Carnival Cruises 2009 Annual Report Download - page 4

have achieved mainstream awareness of cruising in North America with our four brands serving the contemporary, premium and luxury
segments. We have also secured a solid foothold in Europe through our top-rated brands in the UK, Germany, Italy and Spain. In 2012,
we will have more than 100 vessels deployed around the globe—twice that of our closest competitor. We have achieved a powerful
global footprint and will continue our focus on expanding our already strong presence, but at a more measured pace.
SUSTAINABILITY
Sustainability is about preserving our environment, respecting our employees and communities, and returning value to our
shareholders. Sustainability is not a cost of doing business; it is a way of doing business.
Our environmental efforts are focused where they have the greatest impact. They include reducing our carbon footprint by lowering
energy use on our ships, preserving clean air and water by using chemicals responsibly while seeking environmentally friendly
alternatives. We also are reducing waste in our operations and managing the disposal of waste through comprehensive reuse and
recycling programs.
We demonstrate our commitment to employees by offering opportunities for development, rewarding performance, valuing diversity
and providing a safe and healthy work place. We take leadership roles in our communities, both in our homeports and in the
destinations we visit throughout the world.
Our company strives to create value for our shareholders while providing a positive impact on the world around us. We engage
employees, guests, suppliers, communities and other important stakeholders to magnify our impact.
THE ROAD TO RECOVERY
Confidence in the future earnings power of our global cruise brands, despite the current economic environment, was demonstrated by
our board of directors in January 2010 with its decision to reinstate our quarterly dividend at $0.10 per share. The dividend was
suspended last year at the height of the financial crisis. The suspension preserved liquidity and afforded us the financial flexibility to
fund capacity growth in 2009 while maintaining a strong balance sheet and high investment-grade credit rating. We are committed to
delivering sustainable cash returns to shareholders. Initiating the dividend at this level allows us to begin to return cash to shareholders
at the peak of our capital expenditure program in 2010. We expect to grow the dividend as our capital investment program slows
beyond 2010 and our cash flow increases.
Looking forward, we believe the inherent value of cruising, combined with consumers’ pent-up demand for travel in a recovering
economy, will create strong demand for cruise vacations. Stringent cost controls continue to drive down expenses, resulting in our
outlook for lower unit costs in 2010. We believe Carnival Corporation & plc is a better, stronger, more efficient organization than we
were just a year ago, leaving us well-positioned for the prosperity of an eventual worldwide economic recovery.
THANKS AND RECOGNITION
I would like to acknowledge Meshulam Zonis, who passed away last year. He was a long-time Carnival Cruise Lines executive who
was part of the team that founded the company in 1972. He was an original member of the Carnival Corporation board of directors
when we went public in 1987, and served on the board until 2003. His contributions to our company and industry were immeasurable.
Two other beloved members of the Carnival family also passed away last year—Captain Carlo Chiarella and Chief Engineer Raimondo
Nicita, both of whom were with the company from its inception in 1972. These three outstanding individuals each played a vital role in
the creation, growth and success of our company and we are grateful for their dedicated service. They will be missed.
I thank our shareholders for your continued support as well as our talented management teams and 85,000 employees, both shipboard
and shoreside, for your hard work and dedication in providing our guests with memorable vacation experiences. I also express my
appreciation to Carnival’s board of directors for their guidance and support during a most challenging year. And finally, none of this
would have been possible without the millions of guests who entrusted their cherished vacation time to us. Thank you and we hope to
welcome you aboard our ships again soon.
Sincerely,
Micky Arison
Chairman and CEO
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