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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549 
FORM 10-Q 
(Mark One) 
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the quarterly period ended September 30, 2022
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the transition period from            to            
Commission File Number: 1-11884
ROYAL CARIBBEAN CRUISES LTD.
(Exact name of registrant as specified in its charter) 
Republic of Liberia
 98-0081645
(State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.)
 
1050 Caribbean Way, Miami, Florida 33132
(Address of principal executive offices) (zip code) 
(305) 539-6000
(Registrant’s telephone number, including area code) 
N/A
(Former name, former address and former fiscal year, if changed since last report) 

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, par value $0.01 per shareRCLNew York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes   No  
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).  Yes   No  
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. 
Large accelerated filer
 
Accelerated filer
 
Non-accelerated filer
 
Smaller reporting company
Emerging growth company
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes   No  
There were 255,182,015 shares of common stock outstanding as of October 31, 2022.


























ROYAL CARIBBEAN CRUISES LTD.




PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
ROYAL CARIBBEAN CRUISES LTD.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
(unaudited; in thousands, except per share data)
Quarter Ended September 30,
 20222021
Passenger ticket revenues$2,020,974 $280,153 
Onboard and other revenues972,101 176,805 
Total revenues2,993,075 456,958 
Cruise operating expenses:  
Commissions, transportation and other484,054 64,780 
Onboard and other220,216 42,703 
Payroll and related304,369 265,974 
Food194,966 48,950 
Fuel316,214 118,127 
Other operating436,444 273,157 
Total cruise operating expenses1,956,263 813,691 
Marketing, selling and administrative expenses373,116 323,422 
Depreciation and amortization expenses355,085 325,907 
Impairment and credit losses (recoveries)10,186 (238)
Operating Income (Loss)298,425 (1,005,824)
Other income (expense):  
Interest income11,953 3,786 
Interest expense, net of interest capitalized(352,187)(430,661)
Equity investment income (loss)73,997 (29,085)
Other income780 37,230 
 (265,457)(418,730)
Net Income (Loss)$32,968 $(1,424,554)
Earnings (Loss) per Share:  
Basic$0.13 $(5.59)
Diluted$0.13 $(5.59)
Weighted-Average Shares Outstanding:  
Basic255,071 254,713 
Diluted255,378 254,713 
Comprehensive Loss  
Net Income (Loss)$32,968 $(1,424,554)
Other comprehensive loss:  
Foreign currency translation adjustments11,498 5,022 
Change in defined benefit plans7,226 (3,627)
Loss on cash flow derivative hedges(259,949)(13,264)
Total other comprehensive loss(241,225)(11,869)
Comprehensive Loss$(208,257)$(1,436,423)



The accompanying notes are an integral part of these consolidated financial statements
1


ROYAL CARIBBEAN CRUISES LTD.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
(unaudited; in thousands, except per share data)
Nine Months Ended September 30,
20222021
Passenger ticket revenues$4,091,035 $323,782 
Onboard and other revenues2,145,513 226,104 
Total revenues6,236,548 549,886 
Cruise operating expenses:
Commissions, transportation and other964,256 72,917 
Onboard and other450,225 55,782 
Payroll and related981,128 530,250 
Food450,376 74,618 
Fuel779,873 219,058 
Other operating1,206,036 569,383 
Total cruise operating expenses4,831,894 1,522,008 
Marketing, selling and administrative expenses1,138,571 867,021 
Depreciation and amortization expenses1,046,094 959,512 
Impairment and credit losses (recoveries)(584)39,934 
Operating Loss(779,427)(2,838,589)
Other income (expense):
Interest income21,765 13,317 
Interest expense, net of interest capitalized(932,552)(1,007,986)
Equity investment income (loss)29,759 (137,044)
Other income4,699 66,771 
(876,329)(1,064,942)
Net Loss$(1,655,756)$(3,903,531)
Loss per Share:
Basic$(6.49)$(15.56)
Diluted$(6.49)$(15.56)
Weighted-Average Shares Outstanding:
Basic254,953 250,808 
Diluted254,953 250,808 
Comprehensive Loss
Net Loss$(1,655,756)$(3,903,531)
Other comprehensive (loss) income:
Foreign currency translation adjustments31,958 11,255 
Change in defined benefit plans34,991 3,748 
(Loss) Gain on cash flow derivative hedges(148,541)48,514 
Total other comprehensive (loss) income(81,592)63,517 
Comprehensive Loss$(1,737,348)$(3,840,014)
The accompanying notes are an integral part of these consolidated financial statements
2


ROYAL CARIBBEAN CRUISES LTD.
CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)
 As of
 September 30,December 31,
 20222021
 (unaudited) 
Assets  
Current assets  
Cash and cash equivalents$1,566,213 $2,701,770 
Trade and other receivables, net of allowances of $10,542 and $13,411 at September 30, 2022 and December 31, 2021, respectively
534,414 408,067 
Inventories237,186 150,224 
Prepaid expenses and other assets435,709 286,026 
Derivative financial instruments63,524 54,184 
Total current assets2,837,046 3,600,271 
Property and equipment, net27,693,240 25,907,949 
Operating lease right-of-use assets554,424 542,128 
Goodwill809,201 809,383 
Other assets, net of allowances of $72,160 and $86,781 at September 30, 2022 and December 31, 2021, respectively
1,570,279 1,398,624 
Total assets$33,464,190 $32,258,355 
Liabilities and Shareholders’ Equity  
Current liabilities  
Current portion of long-term debt$3,945,145 $2,243,131 
Current portion of operating lease liabilities75,179 68,922 
Accounts payable623,565 545,978 
Accrued interest274,022 251,974 
Accrued expenses and other liabilities858,936 887,575 
Derivative financial instruments242,648 127,236 
Customer deposits3,774,499 3,160,867 
Total current liabilities9,793,994 7,285,683 
Long-term debt19,384,226 18,847,209 
Long-term operating lease liabilities542,576 534,726 
Other long-term liabilities537,970 505,181 
Total liabilities30,258,766 27,172,799 
Shareholders’ equity  
Preferred stock ($0.01 par value; 20,000,000 shares authorized; none outstanding)
  
Common stock ($0.01 par value; 500,000,000 shares authorized; 283,198,625 and 282,703,246 shares issued, September 30, 2022 and December 31, 2021, respectively)
2,832 2,827 
Paid-in capital7,270,521 7,557,297 
(Accumulated deficit) retained earnings(1,207,223)302,276 
Accumulated other comprehensive loss(792,477)(710,885)
Treasury stock (28,018,385 and 27,882,987 common shares at cost, September 30, 2022 and December 31, 2021, respectively)
(2,068,229)(2,065,959)
Total shareholders’ equity3,205,424 5,085,556 
Total liabilities and shareholders’ equity$33,464,190 $32,258,355 

The accompanying notes are an integral part of these consolidated financial statements
3


ROYAL CARIBBEAN CRUISES LTD.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited, in thousands)
Nine Months Ended September 30,
 20222021
Operating Activities  
Net Loss$(1,655,756)$(3,903,531)
Adjustments:  
Depreciation and amortization1,046,094 959,512 
Impairment and credit losses (recoveries)(584)39,934 
Net deferred income tax benefit(14,345)(31,395)
Loss (gain) on derivative instruments not designated as hedges175,686 (11,560)
Share-based compensation expense24,285 55,435 
Equity investment (income) loss(29,759)137,044 
Amortization of debt issuance costs118,307 94,511 
Amortization of debt discounts and premiums11,650 93,517 
Loss on extinguishment of debt16,449 138,759 
Changes in operating assets and liabilities:  
Increase in trade and other receivables, net(173,555)(225,535)
Increase in inventories(86,962)(26,711)
Increase in prepaid expenses and other assets(108,429)(123,935)
Increase in accounts payable79,249 107,215 
Increase (decrease) in accrued interest22,053 (3,685)
Decrease in accrued expenses and other liabilities(18,973)(5,911)
Increase in customer deposits613,632 1,031,930 
Other, net(113,783)1,637 
Net cash used in operating activities(94,741)(1,672,769)
Investing Activities  
Purchases of property and equipment(2,543,266)(1,654,271)
Cash received on settlement of derivative financial instruments42,958 27,497 
Cash paid on settlement of derivative financial instruments(389,387)(54,916)
Investments in and loans to unconsolidated affiliates(614)(70,084)
Cash received on loans to unconsolidated affiliates14,030 25,647 
Proceeds from the sale of property and equipment and other assets66 175,439 
Other, net5,262 (9,546)
Net cash used in investing activities(2,870,951)(1,560,234)
The accompanying notes are an integral part of these consolidated financial statements
4


ROYAL CARIBBEAN CRUISES LTD.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited, in thousands)
Nine Months Ended September 30,
 20222021
Financing Activities  
Debt proceeds7,207,566 4,144,077 
Debt issuance costs(222,787)(159,147)
Repayments of debt(5,135,323)(2,212,510)
Premium on repayment of debt (135,372)
Repayments of commercial paper notes (414,570)
Proceeds from common stock issuances 1,621,860 
Other, net(16,556)(5,779)
Net cash provided by financing activities1,832,900 2,838,559 
Effect of exchange rate changes on cash and cash equivalents(2,765)(704)
Net decrease in cash and cash equivalents (1,135,557)(395,148)
Cash and cash equivalents at beginning of period 2,701,770 3,684,474 
Cash and cash equivalents at end of period $1,566,213 $3,289,326 
Supplemental Disclosure  
Cash paid during the period for:  
Interest, net of amount capitalized$752,623 $630,740 
Non-cash Investing Activities  
Notes receivable issued upon sale of property and equipment and other assets$ $16,000 
Purchase of property and equipment included in accounts payable and accrued expenses and other liabilities$26,026 $22,925 
Acquisition of property and equipment from assumed debt$275,000 $ 
Non-cash Financing Activity
Debt related to acquisition of property and equipment$275,000 $ 

The accompanying notes are an integral part of these consolidated financial statements
5


ROYAL CARIBBEAN CRUISES LTD.
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
(unaudited; in thousands)
Common StockPaid-in CapitalAccumulated DeficitAccumulated Other Comprehensive LossTreasury StockTotal Shareholders' Equity
Balance at July 1, 2022$2,831 $7,254,939 $(1,240,191)$(551,252)$(2,068,229)$3,398,098 
Activity related to employee stock plans1 15,582 — — — 15,583 
Changes related to cash flow derivative hedges— — — (259,949)— (259,949)
Change in defined benefit plans— — — 7,226 — 7,226 
Foreign currency translation adjustments— — — 11,498 — 11,498 
Net Income— — 32,968 — — 32,968 
Balance at September 30, 2022$2,832 $7,270,521 $(1,207,223)$(792,477)$(2,068,229)$3,205,424 


Common StockPaid-in CapitalRetained Earnings (Accumulated Deficit)Accumulated Other Comprehensive LossTreasury StockTotal Shareholders' Equity
Balance at January 1, 2022$2,827 $7,557,297 $302,276 $(710,885)$(2,065,959)$5,085,556 
Activity related to employee stock plans5 20,864 37 — — 20,906 
Cumulative effect of adoption of Accounting Standards Update 2020-06— (307,640)146,220 — — (161,420)
Changes related to cash flow derivative hedges— — — (148,541)— (148,541)
Change in defined benefit plans— — — 34,991 — 34,991 
Foreign currency translation adjustments— — — 31,958 — 31,958 
Purchase of treasury stock— — — — (2,270)(2,270)
Net Loss— — (1,655,756)— — (1,655,756)
Balance at September 30, 2022$2,832 $7,270,521 $(1,207,223)$(792,477)$(2,068,229)$3,205,424 















The accompanying notes are an integral part of these consolidated financial statements
6


ROYAL CARIBBEAN CRUISES LTD.
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
(unaudited; in thousands)
Common StockPaid-in CapitalRetained EarningsAccumulated Other Comprehensive LossTreasury StockTotal Shareholders' Equity
Balance at July 1, 2021$2,826 $7,527,305 $3,083,798 $(663,955)$(2,065,959)$7,884,015 
Activity related to employee stock plans1 20,045 — — — 20,046 
Common stock issuance— (140)— — — (140)
Changes related to cash flow derivative hedges— — — (13,264)— (13,264)
Change in defined benefit plans— — — (3,627)— (3,627)
Foreign currency translation adjustments— — — 5,022 — 5,022 
Net Loss attributable to Royal Caribbean Cruises Ltd.— — (1,424,554)— — (1,424,554)
Balance at September 30, 2021$2,827 $7,547,210 $1,659,244 $(675,824)$(2,065,959)$6,467,498 

Common StockPaid-in CapitalRetained EarningsAccumulated Other Comprehensive LossTreasury StockTotal Shareholders' Equity
Balance at January 1, 2021$2,652 $5,998,574 $5,562,775 $(739,341)$(2,063,991)$8,760,669 
Activity related to employee stock plans5 52,799 — — — 52,804 
Common stock issuance170 1,495,837 — — — 1,496,007 
Changes related to cash flow derivative hedges— — — 48,514 — 48,514 
Change in defined benefit plans— — — 3,748 — 3,748 
Foreign currency translation adjustments— — — 11,255 — 11,255 
Purchase of treasury stock— — — — (1,968)(1,968)
Net Loss attributable to Royal Caribbean Cruises Ltd.— — (3,903,531)— — (3,903,531)
Balance at September 30, 2021$2,827 $7,547,210 $1,659,244 $(675,824)$(2,065,959)$6,467,498 


The accompanying notes are an integral part of these consolidated financial statements
7



ROYAL CARIBBEAN CRUISES LTD.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)
As used in this Quarterly Report on Form 10-Q, the terms “Royal Caribbean,” "Royal Caribbean Group," the “Company,” “we,” “our” and “us” refer to Royal Caribbean Cruises Ltd. and, depending on the context, Royal Caribbean Cruises Ltd.’s consolidated subsidiaries and/or affiliates. The terms “Royal Caribbean International,” “Celebrity Cruises,” and "Silversea Cruises" refer to our wholly owned global cruise brands. Throughout this Quarterly Report on Form 10-Q, we also refer to our partner brands in which we hold an ownership interest, including “TUI Cruises” and "Hapag-Lloyd Cruises." However, because these partner brands are unconsolidated investments, our operating results and other disclosures herein do not include these brands unless otherwise specified. In accordance with cruise vacation industry practice, the term “berths” is determined based on double occupancy per cabin even though many cabins can accommodate three or more passengers. This Quarterly Report on Form 10-Q should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2021.
This Quarterly Report on Form 10-Q also includes trademarks, trade names and service marks of other companies. Use or display by us of other parties’ trademarks, trade names or service marks is not intended to and does not imply a relationship with, or endorsement or sponsorship of us by, these other parties other than as described herein.
Note 1. General
Description of Business 
We are a global cruise company. We own and operate three global cruise brands: Royal Caribbean International, Celebrity Cruises and Silversea Cruises (collectively, our "Global Brands"). We also own a 50% joint venture interest in TUI Cruises GmbH ("TUIC"), which operates the German brands TUI Cruises and Hapag-Lloyd Cruises (collectively, our "Partner Brands"). We account for our investments in our Partner Brands under the equity method of accounting. Together, our Global Brands and our Partner Brands have a combined fleet of 64 ships as of September 30, 2022. Our ships offer a selection of worldwide itineraries that call on more than 1,000 destinations on all seven continents.
Management's Plan and Liquidity
During 2021, we restarted our global cruise operations in a phased manner, following our voluntary suspension of global cruise operations that commenced in March of 2020 in response to the COVID-19 pandemic. Since then, we have steadily increased the number of ships that have returned to service, with our full fleet in service by June 2022. Effective July 18, 2022, the U.S. Centers for Disease Control and Prevention ended its COVID-19 Program for Cruise Ships, which has allowed us to modify our health and safety protocols to more closely align with the broader travel industry. We announced the easing of testing and vaccination protocols for most itineraries on August 23, 2022.
Since the start of the pandemic, we have implemented a number of proactive measures to mitigate the financial and operational impacts of COVID-19 and to manage our liquidity. As part of our liquidity management, we rely on estimates of our future liquidity requirements, which include numerous assumptions that are subject to various risks and uncertainties. The principal assumptions used to estimate our future liquidity requirements consist of:
our continued cruise operations and expected timing of cash collections for cruise bookings;
an expected continued moderate increase in revenue per available passenger cruise day;
an expected increase in occupancy levels over time until we reach historical occupancy levels; and
inflationary increases to our operating costs, mostly impacting the expected cost of fuel and food.
As of September 30, 2022, we had liquidity of $3.1 billion, including $0.8 billion of undrawn revolving credit facility capacity, $1.6 billion in cash and cash equivalents, and a $0.7 billion commitment for a 364-day term loan facility available to draw on at any time on or prior to August 11, 2023. Our revolving credit facilities were utilized through a combination of amounts drawn and letters of credit issued under the facilities as of September 30, 2022.
During the nine months ended September 30, 2022, we entered into various transactions to refinance $6.9 billion of 2022 and 2023 debt maturities. Refer to Note 7. Debt for further information regarding these transactions.
Based on our refinancing actions as well as our present financial condition and the aforementioned assumptions on liquidity, we believe that we have sufficient financial resources to fund our obligations for at least the next twelve months from the issuance of these financial statements. Additionally, we will continue to pursue various opportunities to raise additional
8


capital to fund obligations associated with future debt maturities and/or to extend the maturity dates associated with our existing indebtedness or facilities. Actions to raise capital may include issuances of debt, convertible debt or equity in private or public transactions or entering into new or extended credit facilities.
As of September 30, 2022, we were in compliance with our financial covenants and we estimate we will be in compliance for the next twelve months. If the Company is unable to comply with the applicable financial covenants, including maintaining the applicable minimum liquidity requirement, it could have a significant adverse effect on the Company’s business, financial condition and operating results.
Basis for Preparation of Consolidated Financial Statements
The unaudited consolidated financial statements are presented pursuant to the rules and regulations of the Securities and Exchange Commission. In our opinion, these statements include all adjustments necessary for a fair statement of the results of the interim periods reported herein. Adjustments consist only of normal recurring items, except for any items discussed in the notes below. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted as permitted by such Securities and Exchange Commission rules and regulations. Estimates are required for the preparation of financial statements in accordance with these principles. Actual results could differ from these estimates. Refer to Note 2. Summary of Significant Accounting Policies in this Quarterly Report on Form 10-Q and in our Annual Report on Form 10-K for the year ended December 31, 2021 for a discussion of our significant accounting policies.
All significant intercompany accounts and transactions are eliminated in consolidation. We consolidate entities over which we have control, usually evidenced by a direct ownership interest of greater than 50%, and variable interest entities where we are determined to be the primary beneficiary. Refer to Note 6. Other Assets for further information regarding our variable interest entities. For affiliates we do not control but over which we have significant influence on financial and operating policies, usually evidenced by a direct ownership interest from 20% to 50%, the investment is accounted for using the equity method.
Effective March 19, 2021, we sold our wholly-owned brand, Azamara Cruises ("Azamara"), including its three-ship fleet and associated intellectual property, to Sycamore Partners for $201 million, before closing adjustments. The March 2021 sale of Azamara did not represent a strategic shift that will have a major effect on our operations and financial results, as we continue to provide similar itineraries to and source passengers from the markets served by the Azamara business. Therefore, the sale of Azamara did not meet the criteria for discontinued operations reporting. Effective March 19, 2021, we no longer consolidate Azamara's balance sheet nor recognize its results of operations in our consolidated financial statements. We recognized an immaterial gain on the sale during the quarter ended March 31, 2021 and have agreed to provide certain transition services to Azamara for a period of time for a fee.
Prior to October 1, 2021, we consolidated the operating results of Silversea Cruises on a three-month reporting lag to allow for more timely preparation of our consolidated financial statements. Effective October 1, 2021, we eliminated the three- month reporting lag to reflect Silversea Cruises' financial position, results of operations and cash flows concurrently and consistently with the fiscal calendar of the Company ("elimination of the Silversea reporting lag"). The elimination of the Silversea reporting lag represents a change in accounting principle, which we believe to be preferable, because it provides more current information to the users of our financial statements. A change in accounting principle requires retrospective application, if material. The impact of the elimination of the reporting lag was immaterial to prior periods and was immaterial for our fiscal year ended December 31, 2021. As a result, we have accounted for this change in accounting principle in our consolidated results for the quarter and year ended December 31, 2021. Accordingly, the results of Silversea Cruises from July 1, 2022, through September 30, 2022 and from January 1, 2022 through September 30, 2022 are included in our consolidated statement of comprehensive loss for the quarter ended and nine months ended September 30, 2022, respectively. The results of Silversea Cruises from April 1, 2021 through June 30, 2021 and from October 1, 2020 through June 30, 2021 are included in our consolidated statement of comprehensive loss for the quarter ended and nine months ended September 30, 2021, respectively.
Note 2. Summary of Significant Accounting Policies
Adoption of Accounting Pronouncements

In August 2020, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update (“ASU") No. 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging - Contracts in Entity’s Own Equity (Subtopic 815-40) ("ASU 2020-06"), which simplifies the accounting for convertible instruments. The guidance removes certain accounting models which separate the embedded conversion features from the host contract for convertible instruments, requiring bifurcation only if the convertible debt feature qualifies as a derivative under Accounting Standards Codification ("ASC") 815, Derivatives and Hedging ("ASC 815") or for convertible debt issued at a substantial
9


premium. The ASU removes certain settlement conditions required for equity contracts to qualify for the derivative scope exception, permitting more contracts to qualify for it. In addition, the guidance eliminates the treasury stock method to calculate diluted earnings per share for convertible instruments and requires the use of the if-converted method. The guidance also decreases interest expense due to the reversal of the remaining non-cash convertible debt discount. On January 1, 2022, we adopted this pronouncement using the modified retrospective approach to recognize our convertible notes as single liability instruments given they do not qualify as derivatives under ASC 815, nor were they issued at a substantial premium. Accordingly, as of January 1, 2022, we recorded a $161.4 million increase to debt, primarily as a result of the reversal of the remaining non-cash convertible debt discount, as well as a reduction of $307.6 million to additional paid in capital, which resulted in a cumulative effect on adoption of approximately $146.2 million to increase retained earnings.
In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848), which provides optional expedients and exceptions to the current guidance on contract modifications and hedging relationships to ease the financial reporting burdens of the expected market transition from LIBOR and other interbank offered rates to alternative reference rates. Subsequently, in January 2021, the FASB issued ASU No. 2021-01, Reference Rate Reform (Topic 848), which presents amendments to clarify that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. The guidance in both ASUs was effective upon issuance and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2022. We adopted the new guidance during the quarter ended September 30, 2022. The impact to our consolidated financial statements, if any, will be dependent on the timing and terms of any future contract modifications related to a change in reference rate.

Recent Accounting Pronouncements
In September 2022, the FASB issued ASU No. 2022-04, Liabilities-Supplier Finance Programs (Subtopic 405-50) - Disclosure of Supplier Finance Program Obligations. This ASU requires that a buyer in a supplier finance program disclose sufficient information about the program to allow a user of financial statements to understand the program’s nature, activity during the period, changes from period to period, and potential magnitude. This ASU is expected to improve financial reporting by requiring new disclosures about the programs, thereby allowing financial statement users to better consider the effect of the programs on an entity’s working capital, liquidity, and cash flows. This ASU is effective for fiscal years beginning after December 15, 2022, except for the amendment on roll forward information which is effective for fiscal years beginning after December 15, 2023. We are currently evaluating the impact of the new guidance on the disclosures to our consolidated financial statements.

Note 3. Revenues
Revenue Recognition
Revenues are measured based on consideration specified in our contracts with customers and are recognized as the related performance obligations are satisfied.
The majority of our revenues are derived from passenger cruise contracts which are reported within Passenger ticket revenues in our consolidated statements of comprehensive loss. Our performance obligation under these contracts is to provide a cruise vacation in exchange for the ticket price. We satisfy this performance obligation and recognize revenue over the duration of each cruise, which generally ranges from two to 24 nights.
Passenger ticket revenues include charges to our guests for port costs that vary with passenger head counts. These type of port costs, along with port costs that do not vary by passenger head counts, are included in our cruise operating expenses. The amounts of port costs charged to our guests and included within Passenger ticket revenues on a gross basis were $210.2 million and $29.3 million for the quarters ended September 30, 2022 and 2021, respectively, and $446.3 million and $33.9 million for the nine months ended September 30, 2022 and 2021, respectively.
Our total revenues also include Onboard and other revenues, which consist primarily of revenues from the sale of goods and services onboard our ships that are not included in passenger ticket prices. We receive payment before or concurrently with the transfer of these goods and services to cruise passengers and recognize revenue over the duration of the related cruise.
As a practical expedient, we have omitted disclosures on our remaining performance obligations as the duration of our contracts with customers is less than a year.
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Disaggregated Revenues
The following table disaggregates our total revenues by geographic regions where we provide cruise itineraries (in thousands):
Quarter Ended September 30,Nine Months Ended September 30,
2022202120222021
Revenues by itinerary
North America (1)$1,638,226 $279,339 $3,871,356 $290,971 
Asia/Pacific46,137 22,651 125,986 71,854 
Europe1,002,936 111,054 1,531,495 114,819 
Other regions(2)169,200 8,561 408,222 11,270 
Total revenues by itinerary2,856,499 421,605 5,937,059 488,914 
Other revenues(3)136,576