false2021FY00008150970001125259P10Y0000008150972020-12-012021-11-300000815097ccl:CarnivalPublicLimitedCompanyMember2020-12-012021-11-300000815097us-gaap:CommonStockMember2020-12-012021-11-300000815097ccl:OrdinarySharesMemberccl:CarnivalPublicLimitedCompanyMember2020-12-012021-11-300000815097ccl:A1.875SeniorNotesDue2022Memberccl:CarnivalPublicLimitedCompanyMember2020-12-012021-11-300000815097ccl:A1.000SeniorNotesDue2029Memberccl:CarnivalPublicLimitedCompanyMember2020-12-012021-11-3000008150972021-05-31iso4217:USD00008150972022-01-13xbrli:shares0000815097ccl:CarnivalPublicLimitedCompanyMember2021-05-310000815097ccl:CarnivalPublicLimitedCompanyMember2022-01-130000815097ccl:CruisePassengerTicketMember2020-12-012021-11-300000815097ccl:CruisePassengerTicketMember2019-12-012020-11-300000815097ccl:CruisePassengerTicketMember2018-12-012019-11-300000815097ccl:CruiseOnboardAndOtherMember2020-12-012021-11-300000815097ccl:CruiseOnboardAndOtherMember2019-12-012020-11-300000815097ccl:CruiseOnboardAndOtherMember2018-12-012019-11-3000008150972019-12-012020-11-3000008150972018-12-012019-11-300000815097ccl:CruiseMember2020-12-012021-11-300000815097ccl:CruiseMember2019-12-012020-11-300000815097ccl:CruiseMember2018-12-012019-11-30iso4217:USDxbrli:shares00008150972021-11-3000008150972020-11-300000815097us-gaap:CommonStockMember2021-11-300000815097us-gaap:CommonStockMember2020-11-300000815097ccl:OrdinarySharesMemberccl:CarnivalPublicLimitedCompanyMember2020-11-300000815097ccl:OrdinarySharesMemberccl:CarnivalPublicLimitedCompanyMember2021-11-300000815097ccl:OrdinarySharesMember2021-11-300000815097ccl:OrdinarySharesMember2020-11-300000815097ccl:CarnivalPublicLimitedCompanyMember2021-11-300000815097ccl:CarnivalPublicLimitedCompanyMember2020-11-3000008150972019-11-3000008150972018-11-300000815097us-gaap:CommonStockMember2018-11-300000815097ccl:OrdinarySharesMember2018-11-300000815097us-gaap:AdditionalPaidInCapitalMember2018-11-300000815097us-gaap:RetainedEarningsMember2018-11-300000815097us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-11-300000815097us-gaap:TreasuryStockMember2018-11-300000815097us-gaap:RetainedEarningsMembersrt:CumulativeEffectPeriodOfAdoptionAdjustmentMember2018-11-300000815097srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember2018-11-300000815097us-gaap:RetainedEarningsMember2018-12-012019-11-300000815097us-gaap:AccumulatedOtherComprehensiveIncomeMember2018-12-012019-11-300000815097us-gaap:AdditionalPaidInCapitalMember2018-12-012019-11-300000815097us-gaap:TreasuryStockMember2018-12-012019-11-300000815097us-gaap:CommonStockMember2019-11-300000815097ccl:OrdinarySharesMember2019-11-300000815097us-gaap:AdditionalPaidInCapitalMember2019-11-300000815097us-gaap:RetainedEarningsMember2019-11-300000815097us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-11-300000815097us-gaap:TreasuryStockMember2019-11-300000815097us-gaap:RetainedEarningsMember2019-12-012020-11-300000815097us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-12-012020-11-300000815097us-gaap:CommonStockMember2019-12-012020-11-300000815097us-gaap:AdditionalPaidInCapitalMember2019-12-012020-11-300000815097ccl:OrdinarySharesMember2019-12-012020-11-300000815097us-gaap:TreasuryStockMember2019-12-012020-11-300000815097us-gaap:CommonStockMember2020-11-300000815097ccl:OrdinarySharesMember2020-11-300000815097us-gaap:AdditionalPaidInCapitalMember2020-11-300000815097us-gaap:RetainedEarningsMember2020-11-300000815097us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-11-300000815097us-gaap:TreasuryStockMember2020-11-300000815097us-gaap:RetainedEarningsMember2020-12-012021-11-300000815097us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-12-012021-11-300000815097us-gaap:AdditionalPaidInCapitalMember2020-12-012021-11-300000815097us-gaap:TreasuryStockMember2020-12-012021-11-300000815097us-gaap:CommonStockMember2021-11-300000815097ccl:OrdinarySharesMember2021-11-300000815097us-gaap:AdditionalPaidInCapitalMember2021-11-300000815097us-gaap:RetainedEarningsMember2021-11-300000815097us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-11-300000815097us-gaap:TreasuryStockMember2021-11-30ccl:cruiseLineccl:companyxbrli:pure0000815097us-gaap:SubsequentEventMember2022-01-13ccl:cruise_ship0000815097us-gaap:ScenarioAdjustmentMemberccl:CruiseOnboardAndOtherMember2018-12-012019-11-300000815097us-gaap:ScenarioAdjustmentMemberccl:CruiseMember2018-12-012019-11-300000815097ccl:ShipsMember2020-12-012021-11-300000815097ccl:ShipsMember2021-11-300000815097ccl:ShipImprovementsMembersrt:MinimumMember2020-12-012021-11-300000815097ccl:ShipImprovementsMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:ShipImprovementsMember2021-11-300000815097srt:MinimumMemberus-gaap:BuildingAndBuildingImprovementsMember2020-12-012021-11-300000815097us-gaap:BuildingAndBuildingImprovementsMembersrt:MaximumMember2020-12-012021-11-300000815097us-gaap:BuildingAndBuildingImprovementsMember2021-11-300000815097srt:MinimumMemberccl:ComputerEquipmentAndCapitalizedSoftwareMember2020-12-012021-11-300000815097ccl:ComputerEquipmentAndCapitalizedSoftwareMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:ComputerEquipmentAndCapitalizedSoftwareMember2021-11-300000815097srt:MinimumMemberccl:TransportationEquipmentAndOtherMember2020-12-012021-11-300000815097ccl:TransportationEquipmentAndOtherMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:TransportationEquipmentAndOtherMember2021-11-300000815097srt:MinimumMemberus-gaap:LeaseholdImprovementsMember2020-12-012021-11-300000815097us-gaap:LeaseholdImprovementsMembersrt:MaximumMember2020-12-012021-11-300000815097us-gaap:LeaseholdImprovementsMember2021-11-300000815097ccl:CruiseMember2021-11-300000815097ccl:CruiseMember2020-11-300000815097ccl:NorthAmericaandAustraliaMember2020-12-012021-11-30ccl:passenger0000815097ccl:EuropeandAsiaMember2020-12-012021-11-300000815097ccl:GrandBahamaShipyardLtd.Member2020-12-012021-11-300000815097ccl:GrandBahamaShipyardLtd.Member2019-12-012020-11-300000815097ccl:GrandBahamaShipyardLtd.Member2018-12-012019-11-300000815097ccl:GrandBahamaShipyardLtd.Member2021-11-300000815097ccl:GrandBahamaShipyardLtd.Member2020-11-300000815097ccl:WhitePassAndYukonRouteMember2020-12-012021-11-300000815097ccl:WhitePassAndYukonRouteMember2021-11-300000815097ccl:WhitePassAndYukonRouteMember2020-11-300000815097ccl:WhitePassAndYukonRouteMember2019-12-012020-11-300000815097ccl:CSSCCarnivalCruiseShippingLimitedMember2021-11-300000815097ccl:CSSCCarnivalCruiseShippingLimitedMember2020-11-300000815097ccl:CSSCCarnivalCruiseShippingLimitedMemberccl:EuropeandAsiaMember2020-11-300000815097ccl:CSSCCarnivalCruiseShippingLimitedMemberccl:EuropeandAsiaMember2019-12-012020-11-300000815097ccl:CSSCCarnivalCruiseShippingLimitedMemberccl:EuropeandAsiaMember2020-12-012021-11-300000815097ccl:CSSCCarnivalCruiseShippingLimitedMemberccl:EuropeandAsiaMember2021-11-300000815097ccl:CSSCCarnivalCruiseShippingLimitedMemberccl:EuropeandAsiaMember2019-12-012021-11-200000815097us-gaap:SecuredDebtMemberccl:NotesPayableDueApril2023Member2021-11-300000815097us-gaap:SecuredDebtMemberccl:NotesPayableDueApril2023Member2020-11-300000815097ccl:NotesPayableDueFebruary2026Memberus-gaap:SecuredDebtMember2021-11-300000815097ccl:NotesPayableDueFebruary2026Memberus-gaap:SecuredDebtMember2020-11-300000815097us-gaap:SecuredDebtMemberccl:EuroDenominatedNotesPayableDueFebruary2026Member2021-11-300000815097us-gaap:SecuredDebtMemberccl:EuroDenominatedNotesPayableDueFebruary2026Member2020-11-300000815097ccl:NotesPayableDueJune2027Memberus-gaap:SecuredDebtMember2021-11-300000815097ccl:NotesPayableDueJune2027Memberus-gaap:SecuredDebtMember2020-11-300000815097us-gaap:SecuredDebtMemberccl:NotesPayableDueAugust2027Member2021-11-300000815097us-gaap:SecuredDebtMemberccl:NotesPayableDueAugust2027Member2020-11-300000815097us-gaap:SecuredDebtMemberccl:NotesPayableDueAugust2028Member2021-11-300000815097us-gaap:SecuredDebtMemberccl:NotesPayableDueAugust2028Member2020-11-300000815097srt:MinimumMemberccl:EuroDenominatedFixedRateBankLoanDueMay2025Memberus-gaap:SecuredDebtMember2021-11-300000815097ccl:EuroDenominatedFixedRateBankLoanDueMay2025Memberus-gaap:SecuredDebtMembersrt:MaximumMember2021-11-300000815097ccl:EuroDenominatedFixedRateBankLoanDueMay2025Memberus-gaap:SecuredDebtMember2021-11-300000815097ccl:EuroDenominatedFixedRateBankLoanDueMay2025Memberus-gaap:SecuredDebtMember2020-11-300000815097us-gaap:EurodollarMembersrt:MinimumMemberus-gaap:SecuredDebtMemberccl:EuroDenominatedFloatingRateBankLoanDueOctober2026Member2020-12-012021-11-300000815097us-gaap:EurodollarMemberus-gaap:SecuredDebtMemberccl:EuroDenominatedFloatingRateBankLoanDueOctober2026Membersrt:MaximumMember2020-12-012021-11-300000815097us-gaap:SecuredDebtMemberccl:EuroDenominatedFloatingRateBankLoanDueOctober2026Member2021-11-300000815097us-gaap:SecuredDebtMemberccl:EuroDenominatedFloatingRateBankLoanDueOctober2026Member2020-11-300000815097us-gaap:LondonInterbankOfferedRateLIBORMembersrt:MinimumMemberccl:FloatingRateBankLoanDueJune2025Memberus-gaap:SecuredDebtMember2020-12-012021-11-300000815097us-gaap:LondonInterbankOfferedRateLIBORMemberccl:FloatingRateBankLoanDueJune2025Memberus-gaap:SecuredDebtMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:FloatingRateBankLoanDueJune2025Memberus-gaap:SecuredDebtMember2021-11-300000815097ccl:FloatingRateBankLoanDueJune2025Memberus-gaap:SecuredDebtMember2020-11-300000815097us-gaap:SecuredDebtMember2021-11-300000815097us-gaap:SecuredDebtMember2020-11-300000815097us-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:UnsecuredDebtMemberccl:RevolverFacilityExpiresAugust2024Member2020-12-012021-11-300000815097us-gaap:UnsecuredDebtMemberccl:RevolverFacilityExpiresAugust2024Member2021-11-300000815097us-gaap:UnsecuredDebtMemberccl:RevolverFacilityExpiresAugust2024Member2020-11-300000815097us-gaap:UnsecuredDebtMemberccl:EuroDenominatedNotesPayableDueFebruary2021Member2021-11-300000815097us-gaap:UnsecuredDebtMemberccl:EuroDenominatedNotesPayableDueFebruary2021Member2020-11-300000815097ccl:EuroDenominatedNotesPayableDueNovember2022Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:EuroDenominatedNotesPayableDueNovember2022Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:ConvertibleNotesPayableDueApril2023Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:ConvertibleNotesPayableDueApril2023Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:NotesPayableDueOctober2023Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:NotesPayableDueOctober2023Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:NotesPayableDueMarch2026Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:NotesPayableDueMarch2026Memberus-gaap:UnsecuredDebtMember2020-11-300000815097us-gaap:UnsecuredDebtMemberccl:EuroDenominatedNotesPayableDueMarch2026Member2021-11-300000815097us-gaap:UnsecuredDebtMemberccl:EuroDenominatedNotesPayableDueMarch2026Member2020-11-300000815097us-gaap:UnsecuredDebtMemberccl:NotesPayableDueMarch2027Member2021-11-300000815097us-gaap:UnsecuredDebtMemberccl:NotesPayableDueMarch2027Member2020-11-300000815097ccl:NotesPayableDueJanuary2028Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:NotesPayableDueJanuary2028Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:NotesPayableDueMay2029Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:NotesPayableDueMay2029Memberus-gaap:UnsecuredDebtMember2020-11-300000815097us-gaap:UnsecuredDebtMemberccl:EuroDenominatedNotesPayableDueOctober2029Member2021-11-300000815097us-gaap:UnsecuredDebtMemberccl:EuroDenominatedNotesPayableDueOctober2029Member2020-11-300000815097srt:MinimumMemberccl:EuroDenominatedFixedRateBankLoanDueSeptember2021Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:EuroDenominatedFixedRateBankLoanDueSeptember2021Memberus-gaap:UnsecuredDebtMembersrt:MaximumMember2021-11-300000815097ccl:EuroDenominatedFixedRateBankLoanDueSeptember2021Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:EuroDenominatedFixedRateBankLoanDueSeptember2021Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:FloatingRateBankLoanDueSeptember2024Memberus-gaap:LondonInterbankOfferedRateLIBORMembersrt:MinimumMemberus-gaap:UnsecuredDebtMember2020-12-012021-11-300000815097ccl:FloatingRateBankLoanDueSeptember2024Memberus-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:UnsecuredDebtMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:FloatingRateBankLoanDueSeptember2024Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:FloatingRateBankLoanDueSeptember2024Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:SterlingDenominatedFloatingRateBankLoanDueFebruary2025Memberus-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:UnsecuredDebtMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:SterlingDenominatedFloatingRateBankLoanDueFebruary2025Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:SterlingDenominatedFloatingRateBankLoanDueFebruary2025Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:EuroDenominatedFloatingRateBankLoanDueMay2026Memberus-gaap:EurodollarMembersrt:MinimumMemberus-gaap:UnsecuredDebtMember2020-12-012021-11-300000815097ccl:EuroDenominatedFloatingRateBankLoanDueMay2026Memberus-gaap:EurodollarMemberus-gaap:UnsecuredDebtMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:EuroDenominatedFloatingRateBankLoanDueMay2026Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:EuroDenominatedFloatingRateBankLoanDueMay2026Memberus-gaap:UnsecuredDebtMember2020-11-300000815097us-gaap:LondonInterbankOfferedRateLIBORMembersrt:MinimumMemberus-gaap:UnsecuredDebtMemberccl:LineOfCreditFloatingRateDueDecember2031Member2020-12-012021-11-300000815097us-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:UnsecuredDebtMemberccl:LineOfCreditFloatingRateDueDecember2031Membersrt:MaximumMember2020-12-012021-11-300000815097us-gaap:UnsecuredDebtMemberccl:LineOfCreditFloatingRateDueDecember2031Member2021-11-300000815097us-gaap:UnsecuredDebtMemberccl:LineOfCreditFloatingRateDueDecember2031Member2020-11-300000815097ccl:LineOfCreditEuroDenominatedFloatingRateDueDecember2032Memberus-gaap:EurodollarMembersrt:MinimumMemberus-gaap:UnsecuredDebtMember2020-12-012021-11-300000815097ccl:LineOfCreditEuroDenominatedFloatingRateDueDecember2032Memberus-gaap:EurodollarMemberus-gaap:UnsecuredDebtMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:LineOfCreditEuroDenominatedFloatingRateDueDecember2032Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:LineOfCreditEuroDenominatedFloatingRateDueDecember2032Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:LineOfCreditFixedRateDueDecember2032Membersrt:MinimumMemberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:LineOfCreditFixedRateDueDecember2032Memberus-gaap:UnsecuredDebtMembersrt:MaximumMember2021-11-300000815097ccl:LineOfCreditFixedRateDueDecember2032Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:LineOfCreditFixedRateDueDecember2032Memberus-gaap:UnsecuredDebtMember2020-11-300000815097ccl:LineOfCreditEuroDenominatedFixedRateDueSeptember2032Membersrt:MinimumMemberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:LineOfCreditEuroDenominatedFixedRateDueSeptember2032Memberus-gaap:UnsecuredDebtMembersrt:MaximumMember2021-11-300000815097ccl:LineOfCreditEuroDenominatedFixedRateDueSeptember2032Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:LineOfCreditEuroDenominatedFixedRateDueSeptember2032Memberus-gaap:UnsecuredDebtMember2020-11-300000815097us-gaap:UnsecuredDebtMember2021-11-300000815097us-gaap:UnsecuredDebtMember2020-11-300000815097us-gaap:EurodollarMembersrt:MinimumMemberus-gaap:UnsecuredDebtMemberccl:LineOfCreditEuroDenominatedFloatingRateDueOctober2032Member2020-12-012021-11-300000815097us-gaap:EurodollarMemberus-gaap:UnsecuredDebtMemberccl:LineOfCreditEuroDenominatedFloatingRateDueOctober2032Membersrt:MaximumMember2020-12-012021-11-300000815097us-gaap:UnsecuredDebtMemberccl:LineOfCreditEuroDenominatedFloatingRateDueOctober2032Member2021-11-300000815097srt:MinimumMemberus-gaap:EurodollarMember2020-12-012021-11-300000815097us-gaap:EurodollarMembersrt:MaximumMember2020-12-012021-11-300000815097ccl:RevolvingCreditFacilityMultiCurrencyUSDollarDenominatedMemberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:RevolvingCreditFacilityMultiCurrencyEuroDenominatedMemberus-gaap:UnsecuredDebtMember2021-11-30iso4217:EUR0000815097us-gaap:UnsecuredDebtMemberccl:RevolvingCreditFacilityMultiCurrencySterlingDenominatedMember2021-11-30iso4217:GBP0000815097us-gaap:RevolvingCreditFacilityMember2021-11-300000815097us-gaap:SecuredDebtMemberccl:FirstPrioritySeniorSecuredTermLoanFacilityDue2028Member2021-11-300000815097us-gaap:SecuredDebtMemberccl:SeniorSecuredTermLoanFacilityDue2025Member2021-06-300000815097ccl:SeniorSecuredTermLoanFacilityDue2025TrancheOneMemberus-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:SecuredDebtMember2021-06-012021-06-300000815097us-gaap:EurodollarMemberus-gaap:SecuredDebtMemberccl:SeniorSecuredTermLoanFacilityDue2025TrancheTwoMember2021-06-012021-06-300000815097us-gaap:SecuredDebtMemberccl:SeniorSecuredNotesDue2028Member2021-07-310000815097us-gaap:SecuredDebtMemberccl:FirstPrioritySeniorSecuredTermLoanFacilityDue2028Member2021-07-310000815097ccl:SeniorSecuredTermLoanFacilityDue2023Memberus-gaap:SecuredDebtMember2021-07-012021-07-310000815097us-gaap:SecuredDebtMemberccl:IncrementalTermLoanMember2021-10-310000815097us-gaap:SecuredDebtMemberccl:IncrementalTermLoanMember2021-10-012021-10-310000815097us-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:SecuredDebtMemberccl:IncrementalTermLoanMember2021-10-012021-10-310000815097us-gaap:UnsecuredDebtMemberccl:SeniorUnsecuredTermLoanFacilityDue2027Member2021-02-280000815097ccl:SeniorUnecuredNotesDue2029Memberus-gaap:UnsecuredDebtMember2021-11-300000815097ccl:ExportCreditFacilityDue2033Memberus-gaap:LineOfCreditMember2020-12-310000815097ccl:ExportCreditFacilityDue2033Memberus-gaap:LineOfCreditMember2021-07-3100008150972021-06-300000815097ccl:SeniorConvertibleNotesDue2023Memberus-gaap:ConvertibleDebtMember2020-11-300000815097ccl:SeniorConvertibleNotesDue2023Memberus-gaap:ConvertibleDebtMember2020-04-012020-12-310000815097ccl:SeniorConvertibleNotesDue2023Memberus-gaap:ConvertibleDebtMember2020-04-012020-04-300000815097ccl:SeniorConvertibleNotesDue2023Memberus-gaap:ConvertibleDebtMember2020-04-300000815097us-gaap:DebtInstrumentRedemptionPeriodTwoMemberccl:SeniorConvertibleNotesDue2023Memberus-gaap:ConvertibleDebtMember2020-12-012021-11-300000815097ccl:SeniorConvertibleNotesDue2023Memberus-gaap:ConvertibleDebtMember2021-11-300000815097ccl:SeniorConvertibleNotesDue2023Memberus-gaap:ConvertibleDebtMember2020-12-012021-11-300000815097ccl:SeniorConvertibleNotesDue2023Memberus-gaap:ConvertibleDebtMember2019-12-012020-11-300000815097us-gaap:ConvertibleDebtMember2021-11-300000815097ccl:DebtInstrumentDebtCovenantPeriodOneMember2020-12-012021-11-300000815097ccl:DebtInstrumentDebtCovenantPeriodTwoMember2020-12-012021-11-300000815097ccl:DebtInstrumentDebtCovenantPeriodThreeMember2020-12-012021-11-300000815097ccl:DebtInstrumentDebtCovenantPeriodFourMember2020-12-012021-11-300000815097ccl:DebtInstrumentDebtCovenantPeriodFiveMember2020-12-012021-11-3000008150972019-05-022019-05-02ccl:lawsuit0000815097us-gaap:PrepaidExpensesAndOtherCurrentAssetsMember2020-11-300000815097country:IT2014-12-012015-11-300000815097country:IT2020-12-012021-11-300000815097country:IT2019-12-012020-11-300000815097us-gaap:RepurchaseAgreementsMemberccl:CarnivalCorpMember2019-12-012020-11-300000815097us-gaap:RepurchaseAgreementsMemberccl:CarnivalPublicLimitedCompanyMember2019-12-012020-11-300000815097us-gaap:RepurchaseAgreementsMemberccl:CarnivalCorpMember2018-12-012019-11-300000815097us-gaap:RepurchaseAgreementsMemberccl:CarnivalPublicLimitedCompanyMember2018-12-012019-11-3000008150972019-12-012020-02-2900008150972020-03-012020-05-3100008150972020-06-012020-08-3100008150972020-09-012020-11-3000008150972018-12-012019-02-2800008150972019-03-012019-05-3100008150972019-06-012019-08-3100008150972019-09-012019-11-300000815097ccl:CarnivalCorpMember2021-11-300000815097ccl:CarnivalCorpMember2020-11-300000815097ccl:PublicOfferingMember2020-04-012020-04-300000815097ccl:PublicOfferingMember2020-04-300000815097ccl:ATMOfferingMember2020-10-310000815097ccl:ATMOfferingMember2020-10-012020-10-310000815097ccl:ATMOfferingMember2020-11-300000815097ccl:ATMOfferingMember2020-11-012020-11-300000815097ccl:PublicOfferingMember2021-02-012021-02-280000815097ccl:PublicOfferingMember2021-02-280000815097ccl:PublicOfferingMember2021-06-012021-11-300000815097ccl:PublicOfferingMember2021-11-300000815097us-gaap:CarryingReportedAmountFairValueDisclosureMemberccl:FixedRateMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-11-300000815097us-gaap:FairValueInputsLevel1Memberccl:FixedRateMemberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097ccl:FixedRateMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097ccl:FixedRateMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097us-gaap:CarryingReportedAmountFairValueDisclosureMemberccl:FixedRateMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-11-300000815097us-gaap:FairValueInputsLevel1Memberccl:FixedRateMemberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097ccl:FixedRateMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097ccl:FixedRateMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097us-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMemberccl:FloatingRateMember2021-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMemberccl:FloatingRateMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMemberccl:FloatingRateMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMemberccl:FloatingRateMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097us-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMemberccl:FloatingRateMember2020-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMemberccl:FloatingRateMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMemberccl:FloatingRateMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMemberccl:FloatingRateMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097us-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2021-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-11-300000815097us-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:FairValueMeasurementsNonrecurringMember2020-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsNonrecurringMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2021-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2020-11-300000815097us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2020-11-300000815097us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2021-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:ShortTermInvestmentsMember2021-11-300000815097us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:ShortTermInvestmentsMember2021-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:DerivativeFinancialInstrumentsAssetsMemberus-gaap:FairValueMeasurementsRecurringMember2021-11-300000815097us-gaap:DerivativeFinancialInstrumentsAssetsMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2021-11-300000815097us-gaap:DerivativeFinancialInstrumentsAssetsMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2021-11-300000815097us-gaap:FairValueInputsLevel1Memberus-gaap:DerivativeFinancialInstrumentsAssetsMemberus-gaap:FairValueMeasurementsRecurringMember2020-11-300000815097us-gaap:DerivativeFinancialInstrumentsAssetsMemberus-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2020-11-300000815097us-gaap:DerivativeFinancialInstrumentsAssetsMemberus-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2020-11-300000815097us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:DerivativeFinancialInstrumentsLiabilitiesMember2021-11-300000815097us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:DerivativeFinancialInstrumentsLiabilitiesMember2020-11-300000815097us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2021-11-300000815097us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2020-11-3000008150972021-03-012021-05-3100008150972019-07-012019-07-3100008150972020-07-012020-07-310000815097ccl:NorthAmericaandAustraliaMember2019-11-300000815097ccl:EuropeandAsiaMember2019-11-300000815097ccl:NorthAmericaandAustraliaMember2019-12-012020-11-300000815097ccl:EuropeandAsiaMember2019-12-012020-11-300000815097ccl:NorthAmericaandAustraliaMember2020-11-300000815097ccl:EuropeandAsiaMember2020-11-300000815097ccl:NorthAmericaandAustraliaMember2021-11-300000815097ccl:EuropeandAsiaMember2021-11-300000815097ccl:NAASegmentMember2020-12-012021-11-300000815097ccl:NAASegmentMember2019-12-012020-11-300000815097ccl:EASegmentMember2020-12-012021-11-300000815097ccl:EASegmentMember2019-12-012020-11-300000815097us-gaap:PrepaidExpensesAndOtherCurrentAssetsMemberus-gaap:CurrencySwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2021-11-300000815097us-gaap:PrepaidExpensesAndOtherCurrentAssetsMemberus-gaap:CurrencySwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-11-300000815097us-gaap:DesignatedAsHedgingInstrumentMember2021-11-300000815097us-gaap:CurrencySwapMemberus-gaap:DesignatedAsHedgingInstrumentMemberus-gaap:OtherNoncurrentLiabilitiesMember2021-11-300000815097us-gaap:CurrencySwapMemberus-gaap:DesignatedAsHedgingInstrumentMemberus-gaap:OtherNoncurrentLiabilitiesMember2020-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:DesignatedAsHedgingInstrumentMemberccl:AccruedLiabilitiesAndOtherLiabilitiesMember2021-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:DesignatedAsHedgingInstrumentMemberccl:AccruedLiabilitiesAndOtherLiabilitiesMember2020-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:DesignatedAsHedgingInstrumentMemberus-gaap:OtherNoncurrentLiabilitiesMember2021-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:DesignatedAsHedgingInstrumentMemberus-gaap:OtherNoncurrentLiabilitiesMember2020-11-300000815097us-gaap:CurrencySwapMemberus-gaap:CashFlowHedgingMember2021-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:CashFlowHedgingMember2021-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:CashFlowHedgingMember2020-11-300000815097us-gaap:NetInvestmentHedgingMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-12-012021-11-300000815097us-gaap:NetInvestmentHedgingMemberus-gaap:DesignatedAsHedgingInstrumentMember2019-12-012020-11-300000815097us-gaap:NetInvestmentHedgingMemberus-gaap:DesignatedAsHedgingInstrumentMember2018-12-012019-11-300000815097ccl:NetInvestmentHedgingExcludedComponentMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-12-012021-11-300000815097ccl:NetInvestmentHedgingExcludedComponentMemberus-gaap:DesignatedAsHedgingInstrumentMember2019-12-012020-11-300000815097ccl:NetInvestmentHedgingExcludedComponentMemberus-gaap:DesignatedAsHedgingInstrumentMember2018-12-012019-11-300000815097us-gaap:DesignatedAsHedgingInstrumentMemberccl:ForeignCurrencyContractsMember2020-12-012021-11-300000815097us-gaap:DesignatedAsHedgingInstrumentMemberccl:ForeignCurrencyContractsMember2019-12-012020-11-300000815097us-gaap:DesignatedAsHedgingInstrumentMemberccl:ForeignCurrencyContractsMember2018-12-012019-11-300000815097us-gaap:DesignatedAsHedgingInstrumentMemberus-gaap:ForeignExchangeOptionMember2020-12-012021-11-300000815097us-gaap:DesignatedAsHedgingInstrumentMemberus-gaap:ForeignExchangeOptionMember2019-12-012020-11-300000815097us-gaap:DesignatedAsHedgingInstrumentMemberus-gaap:ForeignExchangeOptionMember2018-12-012019-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-12-012021-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2019-12-012020-11-300000815097us-gaap:InterestRateSwapMemberus-gaap:DesignatedAsHedgingInstrumentMember2018-12-012019-11-300000815097us-gaap:CrossCurrencyInterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2020-12-012021-11-300000815097us-gaap:CrossCurrencyInterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2019-12-012020-11-300000815097us-gaap:CrossCurrencyInterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2018-12-012019-11-300000815097ccl:SterlingDenominatedDebtMember2021-11-300000815097ccl:SterlingDenominatedDebtMember2020-12-012021-11-300000815097srt:MinimumMember2021-11-300000815097srt:MaximumMember2021-11-30ccl:segment0000815097ccl:NorthAmericaandAustraliaMemberccl:CruiseMember2020-12-012021-11-300000815097ccl:CruiseMemberccl:EuropeandAsiaMember2020-12-012021-11-300000815097ccl:CruiseMember2020-12-012021-11-300000815097ccl:CruiseMemberccl:CruiseMember2020-12-012021-11-300000815097ccl:CruiseMember2021-11-300000815097ccl:TourAndOtherMember2020-12-012021-11-300000815097ccl:TourAndOtherMemberccl:CruiseMember2020-12-012021-11-300000815097ccl:TourAndOtherMember2021-11-300000815097ccl:NorthAmericaandAustraliaMemberccl:CruiseMember2019-12-012020-11-300000815097ccl:CruiseMemberccl:EuropeandAsiaMember2019-12-012020-11-300000815097ccl:CruiseMember2019-12-012020-11-300000815097ccl:CruiseMemberccl:CruiseMember2019-12-012020-11-300000815097ccl:CruiseMember2020-11-300000815097ccl:TourAndOtherMember2019-12-012020-11-300000815097ccl:TourAndOtherMemberccl:CruiseMember2019-12-012020-11-300000815097ccl:TourAndOtherMember2020-11-300000815097ccl:NorthAmericaandAustraliaMember2018-12-012019-11-300000815097ccl:NorthAmericaandAustraliaMemberccl:CruiseMember2018-12-012019-11-300000815097ccl:EuropeandAsiaMember2018-12-012019-11-300000815097ccl:CruiseMemberccl:EuropeandAsiaMember2018-12-012019-11-300000815097ccl:CruiseMember2018-12-012019-11-300000815097ccl:CruiseMemberccl:CruiseMember2018-12-012019-11-300000815097ccl:CruiseMember2019-11-300000815097ccl:TourAndOtherMember2018-12-012019-11-300000815097ccl:TourAndOtherMemberccl:CruiseMember2018-12-012019-11-300000815097ccl:TourAndOtherMember2019-11-300000815097srt:NorthAmericaMember2020-12-012021-11-300000815097srt:NorthAmericaMember2019-12-012020-11-300000815097srt:NorthAmericaMember2018-12-012019-11-300000815097srt:EuropeMember2020-12-012021-11-300000815097srt:EuropeMember2019-12-012020-11-300000815097srt:EuropeMember2018-12-012019-11-300000815097ccl:AustraliaAndAsiaMember2020-12-012021-11-300000815097ccl:AustraliaAndAsiaMember2019-12-012020-11-300000815097ccl:AustraliaAndAsiaMember2018-12-012019-11-300000815097ccl:AllOtherGeographicAreasMember2020-12-012021-11-300000815097ccl:AllOtherGeographicAreasMember2019-12-012020-11-300000815097ccl:AllOtherGeographicAreasMember2018-12-012019-11-300000815097ccl:RestrictedStockAndRestrictedStockUnitsMember2018-11-300000815097ccl:RestrictedStockAndRestrictedStockUnitsMember2018-12-012019-11-300000815097ccl:RestrictedStockAndRestrictedStockUnitsMember2019-11-300000815097ccl:RestrictedStockAndRestrictedStockUnitsMember2019-12-012020-11-300000815097ccl:RestrictedStockAndRestrictedStockUnitsMember2020-11-300000815097ccl:RestrictedStockAndRestrictedStockUnitsMember2020-12-012021-11-300000815097ccl:RestrictedStockAndRestrictedStockUnitsMember2021-11-300000815097us-gaap:PensionPlansDefinedBenefitMembercountry:GB2020-11-300000815097us-gaap:PensionPlansDefinedBenefitMembercountry:GB2019-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberus-gaap:ForeignPlanMember2020-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberus-gaap:ForeignPlanMember2019-11-300000815097us-gaap:PensionPlansDefinedBenefitMembercountry:GB2020-12-012021-11-300000815097us-gaap:PensionPlansDefinedBenefitMembercountry:GB2019-12-012020-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberus-gaap:ForeignPlanMember2020-12-012021-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberus-gaap:ForeignPlanMember2019-12-012020-11-300000815097us-gaap:PensionPlansDefinedBenefitMembercountry:GB2021-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberus-gaap:ForeignPlanMember2021-11-300000815097us-gaap:PensionPlansDefinedBenefitMember2021-11-300000815097us-gaap:PensionPlansDefinedBenefitMember2020-11-300000815097us-gaap:PensionPlansDefinedBenefitMembercountry:GB2018-12-012019-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberus-gaap:ForeignPlanMember2018-12-012019-11-300000815097srt:MinimumMemberus-gaap:PensionPlansDefinedBenefitMembercountry:GB2021-11-300000815097us-gaap:PensionPlansDefinedBenefitMembercountry:GBsrt:MaximumMember2021-11-300000815097srt:ScenarioForecastMemberus-gaap:PensionPlansDefinedBenefitMemberus-gaap:ForeignPlanMember2022-11-300000815097us-gaap:DefinedBenefitPlanEquitySecuritiesMember2021-11-300000815097us-gaap:DefinedBenefitPlanEquitySecuritiesMember2020-11-300000815097us-gaap:ForeignGovernmentDebtSecuritiesMember2021-11-300000815097us-gaap:ForeignGovernmentDebtSecuritiesMember2020-11-300000815097us-gaap:PensionPlansDefinedBenefitMember2020-12-012021-11-30ccl:planccl:section0000815097us-gaap:PensionPlansDefinedBenefitMember2019-12-012020-11-300000815097us-gaap:PensionPlansDefinedBenefitMember2018-12-012019-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberccl:MerchantNavyOfficersPensionFundMember2018-03-310000815097us-gaap:PensionPlansDefinedBenefitMemberccl:MerchantNavyOfficersPensionFundMember2019-12-012020-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberccl:MerchantNavyOfficersPensionFundMember2020-12-012021-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberccl:MerchantNavyOfficersPensionFundMember2018-12-012019-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberccl:MerchantNavyRatingsPensionFundMember2017-03-310000815097us-gaap:PensionPlansDefinedBenefitMemberccl:MerchantNavyRatingsPensionFundMember2020-12-012021-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberccl:MerchantNavyRatingsPensionFundMember2019-12-012020-11-300000815097us-gaap:PensionPlansDefinedBenefitMemberccl:MerchantNavyRatingsPensionFundMember2018-12-012019-11-300000815097us-gaap:StockCompensationPlanMember2020-12-012021-11-300000815097us-gaap:StockCompensationPlanMember2019-12-012020-11-300000815097us-gaap:ConvertibleDebtSecuritiesMember2020-12-012021-11-300000815097us-gaap:ConvertibleDebtSecuritiesMember2019-12-012020-11-300000815097us-gaap:CommonStockMemberus-gaap:ConvertibleDebtMember2020-12-012021-11-300000815097us-gaap:CommonStockMemberus-gaap:ConvertibleDebtMember2021-11-300000815097us-gaap:CommercialPaperMember2020-12-012021-11-300000815097us-gaap:CommercialPaperMember2018-12-012019-11-300000815097us-gaap:CommercialPaperMember2019-12-012020-11-30

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-K

(Mark One)
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended November 30, 2021 or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______________ to ________________

Commission file number: 001-9610
Carnival Corporation
CCL-20211130_G1.JPG
Carnival plc
(Exact name of registrant as
specified in its charter)
(Exact name of registrant as
specified in its charter)
 Republic of Panama
England and Wales
(State or other jurisdiction of
incorporation or organization)
(State or other jurisdiction of
incorporation or organization)
59-1562976 98-0357772
(I.R.S. Employer Identification No.) (I.R.S. Employer Identification No.)
3655 N.W. 87th Avenue Carnival House, 100 Harbour Parade,
Miami, Florida 33178-2428 Southampton SO15 1ST, United Kingdom
(Address of principal
executive offices
and zip code)
(Address of principal
executive offices
and zip code)
Commission file number: 001-15136
(305) 599-2600 011 44 23 8065 5000
(Registrant’s telephone number,
including area code)
(Registrant’s telephone number,
including area code)

Securities registered pursuant to Section 12(b) of the Act:
Title of each class Trading Symbol(s) Name of each exchange on which registered
Common Stock ($0.01 par value) CCL
New York Stock Exchange, Inc.
Ordinary Shares each represented by American Depositary Shares ($1.66 par value), Special Voting Share, GBP 1.00 par value and Trust Shares of beneficial interest in the P&O Princess Special Voting Trust
CUK
New York Stock Exchange, Inc.
1.875% Senior Notes due 2022 CUK22 New York Stock Exchange LLC
1.000% Senior Notes due 2029 CUK29 New York Stock Exchange LLC

Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the registrants are well-known seasoned issuers, as defined in Rule 405 of the Securities Act.
Yes     No

Indicate by check mark if the registrants are not required to file reports pursuant to Section 13 or Section 15(d) of the Act.
Yes     No

Indicate by check mark whether the registrants (1) have filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrants were required to file such reports), and (2) have been subject to such filing requirements for the past 90 days. Yes No

Indicate by check mark whether the registrants have submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrants were required to submit such files). Yes No

Indicate by check mark whether the registrants are large accelerated filers, accelerated filers, non-accelerated filers, smaller reporting companies, or emerging growth companies. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filers
Accelerated filers
Non-accelerated filers
Smaller reporting companies
Emerging growth companies

If emerging growth companies, indicate by check mark if the registrants have elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.   

Indicate by check mark whether the registrant has filed a report on and attestation to its management’s assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C 7262(b)) by the registered public accounting firm that prepared or issued its audit report. Yes ☑    No

Indicate by check mark whether the registrants are shell companies (as defined in Rule 12b-2 of the Act). Yes No

The aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity was last sold was $25.2 billion as of the last business day of the registrant’s most recently completed second fiscal quarter.

At January 13, 2022, Carnival Corporation had outstanding 986,363,933 shares of its Common Stock, $0.01 par value.
The aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity was last sold was $4.6 billion as of the last business day of the registrant’s most recently completed second fiscal quarter.

At January 13, 2022, Carnival plc had outstanding 185,007,921 Ordinary Shares $1.66 par value, one Special Voting Share GBP 1.00 par value and 986,363,933 Trust Shares of beneficial interest in the P&O Princess Special Voting Trust.

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the 2021 Annual Report and 2022 joint definitive Proxy Statement are incorporated by reference into Part II and Part III of this report.

1



CARNIVAL CORPORATION & PLC
FORM 10-K
FOR THE FISCAL YEAR ENDED NOVEMBER 30, 2021

TABLE OF CONTENTS
PART I
Item 1.
4
4
4
4
4
6
6
6
7
7
7
8
8
10
10
11
11
12
12
12
13
13
15
16
16
17
24
25
25
26
26
Item 1A.
27
Item 1B.
35
Item 2.
35
Item 3.
35
Item 4.
36
1


PART II
Item 5.
36
Item 6.
37
Item 7.
37
Item 7A.
37
Item 8.
37
Item 9.
37
Item 9A.
37
Item 9B.
38
Item 9C.
38
PART III
Item 10.
38
Item 11.
39
Item 12.
39
Item 13.
40
Item 14.
40
PART IV
Item 15.
40
Item 16.
48
    
2



DOCUMENTS INCORPORATED BY REFERENCE

The information described below and contained in the Registrants’ 2021 Annual Report to shareholders to be furnished to the U.S. Securities and Exchange Commission pursuant to Rule 14a-3(b) of the Securities Exchange Act of 1934 is shown in Exhibit 13 and is incorporated by reference into this joint 2021 Annual Report on Form 10-K (“Form 10-K”).

Part and Item of the Form 10-K

Part II

Item 5.    Market for Registrants’ Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities - Market Information, Holders and Performance Graph.

Item 6.    Reserved.

Item 7.    Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Item 7A.    Quantitative and Qualitative Disclosures About Market Risk.

Item 8.    Financial Statements and Supplementary Data.

Portions of the Registrants’ 2022 joint definitive Proxy Statement, to be filed with the U.S. Securities and Exchange Commission, are incorporated by reference into this Form 10-K under the items described below.

Part and Item of the Form 10-K

Part III

Item 10.    Directors, Executive Officers and Corporate Governance.

Item 11.    Executive Compensation.

Item 12.    Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters.

Item 13.    Certain Relationships and Related Transactions, and Director Independence.

Item 14.    Principal Accountant Fees and Services.

















3


PART I

Item 1. Business.

A. Overview

I.Summary

Carnival Corporation was incorporated in Panama in 1974 and Carnival plc was incorporated in England and Wales in 2000. Carnival Corporation and Carnival plc operate a dual listed company (“DLC”), whereby the businesses of Carnival Corporation and Carnival plc are combined through a number of contracts and through provisions in Carnival Corporation’s Articles of Incorporation and By-Laws and Carnival plc’s Articles of Association. The two companies operate as if they are a single economic enterprise with a single senior executive management team and identical Boards of Directors, but each has retained its separate legal identity. Carnival Corporation and Carnival plc are both public companies with separate stock exchange listings and their own shareholders. Together with their consolidated subsidiaries, Carnival Corporation and Carnival plc are referred to collectively in this Form 10-K as “Carnival Corporation & plc,” “our,” “us” and “we.” We are one of the world’s largest leisure travel companies with operations in North America, Australia, Europe and Asia.

II.    Recent Developments

Resumption of Guest Cruise Operations

In the face of the global impact of COVID-19, we paused our guest cruise operations in mid-March 2020. As of January 13, 2022, eight of our nine brands, or 67% of capacity, had resumed guest cruise operations as part of our gradual return to service. We expect to have our full fleet back in operation for our summer season where we historically generate the largest share of our operating income. Since the beginning of our fiscal year, we have experienced an impact on bookings for our near-term sailings, including higher cancellations resulting from an increase in pre-travel positive test results and challenges in the availability of timely pre-travel tests. In addition, in the last few weeks we have seen a dampening of the booking activity for the second half of 2022 relative to 2019. Despite the disruption caused by Omicron to the airlines and other forms of travel, we expect to be able to successfully operate over 96% of our previously disclosed available lower berth days (“ALBD’s”) in the first quarter of 2022.

We have worked closely with health and medical experts globally and nationally, as well as with authorities in
destination countries, to put in place comprehensive health and safety protocols for protection against and mitigation of
COVID-19 across the entire cruise experience for all of our nine brands. This includes cross-industry learnings and
best practices based on the proven health and safety record of industry-wide sailings, and input from top scientists and public
health, epidemiological and policy experts. Protocols have been and will continue to be updated based on evolving scientific
and medical knowledge related to mitigation strategies. Details about enhanced protocols, including the latest information and
requirements for each of our brands, is available on their websites.

Liquidity and Refinancing

We have taken actions to improve our liquidity, including completing various capital market transactions, capital and operating expense reductions during the pause in operations and accelerating the removal of certain less efficient ships from our fleet. As of November 30, 2021, we had $9.4 billion of liquidity including cash, short-term investments and borrowings available under our multi-currency revolving credit facility. Through our debt management efforts, we have refinanced over $9 billion to date, reducing our future annual interest expense by approximately $400 million per year and extending maturities, optimizing our debt maturity profile. In addition, we expect to continue to pursue additional refinancing opportunities to reduce interest expense and extend maturities.

Refer to Note 1 - “Liquidity and Management’s Plans”, “Management’s Discussion and Analysis of Financial Condition and Results of Operations, Critical Accounting Estimates - Liquidity and COVID-19” and to “Liquidity, Financial Condition and Capital Resources” for additional discussion regarding our liquidity.

III. Vision, Goals and Related Strategies

At Carnival Corporation & plc, our highest responsibility and top priority is compliance, environmental protection and the health, safety and well-being of our guests, the people in the communities we touch and serve, and our shipboard and shoreside employees. On this foundation, we aspire to deliver unmatched joyful vacations for our guests, always exceeding their
4


expectations and in doing so driving outstanding shareholder value. We are committed to a positive and just corporate culture, based on inclusion and the power of diversity. We operate with integrity, trust and respect for each other -- communicating, coordinating and collaborating while seeking candor, openness and transparency at all times. And we aspire to be an exemplary corporate citizen, leaving the people and the places we touch even better.

Our vision is based on four key pillars that are all paramount to the success of our business:

Compliance, health, environment, safety, security (“HESS”) and sustainability
Guests
Employees
Investors and other stakeholders

Compliance, HESS and Sustainability

We are committed to operating a safe and reliable fleet and to protect the environment and the health, safety and well-being of our guests, the people in the communities we touch and our shipboard and shoreside employees. We are dedicated to fully complying with, or exceeding, all applicable legal and statutory requirements. We are also focused on enhancing our sustainable business model while reinforcing our commitment to and investment in sustainability solutions through our six critical sustainability focus areas - climate action; circular economy; good health and well-being; sustainable tourism; biodiversity and conservation; and diversity, equity and inclusion. In order to continue supporting our sustainability strategy across our brands and business partners, we have established new goals for 2030 and aspirations for 2050 which incorporate the six key focus areas and align with elements of the United Nation’s Sustainable Development Goals and build on the momentum of our successful achievement of our 2020 sustainability goals. A key focus of our sustainability efforts is climate action, which includes our commitment to reduce carbon emissions.

Guests

Our goal is to deliver unmatched joyful vacations for our guests by consistently exceeding their expectations while providing them with a wide variety of exceptional vacation experiences and attractive itineraries. We believe that our portfolio of brands is instrumental to this, alongside our continual focus on helping our guests choose the cruise brand that will best meet their unique needs and desires, improving their overall vacation experiences and building state-of-the-art ships with innovative onboard offerings and providing unequaled service to our guests.

Employees

Our goal is to foster a positive and just corporate culture, based on inclusion and the power of diversity that supports the recruitment, development and retention of the finest employees. A team of highly motivated and engaged employees is key to delivering unmatched joyful vacations that exceed our guests’ expectations. Understanding the critical skills that are needed for outstanding performance is crucial in order to hire and train our officers, crew and shoreside personnel. We believe in building trust-based relationships and listening to and acting upon our employees’ perspectives and ideas and using employee feedback tools to monitor and improve our progress in this area. We are a diverse organization and value and support our talented and diverse employee base. We are committed to employing people from around the world and hiring individuals based on the quality of their experience, skills, education and character, without regard for their identification with any group or classification of people.

Investors and Other Stakeholders

We value the relationships we have with our investors and other stakeholders, including travel agents, trade associations, communities, regulatory bodies, media, creditors, insurers, shipbuilders, governments and suppliers. Strong relationships with our travel agent partners are especially vital to our success. We believe that engaging stakeholders in a mutually beneficial manner is critical to our long-term success. As part of this effort, we believe we must continue to be an outstanding corporate citizen in the communities in which we operate. Our brands work to meet or exceed their economic, environmental, ethical and legal responsibilities.

5


B. Global Cruise Industry

I. Overview

In the face of the global impact of COVID-19, we paused our guest cruise operations in mid-March 2020. As of January 13, 2022, eight of our nine brands, or 67% of capacity, had resumed guest cruise operations as part of our gradual return to service. We expect to have our full fleet back in operation for our summer season where we historically generate the largest share of our operating income.

We believe cruising offers a broad range of products and services to suit vacationing guests of many ages, backgrounds and interests. Each brand in our portfolio meets the needs of a unique set of consumer psychographics and vacation needs which allows us to penetrate large addressable customer segments. The mobility of cruise ships enables us to move our vessels between regions in order to meet changing demand across different geographic areas.

Cruise brands can be broadly classified as offering contemporary, premium and luxury cruise experiences. The contemporary experience has a more casual ambiance and historically includes cruises that last seven days or less. The premium experience emphasizes quality, comfort, style and more destination-focused itineraries and appeals to those who are more affluent. Historically, the premium experience includes cruises that last from seven to 14 days. The luxury experience is usually characterized by very high standards of accommodation and service, smaller vessel size and exotic itineraries to ports that are inaccessible by larger ships. We have product and service offerings in each of these three broad classifications.
    
II. Passenger Capacity by Ocean Going Vessels

Passenger Capacity as of December 31 (a) (b)
Calendar Year Global Cruise
Industry (c)
Carnival
Corporation & plc
2018 555,570  244,830 
2019 589,820  254,010 
2020 607,500  246,450 
2021 636,270  253,950 
2022 688,070  268,310 
2023 726,940  277,010 
2024 757,620  281,280 

Passenger Capacity Compound
Annual Growth Rate (a)
Calendar Years Global Cruise
Industry (c)
Carnival
Corporation & plc
2019 - 2021 4.6  % 1.2  %
2022 - 2024 6.0  % 3.5  %

(a)Includes ships which have resumed guest cruise operations and ships in pause status expected to return to guest cruise operations. 2022-2024 data is estimated based on announced newbuilds and ship retirements and does not include an estimate for unannounced ship retirements.
(b)In accordance with cruise industry practice, passenger capacity is calculated based on the assumption of two passengers per cabin even though some cabins can accommodate three or more passengers.
(c)Global cruise industry data was obtained from Cruise Industry News.

6


C. Our Global Cruise Business

I. Segment Information
Ships in Service or Expected to Return to Service as of
November 30, 2021 (a)
Passenger Capacity Percentage of Total Capacity Number of Cruise Ships
North America and Australia (“NAA”) Segment
   Carnival Cruise Line (b) 74,710 31  % 25
   Princess Cruises 42,610 18  14
   Holland America Line 22,920 11
   P&O Cruises (Australia) 7,230 3
   Seabourn 2,570 5
150,050 62  58 
Europe and Asia (“EA”) Segment
   Costa Cruises (“Costa”)
36,520 15  11
   AIDA Cruises (“AIDA”)
30,770 13  13
   P&O Cruises (UK) 19,020 6
   Cunard 6,830 3
93,130 38  33 
243,180 100  % 91 

(a)As of January 13, 2022, eight of our nine brands, or 67% of capacity, had resumed guest cruise operations as part of our gradual return to service.
(b)Includes Costa Magica, which we previously announced will be entering the Carnival Cruise Line fleet.

We also have a Cruise Support segment that includes our portfolio of leading port destinations and other services, all of which are operated for the benefit of our cruise brands.

In addition to our cruise operations, we own Holland America Princess Alaska Tours, the leading tour company in Alaska and the Canadian Yukon, which complements our Alaska cruise operations. Our tour company owns and operates hotels, lodges, glass-domed railcars and motorcoaches which comprise our Tour and Other segment.

II. Passengers Carried

In 2021, we carried 1.2 million passengers, consisting of 0.7 million carried by our NAA segment and 0.5 million carried by our EA segment, which was lower than our historical levels as a result of the gradual resumption of guest cruise operations. In 2019, our most recent full year of guest cruise operations, our brands carried 12.9 million passengers, 8.6 million carried by our NAA segment and 4.2 million carried by our EA segment.

7


III. Ships Under Contract for Construction

As of November 30, 2021, we have a total of 11 cruise ships expected to be delivered through 2025. Our ship construction contracts are with Fincantieri and MARIOTTI in Italy, Meyer Werft in Germany and Meyer Turku in Finland.
  Expected Delivery Date  Passenger Capacity
Lower Berth
   Carnival Cruise Line
Carnival Celebration November 2022 5,250 
Carnival Jubilee October 2023 5,440 
   Princess Cruises
Discovery Princess January 2022 3,660 
Newbuild (a) January 2024 4,270 
Newbuild (a) July 2025 4,270 
   Seabourn
Seabourn Venture March 2022 260 
Seabourn Pursuit February 2023 260 
   Costa
Costa Toscana December 2021 5,330 
   AIDA
AIDAcosma December 2021 5,440 
   P&O Cruises (UK)
Arvia December 2022 5,190 
   Cunard
Newbuild December 2023 3,000 

(a)Ships are subject to financing
    

IV. Cruise Brands

CCL-20211130_G2.JPG
Carnival Cruise Line is “The World’s Most Popular Cruise Line®” and has provided multi-generational family entertainment at exceptional value to its guests for nearly 50 years. Carnival Cruise Line creates an environment where guests can be their most playful selves on ships that are designed to inspire the experience of bringing people together, with limitless opportunities for guests to create their own fun.

CCL-20211130_G3.JPG

For over 55 years, Princess has sailed the world bringing people closer together – by connecting guests to their loved ones, exciting cultures and new friends. The endless choices are enhanced by Princess MedallionClass experiences, which are enabled by a revolutionary wearable that supports a seamless, effortless, and personalized vacation, and are combined with our global destination expertise delivered through programs such as “North to Alaska”.
8



CCL-20211130_G4.JPG

For more than 145 years, Holland America Line has delivered a distinctively classic, European style of cruising throughout its fleet of mid-sized premium ships. Guests of all ages enjoy immersive travel through engaging experiences onboard and in-depth cultural experiences as part of their exploration of fascinating destinations around the world. Holland America Line believes travel has the power to change the world and has defined their higher purpose to help make the world a better place through opening minds, building connections and inspiring shared humanity.

CCL-20211130_G5.JPG

For almost 90 years, P&O Cruises (Australia) has taken Australians & New Zealanders on dream holidays to the South Pacific filled with amazing entertainment, world-class dining, idyllic destinations and unforgettable onboard experiences. With P&O Cruises (Australia) you can choose to do everything, or nothing at all.

CCL-20211130_G6.JPG

Seabourn’s ultra-luxury resorts at sea represent the most advanced evolution of intimate, small-ship cruising with all ocean-front suites, beautifully designed spaces and exceptionally refined amenities. The official cruise line partner of UNESCO World Heritage, Seabourn offers discerning travelers immersive destination experiences on all seven continents. A variety of prestigious partnerships enhance the ships’ award-winning cuisine, world-class spa & wellness and other onboard enrichments, and our staffs’ unique style of sincere, heartfelt hospitality adds unforgettable Seabourn Moments to every voyage.
CCL-20211130_G7.GIF

Costa delivers Italy’s finest at sea primarily serving guests from Continental Europe and Asia. Costa brings a modern Italian lifestyle to its ships and provides guests with a true European experience that embodies a uniquely Italian passion for life through warm hospitality, entertainment and gastronomy that makes Costa different from any other cruise experience.

CCL-20211130_G8.JPG

AIDA is the leading and most recognized brand in the German cruise market. Its guests enjoy the German inspired active, premium modern lifestyle cruise experience. AIDA provides a cruising wellness holiday in modern comfort where guests feel at home and enjoy consistently excellent service accompanied by the AIDA smile.

9


CCL-20211130_G9.JPG

P&O Cruises (UK) is Britain’s favorite cruise line, welcoming guests to extraordinary travel experiences designed in a distinctively British way - through a blend of discovery, relaxation and exceptional service catered towards British tastes. P&O Cruises (UK)’s fleet of premium ships deliver authentic travel experiences around the globe, combining style, quality and innovation with a sense of occasion and attention to detail, to create a truly memorable holiday.

CCL-20211130_G10.JPG

For over 180 years, the iconic Cunard fleet has perfected the timeless art of luxury ocean travel. While onboard, Cunard guests experience unique signature moments, from Cunard’s white gloved afternoon tea service to spectacular gala evening balls to its renowned Insights Speaker program. Guest expectations are exceeded through Cunard’s exemplary White Star Service®. From the moment a guest steps onboard, every detail of their voyage is curated to ensure they feel special and are inspired by unique events. Onboard Cunard, guests are free to do as much or as little as they please.


V. Principal Source Geographic Areas

 Carnival Corporation & plc
Cruise Guests Carried
(in thousands) 2021 2019
Brands Mainly Serving
United States and Canada 660 7,170 Carnival Cruise Line, Princess Cruises, Holland America Line, Seabourn and Cunard
Continental Europe 390 2,590 Costa and AIDA
Asia 0 1,110 Princess Cruises and Costa
Australia and New Zealand 0 920 Carnival Cruise Line, Princess Cruises and
P&O Cruises (Australia)
United Kingdom 170 780 P&O Cruises (UK) and Cunard
Other 10 300
Total 1,220 12,870

Due to the gradual resumption of guest cruise operations, data for 2021 is not representative of a typical full year of operations. Due to the impact of COVID-19 on the global cruise industry, data for 2020 is not meaningful and is not included in the table. We have provided 2019 data as we believe it is most representative of our future Principal Source Geographic Areas.

VI. Cruise Programs
Carnival Corporation & plc
Percentage of Passenger Capacity by Itinerary
2021 2019
Caribbean 32  % 32  %
Europe without Mediterranean 23  14 
Mediterranean 29  13 
Australia and New Zealand — 
Alaska
China — 
Other 12  25 
100  % 100  %

10


Due to the gradual resumption of guest cruise operations, data for 2021 is not representative of a typical full year of operations. Due to the impact of COVID-19 on the global cruise industry, data for 2020 is not meaningful and is not included in the table. We have provided 2019 data as we believe it is most representative of our future Cruise Programs.

VII. Cruise Pricing and Payment Terms

Each of our cruise brands publishes prices for the upcoming seasons primarily through the internet, although published materials such as direct mailings are also used. Our brands have multiple pricing levels that vary by source market, category of guest accommodation, ship, season, duration and itinerary. Cruise prices frequently change in a dynamic pricing environment and are impacted by a number of factors, including the number of available cabins for sale in the marketplace and the level of guest demand. We offer a variety of special promotions, including early booking, past guest recognition and travel agent programs.

Our bookings are generally taken several months in advance of the cruise departure date. Historically, the longer the cruise itinerary the further in advance the bookings are made. This lead time allows us to manage our prices in relation to demand for available cabins through the use of advanced revenue management capabilities and other initiatives.

The cruise ticket price typically includes the following:

Accommodations
Most meals, including snacks at numerous venues
Access to amenities such as swimming pools, water slides, water parks, whirlpools, a health club, and sun decks
Child care and supervised youth programs
Entertainment, such as theatrical and comedy shows, live music and nightclubs
Visits to multiple destinations

We offer value added packages to induce ticket sales to guests and groups and to encourage advance purchase of certain onboard items. These packages are bundled with cruise tickets and sold to guests for a single price rather than as a separate package and may include one or more of the following:

 • Beverage packages  • Internet packages
 • Shore excursions  • Photo packages
 • Air packages  • Onboard spending credits
 • Specialty restaurants  • Service charges

Our brands’ payment terms generally require that a guest pay a deposit to confirm their reservation and then pay the balance due before the departure date. We have provided flexibility to guests with bookings on sailings cancelled due to the pause in guest cruise operations by allowing guests to receive enhanced future cruise credits (“FCC”) or to elect to receive refunds in cash.

VIII. Seasonality

Our passenger ticket revenues are seasonal. Historically, demand for cruises has been greatest during our third quarter, which includes the Northern Hemisphere summer months. This higher demand during the third quarter results in higher ticket prices and occupancy levels and, accordingly, the largest share of our operating income is typically earned during this period. This historical trend was disrupted in 2020 by the pause and in 2021 by the gradual resumption of guest cruise operations. In addition, substantially all of Holland America Princess Alaska Tours’ revenue and net income (loss) is generated from May through September in conjunction with Alaska’s cruise season. Since 2020, the Alaska cruise seasons have been adversely impacted by the continued effects of COVID-19.

11


IX. Onboard and Other Revenues

Onboard and other activities are provided either directly by us or by independent concessionaires, from which we receive either a percentage of their revenues or a fee. Concession revenues do not have direct expenses because the costs and services incurred for concession revenues are borne by our concessionaires. In 2021, we earned 45% of our cruise revenues from onboard and other revenue goods and services. In 2019, our most recent full year of guest cruise operations, we earned 30% of our cruise revenues from onboard and other revenues.
    Beverage sales
    Internet and communication services
    Casino gaming
    Full service spas
    Shore excursions
    Specialty restaurants
    Retail sales
    Art sales
    Photo sales
    Laundry and dry cleaning services

X. Marketing Activities

Guest feedback and research support the development of our overall marketing and business strategies to drive demand for cruises and increase the number of first-time cruisers. Our goal has always been to increase consumer awareness for cruise vacations and further grow our share of their vacation spend. We measure and evaluate key drivers of guest loyalty and their satisfaction with our products and services that provide valuable insights about guests’ cruise experiences. We closely monitor our net promoter scores, which reflect the likelihood that our guests will recommend our brands’ cruise products and services to friends and family.

While we significantly reduced our marketing activities during 2020 and 2021 as a result of COVID-19, our brands historically have had comprehensive marketing and advertising programs across diverse mediums to promote their products and services to vacationers and our travel agent partners. Each brand’s marketing activities have generally been designed to reach a local region in the local language. Our marketing efforts historically have allowed us to attract new guests online by leveraging the reach and impact of digital marketing and social media. Over time, we have invested in new marketing technologies to deliver more engaging and personalized communications. This has helped us cultivate guests as advocates of our brands, ships, itineraries and onboard products and services.

Substantially all of our cruise brands offer past guest recognition programs that reward repeat guests with special incentives such as reduced fares, gifts, onboard activity discounts, complimentary laundry and internet services, expedited ship embarkation and disembarkation and special onboard activities.

XI. Sales Channels

We sell our cruises through travel agents, tour operators, company vacation planners and our websites. Our individual cruise brands’ relationships with their travel agent partners are generally independent of each of our other brands. Our travel agents relationships are generally not exclusive and travel agents generally receive a base commission, plus the potential of additional commissions, including discounts or complimentary tour conductor cabins, based on the achievement of pre-defined sales volumes.

Travel agent partners are an integral part of our long-term cruise distribution network and are critical to our success. We utilize local sales teams to motivate travel agents to support our products and services with competitive sales and pricing policies and joint marketing and advertising programs. We also employ a wide variety of educational programs, including websites, seminars and videos, to train agents on our cruise brands and their products and services. In 2021, due to physical distancing requirements, we held a variety of virtual training and educational programs to continue to support and develop our travel agent partners.

All of our brands have internet booking engines to allow travel agents to book our cruises. We also support travel agent booking capabilities through global distribution systems. All of our cruise brands have their own consumer websites that provide access to information about their products and services to users and enable their guests to quickly and easily book cruises and other products and services online. These sites interface with our brands’ social networks, blogs and other social media sites, which allow them to develop greater contact and interaction with their guests before, during and after their cruise. We also employ vacation planners who support our sales initiatives by offering our guests one-on-one cruise planning expertise and other services.

12


    XII. Ethics and Compliance

We believe a clear and strong ethics and compliance culture is imperative for the future success of any corporation. Our compliance framework includes an Ethics and Compliance (“E&C”) governance function, as well as an ethics and compliance strategic plan. Our Chief Ethics and Compliance Officer, an executive officer and member of the executive leadership team, leads the effort to promote and monitor a strong ethics and compliance culture and further develop our E&C governance function throughout the company. This function involves monitoring compliance with health, environment, safety, security laws and other regulations, compliance risk management, improved compliance training programs for our employees, thorough investigations relating to health, environmental and safety incidents and efforts to strengthen our corporate culture. More specifically, the E&C governance function’s strategic plan sets out the following four goals:

Align and build upon fundamental principles - strengthen culture to support ethics and compliance
Be proactive and embrace a risk-based approach - develop a more strategic mindset
Assemble the people, platform and processes - organize ethics and compliance leadership, governance, systems and access to data and procedures
Listen and learn - promote open communications: speaking up, listening, learning and responding

By taking these measures, we heightened our commitment to operate with integrity, which includes not only complying with applicable laws, but also treating our guests, employees and stakeholders with honesty, transparency and respect. To further heighten the focus on ethics and compliance, the Boards of Directors established the Compliance Committees, which oversee the E&C governance function, maintain regular communications with the Chief Ethics and Compliance Officer and ensure implementation of the E&C governance function’s strategic plan.

In 2020, despite the challenges related to COVID-19, we prioritized various improvements to be made during the pause in guest cruise operations called the Pause Priorities Plan. Throughout 2020 and 2021, we continued to make various improvements throughout our business. These improvements included the following:

In the environmental arena, we made progress on improving on and investing in food waste management; developing criteria used for bringing back qualified environmental and technical talent when we resumed guest cruise operations; launching our Fleet Environmental Officer Program to further support, train and coach our environmental officers; developing a new and improved virtual environmental training program for Environmental Officers; and improving our efforts to conduct due diligence on the waste vendors that we engage across the company.
For health, safety and security, we have made substantial progress in developing new protocols, installation of filters and testing equipment, and new awareness training to respond to COVID-19 and to comply with governmental regulations.
To strengthen our capabilities to conduct internal investigations of HESS incidents, we revised and improved our investigation procedures and developed new training on root cause analysis.
To continue strengthening the corporate culture, we developed a Culture Action Plan, which consists of various activities undertaken since 2020, including efforts to highlight and incentivize key actions and behaviors, new trainings for managers and leaders, more frequent communications, revised performance evaluations and culture surveys to measure progress. More specifically, we implemented our Culture Essentials, which are the key actions and behaviors we are encouraging and reinforcing to further strengthen our culture.

XIII. Sustainability

We strive to be a company that people want to work for and to be an exemplary global corporate citizen. Our commitment and actions to keep our guests and crew members safe and comfortable, protect the environment, develop and provide opportunities for our workforce, strengthen stakeholder relations and enhance both the communities where we work as well as the port communities that our ships visit, are reflective of our brands’ core values and vital to our success as a business enterprise.

We have established new goals for 2030 which incorporate six key focus areas listed below that align with elements of the United Nation’s Sustainable Development Goals and build on the momentum of our successful achievement of our 2020 sustainability goals. A key focus of our sustainability efforts is climate action which includes our commitment to reduce carbon emissions.

Climate Action 2030 Goals
Achieve 40% carbon intensity reduction relative to our 2008 baseline measured in both grams of CO2e per ALB-km and grams of CO2e per ALBD
13


Having peaked our absolute carbon emissions in 2011, we plan to continue to reduce emissions over time, and identify a pathway to decarbonization
Reduce absolute particulate matter air emissions by 50% relative to our 2015 baseline
Increase fleet shore power connection capability to 60% of the fleet
Expand liquefied natural gas (“LNG”) program
Optimize the reach and performance of our Advanced Air Quality System program
Expand battery, fuel cell and biofuel capabilities
Reduce supply chain emissions associated with food procurement and waste management
Identify carbon offset options only when energy efficiency options have been exhausted

Circular Economy 2030 Goals
Achieved more than 50% reduction in single-use plastic items in 2021 relative to our 2018 baseline based on ships that have restarted during our gradual resumption of guest cruise operations
Achieve 50% reduction in single-use plastic items in 2022 relative to our 2018 baseline based on full fleet operations
Achieve 30% unit food waste reduction by 2022 and 50% by 2030 relative to our 2019 baseline
Increase Advanced Waste Water Treatment System coverage to more than 75% of our fleet capacity
Send a larger percentage of waste to waste-to-energy facilities where practical
Partner with primary vendors to reduce upstream packaging volumes

Good Health and Well-Being 2030 Goals
Committed to continued job creation
Implement global well-being standards by 2023
Reduce the number of guest and crew work-related injuries
Establish measurable Company Culture metrics and set annual improvement targets

Sustainable Tourism 2030 Goals
Establish partnerships with destinations focused on sustainable economic development, preservation of local traditions and capacity management
Continue to support disaster resilience, relief and recovery efforts
Build stronger community relationships in our employment bases and destinations via employee volunteering programs

Biodiversity and Conservation 2030 Goals
Support biodiversity and conservation initiatives through select nongovernmental organization partnerships
Conduct audits and monitor animal encounter excursions regularly

Diversity, Equity and Inclusion 2030 Goals
Ensure our overall shoreside employee base reflects the diversity of the world by 2030
Expand shipboard and shoreside diversity, equity and inclusion across all ranks and departments by 2030

Since the pause in guest cruise operations, we have accelerated our capacity optimization strategy, which includes the removal of less efficient ships from our fleet. This strategy, together with our ongoing ship newbuild program, which includes the delivery of more efficient ships and the natural retirement of less efficient ships, has been and will continue to be a factor in our expected ability to achieve our 2030 carbon intensity reduction goal. Furthermore, we have invested over $350 million in energy efficiency improvements in our existing fleet since 2016 and expect to continue to make similar investments as part of our plan to achieve our 2030 sustainability goals.

As part of our plan for carbon footprint reduction, we lead the cruise industry’s use of LNG powered cruise ships with a total of 11 next-generation cruise ships that are expected to join the fleet through 2025, including four ships already in operation as of November 30, 2021. In total, these ships are expected to represent 20% of our total future capacity. LNG vessels generate up to 20% less carbon emissions than traditionally powered ships, while almost eliminating sulfur oxides, reducing nitrogen oxides by 85% and particulate matter by 95%-100%. While fossil fuels are currently the only viable option for our industry, we are closely monitoring technology developments and partnering with key organizations on research and development to support our carbon emission reduction goals. For example, we are partnering to evaluate and pilot maritime scale battery technology and methanol powered fuel cells and working with classification societies and other stakeholders to assess lower carbon fuel options for cruise ships including hydrogen, methanol, eLNG, and biofuels. We also pioneered the use of Advanced Air Quality Systems on board our ships to aid in the reduction of sulfur emissions and are promoting the use of shore power, enabling ships to use shoreside electric power where available while in port. We do not expect the incremental efforts to meet our 2030 sustainability goals to have a material impact on our financial statements.

14


In addition to the 2030 sustainability goals, we have announced our 2050 aspirations. We are committed to continuing our reduction of carbon emissions and have aspirations to achieve net carbon-neutral ship operations by 2050, well ahead of current IMO targets, while minimizing the use of carbon offsets. To achieve this aspiration, we are partnering with key organizations to help identify and scale new technologies not yet ready for the cruise industry. We believe our scale will support our effort to lead the industry in climate action.

We voluntarily publish Sustainability Reports that address governance, stakeholder engagement, environmental, labor, human rights, society, product responsibility, economic and other sustainability-related issues and performance indicators. These reports, which are not incorporated in this document but can be viewed at www.carnivalcorp.com, www.carnivalplc.com and www.carnivalsustainability.com, were developed in accordance with the Global Reporting Initiative (“GRI”) Standards, the global standard for sustainability reporting. For the first time, within our separate sustainability report, we have voluntarily incorporated disclosures in accordance with the Sustainability Accounting Standards Board (“SASB”) framework and reported our progress consistent with the Task Force on Climate-Related Financial Disclosures (“TCFD”) guidance. We have been publishing Sustainability Reports since 2011.

    XIV. Human Capital Management and Employees

Our shipboard and shoreside employees are sourced from well over 100 countries. In connection with our gradual resumption of guest cruise operations in 2021, we increased the number of employees onboard certain of our ships from the reduced levels during the pause in guest cruise operations. In 2021, we had an average of 30,000 employees onboard our ships, excluding employees on leave. Our shoreside operations had an annual average of 9,000 full-time and 1,000 part-time/seasonal employees. As a result of the reduction in our shoreside workforce during the early part of our pause in guest cruise operations to preserve cash, we require additional personnel to support the return of our full fleet to guest cruise operations. During 2021, we opened a significant number of shoreside positions, many of which remained open as of November 30, 2021 due to an increasingly competitive labor market. In 2019, our most recent full year of guest cruise operations, we had an average of 92,000 employees on our ships, excluding employees on leave and our shoreside operations had an annual average of 12,000 full-time and 2,000 part-time/seasonal employees. Holland America Princess Alaska Tours significantly increases its work force during the late spring and summer months in connection with the Alaskan cruise season. We have entered into agreements with unions covering certain employees on our ships and in our shoreside hotel and transportation operations. The percentages of our shipboard and shoreside employees that are represented by collective bargaining agreements are 58% and 28%, respectively. We consider our employee and union relationships to be strong.

A team of highly motivated and engaged employees is key to delivering unmatched joyful vacations that exceed our guests’ expectations. To facilitate the recruitment, development and retention of our valuable team members, we strive to make Carnival Corporation & plc a diverse, inclusive and safe workplace, with opportunities for our employees to grow and develop in their careers.

a.Talent Development

We believe in the investment in our team members through the training and development of both shoreside and shipboard employees. During the pause in guest cruise operations, our training teams have made significant progress in delivering virtual training to augment the normal training historically completed in-person. We anticipate that as we continue to transition to full guest cruise operations that we will continue to leverage a combination of virtual and in-person training to ensure that our teams are well-prepared to carry out their individual and collective responsibilities.

For our shipboard employees, our goal is to be a leader in delivering high quality professional maritime training, as evidenced by the Arison Maritime Center. The Center is home to the Center for Simulator Maritime Training (“CSMART”). The leading-edge CSMART Academy features the most advanced bridge and engine room simulator technology and equipment available, with the capacity to provide annual professional training for all our bridge, engineering and environmental officers. CSMART participants receive a maritime training experience that fosters advanced knowledge and skills development, critical thinking and problem solving; all in a professional learning environment where our corporate culture is reinforced. CSMART also offers training related to LNG technology as well as an environmental officer training program and additional environmental courses for bridge and engineering officers to further enhance our training on environmental awareness and protection.

b.Succession Planning

Our Boards of Directors believe that planning for succession is an important function. Our multi-brand structure enhances our succession planning process. At the corporate level, a highly-skilled management team oversees a collection of cruise brands.
15


At both the corporate and brand levels, we continually strive to foster the professional development of senior management and other critical roles. As a result, Carnival Corporation & plc has developed a very experienced and strong group of leaders, with their performance subject to ongoing monitoring and evaluation, as potential successors to all of our senior executive positions, including our Chief Executive Officer.

XV. Supply Chain

We incur expenses for goods and services to deliver exceptional cruise experiences to our guests. In addition, we incur significant capital expenditures for materials to support the refurbishment and enhancements of our vessels as well as to build new ships. We approach our spend strategically and look for suppliers who demonstrate the ability to help us leverage our scale in terms of cost, quality, service, innovation and sustainability. We are focused on the creation of strategic partnerships and will streamline our supplier base where it is prudent and on a risk-based basis. Our largest capital investments are for the construction of new ships.

COVID-19 is continuing to impact global supply markets and supply chains, resulting in shortages, extended lead times and increased inflation impacting our operations and profitability. We are applying a number of different strategies to mitigate the impact of these challenges on our operations, including extending our demand planning, placing purchase orders earlier, leveraging corporate contracts, utilizing short term contracts and leveraging our supplier relationships.

XVI.     Insurance

a.General
We maintain insurance to cover a number of risks associated with owning and operating our vessels and other non-ship related risks. All such insurance policies are subject to coverage limits, exclusions and deductible levels. Insurance premiums are dependent on our own loss experience and the general premium requirements of our insurers. We maintain certain levels of deductibles for substantially all the below-mentioned coverages. We may increase our deductibles to mitigate future premium increases. We do not carry coverage related to loss of earnings or revenues from our ships or other operations.

b.Protection and Indemnity (“P&I”) Coverages

Liabilities, costs and expenses for illness and injury to crew, guest injury, pollution and other third-party claims in connection with our cruise activities are covered by our P&I clubs, which are mutual indemnity associations owned by ship owners.

We are members of three P&I clubs, Gard, Steamship Mutual and UK Club, which are part of a worldwide group of 13 P&I clubs, known as the International Group of P&I Clubs (the “IG”). The IG insures directly, and through broad and established reinsurance markets, a large portion of the world’s shipping fleets. Coverage is subject to the P&I clubs’ rules and the limits of coverage are determined by the IG.

c.Hull and Machinery Insurance

We maintain insurance on the hull and machinery of each of our ships for reasonable amounts as determined by management. The coverage for hull and machinery is provided by large and well-established international marine insurers. Insurers make it a condition for insurance coverage that a ship be certified as “in class” by a classification society that is a member of the International Association of Classification Societies (“IACS”). All of our ships are routinely inspected and certified to be in class by an IACS member.

d.War Risk Insurance

We use a combination of insurance and self-insurance to cover war risk for legal liability to crew, guests and other third parties as well as loss or damage to our vessels arising from war or war-like actions. Our primary war risk insurance coverage is provided by international marine insurers and our excess war risk insurance is provided by our three P&I clubs. Under the terms of our war risk insurance coverage, which are typical for war risk policies in the marine industry, insurers can give us seven days’ notice that the insurance policies will be canceled. However, the policies can be reinstated at different premium rates.

16


e.Other Insurance

We maintain property insurance covering our shoreside assets and casualty insurance covering liabilities to third parties arising from our hotel and transportation business, shore excursion operations and shoreside operations, including our port and related commercial facilities. We also maintain worker’s compensation, director’s and officer’s liability and other insurance coverages.

XVII. Governmental Regulations

a. Maritime Regulations

1. General

Our ships are regulated by numerous international, national, state and local laws, regulations, treaties and other legal requirements, as well as voluntary agreements, which govern health, environmental, safety and security matters in relation to our guests, crew and ships. These requirements change regularly, sometimes on a daily basis, depending on the itineraries of our ships and the ports and countries visited. If we violate or fail to comply with any of these laws, regulations, treaties and other requirements, we could be fined or otherwise sanctioned by regulators. We are committed to complying with, or exceeding, all relevant maritime requirements.

The primary regulatory bodies that establish maritime laws and requirements applicable to our ships include:

The International Maritime Organization (“IMO”): All of our ships, and the maritime industry as a whole, are subject to the maritime safety, security and environmental regulations established by the IMO, a specialized agency of the United Nations. The IMO’s principal sets of requirements are mandated through its International Convention for the Safety of Life at Sea (“SOLAS”) and its International Convention for the Prevention of Pollution from Ships (“MARPOL”).

Flag States: Our ships are registered, or flagged, in The Bahamas, Bermuda, Italy, the Netherlands, Panama and the UK, which are also referred to as Flag States. Our ships are regulated by these Flag States through international conventions that govern, among other things, health, environmental, safety and security matters in relation to our guests, crew and ships. Representatives of each Flag State conduct periodic inspections, surveys and audits to verify compliance with these requirements.

Ship classification societies: Class certification is one of the necessary documents required for our cruise ships to be flagged in a specific country, obtain liability insurance and legally operate as passenger cruise ships. Our ships are subject to periodic class surveys, including dry-dock inspections, by ship classification societies to verify that our ships have been maintained in accordance with the rules of the classification societies and that recommended repairs have been satisfactorily completed. Dry-dock frequency is a statutory requirement mandated by SOLAS. Our ships dry-dock once or twice every five years, depending on the age of the ship.

National, regional and other authorities: We are subject to the decrees, directives, regulations and requirements of the European Union (“EU”), the UK, the U.S., other countries and hundreds of other authorities including international ports that our ships visit every year.

Port regulatory authorities (Port State Control): Our ships are also subject to inspection by the port regulatory authorities, which are also referred to as Port State Control, in the various countries that they visit. Such inspections include verification of compliance with the maritime safety, security, environmental, customs, immigration, health and labor requirements applicable to each port, as well as with regional, national and international requirements. Many countries have joined together to form regional Port State Control authorities.

As members of the Cruise Lines International Association (“CLIA”), we helped to develop and have implemented policies that are intended to enhance shipboard safety and environmental protection throughout the cruise industry. In some cases this calls for implementing best practices, which are in excess of existing legal requirements. Further details on these and other policies, which are not incorporated into this document, can be found on www.cruising.org.

Our Boards of Directors have HESS Committees, which were comprised of six independent directors as of December 1, 2021. The principal function of the HESS Committees is to assist the boards in fulfilling their responsibility to supervise and monitor our health, environment, safety, security and sustainability related policies, programs and initiatives at sea and ashore and
17


compliance with related legal and regulatory requirements. The HESS Committees and our management team review all significant relevant risks or exposures and associated mitigating actions.

We are committed to implementing appropriate measures to manage identified risks effectively. We have a Chief Maritime Officer to oversee our global maritime operations, including maritime policy, maritime affairs, training, shipbuilding, asset management, ship refits and research and development. In addition, we have a Chief Ethics and Compliance Officer who is responsible for overseeing our ethics and compliance governance function, including all areas of HESS.

To help ensure that we are compliant with legal and regulatory requirements and that these areas of our business operate in an efficient and effective manner we:

Provide regular health, environmental, safety and security support, training, guidance and information to guests, employees and others working on our behalf
Develop and implement effective and verifiable management systems to fulfill our health, environmental, safety, security and sustainability commitments
Perform regular shoreside and shipboard audits and take appropriate action when deficiencies are identified
Report and investigate health, environmental, safety and security incidents and strive to take appropriate action to prevent recurrence
Identify those employees responsible for managing health, environment, safety, security and sustainability programs and aim to establish clear lines of accountability
Identify the aspects of our business with potential to impact the environment and continue to take appropriate action to minimize that impact
Monitor an anonymous hotline for any reported allegations or concerns and the related responses
Review and work to improve policies and procedures designed to prevent, detect, respond and correct various regulatory violations and other misconduct

2. Maritime Safety Regulations

The IMO has adopted safety standards as part of SOLAS. To help ensure guest and crew safety, SOLAS establishes requirements for the following:
• Vessel design and structural features
• Life-saving and other equipment
• Construction and materials
• Fire protection and detection
• Refurbishment standards
• Safe management and operation
• Radio communications
• Musters

All of our crew undergo regular safety training that meets or exceeds all international maritime regulations, including SOLAS requirements, which are periodically revised.

SOLAS requires implementation of the International Safety Management Code (“ISM Code”), which provides an international standard for the safe management and operation of ships and for pollution prevention. The ISM Code is mandatory for passenger vessel operators. Under the ISM Code, vessel operators are required to:

Develop and implement a Safety Management System (“SMS”) that includes, among other things, the adoption of safety and environmental protection policies setting forth instructions and procedures for operating vessels safely and describing procedures for responding to emergencies and protecting the environment. In addition, our SMS includes health and security procedures.
Obtain a Document of Compliance (“DOC”) for the vessel operator, as well as a Safety Management Certificate (“SMC”) for each vessel they operate. These documents are issued by the vessel’s Flag State and evidence compliance with the ISM Code and the SMS
Verify or renew DOCs and SMCs periodically in accordance with the ISM Code

We have implemented and continue to develop policies and procedures that we believe enhance our commitment to the safety of our guests and crew. These initiatives include the following:

Training of our bridge, engineering and environmental officers in maritime related best practices facilitated by our CSMART Academy, the Center for Simulator Maritime Training located within our Arison Maritime Center in Almere, Netherlands
18


Further standardization of our detailed bridge and engine resource management procedures on our ships
Expansion of our existing oversight function to monitor and assist operations through state of the art fleet operations centers in Miami and Hamburg
Identifying and promoting the use of international standards and best-practice policies and procedures in health, environmental, safety and security disciplines across the organization including on all our ships
Further enhancement of our processes for auditing our HESS performance throughout our operations

3. Maritime Security Regulations

Our ships are subject to numerous security requirements. These requirements include the International Ship and Port Facility Security Code, which is part of SOLAS, the U.S. Maritime Transportation Security Act of 2002, which addresses U.S. port and waterway security and the U.S. Cruise Vessel Security and Safety Act of 2010, which applies to all of our ships that embark or disembark passengers in the U.S. These regulations include requirements as to the following:

Implementation of specific security measures, including onboard installation of a ship security alert system
Assessment of vessel security
Efforts to identify and deter security threats
Training, drills and exercises
Security plans that may include guest, vehicle and baggage screening procedures, security patrols, establishment of restricted areas, personnel identification procedures, access control measures and installation of surveillance equipment
Establishment of procedures and policies for reporting and managing allegations of crimes

4. Maritime Environmental Regulations

We are subject to numerous international, multi-national, national, state and local environmental laws, regulations and treaties that govern air emissions, waste management, and the storage, handling, use and disposal of hazardous substances such as chemicals, solvents and paints.

As a means of managing and improving our environmental performance and compliance, we adhere to standards set by the International Organization for Standardization (“ISO”), an international standard-setting body, which produces worldwide industrial and commercial standards. The environmental management system of our company and ships is certified in accordance with ISO 14001, the environmental management standard that was developed to help organizations manage the environmental impacts of their processes, products and services. ISO 14001 defines an approach to setting and achieving environmental objectives and targets, within a structured management framework.

i. International Regulations

The principal international convention governing marine pollution prevention and response is MARPOL.

a. Preventing and Minimizing Pollution

MARPOL includes six annexes, four of which are applicable to our cruise ships, containing requirements designed to prevent and minimize both accidental and operational pollution by oil, sewage, garbage and air emissions and sets forth specific requirements related to vessel operations, equipment, recordkeeping and reporting that are designed to prevent and minimize pollution. All of our ships must carry an International Oil Pollution Prevention Certificate, an International Sewage Pollution Prevention Certificate, an International Air Pollution Prevention Certificate and a Garbage Management Plan. The ship’s Flag State issues these certificates, which evidence their compliance with the MARPOL regulations regarding prevention of pollution by oil, sewage, garbage and air emissions. Certain jurisdictions have not adopted all of these MARPOL annexes but have established various national, regional or local laws and regulations that apply to these areas.

As noted above, MARPOL governs the prevention of pollution by oil from operational measures, as well as from accidental discharges. MARPOL requires that discharges of machinery space bilge water pass through pollution prevention equipment that separates oil from the water and monitors the discharged water to ensure that the effluent does not exceed 15 parts per million oil content. During 2019, we voluntarily completed the upgrade of oily water separation equipment to the latest MARPOL standards as set forth by the IMO onboard all of our ships. Our ships have oily water separators with oil content monitors installed and maintain a record of certain engine room operations in an Oil Record Book. In addition, we have voluntarily installed redundant systems on all of our ships that monitor processed bilge water a second time prior to discharge to help
19


ensure that it contains no more than 15 parts per million oil content. This system also provides additional controls to prevent improper bilge water discharges. MARPOL also requires that our ships have Shipboard Oil Pollution Emergency Plans.

MARPOL also governs the discharge of sewage from ships and contains regulations regarding the ships’ equipment and systems for the control of sewage discharge, the provision of facilities at ports and terminals for the reception of sewage and requirements for survey and certification.

MARPOL also governs the discharge of garbage from ships and requires the implementation of Garbage Management Plan and the maintenance of a Garbage Record Book.

Furthermore, MARPOL addresses air emissions from vessels, establishes requirements for the prevention of air pollution from ships to reduce emissions of sulfur oxides (“SOx”), nitrogen oxides (“NOx”) and particulate matter. It also contains restrictions on the use of ozone depleting substances (“ODS”) and requires the recording of ODS use, equipment containing ODS and the emission of ODS.

b. Sulfur Emissions

The IMO has adopted a global 0.5% sulfur cap for marine fuel which began in January 2020. The EU Parliament and Council has also adopted 0.5% sulfur content fuel requirement (the “EU Sulfur Directive”). The options to comply with both the global 0.5% sulfur cap and the EU Sulfur Directive include the installation of Advanced Air Quality Systems, or the use of low sulfur or alternative fuels.

MARPOL addresses air emissions from both auxiliary and main propulsion diesel engines on ships and further specifies requirements for Emission Control Areas (“ECAs”) with stricter limitations on sulfur emissions content in these areas, requiring ships to use fuel with a sulfur content of no more than 0.1%, or to use alternative emission reduction methods, such as Advanced Air Quality Systems.

We have Advanced Air Quality Systems on most of our ships, which are aiding in partially mitigating the financial impact from the ECAs and global 0.5% sulfur requirements.

c. Other Ship Emission Abatement Methods

In the long-term, the cost impacts of meeting progressively lower sulfur fuel requirements may be further mitigated by the future developments of, and investments in, improved sulfur emission abatement technologies, the use of alternative lower cost and lower emission fuels and our continued efforts to improve the overall fuel efficiency across our fleet. Our ongoing efforts to reduce unit fuel consumption include a focus on itinerary planning and voyage optimization, investment in various energy-efficiency upgrades (including enhancements to vessel air conditioning systems, lighting, waste heat recovery, engine performance improvements and hydrodynamic upgrades), enhanced training and energy awareness for our shipboard teams, collaborative energy-savings groups across operating lines and a shift towards better informed data-driven energy related decisions.

As part of our emission abatement program, we have continued our work with several local port authorities to utilize cruise ship shore power connections and have equipped 42 of our ships with the ability to utilize shore power technology. This technology enables our ships to use power from the local electricity provider rather than running their engines while in port to power their onboard services, resulting in reduced ship air emissions. 

Similarly, in an effort to extend our commitment to sustainability and to play a leading role in matters of environmental protection in the cruise industry, we are expanding our investment in the use of lower carbon fuels, in particular LNG. AIDAnova, the first cruise ship in the world with the ability to use LNG to generate 100 percent of its power both in port and on the open sea, entered the fleet in December 2018, followed by three additional LNG ships, Costa Smeralda, Iona and Mardi Gras. As of November 30, 2021, we also had seven additional LNG cruise ships on order, including Costa Toscana and AIDAcosma, which entered the fleet in December 2021 and Carnival Celebration, entering the fleet in November 2022. These ships generate up to 20% less carbon emissions than traditionally powered ships and we believe, on balance, may help to reduce our impact on the environment. While fossil fuels are currently the only viable option for our industry, we are closely monitoring technology developments and partnering with key organizations on research and development to support our carbon emission reduction goals.

20


d. Greenhouse Gas Emissions (“GHG”)

In 2013, the IMO approved measures to improve energy efficiency and reduce emissions of GHGs from international shipping by adopting technical and operational measures for all ships. The technical measures apply to the design of new vessels, and the operational reduction measures apply to all vessels. Operational reduction measures have been implemented through a variety of means, including a Ship Energy Efficiency Management Plan, improved voyage planning and more frequent propeller and hull cleanings. We have established objectives within the ISO 14001 environmental management system for each of our brands to further reduce fuel consumption rates and the resulting GHG emissions.

In 2016, the IMO approved the implementation of a mandatory data collection system (“DCS”) for fuel oil consumption. The DCS requires ships of 5,000 gross tons and above to provide fuel oil consumption data to their respective Flag State at the end of each calendar year, beginning in 2019. Flag States validate the data and transfer it to an IMO database. The IMO will produce a summary annual report with anonymous data. In 2018, the IMO also set aspirations to achieve several shipping industry GHG emission reduction goals with 2030 and 2050 target dates. In November 2020, the IMO’s Marine Environment Protection Committee approved further MARPOL changes in support of its GHG emission reduction goals, which are expected to enter into force on January 1, 2023 and include annual ship-level unit emissions performance improvement expectations that could negatively impact our itinerary flexibility and marketability. In addition, the IMO is currently considering various other proposals which aim to reduce GHG emissions within the global shipping industry. These proposals include a range of measures including possible fuel standards and market-based measures, such as carbon taxes, that, if enacted, could result in reduced revenue or increased compliance related costs which may individually and collectively have a material impact on our profitability. The exact impact is uncertain as the proposals have not yet been finalized and enacted.

e. Ballast Water

Ballast water is water used to stabilize ships at sea and maintain safe operating conditions throughout a voyage. Ballast water can carry a multitude of marine species. In 2017, the IMO’s Ballast Water Management Convention entered into force, which governs the discharge of ballast water from ships. Subsequent amendments effectively extended the implementation date for installation of ballast water management systems for existing ships by about two years, though other requirements went into effect immediately, including requirements for ballast water exchange, record keeping, and maintaining an approved Ballast Water Management Plan. The Convention is designed to regulate the treatment of ballast water prior to discharging overboard in order to avoid the transfer of marine species to new environments, as well as establishing other ballast water management practices for monitoring and environmental protection.

ii.    U.S. Federal and State Regulations

The Act to Prevent Pollution from Ships implements several MARPOL Annexes in the U.S. and imposes numerous requirements on our ships, as discussed above. Administrative, civil and criminal penalties may be assessed for violations.

The Oil Pollution Act of 1990 (“OPA 90”) established a comprehensive federal liability regime, as well as prevention and response requirements, relating to discharges of oil in U.S. waters. The major requirements include demonstrating financial responsibility up to the liability limits set by OPA 90 and having oil spill response plans in place. We have Certificates of Financial Responsibility (“COFR”) that demonstrate our ability to meet the liability limits of OPA 90 based on the gross tonnage of our ships for removal costs and damages, such as from an oil spill. The COFR also covers releases of hazardous substances. It is possible, however, for our liability limits to be broken, which could expose us to unlimited liability. Under OPA 90, owners or operators of vessels operating in U.S. waters must file Vessel Response Plans with the U.S. Coast Guard (“USCG”) and must operate and conduct any response action in compliance with these plans. As OPA 90 expressly allows coastal states to impose liabilities and requirements beyond those imposed under federal law, many U.S. states have enacted laws more stringent than OPA 90. Some of these state laws impose unlimited liability for oil spills and contain more stringent financial responsibility and contingency planning requirements. Most coastal states have also enacted environmental regulations that impose strict liability for removal costs and damages resulting from a discharge of oil or a release of a hazardous substance, similar to OPA 90.

The Clean Water Act (“CWA”) provides the U.S. Environmental Protection Agency (“EPA”) with the authority to regulate incidental discharges from commercial vessels, including discharges of ballast water, bilge water, gray water, anti-fouling paints and other substances during normal operations within the U.S. three mile territorial sea and inland waters. Pursuant to the CWA authority, the U.S. National Pollutant Discharge Elimination System was designed to minimize pollution within U.S. territorial waters. For our affected ships, the incidental discharge requirements are set forth in EPA’s Vessel General Permit (“VGP”) for discharges incidental to the normal operations of vessels. The VGP establishes effluent limits for 27 specific discharges incidental to the normal operation of a vessel, many of which apply to our cruise ships. In addition to the
21


requirements associated with these discharges and more stringent vessel-specific requirements, the VGP includes requirements for inspections, monitoring, reporting and record-keeping. In 2018, the Vessel Incidental Discharge Act (“VIDA”) was signed into law and was intended to clarify and streamline discharge requirements for the incidental discharges covered by the VGP and certain USCG regulations for ballast water. More specifically, a new section was added to the CWA called “Uniform National Standards for Discharges Incidental to Normal Operation of Vessels.” Once fully implemented, VIDA will replace the VGP; however, while the standards and regulations are being developed, which is expected to take at least until the end of 2022, the 2013 VGP has been administratively extended and will remain in effect. VIDA requires the standards and regulations to be at least as stringent as the existing requirements in the 2013 VGP and USCG regulations, unless information becomes available that was not reasonably available when the initial standard of performance was issued, and that information would have justified a less stringent standard. In October 2020, the EPA posted its notice of proposed rulemaking to set standards for 20 types of vessel discharges incidental to normal operations. The discharge standards are organized into three categories: (1) general operation and maintenance; (2) biofouling management; and (3) oil management. These standards mandate overall minimization of discharges and prescribe associated best management practices. No training or education requirements are included, as these will be set by the USCG in its rulemaking once EPA’s standards are finalized. Notably, EPA incorporated discharge standards applicable to exhaust gas cleaning system discharges based substantially on applicable IMO guidelines, which better harmonizes the VGP and IMO requirements. While the proposed rule provides clarity into the likely structure of VIDA, there is uncertainty over the mechanism through which state-specific standards may be implemented.

We are subject to the requirements of the U.S. Resource Conservation and Recovery Act for the disposal of both hazardous and non-hazardous solid wastes that are generated by our ships. In general, vessel owners are required to determine if their wastes are hazardous and, when landing waste ashore, comply with certain standards for the proper management of hazardous wastes, including the use of hazardous waste manifests for shipments to approved disposal facilities.

The U.S. National Invasive Species Act (“NISA”) was enacted in 1996 in response to growing reports of harmful organisms being released into U.S. waters through ballast water taken on by vessels in foreign waters. The USCG adopted regulations under NISA that impose mandatory ballast water management practices for all vessels equipped with ballast water tanks entering U.S. waters. Depending on a vessel’s compliance date for installation of a USCG type-approved ballast water management system, these requirements may now be met by performing mid-ocean ballast exchange, by retaining ballast water onboard the vessel or by using a ballast water management system authorized or approved by the USCG. In the near future, ballast exchange will no longer be permissible. These USCG regulations, however, will ultimately be replaced with the new regulatory regime being developed under VIDA, which is expected to contain similar requirements.

The state of Alaska has enacted legislation that prohibits certain discharges in designated Alaskan waters and sets effluent limits on others, which are applicable to cruise ships. Further, the state of Alaska requires that certain discharges be reported and monitored to verify compliance with the standards established by the legislation. Environmental regimes in Alaska are more stringent than the U.S. federal requirements with regard to discharges from vessels. The legislation also provides that repeat violators of the regulations could be prohibited from operating in Alaskan waters. The state of California also has environmental requirements significantly more stringent than federal requirements for water discharges and air emissions.

iii.    EU Regulations

The EU has adopted a broad range of substantial environmental measures aimed at improving the quality of the environment for European citizens. To support the implementation and enforcement of European environmental legislation, the EU has adopted directives on environmental liability and enforcement and a recommendation providing for minimum criteria for environmental inspections.

The European Commission’s (“EC”) strategy is to reduce emissions from ships. The EC strategy seeks to implement SOx Emission Control Areas set out in MARPOL, as discussed above.

The EC has also implemented regulations aimed at reducing GHG emissions from maritime shipping through a Monitoring, Reporting and Verification regulation, which involves collecting emissions data from ships over 5,000 gross tons to monitor and report carbon emissions on all voyages to, from and between European Union ports.

The EU has a series of significant carbon reforms as a part of its Fit for 55 package to meet its 2030 emissions reduction goal. The main instruments for reducing emissions are the Emissions Trading System (“ETS”), Energy Taxation Directive (“ETD”) and the newly proposed FuelEU Maritime initiative.

22


The ETS regulates carbon emissions through a “cap and trade” principle, where a cap is set on the total amount of certain greenhouse gases that can be emitted. The proposed updates to the ETS could lead to carbon allowances being introduced in the maritime sector.

The ETD is a framework for the taxation of energy products and sets minimum rates of excise duty to encourage a low-carbon economy. Proposed amendments to the ETD will introduce new tax rates based on the energy content and environmental impact rather than volume. These amendments will also widen the directive to include maritime fuels, which were previously exempt.

The recently proposed FuelEU Maritime initiative is a long-term framework to reduce maritime emissions by increasing the use of sustainable alternative fuels and for the cruise industry the use of shore power. The proposal also requires compliance with the maximum limits of GHG intensity of energy used on board. The stringency of these limits increase over time and there are financial penalties for non-compliance.

If enacted, the Fit for 55 regulations may individually and collectively result in increased costs and have a material impact on our profitability beginning in 2023.The exact impact is uncertain as the proposals have not yet been finalized and enacted.

Compliance with such regulations and the associated potential cost is complicated by the fact that various countries and regions are following different approaches to the regulation of climate change.

5. Maritime Health Regulations

We are committed to providing a healthy environment for all of our guests and crew. We collaborate with public health inspection programs throughout the world, such as the Centers for Disease Control and Prevention (“CDC”) in the U.S. and the SHIPSAN Project in the EU as well as CLIA’s Public Health and Medical Policy, to ensure that development of these programs leads to enhanced health and hygiene onboard our ships. Through our collaborative efforts, we work with the authorities to develop and revise guidelines, review plans and conduct on-site inspections for all newbuilds and significant ship renovations. During the COVID-19 pandemic, the cruise industry has been subject to various enhanced regulations from the various regulatory bodies of worldwide health authorities resulting in the issuance of prescriptive protocols we are required to comply with to operate. We continue to work closely with governments and health authorities around the world to ensure that our health and safety protocols comply with the requirements of each location. In addition, we continue to maintain our ships by meeting, and often exceeding, applicable public health guidelines and requirements, complying with inspections, reporting communicable illnesses and conducting regular crew training and guest education programs.

6. Maritime Labor Regulations

The International Labor Organization develops and oversees international labor standards and includes a broad range of requirements, such as the definition of a seafarer, minimum age of seafarers, medical certificates, recruitment practices, training, repatriation, food, recreational facilities, health and welfare, hours of work and rest, accommodations, wages and entitlements.

The International Convention on Standards of Training, Certification and Watchkeeping for Seafarers, as amended, establishes additional minimum standards relating to training, including security training, certification and watchkeeping for our seafarers.

b. Other Governmental Regulations

In most countries where we source the majority of our guests, we are required to establish financial responsibility, such as obtaining a guarantee from stable financial institutions and insurance companies, to satisfy liability in cases of our non-performance of obligations to our guests. The amount of financial responsibility varies by jurisdiction based on the amount mandated by the applicable local regulatory agency or association.

In Australia and most of Europe, we may be obligated to honor our guests’ cruise payments made by them to their travel agents and tour operators regardless of whether we receive these payments.

We are also subject to many other laws and regulations which require our compliance, including those addressing antitrust, anti-money laundering, data privacy, securities, sanctions, bribery and corruption, as well as human resources related matters.

23


XVIII.     Taxation

A summary of our principal taxes and exemptions in the jurisdictions where our significant operations are located is as follows:

a.U.S. Income Tax

We are primarily foreign corporations engaged in the business of operating cruise ships in international transportation. We also own and operate, among other businesses, the U.S. hotel and transportation business of Holland America Princess Alaska Tours through U.S. corporations.

Our North American cruise ship businesses and certain ship-owning subsidiaries are engaged in a trade or business within the U.S. Depending on its itinerary, any particular ship may generate income from sources within the U.S. We believe that our U.S. source income and the income of our ship-owning subsidiaries, to the extent derived from, or incidental to, the international operation of a ship or ships, is currently exempt from U.S. federal income and branch profit taxes.

Our domestic U.S. operations, principally the hotel and transportation business of Holland America Princess Alaska Tours, are subject to federal and state income taxation in the U.S.

1.Application of Section 883 of the Internal Revenue Code

In general, under Section 883 of the Internal Revenue Code, certain non-U.S. corporations (such as our North American cruise ship businesses) are not subject to U.S. federal income tax or branch profits tax on U.S. source income derived from, or incidental to, the international operation of a ship or ships. Applicable U.S. Treasury regulations provide in general that a foreign corporation will qualify for the benefits of Section 883 if, in relevant part, (i) the foreign country in which the foreign corporation is organized grants an equivalent exemption to corporations organized in the U.S. in respect of each category of shipping income for which an exemption is being claimed under Section 883 (an “equivalent exemption jurisdiction”) and (ii) the foreign corporation meets a defined publicly-traded corporation stock ownership test (the “publicly-traded test”). Subsidiaries of foreign corporations that are organized in an equivalent exemption jurisdiction and meet the publicly-traded test also benefit from Section 883. We believe that Panama is an equivalent exemption jurisdiction and that Carnival Corporation currently satisfies the publicly-traded test under the regulations. Accordingly, substantially all of Carnival Corporation’s income is exempt from U.S. federal income and branch profit taxes.

Regulations under Section 883 list certain activities that the Internal Revenue Service (“IRS”) does not consider to be incidental to the international operation of ships and, therefore, the income attributable to such activities, to the extent such income is U.S. source, does not qualify for the Section 883 exemption. Among the activities identified as not incidental are income from the sale of air transportation, transfers, shore excursions and pre- and post-cruise land packages to the extent earned from sources within the U.S.

2.Exemption Under Applicable Income Tax Treaties

We believe that the U.S. source transportation income earned by Carnival plc and its subsidiaries currently qualifies for exemption from U.S. federal income tax under applicable bilateral U.S. income tax treaties.

3.U.S. State Income Tax

Carnival Corporation, Carnival plc and certain subsidiaries are subject to various U.S. state income taxes generally imposed on each state’s portion of the U.S. source income subject to U.S. federal income taxes. However, the state of Alaska imposes an income tax on its allocated portion of the total income of our companies doing business in Alaska and certain of their subsidiaries.

b.UK and Australian Income Tax

Cunard, P&O Cruises (UK) and P&O Cruises (Australia) are divisions of Carnival plc and have elected to enter UK tonnage tax under a rolling ten-year term and, accordingly, reapply every year. Companies to which the tonnage tax regime applies pay corporation taxes on profits calculated by reference to the net tonnage of qualifying ships. UK corporation tax is not chargeable under the normal UK tax rules on these brands’ relevant shipping income. Relevant shipping income includes income from the operation of qualifying ships and from shipping related activities.

24


For a company to be eligible for the regime, it must be subject to UK corporation tax and, among other matters, operate qualifying ships that are strategically and commercially managed in the UK. Companies within UK tonnage tax are also subject to a seafarer training requirement.

Our UK non-shipping activities that do not qualify under the UK tonnage tax regime remain subject to normal UK corporation tax.

P&O Cruises (Australia) and all of the other cruise ships operated internationally by Carnival plc for the cruise segment of the Australian vacation region are exempt from Australian corporation tax by virtue of the UK/Australian income tax treaty.

c.Italian and German Income Tax

In 2015, Costa and AIDA re-elected to enter the Italian tonnage tax regime through 2024 and can reapply for an additional ten-year period beginning in early 2025. Companies to which the tonnage tax regime applies pay corporation taxes on shipping profits calculated by reference to the net tonnage of qualifying ships.

Most of Costa’s and AIDA’s earnings that are not eligible for taxation under the Italian tonnage tax regime will be taxed at an effective tax rate of 4.8% in 2021 and 2020.

Substantially all of AIDA’s earnings are exempt from German income taxes by virtue of the Germany/Italy income tax treaty.

d.Asian Countries Income and Other Taxes

Substantially all of our brands’ income from their international operations in Asian countries is exempt from income tax by virtue of relevant income tax treaties. In addition, the income is exempt from indirect taxes in China under relevant income tax treaties and other circulars.

e.Other

In addition to or in place of income taxes, virtually all jurisdictions where our ships call impose taxes, fees and other charges based on guest counts, ship tonnage, passenger capacity or some other measure.

XIX. Trademarks and Other Intellectual Property

We own, use and/or have registered or licensed numerous trademarks, patents and patent pending designs and technology, copyrights and domain names, which have considerable value and some of which are widely recognized throughout the world. These intangible assets enable us to distinguish our cruise products and services, ships and programs from those of our competitors. We own or license the trademarks for the trade names of our cruise brands, each of which we believe is a widely-recognized brand in the cruise industry, as well as our ship names and a wide variety of cruise products and services. 

XX. Competition

We compete with land-based vacation alternatives throughout the world, such as hotels, resorts (including all-inclusive resorts), theme parks, organized tours, casinos, vacation ownership properties, and other internet-based alternative lodging sites. Based on 2021 Cruise Industry News statistics, as of December 31, 2021, we, along with our principal cruise competitors Royal Caribbean Group, Norwegian Cruise Line Holdings, Ltd. and MSC Cruises, represented approximately 80% of the cruise industry capacity, including ships operating with guests onboard and ships in pause status expected to return to guest cruise operations.

25


D. Website Access to Carnival Corporation & plc SEC Reports

We use our websites as channels of distribution of company information. Our Form 10-K, joint Quarterly Reports on Form 10-Q, joint Current Reports on Form 8-K, joint Proxy Statement related to our annual shareholders meeting, Section 16 filings and all amendments to those reports are available free of charge at www.carnivalcorp.com and www.carnivalplc.com and on the SEC’s website at www.sec.gov as soon as reasonably practicable after we have electronically filed or furnished these reports with the SEC. In addition, you may automatically receive email alerts and other information when you enroll your email address by visiting the Investor Services section of our websites. The content of any website referred to in this document is not incorporated by reference into this document.

E. Industry and Market Data

This document includes market share and industry data and forecasts that we obtained from industry publications, third-party surveys and internal company surveys. Industry publications, including those from Cruise Industry News, and surveys and forecasts, generally state that the information contained therein has been obtained from sources believed to be reliable. Cruise Industry News is a for profit magazine company that covers all aspects of cruise operations. Their magazines and annual report cover all cruise lines and shipyards and report on all aspects of cruise operations including relevant issues, financial results, ship building, ship reviews, etc. All other references to third party information are publicly available at nominal or no cost. We use the most currently available industry and market data to support statements as to our market positions. Although we believe that the industry publications and third-party sources are reliable, we have not independently verified any of the data. Similarly, while we believe our internal estimates with respect to our industry are reliable, they have not been verified by any independent sources. While we are not aware of any misstatements regarding any industry data presented herein, our estimates, in particular as they relate to market share and our general expectations, involve risks and uncertainties and are subject to change based on various factors, including those discussed under Part I, Item 1A. Risk Factors and Exhibit 13, Management’s Discussion and Analysis of Financial Condition and Results of Operations, in this Form 10-K.
26


Item 1A. Risk Factors.

You should carefully consider the following discussion of material factors, events and uncertainties that make an investment in the Company’s securities risky and provide important information for the understanding of the “forward-looking” statements discussed in this Form 10-K and elsewhere. These risk factors should be read in conjunction with other information in this Form 10-K.

The events and consequences discussed in these risk factors could have a material adverse effect on the Company’s business, financial condition, operating results and stock price. These risk factors do not identify all risks that the Company faces; operations could also be affected by factors, events, or uncertainties that are not presently known to the Company or that the Company currently does not consider to present material risks to its operations. In addition to the effects of the COVID-19 pandemic and resulting global disruptions on our business and operations discussed in Item 7 of this Form 10-K and in the risk factors below, additional or unforeseen effects from the COVID-19 pandemic and the global economic climate may give rise to or amplify many of these risks discussed below. Some of the statements in this item and elsewhere in this document are “forward-looking statements.” For a discussion of those statements and of other factors to consider see the “Cautionary Note Concerning Factors That May Affect Future Results” section below.

The ordering and lettering of the risk factors set forth below is not intended to reflect any Company indication of priority or likelihood.

COVID-19 and Liquidity/Debt Related Risk Factors

a. COVID-19 has had, and is expected to continue to have, a significant impact on our financial condition and operations. The current, and uncertain future, impact of COVID-19, 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.

The COVID-19 global pandemic is having material negative impacts on all aspects of our business. We implemented a pause of our guest cruise operations in mid-March 2020 across all brands. We have been, and will continue to be, negatively impacted by travel advisories and evolving, conflicting and complex restrictions, recommendations and regulations set by various governmental authorities. These restrictions, recommendations and regulations have and may continue to impact our ability to operate our business in an optimal manner.

As we continue our gradual return to service, we expect to continue incurring incremental restart-related spend, including the cost of returning ships to guest cruise operations and returning crew members to our ships as well as the incremental costs of maintaining enhanced health and safety protocols. The industry is subject to and may be further subject to enhanced health and hygiene requirements in attempts to counteract future outbreaks, and these requirements may be costly, take a significant amount of time to implement across our global cruise operations and may result in disruptions in guest cruise operations, incremental costs and loss of revenue.

We intend to continue to make vaccines available to all of our shipboard employees, but there can be no assurances that we will be able to source sufficient vaccines for our global crew. In addition, although vaccines have proven to be effective in mitigating the risks of COVID-19, there is no guarantee that the vaccines will continue to be effective against future variants.

Due to COVID-19, we, as well as our industry, have been the subject of negative publicity, which could have a long-term impact on the appeal of our brands, which would diminish demand for vacations on our vessels. We cannot predict how long the negative impact of media attention on our brands or our industry will last, or the level of investment that will be required to address the concerns of potential travelers through marketing and pricing actions.

We have received, and may continue to receive, lawsuits, other governmental investigations and other actions stemming from COVID-19. We cannot predict the quantum or outcome of any such proceedings, some of which could result in the imposition of civil and criminal penalties in the future, and the impact that they will have on our financial results, but any such impact may be material.

In connection with our capacity optimization strategy, we have and may continue to accelerate the removal of ships from our fleet. Some agreements for the disposal of vessels have been for recycling. When we choose to dispose of a ship, there can be no assurance that there will be a viable buyer to purchase it at a price that exceeds our net book value, which could result in ship impairment charges and losses on ship disposals.
27



We cannot predict the timing of our complete return to service at historical occupancy levels and when certain ports will reopen to our ships. If our gradual resumption of guest cruise operations is delayed or there are future pauses or additional disruptions in the resumption of guest cruise operations, it could further negatively impact our liquidity. As our business is seasonal, the impact of such a delay or future pause in the resumption of guest cruise operations will be heightened if such delay or future pause occurs during the Northern Hemisphere summer months. Moreover, even as travel advisories and restrictions are lifted, demand for cruises may continue to be impacted and we cannot predict if and when each brand will return to pre-outbreak demand, occupancy or pricing. In addition, we cannot predict the impact COVID-19 will have on our partners, such as travel agencies, suppliers and other vendors, counterparties and joint ventures. We may be adversely impacted as a result of the adverse impact our partners, counterparties and joint ventures suffer.

We have never previously experienced a complete cessation and subsequent gradual resumption of our guest cruise operations, and as a consequence, our ability to be predictive regarding the impacts on our brands and future prospects is uncertain. In particular, we cannot predict the impact on our financial performance and cash flows (including as required for cash refunds of deposits) and the public’s concern regarding the health and safety of travel, especially by cruise ship, and related decreases in demand for travel and cruising. As a result of the impact of COVID-19, we expect lower occupancy levels during our resumption of guest cruise operations and cannot predict when we will be able to achieve historical occupancy levels. Moreover, our ability to attract and retain guests and our ability to hire and the amounts we must pay our crew depend, in part, upon the perception and reputation of our company and our brands and the public’s concerns regarding the health and safety of travel generally, as well as regarding the cruising industry and our ships specifically. In addition, our ability to re-hire crew may be negatively impacted as some have obtained alternative employment during the pause in guest cruise operations.

The extent of the effects of COVID-19 on our business and the cruising industry at large is highly uncertain and will ultimately depend on future developments, including, but not limited to, the duration and continued severity and the length of time it takes for operating conditions to return the company to profitability. To the extent COVID-19 continues to adversely affect our business, operations, financial condition and operating results, it may also have the effect of heightening many other risks.

b. Our substantial debt could adversely affect our financial health and operating flexibility.

We have a substantial amount of debt and significant debt service obligations. Our substantial debt could have important negative consequences for us. Our substantial debt could:

require us to dedicate a large portion of our cash flow from operations to service debt and fund repayments on our debt, thereby reducing the availability of our cash flow to fund working capital, capital expenditures and other general corporate purposes;
increase our vulnerability to adverse general economic or industry conditions;
limit our flexibility in planning for, or reacting to, changes in our business or the industry in which we operate;
place us at a competitive disadvantage compared to our competitors that have less debt;
make us more vulnerable to downturns in our business, the economy or the industry in which we operate;
limit our ability to raise additional debt or equity capital in the future to satisfy our requirements relating to working capital, capital expenditures, development projects, strategic initiatives or other purposes;
restrict us from making strategic acquisitions, introducing new technologies or exploiting business opportunities;
make it difficult for us to satisfy our obligations with respect to our debt; and
expose us to the risk of increased interest rates as certain of our borrowings are (and may be in the future) at a variable rate of interest.

c. Despite our leverage, we may incur more debt, which could adversely affect our business and prevent us from fulfilling our obligations with respect to our debt.

We may incur additional debt in the future. Although the instruments governing our existing indebtedness contain restrictions on the incurrence of additional debt, these restrictions are subject to a number of significant qualifications and exceptions, and under certain circumstances, the amount of debt that could be incurred in compliance with these restrictions could be substantial and a portion of such debt currently is, and may in the future be, secured. The instruments governing our existing indebtedness do not prevent us from incurring liabilities that do not constitute “Indebtedness” as defined therein. If new debt is added to our existing debt levels, our business could be adversely affected, which may prevent us from fulfilling our obligations with respect to our debt.

d. We are subject to maintenance covenants, as well as restrictive debt covenants, that may limit our ability to finance future operations and capital needs and pursue business opportunities and activities. We are also subject to financial covenants that could lead to an acceleration of the indebtedness of our debt facilities if we fail to comply. If we fail to comply with any of these covenants, it could have a material adverse effect on our business.

28


Certain of our debt instruments limit our flexibility in operating our business. For example, some of our debt instruments limit the ability of Carnival Corporation, Carnival plc and certain of their respective subsidiaries to, among other things:

incur or guarantee additional indebtedness;
pay dividends or distributions on or redeem or repurchase capital stock and make other restricted payments;
make certain investments;
consummate certain asset sales;
engage in certain transactions with affiliates;
grant or assume certain liens; and
consolidate, merge or transfer all or substantially all of our assets.

All of these limitations are subject to significant exceptions and qualifications. Despite these exceptions and qualifications, we cannot provide assurance that the operating and financial restrictions and covenants in certain of our debt instruments will not adversely affect our ability to finance our future operations or capital needs or engage in other business activities that may be in our interest. Any future indebtedness may include similar or other restrictive terms.

In addition, many of our debt agreements contain one or more financial covenants that require us to maintain a minimum liquidity, interest coverage, and shareholders’ equity and/or limit our debt to capital percentage. Our ability to comply with our debt covenants, including the financial maintenance covenants described above, and restrictions may be affected by events beyond our control, including prevailing economic, financial and industry conditions, such as the continued resumption of our guest cruise operations and our ability to issue additional equity. If we breach any of these covenants or restrictions, we could be in default under the terms of certain of our debt facilities and the relevant lenders could elect to declare the debt, together with accrued and unpaid interest and other fees, if any, immediately due and payable (or cancel any unfunded commitments, if applicable) and proceed against any collateral, if any, securing that debt. If the debt under certain of our debt instruments that we enter into were to be accelerated, our assets may be insufficient to repay our debt in full. Borrowings under other debt instruments that contain cross-default provisions may also be accelerated or become payable on demand. In these circumstances, our assets may not be sufficient to repay our indebtedness then outstanding in full.

At November 30, 2021, we were in compliance with the applicable covenants under our debt agreements, however, we cannot provide assurance that we will be able to maintain compliance for such debt facilities as of future testing dates. As a result, the failure to comply with the financial covenants of our debt facilities would have a material adverse effect as described above.

e. We require a significant amount of cash to service our debt and sustain our operations. Our ability to generate cash depends on many factors beyond our control, and we may not be able to generate cash required to service our debt.

Our ability to meet our debt service obligations or refinance our debt depends on our future operating and financial performance and ability to generate cash. This will be affected by our ability to successfully implement our business strategy, as well as general economic, financial, competitive, regulatory and other factors beyond our control, such as the disruption caused by the COVID-19 pandemic. If we cannot generate sufficient cash to meet our debt service obligations or fund our other business needs, we may, among other things, need to refinance all or a portion of our debt, obtain additional financing, delay planned capital expenditures or sell assets. We cannot assure you that we will be able to generate sufficient cash through any of the foregoing. If we are not able to refinance any of our debt, obtain additional financing or sell assets on commercially reasonable terms or at all, we may not be able to satisfy our obligations with respect to our debt. Refer to “Liquidity, Financial Condition and Capital Resources”.

f. Our variable rate indebtedness exposes us to interest rate volatility, which could cause our debt service obligations to increase significantly.

Borrowings under certain of our facilities are at variable rates of interest and expose us to interest rate volatility. If interest rates increase, our debt service obligations on certain of our variable rate indebtedness will increase even though the amount borrowed remains the same, and our net income and cash flows, including cash available for servicing our indebtedness, will correspondingly decrease.

In addition, in July 2017, the United Kingdom’s Financial Conduct Authority, which regulates the London Interbank Offered Rate (“LIBOR”), announced that it will no longer persuade or compel banks to submit LIBOR rates after 2021. At the end of 2021, the ICE Benchmark Administration, the administrator for LIBOR, ceased publishing one-week and two-month U.S. dollar LIBOR and will cease publishing all remaining U.S. dollar LIBOR tenors in mid-2023. Concurrently, the United Kingdom’s Financial Conduct Authority announced the cessation or loss of representativeness of the U.S. dollar LIBOR tenors
29


from those dates. The U.S. Federal Reserve, in conjunction with the Alternative Reference Rates Committee, a steering committee comprised of, among other entities, large U.S. financial institutions, has recommended replacing U.S. dollar LIBOR with a new index that measures the cost of borrowing cash overnight, backed by U.S. Treasury securities (“SOFR”). SOFR is observed and backward-looking, which stands in contrast with LIBOR under the current methodology, which is an estimated forward-looking rate and relies, to some degree, on the expert judgment of submitting panel members. While we continue to monitor market developments to assess replacement rate options, the consequences of these developments with respect to LIBOR cannot be entirely predicted and may result in the level of interest payments on the portion of our indebtedness that bears interest at variable rates to be affected, which may adversely impact the amount of our interest payments under such debt.

g. The covenants in certain of our debt facilities may require us to secure those facilities in the future.

Certain of our debt facilities contain provisions which may require that we provide a security interest in certain assets. In certain of our debt facilities, there is a requirement that if the credit rating of our senior indebtedness should fall below investment grade (which occurred on June 24, 2020) and at such time we have granted liens or security interests in respect of indebtedness in an amount exceeding 25% of our total assets (excluding for these purposes the value of any intangible assets) as shown in our most recent Consolidated Balance Sheet, then we will be required to provide a first-priority security interest in certain designated assets. In addition, under our export credit facilities, there is a requirement that if a security interest or lien is granted in respect of a vessel to secure borrowed money under certain other debt facilities, then a first-priority security interest will be required to be provided over certain designated vessels.

If the events described above were to occur, we may be unable to comply with this requirement and expect to seek covenant amendments from the lenders under the relevant facilities. Any such amendment may lead to increased costs, increased interest rates, additional restrictive covenants and other available lender protections that would be applicable to us under these debt facilities, and such increased costs, restrictions and modifications may vary among debt facilities. Our ability to give additional lender protections under these facilities, including the granting of security interests in collateral, will be limited by the restrictions in our indebtedness and security interest we have already granted. If we were not able to obtain amendments, the occurrence of such events may result in an event of default under these facilities and other debt facilities that contain cross default provisions that would be triggered.

Operating Risk Factors

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

We have been, and may continue to be, impacted by the public’s concerns regarding the health, safety and security of travel, including government travel advisories and travel restrictions, political instability and civil unrest, terrorist attacks and other general concerns. Additionally, we have been, and may continue to be, impacted by heightened regulations around customs and border control, travel bans to and from certain geographical areas, government policies increasing the difficulty of travel and limitations on issuing international travel visas. We may also be impacted by adverse changes in the perceived or actual economic climate, such as global or regional recessions, higher unemployment and underemployment rates and declines in income levels.

b. Incidents concerning our ships, guests or the cruise vacation industry have in the past and may, in the future, impact the satisfaction of our guests and crew and lead to reputational damage.

Our operations involve the risk of incidents and media coverage thereof. Such incidents include, but are not limited to, the improper operation or maintenance of ships, motorcoaches and trains; guest and crew illnesses; mechanical failures, fires and collisions; repair delays, groundings and navigational errors; oil spills and other maritime and environmental issues as well as other incidents at sea, while in port or on land which may cause guest and crew discomfort, injury, or death. Although our commitment to the safety and comfort of our guests and crew is paramount to the success of our business, our ships have been involved in outbreaks, accidents and other incidents in the past and we may experience similar or other incidents in the future. Our ability to attract and retain guests, our ability to hire and the amounts we must pay our crew depend, in part, upon the perception and reputation of our company and our brands and the public’s concerns regarding the health and safety of travel generally, as well as the cruising industry and our ships specifically. In addition, these and any other events which impact the travel industry more generally may negatively impact our guests’ or crew’s ability or desire to travel to or from our ships and/or interrupt the supply of critical goods and services.
30


c. 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.

We are subject to numerous international, national, state and local laws, regulations, treaties and other legal requirements that govern health, environmental, safety and security matters in relation to our guests, crew and ships. These requirements change regularly, depending on the itineraries of our ships and the ports and countries visited. Implementing these and any subsequent requirements may be costly and take time to implement across our global cruise operations. In addition, the accelerating pace of regulatory changes may affect our ability to comply. If we violate or fail to comply with any of these laws, regulations, treaties and other requirements we could be, and have previously been, fined or otherwise sanctioned by regulators. In addition, there is increased global focus on climate change, which may lead to additional regulatory requirements. Refer to Operating Risk Factor d. below for additional discussion on climate change regulation risks. We are subject to a court-ordered environmental compliance plan supervised by the U.S. District Court for the Southern District of Florida, which is operative until April 2022 and subjects our operations to additional review and other obligations. Failure to comply with the requirements of this environmental compliance plan or other special conditions of probation could result in fines, which the court has imposed in the past, and restrictions on our operations.

We are subject to laws and requirements related to the treatment and protection of personal, sensitive and/or other regulated data in the jurisdictions where we operate. Various governments, agencies and regulatory organizations have enacted or are considering new rules and regulations and we expect to continue to incur costs to comply with these rules and regulations. In the course of doing business, we collect guest, employee, company and other third-party data, including personally identifiable information and other sensitive data. We have incurred legal and other costs in connection with cyber incidents relating to such sensitive data. Refer to Operating Risk Factor f. below for additional discussion of data security risks.

Our operations subject us to potential liability under anti-corruption laws and regulations. We may also be affected by economic sanctions, trade protection laws, policies and other regulatory requirements affecting trade and investment.

We are subject to compliance with tax laws, regulations and treaties in the jurisdictions in which we are incorporated or operate. These tax laws, regulations and treaties are subject to change at any time, which may result in substantially higher tax expense. For example, the Organization for Economic Co-operation and Development (“OECD”) has proposed a multi-jurisdictional inclusive framework to address base erosion and profit sharing that, if enacted by relevant jurisdictions, may result in increased tax expense.

d. Factors associated with climate change, including evolving and increasing regulations, increasing global concern about climate change and the shift in climate conscious consumerism and stakeholder scrutiny, and increasing frequency and/or severity of adverse weather conditions could adversely affect our business.

Growing concerns regarding climate change have resulted in increased global regulatory focus on greenhouse gas (“GHG”) and other emissions which may have material impacts on our business. For example, we may be impacted by the EU’s Fit for 55 package, which includes proposed updates to the ETS relating to the need to acquire carbon emission allowances, proposed reforms to the EU’s ETD, which imposes taxes on fuel purchased in the EU, as well as a new regulatory proposal, the FuelEU Maritime initiative, which sets out a long-term framework to reduce emissions by increasing the use of sustainable alternative fuels and shore power. In addition, the IMO is currently considering various other proposals which aim to reduce emissions within the global shipping industry. If enacted, these regulations and reforms may individually or collectively have a material impact on our operating costs and profitability. Regulatory efforts, both internationally and in the U.S., are evolving, including the international alignment of such efforts, and we cannot determine what final regulations will be enacted or their ultimate impact on our business. Climate change-related regulatory activity and developments that require us to reduce our emissions, which includes both the EU and IMO proposals discussed above, may adversely affect our business and financial results by requiring us to make capital investments in new equipment or technologies, pay for carbon emissions, purchase carbon offset credits, or otherwise incur additional costs or take additional actions related to our emissions. Such activity may also impact us indirectly by increasing our operating costs, including fuel costs. Regulatory developments may also result in the inability to operate ships that do not meet certain standards, the acceleration of the removal of less fuel efficient ships from our fleet and impact the resale value of our ships in the future.

Growing recognition among consumers globally of the negative effects of climate change and the impact of GHG and other emissions may lead to material changes in consumer preferences. For instance, our guests may choose a vacation option that they perceive as operating in a manner that is more sustainable for the climate, seek alternative methods of travel, or reduce the amount and frequency of their travel. In addition, some environmental focused groups have and may continue to generate negative publicity regarding the environmental impact of the cruise vacation industry and are advocating for more stringent
31


regulation of ship emissions while the ship is docked and at sea. Growing environmental scrutiny of our industry from the investment community, other stakeholders, and the media could impact how we are perceived which may have a material impact on our operations and financial results. Certain climate related actions and investments we make today may not lead us to our intended future emissions related goals or may not be favorably perceived in future years based on continuing evolving regulations and perceptions around effective emissions mitigation strategies and technologies.

Our cruise ships, hotels, land tours, port and related commercial facilities and shore excursions have been and may continue to be impacted by adverse weather patterns or other natural disasters, such as hurricanes, earthquakes, floods, fires, tornadoes, tsunamis, typhoons and volcanic eruptions. Climate change is expected to increase the frequency and intensity of certain adverse weather patterns, possibly making certain destinations less desirable or impacting our business in other ways. It is possible that we could be forced to alter itineraries or cancel a cruise or a series of cruises or tours due to these or other types of disruptions. The physical climate-related risks to our business include increased hurricane/typhoon intensity and frequency, increases in global temperatures and rising sea levels which may adversely impact our shoreside facilities, our investments in ports or the availability or desirability of ports and destinations in which we operate. These effects may also disrupt the supply of critical goods and services to our facilities and ships. Such activity could have a material impact on our business and profitability.

e. Inability to meet or achieve our sustainability related goals, aspirations, initiatives, and our public statements and disclosures regarding them, may expose us to risks that may adversely impact our business.

We have developed and will continue to establish goals, targets, and other objectives related to sustainability matters. These statements reflect our current plans and do not constitute a guarantee that they will be achieved. Our efforts to research, establish, accomplish, and accurately report on these goals, targets, and objectives expose us to numerous operational, reputational, financial, legal, and other risks, any of which could have a negative impact on our business. Our ability to achieve any stated goal, target, or objective, particularly with respect to environmental emissions, is subject to numerous factors and conditions, many of which are outside of our control. Examples of such factors include the availability and costs of low- or non-carbon-based energy sources, evolving regulatory requirements affecting sustainability standards or disclosures, the availability of future financing and the availability of suppliers that can meet our sustainability standards.

Our business may face increased scrutiny from our guests, employees, investment community and destinations that we serve related to our sustainability activities, including the goals, targets, and objectives that we adopt, and our methodologies and timelines for pursuing them. If our sustainability practices do not meet the expectations of our guests, employees, investors or other stakeholders, demand for cruising, our reputation, our ability to attract or retain employees, and our attractiveness as an investment could be negatively impacted. Similarly, our failure or perceived failure to pursue or fulfill our goals, targets, and objectives within the timelines we announce, or at all, could have the same negative impacts as well as expose us to government enforcement actions and private litigation.

f. 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 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.

We have and may continue to be impacted by breaches in data security and lapses in data privacy, which occur from time to time. These can vary in scope and intent from motivated driven attacks to malicious attacks intended to disrupt or compromise our shoreside and shipboard operations by targeting our key operating systems. Breach or circumvention of our systems or the systems of third parties, including by ransomware, through vulnerabilities in licensed software or hardware, or as a result of other attacks, results in disruptions to our business operations; unauthorized access to (or the loss of company access to) competitively sensitive, confidential or other critical data (including sensitive financial, medical or other personal or business information) or systems; loss of customers; financial losses; regulatory investigations, enforcement actions and fines; litigation and misuse or corruption of critical data and proprietary information, any of which could be material.

We have been subject to past attacks which resulted in unauthorized access to systems and/or data and continue to work with regulators regarding such incidents. We have incurred legal and other costs in connection with cyber incidents that have impacted us. While at this time we do not believe that these incidents will have a material adverse effect on our business, operations or financial results, no assurances can be given about past or future incidents, and we may be subject to future attacks or incidents and related litigation or regulatory investigations that could have such a material adverse effect.

Our principal offices, information technology operations, system networks and various remote work locations may be impacted by actual or threatened natural disasters (for example, hurricanes, earthquakes, floods, fires, tornadoes, tsunamis, typhoons and volcanic eruptions) or other disruptive events. Our maritime and/or shoreside operations, including our ability to manage our inventory of cabins held for sale and set pricing, control costs and serve our guests, depends on the reliability of our information
32


technology operations and system networks, as well as our ability to refine and update to more advanced systems and technologies.

g. The loss of key employees, our inability to recruit or retain qualified shoreside and shipboard employees and increased labor costs could have an adverse effect on our business and results of operations.

Our success depends, in large part, on the skills and contributions of our employees, and on our ability to recruit, develop and retain high quality, diverse employees. We may not be successful in recruiting, developing or retaining key or other highly qualified employees. As a result of COVID-19, the reduction in our workforce during our pause in guest cruise operations, general macroeconomic factors and an increasingly competitive labor market, we are experiencing difficulty in hiring sufficient qualified employees to support our return to full operations. For example, there is particularly high competition for recruiting and retaining qualified employees needed to support our information technology systems and infrastructure which are critical to our successful operations.

In addition, we hire a significant number of qualified shipboard employees each year and, thus, our ability to adequately recruit, develop and retain these individuals is critical to our success. Incidents involving cruise ships, including COVID-19 outbreaks on our ships and increasing demand as a result of the industry’s projected growth could negatively impact our ability to recruit, develop and retain sufficient qualified shipboard employees. Our ability to re-hire crew may be negatively impacted by increasing demands related to our comprehensive health and safety protocols, including mask and vaccine requirements and by reduced labor supply as many have obtained alternative employment during the pause in guest cruise operations. For example, we are experiencing difficulty in hiring sufficient qualified shipboard medical employees to support our return to full operations.

A prolonged shortage of qualified shoreside and shipboard employees and/or increased turnover rates could decrease our ability to operate our business in an optimal manner. The shortage and competitive labor market is resulting in increased costs from the need to hire temporary personnel and we are often required to increase wages and/or benefits in order to attract and retain employees, all of which may negatively impact our results of operations. In connection with our gradual resumption of guest cruise operations we have and intend to continue hiring a significant number of qualified employees for the foreseeable future, and we expect to continue to face significant challenges in hiring such employees.

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

We may be impacted, and have been impacted in the past, by economic, market and political conditions around the world, such as fuel demand, regulatory requirements, supply disruptions and related infrastructure needs, which make it difficult to predict the future price and availability of fuel. The supply and availability of different fuel types in various markets in which we operate may result in increased volatility and could lead to increased fuel prices and reduced profitability. Future increases in the global price of fuel would increase the cost of our cruise ship operations as well as some of our other expenses, such as crew travel, freight and commodity prices. Increases in airfares, which could result from increases in the price of fuel, would increase our guests’ overall vacation costs as many of our guests depend on airlines to transport them to or from the airports near the ports where our cruises embark and disembark.

Many of our vessels have exhaust gas cleaning systems that allow them to operate on high sulfur fuel oil that is less expensive than low sulfur fuel; however, the significant drop in demand for higher sulfur fuel directly related to COVID-19 could make it more difficult to source going forward which may result in higher operating costs. As a result of changes in regulations, we consumed a larger percentage of low sulfur fuel in 2021, which will likely increase our fuel costs during our gradual resumption of guest cruise operations. Additionally, certain of our ships are designed to use LNG as their primary fuel source. At this time, the marine LNG distribution infrastructure is in the early stages of development with a limited number of suppliers. Refer to Operating Risk Factor d. for additional discussion on the impact of climate change and regulation changes on fuel costs.

i. We rely on supply chain vendors who are integral to the operations of our businesses. These vendors and service providers are also affected by COVID-19 and may be unable to deliver on their commitments which could impact our business.

We rely on supply chain vendors to deliver key products to the operations of our businesses around the world. Any event impacting a vendor’s ability to deliver quality goods at the location and time needed could negatively impact our ability to operate our business. Events impacting our supply chain could be caused by factors beyond the control of our suppliers or us, including labor actions, increased demand, problems in production or distribution and/or disruptions in third-party logistics, information technology or transportation systems. In addition, the COVID-19 pandemic has resulted in widespread global supply chain disruptions to vendors including critical supply shortages, significant material cost inflation and extended lead times for items that are required for our operations. Any such interruptions to our supply chain could increase our costs and could limit the availability of products critical to our operations.
33



j. Fluctuations in foreign currency exchange rates may adversely impact our financial results.

We earn revenues, pay expenses, purchase and own assets and incur liabilities in currencies other than the U.S. dollar. Additionally, our shipbuilding contracts are typically denominated in euros. Movements in foreign currency exchange rates will affect our financial results.

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

We may be impacted by increases in capacity in the cruise and land-based vacation industry, which may result in capacity growth beyond demand, either globally or for a region, or for a particular itinerary. We face competition from other cruise brands on the basis of overall experience, destinations, types and sizes of ships and cabins, travel agent preferences and value. We also compete with land-based vacation alternatives throughout the world on the basis of overall experience, destinations and value. In addition, certain ports and destinations have faced a surge of both cruise and non-cruise tourism and in certain destinations, countermeasures to limit the number of tourists have been contemplated and/or put into effect, including proposed limits on cruise ships and cruise passengers. Potential restrictions in ports and destinations could limit the itinerary and destination options we can offer our passengers going forward. 

l. Inability to implement our shipbuilding programs and ship repairs, maintenance and refurbishments may adversely impact our business operations and the satisfaction of our guests.
We may be impacted by unforeseen events, such as work stoppages, insolvencies, “force majeure” events or other financial difficulties experienced by shipyards, their subcontractors and our suppliers. This may result in less shipyard availability resulting in delays or preventing the delivery of our ships under construction and/or the completion of the repair, maintenance or refurbishment of our existing ships. This may lead to potential delays or cancellations of cruises. In addition, the prices of various commodities that are used in the construction of ships and for repair, maintenance and refurbishment of existing ships, such as steel, are subject to volatility.

Cautionary Note Concerning Factors That May Affect Future Results

Some of the statements, estimates or projections contained in this document are “forward-looking statements” that involve risks, uncertainties and assumptions with respect to us, including some statements concerning 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,” “aspiration,” “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

Certain of the risks we are exposed to are identified in this Item 1A. “Risk Factors.” This item contains important cautionary statements and a discussion 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, COVID-19.
34


It is not possible to predict or identify all such risks. There may be additional risks that we consider immaterial or which are unknown.

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.

Forward-looking and other statements in this document may also address our sustainability progress, plans, and goals (including climate change- and environmental-related matters). In addition, historical, current, and forward-looking sustainability-related statements may be based on standards for measuring progress that are still developing, internal controls and processes that continue to evolve, and assumptions that are subject to change in the future.

Item 1B.    Unresolved Staff Comments.

None.

Item 2.    Properties.

As of November 30, 2021, the Carnival Corporation and Carnival plc headquarters and our larger shoreside locations are as follows:
   Location
Square Footage
(in thousands)
Own/Lease Principal Operations
Miami, FL, U.S.A. 463/61 Own/Lease Carnival Corporation & plc and Carnival Cruise Line
Genoa, Italy 246/66 Own/Lease Costa and AIDA
Santa Clarita, CA, U.S.A. 311 Lease Princess Cruises, Holland America Line and Seabourn
Almere, Netherlands 253 Own Arison Maritime Center
Rostock, Germany 224 Own Costa and AIDA
Seattle, WA, U.S.A. 175 Lease Princess Cruises, Holland America Line and Seabourn
Southampton, England 150 Lease Carnival plc, P&O Cruises (UK) and Cunard
Hamburg, Germany 140 Lease Costa and AIDA
Sydney, NSW, Australia 37 Lease Princess Cruises and P&O Cruises (Australia)

Information about our cruise ships, including the number each of our cruise brands operate, as well as information regarding our cruise ships under construction may be found under Part I. Item 1. Business. C. “Our Global Cruise Business.” In addition, we own, lease or have controlling interests in port destinations, private islands, hotels, and lodges.

Item 3.    Legal Proceedings.

The legal proceedings described in Note 7 – “Contingencies”, including those described under “COVID-19 Matters,” are shown in Exhibit 13 and are incorporated by reference into this Form 10-K. Additionally, SEC rules require disclosure of certain environmental matters when a governmental authority is a party to the proceedings and such proceedings involve potential monetary sanctions that we believe will exceed $1 million for such proceedings.

As previously disclosed, Princess Cruises entered into a plea agreement in December 2016 with the U.S. Department of Justice with respect to violations of federal laws related to illegal discharges of oily bilge water for incidents occurring in 2013 and prior, which resulted in a five-year term of probation that started in 2017 and the adoption of a court-supervised environmental compliance plan. On November 23, 2021, a petition for revocation of probation was filed by the U.S. Probation Officer, alleging a violation of probation. On January 7, 2022, the court approved a settlement pursuant to which Princess Cruises pled guilty to a violation of a condition of probation, agreed to take additional actions to enhance Carnival Corporation & plc’s environmental compliance program and pay a $1 million criminal penalty.

35


Item 4.    Mine Safety Disclosures.

None.

PART II

Item 5.    Market for Registrants’ Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.

A.    Market Information

The information required by Item 201(a) of Regulation S-K, Market Information, is shown in Exhibit 13 and is incorporated by reference into this Form 10-K.

B.    Holders

The information required by Item 201(b) of Regulation S-K, Holders, is shown in Exhibit 13 and is incorporated by reference into this Form 10-K.

C.    Dividends

On March 30, 2020, we suspended the payment of dividends on the common stock of Carnival Corporation and the ordinary shares of Carnival plc.

D.    Securities Authorized for Issuance under Equity Compensation Plans

The information required by Item 201(d) of Regulation S-K is incorporated by reference to Part III. Item 12 of this Form 10-K.

E.    Performance Graph

The information required by Item 201(e) of Regulation S-K, Performance Graph, is shown in Exhibit 13 and is incorporated by reference into this Form 10-K.

F.    Issuer Purchases of Equity Securities; Use of Proceeds from Registered Securities

I. Stock Swap Program

We have a program that allows us to realize a net cash benefit when Carnival Corporation common stock is trading at a premium to the price of Carnival plc ordinary shares (the “Stock Swap Program”). Under the Stock Swap Program, we may elect to offer and sell shares of Carnival Corporation common stock at prevailing market prices in ordinary brokers’ transactions and repurchase an equivalent number of Carnival plc ordinary shares in the UK market.

Under the Stock Swap Program effective June 2021, the Boards of Directors authorized the sale of up to $500 million of shares of Carnival Corporation common stock in the U.S. market and the repurchase of an equivalent number of Carnival plc ordinary shares.

We may in the future implement a program to allow us to realize a net cash benefit when Carnival plc ordinary shares are trading at a premium to the price of Carnival Corporation common stock.

Any sales of Carnival Corporation common stock and Carnival plc ordinary shares have been or will be registered under the Securities Act of 1933, as amended. During the three months ended November 30, 2021, under the Stock Swap Program, we sold 4.3 million shares of Carnival Corporation common stock and repurchased the same amount of Carnival plc ordinary shares, resulting in net proceeds of $9 million which were used for general corporate purposes. Since the beginning of the Stock Swap Program, first authorized in June 2021, we have sold 8.9 million shares of Carnival Corporation’s common stock and repurchased the same amount of Carnival plc ordinary shares, resulting in net proceeds of $19 million.

36


Period Total Number of Shares of Carnival plc Ordinary Shares Purchased (a)
(in millions)
Average Price Paid per Share of Carnival plc Ordinary Share Maximum Number of Carnival plc Ordinary Shares That May Yet Be Purchased
(in millions)
September 1, 2021 through September 30, 2021 —  $ —  13.8 
October 1, 2021 through October 31, 2021 2.5  $ 15.70  11.3 
November 1, 2021 through November 30, 2021 1.9  $ 15.42  9.5 
4.3  $ 15.58 

(a) No ordinary shares of Carnival plc were purchased outside of publicly announced plans or programs.

II. Carnival plc Shareholder Approvals

Carnival plc ordinary share repurchases under the Stock Swap Program require annual shareholder approval. The existing shareholder approval was limited to a maximum of 18.4 million ordinary shares and is valid until the earlier of the conclusion of the Carnival plc 2022 annual general meeting or October 19, 2022.

Item 6. Reserved.

Item 7.    Management’s Discussion and Analysis of Financial Condition and Results of Operations.

The information required by Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations, is shown in Exhibit 13 and is incorporated by reference into this Form 10-K.

Item 7A.    Quantitative and Qualitative Disclosures About Market Risk.

The information required by Item 7A. Quantitative and Qualitative Disclosures About Market Risk, is shown in Management’s Discussion and Analysis of Financial Condition and Results of Operations in Exhibit 13 and is incorporated by reference into this Form 10-K.

Item 8.    Financial Statements and Supplementary Data.

The financial statements, together with the report thereon of PricewaterhouseCoopers LLP (PCAOB ID 238), dated January 27, 2022, are shown in Exhibit 13 and are incorporated by reference into this Form 10-K.

Item 9.    Changes in and Disagreements with Accountants on Accounting and Financial Disclosure.

None.

Item 9A.    Controls and Procedures.

A.    Evaluation of Disclosure Controls and Procedures

Disclosure controls and procedures are designed to provide reasonable assurance that information required to be disclosed by us in the reports that we file or submit under the Securities Exchange Act of 1934, is recorded, processed, summarized and reported within the time periods specified in the U.S. Securities and Exchange Commission’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by us in our reports that we file or submit under the Securities Exchange Act of 1934 is accumulated and communicated to our management, including our principal executive and principal financial officers, or persons performing similar functions, as appropriate, to allow timely decisions regarding required disclosure.

Our President and Chief Executive Officer and our Chief Financial Officer and Chief Accounting Officer have evaluated our disclosure controls and procedures and have concluded, as of November 30, 2021, that they are effective as described above.

37


B.    Management’s Annual Report on Internal Control over Financial Reporting

Our management is responsible for establishing and maintaining adequate internal control over financial reporting, as such term is defined in the Securities Exchange Act of 1934 Rule 13a-15(f). Our management, with the participation of our President and Chief Executive Officer and our Chief Financial Officer and Chief Accounting Officer, conducted an evaluation of the effectiveness of our internal control over financial reporting based on the 2013 Internal Control – Integrated Framework (the “COSO Framework”). Based on this evaluation under the COSO Framework, our management concluded that our internal control over financial reporting was effective as of November 30, 2021.

PricewaterhouseCoopers LLP, the independent registered public accounting firm that audited our consolidated financial statements incorporated in this Form 10-K, has also audited the effectiveness of our internal control over financial reporting as of November 30, 2021 as stated in their report, which is shown in Exhibit 13 and is incorporated by reference into this Form 10-K.

C.    Changes in Internal Control over Financial Reporting

There have been no changes in our internal control over financial reporting during the quarter ended November 30, 2021 that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.

Item 9B.    Other Information.

None.

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections.

None.

PART III

Item 10.    Directors, Executive Officers and Corporate Governance.

Directors

Information regarding our directors, as required by Item 10, is incorporated herein by reference from the Carnival Corporation and Carnival plc joint definitive Proxy Statement to be filed with the U.S. Securities and Exchange Commission not later than 120 days after the close of the 2021 fiscal year.

Information About Our Executive Officers

The table below sets forth the name, age, years of service and title of each of our executive officers as of January 27, 2022. Titles listed relate to positions within Carnival Corporation and Carnival plc unless otherwise noted.


Age
Years of Service (a) Title
Peter C. Anderson 58 2 Chief Ethics and Compliance Officer
Micky Arison 72 50 Chair of the Boards of Directors
David Bernstein 64 23 Chief Financial Officer and Chief Accounting Officer
Arnold W. Donald 67 21 President and Chief Executive Officer and Chief Climate Officer and Director
Enrique Miguez 57 24 General Counsel
Michael Thamm 58 28 Group Chief Executive Officer of Costa Group and Carnival Asia

(a)Years of service with us or Carnival plc predecessor companies.

Business Experience of Executive Officers

Peter C. Anderson has been Chief Ethics and Compliance Officer since 2019. From 2012 to 2019, he was a principal at the law firm of Beveridge & Diamond, PC.
38



Micky Arison has been Chair of the Boards of Directors since 1990 and a Director since 1987. He was Chief Executive Officer from 1979 to 2013.

David Bernstein has been Chief Financial Officer since 2007 and Chief Accounting Officer since 2016.

Arnold W. Donald has been President and Chief Executive Officer since 2013. He has been Chief Climate Officer since January 2022 and a Director since 2001.

Enrique Miguez has been General Counsel since March 2021. He was Vice President and Deputy General Counsel from 2003 to March 2021.

Michael Thamm has been Group Chief Executive Officer of Costa Group since 2012 and of Carnival Asia since 2017.

Corporate Governance

We have adopted a Code of Business Conduct and Ethics that applies to our President and Chief Executive Officer and Chief Climate Officer and senior financial officers, including the Chief Financial Officer and Chief Accounting Officer and other persons performing similar functions. Our Code of Business Conduct and Ethics applies to all our other employees and to our directors as well. Our Code of Business Conduct and Ethics states our commitment to conduct business ethically, without the influence of bribes or acts of corruption. We are committed to complying with the laws prohibiting bribery and other corrupt practices that apply everywhere we operate. Additionally, we provide trainings on anti-corruption laws and regulations and how to identify bribery to our employees. This Code of Business Conduct and Ethics is posted on our website, which is located at www.carnivalcorp.com and www.carnivalplc.com. We intend to satisfy the disclosure requirement under Item 5.05 of the Form 8-K regarding any amendments to, or waivers from, provisions of this Code of Business Conduct and Ethics by posting such information on our website, at the addresses specified above.

The additional information required by Item 10 is incorporated herein by reference from the Carnival Corporation and Carnival plc joint definitive Proxy Statement to be filed with the U.S. Securities and Exchange Commission not later than 120 days after the close of the 2021 fiscal year.

Item 11.    Executive Compensation.

The information required by Item 11 is incorporated herein by reference from the Carnival Corporation and Carnival plc joint definitive Proxy Statement to be filed with the U.S. Securities and Exchange Commission not later than 120 days after the close of the 2021 fiscal year.

Item 12.    Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters.

A.    Securities Authorized for Issuance under Equity Compensation Plans

    I.    Carnival Corporation

Set forth below is a table that summarizes compensation plans (including individual compensation arrangements) under which Carnival Corporation equity securities are authorized for issuance as of November 30, 2021.
Plan category Number of securities to be issued upon exercise of warrants and rights
(in millions)
Weighted-average exercise price of outstanding warrants and rights Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (1))
(in millions)
(1)
Equity compensation plans approved by security holders 5.3 (a) —  15.9 (b)
Equity compensation plans not approved by security holders —  —  — 
5.3 —  15.9

39


(a)Represents 5.3 million of restricted share units outstanding under the Carnival Corporation 2011 Stock Plan and Carnival Corporation 2020 Stock Plan.
(b)Includes Carnival Corporation common stock available for issuance as of November 30, 2021 as follows: 1.6 million under the Carnival Corporation Employee Stock Purchase Plan, which includes 95,087 shares subject to purchase during the current purchase period and 14.4 million under the Carnival Corporation 2020 Stock Plan.

    II.    Carnival plc

Set forth below is a table that summarizes compensation plans (including individual compensation arrangements) under which Carnival plc equity securities are authorized for issuance as of November 30, 2021.



Plan category
Number of securities to be issued upon exercise of warrants and rights
(in millions)
Weighted-average exercise price of outstanding warrants and rights Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (1))
(in millions)
(1)
Equity compensation plans approved by security holders 1.9 (a) —  3.2
Equity compensation plans not approved by security holders —  —  — 
1.9 —  3.2

(a)Represents 1.9 million restricted share units outstanding under the Carnival plc 2014 Employee Share Plan.

The additional information required by Item 12 is incorporated herein by reference to the Carnival Corporation and Carnival plc joint definitive Proxy Statement to be filed with the U.S. Securities and Exchange Commission not later than 120 days after the close of the 2021 fiscal year.

Items 13 and 14. Certain Relationships and Related Transactions, and Director Independence and Principal Accountant Fees and Services.

The information required by Items 13 and 14 is incorporated herein by reference from the Carnival Corporation and Carnival plc joint definitive Proxy Statement to be filed with the U.S. Securities and Exchange Commission not later than 120 days after the close of the 2021 fiscal year.

PART IV

Item 15.    Exhibits and Financial Statement Schedules.

(a) (1)    Financial Statements

The financial statements shown in Exhibit 13 are incorporated herein by reference into this Form 10-K.

(2)    Financial Statement Schedules

All schedules for which provision is made in the applicable accounting regulations of the SEC are not required under the related instruction or are inapplicable and, therefore, have been omitted.

(3)    Exhibits

The exhibits listed below on the Index to Exhibits are filed or incorporated by reference as part of this Form 10-K.

40


INDEX TO EXHIBITS
Incorporated by Reference
Exhibit Number Exhibit Description Form Exhibit Filing Date Filed Herewith
Articles of incorporation and by-laws
3.1 8-K 3.1 4/17/03
3.2 8-K 3.1 4/20/09
3.3 8-K 3.3 4/20/09
Instruments defining the rights of security holders, including indenture
4.1 X
4.2 10-Q 4.1 10/15/03
4.3 10-Q 4.2 10/15/03
4.4  S-4 4.3 5/30/03
4.5 S-3 & F-3 4.10 6/19/03
4.6 S-3 & F-3 4.16 6/19/03
4.7 8-K 4.1 4/17/03
4.8 8-K 4.2 4/17/03
4.9 8-K 4.3 4/17/03
41


INDEX TO EXHIBITS
Incorporated by Reference
Exhibit Number Exhibit Description Form Exhibit Filing Date Filed Herewith
4.10 Post
Amend-
ment to
Form F-6
99-a 4/15/03
 4.11 S-3 4.1 7/2/09
4.12 10-K 4.12 1/28/20
4.13 10-K 4.14 1/28/20
4.14 10-K 4.15 1/28/20

Material contracts
10.1* 10-Q 10.1 9/28/07
10.2*
10-Q
10.1 6/27/08
10.3* 10-Q 10.2 6/27/08
10.4 10-Q 10.2 7/12/02
10.5* 10-Q 10.2 10/3/14
10.6* 10-Q 10.3 7/1/15
10.7* 8-K 99.1 10/21/16
10.8* 8-K 10.1 4/27/17
10.9* 10-Q 10.3 4/9/19
42


INDEX TO EXHIBITS
Incorporated by Reference
Exhibit Number Exhibit Description Form Exhibit Filing Date Filed Herewith
10.10* 10-Q 10.4 4/9/19
10.11* 10-Q 10.5 4/9/19
10.12* 10-Q 10.1 6/24/19
10.13* 10-Q 10.2 6/24/19
10.14* 10-Q 10.3 6/24/19
10.15* 10-Q 10.1 9/26/19
10.16* 10-Q 10.1 4/1/20
10.17*

10-Q 10.2 4/1/20
10.18*

10-Q 10.3 4/1/20
10.19* 10-Q 10.3 7/10/20
10.20* 10-Q 10.5 7/10/20
10.21*** 10-Q 10.6 7/10/20
43


INDEX TO EXHIBITS
Incorporated by Reference
Exhibit Number Exhibit Description Form Exhibit Filing Date Filed Herewith
10.22 10-K 10.42 1/26/21
10.23 10-Q 10.7 7/10/20
10.24 10-Q 10.9 7/10/20
10.25 10-Q 10.1 10/8/20
10.26*** 10-Q 10.2 10/8/20
10.27 10-K 10.49 1/26/21
10.28*** 10-Q 10.3 10/8/20
10.29 10-K 10.51 1/26/21
44


INDEX TO EXHIBITS
Incorporated by Reference
Exhibit Number Exhibit Description Form Exhibit Filing Date Filed Herewith
10.30 10-K 10.52 1/26/21
10.31* 10-Q 10.4 10/8/20
10.32* 10-Q 10.5 10/8/20
10.33* 10-Q 10.6 10/8/20
10.34* 10-Q 10.7 10/8/20
10.35 8-K 10.1 1/6/21
10.36 10-Q 10.1 4/7/21
10.37
    
10-Q 10.2 4/7/21
10.38 10-Q 10.3 4/7/21
10.39 10-Q 10.1 6/28/21
45


INDEX TO EXHIBITS
Incorporated by Reference
Exhibit Number Exhibit Description Form Exhibit Filing Date Filed Herewith
10.40 10-Q 10.2 6/28/21
10.41 X
10.42 8-K 10.1 6/30/21
10.43 10-Q 10.3 9/30/21
10.44



8-K 10.1 11/2/21
10.45 X
10.46 X
Annual report to security holders
46


INDEX TO EXHIBITS
Incorporated by Reference
Exhibit Number Exhibit Description Form Exhibit Filing Date Filed Herewith
13 X
Subsidiaries of the registrants
21 X

Consents of experts and counsel
23 X
Power of attorney
24 X
Rule 13a-14(a)/15d-14(a) certifications
31.1 X
31.2 X
31.3 X
31.4 X
Section 1350 certifications
32.1** X
32.2** X
47


INDEX TO EXHIBITS
Incorporated by Reference
Exhibit Number Exhibit Description Form Exhibit Filing Date Filed Herewith
32.3** X
32.4** X
Interactive data file
101 The consolidated financial statements from Carnival Corporation & plc’s Form 10-K for the year ended November 30, 2021, as filed with the SEC on January 27, 2022 formatted in Inline XBRL, are as follows:
(i) the Consolidated Statements of Income for the years ended November 30, 2021, 2020 and 2019; X
(ii) the Consolidated Statements of Comprehensive Income for the years ended November 30, 2021, 2020 and 2019; X
(iii) the Consolidated Balance Sheets at November 30, 2021 and 2020; X
(iv) the Consolidated Statements of Cash Flows for the years ended November 30, 2021, 2020 and 2019; X
(v) the Consolidated Statements of Shareholders’ Equity for the years ended November 30, 2021, 2020 and 2019
and
X
(vi) the notes to the consolidated financial statements, tagged in summary and detail. X
104 The cover page from Carnival Corporation & plc’s Form 10-K for the year ended November 30, 2021, as filed with the Securities and Exchange Commission on January 27, 2022, formatted in Inline XBRL (included as Exhibit 101)

*Indicates a management contract or compensation plan or arrangement.
**These items are furnished and not filed.
***Certain portions of this exhibit have been omitted pursuant to Item 601(b)(10) of Regulation S-K.


Item 16.    Form 10-K Summary.

None.


48


SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, each of the registrants has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
CARNIVAL CORPORATION CARNIVAL PLC
/s/ Arnold W. Donald /s/ Arnold W. Donald
Arnold W. Donald Arnold W. Donald
President and Chief Executive Officer and President and Chief Executive Officer and
Chief Climate Officer and Director Chief Climate Officer and Director
January 27, 2022 January 27, 2022
    
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of each of the registrants and in the capacities and on the dates indicated.
CARNIVAL CORPORATION CARNIVAL PLC
/s/ Arnold W. Donald /s/ Arnold W. Donald
Arnold W. Donald Arnold W. Donald
President and Chief Executive Officer and President and Chief Executive Officer and
Chief Climate Officer and Director Chief Climate Officer and Director
January 27, 2022 January 27, 2022
/s/ David Bernstein /s/ David Bernstein
David Bernstein David Bernstein
Chief Financial Officer and Chief Accounting Officer Chief Financial Officer and Chief Accounting Officer
January 27, 2022 January 27, 2022
/s/*Micky Arison /s/*Micky Arison
Micky Arison Micky Arison
Chair of the Board of Chair of the Board of
Directors Directors
January 27, 2022 January 27, 2022
/s/*Sir Jonathon Band /s/*Sir Jonathon Band
Sir Jonathon Band Sir Jonathon Band
Director Director
January 27, 2022 January 27, 2022
/s/*Jason Glen Cahilly /s/*Jason Glen Cahilly
Jason Glen Cahilly Jason Glen Cahilly
Director Director
January 27, 2022 January 27, 2022
/s/*Helen Deeble /s/*Helen Deeble
Helen Deeble Helen Deeble
Director Director
January 27, 2022 January 27, 2022
/s/*Jeffrey J. Gearhart /s/*Jeffrey J. Gearhart
49


Jeffrey J. Gearhart Jeffrey J. Gearhart
Director Director
January 27, 2022 January 27, 2022
/s/*Richard J. Glasier /s/*Richard J. Glasier
Richard J. Glasier Richard J. Glasier
Director Director
January 27, 2022 January 27, 2022
/s/*Katie Lahey
/s/*Katie Lahey
Katie Lahey
Katie Lahey
Director
Director
January 27, 2022 January 27, 2022
/s/*Sir John Parker /s/*Sir John Parker
Sir John Parker Sir John Parker
Director Director
January 27, 2022 January 27, 2022
/s/*Stuart Subotnick /s/*Stuart Subotnick
Stuart Subotnick Stuart Subotnick
Director Director
January 27, 2022 January 27, 2022
/s/*Laura Weil /s/*Laura Weil
Laura Weil Laura Weil
Director Director
January 27, 2022 January 27, 2022
/s/*Randall J. Weisenburger /s/*Randall J. Weisenburger
Randall J. Weisenburger Randall J. Weisenburger
Director Director
January 27, 2022 January 27, 2022
*By: /s/ Enrique Miguez *By: /s/ Enrique Miguez
Enrique Miguez Enrique Miguez
(Attorney-in-fact) (Attorney-in-fact)
January 27, 2022 January 27, 2022

50

Exhibit 4.1



January 13, 2022



Securities and Exchange Commission
100 F Street, NE
Washington, DC 20549

RE: Carnival Corporation, Commission File No. 001-9610, and
Carnival plc, Commission File No. 001-15136

Ladies and Gentlemen:

Pursuant to Item 601(b) (4) (iii) of Regulation S-K promulgated under the Securities Exchange Act of 1934, as amended, Carnival Corporation and Carnival plc (the “Companies”) hereby agree to furnish copies of certain long-term debt instruments to the Securities and Exchange Commission upon the request of the Commission and, in accordance with such regulation, such instruments are not being filed as part of the joint Annual Report on Form 10-K of the Companies for their year ended November 30, 2021.

Very truly yours,

CARNIVAL CORPORATION AND CARNIVAL PLC



/s/ Enrique Miguez    
General Counsel




To:    Bank of America Europe Designated Activity Company
Two Park Place
Hatch Street
Dublin 2
Ireland
Attention:         EMEA Lending Fulfilment
E-Mail:         colin.gotts@bofa.com & kevin.p.day@bofa.com
as Facilities Agent under Facilities Agreement
(as defined below) and on behalf of the
Finance Parties
30 September 2021

CARNIVAL CORPORATION AND CARNIVAL PLC – Multicurrency Revolving Facilities Agreement dated 18 May 2011
1.    Background
1.1    We refer to the USD1,400,000,000, £150,000,000 and €1,000,000,000 Multicurrency Revolving Facilities Agreement dated 18 May 2011 (as amended and restated most recently on 6 August 2019 and further amended from time to time) between, among others, Carnival Corporation, Carnival plc and Bank of America Europe Designated Activity Company as facilities agent (the Facilities Agreement).
1.2    Terms defined in the Facilities Agreement have the same meanings in this letter, unless the context otherwise requires. The provisions of Clause 1.2 (Construction) of the Facilities Agreement apply to this letter as though they were set out in full in this letter except that references to the Agreement are to be construed as references to this letter.
1.3    We are writing to you in our capacity as Obligors’ Agent pursuant to Clause 2.4 (Obligors’ Agent) and as Costa Crociere S.p.A. in accordance with the Facilities Agreement to apply for the consent of the Facilities Agent (acting on the instructions of the Majority Lenders) to the following request. We hereby confirm that Clause 2.4 (Obligors’ Agent) of the Facilities Agreement remains in full force and effect as at the date of this letter and that we are authorised to execute this letter on behalf of each Obligor in accordance with Clause 2.4 (Obligors’ Agent) of the Facilities Agreement.
1.4    Due to the proposed discontinuance of LIBOR, certain currencies in the Facilities Agreement will not be available for utilisation on the terms set out in the Facilities Agreement after 31 December 2021 without amending the Facilities Agreement to provide for a different interest rate benchmark and calculation methodology. As it is not our current intention to utilise the Facilities in Sterling, rather than seek to make such amendments now, we are requesting that the Facilities Agreement is amended so that Sterling is removed from the available currencies under the Facilities Agreement and an alternative to Overnight LIBOR for the Swingline Facility under Tranche C is provided.
2.    Amendment Request
Accordingly, in accordance with Clause 41 (Amendments and waivers) of the Facilities Agreement, we request that you seek the consent of the Majority Lenders to the amendment of the following provisions of the Facilities Agreement:
(a)    a new definition be added to Clause 1.1 (Definitions) in alphabetical order as follows:
€STR means in relation to any day:
(a)    the euro shortterm rate administered by the European Central Bank (or any other person which takes over the administration of that rate) published by the European Central Bank (or any other person which takes over publication of that rate) on page EUROSTR= of



the Thomson Reuters screen (or any replacement Thomson Reuters page which displays that rate) on that day. If such page or service ceases to be available, the Facilities Agent may specify another page or service displaying the relevant rate after consultation with the Company; or
(b)     as otherwise determined in accordance with Clause 9.8 (Unavailability of €STR – Swingline Loans under Tranche C),
and, if in either case, that rate is less than zero, €STR shall be deemed to be zero.”
(b)    the definition of “Overnight LIBOR” in Clause 1.1 (Definitions) shall be deleted in full;
(c)    paragraph (c) of the definition of “Screen Rate” in Clause 1.1 (Definitions) shall be deleted in full;
(d)    a new definition be added to Clause 1.1 (Definitions) in alphabetical order as follows:
Subsidiary Deed of Guarantee means the deed of guarantee issued by the Subsidiary Guarantors in favour of the Facilities Agent dated 11 May 2021.”
(e)    paragraph (a) of Clause 5.3 (Currency and amount) be amended by adding the following at the end of the paragraph:
“(save that the Base Currency may not be selected under Tranche B after 30 September 2021)”
(f)    paragraph (b) of Clause 9.1 (Swingline Facilities) be amended by adding the following at the end of the paragraph:
“(on or before 30 September 2021 only)”
(g)    paragraph (a)(iii)(B) of Clause 9.6 (Interest) shall be deleted in full and replaced with the following:
“(B)    €STR,”
(h)    Clause 9.8 (Unavailability of Screen Rate – Swingline Loans under Tranche C) shall be deleted in full and replaced with the following:
“Clause 9.8     (Unavailability of €STR – Swingline Loans under Tranche C)
(a)     If €STR (pursuant to paragraph (a) of that definition) (the Euro Rate) is not available for any day the applicable €STR for that date shall be the most recent applicable Euro Rate which is as of a day which is no more than 5 days before that day.
(b)    If paragraph (a) above applies and there is no applicable Euro Rate which is as of a day which is no more than 5 days before that day, there shall be no €STR for that day and Clause 9.9 (Cost of funds – Swingline Loans under Tranche C) shall apply.”
(i)    paragraph (a)(ii) of Clause 11.3 (Conditions relating to Optional Currencies) be deleted in full and replaced with the following:
“(ii)    it is US Dollars, euro or (before 30 September 2021) Sterling.”,
as soon as possible and in any event by no later than 5.00 p.m. on 30 September 2021.
3.    Consent
By your countersignature of this letter, you confirm that the amendments requested in this letter have been given by the Majority Lenders.



4.    Representations
The Repeating Representations are confirmed to be true in all material respects by each Obligor (by reference to the facts and circumstances then existing) on the date of this letter, and in each case as if references to the Finance Documents in such Repeating Representations are references to this letter.
5.    Guarantee
On the date of this letter, each Obligor and the Company (in its capacity as Obligors’ Agent on behalf of each Obligor (other than Costa Crociere S.p.A.)):
(a)    confirms its acceptance of the Facilities Agreement (as amended by this letter);
(b)    agrees that it is bound as an Obligor by the terms of the Facilities Agreement (as amended by this letter);
(c)    if a Guarantor, confirms that its guarantee provided under Clause 23 (Guarantee and Indemnity) of the Facilities Agreement (as amended by this letter) and the relevant Deed of Guarantee:
(i)    continues in full force and effect on the terms of the Facilities Agreement as amended by this letter and the relevant Deed of Guarantee; and
(ii)    extends to the obligations of the Obligors under the Finance Documents (including the Facilities Agreement as amended by this letter and notwithstanding the imposition of any amended, additional or more onerous obligations); and
(d)    if a Subsidiary Guarantor, confirms that its guarantee provided under the Subsidiary Deed of Guarantee:
(i)    continues in full force and effect on the terms of the Facilities Agreement (as amended by this letter) and the relevant Subsidiary Deed of Guarantee; and
(ii)    extends to the obligations of the Obligors under the Finance Documents (including the Facilities Agreement as amended by this letter and notwithstanding the imposition of any amended, additional or more onerous obligations).
6.    Miscellaneous
6.1    Save as expressly set out in this letter:
(a)    the Finance Documents remain in full force and effect; and
(b)    nothing in this letter shall constitute or be construed as a waiver or compromise of any other term or condition of the Finance Documents or any of the Finance Parties’ rights in relation to them which for the avoidance of doubt shall continue to apply in full force and effect.
6.2    This letter is a Finance Document. With effect from the date of your countersignature to this letter, this letter and the Facilities Agreement shall be read and construed as one document.
6.3    This letter may be executed in any number of counterparts and all those counterparts taken together shall be deemed to constitute one and the same letter. Delivery of a counterpart of this letter by e-mail attachment or telecopy shall be an effective mode of delivery.
6.4    Pursuant to and in accordance with the transparency rules (Disposizioni in materia di trasparenza delle operazioni e dei servizi bancari e finanziari. Correttezza delle relazioni tra intermediari e clienti) applicable to transactions and banking and financial services issued by Bank of Italy on 29 July 2009 and published in the Italian official gazette (Gazzetta Ufficiale) no. 217 on 18 September 2009 (as amended and supplemented from time to time) (the Transparency Rules), the Parties mutually acknowledge and declare that this letter and any of its terms and conditions have been negotiated, with the assistance of their respective legal counsels, on an individual basis and, as a result, this letter falls into the category of the agreements “che costituiscono oggetto di trattativa individuale” which are exempted from the application of Section II of the Transparency Rules.



6.5    This letter and any non-contractual obligations arising out of or in relation to this letter are governed by English law.
6.6    The provisions of Clauses 39 (Partial invalidity), 37 (Notices), 46 (Governing law), 47 (Enforcement) of the Facilities Agreement apply to this letter as though they were set out in full in this letter except that references to the Agreement are to be construed as references to this letter.
Please sign and return to us a counterpart of this letter in order to indicate your agreement to its terms.
Yours faithfully

/s/ Quinby Dobbins
for and on behalf of
Carnival Corporation
for itself and as agent for and on behalf of each Obligor (other than Costa Crociere S.p.A.)

/s/ David Bernstein
for and on behalf of
Costa Crociere S.p.A.





We acknowledge and agree to the terms of this letter


/s/ Kevin Day
Kevin Day
Vice President

for and on behalf of
Bank of America Europe Designated Activity Company
as Facilities Agent and on behalf of the
Finance Parties
(acting on the instructions of the Majority Lenders
pursuant to Clause 41 (
Amendments and waivers) of the Facilities Agreement)


AMENDMENT NO. 3 TO TERM LOAN AGREEMENT
This AMENDMENT NO. 3 TO TERM LOAN AGREEMENT (this “Amendment”), dated as of October 5, 2021, is by and among CARNIVAL CORPORATION, a Panamanian corporation (the “Lead Borrower”), CARNIVAL FINANCE, LLC, a Delaware limited liability company (the “Co-Borrower”), JPMORGAN CHASE BANK, N.A., as the Administrative Agent for the Lenders (in such capacity, the “Administrative Agent”), and the Lenders party hereto. Unless otherwise indicated, all capitalized terms used herein and not otherwise defined shall have the respective meanings provided such terms in the Loan Agreement referred to below (as amended by this Amendment).
W I T N E S S E T H:
WHEREAS, the Lead Borrower, the Co-Borrower, Carnival plc, a company incorporated under the laws of England and Wales (“Carnival plc”), the other Guarantors, the Administrative Agent, U.S. Bank National Association, as Security Agent, and the Lenders from time to time party thereto have entered into the Term Loan Agreement, dated as of June 30, 2020 (as amended, restated, supplemented or otherwise modified from time to time through the Effective Time referred to below, the “Loan Agreement”); and
WHEREAS, in accordance with the provisions of Section 11.1 of the Loan Agreement, technical and conforming modifications to the Loan Agreement may be made with the consent of the Lead Borrower and the Administrative Agent (but without the consent of any Lender) to the extent necessary to cure any ambiguity, omission, defect or inconsistency;
NOW, THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, it is agreed as follows:
SECTION 1. Amendments to Loan Agreement. Effective as of the Effective Time, Section 6.14(a) of the Loan Agreement is hereby amended and restated in its entirety as follows:
“(a)    The Borrowers may on one or more occasions after the Effective Date, by written notice to the Administrative Agent, request the establishment of Incremental Commitments; provided, except with respect to Indebtedness that constitutes Permitted Refinancing Indebtedness in respect of any Indebtedness secured pursuant to the clause (B), (C) or (E) of the definition of Permitted Collateral Liens (it being understood that to the extent the refinanced Indebtedness consists of Junior Obligations, such Permitted Refinancing Indebtedness shall be Junior Obligations), that after giving pro forma effect thereto and the use of proceeds thereof, the Loan-to-Value Ratio does not exceed 25%. Each such notice shall specify (i) the date on which the Lead Borrower proposes that the Incremental Commitments shall be effective, which shall be a date not less than 10 Business Days (or such shorter period as may be agreed to by the Administrative Agent) after the date on which such notice is delivered to the Administrative Agent, and (ii) the amount of the Incremental Commitments being requested (it being agreed that (x) any Lender approached to provide any Incremental Commitment may elect or decline, in its sole discretion, to provide such Incremental Commitment and (y) any Person that the Lead Borrower proposes to become an Incremental Lender, if such Person is not then a Lender, must be an Eligible Assignee.”
[Amendment No. 3 to Term Loan Agreement]


SECTION 2. Effectiveness. This Amendment shall become effective upon receipt by the Administrative Agent of duly executed counterpart signature pages to this Amendment by the Lead Borrower and the Administrative Agent (the “Effective Time”).
SECTION 3. Loan Documents. This Amendment shall constitute a “Loan Document” for all purposes of the Loan Agreement and the other Loan Documents.
SECTION 4. Reference to and Effect on the Loan Agreement and the Loan Documents.
(a)    From and after the Effective Time, each reference in the Loan Agreement to “this Agreement,” “hereunder,” “hereof” or words of like import referring to the Loan Agreement shall mean and be a reference to the Loan Agreement, as amended by this Amendment. The Loan Agreement, as amended by this Amendment, and each of the other Loan Documents are and shall continue to be in full force and effect and are hereby in all respects ratified and confirmed.
(b)    The execution, delivery and effectiveness of this Amendment shall not, except as expressly provided herein, operate as a waiver of any right, power or remedy of any Lender or the Administrative Agent under any of the Loan Documents, nor constitute a waiver of any provision of any of the Loan Documents.
SECTION 5. Governing Law. This Amendment shall be deemed to be a contract made under, and shall be governed by, the laws of the State of New York.
SECTION 6. Counterparts. This Amendment may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument. Delivery of an executed counterpart of a signature page to this Amendment by facsimile or electronic (i.e. “pdf” or “tif”) transmission shall be effective as delivery of a manually executed counterpart of this Amendment.
SECTION 7. Electronic Execution. Section 11.8(b) of the Loan agreement shall apply to the execution of this Amendment mutatis mutandis.
[The remainder of this page is intentionally left blank.]
IN WITNESS WHEREOF, the parties hereto have caused their duly authorized officers to execute and deliver this Amendment as of the date first above written.
CARNIVAL CORPORATION,
as the Lead Borrower
By: /s/ Quinby Dobbins    
    Name:     Quinby Dobbins
    Title:     Treasurer


[Amendment No. 3 to Term Loan Agreement]


JPMORGAN CHASE BANK, N.A.,
as Administrative Agent
By: /s/ Nadeige Dang        
    Name:     Nadeige Dang
    Title:     Executive Director
[Amendment No. 3 to Term Loan Agreement]

IMAGE_0.JPG
INCREMENTAL ASSUMPTION AGREEMENT AND
AMENDMENT NO. 4 TO TERM LOAN AGREEMENT
dated as of October 18, 2021
among
CARNIVAL FINANCE, LLC,
as Co-Borrower,
CARNIVAL CORPORATION,
as Lead Borrower,
CARNIVAL PLC,
as a Guarantor,
THE SUBSIDIARY GUARANTORS PARTY HERETO,
THE LENDERS PARTY HERETO,
JPMORGAN CHASE BANK, N.A.,
as Joint Lead Arranger, Joint Bookrunner and Sole Global Coordinator,
BOFA SECURITIES INC. and CITIBANK N.A.,
as Joint Lead Arrangers and Joint Bookrunners,
BANCO SANTANDER, S.A. NEW YORK BRANCH, BARCLAYS BANK PLC, BNP PARIBAS SECURITIES CORP, DEUTSCHE BANK AG NEW YORK BRANCH, GOLDMAN SACHS BANK USA, HSBC BANK USA, NATIONAL ASSOCIATION, LLOYDS BANK CORPORATE MARKETS, and SUMITOMO MITSUI BANKING CORPORATION,
as Joint Bookrunners,
JPMORGAN CHASE BANK, N.A.,
as Administrative Agent,
and
AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED, LONDON BRANCH, BANK OF CHINA LIMITED, DZ BANK AG DEUTSCHE ZENTRAL-GENOSSENSCHAFTSBANK, NEW YORK BRANCH, MIZUHO BANK, LTD., NATWEST MARKETS PLC,
and PNC CAPITAL MARKETS LLC,
as Co-Managers
IMAGE_1.JPG



INCREMENTAL ASSUMPTION AGREEMENT AND
AMENDMENT NO. 4 TO TERM LOAN AGREEMENT
This INCREMENTAL ASSUMPTION AGREEMENT AND AMENDMENT NO. 4 (this “Amendment”), dated as of October 18, 2021, by and among Carnival Corporation, a Panamanian corporation (the “Lead Borrower”), Carnival Finance, LLC, a Delaware limited liability company (the



Co-Borrower” and, together with the Lead Borrower, the “Borrowers”), Carnival plc, a company incorporated under the laws of England and Wales (“Carnival plc”), the Subsidiary Guarantors party hereto (together with Carnival plc, the “Guarantors”), JPMorgan Chase Bank, N.A., as Administrative Agent (the “Administrative Agent”), and each of the Lenders party hereto.
PRELIMINARY STATEMENTS:
(1)    Carnival plc, the Borrowers, the Lenders party thereto from time to time and the Administrative Agent are party to that certain Term Loan Agreement, dated as of June 30, 2020 (as amended by Amendment No. 1 to the Term Loan Agreement dated as of December 3, 2020, as amended by Amendment No. 2 to the Term Loan Agreement dated as of June 30, 2021, as amended by Amendment No. 3 to the Term Loan Agreement dated as of October 5, 2021, and as further amended, restated, supplemented, waived or otherwise modified from time to time prior to the date hereof, the “Loan Agreement ” and, as further amended by this Amendment, the “Amended Loan Agreement”).
(2)    The Lead Borrower has requested pursuant to Section 2.14(a) of the Loan Agreement that the 2021 Incremental Term B Lenders (as defined below) provide 2021 Incremental Term B Advances (as defined below) in an aggregate principal amount of $2,300,000,000, the proceeds of which will be used by the Borrowers (x) to redeem a portion of the 2023 First-Priority Secured Notes and to pay accrued interest on such redeemed 2023 First-Priority Secured Notes (the “Refinancing”) and (y) to pay the fees, costs and expenses incurred in connection with the Refinancing and the arrangement, negotiation and documentation of this Amendment and the transactions contemplated hereby (the “Transaction Costs”), including the 2021 Incremental Term B Commitments and the 2021 Incremental Term B Advances (collectively with the payment of the Transaction Costs, the Refinancing, and the other transactions contemplated by this Amendment, the “2021 Transactions”).
(3)    Each 2021 Incremental Term B Lender party to this Amendment as a 2021 Incremental Term B Lender has agreed to make 2021 Incremental Term B Advances to the Borrowers on the 2021 Incremental Effective Date (as defined below) in an aggregate principal amount equal to its 2021 Incremental Term B Commitment (as defined below) and, if it is not already a Lender, to become a Lender for all purposes under the Amended Loan Agreement.
(4)    For the transactions contemplated by this Amendment, (i) JPMorgan Chase Bank, N.A. is acting as joint lead arranger, joint bookrunner and sole global coordinator, (ii) BofA Securities, Inc. and Citibank N.A. are acting as joint lead arrangers and joint bookrunners, (iii) Banco Santander, S.A. New York Branch, Barclays Bank PLC, BNP Paribas Securities Corp., Deutsche Bank AG New York Branch, Goldman Sachs Bank USA, HSBC Bank USA, National Association, Lloyds Bank Corporate Markets and Sumitomo Mitsui Banking Corporation are acting as joint bookrunners and (iv) Australia and New Zealand Banking Group Limited, London Branch, Bank of China Limited, PNC Capital Markets LLC, DZ Bank AG Deutsche Zentral-Genossenschaftsbank, New York Branch, Mizuho Bank, Ltd. and Natwest Markets PLC are acting as co-managers.
(5)    The Administrative Agent, the Borrowers, Carnival plc, and the 2021 Incremental Term B Lenders party hereto desire to amend the Loan Agreement to integrate the 2021 Incremental Term B Commitments (in accordance with Section 11.1 of the Loan Agreement), as set forth in Section 5 of this Amendment, such amendments to become effective on the 2021 Incremental Effective Date (as defined below).
NOW, THEREFORE, in consideration of the mutual agreements herein contained and other good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, and subject to the conditions set forth herein, the parties hereto hereby agree as follows:
SECTION 1.    Defined Terms. Capitalized terms used but not defined herein shall have the meanings assigned to such terms in the Amended Loan Agreement. In addition, as used in this Amendment, the following terms have the meanings specified:
2021 Incremental Term B Advances” shall mean the Advances made pursuant to Section 2 of this Amendment.



2021 Incremental Term B Commitment” shall mean, with respect to each 2021 Incremental Term B Lender, its commitment to make 2021 Incremental Term B Advances to the Borrowers on the 2021 Incremental Effective Date, in an aggregate amount not to exceed the amount set forth opposite such 2021 Incremental Term B Lender’s name on Schedule 1 hereto under the heading “2021 Incremental Term B Commitment”. The aggregate amount of the 2021 Incremental Term B Commitments of all Lenders as of the 2021 Incremental Effective Date is $2,300,000,000.
2021 Incremental Term B Lender” shall mean each Person with a 2021 Incremental Term B Commitment on the 2021 Incremental Effective Date.
SECTION 2.    2021 Incremental Term B Commitments; 2021 Incremental Term B Advances. On the 2021 Incremental Effective Date, each of the 2021 Incremental Term B Lenders agrees to make 2021 Incremental Term B Advances to the Borrowers in a principal amount equal to its 2021 Incremental Term B Commitment. Upon the incurrence thereof, the 2021 Incremental Term B Advances shall constitute a new Class of Advances and a new Series of Incremental Advances under the Amended Loan Agreement. Unless previously terminated, the 2021 Incremental Term B Commitments shall terminate upon the making of the 2021 Incremental Term B Advances on the 2021 Incremental Effective Date. The amendments effected hereby shall not become effective and the obligations of the 2021 Incremental Term B Lenders hereunder to make 2021 Incremental Term B Advances will automatically terminate if each of the conditions set forth or referred to in Section 4 has not been satisfied or waived at or prior to 5:00 p.m., New York City time, on October 18, 2021.
SECTION 3.    Representations of the Loan Parties. Each Loan Party hereby represents and warrants to the other parties hereto as of the 2021 Incremental Effective Date with respect to itself that:
(a)    this Amendment has been duly authorized, executed and delivered by such Loan Party and constitutes a legal, valid and binding obligation of such Loan Party enforceable against such Loan Party in accordance with its terms, subject to (i) the effects of bankruptcy, insolvency, moratorium, reorganization, fraudulent conveyance or other similar laws affecting creditors’ rights generally, (ii) general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or at law) and (iii) implied covenants of good faith and fair dealing;
(b)    after giving effect to this Amendment, the execution, delivery and performance by such Loan Party of this Amendment (i) have been duly authorized by all corporate, stockholder, partnership or limited liability company action required to be obtained by such Loan Party and (ii) will not (x) violate (A) any law or governmental regulation applicable to such Loan Party, except as would not reasonably be expected to result in a Material Adverse Effect, (B) the certificate or articles of incorporation or other constitutive documents (including any partnership, limited liability company or operating agreements) or by-laws of such Loan Party, (C) any applicable court decree or order binding on such Loan Party or any of its property, except as would not reasonably be expected to result in a Material Adverse Effect or (D) any contractual restriction binding on such Loan Party or any of its property except as would not reasonably be expected to result in a Material Adverse Effect, or (y) result in, or require the creation or imposition of any Lien on any of such Loan Party’s properties, other than the Liens created by the Loan Documents and Permitted Liens, except as would not reasonably be expected to result in a Material Adverse Effect;
(c)    at the time of and immediately after giving effect to this Amendment, no Default or Event of Default has occurred or is continuing or shall result from this Amendment; and
(d)    the representations and warranties of the Borrowers and each other Loan Party contained in the Loan Documents shall be true and correct in all material respects (or in the case of such representations and warranties qualified as to materiality, in all respects) on and as of the 2021 Incremental Effective Date (both before and after giving effect to this Amendment) with the same effect as though made on and as of the date hereof, except to the extent such representations and warranties expressly relate to an earlier date (in which case such representations and warranties shall be true and correct in all material respects (or in the case of such representations and warranties qualified as to materiality, in all respects) as of such earlier date).



SECTION 4.    Conditions to Effectiveness. The effectiveness of the amendments to the Loan Agreement set forth in Section 5 and the obligations of the 2021 Incremental Term B Lenders to make 2021 Incremental Term B Advances are subject to the prior or substantially concurrent satisfaction (or waiver by 2021 Incremental Term B Lenders holding a majority of the 2021 Incremental Term B Commitments as of the 2021 Incremental Effective Date) of the following conditions (the date of such satisfaction or waiver, the “2021 Incremental Effective Date”):
(a)    The Administrative Agent (or its counsel) shall have received from each of the Lead Borrower, the Co-Borrower and each other Loan Party, a counterpart of this Amendment signed on behalf of such party.
(b)    The Administrative Agent shall have received a certificate of an Officer of each Loan Party dated the 2021 Incremental Effective Date:
(i)    either (x) attaching a copy of the certificate or articles of incorporation, certificate of limited partnership, certificate of formation or other equivalent constituent and governing documents, including all amendments thereto, of such Loan Party, certified as of a recent date by the Secretary of State (or other similar official) of the jurisdiction of its organization or (y) with respect to any Loan Party other than the Lead Borrower, Co-Borrower or Carnival plc, certifying there have been no changes to the certificate or articles of incorporation, certificate of limited partnership, certificate of formation or other equivalent constituent and governing documents of such Loan Party since the Amendment No. 2 Effective Date,
(ii)    either (x) attaching a certificate as to the good standing (to the extent such concept or a similar concept exists under the laws of such jurisdiction) of such Loan Party as of a recent date from such Secretary of State (or other similar official) or (y) with respect to any Loan Party other than the Lead Borrower or Co-Borrower, attaching a “bring-down” certificate as to the good standing (to the extent such concept or a similar concept exists under the laws of such jurisdiction) (or in the case of the Italian Guarantor, a “certificato di vigenza”) of such Loan Party as of a recent date,
(iii)    either (x) certifying that attached thereto is a true and complete copy of the by-laws (or partnership agreement, limited liability company agreement or other equivalent constituent and governing documents) of such Loan Party as in effect at the 2021 Incremental Effective Date and at all times since a date prior to the date of the resolutions described in clause (iv) below or (y) with respect to any Loan Party other than the Lead Borrower or Co-Borrower, certifying that there have been no changes to the by-laws (or partnership agreement, limited liability company agreement or other equivalent constituent and governing documents) of such Loan Party since the Amendment No. 2 Effective Date,
(iv)    certifying that attached thereto is a true and complete copy of resolutions duly adopted by the Board of Directors (or its managing general partner, managing member, sole member or other equivalent governing body) of such Loan Party authorizing the execution, delivery and performance of this Amendment and any other Loan Documents executed in connection with the transactions contemplated hereby, and granting the necessary powers to individuals to attend to any necessary filings or formal amendments required in connection with the “Collateral” to which such Loan Party is a party and that such resolutions have not been modified, rescinded or amended and are in full force and effect at the 2021 Incremental Effective Date,
(v)    either (x) certifying as to the incumbency and specimen signature of each officer executing any Loan Document executed in connection with this Amendment on behalf of such Loan Party or (y) with respect to any Loan Party other than the Lead Borrower or Co-Borrower, certifying there have been no changes to the incumbency and specimen signature of each officer executing any Loan Document executed in connection with this Amendment on behalf of such Loan Party since the Amendment No. 2 Effective Date, and



(vi)    certifying as to the absence of any pending proceeding for the dissolution or liquidation of such Loan Party or, to the knowledge of such Person, threatening the existence of such Loan Party.
(c)    The Administrative Agent shall have received, on behalf of itself and the 2021 Incremental Term B Lenders, a written opinion of (i) Paul, Weiss, Rifkind, Wharton & Garrison LLP and (ii) General Counsel of the Company, in each case, (A) dated the date of the 2021 Incremental Effective Date, (B) addressed to the Administrative Agent and the Lenders at the 2021 Incremental Effective Date and (C) in form and substance reasonably satisfactory to the Administrative Agent covering such matters relating to this Amendment as the Administrative Agent shall reasonably request.
(d)    The Administrative Agent and each other Person shall have received all fees which the Borrowers shall have agreed in writing to pay to such Persons in connection with the transactions contemplated by this Amendment at or prior to the 2021 Incremental Effective Date and, to the extent invoiced at least three Business Days prior to the 2021 Incremental Effective Date, reimbursement or payment of all reasonable and documented out-of-pocket expenses (including reasonable fees, charges and disbursements of counsel to the Administrative Agent required to be reimbursed or paid by the Borrowers hereunder or under any Loan Document at or prior to the 2021 Incremental Effective Date).
(e)    The Lead Borrower shall have delivered to the Administrative Agent a certificate from an Officer of the Lead Borrower dated as of the date of the 2021 Incremental Effective Date, to the effect set forth in Sections 3(c) and 3(d) hereof.
(f)    The Administrative Agent shall have received a solvency certificate in a form reasonably satisfactory to the Administrative Agent signed by a senior financial officer of the Lead Borrower confirming the solvency of the Company and its Subsidiaries on a consolidated basis.
(g)    The Administrative Agent shall have received on or prior to three Business Days prior to the 2021 Incremental Effective Date all documentation and other information required by regulatory authorities under applicable “know your customer” and anti-money laundering rules and regulations, including the USA PATRIOT Act, to the extent such information has been requested by the Administrative Agent not less than five Business Days prior to the 2021 Incremental Effective Date.
(h)    The Administrative Agent shall have received a Notice of Borrowing.
(i)    The Company shall have designated the Obligations hereunder as Other Pari Passu Obligations (as defined in the Intercreditor Agreement).
(j)    The Company shall have designated the Obligations hereunder as Other Secured Obligations (as defined in the U.S. Collateral Agreement).
SECTION 5.    Amendment of the Loan Agreement. On the 2021 Incremental Effective Date, the Loan Agreement shall be hereby amended to delete the stricken text (indicated textually in the same manner as the following example: stricken text) and to add the double-underlined text (indicated textually in the same manner as the following example: double-underlined text) as set forth in the Amended Loan Agreement attached as Annex A hereto.
SECTION 6.    Post-Closing Matters. Subject to the Agreed Security Principles, to the extent not already completed on the 2021 Incremental Effective Date, the Borrowers and the Guarantors shall take all necessary actions to cause the Security Agent to have valid and perfected Liens on the Collateral securing the Obligations (including Obligations under the 2021 Incremental Term B Advances) and deliver customary documentation and a legal opinion from counsel in each relevant jurisdiction, in each case, in form and substance reasonably satisfactory to the Administrative Agent covering such matters as



the Administrative Agent shall reasonably request not later than the 30th day after the 2021 Incremental Effective Date; provided that:
(1)    in the case of shares of entities organized in, or Vessels flagged in, Italy, such requirement will be satisfied not later than, respectively, the 45th day (in the case of the shares) and 75th day (in the case of the Vessels) after the 2021 Incremental Effective Date;
(2)    in the case of shares of entities organized in, or Vessels flagged in, Curaçao, Panama or Malta, such requirement will be satisfied not later than the 45th day after the 2021 Incremental Effective Date;
(3)    in the case of Collateral described in clause (iii) of the definition of “Collateral”, with respect to any applicable filings with the relevant governmental authorities in the United Kingdom, Germany and the European Union Intellectual Property Office, such requirement will be satisfied using commercially reasonable efforts not later than the 90th day after the 2021 Incremental Effective Date; and
(4)    if any relevant government office is closed on one or more days on which it would normally be open, such requirement will be satisfied not later than the day that is the later of (x) the 30th day (or 45th, 75th or 90th day, as applicable in accordance with clauses (1), (2) and (3) of this paragraph) after the 2021 Incremental Effective Date and (y) the Business Day following the 15th day after the latest date such government office was closed on a day on which it would normally be open.
To the extent any of the foregoing deadlines in this Section 6 falls on a date that is not a Business Day, the deadline shall instead be the next succeeding Business Day. Each such deadline may be extended by the Administrative Agent in its discretion.
Notwithstanding the foregoing, to the extent any Vessel constituting Collateral subject to the requirements in this Section is reflagged prior to the applicable deadline set forth above in this Section for the jurisdiction in which such Vessel is flagged prior to such re-flagging, with respect to such Vessel and related property, upon and after such re-flagging (x) the requirements above shall apply to such Vessel based on its new flag jurisdiction and (y) references in the first paragraph of this Section to the 2021 Incremental Effective Date shall be deemed to be references to the date of such reflagging.
SECTION 7.    Reference to and Effect on the Loan Documents. (a) On and after 2021 Incremental Effective Date, each reference in the Amended Loan Agreement to “hereunder”, “hereof”, “Agreement”, “this Agreement” or words of like import and each reference in the other Loan Documents to “Term Loan Agreement”, “Loan Agreement,” “thereunder”, “thereof” or words of like import shall, unless the context otherwise requires, mean and be a reference to the Amended Loan Agreement. From and after the 2021 Incremental Effective Date, this Amendment shall be a “Loan Document” for all purposes of the Amended Loan Agreement and the other Loan Documents.
(b)    The Security Documents and each other Loan Document, as specifically amended by this Amendment, are and shall continue to be in full force and effect and are hereby in all respects ratified and confirmed, and the respective guarantees, pledges, grants of security interests and other agreements, as applicable, under each of the Security Documents, notwithstanding the consummation of the transactions contemplated hereby, shall continue to be in full force and effect and shall accrue to the benefit of the Secured Parties under the Loan Agreement and the Amended Loan Agreement provided that, in the case of shares of entities organized in, or Vessels flagged in, Italy and Curaçao, new Security Documents will be entered into to secure the Incremental Term B Advances. Without limiting the generality of the foregoing, the Security Documents and all of the Collateral described therein do and shall continue to secure the payment of all Obligations of the Loan Parties under the Loan Documents, in each case, as amended by this Amendment, provided that, in the case of shares of entities organized in, or Vessels flagged in, Italy and Curaçao, new Security Documents will be entered into to secure the Incremental Term B Advances.



(c)    The execution, delivery and effectiveness of this Amendment shall not, except as expressly provided herein, operate as a waiver of any right, power or remedy of any Lender or the Administrative Agent under any of the Loan Documents, nor constitute a waiver of any provision of any of the Loan Documents.
(d)        This Amendment shall constitute an “Incremental Facility Amendment”, the 2021 Incremental Term B Lenders shall constitute “2021 Incremental Term B Lenders,” “Incremental Lenders” and a Class of “Lenders”, the Incremental Term B Advances shall constitute a Series of “Incremental Advances”, referred to as “2021 Incremental Term B Advances”, and shall constitute a Class of “Advances”, and the 2021 Incremental Term B Commitments shall constitute a Series of “Incremental Commitments”, referred to as “2021 Incremental Term B Commitments”, and shall constitute a Class of “Commitments”, in each case, for all purposes of the Amended Loan Agreement and the other Loan Documents.
(e)    The Administrative Agent hereby acknowledges and agrees that the Borrowers have timely requested by advance written notice to the Administrative Agent the establishment of the 2021 Incremental Term B Commitments in accordance with Section 2.14(a) of the Loan Agreement.
SECTION 8.    Consent and Affirmation of the Guarantors. Each of the Guarantors, in its capacity as a grantor under the U.S. Collateral Agreement and the other Security Documents, hereby (i) consents to the execution, delivery and performance of this Amendment and agrees that each of the U.S. Collateral Agreement and the other Security Documents is, and shall continue to be, in full force and effect and is hereby in all respects ratified and confirmed at the 2021 Incremental Effective Date, except that, on and after the 2021 Incremental Effective Date, each reference to “Term Loan Agreement”, “Loan Agreement,” “thereunder”, “thereof” or words of like import shall, unless the context otherwise requires, mean and be a reference to the Amended Loan Agreement and (ii) confirms that the Security Documents to which each of the Guarantors is a party and all of the Collateral described therein do, and shall continue to, secure the payment of all of the Obligations, provided that, in the case of shares of entities organized in, or Vessels flagged in, Italy and Curaçao, new Security Documents will be entered into to secure the Incremental Term B Advances.
SECTION 9.    Execution in Counterparts. This Amendment may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute but one and the same agreement. Delivery of an executed counterpart of a signature page to this Amendment by .pdf or other electronic form shall be effective as delivery of a manually executed original counterpart of this Amendment.
SECTION 10.    Amendments; Headings; Severability. This Amendment may not be amended nor may any provision hereof be waived except pursuant to a writing signed by Carnival plc, the Lead Borrower, the Subsidiary Guarantors, the Administrative Agent and the Lenders party hereto. Delivery of an executed counterpart of a signature page of this Amendment that is an Electronic Signature transmitted by telecopy, emailed pdf. or any other electronic means that reproduces an image of an actual executed signature page shall be effective as delivery of a manually executed counterpart of this Amendment. The Section headings used herein are for convenience of reference only, are not part of this Amendment and are not to affect the construction of, or to be taken into consideration in interpreting this Amendment. Any provision of this Amendment held to be invalid, illegal or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such invalidity, illegality or unenforceability without affecting the validity, legality and enforceability of the remaining provisions hereof, and the invalidity of a particular provision in a particular jurisdiction shall not invalidate such provision in any other jurisdiction. The parties shall endeavor in good-faith negotiations to replace the invalid, illegal or unenforceable provisions with valid provisions, the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions.
SECTION 11.    Governing Law; Etc.
(a)    THIS AGREEMENT SHALL BE DEEMED TO BE A CONTRACT MADE UNDER, AND SHALL BE GOVERNED BY, THE LAWS OF THE STATE OF NEW YORK.



(b)    EACH PARTY HERETO HEREBY AGREES AS SET FORTH IN SECTIONS 11.13 AND 11.17 OF THE AMENDED LOAN AGREEMENT AS IF SUCH SECTIONS WERE SET FORTH IN FULL HEREIN.
SECTION 12.    No Novation. This Amendment shall not extinguish the obligations for the payment of money outstanding under the Loan Agreement or discharge or release the Lien or priority of any Security Document or any other security therefor. Nothing herein contained shall be construed as a substitution or novation of the obligations outstanding under the Loan Agreement or instruments securing the same, which shall remain in full force and effect, except to any extent modified hereby or by instruments executed concurrently herewith and except to the extent repaid as provided herein. This Amendment shall not constitute a novation of the Loan Agreement or any other Loan Document. Nothing implied in this Amendment or in any other document contemplated hereby shall be construed as a release or other discharge of any of the Loan Parties under any Loan Document from any of its obligations and liabilities as a borrower, guarantor or pledgor under any of the Loan Documents.
SECTION 13.    Notices. All notices hereunder shall be given in accordance with the provisions of Section 11.2 of the Amended Loan Agreement.
SECTION 14.    Confirmation of Designation under Intercreditor Agreements and the U.S. Collateral Agreement. The Amended Loan Agreement shall continue to constitute an Other Pari Passu Document as defined in, and for all purposes under, the Intercreditor Agreement and an Other Secured Agreement as defined in, and for all purposes under, U.S. Collateral Agreement. Further to the foregoing, it is confirmed that the U.S. Collateral Agreement and all other Security Documents have been designated as, and shall continue to constitute, Pari Passu Documents as defined in, and for all purposes under, the Intercreditor Agreement. This Amended Loan Agreement shall continue to constitute a First Lien Facility, the First Lien Term Loan Agreement and a First Lien Facility Document as defined in, and for all purposes under, the First Lien/Second Lien Intercreditor Agreement dated as of July 20, 2020 among U.S. Bank National Association, as the first lien collateral agent and the applicable first lien agent, U.S. Bank National Association, as the second lien collateral agent and the applicable second lien agent, the Borrowers, Carnival plc and other guarantors party thereto. The Administrative Agent shall continue to constitute Authorized Representative as defined in, and for all purposes under, the Intercreditor Agreement.
[Remainder of page intentionally left blank]IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by their respective officers thereunto duly authorized, as of the date first above written.
LEAD BORROWER:
CARNIVAL CORPORATION, a Panamanian corporation
By:        /s/ Bo-Erik Blomqvist    
Name:    Bo-Erik Blomqvist
Title:     Senior Vice President
CO-BORROWER:
CARNIVAL FINANCE, LLC, a Delaware limited liability company
By: Carnival Corporation,
its Sole Member



By:        /s/ Bo-Erik Blomqvist    
Name:    Bo-Erik Blomqvist
Title:     Senior Vice President



GUARANTORS:
CARNIVAL PLC,
as a Guarantor
By:        /s/ David Bernstein        
Name:    David Bernstein
Title:     Chief Financial Officer
HOLLAND AMERICA LINE N.V.,
as a Guarantor
By: SSC Shipping and Air Services (Curacao) N.V.,
its Sole Director
By:        /s/ Wilhelmus Langeveld    
Name:     Wilhelmus Langeveld
Title:     Managing Director
By:        /s/ Rhona M.P. Mendez    
Name:     Rhona M.P. Mendez
Title:     Attorney-in-Fact
CRUISEPORT CURACAO C.V.,
as a Guarantor
By: Holland America Line N.V.,
its General Partner
By: SSC Shipping and Air Services (Curacao) N.V.,
its Sole Director
By:        /s/ Wilhelmus Langeveld    
Name:     Wilhelmus Langeveld
Title:     Managing Director



By:        /s/ Rhona M.P. Mendez    
Name:     Rhona M.P. Mendez
Title:     Attorney-in-Fact
PRINCESS CRUISE LINES, LTD.,
as a Guarantor
By:        /s/ Daniel Howard     
Name:     Daniel Howard
Title:     Senior Vice President, General Counsel & Assistant Secretary
SEABOURN CRUISE LINE LIMITED,
as a Guarantor
By: SSC Shipping and Air Services (Curacao) N.V.,
its Sole Director
By:        /s/ Wilhelmus Langeveld    
Name:     Wilhelmus Langeveld
Title:     Managing Director
By:        /s/ Rhona M.P. Mendez    
Name:     Rhona M.P. Mendez
Title:     Attorney-in-Fact
HAL ANTILLEN N.V.,
as a Guarantor
By: Holland America Line N.V.
By: SSC Shipping and Air Services (Curacao) N.V.,
its Sole Director
By:        /s/ Wilhelmus Langeveld    
Name:     Wilhelmus Langeveld
Title:     Managing Director
By:        /s/ Rhona M.P. Mendez    
Name:     Rhona M.P. Mendez
Title:     Attorney-in-Fact




COSTA CROCIERE S.P.A.,
as a Guarantor
By:        /s/ David Bernstein    
Name:     David Bernstein
Title:     Director
Place of execution:
Miami, Florida USA    
GXI, LLC,
as a Guarantor
By: Carnival Corporation,
its Sole Member
By:        /s/ David Bernstein    
Name:     David Bernstein
Title:    Chief Financial Officer
JPMORGAN CHASE BANK, N.A., as Administrative Agent and a 2021 Incremental Term B Lender
By:        /s/ Nadeige Dang    
Name:     Nadeige Dang
Title:    Executive Director


SCHEDULE 1
2021 Incremental Term B Commitments
2021 Incremental Term B Lender 2021 Incremental Term B Commitment
JPMORGAN CHASE BANK, N.A. $2,300,000,000
Total: $2,300,000,000


ANNEX A
See attached





$1,860,000,000
€800,000,000
$2,300,000,000
TERM LOAN AGREEMENT,
dated as of June 30, 2020,
as amended by Amendment No. 1 dated December 3, 2020,
Amendment No. 2 dated June 30, 2021,
and
Amendment No. 3 dated October 5, 2021
, and
Incremental Assumption Agreement and Amendment No. 4 dated October 18, 2021
among
CARNIVAL FINANCE, LLC,
as Co-Borrower,
CARNIVAL CORPORATION,
as Lead Borrower,
CARNIVAL PLC,
as a Guarantor,
THE SUBSIDIARY GUARANTORS PARTY HERETO,
THE LENDERS PARTY HERETO,
JPMORGAN CHASE BANK, N.A. and BARCLAYS BANK PLC,
as Joint Lead Arrangers, Joint Bookrunners and Joint Global Coordinators,
BOFA SECURITIES INC., CITIBANK N.A. and
DEUTSCHE BANK AG NEW YORK BRANCH,
as Joint Lead Arrangers and Joint Bookrunners,
GOLDMAN SACHS BANK USA, BNP PARIBAS SECURITIES CORP, LLOYDS BANK CORPORATE MARKETS, HSBC BANK USA, NATIONAL ASSOCIATION, BANCO SANTANDER, S.A. NEW YORK BRANCH, and
SUMITOMO MITSUI BANKING CORPORATION,
as Bookrunners,
JPMORGAN CHASE BANK, N.A.,
as Administrative Agent,
U.S. BANK NATIONAL ASSOCIATION,
as Security Agent
and
BANK OF CHINA LIMITED, PNC CAPITAL MARKETS LLC,
AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED, LONDON BRANCH,
DZ BANK AG DEUTSCHE ZENTRAL-GENOSSENSCHAFTSBANK, NEW YORK BRANCH,
MIZUHO BANK, LTD., and NATWEST MARKETS PLC,
as Co-Managers
TABLE OF CONTENTS



PAGE
Article I Definitions and Accounting Terms
1
Section 1.1    Defined Terms
1
Section 1.2    Use of Defined Terms
66
Section 1.3    Terms Generally
66
Section 1.4    Accounting and Financial Determinations
67
Section 1.5    Interest Rates; LIBOR and EURIBOR Notification
67
Section 1.6    Divisions
68
Section 1.7    Classification of Advances and Borrowings
68
Article II Commitments, Borrowing Procedures and Notes
68
Section 2.1    The Advances
68
Section 2.2    Making the Advances
69
Section 2.3    Fees
70
Section 2.4    [Reserved]
70
Section 2.5    [Reserved]
70
Section 2.6    Repayment of Advances
70
Section 2.7    Interest on Advances
71
Section 2.8    Interest Rate Determination
73
Section 2.9    Optional Conversion or Continuation of Advances
73
Section 2.10    Prepayments of Advances
73
Section 2.11    Payments and Computations
75
Section 2.12    Sharing of Payments, Etc
77
Section 2.13    Evidence of Debt
77
Section 2.14    Incremental Facilities
78
Section 2.15    Loan Modification Offers
80
Section 2.16    Loan Purchases
82
Article III Certain LIBO Rate and Other Provisions
83
Section 3.1    LIBO Rate Lending Unlawful
83
Section 3.2    [Reserved]
84
Section 3.3    Increased Costs, etc
84
Section 3.4    Funding Losses
85
Section 3.5    Increased Capital Costs
86
Section 3.6    Taxes
87
Section 3.7    Reserve Costs
91
Section 3.8    Replacement Lenders, etc.
91
Section 3.9    [Reserved]
92
Section 3.10    [Reserved]
92
Section 3.11    Rates Unavailable
92
Article IV Conditions to Borrowing
96
Section 4.1    Effectiveness
96
Section 4.2    All Borrowings
98



Section 4.3    Determinations Under Section 4.1
99
Article V Representations and Warranties
99
Section 5.1    Organization, etc
99
Section 5.2    Due Authorization, Non-Contravention, etc
99
Section 5.3    Government Approval, Regulation, etc
100
Section 5.4    Compliance with Environmental Laws
100
Section 5.5    Validity, etc
100
Section 5.6    Financial Information
100