Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2020 | May 06, 2020 | |
Document And Entity Information | ||
Entity Registrant Name | OVERSEAS SHIPHOLDING GROUP INC | |
Entity Central Index Key | 0000075208 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2020 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business Flag | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 85,979,111 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2020 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Current Assets: | ||
Cash and cash equivalents | $ 81,359 | $ 41,503 |
Restricted cash | 20,060 | 60 |
Voyage receivables, including unbilled of $6,586 and $5,611, net of reserve for doubtful accounts | 7,907 | 9,247 |
Income tax receivable | 5,776 | 1,192 |
Other receivables | 6,108 | 3,037 |
Inventories, prepaid expenses and other current assets | 3,473 | 2,470 |
Total Current Assets | 124,683 | 57,509 |
Vessels and other property, less accumulated depreciation | 823,030 | 737,212 |
Deferred drydock expenditures, net | 23,882 | 23,734 |
Total Vessels, Other Property and Deferred Drydock | 846,912 | 760,946 |
Restricted cash - non current | 88 | 114 |
Investments in and advances to affiliated companies | 3,599 | |
Intangible assets, less accumulated amortization | 30,667 | 31,817 |
Operating lease right-of-use assets | 1,533 | 286,469 |
Other assets | 18,017 | 35,013 |
Total Assets | 1,290,755 | 1,175,467 |
Current Liabilities: | ||
Accounts payable, accrued expenses and other current liabilities | 45,308 | 35,876 |
Current portion of operating lease liabilities | 90,410 | 90,145 |
Current portion of finance lease liabilities | 4,001 | 4,011 |
Current installments of long-term debt | 55,745 | 31,512 |
Total Current Liabilities | 195,464 | 161,544 |
Reserve for uncertain tax positions | 878 | 864 |
Noncurrent operating lease liabilities | 203,000 | 219,501 |
Noncurrent finance lease liabilities | 23,027 | 23,548 |
Long-term debt | 385,856 | 336,535 |
Deferred income taxes, net | 79,066 | 72,833 |
Other liabilities | 36,497 | 19,097 |
Total Liabilities | 923,788 | 833,922 |
Equity: | ||
Common stock - Class A ($0.01 par value; 166,666,666 shares authorized; 85,845,920 and 85,713,610 shares issued and outstanding) | 858 | 857 |
Paid-in additional capital | 590,674 | 590,436 |
Accumulated deficit | (218,214) | (243,339) |
Stockholders Equity Subtotal | 373,318 | 347,954 |
Accumulated other comprehensive loss | (6,351) | (6,409) |
Total Equity | 366,967 | 341,545 |
Total Liabilities and Equity | $ 1,290,755 | $ 1,175,467 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Unbilled contracts receivable | $ 6,586 | $ 5,611 |
Class A common stock, par value | $ 0.01 | $ 0.01 |
Class A common stock, shares authorized | 166,666,666 | 166,666,666 |
Class A common stock, shares issued | 85,845,920 | 85,713,610 |
Class A common stock, shares outstanding | 85,845,920 | 85,713,610 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Shipping Revenues: | ||
Time and bareboat charter revenues | $ 78,150 | $ 63,120 |
Voyage charter revenues | 22,709 | 24,617 |
Total Shipping revenues | 100,859 | 87,737 |
Operating Expenses: | ||
Voyage expenses | 3,786 | 4,984 |
Vessel expenses | 35,769 | 32,446 |
Charter hire expenses | 22,460 | 22,298 |
Depreciation and amortization | 14,019 | 12,478 |
General and administrative | 6,173 | 5,674 |
Loss on disposal of vessels and other property, including impairments, net | 296 | 117 |
Total operating expenses | 82,503 | 77,997 |
Income from vessel operations | 18,356 | 9,740 |
Gain on termination of pre-existing arrangement | 19,172 | |
Operating income | 37,528 | 9,740 |
Other income, net | 31 | 355 |
Income before interest expense and income taxes | 37,559 | 10,095 |
Interest expense | (6,074) | (6,506) |
Income before income taxes | 31,485 | 3,589 |
Income tax expense | (6,360) | (392) |
Net income | $ 25,125 | $ 3,197 |
Weighted Average Number of Common Shares Outstanding: | ||
Basic - Class A | 89,422,311 | 89,004,947 |
Diluted - Class A | 90,388,988 | 89,421,143 |
Per Share Amounts: | ||
Basic and diluted net income - Class A | $ 0.28 | $ 0.04 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Income Statement [Abstract] | ||
Net income | $ 25,125 | $ 3,197 |
Defined benefit pension and other postretirement benefit plans: | ||
Net change in unrecognized prior service costs | (18) | (17) |
Net change in unrecognized actuarial losses | 76 | 100 |
Other comprehensive income | 58 | 83 |
Comprehensive income | $ 25,183 | $ 3,280 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Cash Flows from Operating Activities: | |||
Net income | $ 25,125 | $ 3,197 | |
Items included in net income not affecting cash flows: | |||
Depreciation and amortization | 14,019 | 12,478 | |
Gain on termination of pre-existing arrangement | (19,172) | ||
Loss on disposal of vessels and other property, including impairments, net | 296 | 117 | |
Amortization of debt discount and other deferred financing costs | 533 | 510 | |
Compensation relating to restricted stock awards and stock option grants | 438 | 309 | |
Deferred income tax benefit | 2,135 | 111 | |
Interest on finance lease liabilities | 506 | ||
Non-cash operating lease expense | 22,811 | 22,176 | |
Other - net | 231 | ||
Distributed earnings of affiliated companies | 3,562 | 3,548 | |
Payments for drydocking | (3,327) | (1,342) | |
Operating lease liabilities | (22,969) | (22,407) | |
Changes in operating assets and liabilities, net | 2,162 | (7,809) | |
Net cash provided by operating activities | 26,119 | 11,119 | |
Cash Flows from Investing Activities: | |||
Acquisition, net of cash acquired | (16,973) | ||
Expenditures for vessels and vessel improvements | (20,871) | (10,910) | |
Expenditures for other property | (232) | (588) | |
Net cash used in investing activities | (38,076) | (11,498) | |
Cash Flows from Financing Activities: | |||
Payments on debt | (7,865) | (4,167) | |
Tax withholding on share-based awards | (197) | (294) | |
Issuance of debt, net of issuance and deferred financing costs | 80,886 | ||
Payments on principal portion of finance lease liabilities | (1,037) | ||
Net cash provided by/(used in) financing activities | 71,787 | (4,461) | |
Net increase/(decrease) in cash, cash equivalents and restricted cash | 59,830 | (4,840) | |
Cash, cash equivalents and restricted cash at beginning of period | 41,677 | 80,641 | $ 80,641 |
Cash, cash equivalents and restricted cash at end of period | $ 101,507 | $ 75,801 | $ 41,677 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Changes in Equity (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | [1] | Paid-in Additional Capital [Member] | [2] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Loss [Member] | [3] | Total |
Beginning balance at Dec. 31, 2018 | $ 848 | $ 587,826 | $ (252,014) | $ (7,192) | $ 329,468 | |||
Net income | 3,197 | 3,197 | ||||||
Other comprehensive income | 83 | 83 | ||||||
Forfeitures, cancellations, issuance and vesting of restricted stock awards, net | 5 | (299) | (294) | |||||
Compensation related to Class A options granted and restricted stock awards | 1,559 | 1,559 | ||||||
Ending balance at Mar. 31, 2019 | 853 | 589,086 | (248,817) | (7,109) | 334,013 | |||
Beginning balance at Dec. 31, 2019 | 857 | 590,436 | (243,339) | (6,409) | 341,545 | |||
Net income | 25,125 | 25,125 | ||||||
Other comprehensive income | 58 | 58 | ||||||
Forfeitures, cancellations, issuance and vesting of restricted stock awards, net | 1 | (200) | (199) | |||||
Compensation related to Class A options granted and restricted stock awards | 438 | 438 | ||||||
Ending balance at Mar. 31, 2020 | $ 858 | $ 590,674 | $ (218,214) | $ (6,351) | $ 366,967 | |||
[1] | Par value $0.01 per share; 166,666,666 Class A shares authorized; 85,845,920 and 85,292,751 Class A shares outstanding as of March 31, 2020 and 2019, respectively. | |||||||
[2] | Includes 19,238,262 and 20,563,962 outstanding Class A warrants as of March 31, 2020 and 2019, respectively. | |||||||
[3] | Amounts are net of tax. |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Changes in Equity (Parenthetical) - $ / shares | Mar. 31, 2020 | Mar. 31, 2019 |
Statement of Stockholders' Equity [Abstract] | ||
Class A common stock, par value | $ 0.01 | $ 0.01 |
Class A common stock, shares authorized | 166,666,666 | 166,666,666 |
Class A common stock, shares outstanding | 85,845,920 | 85,292,751 |
Class A warrants outstanding | 19,238,262 | 20,563,962 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Note 1 — Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of Overseas Shipholding Group, Inc., a Delaware corporation (the “Parent Company”), and its wholly-owned subsidiaries (collectively, the “Company” or “OSG”, “we”, “us” or “our”). The Company owns and operates a fleet of oceangoing vessels engaged primarily in the transportation of crude oil and refined petroleum products in the U.S. Flag trade through three wholly-owned subsidiaries. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. They do not include all of the information and notes required by generally accepted accounting principles in the United States. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair statement of the results have been included. Operating results for the three months ended March 31, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020 or for any other interim period. The condensed consolidated balance sheet as of December 31, 2019 has been derived from the audited financial statements at that date but does not include all of the information and notes required by generally accepted accounting principles in the United States for complete financial statements. For further information, refer to the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 (“Form 10-K”). |
Recently Adopted and Issued Acc
Recently Adopted and Issued Accounting Standards | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Recently Adopted and Issued Accounting Standards | Note 2 — Recently Adopted and Issued Accounting Standards Recently Adopted Accounting Standards In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement Recently Issued Accounting Standards In August 2018, the FASB issued ASU 2018-14, Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20), Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Codification Improvements to Topic 326 In November 2019, the FASB issued ASU 2019-10, Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815) and Leases (Topic 842): Effective Dates, Bucket 1— All public business entities (“PBEs”) that are SEC filers (as defined in U.S. GAAP), excluding smaller reporting companies (“SRCs”) (as defined by the SEC). The credit losses standard would be effective January 1, 2020. Bucket 2— All other entities, including SRCs, other PBEs that are not SEC filers, private companies, not-for-profit organizations, and employee benefit plans. The credit losses standard would be effective January 1, 2023. At the annual evaluation date on June 30, 2019, the Company met the SEC definition of a smaller reporting company. Accordingly, the Company plans on adopting the credit losses standard on January 1, 2023. Management is currently reviewing the impact of the adoption of this accounting standard on the Company’s consolidated financial statements. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Mar. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Note 3 - Revenue Recognition Shipping Revenues Time Charter Revenues The Company enters into time charter contracts under which a customer pays a fixed daily or monthly rate for a fixed period of time for use of a vessel. The Company recognizes revenues from time charters as operating leases ratably over the noncancellable contract term. Customers generally pay voyage expenses such as fuel, canal tolls and port charges. The Company also provides the charterer with services such as technical management expenses and crew costs. While there are lease and service (non-lease) components related to time charter contracts, the predominant component of the contract is the charterer’s lease of the vessel. The non-lease components of the contract have the same timing and pattern of transfer as the underlying lease component; therefore, the Company applied the practical expedient to combine lease and non-lease components and recognizes revenue related to this service ratably over the life of the contract term. Voyage Charter Revenues The Company enters into voyage charter contracts, under which the customer pays a transportation charge (voyage freight) for the movement of a specific cargo between two or more specified ports. The Company’s performance obligation under voyage charters, which consists of moving cargo from a load port to a discharge port, is satisfied over time. Accordingly, under ASC 606, the Company recognizes revenue from voyage charters ratably over the estimated length of each voyage, calculated on a load-to-discharge basis. The transaction price is in the form of a fixed fee at contract inception, which is the transportation charge. Voyage charter contracts also include variable consideration primarily in the form of demurrage, which is additional revenue the Company receives for delays experienced in loading or unloading cargo that are not deemed to be the responsibility of the Company. The Company does not include demurrage in the transaction price for voyage charters as it is considered constrained since it is highly susceptible to factors outside the Company’s influence. Examples of when demurrage is incurred include unforeseeable weather conditions and security regulations at ports. The uncertainty related to this variable consideration is resolved upon the completion of the voyage, the duration of which is generally less than 30 days. U.S. Maritime Security Program Two of the Company’s U.S. Flag Product Carriers participate in the U.S. Maritime Security Program (“MSP”), which ensures that privately-owned, military-useful U.S. Flag vessels are available to the U.S. Department of Defense in the event of war or national emergency. The Company considers the MSP contract with the U.S. government a service arrangement under ASC 606. Under this arrangement, the Company receives an annual operating-differential subsidy pursuant to the Merchant Marine Act of 1936 for each participating vessel, subject in each case to annual congressional appropriations. The subsidy is intended to reimburse owners for the additional costs of operating U.S. Flag vessels; therefore, the Company has presented this subsidy as an offset to vessel expenses. Contracts of Affreightment The Company enters into contracts of affreightment (“COA”) to provide transportation services between specified points for a stated quantity of cargo over a specific time period, but without designating voyage schedules. The Company has COA arrangements to provide for lightering services and other arrangements based on the number of voyages. These contracts are service contracts within the scope of ASC 606 for which the underlying performance obligation is satisfied as a series of distinct services. The Company’s COA include minimum purchase requirements from customers that are expressed in either fixed monthly barrels, annual minimum barrel volume requirements or annual minimum number of voyages to complete. The Company is required to transport and the charterer is required to provide the Company with a minimum volume requirement. These contract minimums represent fixed consideration within the contract which is recognized as the distinct services of delivering barrels or voyages are performed in the series over time. The Company will adjust revenue recognized for any minimum volume unexercised right. COA provide the charterer with the opportunity to purchase additional transportation services above the minimum. If this is not considered a material right, the Company recognizes revenue related to the additional services at the contractual rate as the product is transferred over time. If the additional transportation service is considered a material right, the Company applies the practical alternative to allocate the transaction price to the material right. As a result, the Company may recognize revenue related to COA at an amount which is different than the invoiced amount if the Company’s estimated volume to be transported under the contract exceeds the contractual minimum. COA also include variable consideration primarily related to demurrage. The Company does not include this variable consideration in the transaction price for these contracts as the consideration is constrained since the obligation to deliver this service is outside the control of the Company. The uncertainty related to this variable consideration is resolved with the customer over the course of the contract term as individual voyages discharge. Revenue generated by COA is included within voyage charter revenues on the consolidated statements of operations. At March 31, 2020, the Company did not have deferred revenue related to the Company’s COA. Disaggregated Revenue The Company has disaggregated revenue from contracts with customers into categories that depict how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. Consequently, the disaggregation below is based on contract type. Since the terms within these contract types are generally standard in nature, the Company does not believe that further disaggregation would result in increased insight into the economic factors impacting revenue and cash flows. The following table shows the Company’s shipping revenues disaggregated by nature of the charter arrangement for the three months ended March 31, 2020 and 2019: Three Months Ended 2020 2019 Time and bareboat charter revenues $ 78,150 $ 63,120 Voyage charter revenues (1) 11,468 7,633 Contracts of affreightment revenues 11,241 16,984 Total shipping revenues $ 100,859 $ 87,737 (1) Voyage charter revenues include approximately $11,319 and $769 of revenue related to short-term time charter contracts for the three months ended March 31, 2020 and 2019, respectively. Voyage Receivables As of March 31, 2020 and December 31, 2019, contract balances from contracts with customers consisted of voyage receivables, including unbilled receivables, of $5,729 and $5,831, respectively, net of reserve for doubtful accounts for voyage charters and lightering contracts. For voyage charters, voyage freight is due to the Company upon completion of discharge at the last discharge port. For lightering contracts, the Company invoices the customer monthly based on the actual barrels of cargo lightered. The Company routinely reviews its voyage receivables and makes provisions for probable doubtful accounts; however, those provisions are estimates and actual results could differ from those estimates and those differences may be material. Voyage receivables are removed from accounts receivable and the reserve for doubtful accounts when they are deemed uncollectible. The Company deems voyage receivables uncollectible when the Company has exhausted collection efforts. Costs to Fulfill a Contract Under ASC 606, for voyage charters and contracts of affreightment, the Company capitalizes the direct costs, which are voyage expenses, of relocating the vessel to the load port to be amortized during transport of the cargo. At March 31, 2020, the costs related to voyages that were not yet completed were not material. Additionally, these contracts include out-of-pocket expense (i.e. fuel, port charges, canal tolls) incurred by the Company in fulfilling its performance obligation, which are reimbursed by the charterer at cost. The reimbursement for these fulfillment costs have been included in the Company’s estimated transaction price for the contract and recognized as revenue when performance obligations are satisfied. Transaction Price Allocated to the Remaining Performance Obligations As of March 31, 2020, there was an aggregate amount of $32,496 of revenue under COA which the Company will be entitled to by providing services in the future. The Company expects to recognize revenue of approximately $28,701 in 2020 and $3,795 in 2021 under these contracts. These estimated amounts relate to the fixed consideration of contractual minimums within the contracts based on the Company’s best estimate of future services. Practical Expedients and Exemptions The Company’s voyage charter contracts and some of the Company’s COA have an original expected duration of one year or less; therefore, the Company has elected to apply the practical expedient, which permits the Company to not disclose the portion of the transaction price allocated to the remaining performance obligations within these contracts. The Company expenses broker commissions for voyage charters, which are costs of obtaining a contract, as they are incurred because the amortization period is less than one year or are otherwise amortized as the underlying performance obligation is satisfied. The Company records these costs within voyage expenses in the consolidated statements of operations. |
Earnings Per Common Share
Earnings Per Common Share | 3 Months Ended |
Mar. 31, 2020 | |
Per Share Amounts: | |
Earnings per Common Share | Note 4 — Earnings per Common Share Basic earnings per common share is computed by dividing earnings, after the deduction of dividends and undistributed earnings allocated to participating securities, by the weighted average number of common shares outstanding during the period. As management deems the exercise price for the Class A warrants of $0.01 per share to be nominal, warrant proceeds are ignored and the shares issuable upon Class A warrant exercise are included in the calculation of basic weighted average common shares outstanding for all periods. The computation of diluted earnings per share assumes the issuance of common stock for all potentially dilutive stock options and restricted stock units. Participating securities are defined by ASC 260, Earnings Per Share Class A As of March 31, 2020, there were 2,681,891 shares of Class A common stock issuable under restricted stock units and 1,478,756 shares of Class A common stock issuable under options outstanding, which were considered to be potentially dilutive securities. As of March 31, 2019, there were 1,536,146 shares of Class A common stock issuable under restricted stock units and 1,478,756 shares of Class A common stock issuable under options outstanding, which were considered to be potentially dilutive securities. The components of the calculation of basic earnings per share and diluted earnings per share are as follows: Three Months Ended March 31, 2020 2019 Net income $ 25,125 $ 3,197 Weighted average common shares outstanding: Class A common stock - basic 89,422,311 89,004,947 Class A common stock - diluted 90,388,988 89,421,143 For the three months ended March 31, 2020 and 2019, there were dilutive equity awards outstanding covering 966,677 and 416,196 shares, respectively. |
Fair Value Measurements and Fai
Fair Value Measurements and Fair Value Disclosures | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Fair Value Disclosures | Note 5 — Fair Value Measurements and Fair Value Disclosures The following methods and assumptions were used to estimate the fair value of each class of financial instrument: Cash and cash equivalents and restricted cash— Debt— ASC 820, Fair Value Measurements and Disclosures The levels of the fair value hierarchy established by ASC 820 are as follows: Level 1 - Quoted prices in active markets for identical assets or liabilities Level 2 - Quoted prices for similar assets and liabilities in active markets or inputs that are observable Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities Financial Instruments that are not Measured at Fair Value on a Recurring Basis The estimated fair values of the Company’s financial instruments that are not measured at fair value on a recurring basis, categorized based upon the fair value hierarchy, are as follows: Carrying Fair Value Value Level 1 Level 2 March 31, 2020: Assets Cash and cash equivalents (1) $ 101,507 $ 101,507 $ — Total $ 101,507 $ 101,507 $ — Liabilities Term loan agreement, due 2023 $ 286,199 $ — $ 299,048 Term loan agreements, due 2024 47,718 — 49,062 Alaska Tankers term loan agreement, due 2025 53,249 — 52,009 OSG 204 LLC term loan agreement, due 2025 27,647 — 28,963 Term loan agreement, due 2026 26,099 — 26,888 Unsecured senior notes 689 — 724 Total $ 441,601 $ — $ 456,694 Carrying Fair Value Value Level 1 Level 2 December 31, 2019: Assets Cash (1) $ 41,677 $ 41,677 $ — Total $ 41,677 $ 41,677 $ — Liabilities Term loan agreement, due 2023 $ 291,994 $ — $ 299,974 Term loan agreements, due 2024 48,289 — 49,015 Term loan agreement, due 2026 27,075 — 27,359 Unsecured senior notes 689 — 722 Total $ 368,047 $ — $ 377,070 (1) Includes current and non-current restricted cash aggregating $20,148 and $174 at March 31, 2020 and December 31, 2019, respectively. For $20,000 of restricted cash at March 31, 2020, if Banc of America Leasing & Capital, LLC is unable to sell a participating interest in the term loan on the Overseas Gulf Coast Overseas Gulf Coast Nonfinancial Instruments that are Measured at Fair Value on a Nonrecurring Basis Vessel and Intangible Assets Impairments During the first quarter of 2020, the Company considered whether events or changes in circumstances had occurred since December 31, 2019 that could indicate the carrying amounts of the vessels in the Company’s fleet and the carrying value of the Company’s intangible assets may not be recoverable as of March 31, 2020. The Company concluded that no such events or changes in circumstances had occurred for its intangible assets at March 31, 2020. During the first quarter of 2020 the Company established basic terms to sell for scrap the OSG 243 OSG Independence |
Taxes
Taxes | 3 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Taxes | Note 6 — Taxes For the three months ended March 31, 2020 and 2019, the Company recorded income tax provisions of $6,360 and $392, respectively, which represented effective tax rates of 20% and 11%, respectively. The increase in the effective tax rate for the three months ended March 31, 2020 compared to the three months ended March 31, 2019 was substantially due to the establishment of deductible expenses related to Code Section 162(m) in 2019 causing a more favorable discrete adjustment compared to pretax income. The effective tax rate for the three months ended March 31, 2020 and 2019 were less than the statutory rate due to a discrete tax benefit in the quarters relating to state benefit resulting from the Alaska Tanker Company acquisition and deductible expenses related to Code Section 162(m), respectively. On March 27, 2020, H.R. 748, the Coronavirus Aid, Relief, and Economic Security Act, or the “CARES Act”, was signed into law. The CARES Act includes tax provisions relevant to businesses that will impact taxes related to 2018, 2019 and 2020. Some of the significant tax law changes are to increase the limitation on deductible business interest expense for 2019 and 2020, allow for the five year carryback of net operating losses for 2018-2020, suspend the 80% limitation of taxable income for net operating loss carryforwards for 2018-2020, provide for the acceleration of depreciation expense from 2018 and forward on qualified improvement property and accelerate the ability to claim refunds of AMT credit carryforwards. The Company is required to recognize the effect on the consolidated financial statements in the period the law was enacted, which is 2020. At this time, the Company does not expect the CARES Act to have a material impact on the Company’s tax provision as any effect will be a reclassification between net operating losses and the affected deferred tax assets or liabilities on the consolidated balance sheet. As of March 31, 2020 and December 31, 2019, the Company recorded a non-current reserve for uncertain tax positions of $878 and $864, respectively. |
Investment in Alaska Tanker Com
Investment in Alaska Tanker Company, LLC | 3 Months Ended |
Mar. 31, 2020 | |
Investments, All Other Investments [Abstract] | |
Investment in Alaska Tanker Company, LLC | Note 7 — Investment in Alaska Tanker Company, LLC At December 31, 2019, the Company had a 37.5% interest in Alaska Tanker Company, LLC (“ATC”), a joint venture that was formed in 1999 among OSG America Operating Co LLC, Keystone Shipping Company and subsidiaries of British Petroleum (“BP”). Each member in ATC was entitled to receive its respective share of incentive charter hire related to time charter contracts in ATC with a minimum term ending in December 2023. In December 2019, the Company entered into an agreement with BP to purchase three U.S.-flagged crude oil carrier vessels ( Alaskan Explorer Alaskan Legend Alaskan Navigator In connection with the purchase of the vessels from BP, the Company agreed to time charter arrangements with BP for terms of 2.5 years to 6.4 years at a fixed daily rate with an annual escalation and five renewal options for one year each. The time charter arrangements are treated as operating leases under ASC 842. The Company also entered into a bareboat charter with BP for a fourth vessel, the Alaskan Frontier The Company accounted for the purchase of the three vessels and remaining equity ownership interest in ATC collectively as an asset acquisition, with substantially all the fair value of the acquisition attributed to the three vessels purchased from BP. The pre-existing ATC arrangements with a minimum term through December 2023 were terminated, and a non-cash gain equal to the value of the remaining arrangement of $19,172 was recognized, with a corresponding increase in the value of the vessels acquired from BP. |
Capital Stock and Stock Compens
Capital Stock and Stock Compensation | 3 Months Ended |
Mar. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Capital Stock and Stock Compensation | Note 8 — Capital Stock and Stock Compensation Share and Warrant Repurchases During the three months ended March 31, 2020, in connection with the vesting of restricted stock units (“RSUs”), the Company withheld 104,552 shares of Class A common stock at an average price of $1.90 per share (based on the market prices on the dates of vesting) from certain members of management to cover withholding taxes. Warrant Conversions During the three months ended March 31, 2020, the Company did not issue any shares of Class A common stock as a result of the exercise of Class A warrants. During the three months ended March 31, 2019, the Company issued 7,504 shares of Class A common stock as a result of the exercise of 39,692 Class A warrants. Stock Compensation The Company accounts for stock compensation expense in accordance with the fair value based method required by ASC 718, Compensation – Stock Compensation Management Compensation Restricted Stock Units and Stock Options During the three months ended March 31, 2020, the Company granted 764,406 RSUs to its employees, including senior officers. The grant date fair value of these awards was $2.03 per RSU. Each RSU represents a contingent right to receive one share of Class A common stock upon vesting. Each award of RSUs will vest in equal installments on each of the first three anniversaries of the grant date. During the three months ended March 31, 2020, the Company awarded 582,224 performance-based RSUs to its senior officers. Each performance-based RSU represents a contingent right to receive RSUs based upon continuous employment through the end of a three-year performance period (the “Performance Period”) and will vest as follows: (i) one-half of the target RSUs will vest and become nonforfeitable subject to OSG’s return on invested capital (“ROIC”) performance in the three-year ROIC performance period relative to a target rate (the “ROIC Target”) set forth in the award agreements (which define ROIC as net operating profit after taxes divided by the net of total debt plus shareholders equity less cash); and (ii) one–half of the target RSUs will be subject to OSG’s three–year total shareholder return (“TSR Target”) performance relative to that of a performance index over a three–year TSR performance period. The index consists of companies that comprise a combination of the oil and gas storage and transportation and marine GICS sub-industries indexes during the Performance Period. Vesting is subject in each case to certification by the Human Resources and Compensation Committee of the Parent Company’s Board of Directors as to achievement of the performance measures and targets. The ROIC Target RSU awards and the TSR Target RSU awards are subject to an increase up to a maximum of 291,112 target RSUs combined (873,340 RSUs in total) or decrease depending on performance against the applicable measure and targets. The ROIC performance goal is a performance condition which, as of March 31, 2020, management believed was probable of being achieved. Accordingly, for financial reporting purposes, compensation costs have been recognized for these awards. The grant date fair value of the TSR based performance awards, which have a market condition, was determined to be $2.03 per RSU. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2020 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Note 9 — Accumulated Other Comprehensive Loss The components of accumulated other comprehensive loss, net of related taxes, in the condensed consolidated balance sheets follow: As of March 31, December 31, Items not yet recognized as a component of net periodic benefit cost (pension and other postretirement benefit plans) $ (6,351 ) $ (6,409 ) Accumulated other comprehensive loss $ (6,351 ) $ (6,409 ) The following tables present the changes in the balances of each component of accumulated other comprehensive loss, net of related taxes, during the three months ended March 31, 2020 and 2019: Items not yet recognized as a component of net periodic benefit cost (pension and other postretirement plans) Balance as of December 31, 2019 $ (6,409 ) Current period change, excluding amounts reclassified from accumulated other comprehensive income — Amounts reclassified from accumulated other comprehensive income 58 Total change in accumulated other comprehensive income 58 Balance as of March 31, 2020 $ (6,351 ) Balance as of December 31, 2018 $ (7,192 ) Current period change, excluding amounts reclassified from accumulated other comprehensive income (24 ) Amounts reclassified from accumulated other comprehensive income 107 Total change in accumulated other comprehensive income 83 Balance as of March 31, 2019 $ (7,109 ) The Company includes the service cost component for net periodic benefit cost/(income) in vessel expenses and general and administrative expenses and other components in other income, net on the condensed consolidated statements of operations. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2020 | |
Leases [Abstract] | |
Leases | Note 10 — Leases For the three months ended March 31, 2020, the Company had non-cash operating activities of $1,533 for obtaining operating right-of-use assets and liabilities. Charters-in On March 12, 2020, the Company commenced a bareboat charter for the Alaskan Frontier Charters-out The Company is the lessor under its time charter contracts. Total time charter revenue for the three months ended March 31, 2020 was equal to lease income from lease payments of $78,853, less straight-line adjustments of $703. |
Vessels
Vessels | 3 Months Ended |
Mar. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Vessels | Note 11 — Vessels On March 12, 2020, the Company’s subsidiaries completed the purchase of three U.S.-flagged crude oil carrier vessels, the Alaskan Explorer Alaskan Legend Alaskan Navigator, Alaskan Frontier For the three months ended March 31, 2020, the Company’s non-cash investing activities for the accrual of capital expenditures related to the Company’s newbuilds were not material. |
Debt
Debt | 3 Months Ended |
Mar. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt | Note 12 — Debt On March 26, 2020, one of the Company’s subsidiaries, OSG 204 LLC, entered into a credit agreement with Wintrust Commercial Finance and other syndicate lenders to finance one new 204,000 barrel U.S. Flag oil and chemical ATB barge, which is being built by the Greenbriar Marine shipyard and is set to be delivered in the second quarter of 2020. The credit agreement includes a construction loan, against which the Company can make drawdowns to pay for construction costs, and a five-year term loan. The construction loan, which is guaranteed by the Company, is for an aggregate principal amount of $33,150, of which $28,084 was drawn at loan closing, and bears a floating rate of interest of LIBOR plus 5.00%. The remaining two milestone construction payments for the barge totaling $5,066 will be funded as additions to the construction loan. The construction loan is secured by a collateral assignment of the vessel construction contract. Upon delivery of the barge to OSG 204 LLC, the construction loan will be converted into either a floating or fixed rate five-year term loan guaranteed by the Company. The amount of the term loan will be the lesser of 65% of the construction cost of the barge or $33,150. The floating-rate loan will bear interest at LIBOR plus 4.00% and the fixed-rate loan will bear interest at the five-year swap rate, as determined three days before closing date, plus 4.25%. The fixed-rate term loan is to have a minimum interest rate of 5.00%. Upon closing of either the floating- or fixed-rate term loan, the lenders will hold a perfected first priority security interest and preferred ship mortgage against the vessel. Assuming the fixed rate term loan is chosen, the annual principal payments expected to be made are $967 for the remainder of 2020, $2,008 in 2021, $2,110 in 2022, $2,218 in 2023, $2,332 in 2024 and $23,515 thereafter. On March 12, 2020, the Company entered into a loan with Banc of America Leasing & Capital, LLC and other syndicate lenders in an aggregate principal amount of $54,000 to finance the purchase of three U.S.-flagged crude oil carrier vessels, the Alaskan Explorer Alaskan Legend Alaskan Navigator |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 13 — Commitments and Contingencies The Company is a party, as plaintiff or defendant, to various suits in the ordinary course of business for monetary relief arising principally from personal injuries (including without limitation exposure to asbestos and other toxic materials), wrongful death, collision or other casualty and to claims arising under charter parties. A substantial majority of such personal injury, wrongful death, collision or other casualty claims against the Company are covered by insurance (subject to deductibles not material in amount). Each of the claims involves an amount which, in the opinion of management, are not expected to be material to the Company’s financial position, results of operations and cash flows. |
Recently Adopted and Issued A_2
Recently Adopted and Issued Accounting Standards (Policies) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In August 2018, the FASB issued ASU 2018-14, Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20), Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Codification Improvements to Topic 326 In November 2019, the FASB issued ASU 2019-10, Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815) and Leases (Topic 842): Effective Dates, Bucket 1— All public business entities (“PBEs”) that are SEC filers (as defined in U.S. GAAP), excluding smaller reporting companies (“SRCs”) (as defined by the SEC). The credit losses standard would be effective January 1, 2020. Bucket 2— All other entities, including SRCs, other PBEs that are not SEC filers, private companies, not-for-profit organizations, and employee benefit plans. The credit losses standard would be effective January 1, 2023. At the annual evaluation date on June 30, 2019, the Company met the SEC definition of a smaller reporting company. Accordingly, the Company plans on adopting the credit losses standard on January 1, 2023. Management is currently reviewing the impact of the adoption of this accounting standard on the Company’s consolidated financial statements. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following table shows the Company’s shipping revenues disaggregated by nature of the charter arrangement for the three months ended March 31, 2020 and 2019: Three Months Ended 2020 2019 Time and bareboat charter revenues $ 78,150 $ 63,120 Voyage charter revenues (1) 11,468 7,633 Contracts of affreightment revenues 11,241 16,984 Total shipping revenues $ 100,859 $ 87,737 (1) Voyage charter revenues include approximately $11,319 and $769 of revenue related to short-term time charter contracts for the three months ended March 31, 2020 and 2019, respectively. |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Per Share Amounts: | |
Schedule of Earnings Per Share | The components of the calculation of basic earnings per share and diluted earnings per share are as follows: Three Months Ended March 31, 2020 2019 Net income $ 25,125 $ 3,197 Weighted average common shares outstanding: Class A common stock - basic 89,422,311 89,004,947 Class A common stock - diluted 90,388,988 89,421,143 |
Fair Value Measurements and F_2
Fair Value Measurements and Fair Value Disclosures (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Hierarchy Categorized on Fair Value | The estimated fair values of the Company’s financial instruments that are not measured at fair value on a recurring basis, categorized based upon the fair value hierarchy, are as follows: Carrying Fair Value Value Level 1 Level 2 March 31, 2020: Assets Cash and cash equivalents (1) $ 101,507 $ 101,507 $ — Total $ 101,507 $ 101,507 $ — Liabilities Term loan agreement, due 2023 $ 286,199 $ — $ 299,048 Term loan agreements, due 2024 47,718 — 49,062 Alaska Tankers term loan agreement, due 2025 53,249 — 52,009 OSG 204 LLC term loan agreement, due 2025 27,647 — 28,963 Term loan agreement, due 2026 26,099 — 26,888 Unsecured senior notes 689 — 724 Total $ 441,601 $ — $ 456,694 Carrying Fair Value Value Level 1 Level 2 December 31, 2019: Assets Cash (1) $ 41,677 $ 41,677 $ — Total $ 41,677 $ 41,677 $ — Liabilities Term loan agreement, due 2023 $ 291,994 $ — $ 299,974 Term loan agreements, due 2024 48,289 — 49,015 Term loan agreement, due 2026 27,075 — 27,359 Unsecured senior notes 689 — 722 Total $ 368,047 $ — $ 377,070 (1) Includes current and non-current restricted cash aggregating $20,148 and $174 at March 31, 2020 and December 31, 2019, respectively. For $20,000 of restricted cash at March 31, 2020, if Banc of America Leasing & Capital, LLC is unable to sell a participating interest in the term loan on the Overseas Gulf Coast Overseas Gulf Coast |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Accumulated Other Comprehensive Income Loss Note Abstract | |
Schedule of Components of Accumulated Other Comprehensive Loss | The components of accumulated other comprehensive loss, net of related taxes, in the condensed consolidated balance sheets follow: As of March 31, December 31, Items not yet recognized as a component of net periodic benefit cost (pension and other postretirement benefit plans) $ (6,351 ) $ (6,409 ) Accumulated other comprehensive loss $ (6,351 ) $ (6,409 ) |
Schedule of Changes in Balances of Component of Accumulated Other Comprehensive Loss | The following tables present the changes in the balances of each component of accumulated other comprehensive loss, net of related taxes, during the three months ended March 31, 2020 and 2019: Items not yet recognized as a component of net periodic benefit cost (pension and other postretirement plans) Balance as of December 31, 2019 $ (6,409 ) Current period change, excluding amounts reclassified from accumulated other comprehensive income — Amounts reclassified from accumulated other comprehensive income 58 Total change in accumulated other comprehensive income 58 Balance as of March 31, 2020 $ (6,351 ) Balance as of December 31, 2018 $ (7,192 ) Current period change, excluding amounts reclassified from accumulated other comprehensive income (24 ) Amounts reclassified from accumulated other comprehensive income 107 Total change in accumulated other comprehensive income 83 Balance as of March 31, 2019 $ (7,109 ) |
Revenue Recognition (Details Na
Revenue Recognition (Details Narrative) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020USD ($)Products | Dec. 31, 2019USD ($) | |
Period for voyage completion | 30 days | |
Number of products participating in U.S Maritime Security Program | Products | 2 | |
Deferred Revenue | ||
Contract balances from contracts with customers | 5,729 | $ 5,831 |
Revenue remaining performance obligations | 32,496 | |
2020 [Member] | ||
Revenue remaining performance obligations | 28,701 | |
2021 [Member] | ||
Revenue remaining performance obligations | $ 3,795 |
Revenue Recognition - Schedule
Revenue Recognition - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | ||
Total shipping revenues | $ 100,859 | $ 87,737 | |
Time and Bareboat Charter Revenues [Member] | |||
Total shipping revenues | 78,150 | 63,120 | |
Voyage Charter Revenues [Member] | |||
Total shipping revenues | [1] | 11,468 | 7,633 |
Contracts of Affreightment Revenues [Member] | |||
Total shipping revenues | $ 11,241 | $ 16,984 | |
[1] | Voyage charter revenues include approximately $11,319 and $769 of revenue related to short-term time charter contracts for the three months ended March 31, 2020 and 2019, respectively. |
Revenue Recognition - Schedul_2
Revenue Recognition - Schedule of Disaggregation of Revenue (Details) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Voyage charter revenues | $ 22,709 | $ 24,617 |
Short-term Time Charter Contracts [Member] | ||
Voyage charter revenues | $ 11,319 | $ 769 |
Earnings Per Common Share (Deta
Earnings Per Common Share (Details Narrative) - $ / shares | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Dilutive equity awards outstanding | 966,677 | 416,196 |
Class A Restricted Stock Units [Member] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 2,681,891 | 1,536,146 |
Class A Stock Options Outstanding [Member] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 1,478,756 | 1,478,756 |
Class A Warrants [Member] | ||
Warrant exercise price | $ 0.01 |
Earnings Per Common Share - Sch
Earnings Per Common Share - Schedule of Earnings Per Share (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Per Share Amounts: | ||
Net income | $ 25,125 | $ 3,197 |
Weighted average common shares outstanding: Class A common stock - basic | 89,422,311 | 89,004,947 |
Weighted average common shares outstanding: Class A common stock - diluted | 90,388,988 | 89,421,143 |
Fair Value Measurements and F_3
Fair Value Measurements and Fair Value Disclosures - Schedule of Hierarchy Categorized on Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 | |
Cash | [1] | $ 101,507 | $ 41,677 |
Total assets | 101,507 | 41,677 | |
Liabilities | 441,601 | 368,047 | |
Term Loan Agreement, Due 2023 [Member] | |||
Term loan agreements, fair value | 286,199 | 291,994 | |
Alaska Tankers Term Loan Agreement, Due 2025 [Member] | |||
Term loan agreements, fair value | 47,718 | ||
Term Loan Agreements, Due 2024 [Member] | |||
Term loan agreements, fair value | 53,249 | 48,289 | |
OSG 204 LLC Term Loan Agreement, Due 2025 [Member] | |||
Term loan agreements, fair value | 27,647 | ||
Term Loan Agreement, Due 2026 [Member] | |||
Term loan agreements, fair value | 26,099 | 27,075 | |
Unsecured Senior Notes [Member] | |||
Term loan agreements, fair value | 689 | 689 | |
Level 1 [Member] | |||
Cash | [1] | 101,507 | 41,677 |
Total assets | 101,507 | 41,677 | |
Liabilities | |||
Level 1 [Member] | Term Loan Agreement, Due 2023 [Member] | |||
Term loan agreements, fair value | |||
Level 1 [Member] | Alaska Tankers Term Loan Agreement, Due 2025 [Member] | |||
Term loan agreements, fair value | |||
Level 1 [Member] | Term Loan Agreements, Due 2024 [Member] | |||
Term loan agreements, fair value | |||
Level 1 [Member] | OSG 204 LLC Term Loan Agreement, Due 2025 [Member] | |||
Term loan agreements, fair value | |||
Level 1 [Member] | Term Loan Agreement, Due 2026 [Member] | |||
Term loan agreements, fair value | |||
Level 1 [Member] | Unsecured Senior Notes [Member] | |||
Term loan agreements, fair value | |||
Level 2 [Member] | |||
Cash | [1] | ||
Total assets | |||
Liabilities | 456,694 | 377,070 | |
Level 2 [Member] | Term Loan Agreement, Due 2023 [Member] | |||
Term loan agreements, fair value | 299,048 | 299,974 | |
Level 2 [Member] | Alaska Tankers Term Loan Agreement, Due 2025 [Member] | |||
Term loan agreements, fair value | 52,009 | ||
Level 2 [Member] | Term Loan Agreements, Due 2024 [Member] | |||
Term loan agreements, fair value | 49,062 | 49,015 | |
Level 2 [Member] | OSG 204 LLC Term Loan Agreement, Due 2025 [Member] | |||
Term loan agreements, fair value | 28,963 | ||
Level 2 [Member] | Term Loan Agreement, Due 2026 [Member] | |||
Term loan agreements, fair value | 26,888 | 27,359 | |
Level 2 [Member] | Unsecured Senior Notes [Member] | |||
Term loan agreements, fair value | $ 724 | $ 722 | |
[1] | Includes current and non-current restricted cash aggregating $20,148 and $174 at March 31, 2020 and December 31, 2019, respectively. For $20,000 of restricted cash at March 31, 2020, if Banc of America Leasing & Capital, LLC is unable to sell a participating interest in the term loan on the Overseas Gulf Coast, due 2024, by June 12, 2020, Banc of America Leasing & Capital, LLC has the right to apply the $20,000 held in restricted cash as a prepayment on the term loan on the Overseas Gulf Coast, due 2024, or roll it over to continue as restricted cash. Restricted cash of $148 and $174 as of March 31, 2020 and December 31, 2019, respectively, was related to the Company's Unsecured Senior Notes. |
Fair Value Measurements and F_4
Fair Value Measurements and Fair Value Disclosures - Schedule of Hierarchy Categorized on Fair Value (Details) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Restricted cash, fair value disclosure | $ 20,148 | $ 174 |
Alaska Tankers Term Loan Agreement, Due 2025 [Member] | ||
Restricted cash | 20 | |
Unsecured Senior Notes [Member] | ||
Restricted cash | $ 148 | $ 174 |
Taxes (Details Narrative)
Taxes (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Income tax provisions | $ 6,360 | $ 392 | |
Change in the state tax rate | 20.00% | 11.00% | |
Operating loss carryforwards, expiration date | Some of the significant tax law changes are to increase the limitation on deductible business interest expense for 2019 and 2020, allow for the five year carryback of net operating losses for 2018-2020, suspend the 80% limitation of taxable income for net operating loss carryforwards for 2018-2020 | ||
Reserve for uncertain tax positions | $ 878 | $ 864 |
Investment in Alaska Tanker C_2
Investment in Alaska Tanker Company, LLC (Details Narrative) - USD ($) $ in Thousands | Mar. 12, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 |
Payment to purchase of oil carrier vessels | $ 20,871 | $ 10,910 | ||
Alaska Tanker Company, LLC [Member] | ||||
Investment interest rate | 37.50% | |||
Contract term ending date | Dec. 31, 2023 | |||
Payment to purchase of oil carrier vessels | $ 54,000 | |||
Acquisition by borrowing | $ 54,000 | |||
Acquired term loan | 5 years | |||
Purchase of vessels term description | In connection with the purchase of the vessels from BP, the Company agreed to time charter arrangements with BP for terms of 2.5 years to 6.4 years at a fixed daily rate with an annual escalation and five renewal options for one year each. | |||
Business combination consideration, amount | $ 54,000 | $ 19,172 |
Capital Stock and Stock Compe_2
Capital Stock and Stock Compensation (Details Narrative) - $ / shares | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2019 | |
Common stock shares issued | 85,845,920 | 85,713,610 |
Restricted Stock Units (RSUs) [Member] | ||
Share based payment options granted, per share | $ 2.03 | |
Restricted Stock Units (RSUs) [Member] | Subject to Increase RSU Award [Member] | ||
Share based payment options grants in period gross | 291,112 | |
Restricted Stock Units (RSUs) [Member] | Decrease Depending on Applicable Measures and Targets [Member] | ||
Share based payment options grants in period gross | 873,340 | |
Employees, Including Senior Officers [Member] | Restricted Stock Units (RSUs) [Member] | ||
Share based payment options grants in period gross | 764,406 | |
Share based payment options granted, per share | $ 2.03 | |
Certain Senior Officers [Member] | Restricted Stock Units (RSUs) [Member] | ||
Share based payment options grants in period gross | 582,224 | |
Class A Common Stock [Member] | ||
Shares repurchased during period | 104,552 | |
Stock repurchased during period, per share amount | $ 1.90 | |
Common stock shares issued | 7,504 | |
Number of warrants exercised | 39,692 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Schedule of Components of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Equity [Abstract] | ||
Items not yet recognized as a component of net periodic benefit cost (pension and other postretirement benefit plans) | $ (6,351) | $ (6,409) |
Accumulated other comprehensive loss | $ (6,351) | $ (6,409) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Schedule of Changes in Balances of Component of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Beginning balance | $ 341,545 | $ 329,468 |
Ending balance | 366,967 | 334,013 |
Items Not Yet Recognized as a Component of Net Periodic Benefit Cost (Pension and Other Postretirement Plans) [Member] | ||
Beginning balance | (6,409) | (7,192) |
Current period change, excluding amounts reclassified from accumulated other comprehensive income | (24) | |
Amounts reclassified from accumulated other comprehensive income | 58 | 107 |
Total change in accumulated other comprehensive income | 58 | 83 |
Ending balance | $ (6,351) | $ (7,109) |
Leases (Details Narrative)
Leases (Details Narrative) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2019 | |
Operating right-of-use assets | $ 1,533 | $ 286,469 |
Operating right-of-use liabilities | 1,533 | |
Future minimum commitments, remainder of 2020 | 275 | |
Future minimum commitments, 2021 | 365 | |
Future minimum commitments, 2022 | 365 | |
Future minimum commitments, 2023 | 71 | |
Time Charter Revenue [Member] | ||
Lease income | 78,853 | |
Straight-line adjustments | $ 703 |
Vessels (Details Narrative)
Vessels (Details Narrative) - USD ($) $ in Thousands | Mar. 12, 2020 | Dec. 31, 2019 |
Alaska Tanker Company, LLC [Member] | ||
Business combination consideration, amount | $ 54,000 | $ 19,172 |
Debt (Details Narrative)
Debt (Details Narrative) - USD ($) $ in Thousands | Mar. 26, 2020 | Mar. 12, 2020 |
Debt instrument, face amount | $ 33,150 | |
Payments of loan | 28,084 | |
Construction loan | $ 5,066 | |
Debt instrument description | The amount of the term loan will be the lesser of 65% of the construction cost of the barge or $33,150. The floating rate loan will bear interest at LIBOR plus 4.00% and the fixed rate loan will bear interest at the five-year swap rate, as determined three days before closing date, plus 4.25%. The fixed rate term loan has a minimum rate of 5.00%. | |
Annual principal payment loan for 2020 | $ 967 | |
Annual principal payment loan for 2021 | 2,008 | |
Annual principal payment loan for 2022 | 2,110 | |
Annual principal payment loan for 2023 | 2,218 | |
Annual principal payment loan for 2024 | 2,332 | |
Annual principal payment loan for thereafter | $ 23,515 | |
Banc of America Leasing & Capital, LLC [Member] | ||
Debt instrument, face amount | $ 54,000 | |
Annual principal payment loan for 2020 | 3,017 | |
Annual principal payment loan for 2021 | 4,182 | |
Annual principal payment loan for 2022 | 4,371 | |
Annual principal payment loan for 2023 | 4,568 | |
Annual principal payment loan for 2024 | 4,775 | |
Annual principal payment loan for thereafter | $ 33,087 | |
Debt instrument, interest rate, stated percentage | 4.43% | |
Debt instrument, term | 5 years | |
Debt instrument, due | Mar. 12, 2025 | |
LIBOR Plus [Member] | ||
Debt, weighted average interest rate | 5.00% |