Cruise and Theme Park Operational Updates due to Coronavirus

[skyp4WDW]

Just trying to think of why they haven't yet, not necessarily agreeing with it

$$$$$$$$$$$$$$$$$$$$!

 

[Jchoma]

I’m definitely frustrated as we are scheduled to leave a week from today. Clearly we wouldn’t go even if we could, but I’ve been hoping Disney would announce a closure so I don’t have to spend time on the phone cancelling. I’m worried if I cancel online, I won’t get my deposit back. I get that it’s a huge decision but I wish they would at least announce through mid-April, today. I think I’ll call today at this point.

We have a backup trip scheduled mid-June, but I’m not feeling optimistic it can (or should) happen. I am worried FL is barreling toward being the next big hot spot, based on the delayed response of the governor, the large elderly population and the state drawing so much tourism even until last week.

I’m in NC and my county (Wake) is announcing a shelter in place order today. School is out through May 15. My family has been home for weeks now but so many in my community and around the country aren’t taking social distancing seriously, and I’m fearful that will really prolong closings everywhere, not just WDW.

Praying you all stay safe and we’re all enjoying the Disney Magic again before much longer.

 

[Walt4ever]

While everyone waits to see what Disney does, or doesn't, do, I can still make a reservation for the night of 4/1, and the Epcot Garden Rocks concert schedule reflects being closed currently, and that I can watch Steve Augeri – Former Lead Vocalist of Journey on 4/1 and 4/2. As for the county stay at home order, if you read it, the only businesses that really have to close are retail that only sell "non essential", and places with amusement rides. Large church services, as an example, are okie dokie. Which pretty much means the order is for show and to get federal funds. Once all these municipalities and states get their funding, the cynic in me says that there will be a miraculous improvement and things can start reopening.

Specific to Disney, I can't find the article, but I originally read that the order applied to businesses within Orlando city limits and unincorporated areas of Orange County. Reedy Creek is its own municipality. The order may not apply. And the last I read from the Governor, he wasn't going to make a statewide call, but would leave it to the different areas to decide for themselves what was best. Just something to consider.

 

[EllieBride]

I think it's pretty clear that they are hanging on to people's money for as long as they possibly can. This is apparent by the fact that they haven't cancelled cruises that are obviously NOT going to set sail (Alaska and Hawaii, and most likely Europe, too). Canada has closed the port until July 1 and Hawaii has issued quarantines, yet DCL refuses to issue a formal cancellation. Seeing the same thing with the parks/resorts really makes me shake my head

This is not about having enough staff to manage the volume of calls. My TA got right through to cancel my Northern European cruise last week.

 

[jpakstis]

I agree with all this - I think I am trying to make my think your middle, reasonable take is the dominant reasoning

My guess is that they are also trying to give their call centers, customer reps, etc. some order and time to process all the cancellations and rescheduling. Right now it seems that all travel-based service companies (in my experience with a trip that was until recently scheduled for April, Disney, airlines, Undercover Tourist, David's rentals, etc.) are practically pleading with people to wait until they have less than 7 days remaining until their flights/trip/tickets, etc. were scheduled to begin. I couldn't imagine the crush of calls if they announced they were closed of all of April on top of processing March cancellations.

I cannot imagine that they will be open for at least first 3-4 weeks of April, but we are trying to be patient before officially cancelling. I think they are also keeping things close to the vest (i.e. accepting reservations, booking FP+, etc.) because if they stopped, it would set off a wave of cancellations.

 

[xuxa777]

While agreeing money is a somewhat of a driver, they are also probably holding off to make sure they get staffing and procedures in place and correct for the next wave of cancellations.

They have had to move most workers if not all customer service employees to a WFH scenario since the last announcement of closing. I can only imagine the nightmare scenario that is in setting up and giving the people working at home access to the reservation system etc. while the rest of the family is streaming netflix and playing online games.

 

[J-BOY]

I think it's pretty clear that they are hanging on to people's money for as long as they possibly can. This is apparent by the fact that they haven't cancelled cruises that are obviously NOT going to set sail (Alaska and Hawaii, and most likely Europe, too). Canada has closed the port until July 1 and Hawaii has issued quarantines, yet DCL refuses to issue a formal cancellation. Seeing the same thing with the parks/resorts really makes me shake my head

This is not about having enough staff to manage the volume of calls. My TA got right through to cancel my Northern European cruise last week.

I just don't see how you or anyone can make that assumption, or any assumption, for that matter. How would it help them to hold on to people's money? They'll have to give it back either way, and it's not like they're holding on to late cancellation fees, so they're not profiting off of it. It doesn't necessarily have to be about call volume, either. Disney is one of the biggest employers in the country - they have a lot to figure out right now - and it's not just the parks that they need to handle.

 

[jknezek]

I just don't see how you or anyone can make that assumption, or any assumption, for that matter. How would it help them to hold on to people's money? They'll have to give it back either way, and it's not like they're holding on to late cancellation fees, so they're not profiting off of it. It doesn't necessarily have to be about call volume, either. Disney is one of the biggest employers in the country - they have a lot to figure out right now - and it's not just the parks that they need to handle.

Ah... this is rudimentary finance. They have cash, they earn interest on cash. When they return that cash to people, they don't earn interest on it. So yes, the float, which is the amount of deposits they are holding, is very large. They are earning money on that float every day they hold it. Is it large in the grand scheme of what TWDC usually makes? No. But it is some income right now when they are getting very little comparatively.

 

[TheMaxRebo]

NEWS

ABD cancels most trips through May

https://twitter.com/x/status/1243192857625866240

 

[Tandy]

Ah... this is rudimentary finance. They have cash, they earn interest on cash. When they return that cash to people, they don't earn interest on it. So yes, the float, which is the amount of deposits they are holding, is very large. They are earning money on that float every day they hold it. Is it large in the grand scheme of what TWDC usually makes? No. But it is some income right now when they are getting very little comparatively.

Just like when you "leave" money in your Paypal balance..

 

[meremac]

I agree that Disney has a lot to figure out right now. But the radio silence is increasingly frustrating and somewhat insulting. It is putting tremendous stress on partners, secondary suppliers, and TA's. Even a little e-mail that said "Hey, we know you're waiting for answers and we're working on it" would be much appreciated. ALL of our other suppliers have done at least that.

 

[xuxa777]

WDW and Disneyland won't be open till late may at the earliest IMHO most likely mid to late June. Non essential workers and some small businesses will probably begin opening mid to late April with heavy controls, temperature checks etc. Hot spots will take longer. if things stay stable then larger gatherings might open mid may <500 people malls, shoppping theaters etc, Disney Springs. Concerts and Sports probably wont open up until late July at the earliest.

I imagine Disney already knows of cases or critically ill people that were at Disney, more cases will pop up. That is going to provide more bad PR for the parks. It was 17 days or so for the first death to come out. The parks were still open until the 3/16. Hopefully not, but statistically and sadly we are going to hear of more deaths next week or two from recent guests of the parks.

Shanghai Disney has been closed for 8 weeks so far and only its shopping areas and resorts have opened (aware it isn't owned by Disney, but it is operated by them). While those areas are open it is not a pleasant expereince, guest have to wear masks at all times at the resort except when eating. They also have a an app that you are registered with to show you have tested negative and can be contacted if you come into contact with a person that tested positive. Also temperature checks at all entrances. If you ahve a fever you are not allowed in and have to get immediately tested on the spot.

 

[mshanson3121]

I think it's pretty clear that they are hanging on to people's money for as long as they possibly can. This is apparent by the fact that they haven't cancelled cruises that are obviously NOT going to set sail (Alaska and Hawaii, and most likely Europe, too). Canada has closed the port until July 1 and Hawaii has issued quarantines, yet DCL refuses to issue a formal cancellation. Seeing the same thing with the parks/resorts really makes me shake my head

This is not about having enough staff to manage the volume of calls. My TA got right through to cancel my Northern European cruise last week.

Which is a really bad look for them if this is what's going on. And only makes it worse that they're dragging it out this long.

But I agree with others, that this is also a multi-faceted issue.

 

[J-BOY]

Which is a really bad look for them if this is what's going on. And only makes it worse that they're dragging it out this long.

What I was trying to say above is that no one knows that this is what's going on, and no one will. You can certainly make assumptions, but pinning them as money-hungry only is reductive towards the immense pressure of such a complicated issue and decision. They've got to worry about their front-line employees (if/how long they're paying them), what they're doing about every current and new project, what they're going to do about Imagineering, communicating with public health officials, and making very calculated PR decisions.

Edit: I just caught your own edit! I agree with you. There's a lot going on here. I wouldn't be surprised if they're trying to hold onto reservations for now (given jknezek's information above - thank you), but there's got to be so much more to this decision.

 

[Iowamomof4]

They can't be earning very much interest at all on their cash right now, can they?

 

[jknezek]

They can't be earning very much interest at all on their cash right now, can they?

It depends on how it is managed. As someone who works in finance I can say corporations don't tend to put money in banks. Even short term money is invested and, depending on how shrewdly it was managed through the last couple days, there were a lot of opportunities. A regular savings account won't earn you anything, but that's not where the money is, I promise you!

 

[TheMaxRebo]

They can't be earning very much interest at all on their cash right now, can they?

no, although the current market conditions add value to liquidity so cash on hand is worth more than just the interest rate

Still, while I am sure they are happy to get whatever financial benefit they can, I struggle to think that would be the driving factor behind delaying any decision - especially since they already have announced you can cancel any vacation scheduled between now and June 30th with no negative impact

 

[yulilin3]

From CM friends close to the unions
The union is at the table with disney. My guess is that they were waiting for the stimulus package with the payroll tax portion. That's what Disney had asked for, a relief of payroll taxes. Not sure if a deferment of tax is enough to push them to pay the cast

 

[PamNC]

I’m definitely frustrated as we are scheduled to leave a week from today. Clearly we wouldn’t go even if we could, but I’ve been hoping Disney would announce a closure so I don’t have to spend time on the phone cancelling. I’m worried if I cancel online, I won’t get my deposit back. I get that it’s a huge decision but I wish they would at least announce through mid-April, today. I think I’ll call today at this point.

We have a backup trip scheduled mid-June, but I’m not feeling optimistic it can (or should) happen. I am worried FL is barreling toward being the next big hot spot, based on the delayed response of the governor, the large elderly population and the state drawing so much tourism even until last week.

I’m in NC and my county (Wake) is announcing a shelter in place order today. School is out through May 15. My family has been home for weeks now but so many in my community and around the country aren’t taking social distancing seriously, and I’m fearful that will really prolong closings everywhere, not just WDW.

Praying you all stay safe and we’re all enjoying the Disney Magic again before much longer.

Hi there fellow North Carolinian. I'm in Davie County - just west of Forsyth County. Forsyth has the same order but my county doesn't yet. We're a small rural county and only 1 case but I'm very close to Forsyth. I hope you stay safe and don't worry - you'll get to go back ... I have a feeling June will be the month it opens up.

 

[xuxa777]

I agree it is a cynical view to think "they are holding onto our money" reasoning. Yes Disney is in business to make money and their prices are crazy on some things, but at this time any delay is purely operational in nature. The short term losses of cancellations of trips in April/May is just a drop in the bucket compared to the long term hit Disney is going to take, with fear of traveling, global recession, is going to hurt the bottom line much more.