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Ilive here on the mainland in Los Angeles and we hate to see this happen with United States Lines and American Hawaii Cruises, and as a stockholder of the company, I have written several letters to AMCV management (with no responses, by the way) telling them what I (and many of us seasoned cruisers) have said all along. American Classic Voyages
By David Rossi
was its own worst enemy
Special to the Star-BulletinAMCV went at the Hawaiian cruise market backwards.
It should have had a "feeder" service from the mainland to Hawaii. It should have had one of its ships on the Los Angeles to San Francisco to Honolulu run that connected with its seven day cruises around the islands, like the old "pineapple run" of Matson and American President Line ships of the past. It also should have also initiated different itineraries part of the year for one of its ships such as a U.S. West Coast and Alaska cruises to market its main Hawaiian itinerary on its other ship. It was foolish for AMCV to have both of its ships competing against each other, doing basically the same run under different brand names. That was counter productive.
Being the son of a former Matson Line captain, I remember how Matson used to operate its cruise ships and make a profit. Matson ran the Lurline, Matsonia, Mariposa and Monterey until management figured out that the cargo part of the company was making more profit than the passenger ships. As a result, Matson went out of the passenger trade but, still dominates the cargo market today in Hawaii. Since AMCV was only in the passenger end of the business, it should have looked and drawn upon the success of the companies that were successful in the past with the Hawaiian cruises market and duplicated that success with its two ships. Unfortunately, it missed the opportunity and missed it terribly.
If there is any chance to see cruise ships partaking in Hawaiian cruises, it has to be done with an American company (because of the Jones Act law) that (1) has a proven track record and history of doing business in Hawaii and (2) has sound financial foundation. The only American company today that I could see successful at this is still Matson and I can't understand why local politicians and business people or the press and media in Honolulu haven't broached the subject with Alexander and Baldwin (Matson's parent company) or Matson management.
Bottom line is it doesn't look good for the future of the Hawaiian cruise market. The Jones Act is not going to be repealed. There are not enough votes in congress even to make major amendments to the bill. Norwegian Cruise Lines will have temporary limited access to the Hawaiian market but will have to travel to Fanning Island to comply with the Jones Act, and its ships will leave the market for other destinations in the later part of the year.
This is all so sad, because the Hawaiian cruise market was on the road to recovery before the Sept. 11 tragedy hit.
David Rossi is a resident of Culver City, Calif.,
and a stock holder and frequent former customer
of American Classic Voyages.
Being a cruise industry veteran, it was with some sadness that I watched the S.S. Independence sail away forever. On the other hand, she has been here for 20 years and in that period of time we have seen Alaska ad Florida make millions off the cruise industry while we have only navigated into bankruptcy. Jones Act amendment
By Valerie Davis
needed to rescue the
islands’ cruise industry
Special to the Star-BulletinOur local leaders have taken a "wait and see attitude," mistakenly thinking they were helping American Classic Voyages' monopoly. Even all of Sen. Daniel Inouye's behind the scenes maneuverings couldn't keep AMCV afloat.
Texas, Seattle, San Diego New York, Boston and Mexico have benefitted from this booming industry. Hawaii is a great cruise destination -- ships and passengers are waiting to come. With our tourism down this is a business that can help save us, and it's knocking on our door. What is our problem?
Part of it is the Jones Act. This antiquated law must be rescinded immediately, or at least the 1886 Passenger Vessel Services Act section. This law forces us to operate with our hands tied behind our back, and we are the only state so endangered. With AMCV gone there's no American cruise line that can serve us -- therefore no need to further protect them by keeping foreign ships out.
It's time that we get on this cruising bandwagon and get this revenue back into Hawaii. With this law amended ships could go between here and the West Coast -- plus sail the Islands without having to touch a foreign port -- something frequently requested, especially from those who hate to fly.
This would bring pre- and post-cruise options back here in force -- passengers staying in Hawaiian hotels, driving local rental cars, spending money in our restaurants and stores, pumping life back into our economy. Also, Holland America Line pioneered the cruise/tour concept in Alaska years ago and many other lines have since followed suit. This would be perfect for Hawaii -- you could have a 3 day cruise with a 4 day land package -- or a 5 day cruise with a 7 day land package -- the possibilities are endless. This would create far more business for our hotels from the cruise industry than we've ever had in the past.
We need to get this law changed now, even if it means declaring us a disaster area.
Sen. Inouye couldn't save a company -- but he can still help to save the state. Our economic survival depends on it. We have been held hostage too long by this archaic rule.
I've heard some say OK to have foreign ships here if they carry American crews. That's part of the past problem -- these ships cannot be profitable with union wage demands. I don't see Alaska or Florida or Seattle telling foreign ships they must have American crews! Nor, by the way, are they presumptuous enough to tell these ships they must rip out their casinos. They have stringent laws as to when these casinos can be open -- not at all while in their local waters -- but they do not interfere with what the ships do in international waters.
There's no better time for Hawaii to become a major player in the cruise industry than now. Cruise passengers are looking for a safe haven -- let's give it to them.
Valerie Davis is president of Honolulu-based
Cruise Voyages, a cruise-only travel agency.
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