Will Costa Concordia sail again?
Should the ill-fated cruise ship sail again?
A damage assessment authorized by Costa parent company Carnival Cruise Lines is currently underway to determine if Costa Concordia can be repaired.
A single cruise ship is an investment of several hundred million dollars and it’s understandable that a cruise line would want a fallen ship up and running if possible.
Costa Concordia obviously would be out of service for a substantial time if repairable, at least through the remainder of 2012. That down time likely will result in a loss of income in the $85-$95 million range, not to mention millions in other costs. And let’s not forget the million-dollar lawsuits already filed along with the barrage expected to come.
The tragedy has negatively impacted Carnival bookings across its entire fleet with a double digit drop … and that doesn’t even take into account the reduction in Costa bookings.
“Costa’s booking activity is difficult to interpret because of the significant re-booking activity stemming from the loss of the ship’s use and related redeployments; however we believe it to be down significantly,” according to the filing submitted today to the U.S. Securities and Exchange Commission.
The report goes on to say that Carnival does not expect the tragedy to have a long-term impact on business.
Which is why Costa Concordia will sail again if physically fit.
People have relatively short memories. While it may take awhile to get people back onboard it’s going to happen. And you’ll likely get a few morbid folks who’ll want to be in the unique position of sailing on a ship that has seen the bottom of the ocean.