Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document and Entity Information [Abstract] | |
Document Type | 20-F |
Document Period End Date | Dec. 31, 2017 |
Amendment Flag | false |
Entity Registrant Name | Dryships Inc. |
Entity Central Index Key | 1,308,858 |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | No |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Accelerated Filer |
Entity Well Known Seasoned Issuer | No |
Entity Common Stock Shares Outstanding | 104,274,708 |
Document Fiscal Year Focus | 2,017 |
Document Fiscal Period Focus | FY |
Trading Symbol | Drys |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 14,490 | $ 76,414 |
Restricted cash (Note 2) | 726 | 350 |
Trade accounts receivable, net of allowance for doubtful receivables of $11 and $96 at December 31, 2016 and 2017, respectively | 14,526 | 7,528 |
Due from related parties (Note 3) | 16,914 | 6,674 |
Above-market acquired time charter contracts (Note 7) | 0 | 1,500 |
Prepayments and advances | 1,125 | 1,158 |
Other current assets (Note 4) | 12,279 | 4,546 |
Total current assets | 60,060 | 98,170 |
FIXED ASSETS, NET: | ||
Advances for vessels under construction and related costs (Note 5) | 31,898 | 0 |
Vessels, net (Note 6) | 749,088 | 95,550 |
Total fixed assets, net | 780,986 | 95,550 |
OTHER NON-CURRENT ASSETS: | ||
Investment in affiliate (Notes 9, 11) | 34,000 | 0 |
Restricted cash (Note 2) | 15,010 | 10 |
Other non-current assets (Note 8) | 44,869 | 0 |
Total other non-current assets | 93,879 | 10 |
Total assets | 934,925 | 193,730 |
CURRENT LIABILITIES: | ||
Current portion of long-term debt, net of deferred finance costs (Note 10) | 11,635 | 16,811 |
Accounts payable and other current liabilities | 5,225 | 1,179 |
Accrued liabilities (Note 3) | 4,758 | 3,709 |
Due to related parties (Note 3) | 72 | 5,033 |
Deferred revenue | 865 | 607 |
Total current liabilities | 22,555 | 27,339 |
NON-CURRENT LIABILITIES | ||
Long-term debt, net of deferred finance costs (Note 10) | 133,703 | 0 |
Due to related parties (Notes 3, 10) | 71,631 | 116,617 |
Total non-current liabilities | 205,334 | 116,617 |
COMMITMENTS AND CONTINGENCIES (Note 14) | ||
STOCKHOLDERS' EQUITY: | ||
Preferred stock (Note 1, 12) | 0 | 0 |
Common stock, $0.01 par value; 1,000,000,000 shares authorized at December 31, 2016 and 2017; 4,711 and 104,274,708 shares issued and outstanding at December 31, 2016 and 2017, respectively (Notes 1, 12) | 1,043 | 0 |
Treasury stock; $0.01 par value; 3 and 0 shares at December 31, 2016 and 2017 (Notes 1, 12) | 0 | 0 |
Additional paid-in capital (Note 12) | 4,066,083 | 3,360,124 |
Accumulated deficit | (3,360,090) | (3,310,350) |
Total equity | 707,036 | 49,774 |
Total liabilities and stockholders' equity | $ 934,925 | $ 193,730 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Consolidated Balance Sheets | ||
Allowance for doubtful receivables | $ 96 | $ 11 |
Preferred stock par value | $ 0.01 | $ 0.01 |
Preferred stock shares authorized | 500,000,000 | 500,000,000 |
Common stock par value | $ 0.01 | $ 0.01 |
Common stock shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock shares issued | 104,274,708 | 4,711 |
Common stock shares outstanding | 104,274,708 | 4,711 |
Treasury stock par value | $ 0.01 | $ 0.01 |
Treasury stock, shares | 0 | 3 |
Series A Convertible Preferred Stock | ||
Preferred stock shares authorized | 100,000,000 | 100,000,000 |
Preferred stock shares issued | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 |
Series B Convertible Preferred Stock | ||
Preferred stock shares authorized | 100,000,000 | 100,000,000 |
Preferred stock shares issued | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 |
Series C Convertible Preferred Stock | ||
Preferred stock shares authorized | 10,000 | 10,000 |
Preferred stock shares issued | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 |
Series D Convertible Preferred Stock | ||
Preferred stock shares authorized | 3,500,000 | 3,500,000 |
Preferred stock shares issued | 0 | 29 |
Preferred stock shares outstanding | 0 | 29 |
Series E-1 Convertible Preferred Stock | ||
Preferred stock shares authorized | 50,000 | 50,000 |
Preferred stock shares issued | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 |
Series E-2 Convertible Preferred Stock | ||
Preferred stock shares authorized | 50,000 | 50,000 |
Preferred stock shares issued | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
REVENUES: | |||
Voyage and time charter revenues (including amortization of market acquired time charters) | $ 100,716 | $ 51,934 | $ 244,020 |
Service revenues, net | 0 | 0 | 725,805 |
Total Revenues (Note 3) | 100,716 | 51,934 | 969,825 |
OPERATING EXPENSES/(INCOME): | |||
Voyage expenses (Note 3) | 19,704 | 9,209 | 65,286 |
Vessels and drilling units operating expenses | 59,348 | 45,563 | 371,074 |
Depreciation and amortization (Note 6) | 14,966 | 3,466 | 227,652 |
Loss on contract cancellation (Note 5 and 14.2) | 0 | 0 | 28,241 |
Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other (Notes 3, 6, 7 and 11) | (4,125) | 106,343 | 1,057,116 |
Impairment on goodwill (Notes 2c and 7) | 0 | 7,002 | 0 |
General and administrative expenses (Note 3) | 30,972 | 39,708 | 104,912 |
Legal settlements and other, net (Note 14.1) | 900 | (258) | (2,948) |
Operating loss | (21,049) | (159,099) | (881,508) |
OTHER INCOME / (EXPENSES): | |||
Interest and finance costs (Notes 3 and 15) | (14,707) | (8,857) | (172,132) |
Gain on debt restructuring (Note 10) | 0 | 10,477 | 0 |
Interest income | 1,365 | 81 | 527 |
Loss on Private Placement (Notes 3, 11) | (7,600) | 0 | 0 |
Gain/(Loss) on interest rate swaps (Note 11) | 0 | 403 | (11,601) |
Other, net | (401) | (199) | (9,275) |
Total other income/(expenses), net | (21,343) | 1,905 | (192,481) |
INCOME/(LOSS) BEFORE INCOME TAXES AND EARNINGS OF AFFILIATED COMPANIES | (42,392) | (157,194) | (1,073,989) |
Loss due to deconsolidation of Ocean Rig (Notes 3, 11) | 0 | 0 | (1,347,106) |
Income taxes (Note 18) | (152) | (38) | (37,119) |
Losses of affiliated companies (Note 9) | 0 | (41,454) | (349,872) |
NET LOSS | (42,544) | (198,686) | (2,808,086) |
Less: Net income attributable to non-controlling interests | 0 | 0 | (38,975) |
NET LOSS ATTRIBUTABLE TO DRYSHIPS INC. | (42,544) | (198,686) | (2,847,061) |
NET LOSS ATTRIBUTABLE TO DRYSHIPS INC. COMMON STOCKHOLDERS (Note 17) | $ (39,739) | $ (206,381) | $ (2,847,631) |
LOSS PER COMMON SHARE ATTRIBUTABLE TO DRYSHIPS INC. COMMON STOCKHOLDERS, BASIC AND DILUTED (Note 17) | $ (1.13) | $ (455,587.2) | $ (49,958,438.6) |
WEIGHTED AVERAGE NUMBER OF COMMON SHARES, BASIC AND DILUTED (Note 17) | 35,225,784 | 453 | 57 |
Dividends declared per share (Note 17) | $ 26.85 | $ 0 | $ 0 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Consolidated Statements of Comprehensive Loss | |||
Net loss | $ (42,544) | $ (198,686) | $ (2,808,086) |
Other comprehensive income/ (loss): | |||
Reclassification of realized losses associated with capitalized interest to Consolidated Statement of Operations, net | 0 | 110 | 466 |
Actuarial gains | 0 | 0 | 50 |
Other comprehensive income | 0 | 110 | 516 |
Comprehensive loss | (42,544) | (198,576) | (2,807,570) |
Less: comprehensive income attributable to non-controlling interests | 0 | 0 | (39,090) |
Comprehensive loss attributable to DryShips Inc. | $ (42,544) | $ (198,576) | $ (2,846,660) |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Preferred stock | Treasury Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Loss | Accumulated Deficit | Total DryShips Stockholders Equity | Non-controlling interests |
BALANCE value, at Dec. 31, 2014 | $ 4,290,388 | $ 0 | $ 3,256,075 | $ (6,622) | $ (256,632) | $ 2,992,821 | $ 1,297,567 | ||
BALANCE shares, at Dec. 31, 2014 | 60 | (3) | |||||||
Net income/(loss) | (2,808,086) | (2,847,061) | (2,847,061) | 38,975 | |||||
Issuance of common stock, value (Note 12) | (228) | (228) | (228) | ||||||
Issuance of preferred stock, value (Note 12) | 10,000 | 10,000 | 10,000 | ||||||
Issuance of preferred stock, shares (Note 12) | 8 | ||||||||
Issuance of non-vested shares, shares | 0 | ||||||||
Conversion of stock, shares converted (Note 12) | 0 | ||||||||
Issuance of subsidiary shares to non-controlling interest | 1,266 | (49,444) | 169 | (49,275) | 50,541 | ||||
Acquisition of Nautilus Offshore Services Inc. | 222 | (276) | (54) | 54 | |||||
Other comprehensive income | 516 | 401 | 401 | 115 | |||||
Amortization of stock based compensation (Note 13) | 9,364 | 8,523 | 8,523 | 841 | |||||
Deconsolidation of Ocean Rig | (1,361,282) | 6,285 | 6,285 | (1,367,567) | |||||
Dividends paid | (20,526) | $ (20,526) | |||||||
BALANCE value, at Dec. 31, 2015 | 121,412 | $ 0 | 3,225,148 | 233 | (3,103,969) | 121,412 | |||
BALANCE shares, at Dec. 31, 2015 | 60 | 8 | (3) | ||||||
Net income/(loss) | (198,686) | (198,686) | (198,686) | ||||||
Issuance of common stock, value (Note 12) | 14,434 | $ 0 | 14,434 | 14,434 | |||||
Issuance of common stock, shares (Note 12) | 442 | ||||||||
Issuance of preferred stock, value (Note 12) | 117,981 | 117,981 | 117,981 | ||||||
Issuance of preferred stock, shares (Note 12) | 42 | ||||||||
Conversion of stock, amount issued (Note 12) | 41 | $ 0 | 41 | 41 | |||||
Conversion of stock, shares issued (Note 12) | 4,209 | ||||||||
Conversion of stock, shares converted (Note 12) | (13) | ||||||||
Exchange of Revolving Facility with preferred shares, value (Note 3) | (8,750) | (8,750) | (8,750) | ||||||
Exchange of Revolving Facility with preferred shares, shares (Note 3) | (8) | ||||||||
Sale of investment in Ocean Rig (Note 3) | (343) | (343) | (343) | ||||||
Other comprehensive income | 110 | 110 | 110 | ||||||
Amortization of stock based compensation (Note 13) | 3,770 | 3,770 | 3,770 | ||||||
Gain/ (Loss) from common control transaction | (195) | (195) | (195) | ||||||
Dividends paid | 0 | 7,695 | (7,695) | ||||||
BALANCE value, at Dec. 31, 2016 | 49,774 | $ 0 | 3,360,124 | 0 | (3,310,350) | 49,774 | |||
BALANCE shares, at Dec. 31, 2016 | 4,711 | 29 | (3) | ||||||
Net income/(loss) | (42,544) | (42,544) | (42,544) | ||||||
Issuance of common stock, value (Note 12) | 742,585 | $ 1,043 | 741,542 | 742,585 | |||||
Issuance of common stock, shares (Note 12) | 104,270,000 | ||||||||
Stockholders contribution (Note 12) | 2,805 | 2,805 | 2,805 | ||||||
Cancellation of treasury shares (Note 12) | (3) | 3 | |||||||
Cancellation of Series D Preferred shares (Note 12), value | (8,750) | (8,750) | (8,750) | ||||||
Cancellation of Series D Preferred shares (Note 12), shares | (29) | ||||||||
Other comprehensive income | 0 | ||||||||
Premium paid on common control transaction | (29,001) | (29,001) | (29,001) | ||||||
Amortization of stock based compensation (Note 13) | 1,728 | 1,728 | 1,728 | ||||||
Gain/ (Loss) from common control transaction | 440 | 440 | 440 | ||||||
Dividends paid | (10,001) | (10,001) | (10,001) | ||||||
BALANCE value, at Dec. 31, 2017 | $ 707,036 | $ 1,043 | $ 4,066,083 | $ 0 | $ (3,360,090) | $ 707,036 | |||
BALANCE shares, at Dec. 31, 2017 | 104,274,708 | 0 | 0 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash Flows from Operating Activities: | |||
Net loss | $ (42,544) | $ (198,686) | $ (2,808,086) |
Adjustments to reconcile net loss to net cash provided by operating activities: | |||
Depreciation and amortization | 14,966 | 3,466 | 227,652 |
Amortization and write off of deferred financing fees | 4,218 | 736 | 26,712 |
Amortization of fair value of acquired time charters | 684 | 4,346 | 2,840 |
Impairment loss and (gain)/loss from sale of vessels and vessel owning companies and other | (4,125) | 106,343 | 1,057,116 |
Impairment on goodwill | 0 | 7,002 | 0 |
Net proceeds from sale in ownerships of subsidiary | 0 | 0 | 1,266 |
Losses of affiliated company | 0 | 41,454 | 349,872 |
Loss on change of control | 0 | 0 | 1,347,106 |
Loss on Private Placement | 7,600 | 0 | 0 |
Amortization of stock based compensation | 1,728 | 3,580 | 7,806 |
Gain on debt restructuring | 0 | (8,652) | 0 |
Change in fair value of derivatives | 0 | (2,193) | (10,848) |
Changes in operating assets and liabilities: | |||
Trade accounts receivable | (6,998) | 2,531 | (12,997) |
Due from related parties | (10,240) | 10,875 | 19,141 |
Other current and non-current assets | (7,700) | 3,002 | 54,448 |
Accounts payable and other current and non-current liabilities | 4,046 | (1,434) | (25,263) |
Accrued liabilities | 1,049 | (206) | (39,590) |
Due to related parties | (961) | 2,598 | (10,261) |
Deferred revenue | 258 | (118) | 28,833 |
Net Cash Provided by/(Used in) Operating Activities | (38,019) | (25,356) | 215,747 |
Cash Flows from Investing Activities: | |||
Advance for fixed asset purchase | (44,869) | 0 | 0 |
Investment in affiliates | 0 | 49,911 | 0 |
Cash decrease due to deconsolidation of Ocean Rig | 0 | 0 | (621,615) |
Acquisition of Nautilus, net of cash acquired | 0 | 0 | (78,203) |
Short term investments | 0 | 0 | 74 |
Fixed assets additions | (653,344) | 0 | (505,670) |
Net proceeds from sale of vessels and vessel owning companies | 8,221 | 5,141 | 673,850 |
(Increase)/Decrease in restricted cash | (15,376) | 14,666 | 65,866 |
Net Cash Provided by/(Used in) Investing Activities | (705,368) | 69,718 | (465,698) |
Cash Flows from Financing Activities: | |||
Proceeds from short and long-term credit facilities, term loans and senior notes | 150,000 | 28,000 | 492,000 |
Principal payments and repayments of long-term debt and senior notes | (18,780) | (119,758) | (782,366) |
Net proceeds from stock issuance | 568,883 | 123,810 | 0 |
Dividends paid | (10,001) | 0 | (20,526) |
Payment of financing costs, net | (8,639) | 0 | (5,399) |
Net Cash Provided by/(Used in) Financing Activities | 681,463 | 32,052 | (316,291) |
Net increase/ (decrease) in cash and cash equivalents | (61,924) | 76,414 | (566,242) |
Cash and cash equivalents at beginning of year | 76,414 | 0 | 566,242 |
Cash and cash equivalents at end of year | 14,490 | 76,414 | 0 |
Cash paid during the year for: | |||
Interest, net of amount capitalized | 13,225 | 5,516 | 135,954 |
Income taxes | 125 | 58 | 20,830 |
Non cash investing activities: | |||
Fixed Assets additions (Note 3) | (50,340) | ||
Investment in affiliates (Notes 9, 11) | (34,000) | ||
Non cash financing activities: | |||
Repayment of credit loan facilities (Notes 3, 10) | 151,510 | ||
Exchange of Preferred Stock into loan (Notes 3, 12) | 8,750 | ||
Interest write off due to the debt restructuring | 2,111 | ||
Preferred Shares forfeiture with common stock issuance (Notes 3, 12) | (8,750) | ||
Stockholders' Contribution upon preferred shares forfeiture (Note 12) | 2,805 | ||
Common stock issuance (Notes 3, 12) | 173,704 | ||
Loan drawdown for vessels additions (Note 3) | 79,000 | ||
Capital distribution for common control transaction (Note 5) | (28,560) | ||
Preferred stock | |||
Non cash financing activities: | |||
Conversion of loan into Stock (Notes 3, 12) | $ (8,750) | $ (10,000) | |
Common Stock | |||
Non cash financing activities: | |||
Conversion of loan into Stock (Notes 3, 12) | $ (126,159) |
Basis of Presentation and Gener
Basis of Presentation and General Information | 12 Months Ended |
Dec. 31, 2017 | |
Basis of Presentation and General Information | |
Basis of Presentation and General Information: | 1.Basis of Presentation and General Information: The accompanying consolidated financial statements include the accounts of DryShips Inc. and its subsidiaries (collectively, the “Company” or “DryShips”). DryShips was formed on September 9, 2004 under the laws of the Republic of the Marshall Islands. The Company is a diversified owner of ocean going cargo vessels and through June 8, 2015, also provided drilling services through Ocean Rig UDW Inc. (“Ocean Rig”) (Note 3). From June 8, 2015 through April 5, 2016, Ocean Rig was considered as an affiliated entity and not as a controlled subsidiary of the Company. As a result, Ocean Rig was accounted for under the equity method and its assets and liabilities were not consolidated in the Company’s balance sheet as of December 31, 2015 and 2016. On April 5, 2016, the Company sold all of its shares in Ocean Rig, to a subsidiary of Ocean Rig and as of that date, the Company no longer holds any equity interest in Ocean Rig. Accordingly, additional disclosures for Ocean Rig have not been included, in the accompanying consolidated financial statements. As of August 29, 2017, Heidmar Holdings LLC (“Heidmar”) was considered an affiliated entity following the Company’s acquisition of an entity that holds a 49% interest in Heidmar in connection with the Private Placement. Heidmar is one of the world’s leading commercial tanker pool operators (Notes 3, 9). Customers individually accounting for more than 10% of the Company’s voyage revenues and drilling revenues during the years ended December 31, 2015, 2016 and 2017, were as follows: Year ended December 31, 2015 2016 2017 Customer A - Drilling segment 12% - - Customer B - Drilling segment 14% - - Customer C - Drilling segment 11% - - Customer D - Drilling segment 10% - - Customer E - Drilling segment 10% - - Customer F - Drilling segment 10% - - Customer G – Offshore support segment - 37% - On March 11, 2016, the Company effected a 1-for-25 reverse stock split of its issued common stock. In connection with the reverse stock split seven fractional shares were cashed out. On August 15, 2016, the Company effected a 1-for-4 reverse stock split of its issued common stock. In connection with the reverse stock split five fractional shares were cashed out. On November 1, 2016, the Company effected a 1-for-15 reverse stock split of its issued common stock. In connection with the reverse stock split nine fractional shares were cashed out. On January 23, 2017, the Company effected a 1-for-8 reverse stock split of its issued common stock. In connection with the reverse stock split four fractional shares were cashed out. On April 11, 2017, the Company effected a 1-for-4 reverse stock split of its issued common stock. In connection with the reverse stock split two fractional shares were cashed out. On May 11, 2017, the Company effected a 1-for-7 reverse stock split of its issued common stock. In connection with the reverse stock split three fractional shares were cashed out. On June 22, 2017, the Company effected a 1-for-5 reverse stock split of its issued common stock. In connection with the reverse stock split two fractional shares were cashed out. Finally on July 21, 2017, the Company effected a 1-for-7 reverse stock split of its issued common stock. In connection with the reverse stock split two fractional shares were cashed out. All share and per share amounts disclosed in the consolidated financial statements and notes give effect to these reverse stock splits retroactively, for all periods presented. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Significant Accounting Policies [Abstract] | |
Significant Accounting Policies: | 2.Significant Accounting policies: (a)Principles of consolidation: The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) and include the accounts and operating results of DryShips, its wholly-owned subsidiaries and its affiliate. All intercompany balances and transactions have been eliminated on consolidation. (b)Business combinations: The Company uses the acquisition method of accounting under the authoritative guidance on business combinations, which requires an acquirer in a business combination to recognize the assets acquired, the liabilities assumed and any non-controlling interest in the acquiree at their fair values at the acquisition date. The costs of the acquisition and any related restructuring costs are to be recognized separately in the Consolidated Statements of Operations. The acquired company’s operating results are included in the Company’s consolidated financial statements starting on the date of acquisition. The purchase price is equivalent to the fair value of the consideration transferred and liabilities incurred, including liabilities related to contingent consideration. Tangible and identifiable intangible assets acquired and liabilities assumed as of the date of acquisition are recorded at the acquisition date fair value. Goodwill is recognized for the excess of the purchase price over the net fair value of assets acquired and liabilities assumed. When the fair value of net assets acquired exceeds the fair value of consideration transferred plus any non-controlling interest in the acquiree, the excess is recognized as a gain. (c) Goodwill: Goodwill represents the excess of the purchase price over the estimated fair value of net assets acquired. Goodwill is reviewed for impairment whenever events or circumstances indicate possible impairment in accordance with Accounting Standard Codification (“ASC”) 350 “Goodwill and Other Intangible Assets”. This standard requires that goodwill and other intangible assets with an indefinite life not be amortized but instead tested for impairment at least annually. The Company tests goodwill for impairment each year on December 31. The Company tests goodwill at the reporting unit level, which is defined as an operating segment or a component of an operating segment that constitutes a business for which financial information is available and is regularly reviewed by management. The impairment of goodwill is tested by comparing the reporting unit’s carrying amount, including goodwill, to the fair value of the reporting unit. If the carrying amount of the reporting unit exceeds its fair value, goodwill is considered impaired and a second step is performed to measure the amount of the impairment loss, if any. To determine the fair value of each reporting unit, the Company uses the income approach, which is a generally accepted valuation methodology. For its offshore support reporting unit, the Company estimated the fair market value using estimated discounted cash flows. The Company discounts projected cash flows using a long-term weighted average cost of capital, which is based on the Company’s estimate of the investment returns that market participants would require for each of its reporting units. To develop the projected cash flows associated with the Company’s offshore support reporting unit, which are based on estimated future utilization and dayrates, the Company considered key factors that included assumptions regarding daily operating expenses, inflation and areas of future employment. For the year ended December 31, 2016, the Company concluded that the goodwill relating to its offshore support reporting unit was impaired and recorded a charge amounting to $7,002 included in “Impairment on goodwill” in the accompanying consolidated statement of operations (Note 7). (d)Use of estimates: The preparation of consolidated financial statements in conformity with U.S. 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. (e)Comprehensive income/(loss): The Company’s comprehensive income/(loss) is comprised of net income/(loss), actuarial gains/losses related to the adoption and implementation of ASC 715, “Compensation-Retirement Benefits”, as well as losses in the fair value of the derivatives that qualify for hedge accounting in accordance with ASC 815 “Derivatives and Hedging” and realized gains/losses on cash flow hedges associated with capitalized interest in accordance with ASC 815-30-35-38 “Derivatives and Hedging”. The Company’s policy is in accordance with the requirements of Accounting Standard Update (“ASU”) 2013-02, “Comprehensive Income (Topic 220) - Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income”. Pursuant to ASU 2013-02, an entity should provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. (f)Cash and cash equivalents: The Company considers highly liquid investments such as time deposits and certificates of deposit with an original maturity of three months or less to be cash equivalents. (g)Restricted cash: Restricted cash may include: (i) cash collateral required under the Company’s financing and swap arrangements, (ii) retention accounts which can only be used to fund the loan installments coming due and (iii) minimum liquidity collateral requirements or minimum required cash deposits, as defined in the Company’s loan agreements. (h) Trade accounts receivable net: The amount shown as trade accounts receivable, at each balance sheet date, includes receivables from customers, net of allowance for doubtful receivables. At each balance sheet date, all potentially uncollectible accounts are assessed individually for purposes of determining the appropriate allowance for doubtful receivables. (i) Going concern: The Company has adopted the provisions of ASU No. 2014-15, “Presentation of Financial Statements - Going Concern”. ASU 2014-15 provides U.S. GAAP guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and on related required footnote disclosures. For each reporting period, management is required to evaluate whether there are conditions or events that raise substantial doubt about a company’s ability to continue as a going concern within one year from the date the financial statements are issued. As of December 31, 2017, the Company reported a working capital surplus of $37,505 and had cash and cash equivalents including restricted cash amounted to $30,226. The Company also expects that it will fund its operations either with cash on hand, cash generated from operations, additional bank debt and equity offerings, or a combination thereof, in the twelve-month period ending one year after the financial statements’ issuance. (j) Concentration of credit risk: Financial instruments, which potentially subject the Company to significant concentrations of credit risk, consist principally of cash and cash equivalents; trade accounts receivable and derivative contracts (interest rate swaps). The maximum exposure to loss due to credit risk is the book value at the balance sheet date. The Company places its cash and cash equivalents, consisting mostly of bank deposits, with qualified financial institutions. The Company performs periodic evaluations of the relative credit standing of those financial institutions. The Company’s major customers are well known companies, which reduce its credit risk. When considered necessary, additional arrangements are put in place to minimize credit risk, such as letters of credit or other forms of payment guarantees. The Company limits its credit risk with trade accounts receivable by performing ongoing credit evaluations of its customers’ financial condition and generally does not require collateral for its trade accounts receivable. The Company makes advances for the construction of assets to the yards. The ownership of the assets is transferred from the yard to the Company at delivery. The credit risk of the advances was, to a large extent, reduced through refund guarantees issued by financial institutions. (k) Advances for vessels under construction: This represents amounts expended by the Company in accordance with the terms of the construction contracts for vessels as well as other expenses incurred directly or under a management agreement with a related party in connection with on-site supervision. In addition, interest costs incurred during the construction (until the asset is substantially complete and ready for its intended use) are capitalized. The carrying value of vessels under construction (“Newbuildings”) represents the accumulated costs at the balance sheet date. Cost components include payments for yard installments, acceptance tests’ consumption, commissions to related party, construction supervision, and capitalized interest. (l) Capitalized interest: Interest expense is capitalized during the construction period of drilling units and vessels based on accumulated expenditures for the applicable project at the Company’s current rate of borrowing. The amount of interest expense capitalized in an accounting period is determined by applying an interest rate the (“capitalization rate”) to the average amount of accumulated expenditures for the asset during the period. The capitalization rates used in an accounting period are 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. If the Company’s financing plans associate a specific new borrowing with a qualifying asset, the Company uses the rate on that borrowing as the capitalization rate to be applied to that portion of the average accumulated expenditures for the asset that does not exceed the amount of that borrowing. If average accumulated expenditures for the asset exceed the amounts of specific new borrowings associated with the asset, the capitalization rate applied to such excess is a weighted average of the rates applicable to other borrowings of the Company. Capitalized interest and finance costs for the years ended December 31, 2015, 2016 and 2017, amounted to $12,060, $0 and $3,196 respectively (Note 15). (m) Insurance claims: The Company records insurance claim recoveries for insured losses incurred on damages to fixed assets, and for insured crew medical expenses under “Other current assets”. Insurance claims are recorded, net of any deductible amounts, at the time the Company’s fixed assets suffer insured damages, or loss due to the vessel being wholly or partially deprived of income as a consequence of damage to the unit or when crew medical expenses are incurred, recovery is probable under the related insurance policies and the Company can make an estimate of the amount to be reimbursed following the insurance claim. (n) Inventories: Inventories consist of consumable bunkers (if any), propane heel (if any), lubricants and victualing stores, which were stated at the lower of cost or market value and are recorded under “Other current assets”. Cost is determined by the first in, first out method. Market could be the replacement cost, net realizable value or net realizable value less an approximately normal profit margin. In July 2015, the FASB issued ASU No. 2015-11 –Inventory. ASU 2015-11 is part of FASB Simplification Initiative, according to which the entities are required to measure inventory at the lower of cost or net realizable value. Net realizable value is defined as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. This update was effective for public entities for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years prospectively. During fiscal year 2017, the Company adopted the aforementioned update, which did not impact its results of operations, financial position or cash flows, in the current or previous interim and annual reporting periods. (o) Foreign currency translation: The functional currency of the Company is the U.S. Dollar since the Company operates in international shipping and drilling markets (through June 8, 2015) and, therefore, primarily transacts business in U.S. Dollars. The Company’s accounting records are maintained in U.S. Dollars. Transactions involving other currencies during the year are converted into U.S. Dollars using the exchange rates in effect at the time of the transactions. At the balance sheet dates, monetary assets and liabilities, which are denominated in other currencies, are translated into U.S. Dollars at the year-end exchange rates. Resulting gains or losses are included in “Other, net” in the accompanying consolidated statements of operations. The Company recorded gain due to foreign currency differences amounting to $2,763, $745 and $335 included in the accompanying consolidated statement of operations as of December 31, 2015, 2016 and 2017, respectively. (p)Fixed assets, net: (i)Drybulk, tanker carrier, gas carrier and offshore support vessels are stated at cost, which consists of the contract price and any material expenses incurred upon acquisition (initial repairs, improvements, delivery expenses and other expenditures to prepare the vessel for its initial voyage). Subsequent expenditures for major improvements are also capitalized when they appreciably extend the useful life, increase the earning capacity or improve the efficiency or safety of the vessels. The cost of each of the Company’s vessels is depreciated beginning when the vessel is ready for its intended use, on a straight-line basis over the vessel’s remaining economic useful life, after considering the estimated residual value. Vessel’s residual value is equal to the product of its lightweight tonnage and estimated scrap rate per ton. In general, management estimates the useful life of the Company’s drybulk and tanker carrier vessels to be 25 years, offshore support vessels 30 years and Very Large Gas Carriers (“VLGCs”) 35 years, from the date of initial delivery from the shipyard. When regulations place limitations over the ability of a vessel to trade on a worldwide basis, its remaining useful life is adjusted at the date such regulations are adopted. (ii)Drilling units were stated at historical cost less accumulated depreciation. Such costs included the cost of adding or replacing parts of drilling unit machinery and equipment when the cost was incurred, if the recognition criteria were met. The recognition criteria require that the cost incurred extends the useful life of a drilling unit. The carrying amounts of those parts that were replaced were written off and the cost of the new parts was capitalized. Depreciation was calculated on a straight-line basis over the useful life of the assets after considering the estimated residual value as follows: bare deck 30 years and other asset parts 5 to 15 years for the drilling units. The residual values of the drilling rigs and drillships were estimated at $35,000 and $50,000, respectively, for the year ended December 31, 2015. (q) Long lived assets held for sale: The Company classifies long lived assets and disposal groups as being held for sale in accordance with ASC 360, “Property, Plant and Equipment”, when: (i) management has committed to a plan to sell the long lived assets; (ii) the long lived assets are available for immediate sale in their present condition; (iii) an active program to locate a buyer and other actions required to complete the plan to sell the long lived assets have been initiated; (iv) the sale of the long lived assets is probable and transfer of the asset is expected to qualify for recognition as a completed sale within one year; and (v) the long lived assets are being actively marketed for sale at a price that is reasonable in relation to its current fair value and actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. Long lived assets classified as held for sale are measured at the lower of their carrying amount or fair value less cost to sell. These long lived assets are not depreciated once they meet the criteria to be classified as held for sale. If circumstances arise that previously were considered unlikely and, as a result, the Company decides not to sell a long-lived asset previously classified as held for sale, the asset shall be reclassified as held and used. A long-lived asset that is reclassified shall be measured individually at the lower of its carrying amount before the asset or disposal group was classified as held for sale, adjusted for any depreciation expense that would have been recognized had the asset or disposal group been continuously classified as held and used and its fair value at the date of the subsequent decision not to sell. When the Company concludes a Memorandum of Agreement for the disposal of a vessel which has yet to complete a time charter, it is considered that the held for sale criteria discussed in guidance are not met until the time charter has been completed as the vessel is not available for immediate sale. As a result, such vessels are not classified as held for sale. When the Company concludes a Memorandum of Agreement for the disposal of a vessel which has no time charter to complete or a contract that is transferable to a buyer, it is considered that the held for sale criteria discussed in the guidance are met. As a result such vessels are classified as held for sale. Furthermore, in the period a long-lived asset meets the held for sale criteria, a loss is recognized for any reduction of the long-lived asset’s carrying amount to its fair value less cost to sell. For the years ended December 31, 2015 and 2016, the Company recognized such charges amounting to $967,144 and $13,395 (including a gain of $1,851 due to the reclassification of the drybulk vessels as held and used, effective December 31, 2016), respectively, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, in the accompanying consolidated statement of operations (Notes 6 and 11). For the year ended December 31, 2017, the Company had its entire fleet as held and used. (r) Impairment of long-lived assets: The Company reviews for impairment long-lived assets whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. In this respect, the Company reviews its assets for impairment on an asset by asset basis. When the estimate of undiscounted cash flows, excluding interest charges, expected to be generated by the use of the asset is less than its carrying amount, the Company evaluates the asset for impairment loss. The impairment loss is determined by the difference between the carrying amount of the asset and the fair value of the asset. The Company evaluates the carrying amounts of its vessels by obtaining vessel independent appraisals to determine if events have occurred that would require modification to their carrying values or useful lives. In evaluating useful lives and carrying values of long-lived assets, the Company reviews certain indicators of potential impairment, such as undiscounted projected operating cash flows, vessel sales and purchases, business plans and overall market conditions. In developing estimates of future undiscounted cash flows, the Company makes assumptions and estimates about the vessels’ future performance, with the significant assumptions being related to charter rates, fleet utilization, operating expenses, capital expenditures, residual value and the estimated remaining useful life of each vessel. The assumptions used to develop estimates of future undiscounted cash flows are based on historical trends as well as future expectations. To the extent impairment indicators are present, the Company determines undiscounted projected net operating cash flows for each vessel and compares them to their carrying value. The projected net operating cash flows are determined by considering the charter revenues from existing time charters for the fixed fleet days and an estimated daily time charter equivalent for the unfixed days. The Company estimates the daily time charter equivalent for the unfixed days of drybulk, tanker and gas carrier vessels based on the most recent ten year historical rates for similar vessels, adjusted for any outliers, and utilizing available market data for time charter and spot market rates and forward freight agreements and for offshore support vessels based on available market data, over the remaining estimated life of the vessel, net of brokerage commissions, expected outflows for vessels’ maintenance and operating expenses (including planned drydocking and special survey expenditures), assuming an average annual inflation rate based on the global consumer price index (“CPI”) changes and fleet utilization of 99% decreasing by 1.5% every five years after the first ten years. The salvage value used in the impairment test is estimated to be $250 per light weight ton (LWT) for vessels, in accordance with the Company’s vessels’ depreciation policy. If the Company’s estimate of undiscounted future cash flows for any vessel, is lower than its respective carrying value, the carrying value is written down, by recording a charge to operations, to its’ respective fair market value if the fair market value is lower than the vessel’s carrying value. As a result of the impairment review performed during 2015 and prior to the entering into the agreements for the sale of the Company’s vessels and vessel owning companies, indicated that the carrying amount of one of its drybulk vessels was not recoverable and, therefore, a charge of $83,937 was recognized and included in “Impairment loss (gain)/loss from sale of vessels and vessel owning companies and other “, in the accompanying consolidated statement of operations. Also, the impairment review for the year ended December 31, 2016, indicated that the carrying amount of the offshore support vessels’ was not recoverable and, therefore, a charge of $65,712 was recognized and included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, in the accompanying consolidated statement of operations (Note 6). As a result of the impairment review for the year ended December 31, 2017, the Company determined that the carrying amounts of its vessels were recoverable and, therefore, concluded that no impairment loss was necessary for 2017. (s) Dry-docking costs: The Company follows the direct expense method of accounting for dry-docking costs whereby costs are expensed in the period incurred for the vessels and drilling units. (t) Class costs: The Company follows the direct expense method of accounting for periodic class costs incurred during special surveys of drilling units, normally every five years. Class costs and other maintenance costs are expensed in the period incurred and included in “Vessels’ and drilling units’ operating expenses”. (u) Deferred financing costs: Deferred financing costs include fees, commissions and legal expenses associated with the Company’s long- term debt. The Company’s policy is in accordance with ASU 2015-03 “Simplifying the Presentation of Debt Issuance Costs”, issued in April 2015. The Company presents such costs in the balance sheet as a direct deduction from the related debt liability. These costs are amortized over the life of the related debt using the effective interest method and are included in interest expense. Unamortized fees relating to loans repaid or refinanced as debt extinguishments are expensed as interest and finance costs in the period the repayment or extinguishment is made. Amortization and write offs for each of the years ended December 31, 2015, 2016 and 2017, amounted to $23,834, $572 and $387 respectively (Note 15). (v) Non-monetary transactions - Exchange of the capital stock of an entity for nonmonetary assets or services: Non-monetary transactions are measured at the fair value of the consideration received or the fair value of the equity instruments issued, whichever is more reliably measurable. Any difference between the fair value and the transaction price is considered as gain or loss for the Company. The Company determines fair value of assets and liabilities given up or received in accordance with ASC 820 “Fair Value Measurement”. In cases of transactions related to an exchange of preferred shares with common ones, any difference between the fair value and the carrying value of the exchanged preferred shares is considered as shareholders dividend or capital contribution from/to the Company. (w) Extinguishment of Preferred Stock: In case of preferred stock extinguishment, the difference between the fair value of the consideration transferred to the holders of the preferred stock and the carrying amount of the preferred stock in the Company’s balance sheet (net of issuance costs) should be subtracted from (or added to) net income/loss to arrive at income/loss available to common stockholders in the calculation of earnings/loss per share. The difference between the fair value of the consideration transferred to the holders of the preferred stock and the carrying amount of the preferred stock in the Company’s balance sheet represents a return to (from) the preferred stockholder that should be treated in a manner similar to the treatment of dividends paid on preferred stock. (x)Revenue and related expenses: (i)Drybulk carrier, tanker, gas carrier and offshore support vessels: Time and bareboat charters: The Company generates its revenues from charterers for the charter hire of its vessels, which are considered to be operating lease arrangements. Vessels are chartered using time and bareboat charters and where a contract exists, the price is fixed, service is provided and collection of the related revenue is reasonably assured, revenue is recognized as it is earned ratably on a straight-line basis over the duration of the period of each time charter as adjusted for the off-hire days that the vessel spends undergoing repairs, maintenance and upgrade work depending on the condition and specification of the vessel. Revenues related to mobilization and direct incremental expenses of mobilization are initially deferred and recognized as revenues and expenses, over the duration of the time charter agreements, and to the extent that expenses exceed revenue to be recognized, they are expensed as incurred. Voyage charters: Voyage charter is a charter where a contract is made in the spot market for the use of a vessel for a specific voyage for a specified freight rate per ton. If a charter agreement exists and collection of the related revenue is reasonably assured, revenue is recognized as it is earned ratably during the duration of the period of each voyage. When a voyage charter agreement is in place, a voyage is deemed to commence upon the completion of discharge of the vessel’s previous cargo and is deemed to end upon the completion of discharge of the current cargo. Demurrage income represents payments by a charterer to a vessel owner when loading or discharging time exceeds the stipulated time in the voyage charter and is recognized ratably as earned during the related voyage charter’s duration period. Profit Sharing agreements: Profit-sharing revenues are calculated at an agreed percentage of the excess of the charterer’s average daily income over an agreed amount and accounted for on an accrual basis based on provisional amounts and for those contracts that provisional accruals cannot be made due to the nature of the profit share elements, these are accounted for on the actual cash settlement. Voyage related and vessel operating costs: Under a time charter, specified voyage costs, such as fuel and port charges are paid by the charterer and other non-specified voyage expenses, such as commissions, are paid by the Company. Commissions are either paid for by the Company or are deducted from the hire revenue. Vessel operating costs including crew, maintenance and insurance are paid by the Company. Under voyage charter arrangements, voyage expenses, primarily consisting of commissions, port, canal and bunker expenses that are unique to a particular charter, are paid for by the Company. All voyage and vessel operating expenses are expensed as incurred, except for commissions. Commissions are deferred and amortized over the related voyage charter period to the extent revenue has been deferred since commissions are earned as the Company’s revenues are earned. Under a bareboat charter, the charterer assumes responsibility for all voyage and vessel operating expenses and risk of operation. Deferred voyage revenue: Deferred voyage revenue primarily relates to cash advances received from charterers. These amounts are recognized as revenue over the voyage or charter period. (ii)Drilling units: Revenues: The Company’s services and deliverables, regarding its drilling units, were generally sold based upon contracts with its customers that included fixed or determinable prices. The Company recognized revenue when delivery occurred, as directed by its customer, and collectability was reasonably assured. The Company evaluated if there were multiple deliverables within its contracts and whether the agreement conveyed the right to use the drilling units for a stated period of time and met the criteria for lease accounting, in addition to providing a drilling services element, which was generally compensated for by day rates. In connection with drilling contracts, the Company could also receive revenues for preparation and mobilization of equipment and personnel or for capital improvements to the drilling units and day rate or fixed price mobilization and demobilization fees. Revenues were recorded net of agents’ commissions. There are two types of drilling contracts: well contracts and term contracts. (a) Well contracts: Well contracts are contracts under which the assignment is to drill a certain number of wells. Revenue from day-rate based compensation for drilling operations was recognized in the period during which the services were rendered at the rates established in the contracts. All mobilization revenues, direct incremental expenses of mobilization and contributions from customers for capital improvements were initially deferred and recognized as revenues and expenses, as applicable, over the estimated duration of the drilling period. To the extent that mobilization expenses exceeded revenue to be recognized, they were expensed as incurred. Demobilization revenues and expenses were recognized over the demobilization period. All revenues for well contracts were recognized as “Service revenues” in the consolidated statement of operations. (b) Term contracts: Term contracts are contracts under which the assignment is to operate the unit for a specified period of time. For these types of contracts the Company determined whether the arrangement was a multiple element arrangement containing both a lease element and drilling services element. For revenues derived from contracts that contained a lease, the lease elements were recognized as “Leasing revenues” in the consolidated statement of operations on a basis approximating straight line over the lease period. The drilling services element was recognized as “Service revenues” in the period in which the services were ren |
Transactions with Related Parti
Transactions with Related Parties | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Transactions with Related Parties: | 3.Transactions with Related Parties: The amounts included in the accompanying consolidated balance sheets and consolidated statements of operations are as follows: December 31, 2016 2017 Balance Sheet Due from related parties $ 6,674 $ 16,914 Due from related parties (current) - Total 6,674 16,914 Due to related parties (5,033) (72) Due to related parties (current) - Total $ (5,033) $ (72) Due to related parties (116,617) (71,631) Due to related parties (non - current) - Total $ (116,617) $ (71,631) Advances for vessels under construction and related costs - 1,004 Accrued liabilities $ (1,082) $ (350) Year ended December 31, Statement of Operations 2015 2016 2017 Time charter & Service Revenues – commission fees $ 7,366 $ 1,800 $ 3,988 Voyage expenses (4,521) (390) (1,526) General and administrative expenses (50,498) (32,397) (23,850) Commissions for assets sold (8,133) (886) (85) Gain/(loss) from sale of vessel owning companies, net of commissions - (22,318) - Interest and finance costs (3,679) $ (1,789) (13,070) Loss on Private Placement $ - - $ (7,600) (Per day and per quarter information in the note below is expressed in United States Dollars/Euros) TMS Bulkers Ltd. - TMS Offshore Services Ltd. - TMS Tankers Ltd. – TMS Cardiff Gas Ltd. (together the “TMS Entities”): Effective January 1, 2017, the Company entered into new agreements (the “New TMS Agreements”) with TMS Bulkers Ltd. (“TMS Bulkers”) and TMS Offshore Services Ltd. (“TMS Offshore Services”) to streamline the services offered by TMS Bulkers under the management agreements with each of the Company’s drybulk vessel-owning subsidiaries and by TMS Offshore Services, pursuant to the respective management agreements with the Company’s offshore support vessel–owning subsidiaries. The TMS Entities may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and Chief Executive Officer (“CEO”). The Company also entered into new agreements with TMS Cardiff Gas Ltd. (“TMS Cardiff Gas”) and TMS Tankers Ltd. (“TMS Tankers”) regarding its newly acquired tanker and gas carrier vessels on similar terms as the New TMS Agreement (Notes 5 and 6). TMS Cardiff Gas and TMS Tankers may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO. In connection with the New TMS Agreements that entail an increased scope of services, including executive management, commercial, accounting, reporting, financing, legal, manning, catering, IT, attendance, insurance, technical and operations services, the Company terminated the consulting agreements with Fabiana Services S.A. (“Fabiana”), Vivid Finance Limited (“Vivid”) and Basset Holdings Inc. (“Basset”), entities that may be deemed to be beneficially owned by the Company’s Chairman and CEO Mr. George Economou and by the President and Chief Financial Officer Mr. Anthony Kandylidis, effective as of December 31, 2016. The all-in base cost for providing the increased scope of services was reduced to $1,643/day per vessel, which is a 33% reduction from prior levels, based on a minimum of 20 vessels, decreasing thereafter to $1,500/day per vessel. The management fee is payable in equal monthly installments in advance and can be adjusted each year to the Greek Consumer Price Index for the previous year by not less than 3% and not more than 5%. The New TMS Agreements entitle the TMS Entities to an aggregate performance bonus for 2016 amounting to $6,000, as well as a one-time setup fee of $2,000. Under the respective New TMS Agreements, the TMS Entities are also entitled to (i) a discretionary performance fee (up to $20,000, in either cash or common stock, at the discretion of the Company’s board of directors), (ii) a commission of 1.25% on charter hire agreements that are arranged by the TMS Entities, (iii) a commission of 1% of the purchase price on sales or purchases of vessels in the Company’s fleet that are arranged by the TMS Entities, (iv) a financing and advisory commission of 0.50% and (v) reimbursement of out of pocket and travel expenses. The New TMS Agreements have terms of ten years. Under both the New TMS Agreements and the agreements effective up to December 31, 2016, if the TMS Entities are requested to supervise the construction of a newbuilding vessel, in lieu of the management fee, the Company will pay the TMS Entities an upfront fee equal to 10% of the budgeted supervision cost. For any additional attendance above the budgeted superintendent expenses, the Company will be charged extra at a standard rate of Euro 500 (or $598 based on the Euro/U.S. Dollar exchange rate at December 31, 2017) per day. Under both the New TMS Agreements and the agreements effective up to December 31, 2016, in the event that the management agreements are terminated for any reason other than a default by TMS Bulkers and TMS Offshore or change of control of the vessel owning companies’ ownership, the Company is required to pay the management fee for a further period of three calendar months as from the date of termination. In the event of a change of control of the vessel owning companies’ ownership, the Company is required to pay TMS Bulkers and TMS Offshore a termination payment, representing an amount equal to the estimated remaining fees payable to TMS Bulkers and TMS Offshore under the term of the agreement, which such payment shall not be less than the fees for a period of 36 months and not more than a period of 48 months. The Company may terminate the agreement for a convenience at any time for a fee of $50,000. Transactions with TMS Bulkers, TMS Offshore, TMS Tankers and TMS Cardiff Gas in Euros are settled on the basis of the average U.S. Dollar rate on the invoice date. According to the agreements effective up to December 31, 2016, TMS Bulkers provided comprehensive drybulk ship management services, including technical supervision, such as repairs, maintenance and inspections, safety and quality, crewing and training as well as supply provisioning. TMS Bulkers’ commercial management services included operations, chartering, sale and purchase, post-fixture administration, accounting, freight invoicing and insurance. According to the agreements effective up to December 31, 2016, TMS Offshore Services provided overall technical and crew management to the Company’s Platform Supply and Oil Spill Recovery vessels. According to the agreements effective up to certain dates in 2015, TMS Tankers provided comprehensive tanker ship management services, including technical supervision, such as repairs, maintenance and inspections, safety and quality, crewing and training as well as supply provisioning. TMS Tankers’ commercial management services included operations, sale and purchase, post-fixture administration, accounting, freight invoicing and insurance. Each management agreement had an initial term of five years and was eligible for automatic renewal after a five-year period and thereafter extended in five-year increments, unless the Company provided notice of termination in the fourth quarter of the year immediately preceding the end of the respective term. Cardiff Drilling Inc.: Effective January 1, 2013, Ocean Rig Management Inc. (“Ocean Rig Management”), a wholly-owned subsidiary of Ocean Rig, entered into a Global Services Agreement with Cardiff Drilling Inc. (“Cardiff Drilling”) a company that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, pursuant to which Ocean Rig Management engaged Cardiff Drilling to act as consultant on matters of chartering and sale and purchase transactions for the offshore drilling units operated by Ocean Rig. Costs from the Global Services Agreement were expensed in the consolidated statements of operations or capitalized as a component of “Advances for drilling units under construction and related costs” being a directly attributable cost to the construction, as applicable. Cardiff Marine Inc : On January 2, 2014, the Company entered into an agreement with certain clients of Cardiff Marine Inc., a company that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, for the grant of seven rights of first refusal to acquire seven Newcastlemax newbuildings, should they wish to sell these vessels at some point in the future. The Company could exercise any one, several or all of the rights. Each right was valid until one day before the contractual date of delivery of each vessel. The newbuildings were delivered during 2017 and none of the seven rights was exercised by the Company. Cardiff Tankers Inc. – Cardiff Gas Ltd: Under certain charter agreements for the Company’s tankers and gas carrier vessels, Cardiff Tankers Inc. (“Cardiff Tankers”) and Cardiff Gas Ltd (“Cardiff Gas”), two Marshall Islands entities that may be deemed to be beneficially owned by the Company’s Chairman and CEO, Mr. George Economou, provide services related to the sourcing, negotiation and execution of charters, for which they are entitled to a 1.25% commission on charter hire earned by those vessels. George Economou: As the Company’s Chairman, CEO and principal shareholder with a 69.5% shareholding of the Company’s common stock as of December 31, 2017 with his beneficially ownership of 72,421,515 common shares through: (i) 12,000,000 common shares owned by SPII Holdings Inc. (“SPII”), an entity that may be deemed to be beneficially owned by Mr. Economou; (ii) 45,876,061 common shares owned by Sierra Investments Inc. (“Sierra”), an entity that may be deemed to be beneficially owned by Mr. Economou; and (iii) 14,545,454 common shares owned by Mountain Investments Inc. (“Mountain”), an entity that may be deemed to be beneficially owned by Mr. Economou, Mr. George Economou has control over the actions of the Company. Other: On April 30, 2015, the Company through its subsidiaries, entered into ten Memoranda of Agreements with entities that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, for the sale of four Suezmax tankers and six Aframax tankers (Note 6). On September 9, 2015, the Company entered into sales agreements with entities that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, for the sale of 14 vessel owning companies (owners of ten Capesize and four Panamax carriers) and three Capesize bulk carriers (Note 6). On February 15, 2016, the Company announced that the sale of the vessel owning companies of its Capesize vessels, the Fakarava, Rangiroa and Negonego (included in the 14 vessel owning companies discussed above) to entities that may be deemed to be beneficially owned by its Chairman and CEO Mr. George Economou had failed and on March 24, 2016, entered into new sales agreement with entities that may be deemed to be beneficially owned by Mr. George Economou, for the sale of the shares in the above vessel owning companies (Note 6). On September 16, 2016 and October 26, 2016, the Company also entered into sales agreements with entities that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, for the sale of the shares of the owning companies of the Panamax vessel Oregon and the Panamax vessels Amalfi and Samatan, respectively (Note 6). On January 12, 2017, the Company entered into a “zero cost” Option Agreement (the “LPG Option Agreement”), with companies that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, for the purchase of the shares of four owning companies of four high specifications VLGCs capable of carrying liquefied petroleum gas (“LPG”) that were under construction at Hyundai Samho Heavy Industries Co., Ltd. (“HHI”) and have long-term time charter employment agreements with major oil companies and oil traders. Under the terms of the LPG Option Agreement, the Company had until April 4, 2017, to exercise four separate options to purchase up to the four VLGCs at a price of $83,500 per vessel. The transaction was approved by the independent directors of the Company’s board of directors based on third party broker valuations. On January 19, 2017 and March 10, 2017, the Company exercised the first two options and acquired two of the VLGCs under construction), and on April 6, 2017, exercised the remaining two options and acquired the two remaining VLGCs under construction. (Note 5) On April 3, 2017, and in connection with the acquisition of the four VLGCs under construction, the Company acquired 100% of the shares of Cardiff LNG Ships Ltd. and Cardiff LPG Ships Ltd. without any cost or payment from entities that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO. On May 15, 2017, the Company also entered into a purchase agreement with an entity that may be deemed to be beneficially owned by Mr. George Economou for the purchase of the shares of the owning company of the Suezmax newbuilding vessel Samsara. The transaction was approved by the audit committee of the Company’s Board of Directors taking into account independent third-party broker charter free valuations certificates and the long-term employment on a fixed rate basis plus profit share, provided by the seller. The vessel was time chartered back to the seller and employed from May 24, 2017 under a five year time charter plus optional periods in charterer’s option at a base rate plus profit share. The charterer was also granted purchase options at the end of each firm period. (Note 6) Fabiana Services S.A.: On October 22, 2008, the Company entered into a consultancy agreement with Fabiana, a Marshall Islands entity that may be deemed to be beneficially owned by the Company’s Chairman and CEO, Mr. George Economou, with an effective date of February 3, 2008, as amended. Under the agreement, Fabiana provided the services of the Company’s Chairman and CEO. Effective December 31, 2016, the consultancy agreement with Fabiana was terminated at no cost by mutual agreement of the parties. Azara Services S.A.: Effective from January 1, 2013, Ocean Rig entered through one of its wholly owned subsidiaries into a consultancy agreement with Azara Services S.A. (“Azara”), a Marshall Islands entity that may be deemed to be beneficially owned by our Chairman and Chief Executive Officer Mr. George Economou, for the provision of consultancy services relating to the services of Mr. George Economou in his capacity as CEO of Ocean Rig. Costs from Azara’s consultancy agreement were expensed in the consolidated statements of operations under general and administrative expenses. Basset Holdings Inc.: Under the consultancy agreement effective from January 1, 2015, between the Company and Basset, a Marshall Islands company that may be deemed to be beneficially owned by the Company’s President and CEO, Basset provided consultancy services relating to the services of Mr. Anthony Kandylidis in his capacity as Executive Vice President, and since May 2016 President and since December 2016 Chief Financial Officer of the Company. Effective December 31, 2016, the consultancy agreement with Basset was terminated at no cost by mutual agreement of the parties. Effective June 1, 2012, Ocean Rig entered through one of its wholly owned subsidiaries into a consultancy agreement with Basset, for the provision of the services of Mr. Antony Kandylidis in his capacity as President of Ocean Rig. Costs from Basset’s consultancy agreement with Ocean Rig were expensed in the consolidated statements of operations under general and administrative expenses. Vivid Finance Limited: Under the consultancy agreement effective from September 1, 2010 between the Company and Vivid a company that may be deemed to be beneficially owned by the Chairman and CEO of the Company, Mr. George Economou, Vivid provided the Company with financing-related services. Effective January 1, 2013, the Company, amended the agreement with Vivid to limit the scope of the services provided under the agreement to DryShips and its subsidiaries or affiliates, except for Ocean Rig and its subsidiaries. In essence, post-amendment, the consultancy agreement between DryShips and Vivid was in effect for the Company’s tanker, drybulk and offshore support shipping segments only. Effective December 31, 2016, the consultancy agreement with Vivid was terminated at no cost by mutual agreement of the parties. Effective January 1, 2013, Ocean Rig Management, a wholly-owned subsidiary of Ocean Rig, entered into a new consultancy agreement with Vivid, on the same terms and conditions as in the consultancy agreement, dated as of September 1, 2010, between the Company and Vivid, except that under the new agreement, Ocean Rig was obligated to pay directly to Vivid an amount in consideration of the services provided by Vivid in respect of Ocean Rig’s offshore drilling business, whereas under the consultancy agreement between the Company and Vivid, this fee was paid by the Company. Ocean Rig UDW Inc.: During the year ended December 31, 2015, the Company incurred interest expense and amortization and write off of financing fees amounting to $3,281 under the $120,000 Exchangeable Promissory Note (the “Note”) with a subsidiary of its former subsidiary Ocean Rig, which was fully settled on August 13 2015. On March 29, 2016, the Company entered into 60 day time charter agreements for the offshore support vessels Crescendo and Jubilee with a subsidiary of Ocean Rig to assist with the stacking of Ocean Rig’s drilling units in Las Palmas. On April 5, 2016, the Company sold all of its shares in Ocean Rig to a subsidiary of Ocean Rig for total cash consideration of approximately $49,911. The sale proceeds were used to partly reduce the outstanding amount under the revolving credit facility provided to the Company by Sifnos Shareholders Inc. (“Sifnos”), an entity that may be deemed to be affiliated with the Company’s Chairman and CEO, Mr. George Economou and for general corporate purposes. In addition, the Company reached an agreement under the revolving credit facility with Sifnos whereby the lender agreed to, among other things release its lien over the Ocean Rig shares. This transaction was approved by the disinterested members of the Company’s Board of Directors on the basis of a fairness opinion. As of April 5, 2016, the Company no longer holds any equity interest in Ocean Rig. Private Placement – Rights Offering: The Company’s independent members of the board in connection with a fairness opinion obtained on August 11, 2017 approved a transaction pursuant to which the Company sold 36,363,636 of the Company’s common shares to entities that may be deemed to be beneficially owned by its Chairman and CEO, Mr. George Economou, for an aggregate consideration of $100,000 at a price of $2.75 per share (the “Private Placement”). On August 11, 2017, the Company signed a binding term sheet (the “Term Sheet”) pursuant to the Private Placement terms. On August 29, 2017 and following the closing of the Private Placement: (i) 9,818,182 common shares were issued to Sierra Investments Inc. (“Sierra”) in exchange for the reduction of the principal outstanding balance by $27,000 of the Company’s unsecured credit facility with Sierra, (ii) 14,545,454 common shares were issued to Mountain as an exchange for the termination of the participation rights agreement dated May 23, 2017 ( the “Participation Rights Agreement”) and the forfeiture of all outstanding shares of Series D Preferred Stock (which carried 100,000 votes per share) and (iii) 12,000,000 common shares to SPII as consideration for the purchase of the 100% issued and outstanding equity interests of Shipping Pool Investors Inc. (“SPI”), which directly holds a 49% interest in Heidmar, a global tanker pool operator. The Private Placement transaction was a non-cash transaction with a transfer of an exchange of assets and liabilities as a consideration for the common stock issued. The fair values of the non-cash transactions, as described above, are determined based on the fair values of assets and liabilities given up on the date that the transaction was concluded, or if more clearly evident, the fair value of the asset and liabilities received on the date that the respective transaction was concluded. The Company considered that the fair value of the shares issued as part of the transaction is considered more clearly evident and concluded that in this respect the aforementioned non-monetary transaction will be recorded based on the fair value of the shares issued as part of the Private Placement. The fair value of the Company’s exchanged capital stock was valued using the quoted market price available as of the closing of the transaction according to ASC 820 “Fair Value Measurement” (Notes 9, 11). The transaction resulted in a total loss of $7,600, as the difference between the transaction price and the fair value price of $2.05 and is included in “Loss on Private Placement” in the accompanying consolidated statement of operations for the year ended December 31, 2017. In addition, an amount of $2,805 was classified under the respective “Stockholders’ Contribution” as the difference between the carrying value of the Series D Preferred Stock before its forfeiture and its fair value. On August 11, 2017, in accordance with the Term Sheet, the Audit Committee also approved a rights offering (the “Rights Offering”) that commenced on August 31, 2017 and allowed the Company’s shareholders to purchase their pro rata portion of up to $100,000 of the Company’s common shares at a price of $2.75 per share. On August 29, 2017 and in connection with the Rights Offering, Sierra also entered into a backstop agreement (the “Backstop Agreement”) to purchase from the Company, at $2.75 per share, the number of shares of common stock offered under the Rights Offering that would not be issued to existing shareholders if these shareholders did not exercise their rights in full. On October 4, 2017 and following the closing of the Rights Offering, 36,057,876 common shares were issued to Sierra, representing the number of common shares not issued pursuant to the full exercise of rights from existing shareholders (Note 12). Sifnos Shareholders Inc. – Sierra Investments Inc.: On October 21, 2015, as amended on November 11, 2015, the Company entered into a revolving credit facility (“Revolving Credit Facility”) of up to $60,000 with Sifnos, an entity that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, for general working capital purposes. The Revolving Credit Facility was secured by the shares that the Company held in Nautilus Offshore Services Inc. and by a first priority mortgage over one Panamax dry-bulk carrier. The Revolving Credit Facility had a tenor of three years. Under this agreement, the lender had the right to convert a portion of the outstanding Revolving Credit Facility into shares of the Company’s common stock or into shares of common stock of Ocean Rig held by the Company. The conversion would be based on the volume weighted average price of either stock plus a premium. Furthermore, the Company, as the borrower under this agreement, had the right to convert $10,000 of the outstanding Revolving Credit Facility into 8 preferred shares (8,333 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) of the Company. On October 21, 2015 and December 22, 2015 the Company drew down the amounts of $20,000 and $10,000, respectively under the Revolving Credit Facility. On December 30, 2015, the Company exercised its right to convert $10,000 of the outstanding principal amount of the Revolving Credit Facility into 8 shares (8,333 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) of Series B Convertible Preferred Stock of the Company. Each share of Series B Convertible Preferred Stock had the right to vote with the common shares on all matters on which the common shares were entitled to vote as a single class and the shares of Series B Convertible Preferred Stock had five votes per share. The shares of Series B Convertible Preferred Stock were to be mandatorily converted into common shares of DryShips on a one to one basis within three months after the issuance thereof or any earlier date selected by the Company in its sole discretion. On March 24, 2016, the Company entered into an agreement to increase the Revolving Credit Facility. The Revolving Credit Facility was amended to increase the maximum available amount by $10,000 to $70,000, to give the Company an option to extend the maturity of the facility by 12 months to October 21, 2019 and to cancel the option of the lender to convert the outstanding Revolving Credit Facility to the Company’s common stock. Additionally, subject to the lender’s prior written consent, the Company had the right to convert $8,750 of the outstanding balance of the Revolving Credit Facility into 29 preferred shares (29,166 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) of the Company, with a voting power of 5:1 (vis-à-vis common stock) and would mandatorily convert into common stock on a 1:1 basis within 3 months after such conversion. As part of the transaction the Company also entered into a Preferred Stock Exchange Agreement to exchange the 8 Series B Convertible Preferred Shares (8,333 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) held by the lender for $8,750. The Company subsequently cancelled the Series B Convertible Preferred Stock previously held by the lender effective March 24, 2016. On March 29, 2016, the Company drew down the amount of $28,000 under the revolving credit facility. On April 5, 2016, the Company sold all of its shares in Ocean Rig, to a subsidiary of Ocean Rig for total cash consideration of approximately $49,911 and used $45,000 from the proceeds, to partly reduce the outstanding amount under the Revolving Credit Facility. In addition, the Company reached an agreement under the Revolving Credit Facility whereby the lender agreed to, among other things (i) release its lien over the Ocean Rig shares and, (ii) waive any events of default, subject to a similar agreement being reached with the rest of the lenders to the Company, in exchange for a 40% loan to value maximum loan limit, being introduced under this facility. In addition, the interest rate under the loan was reduced to 4% plus LIBOR. On September 9, 2016, the Company entered into an agreement to convert $8,750 of the outstanding balance of the Revolving Credit Facility into 29 Series D Preferred shares of the Company (29,166 shares before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits). Each preferred share had 100,000 votes and was not convertible into common stock of the Company. Also on September 21, 2016, the Company drew down the amount of $7,825 under the Revolving Credit Facility. On October 31, 2016, the Company sold the shares of the owning companies of three Panamax vessels, Amalfi, Galveston and Samatan (Note 6) , and as part of the transaction, entered into an agreement to increase the Revolving Credit Facility. The Revolving Credit Facility was amended to increase the maximum available amount by $5,000 to $75,000 and to give the Company an option within 365 days to convert $7,500 of the outstanding loan into the Company’s common shares. As part of the sale of the vessel owning companies, the Company paid the amount of $58,619 to the new owners, being the difference between the purchase price and the outstanding balance of the respective debt facility, by increasing by the same amount the outstanding balance of the Revolving Credit Facility. Therefore, following the above transaction, the outstanding principal amount under the Revolving Credit Facility was $69,444. This transaction was approved by the independent members of the Company’s Board of Directors on the basis of vessel valuations and a fairness opinion. On November 30, 2016, Sifnos became the lender of record under two Syndicated Loans previously arranged by HSH Nordbank, with an outstanding balance of an aggregate of $85,066 under the ex-HSH syndicated facilities. (Note 10) On December 15, 2016, the Company made a prepayment of $33,510 under the Revolving Credit Facility. On December 30, 2016, the Company entered into a new senior secured revolving facility (“New Revolving Facility”) with Sifnos for the refinancing of its outstanding debt, amounted to a total of $121,000. Under the terms of the New Revolving Facility, Sifnos extended a new loan of up to $200,000 that was secured by all of the Company’s present and future assets except for the vessel Raraka . The New Revolving Facility carried an interest rate of Libor plus 5.5%, was non-amortizing, had a tenor of 3 years, had no financial covenants, was arranged with a fee of 2.0% and had a commitment fee of 1.0%. In addition, Sifnos had the ability to participate in realized asset value increases of the collateral base in a fixed percentage of 30%. The transaction was approved by the Company’s independent members of the board and a fairness opinion was obtained in connection with this transaction. On January 19, 2017 and March 10, 2017, the Company acquired two VLGCs under construction and on April 6, 2017, acquired the two remaining VLGCs pursuant to the LPG Option Agreement and partially financed the closing price of the acquisition of the vessel-owning entities of the four vessels by using the then remaining undrawn liquidity of $79,000, under the New Revolving Facility. On May 23, 2017, the Company was released by all of its obligations and liabilities under the New Revolving Facility, as amended, through a Notice of Release from Sifnos, and entered into an unsecured revolving facility agreement (“Revolving Facility”) with Sierra and a separate Participation Rights Agreement with Mountain, both entities that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO. The Revolving Facility carried an interest rate of Libor plus 6.5%, was non-amortizing, had a tenor of 5 years, had no financial covenants and was arranged with a fee of 1.0%. In addition, Mountain had the ability, through the Participation Rights Agreement, to participate in realized asset value increases of all of the Company’s present and future assets, except the vessel Samsara , in a fixed percentage of 30% in case of their sale and had a duration of up to the maturity of the Sierra Revolving Facility. The Participation Rights Agreement was terminated on August 29, 2017, along with the Private Placement discussed above (Note 12). The transaction was approved by the Company’s independent members of the board and a fairness opinion was obtained in connection with this transaction. On August 29, 2017, following the closing of the Private Placement, 9,818,182 common shares were issued to Sierra in exchange for the reduction of the principal outstanding balance by $27,000 of the Sierra Revolving Facility (Note 12). On October 2, 2017, after the closing of the Rights Offering, 36,057,876 common shares were issued to Sierra in exchange for the reduction of the principal outstanding balance by $99,159 of the Sierra Revolving Facility. This exchange constitutes a common control transaction, as Mr. Economou was deemed to have controlling interests in the Company following the closing of the Private Placement. In this respect, the total exchanged consideration net of par value, was recognized and included in “Additional paid in capital”, in the accompanying consolidated balance sheet as at December 31, 2017, in accordance with the relevant U.S. GAAP guidance. On October 25, 2017, the Company entered into a new secured loan facility (“Loan Facility Agreement”) with Sierra for the refinancing of the outstanding debt under Revolving Facility, amounting to a total of $73,841. The Loan Facility Agreement carried an interest rate of LIBOR plus 4.5%, was non-amortizing, had a tenor of 5 years, had no arrangement or commitment fee and was secured by four Company’s vessels, two tanker vessels Samsara , Balla and two drybulk carrier vessels Judd , Castellani . Furthermore, it contained only one financial covenant, according to which the fair market values of mortgaged vessels should be at least 200% of the Loan Facility Agreement outstanding amount. The transaction was approved by the Company’s independent members of the board and a fairness opinion was obtained in connection with this transaction. Further to the above, the outstanding balance under the above facilities as of December 31, 2016 and 2017 was $121,000 and $73,841, respectively, while the respectiv |
Other Current assets
Other Current assets | 12 Months Ended |
Dec. 31, 2017 | |
Other Assets [Abstract] | |
Other Current Assets: | 4.Other Current assets The amount of other current assets shown in the accompanying consolidated balance sheets is analyzed as follows: December 31, 2016 2017 Inventories $ 3,446 $ 7,790 Insurance claims (Note 14) 1,071 3,044 Other 29 1,445 Other current assets $ 4,546 $ 12,279 |
Advances for Vessels under Cons
Advances for Vessels under Construction | 12 Months Ended |
Dec. 31, 2017 | |
Advances for Vessels under Construction [Abstract] | |
Advances for Vessels and Drilling Units under Construction and Acquisitions: | 5.Advances for Vessels under Construction: As of December 31, 2016 and 2017, the movement of the advances for vessels under construction and acquisitions are set forth below: December 31, 2016 2017 Balance at beginning of year $ - $ - Advances for vessels under construction and related costs - 265,565 Vessels delivered - (233,667) Balance at end of year $ - $ 31,898 On January 19, 2017, the Company acquired the first VLGC, Anderida , pursuant to the exercise of the respective options as per the LPG Option Agreement (Note 3), which was under construction at the time of acquisition at HHI, for a purchase price of $83,500. The Company paid an amount of $21,850 of the total purchase price, by using part of the undrawn liquidity under the New Revolving Facility (Note 3). An amount of $6,500 of the total amount paid, representing the value of the time charter attached acquired, was classified in “Additional Paid-in Capital”, under the respective “Accounting for transactions under common control”. The $61,650 balance of the purchase price for the VLGC was paid in installments until the vessel’s delivery from HHI, using an amount of $37,500 under the secured credit facility dated June 22, 2017 (Note 10) and cash on hand. The Company took delivery of the vessel on June 28, 2017 while on June 29, 2017, Anderida commenced its time charter on a fixed rate with five years firm duration to an oil major company. The charterer has options to extend the firm employment period by up to three years. On March 10, 2017, the Company acquired the second VLGC, Aisling , pursuant to the exercise of the respective option as per the LPG Option Agreement (Note 3), which was under construction at the time of acquisition at HHI, for a purchase price of $83,500. The Company paid an amount of $21,850 of the total purchase price, by using part of the undrawn liquidity under the New Revolving Facility (Note 3). An amount of $6,500 of the total amount paid, representing the value of the time charter attached acquired, was classified in “Additional Paid-in Capital”, under the respective “Accounting for transactions under common control”. The $61,650 balance of the purchase price for the VLGC was payable in installments until the vessel’s delivery from HHI, using an amount of $37,500 under the secured credit facility dated June 22, 2017 (Note 10) and cash on hand. The Company took delivery of the vessel on September 7, 2017 while on September 12, 2017, Aisling commenced its time charter on a fixed rate with five years firm duration to an oil major company. The charterer has options to extend the firm employment period by up to three years. On April 6, 2017, the Company acquired the remaining two VLGCs under construction at HHI, Mont Fort and Mont Gelé , pursuant to the exercise of the respective options as per the LPG Option Agreement (Note 3), for a purchase price of $83,500 each. The Company paid an amount of $46,700 of the total purchase price, by using part of the undrawn liquidity under the New Revolving Facility (Note 3) and cash on hand. An amount of $16,001 of the total amount paid, representing the value of the time charter attached acquired, was classified in “Additional Paid-in Capital”, under the respective “Accounting for transactions under common control”. The $120,300 balance of the total purchase price for the VLGCs was payable in installments until the vessels’ delivery from HHI, using an amount of $75,000 under the secured credit facility dated June 22, 2017 (Note 10) and cash on hand. As of January 4, 2018, the Company paid the last installment, including related costs of $44,869 using the $37,500 under the secured credit facility dated June 22, 2017 (Note 10) and cash on hand. The Company took delivery of Mont Fort and Mont Gelé , on October 31, 2017 and on January 4, 2018, respectively, while on November 5, 2017 and on January 11, 2018 the vessels, respectively, commenced their time charter on a fixed rate with ten years firm duration to an oil major company (Note 19). As of December 31, 2017, an amount of $428, relating to capitalized expenses and $770 relating to capitalized interest and finance costs, are included in the “Advances for vessels under construction and related costs”. |
Vessels, net
Vessels, net | 12 Months Ended |
Dec. 31, 2017 | |
Vessels, net [Abstract] | |
Vessels, net: | 6.Vessels, net: The amounts in the accompanying consolidated balance sheets are analyzed as follows: Cost Accumulated Depreciation Net Book Value Balance, December 31, 2015 $ 97,100 (672) $ 96,428 Vessels transferred from held for sale 66,449 - 66,449 Impairment loss (67,999) 4,138 (63,861) Depreciation - (3,466) (3,466) Balance, December 31, 2016 $ 95,550 - $ 95,550 Additions 672,300 - 672,300 Vessels sold (3,900) 104 (3,796) Depreciation - (14,966) (14,966) Balance, December 31, 2017 $ 763,950 $ (14,862) $ 749,088 On March 30, 2015, the Board of Directors of the Company approved the entering into sales agreements with entities that may be deemed to be beneficially owned by the Company’s Chairman and Chief Executive Officer, Mr. George Economou, to sell its four Suezmax tankers, Vilamoura, Lipari , Petalidi and Bordeira , for an en-bloc sales price of $245,000. In addition, it entered into agreements with entities that may be deemed to be beneficially owned by Mr. George Economou to potentially sell its six Aframax tankers, Belmar , Calida , Alicante , Mareta , Saga and Daytona, for an en-bloc sales price of $291,000, as long as they confirmed their unconditional acceptance by June 30, 2015. The Company classified the vessels as “held for sale” as at March 31, 2015, as all criteria required for their classification as “Vessels held for sale” were met and a charge of $56,631, included in “Impairment loss, gain/ loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations for the year ended December 31, 2015, was recognized as a result of the reduction of the vessels’ carrying amount to their fair value less cost to sell. On April 30, 2015, the Company concluded ten Memoranda of Agreements for an aggregate agreed sales price of $536,000. On July 16, 2015, July 21, 2015, July 24, 2015, July 27, 2015, August 6, 2015, August 7, 2015, August 19, 2015, August 25, 2015, September 10, 2015 and October 29, 2015 the tankers Petalidi , Bordeira, Lipari, Belmar, Saga, Mareta, Vilamoura, Calida, Daytona and Alicante, respectively were delivered to their new owners, who paid the balance of the agreed sales prices to the Company. As of June 30, 2015, the impairment review performed prior to the entering into the agreements for the sale of the Company’s drybulk vessels and vessel owning companies indicated that one of the Company’s vessels, with a carrying amount of $95,937, should be written down to its fair value as determined based on the valuations of the independent valuators, resulting in a charge of $83,937, which was included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations for the year ended December 31, 2015 (Note 11). On September 9, 2015, the Company entered into sales agreements with entities that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, for the sale of the vessel owning companies of 14 vessels (ten Capesize bulk carriers: Rangiroa, Negonego, Fakarava, Raiatea, Mystic, Robusto, Cohiba, Montecristo, Flecha and Partagas , and four Panamax bulk carriers: Woolloomooloo, Saldanha, Topeka and Helena ) and the sale of three Capesize bulk carriers ( Manasota, Alameda and Capri ) for an aggregate price of $377,000, including their existing employment agreements and the assumption of $236,716 of debt, associated with some of the vessels. In this respect, a charge of $375,090, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, in the accompanying consolidated statement of operations for the year ended December 31, 2015 was recognized. On September 17, 2015 and October 13, 2015, the shares of the vessel owning company of the vessel Mystic and the shares of the shareholders of the vessel owning companies of ten vessels ( Raiatea, Robusto, Cohiba, Montecristo, Flecha, Partagas, Woolloomooloo, Saldanha, Topeka and Helena), respectively were delivered to their new owners. On September 22, 2015, October 1, 2015 and December 11, 2015, the vessels Capri, Manasota and Alameda, respectively, were delivered to their new owners. The assets and liabilities of the remaining three vessel owning companies ( Rangiroa, Negonego and Fakarava) remained classified as “held for sale” on December 31, 2015, as all criteria required for their classification as “held for sale” were met. In addition, on September 30, 2015, the Company classified all the remaining vessels in its fleet, comprised of 20 Panamax and two Supramax bulk carriers, as held for sale, as all criteria required for their classification were met and recognized an additional charge of $422,404, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations for the year ended December 31, 2015, as a result of the reduction of the vessels’ carrying amount to their fair value less cost to sell. On November 2, 2015, the Company concluded two Memoranda of Agreement to sell its two Supramax vessels, Byron and Galveston , for an aggregate sales price of $12,300. The vessels were delivered to their new owners on November 25, 2015 and November 30, 2015, respectively. In this respect, a charge of $6,035 was recognized in the accompanying consolidated statement of operations for the year ended December 31, 2015, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”. Finally for the year ended December 31, 2015, an additional charge of $113,019 was recognized and included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, in the accompanying consolidated statement of operations, due to the reduction of the vessels’ held for sale carrying amount to their fair value less cost to sell as of December 31, 2015 (Note 11). On February 15, 2016, the Company announced that the prior sale of the vessel owning companies of its Capesize vessels, the Fakarava, Rangiroa and Negonego , to entities that may be deemed to be beneficially owned by its Chairman and CEO, Mr. George Economou, had failed. In addition, the Company reached a settlement agreement with the charterer of these vessels for an upfront lumpsum payment and the conversion of the daily rates to index-linked time charters. On March 24, 2016, the Company concluded a new sales agreement with entities that may be deemed to be beneficially owned by Mr. George Economou for the sale of the shares of the vessel owning companies of these Capesize vessels ( Fakarava, Rangiroa and Negonego) for an aggregate price of $70,000, including their existing employment agreements and the assumption of the debt associated with the vessels with an outstanding balance of $102,070 at March 24, 2016. On March 30, 2016, the Company received the lender’s consent for the sale of the shares of the vessels’ owning companies and made a prepayment of $15,000, under the respective loan agreement dated February 14, 2012. As part of the transaction the Company also paid the amount of $12,060, being the difference between the purchase price and the outstanding balance of the respective debt facility, to the new owners. On March 31, 2016, the shares of the vessel owning companies were delivered to their new owners. In this respect, a charge of $23,018, was recognized and included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, in the accompanying consolidated statement of operations for the year ended December 31, 2016. On August 22, 2016, the Company concluded a Memorandum of Agreement with an unaffiliated third-party to sell its Panamax vessel, Coronado , for a gross price of $4,250. The vessel was delivered to its new owner on September 9, 2016. In this respect, a gain of $1,084 was recognized in the accompanying consolidated statement of operations for the year ended December 31, 2016, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”. On September 16, 2016, the Company entered into a sale agreement with an entity that may be deemed to be beneficially owned by Mr. George Economou, the Company’s Chairman and CEO, for the sale of the shares of the owning company of the Panamax vessel Oregon, including the associated bank debt, for a gross price of $4,675. As part of the transaction the Company also paid the amount of $7,825 to the new owners, being the difference between the purchase price and the outstanding balance of the respective debt facility. The Company drew down the respective amount under its Revolving Credit Facility (Note 3). The shares of the vessel owning company were delivered to the new owner on September 21, 2016. Due to the controlling interests of Mr. George Economou in the Company and the buyers, this sale constitutes a common control transaction. In this respect, a gain of $281 was recognized and included in “Additional paid in capital” in the accompanying consolidated balance sheet as at December 31, 2016, in accordance with the relevant U.S. GAAP guidance. On September 27, 2016, October 5, 2016 and October 18, 2016, the Company also concluded Memoranda of Agreement with unaffiliated third-parties for the sale of its Panamax vessels, Ocean Crystal , Sonoma and Sorrento , respectively, for gross prices of $3,720, $3,950 and $6,700, respectively. As a result of the concluded agreements, the Company revalued the Ocean Crystal , Sonoma and Sorrento as of September 30, 2016 to their fair values with reference to their purchase prices and a gain of $3,020 was recognized in the accompanying consolidated statement of operations for year ended December 31, 2016, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”. On November 7, 2016, November 15, 2016 and November 22, 2016, the vessels Ocean Crystal, Sonoma and Sorrento, respectively, were delivered to their new owners. In this respect, an aggregate loss of $641 was recognized in the accompanying consolidated statement of operations for the year ended December 31, 2016, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”. On October 26, 2016, the Company entered into sales agreement with entities that may be deemed to be beneficially owned by the Company’s Chairman and CEO, Mr. George Economou, for the sale of the owning companies of three Panamax vessels the Amalfi, Galveston (the vessel Galveston was sold and delivered to its owners on November 30, 2015) and Samatan, along with the associated bank debt for an aggregate gross price of $15,000. As part of the transaction, the Company also paid the amount of $58,619, being the difference between the purchase price and the outstanding balance of the respective debt facility, to the new owners. The Company drew down the respective amount under its New Revolving Facility (Note 3). The shares of the vessel owning companies were delivered to the new owners on October 31, 2016. Due to the controlling interests of Mr. George Economou in the Company and the buyers, the above sales constitute common control transaction. In this respect, an aggregate loss of $476 was recognized and included in “Additional paid in capital”, in the accompanying consolidated balance sheet as at December 31, 2016, in accordance with the relevant U.S. GAAP guidance. During the year ended December 31, 2016, a charge of $18,266 was also recognized as “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” due to the reduction of the vessels’ held for sale carrying amount to their fair value less cost to sell as of December 31, 2016. As of December 30, 2016, and due to the improved financial condition of the Company, the Company’s Board of Directors decided that the remaining 13 drybulk vessels previously classified as held for sale will not be sold. Effective December 31, 2016, the Company reclassified its drybulk fleet as held and used and a gain of $1,851 was recognized and included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations. Also, the impairment review for the year ended December 31, 2016 indicated that the carrying amount of the offshore support vessels’ was not recoverable and, therefore, a charge of $65,712 was recognized and included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations. According to ASU 2014-08, “Presentation of Financial Statements and Property, Plant and Equipment”, the sale of the Company’s vessels and vessel owning companies did not represent a strategic shift, hence no presentation of discontinued operations was required. During the year ended December 31, 2015 and 2016, substantially all of the Company’s net income, except for equity in losses in Ocean Rig and income from the offshore support segment, related to vessels sold or held for sale. On February 10, 2017, the Company concluded a Memorandum of Agreement with an unaffiliated third party for the acquisition of one Aframax tanker under construction, Balla , for a purchase price of $44,500. The vessel was delivered on April 27, 2017. On February 14, 2017, the Company concluded a Memorandum of Agreement with an unaffiliated third party for the acquisition of one second hand Very Large Crude Carrier, Shiraga , for a purchase price of $57,000. The Company took delivery of this vessel on June 9, 2017. On March 1, 2017, the Company concluded a Memorandum of Agreement with an unaffiliated third party for the acquisition of one second hand Aframax tanker, Stamos , for a purchase price of $29,000. The Company took delivery of this vessel on May 15, 2017. On March 24, 2017, the Company concluded four Memoranda of Agreement with unaffiliated third parties for the acquisition of four modern, second-hand Newcastlemax vessels Marini , Morandi , Bacon and Judd for a total purchase price of $120,540. The Company took delivery of the vessels on May 2, 2017, July 5, 2017, July 6, 2017 and July 13, 2017, respectively. The Newcastlemax bulkers Bacon and Judd had attached to their Memoranda of Agreements time charter employment contracts until certain dates in 2018 and 2017, respectively. After determining the fair values of these time-chartered contracts as of the acquisition date, the Company recorded a liability of $516 in relation to the attached time charter employment contract of the vessel Judd on the consolidated balance sheet under “Fair value of below market acquired time charters”. This is amortized into revenues using the straight-line method over the respective contract period. As at December 31, 2017, it was fully amortized and included in “Voyage and time charter revenues” in the accompanying consolidated statement of operations for the year ended December 31, 2017. For the vessel Bacon , the fair value of the attached time charter employment contract was determined to be $0. On March 31, 2017, the Company concluded three Memoranda of Agreement with unaffiliated third parties for the acquisition of three Kamsarmax drybulk vessels, two secondhand, Matisse and Valadon , and one under construction, Kelly , for a total purchase price of $71,000. The vessels Valadon , Matisse and Kelly were delivered on May 17, 2017, June 1, 2017 and June 14, 2017, respectively. On April 12, 2017, the Company concluded a Memorandum of Agreement with an unaffiliated third party for the acquisition of one secondhand Kamsarmax drybulk carrier, Nasaka , for a purchase price of $22,000. The Company took delivery of this vessel on May 10, 2017. On April 27, 2017, the Company concluded a Memorandum of Agreement with an unaffiliated third party for the acquisition of one second hand Kamsarmax drybulk vessel, Castellani , for a purchase price of $23,500. The Company took delivery of this vessel on June 6, 2017. On May 15, 2017, the Company also entered into a purchase agreement with an entity that may be deemed to be beneficially owned by Mr. George Economou for the purchase of the shares of the owning company of the Suezmax newbuilding vessel Samsara for a purchase price of $64,000. The vessel was time chartered back to the seller and employed from May 24, 2017 under a five year time charter plus optional periods in charterer’s option at a base rate plus profit share and the charterer was also granted purchase options at the end of each firm period. An amount of $440 of the total amount paid, representing the excess of the carrying value of the assets of the vessel owning company acquired over the purchase price paid, was classified in “Additional Paid-in Capital”, under the respective “Accounting for transactions under common control”. The Company took delivery of this vessel on May 19, 2017 (Note 3). The Company accounts the abovementioned lease as an operating lease since none of the capital lease criteria are met. On December 19, 2017, the Company concluded a Memorandum of Agreement with an unaffiliated third party to sell its Panamax vessel Ecola for a gross price of $8,500. The vessel was delivered to its new owner on December 29, 2017. In this respect, a gain of $4,425 was recognized in the accompanying consolidated statement of operations for the year ended December 31, 2017, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”. For the year ended December 31, 2017, an amount of $8,834 relating to capitalized expenses and $2,426 relating to capitalized interest are included in the “Vessels, net”. The VLGCs Anderida , Aisling, Mont Fort and Mont Gelé are pledged as collateral to secure the Company’s long-term debt, while the vessels Samsara , Balla , Judd and Castellani are pledged as collateral to secure the Company’s Loan Facility Agreement (Notes 10 and 3 respectively). |
Acquisition of Nautilus Offshor
Acquisition of Nautilus Offshore Services Inc. | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Acquisition of Nautilus Offshore Services Inc.: | 7.Acquisition of Nautilus Offshore Services Inc.: During 2015, the Company acquired, through the acquisition of Nautilus Offshore Services Inc. ("Nautilus"), six Offshore Supply Vessels, all of which were on time charters to Petroleo Brasileiro S.A. (Petrobras) until certain dates in 2017, and included fixed day rates that were above day rates available as of the acquisition date. The acquisition of the common shares of Nautilus was accounted for under the acquisition method of accounting. The Company began consolidating Nautilus from October 21, 2015 (the date of acquisition), as of which date the results of operations of Nautilus are included in the accompanying consolidated statement of operations. After determining the aggregate fair values of these time-chartered contracts as of the acquisition date, the Company recorded the respective contract fair values on the consolidated balance sheet under "Fair value of above market acquired time charters". These are amortized into revenues using the straight-line method over the respective contract periods (based on the respective contracts). On February 15, 2016, March 3, 2016 and April 11, 2016, the Company announced that Petrobras had given notice of termination of the contracts for the vessels Crescendo, Jubilee and Indigo effective as of March 6, 2016, March 9, 2016 and April 6, 2016, respectively. The contracts of the vessels Crescendo, Jubilee and Indigo were to expire on January 8, 2017, April 25, 2017 and August 30, 2017, respectively. On December 27, 2016, and in accordance with the respective terms the contract of the vessel Colorado expired. Effective on May 3, 2017, Petrobras also gave notice of termination on the contract for the vessel Jacaranda that was expiring on July 3, 2017. On June 21, 2017, and in accordance with the respective terms, the contract of the vessel Emblem expired. The amortization of the fair value of the above market acquired time charter contracts as of December 31, 2015, amounted to $1,467 and included to “Voyage and time charter revenue“, in the accompanying consolidated statement of operations for the year ended December 31, 2015. The amortization and write offs of the fair value of the above market acquired time charter contracts as of December 31, 2016 amounted to $4,346 and $5,161 and are included to “Voyage and time charter revenue” and “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, respectively, in the accompanying consolidated statement of operations for the year ended December 31, 2016. The amortization and write offs of the fair value of the above market acquired time charter contracts as of December 31, 2017, amounted to $1,200 and $300 and are included to “Voyage and time charter revenue” and “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, respectively, in the accompanying consolidated statement of operations for the year ended December 31, 2017. Goodwill included in the offshore support segment, amounted to $7,002, constituted a premium paid by the Company over the fair value of the net assets of Nautilus, which was attributable to anticipated benefits from Nautilus’s position to take advantage of the fundamentals of the offshore support market. At December 31, 2016, the Company performed its impairment review for goodwill. As a result of its impairment testing, the Company determined that the goodwill associated with its offshore support reporting unit was impaired. Accordingly, the Company recognized an impairment charge for the full carrying amount of the goodwill associated with this reporting unit in the amount of $7,002, which had no tax effect. |
Other Non-Current Assets
Other Non-Current Assets | 12 Months Ended |
Dec. 31, 2017 | |
Other Non-Current Assets [Abstract] | |
Other Non-Current Assets: | 8.Other non-current assets: The amounts included in the accompanying consolidated balance sheets are as follows: December 31, 2016 2017 Other non-current assets $ - $ 44,869 $ - $ 44,869 As of December 31, 2017, an amount of $44,869 was recorded as “Other non-current assets” in the accompanying consolidated balance sheets regarding the last installment due to HHI for the delivery of the VLGC Mont Gelé . The last installment, including related costs, of $44,869 was held in an escrow account and released to the HHI on January 4, 2018 upon the delivery of the vessel to the Company (Notes 5, 19). |
Investment in an Affiliate
Investment in an Affiliate | 12 Months Ended |
Dec. 31, 2017 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investment in an Affiliate: | 9.Investment in an Affiliate: - Ocean Rig: On June 8, 2015, following an equity offering of Ocean Rig, the Company's ownership decreased to 47.2% and accordingly, the Company lost its controlling financial interest and deconsolidated Ocean Rig from its financial statements. From that date onwards, Ocean Rig was considered as an affiliated entity and not as a controlled subsidiary of the Company and the investment in Ocean Rig was accounted for under the equity method due to the Company's significant influence over Ocean Rig. On June 8, 2015, based on the equity method, the Company recorded an investment in Ocean Rig of $514,047, which represented the fair value of the common stock that was held by the Company on such date, with a closing market price of $6.96 per share. The Company calculated a loss due to deconsolidation of $1,347,106, which was calculated as the fair value of the Company's equity method investment in Ocean Rig less the Company's 47.2% interest in Ocean Rig's net assets on June 8, 2015. On August 13, 2015, following the repayment of the outstanding balance of $80,000 owed to Ocean Rig under the $120,000 Note and the transfer of 17,777,778 shares of Ocean Rig previously owned by the Company to Ocean Rig as full payment of the outstanding balance, the Company's interest in Ocean Rig decreased to 40.4%. The Company's equity in the losses and capital transactions of Ocean Rig is shown in the accompanying consolidated statements of income for the year ended December 31, 2015, as "Losses of affiliated companies" and amounted to $349,872, including $310,468 of impairment in Ocean Rig investment. As at December 31, 2015, the Company's investment in Ocean Rig had a carrying value of $401,878, while the market value of the investment was $91,410. Based on the relevant guidance provided by U.S. GAAP, the Company concluded that the investment in Ocean Rig was impaired and that the impairment was other than temporary. Therefore the investment in Ocean Rig was written down to its fair value and a loss of $310,468 was recognized and included in the accompanying consolidated statement of operations for the year ended December 31, 2015. As at March 31, 2016, the Company's investment in Ocean Rig had a carrying value of $208,176, while the market value of the investment was $45,985. Based on the relevant guidance provided by U.S. GAAP, the Company concluded that the investment in Ocean Rig was impaired and that the impairment was other than temporary. Therefore, the investment in Ocean Rig was written down to its fair value and a loss of $162,191 was recognized and included in the accompanying consolidated statement of operations for the year ended December 31, 2016. On April 5, 2016, the Company sold all of its shares in Ocean Rig to a subsidiary of Ocean Rig for total cash consideration of approximately $49,911 and recognized a gain of $792 as a result of the above transaction, including $343 relating to accumulated other comprehensive income which is included in the accompanying consolidated statement of operations for the year ended December 31, 2016. As of April 5, 2016, the Company no longer holds any equity interest in Ocean Rig. The Company's equity in the losses and capital transactions of Ocean Rig was 40.4% up to April 5, 2016 and is shown in the accompanying consolidated statement of operations for the year ended December 31, 2016, as "Losses of affiliated company" amounting to a loss of $41,454. - Heidmar On August 29, 2017, following the closing of the Private Placement (Note 3), the Company issued 12,000,000 common shares to SPII, an entity that may be deemed to be beneficially owned by Mr. George Economou, as a consideration for the purchase of the 100% issued and outstanding equity interests of SPI, which directly holds a 49% interest in Heidmar, a global tanker pool operator. SPI is a member of Heidmar, a Delaware limited liability company that directly owns 49% of the total issued equity interests of Heidmar. The fair value of the investment as of the acquisition date was $34,000 (Note 11). Since August 29, 2017, Heidmar is considered an affiliated entity of the Company and qualifies as an equity method investment due to Company's significant influence over Heidmar. The Company elected to account for the investment in Heidmar under the fair value option in order to mitigate volatility in income that would affect the measurement of the investment under the equity method and achieve operational simplifications. The Company's investment in Heidmar was recorded at $34,000 upon the closing of the transaction. As of December 31, 2017, no change in the fair value of Company's investment in Heidmar was identified, as determined by third-party valuator, based on a valuation method that combines (weighs) the income and the market approach method and thus, no adjustment for the investment in Heidmar to its fair value was recognized in "Losses of affiliated companies" in the accompanying consolidated statement of operations for the year ended December 31, 2017. The Company, considering that Heidmar is not substantially similar with the peer group, assessed as appropriate the weighing between the two approaches used in the valuation to be 80% for the income approach and 20% for the market approach. Specifically, the income approach employed in the valuation exercise is based on the discounted cash flow model that incorporates unobservable in the market place inputs (Level 3 inputs). The inputs that were used in estimating Heidmar's discounted cash flows include Heidmar's weighted average cost of capital, projected charter rates based on the most recent ten year historical rates for similar vessels as adjusted for any outliers, annual increase in Heidmar's historical wages-salaries and non-compensated general and administrative expenses, the number of vessels under management with existing fixed contracts, a long term growth factor, commission rates on projected charter rates and the number of employees as a ratio of the vessels historically managed per employee. The market approach employed in the valuation exercise incorporates findings from utilizing adjusted data in an active marketplace for identical securities (Level 2 inputs). In particular, the market approach valuation method was based on peer group of companies which were considered fairly similar and comparable and was determined using multiples of Enterprise Value ("EV") / EBITDA of those peer group companies. Furthermore, a 10% control premium was assumed in order to factor to the valuation the control/significant influence that exits in Heidmar's equity value in comparison with minority shareholdings in peer group analysis. Finally based on market available empirical evidences and methods, a discount factor representing the lack of marketability due to Heidmar's private status was used in estimating the total fair value of Heidmar's equity. The significant assumptions used in the fair value measurement of the Company's investment in Heidmar are: (i) the discount factor due to lack of marketability (7.5%), (ii) the projected charter rates based on the most recent ten year historical rates for similar vessels as adjusted for any outliers, (iii) the long term growth factor (2.5%), ( iv ) the commission rates assumed over projected charter rates (2.5%) , (v) the weighted average cost of capital (11.9%), ( vi ) the number of vessels under management with existing fixed contracts (80 vessels) and (vii) the weighting between the two approaches (80% and 20% for the income and market approach, respectively). A change of: (i) discount factor due to lack of marketability by 5% would result in a change of Company's investment in Heidmar by $1,858, (ii) charter rates by 10% would result in an increase and decrease of Company's investment in Heidmar by $6,199 and $6,257, respectively, (iii) long term growth factor by 1%, would result in an increase and decrease of Company's investment in Heidmar by $1,787 and $1,443, respectively, (iv) commission rates by 0.5% would result in an increase and decrease of Company's investment in Heidmar by $10,880 and $11,418 , respectively (v) weighted average cost of capital by 1% would result in an increase and decrease of Company's investment in Heidmar by $2,014 and $2,493, respectively , (vi) the number of vessels under management by 4% per year would result in an increase and decrease of Company's investment in Heidmar by $7,790 and $6,805, respectively and (vii) weighting of market versus income approach by 10% would result in a change of Company's investment in Heidmar by $428 (Note 11). |
Long-term Debt
Long-term Debt | 12 Months Ended |
Dec. 31, 2017 | |
Long-term Debt [Abstract] | |
Long-term Debt: | 10.Long-term Debt: The amount of long-term debt shown in the accompanying consolidated balance sheets is analyzed as follows: December 31, 2016 2017 Secured Credit Facilities - Drybulk Segment $ 16,935 $ - Secured Credit Facilities - Gas Carrier Segment - 147,716 Less: Deferred financing costs (124) (2,378) Total debt 16,811 145,338 Less: Current portion (16,811) (11,635) Long-term portion $ - $ 133,703 Term bank loans and credit facilities The bank loans are payable in U.S. Dollars in quarterly installments with balloon payments due at maturity until December 2023. Interest rates on the outstanding loans as at December 31, 2017, are based on LIBOR plus a margin. On November 18, 2016, the Company reached an agreement for the settlement of its outstanding obligation under a loan agreement dated June 20, 2008, with the respective lender. Under the terms of the agreement, the lending bank agreed to a write-off of almost half of the outstanding principal and interest due. A gain of $8,366 was recognized as part of the transaction included in “Gain on debt restructuring” in the accompanying consolidated statement of operations for the year ended December 31, 2016. On November 18, 2016, the Company repaid $8,200 of principal, as per agreement and during 2017, it fully repaid the outstanding amount totaling $2,000, according to the agreement concluded on November 18, 2016, under its loan agreement dated June 20, 2008. As of December 31, 2016, the Company was in breach of certain financial covenants regarding its secured credit facility dated March 19, 2012 and had not made principal repayments and interest payments under this agreement. As a result of this non-compliance and in accordance with guidance related to the classification of obligations that are callable by the creditor, the Company classified the respective bank loan amounting to $14,935 as current liability at December 31, 2016. On April 24, 2017, the Company made a prepayment of $15,158 and repaid in full the outstanding amount and overdue interest under a loan agreement dated March 19, 2012. On June 22, 2017, the Company entered into a secured credit facility of up to $150,000 to partially finance the construction costs relating to the four VLGCs Anderida, Aisling, Mont Fort and Mont Gelé . The facility bears interest at LIBOR plus a margin and is repayable in twenty-four quarterly installments. As of December 31, 2017, the Company drew the whole amount of $150,000, related to the delivery of the four VLGCs and made scheduled repayments amounted to $2,284. The aggregate available undrawn amount under the Company’s facilities at December 31, 2016 and 2017 was $0. The weighted-average interest rates on the above outstanding debt were: 4.98%, 3.15% and 3.37% for the years ended December 31, 2015, 2016 and 2017, respectively. The table below presents the movement for bank loans throughout 2017: Loan Loan agreement date Original Amount December 31, 2016 New Loans Repayments December 31, 2017 Secured Credit Facility March 19, 2012 $ 19,065 $ 14,935 - (14,935) $ - Secured Credit Facility June 20, 2008 103,200 2,000 - (2,000) - Secured Credit Facility June 22, 2017 150,000 - 150,000 (2,284) 147,716 $ 16,935 150,000 (19,219) $ 147,716 The Company’s secured credit facility dated June 22, 2017 is secured by first priority mortgage over the Company’s VLGCs, corporate guarantees, first priority assignments of all freights, earnings, insurances and requisition compensation. The loan contains customary financial covenants that restrict, without the bank’s prior consent, changes in management and ownership of the vessels, the incurrence of additional indebtedness and mortgaging of vessels and changes in the general nature of the Company’s business. The loans also contain certain financial covenants relating to the Company’s financial position and operating performance, such as maintaining liquidity above a certain level. The Company’s secured credit facility imposes operating and negative covenants on the Company and its subsidiaries. These covenants may limit the ability of certain of the Company’s subsidiaries to, among other things, without the relevant lenders’ prior consent (i) incur additional indebtedness, (ii) change the flag, class or management of the vessel mortgaged under such facility, (iii) create or permit to exist liens on their assets, (iv) make loans, (v) make investments or capital expenditures, and (vi) undergo a change in ownership or control. As of December 31, 2017, the Company was in compliance with the covenants regarding its secured credit facilities. Total interest incurred on long-term debt and amortization of debt issuance costs, including capitalized interest, for the years ended December 31, 2015, 2016 and 2017, amounted to $177,537, $8,299 and $17,125, respectively. These amounts net of capitalized interest are included in “Interest and finance costs” in the accompanying consolidated statement of operations. The annual principal payments required to be made after December 31, 2017, including balloon payments, totaling $147,716, are as follows: Due through December 31, 2018 $ 12,179 Due through December 31, 2019 12,179 Due through December 31, 2020 12,180 Due through December 31, 2021 12,180 Due through December 31, 2022 12,180 Thereafter 86,818 Total principal payments 147,716 Less: Financing fees (2,378) Total debt $ 145,338 The Loan Facility Agreement with Sierra is discussed in Note 3 herein. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Financial Instruments and Fair Value Measurements [Abstract] | |
Financial Instruments and Fair Value Measurements: | 11.Financial Instruments and Fair Value Measurements: ASC 815, “Derivatives and Hedging” requires companies to recognize all derivative instruments as either assets or liabilities at fair value in the balance sheet. The Company recognizes all derivative instruments as either assets or liabilities at fair value on its consolidated balance sheets. The Company enters into interest rate swap transactions to manage interest costs and risk associated with changing interest rates with respect to its variable interest rate loans and credit facilities. All of the Company’s derivative transactions are entered into for risk management purposes. Interest rate swaps, cap and floor agreements : All of the Company’s interest swap agreements were either matured or terminated during the year ended December 31, 2016. As of December 31, 2016 and December 31, 2017, the Company had no interest rate swap agreements outstanding. Accumulated other comprehensive loss included realized losses on cash flow hedges associated with interest capitalized during prior years under “Advances for vessels under construction and related costs” amounting to $16,463, which according to ASC 815-30-35 is being reclassified into earnings in the same period or periods during which the hedged forecasted transaction affects earnings. As a result, during the years ended December 31, 2015 and 2016, the amounts of $466 and $110, respectively, were reclassified into the consolidated statement of operations. The fair value of the interest rate swap agreements equates to the amount that would be paid by the Company if the agreements were transferred to a third party at the reporting date, taking into account current interest rates and creditworthiness of both the financial instrument counterparty and the Company. The change in the fair value of such interest rate swap agreements that do not qualify for hedge accounting for the years ended December 31, 2015 and 2016 amounted to gains of $10,848 and $2,193, respectively, and are included in “Gain/ (Loss) on interest rate swaps” in the accompanying consolidated statement of operations. Amount of Gain/(Loss) Year Ended December 31, Derivatives not designated as hedging instruments Location of Gain or (Loss) Recognized 2015 2016 2017 Interest rate swaps Gain/(Loss) on interest rate swaps $ (11,601) $ 403 $ - Total $ (11,601) $ 403 $ - The carrying amounts of cash and cash equivalents, restricted cash, trade accounts receivable, accounts payable, other current assets, other non-current assets and liabilities and due to/due from related parties reported in the consolidated balance sheets approximate their respective fair values because of the short term nature of these accounts. Assets and liabilities held for sale are stated at fair value less cost to sell. The carrying value approximates the fair market value for the floating rate loans. The fair value of the interest rate swaps was determined using a discounted cash flow method based on market-based LIBOR swap yield curves, taking into account current interest rates and the creditworthiness of both the financial instrument counterparty and the Company. The fair value of the investment in Heidmar was determined based on a valuation method that combines (weighs) the income and the market approach using unobservable in the market place inputs (Level 3 inputs) and utilizing adjusted data in an active marketplace for identical securities (Level 2 inputs), respectively. For fair value measurements categorized within Level 3 of the fair value hierarchy, the Company has in place its valuation policies and procedures regarding the assessment of the significant inputs used for the determination of the fair value of its investment. The development and determination of the inputs for fair value measurements categorized within Level 3 and fair value calculations are the Company's responsibility with support from the third party valuator and which are approved by the Company's management. Any changes in fair value measurements categorized within Level 3 of the fair value hierarchy are analyzed each period based on changes in estimates or assumptions used by the third party valuator, assessed by the Company for accuracy and reasonability, and recorded as appropriate. The significant assumptions and valuation methods that the Company used to determine the initial fair value and any subsequent change in the fair value of the Company's investment in Heidmar are discussed below and in Note 9. The guidance for fair value measurements applies to all assets and liabilities that are being measured and reported on a fair value basis. This guidance enables the reader of the financial statements to assess the inputs used to develop those measurements by establishing a hierarchy for ranking the quality and reliability of the information used to determine fair values. The statement requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data. The following table summarizes the valuation of assets and liabilities measured at fair value on a recurring basis as of December 31, 2017. Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Unobservable Inputs (Level 3) Recurring measurements: Investment in affiliate – Heidmar (Note 9) $ - $ - $ 34,000 Total $ - $ - $ 34,000 The following table summarizes the valuation of assets measured at fair value on a non-recurring basis as of December 31, 2016. Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Unobservable Inputs (Level 3) Non-Recurring measurements: Long-lived assets held and used $ - $ 95,550 $ - Total $ - $ 95,550 $ - On June 8, 2015, the Company recognized a loss due to the deconsolidation of Ocean Rig of $1,347,106, which was calculated as the fair value of the Company’s equity method investment in Ocean Rig less the Company’s 47.2% interest in Ocean Rig’s net assets on June 8, 2015 (Note 9). In accordance with the provisions of relevant guidance, ten tanker vessels held for sale with a carrying amount of $587,271 were written down to their fair value as determined based on the agreed sale prices, resulting in a charge of $56,631, which was included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations for the year ended December 31, 2015 (Note 6). The impairment review performed as of June 30, 2015 indicated also that one of the Company’s vessels, with a carrying amount of $95,937, should be written down to its fair value as determined based on the valuations of the independent valuators, resulting in a charge of $83,937, which was included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations for the year ended December 31, 2015 (Note 6). Following the sale agreements for the sale of 14 vessel owning companies (and related vessels) and three vessels (Note 6), the associated 17 vessels held for sale with a carrying amount of $748,320 were written down to their fair values as determined based on the agreed sale prices, resulting in a charge of $375,090 included in “Impairment loss (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations for the year ended December 31, 2015. Furthermore due to their classification as held for sale (Note 6), 22 vessels were written down to their fair value as determined based on the valuations of the independent valuators, resulting in a charge of $422,404, which was included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations for the year ended December 31, 2015. Following the sale agreements for two Supramax vessels (Note 6), the vessels, which had an aggregate carrying value of $17,820, were written down to their fair values as determined based on the agreed sale prices resulting in a charge of $6,035, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations for the year ended December 31, 2015. During the three month period ended December 31, 2015, an additional charge of $113,019 was recognized and included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” in the accompanying consolidated statement of operations due to the reduction of the vessels’ held for sale carrying amount to their fair value less cost to sell (Note 6). During 2016, the sale of the owning companies of the Capesize vessels Fakarava, Rangiroa and Negonego resulted in a charge of $23,018 and the sale of the vessel Coronado resulted into a gain of $1,084, both included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” for the year ended December 31, 2016 (Note 6). An additional charge of $18,266 was also recognized as “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” due to the reduction of the vessels’ held for sale carrying amount to their fair value less cost to sell, as of March 31, 2016. Due to the sale of the vessels Ocean Crystal , Sonoma and Sorrento (Note 6), the Company revalued the above vessels with reference to the purchase prices as concluded in the respective Memoranda of Agreement and recognized a gain amounting to $3,020 and included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other” for the year ended December 31, 2016. Also, a loss of $641 was recognized in the accompanying consolidated statement of operations for the year ended December 31, 2016 included in "Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other" related to the delivery of those vessels to their new owners. On December 30, 2016, the Company's Board of Directors resolved that the 13 drybulk vessels of the Company's fleet that were previously classified as held for sale will not be sold, effective December 31, 2016. Therefore, the vessels were reclassified as held and used and a gain of $1,851 was recognized and included in "Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other" based on the respective U.S. GAAP guidance, due to their measurement at their fair values as at December 31, 2016 as determined based on valuations of the independent valuators. Also, the impairment review for the year ended December 31, 2016 indicated that the carrying amount of the offshore support vessels was not recoverable and, therefore, a charge of $65,712 was recognized and included in "Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other" in the accompanying consolidated statement of operations (Note 6). The Company's independent members of the board, following the receipt of a fairness opinion, on August 11, 2017 approved a transaction pursuant to which the Company sold 36,363,636 of the Company's common shares to entities that may be deemed to be beneficially owned by its Chairman and CEO, Mr. George Economou, for an aggregate consideration of $100,000 at a price of $2.75 per share ( i.e. , the Private Placement). The Private Placement transaction was a non-cash transaction with a transfer of an exchange of assets and liabilities from entities that may be deemed to be beneficially owned by the Company's Chairman and CEO, Mr. George Economou, as a consideration for the common stock issued. The fair values of the non-cash transactions, as described above, are determined based on the fair values of assets and liabilities given up on the date that the transaction was concluded, or if more clearly evident, the fair value of the asset and liabilities received on the date that the respective transaction was concluded. The Company considered that the fair value of the shares issued as part of the transaction is considered more clearly evident and concluded that in this respect the aforementioned non-monetary transaction will be recorded based on the fair value of the shares issued as part of the Private Placement. The fair value of the Company's exchanged capital stock was valued using the quoted market price available as of the closing of the transaction according to ASC 820 "Fair Value Measurement". The Company issued an aggregate 36,363,636 shares of its common stock in the Private Placement to: (i) Sierra in exchange for the reduction of the principal outstanding balance by $27,000 of the Company's Revolving Facility (Note 3); (ii) SPII in exchange for the indirect purchase of the 49% equity interests in Heidmar that was measured at $34,000 (Note 9); and (iii) Mountain in exchange for the termination of the Participation Rights Agreement (Note 3) and the forfeiture of the Series D Preferred Shares. The transaction resulted in a total loss of $7,600, as the difference between the transaction price and the fair value price of $2.05 and is included in "Loss on Private Placement" in the accompanying consolidated statement of operations for the year ended December 31, 2017. In addition, an amount of $2,805 was classified under the respective "Stockholders' Contribution" as the difference between the carrying value of the Series D Preferred Stock before their forfeiture and their fair value. On December 31, 2017, based on the valuation method that combines (weighs) the income and the market approach using unobservable in the market place inputs (Level 3 inputs) and utilizing adjusted data in an active marketplace for identical securities (Level 2 inputs), respectively, no change in the fair value of the Company's investment in Heidmar was identified and thus no adjustment in the fair value of the Company's investment in Heidmar was recorded in the accompanying consolidated statement of operations for the year ended December 31, 2017 as "Losses of affiliated companies" (Note 9). |
Common Stock and Additional Pai
Common Stock and Additional Paid-in Capital | 12 Months Ended |
Dec. 31, 2017 | |
Common Stock and Additional Paid-in Capital | |
Common Stock and Additional Paid-in Capital: | 12.Common Stock and Additional Paid-in Capital: Net Loss Attributable to Dryships Inc. and Transfers to the Non-controlling Interest The following table represents the effects of any changes in Dryships’ ownership interest in a subsidiary on the equity attributable to the shareholders of Dryships. Year Ended December 31, 2015 2016 2017 Net loss attributable to Dryships Inc. $ (2,847,061) $ (198,686) $ (42,544) Transfers to the non-controlling interest: Decrease in Dryships Inc. equity for reduction in subsidiary ownership (49,444) - - Net transfers to the non-controlling interest (49,444) - - Net loss attributable to Dryships Inc. and transfers to/from the non-controlling interest $ (2,896,505) $ (198,686) $ (42,544) Issuance of common shares On December 23, 2016, the Company entered into an agreement (the “2016 Purchase Agreement”) with Kalani Investments Limited (the “Investor”), an entity organized in the British Virgin Islands that is not affiliated with the Company, under which the Company could sell up to $200,000 of its common stock to Investor over a period of 24 months, subject to certain limitations, and receive up to an aggregate of $1,500 of shares of our common stock as a commitment fee in consideration for entering into the 2016 Purchase Agreement. Proceeds from any sales of common stock were used for general corporate purposes. Kalani had no right to require any sales and was obligated to purchase the common stock as directed by the Company, subject to certain limitations set forth in the agreement. As of January 31, 2017, the Company completed the sale to the Investor of the full $200,000 worth of shares of its common stock under the 2016 Purchase Agreement, which then automatically terminated in accordance with its terms. Between the date of the 2016 Purchase Agreement, December 23, 2016, and January 30, 2017, the Company sold an aggregate of 32,681 shares (71,864,590 before the effect of the reverse stock splits) of common stock to the Investor, out of which 263 common shares (844,335 before the effect of the reverse stock splits) were commitment fees for entering into the 2016 Purchase Agreement. On February 17, 2017, the Company entered into a common stock purchase agreement (the “February 2017 Purchase Agreement”) with the Investor. The February 2017 Purchase Agreement provided that, upon the terms and subject to the conditions set forth therein, the Investor was committed to purchase up to $200,000 worth of shares of the Company’s common stock over the 24-month term of the purchase agreement and receive up to an aggregate of $1,500 of shares of our common stock as a commitment fee in consideration for entering into the February 2017 Purchase Agreement. As of March 17, 2017, the Company completed the sale to the Investor of the full $200,000 worth of shares of common stock under the February 2017 Purchase Agreement, which then automatically terminated in accordance with its terms. Between the date of the February 2017 Purchase Agreement, February 17, 2017, and March 16, 2017, the Company sold an aggregate 118,165 shares of its common stock (115,801,710 before the effect of the reverse stock splits) to the Investor, out of which 872 common shares (854,631 before the effect of the reverse stock splits) were commitment fees for entering into the February 2017 Purchase Agreement. On April 3, 2017, the Company entered into a common stock purchase agreement (the “April 2017 Purchase Agreement”) with the Investor. The April 2017 Purchase Agreement provides that, upon the terms and subject to the conditions set forth therein, the Investor was committed to purchase up to $226,400 worth of shares of the Company’s common stock over the 24-month term of the April 2017 Purchase Agreement and receive up to an aggregate of $1,500 of shares of the Company’s common stock as a commitment fee in consideration for entering into the April 2017 Purchase Agreement. On August 11, 2017, the Company terminated the April 2017 Purchase Agreement. Between the date of the April 2017 Purchase Agreement, April 3, 2017, and August 10, 2017, the Company has sold an aggregate of 31,392,280 shares of its common stock (123,998,456 before the effect of the reverse stock splits) to the Investor, out of which 42,630 common shares (879,711 before the effect of the reverse stock splits) were commitment fees for entering into the April 2017 Purchase Agreement for a total proceeds of $193,598. On August 11, 2017, the Company’s Audit Committee approved a Term Sheet pursuant to which the Company sold 36,363,636 of the Company’s common shares to entities that may be deemed to be beneficially owned by its Chairman and CEO, Mr. George Economou, for an aggregate consideration of $100,000 at a price of $2.75 per share. The Private Placement closed on August 29, 2017, when the Company issued an aggregate 36,363,636 shares of its common stock to SPII, Sierra and Mountain, entities that may be deemed to be beneficially owned by Mr. Economou (Note 3). The Company did not receive cash proceeds from the Private Placement. Pursuant to the Term Sheet, the Audit Committee also approved a Rights Offering that commenced on August 31, 2017 and allowed the Company’s shareholders to purchase their pro rata portion of up to $100,000 of the Company’s common shares at a price of $2.75 per share. In connection with the Rights Offering, on August 29, 2017, Sierra also entered into a Backstop Agreement to purchase from the Company, at $2.75 per share, the number of shares of common stock offered pursuant to the Rights Offering that were not issued pursuant to existing shareholders’ exercise in full of their rights. On October 4, 2017 and following the closing of the rights’ subscription, the Company issued 36,363,636 shares of its common stock, of which 305,760 shares were issued to existing eligible shareholders and 36,057,876 shares were issued to Sierra as per the Backstop Agreement. The Company received $841 from the subscribed shareholders. Regarding the common shares issued to Sierra, the Company did not receive any cash proceeds (Note 3). Issuance of preferred shares On June 8, 2016, the Company, entered into a Securities Purchase Agreement with an institutional investor for the sale of 5,000 newly designated Series C Convertible Preferred Shares, warrants to purchase 5,000 Series C Convertible Preferred Shares and 0 common shares (310 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits). The securities were issued to the investor through a registered direct offering. The total net proceeds from the offering, after deducting offering fees and expenses, were approximately $5,000. The Company further received $5,000 due to the exercise of all warrants, and the total proceeds were $10,000. The Series C Convertible Preferred Stock accrued cumulative dividends on a monthly basis at an annual rate of 8%. Such accrued dividends were payable in shares of common stock or in cash at the Company’s option, or in a combination of cash and common shares. On July 6, 2016, August 3, 2016, September 1, 2016, October 5, 2016 and November 4, 2016, the Company issued 0 (70 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits), 0 (17 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits), 0 (278 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7reverse stock splits), 0 (328 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7reverse stock splits) and 0 (339 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7reverse stock splits) shares of Common stock, respectively, as dividend to the holders of our Series C Convertible Preferred shares. As of November 18, 2016, the 5,000 Series C Convertible Preferred Shares issued on June 15, 2016 and their respective $400 dividends have been converted to 29 common shares (28,697 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) and, the 5,000 of the Series C Convertible Preferred Shares issued on August 10, 2016 due to the exercise of the respective warrants, and their respective $344 dividends have been converted to 152 common shares (149,187 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits). On September 9, 2016, the Company entered into an agreement to convert $8,750 of the outstanding balance of the Revolving Credit Facility with Sifnos (Note 3) into 29 Series D Preferred shares (29,166 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) of the Company. Each preferred share had 100,000 votes and was not convertible into common stock of the Company. The 29 Series D Preferred shares (29,166 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) were issued on September 13, 2016. On November 16, 2016, the Company entered into a Securities Purchase Agreement with the Investor for the sale of 20,000 newly designated Series E-1 Convertible Preferred Shares, preferred warrants to purchase 30,000 Series E-1 Convertible Preferred Shares, preferred warrants to purchase 50,000 newly designated Series E-2 Convertible Preferred Shares, prepaid warrants to initially purchase an aggregate of 47 common shares (46,609 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits - with the number of common shares issuable subject to adjustment as described therein), and 0 common shares (13 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits). The total gross proceeds from the sale of the securities and the exercise of the preferred warrants were $100,000. The Series E1 and E2 Convertible Preferred Shares were entitled to receive dividends which could be paid by the Company in shares of common stock or cash or a combination of cash and common shares and which were cumulative and accrued and compounded monthly. As of December 31, 2016, the initial 20,000 Series E-1 Convertible Preferred Shares, which were issued on November 21, 2016, and their respective $1,400 dividends were converted to 873 common shares (856,352 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7reverse stock splits). Also, as of December 31, 2016, all preferred warrants were exercised and the 80,000 preferred shares were issued and together with their respective $5,551 dividends were converted to 3,153 common shares (3,090,405 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits). Finally, all prepaid warrants have been exercised and in this respect, 45 common shares (44,822 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) were issued. On August 29, 2017, following the closing of the Private Placement, all outstanding shares of Series D Preferred Stock (which carried 100,000 votes per share) that Sifnos held were forfeited. An amount of $2,805, being the difference between the carrying value of the Series D Preferred Stock as of the forfeiture date and their fair value, was classified under the respective “Stockholders’ Contribution” (Note 3). Treasury stock On September 9, 2017, 3 shares (3,009 before the 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits) of the Company’s common stock, held as treasury stock, were retired. As of December 31, 2017, the Company did not hold any treasury stock. Reverse stock splits On February 22, 2016, the Reverse Stock Split Committee of the Company resolved to effect a 1-for-25 reverse stock split of its common shares. The reverse stock split occurred, and the Company’s common stock began trading on a split adjusted basis on the Nasdaq Capital Market, as of the opening of trading on March 11, 2016. On July 29, 2016, the Board of Directors of the Company also determined to effect a 1-for-4 reverse stock split of its common shares. The reverse stock split occurred, and the Company’s common stock began trading on a split adjusted basis on the Nasdaq Capital Market, as of the opening of trading on August 15, 2016. On October 27, 2016, the Reverse Stock Split Committee of the Company determined to effect a 1-for-15 reverse stock split of its common shares. The reverse stock split occurred, and the Company’s common stock began trading on a split adjusted basis on the Nasdaq Capital Market, as of the opening of trading on November 1, 2016. On January 18, 2017, the Board of Directors of the Company determined to effect a 1-for-8 reverse stock split of its common shares. The reverse stock split occurred, and the Company’s common stock began trading on a split adjusted basis on the Nasdaq Capital Market, as of the opening of trading on January 23, 2017. On April 6, 2017, the Company determined to effect a 1-for-4 reverse stock split of its common shares. The reverse stock split occurred, and the Company’s common stock began trading on a split adjusted basis on the Nasdaq Capital Market, as of the opening of trading on April 11, 2017. On May 2, 2017, the Company determined to effect a 1-for-7 reverse stock split of its common shares. The reverse stock split occurred, and the Company’s common stock began trading on a split adjusted basis on the Nasdaq Capital Market, as of the opening of trading on May 11, 2017. On June 16, 2017, the Company determined to effect a 1-for-5 reverse stock split of its common shares. The reverse stock split occurred, and the Company’s common stock began trading on a split adjusted basis on the Nasdaq Capital Market, as of the opening of trading on June 22, 2017. On July 18, 2017, the Company determined to effect a 1-for-7 reverse stock split of its common shares. The reverse stock split occurred, and the Company’s common stock began trading on a split adjusted basis on the Nasdaq Capital Market, as of the opening of trading on July 21, 2017. All previously reported share and per share amounts have been restated to reflect the reverse stock splits. Dividends On February 27, 2017, the Company’s Board of Directors decided to initiate a new dividend policy. Under this policy, the Company expects to pay a regular fixed quarterly dividend of $2,500 to the holders of common stock. In addition, at its discretion, the Board may decide to pay additional amounts as dividends each quarter depending on market conditions and the Company’s financial performance, over and above the fixed amount. On February 27, 2017, the Company’s Board of Directors declared a quarterly dividend of $2,500 with respect to the quarter ended December 31, 2016 to the shareholders of record as of March 15, 2017. The dividend was paid on March 30, 2017. On April 11, 2017, the Company’s Board of Directors declared a quarterly dividend of $2,500 with respect to the quarter ended March 31, 2017 to the shareholders of record as of May 1, 2017. The dividend was paid on May 12, 2017. On July 7, 2017, the Company’s Board of Directors declared a quarterly dividend of $2,500 with respect to the quarter ended June 30, 2017 to the shareholders of record as of July 20, 2017. The dividend was paid on August 2, 2017. On October 16, 2017, the Company’s Board of Directors declared a quarterly dividend of $2,500 with respect to the quarter ended September 30, 2017 to the shareholders of record as of October 27, 2017. The dividend was paid on November 13, 2017. On February 6, 2018, the Company’s Board of Directors declared a quarterly dividend of $2,500 with respect to the quarter ended December 31, 2017 to the shareholders of record as of February 20, 2018. The dividend was paid on March 6, 2018 (Note 19). |
Equity Incentive Plan
Equity Incentive Plan | 12 Months Ended |
Dec. 31, 2017 | |
Equity Incentive Plan [Abstract] | |
Equity Incentive Plan: | 13.Equity incentive plan: On January 16, 2008, the Company’s Board of Directors approved the 2008 Equity Incentive Plan (the “Plan”). Under the Plan, officers, key employees and directors are eligible to receive awards of stock options, stock appreciation rights, restricted stock, restricted stock units, phantom stock units and unrestricted stock. On January 25, 2010, the Company’s Board of Directors amended the 2008 Equity Incentive Plan to provide that a total of 21,834,055 common shares be reserved for issuance. The Plan expired on January 16, 2018 in accordance with its terms. On January 12, 2011, 9,000,000 shares (1 share after all reverse stock splits) of the non-vested common stock out of 21,834,055 shares reserved under the Plan were granted to Fabiana as a bonus for the contribution of Mr. George Economou for Chief Executive Officer's services rendered during 2010. The shares were granted to Fabiana and vest over a period of eight years, with 1,000,000 shares (1 share after all reverse stock splits) vesting on the grant date and 1,000,000 shares (0 share after all reverse stock splits) vesting annually on December 31, 2011 through 2018, respectively. The stock-based compensation is being recognized to expenses over the vesting period and based on the fair value of the shares on the grant date of $5.50 per share (share price before reverse stock splits). As of December 31, 2017, 8,000,000 of these shares (1 share after all reverse stock splits) have vested. On August 20, 2013, the Compensation Committee approved that a bonus in the form of 1,000,000 shares (1 share after all reverse stock splits) of the Company's common stock, with par value $0.01, be granted to Fabiana for the contribution of Mr. George Economou for Chief Executive Officer's services rendered during 2012. The shares vested over a period of two years with 333,334 shares (1 share after all reverse stock splits) vesting on the grant date, 333,333 shares (0 share after all reverse stock splits) vesting on August 20, 2014 and 333,333 shares (0 share after all reverse stock splits) on August 20, 2015, respectively. The stock based compensation was recognized to expenses over the vesting period and based on the fair value of the shares on the grant date of $2.01 per share (share price before reverse stock splits). As of December 31, 2016, the shares have vested in full. On August 19, 2014, the Compensation Committee approved that a bonus in the form of 1,200,000 shares (0 share after all reverse stock splits) of the Company's common stock, with par value $0.01, be granted to Fabiana for the contribution of Mr. George Economou for Chief Executive Officer's services rendered during 2013. The shares vest over a period of three years, with 400,000 shares (0 share after all reverse stock splits) vesting on December 31, 2014, 400,000 shares (0 share after all reverse stock splits) vesting on December 31, 2015, and 400,000 shares (0 share after all reverse stock splits) vesting on December 31, 2016. The stock based compensation was recognized to expenses over the vesting period and based on the fair value of the shares on the grant date of $3.26 per share (share price before reverse stock splits). As of December 31, 2016, these shares have vested in full. On December 30, 2014, the Compensation Committee approved that a bonus in the form of 2,100,000 shares (0 share after all reverse stock splits) of the Company's common stock, with par value $0.01, be granted to Fabiana for the contribution of Mr. George Economou for Chief Executive Officer's services rendered during 2014. The shares vest over a period of three years, with 700,000 shares (0 share after all reverse stock splits) vesting on December 31, 2015, 700,000 shares (0 share after all reverse stock splits) vesting on December 31, 2016 and 700,000 shares (0 share after all reverse stock splits) vesting on December 31, 2017. The stock based compensation is being recognized to expenses over the vesting period and based on the fair value of the shares on the grant date of $1.07 per share (share price before reverse stock splits). As of December 31, 2017, the shares have vested in full. As of December 31, 2015, 2016 and 2017, there was $5,999, $2,419 and $691, respectively, of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the Plan. That cost at December 31, 2017 is expected to be recognized over the following year. The amounts of $6,590, $3,580 and $1,728 represent the stock based compensation expense for the year ended December 31, 2015, 2016 and 2017, respectively, and are recorded in “General and administrative expenses” in the accompanying consolidated statements of operations for the years ended December 31, 2015, 2016 and 2017, respectively. |
Commitment and Contingencies
Commitment and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitment and Contingencies [Abstract] | |
Commitment and Contingencies: | 14.Commitment and contingencies: 14.1Legal proceedings Various claims, suits, and complaints, including those involving government regulations and product liability, arise in the ordinary course of the shipping business. The Company has obtained hull and machinery insurance for the assessed market value of the Company’s fleet and protection and indemnity insurance. However, such insurance coverage may not provide sufficient funds to protect the Company from all liabilities that could result from its operations in all situations. Risks against which the Company may not be fully insured or insurable include environmental liabilities, which may result from a blow-out or similar accident, or liabilities resulting from reservoir damage alleged to have been caused by the negligence of the Company. As part of the normal course of operations, the Company’s customers may disagree on amounts due to the Company under the provision of the contracts which are normally settled through negotiations with the customer. Disputed amounts are normally reflected in revenues at such time as the Company reaches agreement with the customer on the amounts due. An investigation was carried out by the Chinese authorities in connection with an alleged collision of the vessel Catalina with a fishing boat while enroute to Indonesia on May 7, 2016. The vessel remained detained in Ningbo, China and was released during July 2016. Following determination of the Chinese Maritime authorities on the apportionment of inter ship liability, the P&I Club proceeded with the settlement of the property damage claim of the owners of the fishing boat. Crew claims were separately settled by such club. The criminal proceedings in relation to such case are now closed. HPOR Servicos De Consultaria Ltda ("HPOR") on September 1, 2016 commenced London arbitration references against, among others, the Company, seeking payment of certain commissions that HPOR is alleging were due by, amongst others, the Company for certain agency and marketing services provided for the Ocean Rig Mykonos and the Ocean Rig Corcovado drilling units. The Company is disputing such allegations and has counterclaimed repayment of the commission already paid to HPOR. On March 7, 2018, the Tribunal issued awards in each of the references disallowing HPOR’s claims and allowing the counterclaims brought by the Company, HPOR has since filed an application with the Court of Appeals in the UK for leave to appeal the arbitration awards. On July 4, 2017, the Company announced that it and Mr. Economou had been named as defendants in a lawsuit filed in High Court of the Republic of the Marshall Islands (Civil Action No. 2017-131) by Michael Sammons alleging, in relevant part, breaches of fiduciary duty, unjust enrichment, and conflict of interest. The plaintiff sought, among other things, a temporary restraining order and preliminary injunction to suspend any further issuances of new shares of common stock by the Company at a price per share below the price specified by the plaintiff in the complaint, as well as certain other compensatory and punitive damages specified in the complaint. On July 24, 2017, the High Court of the Marshall Islands (the “Court”) issued an order denying plaintiff’s motion for a preliminary injunction. On August 10, 2017, the plaintiff filed a first amended complaint that added a new plaintiff, and was styled as a direct action only, alleging three new counts for breach of fiduciary duties and constructive fraud, and removing certain of the counts asserted in the original complaint. The plaintiffs requested to proceed pro se and on August 16, 2017, the Court granted a motion to withdraw filed by plaintiffs’ counsel. On August 22, 2017, now acting pro se , plaintiffs filed a motion for leave to file a second amended complaint, making certain changes to the allegations of the first amended complaint and propounding an additional count for breach of fiduciary duties. The most recent complaint seeks compensatory damages of $1.56 million and treble punitive damages of $4.68 million against Mr. Economou, and requests injunctive and equitable relief against the Company. The Company and Mr. Economou believe the complaint, as amended, to be without merit and filed motions to dismiss the second amended complaint. At the oral argument on defendants’ motions to dismiss, held on February 2, 2018, the Court announced that it was inclined to grant both motions to dismiss, and directed the parties to submit proposed orders on or before February 23, 2018. The Court stated that after the Court received and reviewed all timely proposed orders, it would issue final decisions in writing. On February 26, 2018, plaintiff filed a motion for voluntary dismissal without prejudice. On March 6, 2018, defendants filed a joint opposition to plaintiff’s motion for voluntary dismissal and moved to strike plaintiff’s notice of dismissal and for the entry of dismissal with prejudice, which plaintiff opposed. The Court issued acknowledgement of voluntary dismissal without prejudice on March 8, 2018. Plaintiff filed a new action in the Western District of Texas on February 27, 2018, styled as Sammons v. Economou , No. 5:18-cv-00194 (W.D. Tex.). The Company and Mr. Economou believe that the complaint is without merit and intend to contest the allegations in the Texas action. On August 2, 2017, a purported class action complaint was filed in the United States District Court for the Eastern District of New York (No. 17-cv-04547) by Herbert Silverberg on behalf of himself and all others similarly situated against, among others, the Company and two of its executive officers. The complaint alleges that the Company and two of its executive officers violated Sections 9, 10(b) and/or 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The Company will respond to the complaint by the appropriate deadline to be set in the future, which is presently set at May 25, 2018. The Company and its management believe that the complaint is without merit and plan to vigorously defend themselves against the allegations. On August 31, 2017, a complaint was filed in the High Court of the Republic of the Marshall Islands (Civil Action No. 2017-198) by certain Ocean Rig creditors against, among others, the Company and two of its executive officers (who are currently directors) and TMS Offshore Services. The complaint purports to allege nine causes of action, including claims for avoidance and recovery of actual and/or constructive fraudulent conveyances under common law or 6 Del. Code §§ 1304(A)(1), 1305, 1307, and 1308; aiding and abetting fraudulent conveyances; and declaratory judgment under 30 MIRC § 202. The Company (and all other defendants) moved to dismiss the case on October 31, 2017 and the motion has been briefed. In a scheduling conference held on February 14, 2018 in the Marshall Islands, the Court scheduled oral argument to proceed on June 6, 2018. The Company is not in a position at this time to express an opinion as to the ultimate outcome of this matter, or to provide an estimate on the amount or range of any potential loss. Ocean Rig has funded a preserved claims trust, or PCT. The PCT was established to preserve, for the benefit of scheme creditors, any causes of action held by Ocean Rig, Agon Shipping Inc. and/or Ocean Rig Investments Inc. arising from the facts and circumstances identified in the draft complaint prepared by certain of Ocean Rig’s creditors referenced above. If the trustees under the PCT determine that there is merit to any such claims, the trustees may take legal action for the benefit of all of the scheme creditors in the restructuring. The Company received a subpoena from the SEC requesting certain documents and information from the Company in connection with offerings made by the Company between June 2016 and July 2017. The Company is providing the requested information to the SEC. During September 2017, the vessels Majorca and Marbella experienced two grounding incidents with approximately total off-hire days of 82 days and 33 days, respectively, while the total recoverable cost is estimated to $1,828 and $641, respectively, which will be covered by the Company's H&M insurers. Other than the cases mentioned above, the Company is not a party to any material litigation where claims or counterclaims have been filed against the Company other than routine legal proceedings incidental to its business. 14.2Contractual charter revenue Future minimum contractual charter revenue, based on vessels committed to non-cancelable, long-term time contracts as of December 31, 2017, amounts to $47,507 for the twelve months ending December 31, 2018, $37,266 for the twelve months ending December 31, 2019, $37,284 for the twelve months ending December 31, 2020, $37,266 for the twelve months ending December 31, 2021 and $72,263 for the twelve months ending December 31, 2022 and after. These amounts do not include any assumed off-hire. Under the June 25, 2015 agreement discussed below, the Company amended 11 charter agreements with significantly lower charter rates. Under seven of the Company’s charter agreements, the charterer had the option to (i) acquire the vessels at fair market value as determined by two independent brokers, at the date that the options were exercised, less $5,000 per vessel or (ii) to require a cash payout of $5,000 per charter agreement in which case the charter agreement would automatically be terminated on the date of completion of the current voyage. These options were exercisable beginning late March 2015 and throughout the term of the charter agreements, which were set to expire through 2020. On June 25, 2015, the Company concluded an agreement with the charterer under which the charterer agreed to forgo the exercise of the purchase option under the seven charter agreements in exchange for a reduction of $35,000 in overdue receivables, $5,000 cash payment to the Company and write off the remaining $16,471 in overdue receivables as of May 31, 2015 against “Voyage revenues”. Out of the $35,000, the $6,759 had been amortized, while the remaining $28,241 was written off as “Loss on contract cancellation”. As part of the transaction, new time charters were agreed for a period of over four years. |
Interest and Finance Costs
Interest and Finance Costs | 12 Months Ended |
Dec. 31, 2017 | |
Interest and Finance Costs [Abstract] | |
Interest and Finance Costs: | 15.Interest and Finance Costs: The amounts in the accompanying consolidated statements of operations are analyzed as follows: Year ended December 31, 2015 2016 2017 Interest incurred on long-term debt $ 150,061 $ 6,164 $ 1,499 Interest, amortization and write off of financing fees on loan from affiliate and related party 3,642 1,563 15,239 Amortization and write-off of financing fees 23,834 572 387 Discount on receivable from drilling contract 4,048 - - Commissions, commitment fees and other financial expenses and related party 2,607 558 778 Capitalized interest and finance costs (12,060) - (3,196) Total $ 172,132 $ 8,857 $ 14,707 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Information | |
Segment Information: | 16.Segment information: The Company has currently four reportable segments from which it derives its revenues: drybulk, offshore support, tanker and gas carrier segments. The Company, after selling its whole tanker fleet during 2015, re-entered the tanker market through the acquisition of four tanker vessels (Note 6) which were delivered during the six-month period ended June 30, 2017. The Company also entered during 2017 the gas carrier market through the acquisition of four VLGCs (Notes 5 and 6). Finally, the Company received earnings or losses from its investment in Ocean Rig up to April 5, 2016 (Notes 3 and 9). The reportable segments reflect the internal organization of the Company and are a strategic business that offers different products and services. The drybulk business segment consists of transportation and handling of drybulk cargoes through ownership and trading of vessels. The offshore support business segment consists of offshore support services to the global offshore energy industry through the operation of a diversified fleet of offshore support vessels. The tanker business segment consists of vessels for the transportation of crude and refined petroleum cargoes. The gas carrier segment currently consists of vessels for the transportation of liquefied petroleum gas. The tables below present information about the Company’s reportable segments as of and for the years ended December 31, 2015, 2016 and 2017 and the column “Other” relates to the Company’s investment in Heidmar. The years that the Company had no ownership in the drilling and gas carrier segments are not presented in the below table. The accounting policies followed in the preparation of the reportable segments are the same as those followed in the preparation of the Company’s consolidated financial statements. The Company allocates general and administrative expenses of the parent company to its subsidiaries on a pro rata basis. The Company also measures segment performance based on net income. Summarized financial information concerning each of the Company’s reportable segments is as follows: Drybulk Segment Offshore Support Segment Drilling Segment Tanker Segment Gas Carrier Segment Other TOTAL 2015 2016 2017 2015 2016 2017 2015 2015 2016 2017 2017 2017 2015 2016 2017 Revenues $ 115,598 $ 30,777 $ 65,723 $8,118 $21,157 $3,819 $725,805 $120,304 $ - $20,858 $ 10,316 $ - $969,825 $51,934 $100,716 Vessels and drilling units operating expenses (87,704) (30,969) (40,024) (3,977) (14,587) (4,749) (259,623) (19,770) (7) (8,830) (5,745) - (371,074) (45,563) (59,348) Depreciation and amortization (65,607) - (7,326) (672) (3,466) (950) (155,352) (6,021) - (4,652) (2,038) - (227,652) (3,466) (14,966) Goodwill impairment - - - - (7,002) - - - - - - - - (7,002) - Loss on contract cancellation (28,241) - - - - - - - - - - - (28,241) - - Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other (1,000,485) (35,470) 4,425 - (70,873) (300) - (56,631) - - - - (1,057,116) ( 106,343) 4,125 General and administrative expenses (44,519) (29,822) (19,095) (2,858) (9,849) (7,677) (46,989) (10,546) (37) (2,384) (1,816) - (104,912) (39,708) (30,972) Gain/(loss) on interest rate swaps 567 (917) - - - - 9,588 1,446 514 - - - (11,601) 403 - Gain on debt restructuring - 10,477 - - - - - - - - - - - 10,477 - Income taxes - - (56) (188) (38) (20) (36,931) - - - (76) - (37,119) (38) (152) Net income/(loss) (1,180,056) (69,966) (23,676) (2,711) (86,553) (13,322) (1,601,451) (23,868) (713) (4,492) (1,054) - (2,808,086) (198,686) (42,544) Net income/(loss) attributable to Dryships Inc. (1,180,056) (69,966) (23,676) (2,657) (86,553) (13,322) (1,640,480) (23,868) (713) (4,492) (1,054) - (2,847,061) (198,686) (42,544) Interest and finance cost (45,321) (8,706) (13,476) (105) (93) (24) (123,463) (8,766) (58) (4) (1,203) - (177,655) (8,857) (14,707) Interest income 76 66 1,310 2 13 25 5,954 18 2 - 30 - 6,050 81 1,365 Change in fair value of derivatives (gain)/loss (10,768) (1,957) - (6) - - 349 (422) (236) - - - (10,848) (2,193) - Total assets $ 342,287 $ 162,532 $ 348,657 $ 131,124 $ 31,191 $ 26,871 $ - $ 2,641 $ 7 $ 202,543 $322,854 $34,000 $ 476,052 $ 193,730 $934,925 A reconciliation of interest and finance costs with the consolidated amounts is as follows: December 31, 2015 December 31, 2016 December 31, 2017 Interest and finance costs Interest for reportable segments 177,655 8,857 14,707 Elimination of intersegment interest (5,523) - - Total consolidated Interest and finance costs $ 172,132 $ 8,857 $ 14,707 Interest income Interest for reportable segments 6,050 81 1,365 Elimination of intersegment interest (5,523) - - Total consolidated Interest income $ 527 $ 81 $ 1,365 The drilling revenue shown in the table below is analyzed by country based upon the location where the drilling takes place and up to deconsolidation of Ocean Rig at June 8, 2015: Country Year ended December 31, 2015 Congo $ 31,807 Norway 101,584 Brazil 253,283 Ivory Coast 12,065 Angola 275,410 Falkland 51,656 Total leasing and service revenues $ 725,805 The revenue shown in the table below is analyzed by country based upon the location where the operation of the offshore support vessels takes place: Year ended December 31, Country 2015 2016 2017 Brazil 8,118 19,312 5,018 Europe - 1,800 - Total revenues $ 8,118 $ 21,112 $ 5,018 As of December 31, 2015, all of the Company’s offshore support vessels operated in Brazil while as of December 31, 2016, three of the offshore support vessels either operated or were idle in Brazil and the remaining offshore support vessels were laid up in Europe. As of December 31, 2017, all of the Company’s offshore support vessels were laid up. The Company’s drybulk, tanker and gas carrier vessels operate on many trade routes throughout the world, and, therefore, the provision of geographic information is considered impractical by management. |
Losses per share
Losses per share | 12 Months Ended |
Dec. 31, 2017 | |
Losses per Share [Abstract] | |
Losses per Share: | 17.Losses per share: Year ended December 31, 2015 2016 2017 Loss (numerator) Weighted- average number of outstanding shares (denominator) Amount per share Loss (numerator) Weighted- average number of outstanding share (denominator) Amount per share Loss (numerator) Weighted- average number of outstanding shares (denominator) Amount per share Net loss attributable to DryShips Inc. $ (2,847,061) - $ - $ (198,686) - $ - $ (42,544) - $ - Plus: Contribution from Series D Preferred Stock - - - - - - 2,805 - - -Less: Convertible Preferred stock dividends - - - (7,695) - - - - - -Less: Non-vested common stock dividends declared and undistributed earnings (570) - - - - - - - - Basic LPS Loss available to common stockholders $ (2,847,631) 57 $ (49,958,438.60 ) $ (206,381) 453 $ (455,587.20) $ (39,739) 35,225,784 $ (1.13) Dilutive effect of securities Diluted LPS Loss available to common stockholders $ (2,847,631) 57 $ (49,958,438.60 ) $ (206,381) 453 $ (455,587.20) $ (39,739) 35,225,784 $ (1.13) For the years ended December 31, 2015, 2016 and 2017 and given that the Company incurred losses, the effect of including any potential common shares in the denominator of diluted per-share computations would have been anti-dilutive and therefore, basic and diluted losses per share are the same. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Expense Benefit Continuing Operations Income Tax Reconciliation [Abstract] | |
Income Taxes: | 18.Income Taxes: 18.1Drybulk, Offshore Support, Gas Carrier and Tanker Segments None of the countries of incorporation of the Company and its subsidiaries impose a tax on international shipping income earned by a “non-resident” corporation thereof. Under the laws of the Republic of the Marshall Islands and Malta and Norway, the countries in which Dryships and the drybulk, offshore support, gas carrier and tanker vessels owned by subsidiaries of the Company are registered, the Company’s subsidiaries (and their vessels) are subject to registration fees and tonnage taxes, as applicable, which have been included in Vessels’ operating expenses in the accompanying consolidated statements of operations. Pursuant to Section 883 of the United States Internal Revenue Code (the “Code”) and the regulations there under, a foreign corporation engaged in the international operation of ships is generally exempt from U.S. federal income tax on its U.S.-source shipping income if the foreign corporation meets both of the following requirements: (a) the foreign corporation is organized in a foreign country that grants an “equivalent exemption” to corporations organized in the United States for the types of shipping income (e.g., voyage, time, bareboat charter) earned by the foreign corporation and (b) more than 50% of the value of the foreign corporation’s stock is owned, directly or indirectly, by individuals who are “residents” of the foreign corporation’s country of organization or of another foreign country that grants an “equivalent exemption” to corporations organized in the United States (the “50% Ownership Test”). For purposes of the 50% Ownership Test, stock owned in a foreign corporation by a foreign corporation whose stock is “primarily and regularly traded on an established securities market” in the United States (the “Publicly-Traded Test”) will be treated as owned by individuals who are “residents” in the country of organization of the foreign corporation that satisfies the Publicly-Traded Test. The Republic of the Marshall Islands and Malta and Norway, the jurisdictions where the Company and its ship-owning subsidiaries are incorporated, each grants an “equivalent exemption” to United States corporations with respect to each type of shipping income earned by the Company’s ship-owning subsidiaries. Therefore, the ship-owning subsidiaries may be eligible to qualify for exemption from United States federal income taxation with respect to U.S. source shipping income if such companies satisfy certain ownership and documentation requirements under applicable U.S. federal income tax law and regulations. The ship-owning subsidiaries will be deemed to satisfy these certain requirements if the Company is able to satisfy such requirements. The Company believes that it satisfied the Publicly-Traded Test for its 2015 and 2016 Taxable Years and, therefore, 100% of the stock of its Republic of the Marshall Islands and Malta ship-owning subsidiaries was treated as owned by individuals “resident” in the Republic of the Marshall Islands and Malta. However, the Company did not satisfy the ownership requirements to qualify for an exemption from United States taxation on its U.S. source shipping income for the taxable year ending December 31, 2017. Therefore, each of the Company's Republic of the Marshall Islands, Malta and Norway ship-owning subsidiaries are subject to U.S. federal income tax in respect of their U.S. source shipping income. As a result, the Company recognized the related tax expense amounted to $152, in the accompanying consolidated statement of operations for the year ended December 31, 2017. 18.2Drilling Segment (up to June 8, 2015 – date of deconsolidation): Ocean Rig operated through its various subsidiaries in a number of countries throughout the world. Income taxes were provided based upon the tax laws and rates in the countries in which operations were conducted and income was earned. The countries in which Ocean Rig operated have taxation regimes with varying nominal rates, deductions, credits and other tax attributes. Consequently, there was not an expected relationship between the provision for/or benefit from income taxes and income or loss before income taxes. The components of Ocean Rig’s income/ (losses) before taxes were as follows: Year ended December 31, 2015 Domestic income / (loss) (Republic of the Marshall Islands) $ 90,181 Foreign income 42,277 Total income before taxes $ 132,458 The components of the Company’s tax expense were as follows: Year ended December 31, 2015 Current Tax expense $ 37,119 Income taxes $ 37,119 Effective tax rate 28.0% For fiscal year 2015, the current tax expense was mainly related to withholding tax based on total contract revenue or bareboat fees. In 2015, approximately 48% of the current tax expense was related to withholding taxes in Angola. For fiscal year 2017, the current tax expense is mainly related to U.S. federal income tax on its U.S. source shipping income. Taxes have not been reflected in other comprehensive loss since the valuation allowances would result in no recognition of deferred tax. Reconciliation of total tax expense: Year ended December 31, 2015 Income tax $ 37,119 Taxes on litigation matters subject to statutory rates, including interest and penalties - Total $ 37,119 Ocean Rig had from 2011 elected to use the statutory tax rate for each year based upon the location where the largest parts of its operations were domiciled. During 2015, most of its activities were in the Republic of the Marshall Islands with tax rate of zero. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events | |
Subsequent Events: | 19.Subsequent Events: 19.1 On January 4, 2018, the vessel Mont Gelé was delivered to the Company and the amount paid in the escrow account was released to the HHI. On January 11, 2018, Mont Gelé commenced its time charter on a fixed rate with ten years firm duration to an oil major trading company. 19.2 On January 24, 2018, the Company entered into a secured credit facility of up to $90,000. The facility has a tenor of five years, bears interest at LIBOR plus a margin, is repayable in twenty quarterly installments and balloon payments in maturity, has customary financial covenants and is secured by first priority mortgages over the Company’s four tankers. On January 26, 2018, the Company drew down the full amount of $90,000. 19.3 On January 29, 2018, the Company entered into a secured credit facility of up to $35,000. The facility has a tenor of six years, bears interest at LIBOR plus a margin, is repayable in twenty-four quarterly installments and balloon payments in maturity, has customary financial covenants and is secured by first priority mortgages over the vessels Valadon, Matisse and Rapallo . On March 7, 2018, the Company drew down the full amount of $35,000. 19.4 On February 1, 2018, the Company fully repaid the outstanding at that time balance of $73,841 under the Loan Facility Agreement with Sierra. 19.5 On February 6, 2018, the Company’s board of directors declared a quarterly dividend of $2,500 with respect to the quarter ended December 31, 2017, to the shareholders of record as of February 20, 2018. The dividend was paid on March 6, 2018. 19.6 On February 6, 2018, the Company’s board of directors approved a stock repurchase program under which the Company may repurchase up to $50,000 of its outstanding common shares for a period of 12 months. The Company may repurchase shares in privately negotiated or open-market purchases in accordance with applicable securities laws and regulations, including Rule 10b-18 of the Securities Exchange Act of 1934, as amended. As of April 4, 2018, the Company has repurchased 2,816,445 shares of its common stock for a gross consideration of $11,282 including commission fees. As of April 4, 2018, the number of common shares outstanding is 101,458,263. 19.7 On February 8, 2018, the Company announced the planned spinoff of its gas carrier business. In the spinoff, the Company plans to distribute to holders of its common stock 49% of the issued and outstanding shares of Gas Ships Limited’s common stock, the Company’s wholly-owned subsidiary. Following the spinoff, Gas Ships Limited will be a publicly-traded company, and the Company will retain a 51% ownership interest in Gas Ships Limited. The spinoff is subject to certain conditions, including the effectiveness of Gas Ships Limited’s Form F-1 registration statement and final approval and declaration of the distribution by the Company’s board of directors. The Company may, at any time until the closing of the spinoff, decide to abandon, modify or change the terms of the spinoff. 19.8 On March 8, 2018, the Company entered into a secured credit facility of up to $30,000. The facility has a tenor of six years, bears interest at LIBOR plus margin, is repayable in twenty-four quarterly installments and balloon payments in maturity, has customary financial covenants and is secured by first priority mortgage over the vessels Judd and Raraka . On March 13, 2018, the Company drew down the full amount of $30,000. 19.9 On April 2, 2018, the Company entered into a finance lease arrangement with a major Chinese leasing company, for its Kamsarmax drybulk vessel, the Kelly , pursuant to a memorandum of agreement and a bareboat charter agreement. The financing provides for the transfer of the Kelly to the buyer for 50% of the agreed purchase price, which will be calculated as the lower of (a) the vessel's net book value as of June 30, 2017 and (b) the vessel's fair value close to the delivery date, and as part of the agreement, the Company's wholly-owned subsidiary will bareboat charter the vessel back for a period of ten years (expiry in April 2028). Charterhire under the bareboat arrangement is comprised of a fixed, quarterly repayment amount corresponding to a 15-year amortization profile plus a variable component calculated at LIBOR plus margin. The Company has purchase options to reacquire the vessel during the bareboat charter period, with the first of such options exercisable on the first anniversary from the vessel's delivery date. There is also a purchase obligation upon the expiration of the agreement for 33% of the financing amount. The Company is a guarantor under the bareboat charter, which also includes customary terms, conditions and financial covenants. The vessel is expected to be delivered and leased back to the Company in April 2018. |
Significant Accounting Polici27
Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2017 | |
Significant Accounting Policies [Abstract] | |
Principles of Consolidation | (a)Principles of consolidation: The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commission (the “SEC”) and include the accounts and operating results of DryShips, its wholly-owned subsidiaries and its affiliate. All intercompany balances and transactions have been eliminated on consolidation. |
Business Combinations | (b)Business combinations: The Company uses the acquisition method of accounting under the authoritative guidance on business combinations, which requires an acquirer in a business combination to recognize the assets acquired, the liabilities assumed and any non-controlling interest in the acquiree at their fair values at the acquisition date. The costs of the acquisition and any related restructuring costs are to be recognized separately in the Consolidated Statements of Operations. The acquired company’s operating results are included in the Company’s consolidated financial statements starting on the date of acquisition. The purchase price is equivalent to the fair value of the consideration transferred and liabilities incurred, including liabilities related to contingent consideration. Tangible and identifiable intangible assets acquired and liabilities assumed as of the date of acquisition are recorded at the acquisition date fair value. Goodwill is recognized for the excess of the purchase price over the net fair value of assets acquired and liabilities assumed. When the fair value of net assets acquired exceeds the fair value of consideration transferred plus any non-controlling interest in the acquiree, the excess is recognized as a gain. |
Goodwill | (c) Goodwill: Goodwill represents the excess of the purchase price over the estimated fair value of net assets acquired. Goodwill is reviewed for impairment whenever events or circumstances indicate possible impairment in accordance with Accounting Standard Codification (“ASC”) 350 “Goodwill and Other Intangible Assets”. This standard requires that goodwill and other intangible assets with an indefinite life not be amortized but instead tested for impairment at least annually. The Company tests goodwill for impairment each year on December 31. The Company tests goodwill at the reporting unit level, which is defined as an operating segment or a component of an operating segment that constitutes a business for which financial information is available and is regularly reviewed by management. The impairment of goodwill is tested by comparing the reporting unit’s carrying amount, including goodwill, to the fair value of the reporting unit. If the carrying amount of the reporting unit exceeds its fair value, goodwill is considered impaired and a second step is performed to measure the amount of the impairment loss, if any. To determine the fair value of each reporting unit, the Company uses the income approach, which is a generally accepted valuation methodology. For its offshore support reporting unit, the Company estimated the fair market value using estimated discounted cash flows. The Company discounts projected cash flows using a long-term weighted average cost of capital, which is based on the Company’s estimate of the investment returns that market participants would require for each of its reporting units. To develop the projected cash flows associated with the Company’s offshore support reporting unit, which are based on estimated future utilization and dayrates, the Company considered key factors that included assumptions regarding daily operating expenses, inflation and areas of future employment. For the year ended December 31, 2016, the Company concluded that the goodwill relating to its offshore support reporting unit was impaired and recorded a charge amounting to $7,002 included in “Impairment on goodwill” in the accompanying consolidated statement of operations (Note 7). |
Use of Estimates | (d)Use of estimates: The preparation of consolidated financial statements in conformity with U.S. 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. |
Comprehensive income/(loss) | (e)Comprehensive income/(loss): The Company’s comprehensive income/(loss) is comprised of net income/(loss), actuarial gains/losses related to the adoption and implementation of ASC 715, “Compensation-Retirement Benefits”, as well as losses in the fair value of the derivatives that qualify for hedge accounting in accordance with ASC 815 “Derivatives and Hedging” and realized gains/losses on cash flow hedges associated with capitalized interest in accordance with ASC 815-30-35-38 “Derivatives and Hedging”. The Company’s policy is in accordance with the requirements of Accounting Standard Update (“ASU”) 2013-02, “Comprehensive Income (Topic 220) - Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income”. Pursuant to ASU 2013-02, an entity should provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, an entity is required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under U.S. GAAP to be reclassified to net income in its entirety in the same reporting period. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. |
Cash and Cash Equivalents | (f)Cash and cash equivalents: The Company considers highly liquid investments such as time deposits and certificates of deposit with an original maturity of three months or less to be cash equivalents. |
Restricted Cash | (g)Restricted cash: Restricted cash may include: (i) cash collateral required under the Company’s financing and swap arrangements, (ii) retention accounts which can only be used to fund the loan installments coming due and (iii) minimum liquidity collateral requirements or minimum required cash deposits, as defined in the Company’s loan agreements. |
Trade Accounts Receivable net | (h) Trade accounts receivable net: The amount shown as trade accounts receivable, at each balance sheet date, includes receivables from customers, net of allowance for doubtful receivables. At each balance sheet date, all potentially uncollectible accounts are assessed individually for purposes of determining the appropriate allowance for doubtful receivables. |
Going Concern | (i) Going concern: The Company has adopted the provisions of ASU No. 2014-15, “Presentation of Financial Statements - Going Concern”. ASU 2014-15 provides U.S. GAAP guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and on related required footnote disclosures. For each reporting period, management is required to evaluate whether there are conditions or events that raise substantial doubt about a company’s ability to continue as a going concern within one year from the date the financial statements are issued. As of December 31, 2017, the Company reported a working capital surplus of $37,505 and had cash and cash equivalents including restricted cash amounted to $30,226. The Company also expects that it will fund its operations either with cash on hand, cash generated from operations, additional bank debt and equity offerings, or a combination thereof, in the twelve-month period ending one year after the financial statements’ issuance. |
Concentration of Credit Risk | (j) Concentration of credit risk: Financial instruments, which potentially subject the Company to significant concentrations of credit risk, consist principally of cash and cash equivalents; trade accounts receivable and derivative contracts (interest rate swaps). The maximum exposure to loss due to credit risk is the book value at the balance sheet date. The Company places its cash and cash equivalents, consisting mostly of bank deposits, with qualified financial institutions. The Company performs periodic evaluations of the relative credit standing of those financial institutions. The Company’s major customers are well known companies, which reduce its credit risk. When considered necessary, additional arrangements are put in place to minimize credit risk, such as letters of credit or other forms of payment guarantees. The Company limits its credit risk with trade accounts receivable by performing ongoing credit evaluations of its customers’ financial condition and generally does not require collateral for its trade accounts receivable. The Company makes advances for the construction of assets to the yards. The ownership of the assets is transferred from the yard to the Company at delivery. The credit risk of the advances was, to a large extent, reduced through refund guarantees issued by financial institutions. |
Advances for Vessels and Drilling Units under Construction | (k) Advances for vessels under construction: This represents amounts expended by the Company in accordance with the terms of the construction contracts for vessels as well as other expenses incurred directly or under a management agreement with a related party in connection with on-site supervision. In addition, interest costs incurred during the construction (until the asset is substantially complete and ready for its intended use) are capitalized. The carrying value of vessels under construction (“Newbuildings”) represents the accumulated costs at the balance sheet date. Cost components include payments for yard installments, acceptance tests’ consumption, commissions to related party, construction supervision, and capitalized interest. |
Capitalized Interest | (l) Capitalized interest: Interest expense is capitalized during the construction period of drilling units and vessels based on accumulated expenditures for the applicable project at the Company’s current rate of borrowing. The amount of interest expense capitalized in an accounting period is determined by applying an interest rate the (“capitalization rate”) to the average amount of accumulated expenditures for the asset during the period. The capitalization rates used in an accounting period are 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. If the Company’s financing plans associate a specific new borrowing with a qualifying asset, the Company uses the rate on that borrowing as the capitalization rate to be applied to that portion of the average accumulated expenditures for the asset that does not exceed the amount of that borrowing. If average accumulated expenditures for the asset exceed the amounts of specific new borrowings associated with the asset, the capitalization rate applied to such excess is a weighted average of the rates applicable to other borrowings of the Company. Capitalized interest and finance costs for the years ended December 31, 2015, 2016 and 2017, amounted to $12,060, $0 and $3,196 respectively (Note 15). |
Insurance Claims | (m) Insurance claims: The Company records insurance claim recoveries for insured losses incurred on damages to fixed assets, and for insured crew medical expenses under “Other current assets”. Insurance claims are recorded, net of any deductible amounts, at the time the Company’s fixed assets suffer insured damages, or loss due to the vessel being wholly or partially deprived of income as a consequence of damage to the unit or when crew medical expenses are incurred, recovery is probable under the related insurance policies and the Company can make an estimate of the amount to be reimbursed following the insurance claim. |
Inventories | (n) Inventories: Inventories consist of consumable bunkers (if any), propane heel (if any), lubricants and victualing stores, which were stated at the lower of cost or market value and are recorded under “Other current assets”. Cost is determined by the first in, first out method. Market could be the replacement cost, net realizable value or net realizable value less an approximately normal profit margin. In July 2015, the FASB issued ASU No. 2015-11 –Inventory. ASU 2015-11 is part of FASB Simplification Initiative, according to which the entities are required to measure inventory at the lower of cost or net realizable value. Net realizable value is defined as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. This update was effective for public entities for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years prospectively. During fiscal year 2017, the Company adopted the aforementioned update, which did not impact its results of operations, financial position or cash flows, in the current or previous interim and annual reporting periods. |
Foreign Currency Translation | (o) Foreign currency translation: The functional currency of the Company is the U.S. Dollar since the Company operates in international shipping and drilling markets (through June 8, 2015) and, therefore, primarily transacts business in U.S. Dollars. The Company’s accounting records are maintained in U.S. Dollars. Transactions involving other currencies during the year are converted into U.S. Dollars using the exchange rates in effect at the time of the transactions. At the balance sheet dates, monetary assets and liabilities, which are denominated in other currencies, are translated into U.S. Dollars at the year-end exchange rates. Resulting gains or losses are included in “Other, net” in the accompanying consolidated statements of operations. The Company recorded gain due to foreign currency differences amounting to $2,763, $745 and $335 included in the accompanying consolidated statement of operations as of December 31, 2015, 2016 and 2017, respectively. |
Fixed Assets, Net | (p)Fixed assets, net: (i)Drybulk, tanker carrier, gas carrier and offshore support vessels are stated at cost, which consists of the contract price and any material expenses incurred upon acquisition (initial repairs, improvements, delivery expenses and other expenditures to prepare the vessel for its initial voyage). Subsequent expenditures for major improvements are also capitalized when they appreciably extend the useful life, increase the earning capacity or improve the efficiency or safety of the vessels. The cost of each of the Company’s vessels is depreciated beginning when the vessel is ready for its intended use, on a straight-line basis over the vessel’s remaining economic useful life, after considering the estimated residual value. Vessel’s residual value is equal to the product of its lightweight tonnage and estimated scrap rate per ton. In general, management estimates the useful life of the Company’s drybulk and tanker carrier vessels to be 25 years, offshore support vessels 30 years and Very Large Gas Carriers (“VLGCs”) 35 years, from the date of initial delivery from the shipyard. When regulations place limitations over the ability of a vessel to trade on a worldwide basis, its remaining useful life is adjusted at the date such regulations are adopted. (ii)Drilling units were stated at historical cost less accumulated depreciation. Such costs included the cost of adding or replacing parts of drilling unit machinery and equipment when the cost was incurred, if the recognition criteria were met. The recognition criteria require that the cost incurred extends the useful life of a drilling unit. The carrying amounts of those parts that were replaced were written off and the cost of the new parts was capitalized. Depreciation was calculated on a straight-line basis over the useful life of the assets after considering the estimated residual value as follows: bare deck 30 years and other asset parts 5 to 15 years for the drilling units. The residual values of the drilling rigs and drillships were estimated at $35,000 and $50,000, respectively, for the year ended December 31, 2015. |
Long Lived Assets Held for Sale | (q) Long lived assets held for sale: The Company classifies long lived assets and disposal groups as being held for sale in accordance with ASC 360, “Property, Plant and Equipment”, when: (i) management has committed to a plan to sell the long lived assets; (ii) the long lived assets are available for immediate sale in their present condition; (iii) an active program to locate a buyer and other actions required to complete the plan to sell the long lived assets have been initiated; (iv) the sale of the long lived assets is probable and transfer of the asset is expected to qualify for recognition as a completed sale within one year; and (v) the long lived assets are being actively marketed for sale at a price that is reasonable in relation to its current fair value and actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. Long lived assets classified as held for sale are measured at the lower of their carrying amount or fair value less cost to sell. These long lived assets are not depreciated once they meet the criteria to be classified as held for sale. If circumstances arise that previously were considered unlikely and, as a result, the Company decides not to sell a long-lived asset previously classified as held for sale, the asset shall be reclassified as held and used. A long-lived asset that is reclassified shall be measured individually at the lower of its carrying amount before the asset or disposal group was classified as held for sale, adjusted for any depreciation expense that would have been recognized had the asset or disposal group been continuously classified as held and used and its fair value at the date of the subsequent decision not to sell. When the Company concludes a Memorandum of Agreement for the disposal of a vessel which has yet to complete a time charter, it is considered that the held for sale criteria discussed in guidance are not met until the time charter has been completed as the vessel is not available for immediate sale. As a result, such vessels are not classified as held for sale. When the Company concludes a Memorandum of Agreement for the disposal of a vessel which has no time charter to complete or a contract that is transferable to a buyer, it is considered that the held for sale criteria discussed in the guidance are met. As a result such vessels are classified as held for sale. Furthermore, in the period a long-lived asset meets the held for sale criteria, a loss is recognized for any reduction of the long-lived asset’s carrying amount to its fair value less cost to sell. For the years ended December 31, 2015 and 2016, the Company recognized such charges amounting to $967,144 and $13,395 (including a gain of $1,851 due to the reclassification of the drybulk vessels as held and used, effective December 31, 2016), respectively, included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, in the accompanying consolidated statement of operations (Notes 6 and 11). For the year ended December 31, 2017, the Company had its entire fleet as held and used. |
Impairment of Long-Lived Assets | (r) Impairment of long-lived assets: The Company reviews for impairment long-lived assets whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. In this respect, the Company reviews its assets for impairment on an asset by asset basis. When the estimate of undiscounted cash flows, excluding interest charges, expected to be generated by the use of the asset is less than its carrying amount, the Company evaluates the asset for impairment loss. The impairment loss is determined by the difference between the carrying amount of the asset and the fair value of the asset. The Company evaluates the carrying amounts of its vessels by obtaining vessel independent appraisals to determine if events have occurred that would require modification to their carrying values or useful lives. In evaluating useful lives and carrying values of long-lived assets, the Company reviews certain indicators of potential impairment, such as undiscounted projected operating cash flows, vessel sales and purchases, business plans and overall market conditions. In developing estimates of future undiscounted cash flows, the Company makes assumptions and estimates about the vessels’ future performance, with the significant assumptions being related to charter rates, fleet utilization, operating expenses, capital expenditures, residual value and the estimated remaining useful life of each vessel. The assumptions used to develop estimates of future undiscounted cash flows are based on historical trends as well as future expectations. To the extent impairment indicators are present, the Company determines undiscounted projected net operating cash flows for each vessel and compares them to their carrying value. The projected net operating cash flows are determined by considering the charter revenues from existing time charters for the fixed fleet days and an estimated daily time charter equivalent for the unfixed days. The Company estimates the daily time charter equivalent for the unfixed days of drybulk, tanker and gas carrier vessels based on the most recent ten year historical rates for similar vessels, adjusted for any outliers, and utilizing available market data for time charter and spot market rates and forward freight agreements and for offshore support vessels based on available market data, over the remaining estimated life of the vessel, net of brokerage commissions, expected outflows for vessels’ maintenance and operating expenses (including planned drydocking and special survey expenditures), assuming an average annual inflation rate based on the global consumer price index (“CPI”) changes and fleet utilization of 99% decreasing by 1.5% every five years after the first ten years. The salvage value used in the impairment test is estimated to be $250 per light weight ton (LWT) for vessels, in accordance with the Company’s vessels’ depreciation policy. If the Company’s estimate of undiscounted future cash flows for any vessel, is lower than its respective carrying value, the carrying value is written down, by recording a charge to operations, to its’ respective fair market value if the fair market value is lower than the vessel’s carrying value. As a result of the impairment review performed during 2015 and prior to the entering into the agreements for the sale of the Company’s vessels and vessel owning companies, indicated that the carrying amount of one of its drybulk vessels was not recoverable and, therefore, a charge of $83,937 was recognized and included in “Impairment loss (gain)/loss from sale of vessels and vessel owning companies and other “, in the accompanying consolidated statement of operations. Also, the impairment review for the year ended December 31, 2016, indicated that the carrying amount of the offshore support vessels’ was not recoverable and, therefore, a charge of $65,712 was recognized and included in “Impairment loss, (gain)/loss from sale of vessels and vessel owning companies and other”, in the accompanying consolidated statement of operations (Note 6). As a result of the impairment review for the year ended December 31, 2017, the Company determined that the carrying amounts of its vessels were recoverable and, therefore, concluded that no impairment loss was necessary for 2017. |
Dry-docking Costs | (s) Dry-docking costs: The Company follows the direct expense method of accounting for dry-docking costs whereby costs are expensed in the period incurred for the vessels and drilling units. |
Class Costs | (t) Class costs: The Company follows the direct expense method of accounting for periodic class costs incurred during special surveys of drilling units, normally every five years. Class costs and other maintenance costs are expensed in the period incurred and included in “Vessels’ and drilling units’ operating expenses”. |
Deferred Financing Costs | (u) Deferred financing costs: Deferred financing costs include fees, commissions and legal expenses associated with the Company’s long- term debt. The Company’s policy is in accordance with ASU 2015-03 “Simplifying the Presentation of Debt Issuance Costs”, issued in April 2015. The Company presents such costs in the balance sheet as a direct deduction from the related debt liability. These costs are amortized over the life of the related debt using the effective interest method and are included in interest expense. Unamortized fees relating to loans repaid or refinanced as debt extinguishments are expensed as interest and finance costs in the period the repayment or extinguishment is made. Amortization and write offs for each of the years ended December 31, 2015, 2016 and 2017, amounted to $23,834, $572 and $387 respectively (Note 15). |
Non-monetary Transactions - Exchange of the capital stock of an entity for nonmonetary assets or services | (v) Non-monetary transactions - Exchange of the capital stock of an entity for nonmonetary assets or services: Non-monetary transactions are measured at the fair value of the consideration received or the fair value of the equity instruments issued, whichever is more reliably measurable. Any difference between the fair value and the transaction price is considered as gain or loss for the Company. The Company determines fair value of assets and liabilities given up or received in accordance with ASC 820 “Fair Value Measurement”. In cases of transactions related to an exchange of preferred shares with common ones, any difference between the fair value and the carrying value of the exchanged preferred shares is considered as shareholders dividend or capital contribution from/to the Company. |
Extinguishment of Preferred Stock | (w) Extinguishment of Preferred Stock: In case of preferred stock extinguishment, the difference between the fair value of the consideration transferred to the holders of the preferred stock and the carrying amount of the preferred stock in the Company’s balance sheet (net of issuance costs) should be subtracted from (or added to) net income/loss to arrive at income/loss available to common stockholders in the calculation of earnings/loss per share. The difference between the fair value of the consideration transferred to the holders of the preferred stock and the carrying amount of the preferred stock in the Company’s balance sheet represents a return to (from) the preferred stockholder that should be treated in a manner similar to the treatment of dividends paid on preferred stock. |
Revenue and Related Expenses | (x)Revenue and related expenses: (i)Drybulk carrier, tanker, gas carrier and offshore support vessels: Time and bareboat charters: The Company generates its revenues from charterers for the charter hire of its vessels, which are considered to be operating lease arrangements. Vessels are chartered using time and bareboat charters and where a contract exists, the price is fixed, service is provided and collection of the related revenue is reasonably assured, revenue is recognized as it is earned ratably on a straight-line basis over the duration of the period of each time charter as adjusted for the off-hire days that the vessel spends undergoing repairs, maintenance and upgrade work depending on the condition and specification of the vessel. Revenues related to mobilization and direct incremental expenses of mobilization are initially deferred and recognized as revenues and expenses, over the duration of the time charter agreements, and to the extent that expenses exceed revenue to be recognized, they are expensed as incurred. Voyage charters: Voyage charter is a charter where a contract is made in the spot market for the use of a vessel for a specific voyage for a specified freight rate per ton. If a charter agreement exists and collection of the related revenue is reasonably assured, revenue is recognized as it is earned ratably during the duration of the period of each voyage. When a voyage charter agreement is in place, a voyage is deemed to commence upon the completion of discharge of the vessel’s previous cargo and is deemed to end upon the completion of discharge of the current cargo. Demurrage income represents payments by a charterer to a vessel owner when loading or discharging time exceeds the stipulated time in the voyage charter and is recognized ratably as earned during the related voyage charter’s duration period. Profit Sharing agreements: Profit-sharing revenues are calculated at an agreed percentage of the excess of the charterer’s average daily income over an agreed amount and accounted for on an accrual basis based on provisional amounts and for those contracts that provisional accruals cannot be made due to the nature of the profit share elements, these are accounted for on the actual cash settlement. Voyage related and vessel operating costs: Under a time charter, specified voyage costs, such as fuel and port charges are paid by the charterer and other non-specified voyage expenses, such as commissions, are paid by the Company. Commissions are either paid for by the Company or are deducted from the hire revenue. Vessel operating costs including crew, maintenance and insurance are paid by the Company. Under voyage charter arrangements, voyage expenses, primarily consisting of commissions, port, canal and bunker expenses that are unique to a particular charter, are paid for by the Company. All voyage and vessel operating expenses are expensed as incurred, except for commissions. Commissions are deferred and amortized over the related voyage charter period to the extent revenue has been deferred since commissions are earned as the Company’s revenues are earned. Under a bareboat charter, the charterer assumes responsibility for all voyage and vessel operating expenses and risk of operation. Deferred voyage revenue: Deferred voyage revenue primarily relates to cash advances received from charterers. These amounts are recognized as revenue over the voyage or charter period. (ii)Drilling units: Revenues: The Company’s services and deliverables, regarding its drilling units, were generally sold based upon contracts with its customers that included fixed or determinable prices. The Company recognized revenue when delivery occurred, as directed by its customer, and collectability was reasonably assured. The Company evaluated if there were multiple deliverables within its contracts and whether the agreement conveyed the right to use the drilling units for a stated period of time and met the criteria for lease accounting, in addition to providing a drilling services element, which was generally compensated for by day rates. In connection with drilling contracts, the Company could also receive revenues for preparation and mobilization of equipment and personnel or for capital improvements to the drilling units and day rate or fixed price mobilization and demobilization fees. Revenues were recorded net of agents’ commissions. There are two types of drilling contracts: well contracts and term contracts. (a) Well contracts: Well contracts are contracts under which the assignment is to drill a certain number of wells. Revenue from day-rate based compensation for drilling operations was recognized in the period during which the services were rendered at the rates established in the contracts. All mobilization revenues, direct incremental expenses of mobilization and contributions from customers for capital improvements were initially deferred and recognized as revenues and expenses, as applicable, over the estimated duration of the drilling period. To the extent that mobilization expenses exceeded revenue to be recognized, they were expensed as incurred. Demobilization revenues and expenses were recognized over the demobilization period. All revenues for well contracts were recognized as “Service revenues” in the consolidated statement of operations. (b) Term contracts: Term contracts are contracts under which the assignment is to operate the unit for a specified period of time. For these types of contracts the Company determined whether the arrangement was a multiple element arrangement containing both a lease element and drilling services element. For revenues derived from contracts that contained a lease, the lease elements were recognized as “Leasing revenues” in the consolidated statement of operations on a basis approximating straight line over the lease period. The drilling services element was recognized as “Service revenues” in the period in which the services were rendered at estimated fair value. Revenues related to the drilling element of mobilization and direct incremental expenses of drilling services were deferred and recognized over the estimated duration of the drilling period. To the extent that expenses exceeded revenue to be recognized, they were expensed as incurred. Demobilization fees and expenses were recognized over the demobilization period. Contributions from customers for capital improvements were initially deferred and recognized as revenues over the estimated duration of the drilling contract. |
Earnings/(loss) per Common Share | (y) Earnings/(loss) per common share: Basic earnings/(loss) per common share are computed by dividing net income/(loss) available to common stockholders by the weighted average number of common shares outstanding during the year. Diluted earnings per common share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised. Dilution is computed by the treasury stock method whereby all of the Company’s dilutive securities are assumed to be exercised and the proceeds used to repurchase common shares at the weighted average market price of the Company’s common stock during the relevant periods. The incremental shares (the difference between the number of shares assumed issued and the number of shares assumed purchased) are included in the denominator of the diluted earnings per share computation. |
Segment Reporting | (z) Segment reporting: The Company determined that currently it operates under four reportable segments, as a provider of drybulk commodities transportation services for the steel, electric utility, construction and agri-food industries (drybulk segment), as a provider of offshore support services to the global offshore energy industry (offshore support segment), as a provider of transportation services for crude and refined petroleum cargoes (tanker segment) and as a provider of transportation services for liquefied gas cargoes (gas carrier segment). The Company operated also as a provider of ultra-deep water drilling services (drilling segment) until the deconsolidation of Ocean Rig on June 8, 2015. The accounting policies applied to the reportable segments are the same as those used in the preparation of the Company’s consolidated financial statements. |
Financial Instruments | (aa) Financial instruments: The Company designates its derivatives based upon guidance on ASC 815, “Derivatives and Hedging” which establishes accounting and reporting requirements for derivative instruments, including certain derivative instruments embedded in other contracts and for hedging activities. The guidance on accounting for certain derivative instruments and certain hedging activities requires all derivative instruments to be recorded on the balance sheet as either an asset or liability measured at its fair value, with changes in fair value recognized in earnings unless specific hedge accounting criteria are met. (i) Hedge accounting: At the inception of a hedge relationship, the Company formally designates and documents the hedge relationship to which the Company wishes to apply hedge accounting and the risk management objective and strategy undertaken for the hedge. The documentation includes identification of the hedging instrument, hedged item or transaction, the nature of the risk being hedged and how the entity will assess the hedging instrument’s effectiveness in offsetting exposure to changes in the hedged item’s cash flows attributable to the hedged risk. Such hedges are expected to be highly effective in achieving offsetting changes in cash flows and are assessed on an ongoing basis to determine whether they actually have been highly effective throughout the financial reporting periods for which they were designated. The Company was party to interest swap agreements where it received a floating interest rate and paid a fixed interest rate for a certain period. All of the Company’s interest swap agreements were either matured or terminated during the year ended December 31, 2016. Contracts which meet the strict criteria for hedge accounting are accounted for as cash flow hedges. A cash flow hedge is a hedge of the exposure to variability in cash flows that is attributable to a particular risk associated with a recognized asset or liability, or a highly probable forecasted transaction that could affect profit or loss. The effective portion of the gain or loss on the hedging instrument is recognized directly as a component of “Accumulated other comprehensive income/(loss)” in equity, while any ineffective portion, if any, is recognized immediately in current period earnings. The Company discontinues cash flow hedge accounting if the hedging instrument expires and it no longer meets the criteria for hedge accounting or designation is revoked by the Company. At that time, any cumulative gain or loss on the hedging instrument recognized in equity is kept in equity until the forecasted transaction occurs. When the forecasted transaction occurs, any cumulative gain or loss on the hedging instrument is recognized in the consolidated statement of operations. If a hedged transaction is no longer expected to occur, the net cumulative gain or loss recognized in equity is transferred to net profit or loss for the year as financial income or expense. (ii) Other derivatives: Changes in the fair value of derivative instruments that have not been designated as hedging instruments are reported in current period earnings. |
Fair Value Measurements | (ab) Fair value measurements: The Company follows the provisions of ASC 820, “Fair Value Measurements and Disclosures” which defines, and provides guidance as to the measurement of, fair value. ASC 820 creates a hierarchy of measurement and indicates that, when possible, fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. The fair value hierarchy gives the highest priority (Level 1) to quoted prices in active markets and the lowest priority (Level 3) to unobservable data, for example, the reporting entity’s own data. Under the standard, fair value measurements are separately disclosed by level within the fair value hierarchy (Note 11). |
Stock-based Compensation | (ac) Stock-based compensation: Stock-based compensation represents vested and non-vested common stock granted to employees and directors, for their services. The Company calculates total compensation expense for the award based on its fair value on the grant date and amortizes the total compensation on an accelerated basis over the vesting period of the award or service period (Note 13). In March 2016, the FASB issued ASU 2016-09, “Compensation-Stock Compensation – Improvements to Employee Share-Based Payment Accounting (Topic 718)” (“ASU 2016-09”), which involves several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. Under the new standard, all excess income tax benefits and deficiencies are to be recognized as income tax expense or benefit in the income statement and the tax effects of exercised or vested awards should be treated as discrete items in the reporting period in which they occur. An entity should also recognize excess tax benefits regardless of whether the benefit reduces taxes payable in the current period. Excess tax benefits should be classified along with other income tax cash flows as an operating activity. In regards to forfeitures, the entity may make an entity-wide accounting policy election to either estimate the number of awards that are expected to vest or account for forfeitures when they occur. ASU 2016-09 is effective for fiscal years beginning after December 15, 2016, including interim periods within that reporting period, however early adoption is permitted. The Company has adopted the provisions of ASU 2016-09, which did not impact its consolidated financial statements and notes disclosures. |
Income Taxes | (ad) Income taxes: Income taxes are provided for based upon the tax laws and rates in effect in the countries in which the Company’s drilling and ocean going cargo vessels’ operations were conducted and income was earned. There is no expected relationship between the provision for/or benefit from income taxes and income or loss before income taxes because the countries in which the Company operates have taxation regimes that vary not only with respect to the nominal rate, but also in terms of the availability of deductions, credits and other benefits. Variations also arise because income earned and taxed in any particular country or countries may fluctuate from year to year. Deferred tax assets and liabilities are recognized for the anticipated future tax effects of temporary differences between the financial statement basis and the tax basis of the Company’s assets and liabilities using the applicable jurisdictional tax in effect at the year end. A valuation allowance for deferred tax assets is recorded when it is more likely than not that some or all of the benefit from the deferred tax asset will not be realized. The Company accrues interest and penalties related to its liabilities for unrecognized tax benefits as a component of income tax expense. For the taxable year ending December 31, 2017, the Company did not qualify for an exemption from United States taxation on its U.S. source shipping. As a result, its U.S. source shipping income is subject to a 2% - 4% tax impose without allowance for deductions (Note 18). |
Commitments and Contingencies | (ae) Commitments and contingencies: Provisions are recognized when the Company has a present legal or constructive obligation as a result of past events; it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation; and a reliable estimate of the amount of the obligation can be made. Provisions are reviewed at each balance sheet date. |
Investments in Affiliates | (af) Investments in Affiliates: Affiliates are entities over which the Company generally has between 20% and 50% of the voting rights, or over which the Company has significant influence, but over which it does not exercise control. Investments in these entities are accounted for by the equity method of accounting. Under this method the Company records an investment in the stock of an affiliate at cost or at fair value in case of a retained investment in the common stock of an investee in a deconsolidation transaction, and adjusts the carrying amount for its share of the earnings or losses of the affiliate subsequent to the date of investment and reports the recognized earnings or losses in income. Dividends received from an affiliate reduce the carrying amount of the investment. When the Company’s share of losses in an affiliate equals or exceeds its interest in the affiliate, the Company does not recognize further losses, unless the Company has incurred obligations or made payments on behalf of the affiliate. At each reporting date, the Company performs an assessment in order to identify and account for any other than temporary impairment in its investment in affiliates. Specifically, the Company assesses factors indicating that a decline in the value of an investment is other-than-temporary and that a write-down of the carrying amount is required and concludes whether the impairment is other than temporary and then measures and recognizes the respective impairment charge as the difference between the carrying value and the fair value of the equity investment. In accordance with ASC 825-10 entities are allowed to elect to measure certain financial assets and financial liabilities (as well as certain non-financial instruments that are similar to financial instruments) at fair value. Equity method investments are eligible for the fair value option. If the fair value option is applied to an investment that would otherwise be accounted for under the equity method, ASC 825-10-25-7 requires that the fair value option be applied to all of the investor’s eligible interests in that investee. The fair value option election is non-revocable even if the Company loses significant influence over the investee. Under the fair value model, an investment in an affiliate is recognized initially at the fair value at the transaction date and at each reporting date, an investor shall measure its investments in affiliates at fair value, with changes recognized in profit or loss. Affiliates included in the financial statements: In the Company’s consolidated financial statements, the following Ocean Rig and its subsidiaries, accounted for under the equity method from June 8, 2015 through April 4, 2016, (ownership interest as of April 4, 2016, was 40.4%); and Heidmar, a global tanker pool operator, accounted for under the fair value option from August 29, 2017 (ownership interest is 49%). |
Accounting for Transactions under Common Control | (ag)Accounting for transactions under common control: A common control transaction is any transfer of net assets or exchange of equity interests between entities or businesses that are under common control by an ultimate parent or controlling shareholder before and after the transaction. Common control transactions may have characteristics that are similar to business combinations but do not meet the requirements to be accounted for as business combinations because, from the perspective of the ultimate parent or controlling shareholder, there has not been a change in control over the acquiree. Due to the fact common control transactions do not result in a change in control at the ultimate parent or controlling shareholder level, the Company does not account for that at fair value. Rather, common control transactions are accounted for at the carrying amount of the net assets or equity interests transferred. |
Troubled Debt Restructurings | (ah)Troubled Debt Restructurings: A restructuring of a debt constitutes a troubled debt restructuring if the lender or creditor for economic or legal reasons related to the Company’s financial difficulties grants a concession to the Company that it would not otherwise consider. Troubled debt that is fully satisfied by foreclosure, repossession, or other transfer of assets or by grant of equity securities by the Company is included in the term troubled debt restructuring and is accounted as such. The Company, when issuing or otherwise granting an equity interest to a lender or creditor to settle fully a payable or debt, accounts for the equity interest granted at its fair value. The difference between the fair value of the equity interest granted and the carrying amount of the payable or debt settled is recognized as a gain on restructuring of payables or debt. Legal fees and other direct costs incurred in granting an equity interest to a creditor reduce the fair value of the equity interest issued. All other direct costs incurred in connection with a troubled debt restructuring are charged to expense as incurred. |
Recent accounting pronouncements | (ai)Recent accounting pronouncements: Leases: In February 2016, the FASB issued ASU No. 2016-02, Leases (ASC 842), which requires lessees to recognize most leases on the balance sheet. This is expected to increase both reported assets and liabilities. The new lease standard does not substantially change lessor accounting. For public companies, the standard will be effective for the first interim reporting period within annual periods beginning after December 15, 2018, although early adoption is permitted. Lessees and lessors will be required to apply the new standard at the beginning of the earliest period presented in the financial statements in which they first apply the new guidance, using a modified retrospective transition method. The Company is currently analyzing the impact of the adoption of this new standard. Revenue from Contracts with Customers: In May 2016, the FASB issued their final standard on revenue from contracts with customers. The standard, which was issued as ASU 2014-09 (Topic 606) by the FASB, and as amended, outlines a single comprehensive model for entities to use in accounting for revenue from contracts with customers and supersedes most legacy revenue recognition guidance. The core principle of the guidance in Topic 606, is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services by applying the following steps: (1) identify the contract(s) with a customer; (2) identify the performance obligations in each contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in each contract; and (5) recognize revenue when (or as) the entity satisfies a performance obligation. The standard is effective for public business entities from annual reporting periods beginning after December 15, 2017, including interim reporting periods within that reporting period. The new revenue standard may be applied using either of the following transition methods: (1) a full retrospective approach reflecting the application of the standard in each prior reporting period with the option to elect certain practical expedients, or (2) a modified retrospective approach with the cumulative effect of initially adopting the standard recognized at the date of adoption (which includes additional footnote disclosures). Regarding the incremental costs of obtaining a contract with a customer and contract’s fulfilling costs, they should be capitalized and been amortized over the voyage duration, if certain criteria are met – for incremental costs if only they are chargeable to the customer and for contract’s fulfilling costs if each of the following criteria is met: (i) they relate directly to the contract, (ii) they generate or enhance entity’s resources that shall be used in performance obligation satisfaction and (iii) are expected to be recovered. Further, in case of incremental costs, entities may elect not to capitalize them in cases of amortization period (voyage period) is less than one year. On January 1, 2018, the Company adopted the aforementioned ASU, using the modified retrospective method. As a result, the commencement date of each voyage charter shall deem to be upon the loading of the current cargo, decreasing the duration of the voyages. Further, the related incremental costs (i.e. commissions) shall continue to be expensed as incurred but over the new duration of each voyage, as Company’s voyages are less than one year. Regarding voyage expenses, either during the voyage or the ballast period, no change in Company’s accounting policy shall occur, as the three criteria are not met collectively. Regarding time charter and profit sharing contracts, no material changes related to Company’s accounting policies were identified. As of December 31, 2017, four of the Company’s vessels operate under voyage charter. The effect of the change in the voyage period due to the adoption of the new accounting standard will result to a cumulative adjustment of $1,264 in the opening balance of Company’s accumulated deficit for the fiscal year 2018. Financial Instruments: In January 2016, the FASB issued ASU No. 2016-01– Financial Instruments - Overall (Subtopic 825-10). ASU 2016-01, changes how public companies will recognize, measure, present and make disclosures about certain financial assets and financial liabilities. For public business entities, ASU 2016-01 is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Early application is permitted. The Company is evaluating the above pronouncement. The adoption of this pronouncement is not expected to have a material impact on the Company’s consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13– Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. ASU 2016-13 amends guidance on reporting credit losses for assets held at amortized cost basis and available for sale debt securities. For public entities, the amendments of this update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early application is permitted. The Company is in the process of assessing the impact of the provisions of this guidance on the Company’s consolidated financial position and performance. Statement of Cash Flows: In August 2016, the FASB issued ASU No. 2016-15- Statement of Cash Flows (Topic 230) – Classification of Certain Cash Receipts and Cash Payments which addresses certain cash flow issues with the objective of reducing the existing diversity in practice: ASU 2016-15 is effective for fiscal years beginning after December 15, 2017 including interim periods within that reporting period, however early adoption is permitted. The Company is currently evaluating the provisions of this guidance and assessing its impact on its consolidated financial statements and notes disclosures. In November 2016, the FASB issued ASU No. 2016-18—Statement of Cash Flows (Topic 230) - Restricted Cash, which addresses the requirement that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The amendments in this update apply to all entities that have restricted cash or restricted cash equivalents and are required to present a statement of cash flows under Topic 230. ASU 2016-18 is effective for fiscal years beginning after December 15, 2017 including interim periods within that reporting period, however early adoption is permitted. The Company is currently evaluating the provisions of this guidance and assessing its impact on its consolidated statement of cash flows. Business combinations – Definition of a business: In January 2017, the FASB issued ASU No. 2017-01 – Business Combinations (Topic 805) – Clarifying the Definition of a Business which addresses business combination issues with the objective of adding guidance to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. ASU 2017-01 is effective for fiscal years beginning after December 15, 2017 including interim periods within that reporting period. The Company is currently evaluating the provisions of this guidance and assessing its impact on its consolidated financial statements and notes disclosures. |
Basis of Presentation and Gen28
Basis of Presentation and General Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Basis of Presentation and General Information | |
Schedule of Revenue by Major Charterer | Year ended December 31, 2015 2016 2017 Customer A - Drilling segment 12% - - Customer B - Drilling segment 14% - - Customer C - Drilling segment 11% - - Customer D - Drilling segment 10% - - Customer E - Drilling segment 10% - - Customer F - Drilling segment 10% - - Customer G – Offshore support segment - 37% - |
Transactions with Related Par29
Transactions with Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | December 31, 2016 2017 Balance Sheet Due from related parties $ 6,674 $ 16,914 Due from related parties (current) - Total 6,674 16,914 Due to related parties (5,033) (72) Due to related parties (current) - Total $ (5,033) $ (72) Due to related parties (116,617) (71,631) Due to related parties (non - current) - Total $ (116,617) $ (71,631) Advances for vessels under construction and related costs - 1,004 Accrued liabilities $ (1,082) $ (350) Year ended December 31, Statement of Operations 2015 2016 2017 Time charter & Service Revenues – commission fees $ 7,366 $ 1,800 $ 3,988 Voyage expenses (4,521) (390) (1,526) General and administrative expenses (50,498) (32,397) (23,850) Commissions for assets sold (8,133) (886) (85) Gain/(loss) from sale of vessel owning companies, net of commissions - (22,318) - Interest and finance costs (3,679) $ (1,789) (13,070) Loss on Private Placement $ - - $ (7,600) (Per day and per quarter information in the note below is expressed in United States Dollars/Euros) |
Other Current assets (Tables)
Other Current assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Assets [Abstract] | |
Other Current Assets | December 31, 2016 2017 Inventories $ 3,446 $ 7,790 Insurance claims (Note 14) 1,071 3,044 Other 29 1,445 Other current assets $ 4,546 $ 12,279 |
Advances for Vessels under Co31
Advances for Vessels under Construction (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Advances for Vessels under Construction [Abstract] | |
Advances for Vessels and Drilling Units under Construction and Acquisitions | December 31, 2016 2017 Balance at beginning of year $ - $ - Advances for vessels under construction and related costs - 265,565 Vessels delivered - (233,667) Balance at end of year $ - $ 31,898 |
Vessels, net (Tables)
Vessels, net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Vessels, net [Abstract] | |
Vessels | Cost Accumulated Depreciation Net Book Value Balance, December 31, 2015 $ 97,100 (672) $ 96,428 Vessels transferred from held for sale 66,449 - 66,449 Impairment loss (67,999) 4,138 (63,861) Depreciation - (3,466) (3,466) Balance, December 31, 2016 $ 95,550 - $ 95,550 Additions 672,300 - 672,300 Vessels sold (3,900) 104 (3,796) Depreciation - (14,966) (14,966) Balance, December 31, 2017 $ 763,950 $ (14,862) $ 749,088 |
Other Non-Current Assets (Table
Other Non-Current Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Non-Current Assets [Abstract] | |
Other Non-Current Assets | December 31, 2016 2017 Other non-current assets $ - $ 44,869 $ - $ 44,869 |
Long-term Debt (Tables)
Long-term Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Long-term Debt [Abstract] | |
Long-term Debt | December 31, 2016 2017 Secured Credit Facilities - Drybulk Segment $ 16,935 $ - Secured Credit Facilities - Gas Carrier Segment - 147,716 Less: Deferred financing costs (124) (2,378) Total debt 16,811 145,338 Less: Current portion (16,811) (11,635) Long-term portion $ - $ 133,703 |
Loan Movements for Credit Facilities and Term Loans Throughout the Year | Loan Loan agreement date Original Amount December 31, 2016 New Loans Repayments December 31, 2017 Secured Credit Facility March 19, 2012 $ 19,065 $ 14,935 - (14,935) $ - Secured Credit Facility June 20, 2008 103,200 2,000 - (2,000) - Secured Credit Facility June 22, 2017 150,000 - 150,000 (2,284) 147,716 $ 16,935 150,000 (19,219) $ 147,716 |
Principal Payments | Due through December 31, 2018 $ 12,179 Due through December 31, 2019 12,179 Due through December 31, 2020 12,180 Due through December 31, 2021 12,180 Due through December 31, 2022 12,180 Thereafter 86,818 Total principal payments 147,716 Less: Financing fees (2,378) Total debt $ 145,338 |
Financial Instruments and Fai35
Financial Instruments and Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Financial Instruments and Fair Value Measurements [Abstract] | |
Effect of Derivative Instruments on the Consolidated Statements of Operations | Amount of Gain/(Loss) Year Ended December 31, Derivatives not designated as hedging instruments Location of Gain or (Loss) Recognized 2015 2016 2017 Interest rate swaps Gain/(Loss) on interest rate swaps $ (11,601) $ 403 $ - Total $ (11,601) $ 403 $ - |
Fair Value, Assets Measured on a Recurring and Non-Recurring Basis | The following table summarizes the valuation of assets and liabilities measured at fair value on a recurring basis as of December 31, 2017. Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Unobservable Inputs (Level 3) Recurring measurements: Investment in affiliate – Heidmar (Note 9) $ - $ - $ 34,000 Total $ - $ - $ 34,000 The following table summarizes the valuation of assets measured at fair value on a non-recurring basis as of December 31, 2016. Quoted Prices in Active Markets for Identical Assets/ Liabilities (Level 1) Significant Other Observable Inputs (Level 2) Unobservable Inputs (Level 3) Non-Recurring measurements: Long-lived assets held and used $ - $ 95,550 $ - Total $ - $ 95,550 $ - |
Common Stock and Additional P36
Common Stock and Additional Paid-in Capital (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Common Stock and Additional Paid-in Capital | |
Net Loss Attributable to Dryships Inc. and Transfers to the Non-controlling Interest | Year Ended December 31, 2015 2016 2017 Net loss attributable to Dryships Inc. $ (2,847,061) $ (198,686) $ (42,544) Transfers to the non-controlling interest: Decrease in Dryships Inc. equity for reduction in subsidiary ownership (49,444) - - Net transfers to the non-controlling interest (49,444) - - Net loss attributable to Dryships Inc. and transfers to/from the non-controlling interest $ (2,896,505) $ (198,686) $ (42,544) |
Interest and Finance Costs (Tab
Interest and Finance Costs (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Interest and Finance Costs [Abstract] | |
Interest and Finance Costs | Year ended December 31, 2015 2016 2017 Interest incurred on long-term debt $ 150,061 $ 6,164 $ 1,499 Interest, amortization and write off of financing fees on loan from affiliate and related party 3,642 1,563 15,239 Amortization and write-off of financing fees 23,834 572 387 Discount on receivable from drilling contract 4,048 - - Commissions, commitment fees and other financial expenses and related party 2,607 558 778 Capitalized interest and finance costs (12,060) - (3,196) Total $ 172,132 $ 8,857 $ 14,707 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Information | |
Reporting Information by Segment | Drybulk Segment Offshore Support Segment Drilling Segment Tanker Segment Gas Carrier Segment Other TOTAL 2015 2016 2017 2015 2016 2017 2015 2015 2016 2017 2017 2017 2015 2016 2017 Revenues $ 115,598 $ 30,777 $ 65,723 $8,118 $21,157 $3,819 $725,805 $120,304 $ - $20,858 $ 10,316 $ - $969,825 $51,934 $100,716 Vessels and drilling units operating expenses (87,704) (30,969) (40,024) (3,977) (14,587) (4,749) (259,623) (19,770) (7) (8,830) (5,745) - (371,074) (45,563) (59,348) Depreciation and amortization (65,607) - (7,326) (672) (3,466) (950) (155,352) (6,021) - (4,652) (2,038) - (227,652) (3,466) (14,966) Goodwill impairment - - - - (7,002) - - - - - - - - (7,002) - Loss on contract cancellation (28,241) - - - - - - - - - - - (28,241) - - Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other (1,000,485) (35,470) 4,425 - (70,873) (300) - (56,631) - - - - (1,057,116) ( 106,343) 4,125 General and administrative expenses (44,519) (29,822) (19,095) (2,858) (9,849) (7,677) (46,989) (10,546) (37) (2,384) (1,816) - (104,912) (39,708) (30,972) Gain/(loss) on interest rate swaps 567 (917) - - - - 9,588 1,446 514 - - - (11,601) 403 - Gain on debt restructuring - 10,477 - - - - - - - - - - - 10,477 - Income taxes - - (56) (188) (38) (20) (36,931) - - - (76) - (37,119) (38) (152) Net income/(loss) (1,180,056) (69,966) (23,676) (2,711) (86,553) (13,322) (1,601,451) (23,868) (713) (4,492) (1,054) - (2,808,086) (198,686) (42,544) Net income/(loss) attributable to Dryships Inc. (1,180,056) (69,966) (23,676) (2,657) (86,553) (13,322) (1,640,480) (23,868) (713) (4,492) (1,054) - (2,847,061) (198,686) (42,544) Interest and finance cost (45,321) (8,706) (13,476) (105) (93) (24) (123,463) (8,766) (58) (4) (1,203) - (177,655) (8,857) (14,707) Interest income 76 66 1,310 2 13 25 5,954 18 2 - 30 - 6,050 81 1,365 Change in fair value of derivatives (gain)/loss (10,768) (1,957) - (6) - - 349 (422) (236) - - - (10,848) (2,193) - Total assets $ 342,287 $ 162,532 $ 348,657 $ 131,124 $ 31,191 $ 26,871 $ - $ 2,641 $ 7 $ 202,543 $322,854 $34,000 $ 476,052 $ 193,730 $934,925 |
Segment Information Reconciliation | December 31, 2015 December 31, 2016 December 31, 2017 Interest and finance costs Interest for reportable segments 177,655 8,857 14,707 Elimination of intersegment interest (5,523) - - Total consolidated Interest and finance costs $ 172,132 $ 8,857 $ 14,707 Interest income Interest for reportable segments 6,050 81 1,365 Elimination of intersegment interest (5,523) - - Total consolidated Interest income $ 527 $ 81 $ 1,365 |
Revenue per Country | Country Year ended December 31, 2015 Congo $ 31,807 Norway 101,584 Brazil 253,283 Ivory Coast 12,065 Angola 275,410 Falkland 51,656 Total leasing and service revenues $ 725,805 Year ended December 31, Country 2015 2016 2017 Brazil 8,118 19,312 5,018 Europe - 1,800 - Total revenues $ 8,118 $ 21,112 $ 5,018 |
Losses per share (Tables)
Losses per share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Losses per Share [Abstract] | |
Losses per Share | Year ended December 31, 2015 2016 2017 Loss (numerator) Weighted- average number of outstanding shares (denominator) Amount per share Loss (numerator) Weighted- average number of outstanding share (denominator) Amount per share Loss (numerator) Weighted- average number of outstanding shares (denominator) Amount per share Net loss attributable to DryShips Inc. $ (2,847,061) - $ - $ (198,686) - $ - $ (42,544) - $ - Plus: Contribution from Series D Preferred Stock - - - - - - 2,805 - - -Less: Convertible Preferred stock dividends - - - (7,695) - - - - - -Less: Non-vested common stock dividends declared and undistributed earnings (570) - - - - - - - - Basic LPS Loss available to common stockholders $ (2,847,631) 57 $ (49,958,438.60 ) $ (206,381) 453 $ (455,587.20) $ (39,739) 35,225,784 $ (1.13) Dilutive effect of securities Diluted LPS Loss available to common stockholders $ (2,847,631) 57 $ (49,958,438.60 ) $ (206,381) 453 $ (455,587.20) $ (39,739) 35,225,784 $ (1.13) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Taxes [Abstract] | |
Schedule of Income Before Income Tax Domestic and Foreign | Year ended December 31, 2015 Domestic income / (loss) (Republic of the Marshall Islands) $ 90,181 Foreign income 42,277 Total income before taxes $ 132,458 |
Schedule of Components of Income Tax Expense Benefit | Year ended December 31, 2015 Current Tax expense $ 37,119 Income taxes $ 37,119 Effective tax rate 28.0% |
Schedule Reconciliation Total Tax Expense | Reconciliation of total tax expense: Year ended December 31, 2015 Income tax $ 37,119 Taxes on litigation matters subject to statutory rates, including interest and penalties - Total $ 37,119 |
Basis of Presentation and Gen41
Basis of Presentation and General Information (Table) (Details) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Customer A - Drilling segment | ||
Major customer revenue percentage | 12.00% | |
Customer B - Drilling segment | ||
Major customer revenue percentage | 14.00% | |
Customer C - Drilling segment | ||
Major customer revenue percentage | 11.00% | |
Customer D - Drilling segment | ||
Major customer revenue percentage | 10.00% | |
Customer E - Drilling segment | ||
Major customer revenue percentage | 10.00% | |
Customer F - Drilling segment | ||
Major customer revenue percentage | 10.00% | |
Customer G - Offshore support segment | ||
Major customer revenue percentage | 37.00% |
Basis of Presentation and Gen42
Basis of Presentation and General Information (Details) | 1 Months Ended | 2 Months Ended | 3 Months Ended | 4 Months Ended | 6 Months Ended | 7 Months Ended | 10 Months Ended | |||||
Jan. 23, 2017 | Mar. 11, 2016 | Apr. 11, 2017 | May 11, 2017 | Jun. 22, 2017 | Jul. 21, 2017 | Aug. 15, 2016 | Nov. 01, 2016 | Aug. 29, 2017 | Apr. 05, 2016 | Apr. 04, 2016 | Jun. 08, 2015 | |
Stockholders' Equity, Reverse Stock Split | 1-for-8 reverse stock split of the Company's common shares, with which four fractional shares were cashed out | 1-for-25 reverse stock split of the Company's common shares, with which seven fractional shares were cashed out | 1-for-4 reverse stock split of the Company's common shares, with which two fractional shares were cashed out | 1-for-7 reverse stock split of the Company's common shares, with which three fractional shares were cashed out | 1-for-5 reverse stock split of the Company's common shares, with which two fractional shares were cashed out | 1-for-7 reverse stock split of the Company's common shares, with which two fractional shares were cashed out | 1-for-4 reverse stock split of the Company's common shares, with which five fractional shares were cashed out | 1-for-15 reverse stock split of the Company's common shares, with which nine fractional shares were cashed out | ||||
Heidmar Holdings LLC | ||||||||||||
Ownership interest | 49.00% | |||||||||||
Ocean Rig | ||||||||||||
Ownership interest | 0.00% | 40.40% | 47.20% |
Significant Accounting Polici43
Significant Accounting Policies (Details) | 3 Months Ended | 12 Months Ended | |||||||
Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Aug. 29, 2017 | Apr. 05, 2016 | Apr. 04, 2016 | Jun. 08, 2015 | |
Schedule of Equity Method Investments [Line Items] | |||||||||
Goodwill impairment | $ 0 | $ (7,002,000) | $ 0 | ||||||
Capitalized interest and finance costs | $ 3,196,000 | 0 | 12,060,000 | ||||||
Depreciation method | straight-line | ||||||||
Estimated residual value of vessels per lightweight ton | $ 250 | ||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ 4,125,000 | (106,343,000) | (1,057,116,000) | ||||||
Fleet Utilization Assumption | 99.00% | ||||||||
Decrease of Fleet utilization | 1.50% | ||||||||
Amortization and write off of financing costs | $ 387,000 | 572,000 | 23,834,000 | ||||||
Number of Reportable Segments | 4 | ||||||||
Gain due to foreign currency differences | $ 335,000 | 745,000 | 2,763,000 | ||||||
Working capital surplus/ (deficit) | 37,505,000 | ||||||||
Cash and cash equivalents including restricted cash | 30,226,000 | ||||||||
Total revenues | 100,716,000 | 51,934,000 | 969,825,000 | ||||||
Effect of the change in accounting estimate | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Total revenues | $ (1,264,000) | ||||||||
Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership interest | 49.00% | ||||||||
Voyage charter | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Number of vessels | 4 | ||||||||
Offshore Support Segment | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Goodwill impairment | $ 0 | (7,002,000) | 0 | ||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (300,000) | (70,873,000) | 0 | ||||||
Minimum | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Effective tax rate | 2.00% | ||||||||
Maximum | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Effective tax rate | 4.00% | ||||||||
Drybulk and Tanker Carrier Vessels | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Useful life | 25 years | ||||||||
Drybulk Carrier Vessels | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Gain on reclassification of vessels | $ 1,851,000 | ||||||||
Number of vessels | 13 | ||||||||
Offshore Support Vessels | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Useful life | 30 years | ||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (65,712,000) | ||||||||
Very Large Gas Carriers (VLGCs) | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Useful life | 35 years | ||||||||
Bare Deck | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Useful life | 30 years | ||||||||
Other Asset Parts | Minimum | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Useful life | 5 years | ||||||||
Other Asset Parts | Maximum | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Useful life | 15 years | ||||||||
One of its drybulk vessels | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (83,937,000) | ||||||||
Vessels held for sale | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (18,266,000) | $ (113,019,000) | $ (13,395,000) | (967,144,000) | |||||
Drilling rigs | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Residual value | 35,000,000 | 35,000,000 | |||||||
Drillships | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Residual value | $ 50,000,000 | $ 50,000,000 | |||||||
Ocean Rig | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership interest | 0.00% | 40.40% | 47.20% |
Transactions with Related Par44
Transactions with Related Parties - Balance Sheet (Table) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Due from related parties (current) | $ 16,914 | $ 6,674 |
Due to related parties (current) | (72) | (5,033) |
Due to related parties (non-current) | (71,631) | (116,617) |
Advances for vessels under construction and related costs | 31,898 | 0 |
Accrued liabilities | (4,758) | (3,709) |
Related parties | ||
Due from related parties (current) | 16,914 | 6,674 |
Due to related parties (current) | (72) | (5,033) |
Due to related parties (non-current) | (71,631) | (116,617) |
Advances for vessels under construction and related costs | 1,004 | 0 |
Accrued liabilities | $ (350) | $ (1,082) |
Transactions with Related Par45
Transactions with Related Parties - Statement of Operations (Tables) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Voyage expenses | $ (19,704) | $ (9,209) | $ (65,286) |
General and administrative expenses | (30,972) | (39,708) | (104,912) |
Interest and finance costs | (15,239) | (1,563) | (3,642) |
Loss on Private Placement | (7,600) | 0 | 0 |
Related parties | |||
Time charter & Service Revenues - commission fees | 3,988 | 1,800 | 7,366 |
Voyage expenses | (1,526) | (390) | (4,521) |
General and administrative expenses | (23,850) | (32,397) | (50,498) |
Commissions for assets sold | (85) | (886) | (8,133) |
Gain/(loss) from sale of vessel owning companies, net of commissions | 0 | (22,318) | 0 |
Interest and finance costs | (13,070) | (1,789) | (3,679) |
Loss on Private Placement | $ (7,600) | $ 0 | $ 0 |
Transactions with Related Par46
Transactions with Related Parties - TMS Bulkers Ltd - TMS Offshore Services Ltd - TMS Tankers Ltd - TMS Cardiff Gas Ltd (Details) | 12 Months Ended | |||
Dec. 31, 2017USD ($) | Dec. 31, 2017EUR (€) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
General and administrative expenses | $ 30,972,000 | $ 39,708,000 | $ 104,912,000 | |
Termination cost | $ 0 | 0 | $ (28,241,000) | |
Management Agreement | ||||
Management agreement term | 5 years | 5 years | ||
Termination cost | $ 50,000,000 | |||
Contract termination or Change of Control | ||||
Management fee extra period | 3 months | 3 months | ||
Change of control | Minimum | ||||
Termination payment period of fees | 36 months | 36 months | ||
Change of control | Maximum | ||||
Termination payment period of fees | 48 months | 48 months | ||
Tms Bulkers and Tms Offshore | New TMS Agreement | ||||
Construction supervisory fee | 10.00% | 10.00% | ||
Extra superintendents fee per day | $ 598 | € 500 | ||
Commissions on charter hire agreements | 1.25% | 1.25% | ||
Commission on purchase or sale price of vessels | 1.00% | 1.00% | ||
Performance Bonus | 6,000,000 | |||
Setup Fee | $ 2,000,000 | |||
Financing and advisory commission | 0.50% | 0.50% | ||
Consultancy agreement terms in year | 10 years | 10 years | ||
Tms Bulkers and Tms Offshore | New TMS Agreement | Minimum | ||||
Annual management fee adjustment | 3.00% | 3.00% | ||
Tms Bulkers and Tms Offshore | New TMS Agreement | Maximum | ||||
Annual management fee adjustment | 5.00% | 5.00% | ||
Performance fees | $ 20,000,000 | |||
Tms Bulkers and Tms Offshore | New TMS Agreement | Up to 20 vessels | ||||
Management fixed fee per vessel per day | $ 1,643 | |||
Reduction in Management Fees | 33.00% | 33.00% | ||
Tms Bulkers and Tms Offshore | New TMS Agreement | Above 20 vessels | ||||
Management fixed fee per vessel per day | $ 1,500 | |||
TMS Bulkers Ltd. | New TMS Agreement | Minimum | ||||
Number of vessels acquired | 20 | 20 |
Transactions with Related Par47
Transactions with Related Parties - Economou and Other (Details) $ in Thousands | 12 Months Ended | |||||||||
Dec. 31, 2017shares | May 15, 2017USD ($) | Apr. 06, 2017USD ($) | Apr. 03, 2017 | Mar. 10, 2017USD ($) | Jan. 19, 2017USD ($) | Jan. 12, 2017 | Dec. 31, 2016shares | Sep. 09, 2015 | Apr. 30, 2015 | |
Common stock shares outstanding | shares | 104,274,708 | 4,711 | ||||||||
Very Large Gas Carrier 1 (VLGC) | ||||||||||
Time Charter Agreement Duration | 5 years | |||||||||
Very Large Gas Carrier 2 (VLGC) | ||||||||||
Time Charter Agreement Duration | 5 years | |||||||||
Very Large Gas Carrier 3 (VLGC) | ||||||||||
Time Charter Agreement Duration | 10 years | |||||||||
Very Large Gas Carrier 4 (VLGC) | ||||||||||
Time Charter Agreement Duration | 10 years | |||||||||
Suezmax newbuilding vessel Samsara | ||||||||||
Time Charter Agreement Duration | 5 years | |||||||||
Purchase price | $ | $ 64,000 | |||||||||
Chairman and CEO | ||||||||||
Common stock shares outstanding | shares | 72,421,515 | |||||||||
Percentage Of Shareholder | 69.50% | |||||||||
Chairman and CEO | SPII Holdings Inc. | ||||||||||
Common stock shares outstanding | shares | 12,000,000 | |||||||||
Chairman and CEO | Sierra Investments Inc. | ||||||||||
Common stock shares outstanding | shares | 45,876,061 | |||||||||
Chairman and CEO | Mountain Investments Inc. | ||||||||||
Common stock shares outstanding | shares | 14,545,454 | |||||||||
Cardiff LNG Ships Ltd. | ||||||||||
Percentage Of Shareholder | 100.00% | |||||||||
Cardiff LPG Ships Ltd. | ||||||||||
Percentage Of Shareholder | 100.00% | |||||||||
Ten Memoranda of Agreements | Suezmax tankers | ||||||||||
Number of vessels | 4 | |||||||||
Ten Memoranda of Agreements | Aframax tankers | ||||||||||
Number of vessels | 6 | |||||||||
Sales Agreements | ||||||||||
Number of vessel owning companies | 14 | |||||||||
Sales Agreements | Capesize | ||||||||||
Number of vessels | 10 | |||||||||
Sales Agreements | Panamax carriers | ||||||||||
Number of vessels | 4 | |||||||||
Sales Agreements | Capesize bulk carriers | ||||||||||
Number of vessels | 3 | |||||||||
LPG Option Agreement | Very Large Gas Carriers (VLGCs) | ||||||||||
Number of options for purchase of vessels | 4 | |||||||||
LPG Option Agreement | Very Large Gas Carrier 1 (VLGC) | ||||||||||
Number of vessels | 1 | |||||||||
Purchase price | $ | $ 83,500 | |||||||||
LPG Option Agreement | Very Large Gas Carrier 2 (VLGC) | ||||||||||
Number of vessels | 1 | |||||||||
Purchase price | $ | $ 83,500 | |||||||||
LPG Option Agreement | Very Large Gas Carrier 3 (VLGC) | ||||||||||
Number of vessels | 1 | |||||||||
Purchase price | $ | $ 83,500 | |||||||||
LPG Option Agreement | Very Large Gas Carrier 4 (VLGC) | ||||||||||
Number of vessels | 1 | |||||||||
Purchase price | $ | $ 83,500 |
Transactions with Related Par48
Transactions with Related Parties - Cardiff, Fabiana, Azara, Basset and Vivid (Details) $ in Thousands | 12 Months Ended | 24 Months Ended | 47 Months Ended | 48 Months Ended | ||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016USD ($) | |
Termination cost | $ 0 | $ 0 | $ (28,241) | |||
Cardiff Marine Inc. | Agreement to acquire Newcastlemax newbuildings | ||||||
Number of vessels | 7 | |||||
Cardiff Tankers Inc. and Cardiff Gas Ltd | ||||||
Chartering commission | 1.25% | |||||
Fabiana Services S.A. | Consultancy Agreement commencing on February 3, 2013 | ||||||
Termination cost | $ 0 | |||||
Basset Holdings Inc. | Consultancy Agreement Effective 1 January 2015 between Company and Basset Holdings | Renewal | ||||||
Termination cost | $ 0 | |||||
Vivid Finance Limited | Consultancy Agreement Effective January 1, 2013 between Company and Vivid | ||||||
Termination cost | $ 0 |
Transactions with Related Par49
Transactions with Related Parties - Ocean Rig - Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | 2 Months Ended | 3 Months Ended | 4 Months Ended | 6 Months Ended | 10 Months Ended | 12 Months Ended | |||||||
Feb. 27, 2017 | Feb. 24, 2015 | Apr. 11, 2017 | Apr. 05, 2016 | Mar. 29, 2016 | May 06, 2015 | Jul. 07, 2017 | Oct. 16, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Apr. 04, 2016 | Jun. 08, 2015 | |
Interest, amortization and write off of financing fees on loan from affiliate and related party | $ 15,239 | $ 1,563 | $ 3,642 | ||||||||||
Date of dividend record | Mar. 15, 2017 | May 1, 2017 | Jul. 20, 2017 | Oct. 27, 2017 | |||||||||
Date of dividend payment | Mar. 30, 2017 | May 12, 2017 | Aug. 2, 2017 | Nov. 13, 2017 | |||||||||
Dividends paid to shareholders other than Dryships | $ 2,500 | $ 2,500 | $ 2,500 | $ 2,500 | 10,001 | 0 | 20,526 | ||||||
Cash consideration from sale | $ 0 | $ 49,911 | 0 | ||||||||||
Offshore support vessels Crescendo and Jubilee | |||||||||||||
Time Charter Agreement Duration | 60 days | ||||||||||||
Ocean Rig UDW Inc. | |||||||||||||
Date of dividend record | Mar. 10, 2015 | May 22, 2015 | |||||||||||
Date of dividend payment | Mar. 31, 2015 | May 31, 2015 | |||||||||||
Dividend paid per share | $ 0.19 | $ 0.19 | |||||||||||
Dividends paid to shareholders other than Dryships | 20,526 | ||||||||||||
Ocean Rig | |||||||||||||
Cash consideration from sale | $ 49,911 | ||||||||||||
Ownership interest in Ocean Rig | 0.00% | 40.40% | 47.20% | ||||||||||
$120,000 unsecured facility | Loan from Affilliate | Ocean Rig | |||||||||||||
Interest, amortization and write off of financing fees on loan from affiliate and related party | $ 3,281 |
Transactions with Related Par50
Transactions with Related Parties - Private Placement - Rights Offering (Details) - USD ($) $ / shares in Units, $ in Thousands | 8 Months Ended | 9 Months Ended | 12 Months Ended | |||
Aug. 31, 2017 | Aug. 29, 2017 | Oct. 04, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Related Party Transaction [Line Items] | ||||||
Proceeds From Issuance Of Common Stock | $ 568,883 | $ 123,810 | $ 0 | |||
Amount converted | 8,750 | |||||
Loss on Private Placement | (7,600) | $ 0 | $ 0 | |||
Stockholders' Contribution | $ 2,805 | |||||
Series D Convertible Preferred Stock | ||||||
Related Party Transaction [Line Items] | ||||||
Preferred Stock, Voting Rights | 100.000 votes | |||||
Private Placement | ||||||
Related Party Transaction [Line Items] | ||||||
Price per share | $ 2.75 | |||||
Proceeds From Issuance Of Common Stock | $ 100,000 | |||||
Number of shares issued | 36,363,636 | |||||
Loss on Private Placement | $ (7,600) | |||||
Share price | $ 2.05 | |||||
Rights Offering | ||||||
Related Party Transaction [Line Items] | ||||||
Price per share | $ 2.75 | |||||
Aggregate consideration | $ 100,000 | |||||
Backstop Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Price per share | $ 2.75 | |||||
Number of shares issued | 36,363,636 | |||||
SPII Holdings Inc. | Private Placement | ||||||
Related Party Transaction [Line Items] | ||||||
Number of shares issued | 12,000,000 | |||||
Sierra Investments Inc. | Private Placement | ||||||
Related Party Transaction [Line Items] | ||||||
Number of shares issued | 9,818,182 | |||||
Sierra Investments Inc. | Private Placement | Revolving Facility | ||||||
Related Party Transaction [Line Items] | ||||||
Amount converted | $ 27,000 | |||||
Sierra Investments Inc. | Backstop Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Number of shares issued | 36,057,876 | |||||
Sierra Investments Inc. | Backstop Agreement | Revolving Facility | ||||||
Related Party Transaction [Line Items] | ||||||
Amount converted | $ 99,159 | |||||
Mountain Investments Inc. | Private Placement | ||||||
Related Party Transaction [Line Items] | ||||||
Number of shares issued | 14,545,454 | |||||
Heidmar Holdings LLC | Private Placement | ||||||
Related Party Transaction [Line Items] | ||||||
Ownership percentage | 49.00% | |||||
Shipping Pool Investors Inc. | Private Placement | ||||||
Related Party Transaction [Line Items] | ||||||
Ownership percentage | 100.00% | |||||
Sifnos Shareholders Inc. | Series D Convertible Preferred Stock | ||||||
Related Party Transaction [Line Items] | ||||||
Stockholders' Contribution | $ 2,805 |
Transactions with Related Par51
Transactions with Related Parties - Sifnos Shareholders Inc. (Details) $ in Thousands | 1 Months Ended | 2 Months Ended | 3 Months Ended | 8 Months Ended | 9 Months Ended | 10 Months Ended | 12 Months Ended | ||||||||||||
Jan. 19, 2017USD ($) | Mar. 10, 2017USD ($) | Apr. 05, 2016USD ($) | Mar. 29, 2016USD ($) | Mar. 24, 2016USD ($)shares | Aug. 29, 2017USD ($)shares | Sep. 13, 2016USD ($)shares | Oct. 04, 2017USD ($)shares | Sep. 21, 2016USD ($) | Oct. 31, 2016USD ($) | Oct. 21, 2015USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($) | Dec. 30, 2015USD ($)shares | Dec. 22, 2015USD ($) | Apr. 06, 2017 | Dec. 15, 2016USD ($) | Nov. 30, 2016USD ($) | |
Amount converted | $ 8,750 | ||||||||||||||||||
Amount drawn down | $ 79,000 | ||||||||||||||||||
Deferred finance costs | 2,378 | 124 | |||||||||||||||||
Line of Credit Facility, Increase (Decrease), Net | 150,000 | ||||||||||||||||||
Proceeds from Sale of Equity Method Investments | 0 | 49,911 | $ 0 | ||||||||||||||||
Repayments Of Debt | 18,780 | 119,758 | $ 782,366 | ||||||||||||||||
Outstanding balance | $ 147,716 | $ 16,935 | |||||||||||||||||
Weighted Average Interest Rate | 3.37% | 3.15% | 4.98% | ||||||||||||||||
Repurchase of shares | $ 8,750 | ||||||||||||||||||
Preferred stock | |||||||||||||||||||
Number of shares exchanged and cancelled | shares | 8 | ||||||||||||||||||
Amalfi, Galveston and Samatan | |||||||||||||||||||
Amount tranferred to the new owners | $ 58,619 | ||||||||||||||||||
Very Large Gas Carrier 1 (VLGC) | LPG Option Agreement | |||||||||||||||||||
Number of vessels | 1 | ||||||||||||||||||
Very Large Gas Carrier 2 (VLGC) | LPG Option Agreement | |||||||||||||||||||
Number of vessels | 1 | ||||||||||||||||||
Very Large Gas Carrier 3 (VLGC) | LPG Option Agreement | |||||||||||||||||||
Number of vessels | 1 | ||||||||||||||||||
Very Large Gas Carrier 4 (VLGC) | LPG Option Agreement | |||||||||||||||||||
Number of vessels | 1 | ||||||||||||||||||
Ocean Rig | |||||||||||||||||||
Proceeds from Sale of Equity Method Investments | $ 49,911 | ||||||||||||||||||
Private Placement | |||||||||||||||||||
Number of shares issued | shares | 36,363,636 | ||||||||||||||||||
Backstop Agreement | |||||||||||||||||||
Number of shares issued | shares | 36,363,636 | ||||||||||||||||||
Series D Preferred Stock | |||||||||||||||||||
Preferred Stock, Voting Rights | 100.000 votes | ||||||||||||||||||
New Revolving Facility | Very Large Gas Carrier 1 (VLGC) | LPG Option Agreement | |||||||||||||||||||
Amount drawn down | $ 21,850 | ||||||||||||||||||
New Revolving Facility | Very Large Gas Carrier 2 (VLGC) | LPG Option Agreement | |||||||||||||||||||
Amount drawn down | $ 21,850 | ||||||||||||||||||
Sifnos Shareholders Inc. | |||||||||||||||||||
Repurchase of shares | $ 8,750 | ||||||||||||||||||
Sifnos Shareholders Inc. | Two Syndicated Loans | |||||||||||||||||||
Outstanding balance | $ 85,066 | ||||||||||||||||||
Sifnos Shareholders Inc. | Series B Preferred Stock | |||||||||||||||||||
Number of shares exchanged and cancelled | shares | 8 | ||||||||||||||||||
Sifnos Shareholders Inc. | Series B Preferred Stock | Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | |||||||||||||||||||
Number of shares exchanged and cancelled | shares | 8,333 | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | |||||||||||||||||||
Principal amount | $ 70,000 | 75,000 | $ 60,000 | ||||||||||||||||
Loan's tenor | 3 years | ||||||||||||||||||
Amount converted | 8,750 | $ 8,750 | 7,500 | $ 10,000 | |||||||||||||||
First priority mortage | One Panamax dry-bulk carrier | ||||||||||||||||||
Amount drawn down | $ 28,000 | $ 7,825 | $ 20,000 | $ 10,000 | |||||||||||||||
Line of credit facility amount outstanding | 69,444 | ||||||||||||||||||
Line of Credit Facility, Increase (Decrease), Net | $ 10,000 | $ 5,000 | |||||||||||||||||
Repayments Of Debt | $ 45,000 | ||||||||||||||||||
Variable rate basis | LIBOR | ||||||||||||||||||
Spread on variable rate | 4.00% | ||||||||||||||||||
Cash prepayment | $ 33,510 | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | Preferred stock | |||||||||||||||||||
Number of preferred shares converted | shares | 29 | ||||||||||||||||||
Preferred Stock, Voting Rights | voting power of 5:1 | ||||||||||||||||||
Preferred Stock converted into Common Stock, Conversion Basis | On a 1:1 basis within 3 months | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | Preferred stock | Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | |||||||||||||||||||
Number of preferred shares converted | shares | 29,166 | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | Maximum | |||||||||||||||||||
Loan To Value Ratio | 40.00% | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | Series B Preferred Stock | |||||||||||||||||||
Number of preferred shares converted | shares | 8 | ||||||||||||||||||
Preferred Stock, Voting Rights | 5 votes | ||||||||||||||||||
Preferred Stock converted into Common Stock, Conversion Basis | On a one to one basis within three months | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | Series B Preferred Stock | Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | |||||||||||||||||||
Number of preferred shares converted | shares | 8,333 | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | Series D Preferred Stock | |||||||||||||||||||
Number of preferred shares converted | shares | 29 | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | Series D Preferred Stock | Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | |||||||||||||||||||
Number of preferred shares converted | shares | 29,166 | ||||||||||||||||||
Sifnos Shareholders Inc. | New Revolving Facility | |||||||||||||||||||
Principal amount | $ 200,000 | ||||||||||||||||||
Loan's tenor | 3 years | ||||||||||||||||||
Line of credit facility amount outstanding | $ 121,000 | ||||||||||||||||||
Variable rate basis | LIBOR | ||||||||||||||||||
Spread on variable rate | 5.50% | ||||||||||||||||||
Debt Instrument Fee | 2.0% | ||||||||||||||||||
Increase in collateral base | 30.00% | ||||||||||||||||||
Commitment fee | 1.00% | ||||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facilities | |||||||||||||||||||
Line of credit facility amount outstanding | $ 73,841 | $ 121,000 | |||||||||||||||||
Deferred finance costs | $ 2,210 | $ 4,383 | |||||||||||||||||
Weighted Average Interest Rate | 8.08% | 7.24% | |||||||||||||||||
Available undrawn amount | $ 0 | $ 79,000 | |||||||||||||||||
Sierra Investments Inc. | Private Placement | |||||||||||||||||||
Number of shares issued | shares | 9,818,182 | ||||||||||||||||||
Sierra Investments Inc. | Backstop Agreement | |||||||||||||||||||
Number of shares issued | shares | 36,057,876 | ||||||||||||||||||
Sierra Investments Inc. | Revolving Facility | |||||||||||||||||||
Loan's tenor | 5 years | ||||||||||||||||||
Line of credit facility amount outstanding | $ 200,000 | ||||||||||||||||||
Variable rate basis | LIBOR | ||||||||||||||||||
Spread on variable rate | 6.50% | ||||||||||||||||||
Debt Instrument Fee | 1.0% | ||||||||||||||||||
Increase in collateral base | 30.00% | ||||||||||||||||||
Sierra Investments Inc. | Revolving Facility | Private Placement | |||||||||||||||||||
Amount converted | $ 27,000 | ||||||||||||||||||
Sierra Investments Inc. | Revolving Facility | Backstop Agreement | |||||||||||||||||||
Amount converted | $ 99,159 | ||||||||||||||||||
Sierra Investments Inc. | Loan Facility Agreement | |||||||||||||||||||
Loan's tenor | 5 years | ||||||||||||||||||
Line of credit facility amount outstanding | $ 73,841 | ||||||||||||||||||
Variable rate basis | LIBOR | ||||||||||||||||||
Spread on variable rate | 4.50% | ||||||||||||||||||
Debt instrument covenant description | Fair market values of mortgaged vessels should be at least 200% of the Loan Facility Agreement outstanding amount |
Other Current Assets (Tables) (
Other Current Assets (Tables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Other Assets [Abstract] | ||
Inventories | $ 7,790 | $ 3,446 |
Insurance claims (Note 14) | 3,044 | 1,071 |
Other | 1,445 | 29 |
Other current assets | $ 12,279 | $ 4,546 |
Advances for Vessels under Co53
Advances for Vessels under Construction (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Balance at beginning of year | $ 0 | |
Balance at end of year | 31,898 | $ 0 |
Advances for vessels under construction and acquisitions | ||
Balance at beginning of year | 0 | 0 |
Advances for vessels under construction and related costs | 265,565 | 0 |
Vessels delivered | (233,667) | 0 |
Balance at end of year | $ 31,898 | $ 0 |
Advances for Vessels and Drilli
Advances for Vessels and Drilling Units under Construction and Acquisitions (Details) $ in Thousands | Jan. 04, 2018USD ($) | Jan. 19, 2017USD ($) | Mar. 10, 2017USD ($) | Apr. 06, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Accounting for transactions under common control | $ 29,001 | ||||||
Payment of purchase price | 653,344 | $ 0 | $ 505,670 | ||||
Amount drawn down | $ 79,000 | ||||||
Anderida VLGC | |||||||
Date of agreement | Jun. 29, 2017 | ||||||
Time Charter Agreement Duration | 5 years | ||||||
Maximum extension of time charter duration | 3 years | ||||||
Anderida VLGC | LPG Option Agreement | |||||||
Number of vessels | 1 | ||||||
Purchase price | $ 83,500 | ||||||
Accounting for transactions under common control | 6,500 | ||||||
Delivery Date | Jun. 28, 2017 | ||||||
Payment of purchase price | 61,650 | ||||||
Anderida VLGC | LPG Option Agreement | Secured credit facility dated June 22, 2017 | |||||||
Amount drawn down | 37,500 | ||||||
Anderida VLGC | LPG Option Agreement | New Revolving Facility | |||||||
Amount drawn down | $ 21,850 | ||||||
Aisling VLGC | |||||||
Date of agreement | Sep. 12, 2017 | ||||||
Time Charter Agreement Duration | 5 years | ||||||
Maximum extension of time charter duration | 3 years | ||||||
Aisling VLGC | LPG Option Agreement | |||||||
Number of vessels | 1 | ||||||
Purchase price | $ 83,500 | ||||||
Accounting for transactions under common control | 6,500 | ||||||
Delivery Date | Sep. 7, 2017 | ||||||
Payment of purchase price | 61,650 | ||||||
Aisling VLGC | LPG Option Agreement | Secured credit facility dated June 22, 2017 | |||||||
Amount drawn down | 37,500 | ||||||
Aisling VLGC | LPG Option Agreement | New Revolving Facility | |||||||
Amount drawn down | $ 21,850 | ||||||
Mont Fort VLGC | |||||||
Delivery Date | Oct. 31, 2017 | ||||||
Date of agreement | Nov. 5, 2017 | ||||||
Time Charter Agreement Duration | 10 years | ||||||
Mont Fort VLGC | LPG Option Agreement | |||||||
Number of vessels | 1 | ||||||
Purchase price | $ 83,500 | ||||||
Mont Gele VLGC | |||||||
Delivery Date | Jan. 4, 2018 | ||||||
Date of agreement | Jan. 11, 2018 | ||||||
Time Charter Agreement Duration | 10 years | ||||||
Mont Gele VLGC | LPG Option Agreement | |||||||
Number of vessels | 1 | ||||||
Purchase price | $ 83,500 | ||||||
Mont Gele VLGC | LPG Option Agreement | Subsequent Event | |||||||
Payment of purchase price | $ 44,869 | ||||||
Mont Gele VLGC | LPG Option Agreement | Secured credit facility dated June 22, 2017 | Subsequent Event | |||||||
Amount drawn down | $ 37,500 | ||||||
Mont Fort and Mont Gele | LPG Option Agreement | |||||||
Accounting for transactions under common control | 16,001 | ||||||
Payment of purchase price | 120,300 | ||||||
Mont Fort and Mont Gele | LPG Option Agreement | Secured credit facility dated June 22, 2017 | |||||||
Amount drawn down | 75,000 | ||||||
Mont Fort and Mont Gele | LPG Option Agreement | New Revolving Facility | |||||||
Amount drawn down | $ 46,700 | ||||||
Advances for vessels under construction and related costs | |||||||
Capitalized expenses | $ 428 | ||||||
Interest Costs Capitalized | $ 770 |
Vessels, net - Vessels (Tables)
Vessels, net - Vessels (Tables) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Balance, at the beginning of period | $ 95,550 | |
Balance, at the end of period | 749,088 | $ 95,550 |
Cost | Vessels | ||
Balance, at the beginning of period | 95,550 | 97,100 |
Acquisition of subsidiary | 672,300 | |
Vessels transferred from held for sale | 66,449 | |
Vessels sold | (3,900) | |
Impairment loss | (67,999) | |
Balance, at the end of period | 763,950 | 95,550 |
Accumulated Depreciation | Vessels | ||
Balance, at the beginning of period | 0 | (672) |
Vessels sold | 104 | |
Impairment loss | 4,138 | |
Depreciation | (14,966) | (3,466) |
Balance, at the end of period | (14,862) | 0 |
Net Book Value | Vessels | ||
Balance, at the beginning of period | 95,550 | 96,428 |
Acquisition of subsidiary | 672,300 | |
Vessels transferred from held for sale | 66,449 | |
Vessels sold | (3,796) | |
Impairment loss | (63,861) | |
Depreciation | (14,966) | (3,466) |
Balance, at the end of period | $ 749,088 | $ 95,550 |
Vessels, net - Additional infor
Vessels, net - Additional information (Details) $ in Thousands | 3 Months Ended | 8 Months Ended | 9 Months Ended | 10 Months Ended | 12 Months Ended | ||||||||||||||||||||||
Mar. 31, 2016USD ($) | Mar. 30, 2016USD ($) | Mar. 24, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 09, 2015USD ($) | Sep. 30, 2016USD ($) | Sep. 16, 2016USD ($) | Oct. 31, 2016USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 19, 2017USD ($) | May 15, 2017USD ($) | Apr. 27, 2017USD ($) | Apr. 12, 2017USD ($) | Mar. 31, 2017USD ($) | Mar. 24, 2017USD ($) | Mar. 01, 2017USD ($) | Feb. 14, 2017USD ($) | Feb. 10, 2017USD ($) | Oct. 26, 2016USD ($) | Oct. 18, 2016USD ($) | Oct. 05, 2016USD ($) | Sep. 27, 2016USD ($) | Aug. 22, 2016USD ($) | Nov. 02, 2015USD ($) | Apr. 30, 2015USD ($) | |
Carrying amount | $ 749,088 | $ 95,550 | |||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | 4,125 | (106,343) | $ (1,057,116) | ||||||||||||||||||||||||
Gain/ (Loss) from common control transaction | 440 | $ (195) | |||||||||||||||||||||||||
Vessels, net | |||||||||||||||||||||||||||
Interest Costs Capitalized | 2,426 | ||||||||||||||||||||||||||
Capitalized expenses | $ 8,834 | ||||||||||||||||||||||||||
Secured Credit Facility at February 14, 2012 | |||||||||||||||||||||||||||
Cash prepayment | $ 15,000 | ||||||||||||||||||||||||||
Vilamoura, Lipari, Petalidi and Bordeira | Ten Memoranda of Agreements | |||||||||||||||||||||||||||
Number of vessels | 4 | ||||||||||||||||||||||||||
Vessels total sale price | $ 245,000 | ||||||||||||||||||||||||||
Belmar, Calida, Alicante, Mareta, Saga and Daytona | Ten Memoranda of Agreements | |||||||||||||||||||||||||||
Number of vessels | 6 | ||||||||||||||||||||||||||
Vessels total sale price | $ 291,000 | ||||||||||||||||||||||||||
Vilamoura, Lipari, Petalidi, Bordeira, Belmar, Calida, Alicante, Mareta, Saga and Daytona | |||||||||||||||||||||||||||
Number of vessels | 10 | ||||||||||||||||||||||||||
Vessels total sale price | $ 536,000 | ||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (56,631) | ||||||||||||||||||||||||||
Petalidi Suezmax tanker | |||||||||||||||||||||||||||
Disposal Date | Jul. 16, 2015 | ||||||||||||||||||||||||||
Bordeira Suezmax tanker | |||||||||||||||||||||||||||
Disposal Date | Jul. 21, 2015 | ||||||||||||||||||||||||||
Lipari Suezmax tanker | |||||||||||||||||||||||||||
Disposal Date | Jul. 24, 2015 | ||||||||||||||||||||||||||
Belmar Aframax tanker | |||||||||||||||||||||||||||
Disposal Date | Jul. 27, 2015 | ||||||||||||||||||||||||||
Saga Aframax tanker | |||||||||||||||||||||||||||
Disposal Date | Aug. 6, 2015 | ||||||||||||||||||||||||||
Mareta Aframax tanker | |||||||||||||||||||||||||||
Disposal Date | Aug. 7, 2015 | ||||||||||||||||||||||||||
Vilamoura Suezmax tanker | |||||||||||||||||||||||||||
Disposal Date | Aug. 19, 2015 | ||||||||||||||||||||||||||
Calida Aframax tanker | |||||||||||||||||||||||||||
Disposal Date | Aug. 25, 2015 | ||||||||||||||||||||||||||
Daytona Aframax tanker | |||||||||||||||||||||||||||
Disposal Date | Sep. 10, 2015 | ||||||||||||||||||||||||||
Alicante Tanker | |||||||||||||||||||||||||||
Disposal Date | Oct. 29, 2015 | ||||||||||||||||||||||||||
14 vessel owning companies (10 Capesize bulk carriers, 4 Panamax bulk carriers) and 3 Capesize bulk carriers | |||||||||||||||||||||||||||
Number of vessels | 17 | ||||||||||||||||||||||||||
Vessels total sale price | $ 377,000 | ||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (375,090) | ||||||||||||||||||||||||||
14 vessel owning companies (10 Capesize bulk carriers, 4 Panamax bulk carriers) and 3 Capesize bulk carriers | Beneficially Owned Companies | |||||||||||||||||||||||||||
Debt assumed | $ 236,716 | ||||||||||||||||||||||||||
Mystic Capesize bulk carrier | |||||||||||||||||||||||||||
Disposal Date | Sep. 17, 2015 | ||||||||||||||||||||||||||
Raiatea, Robusto, Cohiba, Montecristo, Flecha, Partagas, Woolloomooloo, Saldanha, Topeka and Helena | |||||||||||||||||||||||||||
Number of vessels | 10 | ||||||||||||||||||||||||||
Disposal Date | Oct. 13, 2015 | ||||||||||||||||||||||||||
Capri Capesize bulk carrier | |||||||||||||||||||||||||||
Disposal Date | Sep. 22, 2015 | ||||||||||||||||||||||||||
Manasota Capesize bulk carrier | |||||||||||||||||||||||||||
Disposal Date | Oct. 1, 2015 | ||||||||||||||||||||||||||
Alameda Capesize bulk carrier | |||||||||||||||||||||||||||
Disposal Date | Dec. 11, 2015 | ||||||||||||||||||||||||||
Rangiroa, Negonego and Fakarava | |||||||||||||||||||||||||||
Number of vessels | 3 | ||||||||||||||||||||||||||
Disposal Date | Mar. 31, 2016 | ||||||||||||||||||||||||||
Vessels total sale price | $ 70,000 | ||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (23,018) | ||||||||||||||||||||||||||
Amount tranferred to the new owners | $ 12,060 | ||||||||||||||||||||||||||
Rangiroa, Negonego and Fakarava | Beneficially Owned Companies | |||||||||||||||||||||||||||
Debt assumed | $ 102,070 | ||||||||||||||||||||||||||
One of its drybulk vessels | |||||||||||||||||||||||||||
Carrying amount | $ 95,937 | 95,937 | |||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (83,937) | ||||||||||||||||||||||||||
20 Panamax and 2 Supramax bulk carriers | |||||||||||||||||||||||||||
Number of vessels | 22 | 22 | |||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (422,404) | ||||||||||||||||||||||||||
Byron and Galveston Supramax Vessels | |||||||||||||||||||||||||||
Number of vessels | 2 | ||||||||||||||||||||||||||
Vessels total sale price | $ 12,300 | ||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (6,035) | ||||||||||||||||||||||||||
Byron Supramax Vessel | |||||||||||||||||||||||||||
Disposal Date | Nov. 25, 2015 | ||||||||||||||||||||||||||
Galveston Supramax Vessel | |||||||||||||||||||||||||||
Disposal Date | Nov. 30, 2015 | ||||||||||||||||||||||||||
Coronado Panamax vessel | |||||||||||||||||||||||||||
Disposal Date | Sep. 9, 2016 | ||||||||||||||||||||||||||
Vessels total sale price | $ 4,250 | ||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | 1,084 | ||||||||||||||||||||||||||
Oregon Panamax vessel | |||||||||||||||||||||||||||
Disposal Date | Sep. 21, 2016 | ||||||||||||||||||||||||||
Vessels total sale price | $ 4,675 | ||||||||||||||||||||||||||
Amount tranferred to the new owners | $ 7,825 | ||||||||||||||||||||||||||
Gain/ (Loss) from common control transaction | 281 | ||||||||||||||||||||||||||
Ocean Crystal Panamax vessel | |||||||||||||||||||||||||||
Disposal Date | Nov. 7, 2016 | ||||||||||||||||||||||||||
Vessels total sale price | $ 3,720 | ||||||||||||||||||||||||||
Sonoma Panamax vessel | |||||||||||||||||||||||||||
Disposal Date | Nov. 15, 2016 | ||||||||||||||||||||||||||
Vessels total sale price | $ 3,950 | ||||||||||||||||||||||||||
Sorrento Panamax vessel | |||||||||||||||||||||||||||
Disposal Date | Nov. 22, 2016 | ||||||||||||||||||||||||||
Vessels total sale price | $ 6,700 | ||||||||||||||||||||||||||
Ocean Crystal, Sonoma and Sorreto Panamax vessels | |||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ 3,020 | (641) | |||||||||||||||||||||||||
Vessels held for sale | |||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (18,266) | $ (113,019) | (13,395) | $ (967,144) | |||||||||||||||||||||||
Offshore Support Vessels | |||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (65,712) | ||||||||||||||||||||||||||
Drybulk Carrier Vessels | |||||||||||||||||||||||||||
Number of vessels | 13 | ||||||||||||||||||||||||||
Gain on reclassification of vessels | $ 1,851 | ||||||||||||||||||||||||||
Amalfi, Galveston and Samatan | |||||||||||||||||||||||||||
Disposal Date | Oct. 31, 2016 | ||||||||||||||||||||||||||
Vessels total sale price | $ 15,000 | ||||||||||||||||||||||||||
Amount tranferred to the new owners | $ 58,619 | ||||||||||||||||||||||||||
Gain/ (Loss) from common control transaction | $ (476) | ||||||||||||||||||||||||||
Aframax tanker under construction Balla | |||||||||||||||||||||||||||
Delivery Date | April 27, 2017 | ||||||||||||||||||||||||||
Purchase price | $ 44,500 | ||||||||||||||||||||||||||
Second hand Very Large Crude Carrier Shiraga | |||||||||||||||||||||||||||
Delivery Date | June 9, 2017 | ||||||||||||||||||||||||||
Purchase price | $ 57,000 | ||||||||||||||||||||||||||
Second hand Aframax Tanker Stamos | |||||||||||||||||||||||||||
Delivery Date | May 15, 2017 | ||||||||||||||||||||||||||
Purchase price | $ 29,000 | ||||||||||||||||||||||||||
Marini, Morandi, Bacon and Judd | |||||||||||||||||||||||||||
Purchase price | $ 120,540 | ||||||||||||||||||||||||||
Second-hand Newcastle drybulk vessel Marini | |||||||||||||||||||||||||||
Delivery Date | May 2, 2017 | ||||||||||||||||||||||||||
Second-hand Newcastle drybulk vessel Morandi | |||||||||||||||||||||||||||
Delivery Date | July 5, 2017 | ||||||||||||||||||||||||||
Second-hand Newcastle drybulk vessel Bacon | |||||||||||||||||||||||||||
Delivery Date | July 6, 2017 | ||||||||||||||||||||||||||
Fair value of below market acquired time charters | $ 0 | ||||||||||||||||||||||||||
Second-hand Newcastle drybulk vessel Judd | |||||||||||||||||||||||||||
Delivery Date | July 13, 2017 | ||||||||||||||||||||||||||
Fair value of below market acquired time charters | $ 516 | ||||||||||||||||||||||||||
Kelly, Matisse and Valadon drybulk vessels | |||||||||||||||||||||||||||
Number of vessels | 3 | ||||||||||||||||||||||||||
Purchase price | $ 71,000 | ||||||||||||||||||||||||||
Kamsarmax Drybulk secondhand vessel Valadon | |||||||||||||||||||||||||||
Delivery Date | May 17, 2017 | ||||||||||||||||||||||||||
Kamsarmax Drybulk secondhand vessel Matisse | |||||||||||||||||||||||||||
Delivery Date | June 1, 2017 | ||||||||||||||||||||||||||
Kamsarmax Drybulk vessel Kelly | |||||||||||||||||||||||||||
Delivery Date | June 14, 2017 | ||||||||||||||||||||||||||
Secondhand Kamsarmax drybulk carrier Nasaka | |||||||||||||||||||||||||||
Delivery Date | May 10, 2017 | ||||||||||||||||||||||||||
Purchase price | $ 22,000 | ||||||||||||||||||||||||||
Second hand Kamsarmax drybulk vessel Castellani | |||||||||||||||||||||||||||
Delivery Date | June 6, 2017 | ||||||||||||||||||||||||||
Purchase price | $ 23,500 | ||||||||||||||||||||||||||
Suezmax newbuilding vessel Samsara | |||||||||||||||||||||||||||
Delivery Date | May 19, 2017 | ||||||||||||||||||||||||||
Gain/ (Loss) from common control transaction | $ 440 | ||||||||||||||||||||||||||
Date of agreement | May 24, 2017 | ||||||||||||||||||||||||||
Time Charter Agreement Duration | 5 years | ||||||||||||||||||||||||||
Purchase price | $ 64,000 | ||||||||||||||||||||||||||
Panamax vessel Ecola | |||||||||||||||||||||||||||
Delivery Date | Dec. 29, 2017 | ||||||||||||||||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ 4,425 | ||||||||||||||||||||||||||
Purchase price | $ 8,500 |
Acquisition Of Nautilus Offsh57
Acquisition Of Nautilus Offshore Services Inc. (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Amortization of fair value of acquired time charters | $ 684 | $ 4,346 | $ 2,840 |
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | 4,125 | (106,343) | (1,057,116) |
Goodwill impairment charge | $ 0 | (7,002) | 0 |
Crescendo vessel | |||
Time charter contracts expiration date | Jan. 8, 2017 | ||
Jubilee vessel | |||
Time charter contracts expiration date | Apr. 25, 2017 | ||
Indigo vessel | |||
Time charter contracts expiration date | Aug. 30, 2017 | ||
Colorado vessel | |||
Time charter contracts expiration date | Dec. 27, 2017 | ||
Jacaranda vessel | |||
Time charter contracts expiration date | Jul. 3, 2017 | ||
Emblem vessel | |||
Time charter contracts expiration date | Jun. 21, 2017 | ||
Nautilus | |||
Amortization method of time-chartered contracts | straight-line | ||
Amortization of fair value of acquired time charters | $ 1,200 | 4,346 | $ 1,467 |
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (300) | (5,161) | |
Goodwill | 7,002 | ||
Goodwill impairment charge | $ (7,002) | ||
Nautilus | Offshore Support Vessels | |||
Number of vessels | 6 |
Other Non-Current Assets (Tab58
Other Non-Current Assets (Table) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
OTHER NON-CURRENT ASSETS: | ||
Other non-current assets | $ 44,869 | $ 0 |
Total | $ 44,869 | $ 0 |
Other Non-Current Assets (Detai
Other Non-Current Assets (Details) - USD ($) $ in Thousands | Jan. 04, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Last installement held in escrow | $ 44,869 | $ 0 | $ 0 | |
Payment of purchase price | $ 653,344 | $ 0 | $ 505,670 | |
Mont Gele VLGC | ||||
Delivery Date | Jan. 4, 2018 | |||
Mont Gele VLGC | LPG Option Agreement | ||||
Last installement held in escrow | $ 44,869 | |||
Mont Gele VLGC | LPG Option Agreement | Subsequent Event | ||||
Payment of purchase price | $ 44,869 |
Investment in an Affiliate - Pa
Investment in an Affiliate - Participation Percentage (Table) (Details) | Apr. 05, 2016 | Apr. 04, 2016 | Jun. 08, 2015 |
Ocean Rig | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership interest | 0.00% | 40.40% | 47.20% |
Investment in an Affiliate (Det
Investment in an Affiliate (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 5 Months Ended | 7 Months Ended | 8 Months Ended | 12 Months Ended | ||||
Apr. 05, 2016USD ($) | Jun. 08, 2015USD ($)$ / shares | Aug. 13, 2015USD ($)shares | Aug. 29, 2017USD ($)shares | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Apr. 04, 2016 | Mar. 31, 2016USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||||||||
Carrying value of the investment | $ 34,000 | $ 0 | |||||||
Gain/(loss) due to deconsolidation | 0 | 0 | $ (1,347,106) | ||||||
Losses of affiliated company | 0 | 41,454 | 349,872 | ||||||
Cash consideration from sale | $ 0 | 49,911 | 0 | ||||||
Private Placement | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Number of shares issued | shares | 36,363,636 | ||||||||
SPII Holdings Inc. | Private Placement | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Number of shares issued | shares | 12,000,000 | ||||||||
Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership interest in Ocean Rig | 49.00% | ||||||||
Carrying value of the investment | $ 34,000 | ||||||||
Heidmar Holdings LLC | Private Placement | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage | 49.00% | ||||||||
Shipping Pool Investors Inc. | Private Placement | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership percentage | 100.00% | ||||||||
Significant assumptions | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Discount factor | 7.50% | ||||||||
Long-term growth rate | 2.50% | ||||||||
Number of vessels | 80 | ||||||||
Weighted average cost of capital | 11.90% | ||||||||
Commission rates | 2.50% | ||||||||
Change in fair value measurements | Weighting of market versus income approach | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Weighting rate | 10.00% | ||||||||
Increase in fair value | $ 428 | ||||||||
Change in fair value measurements | Discount factor | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Discount factor | 5.00% | ||||||||
Increase in fair value | $ 1,858 | ||||||||
Change in fair value measurements | Charter rates | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Charter rates | 10.00% | ||||||||
Increase in fair value | $ 6,199 | ||||||||
Decrease in fair value | $ 6,257 | ||||||||
Change in fair value measurements | Long term growth factor | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Long-term growth rate | 1.00% | ||||||||
Increase in fair value | $ 1,787 | ||||||||
Decrease in fair value | $ 1,443 | ||||||||
Change in fair value measurements | Commission rates | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Commission rates | 0.50% | ||||||||
Increase in fair value | $ 10,880 | ||||||||
Decrease in fair value | $ 11,418 | ||||||||
Change in fair value measurements | Number of vessels | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Number of vessels under management | 4.00% | ||||||||
Increase in fair value | $ 7,790 | ||||||||
Decrease in fair value | $ 6,805 | ||||||||
Change in fair value measurements | Weighted average cost of capital | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Weighted average cost of capital | 1.00% | ||||||||
Increase in fair value | $ 2,014 | ||||||||
Decrease in fair value | $ 2,493 | ||||||||
Market approach valuation technique | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Weighting rate | 20.00% | ||||||||
Control premium | 10.00% | ||||||||
Income approach valuation technique | Heidmar Holdings LLC | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Weighting rate | 80.00% | ||||||||
Ocean Rig | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Ownership interest in Ocean Rig | 0.00% | 47.20% | 40.40% | ||||||
Carrying value of the investment | 401,878 | $ 208,176 | |||||||
Market value of the investment | $ 514,047 | 91,410 | $ 45,985 | ||||||
Share Price | $ / shares | $ 6.96 | ||||||||
Gain/(loss) due to deconsolidation | $ (1,347,106) | ||||||||
Losses of affiliated company | 41,454 | 349,872 | |||||||
Loss recognized due to impairment | $ 162,191 | $ 310,468 | |||||||
Cash consideration from sale | $ 49,911 | ||||||||
Gain on sale | 792 | ||||||||
Ocean Rig | Other comprehensive income | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Gain on sale | $ 343 | ||||||||
Ocean Rig | $120,000 Note | Loan from Affilliate | |||||||||
Schedule of Equity Method Investments [Line Items] | |||||||||
Debt facility amount exchanged | $ 80,000 | ||||||||
Number Of Shares Exchanged To Repay Debt | shares | 17,777,778 |
Long-term Debt (Table) (Details
Long-term Debt (Table) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | ||
Less: Deferred financing costs | $ (2,378) | $ (124) |
Total debt | 145,338 | 16,811 |
Less: Current portion | (11,635) | (16,811) |
Long-term portion | 133,703 | 0 |
Secured Credit Facilities | Drybulk Segment | ||
Debt Instrument [Line Items] | ||
Secured Debt | $ 16,935 | |
Secured Credit Facilities | Gas Carrier Segment | ||
Debt Instrument [Line Items] | ||
Secured Debt | $ 147,716 |
Long-term Debt - Loan Movements
Long-term Debt - Loan Movements (Table) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Debt Instrument [Line Items] | |
December 31, 2016 | $ 16,935 |
New Loans/ Interest capitalized | 150,000 |
Repayments/ Transfers/ Write offs | (19,219) |
December 31, 2017 | $ 147,716 |
Secured Credit Facility | |
Debt Instrument [Line Items] | |
Loan agreement date | Mar. 19, 2012 |
Original Amount | $ 19,065 |
December 31, 2016 | 14,935 |
New Loans/ Interest capitalized | 0 |
Repayments/ Transfers/ Write offs | (14,935) |
December 31, 2017 | $ 0 |
Secured Credit Facility | |
Debt Instrument [Line Items] | |
Loan agreement date | Jun. 20, 2008 |
Original Amount | $ 103,200 |
December 31, 2016 | 2,000 |
New Loans/ Interest capitalized | 0 |
Repayments/ Transfers/ Write offs | (2,000) |
December 31, 2017 | $ 0 |
Secured Credit Facility | |
Debt Instrument [Line Items] | |
Loan agreement date | Jun. 22, 2017 |
Original Amount | $ 150,000 |
December 31, 2016 | 0 |
New Loans/ Interest capitalized | 150,000 |
Repayments/ Transfers/ Write offs | (2,284) |
December 31, 2017 | $ 147,716 |
Long-term Debt - Principal Paym
Long-term Debt - Principal Payments (Tables) (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Long-term Debt, by Maturity [Abstract] | ||
Due through December 31, 2018 | $ 12,179 | |
Due through December 31, 2019 | 12,179 | |
Due through December 31, 2020 | 12,180 | |
Due through December 31, 2021 | 12,180 | |
Due through December 31, 2022 | 12,180 | |
Thereafter | 86,818 | |
Total principal payments | 147,716 | $ 16,935 |
Less: Financing fees | (2,378) | (124) |
Total debt | $ 145,338 | $ 16,811 |
Long-term Debt - Term Bank Loan
Long-term Debt - Term Bank Loans and Credit Facilities (Details) $ in Thousands | 4 Months Ended | 11 Months Ended | 12 Months Ended | ||
Apr. 24, 2017USD ($) | Nov. 18, 2016USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Debt Instrument [Line Items] | |||||
Amount used for repayment of debt | $ 18,780 | $ 119,758 | $ 782,366 | ||
Aggregate available undrawn amount | $ 0 | $ 0 | |||
Weighted Average Interest Rate | 3.37% | 3.15% | 4.98% | ||
Interest expense and debt amortization cost | $ 17,125 | $ 8,299 | $ 177,537 | ||
Amount drawn down | 79,000 | ||||
Gain on debt restructuring | $ 0 | 10,477 | $ 0 | ||
Term bank loans and credit facilities | |||||
Debt Instrument [Line Items] | |||||
Maturity Date | Dec. 31, 2023 | ||||
Payment terms | quarterly installments | ||||
Variable rate basis | LIBOR | ||||
Secured Credit Facility at June 20, 2008 | |||||
Debt Instrument [Line Items] | |||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 103,200 | ||||
Amount used for repayment of debt | $ 8,200 | ||||
Gain on debt restructuring | 8,366 | ||||
Cash repayment in full | 2,000 | ||||
Secured Credit Facility at March 19, 2012 | |||||
Debt Instrument [Line Items] | |||||
Line Of Credit Facility Maximum Borrowing Capacity | 19,065 | ||||
Loan agreements reclassified as current | $ 14,935 | ||||
Cash repayment in full | $ 15,158 | ||||
Secured Credit Facility at June 22, 2017 | |||||
Debt Instrument [Line Items] | |||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 150,000 | ||||
Line of credit facilities number of installments | 24 | ||||
Amount used for repayment of debt | $ 2,284 | ||||
Amount drawn down | $ 150,000 | ||||
Interest rate description | LIBOR | ||||
Frequency of payments | quarterly |
Long-Term Debt - Covenant Descr
Long-Term Debt - Covenant Description and Compliance (Details) | 12 Months Ended |
Dec. 31, 2017 | |
Debt instrument covenant compliance | As of December 31, 2017, the Company was in compliance with the covenants regarding its secured credit facilities. |
Secured Credit Facility at March 19, 2012 | |
Debt instrument covenant compliance | As of December 31, 2016, the Company was in breach of certain financial covenants regarding its secured credit facility dated March 19, 2012 and had not made principal repayments and interest payments under this agreement. As a result of this non-compliance and in accordance with guidance related to the classification of obligations that are callable by the creditor, the Company classified the respective bank loan amounting to $14,935 as current liability at December 31, 2016. |
Secured Credit Facility at June 22, 2017 | |
Debt instrument covenant description | The Company's secured credit facility dated June 22, 2017 is secured by first priority mortgage over the Company's VLGCs, corporate guarantees, first priority assignments of all freights, earnings, insurances and requisition compensation. The loan contains customary financial covenants that restrict, without the bank's prior consent, changes in management and ownership of the vessels, the incurrence of additional indebtedness and mortgaging of vessels and changes in the general nature of the Company's business. The loans also contain certain financial covenants relating to the Company's financial position and operating performance, such as maintaining liquidity above a certain level. The Company's secured credit facility imposes operating and negative covenants on the Company and its subsidiaries. These covenants may limit the ability of certain of the Company's subsidiaries to, among other things, without the relevant lenders' prior consent (i) incur additional indebtedness, (ii) change the flag, class or management of the vessel mortgaged under such facility, (iii) create or permit to exist liens on their assets, (iv) make loans, (v) make investments or capital expenditures, and (vi) undergo a change in ownership or control. |
Financial Instruments and Fai67
Financial Instruments and Fair Value Measurements - Derivatives not Designated as Hedging Instruments (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative Not Designated as Hedging Instruments | |||
Interest rate swaps | $ 0 | $ 403 | $ (11,601) |
Not Designated as Hedging Instrument | |||
Derivative Not Designated as Hedging Instruments | |||
Total | 0 | 403 | (11,601) |
Gain/(Loss) on interest rate swaps | Not Designated as Hedging Instrument | |||
Derivative Not Designated as Hedging Instruments | |||
Interest rate swaps | $ 0 | $ 403 | $ (11,601) |
Financial Instruments and Fai68
Financial Instruments and Fair Value Measurements - Recurring Measurements (Table) (Details) - On recurring basis - Unobservable Inputs (Level 3) $ in Thousands | Dec. 31, 2017USD ($) |
Non-Recurring measurements: | |
Investment in affiliate - Heidmar (Note 9) | $ 34,000 |
Total | $ 34,000 |
Financial Instruments and Fai69
Financial Instruments and Fair Value Measurements - Non-Recurring Measurements for Long-lived Assets (Table) (Details) - On nonrecuring basis - Significant Other Observable Inputs (Level 2) $ in Thousands | Dec. 31, 2016USD ($) |
Non-Recurring measurements: | |
Long-lived assets held and used | $ 95,550 |
Total | $ 95,550 |
Financial Instruments And Fai70
Financial Instruments And Fair Value Measurements - Interest Rate Swaps (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2010USD ($) | |
Interest Rate Derivatives [Abstract] | ||||
Number of interest rate swaps agreements | 0 | 0 | ||
Reclassification of losses on previously designated cash flow hedges associated with capitalized interest to Depreciation and amortization | $ 0 | $ (110) | $ (466) | |
Gain / (Loss) on interest rate swaps | $ 0 | 403 | (11,601) | |
Cash flow hedge realized | ||||
Interest Rate Derivatives [Abstract] | ||||
(Unrealized)/ realized losses on cash flow hedges accumulated in other comprehensive income / loss | $ (16,463) | |||
Cash flow hedge unrealized | ||||
Interest Rate Derivatives [Abstract] | ||||
Gain / (Loss) on interest rate swaps | $ 2,193 | $ 10,848 |
Financial Instruments and Fai71
Financial Instruments and Fair Value Measurements - Senior Notes, Credit Facilities and Additional Information (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 5 Months Ended | 8 Months Ended | 9 Months Ended | 12 Months Ended | |||||||
Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Jun. 08, 2015USD ($) | Aug. 29, 2017USD ($)$ / sharesshares | Sep. 30, 2016USD ($) | Dec. 31, 2017USD ($)$ / shares | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Apr. 05, 2016 | Apr. 04, 2016 | Sep. 09, 2015 | Apr. 30, 2015 | |
Gain/(loss) due to deconsolidation | $ 0 | $ 0 | $ (1,347,106) | |||||||||
Vessels, net | 749,088 | 95,550 | ||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | 4,125 | (106,343) | (1,057,116) | |||||||||
Proceeds From Issuance Of Common Stock | 568,883 | 123,810 | 0 | |||||||||
Amount converted | 8,750 | |||||||||||
Carrying value of the investment | 34,000 | 0 | ||||||||||
Loss on Private Placement | (7,600) | $ 0 | 0 | |||||||||
Stockholders' Contribution | 2,805 | |||||||||||
Heidmar Holdings LLC | ||||||||||||
Equity Method Investment Ownership Percentage | 49.00% | |||||||||||
Carrying value of the investment | $ 34,000 | |||||||||||
Sifnos Shareholders Inc. | Series D Convertible Preferred Stock | ||||||||||||
Stockholders' Contribution | $ 2,805 | |||||||||||
Private Placement | ||||||||||||
Number of shares issued | shares | 36,363,636 | |||||||||||
Price per share | $ / shares | $ 2.75 | |||||||||||
Proceeds From Issuance Of Common Stock | $ 100,000 | |||||||||||
Loss on Private Placement | $ (7,600) | |||||||||||
Share price | $ / shares | $ 2.05 | |||||||||||
Private Placement | Sierra Investments Inc. | ||||||||||||
Number of shares issued | shares | 9,818,182 | |||||||||||
Private Placement | Sierra Investments Inc. | Revolving Facility | ||||||||||||
Amount converted | $ 27,000 | |||||||||||
Private Placement | Heidmar Holdings LLC | ||||||||||||
Ownership percentage | 49.00% | |||||||||||
One of its drybulk vessels | ||||||||||||
Vessels, net | $ 95,937 | 95,937 | ||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (83,937) | |||||||||||
Tankers | ||||||||||||
Number of vessels | 10 | |||||||||||
Vessels Held For Sale Including Impairment | 587,271 | 587,271 | ||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (56,631) | |||||||||||
10 Capesize bulk carriers, 4 Panamax bulk carriers and 3 Capesize bulk carriers | ||||||||||||
Number of vessels | 17 | |||||||||||
Vessels Held For Sale Including Impairment | $ 748,320 | 748,320 | ||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (375,090) | |||||||||||
20 Panamax and 2 Supramax bulk carriers | ||||||||||||
Number of vessels | 22 | 22 | ||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (422,404) | |||||||||||
Supramax | ||||||||||||
Number of vessels | 2 | 2 | ||||||||||
Vessels, net | $ 17,820 | $ 17,820 | ||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (6,035) | |||||||||||
Rangiroa, Negonego and Fakarava | ||||||||||||
Number of vessels | 3 | |||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (23,018) | |||||||||||
Coronado Panamax vessel | ||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | 1,084 | |||||||||||
Ocean Crystal, Sonoma and Sorreto Panamax vessels | ||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ 3,020 | $ (641) | ||||||||||
Drybulk Carrier Vessels | ||||||||||||
Number of vessels | 13 | |||||||||||
Gain on reclassification of vessels | $ 1,851 | |||||||||||
Offshore Support Vessels | ||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (65,712) | |||||||||||
Vessels held for sale | ||||||||||||
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | $ (18,266) | (113,019) | $ (13,395) | (967,144) | ||||||||
Ocean Rig | ||||||||||||
Gain/(loss) due to deconsolidation | $ (1,347,106) | |||||||||||
Equity Method Investment Ownership Percentage | 47.20% | 0.00% | 40.40% | |||||||||
Carrying value of the investment | $ 208,176 | $ 401,878 | $ 401,878 |
Common Stock and Additional P72
Common Stock and Additional Paid-in Capital - Net loss Attributable to DryShips and Transfers to the Non-controlling Interest (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net Loss Attributable To DryShips Inc And Transfers To Noncontrolling Interest [Abstract] | |||
Net loss attributable to Dryships Inc. | $ (42,544) | $ (198,686) | $ (2,847,061) |
Transfers to the non-controlling interest: | |||
Decrease in Dryships Inc. equity for reduction in subsidiary ownership | 0 | 0 | (49,444) |
Net transfers to the non-controlling interest | 0 | 0 | (49,444) |
Net loss attributable to Dryships Inc. and transfers to/from the non-controlling interest | $ (42,544) | $ (198,686) | $ (2,896,505) |
Common Stock and Additional P73
Common Stock and Additional Paid-in Capital - Issuance of common shares (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 2 Months Ended | 3 Months Ended | 7 Months Ended | 8 Months Ended | 9 Months Ended | 12 Months Ended | |||||||
Jan. 31, 2017 | Jan. 30, 2017 | Feb. 17, 2017 | Apr. 03, 2017 | Mar. 17, 2017 | Mar. 16, 2017 | Aug. 10, 2017 | Aug. 31, 2017 | Aug. 29, 2017 | Oct. 04, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 23, 2016 | Dec. 31, 2015 | |
Net proceeds from stock issuance | $ 568,883 | $ 123,810 | $ 0 | |||||||||||
Value of shares issued | $ 742,585 | $ 14,434 | $ (228) | |||||||||||
Private Placement | ||||||||||||||
Price per share | $ 2.75 | |||||||||||||
Net proceeds from stock issuance | $ 100,000 | |||||||||||||
Number of shares issued | 36,363,636 | |||||||||||||
Private Placement | Sierra Investments Inc. | ||||||||||||||
Number of shares issued | 9,818,182 | |||||||||||||
Rights Offering | ||||||||||||||
Price per share | $ 2.75 | |||||||||||||
Aggregate consideration | $ 100,000 | |||||||||||||
Backstop Agreement | ||||||||||||||
Price per share | $ 2.75 | |||||||||||||
Number of shares issued | 36,363,636 | |||||||||||||
Backstop Agreement | Sierra Investments Inc. | ||||||||||||||
Number of shares issued | 36,057,876 | |||||||||||||
Backstop Agreement | Existing shareholders | ||||||||||||||
Net proceeds from stock issuance | $ 841 | |||||||||||||
Number of shares issued | 305,760 | |||||||||||||
2016 Purchase Agreement | ||||||||||||||
Number of shares issued | 32,681 | |||||||||||||
Maximum value of shares to be sold within 24 months | $ 200,000 | |||||||||||||
Amount of common stock as commitment fee | $ 1,500 | |||||||||||||
Value of shares issued | $ 200,000 | |||||||||||||
2016 Purchase Agreement | Commitment Fee | ||||||||||||||
Number of shares issued | 263 | |||||||||||||
2016 Purchase Agreement | Before reverse stock splits | ||||||||||||||
Number of shares issued | 71,864,590 | |||||||||||||
2016 Purchase Agreement | Before reverse stock splits | Commitment Fee | ||||||||||||||
Number of shares issued | 844,335 | |||||||||||||
February 2017 Purchase Agreement | ||||||||||||||
Number of shares issued | 118,165 | |||||||||||||
Maximum value of shares to be sold within 24 months | $ 200,000 | |||||||||||||
Amount of common stock as commitment fee | $ 1,500 | |||||||||||||
Value of shares issued | $ 200,000 | |||||||||||||
February 2017 Purchase Agreement | Commitment Fee | ||||||||||||||
Number of shares issued | 872 | |||||||||||||
February 2017 Purchase Agreement | Before reverse stock splits | ||||||||||||||
Number of shares issued | 115,801,710 | |||||||||||||
February 2017 Purchase Agreement | Before reverse stock splits | Commitment Fee | ||||||||||||||
Number of shares issued | 854,631 | |||||||||||||
April 2017 Purchase Agreement | ||||||||||||||
Net proceeds from stock issuance | $ 193,598 | |||||||||||||
Number of shares issued | 31,392,280 | |||||||||||||
Maximum value of shares to be sold within 24 months | $ 226,400 | |||||||||||||
Amount of common stock as commitment fee | $ 1,500 | |||||||||||||
April 2017 Purchase Agreement | Commitment Fee | ||||||||||||||
Number of shares issued | 42,630 | |||||||||||||
April 2017 Purchase Agreement | Before reverse stock splits | ||||||||||||||
Number of shares issued | 123,998,456 | |||||||||||||
April 2017 Purchase Agreement | Before reverse stock splits | Commitment Fee | ||||||||||||||
Number of shares issued | 879,711 |
Common Stock and Additional P74
Common Stock and Additional Paid-in Capital - Issuance of preferred shares and Treasury stock (Details) - USD ($) $ in Thousands | 3 Months Ended | 5 Months Ended | 6 Months Ended | 7 Months Ended | 8 Months Ended | 9 Months Ended | 10 Months Ended | 11 Months Ended | 12 Months Ended | |||||||||
Nov. 18, 2016 | Mar. 24, 2016 | Nov. 18, 2016 | Jun. 08, 2016 | Jul. 06, 2016 | Aug. 03, 2016 | Sep. 09, 2017 | Aug. 29, 2017 | Sep. 13, 2016 | Sep. 01, 2016 | Oct. 05, 2016 | Nov. 04, 2016 | Oct. 31, 2016 | Nov. 16, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 30, 2015 | |
Debt Conversion, Amount | $ 8,750 | |||||||||||||||||
Stockholders' Contribution | $ 2,805 | |||||||||||||||||
Treasury stock retired | 3 | |||||||||||||||||
Convertible preferred shares | ||||||||||||||||||
Number of shares issued | 873 | |||||||||||||||||
Preferred warrants | ||||||||||||||||||
Number of shares issued | 3,153 | |||||||||||||||||
Prepaid warrants | ||||||||||||||||||
Number of shares issued | 45 | |||||||||||||||||
Preferred stock | ||||||||||||||||||
Issuance of preferred stock, shares | 42 | 8 | ||||||||||||||||
Shares converted | 13 | |||||||||||||||||
Preferred stock | Preferred warrants | ||||||||||||||||||
Dividends on preferred stock converted | $ 5,551 | |||||||||||||||||
Shares converted | 80,000 | |||||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | ||||||||||||||||||
Debt Conversion, Amount | $ 8,750 | $ 8,750 | $ 7,500 | $ 10,000 | ||||||||||||||
Sifnos Shareholders Inc. | Revolving Credit Facility | Preferred stock | ||||||||||||||||||
Preferred Stock, Voting Rights | voting power of 5:1 | |||||||||||||||||
Number of preferred shares converted | 29 | |||||||||||||||||
Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | ||||||||||||||||||
Treasury stock retired | 3,009 | |||||||||||||||||
Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | Convertible preferred shares | ||||||||||||||||||
Number of shares issued | 856,352 | |||||||||||||||||
Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | Preferred warrants | ||||||||||||||||||
Number of shares issued | 3,090,405 | |||||||||||||||||
Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | Prepaid warrants | ||||||||||||||||||
Number of shares issued | 44,822 | |||||||||||||||||
Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | Sifnos Shareholders Inc. | Revolving Credit Facility | Preferred stock | ||||||||||||||||||
Number of preferred shares converted | 29,166 | |||||||||||||||||
Series C Convertible Preferred Stock | ||||||||||||||||||
Preferred shares annual rate | 8.00% | |||||||||||||||||
Series D Convertible Preferred Stock | ||||||||||||||||||
Preferred Stock, Voting Rights | 100.000 votes | |||||||||||||||||
Series D Convertible Preferred Stock | Sifnos Shareholders Inc. | ||||||||||||||||||
Stockholders' Contribution | $ 2,805 | |||||||||||||||||
Series D Convertible Preferred Stock | Sifnos Shareholders Inc. | Revolving Credit Facility | ||||||||||||||||||
Number of preferred shares converted | 29 | |||||||||||||||||
Series D Convertible Preferred Stock | Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | Sifnos Shareholders Inc. | Revolving Credit Facility | ||||||||||||||||||
Number of preferred shares converted | 29,166 | |||||||||||||||||
Series E-1 Convertible Preferred Stock | Convertible preferred shares | ||||||||||||||||||
Dividends on preferred stock converted | $ 1,400 | |||||||||||||||||
Shares converted | 20,000 | |||||||||||||||||
Securities Purchase Agreement | ||||||||||||||||||
Number of shares issued | 152 | 29 | ||||||||||||||||
Number of shares issued | 0 | |||||||||||||||||
Common stock issued as dividend | 0 | 0 | 0 | 0 | 0 | |||||||||||||
Securities Purchase Agreement | Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | ||||||||||||||||||
Number of shares issued | 149,187 | 28,697 | ||||||||||||||||
Number of shares issued | 310 | |||||||||||||||||
Common stock issued as dividend | 70 | 17 | 278 | 328 | 339 | |||||||||||||
Securities Purchase Agreement | Series C Convertible Preferred Stock | ||||||||||||||||||
Dividends on preferred stock converted | $ 344 | $ 400 | ||||||||||||||||
Proceeds from the offering of preferred shares | $ 5,000 | |||||||||||||||||
Proceeds from warrants | $ 5,000 | |||||||||||||||||
Issuance of preferred stock, shares | 5,000 | |||||||||||||||||
Number of warrants | 5,000 | |||||||||||||||||
Total proceeds | $ 10,000 | |||||||||||||||||
Shares converted | 5,000 | 5,000 | ||||||||||||||||
Securities Purchase Agreement with Kalani | ||||||||||||||||||
Number of shares issued | 0 | |||||||||||||||||
Total proceeds | $ 100,000 | |||||||||||||||||
Securities Purchase Agreement with Kalani | Subject to adjustment | ||||||||||||||||||
Number of shares issued | 47 | |||||||||||||||||
Securities Purchase Agreement with Kalani | Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | ||||||||||||||||||
Number of shares issued | 13 | |||||||||||||||||
Securities Purchase Agreement with Kalani | Before 1-for-4, 1-for-7, 1-for-5 and 1-for-7 reverse stock splits | Subject to adjustment | ||||||||||||||||||
Number of shares issued | 46,609 | |||||||||||||||||
Securities Purchase Agreement with Kalani | Series E-1 Convertible Preferred Stock | ||||||||||||||||||
Issuance of preferred stock, shares | 20,000 | |||||||||||||||||
Number of warrants | 30,000 | |||||||||||||||||
Securities Purchase Agreement with Kalani | Series E-2 Convertible Preferred Stock | ||||||||||||||||||
Number of warrants | 50,000 |
Common Stock and Additional P75
Common Stock and Additional Paid-in Capital - Reverse stock splits (Details) | 1 Months Ended | 2 Months Ended | 3 Months Ended | 4 Months Ended | 6 Months Ended | 7 Months Ended | 10 Months Ended | |
Jan. 23, 2017 | Mar. 11, 2016 | Apr. 11, 2017 | May 11, 2017 | Jun. 22, 2017 | Jul. 21, 2017 | Aug. 15, 2016 | Nov. 01, 2016 | |
Common Stock and Additional Paid-in Capital | ||||||||
Reverse Stock Split | 1-for-8 reverse stock split of the Company's common shares, with which four fractional shares were cashed out | 1-for-25 reverse stock split of the Company's common shares, with which seven fractional shares were cashed out | 1-for-4 reverse stock split of the Company's common shares, with which two fractional shares were cashed out | 1-for-7 reverse stock split of the Company's common shares, with which three fractional shares were cashed out | 1-for-5 reverse stock split of the Company's common shares, with which two fractional shares were cashed out | 1-for-7 reverse stock split of the Company's common shares, with which two fractional shares were cashed out | 1-for-4 reverse stock split of the Company's common shares, with which five fractional shares were cashed out | 1-for-15 reverse stock split of the Company's common shares, with which nine fractional shares were cashed out |
Common Stock and Additional P76
Common Stock and Additional Paid-in Capital - Dividends (Details) - USD ($) $ in Thousands | 1 Months Ended | 2 Months Ended | 3 Months Ended | 6 Months Ended | 10 Months Ended | 12 Months Ended | ||
Feb. 06, 2018 | Feb. 27, 2017 | Apr. 11, 2017 | Jul. 07, 2017 | Oct. 16, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Dividends Payable [Line Items] | ||||||||
Payment of dividends | $ 2,500 | $ 2,500 | $ 2,500 | $ 2,500 | $ 10,001 | $ 0 | $ 20,526 | |
Date of dividend record | Mar. 15, 2017 | May 1, 2017 | Jul. 20, 2017 | Oct. 27, 2017 | ||||
Date of dividend payment | Mar. 30, 2017 | May 12, 2017 | Aug. 2, 2017 | Nov. 13, 2017 | ||||
Subsequent Event | ||||||||
Dividends Payable [Line Items] | ||||||||
Payment of dividends | $ 2,500 | |||||||
Date of dividend record | Feb. 20, 2018 | |||||||
Date of dividend payment | Mar. 6, 2018 |
Equity Incentive Plan - Additio
Equity Incentive Plan - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | Jan. 12, 2011 | Aug. 19, 2014 | Aug. 20, 2013 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 30, 2014 | Jan. 25, 2010 |
Common stock par value | $ 0.01 | $ 0.01 | ||||||
Unrecognized compensation cost related to non-vested share-based compensation arrangements granted | $ 691 | $ 2,419 | $ 5,999 | |||||
Allocated Share-based Compensation Expense | $ 1,728 | $ 3,580 | $ 6,590 | |||||
Equity Incentive Plan 2008 | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 21,834,055 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | ||||||||
Ocean Rig's shares granted | 1 | |||||||
Vesting period | 8 years | |||||||
Vested number of shares | 1 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Before reverse stock splits | ||||||||
Ocean Rig's shares granted | 9,000,000 | |||||||
Grant date fair value | $ 5.5 | |||||||
Vested number of shares | 8,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share-based Compensation Award, Tranche One | ||||||||
Vested number of shares on grant date | 1 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share-based Compensation Award, Tranche One | Before reverse stock splits | ||||||||
Vested number of shares on grant date | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share-based Compensation Award, Tranche Two | ||||||||
Rights exercise period | 11 months 18 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share-based Compensation Award, Tranche Two | Before reverse stock splits | ||||||||
Vested in period | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share-based Compensation Award, Tranche Three | ||||||||
Rights exercise period | 1 year 11 months 18 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share-based Compensation Award, Tranche Three | Before reverse stock splits | ||||||||
Vested in period | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Four | ||||||||
Rights exercise period | 2 years 11 months 18 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Four | Before reverse stock splits | ||||||||
Vested in period | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Five | ||||||||
Rights exercise period | 3 years 11 months 18 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Five | Before reverse stock splits | ||||||||
Vested in period | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Six | ||||||||
Rights exercise period | 4 years 11 months 18 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Six | Before reverse stock splits | ||||||||
Vested in period | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Seven | ||||||||
Rights exercise period | 5 years 11 months 18 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Seven | Before reverse stock splits | ||||||||
Vested in period | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Eight | ||||||||
Rights exercise period | 6 years 11 months 18 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Eight | Before reverse stock splits | ||||||||
Vested in period | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Nine | ||||||||
Rights exercise period | 7 years 11 months 18 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 12 January 2011 | Share Based Compensation Award, Tranche Nine | Before reverse stock splits | ||||||||
Vested in period | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 20 August 2013 | ||||||||
Ocean Rig's shares granted | 1 | |||||||
Vesting period | 2 years | |||||||
Common stock par value | $ 0.01 | |||||||
Vested number of shares | 1 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 20 August 2013 | Before reverse stock splits | ||||||||
Ocean Rig's shares granted | 1,000,000 | |||||||
Grant date fair value | $ 2.01 | |||||||
Vested number of shares | 1,000,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 20 August 2013 | Share-based Compensation Award, Tranche One | ||||||||
Vested number of shares on grant date | 1 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 20 August 2013 | Share-based Compensation Award, Tranche One | Before reverse stock splits | ||||||||
Vested number of shares on grant date | 333,334 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 20 August 2013 | Share-based Compensation Award, Tranche Two | ||||||||
Rights exercise period | 1 year | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 20 August 2013 | Share-based Compensation Award, Tranche Two | Before reverse stock splits | ||||||||
Vested in period | 333,333 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 20 August 2013 | Share-based Compensation Award, Tranche Three | ||||||||
Rights exercise period | 2 years | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee approval on 20 August 2013 | Share-based Compensation Award, Tranche Three | Before reverse stock splits | ||||||||
Vested in period | 333,333 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 19 August 2014 | ||||||||
Ocean Rig's shares granted | 0 | |||||||
Vesting period | 3 years | |||||||
Common stock par value | $ 0.01 | |||||||
Vested number of shares | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 19 August 2014 | Before reverse stock splits | ||||||||
Ocean Rig's shares granted | 1,200,000 | |||||||
Grant date fair value | $ 3.26 | |||||||
Vested number of shares | 1,200,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 19 August 2014 | Share-based Compensation Award, Tranche One | ||||||||
Rights exercise period | 4 months 13 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 19 August 2014 | Share-based Compensation Award, Tranche One | Before reverse stock splits | ||||||||
Vested in period | 400,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 19 August 2014 | Share-based Compensation Award, Tranche Two | ||||||||
Rights exercise period | 1 year 4 months 13 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 19 August 2014 | Share-based Compensation Award, Tranche Two | Before reverse stock splits | ||||||||
Vested in period | 400,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 19 August 2014 | Share-based Compensation Award, Tranche Three | ||||||||
Rights exercise period | 2 years 4 months 13 days | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 19 August 2014 | Share-based Compensation Award, Tranche Three | Before reverse stock splits | ||||||||
Vested in period | 400,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 30 December 2014 | ||||||||
Ocean Rig's shares granted | 0 | |||||||
Vesting period | 3 years | |||||||
Common stock par value | $ 0.01 | |||||||
Vested number of shares | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 30 December 2014 | Before reverse stock splits | ||||||||
Ocean Rig's shares granted | 2,100,000 | |||||||
Grant date fair value | $ 1.07 | |||||||
Vested number of shares | 2,100,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 30 December 2014 | Share-based Compensation Award, Tranche One | ||||||||
Rights exercise period | 1 year 1 day | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 30 December 2014 | Share-based Compensation Award, Tranche One | Before reverse stock splits | ||||||||
Vested in period | 700,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 30 December 2014 | Share-based Compensation Award, Tranche Two | ||||||||
Rights exercise period | 2 years 1 day | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 30 December 2014 | Share-based Compensation Award, Tranche Two | Before reverse stock splits | ||||||||
Vested in period | 700,000 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 30 December 2014 | Share-based Compensation Award, Tranche Three | ||||||||
Rights exercise period | 3 years 1 day | |||||||
Vested in period | 0 | |||||||
Fabiana Services S.A. | Consultancy Agreement Compensation Committee Approval On 30 December 2014 | Share-based Compensation Award, Tranche Three | Before reverse stock splits | ||||||||
Vested in period | 700,000 |
Commitments and Contingencies -
Commitments and Contingencies - Contractual Charter Revenue (Details) $ in Thousands | Dec. 31, 2017USD ($) |
Unbilled Receivables, Not Billable at Balance Sheet Date [Abstract] | |
Twelve months ending December 31, 2018 | $ 47,507 |
Twelve months ending December 31, 2019 | 37,266 |
Twelve months ending December 31, 2020 | 37,284 |
Twelve months ending December 31, 2021 | 37,266 |
Twelve months ending December 31, 2022 and after | $ 72,263 |
Commitment and Contingencies -
Commitment and Contingencies - Additional Information (Details) $ in Thousands | 8 Months Ended | 12 Months Ended | |||
Aug. 22, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Jun. 25, 2015 | |
Loss Contingencies [Line Items] | |||||
Number Charter Agreements Amended | 11 | ||||
Number Of Charter Agreements | 7 | ||||
Gain/ (Loss) on contract termination | $ 0 | $ 0 | $ (28,241) | ||
Increase (Decrease) in Contract Receivables, Net | (35,000) | ||||
Cash Received Under Charter Agreement | 5,000 | ||||
Allowance for Doubtful Accounts Receivable, Write-offs | 16,471 | ||||
Amount of receivables amortized | $ (6,759) | ||||
Minimum | |||||
Loss Contingencies [Line Items] | |||||
Time Charter Agreement Duration | 4 years | ||||
Sale of vessel | |||||
Loss Contingencies [Line Items] | |||||
Sales Discounts Vessels | $ 5,000 | ||||
Termination of contract | |||||
Loss Contingencies [Line Items] | |||||
Gain/ (Loss) on contract termination | $ 5,000 | ||||
Compensatory damages | Sammon v. Ecomomou | |||||
Loss Contingencies [Line Items] | |||||
Loss Contingency, Damages Sought, Value | $ 1,560 | ||||
Treble punitive damages | Sammon v. Ecomomou | |||||
Loss Contingencies [Line Items] | |||||
Loss Contingency, Damages Sought, Value | $ 4,680 | ||||
Majorca vessel | |||||
Loss Contingencies [Line Items] | |||||
Total off-hire days | 82 days | ||||
Estimated loss | $ 1,828 | ||||
Marbella vessel | |||||
Loss Contingencies [Line Items] | |||||
Total off-hire days | 33 days | ||||
Estimated loss | $ 641 |
Interest and Finance Costs (T80
Interest and Finance Costs (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Interest and Finance Costs [Abstract] | |||
Interest incurred on long-term debt | $ 1,499 | $ 6,164 | $ 150,061 |
Interest, amortization and write off of financing fees on loan from affiliate and related party | 15,239 | 1,563 | 3,642 |
Amortization and write-off of financing fees | 387 | 572 | 23,834 |
Discount on receivable from drilling contract | 0 | 0 | 4,048 |
Commissions, commitment fees and other financial expenses and related party | 778 | 558 | 2,607 |
Capitalized interest and finance costs | (3,196) | 0 | (12,060) |
Total | $ 14,707 | $ 8,857 | $ 172,132 |
Segment Information (Table) (De
Segment Information (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Voyage revenues, net | $ 100,716 | $ 51,934 | $ 244,020 |
Service revenues, net | 0 | 0 | 725,805 |
Revenues | 100,716 | 51,934 | 969,825 |
Vessels and drilling units operating expenses | (59,348) | (45,563) | (371,074) |
Depreciation and amortization | (14,966) | (3,466) | (227,652) |
Goodwill impairment | 0 | (7,002) | 0 |
Loss on contract cancellation | 0 | 0 | (28,241) |
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | 4,125 | (106,343) | (1,057,116) |
General and administrative expenses | (30,972) | (39,708) | (104,912) |
Gain/(loss) on interest rate swaps | 0 | (403) | 11,601 |
Gain on debt restructuring | 0 | 10,477 | 0 |
Income taxes | (152) | (38) | (37,119) |
Net income/(loss) | (42,544) | (198,686) | (2,808,086) |
Net income/(loss) attributable to Dryships Inc. | (42,544) | (198,686) | (2,847,061) |
Interest and finance cost | (14,707) | (8,857) | (177,655) |
Interest income | 1,365 | 81 | 6,050 |
Change in fair value of derivatives (gain)/loss | 0 | (2,193) | (10,848) |
Total assets | 900,925 | 193,730 | 476,052 |
Drybulk Segment | |||
Voyage revenues, net | 65,723 | 30,777 | 115,598 |
Vessels and drilling units operating expenses | (40,024) | (30,969) | (87,704) |
Depreciation and amortization | (7,326) | 0 | (65,607) |
Loss on contract cancellation | 0 | 0 | (28,241) |
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | 4,425 | (35,470) | (1,000,485) |
General and administrative expenses | (19,095) | (29,822) | (44,519) |
Gain/(loss) on interest rate swaps | 0 | (917) | 567 |
Gain on debt restructuring | 0 | 10,477 | 0 |
Income taxes | (56) | 0 | 0 |
Net income/(loss) | (23,676) | (69,966) | (1,180,056) |
Net income/(loss) attributable to Dryships Inc. | (23,676) | (69,966) | (1,180,056) |
Interest and finance cost | (13,476) | (8,706) | (45,321) |
Interest income | 1,310 | 66 | 76 |
Change in fair value of derivatives (gain)/loss | 0 | (1,957) | (10,768) |
Total assets | 348,657 | 162,532 | 342,287 |
Offshore Support Segment | |||
Voyage revenues, net | 3,819 | 21,157 | 8,118 |
Vessels and drilling units operating expenses | (4,749) | (14,587) | (3,977) |
Depreciation and amortization | (950) | (3,466) | (672) |
Goodwill impairment | 0 | (7,002) | 0 |
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | (300) | (70,873) | 0 |
General and administrative expenses | (7,677) | (9,849) | (2,858) |
Income taxes | (20) | (38) | (188) |
Net income/(loss) | (13,322) | (86,553) | (2,711) |
Net income/(loss) attributable to Dryships Inc. | (13,322) | (86,553) | (2,657) |
Interest and finance cost | (24) | (93) | (105) |
Interest income | 25 | 13 | 2 |
Change in fair value of derivatives (gain)/loss | 0 | 0 | (6) |
Total assets | 26,871 | 31,191 | 131,124 |
Drilling Segment | |||
Service revenues, net | 725,805 | ||
Vessels and drilling units operating expenses | (259,623) | ||
Depreciation and amortization | (155,352) | ||
General and administrative expenses | (46,989) | ||
Gain/(loss) on interest rate swaps | 9,588 | ||
Income taxes | (36,931) | ||
Net income/(loss) | (1,601,451) | ||
Net income/(loss) attributable to Dryships Inc. | (1,640,480) | ||
Interest and finance cost | (123,463) | ||
Interest income | 5,954 | ||
Change in fair value of derivatives (gain)/loss | 349 | ||
Total assets | 0 | ||
Tanker Segment | |||
Voyage revenues, net | 20,858 | 0 | 120,304 |
Vessels and drilling units operating expenses | (8,830) | (7) | (19,770) |
Depreciation and amortization | (4,652) | 0 | (6,021) |
Impairment loss, gain/(loss) from sale of vessels and vessel owning companies and other | 0 | 0 | (56,631) |
General and administrative expenses | (2,384) | (37) | (10,546) |
Gain/(loss) on interest rate swaps | 0 | 514 | 1,446 |
Net income/(loss) | (4,492) | (713) | (23,868) |
Net income/(loss) attributable to Dryships Inc. | (4,492) | (713) | (23,868) |
Interest and finance cost | (4) | (58) | (8,766) |
Interest income | 0 | 2 | 18 |
Change in fair value of derivatives (gain)/loss | 0 | (236) | (422) |
Total assets | 202,543 | $ 7 | $ 2,641 |
Gas Carrier Segment | |||
Voyage revenues, net | 10,316 | ||
Vessels and drilling units operating expenses | (5,745) | ||
Depreciation and amortization | (2,038) | ||
General and administrative expenses | (1,816) | ||
Income taxes | (76) | ||
Net income/(loss) | (1,054) | ||
Net income/(loss) attributable to Dryships Inc. | (1,054) | ||
Interest and finance cost | (1,203) | ||
Interest income | 30 | ||
Total assets | 322,854 | ||
Other | |||
Total assets | $ 34,000 |
Segment Information - Reconcili
Segment Information - Reconciliation of Interest and Finance Costs (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||
Interest and finance costs | $ 14,707 | $ 8,857 | $ 172,132 |
Interest income | 1,365 | 81 | 527 |
Interest for reportable segments | |||
Segment Reporting Information [Line Items] | |||
Interest and finance costs | 14,707 | 8,857 | 177,655 |
Interest income | 1,365 | 81 | 6,050 |
Elimination of intersegment interest | |||
Segment Reporting Information [Line Items] | |||
Interest and finance costs | 0 | 0 | (5,523) |
Interest income | $ 0 | $ 0 | $ (5,523) |
Segment Information - Revenue p
Segment Information - Revenue per country - Drilling Segment (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total leasing and service revenues | $ 0 | $ 0 | $ 725,805 |
Congo | |||
Total leasing and service revenues | 31,807 | ||
Norway | |||
Total leasing and service revenues | 101,584 | ||
Brazil | |||
Total leasing and service revenues | 253,283 | ||
Ivory Coast | |||
Total leasing and service revenues | 12,065 | ||
Angola | |||
Total leasing and service revenues | 275,410 | ||
Falkland | |||
Total leasing and service revenues | $ 51,656 |
Segment Information Revenue per
Segment Information Revenue per country - Offshore Vessels (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total revenues | $ 100,716 | $ 51,934 | $ 244,020 |
Offshore Support Vessels | |||
Total revenues | 5,018 | 21,112 | 8,118 |
Brazil | Offshore Support Vessels | |||
Total revenues | 5,018 | 19,312 | 8,118 |
Europe | Offshore Support Vessels | |||
Total revenues | $ 0 | $ 1,800 | $ 0 |
Segment Information (Details)
Segment Information (Details) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Number of Reportable Segments | 4 | |
Tanker Segment | ||
Number of vessels | 4 | |
Gas Carrier Segment | ||
Number of vessels | 4 | |
Offshore Support Vessels | Brazil | ||
Number of vessels | 3 |
Losses per share (Table) (Detai
Losses per share (Table) (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings per Share Reconciliation [Abstract] | |||
Net loss attributable to DryShips Inc. | $ (42,544) | $ (198,686) | $ (2,847,061) |
Plus: Contribution from Series D Preferred Stock | 2,805 | ||
Less: Convertible Preferred stock dividends | (7,695) | ||
Less: Non-vested common stock dividends declared and undistributed earnings | (570) | ||
Basic LPS | |||
Loss available to common stockholders | $ (39,739) | $ (206,381) | $ (2,847,631) |
Weighted-average number of outstanding shares (denominator) | 35,225,784 | 453 | 57 |
Amount per share | $ (1.13) | $ (455,587.20) | $ (49,958,438.60) |
Diluted LPS | |||
Loss available to common stockholders | $ (39,739) | $ (206,381) | $ (2,847,631) |
Weighted-average number of outstanding shares (denominator) | 35,225,784 | 453 | 57 |
Amount per share | $ (1.13) | $ (455,587.20) | $ (49,958,438.60) |
Income Taxes - Ocean Rig Income
Income Taxes - Ocean Rig Income/(Losses) Before Taxes by Country (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total income before taxes | $ (42,392) | $ (157,194) | $ (1,073,989) |
Drilling Segment | |||
Domestic income / (loss) (Republic of the Marshall Islands) | 90,181 | ||
Foreign income | 42,277 | ||
Total income before taxes | $ 132,458 |
Income Taxes - Entity's Total I
Income Taxes - Entity's Total Income Tax Expense for the Period and Statutory Tax Rate (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income taxes | $ 152 | $ 38 | $ 37,119 |
Drilling Segment | |||
Current Tax expense | 37,119 | ||
Income taxes | $ 37,119 | ||
Effective tax rate | 28.00% |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Total Tax Expense (Table) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total | $ 152 | $ 38 | $ 37,119 |
Drilling Segment | |||
Income tax | 37,119 | ||
Taxes on litigation matters subject to statutory rates, including interest and penalties | 0 | ||
Total | $ 37,119 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2015 | Dec. 31, 2016 | |
Angola | |||
Withholding Tax as a percentage of Current Tax Expense | 48.00% | ||
Republic of the Marshall Islands | |||
Tax rate | 0.00% | ||
Republic of the Marshall Islands and Malta | |||
Percentage of Marshall Islands and Malta subsidiaries stock treated as owned by individuals resident in Marshall Islands and Malta | 100.00% | 100.00% | |
Republic of the Marshall Islands, Malta and Norway | |||
Federal tax expense | $ 152 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) $ in Thousands | 1 Months Ended | 2 Months Ended | 3 Months Ended | 6 Months Ended | 10 Months Ended | 12 Months Ended | ||||||||||||
Feb. 08, 2018 | Feb. 06, 2018USD ($) | Feb. 01, 2018USD ($) | Jan. 29, 2018USD ($) | Jan. 26, 2018USD ($) | Jan. 24, 2018USD ($) | Mar. 13, 2018USD ($) | Mar. 08, 2018USD ($) | Mar. 07, 2018USD ($) | Feb. 27, 2017USD ($) | Apr. 04, 2018USD ($)shares | Apr. 02, 2018 | Apr. 11, 2017USD ($) | Jul. 07, 2017USD ($) | Oct. 16, 2017USD ($) | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($) | |
Amount drawn down | $ 79,000 | |||||||||||||||||
Payment of dividends | $ 2,500 | $ 2,500 | $ 2,500 | $ 2,500 | $ 10,001 | $ 0 | $ 20,526 | |||||||||||
Date of dividend record | Mar. 15, 2017 | May 1, 2017 | Jul. 20, 2017 | Oct. 27, 2017 | ||||||||||||||
Date of dividend payment | Mar. 30, 2017 | May 12, 2017 | Aug. 2, 2017 | Nov. 13, 2017 | ||||||||||||||
Common stock shares outstanding | shares | 104,274,708 | 4,711 | ||||||||||||||||
Sierra Investments Inc. | Loan Facility Agreement | ||||||||||||||||||
Loan's tenor | 5 years | |||||||||||||||||
Mont Gele VLGC | ||||||||||||||||||
Delivery Date | Jan. 4, 2018 | |||||||||||||||||
Date of agreement | Jan. 11, 2018 | |||||||||||||||||
Time Charter Agreement Duration | 10 years | |||||||||||||||||
Kamsarmax Drybulk vessel Kelly | ||||||||||||||||||
Delivery Date | June 14, 2017 | |||||||||||||||||
Subsequent Event | ||||||||||||||||||
Payment of dividends | $ 2,500 | |||||||||||||||||
Date of dividend record | Feb. 20, 2018 | |||||||||||||||||
Date of dividend payment | Mar. 6, 2018 | |||||||||||||||||
Subsequent Event | Stock Repurchase Program | ||||||||||||||||||
Stock repurchase program, authorized amount for a period of 12 months | $ 50,000 | |||||||||||||||||
Common shares repurchased | shares | 2,816,445 | |||||||||||||||||
Gross consideration of common stock acquired | $ 11,282 | |||||||||||||||||
Common stock shares outstanding | shares | 101,458,263 | |||||||||||||||||
Subsequent Event | Gas Ships Limited | ||||||||||||||||||
Percentage distributed to the Company's stockholders | 49.00% | |||||||||||||||||
Ownership interest | 51.00% | |||||||||||||||||
Subsequent Event | Sierra Investments Inc. | Loan Facility Agreement | ||||||||||||||||||
Cash repayment in full | $ 73,841 | |||||||||||||||||
Subsequent Event | Secured Credit Facility at January 24, 2018 | ||||||||||||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 90,000 | |||||||||||||||||
Loan's tenor | 5 years | |||||||||||||||||
Interest rate description | LIBOR | |||||||||||||||||
Frequency of payments | quarterly | |||||||||||||||||
Line of credit facilities number of installments | 20 | |||||||||||||||||
First priority mortage | Four tankers | |||||||||||||||||
Amount drawn down | $ 90,000 | |||||||||||||||||
Subsequent Event | Secured Credit Facility at January 29, 2018 | ||||||||||||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 35,000 | |||||||||||||||||
Loan's tenor | 6 years | |||||||||||||||||
Interest rate description | LIBOR | |||||||||||||||||
Frequency of payments | quarterly | |||||||||||||||||
Line of credit facilities number of installments | 24 | |||||||||||||||||
First priority mortage | Vessels Valadon, Matisse and Rapallo | |||||||||||||||||
Amount drawn down | $ 35,000 | |||||||||||||||||
Subsequent Event | Secured Credit Facility at March 12, 2018 | ||||||||||||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 30,000 | |||||||||||||||||
Loan's tenor | 6 years | |||||||||||||||||
Interest rate description | LIBOR | |||||||||||||||||
Frequency of payments | quarterly | |||||||||||||||||
Line of credit facilities number of installments | 24 | |||||||||||||||||
First priority mortage | Vessels Judd and Raraka | |||||||||||||||||
Amount drawn down | $ 30,000 | |||||||||||||||||
Subsequent Event | Kamsarmax Drybulk vessel Kelly | ||||||||||||||||||
Financing as percentage of purchase price | 50.00% | |||||||||||||||||
Duration of bareboat charter | 10 years | |||||||||||||||||
Bareboat agreement, description | charterhire under the bareboat arrangement is comprised of a fixed, quarterly repayment amount corresponding to a 15-year amortization profile plus a variable component calculated at LIBOR plus margin | |||||||||||||||||
Purchase obligation, percentage | 33.00% |