Instance Initialization Question (Why Is It Required Here???)

In the example below, I don't understand why instance initialization is required for the line below to succeed. Any chance someone can explain it to me? :) Thanks in advance.
THIS IS THE LINE I'M REFERRING TO
cost = Math.round(price);
[java]
//: c08:Parcel9.java
// Using "instance initialization" to perform
// construction on an anonymous inner class.
// From 'Thinking in Java, 3rd ed.' (c) Bruce Eckel 2002
// www.BruceEckel.com. See copyright notice in CopyRight.txt.
import com.bruceeckel.simpletest.*;
public interface Destination {
     String readLabel();
public class Parcel9 {
     private static Test monitor = new Test();
     public Destination dest(final String dest, final float price) {
          return new Destination() {
               private int cost;
               // Instance initialization for each object:
                    cost = Math.round(price);
                    if(cost > 100)
                         System.out.println("Over budget!");
               private String label = dest;
               public String readLabel() { return label; }
     public static void main(String[] args) {
          Parcel9 p = new Parcel9();
          Destination d = p.dest("Tanzania", 101.395F);
          monitor.expect(new String[] {
          "Over budget!"
[java]

return new Destination() {
};Here you define an anonymous local class. Anonymous classes can't have constructors, so if there are any operations that need to be done when an instance of the class is created, they have to go in the instance initializer block. (Like with regular classes, it's illegal to have anything but declarations in the class body.)
But the particular line you refer to actually doesn't have to be there; it's possible to combine the declaration and assignment of the cost variable:    private int cost = Math.round(price);

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