1

Global Cruise Industry

“Strategy for success in the Asian cruise market”

Michael Bayley, Senior Vice President, International

Royal Caribbean Cruises Ltd.

2

Global Industry Growth

Source: G.P. Wild (international Ltd) from PSA, CLIA, ECC and other sources

-

5

10

15

20

25

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012Year

Gue

sts

(Mill

ion'

s)

7.0%CAGR

2

3

Global Cruise Industry

Source: RCL 2008 North American fleet model. 2009 estimated

0 2 4 6 8 10 12 14 16 18 20

2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

Cruise Passengers (M)

• Small but growing segment of vacation market­ 18 Million passengers

­ 375,000 berths

­ 240 ships

• All regions remain under-penetrated

• Measured growth in North America

• Accelerating growth in rest of the world

North America Rest of World

3

4

Historical growth focus on N. America

-

2

4

6

8

10

12

1997 2002 2003 2004 2005 2006 2007 2008 2009

Year

Gue

sts'

Mill

ions

Europe

North America

Asia & Australia

Source: Mintell from G.P. Wild (international Ltd) from PSA, CLIA, ECC and other sources: Europe Includes EU 27, Russia and Eastern European Countries

Latin America/other

5

Relative Market Size

North America

330 Million Residents 10 Million Cruisers

3% Penetration

Europe

500 Million Residents 5 Million Cruisers

1% Penetration

Latin America

570 Million Residents 1 Million Cruisers

0% Penetration

Asia

3,000 Million Residents 1 Million Cruisers

0% Penetration

6

Cruise Industry Target Market

• Broad appeal across nation, age and wealth levels

• Offer multiple products to appeal to majority of consumers

• Ability to move assets around markets

• More a question of market prioritization by brand

• Profitability and growth opportunities are key

7

Array of Brands in the Marketplace

8

Europe - 2007

• €12.9 billion in annual direct spending

• €29.0 billion in annual total output

• 282,125 jobs

• €9.1 billion in annual employee compensation

Source: North American data - BREA, 2008 report commissioned by CLIA. European data – 2007 report by G.P. Wild * BREA commissioned by ECC

North America - 2008

• $19.1 billion in annual direct spending

• $40.2 billion in annual total output

• 357,710 jobs

• $16.2 billion in annual employee compensation

Economic Benefits of Cruising

9

In everything we do, Royal Caribbean Cruises Ltd. is ever conscious ofa very special, and very certain, responsibility. Simply put, we must protect

the marine environment and sustain the well-being of the people andplaces we serve.

Because we know that clean oceans are good for the environment,good for our guests and good for our business, we strive to achieve the

highest possible standards of environmental and community stewardship.

By following strict company policies and practices and using innovativetechnologies, we conduct our business Above and Beyond Compliance(what we call “ABC”) with existing laws and regulations. Our beautiful

oceans and their rich marine life demand nothing less.

Source: Extract from Royal Caribbean Cruises Ltd. 2008 Stewardship report http://www.royalcaribbean.com/envSitelet.do

Environmental Stewardship

10

• Save the Waves

• Appliances

• Hull Coating

• Window Tinting

• Advanced Wastewater Purification

• Propulsion & Hull Design

• Hull Design

• Fresh Water Consumption

• Heating, Ventilation & A/C

• Operational Conservation Measures

Environmental Stewardship

11

2004 International Deployment

Europe (summer)

SplendourBrillianceJewelGalaxyMillenniumConstellation

South America

Infinity

12

2010 International DeploymentEurope

SplendourVisionBrillianceJewelVoyagerAdventureNavigatorIndependence (YR)CenturyConstellationEquinoxEclipseJourneyQuestEmpressPacific DreamSovereignZenithBleu De France

South America

InfinitySplendourVision

International Caribbean

Enchantment /GrandeurOcean Dream (YR)Pacific Dream

Dubai

Brilliance

Australia & NZ

Rhapsody

Asia

Legend (YR)Quest

Egypt

Bleu De France

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• People love to cruise

• Growing global appeal

• Represents excellent value for money

• Compelling newbuilds

• Global growth

13

Strong Consumer Affinity

14

Asian Cruise Market Growth

Key Fundamentals for Success

• Market

• Product

• Distribution

• Infrastructure

15

North America

330 Million Residents 10 Million Cruisers

3% Penetration

Europe

500 Million Residents 5 Million Cruisers

1% Penetration

Latin America

570 Million Residents 1 Million Cruisers

0% Penetration

Asia

3,000 Million Residents 1 Million Cruisers

0% Penetration

Market

16

Asian Cruise Market Growth

Key Fundamentals for Success

• Market

• Product

• Distribution

• Infrastructure

17

Legend of the Seas - SingaporeProduct

18

Legend of the Seas – Singapore and Kaohsiung (Taiwan)

Product

19

Legend of the Seas – Hong KongProduct

20

Legend of the Seas – ShanghaiProduct

21

Legend of the Seas – ShanghaiProduct

22

Legend of the Seas – Beijing (Tianjin)Product

23

Legend of the Seas – Tokyo (Yokohoma)

Product

24

Asian Cruise Market Growth

Key Fundamentals for Success

• Market

• Product

• Distribution

• Infrastructure

25

Asian Distribution Network

26

Asian Cruise Market Growth

Key Fundamentals for Success

• Market

• Product

• Distribution

• Infrastructure

27

Infrastructure

• Partnership with public and private institutions

• Comparable international cruising regulations

• Competitive port charges and fees

• Safe, clean and hospitable port cities

• Ports to accommodate ships of today and tomorrow

28

1970

1980

1990

2003

2006

2009

Evolution of the Industry