NEW YORK -- Tour operators that package Regal China Cruises'
Yangtze River trips were thrown into uncertainty when the Chinese
owner of Regal China's three ships took possession of the vessels.
Some of Regal China's tour operator partners received a letter
on Regal China letterhead in mid-October notifying them that the
ships -- Princess Jeannie, Princess Elaine and Princess Sheena --
were now under the control of Nantong Liuhui International Shipping
Co. "operating as Regal China Cruises."
The letter was from Nantong Liuhui, although the trademark Regal
China Cruises is registered in the U.S. by David Yiu, owner of the
New York-based company.
Regal China's director of marketing and sales, Jeanne Dalton,
called the move "very abrupt." She said Regal China was in the
midst of negotiations with Nantong Liuhui about next year's
arrangements when operators received the letter. Dalton said Regal
China was not copied on the letter.
The split came about over money the American company allegedly
owed the ship owners.
Regal China said it is standing by to help any of its tour
operator partners through the transition.
The letter said Nantong Liuhui would have final say on bookings
and confirmations and that payments must be made to Nantong Liuhui,
referred to in the letter as "RCC Wuhan." The letter referred to
Yiu's company as "RCC New York."
Sources said that Nantong Liuhui has been put on notice to stop
using the trademark Regal China Cruises.
Operators were told they would be required to show proof of
their payments to RCC New York in order to re-confirm reservations
and that Nantong Liuhui is "not responsible for any business
between you and RCC New York or any promises they give to you."
"It's an unexpected, messy situation with very little
information," said Johnson Yip, president of Pacific Protour of
Park Ridge, N.J. "It's risky for me to advertise next year's
program."
The change came when most operators had completed their
brochures.
Yip said he hoped to meet the new operators and find out more
when he attends the China International Travel Mart Nov. 14 to
17.
"One of my objectives will be to get in touch with the new
company and find out what they are doing and how to continue," he
said.
John Galvin, chief financial officer of Collette Tours, said
Collette also was planning to meet with Nantong Liuhui at CITM.
"We've had discussions with them," he said. "We're going to go
out to meet with them next week. We're very confident that no
passengers will be affected."
A spokesman for Pacific Delight Tours said company planners had
gone to see the operation under the new management, had initiated a
dialogue with the owners and were satisfied that the level of
quality would be maintained.
"We'll see how the next few voyages go and see if the people are
happy," he said. "If we start seeing issues, we're going to address
them."