Dear valued Partners,
Today, the undersigned have decided on crucial measures that aim to assure our survival and continued operations after the COVID-19 world-wide health crisis. One of the measures, is the dialogue with our partners in this business, from suppliers to insurers to tour operators. With this letter, we convey our decisions regarding our cancellation policies during this crisis.
As you know, our cancellation policies clearly state that there are no refunds or rescheduling for trip cancellation due to force majeure. However, due to the unprecedented nature of this world health crisis, we are willing to make an exception:
We will allow you to reschedule your reservations, but not for free. There will be fees involved. Each operator will individually communicate their specific terms & conditions.
Hereunder, we provide some of our thoughts and arguments for above decision, so you understand our position better:
We expect our boats will be sitting empty for at least 6 months (or more), and we cannot afford that 40% (or more) of our trips in 2021 will be filled with re-scheduled guests who do not generate income in 2021.
We will not be able to carry this the enormous cost burden for rescheduling of 40% (or more) of our guests in 2020.
Our fixed costs for salaries, marketing, boat maintenance, yearly mandatory dry docking, fuel, and insurance continue to accrue, creating huge losses expected by end of this year.
All of us have dedicated and loyal crew on our ships. They and their families depend on us, since unemployment benefits do not exist in Indonesia. Therefore, we continue to pay their salaries or otherwise support them financially.
If bookings do not resume in the summer or second half of 2020, many of us will be forced to shut down their business.
To date, there is no indication that the Indonesian Government would allocate special funds to help our small businesses to get through this crisis. While airlines and large travel agents have the possibility of receiving funds to keep their head above the water, our small fleet of Indonesian liveaboards will be left on our own to weather the storm.
We all are forced to deal with this new situation. There is no easy way out. This crisis has and will continue to impact our businesses and our lives. Getting through this as reliable working partners, will only be possible, if both sides are considerate and fair.
Therefore, we have reached out to you and proposed the above rescheduling compromise. All of you knew and accepted our cancellation policies before the crisis. Now, we hope that you understand our decisions and continue working with us as we make plans for a future without Corona virus.
We sincerely hope you appreciate this offer and find it fair in regards to the circumstances.. Be safe and stay healthy.