PRESTIGE CRUISE HOLDINGS ANNOUNCES CHANGES TO FUEL SUPPLEMENT CHARGES
Fuel Supplement Charges to be Removed From All 2010 Voyages for Oceania Cruises
and Regent Seven Seas Cruises. Criteria Set for Adjustments to 2009 Voyages.

MIAMI, November 3, 2008 – Prestige Cruise Holdings, parent company of Oceania Cruises and Regent Seven Seas Cruises, has announced that effective November 10, 2008, fuel supplement charges will be eliminated from all voyages departing in 2010 and the company has established specific guidelines under which the fuel supplement may be reimbursed to guests sailing on voyages departing in 2009.

For voyages departing in 2010, no fuel supplement will be charged on new reservations. For existing reservations on voyages departing in 2010, the fuel supplement charge will automatically be removed from the guests’ final payment balance. For voyages departing in 2009, the company will continue to apply a $15 per guest per day fuel supplement. Fuel supplement charge adjustments, if any, will be determined on a quarterly basis. Refunds, in the form of shipboard credits, will be applied to all reservations to which a fuel supplement had previously been charged if the quarterly closing price on the New York Mercantile Exchange of West Texas Intermediate fuel is below $65 per barrel two weeks prior to the beginning of the upcoming calendar quarter.

Frank Del Rio, Chairman of Prestige Cruise Holdings, stated that the company was implementing these changes due to the recent decline in fuel prices. “If oil stabilizes below $65 per barrel, we are confident that we can effectively eliminate the need to charge our guests a separate fuel supplement. However, we must see stability in fuel pricing on a mid- to long-term basis as there could still be significant volatility in the marketplace,” stated Del Rio.

The dates on which the price of West Texas Intermediate fuel will be measured and the quarters during which refunds may be applied are listed below.

Fuel Price Determination Date Quarter of Possible Fuel Supplement Refunds
December 18, 2008 First Quarter 2009
March 18, 2009 Second Quarter 2009
June 17, 2009 Third Quarter 2009
September 17, 2009 Fourth Quarter 2009

Prestige Cruise Holdings will continue to monitor the price of fuel and will retain the right to reinstate the fuel supplement charge at any time should market conditions warrant.

About Prestige Cruise Holdings:
Prestige Cruise Holdings (PCH) is a subsidiary of Apollo Management L.P. and the parent corporation of Regent Seven Seas Cruises and Oceania Cruises. Formed in 2007 to manage select assets in Apollo Management’s cruise investment portfolio, PCH is led by Chairman and Chief Executive Officer Frank J. Del Rio, the founder of Oceania Cruises. PCH is the market leader in the Upper Premium and Luxury segments of the cruise industry with more than 4,450 berths between the Regent Seven Seas Cruises and Oceania Cruises brands, a number the company expects will grow to more than 6,700 berths by 2011.

About Oceania Cruises:
Oceania Cruises® is the world’s only upper-premium cruise line and offers a unique combination of the finest cuisine at sea, luxurious accommodations, exceptional personalized service and extraordinary value. As the leader in destination cruising, Oceania Cruises sails to more than 180 ports in Europe, Australia, New Zealand, Asia, South America, and the Caribbean. Featuring three intimate and elegant mid-sized ships, Regatta, Insignia and Nautica, the line will introduce the new mid-size Marina to its award-winning fleet in 2010 along with an identical sister-ship in 2011. For additional information, to make a reservation, or to order a brochure, please contact your Travel Agent or Oceania Cruises at 800-531-5658. Visit us at www.OceaniaCruises.com.

About Regent Seven Seas Cruises:
Regent Seven Seas Cruises operates a fleet of medium-sized luxury cruise ships that visit over 300 ports on all seven continents, including Antarctica. RSSC is consistently rated among the world’s top three cruise lines by readers of luxury travel magazines. Travel professionals worldwide voted RSSC the “World’s Best Luxury Cruise Line” for the fourth consecutive year as part of the 2007 Travel Weekly Awards and readers of Condé Nast Traveler magazine voted RSSC “World’s Best Small-Ship Cruise Line” in 2007. For further information, contact Regent Seven Seas Cruises, 1000 Corporate Drive, Suite 500, Fort Lauderdale, Florida, 33334. For brochures, call toll-free (866) 284-4079; for reservation information call toll-free (800) 285-1835; or visit www.rssc.com

SOURCE:
Prestige Cruise Holdings, Inc.
CONTACTS:
Prestige Cruise Holdings, Inc. Media Contact
Tim Rubacky, +1-786-223-3846

Fuel Supplement Charge Q&A:
Q: How will I know if my reservation is eligible for a refund of the fuel supplement charge? Is any action required on the part of the travel agent or guest?
A: If your reservation is eligible for a refund of the fuel supplement charge, a shipboard credit, in the amount of the charge, will automatically be issued to your shipboard account. No action is required from you or your travel agent.

Q: How will the refunds be processed?
A: If you have a reservation on a 2010 voyage, the amount of the fuel supplement charge will automatically be removed from your reservation total and a new invoice will be issued reflecting this change. If you have reserved a 2009 voyage that becomes eligible for a refund, a shipboard credit will be applied to your reservation and will be reflected on your shipboard account. Upon determination of the closing price of oil on the dates listed below, if your 2009 reservation is eligible for a refund of the fuel supplement charge, an email notification will be sent to you and/or your travel agent and the credit will automatically be applied to your shipboard account. Fuel Price Determination Date Quarter of Possible Fuel Supplement Refunds December 18, 2008 First Quarter 2009 March 18, 2009 Second Quarter 2009 June 17, 2009 Third Quarter 2009 September 17, 2009 Fourth Quarter 2009 Status updates will posted on our website the first business day after the fuel price determination date.

Q: How is the timeframe of my refund determined? Is it based on the cruise departure date or the date-range of the cruise?
A: Your cruise departure date determines the quarter in which your voyage falls. For example, if your cruise departs on March 31, 2009, even though the majority of your voyage falls into the 2nd quarter, the cruise departure date is in the 1st quarter.

Q: If I have a 2010 voyage that is reserved and deposited and the fuel supplement charge has been removed, can the charge be reinstated if the price of fuel rises dramatically?
A: Any voyages that are already reserved and deposited will not be subject to any fuel supplement charges.

Q: Can the line reinstate a fuel surcharge for 2010 voyages if the price of fuel increases?
A: No fuel supplement charge is in effect for new reservations for 2010 voyages at this time. We do
retain the right to reinstate the fuel supplement charges on new reservations if market conditions warrant.

Q: If I make a new reservation for a 2009 voyage, will the fuel supplement charge be applied?
A: The fuel supplement charge will remain in effect for new reservations but will be eligible for a refund based on our published Fuel Price Determination Schedule. If you make a new reservation for a 2009 voyage and it is eligible for a refund, we will automatically issue a refund in the form of a shipboard account, to your reservation.

Thanks for the info, Ngaire.

So cruise lines have become like the airlines, huh? They all follow each other's pricing policies, no matter how (il)logical they are?

It looks like Regent's policy for 2009 matches NCL and Royal Caribbean and is similar to Carnival brands. (Regent set a lower price threshold of $65/barrel than Carnival's $70, but otherwise it seems the same.) Couldn't someone be creative enough to do *something* a little differently? For example, why not use the *average* price over a week or a month rather than the price on one specific day? Why make tens of thousands of cruise passengers hang on whether oil futures close at $64.98 or $65.02 on one specific day each quarter?

I note that the $65 price threshold is lower than the price has been on all but 6 days out of the past 520+ days since June 1, 2007. With OPEC now implementing production cuts in order to increase oil prices somewhat, unless the world economy sinks further into the abyss, hitting that $65 price seems somewhat unlikely to me.

And why would they drop fuel surcharges for bookings on 2010 cruises when there's no indication fuel prices will be lower then than now or in 2009? Unless cruise prices for 2010 going to be increased to build the higher cost of fuel into base pricing, this makes no sense to me.

-- Eric

Glad they're doing something akin to "the right thing". Seems sensible to be doing it quarterly, since it's been apparent that, to be fair, they should slide the supplement up and down with the market. The shipboard credit is a good approach I think, although some people will object, I'm sure.

Too bad we missed the start of the new quarter by 2 weeks. Oh well, c'est la vie!

I agree with you Wendy. We miss the second quarter by a few days but I'm not going to moan about it. It's not that much being rebated anyhow and if it helps to keep Regent the quality product that it is then I'm happy.
Pat

Right Pat, when is your cruise, remind me?

Ngaire: I know I'm getting ahead of myself but I doubt I could use any extra shipboard credits for MOOSE. In that case, would they refund the money? Lee

The cruise lines don't all follow suit because Silversea to this day has not implement fuel surcharges for 2009, which has been a miracle to me.

No they wont ever refund shipboard credits. If you have leftover shipboard credit then you can use that as part of your deposit for your next onboard booking.

Trying to imagine having leftover shipboard credits....Good for you Lee!!! We could all learn from you. I really like your picture.

LOL, Cindy, I agree. Great that you have them, Lee. Me? If credits were left after excursions, etc., I'd head straight for the spa.

Wendy,
Ring of Fire, Feb 28th.
Pat

Ngaire or Susan,
We are booked on a 35 day cruise in April on Oceania. Our fuel surcharge is $1050. Since we have already booked our tours and paid for the three day Taj Mahal tour, I don't see how ever could ever use that much onboard credit. Do we just loose the money as we probably won't book onboard?
Pat

patw, looks like you can apply your left-over ship board credit to the deposit for your next cruise. Scroll up several postings and you will find Ngaire's reply to this question posed by another person.