July 2, 2020
In this Issue
Here are some of the news articles we are following:
- Travel Agent Says Small Ship Bookings Are Skyrocketing
- Dream Cruises to be 'first cruise line in the world' to resume operations in July amid coronavirus
- Celestyal Pauses Operations Until 2021
- Which Cruise Ships Will Be Scrapped or Taken Out of Service Because of the COVID-19 Pandemic?
- Cruise Line to Restart Operations Towards End of July
- Ships Leaving the Fleet or Finding New Homes
- One Ocean Expeditions Could Make a Comeback with New Ship
- Coronavirus: Updated Cruise Ship Policies and Cancellations
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Travel Agent Says Small Ship Bookings Are Skyrocketing
“Australia’s leading small ship cruise specialist, Cruise Traveller, has reported a surge in bookings for adventure, boutique and luxury cruise lines on small ships. The Managing Director of the Gold-Coast-based cruise wholesaler and retailer, Craig Bowen, said the expedition cruise sector had grown rapidly in recent years. Bowen said small ship expedition companies were more aligned with the adventure travel industry than the mass cruise ship sector and that the challenging events of the past few months had highlighted the many benefits of small ship cruising and the lower risk profile of smaller vessels. “There is no doubt the small ship expedition market is resilient and keen to travel again,” Bowen said. “Cruise Traveller’s bookings for 2021 product to the end of May, 2020, are 32 percent up on the same period last year for 2020 sailings. While most of our guests are keen to travel overseas again in the future, the number of small ship voyages around and close to Australia will soon rise markedly and this will help satisfy pent-up demand.”
Dream Cruises to be 'first cruise line in the world' to resume operations in July amid coronavirus
“Asian cruise line Dream Cruises announced Monday, amid the coronavirus pandemic, that some of its cruise operations will restart in July. According to a press release from parent company Genting Cruise Lines, the restart will begin with two- and three-night “Taiwan Island-Hopping” itineraries on Dream Cruises' Explorer Dream starting July 26. “After months of detailed planning with the authorities to ensure the safety and health of guests and crew, we appreciate the approval of Explorer Dream resuming cruise operations in Taiwan," Tan Sri KT Lim, chairman and CEO of Genting Hong Kong, said in the release. He added that Dream Cruises will be "the first cruise line in the world to begin sailing after the global cruise industry was shut down due to the pandemic." ”
Celestyal Pauses Operations Until 2021
“Celestyal Cruises has announced the further suspension of its sailings until the 2021 season, commencing March 6, 2021. Leslie Peden, chief commercial officer for Celestyal Cruises, said: "As the core of our season runs from the Spring through the Autumn, we were optimistic that we would be able to resume our cruise operations later this summer. However, given the prevailing uncertainty regarding travel restrictions through the balance of our operating season from our largest international source markets coupled with the continuing discussions at the European Union level regarding the enhanced health protocols that will apply to EU cruise operations, we made the difficult but prudent decision to postpone resuming cruise operations until the scheduled start of our normal spring season next year.”
Which Cruise Ships Will Be Scrapped or Taken Out of Service Because of the COVID-19 Pandemic?
“Faced with declining revenues and a lack of passengers during the global COVID-10 pandemic, some cruise lines are taking an unpopular but necessary step: Selling off older vessels for scrap. Most modern cruise ships have service lives of 40 years or more. While it is not uncommon to see cruise ships built in the 1970's and 1980's go to the breakers, older vessels are usually transferred first to another, smaller cruise operator -- a market that is often referred to as "secondhand tonnage." It's more unusual is to see relatively young vessels head to the breakers. Yet that is precisely what is beginning to happen, due to the coronavirus pandemic. On June 25, Francesco Ferrari, mayor of Piombino, Italy revealed that Costa Cruises' Costa Victoria, built in 1996, had arrived in the city for demolition.”
Cruise Line to Restart Operations Towards End of July
“Genting-owned Dream Cruises has announced it will restart operations from the end of July and is among the very first cruise lines to do so. Dream Cruises which is a luxury cruise line mainly based in Asia has announced a return to service from July 26, 2020. Dream Cruises is among a handful of cruise lines that have either returned to service already in a limited capacity or announced a return in July.”
Ships Leaving the Fleet or Finding New Homes
“The global COVID-19 pandemic has accelerated changes in the cruise fleet. Some of these adjustments were coming while some have resulted due to coronavirus. Here's the latest…
- The Astoria, currently operating for Cruise & Maritime Voyages on a charter deal, will be returned to its owners later this year.
- The RCGS Resolute was sold at auction in Curacao for a slim $600,000 on Monday, according to a source familiar with the auction result. This is in sharp contrast to just a few years ago, where multiple operators were lining up to charter the former Hapag-Lloyd Cruises expedition ship, which offers a strong ice class hull and capacity for up to 184 guests.
- Marella Cruises is making capacity adjustments and will retire the 1984-built Celebration, according to a company statement. The ship was built in 1984 by Chantiers de l'Atlantique for Holland America Line as the MS Noordam. The ship sailed under the Holland America Line brand through 2005, when she was moved to Thomson Cruises, which eventually became Marella. Marella, owned by TUI Group, did not elaborate on whether it would sell or scrap the vessel.”
One Ocean Expeditions Could Make a Comeback with New Ship
“One Ocean Expeditions could sail again as Managing Director Andrew Prossin said in a court filing that he is negotiating to finance a new ship and is also talking to other expedition operators about their excess and unneeded capacity. The news could come as a surprise to some as the brand saw its ship, the RCGS Resolute, arrested in Buenos Aires over the winter and operations suspended; it appeared the company and brand were finished. Prossin later detailed an immense set of challenges in a May court filing following an April bankruptcy filing. Now, Prossin is working to collect a $19 million judgement against Terragelida, which was essentially the vessel management company that One Ocean had chartered two Russian research ships from. The company has also collected an insurance payment, and is looking to reclaim over $3 million in its assets currently stuck aboard the RCGS Resolute.”
Coronavirus: Updated Cruise Ship Policies and Cancellations
“Cruise lines have temporarily suspended operations worldwide and altered future sailings in globally as the novel coronavirus (also known as COVID-19) continues to spread. In January, the World Health Organization declared the coronavirus outbreak a public health emergency of international concern, following an emergency committee meeting in Geneva. On March 11, WHO declared the outbreak a worldwide pandemic.”
Disclaimer: The views expressed in the articles above are those of the authors' and do not necessarily represent or reflect the views of this e-Newsletter
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