EX-99.1 2 exh991q3pr.htm

Exhibit 99.1

News From

Royal Caribbean Cruises Ltd.

Corporate Communications Office

1050 Caribbean Way, Miami, Florida 33132-2096

 

Contact:

Ian Bailey

(305) 982-2625

 

For Immediate Release

 

ROYAL CARIBBEAN REPORTS THIRD QUARTER RESULTS

 

MIAMI – November 3, 2009 – Royal Caribbean Cruises Ltd. (NYSE, OSE: RCL) today announced earnings for the third quarter of 2009 and provided guidance for the fourth quarter and full year.

 

Key Highlights

 

•

Third quarter 2009 net income was $230.4 million, or $1.07 per share, compared to net income of $411.9 million, or $1.92 per share in 2008. The results were better than the company’s most recent guidance of $0.95 to $1.00 per share, driven primarily by the strength of close-in bookings.

 

•

Net Yields for the third quarter decreased 16.5% versus 2008, somewhat better than the company’s previous guidance of down approximately 18%.

 

•

Net Cruise Costs per APCD (“NCC”) for the third quarter decreased 10.0% versus 2008. NCC, excluding bunker for the third quarter declined 3.8% versus 2008.

 

•

The company projects net yields to decline 7% to 8% in the fourth quarter and approximately 14% for the full year.

 

•

Earnings per share (“EPS”) estimates for the full year are expected to be approximately $0.70 and are expected to be a slight loss in the fourth quarter.

 

•

The company took delivery of the widely anticipated Oasis of the Seas on October 28th.

 

“Like many other travel companies, we saw more strength than we expected during our peak season but have been experiencing more pricing pressure on some of our traditionally softer fall season sailings,” said Richard D. Fain, chairman and chief executive officer. Fain continued, “Overall though, the business environment is largely unchanged and stable. We

 

expect the yield deficit to continue to improve in the fourth quarter and we remain optimistic that 2010 will bring year-over-year yield improvement.”

 

Third Quarter 2009 Results

Royal Caribbean Cruises Ltd. today announced net income for the third quarter 2009 of $230.4 million, or $1.07 per share, compared to net income of $411.9 million, or $1.92 per share, in 2008.

 

Revenues were $1.8 billion, versus $2.1 billion in the third quarter of 2008. Net Yields decreased 16.5% from the prior year or 14.5% after adjusting for year over year changes in currency. Net yields improved approximately one and a half percentage points from the company’s previous guidance, mainly as a result of the strength of close-in bookings. As was announced during the second quarter, the H1N1 virus had a negative impact on yields of approximately two percentage points during the third quarter.

 

NCC decreased 10.0% from the prior year or 8.8% after adjusting for changes in currency. NCC, excluding fuel, declined 3.8% from the prior year or 2.2% after adjusting for changes in currency.

 

Fuel costs were in-line with the company’s previous calculations. Third quarter pricing averaged $460 per metric ton and consumption was 318.2 thousand metric tons.

 

Revenue Environment

The company reported that booking volume since mid-September was up about 40% compared to same period last year, with favorable comparison for cruises departing both in the fourth quarter and next year. "While the pricing environment is still not what we'd like it to be, we're pleased to see solid growth in our order book and a rapidly diminishing gap in year-over-year booked volume comparisons," said Brian J. Rice, executive vice president and chief financial officer.

 

The company expects fourth quarter Net Yields to decline approximately 7% to 8%, slightly worse than its previous forecast of down mid-single digits. “During the fourth quarter, we historically source a disproportionate number of our guests from Florida,” said Rice. “As a

 

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consequence of the weaker economy in the state, we do not anticipate the same strength of close-in bookings in the fourth quarter as we saw in the third quarter.”

 

The company noted that its new ships, Royal Caribbean's Oasis-class and Celebrity's Solstice-class vessels, continue to command significant premiums and volumes. Oasis of the Seas will enter service on December 1, 2009; Celebrity Solstice and Celebrity Equinox are already in service, with Celebrity Eclipse debuting in April of 2010.

 

For the full year the company maintained its projection for Net Yields to decline approximately 14%, or 12% to 13% after adjusting for changes in currency.

 

The company affirmed its earlier outlook for year-over-year improvements in net revenue yields in the first quarter and for the full year of 2010.

 

Expense Guidance

NCC are forecasted to decrease approximately 10% for the fourth quarter and the full year. After adjusting for changes in currency, NCC are forecasted to decline approximately 12% in the fourth quarter and 8% to 9% for the full year.

 

Excluding fuel, NCC are expected to decline 7% to 8% for the fourth quarter and approximately 6% to 7% for the full year.

 

While it is early in the annual planning process, the company did comment that it anticipates flat NCC, excluding fuel, for full year 2010. Efficiencies on the new hardware, sustainable cost reductions completed in 2008 and 2009 and having attained initial critical mass in its international operations are all factors that will support this goal.

 

Fuel Expense

The company does not forecast fuel price changes and its cost calculations are based on current at-the-pump prices net of hedging impacts. Based on today’s fuel prices the company has included $158 million and $596 million of fuel expense in its fourth quarter and full year 2009 guidance, respectively.

 

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The company’s fuel consumption is currently 40% hedged for the fourth quarter. In keeping with its previously disclosed hedging strategy, forecasted consumption is now 50% hedged in 2010, 50% hedged in 2011 and 10% hedged in 2012.

 

 

Fourth Quarter 2009

Fuel Consumption

323,000 mt

Fuel Expenses

$158 Million

Percent Hedged (forward consumption)

40%

Impact of 10% change in fuel prices

$9 Million

 

Forward Guidance Summary

The company provided the following estimates for the fourth quarter and full year 2009. Except for earnings per share, all estimates are as compared to the fourth quarter and full year 2008, respectively.

 

 

Fourth Quarter 2009

Full Year 2009

EPS

Approx. ($0.05)

Approx. $0.70

Capacity

7.5%

5.1%

Net Yields

(7%) – (8%)

Approx. (14%)

Net Cruise Costs per APCD

Approx. (10%)

Approx. (10%)

Net Cruise Costs per APCD,

excluding Fuel

(7%) – (8%)

(6%) – (7%)

Depreciation and Amortization

Approx. $150 Million

$565 to $570 Million

Interest Expense

Approx. $80 Million

Approx. $305 Million

 

Liquidity and Financing Arrangements

As of September 30, 2009, liquidity was $1.1 billion, including cash and the undrawn portion of the company’s unsecured revolving credit facility.

 

Capital Expenditures and Capacity Guidance

Based on current ship orders, projected capital expenditures for 2009, 2010, 2011 and 2012, estimates are unchanged at $2.1 billion, $2.2 billion, $1.0 billion, and $1.0 billion, respectively.

 

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Capacity increases for the same four years are 5.1%, 11.6%, 8.8% and 2.7%, respectively.

 

The company took delivery of the Royal Caribbean International’s Oasis of the Seas on October 28th. The vessel was funded with a 12-year amortizing unsecured facility that matures in 2021. Oasis of the Seas’ launch continues to be one of the most widely anticipated and reported vessel deliveries of all time and the company expects an acceleration of media coverage and buzz when the vessel arrives in Florida on November 11th.

 

Conference Call Scheduled  

The company has scheduled a conference call at 10 a.m. Eastern Daylight Time today to discuss its earnings. This call can be heard, either live or on a delayed basis, on the company’s investor relations web site at www.rclinvestor.com.

 

Terminology

 

Available Passenger Cruise Days (“APCD”)

APCDs are our measurement of capacity and represent double occupancy per cabin multiplied by the number of cruise days for the period.

 

Gross Cruise Costs

Gross Cruise Costs represent the sum of total cruise operating expenses plus marketing, selling and administrative expenses.

 

Gross Yields  

Gross Yields represent total revenues per APCD.

 

Net Cruise Costs  

Net Cruise Costs represent Gross Cruise Costs excluding commissions, transportation and other expenses and onboard and other expenses. In measuring our ability to control costs in a manner that positively impacts net income, we believe changes in Net Cruise Costs to be the most relevant indicator of our performance. We have not provided a quantitative reconciliation of projected Gross Cruise Costs to projected Net Cruise Costs due to the

 

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significant uncertainty in projecting the costs deducted to arrive at this measure. Accordingly, we do not believe that reconciling information for such projected figures would be meaningful.

 

Net Debt-to-Capital

Net Debt-to-Capital is a ratio which represents total long-term debt, including current portion of long-term debt, less cash and cash equivalents (“Net Debt”) divided by the sum of Net Debt and total shareholders' equity. We believe Net Debt and Net Debt-to-Capital, along with total long-term debt and shareholders' equity are useful measures of our capital structure.

 

Net Revenues

Net Revenues represent total revenues less commissions, transportation and other expenses and onboard and other expenses.

 

Net Yields  

Net Yields represent Net Revenues per APCD. We utilize Net Revenues and Net Yields to manage our business on a day-to-day basis as we believe that it is the most relevant measure of our pricing performance because it reflects the cruise revenues earned by us net of our most significant variable costs, which are commissions, transportation and other expenses and onboard and other expenses. We have not provided a quantitative reconciliation of projected Gross Yields to projected Net Yields due to the significant uncertainty in projecting the costs deducted to arrive at this measure. Accordingly, we do not believe that reconciling information for such projected figures would be meaningful.

 

Occupancy

Occupancy, in accordance with cruise vacation industry practice, is calculated by dividing Passenger Cruise Days by APCD. A percentage in excess of 100% indicates that three or more passengers occupied some cabins.

 

Passenger Cruise Days

Passenger Cruise Days represent the number of passengers carried for the period multiplied by the number of days of their respective cruises.

 

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Royal Caribbean Cruises Ltd. is a global cruise vacation company that operates Royal Caribbean International, Celebrity Cruises, Pullmantur, Azamara Cruises and CDF Croisières de France. The company has a combined total of 39 ships in service and four under construction. It also offers unique land-tour vacations in Alaska, Asia, Australia, Canada, Europe, Latin America and New Zealand. Additional information can be found on www.royalcaribbean.com, www.celebrity.com, www.pullmantur.es, www.azamaracruises.com or www.rclinvestor.com.

 

Certain statements in this release constitute forward-looking statements under the Private Securities Litigation Reform Act of 1995. Words such as “anticipate”, “believe”, “could”, “estimate”, “expect”, “goal”, “intend”, “may”, “plan”, “project”, “seek”, “should”, “will”, and similar expressions are intended to identify these forward-looking statements. Forward-looking statements do not guarantee future performance and may involve risks, uncertainties and other factors, which could cause our actual results, performance or achievements to differ materially from the future results, performance or achievements expressed or implied in those forward-looking statements. Examples of these risks, uncertainties and other factors include, but are not limited to the following: the adverse impact of the worldwide economic downturn on the demand for cruises, the impact of the economic downturn on the availability of our credit facility and our ability to generate cash flows from operations or obtain new borrowings from the credit or capital markets in amounts sufficient to satisfy our capital expenditures, debt repayments and other financing needs, the impact of disruptions in the global financial markets on the ability of our counterparties and others to perform their obligations to us, the uncertainties of conducting business internationally and expanding into new markets, the volatility in fuel prices and foreign exchange rates, the impact of changes in operating and financing costs, including changes in foreign currency, interest rates, fuel, food, payroll, airfare for our shipboard personnel, insurance and security costs, impact of problems encountered at shipyards and their subcontractors including insolvency or financial difficulties, vacation industry competition and changes in industry capacity and overcapacity, the impact of compliance with or changes in tax, environmental, health, safety and other laws and regulations affecting our business or our principal shareholders, the impact of pending or threatened litigation, enforcement actions, fines or penalties, the impact of delayed or cancelled ship orders, the impact of emergency ship repairs, including the related lost revenue, the impact on prices of new ships due to shortages in available shipyard facilities, component parts and shipyard consolidations, negative incidents involving cruise ships including those involving the health and safety of passengers, reduced consumer demand for cruises as a result of any number of reasons, including geo-political and economic uncertainties and the unavailability or cost of air service, the international political climate, fears of terrorist and pirate attacks, armed conflict and the resulting concerns over safety and security aspects of traveling, the impact of the spread of contagious diseases, the impact of changes or disruptions to external distribution channels for our guest bookings, the loss of key personnel or our inability to retain or recruit qualified personnel, changes in our stock price or principal shareholders, uncertainties of a foreign legal system as we are not incorporated in the United States, the unavailability of ports of call, weather, and other factors described in further detail in Royal Caribbean Cruises Ltd.’s filings with the Securities and Exchange Commission. The above examples are not exhaustive and new risks emerge from time to time. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In addition, certain financial measures in this release constitute non-GAAP financial measures as defined by Regulation G. A reconciliation of these items can be found on our investor relations website at www.rclinvestor.com.

 

Financial Tables Follow

(####)

 

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ROYAL CARIBBEAN CRUISES LTD.

CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited, in thousands, except per share data)

 

 

 

 

 

 

 

Quarter Ended

 

Nine Months Ended

 

 

 

 

 

 

 

 

September 30,

 

September 30,

 

 

 

 

 

 

 

 

2009

 

2008

 

2009

 

2008

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Passenger ticket revenues

 

 

$

1,270,610

 

$

1,498,221

 

$

3,176,473

 

$

3,676,201

 

Onboard and other revenues

 

 

 

492,932

 

 

565,168

 

 

1,261,686

 

 

1,400,047

 

 

Total revenues

 

 

 

1,763,542

 

 

2,063,389

 

 

4,438,159

 

 

5,076,248

 

Cruise operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions, transportation and other

 

303,969

 

 

375,638

 

 

772,350

 

 

918,313

 

 

Onboard and other

 

 

 

152,579

 

 

168,145

 

 

348,336

 

 

363,980

 

 

Payroll and related

 

 

 

171,164

 

 

170,269

 

 

505,376

 

 

487,851

 

 

Food

 

 

 

 

 

88,394

 

 

90,432

 

 

254,710

 

 

255,530

 

 

Fuel

 

 

 

 

 

146,254

 

 

207,274

 

 

437,617

 

 

539,807

 

 

Other operating

 

 

 

253,726

 

 

263,903

 

 

715,468

 

 

763,365

 

 

Total cruise operating expenses

 

1,116,086

 

 

1,275,661

 

 

3,033,857

 

 

3,328,846

 

Marketing, selling and administrative expenses

196,594

 

 

191,115

 

 

576,344

 

 

592,604

 

Depreciation and amortization expenses

 

 

144,021

 

 

134,706

 

 

421,802

 

 

386,373

 

Operating Income

 

 

 

306,841

 

 

461,907

 

 

406,156

 

 

768,425

 

 

Other income (expense):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

 

2,225

 

 

5,620

 

 

5,114

 

 

11,143

 

 

Interest expense, net of interest capitalized

 

(73,912)

 

 

(80,560)

 

 

(221,701)

 

 

(239,594)

 

 

Other (expense) income

 

 

 

(4,762)

 

 

24,920

 

 

(30,501)

 

 

32,269

 

 

 

 

 

 

 

 

 

(76,449)

 

 

(50,020)

 

 

(247,088)

 

 

(196,182)

 

Net Income

 

 

 

 

$

230,392

 

$

411,887

 

$

159,068

 

$

572,243

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings Per Share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

$

1.08

 

$

1.93

 

$

0.74

 

$

2.68

 

Diluted

$

1.07

 

$

1.92

 

$

0.74

 

$

2.67

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-Average Shares Outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

 

 

 

 

213,839

 

 

213,524

 

 

213,769

 

 

213,445

 

Diluted

 

 

 

 

 

215,669

 

 

214,172

 

 

214,773

 

 

214,334

 

 

 

 

STATISTICS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Quarter Ended

 

Nine Months Ended

 

 

 

 

 

 

 

 

September 30,

 

September 30,

 

 

 

 

 

 

 

 

2009

 

2008

 

2009

 

2008

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Passengers Carried

 

 

 

1,046,943

 

 

1,072,358

 

 

2,958,219

 

 

3,093,748

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Passenger Cruise Days

 

 

 

7,545,314

 

 

7,487,096

 

 

21,105,895

 

 

20,719,165

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APCD

 

 

 

 

 

 

7,157,608

 

 

6,945,217

 

 

20,486,192

 

 

19,640,167

 

Occupancy

 

 

 

 

 

105.4%

 

 

107.8%

 

 

103.0%

 

 

105.5%

 

 

ROYAL CARIBBEAN CRUISES LTD.

CONSOLIDATED BALANCE SHEETS

(in thousands, except share data)

 

 

As of

 

 

 

September 30,

 

December 31,

 

 

 

 

2009

 

2008

 

 

 

 

(unaudited)

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

285,863

 

$

402,878

 

 

 

Trade and other receivables, net

 

 

334,666

 

 

271,287

 

 

 

Inventories

 

 

109,663

 

 

96,077

 

 

 

Prepaid expenses and other assets

 

 

185,360

 

 

125,160

 

 

 

Derivative financial instruments

 

 

105,084

 

 

81,935

 

 

 

Total current assets

 

 

1,020,636

 

 

977,337

 

 

 

 

 

 

 

 

 

 

 

 

Property and equipment, net

 

 

14,203,910

 

 

13,878,998

 

 

Goodwill

 

 

803,189

 

 

779,246

 

 

Other assets

 

 

1,158,560

 

 

827,729

 

 

 

 

 

$

17,186,295

 

$

16,463,310

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities and Shareholders' Equity

 

 

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

 

 

Current portion of long-term debt

 

$

667,608

 

$

471,893

 

 

 

Accounts payable

 

 

270,472

 

 

245,225

 

 

 

Accrued interest

 

 

145,586

 

 

128,879

 

 

 

Accrued expenses and other liabilities

 

 

513,345

 

 

687,369

 

 

 

Customer deposits

 

 

1,002,488

 

 

968,520

 

 

 

Hedged firm commitments

 

 

163,318

 

 

172,339

 

 

 

Total current liabilities

 

 

2,762,817

 

 

2,674,225

 

 

Long-term debt

 

 

6,628,442

 

 

6,539,510

 

 

Other long-term liabilities

 

 

351,290

 

 

446,563

 

 

 

 

 

 

 

 

 

 

 

 

Commitments and contingencies

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shareholders' equity

 

 

 

 

 

 

 

 

 

Preferred stock ($0.01 par value; 20,000,000 shares authorized;

 

 

 

 

 

 

 

 

none outstanding)

 

 

-

 

 

-

 

 

 

Common stock ($0.01 par value; 500,000,000 shares authorized;

 

 

 

 

 

 

 

 

224,213,977 and 223,899,076 shares issued, September 30, 2009

 

2,242

 

 

2,239

 

 

 

and December 31, 2008, respectively)

 

 

 

 

 

 

 

 

 

Paid-in capital

 

 

2,969,663

 

 

2,952,540

 

 

 

Retained earnings

 

 

4,751,597

 

 

4,592,529

 

 

 

Accumulated other comprehensive income (loss)

 

 

133,947

 

 

(319,936)

 

 

 

 

Treasury stock (10,308,683 and 11,076,701 common shares at
cost, September 30, 2009 and December 31, 2008, respectively)

 

(413,703)

 

 

(424,360)

 

 

 

Total shareholders' equity

 

 

7,443,746

 

 

6,803,012

 

 

 

 

 

$

17,186,295

 

$

16,463,310

 

 

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ROYAL CARIBBEAN CRUISES LTD.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited, in thousands)

 

 

 

 

 

 

 

 

Nine Months Ended

 

 

 

 

September 30,

 

 

 

 

2009

 

2008

 

 

 

 

 

 

 

 

 

 

Operating Activities

 

 

 

 

 

 

 

Net income

 

$

159,068

 

$

572,243

 

Adjustments:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

421,802

 

 

386,373

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

Increase in trade and other receivables, net

 

 

(18,029)

 

 

(16,835)

 

 

Increase in inventories

 

 

(12,539)

 

 

(18,528)

 

 

Increase in prepaid expenses and other assets

 

 

(9,433)

 

 

(9,165)

 

 

Increase (decrease) in accounts payable

 

 

21,915

 

 

(1,652)

 

 

Increase in accrued interest

 

 

16,706

 

 

5,682

 

 

Increase in accrued expenses and other liabilities

 

 

31,623

 

 

61,648

 

 

Increase in customer deposits

 

 

13,840

 

 

73,404

 

Other, net

 

 

38,826

 

 

(8,406)

 

Net cash provided by operating activities

 

 

663,779

 

 

1,044,764

 

 

 

 

 

 

 

 

 

 

Investing Activities

 

 

 

 

 

 

 

Purchases of property and equipment

 

 

(1,153,090)

 

 

(1,413,347)

 

Cash received on settlement of derivative financial instruments

 

 

105,964

 

 

256,338

 

Loans and equity contributions to unconsolidated affiliates

 

 

(181,683)

 

 

(41,429)

 

Proceeds from the sale of Celebrity Galaxy

 

 

290,928

 

 

-

 

Other, net

 

 

(100)

 

 

(11,317)

 

Net cash used in investing activities

 

 

(937,981)

 

 

(1,209,755)

 

 

 

 

 

 

 

 

 

 

Financing Activities

 

 

 

 

 

 

 

Debt proceeds

 

 

992,463

 

 

1,143,682

 

Debt issuance costs

 

 

(35,819)

 

 

(13,400)

 

Repayments of debt

 

 

(804,356)

 

 

(762,826)

 

Dividends paid

 

 

-

 

 

(128,045)

 

Proceeds from exercise of common stock options

 

 

290

 

 

3,656

 

Other, net

 

 

3,827

 

 

(4,318)

 

Net cash provided by financing activities

 

 

156,405

 

 

238,749

 

 

 

 

 

 

 

 

 

 

Effect of exchange rate changes on cash 

 

 

782

 

 

(2,579)

 

 

 

 

 

 

 

 

 

 

Net (decrease) increase in cash and cash equivalents

 

 

(117,015)

 

 

71,179

 

Cash and cash equivalents at beginning of period

 

 

402,878

 

 

230,784

 

Cash and cash equivalents at end of period

 

$

285,863

 

$

301,963

 

 

 

 

 

 

 

 

 

 

Supplemental Disclosure

 

 

 

 

 

 

 

Cash paid during the period for:

 

 

 

 

 

 

 

 

Interest, net of amount capitalized

 

$

205,873

 

$

226,172

 

 

 

ROYAL CARIBBEAN CRUISES LTD.

NON-GAAP RECONCILING INFORMATION

(unaudited)

Gross Yields and Net Yields were calculated as follows (in thousands, except APCD and Yields):

 

 

 

 

 

 

 

Quarter Ended

 

Nine Months Ended

 

 

 

 

 

 

 

September 30,

 

September 30,

 

 

 

 

 

 

 

2009

 

2008

 

2009

 

2008

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Passenger ticket revenues

 

 

$

1,270,610

 

$

1,498,221

 

$

3,176,473

 

$

3,676,201

Onboard and other revenues

 

 

 

492,932

 

 

565,168

 

 

1,261,686

 

 

1,400,047

Total revenues

 

 

 

 

1,763,542

 

 

2,063,389

 

 

4,438,159

 

 

5,076,248

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions, transportation and other

303,969

 

 

375,638

 

 

772,350

 

 

918,313

 

Onboard and other

 

 

 

152,579

 

 

168,145

 

 

348,336

 

 

363,980

Net revenues

 

 

 

 

$

1,306,994

 

$

1,519,606

 

$

3,317,473

 

$

3,793,955

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APCD

 

 

 

 

 

 

7,157,608

 

 

6,945,217

 

 

20,486,192

 

 

19,640,167

Gross Yields

 

 

 

 

$

246.39

 

$

297.09

 

$

216.64

 

$

258.46

Net Yields

 

 

 

 

$

182.60

 

$

218.80

 

$

161.94

 

$

193.17

 

Gross Cruise Costs and Net Cruise Costs were calculated as follows (in thousands, except APCD and costs per APCD):

 

 

Quarter Ended

 

Nine Months Ended

 

 

September 30,

 

September 30,

 

 

2009

 

2008

 

2009

 

2008

Total cruise operating expenses

 

$

1,116,086

 

$

1,275,661

 

$

3,033,857

 

$

3,328,846

Marketing, selling and administrative expenses

196,594

 

 

191,115

 

 

576,344

 

 

592,604

Gross Cruise Costs

 

 

1,312,680

 

 

1,466,776

 

 

3,610,201

 

 

3,921,450

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commissions, transportation and other

 

303,969

 

 

375,638

 

 

772,350

 

 

918,313

 

Onboard and other

 

 

152,579

 

 

168,145

 

 

348,336

 

 

363,980

Net Cruise Costs

 

 

$

856,132

 

$

922,993

 

$

2,489,515

 

$

2,639,157

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APCD

 

 

 

 

 

7,157,608

 

 

6,945,217

 

 

20,486,192

 

 

19,640,167

Gross Cruise Costs per APCD

 

$

183.40

 

$

211.19

 

$

176.23

 

$

199.66

Net Cruise Costs per APCD

 

$

119.61

 

$

132.90

 

$

121.52

 

$

134.38

 

Net Debt-to-Capital was calculated as follows (in thousands):

As of

 

 

 

 

 

 

September 30,

 

December 31,

 

 

 

 

 

2009

 

2008

Long-term debt, net of current portion

$

6,628,442

 

$

6,539,510

 

Current portion of long-term debt

 

667,608

 

 

471,893

 

Total debt

 

 

 

 

7,296,050

 

 

7,011,403

 

Less: Cash and cash equivalents

 

 

285,863

 

 

402,878

 

Net Debt

 

 

 

$

7,010,187

 

$

6,608,525

 

 

 

 

 

 

 

 

 

Total shareholders' equity

 

$

7,443,746

 

$

6,803,012

 

Total debt

 

 

 

 

7,296,050

 

 

7,011,403

 

Total debt and shareholders' equity

 

14,739,796

 

 

13,814,415

 

Debt-to-Capital

 

 

 

49.5%

 

 

50.8%

 

Net Debt

 

 

 

 

7,010,187

 

 

6,608,525

 

Net Debt and shareholders' equity

 

$

14,453,933

 

$

13,411,537

 

Net Debt-to-Capital

 

 

48.5%

 

 

49.3%

 

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