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Carnival Cruise Line cancels and delays more U.S. voyages at a time when new cases of COVID-19 are averaging about 170,000 a day in the country amid a cluttered rollout of vaccines.
| Ticker | Safety | Last | Alter | Alter% |
|---|---|---|---|---|
| CCL | CARNIVAL CORP. | 19.22 | -1.00 | -4,95% |
Carnival’s scheduled seasonal service from San Diego has been suspended until further notice, and cruises scheduled for April 2023 have been canceled. Some trips from California to Hawaii will continue, but will rather sail from Long Beach, the company said.
CARNIVAL CORP. SAY THIS IS MORE DISCUSSED FOR 2022 THAN 2019
Carnival began canceling travelers on Friday.
Trips planned on three ships – the Magic, Paradise and Valor – are being postponed until November, the cruise line said.
“Like so much about this current global situation, we are adapting our plans as circumstances develop and can confirm our alternatives,” Christine Duffy, president of Carnival Cruise Line, said in a prepared statement Monday.
Carnival Cruise Line cancels and delays more U.S. voyages at a time when new cases of COVID-19 are averaging about 170,000 a day in the country amid a cluttered rollout of vaccines.
Shares in Miami-based Carnival Corp shares fell 5% on Monday. The rival operator Royal Caribbean also shook off 5%, while the Norwegian Cruise Line declined 2.5%.
The U.S. Centers for Disease Control lifted its non-sail order for the industry on Oct. 30, but it also warns people to avoid all travel due to the risk of infection. The CDC provides for a phased reload if the industry meets the test and safety requirements for crew.
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Cruise companies anxiously awaited the CDC’s guidance for the next phase of their reopening plan, which would allow short test trips with volunteers. The CDC said Monday it expects to publish further guidance in the next few weeks.
Patrick Sholes, analyst at Truist Securities, said bookings for future trades are now canceled for the first time since March. But he still lowered his earnings expectations for cruise lines until 2022 because he believed further delays were likely.
Travel agencies are now predicting that July will be the best case scenario for a gradual return for shipping in North America, Sholes said last week, but that a return in September or October is more likely.
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This could force the cruise operator to raise additional funds to stay afloat, Sholes wrote.
Carnival Corp lost more than $ 10 billion last year when the pandemic swept the world, but said this month that it would have enough cash to survive until 2021, even without revenue.