News

UPDATE: Bob Dickinson returns to Carnival

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Top Headlines Top Headlines; Published: 10 June 2013 10 June 2013

Carnival Corporation is expected to make a major announcement today that former Carnival Cruise Lines' President and CEO is going to re-join the company for an advisory role specialized in sales and marketing. Stay tuned as we will post more information when available.

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Bob Dickinson at first will focus on strategies in North America for marketing and distribution across the company’s brands. In addition to Carnival Cruise Lines and several brands that operate in Europe, the portfolio includes Princess Cruises, Holland America Line and Seabourn Cruise Line, the Miami Herald reports.

Dickinson, who will report to Carnival Corp. & plc Vice Chairman and Chief Operating Officer Howard Frank, served on the corporate board from 1987 until this April.

The group’s Carnival Cruise Lines US focused mass market business was hit by bad publicity in the winter after Carnival Triumph lost power on a Caribbean cruise that forced the ship to be towed to port, while those on board had e.g. no working toilets or air conditioning. Carnival Corp & plc issued a profit warning after the incident that sent, initially, its share price sharply lower.

The company’s woes, while hitting Carnival the hardest, appear to be affecting the public’s perception of the entire industry. An online Harris Poll conducted in May showed that perceived quality, trust and purchase intent had declined compared to a post-Triumph poll.

Compared to results of a survey taken between 19 and 21 February perceived quality across seven brands has dropped 6%, while trust declined 5% and purchase intent is down 5%.

The poll showed that perceived quality of Carnival dropped 12% from the February survey, trust dropped 11% and purchase intent declined 8%, the report said.

UPDATE: Cunard Line and P&O Cruises' managing directors to leave - report

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 04 June 2013 04 June 2013

The report has now been confirmed by the Carnival group.

Managing directors of P&O Cruises and Cunard Line are to leave at the beginning of September and a new organisation structure will take effect after that, Travel weekly reports in a newsflash emailed to Cruise Business in the UK.

P&O Cruises' Carol Marlow and Cunard Line's Peter Shanks would not be replaced. Instead, each of the Carnival UK brands would have a marketing director, but a new insight director would be appointed to oversee both brands. The new directors would report to Gerard Tempest who was appointed as chief commercial officer recently. David Dingle, chief executive officer of Carnival UK, would assume the same role in P&O Cruises and Cunard Line as well, the report said.

Cruise Business Online has not been able to obtain a comment from Carnival UK as yet.

Headquarters of both Cunard Line and P&O Cruises are in Carnival House in Southampton, England.

Tallink raises NOK900 million in private placement of five year notes

Details: Written by Kari Reinikainen Kari Reinikainen; Category: Top Headlines Top Headlines; Published: 04 June 2013 04 June 2013

Tallink Grupp, the Estonian cruise ferry company, has completed a private placement of a NOK 900 million (€118 million) of senior unsecured notes. The maturity date of the notes is 18 October 2018 and they they carry a floating rate coupon of three month NIBOR (Norwegian Inter-Bank Offered Rate) +5%

Settlement date of the offering is estimated to be on 18th of June 2013. The proceeds of the issue will be used for the refinancing and strengthening of AS Tallink Grupp financial position.The accompanying currency risk will be hedged with a cross currency swap, the company said in a statement.

The company will seek listing of the notes on the Oslo Stock Exchange. Oslo is a major market for debt and equity issues by shipping and offshore companies, with both domestic and international investors on the market. DFDS, the Copenhagen based ferry company, has issued dent on the Oslo market in the recent past.