Quest Grand Voyage around South America, 2023

[markham]

About the communication business, today the captain gave a noon weather update including the news that we would have a service call at King George Island. I would like to think that somehow the needed parkas will be brought on board. In the meantime we are in rough seas with the occasional dipping which leads to items crashing to the floor.

 

Happy and healthy sailing!

Edited February 4, 2023 by markham

[frantic36]

33 minutes ago, SLSD said:

I sure hope we will!  I am ready, but Mr. SLSD is not!  He has been pouring over the financial statement of Carnival (mostly just for fun  as he has some decades experience in this sort of thing and we are on the topic).  He tells me he will type up a short summary shortly.  He says it is all about "what is the cash, where is it and how is it being used."  

 

That will be interesting to read. My husband is in finance for ourselves and reads charts most days so I will get him to look over it.

[frantic36]

12 minutes ago, markham said:

About the communication business, today the captain gave a noon weather update including the news that we would have a service call at King George Island. I would like to think that somehow the needed parkas will be brought on board. In the meantime we are in rough seas with the occasional dipping which leads to items crashing to the floor.

 

Happy and healthy sailing!

 

Ariana in Colonnade said that one of the waiters managed to save a passenger who fell plus the wine bottle the waiter had in his hand. Much calmer in MDR for lunch though a few glasses fell.

[SLSD]

17 minutes ago, frantic36 said:

 

That will be interesting to read. My husband is in finance for ourselves and reads charts most days so I will get him to look over it.

We'll have to see what his observations are..  

Edited February 4, 2023 by SLSD

[SLSD]

Mr. SLSD offers these "casual observations"  from Carnival's new 10-K filed January 27th.  It is available on Carnival's website and on the SEC's Edgar website:

 

	11:33 AM (10 minutes ago)
to me

 

 

 

 

 

 

Certain observations on Carnival Corp.'s new Form 10-K (filed with the SEC on Jan. 27, 2023):

• As compared to prior 10-Ks, the company makes far more extensive disclosures as to risks and actions underway to address climate change and its consequences and all other risks.
• The MD&A is no longer contained in the text but rather occupies a footnote, numbered 13.
• Re footnote 13, begin with the Consolidated Balance Sheet. Of course, all figures for assets and liabilities are per GAAP or going-concern basis. 
  • Pertinently, the figures on Exhibit 13 show a decline of total assets from 53.3B to 51.7B. PP&E remained the same at $38B and change (after deducting $19B of depreciation), but current assets dropped from 10.1B to 7.4B, with cash falling from $8.9B to 4B and another $2B that was in "restricted cash" on the financial statement's November 30 closing date but has "became unrestricted in December 2022." The cash figure also includes "borrowings available under our Revolving [Credit] Facility."
  • The figures for liabilities show current liabilities in the aggregate remaining the same at $10.5B. But within that amount short term borrowings reduced from  $2.8B to 200MM, reflecting last year's refinancing into long-term debt. The current portion of LTD rose from $2.4B to 1.9B. Other components of this category went up relatively small increments. 
  • One component of net assets that is a good thing is "customer deposits," rising from $3.1B to 4.9B, reflecting more customers for cruises. (The MDA explains: "Our payment terms generally require an initial deposit to confirm a reservation, with the balance due prior to the voyage. Cash received from guests in advance of the cruise is recorded in customer deposits and in other long-term liabilities on our Consolidated Balance Sheets. These amounts include refundable deposits. In certain situations, we have provided flexibility to guests by allowing guests to rebook at a future date, receive future cruise credits (“FCCs”) or elect to receive refunds in cash. We have at times issued enhanced FCCs. Enhanced FCCs provide the guest with an additional credit value above the original cash deposit received, and the enhanced value is recognized as a discount applied to the future cruise in the period used.")
  • LTD went up with the refinancings from $28.5 to $32B.
  • Stockholder equity continued to decline, from $12.1B to $7B....stockholders, of course, occupy the lowest rung on the priority ladder.
  • Looking at the income statement, again these figures having been calculated under GAAP: net losses are $10.2 B in 2020, $9.5B in 2021, and $6B in 2022. So that is a good trend.
• Highlights of MDA discussion:
  • Expects increases in revenue in 2023 on a per passenger basis
  •  Expects improvement in occupancy on a year-over-year basis returning to historical levels in the summer of 2023
  • Believes stabilization of fuel prices around November 2022 year-end prices and continued stabilization of inflationary pressures on costs
  • "We have a substantial debt balance as a result of the pause in guest cruise operations and require a significant amount of liquidity or cash provided by operating activities to service our debt. In addition, the continued effects of the pandemic, inflation, higher fuel prices, higher interest rates and fluctuations in foreign currency rates are collectively having a material negative impact on our financial results. The full extent of the collective impact of these items is uncertain and may be amplified by our substantial debt balance."
  • "Based on these actions and our assumptions, and considering our $8.6 billion of liquidity including cash, restricted cash from the 2028 Senior Priority Notes which became unrestricted in December 2022 and borrowings available under our $1.7 billion, €1.0 billion and £0.2 billion multi-currency revolving credit facility (the “Revolving Facility”) at November 30, 2022, we believe that we have sufficient liquidity to fund our obligations and expect to remain in compliance with our financial covenants for at least the next twelve months from the issuance of these financial statements."
  •  The important disclosure about "working capital deficit" is:  "We had a working capital deficit of $3.1 billion as of November 30, 2022 compared to a working capital deficit of $0.3 billion as of November 30, 2021. The increase in working capital deficit was caused by a decrease in cash and cash equivalents, a decrease in short-term investments, an increase in customer deposits and an increase in current portion of long-term debt, and was partially offset by an increase in restricted cash and a decrease in short-term borrowings. We operate with a substantial working capital deficit. This deficit is mainly attributable to the fact that, under our business model, substantially all of our passenger ticket receipts are collected in advance of the applicable sailing date. These advance passenger receipts generally remain a current liability until the sailing date. The cash generated from these advance receipts is used interchangeably with cash on hand from other sources, such as our borrowings and other cash from operations. The cash received as advanced receipts can be used to fund operating expenses, pay down our debt, make long-term investments or any other use of cash. Included within our working capital are $4.9 billion and $3.1 billion of customer deposits as of November 30, 2022 and 2021, respectively. . . ."
  •  The MD&A ends with stock performance charts. The line is down and to the right across the last five years.
•   Everybody who is interested in Carnival Corp.'s financial status should read this Form 10-K report carefully and in its entirety. Do not rely on my observations.

 

 

 

 

 

ReplyForward

[florisdekort]

I’m reading on Seabourn Sailors that the jackets and boots issue on Quest is being resolved by Venture having left behind a supply at a research station in Antarctica, for Quest to pick up? If so, I have to admire to creativity… 

[frantic36]

We had a long Antartica briefing yesterday morning which was mandatory to attend as we have to know the strict protocols while going ashore. Iggy did a wonderful presentation, with clear slides, photos, videos and some humour to help. It was over an hour long and some will need to be repeated as I saw a few eyes closed to the end of the talk.I tried to post some pictures but internet is weak so photos won't upload to cruise critic. The good news is that I have resolved my download problem from iPhone to Mac so when internet is good enough I can post them.

 

To answer @florisdekort's question, yes there was jackets and boots delivered from Venture to a research facility via zodiac and then later that day when we arrived our zodiacs went out and picked them up and brought them back to the ship. So now my husband and others have their cold weather jackets. When connection permits I did get the fuzzy photo of them coming back in the zodiacs.

 

Just an aside I must admit I was surprised after the talk to hear a lady complaining to Iggy that she hadn't ordered anything because Seabourn hadn't told her to. I found that surprising as we got multiple emails reminding us and asking others later they said the same thing. In cases like this I wonder if it is a failure on Seabourn's part, the travel agent or if emails went to spam and thus the communication failure?

 

First zodiacs are heading out now with passengers.It is grey and cold out but the scenery is stunning.

 

[frantic36]

Yesterday's photos picking up the jackets etc. There were quite a few others around as well.

 

Todays scenery and the zodiac captains checking their vessels prior to taking passengers.

 

[hoya68]

Probably a question of little importance to most. On the leg from Santiago on to Antarctica, South Georgia and beyond are there formal nights and, if so, how dressy are the dressiest of passengers. Any tuxes? Thanks.

[Sunviking]

I boarded in Santiago on the 27th and to date we have had one formal night. I saw a couple of tuxes, not many. A number of ladies were dressed in sparkly tops.

[frantic36]

19 hours ago, hoya68 said:

Any tuxes? Thanks.

 

My husband wears a tux because he likes too and looks good in them, no cummerbund or vest though. A few other people we know also wear them. The formal night was the second night after leaving San Antonio and from what I can see on the schedule there isn't another one this segment. 

 

Last night in the MDR saw a definition of "elegant jeans" and they looked very similar to what my husband wears when we visit my sister's farm to help out.

[frantic36]

Yesterday we did our first landing at Portal Point. It was the first time, apart from one short walk in Alaska walking from helicopter to snow sled, we actually did a trek on the snow. We decided to attempt the hill and it was challenging and fun. I did manage to slip and land on my bottom once going back down the hill but could get up again easily. Sorry the photo is upside down.

 

The view at the top was worth it.

 

 

On the way up we saw this very relaxed Weddell Seal.

 

This landing was about the scenery not the wildlife though we saw the Weddell Seal, a Crab Eater Seal and some Skua birds.

Edited February 7, 2023 by frantic36

[frantic36]

Last night after dinner we saw some spectacular landscape as we sailed to our next destination 

 

 

This morning we woke early as we are in the first group starting at 8am to do an hour zodiac ride around some Islands. I can't remember the name but I will find out. We are keeping our coffee to only one this morning till after our ride, though it is looking very grey out there but hopefully visibility will improve.

[lincslady]

Lovely to be reminded about the Antarctic, and I am pleased that you are getting ashore; you really feel as if you are there when you get your big boots onto the snowy ground.

 

Keep reporting when you have the time in between all the important bits.

[frantic36]

There was discussion earlier about clothes layering so I took some photos of the three layers then the next including jacket and zodiac life vest. 

 

Not my most flattering photos. The gloves on the table finish it off. Surprisingly for me I found I was okay to take my gloves off briefly to take photos with my phone. My large SLR  the gloves were fine on.

[Sunviking]

I'm just chiming in to report where we are today since I managed to locate it on the map.  We're in Melchior Harbour, which is a small sheltered bay on the western side of the Antarctic Peninsula in the Palmer Archipelago.  Whoever named the little islands around us either wasn't very creative or else liked Greek, because they are called Alpha, Beta, Delta, Kappa and Gamma.  There's some useless information unless they happen to ask it in a Team Trivia game. 

[cadburysmom]

Loving these wonderful photos and thrilled for all onboard!

 

This is a top bucket list item for me so following along with great enthusiasm and envy.  Perfect timing too as upon my recommendation, my book club is reading Endeavor by Alfred Lansing...a "cruise" of an entirely different sort but reading their descriptions of the spectacular scenery coupled with your beautiful photos makes reading it again all the more meaningful.

 

Many thanks to all posting here for sharing this wonderful adventure with us. Very much looking forward to hearing more.

[Sunviking]

8 minutes ago, cadburysmom said:

Loving these wonderful photos and thrilled for all onboard!

 

This is a top bucket list item for me so following along with great enthusiasm and envy.  Perfect timing too as upon my recommendation, my book club is reading Endeavor by Alfred Lansing...a "cruise" of an entirely different sort but reading their descriptions of the spectacular scenery coupled with your beautiful photos makes reading it again all the more meaningful.

 

Many thanks to all posting here for sharing this wonderful adventure with us. Very much looking forward to hearing more.

We are fortunate to have an excellent expedition team onboard. I read Endurance by Lansing just before I came on the ship and was fascinated by it. One night I was fortunate to be invited to dine with a team member named Robert Egelstaff.  In the mid 1990's he and several other adventurers got sponsors to fund an attempt to recreate Shackleton's journey in the 23 ft long James Caird  from Elephant Island to South Georgia.  It was fascinating to listen to his tales of that trip.  I think he said the boat, which was built for their voyage and is an exact replica, is now in a museum somewhere in the UK.  Besides the spectacular scenery I'm seeing, I'm learning so much, an added bonus.

[cadburysmom]

6 minutes ago, Sunviking said:

We are fortunate to have an excellent expedition team onboard. I read Endurance by Lansing just before I came on the ship and was fascinated by it. One night I was fortunate to be invited to dine with a team member named Robert Egelstaff.  In the mid 1990's he and several other adventurers got sponsors to fund an attempt to recreate Shackleton's journey in the 23 ft long James Caird  from Elephant Island to South Georgia.  It was fascinating to listen to his tales of that trip.  I think he said the boat, which was built for their voyage and is an exact replica, is now in a museum somewhere in the UK.  Besides the spectacular scenery I'm seeing, I'm learning so much, an added bonus.

Oh wow...hearing of his experience firsthand must've been amazing. A rare opportunity for sure.

 

Thank you for sharing as I can't wait to pass this along.

My book club, (namely those members who actually read it, as the harsh realities make it a tough read at times), will find this very interesting.

[hoya68]

Your reports are much enjoyed and reassuring. Last November, we were on another "luxury" ship on an Antarctic cruise, which was pretty much ruined by lax COVID (fully vaccinated required, but those who showed up for boarding without proof were just tested), protocols, seven days COVID quarantine, and a very lackluster expedition team. We have previously sailed on the Quest two times and loved it. I am trying to convince my reluctant wife to try Antarctica again next year on the Quest. Can you describe the COVID protocols on this cruise. Are you aware of any COVID cases onboard? Hope these questions aren't bothersome.

[hoya68]

P. S. Our quarantine time was spent listening again to Endurance on Audible. Great narration and highly recommended. 

[lincslady]

Just looked you up on Cruisemapper - you have sunny weather and it is no colder than it is here in the UK (during the early hours of the morning).  And anchored what looks like a fair zodiac trip from shore.  I wonder if you have penguin babies to see, and how grown up they are; probably still balls of brown/grey  fluff.

 

It  is so nice for those of us who can't be there to picture it all.

 

 

[frantic36]

My husband managed to work out where we were on Google maps and I took a photo. Yesterday we were at Portal Point (yellow Pin) which is to the right of the photo near the white mass. Just under the mark W61'42'. We are guessing but we think the Captain took us into the bay near the white mass that evening where we got to see the white continent beautiful scenery.

 

As SunViking mentioned we are today in Melchior Harbour and zodiac around the islands. That is the yellow pin to the left just below the blue shading above W62'54'

 

@lincslady we did see some wildlife about 4 penguins and about 15 - 20 seals in two seperate groups. 

Perched on the rocks about midship is a little chinstrap penguin. We also saw a a Gentoo sitting quite comfortably near a fur seal but that photo is on my SLR. Unfortunately I didn't check my SD card reader to transfer to laptop and it is not working...Note to self check all photographic equipment properly prior to travel.🥴.

 

Here are some fur seals and the big grey one was apparently a crab eater. 

 

Polar Plunge today with apparently around 90 passengers and crew signed up. I will try and take photos and post tomorrow.

[frantic36]

4 hours ago, hoya68 said:

Your reports are much enjoyed and reassuring. Last November, we were on another "luxury" ship on an Antarctic cruise, which was pretty much ruined by lax COVID (fully vaccinated required, but those who showed up for boarding without proof were just tested), protocols, seven days COVID quarantine, and a very lackluster expedition team. We have previously sailed on the Quest two times and loved it. I am trying to convince my reluctant wife to try Antarctica again next year on the Quest. Can you describe the COVID protocols on this cruise. Are you aware of any COVID cases onboard? Hope these questions aren't bothersome.

Hi Hoya, It all seems so long ago when we started in Miami re Covid protocols. We had to provide either a PCR test or do an antigen self test with a time stamp photo of it and identification. We used Verifly but some I think just took the photo to check in. I can't remember the exact time but I think 3 days for PCR and 2 days for antigen. We then had to wear masks for 3 days while indoors both passenger and crew. We were then tested again by staff in the Club and returned to our room. We were told if we didn't have a phone call within that 15-20minutes we were free to leave our room. I saw only a handful of the tell tale tables outside the door for a short while.

 

Too be honest the main issue we have had on this voyage is influenza. It laid a quite a few of the staff including Jan Stearman out of action for awhile after San Antonio. After we did our first Antarctica briefing that was compulsory in The Grand Salon  with quite a few passengers coughing and blowing their nose, we have opted to just watch the broadcast in our room. We could have just got our name ticked off the first time then go back to our room to watch but I thought I should attend.

 

I hope this helps.

 

Julie

[hoya68]

Thank you, Julie. Enjoy the rest of the cruise.