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September 2, 2008 4:14 PM

Hurricanes Eating Into Industry Profits

By
Barbara Hernandez
(MoneyWatch)  Carnival ElationDelta, Southwest Airlines, Air Tran, and Continental canceled 137 flights in the Gulf Region Monday, with industry insiders saying the hurricanes may have dashed all hopes of Labor Day Weekend profits. Amtrak also canceled trains around Atlanta, San Antonio and New Orleans because of the storms. It's also using Atlanta as its southern terminus instead of New Orleans until Sept. 4.

The two hurricanes changed travel plans for those hoping to luxuriate on Caribbean cruises this week. Three cruise lines, Carnival, Norwegian Cruise Line and Royal Caribbean International changed schedules to avoid the storms. Carnival Cruises has nine ships affected, the Norwegian Spirit will be diverted to Bermuda rather than the Bahamas, and Royal Caribbean also made some changes to itineraries.

Starwood Hotels & Resorts, which operates Westin, St. Regis and Sheraton brands, also issued a release saying that it would be closing five hotels around New Orleans until Sept. 4.

© 2008 CBS Interactive Inc.. All Rights Reserved.
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