Document And Entity Information
Document And Entity Information - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Mar. 04, 2022 | |
Document Information [Line Items] | ||
Document Type | 10-K | |
Document Annual Report | true | |
Current Fiscal Year End Date | --12-31 | |
Document Period End Date | Dec. 31, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-34037 | |
Entity Registrant Name | SUPERIOR ENERGY SERVICES, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 75-2379388 | |
Entity Address, Address Line One | 1001 Louisiana Street | |
Entity Address, Address Line Two | Suite 2900 | |
Entity Address, City or Town | Houston | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77002 | |
City Area Code | 713 | |
Local Phone Number | 654-2200 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
ICFR Auditor Attestation Flag | false | |
Entity Shell Company | false | |
Entity Bankruptcy Proceedings, Reporting Current | true | |
Entity Public Float | $ 0 | |
Documents Incorporated by Reference | Not applicable. | |
Entity Central Index Key | 0000886835 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | FY | |
Amendment Flag | false | |
Auditor Name | PricewaterhouseCoopers LLP | |
Auditor Location | Houston, Texas | |
Auditor Firm ID | 238 | |
Common Class A [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 19,998,695 | |
Common Class B [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 76,269 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 314,974 | $ 188,006 |
Accounts receivable, net | 182,432 | 158,516 |
Income taxes receivable | 5,099 | 8,891 |
Prepaid expenses | 15,861 | 31,793 |
Inventory | 60,603 | 77,027 |
Other current assets | 6,701 | 9,171 |
Investment in equity securities | 25,735 | |
Assets held for sale | 37,528 | 242,104 |
Total current assets | 648,933 | 715,508 |
Property, plant and equipment, net | 356,274 | 408,107 |
Operating lease right-of-use assets | 25,154 | 33,317 |
Goodwill | 138,677 | |
Notes receivable | 60,588 | 72,129 |
Restricted cash | 79,561 | 80,178 |
Intangible and other long-term assets, net | 28,998 | 53,163 |
Total assets | 1,199,508 | 1,501,079 |
Current liabilities: | ||
Accounts payable | 43,080 | 50,330 |
Accrued expenses | 116,882 | 114,777 |
Liabilities held for sale | 5,607 | 46,376 |
Total current liabilities | 165,569 | 211,483 |
Decommissioning liabilities | 190,380 | 134,436 |
Operating lease liabilities | 19,193 | 29,464 |
Deferred income taxes | 12,441 | 5,288 |
Other long-term liabilities | 70,192 | 123,261 |
Total non-current liabilities | 292,206 | 292,449 |
Liabilities Subject to Compromise | 1,335,794 | |
Total liabilities | 457,775 | 1,839,726 |
Stockholders’ equity (deficit): | ||
Common Stock $0.001 par value | 16 | |
Predecessor Treasury stock at cost, 972,412 shares at December 31, 2020 | (4,290) | |
Accumulated other comprehensive loss, net | (67,947) | |
Accumulated deficit | (162,178) | (3,023,315) |
Total stockholders’ equity (deficit) | 741,733 | (338,647) |
Total liabilities and stockholders’ equity (deficit) | 1,199,508 | 1,501,079 |
Common Class A [Member] | ||
Stockholders’ equity (deficit): | ||
Common Stock $0.001 par value | 200 | |
Additional paid in capital | 902,486 | 2,756,889 |
Common Class B [Member] | ||
Stockholders’ equity (deficit): | ||
Common Stock $0.001 par value | 1 | |
Additional paid in capital | $ 1,224 | $ 0 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2021 | Dec. 31, 2020 |
Common stock, par value | $ 0.001 | |
Common stock, shares authorized | 25,000,000 | |
Common stock, shares issued | 15,799,318 | |
Common stock, shares outstanding | 14,826,906 | |
Treasury stock at cost, shares | 972,412 | |
Common Class A [Member] | ||
Common stock, par value | $ 0.01 | |
Common stock, shares authorized | 50,000,000 | |
Common stock, shares issued | 19,998,695 | |
Common stock, shares outstanding | 19,998,695 | |
Common Class B [Member] | ||
Common stock, par value | $ 0.01 | |
Common stock, shares authorized | 2,000,000 | |
Common stock, shares issued | 113,840 | |
Common stock, shares outstanding | 76,269 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenues: | ||||
Total revenues | $ 45,928 | $ 648,754 | $ 667,249 | $ 972,052 |
Costs and expenses: | ||||
Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 29,773 | 422,252 | 408,131 | 558,265 |
Depreciation, depletion, amortization and accretion | 8,358 | 219,859 | 115,771 | 146,791 |
General and administrative expenses | 11,052 | 117,575 | 205,773 | 244,403 |
Restructuring expense | 1,270 | 22,952 | 47,055 | |
Other expenses | 0 | 16,726 | 0 | 0 |
Reduction in value of assets | 0 | 0 | 23,775 | 9,293 |
(Loss) income from operations | (4,525) | (150,610) | (133,256) | 13,300 |
Other income (expense): | ||||
Interest income (expense), net | 202 | 2,331 | (92,426) | (98,339) |
Reorganization items, net | 335,560 | 0 | (19,520) | 0 |
Other income (expense) | (2,105) | (7,128) | (9,229) | (2,484) |
Income (loss) from continuing operations before income taxes | 329,132 | (155,407) | (254,431) | (87,523) |
Income tax (expense) benefit | (60,003) | 33,298 | 26,888 | (2,733) |
Net income (loss) from continuing operation | 269,129 | (122,109) | (227,543) | (90,256) |
Loss from discontinued operations, net of income tax | (352) | (40,069) | (168,687) | (165,465) |
Net income (loss) | $ 268,777 | $ (162,178) | $ (396,230) | $ (255,721) |
Income (loss) per share -basic | ||||
Net income (loss) from continuing operations | $ 18.13 | $ (6.11) | $ (15.35) | $ (5.86) |
Loss from discontinued operations, net of income tax | (0.02) | (2) | (11.38) | (10.75) |
Net income (loss) | 18.11 | (8.11) | (26.73) | (16.61) |
Income (loss) per share - diluted: | ||||
Net income (loss) from continuing operations | 18.06 | (6.11) | (15.35) | (5.86) |
Loss from discontinued operations, net of income tax | (0.03) | (2) | (11.38) | (10.75) |
Net income (loss) | $ 18.03 | $ (8.11) | $ (26.73) | $ (16.61) |
Weighted Average Number of Shares Outstanding, Basic | 14,845 | 19,998 | 14,822 | 15,393 |
Weighted Average Number of Shares Outstanding, Diluted | 14,905 | 19,998 | 14,822 | 15,393 |
Services [Member] | ||||
Revenues: | ||||
Total revenues | $ 19,234 | $ 305,699 | $ 299,383 | $ 482,347 |
Costs and expenses: | ||||
Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 15,080 | 236,784 | 230,341 | 345,653 |
Depreciation, depletion, amortization and accretion | 3,500 | 105,426 | 51,754 | 77,237 |
Rentals [Member] | ||||
Revenues: | ||||
Total revenues | 14,434 | 208,951 | 225,363 | 326,126 |
Costs and expenses: | ||||
Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 5,876 | 86,354 | 88,535 | 114,552 |
Depreciation, depletion, amortization and accretion | 2,627 | 69,443 | 38,561 | 54,089 |
Product Sales [Member] | ||||
Revenues: | ||||
Total revenues | 12,260 | 134,104 | 142,503 | 163,579 |
Costs and expenses: | ||||
Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 8,817 | 99,114 | 89,255 | 98,060 |
Depreciation, depletion, amortization and accretion | $ 2,231 | $ 44,990 | $ 25,456 | $ 15,465 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income (Loss) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Consolidated Statements of Comprehensive Loss [Abstract] | ||||
Net income (loss) | $ 268,777 | $ (162,178) | $ (396,230) | $ (255,721) |
Change in cumulative translation adjustment, net of tax | 67,947 | 0 | 3,980 | 1,250 |
Comprehensive income (loss) | $ 336,724 | $ (162,178) | $ (392,250) | $ (254,471) |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Stockholders' Equity (Deficit) - USD ($) $ in Thousands | Total | Common Stock [Member]Common Class A [Member] | Common Stock [Member]Common Class B [Member] | Additional Paid-in Capital [Member]Common Class A [Member] | Additional Paid-in Capital [Member]Common Class B [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Loss, Net [Member] | Accumulated Deficit [Member] |
Beginning balance, value at Dec. 31, 2018 | $ 290,739 | $ 155 | $ 2,735,125 | $ (73,177) | $ (2,371,364) | |||
Beginning balance, shares at Dec. 31, 2018 | 154,885,418 | |||||||
Net income (loss) | (255,721) | (255,721) | ||||||
Foreign currency translation adjustment | 1,250 | 1,250 | ||||||
Purchases of treasury stock | (4,290) | $ 4,290 | ||||||
Stock-based compensation expense, net of forfeitures | 18,459 | 18,459 | ||||||
Transactions under stock plans | (1,675) | $ 2 | (1,677) | |||||
Transactions under stock plans, shares | 1,187,961 | |||||||
Shares issued under Employee Stock Purchase Plan, value | 811 | 811 | ||||||
Shares issued under Employee Stock Purchase Plan, shares | 532,292 | |||||||
1-for-10 Reverse Stock Split | $ (141) | 141 | ||||||
1-for-10 Reverse Stock Split, shares | 140,916,208 | |||||||
Ending balance, value at Dec. 31, 2019 | 49,573 | $ 16 | 2,752,859 | (4,290) | (71,927) | (2,627,085) | ||
Ending balance, shares at Dec. 31, 2019 | 15,689,463 | |||||||
Net income (loss) | (396,230) | (396,230) | ||||||
Foreign currency translation adjustment | 3,980 | 3,980 | ||||||
Stock-based compensation expense, net of forfeitures | 4,238 | 4,238 | ||||||
Transactions under stock plans | (208) | (208) | ||||||
Transactions under stock plans, shares | 109,855 | |||||||
Ending balance, value at Dec. 31, 2020 | (338,647) | $ 16 | 2,756,889 | (4,290) | (67,947) | (3,023,315) | ||
Ending balance, shares at Dec. 31, 2020 | 15,799,318 | |||||||
Net income (loss) | 268,777 | 268,777 | ||||||
Foreign currency translation adjustment | 67,947 | $ 67,947 | ||||||
Stock-based compensation expense, net of forfeitures | 935 | 935 | ||||||
Common stock issued,shares | 19,995,581 | |||||||
Common stock issued,value | 902,686 | $ 200 | 902,486 | |||||
Stock Withheld and Retired Shares | (14,701) | |||||||
Extinguishment of unrecognized compensation expense | 988 | 988 | ||||||
Restricted stock units vested | 48,903 | |||||||
Stockholders' Equity, Other Shares | (15,833,520) | |||||||
Stockholders' Equity, Other | $ (16) | (2,758,812) | $ 4,290 | 2,754,538 | ||||
Ending balance, value at Feb. 02, 2021 | 902,686 | $ 200 | 902,486 | |||||
Ending balance, shares at Feb. 02, 2021 | 19,995,581 | |||||||
Net income (loss) | (162,178) | (162,178) | ||||||
Foreign currency translation adjustment | 0 | |||||||
Stock-based compensation expense, net of forfeitures | 2,710 | $ 2,710 | ||||||
Common stock issued,shares | 3,114 | 113,840 | ||||||
Common stock issued,value | $ 1 | (1) | ||||||
Stock Withheld and Retired Shares | (37,571) | |||||||
Stock Withheld and Retired Value | (1,485) | (1,485) | ||||||
Ending balance, value at Dec. 31, 2021 | $ 741,733 | $ 200 | $ 1 | $ 902,486 | $ 1,224 | $ (162,178) | ||
Ending balance, shares at Dec. 31, 2021 | 19,998,695 | 76,269 |
Consolidated Statements Of Ch_2
Consolidated Statements Of Changes In Stockholders' Equity (Deficit) (Parenthetical) | 12 Months Ended |
Dec. 31, 2019 | |
Consolidated Statements Of Changes In Stockholders' Equity (Deficit) [Abstract] | |
Stock split, conversion ratio | 0.1 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | ||||
Net income (loss) | $ 268,777 | $ (162,178) | $ (396,230) | $ (255,721) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||||
Depreciation, depletion, amortization and accretion | 10,499 | 251,361 | 146,793 | 271,410 |
Deferred income taxes | 54,322 | (48,975) | 2,041 | 3,247 |
Reduction in value of assets | 0 | 0 | 141,110 | 93,763 |
Right-of-use assets amortization | 1,372 | 8,380 | 20,224 | 20,613 |
Amortization of Credit Facility Costs | 0 | 452 | 0 | 0 |
Stock-based compensation expense | 935 | 2,710 | 2,628 | 19,814 |
Reorganization items, net | (354,279) | 0 | 18,087 | 0 |
Bad debt | (210) | (4,908) | 12,473 | 76 |
Gain on sale of assets and businesses | 58 | 0 | 0 | 0 |
Gain on sale of equity securities | 0 | 383 | 0 | 0 |
Unrealized gain on investment in equity securities | 0 | (2,147) | 0 | |
Other expenses | 0 | 30,707 | 0 | 0 |
Other reconciling items, net | 355 | 6,687 | 8,309 | 16,023 |
Changes in operating assets and liabilities: | ||||
Accounts receivable | 3,602 | (28,676) | (111,948) | (104,462) |
Prepaid expense | (340) | 4,854 | 0 | 0 |
Inventory and other current assets | (221) | 22,866 | 27,933 | (6,137) |
Accounts payable | (2,365) | 735 | (35,170) | (12,278) |
Accrued expenses | 23,489 | (21,770) | (18,154) | (37,482) |
Income taxes | 340 | 11,535 | 0 | 0 |
Operating lease liabilities and other, net | (241) | (12,366) | (23,157) | (39,316) |
Net cash provided by operating activities | 5,383 | 58,884 | 2,217 | 146,428 |
Cash flows from investing activities: | ||||
Payments for capital expenditures | (3,035) | (34,152) | (47,653) | (140,465) |
Proceeds from sales of assets | 775 | 97,505 | 50,039 | 110,008 |
Proceeds from sales of equity securities | 0 | 4,099 | 0 | 0 |
Net cash from investing activities | (2,260) | 67,452 | 2,386 | (30,457) |
Cash flows from financing activities: | ||||
Credit facility costs | (1,920) | (14) | (1,554) | 0 |
Tax withholdings for vested restricted stock units | 0 | (1,485) | (208) | (1,677) |
Purchases of treasury stock | 0 | 0 | 0 | (4,290) |
Delayed draw term loan commitment fee | 0 | 0 | (12,000) | 0 |
Other | 0 | 0 | (432) | 675 |
Net cash from financing activities | (1,920) | (1,499) | (14,194) | (5,292) |
Effect of exchange rate changes on cash | 311 | 0 | 2,387 | 961 |
Net change in cash, cash equivalents, and restricted cash | 1,514 | 124,837 | (7,204) | 111,640 |
Cash, cash equivalents, and restricted cash beginning of period | 268,184 | 269,698 | 275,388 | 163,748 |
Cash, cash equivalents, and restricted cash at end of period | $ 269,698 | $ 394,535 | $ 268,184 | $ 275,388 |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Summary Of Significant Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | (1) Summary of Significant Accounting Policies Basis of Presentation As used herein, “we,” “us”, “our” and similar terms refer to (i) prior to February 2, 2021 (the “Emergence Date”), SESI Holdings, Inc. (formerly known as Superior Energy Services, Inc.) and its subsidiaries (“Predecessor”) and (ii) after the Emergence Date, Superior Energy Services, Inc. (formerly known as Superior Newco, Inc.) and its subsidiaries (“Successor”). As used herein, the following terms refer to our operations: "Predecessor Period" January 1, 2021 through February 2, 2021 "Successor Period" February 3, 2021 through December 31, 2021 Our consolidated financial statements include our accounts and those of our wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in the accompanying consolidated financial statements. Certain previously reported amounts, specifically related to assets held for sale and discontinued operations, have been reclassified to conform to current year presentation. Due to the lack of comparability with historical financials, our consolidated financial statements and related footnotes are presented with a “black line” division to emphasize the lack of comparability between amounts presented as of, and after, February 2, 2021 and amounts presented for all prior periods. Our financial results for future periods following the application of fresh start accounting will be different from historical trends and the differences may be material. Business We serve major, national and independent oil and natural gas exploration and production companies around the world and offer products and services with respect to the various phases of a well’s economic life cycle. 2021 was a transformative year at Superior. Following our emergence from bankruptcy, we embarked on a diligent effort to reconfigure our operations and organization to maximize shareholder value, enhance margin growth and have a more disciplined approach, both operationally and financially (the “Transformation Project”). The Transformation Project has been focused around three sequential phases: • Business Unit Review – analyzing strategic changes and executing various non-core asset divestitures, which emphasized product optimization and margin enhancement to maximize the cash flow profile of our business units and focus on our core competencies (collectively, the “Business Unit Review”); • Geographic Focus – reviewing our footprint and improving capital efficiency by focusing on low-risk, high reward geographies to maximize returns; and • Right Size Support – streamlining support to match optimized business units that represent our core portfolio and consolidating our operational footprint to align the size of our operations with current demand to provide a superior value proposition and exhibit capital discipline. The evaluation and implementation of the Business Unit Review is substantially complete, which has resulted in lower revenue with increased margins. The Right Size Support and Geographic Focus components are ongoing and should be completed during 2022. Historically, we provided a wide variety of services and products to many markets within the energy industry. During 2021, we realigned our core businesses to focus on products and services that we believe meet the criteria of (1) being critical to our customers’ oil and gas operations, (2) facing low or no competition from the three largest global oilfield service companies, (3) requiring deep technical expertise through the design or use of our product or service, and (4) being unlikely to become a commoditized product or service to our customers. The result of this approach is a portfolio of business lines grounded in our core mission of providing high quality products and services while maintaining the trust and serving the needs of our customers, with an emphasis on free cash flow generation and capital efficiency for us. In connection with our Transformation Project, our reportable segments were changed to Rentals and Well Services. Voluntary Reorganization Under Chapter 11 of the Bankruptcy Code On December 4, 2020, we and certain of our direct and indirect wholly-owned domestic subsidiaries (the "Affiliate Debtors") entered into an Amended and Restated Restructuring Support Agreement (the “Amended RSA”) that amended and restated in its entirety the Restructuring Support Agreement (the “RSA”), dated September 29, 2020, with certain holders of SESI, L.L.C.’s (“SESI”) outstanding (i) 7.125 % senior unsecured notes due 2021 (the “ 7.125 % Notes”) and (ii) 7.750 % senior unsecured notes due 2024 (the “ 7.750 % Notes”). The parties to the Amended RSA agreed to the principal terms of a proposed financial restructuring of the Affiliate Debtors, which was implemented through the Plan (as defined below). On December 7, 2020, the Affiliate Debtors filed the Chapter 11 Cases under Chapter 11 of the Bankruptcy Code in the Bankruptcy Court, and, in connection therewith, the Affiliate Debtors filed with the Bankruptcy Court the proposed Joint Prepackaged Plan of Reorganization under the Bankruptcy Code (as amended, modified or supplemented from time to time, the “Plan”). After commencement of the Chapter 11 Cases, the Affiliate Debtors continued to operate their businesses as “debtors-in-possession” under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court. In connection with the Chapter 11 Cases, the Affiliate Debtors filed a motion for approval of a debtor-in-possession financing facility, and on December 8, 2020, the Bankruptcy Court approved such motion and entered an interim order approving the financing (the “Interim DIP Order”). In accordance with the Interim DIP Order, on December 9, 2020, we, as guarantor and SESI, as borrower, entered into a $ 120 million Senior Secured Debtor-in-Possession Credit Agreement (the “DIP Credit Facility”). On January 9, 2021, the Bankruptcy Court approved the Affiliate Debtors’ entry into the DIP Credit Facility on a final basis. On January 19, 2021, the Bankruptcy Court entered an order, Docket No. 289, confirming and approving the Plan. On the Emergence Date, we qualified for and adopted fresh start accounting in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic No. 852 – Reorganizations (ASC 852), which specifies the accounting and financial reporting requirements for entities reorganizing through Chapter 11 bankruptcy proceedings. The application of fresh start accounting resulted in a new basis of accounting and we became a new entity for financial reporting purposes. As a result of the implementation of the Plan and the application of fresh start accounting, our historical financial statements on or before the Emergence Date are not a reliable indicator of our financial condition and results of operations for any period after our adoption of fresh start accounting. We applied ASC 852 in preparing the consolidated financial statements, which requires distinguishing transactions associated with the reorganization separate from activities related to the ongoing operations of the business. Accordingly, pre-petition liabilities that could have been impacted by the Chapter 11 Cases were classified as liabilities subject to compromise in our consolidated balance sheet as of December 31, 2020. These liabilities were reported at the amounts we anticipated would be allowed by the Bankruptcy Court. Additionally, certain expenses, realized gains and losses and provisions for losses that were realized or incurred during and directly related to the Chapter 11 Cases, including fresh start valuation adjustments and gains on liabilities subject to compromise were recorded as reorganization items, net in the consolidated statements of operations. See Note 2 – Emergence from Voluntary Reorganization under Chapter 11 for more information on the events of the Chapter 11 Cases as well as the accounting and reporting impacts of the reorganization during the Predecessor Period. Use of Estimates In preparing the accompanying financial statements, we make various estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities reported as of the dates of the balance sheets and the amounts of revenues and expenses reported for the periods shown in the income statements and statements of cash flows. All estimates, assumptions, valuations and financial projections related to fresh start accounting, including the fair value adjustments, the enterprise value and equity value projections, are inherently subject to significant uncertainties and the resolution of contingencies beyond our control. See Note 3 – Fresh Start Accounting for information about the use of estimates relating to fresh start accounting, . Changes in Accounting Policies As part of the adoption of fresh start accounting and effective upon emergence from bankruptcy, we have adopted new presentations for certain items within our consolidated balance sheets and statement of operations. The presentation changes related to foreign currencies, bad debt expense, gains/losses on sales of assets and reduction in value of assets are further described within their relevant discussion below. Major Customers and Concentration of Credit Risk The majority of our business is conducted with major and independent oil and gas companies. We evaluate the financial strength of our customers and provide allowances for probable credit losses when deemed necessary. The market for our services and products is the oil and gas industry in the U.S. land and Gulf of Mexico areas and select international market areas. Oil and gas companies make capital expenditures on exploration, development and production operations. The level of these expenditures historically has been characterized by significant volatility. We derive a large amount of revenue from a small number of major and independent oil and gas compa nies. There were no customers that exceeded 10% of our total revenues in 2021, 2020 or 2019. Our assets that are potentially exposed to concentrations of credit risk consist primarily of cash, cash equivalents, and trade receivables. The financial institutions with which we transact business are large, investment grade financial institutions which are “well capitalized” under applicable regulatory capital adequacy guidelines, thereby minimizing our exposure to credit risks for deposits in excess of federally insured amounts. Cash Equivalents We consider all short-term investments with a maturity of 90 days or less when purchased to be cash equivalents. Accounts Receivable and Allowances Trade accounts receivable are recorded at the invoiced amount or the earned amount but not yet invoiced and do not bear interest. We maintain our allowance for doubtful accounts at net realizable value. The allowance for doubtful accounts is based on our best estimate of probable uncollectible amounts in existing accounts receivable. We assess individual customers and overall receivables balances to identify amounts that are believed to be uncertain of collection. The aging of the receivable balance as well as economic factors concerning the customer factor into the judgment and estimation of allowances, which often involve significant dollar amounts. Adjustments to the allowance in future periods may be made based on changing customer conditions. Our allowance for doubtful accounts as of December 31, 2021 and 2020 was $ 2.2 million and $ 23.0 million, respectively. As part of the adoption of fresh start accounting and effective upon emergence from bankruptcy, we have adopted new presentations for certain items within our consolidated balance sheets and statement of operations. Prior to emergence from bankruptcy, we recognized bad debt expense within general and administrative expenses. These expenses are now recognized within cost of revenues. During the Successor Period and Predecessor Period, we recognized $ 4.9 million, $ 0.2 million, respectively in bad debt recoveries. During the years ended December 31, 2020 and 2019, we recognized $ 11.9 million and $ 2.3 million, respectively, in bad debt expense. Revenue Recognition Revenues are recognized when performance obligations are satisfied in accordance with contractual terms, in an amount that reflects the consideration we expect to be entitled to in exchange for services rendered, rentals provided or products sold. Taxes collected from customers and remitted to governmental authorities and revenues are reported on a net basis. A performance obligation arises under contracts with customers and is the unit of account under Topic 606. We account for services rendered and rentals provided separately if they are distinct and the service or rental is separately identifiable from other items provided to a customer and if a customer can benefit from the services rendered or rentals provided on their own or with other resources that are readily available to the customer. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. A contract’s standalone selling prices are determined based on the prices charged for services rendered, rentals provided or products sold. Our payment terms vary by the type of products or services offered. The term between invoicing and when the payment is due is typically 30 days. Services revenue: primarily represents amounts charged to customers for the completion of services rendered, including labor, products and supplies necessary to perform the service. Rates for these services vary depending on the type of services provided and are primarily based on a per hour or per day basis. Rentals revenue : primarily priced on a per day, per man hour or similar basis and consists of fees charged to customers for use of rental equipment over the term of the rental period, which is generally less than twelve months. Product sales: products are generally sold based upon purchase orders or contracts with our customers that include fixed or determinable prices but do not include right of return provisions or other significant post-delivery obligations. We recognize revenue from product sales when title passes to the customer, the customer assumes risks and rewards of ownership, collectability is reasonably assured and delivery occurs as directed by the customer. We expense sales commissions when incurred as the amortization period would have been one year or less. Inventory Inventories are stated at the lower of cost or net realizable value. We apply net realizable value and obsolescence to the gross value of inventory. Cost is determined using the first-in, first-out or weighted-average cost methods for finished goods and work-in-process. Supplies and consumables consist principally of products used in the services provided to our customers. The components of inventory balances are as follows (in thousands): December 31, 2021 December 31, 2020 Finished goods $ 26,187 $ 35,074 Raw materials 9,753 5,139 Work-in-process 4,253 2,994 Supplies and consumables 20,410 33,820 Total $ 60,603 $ 77,027 Property, Plant and Equipment Property, plant and equipment are stated at cost, except for assets for which reduction in value is recorded during the period and assets acquired using purchase accounting, which are recorded at fair value as of the date of acquisition. Depreciation is computed using the straight-line method over the estimated useful lives of the related assets as follows: Machinery and equipment 3 - 12 years Buildings, improvements and leasehold improvements 10 - 30 years Automobiles, trucks, tractors and trailers 4 - 7 years Furniture and fixtures 3 - 10 years As part of the adoption of fresh start accounting and effective upon emergence from bankruptcy, certain fully depreciated assets were assigned a new remaining useful life of less than 36 months. Prior to emergence from bankruptcy, we recognized gains/losses on sales of assets within general and administrative expenses. Gains/losses on sales of assets are now recognized within other expenses as a component of operating income. In connection with changes in estimates of our decommissioning liability for our oil and gas property and related notes receivable as of December 31, 2021, we established an asset retirement cost (“ARC”) of $ 24.2 million which will be depreciated over the estimated life of the oil and gas reserves. See further discussion of our decommissioning liability and notes receivable below. Reduction in Value of Long-Lived Assets We review long-lived assets, such as property, plant and equipment and purchased intangibles subject to amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount of any such asset may not be recoverable. The carrying amount of an asset is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. We record impairment losses on long-lived assets to be held and used in operations when the fair value of those assets is less than their respective carrying amount. Impairment losses are recorded in the amount by which the carrying amount of such assets exceeds the fair value. Fair value is measured, in part, by the estimated cash flows to be generated by those assets. Our cash flow estimates are based upon, among other things, historical results adjusted to reflect our best estimate of future market rates, utilization levels and operating performance. Our estimates of cash flows may differ from actual cash flows due to, among other things, changes in economic conditions or changes in an asset’s operating performance. Assets are generally grouped by subsidiary or division for the impairment testing, which represent the lowest level of identifiable cash flows. Assets held for sale are reported at the lower of the carrying amount or fair value less estimated costs to sell. Our estimate of fair value represents our best estimate based on industry trends and reference to market transactions and is subject to variability. The oil and gas industry is cyclical and our estimates of the period over which future cash flows will be generated, as well as the predictability of these cash flows, can have a significant impact on the carrying value of these assets and, in periods of prolonged down cycles, may result in impairment charges. During 2020 and 2019, we recorded $ 23.8 million and $ 9.3 million, respectively, in connection with the reduction in value of our long-lived assets. The reduction in value of assets was related to long-lived assets primarily in our Well Services segment. Prior to emergence from bankruptcy, we recognized the reduction in value assets separately on the consolidated statement of operations. Reduction in value of assets are now recognized within other expenses as a component of operating income. The bankruptcy filings required an assessment whether the carrying amounts of our long-lived assets would be recoverable. Management’s evaluation at the Emergence Date indicated that no additional impairment was necessary as a direct result of the bankruptcy filings. Other Expenses Other expenses during the Successor Period were $ 16.7 million. Other expenses comprised $ 13.1 million related to our Wells Services segment, which includes approximately $ 11.7 million from exit activities related to SES Energy Services India Pvt. Ltd, and $ 3.6 million related to our Rentals segment. Other expenses primarily relate to charges recorded as part of our strategic disposal of low margin assets in line with our Transformation Project strategy and includes gains/losses on asset sales, as well as impairments primarily related to long-lived assets. Goodwill As part of our emergence from the Chapter 11 Cases, we adopted fresh start accounting and began reporting as a new accounting entity as of the Emergence Date. Due to the fair value measurement of our assets and liabilities as required by ASC 852, we determined that we retained no goodwill balance based on the assignment of reorganization value to our identifiable assets and liabilities. As noted in Note 3 – Fresh Start Accounting, our goodwill balance of $ 138.9 million was eliminated as of the Emergence Date. During the Predecessor Period and the years ended December 31, 2020 and 2019, we did not recognize any reduction in value of goodwill. Fluctuations in the carrying amount of goodwill from period to period were from the impacts of foreign currency and were not material for any period. Notes Receivable We have decommissioning liabilities related to the acquisition of a single oil and gas property. Our n otes receivable consist of a commitment from the seller of the oil and gas property for costs associated with the abandonment of the property. Pursuant to an agreement with the seller, we invoice the seller an agreed upon amount at the completion of certain decommissioning activities. The gross amount of the seller’s obligation to us totals $ 115.0 million and is recorded at its present value. In December 2021, it was determined that the interest rate applied to calculate the fair value of our notes receivable was not revised to reflect the appropriate credit adjusted risk-free rate at the time of our emergence from bankruptcy, and in December 2021, we recorded an increase in the carrying value of our notes receivable of approximately $ 4.8 million to correct this immaterial misstatement. Additionally, in December 2021, we revised our estimates relating to the timing of decommissioning work on our oil and gas property, resulting in a three year extension of the expected completion of the platform decommissioning to an estimated date of 2031. This change in estimate resulted in a $ 20.6 million reduction of the carrying value of the note receivable, which totaled $ 60.6 million as of December 31, 2021. The discount on the notes receivable, which is currently based on an effective interest rate of 6.6 %, is amortized to interest income over the expected timing of the completion of the decommissioning activities. Interest receivable is considered paid in kind and is compounded into the carrying amount of the note. During the Successor Period, the Predecessor Period and the years ended December 31, 2020 and 2019, we recorded non-cash interest income of $ 3.9 million, $ 0.4 million, $ 4.5 million and $ 4.2 million related to our notes receivable, which is included in other reconciling items, net in the Consolidated Statements of Cash Flows. Restricted Cash Restricted cash as of December 31, 2021 includes approximately $ 76.9 million held in a collateral account for the payment and performance of secured obligations including the reimbursement of letters of credit. Additionally, we hold approximately $ 2.7 million in escrow to secure the future decommissioning obligations related to the oil and gas property. Decommissioning Liabilities We account for decommissioning liabilities under ASC 410 – Asset Retirement Obligations. Our decommissioning liabilities are associated with our oil and gas property and include liabilities related to the plugging of wells, removal of the related platform and equipment and site restoration. We review the adequacy of our decommissioning liabilities whenever indicators suggest that the estimated cash flows and/or relating timing needed to satisfy the liability have changed materially. In December 2021, we revised our estimates relating to the timing and the cost of decommissioning work on our oil and gas property, which included a three year extension of the completion of the platform decommissioning to an estimated date of 2031. This change in estimate resulted in an increase in the present value of decommissioning liabilities of $ 3.6 million as of December 31, 2021. Additionally, during the revision of the decommissioning estimates as of December 31, 2021, it was determined that certain wells, primarily conductor and methanol wells, were historically excluded from the estimate of the decommissioning liability, including as part of our fresh start accounting. We also identified an error in the accretion calculation for the successor period. At December 31, 2021, we recognized a combined $ 11.0 million increase in the decommissioning liability and recorded incremental accretion of $ 3.1 million to correct these immaterial misstatements. In applying ASC 852, the additional decommissioning liability as of fresh start led to an increase to intangible assets, specifically trademarks of $3.1 million after considering the effects of the notes receivable adjustment, that was also recognized at December 31, 2021. We had decommissioning liabilities of $ 190.4 million as of December 31, 2021. We had decommissioning liabilities of $ 142.7 million as of December 31, 2020, including decommissioning liabilities included within liabilities held for sale. In connection with fresh start accounting, we now present all decommissioning liabilities separately on the balance sheet. Previously, certain decommissioning liabilities were included as a component of other long-term liabilities. During the Successor Period, the Predecessor Period and the years ended December 31, 2020 and 2019, we recognized $ 9.3 million, $ 0.5 million, $ 6.5 million and $ 6.1 million of accretion expense associated with our decommissioning liabilities. Income Taxes We use the asset and liability method of accounting for income taxes. This method takes into account the differences between financial statement treatment and tax treatment of certain transactions. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Our deferred tax calculation requires us to make certain estimates about our future operations. Changes in state, federal and foreign tax laws, as well as changes in our financial condition or the carrying value of existing assets and liabilities, could affect these estimates. The effect of a change in tax rates is recognized as income or expense in the period that the rate is enacted. We recognize DTAs to the extent that we believe that these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, carryback potential if permitted under the tax law, and results of recent operations. If we determine that we would be able to realize our DTAs in the future in excess of their net recorded amount, we would make an adjustment to the DTA valuation allowance, which would reduce the provision for income taxes. We record uncertain tax positions in accordance with ASC 740 on the basis of a two-step process in which (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. Earnings per Share Our common equity consists of Class A Common Stock, par value $ 0.01 per share (the “Class A Common Stock”) and Class B common stock, par value $ 0.01 per share (“Class B Common Stock”). See Note 2 - Emergence from Voluntary Reorganization under Chapter 11 and Note 9 - Stock-Based Compensation Plans for further discussion of our Class A and Class B Common Stock. Basic earnings per share is computed by dividing income available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed in the same manner as basic earnings per share except that the denominator is increased to include the number of additional shares of common stock that could have been outstanding assuming the exercise of stock options and conversion of restricted stock units. During the Successor Period and the years ended December 31, 2020 and 2019, we incurred losses from continuing operations; as such, the impact of any incremental shares would be anti-dilutive. Diluted earnings per share for the Predecessor Period includes the impact of approximately 0.1 million dilutive securities. At December 31, 2021, w e have 0.1 million shares of unvested restricted stock and $ 1.4 million in unvested restricted stock units outstanding which will be converted into Class B common shares upon vesting. Foreign Currency As part of the adoption of fresh start accounting and effective upon emergence from bankruptcy, we have adopted new presentations for certain items. The functional currency of certain international subsidiaries changed from the local currency to U.S. dollars. Management considered the economic factors outlined in FASB ASC Topic No. 830 - Foreign Currency Matters in the determination of the functional currency. Management concluded that the predominance of factors support the use of the Successor's parent currency as the functional currency which resulted in a change in functional currency to U.S. dollars for all international subsidiaries. Financial statements of our international subsidiaries are remeasured into U.S. dollars using the historical exchange rate for affected the long-term assets and liabilities and the balance sheet date exchange rate for affected current assets and liabilities. An average exchange rate is used for each period for revenues and expenses. These transaction gains and losses, as well as any other transactions in a currency other than the functional currency, are included in other income (expense) in the consolidated statements of operations in the period in which the currency exchange rates change. During the Successor Period, the Predecessor Period and the years ended December 31, 2020 and 2019, we recorded foreign currency losses of $ 8.8 million, $ 2.1 million, $ 8.9 million and $ 0.8 million, respectively. Stock-Based Compensation We record compensation costs relating to share-based payment transactions and include such costs in general and administrative expenses in the consolidated statements of operations. The cost is measured at the grant date, based on the estimated fair value of the award, and is recognized as an expense over the employee’s requisite service period (generally the vesting period of the equity award). Self-Insurance Reserves We are self-insured, through deductibles and retentions, up to certain levels for losses under our insurance programs. We accrue for these liabilities based on estimates of the ultimate cost of claims incurred as of the balance sheet date. We regularly review the estimates of asserted and unasserted claims and provide for losses through reserves. We obtain actuarial reviews to evaluate the reasonableness of internal estimates for losses related to workers’ compensation, auto liability and group medical on an annual basis. Recently Issued Accounting Standards In June 2016, the FASB issued ASU 2016-13 - Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) . This update improves financial reporting by requiring earlier recognition of credit losses on financing receivables and other financial assets in scope by using the Current Expected Credit Losses (the “CECL”) model. The CECL model utilizes a lifetime expected credit loss measurement objective for the recognition of credit losses on financial instruments at the time the asset is originated or acquired. This update will apply to receivables arising from revenue transactions. The new standard is effective for us beginning on January 1, 2023. We have concluded that the adoption of ASU 2016-13 will not have a material impact on our consolidated financial statements. In December 2019, the FASB issued ASU 2019-12 - Simplifying the Accounting for Income Taxes (“ASU 2019-12”). This update simplifies the accounting for income taxes by removing the following exceptions: (1) the incremental approach for intra-period tax allocation when there is a loss |
Emergence from Voluntary Reorga
Emergence from Voluntary Reorganization under Chapter 11 | 12 Months Ended |
Dec. 31, 2021 | |
Chapter 11 Reorganization [Abstract] | |
Emergence from Voluntary Reorganization under Chapter 11 | (2) Emergence from Voluntary Reorganization under Chapter 11 On the Emergence Date, the conditions to effectiveness of the Plan were satisfied or waived and we emerged from Chapter 11. Bankruptcy Claims During the Chapter 11 Cases, the Affiliate Debtors filed with the Bankruptcy Court schedules and statements setting forth, among other things, the assets and liabilities of each of the Affiliate Debtors, subject to the assumptions filed in connection therewith. Certain holders of pre-petition claims that were not governmental units were required to file proofs of claim by the bar date of January 7, 2021. Certain holders of pre-petition claims that were governmental units were required to file proofs of claim by the bar date of June 7, 2021. The Affiliate Debtors’ have received proofs of claim, primarily representing general unsecured claims, of approximately $ 1.7 billion. The Bankruptcy Court disallows claims that have been acknowledged as duplicates. Claims totaling approximately $ 1.4 billion have been withdrawn or disallowed. Differences in amounts recorded and claims filed by creditors were investigated and resolved, including through filing objections with the Bankruptcy Court, where appropriate. We may ask the Bankruptcy Court to disallow claims that we believe are duplicative, have been later amended or superseded, are without merit, are overstated or should be disallowed for other reasons. In light of the substantial number of claims filed, the claims resolution process took considerable time to complete and continued even after the Affiliate Debtors emerged from bankruptcy. As a result of the claims resolution process post-emergence, the Affiliate Debtors agreed to allow certain claims classified per the Plan as Class 6 General Unsecured Claims against the Parent. Per ASC 852-10, liabilities are measured at their allowed claim amount, and the result of allowing these claims increased liabilities subject to compromise prior to emergence. On the Emergence Date and pursuant to the Plan: • Administrative expense claims, priority tax claims, other priority claims and other secured claims were paid or will be paid in full in the ordinary course (or receive such other treatment rendering such claims unimpaired); • General unsecured creditors for the Affiliate Debtors remained unimpaired and received payment in cash, in full, in the ordinary course; • General unsecured creditors for the Predecessor received their pro rata share of a cash pool in the amount of $ 125,000 ; • Eligible holders of the claims arising as a result of holding either the 7.125 % Notes or the 7.750 % Notes against the Affiliate Debtors received their pro rata share of: • A cash payment equal to 2 % of the principal amount of 7.125 % Notes or 7.750 % Notes held by all holders who did not opt out of receiving a cash payout; or • Solely to the extent that such a holder timely and validly elected to opt out of receiving the cash payout or was otherwise deemed to have opted out of receiving the cash payout, (A) 100 % of the Class A common stock issued and outstanding on the Emergence Date, subject to dilution, and (B), to the extent such holder was an “accredited investor” or “qualified institutional buyer” within the meaning of the SEC’s rules, subscription rights to participate in an equity rights offering (the “Equity Rights Offering”); • The Affiliate Debtors conducted the Equity Rights Offering through an offering of subscription rights for the purchase of Class A common stock on a pro rata basis; and, • Predecessor equity interests were cancelled and new Class A common stock was issued to settle claims arising as a result of holding either the 7.125 % Notes or the 7.750 % Notes, as noted above. Prior to the Emergence Date, the Equity Rights Offering was completed in accordance with the Plan, which resulted in the issuance of 735,189 shares of Class A Common Stock. The Class A Common Stock issued in the Equity Rights Offering was exempt from registration under the Securities Act pursuant to section 4(a)(2) of the Securities Act and/or Regulation D promulgated thereunder. The costs of our efforts to restructure our capital, prior to and during the Chapter 11 Cases, along with all other costs incurred in connection with the Chapter 11 Cases, have been material. On the Emergence Date, pursuant to the terms of the Plan, we filed an Amended and Restated Certificate of Incorporation (the “Certificate of Incorporation”) and a Certificate of Amendment of Amended and Restated Certificate of Incorporation (the “Certificate of Amendment”). Also, on the Emergence Date, and pursuant to the terms of the Plan, we adopted the Amended and Restated Bylaws (the “Bylaws”). The descriptions of the Certificate of Incorporation and the Bylaws are qualified in their entirety by reference to the full texts of the Certificate of Incorporation, Bylaws, and Certificate of Amendment which are incorporated by reference herein. |
Fresh Start Accounting
Fresh Start Accounting | 12 Months Ended |
Dec. 31, 2021 | |
Fresh Start Accounting [Abstract] | |
Fresh Start Accounting | (3) Fresh Start Accounting In connection with the emergence from bankruptcy and in accordance with ASC 852, we qualified for and adopted fresh start accounting on the Emergence Date because (1) the holders of our then existing common shares received less than 50 percent of our new common shares outstanding upon emergence and (2) the reorganization value of our assets immediately prior to confirmation of the Plan of $ 1,456.8 million was less than the total of all post-petition liabilities and allowed claims of $ 2,076.1 million. Reorganization Value In accordance with ASC 852, upon adoption of fresh start accounting, the reorganization value derived from the enterprise value as disclosed in the Plan was allocated to our assets and liabilities based on their fair values (except for deferred income taxes) in accordance with FASB ASC Topic No. 805 - Business Combinations (ASC 805) and FASB ASC Topic No. 820 - Fair Value Measurements (ASC 820). The amount of deferred income taxes recorded due to the fair value adjustments to assets and liabilities was determined in accordance with FASB ASC Topic No. 740 - Income Taxes. The reorganization value represents the fair value of our total assets before considering certain liabilities and is intended to approximate the amount a willing buyer would pay for our assets immediately after restructuring. The Plan confirmed by the Bankruptcy Court estimated a range of enterprise values between $ 710.0 million and $ 880.0 million. The following table reconciles the enterprise value to the reorganization value of our assets that has been allocated to our individual assets as of the Emergence Date (in thousands): Emergence Date Selected Enterprise Value within Bankruptcy Court Range $ 729,918 Plus: Cash and cash equivalents 172,768 Plus: Liabilities excluding the decommissioning liabilities 380,496 Plus: Decommissioning liabilities, including decommissioning liabilities classified as held for sale 173,622 Reorganization Value $ 1,456,804 Management determined the enterprise and corresponding equity value using various valuation methods, including (i) discounted cash flow analysis (“DCF”), (ii) comparable company analysis and (iii) precedent transaction analysis. The use of each approach provides corroboration for the other approaches. In order to estimate the enterprise value using the DCF analysis approach, management’s estimated future cash flow projections, plus a terminal value which was calculated by applying a multiple based on our internal rate of return (“IRR”) of 17.6 % and a perpetuity growth rate of 3.0 % to the terminal year’s projected earnings before interest, tax, depreciation and amortization (“EBITDA”). These estimated future cash flows were then discounted to an assumed present value using our estimated weighted-average cost of capital, which is represented by our IRR. The comparable company analysis provides an estimate of our value relative to other publicly traded companies with similar operating and financial characteristics, by which a range of EBITDA multiples of the comparable companies was then applied to management’s projected EBITDA to derive an estimated enterprise value. Precedent transaction analysis provides an estimate of enterprise value based on recent sale transactions of similar companies, by deriving the implied EBITDA multiple of those transactions, based on sales prices, which was then applied to management’s projected EBITDA. The enterprise value and corresponding equity value are dependent upon achieving the future financial results set forth in our valuations, as well as the realization of certain other assumptions. All estimates, assumptions, valuations and financial projections, including the fair value adjustments, the enterprise value and equity value projections, are inherently subject to significant uncertainties and the resolution of contingencies beyond our control. Accordingly, we cannot assure you that the estimates, assumptions, valuations or financial projections will be realized, and actual results could vary materially. Valuation Process The reorganization value was allocated to the Successor’s reporting segments using the discounted cash flow approach. The reorganization value was then allocated to the Successor’s identifiable assets and liabilities using the fair value principle as contemplated in ASC 820. The specific approach, or approaches, used to allocate reorganization value by asset class are noted below. Inventory The fair value of the inventory was determined by using both a cost approach and income approach. Inventory was segregated into raw materials, spare parts, work in process (“WIP”), and finished goods. Fair value of raw materials and spare parts inventory were determined using the cost approach. Fair value of finished goods and WIP inventory were determined by using the net realizable value approach. The fair value of finished goods was measured using an estimate of the costs to sell or dispose of the inventory plus a reasonable profit allowance on those efforts adjusted for holding costs. The fair value of WIP was measured using an estimate of the costs to complete and sell or consume the inventory plus a reasonable profit allowance on those efforts adjusted for holding costs. Property, Plant and Equipment Real Property The fair values of real property locations were estimated using the sales comparison (market) approach and cost approach. As part of the valuation process, information was obtained on the Successor’s current usage, building type, year built, and cost history for all properties valued. In determining the fair value and remaining useful life for real property assets, functional and economic obsolescence was considered and taken as an adjustment at the asset level. Tangible Assets Excluding Real Property and Oil and Gas Assets The fair values of our tangible assets were calculated using either the cost or market approach. For most tangible asset categories, a cost approach was utilized relying on purchase year, historic costs, and industry/equipment based trend factors to determine replacement cost new of the assets. Readily available market transaction data was used and adjusted for current market conditions for asset categories with active secondary markets such as heavy trucks and computer equipment. In both approaches, consideration was made for the effects of physical deterioration as well as functional and economic obsolescence in determining both estimates of fair value and the remaining useful lives of the assets. Oil and Gas Assets The oil and gas assets were valued using estimates of the reserve volumes and associated income data based on escalated price and cost parameters. Internally-Developed Software Internally-developed software was valued using the cost approach in which a replacement cost was estimated based on the software developer time, materials, and other supporting services required to replicate the software. Decommissioning Liabilities In accordance with FASB ASC Topic No. 410 – Asset Retirement and Environmental Obligations (“ASC 410”), the decommissioning liabilities associated with our oil and gas assets were valued using the income approach. Estimates of future retirement costs were adjusted for an estimated inflation rate over the expected time period prior to retirement and future cash outflows were discounted by a credit adjusted risk-free rate. We changed our presentation to consolidate the decommissioning liabilities previously recorded to other long-term liabilities into decommissioning liabilities. Intangible Assets Intangible assets were identified apart from goodwill using the guidance provided in ASC 805. Intangible assets that were identified as either separable or arose from contract or other legal rights were valued using either the cost or income approaches. The principal intangible assets identified were trademarks and patents. Trademarks and patents were valued using the relief from royalty method in which the subject intangible asset is valued by reference to the amount of royalty income it could generate if it was licensed in an arm’s length transaction to a third party. Lease Liabilities and Right of Use Assets The fair value of lease liabilities was measured as the present value of the remaining lease payments, as if the lease were a new lease as of the Emergence Date. The Successor used its incremental borrowing rate of 5.3 % commensurate with the Successor's capital structure as the discount rate in determining the present value of the remaining lease payments. Consolidated Balance Sheet The adjustments included in the following fresh start consolidated balance sheet as of February 2, 2021 reflect the effects of the transactions contemplated by the Plan and executed by the Successor on the Emergence Date (reflected in the column Reorganization Adjustments), and fair value and other required accounting adjustments resulting from the adoption of fresh start accounting (reflected in the column Fresh Start Adjustments). The explanatory notes provide additional information with regard to the adjustments recorded, the methods used to determine the fair values and significant assumptions. The consolidated balance sheet as of the Emergence Date was as follows (in thousands): As of February 2, 2021 Reorganization Fresh Start Predecessor Adjustments Adjustments Successor ASSETS Current assets: Cash and cash equivalents $ 194,671 $ ( 21,903 ) (1) $ - $ 172,768 Restricted cash - current - 16,751 (2) - 16,751 Accounts receivable, net 153,518 11 (3) - 153,529 Income taxes receivable 9,146 - ( 170 ) (16) 8,976 Prepaid expenses 31,630 - - 31,630 Inventory and other current assets 90,073 - 11,067 (17) 101,140 Assets held for sale 240,761 - ( 20,402 ) (18) 220,359 Total current assets 719,799 ( 5,141 ) ( 9,505 ) 705,153 Property, plant and equipment, net 401,263 - 139,587 (19) 540,850 Operating lease right-of-use assets 32,488 - 1,430 (20) 33,918 Goodwill 138,934 - ( 138,934 ) (21) - Notes receivable 72,484 - - 72,484 Restricted cash - non-current 80,179 - - 80,179 Intangible and other long-term assets, net 52,264 ( 10,080 ) (4) ( 17,964 ) (22) 24,220 Total assets $ 1,497,411 $ ( 15,221 ) $ ( 25,386 ) $ 1,456,804 LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) Current liabilities: Accounts payable $ 51,816 $ ( 700 ) (5) $ - $ 51,116 Accrued expenses 126,768 9,042 (6) 1,406 (23) 137,216 Liabilities held for sale 39,642 1,614 (7) ( 3,992 ) (24) 37,264 Total current liabilities 218,226 9,956 ( 2,586 ) 225,596 Decommissioning liabilities 134,934 - 34,581 (25) 169,515 Operating lease liabilities 23,584 - ( 29 ) (26) 23,555 Deferred income taxes 4,853 3,100 (8) 51,569 (27) 59,522 Other long-term liabilities 121,756 - ( 45,826 ) (28) 75,930 Total non-current liabilities 285,127 3,100 40,295 328,522 Liabilities subject to compromise 1,572,772 ( 1,572,772 ) (9) - - Total liabilities 2,076,125 ( 1,559,716 ) 37,709 554,118 Stockholders’ equity (deficit): Predecessor common stock $0.001 par value 16 ( 16 ) (10) - - Predecessor Additional paid-in capital 2,757,824 ( 2,757,824 ) (11) - - Predecessor Treasury stock at cost ( 4,290 ) 4,290 (12) - - Successor Class A common stock $0.001 par value - 200 (13) - 200 Successor Additional paid-in capital - 902,486 (14) - 902,486 Accumulated other comprehensive loss, net ( 67,532 ) - 67,532 (29) - Accumulated deficit ( 3,264,732 ) 3,395,359 (15) ( 130,627 ) (30) - Total stockholders’ equity (deficit) ( 578,714 ) 1,544,495 ( 63,095 ) 902,686 Total liabilities and stockholders’ equity (deficit) $ 1,497,411 $ ( 15,221 ) $ ( 25,386 ) $ 1,456,804 Reorganization Adjustments (in thousands) (1) Changes in cash and cash equivalents included the following: Payment of debtor in possession financing fees $ ( 183 ) Payment of professional fees at the Emergence Date ( 2,649 ) Payment of lease rejection damages classified as liabilities subject to compromise ( 400 ) Transfers from cash to restricted cash for Professional Fees Escrow and General ( 16,751 ) Payment of debt issuance costs for the Credit Facility ( 1,920 ) Net change in cash and cash equivalents $ ( 21,903 ) (2) Changes to restricted cash - current included the following: Transfer from cash for Professional Fee Escrow $ 16,626 Transfer from cash for General Unsecured Creditors Escrow 125 Net change in restricted cash - current $ 16,751 (3) Changes of $ 11 to accounts receivable reflect a receivable from the solicitor from the Chapter 11 Cases for excess proceeds received during the Rights Offering. (4) Changes to intangibles and other long-term assets included the following: Write-off of deferred financing costs related to the Delayed-Draw Term Loan $ ( 12,000 ) Capitalization of debt issuance costs associated with the Credit Facility 1,920 Net change in intangibles and other long-term assets $ ( 10,080 ) (5) Changes to accounts payable included the following: Payment of professional fees at the Emergence Date $ ( 2,649 ) Professional fees recognized and payable at the Emergence Date 1,949 Net change in accounts payable $ ( 700 ) (6) Changes in accrued liabilities include the following: Payment of debtor in possession financing fees $ ( 183 ) Accrual of professional fees 6,500 Accrual for transfer taxes 1,900 Reinstatement of lease rejection liabilities to be settled post-emergence 700 Accrual of general unsecured claims against parent 125 Net change in accrued liabilities $ 9,042 (7) Changes in liabilities held for sale reflect the fair value reinstatement of rejected lease claims. (8) Changes in deferred income taxes are due to reorganization adjustments. (9) The resulting gain on liabilities subject to compromise was determined as follows: Prepetition 7.125 % and 7.750 % notes including accrued interest and unpaid interest $ 1,335,794 Rejected lease liability claims 4,956 Allowed Class 6 General Unsecured Claims against Parent 232,022 Liabilities subject to compromise settled in accordance with the Plan 1,572,772 Reinstatement of accrued liabilities for lease rejection claims ( 700 ) Reinstatement of liabilities held for sale for lease rejection claims ( 1,614 ) Payment to settle lease rejection claims ( 400 ) Cash proceeds from rights offering 963 Cash payout provided to cash opt-in noteholders ( 952 ) Cash Pool to settle GUCs against Parent ( 125 ) Issuance of common stock to prepetition noteholders, incremental to rights ( 193 ) Additional paid-in capital attributable to successor common stock issuance ( 869,311 ) Successor common stock issued to cash opt-out noteholders in the rights ( 7 ) Additional paid-in capital attributable to rights offering shares ( 33,175 ) Gain on settlement of liabilities subject to compromise $ 667,258 The Equity Rights Offering generated $ 963 million in proceeds used to settle $ 952 million in Cash Opt-in Noteholder claims. The Equity Rights Offering shares were offered at a price of $ 1.31 /share to Cash Opt-out Noteholders. As such, the Equity Rights Offering shares generated the $ 963 million in cash proceeds from the share issuance as well as an implied discount to the Cash Opt-in claimants of $ 32.2 million, recorded as a loss on share issuance in reorganization items, net. The loss on the Equity Rights Offering share issuance is offset by the gain on share issuance of $ 32.2 million implied by the issuance of shares to settle Cash Opt-out Noteholder claims at a value of $ 46.82 /share compared to the reorganization value implied share price of $ 45.14 /share. (10) Changes of $ 16 in Predecessor common stock reflect the cancellation of the Predecessor’s common stock. (11) Changes in Predecessor additional paid-in capital (APIC) include the following: Extinguishment of APIC related to Predecessor's outstanding equity interests $ ( 2,758,812 ) Extinguishment of RSUs for the Predecessor's incentive plan 988 Net change in Predecessor's additional paid-in capital $ ( 2,757,824 ) (12) Reflects $4.3 million cancellation of Predecessor treasury stock held at cost. (13) Changes in the Successor’s Class A common stock include the following: Issuance of successor Class A common stock to prepetition noteholders, $ 193 Successor Class A common stock issued to cash opt-out noteholders in 7 Net change in Successor Class A common stock $ 200 (14) Changes in Successor additional paid-in capital include the following: Additional paid-in capital (Successor Class A common stock) $ 869,311 Additional paid-in capital (rights offering shares) 33,175 Net change in Successor additional paid-in capital $ 902,486 (15) Changes to retained earnings (deficit) include the following: Gain on settlement of liabilities subject to compromise $ 667,258 Accrual for transfer tax ( 1,900 ) Extinguishment of RSUs for Predecessor incentive plan ( 988 ) Adjustment to net deferred tax liability taken to tax expense ( 3,100 ) Professional fees earned and payable as a result of consummation of the Plan of Reorganization ( 8,449 ) Write-off of deferred financing costs related to the Delayed-Draw Term Loan ( 12,000 ) Extinguishment of Predecessor equity (par value, APIC, and treasury stock) 2,754,538 Net change in retained earnings (deficit) $ 3,395,359 Fresh Start Adjustments (in thousands) (16) Changes of $ 170 in income tax receivable reflects the decrease to current deferred tax assets due to the adoption of fresh start accounting. (17) Changes in inventory and other current assets included the following: Fair value adjustment to inventory - Global Segment $ 12,137 Fair value adjustment to other current assets ( 1,070 ) Net change in inventory and other current assets due to the adoption of fresh $ 11,067 (18) Changes of $ 20.4 million in assets held for sale primarily reflect a fair value adjustment of $ 16.5 million which decreased the value of real property and a $ 3.5 million decrease to Predecessor decommissioning balances due to the adoption of fresh start accounting. (19) Changes of $ 139.6 million to property, plant and equipment reflect the fair value adjustment. Successor Fair Predecessor Book Land, Buildings, and Associated Improvements $ 117,341 $ 205,237 Machinery and Equipment 290,593 1,103,501 Rental Services Equipment 92,861 617,762 Other Depreciable or Depletable Assets 35,143 46,403 Construction in Progress 4,912 4,912 540,850 1,977,815 Less: Accumulated Depreciation and Depletion - ( 1,576,552 ) Property, Plant and Equipment, net $ 540,850 $ 401,263 (20) Reflects $ 1.4 million due to the fair value adjustment increasing operating lease right-of-use assets. (21) Changes of $ 138.9 million to goodwill reflect the derecognition of the Predecessor’s goodwill due to the adoption of fresh start accounting. (22) Reduction of other long-term assets was due to the adoption of fresh start accounting and include $ 17.1 million in decommissioning liabilities related to Predecessor long-term assets fair valued and presented in the Successor’s property, plant, and equipment. The fair value changes of $ 1.4 million to intangibles assets are reflected in the table below: Successor Fair Value Predecessor Net Book Value Customer Relationships $ - $ 4,901 Trademarks 4,166 11 Patents 2,120 - Intangible Assets, Net $ 6,286 $ 4,912 (23) Changes of $ 1.4 million to accrued expenses reflect the fair value adjustment increasing the current portion of operating lease liabilities. (24) Reflects the $ 4.0 million fair value adjustment decreasing decommissioning liabilities and operating lease liabilities related to assets held for sale. (25) Reflects the $ 34.6 million fair value adjustment increasing the non-current portion of decommissioning liabilities. (26) Reflects the fair value adjustment decreasing the non-current portion of operating lease liabilities. (27) Reflects the $ 70.4 million increase of deferred tax liabilities netted against an $ 18.8 million increase in realizable deferred tax assets due to the adoption of fresh start accounting. (28) Changes of $ 45.8 million in other long-term liabilities reflects the reclassification of amounts associated with the Predecessor’s decommissioning liability balances that were fair valued and presented in the Successor’s decommissioning liabilities, as well as an increase in FIN48 liabilities of $ 1.5 million. (29) Changes to accumulated other comprehensive loss reflect the elimination of Predecessor currency translation adjustment balances due to the adoption of fresh start accounting on Predecessor currency translation adjustment balances. (30) Changes reflect the cumulative impact of fresh start accounting adjustments discussed above and the elimination of the Predecessor’s accumulated other comprehensive loss and the Predecessor’s accumulated deficit. Fresh start valuation adjustments $ ( 77,376 ) Adjustment to net deferred tax liability taken to tax expense ( 53,251 ) Net impact to accumulated other comprehensive loss and accumulated deficit $ ( 130,627 ) Reorganization Items, net The Predecessor incurred costs associated with the reorganization, primarily unamortized debt issuance costs, expenses related to rejected leases and post-petition professional fees. In accordance with applicable guidance, costs associated with the Chapter 11 Cases have been recorded as reorganization items, net within the accompanying consolidated statement of operations for the Predecessor Period. Reorganization items, net was zero for the Successor Period, with $ 13.7 million used in operating activities during the Successor Period. Reorganization items, net was $ 335.6 million for the Predecessor Period, with $ 3.1 million representing cash used in operating activities during the Predecessor Period, $ 2.7 million and $ 0.4 million paid for professional fees and to settle lease rejection damages, respectively. Predecessor For the Period Gain on settlement of liabilities subject to compromise $ 667,258 Allowed claim adjustment for Class 6 claims ( 232,022 ) Fresh Start valuation adjustments (1) ( 77,376 ) Professional fees ( 16,005 ) Predecessor lease liabilities rejected per the Plan 13,347 Write off of deferred financing costs related to the Delayed-Draw Term Loan ( 12,000 ) Lease rejection damages ( 4,956 ) Extinguishment of RSU's for the Predecessor's incentive plan ( 988 ) Other items ( 1,698 ) Total reorganization items, net $ 335,560 (1) Includes approximately $ 16.4 million in adjustments to assets and liabilities classified as held for sale. See Note 14 - Discontinued Operations . Restructuring expenses In connection with the Transformation Project, during the Successor Period and Predecessor Period, we incurred costs of $ 23.0 million and $ 1.3 million, respectively, which primarily relate to professional fees and separation costs related to former executives and personnel. These costs are included in Restructuring expenses in the consolidated statements of operations. Additionally, during the Successor Period, we have incurred shut down costs of $ 8.9 million at certain locations in our Well Services segment. These shut down costs include the write-down of inventory of $ 6.5 million which is reflected in cost of sales and the severance of personnel and other shut down costs of $ 2.4 million which is primarily reflected in cost of services. |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2021 | |
Revenue [Abstract] | |
Revenue | (4) Revenue Disaggregation of revenue The following table presents revenues by segment disaggregated by geography (in thousands): Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 U.S. land Rentals $ 87,432 $ 4,917 $ 78,537 $ 178,345 Well Services 20,133 3,379 26,924 66,643 Total U.S. land 107,565 8,296 105,461 244,988 U.S. offshore Rentals 103,646 8,196 129,021 143,973 Well Services 93,412 7,371 104,559 196,592 Total U.S. offshore 197,058 15,567 233,580 340,565 International Rentals 77,617 5,226 90,277 108,124 Well Services 266,514 16,839 237,931 278,375 Total International 344,131 22,065 328,208 386,499 Total Revenues $ 648,754 $ 45,928 $ 667,249 $ 972,052 The following table presents revenues by segment disaggregated by type (in thousands): Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Services Rentals $ 33,629 $ 2,005 $ 45,226 $ 69,958 Well Services 272,070 17,229 254,157 412,389 Total Services 305,699 19,234 299,383 482,347 Rentals Rentals 197,050 14,082 215,163 310,844 Well Services 11,901 352 10,200 15,282 Total Rentals 208,951 14,434 225,363 326,126 Product Sales Rentals 38,016 2,252 37,446 49,640 Well Services 96,088 10,008 105,057 113,939 Total Product Sales 134,104 12,260 142,503 163,579 Total Revenues $ 648,754 $ 45,928 $ 667,249 $ 972,052 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | (5) Leases We determine if an arrangement is a lease at inception. All of our leases are operating leases and are included in ROU assets, accounts payable and operating lease liabilities in the consolidated balance sheet. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligations to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the commencement date based on the present value of lease payments over the respective lease term. We use our incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. Our lease terms may include options to extend or terminate the lease. Our operating leases are primarily for real estate, machinery and equipment, and vehicles. The terms and conditions for these leases vary by the type of underlying asset. Total operating lease expense was as follows (in thousands): Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Long-term fixed lease expense $ 12,579 $ 1,824 $ 18,454 $ 22,882 Long-term variable lease expense - 19 10 54 Short-term lease expense 10,165 789 4,322 3,205 Total operating lease expense $ 22,744 $ 2,632 $ 22,786 $ 26,141 Operating leases were as follows (in thousands): Successor Predecessor December 31, 2021 December 31, 2020 Operating lease ROU assets $ 25,154 $ 33,317 Accrued expenses $ 5,650 $ 10,698 Operating lease liabilities 19,193 29,464 Total operating lease liabilities $ 24,843 $ 40,162 Weighted average remaining lease term 15 years 11 years Weighted average discount rate 5.34 % 6.35 % Cash paid for operating leases $ 13,591 $ 24,657 ROU assets obtained in exchange for lease obligations $ 2,820 $ 5,259 During the Predecessor Period, cash paid for operating leases totaled $ 1.6 million and ROU assets obtained in exchange for lease obligation were $ 0.4 million. Maturities of operating lease liabilities at December 31, 2021 are as follows (in thousands): 2022 $ 8,002 2023 5,735 2024 3,611 2025 2,905 2026 1,854 Thereafter 16,628 Total lease payments 38,735 Less imputed interest ( 13,892 ) Total $ 24,843 |
Intangibles
Intangibles | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangibles | (6) Intangibles Intangible assets, net as of December 31, 2021 and 2020 consist of the following (in thousands): Successor Predecessor December 31, 2021 December 31, 2020 Estimated Gross Accumulated Net Gross Accumulated Net Useful Lives Amount Amortization Balance Amount Amortization Balance Trademarks 10 $ 7,294 $ ( 655 ) $ 6,639 $ 4,744 $ ( 4,263 ) $ 481 Patents 10 2,120 ( 195 ) 1,925 - - - Customer Relationships 17 - - - 14,592 ( 10,077 ) 4,515 Non-Compete Agreements 3 - - - 3,478 ( 3,478 ) - Total $ 9,414 $ ( 850 ) $ 8,564 $ 22,814 $ ( 17,818 ) $ 4,996 At December 31, 2021, we recognized an increase in trademarks of approximately $3.1 million related to fresh start accounting adjustments associated with the revision of our decommissioning liabilities. See Note 1 - Summary of Significant Accounting Policies for further discussion of the changes in our decommissioning liabilities. Amortization expense for the Successor Period, the Predecessor Period and the years ended December 31, 2020 and 2019 was $0.9 million, $ 0.1 million, $ 1.3 million and $ 1.3 million, respectively. Based on the carrying values of intangible assets of December 31, 2021, amortization expense for the next five years (2022 through 2026) is estimated to be $0.9 million. |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant And Equipment [Abstract] | |
Property, Plant and Equipment, Net | (7) Property, Plant and Equipment, Net A summary of property, plant and equipment, net is as follows (in thousands): Successor Predecessor December 31, 2021 December 31, 2020 Machinery and equipment $ 360,353 $ 1,727,454 Buildings, improvements and leasehold improvements 75,374 171,635 Automobiles, trucks, tractors and trailers 6,450 11,742 Furniture and fixtures 19,668 31,407 Construction-in-progress 6,700 4,793 Land 28,671 33,394 Oil and gas producing assets 44,700 15,117 Total 541,916 1,995,542 Accumulated depreciation and depletion ( 185,642 ) ( 1,587,435 ) Property, plant and equipment, net $ 356,274 $ 408,107 We had $ 7.2 million and $ 28.9 million of leasehold improvements at December 31, 2021 and 2020, respectively. These leasehold improvements are depreciated over the shorter of the life of the asset or the term of the lease using the straight line method. Oil and gas producing assets includes $ 24.2 million and $ 4.6 million as of December 31, 2021 and 2020, respectively, for asset retirement costs associated with our oil and gas property. Depreciation expense (excluding depletion, amortization and accretion) for the Successor Period, the Predecessor Period and the years ended December 31, 2020 and 2019 was $ 238.8 million, $ 9.5 million, $ 103.5 million and $ 131.5 million, respectively. See Note 14 - Discontinued Operations for a discussion of depreciation expense related to our discontinued operations. As discussed above, depreciation expense in the Successor Period was impacted by the valuation process under fresh start accounting. Certain fully depreciated assets were assigned an estimated fair value of approximately $ 197.5 million and a remaining useful life of less than 36 months which significantly increased the amount of depreciation expense recorded in the Successor Period. Depreciation expense for these previously fully depreciated assets was $ 167.5 million for the Successor Period. See Note 3 – Fresh Start Accounting for additional information. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2021 | |
Debt [Abstract] | |
Debt | (8) Debt Credit Facility On the Emergence Date, pursuant to the Plan, we entered into a Credit Agreement with JPMorgan Chase Bank, N.A., as administrative agent, and the other lenders and letter of credit issuers named therein providing for a $ 120.0 million asset-based secured revolving Credit Facility, all of which is available for the issuance of letters of credit (the “Credit Facility”). The issuance of letters of credit will reduce availability under the Credit Facility dollar-for-dollar. As of December 31, 2021, the borrowing base under the Credit Facility was approximately $ 114.9 million and we had $ 37.1 million of letters of credit outstanding that reduced the borrowing availability under the revolving credit facility. We had no outstanding borrowings under the Credit Facility as of December 31, 2021. On the Emergence Date, the Credit Facility replaced the DIP Credit Facility and the undrawn letters of credit outstanding under the former DIP Credit Facility were deemed outstanding under the Credit Facility. All accrued and unpaid fees and other amounts outstanding thereunder were paid in cash in full as well. The Credit Facility will mature on December 9, 2024. The borrowing base under the Credit Facility is determined by reference to SESI’s and its subsidiary guarantors’ (i) eligible accounts receivable, (ii) eligible inventory, (iii) solely during the period from the Emergence Date until the earlier of December 9, 2022 and the date that unrestricted cash of SESI and its wholly-owned subsidiaries is less than $ 75.0 million, eligible premium rental drill pipe and (iv) so long as there are no loans outstanding at such time, certain cash of SESI and its subsidiary guarantors, less reserves established by the administrative agent in its permitted discretion. Availability under the Credit Facility will be the lesser of (i) the commitments and (ii) the borrowing base. Subject to certain conditions, upon request and with the consent of the participating lenders, the total commitments under the Credit Facility may be increased to $ 170.0 million. SESI’s obligations under the Credit Facility are guaranteed by us and all of SESI’s material domestic subsidiaries and secured by substantially all of our, SESI’s and the subsidiary guarantors’ assets, other than real property. Any borrowings under the Credit Facility will bear interest, at SESI’s option, at either an adjusted LIBOR rate plus an applicable margin ranging from 3.00 % to 3.50 % per annum, or an alternate base rate plus an applicable margin ranging from 2.00 % to 2.50 % per annum, in each case on the basis of the consolidated fixed charge coverage ratio. In addition, SESI is required to pay (i) a letter of credit fee, (ii) to the issuing lender of each letter of credit, a fronting fee and (iii) commitment fees. Upon the cessation of LIBOR, the Credit Facility provides for the use of alternative benchmark rates for the determination of the borrowing rate, and the cessation of LIBOR will not have a material impact on us. Unless all loans are paid off and letters of credit outstanding are cash collateralized and the Credit Facility terminated, the Credit Facility requires, subject to permitted exceptions, compliance with various covenants, including, but not limited to, limitations on the incurrence of indebtedness, permitted investments, liens on assets, making distributions, transactions with affiliates, mergers, consolidations, dispositions of assets and other provisions customary in similar types of agreements. The Credit Facility also requires compliance with a fixed charge coverage ratio of 1.0 to 1.0 if (a) an event of default has occurred and is continuing or (b) availability under the Credit Facility is less than the greater of $ 20.0 million or 15 % of the lesser of the aggregate commitments and the borrowing base. On May 13, 2021, SESI, SESI Holdings, Inc. and the subsidiary guarantors party thereto entered into a first amendment and waiver to the Credit Facility (the “First Amendment and Waiver to the Credit Facility”) to, among other things, (i) extend the deadline thereunder for the delivery of our consolidated unaudited financial statements for the quarter ended March 31, 2021 to June 1, 2021 and (ii) obtain a limited waiver of potential defaults under the Credit Facility related to a delayed public filing of such financial statements after the original deadline for delivery of such financial statements. On May 28, 2021, SESI, L.L.C., SESI Holdings, Inc. and the subsidiary guarantors party thereto entered into a waiver to the Credit Facility to (i) extend the deadline under the Credit Agreement for the delivery of Superior Energy Services, Inc.’s consolidated unaudited financial statements for the quarter ended March 31, 2021 and the calendar months ending April 30, 2021 and May 31, 2021 to July 15, 2021 and (ii) agree that until the unaudited financial statements and a revised borrowing base certificate in connection therewith are delivered, the lenders will not be required to make any advances requested. As discussed below, we have filed the required financial statements and delivered the revised borrowing base certificate in satisfaction of this requirement. On July 15, 2021, SESI, the Former Parent, and the subsidiary guarantors party thereto entered into a waiver to the Credit Facility with JPMorgan Chase Bank, N.A., as administrative agent and lender, and certain other financial institutions and other parties thereto as lenders to (i) extend the deadline under the Credit Facility for the delivery of our consolidated unaudited financial statements (x) as of and for the quarter ended March 31, 2021 to September 30, 2021 and (y) as of and for the quarter ended June 30, 2021 and the calendar months ending April 30, 2021, May 31, 2021, July 31, 2021 and August 31, 2021 to October 30, 2021, (ii) obtain a limited waiver of potential defaults under the Credit Facility related to a delayed public filing of this quarterly report on Form 10-Q with respect to the fiscal quarter ended June 30, 2021 (including related financial statements) after the original deadline (and confirmation of such waiver as it pertains to the quarterly report on Form 10-Q with respect to the fiscal quarter ended March 31, 2021), and (iii) agree that until the quarterly unaudited financial statements and a revised borrowing base certificate in connection with each such quarter is delivered, the lenders will not be required to make any advances requested. We filed our consolidated unaudited financial statements as of, and for, the quarters ended March 31, 2021 and June 30, 2021 and delivered a revised borrowing base certificate within the required timeframe. On November 15, 2021, we entered into a Second Amendment and Waiver to our Credit Agreement to (i) extend the deadline under the Credit Agreement for the delivery of our consolidated unaudited financial statements as of, and for, the quarter ended September 30, 2021 and the calendar month ending October 31, 2021 to December 10, 2021, (ii) obtain a limited waiver of potential defaults under the Credit Agreement related to a delayed public filing of the quarterly report on Form 10-Q for the quarter ended September 30, 2021 after the original deadline, and (iii) agree that until the quarterly unaudited financial statements and a revised borrowing base certificate in connection with such quarter are delivered, the lenders will not be required to make any advances requested by Borrower. We filed our consolidated unaudited financial statements as of, and for, the quarter ended September 30, 2021 and delivered a revised borrowing base certificate within the required timeframe. In addition, the Credit Agreement was amended to, among other things, permit the disposition of the HB Onshore Rentals Business (as defined in the Credit Agreement). Prepetition Indebtedness: The commencement of the Chapter 11 Cases constituted an event of default with respect to the Prepetition Credit Facility (defined below) and the 7.125 % Notes and 7.750 % Notes. The enforcement of any obligations under the prepetition debt was automatically stayed as a result of the Chapter 11 Cases. Debtor-in-Possession Credit Agreement In connection with the Chapter 11 Cases, the Affiliate Debtors filed a motion for approval of a debtor-in-possession financing facility, and on December 8, 2020, the Bankruptcy Court approved such motion and entered an interim order approving the financing (the “Interim DIP Order”). In accordance with the Interim DIP Order, on December 9, 2020, we, as guarantor and SESI, as borrower, entered into a $ 120 million Senior Secured Debtor-in-Possession Credit Agreement (the “DIP Credit Facility”). On January 19, 2021, the Bankruptcy Court approved the Affiliated Debtors’ entry into the DIP Credit Facility on a final basis. Delayed-Draw Term Loan Commitment Letter On September 29, 2020, we entered into a commitment letter (the “Delayed-Draw Term Loan Commitment Letter”) with certain of the Consenting Noteholders (such Consenting Noteholders, the “Backstop Commitment Parties”). The Backstop Commitment Parties committed to provide a delayed draw term loan facility (the “Delayed-Draw Term Loan Facility”) in an aggregate principal amount not to exceed $ 200.0 million, upon our emergence from bankruptcy on the terms and subject to the conditions of the Delayed-Draw Term Loan Commitment Letter. We paid $ 12.0 million of fees in consideration for the commitment by the Backstop Commitment Parties during 2020. On the Emergence Date, the Delayed-Draw Term Loan Commitment Letter terminated in accordance with its terms. The termination resulted in the recognition of $ 12.0 million of reorganization items, net during the Predecessor Period. Prepetition Credit Facility Prior to the commencement of the Chapter 11 Cases, we had an asset-based revolving credit facility (the “Prepetition Credit Facility”) which was scheduled to mature in October 2022. Upon commencement of the Chapter 11 Cases, all amounts outstanding under the Prepetition Credit Facility became outstanding under the DIP Credit Facility. The borrowing base under the Prepetition Credit Facility was calculated based on a formula referencing the borrower’s and the subsidiary guarantors’ eligible accounts receivable, eligible inventory and eligible premium rental drill pipe less reserves. Availability under the Prepetition Credit Facility was the lesser of (i) the commitments, (ii) the borrowing base and (iii) the highest principal amount permitted to be secured under the indenture governing the 7.125 % Notes. Senior Unsecured Notes We had outstanding $ 800.0 million of 7.125 % senior unsecured notes due December 2021. The indenture governing the 7.125 % senior unsecured notes due 2021 required semi-annual interest payments on June 15 and December 15 of each year through the maturity date of December 15, 2021. Additionally, we had outstanding $ 500.0 million of 7.750 % senior unsecured notes due September 2024. The indenture governing the 7.750 % senior unsecured notes due 2024 required semi-annual interest payments on March 15 and September 15 of each year through the maturity date of September 15, 2024. We, along with certain of our direct and indirect 100 % owned domestic subsidiaries, entered into guarantees of the outstanding 7.750 % Notes. All guarantees were full and unconditional, joint and several, except that the guarantee of any subsidiary guarantor could be released under certain customary circumstances, including, but not limited to, upon legal defeasance or satisfaction and discharge of the indenture that governed the 7.750 % Notes. We were to be released from our guarantee only in connection with any legal defeasance or satisfaction and discharge of the indenture. At the Emergence Date, all obligations under the 7.750% Notes were cancelled and the applicable agreements governing such obligations were terminated. The balances outstanding under the 7.125 % Notes and 7.750 % Notes were classified as liabilities subject to compromise in the accompanying consolidated balance sheet at December 31, 2020. On the Emergence Date, obligations under the 7.125 % Notes and 7.750 % Notes, including principal and accrued interest of $ 35.8 million, were fully extinguished in exchange for equity. |
Stock-Based Compensation Plans
Stock-Based Compensation Plans | 12 Months Ended |
Dec. 31, 2021 | |
Stock-Based And Long-Term Incentive Compensation [Abstract] | |
Stock-Based And Long-Term Incentive Compensation | (9) Stock-Based Compensation Plans As noted in Note 2 – Emergence from Voluntary Reorganization under Chapter 11 , our outstanding equity interests were cancelled as of the Emergence Date and new Class A common stock was issued to settle claims arising as a result of holding either the 7.125 % Notes or the 7.750 % Notes. As a result of the consummation of the Plan, restricted stock units issued prior to the fresh start accounting date under our stock incentive plans were cancelled for zero consideration. The balance sheet effect of the cancellation is noted in Note 3 – Fresh Start Accounting . 2021 Management Incentive Plan On June 1, 2021, our Board of Directors (the “Board”) and the Compensation Committee of the Board (the “Compensation Committee”) approved and adopted our Management Incentive Plan (“MIP”), which provides for the grant of share-based and cash-based awards and, in connection therewith, the issuance from time to time of up to 1,999,869 shares of our Class B common stock, par value $ 0.01 per share. Restricted Stock Grants Total stock-based compensation expense and the associated tax benefits during the Successor Period are as follows (in thousands): Successor For the Period Restricted stock awards $ 2,071 Restricted stock units 639 Cash-based PSUs (1) ( 1,268 ) Total compensation expense 1,442 Related income taxes ( 335 ) Total compensation expense, net of income taxes $ 1,107 (1) The PSU's related to the performance period ended December 31, 2021 were canceled due to not achieving the required performance. On June 1, 2021, the Board and the Compensation Committee approved the forms of restricted stock award agreements for (i) employee participants (the “Employee Restricted Stock Award Agreement”) and (ii) non-employee directors (the “Director Restricted Stock Award Agreement”). On June 2, 2021, the Board and the Compensation Committee approved the issuance of 113,840 shares of restricted stock ( 76,269 shares of restricted stock after giving effect to tax withholding) of Class B common stock under the MIP to certain of our non-employee directors and officers (the “Restricted Stock Awards”). Upon issuance of the Restricted Stock Awards, we immediately vested and retired 35,571 shares which were withheld for taxes. The Restricted Stock Awards will vest over a period of three years, subject to earlier vesting and forfeiture on terms and conditions set forth in the applicable award agreement. The fair value of the Restricted Stock Awards was estimated to be $ 39.53 per share as of the date of grant. The unamortized estimated grant date fair value as of December 31, 2021 was approximately $ 2.4 million. During the third quarter of 2021, the Board and the Compensation Committee approved the issuance of $ 2.0 million in restricted stock units which will be convertible into Class B common stock upon vesting (the “Restricted Stock Units”). These Restricted Stock Units will vest over a period of 18 months, subject to earlier vesting and forfeiture on terms and conditions set forth in the applicable award agreement. The fair value of the Restricted Stock Units was estimated to be $39.53 per share as of the date of grant. The unamortized estimated grant date fair value as of December 31, 2021 was approximately $ 1.4 million. Liability-Classified Compensation 401(k) We maintain a defined contribution profit sharing plan for employees who have satisfied minimum service requirements. Employees may contribute up to 75 % of their eligible earnings to the plan subject to the contribution limitations imposed by the Internal Revenue Service. We provide a nondiscretionary match of 100 % of an employee’s contributions to the plan, up to 4 % of the employee’s salary. We made contributions of $ 2.6 million, $ 0.4 million, $ 6.2 million and $ 10.5 million during the Successor Period, Predecessor Period and in 2020 and 2019, respectively. Supplemental Executive Retirement Plan We have a supplemental executive retirement plan (“SERP”). The SERP provides retirement benefits to our executive officers and certain other designated key employees. The SERP is an unfunded, non-qualified defined contribution retirement plan, and all contributions under the plan are unfunded credits to a notional account maintained for each participant. Prior to January 1, 2020, under the SERP, we made annual contributions to a retirement account based on age and years of service. The participants in the plan received contributions ranging from 5 % to 35 % of salary and annual cash bonus, which totaled $ 0 million, $ 1.1 million and $ 1.2 million during 2020, 2019 and 2018, respectively. We made payments to eligible participants in the SERP of $ 3.4 million during the Successor Period, and made payments to eligible participants of $ 2.3 million in 2019. No payments were made during the Predecessor Period or during 2020. Predecessor Stock-Based and Long-Term Incentive Compensation On September 28, 2020, the Board of Directors of the Predecessor approved the implementation of a Key Employee Retention Program (“KERP”), which was designed to retain key employees in their current roles over the near term while providing them with financial stability. KERP payments were in lieu of any outstanding unvested awards under our long-term equity-based incentive plans (other than any cash-based performance units (which we refer to as PSUs) any annual bonuses that would otherwise be payable to the KERP participants. The KERP provided for one-time retention payments equal to approximately $ 7.3 million in the aggregate to our six executive officers, including our named executive officers. The KERP further provided for approximately $ 2.4 million of retention payments to other non-executive employees. We were authorized to grant restricted stock units, stock options, performance share units and other cash and stock awards as part of its Long-Term Incentive Program (LTIP). Total stock-based compensation expense is reflected in general and administrative expenses in the consolidated statements of operations. Total stock-based compensation expense and the associated tax benefits are as follows (in thousands): Predecessor Year ended December 31, For the Period 2020 2019 Stock options $ - $ 94 $ 2,743 Restricted stock units 1,170 4,144 15,716 Cash restricted stock units - ( 56 ) 298 Cash-based PSUs 78 ( 1,554 ) 935 Total compensation expense 1,248 2,628 19,692 Related income taxes ( 60 ) ( 610 ) ( 4,569 ) Total compensation expense, net of income taxes $ 1,188 $ 2,018 $ 15,123 Stock Options Stock option grants generally vested in equal installments over three years and expired in ten years from the grant date. Non-vested stock options were generally forfeited upon termination of employment. Compensation expense for stock option grants was recognized based on the fair value at the date of grant using the Black-Scholes-Merton option pricing model. Historical data, among other factors, was used to estimate the expected volatility and the expected life of the stock options. The risk-free rate was based on the U.S. Treasury yield curve in effect at the time of grant for the expected life of the stock option. The dividend yield was based on our historical and projected dividend payouts. We did no t grant any stock options during the Predecessor Period or the year ended December 31, 2020. The weighted average fair values of stock options granted in 2019 was $ 24.60 and was based on a risk free interest rate of 2.57 %, an expected life of 6 years and an expected volatility of 56.62 %. As of December 31, 2020, 468,247 stock options were outstanding and exercisable at a weighted average option price of $ 156.97 . As discussed above, all stock options were canceled for no consideration at the Emergence Date. Restricted Stock Units RSUs granted as part of the LTIP generally vested in equal annual installments over three years . At December 31, 2020, 134,236 non-vested RSUs were outstanding at a weighted average grant date fair value of $ 80.27 . During the Predecessor Period, 48,903 RSU's vested, and we recognized approximately $ 1.0 million in Reorganization items, net associated with the remaining RSUs, which were either forfeited or canceled for no consideration at the Emergence Date. Performance Share Units As part of our LTIP, PSUs were issued providing for a three year performance period. At December 31, 2020, there were 210,398 PSUs outstanding ( 96,522 and 113,876 related to performance periods ending December 31, 2020 and 2021, respectively). The 2020 PSU grants (related to performance periods ending December 31, 2022) were surrendered as a condition to participation in the KERP. During the Successor Period, payments of approximately $ 4.0 million were made related to the performance period ended December 31, 2020 and the PSU's related to the performance period ended December 31, 2021 were canceled due to not achieving the required performance. Non-Qualified Deferred Compensation Plan The Nonqualified Deferred Compensation Plan (“NQDC Plan”) provides an income deferral opportunity for executive officers and certain senior managers who qualified for participation. Participants in the NQDC Plan could make an advance election each year to defer portions of their base salary, bonus and other compensation. Payments made to participants are based on their enrollment elections and plan balances. No deferrals were elected for 2021. We have not had enrollment periods for the NQDC since 2019. Employee Stock Purchase Plan Our Employee Stock Purchase Plan (“ESPP”) terminated in accordance with its terms in 2019. Prior to termination, eligible employees were allowed to purchase shares of common stock at a discount during six month offering periods beginning on January 1st and July 1st of each year and ending on June 30 and December 31 of each year, respectively. During 2019, 532,292 shares were issued in connection with the ESPP. Cash received from participants totaled $ 0.7 million and we recognized compensation expense of $ 0.1 million. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Taxes [Abstract] | |
Income Taxes | (10) Income Taxes The income tax provision is as follows: Successor Predecessor In thousands: Period Period For the Year Ended December 31, 2020 For the Year Ended December 31, 2019 Current income tax expense/(benefit) Federal $ ( 1,106 ) $ - $ ( 36,506 ) $ - State ( 307 ) - 635 546 Foreign 6,220 3,314 8,497 ( 3,359 ) Total current income tax expense/(benefit) 4,807 3,314 ( 27,374 ) ( 2,813 ) Deferred income tax expense/(benefit) Federal ( 42,904 ) 55,015 4,593 10,175 State 2,633 ( 182 ) ( 638 ) 1,623 Foreign 2,166 1,856 ( 3,469 ) ( 6,252 ) Total deferred income tax expense/(benefit) ( 38,105 ) 56,689 486 5,546 Total income tax expense/(benefit) $ ( 33,298 ) $ 60,003 $ ( 26,888 ) $ 2,733 On March 27, 2020, the President signed the Coronavirus Aid, Relief, and Economic Security Act (the CARES Act), a tax relief and spending package intended to provide economic stimulus to address the impact of the COVID-19 pandemic. The CARES Act allows corporations with net operating losses generated in 2018, 2019 and 2020 to elect to carryback those losses for a period of five years and relaxes the limitation for business interest deductions for 2019 and 2020. Under the provisions of the CARES Act, we received a refund of $ 30.5 million in July 2020 related to the carryback of the 2018 net operating loss and received a refund of $ 8.2 million in February 2021 related to the carryback of the 2019 net operating loss. A reconciliation of the U.S. statutory federal tax rate to the consolidated effective tax rate is as follows: Successor Predecessor In thousands: Period Period For the Year Ended December 31, 2020 For the Year Ended December 31, 2019 Computed expected tax expense/(benefit) $ ( 32,635 ) $ 69,125 $ ( 53,431 ) $ ( 18,380 ) State and foreign income taxes ( 17,893 ) 6,217 5,026 ( 7,444 ) Valuation allowance - ( 46,208 ) 19,024 24,638 Gain on Settlement of Liabilities Subject to Compromise - ( 89,905 ) - - Reduction in Deferred Tax Assets 19,154 87,316 - ( 233 ) Fresh Start Adjustments - 29,099 - - Other ( 1,924 ) 4,359 2,493 4,152 Total income tax expense/(benefit) $ ( 33,298 ) $ 60,003 $ ( 26,888 ) $ 2,733 We have evaluated the tax impact resulting from our emergence from Chapter 11 Bankruptcy on February 2, 2021 and the Plan. As part of the debt restructuring, a substantial portion of our pre-petition debt was extinguished. Absent an exception, a taxpayer recognizes cancellation of indebtedness income (“CODI”) upon discharge of its outstanding indebtedness for an amount of consideration that is less than its adjusted issue price. A taxpayer in bankruptcy may exclude CODI from taxable income but must first reduce its tax attributes by the amount of CODI realized. When the debt was extinguished, we realized CODI for U.S. federal income tax purposes of approximately $ 428 million. The CODI exclusion resulted in a partial elimination of our federal net operating loss carryforwards, as well as a partial reduction in tax basis in assets, primarily property, plant and equipment. The CODI also eliminated $ 19.2 million of state NOL deferred tax asset which resulted in a corresponding reduction in the state valuation allowance. Section 382 of the Internal Revenue Code of 1986 provides an annual limitation with respect to the ability of a corporation to utilize its tax attributes, as well as certain built-in-losses, against future U.S. taxable income in the event of a change in ownership. We experienced an ownership change on February 2, 2021, as defined in Section 382, due to the Plan. The limitation under Section 382 is based on the value of the corporation as of the Emergence Date. We do not expect the Section 382 limitation to impact our ability to use U.S. tax attributes other than foreign tax credits. Significant components of our deferred tax assets and liabilities are as follows: Successor Predecessor In thousands: December 31, 2021 December 31, 2020 Deferred tax assets: Allowance for doubtful accounts $ 1,046 $ 1,713 Operating loss and tax credit carryforwards 84,684 150,426 Compensation and employee benefits 8,832 27,625 Decommissioning liabilities 39,328 30,960 Operating leases 197 2,792 Other assets 30,749 34,578 Total gross deferred tax assets 164,836 248,094 Less: Valuation allowance ( 90,781 ) ( 139,106 ) Total deferred tax assets 74,055 108,988 Deferred tax liabilities: Property, plant and equipment 64,721 69,510 Notes receivable 17,812 12,977 Goodwill and other intangible assets ( 772 ) 23,920 Other liabilities 1,287 7,869 Total deferred tax liabilities 83,048 114,276 Net deferred tax liabilities $ 8,993 $ 5,288 Deferred tax assets and liabilities are recognized for the estimated future tax effects of temporary differences between the tax basis of an asset or liability and its reported amount in the consolidated financial statements. The measurement of deferred tax assets and liabilities is based on enacted tax laws and rates currently in effect in each of the jurisdictions in which we have operations. In recording deferred income tax assets, we consider whether it is more likely than not that some portion or all of the deferred income tax assets will be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income of the appropriate character during the periods in which those deferred income tax assets would be deductible. We consider all available positive and negative evidence, including scheduled reversal of deferred income tax liabilities, projected future taxable income, tax-planning strategies, and results of recent operations for this determination. Due to the history of losses in recent years, we are not relying on any projected future taxable income for this analysis. We are in a net deferred tax liability position as of December 31, 2021 in the U.S., and the reversal of the deferred tax liability is expected to offset the reversal of U.S. deferred tax assets in the future periods. Thus, management believes that it is more likely than not that U.S. federal deferred tax assets, with the exception of certain credits, will be realized. Management determined that sufficient positive evidence does not exist to realize deferred tax assets for certain U.S. federal credits, certain U.S. state tax attributes, and for deferred tax assets in the majority of our foreign operations. The amount of U.S. consolidated net operating losses available as of December 31, 2021, after attribute reduction, is estimated to be approximately $ 43.3 million, which are available to reduce future taxable income. These losses have an indefinite carryforward but are limited to offsetting 80 % of taxable income each year. At December 31, 2021, we also had various state net operating loss carryforwards with expiration dates starting in 2022. A net deferred tax asset of $ 18.8 million reflects the expected future tax benefit for the state loss carryforwards. At December 31, 2021, we also had a U.S. foreign tax credit carryforward of $ 55.9 million with expiration dates from 2025 to 2027. We have not provided income tax expense on earnings of our foreign subsidiaries, since we have reinvested or expect to reinvest undistributed earnings outside the U.S. indefinitely. At December 31, 2021, our foreign subsidiaries had an overall accumulated deficit in earnings. We do not intend to repatriate the earnings of our profitable foreign subsidiaries. We have not provided U.S. income taxes for such earnings. These earnings could become subject to U.S. income tax, state and foreign taxes if repatriated. It is not practicable to estimate the amount of taxes that might be payable on such undistributed earnings. We file income tax return in the U.S., including federal and various state filings, and certain foreign jurisdictions. The number of years that are open under the statute of limitations and subject to audit varies depending on the tax jurisdiction. We remain subject to U.S. federal tax examinations for years after 2017. The activity in unrecognized tax benefits is as follows: Successor Predecessor In thousands: Period Period For the Year Ended December 31, 2020 For the Year Ended December 31, 2019 Unrecognized tax benefits at beginning of period $ 14,706 $ 13,206 $ 13,206 $ 30,558 Additions based on tax positions related to prior years 2,848 1,500 1,757 2,500 Reductions based on tax positions related to prior years ( 552 ) - - - Additions based on tax positions related to current year - - - - Reductions as a result of a lapse of the applicable statute of limitations - - ( 757 ) - Reductions relating to settlements with taxing authorities ( 2,029 ) - ( 1,000 ) ( 19,852 ) Unrecognized tax benefits at end of period $ 14,973 $ 14,706 $ 13,206 $ 13,206 We had unrecognized tax benefits of $ 15.0 million, $ 13.2 million and $ 13.2 million as of December 31, 2021, 2020 and 2019, respectively, all of which would impact our effective tax rate if recognized. It is reasonably possible that $ 2.9 million of unrecognized tax benefits could be settled in the next twelve-month period due to the conclusion of tax audits or due to the expiration of statute of limitations. The amounts above include accrued interest and penalties of $ 6.9 million, $ 5.8 million and $ 5.0 million for the years ended December 31, 2021, 2020 and 2019, respectively. During the year ended December 31, 2019, we recorded a reduction in unrecognized tax benefits of $ 19.9 million relating to settlements of income tax audits in foreign countries. Interest and penalties associated with the unrecognized tax benefits are classified as a component of income tax expense in the consolidated statements of operations. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2021 | |
Segment Information [Abstract] | |
Segment Information | (11) Segment Information In connection with our Transformation Project, our reportable segments were changed to Rentals and Well Services. We have recast historical amounts below and in Note 4 - Revenue in connection with this change. Business Segments The products and service offerings of Rentals are comprised of value-added engineering and design services, rental of premium drill strings, tubing, landing strings, completion tubulars and handling accessories, manufacturing and rental of bottom hole assemblies, and rentals of accommodation units. The products and service offerings of Well Services are comprised of risk management, well control and training solutions, hydraulic workover and snubbing services, engineering and manufacturing of premium sand control tools, and onshore international production services. The Well Services segment also includes the operations of our offshore oil and gas property. We evaluate the performance of our reportable segments based on income or loss from operations. The segment measure is calculated as segment revenues less segment operating expenses, including general and administrative expenses, depreciation, depletion, amortization and accretion expense and reduction in value of assets. We use this segment measure to evaluate our reportable segments as it is the measure that is most consistent with how we organize and manage our business operations. Corporate and other costs primarily include expenses related to support functions, including salaries and benefits for corporate employees. Summarized financial information for our segments is as follows (in thousands): For the Period February 3, 2021 through December 31, 2021 (Successor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 268,695 $ 380,059 $ - $ 648,754 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 105,373 316,879 - 422,252 Depreciation, depletion, amortization and accretion 152,250 61,074 6,535 219,859 General and administrative expenses 24,812 46,780 45,983 117,575 Restructuring expenses - - 22,952 22,952 Other expenses 3,609 13,117 - 16,726 Income (loss) from operations ( 17,349 ) ( 57,791 ) ( 75,470 ) ( 150,610 ) Interest income (expense), net ( 7 ) 3,930 ( 1,592 ) 2,331 Other income (expense) 1,280 ( 14,407 ) 5,999 ( 7,128 ) Income (loss) from continuing operations before income taxes $ ( 16,076 ) $ ( 68,268 ) $ ( 71,063 ) $ ( 155,407 ) For the Period January 1, 2021 through February 2, 2021 (Predecessor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 18,339 $ 27,589 $ - $ 45,928 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 7,839 21,934 - 29,773 Depreciation, depletion, amortization and accretion 4,271 3,666 421 8,358 General and administrative expenses 2,027 4,111 4,914 11,052 Restructuring expenses - - 1,270 1,270 Income (loss) from operations 4,202 ( 2,122 ) ( 6,605 ) ( 4,525 ) Interest income (expense), net 10 356 ( 164 ) 202 Reorganization items, net ( 2,037 ) 31,816 305,781 335,560 Other income (expense) ( 399 ) ( 165 ) ( 1,541 ) ( 2,105 ) Income (loss) from continuing operations before income taxes $ 1,776 $ 29,885 $ 297,471 $ 329,132 For the year ended December 31, 2020 (Predecessor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 297,835 $ 369,414 $ - $ 667,249 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 109,902 298,229 - 408,131 Depreciation, depletion, amortization and accretion 63,072 48,929 3,770 115,771 General and administrative expenses 52,718 73,200 79,855 205,773 Restructuring expenses - - 47,055 47,055 Reduction in value of assets 754 21,038 1,983 23,775 Income (loss) from operations 71,389 ( 71,982 ) ( 132,663 ) ( 133,256 ) Interest income (expense), net - 4,539 ( 96,965 ) ( 92,426 ) Reorganization expenses - - ( 19,520 ) ( 19,520 ) Other income - - ( 9,229 ) ( 9,229 ) Income (loss) from continuing operations before income taxes $ 71,389 $ ( 67,443 ) $ ( 258,377 ) $ ( 254,431 ) For the year ended December 31, 2019 (Predecessor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 430,442 $ 541,610 $ - $ 972,052 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 168,608 389,657 - 558,265 Depreciation, depletion, amortization and accretion 86,395 55,670 4,726 146,791 General and administrative expenses 61,829 89,272 93,302 244,403 Reduction in value of assets - 9,293 - 9,293 Income (loss) from operations 113,610 ( 2,282 ) ( 98,028 ) 13,300 Interest income (expense), net - 4,172 ( 102,511 ) ( 98,339 ) Reorganization expenses - - - - Other income - - ( 2,484 ) ( 2,484 ) Income (loss) from continuing operations before income taxes $ 113,610 $ 1,890 $ ( 203,023 ) $ ( 87,523 ) Identifiable Assets Well Corporate Consolidated Rentals Services and Other Total December 31, 2021 (Successor) $ 365,358 $ 715,738 $ 118,412 $ 1,199,508 December 31, 2020 (Predecessor) 572,776 554,178 374,125 1,501,079 At December 31, 2021 and 2020, the Corporate and Other segment included $ 37.5 million and $ 242.1 million of identifiable assets relating to assets held for sale. For further discussion see Note 14 - Discontinued Operations . Capital Expenditures Well Corporate Consolidated Rentals Services and Other Total For the period from February 3, 2021 through December 31, 2021 (Successor) $ 27,335 $ 6,817 $ - $ 34,152 For the period from January 1, 2021 through February 2, 2021 (Predecessor) 2,429 606 - 3,035 December 31, 2020 (Predecessor) 24,053 19,609 3,991 47,653 December 31, 2019 (Predecessor) 63,252 28,386 12,084 103,722 Geographic Information We operate in the U.S. and in various other countries throughout the world. Our international operations are primarily focused in Latin America, Asia-Pacific and the Middle East and North Africa regions. We attribute revenue to various countries based on the location where services are performed or the destination of the drilling products or equipment sold or rented. Long-lived assets consist primarily of property, plant and equipment and are attributed to various countries based on the physical location of the asset at the end of a period. Revenues Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 United States $ 304,623 $ 23,863 $ 339,041 $ 585,553 Other countries 344,131 22,065 328,208 386,499 Total $ 648,754 $ 45,928 $ 667,249 $ 972,052 Long-Lived Assets Successor Predecessor December 31, 2021 December 31, 2020 United States $ 231,388 $ 253,114 Other countries 124,886 154,993 Total $ 356,274 $ 408,107 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | (12) Fair Value Measurements Fair value is defined as the price that would be received to sell an asset or the price paid to transfer a liability in an orderly transaction between market participants at the measurement date. Inputs used in determining fair value are characterized according to a hierarchy that prioritizes those inputs based on the degree to which they are observable. The three input levels of the fair value hierarchy are as follows: Level 1 : Unadjusted quoted prices in active markets for identical assets and liabilities; Level 2 : Observable inputs other than those included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical assets or liabilities in inactive markets or model-derived valuations or other inputs that can be corroborated by observable market data; and Level 3 : Unobservable inputs reflecting management’s own assumptions about the inputs used in pricing the asset or liability. The following tables provide a summary of the financial assets and liabilities measured at fair value on a recurring basis (in thousands): Successor Fair Value at December 31, 2021 Level 1 Level 2 Level 3 Total Non-qualified deferred compensation assets and liabilities Intangible and other long-term assets, net $ - $ 15,896 $ - $ 15,896 Accounts payable - 2,250 - 2,250 Other long-term liabilities - 19,218 - 19,218 Investment in equity securities $ 25,735 $ - $ - $ 25,735 Predecessor Fair Value at December 31, 2020 Level 1 Level 2 Level 3 Total Non-qualified deferred compensation assets and liabilities Intangible and other long-term assets, net $ - $ 15,013 $ - $ 15,013 Accounts payable - 2,869 - 2,869 Other long-term liabilities - 20,697 - 20,697 Total debt $ 409,050 $ - $ - $ 409,050 Our non-qualified deferred compensation plans allow officers, certain highly compensated employees and non-employee directors to defer receipt of a portion of their compensation and contribute such amounts to one or more hypothetical investment funds. These investments are reported at fair value based on unadjusted quoted prices in active markets for identifiable assets and observable inputs for similar assets and liabilities, which represent a Level 2 in the fair value hierarchy depending on the type of investment. Commencement of the Chapter 11 Cases automatically stayed payments under the non-qualified deferred compensation plans. As a result of the consummation of the Plan, restricted stock units issued prior to the Fresh Start Accounting Date under our stock incentive plans were cancelled for zero consideration. Investment in equity securities relates to our ownership in 4.1 million shares of common stock of Select Energy Services, Inc. This investment is reported at fair value based on unadjusted quoted prices which are readily determinable, which represents a Level 1 in the fair value hierarchy. During the Successor Period, we recognized an unrealized gain on equity securities of $ 2.1 million, which is included in other expense in our consolidated statement of operations. See Note 14 - Discontinued Operations for further discussion. The carrying amount of cash equivalents, accounts receivable, accounts payable and accrued expenses, as reflected in the consolidated balance sheets, approximates fair value due to the short maturities. We historically utilized unadjusted quoted prices in the market for measuring the fair value of debt. |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Contingencies [Abstract] | |
Contingencies | (13) Contingencies Due to the nature of our business, we are involved, from time to time, in various routine litigation or subject to disputes or claims or actions, including those commercial in nature, regarding our business activities in the ordinary course of business. Legal costs related to these matters are expensed as incurred. Management is of the opinion that none of the claims and actions will have a material adverse impact on our financial position, results of operations or cash flows. Commencement of the Chapter 11 Cases automatically stayed certain proceedings and actions, these cases have continued after the Emergence Date. A subsidiary of ours is involved in legal proceedings with two former employees regarding the payment of royalties for a patentable product paid for by the subsidiary and developed while they worked for the subsidiary. On April 2, 2018, the former employees and their corporation filed a lawsuit (the “First Case”) in the Harris County District Court (the “District Court”) alleging that the royalty payments they had invoiced at 25 % and for which they received payments since 2010, should have been paid at a rate of 50 %. In May 2019, the jury issued a verdict in favor of the plaintiffs. On October 25, 2019, the court issued a final judgment against us, which we have fully secured with a bond. Oral arguments in front of the Court of Appeals are scheduled for April 2022. We strongly disagree with the verdict and believe the District Court committed several legal errors that should result in a reversal or remand of the case by the Court of Appeals. A second case (the “Second Case”) was filed in District Court against the same subsidiary of ours bringing the same claims and seeking damages post judgment from the First Case until discontinuation of the sale of the product at issue by the subsidiary. In December 2020, the Court entered a final judgement for the Plaintiffs’ and the Second Case was stayed for the duration of our bankruptcy. We have filed an appeal and a Motion to Abate the Second Case pending the appeal of the First Case. The Motion to Abate the Second Case was granted on October 26, 2021 by the Court of Appeals. As of December 31, 2021, we have reserved $ 7.0 million for the judgements in the First Case and Second Case. Our Indian subsidiary, SES Energy Services India Pvt. Ltd, entered into a contract with an Indian oil and gas company to provide an off shore vessel for well stimulation. A dispute arose over the performability of the terms of the contract. The contract was terminated by the customer. The maximum liability under the contract is capped at approximately $ 7.3 million, of which approximately $ 3.5 million has been claimed via revocation of performance bank guarantees. |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2021 | |
Discontinued Operations [Abstract] | |
Discontinued Operations | (14) Discontinued Operations In December 2019, Pumpco Energy Services, Inc (“Pumpco”) completed its hydraulic fracturing field operations and made the determination to discontinue, wind down and exit its hydraulic fracturing operations. We have, and will continue, to sell Pumpco’s fixed assets over time. During the Successor Period, we have recognized gains of approximately $ 10.5 million related to the sales of these assets. During the third quarter of 2021, we sold all of the issued and outstanding equity of Complete Energy Services, Inc. (“Complete”) to Select Energy Services, Inc. (“Select”), which also included SPN Well Services, Inc.’s (“SPW”) flowback and well testing businesses, including the associated assets, liabilities and working capital, pursuant to a Securities Purchase and Sale Agreement (the “Purchase Agreement”) with SES Holdings, LLC, Select and Complete. Pursuant to the Purchase Agreement, Select acquired 100 % of the equity interests of Complete, for a purchase price of approximately $ 14.0 million in cash and the issuance of 3.6 million shares of Class A common stock, $ 0.01 par value, of Select, subject to customary post-closing adjustments. The Purchase Agreement contains customary representations, warranties and covenants. In connection with this disposition, during the Successor Period, we recognized a reduction in value of assets related to Complete of approximately $ 12.4 million. During the third quarter of 2021, we entered into an agreement with an unrelated third party to sell tranches of coil tubing assets held by SPW for $ 14.0 million. As of December 31, 2021, we have completed sales totaling $ 11.4 million under this contract. The gain/loss on these assets sales was not material. In November 2021, we completed an agreement with an unrelated third party to sell the remaining assets of SPW for $ 8.5 million. In connection with the sale of the remaining assets of SPW, we recognized a reduction in value of assets totaling $ 14.5 million during the third quarter of 2021. The disposal of Complete and SPW is aligned with our overall strategic objective to divest assets and service lines that do not compete for investment in the current market environment. The following table summarizes the components of loss from discontinued operations, net of tax (in thousands): Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Revenues $ 90,682 $ 10,719 $ 184,580 $ 734,768 Cost of services 85,191 10,398 180,408 639,065 Depreciation, depletion, amortization and accretion 31,502 2,141 31,022 124,746 General and administrative expenses 8,847 1,119 22,035 50,953 Other expenses 15,807 - - - Reduction in value of assets - - 117,335 84,470 Loss from operations ( 50,665 ) ( 2,939 ) ( 166,220 ) ( 164,466 ) Other income (expense) 188 2,485 ( 2,069 ) 27 Loss from discontinued operations before tax ( 50,477 ) ( 454 ) ( 168,289 ) ( 164,439 ) Income tax benefit (expense) 10,408 102 ( 398 ) ( 1,026 ) Loss from discontinued operations, net of income tax $ ( 40,069 ) $ ( 352 ) $ ( 168,687 ) $ ( 165,465 ) The following summarizes the assets and liabilities related to the business reported as discontinued operations (in thousands): Successor Predecessor December 31, 2021 December 31, 2020 Current assets: Accounts receivable, net $ 7,469 $ 25,448 Prepaid expenses 26 4,881 Other current assets 447 12,076 Total current assets 7,942 42,405 Property, plant and equipment, net 29,328 179,380 Operating lease ROU assets 127 16,958 Other assets 131 3,361 Total assets held for sale $ 37,528 $ 242,104 Liabilities: Accounts payable $ 652 $ 2,830 Accrued expenses 4,268 11,153 Operating lease liabilities 72 21,987 Decommissioning liabilities - 8,311 Other liabilities 615 2,095 Total liabilities $ 5,607 $ 46,376 Significant operating non-cash items and cash flows from investing activities for our discontinued operations were as follows (in thousands): Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Cash flows from discontinued operating activities: Reduction in value of assets $ - $ - $ 117,335 $ 84,470 (Gain)/loss on sale of assets - ( 43 ) 286 12,727 Other expenses 15,807 - - - Depreciation, depletion, amortization and accretion 31,502 2,141 31,022 124,746 Cash flows from discontinued investing activities: Proceeds from sales of assets 88,332 486 22,224 23,140 Additionally, we have recast certain historical amounts in our consolidated balance sheet, statements of operations and in the following notes to these financial statements: Note 1 - Summary of Significant Account Policies , Note 3 - Fresh Start Accounting , Note 5 - Leases , Note 6 - Intangibles , Note 7 - Property, Plant and Equipment, Net , Note 10 - Income Taxes and Note 11 - Segment Information as it pertains to these discontinued operations. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2021 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | (15) Supplemental Cash Flow Information The table below is a reconciliation of cash, cash equivalents and restricted cash for the beginning and the end of the period for all periods presented: Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Cash, cash equivalents, and restricted cash, beginning of period Cash and cash equivalents $ 172,768 $ 188,006 $ 272,624 $ 158,050 Restricted cash-current 16,751 - - - Restricted cash-non-current 80,179 80,178 2,764 5,698 Cash, cash equivalents, and restricted cash, beginning of period $ 269,698 $ 268,184 $ 275,388 $ 163,748 Cash, cash equivalents, and restricted cash, end of period Cash and cash equivalents $ 314,974 $ 172,768 $ 188,006 $ 272,624 Restricted cash-current - 16,751 - - Restricted cash-non-current 79,561 80,179 80,178 2,764 Cash, cash equivalents, and restricted cash, end of period $ 394,535 $ 269,698 $ 268,184 $ 275,388 Non-cash investing activities during the Successor Period include the acquisition of investments in equity securities of $ 27.3 million in connection with asset disposals. |
Supplemental Guarantor Informat
Supplemental Guarantor Information | 12 Months Ended |
Dec. 31, 2021 | |
Supplemental Guarantor Information [Abstract] | |
Supplemental Cash Flow Information | (15) Supplemental Cash Flow Information The table below is a reconciliation of cash, cash equivalents and restricted cash for the beginning and the end of the period for all periods presented: Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Cash, cash equivalents, and restricted cash, beginning of period Cash and cash equivalents $ 172,768 $ 188,006 $ 272,624 $ 158,050 Restricted cash-current 16,751 - - - Restricted cash-non-current 80,179 80,178 2,764 5,698 Cash, cash equivalents, and restricted cash, beginning of period $ 269,698 $ 268,184 $ 275,388 $ 163,748 Cash, cash equivalents, and restricted cash, end of period Cash and cash equivalents $ 314,974 $ 172,768 $ 188,006 $ 272,624 Restricted cash-current - 16,751 - - Restricted cash-non-current 79,561 80,179 80,178 2,764 Cash, cash equivalents, and restricted cash, end of period $ 394,535 $ 269,698 $ 268,184 $ 275,388 Non-cash investing activities during the Successor Period include the acquisition of investments in equity securities of $ 27.3 million in connection with asset disposals. |
Summary Of Significant Accoun_2
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2021 | |
Summary Of Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation As used herein, “we,” “us”, “our” and similar terms refer to (i) prior to February 2, 2021 (the “Emergence Date”), SESI Holdings, Inc. (formerly known as Superior Energy Services, Inc.) and its subsidiaries (“Predecessor”) and (ii) after the Emergence Date, Superior Energy Services, Inc. (formerly known as Superior Newco, Inc.) and its subsidiaries (“Successor”). As used herein, the following terms refer to our operations: "Predecessor Period" January 1, 2021 through February 2, 2021 "Successor Period" February 3, 2021 through December 31, 2021 Our consolidated financial statements include our accounts and those of our wholly-owned subsidiaries. All intercompany transactions and balances have been eliminated in the accompanying consolidated financial statements. Certain previously reported amounts, specifically related to assets held for sale and discontinued operations, have been reclassified to conform to current year presentation. Due to the lack of comparability with historical financials, our consolidated financial statements and related footnotes are presented with a “black line” division to emphasize the lack of comparability between amounts presented as of, and after, February 2, 2021 and amounts presented for all prior periods. Our financial results for future periods following the application of fresh start accounting will be different from historical trends and the differences may be material. |
Business | Business We serve major, national and independent oil and natural gas exploration and production companies around the world and offer products and services with respect to the various phases of a well’s economic life cycle. 2021 was a transformative year at Superior. Following our emergence from bankruptcy, we embarked on a diligent effort to reconfigure our operations and organization to maximize shareholder value, enhance margin growth and have a more disciplined approach, both operationally and financially (the “Transformation Project”). The Transformation Project has been focused around three sequential phases: • Business Unit Review – analyzing strategic changes and executing various non-core asset divestitures, which emphasized product optimization and margin enhancement to maximize the cash flow profile of our business units and focus on our core competencies (collectively, the “Business Unit Review”); • Geographic Focus – reviewing our footprint and improving capital efficiency by focusing on low-risk, high reward geographies to maximize returns; and • Right Size Support – streamlining support to match optimized business units that represent our core portfolio and consolidating our operational footprint to align the size of our operations with current demand to provide a superior value proposition and exhibit capital discipline. The evaluation and implementation of the Business Unit Review is substantially complete, which has resulted in lower revenue with increased margins. The Right Size Support and Geographic Focus components are ongoing and should be completed during 2022. Historically, we provided a wide variety of services and products to many markets within the energy industry. During 2021, we realigned our core businesses to focus on products and services that we believe meet the criteria of (1) being critical to our customers’ oil and gas operations, (2) facing low or no competition from the three largest global oilfield service companies, (3) requiring deep technical expertise through the design or use of our product or service, and (4) being unlikely to become a commoditized product or service to our customers. The result of this approach is a portfolio of business lines grounded in our core mission of providing high quality products and services while maintaining the trust and serving the needs of our customers, with an emphasis on free cash flow generation and capital efficiency for us. In connection with our Transformation Project, our reportable segments were changed to Rentals and Well Services. |
Voluntary Reorganization Under Chapter 11 of the Bankruptcy Code | Voluntary Reorganization Under Chapter 11 of the Bankruptcy Code On December 4, 2020, we and certain of our direct and indirect wholly-owned domestic subsidiaries (the "Affiliate Debtors") entered into an Amended and Restated Restructuring Support Agreement (the “Amended RSA”) that amended and restated in its entirety the Restructuring Support Agreement (the “RSA”), dated September 29, 2020, with certain holders of SESI, L.L.C.’s (“SESI”) outstanding (i) 7.125 % senior unsecured notes due 2021 (the “ 7.125 % Notes”) and (ii) 7.750 % senior unsecured notes due 2024 (the “ 7.750 % Notes”). The parties to the Amended RSA agreed to the principal terms of a proposed financial restructuring of the Affiliate Debtors, which was implemented through the Plan (as defined below). On December 7, 2020, the Affiliate Debtors filed the Chapter 11 Cases under Chapter 11 of the Bankruptcy Code in the Bankruptcy Court, and, in connection therewith, the Affiliate Debtors filed with the Bankruptcy Court the proposed Joint Prepackaged Plan of Reorganization under the Bankruptcy Code (as amended, modified or supplemented from time to time, the “Plan”). After commencement of the Chapter 11 Cases, the Affiliate Debtors continued to operate their businesses as “debtors-in-possession” under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court. In connection with the Chapter 11 Cases, the Affiliate Debtors filed a motion for approval of a debtor-in-possession financing facility, and on December 8, 2020, the Bankruptcy Court approved such motion and entered an interim order approving the financing (the “Interim DIP Order”). In accordance with the Interim DIP Order, on December 9, 2020, we, as guarantor and SESI, as borrower, entered into a $ 120 million Senior Secured Debtor-in-Possession Credit Agreement (the “DIP Credit Facility”). On January 9, 2021, the Bankruptcy Court approved the Affiliate Debtors’ entry into the DIP Credit Facility on a final basis. On January 19, 2021, the Bankruptcy Court entered an order, Docket No. 289, confirming and approving the Plan. On the Emergence Date, we qualified for and adopted fresh start accounting in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic No. 852 – Reorganizations (ASC 852), which specifies the accounting and financial reporting requirements for entities reorganizing through Chapter 11 bankruptcy proceedings. The application of fresh start accounting resulted in a new basis of accounting and we became a new entity for financial reporting purposes. As a result of the implementation of the Plan and the application of fresh start accounting, our historical financial statements on or before the Emergence Date are not a reliable indicator of our financial condition and results of operations for any period after our adoption of fresh start accounting. We applied ASC 852 in preparing the consolidated financial statements, which requires distinguishing transactions associated with the reorganization separate from activities related to the ongoing operations of the business. Accordingly, pre-petition liabilities that could have been impacted by the Chapter 11 Cases were classified as liabilities subject to compromise in our consolidated balance sheet as of December 31, 2020. These liabilities were reported at the amounts we anticipated would be allowed by the Bankruptcy Court. Additionally, certain expenses, realized gains and losses and provisions for losses that were realized or incurred during and directly related to the Chapter 11 Cases, including fresh start valuation adjustments and gains on liabilities subject to compromise were recorded as reorganization items, net in the consolidated statements of operations. See Note 2 – Emergence from Voluntary Reorganization under Chapter 11 for more information on the events of the Chapter 11 Cases as well as the accounting and reporting impacts of the reorganization during the Predecessor Period. |
Use of Estimates | Use of Estimates In preparing the accompanying financial statements, we make various estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities reported as of the dates of the balance sheets and the amounts of revenues and expenses reported for the periods shown in the income statements and statements of cash flows. All estimates, assumptions, valuations and financial projections related to fresh start accounting, including the fair value adjustments, the enterprise value and equity value projections, are inherently subject to significant uncertainties and the resolution of contingencies beyond our control. See Note 3 – Fresh Start Accounting for information about the use of estimates relating to fresh start accounting, . Changes in Accounting Policies As part of the adoption of fresh start accounting and effective upon emergence from bankruptcy, we have adopted new presentations for certain items within our consolidated balance sheets and statement of operations. The presentation changes related to foreign currencies, bad debt expense, gains/losses on sales of assets and reduction in value of assets are further described within their relevant discussion below. |
Major Customers and Concentration of Credit Risk | Major Customers and Concentration of Credit Risk The majority of our business is conducted with major and independent oil and gas companies. We evaluate the financial strength of our customers and provide allowances for probable credit losses when deemed necessary. The market for our services and products is the oil and gas industry in the U.S. land and Gulf of Mexico areas and select international market areas. Oil and gas companies make capital expenditures on exploration, development and production operations. The level of these expenditures historically has been characterized by significant volatility. We derive a large amount of revenue from a small number of major and independent oil and gas compa nies. There were no customers that exceeded 10% of our total revenues in 2021, 2020 or 2019. Our assets that are potentially exposed to concentrations of credit risk consist primarily of cash, cash equivalents, and trade receivables. The financial institutions with which we transact business are large, investment grade financial institutions which are “well capitalized” under applicable regulatory capital adequacy guidelines, thereby minimizing our exposure to credit risks for deposits in excess of federally insured amounts. |
Cash Equivalents | Cash Equivalents We consider all short-term investments with a maturity of 90 days or less when purchased to be cash equivalents. |
Accounts Receivable and Allowances | Accounts Receivable and Allowances Trade accounts receivable are recorded at the invoiced amount or the earned amount but not yet invoiced and do not bear interest. We maintain our allowance for doubtful accounts at net realizable value. The allowance for doubtful accounts is based on our best estimate of probable uncollectible amounts in existing accounts receivable. We assess individual customers and overall receivables balances to identify amounts that are believed to be uncertain of collection. The aging of the receivable balance as well as economic factors concerning the customer factor into the judgment and estimation of allowances, which often involve significant dollar amounts. Adjustments to the allowance in future periods may be made based on changing customer conditions. Our allowance for doubtful accounts as of December 31, 2021 and 2020 was $ 2.2 million and $ 23.0 million, respectively. As part of the adoption of fresh start accounting and effective upon emergence from bankruptcy, we have adopted new presentations for certain items within our consolidated balance sheets and statement of operations. Prior to emergence from bankruptcy, we recognized bad debt expense within general and administrative expenses. These expenses are now recognized within cost of revenues. During the Successor Period and Predecessor Period, we recognized $ 4.9 million, $ 0.2 million, respectively in bad debt recoveries. During the years ended December 31, 2020 and 2019, we recognized $ 11.9 million and $ 2.3 million, respectively, in bad debt expense. |
Revenue Recognition | Revenue Recognition Revenues are recognized when performance obligations are satisfied in accordance with contractual terms, in an amount that reflects the consideration we expect to be entitled to in exchange for services rendered, rentals provided or products sold. Taxes collected from customers and remitted to governmental authorities and revenues are reported on a net basis. A performance obligation arises under contracts with customers and is the unit of account under Topic 606. We account for services rendered and rentals provided separately if they are distinct and the service or rental is separately identifiable from other items provided to a customer and if a customer can benefit from the services rendered or rentals provided on their own or with other resources that are readily available to the customer. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. A contract’s standalone selling prices are determined based on the prices charged for services rendered, rentals provided or products sold. Our payment terms vary by the type of products or services offered. The term between invoicing and when the payment is due is typically 30 days. Services revenue: primarily represents amounts charged to customers for the completion of services rendered, including labor, products and supplies necessary to perform the service. Rates for these services vary depending on the type of services provided and are primarily based on a per hour or per day basis. Rentals revenue : primarily priced on a per day, per man hour or similar basis and consists of fees charged to customers for use of rental equipment over the term of the rental period, which is generally less than twelve months. Product sales: products are generally sold based upon purchase orders or contracts with our customers that include fixed or determinable prices but do not include right of return provisions or other significant post-delivery obligations. We recognize revenue from product sales when title passes to the customer, the customer assumes risks and rewards of ownership, collectability is reasonably assured and delivery occurs as directed by the customer. We expense sales commissions when incurred as the amortization period would have been one year or less. |
Inventory | Inventory Inventories are stated at the lower of cost or net realizable value. We apply net realizable value and obsolescence to the gross value of inventory. Cost is determined using the first-in, first-out or weighted-average cost methods for finished goods and work-in-process. Supplies and consumables consist principally of products used in the services provided to our customers. The components of inventory balances are as follows (in thousands): December 31, 2021 December 31, 2020 Finished goods $ 26,187 $ 35,074 Raw materials 9,753 5,139 Work-in-process 4,253 2,994 Supplies and consumables 20,410 33,820 Total $ 60,603 $ 77,027 |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are stated at cost, except for assets for which reduction in value is recorded during the period and assets acquired using purchase accounting, which are recorded at fair value as of the date of acquisition. Depreciation is computed using the straight-line method over the estimated useful lives of the related assets as follows: Machinery and equipment 3 - 12 years Buildings, improvements and leasehold improvements 10 - 30 years Automobiles, trucks, tractors and trailers 4 - 7 years Furniture and fixtures 3 - 10 years As part of the adoption of fresh start accounting and effective upon emergence from bankruptcy, certain fully depreciated assets were assigned a new remaining useful life of less than 36 months. Prior to emergence from bankruptcy, we recognized gains/losses on sales of assets within general and administrative expenses. Gains/losses on sales of assets are now recognized within other expenses as a component of operating income. In connection with changes in estimates of our decommissioning liability for our oil and gas property and related notes receivable as of December 31, 2021, we established an asset retirement cost (“ARC”) of $ 24.2 million which will be depreciated over the estimated life of the oil and gas reserves. See further discussion of our decommissioning liability and notes receivable below. |
Reduction In Value Of Long-Lived Assets | Reduction in Value of Long-Lived Assets We review long-lived assets, such as property, plant and equipment and purchased intangibles subject to amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount of any such asset may not be recoverable. The carrying amount of an asset is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. We record impairment losses on long-lived assets to be held and used in operations when the fair value of those assets is less than their respective carrying amount. Impairment losses are recorded in the amount by which the carrying amount of such assets exceeds the fair value. Fair value is measured, in part, by the estimated cash flows to be generated by those assets. Our cash flow estimates are based upon, among other things, historical results adjusted to reflect our best estimate of future market rates, utilization levels and operating performance. Our estimates of cash flows may differ from actual cash flows due to, among other things, changes in economic conditions or changes in an asset’s operating performance. Assets are generally grouped by subsidiary or division for the impairment testing, which represent the lowest level of identifiable cash flows. Assets held for sale are reported at the lower of the carrying amount or fair value less estimated costs to sell. Our estimate of fair value represents our best estimate based on industry trends and reference to market transactions and is subject to variability. The oil and gas industry is cyclical and our estimates of the period over which future cash flows will be generated, as well as the predictability of these cash flows, can have a significant impact on the carrying value of these assets and, in periods of prolonged down cycles, may result in impairment charges. During 2020 and 2019, we recorded $ 23.8 million and $ 9.3 million, respectively, in connection with the reduction in value of our long-lived assets. The reduction in value of assets was related to long-lived assets primarily in our Well Services segment. Prior to emergence from bankruptcy, we recognized the reduction in value assets separately on the consolidated statement of operations. Reduction in value of assets are now recognized within other expenses as a component of operating income. The bankruptcy filings required an assessment whether the carrying amounts of our long-lived assets would be recoverable. Management’s evaluation at the Emergence Date indicated that no additional impairment was necessary as a direct result of the bankruptcy filings. |
Other Expenses | Other Expenses Other expenses during the Successor Period were $ 16.7 million. Other expenses comprised $ 13.1 million related to our Wells Services segment, which includes approximately $ 11.7 million from exit activities related to SES Energy Services India Pvt. Ltd, and $ 3.6 million related to our Rentals segment. Other expenses primarily relate to charges recorded as part of our strategic disposal of low margin assets in line with our Transformation Project strategy and includes gains/losses on asset sales, as well as impairments primarily related to long-lived assets. |
Goodwill | Goodwill As part of our emergence from the Chapter 11 Cases, we adopted fresh start accounting and began reporting as a new accounting entity as of the Emergence Date. Due to the fair value measurement of our assets and liabilities as required by ASC 852, we determined that we retained no goodwill balance based on the assignment of reorganization value to our identifiable assets and liabilities. As noted in Note 3 – Fresh Start Accounting, our goodwill balance of $ 138.9 million was eliminated as of the Emergence Date. During the Predecessor Period and the years ended December 31, 2020 and 2019, we did not recognize any reduction in value of goodwill. Fluctuations in the carrying amount of goodwill from period to period were from the impacts of foreign currency and were not material for any period. |
Notes Receivable | Notes Receivable We have decommissioning liabilities related to the acquisition of a single oil and gas property. Our n otes receivable consist of a commitment from the seller of the oil and gas property for costs associated with the abandonment of the property. Pursuant to an agreement with the seller, we invoice the seller an agreed upon amount at the completion of certain decommissioning activities. The gross amount of the seller’s obligation to us totals $ 115.0 million and is recorded at its present value. In December 2021, it was determined that the interest rate applied to calculate the fair value of our notes receivable was not revised to reflect the appropriate credit adjusted risk-free rate at the time of our emergence from bankruptcy, and in December 2021, we recorded an increase in the carrying value of our notes receivable of approximately $ 4.8 million to correct this immaterial misstatement. Additionally, in December 2021, we revised our estimates relating to the timing of decommissioning work on our oil and gas property, resulting in a three year extension of the expected completion of the platform decommissioning to an estimated date of 2031. This change in estimate resulted in a $ 20.6 million reduction of the carrying value of the note receivable, which totaled $ 60.6 million as of December 31, 2021. The discount on the notes receivable, which is currently based on an effective interest rate of 6.6 %, is amortized to interest income over the expected timing of the completion of the decommissioning activities. Interest receivable is considered paid in kind and is compounded into the carrying amount of the note. During the Successor Period, the Predecessor Period and the years ended December 31, 2020 and 2019, we recorded non-cash interest income of $ 3.9 million, $ 0.4 million, $ 4.5 million and $ 4.2 million related to our notes receivable, which is included in other reconciling items, net in the Consolidated Statements of Cash Flows. |
Restricted Cash | Restricted Cash Restricted cash as of December 31, 2021 includes approximately $ 76.9 million held in a collateral account for the payment and performance of secured obligations including the reimbursement of letters of credit. Additionally, we hold approximately $ 2.7 million in escrow to secure the future decommissioning obligations related to the oil and gas property. |
Decommissioning Liabilities | Decommissioning Liabilities We account for decommissioning liabilities under ASC 410 – Asset Retirement Obligations. Our decommissioning liabilities are associated with our oil and gas property and include liabilities related to the plugging of wells, removal of the related platform and equipment and site restoration. We review the adequacy of our decommissioning liabilities whenever indicators suggest that the estimated cash flows and/or relating timing needed to satisfy the liability have changed materially. In December 2021, we revised our estimates relating to the timing and the cost of decommissioning work on our oil and gas property, which included a three year extension of the completion of the platform decommissioning to an estimated date of 2031. This change in estimate resulted in an increase in the present value of decommissioning liabilities of $ 3.6 million as of December 31, 2021. Additionally, during the revision of the decommissioning estimates as of December 31, 2021, it was determined that certain wells, primarily conductor and methanol wells, were historically excluded from the estimate of the decommissioning liability, including as part of our fresh start accounting. We also identified an error in the accretion calculation for the successor period. At December 31, 2021, we recognized a combined $ 11.0 million increase in the decommissioning liability and recorded incremental accretion of $ 3.1 million to correct these immaterial misstatements. In applying ASC 852, the additional decommissioning liability as of fresh start led to an increase to intangible assets, specifically trademarks of $3.1 million after considering the effects of the notes receivable adjustment, that was also recognized at December 31, 2021. We had decommissioning liabilities of $ 190.4 million as of December 31, 2021. We had decommissioning liabilities of $ 142.7 million as of December 31, 2020, including decommissioning liabilities included within liabilities held for sale. In connection with fresh start accounting, we now present all decommissioning liabilities separately on the balance sheet. Previously, certain decommissioning liabilities were included as a component of other long-term liabilities. During the Successor Period, the Predecessor Period and the years ended December 31, 2020 and 2019, we recognized $ 9.3 million, $ 0.5 million, $ 6.5 million and $ 6.1 million of accretion expense associated with our decommissioning liabilities. |
Income Taxes | Income Taxes We use the asset and liability method of accounting for income taxes. This method takes into account the differences between financial statement treatment and tax treatment of certain transactions. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Our deferred tax calculation requires us to make certain estimates about our future operations. Changes in state, federal and foreign tax laws, as well as changes in our financial condition or the carrying value of existing assets and liabilities, could affect these estimates. The effect of a change in tax rates is recognized as income or expense in the period that the rate is enacted. We recognize DTAs to the extent that we believe that these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, carryback potential if permitted under the tax law, and results of recent operations. If we determine that we would be able to realize our DTAs in the future in excess of their net recorded amount, we would make an adjustment to the DTA valuation allowance, which would reduce the provision for income taxes. We record uncertain tax positions in accordance with ASC 740 on the basis of a two-step process in which (1) we determine whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. |
Earnings Per Share | Earnings per Share Our common equity consists of Class A Common Stock, par value $ 0.01 per share (the “Class A Common Stock”) and Class B common stock, par value $ 0.01 per share (“Class B Common Stock”). See Note 2 - Emergence from Voluntary Reorganization under Chapter 11 and Note 9 - Stock-Based Compensation Plans for further discussion of our Class A and Class B Common Stock. Basic earnings per share is computed by dividing income available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed in the same manner as basic earnings per share except that the denominator is increased to include the number of additional shares of common stock that could have been outstanding assuming the exercise of stock options and conversion of restricted stock units. During the Successor Period and the years ended December 31, 2020 and 2019, we incurred losses from continuing operations; as such, the impact of any incremental shares would be anti-dilutive. |
Foreign Currency | Foreign Currency As part of the adoption of fresh start accounting and effective upon emergence from bankruptcy, we have adopted new presentations for certain items. The functional currency of certain international subsidiaries changed from the local currency to U.S. dollars. Management considered the economic factors outlined in FASB ASC Topic No. 830 - Foreign Currency Matters in the determination of the functional currency. Management concluded that the predominance of factors support the use of the Successor's parent currency as the functional currency which resulted in a change in functional currency to U.S. dollars for all international subsidiaries. Financial statements of our international subsidiaries are remeasured into U.S. dollars using the historical exchange rate for affected the long-term assets and liabilities and the balance sheet date exchange rate for affected current assets and liabilities. An average exchange rate is used for each period for revenues and expenses. These transaction gains and losses, as well as any other transactions in a currency other than the functional currency, are included in other income (expense) in the consolidated statements of operations in the period in which the currency exchange rates change. During the Successor Period, the Predecessor Period and the years ended December 31, 2020 and 2019, we recorded foreign currency losses of $ 8.8 million, $ 2.1 million, $ 8.9 million and $ 0.8 million, respectively. |
Stock-Based Compensation | Stock-Based Compensation We record compensation costs relating to share-based payment transactions and include such costs in general and administrative expenses in the consolidated statements of operations. The cost is measured at the grant date, based on the estimated fair value of the award, and is recognized as an expense over the employee’s requisite service period (generally the vesting period of the equity award). |
Self-Insurance Reserves | Self-Insurance Reserves We are self-insured, through deductibles and retentions, up to certain levels for losses under our insurance programs. We accrue for these liabilities based on estimates of the ultimate cost of claims incurred as of the balance sheet date. We regularly review the estimates of asserted and unasserted claims and provide for losses through reserves. We obtain actuarial reviews to evaluate the reasonableness of internal estimates for losses related to workers’ compensation, auto liability and group medical on an annual basis. |
New Accounting Pronouncements | Recently Issued Accounting Standards In June 2016, the FASB issued ASU 2016-13 - Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) . This update improves financial reporting by requiring earlier recognition of credit losses on financing receivables and other financial assets in scope by using the Current Expected Credit Losses (the “CECL”) model. The CECL model utilizes a lifetime expected credit loss measurement objective for the recognition of credit losses on financial instruments at the time the asset is originated or acquired. This update will apply to receivables arising from revenue transactions. The new standard is effective for us beginning on January 1, 2023. We have concluded that the adoption of ASU 2016-13 will not have a material impact on our consolidated financial statements. In December 2019, the FASB issued ASU 2019-12 - Simplifying the Accounting for Income Taxes (“ASU 2019-12”). This update simplifies the accounting for income taxes by removing the following exceptions: (1) the incremental approach for intra-period tax allocation when there is a loss from continuing operations and income or a gain from other items; (2) the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (3) the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (4) the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. The update also (1) requires an entity to recognize a franchise tax that is partially based on income as an income-based tax and account for any incremental amount incurred as a non-income-based tax; (2) requires an entity to evaluate when a step up in the tax basis of goodwill should be considered part of the business combination in which the book goodwill was originally recognized and when it should be considered a separate transaction; (3) specifies that an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements; (4) requires an entity to reflect the effect of an enacted change in tax laws or rates in the annual effective tax rate computation in the interim period that includes the enactment date; and (5) makes minor codification improvements for income taxes related to employee stock ownership plans. Our adoption of ASU 2019-12 as of January 1, 2021 has not had a material impact on our financial position, results of operations or cash flows. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform — Facilitation of the Effects of Reference Rate Reform on Financial Reporting (Topic 848). This update provides an optional expedient and exceptions for applying GAAP to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. In response to the concerns about structural risks of interbank offered rates (“IBORs”) and, particularly, the risk of cessation of the London Interbank Offered Rate (“LIBOR”), regulators in several jurisdictions around the world have undertaken reference rate reform initiatives to identify alternative reference rates that are more observable or transaction-based and less susceptible to manipulation. The ASU provides companies with optional guidance to ease the potential accounting burden associated with transitioning away from reference rates that are expected to be discontinued. In January 2021, the FASB issued ASU No. 2021-01, which clarifies that certain provisions in Topic 848, if elected by an entity, apply to derivative instruments that use an interest rate for margining, discounting, or contract price alignment that is modified as a result of reference rate reform. The amendments in these ASUs are effective for all entities as of March 12, 2020 through December 31, 2022. As our credit agreement allows for alternative benchmark rates to be applied to any borrowings, we do not expect the cessation of LIBOR to have a material impact on our financial position, results of operations, cash flows or disclosures. |
Subsequent Events | Subsequent Events We and stockholders holding a majority of our Class A common stock entered into the Fifth Amendment to the Stockholders Agreement, effective as of February 9, 2022, which provides that if an officer or other authorized agent has been granted authority to approve a matter or take other action pursuant to a board-approved delegation of authority matrix, prior approval of the board will be deemed obtained without any further approval from the board. On February 10, 2022, we entered into a Third Amendment to Credit Agreement to, among other things, provide us with additional flexibility around making asset sales. Specifically, the Credit Agreement was amended to refresh the amount of properties sold, transferred or otherwise disposed of pursuant to the “Substantial Portion” exception to $ 0 as of January 31, 2022. The “Substantial Portion” exception allows us to sell, transfer or otherwise dispose of properties so long as the aggregate value of all such properties sold, transferred or otherwise disposed of do not exceed (a) 10 % of our gross book value of the assets during the four fiscal year quarter period ending with the fiscal quarter in which such determination is made, or (b) 10 % of our consolidated net sales or net income during the four fiscal year quarter period ending with the fiscal quarter in which such determination is made. The Credit Agreement was also amended to add a new asset sale exception that allows us to make additional asset sales up to $ 25.0 million so long as (a) liquidity is greater than $ 100.0 million, (ii) unused availability under the Credit Agreement is greater than $ 25.0 million, and (iii) we receive 100 % cash consideration to the extent that the property being sold is otherwise included in the calculation of the borrowing base under the Credit Agreement. On March 8, 2022, we entered into a Fourth Amendment and Waiver to Credit Agreement to, among other things, permit us to file SES Energy Services India Pvt. Ltd, a private limited company of India and an indirect subsidiary, for bankruptcy under the Insolvency and Bankruptcy Code of India without triggering a default under the Credit Agreement. |
Summary Of Significant Accoun_3
Summary Of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Summary Of Significant Accounting Policies [Abstract] | |
Schedule Of Inventory | December 31, 2021 December 31, 2020 Finished goods $ 26,187 $ 35,074 Raw materials 9,753 5,139 Work-in-process 4,253 2,994 Supplies and consumables 20,410 33,820 Total $ 60,603 $ 77,027 |
Estimated Useful Lives Of The Related Assets | Depreciation is computed using the straight-line method over the estimated useful lives of the related assets as follows: Machinery and equipment 3 - 12 years Buildings, improvements and leasehold improvements 10 - 30 years Automobiles, trucks, tractors and trailers 4 - 7 years Furniture and fixtures 3 - 10 years |
Schedule of Intangible Assets | Intangible assets, net as of December 31, 2021 and 2020 consist of the following (in thousands): Successor Predecessor December 31, 2021 December 31, 2020 Estimated Gross Accumulated Net Gross Accumulated Net Useful Lives Amount Amortization Balance Amount Amortization Balance Trademarks 10 $ 7,294 $ ( 655 ) $ 6,639 $ 4,744 $ ( 4,263 ) $ 481 Patents 10 2,120 ( 195 ) 1,925 - - - Customer Relationships 17 - - - 14,592 ( 10,077 ) 4,515 Non-Compete Agreements 3 - - - 3,478 ( 3,478 ) - Total $ 9,414 $ ( 850 ) $ 8,564 $ 22,814 $ ( 17,818 ) $ 4,996 |
Fresh Start Accounting (Tables)
Fresh Start Accounting (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fresh Start Accounting [Abstract] | |
Reorganization Of Assets | Emergence Date Selected Enterprise Value within Bankruptcy Court Range $ 729,918 Plus: Cash and cash equivalents 172,768 Plus: Liabilities excluding the decommissioning liabilities 380,496 Plus: Decommissioning liabilities, including decommissioning liabilities classified as held for sale 173,622 Reorganization Value $ 1,456,804 |
Fresh Start | The consolidated balance sheet as of the Emergence Date was as follows (in thousands): As of February 2, 2021 Reorganization Fresh Start Predecessor Adjustments Adjustments Successor ASSETS Current assets: Cash and cash equivalents $ 194,671 $ ( 21,903 ) (1) $ - $ 172,768 Restricted cash - current - 16,751 (2) - 16,751 Accounts receivable, net 153,518 11 (3) - 153,529 Income taxes receivable 9,146 - ( 170 ) (16) 8,976 Prepaid expenses 31,630 - - 31,630 Inventory and other current assets 90,073 - 11,067 (17) 101,140 Assets held for sale 240,761 - ( 20,402 ) (18) 220,359 Total current assets 719,799 ( 5,141 ) ( 9,505 ) 705,153 Property, plant and equipment, net 401,263 - 139,587 (19) 540,850 Operating lease right-of-use assets 32,488 - 1,430 (20) 33,918 Goodwill 138,934 - ( 138,934 ) (21) - Notes receivable 72,484 - - 72,484 Restricted cash - non-current 80,179 - - 80,179 Intangible and other long-term assets, net 52,264 ( 10,080 ) (4) ( 17,964 ) (22) 24,220 Total assets $ 1,497,411 $ ( 15,221 ) $ ( 25,386 ) $ 1,456,804 LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) Current liabilities: Accounts payable $ 51,816 $ ( 700 ) (5) $ - $ 51,116 Accrued expenses 126,768 9,042 (6) 1,406 (23) 137,216 Liabilities held for sale 39,642 1,614 (7) ( 3,992 ) (24) 37,264 Total current liabilities 218,226 9,956 ( 2,586 ) 225,596 Decommissioning liabilities 134,934 - 34,581 (25) 169,515 Operating lease liabilities 23,584 - ( 29 ) (26) 23,555 Deferred income taxes 4,853 3,100 (8) 51,569 (27) 59,522 Other long-term liabilities 121,756 - ( 45,826 ) (28) 75,930 Total non-current liabilities 285,127 3,100 40,295 328,522 Liabilities subject to compromise 1,572,772 ( 1,572,772 ) (9) - - Total liabilities 2,076,125 ( 1,559,716 ) 37,709 554,118 Stockholders’ equity (deficit): Predecessor common stock $0.001 par value 16 ( 16 ) (10) - - Predecessor Additional paid-in capital 2,757,824 ( 2,757,824 ) (11) - - Predecessor Treasury stock at cost ( 4,290 ) 4,290 (12) - - Successor Class A common stock $0.001 par value - 200 (13) - 200 Successor Additional paid-in capital - 902,486 (14) - 902,486 Accumulated other comprehensive loss, net ( 67,532 ) - 67,532 (29) - Accumulated deficit ( 3,264,732 ) 3,395,359 (15) ( 130,627 ) (30) - Total stockholders’ equity (deficit) ( 578,714 ) 1,544,495 ( 63,095 ) 902,686 Total liabilities and stockholders’ equity (deficit) $ 1,497,411 $ ( 15,221 ) $ ( 25,386 ) $ 1,456,804 Reorganization Adjustments (in thousands) (1) Changes in cash and cash equivalents included the following: Payment of debtor in possession financing fees $ ( 183 ) Payment of professional fees at the Emergence Date ( 2,649 ) Payment of lease rejection damages classified as liabilities subject to compromise ( 400 ) Transfers from cash to restricted cash for Professional Fees Escrow and General ( 16,751 ) Payment of debt issuance costs for the Credit Facility ( 1,920 ) Net change in cash and cash equivalents $ ( 21,903 ) (2) Changes to restricted cash - current included the following: Transfer from cash for Professional Fee Escrow $ 16,626 Transfer from cash for General Unsecured Creditors Escrow 125 Net change in restricted cash - current $ 16,751 (3) Changes of $ 11 to accounts receivable reflect a receivable from the solicitor from the Chapter 11 Cases for excess proceeds received during the Rights Offering. (4) Changes to intangibles and other long-term assets included the following: Write-off of deferred financing costs related to the Delayed-Draw Term Loan $ ( 12,000 ) Capitalization of debt issuance costs associated with the Credit Facility 1,920 Net change in intangibles and other long-term assets $ ( 10,080 ) (5) Changes to accounts payable included the following: Payment of professional fees at the Emergence Date $ ( 2,649 ) Professional fees recognized and payable at the Emergence Date 1,949 Net change in accounts payable $ ( 700 ) (6) Changes in accrued liabilities include the following: Payment of debtor in possession financing fees $ ( 183 ) Accrual of professional fees 6,500 Accrual for transfer taxes 1,900 Reinstatement of lease rejection liabilities to be settled post-emergence 700 Accrual of general unsecured claims against parent 125 Net change in accrued liabilities $ 9,042 (7) Changes in liabilities held for sale reflect the fair value reinstatement of rejected lease claims. (8) Changes in deferred income taxes are due to reorganization adjustments. (9) The resulting gain on liabilities subject to compromise was determined as follows: Prepetition 7.125 % and 7.750 % notes including accrued interest and unpaid interest $ 1,335,794 Rejected lease liability claims 4,956 Allowed Class 6 General Unsecured Claims against Parent 232,022 Liabilities subject to compromise settled in accordance with the Plan 1,572,772 Reinstatement of accrued liabilities for lease rejection claims ( 700 ) Reinstatement of liabilities held for sale for lease rejection claims ( 1,614 ) Payment to settle lease rejection claims ( 400 ) Cash proceeds from rights offering 963 Cash payout provided to cash opt-in noteholders ( 952 ) Cash Pool to settle GUCs against Parent ( 125 ) Issuance of common stock to prepetition noteholders, incremental to rights ( 193 ) Additional paid-in capital attributable to successor common stock issuance ( 869,311 ) Successor common stock issued to cash opt-out noteholders in the rights ( 7 ) Additional paid-in capital attributable to rights offering shares ( 33,175 ) Gain on settlement of liabilities subject to compromise $ 667,258 The Equity Rights Offering generated $ 963 million in proceeds used to settle $ 952 million in Cash Opt-in Noteholder claims. The Equity Rights Offering shares were offered at a price of $ 1.31 /share to Cash Opt-out Noteholders. As such, the Equity Rights Offering shares generated the $ 963 million in cash proceeds from the share issuance as well as an implied discount to the Cash Opt-in claimants of $ 32.2 million, recorded as a loss on share issuance in reorganization items, net. The loss on the Equity Rights Offering share issuance is offset by the gain on share issuance of $ 32.2 million implied by the issuance of shares to settle Cash Opt-out Noteholder claims at a value of $ 46.82 /share compared to the reorganization value implied share price of $ 45.14 /share. (10) Changes of $ 16 in Predecessor common stock reflect the cancellation of the Predecessor’s common stock. (11) Changes in Predecessor additional paid-in capital (APIC) include the following: Extinguishment of APIC related to Predecessor's outstanding equity interests $ ( 2,758,812 ) Extinguishment of RSUs for the Predecessor's incentive plan 988 Net change in Predecessor's additional paid-in capital $ ( 2,757,824 ) (12) Reflects $4.3 million cancellation of Predecessor treasury stock held at cost. (13) Changes in the Successor’s Class A common stock include the following: Issuance of successor Class A common stock to prepetition noteholders, $ 193 Successor Class A common stock issued to cash opt-out noteholders in 7 Net change in Successor Class A common stock $ 200 (14) Changes in Successor additional paid-in capital include the following: Additional paid-in capital (Successor Class A common stock) $ 869,311 Additional paid-in capital (rights offering shares) 33,175 Net change in Successor additional paid-in capital $ 902,486 (15) Changes to retained earnings (deficit) include the following: Gain on settlement of liabilities subject to compromise $ 667,258 Accrual for transfer tax ( 1,900 ) Extinguishment of RSUs for Predecessor incentive plan ( 988 ) Adjustment to net deferred tax liability taken to tax expense ( 3,100 ) Professional fees earned and payable as a result of consummation of the Plan of Reorganization ( 8,449 ) Write-off of deferred financing costs related to the Delayed-Draw Term Loan ( 12,000 ) Extinguishment of Predecessor equity (par value, APIC, and treasury stock) 2,754,538 Net change in retained earnings (deficit) $ 3,395,359 Fresh Start Adjustments (in thousands) (16) Changes of $ 170 in income tax receivable reflects the decrease to current deferred tax assets due to the adoption of fresh start accounting. (17) Changes in inventory and other current assets included the following: Fair value adjustment to inventory - Global Segment $ 12,137 Fair value adjustment to other current assets ( 1,070 ) Net change in inventory and other current assets due to the adoption of fresh $ 11,067 (18) Changes of $ 20.4 million in assets held for sale primarily reflect a fair value adjustment of $ 16.5 million which decreased the value of real property and a $ 3.5 million decrease to Predecessor decommissioning balances due to the adoption of fresh start accounting. (19) Changes of $ 139.6 million to property, plant and equipment reflect the fair value adjustment. Successor Fair Predecessor Book Land, Buildings, and Associated Improvements $ 117,341 $ 205,237 Machinery and Equipment 290,593 1,103,501 Rental Services Equipment 92,861 617,762 Other Depreciable or Depletable Assets 35,143 46,403 Construction in Progress 4,912 4,912 540,850 1,977,815 Less: Accumulated Depreciation and Depletion - ( 1,576,552 ) Property, Plant and Equipment, net $ 540,850 $ 401,263 (20) Reflects $ 1.4 million due to the fair value adjustment increasing operating lease right-of-use assets. (21) Changes of $ 138.9 million to goodwill reflect the derecognition of the Predecessor’s goodwill due to the adoption of fresh start accounting. (22) Reduction of other long-term assets was due to the adoption of fresh start accounting and include $ 17.1 million in decommissioning liabilities related to Predecessor long-term assets fair valued and presented in the Successor’s property, plant, and equipment. The fair value changes of $ 1.4 million to intangibles assets are reflected in the table below: Successor Fair Value Predecessor Net Book Value Customer Relationships $ - $ 4,901 Trademarks 4,166 11 Patents 2,120 - Intangible Assets, Net $ 6,286 $ 4,912 (23) Changes of $ 1.4 million to accrued expenses reflect the fair value adjustment increasing the current portion of operating lease liabilities. (24) Reflects the $ 4.0 million fair value adjustment decreasing decommissioning liabilities and operating lease liabilities related to assets held for sale. (25) Reflects the $ 34.6 million fair value adjustment increasing the non-current portion of decommissioning liabilities. (26) Reflects the fair value adjustment decreasing the non-current portion of operating lease liabilities. (27) Reflects the $ 70.4 million increase of deferred tax liabilities netted against an $ 18.8 million increase in realizable deferred tax assets due to the adoption of fresh start accounting. (28) Changes of $ 45.8 million in other long-term liabilities reflects the reclassification of amounts associated with the Predecessor’s decommissioning liability balances that were fair valued and presented in the Successor’s decommissioning liabilities, as well as an increase in FIN48 liabilities of $ 1.5 million. (29) Changes to accumulated other comprehensive loss reflect the elimination of Predecessor currency translation adjustment balances due to the adoption of fresh start accounting on Predecessor currency translation adjustment balances. (30) Changes reflect the cumulative impact of fresh start accounting adjustments discussed above and the elimination of the Predecessor’s accumulated other comprehensive loss and the Predecessor’s accumulated deficit. Fresh start valuation adjustments $ ( 77,376 ) Adjustment to net deferred tax liability taken to tax expense ( 53,251 ) Net impact to accumulated other comprehensive loss and accumulated deficit $ ( 130,627 ) |
Reorganization | Predecessor For the Period Gain on settlement of liabilities subject to compromise $ 667,258 Allowed claim adjustment for Class 6 claims ( 232,022 ) Fresh Start valuation adjustments (1) ( 77,376 ) Professional fees ( 16,005 ) Predecessor lease liabilities rejected per the Plan 13,347 Write off of deferred financing costs related to the Delayed-Draw Term Loan ( 12,000 ) Lease rejection damages ( 4,956 ) Extinguishment of RSU's for the Predecessor's incentive plan ( 988 ) Other items ( 1,698 ) Total reorganization items, net $ 335,560 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Revenue by Geography [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation Of Revenues | The following table presents revenues by segment disaggregated by geography (in thousands): Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 U.S. land Rentals $ 87,432 $ 4,917 $ 78,537 $ 178,345 Well Services 20,133 3,379 26,924 66,643 Total U.S. land 107,565 8,296 105,461 244,988 U.S. offshore Rentals 103,646 8,196 129,021 143,973 Well Services 93,412 7,371 104,559 196,592 Total U.S. offshore 197,058 15,567 233,580 340,565 International Rentals 77,617 5,226 90,277 108,124 Well Services 266,514 16,839 237,931 278,375 Total International 344,131 22,065 328,208 386,499 Total Revenues $ 648,754 $ 45,928 $ 667,249 $ 972,052 |
Revenue by Type [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation Of Revenues | The following table presents revenues by segment disaggregated by type (in thousands): Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Services Rentals $ 33,629 $ 2,005 $ 45,226 $ 69,958 Well Services 272,070 17,229 254,157 412,389 Total Services 305,699 19,234 299,383 482,347 Rentals Rentals 197,050 14,082 215,163 310,844 Well Services 11,901 352 10,200 15,282 Total Rentals 208,951 14,434 225,363 326,126 Product Sales Rentals 38,016 2,252 37,446 49,640 Well Services 96,088 10,008 105,057 113,939 Total Product Sales 134,104 12,260 142,503 163,579 Total Revenues $ 648,754 $ 45,928 $ 667,249 $ 972,052 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Operating Lease Expense | Our operating leases are primarily for real estate, machinery and equipment, and vehicles. The terms and conditions for these leases vary by the type of underlying asset. Total operating lease expense was as follows (in thousands): Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Long-term fixed lease expense $ 12,579 $ 1,824 $ 18,454 $ 22,882 Long-term variable lease expense - 19 10 54 Short-term lease expense 10,165 789 4,322 3,205 Total operating lease expense $ 22,744 $ 2,632 $ 22,786 $ 26,141 Operating leases were as follows (in thousands): Successor Predecessor December 31, 2021 December 31, 2020 Operating lease ROU assets $ 25,154 $ 33,317 Accrued expenses $ 5,650 $ 10,698 Operating lease liabilities 19,193 29,464 Total operating lease liabilities $ 24,843 $ 40,162 Weighted average remaining lease term 15 years 11 years Weighted average discount rate 5.34 % 6.35 % Cash paid for operating leases $ 13,591 $ 24,657 ROU assets obtained in exchange for lease obligations $ 2,820 $ 5,259 |
Maturities Of Operating Lease Liabilities | Maturities of operating lease liabilities at December 31, 2021 are as follows (in thousands): 2022 $ 8,002 2023 5,735 2024 3,611 2025 2,905 2026 1,854 Thereafter 16,628 Total lease payments 38,735 Less imputed interest ( 13,892 ) Total $ 24,843 |
Intangibles (Tables)
Intangibles (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | Intangible assets, net as of December 31, 2021 and 2020 consist of the following (in thousands): Successor Predecessor December 31, 2021 December 31, 2020 Estimated Gross Accumulated Net Gross Accumulated Net Useful Lives Amount Amortization Balance Amount Amortization Balance Trademarks 10 $ 7,294 $ ( 655 ) $ 6,639 $ 4,744 $ ( 4,263 ) $ 481 Patents 10 2,120 ( 195 ) 1,925 - - - Customer Relationships 17 - - - 14,592 ( 10,077 ) 4,515 Non-Compete Agreements 3 - - - 3,478 ( 3,478 ) - Total $ 9,414 $ ( 850 ) $ 8,564 $ 22,814 $ ( 17,818 ) $ 4,996 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant And Equipment [Abstract] | |
Summary Of Property, Plant And Equipment | A summary of property, plant and equipment, net is as follows (in thousands): Successor Predecessor December 31, 2021 December 31, 2020 Machinery and equipment $ 360,353 $ 1,727,454 Buildings, improvements and leasehold improvements 75,374 171,635 Automobiles, trucks, tractors and trailers 6,450 11,742 Furniture and fixtures 19,668 31,407 Construction-in-progress 6,700 4,793 Land 28,671 33,394 Oil and gas producing assets 44,700 15,117 Total 541,916 1,995,542 Accumulated depreciation and depletion ( 185,642 ) ( 1,587,435 ) Property, plant and equipment, net $ 356,274 $ 408,107 |
Stock-Based Compensation Plans
Stock-Based Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Compensation Expense And Tax Benefits | Total stock-based compensation expense and the associated tax benefits are as follows (in thousands): Predecessor Year ended December 31, For the Period 2020 2019 Stock options $ - $ 94 $ 2,743 Restricted stock units 1,170 4,144 15,716 Cash restricted stock units - ( 56 ) 298 Cash-based PSUs 78 ( 1,554 ) 935 Total compensation expense 1,248 2,628 19,692 Related income taxes ( 60 ) ( 610 ) ( 4,569 ) Total compensation expense, net of income taxes $ 1,188 $ 2,018 $ 15,123 |
Restricted Stock Grants | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Compensation Expense And Tax Benefits | Total stock-based compensation expense and the associated tax benefits during the Successor Period are as follows (in thousands): Successor For the Period Restricted stock awards $ 2,071 Restricted stock units 639 Cash-based PSUs (1) ( 1,268 ) Total compensation expense 1,442 Related income taxes ( 335 ) Total compensation expense, net of income taxes $ 1,107 (1) The PSU's related to the performance period ended December 31, 2021 were canceled due to not achieving the required performance. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Taxes [Abstract] | |
Schedule Of Income Tax Provision | The income tax provision is as follows: Successor Predecessor In thousands: Period Period For the Year Ended December 31, 2020 For the Year Ended December 31, 2019 Current income tax expense/(benefit) Federal $ ( 1,106 ) $ - $ ( 36,506 ) $ - State ( 307 ) - 635 546 Foreign 6,220 3,314 8,497 ( 3,359 ) Total current income tax expense/(benefit) 4,807 3,314 ( 27,374 ) ( 2,813 ) Deferred income tax expense/(benefit) Federal ( 42,904 ) 55,015 4,593 10,175 State 2,633 ( 182 ) ( 638 ) 1,623 Foreign 2,166 1,856 ( 3,469 ) ( 6,252 ) Total deferred income tax expense/(benefit) ( 38,105 ) 56,689 486 5,546 Total income tax expense/(benefit) $ ( 33,298 ) $ 60,003 $ ( 26,888 ) $ 2,733 |
Schedule Of Effective Income Tax Rate Reconciliation | A reconciliation of the U.S. statutory federal tax rate to the consolidated effective tax rate is as follows: Successor Predecessor In thousands: Period Period For the Year Ended December 31, 2020 For the Year Ended December 31, 2019 Computed expected tax expense/(benefit) $ ( 32,635 ) $ 69,125 $ ( 53,431 ) $ ( 18,380 ) State and foreign income taxes ( 17,893 ) 6,217 5,026 ( 7,444 ) Valuation allowance - ( 46,208 ) 19,024 24,638 Gain on Settlement of Liabilities Subject to Compromise - ( 89,905 ) - - Reduction in Deferred Tax Assets 19,154 87,316 - ( 233 ) Fresh Start Adjustments - 29,099 - - Other ( 1,924 ) 4,359 2,493 4,152 Total income tax expense/(benefit) $ ( 33,298 ) $ 60,003 $ ( 26,888 ) $ 2,733 |
Schedule Of Deferred Tax Assets and Liabilities | Significant components of our deferred tax assets and liabilities are as follows: Successor Predecessor In thousands: December 31, 2021 December 31, 2020 Deferred tax assets: Allowance for doubtful accounts $ 1,046 $ 1,713 Operating loss and tax credit carryforwards 84,684 150,426 Compensation and employee benefits 8,832 27,625 Decommissioning liabilities 39,328 30,960 Operating leases 197 2,792 Other assets 30,749 34,578 Total gross deferred tax assets 164,836 248,094 Less: Valuation allowance ( 90,781 ) ( 139,106 ) Total deferred tax assets 74,055 108,988 Deferred tax liabilities: Property, plant and equipment 64,721 69,510 Notes receivable 17,812 12,977 Goodwill and other intangible assets ( 772 ) 23,920 Other liabilities 1,287 7,869 Total deferred tax liabilities 83,048 114,276 Net deferred tax liabilities $ 8,993 $ 5,288 |
Summary Of Activity In Unrecognized Tax Benefits | The activity in unrecognized tax benefits is as follows: Successor Predecessor In thousands: Period Period For the Year Ended December 31, 2020 For the Year Ended December 31, 2019 Unrecognized tax benefits at beginning of period $ 14,706 $ 13,206 $ 13,206 $ 30,558 Additions based on tax positions related to prior years 2,848 1,500 1,757 2,500 Reductions based on tax positions related to prior years ( 552 ) - - - Additions based on tax positions related to current year - - - - Reductions as a result of a lapse of the applicable statute of limitations - - ( 757 ) - Reductions relating to settlements with taxing authorities ( 2,029 ) - ( 1,000 ) ( 19,852 ) Unrecognized tax benefits at end of period $ 14,973 $ 14,706 $ 13,206 $ 13,206 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Segment Information [Abstract] | |
Schedule Of Segment Reporting Information | For the Period February 3, 2021 through December 31, 2021 (Successor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 268,695 $ 380,059 $ - $ 648,754 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 105,373 316,879 - 422,252 Depreciation, depletion, amortization and accretion 152,250 61,074 6,535 219,859 General and administrative expenses 24,812 46,780 45,983 117,575 Restructuring expenses - - 22,952 22,952 Other expenses 3,609 13,117 - 16,726 Income (loss) from operations ( 17,349 ) ( 57,791 ) ( 75,470 ) ( 150,610 ) Interest income (expense), net ( 7 ) 3,930 ( 1,592 ) 2,331 Other income (expense) 1,280 ( 14,407 ) 5,999 ( 7,128 ) Income (loss) from continuing operations before income taxes $ ( 16,076 ) $ ( 68,268 ) $ ( 71,063 ) $ ( 155,407 ) For the Period January 1, 2021 through February 2, 2021 (Predecessor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 18,339 $ 27,589 $ - $ 45,928 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 7,839 21,934 - 29,773 Depreciation, depletion, amortization and accretion 4,271 3,666 421 8,358 General and administrative expenses 2,027 4,111 4,914 11,052 Restructuring expenses - - 1,270 1,270 Income (loss) from operations 4,202 ( 2,122 ) ( 6,605 ) ( 4,525 ) Interest income (expense), net 10 356 ( 164 ) 202 Reorganization items, net ( 2,037 ) 31,816 305,781 335,560 Other income (expense) ( 399 ) ( 165 ) ( 1,541 ) ( 2,105 ) Income (loss) from continuing operations before income taxes $ 1,776 $ 29,885 $ 297,471 $ 329,132 For the year ended December 31, 2020 (Predecessor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 297,835 $ 369,414 $ - $ 667,249 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 109,902 298,229 - 408,131 Depreciation, depletion, amortization and accretion 63,072 48,929 3,770 115,771 General and administrative expenses 52,718 73,200 79,855 205,773 Restructuring expenses - - 47,055 47,055 Reduction in value of assets 754 21,038 1,983 23,775 Income (loss) from operations 71,389 ( 71,982 ) ( 132,663 ) ( 133,256 ) Interest income (expense), net - 4,539 ( 96,965 ) ( 92,426 ) Reorganization expenses - - ( 19,520 ) ( 19,520 ) Other income - - ( 9,229 ) ( 9,229 ) Income (loss) from continuing operations before income taxes $ 71,389 $ ( 67,443 ) $ ( 258,377 ) $ ( 254,431 ) For the year ended December 31, 2019 (Predecessor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 430,442 $ 541,610 $ - $ 972,052 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 168,608 389,657 - 558,265 Depreciation, depletion, amortization and accretion 86,395 55,670 4,726 146,791 General and administrative expenses 61,829 89,272 93,302 244,403 Reduction in value of assets - 9,293 - 9,293 Income (loss) from operations 113,610 ( 2,282 ) ( 98,028 ) 13,300 Interest income (expense), net - 4,172 ( 102,511 ) ( 98,339 ) Reorganization expenses - - - - Other income - - ( 2,484 ) ( 2,484 ) Income (loss) from continuing operations before income taxes $ 113,610 $ 1,890 $ ( 203,023 ) $ ( 87,523 ) |
Schedule Of Identifiable Assets | Well Corporate Consolidated Rentals Services and Other Total December 31, 2021 (Successor) $ 365,358 $ 715,738 $ 118,412 $ 1,199,508 December 31, 2020 (Predecessor) 572,776 554,178 374,125 1,501,079 |
Schedule Of Capital Expenditures, By Segment | Well Corporate Consolidated Rentals Services and Other Total For the period from February 3, 2021 through December 31, 2021 (Successor) $ 27,335 $ 6,817 $ - $ 34,152 For the period from January 1, 2021 through February 2, 2021 (Predecessor) 2,429 606 - 3,035 December 31, 2020 (Predecessor) 24,053 19,609 3,991 47,653 December 31, 2019 (Predecessor) 63,252 28,386 12,084 103,722 |
Schedule Of Revenues By Geographic Segment | Long-lived assets consist primarily of property, plant and equipment and are attributed to various countries based on the physical location of the asset at the end of a period. Revenues Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 United States $ 304,623 $ 23,863 $ 339,041 $ 585,553 Other countries 344,131 22,065 328,208 386,499 Total $ 648,754 $ 45,928 $ 667,249 $ 972,052 Long-Lived Assets Successor Predecessor December 31, 2021 December 31, 2020 United States $ 231,388 $ 253,114 Other countries 124,886 154,993 Total $ 356,274 $ 408,107 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Measurements [Abstract] | |
Summary Of Financial Assets And Liabilities Measured At Fair Value On Recurring Basis | Successor Fair Value at December 31, 2021 Level 1 Level 2 Level 3 Total Non-qualified deferred compensation assets and liabilities Intangible and other long-term assets, net $ - $ 15,896 $ - $ 15,896 Accounts payable - 2,250 - 2,250 Other long-term liabilities - 19,218 - 19,218 Investment in equity securities $ 25,735 $ - $ - $ 25,735 Predecessor Fair Value at December 31, 2020 Level 1 Level 2 Level 3 Total Non-qualified deferred compensation assets and liabilities Intangible and other long-term assets, net $ - $ 15,013 $ - $ 15,013 Accounts payable - 2,869 - 2,869 Other long-term liabilities - 20,697 - 20,697 Total debt $ 409,050 $ - $ - $ 409,050 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations [Abstract] | |
Components Of Income (Loss) From Discontinued Operations | Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Revenues $ 90,682 $ 10,719 $ 184,580 $ 734,768 Cost of services 85,191 10,398 180,408 639,065 Depreciation, depletion, amortization and accretion 31,502 2,141 31,022 124,746 General and administrative expenses 8,847 1,119 22,035 50,953 Other expenses 15,807 - - - Reduction in value of assets - - 117,335 84,470 Loss from operations ( 50,665 ) ( 2,939 ) ( 166,220 ) ( 164,466 ) Other income (expense) 188 2,485 ( 2,069 ) 27 Loss from discontinued operations before tax ( 50,477 ) ( 454 ) ( 168,289 ) ( 164,439 ) Income tax benefit (expense) 10,408 102 ( 398 ) ( 1,026 ) Loss from discontinued operations, net of income tax $ ( 40,069 ) $ ( 352 ) $ ( 168,687 ) $ ( 165,465 ) |
Assets And Liabilities Of Discontinued Operation | Successor Predecessor December 31, 2021 December 31, 2020 Current assets: Accounts receivable, net $ 7,469 $ 25,448 Prepaid expenses 26 4,881 Other current assets 447 12,076 Total current assets 7,942 42,405 Property, plant and equipment, net 29,328 179,380 Operating lease ROU assets 127 16,958 Other assets 131 3,361 Total assets held for sale $ 37,528 $ 242,104 Liabilities: Accounts payable $ 652 $ 2,830 Accrued expenses 4,268 11,153 Operating lease liabilities 72 21,987 Decommissioning liabilities - 8,311 Other liabilities 615 2,095 Total liabilities $ 5,607 $ 46,376 |
Schedule Of Cash Flows From Discontinued Operations | Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Cash flows from discontinued operating activities: Reduction in value of assets $ - $ - $ 117,335 $ 84,470 (Gain)/loss on sale of assets - ( 43 ) 286 12,727 Other expenses 15,807 - - - Depreciation, depletion, amortization and accretion 31,502 2,141 31,022 124,746 Cash flows from discontinued investing activities: Proceeds from sales of assets 88,332 486 22,224 23,140 Additionally, we have recast certain historical amounts in our consolidated balance sheet, statements of operations and in the following notes to these financial statements: Note 1 - Summary of Significant Account Policies , Note 3 - Fresh Start Accounting , Note 5 - Leases , Note 6 - Intangibles , Note 7 - Property, Plant and Equipment, Net , Note 10 - Income Taxes and Note 11 - Segment Information as it pertains to these discontinued operations. |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Successor Predecessor Year ended December 31, For the Period For the Period 2020 2019 Cash, cash equivalents, and restricted cash, beginning of period Cash and cash equivalents $ 172,768 $ 188,006 $ 272,624 $ 158,050 Restricted cash-current 16,751 - - - Restricted cash-non-current 80,179 80,178 2,764 5,698 Cash, cash equivalents, and restricted cash, beginning of period $ 269,698 $ 268,184 $ 275,388 $ 163,748 Cash, cash equivalents, and restricted cash, end of period Cash and cash equivalents $ 314,974 $ 172,768 $ 188,006 $ 272,624 Restricted cash-current - 16,751 - - Restricted cash-non-current 79,561 80,179 80,178 2,764 Cash, cash equivalents, and restricted cash, end of period $ 394,535 $ 269,698 $ 268,184 $ 275,388 |
Summary Of Significant Accoun_4
Summary Of Significant Accounting Policies (Narrative) (Details) | Feb. 10, 2022USD ($) | Jan. 31, 2022USD ($) | Feb. 02, 2021USD ($) | Dec. 31, 2021USD ($)$ / sharesshares | Dec. 31, 2021USD ($)$ / sharesshares | Nov. 30, 2021USD ($) | Dec. 31, 2021USD ($)Customer$ / sharesshares | Dec. 31, 2020USD ($)Customer$ / shares | Dec. 31, 2019USD ($)Customer |
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Restructuring expense | $ 1,270,000 | $ 22,952,000 | $ 47,055,000 | ||||||
Reorganization items, net | 335,560,000 | 0 | $ 335,600,000 | (19,520,000) | 0 | ||||
bad debt expense | 11,900,000 | 2,300,000 | |||||||
Payment term of obligation | 30 days | ||||||||
Other expenses | 0 | 16,726,000 | $ 16,700,000 | 0 | 0 | ||||
Liabilities subject to compromise | 1,572,772,000 | 1,335,794,000 | |||||||
Allowance for Doubtful Accounts, Premiums and Other Receivables | 2,200,000 | 2,200,000 | 2,200,000 | 23,000,000 | |||||
Decommissioning liability | 11,000,000 | 11,000,000 | 11,000,000 | ||||||
Decommissioning liabilities | 169,515,000 | $ 190,380,000 | $ 190,380,000 | 190,380,000 | 134,436,000 | ||||
Change in present value of decommissioning liabilities | $ 3,100,000 | ||||||||
Stated interest rate on unsecured senior notes | 7.125% | 7.125% | 7.125% | ||||||
bad debt recoveries | $ 4,900,000 | $ 200,000 | |||||||
Property, Plant and Equipment, useful life | 36 months | 36 months | |||||||
Increase in Interest Income Notes Receivable | $ 4,800,000 | ||||||||
Number of customers exceeding threshhold measurement | Customer | 0 | 0 | 0 | ||||||
Reduction in value of goodwill | $ 138,900,000 | ||||||||
Amount of notes receivable net | $ 115,000,000 | $ 115,000,000 | 115,000,000 | ||||||
Change in carrying value of notes receivables | $ 20,600,000 | ||||||||
Interest rate percentage to record present value of notes receivable | 6.60% | ||||||||
Company recorded interest income | $ 400,000 | $ 3,900,000 | $ 4,500 | $ 4,200 | |||||
Carrying value of notes receivables | $ 60,600,000 | $ 60,600,000 | 60,600,000 | ||||||
Common stock, par value | $ / shares | $ 0.001 | ||||||||
Amortization expense | 100,000 | $ 1,300,000 | 1,300,000 | ||||||
Foreign currency gains (losses) | 2,100,000 | 8,800,000 | (8,900,000) | (800,000) | |||||
Decommissioning liabilities | 142,700,000 | ||||||||
Accretion Expense associated with our decommissioning liabilities | $ 500,000 | 9,300,000 | 6,500,000 | 6,100,000 | |||||
Dilutive securities | 100,000 | ||||||||
Unvested Restricted shares | $ 100,000 | ||||||||
Unvested Restricted stock units outstanding | shares | 1.4 | 1.4 | 1.4 | ||||||
Properties Sold | $ 0 | ||||||||
Cash Consideration Received Percentage | 100.00% | ||||||||
Additional Asset Sales | $ 25,000 | ||||||||
Common Class A [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Common stock, par value | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | ||||||
Common Class B [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Common stock, par value | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | ||||||
Maximum [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Gross Book Value | 10.00% | ||||||||
Percentage Net Sale | 10.00% | ||||||||
Minimum [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Total Liquidity | $ 100,000,000 | ||||||||
Unused Availability Under Credit Agreement | $ 25,000 | ||||||||
Asia Pacific [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Other expenses | $ 11,700,000 | ||||||||
Production Services [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Reduction in carrying value of intangibles | 23,800,000 | 9,300,000 | |||||||
Well Services [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Restructuring expense | $ 0 | ||||||||
Reorganization items, net | 31,816,000 | 0 | 0 | ||||||
Other expenses | 13,117,000 | 13,100,000 | |||||||
Rentals [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Restructuring expense | 0 | ||||||||
Reorganization items, net | $ (2,037,000) | 0 | $ 0 | ||||||
Other expenses | 3,609,000 | 3,600,000 | |||||||
Collateral, Secured Obligations [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Restricted Cash | $ 76,900,000 | 76,900,000 | 76,900,000 | ||||||
Escrow, Future Decommissioning Obligations [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Restricted Cash | 2,700,000 | 2,700,000 | 2,700,000 | ||||||
Oil And Gas Properties [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Decommissioning liabilities | 3,600,000 | 3,600,000 | 3,600,000 | ||||||
Asset Retirement Costs | $ 24,200,000 | $ 24,200,000 | $ 24,200,000 | $ 4,600,000 | |||||
7.125% Senior Notes [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Stated interest rate on unsecured senior notes | 7.125% | 7.125% | 7.125% | ||||||
7.750% Senior Notes [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Stated interest rate on unsecured senior notes | 7.75% | 7.75% | 7.75% | ||||||
Original Senior Unsecured Notes Due 2021 [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Stated interest rate on unsecured senior notes | 7.125% | 7.125% | 7.125% | ||||||
Senior Unsecured Notes Due 2024 [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Stated interest rate on unsecured senior notes | 7.75% | 7.75% | 7.75% | 7.75% | |||||
senior secured Debtor in possession credit agreement [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Senior unsecured notes | $ 120,000,000 | $ 120,000,000 | $ 120,000,000 |
Summary Of Significant Accoun_5
Summary Of Significant Accounting Policies (Reorganization Expenses) (Details) - USD ($) $ in Thousands | Feb. 02, 2021 | Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Summary Of Significant Accounting Policies [Line Items] | ||||||
Write-off of deferred financing costs related to the Delayed-Draw Term Loan | $ (12,000) | $ (12,000) | ||||
Total reorganization items, net | $ 335,560 | $ 0 | $ 335,600 | $ (19,520) | $ 0 |
Summary Of Significant Accoun_6
Summary Of Significant Accounting Policies (Liabilities Subject to Compromise) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Feb. 02, 2021 | Dec. 31, 2020 |
Summary Of Significant Accounting Policies [Line Items] | |||
Liabilities subject to compromise settled in accordance with the Plan | $ 1,572,772 | $ 1,335,794 |
Summary Of Significant Accoun_7
Summary Of Significant Accounting Policies (Schedule Of Inventory) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Summary Of Significant Accounting Policies [Abstract] | ||
Finished goods | $ 26,187 | $ 35,074 |
Raw materials | 9,753 | 5,139 |
Work-in-process | 4,253 | 2,994 |
Supplies and consumables | 20,410 | 33,820 |
Total | $ 60,603 | $ 77,027 |
Summary Of Significant Accoun_8
Summary Of Significant Accounting Policies (Estimated Useful Lives Of The Related Assets) (Details) | 11 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 36 months | 36 months |
Machinery And Equipment [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 3 years | |
Machinery And Equipment [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 12 years | |
Buildings, Improvements and Leasehold Improvements [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 10 years | |
Buildings, Improvements and Leasehold Improvements [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 30 years | |
Automobiles, Trucks, Tractors And Trailers [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 4 years | |
Automobiles, Trucks, Tractors And Trailers [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 7 years | |
Furniture And Fixtures [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 3 years | |
Furniture And Fixtures [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 10 years |
Summary Of Significant Accoun_9
Summary Of Significant Accounting Policies (Composition Of Intangible And Other Long-term Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 02, 2021 | Dec. 31, 2020 | |
Schedule of Intangible Assets by Major Class [Line Items] | |||
Gross Amount | $ 9,414 | $ 22,814 | |
Accumulated Amortization | 850 | 17,818 | |
Net Balance | $ 8,564 | $ 24,220 | 4,996 |
Customer relationships | |||
Schedule of Intangible Assets by Major Class [Line Items] | |||
Estimated Useful Lives | 17 years | ||
Gross Amount | $ 0 | 14,592 | |
Accumulated Amortization | 0 | 10,077 | |
Net Balance | $ 0 | 4,515 | |
Trademarks | |||
Schedule of Intangible Assets by Major Class [Line Items] | |||
Estimated Useful Lives | 10 years | ||
Gross Amount | $ 7,294 | 4,744 | |
Accumulated Amortization | 655 | 4,263 | |
Net Balance | $ 6,639 | 481 | |
Non-Compete Agreements | |||
Schedule of Intangible Assets by Major Class [Line Items] | |||
Estimated Useful Lives | 3 years | ||
Gross Amount | $ 0 | 3,478 | |
Accumulated Amortization | 0 | 3,478 | |
Net Balance | $ 0 |
Emergence from Voluntary Reor_2
Emergence from Voluntary Reorganization under Chapter 11 (Narrative) (Details) - USD ($) $ in Thousands | Oct. 13, 2021 | Dec. 31, 2021 | Feb. 02, 2021 |
Fresh Start Adjustment 1 [Line Items] | |||
Bankruptcy Claims, Amount of Claims Filed | $ 1,700,000 | ||
Bankruptcy Claims, Amount of Claims Expunged by Bankruptcy Court | 1,400,000 | ||
Stated interest rate | 7.125% | ||
Amount of Principal | 2.00% | ||
Debtor Reorganization Items Percent Of Stock | 100.00% | ||
Common Class A [Member] | |||
Fresh Start Adjustment 1 [Line Items] | |||
Rights outstanding | 735,189 | ||
Class 6 General Unsecured Claims [Member] | |||
Fresh Start Adjustment 1 [Line Items] | |||
Debtor-in-Possession Financing, Pro Rata Share | $ 125,000 | ||
New Senior Unsecured Notes Due 2021 [Member] | |||
Fresh Start Adjustment 1 [Line Items] | |||
Stated interest rate | 7.125% | 7.125% | |
Senior Unsecured Notes Due 2024 [Member] | |||
Fresh Start Adjustment 1 [Line Items] | |||
Stated interest rate | 7.75% | 7.75% | |
7.125% Senior Notes [Member] | |||
Fresh Start Adjustment 1 [Line Items] | |||
Stated interest rate | 7.125% | ||
7.750% Senior Notes [Member] | |||
Fresh Start Adjustment 1 [Line Items] | |||
Stated interest rate | 7.75% |
Fresh Start Accounting (Narrati
Fresh Start Accounting (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 11 Months Ended | 12 Months Ended | |||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reorganization, Chapter 11 [Line Items] | |||||||
Identifiable Assets | $ 1,456,804 | $ 1,199,508 | $ 1,199,508 | $ 1,199,508 | $ 1,199,508 | $ 1,501,079 | |
Postconfirmation Liabilities | 554,118 | 457,775 | 457,775 | 457,775 | $ 457,775 | 1,839,726 | |
Internal Rate Of Return | 17.60% | ||||||
Perpetuity Growth Rate | 3.00% | ||||||
Reorganization Expenses, Discount Rate | 5.30% | ||||||
Reorganization Expenses, Cash Used In Operating Activities | 3,100 | $ 13,700 | |||||
Reorganization items, net | 335,560 | 0 | 335,600 | (19,520) | $ 0 | ||
Reorganization Expenses, Professional Fees, Expense | 2,700 | ||||||
Reorganization Expenses, Professional Fees, Lease Rejection Damages | 400 | ||||||
Reorganization Expenses | 1,300 | 23,000 | |||||
Well Services [Member] | |||||||
Reorganization, Chapter 11 [Line Items] | |||||||
Identifiable Assets | 715,738 | 715,738 | 715,738 | 715,738 | 554,178 | ||
Reorganization items, net | 31,816 | $ 0 | $ 0 | ||||
Shut Down Cost | 8,900 | ||||||
Well Services [Member] | Cost of Sales [Member] | |||||||
Reorganization, Chapter 11 [Line Items] | |||||||
Inventory write down | 6,500 | ||||||
Well Services [Member] | Cost Of Services [Member] | |||||||
Reorganization, Chapter 11 [Line Items] | |||||||
Other ShutDown Cost | 2,400 | ||||||
Maximum [Member] | |||||||
Reorganization, Chapter 11 [Line Items] | |||||||
Bankruptcy Proceedings, Enterprise Value | 880,000 | 880,000 | 880,000 | 880,000 | |||
Minimum [Member] | |||||||
Reorganization, Chapter 11 [Line Items] | |||||||
Bankruptcy Proceedings, Enterprise Value | 710,000 | 710,000 | 710,000 | 710,000 | |||
Reorganization, Chapter 11, Predecessor, before Adjustment [Member] | |||||||
Reorganization, Chapter 11 [Line Items] | |||||||
Identifiable Assets | 1,497,411 | 1,456,800 | 1,456,800 | 1,456,800 | 1,456,800 | ||
Postconfirmation Liabilities | $ 2,076,125 | $ 2,076,100 | $ 2,076,100 | $ 2,076,100 | $ 2,076,100 |
Fresh Start Accounting - (Reorg
Fresh Start Accounting - (Reorganization of Assets) (Details) $ in Thousands | Feb. 02, 2021USD ($) |
Fresh Start Accounting [Abstract] | |
Selected Enterprise Value win Range | $ 729,918 |
Plus: Cash and cash equivalents | 172,768 |
Plus: Decommissioning Liabilities | |
Plus: Liabilities excluding the decommissioning liabilities | 380,496 |
Plus: Decommissioning liabilities | 173,622 |
Reorganization Value | $ 1,456,804 |
Fresh Start Accounting - (Fresh
Fresh Start Accounting - (Fresh Start) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Feb. 03, 2021 | Feb. 02, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||||||
Cash and cash equivalents | $ 314,974 | $ 172,768 | $ 172,768 | $ 188,006 | $ 272,624 | $ 158,050 |
Restricted Cash and Cash Equivalents, Current | 16,751 | 16,751 | ||||
Accounts receivable, net | 153,529 | |||||
Income taxes receivable | 8,976 | |||||
Prepaid Expense, Current | 15,861 | 31,630 | 31,793 | |||
Inventory and Other Current Assets | 60,603 | 101,140 | 77,027 | |||
Assets held for sale | 220,359 | |||||
Total current assets | 648,933 | 705,153 | 715,508 | |||
Property, plant and equipment, net | 356,274 | 540,850 | 408,107 | |||
Operating lease right-of-use assets | 33,918 | |||||
Goodwill | 138,677 | |||||
Notes receivable | 72,484 | |||||
Restricted Cash and Cash Equivalents, Noncurrent | 79,561 | $ 80,179 | 80,179 | 80,178 | 2,764 | 5,698 |
Finite-Lived Intangible Assets, Net | 8,564 | 24,220 | 4,996 | |||
Total assets | 1,199,508 | 1,456,804 | 1,501,079 | |||
Current liabilities: | ||||||
Accounts payable | 43,080 | 51,116 | 50,330 | |||
Accrued expenses | 116,882 | 137,216 | 114,777 | |||
Liabilities held for sale | 5,607 | 37,264 | 46,376 | |||
Total current liabilities | 165,569 | 225,596 | 211,483 | |||
Decommissioning liabilities | 190,380 | 169,515 | 134,436 | |||
Operating lease liabilities | 19,193 | 23,555 | 29,464 | |||
Deferred income taxes | 12,441 | 59,522 | 5,288 | |||
Other long-term liabilities | 70,192 | 75,930 | 123,261 | |||
Total non-current liabilities | 292,206 | 328,522 | 292,449 | |||
Liabilities subject to compromise | 1,572,772 | 1,335,794 | ||||
Total liabilities | 457,775 | 554,118 | 1,839,726 | |||
Stockholders’ equity (deficit): | ||||||
Treasury Stock at Cost | 4,290 | |||||
Common Stock $0.001 par value | 200 | 16 | ||||
Additional paid-in capital | 902,486 | |||||
Accumulated other comprehensive loss, net | (67,947) | |||||
Accumulated deficit | (162,178) | (3,023,315) | ||||
Total stockholders’ equity (deficit) | 741,733 | 902,686 | (338,647) | $ 49,573 | $ 290,739 | |
Total liabilities and stockholders’ equity (deficit) | 1,199,508 | 1,456,804 | $ 1,501,079 | |||
Reorganization, Chapter 11, Predecessor, before Adjustment [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 194,671 | |||||
Accounts receivable, net | 153,518 | |||||
Income taxes receivable | 9,146 | |||||
Prepaid Expense, Current | 31,630 | |||||
Inventory and Other Current Assets | 90,073 | |||||
Assets held for sale | 240,761 | |||||
Total current assets | 719,799 | |||||
Property, plant and equipment, net | 401,263 | |||||
Operating lease right-of-use assets | 32,488 | |||||
Goodwill | 138,934 | |||||
Notes receivable | 72,484 | |||||
Restricted Cash and Cash Equivalents, Noncurrent | 80,179 | |||||
Finite-Lived Intangible Assets, Net | 52,264 | |||||
Total assets | 1,456,800 | 1,497,411 | ||||
Current liabilities: | ||||||
Accounts payable | 51,816 | |||||
Accrued expenses | 126,768 | |||||
Liabilities held for sale | 39,642 | |||||
Total current liabilities | 218,226 | |||||
Decommissioning liabilities | 134,934 | |||||
Operating lease liabilities | 23,584 | |||||
Deferred income taxes | 4,853 | |||||
Other long-term liabilities | 121,756 | |||||
Total non-current liabilities | 285,127 | |||||
Liabilities subject to compromise | 1,572,772 | |||||
Total liabilities | $ 2,076,100 | 2,076,125 | ||||
Stockholders’ equity (deficit): | ||||||
Treasury Stock at Cost | (4,290) | |||||
Common Stock $0.001 par value | 16 | |||||
Additional paid-in capital | 2,757,824 | |||||
Accumulated other comprehensive loss, net | (67,532) | |||||
Accumulated deficit | (3,264,732) | |||||
Total stockholders’ equity (deficit) | (578,714) | |||||
Total liabilities and stockholders’ equity (deficit) | 1,497,411 | |||||
Reorganization Adjustments [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | (21,903) | |||||
Restricted Cash and Cash Equivalents, Current | 16,751 | |||||
Accounts receivable, net | 11 | |||||
Total current assets | (5,141) | |||||
Finite-Lived Intangible Assets, Net | (10,080) | |||||
Total assets | (15,221) | |||||
Current liabilities: | ||||||
Accounts payable | (700) | |||||
Accrued expenses | 9,042 | |||||
Liabilities held for sale | 1,614 | |||||
Total current liabilities | 9,956 | |||||
Deferred income taxes | 3,100 | |||||
Total non-current liabilities | 3,100 | |||||
Liabilities subject to compromise | (1,572,772) | |||||
Total liabilities | (1,559,716) | |||||
Stockholders’ equity (deficit): | ||||||
common stock $0.001 par value | (16) | |||||
Additional paid-in capital | (2,757,824) | |||||
Treasury Stock at Cost | 4,290 | |||||
Common Stock $0.001 par value | 200 | |||||
Additional paid-in capital | 902,486 | |||||
Accumulated deficit | 3,395,359 | |||||
Total stockholders’ equity (deficit) | 1,544,495 | |||||
Total liabilities and stockholders’ equity (deficit) | (15,221) | |||||
Reorganization, Chapter 11, Fresh-Start Adjustment [Member] | ||||||
Current assets: | ||||||
Restricted Cash and Cash Equivalents, Current | 16,751 | |||||
Income taxes receivable | (170) | |||||
Inventory and Other Current Assets | 11,067 | |||||
Assets held for sale | (20,402) | |||||
Total current assets | (9,505) | |||||
Property, plant and equipment, net | 139,587 | |||||
Operating lease right-of-use assets | 1,430 | |||||
Goodwill | (138,934) | |||||
Notes receivable | ||||||
Restricted Cash and Cash Equivalents, Noncurrent | ||||||
Finite-Lived Intangible Assets, Net | (17,964) | |||||
Total assets | (25,386) | |||||
Current liabilities: | ||||||
Accrued expenses | 1,406 | |||||
Liabilities held for sale | (3,992) | |||||
Total current liabilities | (2,586) | |||||
Decommissioning liabilities | 34,581 | |||||
Operating lease liabilities | (29) | |||||
Deferred income taxes | 51,569 | |||||
Other long-term liabilities | (45,826) | |||||
Total non-current liabilities | 40,295 | |||||
Total liabilities | 37,709 | |||||
Stockholders’ equity (deficit): | ||||||
Accumulated other comprehensive loss, net | 67,532 | |||||
Accumulated deficit | (130,627) | |||||
Total stockholders’ equity (deficit) | (63,095) | |||||
Total liabilities and stockholders’ equity (deficit) | $ (25,386) |
Fresh Start Accounting (Fresh S
Fresh Start Accounting (Fresh Start II) (Details) - USD ($) $ / shares in Units, $ in Thousands | Feb. 02, 2021 | Feb. 02, 2021 | Feb. 02, 2021 | Mar. 31, 2021 | Dec. 31, 2021 | Feb. 03, 2021 | Dec. 31, 2020 |
Reorganization Adjustments, Cash And Cash Equivalents [Abstract] | |||||||
Payment of debtor in possession financing fees | $ (183) | $ (183) | |||||
Payment of professional fees at the Emergence Date | (2,649) | ||||||
Payment of lease rejection damages classified as liabilities subject to compromise | (400) | ||||||
Transfers from cash to restricted cash for Professional Fees Escrow and General Unsecured Creditors Escrow | (16,751) | ||||||
Payment of debt issuance costs for the Credit Facility | (1,920) | ||||||
Net change in cash and cash equivalents | (21,903) | ||||||
Reorganization Adjustments, Restricted Cash [Abstract] | |||||||
Restricted Cash and Cash Equivalents, Current | 16,751 | $ 16,751 | 16,751 | $ 16,751 | |||
Debtor Reorganization Items, Accounts Receivables | 11 | ||||||
Reorganization Adjustments, Intangibles [Abstract] | |||||||
Write-off of deferred financing costs related to the Delayed-Draw Term Loan | (12,000) | (12,000) | |||||
Capitalization of debt issuance costs associated with the Credit Facility | 1,920 | ||||||
Net change in intangibles and other long-term assets | (10,080) | ||||||
Reorganization Adjustments, Accounts Payable [Abstract] | |||||||
Payment of professional fees at the Emergence Date | (2,649) | ||||||
Professional fees recognized and payable at the Emergence Date | 1,949 | ||||||
Net change in accounts payable | (700) | ||||||
Reorganization Adjustments, Accrued Liabilities [Abstract] | |||||||
Payment of debtor in possession financing fees | (183) | (183) | |||||
Accrual of professional fees | 6,500 | ||||||
Accrual for transfer taxes | 1,900 | ||||||
Reinstatement of lease rejection liabilities to be settled post-emergence | 700 | ||||||
Accrual of general unsecured claims against parent | 125 | ||||||
Net change in accrued liabilities | 9,042 | ||||||
Liabilities Subject To Compromise, Settled [Abstract] | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.125% | ||||||
Prepetition 7.125% and 7.750% notes including accrued interest and unpaid interest | 1,335,794 | 1,335,794 | 1,335,794 | ||||
Rejected lease liability claims | 4,956 | 4,956 | 4,956 | ||||
Allowed Class 6 General Unsecured Claims against Parent | 232,022 | 232,022 | 232,022 | ||||
Liabilities subject to compromise settled in accordance with the Plan | 1,572,772 | 1,572,772 | 1,572,772 | $ 1,335,794 | |||
Reorganization Adjustments, Gain (Loss) On Settlement[Abstract] | |||||||
Accrued liabilities for lease rejection claims | (700) | ||||||
Lease liabilities settled at Emergence Date | (1,614) | ||||||
Payment to settle lease rejection claims | (400) | ||||||
Proceeds from rights offering | 963,000 | 963 | |||||
Cash payout provided to cash opt-in noteholders | (952) | ||||||
Cash Pool to settle general unsecured claims against the Predecessor | (125) | ||||||
Issuance of Successor Class A common stock to prepetition noteholders (par value) | (193) | ||||||
Additional paid-in capital (Successor) | (869,311) | ||||||
Successor Class A common stock issued to cash opt-out noteholders in the rights offering (par value) | (7) | ||||||
Additional paid-in capital (rights offering shares) | (33,175) | ||||||
Gain on settlement of liabilities subject to compromise | 667,258 | 667,258 | |||||
Proceeds from rights offering | 963,000 | 963 | |||||
Cash payout provided to cash opt-in noteholders | $ 952,000 | ||||||
Debtor Reorganization Items, Discount Price | $ 1.31 | ||||||
Debtor Reorganization Items, Implied Discount | $ 32,200 | ||||||
Debtor Reorganization Items, Settlement Value Per Share | $ 46.82 | ||||||
Debtor Reorganization Items, Implied Share Price | $ 45.14 | ||||||
Debtor Reorganization Items, Cancellation Of Common Stock | $ 16 | ||||||
Reorganization Adjustments, APIC [Abstract] | |||||||
Extinguishment of APIC related to Predecessor's outstanding equity interests | (2,758,812) | ||||||
Extinguishment of RSUs for the Predecessor's incentive plan | 988 | ||||||
Net change in Predecessor's additional paid-in capital | (2,757,824) | ||||||
Reorganization Adjustments, APIC, Successor [Abstract] | |||||||
Postconfirmation, Additional APIC, Common Shares | 869,311 | ||||||
Postconfirmation, Additional APIC, Rights Offering | 33,175 | ||||||
Postconfirmation, Change In APIC | 902,486 | ||||||
Reorganization Adjustments, Retained Earnings [Abstract] | |||||||
Gain on settlement of liabilities subject to compromise | 667,258 | 667,258 | |||||
Accrual for transfer tax | (1,900) | ||||||
Extinguishment of RSUs for the Predecessor's incentive plan | (988) | ||||||
Adjustment to net deferred tax liability taken to tax expense | (3,100) | ||||||
Professional fees earned and payable as a result of consummation of the Plan of Reorganization | (8,449) | ||||||
Debtor-in-Possession Financing, Amount Arranged | (12,000) | (12,000) | |||||
Debtor Reorganization Items, Extinguishment Of Equity | 2,754,538 | ||||||
Net change in retained earnings | 3,395,359 | ||||||
Debtor Reorganization Items, Change In Income Tax Receivable | 170 | ||||||
Reorganization Adjustments, Change In Inventory And Other Current Assets [Abstract] | |||||||
Fair value adjustment to other current assets | (1,070) | ||||||
Net change in inventory and other current assets due to the adoption of fresh start accounting | 11,067 | ||||||
Debtor Reorganization Items, Fair Value Adjustment, Assets Held For Sale | 3,500 | $ 16,500 | 20,400 | ||||
Debtor Reorganization Items, Fair Value Adjustment, PPE | $ 139,600 | ||||||
Reorganization Adjustments, PPE [Abstract] | |||||||
Property, Plant and Equipment | 1,977,815 | 540,850 | |||||
Less: Accumulated Depreciation and Depletion | 1,576,552 | ||||||
Property, Plant and Equipment, net | 401,263 | 540,850 | |||||
Debtor Reorganization Items, Fair Value Adjustment, Right Of Use Assets | 1,400 | ||||||
Debtor Reorganization Items, Change In Goodwill | 138,900 | ||||||
Debtor Reorganization Items, Fair Value Adjustment, Intangible Assets | 1,400 | ||||||
Reorganization Adjustments, Intangible Assets [Abstract] | |||||||
Debtor Reorganization Items, Intangible Assets, Fair Value | 4,912 | 4,912 | 4,912 | 6,286 | |||
Debtor Reorganization Items, Change In Other Long Term Assets | 17,100 | ||||||
Debtor Reorganization Items, Fair Value Adjustment, Accrued Expenses | 1,400 | ||||||
Debtor Reorganization Items, Fair Value Adjustment, Current ARO | 4,000 | ||||||
Debtor Reorganization Items, Fair Value Adjustment, Non-Current ARO | 34,600 | ||||||
Debtor Reorganization Items, Change In Deferred Tax Liabilities | 70,400 | ||||||
Debtor Reorganization Items, Change In Realizable Deferred Tax Assets | 18,800 | ||||||
Debtor Reorganization Items, Reclassification Of Deferred Revenue | 45,800 | ||||||
Debtor Reorganization Items, FIN48 | 1,500 | ||||||
Debtor Reorganization Items, Reorganization Expense AOCI | (77,376) | ||||||
Debtor Reorganization Items, Cumulative Adjustment | (53,251) | ||||||
Debtor Reorganization Items, Elimination Of AOCI | (130,627) | ||||||
Global [Member] | |||||||
Reorganization Adjustments, Change In Inventory And Other Current Assets [Abstract] | |||||||
Fair value adjustment to inventory | 12,137 | ||||||
Patents | |||||||
Reorganization Adjustments, Intangible Assets [Abstract] | |||||||
Debtor Reorganization Items, Intangible Assets, Fair Value | 2,120 | ||||||
TrademarksMember | |||||||
Reorganization Adjustments, Intangible Assets [Abstract] | |||||||
Debtor Reorganization Items, Intangible Assets, Fair Value | 11 | 11 | 11 | 4,166 | |||
Customer relationships | |||||||
Reorganization Adjustments, Intangible Assets [Abstract] | |||||||
Debtor Reorganization Items, Intangible Assets, Fair Value | $ 4,901 | $ 4,901 | 4,901 | ||||
Land, Buildings and Improvements [Member] | |||||||
Reorganization Adjustments, PPE [Abstract] | |||||||
Property, Plant and Equipment | 205,237 | 117,341 | |||||
Machinery And Equipment [Member] | |||||||
Reorganization Adjustments, PPE [Abstract] | |||||||
Property, Plant and Equipment | 1,103,501 | 290,593 | |||||
Rental Services Equipment [Member] | |||||||
Reorganization Adjustments, PPE [Abstract] | |||||||
Property, Plant and Equipment | 617,762 | 92,861 | |||||
Other Capitalized Property Plant and Equipment [Member] | |||||||
Reorganization Adjustments, PPE [Abstract] | |||||||
Property, Plant and Equipment | 46,403 | 35,143 | |||||
Construction in Progress [Member] | |||||||
Reorganization Adjustments, PPE [Abstract] | |||||||
Property, Plant and Equipment | $ 4,912 | $ 4,912 | |||||
New Senior Unsecured Notes Due 2021 [Member] | |||||||
Liabilities Subject To Compromise, Settled [Abstract] | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.125% | 7.125% | 7.125% | 7.125% | |||
Senior Unsecured Notes Due 2024 [Member] | |||||||
Liabilities Subject To Compromise, Settled [Abstract] | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 7.75% | 7.75% | 7.75% | 7.75% | |||
Reorganization, Chapter 11, Fresh-Start Adjustment | |||||||
Reorganization Adjustments, Restricted Cash [Abstract] | |||||||
Restricted Cash and Cash Equivalents, Current | $ 16,751 | $ 16,751 | $ 16,751 | ||||
Professional Fee Escrow | Reorganization, Chapter 11, Fresh-Start Adjustment | |||||||
Reorganization Adjustments, Restricted Cash [Abstract] | |||||||
Restricted Cash and Cash Equivalents, Current | 16,626 | 16,626 | 16,626 | ||||
General Unsecured Creditors Escrow | Reorganization, Chapter 11, Fresh-Start Adjustment | |||||||
Reorganization Adjustments, Restricted Cash [Abstract] | |||||||
Restricted Cash and Cash Equivalents, Current | $ 125 | 125 | $ 125 | ||||
Common Class A [Member] | |||||||
Reorganization Adjustments, Changes In Common Stock [Abstract] | |||||||
Issuance of successor Class A common stock to prepetition noteholders (par value) | 193 | ||||||
Successor Class A common stock issued to cash opt-out noteholders in the rights offering (par value) | 7 | ||||||
Net change in Successor Class A common stock | $ 200 |
Fresh Start Accounting - (Reo_2
Fresh Start Accounting - (Reorganization) (Details) - USD ($) $ in Thousands | Feb. 02, 2021 | Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Fresh Start Accounting [Abstract] | |||||||
Gain on settlement of liabilities subject to compromise | $ 667,258 | $ 667,258 | |||||
Allowed claim adjustment for Class 6 claims | (232,022) | ||||||
Loss on fresh start adjustment | [1] | (77,376) | |||||
Professional fees | (16,005) | ||||||
Rejected leases | 13,347 | ||||||
Debtor in possession credit facility costs | (12,000) | ||||||
Lease rejection damages | (4,956) | ||||||
Extinguishment of RSUs for the Predecessor's incentive plan | (988) | ||||||
Other items | (1,698) | ||||||
Total reorganization items, net | 335,560 | $ 0 | $ 335,600 | $ (19,520) | $ 0 | ||
Adjustment for discontinued operations | $ 16,400 | ||||||
[1] | Includes approximately $ 16.4 million in adjustments to assets and liabilities classified as held for sale. See Note 14 - Discontinued Operations . |
Revenue (Disaggregation Of Reve
Revenue (Disaggregation Of Revenues, By Geography) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | $ 45,928 | $ 648,754 | $ 667,249 | $ 972,052 |
Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 18,339 | 268,695 | 297,835 | 430,442 |
Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 27,589 | 380,059 | 369,414 | 541,610 |
U.S. Land [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 8,296 | 107,565 | 105,461 | 244,988 |
U.S. Land [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 4,917 | 87,432 | 78,537 | 178,345 |
U.S. Land [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 3,379 | 20,133 | 26,924 | 66,643 |
U.S. Offshore [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 15,567 | 197,058 | 233,580 | 340,565 |
U.S. Offshore [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 8,196 | 103,646 | 129,021 | 143,973 |
U.S. Offshore [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 7,371 | 93,412 | 104,559 | 196,592 |
International [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 22,065 | 344,131 | 328,208 | 386,499 |
International [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 5,226 | 77,617 | 90,277 | 108,124 |
International [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | $ 16,839 | $ 266,514 | $ 237,931 | $ 278,375 |
Revenue (Disaggregation Of Re_2
Revenue (Disaggregation Of Revenues, By Type) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | $ 45,928 | $ 648,754 | $ 667,249 | $ 972,052 |
Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 18,339 | 268,695 | 297,835 | 430,442 |
Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 27,589 | 380,059 | 369,414 | 541,610 |
Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 19,234 | 305,699 | 299,383 | 482,347 |
Services [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 2,005 | 33,629 | 45,226 | 69,958 |
Services [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 17,229 | 272,070 | 254,157 | 412,389 |
Rentals Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 14,434 | 208,951 | 225,363 | 326,126 |
Rentals Services [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 14,082 | 197,050 | 215,163 | 310,844 |
Rentals Services [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 352 | 11,901 | 10,200 | 15,282 |
Product Sales [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 12,260 | 134,104 | 142,503 | 163,579 |
Product Sales [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 2,252 | 38,016 | 37,446 | 49,640 |
Product Sales [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | $ 10,008 | $ 96,088 | $ 105,057 | $ 113,939 |
Leases (Additional Information)
Leases (Additional Information) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Operating Leased Assets [Line Items] | ||
Operating lease right-of-use assets | $ 25,154 | $ 33,317 |
OperatingLeaseLiability | 24,843 | $ 40,162 |
Predecessor member | ||
Operating Leased Assets [Line Items] | ||
Operating lease right-of-use assets | 1,600 | |
OperatingLeaseLiability | $ 400 |
Leases (Operating Lease Expense
Leases (Operating Lease Expense) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | ||||
Long-term fixed lease expense | $ 1,824 | $ 12,579 | $ 18,454 | $ 22,882 |
Long-term variable lease expense | 19 | 10 | 54 | |
Short-term lease expense | 789 | 10,165 | 4,322 | 3,205 |
Total operating lease expense | $ 2,632 | $ 22,744 | $ 22,786 | $ 26,141 |
Leases (Supplemental Balance Sh
Leases (Supplemental Balance Sheet Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Feb. 02, 2021 | |
Leases [Abstract] | |||
Operating lease ROU assets | $ 25,154 | $ 33,317 | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Liabilities, Current | Accrued Liabilities, Current | |
Accrued expenses | $ 5,650 | $ 10,698 | |
Operating lease liabilities | 19,193 | 29,464 | $ 23,555 |
Total operating lease liabilities | $ 24,843 | $ 40,162 | |
Weighted average remaining lease term | 15 years | 11 years | |
Weighted average discount rate | 5.34% | 6.35% | |
Cash paid for operating leases | $ 13,591 | $ 24,657 | |
ROU assets obtained in exchange for lease obligations | $ 2,820 | $ 5,259 |
Leases (Maturities Of Operating
Leases (Maturities Of Operating Lease Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
2022 | $ 8,002 | |
2023 | 5,735 | |
2024 | 3,611 | |
2025 | 2,905 | |
2026 | 1,854 | |
Thereafter | 16,628 | |
Total lease payments | 38,735 | |
Less imputed interest | (13,892) | |
Total operating lease liabilities | $ 24,843 | $ 40,162 |
Intangibles (Narrative) (Detail
Intangibles (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization of Intangible Assets | $ 0.1 | $ 1.3 | $ 1.3 |
Intangibles (Schedule of Intang
Intangibles (Schedule of Intangible Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 02, 2021 | Dec. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Amount | $ 9,414 | $ 22,814 | |
Accumulated Amortization | 850 | 17,818 | |
Net Balance | $ 8,564 | $ 24,220 | 4,996 |
Trademarks | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Useful Lives | 10 years | ||
Gross Amount | $ 7,294 | 4,744 | |
Accumulated Amortization | 655 | 4,263 | |
Net Balance | $ 6,639 | 481 | |
Patents | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Useful Lives | 10 years | ||
Gross Amount | $ 2,120 | 0 | |
Accumulated Amortization | 195 | 0 | |
Net Balance | $ 1,925 | 0 | |
Customer relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Useful Lives | 17 years | ||
Gross Amount | $ 0 | 14,592 | |
Accumulated Amortization | 0 | 10,077 | |
Net Balance | $ 0 | 4,515 | |
Non-Compete Agreements | |||
Finite-Lived Intangible Assets [Line Items] | |||
Estimated Useful Lives | 3 years | ||
Gross Amount | $ 0 | 3,478 | |
Accumulated Amortization | 0 | 3,478 | |
Net Balance | $ 0 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net (Summary Of Property, Plant And Equipment) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Feb. 02, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 541,916 | $ 1,995,542 | |
Accumulated depreciation and depletion | (185,642) | (1,587,435) | |
Property, plant and equipment, net | 356,274 | $ 540,850 | 408,107 |
Machinery And Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 360,353 | 1,727,454 | |
Buildings, Improvements And Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 75,374 | 171,635 | |
Automobiles, trucks, tractors and trailers [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 6,450 | 11,742 | |
Furniture And Fixtures [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 19,668 | 31,407 | |
Construction in Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 6,700 | 4,793 | |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 28,671 | 33,394 | |
Oil and Gas Producing Assets [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 44,700 | $ 15,117 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net (Narrative) (Details) - USD ($) | 1 Months Ended | 11 Months Ended | 12 Months Ended | |||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | ||||||
Leasehold Improvements, Gross | $ 7,200,000 | $ 7,200,000 | $ 7,200,000 | $ 28,900,000 | ||
Depreciation | $ 9,500,000 | 238,800,000 | 103,500,000 | $ 131,500 | ||
Property, Plant and Equipment, useful life | 36 months | 36 months | ||||
Fully Depreciated Assets | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Depreciation | $ 167,500,000 | |||||
Assets, Fair Value Disclosure | $ 197,500 | 197,500 | 197,500 | |||
Oil and Gas Producing Assets [Member] | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Asset Retirement Costs | $ 24,200,000 | $ 24,200,000 | $ 24,200,000 | $ 4,600,000 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) $ in Thousands | Feb. 02, 2021USD ($) | Feb. 02, 2021USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 09, 2022USD ($) | Mar. 31, 2021USD ($) | Dec. 08, 2020USD ($) | Sep. 29, 2020USD ($) |
Debt Instrument [Line Items] | ||||||||||
Credit facility, borrowing base | $ 20,000 | $ 20,000 | ||||||||
Line of Credit Facility, Commitment Fee Percentage | 15.00% | |||||||||
Stated interest rate on unsecured senior notes | 7.125% | 7.125% | ||||||||
Fixed charge coverage ratio | 1 | 1 | ||||||||
Wholly-owned subsidiaries | $ 75,000 | |||||||||
Commitment fee | 12.0 | |||||||||
Reorganization items, net | $ 335,560 | $ 0 | $ 335,600 | $ (19,520) | $ 0 | |||||
Letter of Credit [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | $ 200,000 | |||||||||
Letters of Credit Outstanding, Amount | 35,800 | 35,800 | ||||||||
Unsecured Senior Notes Due 2024 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of Credit Outstanding, Amount | $ 500,000 | $ 500,000 | ||||||||
Stated interest rate on unsecured senior notes | 7.75% | 7.75% | ||||||||
DIP Credit Facility [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Face Amount | $ 120,000 | |||||||||
7.125% Senior Notes [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated interest rate on unsecured senior notes | 7.125% | 7.125% | ||||||||
7.125% Senior Notes [Member] | Letter of Credit [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Letters of Credit Outstanding, Amount | $ 800,000 | $ 800,000 | ||||||||
7.125% Senior Notes [Member] | Line of Credit [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated interest rate on unsecured senior notes | 7.125% | 7.125% | ||||||||
7.125% Senior Notes [Member] | Prepetition Credit Facility [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated interest rate on unsecured senior notes | 7.125% | 7.125% | ||||||||
7.750% Senior Notes [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated interest rate on unsecured senior notes | 7.75% | 7.75% | ||||||||
Fronting fee, percent | 100.00% | 100.00% | ||||||||
7.750% Senior Notes [Member] | Line of Credit [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Stated interest rate on unsecured senior notes | 7.75% | 7.75% | ||||||||
Jpmorgan Chase Bank Asset Backed Secured Revolving Facility [Member] | Revolving Credit Facility [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | $ 114,900 | $ 114,900 | $ 120,000 | |||||||
Letters of Credit Outstanding, Amount | 37,100 | $ 37,100 | ||||||||
Jpmorgan Chase Bank Asset Backed Secured Revolving Facility [Member] | Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread | 3.00% | |||||||||
Jpmorgan Chase Bank Asset Backed Secured Revolving Facility [Member] | Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread | 3.50% | |||||||||
Jpmorgan Chase Bank Asset Backed Secured Revolving Facility [Member] | Revolving Credit Facility [Member] | Base Rate [Member] | Minimum [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread | 2.00% | |||||||||
Jpmorgan Chase Bank Asset Backed Secured Revolving Facility [Member] | Revolving Credit Facility [Member] | Base Rate [Member] | Maximum [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread | 2.50% | |||||||||
Jpmorgan Chase Bank Asset Backed Secured Revolving Facility [Member] | Scenario, Plan [Member] | Revolving Credit Facility [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum borrowing capacity | $ 170,000 | $ 170,000 | ||||||||
Delayed-Draw Term Loan Commitment Letter [Member] | Letter of Credit [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Reorganization items, net | $ 12,000 |
Stock-Based Compensation Plan_2
Stock-Based Compensation Plans (Narrative) (Details) $ / shares in Units, $ in Thousands | Jun. 02, 2021$ / sharesshares | Feb. 02, 2021USD ($) | Sep. 30, 2021shares | Dec. 31, 2021USD ($)shares | Dec. 31, 2021USD ($)Itemshares | Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2018USD ($) | Jun. 01, 2021$ / sharesshares | |
Cancelled stock incentive plans | ||||||||||
Stated interest rate | 7.125% | 7.125% | ||||||||
Cancelled stock incentive plans | $ 0 | |||||||||
Common stock, par value | $ / shares | $ 0.001 | |||||||||
Share based Compensation Arrangement By Share based Payment Award Options Vested And Retired Number Of Shares | shares | 35,571 | |||||||||
Weighted average fair value of stock options granted | $ / shares | $ 24.60 | |||||||||
Risk free interest rate | 2.57% | |||||||||
Expected life (years) | 6 years | |||||||||
Volatility | 56.62% | |||||||||
Number of options outstanding | shares | 468,247 | |||||||||
Weighted average option price exercisable | $ / shares | $ 156.97 | |||||||||
Compensation expense | $ 1,248 | $ 1,442 | $ 2,628 | $ 19,692 | ||||||
Original Senior Unsecured Notes Due 2021 [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Stated interest rate | 7.125% | 7.125% | ||||||||
Senior Unsecured Notes Due 2024 [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Stated interest rate | 7.75% | 7.75% | 7.75% | |||||||
Employee Restricted Stock Award Agreement [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 2,000,000 | |||||||||
Unamortized estimated grant date fair value | $ 1,400 | $ 1,400 | ||||||||
Stock Options [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Shares available for future grants | shares | 0 | |||||||||
Share-based payment vesting period, years | 3 years | |||||||||
Compensation expense | $ 0 | $ 94 | 2,743 | |||||||
Stock Options [Member] | Equal Installments [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Share-based payment expiration period, years | 10 years | |||||||||
Restricted Stock Units R S U [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Share-based compensation arrangement by share-based payment award, fair value of the units vested | $ 1,000 | |||||||||
Non-vested | shares | 134,236 | |||||||||
Weighted Average Grant Date Fair Value | $ / shares | $ 80.27 | |||||||||
Shares, vested | shares | (48,903) | |||||||||
Compensation expense | 1,170 | $ 639 | $ 4,144 | 15,716 | ||||||
Restricted Stock Units R S U [Member] | Equal Installments [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Share-based payment vesting period, years | 3 years | |||||||||
Performance Share Units [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Payment of performance | $ 4,000 | |||||||||
Performance period of PSU grant, years | 3 years | |||||||||
Performance Share Units Outstanding, in 2020 | shares | 210,398 | |||||||||
Performance Share Units Outstanding, in next year | shares | 96,522 | |||||||||
Performance Share Units Outstanding, in 2 years | shares | 113,876 | 113,876 | ||||||||
Compensation expense | $ 78 | $ (1,268) | [1] | $ (1,554) | $ 935 | |||||
Restricted Stock Awards [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | shares | 113,840 | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Net | shares | 76,269 | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ / shares | $ 39.53 | |||||||||
Unamortized estimated grant date fair value | 2,400 | $ 2,400 | ||||||||
Compensation expense | $ 2,071 | |||||||||
KERP [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Number of executive officers associated to KERP | Item | 6 | |||||||||
KERP [Member] | Executive Officers [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Retention payments | $ 7,300 | |||||||||
KERP [Member] | Non-executive Employees [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Retention payments | $ 2,400 | |||||||||
Employee Stock Purchase Plan [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Offering period | 6 months | |||||||||
Shares issued | shares | 532,292 | |||||||||
Cash received for shares issued | $ 700 | |||||||||
Compensation expense | 100 | |||||||||
401K [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Maximum empoyee contribution | 75.00% | |||||||||
Maximum portion of base salary to defer under non-qualified deferred compensation plan | 100.00% | |||||||||
Maximum Portion of Base Salary to Defer under Non Qualified Deferred Compensation Plan | 4.00% | |||||||||
401K [Member] | Predecessor member | ||||||||||
Cancelled stock incentive plans | ||||||||||
Company discretionary contributions | 400 | 10,500 | ||||||||
401K [Member] | Successor Period | ||||||||||
Cancelled stock incentive plans | ||||||||||
Company discretionary contributions | 2,600 | 6,200 | ||||||||
2021 Management Incentive Plan [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Common stock reserved for issuance | shares | 1,999,869 | |||||||||
Common stock, par value | $ / shares | $ 0.01 | |||||||||
Supplemental Executive Retirement Plan [Member] | ||||||||||
Cancelled stock incentive plans | ||||||||||
Employers Contribution to be received by plan participants, Minimum | 5.00% | |||||||||
Employers Contribution to be received by plan participants, Maximum | 35.00% | |||||||||
Employers contribution | 0 | 1,100 | $ 1,200 | |||||||
Distribution to select participants | $ 3,400 | $ 0 | $ 2,300 | |||||||
[1] | The PSU's related to the performance period ended December 31, 2021 were canceled due to not achieving the required performance. |
Stock-Based Compensation Plan_3
Stock-Based Compensation Plans (Summary Of Compensation Expense and Tax Benefits) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||||
Compensation expense | $ 1,248 | $ 1,442 | $ 2,628 | $ 19,692 | |
Related income taxes | (60) | (335) | (610) | (4,569) | |
Total compensation expense, net of income taxes | 1,188 | 1,107 | 2,018 | 15,123 | |
Restricted Stock Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||||
Compensation expense | 2,071 | ||||
Stock Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||||
Compensation expense | 0 | 94 | 2,743 | ||
Restricted Stock Units R S U [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||||
Compensation expense | 1,170 | 639 | 4,144 | 15,716 | |
Cash Restricted Stock Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||||
Compensation expense | 0 | (56) | 298 | ||
Performance Share Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |||||
Compensation expense | $ 78 | $ (1,268) | [1] | $ (1,554) | $ 935 |
[1] | The PSU's related to the performance period ended December 31, 2021 were canceled due to not achieving the required performance. |
Income Taxes (Schedule Of Compo
Income Taxes (Schedule Of Components Of Income And Loss From Continuing Operations Before Income Taxes) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Noncontrolling Interest [Abstract] | ||||
Income (loss) from continuing operations before income taxes | $ 329,132 | $ (155,407) | $ (254,431) | $ (87,523) |
Income Taxes (Schedule Of Incom
Income Taxes (Schedule Of Income Tax Provision) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Components of Income Tax Expense (Benefit), Continuing Operations [Abstract] | ||||
Current, federal | $ 0 | $ (1,106) | $ (36,506) | $ 0 |
Current, state | 0 | (307) | 635 | 546 |
Current, foreign | 3,314 | 6,220 | 8,497 | (3,359) |
Current, total | 3,314 | 4,807 | (27,374) | (2,813) |
Deferred, federal | 55,015 | (42,904) | 4,593 | 10,175 |
Deferred, state | (182) | 2,633 | (638) | 1,623 |
Deferred, foreign | 1,856 | 2,166 | (3,469) | (6,252) |
Deferred income taxes | 56,689 | (38,105) | 486 | 5,546 |
Income tax (expense) benefit | $ 60,003 | $ (33,298) | $ (26,888) | $ 2,733 |
Income Taxes (Schedule Of Effec
Income Taxes (Schedule Of Effective Income Tax Rate Reconciliation) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Expense (Benefit), Continuing Operations, Income Tax Reconciliation [Abstract] | ||||
Computed expected tax benefit | $ 69,125 | $ (32,635) | $ (53,431) | $ (18,380) |
State and foreign income taxes | 6,217 | (17,893) | 5,026 | (7,444) |
Valuation allowance | (46,208) | 0 | 19,024 | 24,638 |
Gain on Settlement of Liabilities Subject to Compromise | (89,905) | 0 | 0 | 0 |
Reduction in value of assets | 87,316 | 19,154 | 0 | (233) |
Fresh Start Adjustments | 29,099 | 0 | 0 | 0 |
Other | 4,359 | (1,924) | 2,493 | 4,152 |
Income tax (expense) benefit | $ 60,003 | $ (33,298) | $ (26,888) | $ 2,733 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 1 Months Ended | 11 Months Ended | 12 Months Ended | |||||||
Feb. 28, 2021 | Feb. 02, 2021 | Jul. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Feb. 03, 2021 | Jan. 01, 2021 | Dec. 31, 2018 | |
Tax refunds | $ 8,200,000 | $ 30,500,000 | ||||||||
Reduction in value of goodwill | $ 138,900,000 | |||||||||
Net operating loss carryforwards | $ 43,300,000 | $ 43,300,000 | ||||||||
Limitation on operating loss carryforward usage as percent of taxable income | 80.00% | |||||||||
Deferred tax assets, state net operating loss carryforwards | 18,800,000 | $ 18,800,000 | ||||||||
Foreign tax credit carryforward | 55,900,000 | 55,900,000 | ||||||||
Unrecognized tax benefits | $ 14,706,000 | 14,973,000 | 14,973,000 | $ 13,206,000 | $ 13,206,000 | $ 14,706,000 | $ 13,206,000 | $ 30,558,000 | ||
Unrecognized tax benefits settlement due | 2,900,000 | 2,900,000 | ||||||||
Interest and penalties accrued | 6,900,000 | 6,900,000 | 5,800,000 | 5,000,000 | ||||||
Reduction to unrecognized tax benefits, foreign tax audits | $ 0 | 2,029,000 | $ 1,000,000 | $ 19,852,000 | ||||||
U.S. Federal | ||||||||||
Gain loss from extinguishment of debt | 428,000 | |||||||||
Deferred tax assets, state net operating loss carryforwards | $ 19,200 | $ 19,200 |
Income Taxes (Schedule Of Defer
Income Taxes (Schedule Of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets: | ||
Allowance for doubtful accounts | $ 1,046 | $ 1,713 |
Operating loss and tax credit carryforwards | 84,684 | 150,426 |
Compensation and employee benefits | 8,832 | 27,625 |
Decommissioning liabilities | 39,328 | 30,960 |
Operating leases | 197 | 2,792 |
Other assets | 30,749 | 34,578 |
Deferred tax assets, gross | 164,836 | 248,094 |
Valuation allowance | (90,781) | (139,106) |
Net deferred tax assets | 74,055 | 108,988 |
Deferred tax liabilities: | ||
Property, plant and equipment | 64,721 | 69,510 |
Notes receivable | 17,812 | 12,977 |
Goodwill and other intangible assets | 772 | 23,920 |
Other liabilities | 1,287 | 7,869 |
Deferred tax liabilities | 83,048 | 114,276 |
Net deferred tax liability | $ 8,993 | $ 5,288 |
Income Taxes (Summary Of Activi
Income Taxes (Summary Of Activity In Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||||
Unrecognized tax benefits at beginning of period | $ 13,206 | $ 14,706 | $ 13,206 | $ 30,558 |
Additions based on tax positions related to prior years | 1,500 | 2,848 | 1,757 | 2,500 |
Reductions based on tax positions related to prior years | 0 | (552) | 0 | 0 |
Additions based on tax positions related to current year | 0 | 0 | 0 | 0 |
Reductions as a result of a lapse of the applicable statute of limitations | 0 | 0 | (757) | 0 |
Reductions relating to settlements with taxing authorities | 0 | (2,029) | (1,000) | (19,852) |
Unrecognized tax benefits at end of period | $ 14,706 | $ 14,973 | $ 13,206 | $ 13,206 |
Segment Information (Narrative)
Segment Information (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Assets held for sale | $ 37,528 | $ 242,104 |
Property, plant and equipment, gross | 541,916 | 1,995,542 |
Pumpco Member | ||
Assets held for sale | $ 7,942 | $ 42,405 |
Segment Information (Schedule O
Segment Information (Schedule Of Segment Reporting Information) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||||
Total revenues | $ 45,928 | $ 648,754 | $ 667,249 | $ 972,052 | |
Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 29,773 | 422,252 | 408,131 | 558,265 | |
Depreciation, depletion, amortization and accretion | 8,358 | 219,859 | 115,771 | 146,791 | |
General and administrative expenses | 11,052 | 117,575 | 205,773 | 244,403 | |
Restructuring expense | 1,270 | 22,952 | 47,055 | ||
Other expenses | 0 | 16,726 | $ 16,700 | 0 | 0 |
Reduction in value of assets | 0 | 0 | 23,775 | 9,293 | |
Income (loss) from operations | (4,525) | (150,610) | (133,256) | 13,300 | |
Interest income (expense), net | 202 | 2,331 | (92,426) | (98,339) | |
Reorganization expenses | (335,560) | 0 | (335,600) | 19,520 | 0 |
Other income (expense) | (2,105) | (7,128) | (9,229) | (2,484) | |
Income (loss) from continuing operations before income taxes | 329,132 | (155,407) | (254,431) | (87,523) | |
Rentals [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 18,339 | 268,695 | 297,835 | 430,442 | |
Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 7,839 | 105,373 | 109,902 | 168,608 | |
Depreciation, depletion, amortization and accretion | 4,271 | 152,250 | 63,072 | 86,395 | |
General and administrative expenses | 2,027 | 24,812 | 52,718 | 61,829 | |
Restructuring expense | 0 | ||||
Other expenses | 3,609 | 3,600 | |||
Reduction in value of assets | 754 | 0 | |||
Income (loss) from operations | 4,202 | (17,349) | 71,389 | 113,610 | |
Interest income (expense), net | 10 | (7) | 0 | ||
Reorganization expenses | 2,037 | 0 | 0 | ||
Other income (expense) | (399) | 1,280 | 0 | ||
Income (loss) from continuing operations before income taxes | 1,776 | (16,076) | 71,389 | 113,610 | |
Well Services [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 27,589 | 380,059 | 369,414 | 541,610 | |
Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 21,934 | 316,879 | 298,229 | 389,657 | |
Depreciation, depletion, amortization and accretion | 3,666 | 61,074 | 48,929 | 55,670 | |
General and administrative expenses | 4,111 | 46,780 | 73,200 | 89,272 | |
Restructuring expense | 0 | ||||
Other expenses | 13,117 | $ 13,100 | |||
Reduction in value of assets | 21,038 | 9,293 | |||
Income (loss) from operations | (2,122) | (57,791) | (71,982) | (2,282) | |
Interest income (expense), net | 356 | 3,930 | 4,539 | 4,172 | |
Reorganization expenses | (31,816) | 0 | 0 | ||
Other income (expense) | (165) | (14,407) | 0 | ||
Income (loss) from continuing operations before income taxes | 29,885 | (68,268) | (67,443) | 1,890 | |
Corporate And Other [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 0 | 0 | |||
Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 0 | 0 | |||
Depreciation, depletion, amortization and accretion | 421 | 6,535 | 3,770 | 4,726 | |
General and administrative expenses | 4,914 | 45,983 | 79,855 | 93,302 | |
Restructuring expense | 1,270 | 22,952 | 47,055 | ||
Other expenses | 0 | ||||
Reduction in value of assets | 1,983 | 0 | |||
Income (loss) from operations | (6,605) | (75,470) | (132,663) | (98,028) | |
Interest income (expense), net | 164 | 1,592 | (96,965) | (102,511) | |
Reorganization expenses | (305,781) | 19,520 | 0 | ||
Other income (expense) | (1,541) | 5,999 | 9,229 | (2,484) | |
Income (loss) from continuing operations before income taxes | $ 297,471 | $ (71,063) | $ (258,377) | $ (203,023) |
Segment Information (Schedule_2
Segment Information (Schedule Of Identifiable Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Feb. 02, 2021 | Dec. 31, 2020 |
Segment Reporting Information [Line Items] | |||
Identifiable Assets | $ 1,199,508 | $ 1,456,804 | $ 1,501,079 |
Rentals [Member] | |||
Segment Reporting Information [Line Items] | |||
Identifiable Assets | 365,358 | 572,776 | |
Well Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Identifiable Assets | 715,738 | 554,178 | |
Corporate And Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Identifiable Assets | $ 118,412 | $ 374,125 |
Segment Information (Schedule_3
Segment Information (Schedule Of Capital Expenditures, By Segment) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | ||||
Capital expenditures | $ 3,035 | $ 34,152 | ||
Rentals [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | 2,429 | 27,335 | $ 24,053 | $ 63,252 |
Well Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | $ 606 | $ 6,817 | 19,609 | 28,386 |
Onshore Completion And Workover Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | 47,653 | 103,722 | ||
Corporate And Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | $ 3,991 | $ 12,084 |
Segment Information (Schedule_4
Segment Information (Schedule Of Revenues By Geographic Segment) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenues | $ 45,928 | $ 648,754 | $ 667,249 | $ 972,052 |
Long-lived assets | 356,274 | 408,107 | ||
United States [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenues | 23,863 | 304,623 | 339,041 | 585,553 |
Long-lived assets | 231,388 | 253,114 | ||
International [Member] | ||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||
Total revenues | $ 22,065 | 344,131 | 328,208 | $ 386,499 |
Long-lived assets | $ 124,886 | $ 154,993 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary Of Financial Assets And Liabilities Measured At Fair Value On Recurring Basis) (Details) - Fair Value, Measurements, Recurring [Member] - Non Qualified Deferred Compensation Assets and Liabilities [Member] - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Intangible and other long-term assets | $ 15,896 | $ 15,013 |
Accounts payable | 2,250 | 2,869 |
Other long-term liabilities | 19,218 | 20,697 |
Investment in equity securities | 25,735 | |
Total debt | 409,050 | |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Intangible and other long-term assets | 0 | |
Investment in equity securities | 25,735 | |
Total debt | 409,050 | |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Intangible and other long-term assets | 15,896 | 15,013 |
Accounts payable | 2,250 | 2,869 |
Other long-term liabilities | $ 19,218 | $ 20,697 |
Fair Value Measurements (Additi
Fair Value Measurements (Additional Information) (Details) $ in Thousands, shares in Millions | 12 Months Ended |
Dec. 31, 2021USD ($)shares | |
Fair Value Measurements [Abstract] | |
Cancelled stock incentive plans | $ 0 |
Number of shares owned | shares | 4.1 |
Unrealized gain on equity securities | $ 2,100 |
Contingencies (Narrative) (Deta
Contingencies (Narrative) (Details) $ in Millions | Apr. 02, 2018Employee | Dec. 31, 2021USD ($) |
Loss Contingencies [Line Items] | ||
Number of people involved in lawsuit | Employee | 2 | |
Rate of royalty payments invoiced by plaintiffs | 25.00% | |
Rate of royalty payments claimed by plaintiffs | 50.00% | |
Loss Contingency, Maximum Liability | $ 7.3 | |
First And Second Case [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency Accrual | 7 | |
Performance Bank Guarantee [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency, Maximum Liability | $ 3.5 |
Discontinued Operations (Narrat
Discontinued Operations (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | 11 Months Ended | 12 Months Ended | |||
Feb. 02, 2021 | Sep. 30, 2021 | Sep. 30, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Nov. 30, 2021 | |
Reduction in value of assets | $ 0 | $ 14,500 | $ 12,400 | $ 0 | $ 141,110 | $ 93,763 | ||
Assets held for sale | 37,528 | $ 37,528 | 242,104 | |||||
Complete Energy Services Inc Member | Subsidiaries Member | ||||||||
Purchase price for acquisitions | $ 14,000 | |||||||
Complete Energy Services Inc Member | Subsidiaries Member | Select Energy Services Inc Member | ||||||||
Equity interest acquired | 100.00% | 100.00% | ||||||
Complete Energy Services Inc Member | Subsidiaries Member | Select Energy Services Inc Member | Common Class A [Member] | ||||||||
Business acquisitions stock issued | 3.6 | |||||||
Business acquisitions, share price | $ 0.01 | $ 0.01 | ||||||
Pumpco [Member] | ||||||||
Gain on sale of assets, discontinued operation | 10,500 | |||||||
Assets held for sale | $ 7,942 | 7,942 | $ 42,405 | |||||
Spn Well Services Inc [Member] | ||||||||
Assets held for sale | $ 14,000 | $ 14,000 | $ 8,500 | |||||
Sales totaling | $ 11,400 |
Discontinued Operations (Compon
Discontinued Operations (Components Of Income (Loss) From Discontinued Operations) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Depreciation, depletion, amortization and accretion | $ 8,358 | $ 219,859 | $ 115,771 | $ 146,791 | |
General and administrative expenses | 11,052 | 117,575 | 205,773 | 244,403 | |
Other expenses | 0 | 16,726 | $ 16,700 | 0 | 0 |
(Loss) income from operations | (4,525) | (150,610) | (133,256) | 13,300 | |
Other income (expense) | (2,105) | (7,128) | (9,229) | (2,484) | |
Loss from discontinued operations, net of income tax | (352) | (40,069) | (168,687) | (165,465) | |
Pumpco [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Revenues | 10,719 | 90,682 | 184,580 | 734,768 | |
Cost of services | 10,398 | 85,191 | 180,408 | 639,065 | |
Depreciation, depletion, amortization and accretion | 2,141 | 31,502 | 31,022 | 124,746 | |
General and administrative expenses | 1,119 | 8,847 | 22,035 | 50,953 | |
Other expenses | 0 | 15,807 | 0 | 0 | |
Reduction in value of assets | 0 | 0 | 117,335 | 84,470 | |
(Loss) income from operations | (2,939) | (50,665) | (166,220) | (164,466) | |
Other income (expense) | 2,485 | 188 | (2,069) | 27 | |
Loss from discontinued operations before tax | (454) | (50,477) | (168,289) | (164,439) | |
Income tax benefit (expense) | 102 | 10,408 | (398) | (1,026) | |
Loss from discontinued operations, net of income tax | $ (352) | $ (40,069) | $ (168,687) | $ (165,465) |
Discontinued Operations (Assets
Discontinued Operations (Assets And Liabilities Of Discontinued Operation) (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Total current assets | $ 37,528 | $ 242,104 |
Pumpco Member | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Accounts receivable, net | 7,469 | 25,448 |
Prepaid expenses | 26 | 4,881 |
Other current assets | 447 | 12,076 |
Total current assets | 7,942 | 42,405 |
Property, plant and equipment, net | 29,328 | 179,380 |
Operating lease ROU assets | 127 | 16,958 |
Other assets | 131 | 3,361 |
Total assets held for sale | 37,528 | 242,104 |
Accounts payable | 652 | 2,830 |
Accrued expenses | 4,268 | 11,153 |
Operating lease liabilities | 72 | 21,987 |
Decommissioning liabilities | 0 | 8,311 |
Other liabilities | 615 | 2,095 |
Total liabilities | $ 5,607 | $ 46,376 |
Discontinued Operation (Cash Fl
Discontinued Operation (Cash Flow Of Discontinued Operations) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Other expenses | $ 0 | $ 16,726 | $ 16,700 | $ 0 | $ 0 |
Pumpco Member | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Reduction in value of assets | 0 | 0 | 117,335 | 84,470 | |
(Gain)/loss on sale of assets | (43) | 0 | 286 | 12,727 | |
Other expenses | 0 | 15,807 | 0 | 0 | |
Depreciation, depletion, amortization and accretion | 2,141 | 31,502 | 31,022 | 124,746 | |
Proceeds from sales of assets | $ 486 | $ 88,332 | $ 22,224 | $ 23,140 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Feb. 03, 2021 | Feb. 02, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Supplemental Cash Flow Information [Abstract] | ||||||
Cash and cash equivalents | $ 314,974 | $ 172,768 | $ 172,768 | $ 188,006 | $ 272,624 | $ 158,050 |
Restricted cash-current | 16,751 | 16,751 | ||||
Restricted cash-non-current | 79,561 | 80,179 | 80,179 | 80,178 | 2,764 | 5,698 |
Cash, cash equivalents, and restricted cash | $ 394,535 | $ 269,698 | $ 269,698 | $ 268,184 | $ 275,388 | $ 163,748 |
Supplemental Cash Flow Inform_4
Supplemental Cash Flow Information (Additional Information) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Supplemental Cash Flow Elements [Abstract] | |
Noncash acquisition of Investments in equity securities | $ 27.3 |
Supplemental Guarantor Inform_2
Supplemental Guarantor Information (Condensed Consolidating Statements of Operations) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Condensed Financial Statements, Captions [Line Items] | ||||
Total Revenues | $ 45,928 | $ 648,754 | $ 667,249 | $ 972,052 |
Cost of revenues | 29,773 | 422,252 | 408,131 | 558,265 |
Loss from operations before income taxes | 329,132 | (155,407) | (254,431) | (87,523) |
Income taxes | 60,003 | (33,298) | (26,888) | 2,733 |
Net income (loss) from continuing operation | 269,129 | (122,109) | (227,543) | (90,256) |
Loss from discontinued operations, net of income tax | (352) | (40,069) | (168,687) | (165,465) |
Net income (loss) | $ 268,777 | $ (162,178) | $ (396,230) | $ (255,721) |