MIAMI, March 10, 2020 /PRNewswire/ -- Royal
Caribbean Cruises Ltd (NYSE: RCL) today announced that due to the
spread and recent developments related to the COVID-19 outbreak,
the company has increased its revolving credit capacity by
$550 million bolstering the company's
liquidity. The company is pursuing additional actions to
improve its liquidity by reducing capital expenditures, operating
expenses and taking other actions to improve liquidity by at least
a further $1.7 billion in 2020.
The company is also planning reductions to the 2021 capital
expenditures and operating expenses.
The company had previously communicated that its 2020 guidance
did not include the impact of the COVID-19 outbreak. Given
the recent government actions and the heightened impact and
uncertainty of changes in the magnitude, duration and
geographic reach of COVID-19, the company is withdrawing its first
quarter and full-year 2020 guidance.
"These are extraordinary times and we are taking these steps to
manage the company prudently and conservatively," said Richard D. Fain, chairman and CEO. "I am
proud of the work our teams are doing to address this unprecedented
situation."
Royal Caribbean Cruises Ltd. (NYSE: RCL) is a global cruise
vacation company that controls and operates four global brands:
Royal Caribbean International, Celebrity Cruises, Azamara and
Silversea Cruises. We are also a 50% joint venture owner of
the German brand TUI Cruises and a 49% shareholder in the Spanish
brand Pullmantur Cruceros. Together these brands operate a
combined total of 61 ships with an additional 17 on order as of
December 31, 2019. They operate
diverse itineraries around the world that call on all seven
continents. Additional information can be found on
www.royalcaribbean.com, www.celebritycruises.com, www.azamara.com,
www.silversea.com, www.tuicruises.com, www.pullmantur.es, or
www.rclinvestor.com.
Certain statements in this release relating to, among other
things, our future performance constitutes forward-looking
statements under the Private Securities Litigation Reform Act of
1995. These statements include, but are not limited to:
statements regarding revenues, costs and financial results for 2020
and beyond. Words such as "anticipate," "believe," "could,"
"driving," "estimate," "expect," "goal," "intend," "may," "plan,"
"project," "seek," "should," "will," "would," and similar
expressions are intended to help identify forward-looking
statements. Forward-looking statements reflect management's
current expectations, are based on judgments, are inherently
uncertain and are subject to 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 impact of the economic and geopolitical environment
on key aspects of our business, such as the demand for cruises,
passenger spending, and operating costs; our ability to obtain
sufficient financing or capital to satisfy our capital
expenditures, debt repayments and other financing needs; incidents
or adverse publicity concerning our ships, port facilities, land
destinations and/or passengers or the cruise vacation industry in
general; concerns over safety, health and security of guests and
crew; the impact of Coronavirus on our business within and
outside of China such as: travel
restrictions, guest cancellations, an inability to source our crew
or our provisions and supplies from certain places, and an increase
in concern about the risk of illness when travelling to, from or on
our ships which could cause a drop in demand; unavailability of
ports of call; growing anti-tourism sentiments and environmental
concerns; changes in US foreign travel policy; the uncertainties of
conducting business internationally and expanding into new markets
and new ventures; our ability to recruit, develop and retain high
quality personnel; changes in operating and financing costs; the
impact of foreign currency exchange rates, interest rate and
fuel price fluctuations; vacation industry competition and changes
in industry capacity and overcapacity; the risks and costs
associated with protecting our systems and maintaining integrity
and security of our business information, as well as personal data
of our guests, employees and others; the impact of new or
changing legislation and regulations on our business; emergency
ship repairs, including the related lost revenue; the impact of
issues at shipyards, including ship delivery delays, ship
cancellations or ship construction cost increases; shipyard
unavailability; and the unavailability or cost of air service.
More information about factors that could affect our operating
results is included under the captions "Risk Factors" in our most
recent quarterly report on Form 10-Q, as well as our other filings
with the SEC, and "Management's Discussion and Analysis of
Financial Condition and Results of Operations" in our most recent
annual report on Form 10-K and our recent quarterly report on Form
10-Q, copies of which may be obtained by visiting our Investor
Relations website at www.rclinvestor.com or the SEC's website at
www.sec.gov. Undue reliance should not be placed on the
forward-looking statements in this release, which are based on
information available to us on the date hereof. We undertake no
obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
View original
content:http://www.prnewswire.com/news-releases/royal-caribbean-comments-on-liquidity-actions-and-2020-outlook-301020645.html
SOURCE Royal Caribbean Cruises Ltd.