Document and Entity Information
Document and Entity Information - shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Document Information [Line Items] | ||
Document Type | 20-F | |
Amendment Flag | false | |
Document Period End Date | Dec. 31, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | FY | |
Trading Symbol | SSW | |
Entity Registrant Name | Seaspan CORP | |
Entity Central Index Key | 1,332,639 | |
Current Fiscal Year End Date | --12-31 | |
Entity Well-known Seasoned Issuer | No | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 105,749,016 | |
Entity Preferred Stock, Shares Outstanding | 32,751,629 | 23,673,403 |
Series D Preferred Shares [Member] | ||
Document Information [Line Items] | ||
Entity Preferred Stock, Shares Outstanding | 4,981,029 | |
Series E Preferred Shares [Member] | ||
Document Information [Line Items] | ||
Entity Preferred Stock, Shares Outstanding | 5,370,600 | |
Series F Preferred Shares [Member] | ||
Document Information [Line Items] | ||
Entity Preferred Stock, Shares Outstanding | 5,600,000 | |
Series G Preferred Shares [Member] | ||
Document Information [Line Items] | ||
Entity Preferred Stock, Shares Outstanding | 7,800,000 | |
Series H Preferred Shares [Member] | ||
Document Information [Line Items] | ||
Entity Preferred Stock, Shares Outstanding | 9,000,000 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 367,901 | $ 215,520 |
Short-term investments | 411 | 3,415 |
Accounts receivable (note 4 and 5) | 30,793 | 24,065 |
Loans to affiliate (note 4) | 62,414 | 219,649 |
Prepaid expenses | 37,252 | 39,731 |
Gross investment in lease | 0 | 37,783 |
Fair value of financial instruments (note 19(d)) | 11,338 | 0 |
Total current assets | 510,109 | 540,163 |
Vessels (note 6) | 4,883,849 | 5,278,348 |
Deferred charges (note 7) | 68,099 | 57,299 |
Goodwill | 75,321 | 75,321 |
Other assets (note 8) | 120,451 | 89,056 |
Fair value of financial instruments (note 19(d)) | 0 | 33,632 |
Total assets | 5,657,829 | 6,073,819 |
Current liabilities: | ||
Accounts payable and accrued liabilities (note 16(a)) | 62,157 | 76,386 |
Current portion of deferred revenue (note 9) | 28,179 | 22,199 |
Current portion of long-term debt (note 10) | 314,817 | 285,783 |
Current portion of long-term obligations under capital lease (note 11) | 27,824 | 22,702 |
Current portion of other long-term liabilities (note 12) | 21,115 | 15,471 |
Fair value of financial instruments (note 19(d)) | 30,752 | 1,260 |
Total current liabilities | 484,844 | 423,801 |
Deferred revenue (note 9) | 1,528 | 2,730 |
Long-term debt (note 10) | 2,569,697 | 3,072,058 |
Long-term obligations under capital lease (note 11) | 459,395 | 314,078 |
Other long-term liabilities (note 12) | 195,104 | 148,083 |
Fair value of financial instruments (note 19(d)) | 200,012 | 336,886 |
Share capital (note 13): | ||
Common and preferred shares | 1,385 | 1,223 |
Treasury shares | (367) | (356) |
Additional paid in capital | 2,580,274 | 2,266,661 |
Deficit | (807,496) | (460,425) |
Accumulated other comprehensive loss | (26,547) | (30,920) |
Total shareholders' equity | 1,747,249 | 1,776,183 |
Total liabilities and shareholders' equity | 5,657,829 | 6,073,819 |
Commitments and contingent obligations (note 17) | 0 | 0 |
Subsequent events (note 20) | $ 0 | $ 0 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2016 | Dec. 31, 2015 |
Preferred shares, par value | $ 0.01 | $ 0.01 |
Preferred shares, authorized | 150,000,000 | 150,000,000 |
Preferred shares, issued | 32,751,629 | 23,673,403 |
Preferred shares, outstanding | 32,751,629 | 23,673,403 |
Class A Common Shares [Member] | ||
Common shares, par value | $ 0.01 | $ 0.01 |
Common shares, authorized | 200,000,000 | 200,000,000 |
Common shares, issued | 105,722,646 | 98,622,160 |
Common shares, outstanding | 105,722,646 | 98,622,160 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement [Abstract] | |||
Revenue | $ 877,905 | $ 819,024 | $ 717,170 |
Operating expenses: | |||
Ship operating | 192,327 | 193,836 | 166,097 |
Cost of services, supervision fees | 7,390 | 1,950 | 0 |
Depreciation and amortization | 216,098 | 204,862 | 181,527 |
General and administrative | 32,118 | 27,338 | 30,462 |
Operating leases (note 12) | 85,910 | 40,270 | 9,544 |
Loss on disposals (note 6) | 31,876 | 0 | 0 |
Expenses related to customer bankruptcy (note 5) | 19,732 | 0 | 0 |
Vessel impairments (note 6) | 285,195 | 0 | 0 |
Total operating expenses | 870,646 | 468,256 | 387,630 |
Operating earnings | 7,259 | 350,768 | 329,540 |
Other expenses (income): | |||
Interest expense and amortization of deferred financing fees | 119,882 | 108,693 | 98,501 |
Interest income | (8,455) | (11,026) | (10,653) |
Undrawn credit facility fees | 2,673 | 3,100 | 3,109 |
Refinancing expenses | 1,962 | 5,770 | 70 |
Change in fair value of financial instruments (note 19(d)) | 29,118 | 54,576 | 105,694 |
Equity income on investment (note 8) | (188) | (5,107) | (256) |
Other expense (income) | 1,306 | (4,629) | 1,828 |
Total other expenses (income) | 146,298 | 151,377 | 198,293 |
Net earnings (loss) | $ (139,039) | $ 199,391 | $ 131,247 |
Earnings (loss) per share (note 14): | |||
Class A common share, basic | $ (1.89) | $ 1.46 | $ 0.80 |
Class A common share, diluted | $ (1.89) | $ 1.46 | $ 0.79 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net earnings (loss) | $ (139,039) | $ 199,391 | $ 131,247 |
Other comprehensive income: | |||
Amounts reclassified to net earnings during the year relating to cash flow hedging instruments (note 19(d)) | 4,373 | 4,397 | 5,311 |
Comprehensive income (loss) | $ (134,666) | $ 203,788 | $ 136,558 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Total | Class A Common Shares [Member] | Series A Preferred Shares [Member] | Series C Preferred Shares [Member] | Series D Preferred Shares [Member] | Series E Preferred Shares [Member] | Series F Preferred Shares [Member] | Series G Preferred Shares [Member] | Series H Preferred Shares [Member] | Common Shares [Member] | Common Shares [Member]Class A Common Shares [Member] | Preferred Shares [Member] | Preferred Shares [Member]Series E Preferred Shares [Member] | Preferred Shares [Member]Series F Preferred Shares [Member] | Preferred Shares [Member]Series G Preferred Shares [Member] | Preferred Shares [Member]Series H Preferred Shares [Member] | Treasury Shares [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member]Class A Common Shares [Member] | Additional Paid-in Capital [Member]Series C Preferred Shares [Member] | Additional Paid-in Capital [Member]Series E Preferred Shares [Member] | Additional Paid-in Capital [Member]Series F Preferred Shares [Member] | Additional Paid-in Capital [Member]Series G Preferred Shares [Member] | Additional Paid-in Capital [Member]Series H Preferred Shares [Member] | Deficit [Member] | Deficit [Member]Series C Preferred Shares [Member] | Accumulated Other Comprehensive Loss [Member] |
Balance at Dec. 31, 2013 | $ 1,571,705 | $ 692 | $ 190 | $ (379) | $ 2,023,622 | $ (411,792) | $ (40,628) | ||||||||||||||||||||
Balance, shares at Dec. 31, 2013 | 69,208,888 | 200,000 | 13,665,531 | 5,105,000 | |||||||||||||||||||||||
Net earnings (loss) | 131,247 | 131,247 | |||||||||||||||||||||||||
Other comprehensive income | 5,311 | 5,311 | |||||||||||||||||||||||||
Conversion of Series A preferred shares | 232 | (2) | (230) | ||||||||||||||||||||||||
Conversion of Series A preferred shares, shares | 23,177,175 | (200,000) | |||||||||||||||||||||||||
Shares issued, value | $ 4,733 | $ 135,000 | $ 2 | $ 54 | $ 4,731 | $ 134,946 | |||||||||||||||||||||
Shares issued, shares | 206,600 | 5,400,000 | |||||||||||||||||||||||||
Fees and expenses in connection with issuance of common and preferred shares | (5,073) | (5,073) | |||||||||||||||||||||||||
Dividends on class A common shares | (127,007) | (127,007) | |||||||||||||||||||||||||
Dividends on preferred shares | (50,443) | (50,443) | |||||||||||||||||||||||||
Amortization of Series C preferred share issuance costs | $ 1,166 | $ (1,166) | |||||||||||||||||||||||||
Shares issued through dividend reinvestment program | 64,697 | 31 | 64,666 | ||||||||||||||||||||||||
Shares issued through dividend reinvestment program, shares | 3,043,731 | ||||||||||||||||||||||||||
Share-based compensation expense (note 15): | |||||||||||||||||||||||||||
Restricted class A common shares, phantom share units, stock appreciation rights issued, restricted stock units and performance stock units | 7,701 | 2 | 7,699 | ||||||||||||||||||||||||
Restricted class A common shares, phantom share units, stock appreciation rights issued, restricted stock units and performance stock units, shares | 214,464 | ||||||||||||||||||||||||||
Other share-based compensation | 7,353 | 3 | 7,350 | ||||||||||||||||||||||||
Other share-based compensation, shares | 344,438 | ||||||||||||||||||||||||||
Fleet growth payments | 5 | (5) | |||||||||||||||||||||||||
Fleet growth payments, shares | 468,968 | ||||||||||||||||||||||||||
Treasury shares | (1,336) | ||||||||||||||||||||||||||
Balance at Dec. 31, 2014 | 1,745,224 | 967 | 242 | (379) | 2,238,872 | (459,161) | (35,317) | ||||||||||||||||||||
Balance, shares at Dec. 31, 2014 | 96,662,928 | 13,665,531 | 5,105,000 | 5,400,000 | |||||||||||||||||||||||
Net earnings (loss) | 199,391 | 199,391 | |||||||||||||||||||||||||
Other comprehensive income | 4,397 | 4,397 | |||||||||||||||||||||||||
Dividends on class A common shares | (144,553) | (144,553) | |||||||||||||||||||||||||
Dividends on preferred shares | (53,655) | (53,655) | |||||||||||||||||||||||||
Amortization of Series C preferred share issuance costs | 1,310 | (1,310) | |||||||||||||||||||||||||
Shares issued through dividend reinvestment program | 38,862 | 21 | 38,841 | ||||||||||||||||||||||||
Shares issued through dividend reinvestment program, shares | 2,138,653 | ||||||||||||||||||||||||||
Share-based compensation expense (note 15): | |||||||||||||||||||||||||||
Restricted class A common shares, phantom share units, stock appreciation rights issued, restricted stock units and performance stock units | 3,928 | 2 | 3,926 | ||||||||||||||||||||||||
Restricted class A common shares, phantom share units, stock appreciation rights issued, restricted stock units and performance stock units, shares | 229,254 | ||||||||||||||||||||||||||
Other share-based compensation | 8,754 | 5 | 9,786 | (1,037) | |||||||||||||||||||||||
Other share-based compensation, shares | 537,758 | ||||||||||||||||||||||||||
Common shares repurchased, including related expenses | (13,885) | (9) | (13,876) | ||||||||||||||||||||||||
Common stock repurchased including related expenses, shares | (944,524) | ||||||||||||||||||||||||||
Preferred shares repurchased, including related expenses | (12,303) | (5) | (12,198) | (100) | |||||||||||||||||||||||
Preferred shares repurchased, including related expenses, shares | (343,757) | (123,971) | (29,400) | ||||||||||||||||||||||||
Treasury shares, value | 23 | 23 | |||||||||||||||||||||||||
Treasury shares | (1,909) | ||||||||||||||||||||||||||
Balance at Dec. 31, 2015 | 1,776,183 | 986 | 237 | (356) | 2,266,661 | (460,425) | (30,920) | ||||||||||||||||||||
Balance, shares at Dec. 31, 2015 | 98,622,160 | 13,321,774 | 4,981,029 | 5,370,600 | |||||||||||||||||||||||
Net earnings (loss) | (139,039) | (139,039) | |||||||||||||||||||||||||
Other comprehensive income | 4,373 | 4,373 | |||||||||||||||||||||||||
Shares issued, value | $ 99,525 | $ 140,000 | $ 194,544 | $ 225,000 | $ 68 | $ 56 | $ 78 | $ 90 | $ 99,457 | $ 139,944 | $ 194,466 | $ 224,910 | |||||||||||||||
Shares issued, shares | 6,770,408 | 5,600,000 | 7,800,000 | 9,000,000 | |||||||||||||||||||||||
Fees and expenses in connection with issuance of common and preferred shares | (21,797) | (21,797) | |||||||||||||||||||||||||
Dividends on class A common shares | (152,915) | (152,915) | |||||||||||||||||||||||||
Dividends on preferred shares | (53,630) | (53,630) | |||||||||||||||||||||||||
Amortization of Series C preferred share issuance costs | $ 116 | $ (116) | |||||||||||||||||||||||||
Shares issued through dividend reinvestment program | 4,359 | 3 | 4,356 | ||||||||||||||||||||||||
Shares issued through dividend reinvestment program, shares | 286,009 | ||||||||||||||||||||||||||
Share-based compensation expense (note 15): | |||||||||||||||||||||||||||
Restricted class A common shares, phantom share units, stock appreciation rights issued, restricted stock units and performance stock units | 6,228 | 2 | 6,226 | ||||||||||||||||||||||||
Restricted class A common shares, phantom share units, stock appreciation rights issued, restricted stock units and performance stock units, shares | 164,235 | ||||||||||||||||||||||||||
Other share-based compensation | 5,772 | 4 | 7,139 | (1,371) | |||||||||||||||||||||||
Other share-based compensation, shares | 446,643 | ||||||||||||||||||||||||||
Common shares repurchased, including related expenses | (8,269) | (6) | (8,263) | ||||||||||||||||||||||||
Common stock repurchased including related expenses, shares | (564,270) | ||||||||||||||||||||||||||
Preferred shares redeemed, including related expenses | (333,074) | (133) | (332,941) | ||||||||||||||||||||||||
Preferred shares redeemed, including related expenses, shares | (13,321,774) | ||||||||||||||||||||||||||
Treasury shares, value | (11) | (11) | |||||||||||||||||||||||||
Treasury shares | (2,539) | ||||||||||||||||||||||||||
Balance at Dec. 31, 2016 | $ 1,747,249 | $ 1,057 | $ 328 | $ (367) | $ 2,580,274 | $ (807,496) | $ (26,547) | ||||||||||||||||||||
Balance, shares at Dec. 31, 2016 | 105,722,646 | 4,981,029 | 5,370,600 | 5,600,000 | 7,800,000 | 9,000,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating activities: | |||
Net earnings (loss) | $ (139,039) | $ 199,391 | $ 131,247 |
Items not involving cash: | |||
Depreciation and amortization | 216,098 | 204,862 | 181,527 |
Share-based compensation (note 15) | 6,378 | 4,528 | 8,301 |
Amortization of deferred financing fees | 14,181 | 11,685 | 10,342 |
Amounts reclassified from other comprehensive loss to interest expense | 3,407 | 3,319 | 4,259 |
Unrealized change in fair value of financial instruments | (53,998) | (53,252) | (13,064) |
Equity income on investment (note 8) | (188) | (5,107) | (256) |
Refinancing expenses and recoveries | 1,677 | 5,148 | (398) |
Operating leases (note 12) | (19,003) | (9,795) | (1,428) |
Vessel impairments | 285,195 | 0 | 0 |
Expenses related to customer bankruptcy (note 5) | 18,883 | 0 | 0 |
Loss on disposals | 31,876 | 0 | 0 |
Other income | 0 | (6,600) | 0 |
Other | 34 | 7,759 | 10,614 |
Changes in assets and liabilities: | |||
Accounts receivable | (21,711) | (323) | (9,593) |
Lease receivable | 17,783 | 21,170 | 21,170 |
Prepaid expenses | 2,108 | (15,960) | 856 |
Other assets and deferred charges | (17,468) | (31,011) | (9,380) |
Accounts payable and accrued liabilities | (15,293) | 10,143 | 5,574 |
Deferred revenue | 4,778 | (10,085) | 3,188 |
Other long-term liabilities | 6,600 | 0 | 0 |
Fair value of financial instruments | (31,211) | 0 | 0 |
Cash from operating activities | 311,087 | 335,872 | 342,959 |
Financing activities: | |||
Senior unsecured notes issued | 0 | 0 | 345,000 |
Preferred shares issued, net of issuance costs (note 13(b)) | 541,694 | 0 | 130,415 |
Common shares issued, net of issuance costs (note 13(a)) | 95,978 | 0 | 4,245 |
Draws on credit facilities | 220,485 | 534,325 | 660,160 |
Repayment of credit facilities | (704,291) | (607,174) | (872,659) |
Draws on long-term obligations under capital lease | 180,750 | 150,000 | 0 |
Repayment of long-term obligations under capital lease | (24,733) | (21,691) | (393,382) |
Common shares repurchased, including related expenses | (8,269) | (13,885) | 0 |
Preferred shares redeemed, including related expenses | (333,074) | 0 | 0 |
Preferred shares repurchased, including related expenses (note 13) | 0 | (12,303) | 0 |
Financing fees | (12,992) | (17,399) | (17,405) |
Dividends on common shares | (148,556) | (105,691) | (62,310) |
Dividends on preferred shares | (54,085) | (53,655) | (50,443) |
Proceeds from sale-leaseback of vessels (note 12) | 354,000 | 542,000 | 330,000 |
Cash from financing activities | 106,907 | 394,527 | 73,621 |
Investing activities: | |||
Expenditures for vessels | (343,552) | (712,663) | (524,255) |
Short-term investments | 3,004 | (2,203) | 10,463 |
Net proceeds from vessel disposals | 12,078 | 0 | 0 |
Proceeds from sale of leased vessels | 20,000 | 0 | 0 |
Restricted cash | (201) | 0 | 60,000 |
Loans to affiliate (note 4) | (18,096) | (201,865) | (210,713) |
Repayment of loans to affiliate (note 4) | 67,831 | 200,680 | 850 |
Other assets | (6,677) | (583) | (27,550) |
Cash used in investing activities | (265,613) | (716,634) | (691,205) |
Increase (decrease) in cash and cash equivalents | 152,381 | 13,765 | (274,625) |
Cash and cash equivalents, beginning of year | 215,520 | 201,755 | 476,380 |
Cash and cash equivalents, end of year | $ 367,901 | $ 215,520 | $ 201,755 |
General
General | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
General | 1. General: Seaspan Corporation (the “Company”) was incorporated on May 3, 2005 in the Marshall Islands and owns and operates containerships pursuant to primarily long-term, fixed-rate time charters to major container liner companies. |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of significant accounting policies | 2. Summary of significant accounting policies: (a) Basis of presentation: These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the following accounting policies have been consistently applied in the preparation of the consolidated financial statements. (b) Principles of consolidation: The accompanying consolidated financial statements include the accounts of Seaspan Corporation and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated upon consolidation. The Company also consolidates any variable interest entities (“VIEs”) of which it is the primary beneficiary. The primary beneficiary is the enterprise that has both the power to make decisions that most significantly affect the economic performance of the VIE and has the right to receive benefits or the obligation to absorb losses that in either case could potentially be significant to the VIE. The impact of the consolidation of these VIEs is described in note 11. The Company accounts for its investment in companies in which it has significant influence by the equity method. The Company’s proportionate share of earnings is included in earnings and added to or deducted from the cost of the investment. (c) Recently adopted accounting pronouncements Effective January 1, 2016, the Company retrospectively adopted, as required, Accounting Standards Update, or ASU, 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. ASU 2015-03 requires that debt issuance costs be presented as a direct deduction from the related debt liability rather than as a deferred asset. Amortization of the costs is reported as interest expense. The impact on the consolidated statement of operations for the years ended December 31, 2015 and 2014 was a reclassification of $11,685,000 and $10,342,000, respectively, from amortization of deferred charges to interest expense. There was no impact on net earnings. The impact on the consolidated balance sheet at December 31, 2015 was a reduction of deferred financing fees of $35,341,000, which was reclassified to reduce the current and long-term portions of long term debt by $1,563,000 and $27,791,000, respectively, and to reduce the current and long-term portions of long-term obligations under capital lease by $125,000 and $5,862,000, respectively. (d) Foreign currency translation: The functional and reporting currency of the Company is the United States dollar. Transactions involving other currencies are converted into United States dollars using the exchange rates in effect at the time of the transactions. At the balance sheet date, monetary assets and liabilities that are denominated in currencies other than the United States dollar are translated into United States dollars using exchange rates at that date. Exchange gains and losses are included in net earnings. (e) Cash equivalents: Cash equivalents include highly liquid securities with terms to maturity of three months or less when acquired. (f) Vessels: Except as described below, vessels are recorded at their cost, which consists of the purchase price, acquisition and delivery costs, less accumulated depreciation. Vessels purchased from the Company’s predecessor upon completion of the Company’s initial public offering in 2005 were initially recorded at the predecessor’s carrying value. Vessels under construction include deposits, installment payments, interest, financing costs, transaction fees, construction design, supervision costs, and other pre-delivery costs incurred during the construction period. Depreciation is calculated on a straight-line basis over the estimated useful life of each vessel, which is 30 years from the date of completion. The Company calculates depreciation based on the estimated remaining useful life and the expected salvage value of the vessel. Vessels that are held for use are evaluated for impairment when events or circumstances indicate that their carrying amounts may not be recoverable from future undiscounted cash flows. Such evaluations include the comparison of current and anticipated operating cash flows, assessment of future operations and other relevant factors. If the carrying amount of the vessel exceeds the estimated net undiscounted future cash flows expected to be generated over the vessel’s remaining useful life, the carrying amount of the vessel is reduced to its estimated fair value. (g) Dry-dock activities: Classification rules require that vessels be dry-docked for inspection including planned major maintenance and overhaul activities for ongoing certification. The Company generally dry-docks its vessels once every five years. Dry-docking activities include the inspection, refurbishment and replacement of steel, engine components, electrical, pipes and valves, and other parts of the vessel. The Company has adopted the deferral method of accounting for dry-dock activities whereby capital costs incurred are deferred and amortized on a straight-line basis over the period until the next scheduled dry-dock activity. (h) Goodwill: Goodwill represents the excess of the purchase price of an acquired enterprise over the fair value assigned to assets acquired and liabilities assumed in a business combination. Goodwill is not amortized, but reviewed for impairment annually or more frequently if impairment indicators arise. When goodwill is reviewed for impairment, the Company may elect to assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. Alternatively, the Company may bypass this step and use a fair value approach to identify potential goodwill impairment and, when necessary, measure the amount of impairment. The Company uses a discounted cash flow model to determine the fair value of reporting units, unless there is a readily determinable fair market value. (i) Deferred financing fees: Deferred financing fees represent the unamortized costs incurred on issuance of the Company’s credit and lease arrangements. Amortization of deferred financing fees on credit facilities is provided on the effective interest rate method over the term of the facility based on amounts available under the facilities. Amortization of deferred financing fees on capital leases is provided on the effective interest rate method over the term of the underlying obligation and amortization of deferred financing fees on operating leases is provided on a straight line basis over the lease term. (j) Revenue recognition: The Company derives its revenue primarily from the charter of its vessels. Each charter agreement is evaluated and classified as an operating or capital lease. For time charters classified as operating leases, revenue for the lease and service components is recognized each day the vessel is on-hire and when collection is reasonably assured. For capital leases that are sales-type leases, the difference between the gross investment in lease and the present value of its components, i.e. the minimum lease payments and the estimated residual value, is recorded as unearned lease interest income. The discount rate used in determining the present values is the interest rate implicit in the lease. The present value of the minimum lease payments, computed using the interest rate implicit in the lease, is recorded as the sales price, from which the carrying value of the vessel at the commencement of the lease is deducted in order to determine the profit or loss on sale. Unearned lease interest income is amortized to income over the period of the lease so as to produce a constant periodic rate of return on the net investment in lease. Revenue from vessel management is recognized each day the vessel is managed and when collection is reasonably assured. (k) Leases: Leases, where the Company is the lessee, are classified as either capital leases or operating leases based on an assessment of the terms of the lease. For sale-leaseback transactions, the Company, as seller-lessee, would recognize a gain or loss over the term of the lease as an adjustment to the lease expense, unless the loss is required to be recognized immediately by accounting standards. The term of the lease includes the fixed non-cancelable term of the lease plus all renewal periods where that renewal appears reasonably assured. (l) Derivative financial instruments: The Company’s hedging policies permit the use of various derivative financial instruments to manage interest rate risk. The Company has entered into interest rate swaps and swaptions to reduce the Company’s exposure to changing interest rates on its credit facilities. All of the Company’s derivatives are measured at their fair value at the end of each period. Derivatives that mature within one year are classified as current. For derivatives not designated as accounting hedges, changes in their fair value are recorded in earnings. The Company had previously designated certain of its interest rate swaps as accounting hedges and applied hedge accounting to those instruments. While hedge accounting was applied, the effective portion of the unrealized gains or losses on those designated interest rate swaps was recorded in other comprehensive loss. By September 30, 2008, the Company de-designated all of the interest rate swaps it had accounted for as hedges to that date. Subsequent to their de-designation dates, changes in their fair value are recorded in earnings. The Company evaluates whether the occurrence of any of the previously hedged interest payments are considered to be remote. When the previously hedged interest payments are not considered remote of occurring, unrealized gains or losses in accumulated other comprehensive income associated with the previously designated interest rate swaps are recognized in earnings when and where the interest payments are recognized. If such interest payments are identified as being remote, the accumulated other comprehensive income balance pertaining to these amounts is reversed through earnings immediately. (m) Fair value measurement: Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e. the “exit price”) in an orderly transaction between market participants at the measurement date. The hierarchy is broken down into three levels based on the observability of inputs as follows: • Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities that the Company has the ability to access. Valuation adjustments and block discounts are not applied to Level 1 instruments. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these products does not entail a significant degree of judgment. • Level 2—Valuations based on one or more quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. • Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement. (n) Share-based compensation: The Company has granted restricted shares, phantom share units, performance share units, stock appreciation rights (“SARs”) and restricted stock units to certain of its officers, members of management and directors as compensation. Compensation cost is measured at their grant date fair values. Under this method, restricted shares, phantom share units and restricted stock units are measured based on the quoted market price of the Company’s Class A common shares on the date of the grant. SARs and performance share units are measured at fair value using the Monte Carlo model and the fair value of each grant is recognized on a straight-line basis over the requisite service period. (o) Earnings per share: The treasury stock method is used to compute the dilutive effect of the Company’s share-based compensation awards. Under this method, the incremental number of shares used in computing diluted earnings per share (“EPS”) is the difference between the number of shares assumed issued and purchased using assumed proceeds. The if-converted method was used to compute the dilutive effect of the Company’s convertible preferred shares. Under the if-converted method, dividends applicable to the convertible preferred shares were added back to earnings attributable to common shareholders, and the convertible preferred shares and paid-in kind dividends were assumed to have been converted at the share price applicable at the end of the period. The if-converted method was applied to the computation of diluted EPS only if the effect was dilutive. The dividends applicable to the Series C, D, E, F, G and H preferred shares reduce the earnings available to common shareholders, even if not declared, since the dividends are cumulative. (p) Use of estimates: The preparation of consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the balance sheet dates and the reported amounts of revenue and expenses during the reporting fiscal periods. Areas where accounting judgments and estimates are significant to the Company include the assessment of the vessel useful lives, expected salvage values and the recoverability of the carrying value of vessels which are subject to future market events, carrying value of goodwill and the fair value of interest rate derivative financial instruments and share-based awards. Actual results could differ from those estimates. (q) Comparative information: Certain information has been reclassified to conform with the financial statement presentation adopted for the current year. (r) Recent accounting pronouncements: In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU 2017-04”), “Simplifying the Test for Goodwill Impairment”. ASU 2017-04 eliminates the need to determine the fair value of individual assets and liabilities of a reporting unit to measure the goodwill impairment. The goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The revised guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is evaluating the revised guidance to determine the impact it will have on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash”. ASU 2016-18 requires an entity to include those amounts that are deemed to be restricted cash and cash equivalents in its cash and cash-equivalent balances in the statement of cash flows. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows”. ASU 2016-15 provides guidance for eight specific cash flow issues including debt prepayment or debt extinguishment costs, settlement of zero-coupon debt instruments, contingent consideration payments made after a business combination, proceeds from settlement of insurance claims, proceeds from settlement of corporate-owned life insurance policies, distributions received from equity method investees, beneficial interests in securitization transactions and separately identifiable cash flows and application of the predominance principle. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 31, 2017. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, “Improvements to Employee Share-Based Payment Accounting”. ASU 2016-09 simplifies several aspects of accounting for employee share-based payment transactions, including accounting for income taxes, forfeitures and statutory tax withholding requirements, as well as classification in the statements of cash flows. The standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-08, “Principal versus Agent Considerations (Reporting Revenue Gross versus Net)” which clarifies the implementation guidance related to the new revenue standard. An entity should evaluate whether it is the principal or the agent for each specified good or service promised in a contract with a customer and must focus on whether the entity has control of the goods or services before they are transferred to the customer. The standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, “Leases”, which requires lessees to recognize all leases, including operating leases, with a term greater than 12 months on the balance sheet, for the rights and obligations created by those leases. The accounting for lessors will remain largely unchanged from the existing accounting standards. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities”. ASU 2016-01 changes the income statement impact of equity investments held by an entity, and the recognition of changes in fair value of financial liabilities when the fair value option is elected. The standard does not apply to equity method investments or investments in consolidated subsidiaries. For entities that elect the fair value option for financial liabilities, the change in fair value that is attributable to instrument-specific credit risk must be recognized in other comprehensive income instead of net income. The standard is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. |
Acquisition of Two Greater Chin
Acquisition of Two Greater China Intermodal Investments LLC Subsidiaries | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Acquisition of Two Greater China Intermodal Investments LLC Subsidiaries | 3. Acquisition of Two Greater China Intermodal Investments LLC Subsidiaries: In June 2016, the Company acquired 100 percent of each of two Greater China Intermodal Investments LLC subsidiaries (“the GCI Subsidiaries”). Through the acquisition of the GCI Subsidiaries, the Company acquired two newbuilding 11000 TEU vessels scheduled for delivery in 2017 and their associated 17-year bareboat charters with MSC Mediterranean Shipping Company S.A. that will commence upon the delivery of the respective vessel. The Company assumed a total of approximately $88,100,000 in remaining instalments under the shipbuilding contracts for these vessels. The aggregate purchase price was $107,500,000, which was settled by a reduction of the Company’s demand loan with Greater China Intermodal Investments LLC (“GCI”), its equity investee, and was allocated to the assets acquired as follows: Vessels under construction $ 90,802 Other assets (bareboat charters) 12,798 Accounts receivable 3,900 Assets acquired $ 107,500 |
Related party transactions
Related party transactions | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related party transactions | 4. Related party transactions: (a) At December 31, 2016, the Company had $62,414,000 (2015 – $219,649,000) due from GCI recorded as loans to affiliate. This amount includes the following: • The Company had $57,266,000 (2015 – $209,982,000) due from GCI for payments made in connection with vessels that GCI will acquire pursuant to a right of first refusal. These loans bear interest at rates ranging from 5% to 6% per annum. The Company may request repayment of these loans with 45 days notice. In June 2016, $107,500,000 was repaid in connection with the purchase of the GCI Subsidiaries (note 3). • The interest receivable on these amounts is $5,148,000 (2015 – $9,667,000). At December 31, 2016, the Company had $6,385,000 (2015 – $4,530,000) due from GCI included in accounts receivable and $2,780,000 (2015 – $1,500,000) due to GCI included in accounts payable and accrued liabilities. At December 31, 2016, the Company had $655,000 (2015 – $588,000) due from other related parties included in accounts receivable and $1,395,000 (2015 – $265,000) due to other related parties included in accounts payable and accrued liabilities. (b) The Company incurred the following income or expenses with related parties: 2016 2015 2014 Fees paid: Arrangement fees $ 7,598 $ 8,627 $ 4,520 Transaction fees 6,317 9,506 7,323 Income earned: Interest income 7,513 10,614 9,888 Management fees 4,266 3,154 913 Supervision fees 7,800 1,950 — The income or expenses with related parties relate to amounts paid to or received from individuals or entities that are associated with the Company’s directors or officers and these transactions are governed by pre-arranged contracts. Arrangement fees are paid to a company controlled by one of our directors in connection with services associated with debt or lease financings and are generally recorded as deferred financing fees and amortized over the term of the related debt or lease. In addition, pursuant to a financial services agreement, the Company paid an advisory fee of 1% of the gross proceeds of the Series G preferred shares issued in August 2016. Transaction fees are paid to the Company’s chief executive officer in connection with services he provided related to newbuild contracts and purchase or sale contracts, and these fees are capitalized to vessels. Arrangement fees and transaction fees are paid either in cash or, at the Company’s discretion, a combination of cash and up to 50% in the Company’s common shares (note 15(d)). Interest income is earned on loans to affiliate. Management fees are earned from GCI for the management of GCI’s vessels and are included in revenue. Supervision fees are earned from GCI for the management of GCI’s newbuild vessels and are included in revenue. (c) The Company entered into leases with third parties for two vessels, the MOL Beyond, a 10000 TEU vessel, and the YM Window, a 14000 TEU vessel. The vessels are being leased from the third parties over a term of 11 or 12 years, with an option to purchase the vessels at either the nine or 9.5 year anniversary of the lease. The eight-year time charter contract with Mitsui O.S.K. Lines, Ltd. for the MOL Beyond and the ten-year time charter contract with Yang Ming Marine Transport Corp. for the YM Window were novated to the Company from GCI for no consideration. The Company recorded the fair value of the time charter contracts as an intangible asset of $16,200,000 and the fair value of the bareboat charter contracts as other long-term liabilities of $16,200,000. The intangible asset and the other long-term liabilities are being amortized over the term of the related time charters and bareboat charters as a reduction of revenue and operating lease expense, respectively. |
Accounts receivable
Accounts receivable | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Accounts receivable | 5. Accounts receivable: On August 31, 2016, Hanjin, one of the Company’s customers, filed for bankruptcy in Korea. As a result of the bankruptcy filing, the Company wrote off $18,883,000, representing the total accounts receivable due from Hanjin as at August 31, 2016. The Company did not record any revenue from chartering vessels to Hanjin after September 1, 2016. The charters for all three 10000 TEU and one 4600 TEU vessels were terminated and the vessels were returned to the Company. |
Vessels
Vessels | 12 Months Ended |
Dec. 31, 2016 | |
Property Plant And Equipment [Abstract] | |
Vessels | 6. Vessels: December 31, 2016 Cost Accumulated depreciation Net book value Vessels $ 6,126,220 $ 1,548,553 $ 4,577,667 Vessels under construction 306,182 — 306,182 Vessels $ 6,432,402 $ 1,548,553 $ 4,883,849 December 31, 2015 Cost Accumulated depreciation Net book value Vessels $ 6,149,625 $ 1,080,396 $ 5,069,229 Vessels under construction 209,119 — 209,119 Vessels $ 6,358,744 $ 1,080,396 $ 5,278,348 During the year ended December 31, 2016, the Company capitalized interest costs of $8,161,000 (2015 – $5,361,000; 2014 – $8,184,000) to vessels under construction. In August and December 2016, the Company sold the Seaspan Excellence and Seaspan Efficiency, each a 2003-built 4600 TEU vessel for net sale proceeds of $12,078,000 resulting in a loss on disposition of $31,876,000. The Company performed an impairment test of its vessels during the year ended December 31, 2016, due to the deterioration in current market rates and declines in the vessels’ market values. The Company compared estimated undiscounted future cash flows expected to be generated by each vessel over its remaining useful life to its carrying value. For 16 of our vessels less than 5000 TEU in size, the estimated undiscounted future cash flows were less than the vessel’s carrying amount, therefore an impairment charge was recorded for the amount by which the net book value of the vessel exceeded its fair value. Fair value was calculated as the net present value of estimated future cash flows which approximate the estimated market value of each vessel. As of December 31, 2016, the Company recorded non-cash vessel impairments of $285,195,000 for 16 vessels held for use, including four 4250 TEU, two 3500 TEU and ten 2500 TEU vessels. |
Deferred charges
Deferred charges | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Costs [Abstract] | |
Deferred charges | 7. Deferred charges: Dry-docking Financing fees Total December 31, 2014 $ 18,506 $ 8,100 $ 26,606 Costs incurred 32,837 7,113 39,950 Amortization expensed (1) (8,569 ) (525 ) (9,094 ) Amortization capitalized — (163 ) (163 ) December 31, 2015 $ 42,774 $ 14,525 $ 57,299 Costs incurred 19,119 6,305 25,424 Amortization expensed (1) (12,856 ) (1,768 ) (14,624 ) December 31, 2016 $ 49,037 $ 19,062 $ 68,099 (1) Amortization of dry-docking costs is included in depreciation and amortization. Amortization of financing fees is included in interest expense and amortization of deferred financing fees, unless it qualifies for capitalization. |
Other assets
Other assets | 12 Months Ended |
Dec. 31, 2016 | |
Other Assets [Abstract] | |
Other assets | 8. Other assets: 2016 2015 Equity investment in affiliate (1) $ 48,182 $ 44,106 Intangible assets 29,812 2,471 Restricted cash 14,059 13,858 Capital assets 1,615 2,288 Other 26,783 26,333 Other assets $ 120,451 $ 89,056 (1) In March 2011, the Company entered into an agreement to participate in GCI, an investment vehicle established by an affiliate of The Carlyle Group. GCI will invest up to $900,000,000 equity capital in containership assets strategic to the People’s Republic of China, Taiwan, Hong Kong and Macau. The Company agreed to make a minority investment in GCI of up to $100,000,000 during the investment period, which ended March 31, 2016. The Company accounts for its 10.8% (2015 – 10.8%) investment in GCI using the equity method. The investment of $48,182,000 (2015 - $44,106,000) is comprised of the Company’s capital contribution of $44,740,000 (2015 – $40,852,000) and its cumulative equity income on investment of $3,442,000 (2015 – $3,254,000). |
Deferred revenue
Deferred revenue | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred revenue | 9. Deferred revenue: 2016 2015 Deferred revenue on time charters $ 26,879 $ 14,271 Deferred interest on lease receivable — 1,428 Other deferred revenue 2,828 9,230 Deferred revenue 29,707 24,929 Current portion (28,179 ) (22,199 ) Deferred revenue $ 1,528 $ 2,730 |
Long-term debt
Long-term debt | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Long-term debt | 10 . Long-term debt: 2016 2015 Long-term debt: Revolving credit facilities (a) $ 958,304 $ 1,057,093 Term loan credit facilities (b) 1,600,085 1,985,102 Senior unsecured notes (c) 345,000 345,000 Deferred financing fees (18,875 ) (29,354 ) Long-term debt 2,884,514 3,357,841 Current portion (314,817 ) (285,783 ) Long-term debt $ 2,569,697 $ 3,072,058 (a) Revolving credit facilities: As of December 31, 2016, the Company had four long-term revolving credit facilities (“Revolvers”) available and a line of credit, which provided for aggregate borrowings of up to $1,118,315,000 (2015 – $1,227,115,000), of which $160,011,000 (2015 – $170,022,000) was undrawn. One of the term loan credit facilities (“Term Loans”) has a revolving loan component and this component has been included in the Revolvers. In April 2016, the Company entered into a 364-day unsecured, revolving loan facility with various banks for up to $150,000,000 to be used to fund vessels under construction and for general corporate purposes. In August 2016, the revolving loan facility was increased to $160,000,000. The facility bears interest at LIBOR plus a margin. At December 31, 2016, nil has been drawn under this facility. The Revolvers mature between April 2017 and December 2023. Based on the Revolvers outstanding at December 31, 2016, the minimum repayments for the balances outstanding are as follows: 2017 $ 104,183 2018 65,923 2019 197,320 2020 53,281 2021 56,416 Thereafter 481,181 $ 958,304 Interest is calculated as one month LIBOR plus a margin per annum. At December 31, 2016, the one month LIBOR was 0.8% (2015 – 0.3%) and the margins ranged between 0.5% and 1.3% (2015 – 0.5% and 1.3%). The weighted average rate of interest, including the margin, was 1.4% at December 31, 2016 (2015 – 0.9%). Interest payments are made monthly. The Company is subject to commitment fees ranging between 0.2% and 0.4% calculated on the undrawn amounts under the various facilities. The Revolver loan payments are made in semi-annual payments commencing six or thirty-six months after delivery of the associated newbuilding containership for the secured facilities. For certain of our Revolvers with a principal outstanding of $58,240,000 payment is due in full at maturity. (b) Term loan credit facilities: As of December 31, 2016, the Company had 13 Term Loans available, which provided for aggregate borrowings of up to $1,600,085,000 (2015 – $2,216,352,000), of which nil (2015 – $231,250,000) was undrawn. One of the Term Loans has a revolving loan component and this component has been included in the Revolvers. During the year ended December 31, 2015, the Company entered into five term loan facilities for a total of $702,700,000 to finance three 10000 TEU, four 4250 TEU and four 14000 TEU containerships. During 2015, the Company terminated a portion of a term loan facility to finance one 14000 TEU containership. As a result, $97,500,000 is no longer available. Each loan bears interest at LIBOR plus a margin. At December 31, 2015, $366,577,000 was drawn under these facilities. The Term Loans mature between December 2018 and July 2025. Based on the Term Loans outstanding at December 31, 2016, the minimum repayments for the balances outstanding are as follows: 2017 $ 211,748 2018 154,307 2019 234,762 2020 186,903 2021 256,446 Thereafter 555,919 $ 1,600,085 For certain of our Term Loans with a total principal outstanding of $1,509,025,000 interest is calculated as one month, three month or six month LIBOR plus a margin per annum, depending on the interest period selected by the Company. At December 31, 2016, the one month, three month and six month LIBOR was 0.8%, 1.0% and 1.2%, respectively (2015 – 0.3%, 0.5% and 0.5%, respectively) and the margins ranged between 0.4% and 4.8% (2015 – 0.4% and 4.8%). For certain of our Term Loans with a total principal outstanding of $91,060,000, interest is calculated based on the Export-Import Bank of Korea (KEXIM) plus 0.7% per annum. The weighted average rate of interest, including the margin, was 3.2% at December 31, 2016 (2015 – 3.0%). Interest payments are made in monthly, quarterly or semi-annual payments. The Term Loan payments are made in quarterly or semi-annual payments commencing three, six or thirty-six months after delivery of the associated newbuilding containership or utilization date. For one of our Term Loans with a total principal outstanding of $49,200,000, payment is due on the third anniversary of the drawdown date. (c) Senior unsecured notes: The Company has 13,800,000 senior unsecured notes (the “Notes”) issued and outstanding. The Notes mature on April 30, 2019 and bear interest at a rate of 6.375% per annum, payable quarterly. (d) General: The security for each of the Company’s current secured credit facilities includes: • A first priority mortgage on the collateral vessels funded by the related credit facility; • An assignment of the Company’s time charters and earnings related to the related collateral vessels; • An assignment of the insurance on each of the vessels that are subject to a related mortgage; • An assignment of the Company’s related shipbuilding contracts; and • A pledge of the related retention accounts. The Company may prepay certain amounts outstanding without penalty, other than breakage costs in certain circumstances. Under each of our credit facilities, in certain circumstances a prepayment may be required as a result of certain events, including the sale or loss of a vessel, a termination or expiration of a charter (and the inability to enter into a charter suitable to lenders within a period of time), termination of a shipbuilding contract or a change of control. The amount that must be prepaid may be calculated based on the loan to market value ratio or some other ratio that takes into account the market value of the relevant vessels. In these circumstances, valuations of our vessels are conducted on a “without charter” basis as required under the relevant credit facility agreement. Each credit facility contains financial covenants requiring the Company to maintain minimum liquidity, tangible net worth, interest coverage ratios, interest and principal coverage ratios, and debt to assets ratios, as defined. The Company is in compliance with these covenants at December 31, 2016. (e) Refinancing expenses: During the year ended December 31, 2016, the Company refinanced two of its term loan facilities. As a result, the Company wrote-off deferred financing fees of approximately $1,962,000, which is included in refinancing expenses. |
Long-term obligations under cap
Long-term obligations under capital lease | 12 Months Ended |
Dec. 31, 2016 | |
Capital Lease Obligations [Abstract] | |
Long-term obligations under capital lease | 11. Long-term obligations under capital lease: 2016 2015 Long-term obligations under capital lease $ 498,784 $ 342,767 Deferred financing fees (11,565 ) (5,987 ) Long-term obligations under capital lease 487,219 336,780 Current portion (27,824 ) (22,702 ) Long-term obligations under capital lease $ 459,395 $ 314,078 (a) The Company, through certain of its wholly-owned subsidiaries, has entered into non-recourse or limited recourse sale-leaseback arrangements with financial institutions to fund the construction of certain vessels under existing shipbuilding contracts. Under these arrangements, the Company has agreed to transfer the vessels to the lessors and, commencing on the delivery date of the vessels by the shipyard, lease the vessels back from the lessor over the applicable lease term. In the arrangements where the shipbuilding contracts are novated to the lessors, the lessors assume responsibility for the remaining payments under the shipbuilding contracts. The leases are accounted for as capital leases. The vessels are recorded as an asset and the lease obligations are recorded as a liability. In certain of the arrangements, the lessors are companies whose only assets and operations are to hold the Company’s leases and vessels. The Company operates the vessels during the lease term and supervises the vessels’ construction before the lease term begins. As a result, the Company is considered to be the primary beneficiary of the lessors and consolidates the lessors for financial reporting purposes. The terms of the leases are as follows: ( i ) Under this arrangement, the lessor has provided financing of $144,185,000. The 12-year lease term began on June 29, 2011, which was the vessel’s delivery date. Lease payments include an interest component based on three month LIBOR plus a 2.6% margin. At the end of the lease, the outstanding balance of up to $48,000,000 will be due and title of the vessel will transfer to the Company. ( ii ) Under this arrangement, the lessor has provided financing of $109,000,000. The 12-year lease term began on March 14, 2012, which was the vessel’s delivery date. Lease payments include an interest component based on three month LIBOR plus a 3.0% margin. At the end of the lease, the Company will have the option to purchase the vessel from the lessor for $1. (b) In May 2016, the Company entered into arrangements with an Asian-based leasing company to provide $420,750,000 of financing for five 11000 TEU newbuilding vessels. Under the arrangement, the Company will receive pre-delivery financing and at delivery will sell and lease the vessels back over a 17 year term. At the end of the lease term, the Company is obligated to purchase the vessels at a pre-determined purchase price. The Company is subject to 0.8% commitment fees calculated on the undrawn amounts. The vessels are recorded as an asset and the lease obligations are recorded as a liability. The lease financing bears interest at LIBOR plus a margin. In March 2015, the Company entered into financing arrangements with Asian special purpose companies to refinance three 4500 TEU containerships for total proceeds of $150,000,000. Under the arrangements, the Company sold the vessels and is leasing the vessels back over a five year term. At the end of the lease term, the Company is obligated to purchase the vessels at a pre-determined purchase price. The leases are accounted for as capital leases. The vessels are recorded as an asset and the lease obligations are recorded as a liability. The weighted average rate of interest, including the margin, was 4.5% at December 31, 2016 (2015 – 4.5%). As of December 31, 2016, the carrying value of the five vessels and five vessels under construction funded under these facilities was $761,291,000 (2015 – five vessels $547,401,000). Based on maximum amounts funded, payments due to the lessors for all ten vessels would be as follows: 2017 $ 40,923 2018 49,670 2019 50,039 2020 138,484 2021 34,435 Thereafter 236,282 549,833 Less amounts representing interest (51,049 ) $ 498,784 |
Other long-term liabilities
Other long-term liabilities | 12 Months Ended |
Dec. 31, 2016 | |
Other Liabilities Disclosure [Abstract] | |
Other long-term liabilities | 12. Other long-term liabilities: 2016 2015 Deferred gain on sale-leasebacks (a) $ 194,322 $ 163,554 Other 21,897 — Other long-term liabilities 216,219 163,554 Current portion (21,115 ) (15,471 ) Other long-term liabilities $ 195,104 $ 148,083 (a) Deferred gain on sale-leasebacks: In March and May 2016, the Company entered into sale-leaseback transactions with Asian special purpose companies (“SPCs”), for one 10000 TEU vessel, the MOL Benefactor, and one 14000 TEU vessel, the YM Width. The sale-leaseback transactions provided total gross proceeds of $254,000,000 upon delivery of the vessels. Under the transactions, the Company sold the vessels to the SPCs and leased the vessels back from the SPCs over a term of 11 or 12 years, with an option to purchase the vessel at the nine year or nine year and six month anniversary of the lease for a pre-determined fair value purchase price. In September 2016, the Company entered into a sale-leaseback transaction with SPCs for one 10000 TEU vessel, the Maersk Genoa, for gross proceeds of $100,000,000. Under the transaction, the Company sold the vessel to the SPCs and leased the vessel back from the SPCs over a term of nine years, with an option to purchase the vessel at the end of the lease term for a pre-determined fair value purchase price. If the purchase option is not exercised, the lease term may be extended for an additional two years, at the option of the SPCs. The sale of these three vessels resulted in a deferred gain totaling approximately $50,921,000 During 2015, the Company financed one 10000 TEU and three 14000 TEU newbuilding vessels through lease financing arrangements with Asian SPCs. The lease financing arrangements provided total gross financing proceeds of $542,000,000. Under the lease financing arrangements, the Company sold the vessels to the SPCs and is leasing the vessels back from the SPCs over an initial term of approximately 8.5 or 9.5 years, with an option to purchase the vessels at the end of the lease term for a pre-determined fair value purchase price. If the purchase option is not exercised, the lease terms will be automatically extended for an additional two or 2.5 years. The sale of these four vessels resulted in a deferred gain totaling approximately $117,482,000 which is being recorded as a reduction of the related operating lease expense over 10.5 years or 12 years, representing the initial lease term plus extensions. |
Share capital
Share capital | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Share capital | 13. Share capital: (a) Common shares: In addition to Class A common shares, the Company has 25,000,000 Class B common shares and 100 Class C common shares authorized. As at December 31, 2016, there are no Class B or Class C common shares outstanding (2015 – nil). The Company has a dividend reinvestment program (“DRIP”) that allows interested shareholders to reinvest all or a portion of cash dividends received on the Company’s common shares. If new common shares are issued by the Company, the reinvestment price is equal to the average price of the Company’s common shares for the five days immediately prior to the reinvestment, less a discount. The discount rate is set by the Board of Directors and is currently 3%. If common shares are purchased in the open market, the reinvestment price is equal to the average price per share paid. In April 2015, the Company renewed the Rule 10b5-1 repurchase plan for up to $50,000,000 of its Class A common shares. During the years ended December 31, 2016 and 2015, the Company repurchased 564,270 and 944,524 Class A common shares, respectively, for approximately $8,269,000 and $13,885,000, respectively. This plan was cancelled in May 2016. In May 2016, the Company issued 6,770,408 Class A common shares at a price of $14.70 per share for gross proceeds of $99,525,000. (b) Preferred shares: As at December 31, 2016, the Company had the following preferred shares outstanding: Liquidation preference Shares December December Series Authorized Issued 2016 2015 A 315,000 — $ — $ — B 260,000 — — — C 40,000,000 — — 333,044 D 20,000,000 4,981,029 124,526 124,526 E 15,000,000 5,370,600 134,265 134,265 F 20,000,000 5,600,000 140,000 — G 15,000,000 7,800,000 195,000 — H 15,000,000 9,000,000 225,000 — R 1,000,000 — — — Preferred share repurchase plans In 2015, the Company’s board of directors authorized the repurchase of up to $150,000,000 of its Series C preferred shares and up to $25,000,000 of each of its Series D and Series E preferred shares. In September 2015, the Company entered into Rule 10b5-1 repurchase plans for up to $75,000,000 of its Series C preferred shares, and up to $7,500,000 for each of its Series D and Series E preferred shares. The share repurchase plans for the preferred shares expired in December 2015. During the year ended December 31, 2015, the Company repurchased 303,757 Series C, 123,971 Series D and 29,400 Series E preferred shares for a total of approximately $7,660,000, $2,929,000 and $694,000, respectively, via the repurchase plans. During the year ended December 31, 2015, the Company also repurchased 40,000 of its 9.5% Series C preferred shares at $25.50 per share for a total of approximately $1,020,000 in the open market. At-the-market offering of preferred shares In November 2016, the Company entered into an equity distribution agreement with a sales agent under which the Company may, from time to time, issue Series D, Series E, Series G and Series H preferred shares in one or more at-the-market, or ATM, offerings up to an aggregate of $150,000,000 in gross sales proceeds. During the year ended December 31, 2016, the Company did not issue any preferred shares under the ATM program. ( i ) In June 2016, the Company redeemed 13,321,774 of its Series C preferred shares, representing all of the issued and outstanding Series C preferred shares, at $25.00 per share for a total of approximately $333,074,000 ( ii ) In December 2012, the Company issued 3,105,000 Series D preferred shares for gross proceeds of $77,625,000. In November 2013, the Company issued an additional 2,000,000 Series D preferred shares for gross proceeds of $50,000,000. The Series D preferred shares were issued for cash and pay cumulative quarterly dividends at a rate of 7.95% per annum from their date of issuance. At any time on or after January 30, 2018, the Series D preferred shares may be redeemed by the Company, in whole or in part at a redemption price of $25.00 per share plus unpaid dividends. The Series D preferred shares are not convertible into common shares and are not redeemable at the option of the holder. ( iii ) In February 2014, the Company issued 5,400,000 Series E preferred shares for gross proceeds of $135,000,000. The Series E preferred shares were issued for cash and pay cumulative quarterly dividends at a rate of 8.25% per annum from their date of issuance. At any time on or after February 13, 2019, the Series E preferred shares may be redeemed by the Company, in whole or in part at a redemption price of $25.00 per share plus unpaid dividends. The Series E preferred shares are not convertible into common shares and are not redeemable at the option of the holder. ( iv ) In May 2016, the Company issued 5,600,000 Series F preferred shares for gross proceeds of $140,000,000. The Series F preferred shares can be converted to Class A common shares at a conversion price of $18.00 per share. The dividend rate is initially set at 6.95%, but will increase by 1% annually after the fifth anniversary date to a maximum of 10.5% by the ninth anniversary date, or will increase to 10.5% on January 1, 2018 if the Company does not acquire all of the membership interests in GCI or all or substantially all of the assets of GCI by December 31, 2017. The Company has the right to call the Series F preferred shares at par plus any accumulated and unpaid dividends any time after the dividend increases above 6.95%. ( v ) In June 2016, the Company issued 4,600,000 Series G preferred shares for gross proceeds of $115,000,000. In August 2016, the Company issued an additional 3,200,000 Series G preferred shares for gross proceeds of $80,000,000 including accrued dividends to August 25, 2016. The Series G preferred shares were issued for cash and pay cumulative quarterly dividends at a rate of 8.20% per annum. At any time on or after June 16, 2021, the Series G preferred shares may be redeemed by the Company, in whole or in part at a redemption price of $25.00 per share plus unpaid dividends. The Series G preferred shares are not convertible into common shares and are not redeemable at the option of the holder. ( vi ) In August 2016, the Company issued 9,000,000 Series H preferred shares for gross proceeds of $225,000,000. The Series H preferred shares were issued for cash and pay cumulative quarterly dividends at a rate of 7.875% per annum. At any time on or after August 11, 2021, the Series H preferred shares may be redeemed by the Company, in whole or in part at a redemption price of $25.00 per share plus unpaid dividends. The Series H preferred shares are not convertible into common shares and are not redeemable at the option of the holder. The preferred shares are subject to certain financial covenants and the Company is in compliance with these covenants at December 31, 2016. |
Earnings per share
Earnings per share | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Earnings per share | 14. Earnings per share: (a) Earnings per share computation: The Company applies the if-converted method to determine the EPS impact for the convertible Series A and Series F preferred shares for those periods prior to the conversion of the shares. The following is a reconciliation of the numerator and denominator used in the basic and diluted EPS computations. For the year ended Earnings Shares Per December 31, 2016 (numerator) (denominator) amount Net loss $ (139,039 ) Less preferred share dividends: Series C (14,420 ) Series D (9,900 ) Series E (11,077 ) Series F (6,055 ) Series G (7,404 ) Series H (6,841 ) Basic EPS: Loss attributable to common shareholders $ (194,736 ) 102,869,000 $ (1.89 ) Effect of dilutive securities: Share-based compensation — — Diluted EPS (1) Loss attributable to common shareholders $ (194,736 ) 102,869,000 $ (1.89 ) For the year ended Earnings Shares Per December 31, 2015 (numerator) (denominator) amount Net earnings $ 199,391 Less preferred share dividends: Series C (33,537 ) Series D (10,086 ) Series E (11,121 ) Series C preferred share repurchases (100 ) Basic EPS: Earnings attributable to common shareholders $ 144,547 99,217,000 $ 1.46 Effect of dilutive securities: Share-based compensation — 61,000 Diluted EPS: Earnings attributable to common shareholders $ 144,547 99,278,000 $ 1.46 For the year ended Earnings Shares Per December 31, 2014 (numerator) (denominator) amount Net earnings $ 131,247 Less preferred share dividends: Series A (3,395 ) Series C (33,623 ) Series D (10,036 ) Series E (9,776 ) Basic EPS: Earnings attributable to common shareholders $ 74,417 93,402,000 $ 0.80 Effect of dilutive securities: Share-based compensation — 131,000 Contingent consideration — 117,000 Diluted EPS (2) Earnings attributable to common shareholders $ 74,417 93,650,000 $ 0.79 (1) The unexercised share-based compensation awards and convertible Series F preferred shares are not included in the computation of diluted EPS because their effects are anti-dilutive for the year. (2) The convertible Series A preferred shares are not included in the computation of diluted EPS because its effects are anti-dilutive for the year. |
Share-based compensation
Share-based compensation | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-based compensation | 15. Share-based compensation: In December 2005, the Company’s Board of Directors adopted the Seaspan Corporation Stock Incentive Plan (the “Plan”), under which our officers, employees and directors may be granted options, restricted shares, phantom shares, and other stock-based awards as may be determined by the Company’s Board of Directors. In December 2015, the Plan, which is administered by the Company’s Board of Directors, was amended to increase the total shares of common stock reserved for issuance under the Plan to 3,000,000. The Plan was also amended to an indefinite term from the date of its adoption. At December 31, 2016, there are 1,253,635 (2015 – 1,418,715) remaining shares left for issuance under this Plan. A summary of the Company’s outstanding restricted shares, phantom share units, SARs and restricted stock units as of December 31, 2016 is presented below: Restricted shares Phantom share units Stock appreciation rights Restricted stock units Number W.A. Number W.A. grant Number of W.A. grant Number W.A. grant of shares date FV of units date FV SARs date FV of units date FV December 31, 2013 48,880 $ 17.01 657,000 $ 14.02 7,072,945 $ 2.32 — $ — Granted 43,936 22.57 70,000 23.04 — — 72,314 23.03 Vested (48,880 ) 17.01 — — — — (37,238 ) 23.03 Exercised — — — — (1,193,529 ) 2.42 — — Exchanged — — (20,000 ) 19.00 — — — — December 31, 2014 43,936 22.57 707,000 14.77 5,879,416 2.30 35,076 23.03 Granted 51,368 18.39 100,000 18.24 — — 38,142 20.21 Vested (45,924 ) 22.39 — — — — (35,195 ) 22.01 Exchanged — — (110,000 ) 16.21 — — — — Cancelled (4,433 ) 18.39 (49,999 ) 19.66 (2,605 ) 3.65 (5,195 ) 21.86 December 31, 2015 44,947 18.39 647,001 14.73 5,876,811 2.30 32,828 21.03 Granted 56,861 15.48 60,000 18.84 — — 528,232 16.57 Vested (44,947 ) 18.39 — — — — (37,374 ) 18.56 Exchanged — — (70,000 ) 19.91 — — — — Expired — — — — (3,438,614 ) 2.26 — — Cancelled — — — — — — (299 ) 20.21 December 31, 2016 56,861 $ 15.48 637,001 $ 14.55 2,438,197 $ 2.29 523,387 $ 16.71 At December 31, 2016, there was $14,527,000 (2015 – $1,956,000) of total unamortized compensation costs relating to unvested share-based compensation awards which are expected to be recognized over a weighted average period of 27 months. (a) Restricted shares and phantom share units: Class A common shares are issued on a one for one basis in exchange for the cancellation of vested restricted shares and phantom share units. The restricted shares generally vest over one year and the phantom share units generally vest over three years. During 2016, the total fair value of restricted shares vested was $827,000 (2015 – $1,028,000; 2014 – $831,000) and the total fair value of shares cancelled was nil (2015 – 82,000; 2014 – nil). As vested outstanding phantom share units are only exchanged for common shares upon written notice from the holder, the phantom share units that are exchanged for common shares may include units that vested in prior periods. At December 31, 2016, 537,001 (2015 – 547,001) of the outstanding phantom share units were vested and available for exchange by the holder. (b) Restricted stock units: Under the Company’s Cash and Share Bonus Plan, the Company grants restricted stock units to eligible participants. The restricted stock units generally vest over three years, in equal one-third amounts on each anniversary date of the date of the grant. The restricted stock units are valued at the market price of the underlying securities on the grant date and the compensation expense, based on the estimated number of awards expected to vest, is recognized over the three-year vesting period. Upon vesting of the restricted stock units, the participant will receive class A common shares. In May 2016, 479,714 restricted stock units were granted to the Company’s chief executive officer. Each equal tranche will vest if the executive is employed with the Company on May 31 of each year over the next five years, commencing on May 31, 2017. (c) Performance stock units: In May 2016, 786,147 performance stock units were granted to the Company’s chief executive officer. The weighted average grant date fair value was $10.23 per unit. Each tranche will vest when both its time and performance vesting hurdles are met. Time vesting will occur for a given tranche of performance stock units if the executive is employed with the Company on May 31 of each year over the next five years, commencing on May 31, 2017. Performance vesting will occur for a given tranche of performance stock units if the stock price of a Class A common share equals or exceeds the target performance vesting share price for such tranche for any 20 consecutive trading days on or before May 31, 2021. Upon vesting of the performance stock units, the executive will receive Class A common shares. The assumptions used in the Monte Carlo model to calculate the grant date fair value of the performance stock units were as follows: Average expected term 3.03 years Expected volatility 32.25 % Dividend yield 8.95 % Average risk free rate 1.38 % The following table provides information about the performance stock units granted: Performance Vesting Price Time Vesting Tranche Number of PSUs per Share (continued employment) 1 127,316 $ 17.60 May 31, 2017 2 140,806 $ 18.48 May 31, 2018 3 155,212 $ 19.40 May 31, 2019 4 171,612 $ 20.37 May 31, 2020 5 191,201 $ 21.39 May 31, 2021 786,147 During the year ended December 31, 2016, the Company amortized $6,228,000 (2015 – $3,928,000; 2014 – $7,701,000) in compensation cost related to the above share-based compensation awards. (d) Other share-based awards: During 2016, the Company incurred $6,317,000 (2015 – $9,506,000; 2014 – $7,323,000) in transaction fees that were capitalized to vessels of which $3,159,000 (2015 – $4,753,000; 2014 – $3,662,000) were paid in Class A common shares. During 2016, the Company incurred $7,598,000 (2015 – $8,627,000; 2014 – $4,520,000) in arrangement fees that were primarily capitalized to deferred financing fees of which $3,799,000 (2015 – $4,314,000; 2014 – $2,260,000) were paid in Class A common shares. The Company also amortized $600,000 (2015 – $600,000; 2014 – $600,000) in share-based compensation expenses related to the accrued portion of performance based bonuses that may be settled in stock-based awards in future periods. The number of shares issued under each of these arrangements is based on volume weighted average share prices as defined in the underlying agreements. |
Other information
Other information | 12 Months Ended |
Dec. 31, 2016 | |
Additional Financial Information Disclosure [Abstract] | |
Other information | 16. Other information: (a) Accounts payable and accrued liabilities: The principal components of accounts payable and accrued liabilities are: 2016 2015 Due to related parties (note 4) $ 4,175 $ 1,765 Accrued interest 16,270 19,841 Accounts payable and other accrued liabilities 41,712 54,780 $ 62,157 $ 76,386 (b) Supplemental cash flow information: 2016 2015 2014 Interest paid on debt $ 109,272 $ 97,724 $ 91,450 Interest received 8,041 10,853 1,211 Undrawn credit facility fee paid 2,856 2,865 3,512 Non-cash transactions: Dividend reinvestment 4,359 38,862 64,697 Arrangement and transaction fees (note 15) 6,393 9,191 6,753 Acquisition of time charters through novation from GCI (note 4(c)) 16,200 — — Recognition of fair value of bareboat charters (note 4(c)) 16,200 — — Acquisition of GCI Subsidiaries through settlement of loans to affiliate 107,500 — — Capital contribution through settlement of loans to affiliate — 19,444 15,000 Dividends on Series A preferred shares — — 3,395 Loan repayment for vessels under construction — — 29,680 Long-term debt for vessels under construction — 77,625 8,300 Vessel reallocation — — 11,533 Fair value of financial instruments — — 50,278 |
Commitments and contingent obli
Commitments and contingent obligations | 12 Months Ended |
Dec. 31, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and contingent obligations | 17. Commitments and contingent obligations: (a) As of December 31, 2016, the minimum future revenues to be received on committed time charter party agreements and interest income from direct financing leases are approximately: 2017 $ 795,386 2018 790,366 2019 762,699 2020 722,489 2021 650,781 Thereafter 1,445,727 $ 5,167,448 The minimum future revenues are based on 100% utilization, relate to committed time charter party agreements currently in effect and assume no renewals or extensions. (b) As of December 31, 2016, based on the contractual delivery dates, the Company has outstanding commitments of $468,982,000 in 2017 for installment payments for vessels under construction. (c) As of December 31, 2016, the commitment under operating leases for vessels is $1,340,050,000 for 2017 to 2028 and office space is $9,660,000 for 2017 to 2024. Total commitments under these leases are as follows: 2017 $ 130,265 2018 131,209 2019 132,329 2020 133,432 2021 135,248 Thereafter 687,227 $ 1,349,710 |
Concentrations
Concentrations | 12 Months Ended |
Dec. 31, 2016 | |
Risks And Uncertainties [Abstract] | |
Concentrations | 18. Concentrations: The Company’s revenue is derived from the following customers: 2016 2015 2014 COSCON (1) $ 301,655 $ 298,658 $ 303,357 CSCL Asia (1) 123,151 125,900 126,399 Yang Ming 121,576 51,899 8 MOL 117,891 105,676 65,633 K-Line 75,862 74,542 76,130 Hapag-Lloyd 69,661 98,811 77,675 Other 68,109 63,538 67,968 $ 877,905 $ 819,024 $ 717,170 (1) While the Company continues to charter the vessels to CSCL Asia and COSCON, CSCL Asia and COSCON merged their container shipping business in March 2016. |
Financial instruments
Financial instruments | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Financial instruments | 19. Financial instruments: (a) Fair value: The carrying values of cash and cash equivalents, short-term investments, restricted cash, accounts receivable, loans to affiliate and accounts payable and accrued liabilities approximate their fair values because of their short term to maturity. As of December 31, 2016, the fair value of the Company’s Revolving and Term loan credit facilities, excluding deferred financing fees, is $2,418,586,000 (2015 – $2,999,746,000) and the carrying value is $2,558,389,000 (2015 – $3,042,195,000). As of December 31, 2016, the fair value of the Company’s long-term obligations under capital lease, excluding deferred financing fees, is $498,357,000 (2015 – $346,138,000) and the carrying value is $498,784,000 (2015 – $342,767,000). The fair value of the Revolving credit facilities, Term loan credit facilities and long-term obligations under capital lease, excluding deferred financing fees, are estimated based on expected principal repayments and interest, discounted by relevant forward rates plus a margin appropriate to the credit risk of the Company. Therefore, the Company has categorized the fair value of these financial instruments as Level 3 in the fair value hierarchy. As of December 31, 2016, the fair value of the Company’s senior unsecured notes is $347,898,000 (2015 – $335,340,000) and the carrying value is $345,000,000 (2015 – $345,000,000). The fair value of senior unsecured notes is calculated based on a quoted price that is readily and regularly available in an active market. Therefore, the Company has categorized the fair value of these financial instruments as Level 1 in the fair value hierarchy. The Company’s interest rate derivative financial instruments are re-measured to fair value at the end of each reporting period. The fair values of the interest rate derivative financial instruments have been calculated by discounting the future cash flow of both the fixed rate and variable rate interest rate payments. The discount rate was derived from a yield curve created by nationally recognized financial institutions adjusted for the associated credit risk. The fair values of the interest rate derivative financial instruments are determined based on inputs that are readily available in public markets or can be derived from information available in publicly quoted markets. Therefore, the Company has categorized the fair value of these derivative financial instruments as Level 2 in the fair value hierarchy. The Company’s vessels held for use with a carrying amount of $619,521,000 were written down to their fair value of $334,326,000 resulting in a non-cash impairment charge of $285,195,000 which was included in earnings for the year ended December 31, 2016. The estimated fair value, measured on a non-recurring basis, of the Company’s vessels held for use is calculated based on discounted cash flows using inputs, other than quoted prices in active markets, that are observable either directly or indirectly. Therefore the Company has categorized the fair value of the vessels as Level 2 in the fair value hierarchy. (b) Interest rate derivative financial instruments: The Company uses interest rate derivative financial instruments, consisting of interest rate swaps and interest rate swaptions, to manage its interest rate risk associated with its variable rate debt. Prior to 2008, the Company applied hedge accounting to certain of its interest rate swaps. In 2008, the Company voluntarily de-designated all such interest rate swaps as accounting hedges such that the Company no longer applies hedge accounting. The amounts in accumulated other comprehensive loss related to the interest rate swaps to which hedge accounting was previously applied are recognized in earnings when and where the related interest is recognized in earnings. If interest rates remain at their current levels, the Company expects that $31,601,000 would be settled in cash in the next 12 months on instruments maturing after 2017. The amount of the actual settlement may be different depending on the interest rate in effect at the time settlements are made. As of December 31, 2016, the Company had the following outstanding interest rate derivatives: Fixed per annum rate swapped for LIBOR Notional amount as of December 31, 2016 Maximum notional amount (1) Effective date Ending date 5.6400% $ 645,970 $ 645,970 August 31, 2007 August 31, 2017 (2) 5.4200% 416,053 416,053 September 6, 2007 May 31, 2024 5.6000% 148,800 148,800 June 23, 2010 December 23, 2021 (2) 5.9450% 131,544 131,544 January 30, 2014 May 31, 2019 5.2600% 87,100 87,100 July 3, 2006 February 26, 2021 (2) (3) 5.8700% — 620,390 August 31, 2017 November 28, 2025 (1) Over the term of the interest rate swaps, the notional amounts increase and decrease. These amounts represent the peak notional over the remaining term of the swap. (2) Prospectively de-designated as an accounting hedge in 2008. (3) Swap counterparty has an early termination right in 2017 which may require the Company to settle the swap at the early termination date. The fair value liability as of December 31, 2016 for this swap is $8,989,000. In addition, the Company has entered into two swaption agreements (Swaption A and Swaption B) with a bank. Under Swaption A, the Company has the option of entering into an interest rate swap on March 2, 2017 under which the Company would pay the bank a fixed rate of 0.50%, and receive a floating rate of 3-month LIBOR from the bank. Under Swaption B, the bank has the option of entering into an interest rate swap on March 2, 2017 under which the bank would pay the Company a fixed rate of 1.183%, and receive a floating rate of 3-month LIBOR from the Company. The interest rate swaps underlying both swaptions have notional amounts of $200,000,000 and the same expiration dates. During the year ended December 31, 2016, the Company restructured the swaption agreements which resulted in an asset of $11,300,000 During the year ended December 31, 2016, the Company paid $31,211,000 (c) Foreign exchange derivative instruments: The Company is exposed to market risk from foreign currency fluctuations. The Company has entered into foreign currency forward contracts to manage foreign currency fluctuations. At December 31, 2016, the notional amount of the foreign exchange forward contracts is $2,800,000 (2015 – $15,200,000) and the fair value asset is $60,000 (December 31, 2015 – nil) and fair value liability is $6,000 (2015 – $1,260,000). Included in short-term investments is $308,000 (2015 - $2,095,000) of restricted cash held as collateral for these foreign currency forward contracts. (d) Fair value of asset and liability derivatives: The following provides information about the Company’s derivatives: 2016 2015 Fair value of financial instruments asset $ 11,338 $ 33,632 Fair value of financial instruments liability 230,764 338,146 Gross of recognized Amounts subject assets and to master netting December 31, 2016 liabilities agreement Net amount Derivative assets $ 11,338 $ — $ 11,338 Derivative liabilities 230,764 — 230,764 Net liability $ (219,426 ) $ — $ (219,426 ) Gross amounts of recognized Amounts subject assets and to master netting December 31, 2015 liabilities agreement Net amount Derivative assets $ 33,632 $ 21,964 $ 11,668 Derivative liabilities 338,146 21,964 316,182 Net liability $ (304,514 ) $ — $ (304,514 ) The following table provides information about losses included in net earnings and reclassified from accumulated other comprehensive loss (“AOCL”) into earnings: 2016 2015 2014 Loss on derivatives recognized in net earnings: Change in fair value of financial instruments $ (29,118 ) $ (54,576 ) $ (105,694 ) Loss reclassified from AOCL to net earnings (1) Interest expense $ (3,407 ) $ (3,319 ) $ (4,259 ) Depreciation and amortization (966 ) (1,078 ) (1,052 ) (1) The effective portion of changes in unrealized loss on interest rate swaps was recorded in accumulated other comprehensive income until September 30, 2008 when these contracts were de-designated as accounting hedges. The amounts in accumulated other comprehensive income will be recognized in earnings when and where the previously hedged interest is recognized in earnings. The estimated amount of AOCL expected to be reclassified to net earnings within the next twelve months is approximately $2,194,000. |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent events | 20. Subsequent events: (a) On January 11, 2017, the Company declared a quarterly dividend of $0.496875, $0.515625, $0.434375, $0.512500 and $0.492188 per Series D, Series E, Series F, Series G and Series H preferred share, respectively, representing a total distribution of $16,104,000. The dividends were paid on January 30, 2017 to all shareholders of record on January 27, 2017. (b) (c) In February 2017, the Company terminated its 5.26% swap for $10,852,000. This amount reduced the asset of $11,294,000 that resulted from restructuring the swaption. |
Summary of significant accoun28
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of presentation | (a) Basis of presentation: These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the following accounting policies have been consistently applied in the preparation of the consolidated financial statements. |
Principles of consolidation | (b) Principles of consolidation: The accompanying consolidated financial statements include the accounts of Seaspan Corporation and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated upon consolidation. The Company also consolidates any variable interest entities (“VIEs”) of which it is the primary beneficiary. The primary beneficiary is the enterprise that has both the power to make decisions that most significantly affect the economic performance of the VIE and has the right to receive benefits or the obligation to absorb losses that in either case could potentially be significant to the VIE. The impact of the consolidation of these VIEs is described in note 11. The Company accounts for its investment in companies in which it has significant influence by the equity method. The Company’s proportionate share of earnings is included in earnings and added to or deducted from the cost of the investment. |
Recently adopted accounting pronouncements | (c) Recently adopted accounting pronouncements Effective January 1, 2016, the Company retrospectively adopted, as required, Accounting Standards Update, or ASU, 2015-03, “Simplifying the Presentation of Debt Issuance Costs”. ASU 2015-03 requires that debt issuance costs be presented as a direct deduction from the related debt liability rather than as a deferred asset. Amortization of the costs is reported as interest expense. The impact on the consolidated statement of operations for the years ended December 31, 2015 and 2014 was a reclassification of $11,685,000 and $10,342,000, respectively, from amortization of deferred charges to interest expense. There was no impact on net earnings. The impact on the consolidated balance sheet at December 31, 2015 was a reduction of deferred financing fees of $35,341,000, which was reclassified to reduce the current and long-term portions of long term debt by $1,563,000 and $27,791,000, respectively, and to reduce the current and long-term portions of long-term obligations under capital lease by $125,000 and $5,862,000, respectively. |
Foreign currency translation | (d) Foreign currency translation: The functional and reporting currency of the Company is the United States dollar. Transactions involving other currencies are converted into United States dollars using the exchange rates in effect at the time of the transactions. At the balance sheet date, monetary assets and liabilities that are denominated in currencies other than the United States dollar are translated into United States dollars using exchange rates at that date. Exchange gains and losses are included in net earnings. |
Cash equivalents | (e) Cash equivalents: Cash equivalents include highly liquid securities with terms to maturity of three months or less when acquired. |
Vessels | (f) Vessels: Except as described below, vessels are recorded at their cost, which consists of the purchase price, acquisition and delivery costs, less accumulated depreciation. Vessels purchased from the Company’s predecessor upon completion of the Company’s initial public offering in 2005 were initially recorded at the predecessor’s carrying value. Vessels under construction include deposits, installment payments, interest, financing costs, transaction fees, construction design, supervision costs, and other pre-delivery costs incurred during the construction period. Depreciation is calculated on a straight-line basis over the estimated useful life of each vessel, which is 30 years from the date of completion. The Company calculates depreciation based on the estimated remaining useful life and the expected salvage value of the vessel. Vessels that are held for use are evaluated for impairment when events or circumstances indicate that their carrying amounts may not be recoverable from future undiscounted cash flows. Such evaluations include the comparison of current and anticipated operating cash flows, assessment of future operations and other relevant factors. If the carrying amount of the vessel exceeds the estimated net undiscounted future cash flows expected to be generated over the vessel’s remaining useful life, the carrying amount of the vessel is reduced to its estimated fair value. |
Dry-dock activities | (g) Dry-dock activities: Classification rules require that vessels be dry-docked for inspection including planned major maintenance and overhaul activities for ongoing certification. The Company generally dry-docks its vessels once every five years. Dry-docking activities include the inspection, refurbishment and replacement of steel, engine components, electrical, pipes and valves, and other parts of the vessel. The Company has adopted the deferral method of accounting for dry-dock activities whereby capital costs incurred are deferred and amortized on a straight-line basis over the period until the next scheduled dry-dock activity. |
Goodwill | (h) Goodwill: Goodwill represents the excess of the purchase price of an acquired enterprise over the fair value assigned to assets acquired and liabilities assumed in a business combination. Goodwill is not amortized, but reviewed for impairment annually or more frequently if impairment indicators arise. When goodwill is reviewed for impairment, the Company may elect to assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. Alternatively, the Company may bypass this step and use a fair value approach to identify potential goodwill impairment and, when necessary, measure the amount of impairment. The Company uses a discounted cash flow model to determine the fair value of reporting units, unless there is a readily determinable fair market value. |
Deferred financing fees | (i) Deferred financing fees: Deferred financing fees represent the unamortized costs incurred on issuance of the Company’s credit and lease arrangements. Amortization of deferred financing fees on credit facilities is provided on the effective interest rate method over the term of the facility based on amounts available under the facilities. Amortization of deferred financing fees on capital leases is provided on the effective interest rate method over the term of the underlying obligation and amortization of deferred financing fees on operating leases is provided on a straight line basis over the lease term. |
Revenue recognition | (j) Revenue recognition: The Company derives its revenue primarily from the charter of its vessels. Each charter agreement is evaluated and classified as an operating or capital lease. For time charters classified as operating leases, revenue for the lease and service components is recognized each day the vessel is on-hire and when collection is reasonably assured. For capital leases that are sales-type leases, the difference between the gross investment in lease and the present value of its components, i.e. the minimum lease payments and the estimated residual value, is recorded as unearned lease interest income. The discount rate used in determining the present values is the interest rate implicit in the lease. The present value of the minimum lease payments, computed using the interest rate implicit in the lease, is recorded as the sales price, from which the carrying value of the vessel at the commencement of the lease is deducted in order to determine the profit or loss on sale. Unearned lease interest income is amortized to income over the period of the lease so as to produce a constant periodic rate of return on the net investment in lease. Revenue from vessel management is recognized each day the vessel is managed and when collection is reasonably assured. |
Leases | (k) Leases: Leases, where the Company is the lessee, are classified as either capital leases or operating leases based on an assessment of the terms of the lease. For sale-leaseback transactions, the Company, as seller-lessee, would recognize a gain or loss over the term of the lease as an adjustment to the lease expense, unless the loss is required to be recognized immediately by accounting standards. The term of the lease includes the fixed non-cancelable term of the lease plus all renewal periods where that renewal appears reasonably assured. |
Derivative financial instruments | (l) Derivative financial instruments: The Company’s hedging policies permit the use of various derivative financial instruments to manage interest rate risk. The Company has entered into interest rate swaps and swaptions to reduce the Company’s exposure to changing interest rates on its credit facilities. All of the Company’s derivatives are measured at their fair value at the end of each period. Derivatives that mature within one year are classified as current. For derivatives not designated as accounting hedges, changes in their fair value are recorded in earnings. The Company had previously designated certain of its interest rate swaps as accounting hedges and applied hedge accounting to those instruments. While hedge accounting was applied, the effective portion of the unrealized gains or losses on those designated interest rate swaps was recorded in other comprehensive loss. By September 30, 2008, the Company de-designated all of the interest rate swaps it had accounted for as hedges to that date. Subsequent to their de-designation dates, changes in their fair value are recorded in earnings. The Company evaluates whether the occurrence of any of the previously hedged interest payments are considered to be remote. When the previously hedged interest payments are not considered remote of occurring, unrealized gains or losses in accumulated other comprehensive income associated with the previously designated interest rate swaps are recognized in earnings when and where the interest payments are recognized. If such interest payments are identified as being remote, the accumulated other comprehensive income balance pertaining to these amounts is reversed through earnings immediately. |
Fair value measurement | (m) Fair value measurement: Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e. the “exit price”) in an orderly transaction between market participants at the measurement date. The hierarchy is broken down into three levels based on the observability of inputs as follows: • Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities that the Company has the ability to access. Valuation adjustments and block discounts are not applied to Level 1 instruments. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these products does not entail a significant degree of judgment. • Level 2—Valuations based on one or more quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. • Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement. |
Share-based compensation | (n) Share-based compensation: The Company has granted restricted shares, phantom share units, performance share units, stock appreciation rights (“SARs”) and restricted stock units to certain of its officers, members of management and directors as compensation. Compensation cost is measured at their grant date fair values. Under this method, restricted shares, phantom share units and restricted stock units are measured based on the quoted market price of the Company’s Class A common shares on the date of the grant. SARs and performance share units are measured at fair value using the Monte Carlo model and the fair value of each grant is recognized on a straight-line basis over the requisite service period. |
Earnings per share | (o) Earnings per share: The treasury stock method is used to compute the dilutive effect of the Company’s share-based compensation awards. Under this method, the incremental number of shares used in computing diluted earnings per share (“EPS”) is the difference between the number of shares assumed issued and purchased using assumed proceeds. The if-converted method was used to compute the dilutive effect of the Company’s convertible preferred shares. Under the if-converted method, dividends applicable to the convertible preferred shares were added back to earnings attributable to common shareholders, and the convertible preferred shares and paid-in kind dividends were assumed to have been converted at the share price applicable at the end of the period. The if-converted method was applied to the computation of diluted EPS only if the effect was dilutive. The dividends applicable to the Series C, D, E, F, G and H preferred shares reduce the earnings available to common shareholders, even if not declared, since the dividends are cumulative. |
Use of estimates | (p) Use of estimates: The preparation of consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the balance sheet dates and the reported amounts of revenue and expenses during the reporting fiscal periods. Areas where accounting judgments and estimates are significant to the Company include the assessment of the vessel useful lives, expected salvage values and the recoverability of the carrying value of vessels which are subject to future market events, carrying value of goodwill and the fair value of interest rate derivative financial instruments and share-based awards. Actual results could differ from those estimates. |
Comparative information | (q) Comparative information: Certain information has been reclassified to conform with the financial statement presentation adopted for the current year. |
Recent accounting pronouncements | (r) Recent accounting pronouncements: In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU 2017-04”), “Simplifying the Test for Goodwill Impairment”. ASU 2017-04 eliminates the need to determine the fair value of individual assets and liabilities of a reporting unit to measure the goodwill impairment. The goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The revised guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is evaluating the revised guidance to determine the impact it will have on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash”. ASU 2016-18 requires an entity to include those amounts that are deemed to be restricted cash and cash equivalents in its cash and cash-equivalent balances in the statement of cash flows. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows”. ASU 2016-15 provides guidance for eight specific cash flow issues including debt prepayment or debt extinguishment costs, settlement of zero-coupon debt instruments, contingent consideration payments made after a business combination, proceeds from settlement of insurance claims, proceeds from settlement of corporate-owned life insurance policies, distributions received from equity method investees, beneficial interests in securitization transactions and separately identifiable cash flows and application of the predominance principle. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 31, 2017. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, “Improvements to Employee Share-Based Payment Accounting”. ASU 2016-09 simplifies several aspects of accounting for employee share-based payment transactions, including accounting for income taxes, forfeitures and statutory tax withholding requirements, as well as classification in the statements of cash flows. The standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-08, “Principal versus Agent Considerations (Reporting Revenue Gross versus Net)” which clarifies the implementation guidance related to the new revenue standard. An entity should evaluate whether it is the principal or the agent for each specified good or service promised in a contract with a customer and must focus on whether the entity has control of the goods or services before they are transferred to the customer. The standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, “Leases”, which requires lessees to recognize all leases, including operating leases, with a term greater than 12 months on the balance sheet, for the rights and obligations created by those leases. The accounting for lessors will remain largely unchanged from the existing accounting standards. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. In January 2016, the FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities”. ASU 2016-01 changes the income statement impact of equity investments held by an entity, and the recognition of changes in fair value of financial liabilities when the fair value option is elected. The standard does not apply to equity method investments or investments in consolidated subsidiaries. For entities that elect the fair value option for financial liabilities, the change in fair value that is attributable to instrument-specific credit risk must be recognized in other comprehensive income instead of net income. The standard is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company is evaluating the new guidance to determine the impact it will have on its consolidated financial statements. |
Acquisition of Two Greater Ch29
Acquisition of Two Greater China Intermodal Investments LLC Subsidiaries (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
GCI [Member] | |
Schedule of Assets Acquired | The aggregate purchase price was $107,500,000, which was settled by a reduction of the Company’s demand loan with Greater China Intermodal Investments LLC (“GCI”), its equity investee, and was allocated to the assets acquired as follows: Vessels under construction $ 90,802 Other assets (bareboat charters) 12,798 Accounts receivable 3,900 Assets acquired $ 107,500 |
Related party transactions (Tab
Related party transactions (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Schedule of Income or Expenses with Related Parties | (b) The Company incurred the following income or expenses with related parties: 2016 2015 2014 Fees paid: Arrangement fees $ 7,598 $ 8,627 $ 4,520 Transaction fees 6,317 9,506 7,323 Income earned: Interest income 7,513 10,614 9,888 Management fees 4,266 3,154 913 Supervision fees 7,800 1,950 — |
Vessels (Tables)
Vessels (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property Plant And Equipment [Abstract] | |
Schedule of Vessels | December 31, 2016 Cost Accumulated depreciation Net book value Vessels $ 6,126,220 $ 1,548,553 $ 4,577,667 Vessels under construction 306,182 — 306,182 Vessels $ 6,432,402 $ 1,548,553 $ 4,883,849 December 31, 2015 Cost Accumulated depreciation Net book value Vessels $ 6,149,625 $ 1,080,396 $ 5,069,229 Vessels under construction 209,119 — 209,119 Vessels $ 6,358,744 $ 1,080,396 $ 5,278,348 |
Deferred charges (Tables)
Deferred charges (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Costs [Abstract] | |
Deferred Charges | Dry-docking Financing fees Total December 31, 2014 $ 18,506 $ 8,100 $ 26,606 Costs incurred 32,837 7,113 39,950 Amortization expensed (1) (8,569 ) (525 ) (9,094 ) Amortization capitalized — (163 ) (163 ) December 31, 2015 $ 42,774 $ 14,525 $ 57,299 Costs incurred 19,119 6,305 25,424 Amortization expensed (1) (12,856 ) (1,768 ) (14,624 ) December 31, 2016 $ 49,037 $ 19,062 $ 68,099 (1) Amortization of dry-docking costs is included in depreciation and amortization. Amortization of financing fees is included in interest expense and amortization of deferred financing fees, unless it qualifies for capitalization. |
Other assets (Tables)
Other assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Other Assets [Abstract] | |
Schedule of Other Assets | 2016 2015 Equity investment in affiliate (1) $ 48,182 $ 44,106 Intangible assets 29,812 2,471 Restricted cash 14,059 13,858 Capital assets 1,615 2,288 Other 26,783 26,333 Other assets $ 120,451 $ 89,056 (1) In March 2011, the Company entered into an agreement to participate in GCI, an investment vehicle established by an affiliate of The Carlyle Group. GCI will invest up to $900,000,000 equity capital in containership assets strategic to the People’s Republic of China, Taiwan, Hong Kong and Macau. The Company agreed to make a minority investment in GCI of up to $100,000,000 during the investment period, which ended March 31, 2016. The Company accounts for its 10.8% (2015 – 10.8%) investment in GCI using the equity method. The investment of $48,182,000 (2015 - $44,106,000) is comprised of the Company’s capital contribution of $44,740,000 (2015 – $40,852,000) and its cumulative equity income on investment of $3,442,000 (2015 – $3,254,000). |
Deferred revenue (Tables)
Deferred revenue (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Revenue | 2016 2015 Deferred revenue on time charters $ 26,879 $ 14,271 Deferred interest on lease receivable — 1,428 Other deferred revenue 2,828 9,230 Deferred revenue 29,707 24,929 Current portion (28,179 ) (22,199 ) Deferred revenue $ 1,528 $ 2,730 |
Long-term debt (Tables)
Long-term debt (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | 2016 2015 Long-term debt: Revolving credit facilities (a) $ 958,304 $ 1,057,093 Term loan credit facilities (b) 1,600,085 1,985,102 Senior unsecured notes (c) 345,000 345,000 Deferred financing fees (18,875 ) (29,354 ) Long-term debt 2,884,514 3,357,841 Current portion (314,817 ) (285,783 ) Long-term debt $ 2,569,697 $ 3,072,058 |
Schedule of Minimum Repayments for Balances Outstanding for Revolving and Term Loan Credit Facilities | Based on the Revolvers outstanding at December 31, 2016, the minimum repayments for the balances outstanding are as follows: 2017 $ 104,183 2018 65,923 2019 197,320 2020 53,281 2021 56,416 Thereafter 481,181 $ 958,304 Based on the Term Loans outstanding at December 31, 2016, the minimum repayments for the balances outstanding are as follows: 2017 $ 211,748 2018 154,307 2019 234,762 2020 186,903 2021 256,446 Thereafter 555,919 $ 1,600,085 |
Long-term obligations under c36
Long-term obligations under capital lease (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Capital Lease Obligations [Abstract] | |
Schedule of Long-term Obligations Under Capital Lease | 2016 2015 Long-term obligations under capital lease $ 498,784 $ 342,767 Deferred financing fees (11,565 ) (5,987 ) Long-term obligations under capital lease 487,219 336,780 Current portion (27,824 ) (22,702 ) Long-term obligations under capital lease $ 459,395 $ 314,078 (a) The Company, through certain of its wholly-owned subsidiaries, has entered into non-recourse or limited recourse sale-leaseback arrangements with financial institutions to fund the construction of certain vessels under existing shipbuilding contracts. Under these arrangements, the Company has agreed to transfer the vessels to the lessors and, commencing on the delivery date of the vessels by the shipyard, lease the vessels back from the lessor over the applicable lease term. In the arrangements where the shipbuilding contracts are novated to the lessors, the lessors assume responsibility for the remaining payments under the shipbuilding contracts. The leases are accounted for as capital leases. The vessels are recorded as an asset and the lease obligations are recorded as a liability. In certain of the arrangements, the lessors are companies whose only assets and operations are to hold the Company’s leases and vessels. The Company operates the vessels during the lease term and supervises the vessels’ construction before the lease term begins. As a result, the Company is considered to be the primary beneficiary of the lessors and consolidates the lessors for financial reporting purposes. The terms of the leases are as follows: ( i ) Under this arrangement, the lessor has provided financing of $144,185,000. The 12-year lease term began on June 29, 2011, which was the vessel’s delivery date. Lease payments include an interest component based on three month LIBOR plus a 2.6% margin. At the end of the lease, the outstanding balance of up to $48,000,000 will be due and title of the vessel will transfer to the Company. ( ii ) Under this arrangement, the lessor has provided financing of $109,000,000. The 12-year lease term began on March 14, 2012, which was the vessel’s delivery date. Lease payments include an interest component based on three month LIBOR plus a 3.0% margin. At the end of the lease, the Company will have the option to purchase the vessel from the lessor for $1. (b) In May 2016, the Company entered into arrangements with an Asian-based leasing company to provide $420,750,000 of financing for five 11000 TEU newbuilding vessels. Under the arrangement, the Company will receive pre-delivery financing and at delivery will sell and lease the vessels back over a 17 year term. At the end of the lease term, the Company is obligated to purchase the vessels at a pre-determined purchase price. The Company is subject to 0.8% commitment fees calculated on the undrawn amounts. The vessels are recorded as an asset and the lease obligations are recorded as a liability. The lease financing bears interest at LIBOR plus a margin. In March 2015, the Company entered into financing arrangements with Asian special purpose companies to refinance three 4500 TEU containerships for total proceeds of $150,000,000. Under the arrangements, the Company sold the vessels and is leasing the vessels back over a five year term. At the end of the lease term, the Company is obligated to purchase the vessels at a pre-determined purchase price. The leases are accounted for as capital leases. The vessels are recorded as an asset and the lease obligations are recorded as a liability. |
Repayments Due for Obligations Under Capital Lease | Based on maximum amounts funded, payments due to the lessors for all ten vessels would be as follows: 2017 $ 40,923 2018 49,670 2019 50,039 2020 138,484 2021 34,435 Thereafter 236,282 549,833 Less amounts representing interest (51,049 ) $ 498,784 |
Other long-term liabilities (Ta
Other long-term liabilities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Long-Term Liabilities | 2016 2015 Deferred gain on sale-leasebacks (a) $ 194,322 $ 163,554 Other 21,897 — Other long-term liabilities 216,219 163,554 Current portion (21,115 ) (15,471 ) Other long-term liabilities $ 195,104 $ 148,083 (a) Deferred gain on sale-leasebacks: In March and May 2016, the Company entered into sale-leaseback transactions with Asian special purpose companies (“SPCs”), for one 10000 TEU vessel, the MOL Benefactor, and one 14000 TEU vessel, the YM Width. The sale-leaseback transactions provided total gross proceeds of $254,000,000 upon delivery of the vessels. Under the transactions, the Company sold the vessels to the SPCs and leased the vessels back from the SPCs over a term of 11 or 12 years, with an option to purchase the vessel at the nine year or nine year and six month anniversary of the lease for a pre-determined fair value purchase price. In September 2016, the Company entered into a sale-leaseback transaction with SPCs for one 10000 TEU vessel, the Maersk Genoa, for gross proceeds of $100,000,000. Under the transaction, the Company sold the vessel to the SPCs and leased the vessel back from the SPCs over a term of nine years, with an option to purchase the vessel at the end of the lease term for a pre-determined fair value purchase price. If the purchase option is not exercised, the lease term may be extended for an additional two years, at the option of the SPCs. The sale of these three vessels resulted in a deferred gain totaling approximately $50,921,000 During 2015, the Company financed one 10000 TEU and three 14000 TEU newbuilding vessels through lease financing arrangements with Asian SPCs. The lease financing arrangements provided total gross financing proceeds of $542,000,000. Under the lease financing arrangements, the Company sold the vessels to the SPCs and is leasing the vessels back from the SPCs over an initial term of approximately 8.5 or 9.5 years, with an option to purchase the vessels at the end of the lease term for a pre-determined fair value purchase price. If the purchase option is not exercised, the lease terms will be automatically extended for an additional two or 2.5 years. The sale of these four vessels resulted in a deferred gain totaling approximately $117,482,000 which is being recorded as a reduction of the related operating lease expense over 10.5 years or 12 years, representing the initial lease term plus extensions. |
Share capital (Tables)
Share capital (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Schedule of Preferred Shares Outstanding | As at December 31, 2016, the Company had the following preferred shares outstanding: Liquidation preference Shares December December Series Authorized Issued 2016 2015 A 315,000 — $ — $ — B 260,000 — — — C 40,000,000 — — 333,044 D 20,000,000 4,981,029 124,526 124,526 E 15,000,000 5,370,600 134,265 134,265 F 20,000,000 5,600,000 140,000 — G 15,000,000 7,800,000 195,000 — H 15,000,000 9,000,000 225,000 — R 1,000,000 — — — |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Reconciliation of Numerator and Denominator Used in Basic and Diluted EPS Computations | The following is a reconciliation of the numerator and denominator used in the basic and diluted EPS computations. For the year ended Earnings Shares Per December 31, 2016 (numerator) (denominator) amount Net loss $ (139,039 ) Less preferred share dividends: Series C (14,420 ) Series D (9,900 ) Series E (11,077 ) Series F (6,055 ) Series G (7,404 ) Series H (6,841 ) Basic EPS: Loss attributable to common shareholders $ (194,736 ) 102,869,000 $ (1.89 ) Effect of dilutive securities: Share-based compensation — — Diluted EPS (1) Loss attributable to common shareholders $ (194,736 ) 102,869,000 $ (1.89 ) For the year ended Earnings Shares Per December 31, 2015 (numerator) (denominator) amount Net earnings $ 199,391 Less preferred share dividends: Series C (33,537 ) Series D (10,086 ) Series E (11,121 ) Series C preferred share repurchases (100 ) Basic EPS: Earnings attributable to common shareholders $ 144,547 99,217,000 $ 1.46 Effect of dilutive securities: Share-based compensation — 61,000 Diluted EPS: Earnings attributable to common shareholders $ 144,547 99,278,000 $ 1.46 For the year ended Earnings Shares Per December 31, 2014 (numerator) (denominator) amount Net earnings $ 131,247 Less preferred share dividends: Series A (3,395 ) Series C (33,623 ) Series D (10,036 ) Series E (9,776 ) Basic EPS: Earnings attributable to common shareholders $ 74,417 93,402,000 $ 0.80 Effect of dilutive securities: Share-based compensation — 131,000 Contingent consideration — 117,000 Diluted EPS (2) Earnings attributable to common shareholders $ 74,417 93,650,000 $ 0.79 (1) The unexercised share-based compensation awards and convertible Series F preferred shares are not included in the computation of diluted EPS because their effects are anti-dilutive for the year. (2) The convertible Series A preferred shares are not included in the computation of diluted EPS because its effects are anti-dilutive for the year. |
Share-based compensation (Table
Share-based compensation (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Outstanding Restricted Shares, Phantom Share Units, SARs and Restricted Stock Units | A summary of the Company’s outstanding restricted shares, phantom share units, SARs and restricted stock units as of December 31, 2016 is presented below: Restricted shares Phantom share units Stock appreciation rights Restricted stock units Number W.A. Number W.A. grant Number of W.A. grant Number W.A. grant of shares date FV of units date FV SARs date FV of units date FV December 31, 2013 48,880 $ 17.01 657,000 $ 14.02 7,072,945 $ 2.32 — $ — Granted 43,936 22.57 70,000 23.04 — — 72,314 23.03 Vested (48,880 ) 17.01 — — — — (37,238 ) 23.03 Exercised — — — — (1,193,529 ) 2.42 — — Exchanged — — (20,000 ) 19.00 — — — — December 31, 2014 43,936 22.57 707,000 14.77 5,879,416 2.30 35,076 23.03 Granted 51,368 18.39 100,000 18.24 — — 38,142 20.21 Vested (45,924 ) 22.39 — — — — (35,195 ) 22.01 Exchanged — — (110,000 ) 16.21 — — — — Cancelled (4,433 ) 18.39 (49,999 ) 19.66 (2,605 ) 3.65 (5,195 ) 21.86 December 31, 2015 44,947 18.39 647,001 14.73 5,876,811 2.30 32,828 21.03 Granted 56,861 15.48 60,000 18.84 — — 528,232 16.57 Vested (44,947 ) 18.39 — — — — (37,374 ) 18.56 Exchanged — — (70,000 ) 19.91 — — — — Expired — — — — (3,438,614 ) 2.26 — — Cancelled — — — — — — (299 ) 20.21 December 31, 2016 56,861 $ 15.48 637,001 $ 14.55 2,438,197 $ 2.29 523,387 $ 16.71 |
Schedule of Assumptions to Calculate Fair Value of Performance Stock Units | The assumptions used in the Monte Carlo model to calculate the grant date fair value of the performance stock units were as follows: Average expected term 3.03 years Expected volatility 32.25 % Dividend yield 8.95 % Average risk free rate 1.38 % |
Schedule of Information about Performance Stock Units Granted | The following table provides information about the performance stock units granted: Performance Vesting Price Time Vesting Tranche Number of PSUs per Share (continued employment) 1 127,316 $ 17.60 May 31, 2017 2 140,806 $ 18.48 May 31, 2018 3 155,212 $ 19.40 May 31, 2019 4 171,612 $ 20.37 May 31, 2020 5 191,201 $ 21.39 May 31, 2021 786,147 |
Other information (Tables)
Other information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Additional Financial Information Disclosure [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities | (a) Accounts payable and accrued liabilities: The principal components of accounts payable and accrued liabilities are: 2016 2015 Due to related parties (note 4) $ 4,175 $ 1,765 Accrued interest 16,270 19,841 Accounts payable and other accrued liabilities 41,712 54,780 $ 62,157 $ 76,386 |
Schedule of Supplemental Cash Flow Information | (b) Supplemental cash flow information: 2016 2015 2014 Interest paid on debt $ 109,272 $ 97,724 $ 91,450 Interest received 8,041 10,853 1,211 Undrawn credit facility fee paid 2,856 2,865 3,512 Non-cash transactions: Dividend reinvestment 4,359 38,862 64,697 Arrangement and transaction fees (note 15) 6,393 9,191 6,753 Acquisition of time charters through novation from GCI (note 4(c)) 16,200 — — Recognition of fair value of bareboat charters (note 4(c)) 16,200 — — Acquisition of GCI Subsidiaries through settlement of loans to affiliate 107,500 — — Capital contribution through settlement of loans to affiliate — 19,444 15,000 Dividends on Series A preferred shares — — 3,395 Loan repayment for vessels under construction — — 29,680 Long-term debt for vessels under construction — 77,625 8,300 Vessel reallocation — — 11,533 Fair value of financial instruments — — 50,278 |
Commitments and contingent ob42
Commitments and contingent obligations (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Revenues to be Received on Committed Agreements | As of December 31, 2016, the minimum future revenues to be received on committed time charter party agreements and interest income from direct financing leases are approximately: 2017 $ 795,386 2018 790,366 2019 762,699 2020 722,489 2021 650,781 Thereafter 1,445,727 $ 5,167,448 |
Schedule of Commitment Under Operating Leases | As of December 31, 2016, the commitment under operating leases for vessels is $1,340,050,000 for 2017 to 2028 and office space is $9,660,000 for 2017 to 2024. Total commitments under these leases are as follows: 2017 $ 130,265 2018 131,209 2019 132,329 2020 133,432 2021 135,248 Thereafter 687,227 $ 1,349,710 |
Concentrations (Tables)
Concentrations (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Risks And Uncertainties [Abstract] | |
Schedule of Revenue Derived from Customers | The Company’s revenue is derived from the following customers: 2016 2015 2014 COSCON (1) $ 301,655 $ 298,658 $ 303,357 CSCL Asia (1) 123,151 125,900 126,399 Yang Ming 121,576 51,899 8 MOL 117,891 105,676 65,633 K-Line 75,862 74,542 76,130 Hapag-Lloyd 69,661 98,811 77,675 Other 68,109 63,538 67,968 $ 877,905 $ 819,024 $ 717,170 (1) While the Company continues to charter the vessels to CSCL Asia and COSCON, CSCL Asia and COSCON merged their container shipping business in March 2016. |
Financial instruments (Tables)
Financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of Outstanding Interest Rate Derivatives | As of December 31, 2016, the Company had the following outstanding interest rate derivatives: Fixed per annum rate swapped for LIBOR Notional amount as of December 31, 2016 Maximum notional amount (1) Effective date Ending date 5.6400% $ 645,970 $ 645,970 August 31, 2007 August 31, 2017 (2) 5.4200% 416,053 416,053 September 6, 2007 May 31, 2024 5.6000% 148,800 148,800 June 23, 2010 December 23, 2021 (2) 5.9450% 131,544 131,544 January 30, 2014 May 31, 2019 5.2600% 87,100 87,100 July 3, 2006 February 26, 2021 (2) (3) 5.8700% — 620,390 August 31, 2017 November 28, 2025 (1) Over the term of the interest rate swaps, the notional amounts increase and decrease. These amounts represent the peak notional over the remaining term of the swap. (2) Prospectively de-designated as an accounting hedge in 2008. (3) Swap counterparty has an early termination right in 2017 which may require the Company to settle the swap at the early termination date. The fair value liability as of December 31, 2016 for this swap is $8,989,000. |
Schedule of Derivatives | The following provides information about the Company’s derivatives: 2016 2015 Fair value of financial instruments asset $ 11,338 $ 33,632 Fair value of financial instruments liability 230,764 338,146 |
Schedule of Financial Instruments, Effect of the Master Netting Agreement | Gross of recognized Amounts subject assets and to master netting December 31, 2016 liabilities agreement Net amount Derivative assets $ 11,338 $ — $ 11,338 Derivative liabilities 230,764 — 230,764 Net liability $ (219,426 ) $ — $ (219,426 ) Gross amounts of recognized Amounts subject assets and to master netting December 31, 2015 liabilities agreement Net amount Derivative assets $ 33,632 $ 21,964 $ 11,668 Derivative liabilities 338,146 21,964 316,182 Net liability $ (304,514 ) $ — $ (304,514 ) |
Schedule of Losses Reclassified from Accumulated Other Comprehensive Loss into Earnings | The following table provides information about losses included in net earnings and reclassified from accumulated other comprehensive loss (“AOCL”) into earnings: 2016 2015 2014 Loss on derivatives recognized in net earnings: Change in fair value of financial instruments $ (29,118 ) $ (54,576 ) $ (105,694 ) Loss reclassified from AOCL to net earnings (1) Interest expense $ (3,407 ) $ (3,319 ) $ (4,259 ) Depreciation and amortization (966 ) (1,078 ) (1,052 ) (1) The effective portion of changes in unrealized loss on interest rate swaps was recorded in accumulated other comprehensive income until September 30, 2008 when these contracts were de-designated as accounting hedges. The amounts in accumulated other comprehensive income will be recognized in earnings when and where the previously hedged interest is recognized in earnings. |
General - Additional Informatio
General - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Company incorporation date | May 3, 2005 |
Summary of significant accoun46
Summary of significant accounting policies - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Vessels [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful life | 30 years | ||
Number of years between dry-docking | 5 years | ||
ASU 2015-03 [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Impact of reclassification from amortization of deferred charges to interest expense | $ 11,685,000 | $ 10,342,000 | |
Impact on operating results due to reclassification | 0 | $ 0 | |
ASU 2015-03 [Member] | Deferred Financing Fees [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Reclassification of deferred financing fees | (35,341,000) | ||
ASU 2015-03 [Member] | Long-term Debt Current [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Reclassification of deferred financing fees | (1,563,000) | ||
ASU 2015-03 [Member] | Long-term Debt Noncurrent [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Reclassification of deferred financing fees | (27,791,000) | ||
ASU 2015-03 [Member] | Other Long-term Liabilities Current [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Reclassification of deferred financing fees | (125,000) | ||
ASU 2015-03 [Member] | Other Long-term Liabilities Noncurrent [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Reclassification of deferred financing fees | $ (5,862,000) |
Acquisition of Two Greater Ch47
Acquisition of Two Greater China Intermodal Investments LLC Subsidiaries - Additional Information (Detail) - GCI [Member] $ in Thousands | 1 Months Ended |
Jun. 30, 2016USD ($)SubsidiaryVessel | |
Business Acquisition [Line Items] | |
Percentage of interest in acquired entity | 100.00% |
Number of subsidiaries acquired | Subsidiary | 2 |
Remaining installments for vessels | $ 88,100 |
Aggregate purchase price | $ 107,500 |
11000 TEU Newbuilding Vessels [Member] | |
Business Acquisition [Line Items] | |
Number of vessels acquired | Vessel | 2 |
Bareboat charter term | 17 years |
Acquisition of Two Greater Ch48
Acquisition of Two Greater China Intermodal Investments LLC Subsidiaries - Schedule of Assets Acquired (Detail) - GCI [Member] $ in Thousands | Jun. 30, 2016USD ($) |
Business Acquisition [Line Items] | |
Vessels under construction | $ 90,802 |
Other assets (bareboat charters) | 12,798 |
Accounts receivable | 3,900 |
Assets acquired | $ 107,500 |
Related party transactions - Ad
Related party transactions - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |
Jun. 30, 2016USD ($) | Dec. 31, 2016USD ($)Vessel | Dec. 31, 2015USD ($) | |
Related Party Transaction [Line Items] | |||
Loans to affiliates | $ 62,414,000 | $ 219,649,000 | |
Amounts payable to related parties included in accounts payable and accrued liabilities | $ 4,175,000 | 1,765,000 | |
Number of vessels | Vessel | 2 | ||
MOL Beyond [Member] | |||
Related Party Transaction [Line Items] | |||
Lease expiration term | 11 years | ||
Option to purchase vessels upon term of lease contracts | 9 years | ||
Charter contract term | 8 years | ||
Y M Window [Member] | |||
Related Party Transaction [Line Items] | |||
Lease expiration term | 12 years | ||
Option to purchase vessels upon term of lease contracts | 9 years 6 months | ||
Charter contract term | 10 years | ||
Series G Preferred Shares [Member] | |||
Related Party Transaction [Line Items] | |||
Percentage of gross proceeds paid as advisory fees | 1.00% | ||
Maximum [Member] | |||
Related Party Transaction [Line Items] | |||
Maximum number of common stock that may be issued for arrangement fees and transaction fees | 50.00% | ||
GCI [Member] | |||
Related Party Transaction [Line Items] | |||
Loans to affiliates | $ 62,414,000 | 219,649,000 | |
Business acquisition, repayment from subsidiaries | $ 107,500,000 | ||
Interest receivable on loans to affiliate | 5,148,000 | 9,667,000 | |
Amounts due from related other parties included in accounts receivable | 6,385,000 | 4,530,000 | |
Amounts payable to related parties included in accounts payable and accrued liabilities | 2,780,000 | 1,500,000 | |
GCI [Member] | Vessels [Member] | |||
Related Party Transaction [Line Items] | |||
Due from related parties | $ 57,266,000 | 209,982,000 | |
Notice period for loans receivables | 45 days | ||
GCI [Member] | Vessels [Member] | Minimum [Member] | |||
Related Party Transaction [Line Items] | |||
Receivable interest rate | 5.00% | ||
Receivable interest rate | interest at 5% per annum | ||
GCI [Member] | Vessels [Member] | Maximum [Member] | |||
Related Party Transaction [Line Items] | |||
Receivable interest rate | 6.00% | ||
Receivable interest rate | interest at 6% per annum | ||
Other Related Parties [Member] | |||
Related Party Transaction [Line Items] | |||
Amounts due from related other parties included in accounts receivable | $ 655,000 | 588,000 | |
Amounts payable to related parties included in accounts payable and accrued liabilities | 1,395,000 | $ 265,000 | |
Time Charter Contracts [Member] | |||
Related Party Transaction [Line Items] | |||
Fair value of intangible assets | 16,200,000 | ||
Bareboat Charter Contracts [Member] | |||
Related Party Transaction [Line Items] | |||
Fair value of other long-term liabilities | $ 16,200,000 |
Related party transactions - Sc
Related party transactions - Schedule of Income or Expenses with Related Parties (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Arrangement Fees [Member] | |||
Related Party Transaction [Line Items] | |||
Expenses incurred with related parties | $ 7,598 | $ 8,627 | $ 4,520 |
Transaction Fees [Member] | |||
Related Party Transaction [Line Items] | |||
Expenses incurred with related parties | 6,317 | 9,506 | 7,323 |
Management Fees [Member] | |||
Related Party Transaction [Line Items] | |||
Income earned from related parties | 4,266 | 3,154 | 913 |
Supervision Fees [Member] | |||
Related Party Transaction [Line Items] | |||
Income earned from related parties | 7,800 | 1,950 | 0 |
Interest Income [Member] | |||
Related Party Transaction [Line Items] | |||
Income earned from related parties | $ 7,513 | $ 10,614 | $ 9,888 |
Accounts receivable - Additiona
Accounts receivable - Additional Information (Detail) $ in Thousands | Aug. 31, 2016USD ($) | Dec. 31, 2016USD ($)Vessel | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) |
Accounts Notes And Loans Receivable [Line Items] | ||||
Expenses related to customer bankruptcy (note 5) | $ | $ 18,883 | $ 18,883 | $ 0 | $ 0 |
10000 TEU Vessels [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of charters terminated | 3 | |||
4600 TEU Vessels [Member] | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of charters terminated | 1 |
Vessels - Schedule of Vessels (
Vessels - Schedule of Vessels (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Cost | $ 6,432,402 | $ 6,358,744 |
Accumulated depreciation | 1,548,553 | 1,080,396 |
Net book value | 4,883,849 | 5,278,348 |
Vessels [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cost | 6,126,220 | 6,149,625 |
Accumulated depreciation | 1,548,553 | 1,080,396 |
Net book value | 4,577,667 | 5,069,229 |
Vessels under construction [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cost | 306,182 | 209,119 |
Accumulated depreciation | 0 | 0 |
Net book value | $ 306,182 | $ 209,119 |
Vessels - Additional Informatio
Vessels - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2016USD ($)Vessel | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Property, Plant and Equipment [Line Items] | |||
Net sale proceeds from vessel disposals | $ 12,078,000 | $ 0 | $ 0 |
Loss on disposals (note 6) | 31,876,000 | 0 | 0 |
Non-cash impairment of vessels | 285,195,000 | 0 | 0 |
Vessels under construction [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Interest costs capitalized to vessels under construction | 8,161,000 | $ 5,361,000 | $ 8,184,000 |
Seaspan Excellence and Seaspan Efficiency [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Net sale proceeds from vessel disposals | 12,078,000 | ||
Loss on disposals (note 6) | 31,876,000 | ||
Less Than 5000 TEU Vessels [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Non-cash impairment of vessels | $ 285,195,000 | ||
Number of vessels held for use | Vessel | 16 | ||
4250 TEU Vessels [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Number of vessels held for use | Vessel | 4 | ||
3500 TEU Vessels [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Number of vessels held for use | Vessel | 2 | ||
2500 TEU Vessels [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Number of vessels held for use | Vessel | 10 |
Deferred charges - Deferred Cha
Deferred charges - Deferred Charges (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Deferred Costs [Abstract] | ||
Beginning Balance, Dry-docking | $ 42,774 | $ 18,506 |
Costs incurred, Dry-docking | 19,119 | 32,837 |
Amortization expensed, Dry-docking | (12,856) | (8,569) |
Amortization capitalized, Dry-docking | 0 | |
Ending Balance, Dry-docking | 49,037 | 42,774 |
Beginning Balance, Financing fees | 14,525 | 8,100 |
Costs incurred, Financing fees | 6,305 | 7,113 |
Amortization expensed, Financing fees | (1,768) | (525) |
Amortization capitalized, Financing fees | (163) | |
Ending Balance, Financing fees | 19,062 | 14,525 |
Beginning Balance, Total | 57,299 | 26,606 |
Costs incurred, Total | 25,424 | 39,950 |
Amortization expensed, Total | (14,624) | (9,094) |
Amortization capitalized, Total | (163) | |
Ending Balance, Total | $ 68,099 | $ 57,299 |
Other assets - Schedule of Othe
Other assets - Schedule of Other Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Assets [Abstract] | |||
Equity investment in affiliate | [1] | $ 48,182 | $ 44,106 |
Intangible assets | 29,812 | 2,471 | |
Restricted cash | 14,059 | 13,858 | |
Capital assets | 1,615 | 2,288 | |
Other | 26,783 | 26,333 | |
Other assets | $ 120,451 | $ 89,056 | |
[1] | In March 2011, the Company entered into an agreement to participate in GCI, an investment vehicle established by an affiliate of The Carlyle Group. GCI will invest up to $900,000,000 equity capital in containership assets strategic to the People’s Republic of China, Taiwan, Hong Kong and Macau. The Company agreed to make a minority investment in GCI of up to $100,000,000 during the investment period, which ended March 31, 2016. The Company accounts for its 10.8% (2015 – 10.8%) investment in GCI using the equity method. The investment of $48,182,000 (2015 - $44,106,000) is comprised of the Company’s capital contribution of $44,740,000 (2015 – $40,852,000) and its cumulative equity income on investment of $3,442,000 (2015 – $3,254,000) |
Other assets - Schedule of Ot56
Other assets - Schedule of Other Assets (Parenthetical) (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Mar. 31, 2011 | |
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Line Items] | |||
Capital contribution | $ 48,182,000 | $ 44,106,000 | |
Amount of equity income (loss) on investment | $ 3,442,000 | $ 3,254,000 | |
GCI [Member] | |||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Line Items] | |||
Percentage of investment in vehicle on equity method | 10.80% | 10.80% | |
Amount of investment comprised of capital contribution | $ 44,740,000 | $ 40,852,000 | |
Maximum [Member] | GCI [Member] | |||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Line Items] | |||
Equity capital in containership assets | $ 900,000,000 | ||
Minority investment in vehicle during investment period | $ 100,000,000 |
Deferred revenue - Deferred Rev
Deferred revenue - Deferred Revenue (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred Revenue Disclosure [Abstract] | ||
Deferred revenue on time charters | $ 26,879 | $ 14,271 |
Deferred interest on lease receivable | 0 | 1,428 |
Other deferred revenue | 2,828 | 9,230 |
Deferred revenue | 29,707 | 24,929 |
Current portion | (28,179) | (22,199) |
Deferred revenue | $ 1,528 | $ 2,730 |
Long-term Debt - Schedule of Lo
Long-term Debt - Schedule of Long-Term Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Long-term debt: | ||
Long-term debt | $ 2,884,514 | $ 3,357,841 |
Deferred financing fees | (18,875) | (29,354) |
Current portion | (314,817) | (285,783) |
Long-term debt Non Current | 2,569,697 | 3,072,058 |
Revolving Credit Facilities [Member] | ||
Long-term debt: | ||
Long-term debt | 958,304 | 1,057,093 |
Term Loan Credit Facilities [Member] | ||
Long-term debt: | ||
Long-term debt | 1,600,085 | 1,985,102 |
Senior Unsecured Notes [Member] | ||
Long-term debt: | ||
Long-term debt | $ 345,000 | $ 345,000 |
Long-term Debt - Additional Inf
Long-term Debt - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | ||||
Apr. 30, 2014Note | Dec. 31, 2016USD ($)CreditFacilityTermLoan | Dec. 31, 2015USD ($)CreditFacility | Dec. 31, 2014USD ($) | Aug. 31, 2016USD ($) | Apr. 30, 2016USD ($) | |
Debt Instrument [Line Items] | ||||||
Number of refinanced term loans | TermLoan | 2 | |||||
Deferred financing fees written off | $ 1,962,000 | $ 5,770,000 | $ 70,000 | |||
Senior Unsecured Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate on debt instrument | 6.375% | |||||
Issuance of senior unsecured notes | Note | 13,800,000 | |||||
Notes, maturity date | Apr. 30, 2019 | |||||
Term Loan Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facilities, maximum aggregate borrowings | $ 1,600,085,000 | 2,216,352,000 | ||||
Credit facilities, aggregate borrowings undrawn | $ 231,250,000 | |||||
Credit facility maturity start month and year | 2018-12 | |||||
Credit facility maturity end month and year | 2025-07 | |||||
Weighted average rate of interest, including the margin | 3.20% | 3.00% | ||||
Number of term loan credit facilities | CreditFacility | 13 | |||||
Terminated portion of term loan facility | $ 97,500,000 | |||||
Term Loan payments, Description | The Term Loan payments are made in quarterly or semi-annual payments commencing three, six or thirty-six months after delivery of the associated newbuilding containership or utilization date. | |||||
Term loan, outstanding principal | $ 49,200,000 | |||||
Deferred financing fees written off | $ 1,962,000 | |||||
Term Loan Credit Facilities [Member] | Export-Import Bank Of Korea [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate margin | 0.70% | |||||
Term loan principal outstanding amount | $ 91,060,000 | |||||
One Month LIBOR [Member] | Term Loan Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
LIBOR interest rate | 0.80% | 0.30% | ||||
LIBOR plus margin [Member] | Term Loan Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate description | interest is calculated as one month, three month or six month LIBOR plus a margin per annum | |||||
Debt instrument description | At December 31, 2016, the one month, three month and six month LIBOR was 0.8%, 1.0% and 1.2%, respectively (2015 – 0.3%, 0.5% and 0.5%, respectively) and the margins ranged between 0.4% and 4.8% (2015 – 0.4% and 4.8%). | |||||
Term loan principal outstanding amount | $ 1,509,025,000 | |||||
LIBOR plus margin [Member] | New Term Loan Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facilities, maximum aggregate borrowings | $ 702,700,000 | |||||
Additional number of term loan credit facilities | CreditFacility | 5 | |||||
Amounts drawn under term loan facilities | $ 366,577,000 | |||||
LIBOR plus margin [Member] | Minimum [Member] | Term Loan Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate margin | 0.40% | 0.40% | ||||
LIBOR plus margin [Member] | Maximum [Member] | Term Loan Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate margin | 4.80% | 4.80% | ||||
Three Month LIBOR [Member] | Term Loan Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
LIBOR interest rate | 1.00% | 0.50% | ||||
Six Month LIBOR [Member] | Term Loan Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
LIBOR interest rate | 1.20% | 0.50% | ||||
Revolving Credit Facilities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Number of long-term revolving credit facilities | CreditFacility | 4 | |||||
Credit facilities, maximum aggregate borrowings | $ 1,118,315,000 | $ 1,227,115,000 | ||||
Credit facilities, aggregate borrowings undrawn | 160,011,000 | $ 170,022,000 | ||||
Revolving credit facility amount outstanding | $ 58,240,000 | |||||
Credit facility maturity start month and year | 2017-04 | |||||
Credit facility maturity end month and year | 2023-12 | |||||
Interest rate description | Interest is calculated as one month LIBOR plus a margin per annum | |||||
Debt instrument description | At December 31, 2016, the one month LIBOR was 0.8% (2015 – 0.3%) and the margins ranged between 0.5% and 1.3% (2015 – 0.5% and 1.3%) | |||||
Weighted average rate of interest, including the margin | 1.40% | 0.90% | ||||
Description of the terms of a credit facility arrangement | The Revolver loan payments are made in semi-annual payments commencing six or thirty-six months after delivery of the associated newbuilding containership for the secured facilities | |||||
Revolving Credit Facilities [Member] | Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate margin | 0.50% | 0.50% | ||||
Commitment fee on undrawn amount | 0.20% | |||||
Revolving Credit Facilities [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate margin | 1.30% | 1.30% | ||||
Commitment fee on undrawn amount | 0.40% | |||||
Revolving Credit Facilities [Member] | One Month LIBOR [Member] | ||||||
Debt Instrument [Line Items] | ||||||
LIBOR interest rate | 0.80% | 0.30% | ||||
Three Hundred And Sixty Four Day Revolving Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facilities, maximum aggregate borrowings | $ 160,000,000 | $ 150,000,000 | ||||
Revolving credit facility amount outstanding |
Long-term Debt - Schedule of Mi
Long-term Debt - Schedule of Minimum Repayments for Balances Outstanding for Revolving and Term Loan Credit Facilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | ||
Long-Term Debt | $ 2,884,514 | $ 3,357,841 |
Term Loan Credit Facilities [Member] | ||
Debt Instrument [Line Items] | ||
2,017 | 211,748 | |
2,018 | 154,307 | |
2,019 | 234,762 | |
2,020 | 186,903 | |
2,021 | 256,446 | |
Thereafter | 555,919 | |
Long-Term Debt | 1,600,085 | 1,985,102 |
Revolving Credit Facilities [Member] | ||
Debt Instrument [Line Items] | ||
2,017 | 104,183 | |
2,018 | 65,923 | |
2,019 | 197,320 | |
2,020 | 53,281 | |
2,021 | 56,416 | |
Thereafter | 481,181 | |
Long-Term Debt | $ 958,304 | $ 1,057,093 |
Long-term Obligations under C61
Long-term Obligations under Capital Lease - Schedule of Long-term Obligations Under Capital Lease (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Capital Lease Obligations [Abstract] | ||
Long-term obligations under capital lease | $ 498,784 | $ 342,767 |
Deferred financing fees | (11,565) | (5,987) |
Long-term obligations under capital lease | 487,219 | 336,780 |
Current portion | (27,824) | (22,702) |
Long-term obligations under capital lease | $ 459,395 | $ 314,078 |
Long-term Obligations under C62
Long-term Obligations under Capital Lease - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |
May 31, 2016USD ($)Vessel | Dec. 31, 2016USD ($)Vessel | Dec. 31, 2015USD ($)Vessel | |
Sale Leaseback Transaction [Line Items] | |||
Weighted average rate of interest, including the margin | 4.50% | 4.50% | |
Number of vessels | Vessel | 5 | 5 | |
Number of vessels under construction | Vessel | 5 | ||
Carrying value of vessels being funded | $ 761,291,000 | $ 547,401,000 | |
COSCO Pride - 13100 TEU vessel [Member] | |||
Sale Leaseback Transaction [Line Items] | |||
Financing from lessor | $ 144,185,000 | ||
Terms of leases | 12 years | ||
Lease payments include an interest component based on three month LIBOR plus margin percentage | 2.60% | ||
COSCO Pride - 13100 TEU vessel [Member] | Maximum [Member] | |||
Sale Leaseback Transaction [Line Items] | |||
Outstanding balance at end of lease term | $ 48,000,000 | ||
COSCO Faith - 13100 TEU vessel [Member] | |||
Sale Leaseback Transaction [Line Items] | |||
Financing from lessor | $ 109,000,000 | ||
Terms of leases | 12 years | ||
Lease payments include an interest component based on three month LIBOR plus margin percentage | 3.00% | ||
Amount of option to purchase the vessel from the lessor | $ 1 | ||
11000 TEU Newbuilding Vessels [Member] | |||
Sale Leaseback Transaction [Line Items] | |||
Financing from lessor | $ 420,750,000 | ||
Terms of leases | 17 years | ||
Lease financing, number of vessels | Vessel | 5 | ||
Commitment fee on undrawn amount | 0.80% | ||
Leases for three 4500 TEU vessels [Member] | |||
Sale Leaseback Transaction [Line Items] | |||
Proceeds from lease financing arrangements in total | $ 150,000,000 | ||
Lease financing lease period | 5 years |
Long-term Obligations under C63
Long-term Obligations under Capital Lease - Repayments Due for Obligations Under Capital Lease (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Capital Lease Obligations [Abstract] | |
2,017 | $ 40,923 |
2,018 | 49,670 |
2,019 | 50,039 |
2,020 | 138,484 |
2,021 | 34,435 |
Thereafter | 236,282 |
Capital Leases, Future Minimum Payments Due, Total | 549,833 |
Less amounts representing interest | (51,049) |
Capital Lease Obligation | $ 498,784 |
Other long-term liabilities - S
Other long-term liabilities - Schedule of Other Long-Term Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Other Long Term Liabilities [Abstract] | ||
Deferred gain on sale-leasebacks | $ 194,322 | $ 163,554 |
Other | 21,897 | 0 |
Other long-term liabilities | 216,219 | 163,554 |
Current portion | (21,115) | (15,471) |
Other long-term liabilities | $ 195,104 | $ 148,083 |
Other Long-term Liabilities - A
Other Long-term Liabilities - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | ||
Sep. 30, 2016USD ($) | Dec. 31, 2016USD ($)Vessel | Dec. 31, 2015USD ($)Vessel | Dec. 31, 2014USD ($) | |
Other Long Term Liabilities [Line Items] | ||||
Total gross proceeds from sale-leaseback transactions | $ 354,000,000 | $ 542,000,000 | $ 330,000,000 | |
Number of vessels under sales leaseback | Vessel | 3 | |||
Deferred gain on sale-leasebacks | $ 194,322,000 | 163,554,000 | ||
MOL Benefactor and YM Width Vessels [Member] | ||||
Other Long Term Liabilities [Line Items] | ||||
Total gross proceeds from sale-leaseback transactions | $ 254,000,000 | |||
Sale leaseback transaction term description | Under the transactions, the Company sold the vessels to the SPCs and leased the vessels back from the SPCs over a term of 11 or 12 years, with an option to purchase the vessel at the nine year or nine year and six month anniversary of the lease for a pre-determined fair value purchase price. | |||
MOL Benefactor Vessel [Member] | ||||
Other Long Term Liabilities [Line Items] | ||||
Lease financing lease period | 11 years | |||
Sale leaseback transaction option to purchase period | 9 years | |||
YM Width Vessel [Member] | ||||
Other Long Term Liabilities [Line Items] | ||||
Lease financing lease period | 12 years | |||
Sale leaseback transaction option to purchase period | 9 years 6 months | |||
Maersk Genoa Vessel [Member] | ||||
Other Long Term Liabilities [Line Items] | ||||
Total gross proceeds from sale-leaseback transactions | $ 100,000,000 | |||
Sale leaseback transaction term description | Under the transaction, the Company sold the vessel to the SPCs and leased the vessel back from the SPCs over a term of nine years, with an option to purchase the vessel at the end of the lease term for a pre-determined fair value purchase price. | |||
Lease financing lease period | 9 years | |||
Extension of lease term if purchase option is not exercised | 2 years | |||
MOL Benefactor, YM Width And Maersk Genoa Vessels [Member] | ||||
Other Long Term Liabilities [Line Items] | ||||
Deferred gain on sale-leasebacks | $ 50,921,000 | |||
One 10000 TEU and Three 14000 TEU Vessels [Member] | ||||
Other Long Term Liabilities [Line Items] | ||||
Total gross proceeds from sale-leaseback transactions | $ 542,000,000 | |||
Sale leaseback transaction term description | Under the lease financing arrangements, the Company sold the vessels to the SPCs and is leasing the vessels back from the SPCs over an initial term of approximately 8.5 or 9.5 years, with an option to purchase the vessels at the end of the lease term for a pre-determined fair value purchase price. If the purchase option is not exercised, the lease terms will be automatically extended for an additional two or 2.5 years. | |||
Number of vessels under sales leaseback | Vessel | 4 | |||
Deferred gain on sale-leasebacks | $ 117,482,000 | |||
One 10000 TEU Newbuilding Vessel [Member] | ||||
Other Long Term Liabilities [Line Items] | ||||
Extension of lease term if purchase option is not exercised | 2 years | |||
Number of vessels under sales leaseback | Vessel | 1 | |||
Terms of leases | 8 years 6 months | |||
Total term lease period | 10 years 6 months | |||
Three 14000 TEU Newbuilding Vessels [Member] | ||||
Other Long Term Liabilities [Line Items] | ||||
Extension of lease term if purchase option is not exercised | 2 years 6 months | |||
Number of vessels under sales leaseback | Vessel | 3 | |||
Terms of leases | 9 years 6 months | |||
Total term lease period | 12 years |
Share Capital - Additional Info
Share Capital - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | ||||||||||
Nov. 30, 2016 | Aug. 31, 2016 | Jun. 30, 2016 | May 31, 2016 | Sep. 30, 2015 | Feb. 28, 2014 | Nov. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Apr. 30, 2015 | |
Class Of Stock [Line Items] | ||||||||||||
Dividend reinvestment program discount rate percentage | 3.00% | |||||||||||
Value of stock repurchased | $ 12,303,000 | |||||||||||
Proceeds from issuance of common shares, gross | $ 95,978,000 | $ 0 | $ 4,245,000 | |||||||||
Value of stock redeemed | $ 333,074,000 | |||||||||||
Preferred shares, issued | 32,751,629 | 23,673,403 | ||||||||||
Proceeds from issuance of preferred shares, gross | $ 541,694,000 | $ 0 | $ 130,415,000 | |||||||||
At-the-Market [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Number of shares issued | 0 | |||||||||||
Common Class B [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Common shares, authorized | 25,000,000 | |||||||||||
Common shares, outstanding | 0 | 0 | ||||||||||
Class C common Shares [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Common shares, authorized | 100 | |||||||||||
Common shares, outstanding | 0 | 0 | ||||||||||
Class A Common Shares [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Common shares, authorized | 200,000,000 | 200,000,000 | ||||||||||
Common shares, outstanding | 105,722,646 | 98,622,160 | ||||||||||
Number of shares issued | 6,770,408 | 6,770,408 | 206,600 | |||||||||
Class A common shares price per share | $ 14.70 | |||||||||||
Proceeds from issuance of common shares, gross | $ 99,525,000 | |||||||||||
Class A Common Shares [Member] | Rule 10b5-1 [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Number of shares repurchased | 564,270 | 944,524 | ||||||||||
Value of stock repurchased | $ 8,269,000 | $ 13,885,000 | ||||||||||
Stock repurchase plan cancellation period | 2016-05 | |||||||||||
Class A Common Shares [Member] | Rule 10b5-1 [Member] | Maximum [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of shares authorized for repurchase | $ 50,000,000 | |||||||||||
Series C Preferred Shares [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of shares authorized for repurchase | $ 150,000,000 | |||||||||||
Number of shares repurchased | 343,757 | |||||||||||
Number of shares redeemed | 13,321,774 | 13,321,774 | ||||||||||
Redemption price per share | $ 25 | |||||||||||
Value of stock redeemed | $ 333,074,000 | |||||||||||
Preferred shares, issued | 0 | |||||||||||
Series C Preferred Shares [Member] | Rule 10b5-1 [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of shares authorized for repurchase | $ 75,000,000 | |||||||||||
Expiration of share repurchase authorization | 2015-12 | |||||||||||
Series C Preferred Shares [Member] | Shares Repurchased Via Repurchase Plans [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Number of shares repurchased | 303,757 | |||||||||||
Value of stock repurchased | $ 7,660,000 | |||||||||||
Series C Preferred Shares [Member] | Open Market Repurchases [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Number of shares repurchased | 40,000 | |||||||||||
Value of stock repurchased | $ 1,020,000 | |||||||||||
Dividend rate percentage | 9.50% | |||||||||||
Repurchase price per share | $ 25.50 | |||||||||||
Series D Preferred Shares [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of shares authorized for repurchase | $ 25,000,000 | |||||||||||
Number of shares repurchased | 123,971 | |||||||||||
Dividend rate percentage | 7.95% | |||||||||||
Redemption price per share | $ 25 | |||||||||||
Preferred shares, issued | 2,000,000 | 3,105,000 | 4,981,029 | |||||||||
Proceeds from issuance of preferred shares, gross | $ 50,000,000 | $ 77,625,000 | ||||||||||
Series D Preferred Shares [Member] | Rule 10b5-1 [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of shares authorized for repurchase | $ 7,500,000 | |||||||||||
Expiration of share repurchase authorization | 2015-12 | |||||||||||
Series D Preferred Shares [Member] | Shares Repurchased Via Repurchase Plans [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of stock repurchased | $ 2,929,000 | |||||||||||
Series E Preferred Shares [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of shares authorized for repurchase | $ 25,000,000 | |||||||||||
Number of shares repurchased | 29,400 | |||||||||||
Number of shares issued | 5,400,000 | |||||||||||
Dividend rate percentage | 8.25% | |||||||||||
Redemption price per share | $ 25 | |||||||||||
Preferred shares, issued | 5,400,000 | 5,370,600 | ||||||||||
Proceeds from issuance of preferred shares, gross | $ 135,000,000 | |||||||||||
Series E Preferred Shares [Member] | Rule 10b5-1 [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of shares authorized for repurchase | $ 7,500,000 | |||||||||||
Expiration of share repurchase authorization | 2015-12 | |||||||||||
Series E Preferred Shares [Member] | Shares Repurchased Via Repurchase Plans [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Value of stock repurchased | $ 694,000 | |||||||||||
Series D, Series E, Series G and Series H Preferred Share [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Maximum sales proceeds from at the market offering | $ 150,000,000 | |||||||||||
Series F Preferred Shares [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Number of shares issued | 5,600,000 | |||||||||||
Dividend rate percentage | 6.95% | |||||||||||
Preferred shares, issued | 5,600,000 | 5,600,000 | ||||||||||
Proceeds from issuance of preferred shares, gross | $ 140,000,000 | |||||||||||
Stock conversion price per share | $ 18 | |||||||||||
Increase in dividend rate payable annually | 1.00% | |||||||||||
Preferred stock, dividend payment terms | The dividend rate is initially set at 6.95%, but will increase by 1% annually after the fifth anniversary date to a maximum of 10.5% by the ninth anniversary date, or will increase to 10.5% on January 1, 2018 if the Company does not acquire all of the membership interests in GCI or all or substantially all of the assets of GCI by December 31, 2017. | |||||||||||
Series F Preferred Shares [Member] | Maximum [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Dividend rate percentage | 10.50% | |||||||||||
Series G Preferred Shares [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Number of shares issued | 7,800,000 | |||||||||||
Dividend rate percentage | 8.20% | |||||||||||
Redemption price per share | $ 25 | |||||||||||
Preferred shares, issued | 3,200,000 | 4,600,000 | 7,800,000 | |||||||||
Proceeds from issuance of preferred shares, gross | $ 80,000,000 | $ 115,000,000 | ||||||||||
Series H Preferred Shares [Member] | ||||||||||||
Class Of Stock [Line Items] | ||||||||||||
Number of shares issued | 9,000,000 | |||||||||||
Dividend rate percentage | 7.875% | |||||||||||
Redemption price per share | $ 25 | |||||||||||
Preferred shares, issued | 9,000,000 | 9,000,000 | ||||||||||
Proceeds from issuance of preferred shares, gross | $ 225,000,000 |
Share Capital - Schedule of Pre
Share Capital - Schedule of Preferred Shares Outstanding (Detail) - USD ($) | Dec. 31, 2016 | Aug. 31, 2016 | Jun. 30, 2016 | May 31, 2016 | Dec. 31, 2015 | Feb. 28, 2014 | Nov. 30, 2013 | Dec. 31, 2012 |
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 150,000,000 | 150,000,000 | ||||||
Shares Issued | 32,751,629 | 23,673,403 | ||||||
Series A Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 315,000 | |||||||
Shares Issued | 0 | |||||||
Liquidation preference | $ 0 | $ 0 | ||||||
Series B Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 260,000 | |||||||
Shares Issued | 0 | |||||||
Liquidation preference | $ 0 | 0 | ||||||
Series C Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 40,000,000 | |||||||
Shares Issued | 0 | |||||||
Liquidation preference | $ 0 | 333,044,000 | ||||||
Series D Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 20,000,000 | |||||||
Shares Issued | 4,981,029 | 2,000,000 | 3,105,000 | |||||
Liquidation preference | $ 124,526,000 | 124,526,000 | ||||||
Series E Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 15,000,000 | |||||||
Shares Issued | 5,370,600 | 5,400,000 | ||||||
Liquidation preference | $ 134,265,000 | 134,265,000 | ||||||
Series F Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 20,000,000 | |||||||
Shares Issued | 5,600,000 | 5,600,000 | ||||||
Liquidation preference | $ 140,000,000 | 0 | ||||||
Series G Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 15,000,000 | |||||||
Shares Issued | 7,800,000 | 3,200,000 | 4,600,000 | |||||
Liquidation preference | $ 195,000,000 | 0 | ||||||
Series H Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 15,000,000 | |||||||
Shares Issued | 9,000,000 | 9,000,000 | ||||||
Liquidation preference | $ 225,000,000 | 0 | ||||||
Series R Preferred Shares [Member] | ||||||||
Class Of Stock [Line Items] | ||||||||
Preferred shares, authorized | 1,000,000 | |||||||
Shares Issued | 0 | |||||||
Liquidation preference | $ 0 | $ 0 |
Earnings per share - Schedule o
Earnings per share - Schedule of Reconciliation of Numerator and Denominator Used in Basic and Diluted EPS Computations (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share Basic [Line Items] | |||
Net earnings (loss) | $ (139,039) | $ 199,391 | $ 131,247 |
Earnings (loss) attributable to common shareholders | (194,736) | 144,547 | 74,417 |
Share-based compensation | 0 | 0 | 0 |
Contingent consideration | 0 | ||
Earnings (loss) attributable to common shareholders, diluted | $ (194,736) | $ 144,547 | $ 74,417 |
Earnings (loss) attributable to common shareholders, shares | 102,869,000 | 99,217,000 | 93,402,000 |
Share-based compensation, shares | 0 | 61,000 | 131,000 |
Contingent consideration, shares | 117,000 | ||
Earnings (loss) attributable to common shareholders, diluted shares | 102,869,000 | 99,278,000 | 93,650,000 |
Earnings (loss) attributable to common shareholders, per share amount | $ (1.89) | $ 1.46 | $ 0.80 |
Earnings (loss) attributable to common shareholders, per share diluted amount | $ (1.89) | $ 1.46 | $ 0.79 |
Series A Preferred Shares [Member] | |||
Earnings Per Share Basic [Line Items] | |||
Preferred share dividends | $ (3,395) | ||
Series C Preferred Shares [Member] | |||
Earnings Per Share Basic [Line Items] | |||
Preferred share dividends | $ (14,420) | $ (33,537) | (33,623) |
Series C preferred share repurchases | (100) | ||
Series D Preferred Shares [Member] | |||
Earnings Per Share Basic [Line Items] | |||
Preferred share dividends | (9,900) | (10,086) | (10,036) |
Series E Preferred Shares [Member] | |||
Earnings Per Share Basic [Line Items] | |||
Preferred share dividends | (11,077) | $ (11,121) | $ (9,776) |
Series F Preferred Shares [Member] | |||
Earnings Per Share Basic [Line Items] | |||
Preferred share dividends | (6,055) | ||
Series G Preferred Shares [Member] | |||
Earnings Per Share Basic [Line Items] | |||
Preferred share dividends | (7,404) | ||
Series H Preferred Shares [Member] | |||
Earnings Per Share Basic [Line Items] | |||
Preferred share dividends | $ (6,841) |
Share-based compensation - Addi
Share-based compensation - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | ||
May 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total shares of common stock reserved for issuance under the plan | 3,000,000 | |||
Remaining shares left for issuance under this plan | 1,253,635 | 1,418,715 | ||
Total unrecognized compensation costs relating to unvested share-based compensation awards | $ 14,527,000 | $ 1,956,000 | ||
Expected to be recognized over a weighted average period | 27 months | |||
Share-based compensation expenses | $ 6,228,000 | 3,928,000 | $ 7,701,000 | |
Transaction Fees [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Transaction fees capitalized to vessels | 6,317,000 | 9,506,000 | 7,323,000 | |
Transaction fees settled in Class A common shares | 3,159,000 | 4,753,000 | 3,662,000 | |
Arrangement Fees [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Arrangement fees capitalized to deferred financing fees | 7,598,000 | 8,627,000 | 4,520,000 | |
Arrangement fees settled in Class A common shares | $ 3,799,000 | 4,314,000 | 2,260,000 | |
Restricted shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Total fair value of shares vested | $ 827,000 | 1,028,000 | 831,000 | |
Total fair value of shares cancelled | $ 0 | $ 82,000 | $ 0 | |
Granted, stock units | 56,861 | 51,368 | 43,936 | |
Weighted average grant date fair value | $ 15.48 | $ 18.39 | $ 22.57 | |
Phantom share units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Outstanding phantom share units vested and available for exchange | 537,001 | 547,001 | ||
Granted, stock units | 60,000 | 100,000 | 70,000 | |
Weighted average grant date fair value | $ 18.84 | $ 18.24 | $ 23.04 | |
Restricted stock units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Retention requirement description | restricted stock units generally vest over three years, in equal one-third amounts on each anniversary date of the date of the grant. | |||
Granted, stock units | 528,232 | 38,142 | 72,314 | |
Weighted average grant date fair value | $ 16.57 | $ 20.21 | $ 23.03 | |
Restricted stock units [Member] | Chief Executive Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 5 years | |||
Granted, stock units | 479,714 | |||
Performance Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 5 years | |||
Granted, stock units | 786,147 | |||
Conditions for exercise of tranches | Performance vesting will occur for a given tranche of performance stock units if the stock price of a Class A common share equals or exceeds the target performance vesting share price for such tranche for any 20 consecutive trading days on or before May 31, 2021. | |||
Performance Stock Units [Member] | Chief Executive Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, stock units | 786,147 | |||
Weighted average grant date fair value | $ 10.23 | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expenses | $ 600,000 | $ 600,000 | $ 600,000 |
Share-based compensation - Summ
Share-based compensation - Summary of Outstanding Restricted Shares, Phantom Share Units, SARs and Restricted Stock Units (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restricted shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares, Beginning balance | 44,947 | 43,936 | 48,880 |
Number of shares, Granted | 56,861 | 51,368 | 43,936 |
Number of shares, Vested | (44,947) | (45,924) | (48,880) |
Number of shares, Exercised | 0 | ||
Number of shares, Exchanged | 0 | 0 | 0 |
Number of shares, Expired | 0 | ||
Number of shares, Cancelled | 0 | (4,433) | |
Number of shares, Ending balance | 56,861 | 44,947 | 43,936 |
W.A. grant date FV, Beginning balance | $ 18.39 | $ 22.57 | $ 17.01 |
W.A. grant date FV, Granted | 15.48 | 18.39 | 22.57 |
W.A. grant date FV, Vested | 18.39 | 22.39 | 17.01 |
W.A. grant date FV, Exercised | 0 | ||
W.A. grant date FV, Exchanged | 0 | 0 | 0 |
W.A. grant date FV, Expired | 0 | ||
W.A. grant date FV, Cancelled | 0 | 18.39 | |
W.A. grant date FV, Ending balance | $ 15.48 | $ 18.39 | $ 22.57 |
Phantom share units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares, Beginning balance | 647,001 | 707,000 | 657,000 |
Number of shares, Granted | 60,000 | 100,000 | 70,000 |
Number of shares, Vested | 0 | 0 | 0 |
Number of shares, Exercised | 0 | ||
Number of shares, Exchanged | (70,000) | (110,000) | (20,000) |
Number of shares, Expired | 0 | ||
Number of shares, Cancelled | 0 | (49,999) | |
Number of shares, Ending balance | 637,001 | 647,001 | 707,000 |
W.A. grant date FV, Beginning balance | $ 14.73 | $ 14.77 | $ 14.02 |
W.A. grant date FV, Granted | 18.84 | 18.24 | 23.04 |
W.A. grant date FV, Vested | 0 | 0 | 0 |
W.A. grant date FV, Exercised | 0 | ||
W.A. grant date FV, Exchanged | 19.91 | 16.21 | 19 |
W.A. grant date FV, Expired | 0 | ||
W.A. grant date FV, Cancelled | 0 | 19.66 | |
W.A. grant date FV, Ending balance | $ 14.55 | $ 14.73 | $ 14.77 |
Stock appreciation rights (SARs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares, Beginning balance | 5,876,811 | 5,879,416 | 7,072,945 |
Number of shares, Granted | 0 | 0 | 0 |
Number of shares, Vested | 0 | 0 | 0 |
Number of shares, Exercised | (1,193,529) | ||
Number of shares, Exchanged | 0 | 0 | 0 |
Number of shares, Expired | (3,438,614) | ||
Number of shares, Cancelled | 0 | (2,605) | |
Number of shares, Ending balance | 2,438,197 | 5,876,811 | 5,879,416 |
W.A. grant date FV, Beginning balance | $ 2.30 | $ 2.30 | $ 2.32 |
W.A. grant date FV, Granted | 0 | 0 | 0 |
W.A. grant date FV, Vested | 0 | 0 | 0 |
W.A. grant date FV, Exercised | 2.42 | ||
W.A. grant date FV, Exchanged | 0 | 0 | 0 |
W.A. grant date FV, Expired | 2.26 | ||
W.A. grant date FV, Cancelled | 0 | 3.65 | |
W.A. grant date FV, Ending balance | $ 2.29 | $ 2.30 | $ 2.30 |
Restricted stock units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares, Beginning balance | 32,828 | 35,076 | 0 |
Number of shares, Granted | 528,232 | 38,142 | 72,314 |
Number of shares, Vested | (37,374) | (35,195) | (37,238) |
Number of shares, Exercised | 0 | ||
Number of shares, Exchanged | 0 | 0 | 0 |
Number of shares, Expired | 0 | ||
Number of shares, Cancelled | (299) | (5,195) | |
Number of shares, Ending balance | 523,387 | 32,828 | 35,076 |
W.A. grant date FV, Beginning balance | $ 21.03 | $ 23.03 | $ 0 |
W.A. grant date FV, Granted | 16.57 | 20.21 | 23.03 |
W.A. grant date FV, Vested | 18.56 | 22.01 | 23.03 |
W.A. grant date FV, Exercised | 0 | ||
W.A. grant date FV, Exchanged | 0 | 0 | 0 |
W.A. grant date FV, Expired | 0 | ||
W.A. grant date FV, Cancelled | 20.21 | 21.86 | |
W.A. grant date FV, Ending balance | $ 16.71 | $ 21.03 | $ 23.03 |
Share-based compensation - Sche
Share-based compensation - Schedule of Assumptions to Calculate Fair Value of Performance Stock Units (Detail) - Performance Stock Units [Member] | 12 Months Ended |
Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Average expected term | 3 years 11 days |
Expected volatility | 32.25% |
Dividend yield | 8.95% |
Average risk free rate | 1.38% |
Share-based compensation - Sc72
Share-based compensation - Schedule of Information about the Performance Stock Units Granted (Detail) - Performance Stock Units [Member] | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Units | 786,147 |
Tranche 1 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Units | 127,316 |
Performance Vesting Price per Share | $ / shares | $ 17.60 |
Time Vesting (continued employment) | May 31, 2017 |
Tranche 2 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Units | 140,806 |
Performance Vesting Price per Share | $ / shares | $ 18.48 |
Time Vesting (continued employment) | May 31, 2018 |
Tranche 3 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Units | 155,212 |
Performance Vesting Price per Share | $ / shares | $ 19.40 |
Time Vesting (continued employment) | May 31, 2019 |
Tranche 4 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Units | 171,612 |
Performance Vesting Price per Share | $ / shares | $ 20.37 |
Time Vesting (continued employment) | May 31, 2020 |
Tranche 5 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Units | 191,201 |
Performance Vesting Price per Share | $ / shares | $ 21.39 |
Time Vesting (continued employment) | May 31, 2021 |
Other information - Schedule of
Other information - Schedule of Accounts Payable and Accrued Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Payables And Accruals [Abstract] | ||
Due to related parties (note 4) | $ 4,175 | $ 1,765 |
Accrued interest | 16,270 | 19,841 |
Accounts payable and other accrued liabilities | 41,712 | 54,780 |
Accounts payable and accrued liabilities, Total | $ 62,157 | $ 76,386 |
Other information - Schedule 74
Other information - Schedule of Supplemental Cash Flow Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Supplemental Cash Flow Information [Line Items] | |||
Interest paid on debt | $ 109,272 | $ 97,724 | $ 91,450 |
Interest received | 8,041 | 10,853 | 1,211 |
Undrawn credit facility fee paid | 2,856 | 2,865 | 3,512 |
Non-cash transactions: | |||
Dividend reinvestment | 4,359 | 38,862 | 64,697 |
Capital contribution through settlement of loans to affiliate | 0 | 19,444 | 15,000 |
Loan repayment for vessels under construction | 0 | 0 | 29,680 |
Long-term debt for vessels under construction | 0 | 77,625 | 8,300 |
Vessel reallocation | 0 | 0 | 11,533 |
Fair value of financial instruments | 0 | 0 | 50,278 |
Arrangement and Transaction Fees [Member] | |||
Non-cash transactions: | |||
Arrangement and transaction fees (note 15) | 6,393 | 9,191 | 6,753 |
GCI [Member] | |||
Non-cash transactions: | |||
Acquisition of GCI Subsidiaries through settlement of loans to affiliate | 107,500 | 0 | 0 |
GCI [Member] | Time Charter Contracts [Member] | |||
Non-cash transactions: | |||
Acquisition of time charters through novation from GCI (note 4(c)) | 16,200 | 0 | 0 |
GCI [Member] | Bareboat Charter Contracts [Member] | |||
Non-cash transactions: | |||
Recognition of fair value of bareboat charters (note 4(c)) | 16,200 | 0 | 0 |
Series A Preferred Shares [Member] | |||
Non-cash transactions: | |||
Dividends on Series A preferred shares | $ 0 | $ 0 | $ 3,395 |
Commitments and contingent ob75
Commitments and contingent obligations - Schedule of Future Minimum Revenues to be Received on Committed Agreements (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Leases [Abstract] | |
2,017 | $ 795,386 |
2,018 | 790,366 |
2,019 | 762,699 |
2,020 | 722,489 |
2,021 | 650,781 |
Thereafter | 1,445,727 |
Future minimum revenues receivable | $ 5,167,448 |
Commitments and contingent ob76
Commitments and contingent obligations - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Other Commitments [Line Items] | |
Percentage of future minimum revenues utilization | 100.00% |
Outstanding commitments for installment payments | $ 468,982,000 |
Operating leases, future minimum payments due | 1,349,710,000 |
Vessels [Member] | |
Other Commitments [Line Items] | |
Operating leases, future minimum payments due | $ 1,340,050,000 |
Operating leases, start year | 2,017 |
Operating leases, expiration year | 2,028 |
Office Space [Member] | |
Other Commitments [Line Items] | |
Operating leases, future minimum payments due | $ 9,660,000 |
Operating leases, start year | 2,017 |
Operating leases, expiration year | 2,024 |
Commitments and contingent ob77
Commitments and contingent obligations - Schedule of Commitment Under Operating Leases (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Leases [Abstract] | |
2,017 | $ 130,265 |
2,018 | 131,209 |
2,019 | 132,329 |
2,020 | 133,432 |
2,021 | 135,248 |
Thereafter | 687,227 |
Operating leases, future minimum payments due | $ 1,349,710 |
Concentrations - Schedule of Re
Concentrations - Schedule of Revenue Derived from Customers (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue, Major Customer [Line Items] | |||
Revenue | $ 877,905 | $ 819,024 | $ 717,170 |
COSCON [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | 301,655 | 298,658 | 303,357 |
CSCL Asia [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | 123,151 | 125,900 | 126,399 |
Yang Ming [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | 121,576 | 51,899 | 8 |
MOL [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | 117,891 | 105,676 | 65,633 |
Hapag-Lloyd [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | 69,661 | 98,811 | 77,675 |
K-Line [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | 75,862 | 74,542 | 76,130 |
Other [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenue | $ 68,109 | $ 63,538 | $ 67,968 |
Financial instruments - Additio
Financial instruments - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2016USD ($)Swaption | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Derivative [Line Items] | |||
Carrying value, long-term debt | $ 2,884,514,000 | $ 3,357,841,000 | |
Fair value of long-term obligations under capital lease excluding deferred financing fees | 498,357,000 | 346,138,000 | |
Carrying value of long-term capital lease obligations excluding deferred financing fees | 498,784,000 | 342,767,000 | |
Carrying amount of vessels held for use | 6,432,402,000 | 6,358,744,000 | |
Vessel impairments | 285,195,000 | 0 | $ 0 |
Amount that would be settled in cash in the next 12 months | $ 31,601,000 | ||
Swaption agreements | Swaption | 2 | ||
Asset due to restructured swaption agreements | $ 11,338,000 | 33,632,000 | |
Payments for swap terminations | 31,211,000 | ||
Restricted cash | 308,000 | 2,095,000 | |
Estimated accumulated other comprehensive loss expected to be reclassified to net earnings | 2,194,000 | ||
Swaption [Member] | Swaption Agreements [Member] | |||
Derivative [Line Items] | |||
Asset due to restructured swaption agreements | $ 11,300,000 | ||
Swaption Counterparty A [Member] | |||
Derivative [Line Items] | |||
Effective date | Mar. 2, 2017 | ||
Fixed per annum rate swapped for LIBOR | 0.50% | ||
Derivative, notional amount | $ 200,000,000 | ||
Swaption Counterparty B [Member] | |||
Derivative [Line Items] | |||
Effective date | Mar. 2, 2017 | ||
Fixed per annum rate swapped for LIBOR | 1.183% | ||
Derivative, notional amount | $ 200,000,000 | ||
Foreign Exchange Contract [Member] | |||
Derivative [Line Items] | |||
Derivative, notional amount | 2,800,000 | 15,200,000 | |
Fair value of financial instruments liability | 6,000 | 1,260,000 | |
Fair value of financial instruments assets | 60,000 | 0 | |
Vessels [Member] | |||
Derivative [Line Items] | |||
Carrying amount of vessels held for use | 6,126,220,000 | 6,149,625,000 | |
Fair Value Measured on Non-recurring Basis [Member] | Vessels [Member] | |||
Derivative [Line Items] | |||
Carrying amount of vessels held for use | 619,521,000 | ||
Vessel impairments | 285,195,000 | ||
Fair Value Measured on Non-recurring Basis [Member] | Level 2 [Member] | Vessels [Member] | |||
Derivative [Line Items] | |||
Fair value of vessels held for use | 334,326,000 | ||
Senior Unsecured Notes [Member] | |||
Derivative [Line Items] | |||
Carrying value, long-term debt | 345,000,000 | 345,000,000 | |
Fair value, long-term debt | 347,898,000 | 335,340,000 | |
Revolving and Term Loan Credit Facilities [Member] | |||
Derivative [Line Items] | |||
Fair value, long-term debt excluding deferred financing fees | 2,418,586,000 | 2,999,746,000 | |
Carrying value, long-term debt | $ 2,558,389,000 | $ 3,042,195,000 |
Financial instruments - Schedul
Financial instruments - Schedule of Outstanding Interest Rate Derivatives (Detail) | 12 Months Ended |
Dec. 31, 2016USD ($) | |
5.6400% [Member] | |
Derivative [Line Items] | |
Fixed per annum rate swapped for LIBOR | 5.64% |
Derivative, notional amount | $ 645,970,000 |
Effective date | Aug. 31, 2007 |
Ending date | Aug. 31, 2017 |
5.6400% [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Derivative, notional amount | $ 645,970,000 |
5.4200% [Member] | |
Derivative [Line Items] | |
Fixed per annum rate swapped for LIBOR | 5.42% |
Derivative, notional amount | $ 416,053,000 |
Effective date | Sep. 6, 2007 |
Ending date | May 31, 2024 |
5.4200% [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Derivative, notional amount | $ 416,053,000 |
5.6000% [Member] | |
Derivative [Line Items] | |
Fixed per annum rate swapped for LIBOR | 5.60% |
Derivative, notional amount | $ 148,800,000 |
Effective date | Jun. 23, 2010 |
Ending date | Dec. 23, 2021 |
5.6000% [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Derivative, notional amount | $ 148,800,000 |
5.9450% [Member] | |
Derivative [Line Items] | |
Fixed per annum rate swapped for LIBOR | 5.945% |
Derivative, notional amount | $ 131,544,000 |
Effective date | Jan. 30, 2014 |
Ending date | May 31, 2019 |
5.9450% [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Derivative, notional amount | $ 131,544,000 |
5.2600% [Member] | |
Derivative [Line Items] | |
Fixed per annum rate swapped for LIBOR | 5.26% |
Derivative, notional amount | $ 87,100,000 |
Effective date | Jul. 3, 2006 |
Ending date | Feb. 26, 2021 |
5.2600% [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Derivative, notional amount | $ 87,100,000 |
5.8700% [Member] | |
Derivative [Line Items] | |
Fixed per annum rate swapped for LIBOR | 5.87% |
Derivative, notional amount | $ 0 |
Effective date | Aug. 31, 2017 |
Ending date | Nov. 28, 2025 |
5.8700% [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Derivative, notional amount | $ 620,390,000 |
Financial instruments - Sched81
Financial instruments - Schedule of Outstanding Interest Rate Derivatives (Parenthetical) (Detail) | Dec. 31, 2016USD ($) |
5.2600% [Member] | |
Derivative [Line Items] | |
Fair value of financial instruments liability | $ 8,989,000 |
Financial instruments - Sched82
Financial instruments - Schedule of Derivatives (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Offsetting [Abstract] | ||
Fair value of financial instruments asset | $ 11,338 | $ 33,632 |
Fair value of financial instruments liability | $ 230,764 | $ 338,146 |
Financial instruments - Sched83
Financial instruments - Schedule of Financial Instruments, Effect of the Master Netting Agreement (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Derivative Instrument Detail [Abstract] | ||
Derivative assets, Gross amounts of recognized assets and liabilities | $ 11,338 | $ 33,632 |
Derivative liabilities, Gross amounts of recognized assets and liabilities | 230,764 | 338,146 |
Net liability | (219,426) | (304,514) |
Derivative assets, Amounts subject to master netting agreement | 0 | 21,964 |
Derivative liabilities, Amounts subject to master netting agreement | 0 | 21,964 |
Derivative net liability, Amounts subject to master netting agreement | 0 | 0 |
Derivative assets, Net amount | 11,338 | 11,668 |
Derivative liabilities, Net amount | 230,764 | 316,182 |
Net liability | $ (219,426) | $ (304,514) |
Financial instruments - Sched84
Financial instruments - Schedule of Losses Reclassified from Accumulated Other Comprehensive Loss into Earnings (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Loss on derivatives recognized in net earnings: | |||
Change in fair value of financial instruments | $ (29,118) | $ (54,576) | $ (105,694) |
Interest Expense [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | |||
Loss reclassified from AOCL to net earnings | |||
Depreciation and amortization/Interest expense | (3,407) | (3,319) | (4,259) |
Depreciation and Amortization [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | |||
Loss reclassified from AOCL to net earnings | |||
Depreciation and amortization/Interest expense | $ (966) | $ (1,078) | $ (1,052) |
Subsequent events - Additional
Subsequent events - Additional Information (Detail) - USD ($) | Jan. 11, 2017 | Feb. 28, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Subsequent Event [Line Items] | |||||
Dividends on preferred shares | $ 53,630,000 | $ 53,655,000 | $ 50,443,000 | ||
Dividends, common stock | 152,915,000 | 144,553,000 | 127,007,000 | ||
Dividends distribution was paid in cash | 148,556,000 | 105,691,000 | 62,310,000 | ||
Dividend reinvestment | 4,359,000 | 38,862,000 | 64,697,000 | ||
Payments for swap terminations | 31,211,000 | ||||
Swaption derivative asset | $ 11,338,000 | 33,632,000 | |||
5.26% [Member] | |||||
Subsequent Event [Line Items] | |||||
Interest rate of swap | 5.26% | ||||
Common Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividend reinvestment | $ 3,000 | $ 21,000 | $ 31,000 | ||
Subsequent Events [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends on common share, per share | $ 0.375 | ||||
Dividends, common stock | $ 39,695,000 | ||||
Dividends distribution was paid in cash | $ 39,278,000 | ||||
Swaption derivative asset | $ 11,294,000 | ||||
Subsequent Events [Member] | 5.26% [Member] | |||||
Subsequent Event [Line Items] | |||||
Interest rate of swap | 5.26% | ||||
Payments for swap terminations | $ 10,852,000 | ||||
Subsequent Events [Member] | Common Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends declared date | Jan. 11, 2017 | ||||
Dividends date paid | Jan. 30, 2017 | ||||
Dividends date of record | Jan. 25, 2017 | ||||
Dividend reinvestment | $ 417,000 | ||||
Subsequent Events [Member] | Series D Preferred Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends on preferred shares, per share | $ 0.496875 | ||||
Dividends declared date | Jan. 11, 2017 | ||||
Dividends date paid | Jan. 30, 2017 | ||||
Dividends date of record | Jan. 27, 2017 | ||||
Subsequent Events [Member] | Series E Preferred Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends on preferred shares, per share | $ 0.515625 | ||||
Dividends declared date | Jan. 11, 2017 | ||||
Dividends date paid | Jan. 30, 2017 | ||||
Dividends date of record | Jan. 27, 2017 | ||||
Subsequent Events [Member] | Series F Preferred Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends on preferred shares, per share | $ 0.434375 | ||||
Dividends declared date | Jan. 11, 2017 | ||||
Dividends date paid | Jan. 30, 2017 | ||||
Dividends date of record | Jan. 27, 2017 | ||||
Subsequent Events [Member] | Series G Preferred Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends on preferred shares, per share | $ 0.512500 | ||||
Dividends declared date | Jan. 11, 2017 | ||||
Dividends date paid | Jan. 30, 2017 | ||||
Dividends date of record | Jan. 27, 2017 | ||||
Subsequent Events [Member] | Series H Preferred Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends on preferred shares, per share | $ 0.492188 | ||||
Dividends declared date | Jan. 11, 2017 | ||||
Dividends date paid | Jan. 30, 2017 | ||||
Dividends date of record | Jan. 27, 2017 | ||||
Subsequent Events [Member] | Series D, Series E, Series F, Series G and Series H Preferred Share [Member] | |||||
Subsequent Event [Line Items] | |||||
Dividends on preferred shares | $ 16,104,000 |