Teekay Offshore Partners L.P. (Teekay Offshore) is an international provider of marine transportation and storage services to the offshore oil industry. As of December 31, 2010, the Company owned a 51% interest in Teekay Offshore Operating L.P. (OPCO) and controls its general partner; Teekay Corporation owned a 49% interest in OPCO. OPCO owns and operates a fleet of shuttle tankers, in addition to floating storage and offtake (FSO) units and double-hull conventional oil tankers. As at December 31, 2010, the Company’s shuttle tanker fleet consisted of 35 vessels that operate under fixed-rate contracts of affreightment, time charters and bareboat charters. On April 1, 2010, the Company acquired directly from Teekay Corporation the FSO unit, the Falcon Spirit. On October 1, 2010, the Company acquired directly from Teekay Corporation the Rio Das Ostras FPSO unit. On October 1, 2010, Teekay Offshore acquired the Rio das Ostras from Teekay Corporation.