Cruise companies expand their fleets

PORT EVERGLADES, Fla., Dec. 4 (UPI) -- The Oasis of the Seas berthed in Florida -- with 24 restaurants -- sets the stage cautiously for a wave of bigger cruise ships, industry executives said.

The massive ship, scheduled to set sale Saturday with 5,400 passengers and 12,000 plants and trees on board, cost Royal Caribbean Cruises Ltd. $1.4 billion to build, but will end up with "one of the highest returns on investment our industry has ever seen," Chief Executive Officer Richard Fain said.

Royal Caribbean has plans to add a sister ship, Allure of the Seas, to its fleet next year and other companies, not quite as grandly, are joining in the race, The Wall Street Journal reported Friday.

Carnival Corp. said it had placed a $750 million order this week for a ship similar to its 3,650- passenger Carnival Dream, which it launched in September. Norwegian Cruise Line, the third largest cruise company, said it is going ahead with a $1.2 billion vessel that can carry 4,200 guests.

With a life expectancy of 30 years, executives are taking the long view of their investments. Per passenger earnings are down this year, but "big ups and big downs" are expected, Fain said.