On the Call: Royal Caribbean Cruises CEO Thain

By The Associated Press

posted: 121 DAYS 17 HOURS AGO

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-Like much of the hospitality and travel industry, Royal Caribbean Cruises Ltd. was dealt a blow this spring by the outbreak of the swine flu, which ate into revenue and profits as nervous travelers canceled plans.

During the second quarter, the cruise line blamed the virus for a dragging down results by 5 cents per share and said it expects it to continue impact the bottom line for the rest of the year.

During a conference call Wednesday with investors, Chairman and CEO Richard Thain discussed how the virus, also known as H1N1, may continue to affect operations for the company that owns Royal Caribbean International, Celebrity Cruises, Pullmantur Cruises, Azamara Cruises and CDF Crosiers de France.

QUESTION: What you are doing to mitigate the current and potentially future impact of swine flu outbreaks on board your cruise ships?

RESPONSE: "People panicked at first and then gradually people accepted it. We accept it just like the seasonal flu. And I think most people are expecting to see some resurgence of it and we're prepared for that. We monitor people coming onto the ships and we work very closely with the Centers for Disease Control and with the governments of the various islands, in particular in the Caribbean and our destinations in Europe and elsewhere. In most cases, we in the industry have arrangements, so that we all know exactly what to do if there is an incident on ship and how to isolate that and make sure it doesn't spread to others on the ship."

2009-07-29 14:18:49