S&P: Royal Caribbean outlook stable

Standard & Poor's said it changed the outlook on Royal Caribbean Cruises Ltd. to stable from negative and affirmed its BB+ corporate credit rating and other ratings on the company.

S&P said ratings for Royal Caribbean reflect its high debt leverage for the rating, the capital-intensive nature of the cruise industry, and the sensitivity of the travel and leisure sector to economic cycles.

These factors are partially offset by Royal Caribbean's solid brands, a relatively young and high-quality fleet of ships, high barriers to entry in the cruise industry, an experienced management team, and the expectation for meaningful balance sheet improvement in the next two years.

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