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Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2018
Fair Value Disclosures [Abstract]  
Fair Value of Financial Instruments and Other Non-Financial Assets
The following table includes the estimated fair value and carrying value of those assets and liabilities that are measured at fair value on a recurring and non-recurring basis as well as the estimated fair value of the Company’s financial instruments that are not accounted for at fair value on a recurring basis.
 
 
 
June 30, 2018
 
December 31, 2017
 
Fair
Value
Hierarchy
Level
 
Carrying
Amount
Asset
(Liability)
$
 
Fair
Value
Asset
(Liability)
$
 
Carrying
Amount
Asset
(Liability)
$
 
Fair
Value
Asset
(Liability)
$
Recurring
 
 
 
 
 
 
 
 
 
Cash, cash equivalents and restricted cash
Level 1
 
545,026

 
545,026

 
552,174

 
552,174

Derivative instruments (note 14)
 
 
 
 
 
 
 
 
 
Interest rate swap agreements – assets(1)
Level 2
 
15,503

 
15,503

 
6,081

 
6,081

Interest rate swap agreements – liabilities(1)
Level 2
 
(56,233
)
 
(56,233
)
 
(78,560
)
 
(78,560
)
Cross-currency interest swap agreements – assets(1)
Level 2
 
6,449

 
6,449

 
3,758

 
3,758

Cross-currency interest swap agreements – liabilities(1)
Level 2
 
(50,975
)
 
(50,975
)
 
(54,217
)
 
(54,217
)
Foreign currency contracts
Level 2
 
—

 
—

 
81

 
81

Stock purchase warrants
Level 3
 
35,271

 
35,271

 
30,749

 
30,749

Freight forward agreements
Level 1
 
18

 
18

 
—

 
—

Non-recurring
 
 
 
 
 
 
 
 
 
Vessels and equipment (note 7)
Level 2
 
65,209

 
65,209

 
—

 
—

Vessels held for sale (note 7)
Level 2
 
—

 
—

 
16,671

 
16,671

Other
 
 
 
 
 
 
Loans to equity-accounted investees – Current
(2)
 
66,161

 
(2
)
 
107,486

 
(2
)
Advances to equity-accounted investees and joint venture partners – Long-term
(2)
 
166,328

 
(2
)
 
146,420

 
(2
)
Long-term receivable included in accounts receivable and other non-current assets(3)
Level 3
 
1,200

 
1,194

 
3,476

 
3,459

Long-term debt – public (note 8)
Level 1
 
(961,344
)
 
(992,612
)
 
(963,563
)
 
(979,773
)
Long-term debt – non-public (note 8)
Level 2
 
(2,387,989
)
 
(2,355,850
)
 
(2,454,142
)
 
(2,421,273
)
Obligations related to capital leases, including current portion
Level 2
 
(1,352,198
)
 
(1,306,537
)
 
(1,160,457
)
 
(1,148,989
)
 
(1)
The fair value of the Company's interest rate swap and cross-currency swap agreements at June 30, 2018 includes $4.0 million (December 31, 2017 - $5.7 million) accrued interest expense which is recorded in accrued liabilities on the unaudited consolidated balance sheets.

(2)
In the unaudited interim consolidated financial statements, the Company’s loans to and equity investments in equity-accounted investees form the aggregate carrying value of the Company’s interests in entities accounted for by the equity method. The fair value of the individual components of such aggregate interests is not determinable.

(3)
As at June 30, 2018, the estimated fair value of the non-interest-bearing receivable from Royal Dutch Shell plc (or Shell) is based on the remaining future fixed payments as well as an estimated discount rate. The estimated fair value of this receivable as of June 30, 2018 was $1.2 million (December 31, 2017 – $3.5 million) using a discount rate of 8.0%. As there is no market rate for the equivalent of an unsecured non-interest-bearing receivable from Shell, the discount rate is based on unsecured debt instruments of similar maturity held by the Company, adjusted for a liquidity premium. A higher or lower discount rate would result in a lower or higher fair value asset.
Stock Purchase Warrants Changes in Fair Value Measured on Recurring Basis Using Significant Unobservable Inputs (Level 3)
Changes in fair value during the three and six months ended June 30, 2018 and 2017 for the Company’s Brookfield Transaction Warrants, Series D Warrants and the TIL stock purchase warrants, as applicable, which are described above and were measured at fair value on the recurring basis using significant unobservable inputs (Level 3), are as follows: 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2018
 
2017
 
2018
 
2017
 
$
 
$
 
$
 
$
Fair value at the beginning of the period
29,065

 
332

 
30,479

 
575

Unrealized gain (loss) included in earnings
6,206

 
(332
)
 
4,792

 
(575
)
Fair value at the end of the period
35,271

 
—

 
35,271

 
—
Summary of Financing Receivables
The following table contains a summary of the Company’s carrying value of financing receivables by type of borrower and the method by which the Company monitors the credit quality of its financing receivables on a quarterly basis.
Class of Financing Receivable
 
Credit Quality Indicator
 
Grade
 
June 30, 2018
 
December 31, 2017
$
 
$
Direct financing leases
 
Payment activity
 
Performing
 
490,747

 
495,990

Other loan receivables
 
 
 
 
 
 
 
 
Loans to equity-accounted investees and joint venture partners
 
Other internal metrics
 
Performing
 
232,489

 
253,906

   Long-term receivable and accrued revenue included in accounts receivable and other assets
 
Payment activity
 
Performing
 
14,093

 
12,175

 
 
 
 
 
 
737,329

 
762,071