July 29, 2002Carnival orders fourth ConquestCarnival Corporation has reached an agreement with Italian shipyard Fincantieri Cantieri Navali Italiani S.p.A. for the construction of a new 110,000-ton "Conquest-class" vessel for its Carnival Cruise Lines unit. The as-yet-unnamed 2,974-passenger vessel, to be built at an approximate all-in cost of $450-460 million , is scheduled for delivery in late fall 2005, approximately 14 months after the delivery of the third "Conquest-class" vessel, Carnival Valor.The attractive price offered by Fincantieri played a key role in the decision to add a fourth vessel to the series.The agreement with Fincantieri for a fourth "Conquest-class" vessel comes just days after Carnival Corporation Chairman and CEO Micky Arison toured the Carnival Conquest, currently in the final stages of construction at Fincantieri. "The Carnival Conquest is simply stunning," Arison said. "Joe Farcus has done an outstanding job designing the ship's elegant Impressionist-inspired interiors and there is no question in my mind that we have successfully taken the very best of Carnival's 'Spirit-' and 'Destiny-class' to create a new class of vessel that will set a new standard in cruise vacations. We're so confident in the success of these ships that we have committed a $2 billion investment in 'Conquest-class' alone." "We are very proud that Carnival has chosen Fincantieri to construct its magnificent new 'Conquest-class," commented Fincantieri Executive Chairman Corrado Antonini, "Fincantieri has built 13 cruise ships for Carnival Corporation and we are building 12 more which will usher in an exciting new era for our industry." "This order is particularly significant for Fincantieri, not only because it further strengthens our relationship with Carnival but it is also a clear signal that the market has recovered from the impact of the tragic events of Sept. 11," said Fincantieri CEO Giuseppe Bono. "Thanks to Fincantieri's 'cutting edge' expertise in shipbuilding technology, today the company has reaffirmed its position as a world leader in the cruise sector." Representing a brand new series, Carnival's "Conquest-class" ships will be the largest in the "Fun Ship" fleet. Each will feature Farcus' inventive, award-winning interior design and offer a number of expanded amenities and facilities, including the widest variety of entertainment and dining choices in keeping with "Today's Carnival" theme. Stretching more than three football fields in length , the 952-foot- long vessels will house an unprecedented 22 lounges, nightspots and bars, everything from pulsating dance clubs and three-deck-high, 1,500-seat theaters showcasing lavish Las Vegas-style revues to piano bars, jazz clubs, sports bars, wine and caviar bars, cigar bars and a host of live music venues. Additionally, 917 of the vessels' 1,487 spacious staterooms will offer an ocean view with 556 of those featuring private balconies. Outside cabins will measure a generous 220 square feet with 42 suites boasting 340 square feet of living space while 10 penthouse suites will offer 430 square feet of luxury.
THE MARINE LOG FEATURES CALENDAR FOR 2003
"The addition of four Holland America 'Vista-class' vessels will result in a 59 percent capacity increase over a three-and-a-half-year period, which is a more rational growth rate for an up-market premium brand," said Micky Arison, chairman and CEO of Carnival Corporation & plc.
The company has also stretched out the delivery of three cruise ships being constructed at Italy's Fincantieri shipyard. The vessels with adjusted deliveries include: Carnival Cruise Lines' Carnival Valor -- delivery adjusted from Sept. 2004 to Dec. 2004; Cunard Line's Queen Victoria -- delivery adjusted from Jan. 2005 to March 2005; and Holland America Line's fourth "Vista-class" vessel -- delivery adjusted from Oct. 2005 to Jan. 2006.
Carnival says the realigned newbuilding schedule demonstrates its flexibility, allowing it to maximize its newbuilding program especially when it encompasses multiple companies building ships at the same yard.
"We're less than two weeks into the new Carnival/P&O Princess combination and we are already working on optimizing asset utilization to benefit the brands and maximize returns for the group," said Arison.
"The reality is that we would have scheduled our deliveries differently had we been making decisions for this portfolio of brands two years ago. Slowing down the delivery schedule gives us a more rational and efficient timetable to absorb additional capacity. It is also a testament to our excellent relationship with Fincantieri, which has shown incredible flexibility in working with us in accommodating this new schedule. Eleven of our 17 newbuilds are under contract with Fincantieri and the level of cooperation they have demonstrated only serves to further strengthen our business partnership," Arison stated.
Commenting on the new order, Fincantieri's Chief Executive Officer Giuseppe Bono, said, "Carnival, Holland America and Princess, along with Costa Crociere and Cunard Line, are among our best customers. We are very pleased to work with Carnival Corporation & plc in adjusting its delivery schedule and look forward to continuing to deliver state-of-the-art vessels that will define the group's brands while providing excellent holidays for its guests."
Here's what the latest version of Carnival's newbuilding program looks like:
||Name||Starts Revenue Service||Passengers||Yard|
|Costa||Costa Mediterrannea||06/03||2,114||Kvaerner Masa-Yards|
|Princess||Island Princess||07/03||1.970||Chantiers de l"Atlantique|
|Cunard||Queen Mary 2||01/04||2,620||Chantiers de l"Atlantique|
|Carnival||Carnival Miracle||03/04||2,124||Kvaerner Masa-Yards|
|Princess||Diamond Princess||03/04||2,670||Mitsubishi Heavy Industries|
|Princess||Sapphire Princess||06/04||2,670||Mitsubishi Heavy Industries|