Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 17, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2,015 | |
Entity Registrant Name | HELIX ENERGY SOLUTIONS GROUP INC | |
Entity Central Index Key | 866,829 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 105,959,614 | |
Entity Current Reporting Status | Yes | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Voluntary Filers | No |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 500,062 | $ 476,492 |
Accounts receivable: | ||
Trade, net of allowance for uncollectible accounts of $7,525 and $4,735, respectively | 120,659 | 104,724 |
Unbilled revenue | 39,883 | 28,542 |
Costs in excess of billing | 3,436 | 2,034 |
Current deferred tax assets | 32,331 | 31,180 |
Other current assets | 36,664 | 51,301 |
Total current assets | 733,035 | 694,273 |
Property and equipment | 2,474,882 | 2,241,444 |
Less accumulated depreciation | (554,909) | (506,060) |
Property and equipment, net | 1,919,973 | 1,735,384 |
Other assets: | ||
Equity investments | 145,588 | 149,623 |
Goodwill | 62,294 | 62,146 |
Other assets, net | 73,306 | 59,272 |
Total assets | 2,934,196 | 2,700,698 |
Current liabilities: | ||
Accounts payable | 98,804 | 83,403 |
Accrued liabilities | 66,788 | 104,923 |
Income tax payable | 0 | 9,143 |
Current maturities of long-term debt | 71,497 | 28,144 |
Total current liabilities | 237,089 | 225,613 |
Long-term debt | 722,515 | 523,228 |
Deferred tax liabilities | 257,852 | 260,275 |
Other non-current liabilities | 41,414 | 38,108 |
Total liabilities | $ 1,258,870 | $ 1,047,224 |
Commitments and contingencies | ||
Shareholders’ equity: | ||
Common stock, no par, 240,000 shares authorized, 105,949 and 105,586 shares issued, respectively | $ 939,504 | $ 934,447 |
Retained earnings | 798,286 | 781,279 |
Accumulated other comprehensive loss | (62,464) | (62,252) |
Total shareholders’ equity | 1,675,326 | 1,653,474 |
Total liabilities and shareholders’ equity | $ 2,934,196 | $ 2,700,698 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Current assets: | ||
Allowance for uncollectible accounts | $ 7,525 | $ 4,735 |
Shareholders’ equity: | ||
Common stock, shares authorized | 240,000,000 | 240,000,000 |
Common stock, shares issued | 105,949,000 | 105,586,000 |
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] | ||||
Net revenues | $ 166,016 | $ 305,587 | $ 355,657 | $ 559,159 |
Cost of sales | 141,808 | 196,449 | 296,502 | 374,175 |
Gross profit | 24,208 | 109,138 | 59,155 | 184,984 |
Gain (loss) on disposition of assets, net | 0 | (1,078) | 0 | 10,418 |
Selling, general and administrative expenses | (16,534) | (29,304) | (29,153) | (49,698) |
Income from operations | 7,674 | 78,756 | 30,002 | 145,704 |
Equity in earnings (losses) of investments | (323) | (507) | (302) | 201 |
Net interest expense | (5,235) | (4,517) | (9,305) | (9,000) |
Other expense, net | (5,036) | (17) | (6,192) | (827) |
Other income – oil and gas | 899 | 1,596 | 3,825 | 13,872 |
Income (loss) before income taxes | (2,021) | 75,311 | 18,028 | 149,950 |
Income tax provision | 614 | 17,529 | 1,021 | 37,946 |
Net income (loss), including noncontrolling interests | (2,635) | 57,782 | 17,007 | 112,004 |
Less net income applicable to noncontrolling interests | 0 | (503) | ||
Net income (loss) applicable to common shareholders | $ (2,635) | $ 57,782 | $ 17,007 | $ 111,501 |
Earnings (losses) per share of common stock (in dollars per share) | ||||
Basic | $ (0.03) | $ 0.55 | $ 0.16 | $ 1.06 |
Diluted | $ (0.03) | $ 0.55 | $ 0.16 | $ 1.05 |
Weighted average common shares outstanding (in shares) | ||||
Basic | 105,357 | 104,992 | 105,324 | 105,059 |
Diluted | 105,357 | 105,295 | 105,324 | 105,359 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements Of Comprehensive Income (Loss) (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 (loss), including noncontrolling interests | $ (2,635) | $ 57,782 | $ 17,007 | $ 112,004 |
Other comprehensive income (loss), net of tax: | ||||
Unrealized gain (loss) on hedges arising during the period | 3,346 | (4,129) | (8,365) | (74) |
Reclassification adjustments for loss included in net income (loss) | 3,258 | 610 | 4,931 | 1,268 |
Income taxes on unrealized (gain) loss on hedges | (2,311) | 1,232 | 1,202 | (418) |
Unrealized gain (loss) on hedges, net of tax | 4,293 | (2,287) | (2,232) | 776 |
Foreign currency translation gain | 15,889 | 6,931 | 2,020 | 8,278 |
Other comprehensive income (loss), net of tax | 20,182 | 4,644 | (212) | 9,054 |
Comprehensive income | 16,795 | 121,058 | ||
Less comprehensive income applicable to noncontrolling interests | 0 | (503) | ||
Comprehensive income applicable to common shareholders | $ 17,547 | $ 62,426 | $ 16,795 | $ 120,555 |
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, including noncontrolling interests | $ 17,007 | $ 112,004 |
Adjustments to reconcile net income, including noncontrolling interests, to net cash provided by operating activities: | ||
Depreciation and amortization | 53,528 | 52,853 |
Amortization of deferred financing costs | 2,596 | 2,435 |
Stock-based compensation expense | 3,515 | 3,755 |
Amortization of debt discount | 2,928 | 2,765 |
Deferred income taxes | (2,454) | 27,669 |
Excess tax from stock-based compensation | (86) | (382) |
Gain on disposition of assets, net | 0 | (10,418) |
Unrealized loss and ineffectiveness on derivative contracts, net | 1,941 | 69 |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | (29,006) | (40,687) |
Other current assets | 11,904 | (1,998) |
Income tax payable, net of income tax receivable | (9,472) | (24,376) |
Accounts payable and accrued liabilities | (35,318) | 14,312 |
Other noncurrent, net | (14,050) | 1,504 |
Net cash provided by operating activities | 3,033 | 139,505 |
Cash flows from investing activities: | ||
Capital expenditures | (232,872) | (93,001) |
Distributions from equity investments, net | 3,842 | 4,849 |
Proceeds from sale of assets | 7,500 | 11,074 |
Acquisition of noncontrolling interests | 0 | (20,085) |
Net cash used in investing activities | (221,530) | (97,163) |
Cash flows from financing activities: | ||
Proceeds from Nordea Term Loan | 250,000 | 0 |
Repayment of Term Loan | 7,500 | 7,500 |
Repayment of MARAD Debt | (2,788) | (2,655) |
Deferred financing costs | 1,533 | 0 |
Distributions to noncontrolling interests | 0 | (1,018) |
Repurchases of common stock | (1,056) | (6,653) |
Excess tax from stock-based compensation | 86 | 382 |
Proceeds from issuance of ESPP shares | 2,512 | 1,932 |
Net cash provided by (used in) financing activities | 239,721 | (15,512) |
Effect of exchange rate changes on cash and cash equivalents | 2,346 | (3,573) |
Net increase in cash and cash equivalents | 23,570 | 23,257 |
Cash and cash equivalents: | ||
Balance, beginning of year | 476,492 | 478,200 |
Balance, end of period | $ 500,062 | $ 501,457 |
Basis Of Presentation And New A
Basis Of Presentation And New Accounting Standards | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis Of Presentation And New Accounting Standards | Basis of Presentation and New Accounting Standards The accompanying condensed consolidated financial statements include the accounts of Helix Energy Solutions Group, Inc. and its wholly and majority owned subsidiaries (collectively, “Helix” or the “Company”). Unless the context indicates otherwise, the terms “we,” “us” and “our” in this report refer collectively to Helix and its wholly and majority owned subsidiaries. All material intercompany accounts and transactions have been eliminated. These unaudited condensed consolidated financial statements have been prepared pursuant to instructions for the Quarterly Report on Form 10-Q required to be filed with the Securities and Exchange Commission (the “SEC”), and do not include all information and footnotes normally included in annual financial statements prepared in accordance with U.S. generally accepted accounting principles. The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) and are consistent in all material respects with those applied in our 2014 Annual Report on Form 10-K (“ 2014 Form 10-K”). The preparation of these financial statements requires us to make estimates and judgments that affect the amounts reported in the financial statements and the related disclosures. Actual results may differ from our estimates. The operating results for the three- and six- month periods ended June 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015 . Our balance sheet as of December 31, 2014 included herein has been derived from the audited balance sheet as of December 31, 2014 included in our 2014 Form 10-K. These unaudited condensed consolidated financial statements should be read in conjunction with the annual audited consolidated financial statements and notes thereto included in our 2014 Form 10-K. We have made all adjustments (which were normal recurring adjustments) that we believe are necessary for a fair presentation of the condensed consolidated balance sheets, statements of operations, statements of comprehensive income (loss), and statements of cash flows, as applicable. Our operating results for the three- and six- month periods ended June 30, 2015 included an out-of-period adjustment to correct an error related to a well intervention project performed in 2014 in which our revenues included certain income tax withholding payments made on our behalf and which now will have to be refunded to the counterparty. This adjustment affects our 2015 operating results by reducing our net revenues by $2.5 million and increasing our net loss by $1.7 million . The amounts were not deemed material with respect to prior year or the anticipated results and the trend of earnings for fiscal year 2015. Certain reclassifications were made to previously reported amounts in the consolidated financial statements and notes thereto to make them consistent with the current presentation format. In May 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers (Topic 606).” This ASU provides a single five-step approach to account for revenue arising from contracts with customers. The ASU requires an entity to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This revenue standard was originally effective prospectively for annual reporting periods beginning after December 15, 2016, including interim periods. In July 2015, the FASB elected to defer its effective date by one year to December 15, 2017. Adoption as of the original effective date is permitted. The guidance permits companies to either apply the requirements retrospectively to all prior periods presented, or apply the requirements in the year of adoption through a cumulative adjustment. We are currently evaluating which transition approach to use and the potential impact the adoption of this standard may have on our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, “Simplifying the Presentation of Debt Issuance Costs.” This ASU requires that debt issuance costs related to a recognized debt liability be reported on the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The guidance is effective retrospectively beginning in the first quarter of fiscal 2017 and early adoption is permitted. We do not expect this guidance to materially affect our balance sheets as amounts will be reclassified from long-term assets to partial offsets to long-term debt. The guidance will not affect our statements of operations or statements of cash flows. |
Company Overview
Company Overview | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Company Overview | Company Overview We are an international offshore energy services company that provides specialty services to the offshore energy industry, with a focus on well intervention and robotics operations. We seek to provide services and methodologies that we believe are critical to developing offshore reservoirs and maximizing production economics. We provide services primarily in deepwater in the Gulf of Mexico, North Sea, Asia Pacific and West Africa regions, and intend to increase our operations offshore Brazil. Our “life of field” services are segregated into three reportable business segments: Well Intervention, Robotics and Production Facilities (Note 11). Our Well Intervention segment includes our vessels and equipment used to perform well intervention services primarily in the Gulf of Mexico and North Sea regions. Our Well Intervention segment also includes certain intervention riser systems that are available on a rental basis. Our well intervention vessels include the Q4000 , the Helix 534 , the Seawell , the Well Enhancer and the Skandi Constructor , which is a chartered vessel. Our well intervention fleet also includes the Q5000 , a newbuild semi-submersible well intervention vessel that was delivered to us at the end of April 2015 and is currently in transit to the Gulf of Mexico. We are currently constructing another well intervention vessel, the Q7000 . We have also contracted to charter two newbuild monohull vessels, which are expected to be delivered in 2016 and used in connection with our contracts to provide well intervention services offshore Brazil. Our Robotics segment includes remotely operated vehicles (“ROVs”), trenchers and ROVDrills designed to complement offshore construction and well intervention services, and currently operates five chartered ROV and trencher support vessels including the Grand Canyon II , which was delivered to us in late April 2015. Our Production Facilities segment includes the Helix Producer I vessel ( “HP I” ) as well as our equity investments in Deepwater Gateway, L.L.C. (“Deepwater Gateway”) and Independence Hub, LLC (“Independence Hub”) (Note 5). The Production Facilities segment also includes the Helix Fast Response System (“HFRS”), which provides certain operators access to our Q4000 and HP I vessels in the event of a well control incident in the Gulf of Mexico. |
Details Of Certain Accounts
Details Of Certain Accounts | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Details Of Certain Accounts | Details of Certain Accounts Other current assets and other assets, net consist of the following (in thousands): June 30, December 31, Note receivable (1) $ 10,000 $ 17,500 Other receivables 632 423 Prepaid insurance 197 6,582 Other prepaids 10,452 15,541 Spare parts inventory 6,651 1,857 Income tax receivable 586 — Value added tax receivable 8,051 9,326 Other 95 72 Total other current assets $ 36,664 $ 51,301 June 30, December 31, Note receivable (1) $ 10,000 $ 10,000 Deferred dry dock expenses, net 26,061 11,631 Deferred financing costs, net (Note 6) 22,528 23,399 Intangible assets with finite lives, net 719 696 Charter fee deposit (Note 12) 12,544 12,544 Other 1,454 1,002 Total other assets, net $ 73,306 $ 59,272 (1) Relates to the remaining balance of the promissory note we received in connection with the sale of our Ingleside spoolbase in January 2014. Interest on the note is payable quarterly at a rate of 6% per annum. Under the terms of the note, the remaining $20 million principal balance is required to be paid with a $10 million payment on December 31, 2015 and December 31, 2016. Accrued liabilities consist of the following (in thousands): June 30, December 31, Accrued payroll and related benefits $ 19,490 $ 61,246 Current asset retirement obligations 554 575 Unearned revenue 6,700 11,461 Accrued interest 4,882 4,221 Derivative liability (Note 14) 19,390 13,222 Taxes payable excluding income tax payable 6,583 6,236 Other 9,189 7,962 Total accrued liabilities $ 66,788 $ 104,923 |
Statement Of Cash Flow Informat
Statement Of Cash Flow Information | 6 Months Ended |
Jun. 30, 2015 | |
Supplemental Cash Flow Information [Abstract] | |
Statement Of Cash Flow Information | Statement of Cash Flow Information We define cash and cash equivalents as cash and all highly liquid financial instruments with original maturities of three months or less. The following table provides supplemental cash flow information (in thousands): Six Months Ended 2015 2014 Interest paid, net of interest capitalized $ 3,729 $ 5,960 Income taxes paid $ 13,285 $ 35,268 Our non-cash investing activities include accruals for property and equipment capital expenditures. These non-cash investing accruals totaled $18.3 million and $14.1 million as of June 30, 2015 and December 31, 2014 , respectively. Additionally, our investing activities for the six -month period ended June 30, 2014 included a $30 million non-cash transaction related to the promissory note we received in connection with the sale of our Ingleside spoolbase in January 2014 (Note 3). |
Equity Investments
Equity Investments | 6 Months Ended |
Jun. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Investments | Equity Investments As of June 30, 2015 , we had two investments that we account for using the equity method of accounting: Deepwater Gateway and Independence Hub, both of which are included in our Production Facilities segment. Deepwater Gateway, L.L.C. In June 2002, we, along with Enterprise Products Partners L.P. (“Enterprise”), formed Deepwater Gateway, each with a 50% interest, to design, construct, install, own and operate a tension leg platform production hub primarily for Anadarko Petroleum Corporation’s Marco Polo field in the Deepwater Gulf of Mexico. Our investment in Deepwater Gateway totaled $78.6 million and $80.9 million as of June 30, 2015 and December 31, 2014 , respectively (including net capitalized interest of $1.2 million at June 30, 2015 and December 31, 2014 , respectively). Independence Hub, LLC. In December 2004, we acquired a 20% interest in Independence Hub, an affiliate of Enterprise. Independence Hub owns the “Independence Hub” platform located in Mississippi Canyon Block 920 in a water depth of 8,000 feet. Our investment in Independence Hub was $67.0 million and $68.8 million as of June 30, 2015 and December 31, 2014 , respectively (including capitalized interest of $3.8 million and $3.9 million at June 30, 2015 and December 31, 2014 , respectively). We received the following distributions from our equity method investments (in thousands): Three Months Ended Six Months Ended 2015 2014 2015 2014 Deepwater Gateway $ 1,700 $ 1,750 $ 2,700 $ 3,750 Independence Hub 440 500 840 1,300 Total $ 2,140 $ 2,250 $ 3,540 $ 5,050 |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Scheduled maturities of our long-term debt outstanding as of June 30, 2015 are as follows (in thousands): Term Loan Nordea Term Loan MARAD Debt 2032 Notes (1) Total Less than one year $ 30,000 $ 35,714 $ 5,783 $ — $ 71,497 One to two years 30,000 35,715 6,072 — 71,787 Two to three years 30,000 35,714 6,375 — 72,089 Three to four years 180,000 35,714 6,693 — 222,407 Four to five years — 107,143 7,027 — 114,170 Over five years — — 60,054 200,000 260,054 Total debt 270,000 250,000 92,004 200,000 812,004 Current maturities (30,000 ) (35,714 ) (5,783 ) — (71,497 ) Long-term debt, less current maturities 240,000 214,286 86,221 200,000 740,507 Unamortized debt discount (2) — — — (17,992 ) (17,992 ) Long-term debt $ 240,000 $ 214,286 $ 86,221 $ 182,008 $ 722,515 (1) Beginning in March 2018, the holders of our Convertible Senior Notes due 2032 may require us to repurchase these notes or we may at our option elect to repurchase these notes. The notes will mature in March 2032 . (2) Our Convertible Senior Notes due 2032 will increase to their face amount through accretion of non-cash interest charges through March 2018. Included below is a summary of certain components of our indebtedness: Credit Agreement In June 2013, we entered into a credit agreement (the “Credit Agreement”) with a group of lenders pursuant to which we borrowed $300 million under the Credit Agreement’s term loan (the “Term Loan”) and, subject to the terms of the Credit Agreement, may borrow additional amounts (the “Revolving Loans”) and/or obtain letters of credit under a revolving credit facility (the “Revolving Credit Facility”) up to $600 million . Subject to lender participation, we may request an increase of up to $200 million in aggregate commitments with respect to the Revolving Credit Facility, additional term loans or a combination thereof. At June 30, 2015 , we had no borrowings under the $600 million Revolving Credit Facility and our available borrowing capacity totaled $450.1 million , net of $16.7 million of letters of credit issued. The Term Loan and the Revolving Loans (together, the “Loans”) bear interest, at our election, in relation to either the base rate established by Bank of America N.A. or to a LIBOR rate, provided that all Swing Line Loans (as defined in the Credit Agreement) will be base rate loans. The Loans or portions thereof bearing interest at the base rate bear interest at a per annum rate equal to the base rate plus a margin ranging from 1.00% to 2.00% ( 1.00% to 3.00% following the amendment described below). The Loans or portions thereof bearing interest at a LIBOR rate bear interest at the LIBOR rate selected by us plus a margin ranging from 2.00% to 3.00% ( 2.00% to 4.00% following the amendment described below). A letter of credit fee is payable by us equal to our applicable margin for LIBOR rate Loans multiplied by the daily amount available to be drawn under outstanding letters of credit. Margins on the Loans will vary in relation to the consolidated coverage ratio, as provided by the Credit Agreement. We currently also pay a fixed commitment fee of 0.50% on the unused portion of our Revolving Credit Facility. The Term Loan currently bears interest at the one-month LIBOR rate plus 2.50% . In September 2013, we entered into various interest rate swap contracts to fix the one-month LIBOR rate on $148.1 million of our borrowings under the Term Loan. The fixed LIBOR rates are between 74 and 75 basis points. The Term Loan is repayable in scheduled principal installments of 5% in each of the initial two loan years ( $15 million per year), and 10% in each of the remaining three loan years ( $30 million per year), payable quarterly, with a balloon payment of $180 million at maturity. These installment amounts are subject to adjustment for any prepayments on the Term Loan. We may elect to prepay amounts outstanding under the Term Loan without premium or penalty, but may not reborrow any amounts prepaid. We may prepay amounts outstanding under the Revolving Loans without premium or penalty, and may reborrow any amounts paid up to the amount of the Revolving Credit Facility. The Loans mature on June 19, 2018 . In certain circumstances, we will be required to prepay the Loans. The Credit Agreement and the other documents entered into in connection with the Credit Agreement (together, the “Loan Documents”) include terms and conditions, including covenants, which we consider customary for this type of transaction. The covenants include restrictions on our and our subsidiaries’ ability to grant liens, incur indebtedness, make investments, merge or consolidate, sell or transfer assets, pay dividends and incur capital expenditures. In addition, the Credit Agreement obligates us to meet certain financial ratios, including the Consolidated Interest Coverage Ratio and the Consolidated Leverage Ratio (as defined in the Credit Agreement). In May 2015, we amended the Credit Agreement to revise the maximum permitted Consolidated Leverage Ratio as follows: 4.00 to 1.00 for the second quarter of 2015, 4.50 to 1.00 for the third quarter of 2015 through the fourth quarter of 2016, 4.00 to 1.00 for the first quarter of 2017, and 3.50 to 1.00 for the second quarter of 2017 and thereafter. We have designated five of our foreign subsidiaries, and may designate any newly established foreign subsidiaries, as subsidiaries that are not generally subject to the covenants in the Credit Agreement (the “Unrestricted Subsidiaries”), provided we meet certain liquidity requirements, in which case EBITDA (net of cash distributions to the parent) of the Unrestricted Subsidiaries is not included in the calculations with respect to our financial covenants. Our obligations under the Credit Agreement are guaranteed by our wholly owned domestic subsidiaries (except Cal Dive I – Title XI, Inc.) and Canyon Offshore Limited. Our obligations under the Credit Agreement, and of the guarantors under their guaranty, are secured by most of our assets of the parent and our wholly owned domestic subsidiaries (except Cal Dive I – Title XI, Inc.) and Canyon Offshore Limited, plus pledges of up to two-thirds of the shares of certain foreign subsidiaries. Convertible Senior Notes Due 2032 In March 2012, we completed a public offering and sale of $200 million in aggregate principal amount of Convertible Senior Notes due 2032 (the “2032 Notes”). The 2032 Notes bear interest at a rate of 3.25% per annum, and are payable semi-annually in arrears on March 15 and September 15 of each year, beginning on September 15, 2012. The 2032 Notes mature on March 15, 2032 unless earlier converted, redeemed or repurchased. The 2032 Notes are convertible in certain circumstances and during certain periods at an initial conversion rate of 39.9752 shares of common stock per $1,000 principal amount (which represents an initial conversion price of approximately $25.02 per share of common stock), subject to adjustment in certain circumstances as set forth in the Indenture governing the 2032 Notes. We have the right and the intention to settle any such future conversions in cash. Prior to March 20, 2018, the 2032 Notes are not redeemable. On or after March 20, 2018, we, at our option, may redeem some or all of the 2032 Notes in cash, at any time upon at least 30 days’ notice, at a price equal to 100% of the principal amount plus accrued and unpaid interest (including contingent interest, if any) up to but excluding the redemption date. In addition, the holders of the 2032 Notes may require us to purchase in cash some or all of their 2032 Notes at a repurchase price equal to 100% of the principal amount of the 2032 Notes, plus accrued and unpaid interest (including contingent interest, if any) up to but excluding the applicable repurchase date, on March 15, 2018, March 15, 2022 and March 15, 2027, or, subject to specified exceptions, at any time prior to the 2032 Notes’ maturity following a fundamental change (as defined in the Indenture governing the 2032 Notes). In connection with the issuance of the 2032 Notes, we recorded a discount of $35.4 million as required under existing accounting rules. To arrive at this discount amount, we estimated the fair value of the liability component of the 2032 Notes as of the date of their issuance (March 12, 2012) using an income approach. To determine this estimated fair value, we used borrowing rates of similar market transactions involving comparable liabilities at the time of issuance and an expected life of 6.0 years . In selecting the expected life, we selected the earliest date the holders could require us to repurchase all or a portion of the 2032 Notes (March 15, 2018). The effective interest rate for the 2032 Notes is 6.9% after considering the effect of the accretion of the related debt discount that represented the equity component of the 2032 Notes at their inception. As of June 30, 2015 , the carrying amount of the equity component of the 2032 Notes was $22.5 million . MARAD Debt This U.S. government guaranteed financing (the “MARAD Debt”) is pursuant to Title XI of the Merchant Marine Act of 1936 administered by the Maritime Administration, and was used to finance the construction of the Q4000 . The MARAD Debt is payable in equal semi-annual installments beginning in August 2002 and matures in February 2027 . The MARAD Debt is collateralized by the Q4000 , is guaranteed 50% by us, and initially bore interest at a floating rate that approximated AAA Commercial Paper yields plus 20 basis points. As required by the MARAD Debt agreements, in September 2005, we fixed the interest rate on the debt through the issuance of a 4.93% fixed-rate note with the same maturity date. Nordea Credit Agreement In September 2014, a wholly owned subsidiary incorporated in Luxembourg, Helix Q5000 Holdings S.à r.l. (“Q5000 Holdings”), entered into a credit agreement (the “Nordea Credit Agreement”) with a syndicated bank lending group for a term loan (the “Nordea Term Loan”) in an amount of up to $250 million . The Nordea Term Loan was funded in the amount of $250 million at the end of April 2015 at the time the Q5000 vessel was delivered. The parent company of Q5000 Holdings, Helix Vessel Finance S.à r.l., also a wholly owned Luxembourg subsidiary, guaranteed the Nordea Term Loan. The loan is secured by the Q5000 and its charter earnings as well as by a pledge of the shares of Q5000 Holdings. This indebtedness is nonrecourse to Helix. The Nordea Term Loan bears interest at a LIBOR rate plus a margin of 2.5% , with an undrawn fee of 0.875% prior to funding on April 30, 2015. The Nordea Term Loan matures on April 30, 2020 and is repayable in scheduled principal installments of $8.9 million , payable quarterly , with a balloon payment of $80.4 million at maturity. Q5000 Holdings may elect to prepay amounts outstanding under the Nordea Term Loan without premium or penalty, but may not reborrow any amounts prepaid. Installment amounts are subject to adjustment for any prepayments on this debt. In certain circumstances, Q5000 Holdings will be required to prepay the loan. In June 2015, we entered into various interest rate swap contracts to fix the one-month LIBOR rate on $187.5 million of our borrowings under the Nordea Term Loan. The fixed LIBOR rates are between 149 and 152 basis points. The Nordea Credit Agreement and related loan documents include terms and conditions, including covenants, that are considered customary for this type of transaction. The covenants include restrictions on Q5000 Holdings’s ability to grant liens, incur indebtedness, make investments, merge or consolidate, sell or transfer assets, and pay dividends. In addition, the Nordea Credit Agreement obligates Q5000 Holdings to meet certain minimum financial requirements, including liquidity, consolidated debt service coverage and collateral maintenance. Other In accordance with our Credit Agreement, the 2032 Notes, the MARAD Debt agreements, and the Nordea Credit Agreement, we are required to comply with certain covenants, including certain financial ratios such as a consolidated interest coverage ratio and consolidated leverage ratio, as well as the maintenance of minimum net worth, working capital and debt-to-equity requirements. As of June 30, 2015 , we were in compliance with these covenants. Unamortized deferred financing costs are included in “Other assets, net” in the accompanying condensed consolidated balance sheets and are amortized over the life of the respective debt agreements. The following table reflects the components of our deferred financing costs (in thousands): June 30, 2015 December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Term Loan (matures June 2018) $ 3,638 $ (1,455 ) $ 2,183 $ 3,638 $ (1,091 ) $ 2,547 Revolving Credit Facility (matures June 2018) 14,787 (5,351 ) 9,436 13,275 (3,982 ) 9,293 2032 Notes (mature March 2032) 3,759 (2,070 ) 1,689 3,759 (1,763 ) 1,996 MARAD Debt (matures February 2027) 12,200 (6,467 ) 5,733 12,200 (6,223 ) 5,977 Nordea Term Loan 3,607 (120 ) 3,487 3,586 — 3,586 Total deferred financing costs $ 37,991 $ (15,463 ) $ 22,528 $ 36,458 $ (13,059 ) $ 23,399 The following table details the components of our net interest expense (in thousands): Three Months Ended Six Months Ended 2015 2014 2015 2014 Interest expense $ 9,751 $ 7,160 $ 18,160 $ 15,522 Interest income (457 ) (655 ) (1,107 ) (1,372 ) Capitalized interest (4,059 ) (1,988 ) (7,748 ) (5,150 ) Net interest expense $ 5,235 $ 4,517 $ 9,305 $ 9,000 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Our estimated annual effective tax rate, adjusted for discrete tax items, is applied to interim periods’ pretax earnings. We believe that our recorded assets and liabilities are reasonable; however, tax laws and regulations are subject to interpretation and tax litigation is inherently uncertain, and therefore our assessments can involve a series of complex judgments about future events and rely heavily on estimates and assumptions. The effective tax rates for the three- and six- month periods ended June 30, 2015 were (30.4)% and 5.7% , respectively. The effective tax rates for the three- and six- month periods ended June 30, 2014 were 23.3% and 25.3% , respectively. The variance was primarily attributable to the earnings mix between our higher and lower tax rate jurisdictions. Income taxes have been provided based on the U.S. statutory rate of 35% and at the local statutory rate for each foreign jurisdiction. The primary differences between the U.S. statutory rate and our effective rate are as follows: Three Months Ended Six Months Ended 2015 2014 2015 2014 U.S. statutory rate 35.0 % 35.0 % 35.0 % 35.0 % Foreign provision (54.6 ) (8.4 ) (31.5 ) (8.3 ) Tax benefits previously unrecognized — (4.5 ) — (2.3 ) Other (10.8 ) 1.2 2.2 0.9 Effective rate (30.4 )% 23.3 % 5.7 % 25.3 % |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) ("OCI") | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) ("OCI") | Accumulated Other Comprehensive Income (Loss) (“OCI”) The components of Accumulated OCI are as follows (in thousands): June 30, December 31, Cumulative foreign currency translation adjustment $ (28,141 ) $ (30,161 ) Unrealized loss on hedges, net (1) (34,323 ) (32,091 ) Accumulated other comprehensive loss $ (62,464 ) $ (62,252 ) (1) Amounts relate to foreign currency hedges for the Grand Canyon , the Grand Canyon II and the Grand Canyon III charters as well as interest rate swap contracts for the Term Loan and the Nordea Term Loan, and are net of deferred income taxes totaling $18.5 million at June 30, 2015 and $17.3 million at December 31, 2014 (Note 14). |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share We have shares of restricted stock issued and outstanding, which currently are unvested. Holders of such shares of unvested restricted stock are entitled to the same liquidation and dividend rights as the holders of our outstanding unrestricted common stock and the shares are thus considered participating securities. Under applicable accounting guidance, the undistributed earnings for each period are allocated based on the participation rights of both the common shareholders and holders of any participating securities as if earnings for the respective periods had been distributed. Because both the liquidation and dividend rights are identical, the undistributed earnings are allocated on a proportionate basis. Further, we are required to compute earnings per share (“EPS”) amounts under the two class method in periods in which we have earnings from continuing operations. The presentation of basic EPS amounts on the face of the accompanying condensed consolidated statements of operations is computed by dividing the net income applicable to our common shareholders by the weighted average shares of our outstanding common stock. The calculation of diluted EPS is similar to basic EPS, except that the denominator includes dilutive common stock equivalents and the income included in the numerator excludes the effects of the impact of dilutive common stock equivalents, if any. The computations of the numerator (income) and denominator (shares) to derive the basic and diluted EPS amounts presented on the face of the accompanying condensed consolidated statements of operations are as follows (in thousands): Three Months Ended Three Months Ended Income Shares Income Shares Basic: Net income (loss) applicable to common shareholders $ (2,635 ) $ 57,782 Less: Undistributed income allocated to participating securities — (300 ) Undistributed income (loss) allocated to common shares $ (2,635 ) 105,357 $ 57,482 104,992 Diluted: Undistributed income (loss) allocated to common shares $ (2,635 ) 105,357 $ 57,482 104,992 Effect of dilutive securities: Share-based awards other than participating securities — — — 303 Undistributed income reallocated to participating securities — — 1 — Net income (loss) applicable to common shareholders $ (2,635 ) 105,357 $ 57,483 105,295 Six Months Ended Six Months Ended Income Shares Income Shares Basic: Net income applicable to common shareholders $ 17,007 $ 111,501 Less undistributed income allocated to participating securities (96 ) (586 ) Undistributed income allocated to common shares $ 16,911 105,324 $ 110,915 105,059 Diluted: Undistributed income allocated to common shares $ 16,911 105,324 $ 110,915 105,059 Effect of dilutive securities: Share-based awards other than participating securities — — — 300 Undistributed income reallocated to participating securities — — 2 — Net income applicable to common shareholders $ 16,911 105,324 $ 110,917 105,359 Approximately 8.0 million of potentially dilutive shares related to the 2032 Notes were excluded from the diluted EPS calculation for the three- and six- month periods ended June 30, 2015 and 2014 because we have the right, intention and ability to settle any such future conversions in cash (Note 6). |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans Long-Term Incentive Stock-Based Plan As of June 30, 2015 , there were 6.1 million shares of our common stock available for issuance under our active long-term incentive stock-based plan, the 2005 Long-Term Incentive Plan, as amended and restated effective May 9, 2012 (the “2005 Incentive Plan”). During the six -month period ended June 30, 2015 , the following grants of share-based awards were made under the 2005 Incentive Plan: Date of Grant Shares Grant Date Fair Value Per Share Vesting Period January 2, 2015 (1) 289,163 $ 21.70 33% per year over three years January 2, 2015 (2) 289,163 $ 25.06 100% on January 1, 2018 January 5, 2015 (3) 3,946 $ 21.66 100% on January 1, 2017 January 12, 2015 (1) 3,866 $ 19.40 33% per year over three years January 12, 2015 (2) 3,866 $ 25.06 100% on January 11, 2018 February 1, 2015 (1) 2,664 $ 18.77 33% per year over three years February 1, 2015 (2) 2,664 $ 25.06 100% on January 31, 2018 April 1, 2015 (3) 6,476 $ 14.96 100% on January 1, 2017 (1) Reflects the grant of restricted stock to our executive officers and selected management employees. (2) Reflects the grant of performance share units (“PSUs”) to our executive officers and selected management employees. The PSUs provide for an award based on the performance of our common stock over a three -year period with the maximum amount of the award being 200% of the original awarded PSUs and the minimum amount being zero . The vested PSUs may be settled in either cash or shares of our common stock at the discretion of the Compensation Committee of our Board of Directors. (3) Reflects the grant of restricted stock to certain members of our Board of Directors who have made an election to take their quarterly fees in stock in lieu of cash. Compensation cost for restricted stock is recognized over its vesting period on a straight-line basis. For the three- and six- month periods ended June 30, 2015 , $1.5 million and $2.9 million , respectively, were recognized as stock-based compensation expense related to restricted stock. For the three- and six- month periods ended June 30, 2014 , $1.3 million and $2.5 million , respectively, were recognized as stock-based compensation expense related to restricted stock and restricted stock units. The estimated fair value of the PSUs on grant date was determined using a Monte Carlo simulation model. Until December 2014, the PSUs were being treated as an equity award. Accordingly, compensation expense associated with the PSUs was fixed, as represented by the number of PSUs multiplied by their respective grant date fair value, and the fixed amount was amortized on a straight-line basis over the three-year vesting period. In connection with the vesting of the 2012 PSU awards that occurred in January 2015, the decision was made by the Compensation Committee of our Board of Directors to settle these PSUs with a cash payment of $4.5 million (rather than an equivalent number of shares of our common stock, which was the default provision of the PSU awards). Accordingly, PSUs are now accounted for as a liability plan and changes in fair value of the awards are recognized in earnings. For the three -month period ended June 30, 2015 , $0.2 million was recognized as stock-based compensation expense related to PSUs. For the six -month period ended June 30, 2015 , we recorded a net reduction of $0.9 million of previously recognized compensation cost to reflect the estimated fair value of unvested PSUs as of June 30, 2015 . For the three- and six- month periods ended June 30, 2014 , $0.5 million and $1.0 million , respectively, were recognized as stock-based compensation expense related to PSUs. Long-Term Incentive Cash Plans We have certain long-term incentive cash plans (the “LTI Cash Plans”) that provide long-term cash-based compensation to eligible employees. Cash awards historically have been both fixed sum amounts payable (for non-executive management only) as well as cash awards indexed to our common stock with the payment amount at each vesting date fluctuating based on the performance of our common stock (for both executive and non-executive management). Payment amounts under these awards are calculated based on the ratio of the average stock price during the applicable measurement period over the original base price determined by the Compensation Committee of our Board of Directors at the time of the award. Cash payments under these awards are made each year on the anniversary date of the award. Cash awards granted since 2012 have a vesting period of three years while those granted prior to 2012 have a vesting period of five years . The LTI Cash Plans are considered liability plans and as such are re-measured to fair value each reporting period with corresponding changes in the liability amount being reflected in our results of operations. The cash awards granted under the LTI Cash Plans to our executive officers and selected management employees totaled $8.9 million in 2014. No long-term incentive cash awards were granted in 2015. For the three- and six- month periods ended June 30, 2015 , we recorded reductions of $0.6 million and $2.5 million , respectively, of previously recognized compensation expense associated with the cash awards issued pursuant to the LTI Cash Plans, reflecting the effect the decrease in our stock price since December 31, 2014 had on the value of our liability plan. For the three- and six- month periods ended June 30, 2014 , total compensation expense associated with the cash awards issued pursuant to the LTI Cash Plans was $3.7 million and $5.4 million , respectively. The liability balance for the cash awards issued under the LTI Cash Plans was $1.2 million at June 30, 2015 and $12.8 million at December 31, 2014 . Employee Stock Purchase Plan We also have an employee stock purchase plan (the “ESPP”). The ESPP has 1.5 million shares authorized for issuance, of which 1.0 million shares were available for issuance as of June 30, 2015 . The total value of the ESPP awards is calculated using the component approach where each award is computed as the sum of 15% of a share of non-vested stock, a call option on 85% of a share of non-vested stock, and a put option on 15% of a share of non-vested stock. Share-based compensation expense with respect to the ESPP was $0.3 million and $0.6 million , respectively, for the three- and six- month periods ended June 30, 2015 . For the three- and six- month periods ended June 30, 2014 , share-based compensation expense with respect to the ESPP was $0.3 million and $0.5 million , respectively. For more information regarding our employee benefit plans, including our long-term incentive stock-based and cash plans and our employee stock purchase plan, see Note 8 to our 2014 Form 10-K. |
Business Segment Information
Business Segment Information | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Business Segment Information | Business Segment Information We have three reportable business segments: Well Intervention, Robotics and Production Facilities. Our Well Intervention segment includes our vessels and equipment used to perform well intervention services primarily in the Gulf of Mexico and North Sea regions. Our well intervention vessels include the Q4000 , the Q5000 , the Helix 534 , the Seawell , the Well Enhancer and the Skandi Constructor , which is a chartered vessel. Our well intervention segment also includes certain intervention riser systems that are available on a rental basis. Our Robotics segment includes ROVs, trenchers and ROVDrills designed to complement offshore construction and well intervention services, and currently operates five chartered ROV and trencher support vessels. The Production Facilities segment includes the HP I as well as our investments in Deepwater Gateway and Independence Hub that are accounted for under the equity method. The results of our previously reported Subsea Construction segment are immaterial and thus no longer meet the threshold to be separately reported as a business segment. These results are now aggregated within “Other” for all periods presented in this Quarterly Report on Form 10-Q. All material intercompany transactions between the segments have been eliminated. We evaluate our performance primarily based on operating income of each reportable segment. Segment assets are comprised of all assets attributable to each reportable segment. Corporate and other includes all assets not directly identifiable with our business segments. Certain financial data by reportable segment are summarized as follows (in thousands): Three Months Ended Six Months Ended 2015 2014 2015 2014 Net revenues — Well Intervention $ 85,675 $ 181,218 $ 189,726 $ 340,918 Robotics 75,101 119,704 155,272 207,594 Production Facilities 20,293 24,049 38,678 47,189 Other — — — 358 Intercompany elimination (15,053 ) (19,384 ) (28,019 ) (36,900 ) Total $ 166,016 $ 305,587 $ 355,657 $ 559,159 Income (loss) from operations — Well Intervention $ 4,135 $ 64,775 $ 18,929 $ 113,508 Robotics 4,303 20,799 13,760 32,018 Production Facilities 8,444 10,459 13,022 21,843 Corporate and other (9,009 ) (17,322 ) (15,616 ) (20,512 ) Intercompany elimination (199 ) 45 (93 ) (1,153 ) Total $ 7,674 $ 78,756 $ 30,002 $ 145,704 Equity in earnings (losses) of investments $ (323 ) $ (507 ) $ (302 ) $ 201 Intercompany segment amounts are derived primarily from equipment and services provided to other business segments at rates consistent with those charged to third parties. Intercompany segment revenues are as follows (in thousands): Three Months Ended Six Months Ended 2015 2014 2015 2014 Well Intervention $ 6,417 $ 7,956 $ 11,363 $ 13,417 Robotics 8,636 11,428 16,656 23,483 Total $ 15,053 $ 19,384 $ 28,019 $ 36,900 The following table reflects total assets by reportable segment (in thousands): June 30, December 31, Well Intervention $ 1,805,388 $ 1,470,349 Robotics 304,357 299,701 Production Facilities 446,199 459,427 Corporate and other 378,252 471,221 Total $ 2,934,196 $ 2,700,698 |
Commitments And Contingencies A
Commitments And Contingencies And Other Matters | 6 Months Ended |
Jun. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies And Other Matters | Commitments and Contingencies and Other Matters Commitments In March 2012, we executed a contract with a shipyard in Singapore for the construction of a newbuild semi-submersible well intervention vessel, the Q5000 . This $386.5 million shipyard contract represented the majority of the costs associated with the construction of the Q5000 . Pursuant to the terms of this contract, payments were made as a fixed percentage of the contract price, together with any variations, on contractually scheduled dates. The vessel was delivered to us in the second quarter of 2015 and is currently in transit to the Gulf of Mexico. In September 2014, we entered into the Nordea Credit Agreement to partially finance the construction of the Q5000 and other future capital projects. The Nordea Term Loan was funded at the time the Q5000 vessel was delivered to us (Note 6). At June 30, 2015 , our total investment in the Q5000 was $479.0 million , including $386.5 million of scheduled payments made to the shipyard. In February 2013, we contracted to charter the Grand Canyon II and the Grand Canyon III for use in our robotics operations. The terms of the charters are for five years from the respective delivery dates. We took delivery of the Grand Canyon II in late April 2015 and received a $4.7 million non-refundable payment from the shipyard that constructed the vessel related to the delayed delivery of the vessel. This payment will be amortized as a reduction in our cost of sales over the five-year charter for the vessel. The delivery of the Grand Canyon III has been extended until February 2016. In September 2013, we executed a second contract with the same shipyard in Singapore that constructed the Q5000 . This contract is for the construction of a newbuild semi-submersible well intervention vessel, the Q7000 , which is to be built to North Sea standards. This $346.0 million shipyard contract represents the majority of the expected costs associated with the construction of the Q7000 . Pursuant to the original terms of this contract, 20% of the contract price was paid upon the signing of the contract and the remaining 80% was to be paid upon the delivery of the vessel. Pursuant to an amendment we entered into with the shipyard in June 2015, the remaining 80% will now be paid in two installments, with 20% in June 2016 and 60% upon the delivery of the vessel. We agreed to pay the shipyard incremental costs of up to $14.5 million to extend the scheduled delivery of the Q7000 from mid-2016 to July 30, 2017. We paid $7.3 million of these costs in July 2015 and the remaining costs will be paid upon the delivery of the vessel. At June 30, 2015 , our total investment in the Q7000 was $105.8 million , including the $69.2 million paid to the shipyard upon signing the contract. In February 2014, we entered into agreements with Petróleo Brasileiro S.A. (“Petrobras”) to provide well intervention services offshore Brazil. The initial term of the agreements with Petrobras is for four years with options to extend. In connection with the Petrobras agreements, we entered into charter agreements with Siem Offshore AS for two newbuild monohull vessels, both of which are expected to be in service for Petrobras in 2016. At June 30, 2015 , our total investment in the topside equipment for the two vessels was $85.7 million . In November 2014, we paid a charter fee deposit of $12.5 million . Contingencies and Claims We believe that there are currently no contingencies which would have a material effect on our financial position, results of operations or cash flows. Litigation We are involved in various legal proceedings, some involving claims for personal injury under the General Maritime Laws of the United States and the Jones Act based on alleged negligence. In addition, from time to time we incur other claims, such as contract disputes, in the normal course of business. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value accounting rules establish a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: • Level 1. Observable inputs such as quoted prices in active markets; • Level 2. Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and • Level 3. Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions. Assets and liabilities measured at fair value are based on one or more of three valuation techniques as follows: (a) Market Approach. Prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. (b) Cost Approach. Amount that would be required to replace the service capacity of an asset (replacement cost). (c) Income Approach. Techniques to convert expected future cash flows to a single present amount based on market expectations (including present value techniques, option-pricing and excess earnings models). Our financial instruments include cash and cash equivalents, accounts receivable, accounts payable, long-term debt and various derivative instruments. The carrying amount of cash and cash equivalents, accounts receivable and accounts payable approximates fair value due to the short-term nature of these instruments. The following tables provide additional information relating to other financial instruments measured at fair value on a recurring basis (in thousands): Fair Value Measurements at Level 1 Level 2 (1) Level 3 Total Valuation Technique Assets: Interest rate swaps $ — $ 905 $ — $ 905 (c) Liabilities: Foreign exchange contracts — 54,460 — 54,460 (c) Interest rate swaps — 2,440 — 2,440 (c) Total net liability $ — $ 55,995 $ — $ 55,995 Fair Value Measurements at Level 1 Level 2 (1) Level 3 Total Valuation Technique Assets: Interest rate swaps $ — $ 369 $ — $ 369 (c) Liabilities: Foreign exchange contracts — 50,428 — 50,428 (c) Interest rate swaps — 561 — 561 (c) Total net liability $ — $ 50,620 $ — $ 50,620 (1) Unless otherwise indicated, the fair value of our Level 2 derivative instruments reflects our best estimate and is based upon exchange or over-the-counter quotations whenever they are available. Quoted valuations may not be available due to location differences or terms that extend beyond the period for which quotations are available. Where quotes are not available, we utilize other valuation techniques or models to estimate market values. These modeling techniques require us to make estimations of future prices, price correlation and market volatility and liquidity based on market data. Our actual results may differ from our estimates, and these differences could be positive or negative. See Note 14 for further discussion on fair value of our derivative instruments. The fair value of our long-term debt is as follows (in thousands): June 30, 2015 December 31, 2014 Carrying Value Fair Value (2) Carrying Value Fair Value (2) Term Loan (matures June 2018) $ 270,000 $ 265,106 $ 277,500 $ 270,563 Nordea Term Loan (matures April 2020) 250,000 242,031 — — MARAD Debt (matures February 2027) 92,004 103,494 94,792 104,830 2032 Notes (mature March 2032) (1) 200,000 191,624 200,000 222,900 Total debt $ 812,004 $ 802,255 $ 572,292 $ 598,293 (1) Carrying amount excludes the related unamortized debt discount of $18.0 million at June 30, 2015 and $20.9 million at December 31, 2014 . (2) The estimated fair value of the 2032 Notes was determined using Level 1 inputs using the market approach. The fair value of the Term Loan, the Nordea Term Loan and the MARAD Debt was estimated using Level 2 fair value inputs under the market approach. The fair value of the Term Loan, the Nordea Term Loan and the MARAD Debt was determined using a third party evaluation of the remaining average life and outstanding principal balance of the indebtedness as compared to other obligations in the marketplace with similar terms |
Derivative Instruments And Hedg
Derivative Instruments And Hedging Activities | 6 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments And Hedging Activities | Derivative Instruments and Hedging Activities Our operations are exposed to market risk associated with interest rates and foreign currency exchange rates. Our risk management activities involve the use of derivative financial instruments to hedge the impact of market risk exposure related to variable interest rates and foreign currency exchange rates. All derivatives are reflected in the accompanying condensed consolidated balance sheets at fair value. We engage solely in cash flow hedges. Hedges of cash flow exposure are entered into to hedge a forecasted transaction or the variability of cash flows to be received or paid related to a recognized asset or liability. Changes in the fair value of derivatives that are designated as cash flow hedges are deferred to the extent that the hedges are effective. These fair value changes are recorded as a component of Accumulated OCI (a component of shareholders’ equity) until the hedged transactions occur and are recognized in earnings. The ineffective portion of changes in the fair value of cash flow hedges is recognized immediately in earnings. In addition, any change in the fair value of a derivative that does not qualify for hedge accounting is recorded in earnings in the period in which the change occurs. For additional information regarding our accounting for derivatives, see Notes 2 and 15 to our 2014 Form 10-K. Interest Rate Risk From time to time, we enter into interest rate swaps to stabilize cash flows related to our long-term variable interest rate debt. In September 2013, we entered into various interest rate swap contracts to fix the interest rate on $148.1 million of our Term Loan borrowings (Note 6). These contracts, which are settled monthly, began in October 2013 and extend through October 2016. Additionally, in June 2015, we entered into various interest rate swap contracts to fix the interest rate on $187.5 million of our Nordea Term Loan borrowings (Note 6). These swap contracts, which are settled monthly, began in June 2015 and extend through April 2020. Our interest rate swap contracts qualify for hedge accounting treatment. Changes in the fair value of interest rate swaps are deferred to the extent the swaps are effective. These changes are recorded as a component of Accumulated OCI until the anticipated interest is recognized as interest expense. The ineffective portion of the interest rate swaps, if any, is recognized immediately in earnings within the line titled “Net interest expense.” The amount of ineffectiveness associated with our interest rate swap contracts was immaterial for all periods presented. Foreign Currency Exchange Rate Risk Because we operate in various regions in the world, we conduct a portion of our business in currencies other than the U.S. dollar. We enter into foreign currency exchange contracts from time to time to stabilize expected cash outflows related to our vessel charters that are denominated in foreign currencies. In January 2013, we entered into foreign currency exchange contracts to hedge through September 2017 the foreign currency exposure associated with the Grand Canyon charter payments ( $104.6 million ) denominated in Norwegian kroner (NOK 591.3 million ). In February 2013, we entered into similar foreign currency exchange contracts to hedge our foreign currency exposure with respect to the Grand Canyon II and Grand Canyon III charter payments ( $100.4 million and $98.8 million , respectively) denominated in Norwegian kroner (NOK 594.7 million and NOK 595.0 million , respectively), through July 2019 and February 2020, respectively. Quantitative Disclosures Relating to Derivative Instruments The following table presents the fair value and balance sheet classification of our derivative instruments that were designated as hedging instruments (in thousands): June 30, 2015 December 31, 2014 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Asset Derivatives: Interest rate swaps Other assets, net $ 905 Other assets, net $ 369 $ 905 $ 369 Liability Derivatives: Foreign exchange contracts Accrued liabilities $ 16,950 Accrued liabilities $ 12,661 Interest rate swaps Accrued liabilities 2,440 Accrued liabilities 561 Foreign exchange contracts Other non-current liabilities 37,510 Other non-current liabilities 37,767 $ 56,900 $ 50,989 For the three- and six- month periods ended June 30, 2015 , we recorded gains (losses) of $0.2 million and $(3.2) million , respectively, in “Other expense, net” in the accompanying condensed consolidated statement of operations related to ineffectiveness associated with our foreign currency hedges with respect to the Grand Canyon III charter payments as a result of the deferral of the vessel’s delivery until February 2016. Ineffectiveness associated with our cash flow hedges was immaterial for the three- and six- month periods ended June 30, 2014 . The following tables present the impact that derivative instruments designated as cash flow hedges had on our Accumulated OCI (net of tax) and our condensed consolidated statements of operations (in thousands). We estimate that as of June 30, 2015 , $10.5 million of losses in Accumulated OCI associated with our derivatives is expected to be reclassified into earnings within the next 12 months. Gain (Loss) Recognized in OCI on Derivatives, Net of Tax Three Months Ended Six Months Ended 2015 2014 2015 2014 Foreign exchange contracts $ 5,002 $ (2,134 ) $ (1,359 ) $ 890 Interest rate swaps (709 ) (153 ) (873 ) (114 ) $ 4,293 $ (2,287 ) $ (2,232 ) $ 776 Location of Loss Reclassified from Accumulated OCI into Earnings Loss Reclassified from Accumulated OCI into Earnings Three Months Ended Six Months Ended 2015 2014 2015 2014 Foreign exchange contracts Cost of sales $ (2,921 ) $ (217 ) $ (4,395 ) $ (431 ) Interest rate swaps Net interest expense (337 ) (393 ) (536 ) (837 ) $ (3,258 ) $ (610 ) $ (4,931 ) $ (1,268 ) |
Basis Of Presentation And New21
Basis Of Presentation And New Accounting Standards (Policies) | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis Of Presentation | The accompanying condensed consolidated financial statements include the accounts of Helix Energy Solutions Group, Inc. and its wholly and majority owned subsidiaries (collectively, “Helix” or the “Company”). Unless the context indicates otherwise, the terms “we,” “us” and “our” in this report refer collectively to Helix and its wholly and majority owned subsidiaries. All material intercompany accounts and transactions have been eliminated. These unaudited condensed consolidated financial statements have been prepared pursuant to instructions for the Quarterly Report on Form 10-Q required to be filed with the Securities and Exchange Commission (the “SEC”), and do not include all information and footnotes normally included in annual financial statements prepared in accordance with U.S. generally accepted accounting principles. The accompanying condensed consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) and are consistent in all material respects with those applied in our 2014 Annual Report on Form 10-K (“ 2014 Form 10-K”). The preparation of these financial statements requires us to make estimates and judgments that affect the amounts reported in the financial statements and the related disclosures. Actual results may differ from our estimates. The operating results for the three- and six- month periods ended June 30, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015 . Our balance sheet as of December 31, 2014 included herein has been derived from the audited balance sheet as of December 31, 2014 included in our 2014 Form 10-K. These unaudited condensed consolidated financial statements should be read in conjunction with the annual audited consolidated financial statements and notes thereto included in our 2014 Form 10-K. We have made all adjustments (which were normal recurring adjustments) that we believe are necessary for a fair presentation of the condensed consolidated balance sheets, statements of operations, statements of comprehensive income (loss), and statements of cash flows, as applicable. Our operating results for the three- and six- month periods ended June 30, 2015 included an out-of-period adjustment to correct an error related to a well intervention project performed in 2014 in which our revenues included certain income tax withholding payments made on our behalf and which now will have to be refunded to the counterparty. This adjustment affects our 2015 operating results by reducing our net revenues by $2.5 million and increasing our net loss by $1.7 million . The amounts were not deemed material with respect to prior year or the anticipated results and the trend of earnings for fiscal year 2015. |
Reclassifications | Certain reclassifications were made to previously reported amounts in the consolidated financial statements and notes thereto to make them consistent with the current presentation format. |
New Accounting Standards | In May 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers (Topic 606).” This ASU provides a single five-step approach to account for revenue arising from contracts with customers. The ASU requires an entity to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This revenue standard was originally effective prospectively for annual reporting periods beginning after December 15, 2016, including interim periods. In July 2015, the FASB elected to defer its effective date by one year to December 15, 2017. Adoption as of the original effective date is permitted. The guidance permits companies to either apply the requirements retrospectively to all prior periods presented, or apply the requirements in the year of adoption through a cumulative adjustment. We are currently evaluating which transition approach to use and the potential impact the adoption of this standard may have on our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, “Simplifying the Presentation of Debt Issuance Costs.” This ASU requires that debt issuance costs related to a recognized debt liability be reported on the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The guidance is effective retrospectively beginning in the first quarter of fiscal 2017 and early adoption is permitted. We do not expect this guidance to materially affect our balance sheets as amounts will be reclassified from long-term assets to partial offsets to long-term debt. The guidance will not affect our statements of operations or statements of cash flows. |
Details Of Certain Accounts (Ta
Details Of Certain Accounts (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Other Current Assets | Other current assets and other assets, net consist of the following (in thousands): June 30, December 31, Note receivable (1) $ 10,000 $ 17,500 Other receivables 632 423 Prepaid insurance 197 6,582 Other prepaids 10,452 15,541 Spare parts inventory 6,651 1,857 Value added tax receivable 8,051 9,326 Other 95 72 Total other current assets $ 36,664 $ 51,301 (1) Relates to the remaining balance of the promissory note we received in connection with the sale of our Ingleside spoolbase in January 2014. Interest on the note is payable quarterly at a rate of 6% per annum. Under the terms of the note, the remaining $20 million principal balance is required to be paid with a $10 million payment on December 31, 2015 and December 31, 2016. |
Other Assets, Net | June 30, December 31, Note receivable (1) $ 10,000 $ 10,000 Deferred dry dock expenses, net 26,061 11,631 Deferred financing costs, net (Note 6) 22,528 23,399 Intangible assets with finite lives, net 719 696 Charter fee deposit (Note 12) 12,544 12,544 Other 1,454 1,002 Total other assets, net $ 73,306 $ 59,272 (1) Relates to the remaining balance of the promissory note we received in connection with the sale of our Ingleside spoolbase in January 2014. Interest on the note is payable quarterly at a rate of 6% per annum. Under the terms of the note, the remaining $20 million principal balance is required to be paid with a $10 million payment on December 31, 2015 and December 31, 2016. |
Accrued Liabilities | Accrued liabilities consist of the following (in thousands): June 30, December 31, Accrued payroll and related benefits $ 19,490 $ 61,246 Current asset retirement obligations 554 575 Unearned revenue 6,700 11,461 Accrued interest 4,882 4,221 Derivative liability (Note 14) 19,390 13,222 Taxes payable excluding income tax payable 6,583 6,236 Other 9,189 7,962 Total accrued liabilities $ 66,788 $ 104,923 |
Statement Of Cash Flow Inform23
Statement Of Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | The following table provides supplemental cash flow information (in thousands): Six Months Ended 2015 2014 Interest paid, net of interest capitalized $ 3,729 $ 5,960 Income taxes paid $ 13,285 $ 35,268 |
Equity Investments (Tables)
Equity Investments (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Distributions From Equity Investments | We received the following distributions from our equity method investments (in thousands): Three Months Ended Six Months Ended 2015 2014 2015 2014 Deepwater Gateway $ 1,700 $ 1,750 $ 2,700 $ 3,750 Independence Hub 440 500 840 1,300 Total $ 2,140 $ 2,250 $ 3,540 $ 5,050 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Debt Disclosure [Abstract] | |
Maturities Of Long-Term Debt | Scheduled maturities of our long-term debt outstanding as of June 30, 2015 are as follows (in thousands): Term Loan Nordea Term Loan MARAD Debt 2032 Notes (1) Total Less than one year $ 30,000 $ 35,714 $ 5,783 $ — $ 71,497 One to two years 30,000 35,715 6,072 — 71,787 Two to three years 30,000 35,714 6,375 — 72,089 Three to four years 180,000 35,714 6,693 — 222,407 Four to five years — 107,143 7,027 — 114,170 Over five years — — 60,054 200,000 260,054 Total debt 270,000 250,000 92,004 200,000 812,004 Current maturities (30,000 ) (35,714 ) (5,783 ) — (71,497 ) Long-term debt, less current maturities 240,000 214,286 86,221 200,000 740,507 Unamortized debt discount (2) — — — (17,992 ) (17,992 ) Long-term debt $ 240,000 $ 214,286 $ 86,221 $ 182,008 $ 722,515 (1) Beginning in March 2018, the holders of our Convertible Senior Notes due 2032 may require us to repurchase these notes or we may at our option elect to repurchase these notes. The notes will mature in March 2032 . (2) Our Convertible Senior Notes due 2032 will increase to their face amount through accretion of non-cash interest charges through March 2018. |
Deferred Financing Costs | The following table reflects the components of our deferred financing costs (in thousands): June 30, 2015 December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Gross Carrying Amount Accumulated Amortization Net Term Loan (matures June 2018) $ 3,638 $ (1,455 ) $ 2,183 $ 3,638 $ (1,091 ) $ 2,547 Revolving Credit Facility (matures June 2018) 14,787 (5,351 ) 9,436 13,275 (3,982 ) 9,293 2032 Notes (mature March 2032) 3,759 (2,070 ) 1,689 3,759 (1,763 ) 1,996 MARAD Debt (matures February 2027) 12,200 (6,467 ) 5,733 12,200 (6,223 ) 5,977 Nordea Term Loan 3,607 (120 ) 3,487 3,586 — 3,586 Total deferred financing costs $ 37,991 $ (15,463 ) $ 22,528 $ 36,458 $ (13,059 ) $ 23,399 |
Net Interest Expense | The following table details the components of our net interest expense (in thousands): Three Months Ended Six Months Ended 2015 2014 2015 2014 Interest expense $ 9,751 $ 7,160 $ 18,160 $ 15,522 Interest income (457 ) (655 ) (1,107 ) (1,372 ) Capitalized interest (4,059 ) (1,988 ) (7,748 ) (5,150 ) Net interest expense $ 5,235 $ 4,517 $ 9,305 $ 9,000 |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Effective Income Tax Rate Reconciliation | The primary differences between the U.S. statutory rate and our effective rate are as follows: Three Months Ended Six Months Ended 2015 2014 2015 2014 U.S. statutory rate 35.0 % 35.0 % 35.0 % 35.0 % Foreign provision (54.6 ) (8.4 ) (31.5 ) (8.3 ) Tax benefits previously unrecognized — (4.5 ) — (2.3 ) Other (10.8 ) 1.2 2.2 0.9 Effective rate (30.4 )% 23.3 % 5.7 % 25.3 % |
Accumulated Other Comprehensi27
Accumulated Other Comprehensive Income (Loss) ("OCI") (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Equity [Abstract] | |
Components Of Accumulated OCI | The components of Accumulated OCI are as follows (in thousands): June 30, December 31, Cumulative foreign currency translation adjustment $ (28,141 ) $ (30,161 ) Unrealized loss on hedges, net (1) (34,323 ) (32,091 ) Accumulated other comprehensive loss $ (62,464 ) $ (62,252 ) (1) Amounts relate to foreign currency hedges for the Grand Canyon , the Grand Canyon II and the Grand Canyon III charters as well as interest rate swap contracts for the Term Loan and the Nordea Term Loan, and are net of deferred income taxes totaling $18.5 million at June 30, 2015 and $17.3 million at December 31, 2014 (Note 14). |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Computations Of Basic And Diluted EPS | The computations of the numerator (income) and denominator (shares) to derive the basic and diluted EPS amounts presented on the face of the accompanying condensed consolidated statements of operations are as follows (in thousands): Three Months Ended Three Months Ended Income Shares Income Shares Basic: Net income (loss) applicable to common shareholders $ (2,635 ) $ 57,782 Less: Undistributed income allocated to participating securities — (300 ) Undistributed income (loss) allocated to common shares $ (2,635 ) 105,357 $ 57,482 104,992 Diluted: Undistributed income (loss) allocated to common shares $ (2,635 ) 105,357 $ 57,482 104,992 Effect of dilutive securities: Share-based awards other than participating securities — — — 303 Undistributed income reallocated to participating securities — — 1 — Net income (loss) applicable to common shareholders $ (2,635 ) 105,357 $ 57,483 105,295 Six Months Ended Six Months Ended Income Shares Income Shares Basic: Net income applicable to common shareholders $ 17,007 $ 111,501 Less undistributed income allocated to participating securities (96 ) (586 ) Undistributed income allocated to common shares $ 16,911 105,324 $ 110,915 105,059 Diluted: Undistributed income allocated to common shares $ 16,911 105,324 $ 110,915 105,059 Effect of dilutive securities: Share-based awards other than participating securities — — — 300 Undistributed income reallocated to participating securities — — 2 — Net income applicable to common shareholders $ 16,911 105,324 $ 110,917 105,359 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Awards Granted | During the six -month period ended June 30, 2015 , the following grants of share-based awards were made under the 2005 Incentive Plan: Date of Grant Shares Grant Date Fair Value Per Share Vesting Period January 2, 2015 (1) 289,163 $ 21.70 33% per year over three years January 2, 2015 (2) 289,163 $ 25.06 100% on January 1, 2018 January 5, 2015 (3) 3,946 $ 21.66 100% on January 1, 2017 January 12, 2015 (1) 3,866 $ 19.40 33% per year over three years January 12, 2015 (2) 3,866 $ 25.06 100% on January 11, 2018 February 1, 2015 (1) 2,664 $ 18.77 33% per year over three years February 1, 2015 (2) 2,664 $ 25.06 100% on January 31, 2018 April 1, 2015 (3) 6,476 $ 14.96 100% on January 1, 2017 (1) Reflects the grant of restricted stock to our executive officers and selected management employees. (2) Reflects the grant of performance share units (“PSUs”) to our executive officers and selected management employees. The PSUs provide for an award based on the performance of our common stock over a three -year period with the maximum amount of the award being 200% of the original awarded PSUs and the minimum amount being zero . The vested PSUs may be settled in either cash or shares of our common stock at the discretion of the Compensation Committee of our Board of Directors. (3) Reflects the grant of restricted stock to certain members of our Board of Directors who have made an election to take their quarterly fees in stock in lieu of cash. |
Business Segment Information (T
Business Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment Reporting Information By Segment | Certain financial data by reportable segment are summarized as follows (in thousands): Three Months Ended Six Months Ended 2015 2014 2015 2014 Net revenues — Well Intervention $ 85,675 $ 181,218 $ 189,726 $ 340,918 Robotics 75,101 119,704 155,272 207,594 Production Facilities 20,293 24,049 38,678 47,189 Other — — — 358 Intercompany elimination (15,053 ) (19,384 ) (28,019 ) (36,900 ) Total $ 166,016 $ 305,587 $ 355,657 $ 559,159 Income (loss) from operations — Well Intervention $ 4,135 $ 64,775 $ 18,929 $ 113,508 Robotics 4,303 20,799 13,760 32,018 Production Facilities 8,444 10,459 13,022 21,843 Corporate and other (9,009 ) (17,322 ) (15,616 ) (20,512 ) Intercompany elimination (199 ) 45 (93 ) (1,153 ) Total $ 7,674 $ 78,756 $ 30,002 $ 145,704 Equity in earnings (losses) of investments $ (323 ) $ (507 ) $ (302 ) $ 201 |
Summary Of Intercompany Segment Revenues | Intercompany segment revenues are as follows (in thousands): Three Months Ended Six Months Ended 2015 2014 2015 2014 Well Intervention $ 6,417 $ 7,956 $ 11,363 $ 13,417 Robotics 8,636 11,428 16,656 23,483 Total $ 15,053 $ 19,384 $ 28,019 $ 36,900 |
Summary Of Identifiable Assets | The following table reflects total assets by reportable segment (in thousands): June 30, December 31, Well Intervention $ 1,805,388 $ 1,470,349 Robotics 304,357 299,701 Production Facilities 446,199 459,427 Corporate and other 378,252 471,221 Total $ 2,934,196 $ 2,700,698 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Assets And Liabilities Measured At Fair Value On A Recurring Basis | The following tables provide additional information relating to other financial instruments measured at fair value on a recurring basis (in thousands): Fair Value Measurements at Level 1 Level 2 (1) Level 3 Total Valuation Technique Assets: Interest rate swaps $ — $ 905 $ — $ 905 (c) Liabilities: Foreign exchange contracts — 54,460 — 54,460 (c) Interest rate swaps — 2,440 — 2,440 (c) Total net liability $ — $ 55,995 $ — $ 55,995 Fair Value Measurements at Level 1 Level 2 (1) Level 3 Total Valuation Technique Assets: Interest rate swaps $ — $ 369 $ — $ 369 (c) Liabilities: Foreign exchange contracts — 50,428 — 50,428 (c) Interest rate swaps — 561 — 561 (c) Total net liability $ — $ 50,620 $ — $ 50,620 (1) Unless otherwise indicated, the fair value of our Level 2 derivative instruments reflects our best estimate and is based upon exchange or over-the-counter quotations whenever they are available. Quoted valuations may not be available due to location differences or terms that extend beyond the period for which quotations are available. Where quotes are not available, we utilize other valuation techniques or models to estimate market values. These modeling techniques require us to make estimations of future prices, price correlation and market volatility and liquidity based on market data. Our actual results may differ from our estimates, and these differences could be positive or negative. See Note 14 for further discussion on fair value of our derivative instruments. |
Fair Value Of Long-Term Debt | The fair value of our long-term debt is as follows (in thousands): June 30, 2015 December 31, 2014 Carrying Value Fair Value (2) Carrying Value Fair Value (2) Term Loan (matures June 2018) $ 270,000 $ 265,106 $ 277,500 $ 270,563 Nordea Term Loan (matures April 2020) 250,000 242,031 — — MARAD Debt (matures February 2027) 92,004 103,494 94,792 104,830 2032 Notes (mature March 2032) (1) 200,000 191,624 200,000 222,900 Total debt $ 812,004 $ 802,255 $ 572,292 $ 598,293 (1) Carrying amount excludes the related unamortized debt discount of $18.0 million at June 30, 2015 and $20.9 million at December 31, 2014 . (2) The estimated fair value of the 2032 Notes was determined using Level 1 inputs using the market approach. The fair value of the Term Loan, the Nordea Term Loan and the MARAD Debt was estimated using Level 2 fair value inputs under the market approach. The fair value of the Term Loan, the Nordea Term Loan and the MARAD Debt was determined using a third party evaluation of the remaining average life and outstanding principal balance of the indebtedness as compared to other obligations in the marketplace with similar terms |
Derivative Instruments And He32
Derivative Instruments And Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives Designated As Hedging Instruments | The following table presents the fair value and balance sheet classification of our derivative instruments that were designated as hedging instruments (in thousands): June 30, 2015 December 31, 2014 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Asset Derivatives: Interest rate swaps Other assets, net $ 905 Other assets, net $ 369 $ 905 $ 369 Liability Derivatives: Foreign exchange contracts Accrued liabilities $ 16,950 Accrued liabilities $ 12,661 Interest rate swaps Accrued liabilities 2,440 Accrued liabilities 561 Foreign exchange contracts Other non-current liabilities 37,510 Other non-current liabilities 37,767 $ 56,900 $ 50,989 |
Gain (Loss) Recognized In OCI On Derivatives, Net Of Tax | The following tables present the impact that derivative instruments designated as cash flow hedges had on our Accumulated OCI (net of tax) and our condensed consolidated statements of operations (in thousands). We estimate that as of June 30, 2015 , $10.5 million of losses in Accumulated OCI associated with our derivatives is expected to be reclassified into earnings within the next 12 months. Gain (Loss) Recognized in OCI on Derivatives, Net of Tax Three Months Ended Six Months Ended 2015 2014 2015 2014 Foreign exchange contracts $ 5,002 $ (2,134 ) $ (1,359 ) $ 890 Interest rate swaps (709 ) (153 ) (873 ) (114 ) $ 4,293 $ (2,287 ) $ (2,232 ) $ 776 |
Loss Reclassified From Accumulated OCI Into Earnings | The following tables present the impact that derivative instruments designated as cash flow hedges had on our Accumulated OCI (net of tax) and our condensed consolidated statements of operations (in thousands). We estimate that as of June 30, 2015 , $10.5 million of losses in Accumulated OCI associated with our derivatives is expected to be reclassified into earnings within the next 12 months. Location of Loss Reclassified from Accumulated OCI into Earnings Loss Reclassified from Accumulated OCI into Earnings Three Months Ended Six Months Ended 2015 2014 2015 2014 Foreign exchange contracts Cost of sales $ (2,921 ) $ (217 ) $ (4,395 ) $ (431 ) Interest rate swaps Net interest expense (337 ) (393 ) (536 ) (837 ) $ (3,258 ) $ (610 ) $ (4,931 ) $ (1,268 ) |
Basis Of Presentation And New33
Basis Of Presentation And New Accounting Standards (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Reduction to net revenue | $ (166,016) | $ (305,587) | $ (355,657) | $ (559,159) |
Increase to net loss | 2,635 | $ (57,782) | $ (17,007) | $ (111,501) |
Scenario, Adjustment [Member] | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Reduction to net revenue | 2,500 | |||
Increase to net loss | $ 1,700 |
Company Overview (Details)
Company Overview (Details) | 1 Months Ended | 6 Months Ended |
Feb. 28, 2014vessel | Jun. 30, 2015segmentvessel | |
Segment Reporting Information [Line Items] | ||
Number of reportable segments | segment | 3 | |
Robotics [Member] | ||
Segment Reporting Information [Line Items] | ||
Number of chartered vessels | 5 | |
Monohull Vessels [Member] | ||
Segment Reporting Information [Line Items] | ||
Number of vessels under construction | 2 | |
Monohull Vessels [Member] | Well Intervention [Member] | ||
Segment Reporting Information [Line Items] | ||
Number of vessels under construction | 2 |
Details Of Certain Accounts (Ot
Details Of Certain Accounts (Other Current Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Note receivable | [1] | $ 10,000 | $ 17,500 | ||
Other receivables | 632 | 423 | |||
Prepaid insurance | 197 | 6,582 | |||
Other prepaids | 10,452 | 15,541 | |||
Spare parts inventory | 6,651 | 1,857 | |||
Income tax receivable | 586 | 0 | |||
Value added tax receivable | 8,051 | 9,326 | |||
Other | 95 | 72 | |||
Total other current assets | $ 36,664 | $ 51,301 | |||
Note receivable, interest rate | 6.00% | ||||
Financing receivable, gross | $ 20,000 | ||||
Scenario, Forecast [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Note receivable, periodic principal payment | $ 10,000 | $ 10,000 | |||
[1] | Relates to the remaining balance of the promissory note we received in connection with the sale of our Ingleside spoolbase in January 2014. Interest on the note is payable quarterly at a rate of 6% per annum. Under the terms of the note, the remaining $20 million principal balance is required to be paid with a $10 million payment on December 31, 2015 and December 31, 2016. |
Details Of Certain Accounts (36
Details Of Certain Accounts (Other Assets, Net) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | Nov. 30, 2014 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Note receivable | [1] | $ 10,000 | $ 10,000 | |||
Deferred dry dock expenses, net | 26,061 | 11,631 | ||||
Deferred financing costs, net (Note 6) | 22,528 | 23,399 | ||||
Intangible assets with finite lives, net | 719 | 696 | ||||
Charter fee deposit (Note 12) | 12,544 | 12,544 | $ 12,500 | |||
Other | 1,454 | 1,002 | ||||
Total other assets, net | $ 73,306 | $ 59,272 | ||||
Note receivable, interest rate | 6.00% | |||||
Financing receivable, gross | $ 20,000 | |||||
Scenario, Forecast [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Note receivable, periodic principal payment | $ 10,000 | $ 10,000 | ||||
[1] | Relates to the remaining balance of the promissory note we received in connection with the sale of our Ingleside spoolbase in January 2014. Interest on the note is payable quarterly at a rate of 6% per annum. Under the terms of the note, the remaining $20 million principal balance is required to be paid with a $10 million payment on December 31, 2015 and December 31, 2016. |
Details Of Certain Accounts (Ac
Details Of Certain Accounts (Accrued Liabilities) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Accrued payroll and related benefits | $ 19,490 | $ 61,246 |
Current asset retirement obligations | 554 | 575 |
Unearned revenue | 6,700 | 11,461 |
Accrued interest | 4,882 | 4,221 |
Derivative liability (Note 14) | 19,390 | 13,222 |
Taxes payable excluding income tax payable | 6,583 | 6,236 |
Other | 9,189 | 7,962 |
Total accrued liabilities | $ 66,788 | $ 104,923 |
Statement Of Cash Flow Inform38
Statement Of Cash Flow Information (Supplemental Cash Flow Information) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Supplemental Cash Flow Information [Abstract] | ||
Interest paid, net of interest capitalized | $ 3,729 | $ 5,960 |
Income taxes paid | $ 13,285 | $ 35,268 |
Statement Of Cash Flow Inform39
Statement Of Cash Flow Information (Narrative) (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Supplemental Cash Flow Information [Abstract] | |||
Accruals for capital expenditures | $ 18.3 | $ 14.1 | |
Noncash consideration received | $ 30 |
Equity Investments (Details)
Equity Investments (Details) ft in Thousands, $ in Thousands | 6 Months Ended | |
Jun. 30, 2015USD ($)equity_investmentft | Dec. 31, 2014USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||
Number of equity investments | equity_investment | 2 | |
Equity investments in unconsolidated affiliates | $ 145,588 | $ 149,623 |
Deepwater Gateway, L.L.C. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method investment, ownership percentage | 50.00% | |
Equity investments in unconsolidated affiliates | $ 78,600 | 80,900 |
Capitalized interest | $ 1,200 | 1,200 |
Independence Hub, LLC [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method investment, ownership percentage | 20.00% | |
Equity investments in unconsolidated affiliates | $ 67,000 | 68,800 |
Capitalized interest | $ 3,800 | $ 3,900 |
Water depth | ft | 8 |
Equity Investments (Distributio
Equity Investments (Distributions From Equity Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Schedule of Equity Method Investments [Line Items] | ||||
Distributions from equity investments | $ 2,140 | $ 2,250 | $ 3,540 | $ 5,050 |
Deepwater Gateway, L.L.C. [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Distributions from equity investments | 1,700 | 1,750 | 2,700 | 3,750 |
Independence Hub, LLC [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Distributions from equity investments | $ 440 | $ 500 | $ 840 | $ 1,300 |
Long-Term Debt (Credit Agreemen
Long-Term Debt (Credit Agreement) (Details) | 1 Months Ended | 3 Months Ended | 18 Months Ended | ||||
May. 31, 2015 | Jun. 30, 2013USD ($) | Jun. 30, 2017 | Mar. 31, 2017 | Jun. 30, 2015USD ($) | Dec. 31, 2016 | Sep. 30, 2013USD ($) | |
Debt Instrument [Line Items] | |||||||
Amended leverage ratio | 4 | ||||||
Scenario, Forecast [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Amended leverage ratio | 3.50 | 4 | 4.50 | ||||
Term Loan Maturing June 2018 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Original borrowing capacity | $ 300,000,000 | ||||||
Debt instrument, periodic payment terms, balloon payment to be paid | $ 180,000,000 | ||||||
Debt instrument, maturity date | Jun. 19, 2018 | ||||||
Term Loan Maturing June 2018 [Member] | Interest Rate Swaps [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Derivative, notional amount | $ 148,100,000 | ||||||
Derivative, lower range of basis spread on variable rate | 0.74% | ||||||
Derivative, higher range of basis spread on variable rate | 0.75% | ||||||
Term Loan Maturing June 2018 [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 2.50% | ||||||
Revolving Credit Facility Maturing June 2018 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Original borrowing capacity | $ 600,000,000 | ||||||
Line of credit facility, maximum additional commitments | $ 200,000,000 | ||||||
Revolving credit facility available capacity | $ 450,100,000 | ||||||
Unsecured letters of credit | $ 16,700,000 | ||||||
Commitment fee percentage | 0.50% | ||||||
Minimum [Member] | Term Loan Maturing June 2018 [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 2.00% | 2.00% | |||||
Minimum [Member] | Term Loan Maturing June 2018 [Member] | Base Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 1.00% | 1.00% | |||||
Maximum [Member] | Term Loan Maturing June 2018 [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 4.00% | 3.00% | |||||
Maximum [Member] | Term Loan Maturing June 2018 [Member] | Base Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate | 3.00% | 2.00% | |||||
Years Three Through Five [Member] | Term Loan Maturing June 2018 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, periodic payment, principal, percentage | 10.00% | ||||||
Debt instrument, periodic payment, principal | $ 30,000,000 | ||||||
Years one and two | Term Loan Maturing June 2018 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, periodic payment, principal, percentage | 5.00% | ||||||
Debt instrument, periodic payment, principal | $ 15,000,000 |
Long-Term Debt (Convertible Sen
Long-Term Debt (Convertible Senior Notes Dues 2032) (Details) - USD ($) | 1 Months Ended | ||
Mar. 31, 2012 | Jun. 30, 2015 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | |||
Long-term debt, carrying value | $ 812,004,000 | ||
Unamortized debt discount | 17,992,000 | $ 20,900,000 | |
Convertible Senior Notes 2032 [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt, carrying value | $ 200,000,000 | 200,000,000 | |
Debt instrument interest rate | 3.25% | ||
Debt instrument, frequency of periodic payment | semi-annually | ||
Debt instrument, maturity date | Mar. 15, 2032 | ||
Convertible Senior Notes, shares of common stock | 39.9752 | ||
Base principal amount | $ 1,000 | ||
Per share conversion price | $ 25.02 | ||
Debt instrument, redemption price, percentage of principal amount redeemed | 100.00% | ||
Unamortized debt discount | $ 35,400,000 | $ 17,992,000 | |
Expected life used to estimate fair value | 6 years | ||
Effective interest rate | 6.90% | ||
Debt Instrument, Convertible, Carrying Amount of Equity Component | $ 22,500,000 |
Long-Term Debt (MARAD Debt) (De
Long-Term Debt (MARAD Debt) (Details) - MARAD Debt [Member] | 1 Months Ended | |
Aug. 31, 2002 | Sep. 30, 2005 | |
Debt Instrument [Line Items] | ||
Debt instrument, frequency of periodic payment | semi-annual | |
Debt instrument, maturity date | February 2027 | |
Guarantor obligations, liquidation proceeds, percentage | 50.00% | |
Basis spread on variable rate | 0.20% | |
Debt instrument interest rate | 4.93% |
Long-Term Debt (Nordea Credit A
Long-Term Debt (Nordea Credit Agreement) (Details) - Nordea Term Loan [Member] - USD ($) | 1 Months Ended | 3 Months Ended | 8 Months Ended | |
Sep. 30, 2014 | Jun. 30, 2015 | Apr. 29, 2015 | Apr. 30, 2015 | |
Debt Instrument [Line Items] | ||||
Original borrowing capacity | $ 250,000,000 | |||
Commitment fee percentage | 0.875% | |||
Debt instrument, maturity date | Apr. 30, 2020 | |||
Debt instrument, periodic payment, principal | $ 8,900,000 | |||
Debt instrument, frequency of periodic payment | quarterly | |||
Debt instrument, periodic payment terms, balloon payment to be paid | $ 80,400,000 | |||
Interest Rate Swaps [Member] | ||||
Debt Instrument [Line Items] | ||||
Derivative, lower range of basis spread on variable rate | 1.49% | |||
Derivative, higher range of basis spread on variable rate | 1.52% | |||
Derivative, notional amount | $ 187,500,000 | |||
London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 2.50% |
Long-Term Debt (Maturities Of L
Long-Term Debt (Maturities Of Long-Term Debt) (Details) - USD ($) | 1 Months Ended | 6 Months Ended | ||
Aug. 31, 2002 | Jun. 30, 2015 | Dec. 31, 2014 | Mar. 31, 2012 | |
Debt Instrument [Line Items] | ||||
Less than one year | $ 71,497,000 | |||
One to two years | 71,787,000 | |||
Two to three years | 72,089,000 | |||
Three to four years | 222,407,000 | |||
Four to five years | 114,170,000 | |||
Over five years | 260,054,000 | |||
Total debt | 812,004,000 | |||
Current maturities | (71,497,000) | $ (28,144,000) | ||
Long-term Debt, Excluding Current Maturities, Gross | 740,507,000 | |||
Long-term debt, less current maturities | 722,515,000 | 523,228,000 | ||
Unamortized debt discount | (17,992,000) | (20,900,000) | ||
Term Loan Maturing June 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Less than one year | 30,000,000 | |||
One to two years | 30,000,000 | |||
Two to three years | 30,000,000 | |||
Three to four years | 180,000,000 | |||
Total debt | 270,000,000 | 277,500,000 | ||
Current maturities | (30,000,000) | |||
Long-term Debt, Excluding Current Maturities, Gross | 240,000,000 | |||
Long-term debt, less current maturities | 240,000,000 | |||
Nordea Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Less than one year | 35,714,000 | |||
One to two years | 35,715,000 | |||
Two to three years | 35,714,000 | |||
Three to four years | 35,714,000 | |||
Four to five years | 107,143,000 | |||
Total debt | 250,000,000 | 0 | ||
Current maturities | (35,714,000) | |||
Long-term Debt, Excluding Current Maturities, Gross | 214,286,000 | |||
Long-term debt, less current maturities | 214,286,000 | |||
MARAD Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Less than one year | 5,783,000 | |||
One to two years | 6,072,000 | |||
Two to three years | 6,375,000 | |||
Three to four years | 6,693,000 | |||
Four to five years | 7,027,000 | |||
Over five years | 60,054,000 | |||
Total debt | 92,004,000 | $ 94,792,000 | ||
Current maturities | (5,783,000) | |||
Long-term Debt, Excluding Current Maturities, Gross | 86,221,000 | |||
Long-term debt, less current maturities | 86,221,000 | |||
Debt instrument, maturity date | February 2027 | |||
Convertible Senior Notes 2032 [Member] | ||||
Debt Instrument [Line Items] | ||||
Over five years | 200,000,000 | |||
Total debt | 200,000,000 | $ 200,000,000 | ||
Long-term Debt, Excluding Current Maturities, Gross | 200,000,000 | |||
Long-term debt, less current maturities | 182,008,000 | |||
Unamortized debt discount | $ (17,992,000) | $ (35,400,000) | ||
Debt instrument, maturity date | March 2032 |
Long-Term Debt (Deferred Financ
Long-Term Debt (Deferred Financing Costs) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Term Loan Maturing June 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Gross carrying amount | $ 3,638 | $ 3,638 |
Accumulated amortization | (1,455) | (1,091) |
Net | 2,183 | 2,547 |
Revolving Credit Facility Maturing June 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Gross carrying amount | 14,787 | 13,275 |
Accumulated amortization | (5,351) | (3,982) |
Net | 9,436 | 9,293 |
Convertible Senior Notes 2032 [Member] | ||
Debt Instrument [Line Items] | ||
Gross carrying amount | 3,759 | 3,759 |
Accumulated amortization | (2,070) | (1,763) |
Net | 1,689 | 1,996 |
MARAD Debt [Member] | ||
Debt Instrument [Line Items] | ||
Gross carrying amount | 12,200 | 12,200 |
Accumulated amortization | (6,467) | (6,223) |
Net | 5,733 | 5,977 |
Nordea Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Gross carrying amount | 3,607 | 3,586 |
Accumulated amortization | (120) | |
Net | 3,487 | 3,586 |
Debt [Member] | ||
Debt Instrument [Line Items] | ||
Gross carrying amount | 37,991 | 36,458 |
Accumulated amortization | (15,463) | (13,059) |
Net | $ 22,528 | $ 23,399 |
Long-Term Debt (Net Interest Ex
Long-Term Debt (Net Interest Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Debt Disclosure [Abstract] | ||||
Interest expense | $ 9,751 | $ 7,160 | $ 18,160 | $ 15,522 |
Interest income | (457) | (655) | (1,107) | (1,372) |
Capitalized interest | (4,059) | (1,988) | (7,748) | (5,150) |
Net interest expense | $ 5,235 | $ 4,517 | $ 9,305 | $ 9,000 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rate | (30.40%) | 23.30% | 5.70% | 25.30% |
U.S. statutory rate | 35.00% | 35.00% | 35.00% | 35.00% |
Income Taxes (Effective Income
Income Taxes (Effective Income Tax Rate Reconciliation) (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | ||||
U.S. statutory rate | 35.00% | 35.00% | 35.00% | 35.00% |
Foreign provision | (54.60%) | (8.40%) | (31.50%) | (8.30%) |
Tax benefits previously recognized | 0.00% | (4.50%) | 0.00% | (2.30%) |
Other | (10.80%) | 1.20% | 2.20% | 0.90% |
Effective tax rate | (30.40%) | 23.30% | 5.70% | 25.30% |
Accumulated Other Comprehensi51
Accumulated Other Comprehensive Income (Loss) ("OCI") (Components Of Accumulated OCI) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | |
Equity [Abstract] | |||
Cumulative foreign currency translation adjustment | $ (28,141) | $ (30,161) | |
Unrealized loss on hedges, net | [1] | (34,323) | (32,091) |
Accumulated other comprehensive loss | (62,464) | (62,252) | |
Deferred tax asset, other comprehensive loss | $ 18,500 | $ 17,300 | |
[1] | Amounts relate to foreign currency hedges for the Grand Canyon, the Grand Canyon II and the Grand Canyon III charters as well as interest rate swap contracts for the Term Loan and the Nordea Term Loan, and are net of deferred income taxes totaling $18.5 million at June 30, 2015 and $17.3 million at December 31, 2014 (Note 14). |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares shares in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Convertible Senior Notes 2032 [Member] | ||||
Debt Instrument [Line Items] | ||||
Antidilutive securities | 8 | 8 | 8 | 8 |
Earnings Per Share (Computation
Earnings Per Share (Computations Of Basic And Diluted EPS) (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Basic: | ||||
Net income applicable to common shareholders | $ (2,635) | $ 57,782 | $ 17,007 | $ 111,501 |
Less undistributed income allocated to participating securities | 0 | (300) | (96) | (586) |
Undistributed income allocated to common shares | $ (2,635) | $ 57,482 | $ 16,911 | $ 110,915 |
Weighted average number of shares outstanding (in shares) | 105,357 | 104,992 | 105,324 | 105,059 |
Diluted: | ||||
Undistributed income allocated to common shares | $ (2,635) | $ 57,482 | $ 16,911 | $ 110,915 |
Share-based awards other than participating securities | $ 0 | $ 0 | ||
Share-based awards other than participating securities (in shares) | 0 | 303 | 0 | 300 |
Undistributed income reallocated to participating securities | $ 0 | $ 1 | $ 0 | $ 2 |
Net income applicable to common shareholders | $ (2,635) | $ 57,483 | $ 16,911 | $ 110,917 |
Weighted average number of shares outstanding (in shares) | 105,357 | 105,295 | 105,324 | 105,359 |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) - USD ($) shares in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jan. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Shares available for grant | 6.1 | 6.1 | |||||||
Compensation cost related to restricted shares | $ 1,500,000 | $ 1,300,000 | $ 2,900,000 | $ 2,500,000 | |||||
Deferred compensation arrangement with individual, distributions paid | $ 4,500,000 | ||||||||
Deferred compensation arrangement, vesting period | 3 years | 5 years | |||||||
Deferred compensation arrangement, cash awards granted, amount | 0 | 0 | $ 8,900,000 | ||||||
Deferred compensation arrangement, compensation expense | 3,700,000 | 5,400,000 | |||||||
Deferred compensation cash-based arrangement, liability | $ 1,200,000 | $ 1,200,000 | $ 12,800,000 | ||||||
Percentage of share of non-vested stock considered as call option | 85.00% | 85.00% | |||||||
Percentage of share of non-vested stock considered as put-option | 15.00% | ||||||||
Share-based payment award, vesting period | 3 years | 3 years | |||||||
Performance Shares [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Allocated share-based compensation expense | $ 200,000 | 500,000 | 1,000,000 | ||||||
Share-based payment award, vesting period | 3 years | ||||||||
E S P P [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Shares available for grant | 1 | 1 | |||||||
Allocated share-based compensation expense | $ 300,000 | $ 300,000 | $ 600,000 | $ 500,000 | |||||
Shares authorized for issuance | 1.5 | 1.5 | |||||||
Scenario, Adjustment [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Deferred compensation arrangement, compensation expense | $ (600,000) | $ (2,500,000) | |||||||
Scenario, Adjustment [Member] | Performance Shares [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Allocated share-based compensation expense | $ (900,000) |
Employee Benefit Plans (Share-B
Employee Benefit Plans (Share-Based Awards Granted) (Details) - $ / shares | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2015 | Dec. 31, 2013 | ||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, vesting period | 3 years | 3 years | |
Performance Shares [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, vesting period | 3 years | ||
Maximum [Member] | Performance Shares [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Award percentage | 200.00% | ||
Minimum [Member] | Performance Shares [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Award percentage | 0.00% | ||
Grant Share Amount A [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, grant date | [1] | Jan. 2, 2015 | |
Share-based payment award, shares | 289,163 | ||
Share-based payment award, market value per share | $ 21.70 | ||
Share-based payment award, vesting percentage | [1] | 33.00% | |
Share-based payment award, vesting period | [1] | 3 years | |
Grant Share Amount B [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, grant date | [2] | Jan. 2, 2015 | |
Share-based payment award, shares | 289,163 | ||
Share-based payment award, market value per share | $ 25.06 | ||
Share-based payment award, vesting percentage | [2] | 100.00% | |
Share-based payment award, vesting date | [2] | Jan. 1, 2018 | |
Grant Share Amount C [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, grant date | [3] | Jan. 5, 2015 | |
Share-based payment award, shares | 3,946 | ||
Share-based payment award, market value per share | $ 21.66 | ||
Share-based payment award, vesting percentage | [3] | 100.00% | |
Share-based payment award, vesting date | [3] | Jan. 1, 2017 | |
Grant Share Amount D [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, grant date | [3] | Jan. 12, 2015 | |
Share-based payment award, shares | 3,866 | ||
Share-based payment award, market value per share | $ 19.40 | ||
Share-based payment award, vesting percentage | [1] | 33.00% | |
Share-based payment award, vesting period | [1] | 3 years | |
Grant Share Amount E [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, grant date | [2] | Jan. 12, 2015 | |
Share-based payment award, shares | 3,866 | ||
Share-based payment award, market value per share | $ 25.06 | ||
Share-based payment award, vesting percentage | [2] | 100.00% | |
Share-based payment award, vesting date | [2] | Jan. 11, 2018 | |
Grant Share Amount F [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, grant date | [1] | Feb. 1, 2015 | |
Share-based payment award, shares | 2,664 | ||
Share-based payment award, market value per share | $ 18.77 | ||
Share-based payment award, vesting percentage | [1] | 33.00% | |
Share-based payment award, vesting period | [1] | 3 years | |
Grant Share Amount G [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, grant date | [2] | Feb. 1, 2015 | |
Share-based payment award, shares | 2,664 | ||
Share-based payment award, market value per share | $ 25.06 | ||
Share-based payment award, vesting percentage | [2] | 100.00% | |
Share-based payment award, vesting date | [2] | Jan. 31, 2018 | |
Grant Share Amount H [Member] | |||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Share-based payment award, grant date | [3] | Apr. 1, 2015 | |
Share-based payment award, shares | 6,476 | ||
Share-based payment award, market value per share | $ 14.96 | ||
Share-based payment award, vesting percentage | [3] | 100.00% | |
Share-based payment award, vesting date | [3] | Jan. 1, 2017 | |
[1] | Reflects the grant of restricted stock to our executive officers and selected management employees. | ||
[2] | Reflects the grant of performance share units (“PSUs”) to our executive officers and selected management employees. The PSUs provide for an award based on the performance of our common stock over a three-year period with the maximum amount of the award being 200% of the original awarded PSUs and the minimum amount being zero. The vested PSUs may be settled in either cash or shares of our common stock at the discretion of the Compensation Committee of our Board of Directors. | ||
[3] | Reflects the grant of restricted stock to certain members of our Board of Directors who have made an election to take their quarterly fees in stock in lieu of cash. |
Business Segment Information (N
Business Segment Information (Narrative) (Details) - 6 months ended Jun. 30, 2015 | segmentvessel |
Segment Reporting Information [Line Items] | |
Number of reportable segments | 3 |
Robotics [Member] | |
Segment Reporting Information [Line Items] | |
Number of chartered vessels | vessel | 5 |
Business Segment Information (S
Business Segment Information (Summary Of Financial Data By Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 166,016 | $ 305,587 | $ 355,657 | $ 559,159 |
Income (loss) from operations | 7,674 | 78,756 | 30,002 | 145,704 |
Equity in earnings (losses) of investments | (323) | (507) | (302) | 201 |
Intercompany Elimination [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | (15,053) | (19,384) | (28,019) | (36,900) |
Income (loss) from operations | (199) | 45 | (93) | (1,153) |
Well Intervention [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 85,675 | 181,218 | 189,726 | 340,918 |
Income (loss) from operations | 4,135 | 64,775 | 18,929 | 113,508 |
Well Intervention [Member] | Intercompany Elimination [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | (6,417) | (7,956) | (11,363) | (13,417) |
Robotics [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 75,101 | 119,704 | 155,272 | 207,594 |
Income (loss) from operations | 4,303 | 20,799 | 13,760 | 32,018 |
Robotics [Member] | Intercompany Elimination [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | (8,636) | (11,428) | (16,656) | (23,483) |
Production Facilities [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 20,293 | 24,049 | 38,678 | 47,189 |
Income (loss) from operations | 8,444 | 10,459 | 13,022 | 21,843 |
Other [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 0 | 0 | 0 | 358 |
Corporate and Other [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Income (loss) from operations | $ (9,009) | $ (17,322) | $ (15,616) | $ (20,512) |
Business Segment Information 58
Business Segment Information (Summary Of Intercompany Segment Revenues) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Net revenues | $ (166,016) | $ (305,587) | $ (355,657) | $ (559,159) |
Intercompany Elimination [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 15,053 | 19,384 | 28,019 | 36,900 |
Well Intervention [Member] | Intercompany Elimination [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 6,417 | 7,956 | 11,363 | 13,417 |
Robotics [Member] | Intercompany Elimination [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 8,636 | $ 11,428 | $ 16,656 | $ 23,483 |
Business Segment Information (I
Business Segment Information (Intercompany Segment Assets) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Assets | $ 2,934,196 | $ 2,700,698 |
Well Intervention [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 1,805,388 | 1,470,349 |
Robotics [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 304,357 | 299,701 |
Production Facilities [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 446,199 | 459,427 |
Corporate and Other [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | $ 378,252 | $ 471,221 |
Commitments And Contingencies60
Commitments And Contingencies And Other Matters (Narrative) (Details) $ in Thousands | 1 Months Ended | 6 Months Ended | ||||||||
Jul. 23, 2015USD ($) | Jun. 30, 2015USD ($) | Apr. 30, 2015USD ($) | Feb. 28, 2014vessel | Sep. 30, 2013USD ($) | Feb. 28, 2013 | Mar. 31, 2012USD ($) | Jun. 30, 2015USD ($) | Dec. 31, 2014USD ($) | Nov. 30, 2014USD ($) | |
Commitments And Contingencies [Line Items] | ||||||||||
Property and equipment | $ 2,474,882 | $ 2,474,882 | $ 2,241,444 | |||||||
Charter fee deposit | 12,544 | 12,544 | $ 12,544 | $ 12,500 | ||||||
Q7000 [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Long-term purchase commitment | $ 346,000 | |||||||||
Property and equipment | 105,800 | $ 105,800 | ||||||||
Long-term purchase commitment percentage | 80.00% | |||||||||
Q5000 [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Property and equipment | 479,000 | $ 479,000 | ||||||||
Q5000 [Member] | Shipyard [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Long-term purchase commitment | $ 386,500 | |||||||||
Property and equipment | 386,500 | 386,500 | ||||||||
Grand Canyon II and III [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Term of charter agreement | 5 years | |||||||||
Monohull Vessels [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Term of charter agreement | 4 years | |||||||||
Number of vessels under construction | vessel | 2 | |||||||||
Topside Equipment [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Property and equipment | $ 85,700 | 85,700 | ||||||||
Grand Canyon II [Member] | Shipyard [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Non-refundable proceeds from charter agreement | $ 4,700 | |||||||||
Contract Signing [Member] | Q7000 [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Long-term purchase commitment percentage | 20.00% | |||||||||
Contract Signing [Member] | Q7000 [Member] | Shipyard [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Payments to acquire property, plant, and equipment | 69,200 | |||||||||
Due June 2016 [Member] | Q7000 [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Long-term purchase commitment percentage | 20.00% | |||||||||
Vessel Delivery [Member] | Q7000 [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Long-term purchase commitment percentage | 60.00% | |||||||||
Extend Scheduled Delivery [Member] | Q7000 [Member] | Shipyard [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Property and equipment | $ 14,500 | $ 14,500 | ||||||||
Extend Scheduled Delivery [Member] | Subsequent Event [Member] | Contract Signing [Member] | Q7000 [Member] | Shipyard [Member] | ||||||||||
Commitments And Contingencies [Line Items] | ||||||||||
Payments to acquire property, plant, and equipment | $ 7,300 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total net liability | $ 55,995 | $ 50,620 | |
Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total net liability | 0 | 0 | |
Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total net liability | [1] | 55,995 | 50,620 |
Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total net liability | 0 | 0 | |
Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets | 905 | 369 | |
Interest Rate Swaps [Member] | Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets | 0 | 0 | |
Interest Rate Swaps [Member] | Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets | [1] | 905 | 369 |
Interest Rate Swaps [Member] | Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets | 0 | 0 | |
Foreign Currency Forwards [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | 54,460 | 50,428 | |
Foreign Currency Forwards [Member] | Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | 0 | 0 | |
Foreign Currency Forwards [Member] | Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | [1] | 54,460 | 50,428 |
Foreign Currency Forwards [Member] | Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | 0 | 0 | |
Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | 2,440 | 561 | |
Interest Rate Swaps [Member] | Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | 0 | 0 | |
Interest Rate Swaps [Member] | Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | [1] | 2,440 | 561 |
Interest Rate Swaps [Member] | Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities | $ 0 | $ 0 | |
[1] | Unless otherwise indicated, the fair value of our Level 2 derivative instruments reflects our best estimate and is based upon exchange or over-the-counter quotations whenever they are available. Quoted valuations may not be available due to location differences or terms that extend beyond the period for which quotations are available. Where quotes are not available, we utilize other valuation techniques or models to estimate market values. These modeling techniques require us to make estimations of future prices, price correlation and market volatility and liquidity based on market data. Our actual results may differ from our estimates, and these differences could be positive or negative. See Note 14 for further discussion on fair value of our derivative instruments. |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value Of Long Term Debt) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, carrying value | $ 812,004 | ||
Unamortized debt discount | (17,992) | $ (20,900) | |
Term Loan Maturing June 2018 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, carrying value | 270,000 | 277,500 | |
Long-term debt, fair value | [1] | 265,106 | 270,563 |
Nordea Term Loan [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, carrying value | 250,000 | 0 | |
Long-term debt, fair value | [1] | 242,031 | 0 |
Convertible Senior Notes (Matures March 2032) [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, carrying value | [2] | 200,000 | 200,000 |
Long-term debt, fair value | [1],[2] | 191,624 | 222,900 |
MARAD Debt [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, carrying value | 92,004 | 94,792 | |
Long-term debt, fair value | [1] | 103,494 | 104,830 |
Loan Notes [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, carrying value | 812,004 | 572,292 | |
Long-term debt, fair value | [1] | $ 802,255 | $ 598,293 |
[1] | The estimated fair value of the 2032 Notes was determined using Level 1 inputs using the market approach. The fair value of the Term Loan, the Nordea Term Loan and the MARAD Debt was estimated using Level 2 fair value inputs under the market approach. The fair value of the Term Loan, the Nordea Term Loan and the MARAD Debt was determined using a third party evaluation of the remaining average life and outstanding principal balance of the indebtedness as compared to other obligations in the marketplace with similar terms | ||
[2] | Carrying amount excludes the related unamortized debt discount of $18.0 million at June 30, 2015 and $20.9 million at December 31, 2014 |
Derivative Instruments And He63
Derivative Instruments And Hedging Activities (Narrative) (Details) NOK in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Sep. 30, 2013USD ($) | Feb. 28, 2013USD ($) | Feb. 28, 2013NOK | Jan. 31, 2013USD ($) | Jan. 31, 2013NOK | |
Derivative [Line Items] | |||||||
Gain (loss) on foreign currency cash flow hedge ineffectiveness | $ 0.2 | $ (3.2) | |||||
Future losses to be re-classified to earnings | 10.5 | ||||||
Grand Canyon [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, notional amount | $ 104.6 | NOK 591.3 | |||||
Grand Canyon II [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, notional amount | $ 100.4 | NOK 594.7 | |||||
Grand Canyon III [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, notional amount | $ 98.8 | NOK 595 | |||||
Term Loan Maturing June 2018 [Member] | Interest Rate Swaps [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, notional amount | $ 148.1 | ||||||
Nordea Term Loan [Member] | Interest Rate Swaps [Member] | |||||||
Derivative [Line Items] | |||||||
Derivative, notional amount | $ 187.5 | $ 187.5 |
Derivative Instruments And He64
Derivative Instruments And Hedging Activities (Derivatives Designated As Hedging Instruments) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
Derivatives, Fair Value [Line Items] | ||
Asset derivatives designated as hedging instruments | $ 905 | $ 369 |
Liability derivatives designated as hedging instruments | 56,900 | 50,989 |
Other Assets, Net [Member] | Interest Rate Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives designated as hedging instruments | 905 | 369 |
Accrued Liabilities [Member] | Interest Rate Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability derivatives designated as hedging instruments | 2,440 | 561 |
Accrued Liabilities [Member] | Foreign Exchange Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability derivatives designated as hedging instruments | 16,950 | 12,661 |
Other Noncurrent Liabilities [Member] | Foreign Exchange Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability derivatives designated as hedging instruments | $ 37,510 | $ 37,767 |
Derivative Instruments And He65
Derivative Instruments And Hedging Activities (Gain (Loss) Recognized In OCI On Derivatives, Net Of Tax) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in OCI on derivatives, net of tax | $ 4,293 | $ (2,287) | $ (2,232) | $ 776 |
Foreign Exchange Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in OCI on derivatives, net of tax | 5,002 | (2,134) | (1,359) | 890 |
Interest Rate Swaps [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in OCI on derivatives, net of tax | $ (709) | $ (153) | $ (873) | $ (114) |
Derivative Instruments And He66
Derivative Instruments And Hedging Activities (Loss Reclassified From Accumulated OCI Into Earnings) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Loss reclassified from accumulated OCI into earnings | $ (3,258) | $ (610) | $ (4,931) | $ (1,268) |
Foreign Exchange Contracts [Member] | Cost of Sales [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Loss reclassified from accumulated OCI into earnings | (2,921) | (217) | (4,395) | (431) |
Interest Rate Swaps [Member] | Net Interest Expense [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Loss reclassified from accumulated OCI into earnings | $ (337) | $ (393) | $ (536) | $ (837) |