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I.	Summary

II.	Vision, Goals and Related Strategies

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•	Health, environment, safety, security and sustainability,

•	Guests,

•	Employees and

•	Shareholders and other stakeholders

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•	4.0% for Australia and New Zealand,

•	3.4% for North America (b),

•	2.7% for the United Kingdom (“UK”) and

•	1.9% for continental Europe (c).

(a)	2015 annual penetration rates were computed based on the historical number of cruise guests carried for at least two consecutive nights obtained from G.P. Wild (International Limited) (“G.P. Wild”), an independent cruise research company and internal estimates.

(b)	For the purpose of the penetration rate calculation, North America is comprised of the United States of America (“U.S.”) and Canada.

(c)	For the purpose of the penetration rate calculation, continental Europe includes Germany, Italy, France, Spain and Portugal.

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(a)	In accordance with cruise industry practice, passenger capacity is calculated based on the assumption of two passengers per cabin even though some cabins can accommodate three or more passengers. For contracted capacity increases, see Part I, Item1. Business. C. “Our Global Cruise Business – Ships Under Contract for Construction” below.

(b)	Global Cruise Industry amounts were obtained from internal estimates and data provided by the Cruise Line Industry Association ("CLIA"), which is a non-profit marketing and training organization formed to promote cruising.

(c)	Our estimates of future passenger capacity do not include any assumptions related to unannounced ship withdrawals and, accordingly, our estimates could indicate a higher growth in passenger capacity than will actually occur.

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(a)	The estimates of the total guests carried for 2011 through 2014 were obtained from G.P. Wild and are based upon where the guests were sourced and not the cruise brands on which they sailed.

(b)	The estimates of the total guests carried for 2015 are based on internally developed global guests’ growth rates.

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(a)	Our ship construction agreements cannot be cancelled by either party without cause, and such cancellation will subject the defaulting party to contractual liquidated damages. All of our ship construction contracts are with Fincantieri in Italy, Meyer Werft in Germany and Finland and Mitsubishi Heavy Industries in Japan.

(b)	Refer to Note 7, “Commitments” and Note 11, “Fair Value Measurements, Derivative Instruments and Hedging Activities” to our Consolidated Financial Statements in Exhibit 13 to this Form 10-K for additional ship commitment information.

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•	Accommodations,

•	Most meals, including snacks at numerous venues,

•	Access to amenities such as swimming pools, water slides, water parks, whirlpools, a health club, and sun decks,

•	Child care and supervised youth programs,

•	Entertainment, such as theatrical and comedy shows, live music and nightclubs and

•	Access to exclusive private islands and destinations.

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•	Reviewing our processes for purchasing food, beverages, hotel supplies, restaurant products and technical spares to identify synergistic opportunities and to negotiate more favorable commercial terms,

•	Combining warehousing facilities and optimizing logistics,

•	Negotiating company-wide contracts for port services and shore excursions and

•	Streamlining the use of manning agencies.

a.	General

b.	Protection and Indemnity (“P&I”) Coverages

c.	Hull and Machinery Insurance

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d.	War Risk Insurance

e.	Other Insurance

•	Leased or owned port facilities or have interests in joint ventures that operate leased or owned port facilities in Barcelona, Spain; Civitavecchia, Naples, Savona and Trieste, Italy; Juneau and Ketchikan, Alaska; Long Beach, California and Marseilles, France for the benefit of our cruise brands and

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Leased or owned port facilities that we have developed as destinations in Cozumel, Mexico; Grand Turk, Turks & Caicos Islands; Puerto Plata, Dominican Republic and Roatán, Honduras; as well as private island destinations in The Bahamas, Half Moon Cay and Princess Cays®, principally for the benefit of our North America cruise brands.  The facility in Puerto Plata, Dominican Republic, known as Amber Cove, is a new port destination strategically located in the central Caribbean cruise region and opened in October 2015.

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•	Reduce intensity of carbon dioxide equivalent ("CO2e") emissions from operations by 25% by 2020 relative to our 2005 baseline,

•	Continue to improve the quality of our emissions into the air by developing, deploying and operating exhaust gas cleaning systems ("EGCS") across our fleet,

•	Increase usage of ship-to-shore power connection capabilities,

•	Increase Advanced Wastewater Purification Systems coverage of our fleet capacity by 10 percentage points by 2020 relative to our 2014 baseline,

•	Continue to improve our shipboard operations' water use efficiency by 5% by 2020 relative to our 2010 baseline and

•	Continue to reduce waste generated by our shipboard operations by 5% by 2020 relative to our 2010 baseline.

•	Continue to build on our commitment to protect the health, safety and security of guests, employees and all others working on our behalf.

•	Continue to build a diverse and inclusive workforce and provide all employees with a positive work environment and opportunities to build a rewarding career to further drive employee engagement,

•	Further develop and implement vendor assurance procedures ensuring compliance with Carnival Corporation & plc's Business Partner Code of Conduct and Ethics and

•	Continue to work on initiatives and partnerships that support and sponsor a broad range of organizations for the benefit of the communities where we operate.

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(a)	We measure and report the ship fuel consumption rate in terms of grams of fuel per available lower berth kilometer (“ALB-KM”). This indicator enables us to make meaningful fuel consumption comparisons that take into account changes in fleet size, itineraries and passenger capacity.

(b)	We measure and report the ship fuel GHG emission rate in terms of grams of CO2e per ALB-KM. This indicator enables us to make meaningful GHG emission reduction comparisons that take into account changes in fleet size, itineraries and passenger capacity.

(c)	We measure SOx and NOx emission rates in terms of total kilograms (“Kg”) of emissions per nautical mile (“NM”). Using an emission rate normalized by distance traveled allows us to compare our pollutant reduction efforts over the reporting periods.

(d)	GHG emission data collection and calculations were performed in accordance with our GHG Inventory Management Plan, the Greenhouse Gas Protocol and International Organization for Standardization ("ISO") standard 14064-3:2006.

(e)	Information for 2015 is not available as of January 29, 2016. Percentage reduction presented is from 2008 to 2014.

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•	Provide regular health, environmental, safety and security support, training, guidance and information to guests, employees and others working on our behalf,

•	Develop and implement effective and verifiable management systems to fulfill our health, environmental, safety, sustainability and security commitments,

•	Perform regular shoreside and shipboard audits and take appropriate action when deficiencies are identified,

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•	Report and investigate all health, environmental, safety and security incidents and take appropriate action to prevent recurrence,

•	Identify those employees responsible for managing health, safety, environment, security and sustainability programs and ensure that there are clear lines of accountability and

•	Identify the aspects of our business that impact the environment and continue to take appropriate action to minimize that impact.

•	Develop a Safety Management System (“SMS”) that includes, among other things, the adoption of safety and environmental protection policies setting forth instructions and procedures for operating vessels safely and describing procedures for responding to emergencies and protecting the environment.

•	Obtain a Document of Compliance (“DOC”) for the vessel operator, as well as a Safety Management Certificate (“SMC”) for each vessel they operate. These documents are issued by the vessel’s Flag State and evidence compliance with the SMS.

•	Verify or renew DOCs and SMCs periodically in accordance with the ISM Code.

•	Expansion and acceleration of training of our bridge and engine room officers in maritime related best practices at our training facilities in Almere, the Netherlands and Rostock, Germany,

•	Further standardization of our detailed bridge and engine resource management procedures on all of our ships,

•	Expansion of our existing oversight function to monitor bridge and engine room operations,

•	Identifying and standardizing best-practice policies and procedures in health, environment, safety and security disciplines across the entire organization including on all our ships and

•	Further enhancing our processes for auditing and continuously improving our HESS performance throughout our operations.

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•	Implementation of specific security measures, including onboard installation of a ship security alert system,

•	Assessment of vessel security,

•	Efforts to identify and deter security threats,

•	Training, drills and exercises,

•	Security plans that may include guest, vehicle and baggage screening procedures, security patrols, establishment of restricted areas, personnel identification procedures, access control measures and installation of surveillance equipment and

•	Establishment of procedures and policies for reporting and managing allegations of crimes.

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a.	U.S. Income Tax

1.	Application of Section 883 of the Internal Revenue Code

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2.	Exemption Under Applicable Income Tax Treaties

3.	U.S. State Income Tax

b.	UK and Australian Income Tax

c.	Italian and German Income Tax

d.	Income and Other Taxes in Asian Countries

e.	Other

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•	RCCL owns Royal Caribbean International, Celebrity Cruises, Azamara Club Cruises, CDF Croisieres de France and Pullmantur,

•	RCCL and TUI AG, the leading German tour operator, jointly own TUI Cruises, a German cruise competitor,

•	RCCL and Ctrip, a leading Chinese travel service provider, jointly own SkySea Cruises, a domestic Chinese cruise competitor and

•	NCL owns Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises.

•	Incidents, such as ship incidents, security incidents, the spread of contagious diseases and threats thereof, adverse weather conditions or other natural disasters and the related adverse publicity affecting our reputation and the health, safety, security and satisfaction of guests and crew could have an adverse effect on our sales and profitability.

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•	Economic conditions and adverse world events affecting the safety and security of travel, such as civil unrest, armed conflicts and terrorist attacks, may adversely impact the demand for cruises and, consequently, reduce our cruise brands’ net revenue yields and profitability.

•	Changes in and compliance with laws and regulations relating to environment, health, safety, security, tax and anti-corruption under which we operate could adversely impact our profitability.

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•	Disruptions and other damages to our information technology and other networks and operations, and breaches in data security could result in decreases in our net income.

•	Ability to recruit, develop and retain qualified personnel could adversely affect our results of operations.

•	Increases in fuel prices may adversely affect our operations, financial condition and liquidity.

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•	Fluctuations in foreign currency exchange rates could adversely affect our financial results.

•	Misallocation of capital among our ship, joint venture and other strategic investments could adversely affect our financial results.

•	Future operating cash flow may not be sufficient to fund future obligations and we may be unable to obtain acceptable financing to enable us to continue to be a viable company.

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•	Deterioration of our cruise brands' strengths and our inability to implement our strategies could adversely impact our business and profitability.

•	Continuing financial viability of our travel agent distribution system, air service providers and other key vendors in our supply chain is essential to allowing us to profitably operate our business.  In addition, reductions in the availability of, and increases in the prices for, the services and products provided by these vendors can adversely impact our net income.

•	Inability to implement our shipbuilding programs and ship repairs, maintenance and refurbishments on terms that are favorable or consistent with our expectations could reduce our profitability. In addition, we expect increases to our repairs and maintenance expenses and refurbishment costs as our fleet ages.

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•	Failure to keep pace with developments in technology could impair our operations or competitive position.

•	Geographic regions in which we try to expand our business may be slow to develop and ultimately not develop how we expect and our international operations are subject to additional risks not generally applicable to our U.S. operations, thus resulting in the slower growth, increased costs and adversely affecting our profitability.

•	Competition from the cruise ship and land-based vacation industry could result in a loss of business and adversely affect our operations and financial condition.

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•	Overcapacity in the cruise ship and land-based vacation industry could have a negative impact on our net revenue yields and increase operating costs.

•	Economic, market and political factors that are beyond our control, which could increase our operating, financing and other costs and could harm sales and profitability.

•	Litigation, enforcement actions, fines or penalties could adversely impact our financial condition or results of operations and damage our reputation.

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•	Lack of continuing availability of attractive, convenient and safe port destinations on terms that are favorable or consistent with our expectations could adversely affect our net revenue yields and net income.

•	Union disputes and other employee relationship issues could adversely affect our financial results.

•	Decisions to self-insure against various risks or the inability to obtain insurance for certain risks at reasonable rates could result in higher expenses or lower revenues.

•	Reliance on third-party providers of various services integral to the operations of our business. These third parties may act in ways that could harm our business.

•	Business activities that involve our co-investment with third parties may subject us to additional risks that could adversely impact our operations.

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•	Disruptions in the global financial markets or other events may negatively affect the ability of our counterparties and others to perform their obligations to us and thus, adversely affect our financial position and results of operations.

•	Our shareholders may be subject to the uncertainties of a foreign legal system in protecting their interests since Carnival Corporation and Carnival plc are not U.S. corporations.

•	Small group of shareholders owns a significant portion of the total combined voting power of our outstanding shares and may be able to effectively control the outcome of shareholder voting.

•	Provisions in Carnival Corporation’s and Carnival plc’s constitutional documents may prevent or discourage takeovers and business combinations that our shareholders might consider to be in their best interests.

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•	The DLC arrangement involves risks not associated with the more common ways of combining the operations of two companies and these risks may have an adverse effect on the economic performance of the companies and their respective share prices.

(a)	Years of service with us or Carnival plc predecessor companies.

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(a)	Includes outstanding options to purchase Carnival Corporation common stock under the Carnival Corporation 2001 Outside Director Stock Plan. Also includes 2,153,696 restricted share units outstanding under the Carnival Corporation 2011 Stock Plan.

(b)	Includes Carnival Corporation common stock available for issuance as of November 30, 2015 as follows: 2,190,692 under the Carnival Corporation Employee Stock Purchase Plan, which includes 27,151 shares subject to purchase during the current purchase period and 10,025,441 under the Carnival Corporation 2011 Stock Plan.

(c)	In addition to options, the Carnival Corporation 2011 Stock Plan provides for the award of restricted shares and restricted share units without limitation on the number of shares that can be awarded in either form.

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(a)	Includes restricted share units outstanding under the Carnival plc 2005 Employee Share Plan and Carnival plc 2014 Employee Share Plan.

(b)	The Carnival plc 2014 Employee Share Plan provides for the award of restricted shares and restricted share units without limitation on the number of shares that can be awarded in either form.

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(a)	As of November 30, 2014, the cumulative impact of this revision was an $84 million reduction in retained earnings. The diluted earnings per share decreases were $0.03 for each of 2014 and 2013, $0.02 for 2012, $0.03 for pre-2010 and $0.11 in the aggregate. There was no annual diluted earnings per share impact for 2011 and 2010.

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(a)	At November 30, 2015 and 2014, the net carrying values of ships and ships under construction for our North America, EAA, Cruise Support and Tour and Other segments were $18.5 billion, $11.7 billion, $0.3 billion and $0.1 billion and $18.7 billion, $12.6 billion, $0.3 billion and $0.1 billion, respectively.

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(a)

The debt table does not include the impact of our foreign currency and interest rate swaps. At November 30, 2015, 50% and 50% (67% and 33% at November 30, 2014) of our debt was U.S. dollar and euro-denominated, respectively, including the effect of foreign currency swaps. At November 30, 2015, 60% and 40% (52% and 48% at November 30, 2014) of our debt bore fixed and floating interest rates, respectively, including the effect of interest rate swaps. Substantially all of our fixed rate debt can only be called or prepaid by incurring additional costs. In addition, substantially all of our debt agreements, including our main revolving credit facility, contain one or more financial covenants that require us, among other things, to maintain minimum debt service coverage and minimum shareholders’ equity and to limit our debt to capital and debt to equity ratios and the amounts of our secured assets and secured and other indebtedness. Generally, if an event of default under any debt agreement occurs, then pursuant to cross default acceleration clauses, substantially all of our outstanding debt and derivative contract payables (see Note 11) could become due, and all debt and derivative contracts could be terminated. At November 30, 2015, we were in compliance with all of our debt covenants.

(b)	Includes $2.0 billion of debt whose interest rates, and in the case of our main revolver its commitment fees, would increase upon a downgrade in the long-term senior unsecured credit ratings of Carnival Corporation or Carnival plc.

(c)	In 2015, we repaid $225 million outstanding under a floating rate export credit facility prior to its maturity through 2025 (see (e) below).

(d)	In 2015, we borrowed $472 million under a euro-denominated, floating rate export credit facility, the proceeds of which were used to pay for a portion of P&O Cruises (UK)'s Britannia purchase price. This debt is due in semi-annual installments through February 2027.

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(e)	In 2015, we borrowed $225 million under a euro-denominated, floating rate bank loan, which is due in October 2018. We used the net proceeds of this loan to prepay an equivalent amount outstanding under a floating rate export credit facility prior to its maturity.

(f)	In 2015, we issued $753 million and $591 million of euro-denominated, publicly-traded notes, which bear interest at 1.125% and 1.875% and are due in November 2019 and November 2022, respectively. We are using the net proceeds for general corporate purposes.

(g)	The interest rate associated with our floating rate short-term borrowings represents an aggregate weighted-average interest rate.

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•	Level 1 measurements are based on unadjusted quoted prices in active markets for identical assets or liabilities that we have the ability to access. Valuation of these items does not entail a significant amount of judgment.

•	Level 2 measurements are based on quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active or market data other than quoted prices that are observable for the assets or liabilities.

•	Level 3 measurements are based on unobservable data that are supported by little or no market activity and are significant to the fair value of the assets or liabilities.

(a)	Cash and cash equivalents are comprised of cash on hand, and at November 30, 2015 also included a money market deposit account and time deposits. Due to their short maturities, the carrying values approximate their fair values.

(b)	Restricted cash is comprised of a money market deposit account.

(c)	At November 30, 2015 and 2014, long-term other assets were substantially all comprised of notes and other receivables. The fair values of our Level 1 and Level 2 notes and other receivables were based on estimated future cash flows

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(d)

Debt does not include the impact of interest rate swaps. The net difference between the fair value of our fixed rate debt and its carrying value was due to the market interest rates in existence at November 30, 2015 and 2014 being lower than the fixed interest rates on these debt obligations, including the impact of any changes in our credit ratings. At November 30, 2015 and 2014, the net difference between the fair value of our floating rate debt and its carrying value was due to the market interest rates in existence at November 30, 2015 and November 30, 2014 being slightly higher than the floating interest rates on these debt obligations, including the impact of any changes in our credit ratings. The fair values of our publicly-traded notes were based on their unadjusted quoted market prices in markets that are not sufficiently active to be Level 1 and, accordingly, are considered Level 2. The fair values of our other debt were estimated based on appropriate market interest rates being applied to this debt.

(a)	Cash equivalents are comprised of money market funds.

(b)	The majority of restricted cash is comprised of money market funds.

(c)	At November 30, 2015 and 2014, marketable securities held in rabbi trusts were comprised of Level 1 bonds, frequently-priced mutual funds invested in common stocks, and money market funds and Level 2 other investments. Their use is restricted to funding certain deferred compensation and non-qualified U.S. pension plans.

(d)	See “Derivative Instruments and Hedging Activities” section below for detailed information regarding our derivative financial instruments.

(e)	Long-term other asset is comprised of an auction-rate security. The fair value was based on a broker quote in an inactive market, which is considered a Level 3 input. During 2015, there were no purchases or sales pertaining to this auction-rate security and, accordingly, the change in its fair value was based solely on the strengthening of the underlying credit.

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(a)

At November 30, 2015 and 2014, we had foreign currency forwards totaling $43 million and $403 million, respectively, that are designated as hedges of our net investments in foreign operations, which have a euro-denominated functional currency. At November 30, 2015, these foreign currency forwards settle through July 2017. At November 30, 2015, we also had foreign currency swaps totaling $387 million that are designated as hedges of our net investments in foreign operations, which have a euro-denominated functional currency. At November 30, 2015, these foreign currency swaps settle through September 2019.

(b)	We have euro interest rate swaps designated as cash flow hedges whereby we receive floating interest rate payments in exchange for making fixed interest rate payments. These interest rate swap agreements effectively changed $568 million at November 30, 2015 and $750 million at November 30, 2014 of EURIBOR-based floating rate euro debt to

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(c)	At November 30, 2015 and 2014, we had foreign currency derivatives consisting of foreign currency zero cost collars that are designated as foreign currency cash flow hedges for a portion of our euro-denominated shipbuilding payments. See “Newbuild Currency Risks” below for additional information regarding these derivatives.

(d)	At November 30, 2015 and 2014, we had fuel derivatives consisting of zero cost collars on Brent crude oil (“Brent”) to cover a portion of our estimated fuel consumption through 2018. See “Fuel Price Risks” below for additional information regarding these fuel derivatives.

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(a)

A portion of the North America cruise brands’ segment revenues includes revenues for the tour portion of a cruise when a land tour package is sold along with a cruise by either Holland America Line or Princess. These intersegment tour revenues, which are included in our Tour and Other segment, are eliminated directly against the North America cruise brands’ segment revenues and operating expenses in the line “Intersegment elimination.”

(b)	Tour and Other segment assets primarily include hotels and lodges in the state of Alaska and the Canadian Yukon, motorcoaches used for sightseeing and charters, glass-domed railcars, which run on the Alaska Railroad, and our owned ships that we leased out under long-term charters to unaffiliated entities.

(c)	Previously reported results changed as a result of our revision of prior period financial statements as follows (see "Note 1 - General - Revision of Prior Period Financial Statements"):

(d)	Includes $13 million in 2013 of impairment charges related to Ibero’s trademarks.

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(a)	The aggregate intrinsic value represents the amount by which the fair value of underlying stock exceeds the option exercise price at November 30, 2015.

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•	Incidents, such as ship incidents, security incidents, the spread of contagious diseases and threats thereof, adverse weather conditions or other natural disasters and the related adverse publicity affecting our reputation and the health, safety, security and satisfaction of guests and crew;

•	Economic conditions and adverse world events affecting the safety and security of travel, such as civil unrest, armed conflicts and terrorist attacks;

•	Changes in and compliance with laws and regulations relating to environment, health, safety, security, tax and anti-corruption under which we operate;

•	Disruptions and other damages to our information technology and other networks and operations, and breaches in data security;

•	Ability to recruit, develop and retain qualified personnel;

•	Increases in fuel prices;

•	Fluctuations in foreign currency exchange rates;

•	Misallocation of capital among our ship, joint venture and other strategic investments;

•	Future operating cash flow may not be sufficient to fund future obligations and we may be unable to obtain financing;

•	Deterioration of our cruise brands' strengths and our inability to implement our strategies;

•	Continuing financial viability of our travel agent distribution system, air service providers and other key vendors in our supply chain and reductions in the availability of, and increases in the prices for, the services and products provided by these vendors;

•	Inability to implement our shipbuilding programs and ship repairs, maintenance and refurbishments on terms that are favorable or consistent with our expectations and increases to our repairs and maintenance expenses and refurbishment costs as our fleet ages;

•	Failure to keep pace with developments in technology;

•	Geographic regions in which we try to expand our business may be slow to develop and ultimately not develop how we expect and our international operations are subject to additional risks not generally applicable to our U.S. operations;

•	Competition from and overcapacity in the cruise ship and land-based vacation industry;

•	Economic, market and political factors that are beyond our control, which could increase our operating, financing and other costs;

•	Litigation, enforcement actions, fines or penalties;

•	Lack of continuing availability of attractive, convenient and safe port destinations on terms that are favorable or consistent with our expectations;

•	Union disputes and other employee relationship issues;

•	Decisions to self-insure against various risks or the inability to obtain insurance for certain risks at reasonable rates;

•	Reliance on third-party providers of various services integral to the operations of our business;

•	Business activities that involve our co-investment with third parties;

•	Disruptions in the global financial markets or other events that may negatively affect the ability of our counterparties and others to perform their obligations to us;

•	Our shareholders may be subject to the uncertainties of a foreign legal system since Carnival Corporation and Carnival plc are not U.S. corporations;

•	Small group of shareholders may be able to effectively control the outcome of shareholder voting;

•	Provisions in Carnival Corporation’s and Carnival plc’s constitutional documents may prevent or discourage takeovers and business combinations that our shareholders might consider to be in their best interests and

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•	The DLC arrangement involves risks not associated with the more common ways of combining the operations of two companies.

•	Increases in cruise ticket pricing, driven primarily by improvements in Alaskan and Caribbean itineraries for our North America brands and Mediterranean and North European itineraries for our EAA brands, mostly offset by the net unfavorable foreign currency transactional impact;

•	Higher onboard spending by our guests on both sides of the Atlantic and

•	Lower fuel prices, partially offset from losses on fuel derivatives.

•	Adjusted net income increased 40% to $2.1 billion from $1.5 billion for 2014 (adjusted diluted earnings per share in 2015 was $2.70 compared to $1.93 in 2014);

•	Net revenue yields on a constant currency basis increased 4.3%, comprised of a 3.8% increase in net passenger ticket revenue yields and a 5.9% increase in net onboard and other revenue yields and

•	Net cruise costs excluding fuel per ALBD (“available lower berth day”) on a constant currency basis increased 3.5%.

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•	sales of passenger cruise tickets and, in some cases, the sale of air and other transportation to and from airports near our ships’ home ports and cancellation fees. The cruise ticket price typically includes accommodations, most meals, some non-alcoholic beverages and most onboard entertainment. We also collect fees, taxes and other charges from our guests, and

•	sales of goods and services primarily onboard our ships not included in the cruise ticket price including substantially all liquor and some non-alcoholic beverage sales, casino gaming, shore excursions, gift shop sales, photo sales, communication services, full service spas, specialty themed restaurants, cruise vacation protection programs and pre- and post-cruise land packages. These

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•	the costs of passenger cruise bookings, which represent costs that are directly associated with passenger cruise ticket revenues, and include travel agent commissions, air and other transportation related costs, fees, taxes and other charges that vary with guest head counts and related credit and debit card or direct debit fees,

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onboard and other cruise costs, which represent costs that are directly associated with onboard and other revenues, and include the costs of liquor and some non-alcoholic beverages, costs of tangible goods sold by us in our gift shops and from our photo sales, communication costs, costs of cruise vacation protection programs, costs of pre- and post-cruise land packages and related credit and debit card or direct debit fees. Concession revenues do not have significant associated expenses because the costs and services incurred for concession revenues are borne by our concessionaires,

•	fuel costs, which include fuel delivery costs,

•	payroll and related costs, which represent all costs related to our shipboard personnel, including deck and engine crew, including officers, and hotel and administrative employees, while costs associated with our shoreside personnel are included in selling and administrative expenses,

•	food costs, which include both our guest and crew food costs and

•	other ship operating expenses, which include port costs that do not vary with guest head counts, repairs and maintenance, including minor improvements and dry-dock expenses, hotel costs, entertainment, gains and losses on ship sales, ship impairments, freight and logistics, insurance premiums and all other ship operating expenses.

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(a)

ALBD is a standard measure of passenger capacity for the period that we use to approximate rate and capacity variances, based on consistently applied formulas that we use to perform analyses to determine the main non-capacity driven factors that cause our cruise revenues and expenses to vary. ALBDs assume that each cabin we offer for sale accommodates two passengers and is computed by multiplying passenger capacity by revenue-producing ship operating days in the period.

(b)	In 2015 compared to 2014, we had a 1.7% capacity increase in ALBDs comprised of a 4.1% capacity increase in our EAA brands and a slight capacity increase in our North America brands.

•	full year impact from one Costa 3,692-passenger capacity ship delivered in 2014 and

•	the partial year impact from one P&O Cruises (UK) 3,647-passenger capacity ship delivered in 2015.

•	full year impact from the bareboat charter/sale of a Costa ship and a former Ibero ship and

•	more ship dry-dock days in 2015 compared to 2014.

•	more ship dry-dock days in 2015 compared to 2014 and

•	fewer ship operating days due to pro rated voyages.

•	the full year impact from one Princess 3,560-passenger capacity ship delivered in 2013;

•	the partial year impact from one Princess 3,560-passenger capacity ship delivered in 2014 and

•	fewer ship dry-dock days in 2014 compared to 2013.

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•	$205 million - 1.7% capacity increase in ALBDs;

•	$155 million - net increase in cruise ticket pricing, driven primarily by improvements in Alaskan and Caribbean itineraries for

•	$86 million - slight increase in occupancy.

•	$185 million - higher onboard spending by our guests;

•	$65 million - 1.7% capacity increase in ALBDs and

•	$27 million - slight increase in occupancy.

•	$132 million - 2.0 percentage point increase in occupancy and

•	$26 million - net increase in cruise ticket pricing, driven primarily by improvements in Alaskan and Caribbean itineraries, mostly offset by unfavorable foreign currency transactional impacts.

•	$110 million - higher onboard spending by our guests and

•	$49 million - 2.0 percentage point increase in occupancy.

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•	$715 million - 2015 foreign currency translational impact and

•	$58 million - 1.2 percentage point decrease in occupancy.

•	$205 million - 4.1% capacity increase in ALBDs and

•	$135 million - increase in cruise ticket pricing, driven primarily by improvements in Mediterranean and North European

•	$51 million - higher onboard spending by our guests and

•	$45 million - 4.1% capacity increase in ALBDs.

•	$776 million - lower fuel prices;

•	$475 million - 2015 foreign currency translational impact;

•	$53 million - nonrecurrence of impairment charges incurred in 2014 related to Grand Celebration and Grand Holiday;

•	$43 million - lower fuel consumption per ALBD and

•	$20 million - gain on a litigation settlement.

•	$176 million - 1.7% capacity increase in ALBDs;

•	$106 million - higher dry-dock expenses as a result of higher number of dry-dock days;

•	$37 million - nonrecurrence of a gain from the sale of Costa Voyager in 2014;

•	$28 million - slight increase in occupancy and

•	$47 million - various other operating expenses, net, partially offset by favorable foreign currency transactional impacts.

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•	$503 million - lower fuel prices;

•	$41 million - decreases in commissions, transportation and other related expenses;

•	$25 million - lower fuel consumption per ALBD;

•	$19 million - gain on a litigation settlement and

•	$30 million - various other operating expenses, net, which included favorable foreign currency transactional impacts.

•	$58 million - higher dry-dock expenses as a result of higher number of dry-dock days and

•	$43 million - 2.0 percentage point increase in occupancy.

•	$476 million - 2015 foreign currency translational impact;

•	$273 million - lower fuel prices and

•	$53 million - nonrecurrence of impairment charges incurred in 2014 related to Grand Celebration and Grand Holiday.

•	$159 million - 4.1% capacity increase in ALBDs;

•	$49 million - higher dry-dock expenses as a result of higher number of dry-dock days;

•	$37 million - nonrecurrence of a gain from the sale of Costa Voyager recognized in 2014;

•	$26 million - increases in commissions, transportation and other related expenses and

•	$59 million - various other operating expenses, net, which included unfavorable foreign currency transactional impacts.

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•	The translation of our EAA brand operations to our U.S. dollar reporting currency results in decreases in reported U.S. dollar revenues and expenses if the U.S. dollar strengthens against these foreign currencies and increases in reported U.S. dollar revenues and expenses if the U.S. dollar weakens against these foreign currencies.

•	Our North America brands have a U.S. dollar functional currency but also have revenue and expense transactions in currencies other than the U.S. dollar. If the U.S. dollar strengthens against these other currencies, it reduces the U.S. dollar revenues and expenses. If the U.S. dollar weakens against these other currencies, it increases the U.S. dollar revenues and expenses.

•

Our EAA brands have a euro, sterling and Australian dollar functional currency but also have revenue and expense transactions in currencies other than their functional currency. If their functional currency strengthens against these other currencies, it reduces the functional currency revenues and expenses. If the functional currency weakens against these other currencies, it increases the functional currency revenues and expenses.

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(a)	Represents impairment charges of $22 million for Grand Celebration and $31 million for Grand Holiday, partially offset by gains of $37 million from the sale of Costa Voyager and $14 million from the sale of Ocean Princess.

(b)	Substantially due to $176 million of impairment charges related to Costa Classica and Costa Voyager, partially offset by a $15 million gain in our Tour and Other segment from the sale of a former Holland America Line ship, which was on charter to an unaffiliated entity.

(c)	Represents impairment charges of $14 million for an investment and $13 million for Ibero’s remaining trademarks’ carrying value.

•	$695 million - 2015 foreign currency translational impact and

•	$141 million - 2015 foreign currency transactional impact.

•	$565 million - 4.3% increase in constant currency net revenue yields and

•	$221 million - 1.7% capacity increase in ALBDs.

•	$395 million - 2015 foreign currency translational impact and

•	$37 million - 2015 foreign currency transactional impact.

•	$265 million - 3.5% increase in constant currency net cruise costs excluding fuel per ALBD and

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•	$128 million - 1.7% capacity increase in ALBDs.

•	$106 million - higher dry dock expenses as a result of higher number of dry-dock days and

•	$88 million - higher selling, general and administrative expenses.

•	$776 million - lower fuel prices and

•	$43 million - lower fuel consumption per ALBD.

•	$309 million - 2.7% capacity increase in ALBDs and

•	$102 million - foreign currency translational impact from a weaker U.S. dollar against the euro and sterling, net of a stronger U.S. dollar against the Australian dollar (“2014 net foreign currency translational impact”).

•	$114 million - 1.0 percentage point decrease in occupancy and

•	$37 million - decrease in cruise ticket pricing.

•	$96 million - 2.7% capacity increase in ALBDs and

•	$92 million - higher onboard spending by our guests.

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•	$130 million - 2.0 percentage point decrease in occupancy;

•	$75 million - decrease in cruise ticket pricing and

•	$58 million - decrease in air transportation revenues from guests who purchased their tickets from us.

•	$103 million - 4.3% capacity increase in ALBDs;

•	$78 million - higher onboard spending by our guests and

•	$20 million - higher other third-party revenues.

•	$46 million - 2.0 percentage point decrease in occupancy.

•	$102 million - 2014 net foreign currency translational impact;

•	$49 million - increase in air transportation revenues from guests who purchased their tickets from us;

•	$39 million - increase in cruise ticket pricing and

•	$23 million - slight increase in occupancy.

•	$176 million - nonrecurrence in 2014 of impairment charges related to Costa Classica and Costa Voyager;

•	$126 million - lower fuel prices;

•	$107 million - lower fuel consumption per ALBD;

•	$64 million - decreases in commissions, transportation and other related expenses primarily due to a decrease in air transportation costs related to guests who purchased their tickets from us;

•	$56 million - nonrecurrence in 2014 of additional costs and expenses related to the 2013 voyage disruptions, net of third-party insurance recoverables of $20 million;

•	$51 million - gains from the sales of Costa Voyager and Ocean Princess;

•	$42 million - lower dry-dock and other ship repair and maintenance expenses and

•	$38 million - 1.0 percentage point decrease in occupancy.

•	$278 million - 2.7% capacity increase in ALBDs;

•	$59 million - 2014 net foreign currency translational impact;

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•	$53 million - impairment charges related to Grand Celebration and Grand Holiday and

•	$47 million - various other operating expenses, net.

•	$103 million - decreases in commissions, transportation and other related expenses primarily due to a decrease in air transportation costs related to guests who purchased their tickets from us;

•	$87 million - lower fuel prices;

•	$58 million - lower fuel consumption per ALBD;

•	$56 million - nonrecurrence in 2014 of additional costs and expenses related to the 2013 voyage disruptions, net of third-party insurance recoverables of $20 million;

•	$43 million - 2.0 percentage point decrease in occupancy;

•	$47 million - lower dry-dock and other ship repair and maintenance expenses and

•	$14 million - gain from the sale of Ocean Princess.

•	$271 million - 4.3% capacity increase in ALBDs;

•	$39 million - nonrecurrence in 2014 of an intersegment transaction, which was fully offset in our Cruise Support segment and

•	$72 million - various other operating expenses, net.

•	$176 million - nonrecurrence in 2014 of impairment charges related to Costa Classica and Costa Voyager;

•	$51 million - lower fuel consumption per ALBD;

•	$41 million - lower fuel prices;

•	$39 million - lower dry-dock and other ship repair and maintenance expenses;

•	$37 million - gain from the sale of Costa Voyager and

•	$37 million - various other operating expenses, net.

•	$59 million - 2014 net foreign currency translational impact;

•	$53 million - impairment charges related to Grand Celebration and Grand Holiday and

•	$46 million - increases in commissions, transportation and other related expenses principally due to an increase in air transportation costs related to guests who purchased their tickets from us.

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•	$330 million - 2.7% capacity increase in ALBDs;

•	$92 million - 2014 net foreign currency translational impact and

•	$24 million - slight increase in constant dollar net revenue yields.

•	$190 million - 2.7% capacity increase in ALBDs;

•	$51 million - a slight increase in constant dollar net cruise costs excluding fuel per ALBD and

•	$49 million - 2014 net foreign currency translational impact.

•	$126 million - lower fuel prices and

•	$107 million - lower fuel consumption per ALBD.

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•	repaid a net $633 million of short-term borrowings in connection with our availability of, and needs for, cash at various

•	repaid $1.2 billion of long-term debt, including an early repayment of $225 million under an export credit facility;

•	issued $1.3 billion of publicly-traded notes, which net proceeds are being used for general corporate purposes;

•	borrowed $697 million of long-term debt under an export credit facility and a bank loan;

•	paid cash dividends of $816 million;

•	purchased $533 million of shares of Carnival Corporation common stock in open market transactions of which $276 million were purchased under our Repurchase Program and $257 million were purchased under our Stock Swap Program and

•	sold $264 million of treasury stock under our Stock Swap program.

•	borrowed a net $617 million of short-term borrowings in connection with our availability of, and needs for, cash at various times throughout the year;

•	repaid $2.5 billion of long-term debt, including early repayments of $839 million of three bank loans and $590 million of two export credit facilities;

•	borrowed $1.6 billion of new long-term debt under two export credit facilities and three bank loans and

•	paid cash dividends of $776 million.

•	borrowed a net $4 million of short-term borrowings in connection with our availability of, and needs for, cash at various times throughout the year;

•	repaid $2.2 billion of long-term debt;

•	issued $1.7 billion of publicly-traded notes, of which $500 million was used to repay a like amount of export credit facilities, and the remaining $1.2 billion was and will be used for general corporate purposes, including repayments of portions of debt facilities maturing through May 2014;

•	borrowed $1.0 billion of new long-term debt under two export credit facilities and one bank loan;

•	paid cash dividends of $1.2 billion;

•	purchased $138 million of shares of Carnival Corporation common stock in open market transactions of which $103 million were purchased under our Repurchase Program and $35 million were purchased under our Stock Swap Program and

•	sold $35 million of treasury stock under our Stock Swap program.

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(a)	Our long-term debt has a weighted-average maturity of 4.1 years. See Note 6 - “Unsecured Debt” in the consolidated financial statements for additional information regarding these debt obligations.

(b)

Represents cash outflows for certain of our long-term liabilities that could be reasonably estimated. The primary outflows are for estimates of our compensation plans’ obligations, crew and guest claims, uncertain income tax position liabilities and certain deferred income taxes. Customer deposits and certain other deferred income taxes have been excluded from the table because they do not require a cash settlement in the future.

(c)	Our shipbuilding contractual obligations are legal commitments and, accordingly, cannot be canceled without cause by the shipyards or us, and such cancellation will subject the defaulting party to significant contractual liquidating damage payments. See Note 7 - “Commitments” in the consolidated financial statements for additional information regarding these contractual cash obligations.

(d)

Represents legally-binding commitments to purchase inventory and other goods and services made in the normal course of business to meet operational requirements. Many of our contracts contain clauses that allow us to terminate the contract with notice, either with or without a termination penalty. Termination penalties are generally an amount less than the original obligation. Historically, we have not had any significant defaults of our contractual obligations or incurred significant penalties for their termination.

(e)

Fixed rate interest payments represent cash outflows for fixed interest payments, including interest swapped from a floating rate to a fixed rate. Floating rate interest payments represent forecasted cash outflows for interest payments on floating rate debt, including interest swapped from a fixed rate to a floating rate, using the November 30, 2015 forward interest rates for the remaining terms of the loans. Floating rate interest payments also include debt issuance costs that are payable upon drawing under most of our cancellable export credit facilities and facility fees on our revolving credit facilities.

(f)	Amounts payable in foreign currencies, which are principally the euro, sterling and Australian dollars, are based on the November 30, 2015 exchange rates.

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•	$0.30 per share on an annualized basis for 2016 and

•	$0.04 per share for the first quarter of 2016.

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(i).	See “Key Performance Non-GAAP Financial Indicators” for further discussion of the (gains) losses on ship sales and ship impairments, net and goodwill, trademark and other impairment charges for the years ended November 30, 2015, 2014, and 2013.

(ii).	Represents impairment charges of $34 million for Costa Allegra and $23 million for two Seabourn ships, partially offset by an $8 million gain on the sale of Pacific Sun.

(iii).	Represents impairment charges related to the sale of Costa Marina and Pacific Sun.

(iv).	Represents impairment charges related to Ibero’s goodwill and trademarks.

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(1)	Carnival Corporation, incorporated in the Republic of Panama, and Carnival plc, incorporated in England and Wales, are separate

(2)	Subsidiary of Carnival plc (99.97% owned by Carnival plc).

(3)	Subsidiary of Holland America Line N.V.

(4)	Subsidiary of HAL Antillen N.V.

(5)	Subsidiary of Sunshine.

(6)	Subsidiary of Princess Bermuda Holdings Ltd.

(1)	The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of Carnival Corporation.

(1)	The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of Carnival Corporation.