Ambassadors To Close AWSC Deal in First Quarter

On Dec. 27, 2005, Ambassadors International signed a deal to acquire American West Steamboat Company and, provided certain provisions are met, the deal will close during the first quarter of 2006. Business is expected to continue for AWSC as normal during 2006, and product announcements concerning the 2007 operating season will be released on or about March 1. In addition, David Giersdorf, a former Holland America executive, will become president and chief operating officer of Ambassadors Cruise Group. The transaction is subject to the approval of certain debt covenant amendments by the U.S. Department of Transportation, as well as customary closing conditions. Under the terms of the agreement, Ambassadors Cruise Group will acquire the membership interests of American West Cruises for one dollar, repay certain outstanding indebtedness of approximately $4.3 million currently held by American West Cruises and assume approximately $41.5 million in fixed-rate, 4.63 percent debt payable through 2028 and guaranteed by the U.S. Maritime Administration.

Read more on

Suggested Articles

This week in the cruise industry, a number of major cruise lines released new details on ships that are under development. Here's what you need to know.

This week in the travel industry saw a number of new hotel leadership appointments, plus big ship updates from Carnival and Virgin. Here's what you need…

The vessel has 342 newly updated staterooms, along with some additional refinements following the work done to the line’s Insignia. Read more.