Carnival Holds Patriot Mortgage

October 19, 2001
One interesting byproduct of American Classic Voyages' bankruptcy filing today is that Carnival is first mortgagee on AMCV's Patriot, which sails Hawaiian itineraries. Patriot formerly was known as Holland America's Nieuw Amsterdam until the ship was purchased last October by AMCV from the Carnival subsidiary for $114.5 million.
At this point, according to a Carnival announcement, it is in discussion with AMCV executives about the future of the Patriot (Carnival's owed $80 million still). The ship may well be returned to the Carnival Corp. fleet though officials there say they have not yet determined what they'll do with Patriot.
Ironically, Patriot (aka Nieuw Amsterdam) is in much better shape -- at least safety-wise -- than it was when Carnival Corporation's Holland America owned it. AMCV poured millions into a refurbishment that was aimed at bringing the ship to exacting safety standards as required by the U.S. Coast Guard.