Sara Hinkson, email: [email protected]

The Cruise Industry: A Troubling Spiral

Recent events in the cruise industry paint a grim picture of an industry seemingly spiraling out of control. Royal Caribbean, a major player in the market, reported a significant 40% drop in net income for the first quarter of this year, citing the Costa Concordia tragedy as a contributing factor. However, CEO Richard Fain downplayed the long-term impact of the incident, stating, “We did not expect the impact of the tragedy to be long term, and we are seeing evidence the effects are waning.”

Despite Fain’s reassurances, subsequent cruise disasters have continued to make headlines. The Costa Allegra experienced a disabling fire just a month after the Concordia incident, floating perilously close to waters frequented by pirates. These incidents understandably create unease among families considering cruise vacations. Even satirical pieces like Andy Borowitz’s “Citing Safety Concerns, **Somali Pirates Refuse to Board Cruise Ships – Fires, Capsizings Top Pirates’ Concerns” resonated with cruise enthusiasts, highlighting the growing skepticism surrounding cruise safety.

The Star Princess scandal added fuel to the fire when the cruise ship passed by a disabled fishing boat, resulting in the tragic deaths of two young men. Princess Cruises, owned by Carnival, faced severe backlash as the public learned of the cruise ship’s apparent indifference to the distressed boat and pleas for assistance from passengers.

The month began with disturbing reports of a Carnival security officer and housekeeping manager allegedly strip-searching a girl on the Carnival Sensation, including making her remove her tampon. These incidents raise serious concerns about the conduct within the industry.

While Fain was quick to point fingers at his competitor (Carnival) for Royal Caribbean’s sinking profits, he omitted mentioning the Azamara Quest’s serious engine fire that disabled the vessel. Despite declining bookings and increased operational costs, Fain still pocketed a substantial $5,900,000.

CBS suggested that the declining profits at Royal Caribbean were due to passengers being “spooked by the high profile cruise problems.” Adding to the industry’s woes, an engine room fire broke out on Royal Caribbean’s Allure of the Seas, marking the 80th cruise fire in the last 22 years. The Miami Herald, typically supportive of the cruise industry, relayed the cruise line’s PR statement that the fire was “small and quickly extinguished,” leaving many unconvinced.

Even more alarming was a story that the Miami Herald chose not to cover: a Cunard cruise line youth counselor admitting to sexually abusing 13 boys on three Cunard Cruise ships over four years. The lack of media coverage on such a shocking revelation raises questions about the industry’s accountability and the safety of passengers, especially children.

With cruise executives earning exorbitant salaries compared to their staff and numerous incidents of accidents, indifference, and even criminal activities, the cruise industry appears to be careening out of control. The focus on profit over passenger safety and the industry’s failure to address and rectify these issues raise serious concerns about its future.

The United States hospitality industry received a major boost in 2011, as the country set a new all-time high for international visitor arrivals. According to fresh data from the U.S. Commerce Department, over 62.3 million overseas tourists visited America last year, an increase of 4.2% compared to 2010.

This influx of foreign visitors substantially benefited the U.S. economy. Total spending by international tourists rose 13% to reach $152.4 billion for the year. The lion’s share of this spending ($115.7 billion) went towards food, hotels, retail, transportation, entertainment and other tourism-related goods and services. The remaining $36.7 billion consisted of payments to U.S. airlines for international airfare.

The travel boom was fueled by growth from both traditional and emerging markets. As usual, Canada and Mexico accounted for over half of all international arrivals in America, reflecting the ease of access for our immediate neighbors. But the U.S. also enjoyed rising visitation from overseas travelers, who are especially coveted by the tourism industry. Overseas visitors tend to take longer trips and spend more per day than those from neighboring countries. In 2011, overseas arrivals increased by 5.8% to 27.9 million, representing 44.8% of all foreign visitors to America. This share has been steadily rising over the past decade.

When looking at world regions, Western Europe remained the largest source of overseas tourists by far. Nearly 12 million Western Europeans visited the U.S. in 2011, thanks to America’s historic ties with countries like the United Kingdom, Germany, and France. There are concerns however that Europe’s ongoing economic crisis could hamper future growth from that region.

Therefore, tourism officials were encouraged by the strong performance in 2011 from several fast-growing, long-haul markets. Arrivals from South America, for example, surged 15.6%. Australia and New Zealand sent 13.5% more visitors. Eastern Europe and the Middle East also posted double-digit growth at 11% and 10.2% respectively.

Among individual countries, China registered the biggest jump with arrivals soaring 36%. Brazil and Australia also recorded impressive double-digit increases. Meanwhile, arrivals from Japan declined slightly, resulting in more modest 3.2% growth for Asia overall. But momentum continues to build from China and throughout the Asia-Pacific region.

Within the top 10 source markets, the United Kingdom was a notable laggard. The U.K. has long been America’s largest overseas tourism market. But arrivals remain well below their peak of 4.7 million in 2000. The U.K. sent just 3.8 million visitors to the U.S. in 2011 as the country struggled with economic malaise.

In summary, international tourism hit new heights in the U.S. during 2011 across metrics like visitor volume, market share, spending, and arrivals from high-potential regions. This growing global demand presents a major opportunity for America’s travel and hospitality sectors.

Do Travelers Still Avoid Flying on September 11th?

In the years immediately following the tragic events of September 11, 2001, many air travelers were extremely hesitant to fly on the anniversary date of the attacks. But over time, has this reluctance to fly on 9/11 persisted?

In 2002 and 2003, the two years after the attacks, airlines reported significantly reduced bookings and passenger loads for flights on September 11th specifically. To encourage wary travelers, some carriers dramatically slashed their flight schedules for that date and even offered free tickets to those willing to fly. On the anniversary day itself, airports across the country saw air traffic plunge by as much as 50% compared to normal levels.

However, as the years passed after 9/11, this marked hesitance to fly on the anniversary date steadily declined among American air travelers. Data from the Bureau of Transportation Statistics shows the typical seasonal dip in air travel demand during the month of September was much more pronounced in 2002 and 2003, but had returned to normal pre-9/11 levels by 2005.

There is some evidence indicating ticket prices are slightly lower for September 11th flights, likely due to marginally reduced passenger demand on the anniversary date. The travel website Expedia reports this trend of cheaper 9/11 airfares lasted until approximately 2009 or 2010 before disappearing altogether. This year in particular, Expedia says September 11th is already slated to be the most popular and busy air travel day of the entire month.

Meanwhile, an analysis conducted by the airfare comparison website FareCompare found no tangible difference in ticket prices between flights this coming Sunday on 9/11 and those departing the weekends right before and after. So last-minute deals sparked specifically by 9/11 fears seem very unlikely at this point.

The extreme hesitance to fly on the anniversary of 9/11 in the immediate years after the attacks has widely faded over the last decade. September 11th no longer deters or disrupts air travel patterns across the country like it did in those early years. The emotional trauma of the date has diminished enough that most Americans once again feel comfortable flying on 9/11.

In the midst of the holiday season, a rare white Christmas turned into a logistical challenge for many travelers across the Southern United States as airlines grappled with the need to cancel hundreds of flights due to unexpected snowfall. The situation unfolded against the backdrop of an unusual weather forecast, predicting snow in regions that don’t typically experience such wintry conditions.

The National Weather Service issued alerts for the Washington, D.C. region, anticipating a significant snowstorm with projections ranging from 6 to 10 inches beginning on Sunday. This wintry weather extended its reach to New York and Boston, where overnight temperatures were expected to drop into the 20s, accompanied by brisk wind gusts of up to 30 mph.

Airlines, such as Continental Airlines, were quick to respond to the impending weather challenges, preemptively canceling 250 flights departing from Newark Liberty International Airport near New York City. In a joint release, Continental and United Airlines acknowledged the likelihood of weather-related delays and cancellations, particularly at United’s hub at Washington Dulles International Airport and other northeastern airports. Both carriers demonstrated flexibility by waiving fees for one-time changes in affected areas, encouraging passengers to utilize online channels for making necessary adjustments.

While the South rarely experiences a white Christmas, the Carolinas saw a picturesque holiday landscape with snowfall in Asheville, N.C., extending to Raleigh and eventually reaching the coast. Winter storm warnings were issued, projecting up to six inches of snow in central North Carolina, more in the mountainous regions, and a lesser amount on the coast. South Carolina, too, braced for a transition from rain to snow after nightfall. This marked a historic event, being the first Christmas snowfall for the Carolinas since 1989 and a notable occurrence for Columbia, the first significant Christmas snow since weather records began in 1887.

Asheville faced particularly challenging conditions with heavy snowfall at a rate of about an inch per hour. Mountain roads became impassable for all but four-wheel drive vehicles, and the National Weather Service warned of the potential for up to 10 inches of snow by Sunday morning, surpassing the previous Christmas Day record set in 1969.

North Carolina’s Lieutenant Governor, Walter Dalton, declared a state of emergency as the state’s Highway Patrol reported numerous calls, primarily accidents, due to snow and icy conditions. In the South Carolina Upstate, a mix of rain and light snow in the late afternoon did not immediately pose road problems, according to Highway Patrol Lance Cpl. Bill Rhyne.

In Nashville, where travelers were anticipating smooth Christmas journeys, some were met with unexpected challenges. Flights, including those through Atlanta, were canceled, leaving passengers like Heather Bansmer and Shawn Breeding to spend much of Christmas Day in separate airports.

The impact of the rare white Christmas extended further up the Eastern Seaboard, with Delaware preparing for a substantial foot of snow. Winter storm warnings were issued in various parts of the state, with forecasts indicating accumulations of eight to twelve inches. Eastern Pennsylvania, including Philadelphia and its suburbs, braced for similar conditions, with predictions of 8 to 12 inches of snow, accompanied by strong winds of 20 to 30 mph and gusts exceeding 40 mph. Authorities strongly advised against unnecessary travel, emphasizing safety precautions.

Emergency management officials in Washington, D.C., urged residents to prepare for the approaching snowfall. The D.C. transportation department initiated pre-treatment of roads, and the Metro system placed crews on standby to handle potential snow removal from rail station entrances and platforms.

As the snowstorm traveled south from the Midwest, motorists faced challenges on Christmas Eve. Winter weather advisories were in effect from western Tennessee to the Carolinas and from West Virginia to Alabama. Delta Air Lines, a major carrier, announced plans to cancel 500 weather-related flights nationwide, with a significant impact on the Atlanta hub. Passengers were notified in advance, resulting in relatively empty terminals as many chose not to risk travel.

Despite some skepticism and chuckles from passengers in Atlanta, where snowfall began Saturday afternoon, airlines like Delta and AirTran extended flexibility by waiving ticket-change fees for affected flights. The unpredictable weather also impacted cities like Pensacola, Florida, where Jena Passut faced uncertainties about her return trip amid the snow.

The unexpected white Christmas, with its logistical challenges and travel disruptions, unfolded against the backdrop of an overall increase in holiday travel. The Air Transport Association anticipated 44.3 million people on U.S. flights between December 16 and January 5, reflecting a 3 percent increase from the previous year. However, this remained below pre-recession travel volumes. The AAA predicted a 3 percent rise in overall holiday travel, with more than 92 million people planning trips of more than 50 miles by January 2, with the majority opting for driving.