January 28, 2004 -- It's official: On January 16, Royal Olympia Cruises announced that it has come to an agreement with its German creditors. Under the terms, the two Royal Olympia subsidiaries that filed for Chapter 11 in December will turn over the Olympia Voyager and Olympia Explorer to be sold at state auction, in return for release from their financial obligations.
Should the banks become the vessels' owners after this auction, the agreement specifies that they'll "consider" entering into discussion with Royal Olympia and/or prospective charterers about fulfilling the vessels' current commitments, contracts, and charters, including their scheduled use at the Olympic Games this summer.
Royal Olympia has advised the Federal Maritime Commission (www.fmc.gov) that it has begun to refund fares on canceled cruises. According to an FMC statement, "Checks are being sent to cash-paying passengers and credits have begun being issued to those who paid by credit cards. These refunds are being processed in the order that cruises were scheduled to commence."
Passengers holding bookings with the line should contact their travel agent or Royal Olympia at 800/872-6400. At press time, the line's website, www.royalolympiccruises.com, appears to have been taken down.
The ROC subsidiaries' bankruptcy does not apply to Royal Olympia's other subsidiaries and vessels, though in the past week two of those vessels -- the Triton and Olympia Countess -- have reportedly been detained by creditors in Greece and South Africa, respectively.
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