P&O PRINCESS Cruises is writing to shareholders
explaining why the board is rejecting the takeover bid from Carnival.
The board is still recommending the company proceeds with a
joint venture with Royal Caribbean.
Commenting on the letter, P&O Princess Cruises chief
executive officer Peter Ratcliffe said: “There has been some misunderstanding
on certain aspects of the joint venture with Royal Caribbean. Within the letter
we confirm that we may unilaterally terminate the joint venture in January 2003
at no cost as long as no change of control of P&O Princess has been
completed before the termination date.”