Ion Geophysical (IOGPQ) 10-Q 6 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 24, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	ION GEOPHYSICAL CORP
Entity Central Index Key	866,609
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		164,706,194

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 117,060	$ 173,608	$ 157,779	$ 148,056
Accounts receivable, net	26,477	114,325
Unbilled receivables	13,381	22,599
Inventories	35,947	51,162
Prepaid expenses and other current assets	13,333	13,662
Total current assets	206,198	375,356
Deferred income tax asset	8,430	8,604
Property, plant, equipment and seismic rental equipment, net	83,489	69,840
Multi-client data library, net	127,758	118,669
Goodwill	27,679	27,388
Intangible assets, net	5,811	6,788
Other assets	9,845	10,612
Total assets	469,210	617,257
Current liabilities:
Current maturities of long-term debt	7,213	7,649
Accounts payable	25,338	36,863
Accrued expenses	43,059	65,264
Accrued multi-client data library royalties	18,524	35,219
Deferred revenue	10,672	8,262
Total current liabilities	104,806	153,257
Long-term debt, net of current maturities	180,955	182,945
Other long-term liabilities	42,278	143,804
Total liabilities	328,039	480,006
Redeemable noncontrolling interest	1,080	1,539
Equity:
Common stock, $0.01 par value; authorized 200,000,000 shares; outstanding 164,706,194 and 164,484,095 shares at June 30, 2015 and December 31, 2014, respectively, net of treasury stock	1,647	1,645
Additional paid-in capital	890,811	887,749
Accumulated deficit	(733,604)	(734,409)
Accumulated other comprehensive loss	(12,199)	(12,807)
Treasury stock, at cost, 849,539 shares at both June 30, 2015 and December 31, 2014	(6,565)	(6,565)
Total stockholders' equity	140,090	135,613
Noncontrolling interest	1	99
Total equity	140,091	135,712
Total liabilities and equity	$ 469,210	$ 617,257

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares outstanding	164,706,194	164,484,095
Treasury stock, shares	849,539	849,539

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Statement [Abstract]
Service revenues	$ 23,323	$ 89,767	$ 43,403	$ 200,463
Product revenues	13,472	31,713	33,970	65,715
Total net revenues	36,795	121,480	77,373	266,178
Cost of services	38,817	68,341	84,351	140,412
Cost of products	8,113	14,911	18,945	30,684
Gross profit (loss)	(10,135)	38,228	(25,923)	95,082
Operating expenses:
Research, development and engineering	7,239	10,305	14,959	19,344
Marketing and sales	8,638	9,917	16,471	19,130
General, administrative and other operating expenses	14,677	14,221	30,025	33,152
Total operating expenses	30,554	34,443	61,455	71,626
Income (loss) from operations	(40,689)	3,785	(87,378)	23,456
Interest expense, net	(4,607)	(4,934)	(9,232)	(9,731)
Equity in losses of investments	0	(1,781)	0	(3,469)
Other income, net	101,600	6,066	98,381	74,592
Income before income taxes	56,304	3,136	1,771	84,848
Income tax expense	532	653	1,515	5,916
Net income	55,772	2,483	256	78,932
Net (income) loss attributable to noncontrolling interests	297	(1,295)	549	(1,765)
Net income attributable to ION	$ 56,069	$ 1,188	$ 805	$ 77,167
Net income per share:
Basic, in dollars per share	$ 0.34	$ 0.01	$ 0	$ 0.47
Diluted, in dollars per share	$ 0.34	$ 0.01	$ 0	$ 0.47
Weighted average number of common shares outstanding:
Basic, in shares	164,693	164,063	164,630	163,956
Diluted, in shares	164,712	164,423	164,651	164,243

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
Net income	$ 55,772	$ 2,483	$ 256	$ 78,932
Other comprehensive income, net of taxes, as appropriate:
Foreign currency translation adjustments	1,953	2,635	608	3,121
Equity interest in investees' other comprehensive loss	0	(690)	0	(1,863)
Other changes in other comprehensive income	0	0	0	26
Total other comprehensive income, net of taxes	1,953	1,945	608	1,284
Comprehensive net income	57,725	4,428	864	80,216
Comprehensive (income) loss attributable to noncontrolling interest	297	(1,295)	549	(1,765)
Comprehensive net income attributable to ION	$ 58,022	$ 3,133	$ 1,413	$ 78,451

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income	$ 256	$ 78,932
Adjustments to reconcile net income to cash (used in) provided by operating activities:
Depreciation and amortization (other than multi-client data library)	13,015	13,785
Amortization of multi-client data library	10,440	34,257
Stock-based compensation expense	3,047	5,033
Reductions of accrual for loss contingency related to legal proceedings	(101,978)	(69,557)
Equity in losses of investments	0	3,469
Gain on sale of Source product line	0	(6,522)
Deferred income taxes	(24)	(5,612)
Change in operating assets and liabilities:
Accounts receivable	87,796	73,254
Unbilled receivables	9,198	(14,236)
Inventories	(739)	(3,197)
Accounts payable, accrued expenses and accrued royalties	(40,649)	(30,807)
Deferred revenue	2,405	(4,988)
Other assets and liabilities	(5,262)	2,927
Net cash (used in) provided by operating activities	(22,495)	76,738
Cash flows from investing activities:
Cash invested in multi-client data library	(13,598)	(34,317)
Purchase of property, plant, equipment and seismic rental assets	(17,213)	(4,543)
Repayment of advance to INOVA Geophysical	0	1,000
Net investment in and advances to OceanGeo B.V. prior to its consolidation	0	(3,074)
Net proceeds from sale of Source product line	0	14,394
Other investing activities	257	605
Net cash used in investing activities	(30,554)	(25,935)
Cash flows from financing activities:
Borrowings under revolving line of credit	0	15,000
Payments under revolving line of credit	0	(50,000)
Payments on notes payable and long-term debt	(3,560)	(5,595)
Other financing activities	22	(339)
Net cash used in financing activities	(3,538)	(40,934)
Effect of change in foreign currency exchange rates on cash and cash equivalents	39	(146)
Net (decrease) increase in cash and cash equivalents	(56,548)	9,723
Cash and cash equivalents at beginning of period	173,608	148,056
Cash and cash equivalents at end of period	$ 117,060	$ 157,779

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The condensed consolidated balance sheet of ION Geophysical Corporation and its subsidiaries (collectively referred to as the “Company” or “ION,” unless the context otherwise requires) at December 31, 2014 has been derived from the Company’s audited consolidated financial statements at that date. The condensed consolidated balance sheet at June 30, 2015, and the condensed consolidated statements of operations and comprehensive income for the three and six months ended June 30, 2015 and 2014 and the condensed consolidated statements of cash flows for the six months ended June 30, 2015 and 2014, are unaudited. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The results of operations for the three and six months ended June 30, 2015 are not necessarily indicative of the operating results for a full year or of future operations. These condensed consolidated financial statements have been prepared using accounting principles generally accepted in the United States for interim financial information and the instructions to Form 10-Q and applicable rules of Regulation S-X of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in annual financial statements presented in accordance with accounting principles generally accepted in the United States have been omitted. The accompanying condensed consolidated financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 and Amendment No. 1 thereto on Form 10-K/A, which was filed on April 24, 2015 and contains the separate consolidated financial statements of INOVA Geophysical Equipment Limited (“INOVA Geophysical”) for its fiscal year ended December 31, 2014 .

Restructurings

Restructurings	6 Months Ended
	Jun. 30, 2015
Restructuring and Related Activities [Abstract]
Restructurings	Restructurings The recent decline in crude oil prices to five -year lows has negatively impacted the economic outlook of the Company’s E&P customers, which has also negatively impacted the outlook for the Company’s seismic contractor customers. In response to the decline in crude oil prices, E&P companies have reduced their capital expenditures and shifted their spending from exploration- to production-related activities on existing assets. Seismic spending is discretionary; therefore, E&P companies have disproportionately cut their spending on seismic-related services and products. During the first half of 2015, the Company continued its restructuring program by (i) focusing on centralizing the Company’s global data processing capabilities to core geographical hubs in the U.S. and the U.K., (ii) reducing the Company’s marine repair infrastructure to two locations in the U.S. and U.A.E., and (iii) making selected reductions in personnel across all segments of the Company. Under this program, the Company made additional reductions to its headcount. Including December 2014, these restructurings have resulted in approximately a 25% reduction of full-time employees. During the six months ended June 30, 2015 , the Company recognized the following pre-tax charges and credits (in thousands): Severance Charges (a) Facility Charges (b) Total Cost of goods sold $ 1,813 $ — $ 1,813 Operating expenses 198 1,324 1,522 Other (income) expense — 1,913 1,913 Income tax benefit — (150 ) (150 ) Net income attributable to noncontrolling interest (172 ) — (172 ) Consolidated total $ 1,839 $ 3,087 $ 4,926 (a) Represents severance charges related to first half 2015 restructurings, a portion of which relates to a noncontrolling interest. (b) Represents facility charges related to first half 2015 restructurings. During the third quarter, the Company expects to incur additional restructuring charges in the range of $2 million to $3 million .

Segment Information

Segment Information	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Segment Information	Segment Information The Company operates through four business segments – Solutions, Systems, Software and Ocean Bottom Services. The Company measures segment operating results based on income (loss) from operations. In addition, the Company has an equity ownership interest in its INOVA Geophysical joint venture. As of December 31, 2014, the Company wrote down its investment in INOVA Geophysical to zero and has suspended recording its share of losses in the joint venture. If at a future date, the Company’s cumulative share of earnings during the period of suspension becomes greater than its share of losses during the same period, the Company will begin to record its share of earnings in the joint venture as long as its net equity method investment remains greater than zero. The following table is a summary of segment information (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net revenues: Solutions: New Venture $ 3,636 $ 25,315 $ 8,665 $ 58,053 Data Library 7,509 13,625 9,646 26,842 Total multi-client revenues 11,145 38,940 18,311 84,895 Data Processing 11,205 23,694 23,038 66,980 Total $ 22,350 $ 62,634 $ 41,349 $ 151,875 Systems: Towed Streamer $ 2,682 $ 10,265 $ 7,847 $ 22,116 Other 4,992 12,140 12,596 25,137 Total $ 7,674 $ 22,405 $ 20,443 $ 47,253 Software: Software Systems $ 5,798 $ 9,308 $ 13,527 $ 18,462 Services 973 1,225 2,054 2,110 Total $ 6,771 $ 10,533 $ 15,581 $ 20,572 Ocean Bottom Services $ — $ 25,908 $ — $ 46,478 Total $ 36,795 $ 121,480 $ 77,373 $ 266,178 Gross profit (loss): Solutions $ (7,856 ) $ 12,269 $ (18,248 ) $ 45,280 Systems 1,500 9,748 6,059 21,165 Software 4,208 7,805 9,798 15,062 Ocean Bottom Services (7,987 ) 8,406 (23,532 ) 13,575 Total $ (10,135 ) $ 38,228 $ (25,923 ) $ 95,082 Gross margin: Solutions (35 )% 20 % (44 )% 30 % Systems 20 % 44 % 30 % 45 % Software 62 % 74 % 63 % 73 % Ocean Bottom Services — % 32 % — % 29 % Total (28 )% 31 % (34 )% 36 % Income (loss) from operations: Solutions $ (19,756 ) $ (1,419 ) $ (41,534 ) $ 17,693 Systems (2,379 ) 3,547 (1,365 ) 6,918 Software 2,095 5,630 5,430 10,758 Ocean Bottom Services (10,008 ) 6,494 (27,567 ) 10,656 Corporate and other (10,641 ) (10,467 ) (22,342 ) (22,569 ) Income (loss) from operations (40,689 ) 3,785 (87,378 ) 23,456 Interest expense, net (4,607 ) (4,934 ) (9,232 ) (9,731 ) Equity in losses of investments — (1,781 ) — (3,469 ) Other income, net 101,600 6,066 98,381 74,592 Income before income taxes $ 56,304 $ 3,136 $ 1,771 $ 84,848

Long-term Debt

Long-term Debt	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Long-term Debt	Long-term Debt Obligations (in thousands) June 30, 2015 December 31, 2014 Senior secured second-priority notes $ 175,000 $ 175,000 Equipment capital leases 13,168 15,059 Other debt — 535 Total 188,168 190,594 Current portion of long-term debt and lease obligations (7,213 ) (7,649 ) Non-current portion of long-term debt and lease obligations $ 180,955 $ 182,945 Credit Facility , including Revolving Line of Credit In August 2014, ION and its material U.S. subsidiaries, ION Exploration Products (U.S.A.), Inc., I/O Marine Systems, Inc. and GX Technology Corporation (collectively, the “ Subsidiary Borrowers ”), entered into a credit facility (the “ Credit Facility ”). For a complete discussion of the terms, available credit and security of this Credit Facility , see Footnote 6 to the Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 . On August 4, 2015 , the Company and the Subsidiary Borrowers amended the terms of the Credit Facility pursuant to a First Amendment to Revolving Credit and Security Agreement dated effective as of August 4, 2015 (the “ First Amendment ”). The First Amendment contemplated, among other things, (i) PNC Bank, National Association (“PNC”) becoming the sole lender under the Credit Facility, (ii) the reduction of the maximum amount of the revolving line of credit under the Credit Facility from $80.0 million to $40.0 million , (iii) the elimination of the requirement that the Company not exceed a maximum senior secured leverage ratio, (iv) the amendment of the borrowing base formula under the Credit Facility and (v) the removal of the accordion features under the Credit Facility for both the revolving line of credit and the last out term loan. For additional information regarding the terms of the First Amendment , see the Company’s Current Report on Form 8-K filed with the SEC on August 6, 2015 . Both immediately before and after giving effect to the First Amendment , there was no outstanding indebtedness under the Credit Facility . The borrowing base will increase or decrease monthly using an amended formula based on certain eligible receivables, eligible inventory and other amounts, including a percentage of the net orderly liquidation value of the Company's multi-client data library (not to exceed $15.0 million for the multi-client data library data component). The amended formula also removes the qualified cash component of up to $20.0 million . In connection with the First Amendment , an updated independent appraisal (including with respect to the Company's multi-client data library) is being obtained, which will be used in the borrowing base formula determination. The Company expects that following completion of the independent appraisal and the next redetermination of the borrowing base, the Company will have a borrowing base of approximately $30 – $40 million under the Credit Facility . There is no assurance that the Company's borrowing base will not be less than this expected range, which could affect the Company's liquidity. The revolving credit and security agreement contains covenants that, among other things, restrict the Company, subject to certain exceptions, from incurring additional indebtedness (including capital lease obligations), repurchasing equity, paying dividends or distributions, granting or incurring additional liens on the Company’s properties, pledging shares of the Company’s subsidiaries, entering into certain merger or other change-in-control transactions, entering into transactions with the Company’s affiliates, making certain sales or other dispositions of the Company’s assets, making certain investments, acquiring other businesses and entering into sale-leaseback transactions with respect to the Company’s property. The revolving credit and security agreement requires that ION and the Subsidiary Borrowers maintain a minimum fixed charge coverage ratio of 1.1 to 1 as of the end of each fiscal quarter during the existence of a covenant testing trigger event. The fixed charge coverage ratio is defined as the ratio of (i) ION’s EBITDA, minus unfunded capital expenditures made during the relevant period, minus distributions (including tax distributions) and dividends made during the relevant period, minus cash taxes paid during the relevant period, to (ii) certain debt payments made during the relevant period. A covenant testing trigger event occurs upon (a) the occurrence and continuance of an event of default under the Credit Facility or (b) the failure to maintain certain measures of liquidity specified in the Credit Facility. At June 30, 2015 , the Company was in compliance with all of the covenants under the Credit Facility. The revolving credit and security agreement contains customary event of default provisions (including a “change of control” event affecting ION), the occurrence of which could lead to an acceleration of the Company’s obligations under the revolving credit and security agreement. Senior Secured Second-Priority Notes In May 2013, the Company sold $175.0 million aggregate principal amount of 8.125% Senior Secured Second-Priority Notes due 2018 (“ Notes ”) in a private offering pursuant to an Indenture dated as of May 13, 2013. The Notes are senior secured second-priority obligations of the Company, are guaranteed by the Company’s material U.S. subsidiaries, GX Technology Corporation, ION Exploration Products (U.S.A.), Inc. and I/O Marine Systems, Inc. (“the Guarantors”), and mature on May 15, 2018. Interest on the Notes accrues at the rate of 8.125% per annum and will be payable semiannually in arrears on May 15 and November 15 of each year during their term. In May 2014, the holders of the Notes exchanged their Notes for a like principal amount of registered Notes with the same terms. For a complete discussion of the terms and security of these Notes , see Footnote 6 to the Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 . The Notes contain certain covenants that, among other things, limit or prohibit the Company’s ability and the ability of its restricted subsidiaries to take certain actions or permit certain conditions to exist during the term of the Notes, including among other things: • incurring additional indebtedness; • creating liens; • paying dividends and making other distributions in respect of the Company’s capital stock; • redeeming the Company’s capital stock; • making investments or certain other restricted payments; • selling certain kinds of assets; • entering into transactions with affiliates; and • effecting mergers or consolidations. These and other restrictive covenants contained in the Indenture are subject to certain exceptions and qualifications. All of the Company’s subsidiaries are currently restricted subsidiaries. As of June 30, 2015 , the Company was in compliance with the covenants on these Notes .

Net Income per Share

Net Income per Share	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Net Income per Share	Net Income per Share Basic net income per common share is computed by dividing net income applicable to common shares by the weighted average number of common shares outstanding during the period. Diluted net income per common share is determined based on the assumption that dilutive restricted stock and restricted stock unit awards have vested and outstanding dilutive stock options have been exercised and the aggregate proceeds were used to reacquire common stock using the average price of such common stock for the period. The total number of shares issued or reserved for future issuance under outstanding stock options at June 30, 2015 and 2014 was 9,321,649 and 9,425,725 , respectively, and the total number of shares of restricted stock and shares reserved for restricted stock units outstanding at June 30, 2015 and 2014 was 1,470,813 and 1,453,366 , respectively. All outstanding stock options for the three and six months ended June 30, 2015 were anti-dilutive. The following table summarizes the computation of basic and diluted net income per common share (in thousands, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net income attributable to ION $ 56,069 $ 1,188 $ 805 $ 77,167 Weighted average number of common shares outstanding 164,693 164,063 164,630 163,956 Effect of dilutive stock awards 19 360 21 287 Weighted average number of diluted common shares outstanding 164,712 164,423 164,651 164,243 Basic net income per share $ 0.34 $ 0.01 $ 0.00 $ 0.47 Diluted net income per share $ 0.34 $ 0.01 $ 0.00 $ 0.47

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company maintains a valuation allowance for substantially all of its deferred tax assets. The valuation allowance is calculated in accordance with the provisions of the Financial Accounting Standards Board’s (“FASB”) Accounting Standard Codification (“ASC”) Topic 740 “Income Taxes,” which requires that a valuation allowance be established or maintained when it is “more likely than not” that all or a portion of deferred tax assets will not be realized. In the event the Company’s expectations of future operating results change, the valuation allowance may need to be adjusted upward or downward. As of June 30, 2015 , the Company’s unreserved net U.S. deferred tax assets totaled $2.7 million , which is unchanged from December 31, 2014. These existing unreserved deferred tax assets are currently considered to be “more likely than not” realizable through the expected reversal of existing temporary differences and the ability to offset the related deductions against taxable income in open carryback years. The provision for the three months and six months ended June 30, 2015 has been calculated based on the actual tax expense incurred for those periods. Given the current uncertainty in expected income generated in various foreign jurisdictions, where tax rates can vary greatly, the Company’s actual tax rate is the best estimate of year-to-date tax expense. The Company’s effective tax rates for the three months ended June 30, 2015 and 2014 were 0.9% and 20.8% , respectively, and for the six months ended June 30, 2015 and 2014 were 85.5% and 7.0% , respectively. The Company’s effective tax rates for the three and six months ended June 30, 2015 were impacted by the change in valuation allowance related to the reduction of the legal contingency reserve as well as operating losses for which the Company cannot currently recognize a tax benefit. The Company’s income tax expense for the six months ended June 30, 2015 of $1.5 million relates to income from the Company’s non-U.S. businesses. This foreign tax expense has not been offset by the tax benefits on losses within the U.S. and other jurisdictions, from which the Company cannot currently benefit; therefore creating a high effective tax rate. The Company has approximately $2.0 million of unrecognized tax benefits and does not expect to recognize significant increases in unrecognized tax benefits during the next 12-month period. Interest and penalties, if any, related to unrecognized tax benefits are recorded in income tax expense. As of June 30, 2015 , the Company’s U.S. federal tax returns for 2011 and subsequent years remain subject to examination by tax authorities. The Company is no longer subject to U.S. Internal Revenue Service (“IRS”) examination for periods prior to 2011, although carryforward attributes that were generated prior to 2011 may still be adjusted upon examination by the IRS if they either have been or will be used in an open year. In the Company’s foreign tax jurisdictions, tax returns for 2009 and subsequent years generally remain open to examination.

Litigation

Litigation	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Litigation	Litigation WesternGeco In June 2009, WesternGeco L.L.C. (“WesternGeco”) filed a lawsuit against the Company in the United States District Court for the Southern District of Texas, Houston Division. In the lawsuit, styled WesternGeco L.L.C. v. ION Geophysical Corporation , WesternGeco alleged that the Company had infringed several method and apparatus claims contained in four of its United States patents regarding marine seismic streamer steering devices. The trial began in July 2012. A verdict was returned by the jury in August 2012, finding that the Company infringed the claims contained in the four patents by supplying its DigiFIN ® lateral streamer control units and the related software from the United States and awarded WesternGeco the sum of $105.9 million in damages, consisting of $12.5 million in reasonable royalty and $93.4 million in lost profits. In June 2013, the presiding judge entered a Memorandum and Order, ruling that WesternGeco is entitled to be awarded supplemental damages for the additional DigiFIN units that were supplied from the United States before and after the trial that were not included in the jury verdict due to the timing of the trial. In October 2013, the judge entered another Memorandum and Order, ruling on the number of DigiFIN units that are subject to supplemental damages and also ruling that the supplemental damages applicable to the additional units should be calculated by adding together the jury’s previous reasonable royalty and lost profits damages awards per unit, resulting in supplemental damages of $73.1 million . In April 2014, the judge entered another Order, ruling that lost profits should not have been included in the calculation of supplemental damages in the October 2013 Memorandum and Order and reducing the supplemental damages award in the case from $73.1 million to $9.4 million . In the Order, the judge also further reduced the damages award in the case by $3.0 million to reflect a settlement and license that WesternGeco entered into with a customer of the Company that had purchased and used DigiFIN units that were also included in the damage amounts awarded against the Company. In May 2014, the judge signed and entered a Final Judgment in the amount of $123.8 million related to the case. The Final Judgment also included an injunction that enjoins the Company, its agents and anyone acting in concert with it, from supplying in or from the United States the DigiFIN product or any parts unique to the DigiFIN product, or any instrumentality no more than colorably different from any of these products or parts, for combination outside of the United States. The Company has conducted its business in compliance with the district court’s orders in the case, and the Company has reorganized its operations such that it no longer supplies the DigiFIN product or any parts unique to the DigiFIN product in or from the United States. The Company and WesternGeco each appealed the Final Judgment to the United States Court of Appeals for the Federal Circuit in Washington, D.C. On July 2, 2015, the Court of Appeals reversed in part the judgment, holding the district court erred by including lost profits in the Final Judgment. Lost profits were $93.4 million and prejudgment interest was approximately $10.9 million of the $123.8 million Final Judgment. Pre-judgment interest on the lost profits portion will be treated in the same way as the lost profits. Post-judgment interest will likewise be treated in the same fashion. On July 29, 2015, WesternGeco filed a petition for rehearing en banc before the Court of Appeals. The Court of Appeals has not yet ruled on whether or not it will accept WesternGeco’s request for rehearing. As previously disclosed, the Company had taken a loss contingency accrual of $124 million . As a result of the reversal by the Court of Appeals, the Company has reduced the loss contingency accrual to $22 million as of June 30, 2015. The Company’s assessment of its potential loss contingency may change in the future due to developments in the case and other events, such as changes in applicable law, and such reassessment could lead to the determination that no loss contingency is probable or that a greater or lesser loss contingency is probable. Any such reassessment could have a material effect on the Company’s financial condition or results of operations. Prior to the reduction in damages by the Court of Appeals, the Company arranged with sureties to post an appeal bond at the trial court. The appeal bond is uncollateralized, but the terms of the appeal bond arrangements provide the sureties the contractual right for as long as the bond is outstanding to require the Company to post cash collateral. In light of the Court of Appeals’ decision, the Company does not anticipate any requests for collateral in excess of the reduced damages amount. If the sureties exercise their right to require collateral, the Company would intend to utilize cash on hand or undrawn balances available under the Company’s Credit Facility . The appeal bond will remain outstanding during the pendency of appeals. Other The Company has been named in various other lawsuits or threatened actions that are incidental to its ordinary business. Litigation is inherently unpredictable. Any claims against the Company, whether meritorious or not, could be time-consuming, cause the Company to incur costs and expenses, require significant amounts of management time and result in the diversion of significant operational resources. The results of these lawsuits and actions cannot be predicted with certainty. Management currently believes that the ultimate resolution of these matters will not have a material adverse impact on the financial condition, results of operations or liquidity of the Company.

Other Income, Net

Other Income, Net	6 Months Ended
	Jun. 30, 2015
Other Income and Expenses [Abstract]
Other Income, Net	Other Income, Net The following table is a summary of other income , net (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Reductions of loss contingency related to legal proceedings (Footnote 7) $ 101,978 $ — $ 101,978 $ 69,557 Facility restructuring charges (Footnote 2) — — (1,913 ) — Gain on sale of product line (a) — 6,522 — 6,522 Other expense, net (378 ) (456 ) (1,684 ) (1,487 ) Total other income, net $ 101,600 $ 6,066 $ 98,381 $ 74,592 (a) In May 2014, the Company sold its Source product line for approximately $14.4 million , net of transaction fees, recording a gain of approximately $6.5 million before taxes. As a part of this transaction, the Company reduced Goodwill on the Marine reporting unit by $5.1 million . The historical results of this product line have not been material to the Company’s results of operations.

Details of Selected Balance She

Details of Selected Balance Sheet Accounts	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Details of Selected Balance Sheet Accounts	Details of Selected Balance Sheet Accounts Inventories The following table is a summary of inventories (in thousands): June 30, 2015 December 31, 2014 Raw materials and subassemblies $ 38,195 $ 41,461 Work-in-process 10,405 18,221 Finished goods 12,294 21,284 Reserve for excess and obsolete inventories (24,947 ) (29,804 ) Total $ 35,947 $ 51,162 The $4.9 million reduction in the reserve for excess and obsolete inventories was due to the scrapping of fully reserved inventory. Other Long-term Liabilities The following table is a summary of other long-term liabilities (in thousands): June 30, 2015 December 31, 2014 Accrual for loss contingency related to legal proceedings (Footnote 7) $ 22,000 $ 123,770 Deferred rents 13,543 13,416 Facility restructuring accrual 3,633 3,353 Other long-term liabilities 3,102 3,265 Total $ 42,278 $ 143,804

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Accumulated Other Comprehensive Income (Loss)	Accumulated Other Comprehensive Income (Loss) The following table is a summary of changes in accumulated other comprehensive loss by component (in thousands): Foreign currency translation adjustments Total Accumulated other comprehensive loss at December 31, 2014 $ (12,807 ) $ (12,807 ) Net current-period other comprehensive income (loss) 608 608 Accumulated other comprehensive loss at June 30, 2015 $ (12,199 ) $ (12,199 )

Supplemental Cash Flow Informat

Supplemental Cash Flow Information and Non-Cash Activity	6 Months Ended
	Jun. 30, 2015
Supplemental Cash Flow Elements [Abstract]
Supplemental Cash Flow Information and Non-cash Activity	Supplemental Cash Flow Information and Non-cash Activity The following table is a summary of non-cash items from investing and financing activities (in thousands): Six Months Ended June 30, 2015 2014 Cash paid during the period for: Interest $ 7,843 $ 8,803 Income taxes $ 9,649 $ 7,326 Non-cash items from investing and financing activities: Purchases of computer equipment financed through capital leases $ 1,178 $ 4,780 Investment in multi-client data library financed through accounts payable $ 6,706 $ 2,773 Transfer of inventory to property, plant, equipment and seismic rental equipment $ 15,936 (a) $ 2,308 (a) This transfer of inventory to property, plant, equipment and seismic rental equipment relates to ocean bottom seismic equipment manufactured by the Company to be deployed in the acquisition of ocean bottom seismic data. Additionally, during the six months ended June 30, 2015 , the Company purchased approximately $17.2 million of property, plant, equipment and seismic rental equipment, including approximately $14.3 million related to the manufacture of ocean bottom seismic equipment that will be used by the Ocean Bottom Services segment.

Acquisition of OceanGeo

Acquisition of OceanGeo	6 Months Ended
	Jun. 30, 2015
Business Combinations [Abstract]
Acquisition of OceanGeo	Acquisition of OceanGeo In 2014, the Company completed the acquisition of OceanGeo B.V. (“OceanGeo”). OceanGeo specializes in seismic acquisition operations using ocean bottom cables deployed from vessels leased by OceanGeo. For a complete discussion of the acquisition of OceanGeo, see Footnote 3 to the Financial Statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 . The following summarized unaudited pro forma consolidated income statement information for the six months ended June 30, 2014 , assumes that the OceanGeo acquisition had occurred as of the beginning of the period prior to the period the acquisition occurred. The Company has prepared these unaudited pro forma financial results for comparative purposes only. These unaudited pro forma financial results may not be indicative of the results that would have occurred if ION had completed the acquisition as of the beginning of that prior period or the results that may be attained in the future. Amounts presented below are in thousands, except for the per share amounts: Pro forma Consolidated ION Income Statement Information Six Months Ended June 30, 2014 Net revenues $ 275,362 Income from operations $ 26,712 Net income $ 79,631 Net income attributable to ION $ 77,866 Basic and diluted net income per common share $ 0.47 OceanGeo did not record any revenues during the six months ended June 30, 2015 due to its vessels being idle while it attempts to secure a backlog of future orders. OceanGeo is actively in negotiations on two projects and anticipates that the crew will go back to work in the fourth quarter of 2015 or the first quarter of 2016.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	Fair Value of Financial Instruments Authoritative guidance on fair value measurements defines fair value, establishes a framework for measuring fair value and stipulates the related disclosure requirements. The Company follows a three-level hierarchy, prioritizing and defining the types of inputs used to measure fair value. The carrying amounts of the Company’s long-term debt as of June 30, 2015 and December 31, 2014 were $188.2 million and $190.6 million , respectively, compared to its fair values of $138.5 million and $162.6 million as of June 30, 2015 and December 31, 2014 , respectively. The fair value of the long-term debt was calculated using Level 1 inputs, including an active market price. Fair Value of Other Financial Instruments. Due to their highly liquid nature, the amount of the Company’s other financial instruments, including cash and cash equivalents, accounts and unbilled receivables, notes receivable, accounts payable, and accrued multi-client data library royalties, represent their approximate fair value.

Stock-based Compensation

Stock-based Compensation	6 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-based Compensation	Stock-based Compensation Stock Appreciation Rights (“SARs”) . On March 1, 2015, the Company issued 3,108,107 SAR awards to 16 individuals with an exercise price of $2.28 . The vesting of these SARs is achieved through both a market condition and a service condition. The market condition is achieved, in part or in full, in the event that during the four -year period beginning on the date of grant the 20 -day trailing volume-weighted average price of a share of common stock is (i) greater than 120% of the exercise price for the first 1/3 of the awards, (ii) greater than 125% of the exercise price for the second 1/3 of the awards and (iii) greater than 130% of the exercise price for the final 1/3 of the awards. The exercise condition restricts the ability of the holders to exercise awards until certain service milestones have been reached such that (i) no more than 1/3 of the awards may be exercised, if vested, on and after the first anniversary of the date of grant, (ii) no more than 2/3 of the awards may be exercised, if vested, on and after the second anniversary of the date of grant and (iii) all of the awards may be exercised, if vested, on and after the third anniversary of the date of grant. For the six months ended June 30, 2015 , the Company recorded $0.3 million of share-based compensation expense attributable to SAR awards. Pursuant to ASC 718, “ Compensation – Stock Compensation ,” the stock appreciation rights are considered liability awards and as such, these amounts are accrued in the liability section of the balance sheet. The Company calculated the fair value of each SAR award on the date of grant using a Monte Carlo simulation model. The following assumptions were used: March 1, 2015 Risk-free interest rates 2.03% Expected lives (in years) 2.7 Expected dividend yield —% Expected volatility 60.27%

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2015
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions BGP Inc. (“BGP”) owned approximately 14.4% of the Company’s outstanding common stock as of June 30, 2015 . For the six months ended June 30, 2015 and 2014 , the Company recorded revenues from BGP of $4.9 million and $3.9 million , respectively. Total receivables due from BGP were $1.1 million at June 30, 2015 .

Recent Accounting Pronouncement

Recent Accounting Pronouncements	6 Months Ended
	Jun. 30, 2015
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements Revenue Recognition — In May 2014, the FASB and the International Accounting Standards Board (“IASB”) jointly issued new accounting guidance for recognition of revenue. This new guidance replaces virtually all existing U.S. GAAP and IFRS guidance on revenue recognition. On July 9, 2015, the FASB voted to defer the effective date for its new revenue standard for public and nonpublic entities reporting under U.S. GAAP by one year. As a result, the new guidance is now effective for fiscal years beginning after December 15, 2017. This new guidance applies to all periods presented. Therefore, when the Company issues its financial statements on Forms 10-Q and 10-K for periods included in its year ended December 31, 2018, its comparative periods that are presented from the years ended December 31, 2016 and 2017, must be retrospectively presented in compliance with this new guidance. Early adoption is not allowed for U.S. GAAP. The new guidance requires companies to make more estimates and use more judgment than under current accounting guidance. The FASB and IASB (collectively, the “Boards”) have discussed clarifying the guidance in their new revenue standards for: (1) licenses of intellectual property, (2) identifying performance obligations, (3) noncash consideration and (4) collectability. The Boards have also discussed whether to add practical expedients for the accounting for contract modifications at transition and the presentation of sales taxes, and the FASB separately discussed several technical corrections. The FASB and the IASB did not agree on the nature and breadth of all of the changes to be proposed. The Boards are expected to issue separate exposure drafts later this year. The Company continues to evaluate (i) the two allowed adoption methods to determine which method it plans to use for retrospective presentation of comparative periods, (ii) the impact of proposed clarifications to the guidance on timing of the recognition of revenue within the Company’s various revenue streams, (iii) the Company’s option to adopt the new guidance either as of the originally proposed effective date or the proposed deferred effective date and (iv) whether the implementation of this new guidance will have a material impact on the Company’s consolidated financial position or results of operations for the periods presented.

Condensed Consolidating Financi

Condensed Consolidating Financial Information	6 Months Ended
	Jun. 30, 2015
Condensed Financial Information of Parent Company Only Disclosure [Abstract]
Condensed Consolidating Financial Information	Condensed Consolidating Financial Information In 2013, the Company sold $175.0 million aggregate principal amount of its 8.125% Senior Secured Second-Priority Notes due 2018 (the “ Notes ”). The Notes were issued by ION Geophysical Corporation and are guaranteed by the Guarantors, all of which are 100-percent-owned subsidiaries. The Guarantors have fully and unconditionally guaranteed the payment obligations of ION Geophysical Corporation with respect to the Notes . The following condensed consolidating financial information presents the results of operations, financial position and cash flows for: • ION Geophysical Corporation and the Guarantors (in each case, reflecting investments in subsidiaries utilizing the equity method of accounting). • All other subsidiaries of ION Geophysical Corporation that are not Guarantors. • The consolidating adjustments necessary to present ION Geophysical Corporation’s results on a consolidated basis. This condensed consolidating financial information should be read in conjunction with the accompanying consolidated financial statements and footnotes. June 30, 2015 Balance Sheet ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) ASSETS Current assets: Cash and cash equivalents $ 60,097 $ — $ 56,963 $ — $ 117,060 Accounts receivable, net (10 ) 14,296 12,191 — 26,477 Unbilled receivables — 11,603 1,778 — 13,381 Inventories — 4,051 31,896 — 35,947 Prepaid expenses and other current assets 4,019 2,862 7,351 (899 ) 13,333 Total current assets 64,106 32,812 110,179 (899 ) 206,198 Deferred income tax asset 2,472 8,295 200 (2,537 ) 8,430 Property, plant, equipment and seismic rental equipment, net 5,464 27,351 50,674 — 83,489 Multi-client data library, net — 112,109 15,649 — 127,758 Investment in subsidiaries 700,267 245,983 — (946,250 ) — Goodwill — — 27,679 — 27,679 Intangible assets, net — 5,389 422 — 5,811 Intercompany receivables 48,576 — — (48,576 ) — Other assets 8,431 196 1,218 — 9,845 Total assets $ 829,316 $ 432,135 $ 206,021 $ (998,262 ) $ 469,210 LIABILITIES AND EQUITY Current liabilities: Current maturities of long-term debt $ — $ 7,121 $ 92 $ — $ 7,213 Accounts payable 2,664 15,920 6,754 — 25,338 Accrued expenses 11,124 21,308 10,679 (52 ) 43,059 Accrued multi-client data library royalties — 17,964 560 — 18,524 Deferred revenue — 7,405 3,267 — 10,672 Total current liabilities 13,788 69,718 21,352 (52 ) 104,806 Long-term debt, net of current maturities 175,000 5,903 52 — 180,955 Intercompany payables 497,966 29,949 18,627 (546,542 ) — Other long-term liabilities 2,472 31,841 11,349 (3,384 ) 42,278 Total liabilities 689,226 137,411 51,380 (549,978 ) 328,039 Redeemable noncontrolling interest — — 1,080 — 1,080 Equity: Common stock 1,647 290,460 19,138 (309,598 ) 1,647 Additional paid-in capital 890,811 180,700 234,234 (414,934 ) 890,811 Accumulated earnings (deficit) (733,604 ) 238,544 (11,538 ) (227,006 ) (733,604 ) Accumulated other comprehensive income (loss) (12,199 ) 6,868 (12,156 ) 5,288 (12,199 ) Due from ION Geophysical Corporation — (421,848 ) (76,118 ) 497,966 — Treasury stock (6,565 ) — — — (6,565 ) Total stockholders’ equity 140,090 294,724 153,560 (448,284 ) 140,090 Noncontrolling interests — — 1 — 1 Total equity 140,090 294,724 153,561 (448,284 ) 140,091 Total liabilities and equity $ 829,316 $ 432,135 $ 206,021 $ (998,262 ) $ 469,210 December 31, 2014 Balance Sheet ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) ASSETS Current assets: Cash and cash equivalents $ 109,514 $ — $ 64,094 $ — $ 173,608 Accounts receivable, net 123 49,892 64,310 — 114,325 Unbilled receivables — 18,548 4,051 — 22,599 Inventories — 4,013 47,149 — 51,162 Prepaid expenses and other current assets 6,692 2,697 8,769 (4,496 ) 13,662 Total current assets 116,329 75,150 188,373 (4,496 ) 375,356 Deferred income tax asset (7,852 ) 6,675 749 9,032 8,604 Property, plant, equipment and seismic rental equipment, net 6,412 33,065 30,363 — 69,840 Multi-client data library, net — 96,423 22,246 — 118,669 Investment in subsidiaries 675,499 278,294 — (953,793 ) — Goodwill — — 27,388 — 27,388 Intangible assets, net — 6,254 534 — 6,788 Intercompany receivables 29,979 — — (29,979 ) — Other assets 10,191 147 274 — 10,612 Total assets $ 830,558 $ 496,008 $ 269,927 $ (979,236 ) $ 617,257 LIABILITIES AND EQUITY Current liabilities: Current maturities of long-term debt $ — $ 6,965 $ 684 $ — $ 7,649 Accounts payable 4,308 12,028 20,527 — 36,863 Accrued expenses 3,904 34,738 21,807 4,815 65,264 Accrued multi-client data library royalties — 34,624 595 — 35,219 Deferred revenue — 5,263 2,999 — 8,262 Total current liabilities 8,212 93,618 46,612 4,815 153,257 Long-term debt, net of current maturities 175,000 7,839 106 — 182,945 Intercompany payables 509,124 8,892 21,087 (539,103 ) — Other long-term liabilities 2,609 130,985 10,489 (279 ) 143,804 Total liabilities 694,945 241,334 78,294 (534,567 ) 480,006 Redeemable noncontrolling interest — — 1,539 — 1,539 Equity: Common stock 1,645 290,460 19,138 (309,598 ) 1,645 Additional paid-in capital 887,749 180,700 234,234 (414,934 ) 887,749 Accumulated earnings (deficit) (734,409 ) 208,846 26,981 (235,827 ) (734,409 ) Accumulated other comprehensive income (loss) (12,807 ) 6,229 (12,795 ) 6,566 (12,807 ) Due from ION Geophysical Corporation — (431,561 ) (77,563 ) 509,124 — Treasury stock (6,565 ) — — — (6,565 ) Total stockholders’ equity 135,613 254,674 189,995 (444,669 ) 135,613 Noncontrolling interests — — 99 — 99 Total equity 135,613 254,674 190,094 (444,669 ) 135,712 Total liabilities and equity $ 830,558 $ 496,008 $ 269,927 $ (979,236 ) $ 617,257 Three Months Ended June 30, 2015 Income Statement ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) Net revenues $ — $ 22,465 $ 14,765 $ (435 ) $ 36,795 Cost of sales — 28,227 19,138 (435 ) 46,930 Gross loss — (5,762 ) (4,373 ) — (10,135 ) Total operating expenses 6,466 12,805 11,283 — 30,554 Loss from operations (6,466 ) (18,567 ) (15,656 ) — (40,689 ) Interest expense, net (4,506 ) (100 ) (1 ) — (4,607 ) Intercompany interest, net 143 (745 ) 602 — — Equity in earnings (losses) of investments 66,986 (14,028 ) — (52,958 ) — Other income (expense) (29 ) 101,954 (325 ) — 101,600 Net income (loss) before income taxes 56,128 68,514 (15,380 ) (52,958 ) 56,304 Income tax expense 59 123 350 — 532 Net income (loss) 56,069 68,391 (15,730 ) (52,958 ) 55,772 Net loss attributable to noncontrolling interests — — 297 — 297 Net income (loss) attributable to ION 56,069 68,391 (15,433 ) (52,958 ) 56,069 Comprehensive net income (loss) $ 58,022 $ 70,390 $ (13,731 ) $ (56,956 ) $ 57,725 Comprehensive loss attributable to noncontrolling interest — — 297 — 297 Comprehensive net income (loss) attributable to ION $ 58,022 $ 70,390 $ (13,434 ) $ (56,956 ) $ 58,022 Three Months Ended June 30, 2014 Income Statement ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) Net revenues $ — $ 47,881 $ 74,877 $ (1,278 ) $ 121,480 Cost of sales — 41,018 43,512 (1,278 ) 83,252 Gross profit — 6,863 31,365 — 38,228 Total operating expenses 7,518 15,326 11,599 — 34,443 Income (loss) from operations (7,518 ) (8,463 ) 19,766 — 3,785 Interest expense, net (4,458 ) (48 ) (428 ) — (4,934 ) Intercompany interest, net (210 ) 1,388 (1,178 ) — — Equity in earnings (losses) of investments 14,838 20,259 — (36,878 ) (1,781 ) Other income (expense) (1,711 ) 3,572 4,205 — 6,066 Net income before income taxes 941 16,708 22,365 (36,878 ) 3,136 Income tax expense (benefit) (247 ) (133 ) 1,033 — 653 Net income 1,188 16,841 21,332 (36,878 ) 2,483 Net income attributable to noncontrolling interests — — (1,295 ) — (1,295 ) Net income attributable to ION 1,188 16,841 20,037 (36,878 ) 1,188 Comprehensive net income $ 3,133 $ 19,967 $ 23,955 $ (42,627 ) $ 4,428 Comprehensive income attributable to noncontrolling interest — — (1,295 ) — (1,295 ) Comprehensive net income attributable to ION $ 3,133 $ 19,967 $ 22,660 $ (42,627 ) $ 3,133 Six Months Ended June 30, 2015 Income Statement ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) Net revenues $ — $ 41,314 $ 36,900 $ (841 ) $ 77,373 Cost of sales — 53,002 51,135 (841 ) 103,296 Gross loss — (11,688 ) (14,235 ) — (25,923 ) Total operating expenses 14,382 25,885 21,188 — 61,455 Loss from operations (14,382 ) (37,573 ) (35,423 ) — (87,378 ) Interest expense, net (9,057 ) (172 ) (3 ) — (9,232 ) Intercompany interest, net 282 (1,402 ) 1,120 — — Equity in earnings (losses) of investments 24,129 (32,950 ) — 8,821 — Other income (expense) (58 ) 101,969 (3,530 ) — 98,381 Net income (loss) before income taxes 914 29,872 (37,836 ) 8,821 1,771 Income tax expense 109 174 1,232 — 1,515 Net income (loss) 805 29,698 (39,068 ) 8,821 256 Net loss attributable to noncontrolling interests — — 549 — 549 Net income (loss) applicable to ION 805 29,698 (38,519 ) 8,821 805 Comprehensive net income (loss) $ 1,413 $ 30,337 $ (38,429 ) $ 7,543 $ 864 Comprehensive loss attributable to noncontrolling interest — — 549 — 549 Comprehensive net income (loss) attributable to ION $ 1,413 $ 30,337 $ (37,880 ) $ 7,543 $ 1,413 Six Months Ended June 30, 2014 Income Statement ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) Net revenues $ — $ 126,003 $ 141,453 $ (1,278 ) $ 266,178 Cost of sales — 85,014 87,360 (1,278 ) 171,096 Gross profit — 40,989 54,093 — 95,082 Total operating expenses 16,539 30,581 24,506 — 71,626 Income (loss) from operations (16,539 ) 10,408 29,587 — 23,456 Interest expense, net (9,031 ) (90 ) (610 ) — (9,731 ) Intercompany interest, net (144 ) 953 (809 ) — — Equity in earnings (losses) of investments 104,326 24,115 738 (132,648 ) (3,469 ) Other income (expense) (1,214 ) 73,483 2,323 — 74,592 Net income before income taxes 77,398 108,869 31,229 (132,648 ) 84,848 Income tax expense 231 199 5,486 — 5,916 Net income 77,167 108,670 25,743 (132,648 ) 78,932 Net income attributable to noncontrolling interests — — (1,765 ) — (1,765 ) Net income applicable to ION 77,167 108,670 23,978 (132,648 ) 77,167 Comprehensive net income $ 78,451 $ 111,795 $ 28,856 $ (138,886 ) $ 80,216 Comprehensive income attributable to noncontrolling interest — — (1,765 ) — (1,765 ) Comprehensive net income attributable to ION $ 78,451 $ 111,795 $ 27,091 $ (138,886 ) $ 78,451 Six Months Ended June 30, 2015 Statement of Cash Flows ION Geophysical Corporation The Guarantors All Other Subsidiaries Total Consolidated (In thousands) Cash flows from operating activities: Net cash provided by (used in) operating activities $ (78,847 ) $ 46,942 $ 9,410 $ (22,495 ) Cash flows from investing activities: Cash invested in multi-client data library — (12,728 ) (870 ) (13,598 ) Purchase of property, plant, equipment and seismic rental equipment (347 ) (774 ) (16,092 ) (17,213 ) Other investing activities — 257 — 257 Net cash used in investing activities (347 ) (13,245 ) (16,962 ) (30,554 ) Cash flows from financing activities: Payments on notes payable and long-term debt — (2,927 ) (633 ) (3,560 ) Intercompany lending 29,755 (30,770 ) 1,015 — Other financing activities 22 — — 22 Net cash provided by (used in) financing activities 29,777 (33,697 ) 382 (3,538 ) Effect of change in foreign currency exchange rates on cash and cash equivalents — — 39 39 Net decrease in cash and cash equivalents (49,417 ) — (7,131 ) (56,548 ) Cash and cash equivalents at beginning of period 109,514 — 64,094 173,608 Cash and cash equivalents at end of period $ 60,097 $ — $ 56,963 $ 117,060 Six Months Ended June 30, 2014 Statement of Cash Flows ION Geophysical Corporation The Guarantors All Other Subsidiaries Total Consolidated (In thousands) Cash flows from operating activities: Net cash provided by (used in) operating activities $ 57,755 $ (23,434 ) $ 42,417 $ 76,738 Cash flows from investing activities: Investment in multi-client data library — (34,203 ) (114 ) (34,317 ) Purchase of property, plant, equipment and seismic rental equipment (460 ) (2,773 ) (1,310 ) (4,543 ) Repayment of advance to INOVA Geophysical 1,000 — — 1,000 Net investment in and advances to OceanGeo B.V. prior to its consolidation — — (3,074 ) (3,074 ) Net proceeds from sale of Source product line — 9,881 4,513 14,394 Other investing activities 579 — 26 605 Net cash provided by (used in) investing activities 1,119 (27,095 ) 41 (25,935 ) Cash flows from financing activities: Payments under revolving line of credit (50,000 ) — — (50,000 ) Borrowings under revolving line of credit 15,000 — — 15,000 Payments on notes payable and long-term debt (461 ) (2,862 ) (2,272 ) (5,595 ) Intercompany lending (46,991 ) 53,391 (6,400 ) — Other financing activities (339 ) — — (339 ) Net cash provided by (used in) financing activities (82,791 ) 50,529 (8,672 ) (40,934 ) Effect of change in foreign currency exchange rates on cash and cash equivalents — — (146 ) (146 ) Net increase (decrease) in cash and cash equivalents (23,917 ) — 33,640 9,723 Cash and cash equivalents at beginning of period 124,701 — 23,355 148,056 Cash and cash equivalents at end of period $ 100,784 $ — $ 56,995 $ 157,779

Restructurings (Tables)

Restructurings (Tables)	6 Months Ended
	Jun. 30, 2015
Restructuring and Related Activities [Abstract]
Restructuring and Related Costs	During the six months ended June 30, 2015 , the Company recognized the following pre-tax charges and credits (in thousands): Severance Charges (a) Facility Charges (b) Total Cost of goods sold $ 1,813 $ — $ 1,813 Operating expenses 198 1,324 1,522 Other (income) expense — 1,913 1,913 Income tax benefit — (150 ) (150 ) Net income attributable to noncontrolling interest (172 ) — (172 ) Consolidated total $ 1,839 $ 3,087 $ 4,926 (a) Represents severance charges related to first half 2015 restructurings, a portion of which relates to a noncontrolling interest. (b) Represents facility charges related to first half 2015 restructurings.

Segment Information (Tables)

Segment Information (Tables)	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Summary of Segment Information	The following table is a summary of segment information (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net revenues: Solutions: New Venture $ 3,636 $ 25,315 $ 8,665 $ 58,053 Data Library 7,509 13,625 9,646 26,842 Total multi-client revenues 11,145 38,940 18,311 84,895 Data Processing 11,205 23,694 23,038 66,980 Total $ 22,350 $ 62,634 $ 41,349 $ 151,875 Systems: Towed Streamer $ 2,682 $ 10,265 $ 7,847 $ 22,116 Other 4,992 12,140 12,596 25,137 Total $ 7,674 $ 22,405 $ 20,443 $ 47,253 Software: Software Systems $ 5,798 $ 9,308 $ 13,527 $ 18,462 Services 973 1,225 2,054 2,110 Total $ 6,771 $ 10,533 $ 15,581 $ 20,572 Ocean Bottom Services $ — $ 25,908 $ — $ 46,478 Total $ 36,795 $ 121,480 $ 77,373 $ 266,178 Gross profit (loss): Solutions $ (7,856 ) $ 12,269 $ (18,248 ) $ 45,280 Systems 1,500 9,748 6,059 21,165 Software 4,208 7,805 9,798 15,062 Ocean Bottom Services (7,987 ) 8,406 (23,532 ) 13,575 Total $ (10,135 ) $ 38,228 $ (25,923 ) $ 95,082 Gross margin: Solutions (35 )% 20 % (44 )% 30 % Systems 20 % 44 % 30 % 45 % Software 62 % 74 % 63 % 73 % Ocean Bottom Services — % 32 % — % 29 % Total (28 )% 31 % (34 )% 36 % Income (loss) from operations: Solutions $ (19,756 ) $ (1,419 ) $ (41,534 ) $ 17,693 Systems (2,379 ) 3,547 (1,365 ) 6,918 Software 2,095 5,630 5,430 10,758 Ocean Bottom Services (10,008 ) 6,494 (27,567 ) 10,656 Corporate and other (10,641 ) (10,467 ) (22,342 ) (22,569 ) Income (loss) from operations (40,689 ) 3,785 (87,378 ) 23,456 Interest expense, net (4,607 ) (4,934 ) (9,232 ) (9,731 ) Equity in losses of investments — (1,781 ) — (3,469 ) Other income, net 101,600 6,066 98,381 74,592 Income before income taxes $ 56,304 $ 3,136 $ 1,771 $ 84,848

Long-term Debt (Tables)

Long-term Debt (Tables)	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Obligations	Obligations (in thousands) June 30, 2015 December 31, 2014 Senior secured second-priority notes $ 175,000 $ 175,000 Equipment capital leases 13,168 15,059 Other debt — 535 Total 188,168 190,594 Current portion of long-term debt and lease obligations (7,213 ) (7,649 ) Non-current portion of long-term debt and lease obligations $ 180,955 $ 182,945

Net Income per Share (Tables)

Net Income per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Computation of basic and diluted net income per common share	The following table summarizes the computation of basic and diluted net income per common share (in thousands, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Net income attributable to ION $ 56,069 $ 1,188 $ 805 $ 77,167 Weighted average number of common shares outstanding 164,693 164,063 164,630 163,956 Effect of dilutive stock awards 19 360 21 287 Weighted average number of diluted common shares outstanding 164,712 164,423 164,651 164,243 Basic net income per share $ 0.34 $ 0.01 $ 0.00 $ 0.47 Diluted net income per share $ 0.34 $ 0.01 $ 0.00 $ 0.47

Other Income, Net (Tables)

Other Income, Net (Tables)	6 Months Ended
	Jun. 30, 2015
Other Income and Expenses [Abstract]
Schedule of Other Income, Net	The following table is a summary of other income , net (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Reductions of loss contingency related to legal proceedings (Footnote 7) $ 101,978 $ — $ 101,978 $ 69,557 Facility restructuring charges (Footnote 2) — — (1,913 ) — Gain on sale of product line (a) — 6,522 — 6,522 Other expense, net (378 ) (456 ) (1,684 ) (1,487 ) Total other income, net $ 101,600 $ 6,066 $ 98,381 $ 74,592 (a) In May 2014, the Company sold its Source product line for approximately $14.4 million , net of transaction fees, recording a gain of approximately $6.5 million before taxes. As a part of this transaction, the Company reduced Goodwill on the Marine reporting unit by $5.1 million . The historical results of this product line have not been material to the Company’s results of operations.

Details of Selected Balance S29

Details of Selected Balance Sheet Accounts (Tables)	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Summary of Inventories	Inventories The following table is a summary of inventories (in thousands): June 30, 2015 December 31, 2014 Raw materials and subassemblies $ 38,195 $ 41,461 Work-in-process 10,405 18,221 Finished goods 12,294 21,284 Reserve for excess and obsolete inventories (24,947 ) (29,804 ) Total $ 35,947 $ 51,162
Summary of Other Long-term Liabilities	Other Long-term Liabilities The following table is a summary of other long-term liabilities (in thousands): June 30, 2015 December 31, 2014 Accrual for loss contingency related to legal proceedings (Footnote 7) $ 22,000 $ 123,770 Deferred rents 13,543 13,416 Facility restructuring accrual 3,633 3,353 Other long-term liabilities 3,102 3,265 Total $ 42,278 $ 143,804

Accumulated Other Comprehensi30

Accumulated Other Comprehensive Income (Loss) (Tables)	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Summary of Changes in Accumulated Other Comprehensive Income (Loss)	The following table is a summary of changes in accumulated other comprehensive loss by component (in thousands): Foreign currency translation adjustments Total Accumulated other comprehensive loss at December 31, 2014 $ (12,807 ) $ (12,807 ) Net current-period other comprehensive income (loss) 608 608 Accumulated other comprehensive loss at June 30, 2015 $ (12,199 ) $ (12,199 )

Supplemental Cash Flow Inform31

Supplemental Cash Flow Information and Non-Cash Activity (Tables)	6 Months Ended
	Jun. 30, 2015
Supplemental Cash Flow Elements [Abstract]
Summary of Non-cash Items from Investing and Financing Activities	The following table is a summary of non-cash items from investing and financing activities (in thousands): Six Months Ended June 30, 2015 2014 Cash paid during the period for: Interest $ 7,843 $ 8,803 Income taxes $ 9,649 $ 7,326 Non-cash items from investing and financing activities: Purchases of computer equipment financed through capital leases $ 1,178 $ 4,780 Investment in multi-client data library financed through accounts payable $ 6,706 $ 2,773 Transfer of inventory to property, plant, equipment and seismic rental equipment $ 15,936 (a) $ 2,308 (a) This transfer of inventory to property, plant, equipment and seismic rental equipment relates to ocean bottom seismic equipment manufactured by the Company to be deployed in the acquisition of ocean bottom seismic data. Additionally, during the six months ended June 30, 2015 , the Company purchased approximately $17.2 million of property, plant, equipment and seismic rental equipment, including approximately $14.3 million related to the manufacture of ocean bottom seismic equipment that will be used by the Ocean Bottom Services segment.

Acquisition of OceanGeo (Tables

Acquisition of OceanGeo (Tables)	6 Months Ended
	Jun. 30, 2015
Business Combinations [Abstract]
Business Acquisition, Pro Forma Information	Amounts presented below are in thousands, except for the per share amounts: Pro forma Consolidated ION Income Statement Information Six Months Ended June 30, 2014 Net revenues $ 275,362 Income from operations $ 26,712 Net income $ 79,631 Net income attributable to ION $ 77,866 Basic and diluted net income per common share $ 0.47

Stock-based Compensation (Table

Stock-based Compensation (Tables)	6 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions	The following assumptions were used: March 1, 2015 Risk-free interest rates 2.03% Expected lives (in years) 2.7 Expected dividend yield —% Expected volatility 60.27%

Condensed Consolidating Finan34

Condensed Consolidating Financial Information (Tables)	6 Months Ended
	Jun. 30, 2015
Condensed Financial Information of Parent Company Only Disclosure [Abstract]
Condensed Balance Sheet	June 30, 2015 Balance Sheet ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) ASSETS Current assets: Cash and cash equivalents $ 60,097 $ — $ 56,963 $ — $ 117,060 Accounts receivable, net (10 ) 14,296 12,191 — 26,477 Unbilled receivables — 11,603 1,778 — 13,381 Inventories — 4,051 31,896 — 35,947 Prepaid expenses and other current assets 4,019 2,862 7,351 (899 ) 13,333 Total current assets 64,106 32,812 110,179 (899 ) 206,198 Deferred income tax asset 2,472 8,295 200 (2,537 ) 8,430 Property, plant, equipment and seismic rental equipment, net 5,464 27,351 50,674 — 83,489 Multi-client data library, net — 112,109 15,649 — 127,758 Investment in subsidiaries 700,267 245,983 — (946,250 ) — Goodwill — — 27,679 — 27,679 Intangible assets, net — 5,389 422 — 5,811 Intercompany receivables 48,576 — — (48,576 ) — Other assets 8,431 196 1,218 — 9,845 Total assets $ 829,316 $ 432,135 $ 206,021 $ (998,262 ) $ 469,210 LIABILITIES AND EQUITY Current liabilities: Current maturities of long-term debt $ — $ 7,121 $ 92 $ — $ 7,213 Accounts payable 2,664 15,920 6,754 — 25,338 Accrued expenses 11,124 21,308 10,679 (52 ) 43,059 Accrued multi-client data library royalties — 17,964 560 — 18,524 Deferred revenue — 7,405 3,267 — 10,672 Total current liabilities 13,788 69,718 21,352 (52 ) 104,806 Long-term debt, net of current maturities 175,000 5,903 52 — 180,955 Intercompany payables 497,966 29,949 18,627 (546,542 ) — Other long-term liabilities 2,472 31,841 11,349 (3,384 ) 42,278 Total liabilities 689,226 137,411 51,380 (549,978 ) 328,039 Redeemable noncontrolling interest — — 1,080 — 1,080 Equity: Common stock 1,647 290,460 19,138 (309,598 ) 1,647 Additional paid-in capital 890,811 180,700 234,234 (414,934 ) 890,811 Accumulated earnings (deficit) (733,604 ) 238,544 (11,538 ) (227,006 ) (733,604 ) Accumulated other comprehensive income (loss) (12,199 ) 6,868 (12,156 ) 5,288 (12,199 ) Due from ION Geophysical Corporation — (421,848 ) (76,118 ) 497,966 — Treasury stock (6,565 ) — — — (6,565 ) Total stockholders’ equity 140,090 294,724 153,560 (448,284 ) 140,090 Noncontrolling interests — — 1 — 1 Total equity 140,090 294,724 153,561 (448,284 ) 140,091 Total liabilities and equity $ 829,316 $ 432,135 $ 206,021 $ (998,262 ) $ 469,210 December 31, 2014 Balance Sheet ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) ASSETS Current assets: Cash and cash equivalents $ 109,514 $ — $ 64,094 $ — $ 173,608 Accounts receivable, net 123 49,892 64,310 — 114,325 Unbilled receivables — 18,548 4,051 — 22,599 Inventories — 4,013 47,149 — 51,162 Prepaid expenses and other current assets 6,692 2,697 8,769 (4,496 ) 13,662 Total current assets 116,329 75,150 188,373 (4,496 ) 375,356 Deferred income tax asset (7,852 ) 6,675 749 9,032 8,604 Property, plant, equipment and seismic rental equipment, net 6,412 33,065 30,363 — 69,840 Multi-client data library, net — 96,423 22,246 — 118,669 Investment in subsidiaries 675,499 278,294 — (953,793 ) — Goodwill — — 27,388 — 27,388 Intangible assets, net — 6,254 534 — 6,788 Intercompany receivables 29,979 — — (29,979 ) — Other assets 10,191 147 274 — 10,612 Total assets $ 830,558 $ 496,008 $ 269,927 $ (979,236 ) $ 617,257 LIABILITIES AND EQUITY Current liabilities: Current maturities of long-term debt $ — $ 6,965 $ 684 $ — $ 7,649 Accounts payable 4,308 12,028 20,527 — 36,863 Accrued expenses 3,904 34,738 21,807 4,815 65,264 Accrued multi-client data library royalties — 34,624 595 — 35,219 Deferred revenue — 5,263 2,999 — 8,262 Total current liabilities 8,212 93,618 46,612 4,815 153,257 Long-term debt, net of current maturities 175,000 7,839 106 — 182,945 Intercompany payables 509,124 8,892 21,087 (539,103 ) — Other long-term liabilities 2,609 130,985 10,489 (279 ) 143,804 Total liabilities 694,945 241,334 78,294 (534,567 ) 480,006 Redeemable noncontrolling interest — — 1,539 — 1,539 Equity: Common stock 1,645 290,460 19,138 (309,598 ) 1,645 Additional paid-in capital 887,749 180,700 234,234 (414,934 ) 887,749 Accumulated earnings (deficit) (734,409 ) 208,846 26,981 (235,827 ) (734,409 ) Accumulated other comprehensive income (loss) (12,807 ) 6,229 (12,795 ) 6,566 (12,807 ) Due from ION Geophysical Corporation — (431,561 ) (77,563 ) 509,124 — Treasury stock (6,565 ) — — — (6,565 ) Total stockholders’ equity 135,613 254,674 189,995 (444,669 ) 135,613 Noncontrolling interests — — 99 — 99 Total equity 135,613 254,674 190,094 (444,669 ) 135,712 Total liabilities and equity $ 830,558 $ 496,008 $ 269,927 $ (979,236 ) $ 617,257
Condensed Income Statement	Three Months Ended June 30, 2015 Income Statement ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) Net revenues $ — $ 22,465 $ 14,765 $ (435 ) $ 36,795 Cost of sales — 28,227 19,138 (435 ) 46,930 Gross loss — (5,762 ) (4,373 ) — (10,135 ) Total operating expenses 6,466 12,805 11,283 — 30,554 Loss from operations (6,466 ) (18,567 ) (15,656 ) — (40,689 ) Interest expense, net (4,506 ) (100 ) (1 ) — (4,607 ) Intercompany interest, net 143 (745 ) 602 — — Equity in earnings (losses) of investments 66,986 (14,028 ) — (52,958 ) — Other income (expense) (29 ) 101,954 (325 ) — 101,600 Net income (loss) before income taxes 56,128 68,514 (15,380 ) (52,958 ) 56,304 Income tax expense 59 123 350 — 532 Net income (loss) 56,069 68,391 (15,730 ) (52,958 ) 55,772 Net loss attributable to noncontrolling interests — — 297 — 297 Net income (loss) attributable to ION 56,069 68,391 (15,433 ) (52,958 ) 56,069 Comprehensive net income (loss) $ 58,022 $ 70,390 $ (13,731 ) $ (56,956 ) $ 57,725 Comprehensive loss attributable to noncontrolling interest — — 297 — 297 Comprehensive net income (loss) attributable to ION $ 58,022 $ 70,390 $ (13,434 ) $ (56,956 ) $ 58,022 Three Months Ended June 30, 2014 Income Statement ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) Net revenues $ — $ 47,881 $ 74,877 $ (1,278 ) $ 121,480 Cost of sales — 41,018 43,512 (1,278 ) 83,252 Gross profit — 6,863 31,365 — 38,228 Total operating expenses 7,518 15,326 11,599 — 34,443 Income (loss) from operations (7,518 ) (8,463 ) 19,766 — 3,785 Interest expense, net (4,458 ) (48 ) (428 ) — (4,934 ) Intercompany interest, net (210 ) 1,388 (1,178 ) — — Equity in earnings (losses) of investments 14,838 20,259 — (36,878 ) (1,781 ) Other income (expense) (1,711 ) 3,572 4,205 — 6,066 Net income before income taxes 941 16,708 22,365 (36,878 ) 3,136 Income tax expense (benefit) (247 ) (133 ) 1,033 — 653 Net income 1,188 16,841 21,332 (36,878 ) 2,483 Net income attributable to noncontrolling interests — — (1,295 ) — (1,295 ) Net income attributable to ION 1,188 16,841 20,037 (36,878 ) 1,188 Comprehensive net income $ 3,133 $ 19,967 $ 23,955 $ (42,627 ) $ 4,428 Comprehensive income attributable to noncontrolling interest — — (1,295 ) — (1,295 ) Comprehensive net income attributable to ION $ 3,133 $ 19,967 $ 22,660 $ (42,627 ) $ 3,133 Six Months Ended June 30, 2015 Income Statement ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) Net revenues $ — $ 41,314 $ 36,900 $ (841 ) $ 77,373 Cost of sales — 53,002 51,135 (841 ) 103,296 Gross loss — (11,688 ) (14,235 ) — (25,923 ) Total operating expenses 14,382 25,885 21,188 — 61,455 Loss from operations (14,382 ) (37,573 ) (35,423 ) — (87,378 ) Interest expense, net (9,057 ) (172 ) (3 ) — (9,232 ) Intercompany interest, net 282 (1,402 ) 1,120 — — Equity in earnings (losses) of investments 24,129 (32,950 ) — 8,821 — Other income (expense) (58 ) 101,969 (3,530 ) — 98,381 Net income (loss) before income taxes 914 29,872 (37,836 ) 8,821 1,771 Income tax expense 109 174 1,232 — 1,515 Net income (loss) 805 29,698 (39,068 ) 8,821 256 Net loss attributable to noncontrolling interests — — 549 — 549 Net income (loss) applicable to ION 805 29,698 (38,519 ) 8,821 805 Comprehensive net income (loss) $ 1,413 $ 30,337 $ (38,429 ) $ 7,543 $ 864 Comprehensive loss attributable to noncontrolling interest — — 549 — 549 Comprehensive net income (loss) attributable to ION $ 1,413 $ 30,337 $ (37,880 ) $ 7,543 $ 1,413 Six Months Ended June 30, 2014 Income Statement ION Geophysical Corporation The Guarantors All Other Subsidiaries Consolidating Adjustments Total Consolidated (In thousands) Net revenues $ — $ 126,003 $ 141,453 $ (1,278 ) $ 266,178 Cost of sales — 85,014 87,360 (1,278 ) 171,096 Gross profit — 40,989 54,093 — 95,082 Total operating expenses 16,539 30,581 24,506 — 71,626 Income (loss) from operations (16,539 ) 10,408 29,587 — 23,456 Interest expense, net (9,031 ) (90 ) (610 ) — (9,731 ) Intercompany interest, net (144 ) 953 (809 ) — — Equity in earnings (losses) of investments 104,326 24,115 738 (132,648 ) (3,469 ) Other income (expense) (1,214 ) 73,483 2,323 — 74,592 Net income before income taxes 77,398 108,869 31,229 (132,648 ) 84,848 Income tax expense 231 199 5,486 — 5,916 Net income 77,167 108,670 25,743 (132,648 ) 78,932 Net income attributable to noncontrolling interests — — (1,765 ) — (1,765 ) Net income applicable to ION 77,167 108,670 23,978 (132,648 ) 77,167 Comprehensive net income $ 78,451 $ 111,795 $ 28,856 $ (138,886 ) $ 80,216 Comprehensive income attributable to noncontrolling interest — — (1,765 ) — (1,765 ) Comprehensive net income attributable to ION $ 78,451 $ 111,795 $ 27,091 $ (138,886 ) $ 78,451
Condensed Cash Flow Statement	Six Months Ended June 30, 2015 Statement of Cash Flows ION Geophysical Corporation The Guarantors All Other Subsidiaries Total Consolidated (In thousands) Cash flows from operating activities: Net cash provided by (used in) operating activities $ (78,847 ) $ 46,942 $ 9,410 $ (22,495 ) Cash flows from investing activities: Cash invested in multi-client data library — (12,728 ) (870 ) (13,598 ) Purchase of property, plant, equipment and seismic rental equipment (347 ) (774 ) (16,092 ) (17,213 ) Other investing activities — 257 — 257 Net cash used in investing activities (347 ) (13,245 ) (16,962 ) (30,554 ) Cash flows from financing activities: Payments on notes payable and long-term debt — (2,927 ) (633 ) (3,560 ) Intercompany lending 29,755 (30,770 ) 1,015 — Other financing activities 22 — — 22 Net cash provided by (used in) financing activities 29,777 (33,697 ) 382 (3,538 ) Effect of change in foreign currency exchange rates on cash and cash equivalents — — 39 39 Net decrease in cash and cash equivalents (49,417 ) — (7,131 ) (56,548 ) Cash and cash equivalents at beginning of period 109,514 — 64,094 173,608 Cash and cash equivalents at end of period $ 60,097 $ — $ 56,963 $ 117,060 Six Months Ended June 30, 2014 Statement of Cash Flows ION Geophysical Corporation The Guarantors All Other Subsidiaries Total Consolidated (In thousands) Cash flows from operating activities: Net cash provided by (used in) operating activities $ 57,755 $ (23,434 ) $ 42,417 $ 76,738 Cash flows from investing activities: Investment in multi-client data library — (34,203 ) (114 ) (34,317 ) Purchase of property, plant, equipment and seismic rental equipment (460 ) (2,773 ) (1,310 ) (4,543 ) Repayment of advance to INOVA Geophysical 1,000 — — 1,000 Net investment in and advances to OceanGeo B.V. prior to its consolidation — — (3,074 ) (3,074 ) Net proceeds from sale of Source product line — 9,881 4,513 14,394 Other investing activities 579 — 26 605 Net cash provided by (used in) investing activities 1,119 (27,095 ) 41 (25,935 ) Cash flows from financing activities: Payments under revolving line of credit (50,000 ) — — (50,000 ) Borrowings under revolving line of credit 15,000 — — 15,000 Payments on notes payable and long-term debt (461 ) (2,862 ) (2,272 ) (5,595 ) Intercompany lending (46,991 ) 53,391 (6,400 ) — Other financing activities (339 ) — — (339 ) Net cash provided by (used in) financing activities (82,791 ) 50,529 (8,672 ) (40,934 ) Effect of change in foreign currency exchange rates on cash and cash equivalents — — (146 ) (146 ) Net increase (decrease) in cash and cash equivalents (23,917 ) — 33,640 9,723 Cash and cash equivalents at beginning of period 124,701 — 23,355 148,056 Cash and cash equivalents at end of period $ 100,784 $ — $ 56,995 $ 157,779

Restructurings - Narrative (Det

Restructurings - Narrative (Details) - Jun. 30, 2015 $ in Millions	USD ($)location	USD ($)location
Restructuring Cost and Reserve [Line Items]
Crude oil, lowest prices, number of years evaluated	5 years
Percentage reduction in full-time employee base		25.00%
Minimum [Member]
Restructuring Cost and Reserve [Line Items]
Expected additional restructuring charges to incur	$ 2	$ 2
Maximum [Member]
Restructuring Cost and Reserve [Line Items]
Expected additional restructuring charges to incur	$ 3	$ 3
Towed Streamer [Member] | Systems [Member]
Restructuring Cost and Reserve [Line Items]
Number of locations | location	2	2

Restructurings - Restructuring

Restructurings - Restructuring Charges (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2015USD ($)
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	$ 4,926
Severance Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	1,839
Facility Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	3,087
Cost of goods sold [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	1,813
Cost of goods sold [Member] | Severance Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	1,813
Cost of goods sold [Member] | Facility Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	0
Operating expenses [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	1,522
Operating expenses [Member] | Severance Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	198
Operating expenses [Member] | Facility Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	1,324
Other (income) expense [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	1,913
Other (income) expense [Member] | Facility Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	1,913
Income tax benefit [Member] | Facility Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	(150)
Net income attributable to noncontrolling interest [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	(172)
Net income attributable to noncontrolling interest [Member] | Severance Charges [Member]
Restructuring Cost and Reserve [Line Items]
Pre-tax restructuring charges	$ (172)

Segment Information (Details)

Segment Information (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)segment	Jun. 30, 2014USD ($)	Dec. 31, 2014USD ($)
Segment Reporting Information [Line Items]
Number of business segments | segment			4
Summary of segment information
Revenues	$ 36,795,000	$ 121,480,000	$ 77,373,000	$ 266,178,000
Gross profit (loss)	(10,135,000)	38,228,000	(25,923,000)	95,082,000
Income (loss) from operations	(40,689,000)	3,785,000	(87,378,000)	23,456,000
Interest expense, net	(4,607,000)	(4,934,000)	(9,232,000)	(9,731,000)
Equity in losses of investments	0	(1,781,000)	0	(3,469,000)
Other income, net	101,600,000	6,066,000	98,381,000	74,592,000
Income before income taxes	56,304,000	3,136,000	1,771,000	84,848,000
Operating segments [Member]
Summary of segment information
Revenues	36,795,000	121,480,000	77,373,000	266,178,000
Gross profit (loss)	$ (10,135,000)	$ 38,228,000	$ (25,923,000)	$ 95,082,000
Gross margin	(28.00%)	31.00%	(34.00%)	36.00%
Operating segments [Member] | Solutions [Member]
Summary of segment information
Revenues	$ 22,350,000	$ 62,634,000	$ 41,349,000	$ 151,875,000
Gross profit (loss)	$ (7,856,000)	$ 12,269,000	$ (18,248,000)	$ 45,280,000
Gross margin	(35.00%)	20.00%	(44.00%)	30.00%
Income (loss) from operations	$ (19,756,000)	$ (1,419,000)	$ (41,534,000)	$ 17,693,000
Operating segments [Member] | Solutions [Member] | New Venture and Data Library [Member]
Summary of segment information
Revenues	11,145,000	38,940,000	18,311,000	84,895,000
Operating segments [Member] | Solutions [Member] | New Venture [Member]
Summary of segment information
Revenues	3,636,000	25,315,000	8,665,000	58,053,000
Operating segments [Member] | Solutions [Member] | Data Library [Member]
Summary of segment information
Revenues	7,509,000	13,625,000	9,646,000	26,842,000
Operating segments [Member] | Solutions [Member] | Data Processing [Member]
Summary of segment information
Revenues	11,205,000	23,694,000	23,038,000	66,980,000
Operating segments [Member] | Systems [Member]
Summary of segment information
Revenues	7,674,000	22,405,000	20,443,000	47,253,000
Gross profit (loss)	$ 1,500,000	$ 9,748,000	$ 6,059,000	$ 21,165,000
Gross margin	20.00%	44.00%	30.00%	45.00%
Income (loss) from operations	$ (2,379,000)	$ 3,547,000	$ (1,365,000)	$ 6,918,000
Operating segments [Member] | Systems [Member] | Towed Streamer [Member]
Summary of segment information
Revenues	2,682,000	10,265,000	7,847,000	22,116,000
Operating segments [Member] | Systems [Member] | Other [Member]
Summary of segment information
Revenues	4,992,000	12,140,000	12,596,000	25,137,000
Operating segments [Member] | Software [Member]
Summary of segment information
Revenues	6,771,000	10,533,000	15,581,000	20,572,000
Gross profit (loss)	$ 4,208,000	$ 7,805,000	$ 9,798,000	$ 15,062,000
Gross margin	62.00%	74.00%	63.00%	73.00%
Income (loss) from operations	$ 2,095,000	$ 5,630,000	$ 5,430,000	$ 10,758,000
Operating segments [Member] | Software [Member] | Software Systems [Member]
Summary of segment information
Revenues	5,798,000	9,308,000	13,527,000	18,462,000
Operating segments [Member] | Software [Member] | Services [Member]
Summary of segment information
Revenues	973,000	1,225,000	2,054,000	2,110,000
Operating segments [Member] | Ocean Bottom Services Segment [Member]
Summary of segment information
Revenues	0	25,908,000	0	46,478,000
Gross profit (loss)	$ (7,987,000)	$ 8,406,000	$ (23,532,000)	$ 13,575,000
Gross margin	0.00%	32.00%	0.00%	29.00%
Income (loss) from operations	$ (10,008,000)	$ 6,494,000	$ (27,567,000)	$ 10,656,000
Corporate and other [Member] | Corporate and Other [Member]
Summary of segment information
Income (loss) from operations	$ (10,641,000)	$ (10,467,000)	$ (22,342,000)	$ (22,569,000)
INOVA Geophysical [Member]
Segment Reporting Information [Line Items]
Equity method investments value					$ 0

Long-term Debt - Obligations (D

Long-term Debt - Obligations (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Obligations
Total debt	$ 188,168	$ 190,594
Current portion of long-term debt and lease obligations	(7,213)	(7,649)
Non-current portion of long-term debt and lease obligations	180,955	182,945
Senior secured second-priority notes [Member]
Obligations
Total debt	175,000	175,000
Equipment capital leases [Member]
Obligations
Total debt	13,168	15,059
Other debt [Member]
Obligations
Total debt	$ 0	$ 535

Long-term Debt - Narrative (Det

Long-term Debt - Narrative (Details)	1 Months Ended
	Aug. 31, 2014USD ($)	Aug. 04, 2015USD ($)	Jun. 30, 2015USD ($)	May. 31, 2013USD ($)	May. 13, 2013USD ($)
Senior Notes [Member]
Debt Instrument [Line Items]
Principal amount of debt				$ 175,000,000	$ 175,000,000
Stated rate on debt				8.125%	8.125%
Line of Credit [Member] | PNC Bank, National Association (PNC) [Member]
Debt Instrument [Line Items]
Outstanding debt			$ 0
Line of Credit [Member] | PNC Bank, National Association (PNC) [Member] | Minimum [Member]
Debt Instrument [Line Items]
Fixed charge coverage ratio	1.1
Line of Credit [Member] | Revolving line of credit [Member] | PNC Bank, National Association (PNC) [Member]
Debt Instrument [Line Items]
Current borrowing capacity	$ 80,000,000
Line of Credit [Member] | Revolving line of credit [Member] | PNC Bank, National Association (PNC) [Member] | Subsequent event [Member]
Debt Instrument [Line Items]
Current borrowing capacity		$ 40,000,000
Limit for multi-client liquidation component		15,000,000
Qualified cash component, maximum to be removed		20,000,000
Line of Credit [Member] | Revolving line of credit [Member] | PNC Bank, National Association (PNC) [Member] | Subsequent event [Member] | Minimum [Member]
Debt Instrument [Line Items]
Expecting borrowing capacity following appraisal		30,000,000
Line of Credit [Member] | Revolving line of credit [Member] | PNC Bank, National Association (PNC) [Member] | Subsequent event [Member] | Maximum [Member]
Debt Instrument [Line Items]
Expecting borrowing capacity following appraisal		$ 40,000,000

Net Income per Share - Narrativ

Net Income per Share - Narrative (Details) - shares	Jun. 30, 2015	Jun. 30, 2014
Earnings Per Share [Abstract]
Number of shares issued or committed for issuance under outstanding stock options	9,321,649	9,425,725
Number of shares of restricted stock and shares reserved for restricted stock units outstanding	1,470,813	1,453,366

Net Income per Share - Basic an

Net Income per Share - Basic and Diluted Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Earnings Per Share [Abstract]
Net income attributable to ION	$ 56,069	$ 1,188	$ 805	$ 77,167
Weighted average number of common shares outstanding (in shares)	164,693	164,063	164,630	163,956
Effect of dilutive stock awards (in shares)	19	360	21	287
Weighted average number of diluted common shares outstanding (in shares)	164,712	164,423	164,651	164,243
Basic net income per share (in dollars per share)	$ 0.34	$ 0.01	$ 0	$ 0.47
Diluted net income per share (in dollars per share)	$ 0.34	$ 0.01	$ 0	$ 0.47

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Operating Loss Carryforwards [Line Items]
Effective income tax rates	0.90%	20.80%	85.50%	7.00%
Income tax expense	$ 532	$ 653	$ 1,515	$ 5,916
Unrecognized tax benefits	2,000		2,000
United States Tax Authority [Member]
Operating Loss Carryforwards [Line Items]
Net deferred tax asset	$ 2,700		$ 2,700

Litigation (Details)

Litigation (Details) - WesternGeco [Member] $ in Millions	1 Months Ended					36 Months Ended
	May. 31, 2014USD ($)	Apr. 30, 2014USD ($)	Oct. 31, 2013USD ($)	Aug. 31, 2012USD ($)	Jun. 30, 2009Patent	Jul. 02, 2015USD ($)	Jun. 30, 2015USD ($)	Mar. 31, 2015USD ($)
Litigation (Textual) [Abstract]
Number of patent apparatus claims contained | Patent					4
Settled Litigation [Member]
Litigation (Textual) [Abstract]
Total damages awarded	$ 123.8	$ 9.4	$ 73.1	$ 105.9
Reduction in damages award in the case		$ (3)
Accrual for loss contingency related to legal proceedings							$ 22	$ 124
Settled Litigation [Member] | Subsequent event [Member]
Litigation (Textual) [Abstract]
Prejudgment interest expense accrued						$ 10.9
Settled Litigation [Member] | Lost Royalties [Member]
Litigation (Textual) [Abstract]
Total damages awarded				12.5
Settled Litigation [Member] | Lost Profits [Member]
Litigation (Textual) [Abstract]
Total damages awarded				$ 93.4

Other Income, Net - Summary of

Other Income, Net - Summary of Other Income (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Other Income and Expenses [Abstract]
Reductions of loss contingency related to legal proceedings (Footnote 7)	$ 101,978	$ 0	$ 101,978	$ 69,557
Facility restructuring charges (Footnote 2)	0	0	(1,913)	0
Gain on sale of product line	0	6,522	0	6,522
Other expense, net	(378)	(456)	(1,684)	(1,487)
Total other income, net	$ 101,600	$ 6,066	$ 98,381	$ 74,592

Other Income, Net - Disposal of

Other Income, Net - Disposal of Product Line (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		6 Months Ended
	May. 31, 2014	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Segment Reporting Information [Line Items]
Net proceeds from sale of Source product line				$ 0	$ 14,394
Gain on sale of Source product line		$ 0	$ 6,522	$ 0	$ 6,522
Systems [Member]
Segment Reporting Information [Line Items]
Net proceeds from sale of Source product line	$ 14,400
Gain on sale of Source product line	6,500
Reduction due to sale of Source product line	$ 5,100

Details of Selected Balance S46

Details of Selected Balance Sheet Accounts - Inventories (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Raw materials and subassemblies	$ 38,195	$ 41,461
Work-in-process	10,405	18,221
Finished goods	12,294	21,284
Reserve for excess and obsolete inventories	(24,947)	(29,804)
Total	35,947	$ 51,162
Inventory adjustments	$ (4,900)

Details of Selected Balance S47

Details of Selected Balance Sheet Accounts - Other Long-term Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Other Liabilities Disclosure [Abstract]
Accrual for loss contingency related to legal proceedings (Footnote 7)	$ 22,000	$ 123,770
Deferred rents	13,543	13,416
Facility restructuring accrual	3,633	3,353
Other long-term liabilities	3,102	3,265
Total	$ 42,278	$ 143,804

Accumulated Other Comprehensi48

Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Accumulated other comprehensive loss at December 31, 2014			$ (12,807)
Net current-period other comprehensive income (loss)	$ 1,953	$ 1,945	608	$ 1,284
Accumulated other comprehensive loss at June 30, 2015	(12,199)		(12,199)
Foreign currency translation adjustments [Member]
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Accumulated other comprehensive loss at December 31, 2014			(12,807)
Net current-period other comprehensive income (loss)			608
Accumulated other comprehensive loss at June 30, 2015	$ (12,199)		$ (12,199)

Supplemental Cash Flow Inform49

Supplemental Cash Flow Information and Non-Cash Activity (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash paid during the period for:
Interest	$ 7,843	$ 8,803
Income taxes	9,649	7,326
Non-cash items from investing and financing activities:
Purchases of computer equipment financed through capital leases	1,178	4,780
Investment in multi-client data library financed through accounts payable	6,706	2,773
Transfer of inventory to property, plant, equipment and seismic rental equipment	15,936	2,308
Segment Reporting Information [Line Items]
Purchase of property, plant, equipment and seismic rental assets	17,213	$ 4,543
Ocean Bottom Services Segment [Member]
Segment Reporting Information [Line Items]
Purchase of property, plant, equipment and seismic rental assets	$ 14,300

Acquisition of OceanGeo - Pro F

Acquisition of OceanGeo - Pro Forma Income Statement Information (Details) $ / shares in Units, $ in Thousands	6 Months Ended
	Jun. 30, 2014USD ($)$ / shares	Jun. 30, 2015project
Business Combinations [Abstract]
Net revenues	$ 275,362
Income from operations	26,712
Net income	79,631
Net income attributable to ION	$ 77,866
Basic and diluted net income per common share, in dollars per share | $ / shares	$ 0.47
Number of projects in negotiation | project		2

Fair Value of Financial Instr51

Fair Value of Financial Instruments - Narrative (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Fair Value Disclosures [Abstract]
Carrying value of long-term debt	$ 188,168	$ 190,594
Fair value of long-term debt	$ 138,500	$ 162,600

Stock-based Compensation - Narr

Stock-based Compensation - Narrative (Details) - Stock Appreciation Rights (SARs) [Member] $ / shares in Units, $ in Millions	Mar. 01, 2015individual$ / sharesshares	Jun. 30, 2015USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of SARs issued | shares	3,108,107
Number of individuals received SARs | individual	16
Exercise price of SARs	$ 2.28
Vesting period of SARs	4 years
Number of days weighted average price of common stock must be greater than a percentage of exercise price of SARs	20 days
Annual vesting percentage	33.33%
Share-based compensation expense | $		$ 0.3
Phase one [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage that weighted average price of common stock must be greater than exercise price of SARs	120.00%
Annual vesting percentage	33.33%
Phase two [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage that weighted average price of common stock must be greater than exercise price of SARs	125.00%
Annual vesting percentage	33.33%
Phase three [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage that weighted average price of common stock must be greater than exercise price of SARs	130.00%
Annual vesting percentage	33.33%

Stock-based Compensation - Valu

Stock-based Compensation - Valuation Assumptions (Details) - Mar. 01, 2015	Total
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Risk-free interest rates	2.03%
Expected lives (in years)	2 years 8 months 9 days
Expected dividend yield	0.00%
Expected volatility	60.27%

Related Party Transactions (Det

Related Party Transactions (Details) - BGP Joint Venture [Member] - Co-venturer [Member] - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Property Subject to or Available for Operating Lease [Line Items]
Company's outstanding common stock owned by BGP, percent	14.40%
Related party transaction, revenues from transactions with related party	$ 4.9	$ 3.9
Receivables due from BGP	$ 1.1

Condensed Consolidating Finan55

Condensed Consolidating Financial Information - Narrative (Details) - Senior Notes [Member] - USD ($)	May. 31, 2013	May. 13, 2013
Condensed Financial Statements, Captions [Line Items]
Principal amount of debt	$ 175,000,000	$ 175,000,000
Stated rate on debt	8.125%	8.125%

Condensed Consolidating Finan56

Condensed Consolidating Financial Information - Condensed Balance Sheet (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 117,060	$ 173,608	$ 157,779	$ 148,056
Accounts receivable, net	26,477	114,325
Unbilled receivables	13,381	22,599
Inventories	35,947	51,162
Prepaid expenses and other current assets	13,333	13,662
Total current assets	206,198	375,356
Deferred income tax asset	8,430	8,604
Property, plant, equipment and seismic rental equipment, net	83,489	69,840
Multi-client data library, net	127,758	118,669
Investment in subsidiaries	0	0
Goodwill	27,679	27,388
Intangible assets, net	5,811	6,788
Intercompany receivables	0	0
Other assets	9,845	10,612
Total assets	469,210	617,257
Current liabilities:
Current maturities of long-term debt	7,213	7,649
Accounts payable	25,338	36,863
Accrued expenses	43,059	65,264
Accrued multi-client data library royalties	18,524	35,219
Deferred revenue	10,672	8,262
Total current liabilities	104,806	153,257
Long-term debt, net of current maturities	180,955	182,945
Intercompany payables	0	0
Other long-term liabilities	42,278	143,804
Total liabilities	328,039	480,006
Redeemable noncontrolling interests	1,080	1,539
Stockholders’ equity:
Common stock	1,647	1,645
Additional paid-in capital	890,811	887,749
Accumulated earnings (deficit)	(733,604)	(734,409)
Accumulated other comprehensive income (loss)	(12,199)	(12,807)
Due from ION Geophysical Corporation	0	0
Treasury stock	(6,565)	(6,565)
Total stockholders' equity	140,090	135,613
Noncontrolling interests	1	99
Total equity	140,091	135,712
Total liabilities and equity	469,210	617,257
Reportable Legal Entities [Member] | ION Geophysical Corporation [Member]
Current assets:
Cash and cash equivalents	60,097	109,514	100,784	124,701
Accounts receivable, net	(10)	123
Unbilled receivables	0	0
Inventories	0	0
Prepaid expenses and other current assets	4,019	6,692
Total current assets	64,106	116,329
Deferred income tax asset	2,472	(7,852)
Property, plant, equipment and seismic rental equipment, net	5,464	6,412
Multi-client data library, net	0	0
Investment in subsidiaries	700,267	675,499
Goodwill	0	0
Intangible assets, net	0	0
Intercompany receivables	48,576	29,979
Other assets	8,431	10,191
Total assets	829,316	830,558
Current liabilities:
Current maturities of long-term debt	0	0
Accounts payable	2,664	4,308
Accrued expenses	11,124	3,904
Accrued multi-client data library royalties	0	0
Deferred revenue	0	0
Total current liabilities	13,788	8,212
Long-term debt, net of current maturities	175,000	175,000
Intercompany payables	497,966	509,124
Other long-term liabilities	2,472	2,609
Total liabilities	689,226	694,945
Redeemable noncontrolling interests	0	0
Stockholders’ equity:
Common stock	1,647	1,645
Additional paid-in capital	890,811	887,749
Accumulated earnings (deficit)	(733,604)	(734,409)
Accumulated other comprehensive income (loss)	(12,199)	(12,807)
Due from ION Geophysical Corporation	0	0
Treasury stock	(6,565)	(6,565)
Total stockholders' equity	140,090	135,613
Noncontrolling interests	0	0
Total equity	140,090	135,613
Total liabilities and equity	829,316	830,558
Reportable Legal Entities [Member] | The Guarantors [Member]
Current assets:
Cash and cash equivalents	0	0	0	0
Accounts receivable, net	14,296	49,892
Unbilled receivables	11,603	18,548
Inventories	4,051	4,013
Prepaid expenses and other current assets	2,862	2,697
Total current assets	32,812	75,150
Deferred income tax asset	8,295	6,675
Property, plant, equipment and seismic rental equipment, net	27,351	33,065
Multi-client data library, net	112,109	96,423
Investment in subsidiaries	245,983	278,294
Goodwill	0	0
Intangible assets, net	5,389	6,254
Intercompany receivables	0	0
Other assets	196	147
Total assets	432,135	496,008
Current liabilities:
Current maturities of long-term debt	7,121	6,965
Accounts payable	15,920	12,028
Accrued expenses	21,308	34,738
Accrued multi-client data library royalties	17,964	34,624
Deferred revenue	7,405	5,263
Total current liabilities	69,718	93,618
Long-term debt, net of current maturities	5,903	7,839
Intercompany payables	29,949	8,892
Other long-term liabilities	31,841	130,985
Total liabilities	137,411	241,334
Redeemable noncontrolling interests	0	0
Stockholders’ equity:
Common stock	290,460	290,460
Additional paid-in capital	180,700	180,700
Accumulated earnings (deficit)	238,544	208,846
Accumulated other comprehensive income (loss)	6,868	6,229
Due from ION Geophysical Corporation	(421,848)	(431,561)
Treasury stock	0	0
Total stockholders' equity	294,724	254,674
Noncontrolling interests	0	0
Total equity	294,724	254,674
Total liabilities and equity	432,135	496,008
Reportable Legal Entities [Member] | All Other Subsidiaries [Member]
Current assets:
Cash and cash equivalents	56,963	64,094	$ 56,995	$ 23,355
Accounts receivable, net	12,191	64,310
Unbilled receivables	1,778	4,051
Inventories	31,896	47,149
Prepaid expenses and other current assets	7,351	8,769
Total current assets	110,179	188,373
Deferred income tax asset	200	749
Property, plant, equipment and seismic rental equipment, net	50,674	30,363
Multi-client data library, net	15,649	22,246
Investment in subsidiaries	0	0
Goodwill	27,679	27,388
Intangible assets, net	422	534
Intercompany receivables	0	0
Other assets	1,218	274
Total assets	206,021	269,927
Current liabilities:
Current maturities of long-term debt	92	684
Accounts payable	6,754	20,527
Accrued expenses	10,679	21,807
Accrued multi-client data library royalties	560	595
Deferred revenue	3,267	2,999
Total current liabilities	21,352	46,612
Long-term debt, net of current maturities	52	106
Intercompany payables	18,627	21,087
Other long-term liabilities	11,349	10,489
Total liabilities	51,380	78,294
Redeemable noncontrolling interests	1,080	1,539
Stockholders’ equity:
Common stock	19,138	19,138
Additional paid-in capital	234,234	234,234
Accumulated earnings (deficit)	(11,538)	26,981
Accumulated other comprehensive income (loss)	(12,156)	(12,795)
Due from ION Geophysical Corporation	(76,118)	(77,563)
Treasury stock	0	0
Total stockholders' equity	153,560	189,995
Noncontrolling interests	1	99
Total equity	153,561	190,094
Total liabilities and equity	206,021	269,927
Consolidation, Eliminations [Member]
Current assets:
Cash and cash equivalents	0	0
Accounts receivable, net	0	0
Unbilled receivables	0	0
Inventories	0	0
Prepaid expenses and other current assets	(899)	(4,496)
Total current assets	(899)	(4,496)
Deferred income tax asset	(2,537)	9,032
Property, plant, equipment and seismic rental equipment, net	0	0
Multi-client data library, net	0	0
Investment in subsidiaries	(946,250)	(953,793)
Goodwill	0	0
Intangible assets, net	0	0
Intercompany receivables	(48,576)	(29,979)
Other assets	0	0
Total assets	(998,262)	(979,236)
Current liabilities:
Current maturities of long-term debt	0	0
Accounts payable	0	0
Accrued expenses	(52)	4,815
Accrued multi-client data library royalties	0	0
Deferred revenue	0	0
Total current liabilities	(52)	4,815
Long-term debt, net of current maturities	0	0
Intercompany payables	(546,542)	(539,103)
Other long-term liabilities	(3,384)	(279)
Total liabilities	(549,978)	(534,567)
Redeemable noncontrolling interests	0	0
Stockholders’ equity:
Common stock	(309,598)	(309,598)
Additional paid-in capital	(414,934)	(414,934)
Accumulated earnings (deficit)	(227,006)	(235,827)
Accumulated other comprehensive income (loss)	5,288	6,566
Due from ION Geophysical Corporation	497,966	509,124
Treasury stock	0	0
Total stockholders' equity	(448,284)	(444,669)
Noncontrolling interests	0	0
Total equity	(448,284)	(444,669)
Total liabilities and equity	$ (998,262)	$ (979,236)

Condensed Consolidating Finan57

Condensed Consolidating Financial Information - Condensed Income Statement (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Condensed Income Statements, Captions [Line Items]
Net revenues	$ 36,795	$ 121,480	$ 77,373	$ 266,178
Cost of sales	46,930	83,252	103,296	171,096
Gross profit (loss)	(10,135)	38,228	(25,923)	95,082
Total operating expenses	30,554	34,443	61,455	71,626
Income (loss) from operations	(40,689)	3,785	(87,378)	23,456
Interest expense, net	(4,607)	(4,934)	(9,232)	(9,731)
Intercompany interest, net	0	0	0	0
Equity in earnings (losses) of investments	0	(1,781)	0	(3,469)
Other income (expense)	101,600	6,066	98,381	74,592
Income before income taxes	56,304	3,136	1,771	84,848
Income tax expense	532	653	1,515	5,916
Net income	55,772	2,483	256	78,932
Net (income) loss attributable to noncontrolling interests	297	(1,295)	549	(1,765)
Net income attributable to ION	56,069	1,188	805	77,167
Comprehensive net income	57,725	4,428	864	80,216
Comprehensive (income) loss attributable to noncontrolling interest	297	(1,295)	549	(1,765)
Comprehensive net income attributable to ION	58,022	3,133	1,413	78,451
Reportable Legal Entities [Member] | ION Geophysical Corporation [Member]
Condensed Income Statements, Captions [Line Items]
Net revenues	0	0	0	0
Cost of sales	0	0	0	0
Gross profit (loss)	0	0	0	0
Total operating expenses	6,466	7,518	14,382	16,539
Income (loss) from operations	(6,466)	(7,518)	(14,382)	(16,539)
Interest expense, net	(4,506)	(4,458)	(9,057)	(9,031)
Intercompany interest, net	143	(210)	282	(144)
Equity in earnings (losses) of investments	66,986	14,838	24,129	104,326
Other income (expense)	(29)	(1,711)	(58)	(1,214)
Income before income taxes	56,128	941	914	77,398
Income tax expense	59	(247)	109	231
Net income	56,069	1,188	805	77,167
Net (income) loss attributable to noncontrolling interests	0	0	0	0
Net income attributable to ION	56,069	1,188	805	77,167
Comprehensive net income	58,022	3,133	1,413	78,451
Comprehensive (income) loss attributable to noncontrolling interest	0	0	0	0
Comprehensive net income attributable to ION	58,022	3,133	1,413	78,451
Reportable Legal Entities [Member] | The Guarantors [Member]
Condensed Income Statements, Captions [Line Items]
Net revenues	22,465	47,881	41,314	126,003
Cost of sales	28,227	41,018	53,002	85,014
Gross profit (loss)	(5,762)	6,863	(11,688)	40,989
Total operating expenses	12,805	15,326	25,885	30,581
Income (loss) from operations	(18,567)	(8,463)	(37,573)	10,408
Interest expense, net	(100)	(48)	(172)	(90)
Intercompany interest, net	(745)	1,388	(1,402)	953
Equity in earnings (losses) of investments	(14,028)	20,259	(32,950)	24,115
Other income (expense)	101,954	3,572	101,969	73,483
Income before income taxes	68,514	16,708	29,872	108,869
Income tax expense	123	(133)	174	199
Net income	68,391	16,841	29,698	108,670
Net (income) loss attributable to noncontrolling interests	0	0	0	0
Net income attributable to ION	68,391	16,841	29,698	108,670
Comprehensive net income	70,390	19,967	30,337	111,795
Comprehensive (income) loss attributable to noncontrolling interest	0	0	0	0
Comprehensive net income attributable to ION	70,390	19,967	30,337	111,795
Reportable Legal Entities [Member] | All Other Subsidiaries [Member]
Condensed Income Statements, Captions [Line Items]
Net revenues	14,765	74,877	36,900	141,453
Cost of sales	19,138	43,512	51,135	87,360
Gross profit (loss)	(4,373)	31,365	(14,235)	54,093
Total operating expenses	11,283	11,599	21,188	24,506
Income (loss) from operations	(15,656)	19,766	(35,423)	29,587
Interest expense, net	(1)	(428)	(3)	(610)
Intercompany interest, net	602	(1,178)	1,120	(809)
Equity in earnings (losses) of investments	0	0	0	738
Other income (expense)	(325)	4,205	(3,530)	2,323
Income before income taxes	(15,380)	22,365	(37,836)	31,229
Income tax expense	350	1,033	1,232	5,486
Net income	(15,730)	21,332	(39,068)	25,743
Net (income) loss attributable to noncontrolling interests	297	(1,295)	549	(1,765)
Net income attributable to ION	(15,433)	20,037	(38,519)	23,978
Comprehensive net income	(13,731)	23,955	(38,429)	28,856
Comprehensive (income) loss attributable to noncontrolling interest	297	(1,295)	549	(1,765)
Comprehensive net income attributable to ION	(13,434)	22,660	(37,880)	27,091
Consolidation, Eliminations [Member]
Condensed Income Statements, Captions [Line Items]
Net revenues	(435)	(1,278)	(841)	(1,278)
Cost of sales	(435)	(1,278)	(841)	(1,278)
Gross profit (loss)	0	0	0	0
Total operating expenses	0	0	0	0
Income (loss) from operations	0	0	0	0
Interest expense, net	0	0	0	0
Intercompany interest, net	0	0	0	0
Equity in earnings (losses) of investments	(52,958)	(36,878)	8,821	(132,648)
Other income (expense)	0	0	0	0
Income before income taxes	(52,958)	(36,878)	8,821	(132,648)
Income tax expense	0	0	0	0
Net income	(52,958)	(36,878)	8,821	(132,648)
Net (income) loss attributable to noncontrolling interests	0	0	0	0
Net income attributable to ION	(52,958)	(36,878)	8,821	(132,648)
Comprehensive net income	(56,956)	(42,627)	7,543	(138,886)
Comprehensive (income) loss attributable to noncontrolling interest	0	0	0	0
Comprehensive net income attributable to ION	$ (56,956)	$ (42,627)	$ 7,543	$ (138,886)

Condensed Consolidating Finan58

Condensed Consolidating Financial Information - Condensed Cash Flow Statement (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net cash provided by (used in) operating activities	$ (22,495)	$ 76,738
Cash flows from investing activities:
Cash invested in multi-client data library	(13,598)	(34,317)
Purchase of property, plant, equipment and seismic rental equipment	(17,213)	(4,543)
Repayment of advances to INOVA Geophysical	0	1,000
Net investment in and advances to OceanGeo B.V. prior to its consolidation	0	(3,074)
Net proceeds from sale of Source product line	0	14,394
Other investing activities	257	605
Net cash used in investing activities	(30,554)	(25,935)
Cash flows from financing activities:
Payments under revolving line of credit	0	(50,000)
Borrowings under revolving line of credit	0	15,000
Payments on notes payable and long-term debt	(3,560)	(5,595)
Intercompany lending	0	0
Other financing activities	22	(339)
Net cash used in financing activities	(3,538)	(40,934)
Effect of change in foreign currency exchange rates on cash and cash equivalents	39	(146)
Net (decrease) increase in cash and cash equivalents	(56,548)	9,723
Cash and cash equivalents at beginning of period	173,608	148,056
Cash and cash equivalents at end of period	117,060	157,779
Reportable Legal Entities [Member] | ION Geophysical Corporation [Member]
Cash flows from operating activities:
Net cash provided by (used in) operating activities	(78,847)	57,755
Cash flows from investing activities:
Cash invested in multi-client data library	0	0
Purchase of property, plant, equipment and seismic rental equipment	(347)	(460)
Repayment of advances to INOVA Geophysical		1,000
Net investment in and advances to OceanGeo B.V. prior to its consolidation		0
Net proceeds from sale of Source product line		0
Other investing activities	0	579
Net cash used in investing activities	(347)	1,119
Cash flows from financing activities:
Payments under revolving line of credit		(50,000)
Borrowings under revolving line of credit		15,000
Payments on notes payable and long-term debt	0	(461)
Intercompany lending	29,755	(46,991)
Other financing activities	22	(339)
Net cash used in financing activities	29,777	(82,791)
Effect of change in foreign currency exchange rates on cash and cash equivalents	0	0
Net (decrease) increase in cash and cash equivalents	(49,417)	(23,917)
Cash and cash equivalents at beginning of period	109,514	124,701
Cash and cash equivalents at end of period	60,097	100,784
Reportable Legal Entities [Member] | The Guarantors [Member]
Cash flows from operating activities:
Net cash provided by (used in) operating activities	46,942	(23,434)
Cash flows from investing activities:
Cash invested in multi-client data library	(12,728)	(34,203)
Purchase of property, plant, equipment and seismic rental equipment	(774)	(2,773)
Repayment of advances to INOVA Geophysical		0
Net investment in and advances to OceanGeo B.V. prior to its consolidation		0
Net proceeds from sale of Source product line		9,881
Other investing activities	257	0
Net cash used in investing activities	(13,245)	(27,095)
Cash flows from financing activities:
Payments under revolving line of credit		0
Borrowings under revolving line of credit		0
Payments on notes payable and long-term debt	(2,927)	(2,862)
Intercompany lending	(30,770)	53,391
Other financing activities	0	0
Net cash used in financing activities	(33,697)	50,529
Effect of change in foreign currency exchange rates on cash and cash equivalents	0	0
Net (decrease) increase in cash and cash equivalents	0	0
Cash and cash equivalents at beginning of period	0	0
Cash and cash equivalents at end of period	0	0
Reportable Legal Entities [Member] | All Other Subsidiaries [Member]
Cash flows from operating activities:
Net cash provided by (used in) operating activities	9,410	42,417
Cash flows from investing activities:
Cash invested in multi-client data library	(870)	(114)
Purchase of property, plant, equipment and seismic rental equipment	(16,092)	(1,310)
Repayment of advances to INOVA Geophysical		0
Net investment in and advances to OceanGeo B.V. prior to its consolidation		(3,074)
Net proceeds from sale of Source product line		4,513
Other investing activities	0	26
Net cash used in investing activities	(16,962)	41
Cash flows from financing activities:
Borrowings under revolving line of credit		0
Payments on notes payable and long-term debt	(633)	(2,272)
Intercompany lending	1,015	(6,400)
Other financing activities	0	0
Net cash used in financing activities	382	(8,672)
Effect of change in foreign currency exchange rates on cash and cash equivalents	39	(146)
Net (decrease) increase in cash and cash equivalents	(7,131)	33,640
Cash and cash equivalents at beginning of period	64,094	23,355
Cash and cash equivalents at end of period	$ 56,963	$ 56,995