COVER
COVER | 12 Months Ended |
Dec. 31, 2020shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Document Registration Statement | false |
Document Annual Report | true |
Document Period End Date | Dec. 31, 2020 |
Current Fiscal Year End Date | --12-31 |
Document Transition Report | false |
Document Shell Company Report | false |
Entity File Number | 001-32199 |
Entity Registrant Name | SFL Corporation Ltd. |
Entity Incorporation, State or Country Code | D0 |
Entity Address, Address Line Two | Par-la-Ville Place |
Entity Address, Address Line One | 14 Par-la-Ville Road |
Entity Address, City or Town | Hamilton |
Entity Address, Postal Zip Code | HM 08 |
Entity Address, Country | BM |
Title of 12(b) Security | Common Shares, $0.01 Par Value |
Trading Symbol | SFL |
Security Exchange Name | NYSE |
Security Reporting Obligation | 15(d) |
Entity Common Stock, Shares Outstanding | 127,810,064 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Emerging Growth Company | false |
ICFR Auditor Attestation Flag | true |
Document Accounting Standard | U.S. GAAP |
Entity Shell Company | false |
Entity Central Index Key | 0001289877 |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | FY |
Amendment Flag | false |
Business Contact | |
Document Information [Line Items] | |
Entity Address, Address Line Two | Par-la-Ville Place |
Entity Address, Address Line One | 14 Par-la-Ville Road |
Entity Address, City or Town | Hamilton |
Entity Address, Postal Zip Code | HM 08 |
Entity Address, Country | BM |
Contact Personnel Name | James Ayers |
City Area Code | +1 (441) |
Local Phone Number | 295-9500 |
Contact Personnel Fax Number | +1 (441) 295-3494 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Operating revenues | |||
Interest income related parties – direct financing leases | $ 1,744 | $ 3,796 | $ 9,623 |
Interest income other – sales-type, direct financing leases and leaseback assets | 69,472 | 56,524 | 30,055 |
Service revenue related parties – direct financing leases | 6,903 | 9,855 | 22,095 |
Profit sharing revenues – related parties | 18,677 | 5,615 | 1,779 |
Profit sharing income – other | 3,892 | 0 | 0 |
Time charter revenues – related parties | 51,954 | 51,132 | 53,258 |
Time charter revenues – other | 268,635 | 288,019 | 239,468 |
Bareboat charter revenues – other | 7,863 | 23,490 | 36,222 |
Voyage charter revenues – other | 37,287 | 17,617 | 24,339 |
Other operating income | 4,620 | 2,801 | 1,873 |
Total operating revenues | 471,047 | 458,849 | 418,712 |
Gain/(loss) on sale of assets and termination of charters, net | 2,250 | 0 | (2,578) |
Gain on sale of subsidiaries, operating | 0 | 0 | 7,613 |
Operating expenses | |||
Vessel operating expenses – related parties | 30,276 | 33,092 | 45,266 |
Vessel operating expenses – other | 125,367 | 101,342 | 83,282 |
Depreciation | 111,279 | 116,381 | 104,079 |
Vessel impairment charge | 333,149 | 60,054 | 64,338 |
Administrative expenses – related parties | 1,178 | 1,484 | 1,072 |
Administrative expenses – other | 10,222 | 8,719 | 8,095 |
Total operating expenses | 611,471 | 321,072 | 306,132 |
Net operating (loss)/income | (138,174) | 137,777 | 117,615 |
Non-operating income / (expense) | |||
Interest income – related parties, long term loans to associated companies | 11,925 | 14,128 | 14,128 |
Interest income – related parties, other | 599 | 1,642 | 880 |
Interest income – other | 876 | 4,294 | 2,943 |
Interest expense – related parties | 0 | 0 | (6,378) |
Interest expense – other | (135,442) | (145,058) | (107,508) |
(Loss)/gain on investments in debt and equity securities | (22,453) | 67,701 | 25,754 |
Gain on purchase of bonds and debt extinguishment | 67,533 | 1,802 | 1,146 |
Gain on settlement of related party loan notes | 4,446 | 0 | 0 |
Dividend income – related parties | 6,030 | 2,590 | 0 |
Gain on sale of subsidiaries, non-operating | 1,894 | 0 | 0 |
Other financial items, net | (25,945) | (12,753) | 10,407 |
Net (loss)/income before equity in earnings of associated companies | (228,711) | 72,123 | 58,987 |
Equity in earnings of associated companies | 4,286 | 17,054 | 14,635 |
Net (loss)/income | $ (224,425) | $ 89,177 | $ 73,622 |
Per share information: | |||
Basic (loss)/earnings per share (in dollars per share) | $ (2.06) | $ 0.83 | $ 0.70 |
Weighted average number of shares outstanding, basic (in shares) | 108,972 | 107,614 | 105,898 |
Diluted (loss)/earnings per share (in dollars per share) | $ (2.06) | $ 0.83 | $ 0.69 |
Weighted average number of shares outstanding, diluted (in shares) | 108,972 | 107,696 | 107,606 |
Cash dividend per share declared and paid (in dollars per share) | $ 1 | $ 1.40 | $ 1.40 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Comprehensive Income [Abstract] | |||
Net (loss)/income | $ (224,425) | $ 89,177 | $ 73,622 |
Fair value adjustments to hedging financial instruments | (7,695) | (12,748) | (3,433) |
Earnings reclassification of previously deferred fair value adjustments to hedging financial instruments | 1,059 | 0 | (3,127) |
Fair value adjustments to investment securities classified as available-for-sale | (4,608) | (2,190) | 2,244 |
Earnings reclassification of previously deferred fair value adjustments to investment securities classified as available-for-sale securities | 4,888 | 2,181 | 0 |
Fair value adjustments to hedging financial instruments in associated companies | (206) | ||
Other comprehensive income/(loss) | 55 | (6) | (74) |
Other comprehensive loss, net of tax | (6,301) | (12,763) | (4,596) |
Comprehensive (loss)/income | $ (230,726) | $ 76,414 | $ 69,026 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets | ||
Cash and cash equivalents | $ 215,445 | $ 199,521 |
Restricted cash | 8,953 | 3,495 |
Investment in debt and equity securities | 28,805 | 74,079 |
Due from related parties | 7,718 | 22,399 |
Trade accounts receivable | 6,666 | 4,583 |
Other receivables | 22,024 | 20,132 |
Inventories | 8,808 | 7,934 |
Prepaid expenses and accrued income | 2,597 | 1,635 |
Investment in sales-type leases, direct financing leases and leaseback assets, current portion | 55,420 | 56,189 |
Financial instruments at fair value, current portion | 0 | 520 |
Total current assets | 356,436 | 390,487 |
Vessels and equipment, net | 1,240,698 | 1,404,705 |
Vessels under finance lease, net | 697,380 | 714,476 |
Investment in sales-type leases, direct financing leases and leaseback assets, long-term portion | 622,123 | 938,198 |
Investment in associated companies | 27,297 | 42,161 |
Loans and long term receivables from related parties including associates | 123,910 | 327,616 |
Other long-term assets | 21,961 | 64,248 |
Financial instruments at fair value, long-term portion | 3,406 | 3,479 |
Total assets | 3,093,211 | 3,885,370 |
Current liabilities | ||
Short-term debt and current portion of long-term debt | 484,956 | 253,059 |
Finance lease liability, current portion | 48,887 | 68,874 |
Due to related parties | 2,724 | 3,980 |
Trade accounts payable | 1,247 | 3,445 |
Accrued expenses | 21,060 | 17,132 |
Financial instruments at fair value, current portion | 1,572 | 6,067 |
Other current liabilities | 16,085 | 13,279 |
Total current liabilities | 576,531 | 365,836 |
Long-term liabilities | ||
Long-term debt | 1,164,113 | 1,355,029 |
Finance lease liability, long-term portion | 524,200 | 1,037,553 |
Financial instruments at fair value, long-term portion | 32,712 | 20,579 |
Other long-term liabilities | 4 | 4 |
Total liabilities | 2,297,560 | 2,779,001 |
Commitments and contingent liabilities | ||
Stockholders' equity | ||
Share capital ($0.01 par value; 300,000,000 shares authorized; 127,810,064 shares issued and outstanding at December 31, 2020). ($0.01 par value; 200,000,000 shares authorized; 119,391,310 shares issued and outstanding at December 31, 2019). | 1,278 | 1,194 |
Additional paid-in capital | 531,382 | 469,426 |
Contributed surplus | 539,370 | 648,764 |
Accumulated other comprehensive loss | (19,316) | (13,015) |
Accumulated deficit | (257,063) | 0 |
Total stockholders' equity | 795,651 | 1,106,369 |
Total liabilities and stockholders' equity | $ 3,093,211 | $ 3,885,370 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2020 | Aug. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Apr. 30, 2018 | Dec. 31, 2017 | Nov. 30, 2016 |
Stockholders' equity | ||||||||
Share capital, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||||
Share capital, shares authorized (in shares) | 300,000,000 | 200,000,000 | 200,000,000 | 150,000,000 | ||||
Share capital, shares issued (in shares) | 127,810,064 | 119,391,310 | ||||||
Share Capital, shares outstanding (in shares) | 127,810,064 | 119,391,310 | 119,373,064 | 110,930,873 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Operating activities | |||
Net (loss)/income | $ (224,425) | $ 89,177 | $ 73,622 |
Adjustments to reconcile net (loss)/income to net cash provided by operating activities: | |||
Depreciation | 111,279 | 116,381 | 104,079 |
Amortization of deferred charges | 9,040 | 8,085 | 10,187 |
Amortization of seller's credit | 0 | (103) | (447) |
Amortization of deferred charter revenue | 6,641 | 5,406 | 1,699 |
Vessel impairment charge | 333,149 | 60,054 | 64,338 |
Long-term assets impairment charge | 0 | 9,168 | 1,730 |
Adjustment of derivatives to fair value recognized in net income | 20,432 | 3,449 | (13,898) |
Loss/(gain) on investments in debt and equity securities | 22,453 | (67,701) | (25,754) |
Equity in earnings of associated companies | (4,286) | (17,054) | (14,635) |
(Gain)/loss on sale of assets and termination of charters | (2,250) | 0 | 2,578 |
Gain on sale of subsidiaries | (1,894) | 0 | (7,613) |
Repayments from investment in sales-type, direct financing and leaseback assets | 60,590 | 44,143 | 0 |
Gain on repurchase of bonds | (67,533) | (1,802) | (1,146) |
Loss on early termination of swaps | 4,538 | 0 | 0 |
Other, net | (6,559) | (4,620) | 1,108 |
Changes in operating assets and liabilities | |||
Trade accounts receivable | (2,352) | (1,608) | 9,607 |
Due from related parties | 21,035 | 5,652 | (1,308) |
Other receivables and other current assets | (2,628) | (7,088) | (4,027) |
Inventories | (873) | 613 | (3,423) |
Prepaid expenses and accrued income | (962) | 958 | (301) |
Trade accounts payable | (2,198) | 1,500 | 2,370 |
Accrued expenses and other current liabilities | 3,278 | 5,097 | 2,209 |
Net cash provided by operating activities | 276,475 | 249,707 | 200,975 |
Investing activities | |||
Repayments from investment in direct financing and sales-type leases | 0 | 0 | 33,486 |
Additions to direct financing leases and leaseback assets | (65,030) | (211,065) | 0 |
Purchase of vessels, capital improvements and other additions | (55,016) | (39,326) | (1,137,703) |
Proceeds from sale of vessels and termination of charters | 210,920 | 0 | 145,654 |
Proceeds from sale of subsidiaries, net of cash disposed of | 14,676 | 0 | 83,485 |
Net amounts received from/(paid to) associated companies | 31,467 | 15,925 | (24,161) |
Proceeds from sale of shares | 23,661 | 82,783 | 0 |
Other investments and long-term assets, net | 15,661 | (18,198) | 32,675 |
Net cash provided by/(used in) investing activities | 176,339 | (169,881) | (866,564) |
Financing activities | |||
Repayments of lease obligation liability | (68,599) | (63,663) | (11,653) |
Proceeds from issuance of short-term and long-term debt | 397,231 | 458,781 | 825,984 |
Repayments of short-term and long-term debt | (624,588) | (208,538) | (778,731) |
Repurchase of bonds | (66,570) | (80,749) | (97,248) |
Proceeds from finance leases | 0 | 0 | 944,097 |
Discount received on debt repurchased | 0 | 1,654 | 0 |
Debt fees paid | (4,752) | (4,261) | (8,257) |
Payment for early settlements of interest rate swaps, net | (4,539) | 0 | 0 |
Principal settlements of cross currency swaps, net | (11,706) | (41,769) | 0 |
Proceeds from shares issued, net of issuance costs | 61,485 | 0 | 0 |
Cash dividends paid | (109,394) | (150,659) | (149,261) |
Net cash (used in)/provided by financing activities | (431,432) | (89,204) | 724,931 |
Net change in restricted cash and cash and cash equivalents | 21,382 | (9,378) | 59,342 |
Cash, restricted cash and cash equivalents at start of the year | 203,016 | 212,394 | 153,052 |
Cash, restricted cash and cash equivalents at end of the year | 224,398 | 203,016 | 212,394 |
Supplemental disclosure of cash flow information: | |||
Interest paid, net of capitalized interest | $ 71,476 | $ 72,344 | $ 104,620 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Share capital | Additional paid-in capital | Contributed surplus | Accumulated other comprehensive loss | Accumulated other comprehensive loss – associated companies | (Accumulated deficit)/retained earnings | Senior Unsecured Convertible Bonds due 2018Additional paid-in capital | 4.875% unsecured convertible bonds due 2023 | 4.875% unsecured convertible bonds due 2023Additional paid-in capital | Senior Unsecured Convertible Bonds due 2021 and 2023Additional paid-in capital | Designated as Hedging InstrumentInterest Rate Swap | Designated as Hedging InstrumentCross Currency Swaps | Designated as Hedging InstrumentCross Currency Interest Rate Contract |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Impact of the adoption of ASU 2016-13 on retained earnings | Accounting Standards Update 2016-01 | $ (98,782) | |||||||||||||
Balance, at beginning of year (in shares) at Dec. 31, 2017 | 110,930,873 | |||||||||||||
Balance, at beginning of year at Dec. 31, 2017 | $ 1,109 | $ 403,659 | $ 680,703 | $ (94,612) | $ 206 | 203,932 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Shares issued (in shares) | 8,442,191 | |||||||||||||
Amortization of stock-based compensation | 454 | |||||||||||||
Stock-based compensation forfeitures | (33) | |||||||||||||
Shares issued- share option, dividend reinvestment and other schemes | 85 | |||||||||||||
Shares issued- consideration paid on vessel acquisition | 57,960 | |||||||||||||
Shares issued- conversion of 3.25% convertible bonds due 2018 | 9,927 | |||||||||||||
Adjustment to equity component of convertible bonds arising from reacquisition of bonds | $ (9,933) | $ (1,096) | ||||||||||||
Recognition of equity component arising from issuance of 4.875% convertible bonds due 2023 | $ 7,906 | |||||||||||||
Fair value adjustments to hedging financial instruments | (3,433) | |||||||||||||
Earnings reclassification of previously deferred fair value adjustments to hedging financial instruments | $ (3,127) | |||||||||||||
Earnings reclassification of previously deferred fair value adjustments to hedging financial instruments | (3,127) | |||||||||||||
Fair value adjustments to available-for-sale securities | 2,244 | |||||||||||||
Earnings reclassification of previously deferred fair value adjustments to available-for-sale securities | 0 | |||||||||||||
Reclassification of of unrealised losses upon adoption of new ASU | Accounting Standards Update 2016-01 | 98,782 | |||||||||||||
Other comprehensive income/(loss) | (74) | (74) | ||||||||||||
Fair value adjustments to hedging financial instruments in associated companies | (206) | (206) | ||||||||||||
Net (loss)/income | $ 73,622 | 73,622 | ||||||||||||
Dividends declared | (149,261) | |||||||||||||
Balance, at end of year (in shares) at Dec. 31, 2018 | 119,373,064 | |||||||||||||
Balance, at end of year at Dec. 31, 2018 | $ 1,180,032 | 1,194 | 468,844 | 680,703 | (220) | 0 | 29,511 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Impact of the adoption of ASU 2016-13 on retained earnings | Accounting Standards Update 2017-12 | 32 | |||||||||||||
Accumulated other comprehensive loss | ||||||||||||||
Fair value adjustments to hedging financial instruments | $ 6,714 | $ (7,076) | $ (126) | |||||||||||
Reclassification of unrealized losses upon adoption of ASU 2017-12 | 0 | |||||||||||||
Fair value adjustments to available-for-sale securities | 644 | |||||||||||||
Other items | (376) | |||||||||||||
Accumulated other comprehensive loss | $ (220) | |||||||||||||
Shares issued (in shares) | 18,246 | |||||||||||||
Amortization of stock-based compensation | 896 | |||||||||||||
Stock-based compensation forfeitures | (83) | |||||||||||||
Shares issued- share option, dividend reinvestment and other schemes | 0 | |||||||||||||
Adjustment to equity component of convertible bonds arising from reacquisition of bonds | (231) | |||||||||||||
Recognition of equity component arising from issuance of 4.875% convertible bonds due 2023 | $ 7,100 | |||||||||||||
Fair value adjustments to hedging financial instruments | (12,748) | |||||||||||||
Earnings reclassification of previously deferred fair value adjustments to hedging financial instruments | $ 0 | |||||||||||||
Fair value adjustments to available-for-sale securities | (2,190) | |||||||||||||
Earnings reclassification of previously deferred fair value adjustments to available-for-sale securities | 2,181 | 2,181 | ||||||||||||
Reclassification of of unrealised losses upon adoption of new ASU | Accounting Standards Update 2017-12 | (32) | |||||||||||||
Other comprehensive income/(loss) | (6) | (6) | ||||||||||||
Net (loss)/income | $ 89,177 | 89,177 | ||||||||||||
Dividends declared | (31,939) | (118,720) | ||||||||||||
Balance, at end of year (in shares) at Dec. 31, 2019 | 119,391,310 | |||||||||||||
Balance, at end of year at Dec. 31, 2019 | $ 1,106,369 | 1,194 | 469,426 | 648,764 | (13,015) | 0 | 0 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Impact of the adoption of ASU 2016-13 on retained earnings | 5,614 | |||||||||||||
Impact of the adoption of ASU 2016-13 on retained earnings | Accounting Standards Update 2016-13 | (32,638) | |||||||||||||
Accumulated other comprehensive loss | ||||||||||||||
Fair value adjustments to hedging financial instruments | (1,514) | (7,289) | (4,433) | |||||||||||
Reclassification of unrealized losses upon adoption of ASU 2017-12 | (32) | |||||||||||||
Fair value adjustments to available-for-sale securities | 635 | |||||||||||||
Other items | (382) | |||||||||||||
Accumulated other comprehensive loss | $ (13,015) | |||||||||||||
Shares issued (in shares) | 8,418,754 | |||||||||||||
Amortization of stock-based compensation | 966 | |||||||||||||
Stock-based compensation forfeitures | (96) | |||||||||||||
Shares issued- share option, dividend reinvestment and other schemes | 84 | 61,400 | ||||||||||||
Adjustment to equity component of convertible bonds arising from reacquisition of bonds | $ (314) | |||||||||||||
Recognition of equity component arising from issuance of 4.875% convertible bonds due 2023 | $ 6,800 | |||||||||||||
Fair value adjustments to hedging financial instruments | (7,695) | |||||||||||||
Earnings reclassification of previously deferred fair value adjustments to hedging financial instruments | $ 1,059 | 1,059 | ||||||||||||
Fair value adjustments to available-for-sale securities | (4,608) | |||||||||||||
Earnings reclassification of previously deferred fair value adjustments to available-for-sale securities | 4,888 | 4,888 | ||||||||||||
Other comprehensive income/(loss) | 55 | 55 | ||||||||||||
Net (loss)/income | $ (224,425) | (224,425) | ||||||||||||
Dividends declared | (109,394) | |||||||||||||
Balance, at end of year (in shares) at Dec. 31, 2020 | 127,810,064 | |||||||||||||
Balance, at end of year at Dec. 31, 2020 | $ 795,651 | $ 1,278 | $ 531,382 | $ 539,370 | $ (19,316) | $ 0 | $ (257,063) | |||||||
Accumulated other comprehensive loss | ||||||||||||||
Fair value adjustments to hedging financial instruments | $ (5,564) | $ (7,162) | $ (7,146) | |||||||||||
Reclassification of unrealized losses upon adoption of ASU 2017-12 | (32) | |||||||||||||
Fair value adjustments to available-for-sale securities | 915 | |||||||||||||
Other items | (327) | |||||||||||||
Accumulated other comprehensive loss | $ (19,316) |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) | Dec. 31, 2020 | Apr. 30, 2018 |
Senior Unsecured Convertible Bonds due 2018 | ||
Interest rate | 3.25% | |
4.875% unsecured convertible bonds due 2023 | ||
Interest rate | 4.875% | 4.875% |
GENERAL
GENERAL | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GENERAL | GENERAL SFL Corporation Ltd. ("SFL" or the "Company") is an international maritime and offshore asset owning and chartering company, incorporated in October 2003 in Bermuda as a Bermuda exempted company. The Company's common shares are listed on the New York Stock Exchange under the symbol "SFL". The Company is primarily engaged in the ownership, operation and chartering out of vessels and offshore related assets on medium and long-term charters. As of December 31, 2020, the Company owned two very large crude oil carriers ("VLCCs"), two Suezmax crude oil carriers, five Supramax dry bulk carriers, seven Handysize dry bulk carriers, two Kamsarmax dry bulk carriers, eight Capesize dry bulk carriers, 45 container vessels (including four chartered-in 19,200 and 19,400 twenty-foot equivalent units ("TEU") container vessels and seven 10,600 TEU and 13,800 TEU container vessels financed through sale and leaseback), two car carriers, one jack-up drilling rig, two ultra-deepwater drilling units, two chemical tankers and two oil product tankers. In addition, the Company has one VLCC and three container vessels which are accounted for as leaseback assets (see Note 16 Investments in sales-type leases, direct financing leases and leaseback assets). As of December 31, 2020, one of the two ultra-deepwater drilling unit referred to above is owned by wholly-owned subsidiaries of the Company that is accounted for using the equity method. In addition, from December 31, 2020, the four chartered-in 19,200 and 19,400 TEU container vessels referred to above were included in an entity accounted for using the equity method following the sale of 50.1% of the shares of its holding company. (see Note 17: Investment in associated companies). Since the Company's incorporation in 2003 and public listing in 2004, SFL has established itself as a leading international ship and offshore asset owning and chartering company, expanding both its asset and customer base. |
ACCOUNTING POLICIES
ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
ACCOUNTING POLICIES | ACCOUNTING POLICIES Basis of Accounting The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States ("US GAAP"). The consolidated financial statements include the assets and liabilities and results of operations of the Company and its subsidiaries. All inter-company balances and transactions have been eliminated on consolidation. Where necessary, comparative figures for previous years have been reclassified to conform to changes in presentation in the current year. Consolidation of variable interest entities A variable interest entity is defined in Accounting Standards Codification ("ASC") Topic 810 "Consolidation" ("ASC 810") as a legal entity where either (a) the total equity at risk is not sufficient to permit the entity to finance its activities without additional subordinated support; (b) equity interest holders as a group lack either i) the power to direct the activities of the entity that most significantly impact on its economic success, ii) the obligation to absorb the expected losses of the entity, or iii) the right to receive the expected residual returns of the entity; or (c) the voting rights of some investors in the entity are not proportional to their economic interests and the activities of the entity involve or are conducted on behalf of an investor with a disproportionately small voting interest. ASC 810 requires a variable interest entity to be consolidated by its primary beneficiary, being the interest holder, if any, which has both (1) the power to direct the activities of the entity which most significantly impact on the entity's economic performance, and (2) the right to receive benefits or the obligation to absorb losses from the entity which could potentially be significant to the entity. The Company evaluates its subsidiaries, and any other entities in which it holds a variable interest, in order to determine whether the Company is the primary beneficiary of the entity, and where it is determined that the Company is the primary beneficiary the Company fully consolidate the entity. Use of accounting estimates The preparation of financial statements in accordance with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Revenue and expense recognition Effective from January 1, 2018, the Company adopted the new accounting standard ASC Topic 606 "Revenue from Contracts with Customers" using the modified retrospective method, which resulted in no adjustment to our retained earnings on adoption and comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The Company generates its revenues from the charter hire of its vessels and offshore related assets, and freight billings. Revenues are generated from time charter hire, bareboat charter hire, direct financing lease interest income, sales-type lease interest income, leaseback assets interest income, direct financing lease service revenues, profit sharing arrangements, voyage charters and other freight billings. In a time charter voyage, the vessel is hired by the charterer for a specified period of time in exchange for consideration which is based on a daily hire rate. Generally, the charterer has the discretion over the ports visited, shipping routes and vessel speed. The contract/charter party generally provides typical warranties regarding the speed and performance of the vessel. The charter party generally has some owner protective restrictions such that the vessel is sent only to safe ports by the charterer and carries only lawful or non-hazardous cargo. In a time charter contract, we are responsible for all the costs incurred for running the vessel such as crew costs, vessel insurance, repairs and maintenance, lubrication oil and other costs relevant to operate the vessel. The charterer bears the voyage related costs such as bunker expenses, port charges, and canal tolls during the hire period. The performance obligations in a time charter contract are satisfied over the term of the contract beginning when the vessel is delivered to the charterer until it is redelivered back to us. The charterer generally pays the charter hire in advance of the upcoming contract period. The time charter contracts are either operating or direct financing or sales type leases. Where time charters and bareboat charters are considered operating leases, revenues are recorded over the term of the charter as a service is provided. When a time charter contract is linked to an index, we recognize revenue for the applicable period based on the actual index for that period. Rental payments from direct financing and sales-type leases and leaseback assets are allocated between service revenues, if applicable, interest income and capital repayments. The amount allocated to lease service revenue is based on the estimated fair value, at the time of entering the lease agreement, of the services provided which consist of ship management and operating services. In a voyage charter contract, the charterer hires the vessel to transport a specific agreed-upon cargo for a single voyage. The consideration in such a contract is determined on the basis of a freight rate per metric ton of cargo carried or occasionally on a lump sum basis. The charterer is responsible for any short loading of cargo or "dead" freight. The voyage charter party generally has standard payment terms with freight paid on completion of discharge. The voyage charter party generally has a "demurrage" clause. As per this clause, the charterer reimburses us for any potential delays exceeding the allowed laytime as per the charter party clause at the ports visited, which is recorded as voyage revenue. Estimates and judgments are required in ascertaining the most likely outcome of a particular voyage and actual outcomes may differ from estimates. Such estimate is reviewed and updated over the term of the voyage charter contract. In a voyage charter contract, the performance obligations begin to be satisfied once the vessel begins loading the cargo. We have determined that our voyage charter contracts consist of a single performance obligation of transporting the cargo within a specified time period. Therefore, the performance obligation is met evenly as the voyage progresses, and the revenue is recognized on a straight line basis over the voyage days from the commencement of loading to completion of discharge. Contract assets with regards to voyage revenues are reported as "Voyages in progress" as the performance obligation is satisfied over time. Voyage revenues typically become billable and due for payment on completion of the voyage and discharge of the cargo, at which point the receivable is recognized as "Trade accounts receivable, net". In a voyage contract, the Company bears all voyage related costs such as fuel costs, port charges and canal tolls. To recognize costs incurred to fulfill a contract as an asset, the following criteria shall be met: (i) the costs relate directly to the contract, (ii) the costs generate or enhance resources of the entity that will be used in satisfying performance obligations in the future and (iii) the costs are expected to be recovered. The costs incurred during the period prior to commencement of loading the cargo, primarily bunkers, are deferred as they represent setup costs and recorded as a current asset and are subsequently amortized on a straight-line basis as we satisfy the performance obligations under the contract. Costs incurred to obtain a contract, such as commissions, are also deferred and expensed over the same period. For our vessels operating under revenue sharing agreements, or in pools, revenues and voyage expenses are pooled and allocated to each pool’s participants in accordance with an agreed-upon formula. Revenues generated through revenue sharing agreements are presented gross when we are considered the principal under the charter parties with the net income allocated under the revenue sharing agreement presented as within voyage charter income. For revenue sharing agreements that meet the definition of a lease, we account for such contracts as variable rate operating leases and recognize revenue for the applicable period based on the actual net revenue distributed by the pool. As detailed in Note 24: Related party transactions, the Company has, or has had, profit sharing arrangements with Frontline Shipping Limited ("Frontline Shipping"), Golden Ocean Group Limited ("Golden Ocean"). The Company also had profit sharing agreements with Deep Sea Supply Shipowning II AS (the “Solstad Charterer”), a wholly owned subsidiary of Solship Invest 3 AS (“Solship”, formerly Deep Sea Supply Plc, or Deep Sea). Amounts receivable under these arrangements are accrued on the basis of amounts earned at the reporting date. Any contingent elements of rental income, such as profit share, fuel saving payments and interest rate adjustments, are recognized when the contingent conditions have materialized. Foreign currencies The Company's functional currency is the U.S. dollar as the majority of revenues are received in U.S. dollars and the majority of the Company's expenditures are made in U.S. dollars. The Company's reporting currency is also the U.S. dollar. Most of the Company's subsidiaries report in U.S. dollars. Transactions in foreign currencies during the year are translated into U.S. dollars at the rates of exchange in effect at the date of the transaction. Foreign currency monetary assets and liabilities are translated using rates of exchange at the balance sheet date. Foreign currency non-monetary assets and liabilities are translated using historical rates of exchange. Foreign currency transaction gains or losses are included under "Other financial items" in the consolidated statements of operations. Cash and cash equivalents For the purposes of the consolidated statements of cash flows, all demand and time deposits and highly liquid, low risk investments with original maturities of three months or less are considered equivalent to cash. Restricted cash Restricted cash consists of cash which may only be used for certain purposes and is held under a contractual arrangement. The Company classifies restricted cash as short-term and a current asset if the cash is restricted for less than a year. Otherwise, the restricted cash is classified as long-term. Investment in debt and equity securities Investments in debt and equity securities include share investments and interest-earning listed and unlisted corporate bonds. Any premium paid on their acquisition is amortized over the life of the bond. Investments in debt securities are recorded at fair value, with unrealized gains and losses recorded as a separate component of other comprehensive income. Investments in equity securities are recorded at fair value, with unrealized gains and losses recorded in the consolidated statement of operations. If circumstances arise which lead the Company to believe that the issuer of a corporate bond may be unable meet its payment obligations in full, or that the fair value at acquisition of the share investment or corporate bond may otherwise not be fully recoverable, then to the extent that a loss is expected to arise that unrealized loss is recorded as an impairment in the statement of operations, with an adjustment if necessary to any unrealized gains or losses previously recorded in other comprehensive income. In determining whether the Company has an other-than-temporary impairment in its investment in bonds, in addition to the Company’s intention and ability to hold the investments until the market recovers, the Company considers the period of decline, the amount and the severity of the decline and the ability of the investment to recover in the near to medium term. The Company also evaluates if the underlying security provided by the bonds is sufficient to ensure that the decline in fair value of these bonds did not result in an other-than-temporary impairment. The cost of disposals or reclassifications from other comprehensive income is calculated on an average cost basis, where applicable. The fair value of unlisted corporate bonds is determined from an analysis of projected cash flows, based on factors including the terms, provisions and other characteristics of the bonds, credit ratings and default risk of the issuing entity, the fundamental financial and other characteristics of that entity, and the current economic environment and trading activity in the debt market. Investments in associated companies Investments in affiliates in which the Company has significant influence but does not exercise control are accounted for using the equity method of accounting. Under the equity method, the Company records its investments in equity-method investees on the consolidated balance sheets as "Investment in associated companies" and its share of the nonconsolidated affiliate's income or loss is recognized in the consolidated statement of operations as "Equity in earnings of associated companies". The cumulative post-acquisition changes in the investment are adjusted against the carrying amount of the investment. As of December 31, 2020, one ultra-deepwater drilling unit owned by wholly-owned subsidiaries of the Company is accounted for using the equity method of accounting as it has been determined under ASC 810 that they are a variable interest entity in which SFL is not the primary beneficiary. (see Note 17: Investment in associated companies). In addition, on December 31, 2020, the Company sold 50.1% of the shares of River Box to a subsidiary of Hemen, a related party. The Company has accounted for its remaining 49.9% ownership in River Box using the equity method from this date. (see Note 17: Investment in associated companies). Allowance for expected credit losses The balances recorded in respect of T rade receivables, Other receivables, Related party receivables, Other long term assets and Investments in sales-type leases, direct financing leases and leaseback assets reflect the risk that our customers may fail to meet their payment obligations and the risk that the underlying asset value of the vessels and rigs could be less than the unguaranteed residual value. The Company estimates the expected risk of loss over the remaining life using a probability of default and net exposure analysis. The probability of default is estimated based on historical cumulative default data, adjusted for current conditions of similarly risk-rated counterparties over the contractual term. The net exposure is estimated based on the exposure, net of the estimated value of the underlying vessels and rigs in the instance of Investments in sales-type leases, direct financing leases and leaseback assets , over the contractual term. Current expected credit loss provisions are classified as expenses in the Consolidated Statement of Operations, with a corresponding allowance for credit loss amount reported as a reduction in the related balance sheet amount of Tr ade receivables, Other receivables, Related party receivables, Other long term assets and Investments in sales-type leases, direct financing leases and leaseback assets . Partial or full recoveries of amounts previously written off are generally recognized as a reduction in the provision for credit losses. Trade accounts receivable The amount shown as trade accounts receivable at each balance sheet date includes receivables due from customers for hire of vessels and offshore related assets, net of allowance for expected credit losses. Inventories Inventories are comprised principally of fuel and lubricating oils and are stated at the lower of cost and net realizable value. Cost is determined on a first-in first-out basis. Vessels and equipment (including operating lease assets) Vessels and equipment are recorded at historical cost less accumulated depreciation and, if appropriate, impairment charges. The cost of these assets less estimated residual value is depreciated on a straight-line basis over the estimated remaining economic useful life of the asset. The estimated economic useful life of our offshore drilling rigs is 30 years and for all other vessels it is 25 years. Where an asset is subject to an operating lease that includes fixed price purchase options, the projected net book value of the asset is compared to the option price at the various option dates. If any option price is less than the projected net book value at an option date, the initial depreciation schedule is amended so that the carrying value of the asset is written down on a straight line basis to the option price at the option date. If the option is not exercised, this process is repeated so as to amortize the remaining carrying value, on a straight line basis, to the estimated scrap recycling value or the option price at the next option date, as appropriate. This accounting policy for fixed assets has the effect that if an option is exercised there will be either a) no gain or loss on the sale of the asset or b) in the event that the option is exercised at a price in excess of the net book value at the option date, a gain will be reported in the statement of operations at the date of delivery to the new owners, under the heading "gain on sale of assets and termination of charters". The Company capitalizes and depreciates the costs of significant replacements, renewals and upgrades to its vessels over the shorter of the vessel’s remaining useful life or the life of the renewal or upgrade. The amount capitalized is based on management’s judgment as to expenditures that extend a vessel’s useful life or increase the operational efficiency of a vessel. Costs that are not capitalized are recorded as a component of direct vessel operating expenses during the period incurred. Expenses for routine maintenance and repairs are expensed as incurred. Advances paid in respect of vessel upgrades in relation to Exhaust Gas Cleaning Systems ("EGCS" or "scrubbers") and Ballast water treatment systems ("BWTS") are included within "other long-term assets", until such time as the equipment is installed on a vessel, at which point it is transferred to "Vessels and equipment, net". Office equipment is depreciated at 20% per annum on a reducing balance basis. Vessels and equipment under finance lease The Company charters-in certain vessels and equipment under leasing agreements. Leases of vessels and equipment, where the Company has substantially all the risks and rewards of ownership, are classified as "vessels under finance lease", with corresponding lease liabilities recorded. The Company capitalizes and depreciates the costs of significant replacements, renewals and upgrades to its vessels over the shorter of the vessel’s remaining useful life or the life of the renewal or upgrade. The amount capitalized is based on management’s judgment as to expenditures that extend a vessel’s useful life or increase the operational efficiency of a vessel. Costs that are not capitalized are recorded as a component of direct vessel operating expenses during the period incurred. Expenses for routine maintenance and repairs are expensed as incurred. Advances paid in respect of vessel upgrades in relation to EGCS and BWTS are included within "other long-term assets", until such time as the equipment is installed on a vessel, at which point it is transferred to "Vessels under finance lease, net". Depreciation of vessels and equipment under finance lease is included within "Depreciation" in the consolidated statement of operations. Vessels and equipment under finance lease are depreciated on a straight-line basis over the vessels' remaining economic useful lives or on a straight-line basis over the term of the lease. The method applied is determined by the criteria by which the lease has been assessed to be a finance lease. Newbuildings The carrying value of vessels under construction ("newbuildings") represents the accumulated costs to the balance sheet date which the Company has paid by way of purchase installments and other capital expenditures together with capitalized loan interest and associated finance costs. No charge for depreciation is made until a newbuilding is put into operation. Capitalized interest Interest expense is capitalized during the period of construction of newbuilding vessels based on accumulated expenditures for the applicable vessel at the Company's capitalization rate of interest. The amount of interest capitalized in an accounting period is determined by applying an interest rate (the "capitalization rate") to the average amount of accumulated expenditures for the vessel during the period. The capitalization rate used in an accounting period is based on the rates applicable to borrowings outstanding during the period. The Company does not capitalize amounts in excess of actual interest expense incurred in the period. No interest was capitalized in the cost of newbuildings in the year ended December 31, 2020 (2019: $0.0 million; 2018: $0.0 million). Investment in sales-type leases and direct financing leases Leases (charters) of our vessels where we are the lessor are classified as either direct financing, sales-type leases, operating leases, or leaseback assets based on an assessment of the terms of the lease. For charters classified as direct financing leases, the minimum lease payments (reduced in the case of time-chartered vessels by projected vessel operating costs) plus the estimated residual value of the vessel are recorded as the gross investment in the direct financing lease. For direct financing leases, the difference between the gross investment in the lease and the carrying value of the vessel is recorded as unearned lease interest income. The net investment in the lease consists of the gross investment less the unearned income. Over the period of the lease each charter payment received, net of vessel operating costs if applicable, is allocated between "lease interest income" and "repayment of investment in lease" in such a way as to produce a constant percentage rate of return on the balance of the net investment in the direct financing lease. Thus, as the balance of the net investment in each direct financing lease decreases, a lower proportion of each lease payment received is allocated to lease interest income and a greater proportion is allocated to lease repayment. For direct financing leases relating to time chartered vessels, the portion of each time charter payment received that relates to vessel operating costs is classified as "service revenue - direct financing leases". For sales-type leases, the difference between the gross investment in the lease and the present value of its components, i.e. the minimum lease payments and the estimated residual value, is recorded as unearned lease interest income. The discount rate used in determining the present values is the interest rate implicit in the lease. The present value of the minimum lease payments, computed using the interest rate implicit in the lease, is recorded as the sales price, from which the carrying value of the vessel at the commencement of the lease is deducted in order to determine the profit or loss on sale. As is the case for direct financing leases, the unearned lease interest income is amortized to income over the period of the lease so as to produce a constant periodic rate of return on the net investment in the lease. The Company adopted ASC 842 Leases on January 1, 2019 (which replaced ASC 840 Leases) using the modified retrospective transition approach, which allows the Company to recognize a cumulative effect adjustment to the opening balance of accumulated deficit in the period of adoption rather than restate our comparative prior year periods. The Company elected the package of practical expedients applied to all of its leases (including those for which it is a lessee and lessor) that permit it not to (i) reassess whether any expired or existing contracts are or contain leases; (ii) reassess the lease classification for any expired or existing leases , (iii) reassess initial direct costs for any existing leases and (iv) to not separate lease and non-lease components of lease revenue. Furthermore, the Company has not elected the practical expedient to use hindsight when determining the lease term. For leases entered into on or after January 1, 2019, any difference between the fair value of the leased asset and the costs results in a selling profit or loss. A selling profit is recognized at lease commencement for sales-type leases and over the lease term for direct financing leases. Selling loss is recognized at lease commencement for both sales-type and direct financing leases. The fair value is considered to be the cost of acquiring the vessel unless a significant period has elapsed between the acquisition of the vessel and the commencement of the lease. Where a sales-type lease, direct financing lease or leaseback asset charter arrangement containing fixed price purchase options, the projected carrying value of the net investment in the lease is compared to the option price at the various option dates. If any option price is less than the projected net investment in the lease at an option date, the rate of amortization of unearned lease interest income is adjusted to reduce the net investment to the option price at the option date. If the option is not exercised, this process is repeated so as to reduce the net investment in the lease to the un-guaranteed residual value or the option price at the next option date, as appropriate. This accounting policy for investments in direct financing or sales-type leases or leaseback assets has the effect that if an option is exercised there will either be a) no gain or loss on the exercise of the option or b) in the event that an option is exercised at a price in excess of the net investment in the lease at the option date, a gain will be reported in the statement of operations at the date of delivery to the new owners. If the terms of an existing lease are agreed to be amended, the modification is evaluated to consider if it is a contract which occurs when the modification grants the lessee an additional right-of-use not included in the original lease and the lease payments increase commensurate with the standalone price for the additional right of use, adjusted for the circumstances of the particular contract. If both conditions are met, the amendments are treated as a separate lease. If the conditions are not met, the lease is re-evaluated under ASC 842, as a new lease with the new terms. Leaseback assets From January 1, 2019, any vessels purchased and leased back to the same party are evaluated under ASC 842. If control is deemed not to have passed to the Company as purchaser, due for example to the lessee having purchase options, the transaction is accounted for under ASC 310 where the purchase price paid is accounted for as loan receivable and described as a leaseback asset. Interest income is recognized on the aggregate loan receivable based on the imputed interest rate and the part of the rental income received is allocated as a reduction of the vessel loan balance. Any purchase and leaseback transactions entered into before January 1, 2019, were accounted for as leases under ASC 840 and no changes have been made as the Company applied the practical expedients in ASC 842. Finance lease liability The Company charters-in seven container vessels through sale and leaseback financing arrangements with corresponding lease assets classified as "vessels under finance lease". Leases of vessels and equipment, where the Company has substantially all the risks and rewards of ownership, are classified as finance lease liabilities. Each lease payment is allocated between reduction in liability and finance charges to achieve a constant rate on the capital balance outstanding. The interest element of the capital cost is charged to the Consolidated Statement of Operations over the lease period. Impairment of long-lived assets, including other long-term investments The carrying value of long-lived assets, including other long-term investments, that are held by the Company are reviewed whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. For vessels, such indicators may include historically low spot charter rates and second hand vessel values. The Company assesses recoverability of the carrying value of the asset by estimating the future net cash flows expected to result from the asset, including eventual disposition, taking into account the possibility of any existing medium and long-term charter arrangements being terminated early. If the future expected net cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the carrying value of the asset and its fair value. In addition, long-lived assets to be disposed of are reported at the lower of carrying amount and fair value less estimated costs to sell. Fair value is generally based on values achieved for the sale/purchase of similar vessels and external appraisals. Deferred charges Loan costs, including debt arrangement fees, are capitalized and amortized on a straight line basis over the term of the relevant loan. The straight line basis of amortization approximates the effective interest method in the Company's statement of operations. Amortization of loan costs is included in interest expense. If a loan is repaid early, any unamortized portion of the related deferred charges is charged against income in the period in which the loan is repaid. Similarly, if a portion of a loan is repaid early, the corresponding portion of the unamortized related deferred charges is charged against income in the period in which the early repayment is made. Convertible bonds The Company accounts for debt instruments with convertible features in accordance with the details and substance of the instruments at the time of their issuance. For convertible debt instruments issued at a substantial premium to equivalent instruments without conversion features, or those that may be settled in cash upon conversion, it is presumed that the premium or cash conversion option represents an equity component. Accordingly, the Company determines the carrying amounts of the liability and equity components of such convertible debt instruments by first determining the carrying amount of the liability component by measuring the fair value of a similar liability that does not have an equity component. The carrying amount of the equity component representing the embedded conversion option is then determined by deducting the fair value of the liability component from the total proceeds from the issue. The resulting equity component is recorded, with a corresponding offset to debt discount which is subsequently amortized to interest cost using the effective interest method over the period the debt is expected to be outstanding as an additional non-cash interest expense. Transaction costs associated with the instrument are allocated pro-rata between the debt and equity components. For conventional convertible bonds which do not have a cash conversion option or where no substantial premium is received on issuance, it may not be appropriate to split the bond into the liability and equity components. A conversion of the bonds at more favorable terms than the original bond is treated as an inducement and the Company recognizes a debt conversion expense equal to the fair value of all securities and other consideration transferred in the transaction in excess of the fair value of securities or consideration issuable pursuant to the original conversion terms. Financial instruments In determining the fair value of its financial instruments, the Company uses a variety of methods and assumptions that are based on market conditions and risks existing at each balance sheet date. For the majority of financial instruments, including most derivatives and long-term debt, standard market conventions and techniques such as options pricing models are used to determine fair value. All methods of assessing fair value result in a general approximation of value, and such value may never actually be realized. Interest rate a |
RECENTLY ISSUED ACCOUNTING STAN
RECENTLY ISSUED ACCOUNTING STANDARDS | 12 Months Ended |
Dec. 31, 2020 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
RECENTLY ISSUED ACCOUNTING STANDARDS | RECENTLY ISSUED ACCOUNTING STANDARDS In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. ASC 848 provided temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to reduce the financial reporting burden in light of the market transition from London Interbank Offered Rates (“LIBOR”) and other reference interest rates to alternative reference rates. Under ASC 848, companies can elect not to apply certain modification accounting requirements to contracts affected by reference rate reform if certain criteria are met. An entity that makes this election would not be required to remeasure the contracts at the modification date or reassess a previous accounting determination. The amendments of ASC 848 apply only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. In January 2021, the FASB issued ASU 2021-01, which clarified the scope of Topic 848 in relation to derivative instruments and contract modifications. The amendments in these updates are elective and are subject to meeting certain criteria, that have contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The amendments in these updates are effective for all entities since March 12, 2020 through to December 31, 2022. The Company has determined that the reference rate reform will impact its floating rate debt facilities and interest rate swaps contracts. The Company expects to take advantage of the expedients and exceptions for applying GAAP provided by the updates when LIBOR is discontinued and replaced with alternative reference rates. In August 2020, the FASB issued ASU No. 2020-06, "Accounting for Convertible Instruments and Contracts in an Entity's Own Equity" ("ASU 2020-06"). This new standard changes the accounting and measurement of convertible instruments. It eliminates the treasury stock method for convertible instruments and requires application of the “if-converted” method for certain agreements. This standard is effective for the Company beginning January 1, 2022. The Company is currently evaluating the impact of ASU 2020-06 on its interest expense and earnings (loss) per share calculation under the "if-converted" method related to its convertible debt. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company has only one reportable segment. The Company's assets operate on a world-wide basis and the Company's management does not evaluate performance by geographical region or by asset type, as they believe that any such information would not be meaningful. |
TAXATION
TAXATION | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
TAXATION | TAXATION Bermuda Under current Bermudan law, the Company is not required to pay taxes in Bermuda on either income or capital gains. The Company has received written assurance from the Minister of Finance in Bermuda that, in the event of any such taxes being imposed, the Company will be exempted from taxation until the year 2035. United States The Company does not accrue U.S. income taxes as, in the opinion of U.S. counsel, the Company is not engaged in a U.S. trade or business and is exempted from a gross basis tax under Section 883 of the U.S. Internal Revenue Code. A reconciliation between the income tax expense resulting from applying statutory income tax rates and the reported income tax expense has not been presented herein, as it would not provide additional useful information to users of the financial statements as the Company's net income is subject to neither Bermuda nor U.S. tax. Other Jurisdictions Certain of the Company's subsidiaries and branches in Norway and the United Kingdom are subject to income tax in their respective jurisdictions. The tax paid by subsidiaries of the Company that are subject to income tax is not material. |
EARNINGS (LOSS) PER SHARE
EARNINGS (LOSS) PER SHARE | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
EARNINGS (LOSS) PER SHARE | EARNINGS (LOSS) PER SHARE The computation of basic earnings (loss) per share ("EPS") is based on the weighted average number of shares outstanding during the year and the consolidated net income or loss of the Company. Diluted EPS includes the effect of the assumed conversion of potentially dilutive instruments. The components of the numerator for the calculation of basic and diluted EPS are as follows: Year ended December 31, (in thousands of $) 2020 2019 2018 Basic earnings (loss) per share: Net (loss)/income available to stockholders (224,425) 89,177 73,622 Diluted earnings (loss) per share: Net (loss)/income available to stockholders (224,425) 89,177 73,622 Interest and other expenses/(gains) attributable to convertible bonds — (304) 123 Net (loss)/income assuming dilution (224,425) 88,873 73,745 The components of the denominator for the calculation of basic and diluted EPS are as follows: Year ended December 31, (in thousands) 2020 2019 2018 Basic earnings per share: Weighted average number of common shares outstanding* 108,972 107,614 105,898 Diluted earnings per share: Weighted average number of common shares outstanding* 108,972 107,614 105,898 Effect of dilutive share options — 81 59 Effect of dilutive convertible bonds — 1 1,649 Weighted average number of common shares outstanding assuming dilution 108,972 107,696 107,606 Year ended December 31, 2020 2019 2018 Basic (loss)/earnings per share: $ (2.06) $ 0.83 $ 0.70 Diluted (loss)/earnings per share: $ (2.06) $ 0.83 $ 0.69 *The weighted average number of common shares outstanding excludes 8,000,000 shares issued as part of a share lending arrangement relating to the Company's issuance of 5.75% senior unsecured convertible bonds in October 2016. It also excludes 3,765,842 shares issued as of December 31, 2020 from up to 7,000,000 shares issuable under a share lending arrangement relating to the Company's issuance of 4.875% senior unsecured convertible bonds in April and May 2018. These lent shares are owned by the Company and will be returned on or before maturity of the bonds in 2021 and 2023, respectively. As of December 31, 2020, the outstanding balances on the 4.875% senior unsecured convertible bonds issued in April and May 2018 and the 5.75% senior unsecured convertible bonds issued in October 2016 were both anti-dilutive. As of December 31, 2019, the outstanding balances on the 4.875% senior unsecured convertible bonds issued in April and May 2018 and the 5.75% senior unsecured convertible bonds issued in October 2016 were both anti-dilutive. In February 2018, the Company redeemed the full outstanding amount under the 3.25% senior unsecured convertible bonds due 2018. The remaining outstanding principal amount of $63.2 million was paid in cash, and the premium settled in common shares with the issue of 651,365 new shares. |
OPERATING LEASES
OPERATING LEASES | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
OPERATING LEASES | OPERATING LEASES Rental income The minimum future revenues to be received under the Company's non-cancelable operating leases on its vessels as of December 31, 2020, are as follows: Year ending December 31, (in thousands of $) 2021 345,881 2022 318,085 2023 332,149 2024 250,045 2025 45,799 Thereafter 119,019 Total minimum lease revenues 1,410,978 The minimum future revenues above are based on payments receivable from the charterers and do not include contingent rental income. Revenues included in income are recognized on a straight-line basis. Contingent rental income As at December 31, 2020, the Company had installed scrubbers or EGCS on 14 vessels accounted for as operating leases (five container vessels, seven capesize bulk carriers and two suezmax tankers), and three container vessels accounted for as finance leases. As part of the agreement for the installation of scrubbers on the five container vessels, which were on time-charter contract, accounted for as operating leases, it was agreed that the Company will receive contingent income based on the cost savings achieved by the charterer on fuel arising from using the scrubbers from January 1, 2020. During the year ended December 31, 2020, the Company recorded an income of $3.9 million in connection with the cost savings agreement. The cost and accumulated depreciation of vessels (owned and under finance leases) leased to third parties on non-cancelable operating leases at December 31, 2020 and 2019 were as follows: (in thousands of $) 2020 2019 Cost 2,245,889 2,100,533 Accumulated depreciation 465,033 315,934 Total 1,780,856 1,784,599 |
GAIN_(LOSS) ON SALE OF ASSETS A
GAIN/(LOSS) ON SALE OF ASSETS AND TERMINATION OF CHARTERS | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
GAIN/(LOSS) ON SALE OF ASSETS AND TERMINATION OF CHARTERS | GAIN/(LOSS) ON SALE OF ASSETS AND TERMINATION OF CHARTERS The Company has recorded gains/losses on sale of assets and termination of charters as follows: Year ended December 31, (in thousands of $) 2020 2019 2018 Gain/(loss) on sale of vessels 2,250 — (2,578) Gain on termination of charters — — — Total Gain/(loss) on sale of assets 2,250 — (2,578) The Company distinguishes between gains or losses on termination of charters, where ownership of the underlying vessel is retained, and gains or losses on sale of assets, where the vessel is disposed of and there may be an associated charter termination fee paid or received for early termination of the underlying charter. Gain/(loss) on sale of vessels: During the year ended December 31, 2020, the VLCC Front Hakata, which was accounted for as a direct financing lease asset, was sold to an unrelated third party. A gain of $1.4 million was recorded on the disposal. The Company received net sale proceeds of $30.3 million, net of $3.2 million compensation paid for early termination of the charter (see Note 24: Related party transactions). The four offshore support vessels Sea Cheetah, Sea Jaguar, Sea Halibut and Sea Pike, which were accounted for as operating lease assets, were sold to an unrelated third party for total net sale proceeds of $4.3 million. A gain of $0.9 million was recorded on the disposal during the year ended December 31, 2020. The offshore support vessel Sea Leopard, which was accounted for as a direct financing lease asset, was sold to an unrelated third party for recycling. A loss of $0.03 million was recorded on the disposal during the year ended December 31, 2020. The VLCCs Hunter Atla, Hunter Saga and Hunter Laga, which were accounted for as leaseback assets, were sold to an unrelated third party for total net sale proceeds of $176.2 million. The Company recorded no gain or loss on the sale of these vessels during the year ended December 31, 2020 as the sale proceeds equaled their carrying value at date of sale. No gain or loss on sale of assets and termination of charters was recorded during the year ended December 31, 2019. During the year ended December 31, 2018, the VLCC Front Circassia , which was accounted for as a direct financing lease asset, was sold to an unrelated third party. A loss of $1.4 million was recorded on the disposal, the proceeds of which included $17.9 million gross sales proceeds and compensation in the form of a loan note of $4.4 million at fair value was received for the early termination of the charter. This loan note was settled in February 2020 (see Note 24: Related party transactions). The container vessel SFL Avon , which was accounted for as an operating lease asset, was sold to an unrelated third party during the year ended December 31, 2018 for a loss of $0.2 million on disposal. The VLCCs Front Page , Front Stratus and Front Serenade, which were accounted for as direct financing lease assets during the year ended December 31, 2018, were sold to a related party, ADS Maritime Holding. Gains of $0.3 million, $0.2 million and $0.3 million were recorded on the disposal of the vessels, respectively. The gross proceeds from the sale were $22.5 million per vessel in addition to compensation, in the form of loan notes of $3.4 million each, received for the early termination of the charters. These loan notes were settled in February 2020 (see Note 24: Related party transactions). During the year ended December 31, 2018, the VLCCs Front Ariake and Front Falcon , which were accounted for as a direct financing lease assets, were sold to an unrelated third party. A gain of $1,000 and a loss of $1.8 million was recorded on the disposals respectively, and compensation in the form of a loan note of $3.4 million at fair value was received for the early termination of the Front Ariake charter. This loan note was fully settled in February 2020 (see Note 24: Related party transactions). River Box Holding Inc. (“River Box”) was a previously wholly owned subsidiary of the Company. It holds investments in direct financing leases, through its subsidiaries, related to the 19,200 and 19,400 TEU containerships MSC Anna , MSC Viviana , MSC Erica and MSC Reef . On December 31, 2020, the Company sold 50.1% of the shares of River Box to a subsidiary of Hemen Holding Limited ("Hemen"), a related party. Net proceeds of $17.5 million were received for the shares, resulting in a net gain of $1.9 million on the sale. At the time of disposal on December 31, 2020, the consolidated net assets held by River Box were as follows: (in thousands of $) 2020 Cash and cash equivalents 2,859 Investments in sales-type and direct financing leases 540,908 Finance lease liability (464,740) Long-term loan from related party (45,000) Other current liabilities (2,861) Net assets 31,166 As of December 31, 2020 the balance of the long-term loan from SFL to River Box was $45.0 million (see Note 24: Related party transactions). The Company has accounted for the remaining 49.9% ownership in River Box using the equity method. (See Note 17: Investment in associated companies). No subsidiaries were sold during the year ended December 31, 2019. During 2018, the Company entered into an agreement to sell 100% of the share capital of Rig Finance Limited ("Rig Finance"), a wholly owned subsidiary, to an unrelated third party. Rig Finance owned the jack-up drilling rig Soehanah . Net proceeds of $84.4 million were received for the shares, resulting in a net gain of $7.6 million on the sale. At the time of disposal on December 31, 2018, net assets held by Rig Finance were as follows: (in thousands of $) 2018 Cash and cash equivalents 915 Vessel and equipment, net 76,875 Charter deposit (913) Other current liabilities (90) Net assets 76,787 |
GAIN ON SALE OF SUBSIDIARIES
GAIN ON SALE OF SUBSIDIARIES | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
GAIN ON SALE OF SUBSIDIARIES | GAIN/(LOSS) ON SALE OF ASSETS AND TERMINATION OF CHARTERS The Company has recorded gains/losses on sale of assets and termination of charters as follows: Year ended December 31, (in thousands of $) 2020 2019 2018 Gain/(loss) on sale of vessels 2,250 — (2,578) Gain on termination of charters — — — Total Gain/(loss) on sale of assets 2,250 — (2,578) The Company distinguishes between gains or losses on termination of charters, where ownership of the underlying vessel is retained, and gains or losses on sale of assets, where the vessel is disposed of and there may be an associated charter termination fee paid or received for early termination of the underlying charter. Gain/(loss) on sale of vessels: During the year ended December 31, 2020, the VLCC Front Hakata, which was accounted for as a direct financing lease asset, was sold to an unrelated third party. A gain of $1.4 million was recorded on the disposal. The Company received net sale proceeds of $30.3 million, net of $3.2 million compensation paid for early termination of the charter (see Note 24: Related party transactions). The four offshore support vessels Sea Cheetah, Sea Jaguar, Sea Halibut and Sea Pike, which were accounted for as operating lease assets, were sold to an unrelated third party for total net sale proceeds of $4.3 million. A gain of $0.9 million was recorded on the disposal during the year ended December 31, 2020. The offshore support vessel Sea Leopard, which was accounted for as a direct financing lease asset, was sold to an unrelated third party for recycling. A loss of $0.03 million was recorded on the disposal during the year ended December 31, 2020. The VLCCs Hunter Atla, Hunter Saga and Hunter Laga, which were accounted for as leaseback assets, were sold to an unrelated third party for total net sale proceeds of $176.2 million. The Company recorded no gain or loss on the sale of these vessels during the year ended December 31, 2020 as the sale proceeds equaled their carrying value at date of sale. No gain or loss on sale of assets and termination of charters was recorded during the year ended December 31, 2019. During the year ended December 31, 2018, the VLCC Front Circassia , which was accounted for as a direct financing lease asset, was sold to an unrelated third party. A loss of $1.4 million was recorded on the disposal, the proceeds of which included $17.9 million gross sales proceeds and compensation in the form of a loan note of $4.4 million at fair value was received for the early termination of the charter. This loan note was settled in February 2020 (see Note 24: Related party transactions). The container vessel SFL Avon , which was accounted for as an operating lease asset, was sold to an unrelated third party during the year ended December 31, 2018 for a loss of $0.2 million on disposal. The VLCCs Front Page , Front Stratus and Front Serenade, which were accounted for as direct financing lease assets during the year ended December 31, 2018, were sold to a related party, ADS Maritime Holding. Gains of $0.3 million, $0.2 million and $0.3 million were recorded on the disposal of the vessels, respectively. The gross proceeds from the sale were $22.5 million per vessel in addition to compensation, in the form of loan notes of $3.4 million each, received for the early termination of the charters. These loan notes were settled in February 2020 (see Note 24: Related party transactions). During the year ended December 31, 2018, the VLCCs Front Ariake and Front Falcon , which were accounted for as a direct financing lease assets, were sold to an unrelated third party. A gain of $1,000 and a loss of $1.8 million was recorded on the disposals respectively, and compensation in the form of a loan note of $3.4 million at fair value was received for the early termination of the Front Ariake charter. This loan note was fully settled in February 2020 (see Note 24: Related party transactions). River Box Holding Inc. (“River Box”) was a previously wholly owned subsidiary of the Company. It holds investments in direct financing leases, through its subsidiaries, related to the 19,200 and 19,400 TEU containerships MSC Anna , MSC Viviana , MSC Erica and MSC Reef . On December 31, 2020, the Company sold 50.1% of the shares of River Box to a subsidiary of Hemen Holding Limited ("Hemen"), a related party. Net proceeds of $17.5 million were received for the shares, resulting in a net gain of $1.9 million on the sale. At the time of disposal on December 31, 2020, the consolidated net assets held by River Box were as follows: (in thousands of $) 2020 Cash and cash equivalents 2,859 Investments in sales-type and direct financing leases 540,908 Finance lease liability (464,740) Long-term loan from related party (45,000) Other current liabilities (2,861) Net assets 31,166 As of December 31, 2020 the balance of the long-term loan from SFL to River Box was $45.0 million (see Note 24: Related party transactions). The Company has accounted for the remaining 49.9% ownership in River Box using the equity method. (See Note 17: Investment in associated companies). No subsidiaries were sold during the year ended December 31, 2019. During 2018, the Company entered into an agreement to sell 100% of the share capital of Rig Finance Limited ("Rig Finance"), a wholly owned subsidiary, to an unrelated third party. Rig Finance owned the jack-up drilling rig Soehanah . Net proceeds of $84.4 million were received for the shares, resulting in a net gain of $7.6 million on the sale. At the time of disposal on December 31, 2018, net assets held by Rig Finance were as follows: (in thousands of $) 2018 Cash and cash equivalents 915 Vessel and equipment, net 76,875 Charter deposit (913) Other current liabilities (90) Net assets 76,787 |
OTHER FINANCIAL ITEMS, NET
OTHER FINANCIAL ITEMS, NET | 12 Months Ended |
Dec. 31, 2020 | |
Other Income and Expenses [Abstract] | |
OTHER FINANCIAL ITEMS, NET | OTHER FINANCIAL ITEMS, NET Other financial items comprise the following items: Year ended December 31, (in thousands of $) 2020 2019 2018 Net payments on non-designated derivatives relating to interest rate swaps (4,575) 1,389 170 Net payments on non-designated derivatives relating to cross currency swaps (6) — — Net payments on non-designated derivatives relating to combined cross currency and interest rate swaps (152) (194) (891) Net payments relating to the settlement of interest rate swaps following the refinancing of debt (4,539) — — Total net cash movement on non-designated derivatives and swap settlements (9,272) 1,195 (721) Net (decrease)/increase in mark-to-market valuation of non-designated derivatives relating to interest rate swaps (15,314) (4,123) 2,687 Net (decrease)/increase in mark-to-market valuation of non-designated derivatives relating to cross currency swaps 5 — — Net (decrease)/increase in mark-to-market valuation of non-designated derivatives relating to combined cross currency and interest rate swaps (5,124) 673 11,221 Total net movement in fair value of non-designated derivatives (20,433) (3,450) 13,908 Net movement in fair value of designated derivatives (ineffective portion) — — (11) Allowance for expected credit losses (1,771) — — Impairment of long-term receivables — (9,168) (1,730) Other items 5,531 (1,330) (1,039) Total other financial items, net (25,945) (12,753) 10,407 The net movement in the fair values of non-designated derivatives and net cash payments thereon relate to non-designated, terminated or de-designated interest rate swaps and cross currency interest rate swaps. Changes in the fair values of the effective portion of interest rate swaps that are designated as cash flow hedges are reported under "Other comprehensive income". Following the adoption of ASU 2017-12 from January 2019, the Company now recognizes all changes in the fair value of swaps designated as accounting hedges in other comprehensive income. The adoption of the standard resulted in an opening balance adjustments of $32,000 to retained earnings and other comprehensive income on January 1, 2019. The above net movement in the valuation of non-designated derivatives in the year ended December 31, 2020, includes $1.1 million (2019: $0.0 million; 2018: $3.1 million) reclassified from "Other comprehensive income", as a result of certain interest rate swaps relating to loan facilities no longer being designated as cash flow hedges. Following the adoption of ASU 2016-13 "Financial Instruments - Credit Losses" from January 2020, the Company now recognizes, among other things, a measurement of expected credit losses for financial assets held at the reporting date which are within the scope of the ASU, based on historical experience, current conditions and reasonable supportable forecasts. During the year ended December 31, 2020, the Company recorded a credit loss provision of $1.8 million in the Consolidated Statement of Operations, with a corresponding allowance for credit loss amount reported as a reduction in the related balance sheet amount of Trade receivables, Other receivables, Related party receivables, Other long term assets and Investments in sales-type leases, direct financing leases and leaseback assets. (See also Note 3: Recently Issued Accounting Standards and Note 26: Allowance for Expected Credit Losses). In February 2016, the offshore support vessel Sea Bear, then chartered to a subsidiary of Deep Sea was sold and its lease canceled. An agreed termination fee was received in the form of a loan note from Deep Sea, receivable over the approximately six remaining years of the canceled lease. The note has an interest rate of 7.25% and has a face value of $14.6 million. The note was evaluated to have an initial fair value of $11.6 million which was determined from analysis of projected cash flows, based on factors including the terms, provisions and other characteristics of the notes, default risk of the issuing entity, the fundamental financial and other characteristics of that entity, and the current economic environment and relevant trading activity in the debt market. In June 2017, Deep Sea completed a merger with Solstad Offshore ASA and Farstad Shipping ASA, creating Solstad Farstad ASA. In October 2018, Solstad Farstad ASA changed its name to Solstad Offshore ASA ("Solstad"). The loan note is unsecured and not guaranteed by its holding company. During the year ended December 31, 2019, the Company concluded that the loan note may no longer be recoverable and recorded an impairment charge of long term receivables of $8.2 million (2018: $1.7 million) against it. During the year ended December 31, 2019, the Company also recorded an impairment charge of long term receivables of $0.9 million (2018: $0.0 million) against its non-amortizing loan note from Apexindo, following revisions to the agreement. On October 20, 2020, Solstad held an extraordinary general meeting to approve its proposed debt restructuring to partly compensate stakeholders for prior losses incurred in connection with their failure to meet obligations on certain loans and lease agreements. SFL received 4.4 million shares in Solstad and cash compensation of NOK10 million ($1.1 million) which is included in other items above. The shares were subsequently sold by the Company and a gain on the sale of shares of $2.6 million was recorded in the Statement of Operations in the year ended December 31, 2020. See Note 11: Investment in Debt and equity securities. Other items in the year ended December 31, 2020, include a net gain of $5.6 million arising from foreign currency translation (2019: gain $0.3 million; 2018: loss $2.0 million). Other items also include bank charges and fees relating to loan facilities. |
INVESTMENTS IN DEBT AND EQUITY
INVESTMENTS IN DEBT AND EQUITY SECURITIES | 12 Months Ended |
Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENTS IN DEBT AND EQUITY SECURITIES | INVESTMENTS IN DEBT AND EQUITY SECURITIES Marketable securities held by the Company consist of corporate bonds and equity securities. (in thousands of $) 2020 2019 Corporate Bonds Balance at start of the year 12,753 13,245 Disposals during the year — (583) Additions during the year 1,287 2,281 Unrealized gain/(loss) recorded in other comprehensive income 279 (9) Accumulated other-than-temporary impairment* (4,888) (2,181) Balance at end of the year 9,431 12,753 2020 2019 Shares Balance at start of the year 61,326 73,929 Disposals during the year (23,661) (82,783) Unrealized gain /(loss)* (22,428) 29,104 Realized gain/(loss)* 4,864 40,777 FX gain/(loss) (727) 299 Balance at the end of year 19,374 61,326 Total Investment in Debt and Equity Securities 28,805 74,079 Equity Securities pledged to creditors 9,006 43,775 *Balances included in "Gain on investments in debt and equity securities" in the Consolidated Statements of Operations. Corporate Bonds The corporate bonds are classified as available-for-sale securities and are recorded at fair value, with unrealized gains and losses recorded as a separate component of "Other comprehensive income". Year ended December 31, 2020 Year ended December 31, 2019 (in thousands of $) Amortised Cost Unrealised gains/ (losses)* Fair value Amortised Cost Unrealised gains/ (losses)* Fair value NorAm Drilling 4,132 511 4,643 4,132 558 4,690 Oro Negro 7.5% — — — 5,705 — 5,705 Oro Negro 12% — — — 2,281 77 2,358 NT Rig Holdco 12% 3,567 404 3,971 — — — NT Rig Holdco 7.5% 817 — 817 — — — Total corporate bonds 8,516 915 9,431 12,118 635 12,753 NorAm Drilling Company AS ("NorAm Drilling") During the year ended December 31, 2020, the Company recognized an unrealized gain of $0.0 million in Other Comprehensive Income (2019: $0.1 million; 2018: $0.2 million). In the year ended December 31, 2019, the Company redeemed $0.6 million of bonds recognizing no gain or loss. Oro Negro Drilling Pte. Ltd ("Oro Negro") and NT Rig Holdco ("NT Rig Holdco") During the year ended December 31, 2020, the existing Oro Negro 12% Bonds and Oro Negro 7.5% Bonds were restructured by the issuer thereby resulting in the recognition of NT Rig Holdco Liquidity 12% Bonds and NT Rig Holdco 7.5% Bonds, and redemption of all the Oro Negro 12% Bonds and a substantial proportion of the Oro Negro 7.5% Bonds. The Company recorded no gain or loss on redemption of the bonds. The accumulated gain of $0.1 million previously recognized in the Consolidated Statement of Operations in respect of the Oro Negro 12% Bonds was reversed. The Company also acquired an additional $1.3 million of the NT Rig Holdco Liquidity 12% Bonds in the year ended December 31, 2020 . In the year ended December 31, 2020, the Company recognized an unrealized gain of $0.4 million in respect of the NT Rig Holdco 12% Bonds and an unrealized gain of $0.0 million in respect of the NT Rig Holdco 7.5% Bonds. An impairment loss of $4.3 million was recorded in the Consolidated Statement of Operations in relation to the NT Rig Holdco 7.5% Bonds. In the year ended December 31, 2019, the Company acquired $2.3 million of 12% Super Senior Callable Liquidity Bonds from Oro Negro with a face value of $2.3 million. During the year ended December 31, 2019, the Company recognized an unrealized gain of $0.1 million (2018: $0.0 million) in respect of these bonds. During the year ended December 31, 2020, the Company recognized an unrealized gain of $0.0 million in Other Comprehensive Income (2019: loss $0.2 million; 2018: gain $0.2 million) on the 7.5% Oro Negro bonds. In the year ended December 31, 2020 it was determined that the bonds were other-than-temporarily impaired and an aggregate impairment loss of $0.6 million was recorded in the Consolidated Statement of Operations (2019: $2.2 million; 2018: $0.0 million). Shares Changes in the fair value of equity investments are recognized in net income. (in thousands of $) 2020 2019 Frontline* 9,007 43,775 NorAm Drilling 1,484 4,326 ADS Maritime Holding (formally ADS Crude Carriers) 8,883 13,225 Total shares 19,374 61,326 * As at December 31, 2020, the carrying value of the shares held in Frontline pledged to creditors is $9.0 million (2019: $43.8 million). Frontline Shares As of December 31, 2020 the Company held approximately 1.4 million shares (2019: 3.4 million shares) in Frontline (see Note 24: Related Party Transactions). During the year ended December 31, 2020, the Company sold approximately 2.0 million shares (2019: 7.6 million shares) in Frontline for total proceeds of $21.1 million (2019: $23.7 million) and recorded realized gains of $2.3 million (2019: $40.8 million) in the statement of operations in respect of the sales. In December 2019 the Company sold 3.4 million shares subject to a repurchase agreement and as at December 31, 2019, the Company had a forward contract to purchase the approximately 3.4 million shares on June 30, 2020 for $36.8 million. During the year ended December 31, 2020, the Company repurchased approximately 2.0 million shares in Frontline. In June 2020, the Company rolled forward the forward contract related to the remaining approximately 1.4 million shares until September of 2020 at a purchase price of $16.1 million including deemed interest. In September 2020, the Company rolled forward the forward contract related to 1.4 million shares until January of 2021, and has subsequently been rolled over to April 2021, at a repurchase price of $16.2 million including deemed interest. These transactions have been accounted for as secured borrowing, with the shares retained in 'Marketable Securities pledged to creditors' and a liability recorded at December 31, 2020 within debt for $15.6 million (2019: $36.8 million). (See also Note 20: Short-Term and Long-Term Debt). In the year ended December 31, 2020, the Company recognized a fair value adjustment loss of $16.0 million (2019: gain $25.0 million; 2018: gain $10.3 million) in the Statement of Operations. NorAm Drilling As of December 31, 2020 and 2019 the Company held approximately 1.3 million shares in NorAm Drilling which traded in the Norwegian Over the Counter market ("OTC"). The Company recognized a mark to market loss of $2.5 million (2019: gain $0.4 million, 2018: gain $1.0 million) in the Statement of Operations in the year ended December 31, 2020, together with a foreign exchange loss of $0.3 million (2019: $0.0 million; 2018: $0.2 million) in Other Financial Items in the Statement of Operations. (See also Note 24: Related Party Transactions). ADS Maritime Holding As of December 31, 2020 and 2019 the Company held approximately 4.0 million shares in ADS Maritime Holding. The Company had acquired all of the shares in ADS Maritime Holding for $10 million in 2018. (See also Note 24: Related Party Transactions). In the year ended December 31, 2020, the Company recognized a mark to market loss of $3.9 million (2019: gain $3.7 million; 2018: loss $0.8 million) in the Statement of Operations, along with a foreign exchange loss of $0.4 million (2019: gain $0.3 million; 2018: gain $0.0 million) in Other Financial Items in the Statement of Operations. In March 2021, the Company received a capital dividend of approximately $8.8 million from ADS Maritime Holding following the sale of its remaining two vessels. Also in March 2021, the Company sold its remaining shares in ADS Maritime Holding for a consideration of approximately$0.8 million. (See Note 29: Subsequent Events). Solstad Offshore ASA During the year ended December 31, 2020, the Company received 4.4 million shares in Solstad Offshore ASA as part of a debt restructuring agreement, along side a cash compensation of NOK10 million ($1.1 million). The shares were subsequently sold by the Company and a gain of $2.6 million was recorded in connection with the sale of the shares in the Statement of Operations in the year ended December 31, 2020. (See also Note 10: Other Financial Items). |
TRADE ACCOUNTS RECEIVABLE AND O
TRADE ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
TRADE ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES | TRADE ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES Trade accounts receivable Trade accounts receivable are presented net of the allowances for doubtful debts and expected credit losses. The allowance for doubtful debts was $0.0 million (2019: $0.0 million) and expected credit losses relating to trade accounts receivable was $0.0 million as at December 31, 2020 (2019: $0.0 million). As at December 31, 2020, the Company has no reason to believe that any remaining amount included in trade accounts receivable will not be recovered through due process or negotiation. (See also to Note 26: Allowance for expected credit losses). Other receivables Other receivables, mainly include amounts due from vessel managers and claims receivable, which are presented net of the allowance for doubtful debts and expected credit losses. The allowance for doubtful debts was $0.0 million (2019: $0.0 million) and the allowance for expected credit losses relating to other receivables was $0.9 million as at December 31, 2020 (2019: $0.0 million). (See also Note 26: Allowance for expected credit losses). |
VESSELS AND EQUIPMENT, NET
VESSELS AND EQUIPMENT, NET | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
VESSELS AND EQUIPMENT, NET | VESSELS AND EQUIPMENT, NET Movements in the year ended December 31, 2020 summarized as follows: (in thousands of $) Cost Accumulated Depreciation Vessels and Equipment, net Balance at December 31, 2019 1,867,873 (463,168) 1,404,705 Depreciation — (71,302) (71,302) Capital improvements 52,676 — 52,676 Additions 258,138 — 258,138 Transfers to Investments in Sales-Type Leases (87,570) 20,368 (67,202) Vessel disposals (7,362) 3,963 (3,399) Impairment loss (390,584) 57,666 (332,918) Other movements — — — Balance at December 31, 2020 1,693,171 (452,473) 1,240,698 In the year ended December 31, 2020, seven 4,100 TEU container vessels, previously recorded as operating lease assets, were reclassified as sales-type leases. The reclassification occurred as a result of amendments including extensions to the existing charter contracts. The cost and accumulated depreciation of the vessels reclassified from vessels and equipment to investment in sales-type leases were $87.6 million and $20.4 million, respectively. (Refer to Note 16: Investment in sales-type leases, direct financing leases and leaseback assets). In the year ended December 31, 2019, the 5,800 TEU container vessels MSC Margarita and MSC Vidhi , previously recorded as operating lease assets, were reclassified as sales-type leases. The reclassification occurred as a result of amendments to the existing charter contracts. The cost and accumulated depreciation of the container vessels reclassified from vessels and equipment to investment in direct financing leases were $40.3 million and $13.0 million. The capital improvements of $52.7 million (2019: $9.7 million) relate to exhaust gas cleaning systems ("EGCS" or "scrubbers") and ballast water treatment systems ("BWTS") installed on 16 vessels (2019: five vessels) during the year ended December 31, 2020. Advances paid in respect of vessel upgrades in relation to EGCS and BWTS were included within "other long-term assets", until such time as the equipment was installed on the vessels, at which point the amounts were transferred to "Vessels and equipment, net". Total depreciation expense for vessels and equipment was $71.3 million for the year ended December 31, 2020 (2019: $80.3 million; 2018: $99.6 million). In the year ended December 31, 2020, the Company consolidated the wholly owned subsidiary owning the drilling unit West Taurus that was previously accounted for using the equity method of accounting (Refer to Note 17: Investment in associated companies). As a result, the entity has been consolidated in the financial statements and the carrying value of the drilling unit, of $258.1 million, was recognized in vessels and equipment, net. An impairment charge of $252.6 million was recorded in the year ended December 31, 2020 against the carrying value of the drilling unit. A further impairment charge of $80.3 million was recorded in the year ended December 31, 2020 against the carrying value of seven Handysize bulk carriers (2019: $55.5 million against the carrying value of four offshore support vessels and two feeder container vessels; 2018: $25.4 million in respect of four offshore support vessels). The impairment charge arose in the year ended December 31, 2020, as a result of revised future cashflow estimates following uncertainty over future demand combined with negative implications for global trade of dry bulk commodities as a result of the COVID-19 outbreak. During the year ended December 31, 2020 the Company sold five offshore support vessels which had been chartered on a long-term bareboat charter to Deep Sea Supply Shipowning II AS (the “Solstad Charterer”), an indirect wholly owned subsidiary of Solship Invest 3 AS (“Solship”) which is in turn a wholly owned subsidiary of Solstad Offshore ASA (“Solstad”). A net gain of $0.9 million was recorded in connection with the disposal of these vessels. Refer to Note 8: Gain on sale of assets and termination of charters. No vessel disposals took place in the year ended December 31, 2019. Four of these vessels were accounted for as operating leases within Vessels and Equipment, net, and the other one was accounted for as a direct financing lease (Refer to Note 16: Investment in direct financing, sales-type and leaseback assets). In 2018, the Company had entered into a restructuring agreement with subsidiaries of Solstad, whereby the Company would receive 50% of the agreed charter hire for two of the offshore support vessels. All other contracted charter hire income earned from fixed assets and direct financing lease assets was to be deferred until the end of 2019. In April 2019, Solship announced that a Standstill Agreement had been entered into with, amongst others, the Company whereby 100% of charter hire for vessels on charter to Solship was to be deferred. Solship announced that the Standstill Agreement had been extended until March 31, 2020, subject to agreed milestones being met throughout the suspension period. During the year ended December 31, 2019, all the vessels were impaired as described above. In October 2020, Solstad held an extraordinary general meeting (“EGM”) to approve its proposed debt restructuring to partly compensate stakeholders for prior losses incurred in connection with their failure to meet obligations on certain loans and lease agreements. SFL received 4.4 million shares in Solstad and cash compensation of NOK10 million ($1.1 million) which is included in other financial. The shares were subsequently sold by the Company and a gain on the sale of shares of $2.6 million was recorded in the Statement of Operations in the year ended December 31, 2020. See Note 11: Investment in Debt and equity securities. Acquisitions, disposals and impairments in respect of vessels accounted for as sales-type leases, direct financing leases, leaseback assets and vessels under finance leases are discussed in Note 16: Investment in sales-type leases, direct financing leases and leaseback assets and Note 14: Vessels under finance lease, net. |
VESSELS UNDER FINANCE LEASE, NE
VESSELS UNDER FINANCE LEASE, NET | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
VESSELS UNDER FINANCE LEASE, NET | VESSELS UNDER FINANCE LEASE, NET Movements in the year ended December 31, 2020 summarized as follows: (in thousands of $) Cost Accumulated Depreciation Vessels under Finance Lease, net Balance at December 31, 2019 755,058 (40,582) 714,476 Depreciation — (39,977) (39,977) Capital improvements 22,881 — 22,881 Balance at December 31, 2020 777,939 (80,559) 697,380 As at December 31, 2020, seven vessels were accounted for as vessels under finance lease, made up of four 13,800 TEU container vessels and three 10,600 TEU container vessels. The vessels are leased back for an original term ranging from six Total depreciation expense for vessels under finance lease amounted to 40.0 million for the year ended December 31, 2020 and is included in depreciation in the consolidated statements of operations. (2019: $36.1 million; 2018: $4.5 million). |
OTHER LONG TERM ASSETS
OTHER LONG TERM ASSETS | 12 Months Ended |
Dec. 31, 2020 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
OTHER LONG TERM ASSETS | OTHER LONG TERM ASSETS Other long term assets comprise the following items: (in thousands of $) 2020 2019 Capital improvements in progress 10,099 30,642 Collateral deposits on swap agreements 398 17,520 Value of acquired charter-out contracts, net 10,503 13,407 Long term receivables — 1,880 Other 961 799 Total other long-term assets 21,961 64,248 Capital improvements in progress comprises of advances paid and costs incurred in respect of vessel upgrades in relation to EGCS and BWTS on 11 vessels (2019: nine vessels). This is recorded in other long term assets until such time as the equipment is installed on a vessel, at which point it is transferred to "Vessels and equipment, net" or "Investment in sales-type leases and direct financing leases'. In the year ended December 31, 2020, the Company transferred costs of $52.7 million in respect of 16 vessels (2019: $9.7 million in respect of five vessels) to "Vessels and equipment, net". During 2019, the Company agreed to fund EGCS installations on three 10,600 TEU container vessels. The installation of EGCS was completed in the year ended December 31, 2020 and costs of $22.9 million in respect of these vessels were transferred to 'Vessels under finance lease, net'. During 2018, the Company purchased four container vessels, Thalassa Mana , Thalassa Tyhi , Thalassa Doxa and Thalassa Axia with pre-existing time charters to Evergreen Marine. A value of $18.0 million was assigned to these charters in 2018, in the year ended December 31, 2020 the amortization charged to time charter revenue was $2.9 million (2019: $2.9 million; 2018: $2.9 million). The long term receivables balance at December 31, 2019 of $1.9 million comprised of loan notes due from third parties arising from the early termination of charters. Following the adoption of ASU 2016-13 from January 1, 2020, the Company recognized a credit loss provision totaling $1.9 million against this long term receivables balance thereby resulting in the balance of $0.0 million as at December 31, 2020. (see also Note 26: Allowance for expected credit losses and Note 10: Other financial items). |
INVESTMENTS IN SALES-TYPE LEASE
INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS | 12 Months Ended |
Dec. 31, 2020 | |
Net Investment in Direct Financing and Sales Type Leases [Abstract] | |
INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS | INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS Foll owing the adoption of ASU 2016-02 from January 2019, the Company records new and modified leases as per ASC 842. The Company has elected the practical expedient to not reassess existing leases. The adoption of the standard resulted in no opening balance adjustments. See also Accounting policies within Note 2. (in thousands of $) 2020 2019 Investments in sales-type and direct financing leases 592,102 786,598 Investments in leaseback assets 85,441 207,789 677,543 994,387 As at December 31, 2020, the Company had a total of 28 vessel charters accounted for as sales-type and direct financing leases (2019: 26 vessels) and four vessel charters classified as leaseback assets (2019: six vessels). Investments in sales type and direct financing leases As of December 31, 2020, the Company had two VLCC crude tankers accounted for as direct financing leases (2019: three VLCCs). These vessels are on charter to Frontline Shipping Limited ("Frontline Shipping") on long-term, fixed rate time charters which spans an average term of approximately six years as at December 31, 2020. Frontline Shipping is a wholly owned subsidiary of Frontline, a related party. The terms of the charters do not provide Frontline Shipping with an option to terminate the charters before the end of their terms. During the year ended December 31, 2019, these VLCC crude tankers, Front Energy and Front Force underwent EGCS installations. Costs of $4.2 million were capitalized to the net investment in lease balance of the two vessels, which represents a 50% share of joint costs with Frontline Shipping Limited. The VLCC Front Hakata was sold to an unrelated third party in February 2020. A gain on sale of $1.4 million was recognized in the Consolidated Statement of Operations (refer to Note 8: Gain on sale of assets and termination of charters and Note 24: Related party transactions). During the year ended December 31, 2019 there was no disposals to VLCCs accounted for as direct financing leases. At December 31, 2019, the Company owned one offshore supply vessel accounted for as a direct financing lease which was chartered on a long-term bareboat charter. I n February 2020, the Company entered into a Memorandum of Agreement to sell the offshore support vessel Sea Leopard for recycling to Green Yard AS, an unrelated third party. The vessel was delivered in May 2020. During the year ended December 31, 2020 t he Company recorded an impairment loss of $0.2 million ( 2019: $5.0 million) prior to disposal and a loss on sale of $0.03 million was recognized in the Consolidated Statement of Operations (refer to Note 8 Gain on sale of assets and termination of charters and Note 24: Related party transaction). As at December 31, 2020, the Company had 15 (2019: 19) container vessels accounted for as direct financing leases and 10 (2019: three) container vessels accounted for as a sales-type leases, all of which are on long-term bareboat charters to MSC Mediterranean Shipping Company S.A. ("MSC"), an unrelated party. The terms of the charters for 15 container vessels provide the charterer with purchase options throughout the term of the charters and the Company with a put option at the end of the seven years charter period. The charter contract for the 10 container vessels accounted for as a sales-type leases provides the charterer with a minimum fixed price purchase obligation at the expiry of each of the charters. During the year ended December 31, 2020, seven 4,100 TEU container vessels, with a total net book value of $67.2 million (2019: two 5,800 TEU container vessels with a total net book value of $27.3 million), were reclassified from Vessels and Equipment net, to Investment in Sales-Type Leases. The reclassification occurred as a result of amendments to the existing charter contracts. Pursuant to each amended contract, the charterer has a fixed price purchase obligation at the expiry of the additional five During the year ended December 31, 2020, the Company recognized the amount of $361.0 million in investments in direct financing leases in respect of one drilling unit ( West Linus ) which is held by a wholly owned subsidiary of the Company (SFL Linus Ltd) and leased to a subsidiary of Seadrill. SFL Linus Ltd was previously determined to be a variable interest entity in which the Company was not the primary beneficiary and the subsidiary was accounted for under the equity method. Following changes to the financing agreement in October 2020 as a result of defaults by Seadrill, the Company was determined to be the primary beneficiary of SFL Linus Ltd and consolidates it from this date. (See Note 17: Investment in Associated Companies). River Box was a previously wholly owned subsidiary of the Company. It holds investments in direct financing leases, through its subsidiaries, related to the 19,200 and 19,400 TEU containerships MSC Anna , MSC Viviana , MSC Erica and MSC Reef. On December 31, 2020, the Company sold 50.1% of the shares of River Box to a subsidiary of Hemen, a related party. Following the sale of River Box, the investments in the four container vessels accounted for as direct financing leases of $540.9 million have been derecognized from the consolidated financial statements of the Company. (Refer to Note 9: Gain on sale of subsidiaries and disposal groups and Note 17: Investment in Associated Companies). In 2018, and in respect of assets classified as Investments in sales type and direct financing leases, an impairment charge of $38.9 million was recorded against the carrying value of four VLCC's ( Front Page, Front Stratus, Front Serenade and Front Ariake ) and one offshore supply vessel ( Sea Leopard). Investments in leaseback assets When a sale and leaseback transaction does not qualify for sale accounting, the Company does not recognize the transferred vessels and instead accounts for the purchase as a leaseback asset. In May 2020, SFL acquired a newbuild VLCC from Landbridge Universal Limited ("Landbridge") where control was not deemed to have passed to the Company due to the presence of repurchase options in the lease on acquisition and therefore was classified as a leaseback asset. Upon delivery, the vessel immediately commenced a seven seven During the year ended December 31, 2019, the Company acquired six vessels where control was not deemed to have passed to the Company due to the existence of repurchase options in the leases on acquisition. These have therefore been classified as 'leaseback assets'. These comprised of three second-hand feeder size container vessels which were acquired in a purchase and leaseback with subsidiaries of MSC. The vessels were chartered back for approximately six years on bareboat basis. The charterer has purchase options throughout the term of the charters and the Company has a put option at the end of the six five During the year ended December 31, 2020, SFL redelivered all three VLCC's to the Hunter Group in August 2020 ( Hunte r Atla and Hunte r Saga ) and November 2020 (Hunter Laga ), following exercise of options. Net proceeds of $176.2 million were received and debt of $142.5 million repaid. (Refer to Note 8 Gain on sale of assets.) The following lists the components of investments in sales-type leases, direct financing leases and leaseback assets as at December 31, 2020 and December 31, 2019: (in thousands of $) December 31, 2020 Sales-Type Leases and Direct Financing Leases Leaseback Assets Total Total minimum lease payments to be received 705,196 79,786 784,982 Less : amounts representing estimated executory costs including profit thereon, included in total minimum lease payments (40,698) — (40,698) Net minimum lease payments receivable 664,498 79,786 744,284 Estimated residual values of leased property (un-guaranteed) 79,621 31,500 111,121 Less : unearned income (147,876) (25,596) (173,472) Total investment in sales-type lease, direct financing lease and leaseback assets 596,243 85,690 681,933 Allowance for expected credit losses* (4,141) (249) (4,390) Total investment in sales-type lease, direct financing lease and leaseback assets 592,102 85,441 677,543 Current portion 45,888 9,532 55,420 Long-term portion 546,214 75,909 622,123 (in thousands of $) December 31, 2019 Sales-Type Leases and Direct Financing Leases Leaseback Assets Total Total minimum lease payments to be received 1,085,642 134,073 1,219,715 Less : amounts representing estimated executory costs including profit thereon, included in total minimum lease payments (64,222) — (64,222) Net minimum lease payments receivable 1,021,420 134,073 1,155,493 Estimated residual values of leased property (un-guaranteed) 192,429 139,500 331,929 Less : unearned income (427,251) (65,784) (493,035) Total investment in sales-type lease, direct financing lease and leaseback assets 786,598 207,789 994,387 Allowance for expected credit losses* — — — Total investment in sales-type lease, direct financing lease and leaseback assets 786,598 207,789 994,387 Current portion 45,361 10,828 56,189 Long-term portion 741,237 196,961 938,198 *See Note 2: Accounting policies and Note 26: Allowance for expected credit losses. The minimum future gross revenues to be received under the Company's non-cancellable sales type leases, direct financing leases and leaseback assets as of December 31, 2020, are as follows: (in thousands of $) Sales-Type Leases and Direct Financing Leases Leaseback Assets Total 2021 84,206 15,410 99,616 2022 81,628 15,410 97,038 2023 111,874 14,630 126,504 2024 101,775 14,172 115,947 2025 78,058 9,517 87,575 Thereafter 247,655 10,647 258,302 Total minimum lease payments to be received 705,196 79,786 784,982 The above minimum lease revenues includes $89.2 million related to the two VLCCs leased to Frontline Shipping as of December 31, 2020 (See Note 24: Related Party Transactions). Interest income earned on investments in direct financing leases, sales type leases and leaseback assets in the year ended December 31, 2020 was as follows: (in thousands of $) 2020 2019 2018 Investments in sales type and direct financing leases* 57,579 56,764 39,678 Investments in leaseback assets 13,637 3,556 — Total 71,216 60,320 39,678 *Interest income earned on investments in sales-type leases and direct financing leases in the above table includes $1.7 million in relation to Frontline Shipping, a related party (2019: $3.8 million; 2018: $9.6 million). |
INVESTMENT IN ASSOCIATED COMPAN
INVESTMENT IN ASSOCIATED COMPANIES | 12 Months Ended |
Dec. 31, 2020 | |
Variable Interest Entity, Not Primary Beneficiary, Disclosures [Abstract] | |
INVESTMENT IN ASSOCIATED COMPANIES | INVESTMENT IN ASSOCIATED COMPANIES The Company has, and has had, certain wholly-owned subsidiaries which are accounted for using the equity method of accounting, as it has been determined under ASC 810 that they are variable interest entities in which SFL is not the primary beneficiary. At December 31, 2020, 2019 and 2018, the Company had the following participation in investments that are recorded using the equity method: 2020 2019 2018 River Box Holding Inc. 49.90 % — % — % SFL Deepwater Ltd — % 100.00 % 100.00 % SFL Hercules Ltd 100.00 % 100.00 % 100.00 % SFL Linus Ltd — % 100.00 % 100.00 % River Box was a previously wholly owned subsidiary of the Company. River Box holds investments in direct financing leases, through its subsidiaries, related to the 19,200 and 19,400 TEU containerships MSC Anna , MSC Viviana , MSC Erica and MSC Reef . On December 31, 2020, the Company sold 50.1% of the shares of River Box to a subsidiary of Hemen, a related party. A gain of $1.9 million was recognized in the Statement of Operations for the year ended December 31, 2020 in relation to the disposal. See Note 9: Gain on sale of subsidiaries. The Company has accounted for the remaining 49.9% ownership in River Box using the equity method. SFL Deepwater Ltd ("SFL Deepwater"), SFL Hercules Ltd ("SFL Hercules") and SFL Linus Ltd ("SFL Linus") each own the drilling units West Taurus , West Hercules and West Linu s respectively. These units are leased to subsidiaries of Seadrill Limited (“Seadrill”), a related party. Because the main assets of SFL Deepwater, SFL Hercules and SFL Linus are the subject of leases which each include both fixed price call options and a fixed price purchase obligation or put option, they were previously determined to be variable interest entities in which the Company was not the primary beneficiary. In September 2017, Seadrill announced that it has entered into a restructuring agreement (the “2017 Restructuring Plan”) with more than 97% of its secured bank lenders, approximately 40% of its bondholders and a consortium of investors led by its largest shareholder, Hemen Holding Limited (“Hemen”), who is also the largest shareholder in the Company. The Company, SFL Deepwater, SFL Hercules and SFL Linus also entered into the 2017 Restructuring Plan, which was implemented by way of prearranged Chapter 11 cases. As part of the 2017 Restructuring Plan, the financial covenants on Seadrill were replaced by financial covenants on a newly established subsidiary of Seadrill, Seadrill Rig Holding Company Limited (“RigCo”), who also acts as guarantor for the obligations under the leases for the three drilling units, on a subordinated basis to the senior secured lenders in Seadrill and secured notes. During the year ended December 31, 2020, Seadrill publicly disclosed that they had appointed financial and legal advisors to evaluate comprehensive restructuring alternatives to reduce debt service costs and overall indebtedness. In September and October 2020, Seadrill failed to pay hire when due under the leases for the three drilling unit. The overdue hires along with certain other events, constituted an event of default under such leases and the related financing agreements. Under the terms of the leases, charter payment from the sub-charterers of West Hercules and West Linus , were paid into accounts pledged to SFL and its financing banks. During November and December 2020, Seadrill and SFL entered into forbearance and funds withdrawal agreements during which Seadrill was allowed to use certain funds received from the sub-charterers to pay operating expenses for the rigs in exchange for the Company being paid approximately 65 -75% of the existing contracted lease hire related to the West Hercules and the West Linus. Any hire received by Seadrill relating to the sub-charters on these two rigs in excess of the withdrawn amounts remained in Seadrill’s earnings accounts pledged to SFL. In February 2021, Seadrill and most of its subsidiaries filed Chapter 11 cases in the Southern District of Texas. SFL and certain of its subsidiaries have entered into court approved interim agreements with Seadrill relating to two of the Company’s drilling rigs, West Linus and West Hercules , allowing for the uninterrupted performance of sub-charters to oil majors while the Chapter 11 process is ongoing. Pursuant to these agreements, Seadrill will be allowed to use funds received from the respective sub-charterers to pay a fixed level of operating and maintenance expenses in additional to general and administrative costs. In exchange, SFL will receive approximately 65 - 75% of the lease hire under the existing charter agreements for West Linu s and West Hercules for the same period. With regards to the third rig, West Taurus , the lease has been rejected by the court and the rig will be redelivered to SFL within approximately three months. This rig is debt free and has been held in layup by Seadrill for more than five years. SFL is currently evaluating strategic alternatives for this rig, including potential recycling at an EU approved recycling facility. (See Note 29: Subsequent Events). In October 2020, the Company was determined to be the primary beneficiary of SFL Linus and SFL Deepwater following changes to the financing agreements and as a result of defaults by Seadrill. Therefore, from October 2020 these subsidiaries were consolidated by the Company. Details are as follows: SFL Deepwater is a 100% owned subsidiary of SFL, incorporated in 2008 for the purpose of holding two ultra-deepwater drilling rigs and leasing those rigs to Seadrill Deepwater Charterer Ltd. and Seadrill Offshore AS, fully guaranteed by their parent company Seadrill. In June 2013, SFL Deepwater transferred one of the rigs and the corresponding lease to SFL Hercules (see below). Accordingly, SFL Deepwater now holds one ultra deepwater drilling rig which is leased to Seadrill Deepwater Charterer Ltd. In October 2013, SFL Deepwater entered into a $390 million five years term loan and revolving credit facility with a syndicate of banks, which was used in November 2013 to refinance the previous loan facility. In connection with a Restructuring Plan in 2017, certain amendments were agreed with the banks under the loan facility, including an extension of the final maturity date by four years. In October 2020, the Company repurchased the total debt outstanding under the facility of $176.1 million for $110.0 million and recognized a gain on debt extinguishment of $66.1 million. At December 31, 2020, the balance outstanding under the facility was $0.0 million (2019: $187.9 million). The Company guaranteed $0.0 million of this debt at December 31, 2020 (2019: $84.7 million). SFL Linus is a 100% owned subsidiary of SFL, acquired in 2013 from North Atlantic Drilling Ltd ("NADL"), a related party. SFL Linus holds a harsh environment jack-up drilling rig which was delivered from the shipyard in February 2014 and immediately leased to North Atlantic Linus Charterer Ltd., fully guaranteed by its parent company NADL. NADL is now a subsidiary of Seadrill. In October 2013, SFL Linus entered into a $475 million five years term loan and revolving credit facility with a syndicate of banks to partly finance the acquisition of the rig. The facility was drawn in February 2014. In connection with the 2017 Restructuring Plan, certain amendments were agreed with the banks under the loan facility, including an extension of the final maturity date by four years. In October 2020, the Company agreed to fully guarantee the facility (2019: $102.5 million) and the balance outstanding under this facility at December 31, 2020, of $216.0 million was consolidated by the Company (2019: $232.1 million equity accounted) together with the other assets and liabilities of SFL Linus. SFL Hercules is a 100% owned subsidiary of SFL, incorporated in 2012 for the purpose of holding an ultra-deepwater drilling rig and leasing that rig to Seadrill Offshore AS, fully guaranteed by its parent company Seadrill. The rig was transferred, together with the corresponding lease, to SFL Hercules from SFL Deepwater in June 2013. In May 2013, SFL Hercules entered into a $375 million six years term loan and revolving credit facility with a syndicate of banks to partly finance its acquisition of the rig from SFL Deepwater. The facility was drawn in June 2013. In connection with the 2017 Restructuring Plan, certain amendments were agreed with the banks under the loan facility, including an extension of the final maturity date by four years. At December 31, 2020, the balance outstanding under this facility was $185.8 million (2019: $201.9 million). The Company guaranteed $83.1 million of this debt at December 31, 2020 (2019: $78.9 million). In addition, the Company has given the banks a first priority pledge over all shares of SFL Hercules and assigned all claims under a secured loan made by the Company to SFL Hercules in favor of the banks. This loan is secured by a second priority mortgage over the rig which has been assigned to the banks. The rig is chartered on a bareboat basis and the terms of the charter provide the charterer with various call options to acquire the rig at certain dates throughout the charter. In addition, there is an obligation for the charterer to purchase the rig at a fixed price at the end of the charter, which originally expired in November 2023. In connection with the 2017 Restructuring Plan, the lease has been extended by 13 months until December 2024. Because the main asset of SFL Hercules is the subject of a lease which includes both fixed price call options and a fixed price purchase obligation at the end of the charter, and due to the substantive restrictions in the debt facility, it has been determined that this subsidiary of SFL is a variable interest entity in which SFL is not the primary beneficiary. As discussed above, following the 2017 Restructuring Plan, RigCo acts as guarantor for the obligations under the leases for the three drilling units, on a subordinated basis to the senior secured lenders in Seadrill and new secured notes. Seadrill was in default on its leases with the Company at December 31, 2020, as well as on certain credit facilities with other lenders. Seadrill's failure to pay hire under the leases for the Company's drilling rigs when due, along with certain other events, including the commencement of its Chapter 11 Proceedings, constitute events of default under such leases and the related financing agreements. Unless cured or waived, the event of default could result in enforcement including making payments under certain guarantees of the loan facility. Due to the default on the SFL Hercules loan agreement, the balance of the long term loan in SFL Hercules was reclassified to short-term as shown below in the summarized balance sheet information. Summarized balance sheet information of the Company's equity method investees is as follows: As of December 31, 2020 (in thousands of $) TOTAL River Box SFL SFL SFL Share presented 49.90 % 100.00 % Current assets 34,763 12,475 — 22,288 — Non-current assets 513,918 258,865 — 255,053 — Total assets 548,681 271,340 — 277,341 — Current liabilities 199,255 12,569 — 186,686 — Non-current liabilities (1) 322,129 243,219 — 78,910 — Total liabilities 521,384 255,788 — 265,596 — Total stockholders' equity (2) 27,297 15,552 — 11,745 — As of December 31, 2019 (in thousands of $) TOTAL River Box SFL SFL SFL Current assets 75,079 — 29,047 22,645 23,387 Non-current assets 920,801 — 286,222 273,621 360,958 Total assets 995,880 — 315,269 296,266 384,345 Current liabilities 65,832 — 19,168 20,761 25,903 Non-current liabilities (1) 887,887 — 285,147 265,769 336,971 Total liabilities 953,719 — 304,315 286,530 362,874 Total stockholders' equity (2) 42,161 — 10,954 9,736 21,471 (1) River Box and SFL Hercules non-current liabilities at December 31, 2020, include $45.0 million and $78.9 million due to SFL, respectively (see Note 24: Related party transactions). At December 31, 2019 SFL Deepwater, SFL Hercules and SFL Linus non-current liabilities include $113.0 million, $80.0 million and $121.0 million respectively (see Note 24: Related party transactions). In addition, SFL Deepwater, SFL Hercules and SFL Linus current liabilities at December 31, 2019, include a further $1.2 million, $3.4 million and $7.4 million due to SFL, respectively (see Note 24: Related party transactions). (2) In the year ended December 31, 2020, 2019 and 2018, the Company did not receive any dividends from its associates. Summarized statement of operations information of the Company's equity method investees is shown below. Year ended December 31, 2020 (in thousands of $) TOTAL River Box SFL SFL SFL Operating revenues 45,573 — 11,835 15,072 18,666 Net operating revenues 45,532 — 11,892 15,050 18,590 Net income (3) 4,286 — (6,002) 3,827 6,461 Year ended December 31, 2019 (in thousands of $) TOTAL River Box SFL SFL SFL Operating revenues 64,142 — 18,966 18,378 26,798 Net operating revenues 64,142 — 18,966 18,378 26,798 Net income (3) 17,054 — 4,346 3,622 9,086 Year ended December 31, 2018 (in thousands of $) TOTAL River Box SFL SFL SFL Operating revenues 64,572 — 19,594 19,126 25,852 Net operating revenues 64,410 — 19,540 19,049 25,821 Net income (3) 14,635 — 3,973 3,372 7,290 (3) The net income of River Box, SFL Deepwater, SFL Hercules and SFL Linus for the year ended December 31, 2020, includes interest payable to SFL amounting to $0.0 million, $3.8 million (2019: $5.1 million; 2018: $5.1 million), $3.6 million (2019: $3.6 million; 2018: $3.6 million), and $4.5 million (2019: $5.4 million; 2018: $5.4 million), respectively (see Note 24: Related party transactions). As required by ASU 2016-13 ' Financial Instruments - Credit Losses' from January 2020, SFL Deepwater, SFL Hercules and SFL Linus recognized an allowance for expected credit losses in respect of their principal financial assets : 'Investment in d irect f inanc ing l ease s ' and 'Related p arty r eceivable balances', held at the reporting date , which are within the scope of the ASU. Movements in the year ended December 31, 2020, in the allowance for expected credit losses can be summarized as follows: As of December 31, 2020 (in thousands of $) TOTAL River Box SFL SFL SFL Share presented 49.90 % 100.00 % Balance at December 31, 2019 — — — — — Adjustment for adoption of the ASU 2016-13 (Note 2) 27,024 — 23,493 1,816 1,715 Transferred from associates (35,665) — (32,964) — (2,701) Addition from new associate 786 786 — — — Allowance recorded in net income of associated company 11,276 — 9,471 819 986 Balance at December 31, 2020 3,421 786 — 2,635 — As indicated in Note 2 : 'Accounting Policies', the allowance for expected credit losses is based on an analysis of factors including the credit rating assigned to the lessee, Seadrill, management ' s assessment of current and expected conditions in the offshore drilling market and calculated collateral exposure. SFL Deepwater had a significantly higher allowance for expected credit losses due to calculated collateral exposure. In October 2020, SFL's Deepwater's direct financing lease was transferred to the Company net of its credit loss provision and recorded in vessels and equipment net, and was subsequently impaired. See Note 13: Vessels and equipment, net. In the year ended December 31, 2020, December 31, 2019, and December 2018, SFL Deepwater, SFL Hercules and SFL Linus did not pay any dividends. |
ACCRUED EXPENSES
ACCRUED EXPENSES | 12 Months Ended |
Dec. 31, 2020 | |
Accrued Liabilities [Abstract] | |
ACCRUED EXPENSES | ACCRUED EXPENSES (in thousands of $) 2020 2019 Vessel operating expenses 12,841 8,668 Administrative expenses 1,603 1,694 Interest expense 6,616 6,770 21,060 17,132 |
OTHER CURRENT LIABILITIES
OTHER CURRENT LIABILITIES | 12 Months Ended |
Dec. 31, 2020 | |
Other Liabilities Disclosure [Abstract] | |
OTHER CURRENT LIABILITIES | OTHER CURRENT LIABILITIES (in thousands of $) 2020 2019 Deferred and prepaid charter revenue 15,156 10,000 Employee taxes 34 3,117 Other items 895 162 16,085 13,279 |
SHORT-TERM AND LONG-TERM DEBT
SHORT-TERM AND LONG-TERM DEBT | 12 Months Ended |
Dec. 31, 2020 | |
Long-term Debt, by Current and Noncurrent [Abstract] | |
SHORT-TERM AND LONG-TERM DEBT | SHORT-TERM AND LONG-TERM DEBT (in thousands of $) 2020 2019 Long-term debt: Norwegian kroner 500 million senior unsecured floating rate bonds due 2020 — 56,910 5.75% senior unsecured convertible bonds due 2021 212,230 212,230 Norwegian kroner 700 million senior unsecured floating rate bonds due 2023 81,572 79,674 4.875% senior unsecured convertible bonds due 2023 139,900 148,300 Norwegian kroner 700 million senior unsecured floating rate bonds due 2024 80,989 79,674 Norwegian kroner 600 million senior unsecured floating rate bonds due 2025 62,927 — Borrowings secured on Frontline shares 15,639 36,763 U.S. dollar denominated floating rate debt due through 2025 1,070,137 1,013,626 Total debt principal 1,663,394 1,627,177 Less : unamortized debt issuance costs (14,325) (19,089) Less : current portion of long-term debt (484,956) (253,059) Total long-term debt 1,164,113 1,355,029 The outstanding debt as of December 31, 2020, is repayable as follows: Year ending December 31, (in thousands of $) 2021 484,956 2022 262,059 2023 493,535 2024 227,703 2025 195,141 Thereafter — Total debt principal 1,663,394 Interest rate information December 31, 2020 December 31, 2019 Weighted average interest rate 2.91 % 4.27 % US Dollar London Interbank Offered Rate ("LIBOR") 0.24 % 1.91 % Norwegian Interbank Offered Rate ("NIBOR") 0.49 % 1.84 % The weighted average interest rate is for floating rate debt denominated in U.S. dollars and Norwegian kroner (“NOK”) which takes into consideration the effect of related interest rate swaps. NOK500 million senior unsecured bonds due 2020 On June 22, 2017, the Company issued a senior unsecured bond loan totaling NOK500 million in the Norwegian credit market. The bonds bear quarterly interest at NIBOR plus a margin. In January and March 2020, the Company purchased bonds with principal amounts totaling NOK174 million, equivalent to $19.5 million. A loss of $0.4 million was recorded on the transaction. The remaining balance of NOK326 million, equivalent to $33.7 million, was repaid in full on June 22, 2020. The net amount outstanding at December 31, 2020, was NOK0.0 million, equivalent to $0.0 million (2019: NOK500.0 million, equivalent to $56.9 million). 5.75% senior unsecured convertible bonds due 2021 On October 5, 2016, the Company issued a senior unsecured convertible bond loan totaling $225 million. Interest on the bonds is fixed at 5.75% per annum and is payable in cash quarterly in arrears on January 15, April 15, July 15 and October 15. The bonds are convertible into SFL Corporation Ltd. common shares and mature on October 15, 2021. The net amount outstanding at December 31, 2020 was $212.2 million (2019: $212.2 million). The initial conversion rate at the time of issuance was 56.2596 common shares per $1,000 bond, equivalent to a conversion price of approximately $17.7747 per share. The conversion rate will be adjusted for dividends in excess of $0.225 per common share per quarter. Since the issuance, dividend distributions have increased the conversion rate to 65.8012 common shares per $1,000 bond, equivalent to a conversion price of approximately $15.20 per share. Based on the closing price of our common stock of $6.28 on December 31, 2020, the if-converted value was less than the principal amounts by $124.5 million. No bonds were purchased in the years ended December 31, 2020 and December 31, 2019. In conjunction with the bond issue, the Company loaned up to 8,000,000 of its common shares to an affiliate of one of the underwriters of the issue, in order to assist investors in the bonds to hedge their position. The shares that were lent by the Company were initially borrowed from Hemen, the largest shareholder of the Company, for a one-time loan fee of $120,000. In November 2016, the Company issued 8,000,000 new shares, to replace the shares borrowed from Hemen and received $80,000 from Hemen upon the return of the borrowed shares. As required by ASC 470-20 "Debt with conversion and Other Options", the Company calculated the equity component of the convertible bond, taking into account both the fair value of the conversion option and the fair value of the share lending arrangement. The equity component was valued at $4.6 million at issuance and this amount was recorded as "Additional paid-in capital", with a corresponding adjustment to "Deferred charges", which are amortized to "Interest expense" over the appropriate period. The amortization of this item amounted to $0.8 million in the year ended December 31, 2020 (2019: $0.7 million). The balance remaining in equity as at December 31, 2020 was $4.0 million (2019: $4.0 million). NOK700 million senior unsecured bonds due 2023 On September 13, 2018 the Company issued a senior unsecured bond totaling NOK600 million in the Norwegian credit market. The bonds bear quarterly interest at NIBOR plus a margin and are redeemable in full on September 13, 2023. On July 30, 2019, the Company conducted a tap issue of NOK100 million under this facility. The bonds were issued at 101.625% of par, and the new outstanding amount after the tap issue is NOK700 million. The net amount outstanding at December 31, 2020, was NOK700 million, equivalent to $81.6 million (2019: NOK700 million, equivalent to $79.7 million). 4.875% senior unsecured convertible bonds due 2023 On April 23, 2018, the Company issued a senior unsecured convertible bond totaling $150 million. Additional bonds were issued on May 4, 2018 at a principal amount of $14.0 million. Interest on the bonds is fixed at 4.875% per annum and is payable in cash quarterly in arrears on February 1, May 1, August 1 and November 1. The bonds are convertible into SFL Corporation Ltd. common shares and mature on May 1, 2023. The net amount outstanding at December 31, 2020 was $139.9 million (2019: $148.3 million). The initial conversion rate at the time of issuance was 52.8157 common shares per $1,000 bond, equivalent to a conversion price of approximately $18.93 per share. Since the issuance, dividend distributions have increased the conversion rate to 71.8147 common shares per $1,000 bond, equivalent to a conversion price of approximately $13.92 per share. Based on the closing price of our common stock of $6.28 on December 31, 2020, the if-converted value was less than the principal amounts by $76.8 million. In March and December 2020, the Company purchased bonds with principal amounts totaling $8.4 million (2019: $3.4 million). A gain of $0.3 million was recorded on the transaction (2019: gain of $0.3 million). In conjunction with the bond issue, the Company agreed to loan up to 7,000,000 of its common shares to affiliates of the underwriters of the issue, in order to assist investors in the bonds to hedge their position. As at December 31, 2020, a total of 3,765,842 shares were issued from up to 7,000,000 shares issuable under a share lending arrangement. As required by ASC 470-20 "Debt with conversion and Other Options", the Company calculated the equity component of the convertible bond, taking into account both the fair value of the conversion option and the fair value of the share lending arrangement. The equity component was valued at $7.9 million at issuance and this amount was recorded as "Additional paid-in capital", with a corresponding adjustment to "Deferred charges", which are amortized to "Interest expense" over the appropriate period. The amortization of this item amounted to $1.3 million in the year ended December 31, 2020 (2019: $1.3 million). As a result of the purchase of bonds with principal amounts totaling $8.4 million (2019: $3.4 million), a total of $0.3 million (2019: $0.2 million) was allocated as the reacquisition of the equity component. The balance remaining in equity as at December 31, 2020 was $6.8 million (2019:$7.1 million). NOK700 million senior unsecured bonds due 2024 On June 4, 2019, the Company issued a senior unsecured bond totaling NOK700 million in the Norwegian credit market. The bonds bear quarterly interest at NIBOR plus a margin and are redeemable in full on June 4, 2024. In March 2020, the Company purchased bonds with principal amounts totaling NOK5 million equivalent to $0.5 million. A gain of $0.0 million was recorded on the transaction. The net amount outstanding at December 31, 2020 was NOK695 million equivalent to $81.0 million (2019: NOK700 million, equivalent to $79.7 million). NOK600 million senior unsecured bonds due 2025 On January 21, 2020, the Company issued a senior unsecured bond totaling NOK600 million in the Norwegian credit market. The bonds bear quarterly interest at NIBOR plus a margin and are redeemable in full on January 21, 2025. In February and March 2020, the Company purchased bonds with principal amounts totaling NOK60 million equivalent to $6.0 million. A gain of $1.4 million was recorded on the transaction. The net amount outstanding at December 31, 2020 was NOK540 million equivalent to $62.9 million (2019: NOK0 million, equivalent to $0.0 million). $40 million senior secured term loan facility In March 2020, two wholly-owned subsidiaries of the Company entered into a $40 million senior secured term loan facility with a bank, secured against two Suezmax tankers. The Company has provided a corporate guarantee for this facility, which bears interest at LIBOR plus a margin and with a term of approximately two years. The net amount outstanding at December 31, 2020, was $37.0 million (2019: $0.0 million). $15 million senior secured term loan facility In March 2020, three wholly-owned subsidiaries of the Company entered into a $15 million senior secured term loan facility with a bank, secured against three container vessels. The Company has provided a corporate guarantee for this facility, which bears interest at LIBOR plus a margin and with a term of approximately five years. The net amount outstanding at December 31, 2020, was $12.8 million (2019: $0.0 million). $175 million term loan facility In March 2020, four wholly-owned subsidiaries of the Company entered into a $175 million term loan facility with a syndicate of banks, secured against four 8,700 TEU containerships. The Company has provided a limited corporate guarantee for this facility, which bears interest at LIBOR plus a margin and with a term of approximately five years. The net amount outstanding at December 31, 2020, was $165.5 million (2019: $0.0 million). $50 million senior secured term loan facility In May 2020, a wholly-owned subsidiary of the Company entered into a $50 million senior secured term loan facility with a bank, bearing interest at LIBOR plus a margin and with a term of approximately five years. The facility is secured against a 308,000 dwt VLCC. The net amount outstanding at December 31, 2020, was $48.6 million (2019: $0.0 million). $50 million senior secured credit facility In November 2020, a wholly-owned subsidiary of the Company entered into a $50 million senior secured term loan facility with a bank, secured against a container vessel. The Company has provided a corporate guarantee for this facility, which bears interest at LIBOR plus a margin and with a term of approximately four years. The net amount outstanding at December 31, 2020, was $50.0 million (2019: $0.0 million). $475 million term loan and revolving credit facility SFL Linus was consolidated from October 29, 2020. (See Note 17: Investment in Associated Companies). In October 2013, SFL Linus entered into a $475 million five years term loan and revolving credit facility with a syndicate of banks to partly finance the acquisition of the rig. The facility was drawn in February 2014. During the year ended December 31, 2017, certain amendments were agreed with the banks under the loan facility, including an extension of the final maturity date by four years. In addition, the Company has given the banks a first priority pledge over all shares of SFL Linus and assigned all claims under a secured loan made by the Company to SFL Linus in favor of the banks. This loan is secured by a second priority mortgage over the rig which has been assigned to the banks. At December 31, 2020, the balance outstanding under this facility was $216.0 million (2019: $232.1 million included in Note 17: Investment in associated companies). The Company fully guaranteed the facility as at December 31, 2020 (2019: $102.5 million was guaranteed). $390 million term loan and revolving credit facility SFL Deepwater was consolidated from October 29, 2020. (See Note 17: Investment in Associated Companies). In October 2013, SFL Deepwater entered into a $390 million five years term loan and revolving credit facility with a syndicate of banks, which was used in November 2013 to refinance the previous loan facility. During the year ended December 31, 2017, certain amendments were agreed with the banks under the loan facility, including an extension of the final maturity date by four years. In addition, the Company had given the banks a first priority pledge over all shares of SFL Deepwater and assigned all claims under a secured loan made by the Company to SFL Deepwater in favor of the banks. This loan was secured by a second priority mortgage over the rig which has been assigned to the banks. In October 2020, the Company repurchased the total debt outstanding under the facility of $176.1 million for $110.0 million and recognized a gain on debt extinguishment of $66.1 million. At December 31, 2020, the balance outstanding under the facility was $0.0 million (2019: $187.9 million included in Note 17: Investment in associated companies). The Company guaranteed $0.0 million of this debt at December 31, 2020 (2019: $84.7 million). $24.9 million senior secured term loan facility In February 2019, three wholly-owned subsidiaries of the Company entered into a $24.9 million senior secured term loan facility with a bank, secured against three Supramax dry bulk carriers. The Company has provided a limited corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of approximately five years. The net amount outstanding at December 31, 2020, was $20.3 million (2019: $22.9 million). $50 million senior secured term loan facility In February 2019, three wholly-owned subsidiaries of the Company entered into a $50 million senior secured term loan facility with a bank, secured against three tankers chartered to Frontline Shipping. In 2020, $14.9 million of this facility was repaid following the sale of one tanker and the facility now relates to the remaining two tankers. The Company has provided a corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of approximately four years. The net amount outstanding at December 31, 2020, was $35.2 million (2019: $50.0 million). $29.5 million term loan facility In March 2019, two wholly-owned subsidiaries of the Company entered into a $29.5 million term loan facility with a bank, secured against two car carriers. The Company has provided a corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of approximately five years. The net amount outstanding at December 31, 2020, was $23.0 million (2019: $27.0 million). $33.1 million term loan facility In June 2019, five wholly-owned subsidiaries of the Company entered into a $33.1 million term loan facility with a syndicate of banks. The Company has provided a corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of approximately four years. During the year ended December 31, 2020 the five subsidiaries were dissolved and the facility was assigned to the Company. The net amount outstanding at December 31, 2020, was $28.8 million (2019: $33.1 million). $142.5 million senior secured term loan facility In September 2019, three wholly-owned subsidiaries of the Company entered into a $142.5 million senior secured term loan facility with a bank, to partly fund the acquisition of three newbuilding crude oil tankers, against which the facility was secured. The Company had provided a corporate guarantee for this facility, which bore interest at LIBOR plus a margin and had a term of five years from the delivery of each vessel. During the year ended December 31, 2020, purchase options were exercised on the three crude oil tankers. Two of the vessels were delivered in August 2020 and one was delivered in November 2020. The portion of the facility relating to each vessel was fully repaid upon delivery. The net amount outstanding at December 31, 2020, was $0.0 million (2019: $142.5 million). $42.6 million secured term loan facility In February 2010, a wholly-owned subsidiary of the Company entered into a $42.6 million secured term loan facility with a bank, bearing interest at LIBOR plus a margin and with a term of approximately five years. The facility was secured against a Suezmax tanker. In November 2014 and November 2019 the terms of the loan were amended and restated, and the facility matured in February 2020, at which date the loan was repaid in full. The net amount outstanding at December 31, 2020, was $0.0 million (2019: $14.9 million). $42.6 million secured term loan facility In March 2010, a wholly-owned subsidiary of the Company entered into a $42.6 million secured term loan facility with a bank, bearing interest at LIBOR plus a margin and with a term of approximately five years. The facility was secured against a Suezmax tanker. In March 2015, the terms of the loan were amended and restated, and the facility matured in March 2020, at which date the loan was repaid in full. The net amount outstanding at December 31, 2020, was $0.0 million (2019: $14.9 million). $171 million secured term loan facility In May 2011, eight wholly-owned subsidiaries of the Company entered into a $171 million secured loan facility with a syndicate of banks, secured against a 1,700 TEU container vessel and seven Handysize dry bulk carriers. The 1,700 TEU container vessel was sold in May 2018 and the facility now relates to the remaining seven vessels. The facility is supported by China Export & Credit Insurance Corporation, or SINOSURE, which provides an insurance policy in favor of the banks for part of the outstanding loan. The facility bears interest at LIBOR plus a margin and has a term of approximately ten years from delivery of each vessel. The net amount outstanding at December 31, 2020, was $53.2 million (2019: $63.4 million). $45 million secured term loan and revolving credit facility In June 2014, seven wholly-owned subsidiaries of the Company entered into a $45 million secured term loan and revolving credit facility with a bank, secured against seven 4,100 TEU container vessels. The facility bears interest at LIBOR plus a margin and has a term of five years. During June 2019, the terms of loan were amended and the loan was extended by a further two years. At December 31, 2020, the available amount under the revolving part of the facility was $0.0 million (2019: $0.0 million). The net amount outstanding at December 31, 2020, was $45.0 million (2019: $45.0 million). $20 million secured term loan facility In September 2014, two wholly-owned subsidiaries of the Company entered into a $20 million secured term loan facility with a bank, secured against two 5,800 TEU container vessels. The facility bears interest at LIBOR plus a margin and has a term of five years. In September 2019, the terms of the loan were amended and restated, and the facility now matures in March 2024. The net amount outstanding at December 31, 2020, was $17.3 million (2019: $19.1 million). $127.5 million secured term loan facility In September 2014, two wholly-owned subsidiaries of the Company entered into a $127.5 million secured term loan facility with a bank, secured against two 8,700 TEU container vessels, which were delivered in 2014. The Company had provided a limited corporate guarantee for this facility, which bore interest at LIBOR plus a margin and had a term of seven years. The facility matured in April 2020, and was repaid in full. The net amount outstanding at December 31, 2020, was $0.0 million (2019: $84.0 million). $127.5 million secured term loan facility In November 2014, two wholly-owned subsidiaries of the Company entered into a $127.5 million secured term loan facility with a bank, secured against two 8,700 TEU container vessels, which were delivered in 2015. The Company had provided a limited corporate guarantee for this facility, which bore interest at LIBOR plus a margin and had a term of seven years. The facility matured in April 2020, and was repaid in full. The net amount outstanding at December 31, 2020 was $0.0 million (2019: $87.1 million). $39 million secured term loan facility In December 2014, two wholly-owned subsidiaries of the Company entered into a $39 million secured term loan facility with a bank, secured against two Kamsarmax dry bulk carriers. The Company has provided a limited corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of approximately eight years. The net amount outstanding at December 31, 2020, was $21.8 million (2019: $24.3 million). $166.4 million secured term loan facility In July 2015, eight wholly-owned subsidiaries of the Company entered into a $166.4 million secured term loan facility with a syndicate of banks, secured against eight Capesize dry bulk carriers. The Company has provided a limited corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of seven years. The net amount outstanding at December 31, 2020 was $90.1 million (2019: $104.0 million). $210 million secured term loan facility In November 2015, three wholly-owned subsidiaries of the Company entered into a $210 million secured term loan facility with a syndicate of banks, to partly finance the acquisition of three container vessels, against which the facility is secured. One of the vessels was delivered in 2015, and the remaining two vessels were delivered in 2016. The Company has provided a limited corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of five years from the delivery of each vessel. In November 2020 the portion of the facility relating to one subsidiary matured, and the outstanding debt of $49.2 million was repaid in full. At December 31, 2020, the net amount outstanding was $99.5 million (2019: $160.8 million). $76 million secured term loan facility In August 2017, two wholly-owned subsidiaries of the Company entered into a $76 million secured term loan facility with a bank, secured against two product tanker vessels. The two vessels were delivered in August 2017. The Company has provided a limited corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of seven years. At December 31, 2020, the net amount outstanding was $59.1 million (2019: $64.3 million). $50 million secured term credit facility In June 2018, 15 wholly-owned subsidiaries of the Company entered into a $50 million secured term loan facility with a bank, secured against 15 feeder size container vessels. The 15 feeder size container vessels were delivered in April 2018. The Company has provided a corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of seven years. The net amount outstanding at December 31, 2020, was $34.1 million (2019: $40.7 million). $17.5 million secured term loan facility due 2023 In December 2018, two wholly-owned subsidiaries of the Company entered into a $17.5 million secured term loan facility with a bank, secured against two Supramax dry bulk carriers. The Company has provided a limited corporate guarantee for this facility, which bears interest at LIBOR plus a margin and has a term of approximately five years. The net amount outstanding at December 31, 2020, was $12.9 million (2019: $15.7 million). Borrowings secured on Frontline shares As at December 31, 2019, the Company had a forward contract to repurchase 3.4 million shares of Frontline which expired in June 2020 for $36.8 million . The transaction was accounted for as a secured borrowing, with the shares transferred to 'Marketable securities pledged to creditors' and a liability of $36.8 million recorded within debt at December 31, 2019. During the year ended December 31, 2020 the Company repurchased 2.0 million shares subject to the forward contact and repaid $21.1 million of the secured borrowing. As at December 31, 2020 , the Company had a forward contract which expi red in January of 2021, and has subsequently been rolled over to April 2021, to repurchase 1.4 million shares of Frontline at a repurchase price of $16.1 million including accrued interest. The transaction has been accounted for as a secured borrowing, with th e shares transferred to 'Marketable securities pledged to creditors' and a liability of $15.6 million recorded within debt at December 31, 2020 . The Company is required to post collateral of 20% of the total repurchase price plus any negative mark to market movement from the repurchase price for the duration of the agreement. As at December 31, 2020 $9.0 million ( 2019 : $3.5 million ) was held as collateral and recorded as restricted cash. The aggregate book value of assets pledged as security against borrowings at December 31, 2020, was $1,864 million (2019: $1,753 million). |
FINANCE LEASE LIABILITY
FINANCE LEASE LIABILITY | 12 Months Ended |
Dec. 31, 2020 | |
Other Liabilities Disclosure [Abstract] | |
FINANCE LEASE LIABILITY | FINANCE LEASE LIABILITY (in thousands of $) 2020 2019 Finance lease liability, current portion 48,887 68,874 Finance lease liability, long-term portion 524,200 1,037,553 573,087 1,106,427 River Box was a previously wholly owned subsidiary of the Company. It holds investments in direct financing leases, through its subsidiaries, related to the 19,200 and 19,400 TEU containerships MSC Anna , MSC Viviana , MSC Erica and MSC Reef which were chartered-in on a bareboat basis, each for a period of 15 years from delivery by the shipyard. The four vessels are also chartered-out for the same 15-year period on a bareboat basis to MSC, an unrelated party. On December 31, 2020, the Company sold 50.1% of the shares of River Box to a subsidiary of Hemen, a related party. Following the sale of River Box, the investments in the four container vessels accounted for as direct financing leases of $540.9 million and its related finance lease liabilities of $464.7 million have been derecognized from the consolidated financial statements of the Company. Refer to Note 9: Gain on sale of subsidiaries and disposal groups and Note 17: Investment in Associated Companies. In 2018, the Company acquired four 13,800 TEU container vessels and three 10,600 TEU container vessels, which were subsequently refinanced with an Asian based financial institution by entering into separate sale and leaseback financing arrangements. The vessels are leased back for terms ranging from six The Company's future minimum lease liability under the non-cancellable finance leases are as follows: Year ending December 31, (in thousands of $) 2021 74,735 2022 74,735 2023 74,735 2024 433,866 2025 — Thereafter — Total finance lease liability 658,071 Less: imputed interest payable (84,984) Present value of finance lease liability 573,087 Less: current portion (48,887) Finance lease liability, long-term portion 524,200 Interest incurred on the finance lease liability in the year ended December 31, 2020 was $59.6 million (2019: $62.8 million; 2018: $21.8 million). Following the adoption of ASU 2016-02 from January 2019, the Company records new and modified leases in accordance with ASC 842. The Company elected the practical expedient to not reassess existing leases. The adoption of the standard resulted in no opening balance adjustments. See also Note 2: Accounting Policies. |
SHARE CAPITAL, ADDITIONAL PAID-
SHARE CAPITAL, ADDITIONAL PAID-IN CAPITAL AND CONTRIBUTED SURPLUS | 12 Months Ended |
Dec. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
SHARE CAPITAL, ADDITIONAL PAID-IN CAPITAL AND CONTRIBUTED SURPLUS | SHARE CAPITAL, ADDITIONAL PAID-IN CAPITAL AND CONTRIBUTED SURPLUS Authorized share capital is as follows: (in thousands of $, except share data) 2020 2019 300,000,000 common shares of $0.01 par value each (December 31, 2019: 200,000,000 common shares of $0.01 par value each) 3,000 2,000 Issued and fully paid share capital is as follows: (in thousands of $, except share data) 2020 2019 127,810,064 common shares of $0.01 par value each (December 31, 2019: 119,391,310 common shares of $0.01 par value each) 1,278 1,194 The Company's common shares are listed on the New York Stock Exchange. On May 1, 2020, SFL filed a registration statement to register the sale of up to 10,000,000 Common Shares pursuant to the dividend reinvestment plan, or DRIP to facilitate investments by individual and institutional shareholders who wish to invest dividend payments received on shares owned or other cash amounts, in the Company's Common Shares on a regular basis, one time basis or otherwise. If certain waiver provisions in the DRIP are requested and granted pursuant to the terms of the plan, SFL may grant additional share sales to investors from time to time up to the amount registered under the plan. In May 2020, the Company entered into an equity distribution agreement with BTIG LLC ("BTIG") under which SFL may, from time to time, offer and sell new ordinary shares having aggregate sales proceeds of up to $100.0 million through an At-the-Market Sales Agreement offering ('ATM'). During the year ended December 31, 2020, the Company issued and sold 8.4 million shares under these arrangements and total proceeds of $61.5 million net of costs were received, resulting in a premium on issue of $61.4 million. At the Annual General Meeting of the Company held in August 2020, a resolution was passed to approve an increase of the Company’s authorized share capital from $2,000,000 equivalent to 200,000,000 common shares of $0.01 par value each to $3,000,000 equivalent to 300,000,000 common shares of $0.01 par value each by the authorization of an additional 100,000,000 common shares of $0.01 par value each. During the year ended December 31, 2020, the Company issued a total of 6,869 new shares of $0.01 each following the exercise of 17,500 share options (2019: 18,246 new shares issued to satisfy 65,000 options exercised and 2018: no new shares). The weighted average exercise price of the options exercised in 2020 was $8.63 per share. In November 2016, the Board of Directors renewed the Company's Share Option Scheme (the "Option Scheme"), originally approved in November 2006. The Option Scheme permits the Board of Directors, at its discretion, to grant options to employees, officers and directors of the Company or its subsidiaries. The fair value cost of options granted is recognized in the statement of operations, and the corresponding amount is credited to additional paid in capital (see also Note 23: Share option plan). At the Annual General Meeting of the Company held in September 2018, a resolution was passed to approve an increase of the Company’s authorized share capital from $1,500,000 divided into 150,000,000 common shares of $0.01 par value each to $2,000,000 divided into 200,000,000 common shares of $0.01 par value each by the authorization of an additional 50,000,000 common shares of $0.01 par value each. In May 2018, the Company issued a total of 4,024,984 new shares as part of the consideration paid for the acquisition of four 2014 built container vessels, each with 13,800 TEU carrying capacity. The vessels are employed under long-term time-charters to an unrelated third party. In April 2018, the Company issued a total of 3,765,842 new shares of par value $0.01 each from up to 7,000,000 issuable under a share lending arrangement in relation with the Company's issuance of 4.875% senior unsecured convertible bonds in April and May 2018. The shares issued have been loaned to affiliates of the underwriters of the bond issue in order to assist investors in the bonds to hedge their position. The bonds are convertible into common shares and mature on May 1, 2023. As required by ASC 470-20 "Debt with Conversion and Other Options", the Company calculated the equity component of the convertible bond, which was valued at $7.9 million at issue date and recorded as "Additional paid-in capital" (see Note 20: Short-term and long-term debt). During the year ended December 31, 2020, the Company purchased bonds with principal amounts totaling $8.4 million (2019: $3.4 million). The equity component of these extinguished bonds was valued at $0.3 million (2019: $0.2 million) and has been deducted from "Additional paid-in capital". In February 2018, the Company redeemed the full outstanding amount under the 3.25% senior unsecured convertible bonds due 2018. The remaining outstanding principal amount of $63.2 million was paid in cash, and the premium settled in common shares with the issue of 651,365 new shares. In October 2017, the Company issued a total of 9,418,798 new shares following separate privately negotiated transactions with certain holders of the 3.25% senior unsecured convertible bonds due 2018 for the conversion of a principal amount of $121.0 million from the outstanding balance of the convertible bonds. In November 2016, in relation with the Company's issue in October 2016 of senior unsecured convertible bonds totaling $225 million, the Company issued 8,000,000 new shares of par value $0.01 each. The shares were issued at par value and have been loaned to an affiliate of one of the underwriters of the bond issue, in order to assist investors in the bonds to hedge their position. The bonds are convertible into common shares and mature on October 15, 2021. The initial conversion rate at the time of issuance was 56.2596 common shares per $1,000 bond, equivalent to a conversion price of approximately $17.7747 per share to the share price at the time. Since then, dividend distributions have increased the conversion rate to 65.8012, equivalent to a conversion price of approximately $15.20 per share. As required by ASC 470-20 "Debt with conversion and Other Options", the Company calculated the equity component of the convertible bond, which was valued at $4.0 million and recorded as "Additional paid-in capital" (see Note 20: Short-term and long-term debt). During the year ended December 31, 2020, $109.4 million of the dividend declared was paid from contributed surplus (2019:$31.9 million). |
SHARE OPTION PLAN
SHARE OPTION PLAN | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
SHARE OPTION PLAN | SHARE OPTION PLAN In November 2006, the Board of Directors approved the Company's Share Option Scheme (the "Option Scheme"). The Option Scheme will expire in November 2026, following the renewal in November 2016. The terms and conditions remain unchanged from those originally adopted in November 2006 and permits the Board of Directors, at its discretion, to grant options to employees, officers and directors of the Company or its subsidiaries. The fair value cost of options granted is recognized in the statement of operations, and the corresponding amount is credited to additional paid-in capital. As of December 31, 2020 additional paid-in capital was credited with $1.0 million relating to the fair value of options granted in April 2018, January 2019, March 2019 and February 2020. In February 2020, the Company awarded a total of 350,000 options to officers, employees and directors, pursuant to the Company's Share Option Scheme. The options have a five three The following summarizes share option transactions related to the Option Scheme in 2020, 2019 and 2018: 2020 2019 2018 Options Weighted average exercise price $ Options Weighted average exercise price $ Options Weighted average exercise price $ Options outstanding at beginning of year 835,000 10.72 417,500 11.43 369,500 12.20 Granted 350,000 13.45 525,000 12.19 83,000 14.67 Exercised (17,500) 8.63 (65,000) 9.92 — — Forfeited (85,000) 11.02 (42,500) 11.80 (35,000) 10.03 Options outstanding at end of year 1,082,500 10.56 835,000 10.72 417,500 11.43 Exercisable at end of year 418,167 9.45 236,167 9.58 111,500 10.03 The exercise price of each option is progressively reduced by the amount of any dividends declared. The above figures show the average of the reduced exercise prices at the beginning and end of the year for options then outstanding. For options granted, exercised or forfeited during the year, the above figures show the average of the exercise prices at the time the options were granted, exercised or forfeited, as appropriate. The fair values of options granted are estimated on the date of the grant, using the Black-Scholes-Merton option valuation model. The fair values are then expensed over the periods in which the options vest. The weighted average fair value of options granted in 2020 was $1.76 per share as at grant date (2019: $2.68; 2018: $3.49). The weighted average assumptions used to calculate the fair values of the new options granted in 2020 were (a) risk free interest rate of 1.40% (2019: 2.36%; 2018: 2.63%); (b) expected share price volatility of 21.6% (2019: 25.0%; 2018: 29.5%); (c) expected dividend yield of 0% (2019: 0%; 2018: 0%) and (d) expected life of options 2 years (2019: 3.5 years; 2018: 3.5 years). The total intrinsic value of 17,500 options exercised in 2020 was $0.2 million on the day of exercise and the Company issued a total of 6,869 new shares in full satisfaction of this intrinsic value, with no cash exchanges. The total intrinsic value of 65,000 options exercised in 2019 was $0.3 million on the day of exercise and the Company issued a total of 18,246 new shares in full satisfaction of this intrinsic value, with no cash exchanges. There were no options exercises in 2018. As of December 31, 2020, there are 418,167 options fully vested but not exercised (2019: 236,167 options; 2018: 111,500 options) and their intrinsic value amounted to $0.0 million (2019: $1.2 million; 2018: $0.0 million). The weighted average remaining term of the vested exercisable options is 1.9 years as of December 31, 2020. As of December 31, 2020, the unrecognized compensation costs relating to non-vested options granted under the Option Scheme was $0.7 million (2019: $0.8 million; 2018: $0.3 million) and their intrinsic value amounted to $0.0 million (2019: $2.0 million; 2018: $0.0 million). This cost will be recognized over the remaining vesting periods, which average 0.7 years (2019: 1.3 years; 2018: 1.4 years). |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS The Company has had transactions with the following related parties, being companies in which our principal shareholder Hemen Holding and companies associated with Hemen have, or had, a significant direct or indirect interest: – Frontline – Frontline Shipping Limited ("Frontline Shipping") – Seadrill – Golden Ocean – Seatankers Management Co. Ltd. (“Seatankers”) – NorAm Drilling – ADS Maritime Holding Plc, formerly known as ADS Crude Carriers Plc ("ADS Maritime Holding") – Golden Close Corporation. Ltd. ("Golden Close") – Sterna Finance Limited ("Sterna Finance") – River Box Holding Limited ("River Box") The Consolidated Balance Sheets include the following amounts due from and to related parties and associated companies, excluding investment in direct financing lease balances (Refer to Note 16: Investments in sales-type leases, direct financing leases and leaseback assets). (in thousands of $) 2020 2019 Amounts due from: Frontline Shipping 2,875 2,948 Frontline 3,202 6,708 Seadrill 3,613 51 SFL Linus — 7,392 SFL Deepwater — 1,246 SFL Hercules — 3,423 Golden Ocean — 627 Other related parties 2 4 Allowance for expected credit losses* (1,974) — Total amount due from related parties 7,718 22,399 Loans to related parties - associated companies, long-term River Box 45,000 — SFL Deepwater — 113,000 SFL Hercules 78,910 80,000 SFL Linus — 121,000 Total loans to related parties - associated companies, long-term 123,910 314,000 Long-term receivables from related parties Frontline — 9,171 Frontline Shipping — 4,445 Total long-term receivables from related parties — 13,616 Amounts due to: Frontline Shipping 836 3,884 Frontline 1,826 47 Golden Ocean 23 — Other related parties 39 49 Total amount due to related parties 2,724 3,980 *See Note 3: Recently issued accounting standards and Note 26: Allowance for expected credit losses. River Box was a previously wholly owned subsidiary of the Company. It holds investments in direct financing leases, through its subsidiaries, related to the 19,200 and 19,400 TEU containerships MSC Anna , MSC Viviana , MSC Erica and MSC Reef . On December 31, 2020, the Company sold 50.1% of the shares of River Box to a subsidiary of Hemen, a related party. Net proceeds of $17.5 million were received for the shares, resulting in a net gain of $1.9 million on the sale. The Company has accounted for the remaining 49.9% ownership in River Box using the equity method (Refer to Note 17: Investment in associated companies). SFL Deepwater, SFL Hercules and SFL Linus each own the drilling units West Taurus , West Hercules and West Linu s respectively. These units are leased to subsidiaries of Seadrill, a related party. Because the main assets of SFL Deepwater, SFL Hercules and SFL Linus are the subject of leases which each include both fixed price call options and a fixed price purchase obligation or put option, they were previously determined to be variable interest entities in which the Company was not the primary beneficiary and therefore accounted for as investments in associated companies (Refer to Note 17: Investment in associated companies). During the year ended December 31, 2020, Seadrill publicly disclosed that they had appointed financial and legal advisors to evaluate comprehensive restructuring alternatives to reduce debt service costs and overall indebtedness. In September and October 2020, Seadrill failed to pay hire when due under the leases for the three drilling unit. The overdue hires along with certain other events, constituted an event of default under such leases and the related financing agreements. Under the terms of the leases, charter payment from the sub-charterers of West Hercules and West Linus , were paid into accounts pledged to SFL and its financing banks. During November and December 2020, Seadrill and SFL entered into forbearance and funds withdrawal agreements during which Seadrill was allowed to use certain funds received from the sub-charterers to pay operating expenses for the rigs in exchange for the Company being paid approximately 65 -75% of the existing contracted lease hire related to the West Hercules and the West Linus. Any hire received by Seadrill relating to the sub-charters on these two rigs in excess of the withdrawn amounts remained in Seadrill’s earnings accounts pledged to SFL. In February 2021, Seadrill and most of its subsidiaries filed Chapter 11 cases in the Southern District of Texas. SFL and certain of its subsidiaries have entered into court approved interim agreements with Seadrill relating to two of the Company’s drilling rigs, West Linus and West Hercules , allowing for the uninterrupted performance of sub-charters to oil majors while the Chapter 11 process is ongoing. Pursuant to these agreements, Seadrill will be allowed to use funds received from the respective sub-charterers to pay a fixed level of operating and maintenance expenses in additional to general and administrative costs. In exchange, SFL will receive approximately 65 - 75% of the lease hire under the existing charter agreements for West Linu s and West Hercules for the same period. With regards to the third rig, West Taurus , the lease has been rejected by the court and the rig will be redelivered to SFL within approximately three months. This rig is debt free and has been held in layup by Seadrill for more than five years. SFL is currently evaluating strategic alternatives for this rig, including potential recycling at an EU approved recycling facility. (See Note 29: Subsequent Events). In October 2020, the Company was determined to be the primary beneficiary of SFL Linus and SFL Deepwater following changes to the financing agreements as a result of defaults by Seadrill. Therefore, from October 2020, these subsidiaries were consolidated by the Company. As described below in "Related party loans", at December 31, 2020 and 2019, the long-term loan from the Company to SFL Hercules (2019: loans to SFL Deepwater, SFL Hercules, and SFL Linus) is presented net of its current account to the extent that it is an amount due to the associate. (Refer also to Concentration of Risk in Note 25). Related party leasing and service contracts As at December 31, 2020, two of the Company's vessels leased to Frontline Shipping (2019: three) are recorded as investment in direct financing leases. At December 31, 2020, the balance of net investments in direct financing leases with Frontline Shipping was $76.1 million before credit loss provision (2019: $111.5 million), of which $6.3 million (2019: $8.3 million) represents short-term maturities. In addition, included within vessels and equipment chartered under operating leases at December 31, 2020, there were eight Capesize dry bulk carriers leased to a fully guaranteed subsidiary of Golden Ocean (2019: eight). At December 31, 2020, the net book value of assets leased under operating leases to Golden Ocean was $200.5 million (2019: $201.7 million). A summary of leasing revenues and repayments from Frontline Shipping and Golden Ocean is as follows: (in millions of $) 2020 2019 2018 Golden Ocean: Operating lease income 52.0 51.1 53.3 Profit share — 0.8 0.3 Frontline Shipping: Direct financing lease interest income 1.7 3.8 9.6 Direct financing lease service revenue 6.9 9.9 22.1 Direct financing lease repayments 6.5 7.9 16.8 Profit share 18.6 4.8 1.5 In June 2015, amendments were made to the charter agreements relating to 17 vessels. The amendments, which are effective from July 1, 2015, and do not affect the duration of the leases, include reductions in the daily time-charter rates to $20,000 per day for VLCCs and $15,000 per day for Suezmax tankers. As consideration for the agreed amendments, the Company received 55 million shares, (which was reduced to 11 million shares in February 2016 after Frontline enacted a 1-for-5 reverse stock split of its ordinary shares) and also an increase in the profit sharing percentage (see below). A dividend restriction was introduced on Frontline Shipping whereby it can only make distributions to its parent company if it can demonstrate it meets certain conditions. During the year ended December 31, 2020, the Company sold approximately 2.0 million shares (2019: 7.6 million shares) and the investment in Frontline consists of approximately 1.4 million shares which are valued at $9.0 million at December 31, 2020. This investment is included in Note 11: Investments in debt and equity securities. In the year ended December 31, 2019, SFL entered into an agreement with Golden Ocean, where the Company agreed to finance EGCS installations on seven of the eight Capesize bulk carriers with an amount of up to $2.5 million per vessel, in return for increased charter hire of $1,535 per day for the 1 January 2020 to 30 June 2025. The installations have been completed during the year ended December 31, 2020, with the cost being capitalized into the value of the assets. Profits sharing arrangements were not changed. Also, two of the three VLCC crude tankers underwent EGCS installations during the year ended December 31, 2019. The Company incurred costs of $4.2 million, which represent a 50% share of joint costs with Frontline Shipping. Profits sharing arrangements were not changed. Frontline Shipping pays the Company profit sharing of 50% of their earnings on a time-charter equivalent basis from their use of the Company's fleet above average threshold charter rates calculated on a quarterly basis. The Company earns and recognizes profit sharing revenue under the 50% arrangement - see table above. In the event that vessels on charter to the Frontline Shipping are agreed to be sold, the Company may either pay or receive compensation for the early termination of the lease. In February 2018, the Company sold the VLCC Front Circassia to an unrelated third party and a termination fee of $4.4 million at fair value (face value $8.9 million) was received from Frontline Shipping in the form of a loan note. This loan note was settled in February 2020. In 2018, the Company also sold the VLCCs Front Page, Front Stratus and Front Serenade to a related third party. The vessels were delivered to the new owner, ADS Maritime Holding, in July 2018, August 2018 and September 2018, respectively, and an aggregate termination fee of $10.1 million at fair value was received from Frontline in the form of three loan notes. These loan notes were settled in February 2020. In October 2018, the Company sold and delivered the VLCC Front Ariake to an unrelated third party. A termination fee of $3.4 million at fair value was received from Frontline in the form of a loan note. This loan note was also settled in February 2020. In the year ended December 31, 2020, the Company had eight dry bulk carriers operating on time-charters to a subsidiary of Golden Ocean, which include profit sharing arrangements whereby the Company earns a 33% share of profits earned by the vessels above threshold levels - see table above. As at December 31, 2020, the Company was owed a total of $2.9 million (2019: $2.9 million) by Frontline Shipping in respect of leasing contracts and profit share. At December 31, 2020, the Company was owed $3.2 million (2019: $6.7 million) by Frontline in respect of various short-term items, including vessel management fees and items relating to the operation of vessels trading in a pool with two vessels owned by Frontline. The vessels leased to Frontline Shipping are on time charter terms and for each such vessel the Company pays a fixed management/operating fee of $9,000 per day to Frontline Management, a wholly owned subsidiary of Frontline. An exception to this arrangement is for any vessel leased to Frontline Shipping which is sub-chartered on a bareboat basis, for which there is no management fee payable for the duration of the bareboat sub-charter. In addition, during the year ended December 31, 2020, the Company also had 16 container vessels, 14 dry bulk carriers, two Suezmax tankers, two car carriers and two product tankers operating on time charter or in the spot market, for which the supervision of the technical management was sub-contracted to Frontline Management. Management fees incurred are included in the table below. The vessels leased to a subsidiary of Golden Ocean are on time charter terms and for each vessel the Company pays a fixed management/operating fee of $7,000 per day to Golden Ocean Management (Bermuda) Ltd. ("Golden Ocean Management"). Additionally, in the year ended December 31, 2020, the Company had 16 container vessels and 14 dry bulk carriers operating on time-charters or in the spot market, for which part of the operational management was sub-contracted to Golden Ocean Management. Management fees incurred are included in the table below. Management fees are classified as vessel operating expenses in the consolidated statements of operations. In addition to leasing revenues and repayments, the Company incurred fees with related parties. The Company operates the Suezmax tankers Glorycrown and Everbright in the spot market and pays Frontline and its subsidiaries a management fee of 1.25% of chartering revenues. The Company paid fees to Frontline Management for administrative services, including corporate services, and fees to Seatankers for the provision of advisory and support services. The Company also paid fees to Seatankers Management Norway AS for the provision of office facilities in Oslo, fees to Frontline Corporate Services Ltd for the provision of office facilities in London and Golden Ocean for administrative services. Year ended (in thousands of $) December 31, 2020 December 31, 2019 December 31, 2018 Frontline: Vessel Management Fees 8,893 11,758 24,033 Commissions and Brokerage 364 291 287 Administration Services Fees 82 201 323 Golden Ocean: Vessel Management Fees 20,496 20,440 20,440 Operating Management Fees 887 894 793 Administration Services Fees 70 30 — Seatankers: Administration Services Fees 520 739 290 Office Facilities: Seatankers Management Norway AS 94 104 108 Frontline Management AS 186 198 185 Frontline Corporate Services Ltd. 226 212 166 As at December 31, 2020, the Company owed Frontline Management and Frontline Management AS a combined total of $0.07 million (2019: $0.05 million) for various items, including technical supervision fees and office costs. Related party loans – associated companies A summary of loans entered into with River Box and SFL Hercules are as follows: (in millions of $) River Box SFL Hercules Loans granted 45 145 Loans outstanding at December 31, 2020 45 79 The loans to River Box and SFL Hercules are fixed interest rate loans. These loans are repayable in full on November 16, 2033 and October 1, 2023, respectively, or earlier if the companies sell their assets. SFL is entitled to take excess cash from SFL Hercules, and such amount is recorded within its current account with SFL. The loan agreement specifies that the balance on the current accounts will have no interest applied and will be settled via a net off against the eventual repayments of the fixed interest loan. In addition to this, as at December 31, 2020 the Company had current receivables of $0.0 million and $0.0 million from River Box and SFL Hercules, respectively (2019: $0.0 million; $3.4 million). SFL also has agreements with SFL Deepwater and SFL Linus granting them loans of $145 million and $125 million, respectively. The net outstanding loan balances as at December 31, 2019 were $113.0 million and $121.0 million for SFL Deepwater and SFL Linus, respectively. In addition to this, as at December 31, 2019 the Company had current receivables of $1.2 million and $7.4 million from SFL Deepwater and SFL Linus, respectively. In October 2020, the Company was determined to be the primary beneficiary of SFL Linus and SFL Deepwater following changes to the financing agreements and as a result of defaults by Seadrill and therefore consolidated these entities from this date. Interest income received on these loans is as follows: Year ended (in millions of $) December 31, 2020 December 31, 2019 December 31, 2018 River Box 0.0 0.0 0.0 SFL Deepwater* 3.8 5.1 5.1 SFL Hercules 3.6 3.6 3.6 SFL Linus* 4.5 5.4 5.4 *Interest income for the year ended December 31, 2020 is up until October 2020, while these entities were classified as associated companies. Related party purchases and sales of vessels In the year ended December 31, 2020 and December 31, 2019, no vessels were sold to related parties. In the year ended December 31, 2018, the VLCCs Front Page , Front Stratus and Front Serenade which were accounted for as direct financing leases, were sold to a related party, ADS Maritime Holding. Gains of $0.3 million, $0.2 million and $0.3 million were recorded on the disposal of the vessels, respectively. The gross proceeds from the sale was $22.5 million per vessel in addition to compensation, in the form of loan notes of $3.4 million each, received for the early termination of the charters. These loan notes were settled in full in February 2020. Long-term receivables from related parties In February 2020, Frontline Shipping redeemed in full the loan note received by the Company on the sale of one VLCC Front Circassia in 2018. The aggregate amount received on redemption was $8.9 million, the initial face value of the note. At the time of the redemption, the loan note had a carrying value of $4.4 million, resulting in a gain of $4.4 million on settlement. In February 2020, Frontline redeemed in full the loan notes received by the Company on the sale of four VLCCs Front Page, Front Stratus, Front Serenade and Front Ariake in 2018. The aggregate amount received on redemption was $11.0 million. At the time of the redemption, the loan notes had a carrying value of $11.0 million, resulting in a gain o f $0.0 million on d isposal. The Company received the following interest income and loan repayments on the loan notes: Year ended (in thousands of $) December 31, 2020 December 31, 2019 December 31, 2018 Interest income Frontline Shipping 82 734 537 Frontline 97 908 340 (in millions of $) Loan repayments Frontline Shipping* 8.9 — — Frontline 11.0 1.7 0.5 * Non amortizing loan note so there was no repayment received in 2019 and 2018. Other related party transactions In February 2020, the Company delivered the 2002-built VLCC Front Hakata to an unrelated third party for sale proceeds of $33.5 million. Furthermore, the Company agreed with Frontline Shipping to terminate the long-term charter for the vessel upon the sale and delivery, and paid $3.2 million compensation for early termination of the charter. A gain of $1.4 million was recognized on the sale during the year ended December 31, 2020. In December 2019, the Company signed a $7.5 million senior unsecured revolving credit facility agreement with ADS Maritime Holding, as ‘Borrower’ whereby SFL would provide $5 million of the unsecured facility or 67%. The facility was available for 12 months and carried an interest rate and a commitment fee on the undrawn available balance of the facility. The borrower could have voluntarily cancelled or repaid the facility, in whole or part. The Company received an upfront fee of $50,000 in respect of this contract in the year ended December 31, 2019. In May 2018, four wholly-owned subsidiaries of the Company entered into a $320.0 million unsecured loan facility provided by an affiliate of Hemen, Sterna Finance. The unsecured intermediary loan facility was entered into partly to fund the acquisition of four 13,800 TEU container vessels acquired in May 2018. The Company had provided a corporate guarantee for this loan facility, which had a fixed interest rate, was non-amortizing and had a term of 13 months from the drawdown date of the loan. Interest expense incurred on the loan in the year ended December 31, 2020 was $0.0 million (2019: $0.0 million; 2018: $6.4 million). The loan balance was prepaid in full in November 2018. In August 2018, the Company acquired approximately 4.0 million shares in ADS Maritime Holding, a newly formed company trading on the Oslo Merkur Market. The shares were purchased for $10.0 million, and have a fair value of $8.9 million at December 31, 2020 (Refer to Note 11: Investments in debt and equity securities). These shares represent 17% of the outstanding shares in the Company. In November 2016, the Company acquired approximately 12 million shares in NorAm Drilling for a consideration of approximately $0.7 million. In November 2018, NorAm undertook a share consolidation of 20:1, resulting in a revised investment of 601,023 shares. On the same day NorAm participated in a rights issue, increasing the Company's investment in shares by approximately 0.6 million shares. In December 2018, the Company acquired an additional 41,756 shares bringing the total investment in NorAm to approximately 1.3 million shares with a fair value of $3.9 million. At December 31, 2020 the fair value of the investment was $1.5 million (Refer to Note 11: Investments in debt and equity securities). The Company also holds within "Investments in Debt and Equity Securities" senior secured corporate bonds in NorAm Drilling due 2021. In 2018, the Company redeemed a total of approximately 0.5 million units at par value and recorded no gain or loss on redemption. In the year ended December 31, 2019, the Company partially disposed of its investment in NorAm Drilling securities at par value of $0.3 million. The fair value of the remaining holding at December 31, 2020 was $4.6 million (2019: $4.7 million; 2018: $5.2 million). (Refer to Note 11: Investments in debt and equity securities). During the year ended December 31, 2018, the Company divested its holding in Golden Close securities. The Company received net proceeds of $45.6 million, resulting in an overall gain of $13.5 million. The Company earned $0.2 million interest income on its holding of investments in secured notes issued by Golden Close, up to the date of divestment, in the year ended December 31, 2018. In the year ended December 31, 2019, the Company received $2.0 million final dividend distribution upon the liquidation of Golden Close. As at December 31, 2020, the net investment in Golden Close debt and equity securities is $0.0 million (2019: $0.0 million; 2018: $0.0 million). Dividends and interest income received from shares held in and secured notes issued by related parties: Year ended (in thousands of $) December 31, 2020 December 31, 2019 December 31, 2018 Dividends received ADS Maritime Holding 2,930 261 — Frontline 3,100 340 — Golden Close — 1,989 — Interest income received NorAm Drilling 420 459 506 Golden Close — — 242 |
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
FINANCIAL INSTRUMENTS | FINANCIAL INSTRUMENTS In certain situations, the Company may enter into financial instruments to reduce the risk associated with fluctuations in interest rates and exchange rates. The Company has a portfolio of swaps which swap floating rate interest to fixed rate, and which also fix the Norwegian kroner to US dollar exchange rate applicable to the interest payable and principal repayment on the NOK bonds. From a financial perspective these swaps hedge interest rate and exchange rate exposure. The counterparties to such contracts are DNB Bank ASA, Nordea Bank Finland Plc., ABN AMRO Bank N.V., NIBC Bank N.V., Skandinaviska Enskilda Banken AB (publ), ING Bank N.V., Danske Bank A/S, Swedbank AB (publ), Credit Agricole Corporate & Investment Bank S.A., Sumitomo Mitsui Banking Corporation, BNP Paribas and Commonwealth Bank of Australia. Credit risk exists to the extent that the counterparties are unable to perform under the contracts, but this risk is considered not to be substantial as the counterparties are all banks which have provided the Company with loans. The following tables present the fair values of the Company's derivative instruments that were designated as cash flow hedges and qualified as part of a hedging relationship, and those that were not designated: (in thousands of $) 2020 2019 Designated derivative instruments -short-term assets: Interest rate swaps — 520 Total derivative instruments - short-term assets — 520 Designated derivative instruments -long-term assets: Interest rate swaps — 377 Cross currency interest rate swaps 28 189 Cross currency swaps 3,373 — Non-designated derivative instruments -long-term assets: Interest rate swaps — 2,913 Cross currency swaps 5 — Total derivative instruments - long-term assets 3,406 3,479 (in thousands of $) 2020 2019 Designated derivative instruments -short-term liabilities: Interest rate swaps 703 6,067 Non-designated derivative instruments -short-term liabilities: Interest rate swaps 869 — Total derivative instruments - short-term liabilities 1,572 6,067 Designated derivative instruments -long-term liabilities: Interest rate swaps 7,926 5,477 Cross currency interest rate swaps 3,006 2,105 Cross currency swaps 8,301 11,049 Non-designated derivative instruments -long-term liabilities: Interest rate swaps 13,479 1,948 Total derivative instruments - long-term liabilities 32,712 20,579 Interest rate risk management The Company manages its debt portfolio with interest rate swap agreements denominated in U.S. dollars and Norwegian kroner to achieve an overall desired position of fixed and floating interest rates. At December 31, 2020, the Company and its consolidated subsidiaries had entered into interest rate swap transactions, involving the payment of fixed rates in exchange for LIBOR or NIBOR, as summarized below. The summary includes all swap transactions, most of which are hedges against specific loans. Notional Principal (in thousands of $) Trade date Maturity date Fixed interest rate $100,000 (remaining at $100,000) August 2011 August 2021 2.50% - 2.93% $96,600 (terminating at $79,733) May 2012 August 2022 1.76% - 1.85% $100,000 (remaining at $100,000) March 2013 April 2023 1.85% - 1.97% $39,313 (reducing to $35,063) December 2014 January 2022 2.97% $21,840 (reducing to $19,413) September 2015 March 2022 1.67% $50,313 (remaining at $50,313) June 2016 February 2021 1.07% $56,000 (remaining at $56,000) June 2019 September 2023 1.84% † $14,699 (equivalent to NOK128 million) June 2019 September 2023 6.70% - 6.77% * $11,254 (equivalent to NOK100 million) August 2019 September 2023 6.378% * $30,000 (remaining at $30,000) May 2019 June 2024 2.15% † $48,332 (equivalent to NOK420 million) May 2019 June 2024 6.85% - 6.90% * $100,000 (remaining at $100,000) August 2019 August 2029 1.45% - 1.60% $67,500 (remaining at $67,500) January 2020 October 2024 1.40% † $159,777 (reducing to $92,233) April 2020 October 2024 - January 2025 0.46% - 0.47% $48,610 (reducing to $45,135) May 2020 May 2022 0.28% * These swaps relate to the NOK700 million and NOK700 million unsecured bonds due 2023 and 2024 respectively, whereby the fixed interest rate paid is exchanged for NIBOR plus the margin on the bond. † These swaps relate to the NOK700 million, NOK700 million and NOK600 million unsecured bonds due 2023, 2024 and 2025 respectively, where a fixed interest rate is paid in exchange for LIBOR excluding margin on the underlying bonds. The total net notional principal amount subject to interest swap agreements as at December 31, 2020, was $0.9 billion (2019: $1.0 billion). Foreign currency risk management The Company is party to currency swap transactions, involving the payment of U.S. dollars in exchange for Norwegian kroner and the payment of Norwegian kroner in exchange for U.S. dollars, which are designated as hedges against the NOK700 million, NOK700 million and NOK600 million senior unsecured bonds due 2023, 2024 and 2025 respectively. Principal Receivable Principal Payable Trade date Maturity date NOK600 million US$76.8 million September 2018 September 2023 NOK100 million US$11.3 million August 2019 September 2023 NOK700 million US$80.5 million May 2019 June 2024 NOK600 million US$67.5 million January 2020 January 2025 Apart from the NOK700 million, NOK700 million and NOK600 million senior unsecured bonds due 2023, 2024 and 2025, respectively, the majority of the Company's transactions, assets and liabilities are denominated in U.S. dollars, the functional currency of the Company. Other than the corresponding currency swap transactions summarized above, the Company has not entered into forward contracts for either transaction or translation risk. Accordingly, there is a risk that currency fluctuations could have an adverse effect on the Company's cash flows, financial condition and results of operations. Fair Values The carrying value and estimated fair value of the Company's financial assets and liabilities at December 31, 2020, and 2019, are as follows: 2020 2020 2019 2019 (in thousands of $) Carrying value Fair value Carrying value Fair value Non-derivatives: Available-for-sale debt securities 9,431 9,431 12,753 12,753 Equity Securities 10,367 10,367 17,551 17,551 Equity securities pledged to creditors 9,007 9,007 43,775 43,775 Floating rate NOK bonds due 2020 — — 56,910 58,191 Floating rate NOK bonds due 2023 81,572 78,513 79,674 81,567 Floating rate NOK bonds due 2024 80,989 76,940 79,674 79,674 Floating rate NOK bonds due 2025 62,927 57,421 — — 5.75% unsecured convertible bonds due 2021 212,230 199,496 212,230 227,025 4.875% unsecured convertible bonds due 2023 139,900 123,112 148,300 165,503 Derivatives: Interest rate/ currency swap contracts – short-term receivables — — 520 520 Interest rate/ currency swap contracts – long-term receivables 3,406 3,406 3,479 3,479 Interest rate/ currency swap contracts – short-term payables 1,572 1,572 6,067 6,067 Interest rate/ currency swap contracts – long-term payables 32,712 32,712 20,579 20,579 The above short-term receivables relating to interest rate/ currency swap contracts at December 31, 2019, all relate to designated hedges. The above long-term receivables relating to interest rate/ currency swap contracts at December 31, 2020, include $0.0 million which relates to non-designated swap contracts (2019: $2.9 million), with the balance relating to designated hedges. The above short-term payables relating to interest rate/ currency swap contracts at December 31, 2020, include $0.9 million which relates to non-designated swap contracts (2019: $0.0 million), with the balance relating to designated hedges. The above long-term payables relating to interest rate/ currency swap contracts at December 31, 2020, include $13.5 million which relates to non-designated swap contracts (2019: $1.9 million), with the balance relating to designated hedges. In accordance with the accounting policy relating to interest rate and currency swaps (see Note 2 "Accounting policies"), and following the adoption of ASU 2017-12, where the Company has designated the swap as a hedge, changes in the fair values of interest rate swaps are recognized in other comprehensive income. Changes in the fair value of other swaps not designated as hedges are recognized in the Consolidated Statement of Operations. The above fair values of financial assets and liabilities as at December 31, 2020, are measured as follows: Fair value measurements using December 31, 2020 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (in thousands of $) (Level 1) (Level 2) (Level 3) Assets: Available-for-sale debt securities 9,431 4,643 4,788 Equity securities 10,367 10,367 Equity securities pledged to creditors 9,007 9,007 Interest rate/ currency swap contracts - long-term receivables 3,406 3,406 Total assets 32,211 24,017 8,194 — Liabilities: Floating rate NOK bonds due 2023 78,513 78,513 Floating rate NOK bonds due 2024 76,940 76,940 Floating rate NOK bonds due 2025 57,421 57,421 5.75% unsecured convertible bonds due 2021 199,496 199,496 4.875% unsecured convertible bonds due 2023 123,112 123,112 Interest rate/ currency swap contracts – short-term payables 1,572 1,572 Interest rate/ currency swap contracts – long-term payables 32,712 32,712 Total liabilities 569,766 535,482 34,284 — The above fair values of financial assets and liabilities as at December 31, 2019, were measured as follows: Fair value measurements using December 31, 2019 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (in thousands of $) (Level 1) (Level 2) (Level 3) Assets: Available-for-sale debt securities 12,753 4,690 8,063 — Equity securities 17,551 17,551 Equity securities pledged to creditors 43,775 43,775 Interest rate/ currency swap contracts – short-term receivables 520 520 Interest rate/ currency swap contracts – long-term receivables 3,479 3,479 Total assets 78,078 66,016 12,062 — Liabilities: Floating rate NOK bonds due 2020 58,191 58,191 Floating rate NOK bonds due 2023 81,567 81,567 Floating rate NOK bonds due 2024 79,674 79,674 5.75% unsecured convertible bonds due 2021 227,025 227,025 4.875% unsecured convertible bonds due 2023 165,503 165,503 Interest rate/ currency swap contracts – short-term payables 6,067 6,067 Interest rate/ currency swap contracts – long-term payables 20,579 20,579 Total liabilities 638,606 611,960 26,646 — ASC Topic 820 "Fair Value Measurement and Disclosures" ("ASC 820") emphasizes that fair value is a market-based measurement, not an entity-specific measurement, and should be determined based on the assumptions that market participants would use in pricing the asset or liability. As a basis for considering market participant assumptions in fair value measurements, ASC 820 establishes a fair value hierarchy that distinguishes between market participant assumptions based on market data obtained from sources independent of the reporting entity (observable inputs that are classified within levels one and two of the hierarchy) and the reporting entity's own assumptions about market participant assumptions (unobservable inputs classified within level three of the hierarchy). Level 1 inputs utilize unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access. Level 2 inputs are inputs other than quoted prices included in level one that are observable for the asset or liability, either directly or indirectly. Level 2 inputs may include quoted prices for similar assets and liabilities in active markets, as well as inputs that are observable for the asset or liability, other than quoted prices, such as interest rates, foreign exchange rates and yield curves that are observable at commonly quoted intervals. Level 3 inputs are unobservable inputs for the assets or liabilities, which typically are based on an entity's own assumptions, as there is little, if any, related market activity. In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company's assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability. Investment in equity securities consist of (i) listed Frontline shares (ii) NorAm Drilling shares traded in the OTC market and (iii) ADS Maritime Holding Plc shares traded on the Merkur Market whilst the investments in available-for-sale debt securities consist of listed and unlisted corporate bonds. At December 31, 2020, the Company determined that the available for sale corporate bonds held in Oro Negro and NT Rig Holdco valued at $4.8 million (2019: $8.1 million) should be classified as Level 2 measurements (2019: Level 2). The fair value of these corporate bonds is based on the latest available quoted prices, but due to low levels of trading the Company concluded that level one classification was not appropriate at December 31, 2020. The estimated fair values for the floating rate NOK bonds due 2023, 2024 and 2025, and the 5.75% and 4.875% unsecured convertible bonds are based on the quoted market prices as at the balance sheet date. The fair value of interest rate and currency swap contracts is calculated using established independent valuation techniques applied to contracted cash flows and LIBOR/NIBOR interest rates as at the balance sheet date. Concentrations of risk There is a concentration of credit risk with respect to cash and cash equivalents to the extent that amounts are carried with Skandinaviska Enskilda Banken, ABN AMRO, Nordea, Credit Agricole Corporate and Investment Bank, ING Bank, Danske Bank, BNPP Bank, Credit Suisse, Morgan Stanley and DNB Bank. However, the Company believes this risk is remote, as these financial institutions are established and reputable establishments with no prior history of default. The Company does not require collateral or other securities to support financial instruments that are subject to credit risk. There is also a concentration of revenue risk with certain customers to whom the Company has chartered multiple vessels. In the year ended December 31, 2020, Frontline Shipping accounted for approximately 6% of our consolidated operating revenues (2019: 4%, 2018: 8%). Frontline Shipping is a 100% owned subsidiary of Frontline, but the performance under the leases is not guaranteed by Frontline following amendments agreed in 2015. There is no requirement for a minimum cash balance in Frontline Shipping, but in exchange for releasing the guarantee a dividend restriction was introduced on Frontline Shipping whereby it can only make distributions to its parent company if it can demonstrate it will have minimum free cash of $2 million per vessel both prior to and following (i) such distribution and (ii) the payment of the next hire due and any profit share accrued under the charters. Due to the current depressed tanker market, there is a risk that Frontline Shipping may not have sufficient funds to pay the agreed charterhires. However, the performance under the fixed price agreements with Frontline Management whereby we pay management fees of $9,000 per day for each vessel to cover all operating costs including drydocking costs, is guaranteed by Frontline. In the year ended December 31, 2020, the Company had eight Capesize dry bulk carriers leased to a subsidiary of Golden Ocean which accounted for approximately 11% of our consolidated operating revenues (2019: 11%, 2018: 13%). The Company also earned income on 32 container vessels on long-term bareboat charters to MSC, which accounted for approximately 13% of our consolidated operating revenues in the year ended December 31, 2020 (2019: 14%, 2018: 11%). The Company had 12 container vessels on long-term time charters to Maersk A/S (“Maersk”) at December 31, 2020, which accounted for approximately 29% of our consolidated operating revenues (2019: 30%; 2018: 27%). In the year ended December 31, 2020, the company had four container vessels on time charter to Evergreen Marine Corp., which accounted for approximately 15% of our consolidated operating revenues in the year ended December 31, 2020 (2019: 14%, 2018: 10%). In addition, a significant portion of our net income has been generated from our associated companies that lease rigs to subsidiaries of Seadrill. In October 2020, two of these three companies were consolidated. (see note 17: Investment in associated companies.) In the year ended December 31, 2020, income from our associated companies accounted for 7.2% of our net loss (2019: 35.0% of net income, 2018: 39.1% of net income). Also, in the year ended December 31, 2020, revenue from subsidiaries that were consolidated from October 2020 and leased to Seadrill, accounted for approximately 1% of our consolidated operating revenues (2019: 0%, 2018: 0%). During the year ended December 31, 2020, Seadrill publicly disclosed that they had appointed financial and legal advisors to evaluate comprehensive restructuring alternatives to reduce debt service costs and overall indebtedness. In September and October 2020, Seadrill failed to pay hire when due under the leases for the three drilling unit. The overdue hires along with certain other events, constituted an event of default under such leases and the related financing agreements. Under the terms of the leases, charter payment from the sub-charterers of West Hercules and West Linus , were paid into accounts pledged to SFL and its financing banks. During November and December 2020, Seadrill and SFL entered into forbearance and funds withdrawal agreements during which Seadrill was allowed to use certain funds received from the sub-charterers to pay operating expenses for the rigs in exchange for the Company being paid approximately 65 -75% of the existing contracted lease hire related to the West Hercules and the West Linus. Any hire received by Seadrill relating to the sub-charters on these two rigs in excess of the withdrawn amounts remained in Seadrill’s earnings accounts pledged to SFL. In October 2020, the Company was determined to be the primary beneficiary of SFL Linus and SFL Deepwater following changes to the financing agreements and as a result of defaults by Seadrill. Therefore, from October 2020 these subsidiaries were consolidated by the Company. (See Note 17: Investment in Associated Companies). River Box was a previously wholly owned subsidiary of the Company. River Box holds investments in direct financing leases, through its subsidiaries, related to the 19,200 and 19,400 TEU containerships MSC Anna , MSC Viviana , MSC Erica and MSC Reef . On December 31, 2020, the Company sold 50.1% of the shares of River Box to a subsidiary of Hemen, a related party. The Company has accounted for the remaining 49.9% ownership in River Box using the equity method. (See Note 17: Investment in Associated Companies). As discussed in Note 27: Commitments and contingent liabilities, the Company, at December 31, 2020, guaranteed a total of $83.1 million (2019: $266.1 million) of the bank debt of its associated companies and had net outstanding receivable balance on loans granted by the Company to these associated companies totaling $123.9 million (2019: $326.1 million). The loans granted by the Company are considered not impaired at December 31, 2020 due to the fair value of the jack-up rig owned by SFL Hercules and the fair value of the vessels owned by River Box exceeding the book values at December 31, 2020. |
ALLOWANCE FOR EXPECTED CREDIT L
ALLOWANCE FOR EXPECTED CREDIT LOSSES | 12 Months Ended |
Dec. 31, 2020 | |
Credit Loss [Abstract] | |
ALLOWANCE FOR EXPECTED CREDIT LOSSES | ALLOWANCE FOR EXPECTED CREDIT LOSSES On January 1, 2020 the Company was required to adopt ASU 2016-13 which introduces a new credit loss methodology, requiring earlier recognition of potential credit losses. ASU 2016-13, was adopted using the modified retrospective method (see Note 2: Accounting Policies). The provision is based on an assessment of the impact of current and expected future conditions, and at December 31, 2020, this is inclusive of the Company's estimate of the potential effect of the COVID-19 pandemic on credit losses. The duration and severity of COVID-19 and continued market volatility is highly uncertain and, as such, the impact on expected credit losses is subject to significant judgment and may cause variability in the Company’s allowance for credit losses in future periods. Movements in the allowance for expected credit losses may result in gains as well as losses recorded in income as changes occur in the balances of our financial assets and the risk profiles of our counterparties. The following table presents the impact of the allowance for expected credit losses on the Company's balance sheet line items for the year ended December 31, 2020. (in thousands of $) Trade receivables Other receivables Related Party receivables Investment in sales-type, direct financing leases and leaseback assets Other long-term assets Total Balance at December 31, 2019 — — — — — — Impact of the adoption of ASU 2016-13 on retained earnings (Note 2) 19 580 206 4,799 10 5,614 Additions from associates 1,336 2,025 3,361 Sale of 50.1% of subsidiary (1,575) (1,575) Change in allowance recorded in 'other financial items' 14 301 431 (859) 1,884 1,771 Balance at December 31, 2020 33 881 1,973 4,390 1,894 9,171 The impact of the allowance for expected credit losses on the associates is disclosed in Note 17: Investment in associated companies. In October, 2020, two of the 100% owned subsidiaries accounted for as associates, SFL Linus and SFL Deepwater, ceased to be accounted for as associates and become consolidated. Furthermore, the Company sold 50.1% of its subsidiary River Box Holding Inc. resulting in the remaining investment being accounted for as an investment in associates. Refer to Note 9: Gain on sale of subsidiaries and Note 17: Investment in associated companies. |
COMMITMENTS AND CONTINGENT LIAB
COMMITMENTS AND CONTINGENT LIABILITIES | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENT LIABILITIES | COMMITMENTS AND CONTINGENT LIABILITIES Assets Pledged (in millions of $) 2020 2019 Vessels and equipment, net 1,189 1,352 Investments in sales-type, direct financing leases and leaseback assets 675 401 Book value of consolidated assets pledged under ship mortgages 1,864 1,753 Assets with finance lease liabilities (in millions of $) 2020 2019 Vessels under finance lease, net 697 714 Investments in direct financing leases — 563 Total book value 697 1,277 The Company and its equity-accounted subsidiaries have funded their acquisition of vessels, jack-up rig and ultra-deepwater drilling units through a combination of equity, short-term debt and long-term debt. Providers of long-term loan facilities usually require that the loans be secured by mortgages against the assets being acquired. As at December 31, 2020, the Company ($1.7 billion) and its 100% equity-accounted subsidiaries ($185.8 million) had a combined outstanding principal indebtedness of $1.8 billion (2019: $2.2 billion) under various credit facilities. As at December 31, 2020, the Company had a forward contract which expired in January of 2021, and has subsequently been rolled over to April 2021, to repurchase 1.4 million shares of Frontline (December 31, 2019: 3.4 million shares) with a carrying value of $9.0 million (December 31, 2019: $43.8 million). The transaction has been accounted for as a secured borrowing, with the shares transferred to 'Marketable securities pledged to creditors' and a liability of $15.6 million recorded within debt at December 31, 2020 (December 31, 2019: $36.8 million). At December 31, 2020 the shares, together with a restricted cash balance of $9.0 million (December 31, 2019: $3.5 million), have been pledged as part of the forward agreement. Other Contractual Commitments and Contingencies The Company has arranged insurance for the legal liability risks for its shipping activities with Gard P.& I. (Bermuda) Ltd., Assuranceforeningen Skuld (Gjensidig), The Steamship Mutual Underwriting Association Limited, The West of England Ship Owners Mutual Insurance Association (Luxembourg), North of England P&I Association Limited, The Standard Club Europe Ltd, The United Kingdom Mutual Steam Ship Assurance Association (Europe) Limited and The Britannia Steam Ship Insurance Association Limited, all of which are mutual protection and indemnity associations. The Company is subject to calls payable to the associations based on the Company’s claims record in addition to the claims records of all other members of the associations. A contingent liability exists to the extent that the claims records of the members of the associations in the aggregate show significant deterioration, which may result in additional calls on the members. SFL Hercules is a wholly-owned subsidiary of the Company, which is accounted for using the equity method. Accordingly, their assets and liabilities are not consolidated in the Company's Consolidated Balance Sheets, but are presented on a net basis under "Investment in associated companies". See Note 17: Investment in associated companies. As at December 31, 2020, its bank borrowings amounted to $185.8 million (2019: $201.9 million) and the Company guaranteed $83.1 million (2019: $78.9 million) of this debt which is secured by first priority mortgage over the drilling unit. In addition, the Company has assigned all claims it may have under its secured loan to SFL Hercules in favor of the lender under its credit facility. This loan had a net outstanding balance of $78.9 million at December 31, 2020, (2019: $80.0 million) and is secured by second priority mortgage over the drilling unit, which has been assigned to the lender under the credit facilities. The lender has also been granted a first priority pledge over all shares of SFL Hercules. Capital commitments As at December 31, 2020, the Company has committed $5.8 million towards the procurement of scrubbers on nine vessels owned by the Company (December 31, 2019, $33.4 million on 13 vessels), with installations expected to take place up to the end of 2021. As at December 31, 2020, the Company has also committed to paying $7.0 million towards the installation of BWTS on 16 vessels from its fleet (December 31, 2019, $9.2 million on 18 vessels), with installations expected to take place up to 2022. There were no other material contractual commitments as at December 31, 2020. |
CONSOLIDATED VARIABLE INTEREST
CONSOLIDATED VARIABLE INTEREST ENTITIES | 12 Months Ended |
Dec. 31, 2020 | |
CONSOLIDATED VARIABLE INTEREST ENTITIES [Abstract] | |
CONSOLIDATED VARIABLE INTEREST ENTITIES | CONSOLIDATED VARIABLE INTEREST ENTITIES As at December 31, 2020, the Company's consolidated financial statements included 41 variable interest entities, all of which it has been determined that the Company is the primary beneficiary. These variable interest entities are all wholly-owned subsidiaries and own vessels with existing charters during which related and third parties have fixed price options or obligations to purchase the respective vessels, at dates varying from January 2021 to September 2025. At December 31, 2020, 28 of the consolidated variable interest entities have a vessel which is accounted for as investments in sales-type leases, direct financing leases and leaseback assets. At December 31, 2020, the vessels had a carrying value of $583.6 million before credit loss provision, unearned lease income of $161.3 million and total option prices at the earliest exercise date of $579.9 million. The outstanding loan balances in these entities amounted to a total of $356.4 million, of which the short-term portion was $73.8 million as at December 31, 2020. At December 31, 2020, 10 fully consolidated variable interest entities each own vessels which are accounted for as operating lease assets. At December 31, 2020 the vessels had a total net book value of $232.5 million. The outstanding loan balances in these entities amounted to a total of $90.1 million, of which the short-term portion was $13.9 million as at December 31, 2020. The remaining three consolidated variable interest entities each own vessels which are accounted for as vessels under finance lease and had a total net book value of $297.0 million at December 31, 2020. The outstanding total finance lease liabilities for these entities amounted to $231.8 million, of which the short-term portion was $20.0 million as at December 31, 2020. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2020 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS In January 2021, the Company issued 0.3 million new shares pursuant to the Company's dividend reinvestment plan and At-the-Market Sales Agreement offering. On February 17, 2021, the Board of Directors of the Company declared a dividend of $0.15 per share which will be paid in cash on or around March 30, 2021. In February 2021, Seadrill and most of its subsidiaries filed Chapter 11 cases in the Southern District of Texas. SFL and certain of its subsidiaries have entered into court approved interim agreements with Seadrill relating to two of the Company’s drilling rigs, West Linus and West Hercules , allowing for the uninterrupted performance of sub-charters to oil majors while the Chapter 11 process is ongoing. Pursuant to these agreements, Seadrill will be allowed to use funds received from the respective sub-charterers to pay a fixed level of operating and maintenance expenses in additional to general and administrative costs. In exchange, SFL will receive approximately 65 - 75% of the lease hire under the existing charter agreements for West Linu s and West Hercules for the same period. With regards to the third rig, West Taurus , the lease has been rejected by the court and the rig will be redelivered to SFL within approximately three months. This rig is debt free and has been held in layup by Seadrill for more than five years. SFL is currently evaluating strategic alternatives for this rig, including potential recycling at an EU approved recycling facility. In March 2021, the Company received a capital dividend of approximately $8.8 million from ADS Maritime Holding following the sale of its remaining two vessels. Also in March 2021, the Company sold its remaining shares in ADS Maritime Holding for a consideration of approximately $0.8 million. In March 2021, the Company agreed to purchase a container vessel with a long term charter to a leading container liner operator. The delivery is expected to take place in the third quarter of 2021. |
ACCOUNTING POLICIES (Policies)
ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Accounting | Basis of Accounting The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States ("US GAAP"). The consolidated financial statements include the assets and liabilities and results of operations of the Company and its subsidiaries. All inter-company balances and transactions have been eliminated on consolidation. Where necessary, comparative figures for previous years have been reclassified to conform to changes in presentation in the current year. |
Consolidation of variable interest entities | Consolidation of variable interest entities A variable interest entity is defined in Accounting Standards Codification ("ASC") Topic 810 "Consolidation" ("ASC 810") as a legal entity where either (a) the total equity at risk is not sufficient to permit the entity to finance its activities without additional subordinated support; (b) equity interest holders as a group lack either i) the power to direct the activities of the entity that most significantly impact on its economic success, ii) the obligation to absorb the expected losses of the entity, or iii) the right to receive the expected residual returns of the entity; or (c) the voting rights of some investors in the entity are not proportional to their economic interests and the activities of the entity involve or are conducted on behalf of an investor with a disproportionately small voting interest. ASC 810 requires a variable interest entity to be consolidated by its primary beneficiary, being the interest holder, if any, which has both (1) the power to direct the activities of the entity which most significantly impact on the entity's economic performance, and (2) the right to receive benefits or the obligation to absorb losses from the entity which could potentially be significant to the entity. The Company evaluates its subsidiaries, and any other entities in which it holds a variable interest, in order to determine whether the Company is the primary beneficiary of the entity, and where it is determined that the Company is the primary beneficiary the Company fully consolidate the entity. |
Use of accounting estimates | Use of accounting estimates The preparation of financial statements in accordance with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Revenue and expense recognition | Revenue and expense recognition Effective from January 1, 2018, the Company adopted the new accounting standard ASC Topic 606 "Revenue from Contracts with Customers" using the modified retrospective method, which resulted in no adjustment to our retained earnings on adoption and comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. The Company generates its revenues from the charter hire of its vessels and offshore related assets, and freight billings. Revenues are generated from time charter hire, bareboat charter hire, direct financing lease interest income, sales-type lease interest income, leaseback assets interest income, direct financing lease service revenues, profit sharing arrangements, voyage charters and other freight billings. In a time charter voyage, the vessel is hired by the charterer for a specified period of time in exchange for consideration which is based on a daily hire rate. Generally, the charterer has the discretion over the ports visited, shipping routes and vessel speed. The contract/charter party generally provides typical warranties regarding the speed and performance of the vessel. The charter party generally has some owner protective restrictions such that the vessel is sent only to safe ports by the charterer and carries only lawful or non-hazardous cargo. In a time charter contract, we are responsible for all the costs incurred for running the vessel such as crew costs, vessel insurance, repairs and maintenance, lubrication oil and other costs relevant to operate the vessel. The charterer bears the voyage related costs such as bunker expenses, port charges, and canal tolls during the hire period. The performance obligations in a time charter contract are satisfied over the term of the contract beginning when the vessel is delivered to the charterer until it is redelivered back to us. The charterer generally pays the charter hire in advance of the upcoming contract period. The time charter contracts are either operating or direct financing or sales type leases. Where time charters and bareboat charters are considered operating leases, revenues are recorded over the term of the charter as a service is provided. When a time charter contract is linked to an index, we recognize revenue for the applicable period based on the actual index for that period. Rental payments from direct financing and sales-type leases and leaseback assets are allocated between service revenues, if applicable, interest income and capital repayments. The amount allocated to lease service revenue is based on the estimated fair value, at the time of entering the lease agreement, of the services provided which consist of ship management and operating services. In a voyage charter contract, the charterer hires the vessel to transport a specific agreed-upon cargo for a single voyage. The consideration in such a contract is determined on the basis of a freight rate per metric ton of cargo carried or occasionally on a lump sum basis. The charterer is responsible for any short loading of cargo or "dead" freight. The voyage charter party generally has standard payment terms with freight paid on completion of discharge. The voyage charter party generally has a "demurrage" clause. As per this clause, the charterer reimburses us for any potential delays exceeding the allowed laytime as per the charter party clause at the ports visited, which is recorded as voyage revenue. Estimates and judgments are required in ascertaining the most likely outcome of a particular voyage and actual outcomes may differ from estimates. Such estimate is reviewed and updated over the term of the voyage charter contract. In a voyage charter contract, the performance obligations begin to be satisfied once the vessel begins loading the cargo. We have determined that our voyage charter contracts consist of a single performance obligation of transporting the cargo within a specified time period. Therefore, the performance obligation is met evenly as the voyage progresses, and the revenue is recognized on a straight line basis over the voyage days from the commencement of loading to completion of discharge. Contract assets with regards to voyage revenues are reported as "Voyages in progress" as the performance obligation is satisfied over time. Voyage revenues typically become billable and due for payment on completion of the voyage and discharge of the cargo, at which point the receivable is recognized as "Trade accounts receivable, net". In a voyage contract, the Company bears all voyage related costs such as fuel costs, port charges and canal tolls. To recognize costs incurred to fulfill a contract as an asset, the following criteria shall be met: (i) the costs relate directly to the contract, (ii) the costs generate or enhance resources of the entity that will be used in satisfying performance obligations in the future and (iii) the costs are expected to be recovered. The costs incurred during the period prior to commencement of loading the cargo, primarily bunkers, are deferred as they represent setup costs and recorded as a current asset and are subsequently amortized on a straight-line basis as we satisfy the performance obligations under the contract. Costs incurred to obtain a contract, such as commissions, are also deferred and expensed over the same period. For our vessels operating under revenue sharing agreements, or in pools, revenues and voyage expenses are pooled and allocated to each pool’s participants in accordance with an agreed-upon formula. Revenues generated through revenue sharing agreements are presented gross when we are considered the principal under the charter parties with the net income allocated under the revenue sharing agreement presented as within voyage charter income. For revenue sharing agreements that meet the definition of a lease, we account for such contracts as variable rate operating leases and recognize revenue for the applicable period based on the actual net revenue distributed by the pool. As detailed in Note 24: Related party transactions, the Company has, or has had, profit sharing arrangements with Frontline Shipping Limited ("Frontline Shipping"), Golden Ocean Group Limited ("Golden Ocean"). The Company also had profit sharing agreements with Deep Sea Supply Shipowning II AS (the “Solstad Charterer”), a wholly owned subsidiary of Solship Invest 3 AS (“Solship”, formerly Deep Sea Supply Plc, or Deep Sea). Amounts receivable under these arrangements are accrued on the basis of amounts earned at the reporting date. Any contingent elements of rental income, such as profit share, fuel saving payments and interest rate adjustments, are recognized when the contingent conditions have materialized. |
Foreign currencies | Foreign currencies |
Cash and cash equivalents | Cash and cash equivalents For the purposes of the consolidated statements of cash flows, all demand and time deposits and highly liquid, low risk investments with original maturities of three months or less are considered equivalent to cash. |
Restricted cash | Restricted cashRestricted cash consists of cash which may only be used for certain purposes and is held under a contractual arrangement. The Company classifies restricted cash as short-term and a current asset if the cash is restricted for less than a year. Otherwise, the restricted cash is classified as long-term. |
Investment in debt and equity securities | Investment in debt and equity securities Investments in debt and equity securities include share investments and interest-earning listed and unlisted corporate bonds. Any premium paid on their acquisition is amortized over the life of the bond. Investments in debt securities are recorded at fair value, with unrealized gains and losses recorded as a separate component of other comprehensive income. Investments in equity securities are recorded at fair value, with unrealized gains and losses recorded in the consolidated statement of operations. If circumstances arise which lead the Company to believe that the issuer of a corporate bond may be unable meet its payment obligations in full, or that the fair value at acquisition of the share investment or corporate bond may otherwise not be fully recoverable, then to the extent that a loss is expected to arise that unrealized loss is recorded as an impairment in the statement of operations, with an adjustment if necessary to any unrealized gains or losses previously recorded in other comprehensive income. In determining whether the Company has an other-than-temporary impairment in its investment in bonds, in addition to the Company’s intention and ability to hold the investments until the market recovers, the Company considers the period of decline, the amount and the severity of the decline and the ability of the investment to recover in the near to medium term. The Company also evaluates if the underlying security provided by the bonds is sufficient to ensure that the decline in fair value of these bonds did not result in an other-than-temporary impairment. The cost of disposals or reclassifications from other comprehensive income is calculated on an average cost basis, where applicable. The fair value of unlisted corporate bonds is determined from an analysis of projected cash flows, based on factors including the terms, provisions and other characteristics of the bonds, credit ratings and default risk of the issuing entity, the fundamental financial and other characteristics of that entity, and the current economic environment and trading activity in the debt market. |
Investments in associated companies | Investments in associated companies Investments in affiliates in which the Company has significant influence but does not exercise control are accounted for using the equity method of accounting. Under the equity method, the Company records its investments in equity-method investees on the consolidated balance sheets as "Investment in associated companies" and its share of the nonconsolidated affiliate's income or loss is recognized in the consolidated statement of operations as "Equity in earnings of associated companies". The cumulative post-acquisition changes in the investment are adjusted against the carrying amount of the investment. As of December 31, 2020, one ultra-deepwater drilling unit owned by wholly-owned subsidiaries of the Company is accounted for using the equity method of accounting as it has been determined under ASC 810 that they are a variable interest entity in which SFL is not the primary beneficiary. (see Note 17: Investment in associated companies). |
Allowance for expected credit losses | Allowance for expected credit losses The balances recorded in respect of T rade receivables, Other receivables, Related party receivables, Other long term assets and Investments in sales-type leases, direct financing leases and leaseback assets reflect the risk that our customers may fail to meet their payment obligations and the risk that the underlying asset value of the vessels and rigs could be less than the unguaranteed residual value. The Company estimates the expected risk of loss over the remaining life using a probability of default and net exposure analysis. The probability of default is estimated based on historical cumulative default data, adjusted for current conditions of similarly risk-rated counterparties over the contractual term. The net exposure is estimated based on the exposure, net of the estimated value of the underlying vessels and rigs in the instance of Investments in sales-type leases, direct financing leases and leaseback assets , over the contractual term. Current expected credit loss provisions are classified as expenses in the Consolidated Statement of Operations, with a corresponding allowance for credit loss amount reported as a reduction in the related balance sheet amount of Tr ade receivables, Other receivables, Related party receivables, Other long term assets and Investments in sales-type leases, direct financing leases and leaseback assets . Partial or full recoveries of amounts previously written off are generally recognized as a reduction in the provision for credit losses. |
Trade accounts receivable | Trade accounts receivableThe amount shown as trade accounts receivable at each balance sheet date includes receivables due from customers for hire of vessels and offshore related assets, net of allowance for expected credit losses. |
Inventories | Inventories Inventories are comprised principally of fuel and lubricating oils and are stated at the lower of cost and net realizable value. Cost is determined on a first-in first-out basis. |
Vessels and equipment (including operating and finance lease assets) | Vessels and equipment (including operating lease assets) Vessels and equipment are recorded at historical cost less accumulated depreciation and, if appropriate, impairment charges. The cost of these assets less estimated residual value is depreciated on a straight-line basis over the estimated remaining economic useful life of the asset. The estimated economic useful life of our offshore drilling rigs is 30 years and for all other vessels it is 25 years. Where an asset is subject to an operating lease that includes fixed price purchase options, the projected net book value of the asset is compared to the option price at the various option dates. If any option price is less than the projected net book value at an option date, the initial depreciation schedule is amended so that the carrying value of the asset is written down on a straight line basis to the option price at the option date. If the option is not exercised, this process is repeated so as to amortize the remaining carrying value, on a straight line basis, to the estimated scrap recycling value or the option price at the next option date, as appropriate. This accounting policy for fixed assets has the effect that if an option is exercised there will be either a) no gain or loss on the sale of the asset or b) in the event that the option is exercised at a price in excess of the net book value at the option date, a gain will be reported in the statement of operations at the date of delivery to the new owners, under the heading "gain on sale of assets and termination of charters". The Company capitalizes and depreciates the costs of significant replacements, renewals and upgrades to its vessels over the shorter of the vessel’s remaining useful life or the life of the renewal or upgrade. The amount capitalized is based on management’s judgment as to expenditures that extend a vessel’s useful life or increase the operational efficiency of a vessel. Costs that are not capitalized are recorded as a component of direct vessel operating expenses during the period incurred. Expenses for routine maintenance and repairs are expensed as incurred. Advances paid in respect of vessel upgrades in relation to Exhaust Gas Cleaning Systems ("EGCS" or "scrubbers") and Ballast water treatment systems ("BWTS") are included within "other long-term assets", until such time as the equipment is installed on a vessel, at which point it is transferred to "Vessels and equipment, net". Office equipment is depreciated at 20% per annum on a reducing balance basis. Vessels and equipment under finance lease The Company charters-in certain vessels and equipment under leasing agreements. Leases of vessels and equipment, where the Company has substantially all the risks and rewards of ownership, are classified as "vessels under finance lease", with corresponding lease liabilities recorded. The Company capitalizes and depreciates the costs of significant replacements, renewals and upgrades to its vessels over the shorter of the vessel’s remaining useful life or the life of the renewal or upgrade. The amount capitalized is based on management’s judgment as to expenditures that extend a vessel’s useful life or increase the operational efficiency of a vessel. Costs that are not capitalized are recorded as a component of direct vessel operating expenses during the period incurred. Expenses for routine maintenance and repairs are expensed as incurred. Advances paid in respect of vessel upgrades in relation to EGCS and BWTS are included within "other long-term assets", until such time as the equipment is installed on a vessel, at which point it is transferred to "Vessels under finance lease, net". Depreciation of vessels and equipment under finance lease is included within "Depreciation" in the consolidated statement of operations. Vessels and equipment under finance lease are depreciated on a straight-line basis over the vessels' remaining economic useful lives or on a straight-line basis over the term of the lease. The method applied is determined by the criteria by which the lease has been assessed to be a finance lease. |
Newbuildings | Newbuildings The carrying value of vessels under construction ("newbuildings") represents the accumulated costs to the balance sheet date which the Company has paid by way of purchase installments and other capital expenditures together with capitalized loan interest and associated finance costs. No charge for depreciation is made until a newbuilding is put into operation. |
Capitalized interest | Capitalized interestInterest expense is capitalized during the period of construction of newbuilding vessels based on accumulated expenditures for the applicable vessel at the Company's capitalization rate of interest. The amount of interest capitalized in an accounting period is determined by applying an interest rate (the "capitalization rate") to the average amount of accumulated expenditures for the vessel during the period. The capitalization rate used in an accounting period is based on the rates applicable to borrowings outstanding during the period. The Company does not capitalize amounts in excess of actual interest expense incurred in the period. No interest was capitalized in the cost of newbuildings in the year ended December 31, 2020 (2019: $0.0 million; 2018: $0.0 million). |
Investment in sales-type leases and direct financing leases and leaseback assets | Investment in sales-type leases and direct financing leases Leases (charters) of our vessels where we are the lessor are classified as either direct financing, sales-type leases, operating leases, or leaseback assets based on an assessment of the terms of the lease. For charters classified as direct financing leases, the minimum lease payments (reduced in the case of time-chartered vessels by projected vessel operating costs) plus the estimated residual value of the vessel are recorded as the gross investment in the direct financing lease. For direct financing leases, the difference between the gross investment in the lease and the carrying value of the vessel is recorded as unearned lease interest income. The net investment in the lease consists of the gross investment less the unearned income. Over the period of the lease each charter payment received, net of vessel operating costs if applicable, is allocated between "lease interest income" and "repayment of investment in lease" in such a way as to produce a constant percentage rate of return on the balance of the net investment in the direct financing lease. Thus, as the balance of the net investment in each direct financing lease decreases, a lower proportion of each lease payment received is allocated to lease interest income and a greater proportion is allocated to lease repayment. For direct financing leases relating to time chartered vessels, the portion of each time charter payment received that relates to vessel operating costs is classified as "service revenue - direct financing leases". For sales-type leases, the difference between the gross investment in the lease and the present value of its components, i.e. the minimum lease payments and the estimated residual value, is recorded as unearned lease interest income. The discount rate used in determining the present values is the interest rate implicit in the lease. The present value of the minimum lease payments, computed using the interest rate implicit in the lease, is recorded as the sales price, from which the carrying value of the vessel at the commencement of the lease is deducted in order to determine the profit or loss on sale. As is the case for direct financing leases, the unearned lease interest income is amortized to income over the period of the lease so as to produce a constant periodic rate of return on the net investment in the lease. The Company adopted ASC 842 Leases on January 1, 2019 (which replaced ASC 840 Leases) using the modified retrospective transition approach, which allows the Company to recognize a cumulative effect adjustment to the opening balance of accumulated deficit in the period of adoption rather than restate our comparative prior year periods. The Company elected the package of practical expedients applied to all of its leases (including those for which it is a lessee and lessor) that permit it not to (i) reassess whether any expired or existing contracts are or contain leases; (ii) reassess the lease classification for any expired or existing leases , (iii) reassess initial direct costs for any existing leases and (iv) to not separate lease and non-lease components of lease revenue. Furthermore, the Company has not elected the practical expedient to use hindsight when determining the lease term. For leases entered into on or after January 1, 2019, any difference between the fair value of the leased asset and the costs results in a selling profit or loss. A selling profit is recognized at lease commencement for sales-type leases and over the lease term for direct financing leases. Selling loss is recognized at lease commencement for both sales-type and direct financing leases. The fair value is considered to be the cost of acquiring the vessel unless a significant period has elapsed between the acquisition of the vessel and the commencement of the lease. Where a sales-type lease, direct financing lease or leaseback asset charter arrangement containing fixed price purchase options, the projected carrying value of the net investment in the lease is compared to the option price at the various option dates. If any option price is less than the projected net investment in the lease at an option date, the rate of amortization of unearned lease interest income is adjusted to reduce the net investment to the option price at the option date. If the option is not exercised, this process is repeated so as to reduce the net investment in the lease to the un-guaranteed residual value or the option price at the next option date, as appropriate. This accounting policy for investments in direct financing or sales-type leases or leaseback assets has the effect that if an option is exercised there will either be a) no gain or loss on the exercise of the option or b) in the event that an option is exercised at a price in excess of the net investment in the lease at the option date, a gain will be reported in the statement of operations at the date of delivery to the new owners. |
Leaseback assets | Leaseback assets From January 1, 2019, any vessels purchased and leased back to the same party are evaluated under ASC 842. If control is deemed not to have passed to the Company as purchaser, due for example to the lessee having purchase options, the transaction is accounted for under ASC 310 where the purchase price paid is accounted for as loan receivable and described as a leaseback asset. Interest income is recognized on the aggregate loan receivable based on the imputed interest rate and the part of the rental income received is allocated as a reduction of the vessel loan balance. Any purchase and leaseback transactions entered into before January 1, 2019, were accounted for as leases under ASC 840 and no changes have been made as the Company applied the practical expedients in ASC 842. |
Finance lease liability | Finance lease liabilityThe Company charters-in seven container vessels through sale and leaseback financing arrangements with corresponding lease assets classified as "vessels under finance lease". Leases of vessels and equipment, where the Company has substantially all the risks and rewards of ownership, are classified as finance lease liabilities. Each lease payment is allocated between reduction in liability and finance charges to achieve a constant rate on the capital balance outstanding. The interest element of the capital cost is charged to the Consolidated Statement of Operations over the lease period. |
Impairment of long-lived assets, including other long-term investments | Impairment of long-lived assets, including other long-term investments The carrying value of long-lived assets, including other long-term investments, that are held by the Company are reviewed whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. For vessels, such indicators may include historically low spot charter rates and second hand vessel values. The Company assesses recoverability of the carrying value of the asset by estimating the future net cash flows expected to result from the asset, including eventual disposition, taking into account the possibility of any existing medium and long-term charter arrangements being terminated early. If the future expected net cash flows are less than the carrying value of the asset, an impairment loss is recorded equal to the difference between the carrying value of the asset and its fair value. In addition, long-lived assets to be disposed of are reported at the lower of carrying amount and fair value less estimated costs to sell. Fair value is generally based on values achieved for the sale/purchase of similar vessels and external appraisals. |
Deferred charges | Deferred charges Loan costs, including debt arrangement fees, are capitalized and amortized on a straight line basis over the term of the relevant loan. The straight line basis of amortization approximates the effective interest method in the Company's statement of operations. Amortization of loan costs is included in interest expense. If a loan is repaid early, any unamortized portion of the related deferred charges is charged against income in the period in which the loan is repaid. Similarly, if a portion of a loan is repaid early, the corresponding portion of the unamortized related deferred charges is charged against income in the period in which the early repayment is made. |
Convertible bonds | Convertible bonds The Company accounts for debt instruments with convertible features in accordance with the details and substance of the instruments at the time of their issuance. For convertible debt instruments issued at a substantial premium to equivalent instruments without conversion features, or those that may be settled in cash upon conversion, it is presumed that the premium or cash conversion option represents an equity component. Accordingly, the Company determines the carrying amounts of the liability and equity components of such convertible debt instruments by first determining the carrying amount of the liability component by measuring the fair value of a similar liability that does not have an equity component. The carrying amount of the equity component representing the embedded conversion option is then determined by deducting the fair value of the liability component from the total proceeds from the issue. The resulting equity component is recorded, with a corresponding offset to debt discount which is subsequently amortized to interest cost using the effective interest method over the period the debt is expected to be outstanding as an additional non-cash interest expense. Transaction costs associated with the instrument are allocated pro-rata between the debt and equity components. For conventional convertible bonds which do not have a cash conversion option or where no substantial premium is received on issuance, it may not be appropriate to split the bond into the liability and equity components. |
Financial instruments | Financial instruments In determining the fair value of its financial instruments, the Company uses a variety of methods and assumptions that are based on market conditions and risks existing at each balance sheet date. For the majority of financial instruments, including most derivatives and long-term debt, standard market conventions and techniques such as options pricing models are used to determine fair value. All methods of assessing fair value result in a general approximation of value, and such value may never actually be realized. Interest rate and currency swaps The Company enters into interest rate swap transactions from time to time to hedge a portion of its exposure to floating interest rates. These transactions involve the conversion of floating interest rates into fixed rates over the life of the transactions without an exchange of underlying principal. The Company also enters into currency swap transactions from time to time to hedge against the effects of exchange rate fluctuations on loan liabilities. Currency swap transactions involve the exchange of fixed amounts of other currencies for fixed US dollar amounts over the life of the transactions, including an exchange of underlying principal. The Company may also enter into a combination of interest and currency swaps "cross currency interest rate swaps". The fair values of the interest rate and currency swap contracts, including cross currency interest rate swaps, are recognized as assets or liabilities. When the interest rate or currency swap does not qualify for hedge accounting under ASC Topic 815 "Derivatives and Hedging" ("ASC 815"), changes in fair values are recognized in the consolidated statements of operations. When the interest rate and/or currency swap or combination, qualifies for hedge accounting under ASC Topic 815 "Derivatives and Hedging" ("ASC 815"), and the Company has formally designated the swap as a hedge to the underlying loan, and when the hedge is effective, the changes in the fair value of the swap are recognized in other comprehensive income. If it becomes probable that the hedged forecasted transaction to which these swaps relate will not occur, the amounts in other comprehensive income will be reclassified into earnings immediately. |
Drydocking provisions | Drydocking provisions Normal vessel repair and maintenance costs are charged to expense when incurred. The Company recognizes the cost of a drydocking at the time the drydocking takes place, that is, it applies the "expense as incurred" method. |
Earnings per share | Earnings per share Basic earnings per share ("EPS") is computed based on the income available to common stockholders and the weighted average number of shares outstanding for basic EPS. Diluted EPS includes the effect of the assumed conversion of potentially dilutive instruments. |
Share-based compensation | Share-based compensation The Company accounts for share-based payments in accordance with ASC Topic 718 "Compensation – Stock Compensation" ("ASC 718"), under which the fair value of stock options issued to employees is expensed over the period in which the options vest. The Company uses the simplified method for making estimates of the expected term of stock options. |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards In June 2016, the FASB issued Accounting Standards Update 2016-13, Financial Instruments - Credit Losses: Measurement of Credit Losses on Financial Instruments (or ASU 2016-13). ASU 2016-13 introduces a new credit loss methodology, which requires earlier recognition of potential credit losses, while also providing additional transparency about credit risk. This new credit loss methodology utilizes a lifetime “expected credit loss” measurement objective for the recognition of credit losses for loans, held-to-maturity debt securities and other receivables at the time the financial asset is originated or acquired. The expected credit losses are subsequently adjusted each period for changes in expected lifetime credit losses. This methodology replaces multiple impairment methods under previous GAAP for these types of assets, which generally required that a loss be incurred before it was recognized. The Company and its 100% owned subsidiaries accounted as "Investments and Deficit in Associated Companies" adopted this update on January 1, 2020 using the modified-retrospective approach, whereby a cumulative effect adjustment was made to reduce retained earnings on January 1, 2020 without any retroactive application to prior periods. On adoption, the Company recognized a cumulative adjustment of $32.6 million to its retained earnings with corresponding decreases in the carrying value of equity-accounted investments of $27.0 million (see Note 17: Investment in Associated Companies), and decreases the carrying value of Trade receivables, Other receivables, Related party receivables, Other long term assets and Investments in sales-type leases, direct financing leases and leaseback assets totaling $5.6 million (see Note 26: Allowance for expected credit losses). In August 2018, the FASB issued ASU 2018-13 "Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement". ASU 2018-13 includes certain removals, modifications and additions to the disclosure requirements on fair value measurements in Topic 820. The updated guidance is effective for fiscal years, and interim periods beginning after December 15, 2019. The adoption of ASU 2018-13 did not have a material effect on the consolidated financial statements. In October 2018, the FASB issued ASU No. 2018-16 "Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes." In the United States, eligible benchmark interest rates under Topic 815 are interest rates on direct Treasury obligations of the U.S. government (UST), the London Interbank Offered Rate (LIBOR) swap rate, and the Overnight Index Swap (OIS) Rate based on the Federal Funds Effective Rate. When the FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities, in August 2017, it introduced the Securities Industry and Financial Markets Association (SIFMA) Municipal Swap Rate as the fourth permissible U.S. benchmark rate. The new ASU adds the OIS rate based on SOFR as a U.S. benchmark interest rate to facilitate the LIBOR to SOFR transition and provide sufficient lead time for entities to prepare for changes to interest rate risk hedging strategies for both risk management and hedge accounting purposes. ASU 2018-16 was effective for fiscal years and interim periods beginning after December 15, 2019. The adoption of ASU 2018-16 did not have a material effect on the consolidated financial statements. In April 2019, the FASB issued ASU No. 2019-04 "Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments" to clarify and improve areas of guidance related to the recently issued standards on credit losses, hedging, and recognition and measurement. ASU 2019-04 was effective as of the beginning of the first annual reporting period beginning after April 25, 2019 for amendments to ASU 2017-12 and for fiscal and interim periods beginning after December 15, 2019 for amendments relating to ASU 2016-01 and ASU 2016-13. The impact of adopting ASU 2016-13 is shown above, the adoption of the remaining provisions of ASU 2019-04 had no further a material effect on the consolidated financial statements. In May 2019, the FASB issued ASU No. 2019-05 "Financial Instruments - Credit Losses (Topic 326): Targeted Transition Relief" to provide an option to irrevocably elect the fair value option for certain financial assets previously measured at amortized cost basis. ASU 2019-05 was effective for fiscal years and interim periods beginning after December 15, 2019. The impact of adopting ASU 2016-13 and any related improvements is shown above, the adoption of the remaining provisions of ASU 2019-05 had no further material effect on its consolidated financial position, results of operations and cash flows. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. ASC 848 provided temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to reduce the financial reporting burden in light of the market transition from London Interbank Offered Rates (“LIBOR”) and other reference interest rates to alternative reference rates. Under ASC 848, companies can elect not to apply certain modification accounting requirements to contracts affected by reference rate reform if certain criteria are met. An entity that makes this election would not be required to remeasure the contracts at the modification date or reassess a previous accounting determination. The amendments of ASC 848 apply only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. In January 2021, the FASB issued ASU 2021-01, which clarified the scope of Topic 848 in relation to derivative instruments and contract modifications. The amendments in these updates are elective and are subject to meeting certain criteria, that have contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The amendments in these updates are effective for all entities since March 12, 2020 through to December 31, 2022. The Company has determined that the reference rate reform will impact its floating rate debt facilities and interest rate swaps contracts. The Company expects to take advantage of the expedients and exceptions for applying GAAP provided by the updates when LIBOR is discontinued and replaced with alternative reference rates. In August 2020, the FASB issued ASU No. 2020-06, "Accounting for Convertible Instruments and Contracts in an Entity's Own Equity" ("ASU 2020-06"). This new standard changes the accounting and measurement of convertible instruments. It eliminates the treasury stock method for convertible instruments and requires application of the “if-converted” method for certain agreements. This standard is effective for the Company beginning January 1, 2022. The Company is currently evaluating the impact of ASU 2020-06 on its interest expense and earnings (loss) per share calculation under the "if-converted" method related to its convertible debt. |
EARNINGS (LOSS) PER SHARE (Tabl
EARNINGS (LOSS) PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Components of calculation of earnings per share | The components of the numerator for the calculation of basic and diluted EPS are as follows: Year ended December 31, (in thousands of $) 2020 2019 2018 Basic earnings (loss) per share: Net (loss)/income available to stockholders (224,425) 89,177 73,622 Diluted earnings (loss) per share: Net (loss)/income available to stockholders (224,425) 89,177 73,622 Interest and other expenses/(gains) attributable to convertible bonds — (304) 123 Net (loss)/income assuming dilution (224,425) 88,873 73,745 The components of the denominator for the calculation of basic and diluted EPS are as follows: Year ended December 31, (in thousands) 2020 2019 2018 Basic earnings per share: Weighted average number of common shares outstanding* 108,972 107,614 105,898 Diluted earnings per share: Weighted average number of common shares outstanding* 108,972 107,614 105,898 Effect of dilutive share options — 81 59 Effect of dilutive convertible bonds — 1 1,649 Weighted average number of common shares outstanding assuming dilution 108,972 107,696 107,606 Year ended December 31, 2020 2019 2018 Basic (loss)/earnings per share: $ (2.06) $ 0.83 $ 0.70 Diluted (loss)/earnings per share: $ (2.06) $ 0.83 $ 0.69 *The weighted average number of common shares outstanding excludes 8,000,000 shares issued as part of a share lending arrangement relating to the Company's issuance of 5.75% senior unsecured convertible bonds in October 2016. It also excludes 3,765,842 shares issued as of December 31, 2020 from up to 7,000,000 shares issuable under a share lending arrangement relating to the Company's issuance of 4.875% senior unsecured convertible bonds in April and May 2018. These lent shares are owned by the Company and will be returned on or before maturity of the bonds in 2021 and 2023, respectively. |
OPERATING LEASES (Tables)
OPERATING LEASES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Minimum future revenue to be received under non-cancelable operating leases | The minimum future revenues to be received under the Company's non-cancelable operating leases on its vessels as of December 31, 2020, are as follows: Year ending December 31, (in thousands of $) 2021 345,881 2022 318,085 2023 332,149 2024 250,045 2025 45,799 Thereafter 119,019 Total minimum lease revenues 1,410,978 |
Cost and accumulated depreciation of vessels leased to third parties on operating leases | The cost and accumulated depreciation of vessels (owned and under finance leases) leased to third parties on non-cancelable operating leases at December 31, 2020 and 2019 were as follows: (in thousands of $) 2020 2019 Cost 2,245,889 2,100,533 Accumulated depreciation 465,033 315,934 Total 1,780,856 1,784,599 |
GAIN_(LOSS) ON SALE OF ASSETS_2
GAIN/(LOSS) ON SALE OF ASSETS AND TERMINATION OF CHARTERS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Gains on sale of assets and termination of charters | The Company has recorded gains/losses on sale of assets and termination of charters as follows: Year ended December 31, (in thousands of $) 2020 2019 2018 Gain/(loss) on sale of vessels 2,250 — (2,578) Gain on termination of charters — — — Total Gain/(loss) on sale of assets 2,250 — (2,578) |
GAIN ON SALE OF SUBSIDIARIES (T
GAIN ON SALE OF SUBSIDIARIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations | At the time of disposal on December 31, 2020, the consolidated net assets held by River Box were as follows: (in thousands of $) 2020 Cash and cash equivalents 2,859 Investments in sales-type and direct financing leases 540,908 Finance lease liability (464,740) Long-term loan from related party (45,000) Other current liabilities (2,861) Net assets 31,166 (in thousands of $) 2018 Cash and cash equivalents 915 Vessel and equipment, net 76,875 Charter deposit (913) Other current liabilities (90) Net assets 76,787 |
OTHER FINANCIAL ITEMS, NET (Tab
OTHER FINANCIAL ITEMS, NET (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Income and Expenses [Abstract] | |
Other financial items | Other financial items comprise the following items: Year ended December 31, (in thousands of $) 2020 2019 2018 Net payments on non-designated derivatives relating to interest rate swaps (4,575) 1,389 170 Net payments on non-designated derivatives relating to cross currency swaps (6) — — Net payments on non-designated derivatives relating to combined cross currency and interest rate swaps (152) (194) (891) Net payments relating to the settlement of interest rate swaps following the refinancing of debt (4,539) — — Total net cash movement on non-designated derivatives and swap settlements (9,272) 1,195 (721) Net (decrease)/increase in mark-to-market valuation of non-designated derivatives relating to interest rate swaps (15,314) (4,123) 2,687 Net (decrease)/increase in mark-to-market valuation of non-designated derivatives relating to cross currency swaps 5 — — Net (decrease)/increase in mark-to-market valuation of non-designated derivatives relating to combined cross currency and interest rate swaps (5,124) 673 11,221 Total net movement in fair value of non-designated derivatives (20,433) (3,450) 13,908 Net movement in fair value of designated derivatives (ineffective portion) — — (11) Allowance for expected credit losses (1,771) — — Impairment of long-term receivables — (9,168) (1,730) Other items 5,531 (1,330) (1,039) Total other financial items, net (25,945) (12,753) 10,407 |
INVESTMENTS IN DEBT AND EQUIT_2
INVESTMENTS IN DEBT AND EQUITY SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Debt and Equity Securities | Marketable securities held by the Company consist of corporate bonds and equity securities. (in thousands of $) 2020 2019 Corporate Bonds Balance at start of the year 12,753 13,245 Disposals during the year — (583) Additions during the year 1,287 2,281 Unrealized gain/(loss) recorded in other comprehensive income 279 (9) Accumulated other-than-temporary impairment* (4,888) (2,181) Balance at end of the year 9,431 12,753 2020 2019 Shares Balance at start of the year 61,326 73,929 Disposals during the year (23,661) (82,783) Unrealized gain /(loss)* (22,428) 29,104 Realized gain/(loss)* 4,864 40,777 FX gain/(loss) (727) 299 Balance at the end of year 19,374 61,326 Total Investment in Debt and Equity Securities 28,805 74,079 Equity Securities pledged to creditors 9,006 43,775 *Balances included in "Gain on investments in debt and equity securities" in the Consolidated Statements of Operations. (in thousands of $) 2020 2019 Frontline* 9,007 43,775 NorAm Drilling 1,484 4,326 ADS Maritime Holding (formally ADS Crude Carriers) 8,883 13,225 Total shares 19,374 61,326 |
Schedule of Corporate Bonds | The corporate bonds are classified as available-for-sale securities and are recorded at fair value, with unrealized gains and losses recorded as a separate component of "Other comprehensive income". Year ended December 31, 2020 Year ended December 31, 2019 (in thousands of $) Amortised Cost Unrealised gains/ (losses)* Fair value Amortised Cost Unrealised gains/ (losses)* Fair value NorAm Drilling 4,132 511 4,643 4,132 558 4,690 Oro Negro 7.5% — — — 5,705 — 5,705 Oro Negro 12% — — — 2,281 77 2,358 NT Rig Holdco 12% 3,567 404 3,971 — — — NT Rig Holdco 7.5% 817 — 817 — — — Total corporate bonds 8,516 915 9,431 12,118 635 12,753 |
VESSELS AND EQUIPMENT, NET (Tab
VESSELS AND EQUIPMENT, NET (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Movements in the year ended December 31, 2020 summarized as follows: (in thousands of $) Cost Accumulated Depreciation Vessels and Equipment, net Balance at December 31, 2019 1,867,873 (463,168) 1,404,705 Depreciation — (71,302) (71,302) Capital improvements 52,676 — 52,676 Additions 258,138 — 258,138 Transfers to Investments in Sales-Type Leases (87,570) 20,368 (67,202) Vessel disposals (7,362) 3,963 (3,399) Impairment loss (390,584) 57,666 (332,918) Other movements — — — Balance at December 31, 2020 1,693,171 (452,473) 1,240,698 |
VESSELS UNDER FINANCE LEASE, _2
VESSELS UNDER FINANCE LEASE, NET (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Schedule of of Finance Lease | Movements in the year ended December 31, 2020 summarized as follows: (in thousands of $) Cost Accumulated Depreciation Vessels under Finance Lease, net Balance at December 31, 2019 755,058 (40,582) 714,476 Depreciation — (39,977) (39,977) Capital improvements 22,881 — 22,881 Balance at December 31, 2020 777,939 (80,559) 697,380 |
OTHER LONG TERM ASSETS (Tables)
OTHER LONG TERM ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Long-Term Assets | Other long term assets comprise the following items: (in thousands of $) 2020 2019 Capital improvements in progress 10,099 30,642 Collateral deposits on swap agreements 398 17,520 Value of acquired charter-out contracts, net 10,503 13,407 Long term receivables — 1,880 Other 961 799 Total other long-term assets 21,961 64,248 |
INVESTMENTS IN SALES-TYPE LEA_2
INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Net Investment in Direct Financing and Sales Type Leases [Abstract] | |
Schedule of sales-type leases, direct financing leases, and leaseback assets | (in thousands of $) 2020 2019 Investments in sales-type and direct financing leases 592,102 786,598 Investments in leaseback assets 85,441 207,789 677,543 994,387 The following lists the components of investments in sales-type leases, direct financing leases and leaseback assets as at December 31, 2020 and December 31, 2019: (in thousands of $) December 31, 2020 Sales-Type Leases and Direct Financing Leases Leaseback Assets Total Total minimum lease payments to be received 705,196 79,786 784,982 Less : amounts representing estimated executory costs including profit thereon, included in total minimum lease payments (40,698) — (40,698) Net minimum lease payments receivable 664,498 79,786 744,284 Estimated residual values of leased property (un-guaranteed) 79,621 31,500 111,121 Less : unearned income (147,876) (25,596) (173,472) Total investment in sales-type lease, direct financing lease and leaseback assets 596,243 85,690 681,933 Allowance for expected credit losses* (4,141) (249) (4,390) Total investment in sales-type lease, direct financing lease and leaseback assets 592,102 85,441 677,543 Current portion 45,888 9,532 55,420 Long-term portion 546,214 75,909 622,123 (in thousands of $) December 31, 2019 Sales-Type Leases and Direct Financing Leases Leaseback Assets Total Total minimum lease payments to be received 1,085,642 134,073 1,219,715 Less : amounts representing estimated executory costs including profit thereon, included in total minimum lease payments (64,222) — (64,222) Net minimum lease payments receivable 1,021,420 134,073 1,155,493 Estimated residual values of leased property (un-guaranteed) 192,429 139,500 331,929 Less : unearned income (427,251) (65,784) (493,035) Total investment in sales-type lease, direct financing lease and leaseback assets 786,598 207,789 994,387 Allowance for expected credit losses* — — — Total investment in sales-type lease, direct financing lease and leaseback assets 786,598 207,789 994,387 Current portion 45,361 10,828 56,189 Long-term portion 741,237 196,961 938,198 |
Minimum future gross revenues to be received under non-cancellable direct financing and sales-type leases | The minimum future gross revenues to be received under the Company's non-cancellable sales type leases, direct financing leases and leaseback assets as of December 31, 2020, are as follows: (in thousands of $) Sales-Type Leases and Direct Financing Leases Leaseback Assets Total 2021 84,206 15,410 99,616 2022 81,628 15,410 97,038 2023 111,874 14,630 126,504 2024 101,775 14,172 115,947 2025 78,058 9,517 87,575 Thereafter 247,655 10,647 258,302 Total minimum lease payments to be received 705,196 79,786 784,982 |
Schedule of interest income earned on investments | Interest income earned on investments in direct financing leases, sales type leases and leaseback assets in the year ended December 31, 2020 was as follows: (in thousands of $) 2020 2019 2018 Investments in sales type and direct financing leases* 57,579 56,764 39,678 Investments in leaseback assets 13,637 3,556 — Total 71,216 60,320 39,678 *Interest income earned on investments in sales-type leases and direct financing leases in the above table includes $1.7 million in relation to Frontline Shipping, a related party (2019: $3.8 million; 2018: $9.6 million). |
INVESTMENT IN ASSOCIATED COMP_2
INVESTMENT IN ASSOCIATED COMPANIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Variable Interest Entity, Not Primary Beneficiary, Disclosures [Abstract] | |
Percentage participation using the equity method of accounting | At December 31, 2020, 2019 and 2018, the Company had the following participation in investments that are recorded using the equity method: 2020 2019 2018 River Box Holding Inc. 49.90 % — % — % SFL Deepwater Ltd — % 100.00 % 100.00 % SFL Hercules Ltd 100.00 % 100.00 % 100.00 % SFL Linus Ltd — % 100.00 % 100.00 % |
Summarized financial statement information of equity method investees | Summarized balance sheet information of the Company's equity method investees is as follows: As of December 31, 2020 (in thousands of $) TOTAL River Box SFL SFL SFL Share presented 49.90 % 100.00 % Current assets 34,763 12,475 — 22,288 — Non-current assets 513,918 258,865 — 255,053 — Total assets 548,681 271,340 — 277,341 — Current liabilities 199,255 12,569 — 186,686 — Non-current liabilities (1) 322,129 243,219 — 78,910 — Total liabilities 521,384 255,788 — 265,596 — Total stockholders' equity (2) 27,297 15,552 — 11,745 — As of December 31, 2019 (in thousands of $) TOTAL River Box SFL SFL SFL Current assets 75,079 — 29,047 22,645 23,387 Non-current assets 920,801 — 286,222 273,621 360,958 Total assets 995,880 — 315,269 296,266 384,345 Current liabilities 65,832 — 19,168 20,761 25,903 Non-current liabilities (1) 887,887 — 285,147 265,769 336,971 Total liabilities 953,719 — 304,315 286,530 362,874 Total stockholders' equity (2) 42,161 — 10,954 9,736 21,471 (1) River Box and SFL Hercules non-current liabilities at December 31, 2020, include $45.0 million and $78.9 million due to SFL, respectively (see Note 24: Related party transactions). At December 31, 2019 SFL Deepwater, SFL Hercules and SFL Linus non-current liabilities include $113.0 million, $80.0 million and $121.0 million respectively (see Note 24: Related party transactions). In addition, SFL Deepwater, SFL Hercules and SFL Linus current liabilities at December 31, 2019, include a further $1.2 million, $3.4 million and $7.4 million due to SFL, respectively (see Note 24: Related party transactions). (2) In the year ended December 31, 2020, 2019 and 2018, the Company did not receive any dividends from its associates. Summarized statement of operations information of the Company's equity method investees is shown below. Year ended December 31, 2020 (in thousands of $) TOTAL River Box SFL SFL SFL Operating revenues 45,573 — 11,835 15,072 18,666 Net operating revenues 45,532 — 11,892 15,050 18,590 Net income (3) 4,286 — (6,002) 3,827 6,461 Year ended December 31, 2019 (in thousands of $) TOTAL River Box SFL SFL SFL Operating revenues 64,142 — 18,966 18,378 26,798 Net operating revenues 64,142 — 18,966 18,378 26,798 Net income (3) 17,054 — 4,346 3,622 9,086 Year ended December 31, 2018 (in thousands of $) TOTAL River Box SFL SFL SFL Operating revenues 64,572 — 19,594 19,126 25,852 Net operating revenues 64,410 — 19,540 19,049 25,821 Net income (3) 14,635 — 3,973 3,372 7,290 (3) The net income of River Box, SFL Deepwater, SFL Hercules and SFL Linus for the year ended December 31, 2020, includes interest payable to SFL amounting to $0.0 million, $3.8 million (2019: $5.1 million; 2018: $5.1 million), $3.6 million (2019: $3.6 million; 2018: $3.6 million), and $4.5 million (2019: $5.4 million; 2018: $5.4 million), respectively (see Note 24: Related party transactions). |
Financing Receivable, Allowance for Credit Loss | Movements in the year ended December 31, 2020, in the allowance for expected credit losses can be summarized as follows: As of December 31, 2020 (in thousands of $) TOTAL River Box SFL SFL SFL Share presented 49.90 % 100.00 % Balance at December 31, 2019 — — — — — Adjustment for adoption of the ASU 2016-13 (Note 2) 27,024 — 23,493 1,816 1,715 Transferred from associates (35,665) — (32,964) — (2,701) Addition from new associate 786 786 — — — Allowance recorded in net income of associated company 11,276 — 9,471 819 986 Balance at December 31, 2020 3,421 786 — 2,635 — |
ACCRUED EXPENSES (Tables)
ACCRUED EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accrued Liabilities [Abstract] | |
Schedule of Accrued Liabilities | (in thousands of $) 2020 2019 Vessel operating expenses 12,841 8,668 Administrative expenses 1,603 1,694 Interest expense 6,616 6,770 21,060 17,132 |
OTHER CURRENT LIABILITIES (Tabl
OTHER CURRENT LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Other Current Liabilities | (in thousands of $) 2020 2019 Deferred and prepaid charter revenue 15,156 10,000 Employee taxes 34 3,117 Other items 895 162 16,085 13,279 |
SHORT-TERM AND LONG-TERM DEBT (
SHORT-TERM AND LONG-TERM DEBT (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Long-term Debt, by Current and Noncurrent [Abstract] | |
Schedule of long-term debt | (in thousands of $) 2020 2019 Long-term debt: Norwegian kroner 500 million senior unsecured floating rate bonds due 2020 — 56,910 5.75% senior unsecured convertible bonds due 2021 212,230 212,230 Norwegian kroner 700 million senior unsecured floating rate bonds due 2023 81,572 79,674 4.875% senior unsecured convertible bonds due 2023 139,900 148,300 Norwegian kroner 700 million senior unsecured floating rate bonds due 2024 80,989 79,674 Norwegian kroner 600 million senior unsecured floating rate bonds due 2025 62,927 — Borrowings secured on Frontline shares 15,639 36,763 U.S. dollar denominated floating rate debt due through 2025 1,070,137 1,013,626 Total debt principal 1,663,394 1,627,177 Less : unamortized debt issuance costs (14,325) (19,089) Less : current portion of long-term debt (484,956) (253,059) Total long-term debt 1,164,113 1,355,029 |
Schedule of maturities of debt | The outstanding debt as of December 31, 2020, is repayable as follows: Year ending December 31, (in thousands of $) 2021 484,956 2022 262,059 2023 493,535 2024 227,703 2025 195,141 Thereafter — Total debt principal 1,663,394 |
Schedule of long-term debt instruments | Interest rate information December 31, 2020 December 31, 2019 Weighted average interest rate 2.91 % 4.27 % US Dollar London Interbank Offered Rate ("LIBOR") 0.24 % 1.91 % Norwegian Interbank Offered Rate ("NIBOR") 0.49 % 1.84 % |
FINANCE LEASE LIABILITY (Tables
FINANCE LEASE LIABILITY (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Finance Leases | (in thousands of $) 2020 2019 Finance lease liability, current portion 48,887 68,874 Finance lease liability, long-term portion 524,200 1,037,553 573,087 1,106,427 |
Finance Lease, Liability, Maturity | The Company's future minimum lease liability under the non-cancellable finance leases are as follows: Year ending December 31, (in thousands of $) 2021 74,735 2022 74,735 2023 74,735 2024 433,866 2025 — Thereafter — Total finance lease liability 658,071 Less: imputed interest payable (84,984) Present value of finance lease liability 573,087 Less: current portion (48,887) Finance lease liability, long-term portion 524,200 |
SHARE CAPITAL, ADDITIONAL PAI_2
SHARE CAPITAL, ADDITIONAL PAID-IN CAPITAL AND CONTRIBUTED SURPLUS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Share Capital | Authorized share capital is as follows: (in thousands of $, except share data) 2020 2019 300,000,000 common shares of $0.01 par value each (December 31, 2019: 200,000,000 common shares of $0.01 par value each) 3,000 2,000 Issued and fully paid share capital is as follows: (in thousands of $, except share data) 2020 2019 127,810,064 common shares of $0.01 par value each (December 31, 2019: 119,391,310 common shares of $0.01 par value each) 1,278 1,194 |
SHARE OPTION PLAN (Tables)
SHARE OPTION PLAN (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Summary of share option transactions | The following summarizes share option transactions related to the Option Scheme in 2020, 2019 and 2018: 2020 2019 2018 Options Weighted average exercise price $ Options Weighted average exercise price $ Options Weighted average exercise price $ Options outstanding at beginning of year 835,000 10.72 417,500 11.43 369,500 12.20 Granted 350,000 13.45 525,000 12.19 83,000 14.67 Exercised (17,500) 8.63 (65,000) 9.92 — — Forfeited (85,000) 11.02 (42,500) 11.80 (35,000) 10.03 Options outstanding at end of year 1,082,500 10.56 835,000 10.72 417,500 11.43 Exercisable at end of year 418,167 9.45 236,167 9.58 111,500 10.03 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |
Amounts due from and to related parties, excluding direct financing lease balances | The Consolidated Balance Sheets include the following amounts due from and to related parties and associated companies, excluding investment in direct financing lease balances (Refer to Note 16: Investments in sales-type leases, direct financing leases and leaseback assets). (in thousands of $) 2020 2019 Amounts due from: Frontline Shipping 2,875 2,948 Frontline 3,202 6,708 Seadrill 3,613 51 SFL Linus — 7,392 SFL Deepwater — 1,246 SFL Hercules — 3,423 Golden Ocean — 627 Other related parties 2 4 Allowance for expected credit losses* (1,974) — Total amount due from related parties 7,718 22,399 Loans to related parties - associated companies, long-term River Box 45,000 — SFL Deepwater — 113,000 SFL Hercules 78,910 80,000 SFL Linus — 121,000 Total loans to related parties - associated companies, long-term 123,910 314,000 Long-term receivables from related parties Frontline — 9,171 Frontline Shipping — 4,445 Total long-term receivables from related parties — 13,616 Amounts due to: Frontline Shipping 836 3,884 Frontline 1,826 47 Golden Ocean 23 — Other related parties 39 49 Total amount due to related parties 2,724 3,980 *See Note 3: Recently issued accounting standards and Note 26: Allowance for expected credit losses. |
Summary of leasing revenues earned from related parties | A summary of leasing revenues and repayments from Frontline Shipping and Golden Ocean is as follows: (in millions of $) 2020 2019 2018 Golden Ocean: Operating lease income 52.0 51.1 53.3 Profit share — 0.8 0.3 Frontline Shipping: Direct financing lease interest income 1.7 3.8 9.6 Direct financing lease service revenue 6.9 9.9 22.1 Direct financing lease repayments 6.5 7.9 16.8 Profit share 18.6 4.8 1.5 |
Schedule of related party transactions | In addition to leasing revenues and repayments, the Company incurred fees with related parties. The Company operates the Suezmax tankers Glorycrown and Everbright in the spot market and pays Frontline and its subsidiaries a management fee of 1.25% of chartering revenues. The Company paid fees to Frontline Management for administrative services, including corporate services, and fees to Seatankers for the provision of advisory and support services. The Company also paid fees to Seatankers Management Norway AS for the provision of office facilities in Oslo, fees to Frontline Corporate Services Ltd for the provision of office facilities in London and Golden Ocean for administrative services. Year ended (in thousands of $) December 31, 2020 December 31, 2019 December 31, 2018 Frontline: Vessel Management Fees 8,893 11,758 24,033 Commissions and Brokerage 364 291 287 Administration Services Fees 82 201 323 Golden Ocean: Vessel Management Fees 20,496 20,440 20,440 Operating Management Fees 887 894 793 Administration Services Fees 70 30 — Seatankers: Administration Services Fees 520 739 290 Office Facilities: Seatankers Management Norway AS 94 104 108 Frontline Management AS 186 198 185 Frontline Corporate Services Ltd. 226 212 166 The Company received the following interest income and loan repayments on the loan notes: Year ended (in thousands of $) December 31, 2020 December 31, 2019 December 31, 2018 Interest income Frontline Shipping 82 734 537 Frontline 97 908 340 (in millions of $) Loan repayments Frontline Shipping* 8.9 — — Frontline 11.0 1.7 0.5 Dividends and interest income received from shares held in and secured notes issued by related parties: Year ended (in thousands of $) December 31, 2020 December 31, 2019 December 31, 2018 Dividends received ADS Maritime Holding 2,930 261 — Frontline 3,100 340 — Golden Close — 1,989 — Interest income received NorAm Drilling 420 459 506 Golden Close — — 242 |
Related party loans, associated companies | A summary of loans entered into with River Box and SFL Hercules are as follows: (in millions of $) River Box SFL Hercules Loans granted 45 145 Loans outstanding at December 31, 2020 45 79 |
Interest income on related party loan notes | Interest income received on these loans is as follows: Year ended (in millions of $) December 31, 2020 December 31, 2019 December 31, 2018 River Box 0.0 0.0 0.0 SFL Deepwater* 3.8 5.1 5.1 SFL Hercules 3.6 3.6 3.6 SFL Linus* 4.5 5.4 5.4 |
FINANCIAL INSTRUMENTS (Tables)
FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair values of derivative instruments designated and not designated as cash flow hedges | The following tables present the fair values of the Company's derivative instruments that were designated as cash flow hedges and qualified as part of a hedging relationship, and those that were not designated: (in thousands of $) 2020 2019 Designated derivative instruments -short-term assets: Interest rate swaps — 520 Total derivative instruments - short-term assets — 520 Designated derivative instruments -long-term assets: Interest rate swaps — 377 Cross currency interest rate swaps 28 189 Cross currency swaps 3,373 — Non-designated derivative instruments -long-term assets: Interest rate swaps — 2,913 Cross currency swaps 5 — Total derivative instruments - long-term assets 3,406 3,479 (in thousands of $) 2020 2019 Designated derivative instruments -short-term liabilities: Interest rate swaps 703 6,067 Non-designated derivative instruments -short-term liabilities: Interest rate swaps 869 — Total derivative instruments - short-term liabilities 1,572 6,067 Designated derivative instruments -long-term liabilities: Interest rate swaps 7,926 5,477 Cross currency interest rate swaps 3,006 2,105 Cross currency swaps 8,301 11,049 Non-designated derivative instruments -long-term liabilities: Interest rate swaps 13,479 1,948 Total derivative instruments - long-term liabilities 32,712 20,579 |
Schedule of interest rate swap transactions designated as hedges against specific loans | At December 31, 2020, the Company and its consolidated subsidiaries had entered into interest rate swap transactions, involving the payment of fixed rates in exchange for LIBOR or NIBOR, as summarized below. The summary includes all swap transactions, most of which are hedges against specific loans. Notional Principal (in thousands of $) Trade date Maturity date Fixed interest rate $100,000 (remaining at $100,000) August 2011 August 2021 2.50% - 2.93% $96,600 (terminating at $79,733) May 2012 August 2022 1.76% - 1.85% $100,000 (remaining at $100,000) March 2013 April 2023 1.85% - 1.97% $39,313 (reducing to $35,063) December 2014 January 2022 2.97% $21,840 (reducing to $19,413) September 2015 March 2022 1.67% $50,313 (remaining at $50,313) June 2016 February 2021 1.07% $56,000 (remaining at $56,000) June 2019 September 2023 1.84% † $14,699 (equivalent to NOK128 million) June 2019 September 2023 6.70% - 6.77% * $11,254 (equivalent to NOK100 million) August 2019 September 2023 6.378% * $30,000 (remaining at $30,000) May 2019 June 2024 2.15% † $48,332 (equivalent to NOK420 million) May 2019 June 2024 6.85% - 6.90% * $100,000 (remaining at $100,000) August 2019 August 2029 1.45% - 1.60% $67,500 (remaining at $67,500) January 2020 October 2024 1.40% † $159,777 (reducing to $92,233) April 2020 October 2024 - January 2025 0.46% - 0.47% $48,610 (reducing to $45,135) May 2020 May 2022 0.28% * These swaps relate to the NOK700 million and NOK700 million unsecured bonds due 2023 and 2024 respectively, whereby the fixed interest rate paid is exchanged for NIBOR plus the margin on the bond. |
Schedule of currency swap transactions | Principal Receivable Principal Payable Trade date Maturity date NOK600 million US$76.8 million September 2018 September 2023 NOK100 million US$11.3 million August 2019 September 2023 NOK700 million US$80.5 million May 2019 June 2024 NOK600 million US$67.5 million January 2020 January 2025 |
Schedule of carrying value and estimated fair value of financial assets and liabilities | The carrying value and estimated fair value of the Company's financial assets and liabilities at December 31, 2020, and 2019, are as follows: 2020 2020 2019 2019 (in thousands of $) Carrying value Fair value Carrying value Fair value Non-derivatives: Available-for-sale debt securities 9,431 9,431 12,753 12,753 Equity Securities 10,367 10,367 17,551 17,551 Equity securities pledged to creditors 9,007 9,007 43,775 43,775 Floating rate NOK bonds due 2020 — — 56,910 58,191 Floating rate NOK bonds due 2023 81,572 78,513 79,674 81,567 Floating rate NOK bonds due 2024 80,989 76,940 79,674 79,674 Floating rate NOK bonds due 2025 62,927 57,421 — — 5.75% unsecured convertible bonds due 2021 212,230 199,496 212,230 227,025 4.875% unsecured convertible bonds due 2023 139,900 123,112 148,300 165,503 Derivatives: Interest rate/ currency swap contracts – short-term receivables — — 520 520 Interest rate/ currency swap contracts – long-term receivables 3,406 3,406 3,479 3,479 Interest rate/ currency swap contracts – short-term payables 1,572 1,572 6,067 6,067 Interest rate/ currency swap contracts – long-term payables 32,712 32,712 20,579 20,579 |
Schedule of financial assets and liabilities measured at fair value on a recurring basis | The above fair values of financial assets and liabilities as at December 31, 2020, are measured as follows: Fair value measurements using December 31, 2020 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (in thousands of $) (Level 1) (Level 2) (Level 3) Assets: Available-for-sale debt securities 9,431 4,643 4,788 Equity securities 10,367 10,367 Equity securities pledged to creditors 9,007 9,007 Interest rate/ currency swap contracts - long-term receivables 3,406 3,406 Total assets 32,211 24,017 8,194 — Liabilities: Floating rate NOK bonds due 2023 78,513 78,513 Floating rate NOK bonds due 2024 76,940 76,940 Floating rate NOK bonds due 2025 57,421 57,421 5.75% unsecured convertible bonds due 2021 199,496 199,496 4.875% unsecured convertible bonds due 2023 123,112 123,112 Interest rate/ currency swap contracts – short-term payables 1,572 1,572 Interest rate/ currency swap contracts – long-term payables 32,712 32,712 Total liabilities 569,766 535,482 34,284 — The above fair values of financial assets and liabilities as at December 31, 2019, were measured as follows: Fair value measurements using December 31, 2019 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (in thousands of $) (Level 1) (Level 2) (Level 3) Assets: Available-for-sale debt securities 12,753 4,690 8,063 — Equity securities 17,551 17,551 Equity securities pledged to creditors 43,775 43,775 Interest rate/ currency swap contracts – short-term receivables 520 520 Interest rate/ currency swap contracts – long-term receivables 3,479 3,479 Total assets 78,078 66,016 12,062 — Liabilities: Floating rate NOK bonds due 2020 58,191 58,191 Floating rate NOK bonds due 2023 81,567 81,567 Floating rate NOK bonds due 2024 79,674 79,674 5.75% unsecured convertible bonds due 2021 227,025 227,025 4.875% unsecured convertible bonds due 2023 165,503 165,503 Interest rate/ currency swap contracts – short-term payables 6,067 6,067 Interest rate/ currency swap contracts – long-term payables 20,579 20,579 Total liabilities 638,606 611,960 26,646 — |
ALLOWANCE FOR EXPECTED CREDIT_2
ALLOWANCE FOR EXPECTED CREDIT LOSSES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Credit Loss [Abstract] | |
Balance Sheet items, allowance for credit loss | The following table presents the impact of the allowance for expected credit losses on the Company's balance sheet line items for the year ended December 31, 2020. (in thousands of $) Trade receivables Other receivables Related Party receivables Investment in sales-type, direct financing leases and leaseback assets Other long-term assets Total Balance at December 31, 2019 — — — — — — Impact of the adoption of ASU 2016-13 on retained earnings (Note 2) 19 580 206 4,799 10 5,614 Additions from associates 1,336 2,025 3,361 Sale of 50.1% of subsidiary (1,575) (1,575) Change in allowance recorded in 'other financial items' 14 301 431 (859) 1,884 1,771 Balance at December 31, 2020 33 881 1,973 4,390 1,894 9,171 |
COMMITMENTS AND CONTINGENT LI_2
COMMITMENTS AND CONTINGENT LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of assets pledged | Assets Pledged (in millions of $) 2020 2019 Vessels and equipment, net 1,189 1,352 Investments in sales-type, direct financing leases and leaseback assets 675 401 Book value of consolidated assets pledged under ship mortgages 1,864 1,753 |
Schedule of assets with finance lease liabilities | Assets with finance lease liabilities (in millions of $) 2020 2019 Vessels under finance lease, net 697 714 Investments in direct financing leases — 563 Total book value 697 1,277 |
GENERAL (Details)
GENERAL (Details) | Dec. 31, 2020carriervesseldrillingRigtanker | Dec. 31, 2019tanker |
Off Shore Assets And Charters [Line Items] | ||
Number of very large crude oil carriers owned | 2 | 3 |
Number of Suezmax crude oil carriers owned | carrier | 2 | |
Number of Supramax drybulk carriers owned | carrier | 5 | |
Number of Handysize drybulk carriers owned | carrier | 7 | |
Number of Kamsarmax drybulk carriers owned | carrier | 2 | |
Number of capesize drybulk carriers owned | carrier | 8 | |
Number of container vessels owned | 45 | |
Number of container vessels contracted to be chartered in | 4 | |
Vessels with finance lease liabilities with a net book value | 7 | |
Number of car carriers | carrier | 2 | |
Number of jack-up drilling rigs owned | drillingRig | 1 | |
Number of ultra deepwater drilling units owned | drillingRig | 2 | |
Number of chemical tankers owned | tanker | 2 | |
Number of oil product tankers contracted to be acquired | tanker | 2 | |
Number of VLCCs accounted for as leaseback assets | 1 | |
Number of container vessels | 3 | |
Equity method investment, number of chartered-in vessels | 4 | |
Variable Interest Entity, Not Primary Beneficiary | ||
Off Shore Assets And Charters [Line Items] | ||
Number of ultra deepwater drilling units owned | 1 | |
River Box | Disposal Group, Disposed of by Sale, Not Discontinued Operations | ||
Off Shore Assets And Charters [Line Items] | ||
Ownership percentage of disposed assets | 50.10% |
ACCOUNTING POLICIES (Details)
ACCOUNTING POLICIES (Details) | 12 Months Ended | |||
Dec. 31, 2020USD ($)vesseldrillingRig | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Jan. 01, 2020USD ($) | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Number of ultra deepwater drilling units owned | drillingRig | 2 | |||
Interest costs capitalized | $ 0 | $ 0 | $ 0 | |
Number of vessels with finance lease liabilities | vessel | 7 | |||
Impact of the adoption of ASU 2016-13 on retained earnings | 5,614,000 | |||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | River Box | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Ownership percentage of disposed assets | 50.10% | |||
Investments in sales-type and direct financing leases | $ 540,908,000 | |||
River Box | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Ownership percentage | 49.90% | |||
Variable Interest Entity, Not Primary Beneficiary | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Number of ultra deepwater drilling units owned | vessel | 1 | |||
Offshore Vessels and Rigs | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Estimated economic useful life (in years) | 30 years | |||
Other Capitalized Property Plant and Equipment | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Estimated economic useful life (in years) | 25 years | |||
Office Equipment | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Depreciation, rate | 20.00% | |||
Accounting Standards Update 2016-13 | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Impact of the adoption of ASU 2016-13 on retained earnings | $ (32,600,000) | |||
Accounting Standards Update 2016-13 | Accounts Receivable including Trade Other and Related Party Receivables and Investment In Sales Type Direct Finance and Leaseback Assets | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Impact of the adoption of ASU 2016-13 on retained earnings | 5,600,000 | |||
Accounting Standards Update 2016-13 | (Accumulated deficit)/retained earnings | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Impact of the adoption of ASU 2016-13 on retained earnings | $ (32,638,000) | |||
Accounting Standards Update 2016-13 | (Accumulated deficit)/retained earnings | Equity Accounted Subsidiaries | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Impact of the adoption of ASU 2016-13 on retained earnings | $ 27,000,000 |
SEGMENT INFORMATION (Details)
SEGMENT INFORMATION (Details) | 12 Months Ended |
Dec. 31, 2020carrier | |
Segment Reporting [Abstract] | |
Number of reportable segments | 1 |
EARNINGS (LOSS) PER SHARE (Deta
EARNINGS (LOSS) PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Basic earnings (loss) per share: | |||
Net (loss)/income available to stockholders | $ (224,425) | $ 89,177 | $ 73,622 |
Diluted earnings (loss) per share: | |||
Interest and other expenses/(gains) attributable to convertible bonds | 0 | (304) | 123 |
Net (loss)/income assuming dilution | $ (224,425) | $ 88,873 | $ 73,745 |
Basic earnings per share: | |||
Weighted average number of common shares outstanding (in shares) | 108,972 | 107,614 | 105,898 |
Diluted earnings per share: | |||
Weighted average number of common shares outstanding (in shares) | 108,972 | 107,614 | 105,898 |
Effect of dilutive share options (in shares) | 0 | 81 | 59 |
Effect of dilutive convertible bonds (in shares) | 0 | 1 | 1,649 |
Weighted average number of diluted common shares outstanding (in shares) | 108,972 | 107,696 | 107,606 |
Basic (loss)/earnings per share (in dollars per share) | $ (2.06) | $ 0.83 | $ 0.70 |
Diluted (loss)/earnings per share (in dollars per share) | $ (2.06) | $ 0.83 | $ 0.69 |
EARNINGS (LOSS) PER SHARE (Narr
EARNINGS (LOSS) PER SHARE (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | ||||
Feb. 28, 2018 | Oct. 31, 2016 | Dec. 31, 2020 | Apr. 30, 2018 | Oct. 05, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Shares issued and loaned to affiliate (in shares) | 8,000,000 | ||||
Total authorized for share lending arrangement (in shares) | 7,000,000 | ||||
Senior Unsecured Convertible Bonds due 2021 | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Interest rate | 5.75% | ||||
4.875% unsecured convertible bonds due 2023 | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Interest rate | 4.875% | 4.875% | |||
Common stock, shares loaned to affiliate (in shares) | 3,765,842 | 3,765,842 | |||
Senior Unsecured Convertible Bonds due 2018 | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Interest rate | 3.25% | ||||
Amount of debt repurchased | $ 63.2 | ||||
Shares issued on conversion of convertible debt (in shares) | 651,365 |
OPERATING LEASES (Details)
OPERATING LEASES (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Minimum future revenues to be received under non-cancelable operating leases [Abstract] | |
2021 | $ 345,881 |
2022 | 318,085 |
2023 | 332,149 |
2024 | 250,045 |
2025 | 45,799 |
Thereafter | 119,019 |
Total minimum lease revenues | $ 1,410,978 |
OPERATING LEASES - Additional I
OPERATING LEASES - Additional Information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2020USD ($)vesselcarriertanker | |
Leases [Abstract] | |
Number of vessels upgraded | 14 |
Number of container vessels being upgraded | 5 |
Number of capesize bulk carriers being upgraded | carrier | 7 |
Number of suezmax tankers being upgraded | tanker | 2 |
Number of container vessels accounted for as direct financing leases upgraded | 3 |
Income from cost savings agreement | $ | $ 3.9 |
OPERATING LEASES - Cost and Acc
OPERATING LEASES - Cost and Accumulated Depreciation of Vessels Leased to Third Parties on Non-cancelable Operating Leases (Details) - Assets Leased to Others - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Lessee, Lease, Description [Line Items] | ||
Property, plant and equipment, gross | $ 2,245,889 | $ 2,100,533 |
Accumulated depreciation | 465,033 | 315,934 |
Total | $ 1,780,856 | $ 1,784,599 |
GAIN_(LOSS) ON SALE OF ASSETS_3
GAIN/(LOSS) ON SALE OF ASSETS AND TERMINATION OF CHARTERS (Summary) (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Feb. 29, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | ||||
Gain/(loss) on sale of vessels | $ 2,250,000 | $ 0 | $ (2,578,000) | |
Gain on termination of charters | 0 | 0 | 0 | |
Total Gain/(loss) on sale of assets | $ 2,250,000 | $ 2,250,000 | $ 0 | $ (2,578,000) |
GAIN_(LOSS) ON SALE OF ASSETS_4
GAIN/(LOSS) ON SALE OF ASSETS AND TERMINATION OF CHARTERS (Gain on Sale of Vessels) (Details) | 1 Months Ended | 12 Months Ended | ||
Feb. 29, 2020USD ($) | Dec. 31, 2020USD ($)vessel | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | $ 2,250,000 | $ 0 | $ (2,578,000) | |
Termination fee | $ 3,200,000 | |||
Lessor, operating lease, number of lease assets sold | vessel | 4 | |||
Gain (loss) on termination charters | $ 0 | $ 0 | 0 | |
Front Hakata | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | 1,400,000 | |||
Proceeds from sale of vessels and termination of charters | 30,300,000 | |||
Sea Cheetah, Sea Jaguar, Sea Halibut and Sea Pike | ||||
Property, Plant and Equipment [Line Items] | ||||
Proceeds from sale of vessels and termination of charters | 4,300,000 | |||
Gain (loss) on sale of leased assets, net, operating leases | 900,000 | |||
Sea Leopard | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | (30,000) | |||
Hunter Atla, Hunter Saga and Hunter Laga | ||||
Property, Plant and Equipment [Line Items] | ||||
Proceeds from sale of vessels and termination of charters | $ 176,200,000 | |||
Front Circassia | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | (1,400,000) | |||
Proceeds from sale of vessels and termination of charters | 17,900,000 | |||
Compensation received on termination of charters, notes receivable | $ 4,400,000 | |||
SFL Avon | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain (loss) on sale of leased assets, net, operating leases | (200,000) | |||
Front Page | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | 300,000 | |||
Front Stratus | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | 200,000 | |||
Front Serenade | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | 300,000 | |||
Front Page, Front Stratus Front Serenade | ||||
Property, Plant and Equipment [Line Items] | ||||
Proceeds from sale of vessels and termination of charters | 22,500,000 | |||
Compensation received on termination of charters, notes receivable | 3,400,000 | |||
Front Ariake | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | 1,000 | |||
Compensation received on termination of charters, notes receivable | 3,400,000 | |||
Front Falcon | ||||
Property, Plant and Equipment [Line Items] | ||||
Gain/(loss) on sale of vessels | $ (1,800,000) |
GAIN ON SALE OF SUBSIDIARIES (N
GAIN ON SALE OF SUBSIDIARIES (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Gain on sale of subsidiaries, operating | $ 1,894 | $ 0 | $ 7,613 |
River Box | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Ownership percentage | 49.90% | ||
River Box | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Ownership percentage of disposed assets | 50.10% | ||
Net proceeds received | $ 17,500 | ||
Gain on sale of subsidiaries, operating | 1,900 | ||
Long-term loan from related party | $ 45,000 | ||
Rig Finance | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Net proceeds received | 84,400 | ||
Gain on sale of subsidiaries, operating | $ 7,600 | ||
Percentage held in consolidated subsidiary sold to a third party | 100.00% |
GAIN ON SALE OF SUBSIDIARIES -
GAIN ON SALE OF SUBSIDIARIES - River Box Company Net Assets Held at time of Disposal (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2018 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash and cash equivalents | $ 915 | |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | River Box | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Cash and cash equivalents | $ 2,859 | |
Investments in sales-type and direct financing leases | 540,908 | |
Finance lease liability | (464,740) | |
Long-term loan from related party | (45,000) | |
Other current liabilities | (2,861) | |
Net assets | $ 31,166 |
GAIN ON SALE OF SUBSIDIARIES _2
GAIN ON SALE OF SUBSIDIARIES - Rig Finance Net Assets Held at the Time of Disposal (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Discontinued Operations and Disposal Groups [Abstract] | |
Cash and cash equivalents | $ 915 |
Vessel and equipment, net | 76,875 |
Charter deposit | (913) |
Other current liabilities | (90) |
Net assets | $ 76,787 |
OTHER FINANCIAL ITEMS, NET (Det
OTHER FINANCIAL ITEMS, NET (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total net cash movement on non-designated derivatives and swap settlements | $ (9,272) | $ 1,195 | $ (721) |
Total net movement in fair value of non-designated derivatives | (20,433) | (3,450) | 13,908 |
Net movement in fair value of designated derivatives (ineffective portion) | (11) | ||
Allowance for expected credit losses | (1,771) | 0 | 0 |
Impairment of long-term receivables | 0 | (9,168) | (1,730) |
Other items | 5,531 | (1,330) | (1,039) |
Total other financial items, net | (25,945) | (12,753) | 10,407 |
Interest Rate Swap | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total net cash movement on non-designated derivatives and swap settlements | (4,575) | 1,389 | 170 |
Total net movement in fair value of non-designated derivatives | (15,314) | (4,123) | 2,687 |
Cross Currency Interest Rate Contract | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total net cash movement on non-designated derivatives and swap settlements | (152) | (194) | (891) |
Total net movement in fair value of non-designated derivatives | (5,124) | 673 | 11,221 |
Interest Rate Swap After Debt Refinancing | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total net cash movement on non-designated derivatives and swap settlements | (4,539) | 0 | 0 |
Cross Currency Swaps | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Total net cash movement on non-designated derivatives and swap settlements | (6) | 0 | 0 |
Total net movement in fair value of non-designated derivatives | $ 5 | $ 0 | $ 0 |
OTHER FINANCIAL ITEMS, NET - Ad
OTHER FINANCIAL ITEMS, NET - Additional Information (Details) shares in Millions, kr in Millions | Oct. 20, 2020USD ($)shares | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Oct. 20, 2020NOK (kr) | Jan. 01, 2019USD ($) | Dec. 31, 2017USD ($) | Feb. 29, 2016USD ($) |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Stockholders' equity attributable to parent | $ 795,651,000 | $ 1,106,369,000 | $ 1,180,032,000 | |||||
Loss on derivative instrument reclassified from another comprehensive income | 1,059,000 | 0 | (3,127,000) | |||||
Loss on derivative instrument reclassified from other comprehensive income | 3,100,000 | |||||||
Credit loss provision | (1,771,000) | 0 | 0 | |||||
Impairment of long-term receivables | 0 | 9,168,000 | 1,730,000 | |||||
Shares received under debt restructuring agreement | shares | 4.4 | |||||||
Cash compensation received under debt restructuring agreement | $ 1,100,000 | kr 10 | ||||||
Gain on foreign currency translation | 5,600,000 | 300,000 | 2,000,000 | |||||
Solstad Offshore ASA | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Gain on the sale of shares | 2,600,000 | |||||||
Apexindo | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Impairment of long-term receivables | 900,000 | 0 | ||||||
Sale of offshore support vessel Sea Bear | Deep Sea | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Stated interest rate | 7.25% | |||||||
Face value of note | $ 14,600,000 | |||||||
Initial fair value of note | $ 11,600,000 | |||||||
Impairment of long-term receivables | 8,200,000 | 1,700,000 | ||||||
(Accumulated deficit)/retained earnings | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Stockholders' equity attributable to parent | $ (257,063,000) | $ 0 | $ 29,511,000 | $ 203,932,000 | ||||
Accounting Standards Update 2017-12 | (Accumulated deficit)/retained earnings | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Stockholders' equity attributable to parent | $ (32,000) |
INVESTMENTS IN DEBT AND EQUIT_3
INVESTMENTS IN DEBT AND EQUITY SECURITIES (Schedule of Marketable Securities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Corporate Bonds | ||
Balance at start of the year | $ 12,753 | $ 13,245 |
Disposals during the year | 0 | (583) |
Additions during the year | 1,287 | 2,281 |
Unrealized gain/(loss) recorded in other comprehensive income | 279 | (9) |
Accumulated other-than-temporary impairment* | (4,888) | (2,181) |
Balance at end of the year | 9,431 | 12,753 |
Shares | ||
Balance at start of the year | 61,326 | 73,929 |
Disposals during the year | (23,661) | (82,783) |
Unrealized gain /(loss)* | (22,428) | 29,104 |
Realized gain/(loss)* | 4,864 | 40,777 |
FX gain/(loss) | (727) | 299 |
Balance at the end of year | 19,374 | 61,326 |
Total Investment in Debt and Equity Securities | 28,805 | 74,079 |
Equity Securities pledged to creditors | $ 9,006 | $ 43,775 |
INVESTMENTS IN DEBT AND EQUIT_4
INVESTMENTS IN DEBT AND EQUITY SECURITIES (Schedule of Corporate Bonds) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Debt Securities, Available-for-sale [Line Items] | |||
Amortised Cost | $ 8,516 | $ 12,118 | |
Unrealised gains/ (losses)* | 915 | 635 | |
Fair value | 9,431 | 12,753 | $ 13,245 |
NorAm Drilling | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortised Cost | 4,132 | 4,132 | |
Unrealised gains/ (losses)* | 511 | 558 | |
Fair value | $ 4,643 | 4,690 | $ 5,200 |
Oro Negro 7.5% | |||
Debt Securities, Available-for-sale [Line Items] | |||
Redemption price, percentage | 7.50% | ||
Amortised Cost | $ 0 | 5,705 | |
Unrealised gains/ (losses)* | 0 | 0 | |
Fair value | $ 0 | 5,705 | |
Oro Negro 12% | |||
Debt Securities, Available-for-sale [Line Items] | |||
Redemption price, percentage | 12.00% | ||
Amortised Cost | $ 0 | 2,281 | |
Unrealised gains/ (losses)* | 0 | 77 | |
Fair value | $ 0 | 2,358 | |
NT Rig Holdco 12% | |||
Debt Securities, Available-for-sale [Line Items] | |||
Redemption price, percentage | 12.00% | ||
Amortised Cost | $ 3,567 | 0 | |
Unrealised gains/ (losses)* | 404 | 0 | |
Fair value | $ 3,971 | 0 | |
NT Rig Holdco 7.5% | |||
Debt Securities, Available-for-sale [Line Items] | |||
Redemption price, percentage | 7.50% | ||
Amortised Cost | $ 817 | 0 | |
Unrealised gains/ (losses)* | 0 | 0 | |
Fair value | $ 817 | $ 0 |
INVESTMENTS IN DEBT AND EQUIT_5
INVESTMENTS IN DEBT AND EQUITY SECURITIES (Narrative) (Details) $ in Thousands, shares in Millions, kr in Millions | Oct. 20, 2020USD ($)shares | Mar. 31, 2021USD ($) | Dec. 31, 2019USD ($)shares | Dec. 31, 2020USD ($)shares | Dec. 31, 2019USD ($)shares | Dec. 31, 2018USD ($)shares | Oct. 20, 2020NOK (kr) | Sep. 30, 2020USD ($)shares | Jun. 30, 2020USD ($)shares |
Debt Securities, Available-for-sale [Line Items] | |||||||||
Unrealized gain/(loss) recorded in other comprehensive income | $ 279 | $ (9) | |||||||
Repurchase of bonds | 66,570 | 80,749 | $ 97,248 | ||||||
Unrealized gain /(loss)* | (22,428) | $ 29,104 | |||||||
Shares received under debt restructuring agreement | shares | 4.4 | ||||||||
Cash compensation received under debt restructuring agreement | $ 1,100 | kr 10 | |||||||
Solstad Offshore ASA | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Gain on the sale of shares | $ 2,600 | ||||||||
Subsequent Event | Equity Securities | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Disposition of investment | $ 800 | ||||||||
Frontline Forward Contract | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Investment owned (in shares) | shares | 3.4 | 3.4 | |||||||
Debt Restructuring Agreement | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Shares received under debt restructuring agreement | shares | 4.4 | ||||||||
NorAm Drilling | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Unrealized gain/(loss) recorded in other comprehensive income | $ 0 | $ 100 | 200 | ||||||
Repurchase of bonds | 600 | ||||||||
Disposition of investment | 300 | ||||||||
Oro Negro 12% | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Unrealized gain/(loss) recorded in other comprehensive income | $ 100 | ||||||||
Redemption price, percentage | 12.00% | ||||||||
Oro Negro 7.5% | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Unrealized gain/(loss) recorded in other comprehensive income | $ 0 | (200) | 200 | ||||||
Redemption price, percentage | 7.50% | ||||||||
Aggregate impairment charge | $ 600 | 2,200 | 0 | ||||||
NT Rig Holdco 12% | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Unrealized gain/(loss) recorded in other comprehensive income | $ 400 | ||||||||
Redemption price, percentage | 12.00% | ||||||||
Purchase of corporate bonds | $ 1,300 | ||||||||
NT Rig Holdco 7.5% | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Unrealized gain/(loss) recorded in other comprehensive income | $ 0 | ||||||||
Redemption price, percentage | 7.50% | ||||||||
Aggregate impairment charge | $ 4,300 | ||||||||
Corporate Bond Securities, Oro Negro, Super Senior Callable Liquidity Bonds | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Unrealized gain/(loss) recorded in other comprehensive income | 100 | 0 | |||||||
Repurchase of bonds | $ 2,300 | ||||||||
Redemption price, percentage | 12.00% | ||||||||
Debt amount | $ 2,300 | $ 2,300 | |||||||
Common stock - Frontline Ltd | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Debt amount | $ 36,800 | $ 15,600 | $ 36,800 | $ 36,800 | |||||
Investment owned (in shares) | shares | 3.4 | 1.4 | 3.4 | 1.4 | |||||
Number of shares sold (in shares) | shares | 2 | 7.6 | |||||||
Disposals during the year | $ 21,100 | $ 23,700 | |||||||
Gain/(Loss) on investments in debt and equity securities | 2,300 | $ 40,800 | |||||||
Forward contract to repurchase shares (shares) | shares | 3.4 | ||||||||
Forward contract shares, purchase price | $ 16,200 | $ 16,100 | |||||||
Secured borrowings, liability recorded | $ 36,800 | 15,600 | $ 36,800 | ||||||
Unrealized gain /(loss)* | $ (16,000) | $ 25,000 | $ 10,300 | ||||||
Common stock - Frontline Ltd | Frontline Forward Contract | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Investment owned (in shares) | shares | 1.4 | ||||||||
Common stock - Frontline Ltd | Repurchase Agreements | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Remaining shares sold (in shares) | shares | 3.4 | ||||||||
Common stock - NorAm Drilling | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Investment owned (in shares) | shares | 1.3 | 1.3 | 1.3 | 1.3 | |||||
Unrealized gain /(loss)* | $ (2,500) | $ 400 | $ 1,000 | ||||||
Foreign exchange gain (loss) | (300) | 0 | (200) | ||||||
Common Stock, ADS | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Unrealized gain /(loss)* | (3,900) | 3,700 | (800) | ||||||
Foreign exchange gain (loss) | $ (400) | $ 300 | 0 | ||||||
ADS Maritime Holding | Subsequent Event | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Final dividend distribution | $ 8,800 | ||||||||
ADS Maritime Holding | Common Stock, ADS | |||||||||
Debt Securities, Available-for-sale [Line Items] | |||||||||
Investment owned (in shares) | shares | 4 | 4 | 4 | ||||||
Payments to acquire businesses, gross | $ 10,000 |
INVESTMENTS IN DEBT AND EQUIT_6
INVESTMENTS IN DEBT AND EQUITY SECURITIES (Shares) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Debt and Equity Securities, FV-NI [Line Items] | |||
Equity securities | $ 19,374 | $ 61,326 | $ 73,929 |
Equity Securities pledged to creditors | 9,006 | 43,775 | |
Common stock - Frontline Ltd | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Equity securities | 9,007 | 43,775 | |
Equity Securities pledged to creditors | 9,000 | 43,800 | |
Common stock - NorAm Drilling | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Equity securities | 1,484 | 4,326 | |
Common Stock, ADS | |||
Debt and Equity Securities, FV-NI [Line Items] | |||
Equity securities | $ 8,883 | $ 13,225 |
TRADE ACCOUNTS RECEIVABLE AND_2
TRADE ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Allowance for Expected Credit Losses [Line Items] | ||
Allowance for doubtful debts | $ 9,171 | $ 0 |
Trade receivables | ||
Allowance for Expected Credit Losses [Line Items] | ||
Allowance for doubtful debts | 0 | 0 |
Accounts receivable, credit loss expense (reversal) | 0 | 0 |
Other receivables | ||
Allowance for Expected Credit Losses [Line Items] | ||
Allowance for doubtful debts | 0 | 0 |
Accounts receivable, credit loss expense (reversal) | $ 900 | $ 0 |
VESSELS AND EQUIPMENT, NET (Sch
VESSELS AND EQUIPMENT, NET (Schedule of Vessels and Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cost | |||
Transfers to Investments in Sales-Type Leases | $ (67,200) | $ (27,300) | |
Impairment loss | (333,149) | (60,054) | $ (64,338) |
Accumulated Depreciation | |||
Depreciation | (111,279) | (116,381) | (104,079) |
Vessels and Equipment, net | |||
Depreciation | (111,279) | (116,381) | (104,079) |
Transfers to Investments in Sales-Type Leases | (67,200) | (27,300) | |
Impairment loss | (333,149) | (60,054) | (64,338) |
Vessels and equipment, net | |||
Cost | |||
Capital improvements | 52,676 | ||
Additions | 258,138 | ||
Transfers to Investments in Sales-Type Leases | (67,202) | ||
Vessel disposals | (3,399) | ||
Impairment loss | (332,918) | ||
Other movements | 0 | ||
Accumulated Depreciation | |||
Beginning balance | (463,168) | ||
Depreciation | (71,302) | (80,300) | (99,600) |
Transfers to Investments in Sales-Type Leases | 20,368 | ||
Vessel disposals | 3,963 | ||
Impairment loss | 57,666 | ||
Ending balance | (452,473) | (463,168) | |
Vessels and Equipment, net | |||
Beginning balance | 1,404,705 | ||
Depreciation | (71,302) | (80,300) | $ (99,600) |
Capital improvements | 52,676 | ||
Additions | 258,138 | ||
Transfers to Investments in Sales-Type Leases | (67,202) | ||
Vessel disposals | (3,399) | ||
Impairment loss | (332,918) | ||
Other movements | 0 | ||
Ending balance | 1,240,698 | 1,404,705 | |
Property Plant and Equipment, Before Accumulated Depreciation | |||
Cost | |||
Capital improvements | 52,700 | 9,700 | |
Vessels and Equipment, net | |||
Capital improvements | 52,700 | 9,700 | |
Property Plant and Equipment, Before Accumulated Depreciation | Vessels and equipment, net | |||
Cost | |||
Beginning balance | 1,867,873 | ||
Capital improvements | 52,676 | ||
Additions | 258,138 | ||
Transfers to Investments in Sales-Type Leases | (87,570) | ||
Vessel disposals | (7,362) | ||
Impairment loss | (390,584) | ||
Other movements | 0 | ||
Ending balance | 1,693,171 | $ 1,867,873 | |
Vessels and Equipment, net | |||
Capital improvements | 52,676 | ||
Additions | 258,138 | ||
Transfers to Investments in Sales-Type Leases | (87,570) | ||
Vessel disposals | (7,362) | ||
Impairment loss | (390,584) | ||
Other movements | $ 0 |
VESSELS AND EQUIPMENT, NET (Nar
VESSELS AND EQUIPMENT, NET (Narrative) (Details) shares in Millions, kr in Millions | Oct. 20, 2020USD ($)shares | Feb. 29, 2020USD ($) | Dec. 31, 2020USD ($)vessel | Dec. 31, 2019USD ($)vessel | Dec. 31, 2018USD ($)vessel | Oct. 20, 2020NOK (kr) | Apr. 30, 2019Rate |
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Number of container vessels reclassified as sales-type leases | vessel | 7 | 2 | |||||
Transfers to Investments in Sales-Type Leases | $ 67,200,000 | $ 27,300,000 | |||||
Depreciation | $ 111,279,000 | $ 116,381,000 | $ 104,079,000 | ||||
Number of vessels for which impairment has been recognized | vessel | 7 | ||||||
Number of offshore support vessels which were impaired | vessel | 4 | 4 | |||||
Number of feeder container vessels which were impaired | vessel | 2 | ||||||
Number of offshore support vessels sold | vessel | 5 | ||||||
Gain (loss) on disposition of assets and termination of charters, net | $ 2,250,000 | $ 2,250,000 | $ 0 | $ (2,578,000) | |||
Number of offshore supply vessels under operating leases | vessel | 2 | ||||||
Charter hire, percentage rate | 50.00% | 100.00% | |||||
Shares received under debt restructuring agreement | shares | 4.4 | ||||||
Cash compensation received under debt restructuring agreement | $ 1,100,000 | kr 10 | |||||
Solstad Offshore ASA | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Gain on the sale of shares | 2,600,000 | ||||||
Property Plant and Equipment, Before Accumulated Depreciation | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Capital improvements | $ 52,700,000 | 9,700,000 | |||||
Deep Sea Supply BTG | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Number of offshore supply vessels under finance lease | vessel | 1 | ||||||
Vessels and equipment, net | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Transfers to Investments in Sales-Type Leases | $ 67,202,000 | ||||||
Transfers to Investments in Sales-Type Leases | 20,368,000 | ||||||
Accumulated depreciation | 452,473,000 | 463,168,000 | |||||
Capital improvements | 52,676,000 | ||||||
Depreciation | 71,302,000 | 80,300,000 | $ 99,600,000 | ||||
Additions | 258,138,000 | ||||||
Tangible asset impairment charges | 80,300,000 | 55,500,000 | $ 25,400,000 | ||||
Vessels and equipment, net | Property Plant and Equipment, Before Accumulated Depreciation | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Transfers to Investments in Sales-Type Leases | 87,570,000 | ||||||
Property, plant and equipment, gross | 1,693,171,000 | $ 1,867,873,000 | |||||
Capital improvements | 52,676,000 | ||||||
Additions | $ 258,138,000 | ||||||
Construction in Progress | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Number of container vessels transferred | vessel | 16 | 5 | |||||
MSC Margarita And MSC Vidhi | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Property, plant and equipment, gross | $ 40,300,000 | ||||||
Accumulated depreciation | 13,000,000 | ||||||
West Taurus | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Tangible asset impairment charges | $ 252,600,000 | ||||||
West Taurus | Property Plant and Equipment, Before Accumulated Depreciation | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Additions | 258,100,000 | ||||||
Sea Cheetah, Sea Jaguar, Sea Halibut, Sea Pike and Sea Leopard | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Gain (loss) on disposition of assets and termination of charters, net | $ 900,000 | ||||||
Offshore Support Vessels Accounted For As Vessels And Equipment | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Gain (loss) on disposition of assets and termination of charters, net | $ 0 | ||||||
Sea Cheetah, Sea Jaguar, Sea Halibut and Sea Pike | Deep Sea Supply BTG | |||||||
Property Subject to or Available for Operating Lease [Line Items] | |||||||
Number of offshore supply vessels under operating leases | vessel | 4 |
VESSELS UNDER FINANCE LEASE, _3
VESSELS UNDER FINANCE LEASE, NET (Schedule of Finance Lease) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cost | |||
Beginning balance | $ 755,058 | ||
Capital improvements | 22,881 | ||
Ending balance | 777,939 | ||
Accumulated Depreciation | |||
Beginning balance | (40,582) | ||
Depreciation | (39,977) | ||
Ending balance | (80,559) | $ (40,582) | |
Vessels under Finance Lease, net | |||
Beginning balance | 714,476 | ||
Depreciation | (39,977) | (36,100) | $ (4,500) |
Capital improvements | 22,881 | ||
Ending balance | $ 697,380 | $ 714,476 |
VESSELS UNDER FINANCE LEASE, _4
VESSELS UNDER FINANCE LEASE, NET (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)vessel | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Vessels under capital lease, net [Line Items] | |||
Number of vessels accounted for under finance leases | 7 | ||
Term of lease or charter | 5 years | ||
Number of years before option to buy vessel is available | 6 years | 6 years | |
Depreciation | $ | $ 39,977 | $ 36,100 | $ 4,500 |
13,800 TEU Containership | |||
Vessels under capital lease, net [Line Items] | |||
Number of vessels accounted for under finance leases | 4 | ||
10,600 TEU Containership | |||
Vessels under capital lease, net [Line Items] | |||
Number of vessels accounted for under finance leases | 3 | ||
Minimum | |||
Vessels under capital lease, net [Line Items] | |||
Term of lease or charter | 6 years | 6 years | |
Maximum | |||
Vessels under capital lease, net [Line Items] | |||
Term of lease or charter | 11 years | 11 years |
OTHER LONG TERM ASSETS (Schedul
OTHER LONG TERM ASSETS (Schedule of Long-Term Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Capital improvements in progress | $ 10,099 | $ 30,642 |
Collateral deposits on swap agreements | 398 | 17,520 |
Value of acquired charter-out contracts, net | 10,503 | 13,407 |
Long term receivables | 0 | 1,880 |
Other | 961 | 799 |
Total other long-term assets | $ 21,961 | $ 64,248 |
OTHER LONG TERM ASSETS (Narrati
OTHER LONG TERM ASSETS (Narrative) (Details) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2020USD ($)vessel | Dec. 31, 2019USD ($)vessel | Dec. 31, 2018USD ($)vessel | Jun. 30, 2018vessel | May 31, 2018vessel | |
Property, Plant and Equipment [Line Items] | |||||
Number of vessels acquired | vessel | 15 | 4 | |||
Long term receivables | $ 0 | $ 1,880 | |||
Credit loss provision | (1,900) | ||||
Property Plant and Equipment, Before Accumulated Depreciation | |||||
Property, Plant and Equipment [Line Items] | |||||
Capital improvements | 52,700 | $ 9,700 | |||
10,600 TEU Containership | |||||
Property, Plant and Equipment [Line Items] | |||||
Capital improvements | $ 22,900 | ||||
Number of vessels with EGCS Installations | vessel | 3 | ||||
Construction in Progress | |||||
Property, Plant and Equipment [Line Items] | |||||
Number of vessels committed to vessel upgrades | vessel | 11 | 9 | |||
Number of container vessels transferred | vessel | 16 | 5 | |||
Container vessels | Evergreen Marine | |||||
Property, Plant and Equipment [Line Items] | |||||
Number of vessels acquired | vessel | 4 | ||||
Time charters | $ 18,000 | ||||
Amortization of time charters | $ 2,900 | $ 2,900 | $ 2,900 |
INVESTMENTS IN SALES-TYPE LEA_3
INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS (Schedule of Investments in Sales-Type and Direct Financing Leases and Leaseback Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Investments in sales-type and direct financing leases | $ 592,102 | $ 786,598 |
Investments in leaseback assets | 85,441 | 207,789 |
Total | $ 677,543 | $ 994,387 |
INVESTMENTS IN SALES-TYPE LEA_4
INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS (Narrative) (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
May 31, 2020 | Dec. 31, 2020USD ($)vesseltankerRate | Dec. 31, 2019USD ($)tankervesselRate | Dec. 31, 2018USD ($)vessel | Jun. 05, 2015vessel | |
Sale Leaseback Transaction [Line Items] | |||||
Term of charters, maximum (in years) | 7 years | 6 years | |||
Gain/(loss) on sale of vessels | $ | $ 2,250 | $ 0 | $ (2,578) | ||
Number of vlccs sold, direct financing lease | tanker | 0 | ||||
Vessel impairment charge | $ | $ (333,149) | $ (60,054) | $ (64,338) | ||
Number of container vessels accounted for as direct financing leases | 15 | 19 | |||
Assets accounted for as sales-type lease | 10 | ||||
Number of container vessels providing the charterer with purchase options and put options | 15 | ||||
Term of lease or charter | 5 years | ||||
Number of container vessels reclassified as sales-type leases | 7 | 2 | |||
Transfers to Investments in Sales-Type Leases | $ | $ 67,200 | $ 27,300 | |||
Equity method investment, number of chartered-in vessels | 4 | ||||
Number of vessels accounted for as leaseback assets | 6 | ||||
Number of container vessels | 3 | ||||
Sales-type and direct financing leases, lease receivable, payments to be received | $ | $ 705,196 | ||||
West Linus | |||||
Sale Leaseback Transaction [Line Items] | |||||
Direct financing lease following the sale of River Box | $ | $ 361,000 | ||||
River Box | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||||
Sale Leaseback Transaction [Line Items] | |||||
Ownership percentage of disposed assets | 50.10% | ||||
Investments in sales-type and direct financing leases | $ | $ 540,908 | ||||
Sales-Type Leases and Direct Financing Leases | |||||
Sale Leaseback Transaction [Line Items] | |||||
Number of vessel charters | 28 | 26 | |||
Leaseback Assets | |||||
Sale Leaseback Transaction [Line Items] | |||||
Number of vessel charters | 4 | 6 | |||
Investments in sales-type, direct financing leases and leaseback assets | |||||
Sale Leaseback Transaction [Line Items] | |||||
Vessel impairment charge | $ | $ (200) | $ (5,000) | |||
Frontline Charterers | |||||
Sale Leaseback Transaction [Line Items] | |||||
Assets accounted for as direct financing leases and leased to related parties | 2 | 3 | 17 | ||
Direct financing lease following the sale of River Box | $ | $ 76,100 | $ 111,500 | |||
Sales-type and direct financing leases, lease receivable, payments to be received | $ | $ 89,200 | ||||
Frontline Charterers | Sales-Type Leases and Direct Financing Leases | |||||
Sale Leaseback Transaction [Line Items] | |||||
Assets accounted for as direct financing leases and leased to related parties | tanker | 2 | 3 | |||
Frontline Shipping | |||||
Sale Leaseback Transaction [Line Items] | |||||
Capitalized costs | $ | $ 4,200 | ||||
Number of VLCCs accounts for as leaseback assets | 2 | ||||
Percentage share of joint costs | Rate | 50.00% | 50.00% | |||
MSC | |||||
Sale Leaseback Transaction [Line Items] | |||||
Term of lease or charter | 6 years | ||||
Number of vessels accounted for as leaseback assets | 3 | ||||
Hunter Group ASA | |||||
Sale Leaseback Transaction [Line Items] | |||||
Term of lease or charter | 5 years | ||||
Number of vessels accounted for as leaseback assets | tanker | 3 | ||||
Number of container vessels | 3 | ||||
Proceeds from sale of vessels and termination of charters | $ | $ 176,200 | ||||
Debt repaid | $ | 142,500 | ||||
Front Hakata | |||||
Sale Leaseback Transaction [Line Items] | |||||
Gain/(loss) on sale of vessels | $ | 1,400 | ||||
Sea Leopard | |||||
Sale Leaseback Transaction [Line Items] | |||||
Number of offshore supply vessels under finance lease | 1 | ||||
Gain (loss) on disposition | $ | $ (30) | ||||
Number of offshore supply vessels | 1 | ||||
MSC Margarita And MSC Vidhi | |||||
Sale Leaseback Transaction [Line Items] | |||||
Assets accounted for as sales-type lease | 3 | ||||
Term of lease or charter | 7 years | ||||
Front Page, Front Status, Front Serenade, And Front Ariake | |||||
Sale Leaseback Transaction [Line Items] | |||||
Vessel impairment charge | $ | $ (38,900) | ||||
Front Page, Front Status, Front Serenade And Front Circassia | |||||
Sale Leaseback Transaction [Line Items] | |||||
Number of VLCCs accounts for as leaseback assets | 4 |
INVESTMENTS IN SALES-TYPE LEA_5
INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS (Components of Investments in Direct Financing and Sales-type Leases) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Sale Leaseback Transaction [Line Items] | ||
Total minimum lease payments to be received | $ 784,982 | $ 1,219,715 |
Less: amounts representing estimated executory costs including profit thereon, included in total minimum lease payments | (40,698) | (64,222) |
Net minimum lease payments receivable | 744,284 | 1,155,493 |
Estimated residual values of leased property (un-guaranteed) | 111,121 | 331,929 |
Less: unearned income | (173,472) | (493,035) |
Total investment in sales-type lease, direct financing lease and leaseback assets | 681,933 | 994,387 |
Allowance for expected credit losses | (4,390) | 0 |
Total investment in sales-type lease, direct financing lease and leaseback assets | 677,543 | 994,387 |
Current portion | 55,420 | 56,189 |
Long-term portion | 622,123 | 938,198 |
Sales-Type Leases and Direct Financing Leases | ||
Sale Leaseback Transaction [Line Items] | ||
Total minimum lease payments to be received | 705,196 | 1,085,642 |
Less: amounts representing estimated executory costs including profit thereon, included in total minimum lease payments | (40,698) | (64,222) |
Net minimum lease payments receivable | 664,498 | 1,021,420 |
Estimated residual values of leased property (un-guaranteed) | 79,621 | 192,429 |
Less: unearned income | (147,876) | (427,251) |
Total investment in sales-type lease, direct financing lease and leaseback assets | 596,243 | 786,598 |
Allowance for expected credit losses | (4,141) | 0 |
Total investment in sales-type lease, direct financing lease and leaseback assets | 592,102 | 786,598 |
Current portion | 45,888 | 45,361 |
Long-term portion | 546,214 | 741,237 |
Leaseback Assets | ||
Sale Leaseback Transaction [Line Items] | ||
Total minimum lease payments to be received | 79,786 | 134,073 |
Less: amounts representing estimated executory costs including profit thereon, included in total minimum lease payments | 0 | 0 |
Net minimum lease payments receivable | 79,786 | 134,073 |
Estimated residual values of leased property (un-guaranteed) | 31,500 | 139,500 |
Less: unearned income | (25,596) | (65,784) |
Total investment in sales-type lease, direct financing lease and leaseback assets | 85,690 | 207,789 |
Allowance for expected credit losses | (249) | 0 |
Total investment in sales-type lease, direct financing lease and leaseback assets | 85,441 | 207,789 |
Current portion | 9,532 | 10,828 |
Long-term portion | $ 75,909 | $ 196,961 |
INVESTMENTS IN SALES-TYPE LEA_6
INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS (Schedule of Minimum Future Gross Revenues) (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Sales-Type Leases and Direct Financing Leases | |
2021 | $ 84,206 |
2022 | 81,628 |
2023 | 111,874 |
2024 | 101,775 |
2025 | 78,058 |
Thereafter | 247,655 |
Total minimum lease payments to be received | 705,196 |
Leaseback Assets | |
2021 | 15,410 |
2022 | 15,410 |
2023 | 14,630 |
2024 | 14,172 |
2025 | 9,517 |
Thereafter | 10,647 |
Total minimum lease payments to be received | 79,786 |
Total | |
2021 | 99,616 |
2022 | 97,038 |
2023 | 126,504 |
2024 | 115,947 |
2025 | 87,575 |
Thereafter | 258,302 |
Total minimum lease payments to be received | $ 784,982 |
INVESTMENTS IN SALES-TYPE LEA_7
INVESTMENTS IN SALES-TYPE LEASES, DIRECT FINANCING LEASES AND LEASEBACK ASSETS (Schedule of Interest Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Leases [Abstract] | |||
Investments in sales type and direct financing leases | $ 57,579 | $ 56,764 | $ 39,678 |
Investments in leaseback assets | 13,637 | 3,556 | 0 |
Total | 71,216 | 60,320 | 39,678 |
Interest income related parties – direct financing leases | $ 1,744 | $ 3,796 | $ 9,623 |
INVESTMENT IN ASSOCIATED COMP_3
INVESTMENT IN ASSOCIATED COMPANIES (Details) | 1 Months Ended | 2 Months Ended | 12 Months Ended | |||||||||
Feb. 28, 2021 | Oct. 31, 2020USD ($) | Sep. 30, 2017drillingRig | Oct. 31, 2013USD ($) | Dec. 31, 2020USD ($)drillingRig | Dec. 31, 2020USD ($)drillingRig | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2013 | Dec. 31, 2008 | May 31, 2013USD ($) | Dec. 31, 2009drillingRig | |
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Gain on sale of subsidiaries, operating | $ 1,894,000 | $ 0 | $ 7,613,000 | |||||||||
Proportion of secured bank lenders in restructuring agreement with Seadrill Limited | 97.00% | |||||||||||
Proportion of bondholders in restructuring agreement with Seadrill Limited | 40.00% | |||||||||||
Number of drilling units | drillingRig | 3 | 3 | ||||||||||
Gain on extinguishment of debt | $ 67,533,000 | 1,802,000 | 1,146,000 | |||||||||
Term loan facility, amount outstanding | $ 1,663,394,000 | 1,663,394,000 | 1,627,177,000 | |||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Due to related parties | $ 2,724,000 | 2,724,000 | 3,980,000 | |||||||||
Statement of operations information [Abstract] | ||||||||||||
Interest payable to parent | $ 0 | 0 | 6,378,000 | |||||||||
West Linus and West Hercules | Minimum | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 65.00% | 65.00% | ||||||||||
West Linus and West Hercules | Minimum | Subsequent Event | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 65.00% | |||||||||||
West Linus and West Hercules | Maximum | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 75.00% | 75.00% | ||||||||||
West Linus and West Hercules | Maximum | Subsequent Event | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 75.00% | |||||||||||
Debt for Acquired Equipment | Equity Accounted Subsidiaries | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Term loan facility, amount outstanding | $ 185,800,000 | $ 185,800,000 | 201,900,000 | |||||||||
River Box | Disposal Group, Disposed of by Sale, Not Discontinued Operations | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Ownership percentage of disposed assets | 50.10% | 50.10% | ||||||||||
Gain on sale of subsidiaries, operating | $ 1,900,000 | |||||||||||
River Box | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Ownership percentage | 49.90% | 49.90% | ||||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Due to parent | $ 45,000,000 | $ 45,000,000 | ||||||||||
Statement of operations information [Abstract] | ||||||||||||
Interest payable to parent | $ 0 | |||||||||||
SFL Deepwater | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Participation in equity method investee (percent) | 100.00% | |||||||||||
Number of main assets subject of leases which includes both fixed price call options and fixed price purchase obligations | drillingRig | 1 | 1 | 2 | |||||||||
Debt amount | $ 390,000,000 | |||||||||||
Term loan facility, term | 5 years | |||||||||||
Term loan facility, extension term | 4 years | |||||||||||
Debt instrument, repurchased face amount | $ 176,100,000 | |||||||||||
Facility repurchased amount | 110,000,000 | |||||||||||
Gain on extinguishment of debt | $ 66,100,000 | |||||||||||
Term loan facility, amount outstanding | $ 0 | $ 0 | 187,900,000 | |||||||||
Term loan facility, amount guaranteed | 0 | 0 | 84,700,000 | |||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Due to parent | 113,000,000 | |||||||||||
Due to related parties | 1,200,000 | |||||||||||
Statement of operations information [Abstract] | ||||||||||||
Interest payable to parent | $ 3,800,000 | 5,100,000 | 5,100,000 | |||||||||
SFL Hercules | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Participation in equity method investee (percent) | 100.00% | |||||||||||
Debt amount | $ 375,000,000 | |||||||||||
Term loan facility, term | 6 years | |||||||||||
Term loan facility, extension term | 4 years | |||||||||||
Term loan facility, amount outstanding | 185,800,000 | $ 185,800,000 | ||||||||||
Term loan facility, amount guaranteed | 83,100,000 | $ 83,100,000 | 78,900,000 | |||||||||
Extension term | 13 months | |||||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Due to parent | 78,900,000 | $ 78,900,000 | 80,000,000 | |||||||||
Due to related parties | 3,400,000 | |||||||||||
Statement of operations information [Abstract] | ||||||||||||
Interest payable to parent | $ 3,600,000 | 3,600,000 | 3,600,000 | |||||||||
SFL Linus | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Participation in equity method investee (percent) | 100.00% | |||||||||||
Debt amount | $ 475,000,000 | |||||||||||
Term loan facility, term | 5 years | |||||||||||
Term loan facility, extension term | 4 years | |||||||||||
Term loan facility, amount outstanding | 216,000,000 | $ 216,000,000 | 232,100,000 | |||||||||
Term loan facility, amount guaranteed | 102,500,000 | |||||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Due to parent | 121,000,000 | |||||||||||
Due to related parties | 7,400,000 | |||||||||||
Statement of operations information [Abstract] | ||||||||||||
Interest payable to parent | 4,500,000 | 5,400,000 | 5,400,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | ||||||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Current assets | 34,763,000 | 34,763,000 | 75,079,000 | |||||||||
Non-current assets | 513,918,000 | 513,918,000 | 920,801,000 | |||||||||
Total assets | 548,681,000 | 548,681,000 | 995,880,000 | |||||||||
Current liabilities | 199,255,000 | 199,255,000 | 65,832,000 | |||||||||
Non-current liabilities | 322,129,000 | 322,129,000 | 887,887,000 | |||||||||
Total liabilities | 521,384,000 | 521,384,000 | 953,719,000 | |||||||||
Total stockholders' equity | 27,297,000 | 27,297,000 | 42,161,000 | |||||||||
Statement of operations information [Abstract] | ||||||||||||
Operating revenues | 45,573,000 | 64,142,000 | 64,572,000 | |||||||||
Net operating revenues | 45,532,000 | 64,142,000 | 64,410,000 | |||||||||
Net income | $ 4,286,000 | $ 17,054,000 | $ 14,635,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | River Box | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Participation in equity method investee (percent) | 49.90% | 0.00% | 0.00% | |||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Current assets | 12,475,000 | $ 12,475,000 | $ 0 | |||||||||
Non-current assets | 258,865,000 | 258,865,000 | 0 | |||||||||
Total assets | 271,340,000 | 271,340,000 | 0 | |||||||||
Current liabilities | 12,569,000 | 12,569,000 | 0 | |||||||||
Non-current liabilities | 243,219,000 | 243,219,000 | 0 | |||||||||
Total liabilities | 255,788,000 | 255,788,000 | 0 | |||||||||
Total stockholders' equity | 15,552,000 | 15,552,000 | 0 | |||||||||
Statement of operations information [Abstract] | ||||||||||||
Operating revenues | 0 | 0 | $ 0 | |||||||||
Net operating revenues | 0 | 0 | 0 | |||||||||
Net income | $ 0 | $ 0 | $ 0 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | SFL Deepwater | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Participation in equity method investee (percent) | 0.00% | 100.00% | 100.00% | |||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Current assets | 0 | $ 0 | $ 29,047,000 | |||||||||
Non-current assets | 0 | 0 | 286,222,000 | |||||||||
Total assets | 0 | 0 | 315,269,000 | |||||||||
Current liabilities | 0 | 0 | 19,168,000 | |||||||||
Non-current liabilities | 0 | 0 | 285,147,000 | |||||||||
Total liabilities | 0 | 0 | 304,315,000 | |||||||||
Total stockholders' equity | 0 | 0 | 10,954,000 | |||||||||
Statement of operations information [Abstract] | ||||||||||||
Operating revenues | 11,835,000 | 18,966,000 | $ 19,594,000 | |||||||||
Net operating revenues | 11,892,000 | 18,966,000 | 19,540,000 | |||||||||
Net income | $ (6,002,000) | $ 4,346,000 | $ 3,973,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | SFL Hercules | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Participation in equity method investee (percent) | 100.00% | 100.00% | 100.00% | |||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Current assets | 22,288,000 | $ 22,288,000 | $ 22,645,000 | |||||||||
Non-current assets | 255,053,000 | 255,053,000 | 273,621,000 | |||||||||
Total assets | 277,341,000 | 277,341,000 | 296,266,000 | |||||||||
Current liabilities | 186,686,000 | 186,686,000 | 20,761,000 | |||||||||
Non-current liabilities | 78,910,000 | 78,910,000 | 265,769,000 | |||||||||
Total liabilities | 265,596,000 | 265,596,000 | 286,530,000 | |||||||||
Total stockholders' equity | 11,745,000 | 11,745,000 | 9,736,000 | |||||||||
Statement of operations information [Abstract] | ||||||||||||
Operating revenues | 15,072,000 | 18,378,000 | $ 19,126,000 | |||||||||
Net operating revenues | 15,050,000 | 18,378,000 | 19,049,000 | |||||||||
Net income | $ 3,827,000 | $ 3,622,000 | $ 3,372,000 | |||||||||
Variable Interest Entity, Not Primary Beneficiary | SFL Linus | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Participation in equity method investee (percent) | 0.00% | 100.00% | 100.00% | |||||||||
Summarized balance sheet information [Abstract] | ||||||||||||
Current assets | 0 | $ 0 | $ 23,387,000 | |||||||||
Non-current assets | 0 | 0 | 360,958,000 | |||||||||
Total assets | 0 | 0 | 384,345,000 | |||||||||
Current liabilities | 0 | 0 | 25,903,000 | |||||||||
Non-current liabilities | 0 | 0 | 336,971,000 | |||||||||
Total liabilities | 0 | 0 | 362,874,000 | |||||||||
Total stockholders' equity | $ 0 | 0 | 21,471,000 | |||||||||
Statement of operations information [Abstract] | ||||||||||||
Operating revenues | 18,666,000 | 26,798,000 | $ 25,852,000 | |||||||||
Net operating revenues | 18,590,000 | 26,798,000 | 25,821,000 | |||||||||
Net income | $ 6,461,000 | $ 9,086,000 | $ 7,290,000 |
INVESTMENT IN ASSOCIATED COMP_4
INVESTMENT IN ASSOCIATED COMPANIES - Movement in Allowance for Expected Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2013 | Dec. 31, 2008 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 0 | ||||
Ending balance | $ 9,171 | $ 0 | |||
River Box | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Participation in equity method investee (percent) | 49.90% | 0.00% | 0.00% | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 0 | ||||
Transferred from associates | 0 | ||||
Addition from new associate | 786 | ||||
Allowance recorded in net income of associated company | 0 | ||||
Ending balance | 786 | $ 0 | |||
River Box | Cumulative Effect, Period Of Adoption, Adjustment | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 0 | ||||
Ending balance | $ 0 | ||||
SFL Hercules | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Participation in equity method investee (percent) | 100.00% | ||||
SFL Hercules | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Participation in equity method investee (percent) | 100.00% | 100.00% | 100.00% | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 0 | ||||
Transferred from associates | 0 | ||||
Addition from new associate | 0 | ||||
Allowance recorded in net income of associated company | 819 | ||||
Ending balance | 2,635 | $ 0 | |||
SFL Hercules | Cumulative Effect, Period Of Adoption, Adjustment | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 1,816 | ||||
Ending balance | 1,816 | ||||
SFL Deepwater, SFL Hercules, SFL Linus and River Box | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 0 | ||||
Transferred from associates | (35,665) | ||||
Addition from new associate | 786 | ||||
Allowance recorded in net income of associated company | 11,276 | ||||
Ending balance | 3,421 | 0 | |||
SFL Deepwater, SFL Hercules, SFL Linus and River Box | Cumulative Effect, Period Of Adoption, Adjustment | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 27,024 | ||||
Ending balance | $ 27,024 | ||||
SFL Deepwater | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Participation in equity method investee (percent) | 100.00% | ||||
SFL Deepwater | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Participation in equity method investee (percent) | 0.00% | 100.00% | 100.00% | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 0 | ||||
Transferred from associates | (32,964) | ||||
Addition from new associate | 0 | ||||
Allowance recorded in net income of associated company | 9,471 | ||||
Ending balance | 0 | $ 0 | |||
SFL Deepwater | Cumulative Effect, Period Of Adoption, Adjustment | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 23,493 | ||||
Ending balance | $ 23,493 | ||||
SFL Linus | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Participation in equity method investee (percent) | 100.00% | ||||
SFL Linus | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Participation in equity method investee (percent) | 0.00% | 100.00% | 100.00% | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 0 | ||||
Transferred from associates | (2,701) | ||||
Addition from new associate | 0 | ||||
Allowance recorded in net income of associated company | 986 | ||||
Ending balance | 0 | $ 0 | |||
SFL Linus | Cumulative Effect, Period Of Adoption, Adjustment | Variable Interest Entity, Not Primary Beneficiary | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | $ 1,715 | ||||
Ending balance | $ 1,715 |
ACCRUED EXPENSES (Details)
ACCRUED EXPENSES (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Accrued Liabilities [Abstract] | ||
Vessel operating expenses | $ 12,841 | $ 8,668 |
Administrative expenses | 1,603 | 1,694 |
Interest expense | 6,616 | 6,770 |
Accrued expenses | $ 21,060 | $ 17,132 |
OTHER CURRENT LIABILITIES (Deta
OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other Liabilities Disclosure [Abstract] | ||
Deferred and prepaid charter revenue | $ 15,156 | $ 10,000 |
Employee taxes | 34 | 3,117 |
Other items | 895 | 162 |
Other current liabilities | $ 16,085 | $ 13,279 |
SHORT-TERM AND LONG-TERM DEBT_2
SHORT-TERM AND LONG-TERM DEBT (Schedule of Long-Term Debt) (Details) | Dec. 31, 2020USD ($) | Dec. 31, 2020NOK (kr) | Jun. 30, 2020USD ($) | Jan. 21, 2020NOK (kr) | Dec. 31, 2019USD ($) | Dec. 31, 2019NOK (kr) | Jun. 04, 2019NOK (kr) | Jun. 22, 2017NOK (kr) | Oct. 05, 2016USD ($) |
Debt Instrument [Line Items] | |||||||||
Total debt principal | $ 1,663,394,000 | $ 1,627,177,000 | |||||||
Less: unamortized debt issuance costs | (14,325,000) | (19,089,000) | |||||||
Less : current portion of long-term debt | (484,956,000) | (253,059,000) | |||||||
Long-term debt | 1,164,113,000 | 1,355,029,000 | |||||||
Norwegian kroner 500 million senior unsecured floating rate bonds due 2020 | |||||||||
Debt Instrument [Line Items] | |||||||||
Term loan facility, principal amount | kr | kr 500,000,000 | ||||||||
Long-term debt, gross | 0 | 56,910,000 | |||||||
Total debt principal | 0 | kr 0 | 56,900,000 | kr 500,000,000 | |||||
5.75% unsecured convertible bonds due 2021 | |||||||||
Debt Instrument [Line Items] | |||||||||
Term loan facility, principal amount | $ 225,000,000 | ||||||||
Long-term debt, gross | 212,230,000 | 212,230,000 | |||||||
Norwegian kroner 700 million senior unsecured floating rate bonds due 2023 | |||||||||
Debt Instrument [Line Items] | |||||||||
Term loan facility, principal amount | 81,600,000 | 700,000,000 | 79,700,000 | 700,000,000 | |||||
Long-term debt, gross | 81,572,000 | 79,674,000 | |||||||
4.875% unsecured convertible bonds due 2023 | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt, gross | 139,900,000 | 148,300,000 | |||||||
Norwegian kroner 700 million senior unsecured floating rate bonds due 2024 | |||||||||
Debt Instrument [Line Items] | |||||||||
Term loan facility, principal amount | kr | 700,000,000 | kr 700,000,000 | |||||||
Long-term debt, gross | 80,989,000 | 79,674,000 | |||||||
Total debt principal | 81,000,000 | 695,000,000 | 79,700,000 | 700,000,000 | |||||
NOK600 Million Senior Unsecured Bonds due 2025 | |||||||||
Debt Instrument [Line Items] | |||||||||
Term loan facility, principal amount | kr | 600,000,000 | kr 600,000,000 | |||||||
Long-term debt, gross | 62,927,000 | 0 | |||||||
Total debt principal | 62,900,000 | kr 540,000,000 | 0 | kr 0 | |||||
Floating Rate Debt | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term debt, gross | 1,070,137,000 | 1,013,626,000 | |||||||
Common stock - Frontline Ltd | |||||||||
Debt Instrument [Line Items] | |||||||||
Term loan facility, principal amount | 15,600,000 | $ 36,800,000 | 36,800,000 | ||||||
Long-term debt, gross | $ 15,639,000 | $ 36,763,000 |
SHORT-TERM AND LONG-TERM DEBT_3
SHORT-TERM AND LONG-TERM DEBT (Schedule of Debt Principal) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Disclosure [Abstract] | ||
2021 | $ 484,956 | |
2022 | 262,059 | |
2023 | 493,535 | |
2024 | 227,703 | |
2025 | 195,141 | |
Thereafter | 0 | |
Total debt principal | $ 1,663,394 | $ 1,627,177 |
SHORT-TERM AND LONG-TERM DEBT_4
SHORT-TERM AND LONG-TERM DEBT (Interest Rate Information) (Details) | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Weighted average interest rate (in hundredths) | 2.91% | 4.27% |
US Dollar London Interbank Offered Rate ("LIBOR") | ||
Debt Instrument [Line Items] | ||
Three month U.S. Dollar LIBOR rate | 0.24% | 1.91% |
Norwegian Interbank Offered Rate ("NIBOR") | ||
Debt Instrument [Line Items] | ||
Three month Norwegian kroner NIBOR rate | 0.49% | 1.84% |
SHORT-TERM AND LONG-TERM DEBT_5
SHORT-TERM AND LONG-TERM DEBT (Narrative) (Details) | Jun. 22, 2020USD ($) | Jun. 22, 2020NOK (kr) | Sep. 13, 2018NOK (kr) | Apr. 23, 2018USD ($)$ / shares | Oct. 05, 2016USD ($)$ / sharesshares | Nov. 30, 2020USD ($) | Oct. 31, 2020USD ($) | May 31, 2020USD ($) | Mar. 31, 2020USD ($)subsidiarycarriervessel | Sep. 30, 2019USD ($)tankersubsidiary | Jun. 30, 2019USD ($)subsidiary | Mar. 31, 2019USD ($)subsidiarycarrier | Feb. 28, 2019USD ($)subsidiarytankercarrier | Dec. 31, 2018USD ($)carriersubsidiary | Jun. 30, 2018USD ($)vesselsubsidiary | Apr. 30, 2018USD ($)shares | Aug. 31, 2017USD ($)carriersubsidiary | Nov. 30, 2015USD ($)carriersubsidiary | Jul. 31, 2015USD ($)subsidiarycarrier | Dec. 31, 2014subsidiary | Nov. 30, 2014USD ($)subsidiaryvessel | Sep. 30, 2014USD ($)subsidiaryvessel | Jun. 30, 2014USD ($)subsidiaryvessel | Oct. 31, 2013USD ($) | May 31, 2011USD ($)vesselsubsidiary | Mar. 31, 2010USD ($) | Feb. 28, 2010USD ($) | Mar. 31, 2020USD ($)vesselcarrier | Mar. 31, 2020USD ($)vesselcarrier | Dec. 31, 2020USD ($)tankercarrier$ / sharesshares | Dec. 31, 2019USD ($)carriershares | Dec. 31, 2018USD ($)carrier | Dec. 31, 2017 | Dec. 31, 2016carrier | Dec. 31, 2020USD ($)tankercarrier$ / sharesshares | Dec. 31, 2020USD ($)tankercarrier$ / sharesshares | Dec. 31, 2020NOK (kr)tankercarriershares | Jun. 30, 2020USD ($)shares | Mar. 31, 2020NOK (kr)vesselcarrier | Jan. 21, 2020NOK (kr) | Dec. 31, 2019NOK (kr)carriershares | Jul. 30, 2019NOK (kr) | Jun. 04, 2019NOK (kr) | May 31, 2018vessel | May 04, 2018USD ($) | Jun. 22, 2017NOK (kr) | Nov. 30, 2016USD ($)shares | Dec. 30, 2014USD ($) |
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | $ 1,663,394,000 | $ 1,627,177,000 | $ 1,663,394,000 | $ 1,663,394,000 | ||||||||||||||||||||||||||||||||||||||||||||
Share price (usd per share) | $ / shares | $ 6.28 | $ 6.28 | $ 6.28 | |||||||||||||||||||||||||||||||||||||||||||||
Repurchase of bonds | $ 66,570,000 | 80,749,000 | $ 97,248,000 | |||||||||||||||||||||||||||||||||||||||||||||
Total authorized for share lending arrangement (in shares) | shares | 7,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 15 | |||||||||||||||||||||||||||||||||||||||||||||||
Gain on purchase of bonds and debt extinguishment | $ 67,533,000 | 1,802,000 | 1,146,000 | |||||||||||||||||||||||||||||||||||||||||||||
Number of car carriers | carrier | 2 | 2 | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||
Number of vessels acquired | vessel | 15 | 4 | ||||||||||||||||||||||||||||||||||||||||||||||
Restricted cash | $ 9,000,000 | 3,500,000 | $ 9,000,000 | $ 9,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Book value of consolidated assets pledged under ship mortgages | 1,864,000,000 | 1,753,000,000 | 1,864,000,000 | 1,864,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Financial Guarantee | SFL Linus | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, amount guaranteed | 102,500,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Financial Guarantee | SFL Deepwater | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, amount guaranteed | 0 | 84,700,000 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
5.75% unsecured convertible bonds due 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 212,200,000 | 212,200,000 | 212,200,000 | $ 212,200,000 | ||||||||||||||||||||||||||||||||||||||||||||
Interest rate | 5.75% | |||||||||||||||||||||||||||||||||||||||||||||||
Debt instrument, convertible, conversion ratio | 0.0562596000 | 0.065451000 | ||||||||||||||||||||||||||||||||||||||||||||||
Conversion price (in dollars per share) | $ / shares | $ 17.7747 | |||||||||||||||||||||||||||||||||||||||||||||||
4.875% unsecured convertible bonds due 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 150,000,000 | $ 14,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Gain on purchased bonds | 300,000 | 300,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | $ 139,900,000 | 148,300,000 | $ 139,900,000 | $ 139,900,000 | ||||||||||||||||||||||||||||||||||||||||||||
Interest rate | 4.875% | 4.875% | 4.875% | 4.875% | 4.875% | |||||||||||||||||||||||||||||||||||||||||||
Debt instrument, convertible, conversion ratio | 0.0528157000 | 0.0654462000 | ||||||||||||||||||||||||||||||||||||||||||||||
Conversion price (in dollars per share) | $ / shares | $ 18.93 | $ 13.92 | $ 13.92 | $ 13.92 | ||||||||||||||||||||||||||||||||||||||||||||
Principal amounts | $ 76,800,000 | $ 76,800,000 | $ 76,800,000 | |||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares loaned to affiliate (in shares) | shares | 3,765,842 | 3,765,842 | 3,765,842 | 3,765,842 | 3,765,842 | |||||||||||||||||||||||||||||||||||||||||||
Recognition of equity component arising from issuance | $ 6,800,000 | 7,100,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Amortization of deferred charges | 1,300,000 | 1,300,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Repurchase of bonds | 8,400,000 | 3,400,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Total allocated as the reacquisition of the equity component | 300,000 | 200,000 | $ 300,000 | $ 300,000 | ||||||||||||||||||||||||||||||||||||||||||||
US Dollar 40.0 million Senior Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 37,000,000 | 0 | 37,000,000 | 37,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of suezmax tankers against which loan was secured | carrier | 2 | 2 | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 2 years | |||||||||||||||||||||||||||||||||||||||||||||||
US Dollar 15.0 million Senior Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 12,800,000 | 0 | 12,800,000 | 12,800,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of vessels against which loan was secured | vessel | 3 | 3 | 3 | 3 | ||||||||||||||||||||||||||||||||||||||||||||
US Dollar 175.0 million Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 175,000,000 | $ 175,000,000 | $ 175,000,000 | |||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 165,500,000 | 0 | 165,500,000 | 165,500,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 4 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of container vessels | vessel | 4 | 4 | 4 | 4 | ||||||||||||||||||||||||||||||||||||||||||||
US Dollar 50.0 million Senior Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 50,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 48,600,000 | 0 | 48,600,000 | 48,600,000 | ||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
US Dollar 50.0 million Senior Secured Credit Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 50,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 50,000,000 | 0 | 50,000,000 | 50,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 4 years | |||||||||||||||||||||||||||||||||||||||||||||||
US Dollar 24.9 million Senior Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 20,300,000 | 22,900,000 | 20,300,000 | 20,300,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of vessels against which loan was secured | carrier | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
US Dollar 50 million Senior Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 50,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | $ 35,200,000 | 50,000,000 | $ 35,200,000 | $ 35,200,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 4 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of tankers chartered | tanker | 3 | 2 | 2 | 2 | 2 | |||||||||||||||||||||||||||||||||||||||||||
Number of tankers sold | tanker | 1 | 1 | 1 | 1 | ||||||||||||||||||||||||||||||||||||||||||||
Facility repurchased amount | $ 14,900,000 | |||||||||||||||||||||||||||||||||||||||||||||||
US Dollar 29.5 million Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 29,500,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 23,000,000 | 27,000,000 | $ 23,000,000 | $ 23,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of car carriers | carrier | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
US Dollar 33.1 million Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 33,100,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 28,800,000 | 33,100,000 | 28,800,000 | 28,800,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 5 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 4 years | |||||||||||||||||||||||||||||||||||||||||||||||
US Dollar 142.5 million Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 142,500,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 0 | 142,500,000 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of newbuilding crude oil tankers acquired | tanker | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
US Dollar 45 million secured term loan facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 45,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 45,000,000 | 45,000,000 | 45,000,000 | 45,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 7 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of container vessels | vessel | 7 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, extension term | 2 years | |||||||||||||||||||||||||||||||||||||||||||||||
SFL Deepwater | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 390,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Facility repurchased amount | $ 110,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 0 | 187,900,000 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Gain on purchase of bonds and debt extinguishment | 66,100,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, amount guaranteed | $ 0 | 84,700,000 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Debt instrument, repurchased face amount | $ 176,100,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, extension term | 4 years | |||||||||||||||||||||||||||||||||||||||||||||||
Norwegian kroner 500 million senior unsecured floating rate bonds due 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | kr | kr 500,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Facility repurchased amount | $ 19,500,000 | $ 19,500,000 | $ 19,500,000 | kr 174,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Gain on purchased bonds | 400,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Repayments of unsecured debt | $ 33,700,000 | kr 326,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | $ 0 | 56,900,000 | 0 | 0 | kr 0 | kr 500,000,000 | ||||||||||||||||||||||||||||||||||||||||||
Norwegian kroner 700 million senior unsecured floating rate bonds due 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | 81,600,000 | 79,700,000 | 81,600,000 | 81,600,000 | 700,000,000 | 700,000,000 | ||||||||||||||||||||||||||||||||||||||||||
Percentage of par of bonds issued | 101.625% | |||||||||||||||||||||||||||||||||||||||||||||||
NOK600million senior unsecured floating rate bonds due 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | kr | kr 600,000,000 | kr 100,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||
NOK700 Million Senior Unsecured Bonds due 2024 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | kr | 700,000,000 | kr 700,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Facility repurchased amount | 500,000 | 500,000 | 500,000 | 5,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Gain on purchased bonds | 0 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 81,000,000 | 79,700,000 | 81,000,000 | 81,000,000 | 695,000,000 | 700,000,000 | ||||||||||||||||||||||||||||||||||||||||||
NOK600 Million Senior Unsecured Bonds due 2025 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | kr | 600,000,000 | kr 600,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Facility repurchased amount | 6,000,000 | 6,000,000 | 6,000,000 | kr 60,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Gain on purchased bonds | 1,400,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 62,900,000 | 0 | 62,900,000 | 62,900,000 | kr 540,000,000 | kr 0 | ||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US Dollar 40.0 million Senior Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | 40,000,000 | 40,000,000 | 40,000,000 | |||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US Dollar 15.0 million Senior Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 15,000,000 | $ 15,000,000 | $ 15,000,000 | |||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US Dollar 24.9 million Senior Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 24,900,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US$ 43 million secured term loan facility (February 2010) | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 42,600,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 0 | 14,900,000 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US$ 43 million secured term loan facility (March 2010) | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 42,600,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 0 | 14,900,000 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US$ 171 million secured term loan facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 171,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 53,200,000 | 63,400,000 | 53,200,000 | 53,200,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 8 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 10 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of vessels against which loan was secured | vessel | 7 | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US Dollar 45 million secured term loan facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Available amount under revolving part of credit facility | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 20 million secured term loan facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 20,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 17,300,000 | 19,100,000 | 17,300,000 | 17,300,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of container vessels | vessel | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 128 million secured term loan facility (September 2014) | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 127,500,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 0 | 84,000,000 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of container vessels | vessel | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 7 years | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 128 million secured term loan facility (November 2014) | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 127,500,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 0 | 87,100,000 | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of container vessels | vessel | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 7 years | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 39 million secured term loan facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 39,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 21,800,000 | $ 24,300,000 | 21,800,000 | 21,800,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 8 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of drybulk carriers | carrier | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 166 million secured term loan facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 166,400,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 90,100,000 | $ 104,000,000 | 90,100,000 | 90,100,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 8 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of vessels against which loan was secured | carrier | 8 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 7 years | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 210 million secured term loan facility (Maersk) | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 210,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 99,500,000 | 160,800,000 | 99,500,000 | 99,500,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of vessels against which loan was secured | carrier | 3 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Number of vessels delivered | carrier | 1 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||
Facility repurchased amount | $ 49,200,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US Dollar 76 Million Secured Term Loan Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 76,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 59,100,000 | 64,300,000 | 59,100,000 | 59,100,000 | ||||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of vessels against which loan was secured | carrier | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 7 years | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 50 million secured term loan facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 50,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Term of loan in years | 7 years | |||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 50 million secured term loan facility (June 2018) | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 34,100,000 | 40,700,000 | 34,100,000 | 34,100,000 | ||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Debt | US dollar 17.5 million secured term loan facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 17,500,000 | 12,900,000 | 15,700,000 | $ 17,500,000 | 12,900,000 | 12,900,000 | ||||||||||||||||||||||||||||||||||||||||||
Number of wholly-owned subsidiaries of the Company that entered into secured term loan facility agreement | subsidiary | 2 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of vessels against which loan was secured | carrier | 2 | 2 | ||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Line of Credit | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt instrument, maturity date extension term | 4 years | |||||||||||||||||||||||||||||||||||||||||||||||
Line of Credit | US Dollar 475.0 million Term Loan And Revolving Credit Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 475,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 216,000,000 | 232,100,000 | 216,000,000 | 216,000,000 | ||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
Line of Credit | US Dollar 390.0 million Term Loan And Revolving Credit Facility | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 390,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 0 | 187,900,000 | $ 0 | $ 0 | ||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, term | 5 years | |||||||||||||||||||||||||||||||||||||||||||||||
5.75% unsecured convertible bonds due 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 225,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Repayments of unsecured debt | $ 0 | |||||||||||||||||||||||||||||||||||||||||||||||
Conversion price (in dollars per share) | $ / shares | $ 15.20 | $ 15.20 | $ 15.20 | |||||||||||||||||||||||||||||||||||||||||||||
Minimum dividend before convertible debt rate is adjusted (in dollars per share) | $ / shares | $ 0.225 | |||||||||||||||||||||||||||||||||||||||||||||||
Principal amounts | $ 124,500,000 | $ 124,500,000 | $ 124,500,000 | |||||||||||||||||||||||||||||||||||||||||||||
Common shares loan to affiliate | shares | 8,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Loan fee | $ 120,000 | $ 80,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Common stock, shares loaned to affiliate (in shares) | shares | 8,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Recognition of equity component arising from issuance | 4,000,000 | 4,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Amortization of deferred charges | 800,000 | 700,000 | ||||||||||||||||||||||||||||||||||||||||||||||
4.875% unsecured convertible bonds due 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Recognition of equity component arising from issuance | $ 7,900,000 | (300,000) | (200,000) | |||||||||||||||||||||||||||||||||||||||||||||
Common stock - Frontline Ltd | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Term loan facility, principal amount | $ 15,600,000 | $ 36,800,000 | $ 15,600,000 | $ 15,600,000 | $ 36,800,000 | |||||||||||||||||||||||||||||||||||||||||||
Forward contract to repurchase shares (shares) | shares | 3,400,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Number of shares sold (in shares) | shares | 2,000,000 | 7,600,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Secured borrowings, amount repaid | $ 21,100,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Investment owned (in shares) | shares | 1,400,000 | 3,400,000 | 1,400,000 | 1,400,000 | 1,400,000 | 1,400,000 | 3,400,000 | |||||||||||||||||||||||||||||||||||||||||
Forward contract to repurchase shares | $ 16,100,000 | $ 16,100,000 | $ 16,100,000 | |||||||||||||||||||||||||||||||||||||||||||||
Secured borrowings, liability recorded | $ 15,600,000 | $ 36,800,000 | $ 15,600,000 | $ 15,600,000 | ||||||||||||||||||||||||||||||||||||||||||||
Secured borrowings, collateral, percentage of repurchase price | 20.00% | 20.00% | 20.00% | 20.00% | ||||||||||||||||||||||||||||||||||||||||||||
Additional paid-in capital | 4.875% unsecured convertible bonds due 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Recognition of equity component arising from issuance | $ 7,906,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Additional paid-in capital | 5.75% unsecured convertible bonds due 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Recognition of equity component arising from issuance | $ 4,600,000 | |||||||||||||||||||||||||||||||||||||||||||||||
Additional paid-in capital | 4.875% unsecured convertible bonds due 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||
Recognition of equity component arising from issuance | $ 7,900,000 |
FINANCE LEASE LIABILITY (Schedu
FINANCE LEASE LIABILITY (Schedule of Finance Leases) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other Liabilities Disclosure [Abstract] | ||
Finance lease liability, current portion | $ 48,887 | $ 68,874 |
Finance lease liability, long-term portion | 524,200 | 1,037,553 |
Present value of finance lease liability | $ 573,087 | |
Finance lease liability, current portion | 68,874 | |
Finance lease liability, long-term portion | 1,037,553 | |
Present value of finance lease liability | $ 1,106,427 |
FINANCE LEASE LIABILITY (Narrat
FINANCE LEASE LIABILITY (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)vessel | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($)doNotUseVessel | |
Lessee, Lease, Description [Line Items] | |||
Finance lease, vessel bareboat charter period | 15 years | ||
Number of container vessels contracted to be chartered in | vessel | 4 | ||
Term of lease or charter | 5 years | ||
Number of years before option to buy vessel is available | 6 years | 6 years | |
Finance lease, interest expense | $ 59,600 | $ 62,800 | $ 21,800 |
River Box | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||
Lessee, Lease, Description [Line Items] | |||
Ownership percentage of disposed assets | 50.10% | ||
Investments in sales-type and direct financing leases | $ 540,908 | ||
Finance lease liability | $ (464,740) | ||
Minimum | |||
Lessee, Lease, Description [Line Items] | |||
Term of lease or charter | 6 years | 6 years | |
Maximum | |||
Lessee, Lease, Description [Line Items] | |||
Term of lease or charter | 11 years | 11 years | |
13,800 TEU Containership | |||
Lessee, Lease, Description [Line Items] | |||
Container vessels acquired | doNotUseVessel | 4 | ||
10,600 TEU Containership | |||
Lessee, Lease, Description [Line Items] | |||
Container vessels acquired | doNotUseVessel | 3 |
FINANCE LEASE LIABILITY (Sche_2
FINANCE LEASE LIABILITY (Schedule of Future Minimum Lease Payments) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other Liabilities Disclosure [Abstract] | ||
2021 | $ 74,735 | |
2022 | 74,735 | |
2023 | 74,735 | |
2024 | 433,866 | |
2025 | 0 | |
Thereafter | 0 | |
Total finance lease liability | 658,071 | |
Less: imputed interest payable | (84,984) | |
Finance lease liability | 573,087 | |
Less: current portion | (48,887) | $ (68,874) |
Finance lease liability, long-term portion | $ 524,200 | $ 1,037,553 |
SHARE CAPITAL, ADDITIONAL PAI_3
SHARE CAPITAL, ADDITIONAL PAID-IN CAPITAL AND CONTRIBUTED SURPLUS (Summary of Share Capital) (Details) - USD ($) | Dec. 31, 2020 | Aug. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2018 | Apr. 30, 2018 | Nov. 30, 2016 |
Stockholders' Equity Note [Abstract] | ||||||
Common shares, authorized (in shares) | 300,000,000 | 200,000,000 | 200,000,000 | 150,000,000 | ||
Share capital, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||
Common shares, authorized | $ 3,000,000 | $ 2,000,000 | $ 2,000,000 | $ 1,500,000 | ||
Share capital, shares issued (in shares) | 127,810,064 | 119,391,310 | ||||
Common stock, value, issued | $ 1,278,000 | $ 1,194,000 |
SHARE CAPITAL, ADDITIONAL PAI_4
SHARE CAPITAL, ADDITIONAL PAID-IN CAPITAL AND CONTRIBUTED SURPLUS (Additional Information) (Details) | Apr. 23, 2018USD ($)$ / shares | Oct. 05, 2016USD ($)$ / shares | May 31, 2018vesselshares | Apr. 30, 2018USD ($)$ / sharesshares | Oct. 31, 2017USD ($)shares | Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2018USD ($)$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | Aug. 31, 2020USD ($)shares | May 01, 2020USD ($)shares | Sep. 30, 2018USD ($)shares | Jun. 30, 2018vessel | May 04, 2018USD ($) | Feb. 28, 2018USD ($)shares | Nov. 30, 2016$ / sharesshares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
New shares issued (in shares) | shares | 6,869 | 18,246 | 0 | 6,869 | 6,869 | ||||||||||||
Proceeds from shares issued, net of issuance costs | $ 61,485,000 | $ 0 | $ 0 | ||||||||||||||
Common stock, value authorized | $ 3,000,000 | $ 2,000,000 | $ 3,000,000 | $ 3,000,000 | $ 2,000,000 | $ 1,500,000 | |||||||||||
Share capital, shares authorized (in shares) | shares | 300,000,000 | 200,000,000 | 300,000,000 | 300,000,000 | 200,000,000 | 150,000,000 | |||||||||||
Share capital, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | |||||||||||
Increase in authorized common stock (in shares) | shares | 100,000,000 | 50,000,000 | 100,000,000 | 100,000,000 | |||||||||||||
Options exercised (in shares) | shares | 17,500 | 65,000 | 0 | ||||||||||||||
Exercised (in dollars per share) | $ / shares | $ 8.63 | $ 9.92 | $ 0 | ||||||||||||||
Shares acquired (in shares) | shares | 4,024,984 | ||||||||||||||||
Number of vessels acquired | vessel | 4 | 15 | |||||||||||||||
Total authorized for share lending arrangement (in shares) | shares | 7,000,000 | ||||||||||||||||
Repurchase of bonds | $ 66,570,000 | $ 80,749,000 | $ 97,248,000 | ||||||||||||||
Long-term debt | 1,663,394,000 | 1,627,177,000 | $ 1,663,394,000 | $ 1,663,394,000 | |||||||||||||
4.875% unsecured convertible bonds due 2023 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
Recognition of equity component arising from issuance of 4.875% convertible bonds due 2023 | $ 7,900,000 | (300,000) | (200,000) | ||||||||||||||
Senior Unsecured Convertible Bonds due 2021 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
Common stock, shares loaned to affiliate (in shares) | shares | 8,000,000 | ||||||||||||||||
Recognition of equity component arising from issuance of 4.875% convertible bonds due 2023 | $ 4,000,000 | 4,000,000 | |||||||||||||||
Debt amount | $ 225,000,000 | ||||||||||||||||
Conversion price (in dollars per share) | $ / shares | $ 15.20 | $ 15.20 | $ 15.20 | ||||||||||||||
Contributed surplus | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
Dividends declared | $ (109,394,000) | (31,939,000) | |||||||||||||||
4.875% unsecured convertible bonds due 2023 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
Common stock, shares loaned to affiliate (in shares) | shares | 3,765,842 | 3,765,842 | 3,765,842 | 3,765,842 | |||||||||||||
Interest rate | 4.875% | 4.875% | 4.875% | 4.875% | |||||||||||||
Recognition of equity component arising from issuance of 4.875% convertible bonds due 2023 | $ 6,800,000 | 7,100,000 | |||||||||||||||
Repurchase of bonds | 8,400,000 | 3,400,000 | |||||||||||||||
Long-term debt | $ 139,900,000 | 148,300,000 | $ 139,900,000 | $ 139,900,000 | |||||||||||||
Debt amount | $ 150,000,000 | $ 14,000,000 | |||||||||||||||
Debt instrument, convertible, conversion ratio | 0.0528157000 | 0.0654462000 | |||||||||||||||
Conversion price (in dollars per share) | $ / shares | $ 18.93 | $ 13.92 | $ 13.92 | $ 13.92 | |||||||||||||
3.25% Senior Unsecured Convertible Bonds Due 2018 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
Interest rate | 3.25% | 3.25% | |||||||||||||||
Shares issued on conversion of convertible debt (in shares) | shares | 9,418,798 | ||||||||||||||||
Conversion of principal amount | $ 121,000,000 | ||||||||||||||||
3.25% Senior Unsecured Convertible Bonds Due 2018 | Senior Unsecured Convertible Bonds due 2018 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
New shares issued (in shares) | shares | 651,365 | ||||||||||||||||
Long-term debt | $ 63,200,000 | ||||||||||||||||
Senior Unsecured Convertible Bonds due 2021 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
Interest rate | 5.75% | ||||||||||||||||
Long-term debt | $ 212,200,000 | $ 212,200,000 | $ 212,200,000 | $ 212,200,000 | |||||||||||||
Debt instrument, convertible, conversion ratio | 0.0562596000 | 0.065451000 | |||||||||||||||
Conversion price (in dollars per share) | $ / shares | $ 17.7747 | ||||||||||||||||
Dividend Reinvestment Plan (DRIP) | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
Dividend reinvestment plan, maximum number of shares authorized (in shares) | shares | 10,000,000 | ||||||||||||||||
At The Market | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
Equity distribution agreement, maximum value of shares authorized | $ 100,000,000 | ||||||||||||||||
At The Market and Dividend Reinvestment Plan | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||||
New shares issued (in shares) | shares | 8,400,000 | 8,400,000 | 8,400,000 | ||||||||||||||
Proceeds from shares issued, net of issuance costs | $ 61,500,000 | ||||||||||||||||
Premium on issuance of new shares | $ 61,400,000 |
SHARE OPTION PLAN (Narrative) (
SHARE OPTION PLAN (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | ||
Feb. 29, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted (in shares) | 350,000 | 350,000 | 525,000 | 83,000 |
Expected life of options (in years) | 5 years | 2 years | 3 years 6 months | 3 years 6 months |
Vesting period | 3 years | |||
Granted (in dollars per share) | $ 13.45 | $ 13.45 | $ 12.19 | $ 14.67 |
Weighted average fair value of options granted (in dollars per share) | $ 1.76 | $ 2.68 | $ 3.49 | |
Risk free interest rate | 1.40% | 2.36% | 2.63% | |
Expected share price volatility | 21.60% | 25.00% | 29.50% | |
Expected dividend yield | 0.00% | 0.00% | 0.00% | |
Options exercised (in shares) | 17,500 | 65,000 | 0 | |
Total intrinsic value of options exercised during the period | $ 0.2 | $ 0.3 | ||
New shares issued (in shares) | 6,869 | 18,246 | 0 | |
Exercisable at end of year (in shares) | 418,167 | 236,167 | 111,500 | |
Intrinsic value of exercisable options | $ 0 | $ 1.2 | $ 0 | |
Weighted average remaining contractual term | 1 year 10 months 24 days | |||
Unrecognized compensation costs related to non-vested options granted | $ 0.7 | 0.8 | 0.3 | |
Unrecognized compensation costs | $ 0 | $ 2 | $ 0 | |
Unrecognized compensation costs, period of recognition (in years) | 8 months 12 days | 1 year 3 months 18 days | 1 year 4 months 24 days | |
Additional paid-in capital | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee stock options, compensation cost recognized in the period | $ 1 | |||
APIC, share-based payment arrangement, option, increase for cost recognition | $ 0.9 | $ 0.8 | $ 0.4 |
SHARE OPTION PLAN (Details)
SHARE OPTION PLAN (Details) - $ / shares | 1 Months Ended | 12 Months Ended | ||
Feb. 29, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Options | ||||
Options outstanding at beginning of year (in shares) | 835,000 | 417,500 | 369,500 | |
Granted (in shares) | 350,000 | 350,000 | 525,000 | 83,000 |
Options exercised (in shares) | (17,500) | (65,000) | 0 | |
Forfeited (in shares) | (85,000) | (42,500) | (35,000) | |
Options outstanding at end of year (in shares) | 1,082,500 | 835,000 | 417,500 | |
Exercisable at end of year (in shares) | 418,167 | 236,167 | 111,500 | |
Weighted average exercise price $ | ||||
Options outstanding at beginning of year (in dollars per share) | $ 10.72 | $ 11.43 | $ 12.20 | |
Granted (in dollars per share) | $ 13.45 | 13.45 | 12.19 | 14.67 |
Exercised (in dollars per share) | 8.63 | 9.92 | 0 | |
Forfeited (in dollars per share) | 11.02 | 11.80 | 10.03 | |
Options outstanding at end of year (in dollars per share) | 10.56 | 10.72 | 11.43 | |
Exercisable at end of year (in dollars per share) | $ 9.45 | $ 9.58 | $ 10.03 |
RELATED PARTY TRANSACTIONS (Sch
RELATED PARTY TRANSACTIONS (Schedule of Amounts Due From and to Related Parties, Excluding Direct Financing Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Related Party Transaction [Line Items] | ||
Total amount due from related parties | $ 7,718 | $ 22,399 |
Total loans to related parties - associated companies, long-term | 123,910 | 314,000 |
Total long-term receivables from related parties | 0 | 13,616 |
Total amount due to related parties | 2,724 | 3,980 |
Frontline Shipping | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 2,875 | 2,948 |
Total long-term receivables from related parties | 0 | 4,445 |
Total amount due to related parties | 836 | 3,884 |
Frontline | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 3,202 | 6,708 |
Total long-term receivables from related parties | 0 | 9,171 |
Total amount due to related parties | 1,826 | 47 |
Seadrill | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 3,613 | 51 |
Golden Ocean | ||
Related Party Transaction [Line Items] | ||
Total amount due to related parties | 23 | 0 |
Other related parties | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 2 | 4 |
Total amount due to related parties | 39 | 49 |
Affiliated Entity | ||
Related Party Transaction [Line Items] | ||
Allowance for expected credit losses | (1,974) | 0 |
SFL Linus | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 0 | 7,392 |
Total loans to related parties - associated companies, long-term | 0 | 121,000 |
Total amount due to related parties | 7,400 | |
SFL Deepwater | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 0 | 1,246 |
Total loans to related parties - associated companies, long-term | 0 | 113,000 |
Total amount due to related parties | 1,200 | |
SFL Hercules | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 0 | 3,423 |
Total loans to related parties - associated companies, long-term | 78,910 | 80,000 |
Total amount due to related parties | 3,400 | |
Golden Ocean | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 0 | 627 |
River Box | ||
Related Party Transaction [Line Items] | ||
Total amount due from related parties | 0 | 0 |
Total loans to related parties - associated companies, long-term | $ 45,000 | $ 0 |
RELATED PARTY TRANSACTIONS (Add
RELATED PARTY TRANSACTIONS (Additional Information) (Details) $ in Thousands | 1 Months Ended | 2 Months Ended | 12 Months Ended | |||
Feb. 28, 2021 | Sep. 30, 2017drillingRig | Dec. 31, 2020 | Dec. 31, 2020USD ($)drillingRig | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Related Party Transaction [Line Items] | ||||||
Gain on sale of subsidiaries, operating | $ 1,894 | $ 0 | $ 7,613 | |||
Number of drilling units | drillingRig | 3 | 3 | ||||
Minimum | West Linus and West Hercules | ||||||
Related Party Transaction [Line Items] | ||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 65.00% | 65.00% | ||||
Minimum | West Linus and West Hercules | Subsequent Event | ||||||
Related Party Transaction [Line Items] | ||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 65.00% | |||||
Maximum | West Linus and West Hercules | ||||||
Related Party Transaction [Line Items] | ||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 75.00% | 75.00% | ||||
Maximum | West Linus and West Hercules | Subsequent Event | ||||||
Related Party Transaction [Line Items] | ||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 75.00% | |||||
River Box | ||||||
Related Party Transaction [Line Items] | ||||||
Ownership percentage | 49.90% | 49.90% | ||||
River Box | Disposal Group, Disposed of by Sale, Not Discontinued Operations | ||||||
Related Party Transaction [Line Items] | ||||||
Ownership percentage of disposed assets | 50.10% | 50.10% | ||||
Net proceeds received | $ 17,500 | |||||
Gain on sale of subsidiaries, operating | $ 1,900 |
RELATED PARTY TRANSACTIONS (Rel
RELATED PARTY TRANSACTIONS (Related Party Leasing and Service Contracts) (Details) | 1 Months Ended | 12 Months Ended | ||||||||
Oct. 31, 2018USD ($) | Feb. 28, 2018USD ($) | Nov. 30, 2016shares | Feb. 29, 2016shares | Jun. 30, 2015USD ($)shares | Dec. 31, 2020USD ($)vesselcarriertankerRateshares | Dec. 31, 2019USD ($)vesseltankercarrierRateshares | Dec. 31, 2018USD ($)noteshares | Jun. 30, 2020shares | Jun. 05, 2015vessel | |
Related Party Transaction [Line Items] | ||||||||||
Payments to be received, next twelve months | $ 84,206,000 | |||||||||
Time charter rate for VLCCs from July 1, 2015 onwards | $ 20,000 | |||||||||
Time charter rate for Suezmax tankers from July 1, 2015 onwards | $ 15,000 | |||||||||
Number of shares received (in shares) | shares | 55,000,000 | |||||||||
Equity Securities pledged to creditors | $ 9,006,000 | $ 43,775,000 | ||||||||
Number of capesize drybulk carriers owned | carrier | 8 | |||||||||
Number of VLCC crude tankers under construction | tanker | 2 | |||||||||
Number of very large crude oil carriers owned | 2 | 3 | ||||||||
Profit sharing percent of earnings from Frontline from July 1, 2015 onwards | 50.00% | |||||||||
Due from related parties, current | $ 7,718,000 | $ 22,399,000 | ||||||||
Number of container vessels owned | vessel | 45 | |||||||||
Common stock - Frontline Ltd | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Number of shares sold (in shares) | shares | 2,000,000 | 7,600,000 | ||||||||
Investment owned (in shares) | shares | 1,400,000 | 3,400,000 | 1,400,000 | |||||||
Equity Securities pledged to creditors | $ 9,000,000 | $ 43,800,000 | ||||||||
Common stock - NorAm Drilling | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Number of shares received (in shares) | shares | 12,000,000 | |||||||||
Reverse stock split (in shares) | shares | 0.20 | |||||||||
Investment owned (in shares) | shares | 1,300,000 | 1,300,000 | 1,300,000 | |||||||
Front Circassia | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Compensation payable (receivable) for early contract termination of charter | $ 8,900,000 | |||||||||
Frontline Charterers | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Number of vessels leased to related parties classified as direct financing leases | vessel | 2 | 3 | 17 | |||||||
Combined balance of net investments in direct financing leases | $ 76,100,000 | $ 111,500,000 | ||||||||
Payments to be received, next twelve months | 6,300,000 | 8,300,000 | ||||||||
Due from related parties | $ 2,900,000 | $ 2,900,000 | ||||||||
Golden Ocean | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Lessee, operating lease, number of leased carriers | carrier | 8 | |||||||||
Property subject to or available for operating lease, number of units | vessel | 8 | |||||||||
Operating lease, right-of-use asset | $ 200,500,000 | $ 201,700,000 | ||||||||
Number of capesize drybulk carriers financed | carrier | 7 | |||||||||
Number of capesize drybulk carriers owned | carrier | 8 | |||||||||
Finance lease per vessel | $ 2,500,000 | |||||||||
Increase in charter hire per day | 1,535 | |||||||||
Number of dry bulk carriers operating on time-charters | carrier | 8 | |||||||||
Related party transactions profit share of earnings on lease vessels received from related party | 33.00% | |||||||||
Number of container vessels operating on time charter, subcontracted to related party | vessel | 16 | |||||||||
Number of drybulk carriers operating on time charter, sub contracted to related party | carrier | 14 | |||||||||
Frontline reverse stock split | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Number of shares received (in shares) | shares | 11,000,000 | |||||||||
Frontline Shipping | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Capitalized costs | $ 4,200,000 | |||||||||
Percentage share of joint costs | Rate | 50.00% | 50.00% | ||||||||
Compensation received on termination of charters, notes receivable | $ 4,400,000 | |||||||||
Due from related parties, current | $ 2,875,000 | $ 2,948,000 | ||||||||
Frontline | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Compensation received on termination of charters, notes receivable | $ 3,400,000 | $ 10,100,000 | ||||||||
Number of loan notes | note | 3 | |||||||||
Due from related parties, current | $ 3,200,000 | $ 6,700,000 | ||||||||
Frontline Management | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Number of container vessels operating on time charter, subcontracted to related party | vessel | 16 | |||||||||
Number of drybulk carriers operating on time charter, sub contracted to related party | carrier | 14 | |||||||||
Number of suezmax tankers operating on time charter, subcontracted to related party | tanker | 2 | |||||||||
Number of car carriers operating on time charter, subcontracted to related party | carrier | 2 | |||||||||
Number of product tankers operating on time charter, sub contracted to related party | tanker | 2 | |||||||||
Frontline Management | Vessels Leased to Frontline Charterers | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Management/operating fee per day | $ 9,000 | |||||||||
Golden Ocean Management | Golden Ocean | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Management/operating fee per day | $ 7,000 | |||||||||
Frontline Charterers | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Number of container vessels owned | vessel | 2 |
RELATED PARTY TRANSACTIONS (Sum
RELATED PARTY TRANSACTIONS (Summary of Leasing Revenues Earned From Related Parties) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | |||
Profit share | $ 18,677 | $ 5,615 | $ 1,779 |
Direct financing lease interest income | 1,744 | 3,796 | 9,623 |
Direct financing lease service revenue | 6,903 | 9,855 | 22,095 |
Golden Ocean | |||
Related Party Transaction [Line Items] | |||
Operating lease income | 52,000 | 51,100 | |
Operating lease income | 53,300 | ||
Profit share | 0 | 800 | 300 |
Frontline Shipping | |||
Related Party Transaction [Line Items] | |||
Profit share | 18,600 | 4,800 | 1,500 |
Direct financing lease interest income | 1,700 | 3,800 | 9,600 |
Direct financing lease service revenue | 6,900 | 9,900 | 22,100 |
Direct financing lease repayments | $ 6,500 | $ 7,900 | $ 16,800 |
RELATED PARTY TRANSACTIONS (S_2
RELATED PARTY TRANSACTIONS (Schedule of Fees Incurred with Related Parties) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | |||
Management fee, percentage | 1.25% | ||
Vessel Management Fees | $ 30,276 | $ 33,092 | $ 45,266 |
Administration Services Fees | 1,178 | 1,484 | 1,072 |
Due to related parties | 2,724 | 3,980 | |
Frontline Charterers | |||
Related Party Transaction [Line Items] | |||
Vessel Management Fees | 8,893 | 11,758 | 24,033 |
Commissions and Brokerage | 364 | 291 | 287 |
Administration Services Fees | 82 | 201 | 323 |
Golden Ocean | |||
Related Party Transaction [Line Items] | |||
Vessel Management Fees | 20,496 | 20,440 | 20,440 |
Administration Services Fees | 70 | 30 | 0 |
Operating Management Fees | 887 | 894 | 793 |
Due to related parties | 23 | 0 | |
Seatankers | |||
Related Party Transaction [Line Items] | |||
Administration Services Fees | 520 | 739 | 290 |
Seatankers Management Norway AS | |||
Related Party Transaction [Line Items] | |||
Office Facilities | 94 | 104 | 108 |
Frontline Management AS | |||
Related Party Transaction [Line Items] | |||
Office Facilities | 186 | 198 | 185 |
Frontline Corporate Services Ltd. | |||
Related Party Transaction [Line Items] | |||
Administration Services Fees | 226 | 212 | $ 166 |
Frontline Management and Frontline Management AS | |||
Related Party Transaction [Line Items] | |||
Due to related parties | $ 70 | $ 50 |
RELATED PARTY TRANSACTIONS (R_2
RELATED PARTY TRANSACTIONS (Related Party Loans – Associated Companies) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Related Party Transaction [Line Items] | ||
Due from related parties | $ 7,718 | $ 22,399 |
Total loans to related parties - associated companies, long-term | 123,910 | 314,000 |
River Box | ||
Related Party Transaction [Line Items] | ||
Loans advanced to related parties | 45,000 | |
Due to parent | 45,000 | |
Due from related parties | 0 | 0 |
Total loans to related parties - associated companies, long-term | 45,000 | 0 |
SFL Hercules | ||
Related Party Transaction [Line Items] | ||
Loans advanced to related parties | 145,000 | |
Due to parent | 78,900 | 80,000 |
Due from related parties | 0 | 3,423 |
Total loans to related parties - associated companies, long-term | 78,910 | 80,000 |
SFL Deepwater | ||
Related Party Transaction [Line Items] | ||
Loans advanced to related parties | 145,000 | |
Due to parent | 113,000 | |
Due from related parties | 0 | 1,246 |
Total loans to related parties - associated companies, long-term | 0 | 113,000 |
SFL Linus | ||
Related Party Transaction [Line Items] | ||
Loans advanced to related parties | 125,000 | |
Due to parent | 121,000 | |
Due from related parties | 0 | 7,392 |
Total loans to related parties - associated companies, long-term | $ 0 | $ 121,000 |
RELATED PARTY TRANSACTIONS (Int
RELATED PARTY TRANSACTIONS (Interest Income Received on Loans) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | |||
Interest income – related parties, long term loans to associated companies | $ 11,925 | $ 14,128 | $ 14,128 |
River Box | |||
Related Party Transaction [Line Items] | |||
Interest income – related parties, long term loans to associated companies | 0 | 0 | 0 |
SFL Deepwater | |||
Related Party Transaction [Line Items] | |||
Interest income – related parties, long term loans to associated companies | 3,800 | 5,100 | 5,100 |
SFL Hercules | |||
Related Party Transaction [Line Items] | |||
Interest income – related parties, long term loans to associated companies | 3,600 | 3,600 | 3,600 |
SFL Linus | |||
Related Party Transaction [Line Items] | |||
Interest income – related parties, long term loans to associated companies | $ 4,500 | $ 5,400 | $ 5,400 |
RELATED PARTY TRANSACTIONS (R_3
RELATED PARTY TRANSACTIONS (Related Party Purchases and Sales of Vessels) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | |||
Proceeds from sale of vessels and termination of charters | $ 210,920 | $ 0 | $ 145,654 |
Front Page | |||
Related Party Transaction [Line Items] | |||
Gain/(Loss) on sale of assets and termination of charters, net | 300 | ||
Front Stratus | |||
Related Party Transaction [Line Items] | |||
Gain/(Loss) on sale of assets and termination of charters, net | 200 | ||
Front Serenade | |||
Related Party Transaction [Line Items] | |||
Gain/(Loss) on sale of assets and termination of charters, net | 300 | ||
Front Page, Front Stratus Front Serenade | |||
Related Party Transaction [Line Items] | |||
Proceeds from sale of vessels and termination of charters | 22,500 | ||
Compensation received on termination of charters, notes receivable | $ 3,400 |
RELATED PARTY TRANSACTIONS (Lon
RELATED PARTY TRANSACTIONS (Long-Term Receivables From Related Parties) (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Feb. 29, 2020USD ($)vessel | Oct. 31, 2018USD ($) | Feb. 28, 2018USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Front Circassia | ||||||
Related Party Transaction [Line Items] | ||||||
Compensation received on termination of charters, notes receivable | $ 4,400 | |||||
Frontline Shipping | ||||||
Related Party Transaction [Line Items] | ||||||
Compensation received on termination of charters, notes receivable | $ 4,400 | |||||
Interest income received | $ 82 | $ 734 | $ 537 | |||
Repayment of notes receivable from related parties | 8,900 | 0 | 0 | |||
Frontline | ||||||
Related Party Transaction [Line Items] | ||||||
Compensation received on termination of charters, notes receivable | $ 3,400 | 10,100 | ||||
Interest income received | 97 | 908 | 340 | |||
Repayment of notes receivable from related parties | $ 11,000 | $ 1,700 | $ 500 | |||
Front Circassia | ||||||
Related Party Transaction [Line Items] | ||||||
Number of very large crude carriers sold | vessel | 1 | |||||
Notes compensation received on termination of charters, face value | $ 8,900 | |||||
Gain (loss) on settlement of loan notes receivable | $ 4,400 | |||||
Front Page, Front Stratus, Front Serenade And Front Ariake | ||||||
Related Party Transaction [Line Items] | ||||||
Number of very large crude carriers sold | vessel | 4 | |||||
Notes compensation received on termination of charters, face value | $ 11,000 | |||||
Compensation received on termination of charters, notes receivable | 11,000 | |||||
Gain (loss) on settlement of loan notes receivable | $ 0 |
RELATED PARTY TRANSACTIONS (Oth
RELATED PARTY TRANSACTIONS (Other Related Party Transactions) (Details) | 1 Months Ended | 12 Months Ended | ||||||||||
Feb. 29, 2020USD ($) | Dec. 31, 2019USD ($)shares | Dec. 31, 2018USD ($)shares | Nov. 30, 2018shares | Aug. 31, 2018USD ($)shares | May 31, 2018USD ($)subsidiaryvesselshares | Nov. 30, 2016USD ($)shares | Jun. 30, 2015shares | Dec. 31, 2020USD ($)shares | Dec. 31, 2019USD ($)shares | Dec. 31, 2018USD ($)shares | Jun. 30, 2018vessel | |
Related Party Transaction [Line Items] | ||||||||||||
Proceeds from sale of vessels and termination of charters | $ 210,920,000 | $ 0 | $ 145,654,000 | |||||||||
Termination fee | 3,200,000 | |||||||||||
Number of vessels acquired | vessel | 4 | 15 | ||||||||||
Interest payable to parent | 0 | 0 | 6,378,000 | |||||||||
Number of shares received (in shares) | shares | 55,000,000 | |||||||||||
Shares acquired (in shares) | shares | 4,024,984 | |||||||||||
Fair value | $ 12,753,000 | $ 13,245,000 | 9,431,000 | 12,753,000 | 13,245,000 | |||||||
Proceeds from sale of shares | 23,661,000 | 82,783,000 | 0 | |||||||||
Gain/(loss) on sale of vessels | 2,250,000 | 0 | (2,578,000) | |||||||||
Sterna Finance | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Number of wholly owned subsidiaries | subsidiary | 4 | |||||||||||
Debt amount | $ 320,000,000 | |||||||||||
Golden Close | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Fair value | $ 0 | 0 | 0 | 0 | 0 | |||||||
Proceeds from sale of shares | 45,600,000 | |||||||||||
Gain/(Loss) on investments in debt and equity securities | 13,500,000 | |||||||||||
Interest income received | 0 | 0 | 242,000 | |||||||||
Final dividend distribution | $ 2,000,000 | |||||||||||
Common Stock, ADS | ADS Maritime Holding | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Number of shares received (in shares) | shares | 4,000,000 | |||||||||||
Shares acquired | $ 10,000,000 | |||||||||||
Fair value | $ 8,900,000 | |||||||||||
Percentage of shares outstanding | 17.00% | |||||||||||
Investment owned (in shares) | shares | 4,000,000 | 4,000,000 | 4,000,000 | |||||||||
Common stock - NorAm Drilling | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Number of shares received (in shares) | shares | 12,000,000 | |||||||||||
Shares acquired | $ 700,000 | |||||||||||
Fair value | $ 3,900,000 | $ 3,900,000 | ||||||||||
Share consolidation ratio | 20 | |||||||||||
Number of shares held after share consolidation | shares | 601,023 | |||||||||||
Shares issued (in shares) | shares | 600,000 | |||||||||||
Shares acquired (in shares) | shares | 41,756 | |||||||||||
Investment owned (in shares) | shares | 1,300,000 | 1,300,000 | 1,300,000 | 1,300,000 | 1,300,000 | |||||||
Investment and debt securities, fair value | $ 1,500,000 | |||||||||||
NorAm Drilling | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Marketable securities, shares, redeemed (in shares) | shares | 500,000 | |||||||||||
Gain (loss) on redemption | $ 0 | |||||||||||
Disposition of investment | $ 300,000 | |||||||||||
Fair value | $ 4,690,000 | $ 5,200,000 | 4,643,000 | 4,690,000 | $ 5,200,000 | |||||||
ADS Crude Carriers Plc | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Long-term line of credit | 7,500,000 | 7,500,000 | ||||||||||
Ship Finance | ADS Crude Carriers Plc | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Long-term line of credit | $ 5,000,000 | $ 5,000,000 | ||||||||||
Percentage of long term line of credit provided | 67.00% | 67.00% | ||||||||||
Commitment fee amount | $ 50,000 | |||||||||||
Front Hakata | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Proceeds from sale of vessels and termination of charters | $ 33,500,000 | |||||||||||
Termination fee | $ 3,200,000 | |||||||||||
Gain/(loss) on sale of vessels | $ 1,400,000 | |||||||||||
Floating Rate Debt | Sterna Finance | ||||||||||||
Related Party Transaction [Line Items] | ||||||||||||
Term loan facility, term | 13 months |
RELATED PARTY TRANSACTIONS (Div
RELATED PARTY TRANSACTIONS (Dividends and Income Received) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | |||
Dividend income – related parties | $ 6,030 | $ 2,590 | $ 0 |
ADS Maritime Holding | |||
Related Party Transaction [Line Items] | |||
Dividend income – related parties | 2,930 | 261 | 0 |
Frontline | |||
Related Party Transaction [Line Items] | |||
Dividend income – related parties | 3,100 | 340 | 0 |
Golden Close | |||
Related Party Transaction [Line Items] | |||
Dividend income – related parties | 0 | 1,989 | 0 |
Interest income received | 0 | 0 | 242 |
NorAm Drilling | |||
Related Party Transaction [Line Items] | |||
Interest income received | $ 420 | $ 459 | $ 506 |
FINANCIAL INSTRUMENTS (Details)
FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Total derivative instruments - short-term assets | $ 0 | $ 520 |
Total derivative instruments - long-term assets | 3,406 | 3,479 |
Total derivative instruments - short-term liabilities | 1,572 | 6,067 |
Total derivative instruments - long-term liabilities | 32,712 | 20,579 |
Designated as Hedging Instrument | Interest Rate Swap | ||
Derivative [Line Items] | ||
Total derivative instruments - short-term assets | 0 | 520 |
Total derivative instruments - long-term assets | 0 | 377 |
Total derivative instruments - short-term liabilities | 703 | 6,067 |
Total derivative instruments - long-term liabilities | 7,926 | 5,477 |
Designated as Hedging Instrument | Cross Currency Interest Rate Contract | ||
Derivative [Line Items] | ||
Total derivative instruments - long-term assets | 28 | 189 |
Total derivative instruments - long-term liabilities | 3,006 | 2,105 |
Designated as Hedging Instrument | Cross Currency Swaps | ||
Derivative [Line Items] | ||
Total derivative instruments - long-term assets | 3,373 | 0 |
Total derivative instruments - long-term liabilities | 8,301 | 11,049 |
Not Designated as Hedging Instrument | Interest Rate Swap | ||
Derivative [Line Items] | ||
Total derivative instruments - long-term assets | 0 | 2,913 |
Total derivative instruments - short-term liabilities | 869 | 0 |
Total derivative instruments - long-term liabilities | 13,479 | 1,948 |
Not Designated as Hedging Instrument | Cross Currency Swaps | ||
Derivative [Line Items] | ||
Total derivative instruments - long-term assets | $ 5 | $ 0 |
FINANCIAL INSTRUMENTS (Interest
FINANCIAL INSTRUMENTS (Interest Rate Risk Management) (Details) | Dec. 31, 2020USD ($) | Dec. 31, 2020NOK (kr) | Jan. 21, 2020NOK (kr) | Dec. 31, 2019USD ($) | Dec. 31, 2019NOK (kr) | Jun. 04, 2019NOK (kr) |
Derivative [Line Items] | ||||||
Notional principal amount | $ 900,000,000 | $ 1,000,000,000 | ||||
NOK700 Million Senior Unsecured Bonds Due 2023 | ||||||
Derivative [Line Items] | ||||||
Debt amount | 81,600,000 | kr 700,000,000 | $ 79,700,000 | kr 700,000,000 | ||
NOK700 Million Senior Unsecured Bonds due 2024 | ||||||
Derivative [Line Items] | ||||||
Debt amount | kr | 700,000,000 | kr 700,000,000 | ||||
NOK600 Million Senior Unsecured Bonds due 2025 | ||||||
Derivative [Line Items] | ||||||
Debt amount | kr | kr 600,000,000 | kr 600,000,000 | ||||
$100,000 (remaining at $100,000) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | 100,000,000 | |||||
Notional principal, at maturity | $ 100,000,000 | |||||
$100,000 (remaining at $100,000) | Minimum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 2.50% | 2.50% | ||||
$100,000 (remaining at $100,000) | Maximum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 2.93% | 2.93% | ||||
$96,600 (terminating at $79,733) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 96,600,000 | |||||
Notional principal, at maturity | $ 79,733,000 | |||||
$96,600 (terminating at $79,733) | Minimum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 1.76% | 1.76% | ||||
$96,600 (terminating at $79,733) | Maximum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 1.85% | 1.85% | ||||
$100,000 (remaining at $100,000) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 100,000,000 | |||||
Notional principal, at maturity | $ 100,000,000 | |||||
$100,000 (remaining at $100,000) | Minimum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 1.85% | 1.85% | ||||
$100,000 (remaining at $100,000) | Maximum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 1.97% | 1.97% | ||||
$39,313 (reducing to $35,063) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 39,313,000 | |||||
Notional principal, at maturity | $ 35,063,000 | |||||
Fixed interest rate | 2.97% | 2.97% | ||||
$21,840 (reducing to $19,413) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 21,840,000 | |||||
Notional principal, at maturity | $ 19,413,000 | |||||
Fixed interest rate | 1.67% | 1.67% | ||||
$50,313 (remaining at $50,313) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 50,313,000 | |||||
Notional principal, at maturity | $ 50,313,000 | |||||
Fixed interest rate | 1.07% | 1.07% | ||||
$56,000 (remaining at $56,000) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 56,000,000 | |||||
Notional principal, at maturity | $ 56,000,000 | |||||
Fixed interest rate | 1.84% | 1.84% | ||||
$14,699 (equivalent to NOK128 million) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 14,699,000 | kr 128,000,000 | ||||
$14,699 (equivalent to NOK128 million) | Minimum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 6.70% | 6.70% | ||||
$14,699 (equivalent to NOK128 million) | Maximum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 6.77% | 6.77% | ||||
$11,254 (equivalent to NOK100 million) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 11,254,000 | kr 100,000,000 | ||||
Fixed interest rate | 6.378% | 6.378% | ||||
$30,000 (remaining at $30,000) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 30,000,000 | |||||
Notional principal, at maturity | $ 30,000,000 | |||||
Fixed interest rate | 2.15% | 2.15% | ||||
$48,332 (equivalent to NOK420 million) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 48,332,000 | kr 420,000,000 | ||||
$48,332 (equivalent to NOK420 million) | Minimum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 6.85% | 6.85% | ||||
$48,332 (equivalent to NOK420 million) | Maximum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 6.90% | 6.90% | ||||
$100,000 (remaining at $100,000) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 100,000,000 | |||||
Notional principal, at maturity | $ 100,000,000 | |||||
$100,000 (remaining at $100,000) | Minimum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 1.45% | 1.45% | ||||
$100,000 (remaining at $100,000) | Maximum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 1.60% | 1.60% | ||||
$67,500 (remaining at $67,500) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 67,500,000 | |||||
Notional principal, at maturity | $ 67,500,000 | |||||
Fixed interest rate | 1.40% | 1.40% | ||||
$159,777 (reducing to $92,233) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 159,777,000 | |||||
Notional principal, at maturity | $ 92,233,000 | |||||
$159,777 (reducing to $92,233) | Minimum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 0.46% | 0.46% | ||||
$159,777 (reducing to $92,233) | Maximum | ||||||
Derivative [Line Items] | ||||||
Fixed interest rate | 0.47% | 0.47% | ||||
$48,610 (reducing to $45,135) | ||||||
Derivative [Line Items] | ||||||
Notional principal amount | $ 48,610,000 | |||||
Notional principal, at maturity | $ 45,135,000 | |||||
Fixed interest rate | 0.28% | 0.28% |
FINANCIAL INSTRUMENTS (Foreign
FINANCIAL INSTRUMENTS (Foreign Currency Risk Management) (Details) | Dec. 31, 2020USD ($) | Dec. 31, 2020NOK (kr) | Dec. 31, 2019USD ($) |
Derivative [Line Items] | |||
Debt amount | $ 900,000,000 | $ 1,000,000,000 | |
Designated as Hedging Instrument | Cross Currency Interest Rate Contract due September 2023 | |||
Derivative [Line Items] | |||
Debt amount | 76,800,000 | kr 600,000,000 | |
Designated as Hedging Instrument | Cross Currency Interest Rate Contract due September 2023 | |||
Derivative [Line Items] | |||
Debt amount | 11,300,000 | 100,000,000 | |
Designated as Hedging Instrument | Cross Currency Interest Rate Contract due June 2024 | |||
Derivative [Line Items] | |||
Debt amount | 80,500,000 | 700,000,000 | |
Designated as Hedging Instrument | Cross Currency Interest Rate Contract due January 2025 | |||
Derivative [Line Items] | |||
Debt amount | $ 67,500,000 | kr 600,000,000 |
FINANCIAL INSTRUMENTS (Fair Val
FINANCIAL INSTRUMENTS (Fair Value and Carrying Value) (Details) $ in Thousands, kr in Millions | Dec. 31, 2020USD ($) | Dec. 31, 2020NOK (kr) | Dec. 31, 2019USD ($) | Dec. 31, 2019NOK (kr) | Dec. 31, 2018USD ($) |
Non-derivatives: | |||||
Available-for-sale debt securities | $ 9,431 | $ 12,753 | $ 13,245 | ||
Equity securities | 19,374 | 61,326 | $ 73,929 | ||
Equity Securities pledged to creditors | 9,006 | 43,775 | |||
Long-term debt | 1,663,394 | 1,627,177 | |||
Derivatives: | |||||
Financial instruments at fair value, current portion | 0 | 520 | |||
Interest rate/ currency swap contracts – long-term receivables | 3,406 | 3,479 | |||
Long term receivables, non-designated swap contracts | 0 | 2,900 | |||
Long term payables, non-designated swap contracts | 13,500 | 1,900 | |||
Not Designated as Hedging Instrument | |||||
Derivatives: | |||||
Interest rate/ currency swap contracts – short-term payables | 900 | 0 | |||
5.75% unsecured convertible bonds due 2021 | |||||
Non-derivatives: | |||||
Long-term debt | 212,200 | 212,200 | |||
4.875% unsecured convertible bonds due 2023 | |||||
Non-derivatives: | |||||
Long-term debt | 139,900 | 148,300 | |||
NOK500million senior unsecured floating rate bonds due 2020 | |||||
Non-derivatives: | |||||
Long-term debt | 0 | kr 0 | 56,900 | kr 500 | |
NOK700 Million Senior Unsecured Bonds due 2024 | |||||
Non-derivatives: | |||||
Long-term debt | 81,000 | 695 | 79,700 | 700 | |
NOK600 Million Senior Unsecured Bonds due 2025 | |||||
Non-derivatives: | |||||
Long-term debt | 62,900 | kr 540 | 0 | kr 0 | |
Fair Value, Recurring | Carrying value | |||||
Non-derivatives: | |||||
Available-for-sale debt securities | 9,431 | 12,753 | |||
Equity securities | 10,367 | 17,551 | |||
Equity Securities pledged to creditors | 9,007 | 43,775 | |||
Derivatives: | |||||
Financial instruments at fair value, current portion | 0 | 520 | |||
Interest rate/ currency swap contracts – long-term receivables | 3,406 | 3,479 | |||
Interest rate/ currency swap contracts – short-term payables | 1,572 | 6,067 | |||
Interest rate/ currency swap contracts – long-term payables | 32,712 | 20,579 | |||
Fair Value, Recurring | Fair value | |||||
Non-derivatives: | |||||
Available-for-sale debt securities | 9,431 | 12,753 | |||
Equity securities | 10,367 | 17,551 | |||
Equity Securities pledged to creditors | 9,007 | 43,775 | |||
Derivatives: | |||||
Financial instruments at fair value, current portion | 0 | 520 | |||
Interest rate/ currency swap contracts – long-term receivables | 3,406 | 3,479 | |||
Interest rate/ currency swap contracts – short-term payables | 1,572 | 6,067 | |||
Interest rate/ currency swap contracts – long-term payables | 32,712 | 20,579 | |||
Fair Value, Recurring | 5.75% unsecured convertible bonds due 2021 | Carrying value | |||||
Non-derivatives: | |||||
Long-term debt | 212,230 | 212,230 | |||
Fair Value, Recurring | 5.75% unsecured convertible bonds due 2021 | Fair value | |||||
Non-derivatives: | |||||
Long-term debt | 199,496 | 227,025 | |||
Fair Value, Recurring | 4.875% unsecured convertible bonds due 2023 | Carrying value | |||||
Non-derivatives: | |||||
Long-term debt | 139,900 | 148,300 | |||
Fair Value, Recurring | 4.875% unsecured convertible bonds due 2023 | Fair value | |||||
Non-derivatives: | |||||
Long-term debt | 123,112 | 165,503 | |||
Fair Value, Recurring | NOK500million senior unsecured floating rate bonds due 2020 | Carrying value | |||||
Non-derivatives: | |||||
Long-term debt | 0 | 56,910 | |||
Fair Value, Recurring | NOK500million senior unsecured floating rate bonds due 2020 | Fair value | |||||
Non-derivatives: | |||||
Long-term debt | 0 | 58,191 | |||
Fair Value, Recurring | NOK700 Million Senior Unsecured Bonds Due 2023 | Carrying value | |||||
Non-derivatives: | |||||
Long-term debt | 81,572 | 79,674 | |||
Fair Value, Recurring | NOK700 Million Senior Unsecured Bonds Due 2023 | Fair value | |||||
Non-derivatives: | |||||
Long-term debt | 78,513 | 81,567 | |||
Fair Value, Recurring | NOK700 Million Senior Unsecured Bonds due 2024 | Carrying value | |||||
Non-derivatives: | |||||
Long-term debt | 80,989 | 79,674 | |||
Fair Value, Recurring | NOK700 Million Senior Unsecured Bonds due 2024 | Fair value | |||||
Non-derivatives: | |||||
Long-term debt | 76,940 | 79,674 | |||
Fair Value, Recurring | NOK600 Million Senior Unsecured Bonds due 2025 | Carrying value | |||||
Non-derivatives: | |||||
Long-term debt | 62,927 | 0 | |||
Fair Value, Recurring | NOK600 Million Senior Unsecured Bonds due 2025 | Fair value | |||||
Non-derivatives: | |||||
Long-term debt | $ 57,421 | $ 0 |
FINANCIAL INSTRUMENTS (Fair V_2
FINANCIAL INSTRUMENTS (Fair Value Hierarchy) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Apr. 30, 2018 | Oct. 05, 2016 |
Assets: | |||||
Available-for-sale debt securities | $ 9,431 | $ 12,753 | $ 13,245 | ||
Equity securities | 19,374 | 61,326 | $ 73,929 | ||
Equity Securities pledged to creditors | 9,006 | 43,775 | |||
Financial instruments at fair value, current portion | 0 | 520 | |||
Interest rate/ currency swap contracts – long-term receivables | $ 3,406 | 3,479 | |||
Senior Unsecured Convertible Bonds due 2021 | |||||
Liabilities: | |||||
Interest rate | 5.75% | ||||
Senior Unsecured Convertible Bonds due 2023 | |||||
Liabilities: | |||||
Interest rate | 4.875% | 4.875% | |||
Fair Value, Recurring | Fair Value, Inputs, Level 2 | |||||
Assets: | |||||
Available-for-sale debt securities | $ 4,800 | 8,100 | |||
Fair Value, Recurring | Fair value | |||||
Assets: | |||||
Available-for-sale debt securities | 9,431 | 12,753 | |||
Equity securities | 10,367 | 17,551 | |||
Equity Securities pledged to creditors | 9,007 | 43,775 | |||
Financial instruments at fair value, current portion | 0 | 520 | |||
Interest rate/ currency swap contracts – long-term receivables | 3,406 | 3,479 | |||
Total assets | 32,211 | 78,078 | |||
Liabilities: | |||||
Floating rate NOK bonds due 2020 | 58,191 | ||||
Floating rate NOK bonds due 2023 | 78,513 | 81,567 | |||
Floating rate NOK bonds due 2024 | 76,940 | 79,674 | |||
Floating rate NOK bonds due 2025 | 57,421 | ||||
Interest rate/ currency swap contracts – short-term payables | 1,572 | 6,067 | |||
Interest rate/ currency swap contracts – long-term payables | 32,712 | 20,579 | |||
Total liabilities | 569,766 | 638,606 | |||
Fair Value, Recurring | Fair value | Senior Unsecured Convertible Bonds due 2021 | |||||
Liabilities: | |||||
Unsecured convertible bonds | 199,496 | 227,025 | |||
Fair Value, Recurring | Fair value | Senior Unsecured Convertible Bonds due 2023 | |||||
Liabilities: | |||||
Unsecured convertible bonds | 123,112 | 165,503 | |||
Fair Value, Recurring | Fair value | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||||
Assets: | |||||
Available-for-sale debt securities | 4,643 | 4,690 | |||
Equity securities | 10,367 | 17,551 | |||
Equity Securities pledged to creditors | 9,007 | 43,775 | |||
Total assets | 24,017 | 66,016 | |||
Liabilities: | |||||
Floating rate NOK bonds due 2020 | 58,191 | ||||
Floating rate NOK bonds due 2023 | 78,513 | 81,567 | |||
Floating rate NOK bonds due 2024 | 76,940 | 79,674 | |||
Floating rate NOK bonds due 2025 | 57,421 | ||||
Total liabilities | 535,482 | 611,960 | |||
Fair Value, Recurring | Fair value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Senior Unsecured Convertible Bonds due 2021 | |||||
Liabilities: | |||||
Unsecured convertible bonds | 199,496 | ||||
Fair Value, Recurring | Fair value | Quoted Prices in Active Markets for Identical Assets (Level 1) | Senior Unsecured Convertible Bonds due 2023 | |||||
Liabilities: | |||||
Unsecured convertible bonds | 123,112 | 165,503 | |||
Fair Value, Recurring | Fair value | Fair Value, Inputs, Level 2 | |||||
Assets: | |||||
Available-for-sale debt securities | 4,788 | 8,063 | |||
Financial instruments at fair value, current portion | 520 | ||||
Interest rate/ currency swap contracts – long-term receivables | 3,406 | 3,479 | |||
Total assets | 8,194 | 12,062 | |||
Liabilities: | |||||
Interest rate/ currency swap contracts – short-term payables | 1,572 | 6,067 | |||
Interest rate/ currency swap contracts – long-term payables | 32,712 | 20,579 | |||
Total liabilities | 34,284 | 26,646 | |||
Fair Value, Recurring | Fair value | Significant Unobservable Inputs (Level 3) | |||||
Assets: | |||||
Available-for-sale debt securities | 0 | ||||
Total assets | 0 | 0 | |||
Liabilities: | |||||
Total liabilities | $ 0 | $ 0 |
FINANCIAL INSTRUMENTS (Concentr
FINANCIAL INSTRUMENTS (Concentrations of Risk) (Details) | 1 Months Ended | 2 Months Ended | 12 Months Ended | ||
Sep. 30, 2017drillingRig | Dec. 31, 2020USD ($)doNotUseVesselvessel | Dec. 31, 2020USD ($)vesseldoNotUseVesseldrillingRig | Dec. 31, 2019USD ($)vessel | Dec. 31, 2018 | |
Concentration Risk [Line Items] | |||||
Number of container vessels contracted to be chartered in | vessel | 4 | 4 | |||
Number of drilling units | drillingRig | 3 | 3 | |||
Total loans to related parties - associated companies, long-term | $ 123,910,000 | $ 123,910,000 | $ 314,000,000 | ||
River Box | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||||
Concentration Risk [Line Items] | |||||
Ownership percentage of disposed assets | 50.10% | 50.10% | |||
Frontline Charterers | Revenue from Contract with Customer Benchmark | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 6.00% | 4.00% | 8.00% | ||
Golden Ocean | Revenue from Contract with Customer Benchmark | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 11.00% | 11.00% | 13.00% | ||
MSC | Revenue from Contract with Customer Benchmark | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 13.00% | 14.00% | 11.00% | ||
Maersk | Revenue from Contract with Customer Benchmark | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 29.00% | 30.00% | 27.00% | ||
Evergreen Marine | Revenue from Contract with Customer Benchmark | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 15.00% | 14.00% | 10.00% | ||
Seadrill | Comprehensive Income | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 7.20% | 35.00% | 39.10% | ||
Customer Concentration Risk | Revenue from Contract with Customer Benchmark | Seadrill | |||||
Concentration Risk [Line Items] | |||||
Concentration risk, percentage | 1.00% | 0.00% | 0.00% | ||
Frontline Shipping | Frontline | |||||
Concentration Risk [Line Items] | |||||
Noncontrolling interest, ownership percentage by parent | 100.00% | 100.00% | |||
Seadrill | |||||
Concentration Risk [Line Items] | |||||
Total loans to related parties - associated companies, long-term | $ 123,900,000 | $ 123,900,000 | $ 326,100,000 | ||
River Box | |||||
Concentration Risk [Line Items] | |||||
Ownership percentage | 49.90% | 49.90% | |||
Total loans to related parties - associated companies, long-term | $ 45,000,000 | $ 45,000,000 | $ 0 | ||
MSC | |||||
Concentration Risk [Line Items] | |||||
Number of container vessels contracted to be chartered in | doNotUseVessel | 32 | 32 | |||
Maersk | |||||
Concentration Risk [Line Items] | |||||
Number of container vessels contracted to be chartered in | doNotUseVessel | 12 | 12 | |||
Evergreen Marine | |||||
Concentration Risk [Line Items] | |||||
Number of container vessels contracted to be chartered in | doNotUseVessel | 4 | 4 | |||
Frontline | |||||
Concentration Risk [Line Items] | |||||
Guarantee compliance, minimum free cash | $ 2,000,000 | $ 2,000,000 | |||
Management/operating fee per day | $ 9,000 | ||||
Golden Ocean | |||||
Concentration Risk [Line Items] | |||||
Property subject to or available for operating lease, number of units | vessel | 8 | ||||
West Linus and West Hercules | Minimum | |||||
Concentration Risk [Line Items] | |||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 65.00% | 65.00% | |||
West Linus and West Hercules | Maximum | |||||
Concentration Risk [Line Items] | |||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 75.00% | 75.00% | |||
Financial Guarantee | |||||
Concentration Risk [Line Items] | |||||
Guarantor obligations, current carrying value | $ 83,100,000 | $ 83,100,000 | $ 266,100,000 |
ALLOWANCE FOR EXPECTED CREDIT_3
ALLOWANCE FOR EXPECTED CREDIT LOSSES (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($) | Oct. 31, 2020subsidiary | Dec. 31, 2019USD ($) | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | $ 0 | ||
Impact of the adoption of ASU 2016-13 on retained earnings | $ 5,614 | ||
Additions from associates | 3,361 | ||
Sale of subsidiary | (1,575) | ||
Change in allowance recorded in 'other financial items' | 1,771 | ||
Ending balance | $ 9,171 | ||
Number equity method investments consolidated | subsidiary | 2 | ||
River Box | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Ownership percentage of disposed assets | 50.10% | ||
Trade receivables | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | $ 0 | ||
Impact of the adoption of ASU 2016-13 on retained earnings | 19 | ||
Change in allowance recorded in 'other financial items' | 14 | ||
Ending balance | 33 | ||
Other receivables | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 0 | ||
Impact of the adoption of ASU 2016-13 on retained earnings | 580 | ||
Change in allowance recorded in 'other financial items' | 301 | ||
Ending balance | 881 | ||
Related Party receivables | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 0 | ||
Impact of the adoption of ASU 2016-13 on retained earnings | 206 | ||
Additions from associates | 1,336 | ||
Change in allowance recorded in 'other financial items' | 431 | ||
Ending balance | 1,973 | ||
Investment in sales-type, direct financing leases and leaseback assets | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 0 | ||
Impact of the adoption of ASU 2016-13 on retained earnings | 4,799 | ||
Additions from associates | 2,025 | ||
Sale of subsidiary | (1,575) | ||
Change in allowance recorded in 'other financial items' | (859) | ||
Ending balance | 4,390 | ||
Other long-term assets | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 0 | ||
Impact of the adoption of ASU 2016-13 on retained earnings | $ 10 | ||
Change in allowance recorded in 'other financial items' | 1,884 | ||
Ending balance | $ 1,894 |
COMMITMENTS AND CONTINGENT LI_3
COMMITMENTS AND CONTINGENT LIABILITIES (Book Value of Assets Pledged) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other Commitments [Line Items] | ||
Book value of consolidated assets pledged under ship mortgages | $ 1,864,000 | $ 1,753,000 |
Vessels and equipment, net | ||
Other Commitments [Line Items] | ||
Book value of consolidated assets pledged under ship mortgages | 1,189,000 | 1,352,000 |
Investments in sales-type, direct financing leases and leaseback assets | ||
Other Commitments [Line Items] | ||
Book value of consolidated assets pledged under ship mortgages | $ 675,000 | $ 401,000 |
COMMITMENTS AND CONTINGENT LI_4
COMMITMENTS AND CONTINGENT LIABILITIES (Book Value of Assets with Finance Lease Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other Commitments [Line Items] | ||
Total book value | $ 697,000 | $ 1,277,000 |
Vessels under finance lease, net | ||
Other Commitments [Line Items] | ||
Total book value | 697,000 | 714,000 |
Investments in direct financing leases | ||
Other Commitments [Line Items] | ||
Total book value | $ 0 | $ 563,000 |
COMMITMENTS AND CONTINGENT LI_5
COMMITMENTS AND CONTINGENT LIABILITIES (Narrative) (Details) shares in Millions | 12 Months Ended | ||||
Dec. 31, 2020USD ($)vesselshares | Sep. 30, 2020shares | Jun. 30, 2020USD ($)shares | Dec. 31, 2019USD ($)vesselshares | May 31, 2013USD ($) | |
Loss Contingencies [Line Items] | |||||
Long-term debt | $ 1,663,394,000 | $ 1,627,177,000 | |||
Restricted cash | 8,953,000 | 3,495,000 | |||
Total loans to related parties - associated companies, long-term | 123,910,000 | 314,000,000 | |||
Long-term purchase commitment, amount | 0 | ||||
SFL Hercules | |||||
Loss Contingencies [Line Items] | |||||
Long-term debt | 185,800,000 | ||||
Debt amount | $ 375,000,000 | ||||
Total loans to related parties - associated companies, long-term | $ 78,910,000 | $ 80,000,000 | |||
Common stock - Frontline Ltd | |||||
Loss Contingencies [Line Items] | |||||
Investment owned (in shares) | shares | 1.4 | 1.4 | 3.4 | ||
Debt amount | $ 15,600,000 | $ 36,800,000 | $ 36,800,000 | ||
Long-term debt, gross | 15,639,000 | 36,763,000 | |||
Financial Guarantee | |||||
Loss Contingencies [Line Items] | |||||
Guarantor obligations, current carrying value | 83,100,000 | 266,100,000 | |||
Debt for Acquired Equipment | |||||
Loss Contingencies [Line Items] | |||||
Long-term line of credit | 1,700,000,000 | ||||
Debt for Acquired Equipment | Equity Accounted Subsidiaries | |||||
Loss Contingencies [Line Items] | |||||
Long-term debt | 185,800,000 | 201,900,000 | |||
Debt for Acquired Equipment | Company and Subsidiaries | |||||
Loss Contingencies [Line Items] | |||||
Long-term line of credit | 1,800,000,000 | $ 2,200,000,000 | |||
Frontline Forward Contract | |||||
Loss Contingencies [Line Items] | |||||
Investment owned (in shares) | shares | 3.4 | ||||
Investment owned | 9,000,000 | $ 43,800,000 | |||
Frontline Forward Contract | Common stock - Frontline Ltd | |||||
Loss Contingencies [Line Items] | |||||
Investment owned (in shares) | shares | 1.4 | ||||
Installation of scrubbers | |||||
Loss Contingencies [Line Items] | |||||
Other commitment | $ 5,800,000 | $ 33,400,000 | |||
Number of vessels committed to vessel upgrades | vessel | 9 | 13 | |||
Installation of BWTS | |||||
Loss Contingencies [Line Items] | |||||
Other commitment | $ 7,000,000 | $ 9,200,000 | |||
Number of vessels committed to vessel upgrades | vessel | 16 | 18 |
CONSOLIDATED VARIABLE INTERES_2
CONSOLIDATED VARIABLE INTEREST ENTITIES (Details) $ in Thousands | Dec. 31, 2020USD ($)variable_interest_entity | Dec. 31, 2019USD ($) |
Variable Interest Entity [Line Items] | ||
Long-term debt | $ 1,663,394 | $ 1,627,177 |
Current portion of debt | 484,956 | 253,059 |
Vessels under finance lease, net | 697,380 | 714,476 |
Finance lease liability | 573,087 | |
Finance lease liability, current portion | $ 48,887 | $ 68,874 |
Variable Interest Entity, Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Number of variable interest entities | variable_interest_entity | 41 | |
VIEs with sales-type leases, direct financing leases, and leaseback assets | variable_interest_entity | 28 | |
Net investment in lease | $ 583,600 | |
Residual value of leased asset | 579,900 | |
Long-term debt | 356,400 | |
Current portion of debt | $ 73,800 | |
VIEs, number with operating lease assets | variable_interest_entity | 10 | |
Operating lease, right-of-use asset | $ 232,500 | |
Operating lease liability | 90,100 | |
Operating lease liability, current | $ 13,900 | |
VIEs, number with finance lease assets | variable_interest_entity | 3 | |
Vessels under finance lease, net | $ 297,000 | |
Finance lease liability | 231,800 | |
Finance lease liability, current portion | 20,000 | |
Unearned Lease Income | $ 161,300 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) $ / shares in Units, $ in Millions | Feb. 17, 2021 | Mar. 31, 2021 | Feb. 28, 2021 | Jan. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Subsequent Event [Line Items] | ||||||||
Shares issued (in shares) | 8,418,754 | 18,246 | 8,442,191 | |||||
West Linus and West Hercules | Minimum | ||||||||
Subsequent Event [Line Items] | ||||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 65.00% | 65.00% | ||||||
West Linus and West Hercules | Maximum | ||||||||
Subsequent Event [Line Items] | ||||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 75.00% | 75.00% | ||||||
Subsequent Event | ||||||||
Subsequent Event [Line Items] | ||||||||
Shares issued (in shares) | 300,000 | |||||||
Dividend declared (in dollars per share) | $ 0.15 | |||||||
Subsequent Event | Equity Securities | ||||||||
Subsequent Event [Line Items] | ||||||||
Disposition of investment | $ 0.8 | |||||||
Subsequent Event | ADS Maritime Holding | ||||||||
Subsequent Event [Line Items] | ||||||||
Final dividend distribution | $ 8.8 | |||||||
Subsequent Event | West Linus and West Hercules | Minimum | ||||||||
Subsequent Event [Line Items] | ||||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 65.00% | |||||||
Subsequent Event | West Linus and West Hercules | Maximum | ||||||||
Subsequent Event [Line Items] | ||||||||
Expected percentage of revenue to be collected under existing charter agreements (as percent) | 75.00% |