September, 2010

• Industry Outlook: New ship construction
• Survey of Operating Costs for a Panamax Ship on a
Transit Call (not a Homeport)
(Celebrity Millennium Class; 90,000 GRT; 2,000 Pax)
• Northern Europe-Baltic
• Eastern Mediterranean
• Western Mediterranean
• Observations

• Current world fleet 250+ ships built since 1980
• 30 ships under construction for delivery thru
2012.
• Few ships are retired; most cruise ships ever built are still sailing; every ship stops in at least four ports weekly plus a homeport.
• Over 50,000 port calls annually, increasing +/-
2,500 additional calls annually with new builds

• Operating Theater %
• Caribbean
• Mediterranean
• Asia/Australia/India
• Baltic & UK
• Mexico Pacific/Hawaii
• Alaska
• South America
• Bermuda/New England
35%
25%
10%
9%
6%
6 %
5%
3%
Capacity million bed days
40.9
29.5
11.8
10.1
7.2
7.2
5.5
3.1

• Northern Europe almost exclusively government or “quasi government” owned and operated cruise port facilities, “Port
Authorities” including Scandinavian, German, Baltic, Benelux and
UK ports.
• Southern Europe still predominantly government operated ports,
(Port Authorities) with gradual privatization (or “quasi privatization”)
• (“Quasi” means PA still owns significant %, or shareholders include
Airport Authority, Chamber of Commerce, etc.)
• Some “privatized” European cruise ports (or cruise operating concessions) include:
– Malaga, Barcelona, Marseille, Valletta, Savona, Livorno, Civitavecchia,
Napoli, Venice, Ravenna, & (St Petersburg, Tunis, Kusadasi)

• Basic “ Head Tax ” per passenger charge- Terminal Operator (TO)
• Harbor Dues per GRT- to Port Authority (PA)
• Dockage Fees per Length Overall- PA or TO
• Light/Anchorage Dues - sometimes an annual fee per each ship-
PA
• Lines Fees - paid to stevedores for tying up the ship- TO
• Tug Boat Fees - per GRT, rarely compulsory today- direct fee (D)
• Pilots Fees World’s most powerful local monopoly- direct fee (D)
• Security Fees per passenger (ISPN add-on)- TO
• Customs Fees - Federal Government (FG)
• Luggage Movement - stevedores- per passenger charge
• Miscellaneous Government taxes and fees (FG)
• Service expenses to suppliers:
• Agency Fees, Garbage Take Off, Water Supply, Tender Operations

• Basic “ Head Tax ” per passenger - Individual Customer (Ind Cust)
• Harbor Dues per GRT- Cruise Company Maritime Operating
Expense (Cruise CO)
• Dockage Fees per Length Overall- Cruise CO
• Light/Anchorage Dues - Cruise CO
• Lines Fees - paid to stevedores- Cruise CO
• Tug Boat Fees - per GRT, Cruise CO
• Pilots Fees - Cruise CO
• Security Fees per passenger- Indv Cust
• Customs Fees - Indv Cust
• Luggage Movement - stevedores- Indv Cust
• Miscellaneous Government taxes and fees Cruise CO & Indv Cust
• Service expenses to suppliers: Cruise Co
• Agency Fees, Garbage Take Off, Water Supply, Tender Operations

• Basic “ Head Tax ” per passenger - Individual Customer (Ind Cust)
• Security Fees per passenger- Indv Cust
• Customs Fees - Indv Cust
• Luggage Movement - stevedores- Indv Cust
• Miscellaneous Government taxes and fees Cruise CO & Indv Cust
• Cruise Lines generally wrap these items into a category of:
“Non-Commissionable Government Taxes & Fees”
An add-on to the cruise ticket price.
Example: 7 day Med Cruise out of Barcelona Ticket: E799
Non-commissionable Govt Taxes & Fees E65
Total Ticket Cost E864

• MED PORTS
• Barcelona
• Toulon
4,35
1,50
• Villefranche
• Livorno
4,68
4,73 €
• Civitavecchia 4,90 €
€
€
€
• Naples
• Ajaccio
• Malta
• Messina
• Venice
• Athens
• Santorini
2,38
3,08
5,98
1,14
5,93
0,92
0,40
€
€
€
€
€
€
€
BALTIC PORTS
Bergen 2,88 €
Warnemunde 5,26 €
Helsinki 0 €
Stockholm 3,03 €
Tallinn
Oslo
1,72
2,50
Amsterdam 5,80 €
€
€
Copenhagen 1,50 €
Brugges 1,02 €

Northern European Port Call Costs
Bergen, Norway
Oslo, Norway
Stockholm,
Sweden
Copenhagen, Denmark
Amsterdam, Holland
Warnemunde, Germany
Brugges, Belgium
Helsinki, Finland
Tallinn, Estonia

Northern European Port Call Costs: Millennium
(Panamax) Ship (90,000 GRT, 2,000 pax)
Port of Call Head Tax
Bergen,
Norway
Transit
Call
Dockage
Fees &
Security
Fees
Harbor
Dues &
Govt Fees
5.770
€ 7.250€
10.530
€ 7.690€ 10.200
€ Warnemun de,
Germany
Helsinki,
Finland
Stockholm
, Sweden
6.080
€
2.080
€ 6.110
19.980
€
€
Light Dues
Anchorage,
Navigation,
Lines, Dues
2.270
€ 14.420
€
2.070
41.110
19.440
€
€
€
Pilots
Fees
5.600
3.460
8.68
0
€
€
€
Tugs
Tallinn,
Estonia
3.450
€ 6.180€ 3.540
€ 5.560
€
Total
Fees per
Call
29.710
€
36.080
€
52.760
€
54.180
€
18.730
€

Northern European Port Call Costs: Millennium
(Panamax) Ship (90,000 GRT, 2,000 pax)
Port of Call Head Tax
Oslo,
Norway
Transit
Call
4.990
€
Dockage
Fees &
Security
Fees
Harbor
Dues
& Govt
Fees
5.490
€
Light Dues
Anchorage,
Navigation,
Lines, Dues
Pilots
Fees
1.920
€ 33.000€
Tugs
Amsterdam,
Holland
11.620
€ 2.010
€ 8.090
€ 4.020
€ 4.650
€
Copenhagen
Denmark
2.960
€
350
€ 37.650€
1.870
€
2.100
€
Brugges,
Belgium
2.040
€
16.75
0
€
5.222
€ 2.555
€ 11.555
€
1.11
0 € 6.590
€
8.440
€ 9.330
€ AVERAGE of 9 Northern ports
Total
Fees per
Call
45.400
€
30.370
€
44.930
€
26.490
€
37.250
€

• Oslo: E33,000 per call . Even if the pilot stayed on the ship for the entire 9 hour visit (which he doesn’t), if he works only the summer cruise season of about 100 days, that works out to E3,000,000 for the season!
• Northern Europe average daily pilot fee is E9,300, or nearly
E1,000,000 for a 100 day season.

Western Mediterranean Port Call Costs
Lisbon, Portugal
Venice, Italy
Livorno, Italy
Villefranche, France
Toulon, France Civitavecchia, Italy
Ajaccio, Corsica
Naples, Italy
Barcelona,
Spain
Messina, Italy
Valletta, Malta

Western Mediterranean Port Call Costs: Millennium
(Panamax) Ship (90,000 GRT, 2,000 pax)
Port of Call Head Tax
Transit
Call
Barcelona 8.690
€
Dockage
Fees &
Security
Fees
Harbor
Dues &
Govt
Fees
6.790
€
Light Dues
Anchorage,
Navigation,
Lines, Dues
Pilots
Fees
2.270
€ 2.140
€
Tugs Total
Fees per
Call
19.980
€
Toulon 3.000
€ 2.890
€ 5.080€
9.370
€ Villefranche
Civitavecchi a
Naples
9.180
€ 120 €
4.770
€ 4.010
€ 370 €
2.380
€ 5.050
€
2.080
€
85 € 18.570
€
11.450
€
89 0
€ 1.980
€ 3.42
0
€ 16.220
€
2.600
€ 11.760
€

Mediterranean Port Call Costs: Millennium
(Panamax) Ship (90,000 GRT, 2,000 pax)
Port of Call Head Tax
Transit
Call
Ajaccio 6.160
€
Dockage
Fees &
Security
Fees
Harbor
Dues &
Govt Fees
Light Dues
Anchorage,
Navigation,
Lines, Dues
Pilots
Fees
1.500
€
Tugs Total
Fees per
Call
7.660
€
Valetta
Messina
Livorno
Lisbon
11.960
€
2.270
€
9.470
€
6.890
€
420 €
47 0
€
6.790
€
1.230
€ 1.980
€ 15.590
€
1.880
€ 3.490
€ 200 € 7.840
€
4.40
0
€ 4.15
0
€
1.750
€ 4.150
€
18.500
€
19.580
€

Eastern Mediterranean Port Call Costs
Venice, Italy
Civitavecchia,
Italy
Dubrovnik, Croatia
Naples, Italy
Messina, Italy
Valletta, Malta
Istanbul, Turkey
Athens,
Greece
Kusadasi, Turkey
Santorini, Greece

Port of
Call
Venice
Eastern Mediterranean Port Call Costs: Millennium
(Panamax) Ship (90,000 GRT, 2,000 pax)
Head Tax
Transit
Call
Dockage
Fees &
Security
11.870
€ 3.590
€
Harbor
Dues &
Govt
Fees
450 €
Light Dues
Anchorage,
Navigation,
Lines, Dues
Pilots
Fees
Tugs/ Total
Fees per
Call
2.850
€ 4.020€ 11.770
€ 34.550
€
Dubrovnik
Athens 1.850
€
8.230
€
360 € 4.090
€
5.770
€ 1.080€
380 € 1.820€
15.080
€
920 € 9.410
€
Santorini 780 € 36 0
€ 170 € 1.310
€
AVERAGE of 14 Med
Ports
6.140
€ 1.360
€
1.860
€ 1.640
€ 2.570€ 1.240
€ 14.850
€

Comparison Port Call Costs: Millennium (Panamax)
Ship (90,000 GRT, 2,000 pax
Port of
Call
AVERAGE of 9
Northern ports
AVERAGE of 14 Med
Ports
Head Tax
Transit
Call
Dockage
Fees &
Security
Harbor
Dues &
Govt Fees
5.222
€ 2.555
€ 11.555
€
Light Dues
Anchorage,
Navigation,
Lines, Dues
Pilots
Fees
8.440
€ 9.330€
Tugs/
6.140
€ 1.360
€ 1.860
€ 1.640
€ 2.570€ 1.240
€
Total
Fees per
Call
37.250
€
14.850
€

Comparison Port Call Costs: Millennium (Panamax)
Ship (90,000 GRT, 2,000 pax
Port of Call Head Tax
Transit
Call
Dockage
Fees &
Security
Harbor
Dues &
Govt Fees
5.222
€ 2.555
€ 11.555
€
Light Dues
Anchorage,
Navigation,
Lines, Dues
Pilots
Fees
8.440
€ 9.330
€
Tugs/
AVERAGE of 9
Northern ports
AVERAGE of 14 Med
Ports
St. Martin,
Caribbean
6.140
11.540
€
€
1.360
160
€
€
1.860
3.090
€
€
1.640
195
€
€
2.570
912
€ 1.240€
€
Total
Fees per
Call
37.250
€
14.850
€
15,900 €
17.990 € 3.120 € 340 € 20,450 € St.
Thomas,
Caribbean

• Port Costs are generally very local: Port Authority,
Terminal operator, Stevedores, Pilots, Tugboats.
• Customs & Immigration Issues appear to be Federal
(insufficient agents or inconvenient logistics)- mostly affects international crew movements.
• Port Regulations are generally EU mandated (Low
Sulfur Fuel)
• Services costs such as garbage or water are competitive between ports.
• Congestion Issues are local and Federal: managing the process of creating more and larger facilities.
Associations could possibly manage bookings calendar.

• “ Head Tax ” per pax- Negotiate w/Terminal Operator (TO) Volume incentives, seasonal variances; tariffs must be public & standard
• Harbor Dues per GRT- Neg w Port Authority (PA); cruise ship tonnage debate
• Dockage Fees per Length Overall- PA or TO, generally standard for all vessel classes
• Light/Anchorage Dues - neg w/ PA or Ministry- is GRT the correct formula?
• Lines Fees - Neg w TO or stevedores; volume incentives
• Tug Boat Fees - per GRT, rarely compulsory today- insurance style?
• Pilots Fees World’s most powerful local monopoly- ask gov't help
• Security Fees per passenger (ISPN add-on)- TO typically per pax fee
• Customs Fees - Federal Government (FG)- arbitrary government fiat
• Miscellaneous Government taxes and fees (FG)- arbitrary
• Service expenses to suppliers:
• Agency Fees, Garbage Take Off, Water Supply, Tender Operations

September, 2010