Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 22, 2019 | Jun. 30, 2018 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | OCEANEERING INTERNATIONAL INC | ||
Entity Central Index Key | 73,756 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 98,838,122 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 2,492,974,000 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Valuation allowances | $ 203,040 | $ 206,586 |
Deferred Tax Assets, Operating Loss Carryforwards | 189,644 | 222,065 |
Current Assets: | ||
Cash and cash equivalents | 354,259 | 430,316 |
Accounts receivable, net of allowances for doubtful accounts | 476,903 | |
Inventory | 194,507 | 215,282 |
Other Assets, Current | 71,037 | 64,901 |
Prepaid Expense, Current | 60,858 | 64,901 |
Total Current Assets | 1,244,889 | 1,187,402 |
Property and Equipment, at cost | 2,837,587 | 2,815,579 |
Less accumulated depreciation | 1,872,917 | 1,751,375 |
Net Property and Equipment | 964,670 | 1,064,204 |
Other Assets: | ||
Goodwill | 413,121 | 455,599 |
Other non-current assets | 202,318 | 316,745 |
Total Other Assets | 615,439 | 772,344 |
Total Assets | 2,824,998 | 3,023,950 |
Current Liabilities: | ||
Accounts payable | 102,636 | 85,539 |
Accrued liabilities | 392,105 | 350,258 |
Total Current Liabilities | 494,741 | 435,797 |
Long-term Debt | 786,580 | 792,312 |
Other Long-term Liabilities | 131,323 | |
Commitments and Contingencies | ||
Stockholders' Equity: | ||
Common Stock, par value $0.25 | 27,709 | 27,709 |
Additional paid-in capital | 220,421 | 225,125 |
Treasury stock | (704,066) | (718,946) |
Retained earnings | 2,204,548 | 2,417,412 |
Accumulated other comprehensive income | (339,377) | (292,136) |
Total Shareholders' Equity | 1,409,235 | 1,659,164 |
Stockholders' Equity Attributable to Noncontrolling Interest | 6,063 | 5,354 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,415,298 | 1,664,518 |
Total Liabilities and Sharesholders' Equity | $ 2,824,998 | $ 3,023,950 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Accounts receivable, allowances for doubtful accounts | $ 7,116 | $ 6,217 |
Common stock, par value (in dollars per share) | $ 0.25 | $ 0.25 |
Common stock, shares authorized | 360,000,000 | 360,000,000 |
Common stock, shares issued | 110,834,088 | 110,834,088 |
Treasury stock, shares | 12,294,873 | 12,554,714 |
Consolidated Statements Of Inco
Consolidated Statements Of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenue | $ 1,909,482 | $ 1,921,507 | $ 2,271,603 |
Cost of services and products | 1,780,256 | 1,726,897 | 1,992,376 |
Gross Margin | 129,226 | 194,610 | 279,227 |
Selling, general and administrative expense | 198,259 | 183,954 | 208,463 |
Goodwill, Impairment Loss | 76,449 | 0 | 0 |
Income from Operations | (145,482) | 10,656 | 70,764 |
Interest income | 9,962 | 7,355 | 3,900 |
Interest expense, net of amounts capitalized | (37,742) | (27,817) | (25,318) |
Equity earnings of unconsolidated affiliates | (3,783) | (1,983) | 244 |
Other income (expense), net | (8,788) | (6,055) | (6,244) |
Income before Income Taxes | (185,833) | (17,844) | 43,346 |
Income Tax Expense (Benefit) | 26,494 | (184,242) | 18,760 |
Net Income | $ (212,327) | $ 166,398 | $ 24,586 |
Cash Dividends declared per Share | $ 0 | $ 0.45 | $ 0.96 |
Basic Earnings per Share | $ (2.16) | $ 1.69 | $ 0.25 |
Weighted Average Number of Shares Outstanding, Basic | 98,496 | 98,238 | 98,035 |
Diluted Earnings per Share | $ (2.16) | $ 1.68 | $ 0.25 |
Weighted Average Number of Shares Outstanding, Diluted | 98,496 | 98,764 | 98,424 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash Flows from Operating Activities: | |||
Net Income | $ (212,327) | $ 166,398 | $ 24,586 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 293,590 | 213,519 | 250,247 |
Deferred income tax provision | 11,912 | (235,013) | 98 |
Inventory Write-down | 0 | 0 | 30,490 |
Net loss (gain) on dispositions of property and equipment | (8,215) | 216 | 387 |
Noncash compensation | 11,620 | 11,518 | 14,687 |
Excluding the effects of acquisitions, increase (decrease) in cash from: | |||
Accounts receivable | (86,724) | 13,144 | 123,036 |
Inventory | (12,485) | 65,502 | 17,833 |
Other operating assets | 13,587 | (38,163) | 53,946 |
Currency translation effect on working capital | (4,369) | 8,017 | (9,183) |
Accounts payable and accrued liabilites | 28,505 | (76,309) | (115,212) |
Income taxes payable | (2,537) | (5,499) | (38,985) |
Other operating liabilities | 4,010 | 13,148 | (12,491) |
Total adjustments to net income | 248,894 | (29,920) | 314,853 |
Net Cash Provided by Operating Activities | 36,567 | 136,478 | 339,439 |
Cash Flows from Investing Activities: | |||
Purchases of property and equipment | (109,467) | (93,680) | (112,392) |
Business acquisitions, net of cash acquired | (68,571) | (11,278) | (30,121) |
Proceeds from Sale of Available-for-sale Securities, Debt | (69,789) | 0 | 0 |
Payments to Acquire Available-for-sale Securities | 10,236 | 10,777 | 39,130 |
Distributions of capital from unconsolidated affiliates | 2,372 | 2,556 | 6,470 |
Dispositions of property and equipment and life insurance proceeds | 17,239 | 938 | 3,417 |
Payments for (Proceeds from) Other Investing Activities | 32 | 206 | 2,285 |
Net Cash Used in Investing Activities | (98,842) | (112,035) | (169,471) |
Cash Flows from Financing Activities: | |||
Proceeds from Issuance of Long-term Debt | 295,816 | 0 | 0 |
Repayments of Long-term Debt | (300,000) | 0 | 0 |
Cash dividends | 0 | (44,220) | (94,138) |
Proceeds from (Payments for) Other Financing Activities | (1,444) | (1,702) | (1,921) |
Net Cash Provided by (Used in) Financing Activities | (5,628) | (45,922) | (96,059) |
Effect of Exchange Rate on Cash and Cash Equivalents | (8,154) | 1,602 | (8,951) |
Net Increase (Decrease) in Cash and Cash Equivalents | (76,057) | (19,877) | |
Cash and Cash Equivalents-Beginning of Period | 430,316 | 450,193 | 385,235 |
Cash and Cash Equivalents-End of Period | $ 354,259 | $ 430,316 | $ 450,193 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Net Income | $ (212,327) | $ 166,398 | $ 24,586 |
Other comprehensive income, net of tax: | |||
Foreign currency translation adjustments | (47,026) | 10,723 | (5,559) |
Pension-related adjustments | (215) | (195) | 3,258 |
Other comprehensive income | (47,241) | 10,528 | (2,301) |
Comprehensive Income | $ (259,568) | $ 176,926 | $ 22,285 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Total | Common Stock Issued [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Retained Earnings [Member] | Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] |
Noncontrolling Interest in Variable Interest Entity | $ 0 | ||||||
Stockholders' Equity [Roll Forward] | |||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,578,734 | ||||||
Common Stock, Value, Issued at Dec. 31, 2015 | $ 27,709 | ||||||
Additional Paid in Capital at Dec. 31, 2015 | $ 230,179 | ||||||
Treasury Stock, Carrying Basis at Dec. 31, 2015 | $ (743,577) | ||||||
Retained Earnings at Dec. 31, 2015 | $ 2,364,786 | ||||||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax at Dec. 31, 2015 | $ (297,515) | ||||||
Accumulated Other Comprehensive (Income) Loss, Defined Benefit Plan, after Tax at Dec. 31, 2015 | $ (2,848) | ||||||
Balance at Dec. 31, 2015 | 1,578,734 | ||||||
Stockholders' Equity [Roll Forward] | |||||||
Net Income | 24,586 | 24,586 | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (5,559) | (5,559) | |||||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, after Tax | 3,258 | (3,258) | |||||
Other Comprehensive Income | (2,301) | ||||||
Restricted stock unit activity | 12,766 | 2,338 | 10,428 | ||||
Restricted stock activity | 0 | (1,947) | 1,947 | ||||
Tax benefits from stock plans | (3,004) | (3,004) | |||||
Cash dividends | (94,138) | (94,138) | |||||
Common Stock, Value, Issued at Dec. 31, 2016 | 27,709 | ||||||
Additional Paid in Capital at Dec. 31, 2016 | 227,566 | ||||||
Treasury Stock, Carrying Basis at Dec. 31, 2016 | (731,202) | ||||||
Retained Earnings at Dec. 31, 2016 | 2,295,234 | ||||||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax at Dec. 31, 2016 | (303,074) | ||||||
Accumulated Other Comprehensive (Income) Loss, Defined Benefit Plan, after Tax at Dec. 31, 2016 | 410 | ||||||
Balance at Dec. 31, 2016 | 1,516,643 | ||||||
Noncontrolling Interest in Variable Interest Entity | 0 | ||||||
Stockholders' Equity [Roll Forward] | |||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,516,643 | ||||||
Net Income | 166,398 | 166,398 | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | 10,723 | 10,723 | |||||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, after Tax | (195) | 195 | |||||
Other Comprehensive Income | 10,528 | ||||||
Restricted stock unit activity | 9,815 | 480 | 9,335 | ||||
Restricted stock activity | 0 | (2,921) | 2,921 | ||||
Cash dividends | (44,220) | (44,220) | |||||
Common Stock, Value, Issued at Dec. 31, 2017 | 27,709 | 27,709 | |||||
Additional Paid in Capital at Dec. 31, 2017 | 225,125 | ||||||
Treasury Stock, Carrying Basis at Dec. 31, 2017 | (718,946) | ||||||
Retained Earnings at Dec. 31, 2017 | 2,417,412 | 2,417,412 | |||||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax at Dec. 31, 2017 | (292,351) | ||||||
Accumulated Other Comprehensive (Income) Loss, Defined Benefit Plan, after Tax at Dec. 31, 2017 | 215 | ||||||
Balance at Dec. 31, 2017 | 1,659,164 | ||||||
Stockholders' Equity [Roll Forward] | |||||||
Noncontrolling Interest, Increase from Business Combination | 5,354 | ||||||
Noncontrolling Interest in Variable Interest Entity | 5,354 | ||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,664,518 | ||||||
Net Income | (212,327) | (212,327) | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (47,026) | (47,026) | |||||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, after Tax | (215) | (215) | |||||
Other Comprehensive Income | (47,241) | ||||||
Restricted stock unit activity | 10,176 | (753) | 10,929 | ||||
Restricted stock activity | 0 | (3,951) | 3,951 | ||||
Cash dividends | 0 | ||||||
Common Stock, Value, Issued at Dec. 31, 2018 | 27,709 | $ 27,709 | |||||
Additional Paid in Capital at Dec. 31, 2018 | $ 220,421 | ||||||
Treasury Stock, Carrying Basis at Dec. 31, 2018 | $ (704,066) | ||||||
Retained Earnings at Dec. 31, 2018 | 2,204,548 | $ 2,204,548 | |||||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax at Dec. 31, 2018 | $ (339,377) | ||||||
Accumulated Other Comprehensive (Income) Loss, Defined Benefit Plan, after Tax at Dec. 31, 2018 | $ 0 | ||||||
Balance at Dec. 31, 2018 | 1,409,235 | ||||||
Stockholders' Equity [Roll Forward] | |||||||
Noncontrolling Interest, Period Increase (Decrease) | 709 | ||||||
Noncontrolling Interest, Increase from Business Combination | 709 | ||||||
Noncontrolling Interest in Variable Interest Entity | 6,063 | ||||||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,415,298 | ||||||
Cumulative Effect of New Accounting Principle in Period of Adoption | $ (537) |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity (Parenthetical) - shares | 3 Months Ended | 6 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2018 | |
Treasury stock, shares | 0 | 2,000,000 | 0 |
Summary Of Major Accounting Pol
Summary Of Major Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary Of Major Accounting Policies | SUMMARY OF MAJOR ACCOUNTING POLICIES Principles of Consolidation. The consolidated financial statements include the accounts of Oceaneering International, Inc. ("Oceaneering", "we" or "us") and our 50% or more owned and controlled subsidiaries. We also consolidate entities that are determined to be variable interest entities if we determine that we are the primary beneficiary; otherwise, we account for those entities using the equity method of accounting. We use the equity method to account for our investments in unconsolidated affiliated companies of which we own an equity interest of between 20% and 50% and as to which we have significant influence, but not control, over operations. We use the cost method for all other long-term investments. Investments in entities that we do not consolidate are reflected on our balance sheet in Other non-current assets. All significant intercompany accounts and transactions have been eliminated. Use of Estimates. The preparation of financial statements in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") requires that our management make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. Cash and Cash Equivalents. Cash and cash equivalents include demand deposits and highly liquid investments with original maturities of three months or less from the date of investment. Reclassifications. Certain amounts from prior periods have been reclassified to conform with the current year presentation. Accounts Receivable – Allowances for Doubtful Accounts. We determine the need for allowances for doubtful accounts using the specific identification method. We generally do not require collateral from our customers. Inventory. Inventory is valued at the lower of cost or net realizable value. We determine cost using the weighted-average method. During 2016, we recorded inventory write-downs totaling $30.5 million for excess inventory of $25.2 million in our ROV segment and $5.3 million in our Subsea Products segment. Property and Equipment and Long-Lived Intangible Assets. We provide for depreciation of property and equipment on the straight-line method over estimated useful lives of eight years for ROVs, three to 25 years for marine services equipment (such as vessels and diving equipment) and three to 25 years for buildings, improvements and other equipment. Long-lived intangible assets, primarily acquired in connection with business combinations, include trade names, intellectual property and customer relationships and are being amortized with a weighted average remaining life of approximately eight years. Amortization expense on intangible assets was $17 million , $10.2 million and $10.2 million in 2018 , 2017 and 2016 , respectively. 2018 amortization expense included a $3.5 million write-off of intangible assets associated with exiting the land survey business. We charge the costs of repair and maintenance of property and equipment to operations as incurred, while we capitalize the costs of improvements that extend asset lives or functionality. We capitalize interest on assets where the construction period is anticipated to be more than three months. We capitalized $7.3 million , $4.6 million and $3.7 million of interest in 2018 , 2017 and 2016 , respectively. We do not allocate general administrative costs to capital projects. Upon the disposition of property and equipment, the related cost and accumulated depreciation accounts are relieved and any resulting gain or loss is included as an adjustment to cost of services and products. Our management periodically, and upon the occurrence of a triggering event, reviews the realizability of our property and equipment and long-lived intangible assets to determine whether any events or changes in circumstances indicate that the carrying amounts of the assets may not be recoverable. For long-lived assets to be held and used, we base our evaluation on impairment indicators such as the nature of the assets, the future economic benefits of the assets, any historical or future profitability measurements and other external market conditions or factors that may be present. If such impairment indicators are present or other factors exist that indicate that the carrying amount of an asset may not be recoverable, we determine whether an impairment has occurred through the use of an undiscounted cash flows analysis of the asset at the lowest level for which identifiable cash flows exist. If an impairment has occurred, we recognize a loss for the difference between the carrying amount and the fair value of the asset. For assets held for sale or disposal, the fair value of the asset is measured using fair market value less estimated costs to sell. Assets are classified as held-for-sale when we have a plan for disposal of certain assets and those assets meet the held for sale criteria. Business Acquisitions . We account for business combinations using the acquisition method of accounting, with acquisition prices being allocated to the assets acquired and liabilities assumed based on their fair values at the respective dates of acquisition. In March 2018, we acquired Ecosse Subsea Limited ("Ecosse") for $68 million in cash. Headquartered in Aberdeen, Scotland, Ecosse builds and operates tools for seabed preparation, route clearance and trenching for the installation of submarine cables and pipelines. These services are offered on an integrated basis that includes vessels, ROVs and survey services. We have accounted for this acquisition by allocating the purchase price to the assets acquired and liabilities assumed based on their estimated fair values as of the date of acquisition. This purchase price allocation is preliminary and is subject to change upon completion of our valuation procedures. We have included Ecosse’s operations in our consolidated financial statements starting from the date of closing and its operating results are reflected in our Subsea Projects segment. In August 2017, we acquired a 60% controlling ownership interest in Dalgidj LLC ("Dalgidj") for approximately $12.4 million . In connection with the purchase of the equity interest, we advanced Dalgidj $6.4 million to pay off certain of its indebtedness. Dalgidj is an Azerbaijan company that provides office and yard facilities for warehousing, logistics and administration to foreign and local companies in the Caspian Sea basin. Dalgidj also owns a 49% interest in a joint venture, which provides remotely operated vehicle solutions, air diving services, and engineering and project management services. We have accounted for this acquisition by allocating the purchase price to the assets acquired and liabilities assumed based on their estimated fair values at the date of acquisition. Dalgidj's operating results are included in our Subsea Projects segment, and its activity subsequent to the date of acquisition was not significant. We made several other smaller acquisitions during the periods presented, none of which were material. Dispositions. In September 2018, we consummated the sale of our cost method investment in ASV Global, LLC for $15 million . The total consideration is subject to final working capital adjustments and customary holdbacks. The sale resulted in a pre-tax gain of $9.3 million , which is reflected in Other income (expense), net in our Consolidated Statement of Operations for the year ended December 31, 2018 . Goodwill. Our goodwill is evaluated for impairment annually and whenever we identify certain triggering events or circumstances that would more likely than not reduce the fair value of a reporting unit below its carrying amount. In our evaluation of goodwill, we perform a qualitative or quantitative impairment test. Under the qualitative approach, if we determine that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, we are required to perform the quantitative analysis to determine the fair value for the reporting unit. Thereafter, we compare the fair value of the reporting unit with its carrying amount and recognize an impairment loss for the amount by which the carrying amount exceeds the fair value of the reporting unit. The loss recognized should not exceed the total amount of goodwill allocated to the reporting unit. We also consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. The fair value of our reporting units in our 2017 quantitative analysis exceeded their respective carrying amounts. In our 2018 annual goodwill evaluation, we performed a qualitative assessment for our Subsea Projects reporting unit. Due to the protracted downturn in survey and vessel activity, we determined that it was more likely than not the fair value was less than the carrying amount. As a result, we determined that a quantitative assessment was necessary for our Subsea Projects reporting unit. In our 2018 quantitative analysis for the Subsea Projects reporting unit, we estimated the fair value by weighing the results from the income approach and the market approach. These valuation approaches consider a number of factors that include, but are not limited to, prospective financial information, growth rates, terminal value, discount rates and comparable multiples of similar companies in our industry and require us to make certain assumptions and estimates regarding industry economic factors and future profitability of our business. Based on this quantitative test, we determined that the fair value for Subsea Projects was less than the carrying value and, as a result, we recorded a pre-tax goodwill impairment loss of $76 million in the Subsea Project reporting unit. The goodwill impairment was included as a component of "Income (Loss) From Operations" in our Consolidated Statement of Operations for the year ended December 31, 2018 . For the remaining reporting units, qualitative assessments were performed and we concluded that it was more likely than not that the fair value of the reporting unit was more than the carrying value of the reporting unit. Besides the goodwill impairment discussed above, the changes in our reporting units' goodwill balances during the periods presented are from business acquisitions and currency exchange rate changes. For information regarding goodwill by business segment, see Note 8. Revenue Recognition. Effective January 1, 2018, we adopted Accounting Standard Update ("ASU") 2014-09, "Revenue from Contracts with Customers," which implemented Accounting Standards Codification Topic 606 ("ASC 606"). We have used the modified retrospective method applied to those contracts that were not completed as of January 1, 2018, and have utilized the practical expedient available under ASC 606 to reflect the effect on contract modifications in the aggregate. The cumulative effect of applying ASC 606 has been recognized as an adjustment to retained earnings as of January 1, 2018. The comparative information with respect to prior periods has not been retrospectively restated and continues to be reported under the accounting standards in effect for those periods. The cumulative effect of the changes made to our Consolidated Balance Sheet as of January 1, 2018 for the adoption of ASC 606 was as follows: (in thousands) Dec 31, 2017 Adjustments Due to ASC 606 Jan 1, 2018 Under ASC 606 Assets Accounts receivable $ 476,903 $ (163,963 ) $ 312,940 Contract assets — 171,956 171,956 Total accounts receivable 476,903 7,993 484,896 Inventory 215,282 (34,187 ) 181,095 Liabilities Accrued liabilities 350,258 (63,045 ) 287,213 Contract liabilities — 37,590 37,590 Total accrued liabilities 350,258 (25,455 ) 324,803 Other long-term liabilities 131,323 (202 ) 131,121 Equity Retained earnings 2,417,412 (537 ) 2,416,875 The adoption of ASU 2014-09 did not have a material impact on our consolidated financial position, results of operations, equity or cash flows as of the adoption date or for the year ended December 31, 2018. All of our revenue is realized through contracts with customers. We recognize our revenue according to the contract type. On a daily basis, we recognize service revenue over time for contracts that provide for specific time, material and equipment charges, which we bill periodically, ranging from weekly to monthly. We use the input method to faithfully depict revenue recognition, because each day of service provided represents value to the customer. The performance obligations in these contracts are satisfied, and revenue is recognized, as the work is performed. We have used the expedient available to recognize revenue when the billing corresponds to the value realized by the customer where appropriate. We account for significant fixed-price contracts, mainly relating to our Subsea Products segment, and to a lesser extent in our Subsea Projects and Advanced Technologies segments, by recognizing revenue over time using an input, cost-to-cost measurement percentage-of-completion method. We use the input cost-to-cost method to faithfully depict revenue recognition. This commonly used method allows appropriate calculation of progress on our contracts. A performance obligation is satisfied as we create a product on behalf of the customer over the life of the contract. The remainder of our revenue is recognized at the point in time when control transfers to the customer, thus satisfying the performance obligation. We have elected to recognize the cost for freight and shipping as an expense when incurred. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, and that are collected by us from customers, are excluded from revenue. In our service-based business lines, which principally charge on a day rate basis for services provided, there is no significant impact in the pattern of revenue and profit recognition as a result of implementation of ASC 606. In our product-based business lines, we expect impacts on the pattern of our revenue and profit recognition in our contracts using the percentage-of-completion method, as a result of the requirement to exclude uninstalled materials and significant inefficiencies from the measure of progress. This is most likely to occur in our Subsea Products segment. We apply judgment in the determination and allocation of transaction price to performance obligations, and the subsequent recognition of revenue, based on the facts and circumstances of each contract. We routinely review estimates related to our contracts and, where required, reflect revisions to profitability in earnings immediately. If an element of variable consideration has the potential for a significant future reversal of revenue, we will constrain that variable consideration to a level intended to remove the potential future reversal. If a current estimate of total contract cost indicates an ultimate loss on a contract, we recognize the projected loss in full when we determine it. In prior years, we have recorded adjustments to earnings as a result of revisions to contract estimates. We strive to estimate our contract costs and profitability accurately. However, there could be significant adjustments to overall contract costs in the future, due to changes in facts and circumstances. In general, our payment terms consist of those services billed regularly as provided and those products delivered at a point in time, which are invoiced after the performance obligation is satisfied. Our product and service contracts with milestone payments due at agreed progress points during the contract are invoiced when those milestones are reached, which may differ from the timing of revenue recognition. Our payment terms generally do not provide financing of contracts to customers, nor do we receive financing from customers as a result of these terms. Please see Note 2 — "Revenue" — for more information on our revenue from contracts with customers. Stock-Based Compensation. We recognize all share-based payments to directors, officers and employees over their vesting periods in the income statement based on their estimated fair values. For more information on our employee benefit plans, see Note 9. Income Taxes. We provide income taxes at appropriate tax rates in accordance with our interpretation of the respective tax laws and regulations after review and consultation with our internal tax department, tax advisors and, in some cases, legal counsel in various jurisdictions. We provide for deferred income taxes for differences between carrying amounts of assets and liabilities for financial and tax reporting purposes. We provide a valuation allowance against deferred tax assets when it is more likely than not that the asset will not be realized. We recognize the benefit for a tax position if the benefit is more likely than not to be sustainable upon audit by the applicable taxing authority. If this threshold is met, the tax benefit is then measured and recognized at the largest amount that we believe is greater than 50% likely of being realized upon ultimate settlement. We account for any applicable interest and penalties on uncertain tax positions as a component of our provision for income taxes on our financial statements. For more information on income taxes, please see Note 4. Foreign Currency Translation. The functional currency for most of our foreign subsidiaries is the applicable local currency. Results of operations for foreign subsidiaries with functional currencies other than the U.S. dollar are translated into U.S. dollars using average exchange rates during the period. Assets and liabilities of these foreign subsidiaries are translated into U.S. dollars using the exchange rates in effect at the balance sheet date, and the resulting translation adjustments are recognized, net of tax, in accumulated other comprehensive income (loss) as a component of shareholders' equity. All foreign currency transaction gains and losses are recognized currently in the Consolidated Statements of Operations. We recorded $18 million , $5.2 million and $4.8 million of foreign currency transaction losses in 2018 , 2017 and 2016 , respectively, and those amounts are included as a component of Other income (expense), net in our Consolidated Statement of Operations for the year ended December 31, 2018 . Earnings per Share. For each year presented, the only difference between our annual calculated weighted average basic and diluted number of shares outstanding is the effect of outstanding restricted stock units. Repurchase Plan. In December 2014, our Board of Directors approved a share repurchase program under which we may repurchase up to 10 million shares of our common stock on a discretionary basis. The program calls for the repurchases to be made in the open market, or in privately negotiated transactions from time to time, in compliance with applicable laws, rules and regulations, including Rule 10b-18 under the Securities Exchange Act of 1934, as amended, subject to market and business conditions, levels of available liquidity, cash requirements for other purposes, applicable legal requirements and other relevant factors. The timing and amount of any repurchases will be determined by management based on its evaluation of these factors. We expect that any shares repurchased under the program will be held as treasury stock for future use. The program does not obligate us to repurchase any particular number of shares. We account for the shares we hold in treasury under the cost method, at average cost. Under the program, we had repurchased 2 million shares of our common stock for $100 million through December 31, 2015 . We have not repurchased any shares under the program since December 31, 2015 . Financial Instruments. We recognize all derivative instruments as either assets or liabilities in the balance sheet and measure those instruments at fair value. Subsequent changes in fair value are reflected in current earnings, other comprehensive income (loss) or changes in assets or liabilities, depending on whether a derivative instrument is designated as part of a hedge relationship and, if it is, the type of hedge relationship. See Note 7 for information relative to the interest rate swaps we have in effect. New Accounting Standards . In January 2016, the Financial Accounting Standards Board ("FASB") issued ASU No. 2016-01, "Financial Instruments - Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities." This update: • requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value, with changes in fair value recognized in net income; and • provides an expedient for the valuation and impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify value and impairment - when a qualitative assessment indicates that an impairment exists, an entity is required to measure the investment at fair value. ASU No. 2016-01 was effective for us beginning on January 1, 2018, and we have utilized the expedient for valuing equity investments without readily determinable fair values. This update has not had a material impact on our consolidated financial statements. Effective January 1, 2019, we will adopt ASU 2018-011, an amendment to ASU 2016-02 "Leases" (collectively, the "New Leases Standard") that (1) requires lessees to recognize a right to use asset and a lease liability for virtually all leases, and (2) updates previous accounting standards for lessors to align certain requirements with the updates to lessee accounting standards and the revenue recognition accounting standards. In a recent update, targeted improvements were made that provide for (1) an optional new transition method for adoption that results in initial recognition of a cumulative effect adjustment to retained earnings in the year of adoption and (2) a practical expedient for lessors, under certain circumstances, to combine the lease and non-lease components of revenue for presentation purposes. We expect to elect the new optional transition method of adoption. For some of our contracts that could contain a lease component, we expect to apply the practical expedient and recognize revenue based on the service component, which we have determined is the predominant component of our contracts. We are finalizing our evaluation of the impacts that the adoption of this accounting guidance will have on the consolidated financial statements, and expect a material impact on our Consolidated Balance Sheet as additional right of use assets and lease liabilities will be recognized upon adoption. We do not expect a material impact on our Consolidated Statement of Operations, Equity and Cash Flows from the adoption of the New Leases Standard. In October 2016, the FASB issued ASU 2016-16, "Income Taxes (Topic 740) - Intra-Entity Transfers of Assets Other than Inventory." Previously, U.S. GAAP generally prohibited the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset was sold to an outside party. The amendments in this update eliminate the exception for an intra-entity transfer of an asset other than inventory. Two common examples of assets included within the scope of this update are intellectual property and property, plant and equipment. The exception for an intra-entity transfer of inventory will remain in place. The amendments in this update were effective for us beginning January 1, 2018. This ASU has not had a material effect on our consolidated financial statements. In February 2018, the FASB issued ASU 2018-02, "Income Statement - Reporting Comprehensive Income (Topic 220) Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income." The amendments in this update allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the December 2017 enactment of U.S. tax reform legislation commonly referred to as the Tax Cuts and Jobs Act (the "Tax Act"). However, because the amendments only relate to the reclassification of the income tax effects of the Tax Act, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. The amendments in this update also require certain disclosures about stranded tax effects. The amendments in this update will become effective for us beginning January 1, 2019, and early adoption is permitted. We do not anticipate that this ASU will have a material effect on our consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, "Compensation - Stock Compensation (Topic 718) Improvements to Nonemployee Share-Based Payment Accounting." This ASU expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from non-employees. The amendments in this ASU will become effective for us beginning January 1, 2019, and early adoption is permitted. We do not anticipate that this ASU will have a material effect on our consolidated financial statements. |
Revenue (Notes)
Revenue (Notes) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue [Abstract] | |
Revenue recognition [Text Block] | Revenue Revenue By Category The following table presents Revenue disaggregated by business segment, geographical region, and timing of transfer of goods or services. Year Ended December 31, (in thousands) 2018 2017 2016 Business Segment: Energy Services and Products Remotely Operated Vehicles $ 394,801 $ 393,655 $ 522,121 Subsea Products 515,000 625,513 692,030 Subsea Projects 329,163 291,993 472,979 Asset Integrity 253,886 236,778 275,397 Total Energy Services and Products 1,492,850 1,547,939 1,962,527 Advanced Technologies 416,632 373,568 309,076 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 Geographic Operating Areas: Foreign: Africa $ 239,959 $ 256,198 $ 486,615 United Kingdom 203,391 236,177 304,635 Norway 185,552 178,712 166,180 Asia and Australia 163,843 193,865 196,679 Brazil 64,004 42,607 73,280 Other 103,548 81,364 66,870 Total Foreign 960,297 988,923 1,294,259 United States 949,185 932,584 977,344 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 Dec 31, 2018 Timing of Transfer of Goods or Services: Revenue recognized over time $ 1,762,103 Revenue recognized at a point in time 147,379 Total $ 1,909,482 Contract Balances Our contracts with milestone payments have, in the aggregate, a significant impact on the Contract asset and the Contract liability balances. Milestones are contractually agreed with customers and relate to significant events across the contract lives. Some milestones are achieved before revenue is recognized, resulting in a Contract liability, other milestones are achieved after revenue is recognized resulting in a Contract asset. The following table provides information about Contract assets, and Contract liabilities from contracts with customers. (in thousands) Dec 31, 2018 Jan 1, 2018 Contract assets $ 256,201 $ 171,956 Contract liabilities 85,172 37,590 Our payment terms consist of those services billed regularly as provided and those products delivered at a point in time, which are invoiced after the performance obligation is satisfied. Our product and service contracts with milestone payments due at agreed progress points during the contract are invoiced when those milestones are reached, which may differ from the timing of revenue recognition. During the year ended December 31, 2018 , Contract assets increased by $84 million from its opening balance due to the revenue recognition of $1.9 billion exceeding amounts billed of $1.8 billion . Contract liabilities increased $48 million from its opening balance, due to deferrals of milestone payments and billings totaling $77 million less revenue recognition of $29 million . There were no cancellations, impairments or other significant impacts in the period that relate to other categories of explanation. Performance Obligations As of December 31, 2018 , the aggregate amount of the transaction price allocated to remaining performance obligations was $292 million . We expect to recognize revenue of $229 million over the next twelve months. The aggregate amount of transaction price allocated to remaining performance obligations that were unsatisfied (or partially unsatisfied) as of December 31, 2018 are noted above. In arriving at this value, we have used two expedients available to us and are not disclosing amounts in relation to performance obligations: (1) that are part of contracts with an original expected duration of one year or less; or (2) on contracts where we recognize revenue in line with the billing. Due to the nature of our service contracts in our Remotely Operated Vehicle, Subsea Projects, Asset Integrity and Advanced Technologies segments, the majority of our contracts either have initial contract terms of one year or less or have customer option cancellation clauses that lead us to consider the original expected duration of one year or less. In our Subsea Products and Advanced Technologies segments, we have long-term contracts that extend beyond one year, and these make up the majority of the balance reported. We also have shorter-term product contracts with an expected original duration of one year or less that have been excluded. Where appropriate, we have made estimates within the transaction price of elements of variable consideration within the contracts and constrained those amounts to a level where we consider that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The amount of revenue recognized in the year ended December 31, 2018 , which was associated with performance obligations completed or partially completed in prior periods was not significant. As of December 31, 2018 , there was no outstanding liability balance for refunds or returns due to the nature of our contracts and the services and products we provide. Our warranties are limited to assurance warranties that are of a standard length and are not considered to be a material right. The majority of our contracts consist of a single performance obligation. When there are multiple obligations, we look for observable evidence of stand-alone selling prices on which to base the allocation. This involves judgment as to the appropriateness of the observable evidence relating to the facts and circumstances of the contract. If we do not have observable evidence, we estimate stand-alone selling prices by taking a cost plus margin approach, using typical margins from the type of service or product, customer and regional geography involved. Costs to Obtain or Fulfill a Contract In line with the available expedient, we capitalize costs to obtain a contract when those amounts are significant and the contract is expected at inception to exceed one year in duration; otherwise, the costs are expensed in the period when incurred. Costs to obtain a contract primarily consist of bid and proposal costs, which are incremental to our fixed costs. There was no balance or amortization of Costs to obtain a contract in the current reporting period. Costs to fulfill a contract primarily consist of certain mobilization costs incurred to provide services or products to our customers. These costs are deferred and amortized over the period of contract performance. The closing balance of Costs to fulfill a contract as of December 31, 2018 was $13 million , with $6.5 million of amortization for the year ended December 31, 2018 . No impairment costs were recognized. |
Selected Balance Sheet Informat
Selected Balance Sheet Information | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investment, Summarized Financial Information [Abstract] | |
Selected Balance Sheet Accounts | SELECTED BALANCE SHEET INFORMATION The following is information regarding selected balance sheet accounts: December 31, (in thousands) 2018 2017 Inventory: Remotely operated vehicle parts and components $ 108,939 $ 97,313 Other inventory, primarily raw materials 85,568 117,969 Total $ 194,507 $ 215,282 Other current assets: Prepaid expenses 60,858 64,901 Angola bonds 10,179 — Total 71,037 64,901 Other Non-Current Assets: Intangible assets, net $ 79,995 $ 85,293 Angola bonds — 68,280 Cash surrender value of life insurance policies 51,131 54,987 Investment in unconsolidated affiliates 39,333 49,094 Deferred income taxes — 24,633 Other 31,859 34,458 Total $ 202,318 $ 316,745 Accrued Liabilities: Payroll and related costs $ 114,676 $ 101,989 Accrued job costs 62,281 58,823 Deferred revenue 85,172 63,040 Income taxes payable 34,954 30,589 Other 95,022 95,817 Total $ 392,105 $ 350,258 Other Long-Term Liabilities: Deferred income taxes $ 18,243 $ 42,040 Supplemental Executive Retirement Plan 42,992 45,037 Long-Term Incentive Plan 8,076 4,348 Accrued post-employment benefit obligations 3,239 3,352 Uncertain tax positions 17,903 5,566 Tax Act transition tax due after one year 7,813 — Other 30,113 30,980 Total $ 128,379 $ 131,323 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES In December 2017, the United States enacted the Tax Act, which included a number of changes to existing U.S. tax laws that have an impact on our income tax provision, most notably a reduction of the U.S. corporate income tax rate from 35% to 21% for tax years beginning after December 31, 2017, and the creation of a quasi-territorial tax system with a one‑time mandatory transition tax on applicable previously deferred earnings of foreign subsidiaries. The Tax Act also makes prospective changes beginning in 2018, including a base erosion and anti‑abuse tax ("BEAT"), a global intangible low‑taxed income ("GILTI") tax, additional limitations on the deductibility of interest expense and repeal of the domestic manufacturing deduction. In the period ended December 31, 2017, we recorded a provisional net tax benefit associated with the Tax Act and related matters of $189 million . The provisional amounts recorded in 2017 related to the transition tax, remeasurement of deferred taxes, our reassessment of permanently reinvested earnings, valuation allowances, and actions taken in anticipation of the Tax Act were finalized and a net expense of $23 million was recorded during 2018. Although we have completed our accounting on the effect of the Tax Act in our financial statements, regulatory guidance continues to be issued by the tax authorities. Any changes in the interpretation of the Tax Act as a result of such future regulatory guidance, which could materially affect our tax obligations and effective tax rate, will be recorded in the period that current or future proposed regulations become law. Our provisions (benefit) for income taxes and our cash taxes paid are as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Current: Domestic $ (1,564 ) $ 13,390 $ (6,899 ) Foreign 16,146 37,381 25,561 Total current 14,582 50,771 18,662 Deferred: Domestic (22,905 ) (213,200 ) (8,617 ) Foreign 34,817 (21,813 ) 8,715 Total deferred 11,912 (235,013 ) 98 Total provision (benefit) for income taxes $ 26,494 $ (184,242 ) $ 18,760 Cash taxes paid $ 29,737 $ 43,347 $ 75,819 The components of income (loss) before income taxes are as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Domestic $ (132,138 ) $ (93,053 ) $ (180,132 ) Foreign (53,695 ) 75,209 223,478 Income (loss) before income taxes $ (185,833 ) $ (17,844 ) $ 43,346 As of December 31, 2018 and 2017 , our worldwide deferred tax assets, liabilities and net deferred tax liabilities were as follows: December 31, (in thousands) 2018 2017 Deferred tax assets: Deferred compensation $ 13,684 $ 22,325 Deferred income 2,381 2,015 Accrued expenses 13,683 11,652 Net operating loss and other carryforwards 189,644 222,065 Other 4,601 2,203 Gross deferred tax assets 223,993 260,260 Valuation allowances (203,040 ) (206,586 ) Total deferred tax assets $ 20,953 $ 53,674 Deferred tax liabilities: Property and equipment $ 36,850 $ 65,366 Basis difference in equity investments 2,346 5,715 Total deferred tax liabilities $ 39,196 $ 71,081 Net deferred income tax liability $ 18,243 $ 17,407 Our net deferred tax liability is reflected within our balance sheet as follows: December 31, (in thousands) 2018 2017 Deferred tax liabilities $ 18,243 $ 42,040 Long-term deferred tax assets — (24,633 ) Net deferred income tax liability $ 18,243 $ 17,407 At December 31, 2018 , we had approximately $781 million of net operating and other loss carryforwards that were generated in various worldwide jurisdictions. We have no U.S. net operating losses available to reduce future payments of U.S. federal income taxes. The carryforwards include $711 million that do not expire and $70 million that will expire from 2019 through 2028 . We have recorded a total valuation allowance of $203 million on foreign operating losses and tax credit carryforwards as well as other deferred tax assets as our management believes that it is more likely than not that these deferred tax assets will not be realized. A reconciliation of our beginning and ending amounts of valuation allowances is as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Balance at beginning of year $ (206,586 ) $ (4,200 ) $ — Increase due principally to foreign net operating losses (38,415 ) (146,360 ) (4,200 ) Increase due to tax credit carryforwards generated in foreign operations (14,065 ) (56,026 ) — Reduction due to utilization of foreign tax credits generated in prior year 56,026 — — Balance at end of year $ (203,040 ) $ (206,586 ) $ (4,200 ) The utilization of the foreign tax credits generated in the prior year was as a result of the mandatory repatriation requirements of the Tax Act. Reconciliations between the actual provision for income taxes (benefit) on continuing operations and that computed by applying the U.S. statutory rate of 21% for 2018 and 35% for 2017 and 2016 to income before income taxes were as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Income tax provision (benefit) at the U.S. statutory rate $ (39,025 ) $ (6,245 ) $ 15,171 Tax Act - earnings subject to tax-free repatriation — (222,019 ) — Tax Act - net mandatory repatriation tax 8,790 — — Tax Act - remeasure of net U.S. deferred tax liabilities — (23,124 ) — Valuation allowances 38,415 89,217 4,200 Foreign tax rate differential 475 (21,163 ) (1,766 ) Stock compensation 2,135 3,112 — Uncertain tax positions 12,644 (836 ) 680 Other items, net 3,060 (3,184 ) 475 Total provision (benefit) for income taxes $ 26,494 $ (184,242 ) $ 18,760 We recognize the benefit for a tax position if the benefit is more likely than not to be sustainable upon audit by the applicable taxing authority. If this threshold is met, the tax benefit is then measured and recognized at the largest amount that we believe is greater than 50% likely of being realized upon ultimate settlement. We account for any applicable interest and penalties on uncertain tax positions as a component of our provision for income taxes on our financial statements. We increased/(decreased) income tax expense by $1.7 million and $0.6 million in 2018 and 2017 , respectively, for penalties and interest on uncertain tax positions, which brought our total liabilities for penalties and interest on uncertain tax positions to $4.3 million and $2.6 million on our balance sheets at December 31, 2018 and 2017 , respectively. All additions or reductions to those liabilities would affect our effective income tax rate in the periods of change. A reconciliation of the beginning and ending amount of gross uncertain tax positions, not including associated foreign tax credits and penalties and interest, is as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Balance at beginning of year $ 5,339 $ 6,330 $ 5,245 Additions based on tax positions related to the current year 445 1,213 1,999 Reductions for expiration of statutes of limitations (260 ) (650 ) (1,028 ) Additions (reductions) based on tax positions related to prior years 10,540 314 114 Reductions based on tax positions related to prior years — (962 ) — Settlements (1,093 ) (906 ) — Balance at end of year $ 14,971 $ 5,339 $ 6,330 We believe approximately $8.3 million of gross uncertain tax positions will be resolved within the next 12 months. Including associated foreign tax credits and penalties and interest, we have accrued a net total of $18 million and $5.6 million in the caption "other long-term liabilities" on our balance sheet at December 31, 2018 and 2017 , respectively, for uncertain tax positions. We consider the earnings of our foreign subsidiaries to be indefinitely reinvested. As of December 31, 2018, we did not provide for deferred taxes on earnings of our foreign subsidiaries that are indefinitely reinvested. If we were to make a distribution from the unremitted earnings of these subsidiaries, we would be subject to taxes payable to various jurisdictions, however, it is not practical to estimate the amount of tax that would ultimately be due if remitted. If our expectations were to change regarding future tax consequences, we may be required to record additional deferred taxes that could have a material effect on our Consolidated Balance Sheets, Consolidated Statements of Operations or Consolidated Statements of Cash Flows. Our tax returns are subject to audit by taxing authorities in multiple jurisdictions. These audits often take years to complete and settle. The following lists the earliest tax years open to examination by tax authorities where we have significant operations: Jurisdiction Periods United States 2014 United Kingdom 2015 Norway 2007 Angola 2013 Brazil 2012 Australia 2013 |
Selected Income Statement Infor
Selected Income Statement Information Selected Income Statement Information (Notes) | 12 Months Ended |
Dec. 31, 2018 | |
Selected Income Statement Information [Abstract] | |
Selected Income Statement Information [Text Block] | SELECTED INCOME STATEMENT INFORMATION The following schedule shows our revenue, costs and gross margins by services and products: Year Ended December 31, (in thousands) 2018 2017 2016 Revenue: Services $ 1,245,927 $ 1,181,229 $ 1,509,786 Products 663,555 740,278 761,817 Total revenue 1,909,482 1,921,507 2,271,603 Cost of Services and Products: Services 1,135,084 1,040,817 1,330,218 Products 578,212 625,843 615,438 Unallocated expenses 66,960 60,237 46,720 Total cost of services and products 1,780,256 1,726,897 1,992,376 Gross margin: Services 110,843 140,412 179,568 Products 85,343 114,435 146,379 Unallocated expenses (66,960 ) (60,237 ) (46,720 ) Total gross margin $ 129,226 $ 194,610 $ 279,227 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt | DEBT Long-term Debt consisted of the following: December 31, (in thousands) 2018 2017 4.650% Senior Notes due 2024: $ 500,000 $ 500,000 6.000% Senior Notes due 2028: 300,000,000 300,000 — Term Loan Facility — 300,000 Fair value of interest rate swaps on $200 million of principal (5,600 ) (2,990 ) Unamortized debt issuance costs (7,820 ) (4,698 ) Revolving Credit Facility — — Long-term Debt $ 786,580 $ 792,312 In November 2014, we completed the public offering of $500 million aggregate principal amount of 4.650% Senior Notes due 2024 (the "2024 Senior Notes"). We pay interest on the 2024 Senior Notes on May 15 and November 15 of each year. The 2024 Senior Notes are scheduled to mature on November 15, 2024. In February 2018, we completed the public offering of $300 million aggregate principal amount of 6.000% Senior Notes due 2028 (the "2028 Senior Notes"). We pay interest on the 2028 Senior Notes on February 1 and August 1 of each year. The 2028 Senior Notes are scheduled to mature on February 1, 2028. We may redeem some or all of the 2024 Senior Notes and the 2028 Senior Notes (collectively, the "Senior Notes") at specified redemption prices. We used the net proceeds from the 2028 Senior Notes to repay our term loan indebtedness described further below. In October 2014, we entered into a credit agreement (as amended, the "Credit Agreement") with a group of banks. The Credit Agreement initially provided for a $500 million five-year revolving credit facility (the "Revolving Credit Facility"). Subject to certain conditions, the aggregate commitments under the Revolving Credit Facility may be increased by up to $300 million at any time upon agreement between us and existing or additional lenders. Borrowings under the Revolving Credit Facility may be used for general corporate purposes. The Credit Agreement also provided for a $300 million term loan, which we repaid in full in February 2018, using net proceeds from the issuance of our 2028 Senior Notes referred to above, and cash on hand. In February 2018, we entered into Agreement and Amendment No. 4 to the Credit Agreement ("Amendment No. 4"). Amendment No. 4 amended the Credit Agreement to, among other things, extend the maturity of the Revolving Credit Facility to January 25, 2023 with the extending Lenders, which represent 90% of the existing commitments of the Lenders, such that the total commitments for the Revolving Credit Facility will be $500 million until October 25, 2021, and thereafter $450 million until January 25, 2023. Borrowings under the Revolving Credit Facility bear interest at an Adjusted Base Rate or the Eurodollar Rate (both as defined in the Credit Agreement), at our option, plus an applicable margin based on our Leverage Ratio (as defined in the Credit Agreement) and, at our election, based on the ratings of our senior unsecured debt by designated ratings services, thereafter to be based on such debt ratings. The applicable margin varies: (1) in the case of advances bearing interest at the Adjusted Base Rate, from 0.125% to 0.750% ; and (2) in the case of advances bearing interest at the Eurodollar Rate, from 1.125% to 1.750% . The Adjusted Base Rate is the highest of (1) the per annum rate established by the administrative agent as its prime rate, (2) the federal funds rate plus 0.50% and (3) the daily one-month LIBOR plus 1% . We pay a commitment fee ranging from 0.125% to 0.300% on the unused portion of the Revolving Credit Facility, depending on our Leverage Ratio. The commitment fees are included as interest expense in our consolidated financial statements. The Credit Agreement contains various covenants that we believe are customary for agreements of this nature, including, but not limited to, restrictions on our ability and the ability of each of our subsidiaries to incur debt, grant liens, make certain investments, make distributions, merge or consolidate, sell assets and enter into certain restrictive agreements. We are also subject to a maximum adjusted total Capitalization Ratio (as defined in the Credit Agreement) of 55%. The Credit Agreement includes customary events of default and associated remedies. As of December 31, 2018 , we were in compliance with all the covenants set forth in the Credit Agreement. We have two interest rate swaps in place on a total of $200 million of the 2024 Senior Notes for the period to November 2024. See Note 7 for a description of these interest rate swaps. We incurred $6.9 million and $4.2 million of issuance costs related to the 2024 Senior Notes and the 2028 Senior Notes, respectively, and $2.6 million of new loan costs, including costs of the amendments prior to Amendment No. 4, related to the Credit Agreement. The costs, net of accumulated amortization, are included, as a reduction of Long-term debt in our Consolidated Balance Sheet, as it pertains to the Senior Notes, and in Other non-current assets as it pertains to the Credit Agreement. We are amortizing these costs to Interest expense through the maturity date for the Senior Notes and to January 2023 for the Credit Agreement. We made cash interest payments of $37 million , $32 million and $29 million in 2018 , 2017 and 2016 , respectively. |
Commitments And Contingencies
Commitments And Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies | 7. COMMITMENTS AND CONTINGENCIES Lease Commitments At December 31, 2018 , we occupied several facilities under noncancellable operating leases expiring at various dates through 2035 . Future minimum rentals under all of our operating leases, including vessel rentals, are as follows: (in thousands) 2019 $ 35,064 2020 32,216 2021 29,014 2022 28,213 2023 27,083 Thereafter 236,161 Total Lease Commitments $ 387,751 Rental expense, which includes hire of vessels, specialized equipment and real estate rental, was approximately $101 million , $97 million and $205 million in 2018 , 2017 and 2016 , respectively. Insurance The workers' compensation, maritime employer's liability and comprehensive general liability insurance policies that we purchase each include a deductible layer, for which we would be responsible, that we consider financially prudent. Insurance above the deductible layers can be by occurrence or in the aggregate. We determine the level of accruals for claims exposure by reviewing our historical experience and current year claim activity. We do not record accruals on a present-value basis. We review larger claims with insurance adjusters and establish specific reserves for known liabilities. We establish an additional reserve for incidents incurred but not reported to us for each year using our estimates and based on prior experience. We believe we have established adequate accruals for expected liabilities arising from those obligations. However, it is possible that future earnings could be affected by changes in our estimates relating to these matters. Litigation In the ordinary course of business, we are, from time to time, involved in litigation or subject to disputes, governmental investigations or claims related to our business activities, including, among other things: • performance or warranty-related matters under our customer and supplier contracts and other business arrangements; and • workers’ compensation claims, Jones Act claims, occupational hazard claims, premises liability claims and other claims. Although we cannot predict the ultimate outcome of these matters, we believe that our ultimate liability, if any, that may result from these other actions and claims will not have a material adverse effect on our consolidated financial condition, results of operations or cash flows. However, because of the inherent uncertainty of litigation and other dispute resolution proceedings and, in some cases, the availability and amount of potentially available insurance, we can provide no assurance that the resolution of any particular claim or proceeding to which we are a party will not have a material effect on our consolidated financial condition, results of operations or cash flows for the fiscal period in which that resolution occurs. Letters of Credit We had $55 million and $67 million in letters of credit outstanding as of December 31, 2018 and 2017 , respectively, as guarantees in force for self-insurance requirements and various bid and performance bonds, which are usually for the duration of the applicable contract. Financial Instruments and Risk Concentration In the normal course of business, we manage risks associated with foreign exchange rates and interest rates through a variety of strategies, including the use of hedging transactions. As a matter of policy, we do not use derivative instruments unless we have an underlying exposure. Other financial instruments that potentially subject us to concentrations of credit risk are principally cash and cash equivalents and accounts receivable. The carrying values of cash and cash equivalents approximate their fair values due to the short-term maturity of the underlying instruments. Accounts receivable are generated from a broad group of customers, primarily from within the energy industry, which is our major source of revenue. Due to their short-term nature, carrying values of our accounts receivable and accounts payable approximate fair market values. We estimated the aggregate fair market value of the Senior Notes to be $625 million as of December 31, 2018 based on quoted prices. Since the market for the Senior Notes is not an active market, the fair value of the Senior Notes is classified within Level 2 in the fair value hierarchy under U.S. GAAP (inputs other than quoted prices in active markets for similar assets and liabilities that are observable or can be corroborated by observable market data for substantially the full terms for the assets or liabilities). We have two interest rate swaps in place on a total of $200 million of the 2024 Senior Notes for the period to November 2024. The agreements swap the fixed interest rate of 4.650% on $100 million of the 2024 Senior Notes to the floating rate of one month LIBOR plus 2.426% and on another $100 million to one month LIBOR plus 2.823%. We estimate the combined fair value of the interest rate swaps to be a net liability of $5.6 million at December 31, 2018 , which is included on our balance sheet in our Other Long-term Liabilities These values were arrived at using a discounted cash flow model using Level 2 inputs. Since the second quarter of 2015, the exchange rate for the Angolan kwanza relative to the U.S. dollar generally has been declining, with the exception that the exchange rate was relatively stable during 2017. As our functional currency in Angola is the U.S. dollar, we recorded foreign currency transaction losses related to the kwanza of $19 million , $0.1 million and $7.3 million in 2018 , 2017 and 2016 , as a component of Other income (expense), net in our Consolidated Statements of Operations for those respective periods. Our foreign currency transaction losses are related primarily to the remeasurement of our Angolan kwanza cash balances to U.S. dollars. Any conversion of cash balances from kwanza to U.S. dollars is controlled by the central bank in Angola, and the central bank slowed this process from mid-2015 to 2017, causing our kwanza cash balances to increase during that period of time. However, beginning in 2018, the Angolan central bank has allowed us to repatriate cash from Angola. During 2018 , we were able to repatriate $74 million of cash from Angola. As of December 31, 2018 and December 31, 2017 , we had the equivalent of approximately $9.3 million and $27 million of kwanza cash balances, respectively, in Angola reflected on our balance sheet. The decrease in kwanza cash balances in 2018 was mainly attributable to the repatriation of cash from Angola and cash used in our Angolan operations. To mitigate our currency exposure risk in Angola, we have used kwanza to purchase equivalent Angolan central bank (Banco Nacional de Angola) bonds. The bonds are denominated as U.S. dollar equivalents, so that, upon payment of semi-annual interest and principal upon maturity, payment is made in kwanza, equivalent to the respective U.S. dollars at the then-current exchange rate. In 2018 , we received a total of $70 million proceeds from maturities and redemptions of Angola bonds and reinvested $10 million of the proceeds in similar assets. We previously believed the chance of selling the bonds before maturity and repatriating cash out of Angola was remote. Our intention was to hold the bonds to maturity, and to reinvest funds from maturing bonds in similar long-term assets. Because we intend to sell the bonds if we are able to repatriate the proceeds, we changed our accounting for these bonds from held-to-maturity securities to available-for-sale securities. We estimated the fair market value of the Angolan bonds to be $10 million at December 31, 2018 using quoted prices. Since the market for the Angolan bonds is not an active market, the fair value of the Angolan bonds is classified within Level 2 in the fair value hierarchy under U.S. GAAP. As of December 31, 2018 , we have not recorded the difference between the fair market value and carrying amount of the outstanding bonds through the Consolidated Statement of Comprehensive Income (Loss) due to the insignificant difference between the fair market value and the carrying amount of the bonds. As of December 31, 2018 , we classified $10 million of bonds due to mature in 2023 as Other current assets on our Consolidated Balance Sheet because we intend to sell these bonds to meet the needs of current operations in Angola. |
Operations by Business Segment
Operations by Business Segment and Geographic Area | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Business Segment Information | OPERATIONS BY BUSINESS SEGMENT AND GEOGRAPHIC AREA Business Segment Information We are a global provider of engineered services and products, primarily to the offshore energy industry. Through the use of our applied technology expertise, we also serve the defense, aerospace and commercial theme park industries. Our Energy Services and Products business consists of Remotely Operated Vehicles ("ROVs"), Subsea Products, Subsea Projects and Asset Integrity. Our ROV segment provides submersible vehicles operated from the surface to support offshore energy exploration, development and production activities. Our Subsea Products segment supplies a variety of specialty subsea hardware and related services. Our Subsea Projects segment provides multiservice subsea support vessels and offshore diving and support vessel operations, primarily for inspection, maintenance and repair and installation activities. We also provide survey, autonomous underwater vehicle ("AUV") and satellite-positioning services. Our Asset Integrity segment provides asset integrity management and assessment services, nondestructive testing and inspection. Our Advanced Technologies business provides project management, engineering services and equipment for applications in non-energy industries. Unallocated Expenses are those not associated with a specific business segment. These consist of expenses related to our incentive and deferred compensation plans, including restricted stock and bonuses, as well as other general expenses, including corporate administrative expenses. There are no differences in the basis of segmentation or in the basis of measurement of segment profit or loss in the year ended December 31, 2018 from those used in our consolidated financial statements for the years ended December 31, 2017 and 2016 . The table that follows presents Revenue, Income from Operations and Depreciation and Amortization Expense by business segment: Year Ended December 31, (in thousands) 2018 2017 2016 Revenue Energy Services and Products Remotely Operated Vehicles $ 394,801 $ 393,655 $ 522,121 Subsea Products 515,000 625,513 692,030 Subsea Projects 329,163 291,993 472,979 Asset Integrity 253,886 236,778 275,397 Total Energy Services and Products 1,492,850 1,547,939 1,962,527 Advanced Technologies 416,632 373,568 309,076 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 Income (Loss) from Operations Energy Services and Products Remotely Operated Vehicles $ 1,641 $ 22,366 $ 25,193 Subsea Products 5,614 45,539 75,938 Subsea Projects (86,008 ) 10,279 34,476 Asset Integrity 8,660 11,231 7,551 Total Energy Services and Products (70,093 ) 89,415 143,158 Advanced Technologies 33,920 22,039 11,809 Unallocated Expenses (109,309 ) (100,798 ) (84,203 ) Total $ (145,482 ) $ 10,656 $ 70,764 Depreciation and Amortization Expense Energy Services and Products Remotely Operated Vehicles $ 111,311 $ 113,979 $ 140,967 Subsea Products 53,085 52,561 53,759 Subsea Projects 114,481 31,869 34,042 Asset Integrity 6,904 7,715 14,336 Total Energy Services and Products 285,781 206,124 243,104 Advanced Technologies 3,081 3,171 3,120 Unallocated Expenses 4,728 4,224 4,023 Total $ 293,590 $ 213,519 $ 250,247 We determine income from operations for each business segment before interest income or expense, other income (expense) and provision for income taxes. We do not consider an allocation of these items to be practical. During 2018, we recorded a pre-tax goodwill impairment of $76 million in our Subsea Projects segment, as a component of Depreciation and Amortization Expense. We also recorded the write-offs of certain equipment and intangible assets associated with exiting the land survey business and equipment obsolescence of $7.6 million , attributable to each reporting segment as follows: • Remotely Operated Vehicles - $0.6 million ; • Subsea Products - $1.5 million ; and • Subsea Projects - $5.5 million ; During 2016, we recognized restructuring expenses related to severance costs of $11.6 million , attributable to each reporting segment as follows: • Remotely Operated Vehicles - $3.8 million ; • Subsea Products - $3.7 million ; • Subsea Projects - $2.1 million ; • Asset Integrity - $1.4 million ; • Advanced Technologies - $0.5 million ; and • Unallocated Expenses - $0.1 million . Revenue from one customer, Royal Dutch Shell, accounted for 10% of our 2018 total consolidated annual revenue, and, revenue from another customer, BP plc and subsidiaries, accounted for 12% in 2017 and 18% in 2016 of our total consolidated annual revenue. The following table presents Assets, Property and Equipment and Goodwill by business segment as of the dates indicated: December 31, (in thousands) 2018 2017 Assets Energy Services and Products Remotely Operated Vehicles $ 612,983 $ 650,832 Subsea Products 723,774 788,586 Subsea Projects 611,476 626,791 Asset Integrity 241,693 268,055 Total Energy Services and Products 2,189,926 2,334,264 Advanced Technologies 168,302 129,185 Corporate and Other 466,770 560,501 Total $ 2,824,998 $ 3,023,950 Property and Equipment, net Energy Services and Products Remotely Operated Vehicles $ 353,139 $ 420,088 Subsea Products 295,297 329,486 Subsea Projects 274,518 272,649 Asset Integrity 20,556 19,445 Total Energy Services and Products 943,510 1,041,668 Advanced Technologies 11,229 10,850 Corporate and Other 9,931 11,686 Total $ 964,670 $ 1,064,204 Goodwill Energy Services and Products Remotely Operated Vehicles $ 24,396 $ 24,777 Subsea Products 99,744 103,128 Subsea Projects 123,624 155,292 Asset Integrity 143,515 150,560 Total Energy Services and Products 391,279 433,757 Advanced Technologies 21,842 21,842 Total $ 413,121 $ 455,599 All assets specifically identified with a particular business segment have been segregated. Cash and cash equivalents, certain other current assets, certain investments and certain other assets have not been allocated to particular business segments and are included in Corporate and Other. The following table presents Capital Expenditures, including business acquisitions, by business segment for the periods indicated: Year Ended December 31, (in thousands) 2018 2017 2016 Capital Expenditures Energy Services and Products Remotely Operated Vehicles $ 45,732 $ 40,425 $ 50,339 Subsea Products 25,149 27,711 56,669 Subsea Projects 99,701 29,544 25,602 Asset Integrity 2,874 3,651 3,910 Total Energy Services and Products 173,456 101,331 136,520 Advanced Technologies 3,550 2,063 2,742 Corporate and Other 1,033 1,564 3,251 Total $ 178,038 $ 104,958 $ 142,513 Geographic Operating Areas The following tables summarize certain financial data by geographic area: Year Ended December 31, (in thousands) 2018 2017 2016 Revenue Foreign: Africa $ 239,959 $ 256,198 $ 486,615 United Kingdom 203,391 236,177 304,635 Norway 185,552 178,712 166,180 Asia and Australia 163,843 193,865 196,679 Brazil 64,004 42,607 73,280 Other 103,548 81,364 66,870 Total Foreign 960,297 988,923 1,294,259 United States 949,185 932,584 977,344 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 December 31, (in thousands) 2018 2017 Property and equipment, net Foreign: Norway $ 58,042 $ 78,279 Africa 117,877 135,345 United Kingdom 106,330 87,601 Asia and Australia 48,837 50,057 Brazil 51,282 50,842 Other 21,374 25,346 Total Foreign 403,742 427,470 United States 560,928 636,734 Total $ 964,670 $ 1,064,204 Revenue is based on location where services are performed and products are manufactured. |
Employee Benefit Plans and Shar
Employee Benefit Plans and Shareholder Rights Plan | 12 Months Ended |
Dec. 31, 2018 | |
Employee Benefit Plans and Shareholder Rights Plan [Abstract] | |
Employee Benefit Plans and Shareholder Rights Plan | PLOYEE BENEFIT PLANS Retirement Investment Plans We have several employee retirement investment plans that, taken together, cover most of our full-time employees. The Oceaneering Retirement Investment Plan is a 401(k) plan in which U.S. employees may participate by deferring a portion of their gross monthly salary and directing us to contribute the deferred amount to the plan. We match a portion of the employees' deferred compensation. Our contributions to the 401(k) plan were $18 million , $17 million and $20 million for the plan years ended December 31, 2018 , 2017 and 2016 , respectively. We also make matching contributions to foreign employee savings plans similar in nature to a 401(k) plan. In 2018 , 2017 and 2016 , these contributions, principally related to plans associated with U.K. and Norwegian subsidiaries, were $11 million , $9.1 million and $12 million , respectively. The Oceaneering International, Inc. Supplemental Executive Retirement Plan covers selected key management employees and executives, as approved by the Compensation Committee of our Board of Directors (the "Compensation Committee"). Under this plan, we accrue an amount determined as a percentage of the participant's gross monthly salary and the amounts accrued are treated as if they are invested in one or more investment vehicles pursuant to this plan. Expenses related to this plan during 2018 , 2017 and 2016 were $2.8 million , $3.2 million and $3.3 million , respectively. We had a defined benefit plan covering some of our employees in the U.K. The assets of the U.K. plan were invested in individual pensioners' annuities in anticipation of the plan settlement, which occurred in the fourth quarter of 2018. There were no plan assets or obligations for the U.K plan at December 31, 2018 . The projected benefit obligations for the U.K. plan were $21 million at December 31, 2017 and the fair values of the plan assets (using Level 2 inputs) for the U.K. plan were $22 million at December 31, 2017 . Incentive Plan Under our Second Amended and Restated 2010 Incentive Plan (the "Incentive Plan"), shares of our common stock are made available for awards to employees and nonemployee members of our Board of Directors. The Incentive Plan is administered primarily by the Compensation Committee; however, the full Board of Directors makes determinations regarding awards to nonemployee directors under the Incentive Plan. The Compensation Committee or our Board of Directors, as applicable, determines the type(s) of award(s) to be made to each participant and sets forth in the related award agreement the terms, conditions and limitations applicable to each award. Stock options, stock appreciation rights and stock and cash awards may be made under the Incentive Plan. There has been no stock option activity after December 31, 2010 and there are no options outstanding under the Incentive Plan. We have not granted any stock options since 2005 and the Compensation Committee has expressed its intention to refrain from using stock options as a component of employee compensation for our executive officers and other employees for the foreseeable future. Additionally, the Board of Directors has expressed its intention to refrain from using stock options as a component of nonemployee director compensation for the foreseeable future. In 2018 , 2017 and 2016 , the Compensation Committee granted awards of performance units to certain of our key executives and employees. The performance units awarded are scheduled to vest in full on the third anniversary of the award date, or pro rata over three years if the participant meets certain age and years of service requirements. The Compensation Committee and the Board of Directors approved specific financial goals and measures (as defined), for each of the three -year periods ending December 31, 2020 , 2019 and 2018 to be used as the basis for the final value of the performance units. The final value of the performance unit granted may range from $0 to $200 in each of 2018 and 2017 and from $0 to $150 in 2016 . Upon vesting and determination of value, the value of the performance units will be payable in cash. Compensation expense (benefit) related to the performance units was $3.9 million , $4.2 million and $(4.2) million in 2018 , 2017 and 2016 , respectively. As of December 31, 2018 , there were 332,756 performance units outstanding. During 2018 , 2017 and 2016 , the Compensation Committee granted restricted units of our common stock to certain of our key executives and employees. During 2018 , 2017 and 2016 , our Board of Directors granted restricted common stock to our nonemployee directors. Over 85% , 80% , and 65% of the grants made to our employees in 2018 , 2017 and 2016 , respectively, vest in full on the third anniversary of the award date, conditional upon continued employment. The remainder of the grants made to employees vest pro rata over three years, as these participants meet certain age and years-of-service requirements. For the grants of restricted stock units to each of the participant employees, the participant will be issued a share of our common stock for the participant's vested restricted stock units at the earlier of three years or, if the participant vested earlier after meeting the age and service requirements, following termination of employment or service. The grants of restricted stock to our nonemployee directors were scheduled to vest in full on the first anniversary of the award date conditional upon continued service as a director, with one exception. In February 2017, we granted shares of restricted common stock to a director who had given written notice of his intention to retire from our board of directors. Those shares were to vest if the director's service continued until the election of directors at our subsequent annual meeting of shareholders in May 2017. The director fulfilled that requirement by resigning concurrent with that election and the shares of restricted stock became vested. In April 2009, the Compensation Committee adopted a policy that Oceaneering will not provide U.S. federal income tax gross-up payments to any of its directors or executive officers in connection with future awards of restricted stock or stock units. This policy had no effect on the existing service agreement with our Chairman, which provides for tax gross-up payments that could become applicable to such future awards in limited circumstances, such as following a change in control of Oceaneering. Since August 2010, there have been no outstanding awards that provide for tax gross-up payments. The additional tax charge realized from tax deductions less than the financial statement expense of our restricted stock grants was $2.1 million , $3.1 million and $3.0 million in 2018 , 2017 and 2016 , respectively. The 2018 and 2017 charges were recognized in our Consolidated Statements of Operations and the 2016 charge was recognized in our Consolidated Statements of Equity. The following is a summary of our restricted stock and restricted stock unit activity for 2018 , 2017 and 2016 : Number Weighted Average Fair Value Aggregate Intrinsic Value Balance at December 31, 2015 831,291 60.49 Granted 587,953 27.90 Issued (278,572 ) 61.48 $ 7,866,000 Forfeited (88,665 ) 43.03 Balance at December 31, 2016 1,052,007 43.48 Granted 489,514 26.70 Issued (277,968 ) 61.90 $ 7,038,000 Forfeited (81,748 ) 34.15 Balance at December 31, 2017 1,181,805 32.84 Granted 653,286 18.05 Issued (320,147 ) 47.62 $ 5,993,000 Forfeited (71,047 ) 24.87 Balance at December 31, 2018 1,443,897 23.27 The restricted stock units granted in 2018 , 2017 and 2016 carry no voting rights and no dividend rights. Each grantee of shares of restricted common stock is deemed to be the record owner of those shares during the restriction period, with the right to vote and receive any dividends on those shares. Grants of restricted stock units are valued at their estimated fair values as of their respective grant dates. The grants in 2018 , 2017 and 2016 were subject only to vesting conditioned on continued employment or service as a nonemployee director; therefore, these grants were valued at the grant date fair market value using the closing price of our stock on the New York Stock Exchange. Compensation expense under the restricted stock plans was $10 million , $11 million and $14 million for 2018 , 2017 and 2016 , respectively. As of December 31, 2018 , we had $10.0 million of future expense to be recognized related to our restricted stock unit plans over a weighted average remaining life of 1.6 years. Post-Employment Benefit In 2001, we entered into an agreement with our Chairman who was also then our Chief Executive Officer. That agreement was amended in 2006 and in 2008. Pursuant to the amended agreement, the Chairman relinquished his position as Chief Executive Officer in May 2006 and began his post-employment service period on December 31, 2006, which continued through August 15, 2011, during which service period the Chairman, acting as an independent contractor, agreed to serve as nonexecutive Chairman of our Board of Directors. The agreement provides the Chairman with post-employment benefits for ten years following August 15, 2011. The agreement also provides for medical coverage on an after-tax basis to the Chairman, his spouse and children for their lives. We recognized the net present value of the post-employment benefits over the expected service period. Our total accrued liabilities, current and long-term, under this post-employment benefit were $3.2 million and $3.9 million at December 31, 2018 and 2017 , respectively. As part of the arrangements relating to the Chairman's post-employment benefits, we established an irrevocable grantor trust, commonly known as a "rabbi trust," to provide the Chairman greater assurance that we will set aside an adequate source of funds to fund payment of the post-retirement benefits under this agreement, including the medical coverage benefits payable to the Chairman, his spouse and their children for their lives. In connection with establishment of the rabbi trust, we contributed to the trust a life insurance policy on the life of the Chairman, which we had previously obtained, and we agreed to continue to pay the premiums due on that policy. When the life insurance policy matures, the proceeds of the policy will become assets of the trust. If the value of the trust exceeds $4 million , as adjusted by the consumer price index, at any time after January 1, 2012, the excess may be paid to us. However, because the trust is irrevocable, the assets of the trust are generally not available to fund our future operations until the trust terminates, which is not expected to be during the lives of the Chairman, his spouse or their children. Furthermore, no tax deduction will be available for our contributions to the trust; however, we may benefit from future tax deductions for benefits actually paid from the trust (although benefit payments from the trust are not expected to occur in the near term, because we expect to make direct payments of those benefits for the foreseeable future). |
Summary Of Major Accounting P_2
Summary Of Major Accounting Policies (Policy) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2018 | Dec. 31, 2018 | |
Disposition [Line Items] | ||
Disposition [Policy Text Block] | Dispositions. In September 2018, we consummated the sale of our cost method investment in ASV Global, LLC for $15 million . The total consideration is subject to final working capital adjustments and customary holdbacks. The sale resulted in a pre-tax gain of $9.3 million , which is reflected in Other income (expense), net in our Consolidated Statement of Operations for the year ended December 31, 2018 | |
New Accounting Pronouncements, Policy [Policy Text Block] | unting Standards . In January 2016, the Financial Accounting Standards Board ("FASB") issued ASU No. 2016-01, "Financial Instruments - Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities." This update: • requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value, with changes in fair value recognized in net income; and • provides an expedient for the valuation and impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify value and impairment - when a qualitative assessment indicates that an impairment exists, an entity is required to measure the investment at fair value. ASU No. 2016-01 was effective for us beginning on January 1, 2018, and we have utilized the expedient for valuing equity investments without readily determinable fair values. This update has not had a material impact on our consolidated financial statements. Effective January 1, 2019, we will adopt ASU 2018-011, an amendment to ASU 2016-02 "Leases" (collectively, the "New Leases Standard") that (1) requires lessees to recognize a right to use asset and a lease liability for virtually all leases, and (2) updates previous accounting standards for lessors to align certain requirements with the updates to lessee accounting standards and the revenue recognition accounting standards. In a recent update, targeted improvements were made that provide for (1) an optional new transition method for adoption that results in initial recognition of a cumulative effect adjustment to retained earnings in the year of adoption and (2) a practical expedient for lessors, under certain circumstances, to combine the lease and non-lease components of revenue for presentation purposes. We expect to elect the new optional transition method of adoption. For some of our contracts that could contain a lease component, we expect to apply the practical expedient and recognize revenue based on the service component, which we have determined is the predominant component of our contracts. We are finalizing our evaluation of the impacts that the adoption of this accounting guidance will have on the consolidated financial statements, and expect a material impact on our Consolidated Balance Sheet as additional right of use assets and lease liabilities will be recognized upon adoption. We do not expect a material impact on our Consolidated Statement of Operations, Equity and Cash Flows from the adoption of the New Leases Standard. In October 2016, the FASB issued ASU 2016-16, "Income Taxes (Topic 740) - Intra-Entity Transfers of Assets Other than Inventory." Previously, U.S. GAAP generally prohibited the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset was sold to an outside party. The amendments in this update eliminate the exception for an intra-entity transfer of an asset other than inventory. Two common examples of assets included within the scope of this update are intellectual property and property, plant and equipment. The exception for an intra-entity transfer of inventory will remain in place. The amendments in this update were effective for us beginning January 1, 2018. This ASU has not had a material effect on our consolidated financial statements. In February 2018, the FASB issued ASU 2018-02, "Income Statement - Reporting Comprehensive Income (Topic 220) Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income." The amendments in this update allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the December 2017 enactment of U.S. tax reform legislation commonly referred to as the Tax Cuts and Jobs Act (the "Tax Act"). However, because the amendments only relate to the reclassification of the income tax effects of the Tax Act, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. The amendments in this update also require certain disclosures about stranded tax effects. The amendments in this update will become effective for us beginning January 1, 2019, and early adoption is permitted. We do not anticipate that this ASU will have a material effect on our consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, "Compensation - Stock Compensation (Topic 718) Improvements to Nonemployee Share-Based Payment Accounting." This ASU expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from non-employees. The amendments in this ASU will become effective for us beginning January 1, 2019, and early adoption is permitted. We do not anticipate that this ASU will have a material effect on our consolidated financial statements. | |
Treasury Stock [Text Block] | e Plan. In December 2014, our Board of Directors approved a share repurchase program under which we may repurchase up to 10 million shares of our common stock on a discretionary basis. The program calls for the repurchases to be made in the open market, or in privately negotiated transactions from time to time, in compliance with applicable laws, rules and regulations, including Rule 10b-18 under the Securities Exchange Act of 1934, as amended, subject to market and business conditions, levels of available liquidity, cash requirements for other purposes, applicable legal requirements and other relevant factors. The timing and amount of any repurchases will be determined by management based on its evaluation of these factors. We expect that any shares repurchased under the program will be held as treasury stock for future use. The program does not obligate us to repurchase any particular number of shares. We account for the shares we hold in treasury under the cost method, at average cost. Under the program, we had repurchased 2 million shares of our common stock for $100 million through December 31, 2015 . We have not repurchased any shares under the program since December 31, 2015 . Financia | |
Principles of Consolidation | Principles of Consolidation. The consolidated financial statements include the accounts of Oceaneering International, Inc. ("Oceaneering", "we" or "us") and our 50% or more owned and controlled subsidiaries. We also consolidate entities that are determined to be variable interest entities if we determine that we are the primary beneficiary; otherwise, we account for those entities using the equity method of accounting. We use the equity method to account for our investments in unconsolidated affiliated companies of which we own an equity interest of between 20% and 50% and as to which we have significant influence, but not control, over operations. We use the cost method for all other long-term investments. Investments in entities that we do not consolidate are reflected on our balance sheet in Other non-current assets. All significant intercompany accounts and transactions have been eliminated. | |
Use Of Estimates | Use of Estimates. The preparation of financial statements in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") requires that our management make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates. | |
Reclassifications | ||
Cash and Cash Equivalents | Cash and Cash Equivalents. Cash and cash equivalents include demand deposits and highly liquid investments with original maturities of three months or less from the date of investment. | |
Accounts Receivable | Accounts Receivable – Allowances for Doubtful Accounts. We determine the need for allowances for doubtful accounts using the specific identification method. We generally do not require collateral from our customers. | |
Inventory | Inventory. Inventory is valued at the lower of cost or net realizable value. We determine cost using the weighted-average method. During 2016, we recorded inventory write-downs totaling $30.5 million for excess inventory of $25.2 million in our ROV segment and $5.3 million in our Subsea Products segment. | |
Property and Equipment | Property and Equipment and Long-Lived Intangible Assets. We provide for depreciation of property and equipment on the straight-line method over estimated useful lives of eight years for ROVs, three to 25 years for marine services equipment (such as vessels and diving equipment) and three to 25 years for buildings, improvements and other equipment. Long-lived intangible assets, primarily acquired in connection with business combinations, include trade names, intellectual property and customer relationships and are being amortized with a weighted average remaining life of approximately eight years. Amortization expense on intangible assets was $17 million , $10.2 million and $10.2 million in 2018 , 2017 and 2016 , respectively. 2018 amortization expense included a $3.5 million write-off of intangible assets associated with exiting the land survey business. We charge the costs of repair and maintenance of property and equipment to operations as incurred, while we capitalize the costs of improvements that extend asset lives or functionality. We capitalize interest on assets where the construction period is anticipated to be more than three months. We capitalized $7.3 million , $4.6 million and $3.7 million of interest in 2018 , 2017 and 2016 , respectively. We do not allocate general administrative costs to capital projects. Upon the disposition of property and equipment, the related cost and accumulated depreciation accounts are relieved and any resulting gain or loss is included as an adjustment to cost of services and products. Our management periodically, and upon the occurrence of a triggering event, reviews the realizability of our property and equipment and long-lived intangible assets to determine whether any events or changes in circumstances indicate that the carrying amounts of the assets may not be recoverable. For long-lived assets to be held and used, we base our evaluation on impairment indicators such as the nature of the assets, the future economic benefits of the assets, any historical or future profitability measurements and other external market conditions or factors that may be present. If such impairment indicators are present or other factors exist that indicate that the carrying amount of an asset may not be recoverable, we determine whether an impairment has occurred through the use of an undiscounted cash flows analysis of the asset at the lowest level for which identifiable cash flows exist. If an impairment has occurred, we recognize a loss for the difference between the carrying amount and the fair value of the asset. For assets held for sale or disposal, the fair value of the asset is measured using fair market value less estimated costs to sell. Assets are classified as held-for-sale when we have a plan for disposal of certain assets and those assets meet the held for sale criteria. | |
Business Acquisitions | Business Acquisitions . We account for business combinations using the acquisition method of accounting, with acquisition prices being allocated to the assets acquired and liabilities assumed based on their fair values at the respective dates of acquisition. In March 2018, we acquired Ecosse Subsea Limited ("Ecosse") for $68 million in cash. Headquartered in Aberdeen, Scotland, Ecosse builds and operates tools for seabed preparation, route clearance and trenching for the installation of submarine cables and pipelines. These services are offered on an integrated basis that includes vessels, ROVs and survey services. We have accounted for this acquisition by allocating the purchase price to the assets acquired and liabilities assumed based on their estimated fair values as of the date of acquisition. This purchase price allocation is preliminary and is subject to change upon completion of our valuation procedures. We have included Ecosse’s operations in our consolidated financial statements starting from the date of closing and its operating results are reflected in our Subsea Projects segment. In August 2017, we acquired a 60% controlling ownership interest in Dalgidj LLC ("Dalgidj") for approximately $12.4 million . In connection with the purchase of the equity interest, we advanced Dalgidj $6.4 million to pay off certain of its indebtedness. Dalgidj is an Azerbaijan company that provides office and yard facilities for warehousing, logistics and administration to foreign and local companies in the Caspian Sea basin. Dalgidj also owns a 49% interest in a joint venture, which provides remotely operated vehicle solutions, air diving services, and engineering and project management services. We have accounted for this acquisition by allocating the purchase price to the assets acquired and liabilities assumed based on their estimated fair values at the date of acquisition. Dalgidj's operating results are included in our Subsea Projects segment, and its activity subsequent to the date of acquisition was not significant. We made several other smaller acquisitions during the periods presented, none of which were material. | |
Goodwill and Intangible Assets | Goodwill. Our goodwill is evaluated for impairment annually and whenever we identify certain triggering events or circumstances that would more likely than not reduce the fair value of a reporting unit below its carrying amount. In our evaluation of goodwill, we perform a qualitative or quantitative impairment test. Under the qualitative approach, if we determine that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, we are required to perform the quantitative analysis to determine the fair value for the reporting unit. Thereafter, we compare the fair value of the reporting unit with its carrying amount and recognize an impairment loss for the amount by which the carrying amount exceeds the fair value of the reporting unit. The loss recognized should not exceed the total amount of goodwill allocated to the reporting unit. We also consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. The fair value of our reporting units in our 2017 quantitative analysis exceeded their respective carrying amounts. In our 2018 annual goodwill evaluation, we performed a qualitative assessment for our Subsea Projects reporting unit. Due to the protracted downturn in survey and vessel activity, we determined that it was more likely than not the fair value was less than the carrying amount. As a result, we determined that a quantitative assessment was necessary for our Subsea Projects reporting unit. In our 2018 quantitative analysis for the Subsea Projects reporting unit, we estimated the fair value by weighing the results from the income approach and the market approach. These valuation approaches consider a number of factors that include, but are not limited to, prospective financial information, growth rates, terminal value, discount rates and comparable multiples of similar companies in our industry and require us to make certain assumptions and estimates regarding industry economic factors and future profitability of our business. Based on this quantitative test, we determined that the fair value for Subsea Projects was less than the carrying value and, as a result, we recorded a pre-tax goodwill impairment loss of $76 million in the Subsea Project reporting unit. The goodwill impairment was included as a component of "Income (Loss) From Operations" in our Consolidated Statement of Operations for the year ended December 31, 2018 . For the remaining reporting units, qualitative assessments were performed and we concluded that it was more likely than not that the fair value of the reporting unit was more than the carrying value of the reporting unit. Besides the goodwill impairment discussed above, the changes in our reporting units' goodwill balances during the periods presented are from business acquisitions and currency exchange rate changes. For information regarding goodwill by business segment, see Note 8. | |
Revenue Recognition | ||
Stock-based Compensation | Stock-Based Compensation. We recognize all share-based payments to directors, officers and employees over their vesting periods in the income statement based on their estimated fair values. For more information on our employee benefit plans, see Note 9. | |
Income Taxes | Income Taxes. We provide income taxes at appropriate tax rates in accordance with our interpretation of the respective tax laws and regulations after review and consultation with our internal tax department, tax advisors and, in some cases, legal counsel in various jurisdictions. We provide for deferred income taxes for differences between carrying amounts of assets and liabilities for financial and tax reporting purposes. We provide a valuation allowance against deferred tax assets when it is more likely than not that the asset will not be realized. We recognize the benefit for a tax position if the benefit is more likely than not to be sustainable upon audit by the applicable taxing authority. If this threshold is met, the tax benefit is then measured and recognized at the largest amount that we believe is greater than 50% likely of being realized upon ultimate settlement. We account for any applicable interest and penalties on uncertain tax positions as a component of our provision for income taxes on our financial statements. For more information on income taxes, please see Note 4. | |
Foreign Currency Translations | Foreign Currency Translation. The functional currency for most of our foreign subsidiaries is the applicable local currency. Results of operations for foreign subsidiaries with functional currencies other than the U.S. dollar are translated into U.S. dollars using average exchange rates during the period. Assets and liabilities of these foreign subsidiaries are translated into U.S. dollars using the exchange rates in effect at the balance sheet date, and the resulting translation adjustments are recognized, net of tax, in accumulated other comprehensive income (loss) as a component of shareholders' equity. All foreign currency transaction gains and losses are recognized currently in the Consolidated Statements of Operations. We recorded $18 million , $5.2 million and $4.8 million of foreign currency transaction losses in 2018 , 2017 and 2016 , respectively, and those amounts are included as a component of Other income (expense), net in our Consolidated Statement of Operations for the year ended December 31, 2018 . Earnings | |
Financial Instruments | Instruments. We recognize all derivative instruments as either assets or liabilities in the balance sheet and measure those instruments at fair value. Subsequent changes in fair value are reflected in current earnings, other comprehensive income (loss) or changes in assets or liabilities, depending on whether a derivative instrument is designated as part of a hedge relationship and, if it is, the type of hedge relationship. See Note 7 for information relative to the interest rate swaps we have in effect. |
Summary Of Major Accounting P_3
Summary Of Major Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Temporary Differences Using the Percentage-of-Completion Method | |
Schedule of Earnings Per Share, Basic and Diluted | per Share. For each year presented, the only difference between our annual calculated weighted average basic and diluted number of shares outstanding is the effect of outstanding restricted stock units. Repurch |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue [Abstract] | |
Revenue from External Customers by Products and Services [Table Text Block] | The following table presents Revenue disaggregated by business segment, geographical region, and timing of transfer of goods or services. Year Ended December 31, (in thousands) 2018 2017 2016 Business Segment: Energy Services and Products Remotely Operated Vehicles $ 394,801 $ 393,655 $ 522,121 Subsea Products 515,000 625,513 692,030 Subsea Projects 329,163 291,993 472,979 Asset Integrity 253,886 236,778 275,397 Total Energy Services and Products 1,492,850 1,547,939 1,962,527 Advanced Technologies 416,632 373,568 309,076 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 The following schedule shows our revenue, costs and gross margins by services and products: Year Ended December 31, (in thousands) 2018 2017 2016 Revenue: Services $ 1,245,927 $ 1,181,229 $ 1,509,786 Products 663,555 740,278 761,817 Total revenue 1,909,482 1,921,507 2,271,603 Cost of Services and Products: Services 1,135,084 1,040,817 1,330,218 Products 578,212 625,843 615,438 Unallocated expenses 66,960 60,237 46,720 Total cost of services and products 1,780,256 1,726,897 1,992,376 Gross margin: Services 110,843 140,412 179,568 Products 85,343 114,435 146,379 Unallocated expenses (66,960 ) (60,237 ) (46,720 ) Total gross margin $ 129,226 $ 194,610 $ 279,227 |
Revenue from External Customers by Geographic Areas [Table Text Block] | Geographic Operating Areas: Foreign: Africa $ 239,959 $ 256,198 $ 486,615 United Kingdom 203,391 236,177 304,635 Norway 185,552 178,712 166,180 Asia and Australia 163,843 193,865 196,679 Brazil 64,004 42,607 73,280 Other 103,548 81,364 66,870 Total Foreign 960,297 988,923 1,294,259 United States 949,185 932,584 977,344 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 |
Revenue by Timing of Transfer of Goods or Services [Table Text Block] | Dec 31, 2018 Timing of Transfer of Goods or Services: Revenue recognized over time $ 1,762,103 Revenue recognized at a point in time 147,379 Total $ 1,909,482 |
Selected Balance Sheet Inform_2
Selected Balance Sheet Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investment, Summarized Financial Information [Abstract] | |
Schedule of Other Assets and Other Liabilities [Table Text Block] | The following is information regarding selected balance sheet accounts: December 31, (in thousands) 2018 2017 Inventory: Remotely operated vehicle parts and components $ 108,939 $ 97,313 Other inventory, primarily raw materials 85,568 117,969 Total $ 194,507 $ 215,282 Other current assets: Prepaid expenses 60,858 64,901 Angola bonds 10,179 — Total 71,037 64,901 Other Non-Current Assets: Intangible assets, net $ 79,995 $ 85,293 Angola bonds — 68,280 Cash surrender value of life insurance policies 51,131 54,987 Investment in unconsolidated affiliates 39,333 49,094 Deferred income taxes — 24,633 Other 31,859 34,458 Total $ 202,318 $ 316,745 Accrued Liabilities: Payroll and related costs $ 114,676 $ 101,989 Accrued job costs 62,281 58,823 Deferred revenue 85,172 63,040 Income taxes payable 34,954 30,589 Other 95,022 95,817 Total $ 392,105 $ 350,258 Other Long-Term Liabilities: Deferred income taxes $ 18,243 $ 42,040 Supplemental Executive Retirement Plan 42,992 45,037 Long-Term Incentive Plan 8,076 4,348 Accrued post-employment benefit obligations 3,239 3,352 Uncertain tax positions 17,903 5,566 Tax Act transition tax due after one year 7,813 — Other 30,113 30,980 Total $ 128,379 $ 131,323 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | At December 31, 2018 , we had approximately $781 million of net operating and other loss carryforwards that were generated in various worldwide jurisdictions. We have no U.S. net operating losses available to reduce future payments of U.S. federal income taxes. The carryforwards include $711 million that do not expire and $70 million that will expire from 2019 through 2028 . We have recorded a total valuation allowance of $203 million on foreign operating losses and tax credit carryforwards as well as other deferred tax assets as our management believes that it is more likely than not that these deferred tax assets will not be realized. A reconciliation of our beginning and ending amounts of valuation allowances is as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Balance at beginning of year $ (206,586 ) $ (4,200 ) $ — Increase due principally to foreign net operating losses (38,415 ) (146,360 ) (4,200 ) Increase due to tax credit carryforwards generated in foreign operations (14,065 ) (56,026 ) — Reduction due to utilization of foreign tax credits generated in prior year 56,026 — — Balance at end of year $ (203,040 ) $ (206,586 ) $ (4,200 ) The utilization of the foreign tax credits generated in the prior year was as a result of the mandatory repatriation requirements of the Tax Act. Reconciliations between the actual provision for income taxes (benefit) on continuing operations and that computed by applying the U.S. statutory rate of 21% for 2018 and 35% for 2017 and 2016 to income before income taxes were as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Income tax provision (benefit) at the U.S. statutory rate $ (39,025 ) $ (6,245 ) $ 15,171 Tax Act - earnings subject to tax-free repatriation — (222,019 ) — Tax Act - net mandatory repatriation tax 8,790 — — Tax Act - remeasure of net U.S. deferred tax liabilities — (23,124 ) — Valuation allowances 38,415 89,217 4,200 Foreign tax rate differential 475 (21,163 ) (1,766 ) Stock compensation 2,135 3,112 — Uncertain tax positions 12,644 (836 ) 680 Other items, net 3,060 (3,184 ) 475 Total provision (benefit) for income taxes $ 26,494 $ (184,242 ) $ 18,760 |
Schedule of Components of Income Tax Expense (Benefit) | In December 2017, the United States enacted the Tax Act, which included a number of changes to existing U.S. tax laws that have an impact on our income tax provision, most notably a reduction of the U.S. corporate income tax rate from 35% to 21% for tax years beginning after December 31, 2017, and the creation of a quasi-territorial tax system with a one‑time mandatory transition tax on applicable previously deferred earnings of foreign subsidiaries. The Tax Act also makes prospective changes beginning in 2018, including a base erosion and anti‑abuse tax ("BEAT"), a global intangible low‑taxed income ("GILTI") tax, additional limitations on the deductibility of interest expense and repeal of the domestic manufacturing deduction. In the period ended December 31, 2017, we recorded a provisional net tax benefit associated with the Tax Act and related matters of $189 million . The provisional amounts recorded in 2017 related to the transition tax, remeasurement of deferred taxes, our reassessment of permanently reinvested earnings, valuation allowances, and actions taken in anticipation of the Tax Act were finalized and a net expense of $23 million was recorded during 2018. Although we have completed our accounting on the effect of the Tax Act in our financial statements, regulatory guidance continues to be issued by the tax authorities. Any changes in the interpretation of the Tax Act as a result of such future regulatory guidance, which could materially affect our tax obligations and effective tax rate, will be recorded in the period that current or future proposed regulations become law. Our provisions (benefit) for income taxes and our cash taxes paid are as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Current: Domestic $ (1,564 ) $ 13,390 $ (6,899 ) Foreign 16,146 37,381 25,561 Total current 14,582 50,771 18,662 Deferred: Domestic (22,905 ) (213,200 ) (8,617 ) Foreign 34,817 (21,813 ) 8,715 Total deferred 11,912 (235,013 ) 98 Total provision (benefit) for income taxes $ 26,494 $ (184,242 ) $ 18,760 Cash taxes paid $ 29,737 $ 43,347 $ 75,819 |
Schedule of Income before Income Tax, Domestic and Foreign | The components of income (loss) before income taxes are as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Domestic $ (132,138 ) $ (93,053 ) $ (180,132 ) Foreign (53,695 ) 75,209 223,478 Income (loss) before income taxes $ (185,833 ) $ (17,844 ) $ 43,346 |
Schedule of Deferred Tax Assets and Liabilities | As of December 31, 2018 and 2017 , our worldwide deferred tax assets, liabilities and net deferred tax liabilities were as follows: December 31, (in thousands) 2018 2017 Deferred tax assets: Deferred compensation $ 13,684 $ 22,325 Deferred income 2,381 2,015 Accrued expenses 13,683 11,652 Net operating loss and other carryforwards 189,644 222,065 Other 4,601 2,203 Gross deferred tax assets 223,993 260,260 Valuation allowances (203,040 ) (206,586 ) Total deferred tax assets $ 20,953 $ 53,674 Deferred tax liabilities: Property and equipment $ 36,850 $ 65,366 Basis difference in equity investments 2,346 5,715 Total deferred tax liabilities $ 39,196 $ 71,081 Net deferred income tax liability $ 18,243 $ 17,407 Our net deferred tax liability is reflected within our balance sheet as follows: December 31, (in thousands) 2018 2017 Deferred tax liabilities $ 18,243 $ 42,040 Long-term deferred tax assets — (24,633 ) Net deferred income tax liability $ 18,243 $ 17,407 |
Schedule of Unrecognized Tax Benefits Roll Forward | e recognize the benefit for a tax position if the benefit is more likely than not to be sustainable upon audit by the applicable taxing authority. If this threshold is met, the tax benefit is then measured and recognized at the largest amount that we believe is greater than 50% likely of being realized upon ultimate settlement. We account for any applicable interest and penalties on uncertain tax positions as a component of our provision for income taxes on our financial statements. We increased/(decreased) income tax expense by $1.7 million and $0.6 million in 2018 and 2017 , respectively, for penalties and interest on uncertain tax positions, which brought our total liabilities for penalties and interest on uncertain tax positions to $4.3 million and $2.6 million on our balance sheets at December 31, 2018 and 2017 , respectively. All additions or reductions to those liabilities would affect our effective income tax rate in the periods of change. A reconciliation of the beginning and ending amount of gross uncertain tax positions, not including associated foreign tax credits and penalties and interest, is as follows: Year Ended December 31, (in thousands) 2018 2017 2016 Balance at beginning of year $ 5,339 $ 6,330 $ 5,245 Additions based on tax positions related to the current year 445 1,213 1,999 Reductions for expiration of statutes of limitations (260 ) (650 ) (1,028 ) Additions (reductions) based on tax positions related to prior years 10,540 314 114 Reductions based on tax positions related to prior years — (962 ) — Settlements (1,093 ) (906 ) — Balance at end of year $ 14,971 $ 5,339 $ 6,330 We believe approximately $8.3 million of gross uncertain tax positions will be resolved within the next 12 months. Including associated foreign tax credits and penalties and interest, we have accrued a net total of $18 million and $5.6 million in the caption "other long-term liabilities" on our balance sheet at December 31, 2018 and 2017 , respectively, for uncertain tax positions. |
Summary of Income Tax Examinations | Our tax returns are subject to audit by taxing authorities in multiple jurisdictions. These audits often take years to complete and settle. The following lists the earliest tax years open to examination by tax authorities where we have significant operations: Jurisdiction Periods United States 2014 United Kingdom 2015 Norway 2007 Angola 2013 Brazil 2012 Australia 2013 |
Selected Income Statement Inf_2
Selected Income Statement Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Selected Income Statement Information [Abstract] | |
Revenue from External Customers by Products and Services [Table Text Block] | The following table presents Revenue disaggregated by business segment, geographical region, and timing of transfer of goods or services. Year Ended December 31, (in thousands) 2018 2017 2016 Business Segment: Energy Services and Products Remotely Operated Vehicles $ 394,801 $ 393,655 $ 522,121 Subsea Products 515,000 625,513 692,030 Subsea Projects 329,163 291,993 472,979 Asset Integrity 253,886 236,778 275,397 Total Energy Services and Products 1,492,850 1,547,939 1,962,527 Advanced Technologies 416,632 373,568 309,076 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 The following schedule shows our revenue, costs and gross margins by services and products: Year Ended December 31, (in thousands) 2018 2017 2016 Revenue: Services $ 1,245,927 $ 1,181,229 $ 1,509,786 Products 663,555 740,278 761,817 Total revenue 1,909,482 1,921,507 2,271,603 Cost of Services and Products: Services 1,135,084 1,040,817 1,330,218 Products 578,212 625,843 615,438 Unallocated expenses 66,960 60,237 46,720 Total cost of services and products 1,780,256 1,726,897 1,992,376 Gross margin: Services 110,843 140,412 179,568 Products 85,343 114,435 146,379 Unallocated expenses (66,960 ) (60,237 ) (46,720 ) Total gross margin $ 129,226 $ 194,610 $ 279,227 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Long-term Debt consisted of the following: December 31, (in thousands) 2018 2017 4.650% Senior Notes due 2024: $ 500,000 $ 500,000 6.000% Senior Notes due 2028: 300,000,000 300,000 — Term Loan Facility — 300,000 Fair value of interest rate swaps on $200 million of principal (5,600 ) (2,990 ) Unamortized debt issuance costs (7,820 ) (4,698 ) Revolving Credit Facility — — Long-term Debt $ 786,580 $ 792,312 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Operating Leases of Lessee Disclosure | At December 31, 2018 , we occupied several facilities under noncancellable operating leases expiring at various dates through 2035 . Future minimum rentals under all of our operating leases, including vessel rentals, are as follows: (in thousands) 2019 $ 35,064 2020 32,216 2021 29,014 2022 28,213 2023 27,083 Thereafter 236,161 Total Lease Commitments $ 387,751 |
Operations by Business Segmen_2
Operations by Business Segment and Geographic Area (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting, Measurement Disclosures [Abstract] | |
Financial Data By Business Segment | The table that follows presents Revenue, Income from Operations and Depreciation and Amortization Expense by business segment: Year Ended December 31, (in thousands) 2018 2017 2016 Revenue Energy Services and Products Remotely Operated Vehicles $ 394,801 $ 393,655 $ 522,121 Subsea Products 515,000 625,513 692,030 Subsea Projects 329,163 291,993 472,979 Asset Integrity 253,886 236,778 275,397 Total Energy Services and Products 1,492,850 1,547,939 1,962,527 Advanced Technologies 416,632 373,568 309,076 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 Income (Loss) from Operations Energy Services and Products Remotely Operated Vehicles $ 1,641 $ 22,366 $ 25,193 Subsea Products 5,614 45,539 75,938 Subsea Projects (86,008 ) 10,279 34,476 Asset Integrity 8,660 11,231 7,551 Total Energy Services and Products (70,093 ) 89,415 143,158 Advanced Technologies 33,920 22,039 11,809 Unallocated Expenses (109,309 ) (100,798 ) (84,203 ) Total $ (145,482 ) $ 10,656 $ 70,764 Depreciation and Amortization Expense Energy Services and Products Remotely Operated Vehicles $ 111,311 $ 113,979 $ 140,967 Subsea Products 53,085 52,561 53,759 Subsea Projects 114,481 31,869 34,042 Asset Integrity 6,904 7,715 14,336 Total Energy Services and Products 285,781 206,124 243,104 Advanced Technologies 3,081 3,171 3,120 Unallocated Expenses 4,728 4,224 4,023 Total $ 293,590 $ 213,519 $ 250,247 |
Reconciliation of Assets from Segment to Consolidated | The following table presents Assets, Property and Equipment and Goodwill by business segment as of the dates indicated: December 31, (in thousands) 2018 2017 Assets Energy Services and Products Remotely Operated Vehicles $ 612,983 $ 650,832 Subsea Products 723,774 788,586 Subsea Projects 611,476 626,791 Asset Integrity 241,693 268,055 Total Energy Services and Products 2,189,926 2,334,264 Advanced Technologies 168,302 129,185 Corporate and Other 466,770 560,501 Total $ 2,824,998 $ 3,023,950 Property and Equipment, net Energy Services and Products Remotely Operated Vehicles $ 353,139 $ 420,088 Subsea Products 295,297 329,486 Subsea Projects 274,518 272,649 Asset Integrity 20,556 19,445 Total Energy Services and Products 943,510 1,041,668 Advanced Technologies 11,229 10,850 Corporate and Other 9,931 11,686 Total $ 964,670 $ 1,064,204 Goodwill Energy Services and Products Remotely Operated Vehicles $ 24,396 $ 24,777 Subsea Products 99,744 103,128 Subsea Projects 123,624 155,292 Asset Integrity 143,515 150,560 Total Energy Services and Products 391,279 433,757 Advanced Technologies 21,842 21,842 Total $ 413,121 $ 455,599 All assets specifically identified with a particular business segment have been segregated. Cash and cash equivalents, certain other current assets, certain investments and certain other assets have not been allocated to particular business segments and are included in Corporate and Other. |
Reconciliation of Other Significant Reconciling Items from Segments to Consolidated | The following table presents Capital Expenditures, including business acquisitions, by business segment for the periods indicated: Year Ended December 31, (in thousands) 2018 2017 2016 Capital Expenditures Energy Services and Products Remotely Operated Vehicles $ 45,732 $ 40,425 $ 50,339 Subsea Products 25,149 27,711 56,669 Subsea Projects 99,701 29,544 25,602 Asset Integrity 2,874 3,651 3,910 Total Energy Services and Products 173,456 101,331 136,520 Advanced Technologies 3,550 2,063 2,742 Corporate and Other 1,033 1,564 3,251 Total $ 178,038 $ 104,958 $ 142,513 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | The following tables summarize certain financial data by geographic area: Year Ended December 31, (in thousands) 2018 2017 2016 Revenue Foreign: Africa $ 239,959 $ 256,198 $ 486,615 United Kingdom 203,391 236,177 304,635 Norway 185,552 178,712 166,180 Asia and Australia 163,843 193,865 196,679 Brazil 64,004 42,607 73,280 Other 103,548 81,364 66,870 Total Foreign 960,297 988,923 1,294,259 United States 949,185 932,584 977,344 Total $ 1,909,482 $ 1,921,507 $ 2,271,603 |
Employee Benefit Plans and Sh_2
Employee Benefit Plans and Shareholder Rights Plan (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Employee Benefit Plans and Shareholder Rights Plan [Abstract] | |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | The following is a summary of our restricted stock and restricted stock unit activity for 2018 , 2017 and 2016 : Number Weighted Average Fair Value Aggregate Intrinsic Value Balance at December 31, 2015 831,291 60.49 Granted 587,953 27.90 Issued (278,572 ) 61.48 $ 7,866,000 Forfeited (88,665 ) 43.03 Balance at December 31, 2016 1,052,007 43.48 Granted 489,514 26.70 Issued (277,968 ) 61.90 $ 7,038,000 Forfeited (81,748 ) 34.15 Balance at December 31, 2017 1,181,805 32.84 Granted 653,286 18.05 Issued (320,147 ) 47.62 $ 5,993,000 Forfeited (71,047 ) 24.87 Balance at December 31, 2018 1,443,897 23.27 |
Summary Of Major Accounting P_4
Summary Of Major Accounting Policies - Principles of Consolidation And Repurchases (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 12, 2014 |
Schedule of Equity Method Investments [Line Items] | ||
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 10,000,000 | |
Stock Repurchase Program, Total Number of Shares Repurchased To Date | 2,000,000 | |
Stock Repurchase Program, Total Shares Repurchased To Date, Amount | $ 100 | |
Minimum [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Percentage | 50.00% | |
Equity Method Investment, Ownership Interest Threshold For Consolidation, Percentage | 20.00% | |
Maximum [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investment, Ownership Interest Threshold For Consolidation, Percentage | 50.00% |
Summary Of Major Accounting P_5
Summary Of Major Accounting Policies Summary of Major Accounting Policies - Inventory (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Inventory [Line Items] | |||
Inventory Write-down | $ 0 | $ 0 | $ 30,490 |
Subsea Products Member | |||
Inventory [Line Items] | |||
Inventory Write-down | 5,300 | ||
ROVs [Member] | |||
Inventory [Line Items] | |||
Inventory Write-down | $ 25,200 |
Summary Of Major Accounting P_6
Summary Of Major Accounting Policies - Property, Plant and Equipment and Long-Lived Intangible Assets (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Accounting Policies [Abstract] | ||||
Acquired Finite-lived Intangible Asset, Weighted Average Useful Life | 8 years | |||
Property, Plant and Equipment [Line Items] | ||||
Interest Costs, Capitalized, Minimum Construction Period | 3 months | |||
Interest Costs, Capitalized During Period | $ 7.3 | $ 4.6 | $ 3.7 | |
Amortization of Intangible Assets | $ 17.4 | $ 10.2 | $ 10.2 | |
Remotely Operated Vehicles [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, Plant and Equipment, Useful Life, Average | 8 years | |||
Maximum [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Cash and Cash Equivalents, Short-term Investments, Maturity Period | 3 months | |||
Maximum [Member] | Marine Services Equipment [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, Plant and Equipment, Useful Life, Average | 25 years | |||
Maximum [Member] | Building and Building Improvements [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, Plant and Equipment, Useful Life, Average | 25 years | |||
Minimum [Member] | Marine Services Equipment [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, Plant and Equipment, Useful Life, Average | 3 years | |||
Minimum [Member] | Building and Building Improvements [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, Plant and Equipment, Useful Life, Average | 3 years |
Summary Of Major Accounting P_7
Summary Of Major Accounting Policies - Acquisitions (Details) - USD ($) $ in Thousands | Aug. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2017 |
Business Acquisition [Line Items] | |||||
Business Acquisitions, net of cash acquired | $ (68,000) | ||||
Business Acquisition, Percentage of Voting Interests Acquired | 60.00% | ||||
Stockholders' Equity Attributable to Noncontrolling Interest | 6,063 | $ 5,354 | |||
Payments to Acquire Businesses, Net of Cash Acquired | $ (12,400) | $ 68,571 | $ 11,278 | $ 30,121 | |
Variable Interest Entity, Not Primary Beneficiary [Member] | |||||
Business Acquisition [Line Items] | |||||
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 49.00% | ||||
Subsidiaries [Member] | |||||
Business Acquisition [Line Items] | |||||
Advances to Affiliate | $ 6,400 |
Summary of Major Accounting P_8
Summary of Major Accounting Policies - Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Accounting Policies [Abstract] | |||
Goodwill, Impairment Loss | $ 76,449 | $ 0 | $ 0 |
Summary Of Major Accounting P_9
Summary Of Major Accounting Policies - Foreign Currency Translation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Accounting Policies [Abstract] | |||
Foreign Currency Transaction Gain (Loss), before Tax | $ (18) | $ (5.2) | $ (4.8) |
Summary Of Major Accounting _10
Summary Of Major Accounting Policies Summary Of Major Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2018 | |
Accounting Policies [Abstract] | ||||
Accounts receivable, billed | $ 476,903 | $ 312,940 | ||
Effect of change, accounts receivable | (163,963) | |||
Revenues | $ 1,909,482 | 1,921,507 | $ 2,271,603 | |
Cost of Goods and Services Sold | 1,780,256 | 1,726,897 | 1,992,376 | |
Income Tax Expense (Benefit) | 26,494 | (184,242) | 18,760 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | (212,327) | 166,398 | $ 24,586 | |
Unbilled Receivables, Current | 0 | |||
Contract assets, current | 256,201 | 171,956 | ||
Effect of change, contract assets | 171,956 | |||
Accounts Receivable, Gross, Current | 625,086 | 476,903 | 484,896 | |
Effect of change, total accounts receivable | 7,993 | |||
Inventory, Net | 194,507 | 215,282 | ||
Effect of change, inventory | (34,187) | |||
Accrued Liabilities, Current | 392,105 | 350,258 | 324,803 | |
Effect of change, total accrued liabilities | (25,455) | |||
Effect of change, accrued liabilities | (63,045) | |||
Accrued liabilities, (excl deferred revenue) adjusted | 287,213 | |||
Deferred Revenue | 37,590 | |||
Effect of change, deferred revenue | 37,590 | |||
Liabilities, Other than Long-term Debt, Noncurrent | 128,379 | |||
Effect of change, other long -term liabilities | (202) | |||
Retained Earnings (Accumulated Deficit) | $ 2,204,548 | $ 2,417,412 | 2,416,875 | |
Effect of change, retained earnings | $ (537) |
Summary Of Major Accounting _11
Summary Of Major Accounting Policies Summary of Major Accounting Policies - Dispositions (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Dispositions [Abstract] | |
Proceeds from sale of assets | $ 15.1 |
Gain (Loss) on Sale of Assets and Asset Impairment Charges | $ 9.3 |
Revenue Business Segment (Detai
Revenue Business Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disaggregation of Revenue [Line Items] | |||
Revenues | $ 1,909,482 | $ 1,921,507 | $ 2,271,603 |
Rovs Member | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 394,801 | 393,655 | 522,121 |
Subsea Products Member | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 515,000 | 625,513 | 692,030 |
Subsea Projects Member | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 329,163 | 291,993 | 472,979 |
Inspection Member | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 253,886 | 236,778 | 275,397 |
Oil And Gas [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | 1,492,850 | 1,547,939 | 1,962,527 |
Advanced Technologies Member | |||
Disaggregation of Revenue [Line Items] | |||
Revenues | $ 416,632 | $ 373,568 | $ 309,076 |
Revenue Geographic areas (Detai
Revenue Geographic areas (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenue by Geographic Area [Line Items] | |||
Revenues | $ 1,909,482 | $ 1,921,507 | $ 2,271,603 |
Africa [Member] | |||
Revenue by Geographic Area [Line Items] | |||
Revenues | 239,959 | 256,198 | 486,615 |
UNITED KINGDOM | |||
Revenue by Geographic Area [Line Items] | |||
Revenues | 203,391 | 236,177 | 304,635 |
NORWAY | |||
Revenue by Geographic Area [Line Items] | |||
Revenues | 185,552 | 178,712 | 166,180 |
Asia Pacific [Member] | |||
Revenue by Geographic Area [Line Items] | |||
Revenues | 163,843 | 193,865 | 196,679 |
BRAZIL | |||
Revenue by Geographic Area [Line Items] | |||
Revenues | 64,004 | 42,607 | 73,280 |
Segment, Geographical, Groups of Countries, Group Three [Member] | |||
Revenue by Geographic Area [Line Items] | |||
Revenues | 103,548 | 81,364 | 66,870 |
Segment, Geographical, Groups of Countries, Foreign [Member] | |||
Revenue by Geographic Area [Line Items] | |||
Revenues | 960,297 | 988,923 | 1,294,259 |
UNITED STATES | |||
Revenue by Geographic Area [Line Items] | |||
Revenues | $ 949,185 | $ 932,584 | $ 977,344 |
Revenue Timing of Transfer of G
Revenue Timing of Transfer of Goods or Services (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenue [Abstract] | |||
Revenue over time | $ 1,762,103 | ||
Revenue at a point in time | 147,379 | ||
Revenues | $ 1,909,482 | $ 1,921,507 | $ 2,271,603 |
Revenue Contract Assets and Con
Revenue Contract Assets and Contract Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2018 | |
Revenue [Abstract] | ||||
Increase (decrease) in contract assets, current | $ 84,000 | |||
Revenues | 1,909,482 | $ 1,921,507 | $ 2,271,603 | |
Billing for the reporting period | (1,800,000) | |||
Contract assets, current | 256,201 | $ 171,956 | ||
Contract with Customer, Liability | 85,172 | $ 0 | $ 37,590 | |
increase or decrease in contract liability balance, current | 48,000 | |||
Revenue recognized but unbilled | 77,000 | |||
Revenue Recognition, Milestone Method, Revenue Recognized | (29,000) | |||
Costs to fulfill a contract | 13,300 | |||
Amortization of costs to fulfill a contract | $ 6,500 |
Revenue Performance Obligations
Revenue Performance Obligations (Details) $ in Millions | Dec. 31, 2018USD ($) |
Revenue [Abstract] | |
Revenue, Remaining Performance Obligation | $ 292 |
Revenue Recognition for Remaining Performance Obligations | $ 229 |
Selected Balance Sheet Inform_3
Selected Balance Sheet Information (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Schedule of Equity Method Investments [Line Items] | |||
Investments and Other Noncurrent Assets | $ 0 | $ 68,280 | |
Accrued Liabilities, Current | 392,105 | $ 324,803 | 350,258 |
Equity Method Investments | $ 39,333 | $ 49,094 |
Selected Balance Sheet Inform_4
Selected Balance Sheet Information (Details 2) - USD ($) $ in Thousands | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Schedule of Equity Method Investments [Line Items] | |||
Inventory for remotely operated vehicles | $ 108,939 | $ 97,313 | |
Inventory, Work in Process and Raw Materials | 85,568 | 117,969 | |
Inventory | 194,507 | 215,282 | |
Prepaid Expense, Current | 60,858 | 64,901 | |
Available-for-sale Securities, Current | 10,179 | 0 | |
Other current assets | 71,037 | 64,901 | |
Intangible Assets, Net (Excluding Goodwill) | 79,995 | 85,293 | |
Investments and Other Noncurrent Assets | 0 | 68,280 | |
Cash surrender value of life insurance policies | 51,131 | 54,987 | |
Equity Method Investments | 39,333 | 49,094 | |
Deferred Income Tax Assets, Net | 0 | 24,633 | |
Other | 31,859 | 34,458 | |
Other non-current assets | 202,318 | 316,745 | |
Payroll and related costs | 114,676 | 101,989 | |
Accrued job costs | 62,281 | 58,823 | |
Deferred revenue, including billings in excess of revenue recognized | 85,172 | 63,040 | |
Accrued Income Taxes, Current | 34,954 | 30,589 | |
Other | 95,022 | 95,817 | |
Accrued Liabilities, Current | 392,105 | $ 324,803 | 350,258 |
Deferred Tax Liabilities, Gross, Noncurrent | 18,243 | 42,040 | |
Supplemental Executive Retirement Plan | 42,992 | 45,037 | |
Long-Term Incentive Plan | 8,076 | 4,348 | |
Accrued post-employment benefit obligations | 3,239 | 3,352 | |
Uncertain tax positions at end of year | 17,903 | 5,566 | |
Deferred Tax Liabilities, Noncurrent - Tax Act transition tax | 7,813 | 0 | |
Other | $ 30,113 | 30,980 | |
Accounts Payable and Accrued Liabilities, Noncurrent | $ 131,323 |
Income Taxes - Provisions for I
Income Taxes - Provisions for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
Other Tax Expense (Benefit) | $ 23,000 | $ 189,000 | |
Current: | |||
Domestic | (1,564) | 13,390 | $ (6,899) |
Foreign | 16,146 | 37,381 | 25,561 |
Total current | 14,582 | 50,771 | 18,662 |
Deferred: | |||
Domestic | (22,905) | (213,200) | (8,617) |
Foreign | 34,817 | (21,813) | 8,715 |
Total deferred | 11,912 | (235,013) | 98 |
Income Tax Expense (Benefit) | 26,494 | (184,242) | 18,760 |
Cash taxes paid | $ 29,737 | $ 43,347 | $ 75,819 |
Income Taxes - Income Before In
Income Taxes - Income Before Income Tax, Domestic and Foreign (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
Domestic | $ (132,138) | $ (93,053) | $ (180,132) |
Foreign | (53,695) | 75,209 | 223,478 |
Income before Income Taxes | $ (185,833) | $ (17,844) | $ 43,346 |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating Loss Carryforwards [Line Items] | |||
Operating Loss Carryforwards | $ 0 | ||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 1,700 | $ 600 | |
Deferred Tax Assets, Gross, Noncurrent | 0 | (24,633) | |
Deferred tax assets: | |||
Deferred compensation | 13,684 | 22,325 | |
Deferred income | 2,381 | 2,015 | |
Accrued expenses | 13,683 | 11,652 | |
Deferred Tax Assets, Operating Loss Carryforwards | 189,644 | 222,065 | |
Other | 4,601 | 2,203 | |
Gross deferred tax assets | 223,993 | 260,260 | |
Valuation allowance | (203,040) | (206,586) | $ (4,200) |
Total deferred tax assets | 20,953 | 53,674 | |
Deferred tax liabilities: | |||
Property and equipment | 36,850 | 65,366 | |
Basis difference in equity investments | 2,346 | 5,715 | |
Deferred Tax Liabilities, Gross | 39,196 | 71,081 | |
Deferred Tax Assets (Liabilities), Net [Abstract] | |||
Deferred Tax Liabilities, Gross, Noncurrent | 18,243 | 42,040 | |
Deferred Tax Assets, Gross, Noncurrent | 0 | (24,633) | |
Total deferred tax liabilities | $ 18,243 | $ 17,407 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Tax Credit Carryforward [Line Items] | |||
Income Tax Expense (Benefit) | $ 26,494 | $ (184,242) | $ 18,760 |
Deferred Tax Assets, Operating Loss Carryforwards | 189,644 | 222,065 | |
Deferred Tax Assets, Valuation Allowance | 203,040 | 206,586 | 4,200 |
Unrecognized Tax Benefits, Decreases Resulting from Prior Period Tax Positions | 0 | (962) | $ 0 |
Unrecognized Tax Benefits, Probability Threshold of Realizing for Tax Benefits Recognition, Minimum Percentage | 50.00% | ||
Penalties and interest expense relating to uncertain tax positions | 1,700 | 600 | |
Liabilities for penalties and interest on uncertain tax | 4,300 | $ 2,600 | |
Operating Loss Carryforwards | 0 | ||
Operating Loss Carryforwards, Valuation Allowance | 203,000 | ||
Foreign Tax Authority [Member] | |||
Tax Credit Carryforward [Line Items] | |||
Operating Loss Carryforwards | 781,000 | ||
Unclassified Indefinite-lived Intangible Assets [Member] | Foreign Tax Authority [Member] | |||
Tax Credit Carryforward [Line Items] | |||
Operating Loss Carryforwards | 711,000 | ||
Finite-Lived Intangible Assets [Member] | Foreign Tax Authority [Member] | |||
Tax Credit Carryforward [Line Items] | |||
Operating Loss Carryforwards | $ 70,000 |
Income Taxes - Summary of Unrec
Income Taxes - Summary of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Reconciliation of Unrecognized Tax Benefits [Roll Forward] | |||
Beginning of year | $ 5,339 | $ 6,330 | $ 5,245 |
Additions based on tax positions related to the current year | 445 | 1,213 | 1,999 |
Reductions for explration statutes of limitations | (260) | (650) | (1,028) |
Unrecognized Tax Benefits, Increases Resulting from Prior Period Tax Positions | 10,540 | 314 | 114 |
Unrecognized Tax Benefits, Decreases Resulting from Prior Period Tax Positions | 0 | (962) | 0 |
Settlements | (1,093) | (906) | 0 |
Balance at end of year | $ 14,971 | $ 5,339 | $ 6,330 |
Income Taxes - Summary Of Earli
Income Taxes - Summary Of Earliest Tax Years Open To Examination (Details) | 12 Months Ended |
Dec. 31, 2018 | |
United States [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2,014 |
United Kingdom [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2,015 |
Norway [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2,007 |
Angola Member | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2,013 |
Brazil [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2,012 |
Australia [Member] | |
Income Tax Examination [Line Items] | |
Earliest tax years open to examination by tax authorities | 2,013 |
Income Taxes Income Taxes - Inc
Income Taxes Income Taxes - Income Tax Reconciliation (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating Loss Carryforwards [Line Items] | |||
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount | $ (39,025,000) | $ (6,245,000) | $ 15,171,000 |
Effective Income Tax Rate Reconciliation, Deduction, Extraterritorial Income Exclusion, Amount | 0 | (222,019,000) | 0 |
Effective Income Tax Rate Reconciliation, Repatriation Tax | 8,790,000 | 0 | 0 |
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Percent | 0 | (23,124,000) | 0 |
Valuation Allowances and Reserves, Additions for Charges to Other Accounts | 38,415,000 | 89,217,000 | 4,200,000 |
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Amount | 475,000 | (21,163,000) | (1,766,000) |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Share-based Compensation Cost, Amount | 2,135,000 | 3,112,000 | 0 |
Effective Income Tax Rate Reconciliation, Uncertain Tax Position | 12,644,000 | (836,000) | 680,000 |
Effective Income Tax Rate Reconciliation, Other Adjustments, Amount | 3,060,000 | (3,184,000) | 475,000 |
Income Tax Expense (Benefit) | $ 26,494,000 | $ (184,242,000) | $ 18,760,000 |
Income Taxes Income Taxes - Rec
Income Taxes Income Taxes - Reconciliation of Uncertain Tax Positions (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure - Uncertain Tax Positions [Abstract] | ||||
Valuation Allowances and Reserves, Balance | $ (206,586) | $ (4,200) | $ 0 | |
Tax Credit Carryforward [Line Items] | ||||
Uncertain tax positions - next 12 months | $ 8,300 | |||
Valuation Allowances and Reserves, Deductions | 56,026 | 0 | 0 | |
Valuation Allowances and Reserves, Additions for Adjustments | (14,065) | (56,026) | 0 | |
Valuation Allowances and Reserves, Period Increase (Decrease) | (38,415) | (146,360) | (4,200) | |
Uncertain tax positions at end of year | 17,903 | 5,566 | ||
Deferred Tax Assets, Valuation Allowance | $ (203,040) | $ (206,586) | $ (4,200) |
Selected Income Statement Inf_3
Selected Income Statement Information Selected Income Statement Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenue: | |||
Services | $ 1,245,927 | $ 1,181,229 | $ 1,509,786 |
Products | 663,555 | 740,278 | 761,817 |
Total revenue | 1,909,482 | 1,921,507 | 2,271,603 |
Cost of Services and Products: | |||
Services | 1,135,084 | 1,040,817 | 1,330,218 |
Products | 578,212 | 625,843 | 615,438 |
Unallocated expenses | 66,960 | 60,237 | 46,720 |
Total cost of services and products | 1,780,256 | 1,726,897 | 1,992,376 |
Gross margin: | |||
Services | 110,843 | 140,412 | 179,568 |
Products | 85,343 | 114,435 | 146,379 |
Unallocated expenses | (66,960) | (60,237) | (46,720) |
Gross Margin | $ 129,226 | $ 194,610 | $ 279,227 |
Debt - Long-Term Debt (Details)
Debt - Long-Term Debt (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Feb. 16, 2018 | Dec. 31, 2017 | Nov. 21, 2014 |
Debt Instrument [Line Items] | ||||
4.650% Senior Notes due 2024 | $ 500,000 | $ 300,000 | $ 500,000 | $ 500,000 |
Senior Notes 2028 | 300,000 | 0 | ||
Unamortized Debt Issuance Expense | (7,820) | (4,698) | ||
Fair Value Hedge Liabilities | (5,600) | (2,990) | ||
Term Loan Facility | 0 | 300,000 | ||
Revolving credit facility | 0 | 0 | ||
Long-term Debt | $ 786,580 | $ 792,312 | ||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 6.00% | 4.65% |
Debt - Line of Credit (Details)
Debt - Line of Credit (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 25, 2023 | Oct. 25, 2021 | Oct. 27, 2014 | |
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Available Additional Borrowing Capacity | $ 300 | |||||
Interest Paid | 37.5 | $ 32.4 | $ 29.2 | |||
Payments of Debt Issuance Costs | 6.9 | $ 4.2 | ||||
Payments of Financing Costs | $ 2.6 | |||||
Minimum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.125% | |||||
Maximum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.30% | |||||
Credit Agreement [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 450 | $ 500 | $ 500 | |||
Credit Agreement [Member] | Adjusted Base Rate Advances [Member] | Adjusted Base Rate [Member] | Federal Funds Rate [Member] | Minimum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Basis Spread on Variable Rate | 0.50% | |||||
Credit Agreement [Member] | Adjusted Base Rate Advances [Member] | Adjusted Base Rate [Member] | Eurodollar Rate [Member] | Minimum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Basis Spread on Variable Rate | 1.00% | |||||
Credit Agreement [Member] | Adjusted Base Rate Advances [Member] | Applicable Margin [Member] | Minimum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Basis Spread on Variable Rate | 0.125% | |||||
Credit Agreement [Member] | Adjusted Base Rate Advances [Member] | Applicable Margin [Member] | Maximum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Basis Spread on Variable Rate | 0.75% | |||||
Credit Agreement [Member] | Eurodollar Advances [Member] | Applicable Margin [Member] | Minimum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Basis Spread on Variable Rate | 1.125% | |||||
Letter of Credit [Member] | Eurodollar Advances [Member] | Applicable Margin [Member] | Maximum [Member] | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of Credit Facility, Basis Spread on Variable Rate | 1.75% |
Debt Term Loan (Details)
Debt Term Loan (Details) - USD ($) $ in Thousands | Jan. 25, 2023 | Oct. 25, 2021 | Dec. 31, 2018 | Dec. 31, 2017 | Oct. 27, 2014 |
Debt Instrument [Line Items] | |||||
Loans Payable to Bank | $ 0 | $ 300,000 | |||
Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 450,000 | $ 500,000 | $ 500,000 | ||
Applicable Margin [Member] | Minimum [Member] | Adjusted Base Rate Advances [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Basis Spread on Variable Rate | 0.125% | ||||
Applicable Margin [Member] | Minimum [Member] | Eurodollar Advances [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Basis Spread on Variable Rate | 1.125% | ||||
Applicable Margin [Member] | Maximum [Member] | Adjusted Base Rate Advances [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Line of Credit Facility, Basis Spread on Variable Rate | 0.75% |
Commitments and Contingencies -
Commitments and Contingencies - Future Lease Payments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating Leased Assets [Line Items] | |||
2,016 | $ 35,064 | ||
2,017 | 32,216 | ||
2,018 | 29,014 | ||
2,019 | 28,213 | ||
2,020 | 27,083 | ||
Thereafter | 236,161 | ||
Total Lease Commitments | 387,751 | ||
Operating Leases, Rent Expense, Net | $ 101,000 | $ 97,000 | $ 205,000 |
Commitments And Contingencies_2
Commitments And Contingencies - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2018 | Dec. 31, 2015 | |
Loss Contingencies [Line Items] | |||||
Notes Payable, Fair Value Disclosure | $ 625,000 | ||||
Letters of Credit Outstanding, Amount | 55,000 | $ 67,000 | |||
Accounts receivable, overdue | 625,086 | 476,903 | $ 484,896 | ||
Other Nonoperating Income (Expense) | (8,788) | (6,055) | $ (6,244) | ||
Cash repatriated | 74,000 | ||||
Cash and Cash Equivalents, at Carrying Value | 354,259 | 430,316 | 450,193 | $ 385,235 | |
Investments and Other Noncurrent Assets | 0 | 68,280 | |||
Derivative, Amount of Hedged Item | 200,000 | ||||
Fair Value Hedge Liabilities | (5,600) | (2,990) | |||
Proceeds from Sale of Available-for-sale Securities, Debt | (69,789) | 0 | 0 | ||
Payments to Acquire Available-for-sale Securities | 10,236 | 10,777 | 39,130 | ||
Available-for-sale Securities, Debt Securities | 10,000 | ||||
Available-for-sale Securities, Current | 10,179 | 0 | |||
Other Income [Member] | |||||
Loss Contingencies [Line Items] | |||||
Other Nonoperating Income (Expense) | (19,000) | (100) | $ (7,300) | ||
Angola, Kwanza | |||||
Loss Contingencies [Line Items] | |||||
Cash and Cash Equivalents, at Carrying Value | 9,309 | $ 26,922 | |||
Other Noncurrent Liabilities [Member] | |||||
Loss Contingencies [Line Items] | |||||
Fair Value Hedge Liabilities | $ 5,600 |
Operations by Business Segmen_3
Operations by Business Segment and Geographic Area - Narrative (Details) $ in Millions | 12 Months Ended | |||
Dec. 31, 2018USD ($) | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | ||||
Impairment of Intangible Assets (Excluding Goodwill) | $ 7.6 | |||
Segment Reporting, Disclosure of Major Customers | 0.09643767263 | 0.1157121421 | 0.1829900471 | |
Sales [Member] | Customer Concentration Risk [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Major Customer Above Benchmark Threshold, Number | 1 | 1 | 1 |
Operations by Business Segmen_4
Operations by Business Segment and Geographic Area - Financial Data By Business Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Goodwill, Impairment Loss | $ 76,449 | $ 0 | $ 0 |
Revenue | 1,909,482 | 1,921,507 | 2,271,603 |
Income from Operations | (145,482) | 10,656 | 70,764 |
Depreciation, Depletion and Amortization, Nonproduction | 293,590 | 213,519 | 250,247 |
Restructuring Charges | 11,600 | ||
Oil And Gas [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 1,492,850 | 1,547,939 | 1,962,527 |
Income from Operations | (70,093) | 89,415 | 143,158 |
Depreciation, Depletion and Amortization, Nonproduction | 285,781 | 206,124 | 243,104 |
ROVs [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 394,801 | 393,655 | 522,121 |
Income from Operations | 1,641 | 22,366 | 25,193 |
Depreciation, Depletion and Amortization, Nonproduction | 111,311 | 113,979 | 140,967 |
Subsea Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 515,000 | 625,513 | 692,030 |
Income from Operations | 5,614 | 45,539 | 75,938 |
Depreciation, Depletion and Amortization, Nonproduction | 53,085 | 52,561 | 53,759 |
Subsea Projects [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 329,163 | 291,993 | 472,979 |
Income from Operations | (86,008) | 10,279 | 34,476 |
Depreciation, Depletion and Amortization, Nonproduction | 114,481 | 31,869 | 34,042 |
Asset Integrity [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 253,886 | 236,778 | 275,397 |
Income from Operations | 8,660 | 11,231 | 7,551 |
Depreciation, Depletion and Amortization, Nonproduction | 6,904 | 7,715 | 14,336 |
Advanced Technologies [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 416,632 | 373,568 | 309,076 |
Income from Operations | 33,920 | 22,039 | 11,809 |
Depreciation, Depletion and Amortization, Nonproduction | 3,081 | 3,171 | 3,120 |
Unallocated Expenses [Member] | |||
Segment Reporting Information [Line Items] | |||
Income from Operations | (109,309) | (100,798) | (84,203) |
Depreciation, Depletion and Amortization, Nonproduction | $ 4,728 | $ 4,224 | $ 4,023 |
Operations by Business Segmen_5
Operations by Business Segment and Geographic Area Operations by Business Segment and Geographic Areas - Schedule of Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | $ 2,824,998 | $ 3,023,950 |
Property, Plant and Equipment, Net | 964,670 | 1,064,204 |
Goodwill | 413,121 | 455,599 |
Oil And Gas [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 2,189,926 | 2,334,264 |
Property, Plant and Equipment, Net | 943,510 | 1,041,668 |
Goodwill | 391,279 | 433,757 |
ROVs [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 612,983 | 650,832 |
Property, Plant and Equipment, Net | 353,139 | 420,088 |
Goodwill | 24,396 | 24,777 |
Subsea Products [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 723,774 | 788,586 |
Property, Plant and Equipment, Net | 295,297 | 329,486 |
Goodwill | 99,744 | 103,128 |
Subsea Projects [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 611,476 | 626,791 |
Property, Plant and Equipment, Net | 274,518 | 272,649 |
Goodwill | 123,624 | 155,292 |
Asset Integrity [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 241,693 | 268,055 |
Property, Plant and Equipment, Net | 20,556 | 19,445 |
Goodwill | 143,515 | 150,560 |
Advanced Technologies [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 168,302 | 129,185 |
Property, Plant and Equipment, Net | 11,229 | 10,850 |
Goodwill | 21,842 | 21,842 |
Corporate and Other [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 466,770 | 560,501 |
Property, Plant and Equipment, Net | 9,931 | 11,686 |
NORWAY | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Property, Plant and Equipment, Net | 58,042 | 78,279 |
Africa [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Property, Plant and Equipment, Net | 117,877 | 135,345 |
UNITED KINGDOM | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Property, Plant and Equipment, Net | 106,330 | 87,601 |
Asia Pacific [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Property, Plant and Equipment, Net | 48,837 | 50,057 |
BRAZIL | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Property, Plant and Equipment, Net | 51,282 | 50,842 |
Segment, Geographical, Groups of Countries, Group Three [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Property, Plant and Equipment, Net | 21,374 | 25,346 |
Segment, Geographical, Groups of Countries, Foreign [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Property, Plant and Equipment, Net | 403,742 | 427,470 |
UNITED STATES | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Property, Plant and Equipment, Net | $ 560,928 | $ 636,734 |
Operations by Business Segmen_6
Operations by Business Segment and Geographic Area Operations by Business Segment and Geographic Area - Other Significant Reconciling Items (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Property, Plant and Equipment, Additions | $ 178,038 | $ 104,958 | $ 142,513 |
Oil And Gas [Member] | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Property, Plant and Equipment, Additions | 173,456 | 101,331 | 136,520 |
ROVs [Member] | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Property, Plant and Equipment, Additions | 45,732 | 40,425 | 50,339 |
Subsea Products [Member] | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Property, Plant and Equipment, Additions | 25,149 | 27,711 | 56,669 |
Subsea Projects [Member] | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Property, Plant and Equipment, Additions | 99,701 | 29,544 | 25,602 |
Asset Integrity [Member] | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Property, Plant and Equipment, Additions | 2,874 | 3,651 | 3,910 |
Advanced Technologies [Member] | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Property, Plant and Equipment, Additions | 3,550 | 2,063 | 2,742 |
Corporate and Other [Member] | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Property, Plant and Equipment, Additions | $ 1,033 | $ 1,564 | $ 3,251 |
Operations by Business Segmen_7
Operations by Business Segment and Geographic Area - Revenues and Long-Lived Assets by Location (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 1,909,482 | $ 1,921,507 | $ 2,271,603 |
Foreign [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 960,297 | 988,923 | 1,294,259 |
Norway [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 185,552 | 178,712 | 166,180 |
Africa [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 239,959 | 256,198 | 486,615 |
United Kingdom [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 203,391 | 236,177 | 304,635 |
Asia Pacific [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 163,843 | 193,865 | 196,679 |
Brazil [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 64,004 | 42,607 | 73,280 |
Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 103,548 | 81,364 | 66,870 |
United States [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 949,185 | $ 932,584 | $ 977,344 |
Employee Benefit Plans and Sh_3
Employee Benefit Plans and Shareholder Rights Plan - Narrative (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Mar. 31, 2017$ / shares | Mar. 31, 2016$ / shares | Jun. 30, 2018USD ($)$ / shares | Dec. 31, 2018USD ($)$ / units | Dec. 31, 2017USD ($)$ / units | Dec. 31, 2016USD ($)$ / units | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Other Nonoperating Income (Expense) | $ 8,788 | $ 6,055 | $ 6,244 | |||
Payments Related to Tax Withholding for Share-based Compensation | $ 0 | |||||
US 401K Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Defined Contribution Plan, Cost | 17,700 | 17,400 | 20,000 | |||
Foreign Employee Savings Plans [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Defined Contribution Plan, Cost | 10,800 | 9,100 | 12,100 | |||
Supplemental Employee Retirement Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Defined Contribution Plan, Cost | 2,800 | 3,200 | 3,300 | |||
Board of Directors Chairman [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Other Deferred Compensation Arrangements, Liability, Classified, Noncurrent | 3,200 | 3,900 | ||||
Trust Value Threshold for Payout to Company | 4,000 | |||||
Deferred Compensation, Excluding Share-based Payments and Retirement Benefits [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Deferred Compensation Plan Cash Award Annual Expense | $ 3,900 | $ 4,200 | $ (4,200) | |||
Deferred Compensation Plan Cash Award Number of Units | 332,756 | |||||
Deferred Compensation, Excluding Share-based Payments and Retirement Benefits [Member] | Minimum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Deferred Compensation Plan Cash Award Per Unit | $ / units | 0 | 0 | ||||
Deferred Compensation, Excluding Share-based Payments and Retirement Benefits [Member] | Maximum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Deferred Compensation Plan Cash Award Per Unit | $ / units | 200 | 150 | ||||
Restricted Stock [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||||
Restricted Stock [Member] | Board of Directors Chairman [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||||
Restricted Stock Units (RSUs) [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 10,000 | |||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 1 year 7 months 6 days | |||||
Performance Shares [Member] | Minimum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Final Value | $ / shares | $ 0 | $ 0 | $ 0 | |||
Performance Shares [Member] | Maximum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Final Value | $ / shares | $ 150 | $ 150 | $ 200 | |||
Restricted Stock Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Compensation expense | $ 10,000 | $ 10,900 | $ 13,900 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Percentage of Awards Vesting at end of Vesting Period | 85.00% | 80.00% | 65.00% | |||
Stock Compensation Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | $ (2,135) | $ (3,112) | $ (3,004) | |||
Foreign Plan [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Defined Benefit Plan, Benefit Obligation | 21,000 | |||||
Defined Benefit Plan, Fair Value of Plan Assets | $ 22,000 |
Employee Benefit Plans and Sh_4
Employee Benefit Plans and Shareholder Rights Plan - Restricted Stock and Restricted Stock Units Activity (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||
Balance, beginning of year, Number | 1,181,805 | 1,052,007 | 831,291 |
Balance, beginning of year. Weighted Average Date Fair Value | $ 32.84 | $ 43.48 | $ 60.49 |
Granted, Number | 653,286 | 489,514 | 587,953 |
Granted, Weighted Average Fair Value | $ 18.05 | $ 26.70 | $ 27.90 |
Vested, Number | 320,147 | 277,968 | (278,572) |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Vested | $ 5,993,000 | $ 7,038,000 | $ 7,866,000 |
Vested, Weighted Average Fair Value | $ 47.62 | $ 61.90 | $ 61.48 |
Forfeited, Number | 71,047 | 81,748 | (88,665) |
Forfeited, Weighted Average Fair Value | $ 24.87 | $ 34.15 | $ 43.03 |
Balance, end of year, Number | 1,443,897 | 1,181,805 | 1,052,007 |
Balance, end of year. Weighted Average Fair Value | $ 23.27 | $ 32.84 | $ 43.48 |
(Details)
(Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Revenue from Contract with Customer [Abstract] | |||
Accounts receivable, billed | $ 312,940 | $ 476,903 | |
Effect of change, accounts receivable | (163,963) | ||
Unbilled accounts receivable, current, adjusted | 0 | ||
Effect of change, contract assets | 171,956 | ||
Contract assets, current | $ 256,201 | 171,956 | |
Accounts Receivable, Net, Current | 625,086 | 484,896 | 476,903 |
Effect of change, total accounts receivable | 7,993 | ||
Inventory, Net | 194,507 | 215,282 | |
Effect of change, inventory | (34,187) | ||
Inventory, Gross | 181,095 | ||
Accrued Liabilities, Current | 392,105 | 324,803 | 350,258 |
Effect of change, total accrued liabilities | (25,455) | ||
Effect of change, accrued liabilities | (63,045) | ||
Accrued liabilities, (excl deferred revenue) adjusted | 287,213 | ||
Contract with Customer, Liability | 85,172 | 37,590 | 0 |
Effect of change, deferred revenue | 37,590 | ||
Deferred Revenue | 37,590 | ||
Other Long-term Debt, Noncurrent | 131,323 | ||
Effect of change, other long -term liabilities | (202) | ||
Other Long-term Debt | 131,121 | ||
Retained Earnings (Accumulated Deficit) | $ 2,204,548 | 2,416,875 | $ 2,417,412 |
Cumulative Effect on Retained Earnings, Net of Tax | $ (537) |
Uncategorized Items - oii-20181
Label | Element | Value |
Cash and Cash Equivalents, Period Increase (Decrease) | us-gaap_CashAndCashEquivalentsPeriodIncreaseDecrease | $ 64,958,000 |
Treasury Stock, Value, Acquired, Cost Method | us-gaap_TreasuryStockValueAcquiredCostMethod | 0 |
Treasury Stock [Member] | ||
Treasury Stock, Value, Acquired, Cost Method | us-gaap_TreasuryStockValueAcquiredCostMethod | $ 0 |