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Carnival to invest $300 million in wake of Triumph debacle

April 17, 2013|By Hugo Martin
  • A tug pushes the Carnival Triumph to a mooring at the Signal International shipyard in the Mobile, Ala.
A tug pushes the Carnival Triumph to a mooring at the Signal International… (U.S. Coast Guard )

Carnival Cruise Lines will spend up to $300 million to add an extra generator in each ship and improve fire suppression systems in response to the high-profile malfunctions that hobbled the Carnival Triumph cruise ship earlier this year.

Carnival's image was badly tarnished when an engine fire in February cut most of the power to the Triumph, which had to be towed from the Gulf of Mexico to shore while passengers contended with a lack of hot food, bathrooms, air conditioning and elevators.

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Although Carnival's ships already have backup generators, the additional generators will ensure there is power for all staterooms, elevators and public toilets, Carnival officials said.

In addition, Carnival said it plans to upgrade its fire suppression system and make modifications to its electrical system to reduce the likelihood of power outages caused by fires.

Finally, the cruise line said it plans to form a safety and reliability review board composed of outside safety experts to advise Carnival.

In addition, Carnival's parent company, Carnival Corp., plans to spend another $300 million to $400 million to make safety upgrades to the other 9 cruise lines owned by the corporation.

"These initiatives reflect our commitment to safe and reliable operations and an enjoyable cruising experience for the nearly 4.5 million guests who sail with Carnival Cruise Lines each year," said Gerry Cahill, president and chief executive of the company.

Carnival Corp. stock has yet to recover from a stumble it took following the Triumph calamity.

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