunch in Santiago de Cuba and Dominican Republic impact activities. Carnival's Cuban cruise itinerary program started in May 2016. Fathom sales / bookings opened on July 7, 2015.. A portion of every fathom cruise ticket went to partner organizations to cover ashore activities (travel, supplies, local personnel).
  • In October 2015, Carnival Corporation announced fathom's cruise prices range - from USD 970 (inside cabin, low season fare) to USD 8250 (suite accommodation, peak season fare). Prices excluded Gov taxes, port fees, gratuities (USD 80 pp) and Cuban visas (USD 75 pp).
  • Fathom was the world's first cruise line to offer voyages to Cuba. Travel became possible in 2016 following the gradual relaxation of USA' trade embargo against the country. On March 21, 2016, Carnival Corporation executives met with Government officials in Havana to sign the USA to Cuba cruise ship travel agreement. On April 26, 2016, Cuba lifted the ban on Cuban-born US citizens to enter the country on ships, Fathom's maiden voyage to Cuba from Miami was on May 1, 2016.
  • On June 1, 2016, were opened fathoms' bookings for 2017. Carnival also announced all Adonia's departure dates for 2017 - to Dominican Republic (Jan. 1, Jan. 15, Jan. 29, Feb. 12, Feb. 26, March 12, March 26, April 9, April 23, May 7, May 21, June 4, June 18, July 2, July 16, July 30, Aug. 13, Aug. 27, Sept. 10, Sept. 24, Oct. 8, Oct. 22, Nov. 5, Nov. 19, Dec. 3, Dec. 17, Dec. 31) and to Cuba (Jan. 8, Jan. 22, Feb. 5, Feb. 19, March 5, March 19, April 2, April 16, April 30, May 14, May 28, June 11, June 25, July 9, July 23, Aug. 6, Aug. 20, Sept. 3, Sept. 17, Oct. 1, Oct. 15, Oct. 29, Nov. 12, Nov. 26, Dec. 10, Dec. 24).
  • In Novembr 2016, Carnival Corporation announced that all its brands' ships that visit Amber Cove (including Carnival, Holland America, Princess, AIDA, Costa, P&O UK) will offer their passengers to participate in the fathom-created voluntourism activities. However, unlike fathom (which was price-inclusive af the impact activities), for the other Carnival lines volunteer opportunities cost extra and were sold as shore excursions.
  • Also in November 2016, P&O UK announced Adonia's return to the UK in June 2017. The remainder of the above-listed scheduled for 2017 departures were cancelled. In May 2017, Adonia underwent a drydock refurbishment before re-joining the PandO fleet.

Carnival Corporation's "Ocean Medallions"

"Ocean Medallion" is a new generation wearable technology allowing passengers access to "virtual concierge" services and amenities. The new technology was implemented on all Carnival Corporation ships in the period 2017-2018.

Ocean Medallion

The medallion is a small disk-shaped device (weight 51 grams, size of an US quarter dollar) that can be sent (for free) to every customer of the company. The medallion stores all the information provided by its owner - online uploaded, as well as real-time uploaded (during the cruise or whenever). It can be weared around the wrist, around the neck or loosely. No matter where it is, the medallion is always on and working.

Carnival Corporation Ocean Medallion - CruiseMapper

  • When you do cruise booking, you establish online your basic vacation profile (likes, dislikes, onboard and ashore preferences - such as interactive gaming, gambling, culinary, recreational, entertainment, etc). Then the Carnival Corporation-owned cruise line mails you the medallion engraved with your name on it. The device is equipped with Bluetooth and NFC (near-field communication) technology.
  • One of the medallion's best features is the "Ocean Ready" option. It streamlines the vacation planning, embarkation / debarkation in each of the seaports along the cruise itinerary, as well as cruise ship and airport transfers (meet and greet), quick luggage identification and delivery straight to the stateroom. This avoids all the hassles usually encountered at cruise terminals. You simply board the ship, with the Ocean Medallion having all the needed information about you and your booking.
  • "Ocean Ready" facilitates travel logistics as such customers traveling with Ocean Medallions are immediately recognised by the Carnival Corporation meet-and-greet crew at airports, from where they are transferred to the cruise port via "OceanLand Express" buses.
  • Other services provided via the Ocean Medallion are all kinds of onboard purchases (shops, bars and specialty restaurants, Wi-Fi Internet and beverage packages, photos, beauty salon and spa treatments), making reservations (dining, spa, etc), also booking shore excursions and tours.
  • The Ocean Medallion also allows checking out onboard restaurant and bar menus, but additionally allows placing orders for delivery to any place on the ship (stateroom, open decks, casino, theater, lounges, etc).
  • Beside serving as a "cruise ticket", the medallion also doubles as cabin key (keycard) as it opens cabin doors.
  • Ocean Medallions have no on/off buttons or navigation menus, and don't require charging. The medallion additionally gives access to the Ocean Compass ("virtual concierge") via mobile electronic devices (phone, tablet, laptop). Ocean Compass is also accessible through the in-cabin infotainment system (interactive TV), via onboard and cruise terminal located digital kiosks, and via the interactive LED screens throughout the ship.
  • Ocean Medallions are part of a local (shipboard) system, thus no extra fees are charged for using these devices.
  • For implementing this wireless technology, all Carnival Corporation ships are scheduled to undergo revamping for installing the required network of sensors and computing devices. The company's Bahamian private island cruise ports (Princess Cays, and Half Moon Cay) are also wired to serve the medallions, plus some of the largest US cruise port terminals and airports.
  • The first cruise ship serving the Ocean Medallions will be Regal Princess (November 2017).

The new technology serves Carnival Corporation cruise passengers on vessels operated by the subsidiary companies AIDA, Carnival, Costa, Cunard, Holland America, Princess, P&O (UK and Australia fleets) and Seabourn. Next YouTube video is a 3D animation of this innovative new gadget.

MedallionNet

In October 2017, Carnival Corporation launched the "MedallionNet" - high-performance connectivity service provided by SES Networks. SES company provides high-performance communications powered by its own MEO (medium-earth orbit) and GEO (geostationary earth orbit) satellites, an extensive on-ground infrastructure and shipboard technology (software and hardware). The cruise ship technology is associated with the developed for Carnival Corporation "OCEAN Experience" platform.

MedallionNet offers cruise ship passengers easy-to-access WI-FI service marked by exceptional speed, unprecedented consistency and pervasive stateroom signal strength.

In February 2018, Carnival Corporation partnered with SES Networks to provide industry's biggest bandwidth to a mobile shipboard platform. The new technology broke all previous myths about connectivity limitations at sea. The fastest cruise ship internet remained affordable (priced at USD 10 per day).

The technology combines the SES Networks satellites with the MedallionNet and provides bandwidth of minimum 1,5 gigabits per second to the vessel. The tests were done on February 26, 2018, while the Regal Princess ship was docked at the private island Princess Cays Bahamas. During the tests was reached Internet speed of 2,6 gigabits per second.

Fleet Operations Center (Miami)

On May 10, 2018, in Miami was officially opened Carnival's "Fleet Operations Center". The 35,000 ft2 facility allows simultaneous real-time monitoring of all ships in the fleet. Main feature is its 74 ft (22,5 m) long video wall composed of 57x LED screens. The data processed here includes itinerary information, current position, weather conditions, logistics, environmental status, guest operations. The interactive world map shows also current locations of all Carnival Corporation ships (all brands). The center is staffed 24 / 7. The Corporation also owns similar monitoring centers in Seattle and Hamburg.

At the following tag link can be found listed all CruiseMapper's news related to Carnival Corporation.

Triumph ship fire and Carnival Corporation in 2013

Next table shows company's 2013 Q2 numbers compared to 2012 Q2 and following the Triumph ship fire (February 10, 2013).

  • Earnings were driven mainly by fuel savings (6% less fuel consumption), lower ticket pricing and higher costs (ship upgrades, administrative costs).
  • 2013 Q3-Q4, and 2015 Q1 reported bookings were up (year-over-year basis) at higher prices, excluding lower bookings at lower prices.
  • By 2013's end, Carnival achieved 23% reduction in fuel consumption since 2005 - when the fuel-saving initiative was started.
Financial metrics20132012
Q2 revenues (expected non-GAAP diluted earnings per share, full-year)$3,5 bill ($1,45 - $1,65)$3,5 bill ($1,88)
non-GAAP net income [diluted EPS]$72 mill [$0,09]$159 mill [0,20]
US GAAP net income [diluted EPS] (unrealized losses on fuel derivatives)$41 mill [$0,05] ($31 mill)$14 mill [$0,02] ($145 mill)
gross ticket revenue (per passenger day)$140,58$146,60
onboard spend$45,14$46,25
net ticket prices$113,36$118,16
net revenue yields (per available lower berth day, "ALBD")-1,9%-
gross revenue yields-3,1%-
net cruise costs (excl fuel per ALBD)+8,8% (mainly due to scheduled refurbishments/repairs costs)-
gross cruise costs (incl fuel per ALBD)-0,1%-
fuel prices ($ per metric ton)-9,7% ($683)($756)
fuel consumption (per ALBD)-5,7%-

Carnival Cruise Lines "bad media" news coverage in 2013

An intelligently-smart person would say "bad media produce nothing but ignorant and stupid people". A street-smart person would say "bad media produce cattle infused with negativity". It is logical to conclude that "bad media produce bad people". Unfortunately, bad media also produces best ratings.

The most common "bad media" reference to Carnival in 2013 was"the cruise line of problems". Most large media companies reported "myriads of passengers" stranded, worried, unhappy, suffering miserable and disgusting conditions. These "truths" were spurred by both online and print media groups in February and March 2013.

It all started with Triumph ship's engine room fire. Then followed the "embarrassing" mechanical problems with the fleetmates Dream and Legend. Carnival was once again described as "bad ships experience". At the following media analysis you can see how carnival was "media treated" in those days - day by day. Note: All these numbers are with approx values.

Media "war days" datesNumber of articles publishedNumber of audience reached"Negativity-positivity" over time
Feb 10 (Triumph fire)20030 million0
Feb 11450300 million-2
Feb 13650, to reach ~1400 at day's end750 million-5
Feb 151800850 million-4,7
Feb 17150200 mill-5
Feb 19200, to reach ~400 at day's end100 mill-3,8
Feb 2110050 mill-3,5
  1. Feb 23
  2. Feb 25
  3. Feb 27
  4. March 1
  5. March 3
  6. March 5
  7. March 7
  8. March 9
less than 30 a dayless than 10 million a day
  1. -2,5
  2. -1,5
  3. 0
  4. -4
  5. 0
  6. +5
  7. +3
  8. 0
March 113030 mill-1,5
March 13 - Legend (Azipods)200300 million+1,8
March 14 - Dream (St Maarten, back-up generator)450300 mill-5
March 15400400 million-3
March 17less than 5050 mill.--5,5.

At Carnival's former forum website Funville, one guy (Linq) commented on the Grandeur of the Seas fire incident (May 27, 2013) and how he was not surprised at all that US media would care less about this apparently "not so bad as Carnival" incident. Linq wrote there, quote "Media outlets have their own agenda and it's playing out in today's political realm. I wonder if Carnival made any donations to a specific political party", end of quote.

"Bad Carnival cruise" news - let the "bad guys" and money talk

Have you noticed how the populous when charged with negativity goes to the extreme minus? And how when left to their senses to reconsider what is what and why, people change their minds rather quickly in the plus direction?

While the above numbers were only news-pick values, the numbers that follow are based on page views / comments counters. See also the Top 10 in the anti-Carnival online news alliance. In [brackets] are shown the media they worked for, and the number of articles they've produced in the anti-Carnival compaign.

Take notice of the fact, that 7 of the top 10 "journalists" covering Carnival news were from US or international companies with significant reach (AP, Reuters), and that 7 of the top 10 companies also have huge US and international reach (CNN, Yahoo, MSN).

  • Total "bad Carnival news" audience reach of coverage was 3,9 billion readers.
  • Total advertising value of the "bad Carnival" campaign alone was USD 13,5 million.
  • Top 10 anti-Carnival journalists were: Ramit Masti [AP, 159], Jay Reeves [AP, 136], Kaija Wilkinson [Reuters, 128], Brendan Farrington [AP, 36], Curt Anderson [AP, 35], Molly Fiske [LA Times, 35], Bill Chappell [NPR, 34], Tom Stieghorst [TravelWeekly, 23], Juan Lozano [AP, 22], Ginger Otis [NY Daily, 20].
  • Top 10 anti-Carnival online media sources were: CruiseAddicts [125], CNN [102], NY Daily [54], Examiner [52], YahooNews [46], MSN News [46], Chicago Tribune [44], ABC News [42], Orlando Sentinel [42], Reuters [42].
  • They all manipulated their markets since day one.

"Bad Carnival" news means "bad cruise industry" (the impact)

Many US cable news networks took the "bad Carnival" story and turned it into the USA's most important news of all times. CNN in particular went to ridiculously absurd excess covering this accident.

  • Carnival Cruise Lines (CCL) shares price declined 9,8% compared to 2012's end. Major cruise lines stock prices changed because of the accident (March 14 data) - CCL [-1,43%], Royal Caribbean [+1,28%], NCLH [-0,97%]. Stock exchange analysts continued to rate CCL stock as strong buy.
  • Many cruise travel agents reinforced their hard feelings toward CCL, some praised company's reactions for handling the situation. Many expressed confidence that 2013's strong booking rates would not be affected.
  • Many blamed Carnival Corporation for bad management, bad PR, poor ship maintenance and stingy fleet-renovation budget.
  • Cruise bookings in North America, and cruise prices 2013 werre much higher than in 2012. Still, there were record levels of cancellations and low bookings from first-timers.
  • No one mentioned that around 120 million people have cruised in 2003-2013 - incidents free.
  • Ship cruise industry became fodder for late night TV comedians. While in general travelers are tolerant of problems on cruise vessels, obviously too many people took this to heart, cancelling their cruise deals and booking land-based vacations instead.

When they tarnished the name of the world's largest cruise company, they tarnished the world's cruise shipping industry.

"Bad Carnival" news cost - the money facts

  • The industry in 2011 contributed over USD 40 billion to the US economy.
  • Around 17,6 million people in North America alone cruised in 2013.
  • Pricing data showed Carnival prices in Spring 2013 dropped 20+% for equivalent deals. Observers blamed the hot headlines over Carnival ships problems. As an example, 7-day Carnival Dream Eastern Caribbean deals from Port Canaveral (May 4, 2013) were traded USD 300 pp. In 2012, similar deals were priced USD 400+.
  • According to official Priceline data, CCL price dropping for April-June 2013 was: -20% (Alaska), -18% (Bermuda), -21% (Mediterranean), Carnival Glory Canada deals for July 2013, for example, were -40% (USD 480 pp) compared to December 2012 (USD 800 pp).

"Good Carnival" news - about Carnival Corporation's unsinkable business model

Despite all ship incidents, CCL stock stayed afloat! It opened down 4,7% on the cancelled ships news, but bounced over 50% back after the Corporation's 2013 Q1 earnings report.

  • One of the main reasons why CCL recovered so easily is that travelers are easily thrilled by "great deal" promotions. Carnival started to promote its business with huge discounts (up to 30%) with "Early Saver" deals. Booking volumes recovered only 3 weeks after Triumph's accident.
  • Another key factor for the success was that the business is incorporated in Panama. Carnival ships are flagged Panama and Bahamas (flag-states), which is beneficial to the business of all the world's largest cruise companies (like Carnival, Royal Caribbean, Disney, etc). It essentially allows the cruise travel business to generate substantial corporate earnings by exempting from US federal (and other countries) income taxes. Which is always good for shareholders.
  • Carnival Corp makes huge profits for its stockholders via aggressive marketing - low prices, huge discounts, squeezing its suppliers.
  • Carnival Cruise Lines was and remained a great value and most affordable product, highly popular with its short-break Caribbean vacations and with over 90,000 employees constantly delivering "Fun Ship" vacation experience to 10+ million travelers annually.
  • CCL still dominates the market ofr "big-cheap" ship cruises.