Profile of the U.S. Cruise Industry

The cruise industry is the fastest growing segment of the travel industry – achieving more than 2,100
percent growth since 1970, when an estimated 500,000 people took a cruise. Approximately 12.6 million
people took a cruise vacation in 2007. Industry estimates are that 12.8 million will cruise in 2008.

But that’s not all. CLIA reports that the cruise industry’s total economic benefit to the U.S. economy was
$35.7 billion in 2006. The cruise industry generated nearly 348,000 American jobs, and direct spending by
cruise lines and passengers on U.S. goods and services totaled $17.6 billion.

The cruise industry’s growth is also reflected in its expanding guest capacity. Nearly 40 new ships were built
in the 1980s and during the 1990s, nearly 80 new ships debuted. By the end of 2008, over 100 new ships will
have been introduced since 2000.

This strong growth has fueled the continuing evolution of the cruise vacation experience. Over the years,
cruise lines have expanded itineraries to include more diverse ports of call and convenient embarkation
ports and have also introduced innovative onboard amenities and facilities, including cell phone access,
Internet cafes and wireless fidelity (Wi-fi) zones, rock-climbing walls, bowling alleys, surfing pools, multiroom
villas, multiple themed restaurants and expansive spas, health and fitness facilities that easily rival landbased options.

The cruise industry’s commitment to adding new capacity is based on cruising’s tremendous growth potential. Because only approximately 17 percent of U.S. adults have ever taken a cruise vacation, there
remains an enormous untapped market.

Cruise lines cater to a diverse demographic mix. Cruisers average 49 years of age, with above-average
($104,000) annual household income. Cruise vacations attract travelers from every state in the nation and
from every province in Canada. The states producing the most cruise passengers are Florida, California,
Texas, Massachusetts, New York, Pennsylvania, New Jersey, Illinois, Arizona and Georgia.

Ninety percent of all cruise vacations are booked through travel agents, and cruise sales account for more
than half of all vacation sales among travel agents.