Cruise CEO's Cash In Carnival Stock

Caribbean PrincessThree cruise CEO's sold their Carnival (CCL) stock a week ago for a combined total of nearly $9,500,000, according to Market Digest.

On December 29,2016, Stein Kruse, the CEO of Holland America Group, Alan Buckelew, the Chief Operations Officer of Carnival Corporation, and David Bernstein, the Chief Financial Officer and Chief Accounting Officer of Carnival Corporation each sold 60,664 shares of Carnival stock at $52.11 per share for a total value of $3,161,201.00.  

Mr. Bernstein has been the CFO and Senior Vice President of Carnival Corporation since July 2007 with oversight of all finance, accounting, treasury, insurance, tax and investor relations functions. Mr. Buckelew, who was recently appointed to the Chief Information Officer of Carnival Corporation, previously served as the CEO of Princess Cruises from June 2007 to November 2013 and its President from February 2004 to November 2013.

The DOJ recently fined Carnival Corporation $40,000,000 for widespread discharge of oily substances, falsification of log books and lying to the U.S. Coast Guard regarding five cruise ships operated by Princess Cruises over an eight year period from 2005 through 2013. The Carnival owned cruise ship operated by Princess Cruises which were involved in the scandal are the Caribbean Princess, Star Princess, Grand Princess, Coral Princess and Golden Princess.

The issue arises what the cruise executives knew about the long standing "magic pipes" and financial irregularities associated with certain Princess Cruise ships having lower operating costs associated with not having used the vessels' oil-water separators and avoiding the costs associated with offloading and disposing the waste oil in shore-side facilities. Did these executives really have no idea that these Princess ships were engaged in these environmental crimes?

Have a thought?  Please leave a comment below or join the discussion on our Facebook page.

Shocking News: Carnival Incorporates in the U.S. & Subjects Itself to U.S. Tax, Labor, Wage, Safety & Environmental Regulations

In an exclusive story, Cruise Line News has learned that cruise industry giant Carnival Corporation recently incorporated its business in the United States (in the state of Delaware). Carnival intends to announce this historic development tomorrow, April 2nd, at Carnival's headquarters in Miami.

Since 1972, Carnival has incorporated its business and registered its cruise ships in the country of Panama. For over 40 years, Carnival cruise ships have flown the flag of Panama in order to avoid the onerous safety regulations, excessive labor laws, unreasonable environmental laws, and high taxes of the United States of America.

Cruise Law News' discovery of this historic event came about when prominent maritime lawyer Jim Walker bumped into Carnival's Chairman Micky Arison at court side when Arison's championship basketball team, the Miami Heat, won another game. Maritime ace lawyer Walker asked Arison: "Micky, if Dwayne Wade and LeBron James earn several hundred million dollars from Carnival and pay tens of Mickey Arison Miami Heat Carnival Cruisemillions of dollars in U.S. taxes, don't you think it is fair that Carnival - which earns over 15 billion dollars a year in cruise ticket sales - pays its fair share of U.S. taxes?"

Perhaps it was the euphoria of the Heat beating the Portland Trailblazers by two points in a close victory, but Micky was ecstatic. "Yes, let's do it!" he said handing maritime lawyer Walker a half-eaten hot dog and three-quarters of a warm Bud Light which a Miami cheerleader handed Micky in the first quarter of the previous game a few days earlier.

While quickly consuming the beer and hot dog in the excitement of the moment, expert cruise lawyer Walker happened to have U.S. articles of incorporation which he handed to Micky to sign as well as U.S. flags to fly on the Carnival fleet of cruise ships.

Arison has been under intense pressure lately following fires, collisions, sinkings, poop-cruises, pirate-attacks, flounderings, Concordia-disasters, norovirus outbreaks and a Jon Secada concert which have ruined the last 37 Carnival cruises.  Senator Jay Rockefeller recently called Arison a "scallywag" on national TV. Rockefeller challenged Arison to pay his fair share of U.S. taxes on the billion-dollar bounty his foreign-flagged cruise ships collect from the U.S. taxpaying citizens on the high seas.

Micky commented that he was embarrassed that his father Ted, the founder of Carnival Cruise Lines 40 years ago, denounced his U.S. citizenship in order to avoid paying some 10 billion dollars in U.S. taxes.

Arison admitted that he felt guilty selling 1% of his Carnival stock for a $395,000,000 profit while suspending the crew member's retirement benefits.

"I want to make certain that Carnival pays one hundred % of our U.S. tax obligations (estimated to be over $5,000,000,000 a year) plus be subjected to the most rigorous U.S. safety, wage,and labor laws and the most stringent U.S. environmental regulations, Micky announced over the arena's PA system! "I want Carnival Cruise Line to be synonymous with Old Betsy - the U.S. Stars and Stripes - what the U.S. stands for! Its time that indigent crew members from India and Nicaragua who earn $500 working 360 hours a month be entitled to the full benefit of U.S. employment laws, a 401(k) retirement fund, severance pay, and a college fund for their children!" 

While appreciative of Arison's change of heart, sources say Walker was miffed that Arison demanded that he pay $6 for the remains of the hot dog and $7.50 for the rest of the Bud Light.

Trending Now: Carnival Cruise Line's Reputation Circles the Drain

One of the interesting things about social media is that there are numerous services which track "what's tending now." Certain applications can also track words or phrases which are dominating the news.

I like to use TweetDeck as well as Monitter to follow trends involving the cruise industry.

"Carnival cruise" has been trending all week at a frantic pace. And the news is not good.

Carnival Cruise ship NightmareThe cumulative effect of the recent cruise ship fires, power failures and images of passengers on disabled cruise ships complaining about toilets over-flowing has turned Carnival's reputation into a joke.

Carnival's "fun ships" have been ridiculed on Saturday Night Live, David Letterman & Jay Leno, and featured in MAD Magazine (see below). 

Consider some of the comments which are twirling on Twitter right now:

Packing for my Carnival cruise: tent, sleeping bag for deck, iodine pills, generator, Cipro.

We all lose if CBS doesn't film the next Survivor aboard a Carnival Cruise Ship

Maybe we should shut down Abu Ghraib prison and send the terrorists on a Carnival Cruise

I wouldn't go on a Carnival cruise right now even if it were free

One of the secrets to Carnival Cruise’s unsinkable business model: free Coast Guard rescues

They have so many cruise commercials because Carnival is just sinking

Even with the 50% discount from Carnival it will be difficult to go on that cruise line again

Carnival cruise boats are shit LOL dont know why ppl go on them...

Decisions. Decisions. Trying to decide whether to take a Carnival Cruise or just stay at home and shit my pants

My new punishment for my 12 year old daughter: Do your chores or I'll send you on a Carnival Cruise

if its a carnival, there's a 96.13% chance something will go wrong and youll get a free cruise out of it... Have fun!

Last week I posed a question on Twitter whether Carnival was the Wal-Mart of the high seas? Several people said no way - don't insult Wal-Mart, Carnival is more like K-Mart.

What's the funniest comment about Carnival you have heard on Twitter this week? Join the discussion on our Facebook page.

MAD Magazine - Carnival Cruise Ship