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Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended
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Dec. 31, 2013
Derivative Instruments And Hedging Activities Disclosure [Abstract] |
Commitment of Foreign Currency Forward Contracts | As at December 31, 2013, the Company was committed to the following foreign currency forward contracts:
|  | Contract Amount in Foreign Currency |  |  | Average Forward Rate(1) |  |  | Fair Value / Carrying Amount of Asset (Liability) $ |  |  |  |
|  |  |  |  | Expected Maturity |
|  |  |  |  | 2014 $ |  |  | 2015 $ |
Norwegian Kroner |  |  | 641,100 |  |  |  | 6.03 |  |  |  | (1,424 | ) |  |  | 92,772 |  |  |  | 13,541 |
Canadian Dollar |  |  | 10,000 |  |  |  | 1.06 |  |  |  | (56 | ) |  |  | 9,457 |  |  |  | — |
|  |  |  |  |  |  |  |  |  |  | (1,480 | ) |  |  | 102,229 |  |  |  | 13,541 |
(1) | Average contractual exchange rate represents the contracted amount of foreign currency one U.S. Dollar will buy.
Commitment of Cross Currency Swaps | As at December 31, 2013, the Company was committed to the following cross currency swaps:
Notional Amount NOK |  |  | Notional Amount USD |  |  | Floating Rate Receivable |  |  | Fixed Rate Payable |  |  | Fair Value / Carrying Amount of |  |  | Remaining Term (years) |
|  | Reference Rate |  | Margin |  |  |  | Asset / Liability |  |
| 700,000 |  |  |  | 122,800 |  |  | NIBOR |  |  | 4.75 | % |  |  | 5.52 | % |  |  | (8,550 | ) |  |  | 1.8 |
| 500,000 |  |  |  | 89,710 |  |  | NIBOR |  |  | 4.00 | % |  |  | 4.80 | % |  |  | (8,185 | ) |  |  | 2.1 |
| 600,000 |  |  |  | 101,351 |  |  | NIBOR |  |  | 5.75 | % |  |  | 7.49 | % |  |  | (5,503 | ) |  |  | 3.1 |
| 700,000 |  |  |  | 125,000 |  |  | NIBOR |  |  | 5.25 | % |  |  | 6.88 | % |  |  | (13,247 | ) |  |  | 3.3 |
| 800,000 |  |  |  | 143,536 |  |  | NIBOR |  |  | 4.75 | % |  |  | 5.93 | % |  |  | (11,744 | ) |  |  | 4.1 |
| 900,000 |  |  |  | 150,000 |  |  | NIBOR |  |  | 4.35 | % |  |  | 6.43 | % |  |  | (4,990 | ) |  |  | 4.7 |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | (52,219 | ) |  |  |  |
Interest Rate Swap Agreements | As at December 31, 2013, the Company was committed to the following interest rate swap agreements related to its LIBOR-based debt, restricted cash deposits and EURIBOR-based debt, whereby certain of the Company’s floating-rate debt and restricted cash deposits were swapped with fixed-rate obligations or fixed-rate deposits:
|  | Interest Rate Index |  | Principal Amount $ |  |  | Fair Value / Carrying Amount of Asset / (Liability) $ |  |  | Weighted- Average Remaining Term (years) |  |  | Fixed Interest Rate (%)(1) |
LIBOR-Based Debt: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Dollar-denominated interest rate swaps (2) |  | LIBOR |  |  | 404,464 |  |  |  | (66,829 | ) |  |  | 23.1 |  |  |  | 4.9 |
U.S. Dollar-denominated interest rate swaps (3) |  | LIBOR |  |  | 3,217,495 |  |  |  | (306,428 | ) |  |  | 6.5 |  |  |  | 3.8 |
U.S. Dollar-denominated interest rate swaps (4) |  | LIBOR |  |  | 300,000 |  |  |  | 4,735 |  |  |  | 0.2 |  |  |  | 1.7 |
LIBOR-Based Restricted Cash Deposit: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Dollar-denominated interest rate swaps (2) |  | LIBOR |  |  | 469,011 |  |  |  | 81,118 |  |  |  | 23.1 |  |  |  | 4.8 |
EURIBOR-Based Debt: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Euro-denominated interest rate swaps (5) (6) |  | EURIBOR |  |  | 340,221 |  |  |  | (31,651 | ) |  |  | 7.0 |  |  |  | 3.1 |
|  |  |  |  |  |  |  |  | (319,055 | ) |  |  |  |  |  |  |  |
(1) | Excludes the margins the Company pays on its variable-rate debt, which, as of December 31, 2013, ranged from 0.3% to 4.5%.
(2) | Principal amount reduces quarterly.
(3) | Principal amount of $200 million is fixed at 2.14%, unless LIBOR exceeds 6%, in which case the Company pays a floating rate of interest.
(4) | Inception date of swap is March 2014 ($300.0 million).
(5) | Principal amount reduces monthly to 70.1 million Euros ($96.3 million) by the maturity dates of the swap agreements.
(6) | Principal amount is the U.S. Dollar equivalent of 247.6 million Euros.
Location and Fair Value Amounts of Derivative Instruments | The following table presents the location and fair value amounts of derivative instruments, segregated by type of contract, on the Company’s consolidated balance sheets.
|  | Current Portion of Derivative Assets |  |  | Derivative Assets |  |  | Accrued Liabilities |  |  | Current Portion of Derivative Liabilities |  |  | Derivative Liabilities |
As at December 31, 2013 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivatives not designated as a cash flow hedge: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Foreign currency contracts |  |  | 482 |  |  |  | 12 |  |  |  | — |  |  |  | (1,819 | ) |  |  | (155 | )
Interest rate swap agreements |  |  | 21,779 |  |  |  | 69,785 |  |  |  | (22,025 | ) |  |  | (140,503 | ) |  |  | (248,091 | )
Cross currency swap agreements |  |  | 779 |  |  |  | — |  |  |  | 3 |  |  |  | (1,677 | ) |  |  | (51,324 | )
|  |  | 23,040 |  |  |  | 69,797 |  |  |  | (22,022 | ) |  |  | (143,999 | ) |  |  | (299,570 | )
As at December 31, 2012 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivatives designated as a cash flow hedge: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Foreign currency contracts |  |  | 441 |  |  |  | — |  |  |  | — |  |  |  | (1 | ) |  |  | — |
Derivatives not designated as a cash flow hedge: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Foreign currency contracts |  |  | 2,506 |  |  |  | — |  |  |  | — |  |  |  | (60 | ) |  |  | — |
Interest rate swap agreements |  |  | 16,927 |  |  |  | 144,247 |  |  |  | (22,312 | ) |  |  | (115,774 | ) |  |  | (525,225 | )
Cross currency swap agreements |  |  | 11,795 |  |  |  | 4,334 |  |  |  | 719 |  |  |  | — |  |  |  | (2,962 | )
|  |  | 31,669 |  |  |  | 148,581 |  |  |  | (21,593 | ) |  |  | (115,835 | ) |  |  | (528,187 | )
Effect of Gain (Loss) on Derivatives Not Designated as Hedging Instruments | The effect of the gain (loss) on derivatives not designated as hedging instruments in the statements of income (loss) are as follows:
|  | Year Ended December 31, 2013 $ |  |  | Year Ended December 31, 2012 $ |  |  | Year Ended December 31, 2011 $ |
Realized (losses) gains relating to: |  |  |  |  |  |  |  |  |  |  |  |
Interest rate swap agreements |  |  | (122,439 | ) |  |  | (123,277 | ) |  |  | (132,931 | )
Interest rate swap agreement amendments and terminations |  |  | (35,985 | ) |  |  | — |  |  |  | (149,666 | )
Foreign currency forward contracts |  |  | (2,027 | ) |  |  | 1,155 |  |  |  | 9,965 |
Forward freight agreements and bunker fuel swap contracts |  |  | — |  |  |  | — |  |  |  | 36 |
Foinaven embedded derivative |  |  | — |  |  |  | 11,452 |  |  |  | — |
|  |  | (160,451 | ) |  |  | (110,670 | ) |  |  | (272,596 | )
Unrealized gains (losses) relating to: |  |  |  |  |  |  |  |  |  |  |  |
Interest rate swap agreements |  |  | 182,800 |  |  |  | 26,770 |  |  |  | (58,405 | )
Foreign currency forward contracts |  |  | (3,935 | ) |  |  | 6,933 |  |  |  | (11,399 | )
Foinaven embedded derivative |  |  | — |  |  |  | (3,385 | ) |  |  | (322 | )
|  |  | 178,865 |  |  |  | 30,318 |  |  |  | (70,126 | )
Total realized and unrealized gains (losses) on derivative instruments |  |  | 18,414 |  |  |  | (80,352 | ) |  |  | (342,722 | )
Effect of (Loss) Gain on Cross Currency Swaps | The effect of the (loss) gain on cross currency swaps on the consolidated statements of income (loss) is as follows:
|  | Year Ended December 31, |
|  | 2013 |  |  | 2012 |  |  | 2010 |
|  | $ |  |  | $ |  |  | $ |
Realized gain on partial termination of cross currency swap |  |  | 6,800 |  |  |  | — |  |  |  | — |
Realized gains |  |  | 2,089 |  |  |  | 3,628 |  |  |  | 2,881 |
Unrealized (losses) gains |  |  | (65,387 | ) |  |  | 10,715 |  |  |  | (1,583 | )
Total realized and unrealized (losses) gains on cross currency swaps |  |  | (56,498 | ) |  |  | 14,343 |  |  |  | 1,298 |

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