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|                                               |
|-----------------------------------------------|
|                                               |  |  |  |  |
| Republic of Panama                            |   |   |   | 75-3262685 |
| (State or Other Jurisdictionof Incorporation) |   |   |   | (I.R.S. EmployerIdentification No.) |

|                                                     |
|-----------------------------------------------------|
|                                                     |  |
| 8300 NW 33rd Street, Suite 100Miami, FL 33122  |   |
| (Address of Principal Executive Offices) (Zip Code) |   |

|                         |
|-------------------------|
|                         |  |  |  |  |  |  |
| Large accelerated filer |   |  ̈ |   | Accelerated filer |   |  ̈ |
|                    |   |   |   |
| Non-accelerated filer   |   | x |   | Smaller reporting company |   |  ̈ |

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|                               |
|-------------------------------|
|                               |  |  |
| PART I. FINANCIAL INFORMATION | Page |
| Item 1.                       | Financial Statements | 2 |
| Item 2.                       | Management’s Discussion and Analysis of Financial Condition and Results of Operations | 17 |
| Item 3.                       | Quantitative and Qualitative Disclosures about Market Risk | 31 |
| Item 4.                       | Controls and Procedures | 31 |
|                          |   |   |
| PART II. OTHER INFORMATION    |   |
| Item 6.                       | Exhibits | 32 |
| Signatures                    |   | 33 |

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|                                                     |
|-----------------------------------------------------|
|                                                     |  |  |  |  |  |  |  |
|                                                | For the three months ended March 31, |
|                                                | 2012 |   | 2011 |
| Revenue                                             |   |   |   |
| Passenger ticket                                    | $ | 108,572 |  |   | $ | 93,269 |  |
| Onboard and other                                   | 11,288 |  |   | 10,503 |  |
| Total revenue                                       | 119,860 |  |   | 103,772 |  |
|                                                |   |   |   |
| Cruise operating expense                            |   |   |   |
| Commissions, transportation and other               | 39,266 |  |   | 28,506 |  |
| Onboard and other                                   | 2,256 |  |   | 1,644 |  |
| Payroll, related and food                           | 18,776 |  |   | 17,487 |  |
| Fuel                                                | 12,113 |  |   | 10,349 |  |
| Other ship operating                                | 9,331 |  |   | 9,127 |  |
| Other                                               | 1,280 |  |   | 1,040 |  |
| Total cruise operating expense                      | 83,022 |  |   | 68,153 |  |
| Other operating expense                             |   |   |   |
| Selling and administrative                          | 21,147 |  |   | 21,199 |  |
| Depreciation and amortization                       | 9,675 |  |   | 8,813 |  |
| Total operating expense                             | 113,844 |  |   | 98,165 |  |
| Operating income                                    | 6,016 |  |   | 5,607 |  |
|                                                |   |   |   |
| Non-operating income (expense)                      |   |   |   |
| Interest income                                     | 103 |  |   | 13 |  |
| Interest expense                                    | (8,085 | ) |   | (8,018 | ) |
| Other income                                        | 2,513 |  |   | 3,929 |  |
| Total non-operating expense                         | (5,469 | ) |   | (4,076 | ) |
| Income before income taxes                          | 547 |  |   | 1,531 |  |
| Income tax expense                                  | (189 | ) |   | (58 | ) |
| Net income                                          | 358 |  |   | 1,473 |  |
|                                                |   |   |   |
| Other comprehensive income, net of tax:             |   |   |   |
|   Gain on change in derivative fair value | — |  |   | 2,814 |  |
| Total comprehensive income                          | $ | 358 |  |   | $ | 4,287 |  |

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|                                       |
|---------------------------------------|
|                                       |  |  |  |  |  |  |  |
|                                  | As of |
|                                  | March 31, 2012 |   | December 31, 2011 |
|                                  | (unaudited) |   |   |
| Assets                                |   |   |   |
| Current assets                        |   |   |   |
| Cash and cash equivalents             | $ | 79,779 |  |   | $ | 68,620 |  |
| Restricted cash                       | 538 |  |   | 743 |  |
| Trade and other receivables, net      | 9,518 |  |   | 8,319 |  |
| Related party receivables             | 2,832 |  |   | 748 |  |
| Inventories                           | 6,161 |  |   | 5,132 |  |
| Prepaid expenses                      | 19,657 |  |   | 19,149 |  |
| Other current assets                  | 5,361 |  |   | 4,165 |  |
| Total current assets                  | 123,846 |  |   | 106,876 |  |
| Property and equipment, net           | 650,072 |  |   | 655,360 |  |
| Goodwill                              | 404,858 |  |   | 404,858 |  |
| Intangible assets, net                | 85,479 |  |   | 86,120 |  |
| Other long-term assets                | 29,740 |  |   | 30,576 |  |
| Total assets                          | $ | 1,293,995 |  |   | $ | 1,283,790 |  |
|                                  |   |   |   |
| Liabilities and Members' Equity       |   |   |   |
| Current liabilities                   |   |   |   |
| Trade and other payables              | $ | 3,300 |  |   | $ | 5,752 |  |
| Accrued expenses                      | 43,705 |  |   | 41,782 |  |
| Passenger deposits                    | 171,085 |  |   | 159,312 |  |
| Derivative liabilities                | — |  |   | 112 |  |
| Current portion of long-term debt     | 6,250 |  |   | — |  |
| Total current liabilities             | 224,340 |  |   | 206,958 |  |
| Long-term debt                        | 512,250 |  |   | 518,500 |  |
| Other long-term liabilities           | 12,261 |  |   | 13,694 |  |
| Total liabilities                     | 748,851 |  |   | 739,152 |  |
| Commitments and contingencies         |   |   |   |
| Members' equity                       |   |   |   |
| Contributed capital                   | 563,513 |  |   | 563,365 |  |
| Accumulated deficit                   | (18,369 | ) |   | (18,727 | ) |
| Total members' equity                 | 545,144 |  |   | 544,638 |  |
| Total liabilities and members' equity | $ | 1,293,995 |  |   | $ | 1,283,790 |  |

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|                                                              |
|--------------------------------------------------------------|
|                                                              |  |  |  |  |  |  |  |
|                                                         | For the three months ended March 31, |
|                                                         | 2012 |   | 2011 |
| Cash flows from operating activities                         |   |   |   |
| Net income                                                   | $ | 358 |  |   | $ | 1,473 |  |
| Adjustments:                                                 |   |   |   |
| Depreciation and amortization                                | 9,675 |  |   | 8,813 |  |
| Amortization of deferred financing costs                     | 785 |  |   | 1,024 |  |
| Stock-based compensation                                     | 148 |  |   | 307 |  |
| Unrealized loss on derivative contracts                      | (1,262 | ) |   | (2,571 | ) |
| Other, net                                                   | 113 |  |   | 17 |  |
| Changes in operating assets and liabilities:                 |   |   |   |
| Trade and other accounts receivable                          | (3,283 | ) |   | 846 |  |
| Prepaid expenses and other current assets                    | (513 | ) |   | (2,116 | ) |
| Inventories                                                  | (1,059 | ) |   | (1,318 | ) |
| Accounts payable and accrued expenses                        | 477 |  |   | (6,646 | ) |
| Passenger deposits                                           | 12,480 |  |   | 18,186 |  |
| Net cash provided by operating activities                    | 17,919 |  |   | 18,015 |  |
| Cash flows from investing activities                         |   |   |   |
| Purchases of property and equipment                          | (4,913 | ) |   | (4,067 | ) |
| Restricted cash                                              | 205 |  |   | (760 | ) |
| Acquisition of intangible assets                             | — |  |   | (4,245 | ) |
| Net cash used in investing activities                        | (4,708 | ) |   | (9,072 | ) |
| Cash flows from financing activities                         |   |   |   |
| Debt related costs                                           | (130 | ) |   | (3 | ) |
| Repayment of debt                                            | — |  |   | (6,250 | ) |
| Deferred intangible asset payment                            | (2,000 | ) |   | — |  |
| Net cash used in financing activities                        | (2,130 | ) |   | (6,253 | ) |
|                                                         |   |   |   |
| Effect of exchange rate changes on cash and cash equivalents | 78 |  |   | 353 |  |
| Net increase in cash and cash equivalents                    | 11,159 |  |   | 3,043 |  |
| Cash and cash equivalents                                    |   |   |   |
| Beginning of period                                          | 68,620 |  |   | 37,258 |  |
| End of period                                                | $ | 79,779 |  |   | $ | 40,301 |  |

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|                                                                      |
|----------------------------------------------------------------------|
|                                                                      |  |  |  |  |  |  |  |
|                                                                 | March 31, |   | December 31, |
| (in thousands)                                                       | 2012 |   | 2011 |
|                                                                 |   |   |   |
| $425 million term loan, currently LIBOR plus 1.75%, due through 2014 | $ | 293,500 |  |   | $ | 293,500 |  |
| $225 million senior secured notes, 9.125%, due 2019                  | 225,000 |  |   | 225,000 |  |
|                                                                 | 518,500 |  |   | 518,500 |  |
| Less:  Current portion of long-term debt                             | 6,250 |  |   | — |  |
| Long-term portion                                                    | $ | 512,250 |  |   | $ | 518,500 |  |

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|                                                                         |
|-------------------------------------------------------------------------|
|                                                                         |  |  |  |  |  |  |  |  |
| Derivatives not designated as hedging instruments under FASB ASC 815-20 |
|                                                                    |   |   |   |   |
| (in thousands)                                                          |   | Fair Value as of |   | Fair Value as of |
|                                                                    | Balance Sheet Location | March 31, 2012 |   | December 31, 2011 |
|                                                                    |   |   |   |   |
| Foreign currency swap                                                   | Current liabilities - Derivatives | $ | — |  |   | $ | 112 |  |
|                                                                    | Total Derivatives Liabilities | $ | — |  |   | $ | 112 |  |
|                                                                    |   |   |   |   |
| Foreign currency swap                                                   | Other current assets | $ | 97 |  |   | $ | — |  |
| Fuel hedges                                                             | Other current assets | 1,542 |  |   | 489 |  |
|                                                                    | Total Derivatives Assets | $ | 1,639 |  |   | $ | 489 |  |

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|                    |
|--------------------|
|                    |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| (in thousands)     | Amount of Gain/(Loss) Recognized in OCI on Derivative (Effective Portion) |   | Location of Gain/(Loss) Reclassified from Accumulated OCI into Income (Effective Portion) |   | Amount of Gain/(Loss) Reclassified from Accumulated OCI into Income (Effective Portion) |   | Location of Gain/(Loss) Recognized in Income on Derivative (Ineffective Portion excluded from Effectiveness Testing) |   | Amount of Gain/(Loss) Recognized in Income on Derivative (Ineffective Portion excluded from Effectiveness Testing) |
|               |   |   |   |   |   |   |   |   |   |
| Interest rate swap | $ | 2,814 |  |   |  Interest expense, net |   | $ | (2,814 | ) |   | N/A |   | $ | — |  |
| Total              | $ | 2,814 |  |   |   |   | $ | (2,814 | ) |   |   |   | $ | — |  |

|                       |
|-----------------------|
|                       |  |  |  |  |  |  |  |  |  |
|                  | Location of Gain/(Loss) Recognized in Income on Derivative |   | Amount of Gain / (Loss) Recognized in Income on Derivative |
|                  |   | For the Three Months Ended March 31, |
| (in thousands)        |   | 2012 |   | 2011 |
|                  |   |   |   |   |   |
| Foreign currency swap | Other income (expense) |   | $ | 209 |  |   | $ | — |  |
| Fuel hedges           | Other income (expense) |   | 1,232 |  |   | 1,131 |  |
| Total                 |   |   | $ | 1,441 |  |   | $ | 1,131 |  |

|         |                                                                                                                                                     |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Level 1 Inputs – Quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. |

|         |                                                                                                                                                                |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Level 2 Inputs – Inputs other than quoted prices included within Level 1 that are observable for the asset and liability, either directly or indirectly. |

|         |                                                                                 |
|---------|---------------------------------------------------------------------------------|
| • | Level 3 Inputs – Inputs that are unobservable for the asset or liability. |

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|                      |
|----------------------|
|                      |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| (in thousands)       | Carrying Value as of |   | Fair Value as of |
|                 | March 31, 2012 |   | December 31, 2011 |   | March 31, 2012 |   | December 31, 2011 |
| Senior secured notes | $ | 225,000 |  |   | $ | 225,000 |  |   | $ | 230,204 |  |   | $ | 226,133 |  |
| Long-term bank debt  | 293,500 |  |   | 293,500 |  |   | 281,760 |  |   | 275,338 |  |
| Total                | $ | 518,500 |  |   | $ | 518,500 |  |   | $ | 511,964 |  |   | $ | 501,471 |  |

|                                                                                       |
|---------------------------------------------------------------------------------------|
|                                                                                       |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| (in thousands)                                                                        |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                  | As of March 31, 2012 |   | As of December 31, 2011 |
| Description                                                                           | Total |   | Level 1 |   | Level 2 |   | Total |   | Level 1 |   | Level 2 |
| Assets                                                                                |   |   |   |   |   |   |   |   |   |   |   |
| Derivative financial instruments (a)                                                  | $ | 1,639 |  |   | $ | — |  |   | $ | 1,639 |  |   | $ | 489 |  |   | $ | — |  |   | $ | 489 |  |
| Total Assets                                                                          | $ | 1,639 |  |   | $ | — |  |   | $ | 1,639 |  |   | $ | 489 |  |   | $ | — |  |   | $ | 489 |  |
| Liabilities                                                                           |   |   |   |   |   |   |   |   |   |   |   |
| Derivative financial instruments (b)                                                  | $ | — |  |   | $ | — |  |   | $ | — |  |   | $ | 112 |  |   | $ | — |  |   | $ | 112 |  |
| Total liabilities                                                                     | $ | — |  |   | $ | — |  |   | $ | — |  |   | $ | 112 |  |   | $ | — |  |   | $ | 112 |  |
|                                                                                  |   |   |   |   |   |   |   |   |   |   |   |
| (a) Classified as other current  assets in the consolidated balance sheets.           |
| (b) Classified as current liabilities-derivatives in the consolidated balance sheets. |

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|                                                  |
|--------------------------------------------------|
|                                                  |  |  |  |  |  |  |  |
| (in thousands)                                   |   |   |   |
|                                             | 2012 |   | 2011 |
| Accumulated other comprehensive loss - January 1 | $ | — |  |   | $ | (2,814 | ) |
| Quarterly change in derivative fair value        | — |  |   | 2,814 |  |
| Accumulated other comprehensive loss - March 31  | $ | — |  |   | $ | — |  |

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|                                        |
|----------------------------------------|
|                                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Condensed Consolidating Balance Sheets |
|                                   | As of March 31, 2012 |
| (in thousands)                         | Parent 'Issuer' |   | Subsidiaries Guarantors |   | Eliminations |   | Consolidated |
| Assets                                 |   |   |   |   |   |   |   |
| Current assets                         |   |   |   |   |   |   |   |
| Cash and cash equivalents              | $ | 79,088 |  |   | $ | 691 |  |   | $ | — |  |   | $ | 79,779 |  |
| Restricted cash                        | 538 |  |   | — |  |   | — |  |   | 538 |  |
| Trade and other receivable, net        | 9,350 |  |   | 168 |  |   | — |  |   | 9,518 |  |
| Related party receivables              | 2,888 |  |   | (56 | ) |   | — |  |   | 2,832 |  |
| Inventories                            | 4,259 |  |   | 1,902 |  |   | — |  |   | 6,161 |  |
| Prepaid expenses                       | 18,464 |  |   | 1,193 |  |   | — |  |   | 19,657 |  |
| Intercompany receivable                | 163,877 |  |   | 29,097 |  |   | (192,974 | ) |   | — |  |
| Other current assets                   | 3,367 |  |   | 1,994 |  |   | — |  |   | 5,361 |  |
| Total current assets                   | 281,831 |  |   | 34,989 |  |   | (192,974 | ) |   | 123,846 |  |
| Property and equipment, net            | 63,838 |  |   | 586,234 |  |   | — |  |   | 650,072 |  |
| Goodwill                               | 404,858 |  |   | — |  |   | — |  |   | 404,858 |  |
| Intangible assets, net                 | 85,479 |  |   | — |  |   | — |  |   | 85,479 |  |
| Other long-term assets                 | 27,059 |  |   | 2,681 |  |   | — |  |   | 29,740 |  |
| Investment in subsidiaries             | 213,241 |  |   | — |  |   | (213,241 | ) |   | — |  |
| Total assets                           | $ | 1,076,306 |  |   | $ | 623,904 |  |   | $ | (406,215 | ) |   | $ | 1,293,995 |  |
|                                   |   |   |   |   |   |   |   |
| Liabilities and Members' Equity        |   |   |   |   |   |   |   |
| Current liabilities                    |   |   |   |   |   |   |   |
| Trade and other payables               | $ | 3,205 |  |   | $ | 95 |  |   | $ | — |  |   | $ | 3,300 |  |
| Intercompany payables                  | 29,097 |  |   | 163,877 |  |   | (192,974 | ) |   | — |  |
| Accrued expenses                       | 41,269 |  |   | 2,436 |  |   | — |  |   | 43,705 |  |
| Passenger deposits                     | 171,085 |  |   | — |  |   | — |  |   | 171,085 |  |
| Current portion of long-term debt      | 1,049 |  |   | 5,201 |  |   | — |  |   | 6,250 |  |
| Total current liabilities              | 245,705 |  |   | 171,609 |  |   | (192,974 | ) |   | 224,340 |  |
| Long-term debt                         | 273,196 |  |   | 239,054 |  |   | — |  |   | 512,250 |  |
| Other long-term liabilities            | 12,261 |  |   | — |  |   | — |  |   | 12,261 |  |
| Total liabilities                      | 531,162 |  |   | 410,663 |  |   | (192,974 | ) |   | 748,851 |  |
| Commitments and Contingencies          |   |   |   |   |   |   |   |
| Members' equity                        |   |   |   |   |   |   |   |
| Contributed capital                    | 563,513 |  |   | 134,036 |  |   | (134,036 | ) |   | 563,513 |  |
| Accumulated deficit                    | (18,369 | ) |   | 79,205 |  |   | (79,205 | ) |   | (18,369 | ) |
| Total members' equity                  | 545,144 |  |   | 213,241 |  |   | (213,241 | ) |   | 545,144 |  |
| Total liabilities and members' equity  | $ | 1,076,306 |  |   | $ | 623,904 |  |   | $ | (406,215 | ) |   | $ | 1,293,995 |  |

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|                                        |
|----------------------------------------|
|                                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Condensed Consolidating Balance Sheets |
|                                   | As of December 31, 2011 |
| (in thousands)                         | Parent 'Issuer' |   | Subsidiaries Guarantors |   | Eliminations |   | Consolidated |
| Assets                                 |   |   |   |   |   |   |   |
| Current assets                         |   |   |   |   |   |   |   |
| Cash and cash equivalents              | $ | 67,771 |  |   | $ | 849 |  |   | $ | — |  |   | $ | 68,620 |  |
| Restricted cash                        | 743 |  |   | — |  |   | — |  |   | 743 |  |
| Trade and other receivable, net        | 8,242 |  |   | 77 |  |   | — |  |   | 8,319 |  |
| Related party receivables              | 748 |  |   | — |  |   | — |  |   | 748 |  |
| Inventories                            | 3,284 |  |   | 1,848 |  |   | — |  |   | 5,132 |  |
| Prepaid expenses                       | 17,637 |  |   | 1,512 |  |   | — |  |   | 19,149 |  |
| Intercompany receivable                | 176,672 |  |   | 30,849 |  |   | (207,521 | ) |   | — |  |
| Other current assets                   | 2,171 |  |   | 1,994 |  |   | — |  |   | 4,165 |  |
| Total current assets                   | 277,268 |  |   | 37,129 |  |   | (207,521 | ) |   | 106,876 |  |
| Property and equipment, net            | 66,446 |  |   | 588,914 |  |   | — |  |   | 655,360 |  |
| Goodwill                               | 404,858 |  |   | — |  |   | — |  |   | 404,858 |  |
| Intangible assets, net                 | 86,120 |  |   | — |  |   | — |  |   | 86,120 |  |
| Other long-term assets                 | 27,416 |  |   | 3,160 |  |   | — |  |   | 30,576 |  |
| Investment in subsidiaries             | 205,634 |  |   | — |  |   | (205,634 | ) |   | — |  |
| Total assets                           | $ | 1,067,742 |  |   | $ | 629,203 |  |   | $ | (413,155 | ) |   | $ | 1,283,790 |  |
|                                   |   |   |   |   |   |   |   |
| Liabilities and Members' Equity        |   |   |   |   |   |   |   |
| Current liabilities                    |   |   |   |   |   |   |   |
| Trade and other payables               | $ | 5,250 |  |   | $ | 502 |  |   | $ | — |  |   | $ | 5,752 |  |
| Intercompany payables                  | 30,849 |  |   | 176,672 |  |   | (207,521 | ) |   | — |  |
| Accrued expenses                       | 39,642 |  |   | 2,140 |  |   | — |  |   | 41,782 |  |
| Passenger deposits                     | 159,312 |  |   | — |  |   | — |  |   | 159,312 |  |
| Derivative liabilities                 | 112 |  |   | — |  |   | — |  |   | 112 |  |
| Total current liabilities              | 235,165 |  |   | 179,314 |  |   | (207,521 | ) |   | 206,958 |  |
| Long-term debt                         | 274,245 |  |   | 244,255 |  |   | — |  |   | 518,500 |  |
| Other long-term liabilities            | 13,694 |  |   | — |  |   | — |  |   | 13,694 |  |
| Total liabilities                      | 523,104 |  |   | 423,569 |  |   | (207,521 | ) |   | 739,152 |  |
| Commitments and Contingencies          |   |   |   |   |   |   |   |
| Members' equity                        |   |   |   |   |   |   |   |
| Contributed capital                    | 563,365 |  |   | 129,702 |  |   | (129,702 | ) |   | 563,365 |  |
| Accumulated deficit                    | (18,727 | ) |   | 75,932 |  |   | (75,932 | ) |   | (18,727 | ) |
| Total members' equity                  | 544,638 |  |   | 205,634 |  |   | (205,634 | ) |   | 544,638 |  |
| Total liabilities and members' equity  | $ | 1,067,742 |  |   | $ | 629,203 |  |   | $ | (413,155 | ) |   | $ | 1,283,790 |  |

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|                                                                       |
|-----------------------------------------------------------------------|
|                                                                       |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Condensed Consolidating Statements of Income and Comprehensive Income |
|                                                                  | Three Months Ended March 31, 2012 |
| (in thousands)                                                        | Parent 'Issuer' |   | Subsidiaries Guarantors |   | Eliminations |   | Consolidated |
| Revenue                                                               |   |   |   |   |   |   |   |
| Passenger ticket                                                      | $ | 108,572 |  |   | $ | — |  |   | $ | — |  |   | $ | 108,572 |  |
| Onboard and other                                                     | 11,288 |  |   | — |  |   | — |  |   | 11,288 |  |
| Related party revenue                                                 | — |  |   | 23,250 |  |   | (23,250 | ) |   | — |  |
| Total revenue                                                         | 119,860 |  |   | 23,250 |  |   | (23,250 | ) |   | 119,860 |  |
| Cruise operating expense                                              |   |   |   |   |   |   |   |
| Commissions, transportation and other                                 | 37,274 |  |   | 1,992 |  |   | — |  |   | 39,266 |  |
| Onboard and other                                                     | 2,256 |  |   | — |  |   | — |  |   | 2,256 |  |
| Payroll, related and food                                             | 15,720 |  |   | 3,056 |  |   | — |  |   | 18,776 |  |
| Fuel                                                                  | 12,113 |  |   | — |  |   | — |  |   | 12,113 |  |
| Other ship operating                                                  | 7,273 |  |   | 2,058 |  |   | — |  |   | 9,331 |  |
| Other                                                                 | 23,144 |  |   | 1,386 |  |   | (23,250 | ) |   | 1,280 |  |
| Total cruise operating expense                                        | 97,780 |  |   | 8,492 |  |   | (23,250 | ) |   | 83,022 |  |
| Selling and administrative                                            | 19,329 |  |   | 1,818 |  |   | — |  |   | 21,147 |  |
| Depreciation and amortization                                         | 1,934 |  |   | 7,741 |  |   | — |  |   | 9,675 |  |
| Total operating expense                                               | 119,043 |  |   | 18,051 |  |   | (23,250 | ) |   | 113,844 |  |
| Operating income                                                      | 817 |  |  | 5,199 |  |  | — |  |  | 6,016 |  |
| Non-operating income (expense)                                        |   |   |   |   |   |   |   |
| Interest expense                                                      | (6,149 | ) |   | (1,936 | ) |   | — |  |   | (8,085 | ) |
| Interest income                                                       | 102 |  |   | 1 |  |   | — |  |   | 103 |  |
| Other income                                                          | 2,492 |  |   | 21 |  |   | — |  |   | 2,513 |  |
| Equity in earnings of subsidiaries                                    | 3,273 |  |   | — |  |   | (3,273 | ) |   | — |  |
| Total non-operating income (expense)                                  | (282 | ) |   | (1,914 | ) |   | (3,273 | ) |   | (5,469 | ) |
| Income before income taxes                                            | 535 |  |   | 3,285 |  |   | (3,273 | ) |   | 547 |  |
| Income tax expense, net                                               | (177 | ) |   | (12 | ) |   | — |  |   | (189 | ) |
| Net income                                                            | 358 |  |   | 3,273 |  |   | (3,273 | ) |   | 358 |  |
| Comprehensive Income                                                  | $ | 358 |  |   | $ | 3,273 |  |   | $ | (3,273 | ) |   | $ | 358 |  |

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Table of Contents

|                                                                       |
|-----------------------------------------------------------------------|
|                                                                       |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Condensed Consolidating Statements of Income and Comprehensive Income |
|                                                                  | Three Months Ended March 31, 2011 |
| (in thousands)                                                        | Parent 'Issuer' |   | Subsidiaries Guarantors |   | Eliminations |   | Consolidated |
| Revenue                                                               |   |   |   |   |   |   |   |
| Passenger ticket                                                      | $ | 93,269 |  |   | $ | — |  |   | $ | — |  |   | $ | 93,269 |  |
| Onboard and other                                                     | 10,503 |  |   | — |  |   | — |  |   | 10,503 |  |
| Related party revenue                                                 | — |  |   | 22,037 |  |   | (22,037 | ) |   | — |  |
| Total revenue                                                         | 103,772 |  |   | 22,037 |  |   | (22,037 | ) |   | 103,772 |  |
| Cruise operating expense                                              |   |   |   |   |   |   |   |
| Commissions, transportation and other                                 | 27,261 |  |   | 1,245 |  |   | — |  |   | 28,506 |  |
| Onboard and other                                                     | 1,644 |  |   | — |  |   | — |  |   | 1,644 |  |
| Payroll, related and food                                             | 14,752 |  |   | 2,735 |  |   | — |  |   | 17,487 |  |
| Fuel                                                                  | 10,349 |  |   | — |  |   | — |  |   | 10,349 |  |
| Other ship operating                                                  | 6,942 |  |   | 2,185 |  |   | — |  |   | 9,127 |  |
| Other                                                                 | 21,971 |  |   | 1,106 |  |   | (22,037 | ) |   | 1,040 |  |
| Total cruise operating expense                                        | 82,919 |  |   | 7,271 |  |   | (22,037 | ) |   | 68,153 |  |
| Selling and administrative                                            | 19,233 |  |   | 1,966 |  |   | — |  |   | 21,199 |  |
| Depreciation and amortization                                         | 2,587 |  |   | 6,226 |  |   | — |  |   | 8,813 |  |
| Total operating expense                                               | 104,739 |  |   | 15,463 |  |   | (22,037 | ) |   | 98,165 |  |
| Operating (loss) income                                               | (967 | ) |   | 6,574 |  |   | — |  |   | 5,607 |  |
| Non-operating income (expense)                                        |   |   |   |   |   |   |   |
| Interest expense                                                      | (2,789 | ) |   | (5,229 | ) |   | — |  |   | (8,018 | ) |
| Interest income                                                       | 12 |  |   | 1 |  |   | — |  |   | 13 |  |
| Other income                                                          | 3,921 |  |   | 8 |  |   | — |  |   | 3,929 |  |
| Equity in earnings of subsidiaries                                    | 1,354 |  |   | — |  |   | (1,354 | ) |   | — |  |
| Total non-operating income (expense)                                  | 3,430 |  |   | (5,228 | ) |   | (2,278 | ) |   | (4,076 | ) |
| Income before income taxes                                            | 1,531 |  |   | 1,354 |  |   | (1,354 | ) |   | 1,531 |  |
| Income tax expense, net                                               | (58 | ) |   | — |  |   | — |  |   | (58 | ) |
| Net income                                                            | 1,473 |  |   | 1,354 |  |   | (1,354 | ) |   | 1,473 |  |
| Other comprehensive income, net of tax:                               |   |   |   |   |   |   |   |
| Gain on change in derivative fair value                               | 2,814 |  |   | — |  |   | — |  |   | 2,814 |  |
| Comprehensive Income                                                  | $ | 4,287 |  |   | $ | 1,354 |  |   | $ | (1,354 | ) |   | $ | 4,287 |  |

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Table of Contents

|                                                              |
|--------------------------------------------------------------|
|                                                              |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Condensed Consolidated Statements of Cash Flows              |
|                                                         | Three Months Ended March 31, 2012 |
| (in thousands)                                               | Parent 'Issuer' |   | Subsidiaries Guarantors |   | Eliminations |   | Consolidated |
| Net cash provided by (used in) operating activities          | $ | 18,119 |  |   | $ | (200 | ) |   | $ | — |  |   | $ | 17,919 |  |
| Cash flows from investing activities                         |   |   |   |   |   |   |   |
| Purchases of property and equipment                          | (4,913 | ) |   | — |  |   | — |  |   | (4,913 | ) |
| Restricted cash                                              | 205 |  |   | — |  |   | — |  |   | 205 |  |
| Net cash used in investing activities                        | (4,708 | ) |   | — |  |   | — |  |   | (4,708 | ) |
| Cash flows from financing activities                         |   |   |   |   |   |   |   |
| Debt related costs                                           | (130 | ) |   | — |  |   | — |  |   | (130 | ) |
| Deferred payment for intangible asset                        | (2,000 | ) |   | — |  |   | — |  |   | (2,000 | ) |
| Net cash used in financing activities                        | (2,130 | ) |   | — |  |   | — |  |   | (2,130 | ) |
| Effect of exchange rate changes on cash and cash equivalents | 78 |  |   | — |  |   | — |  |   | 78 |  |
| Net increase (decrease) in cash and cash equivalents         | 11,359 |  |   | (200 | ) |   | — |  |   | 11,159 |  |
| Cash and cash equivalents                                    |   |   |   |   |   |   |   |
| Cash and cash equivalents at beginning of period             | 67,771 |  |   | 849 |  |   | — |  |   | 68,620 |  |
| Cash and cash equivalents at end of period                   | $ | 79,130 |  |   | $ | 649 |  |   | $ | — |  |   | $ | 79,779 |  |

|                                                              |
|--------------------------------------------------------------|
|                                                              |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Condensed Consolidated Statements of Cash Flows              |
|                                                         | Three Months Ended March 31, 2011 |
| (in thousands)                                               | Parent 'Issuer' |   | Subsidiaries Guarantors |   | Eliminations |   | Consolidated |
| Net cash provided by operating activities                    | $ | 13,834 |  |   | $ | 4,181 |  |   | $ | — |  |   | $ | 18,015 |  |
| Cash flows from investing activities                         |   |   |   |   |   |   |   |
| Purchases of property and equipment                          | (4,067 | ) |   | — |  |   | — |  |   | (4,067 | ) |
| Restricted cash                                              | (760 | ) |   | — |  |   | — |  |   | (760 | ) |
| Acquisition of intangible assets                             | (4,245 | ) |   | — |  |   | — |  |   | (4,245 | ) |
| Net cash used in investing activities                        | (9,072 | ) |   | — |  |   | — |  |   | (9,072 | ) |
| Cash flows from financing activities                         |   |   |   |   |   |   |   |
| Debt related costs                                           | (3 | ) |   | — |  |   | — |  |   | (3 | ) |
| Repayment of debt                                            | (1,757 | ) |   | (4,493 | ) |   | — |  |   | (6,250 | ) |
| Net cash used in financing activities                        | (1,760 | ) |   | (4,493 | ) |   | — |  |   | (6,253 | ) |
| Effect of exchange rate changes on cash and cash equivalents | 353 |  |   | — |  |   | — |  |   | 353 |  |
| Net increase (decrease) in cash and cash equivalents         | 3,355 |  |   | (312 | ) |   | — |  |   | 3,043 |  |
| Cash and cash equivalents                                    |   |   |   |   |   |   |   |
| Cash and cash equivalents at beginning of period             | 36,093 |  |   | 1,165 |  |   | — |  |   | 37,258 |  |
| Cash and cash equivalents at end of period                   | $ | 39,448 |  |   | $ | 853 |  |   | $ | — |  |   | $ | 40,301 |  |

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|         |                                                                                                                                                                                       |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | our substantial leverage, including the inability to generate the necessary amount of cash to service our existing debt and the incurrence of substantial indebtedness in the future; |

|         |                                                                                       |
|---------|---------------------------------------------------------------------------------------|
| • | continued availability under our credit facilities and compliance with our covenants; |

|         |                                                                                             |
|---------|---------------------------------------------------------------------------------------------|
| • | our ability to incur significantly more debt despite our substantial existing indebtedness; |

|         |                                              |
|---------|----------------------------------------------|
| • | the impact of changes in our credit ratings; |

|         |                                                                                                                                                                                                                                         |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | the impact of changes in the global credit markets on our ability to borrow and our counterparty credit risks, including with respect to our credit facilities, derivative instruments, contingent obligations and insurance contracts; |

|         |                                                                                                                                                                                                                            |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | adverse economic conditions that may affect consumer demand for cruises, such as declines in the securities and real estate markets, declines in disposable income and consumer confidence, and higher unemployment rates; |

|         |                                                                    |
|---------|--------------------------------------------------------------------|
| • | changes in general economic, business and geopolitical conditions; |

|         |                                                      |
|---------|------------------------------------------------------|
| • | the risks associated with operating internationally; |

|         |                                                                                                                                                                                                                             |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | adverse events impacting the security of travel that may affect consumer demand for cruises, such as terrorist acts, acts of piracy, armed conflict and other international events, including political hostilities or war; |

|         |                                                                                             |
|---------|---------------------------------------------------------------------------------------------|
| • | the impact of any future changes relating to how travel agents sell and market our cruises; |

|         |                                                                                                                    |
|---------|--------------------------------------------------------------------------------------------------------------------|
| • | the impact of any future increases in the price of, or major changes or reduction in, commercial airline services; |

|         |                                                                                                                                                                                                |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | the impact of problems encountered at shipyards, as well as any potential claim, impairment, loss, cancellation or breach of contract in connection with any contracts we have with shipyards; |

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|         |                                                                                                                                                                                                                                       |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | the impact of mechanical failures or accidents involving our ships and the impact of delays, costs and other factors resulting from emergency ship repairs, as well as scheduled maintenance, repairs and refurbishment of our ships; |

|         |                                                                                |
|---------|--------------------------------------------------------------------------------|
| • | the total loss of one or more of our vessels as a result of a marine casualty; |

|         |                                                  |
|---------|--------------------------------------------------|
| • | the impact of the spread of contagious diseases; |

|         |                                              |
|---------|----------------------------------------------|
| • | the impact of weather and natural disasters; |

|         |                                                                   |
|---------|-------------------------------------------------------------------|
| • | changes in interest rates, fuel costs, or foreign currency rates; |

|         |                                                                                                                       |
|---------|-----------------------------------------------------------------------------------------------------------------------|
| • | changes involving the corporate, tax, environmental, health, safety and other regulatory regimes in which we operate; |

|         |                                                                                                                                                                                                                     |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | increases in our future fuel expenses related to implementing recently proposed International Maritime Organization regulations, which require the use of higher-priced low-sulfur fuels in certain cruising areas; |

|         |                                                                                                                                                                                                                                                                                                  |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | accidents, criminal behavior and other incidents affecting the health, safety, security and vacation satisfaction of passengers and causing damage to ships, which could, in each case, cause reputation harm, the modification of itineraries or cancellation of a cruise or series of cruises; |

|         |                                                                                                                                  |
|---------|----------------------------------------------------------------------------------------------------------------------------------|
| • | general industry trends, including the introduction of competing itineraries and other products and services by other companies; |

|         |                                                                                           |
|---------|-------------------------------------------------------------------------------------------|
| • | changes in cruise capacity, as well as capacity changes in the overall vacation industry; |

|         |                                                             |
|---------|-------------------------------------------------------------|
| • | the continued availability of attractive port destinations; |

|         |                                                                                                                                                    |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------|
| • | intense competition from other cruise companies, as well as non-cruise vacation alternatives, which may affect our ability to compete effectively; |

|         |                                                                                       |
|---------|---------------------------------------------------------------------------------------|
| • | our ability to attract and retain qualified shipboard crew members and key personnel; |

|         |                                                                                             |
|---------|---------------------------------------------------------------------------------------------|
| • | the lack of acceptance of new itineraries, products or services by our targeted passengers; |

|         |                                                                               |
|---------|-------------------------------------------------------------------------------|
| • | changes in other operating costs, such as crew, insurance and security costs; |

|         |                                                                    |
|---------|--------------------------------------------------------------------|
| • | the impact of pending or threatened litigation and investigations; |

|         |                                                                                                                                              |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------|
| • | the implementation of regulations in the U.S. requiring U.S. citizens to obtain passports for travel to additional foreign destinations; and |

|         |                                                                                                                                         |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------|
| • | the possibility of environmental liabilities and other damages that are not covered by insurance or that exceed our insurance coverage. |

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|         |                                                                                                                                                                                                                                                                             |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Passenger ticket revenue consists of gross revenue recognized from the sale of passenger tickets net of dilutions, such as shipboard credits, and certain included passenger shipboard event costs. Also included is gross revenue for air and ground transportation sales. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Onboard and other revenue consists of revenue derived from the sale of goods and services rendered onboard the ships (net of related concessionaire costs), travel insurance (net of related costs), and cancellation fees. Also included in Onboard and other revenue is gross revenue from pre- and post-cruise hotel accommodations, shore excursions, land packages, and related ground transportation for which we assume the risks of loss for collections and cancellations. Certain of our cruises include free unlimited shore excursions (“FUSE”) and/or free pre-cruise hotel accommodations, and such free excursions and hotel accommodations have no revenue attributable to them. The costs for FUSE and free hotel accommodations are included in commissions, transportation and other expense in the consolidated statements of income and comprehensive income. |

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Table of Contents

|         |                                                                                                                                                                                                                                                                                                                                 |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Commissions, transportation and other consists of payments made to travel agencies that sell our product, costs associated with air transportation pre-sold to our guests, all credit card fees, and the costs associated with shore excursions and hotel accommodations included as part of the overall cruise purchase price. |

|         |                                                                                                                                                                                                                   |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Onboard and other consists of costs related to land packages and related ground transportation, as well as shore excursions and hotel accommodations costs not included in commissions, transportation and other. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Payroll, related and food consists of the costs of crew payroll and related expenses for shipboard personnel, as well as food expenses for both passengers and crew. We include food and payroll costs in a single expense line item as we contract with a single vendor to provide many of our hotel and restaurant services, including both food and labor costs, which are billed on a per-passenger basis. This per-passenger fee reflects the cost of both of the aforementioned expenses. |

|         |                                                                     |
|---------|---------------------------------------------------------------------|
| • | Fuel consists of fuel costs and related delivery and storage costs. |

|         |                                                                                                                                 |
|---------|---------------------------------------------------------------------------------------------------------------------------------|
| • | Other ship operating consists of port, deck and engine, certain entertainment-related expenses, and hotel consumables expenses. |

|         |                                                                                   |
|---------|-----------------------------------------------------------------------------------|
| • | Other consists primarily of drydock, ship insurance costs, and loss on disposals. |

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|         |                                                                                                                                                                                                            |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Net Cruise Cost, excluding Fuel and Other expense, per APCD increased 1.9%, to $286 in 2012 compared to $281 in 2011, primarily due to increased hotel services costs and an increase in PDS of 6.6%. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Fuel expense increased 17.0%, or $1.8 million, reflecting higher prices. Our economic hedging strategy was able to partially offset this increase, as we recognized a $1.2 million cash benefit on executed fuel hedge contracts during the quarter that offset 66.7% of the price increase. The realized gain of fuel derivatives was recorded in other income (expense) as these instruments do not qualify for hedge accounting. |

|         |                                          |
|---------|------------------------------------------|
| • | Other expense increased by $0.2 million. |

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|                                                                                                  |
|--------------------------------------------------------------------------------------------------|
|                                                                                                  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                             |  Three Months EndedMarch 31, |
|                                                                                             | 2012 |   | 2011 |
|                                                                                             |   |   |  % of Total Revenues |   |   |   |  % of Total Revenues |
| Revenue                                                                                          |   |   |   |   |   |   |   |
| Passenger ticket                                                                                 | $ | 108,572 |  |   | 90.6 | % |   | $ | 93,269 |  |   | 89.9 | % |
| Onboard and other                                                                                | 11,288 |  |   | 9.4 | % |   | 10,503 |  |   | 10.1 | % |
| Total revenue                                                                                    | 119,860 |  |   | 100 | % |   | 103,772 |  |   | 100 | % |
|                                                                                             |   |   |   |   |   |   |   |
| Cruise operating expense                                                                         |   |   |   |   |   |   |   |
| Commissions,      transportation     and other | 39,266 |  |   | 32.8 | % |   | 28,506 |  |   | 27.5 | % |
| Onboard and other                                                                                | 2,256 |  |   | 1.9 | % |   | 1,644 |  |   | 1.6 | % |
| Payroll, related and food                                                                        | 18,776 |  |   | 15.7 | % |   | 17,487 |  |   | 16.9 | % |
| Fuel                                                                                             | 12,113 |  |   | 10.1 | % |   | 10,349 |  |   | 10 | % |
| Other ship operating                                                                             | 9,331 |  |   | 7.8 | % |   | 9,127 |  |   | 8.8 | % |
| Other                                                                                            | 1,280 |  |   | 1.1 | % |   | 1,040 |  |   | 1 | % |
| Total cruise operating     expense                                      | 83,022 |  |   | 69.3 | % |   | 68,153 |  |   | 65.7 | % |
| Other operating expense                                                                          |   |   |   |   |   |   |   |
| Selling and administrative                                                                       | 21,147 |  |   | 17.6 | % |   | 21,199 |  |   | 20.4 | % |
| Depreciation and     amortization                                       | 9,675 |  |   | 8.1 | % |   | 8,813 |  |   | 8.5 | % |
| Total other operating     expense                                       | 30,822 |  |   | 25.7 | % |   | 30,012 |  |   | 28.9 | % |
| Operating income                                                                                 | 6,016 |  |   | 5 | % |   | 5,607 |  |   | 5.4 | % |
|                                                                                             |   |   |   |   |   |   |   |
| Non-operating      income (expense)                                     |   |   |   |   |   |   |   |
| Interest income                                                                                  | 103 |  |   | 0.1 | % |   | 13 |  |   | — | % |
| Interest expense                                                                                 | (8,085 | ) |   |          (6.7%) |  |   | (8,018 | ) |   |          (7.7%) |  |
| Other income                                                                                     | 2,513 |  |   | 2.1 | % |   | 3,929 |  |   | 3.8 | % |
| Total non-operating     expense                                         | (5,469 | ) |   |          (4.6%) |  |   | (4,076 | ) |   |          (3.9%) |  |
| Income before     income taxes                                          | 547 |  |   | 0.5 | % |   | 1,531 |  |   | 1.5 | % |
| Income tax expense                                                                               | (189 | ) |   |          (0.2%) |  |   | (58 | ) |   |          (0.1%) |  |
| Net income                                                                                       | $ | 358 |  |   | 0.3 | % |   | $ | 1,473 |  |   | 1.4 | % |

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|                     |
|---------------------|
|                     |  |  |  |  |  |
|                | Three Months EndedMarch 31, |
|                | 2012 |   | 2011 |
| Passenger Days Sold | 157,873 |  |   | 148,125 |  |
| APCD                | 171,990 |  |   | 170,100 |  |
| Occupancy           | 91.8 | % |   | 87.1 | % |

|                                            |
|--------------------------------------------|
|                                            |  |  |  |  |  |  |  |
| (in thousands)                             | Three Months EndedMarch 31, |
|                                       | 2012 |   | 2011 |
| Net income                                 | $ | 358 |  |   | $ | 1,473 |  |
| Interest income                            | (103 | ) |   | (13 | ) |
| Interest expense                           | 8,085 |  |   | 8,018 |  |
| Depreciation and amortization              | 9,675 |  |   | 8,813 |  |
| Income tax expense, net                    | 189 |  |   | 58 |  |
| Other income                               | (2,513 | ) |   | (3,929 | ) |
| Equity-based compensation/transactions (a) | 148 |  |   | 307 |  |
| Non-recurring expenses (b)                 | 397 |  |   | 944 |  |
| Restructuring (c)                          | 277 |  |   | 134 |  |
| Fuel hedge gain (d)                        | 1,232 |  |   | 1,131 |  |
| ADJUSTED EBITDA                            | $ | 17,745 |  |   | $ | 16,936 |  |

|     |                                                                                             |
|-----|---------------------------------------------------------------------------------------------|
| (a) | Equity-based compensation/transactions represent stock compensation expense in each period. |

|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b) | Non-recurring expenses represents the net impact of time out of service as a result of unplanned and non-recurring repairs to vessels; expenses associated with consolidating corporate headquarters; professional fees and other costs associated with raising capital through debt and equity offerings; certain litigation fees; and the fees paid to license the name “Regent”  in the first quarter of 2011. In February 2011, we amended the Regent license agreement to perpetually license the “Regent” name; as such we will not incur any future license fees. |

|     |                                                                                                                                                                            |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (c) | Restructuring charges represents non-recurring expenses associated with personnel changes, lease termination, and other corporate reorganizations to improve efficiencies. |

|     |                                                                                                       |
|-----|-------------------------------------------------------------------------------------------------------|
| (d) | Fuel hedge gain represents the realized gain on fuel hedges triggered by the settlement of the hedge. |

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|                                                      |
|------------------------------------------------------|
|                                                      |  |  |  |  |  |  |  |  |
| (in thousands, except Passenger Days Sold, Available |   | Three Months EndedMarch 31, |
| Passenger Cruise Days, Net Per Diem, and Yield data) |   | 2012 |   | 2011 |
| Passenger ticket revenue                             |   | $ | 108,572 |  |   | $ | 93,269 |  |
| Onboard and other revenue                            |   | 11,288 |  |   | 10,503 |  |
| Total revenue                                        |   | 119,860 |  |   | 103,772 |  |
| Less:                                                |   |   |   |   |
| Commissions, transportation and other expense        |   | 39,266 |  |   | 28,506 |  |
| Onboard and other expense                            |   | 2,256 |  |   | 1,644 |  |
| Net Revenue                                          |   | $ | 78,338 |  |   | $ | 73,622 |  |
| Passenger Days Sold                                  |   | 157,873 |  |   | 148,125 |  |
| APCD                                                 |   | 171,990 |  |   | 170,100 |  |
| Net Per Diem                                         |   | $ | 496.21 |  |   | $ | 497.03 |  |
| Gross Yield                                          |   | 696.90 |  |   | 610.06 |  |
| Net Yield                                            |   | 455.48 |  |   | 432.82 |  |

|                                                                             |
|-----------------------------------------------------------------------------|
|                                                                             |  |  |  |  |  |  |  |  |
| (in thousands, except Available Passenger                                   |   | Three Months EndedMarch 31, |
| Cruise Days and APCD data)                                                  |   | 2012 |   | 2011 |
| Total cruise operating expense                                              |   | $ | 83,022 |  |   | $ | 68,153 |  |
| Selling and administrative expense                                          |   | 21,147 |  |   | 21,199 |  |
| Gross Cruise Cost                                                           |   | 104,169 |  |   | 89,352 |  |
| Less:                                                                       |   |   |   |   |
| Commissions, transportation and other expense                               |   | 39,266 |  |   | 28,506 |  |
| Onboard and other expense                                                   |   | 2,256 |  |   | 1,644 |  |
| Net Cruise Cost                                                             |   | 62,647 |  |   | 59,202 |  |
| Less:                                                                       |   |   |   |   |
| Fuel                                                                        |   | 12,113 |  |   | 10,349 |  |
| Other expense                                                               |   | 1,280 |  |   | 1,040 |  |
| Net Cruise Cost, excluding Fuel and Other                                   |   | $ | 49,254 |  |   | $ | 47,813 |  |
|                                                                        |   |   |   |   |
| APCD                                                                        |   | 171,990 |  |   | 170,100 |  |
| Gross Cruise Cost per APCD                                                  |   | $ | 605.67 |  |   | $ | 525.29 |  |
| Net Cruise Cost per APCD                                                    |   | 364.25 |  |   | 348.04 |  |
| Net Cruise Cost, excluding Fuel and Other, per     APCD |   | 286.38 |  |   | 281.09 |  |

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|         |                                                                                                                                                                                        |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Passenger ticket revenue increased $15.3 million or 16.4%, to $108.6 million in 2012 from $93.3 million in 2011, driven by $9.2 million higher pricing and $6.1 million increased PDS. |

|         |                                                                                                                                                                                        |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Onboard and other revenue increased $0.8 million or 7.5%, to $11.3 million in 2012 from $10.5 million in 2011, primarily driven by a $0.4 million increase in shore excursion revenue. |

|         |                                                                                                                                                                                                                                                                                                                                                                        |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | $10.8 million increase in Commission, transportation and other due to higher air costs of $8.1 million, driven by higher passenger count and higher business class air participation. The remaining increase in other Commission, transportation and other was primarily caused by related costs associated with increased revenues and increased passenger days sold. |

|         |                                                                                                                                                                    |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | $1.8 million increase in Fuel expense driven by a 24% increase in our average cost per Metric Ton to $746 per Metric Ton in 2012 from $602 per Metric Ton in 2011. |

|         |                                                                                                                                                                                      |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | $1.3 million increase in Payroll, related and food, $0.7 million of the increase was driven by increase in passenger count and remaining $0.6 million due to general cost increases. |

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|                                      |
|--------------------------------------|
|                                      |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                 | Payments Due By Period |
| (in thousands)                       | Total |   | Less than1 year |   | 1 - 3 years |   | 3 - 5 years |   | More than5 years |
| Operating Activities:                |   |   |   |   |   |   |   |   |   |
| Interest on long-term debt (1)       | $ | 134,193 |  |   | $ | 26,284 |  |   | $ | 46,315 |  |   | $ | 41,063 |  |   | $ | 20,531 |  |
| Operating lease obligations          | 2,228 |  |   | 737 |  |   | 1,491 |  |   | — |  |   | — |  |
| Maintenance contract obligations (2) | 15,743 |  |   | 3,149 |  |   | 6,297 |  |   | 6,297 |  |   | — |  |
| Investing Activities:                |   |   |   |   |   |   |   |   |   |
| Maintenance contract obligations (2) | 767 |  |   | 767 |  |   | — |  |   | — |  |   | — |  |
| Regent licensing rights (3)          | 2,000 |  |   | 2,000 |  |   | — |  |   | — |  |   | — |  |
| Financing Activities:                |   |   |   |   |   |   |   |   |   |
| Long-term debt (4)                   | 518,500 |  |   | 6,250 |  |   | 287,250 |  |   | — |  |   | 225,000 |  |
| Capital lease obligation (5)         | 6,607 |  |   | 520 |  |   | 1,143 |  |   | 1,201 |  |   | 3,743 |  |
| Total                                | $ | 680,038 |  |   | $ | 39,707 |  |   | $ | 342,496 |  |   | $ | 48,561 |  |   | $ | 249,274 |  |

|          |                                                                                                                                                                                                                                                                                                                                                                                                                          |
|----------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  (1) | Long-term debt obligations mature at various dates through fiscal year 2019 and bear interest at fixed and variable rates. Interest on variable rate debt is calculated based upon 3-month LIBOR plus the applicable margin. At March 31, 2012, the 3 month LIBOR rate was 0.47% for all periods. Amounts are based on existing debt obligations and do not consider potential refinancing of expiring debt obligations. |

|     |                                                                                                                                                                                                                                          |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (2) | Amounts represent obligations under the five year maintenance agreement with a third party vendor for certain equipment purchases and monthly maintenance fees. The contract was signed on March 1, 2012 and has a term of sixty months. |

|     |                                                                                          |
|-----|------------------------------------------------------------------------------------------|
| (3) | Amounts represent obligations under the terms of the Regent trademark license agreement. |

|     |                                                                                                                                                                                                                                                          |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (4) | Amounts represent debt obligations with initial terms in excess of one year. The contractual obligation under long-term debt does not reflect any excess cash flow payments we may be required to make pursuant to our senior secured credit facilities. |

|     |                                                                                     |
|-----|-------------------------------------------------------------------------------------|
| (5) | Amounts represent capital lease obligation with initial term in excess of one year. |

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|                                         |
|-----------------------------------------|
|                                         |  |  |  |  |  |  |  |  |  |  |
| INDEX TO EXHIBITS                       |  |  |  |  |  |  |  |  |
| Exhibit Number                          |  |  | Incorporated by Reference |  | Filed/Furnished Herewith |
| Exhibit Description                     |  | Form |  | Exhibit |  | Filing Date |  |
| Articles of incorporation and by-laws   |  |  |  |  |  |  |  |  |
| 3.1                                     |  | Corporate Charter of Seven Seas Cruises S. DE R.L. (f/k/a Classic Cruises Holdings S. DE R.L.), dated as of November 7, 2007 |  | S-4 |  | 3.1 |  | 11/30/2011 |  |  |
| 3.2                                     |  | Certificate of Incorporation of Celtic Pacific (UK) Limited (f/k/a Augurship III Limited), dated as of November 1, 1990, as amended on December 20, 1990 |  | S-4 |  | 3.2 |  | 11/30/2011 |  |  |
| 3.3                                     |  | Memorandum and Articles of Association of Celtic Pacific (UK) Limited, dated as of December 20, 1990 |  | S-4 |  | 3.3 |  | 11/30/2011 |  |  |
| 3.4                                     |  | Certificate of Incorporation of Celtic Pacific (UK) Two Limited, dated as of October 26, 2000 |  | S-4 |  | 3.4 |  | 11/30/2011 |  |  |
| 3.5                                     |  | Memorandum and Articles of Association of Celtic Pacific (UK) Two Limited, dated as of October 26, 2000, as amended on May 8, 2003 and January 28, 2008 |  | S-4 |  | 3.5 |  | 11/30/2011 |  |  |
| 3.6                                     |  | Certificate of Formation of Mariner, LLC, dated as of October 26, 2010 |  | S-4 |  | 3.6 |  | 11/30/2011 |  |  |
| 3.7                                     |  | Limited Liability Company Agreement of Mariner, LLC, dated as of October 26, 2010 |  | S-4 |  | 3.7 |  | 11/30/2011 |  |  |
| 3.8                                     |  | Certificate of Incorporation of Prestige Cruise Services (Europe) Limited (f/k/a Regent Seven Seas Cruises UK Limited and Radisson Seven Seas Cruises UK Limited), dated as of September 29, 2000, as amended on March 6, 2006 and October 5, 2011 |  | S-4 |  | 3.8 |  | 11/30/2011 |  |  |
| 3.9                                     |  | Memorandum and Articles of Association of Prestige Cruise Services (Europe) Limited (f/k/a Regent Seven Seas Cruises UK Limited and Radisson Seven Seas Cruises UK Limited), dated as of September 29, 2000 |  | S-4 |  | 3.9 |  | 11/30/2011 |  |  |
| 3.10                                    |  | Certificate of Formation of SSC (France) LLC, dated as of January 16, 2008 |  | S-4 |  | 3.10 |  | 11/30/2011 |  |  |
| 3.11                                    |  | Limited Liability Company Agreement of SSC (France) LLC, dated as of January 16, 2008 |  | S-4 |  | 3.11 |  | 11/30/2011 |  |  |
| 3.12                                    |  | Certificate of Incorporation of Supplystill Limited, dated as of October 29, 1999 |  | S-4 |  | 3.12 |  | 11/30/2011 |  |  |
| 3.13                                    |  | Articles of Association of Supplystill Limited, dated as of November 10, 2010 |  | S-4 |  | 3.13 |  | 11/30/2011 |  |  |
| Rule 13a-14(a)/15d-14(a) Certifications |  |  |  |  |  |  |  |  |
| 31.1                                    |  | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 |  |  |  |  |  |  |  | X |
| 31.2                                    |  | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 |  |  |  |  |  |  |  | X |
| Section 1350 Certifications             |  |  |  |  |  |  |  |  |
| 32.1                                    |  | Certification of Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 |  |  |  |  |  |  |  | X |
| 32.2                                    |  | Certification of Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 |  |  |  |  |  |  |  | X |

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|                    |                      |
|--------------------|----------------------|
| Date: May 18, 2012 | /s/ FRANK J. DEL RIO |

|                    |                       |
|--------------------|-----------------------|
| Date: May 18, 2012 | /s/ JASON M. MONTAGUE |