Teekay LNG Partners L.P. (NYSE: TGP) -
Highlights
-- Generated distributable cash flow of $39.1 million in the first quarter
of 2011, an increase of 15 percent from the first quarter of 2010.
-- Declared first quarter 2011 cash distribution of $0.63 per unit.
-- Agreed to acquire Teekay Corporation's 33 percent interest in four LNG
carrier newbuildings scheduled to deliver in 2011 and 2012.
-- Partnership's total liquidity increased to approximately $600 million as
at May 1, 2011.
Teekay GP LLC, the general partner of Teekay LNG Partners L.P.
(Teekay LNG or the Partnership) today reported its results for the
quarter ended March 31, 2011. During the first quarter of 2011, the
Partnership generated distributable cash flow(1) of $39.1 million,
compared to $33.9 million in the same quarter of the previous year.
The increase primarily reflects the incremental distributable cash
flow resulting from a full quarter of revenue from the
Partnership's acquisition of three vessels in March 2010, the
Partnership's November 2010 acquisition of a 50 percent interest in
two LNG carriers, and reduced off-hire days relating to scheduled
drydockings.
On April 21, 2011, the Partnership declared a cash distribution
of $0.63 per unit for the quarter ended March 31, 2011. The cash
distribution is payable on May 13, 2011 to all unitholders of
record on May 6, 2011.
"The Partnership's first quarter results reflect the stable cash
flows generated by our fixed-rate contract portfolio of vessels and
include a full quarter contribution from the Exmar vessel interests
we acquired in November 2010," commented Peter Evensen, Chief
Executive Officer of Teekay GP LLC. "We look forward to further
distributable cash flow growth as the Partnership takes delivery of
new gas carriers supported by long-term fixed-rate contracts in the
near future, including the 33 percent interest in four Angola LNG
carrier newbuildings which will begin delivering in the second half
of 2011."
Mr. Evensen continued, "After a period of slower growth in the
LNG sector, activity is picking up with an increasing number of
projects for both traditional LNG transportation and floating
storage and regasification units, or FSRUs, coming up for tender.
In addition, with its substantial level of available liquidity, the
Partnership will continue to evaluate opportunities to acquire high
quality third party assets servicing long-term contracts, which
should further drive distributable cash flow growth."
(1) Distributable cash flow is a non-GAAP financial measure used
by certain investors to measure the financial performance of the
Partnership and other master limited partnerships. Please see
Appendix B for a reconciliation of this non-GAAP measure to the
most directly comparable GAAP financial measure.
Teekay LNG's Fleet
The following table summarizes the Partnership's fleet as of May
1, 2011:
---------------------------------------------------------------------
---------------------------------------------------------------------
Number of Vessels
----------------------------------------
----------------------------------------
Delivered
Vessels Committed Vessels Total
----------------------------------------
LNG Carrier Fleet 17 (1) 4 (2) 21
LPG/Multigas Carrier Fleet 2 3 (3) 5
Conventional Tanker Fleet 11 - 11
---------------------------------------------------------------------
---------------------------------------------------------------------
Total 30 7 37
---------------------------------------------------------------------
---------------------------------------------------------------------
(1) Includes a 50 percent interest in a FSRU unit.
(2) Represents a 33 percent interest in four Angola LNG carriers under
construction, as described below.
(3) Represents the three Skaugen LPG/Multigas carriers currently under
construction, as described below.
Future Projects
Below is a summary of LNG and LPG/Multigas newbuildings that the
Partnership has agreed to acquire:
Skaugen LPG/Multigas
The Partnership has agreed to acquire one LPG carrier from a
subsidiary of IM Skaugen ASA (Skaugen) and two Multigas carriers
from Teekay Corporation (Teekay). The three LPG/Multigas carriers
are currently under construction and are expected to be delivered
in 2011. Upon delivery, the vessels will commence service under
15-year fixed-rate charters to Skaugen.
Angola LNG
A consortium in which Teekay has a one-third interest, has
agreed to charter four newbuilding LNG carriers for a period of 20
years to the Angola LNG Project, which is being developed by
subsidiaries of Chevron, Sonangol, BP, Total and ENI. The vessels
will be chartered at fixed rates, with inflation adjustments,
following their deliveries. The vessels are currently under
construction and are expected to deliver during 2011 and 2012. In
March 2011, the Partnership agreed to purchase Teekay Corporation's
33 percent interest in these vessels and related charter contracts
concurrent with their respective deliveries.
Financial Summary
The Partnership reported adjusted net income attributable to the
partners(1) (as detailed in Appendix A to this release) of $25.9
million for the quarter ended March 31, 2011, compared to $21.4
million for the same period of the prior year. Adjusted net income
attributable to the partners excludes a number of specific items
which had the net effect of decreasing net income by $0.9 million
and increasing net income by $7.1 million for the three months
ended March 31, 2011 and 2010, respectively, as detailed in
Appendix A. Including these items, the Partnership reported net
income attributable to the partners, on a GAAP basis, of $25.0
million and $28.5 million for the three months ended March 31, 2011
and 2010, respectively.
For accounting purposes, the Partnership is required to
recognize the changes in the fair value of its derivative
instruments on the consolidated statements of income. This method
of accounting does not affect the Partnership's cash flows or the
calculation of distributable cash flow, but results in the
recognition of unrealized gains or losses on the consolidated
statements of income as detailed in footnote 2 of the Summary
Consolidated Statements of Income.
The Partnership's financial statements for the prior periods
include historical results of vessels acquired by the Partnership
from Teekay, referred to herein as the Dropdown Predecessor, for
the period when these vessels were owned and operated by
Teekay.
Operating Results
The following table highlights certain financial information for
Teekay LNG's segments: the Liquefied Gas Segment and the
Conventional Tanker Segment (please refer to the "Teekay LNG's
Fleet" section of this release above and Appendix C for further
details).
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Three Months Ended Three Months Ended
------------------------------------------------------
March 31, 2011 March 31, 2010
------------------------------------------------------
(unaudited) (unaudited)
------------------------------------------------------
------------------------------------------------------
Convent-
Convent- ional
Liquefied ional Liquefied Tanker
(in thousands of U.S. Gas Tanker Gas Segment
dollars) Segment Segment Total Segment (i) Total
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net voyage
revenues(ii) 65,784 27,065 92,849 65,813 26,538 92,351
Vessel operating
expenses 11,077 9,730 20,807 11,416 9,612 21,028
Depreciation and
amortization 15,124 7,225 22,349 15,238 6,918 22,156
Cash flow from vessel
operations(iii) 52,742 14,333 67,075 52,914 9,902 62,816
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(i) Cash flow from vessel operations for the Conventional Tanker segment
only reflects the cash flows generated by the Alexander Spirit, Hamilton
Spirit and Bermuda Spirit subsequent to their acquisition by the
Partnership on March 17, 2010. Results for the Alexander Spirit, Hamilton
Spirit and Bermuda Spirit for the periods prior to their acquisition by the
Partnership when they were owned and operated by Teekay are referred to as
the Dropdown Predecessor.
(ii) Net voyage revenues represents voyage revenues less voyage expenses,
which comprise all expenses relating to certain voyages, including bunker
fuel expenses, port fees, canal tolls and brokerage commissions. Net voyage
revenues is a non-GAAP financial measure used by certain investors to
measure the financial performance of shipping companies. Please see the
Partnership's web site at www.teekaylng.com for a reconciliation of this
non-GAAP measure as used in this release to the most directly comparable
GAAP financial measure.
(iii) Cash flow from vessel operations represents income from vessel
operations before (a) depreciation and amortization expense, (b) Dropdown
Predecessor's income from vessel operations and (c) adjusting for direct
financing leases to a cash basis. However, the Partnership's cash flow from
vessel operations does not include the Partnership's equity accounted
investee's cash flow from vessel operations. Cash flow from vessel
operations is included because certain investors use this data to measure a
company's financial performance. Cash flow from vessel operations is not
required by accounting principles generally accepted in the United States
and should not be considered as an alternative to net income or any other
indicator of the Partnership's performance required by accounting
principles generally accepted in the United States.
Liquefied Gas Segment
Cash flow from vessel operations from the Partnership's
Liquefied Gas segment decreased slightly to $52.7 million in the
first quarter of 2011 from $52.9 million in the same quarter of the
prior year. This decrease is primarily due to the sale of the Dania
Spirit LPG carrier in November 2010, partially offset by fewer
off-hire days in the first quarter of 2011 relating to scheduled
drydockings. Cash flow from vessel operations, as reported in the
above table, does not include cash flow of $12.9 million for the
three months ended March 31, 2011 from the Partnership's two
equity-accounted joint ventures, RasGas 3 and Exmar.
Conventional Tanker Segment
Cash flow from vessel operations from the Partnership's
Conventional Tanker segment increased to $14.3 million in the first
quarter of 2011 from $9.9 million in the same quarter of the prior
year. The increase is primarily due to a full quarter of operations
from the two Suezmax tankers and one Handymax tanker that were
acquired from Teekay late in the first quarter of 2010.
Liquidity
As of March 31, 2011, the Partnership had total liquidity of
$437.6 million, comprised of $72.6 million in cash and cash
equivalents and $365.0 million in undrawn credit facilities. Total
liquidity increased from $437.6 million to approximately $600
million as at May 1, 2011, primarily as a result of the
Partnership's recently completed equity offering, which provided
net proceeds to the Partnership of approximately $161.6 million,
including proceeds received upon the partial exercise of the
underwriter's over-allotment option.
Availability of 2010 Annual Report
Teekay LNG Partners L.P. filed its 2010 Annual Report on Form
20-F with the U.S. Securities and Exchange Commission (SEC) on
April 4, 2011, amended on April 29, 2011 to include XBRL. Copies
are available on Teekay LNG's web site, under "Investor Briefcase",
at www.teekaylng.com. Unitholders may request a printed copy of
this annual report, including the complete audited financial
statements free of charge by contacting Teekay LNG's Investor
Relations.
Conference Call
The Partnership plans to host a conference call on May 13, 2011
at 11:00 a.m. (ET) to discuss the results for the first quarter of
2011. All unitholders and interested parties are invited to listen
to the live conference call by choosing from the following
options:
-- By dialing (866) 399-6716 or (416) 640-5933, if outside North America,
and quoting conference ID code 7351063.
-- By accessing the webcast, which will be available on Teekay LNG's Web
site at www.teekaylng.com (the archive will remain on the web site for a
period of 30 days).
A supporting First Quarter 2011 Earnings Presentation will also
be available at www.teekaylng.com in advance of the conference call
start time.
The conference call will be recorded and available until Friday,
May 20, 2011. This recording can be accessed following the live
call by dialing (888) 203-1112 or (647) 436-0148, if outside North
America, and entering access code 7351063.
About Teekay LNG Partners L.P.
Teekay LNG Partners L.P. is a publicly-traded master limited
partnership formed by Teekay Corporation (NYSE: TK) as part of its
strategy to expand its operations in the LNG and LPG shipping
sectors. Teekay LNG Partners L.P. provides LNG, LPG and crude oil
marine transportation services under long-term, fixed-rate charter
contracts with major energy and utility companies through its fleet
of 21 LNG carriers (including one LNG regasification unit), five
LPG carriers and 11 conventional tankers. Four of the 21 LNG
carriers are newbuildings scheduled for delivery in 2011 and 2012.
Three of the five LPG carriers are newbuildings scheduled for
delivery in 2011.
Teekay LNG Partners' common units trade on the New York Stock
Exchange under the symbol "TGP".
TEEKAY LNG PARTNERS L.P.
SUMMARY CONSOLIDATED STATEMENTS OF INCOME
(in thousands of U.S. dollars, except unit data)
Three Months Ended
---------------------------------------------
March 31, December 31, March 31,
---------------------------------------------
2011 2010 2010 (1)
---------------------------------------------
(unaudited) (unaudited) (unaudited)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
VOYAGE REVENUES 93,219 97,516 92,492
---------------------------------------------------------------------------
---------------------------------------------------------------------------
OPERATING EXPENSES
Voyage expenses 370 685 141
Vessel operating expenses 20,807 20,545 21,028
Depreciation and amortization 22,349 22,658 22,156
General and administrative 6,326 7,566 5,392
Gain on sale of vessel - (4,340) -
Restructuring charge - - 49
---------------------------------------------------------------------------
---------------------------------------------------------------------------
49,852 47,114 48,766
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Income from vessel operations 43,367 50,402 43,726
---------------------------------------------------------------------------
---------------------------------------------------------------------------
OTHER ITEMS
Interest expense (11,754) (12,217) (12,774)
Interest income 1,578 1,805 1,873
Realized and unrealized gain
(loss) on derivative
instruments(2) 10,769 27,064 (26,812)
Foreign exchange (loss)
gain(3) (21,033) 7,528 23,221
Equity income(4) 8,057 10,526 1,317
Other (expense) income - net (1,247) (1,435) 470
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net income 29,737 83,673 31,021
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net income attributable to:
Non-controlling interest 4,757 7,301 301
Dropdown Predecessor(1) - - 2,258
Partners 24,980 76,372 28,462
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Limited partners' units
outstanding:
Weighted-average number of
common units outstanding 55,106,100 54,705,598 44,972,563
- Basic and diluted
Weighted-average number of
subordinated units outstanding - - 7,367,286
- Basic and diluted
Weighted-average number of
total units outstanding 55,106,100 54,705,598 52,339,849
- Basic and diluted
Total number of units
outstanding at end of period 55,106,100 55,106,100 52,339,849
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(1) Results for the Alexander Spirit, Hamilton Spirit and Bermuda Spirit
for the periods prior to their acquisition in March 2010 by the Partnership
when they were owned and operated by Teekay Corporation are referred to as
the Dropdown Predecessor.
(2) The realized losses relate to the amounts the Partnership actually paid
to settle such derivative instruments and the unrealized gains (losses)
relate to the change in fair value of such derivative instruments as
detailed in the table below.
Three Months Ended
---------------------------------
March 31, December March 31,
2011 31, 2010 2010
---------------------------------
Realized losses relating to:
Interest rate swaps (10,237) (10,394) (11,214)
Toledo Spirit time-charter derivative
contract - (1,919) -
---------------------------------
(10,237) (12,313) (11,214)
---------------------------------
Unrealized gains (losses) relating to:
Interest rate swaps 19,806 37,277 (15,398)
Toledo Spirit time-charter derivative
contract 1,200 2,100 (200)
---------------------------------
21,006 39,377 (15,598)
---------------------------------
Total realized and unrealized gains
(losses) on derivative instruments 10,769 27,064 (26,812)
---------------------------------
---------------------------------
(3) For accounting purposes, the Partnership is required to revalue all
foreign currency-denominated monetary assets and liabilities based on the
prevailing exchange rate at the end of each reporting period. This
revaluation does not affect the Partnership's cash flows or the calculation
of distributable cash flow, but results in the recognition of unrealized
foreign currency translation gains or losses in the consolidated statements
of income.
(4) Equity income includes unrealized gains (losses) on derivative
instruments of $2.6 million, $6.4 million and $(2.2) million for the three
months ended March 31, 2011, December 31, 2010 and March 31, 2010,
respectively.
TEEKAY LNG PARTNERS L.P.
SUMMARY CONSOLIDATED BALANCE SHEETS (1)
(in thousands of U.S. dollars)
As at
As at March December
31, 2011 31, 2010
--------------------------
unaudited unaudited
--------------------------
ASSETS
Cash and cash equivalents 72,612 81,055
Restricted cash - current 88,443 82,576
Other current assets 23,448 25,273
Advances to affiliates 7,238 6,133
Restricted cash - long-term 493,483 489,562
Vessels and equipment 1,922,164 1,940,041
Advances on newbuilding contracts 80,933 79,535
Net investments in direct financing leases 414,327 415,695
Derivative assets 50,688 62,283
Investments in joint ventures 180,868 172,898
Other assets 32,389 33,167
Intangible assets 121,263 123,546
Goodwill 35,631 35,631
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Total Assets 3,523,487 3,547,395
---------------------------------------------------------------------------
---------------------------------------------------------------------------
LIABILITIES AND EQUITY
Accounts payable, accrued liabilities and
unearned revenue 53,594 56,971
Current portion of long-term debt and capital
leases 557,567 343,790
Advances from affiliates and joint venture
partners 132,210 133,410
Long-term debt and capital leases 1,600,770 1,793,459
Derivative liabilities 167,364 199,965
Other long-term liabilities 106,563 106,477
Equity
Non-controlling interest(2) 21,828 17,123
Partners' equity 883,591 896,200
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Total Liabilities and Total Equity 3,523,487 3,547,395
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(1) Due to the Partnership's agreement to acquire Teekay Corporation's 100
percent interest in the two Skaugen Multigas Carriers, it is required to
consolidate these vessels prior to the actual acquisition date under U.S.
GAAP.
(2) Non-controlling interest includes the 30 percent portion of the RasGasII
Project, 31 percent of the equity interest in the Tangguh project and 1
percent of the equity interest in both the Kenai LNG Carriers and the
Excalibur Joint Venture, which in each case the Partnership does not own.
TEEKAY LNG PARTNERS L.P.
SUMMARY CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands of U.S. dollars)
Three Months Ended March
31,
------------------------
2011 2010(1)
------------------------
Cash and cash equivalents provided by (used for)
OPERATING ACTIVITIES
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net operating cash flow 39,670 60,486
---------------------------------------------------------------------------
---------------------------------------------------------------------------
FINANCING ACTIVITIES
Distribution to Teekay Corporation for the
acquisition of the Bermuda Spirit,
Hamilton Spirit and Alexander Spirit - (33,997)
Proceeds from issuance of long-term debt 24,118 28,246
Scheduled repayments of long-term debt (16,275) (19,248)
Prepayments of long-term debt (12,000) (9,000)
Scheduled repayments of capital lease obligations
and other long-term liabilities (2,482) (774)
Advances to and from affiliates 1,401 (4,420)
Repayment of joint venture partners' advances (59) -
Equity contribution from Teekay Corporation to
Dropdown Predecessor - 466
Cash distributions paid (37,666) (31,587)
(Increase) decrease in restricted cash (3,213) 299
Other (120) (120)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net financing cash flow (46,296) (70,135)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
INVESTING ACTIVITIES
Receipts from direct financing leases 1,367 1,268
Expenditures for vessels and equipment (3,184) (2,651)
Advances to joint venture partner and joint venture - (94)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net investing cash flow (1,817) (1,477)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Decrease in cash and cash equivalents (8,443) (11,126)
Cash and cash equivalents, beginning of the period 81,055 108,350
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Cash and cash equivalents, end of the period 72,612 97,224
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(1) In accordance with GAAP, the Consolidated Statements of Cash Flows
includes the cash flows relating to the Dropdown Predecessor for the
Alexander Spirit, Hamilton Spirit and Bermuda Spirit, for the period from
September 3, 2009, June 24, 2009 and May 27, 2009, respectively to
March 17, 2010, when the vessels were under the common control of Teekay,
but prior to their acquisition by the Partnership.
TEEKAY LNG PARTNERS L.P.
APPENDIX A - SPECIFIC ITEMS AFFECTING NET INCOME
(in thousands of U.S. dollars)
Set forth below is a reconciliation of the Partnership's
unaudited adjusted net income attributable to the partners, a
non-GAAP financial measure, to net income attributable to the
partners as determined in accordance with GAAP. The Partnership
believes that, in addition to conventional measures prepared in
accordance with GAAP, certain investors use this information to
evaluate the Partnership's financial performance. The items below
are also typically excluded by securities analysts in their
published estimates of the Partnership's financial results.
Adjusted net income attributable to the partners is intended to
provide additional information and should not be considered a
substitute for measures of performance prepared in accordance with
GAAP.
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Three Three
Months Months
Ended Ended
------------------------
March 31, March 31,
2011 2010
------------------------
(unaudited) (unaudited)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net income - GAAP basis 29,737 31,021
Less:
Net (income) attributable to Dropdown Predecessor - (2,258)
Net (income) attributable to non-controlling
interest (4,757) (301)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net income attributable to the partners 24,980 28,462
Add (subtract) specific items affecting net income:
Foreign exchange loss (gain)(1) 21,033 (23,096)
Unrealized (gains) losses from derivative
instruments(2) (21,006) 15,598
Unrealized (gains) losses from derivative
instruments from equity accounted investees(2) (2,554) 2,182
Restructuring charge and other(3) 949 49
Non-controlling interests' share of items above 2,484 (1,804)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Total adjustments 906 (7,071)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Adjusted net income attributable to the partners 25,886 21,391
---------------------------------------------------------------------------
---------------------------------------------------------------------------
(1) Foreign exchange gains primarily relate to the revaluation of the
Partnership's debt, capital leases and restricted cash denominated in
Euros.
(2) Reflects the unrealized gain (loss) due to changes in the mark-to-market
value of derivative instruments that are not designated as hedges
for accounting purposes.
(3) Amount for three months ended March 31, 2011 relates to a one-time
management fee associated with the portion of stock-based compensation
grants to Teekay's former President and Chief Executive Officer that had
not yet vested prior to the date of his retirement on March 31, 2011.
TEEKAY LNG PARTNERS L.P.
APPENDIX B - RECONCILIATION OF NON-GAAP FINANCIAL MEASURE
(in thousands of U.S. dollars)
Description of Non-GAAP Financial Measure - Distributable Cash
Flow (DCF)
Distributable cash flow represents net income adjusted for
depreciation and amortization expense, non-cash items, estimated
maintenance capital expenditures, gains and losses on vessel sales,
unrealized gains and losses from derivatives, income from variable
interest entity, deferred income taxes, foreign exchange related
items and net income attributable to the Dropdown Predecessor
before depreciation. Maintenance capital expenditures represent
those capital expenditures required to maintain over the long-term
the operating capacity of, or the revenue generated by, the
Partnership's capital assets. Distributable cash flow is a
quantitative standard used in the publicly-traded partnership
investment community to assist in evaluating a partnership's
ability to make quarterly cash distributions. Distributable cash
flow is not required by accounting principles generally accepted in
the United States and should not be considered as an alternative to
net income or any other indicator of the Partnership's performance
required by accounting principles generally accepted in the United
States. The table below reconciles distributable cash flow to net
income.
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Three Months
Ended
-------------
March 31,
2011
-------------
(unaudited)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Net income 29,737
Add:
Depreciation and amortization 22,349
Partnership's share of joint ventures' DCF before estimated
maintenance capital expenditures 7,863
Non-cash tax expense 617
Unrealized foreign exchange loss 21,033
Less:
Unrealized gain from derivatives and other non-cash items (19,427)
Estimated maintenance capital expenditures (11,168)
Equity income from joint ventures (8,057)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Distributable Cash Flow before Non-controlling interest 42,947
Non-controlling interests' share of DCF before estimated
maintenance capital expenditures (3,866)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Distributable Cash Flow 39,081
---------------------------------------------------------------------------
---------------------------------------------------------------------------
TEEKAY LNG PARTNERS L.P.
APPENDIX C - SUPPLEMENTAL SEGMENT INFORMATION
(in thousands of U.S. dollars)
Three Months Ended March 31, 2011
---------------------------------------
(unaudited)
Liquefied Conventional
Gas Tanker
Segment Segment Total
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Net voyage revenues(1) 65,784 27,065 92,849
Vessel operating expenses 11,077 9,730 20,807
Depreciation and amortization 15,124 7,225 22,349
General and administrative 3,324 3,002 6,326
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Income from vessel operations 36,259 7,108 43,367
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Three Months Ended March 31, 2010
---------------------------------------
(unaudited)
Liquefied Conventional
Gas Tanker
Segment Segment Total
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Net voyage revenues(1) 65,813 26,538 92,351
Vessel operating expenses 11,416 9,612 21,028
Depreciation and amortization 15,238 6,918 22,156
General and administrative 2,744 2,648 5,392
Restructuring charge - 49 49
--------------------------------------------------------------------------
--------------------------------------------------------------------------
Income from vessel operations 36,415 7,311 43,726
--------------------------------------------------------------------------
--------------------------------------------------------------------------
(1) Net voyage revenues represents voyage revenues less voyage expenses,
which comprise all expenses relating to certain voyages, including bunker
fuel expenses, port fees, canal tolls and brokerage commissions. Net voyage
revenues is a non-GAAP financial measure used by certain investors to
measure the financial performance of shipping companies. Please see the
Partnership's web site at www.teekaylng.com for a reconciliation of this
non-GAAP measure as used in this release to the most directly comparable
GAAP financial measure.
FORWARD LOOKING STATEMENTS
This release 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: the
Partnership's future growth opportunities; improvements in the LNG
sector; the timing of LNG and LPG/Multigas newbuilding deliveries
and incremental cash flows relating to long-term, fixed-rate
contracts serviced by these newbuildings; the growth opportunities
in floating LNG regasification market; the Partnership's financial
position, including available liquidity; and the potential for the
Partnership to increase distributable cash flow from future
projects and acquisitions of additional vessels from third parties.
The following factors are among those that could cause actual
results to differ materially from the forward-looking statements,
which involve risks and uncertainties, and that should be
considered in evaluating any such statement: the unit price of
equity offerings to finance acquisitions; changes in production of
LNG or LPG, either generally or in particular regions; development
of LNG and LPG projects; required approvals by the Conflicts
Committee of the Board of Directors of the Partnership's general
partner to acquire any projects offered to the Partnership by
Teekay Corporation; less than anticipated revenues or higher than
anticipated costs or capital requirements; changes in trading
patterns significantly affecting overall vessel tonnage
requirements; changes in applicable industry laws and regulations
and the timing of implementation of new laws and regulations; the
potential for early termination of long-term contracts and
inability of the Partnership to renew or replace long-term
contracts; LNG and LPG/Multigas project delays or shipyard
production delays which would change the expected timing and cost
of newbuild vessel deliveries; the Partnership's ability to raise
financing to purchase additional vessels or to pursue LNG or
LPG/Multigas projects; changes to the amount or proportion of
revenues, expenses, or debt service costs denominated in foreign
currencies; and other factors discussed in Teekay LNG Partners'
filings from time to time with the SEC, including its Report on
Form 20-F for the fiscal year ended December 31, 2010. The
Partnership expressly disclaims any obligation to release publicly
any updates or revisions to any forward-looking statements
contained herein to reflect any change in the Partnership's
expectations with respect thereto or any change in events,
conditions or circumstances on which any such statement is
based.
Contacts: Teekay LNG Partners L.P. Kent Alekson Investor
Relations Enquiries +1 (604) 609-6442 www.teekaylng.com
Teekay Lng Partners (NYSE:TGP)
Historical Stock Chart
From Jun 2024 to Jul 2024
Teekay Lng Partners (NYSE:TGP)
Historical Stock Chart
From Jul 2023 to Jul 2024