Carnival Finally Admits Something Investors Have Suspected for a While
Carnival (NYSE: CCL) has sounded a cautiously optimistic tone about its business in recent weeks. Management said in early May that demand is looking normal for cruises in 2021 and that most guests affected by COVID-19 cancellations have opted for ship credits over a full cash refund.
The cruise ship leader has also seen robust demand for the new debt it issued to help it navigate through a prolonged period of paused sailings. Carnival has added $6.4 billion of extra cash to the books since late February.
But this week the company announced new cost-cutting measures that confirm the business is enduring significant financial strain. The moves show that it could be a long time before Carnival's fleet is operating under anything approaching normal conditions.
Source Fool.com
