2017 Annual Report for Norwegian Cruiseline Holdings - 24

Our indebtedness, and the agreements governing our indebtedness, may limit our flexibility in operating our business.
The agreements governing our indebtedness contain, and any instruments governing future indebtedness of ours may contain, covenants that impose
significant operating and financial restrictions on us, including restrictions or prohibitions on our ability to, among other things:
x

incur or guarantee additional debt or issue certain preference shares;

x

pay dividends on or make distributions in respect of our share capital or make other restricted payments, including the ability of NCLH's
subsidiaries, including NCLC, to pay dividends or make distributions to NCLH;

x

repurchase or redeem capital stock or subordinated indebtedness;

x

make certain investments or acquisitions;

x

transfer, sell or create liens on certain assets;

x

consolidate or merge with, or sell or otherwise dispose of all or substantially all of our assets to, other companies;

x

enter into certain transactions with our affiliates;

x

pledge the capital stock of any guarantors of our indebtedness; and

x

designate our subsidiaries as unrestricted subsidiaries.

As a result of these covenants, we are limited in the manner in which we conduct our business, and we may be unable to engage in favorable business
activities or finance future operations or capital needs. In addition, a substantial portion of our cash flow from operations is dedicated to the repayment of
our indebtedness, which may limit our available funds for other business functions and strategic opportunities and may make us more vulnerable to
downturns in our business, the economy and the industry in which we operate. We may not be able to generate sufficient cash to service all of our
indebtedness, and may be forced to take other actions to satisfy our obligations under our indebtedness, including refinancing our indebtedness, which may
not be successful. Any refinancing of our debt could be at higher interest rates and may require us to comply with more onerous covenants, which could
further restrict our business operations.
We have pledged a significant portion of our assets as collateral under our existing debt agreements. If any of the holders of our indebtedness
accelerate the repayment of such indebtedness, there can be no assurance that we will have sufficient assets to repay our indebtedness.
Under our existing debt agreements, we are required to satisfy and maintain specified financial ratios. Our ability to meet those financial ratios can be
affected by events beyond our control, and there can be no assurance that we will meet those ratios. A failure to comply with the covenants contained in
our existing debt agreements could result in an event of default under such agreements, which, if not cured or waived, could have a material adverse effect
on our business, financial condition and results of operations. In the event of any default under our existing debt agreements, the holders of our
indebtedness thereunder:
x

will not be required to lend any additional amounts to us, if applicable;

x

could elect to declare all indebtedness outstanding, together with accrued and unpaid interest and fees, to be due and payable and terminate all
commitments to extend further credit, if applicable; and/or

x

could require us to apply all of our available cash to repay such indebtedness.

Such actions by the holders of our indebtedness could cause cross defaults under our other indebtedness. If we were unable to repay those amounts, the
holders of our secured indebtedness could proceed against the collateral granted to them to secure that indebtedness. If the indebtedness under our existing
debt agreements were to be accelerated, there can be no assurance that our assets would be sufficient to repay such indebtedness in full.

24



Table of Contents for the Digital Edition of 2017 Annual Report for Norwegian Cruiseline Holdings

https://www.nxtbook.com/nxtbooks/ncl/deckbydeck_2024_aunz
https://www.nxtbook.com/nxtbooks/ncl/deckbydeck_2024_asia
https://www.nxtbook.com/nxtbooks/ncl/deckbydeck_2024
https://www.nxtbook.com/nxtbooks/ncl/deckbydeck_2023q4
https://www.nxtbook.com/nxtbooks/ncl/mea_itineraryguide_2024-2025
https://www.nxtbook.com/nxtbooks/ncl/mea_itineraryguide_24-25_hebrew
https://www.nxtbook.com/nxtbooks/ncl/wwcg_highlights_2024-2025_me
https://www.nxtbook.com/nxtbooks/ncl/europe_cruising_guide_asia_2325
https://www.nxtbook.com/nxtbooks/ncl/europe_cruising_guide_aunz_2325
https://www.nxtbook.com/nxtbooks/ncl/hawaiicruisingguide_2023-2025_asia_english
https://www.nxtbook.com/nxtbooks/ncl/mea_itineraryguide_24-25_arabic
https://www.nxtbook.com/nxtbooks/ncl/mea_itineraryguide_23-24_hebrew
https://www.nxtbook.com/nxtbooks/ncl/wwcg_highlights_2023-2024_en
https://www.nxtbook.com/nxtbooks/ncl/wwcg_22-24_de
https://www.nxtbook.com/nxtbooks/ncl/wwcg_22-24_es
https://www.nxtbook.com/nxtbooks/ncl/world_cruising_guide_jpn_22-24
https://www.nxtbook.com/nxtbooks/ncl/guiaundialdecruceros_2324_latam
https://www.nxtbook.com/nxtbooks/ncl/hawaii_cruising_guide_jpn_23-25
https://www.nxtbook.com/nxtbooks/ncl/aunz_wwcg_22-24
https://www.nxtbook.com/nxtbooks/ncl/alaska_cruisetour_apac
https://www.nxtbook.com/nxtbooks/ncl/cruisewithncl
https://www.nxtbook.com/nxtbooks/ncl/alaska_cruising_guide_asia_2324
https://www.nxtbook.com/nxtbooks/ncl/alaska_destination_guide_aunz_2324
https://www.nxtbook.com/nxtbooks/ncl/hawaii_destination_guide_japan_22
https://www.nxtbook.com/nxtbooks/ncl/hawaii_destination_guide_aunz_2325
https://www.nxtbook.com/nxtbooks/ncl/spirit_mini_aunz
https://www.nxtbook.com/nxtbooks/ncl/spin_the_globe_aunz
https://www.nxtbook.com/nxtbooks/ncl/uk_wwcg_2224
https://www.nxtbook.com/nxtbooks/ncl/wwcg_2224_fl_ce_pm
https://www.nxtbook.com/nxtbooks/ncl/wcg_2224_asia
https://www.nxtbook.com/nxtbooks/ncl/mea_itineraryguide_22-24_arabic
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2022-2024_latam
https://www.nxtbook.com/nxtbooks/ncl/hawaii_destination_guide_aunz
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_ce_2022-2024
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_es_2022-2024
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_de_2022-2024
https://www.nxtbook.com/nxtbooks/ncl/aunz_cruisetheworld
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2022-2024
https://www.nxtbook.com/nxtbooks/ncl/mea_itineraryguide_22-24_hebrew
https://www.nxtbook.com/nxtbooks/ncl/mea_itineraryguide_22-24
https://www.nxtbook.com/nxtbooks/ncl/partners_first_handbook
https://www.nxtbook.com/nxtbooks/ncl/discover_hawaii_southpacific_22-23_japan
https://www.nxtbook.com/nxtbooks/ncl/discover_europe_22-23_asia
https://www.nxtbook.com/nxtbooks/ncl/charters_meetings_incentives_2021_aunz
https://www.nxtbook.com/nxtbooks/ncl/charters_meetings_incentives_hawaii_aunz
https://www.nxtbook.com/nxtbooks/ncl/europe_destination_guide_aunz_22-23
https://www.nxtbook.com/nxtbooks/ncl/CRUCEROSPORTODOELMUNDO2022_2023
https://www.nxtbook.com/nxtbooks/ncl/charters_meetings_incentives_2021_german
https://www.nxtbook.com/nxtbooks/ncl/kreuzfahrten_weltweit_2223
https://www.nxtbook.com/nxtbooks/ncl/discover_alaska_2223
https://www.nxtbook.com/nxtbooks/ncl/charters_meetings_incentives_2021
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2022-2023_072021
https://www.nxtbook.com/nxtbooks/ncl/cruise_the_world
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2021-2023_japanese_lr
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2021-2023_asia
https://www.nxtbook.com/nxtbooks/ncl/mea_cruise_guide
https://www.nxtbook.com/nxtbooks/ncl/cruceros_2021_2023
https://www.nxtbook.com/nxtbooks/ncl/deckbydeckmea_2021
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2021-2023_latam
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2021-2023_uk
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2021-2023_japanese
https://www.nxtbook.com/nxtbooks/ncl/deckbydeckasia_2021
https://www.nxtbook.com/nxtbooks/ncl/deckbydeckaunz_2021
https://www.nxtbook.com/nxtbooks/ncl/europe_destination_guide_aunz
https://www.nxtbook.com/nxtbooks/ncl/alaska_destination_guide_aunz
https://www.nxtbook.com/nxtbooks/ncl/europe_destination_guide_asia
https://www.nxtbook.com/nxtbooks/ncl/alaska_destination_guide_asia
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2021-2023_eu
https://www.nxtbook.com/nxtbooks/ncl/kreuzfahrten_weltweit_2123
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2021-2023
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2021-2022_aunz
https://www.nxtbook.com/nxtbooks/ncl/hebrew_israeli_fleetbrochure_20212022
https://www.nxtbook.com/nxtbooks/ncl/spirit_mini_brochure
https://www.nxtbook.com/nxtbooks/ncl/kreuzfahrten_weltweit_2122
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_20212022_mea
https://www.nxtbook.com/nxtbooks/ncl/fleetbrochure_20212022
https://www.nxtbook.com/nxtbooks/ncl/deckbydeck_20202021
https://www.nxtbook.com/nxtbooks/ncl/europecruisingguide_2021chinese
https://www.nxtbook.com/nxtbooks/ncl/hawaiicruisingguide_traditional_chinese_2020-2022
https://www.nxtbook.com/nxtbooks/ncl/hawaiicruisingguide_japanese_2020-2022
https://www.nxtbook.com/nxtbooks/ncl/mea_arabic_20212020
https://www.nxtbook.com/nxtbooks/ncl/hawaiicruisingguide_2020-2022_apac
https://www.nxtbook.com/nxtbooks/ncl/norwegian_encore_us2019
https://www.nxtbook.com/nxtbooks/ncl/norwegian_encore_mea2019
https://www.nxtbook.com/nxtbooks/ncl/norwegian_encore_apac2019
https://www.nxtbook.com/nxtbooks/ncl/norwegian_encore_latam2019
https://www.nxtbook.com/nxtbooks/ncl/norwegian_encore_de2019
https://www.nxtbook.com/nxtbooks/ncl/itineraryguide_20202021
https://www.nxtbook.com/nxtbooks/ncl/europecruisingguide_2021japanese
https://www.nxtbook.com/nxtbooks/ncl/japanesefleetbrochure_20192022
https://www.nxtbook.com/nxtbooks/ncl/italianfleetbrochure_20192021
https://www.nxtbook.com/nxtbooks/ncl/europecruisingguide2021_asia
https://www.nxtbook.com/nxtbooks/ncl/asiasouthpacificcruisingguide2019-2021
https://www.nxtbook.com/nxtbooks/ncl/europecruisingguide2021_apac
https://www.nxtbook.com/nxtbooks/ncl/asiaaunzcruisingguide_2019-2021
https://www.nxtbook.com/nxtbooks/ncl/hebrew_israeli_fleetbrochure_20192021
https://www.nxtbook.com/nxtbooks/ncl/thehaven2019_japanese
https://www.nxtbook.com/nxtbooks/ncl/meafleetbrochure_20192021
https://www.nxtbook.com/nxtbooks/ncl/alaskacruisingguide_japanese_20192021
https://www.nxtbook.com/nxtbooks/ncl/thehaven2019_asia
https://www.nxtbook.com/nxtbooks/ncl/charters_meetings_incentives_2019
https://www.nxtbook.com/nxtbooks/ncl/aunzfleetbrochure_20192021
https://www.nxtbook.com/nxtbooks/ncl/alaskacruisingguide_asia_20192021
https://www.nxtbook.com/nxtbooks/ncl/fleetsp_1921
https://www.nxtbook.com/nxtbooks/ncl/norwegian_cruisenews0619
https://www.nxtbook.com/nxtbooks/ncl/ukfleetbrochure_20192021
https://www.nxtbook.com/nxtbooks/ncl/alaskacruisingguide_aunz_20192021
https://www.nxtbook.com/nxtbooks/ncl/kreuzfahrten_weltweit_1921
https://www.nxtbook.com/nxtbooks/ncl/annualreport_2018
https://www.nxtbook.com/nxtbooks/ncl/stewardshipreport_2018
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2019-2021_eu
https://www.nxtbook.com/nxtbooks/ncl/thehaven2019_mea
https://www.nxtbook.com/nxtbooks/ncl/ncl_tradestarterpack
https://www.nxtbook.com/nxtbooks/ncl/europecruisingguide1920_mea
https://www.nxtbook.com/nxtbooks/ncl/hawaiicruisingguide_2019-2022
https://www.nxtbook.com/nxtbooks/ncl/asiaaunzcruisingguide_2019-2020
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2019-2020
https://www.nxtbook.com/nxtbooks/ncl/deckbydeck_20182019
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2019-2020sp
https://www.nxtbook.com/nxtbooks/ncl/europecruisingguide1920_aunz
https://www.nxtbook.com/nxtbooks/ncl/fleetIT_1820
https://www.nxtbook.com/nxtbooks/ncl/thehavenus_2018
https://www.nxtbook.com/nxtbooks/ncl/norwegianbliss18
https://www.nxtbook.com/nxtbooks/ncl/fleetsp_18
https://www.nxtbook.com/nxtbooks/ncl/alaskacruisingguide_2019
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2018-2020_aunz
https://www.nxtbook.com/nxtbooks/ncl/uknewitineraryleafletuk_20192020
https://www.nxtbook.com/nxtbooks/ncl/ce_dach
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2018-2020_mea
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2018-2020
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2018-2020_ce
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2018-2020_uk
https://www.nxtbook.com/nxtbooks/ncl/alaskacruisingguide_2018-2019
https://www.nxtbook.com/nxtbooks/ncl/stewardshipreport_2017
https://www.nxtbook.com/nxtbooks/ncl/annualreport_2017
https://www.nxtbook.com/nxtbooks/ncl/europecruisingguide1819_aunz
https://www.nxtbook.com/nxtbooks/ncl/charters18_latam
https://www.nxtbook.com/nxtbooks/ncl/cubabahamas1719_latam
https://www.nxtbook.com/nxtbooks/ncl/norwegianbliss_latam
https://www.nxtbook.com/nxtbooks/ncl/hawaiicruisingguide_2018-2021
https://www.nxtbook.com/nxtbooks/ncl/thehaven2018_latam
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2017-2019sp
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2018-2019
https://www.nxtbook.com/nxtbooks/ncl/norwegianjewel_201819aunzcruise
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2018-2019_aunz
https://www.nxtbook.com/nxtbooks/ncl/thehaven2018_de
https://www.nxtbook.com/nxtbooks/ncl/thehaven2018_es
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2017-2019_es
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2017-2019_it
https://www.nxtbook.com/nxtbooks/ncl/bestofalaska_asia2017
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2017-2019_fr
https://www.nxtbook.com/nxtbooks/ncl/norwegianbliss_aunz
https://www.nxtbook.com/nxtbooks/ncl/thehaven2017_aunz
https://www.nxtbook.com/nxtbooks/ncl/deckbydeckasia_2017
https://www.nxtbook.com/nxtbooks/ncl/carribbeancruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/europecruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/nedeparturescruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/asiaaunzcruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/hawaiicruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/alaskacruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/southamericacruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/pcmrtrcruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/bestofalaska2017
https://www.nxtbook.com/nxtbooks/ncl/bestofeurope2017
https://www.nxtbook.com/nxtbooks/ncl/environmentalreport_2016v2
https://www.nxtbook.com/nxtbooks/ncl/environmentalreport_2016
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2017-2019
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2017-2019_ge
https://www.nxtbook.com/nxtbooks/ncl/norwegianjewel_201718aunzcruise
https://www.nxtbook.com/nxtbooks/ncl/annualreport_2016
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruises_allinclusive_2017-2019_uk
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruises_allinclusive_2017-2019_ce
https://www.nxtbook.com/nxtbooks/ncl/bestofcaribbeanandbahamas2017
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2016-2018_jp
https://www.nxtbook.com/nxtbooks/ncl/hawaiidestination_asia2017
https://www.nxtbook.com/nxtbooks/ncl/hawaiidestination_au2017
https://www.nxtbook.com/nxtbooks/ncl/hawaiidestination_nz2017
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2016-2018
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_2016-abril2018sp
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_fall2016-spring2018
https://www.nxtbook.com/nxtbooks/ncl/worldwide_cruising_guide_201611-201804_fr
https://www.nxtbook.com/nxtbooks/ncl/worldwidecruisingguide_oct2016-apr2018
https://www.nxtbook.com/nxtbooks/ncl/worldwide_cruising_guide_201611-201804_it
https://www.nxtbook.com/nxtbooks/ncl/worldwide_cruising_guide_201611-201804_sp
https://www.nxtbook.com/nxtbooks/ncl/worldwide_cruising_guide_201611-201804_no
https://www.nxtbook.com/nxtbooks/ncl/worldwide_cruising_guide_201611-201804_ce
https://www.nxtbook.com/nxtbooks/ncl/norwegian_jewel_201609
https://www.nxtbook.com/nxtbooks/ncl/worldwide_cruising_guide_201611-201804_de
https://www.nxtbook.com/nxtbooks/ncl/worldwide_cruising_guide_201611-201804_uk
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_15-17_jp
https://www.nxtbook.com/nxtbooks/ncl/worldwide_cruising_guide_2016summer2017
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_16-17_destinations
https://www.nxtbook.com/nxtbooks/ncl/sun_no_brasil2016
https://www.nxtbook.com/nxtbooks/ncl/norwegian_jewel
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_16-17_aus
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_15-17_2edition
https://www.nxtbook.com/nxtbooks/ncl/casino_karina
https://www.nxtbook.com/nxtbooks/ncl/casino_charles
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_15-17_sp
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_15-17
https://www.nxtbook.com/nxtbooks/ncl/escape2015fall
https://www.nxtbook.com/nxtbooks/ncl/hawaii1517
https://www.nxtbook.com/nxtbooks/ncl/northeast1416
https://www.nxtbook.com/nxtbooks/ncl/caribbean1416
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_14-16_sp
https://www.nxtbook.com/nxtbooks/ncl/escape2015
https://www.nxtbook.com/nxtbooks/ncl/alaska2015
https://www.nxtbook.com/nxtbooks/ncl/deckbydeck_1415
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_14-16
https://www.nxtbook.com/nxtbooks/ncl/alaska14
https://www.nxtbook.com/nxtbooks/ncl/northeast1315
https://www.nxtbook.com/nxtbooks/ncl/hawaii1316
https://www.nxtbook.com/nxtbooks/ncl/europe1315
https://www.nxtbook.com/nxtbooks/ncl/bigships13-15
https://www.nxtbook.com/nxtbooks/ncl/deckbydeck_2013
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_13-15
https://www.nxtbook.com/nxtbooks/ncl/getaway_miami
https://www.nxtbook.com/nxtbooks/ncl/breakaway_201210
https://www.nxtbook.com/nxtbooks/ncl/hawaii
https://www.nxtbook.com/nxtbooks/ncl/cruisevacations1213-sp
https://www.nxtbook.com/nxtbooks/ncl/caribbean
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure
https://www.nxtbook.com/nxtbooks/ncl/northeastdepartures12-14
https://www.nxtbook.com/nxtbooks/ncl/alaska
https://www.nxtbook.com/nxtbooks/ncl/breakaways_chaptertwo_201205
https://www.nxtbook.com/nxtbooks/ncl/breakaways_chapterone_201205
https://www.nxtbook.com/nxtbooks/ncl/europe1214
https://www.nxtbook.com/nxtbooks/ncl/latitudes
https://www.nxtbook.com/nxtbooks/ncl/thehaven
https://www.nxtbook.com/nxtbooks/ncl/fleet_brochure_2011-13
https://www.nxtbook.com/nxtbooks/ncl/caribbean11-13
https://www.nxtbook.com/nxtbooks/ncl/cruisevacations1112-sp_2
https://www.nxtbook.com/nxtbooks/ncl/meetingsincentives
https://www.nxtbookmedia.com