Royal Caribbean Cruises has increased its revolving credit capacity by $550 mill bolstering the company’s liquidity in the light of the spreading virus.
In addition, the company is taking action to improve its liquidity by reducing capital expenditures, operating expenses and taking other actions to improve liquidity by at least a further $1.7 bill this year. RCCL is also planning reductions to the 2021 capital expenditures and operating expenses.
Given the recent governmental actions and the heightened impact and uncertainty of changes in the magnitude, duration and geographic reach of COVID-19, RCCL is withdrawing its first quarter and full-year 2020 guidance, the company said.
“These are extraordinary times and we are taking these steps to manage the company prudently and conservatively,” said Richard Fain, Chairman and CEO (pictured). “I am proud of the work our teams are doing to address this unprecedented situation.”