Over the weekend, the U.S. Centers for Disease Control (CDC) delivered crushing news to the cruise industry.
Renewing and extending its "No Sail Order" first issued on March 14, 2020, the CDC ordered cruise ships operating out of U.S. ports to remain in port until one of the following circumstances is met:
- The expiration of the Secretary of Health and Human Services' declaration that COVID-19 constitutes a public health emergency.
- The CDC Director rescinds or modifies the order based on specific public health or other considerations.
- A period of 100 days elapses from the date the March 14 order was first published in the Federal Register.
Whichever of these things comes first determines the first date that cruise lines can resume cruising.
Image source: Carnival Corporation.
Responding to the CDC's order, this morning Carnival Cruise Line, a subsidiary of Carnival Corporation (CCL 1.13%), announced it is "cancelling more cruises as we extend our pause in North American operations, with plans to resume on June 27, 2020."
The company added it will be using "this extended pause to continue to take care of the crew that remains on board and continue to bring non-essential crew home," and that it is "communicating directly with our guests and travel agent partners and have worked to minimize the disruption by automating the process so that guests and travel agents can manage their options online."
Other subsidiaries of Carnival Corporation, such as Princess and Holland America, do not appear to have yet issued similar announcements in response to the CDC's order.
In early afternoon trading, Carnival Corporation stock is down 7.7%.
