'Preposterous' new rules from CDC put summer restart in jeopardy, says top cruise executive
The comeback of big-ship cruising out of U.S. ports could be delayed. Again.
So says Frank Del Rio, the president and CEO of the world's third-largest cruise company, Norwegian Cruise Line Holdings.
Speaking with Wall Street analysts on Thursday to discuss the company's quarterly earnings, Del Rio suggested new guidelines for cruises issued late Wednesday by the U.S. Centers for Disease Control and Prevention (CDC) were a setback for the industry and could result in a longer timeline for a restart out of U.S. ports.
"We need more clarity on whether the numerous and onerous requirements [of the new guidelines] would apply to [all] voyages," Del Rio said. "But at first glance, it appears the path forward is a bit rockier and a bit steeper than originally expected."
In recent weeks, cruise executives had become more hopeful that cruising out of U.S. ports could restart by mid-July, citing recent communications with the CDC. The agency has been blocking cruise lines from sailing out of U.S. ports since March 2020, citing worries about the spread of COVID-19.
But Del Rio said he now saw no chance of Norwegian Cruise Line Holdings brands resuming cruises out of U.S. ports in July.
Norwegian Cruise Line Holdings is the parent company of Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises.
As reported late Wednesday by TPG, new CDC requirements for initial cruises out of U.S. ports buried in a lengthy "operations manual" posted on the agency's website late in the day included a long list of rules that could make it difficult for lines to restart cruising quickly or operate cruises that have any semblance of normalcy.
The requirements included mask-wearing mandates that go far beyond what has become the norm at land-based resorts in the U.S., including a requirement that sunbathers wear masks even when lounging outdoors in bathing suits by pools. This is despite the fact that the CDC also will require each lounge chair on outdoor decks to be separated by 6 feet for social distancing.
As Del Rio noted, the operations manual also called for mask wearing even while eating a meal, with passengers only allowed to dip their masks momentarily for bites.
"In between bites of your meal and in between sips of your beverage, you have to put on your mask, take off your mask," Del Rio noted with incredulity in his voice. "So nobody should order soup, because your mask might get sloppy. That to me is just preposterous."
Del Rio said Norwegian Cruise Line Holdings executives had a call scheduled with the CDC later Thursday where he hopes they would get more clarification on the new requirements.
He said he was hoping the CDC only would apply the new rules to cruise ships that sailed out of U.S. ports without a mandate that every passenger and crew member was vaccinated for COVID-19. Norwegian Cruise Line Holdings has announced all its ships worldwide would impose such a requirement through at least Oct. 31.
"I am disappointed at first read," Del Rio said of the new CDC guidelines. "It's not in the spirit of where the country is heading, where President Biden wants to open the country."
Del Rio noted that 70% of American adults are expected to be vaccinated by the beginning of July, when Norwegian Cruise Line Holdings had wanted to restart operations out of U.S. ports. He suggested the restrictions the CDC had included in the operations manual didn't fit with where the country was going to be a few months from now.
"We hope we're reading it wrong," he added. "We'll see what happens over the next few days as we reengage with [the CDC]."
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| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
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Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits. (Partner offer)Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.