Richard Fain Royal Caribbean Royal Caribbean top executive Richard Fain reportedly sold 20,000 shares of Royal Caribbean (RCL) stock this week for a total amount of approximately $2,500,000.

In a transaction this past Monday, November 13th, he sold his shares at an an average price of $123.76, for a total value of $2,475,200.00. CEO Fain officer reportedly now owns 895,416 shares of his cruise company’s stock, valued at around $110,816,684.16. 

In August 2017, Mr. Fain sold over $24,000,000 of Royal Caribbean stock. 

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Photo Credit: Royal Caribbean Press Center

Richard Fain Adam Goldstein Royal Caribbean CruisesRoyal Caribbean President and Chief Operating Officer (COO) Adam Goldstein (photo, to the right) sold 120,000 shares of his company’s cruise stock on August 2 and 3, 2017.  The stock was sold at an average price of $118.21 for a total sale of $14,185,200.00, according to the SEC.  

This follows the sale of RCL stock by CEO Richard Fain earlier in the week, where he collected $24,406,075.98. Cruise executives Goldstein and Fain, who often sell big blocks of company stock in tandem like this, together sold over $38,500,000 in RCL stock last week. 

Following the sale, COO Goldstein still owns 191,252 shares of RCL stock, valued at $22,607,898.92. The sale was disclosed in a document filed with the SEC

After the sales last week, Mr. Goldstein and Mr. Fain now own over $134,000,000 of RCL stock.

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Photo credit: Royal Caribbean press center.

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?

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Arnold DonaldCruise Industry News reports that Carnival Corporation recently confirmed in a SEC filing that it had extended CEO Arnold Donald’s employment agreement for an additional year.

You can see the original terms of his three year employment plan filed with the SEC in 2013 here.

Mr. Donald collected $9,373,908 in 2015.

The SEC also reflects in a seperate filing that on October 20, 2016, Mr. Arnold sold 91,813 shares of Carnival stock, totaling $4,285,142, in multiple trades at prices ranging from $46.51 to $46.99 for an average price of price of $46.70. Mr. Donald reportedly currently owns 532,340 shares of CCL stock which, at today’s value, is worth $24,892,218.40.

Mr. Arnold is generally considered to have done a good job guiding the cruise line after a disastrous series of groundings and engine room fires several years ago.  He has overseen Carnival while it invested attention and money toward the maintenance of its fleet of over 100 cruise ships; however, Mr. Donald remains susceptible to criticism by overworking and underpaying Carnival crew members.

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The Securities and Exchange Exchange Commission reported this past week that the president & CEO of Norwegian Cruise Line Holdings Ltd ("NCLH"), Frank Del Rio, bought 83,498 shares of NCLH at an average price of $35.94 a share. (Photo below, right, during interview on CNBC).

The transaction took place on on August 31, 2016.  The total cost of cruise stock purchased was $3 million. 

The price of the stock decreased to $35.61 by the end of the week. It is at a 52 week low. 

It was widely reported earlier last month that NCL had slashed its earnings forecast for this year and announced that it would miss its profit target for next year, because of "continued weak demand" for European travel, Brexit’s impact on the pound, and some U.S. consumers reconsidering Frank Del Rio NCLMediterranean cruises following ISIS-inspired violence worldwide.

Analysts say that its been a "choppy year" for the cruise industry in general, and for shares of Norwegian Cruise Line in particular. NCLH stock reportedly "retreated to levels last seen in mid-2014." Frank Del Rio’s $3 million cruise stock purchase, according to Wolfe Research analyst Jared Shojaian, is "the largest open market purchase by a cruise-line executive in history."

Bloomberg says that Del Rio is attempting to demonstrate confidence in NCL to "sail through choppy waters."

It is a move similar to Royal Caribbean’s Chairman Richard Fain who bought 29,190 shares of RCL stock, in a series of trades for an average of $68.5161 per share, worth nearly $2,000,000. Cruise executive Fain made the transaction shortly after his cruise line’s stock price dropped substantially following the release of Royal Caribbean’s second quarter earnings. But in Fain’s case, unlike Del Rio’s, the cruise stock quickly bounced back over 6.5 %, earning the cruise executive a one-day profit of around $140,000. 

Del Rio certainly has boatloads of money to buy stock. In 2015, he received almost $32,000,000 in total executive compensation.

The SEC states that he directly and indirectly holds 919,173 worth of his cruise line stock. The SEC forms reveal he owns 451,171 shares directly. He indirectly owns 27,875 shares through a family trust and the SEC forms state that he indirectly holds 304,373 and 135,754 shares through investment limited liability corporations.  The total shares are worth over $34,000,000 at the current depressed stock prices. The Norwegian Cruise Line stock price hit a high last year of $64.27 a share which, at that price, would be worth a total of nearly $60,000,000 to Del Rio.

It’s no wonder that cruise passengers freak out when NCL nickel and dimes them with room service charges, increased gratuties and high-end restaurant cover charges.

Yes, cruise executives pocket an obscene anount of money. It’s funny money, I say, at a time when crew members are working harder and longer than ever before for less and have no job security.  

Interested in "fat cat" cruise executives? Read Andy Stuart – No Wonder He’s Smiling (NCL), Micky Arison Sells $433,700,000 Worth of Carnival Stock (CCL), and Cruise Executive Richard Fain Hits the Jackpot Again (RCL). 

Photo Credit: CNBC

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Richard FainYesterday, Royal Caribbean’s Chairman and CEO Richard Fain bought 29,190 shares of RCL stock, in a series of trades for an average of $68.5161 per share, worth nearly $2,000,000, according the to an article in Seatrade and SEC forms.

Today, with the RCL stock up over 6.50% from yesterday’s close, his $2,000,000 worth of shares purchased yesterday is now worth $2,139,627, for a nice one-day profit of around $140,000.

The SEC forms indicate that he owns 1,068,881 RCL shares directly and 426,912 indirectly which at the current price of $73.30 is worth $109,6416,269.  

Mr. Fain purchased the stock one day after his company’s stock price dropped more than 6% following the release of the cruise line’s second quarter earnings. 

Mr. Fain previously sold 80,516 shares of RCL stock last October at $98.80 per share for a total value of $7,955,335.00.

Mr. Fain collected $9,388,569 in total compensation last year.

Interested in the issue?  Read: Cruise Executive Richard Fain Hits the Jackpot Again.

Photo Credit: Linkedin 

Richard Fain Adam Goldstein Royal Caribbean Cruises President and Chief Operating Officer (COO) Adam Goldstein sold 90,000 shares of the cruise line’s stock today.

Mr. Goldstein sold the shares at $98.88 per share for a total value of $8,898,804.

Mr.Goldstein last sold RCL stock in July when he sold 4,184 shares at at $91.08 per share for a total value of $381,094.19.

At that time, he joined other cruise line executives dumping RCL stock. Royal Caribbean chairman Richard Fain sold 151,032 shares of his cruise line’s stock for $13,650,151 at an average price of $90.40 a share. Royal Caribbean’s General Counsel and Chief Compliance Officer Bradley Stein sold 2,402 shares of the company stock for for a total value of $218,748.70. These insider traders sold $14,249,993 of company stock last summer.

October 27, 2015 update: Royal Caribbean Chairman & CEO Richard Fain sold 80,516 shares yesterday. The Insider Trading Report said that the insider selling transaction was disclosed on October 26, 2015 to the Securities and Exchange Commission. The shares were sold at $98.80 per share for a total value of $7,955,335.00. Together, cruise executives Fain and Goldstein sold $16, 854,139 worth of Royal Caribbean stock yesterday and over $30,000,000. since July. 

According to the DFN, "following the completion of the transaction, the chief operating officer (Mr. Goldstein) now directly owns 253,153 shares in the company, valued at $25,031,768.64."

October 29, 2015 updateRoyal Caribbean’s Vice President Harri U. Kulovaara reportedly sold 8,228 shares of RCL stock on October 27th at an average price of $100.32, for a total of $825,432.96.

Royal Caribbean Cruise StockYesterday, Royal Caribbean chairman Richard Fain sold 151,032 shares of his cruise line’s stock for $13,650,151 at an average price of $90.40 a share. President and Chief Operating Officer Adam Goldstein sold 4,184 shares at at $91.08 per share for a total value of $381,094.19. Royal Caribbean’s General Counsel and Chief Compliance Officer Bradley Stein sold 2,402 shares of the company stock for for a total value of $218,748.70.  In sum, these insider traders sold $14,249,993 of company stock.

A little over 10 days earlier Royal Caribbean’s Freedom of the Seas burst into flames as the cruise ship approached Falmouth, Jamaica. The ship burned for one and one-half hours and destroyed all of the insulation around the exhaust stack from the bottom deck to the fifteen deck. Many passengers, crew members and maritime experts believe that the fire may have started due to the installation of a scrubber system on the cruise ship and the welding process to accomplish the work. Royal Caribbean is not saying, of course. 

The cruise lines has also been criticized for downplaying the fire, saying that it was just a "small fire" which was contained in the lower mechanical spaces and it was quickly extinguished, all patently false statements as we have demonstrated in video and photographs. To make matter worse, the cruise ship sailed onto the next port without a post-fire inspection by the flag state (Bahamas) or the classification society. This ship never should have sailed on without a rigorous inspection after the fire. The photographs clearly show that the ship sustained major damage. The photographs and first hand observations by the crew confirm that the fire destroyed the insulation around the exhaust stack and this presented a grave potential danger to the ship’s passengers and crew. 

My opinion is that the Royal Caribbean cruise executives effectively misled the public about the fire in order to maintain the stock’s improved performance. The company shares have rallied 46.38% in the past year. On July 31, 2015, the shares had rallied to one year high of $90.88 compared to a one year low on October 15, 2014 of $52.32.

If the executives had shut the ship down in Jamaica for the mandatory SOLAS inspection, this would have resulted in tens of millions of dollars spent by the company on lodging, airfare of all passengers back to Miami and cruise refunds to over 4,000 people which would have had a material negative effect on the company’s stock.  Did the executives put their financial interests ahead of passenger and Royal Caribbbean Freedom of the Seas Firecrew safety? Absolutely they did, in my opinion. 

What do these executives really think about the stock value now that the fire is out and the cruise line has dodged, so far, a publicity fall-out?  One analyst said that "Mr. Richard’s trade could mean only one (thing): that he’s a pessimist when it comes to the Company’s prospects and its stock price."

Fain & company bamboozled the public with the "small fire" hoax. I suspect that the executives thought that it was time to cash out and put some more millions in their accounts before the truth comes out. 

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"Mad Money" host Jim Cramer is a fan of Carnival Corporation (CCL).

He used to associate the word "disaster" with Carnival Cruise Lines. Between the Costa Concordia sinking, engine room fires, the Triumph "poop cruise," passengers sick with norovirus, the Arab Spring – it "seemed the company was doomed," says CNBC.

But Carnival has enjoyed a turnaround with its stock hitting new highs. 

I think its a tad late to get in on the CCL run, plus it takes only one Carnival cruise ship hijacked or attacked to send all cruise stock falling dramatically. But its always fun to watch Cramer ramble on in his unique way.

 

Carnival Corporation Chairman Micky Arison reportedly just sold 10,000,000 (million) shares of Carnival stock for approximately $433,700,000 (million).

The stock transaction was a "block sale" performed by a trust to benefit Arison. All of Arison’s shares reportedly are held either directly or indirectly in various trusts.

By June of last year, Arison had unloaded over $490,000,000 of his cruise stock in 2014

Micky ArisonBy my calculations he has sold well over $900,000,000 of his cruise line’s stock in the last 12 months. 

After this latest sale, the Arison family reportedly still has about 159,200,000 shares of Carnival stock. 

This vast wealth was generated by incorporating the cruise line in Panama and registering Carnival-owned cruise ships in places like Panama and the Bahamas in order to avoid all U.S. taxes, safety regulations, and wage & labor laws so Carnival can pay the bulk of its crew members peanuts.

Carnival-owned Costa paid just a little over $1,000,000 in fines after the Costa Concordia disaster, which killed 32 people, in order to escape accountability in the criminal trial of Captain Schettino. 

Who says that money can’t justice?

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