Louis Cyprus renews charter for Thomson Spirit

Louis plc announced that it has renewed the charter for the Thomson Spirit to Thomson Cruises for a further three years from 2009 to 2011 and with an improved contract for a longer per-day period and a higher charter cost, resulting in increased revenues.

This is one of four cruise ships presently under charter with the leading British tour operator which is a subsidiary of TUI Travel Plc, owned by TUI AG. Louis bought the ship from Carnival Cruises in 2003 and since then has chartered it to Thomson.

Last year, the M/V Calypso was chartered to Thomson Cruises for a three year period commencing in 2007, conducting cruises out of the ports of Limassol and Salonica. The two other ships are the Emerald and the Thomson Destiny.

Although details of the cost of the latest agreement were not disclosed in the announcement sent to the Cyrus Stock Exchange Friday, analysts suggest that the new charter deal will significantly boost profits as chartering represents about 33% of the whole Louis Plc income, with cruising sales accounting to another 33% of the company’s business.

In 2006 profits reached EUR 21,7 mln, and for 2007 that figure is projected to rise to EUR 22,8 mln. Louis Pcl, the cruise and hotel management group with extensive operations in Cyprus, Greece and across the Mediterranean saw its 2006 revenue rise 16% YoY to EUR 316.2 mln, while profits also surged following the sale of a stake in the CTDC in February. Revenue from cruise operations rose to EUR 200.5 mln in 2006, while LUI’s hotel operations rose to EUR 115.5 mln.

First quarter 2007 results posted a strong 39% YoY increase in revenue to EUR 28.9 mln, with a 61% YoY increase in revenue from cruise operations and a 6.5% YoY increase in revenue from the hotel operations.