Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | Apr. 28, 2015 | |
Document and Entity Information | ||
Entity Registrant Name | NABORS INDUSTRIES LTD | |
Entity Central Index Key | 1163739 | |
Document Type | 10-Q | |
Document Period End Date | 31-Mar-15 | |
Amendment Flag | FALSE | |
Current Fiscal Year End Date | -19 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 330,357,704 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $586,001 | $501,149 |
Short-term investments | 35,170 | 35,020 |
Assets held for sale | 134,709 | 146,467 |
Accounts receivable, net | 971,601 | 1,517,503 |
Inventory | 190,423 | 230,067 |
Deferred income taxes | 91,050 | 118,230 |
Other current assets | 161,378 | 193,438 |
Total current assets | 2,170,332 | 2,741,874 |
Long-term investments and other receivables | 2,627 | 2,806 |
Property, plant and equipment, net | 7,333,808 | 8,599,125 |
Goodwill | 80,947 | 173,928 |
Investment in unconsolidated affiliates | 730,487 | 58,251 |
Other long-term assets | 286,397 | 303,958 |
Total assets | 10,604,598 | 11,879,942 |
Current liabilities: | ||
Current portion of debt | 8,739 | 6,190 |
Trade accounts payable | 403,038 | 780,060 |
Accrued liabilities | 669,812 | 728,004 |
Income taxes payable | 75,007 | 53,221 |
Total current liabilities | 1,156,596 | 1,567,475 |
Long-term debt | 3,816,717 | 4,348,859 |
Other long-term liabilities | 604,526 | 601,816 |
Deferred income taxes | 58,997 | 443,003 |
Total liabilities | 5,636,836 | 6,961,153 |
Commitments and contingencies (Note10) | ||
Shareholders' equity: | ||
Common shares, par value $0.001 per share: Authorized common shares 800,000; issued 329,557 and 328,196, respectively | 330 | 328 |
Capital in excess of par value | 2,459,043 | 2,452,261 |
Accumulated other comprehensive income (Revised) | 14,768 | 77,522 |
Retained earnings (Revised) | 3,679,336 | 3,573,172 |
Less: treasury shares, at cost, 38,788 common shares | -1,194,664 | -1,194,664 |
Total shareholders' equity | 4,958,813 | 4,908,619 |
Noncontrolling interest | 8,949 | 10,170 |
Total equity | 4,967,762 | 4,918,789 |
Total liabilities and equity | $10,604,598 | $11,879,942 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
CONSOLIDATED BALANCE SHEETS | ||
Common shares, par value (in dollars per share) | $0.00 | $0.00 |
Common shares, shares authorized | 800,000 | 800,000 |
Common shares, shares issued | 329,557 | 328,196 |
Treasury shares, at cost | 38,788 | 38,788 |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (LOSS) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenues and other income: | ||
Operating revenues | $1,414,707 | $1,589,618 |
Earnings (losses) from unconsolidated affiliates | 6,502 | -2,445 |
Investment income (loss) | 969 | 980 |
Total revenues and other income | 1,422,178 | 1,588,153 |
Costs and other deductions: | ||
Direct costs | 919,610 | 1,061,739 |
General and administrative expenses | 127,133 | 134,266 |
Depreciation and amortization | 281,019 | 282,127 |
Interest expense | 46,601 | 44,810 |
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | -55,842 | 1,476 |
Total costs and other deductions | 1,318,521 | 1,524,418 |
Income (loss) from continuing operations before income tax | 103,657 | 63,735 |
Income tax expense (benefit): | ||
Current | 47,349 | 13,658 |
Deferred | -68,054 | 350 |
Total income tax expense (benefit) | -20,705 | 14,008 |
Subsidiary preferred stock dividend | 750 | |
Income (loss) from continuing operations, net of tax | 124,362 | 48,977 |
Income (loss) from discontinued operations, net of tax | -817 | 1,515 |
Net income (loss) | 123,545 | 50,492 |
Less: Net (income) loss attributable to noncontrolling interest | 89 | -573 |
Net income (loss) attributable to Nabors | $123,634 | $49,919 |
Earnings (losses) per share: | ||
Basic from continuing operations (in dollars per share) | $0.43 | $0.16 |
Basic from discontinued operations (in dollars per share) | $0.01 | |
Total Basic (in dollars per share) | $0.43 | $0.17 |
Diluted from continuing operations (in dollars per share) | $0.43 | $0.16 |
Diluted from discontinued operations (in dollars per share) | ($0.01) | |
Total Diluted (in dollars per share) | $0.42 | $0.16 |
Weighted-average number of common shares outstanding: | ||
Basic (in shares) | 285,361 | 296,210 |
Diluted (in shares) | 286,173 | 299,050 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | ||
Net income (loss) attributable to Nabors | $123,634 | $49,919 |
Translation adjustment attributable to Nabors: | ||
Unrealized loss on translation adjustment | -68,539 | -36,594 |
Less: reclassification adjustment for realized loss on translation adjustment | 5,365 | |
Translation adjustment attributable to Nabors | -63,174 | -36,594 |
Unrealized gains/(losses) on marketable securities | 153 | -19,208 |
Pension liability amortization and adjustment | 276 | 123 |
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 |
Other comprehensive income (loss), before tax | -62,592 | -55,526 |
Income tax expense (benefit) related to items of other comprehensive income (loss) | 162 | 148 |
Other comprehensive income (loss), net of tax | -62,754 | -55,674 |
Comprehensive income (loss) attributable to Nabors | 60,880 | -5,755 |
Net income (loss) attributable to noncontrolling interest | -89 | 573 |
Translation adjustment to noncontrolling interest | -880 | -481 |
Comprehensive income (loss) attributable to noncontrolling interest | -969 | 92 |
Comprehensive income (loss) | $59,911 | ($5,663) |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash flows from operating activities: | ||
Net income (loss) | $123,545 | $50,492 |
Adjustments to net income (loss): | ||
Depreciation and amortization | 281,019 | 282,349 |
Deferred income tax expense (benefit) | -68,623 | 451 |
Losses (gains) on long-lived assets, net | 732 | 3,517 |
Losses (gains) on investments, net | -7 | |
Share-based compensation | 13,691 | 10,685 |
Foreign currency transaction losses (gains), net | -2,345 | -3,293 |
Gain on merger transaction | -52,574 | |
Equity in (earnings) losses of unconsolidated affiliates, net of dividends | -5,737 | 2,445 |
Other | 3,988 | 910 |
Changes in operating assets and liabilities, net of effects from acquisitions: | ||
Accounts receivable | 244,544 | -57,004 |
Inventory | 511 | 14,480 |
Other current assets | 13,145 | 4,742 |
Other long-term assets | -1,665 | 1,275 |
Trade accounts payable and accrued liabilities | -275,313 | -28,471 |
Income taxes payable | 24,927 | -26,036 |
Other long-term liabilities | 7,325 | 188,028 |
Net cash provided by operating activities | 307,170 | 444,563 |
Cash flows from investing activities: | ||
Purchases of investments | 1,710 | -286 |
Sales and maturities of investments | 623 | 733 |
Cash paid for acquisition of businesses, net | -10,200 | |
Investment in unconsolidated affiliates | -445 | -1,255 |
Proceeds from merger transaction | 693,450 | |
Capital expenditures | -364,234 | -396,465 |
Proceeds from sales of assets and insurance claims | 8,997 | 21,605 |
Net cash provided by (used for) investing activities | 340,101 | -385,868 |
Cash flows from financing activities: | ||
Increase (decrease) in cash overdrafts | -1,017 | -1,822 |
Proceeds from (payments for) issuance of common shares | 182 | 4,931 |
Dividends paid to shareholders | -17,470 | -11,893 |
Proceeds from (payment for) commercial paper, net | -282,615 | -39,594 |
Proceeds from Long-term Lines of Credit | 15,000 | |
Reduction in revolving credit facilities | -250,000 | -67,500 |
Proceeds from term loan facility | 300,000 | |
Payments on term loan facility | -300,000 | |
Other | -4,549 | -11,585 |
Net cash used for financing activities | -555,469 | -112,463 |
Effect of exchange rate changes on cash and cash equivalents | -6,950 | -9,266 |
Net increase (decrease) in cash and cash equivalents | 84,852 | -63,034 |
Cash and cash equivalents, beginning of period | 501,149 | 389,915 |
Cash and cash equivalents, end of period | $586,001 | $326,881 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (USD $) | Common Shares | Capital in Excess of Par Value | Accumulated Other Comprehensive Income | Retained Earnings | Treasury Shares | Non-controlling Interest | Total |
In Thousands, unless otherwise specified | |||||||
Balance at Dec. 31, 2013 | $324 | $2,392,585 | $216,140 | $4,304,664 | ($944,627) | $12,091 | $5,981,177 |
Balance (in shares) at Dec. 31, 2013 | 323,711 | ||||||
Increase (Decrease) in Equity | |||||||
Net income (loss) | 49,919 | 573 | 50,492 | ||||
Dividends to shareholders | -11,893 | -11,893 | |||||
Other comprehensive income (loss), net of tax | -55,674 | -481 | -56,155 | ||||
Issuance of common shares for stock options exercised | 1 | 4,930 | 4,931 | ||||
Issuance of common shares for stock options exercised (in shares) | 517 | 500 | |||||
Share-based compensation | 10,685 | 10,685 | |||||
Other | 1 | -6,586 | -1,383 | -7,968 | |||
Other (in shares) | 1,544 | ||||||
Balance at Mar. 31, 2014 | 326 | 2,401,614 | 160,466 | 4,342,690 | -944,627 | 10,800 | 5,971,269 |
Balance (in shares) at Mar. 31, 2014 | 325,772 | ||||||
Balance at Dec. 31, 2014 | 328 | 2,452,261 | 77,522 | 3,573,172 | -1,194,664 | 10,170 | 4,918,789 |
Balance (in shares) at Dec. 31, 2014 | 328,196 | ||||||
Increase (Decrease) in Equity | |||||||
Net income (loss) | 123,634 | -89 | 123,545 | ||||
Dividends to shareholders | -17,470 | -17,470 | |||||
Other comprehensive income (loss), net of tax | -62,754 | -880 | -63,634 | ||||
Issuance of common shares for stock options exercised | 182 | 182 | |||||
Issuance of common shares for stock options exercised (in shares) | 20 | 20 | |||||
Share-based compensation | 13,691 | 13,691 | |||||
Other | 2 | -7,091 | -252 | -7,341 | |||
Other (in shares) | 1,341 | ||||||
Balance at Mar. 31, 2015 | $330 | $2,459,043 | $14,768 | $3,679,336 | ($1,194,664) | $8,949 | $4,967,762 |
Balance (in shares) at Mar. 31, 2015 | 329,557 |
Nature_of_Operations
Nature of Operations | 3 Months Ended | |||
Mar. 31, 2015 | ||||
Nature of Operations | ||||
Nature of Operations | Note 1 Nature of Operations | |||
We own and operate the world’s largest land-based drilling rig fleet and are a leading provider of offshore platform workover and drilling rigs in the United States and numerous international markets. | ||||
As a global provider of services for land-based and offshore oil and natural gas wells, our fleet of rigs and drilling-related equipment as of March 31, 2015 includes: | ||||
· | 468 actively marketed rigs for land-based drilling operations in the United States, Canada and over 20 other countries throughout the world; and | |||
· | 42 actively marketed rigs for offshore drilling operations in the United States and numerous international markets. | |||
We also provide innovative drilling technology and equipment and comprehensive well-site services in many of the most significant oil and gas markets in the world, including engineering, transportation and disposal, construction, maintenance, well logging, directional drilling, rig instrumentation, data collection and other support services. In addition, we manufacture and lease or sell top drives and other rig equipment. We have a 51% ownership interest in a joint venture in Saudi Arabia, which owns and actively markets five rigs in addition to the rigs we lease to the joint venture. | ||||
The majority of our business for the three month period ended March 31, 2015 was conducted through two business lines: | ||||
Drilling & Rig Services | ||||
Our Drilling & Rig Services business line is comprised of our global land-based and offshore drilling rig operations and other rig services, consisting of equipment manufacturing, rig instrumentation, optimization software and directional drilling services. This business line consists of four operating segments: U.S., Canada, International and Rig Services. | ||||
Completion & Production Services | ||||
Our Completion & Production Services business line for the majority of the quarter was comprised of our operations involved in the completion, life-of-well maintenance and plugging and abandonment of a well in the United States and Canada. These services include stimulation, coiled-tubing, cementing, wireline, workover, well-servicing and fluids management. This business line consists of two operating segments: Completion Services and Production Services. On March 24, 2015, we completed the previously-announced merger of this business line with C&J Energy Services, Inc. (“C&J Energy”). See further discussion in Note 3 — Merger. | ||||
Unless the context requires otherwise, references in this report to “we,” “us,” “our,” “the Company,” or “Nabors” mean Nabors Industries Ltd., together with our subsidiaries where the context requires, including Nabors Industries, Inc., a Delaware corporation (“Nabors Delaware”), our wholly owned subsidiary. | ||||
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Summary of Significant Accounting Policies | ||||||||
Summary of Significant Accounting Policies | Note 2 Summary of Significant Accounting Policies | |||||||
Interim Financial Information | ||||||||
The unaudited consolidated financial statements of Nabors are prepared in conformity with accounting principles generally accepted in the United States (“GAAP”). Pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been omitted. Therefore, these financial statements should be read along with our annual report on Form 10-K for the year ended December 31, 2014 (“2014 Annual Report”). In management’s opinion, the consolidated financial statements contain all adjustments necessary to present fairly our financial position as of March 31, 2015, as well as the results of our operations, other comprehensive income, our cash flows and changes in equity for the three months ended March 31, 2015 and 2014, in accordance with GAAP. Interim results for the three months ended March 31, 2015 may not be indicative of results that will be realized for the full year ending December 31, 2015. | ||||||||
Principles of Consolidation | ||||||||
Our consolidated financial statements include the accounts of Nabors, as well as all majority owned and non-majority owned subsidiaries required to be consolidated under GAAP. All significant intercompany accounts and transactions are eliminated in consolidation. | ||||||||
Investments in operating entities where we have the ability to exert significant influence, but where we do not control operating and financial policies, are accounted for using the equity method. Our share of the net income (loss) of these entities is recorded as earnings (losses) from unconsolidated affiliates in our consolidated statements of income (loss). The investments in these entities are included in investment in unconsolidated affiliates in our consolidated balance sheets. | ||||||||
Inventory | ||||||||
Inventory is stated at the lower of cost or market. Cost is determined using the first-in, first-out or weighted-average cost methods and includes the cost of materials, labor and manufacturing overhead. Inventory included the following: | ||||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Raw materials | $ | 142,948 | $ | 133,797 | ||||
Work-in-progress | 30,996 | 39,617 | ||||||
Finished goods | 16,479 | 56,653 | ||||||
$ | 190,423 | $ | 230,067 | |||||
Goodwill | ||||||||
We review goodwill for impairment annually during the second quarter of each fiscal year or more frequently if events or changes in circumstances indicate that the carrying amount of such goodwill and intangible assets exceed their fair value. We initially assess goodwill for impairment based on qualitative factors to determine whether to perform the two-step annual goodwill impairment test, a Level 3 fair value measurement. After our qualitative assessment, step one of the impairment test compares the estimated fair value of the reporting unit to its carrying amount. If the carrying amount exceeds the fair value, a second step is required to measure the goodwill impairment loss. The second step compares the implied fair value of the reporting unit’s goodwill to its carrying amount. If the carrying amount exceeds the implied fair value, an impairment loss is recognized in an amount equal to the excess. | ||||||||
Our estimated fair values of our reporting units incorporate judgment and the use of estimates by management. Potential factors requiring assessment include a further or sustained decline in our stock price, declines in oil and natural gas prices, a variance in results of operations from forecasts, a change in operating strategy of assets and additional transactions in the oil and gas industry. Another factor in determining whether impairment has occurred is the relationship between our market capitalization and our book value. As part of our annual review, we compare the sum of our reporting units’ estimated fair value, which includes the estimated fair value of non-operating assets and liabilities, less debt, to our market capitalization and assess the reasonableness of our estimated fair value. Any of the above-mentioned factors may cause us to re-evaluate goodwill during any quarter throughout the year. | ||||||||
Recent Accounting Pronouncements | ||||||||
In February 2015, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”) relating to consolidation, which eliminates the presumption that a general partner should consolidate a limited partnership. It also modifies the evaluation of whether limited partnerships are variable interest entities or voting interest entities and adds requirements that limited partnerships must meet to qualify as voting interest entities. This guidance is effective for public companies for fiscal years beginning after December 15, 2015. We are currently evaluating the impact this will have on our consolidated financial statements. | ||||||||
In May 2014, the FASB issued an ASU relating to the revenue recognition from contracts with customers that creates a common revenue standard for GAAP and IFRS. The core principle will require recognition of revenue to represent the transfer of promised goods or services to customers in an amount that reflects the consideration, including costs incurred, to which the entity expects to be entitled in exchange for those goods or services. On April 1, 2015, the FASB proposed deferring the effective date by one year to December 15, 2017 for annual reporting periods beginning after that date. The FASB also proposed permitting early adoption of the standard, but not before the original effective date of December 15, 2016. We are currently evaluating the impact this will have on our consolidated financial statements. | ||||||||
In April 2015, the FASB issued an ASU relating to the presentation of debt issuance costs on the balance sheet. This standard amends existing guidance to require the presentation of debt issuance costs on the balance sheet as a deduction from the carrying amount of the related debt liability instead of a deferred charge. This guidance is effective for fiscal years beginning after December 15, 2015. Early application is permitted. We are currently evaluating the impact this will have on our consolidated financial statements. | ||||||||
Merger
Merger | 3 Months Ended |
Mar. 31, 2015 | |
Merger | |
Merger | Note 3 Merger |
On March 24, 2015, we completed the previously-announced merger of our Completion & Production Services business line with C&J Energy. We received total consideration comprised of approximately $693.5 million in cash and approximately 62.5 million common shares in the combined company, C&J Energy Services, Ltd. (“CJES”), representing approximately 53% of the outstanding and issued common shares of CJES. Because we have significant influence over CJES, but not a fully controlling financial interest, we account for our investment in CJES under the equity method of accounting. | |
Our consolidated statement of income (loss) for the three months ended March 31, 2015 includes the operating results of our Completion & Production Services business line through the closing date of the transaction. For the remainder of the period, our share of the net income (loss) of our equity method investment is recorded as earnings (losses) from unconsolidated affiliates in our consolidated statement of income (loss). | |
We recorded our investment in the equity of CJES in the Investment in unconsolidated affiliates line in our consolidated balance sheet, with an initial valuation of approximately $676.2 million, based on the fair value of shares received on the closing date of the transaction. Additionally, we recognized an estimated gross gain of $102.2 million in connection with the merger based on the difference between the consideration received and the carrying value of the assets and liabilities of our Completion & Production Services business line. This gain was partially offset by $49.6 million in transaction costs related to the merger. The merger is subject to customary post-closing adjustments for levels of working capital at closing which may impact the ultimate amount of gain recognized on the transaction. | |
Cash_and_Cash_Equivalents_and_
Cash and Cash Equivalents and Short-term Investments | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Cash and Cash Equivalents and Short-term Investments | ||||||||||||||||||||
Cash and Cash Equivalents and Short-term Investments | Note 4 Cash and Cash Equivalents and Short-term Investments | |||||||||||||||||||
Certain information related to our cash and cash equivalents and short-term investments follows: | ||||||||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||||||
Fair Value | Gross | Gross | Fair Value | Gross | Gross | |||||||||||||||
Unrealized | Unrealized | Unrealized | Unrealized | |||||||||||||||||
Holding | Holding | Holding | Holding | |||||||||||||||||
Gains | Losses | Gains | Losses | |||||||||||||||||
(In thousands) | ||||||||||||||||||||
Cash and cash equivalents | $ | 586,001 | $ | — | $ | — | $ | 501,149 | $ | — | $ | — | ||||||||
Short-term investments: | ||||||||||||||||||||
Available-for-sale equity securities | 35,152 | 14,799 | — | 35,002 | 14,648 | — | ||||||||||||||
Available-for-sale debt securities: | ||||||||||||||||||||
Mortgage-CMO debt securities | 18 | — | (1 | ) | 18 | — | (1 | ) | ||||||||||||
Total short-term investments | 35,170 | 14,799 | (1 | ) | 35,020 | 14,648 | (1 | ) | ||||||||||||
Total cash, cash equivalents and short-term investments | $ | 621,171 | $ | 14,799 | $ | (1 | ) | $ | 536,169 | $ | 14,648 | $ | (1 | ) | ||||||
Certain information regarding our debt and equity securities is presented below: | ||||||||||||||||||||
Three Months Ended | ||||||||||||||||||||
March 31, | ||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Available-for-sale | ||||||||||||||||||||
Proceeds from sales and maturities | $ | — | $ | 135 | ||||||||||||||||
Realized gains (losses), net | $ | — | $ | — | ||||||||||||||||
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Fair Value Measurements | ||||||||||||||
Fair Value Measurements | Note 5 Fair Value Measurements | |||||||||||||
The following table sets forth, by level within the fair value hierarchy, our financial assets and liabilities that are accounted for at fair value on a recurring basis as of March 31, 2015. Our debt securities could transfer into or out of a Level 1 or 2 measures depending on the availability of independent and current pricing at the end of each quarter. During the three months ended March 31, 2015, there were no transfers of our financial assets between Level 1 and Level 2 measures. Our financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. | ||||||||||||||
Fair Value as of March 31, 2015 | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
(In thousands) | ||||||||||||||
Assets: | ||||||||||||||
Short-term investments: | ||||||||||||||
Available-for-sale equity securities (energy industry) | $ | 35,152 | $ | — | $ | — | $ | 35,152 | ||||||
Available-for-sale debt securities: | ||||||||||||||
Mortgage-CMO debt securities | — | 18 | — | 18 | ||||||||||
Total short-term investments | $ | 35,152 | $ | 18 | $ | — | $ | 35,170 | ||||||
Nonrecurring Fair Value Measurements | ||||||||||||||
Fair value measurements were applied with respect to our nonfinancial assets and liabilities measured on a nonrecurring basis, which would consist of measurements primarily to assets held-for-sale, goodwill, intangible assets and other long-lived assets, assets acquired and liabilities assumed in a business combination and our pipeline contractual commitment. | ||||||||||||||
Fair Value of Financial Instruments | ||||||||||||||
The fair value of our financial instruments has been estimated in accordance with GAAP. The fair value of our long-term debt, revolving credit facility, commercial paper and subsidiary preferred stock is estimated based on quoted market prices or prices quoted from third-party financial institutions. The carrying and fair values of these liabilities were as follows: | ||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||
Value | Value | Value | Value | |||||||||||
(In thousands) | ||||||||||||||
2.35% senior notes due September 2016 | $ | 349,904 | $ | 349,213 | $ | 349,887 | $ | 346,980 | ||||||
6.15% senior notes due February 2018 | 931,000 | 997,517 | 930,693 | 991,920 | ||||||||||
9.25% senior notes due January 2019 | 339,607 | 400,118 | 339,607 | 403,531 | ||||||||||
5.00% senior notes due September 2020 | 698,329 | 697,669 | 698,253 | 687,953 | ||||||||||
4.625% senior notes due September 2021 | 698,448 | 680,008 | 698,388 | 661,619 | ||||||||||
5.10% senior notes due September 2023 | 348,925 | 335,129 | 348,893 | 332,759 | ||||||||||
Revolving credit facility | 200,000 | 200,000 | 450,000 | 450,000 | ||||||||||
Commercial paper | 250,504 | 250,504 | 533,119 | 533,119 | ||||||||||
Other | 8,739 | 8,739 | 6,209 | 6,209 | ||||||||||
Total | $ | 3,825,456 | $ | 3,918,897 | $ | 4,355,049 | $ | 4,414,090 | ||||||
The fair values of our cash equivalents, trade receivables and trade payables approximate their carrying values due to the short-term nature of these instruments. | ||||||||||||||
ShareBased_Compensation
Share-Based Compensation | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Share-Based Compensation | ||||||||
Share-Based Compensation | Note 6 Share-Based Compensation | |||||||
We have several share-based employee and director compensation plans, which are more fully described in Note 9 — Share-Based Compensation in our 2014 Annual Report. Total share-based compensation expense, which includes stock options and restricted stock, totaled $13.9 million and $10.7 million for the three months ended March 31, 2015 and 2014, respectively. Share-based compensation expense has been allocated to our various operating segments. See Note 14 — Segment Information. | ||||||||
Stock Options | ||||||||
The total intrinsic value of stock options exercised during the three months ended March 31, 2015 and 2014 was $0.1 million and $6.0 million, respectively. The total fair value of stock options that vested during the three months ended March 31, 2015 and 2014 was $1.5 million and $1.5 million, respectively. | ||||||||
Restricted Stock | ||||||||
During the three months ended March 31, 2015 and 2014, we awarded 1,514,934 and 1,106,919 shares of restricted stock, respectively, vesting over periods of up to four years, to our employees and directors. These awards had an aggregate value at their date of grant of $19.3 million and $25.2 million, respectively. The fair value of restricted stock that vested during the three months ended March 31, 2015 and 2014 was $15.7 million and $16.5 million, respectively. The fair value of these awards is based on the closing price of Nabors stock on the date the awards are granted. | ||||||||
Restricted Stock Based on Performance | ||||||||
During the three months ended March 31, 2015 and 2014, we awarded 438,307 and 362,311 shares of restricted stock, respectively, vesting over a period of three years to some of our executives. The performance awards granted were based upon achievement of specific financial or operational objectives. The number of shares granted was determined by the number of performance goals achieved during the period beginning January 1, 2014 through December 31, 2014. | ||||||||
Our performance awards based on performance conditions are liability-classified awards until shares are granted, of which our accrued liabilities included $0.6 million at March 31, 2015 for the performance period beginning January 1, 2015 through December 31, 2015. The fair value of these awards that vested during the three months ended March 31, 2015 and 2014 was $6.8 million and $5.9 million, respectively. The fair value of these awards are estimated at each reporting period, based on internal metrics and marked to market. | ||||||||
Restricted Stock Based on Market Conditions | ||||||||
During the three months ended March 31, 2015 and 2014, we awarded 544,925 and 395,550 shares of restricted stock, respectively, which will vest based on our performance compared to our peer group over a three-year period. These awards had an aggregate value at their date of grant of $4.7 million and $4.5 million, respectively, after consideration of all assumptions. | ||||||||
The grant date fair value of these awards was based on a Monte Carlo model, using the following assumptions: | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Risk free interest rate | 1.18 | % | 0.80 | % | ||||
Expected Volatility | 50.00 | % | 40.00 | % | ||||
Closing stock price at grant date | $ | 12.98 | $ | 18.19 | ||||
Expected term (in years) | 3.0 years | 2.97 years | ||||||
Debt
Debt | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt | ||||||||
Debt | Note 7 Debt | |||||||
Debt consisted of the following: | ||||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
2.35% senior notes due September 2016 | $ | 349,904 | $ | 349,887 | ||||
6.15% senior notes due February 2018 | 931,000 | 930,693 | ||||||
9.25% senior notes due January 2019 | 339,607 | 339,607 | ||||||
5.00% senior notes due September 2020 | 698,329 | 698,253 | ||||||
4.625% senior notes due September 2021 | 698,448 | 698,388 | ||||||
5.10% senior notes due September 2023 | 348,925 | 348,893 | ||||||
Revolving credit facility | 200,000 | 450,000 | ||||||
Commercial paper | 250,504 | 533,119 | ||||||
Other | 8,739 | 6,209 | ||||||
$ | 3,825,456 | $ | 4,355,049 | |||||
Less: current portion | 8,739 | 6,190 | ||||||
$ | 3,816,717 | $ | 4,348,859 | |||||
Commercial Paper Program | ||||||||
As of March 31, 2015, we had approximately $250.5 million of commercial paper outstanding. The weighted average interest rate on borrowings at March 31, 2015 was 0.664%. Our commercial paper borrowings are classified as long-term debt because the borrowings are fully supported by availability under our revolving credit facility, which matures as currently structured in November 2017, more than one year from now. | ||||||||
Revolving Credit Facility | ||||||||
During the quarter, we exercised the accordian feature under our revolving credit facility to increase the borrowing capacity by $225.0 million, bringing our total capacity under the revolving credit facility to $1.725 billion. As of March 31, 2015, we had approximately $200.0 million of borrowings outstanding under this facility. The weighted average interest rate on borrowings at March 31, 2015 was 1.47%. The revolving credit facility contains various covenants and restrictive provisions that limit our ability to incur additional indebtedness, make investments or loans and create liens and require us to maintain a net funded indebtedness to total capitalization ratio, as defined in each agreement. We were in compliance with all covenants under the agreement at March 31, 2015. If we fail to perform our obligations under the covenants, the revolving credit commitment could be terminated, and any outstanding borrowings under the facility could be declared immediately due and payable. | ||||||||
Term Loan Facility | ||||||||
On February 6, 2015, Nabors Industries, Inc., our wholly owned subsidiary, entered into a new unsecured term loan facility for $300.0 million with a three-year maturity, which is fully and unconditionally guaranteed by us. Under the new term loan facility, we were required to prepay the loan upon the closing of the merger with C&J Energy, or if we otherwise dispose of assets, issue term debt, or issue equity with net proceeds of more than $70.0 million, subject to certain exceptions. The term loan agreement contained customary representations and warranties, covenants, and events of default for loan facilities of this type. On March 27, 2015, we repaid the $300.0 million term loan and the facility was terminated according to the terms of the agreement using a portion of the cash consideration received in connection with the merger with C&J Energy. | ||||||||
Common_Shares
Common Shares | 3 Months Ended |
Mar. 31, 2015 | |
Common Shares. | |
Common Shares | Note 8 Common Shares |
During the three months ended March 31, 2015 and 2014, our employees exercised vested options to acquire 0.02 million and 0.5 million of our common shares, respectively, resulting in proceeds of $0.2 million and $4.9 million, respectively. During the three months ended March 31, 2015 and 2014, we withheld 0.6 million and 0.3 million, respectively, of our common shares with a fair value of $7.1 million and $6.6 million, respectively, to satisfy tax withholding obligations in connection with the vesting of all stock awards. | |
On February 20, 2015, a cash dividend of $0.06 per share was declared for shareholders of record on March 10, 2015. The dividend was paid on March 31, 2015 in the amount of $17.5 million and was charged to retained earnings in our consolidated statement of changes in equity for the three months ended March 31, 2015. | |
Subsidiary_Preferred_Stock
Subsidiary Preferred Stock | 3 Months Ended |
Mar. 31, 2015 | |
Subsidiary Preferred Stock | |
Subsidiary Preferred Stock | Note 9 Subsidiary Preferred Stock |
During 2014, we paid $70.9 million to redeem the 75,000 shares of Series A Preferred Stock outstanding of our subsidiary and paid all dividends due on such shares. | |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Commitments and Contingencies | |||||||||||||||||
Commitments and Contingencies | Note 10 Commitments and Contingencies | ||||||||||||||||
Contingencies | |||||||||||||||||
Income Tax | |||||||||||||||||
Income tax returns that we file are subject to review and examination. We do not recognize the benefit of income tax positions we believe are more likely than not to be disallowed upon challenge by a tax authority. If any tax authority successfully challenges our operational structure, intercompany pricing policies or the taxable presence of our subsidiaries in certain countries, if the terms of certain income tax treaties are interpreted in a manner that is adverse to our structure, or if we lose a material tax dispute in any country, our effective tax rate on our worldwide earnings could change substantially. | |||||||||||||||||
We have received an assessment from the Mexican federal tax authority in connection with 2007. The assessment was related to the denial of depreciation expense deductions related to drilling rigs. Similar deductions were taken in 2008 - 2010. Although Nabors and its tax advisors believe these deductions continue to be defendable, a partial reserve has been recorded. The total amounts assessed or expected to be assessed range from $30 million to $35 million. The Mexican Supreme Court recently reached an unfavorable decision related to depreciation for another taxpayer. We have not changed our position to defend this issue, as we are confident that we will prevail in court. If we ultimately do not prevail, we would be required to recognize additional tax for any amount in excess of the current reserve. | |||||||||||||||||
Self-Insurance | |||||||||||||||||
We estimate the level of our liability related to insurance and record reserves for these amounts in our consolidated financial statements. Our estimates are based on the facts and circumstances specific to existing claims and our past experience with similar claims. These loss estimates and accruals recorded in our financial statements for claims have historically been reasonable in light of the actual amount of claims paid and are actuarially supported. Although we believe our insurance coverage and reserve estimates are reasonable, a significant accident or other event that is not fully covered by insurance or contractual indemnity could occur and could materially affect our financial position and results of operations for a particular period. | |||||||||||||||||
We self-insure for certain losses relating to workers’ compensation, employers’ liability, general liability, automobile liability and property damage. Effective April 1, 2015, some of our workers’ compensation claims, employers’ liability and marine employers’ liability claims are subject to a $3.0 million per-occurrence deductible; additionally, some of our automobile liability claims are subject to a $2.5 million deductible. General liability claims remain subject to a $5.0 million per-occurrence deductible. | |||||||||||||||||
In addition, we are subject to a $5.0 million deductible for land rigs and for offshore rigs. This applies to all kinds of risks of physical damage except for named windstorms in the U.S. Gulf of Mexico for which we are self-insured. | |||||||||||||||||
Litigation | |||||||||||||||||
Nabors and its subsidiaries are defendants or otherwise involved in a number of lawsuits in the ordinary course of business. We estimate the range of our liability related to pending litigation when we believe the amount and range of loss can be estimated. We record our best estimate of a loss when the loss is considered probable. When a liability is probable and there is a range of estimated loss with no best estimate in the range, we record the minimum estimated liability related to the lawsuits or claims. As additional information becomes available, we assess the potential liability related to our pending litigation and claims and revise our estimates. Due to uncertainties related to the resolution of lawsuits and claims, the ultimate outcome may differ from our estimates. For matters where an unfavorable outcome is reasonably possible and significant, we disclose the nature of the matter and a range of potential exposure, unless an estimate cannot be made at the time of disclosure. In the opinion of management and based on liability accruals provided, our ultimate exposure with respect to these pending lawsuits and claims is not expected to have a material adverse effect on our consolidated financial position or cash flows, although they could have a material adverse effect on our results of operations for a particular reporting period. | |||||||||||||||||
In 2009, the Court of Ouargla entered a judgment of approximately $14.7 million (at March 31, 2015 exchange rates) against us relating to alleged customs infractions in Algeria. We believe we did not receive proper notice of the judicial proceedings, and that the amount of the judgment was excessive in any case. We asserted the lack of legally required notice as a basis for challenging the judgment on appeal to the Algeria Supreme Court (the “Supreme Court”). In May 2012, that court reversed the lower court and remanded the case to the Ouargla Court of Appeals for treatment consistent with the Supreme Court’s ruling. In January 2013, the Ouargla Court of Appeals reinstated the judgment. We again lodged an appeal to the Supreme Court, asserting the same challenges as before. While the appeal was pending, the Hassi Messaoud customs office initiated efforts to collect the judgment prior to the Supreme Court’s decision in the case. As a result, we paid approximately $3.1 million and posted security of approximately $1.33 million to suspend those collection efforts and to enter into a formal negotiations process with the customs authority. We have recorded a reserve in the amount of the posted security. The customs authority demanded 50% of the total fine as a final settlement and seized additional funds of approximately $4.425 million. The matter was heard by the Supreme Court on February 26, 2015, and on March 26, 2015, that court set aside the judgment of the Ouargla Court of Appeals and remanded the case to that court for further proceedings. We have filed an appeal at the Conseil d’Etat in an effort to recover amounts previously paid by us. Based upon our understanding of applicable law and precedent, we continue to believe that we will prevail. If we are ultimately required to pay a fine or judgment related to this matter, the resulting loss could be up to $10.3 million in excess of amounts accrued. | |||||||||||||||||
In March 2011, the Court of Ouargla entered a judgment of approximately $29.0 million (at March 31, 2015 exchange rates) against us relating to alleged violations of Algeria’s foreign currency exchange controls, which require that goods and services provided locally be invoiced and paid in local currency. The case relates to certain foreign currency payments made to us by CEPSA, a Spanish operator, for wells drilled in 2006. Approximately $7.5 million of the total contract amount was paid offshore in foreign currency, and approximately $3.2 million was paid in local currency. The judgment includes fines and penalties of approximately four times the amount at issue. We have appealed the ruling based on our understanding that the law in question applies only to resident entities incorporated under Algerian law. An intermediate court of appeals upheld the lower court’s ruling, and we appealed the matter to the Supreme Court. On September 25, 2014, the Supreme Court overturned the verdict against us, and the case was reheard by the Ouargla Court of Appeals on March 22, 2015 in light of the Supreme Court’s opinion. On March 29, 2015, the Ouargla Court of Appeals reinstated the initial judgment against us. We plan to appeal this decision again to the Supreme Court. While our payments were consistent with our historical operations in the country, and, we believe, those of other multinational corporations there, as well as interpretations of the law by the Central Bank of Algeria, the ultimate resolution of this matter could result in a loss of up to $21.0 million in excess of amounts accrued. | |||||||||||||||||
In 2012, Nabors Global Holdings II Limited (“NGH2L”) signed a contract with ERG Resources, LLC (“ERG”) relating to the sale of all of the Class A shares of NGH2L’s wholly owned subsidiary, Ramshorn International Limited, an oil and gas exploration company. When ERG failed to meet its closing obligations, NGH2L terminated the transaction on March 19, 2012 and, as contemplated in the agreement, retained ERG’s $3.0 million escrow deposit. ERG filed suit the following day in the 61st Judicial District Court of Harris County, Texas, in a case styled ERG Resources, LLC v. Nabors Global Holdings II Limited, Ramshorn International Limited, and Parex Resources, Inc.; Cause No. 2012-16446, seeking injunctive relief to halt any sale of the shares to a third party, specifically naming as defendant Parex Resources, Inc. (“Parex”). The lawsuit also seeks monetary damages of up to $750.0 million based on an alleged breach of contract by NGH2L and alleged tortious interference with contractual relations by Parex. We successfully defeated ERG’s effort to obtain a temporary restraining order from the Texas court on March 20, 2012. We completed the sale of Ramshorn’s Class A shares to a Parex affiliate in April 2012, which mooted ERG’s application for a temporary injunction. The lawsuit is staid, pending further court actions, including appeals of the jurisdictional decisions. ERG retains its causes of action for monetary damages, but we believe the claims are foreclosed by the terms of the agreement and are without factual or legal merit. Although we are vigorously defending the lawsuit, its ultimate outcome cannot be determined at this time. | |||||||||||||||||
On July 30, 2014, we and Red Lion, along with C&J Energy and its board of directors, were sued in a putative shareholder class action filed in the Court of Chancery of the State of Delaware (the “Court of Chancery”). The plaintiff alleges that the members of the C&J Energy board of directors breached their fiduciary duties in connection with the Merger, and that Red Lion and C&J Energy aided and abetted these alleged breaches. The plaintiff sought to enjoin the defendants from proceeding with or consummating the Merger and the C&J Energy stockholder meeting for approval of the Merger and, to the extent that the Merger was completed before any relief was granted, to have the Merger rescinded. On November 10, 2014, the plaintiff filed a motion for a preliminary injunction, and, on November 24, 2014, the Court of Chancery entered a bench ruling, followed by a written order on November 25, 2014, that (i) ordered certain members of the C&J Energy board of directors to solicit for a 30 day period alternative proposals to purchase C&J Energy (or a controlling stake in C&J Energy) that were superior to the Merger, and (ii) preliminarily enjoined C&J Energy from holding its stockholder meeting until it complied with the foregoing. C&J Energy complied with the order while it simultaneously pursued an expedited appeal of the Court of Chancery’s order to the Supreme Court of the State of Delaware (the “Delaware Supreme Court”). On December 19, 2014, the Delaware Supreme Court overturned the Court of Chancery’s judgment and vacated the order. This case remains pending. | |||||||||||||||||
Off-Balance Sheet Arrangements (Including Guarantees) | |||||||||||||||||
We are a party to some transactions, agreements or other contractual arrangements defined as “off-balance sheet arrangements” that could have a material future effect on our financial position, results of operations, liquidity and capital resources. The most significant of these off-balance sheet arrangements involve agreements and obligations under which we provide financial or performance assurance to third parties. Certain of these agreements serve as guarantees, including standby letters of credit issued on behalf of insurance carriers in conjunction with our workers’ compensation insurance program and other financial surety instruments such as bonds. In addition, we have provided indemnifications, which serve as guarantees, to some third parties. These guarantees include indemnification provided by Nabors to our share transfer agent and our insurance carriers. We are not able to estimate the potential future maximum payments that might be due under our indemnification guarantees. | |||||||||||||||||
Management believes the likelihood that we would be required to perform or otherwise incur any material losses associated with any of these guarantees is remote. The following table summarizes the total maximum amount of financial guarantees issued by Nabors: | |||||||||||||||||
Maximum Amount | |||||||||||||||||
Remainder of | 2016 | 2017 | Thereafter | Total | |||||||||||||
2015 | |||||||||||||||||
(In thousands) | |||||||||||||||||
Financial standby letters of credit and other financial surety instruments | $ | 128,843 | $ | 73,528 | $ | 19 | $ | 1 | $ | 202,391 | |||||||
Earnings_Losses_Per_Share
Earnings (Losses) Per Share | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings (Losses) Per Share | ||||||||
Earnings (Losses) Per Share | Note 11 Earnings (Losses) Per Share | |||||||
ASC 260, Earnings per Share, requires companies to treat unvested share-based payment awards that have non-forfeitable rights to dividends or dividend equivalents as a separate class of securities in calculating earnings (losses) per share. We have granted and expect to continue to grant to employees restricted stock grants that contain non-forfeitable rights to dividends. Such grants are considered participating securities under ASC 260. As such, we are required to include these grants in the calculation of our basic earnings (losses) per share and calculate basic earnings (losses) per share using the two-class method. The two-class method of computing earnings per share is an earnings allocation formula that determines earnings per share for each class of common stock and participating security according to dividends declared and participation rights in undistributed earnings. Basic earnings (losses) per share is computed utilizing the two-class method and is calculated based on the weighted-average number of common shares outstanding during the periods presented. Diluted earnings (losses) per share is computed using the weighted-average number of common and common equivalent shares outstanding during the periods utilizing the two-class method for stock options and unvested restricted stock. | ||||||||
A reconciliation of the numerators and denominators of the basic and diluted earnings (losses) per share computations is as follows: | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
(In thousands, except per share amounts) | ||||||||
BASIC EPS: | ||||||||
Net income (loss) (numerator): | ||||||||
Income (loss) from continuing operations, net of tax | $ | 124,362 | $ | 48,977 | ||||
Less: net (income) loss attributable to noncontrolling interest | 89 | (573 | ) | |||||
Less: (earnings) losses allocated to unvested shareholders | (2,031 | ) | (733 | ) | ||||
Numerator for basic earnings per share: | ||||||||
Adjusted income (loss) from continuing operations | $ | 122,420 | $ | 47,671 | ||||
Income (loss) from discontinued operations | $ | (817 | ) | $ | 1,515 | |||
Weighted-average number of shares outstanding - basic | 285,361 | 296,210 | ||||||
Earnings (losses) per share: | ||||||||
Basic from continuing operations | $ | 0.43 | $ | 0.16 | ||||
Basic from discontinued operations | — | 0.01 | ||||||
Total Basic | $ | 0.43 | $ | 0.17 | ||||
DILUTED EPS: | ||||||||
Income (loss) from continuing operations attributed to common shareholders | $ | 122,420 | $ | 47,671 | ||||
Add: effect of reallocating undistributed earnings of unvested shareholders | 5 | — | ||||||
Adjusted income (loss) from continuing operations attributed to common shareholders | $ | 122,425 | $ | 47,671 | ||||
Income (loss) from discontinued operations | $ | (817 | ) | $ | 1,515 | |||
Weighted-average number of shares outstanding - basic | 285,361 | 296,210 | ||||||
Add: dilutive effect of potential common shares | 812 | 2,840 | ||||||
Weighted-average number of diluted shares outstanding | 286,173 | 299,050 | ||||||
Earnings (losses) per share: | ||||||||
Diluted from continuing operations | $ | 0.43 | $ | 0.16 | ||||
Diluted from discontinued operations | (0.01 | ) | — | |||||
Total Diluted | $ | 0.42 | $ | 0.16 | ||||
For all periods presented, the computation of diluted earnings (losses) per share excludes outstanding stock options with exercise prices greater than the average market price of our common shares, because their inclusion would be anti-dilutive and because they are not considered participating securities. The average number of options that were excluded from diluted earnings (losses) per share that would potentially dilute earnings (losses) per share were 6,621,688 and 7,853,509 shares during the three months ended March 31, 2015 and 2014, respectively. In any period during which the average market price of our common shares exceeds the exercise prices of these stock options, such stock options will be included in our diluted earnings (losses) per share computation using the if-converted method of accounting. | ||||||||
Supplemental_Balance_Sheet_Inc
Supplemental Balance Sheet, Income Statement and Cash Flow Information | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Supplemental Balance Sheet, Income Statement and Cash Flow Information | |||||||||||||||||
Supplemental Balance Sheet, Income Statement and Cash Flow Information | Note 12 Supplemental Balance Sheet, Income Statement and Cash Flow Information | ||||||||||||||||
Accrued liabilities include the following: | |||||||||||||||||
March 31, | December 31, | ||||||||||||||||
2015 | 2014 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Accrued compensation | $ | 118,586 | $ | 177,707 | |||||||||||||
Deferred revenue | 318,890 | 298,345 | |||||||||||||||
Other taxes payable | 19,443 | 58,445 | |||||||||||||||
Workers’ compensation liabilities | 37,459 | 37,459 | |||||||||||||||
Interest payable | 17,806 | 63,532 | |||||||||||||||
Warranty accrual | 5,805 | 5,799 | |||||||||||||||
Litigation reserves | 24,657 | 23,681 | |||||||||||||||
Current liability to discontinued operations | 8,354 | 19,602 | |||||||||||||||
Professional fees | 2,521 | 2,550 | |||||||||||||||
Current deferred tax liability | 3,677 | 3,677 | |||||||||||||||
Current liability to acquisition of KVS | 22,278 | 22,278 | |||||||||||||||
Merger transaction accrual | 77,696 | — | |||||||||||||||
Other accrued liabilities | 12,640 | 14,929 | |||||||||||||||
$ | 669,812 | $ | 728,004 | ||||||||||||||
Investment income (loss) includes the following: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
March 31, | |||||||||||||||||
2015 | 2014 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Interest and dividend income | $ | 534 | $ | 970 | |||||||||||||
Gains (losses) on investments, net | 435 | 10 | |||||||||||||||
$ | 969 | $ | 980 | ||||||||||||||
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net include the following: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
March 31, | |||||||||||||||||
2015 | 2014 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Losses (gains) on sales, disposals and involuntary conversions of long-lived assets | $ | 3,474 | $ | 2,432 | |||||||||||||
Net gain on merger (1) | (52,574 | ) | — | ||||||||||||||
Litigation expenses | (4,077 | ) | 3,060 | ||||||||||||||
Foreign currency transaction losses (gains) | (2,345 | ) | (3,293 | ) | |||||||||||||
Other losses (gains) | (320 | ) | (723 | ) | |||||||||||||
$ | (55,842 | ) | $ | 1,476 | |||||||||||||
-1 | Includes an estimated gain of $102.2 million, reduced by $49.6 million in transaction costs related to the merger with C&J Energy. See Note 3 — Merger. | ||||||||||||||||
The changes in accumulated other comprehensive income (loss), by component, includes the following: | |||||||||||||||||
Gains | Unrealized | Defined | Foreign | Total | |||||||||||||
(losses) on | gains (losses) | benefit | currency | ||||||||||||||
cash flow | on available- | pension plan | items | ||||||||||||||
hedges | for-sale | items | |||||||||||||||
securities | |||||||||||||||||
(In thousands) | |||||||||||||||||
As of January 1, 2014 | $ | (2,419 | ) | $ | 71,742 | $ | (4,075 | ) | $ | 150,892 | $ | 216,140 | |||||
Other comprehensive income (loss) before reclassifications | — | (19,248 | ) | — | (36,594 | ) | (55,842 | ) | |||||||||
Amounts reclassified from accumulated other comprehensive income (loss) (1) | 93 | — | 75 | — | 168 | ||||||||||||
Net other comprehensive income (loss) | 93 | (19,248 | ) | 75 | (36,594 | ) | (55,674 | ) | |||||||||
As of March 31, 2014 | $ | (2,326 | ) | $ | 52,494 | $ | (4,000 | ) | $ | 114,298 | $ | 160,466 | |||||
-1 | All amounts are net of tax. Amounts in parentheses indicate debits. | ||||||||||||||||
Gains | Unrealized | Defined | Foreign | Total | |||||||||||||
(losses) on | gains (losses) | benefit | currency | ||||||||||||||
cash flow | on available- | pension plan | items | ||||||||||||||
hedges | for-sale | items | |||||||||||||||
securities | |||||||||||||||||
(In thousands) | |||||||||||||||||
As of January 1, 2015 | $ | (2,044 | ) | $ | 14,996 | $ | (7,263 | ) | $ | 71,833 | $ | 77,522 | |||||
Other comprehensive income (loss) before reclassifications | — | 153 | — | (68,539 | ) | (68,386 | ) | ||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) (1) | 93 | — | 174 | 5,365 | 5,632 | ||||||||||||
Net other comprehensive income (loss) | 93 | 153 | 174 | (63,174 | ) | (62,754 | ) | ||||||||||
As of March 31, 2015 | $ | (1,951 | ) | $ | 15,149 | $ | (7,089 | ) | $ | 8,659 | $ | 14,768 | |||||
-1 | All amounts are net of tax. Amounts in parentheses indicate debits. | ||||||||||||||||
The line items that were reclassified to net income include the following: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
March 31, | |||||||||||||||||
Line item in consolidated statement of income (loss) | 2015 | 2014 | |||||||||||||||
(In thousands) | |||||||||||||||||
Investment income (loss) | $ | — | $ | — | |||||||||||||
Interest expense | 153 | 153 | |||||||||||||||
General and administrative expenses | 276 | 123 | |||||||||||||||
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | (5,365 | ) | — | ||||||||||||||
Total before tax | $ | (5,794 | ) | $ | (276 | ) | |||||||||||
Tax expense (benefit) | (162 | ) | (108 | ) | |||||||||||||
Reclassification adjustment for (gains)/losses included in net income (loss) | $ | (5,632 | ) | $ | (168 | ) | |||||||||||
Assets_HeldforSale_and_Discont
Assets Held-for-Sale and Discontinued Operations | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Assets Held-for-Sale and Discontinued Operations | ||||||||
Assets Held-for-Sale and Discontinued Operations | Note 13 Assets Held-for-Sale and Discontinued Operations | |||||||
Assets held for sale of $134.7 million and $146.5 million as of March 31, 2015 and December 31, 2014, respectively, consisted solely of our oil and gas holdings in the Horn River basin in western Canada. | ||||||||
We have contracts with pipeline companies to pay specified fees based on committed volumes for gas transport and processing. At March 31, 2015, our undiscounted contractual commitments for these contracts approximated $65.3 million and we had liabilities of $25.9 million, $8.4 million of which were classified as current and were included in accrued liabilities. At December 31, 2014, we had liabilities of $40.2 million, $19.6 million of which were classified as current and were included in accrued liabilities. These amounts represent our best estimate of the fair value of the excess capacity of the pipeline commitments calculated using a discounted cash flow model, when considering our disposal plan, current production levels, natural gas prices and expected utilization of the pipeline over the remaining contractual term. Decreases in actual production or natural gas prices could result in future charges related to excess pipeline commitments. | ||||||||
Discontinued Operations | ||||||||
Our condensed statements of income (loss) from discontinued operations for each operating segment were as follows: | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Operating revenues | ||||||||
Oil and Gas | $ | 1,450 | $ | 5,057 | ||||
Income (loss) from Oil and Gas discontinued operations: | ||||||||
Income (loss) from discontinued operations | $ | (1,386 | ) | $ | 2,618 | |||
Less: Impairment charges or other (gains) and losses on sale of wholly owned assets and obligations | — | 1,002 | ||||||
Less: Income tax expense (benefit) | (569 | ) | 101 | |||||
Income (loss) from Oil and Gas discontinued operations, net of tax | $ | (817 | ) | $ | 1,515 | |||
Segment_Information
Segment Information | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Segment Information | ||||||||
Segment Information | Note 14 Segment Information | |||||||
The following table sets forth financial information with respect to our operating segments: | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Operating revenues and Earnings (losses) from unconsolidated affiliates: (1) | ||||||||
Drilling & Rig Services: | ||||||||
U.S. | $ | 453,821 | $ | 510,476 | ||||
Canada | 57,840 | 111,621 | ||||||
International | 445,400 | 375,069 | ||||||
Rig Services (2) | 144,084 | 143,726 | ||||||
Subtotal Drilling & Rig Services (3) | 1,101,145 | 1,140,892 | ||||||
Completion & Production Services: | ||||||||
Completion Services | 208,123 | 227,899 | ||||||
Production Services | 158,512 | 275,400 | ||||||
Subtotal Completion & Production Services (4) | 366,635 | 503,299 | ||||||
Other reconciling items (5) | (46,571 | ) | (57,018 | ) | ||||
Total | $ | 1,421,209 | $ | 1,587,173 | ||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Adjusted income (loss) derived from operating activities: (1) (6) | ||||||||
Drilling & Rig Services: | ||||||||
U.S. | $ | 77,038 | $ | 72,494 | ||||
Canada | 6,358 | 26,160 | ||||||
International | 105,041 | 48,119 | ||||||
Rig Services (2) | 12,873 | 8,728 | ||||||
Subtotal Drilling & Rig Services (3) | 201,310 | 155,501 | ||||||
Completion & Production Services: | ||||||||
Completion Services | (55,243 | ) | (33,635 | ) | ||||
Production Services | (3,296 | ) | 30,591 | |||||
Subtotal Completion & Production Services (4) | (58,539 | ) | (3,044 | ) | ||||
Other reconciling items (7) | (49,324 | ) | (43,416 | ) | ||||
Total adjusted income (loss) derived from operating activities | $ | 93,447 | $ | 109,041 | ||||
Interest expense | (46,601 | ) | (44,810 | ) | ||||
Investment income (loss) | 969 | 980 | ||||||
Gains (losses) on sales and disposals of long-lived assets and other income (expense), net | 55,842 | (1,476 | ) | |||||
Income (loss) from continuing operations before income taxes | 103,657 | 63,735 | ||||||
Income tax expense (benefit) | (20,705 | ) | 14,008 | |||||
Subsidiary preferred stock dividend | — | 750 | ||||||
Income (loss) from continuing operations, net of tax | 124,362 | 48,977 | ||||||
Income (loss) from discontinued operations, net of tax | (817 | ) | 1,515 | |||||
Net income (loss) | 123,545 | 50,492 | ||||||
Less: Net (income) loss attributable to noncontrolling interest | 89 | (573 | ) | |||||
Net income (loss) attributable to Nabors | $ | 123,634 | $ | 49,919 | ||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Total assets: | ||||||||
Drilling & Rig Services: | ||||||||
U.S. | $ | 4,146,988 | $ | 4,184,854 | ||||
Canada | 593,436 | 615,269 | ||||||
International | 3,901,424 | 3,815,051 | ||||||
Rig Services | 512,545 | 549,622 | ||||||
Subtotal Drilling & Rig Services (8) | 9,154,393 | 9,164,796 | ||||||
Completion & Production Services (9) (10) | — | 1,933,387 | ||||||
Other reconciling items (7) (11) | 1,450,205 | 781,759 | ||||||
Total assets: | $ | 10,604,598 | $ | 11,879,942 | ||||
-1 | All periods present the operating activities of most of our wholly owned oil and gas businesses, our previously held equity interests in oil and gas joint ventures in Canada and Colombia, aircraft logistics operations and construction services as discontinued operations. | |||||||
-2 | Includes our other services comprised of our drilling technology and top drive manufacturing, directional drilling, rig instrumentation and software services. | |||||||
-3 | Includes earnings (losses), net from unconsolidated affiliates, accounted for using the equity method, of $6.2 million and ($2.5) million for the three months ended March 31, 2015 and 2014, respectively. | |||||||
-4 | Includes earnings (losses), net from unconsolidated affiliates, accounted for using the equity method, of $0.3 million and $0.1 million for the three months ended March 31, 2015 and 2014, respectively. | |||||||
-5 | Represents the elimination of inter-segment transactions. | |||||||
-6 | Adjusted income (loss) derived from operating activities is computed by subtracting the sum of direct costs, general and administrative expenses, depreciation and amortization from the sum of Operating revenues and Earnings (losses) from unconsolidated affiliates. These amounts should not be used as a substitute for the amounts reported in accordance with GAAP. However, management evaluates the performance of our business units and the consolidated company based on several criteria, including adjusted income (loss) derived from operating activities, because it believes that these financial measures accurately reflect our ongoing profitability. A reconciliation of this non-GAAP measure to income (loss) from continuing operations before income taxes, which is a GAAP measure, is provided in the above table. | |||||||
-7 | Represents the elimination of inter-segment transactions, unallocated corporate expenses and earnings (losses), net from unconsolidated affiliates related to our investment in CJES. | |||||||
-8 | Includes $54.4 million and $48.1 million of investments in unconsolidated affiliates accounted for using the equity method as of March 31, 2015 and December 31, 2014, respectively. | |||||||
-9 | Reflects assets allocated to the line of business necessary to conduct its operations. Further allocation to individual operating segments of Completion & Production Services is not available. | |||||||
-10 | Includes $10.2 million of investments in unconsolidated affiliates accounted for using the equity method as of December 31, 2014. These investments were sold as part of the merger with C&J Energy in March 2015. | |||||||
-11 | Includes $676.1 million of investments in unconsolidated affiliates accounted for using the equity method as of March 31, 2015, inclusive of our investment in CJES. | |||||||
Condensed_Consolidating_Financ
Condensed Consolidating Financial Information | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Condensed Consolidating Financial Information | |||||||||||||||||
Condensed Consolidating Financial Information | Note 15 Condensed Consolidating Financial Information | ||||||||||||||||
Nabors has fully and unconditionally guaranteed all of the issued public debt securities of Nabors Delaware, a 100% owned subsidiary. The following condensed consolidating financial information is included so that separate financial statements of Nabors Delaware are not required to be filed with the SEC. The condensed consolidating financial statements present investments in both consolidated and unconsolidated affiliates using the equity method of accounting. | |||||||||||||||||
The following condensed consolidating financial information presents condensed consolidating balance sheets as of March 31, 2015 and December 31, 2014 and statements of income (loss), statements of other comprehensive income (loss) and statements of cash flows for the three months ended March 31, 2015 and 2014 of (a) Nabors, parent/guarantor, (b) Nabors Delaware, issuer of public debt securities guaranteed by Nabors, (c) the non-guarantor subsidiaries, (d) consolidating adjustments necessary to consolidate Nabors and its subsidiaries and (e) Nabors on a consolidated basis. | |||||||||||||||||
Condensed Consolidating Balance Sheets | |||||||||||||||||
March 31, 2015 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
ASSETS | |||||||||||||||||
Current assets: | |||||||||||||||||
Cash and cash equivalents | $ | 4,370 | $ | 18 | $ | 581,613 | $ | — | $ | 586,001 | |||||||
Short-term investments | — | — | 35,170 | — | 35,170 | ||||||||||||
Assets held for sale | — | — | 134,709 | — | 134,709 | ||||||||||||
Accounts receivable, net | — | — | 971,601 | — | 971,601 | ||||||||||||
Inventory | — | — | 190,423 | — | 190,423 | ||||||||||||
Deferred income taxes | — | — | 91,050 | — | 91,050 | ||||||||||||
Other current assets | 50 | 18,394 | 142,934 | — | 161,378 | ||||||||||||
Total current assets | 4,420 | 18,412 | 2,147,500 | — | 2,170,332 | ||||||||||||
Long-term investments | — | — | 2,627 | — | 2,627 | ||||||||||||
Property, plant and equipment, net | — | — | 7,333,808 | — | 7,333,808 | ||||||||||||
Goodwill | — | — | 80,947 | — | 80,947 | ||||||||||||
Intercompany receivables | 136,729 | 150,058 | 1,030,444 | (1,317,231 | ) | — | |||||||||||
Investment in consolidated affiliates | 4,848,785 | 4,968,528 | 1,370,331 | (11,187,644 | ) | — | |||||||||||
Investment in unconsolidated affiliates | — | — | 730,487 | — | 730,487 | ||||||||||||
Other long-term assets | — | 29,578 | 256,819 | — | 286,397 | ||||||||||||
Total assets | $ | 4,989,934 | $ | 5,166,576 | $ | 12,952,963 | $ | (12,504,875 | ) | $ | 10,604,598 | ||||||
LIABILITIES AND EQUITY | |||||||||||||||||
Current liabilities: | |||||||||||||||||
Current debt | $ | — | $ | — | 8,739 | $ | — | $ | 8,739 | ||||||||
Trade accounts payable | 117 | 5 | 402,916 | — | 403,038 | ||||||||||||
Accrued liabilities | 17,004 | 18,202 | 634,606 | — | 669,812 | ||||||||||||
Income taxes payable | — | — | 75,007 | — | 75,007 | ||||||||||||
Total current liabilities | 17,121 | 18,207 | 1,121,268 | — | 1,156,596 | ||||||||||||
Long-term debt | — | 3,857,176 | (40,459 | ) | — | 3,816,717 | |||||||||||
Other long-term liabilities | — | 35,487 | 569,039 | — | 604,526 | ||||||||||||
Deferred income taxes | — | (313,447 | ) | 372,444 | — | 58,997 | |||||||||||
Intercompany payable | 14,000 | 1,303,231 | — | (1,317,231 | ) | — | |||||||||||
Total liabilities | 31,121 | 4,900,654 | 2,022,292 | (1,317,231 | ) | 5,636,836 | |||||||||||
Subsidiary preferred stock | — | — | — | — | — | ||||||||||||
Shareholders’ equity | 4,958,813 | 265,922 | 10,921,722 | (11,187,644 | ) | 4,958,813 | |||||||||||
Noncontrolling interest | — | — | 8,949 | — | 8,949 | ||||||||||||
Total equity | 4,958,813 | 265,922 | 10,930,671 | (11,187,644 | ) | 4,967,762 | |||||||||||
Total liabilities and equity | $ | 4,989,934 | $ | 5,166,576 | $ | 12,952,963 | $ | (12,504,875 | ) | $ | 10,604,598 | ||||||
Condensed Consolidating Balance Sheets | |||||||||||||||||
December 31, 2014 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
ASSETS | |||||||||||||||||
Current assets: | |||||||||||||||||
Cash and cash equivalents | $ | 1,170 | $ | 7 | $ | 499,972 | $ | — | $ | 501,149 | |||||||
Short-term investments | — | — | 35,020 | — | 35,020 | ||||||||||||
Assets held for sale | — | — | 146,467 | — | 146,467 | ||||||||||||
Accounts receivable, net | — | — | 1,517,503 | — | 1,517,503 | ||||||||||||
Inventory | — | — | 230,067 | — | 230,067 | ||||||||||||
Deferred income taxes | — | — | 118,230 | — | 118,230 | ||||||||||||
Other current assets | 50 | 5,242 | 188,146 | — | 193,438 | ||||||||||||
Short-term intercompany note | — | 880,820 | — | (880,820 | ) | — | |||||||||||
Total current assets | 1,220 | 886,069 | 2,735,405 | (880,820 | ) | 2,741,874 | |||||||||||
Long-term investments | — | — | 2,806 | — | 2,806 | ||||||||||||
Property, plant and equipment, net | — | 30,330 | 8,568,795 | — | 8,599,125 | ||||||||||||
Goodwill | — | — | 173,928 | — | 173,928 | ||||||||||||
Intercompany receivables | 136,360 | — | 1,286,522 | (1,422,882 | ) | — | |||||||||||
Investment in unconsolidated affiliates | 4,771,413 | 5,014,743 | 1,506,939 | (11,234,844 | ) | 58,251 | |||||||||||
Other long-term assets | — | 30,298 | 273,660 | — | 303,958 | ||||||||||||
Total assets | $ | 4,908,993 | $ | 5,961,440 | $ | 14,548,055 | $ | (13,538,546 | ) | $ | 11,879,942 | ||||||
LIABILITIES AND EQUITY | |||||||||||||||||
Current liabilities: | |||||||||||||||||
Current debt | $ | — | $ | — | $ | 6,190 | $ | — | $ | 6,190 | |||||||
Trade accounts payable | 111 | 2 | 779,947 | — | 780,060 | ||||||||||||
Accrued liabilities | 263 | 64,390 | 663,351 | — | 728,004 | ||||||||||||
Income taxes payable | — | — | 53,221 | — | 53,221 | ||||||||||||
Short-term intercompany note | — | — | 880,820 | (880,820 | ) | — | |||||||||||
Total current liabilities | 374 | 64,392 | 2,383,529 | (880,820 | ) | 1,567,475 | |||||||||||
Long-term debt | — | 4,389,299 | (40,440 | ) | — | 4,348,859 | |||||||||||
Other long-term liabilities | — | 35,480 | 566,336 | — | 601,816 | ||||||||||||
Deferred income taxes | — | (294,655 | ) | 737,658 | — | 443,003 | |||||||||||
Intercompany payable | — | 1,422,882 | — | (1,422,882 | ) | — | |||||||||||
Total liabilities | 374 | 5,617,398 | 3,647,083 | (2,303,702 | ) | 6,961,153 | |||||||||||
Subsidiary preferred stock | — | — | — | — | — | ||||||||||||
Shareholders’ equity | 4,908,619 | 344,042 | 10,890,802 | (11,234,844 | ) | 4,908,619 | |||||||||||
Noncontrolling interest | — | — | 10,170 | — | 10,170 | ||||||||||||
Total equity | 4,908,619 | 344,042 | 10,900,972 | (11,234,844 | ) | 4,918,789 | |||||||||||
Total liabilities and equity | $ | 4,908,993 | $ | 5,961,440 | $ | 14,548,055 | $ | (13,538,546 | ) | $ | 11,879,942 | ||||||
Condensed Consolidating Statements of Income (Loss) | |||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Revenues and other income: | |||||||||||||||||
Operating revenues | $ | — | $ | — | $ | 1,414,707 | $ | — | $ | 1,414,707 | |||||||
Earnings from unconsolidated affiliates | — | — | 6,502 | — | 6,502 | ||||||||||||
Earnings (losses) from consolidated affiliates | 138,037 | (46,440 | ) | (78,438 | ) | (13,159 | ) | — | |||||||||
Investment income (loss) | — | 5 | 3,291 | (2,327 | ) | 969 | |||||||||||
Intercompany Interest income | — | 2,439 | — | (2,439 | ) | — | |||||||||||
Total revenues and other income | 138,037 | (43,996 | ) | 1,346,062 | (17,925 | ) | 1,422,178 | ||||||||||
Costs and other deductions: | |||||||||||||||||
Direct costs | — | — | 919,610 | — | 919,610 | ||||||||||||
General and administrative expenses | 2,719 | 358 | 124,200 | (144 | ) | 127,133 | |||||||||||
Depreciation and amortization | — | 612 | 280,407 | — | 281,019 | ||||||||||||
Interest expense | — | 52,264 | (5,663 | ) | — | 46,601 | |||||||||||
Intercompany interest expense | — | — | 2,439 | (2,439 | ) | — | |||||||||||
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | 11,684 | — | (67,670 | ) | 144 | (55,842 | ) | ||||||||||
Impairment and other charges | — | — | — | — | — | ||||||||||||
Other | — | — | — | — | — | ||||||||||||
Total costs and other deductions | 14,403 | 53,234 | 1,253,323 | (2,439 | ) | 1,318,521 | |||||||||||
Income from continuing operations before income tax | 123,634 | (97,230 | ) | 92,739 | (15,486 | ) | 103,657 | ||||||||||
Income tax expense (benefit) | — | (18,792 | ) | (1,913 | ) | — | (20,705 | ) | |||||||||
Income (loss) from continuing operations, net of tax | 123,634 | (78,438 | ) | 94,652 | (15,486 | ) | 124,362 | ||||||||||
Income (loss) from discontinued operations, net of tax | — | — | (817 | ) | — | (817 | ) | ||||||||||
Net income (loss) | 123,634 | (78,438 | ) | 93,835 | (15,486 | ) | 123,545 | ||||||||||
Less: Net (income) loss attributable to noncontrolling interest | — | — | 89 | — | 89 | ||||||||||||
Net income (loss) attributable to Nabors | $ | 123,634 | $ | (78,438 | ) | $ | 93,924 | $ | (15,486 | ) | $ | 123,634 | |||||
Condensed Consolidating Statements of Income (Loss) | |||||||||||||||||
Three Months Ended March 31, 2014 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Revenues and other income: | |||||||||||||||||
Operating revenues | $ | — | $ | — | $ | 1,589,618 | $ | — | $ | 1,589,618 | |||||||
Earnings from unconsolidated affiliates | — | — | (2,445 | ) | — | (2,445 | ) | ||||||||||
Earnings (losses) from consolidated affiliates | 52,583 | (8,760 | ) | (40,089 | ) | (3,734 | ) | — | |||||||||
Investment income (loss) | — | — | 2,116 | (1,136 | ) | 980 | |||||||||||
Intercompany Interest income | — | — | — | — | — | ||||||||||||
Total revenues and other income | 52,583 | (8,760 | ) | 1,549,200 | (4,870 | ) | 1,588,153 | ||||||||||
Costs and other deductions: | |||||||||||||||||
Direct costs | — | — | 1,061,739 | — | 1,061,739 | ||||||||||||
General and administrative expenses | 2,453 | (319 | ) | 132,281 | (149 | ) | 134,266 | ||||||||||
Depreciation and amortization | — | 902 | 281,225 | — | 282,127 | ||||||||||||
Interest expense | — | 49,369 | (4,559 | ) | — | 44,810 | |||||||||||
Intercompany interest expense | 62 | — | (62 | ) | — | — | |||||||||||
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | 149 | (223 | ) | 1,401 | 149 | 1,476 | |||||||||||
Impairment and other charges | — | — | — | — | — | ||||||||||||
Other | — | — | — | — | — | ||||||||||||
Total costs and other deductions | 2,664 | 49,729 | 1,472,025 | — | 1,524,418 | ||||||||||||
Income from continuing operations before income tax | 49,919 | (58,489 | ) | 77,175 | (4,870 | ) | 63,735 | ||||||||||
Income tax expense (benefit) | — | (18,400 | ) | 32,408 | — | 14,008 | |||||||||||
Subsidiary preferred stock dividend | — | — | 750 | — | 750 | ||||||||||||
Income (loss) from continuing operations, net of tax | 49,919 | (40,089 | ) | 44,017 | (4,870 | ) | 48,977 | ||||||||||
Income (loss) from discontinued operations, net of tax | — | — | 1,515 | — | 1,515 | ||||||||||||
Net income (loss) | 49,919 | (40,089 | ) | 45,532 | (4,870 | ) | 50,492 | ||||||||||
Less: Net (income) loss attributable to noncontrolling interest | — | — | (573 | ) | — | (573 | ) | ||||||||||
Net income (loss) attributable to Nabors | $ | 49,919 | $ | (40,089 | ) | $ | 44,959 | $ | (4,870 | ) | $ | 49,919 | |||||
Condensed Consolidating Statements of Other Comprehensive Income (Loss) | |||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Net income (loss) attributable to Nabors | $ | 123,634 | $ | (78,438 | ) | $ | 93,924 | $ | (15,486 | ) | $ | 123,634 | |||||
Other comprehensive income (loss) before tax: | |||||||||||||||||
Translation adjustment attributable to Nabors: | |||||||||||||||||
Unrealized loss on translation adjustment | (68,539 | ) | 51 | (68,488 | ) | 68,437 | (68,539 | ) | |||||||||
Less: reclassification adjustment for realized loss on translation adjustment | 5,365 | — | 5,365 | (5,365 | ) | 5,365 | |||||||||||
Translation adjustment attributable to Nabors | (63,174 | ) | 51 | (63,123 | ) | 63,072 | (63,174 | ) | |||||||||
Unrealized gains/(losses) on marketable securities | 153 | — | 153 | (153 | ) | 153 | |||||||||||
Pension liability amortization and adjustment | 276 | 276 | 552 | (828 | ) | 276 | |||||||||||
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 | 153 | (306 | ) | 153 | |||||||||||
Other comprehensive income (loss) before tax | (62,592 | ) | 480 | (62,265 | ) | 61,785 | (62,592 | ) | |||||||||
Income tax expense (benefit) related to items of other comprehensive income (loss) | 162 | 162 | 264 | (426 | ) | 162 | |||||||||||
Other comprehensive income (loss), net of tax | (62,754 | ) | 318 | (62,529 | ) | 62,211 | (62,754 | ) | |||||||||
Comprehensive income (loss) attributable to Nabors | 60,880 | (78,120 | ) | 31,395 | 46,725 | 60,880 | |||||||||||
Net income (loss) attributable to noncontrolling interest | — | — | (89 | ) | — | (89 | ) | ||||||||||
Translation adjustment to noncontrolling interest | — | — | (880 | ) | — | (880 | ) | ||||||||||
Comprehensive income (loss) attributable to noncontrolling interest | — | — | (969 | ) | — | (969 | ) | ||||||||||
Comprehensive income (loss) | $ | 60,880 | $ | (78,120 | ) | $ | 30,426 | $ | 46,725 | $ | 59,911 | ||||||
Condensed Consolidating Statements of Other Comprehensive Income (Loss) | |||||||||||||||||
Three Months Ended March 31, 2014 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Net income (loss) attributable to Nabors | $ | 49,919 | $ | (40,089 | ) | $ | 44,959 | $ | (4,870 | ) | $ | 49,919 | |||||
Other comprehensive income (loss) before tax: | |||||||||||||||||
Translation adjustment attributable to Nabors | (36,594 | ) | (216 | ) | (36,813 | ) | 37,029 | (36,594 | ) | ||||||||
Unrealized gains/(losses) on marketable securities: | |||||||||||||||||
Unrealized gains/(losses) on marketable securities | (19,208 | ) | — | (19,208 | ) | 19,208 | (19,208 | ) | |||||||||
Less: reclassification adjustment for (gains) losses on marketable securities | — | — | — | — | — | ||||||||||||
Unrealized gains/(losses) on marketable securities | (19,208 | ) | — | (19,208 | ) | 19,208 | (19,208 | ) | |||||||||
Pension liability amortization and adjustment | 123 | 123 | 246 | (369 | ) | 123 | |||||||||||
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 | 153 | (306 | ) | 153 | |||||||||||
Other comprehensive income (loss) before tax | (55,526 | ) | 60 | (55,622 | ) | 55,562 | (55,526 | ) | |||||||||
Income tax expense (benefit) related to items of other comprehensive income (loss) | 148 | 148 | 236 | (384 | ) | 148 | |||||||||||
Other comprehensive income (loss), net of tax | (55,674 | ) | (88 | ) | (55,858 | ) | 55,946 | (55,674 | ) | ||||||||
Comprehensive income (loss) attributable to Nabors | (5,755 | ) | (40,177 | ) | (10,899 | ) | 51,076 | (5,755 | ) | ||||||||
Net income (loss) attributable to noncontrolling interest | — | — | 573 | — | 573 | ||||||||||||
Translation adjustment to noncontrolling interest | — | — | (481 | ) | — | (481 | ) | ||||||||||
Comprehensive income (loss) attributable to noncontrolling interest | — | — | 92 | — | 92 | ||||||||||||
Comprehensive income (loss) | $ | (5,755 | ) | $ | (40,177 | ) | $ | (10,807 | ) | $ | 51,076 | $ | (5,663 | ) | |||
Condensed Consolidating Statements of Cash Flows | |||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Net cash provided by (used for) operating activities | $ | 10,404 | $ | (101,784 | ) | $ | 386,877 | $ | 11,673 | $ | 307,170 | ||||||
Cash flows from investing activities: | |||||||||||||||||
Purchase of investments | — | — | 1,710 | — | 1,710 | ||||||||||||
Sales and maturities of investments | — | — | 623 | — | 623 | ||||||||||||
Cash paid for acquisition of businesses, net | — | — | — | — | — | ||||||||||||
Investment in unconsolidated affiliates | — | — | (445 | ) | — | (445 | ) | ||||||||||
Proceeds from merger transaction | 5,500 | 646,078 | 41,872 | — | 693,450 | ||||||||||||
Capital expenditures | — | — | (364,234 | ) | — | (364,234 | ) | ||||||||||
Proceeds from sales of assets and insurance claims | — | — | 8,997 | — | 8,997 | ||||||||||||
Other | — | — | — | — | — | ||||||||||||
Changes in intercompany balances | — | (11,668 | ) | 11,668 | — | — | |||||||||||
Net cash provided by (used for) investing activities | 5,500 | 634,410 | (299,809 | ) | — | 340,101 | |||||||||||
Cash flows from financing activities: | |||||||||||||||||
Increase (decrease) in cash overdrafts | — | — | (1,017 | ) | — | (1,017 | ) | ||||||||||
Proceeds from (payments for) issuance of common shares | 182 | — | — | — | 182 | ||||||||||||
Dividends to shareholders | (19,797 | ) | — | — | 2,327 | (17,470 | ) | ||||||||||
Proceeds from (payments for) commercial paper, net | — | (282,615 | ) | — | — | (282,615 | ) | ||||||||||
Proceeds from issuance of intercompany debt | 14,000 | — | — | (14,000 | ) | — | |||||||||||
Reduction in revolving credit facilities | — | (250,000 | ) | — | — | (250,000 | ) | ||||||||||
Proceeds from term loan | — | 300,000 | — | — | 300,000 | ||||||||||||
Payments on term loan | — | (300,000 | ) | — | — | (300,000 | ) | ||||||||||
Other | (7,089 | ) | — | 2,540 | — | (4,549 | ) | ||||||||||
Net cash (used for) provided by financing activities | (12,704 | ) | (532,615 | ) | 1,523 | (11,673 | ) | (555,469 | ) | ||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (6,950 | ) | — | (6,950 | ) | ||||||||||
Net increase (decrease) in cash and cash equivalents | 3,200 | 11 | 81,641 | — | 84,852 | ||||||||||||
Cash and cash equivalents, beginning of period | 1,170 | 7 | 499,972 | — | 501,149 | ||||||||||||
Cash and cash equivalents, end of period | $ | 4,370 | $ | 18 | $ | 581,613 | $ | — | $ | 586,001 | |||||||
Condensed Consolidating Statements of Cash Flows | |||||||||||||||||
Three Months Ended March 31, 2014 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Net cash provided by (used for) operating activities | $ | (1,579 | ) | $ | (83,877 | ) | $ | 514,731 | $ | 15,288 | $ | 444,563 | |||||
Cash flows from investing activities: | |||||||||||||||||
Purchase of investments | — | — | (286 | ) | — | (286 | ) | ||||||||||
Sales and maturities of investments | — | — | 733 | — | 733 | ||||||||||||
Cash paid for acquisition of businesses, net | — | — | (10,200 | ) | — | (10,200 | ) | ||||||||||
Investment in unconsolidated affiliates | — | — | (1,255 | ) | — | (1,255 | ) | ||||||||||
Capital expenditures | — | — | (396,465 | ) | — | (396,465 | ) | ||||||||||
Proceeds from sales of assets and insurance claims | — | — | 21,605 | — | 21,605 | ||||||||||||
Changes in intercompany balances | — | 176,446 | (176,446 | ) | — | — | |||||||||||
Net cash provided by (used for) investing activities | — | 176,446 | (562,314 | ) | — | (385,868 | ) | ||||||||||
Cash flows from financing activities: | |||||||||||||||||
Increase (decrease) in cash overdrafts | — | — | (1,822 | ) | — | (1,822 | ) | ||||||||||
Proceeds from (payments for) issuance of common shares | 4,931 | — | — | — | 4,931 | ||||||||||||
Dividends to shareholders | (13,029 | ) | — | — | 1,136 | (11,893 | ) | ||||||||||
Proceeds from (payments for) commercial paper, net | — | (39,594 | ) | — | — | (39,594 | ) | ||||||||||
Proceeds from revolving credit facilities | — | — | 15,000 | — | 15,000 | ||||||||||||
Reduction in revolving credit facilities | — | (60,000 | ) | (7,500 | ) | — | (67,500 | ) | |||||||||
Proceeds from (payments for) issuance of parent common shares to affiliates | 16,424 | — | — | (16,424 | ) | — | |||||||||||
Other | (6,585 | ) | — | (5,000 | ) | — | (11,585 | ) | |||||||||
Net cash (used for) provided by financing activities | 1,741 | (99,594 | ) | 678 | (15,288 | ) | (112,463 | ) | |||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (9,266 | ) | — | (9,266 | ) | ||||||||||
Net increase (decrease) in cash and cash equivalents | 162 | (7,025 | ) | (56,171 | ) | — | (63,034 | ) | |||||||||
Cash and cash equivalents, beginning of period | 730 | 7,029 | 382,156 | — | 389,915 | ||||||||||||
Cash and cash equivalents, end of period | $ | 892 | $ | 4 | $ | 325,985 | $ | — | $ | 326,881 | |||||||
Subsequent_Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2015 | |
Subsequent Events | |
Subsequent Events | Note 16 Subsequent Events |
On April 24, 2015, our Board of Directors declared a cash dividend of $0.06 per share to the holders of record of our common shares as of June 9, 2015 to be paid on June 30, 2015. | |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Summary of Significant Accounting Policies | ||||||||
Interim Financial Information | Interim Financial Information | |||||||
The unaudited consolidated financial statements of Nabors are prepared in conformity with accounting principles generally accepted in the United States (“GAAP”). Pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been omitted. Therefore, these financial statements should be read along with our annual report on Form 10-K for the year ended December 31, 2014 (“2014 Annual Report”). In management’s opinion, the consolidated financial statements contain all adjustments necessary to present fairly our financial position as of March 31, 2015, as well as the results of our operations, other comprehensive income, our cash flows and changes in equity for the three months ended March 31, 2015 and 2014, in accordance with GAAP. Interim results for the three months ended March 31, 2015 may not be indicative of results that will be realized for the full year ending December 31, 2015. | ||||||||
Principles of Consolidation | Principles of Consolidation | |||||||
Our consolidated financial statements include the accounts of Nabors, as well as all majority owned and non-majority owned subsidiaries required to be consolidated under GAAP. All significant intercompany accounts and transactions are eliminated in consolidation. | ||||||||
Investments in operating entities where we have the ability to exert significant influence, but where we do not control operating and financial policies, are accounted for using the equity method. Our share of the net income (loss) of these entities is recorded as earnings (losses) from unconsolidated affiliates in our consolidated statements of income (loss). The investments in these entities are included in investment in unconsolidated affiliates in our consolidated balance sheets. | ||||||||
Inventory | Inventory | |||||||
Inventory is stated at the lower of cost or market. Cost is determined using the first-in, first-out or weighted-average cost methods and includes the cost of materials, labor and manufacturing overhead. Inventory included the following: | ||||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Raw materials | $ | 142,948 | $ | 133,797 | ||||
Work-in-progress | 30,996 | 39,617 | ||||||
Finished goods | 16,479 | 56,653 | ||||||
$ | 190,423 | $ | 230,067 | |||||
Goodwill | Goodwill | |||||||
We review goodwill for impairment annually during the second quarter of each fiscal year or more frequently if events or changes in circumstances indicate that the carrying amount of such goodwill and intangible assets exceed their fair value. We initially assess goodwill for impairment based on qualitative factors to determine whether to perform the two-step annual goodwill impairment test, a Level 3 fair value measurement. After our qualitative assessment, step one of the impairment test compares the estimated fair value of the reporting unit to its carrying amount. If the carrying amount exceeds the fair value, a second step is required to measure the goodwill impairment loss. The second step compares the implied fair value of the reporting unit’s goodwill to its carrying amount. If the carrying amount exceeds the implied fair value, an impairment loss is recognized in an amount equal to the excess. | ||||||||
Our estimated fair values of our reporting units incorporate judgment and the use of estimates by management. Potential factors requiring assessment include a further or sustained decline in our stock price, declines in oil and natural gas prices, a variance in results of operations from forecasts, a change in operating strategy of assets and additional transactions in the oil and gas industry. Another factor in determining whether impairment has occurred is the relationship between our market capitalization and our book value. As part of our annual review, we compare the sum of our reporting units’ estimated fair value, which includes the estimated fair value of non-operating assets and liabilities, less debt, to our market capitalization and assess the reasonableness of our estimated fair value. Any of the above-mentioned factors may cause us to re-evaluate goodwill during any quarter throughout the year. | ||||||||
Recent Accounting Pronouncements | Recent Accounting Pronouncements | |||||||
In February 2015, the Financial Accounting Standards Board (“FASB”) issued an Accounting Standards Update (“ASU”) relating to consolidation, which eliminates the presumption that a general partner should consolidate a limited partnership. It also modifies the evaluation of whether limited partnerships are variable interest entities or voting interest entities and adds requirements that limited partnerships must meet to qualify as voting interest entities. This guidance is effective for public companies for fiscal years beginning after December 15, 2015. We are currently evaluating the impact this will have on our consolidated financial statements. | ||||||||
In May 2014, the FASB issued an ASU relating to the revenue recognition from contracts with customers that creates a common revenue standard for GAAP and IFRS. The core principle will require recognition of revenue to represent the transfer of promised goods or services to customers in an amount that reflects the consideration, including costs incurred, to which the entity expects to be entitled in exchange for those goods or services. On April 1, 2015, the FASB proposed deferring the effective date by one year to December 15, 2017 for annual reporting periods beginning after that date. The FASB also proposed permitting early adoption of the standard, but not before the original effective date of December 15, 2016. We are currently evaluating the impact this will have on our consolidated financial statements. | ||||||||
In April 2015, the FASB issued an ASU relating to the presentation of debt issuance costs on the balance sheet. This standard amends existing guidance to require the presentation of debt issuance costs on the balance sheet as a deduction from the carrying amount of the related debt liability instead of a deferred charge. This guidance is effective for fiscal years beginning after December 15, 2015. Early application is permitted. We are currently evaluating the impact this will have on our consolidated financial statements. | ||||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Summary of Significant Accounting Policies | ||||||||
Inventory | ||||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Raw materials | $ | 142,948 | $ | 133,797 | ||||
Work-in-progress | 30,996 | 39,617 | ||||||
Finished goods | 16,479 | 56,653 | ||||||
$ | 190,423 | $ | 230,067 | |||||
Cash_and_Cash_Equivalents_and_1
Cash and Cash Equivalents and Short-term Investments (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Cash and Cash Equivalents and Short-term Investments | ||||||||||||||||||||
Certain information related to our cash and cash equivalents and short term investments | ||||||||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||||||
Fair Value | Gross | Gross | Fair Value | Gross | Gross | |||||||||||||||
Unrealized | Unrealized | Unrealized | Unrealized | |||||||||||||||||
Holding | Holding | Holding | Holding | |||||||||||||||||
Gains | Losses | Gains | Losses | |||||||||||||||||
(In thousands) | ||||||||||||||||||||
Cash and cash equivalents | $ | 586,001 | $ | — | $ | — | $ | 501,149 | $ | — | $ | — | ||||||||
Short-term investments: | ||||||||||||||||||||
Available-for-sale equity securities | 35,152 | 14,799 | — | 35,002 | 14,648 | — | ||||||||||||||
Available-for-sale debt securities: | ||||||||||||||||||||
Mortgage-CMO debt securities | 18 | — | (1 | ) | 18 | — | (1 | ) | ||||||||||||
Total short-term investments | 35,170 | 14,799 | (1 | ) | 35,020 | 14,648 | (1 | ) | ||||||||||||
Total cash, cash equivalents and short-term investments | $ | 621,171 | $ | 14,799 | $ | (1 | ) | $ | 536,169 | $ | 14,648 | $ | (1 | ) | ||||||
Available-for-sale of Debt and equity securities | ||||||||||||||||||||
Three Months Ended | ||||||||||||||||||||
March 31, | ||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Available-for-sale | ||||||||||||||||||||
Proceeds from sales and maturities | $ | — | $ | 135 | ||||||||||||||||
Realized gains (losses), net | $ | — | $ | — | ||||||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Fair Value Measurements | ||||||||||||||
Recurring Fair Value Measurements | ||||||||||||||
Fair Value as of March 31, 2015 | ||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||
(In thousands) | ||||||||||||||
Assets: | ||||||||||||||
Short-term investments: | ||||||||||||||
Available-for-sale equity securities (energy industry) | $ | 35,152 | $ | — | $ | — | $ | 35,152 | ||||||
Available-for-sale debt securities: | ||||||||||||||
Mortgage-CMO debt securities | — | 18 | — | 18 | ||||||||||
Total short-term investments | $ | 35,152 | $ | 18 | $ | — | $ | 35,170 | ||||||
Fair Value of Financial Instruments | ||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||
Carrying | Fair | Carrying | Fair | |||||||||||
Value | Value | Value | Value | |||||||||||
(In thousands) | ||||||||||||||
2.35% senior notes due September 2016 | $ | 349,904 | $ | 349,213 | $ | 349,887 | $ | 346,980 | ||||||
6.15% senior notes due February 2018 | 931,000 | 997,517 | 930,693 | 991,920 | ||||||||||
9.25% senior notes due January 2019 | 339,607 | 400,118 | 339,607 | 403,531 | ||||||||||
5.00% senior notes due September 2020 | 698,329 | 697,669 | 698,253 | 687,953 | ||||||||||
4.625% senior notes due September 2021 | 698,448 | 680,008 | 698,388 | 661,619 | ||||||||||
5.10% senior notes due September 2023 | 348,925 | 335,129 | 348,893 | 332,759 | ||||||||||
Revolving credit facility | 200,000 | 200,000 | 450,000 | 450,000 | ||||||||||
Commercial paper | 250,504 | 250,504 | 533,119 | 533,119 | ||||||||||
Other | 8,739 | 8,739 | 6,209 | 6,209 | ||||||||||
Total | $ | 3,825,456 | $ | 3,918,897 | $ | 4,355,049 | $ | 4,414,090 | ||||||
ShareBased_Compensation_Tables
Share-Based Compensation (Tables) (Restricted Stock Based on Market Conditions) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Restricted Stock Based on Market Conditions | ||||||||
Share-based compensation disclosures | ||||||||
Schedule of grant date fair value | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Risk free interest rate | 1.18 | % | 0.80 | % | ||||
Expected Volatility | 50.00 | % | 40.00 | % | ||||
Closing stock price at grant date | $ | 12.98 | $ | 18.19 | ||||
Expected term (in years) | 3.0 years | 2.97 years | ||||||
Debt_Tables
Debt (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Debt | ||||||||
Long-term debt | ||||||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
2.35% senior notes due September 2016 | $ | 349,904 | $ | 349,887 | ||||
6.15% senior notes due February 2018 | 931,000 | 930,693 | ||||||
9.25% senior notes due January 2019 | 339,607 | 339,607 | ||||||
5.00% senior notes due September 2020 | 698,329 | 698,253 | ||||||
4.625% senior notes due September 2021 | 698,448 | 698,388 | ||||||
5.10% senior notes due September 2023 | 348,925 | 348,893 | ||||||
Revolving credit facility | 200,000 | 450,000 | ||||||
Commercial paper | 250,504 | 533,119 | ||||||
Other | 8,739 | 6,209 | ||||||
$ | 3,825,456 | $ | 4,355,049 | |||||
Less: current portion | 8,739 | 6,190 | ||||||
$ | 3,816,717 | $ | 4,348,859 | |||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Commitments and Contingencies | |||||||||||||||||
Summary of total maximum amount of financial guarantees issued | |||||||||||||||||
Maximum Amount | |||||||||||||||||
Remainder of | 2016 | 2017 | Thereafter | Total | |||||||||||||
2015 | |||||||||||||||||
(In thousands) | |||||||||||||||||
Financial standby letters of credit and other financial surety instruments | $ | 128,843 | $ | 73,528 | $ | 19 | $ | 1 | $ | 202,391 | |||||||
Earnings_Losses_Per_Share_Tabl
Earnings (Losses) Per Share (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings (Losses) Per Share | ||||||||
Earnings (losses) per share computations | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
(In thousands, except per share amounts) | ||||||||
BASIC EPS: | ||||||||
Net income (loss) (numerator): | ||||||||
Income (loss) from continuing operations, net of tax | $ | 124,362 | $ | 48,977 | ||||
Less: net (income) loss attributable to noncontrolling interest | 89 | (573 | ) | |||||
Less: (earnings) losses allocated to unvested shareholders | (2,031 | ) | (733 | ) | ||||
Numerator for basic earnings per share: | ||||||||
Adjusted income (loss) from continuing operations | $ | 122,420 | $ | 47,671 | ||||
Income (loss) from discontinued operations | $ | (817 | ) | $ | 1,515 | |||
Weighted-average number of shares outstanding - basic | 285,361 | 296,210 | ||||||
Earnings (losses) per share: | ||||||||
Basic from continuing operations | $ | 0.43 | $ | 0.16 | ||||
Basic from discontinued operations | — | 0.01 | ||||||
Total Basic | $ | 0.43 | $ | 0.17 | ||||
DILUTED EPS: | ||||||||
Income (loss) from continuing operations attributed to common shareholders | $ | 122,420 | $ | 47,671 | ||||
Add: effect of reallocating undistributed earnings of unvested shareholders | 5 | — | ||||||
Adjusted income (loss) from continuing operations attributed to common shareholders | $ | 122,425 | $ | 47,671 | ||||
Income (loss) from discontinued operations | $ | (817 | ) | $ | 1,515 | |||
Weighted-average number of shares outstanding - basic | 285,361 | 296,210 | ||||||
Add: dilutive effect of potential common shares | 812 | 2,840 | ||||||
Weighted-average number of diluted shares outstanding | 286,173 | 299,050 | ||||||
Earnings (losses) per share: | ||||||||
Diluted from continuing operations | $ | 0.43 | $ | 0.16 | ||||
Diluted from discontinued operations | (0.01 | ) | — | |||||
Total Diluted | $ | 0.42 | $ | 0.16 | ||||
Supplemental_Balance_Sheet_Inc1
Supplemental Balance Sheet, Income Statement and Cash Flow Information (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Supplemental Balance Sheet, Income Statement and Cash Flow Information | |||||||||||||||||
Accrued liabilities | |||||||||||||||||
March 31, | December 31, | ||||||||||||||||
2015 | 2014 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Accrued compensation | $ | 118,586 | $ | 177,707 | |||||||||||||
Deferred revenue | 318,890 | 298,345 | |||||||||||||||
Other taxes payable | 19,443 | 58,445 | |||||||||||||||
Workers’ compensation liabilities | 37,459 | 37,459 | |||||||||||||||
Interest payable | 17,806 | 63,532 | |||||||||||||||
Warranty accrual | 5,805 | 5,799 | |||||||||||||||
Litigation reserves | 24,657 | 23,681 | |||||||||||||||
Current liability to discontinued operations | 8,354 | 19,602 | |||||||||||||||
Professional fees | 2,521 | 2,550 | |||||||||||||||
Current deferred tax liability | 3,677 | 3,677 | |||||||||||||||
Current liability to acquisition of KVS | 22,278 | 22,278 | |||||||||||||||
Merger transaction accrual | 77,696 | — | |||||||||||||||
Other accrued liabilities | 12,640 | 14,929 | |||||||||||||||
$ | 669,812 | $ | 728,004 | ||||||||||||||
Investment income (loss) | |||||||||||||||||
Three Months Ended | |||||||||||||||||
March 31, | |||||||||||||||||
2015 | 2014 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Interest and dividend income | $ | 534 | $ | 970 | |||||||||||||
Gains (losses) on investments, net | 435 | 10 | |||||||||||||||
$ | 969 | $ | 980 | ||||||||||||||
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | |||||||||||||||||
Three Months Ended | |||||||||||||||||
March 31, | |||||||||||||||||
2015 | 2014 | ||||||||||||||||
(In thousands) | |||||||||||||||||
Losses (gains) on sales, disposals and involuntary conversions of long-lived assets | $ | 3,474 | $ | 2,432 | |||||||||||||
Net gain on merger (1) | (52,574 | ) | — | ||||||||||||||
Litigation expenses | (4,077 | ) | 3,060 | ||||||||||||||
Foreign currency transaction losses (gains) | (2,345 | ) | (3,293 | ) | |||||||||||||
Other losses (gains) | (320 | ) | (723 | ) | |||||||||||||
$ | (55,842 | ) | $ | 1,476 | |||||||||||||
-1 | Includes an estimated gain of $102.2 million, reduced by $49.6 million in transaction costs related to the merger with C&J Energy. See Note 3 — Merger. | ||||||||||||||||
Schedule of changes in accumulated other comprehensive income (loss) | |||||||||||||||||
Gains | Unrealized | Defined | Foreign | Total | |||||||||||||
(losses) on | gains (losses) | benefit | currency | ||||||||||||||
cash flow | on available- | pension plan | items | ||||||||||||||
hedges | for-sale | items | |||||||||||||||
securities | |||||||||||||||||
(In thousands) | |||||||||||||||||
As of January 1, 2014 | $ | (2,419 | ) | $ | 71,742 | $ | (4,075 | ) | $ | 150,892 | $ | 216,140 | |||||
Other comprehensive income (loss) before reclassifications | — | (19,248 | ) | — | (36,594 | ) | (55,842 | ) | |||||||||
Amounts reclassified from accumulated other comprehensive income (loss) (1) | 93 | — | 75 | — | 168 | ||||||||||||
Net other comprehensive income (loss) | 93 | (19,248 | ) | 75 | (36,594 | ) | (55,674 | ) | |||||||||
As of March 31, 2014 | $ | (2,326 | ) | $ | 52,494 | $ | (4,000 | ) | $ | 114,298 | $ | 160,466 | |||||
-1 | All amounts are net of tax. Amounts in parentheses indicate debits. | ||||||||||||||||
Gains | Unrealized | Defined | Foreign | Total | |||||||||||||
(losses) on | gains (losses) | benefit | currency | ||||||||||||||
cash flow | on available- | pension plan | items | ||||||||||||||
hedges | for-sale | items | |||||||||||||||
securities | |||||||||||||||||
(In thousands) | |||||||||||||||||
As of January 1, 2015 | $ | (2,044 | ) | $ | 14,996 | $ | (7,263 | ) | $ | 71,833 | $ | 77,522 | |||||
Other comprehensive income (loss) before reclassifications | — | 153 | — | (68,539 | ) | (68,386 | ) | ||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) (1) | 93 | — | 174 | 5,365 | 5,632 | ||||||||||||
Net other comprehensive income (loss) | 93 | 153 | 174 | (63,174 | ) | (62,754 | ) | ||||||||||
As of March 31, 2015 | $ | (1,951 | ) | $ | 15,149 | $ | (7,089 | ) | $ | 8,659 | $ | 14,768 | |||||
-1 | All amounts are net of tax. Amounts in parentheses indicate debits. | ||||||||||||||||
Schedule of line items that were reclassified from net income | |||||||||||||||||
Three Months Ended | |||||||||||||||||
March 31, | |||||||||||||||||
Line item in consolidated statement of income (loss) | 2015 | 2014 | |||||||||||||||
(In thousands) | |||||||||||||||||
Investment income (loss) | $ | — | $ | — | |||||||||||||
Interest expense | 153 | 153 | |||||||||||||||
General and administrative expenses | 276 | 123 | |||||||||||||||
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | (5,365 | ) | — | ||||||||||||||
Total before tax | $ | (5,794 | ) | $ | (276 | ) | |||||||||||
Tax expense (benefit) | (162 | ) | (108 | ) | |||||||||||||
Reclassification adjustment for (gains)/losses included in net income (loss) | $ | (5,632 | ) | $ | (168 | ) | |||||||||||
Assets_HeldforSale_and_Discont1
Assets Held-for-Sale and Discontinued Operations (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Assets Held-for-Sale and Discontinued Operations | ||||||||
Schedule of condensed statements of income (loss) from discontinued operations for each operating segment | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Operating revenues | ||||||||
Oil and Gas | $ | 1,450 | $ | 5,057 | ||||
Income (loss) from Oil and Gas discontinued operations: | ||||||||
Income (loss) from discontinued operations | $ | (1,386 | ) | $ | 2,618 | |||
Less: Impairment charges or other (gains) and losses on sale of wholly owned assets and obligations | — | 1,002 | ||||||
Less: Income tax expense (benefit) | (569 | ) | 101 | |||||
Income (loss) from Oil and Gas discontinued operations, net of tax | $ | (817 | ) | $ | 1,515 | |||
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Segment Information | ||||||||
Financial information with respect to operating segments | ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Operating revenues and Earnings (losses) from unconsolidated affiliates: (1) | ||||||||
Drilling & Rig Services: | ||||||||
U.S. | $ | 453,821 | $ | 510,476 | ||||
Canada | 57,840 | 111,621 | ||||||
International | 445,400 | 375,069 | ||||||
Rig Services (2) | 144,084 | 143,726 | ||||||
Subtotal Drilling & Rig Services (3) | 1,101,145 | 1,140,892 | ||||||
Completion & Production Services: | ||||||||
Completion Services | 208,123 | 227,899 | ||||||
Production Services | 158,512 | 275,400 | ||||||
Subtotal Completion & Production Services (4) | 366,635 | 503,299 | ||||||
Other reconciling items (5) | (46,571 | ) | (57,018 | ) | ||||
Total | $ | 1,421,209 | $ | 1,587,173 | ||||
Three Months Ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Adjusted income (loss) derived from operating activities: (1) (6) | ||||||||
Drilling & Rig Services: | ||||||||
U.S. | $ | 77,038 | $ | 72,494 | ||||
Canada | 6,358 | 26,160 | ||||||
International | 105,041 | 48,119 | ||||||
Rig Services (2) | 12,873 | 8,728 | ||||||
Subtotal Drilling & Rig Services (3) | 201,310 | 155,501 | ||||||
Completion & Production Services: | ||||||||
Completion Services | (55,243 | ) | (33,635 | ) | ||||
Production Services | (3,296 | ) | 30,591 | |||||
Subtotal Completion & Production Services (4) | (58,539 | ) | (3,044 | ) | ||||
Other reconciling items (7) | (49,324 | ) | (43,416 | ) | ||||
Total adjusted income (loss) derived from operating activities | $ | 93,447 | $ | 109,041 | ||||
Interest expense | (46,601 | ) | (44,810 | ) | ||||
Investment income (loss) | 969 | 980 | ||||||
Gains (losses) on sales and disposals of long-lived assets and other income (expense), net | 55,842 | (1,476 | ) | |||||
Income (loss) from continuing operations before income taxes | 103,657 | 63,735 | ||||||
Income tax expense (benefit) | (20,705 | ) | 14,008 | |||||
Subsidiary preferred stock dividend | — | 750 | ||||||
Income (loss) from continuing operations, net of tax | 124,362 | 48,977 | ||||||
Income (loss) from discontinued operations, net of tax | (817 | ) | 1,515 | |||||
Net income (loss) | 123,545 | 50,492 | ||||||
Less: Net (income) loss attributable to noncontrolling interest | 89 | (573 | ) | |||||
Net income (loss) attributable to Nabors | $ | 123,634 | $ | 49,919 | ||||
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
(In thousands) | ||||||||
Total assets: | ||||||||
Drilling & Rig Services: | ||||||||
U.S. | $ | 4,146,988 | $ | 4,184,854 | ||||
Canada | 593,436 | 615,269 | ||||||
International | 3,901,424 | 3,815,051 | ||||||
Rig Services | 512,545 | 549,622 | ||||||
Subtotal Drilling & Rig Services (8) | 9,154,393 | 9,164,796 | ||||||
Completion & Production Services (9) (10) | — | 1,933,387 | ||||||
Other reconciling items (7) (11) | 1,450,205 | 781,759 | ||||||
Total assets: | $ | 10,604,598 | $ | 11,879,942 | ||||
-1 | All periods present the operating activities of most of our wholly owned oil and gas businesses, our previously held equity interests in oil and gas joint ventures in Canada and Colombia, aircraft logistics operations and construction services as discontinued operations. | |||||||
-2 | Includes our other services comprised of our drilling technology and top drive manufacturing, directional drilling, rig instrumentation and software services. | |||||||
-3 | Includes earnings (losses), net from unconsolidated affiliates, accounted for using the equity method, of $6.2 million and ($2.5) million for the three months ended March 31, 2015 and 2014, respectively. | |||||||
-4 | Includes earnings (losses), net from unconsolidated affiliates, accounted for using the equity method, of $0.3 million and $0.1 million for the three months ended March 31, 2015 and 2014, respectively. | |||||||
-5 | Represents the elimination of inter-segment transactions. | |||||||
-6 | Adjusted income (loss) derived from operating activities is computed by subtracting the sum of direct costs, general and administrative expenses, depreciation and amortization from the sum of Operating revenues and Earnings (losses) from unconsolidated affiliates. These amounts should not be used as a substitute for the amounts reported in accordance with GAAP. However, management evaluates the performance of our business units and the consolidated company based on several criteria, including adjusted income (loss) derived from operating activities, because it believes that these financial measures accurately reflect our ongoing profitability. A reconciliation of this non-GAAP measure to income (loss) from continuing operations before income taxes, which is a GAAP measure, is provided in the above table. | |||||||
-7 | Represents the elimination of inter-segment transactions, unallocated corporate expenses and earnings (losses), net from unconsolidated affiliates related to our investment in CJES. | |||||||
-8 | Includes $54.4 million and $48.1 million of investments in unconsolidated affiliates accounted for using the equity method as of March 31, 2015 and December 31, 2014, respectively. | |||||||
-9 | Reflects assets allocated to the line of business necessary to conduct its operations. Further allocation to individual operating segments of Completion & Production Services is not available. | |||||||
-10 | Includes $10.2 million of investments in unconsolidated affiliates accounted for using the equity method as of December 31, 2014. These investments were sold as part of the merger with C&J Energy in March 2015. | |||||||
-11 | Includes $676.1 million of investments in unconsolidated affiliates accounted for using the equity method as of March 31, 2015, inclusive of our investment in CJES. | |||||||
Condensed_Consolidating_Financ1
Condensed Consolidating Financial Information (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Condensed Consolidating Financial Information | |||||||||||||||||
Condensed Consolidating Balance Sheets | |||||||||||||||||
March 31, 2015 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
ASSETS | |||||||||||||||||
Current assets: | |||||||||||||||||
Cash and cash equivalents | $ | 4,370 | $ | 18 | $ | 581,613 | $ | — | $ | 586,001 | |||||||
Short-term investments | — | — | 35,170 | — | 35,170 | ||||||||||||
Assets held for sale | — | — | 134,709 | — | 134,709 | ||||||||||||
Accounts receivable, net | — | — | 971,601 | — | 971,601 | ||||||||||||
Inventory | — | — | 190,423 | — | 190,423 | ||||||||||||
Deferred income taxes | — | — | 91,050 | — | 91,050 | ||||||||||||
Other current assets | 50 | 18,394 | 142,934 | — | 161,378 | ||||||||||||
Total current assets | 4,420 | 18,412 | 2,147,500 | — | 2,170,332 | ||||||||||||
Long-term investments | — | — | 2,627 | — | 2,627 | ||||||||||||
Property, plant and equipment, net | — | — | 7,333,808 | — | 7,333,808 | ||||||||||||
Goodwill | — | — | 80,947 | — | 80,947 | ||||||||||||
Intercompany receivables | 136,729 | 150,058 | 1,030,444 | (1,317,231 | ) | — | |||||||||||
Investment in consolidated affiliates | 4,848,785 | 4,968,528 | 1,370,331 | (11,187,644 | ) | — | |||||||||||
Investment in unconsolidated affiliates | — | — | 730,487 | — | 730,487 | ||||||||||||
Other long-term assets | — | 29,578 | 256,819 | — | 286,397 | ||||||||||||
Total assets | $ | 4,989,934 | $ | 5,166,576 | $ | 12,952,963 | $ | (12,504,875 | ) | $ | 10,604,598 | ||||||
LIABILITIES AND EQUITY | |||||||||||||||||
Current liabilities: | |||||||||||||||||
Current debt | $ | — | $ | — | 8,739 | $ | — | $ | 8,739 | ||||||||
Trade accounts payable | 117 | 5 | 402,916 | — | 403,038 | ||||||||||||
Accrued liabilities | 17,004 | 18,202 | 634,606 | — | 669,812 | ||||||||||||
Income taxes payable | — | — | 75,007 | — | 75,007 | ||||||||||||
Total current liabilities | 17,121 | 18,207 | 1,121,268 | — | 1,156,596 | ||||||||||||
Long-term debt | — | 3,857,176 | (40,459 | ) | — | 3,816,717 | |||||||||||
Other long-term liabilities | — | 35,487 | 569,039 | — | 604,526 | ||||||||||||
Deferred income taxes | — | (313,447 | ) | 372,444 | — | 58,997 | |||||||||||
Intercompany payable | 14,000 | 1,303,231 | — | (1,317,231 | ) | — | |||||||||||
Total liabilities | 31,121 | 4,900,654 | 2,022,292 | (1,317,231 | ) | 5,636,836 | |||||||||||
Subsidiary preferred stock | — | — | — | — | — | ||||||||||||
Shareholders’ equity | 4,958,813 | 265,922 | 10,921,722 | (11,187,644 | ) | 4,958,813 | |||||||||||
Noncontrolling interest | — | — | 8,949 | — | 8,949 | ||||||||||||
Total equity | 4,958,813 | 265,922 | 10,930,671 | (11,187,644 | ) | 4,967,762 | |||||||||||
Total liabilities and equity | $ | 4,989,934 | $ | 5,166,576 | $ | 12,952,963 | $ | (12,504,875 | ) | $ | 10,604,598 | ||||||
December 31, 2014 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
ASSETS | |||||||||||||||||
Current assets: | |||||||||||||||||
Cash and cash equivalents | $ | 1,170 | $ | 7 | $ | 499,972 | $ | — | $ | 501,149 | |||||||
Short-term investments | — | — | 35,020 | — | 35,020 | ||||||||||||
Assets held for sale | — | — | 146,467 | — | 146,467 | ||||||||||||
Accounts receivable, net | — | — | 1,517,503 | — | 1,517,503 | ||||||||||||
Inventory | — | — | 230,067 | — | 230,067 | ||||||||||||
Deferred income taxes | — | — | 118,230 | — | 118,230 | ||||||||||||
Other current assets | 50 | 5,242 | 188,146 | — | 193,438 | ||||||||||||
Short-term intercompany note | — | 880,820 | — | (880,820 | ) | — | |||||||||||
Total current assets | 1,220 | 886,069 | 2,735,405 | (880,820 | ) | 2,741,874 | |||||||||||
Long-term investments | — | — | 2,806 | — | 2,806 | ||||||||||||
Property, plant and equipment, net | — | 30,330 | 8,568,795 | — | 8,599,125 | ||||||||||||
Goodwill | — | — | 173,928 | — | 173,928 | ||||||||||||
Intercompany receivables | 136,360 | — | 1,286,522 | (1,422,882 | ) | — | |||||||||||
Investment in unconsolidated affiliates | 4,771,413 | 5,014,743 | 1,506,939 | (11,234,844 | ) | 58,251 | |||||||||||
Other long-term assets | — | 30,298 | 273,660 | — | 303,958 | ||||||||||||
Total assets | $ | 4,908,993 | $ | 5,961,440 | $ | 14,548,055 | $ | (13,538,546 | ) | $ | 11,879,942 | ||||||
LIABILITIES AND EQUITY | |||||||||||||||||
Current liabilities: | |||||||||||||||||
Current debt | $ | — | $ | — | $ | 6,190 | $ | — | $ | 6,190 | |||||||
Trade accounts payable | 111 | 2 | 779,947 | — | 780,060 | ||||||||||||
Accrued liabilities | 263 | 64,390 | 663,351 | — | 728,004 | ||||||||||||
Income taxes payable | — | — | 53,221 | — | 53,221 | ||||||||||||
Short-term intercompany note | — | — | 880,820 | (880,820 | ) | — | |||||||||||
Total current liabilities | 374 | 64,392 | 2,383,529 | (880,820 | ) | 1,567,475 | |||||||||||
Long-term debt | — | 4,389,299 | (40,440 | ) | — | 4,348,859 | |||||||||||
Other long-term liabilities | — | 35,480 | 566,336 | — | 601,816 | ||||||||||||
Deferred income taxes | — | (294,655 | ) | 737,658 | — | 443,003 | |||||||||||
Intercompany payable | — | 1,422,882 | — | (1,422,882 | ) | — | |||||||||||
Total liabilities | 374 | 5,617,398 | 3,647,083 | (2,303,702 | ) | 6,961,153 | |||||||||||
Subsidiary preferred stock | — | — | — | — | — | ||||||||||||
Shareholders’ equity | 4,908,619 | 344,042 | 10,890,802 | (11,234,844 | ) | 4,908,619 | |||||||||||
Noncontrolling interest | — | — | 10,170 | — | 10,170 | ||||||||||||
Total equity | 4,908,619 | 344,042 | 10,900,972 | (11,234,844 | ) | 4,918,789 | |||||||||||
Total liabilities and equity | $ | 4,908,993 | $ | 5,961,440 | $ | 14,548,055 | $ | (13,538,546 | ) | $ | 11,879,942 | ||||||
Condensed Consolidating Statements of Income (Loss) | |||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Revenues and other income: | |||||||||||||||||
Operating revenues | $ | — | $ | — | $ | 1,414,707 | $ | — | $ | 1,414,707 | |||||||
Earnings from unconsolidated affiliates | — | — | 6,502 | — | 6,502 | ||||||||||||
Earnings (losses) from consolidated affiliates | 138,037 | (46,440 | ) | (78,438 | ) | (13,159 | ) | — | |||||||||
Investment income (loss) | — | 5 | 3,291 | (2,327 | ) | 969 | |||||||||||
Intercompany Interest income | — | 2,439 | — | (2,439 | ) | — | |||||||||||
Total revenues and other income | 138,037 | (43,996 | ) | 1,346,062 | (17,925 | ) | 1,422,178 | ||||||||||
Costs and other deductions: | |||||||||||||||||
Direct costs | — | — | 919,610 | — | 919,610 | ||||||||||||
General and administrative expenses | 2,719 | 358 | 124,200 | (144 | ) | 127,133 | |||||||||||
Depreciation and amortization | — | 612 | 280,407 | — | 281,019 | ||||||||||||
Interest expense | — | 52,264 | (5,663 | ) | — | 46,601 | |||||||||||
Intercompany interest expense | — | — | 2,439 | (2,439 | ) | — | |||||||||||
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | 11,684 | — | (67,670 | ) | 144 | (55,842 | ) | ||||||||||
Impairment and other charges | — | — | — | — | — | ||||||||||||
Other | — | — | — | — | — | ||||||||||||
Total costs and other deductions | 14,403 | 53,234 | 1,253,323 | (2,439 | ) | 1,318,521 | |||||||||||
Income from continuing operations before income tax | 123,634 | (97,230 | ) | 92,739 | (15,486 | ) | 103,657 | ||||||||||
Income tax expense (benefit) | — | (18,792 | ) | (1,913 | ) | — | (20,705 | ) | |||||||||
Income (loss) from continuing operations, net of tax | 123,634 | (78,438 | ) | 94,652 | (15,486 | ) | 124,362 | ||||||||||
Income (loss) from discontinued operations, net of tax | — | — | (817 | ) | — | (817 | ) | ||||||||||
Net income (loss) | 123,634 | (78,438 | ) | 93,835 | (15,486 | ) | 123,545 | ||||||||||
Less: Net (income) loss attributable to noncontrolling interest | — | — | 89 | — | 89 | ||||||||||||
Net income (loss) attributable to Nabors | $ | 123,634 | $ | (78,438 | ) | $ | 93,924 | $ | (15,486 | ) | $ | 123,634 | |||||
Three Months Ended March 31, 2014 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Revenues and other income: | |||||||||||||||||
Operating revenues | $ | — | $ | — | $ | 1,589,618 | $ | — | $ | 1,589,618 | |||||||
Earnings from unconsolidated affiliates | — | — | (2,445 | ) | — | (2,445 | ) | ||||||||||
Earnings (losses) from consolidated affiliates | 52,583 | (8,760 | ) | (40,089 | ) | (3,734 | ) | — | |||||||||
Investment income (loss) | — | — | 2,116 | (1,136 | ) | 980 | |||||||||||
Intercompany Interest income | — | — | — | — | — | ||||||||||||
Total revenues and other income | 52,583 | (8,760 | ) | 1,549,200 | (4,870 | ) | 1,588,153 | ||||||||||
Costs and other deductions: | |||||||||||||||||
Direct costs | — | — | 1,061,739 | — | 1,061,739 | ||||||||||||
General and administrative expenses | 2,453 | (319 | ) | 132,281 | (149 | ) | 134,266 | ||||||||||
Depreciation and amortization | — | 902 | 281,225 | — | 282,127 | ||||||||||||
Interest expense | — | 49,369 | (4,559 | ) | — | 44,810 | |||||||||||
Intercompany interest expense | 62 | — | (62 | ) | — | — | |||||||||||
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | 149 | (223 | ) | 1,401 | 149 | 1,476 | |||||||||||
Impairment and other charges | — | — | — | — | — | ||||||||||||
Other | — | — | — | — | — | ||||||||||||
Total costs and other deductions | 2,664 | 49,729 | 1,472,025 | — | 1,524,418 | ||||||||||||
Income from continuing operations before income tax | 49,919 | (58,489 | ) | 77,175 | (4,870 | ) | 63,735 | ||||||||||
Income tax expense (benefit) | — | (18,400 | ) | 32,408 | — | 14,008 | |||||||||||
Subsidiary preferred stock dividend | — | — | 750 | — | 750 | ||||||||||||
Income (loss) from continuing operations, net of tax | 49,919 | (40,089 | ) | 44,017 | (4,870 | ) | 48,977 | ||||||||||
Income (loss) from discontinued operations, net of tax | — | — | 1,515 | — | 1,515 | ||||||||||||
Net income (loss) | 49,919 | (40,089 | ) | 45,532 | (4,870 | ) | 50,492 | ||||||||||
Less: Net (income) loss attributable to noncontrolling interest | — | — | (573 | ) | — | (573 | ) | ||||||||||
Net income (loss) attributable to Nabors | $ | 49,919 | $ | (40,089 | ) | $ | 44,959 | $ | (4,870 | ) | $ | 49,919 | |||||
Condensed Consolidating Statements of Other Comprehensive Income (Loss) | |||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Net income (loss) attributable to Nabors | $ | 123,634 | $ | (78,438 | ) | $ | 93,924 | $ | (15,486 | ) | $ | 123,634 | |||||
Other comprehensive income (loss) before tax: | |||||||||||||||||
Translation adjustment attributable to Nabors: | |||||||||||||||||
Unrealized loss on translation adjustment | (68,539 | ) | 51 | (68,488 | ) | 68,437 | (68,539 | ) | |||||||||
Less: reclassification adjustment for realized loss on translation adjustment | 5,365 | — | 5,365 | (5,365 | ) | 5,365 | |||||||||||
Translation adjustment attributable to Nabors | (63,174 | ) | 51 | (63,123 | ) | 63,072 | (63,174 | ) | |||||||||
Unrealized gains/(losses) on marketable securities | 153 | — | 153 | (153 | ) | 153 | |||||||||||
Pension liability amortization and adjustment | 276 | 276 | 552 | (828 | ) | 276 | |||||||||||
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 | 153 | (306 | ) | 153 | |||||||||||
Other comprehensive income (loss) before tax | (62,592 | ) | 480 | (62,265 | ) | 61,785 | (62,592 | ) | |||||||||
Income tax expense (benefit) related to items of other comprehensive income (loss) | 162 | 162 | 264 | (426 | ) | 162 | |||||||||||
Other comprehensive income (loss), net of tax | (62,754 | ) | 318 | (62,529 | ) | 62,211 | (62,754 | ) | |||||||||
Comprehensive income (loss) attributable to Nabors | 60,880 | (78,120 | ) | 31,395 | 46,725 | 60,880 | |||||||||||
Net income (loss) attributable to noncontrolling interest | — | — | (89 | ) | — | (89 | ) | ||||||||||
Translation adjustment to noncontrolling interest | — | — | (880 | ) | — | (880 | ) | ||||||||||
Comprehensive income (loss) attributable to noncontrolling interest | — | — | (969 | ) | — | (969 | ) | ||||||||||
Comprehensive income (loss) | $ | 60,880 | $ | (78,120 | ) | $ | 30,426 | $ | 46,725 | $ | 59,911 | ||||||
Three Months Ended March 31, 2014 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Net income (loss) attributable to Nabors | $ | 49,919 | $ | (40,089 | ) | $ | 44,959 | $ | (4,870 | ) | $ | 49,919 | |||||
Other comprehensive income (loss) before tax: | |||||||||||||||||
Translation adjustment attributable to Nabors | (36,594 | ) | (216 | ) | (36,813 | ) | 37,029 | (36,594 | ) | ||||||||
Unrealized gains/(losses) on marketable securities: | |||||||||||||||||
Unrealized gains/(losses) on marketable securities | (19,208 | ) | — | (19,208 | ) | 19,208 | (19,208 | ) | |||||||||
Less: reclassification adjustment for (gains) losses on marketable securities | — | — | — | — | — | ||||||||||||
Unrealized gains/(losses) on marketable securities | (19,208 | ) | — | (19,208 | ) | 19,208 | (19,208 | ) | |||||||||
Pension liability amortization and adjustment | 123 | 123 | 246 | (369 | ) | 123 | |||||||||||
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 | 153 | (306 | ) | 153 | |||||||||||
Other comprehensive income (loss) before tax | (55,526 | ) | 60 | (55,622 | ) | 55,562 | (55,526 | ) | |||||||||
Income tax expense (benefit) related to items of other comprehensive income (loss) | 148 | 148 | 236 | (384 | ) | 148 | |||||||||||
Other comprehensive income (loss), net of tax | (55,674 | ) | (88 | ) | (55,858 | ) | 55,946 | (55,674 | ) | ||||||||
Comprehensive income (loss) attributable to Nabors | (5,755 | ) | (40,177 | ) | (10,899 | ) | 51,076 | (5,755 | ) | ||||||||
Net income (loss) attributable to noncontrolling interest | — | — | 573 | — | 573 | ||||||||||||
Translation adjustment to noncontrolling interest | — | — | (481 | ) | — | (481 | ) | ||||||||||
Comprehensive income (loss) attributable to noncontrolling interest | — | — | 92 | — | 92 | ||||||||||||
Comprehensive income (loss) | $ | (5,755 | ) | $ | (40,177 | ) | $ | (10,807 | ) | $ | 51,076 | $ | (5,663 | ) | |||
Condensed Consolidating Statements of Cash Flows | |||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Net cash provided by (used for) operating activities | $ | 10,404 | $ | (101,784 | ) | $ | 386,877 | $ | 11,673 | $ | 307,170 | ||||||
Cash flows from investing activities: | |||||||||||||||||
Purchase of investments | — | — | 1,710 | — | 1,710 | ||||||||||||
Sales and maturities of investments | — | — | 623 | — | 623 | ||||||||||||
Cash paid for acquisition of businesses, net | — | — | — | — | — | ||||||||||||
Investment in unconsolidated affiliates | — | — | (445 | ) | — | (445 | ) | ||||||||||
Proceeds from merger transaction | 5,500 | 646,078 | 41,872 | — | 693,450 | ||||||||||||
Capital expenditures | — | — | (364,234 | ) | — | (364,234 | ) | ||||||||||
Proceeds from sales of assets and insurance claims | — | — | 8,997 | — | 8,997 | ||||||||||||
Other | — | — | — | — | — | ||||||||||||
Changes in intercompany balances | — | (11,668 | ) | 11,668 | — | — | |||||||||||
Net cash provided by (used for) investing activities | 5,500 | 634,410 | (299,809 | ) | — | 340,101 | |||||||||||
Cash flows from financing activities: | |||||||||||||||||
Increase (decrease) in cash overdrafts | — | — | (1,017 | ) | — | (1,017 | ) | ||||||||||
Proceeds from (payments for) issuance of common shares | 182 | — | — | — | 182 | ||||||||||||
Dividends to shareholders | (19,797 | ) | — | — | 2,327 | (17,470 | ) | ||||||||||
Proceeds from (payments for) commercial paper, net | — | (282,615 | ) | — | — | (282,615 | ) | ||||||||||
Proceeds from issuance of intercompany debt | 14,000 | — | — | (14,000 | ) | — | |||||||||||
Reduction in revolving credit facilities | — | (250,000 | ) | — | — | (250,000 | ) | ||||||||||
Proceeds from term loan | — | 300,000 | — | — | 300,000 | ||||||||||||
Payments on term loan | — | (300,000 | ) | — | — | (300,000 | ) | ||||||||||
Other | (7,089 | ) | — | 2,540 | — | (4,549 | ) | ||||||||||
Net cash (used for) provided by financing activities | (12,704 | ) | (532,615 | ) | 1,523 | (11,673 | ) | (555,469 | ) | ||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (6,950 | ) | — | (6,950 | ) | ||||||||||
Net increase (decrease) in cash and cash equivalents | 3,200 | 11 | 81,641 | — | 84,852 | ||||||||||||
Cash and cash equivalents, beginning of period | 1,170 | 7 | 499,972 | — | 501,149 | ||||||||||||
Cash and cash equivalents, end of period | $ | 4,370 | $ | 18 | $ | 581,613 | $ | — | $ | 586,001 | |||||||
Three Months Ended March 31, 2014 | |||||||||||||||||
Other | |||||||||||||||||
Nabors | Nabors | Subsidiaries | |||||||||||||||
(Parent/ | Delaware | (Non- | Consolidating | ||||||||||||||
Guarantor) | (Issuer) | Guarantors) | Adjustments | Total | |||||||||||||
(In thousands) | |||||||||||||||||
Net cash provided by (used for) operating activities | $ | (1,579 | ) | $ | (83,877 | ) | $ | 514,731 | $ | 15,288 | $ | 444,563 | |||||
Cash flows from investing activities: | |||||||||||||||||
Purchase of investments | — | — | (286 | ) | — | (286 | ) | ||||||||||
Sales and maturities of investments | — | — | 733 | — | 733 | ||||||||||||
Cash paid for acquisition of businesses, net | — | — | (10,200 | ) | — | (10,200 | ) | ||||||||||
Investment in unconsolidated affiliates | — | — | (1,255 | ) | — | (1,255 | ) | ||||||||||
Capital expenditures | — | — | (396,465 | ) | — | (396,465 | ) | ||||||||||
Proceeds from sales of assets and insurance claims | — | — | 21,605 | — | 21,605 | ||||||||||||
Changes in intercompany balances | — | 176,446 | (176,446 | ) | — | — | |||||||||||
Net cash provided by (used for) investing activities | — | 176,446 | (562,314 | ) | — | (385,868 | ) | ||||||||||
Cash flows from financing activities: | |||||||||||||||||
Increase (decrease) in cash overdrafts | — | — | (1,822 | ) | — | (1,822 | ) | ||||||||||
Proceeds from (payments for) issuance of common shares | 4,931 | — | — | — | 4,931 | ||||||||||||
Dividends to shareholders | (13,029 | ) | — | — | 1,136 | (11,893 | ) | ||||||||||
Proceeds from (payments for) commercial paper, net | — | (39,594 | ) | — | — | (39,594 | ) | ||||||||||
Proceeds from revolving credit facilities | — | — | 15,000 | — | 15,000 | ||||||||||||
Reduction in revolving credit facilities | — | (60,000 | ) | (7,500 | ) | — | (67,500 | ) | |||||||||
Proceeds from (payments for) issuance of parent common shares to affiliates | 16,424 | — | — | (16,424 | ) | — | |||||||||||
Other | (6,585 | ) | — | (5,000 | ) | — | (11,585 | ) | |||||||||
Net cash (used for) provided by financing activities | 1,741 | (99,594 | ) | 678 | (15,288 | ) | (112,463 | ) | |||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (9,266 | ) | — | (9,266 | ) | ||||||||||
Net increase (decrease) in cash and cash equivalents | 162 | (7,025 | ) | (56,171 | ) | — | (63,034 | ) | |||||||||
Cash and cash equivalents, beginning of period | 730 | 7,029 | 382,156 | — | 389,915 | ||||||||||||
Cash and cash equivalents, end of period | $ | 892 | $ | 4 | $ | 325,985 | $ | — | $ | 326,881 | |||||||
Nature_of_Operations_Details
Nature of Operations (Details) | 3 Months Ended |
Mar. 31, 2015 | |
item | |
Nature of Operations | |
Actively marketed rigs for land based drilling operations | 468 |
Actively marketed rigs for offshore based drilling operations | 42 |
Subtotal drilling and Rig Services | |
Nature of Operations | |
Number of operating segments | 4 |
Subtotal completion and Production Services | |
Nature of Operations | |
Number of operating segments | 2 |
Joint Venture in Saudi Arabia | |
Nature of Operations | |
Ownership percentage | 51.00% |
Number of rigs actively markets in joint venture | 5 |
Minimum | |
Nature of Operations | |
Number of countries company has actively marketed rigs for land based drilling operations | 20 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details 2) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Inventory | ||
Raw materials | $142,948 | $133,797 |
Work-in-progress | 30,996 | 39,617 |
Finished goods | 16,479 | 56,653 |
Total inventory | $190,423 | $230,067 |
Merger_Details
Merger (Details) (USD $) | 3 Months Ended | 0 Months Ended |
Share data in Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 24, 2015 |
Business Acquisition [Line Items] | ||
Cash consideration in merger | $693,450,000 | |
Gross gain on merger | 102,200,000 | |
Payments for Merger Related Costs | 49,600,000 | |
C&J Energy Services Ltd | ||
Business Acquisition [Line Items] | ||
Cash consideration in merger | 693,500,000 | |
Consideration of Merger in common shares of merged enity | 62.5 | |
Share holding percentage in merged entity | 53.00% | |
Fair value of investment in merger | 676,200,000 | |
Gross gain on merger | 102,200,000 | |
Payments for Merger Related Costs | $49,600,000 |
Cash_and_Cash_Equivalents_and_2
Cash and Cash Equivalents and Short-term Investments (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Cash and cash equivalents and short-term investments | ||
Cash and cash equivalents, fair value | $586,001 | $501,149 |
Available-for-sale debt securities: | ||
Total short-term investments | 35,170 | 35,020 |
Total cash, cash equivalents and short-term investments, fair value | 621,171 | 536,169 |
Total cash, cash equivalents and short-term investments, gross unrealized gains | 14,799 | 14,648 |
Total cash, cash equivalents and short-term investments, gross unrealized losses | -1 | -1 |
Available-for-sale equity securities | ||
Available-for-sale equities securities | ||
Available-for-sale equity securities, fair value | 35,152 | 35,002 |
Available-for-sale debt securities: | ||
Available-for-sale securities, gross unrealized holding gains | 14,799 | 14,648 |
Mortgage-CMO debt securities | ||
Available-for-sale debt securities: | ||
Total available-for-sale debt securities, fair value | 18 | 18 |
Available-for-sale securities, gross unrealized holding losses | -1 | -1 |
Total Short-term investments | ||
Available-for-sale debt securities: | ||
Total short-term investments | 35,170 | 35,020 |
Total short-term investments, gross unrealized gains | 14,799 | 14,648 |
Total short-term investments, gross unrealized holding losses | ($1) | ($1) |
Cash_and_Cash_Equivalents_and_3
Cash and Cash Equivalents and Short-term Investments (Details 4) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2014 |
Available-for-sale: | |
Proceeds from sales and maturities | $135 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value Measurements | ||
Amount of transfers of financial assets between Level 1 and Level 2 measures | $0 | |
Available-for-sale equity securities | ||
Assets: | ||
Short term investments: | 35,152 | 35,002 |
Recurring | ||
Assets: | ||
Total short-term investments | 35,170 | |
Recurring | Available-for-sale equity securities | ||
Assets: | ||
Short term investments: | 35,152 | |
Recurring | Mortgage-CMO debt securities | ||
Assets: | ||
Short term investments: | 18 | |
Recurring | Level 1 | ||
Assets: | ||
Total short-term investments | 35,152 | |
Recurring | Level 1 | Available-for-sale equity securities | ||
Assets: | ||
Short term investments: | 35,152 | |
Recurring | Level 2 | ||
Assets: | ||
Total short-term investments | 18 | |
Recurring | Level 2 | Mortgage-CMO debt securities | ||
Assets: | ||
Short term investments: | $18 |
Fair_Value_Measurements_Detail1
Fair Value Measurements (Details 2) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value of Financial Instruments | ||
Carrying Value | $3,825,456 | $4,355,049 |
Fair Value | 3,918,897 | 4,414,090 |
2.35% senior notes due September 2016 | ||
Fair Value of Financial Instruments | ||
Carrying Value | 349,904 | 349,887 |
Fair Value | 349,213 | 346,980 |
Interest rate on senior notes due (as a percent) | 2.35% | |
6.15% senior notes due February 2018 | ||
Fair Value of Financial Instruments | ||
Carrying Value | 931,000 | 930,693 |
Fair Value | 997,517 | 991,920 |
Interest rate on senior notes due (as a percent) | 6.15% | |
9.25% senior notes due January 2019 | ||
Fair Value of Financial Instruments | ||
Carrying Value | 339,607 | 339,607 |
Fair Value | 400,118 | 403,531 |
Interest rate on senior notes due (as a percent) | 9.25% | |
5.00% senior notes due September 2020 | ||
Fair Value of Financial Instruments | ||
Carrying Value | 698,329 | 698,253 |
Fair Value | 697,669 | 687,953 |
Interest rate on senior notes due (as a percent) | 5.00% | |
4.625% senior notes due September 2021 | ||
Fair Value of Financial Instruments | ||
Carrying Value | 698,448 | 698,388 |
Fair Value | 680,008 | 661,619 |
Interest rate on senior notes due (as a percent) | 4.63% | |
5.10% senior notes due September 2023 | ||
Fair Value of Financial Instruments | ||
Carrying Value | 348,925 | 348,893 |
Fair Value | 335,129 | 332,759 |
Interest rate on senior notes due (as a percent) | 5.10% | |
Revolving Credit Facility | ||
Fair Value of Financial Instruments | ||
Carrying Value | 200,000 | 450,000 |
Fair Value | 200,000 | 450,000 |
Commercial paper | ||
Fair Value of Financial Instruments | ||
Carrying Value | 250,504 | 533,119 |
Fair Value | 250,504 | 533,119 |
Other | ||
Fair Value of Financial Instruments | ||
Carrying Value | 8,739 | 6,209 |
Fair Value | $8,739 | $6,209 |
ShareBased_Compensation_Detail
Share-Based Compensation (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Share-based compensation disclosures | |||
Share Based Compensation expense | $13,900,000 | $10,700,000 | |
Liability related to awards | 118,586,000 | 177,707,000 | |
Restricted Stock Award | Employees and Director | |||
Share-based compensation disclosures | |||
Shares awarded during period | 1,514,934 | 1,106,919 | |
Aggregate value of restricted stock awards at date of grant | 19,300,000 | 25,200,000 | |
Fair value awards vested | 15,700,000 | 16,500,000 | |
Restricted Stock Award | Maximum | Employees and Director | |||
Share-based compensation disclosures | |||
Vesting period of shares | 4 years | ||
Restricted Stock Based on Performance Conditions | |||
Share-based compensation disclosures | |||
Fair value awards vested | 6,800,000 | 5,900,000 | |
Restricted Stock Based on Performance Conditions | Executives | |||
Share-based compensation disclosures | |||
Shares awarded during period | 438,307 | 362,311 | |
Vesting period of shares | 3 years | ||
Liability related to awards | 600,000 | ||
Restricted Stock Based on Market Conditions | |||
Assumptions used to value grant date fair value | |||
Risk free interest rate (as a percent | 1.18% | 0.80% | |
Expected volatility (as a percent) | 50.00% | 40.00% | |
Closing stock price at grant date (in dollars per share) | $12.98 | $18.19 | |
Expected term (in years) | 3 years | 2 years 11 months 19 days | |
Restricted Stock Based on Market Conditions | Executives | |||
Share-based compensation disclosures | |||
Shares awarded during period | 544,925 | 395,550 | |
Vesting period of shares | 3 years | ||
Aggregate value of restricted stock awards at date of grant | 4,700,000 | 4,500,000 | |
Stock options | Employees and Director | |||
Share-based compensation disclosures | |||
Total intrinsic value of stock options exercised | 100,000 | 6,000,000 | |
Total fair value of option vested during the period | $1,500,000 | $1,500,000 |
Debt_Details
Debt (Details) (USD $) | 0 Months Ended | 3 Months Ended | 1 Months Ended | ||
Mar. 27, 2015 | Feb. 06, 2015 | Mar. 31, 2015 | Jan. 31, 2015 | Dec. 31, 2014 | |
Long-term debt | |||||
Long-term Debt | $3,825,456,000 | $4,355,049,000 | |||
Other | 8,739,000 | 6,209,000 | |||
Less: Current portion | 8,739,000 | 6,190,000 | |||
Long-term debt | 3,816,717,000 | 4,348,859,000 | |||
Unsecured term loan facility | 300,000,000 | ||||
Unsecured debt maturity period | 3 years | ||||
Prepayment of loan upon closing the merger | 70,000,000 | ||||
Payment of debt principal | 300,000,000 | 300,000,000 | |||
2.35% senior notes due September 2016 | |||||
Long-term debt | |||||
Senior Notes | 349,904,000 | 349,887,000 | |||
Interest rate on senior notes due (as a percent) | 2.35% | ||||
6.15% senior notes due February 2018 | |||||
Long-term debt | |||||
Senior Notes | 931,000,000 | 930,693,000 | |||
Interest rate on senior notes due (as a percent) | 6.15% | ||||
9.25% senior notes due January 2019 | |||||
Long-term debt | |||||
Senior Notes | 339,607,000 | 339,607,000 | |||
Interest rate on senior notes due (as a percent) | 9.25% | ||||
5.00% senior notes due September 2020 | |||||
Long-term debt | |||||
Senior Notes | 698,329,000 | 698,253,000 | |||
Interest rate on senior notes due (as a percent) | 5.00% | ||||
4.625% senior notes due September 2021 | |||||
Long-term debt | |||||
Senior Notes | 698,448,000 | 698,388,000 | |||
Interest rate on senior notes due (as a percent) | 4.63% | ||||
5.10% senior notes due September 2023 | |||||
Long-term debt | |||||
Senior Notes | 348,925,000 | 348,893,000 | |||
Interest rate on senior notes due (as a percent) | 5.10% | ||||
Commercial paper | |||||
Long-term debt | |||||
Long-term Debt | 250,504,000 | 533,119,000 | |||
Aggregate amount of senior notes | 250,500,000 | ||||
Weighted average interest rate on revolving credit facilities (as a percent) | 0.66% | ||||
Commercial paper | Minimum | |||||
Long-term debt | |||||
Remaining period to maturity | 1 year | ||||
Revolving Credit Facility | |||||
Long-term debt | |||||
Revolving credit facility | 200,000,000 | 450,000,000 | |||
Weighted average interest rate on revolving credit facilities (as a percent) | 1.47% | ||||
Increase in borrowing capacity | 225,000,000 | ||||
Maximum borrowing capacity | $1,725,000,000 |
Common_Shares_Details
Common Shares (Details) (USD $) | 0 Months Ended | 3 Months Ended | |
Share data in Millions, except Per Share data, unless otherwise specified | Feb. 20, 2015 | Mar. 31, 2015 | Mar. 31, 2014 |
Common shares | |||
Issuance of common shares for stock options exercised (in shares) | 0.02 | 0.5 | |
Proceeds from stock options exercised | $200,000 | $4,900,000 | |
Common shares withheld by company | 0.6 | 0.3 | |
Common shares fair value | 7,100,000 | 6,600,000 | |
Common stock dividend declared (in dollars per share) | $0.06 | ||
Cash dividends paid | $17,470,000 | $11,893,000 |
Subsidiary_Preferred_Stock_Det
Subsidiary Preferred Stock (Details) (Series A Preferred Stock, USD $) | 12 Months Ended |
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 |
Series A Preferred Stock | |
Subsidiary preferred stock | |
Cash paid for redemption of preferred stock | $70.90 |
Subsidiary preferred stock, shares outstanding | 75,000 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Self-Insurance disclosures | |
Employer's liability claims subject to per-occurrence deductible | $3 |
Workers automobile claims | 2.5 |
General liability claims subject to per-occurrence deductible | 5 |
Deductions in land rigs and for offshore rigs | 5 |
Mexico | Minimum | |
Income tax | |
Aggregate remaining amounts assessed or expected to assessed range | 30 |
Mexico | Maximum | |
Income tax | |
Aggregate remaining amounts assessed or expected to assessed range | $35 |
Commitments_and_Contingencies_2
Commitments and Contingencies (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2015 | Dec. 31, 2009 | Mar. 31, 2011 | Dec. 31, 2006 | Mar. 19, 2012 | |
Commitments and Contingencies, Disclosure | |||||
Litigation amount as per judgment | $4,425,000 | ||||
Litigation settlement fine (as percent) | 50.00% | ||||
Court of Ouargla Customs Infringement | |||||
Commitments and Contingencies, Disclosure | |||||
Litigation amount as per judgment | 14,700,000 | ||||
Amount paid to customs authority | 3,100,000 | ||||
Posted security paid | 1,330,000 | ||||
Court of Ouargla Customs Infringement | Maximum | |||||
Commitments and Contingencies, Disclosure | |||||
Potential judgment in excess of accrual | 10,300,000 | ||||
Court of Ouargla Foreign Currency Controls | |||||
Commitments and Contingencies, Disclosure | |||||
Litigation amount as per judgment | 29,000,000 | ||||
Payment of contract amount in foreign currency | 7,500,000 | ||||
Payment of contract amount in domestic currency | 3,200,000 | ||||
Approximate multiplier of the amount at issue for fines and penalties | 4 | ||||
Court of Ouargla Foreign Currency Controls | Maximum | |||||
Commitments and Contingencies, Disclosure | |||||
Potential judgment in excess of accrual | 21,000,000 | ||||
NGH2L | |||||
Commitments and Contingencies, Disclosure | |||||
Escrow Deposit | 3,000,000 | ||||
NGH2L | Maximum | |||||
Commitments and Contingencies, Disclosure | |||||
Monetary damages sought based on alleged breach of contract by NGH2L and alleged tortious interference with contractual relations by Parex | $750,000,000 |
Commitments_and_Contingencies_3
Commitments and Contingencies (Details 3) (USD $) | Mar. 31, 2015 |
In Thousands, unless otherwise specified | |
Summary of total maximum amount of financial guarantees issued | |
Remainder of 2015 | $128,843 |
2016 | 73,528 |
2017 | 19 |
Thereafter | 1 |
Total | $202,391 |
Earnings_Losses_Per_Share_Deta
Earnings (Losses) Per Share (Details) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net income (loss) (numerator): | ||
Income (loss) from continuing operations, net of tax | $124,362 | $48,977 |
Less: Net (income) loss attributable to noncontrolling interest | 89 | -573 |
Less: (earnings) losses allocated to unvested shareholders | -2,031 | -733 |
Adjusted income (loss) from continuing operations | 122,420 | 47,671 |
Income (loss) from discontinued operations | -817 | 1,515 |
Weighted-average number of shares outstanding - basic | 285,361 | 296,210 |
Earnings (Losses) Per Share - Basic | ||
Basic from continuing operations (in dollars per share) | $0.43 | $0.16 |
Basic from discontinued operations (in dollars per share) | $0.01 | |
Total Basic (in dollars per share) | $0.43 | $0.17 |
DILUTED EPS: | ||
Income (loss) from continuing operations attributed to common shareholders | 122,420 | 47,671 |
Add: effect of reallocating undistributed earnings of unvested shareholders | 5 | |
Adjusted income (loss) from continuing operations attributed to common shareholders | 122,425 | 47,671 |
Income (loss) from discontinued operations | ($817) | $1,515 |
Weighted-average number of shares outstanding - basic | 285,361 | 296,210 |
Add: dilutive effect of potential common shares | 812 | 2,840 |
Weighted-average number of diluted shares outstanding | 286,173 | 299,050 |
Earnings (Losses) Per Share -Diluted | ||
Diluted from continuing operations (in dollars per share) | $0.43 | $0.16 |
Diluted from discontinued operations (in dollars per share) | ($0.01) | |
Total Diluted (in dollars per share) | $0.42 | $0.16 |
Earnings_Losses_Per_Share_Deta1
Earnings (Losses) Per Share (Details 2) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Earnings (Losses) Per Share | ||
Average number of options and warrants excluded from diluted earnings (losses) per share (in shares) | 6,621,688 | 7,853,509 |
Supplemental_Balance_Sheet_Inc2
Supplemental Balance Sheet, Income Statement and Cash Flow Information (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Accrued liabilities | ||
Accrued compensation | $118,586 | $177,707 |
Deferred revenue | 318,890 | 298,345 |
Other taxes payable | 19,443 | 58,445 |
Workers' compensation liabilities | 37,459 | 37,459 |
Interest payable | 17,806 | 63,532 |
Warranty accrual | 5,805 | 5,799 |
Litigation reserves | 24,657 | 23,681 |
Current liability to discontinued operations | 8,354 | 19,602 |
Professional fees | 2,521 | 2,550 |
Current deferred tax liability | 3,677 | 3,677 |
Current liability to acquisition of KVS | 22,278 | 22,278 |
Merger transaction accrual | 77,696 | |
Other accrued liabilities | 12,640 | 14,929 |
Accrued liabilities | $669,812 | $728,004 |
Supplemental_Balance_Sheet_Inc3
Supplemental Balance Sheet, Income Statement and Cash Flow Information (Details 2) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Investment income (loss) | ||
Interest and dividend income | $534 | $970 |
Gains (losses) on investments, net | 435 | 10 |
Investment income (loss) | $969 | $980 |
Supplemental_Balance_Sheet_Inc4
Supplemental Balance Sheet, Income Statement and Cash Flow Information (Details 3) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Supplemental Balance Sheet, Income Statement and Cash Flow Information | ||
Losses (gains) on sales, disposals and involuntary conversions | $3,474,000 | $2,432,000 |
Net gain on merger(1) | 52,574,000 | |
Litigation expenses | -4,077,000 | 3,060,000 |
Foreign currency transaction losses (gains) | -2,345,000 | -3,293,000 |
Other losses (gains) | -320,000 | -723,000 |
Losses (gains) on sales and retirements of long-lived assets and other expense (income), net | -55,842,000 | 1,476,000 |
Gross gain on merger | 102,200,000 | |
Merger transaction expenses | 49,600,000 | |
Accumulated other comprehensive income (loss) | ||
Balance at the beginning of the period | 77,522,000 | 216,140,000 |
Other comprehensive income (loss) before reclassifications, net of tax | -68,386,000 | -55,842,000 |
Amount reclassified from accumulated other comprehensive income (loss) (1) | 5,632,000 | 168,000 |
Other comprehensive income (loss), net of tax | -62,754,000 | -55,674,000 |
Balance at the end of the period | 14,768,000 | 160,466,000 |
Gains (losses) on cash flow hedges | ||
Accumulated other comprehensive income (loss) | ||
Balance at the beginning of the period | -2,044,000 | -2,419,000 |
Amount reclassified from accumulated other comprehensive income (loss) (1) | 93,000 | 93,000 |
Other comprehensive income (loss), net of tax | 93,000 | 93,000 |
Balance at the end of the period | -1,951,000 | -2,326,000 |
Unrealized gains (losses) on available-for-sale securities | ||
Accumulated other comprehensive income (loss) | ||
Balance at the beginning of the period | 14,996,000 | 71,742,000 |
Other comprehensive income (loss) before reclassifications, net of tax | 153,000 | -19,248,000 |
Other comprehensive income (loss), net of tax | 153,000 | -19,248,000 |
Balance at the end of the period | 15,149,000 | 52,494,000 |
Defined benefit pension plan items | ||
Accumulated other comprehensive income (loss) | ||
Balance at the beginning of the period | -7,263,000 | -4,075,000 |
Amount reclassified from accumulated other comprehensive income (loss) (1) | 174,000 | 75,000 |
Other comprehensive income (loss), net of tax | 174,000 | 75,000 |
Balance at the end of the period | -7,089,000 | -4,000,000 |
Foreign currency items | ||
Accumulated other comprehensive income (loss) | ||
Balance at the beginning of the period | 71,833,000 | 150,892,000 |
Other comprehensive income (loss) before reclassifications, net of tax | -68,539,000 | -36,594,000 |
Amount reclassified from accumulated other comprehensive income (loss) (1) | 5,365,000 | |
Other comprehensive income (loss), net of tax | -63,174,000 | -36,594,000 |
Balance at the end of the period | $8,659,000 | $114,298,000 |
Supplemental_Balance_Sheet_Inc5
Supplemental Balance Sheet, Income Statement and Cash Flow Information (Details 4) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Unrealized (gains) losses on available-for-sale securities that were reclassified from net income | ||
Investment income (loss) | $969 | $980 |
Interest expense | 46,601 | 44,810 |
General and administrative expenses | 127,133 | 134,266 |
Income (loss) from continuing operations before income tax | 103,657 | 63,735 |
Tax expense (benefit) | 20,705 | -14,008 |
Net income (loss) attributable to Nabors | 123,634 | 49,919 |
Unrealized gains (losses) on available-for-sale securities | Reclassification adjustment for (gains)/losses included in net income (loss) | ||
Unrealized (gains) losses on available-for-sale securities that were reclassified from net income | ||
Interest expense | 153 | 153 |
General and administrative expenses | 276 | 123 |
Losses (gains) on sales and disposals of long- lived assets and other expense (income), net | -5,365 | |
Income (loss) from continuing operations before income tax | -5,794 | -276 |
Tax expense (benefit) | -162 | -108 |
Net income (loss) attributable to Nabors | ($5,632) | ($168) |
Assets_HeldforSale_and_Discont2
Assets Held-for-Sale and Discontinued Operations (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Assets held-for-sale | ||
Assets held for sale | $134,709 | $146,467 |
Oil and Gas | ||
Assets held-for-sale | ||
Assets held for sale | $134,700 | $146,500 |
Assets_HeldforSale_and_Discont3
Assets Held-for-Sale and Discontinued Operations (Details 2) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Discontinued operations | |||
Undiscounted contractual commitments | $65,300,000 | ||
Liability related to discontinued operation | 25,900,000 | 40,200,000 | |
Current liability to discontinued operations | 8,354,000 | 19,602,000 | |
Income (loss) from discontinued operations | |||
Income (loss) from discontinued operations, net of tax | -817,000 | 1,515,000 | |
Oil and Gas | |||
Operating revenues | |||
Operating revenues | 1,450,000 | 5,057,000 | |
Income (loss) from discontinued operations | |||
Income (loss) from discontinued operations | -1,386,000 | 2,618,000 | |
Less: Impairment charges or other (gains) and losses on sale of wholly owned assets and obligations | 1,002,000 | ||
Less: Income tax expense (benefit) | -569,000 | 101,000 | |
Income (loss) from discontinued operations, net of tax | ($817,000) | $1,515,000 |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | $1,421,209,000 | $1,587,173,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | 93,447,000 | 109,041,000 | |
Interest expense | -46,601,000 | -44,810,000 | |
Investment income (loss) | 969,000 | 980,000 | |
Gains (losses) on sales and disposals of long-lived assets and other income (expense), net | 55,842,000 | -1,476,000 | |
Income (loss) from continuing operations before income tax | 103,657,000 | 63,735,000 | |
Income tax expense (benefit) | -20,705,000 | 14,008,000 | |
Subsidiary preferred stock dividend | 750,000 | ||
Income (loss) from continuing operations, net of tax | 124,362,000 | 48,977,000 | |
Income (loss) from discontinued operations, net of tax | -817,000 | 1,515,000 | |
Net income (loss) | 123,545,000 | 50,492,000 | |
Less: Net (income) loss attributable to noncontrolling interest | 89,000 | -573,000 | |
Net income (loss) attributable to Nabors | 123,634,000 | 49,919,000 | |
ASSETS | |||
Total assets | 10,604,598,000 | 11,879,942,000 | |
Equity in earnings (losses) from unconsolidated affiliates, net | 5,737,000 | -2,445,000 | |
Subtotal drilling and Rig Services | |||
ASSETS | |||
Number of operating segments | 4 | ||
Operating segment | Subtotal drilling and Rig Services | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | 1,101,145,000 | 1,140,892,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | 201,310,000 | 155,501,000 | |
ASSETS | |||
Total assets | 9,154,393,000 | 9,164,796,000 | |
Equity in earnings (losses) from unconsolidated affiliates, net | 6,200,000 | -2,500,000 | |
Investments in unconsolidated affiliates accounted for using equity method | 54,400,000 | 48,100,000 | |
Operating segment | Subtotal drilling and Rig Services | Reportable subsegments | U.S. | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | 453,821,000 | 510,476,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | 77,038,000 | 72,494,000 | |
ASSETS | |||
Total assets | 4,146,988,000 | 4,184,854,000 | |
Operating segment | Subtotal drilling and Rig Services | Reportable subsegments | Canada | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | 57,840,000 | 111,621,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | 6,358,000 | 26,160,000 | |
ASSETS | |||
Total assets | 593,436,000 | 615,269,000 | |
Operating segment | Subtotal drilling and Rig Services | Reportable subsegments | International | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | 445,400,000 | 375,069,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | 105,041,000 | 48,119,000 | |
ASSETS | |||
Total assets | 3,901,424,000 | 3,815,051,000 | |
Operating segment | Subtotal drilling and Rig Services | Reportable subsegments | Rig Services | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | 144,084,000 | 143,726,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | 12,873,000 | 8,728,000 | |
ASSETS | |||
Total assets | 512,545,000 | 549,622,000 | |
Operating segment | Completion and Production Services | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | 366,635,000 | 503,299,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | -58,539,000 | -3,044,000 | |
ASSETS | |||
Total assets | 1,933,387,000 | ||
Equity in earnings (losses) from unconsolidated affiliates, net | 300,000 | 100,000 | |
Investments in unconsolidated affiliates accounted for using equity method | 10,200,000 | ||
Operating segment | Completion and Production Services | Reportable subsegments | Completion Services | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | 208,123,000 | 227,899,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | -55,243,000 | -33,635,000 | |
Operating segment | Completion and Production Services | Reportable subsegments | Production Services | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | 158,512,000 | 275,400,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | -3,296,000 | 30,591,000 | |
Other reconciling items | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | |||
Operating revenues and Earnings (losses) from unconsolidated affiliates: | -46,571,000 | -57,018,000 | |
Adjusted income (loss) derived from operating activities | |||
Adjusted income (loss) derived from operating activities | -49,324,000 | -43,416,000 | |
ASSETS | |||
Total assets | 1,450,205,000 | 781,759,000 | |
Investments in unconsolidated affiliates accounted for using equity method | $676,100,000 |
Condensed_Consolidating_Financ2
Condensed Consolidating Financial Information (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||||
Current assets: | ||||
Cash and cash equivalents | $586,001 | $501,149 | $326,881 | $389,915 |
Short-term investments | 35,170 | 35,020 | ||
Assets held for sale | 134,709 | 146,467 | ||
Accounts receivable, net | 971,601 | 1,517,503 | ||
Inventory | 190,423 | 230,067 | ||
Deferred income taxes | 91,050 | 118,230 | ||
Other current assets | 161,378 | 193,438 | ||
Total current assets | 2,170,332 | 2,741,874 | ||
Long-term investments | 2,627 | 2,806 | ||
Property, plant and equipment, net | 7,333,808 | 8,599,125 | ||
Goodwill | 80,947 | 173,928 | ||
Investment in unconsolidated affiliates | 730,487 | 58,251 | ||
Other long-term assets | 286,397 | 303,958 | ||
Total assets | 10,604,598 | 11,879,942 | ||
Current liabilities: | ||||
Current portion of debt | 8,739 | 6,190 | ||
Trade accounts payable | 403,038 | 780,060 | ||
Accrued liabilities | 669,812 | 728,004 | ||
Income taxes payable | 75,007 | 53,221 | ||
Total current liabilities | 1,156,596 | 1,567,475 | ||
Long-term debt | 3,816,717 | 4,348,859 | ||
Other long-term liabilities | 604,526 | 601,816 | ||
Deferred income taxes | 58,997 | 443,003 | ||
Total liabilities | 5,636,836 | 6,961,153 | ||
Shareholders' equity | 4,958,813 | 4,908,619 | ||
Noncontrolling interest | 8,949 | 10,170 | ||
Total equity | 4,967,762 | 4,918,789 | 5,971,269 | 5,981,177 |
Total liabilities and equity | 10,604,598 | 11,879,942 | ||
Nabors (Parent/Guarantor) | ||||
Current assets: | ||||
Cash and cash equivalents | 4,370 | 1,170 | 892 | 730 |
Other current assets | 50 | 50 | ||
Total current assets | 4,420 | |||
Current liabilities: | ||||
Trade accounts payable | 117 | 111 | ||
Accrued liabilities | 17,004 | 263 | ||
Total current liabilities | 17,121 | |||
Nabors Delaware (Issuer) | ||||
Condensed Consolidating Financial Information | ||||
Ownership percentage | 100.00% | |||
Current assets: | ||||
Cash and cash equivalents | 18 | 7 | 4 | 7,029 |
Other current assets | 18,394 | 5,242 | ||
Total current assets | 18,412 | |||
Property, plant and equipment, net | 30,330 | |||
Intercompany receivables | 150,058 | |||
Other long-term assets | 29,578 | 30,298 | ||
Current liabilities: | ||||
Trade accounts payable | 5 | 2 | ||
Accrued liabilities | 18,202 | 64,390 | ||
Total current liabilities | 18,207 | |||
Long-term debt | 3,857,176 | 4,389,299 | ||
Other long-term liabilities | 35,487 | 35,480 | ||
Deferred income taxes | -313,447 | -294,655 | ||
Other Subsidiaries (Non-Guarantors) | ||||
Current assets: | ||||
Cash and cash equivalents | 581,613 | 499,972 | 325,985 | 382,156 |
Short-term investments | 35,170 | 35,020 | ||
Assets held for sale | 134,709 | 146,467 | ||
Accounts receivable, net | 971,601 | 1,517,503 | ||
Inventory | 190,423 | 230,067 | ||
Deferred income taxes | 91,050 | 118,230 | ||
Other current assets | 142,934 | 188,146 | ||
Total current assets | 2,147,500 | |||
Long-term investments | 2,627 | 2,806 | ||
Property, plant and equipment, net | 7,333,808 | 8,568,795 | ||
Goodwill | 80,947 | 173,928 | ||
Investment in unconsolidated affiliates | 730,487 | |||
Other long-term assets | 256,819 | 273,660 | ||
Current liabilities: | ||||
Current portion of debt | 8,739 | 6,190 | ||
Trade accounts payable | 402,916 | 779,947 | ||
Accrued liabilities | 634,606 | 663,351 | ||
Income taxes payable | 75,007 | 53,221 | ||
Total current liabilities | 1,121,268 | |||
Long-term debt | -40,459 | -40,440 | ||
Other long-term liabilities | 569,039 | 566,336 | ||
Deferred income taxes | 372,444 | 737,658 | ||
Noncontrolling interest | 8,949 | 10,170 | ||
Reportable Legal Entities | Nabors (Parent/Guarantor) | ||||
Current assets: | ||||
Total current assets | 1,220 | |||
Intercompany receivables | 136,729 | 136,360 | ||
Investment in consolidated affiliates | 4,848,785 | |||
Investment in unconsolidated affiliates | 4,771,413 | |||
Total assets | 4,989,934 | 4,908,993 | ||
Current liabilities: | ||||
Total current liabilities | 374 | |||
Intercompany payable | 14,000 | |||
Total liabilities | 31,121 | 374 | ||
Shareholders' equity | 4,958,813 | 4,908,619 | ||
Total equity | 4,958,813 | 4,908,619 | ||
Total liabilities and equity | 4,989,934 | 4,908,993 | ||
Reportable Legal Entities | Nabors Delaware (Issuer) | ||||
Current assets: | ||||
Short-term intercompany note | 880,820 | |||
Total current assets | 886,069 | |||
Investment in consolidated affiliates | 4,968,528 | |||
Investment in unconsolidated affiliates | 5,014,743 | |||
Total assets | 5,166,576 | 5,961,440 | ||
Current liabilities: | ||||
Total current liabilities | 64,392 | |||
Intercompany payable | 1,303,231 | 1,422,882 | ||
Total liabilities | 4,900,654 | 5,617,398 | ||
Shareholders' equity | 265,922 | 344,042 | ||
Total equity | 265,922 | 344,042 | ||
Total liabilities and equity | 5,166,576 | 5,961,440 | ||
Reportable Legal Entities | Other Subsidiaries (Non-Guarantors) | ||||
Current assets: | ||||
Total current assets | 2,735,405 | |||
Intercompany receivables | 1,030,444 | 1,286,522 | ||
Investment in consolidated affiliates | 1,370,331 | |||
Investment in unconsolidated affiliates | 1,506,939 | |||
Total assets | 12,952,963 | 14,548,055 | ||
Current liabilities: | ||||
Short-term intercompany note | 880,820 | |||
Total current liabilities | 2,383,529 | |||
Total liabilities | 2,022,292 | 3,647,083 | ||
Shareholders' equity | 10,921,722 | 10,890,802 | ||
Total equity | 10,930,671 | 10,900,972 | ||
Total liabilities and equity | 12,952,963 | 14,548,055 | ||
Consolidating Adjustments | ||||
Current assets: | ||||
Short-term intercompany note | -880,820 | |||
Total current assets | -880,820 | |||
Intercompany receivables | -1,317,231 | -1,422,882 | ||
Investment in consolidated affiliates | -11,187,644 | |||
Investment in unconsolidated affiliates | -11,234,844 | |||
Total assets | -12,504,875 | -13,538,546 | ||
Current liabilities: | ||||
Short-term intercompany note | -880,820 | |||
Total current liabilities | -880,820 | |||
Intercompany payable | -1,317,231 | -1,422,882 | ||
Total liabilities | -1,317,231 | -2,303,702 | ||
Shareholders' equity | -11,187,644 | -11,234,844 | ||
Total equity | -11,187,644 | -11,234,844 | ||
Total liabilities and equity | ($12,504,875) | ($13,538,546) |
Condensed_Consolidating_Financ3
Condensed Consolidating Financial Information (Details 2) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenues and other income: | ||
Operating revenues | $1,414,707 | $1,589,618 |
Earnings from unconsolidated affiliates | 6,502 | -2,445 |
Investment income (loss) | 969 | 980 |
Total revenues and other income | 1,422,178 | 1,588,153 |
Costs and other deductions: | ||
Direct costs | 919,610 | 1,061,739 |
General and administrative expenses | 127,133 | 134,266 |
Depreciation and amortization | 281,019 | 282,127 |
Interest expense | 46,601 | 44,810 |
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | -55,842 | 1,476 |
Total costs and other deductions | 1,318,521 | 1,524,418 |
Income (loss) from continuing operations before income tax | 103,657 | 63,735 |
Income tax expense (benefit) | -20,705 | 14,008 |
Subsidiary preferred stock dividend | 750 | |
Income (loss) from continuing operations, net of tax | 124,362 | 48,977 |
Income (loss) from discontinued operations, net of tax | -817 | 1,515 |
Net income (loss) | 123,545 | 50,492 |
Less: Net (income) loss attributable to noncontrolling interest | 89 | -573 |
Net income (loss) attributable to Nabors | 123,634 | 49,919 |
Nabors (Parent/Guarantor) | ||
Costs and other deductions: | ||
Intercompany interest expense | 62 | |
Total costs and other deductions | 2,664 | |
Nabors Delaware (Issuer) | ||
Costs and other deductions: | ||
Depreciation and amortization | 612 | 902 |
Interest expense | 52,264 | 49,369 |
Total costs and other deductions | 49,729 | |
Income tax expense (benefit) | -18,792 | -18,400 |
Other Subsidiaries (Non-Guarantors) | ||
Revenues and other income: | ||
Operating revenues | 1,414,707 | 1,589,618 |
Earnings from unconsolidated affiliates | 6,502 | -2,445 |
Costs and other deductions: | ||
Direct costs | 919,610 | 1,061,739 |
Depreciation and amortization | 280,407 | 281,225 |
Interest expense | -5,663 | -4,559 |
Intercompany interest expense | -62 | |
Total costs and other deductions | 1,472,025 | |
Income tax expense (benefit) | -1,913 | 32,408 |
Subsidiary preferred stock dividend | 750 | |
Income (loss) from discontinued operations, net of tax | -817 | 1,515 |
Less: Net (income) loss attributable to noncontrolling interest | 89 | -573 |
Reportable Legal Entities | ||
Revenues and other income: | ||
Investment income (loss) | 969 | |
Total revenues and other income | 1,422,178 | |
Costs and other deductions: | ||
General and administrative expenses | 127,133 | |
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | -55,842 | |
Total costs and other deductions | 1,318,521 | |
Income (loss) from continuing operations before income tax | 103,657 | |
Income (loss) from continuing operations, net of tax | 124,362 | |
Net income (loss) | 123,545 | |
Less: Net (income) loss attributable to noncontrolling interest | 89 | |
Net income (loss) attributable to Nabors | 123,634 | |
Reportable Legal Entities | Nabors (Parent/Guarantor) | ||
Revenues and other income: | ||
Earnings (losses) from consolidated affiliates | 138,037 | 52,583 |
Total revenues and other income | 138,037 | 52,583 |
Costs and other deductions: | ||
General and administrative expenses | 2,719 | 2,453 |
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | 11,684 | 149 |
Total costs and other deductions | 14,403 | |
Income (loss) from continuing operations before income tax | 123,634 | 49,919 |
Income (loss) from continuing operations, net of tax | 123,634 | 49,919 |
Net income (loss) | 123,634 | 49,919 |
Net income (loss) attributable to Nabors | 123,634 | 49,919 |
Reportable Legal Entities | Nabors Delaware (Issuer) | ||
Revenues and other income: | ||
Earnings (losses) from consolidated affiliates | -46,440 | -8,760 |
Investment income (loss) | 5 | |
Intercompany interest income | 2,439 | |
Total revenues and other income | -43,996 | -8,760 |
Costs and other deductions: | ||
General and administrative expenses | 358 | -319 |
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | -223 | |
Total costs and other deductions | 53,234 | |
Income (loss) from continuing operations before income tax | -97,230 | -58,489 |
Income (loss) from continuing operations, net of tax | -78,438 | -40,089 |
Net income (loss) | -78,438 | -40,089 |
Net income (loss) attributable to Nabors | -78,438 | -40,089 |
Reportable Legal Entities | Other Subsidiaries (Non-Guarantors) | ||
Revenues and other income: | ||
Earnings (losses) from consolidated affiliates | -78,438 | -40,089 |
Investment income (loss) | 3,291 | 2,116 |
Total revenues and other income | 1,346,062 | 1,549,200 |
Costs and other deductions: | ||
General and administrative expenses | 124,200 | 132,281 |
Intercompany interest expense | 2,439 | |
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | -67,670 | 1,401 |
Total costs and other deductions | 1,253,323 | |
Income (loss) from continuing operations before income tax | 92,739 | 77,175 |
Income (loss) from continuing operations, net of tax | 94,652 | 44,017 |
Net income (loss) | 93,835 | 45,532 |
Less: Net (income) loss attributable to noncontrolling interest | 89 | |
Net income (loss) attributable to Nabors | 93,924 | 44,959 |
Consolidating Adjustments | ||
Revenues and other income: | ||
Earnings (losses) from consolidated affiliates | -13,159 | -3,734 |
Investment income (loss) | -2,327 | -1,136 |
Intercompany interest income | -2,439 | |
Total revenues and other income | -17,925 | -4,870 |
Costs and other deductions: | ||
General and administrative expenses | -144 | -149 |
Intercompany interest expense | -2,439 | |
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net | 144 | 149 |
Total costs and other deductions | -2,439 | |
Income (loss) from continuing operations before income tax | -15,486 | -4,870 |
Income (loss) from continuing operations, net of tax | -15,486 | -4,870 |
Net income (loss) | -15,486 | -4,870 |
Net income (loss) attributable to Nabors | ($15,486) | ($4,870) |
Condensed_Consolidating_Financ4
Condensed Consolidating Financial Information (Details 3) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statements of Other Comprehensive Income | ||
Net income (loss) attributable to Nabors | $123,634 | $49,919 |
Other comprehensive income (loss), before tax: | ||
Unrealized loss on translation adjustment | -68,539 | -36,594 |
Less: reclassification adjustment for realized loss on translation adjustment | 5,365 | |
Translation adjustment attributable to Nabors | -63,174 | -36,594 |
Unrealized gains/(losses) on marketable securities: | ||
Unrealized gains/(losses) on marketable securities | -19,208 | |
Unrealized gains/(losses) on marketable securities | 153 | -19,208 |
Pension liability amortization and adjustment | 276 | 123 |
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 |
Other comprehensive income (loss), before tax | -62,592 | -55,526 |
Income tax expense (benefit) related to items of other comprehensive income (loss) | 162 | 148 |
Other comprehensive income (loss), net of tax | -62,754 | -55,674 |
Comprehensive income (loss) attributable to Nabors | 60,880 | -5,755 |
Net income (loss) attributable to noncontrolling interest | -89 | 573 |
Translation adjustment attributable to noncontrolling interest | 880 | 481 |
Comprehensive income (loss) attributable to noncontrolling interest | -969 | 92 |
Comprehensive income (loss) | 59,911 | -5,663 |
Other Subsidiaries (Non-Guarantors) | ||
Unrealized gains/(losses) on marketable securities: | ||
Net income (loss) attributable to noncontrolling interest | -89 | 573 |
Translation adjustment attributable to noncontrolling interest | 481 | |
Comprehensive income (loss) attributable to noncontrolling interest | 92 | |
Reportable Legal Entities | ||
Statements of Other Comprehensive Income | ||
Net income (loss) attributable to Nabors | 123,634 | |
Other comprehensive income (loss), before tax: | ||
Unrealized loss on translation adjustment | -68,539 | |
Less: reclassification adjustment for realized loss on translation adjustment | 5,365 | |
Translation adjustment attributable to Nabors | -63,174 | |
Unrealized gains/(losses) on marketable securities: | ||
Unrealized gains/(losses) on marketable securities | 153 | |
Pension liability amortization and adjustment | 276 | |
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | |
Other comprehensive income (loss), before tax | -62,592 | |
Income tax expense (benefit) related to items of other comprehensive income (loss) | 162 | |
Other comprehensive income (loss), net of tax | -62,754 | |
Comprehensive income (loss) attributable to Nabors | 60,880 | |
Net income (loss) attributable to noncontrolling interest | -89 | |
Translation adjustment attributable to noncontrolling interest | 880 | |
Comprehensive income (loss) attributable to noncontrolling interest | -969 | |
Comprehensive income (loss) | 59,911 | |
Reportable Legal Entities | Nabors (Parent/Guarantor) | ||
Statements of Other Comprehensive Income | ||
Net income (loss) attributable to Nabors | 123,634 | 49,919 |
Other comprehensive income (loss), before tax: | ||
Unrealized loss on translation adjustment | -68,539 | |
Less: reclassification adjustment for realized loss on translation adjustment | 5,365 | |
Translation adjustment attributable to Nabors | -63,174 | -36,594 |
Unrealized gains/(losses) on marketable securities: | ||
Unrealized gains/(losses) on marketable securities | -19,208 | |
Unrealized gains/(losses) on marketable securities | 153 | -19,208 |
Pension liability amortization and adjustment | 276 | 123 |
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 |
Other comprehensive income (loss), before tax | -62,592 | -55,526 |
Income tax expense (benefit) related to items of other comprehensive income (loss) | 162 | 148 |
Other comprehensive income (loss), net of tax | -62,754 | -55,674 |
Comprehensive income (loss) attributable to Nabors | 60,880 | -5,755 |
Comprehensive income (loss) | 60,880 | -5,755 |
Reportable Legal Entities | Nabors Delaware (Issuer) | ||
Statements of Other Comprehensive Income | ||
Net income (loss) attributable to Nabors | -78,438 | -40,089 |
Other comprehensive income (loss), before tax: | ||
Unrealized loss on translation adjustment | 51 | |
Translation adjustment attributable to Nabors | 51 | -216 |
Unrealized gains/(losses) on marketable securities: | ||
Pension liability amortization and adjustment | 276 | 123 |
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 |
Other comprehensive income (loss), before tax | 480 | 60 |
Income tax expense (benefit) related to items of other comprehensive income (loss) | 162 | 148 |
Other comprehensive income (loss), net of tax | 318 | -88 |
Comprehensive income (loss) attributable to Nabors | -78,120 | -40,177 |
Comprehensive income (loss) | -78,120 | -40,177 |
Reportable Legal Entities | Other Subsidiaries (Non-Guarantors) | ||
Statements of Other Comprehensive Income | ||
Net income (loss) attributable to Nabors | 93,924 | 44,959 |
Other comprehensive income (loss), before tax: | ||
Unrealized loss on translation adjustment | -68,488 | |
Less: reclassification adjustment for realized loss on translation adjustment | 5,365 | |
Translation adjustment attributable to Nabors | -63,123 | -36,813 |
Unrealized gains/(losses) on marketable securities: | ||
Unrealized gains/(losses) on marketable securities | -19,208 | |
Unrealized gains/(losses) on marketable securities | 153 | -19,208 |
Pension liability amortization and adjustment | 552 | 246 |
Unrealized gains/(losses) and amortization of cash flow hedges | 153 | 153 |
Other comprehensive income (loss), before tax | -62,265 | -55,622 |
Income tax expense (benefit) related to items of other comprehensive income (loss) | 264 | 236 |
Other comprehensive income (loss), net of tax | -62,529 | -55,858 |
Comprehensive income (loss) attributable to Nabors | 31,395 | -10,899 |
Net income (loss) attributable to noncontrolling interest | -89 | |
Translation adjustment attributable to noncontrolling interest | 880 | |
Comprehensive income (loss) attributable to noncontrolling interest | -969 | |
Comprehensive income (loss) | 30,426 | -10,807 |
Consolidating Adjustments | ||
Statements of Other Comprehensive Income | ||
Net income (loss) attributable to Nabors | -15,486 | -4,870 |
Other comprehensive income (loss), before tax: | ||
Unrealized loss on translation adjustment | 68,437 | |
Less: reclassification adjustment for realized loss on translation adjustment | -5,365 | |
Translation adjustment attributable to Nabors | 63,072 | 37,029 |
Unrealized gains/(losses) on marketable securities: | ||
Unrealized gains/(losses) on marketable securities | 19,208 | |
Unrealized gains/(losses) on marketable securities | -153 | 19,208 |
Pension liability amortization and adjustment | -828 | -369 |
Unrealized gains/(losses) and amortization of cash flow hedges | -306 | -306 |
Other comprehensive income (loss), before tax | 61,785 | 55,562 |
Income tax expense (benefit) related to items of other comprehensive income (loss) | -426 | -384 |
Other comprehensive income (loss), net of tax | 62,211 | 55,946 |
Comprehensive income (loss) attributable to Nabors | 46,725 | 51,076 |
Comprehensive income (loss) | $46,725 | $51,076 |
Condensed_Consolidating_Financ5
Condensed Consolidating Financial Information (Details 4) (USD $) | 0 Months Ended | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 27, 2015 | Mar. 31, 2015 | Mar. 31, 2014 |
Condensed Consolidating Statements Of Cash Flows | |||
Net cash provided by (used for) operating activities | $307,170 | $444,563 | |
Cash flows from investing activities: | |||
Purchases of investments | 1,710 | -286 | |
Sales and maturities of investments | 623 | 733 | |
Cash paid for acquisition of businesses, net | -10,200 | ||
Investment in unconsolidated affiliates | -445 | -1,255 | |
Proceeds from merger transaction | 693,450 | ||
Capital expenditures | -364,234 | -396,465 | |
Proceeds from sales of assets and insurance claims | 8,997 | 21,605 | |
Net cash provided by (used for) investing activities | 340,101 | -385,868 | |
Cash flows from financing activities: | |||
Increase (decrease) in cash overdrafts | -1,017 | -1,822 | |
Proceeds from (payments for) issuance of common shares | 182 | 4,931 | |
Dividends paid to shareholders | -17,470 | -11,893 | |
Proceeds from (payments for) commercial paper, net | -282,615 | -39,594 | |
Proceeds from revolving credit facilities | 15,000 | ||
Reduction in revolving credit facilities | -250,000 | -67,500 | |
Reduction in revolving credit facilities | 250,000 | ||
Proceeds from term loan facility | 300,000 | ||
Payments on term loan facility | -300,000 | -300,000 | |
Other | -4,549 | -11,585 | |
Net cash used for financing activities | -555,469 | -112,463 | |
Effect of exchange rate changes on cash and cash equivalents | -6,950 | -9,266 | |
Net increase (decrease) in cash and cash equivalents | 84,852 | -63,034 | |
Cash and cash equivalents, beginning of period | 501,149 | 389,915 | |
Cash and cash equivalents, end of period | 586,001 | 326,881 | |
Nabors (Parent/Guarantor) | |||
Cash flows from investing activities: | |||
Proceeds from merger transaction | 5,500 | ||
Net cash provided by (used for) investing activities | 5,500 | ||
Cash flows from financing activities: | |||
Proceeds from (payments for) issuance of common shares | 182 | 4,931 | |
Other | -7,089 | -6,585 | |
Net increase (decrease) in cash and cash equivalents | 3,200 | 162 | |
Cash and cash equivalents, beginning of period | 1,170 | 730 | |
Cash and cash equivalents, end of period | 4,370 | 892 | |
Nabors Delaware (Issuer) | |||
Cash flows from investing activities: | |||
Proceeds from merger transaction | 646,078 | ||
Changes in intercompany balances | -11,668 | 176,446 | |
Net cash provided by (used for) investing activities | 634,410 | 176,446 | |
Cash flows from financing activities: | |||
Proceeds from (payments for) commercial paper, net | -282,615 | -39,594 | |
Reduction in revolving credit facilities | -60,000 | ||
Reduction in revolving credit facilities | 250,000 | ||
Proceeds from term loan facility | 300,000 | ||
Payments on term loan facility | -300,000 | ||
Net increase (decrease) in cash and cash equivalents | 11 | -7,025 | |
Cash and cash equivalents, beginning of period | 7 | 7,029 | |
Cash and cash equivalents, end of period | 18 | 4 | |
Other Subsidiaries (Non-Guarantors) | |||
Cash flows from investing activities: | |||
Purchases of investments | 1,710 | -286 | |
Sales and maturities of investments | 623 | 733 | |
Cash paid for acquisition of businesses, net | -10,200 | ||
Investment in unconsolidated affiliates | -445 | -1,255 | |
Proceeds from merger transaction | 41,872 | ||
Capital expenditures | -364,234 | -396,465 | |
Proceeds from sales of assets and insurance claims | 8,997 | 21,605 | |
Changes in intercompany balances | 11,668 | -176,446 | |
Net cash provided by (used for) investing activities | -299,809 | -562,314 | |
Cash flows from financing activities: | |||
Increase (decrease) in cash overdrafts | -1,017 | -1,822 | |
Proceeds from revolving credit facilities | 15,000 | ||
Reduction in revolving credit facilities | -7,500 | ||
Other | 2,540 | -5,000 | |
Effect of exchange rate changes on cash and cash equivalents | -6,950 | -9,266 | |
Net increase (decrease) in cash and cash equivalents | 81,641 | -56,171 | |
Cash and cash equivalents, beginning of period | 499,972 | 382,156 | |
Cash and cash equivalents, end of period | 581,613 | 325,985 | |
Reportable Legal Entities | Nabors (Parent/Guarantor) | |||
Condensed Consolidating Statements Of Cash Flows | |||
Net cash provided by (used for) operating activities | 10,404 | -1,579 | |
Cash flows from financing activities: | |||
Dividends paid to shareholders | -19,797 | -13,029 | |
Proceeds from issuance of intercompany debt | 14,000 | ||
Proceeds from (payments for) issuance of parent common shares to affiliates | 16,424 | ||
Net cash used for financing activities | -12,704 | 1,741 | |
Reportable Legal Entities | Nabors Delaware (Issuer) | |||
Condensed Consolidating Statements Of Cash Flows | |||
Net cash provided by (used for) operating activities | -101,784 | -83,877 | |
Cash flows from financing activities: | |||
Net cash used for financing activities | -532,615 | -99,594 | |
Reportable Legal Entities | Other Subsidiaries (Non-Guarantors) | |||
Condensed Consolidating Statements Of Cash Flows | |||
Net cash provided by (used for) operating activities | 386,877 | 514,731 | |
Cash flows from financing activities: | |||
Net cash used for financing activities | 1,523 | 678 | |
Consolidating Adjustments | |||
Condensed Consolidating Statements Of Cash Flows | |||
Net cash provided by (used for) operating activities | 11,673 | 15,288 | |
Cash flows from financing activities: | |||
Dividends paid to shareholders | 2,327 | 1,136 | |
Proceeds from issuance of intercompany debt | -14,000 | ||
Proceeds from (payments for) issuance of parent common shares to affiliates | -16,424 | ||
Net cash used for financing activities | ($11,673) | ($15,288) |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | 0 Months Ended | ||
Feb. 20, 2015 | Apr. 24, 2015 | Mar. 31, 2015 | |
Subsequent event | |||
Dividend declared (in dollars per share) | $0.06 | ||
Joint Venture in Saudi Arabia | |||
Subsequent event | |||
Ownership percentage | 51.00% | ||
Subsequent Event | |||
Subsequent event | |||
Dividend declared (in dollars per share) | $0.06 |