Norwegian Cruise Line Holdings CEO Del Rio Takes Home $10.5 Million in 2017

Norwegian Cruise Line Holdings Ltd. (NCLH) reports that its CEO Frank Del Rio's total compensation for 2017 was $10.5 million.  

Cruise executive Del Rio received compensation valued at $2.9 million in 2016, down from almost $32 million in 2015. According to Seatrade Cruise News, Mr. Del Rio received compensation valued at $31.9 million in 2015, including nearly $17.8 million in stock options and $10.3 million in stock awards. His cash income was about $4 million including a salary of over $1.8 million, and a bonus of $1.9 NCL CEO Frank Del Riomillion. Other compensation of $140,651 included a cash automobile allowance, tax preparation service and a country club membership.

HCLH's first quarter returns for this year include revenues of $1,293.4 million, and a 13.1% increase in passenger ticket revenues to $889.87 million. 

In an article in Skift today titled Norwegian Cruise CEO Sees No Signs of Recession, Del Rio disputed  the standard worry among cruise industry investors these days "that a recession might loom as the global fleet is growing, potentially leading to costly new ships with a public too cash-strapped to sail on them." 

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Interested in this issue? We suggest reading:

NCL CEO Del Rio on the Norwegian Breakaway Bomb Cyclone Fiasco: "Weather Can Be Unpredictable . . . (It's) All Good." 

NCL Imposes Keelhauling to Motivate Crew Members.

Photo credit: Frank Del Rio - Mark Elias/Bloomberg via Getty Images and Storify.

Regent Seven Seas Kicks Elderly Couple Off Explorer Cruise Ship

A reader of Cruise Law News sent me a article appearing today in the British newspaper, Daily Mail, titled Grandmother, 83, is kicked off her 6-star cruise for having a panic attack: Dementia sufferer and her veteran husband claim they were thrown out of their £8,000 suite after she fell ill.

84 year-old grandmother Marguerite Hayward was traveling with her husband, war veteran Fred Hayward, on board the Regent Seven Seas Cruises Explorer when she awoke late one night suffering from a panic attack linked to her dementia. The ship doctor and nurse responded to the incident along with the chief of security who appeared in the couple's luxury suite, reporting yelling at Mrs. Hayward to "keep quite," according to the tabloid. The medical team injected Mrs. Hayward with a sedative and she Regent Seven Seas Cruises Explorerquickly fell asleep "with her husband cuddling her." 

The following morning, Ms. Hayward appeared "calm and relaxed," remembering nothing about the preceding night's events. The couple was about to go to breakfast when the ship's officers summoned them to a meeting. The officers informed them that the ship had reported the incident to the home office in Miami which ordered the couple to immediately leave the ship. 

The Haywards were handed a medical bill from the ship infirmary of over $1,300 and then, after quickly packing, ordered into a tender to be taken ashore to the Italian port of Sorrento. The ship doctor reportedly informed the Italian doctors that he suspected that Ms. Hayward was suffering from "paranoid schizophrenia," a diagnosis which Mr. Hayward denied applied to his wife. 

The Italian doctors put Mrs. Hayward on a drip and placed her on oxygen, and she quickly became unconscious, according to her husband. The Hayward' son learned of his parent's plight and traveled to the hospital in Sorrento where he found his mother "sedated, on a drip and wearing a t-shirt covered in blood." Her son arranged for Mrs. Haywards to be flown via air ambulance back to the U.K, where she was hospitalized for stress and trauma, with severe bed sores and extensive bruising. 

The Haywards' sons have written to CEO Frank Del Rio, a cruise executive who has earned a reputation of penny-pinching and being indifferent to bad press, who reportedly did not reply.

This is not the first time that a cruise line booted an elderly passenger with dementia and her husband off of a ship.

Several years ago, Celebrity sent a woman with dementia and her husband, involuntarily from the Millennium cruise ship. Like this case, the cruise line made no effort to communicate with the passengers' family or emergency contacts, or to transport the couple back home. The cruise line essentially abandoned the couple ashore.

Carnival handled a similar situation better after the Carnival Legend disembarked a guest ashore in Cozumel after he had a "minor Alzheimer's episode, leaving his stateroom alone at 4 a.m. for a cup of coffee."

Carnival claimed that they found the husband disoriented and the ship doctor declared him to be a danger to himself, so the ship disembarked the couple off the ship at the next port. But when a news station contacted Carnival, the cruise line "quickly admitted that the situation was mishandled" and reimbursed the cost of the cruise and the airfare home.

The passenger tickets drafted by the cruise line's lawyers state that the cruise lines can disembark passengers for any reason. However, from a public relations point of view, I would think that the couple should have been treated more sensitively and respectfully. The cruise line should have provided its guests, at a minimum, with transportation back home and a full refund of their costly fares.

Photo credits: Daily Mail