Carnival Corp Upsizing and Pricing Term Loan Fa...

Carnival Corporation & plc Announces Upsizing and Pricing of $2.3 Billion Term Loan Facility for Refinancing, Saving Interest and Extending Maturities

Interest Savings of Over $135 Million Annually

MIAMI, Oct. 8, 2021 /PRNewswire/ -- Carnival Corporation & plc (NYSE/LSE: CCL; NYSE: CUK) today announced that Carnival Corporation (the "Company") successfully completed the syndication of its $2.3 billion first-priority senior secured term loan facility ("Term Loan Facility"), which the Company intends to use to redeem its 11.5% First Priority Senior Secured Notes due 2023 (the "2023 Notes"). The new Term Loan Facility will bear interest at a rate per annum equal to adjusted LIBOR with a 0.75% floor, plus a margin equal to 3.25% and will mature in 2028.  The refinancing transaction will generate annual interest savings of over $135 million and extend maturities.

The Company also issued a conditional notice of redemption for the entire outstanding principal amount of the Company's 2023 Notes.

The Term Loan Facility described above is expected to be implemented via Incremental Assumption Agreement and Amendment No. 4 to the existing term loan agreement dated June 30, 2020, which is expected to close on October 18, 2021, subject to customary closing conditions and the execution of definitive documentation.

JPMorgan Chase Bank, N.A. acted as sole global coordinator for the marketing of the Term Loan Facility.

PJT Partners is serving as independent financial advisor to the Company.

This press release does not constitute a notice of redemption with respect to the 2023 Notes.

About Carnival Corporation & plc

Carnival Corporation & plc is one of the world's largest leisure travel companies with a portfolio of nine of the world's leading cruise lines.  With operations in North America, Australia, Europe and Asia, its portfolio features Carnival Cruise Line, Princess Cruises, Holland America Line, Seabourn, P&O Cruises (Australia), Costa Cruises, AIDA Cruises, P&O Cruises (UK) and Cunard.

Cautionary Note Concerning Factors That May Affect Future Results

Carnival Corporation and Carnival plc and their respective subsidiaries are referred to collectively in this press release as "Carnival Corporation & plc," "our," "us" and "we." Some of the statements, estimates or projections contained in this press release are "forward-looking statements" that involve risks, uncertainties and assumptions with respect to us, including some statements concerning the financing transactions described herein, future results, operations, outlooks, plans, goals, reputation, cash flows, liquidity and other events which have not yet occurred.  These statements are intended to qualify for the safe harbors from liability provided by Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended.  All statements other than statements of historical facts are statements that could be deemed forward-looking.  These statements are based on current expectations, estimates, forecasts and projections about our business and the industry in which we operate and the beliefs and assumptions of our management.  We have tried, whenever possible, to identify these statements by using words like "will," "may," "could," "should," "would," "believe," "depends," "expect," "goal," "anticipate," "forecast," "project," "future," "intend," "plan," "estimate," "target," "indicate," "outlook" and similar expressions of future intent or the negative of such terms.

Forward-looking statements include those statements that relate to our outlook and financial position including, but not limited to, statements regarding:

Pricing	Goodwill, ship and trademark fair values
Booking levels	Liquidity and credit ratings
Occupancy	Adjusted earnings per share
Interest, tax and fuel expenses	Return to guest cruise operations
Currency exchange rates	Impact of the COVID-19 coronavirus global pandemic on our financial condition and results of operations
Estimates of ship depreciable lives and residual values

Because forward-looking statements involve risks and uncertainties, there are many factors that could cause our actual results, performance or achievements to differ materially from those expressed or implied by our forward-looking statements.  This note contains important cautionary statements of the known factors that we consider could materially affect the accuracy of our forward-looking statements and adversely affect our business, results of operations and financial position.  Additionally, many of these risks and uncertainties are currently amplified by, and will continue to be amplified by, or in the future may be amplified by, the COVID-19 outbreak.  It is not possible to predict or identify all such risks.  There may be additional risks that we consider immaterial or which are unknown. 

These factors include, but are not limited to, the following:

• COVID-19 has had, and is expected to continue to have, a significant impact on our financial condition and operations, which impacts our ability to obtain acceptable financing to fund resulting reductions in cash from operations.  The current, and uncertain future, impact of the COVID-19 outbreak, including its effect on the ability or desire of people to travel (including on cruises), is expected to continue to impact our results, operations, outlooks, plans, goals, reputation, litigation, cash flows, liquidity, and stock price;

• World events impacting the ability or desire of people to travel have and may continue to lead to a decline in demand for cruises;

• Incidents concerning our ships, guests or the cruise vacation industry as well as adverse weather conditions and other natural disasters have in the past and may, in the future, impact the satisfaction of our guests and crew and lead to reputational damage;

• Changes in and non-compliance with laws and regulations under which we operate, such as those relating to health, environment, safety and security, data privacy and protection, anti-corruption, economic sanctions, trade protection and tax have in the past and may, in the future, lead to litigation, enforcement actions, fines, penalties, and reputational damage;

• Breaches in data security and lapses in data privacy as well as disruptions and other damages to our principal offices, information technology operations and system networks, including the recent ransomware incidents, and failure to keep pace with developments in technology may adversely impact our business operations, the satisfaction of our guests and crew and may lead to reputational damage;

• Ability to recruit, develop and retain qualified shipboard personnel who live away from home for extended periods of time may adversely impact our business operations, guest services and satisfaction;

• Increases in fuel prices, changes in the types of fuel consumed and availability of fuel supply may adversely impact our scheduled itineraries and costs;

• Fluctuations in foreign currency exchange rates may adversely impact our financial results;

• Overcapacity and competition in the cruise and land-based vacation industry may lead to a decline in our cruise sales, pricing and destination options;

• Inability to implement our shipbuilding programs and ship repairs, maintenance and refurbishments may adversely impact our business operations and the satisfaction of our guests; and

•  the risk factors included in Carnival Corporation's and Carnival plc's Annual Report on Form 10-K filed with the SEC on January 26, 2021 and Carnival Corporation's and Carnival plc's Quarterly Reports on Form 10-Q filed with the SEC on April 7, 2021, June 28, 2021 and September 30, 2021.

The ordering of the risk factors set forth above is not intended to reflect our indication of priority or likelihood.

Forward-looking statements should not be relied upon as a prediction of actual results.  Subject to any continuing obligations under applicable law or any relevant stock exchange rules, we expressly disclaim any obligation to disseminate, after the date of this document, any updates or revisions to any such forward-looking statements to reflect any change in expectations or events, conditions or circumstances on which any such statements are based.

CONTACT: Roger Frizzell, Carnival Corporation, [e-mail], [phone]; Mike Flanagan, LDWW, [e-mail], [phone]