Rumours are flying that Carnival Corp is close to ordering new ships and that Princess Cruises is in the frame for a new-build.
If it's true, I'm guessing it won't be one as that doesn't make financial sense so you can be sure at least two more little Princesses are on the way - or big Princesses more likely given the last new Princess ships were Ruby, Emerald and Crown, each with capacity for just over 3,000 passengers.
Given all the investment Princess has been making in its ships of late, adding adult-only Sanctuary spaces and piazza-like atriums, you can also be sure that any new ships would have these signature features.
I'm not surprised at the new-build rumours. I reported in Travel Weekly a few weeks ago that shipyards are facing empty order books from 2012 and are getting desperate for business. And desperation, as we have seen with all the discounting on the high street during the recession, does wonders for prices as far as buyers are concerned.
I suggested that if cruiselines believe the industry will continue to grow, as they say they do, they need to order new tonnage. And now, with prices down, would seem a good time.
UBS equity analyst Robin Farley says shipbuilding prices in euros now are at the same level as five years ago and that Carnival ordered ships at those prices in the past.
If the orders are placed this year, we would start to see the new ships from 2012.
Jane Archer
