Download
HTML Embed
HTML EMBED
Click to Copy

Latest Episodes

Download
HTML Embed
HTML EMBED
Click to Copy
Marketplace Morning Report
Download
HTML Embed
HTML EMBED
Click to Copy
Marketplace Morning Report
Download
HTML Embed
HTML EMBED
Click to Copy
Marketplace Morning Report
Download
HTML Embed
HTML EMBED
Click to Copy
Download
HTML Embed
HTML EMBED
Click to Copy
Make Me Smart with Kai and Molly
Download
HTML Embed
HTML EMBED
Click to Copy
Download
HTML Embed
HTML EMBED
Click to Copy
Marketplace Morning Report
Download
HTML Embed
HTML EMBED
Click to Copy
Marketplace Morning Report
Download
HTML Embed
HTML EMBED
Click to Copy
Marketplace Morning Report
Download
HTML Embed
HTML EMBED
Click to Copy
Sign up for "Econ Extra Credit with David Brancaccio" Here

Carnival Cruises changes captain

Adriene Hill Jun 25, 2013
Share Now on:
HTML EMBED:
COPY

Carnival Cruises changes captain

Adriene Hill Jun 25, 2013
Share Now on:
HTML EMBED:
COPY

Billionaire Micky Arison is having an interesting week. The basketball team he owns, the Miami Heat, just won its second NBA championship in a row. But he also just got pushed out as CEO of Carnival, the cruise company. Carnival’s shaking up its management structure after a series of debacles that hurt bookings this year and the company’s reputation.

A couple of assumptions, from someone who has never been on a cruise:

One, cruise ships should float: which wasn’t the case with the Costa Concordia, owned by Carnival, which wrecked a year and a half ago, killing 32 people.

And, two, cruise ships should have functional bathrooms: which didn’t happen on the Carnival Triumph earlier this year.

“These are really big anomalies,” says Matthew Jacob, an analyst at ITG Investment Research. He says, after the Concordia disaster, “it really caused a good portion of the potential cruising population to reconsider.” He says the Triumph debacle, on the other hand, had fallout that seemed to be localized to the Carnival brand.

Carnival Corporation’s newest earnings report seems to show Concordia is in the rear view mirror, maybe a little more than the bathroomless Triumph is.

Morningstar analyst Jamie Katz says if you look at fleet-wide bookings — excluding the Carnival brand — they were higher and at higher prices, “which indicates the other brands are surviving pretty well.” But bookings on Carnival Cruise branded ships are lower than last year at lower prices.   

Which means now might actually be a good time to take that cruise; that, and the fact Carnival says it’ll spend hundreds of millions of dollars to keep passengers safer.

If you’re a member of your local public radio station, we thank you — because your support helps those stations keep programs like Marketplace on the air.  But for Marketplace to continue to grow, we need additional investment from those who care most about what we do: superfans like you.

Your donation — as little as $5 — helps us create more content that matters to you and your community, and to reach more people where they are – whether that’s radio, podcasts or online.

When you contribute directly to Marketplace, you become a partner in that mission: someone who understands that when we all get smarter, everybody wins.