Teekay Tankers’ relationship with our parent, Teekay Corporation, provides numerous competitive advantages.
Premier global franchise
Through Teekay Corporation, Teekay Tankers has access to a network of strong customer relationships, built through superior service, which enhances our ability to secure fixed-rate charter contracts.
In addition, our vessels operating in the spot tanker market also participate in Teekay Corporation’s Aframax and Gemini Suezmax pools, enabling us to leverage Teekay’s experience successfully operating through the spot tanker market cycles.
Other benefits provided by Teekay Corporation include:
• 6 chartering offices working 24 / 7
• Higher utilization through market concentration on key routes
• Operational control through managing business in-house
• Large fleet of interchangeable uniform-sized vessels
As the majority shareholder, Teekay Corporation manages all Teekay Tankers assets and operations, including its marine systems and standards.
We benefit both from Teekay’s reputation for quality service and higher utilization that comes from trading within pools which maximizes the cash flows from our spot market-traded vessels and allows us to pay higher dividends to shareholders.
Built-in growth opportunities
Strong sponsorship by parent Teekay Corporation and its ownership of an additional 17 tankers suitable for drop down to Teekay Tankers provide built-in opportunities for growth.
Incentive for growth
The interests of Teekay Corporation are very well aligned with those of Teekay Tankers shareholders. Since its IPO in December 2007, Teekay Tankers has been the primary growth vehicle for Teekay Corporation's tanker franchise.
Teekay Corporation is further motivated to grow Teekay Tankers’ dividends through a performance fee which entitles Teekay to 20 percent of the Teekay Tankers cash flow in excess of $3.20 per share provided shareholders have first received a minimum per share dividend of $2.65 in the preceding years.