Slide 1: Second Quarter Earnings Presentation
Second Quarter Earnings Presentation August 11, 2011
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended) which reflect management’s current views with respect to certain future events and performance, including statements regarding: tanker marke
Slide 3: Highlights
Highlights TEEKAY CORP NYSE: TK » Generated consolidated Q2-11 $149m of cash flow from vessel operations1 » Q2-11 consolidated adjusted net loss attributable to Teekay of $36.3m, or $0.51 per share2 compared to $0.39 loss per share in Q1-113 » Awarded new offshore contracts that are expected to cont
Slide 4: FPSO Business Update
FPSO Business Update FPSO Market Outlook Teekay’s Recent FPSO Activity » High level of FPSO tender activity in the » Entered into new long-term FPSO first half of 2011 contract with BG to service the Knarr • 10 contract awards in 2011 year-to-date field in the North Sea • Additional 5-8 awards expec
Slide 5: Shuttle Tanker Business Update
Shuttle Tanker Business Update Shuttle Tanker Market Outlook Teekay’s Recent Shuttle Tanker Activity » Steady requirement for shuttle tankers in » Took delivery of Scott Spirit, the fourth the North Sea as enhanced oil recovery and final shuttle tanker newbuilding in and production from new fields o
Slide 6: Gas Business Update
Gas Business Update LNG Spot Charter Rates* 100 90 Spot rates have gained a further $10,000 / day in the last quarter USD ‘000 / Day 80 70 60 50 40 30 *Various industry / market sources 20 Jun-10 Jul-10 Nov-10 Jun-11 Jul-11 Jan-10 May-10 Aug-10 Jan-11 May-11 Aug-11 Feb-10 Mar-10 Apr-10 Sep-10 Oct-10
Slide 7: Conventional Tanker Business Update
Conventional Tanker Business Update Tanker Demand Growth Tanker Fleet Growth 8% Supply Range Demand Range 7% 6% % Growth 5% 4% 3% 2% 1% 0% 2009 2010 2011E 2012E 2013E Source: Platou / Internal estimates Conventional Tanker Industry Outlook » 2H-2011 tanker market fundamentals Teekay’s Conventional T
Slide 8: Q2-11 Consolidated Adjusted Income Statement
Q2-11 Consolidated Adjusted Income Statement Three Months Ended Three Months Ended June 30, 2011 March 31, 2011 Reclass for (in thousands of US dollars, except Realized Gains/ per share amounts) Losses As Reported Appendix A Items (1) on Deriviatives (2) As Adjusted As Adjusted NET REVENUES Revenues
Slide 9: Q3-2011 Outlook – Teekay Consolidated
Q3-2011 Outlook – Teekay Consolidated Income Q3-2011 Statement Item Outlook » Fixed-Rate Fleet: • $5m increase from LNG fleet due to delivery of Norgas Unikum and completion of Q2 drydockings • $5m increase from shuttle tanker fleet due to commencement of Peary Spirit charter and other short-term ch
Slide 10: 88% of Q2-11 Net Revenue from Fixed Rate Business
88% of Q2-11 Net Revenue from Fixed Rate Business Teekay Corp Q2-11 Net Revenue By Consolidated Segment Spot-Rate Conventional Tanker Shuttle Tanker and 12% FSO 28% Fixed-Rate Conventional Tanker 21% Liquified Gas FPSO 15% 24% 10
Slide 11: Parent and Daughter Companies Are Financially Well Positioned
Parent and Daughter Companies Are Financially Well Positioned $ millions Teekay Parent Total Debt 1 965 Includes $450m Cash (248) of debt Net Debt 717 associated Net Debt/Total Capitalization 30% with warehoused Liquidity 850 newbuilding installments Teekay LNG Partners Teekay Offshore Partners Teek
Slide 12: Continuing to Focus on Narrowing Teekay Parent Gap
Substantial Continuing toAsset FocusCoverage at the on Narrowing Teekay Parent Gap Sum-of-the-Parts Teekay Parent Assets ($ millions, except per share amounts) Conventional Tankers – Spot 1 $399 Conventional Tankers – Fixed 1 386 FPSOs 1 450 Newbuildings 2 431 JVs and Other Investments 3 121 FMV of
Slide 13: Appendix
TZ | TEEKAY CORPORATION . - sind Appendix www.teekay.com A a
Slide 14: Q2 2011 Appendix A Item Descriptions
Q2 2011 Appendix A Item Descriptions Q2 - 2011 (in thousands of US dollars) Appendix A Items Explanation of Items NET VOYAGE REVENUES Revenues - Voyage expenses - Net revenues - OPERATING EXPENSES Vessel operating expense (171) Unrealized losses on derivative instruments Time charter hire expense -
Slide 15: Q1 2011 Adjusted Net Income Reconciled to GAAP Net Income
Q1 2011 Adjusted Net Income Reconciled to GAAP Net Income Three Months Ended March 31, 2011 Reclass for (in thousands of US dollars, except Realized Gains/ per share amounts) Losses As Reported Appendix A Items (1) on Deriviatives (2) As Adjusted NET REVENUES Revenues 488,024 - 49 488,073 Voyage exp
Slide 16: CAPEX Schedule
CAPEX Schedule 1 $ millions 2011 2012 2013 2014 Total Teekay Offshore - $78 $323 - $401 Teekay LNG $34 - - - $34 Teekay Tankers - $20 $20 - $40 Teekay Parent $455 $390 $360 - $1,205 Total Teekay Corporation Consolidated $489 $488 $703 - $1,680 1 Scheduled capital expenditures payments subsequent to
Slide 17: Teekay Parent – Conventional Tanker Fleet Employment (Q3-11 to Q2-13)
Teekay Parent – Conventional Tanker Fleet Employment (Q3-11 to Q2-13) Three Months Ending Sep. 30, Dec. 31, Mar. 31 Jun. 30 Sep. 30 Dec. 31 Mar. 31 Jun. 30 2011E 2011E 2012E 2012E 2012E 2012E 2013E 2013E Suezmax Spot revenue days 1,2,3 552 736 728 787 736 644 720 728 Average time-charter rate 4 23,2
Slide 18: Teekay Parent – Q2-2011 In-chartered Fleet
Teekay Parent – Q2-2011 In-chartered Fleet Three Months Ended Jun.30, Mar. 31, Jun.30, 2011 2011 2010 Suezmax 1 Average in-charter rate 30,585 29,985 30,167 In-charter days 223 339 433 Aframax - external in-charters Average in-charter rate 21,802 24,539 25,288 In-charter days 369 360 693 Average bar
Slide 19: Teekay Parent – In-chartered Fleet (Q3-11 to Q2-13)
Teekay Parent – In-chartered Fleet (Q3-11 to Q2-13) Three Months Ended Sep. 30, Dec. 31, Mar. 31 Jun. 30 Sep. 30 Dec. 31 Mar. 31 Jun. 30 2011E 2011E 2012E 2012E 2012E 2012E 2013E 2013E Suezmax 1 Average in-charter rate 28,750 28,750 28,750 28,750 28,750 - - - In-charter days 184 184 182 176 92 - - -
Slide 20: 2011 Drydock Schedule
2011 Drydock Schedule March 31, 2011 (A) June 30, 2011 (A) September 30, 2011 (E) December 31, 2011 (E) Total 2011 Total Total Total Total Total Vessels Vessels Vessels Vessels Vessels Offhire Offhire Offhire Offhire Offhire Drydocked Drydocked Drydocked Drydocked Drydocked Entity Segment Days Days
Slide 21: Daughter Cash Flows from Teekay Parent Common Share/Unit Ownership
Daughter Cash Flows from Teekay Parent Common Share/Unit Ownership Three Months Ended June 30, March 31, December 31, September 30, June 30, 2011 2011 2010 2010 2010 Teekay LNG Partners Distribution per common unit $ 0.63 $ 0.63 $ 0.63 $ 0.60 $ 0.60 Common units owned by Teekay Parent 25,208,274 25,