Teekay Tankers reported a net loss in Q4-13 but generated positive cash flow. It declared a dividend and reversed losses on its VLCC loan investments due to increased vessel values. It co-invested $25 million with Teekay Corp in a new company, Tanker Investments Ltd, to invest in secondhand tankers. Spot tanker rates hit five-year highs in January 2014 due to strong oil demand and weather delays. Teekay Tankers is finalizing the acquisition of Teekay's technical management operations, which will provide new fee revenue. Fundamentals point to a sustained tanker market recovery in 2014 as demand growth outpaces slower supply growth.