Carnival did a great job handling this incident both onboard the ship as well as from a public relations perspective. After the waterline break, the crew members of the Carnival Dream worked tirelessly to replace hallway carpeting, stateroom carpeting, and bedding that was effected by the water. All of this work was completed in 6 hours according to Carnival's public relations department.
The guests in the effected staterooms, received a full refund as well as a future cruise credit from Carnival. Furthermore, Carnival offered these guests a chance to leave the ship and fly home at Carnival's expense if they wished.
Good job Carnival and the crew on the Carnival Dream for a great job handling this incident!