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Old March 3rd, 2008, 06:02 PM
Rev22:17 Rev22:17 is offline
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Admiral
 
Join Date: May 2003
Location: Massachusetts
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Debra,
Quote:
Hi Norm: We clearly disagree about the long term prospects for RCL stock and it certainly can be said that both our opinions are just that -- just the opinions of two people and nothing more. My Gardner may very well have much better financial advice than either one of us. I never thought anybody would buy "pet rocks", so that shows how good my crystal ball is working! Sometimes I am reminded of a person who you can ask what time it is and they will tell you how to build a watch!

My opinion (with no ownership of any cruise line stock) as I said before, is that given the current world financial conditions and the current conditions and mechanical problems of some Celebrity ships that in my opinion RCL will not post above average growth going forward.
Yes, we have different takes. Nonetheless, the market tends to overreact to bad news. In the wake of the "9/11" attack, the price of Royal Caribbean Cruises Ltd. plummeted to about $13/share because, after all, nobody would travel outside the United States so the cruise industry was a-going to die... or so many investors thought! Of course, those of us who recognized the overreaction and thus took advantage of the "fire sale" have been rewarded quite handsomely.

I am not pushing Carnival, parent company to Princess (sorry I can't give the NYSE code!) but the benefits of the Princess past passenger program out weigh any stockholder credit from Celebrity. That coupled with the Carnival stock shareholder program would make the deal even better. I however would never take it upon myself to encourage anyone to buy any stock based on my recommendation.[/quote]

Carnival Corporation (NYSE: CCL) and Carnival Plc. (LSE: CCL) have a weird corporate structure that effectively causes both companies to share a common fate. They have the same directors and corporate officers, and each owns a "special voting share" in the other that effectively maps the share of each company's stockholders into the other so that they effectively operate as one company. The "special voting share" becomes an absolute veto if the other company's stockholders reject a proposal on a matter that requires separate approval by the shareholders of each company. Thus, shares of both companies are effectively equivalent and will remain so unless the shareholders of both companies vote to terminate the current relationship.

Quote:
Originally Posted by You
The best stock advice that you will see on this thread is this; if you are thinking about investing in the stock market seek advice from a qualified professional, who is unbiased, and not from any anonymous person on the Internet. If the stock professional happens to recommend a cruise line stock then you are in luck with those on board shareholder credits!!!!!
I agree.

Of course, it would not be imprudent to ask one's broker or other financial advisors specifically about Royal Caribbean Cruises Ltd. and specifically about the additional return that the shareholder benefit would provide.

Norm.
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