Tag Archives: Carnival Cruise Lines

Costa Concordia not dead yet; will sunken ship be resurrected?

Posted on by alanwhitt

Will Costa Concordia sail again?

Should the ill-fated cruise ship sail again?

Alan Whitt

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.

Costa $15K compensation offer not enough as lawsuits pile up

Posted on by alanwhitt

What would you do?

You sailed on ill-fated Costa Concordia, got off the ship while avoiding physical injury and now the cruise line is offering you a refund and nearly $15,000 for “loss of property and emotional distress.”

Alan Whitt

Do you take it?

Probably not, especially if you stand to reap millions from a sea of lawsuits already filed and others expected to come – on both sides of the Atlantic Ocean.

That’s the way it goes in today’s litigious society.

One suit filed Friday in Florida, home of parent company Carnival Cruise Lines, seeks $10 million actual damage and $450 million punitive. And that’s with just six people named as plaintiffs.

With more than 3,200 passengers affected by the sinking, Friday’s suit will mushroom into a class action suit in short order. The New York law firm behind the suit claims to already represent “hundreds of passengers” who were impacted by the tragedy.

Passengers contacted by various media are already rejecting the compensation offer in its current form but are willing to negotiate with the cruise line.

Passenger Mark Plath, who said he lost $6,000 worth of possessions and had to swim to shore with his wife, told CNN … “I am not a fan of class-action lawsuits, but I think that Costa needs to take individual experiences and actions into account.”

Plath wants Costa to stop treating passengers like folks standing in a cruise ship buffet line and instead strike separate deals as it is doing with passengers who were injured and the families of the dead.

What would you do? Do you take the money … or hold out for larger compensation. Drop me an email at alan@allurequest.com, share your thoughts, and I’ll use the best comments in a future blog.