Higher fuel prices and the H1N1 flu virus will hurt Royal Caribbean Cruises Ltd's full-year earnings, the world's second largest cruise operator said on Monday.

Royal Caribbean said its full-year fuel expenses could be 12 cents per share higher at today's oil prices, which have leaped 45 percent since the company provided its outlook in late April. The impact of surging oil was partly blunted by hedging strategies.

Miami-based Royal Caribbean previously had said it expected full-year earnings of $1.35 per share and a 10 percent change in fuel prices would result in a 10 cent per share change in 2009 earnings.

Analysts expect the company to earn $1.09 per share, according to Reuters estimates.

Earlier this month, the company said the flu virus, formerly known as swine flu, would hurt 2009 earnings by about 22 cents per share.

Additionally the world's second-largest cruise operator said its second-quarter other income will be 10 cents per share lower than expected owing to foreign currency adjustments and ineffective hedging.

Shares fell 8 cents to $13.20 in premarket trading.

(Reporting by Deepa Seetharaman, editing by Gerald E. McCormick)

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