Teekay Offshore

Market info

Flotel order cancellation hits Teekay for £33m

05/08/2016

Marine energy transport company Teekay Offshore slumped to net losses of $102.6million (£78million) in the second quarter after being hit by a cancellation charge for two flotels. Teekay booked a £33million writedown when it terminated the construction deals for the two so-called units for maintenance and safety (UMS) with the Cosco Shipyard in China. Revenues from vessel operations also suffered due to the Arendal Spirit UMS’s withdrawal from service for 71 days.