Skift Breaking News Blog

Short stories and posts about the daily news happenings around the travel industry.

Cruises

A&K Travel Group Acquires Crystal Cruises Ships

5 days ago

The A&K Travel Group — the company owned by Geoffrey Kent, CEO of tour operator Abercrombie and Kent, and industrial holding corporation Heritagehas acquired cruise ships Crystal Serenity and Crystal Symphony in addition to the Crystal Cruises brand.

Both Crystal Serenity and Crystal Symphony were acquired at an auction with the former ship going for $25 million while the latter was sold for $103 million. A&K said the two ships will resume service next year after undergoing extensive refurbishment and will operate under the Crystal Cruises brand. Crystal Cruises had ceased operations in January this year following the collapse of parent company Genting.

Crystal Symphony and Crystal Serenity ships were both seized in the Bahamas by U.S. marshals the following month after a federal judge issued an arrest warrant for Crystal Symphony. A lawsuit alleged Crystal Cruises had more than $4 million of unpaid fuel bills.

A Crystal Symphony ship (Wikimedia Commons)

Cruises

Norwegian Cruise Line Posts a $1 Billion First-Quarter Loss

2 months ago

Norwegian Cruise Line Holdings Ltd has reported a net loss of $1 billion for the first quarter of this year, as the Omicron variant hit sailings.

The Russia-Ukraine conflict also resulted in the cancellation or modification of 60 sailings, which included all voyages with calls to ports in Russia.

However, the result is an improvement on the same quarter in 2021, when it racked up losses of $1.4 billion. Revenue also increased to $521.9 million, compared to $3.1 million in 2021, as cruise voyages restarted.

Total cruise operating expense increased 266.1 percent in the 2022 first quarter, compared to 2021, due to the resumption of sailings but also higher payroll, fuel, and “direct variable costs of fully operating ships.” Inflation also affected food, fuel and logistics costs.

While as of May 7 its entire fleet was back up and running, it was operating at just 48 percent capacity in the first three months of 2022.

“Last week we reached the biggest milestone yet in our Great Cruise Comeback as Norwegian Spirit, the last ship in our fleet to resume sailing, welcomed guests on board in Papeete, Tahiti,” said Frank Del Rio, president and CEO. “The herculean effort to restart our fleet would not have been possible without the incredible fortitude of the entire Norwegian team and the unwavering support of our key partners and stakeholders around the world.”

Looking ahead, its advance ticket sales balance increased $418 million in the quarter to $2.2 billion as of March 31, 2022. This includes $0.6 billion of future cruise credits, or 27 percent of the total deposit balance.

Gross advance ticket sales were $1.1 billion during the quarter, the highest level since the start of the pandemic.

The cruise line has removed all calls to ports in Russia from its itineraries in 2023.

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