Carnival Cruise Lines has shafted the City of Mobile for
$20 million. After enticing the city to spend over $20 million for a
cruise ship terminal facility, Carnival left town without even the good
manners of a courtesy notice. It was a Wham bam, thank you mam
without the thank you.
Carnival Corporation and PLC (its sister corporation) comprise eleven individual cruise
line brands, operating a combined fleet of 96 ships. Brands include
Carnival, Cunard, Holland America, Princess, Seabourn and four others.
Carnival Corporation was initially formed in 1972. After achieving
its position as one of the worlds most popular cruise lines, the
company made an initial public offering of 20% of its common stock in
1987. This provided an influx of capital that allowed the company to
begin its expansion through acquisitions.in 1989 its first acquisition
was the premium operator Holland America Line. Others quickly followed.
The CEO and owner of controlling interest in Carnival is Micky Arison,
son of the founder. Arison was born in Israel of Romanian ancestry and
now lives in Miami as an American citizen. Forbes lists him as one of
the worlds wealthiest individuals. His compensation from Carnival in
2009 was over $7 million.
In 1988, Carnival Cruise Lines expanded into airlines with the
purchase of Pacific Interstate Airlines, which was subsequently renamed Carnival Air Lines. This venture ended ten years later in bankruptcy court with creditors holding the bag.
Hey Mobile, sound familiar?
Carnival owner, Micky Arison, also owns the professional basketball team, Miami Heat.
Miami area governments built Arison a $250 million dollar waterfront
stadium 10 years ago in exchange for a rental agreement. Now 10 years
into the rental contract, Miami has received no rent from the Heat or
Arison, according to a columnist for the Miami New Times.
Sound familiar?
I guess Mobile should be thankful we were taken for only $20 million rather than Miamis $250 million.
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