RCL Share Price

[HS2BS]

All well and good for now securing $2.2billion credit(loan) - how are they going to pay it back?

 

Hal

[Wolf 8]

4 minutes ago, HS2BS said:

All well and good for now securing $2.2billion credit(loan) - how are they going to pay it back?

 

Hal

 

Over the long run they'll pay it back by selling cans of Bud at the bar for $7.75 plus gratuity and specialty dining to folks who've already paid for dinner.  I'm being a bit tongue-in-cheek but as things normalize RCL still has an incredible business model.  Another thing to remember is that those ships burn insane amounts of fuel each day and a today crude is below $24 a barrel.

[HS2BS]

Or are the going to use the cash deposits that folks are putting down now for those April 10th cruises forward?  
People have short memories about bad things, but cruising in the foreseeable future will never be the same!! Those over 70 rule out, high prices will limit a lot of would be multiple cruisers to just a smaller amount then they use to do.

Hal

[SunNFunCruzer]

49 minutes ago, HS2BS said:

 

Or are the going to use the cash deposits that folks are putting down now for those April 10th cruises forward?  
People have short memories about bad things, but cruising in the foreseeable future will never be the same!! Those over 70 rule out, high prices will limit a lot of would be multiple cruisers to just a smaller amount then they use to do.

Hal

 

 

I wouldn't be celebrating the increasing stock price too soon.

 

The CDC just released its updated findings from the Diamond Princess and they found that the CoronaVirus lived on surfaces in the staterooms of both symptomatic and asymptomatic passengers for 17 days ~after~ the cabins were emptied.  17 days on surfaces!  

 

If that's true, it's no wonder the virus spreads so easily on a ship from cruise to cruise.  As I said on a previous thread, if this is proven true, I don't see how any cruises or cruise lines can sail in April or May out of the US with the current infection rates. And I'd expect all stock prices will fall... again.

 

https://www.cnbc.com/2020/03/23/cdc-coronavirus-survived-in-princess-cruise-cabins-up-to-17-days-after-passengers-left.html

 

I hope the lesson learned is for all these corporations to save cash for a rainy or sick day.

 

 

[npcl]

3 hours ago, HS2BS said:

All well and good for now securing $2.2billion credit(loan) - how are they going to pay it back?

 

Hal

From the loan terms RCL seems to have pledged one of its ship owning subsidiaries (100% equity and trademarks) if it defaults.

[HS2BS]

That probably means that Celebrity is collateral for the loan

Royal Caribbean has many more ships then Celebrity - 26 ships and 6 in build

other holdings are:

Azamara - 3 ships(older)

pullminatur - only own 49%

Silver seas - 1 ship

 

Hal

[npcl]

1 hour ago, HS2BS said:

That probably means that Celebrity is collateral for the loan

Royal Caribbean has many more ships then Celebrity - 26 ships and 6 in build

other holdings are:

Azamara - 3 ships(older)

pullminatur - only own 49%

Silver seas - 1 ship

 

Hal

Someone pointed in in another stream that it reads equity of, not equity in.  And that some of Celebrity's ships have their own Corporate structures.  So that it appears to be some ships owned by Celebrity that is being pledged, not the line as a whole.

[tntornadox]

As I recall, RCI's Brilliance of the Seas used to be its own operating entity. Older brochures and such alluded to that fact in the fine print.

[PhoenixCruiser]

As I recall, RCI's Brilliance of the Seas used to be its own operating entity. Older brochures and such alluded to that fact in the fine print.

I thought that was true but when she started to sail out of San Juan that changed.

We were on one of her early sailings out of San Juan and it was our worst cruise ever.

Sent from my SM-N950U using Tapatalk

[verizon]

Dead cats bounce.

[josh.vincent.180]

2 hours ago, verizon said:

Dead cats bounce.

Shorts covering, thats why the big bounce.  Once this airs out and next week they cancel thru May 15th it will start going lower again.

[verizon]

I still think is hard for them to survive without government bail out.

US most likely won't bail them out since they are not registered under US flags 

[HS2BS]

RCL’s loan - a must read

 

”The company’s obligations under the loan agreement are guaranteed by our wholly -owned subsidiaries, Celebrity cruise holdings Inc. ... and will secured-by our trademarks and a pledge of 100% of the equity interests ....”

Read this in the second paragraph of the load agreement

https://www.sec.gov/ix?doc=/Archives/edgar/data/884887/000110465920037377/tm2012810-1_8k.htm

 

Hal

[JimInBuffalo]

Today the stock rose 30% after 2 board members purchases $100 million each of a $2.2 billion loan according to Reuters.One of the board members, Alexander Wilhelmsen is the largest individual shareholder with 11% of the stock.

It appears that he may know something we don’t!

[NutsAboutGolf]

Suspended global operations through May 12 and Alaska until July 1st.

Edited March 24, 2020 by NutsAboutGolf

[HS2BS]

Notice that the announcement was made after the market closed!

 

Hal

[josh.vincent.180]

2 hours ago, JimInBuffalo said:

Today the stock rose 30% after 2 board members purchases $100 million each of a $2.2 billion loan according to Reuters.One of the board members, Alexander Wilhelmsen is the largest individual shareholder with 11% of the stock.

It appears that he may know something we don’t!

That he is 90 years old billionaire, one of the cofounders and doesnt care if he goes broke.

 

Also just got the email for cancellations til May 11th, I am doing refund on April cruise and holding off for full payment til I have to for September.

Edited March 24, 2020 by josh.vincent.180

[wrk2cruise]

51 minutes ago, NutsAboutGolf said:

Suspended global operations through May 12 and Alaska until July 1st.

 

To limit confusion global cancellation is through May 11 resuming on May 12.  Here is the text from the letter they sent regarding our cancelled sailing.

 

"Given the gravity of the public health crisis confronting the world, we have decided to extend the suspension of our global cruise operations through May 11^th; we will suspend our Alaska sailings through July 1^st, as the region will remain closed to cruise ships through the early summer.  "

 

[garyl62]

1 hour ago, HS2BS said:

Notice that the announcement was made after the market closed!

 

Hal

And after hours trading saw it jump even after today's increase.  As of 7:10PM EDT 3.24.20

[Moby Jones]

RCL over $41 right now. I bought stock in all three of the big boys as a medium to long term hold. Just hoping I can actually take advantage of the shareholder OBC at some point. Not sure if they'll all continue with it in its current form at least. 

Norgegian are recovering well at the minute too. 

[XuGator]

Props to those who bought RCL in the 20s and low 30s as it has almost doubled from that in a week. Thankfully there were many who bought into the fear mongering and bankrupt doomsday predictions that drove the stock down for the rest of us.

[Moby Jones]

2 minutes ago, XuGator said:

Props to those who bought RCL in the 20s and low 30s as it has almost doubled from that in a week. Thankfully there were many who bought into the fear mongering and bankrupt doomsday predictions that drove the stock down for the rest of us.

 

I wondered if some of the doomsdayers were deliberately trying to deramp the stock price waiting to jump in. 

I guess if we see them ramping the sock in the future we'll know! 

[NutsAboutGolf]

The stock is up in anticipation of the stimulus package, simply comes down to when they can sail again, the longer they can't, the more the stock will fall.

[ECCruise]

36 minutes ago, XuGator said:

Props to those who bought RCL in the 20s and low 30s as it has almost doubled from that in a week. Thankfully there were many who bought into the fear mongering and bankrupt doomsday predictions that drove the stock down for the rest of us.

Well, there were the fundamentals....which are still there.

But if you believe it was fear mongering, have at it.

[Baron Barracuda]

22 hours ago, JimInBuffalo said:

Today the stock rose 30% after 2 board members purchases $100 million each of a $2.2 billion loan according to Reuters.One of the board members, Alexander Wilhelmsen is the largest individual shareholder with 11% of the stock.

It appears that he may know something we don’t!

What those board members purchased was secured debt, not stock.  Big difference.