Carnival Vista cruises canceled to fix thruster

Carnival Cruise Line has canceled three July departures of the
3,934-passenger Carnival Vista to fix a propulsion problem. The Vista is a
relatively new ship that entered service in May 2016.

The problem left the ship only able to operate at reduced
speeds. Carnival said the Vista has been operating on revised itineraries the
last two cruises because one of its two azipod thrusters is not operating
normally.

The cruises canceled are the Vista’s July 6, 13 and 20
departures from Galveston, Texas. Guests will get a full refund of cruise fares
and any pre-purchased excursions.

Carnival is offering a credit of 100% of the fare paid
towards the cost of a future Carnival cruise. It has also offered up to $200
per person for independent air expenses or change fees.

“We sincerely apologize for the unanticipated
disruption to your vacation plans. We are deeply disappointed that we will not
be able to deliver the cruise we had planned for you,” a Carnival guest
letter said.

Carnival said the seven-day cruise scheduled to depart on
June 22 from Galveston will now be an eight-day cruise departing June 23.  The cruise scheduled for June 29 will now
depart on July 1 and will be a similar eight-day cruise. After that, the ship
will be out of service for 17 days while all azipod thruster bearings are
replaced.

In a conference call with analysts about 2019 second-quarter
earnings, Carnival Corp. CFO David Bernstein said fixing the problem will take
longer than it might otherwise have, because damage to the drydock at the Grand
Bahama Shipyard made it unavailable.

The drydock was damaged when a crane collapsed while making
repairs to the Oasis of the Seas in April.

In its second-quarter earnings statement, Carnival said 2019
earnings would be reduced by $62 million to $74 million by “voyage
disruptions related to Carnival Vista.”