Since Royal Caribbean announced yesterday that it was considering building a third Oasis class ship, one of the early question is where would it be built?

Many believe that the STX Finland's Torku shipyards are the front runner, including experienced shipbuilder Martin Saarikangas, who believes that STX Turku is in a strong position to take the order.

There are basically four options for Royal Caribbean to build the ship: Meyer Werft in Germany, Fincantieri in Italy, as well as the STX French or Finnish shipyards.

Saarikangas believes Meyer Werft is too busy, given the fact they have their hands full with existing order for a number of years to come, including the two new Sunshine Class ships Royal Caribbean has on order with them currently.

Fincantieri shipyards is a viable option but the problem with them is Royal Caribbean has never had a ship built at Fincantieri.  Royal Caribbean's chief competitor, Carnival Cruise Line, usually has their ships built at Fincantieri.

STX France had built ships for Royal Caribbean in the 1980s through 1990s, but there hasn't been an order placed with STX France in quite a long time since.

So that leaves STX Turku, which has recent experience building ships for Royal Caribbean, including the previous two Oasis class ships: Oasis of the Seas and Allure of the Seas.  Saarikangas says the design time would be shortened by a year because this would be a sister ship.  Time is of great importance since Royal Caribbean wants the new ship in 2016.

Saarikangas believes it will come down to financing.  Cruise ship building requires massive loans, and in turn guarantors.  We've heard rumors that state-owned Finnvera has already offered to back the loans for Royal Caribbean. Saarikangas says that the Turku shipyard will most likely resolve any funding problem and get the proper guarantees for the order.

Hurricane Sandy has forced Royal Caribbean to change the itinerary of two more cruise ships.  

Given the location and direction of Hurricane Sandy, both Majesty of the Seas and Monarch of the Seas will not call on CocoCay this weekend.  CocoCay is Royal Caribbean's private island in the Bahamas.  Instead, both ships will spend a day at sea.

Royal Caribbean is still watching Hurricane Sandy and is considering itinerary changes for the Oasis of the Seas cruise leaving on October 27 as well as Explorer of the Seas leaving on October 28.

These changes are in addition to Allure of the Seas having skipped Falmouth, Jamaica earlier this week.

Royal Caribbean will continue to closely monitor weather conditions and will update this information again today, October 26, at 6:00 p.m. E.S.T.

Royal Caribbean posted another update on the status of its fleet in regards to any changes due to Hurricane Sandy.  No further changes to report.

At this time, given Hurricane Sandy's current location and projected path, Royal Caribbean has not altered the itineraries of any ship that departs tomorrow, Saturday or Sunday. However, we encourage guests sailing on Majesty of the Seas, Monarch of the Seas, and Oasis of the Seas monitor this website for any additional updates.

If you have not done so already, we strongly suggest guests complete their online check-in as soon as possible, including the section on your preferred method of contact while traveling.

Royal Caribbean will continue to closely monitor weather conditions and will update this information again tomorrow, October 26, at 10:00 a.m. E.S.T. 

During Royal Caribbean's third quarter financial results conference call, Royal Caribbean CEO Adam Goldstein gave shareholders and analysts an update on the status of their fleet wide revitalization program.

Royal Caribbean is in the midst of upgrading its entire fleet with new onboard amenities, stateroom upgrades and restaurants.  Enchantment of the Seas, Serenade of the Seas, Legend of the Seas and Brilliance of the Seas are the next group of cruise ships scheduled to receive these upgrades over the next few months.

Goldstein added that by fall 2013 (roughly a year from now), all but one of Royal Caribbean's Vision and Radiance class ships will have undergone revitalization—that’s 30% of Royal Caribbean brand’s capacity, Goldstein said.

Serenade of the Seas will receive her upgrades in November 2012, Enchantment of the Seas will be next in December 2013 and Legend and Brilliance of the Seas will follow in early 2013.

You can view a full schedule of when each ship will receive an upgrade on our schedule page.

Royal Caribbean continues to monitor the situation in regards to Hurricane Sandy and how it might affect their cruise ships.  At 11am, Royal Caribbean announced no additional itinerary changes beyond Allure of the Seas earlier this week.

At this time, given Hurricane Sandy's current location and projected path, Royal Caribbean has not altered the itineraries of any ship that departs this Friday, Saturday or Sunday. However, we encourage guests sailing on Majesty of the Seas, Monarch of the Seas, and Oasis of the Seas monitor this website for any additional updates.

If you have not done so already, we strongly suggest guests complete their online check-in as soon as possible, including the section on your preferred method of contact while traveling.

Royal Caribbean will continue to closely monitor weather conditions and will update this information again this evening, October 25, at 6:00 p.m. E.S.T. 

Included in today's third quarter financial results, Royal Caribbean confirmed that it is in negotiations for the possible construction of a third Oasis class cruise ship that would delivered in middle to late 2016.

Royal Caribbean has not entered into any sort of agreement at this time, it does hope to place an order by the end of the year.  The new ship is expected to cost less on a per berth basis than either of the first two Oasis-class vessels.

Royal Caribbean chairman Richard Fain confirmed the news during his talks, "The Oasis of the Seas and Allure of the Seas have proven themselves to be exceptionally attractive ships by generating the highest guest satisfaction ratings in the fleet coupled with very compelling financial returns. Ordering another such ship for delivery in 2016, at a lower cost, with better energy efficiency is very consistent with our balanced goals of prudent growth, return improvement and debt reduction."

This third Oasis class ship would be in addition to the other two Sunshine Class ships Royal Caribbean has already ordered and is in the process of being built.

Ahead of its conference call with investors, Royal Caribbean announced better than expected financial results for the third fiscal quarter and increased its earnings outlook for the full year 2012.

Royal Caribbean reported third quarter net income of $367.8 million, or $1.68 per share, versus income of $399.0 million, or $1.82 per share, in the third quarter of 2011.

Helping Royal Caribbean's financials for the quarter were stronger than expected close-in bookings, including Europe.  NCC excluding fuel were also better than anticipated and increased 2.0% on a Constant-Currency basis (declined 0.2% As-Reported).

Royal Caribbean Richard Fain commented on the news, "The strong third quarter certainly validates our confidence in our business model.Strong close-in demand and our focus on costs drove substantially better results than expected. I am especially gratified that we are still seeing price increases in a year marked by so many external pressures."

Royal Caribbean also increased its guidance for full year earnings per share by $0.15 to a range of $1.85 to $1.95. This increase has been mainly driven by stronger than anticipated revenue (+$0.06 per share) and expense reduction (+$0.06 per share). The remaining $0.03 per share improvement is principally due to currency benefits net of oil price increases.

Many of our readers have been concerned about their cruises this weekend aboard Royal Caribbean cruise ships.  Royal Caribbean has issued the following statement at 6:00pm eastern time.

Royal Caribbean International is closely monitoring the path and progress of Hurricane Sandy to ensure guests enjoy safe and comfortable cruises, and to make certain our ships steer clear of the storm. The safety of our guests and crew is always our foremost concern.

At this time, given Hurricane Sandy's current location and projected path, Royal Caribbean has not altered the itineraries of any ship that departs this Thursday, Friday, Saturday or Sunday. However, we encourage guests sailing on Majesty of the Seas, Monarch of the Seas, and Oasis of the Seas monitor this website for any additional updates.

If you have not done so already, we strongly suggest guests complete their online check-in as soon as possible, including the section on your preferred method of contact while traveling.

Royal Caribbean will continue to closely monitor weather conditions and will update this information again tomorrow, Thursday, October 25, at 11:00 a.m. E.S.T. 

Royal Caribbean's Senior Vice President, Sales, Trade Support and Service, Vicki Freed, was recognized by the Hospitality Sales & Marketing Association International (HSMAI) South Florida with the chapter’s Hospitality Legend award.

Freed oversees Royal Caribbean's sales department as well as Royal Caribbean's Trade Support and Services division. She also leads the Loyal to You Always committment to the travel agent community.

Carmen Ackerman, President of HSMAI South Florida, presented Freed with the award during the association's Best in Hospitality banquet to benefit the HSMAI South Florida scholarship fund for future hospitality leaders.

In her community, Vicki serves on the board of the Jewish Adoption and Foster Care Options (JAFCO) and she is a trustee of the United Way of Miami-Dade County. Previously, she served on the Florida Commission on Tourism for ten years, the board of directors for the South Florida Chapter of Make-a-Wish Foundation for nine years and the board of directors for the Association for Travel Marketing Executives.