AMIE » Topics » Passenger Health, Safety and Security

These excerpts taken from the AMIE 10-K filed Apr 15, 2009.
Passenger Health, Safety and Security
 
We are subject to various international, national, state and local laws, regulations and treaties that govern, among other things, safety standards applicable to our ships, health and sanitary standards applicable to our passengers, security standards onboard our ships and at the ship/port interface areas, and financial responsibilities to our passengers. These issues are, and we believe will continue to be, an area of focus by the relevant authorities. This could result in the enactment of more stringent regulation of cruise ships that would subject us to increasing compliance costs in the future.
 
Various government agencies within the Department of Homeland Security (“DHS”) including the Transportation Security Administration, the U.S. Coast Guard and the U.S. Bureau of Customs and Border Protection, have adopted, and may adopt in the future, new rules, policies or regulations or changes in the interpretation or application of existing laws, rules, policies or regulations, compliance with which could increase our costs or result in loss of revenue.
 
The Coast Guard’s maritime security regulations, issued pursuant to the Maritime Transportation Security Act of 2002, require us to operate our ships and facilities pursuant to both the maritime security regulations and approved security plans. Our ships and facilities are subject to periodic security compliance verification examinations by the Coast Guard. A failure to operate in accordance with the maritime security regulations or the approved security plan may result in the imposition of a fine or control and compliance measures, including the suspension or revocation of the security plan, thereby making the ship or facility ineligible to operate. We are also required to audit these security plans on an annual basis and, if necessary, submit amendments to the Coast Guard for their review and approval. Failure to timely submit the necessary amendments may lead to the imposition of the fines and control and compliance measures mentioned above.
 
DHS may adopt additional security-related regulations, including new requirements for screening of passengers and our reimbursement to the agency for the cost of security services. These new security-related


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regulations could adversely affect our ability to efficiently process passengers or could increase our operating costs.
 
The Federal Maritime Commission regulates passenger ships with 50 or more passenger berths departing from U.S. ports and requires that operators post surety bond to be used if the operator fails to provide cruise services, or otherwise satisfy certain financial standards. As of December 30, 2008, we have secured a $8.7 million surety bond as security under the Federal Maritime Commission. We may in the future be required to make additional financial deposits directly with the Federal Maritime Commission in proportion to advance passenger deposits received.
 
Passenger
Health, Safety and Security



 



We are subject to various international, national, state and
local laws, regulations and treaties that govern, among other
things, safety standards applicable to our ships, health and
sanitary standards applicable to our passengers, security
standards onboard our ships and at the ship/port interface
areas, and financial responsibilities to our passengers. These
issues are, and we believe will continue to be, an area of focus
by the relevant authorities. This could result in the enactment
of more stringent regulation of cruise ships that would subject
us to increasing compliance costs in the future.


 



Various government agencies within the Department of Homeland
Security (“DHS”) including the Transportation Security
Administration, the U.S. Coast Guard and the
U.S. Bureau of Customs and Border Protection, have adopted,
and may adopt in the future, new rules, policies or regulations
or changes in the interpretation or application of existing
laws, rules, policies or regulations, compliance with which
could increase our costs or result in loss of revenue.


 



The Coast Guard’s maritime security regulations, issued
pursuant to the Maritime Transportation Security Act of 2002,
require us to operate our ships and facilities pursuant to both
the maritime security regulations and approved security plans.
Our ships and facilities are subject to periodic security
compliance verification examinations by the Coast Guard. A
failure to operate in accordance with the maritime security
regulations or the approved security plan may result in the
imposition of a fine or control and compliance measures,
including the suspension or revocation of the security plan,
thereby making the ship or facility ineligible to operate. We
are also required to audit these security plans on an annual
basis and, if necessary, submit amendments to the Coast Guard
for their review and approval. Failure to timely submit the
necessary amendments may lead to the imposition of the fines and
control and compliance measures mentioned above.


 



DHS may adopt additional security-related regulations, including
new requirements for screening of passengers and our
reimbursement to the agency for the cost of security services.
These new security-related





6





Table of Contents






regulations could adversely affect our ability to efficiently
process passengers or could increase our operating costs.


 



The Federal Maritime Commission regulates passenger ships with
50 or more passenger berths departing from U.S. ports and
requires that operators post surety bond to be used if the
operator fails to provide cruise services, or otherwise satisfy
certain financial standards. As of December 30, 2008, we
have secured a $8.7 million surety bond as security under
the Federal Maritime Commission. We may in the future be
required to make additional financial deposits directly with the
Federal Maritime Commission in proportion to advance passenger
deposits received.


 




EXCERPTS ON THIS PAGE:

10-K (2 sections)
Apr 15, 2009
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