Miami Heat owner Micky Arison has lost a reported $1.3 billion with his Carnial Cruise Lines. And things aren't getting any better for him right now.
Over the weekend, an Italian cruise ship crashed in the Mediterranean Sea after hitting a reef off the island of Giglio. According to reports, 16 passengers and crew are still missing and six have been found dead.
But the owner of the cruise liner? Arison.
Via the New York Post:
Arison said in a statement that he was "deeply saddened" about the incident. Carnival said Monday that the shipwreck could cost it approximately $85 million to $95 million in lost earnings alone. Which obviously takes a major backseat to those that were injured or killed as a result of the wreck, but the damage from the incident is wide reaching.
Carnival said the ship was insured for damage with a deductible of approximately $30 million, as well as insurance for third-party personal injury liability subject to an additional deductible of approximately $10 million for this incident. The company self-insures for loss of use of the vessel.
A damage assessment review is underway, Carnival said, but the ship is expected to be out of service for the remainder of the company's current fiscal year -- if not longer.
The company is 47 percent owned by Micky Arison, chief executive and son of the company's founder, and the broader Arison family. It has lost almost a third of its market value over the past year, amid investor worries about fuel prices and consumer weakness.