Special Assessment Fees

Will limits to special assessment fees be set out in the Agreements?

The line item costs for food/beverage/crew equal about 60% of the total cost of running the ship. Those are easy costs to plan for. Fuel is the largest cost and is outside of our control as global fuel costs can fluctuate. We can manipulate the cost of the fuel for the vessel by changing our itinerary, choosing which ports we go to and reducing the speed at which we cruise. We can also manage those costs by purchasing our fuel in advance to lock in the prices, so if there is a big spike in fuel costs it shouldn’t affect us. Storylines’ unique slower style of cruising, spending many more days in port, and 12-month advance fuel purchase contracts all work together to reduce any impact this could have. 

We can’t put a limit on or cap special assessment fees because some things are outside of our control. Something could happen in ten years time that affects seafarers globally that involves a 20% price increase, for example. There are some things that we can’t predict. However, we can manage our known costs effectively and keep a comfortable ‘cushion’ for unforeseen situations.

Under “Calculation of All – Inclusive Fees on the website, it states: “Storylines reserves the right to require a special assessment for special circumstances.” What are these circumstances?

Anything not covered in the contingency fund and not covered by insurance.
An example: 10 years after delivery, a new satellite technology needs to be purchased to keep in class at an estimated cost of $1m, this would be a special assessment. Examples of things that are not subject to special assessments include standard updates to public spaces (floor coverings, etc), hull, super structure and periodic painting.

Are general ship renovations and upgrades paid for by annual fees? Would major renovations require a special assessment?

Renovations and upgrades are paid for by annual fees (paint, floor coverings, furniture for example). Special assessments would be required for major construction to any particular area.

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