Right now we do have the advantage of printing money, and having deadly weaponry to fend off any creditors, but Cruise Lines don't have that option.
So I wondered how a Cruise Line that has no income and burned through Billions of their own money and also Billions of borrowed money could survive, without declaring Chapt. 11 Bankruptcy, while they reorganize.
It looks like a form of a PONZI SCHEME is a way to keep on going.
from the 2 para article- Royal Caribbean Group today announced that it has commenced a private offering of $1.25 billion aggregate principal amount of senior unsecured notes due 2028 to be issued by the company as it continues its ongoing fundraising."
Tom here-How lucky do you feel? Maybe by 2028 they can borrow and/or make enough money to pay you back. -Tom
They can just raise the price of beverages a little bit. Might as well make it an even $20 for a can of Shasta.
Well, paying off old expensive debt with new cheap debt will improve cash flow to the bottom line. I don’t think it’s a ponzi scheme really just ‘refinancing’ with the risk accruing to the lenders.
I think that piracy is the answer.
Merchant raiders.
Pull up next to some Chinese ship and invite them over for the free midnight chocolate buffet.
Then, when they’ve stuffed themselves with chocolate, the spa attendants jump out and put oatmeal over their eyes.
We did it before and we can do it again.
“Haul up the skull and crossbones and make some fresh oatmeal!”
Yeah. Corporate bonds are a “ Ponzi scheme”
This short article is more about finances than Cruising.
It involves a leading cruise line and how they stay operational. -Tom
“unsecured notes”
Wow.