SOUTHAMPTON'S new £200m luxury cruise ship, the 85,000 ton Arcadia, the largest vessel ever to be constructed exclusively for British passengers, has been launched by Italian builders and set on course for her first arrival in the city's docks next year.

The P&O Cruises' vessel is the next generation of ship for the company's Southampton based fleet and will be a significant addition to the port's trade which this year will see a record breaking 210 cruise ship calls to the city.

Playing a key role in the shipyard launch was 20-year-old Sabrina Dunkerley, a student at the Warsash Maritime Centre, and one of the company's youngest cadets.

Together with David Dingle, managing director of Carnival UK, parent company of Southampton's P&O Cruises, Sabrina continued the tradition of placing a specially minted coin under the vessel's mast in a ceremony that dates back to Roman times when sailors believed it would bring good luck to passengers and crew of the new ship.

Also on hand as the sterling silver £1 piece was put in position was Captain Steve Burgoine, at present in command of the Southampton cruise ship, Oceana, who is to be master of Arcadia when she enters service in April 2005.

Later, according to Italian custom, the cadet sent a bottle of champagne crashing against Arcadia's bow in a dockside event similar to the usual British ship naming ceremony.

This was the signal for the dry dock, where Arcadia has been built, to be flooded with water in preparation for the ship to be moved to a nearby fitting-out basin for the next stage in her construction.

Work on Arcadia will continue at Fincantieri's Marghera yard in Italy until December when a series of sea-trials begins before the ship is officially handed over to P&O Cruises in March.

Major financial institution, Deutsche Bank has recommended investors to buy Carnival shares after the giant Miami based shipping empire, that owns Southampton based Cunard, P&O Cruises and Princess Cruises, reported buoyant confidence in future sales.

This comes as the industry indicates strengthening prices for cruise tickets and suggestions that market fears about increased costs, such as fuel bills, have been over-stated.