Norwegian, Carnival, Royal Caribbean Extend Losses As CDC Encourages Cruise Ban


What happened

In an order Thursday, the CDC extended the suspension of “cruise ship passenger operations capable of carrying at least 250 passengers in waters” until September 15.

“If cruise ship passenger operations were allowed to resume unrestricted, passengers and crew on board would be at increased risk of COVID-19 infection and those working or traveling on cruise ships would place an unnecessary substantial risk to health workers , port staff and federal partners and the communities they return to, “the federal agency said in a statement.

According to CDC data between March and July, there have been 2,973 coronavirus or coronavirus-like illnesses on cruise ships since March, including 34 deaths.

Because it is important

Cruise companies have also voluntarily delayed the resumption of operations, with the risk that the spread of the coronavirus will remain especially high in confined spaces.

Norwegian announced last month that it would suspend travel until October, and rival Carnival also suspended operations at least until mid-September.

Miami-based Norwegian said it intended to raise $ 925 million through debt offerings and $ 250 million through share offerings as it seeks to keep business afloat during the pandemic.

Price action

Carnival shares traded 1% less in the after-hours session at $ 15.78 on Thursday, after closing the regular session, 9.7% less at $ 15.78.

Royal Caribbean fell 0.4% to $ 53.94. It had closed the regular session 7.6% lower at $ 53.94.

Norwegian fell 0.7% more from the lower 15.6% close to $ 15.61 in the regular session.

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