Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Carnival Cruise boss banks on safety measures

Carnival Cruise boss banks on safety measures

The boss of the world's biggest cruise company has told the BBC new safety measures can help the $150bn (£113bn) a year industry to get going again.

The hugely profitable business has been brought to its knees by coronavirus after regulators around the world stopped ships from sailing to try and limit outbreaks.

Arnold Donald, the chief executive of Carnival Corporation, said "universal testing, which doesn't exist in any other industry of scale" will help mitigate the risk of an outbreak.

He added that "additional medical screenings, physical distancing, mask wearing" could be among further measures.

However, there have been outbreaks of coronavirus on some of the few cruises that have set sail recently, including the Carnival-owned Costa Diadema which has been sailing in the Mediterranean Sea.

Mr Donald concedes that "you cannot guarantee that you're going to be Covid-free no matter what regimen you put in place".

Although, he insists, "it can be managed and managed effectively" and that collaborating with authorities around the world means that has been done "reasonably effectively" so far.


A number of cruise ships were scrapped this year


The company has drafted in a raft of health and scientific advisers to draw up its protocols.

Mr Donald says "our priority, of course, is to make cruising work in a way where we have every confidence there's no greater risk than if you were engaging in similar activity shore-side".

The difficulties of achieving that were laid out by the US Centre for Disease Control (CDC), which in lifting its ban on cruise ships, said that without mitigations "cruise ships would continue to pose a greater risk of Covid-19 transmission than other settings".

Two outbreaks on cruise ships early in the pandemic have been detrimental to the cruise industry, with passengers dying after outbreaks on both the Diamond Princess, which was quarantined by Japan, and the Grand Princess, which eventually docked in California.

'Cautiously optimistic'


Traditionally, cruising has a loyal customer base and that has given Mr Arnold grounds for optimism.

He says for the second half of next year "bookings have been robust. People really want to cruise when it's safe to do so". He adds "we're cautiously optimistic we'll be sailing in early 2021", albeit a few ships at a time.

The financial imperative to get going again is clear.

Despite scrapping 18 of its 105 ships, Carnival is losing about $650m a month. After raising more than $12bn from investors, Mr Arnold says, "even if we had zero revenue, we could go through in to the summer of next year".



Other than that the money has pretty much stopped coming in.

The summer is normally the busiest time of the year but from July to August Carnival brought in just $31m. None of that was from ticket sales, and it compares to $6.5bn in the same time last year, 68% of which was from tickets.

The lack of paying passengers reflects the huge uncertainty hanging over an industry that thrives on thousands of passengers at a time, travelling in relatively close confines, two things that have been severely restricted to try and control coronavirus.

According to Monique Giese, who tracks the shipping industry for the consultancy KPMG, the cruise industry is very much at the mercy of the virus.

Back to work?


She says "it is very difficult to give any forecast for the next year. The cruise industry is going to lose the very profitable winter season specifically in the Caribbean area."

Test runs are amongst the strict conditions that have been laid out by the CDC before cruises can resume in the US.

It's the most important market for the industry, accounting for nearly 50% of the 30m passengers who take a cruise each year.

The industry has voluntarily stopped sailings in the US until the end of year. However Congress is investigating whether or not the Trump White House interfered to stop the CDC extending the mandatory ban into next year.

President-elect Joe Biden has taken a markedly different approach to tackling coronavirus but Mr Donald says "we don't have any concerns" that a new administration will lead to a new no-sail order and more financial problems.

Before the pandemic, the Cruise Line Industry Association calculated that its members supported 1.2m jobs worldwide, and when the US no-sail order was lifted its President Kelly Craighead said she was "confident that a resumption of cruising in the US is possible to support the economic recovery" whilst protecting public health.

However, ships are being scrapped by several lines, meaning that jobs will be lost. For those that remain, Mr Arnold says "it's important to get people back to work".

You can watch Arnold Donald's full interview on Talking Business with Aaron Heslehurst this weekend on BBC World News at Saturday 2330 GMT, Sunday 1630 GMT, Monday 0730 GMT and 1130 GMT and Tuesday at 1330 GMT.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Trump Called Viktor Orbán: "Why Are You Using the Veto"
Horror in the Skies: Plane Engine Exploded, Passengers Sent Farewell Messages
AI in Policing: Draft One Helps Speed Up Reports but Raises Legal and Ethical Concerns
Shame in Norway: Crown Princess’s Son Accused of Four Rapes
Apple Begins Simultaneous iPhone 17 Production in India and China
A Robot to Give Birth: The Chinese Announcement That Shakes the World
Finnish MP Dies by Suicide in Parliament Building
Outrage in the Tennis World After Jannik Sinner’s Withdrawal Storm
Class Action Lawsuit Against Volkswagen: Steering Wheel Switches Cause Accidents
UK Government Tries to Sue 4chan for Breaching Online Safety Act
Dogfights in the Skies: Airbus on Track to Overtake Boeing and Claim Aviation Supremacy
Tim Cook Promises an AI Revolution at Apple: "One of the Most Significant Technologies of Our Generation"
Are AI Data Centres the Infrastructure of the Future or the Next Crisis?
Miles Worth Billions: How Airlines Generate Huge Profits
Cambridge Dictionary Adds 'Skibidi,' 'Delulu,' and 'Tradwife' Amid Surge of Online Slang
Zelenskyy Returns to White House Flanked by European Allies as Trump Pressures Land-Swap Deal with Putin
The CEO Who Replaced 80% of Employees for the AI Revolution: "I Would Do It Again"
"Every Centimeter of Your Body Is a Masterpiece": The Shocking Meta Document Revealed
Character.ai Bets on Future of AI Companionship
China Ramps Up Tax Crackdown on Overseas Investments
Japanese Office Furniture Maker Expands into Bomb Shelter Market
Intel Shares Surge on Possible U.S. Government Investment
Hurricane Erin Threatens U.S. East Coast with Dangerous Surf
EU Blocks Trade Statement Over Digital Rule Dispute
EU Sends Record Aid as Spain Battles Wildfires
Beijing is moving into gold and other assets, diversifying away from the dollar
China Requires Data Centres to Source Majority of AI Chips Locally, For Technological Sovereignty
Escalating Clashes in Serbia as Anti-Government Protests Spread Nationwide
Category 5 Hurricane in the Caribbean: 'Catastrophic Storm' with Winds of 255 km/h
Trump Backs Putin’s Land-for-Peace Proposal Amid Kyiv’s Rejection
Digital Humans Move Beyond Sci-Fi: From Virtual DJs to AI Customer Agents
YouTube will start using AI to guess your age. If it’s wrong, you’ll have to prove it
Jellyfish Swarm Triggers Shutdown at Gravelines Nuclear Power Station in Northern France
OpenAI’s ‘PhD-Level’ ChatGPT 5 Stumbles, Struggles to Even Label a Map
Zelenskyy to Visit Washington after Trump–Putin Summit Yields No Agreement
High-Stakes Trump-Putin Summit on Ukraine Underway in Alaska
The World Economic Forum has cleared Klaus Schwab of “material wrongdoing” after a law firm conducted a review into potential misconduct of the institution’s founder
A Computer That Listens, Sees, and Acts: What to Expect from Windows 12
Bitcoin hits $123,000
Southwest Airlines Apologizes After 'Accidentally Forgetting' Two Blind Passengers at New Orleans Airport and Faces Criticism Over Poor Service for Passengers with Disabilities
United States Sells Luxury Yacht Amadea, Valued at Approximately $325 Million, in First Sale of a Seized Russian Yacht Since the Invasion of Ukraine
Russian Forces Advance on Donetsk Front, Cutting Key Supply Routes Near Pokrovsk
It’s Not the Algorithm: New Study Claims Social Networks Are Fundamentally Broken
Sixty-Year-Old Claims: “My Biological Age Is Twenty-One.” Want the Same? Remember the Name Spermidine
Saudi Arabia accelerates renewables to curb domestic oil use
The Billion-Dollar Inheritance and the Death on the Railway Tracks: The Scandal Shaking Europe
World’s Cleanest Countries 2025 Ranked by Air, Water, Waste, and Hygiene Standards
Denmark Revives EU ‘Chat Control’ Proposal for Encrypted Message Scanning
Perplexity makes unsolicited $34.5 billion all-cash offer for Google’s Chrome browser
Cristiano Ronaldo and Georgina Rodríguez announce engagement
×