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Princess cutting aback on Alaska Cruises 2010


FredS

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About a lawsuit concerning the Alaska cruise ship tax of $50 pp.

 

From here: http://*******.com/yc96pcv

 

"...several major cruise lines, including Carnival2.gif, Norwegian and Princess, have already announced decisions to trim itineraries and pull ships from the state for 2010."

 

"Specific cause(s) aside, it’s estimated that the cutbacks will mean that up to 100,000 fewer cruisers will visit the state next year. And that was before Carnival Chairman Micky Arison told Wall Street2.gif analysts last week that his company (which also owns Princess and Holland America) was likely to pull even more ships from Alaska in 2011."

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About a lawsuit concerning the Alaska cruise ship tax of $50 pp.

 

From here: http://*******.com/yc96pcv

 

"...several major cruise lines, including Carnival2.gif, Norwegian and Princess, have already announced decisions to trim itineraries and pull ships from the state for 2010."

 

"Specific cause(s) aside, it’s estimated that the cutbacks will mean that up to 100,000 fewer cruisers will visit the state next year. And that was before Carnival Chairman Micky Arison told Wall Street2.gif analysts last week that his company (which also owns Princess and Holland America) was likely to pull even more ships from Alaska in 2011."

 

 

Someone posted a similar quote a few months ago.

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About a lawsuit concerning the Alaska cruise ship tax of $50 pp.

 

From here: http://*******.com/yc96pcv

 

"...several major cruise lines, including Carnival2.gif, Norwegian and Princess, have already announced decisions to trim itineraries and pull ships from the state for 2010."

 

"Specific cause(s) aside, it’s estimated that the cutbacks will mean that up to 100,000 fewer cruisers will visit the state next year. And that was before Carnival Chairman Micky Arison told Wall Street2.gif analysts last week that his company (which also owns Princess and Holland America) was likely to pull even more ships from Alaska in 2011."

 

Serves ex-Princess Sarah and her gold mining cronies right!!!

 

The cruiselines can see that they're going to lose customers if governments keep taxing people on everything. Good for Carnival Corp for having the foresight to see what was coming down the tubes. Now if all those lines are withdrawing Alaskan service, the State will be losing more $$$$ commercially than they ever could have dreamed for with the "Head Tax".

 

Question is...will Carnival Corp go as far as selling off their Princess Lodges?

 

Ciao for now!!!

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The truth of the matter is that Alaska is a "mature" market. That doesn't mean for seniors.. that means..... "been there, done that"...and there is less of a demand for Alaska sailings.

 

With less demand, the cruiselines have to drop their prices. The cruiselines want to make more money. With fewer berths to fill, they protect their pricepoints.

 

It's the simple law of supply and demand.

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We recently watched a show on the travel channel highlighting Alaska's tourism, the new Governer wants more travel revenues, meaning more travel to Alaska and specifically focused on cruise ships. Though I don't remember him actually talking on the program, the narrator claimed that the new governer wanted to lessen the haed taxes, and lessen cost for both cruise lines and cruise passengers making Alaska a much more attractive vacation destination. All of this was brought about by the cruise lines pulling their ships from the Alaskan Itineraries. I hope this is all true as the rates for Alaska are quite high, though it really doesn't stop anyone, it would be nice to splurge the money elsewhere. I wish I could remember the name of the show, it was very interesting, and really showed you some spectacular views of Alaska, really makes you want to go :p

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The truth of the matter is that Alaska is a "mature" market. That doesn't mean for seniors.. that means..... "been there, done that"...and there is less of a demand for Alaska sailings.

 

With less demand, the cruiselines have to drop their prices. The cruiselines want to make more money. With fewer berths to fill, they protect their pricepoints.

 

It's the simple law of supply and demand.

I think you hit the nail on the head. Alaska is literally saturated with cruise ships and has limited opportunities for anything other than the traditional milk run cruises. I think it boils down to a lack of itinerary options and the relatively high cost for air fare if one wishes to go to Anchorage.
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Why a lawsuit?:confused:
The lawsuit was filed on behalf of (I think) seven cruiselines. The point of the lawsuit is that the money raised since the law went into affect three years ago is not being used in cruise ports nor anything to do with cruising. Alaska is spending most of the money on their state infrastructure far away from ports which doesn't benefit cruise passengers who are paying for this. Kind of like if NY were to impose a head tax on cruiselines and use the money to improve the NY State Thruway north of Albany. The cruiseline's contention is that because of this, $46 of the $50 is illegal (allowing that $3 is going towards cruise ports and infrastructure around and near cruiseports.)
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The truth of the matter is that Alaska is a "mature" market. That doesn't mean for seniors.. that means..... "been there, done that"...and there is less of a demand for Alaska sailings.

 

With less demand, the cruiselines have to drop their prices. The cruiselines want to make more money. With fewer berths to fill, they protect their pricepoints.

 

It's the simple law of supply and demand.

Perfect answer, pricepoints get all "jackedup" when taxes of that magnatude get thrown into the mix:mad:

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The reason for a lawsuit is related to a recent US Supreme Court ruling regarding the taxation of oil tankers in Valdez, Alaska:

 

http://www.usatoday.com/travel/cruises/item.aspx?type=blog&ak=68499344.blog

 

More details at:

 

http://www.juneauempire.com/stories/061609/sta_451477705.shtml

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Wouldn't mind if one of the ships that normally did Alaska would be re-routed for the RT Hawaiian cruise (like the Regal did a few years ago).

They kinda did that in fact! :D but instead of taking away from Alaska, they took away from Mexico with a few Hawaii trips on the Sapphire, we were floored! Love that ship! I just wonder, maybe they aren't filling up the MR cruises? And maybe ther still filling up the Alaska cruises regardless? I don't know but with those head taxes, it makes a balcony stateroom quite expensive. We are considering using Carnival for our Alaska trip instead. For the price of a balcony stateroom with Princess on the 10 day Alaska itinerary, we can have a balcony on Carnival and do a b2b with a few hundred left over, and with it being Alaska, I'm sure they wont be doing any of the tacky poolside competitions, and there wont be an abundance of children.

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Perhaps it's time that the cruiselines got into some new ports on the MR. I think folks are getting tired of the same old tourist traps (PVR, MZT, ACA, SJD (Cabo), ZLO) and that itinerary changes need an injection of change.

 

For example, I believe HAL is already doing calls at Loreto on the Sea of Cortez. Now if they were to combine that with a port of call (Topolobampo for Los Mochis) on the east side of the Sea of Cortez that allowed a day trip on the Copper Canyon Railway, what a hell of a shorex that would be.

 

Carnival Corp needs to shed the staid regular run of the mill ports of call and diversify if they are to continue drawing passengers to the MR.

 

Ciao for now!!!

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Why a lawsuit?:confused:

 

How would you feel about a $100 tax to drive or ride a bus into the state next to yours? Would that be restricting citizens freedom of movement?

 

Alaska has few roads and air or sea travel is common. I do not know the answer to this question, but I understand the precedence it sets.

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I thought Princess and some other lines announced the decrease in the Alaska run was because of the changing market needs in Europe and the Caribbean. The law suit happens to be coming along at the same time but is not related.

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The reason that Princess and other lines are cutting back in Alaska starting in 2010 is that there has been over capacity on this itinerary for at least the past several years...throw in the downturn in the economy and then you have the 2 for 1 promotions like we saw early this season. Finally all of the lines seem to broken away from the "me too" mentality and are redeploying some of their ships next year to itineraries where they have a better chance of making a dollar. While I am not as familiar with the the Mex Riv itinerary, I have read in the press that the same principles came into play for 2011 in having the Sapphire make some trips to Hawaii. There are a lot of sea day on that intinerary where they make money and not nearly the competition as there is on the MR.

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How would you feel about a $100 tax to drive or ride a bus into the state next to yours? Would that be restricting citizens freedom of movement?

 

Alaska has few roads and air or sea travel is common. I do not know the answer to this question, but I understand the precedence it sets.

 

Make them toll highways and the people who use them can pay for them :D. Toll highways are not a new thing...check I-95 in Florida. But then again we're talking cruises.

Premised on that analogy it would probably be allright if the total funds collected went into upgrading passenger terminals/quays in the state.

 

Ciao for now!!!

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I thought Princess and some other lines announced the decrease in the Alaska run was because of the changing market needs in Europe and the Caribbean. The law suit happens to be coming along at the same time but is not related.
I agree, but I hope the cruise lines are successful. I'd like to see various governments' feet held to the fire over all the extra fees charged to people who commit the awful sin of choosing to visit. Some even have the temerity to charge departure taxes (UK).
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