Costa Concordia owner issues profit warning

Friday 09 March 2012 15.48
32 people died when the Costa Concordia sank in January
32 people died when the Costa Concordia sank in January

Carnival, the cruise company that owned and operated the Costa Concordia, today said that its earnings this year could fall as much as 82%. 32 people lost their lives when the Costa Concordia sank off the Italian coast in January.

The Miami cruise line has reduced its forecast profits to between $1.40 and $1.70 a share. The company had previously forecast profits of $2.55 to $2.85 a share.

Carnival says the sinking of the Costa Concordia is the sole cause for this change. The company today posted losses of $139 million or 18 cents per share for the first quarter of 2012. This is in contrast to a profit of $152 million or 19 cents a share in the same quarter in 2011.