three days not a single carnival cruise line representative appeared publicly until president jerry cahillpoke tuesday. >> we obviously are very, very sorry about what has taken place.on that conditions onboard the ship are very challenging. everyone shore side is doing everything they can to make our guests as comfortable as possible. >> reporter: and then later that very same night, carnival owner did appear publicly at a miami heat game, a team he owns, but that picture ignited anger online. >> these people got on their ship expecting a fun vacation. safe to say this has not happened. the conditions, from what we know, onboard the ship are quite bad. >> reporter: this is the third time in a month this very ship has had engine trouble. the triumph had to limp back to port on its two previous voiages. and in 2010, another carnival ship lost propulsion a few days from land and required spectacular rescue. navy choppers flown in dropped 70,000 pounds of supplies, including lots of spam. they were aboard that voyage in 2010 and recall that nightmare. >> we started to smell some smoke coming

president and ceo jerry cahill said he didn't think it had anything to do with the delay the cruise ship experienced earlier this month thanks to a faulty propulsion system. but several passengers that i spoke to last night told me stories similar to this. >> the smell. and we were on the first floor, like i said. so next thing you know, i went -- laid back down. next thing you know, you hear running, running through the hallways. i open the door to see what was going on. it was the firefighters. i looked and saw smoke. i was like, oh my god. >> a lot of people saw a lot of smoke. throughout the ship. for five days the ship's passengers and crew were stuck in horrific conditions. you know about that. they didn't have running water, they didn't have much food, they had few operating toilets. the "triumph" is expected to be out of commission until april for repairs and extensive cleaning. we've asked carnival to come "outfront," they've so far declined, we're hopeful they will eventually talk to us. cnn's been following the ship and the investigation and has the latest tonight. >> reporter

. >> but ceo jerry cahill did apologize profusely to the passengers and the public. >> i know the conditionsrd were very poor. i know it was very difficult, and i want to apologize again for subjects our guests to that. >> eaves has a history with carnival, having represented over 100 passengers aboard the doomed costa concordia which sank off the coast of italy last year claiming 32 lives. it, too, was owned by carnival. as part of that lawsuit, a judge authorized the seizure of another of carnival's massive ships. >> we are here to execute a court order. >> that seized vessel was none other than the carnival triumph. >> and you impounded it because you believed it wasn't safe? >> that's correct. >> you seized the ship, held it. they paid $10 million to get it back to sea. do you think anyone who boarded the triumph knew that this ship was out on bail? >> i don't think so. >> you have described the cruise ship industry as the wild west. why? >> because they have operated without regulation, without oversight in a legal system that allows them to avoid responsibility. >> carnival and the oth

jerry cahill insists passengers were never at risk, but 22-year-old leslie mayberry disagreed. >> reporter: a tow line pulling the 14-story-tall shape snapped, delaying today's operation. it was reattached, but it will be nightfall before the ship arrives at the terminal where relatives are waiting. nellie betts came from tupelo, mississippi, to meet her daughter. >> there's no reason why those people should be out there as long as they have. why? i don't understand why. what has taken them so long to get them home? >> reporter: once the ship arrives at the terminal behind me, carnival plans to put most of those passengers on a two- hour bus ride to new orleans, or even to galveston, texas. but some are already saying, no thanks. scott, they have relatives picking them up here so they can go straight home. >> pelley: a long odyssey. ana, thank you very much. that budget dispute in washington is about to have a very real effect on the people who build and repair our military ships. that industry says 100,000 jobs in several states are on the line because the navy is planning on delaying the

president and ceo jerry cahill says that is simply not true. >> there is running water and a good number of bathrooms that do work. in a situation like this you are going to be sensitive to all hygiene procedures. we are going along with how we handle things and going along the situation on board. i can tell you there have not been any abnormal people who have reported to the infirmary. >> tug bows are pulling the ship to mobile alabama. it is expect to do arrive sometime tomorrow. carnival booked hotel room and flights to get passengers home from there as soon as possible. the ntsb is investigating what caused the fire sunday but knocked out power to the massive ship. there's a new top dog to america this morning. >> the winner of the 137th westminster dog show the african (inaudible) >> baumann gnnana joe took the . the crowd's favorite an old english sheep dog named swagger was picked as the runner up. coming up at 6:30 the adorable banana joe will be here live onset. i think we need him here. >> that's your 5@5:00. >>> now to our fox news alert. the fugitive ex cop who went on a kill

jerry cahill said the ship does have running water and most of its rest room are working. he also downplayed the possibility of an outbreak of disease from unsanitary conditions. the vessel is being towed to mobile, alabama. >> still some very up happy passengers on there. >> why would you come out and say that. >> we'll get to the bottom of it. >> passengers will be talking when they get off the boat. >>> there is a win are in the westminster dog show. coming up, a look at the new best in show pooch. we'll tell you about it when we come back. i already know. >> i know you do. >> you told me earlier.  [ woman ] my boyfriend and i were going on vacation, so i used my citi thankyou card to pick up some accessories. a new belt. some nylons. and what girl wouldn't need new shoes? and with all the points i've been earning, i was able to get us a flight to our favorite climbing spot, even on a holiday weekend. ♪ things are definitely... looking up. [ male announcer ] with no blackout dates, you can use your citi thankyou points to travel whenever you want. visit citi.com

no doubt the carnival management team is feeling the heat now last night carnival cruise ceo jerry cahilllogized. >> i know the conditions on board were very poor. i know it was very difficult. and i want to apologize again for subjecting our guests to that. we pride ourselves in providing our guests with a great vacation experience. and clearly, we failed in this particular case. >> in that bp drama, tony hayward was accused of being tone deaf. what's important here is the carnival cruise line management does not appear the same. back then, when hayward famously said i want my life back, carnival is trying to right things. it offered refunds, $500 cash, a flight home, credit for a future cruise. it doesn't help that the owner of carnival cruise lines was seen kicking back at a heat game. now he is part owner of that team. his net worth is $5 billion. people are saying wait a minute, you have people walking through sewage on your ship. and you're courtside? not cool. gerry cahill is not doing too bad either in terms of the money part of it. he got a $3.7 million pay package for carnival i

. >> but ceo jerry cahill did apologize profusely to the passengers and the public. >> i know the conditionsrd were very poor. i know it was very difficult, and i want to apologize again for subjects our guests to that. >> eaves has a history with carnival, having represented over 100 passengers aboard the doomed costa concordia which sank off the coast of italy last year claiming 32 lives. it, too, was owned by carnival. as part of that lawsuit, a judge authorized the seizure of another of carnival's massive ships. >> we are here to execute a court order. >> that seized vessel was none other than the carnival triumph. >> and you impounded it because you believed it wasn't safe? >> that's correct. >> you seized the ship, held it. they paid $10 million to get it back to sea. do you think anyone who boarded the triumph knew that this ship was out on bail? >> i don't think so. >> you have described the cruise ship industry as the wild west. why? >> because they have operated without regulation, without oversight in a legal system that allows them to avoid responsibility. >> carnival and the oth

the ceo, jerry cahill, was very quick to apologize. >> we pride ourselves in providing our guests with vacation experience and clearly we failed in this particular case. >> carnival offering refunds, cash, a flight home, and cahill said he went on the ship to personally apologize to the passengers. but look where micky arison was this week. a miami heat game. he's the colorado of carnival corporation, which owns carnival, holland american, princess. he's also a part-owner of the heat. but he's courtside while those people are just desperate to be dockside. with analysts we talked to, they think people will keep wanting to book these cruises. >> good deals. they made it through the norwalk virus stuff, the costa concordia. people do tend to move on because they are a very good deal in tough economic times. >> the question is what kind of maybe settlements they'll have to come to. when you buy a ticket, it's clear, you know, people were just inconvenienced, no one was hurt. >> i understand that mikki aaronson is a part owner of the miami heat but on tuesday we didn't know this was going

. >> yeah, i know -- jerry cahill, we've been waiting for him -- on the ground, we were hopeful he wouldat this press conference, we haven't seen him. i can tell you, he's here. i know you have a great panel with you, right? >> yeah, erin, i'm here, we have a great panel here at new york one, stephanie bloom, also joining us, an infectious disease specialist. we've seen these terrible images of human waste in bags on the floor. no running water. urine on the floor. how serious are any of the potential health risks? >> well, definitely even on a normal cruise, there's a potential risk for gast gastrointestinal diseases. you have an opportunity where you have 4,000 people together in one ship. in these situations, it is much more so. what i would say is, we have a condition as far as a medical situation. >> i've been exposed to all this, we see the pictures. specifically, what should i be looking for? and should every one of these people go to the doctor? >> not necessarily. i would say stay home, and try not to run to the doctor unnecessarily. however, you do need to have a this remember

last night carnival cruise ceo jerry cahill apologized. >> i know the conditions on board were very poorow it was very difficult. and i want to apologize again for subjected our guests to that. we pride ourselves in providing our guests with a great vacation experience and clearly we failed in this particular case. >> carnival is offering refunds, cash flishgt home, but it doesn't help that ceo of carnival corporation, the parent company, mickey ericsson, seen this week kicking back at a my hey heat game as drama was unfolding, this as people on his ship are walking through sewage. part owner of that team. his net worth, $5 billion, and he's court side. g gerry cahill, a $3.7 million pay package back in 2001. some analysts saying long-term cruise loyalists will still book. but after after the costa conc ran aground, bookings did not suffer. the tony hayward example has to be foremost in mind for crisis managers. famously said i want my life back. you have to be very careful about the public perception of executives when you have people who are customers who are suffering. >> absolutely.

one of them ceo jerry cahill.kly, he offe for excuses and apologized. >> i'd like to reiterate the apology i made earlier. i know the conditions on board were very poor. i know it was very difficult. and i want to apologize again for subjecting our guests to that. we pride ourselves in providing our guests with a great vacation experience. and clearly we failed in this particular case. >> carnival triumph will be out of commission for at least two months. 14 of the booked cruises have been scrapped. on top of that, it is the third high profile problem that this company has had in a little more than a year. want to bring in alison kosik to talk a little bit about that. do we think that means bad deals for carnival? are they going to lose a lot of money? >> reporter: for carnival in all this, believe it or not, it may not be too bad. we talked with susquehanna financial and she says the reality is this extent wasn't so bad as to scare away passengers. long term investors also like carnival cruises because it's a big

here's what carnival cruiseline's president, jerry cahill said when he held a press conference and basically me play that for you. >> i think it's very important that i apologize to our guests and to their families that have been affected by this very difficult situation. at carnival our promise to our guests is to provide a great vacation experience and we try very hard to do that all the time. so obviously in this particular case we did not deliver on that promise. >> that might be the understatement of the year. what they've been offering from what we know is a $500 per person compensation, a full refund of the cruise and related travel, a bus ride or chartered flight out of there, and a 15% to 25% discount on a future cruise. when you hear that apology and sort of the list of things that they're offering for compensation, what's your reaction? >> i'm just shaking my head. >> why? >> i cannot imagine that, the horror they have had to deal with, with no food, lines to go to the bathroom, seeing urine and feces sloshing in the halls, sleeping on the floor, nothing to eat, people fighting ov

. >> here is jerry cahill. you were probably there at the news conference when he apologized.is the head of carnival cruise lines. he apologized yesterday. let's listen to him quickly. i have a few questions. >> i would like to reiterate the apology i made earlier. i know the conditions on board were very poor. i know it was very difficult. i want to apologize again for subjecting our guests to that. we pride ourselves in providing our guests with a great vacation experience, and clearly we failed in this particular case. >> bill: boy, did they ever. now, first of all, how are they going to compensate? how many people were on the ship? about 4,000? >> well, over 4,000 total, but they had about a thousand was crew. you are looking at over 3,000, i think 100 passengers. >> bill: okay. how are they going to compensate those 3,000 people? >> well carnival moved pretty quickly, early, within a day and said we are going to, you know, give you all of your money back for this trip. we are very sorry. and then shortly, they came out and said in addition to that, we are going to give yo