Celebrity Cruises Cancels One Alaska Sailing – Shortens Another By One Day

MIAMI, May 25 /PRNewswire-FirstCall/ — Celebrity Cruises is canceling its June 3 sailing on Summit and shortening by one day its May 27 sailing to replace a radial-bearing unit that is showing premature wear in the ship’s starboard propulsion system. The replacement must be made in drydock, so the ship will enter the Victoria Shipyard drydock on June 2 to make the repairs. The cancelled cruise is a seven-night Alaska sailing departing from Vancouver. The ship is expected to resume service June 10.

“I sincerely apologize to our guests for this disruption to their vacation plans,” said Dan Hanrahan, president of Celebrity Cruises. “I share in their disappointment and promise that we’ll do our best to assist them, as well as our travel agent partners, in rescheduling their vacations.”

Guests booked on the June 3 sailing will receive a full refund for their cruise, plus a free future Celebrity cruise from North America of up to seven nights, departing on or before December 15, 2006, excluding holidays. Travel agents will receive their full commission for the June 3 cruise, plus a $50 rebooking fee, per stateroom, when their clients reschedule their cruise.

Guests booked on the May 27 sailing, which will conclude one day sooner than scheduled and not make its scheduled port call in Ketchikan, Alaska, will receive a $300-per-stateroom onboard credit, reimbursement of airline change fees or hotel expenses up to $100 per guest and a 25 percent discount on a future Celebrity cruise from North America of up to seven nights, departing on or before June 30, 2006, excluding holidays.

Celebrity has established a special help desk to assist guests and travel agents with reaccommodations. The help desk number is 1-888-837-5676.

The canceled and modified sailings are expected to negatively impact Royal Caribbean Cruises Ltd.’s second-quarter earnings by approximately $0.04 to $0.05 per share. As a result, second quarter 2005 earnings per share are now expected to be in the range of $0.50 to $0.55

Celebrity Cruises is the industry’s highest rated premium cruise brand with a taste of luxury. The cruise line has 10 ships in its fleet, which sails in Alaska, Bermuda, California, the Caribbean, Europe, Hawaii, the Mexican Riviera, the Panama Canal and South America. In addition, Celebrity Xpeditions offer exotic travel experiences in the Galapagos Islands and every major region in which Celebrity sails. For more information, call your travel agent, dial 1-800-437-3111, or visit the Celebrity web site at http://www.celebrity.com/ .

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