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Royal Caribbean opens contest to win a free cabin on a test cruise: Here's how to enter

In:
06 Aug 2021

If you want a chance to win a free Royal Caribbean cruise, you have to act quickly before the contest ends.

Royal Caribbean opened up its Volunteer of the Seas contest, where you have a chance to win a free stateroom for you and one other person to sail on an upcoming test cruise.

Between 12:00:01 AM ET on August 6, 2021 and 12:00:01 AM ET on August 7, 2021, you can enter up to 12 times to win a room one of three simulated voyages Royal Caribbean has scheduled.

These test cruises are required by the U.S. Centers for Disease Control and Prevention (CDC), and the cruise is using them to ensure the new health protocols are working as planned before regular sailings begin.

To be eligible for the free cruise giveaway, you must be:

  • U.S. residents currently residing in one of the 50 United States (except Montana) or the District of Columbia
  • At least 18 years old
  • Fully vaccinated with a Covid-19 vaccine that has been authorized by either the United States Food and Drug Administration or the World Health Organization

The contest is for a cabin on one of these three test cruises, which you could be randomly chosen for:

  • Mariner of the Seas - August 11th (2 Nights) from Port Canaveral, FL
  • Oasis of the Seas - August 22nd (6 Nights) from Bayonne, NJ
  • Liberty of the Seas - September 18th (4 Nights) from Galveston, TX

Sound like something you want to do? You can fill out a contest entry form here for your chance to win.

According to the contest rules, Royal Caribbean will award 1,125 winners for the winner and a guest to sail on one of these ships. 

The contest is open to repeat cruisers as well as someone new to cruising, but if you have cruised before you will get extra entries.

If you’re a Crown & Anchor member, Royal Caribbean will automatically provide you with additional entries – so you only need to submit your entry once! Here is the breakdown:

  • Pinnacle members: 11 additional entries
  • Diamond Plus members: 9 additional entries
  • Diamond members: 7 additional entries
  • Emerald members: 5 additional entries
  • Platinum members: 3 additional entries
  • Gold members: 1 additional entry

If you are not a Crown & Anchor member, you can submit additional entries – up to a total of 12 entries per person. Diamond Plus tiers and below, you can also submit additional entries to reach the 12 entry maximum.

If you do win a room, it will be up to you to get to and from the ship.  Royal Caribbean is not including transportation and/or lodging as part of the contest.

This new sweepstakes is the first opportunity for the public to be a part of a simulated voyage, as test cruises up until now have been filled by cruise ship employees, travel agents, media and select top tier Crown and Anchor members.

Royal Caribbean began taking sign ups for test cruises in November 2020, but this contest requires eligible folks to sign up again through the contest.

In addition to demonstrating to the CDC the viability of new health protocols, Royal Caribbean is using these test sailings to prepare each ship before sailings begin with paying passengers.

Royal Caribbean has completed seven test cruises so far, which began in June.

The cruise line also announced restart plans for ships in fall 2021 and beyond, which means there could be more test cruises scheduled later.

Royal Caribbean will require pre-cruise Covid test for 3 & 4 night cruises

In:
05 Aug 2021

A few days after announcing a Covid test would be required for cruises five nights or longer, Royal Caribbean has extended that policy to include 3 and 4 night sailings.

Starting on August 12, 2021, on 3 & 4 night sailings, all guests ages 2 and up, regardless of vaccine status, will need to provide a negative PCR or antigen test for Covid-19 during check-in.

The test must be taken no more than three days prior to sailing and must be arranged by each guest at their own expense with an accredited test provider, such as a drugstore chain or diagnostic lab.

Including 3 and 4 night sailings matches what many other cruise lines are adding similar protocols.

According to a statement by Royal Caribbean in an email sent to guests, this extra precaution was added, "to give you added peace of mind."

The cruise line says passengers booked on a sailing in August who do not wish to follow these protocols can get a refund or be moved to a cruise in the future.

Going forward, all sailings (of any length), all guests 2 and older, regardless of vaccination status, will need to undergo a Covid-19 test (PCR or antigen) administered by an accredited laboratory of the guest's choice and taken no more than three days prior to sailing. 

Read moreWhen you should take a Covid test before your Royal Caribbean cruise?

This requirement applies even to fully vaccinated guests, there is no exemption.

The results can be printed out, or can be presented on your phone, such as the email result from your test provider. Costs associated with this test are the guests' responsibility.

Royal Caribbean announced a Covid test would be required by vaccinated passengers for sailings at least 5 nights or longer last week, but that policy excluded 3 and 4 night sailings.

Other cruise lines announced similar policies this week, including Carnival Cruise Line, Princess Cruises, and Holland America Line.

Royal Caribbean expands mask requirement to Adventure of the Seas sailings

In:
05 Aug 2021

All guests sailing on Adventure of the Seas will have to wear a mask while indoors, including fully vaccinate passengers.

Due to the Delta variant, Royal Caribbean is informing guests booked on Adventure of the Seas sailings from The Bahamas they will have to wear a mask while indoors.

This information only applies to guests on sailings out of Nassau, Bahamas in August 2021. 

A spokesperson for the cruise line said, "In an abundance of caution due to the emerging Delta variant and to ensure that our guests, our crew and the communities we visit remain healthy, Royal Caribbean International has adjusted its measures for boarding."

Adventure of the Seas restarted sailings from The Bahamas in June, and since all adults are required to be fully vaccinated, masks for fully vaccinated guests while indoors was not required.

The new rule for Adventure of the Seas matches mask requirements on other ships sailing from the United States this summer.

"When indoors, all guests 2 and older are required to wear masks unless they are actively eating or drinking."

"Guests may remove their masks in venues and events dedicated to fully vaccinated parties."

Masks are not required in your stateroom when you are with your traveling party, outside on the open decks, or at Perfect Day at CocoCay, unless in a crowded setting.

Guests under the age of 2 do not need to wear a mask.

Adventure of the Seas will also add fully vaccinated zones available only to vaccinated guests, similar to other ships in the fleet. Once inside a vaccinated zone, fully vaccinated passengers can remove their face mask.

Passenger's SeaPass cards will be required to access lounges, shows and dining venues.

If someone booked on Adventure of the Seas in August does not wish to follow these protocols, Royal Caribbean is happy to provide a refund or move their sailing into the future when circumstances may have evolved. Please contact your Travel Advisor or call the cruise line at 954-628-9290 or 1-800-256-6649.

Carnival Cruise Line changed their face mask policy this week to match Royal Caribbean's requirements.

When do you have to take a Covid test before your Royal Caribbean cruise?

In:
05 Aug 2021

Royal Caribbean requires all passengers to get a Covid test before their cruise if their sailing, and that has generated a lot of questions about when exactly should take your test.

All guests over the age of 2 are required to arrive to the cruise terminal with a negative Covid-19 test, regardless of vaccine status, prior to boarding.

The primary concern is getting the test completed with enough time to get your result before your cruise begins.  Wait too long and you might not have your results in time.  But do the test too early, and it will not count.

The logistics of when and where to get a test before your cruise is somewhat confusing, so here is what you need to know about getting a Covid-19 test before your cruise so you can get onboard without any issues.

When should you get your test done?

Vaccinated guests must present a negative PCR or antigen test result taken no more than 2 days prior to sailing in order to board. (Previously, it was 3 days.)

Unvaccinated kids departing on or after December 17, 2021 must show a negative test result for a PCR test (not antigen) taken no more than 3 days before boarding day.

Unvaccinated kids’ pre-cruise test cannot be taken on boarding day, because that may affect the sample taken during the kids’ test at the terminal.

So when should you get your test done so that the results are valid and within the timeframe?

Basically, Royal Caribbean says the day you set sail is not one of the days you count. Instead, count backwards from the day before to figure out which day to get your test.

As an example, if your cruise departs on a Saturday, you could get your test done on

  1. Friday (Day 1)
  2. Thursday (Day 2)
  3. Wednesday (Day 3)

Your best bet is to schedule a test in advance to ensure there you can get your test completed on the day you want to ensure there is enough time to get the results before you sail.

Where can you get tested?

Depending on where you live, there can be different options available for getting tested.  This includes testing sites that are free or have an additional cost.

Keep in mind Royal Caribbean accepts antigen or PCR (polymerase chain reaction) test results for fully vaccinated passengers.

Many health providers and chain drug stores, including Walgreens, Rite Aid and CVS, now offer COVID-19 testing for work, travel and other reasons. All of these often offer PCR testing at no additional cost if using insurance or if you fall under some federal programs for those without insurance. 

Another option is Passport Health, which has over 100 locations nationwide meant for someone who is travelling or going back to school.

The U.S. Department of Health & Human Services maintains a list of testing sites per state where you can be tested, including ones that have no-cost.

You may even find some testing sites offering drive-up testing, where you never have to leave the car. Roll down your window, get swabbed, and be on your way.

How long will it take to get your test results?

Depending on the type of test you take, results could be in your hands within hours or days.

Antigen tests can come back in as little as 30 minutes, whereas PCR tests usually take longer.  PCR tests generally take around 72 hours for results, although some testing sites offer rapid PCR tests that can come back much sooner.

CVS advertises its PCR test takes "typically" 1-2 days, while the rapid test is a few hours.

There are few guarantees on when exactly you will get your results, but taking your test earlier in the time window before your cruise departs is the safest bet.

How to give Royal Caribbean the test results

You simply need to bring a copy of the test results for everyone in your family to the cruise terminal.

The test results must have:

  • Your name
  • Date the test was taken
  • Type of test
  • Negative result

You have the choice of bringing a print out or using a digital copy. Royal Caribbean recommends printing out the results whenever possible to simplify the process of showing the results.

If you prefer a digital copy, the cruise line will accept  test results presented on your phone.

Royal Caribbean offering up to 35% off Cruise Planner purchases with Sun's Out Sale's On

In:
05 Aug 2021

Royal Caribbean is offering a discount on cruise add-ons, such as drink packages, shore excursions and more, with its new sale.

The Sun's Out Sale's On offer runs between August 4 - August 10, 2021 and is valid on sailings from August 13, 2021 - August 31, 2022 (excluding Spectrum of the Seas and charter sailings).

It is valid on most sailings: Select Alaska, Asia, Australia, Bahamas, Bermuda, Canada, Caribbean, Europe, Hawaii, New Zealand, South Pacific, Reposition & Transatlantic sailings.

Here is what is included during the sale:

BEVERAGE: Up to 40% off 

  • Classic Soda Beverage Package: 30% off onboard prices.
  • Classic Soda Beverage Package + VOOM Surf & Stream 1 Device: Discount varies by ship.
  • Dasani Water Cans: 40% off onboard prices.
  • Deluxe Beverage Package: Discount varies by ship
  • Deluxe Beverage Package + VOOM Surf & Stream 1 Device: Discount varies by ship
  • Refreshment Package: 30% off onboard prices

SHORE EXCURSIONS: Up to 35% off

  • Shore Excursions: Discount varies by ship

INTERNET: Up to 50% off

  • The Key: Discount varies by ship.
  • VOOM Surf + Stream Voyage Package 1, 2, 3, 4 Device(s): Discount varies by ship.
  • VOOM Surf Voyage Package 1, 2, 3, 4 Device(s): Discount varies by ship

DINING: Up to 60% off

  • Unlimited Dining Package on 3N – 9N sailings: Discount varies by ship

ACTIVITIES: Up to 20% off

  • All Access Ship Tour (Excludes Grandeur of the Seas)

Gifts & Gear: Up to 20% Off

  • Anniversary Decorations with Champagne
  • Happy Birthday Decorations with Chocolate Cake & Strawberries
  • Happy Birthday Decorations with Vanilla Cake & Strawberries
  • Inky Beach Set
  • Inky Beach Towel (TicTacToe)
  • Inky Travel Set
  • Red Wine and Cheese
  • Royal Caribbean Beach Towel
  • Strawberries with Champagne
  • White Wine and Cheese

PHOTO PACKAGES: Up to 70% off

  • Photo Packages: From 5 - 100 Print and/or Digital Options: Discount varies by ship
  • Photo Package: Private Photo Session: Discount varies by ship
  • Photo Package: Picture This Private Studio: Discount varies by ship

SPA: Up to 30% off

  • Spa: Discount varies by ship

To check if your sailing has this new offer available, log into the Cruise Planner on Royal Caribbean's web site look for any available offers. Keep in mind that not all sailings may see the sale applicable, nor are all offers significantly cheaper than previously posted.

If you spot a better discount on something you already pre-purchased, you should be able to cancel the purchase and then re-purchase the same item under this promotion.

More helpful information

Royal Caribbean announces test cruise ship volunteers sweepstakes begins on Friday

In:
04 Aug 2021

Royal Caribbean will hold a sweepstakes for those that want to go on a test cruise for free later this week.

As cruise ships return to service in the United States, they must undergo a test cruise so that the ship can be approved by the U.S. Centers for Disease Control and Prevention (CDC).

Royal Caribbean posted a teaser on Facebook that the Volunteers of the Seas sweepstakes opens this Friday, August 6.

No other details were shared regarding which ships or when these test cruise(s) might be held.

Here are the official eligibility rules so far we can expect.

No purchase necessary. Open to legal residents of the 50 U.S. /D.C. Excluding MT, age 18+ (19+ in AL and NE, 21+ in MS). Void in MT, outside the 50 U.S. /DC, and where prohibited. Starts 12:00:01 AM ET on August 6, 2021; ends 12:00:01 AM ET on August 7, 2021. Total ARV for all 1,125 Grand Prize(s): $731,250. For full Official Rules see bio. Prize excludes transportation to and from the vessel and hotel accommodations. Sponsor: Royal Caribbean Cruises Ltd.

On the Volunteers of the Seas Facebook page, the cruise line added, "Stay tuned here for more information on how to enter and your chance to join us on a Simulated Voyage."

It sounds like anyone interested in winning a spot on a test cruise might have to register again for this particular sweepstakes.

Read moreHere's what it looks like if Royal Caribbean invites you to volunteer for a test cruise

Royal Caribbean started taking registrations for test cruisers back in November 2020, and quickly amassed a list of well over 300,000 registrations.

Royal Caribbean opened up its Volunteer of the Seas group in an effort to more easily collect information on anyone who might be interested in being a volunteer.

This is the first real opportunity to get on a ship since the group was created.

The first test cruises were limited to cruise line employees, but over the last few recent test cruises, Royal Caribbean has begun inviting members of the public.  Travel agents, top tier Crown and Anchor members, and members of the media have been invited to join other cruise line employees in the testing.

Friday's sweepstakes would possibly be the first opportunity for members of the general public to secure a spot for a test sailing.

In addition to demonstrating to the CDC the viability of new health protocols, Royal Caribbean is using these test sailings to prepare the vessel and crew members before revenue sailings begin.

Read moreEverything you need to know about Royal Caribbean test cruises

Thus far, 7 test sailings have occurred, with Mariner of the Seas on August 11 and Oasis of the Seas on August 22 publicly known as upcoming test cruises.

There could be other test sailing dates, but they have not been announced publicly.

Carnival joins Royal Caribbean in requiring pre-cruise Covid tests and masks for vaccinated passengers

In:
04 Aug 2021

Less than a week after Royal Caribbean said it would require vaccinated passengers to get a Covid test for certain sailings, Carnival Cruise Line announced a similar protocol.

Carnival informed guests of new testing and mask guidelines, where cruise ship passengers will be asked to wear masks in certain indoor areas of their ships and all guests, including those who are vaccinated, to have pre-cruise Covid tests.

Beginning on sailings the depart on August 14, 2021, all fully vaccinated cruise ship passengers will need to get a negative Covid-19 test (PCR or antigen) within 3 days of when their sailing will begin.

This means fully vaccinated guests will be required to provide proof of a negative Covid-19 test along with proof of full vaccination upon arrival in the terminal and can then proceed on board.

Like Royal Caribbean, Carnival will not provide testing opportunities at the cruise terminal, so guests must take the test at home before they arrive.

Guests who are not fully vaccinated are still required to show the negative results of a PCR test taken between 72 and 24 hours prior to the sailing date, and will be tested again in the terminal prior to boarding the ship and again within 24 hours of debarkation (for itineraries five days or longer).  Unvaccinated guests approved for an exemption will continue to be charged US$150, per person, for testing, reporting and health safety screenings, and also must provide proof of travel insurance if departing from the states of Florida or Texas. 

Children under two are exempt from testing requirements.

Royal Caribbean's policy is similar, with the requirement for all passengers, regardless of vaccination status, to provide a negative Covid-19 test, regardless of vaccine status, prior to boarding on sailings 5-night or longer.

Royal Caribbean's testing policy went into effect beginning July 31, 2021.

Mask policy change

Carnival is also adding a mask rule for passengers on its ships while indoors.

The new mask rule begins on August 7, 2021 and "strongly encourages" all passengers to wear face masks when indoors, particularly guests who are unvaccinated including children under the age of 12 who should wear masks in public areas, except when eating or drinking.

All guests age 2 and older will be required to wear face masks in elevators and in designated indoor entertainment areas, all retail shops, and in the casino, except when eating or drinking.

Guests will be required to wear face masks prior to being seated in the main dining rooms and in the Lido Buffet area and occasionally in other designated areas where larger number of guests may congregate.  

Masks are required during embark and debark in the terminal, and masks should also be worn during the debarkation process on board.

Carnival says the new rule is being added, "to protect our guests and crew while on board."

Carnival Cruise Line President Christine Duffy spoke about the change, "These new requirements are being implemented to protect our guests and crew while on board, and to continue to provide confidence to our homeports and destinations that we are doing our part to support their efforts to protect public health and safety."

"We expect these requirements will be temporary and appreciate the cooperation of our guests. Our first month of guest operations has been met with tremendous enthusiasm and very positive guest feedback, and we are committed to continue our restart with both fun and safety in mind."

Royal Caribbean sees strong demand for cruises despite temporary Delta variant concerns

In:
04 Aug 2021

The road to recovery for Royal Caribbean Group has not been an easy one, but the company told Wall Street analysts today that it sees positive signs ahead.

During the company's second quarter earnings call, cruise executives talked about many facets of the restart process, as well challenges they face getting there. Certainly there are many concerns in the market related to the Delta variant, but Royal Caribbean Group seemed confident these were short-term issues.

Royal Caribbean International President and CEO Michael Bayley characterized these concerns as an interim issue, but not stopping them from booking.

"I think customers now see this for what it is, it's a it's a blip and a bump," Mr. Bayley said while talking about the booking environment right now. 

"I think we feel encouraged by the protocols that we've got in place."

In fact, even when there are Covid cases on ships, the spread is limited due to the strong protocols in place, "We've been very encouraged to see that when we do have a positive Covid case on board our ships, we very quickly contact trace test. And what we find is that very often you may have a occur with positive either from a vaccinated or unvaccinated cast, and they'll be in the very same room with somebody who's vaccinated and they test negative."

"So the vaccines are really working."

In the month of July, Royal Caribbean sailed with around 92% guests vaccinated, which was while the cruise line still allowed guests ages 12 to 16 to sail unvaccinated.

"If there is good news with the Delta variant is that people are becoming far more accustomed to this. If you've got a highly vaccinated population, there's minimal impact," Mr. Bayley explained in talking about why consumers feel safe cruising."

"The feedback we get from our customers is recognition and relief that this is very contained and something that, you know, that's going to pass."

Royal Caribbean Group CFO Jason Liberty indicated the cruise line saw "small variations" due to the Delta variant with closer-in bookings and markets with high case counts.

Booking trends

In the first half of the year, Royal Caribbean Group CFO Jason Liberty said more than 130,000 guests across five brands during the first half of 2021.

While bookings are still below 2019 levels due to in part reduced capacity for 2021 sailings, Royal Caribbean Group has "narrowed the gap" during the second quarter. In fact, they received we received about 50% more bookings in the second quarter than during the previous three months.

"By June, we were receiving about 90% more bookings each week when compared to Q1," Mr. Liberty explained while going through the numbers. "The bookings for 2022 are practically back to twenty nineteen levels."

He also said July was their second highest booking month of the year.

When will they break even?

Royal Caribbean Group reported another quarter with losses measured in the billions of dollars, so when will the company finally break even?

Mr. Liberty said based on how things look, they could reach break even on a cashflow standpoint in six months, "Based off of what we're seeing the ramp up of our business, I think we will see ourselves be cash flow positive in about six months as we ramp up the business."

Increasing capacity

What is Royal Caribbean's plan to increase passenger capacity as ships return to service?

Right now, ships are sailing with extremely low capacity, but there is a plan to start ramping that up.

Mr. Liberty explained capacity will go up monthly, "Our plan is for our load factors to steadily increase from one month to the next."

"After a few weeks of getting these ships up and running, we're getting to occupancy levels in which the ships are accretive to our our overall cash position."

Guests want to know when ships will sail again

Royal Caribbean announced yeserday its plan when and how it will bring back all of its cruise ships, which was met with a lot of enthusiasm in the form of new bookings.

Mr. Bayley says the announcement of ships returning with a firm plan is important to consumers, and that is directly tied to bookings.

"We literally have hundreds of thousands, if not millions, of customers who are simply waiting for the confirmation."

"When we last announced return to service confirmation at the beginning of June. that's when we saw a really significant increase in bookings. And I think the announcement that we made yesterday should also receive a significant amount of interest."

"If you go on social media, people are there waiting. They're waiting for the confirmation. And yesterday, we gave confirmation on the remaining fleet. So we feel quite optimistic about that."

Royal Caribbean Group CEO: People are eager to cruise again

In:
04 Aug 2021

Speaking to investors during the Royal Caribbean Group's second quarter earnings call, Chairman and CEO Richard Fain gave an overview of his company's restart plans.

While there was another quarter of losses exceeding a billion dollars, the outlook looks far more positive with ships returning to service.

Mr. Fain was optimistic that despite issues his company faces right now, the future looks very good.

It seems Mr. Fain believes the key has been a combination of healthy sail protocols, a compelling onboard experience for guests, and strong demand for cruises, especially in 2022.

Of course, there are going to be hesitations to travel again, and Mr. Fain thinks providing customers peace of mind is the key, "We believe that the best way to get them comfortable is to demonstrate just how well the process works."

"We call that the flywheel effect. Once we get the vast majority of our fleet back online and thousands of people sailing safely, it will make even more people feel comfortable doing the same thing."

To make things safe onboard, Royal Caribbean Group identified three pillars of health and safety:

  1. Ensuring ship experiences are as safe, or safer, than the shoreside equivalents
  2. Meeting and exceeding our exacting pre-pandemic expectations
  3. Doing so in a financially prudent manner

In terms of the protocols, Mr. Fain is quite pleased with how things are going onboard, "The idea is to limit the spread of Covid-19 aboard our ships. We all know it's impossible to eliminate cases on board a ship totally, just as it's impossible to eliminate cases on land."

"But the steps that we are taking are designed to prevent the isolated cases from becoming an outbreak, and it seems to be working."

Further building on that confidence is when there are cases onboard, they are limited and isolated.

"We have had people test positive, but almost everyone around them is vaccinated, they've remained isolated cases. That's the goal where individual cases and no significant spread."

"Repeat this with a few hundred thousand or million cruisers, and that creates the trust that will drive our resurgence."

According to Fain, in the month of July (excluding Singapore sailings), an average of 92% of the people on board cruise ships were fully vaccinated and Mr. Fain believes this number is likely to rise going forward.

Strong demand

As they say, the proof is in the pudding, and Royal Caribbean Group has been surprised how many are eager to get back onboard.

"Our guests are eager to cruise again," Mr Fain said during the call. "We had hoped that there would be pent up demand for cruises, but even we were surprised by the level that we're seeing."

"It is clear people are to people are eager to travel, to take a vacation and we are ready to make their vacation dreams come true."

There is likely to be more losses still to come, but the company feels good about their chances as next year comes around.

"While the third and fourth quarter of this year will continue to be painful, it's looking generally in line with our return to service and occupancy ramp up expectations."

"We don't expect 2022 to be a normal year. However, we are seeing rapid and steady progress towards normalcy starting in the spring and summer of next year."

Delta variant

While the Delta variant has the attention of a lot of people, Mr. Fain believes it is a short-term concern, not a long-term problem.

"The Delta variant is problematic for everyone, but even this looks manageable by our extensive protocols," Mr. Fain said while addressing the concern.

"If we only obsess about the present, we will fail to prepare for the future. We must keep our eye firmly on that future that we can see is coming."

Royal Caribbean Group reports $1.3 billion loss second quarter 2021 amid fast restart plans

In:
04 Aug 2021

Royal Caribbean Group reported its second quarter 2021 financial results to Wall Street, along with an update on its restart plans.

Royal Caribbean Group reported a US GAAP Net Loss for the second quarter of 2021 of $1.3 billion, which is better than where the company was last year at this time when it has a US GAAP Net Loss of $1.6 billion.

The average monthly cash burn rate for the second quarter of 2021 was approximately $330 million, slightly higher than the prior quarter as the Company returned additional ships into operation. 

While the loss is not a surprise, Royal Caribbean Group Chairman and CEO Richard Fain celebrated the quick restart plan the company has put into action, with 29 ships across its five brands, representing 42% of capacity.

By the end of of August, that number will move up to 36 ships, representing over 60% of its capacity.

"We're thrilled to be back on the water at accelerated speed in the US and elsewhere.  After 16 months of being at a virtual standstill and another painful financial result this quarter, the flywheel is clearly picking up momentum."

"Since the pandemic began, our objective has been to make our ships safer than Main Street, and today, we are proving that ambitious goal is achievable.  We are also encouraged by the booking outlook especially for 2022 and beyond."

Royal Caribbean Group expects 80% of its ships across all brands to be in service by the end of 2021.

Positive signs ahead

Royal Caribbean Group saw some good indicators for where the short-term future of cruising.

Booked load factor for 2022 is within historical ranges. Prices for 2022 are up versus a record-setting 2019, even including the dilutive impact of future cruise credits (FCCs).

Overall booking volumes have improved, and pricing remains strong. During the second quarter the Company received about 50% more new bookings compared to the first quarter with trends improving from one month to the next. By June, the Company was receiving about 90% more bookings each week when compared to the first quarter with improvements of a similar magnitude for both 2021 and 2022 sailings.

In addition, customer deposits increased from last quarter by $530 million to now account for $2.4 billion.

Royal Caribbean Group ended the second quarter with $5.0 billion of liquidity.

The company says they have seen a "very positive" response to the restart of cruising, which they see as "robust, pent-up demand for cruising."

In terms of the impact of the Delta variant, Royal Caribbean Group said it is too early to draw any definite conclusions, but they have seen, "a modest impact on closer-in bookings."

Nonetheless, they see 2022 bookings remaining very strong, especially spring and summer 2022.

Environmental initiatives

Royal Caribbean Group highlighted some of the environmental, social, and governance plans that were put into action to coincide with the company's restart plans.

Highlights of these important sustainability initiatives include:

  • Reduction in greenhouse gas emissions
  • Removal of a significant amount of single use plastics from the supply chain
  • Equipping the majority of its fleet with emissions purification systems
  • Outfitting new ships with Selective Catalytic Reduction to reduce NOx emissions
  • Reducing waste to landfill
  • Outfitting ships with Advanced Wastewater Purification
  • Introducing Global Sustainable Tourism Council certified tours.

The next generation of cruise ships will be powered by liquefied natural gas, a cleaner burning form of fuel, and fuel cell technology, which can help reduce ship emissions. 

According to Royal Caribbean Group, exploring alternative fuel solutions is a major priority. These efforts have placed Celebrity Apex, which had its maiden voyage in June, on the path to achieving the international targets of 40% reduction in carbon intensity by 2030 from a 2008 baseline.

Royal Caribbean Group has also focused on its employees in an effort to enhance their diverse and inclusive workforce, "We have also developed an active listening strategy that gives each of our employees a voice to drive meaningful change in the workplace. We believe setting our workforce up for success through initiatives that support these elements, positions our business to excel now and into the future. "

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