Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Mar. 01, 2023 | |
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, 2022 | |
Document Transition Report | false | |
Securities Act File Number | 001-34037 | |
Entity Registrant Name | SUPERIOR ENERGY SERVICES, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 87-4613576 | |
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 | 2022 | |
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 | 152,030 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 258,999 | $ 314,974 |
Accounts receivable, net | 249,808 | 182,432 |
Income taxes receivable | 6,665 | 5,099 |
Prepaid expenses | 17,299 | 15,861 |
Inventory | 65,587 | 60,603 |
Investment in equity securities | 0 | 25,735 |
Other current assets | 6,276 | 6,701 |
Assets held for sale | 11,978 | 37,528 |
Total current assets | 616,612 | 648,933 |
Property, plant and equipment, net | 282,376 | 356,274 |
Note receivable | 69,679 | 60,588 |
Restricted cash | 80,108 | 79,561 |
Operating lease right-of-use assets | 18,797 | 25,154 |
Noncurrent deferred tax assets | 97,492 | 1,894 |
Other long-term assets, net | 25,948 | 27,104 |
Total assets | 1,191,012 | 1,199,508 |
Current liabilities: | ||
Accounts payable | 31,570 | 43,080 |
Accrued expenses | 116,575 | 108,610 |
Income taxes payable | 11,682 | 8,272 |
Current portion of decommissioning liability | 9,770 | 0 |
Liabilities held for sale | 3,349 | 5,607 |
Total current liabilities | 172,946 | 165,569 |
Decommissioning liability | 150,901 | 190,380 |
Deferred income taxes | 3,388 | 12,441 |
Operating lease liability | 14,634 | 19,193 |
Other long-term liabilities | 66,259 | 70,192 |
Total liabilities | 408,128 | 457,775 |
Stockholders’ equity (deficit): | ||
Accumulated deficit | (125,699) | (162,178) |
Total stockholders' equity | 782,884 | 741,733 |
Total liabilities and stockholders' equity | 1,191,012 | 1,199,508 |
Common Class A [Member] | ||
Stockholders’ equity (deficit): | ||
Common Stock $0.001 par value | 200 | 200 |
Additional paid in capital | 902,486 | 902,486 |
Common Class B [Member] | ||
Stockholders’ equity (deficit): | ||
Common Stock $0.001 par value | 1 | 1 |
Additional paid in capital | $ 5,896 | $ 1,224 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2022 | Dec. 31, 2021 |
Common Class A [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares issued | 19,999,000 | 19,999,000 |
Common stock, shares outstanding | 19,999,000 | 19,999,000 |
Common Class B [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 2,000,000 | 2,000,000 |
Common stock, shares issued | 84,000 | 76,000 |
Common stock, shares outstanding | 80,000 | 76,000 |
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, 2022 | Dec. 31, 2020 | |
Revenues [Abstract] | ||||
Total revenues | $ 45,928 | $ 648,754 | $ 883,960 | $ 667,249 |
Costs and expenses: | ||||
Total cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 29,773 | 422,252 | 476,951 | 408,131 |
Total depreciation, depletion, amortization and accretion | 8,358 | 219,859 | 98,060 | 115,771 |
General and administrative expenses | 11,052 | 117,575 | 128,294 | 205,773 |
Restructuring expenses | 1,270 | 22,952 | 6,375 | 47,055 |
Other (gains) and losses, net | 16,726 | (29,134) | ||
Reduction in value of assets | 0 | 0 | 0 | 23,775 |
Income (loss) from operations | (4,525) | (150,610) | 203,414 | (133,256) |
Other income (expense): | ||||
Interest income (expense), net | 202 | 2,331 | 11,713 | (92,426) |
Reorganization items, net | 335,560 | 0 | 0 | (19,520) |
Other income (expense) | (2,105) | (7,128) | (1,804) | (9,229) |
Income (loss) from continuing operations before income taxes | 329,132 | (155,407) | 213,323 | (254,431) |
Income tax (expense) benefit | (60,003) | 33,298 | 77,719 | 26,888 |
Net income (loss) from continuing operation | 269,129 | (122,109) | 291,042 | (227,543) |
Income (loss) from discontinued operations, net of income tax | (352) | (40,069) | (4,577) | (168,687) |
Net income (loss) | $ 268,777 | $ (162,178) | $ 286,465 | $ (396,230) |
Income (loss) per share -basic | ||||
Net income (loss) from continuing operations | $ 18.13 | $ (6.11) | $ 14.53 | $ (15.35) |
Income (loss) from discontinued operations, net of income tax | (0.02) | (2) | (0.22) | (11.38) |
Net income (loss) | 18.11 | (8.11) | 14.31 | (26.73) |
Income (loss) per share - diluted: | ||||
Net income (loss) from continuing operations | 18.06 | (6.11) | 14.49 | (15.35) |
Income (loss) from discontinued operations, net of income tax | (0.03) | (2) | (0.23) | (11.38) |
Net income (loss) | $ 18.03 | $ (8.11) | $ 14.26 | $ (26.73) |
Weighted-average shares outstanding - basic | 14,845 | 19,998 | 20,024 | 14,822 |
Weighted-average shares outstanding - diluted | 14,905 | 19,998 | 20,087 | 14,822 |
Services [Member] | ||||
Revenues [Abstract] | ||||
Total revenues | $ 19,234 | $ 305,699 | $ 386,775 | $ 299,383 |
Costs and expenses: | ||||
Total cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 15,080 | 236,784 | 268,078 | 230,341 |
Total depreciation, depletion, amortization and accretion | 3,500 | 105,426 | 37,168 | 51,754 |
Rentals [Member] | ||||
Revenues [Abstract] | ||||
Total revenues | 14,434 | 208,951 | 309,314 | 225,363 |
Costs and expenses: | ||||
Total cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 5,876 | 86,354 | 102,975 | 88,535 |
Total depreciation, depletion, amortization and accretion | 2,627 | 69,443 | 29,724 | 38,561 |
Product Sales [Member] | ||||
Revenues [Abstract] | ||||
Total revenues | 12,260 | 134,104 | 187,871 | 142,503 |
Costs and expenses: | ||||
Total cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 8,817 | 99,114 | 105,898 | 89,255 |
Total depreciation, depletion, amortization and accretion | $ 2,231 | $ 44,990 | $ 31,168 | $ 25,456 |
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, 2022 | Dec. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 268,777 | $ (162,178) | $ 286,465 | $ (396,230) |
Change in cumulative translation adjustment, net of tax | 67,947 | 0 | 0 | 3,980 |
Comprehensive income (loss) | $ 336,724 | $ (162,178) | $ 286,465 | $ (392,250) |
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, 2019 | $ 49,573 | $ 16 | $ 2,752,859 | $ (4,290) | $ (71,927) | $ (2,627,085) | ||
Beginning balance, shares at Dec. 31, 2019 | 15,689 | |||||||
Net income | (396,230) | (396,230) | ||||||
Foreign currency translation adjustment | 3,980 | 3,980 | ||||||
Transactions under stock plans | (208) | (208) | ||||||
Transactions under stock plans, shares | 110 | |||||||
Stock-based compensation expense, net | 4,238 | 4,238 | ||||||
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 | |||||||
Net income | 268,777 | 268,777 | ||||||
Foreign currency translation adjustment | 67,947 | $ 67,947 | ||||||
Extinguishment of unrecognized compensation expense | 988 | 988 | ||||||
Stock-based compensation expense, net | 935 | 935 | ||||||
Restricted stock units vested | 49 | |||||||
Common stock issued,shares | 19,996 | |||||||
Common stock issued,value | 902,686 | $ 200 | 902,486 | |||||
Shares withheld and retired, shares | (15) | |||||||
Cancellation of Predecessor equity, shares | (15,833) | |||||||
Cancellation of Predecessor equity | $ (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 | 19,996 | |||||||
Net income | (162,178) | (162,178) | ||||||
Foreign currency translation adjustment | 0 | |||||||
Stock-based compensation expense, net | 2,710 | $ 2,710 | ||||||
Common stock issued,shares | 3 | 114 | ||||||
Common stock issued,value | $ 1 | (1) | ||||||
Shares withheld and retired, shares | (38) | |||||||
Shares 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 | 19,999 | 76 | ||||||
Net income | 286,465 | 286,465 | ||||||
Foreign currency translation adjustment | 0 | |||||||
Cash dividends | (249,986) | (249,986) | ||||||
Stock-based compensation expense, net | 4,807 | 4,807 | ||||||
Restricted stock units vested | 10 | |||||||
Shares withheld and retired, shares | (2) | |||||||
Shares withheld and retired, value | (135) | (135) | ||||||
Shares placed in treasury, shares | (4) | |||||||
Ending balance, value at Dec. 31, 2022 | $ 782,884 | $ 200 | $ 1 | $ 902,486 | $ 5,896 | $ (125,699) | ||
Ending balance, shares at Dec. 31, 2022 | 19,999 | 80 |
Consolidated Statements Of Ch_2
Consolidated Statements Of Changes In Stockholders' Equity (Deficit) (Parenthetical) | Dec. 31, 2022 $ / shares |
Statement of Stockholders' Equity [Abstract] | |
Cash dividends ($12.45 per share) | $ 12.45 |
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, 2022 | Dec. 31, 2020 | |
Cash flows from operating activities: | ||||
Net income (loss) | $ 268,777 | $ (162,178) | $ 286,465 | $ (396,230) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||
Depreciation, depletion, amortization and accretion | 10,499 | 251,361 | 98,060 | 146,793 |
Right-of-use assets amortization | 1,372 | 8,380 | 6,357 | 20,224 |
Deferred income taxes | 54,322 | (48,975) | (104,587) | 2,041 |
Stock-based compensation expense | 935 | 2,710 | 4,807 | 2,628 |
Reorganization items, net | (354,279) | 0 | 0 | 18,087 |
Bad debt | (210) | (4,908) | 2,248 | 12,473 |
Gain on sale of assets and businesses | 58 | 0 | 0 | 0 |
Gain on sale of equity securities | 0 | (383) | (8,950) | 0 |
Unrealized gain on investment in equity securities | 0 | (2,147) | 0 | 0 |
Other (gains) and losses, net | 0 | 30,707 | (32,872) | 141,110 |
Other reconciling items, net | (355) | 6,687 | (3,822) | (8,309) |
Changes in operating assets and liabilities: | ||||
Accounts receivable | 3,602 | (28,676) | (65,669) | 111,948 |
Prepaid expense | (340) | 4,854 | (1,096) | 0 |
Inventory and other current assets | (221) | 22,866 | (4,568) | 27,933 |
Accounts payable | (2,365) | 735 | (10,149) | (35,170) |
Accrued expenses | 23,489 | (21,770) | 8,503 | (18,154) |
Income taxes | 340 | 11,535 | 771 | 0 |
Other, net | (241) | (11,914) | (82) | (23,157) |
Net cash from operating activities | 5,383 | 58,884 | 175,416 | 2,217 |
Cash flows from investing activities: | ||||
Payments for capital expenditures | (3,035) | (34,152) | (65,784) | (47,653) |
Proceeds from sales of assets | 775 | 97,505 | 50,376 | 50,039 |
Proceeds from sales of equity securities | 0 | 4,099 | 34,685 | 0 |
Net cash from investing activities | (2,260) | 67,452 | 19,277 | 2,386 |
Cash flows from financing activities: | ||||
Credit facility costs | (1,920) | (14) | 0 | (1,554) |
Tax withholdings for vested restricted stock units | 0 | (1,485) | (135) | (208) |
Distributions to shareholders | 0 | 0 | (249,986) | 0 |
Other | 0 | 0 | 0 | (12,432) |
Net cash from financing activities | (1,920) | (1,499) | (250,121) | (14,194) |
Effect of exchange rate changes on cash | 311 | 0 | 0 | 2,387 |
Net change in cash, cash equivalents, and restricted cash | 1,514 | 124,837 | (55,428) | (7,204) |
Cash, cash equivalents, and restricted cash beginning of period | 268,184 | 269,698 | 394,535 | 275,388 |
Cash, cash equivalents, and restricted cash at end of period | $ 269,698 | $ 394,535 | $ 339,107 | $ 268,184 |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
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. Historically, we provided a wide variety of services and products to many markets within the energy industry. Our core businesses focus on products and services that we believe meet the criteria of: • being critical to our customers’ oil and gas operations; • limiting competition from the three largest global oilfield service companies; • requiring deep technical expertise through the design or use of our products or services, such as premium drill pipe and drilling bottom hole assembly accessory rentals; • unlikely to become a commoditized product or service to our customers; and • providing strong cash flow generation capacity and opportunities. 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. Emergence from Voluntary Reorganization under Chapter 11 On December 7, 2020, certain of our direct and indirect wholly-owned domestic subsidiaries (the “Affiliate Debtors”) filed petitions for reorganization under the provisions of Chapter 11 of the Bankruptcy Code and, in connection therewith, filed the proposed Joint Prepackaged Plan of Reorganization (as amended, modified or supplemented from time to time, the “Plan”). On the Emergence Date, the conditions to the effectiveness of the Plan were satisfied and we emerged from Chapter 11. 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, 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 results of operations for any period after our adoption of fresh start accounting. 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. 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 2022, 2021 or 2020. 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, 2022 and 2021 was $ 6.1 million and $ 2.2 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 year ended December 31, 2022 (the "Current Period"), we recognized $ 2.2 million in bad debt expense. During the Successor Period and Predecessor Period, we recognized $ 4.9 million and $ 0.2 million , respectively, in bad debt recoveries. Additionally, in the year ended December 31, 2020 (the "Prior Period"), we recognized bad debt expense of $ 11.9 million. 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. 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 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. 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 (gains) and losses, net as a component of operating income. Other (gains) and losses, net Other (gains) and losses, net primarily relate to charges recorded as part of our strategic disposal of low margin assets in line with our efforts to reconfigure our organization both operationally and financially (the “Transformation Project”) and includes gains and losses on the disposal of assets, as well as impairments related to long-lived assets. Other gains, net for the Current Period were $ 29.1 million , and are primarily comprised of gains of $ 23.6 million related to our Well Services segment, including a gain of $ 17.4 million from revisions in estimates related to our decommissioning liability, and $ 5.2 million related to net gains on the disposal of assets in our Rentals segment. Other losses, net in the Successor Period were $ 16.7 million, and are comprised of $ 13.1 million related to our Well Services segment, including approximately $ 11.7 million from exit activities related to SES Energy Services India Pvt. Ltd, and $ 3.6 million related to our Rentals segment. Restricted Cash Restricted cash as of December 31, 2022 includes approximat ely $ 77.3 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 $ 2.8 million in escrow to secure the future decommissioning obligations related to the oil and gas property. Income Taxes We use the asset and liability method of accounting for income taxes. This method considers 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 deferred tax assets ("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. Foreign Currency The functional currency of our international subsidiaries is the U.S. dollar. 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 Current Period, the Successor Period, the Predecessor Period and the Prior Period, we recorded foreign currency losses of $ 12.6 million , $ 8.8 million , $ 2.1 million and $ 8.9 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. Restructuring expenses Restructuring expenses in our consolidated statement of operations during the Current Period, Successor Period and Predecessor Period were $ 6.4 million, $ 23.0 million and $ 1.3 million, respectively. Restructuring expenses in the Current Period represent costs associated with our Transformation Project, as well as legal and other professional expenses primarily related to certain tax and shareholder distribution matters. Restructuring expenses in the Successor Period and Predecessor Period primarily relate to professional fees and separation costs related to former executives and personnel. Additionally, during the Successor Period, we 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. 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 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. |
Fresh Start Accounting
Fresh Start Accounting | 12 Months Ended |
Dec. 31, 2022 | |
Fresh Start Accounting [Abstract] | |
Fresh Start Accounting | (2) 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 thousand in proceeds used to settle $ 952 thousand 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 thousand 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 17 - Discontinued Operations . |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | (3) Revenue Disaggregation of Revenue The following table presents revenues by segment disaggregated by geography (in thousands): Successor Predecessor Year Ended December 31, 2022 For the Period For the Period For the Twelve Months Ended December 31, 2020 U.S. land Rentals $ 160,742 $ 87,432 $ 4,917 $ 78,537 Well Services 24,558 20,133 3,379 26,924 Total U.S. land 185,300 107,565 8,296 105,461 U.S. offshore Rentals 140,881 103,646 8,196 129,021 Well Services 122,848 93,412 7,371 104,559 Total U.S. offshore 263,729 197,058 15,567 233,580 International Rentals 101,319 77,617 5,226 90,277 Well Services 333,612 266,514 16,839 237,931 Total International 434,931 344,131 22,065 328,208 Total Revenues $ 883,960 $ 648,754 $ 45,928 $ 667,249 The following table presents revenues by segment disaggregated by type (in thousands): Successor Predecessor Year Ended December 31, 2022 For the Period For the Period For the Twelve Months Ended December 31, 2020 Services Rentals $ 53,029 $ 33,629 $ 2,005 $ 45,226 Well Services 333,746 272,070 17,229 254,157 Total Services 386,775 305,699 19,234 299,383 Rentals Rentals 299,128 197,050 14,082 215,163 Well Services 10,186 11,901 352 10,200 Total Rentals 309,314 208,951 14,434 225,363 Product Sales Rentals 50,786 38,016 2,252 37,446 Well Services 137,085 96,088 10,008 105,057 Total Product Sales 187,871 134,104 12,260 142,503 Total Revenues $ 883,960 $ 648,754 $ 45,928 $ 667,249 |
Inventory
Inventory | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Inventory | (4) 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, 2022 December 31, 2021 Finished goods $ 36,136 $ 26,187 Raw materials 8,351 9,753 Work-in-process 4,718 4,253 Supplies and consumables 16,382 20,410 Total $ 65,587 $ 60,603 Finished goods inventory includes component parts awaiting assembly of approximately $ 20.7 million and $ 15.2 million as of December 31, 2022 and 2021, respectively. |
Decommissioning Liability
Decommissioning Liability | 12 Months Ended |
Dec. 31, 2022 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Decommissioning Liability | (5) Decommissioning Liability We account for our decommissioning liability under ASC 410 – Asset Retirement Obligations . Our decommissioning liability is associated with our oil and gas property and includes costs related to the plugging of wells, decommissioning of the platform and related equipment and site restoration. We review the adequacy of our decommissioning liability whenever indicators suggest that the estimated cash flows and/or timing needed to satisfy the liability have changed materially. During 2022, we revised our decommissioning program as follows: • During the second quarter of 2022, we undertook an initiative to alter our decommissioning program, whereby we intend to convert the platform into an artificial reef (“reef-in-place”). The reef-in-place program would involve severing the top portion of the structure at a permitted navigation depth and placing the severed structure on the sea floor next to the base of the remaining structure. Converting to a reef-in-place program reduced the estimated costs associated with decommissioning the wells and platform, and also impacted the time required to complete the decommissioning activities. The reduction in cost estimates under a reef-in-place program resulted in a reduction in the carrying value of our decommissioning liability and related note receivable as discussed in Note 6 - Note Receivable, as well as impacted the carrying value of our oil and gas producing assets, such that as of June 30, 2022, our decommissioning liability was reduced by $ 53.0 million and the related note receivable was increased by $ 2.6 million . In accordance with ASC 410, the carrying value of our oil and gas producing assets was reduced by $ 38.2 million , which represented the net book value of our oil and gas assets at June 30, 2022. In connection with these changes, we recognized a gain of approximately $ 17.4 million , which is included in other (gains) and losses, net in our statement of operations. • During the fourth quarter of 2022, information received from the operator of our oil and gas property raised concerns regarding the economic viability of the remaining well recompletions, which caused us to modify our planned well completions schedule. This change resulted in the acceleration of the estimated remaining life expectancy of the oil and gas assets. Concurrent with this ongoing analysis, the operator of our oil and gas property received a notice from the Bureau of Safety and Environmental Enforcement regarding idle wells, which was aligned with the actions we were initiating. In response, in December 2022, we revised our estimates relating to the timing and the cost of decommissioning the wells. We now estimate all decommissioning activities, including the decommissioning of the platform, to be completed by the second quarter of 2030. Previously, we had expected final decommissioning activities to be completed by the second quarter of 2031. Due to the upward revision in decommissioning costs for the wells, and an acceleration in timing to decommission the wells and platform, at December 31, 2022, our decommissioning liability was increased by $ 13.8 million , the related note receivable was increased by $ 2.7 million and we recorded an asset retirement cost asset of $ 11.1 million. The following table presents the activity during 2022 impacting our decommissioning liability, the related note receivable and oil and gas producing assets: Balance at December 31, 2021 2022 Activity Reef-in-place Adjustment Year End 2022 Adjustment Balance at December 31, 2022 Decommissioning Liability $ 190,380 $ 9,500 $ ( 53,028 ) $ 13,819 $ 160,671 Note Receivable 60,588 3,823 2,581 2,687 69,679 Oil and gas producing assets, net 41,582 ( 2,790 ) ( 38,235 ) 11,132 11,689 (1) Activity during 2022 relates to accretion of the decommissioning liability, interest income on the note receivable and depletion and capital expenditures, net to the oil and gas producing assets. The following table presents our decommissioning liability as of the periods indicated: December 31, 2022 December 31, 2021 Wells $ 96,171 $ 97,810 Platform 64,500 92,570 Decommissioning Liability 160,671 190,380 Less: Note Receivable ( 69,679 ) ( 60,588 ) Decommissioning Liability, net of Note Receivable $ 90,992 $ 129,792 Accretion expense associated with our decommissioning liability during the Current Period, the Successor Period, the Predecessor Period and the Prior Period was $ 9.5 million was $ 9.3 million and $ 0.5 million , and $ 6.5 million, respectively. |
Note Receivable
Note Receivable | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Note Receivable | (6) Note Receivable Our note receivable consist of a commitment from the seller of oil and gas property for costs associated with abandonment. Pursuant to an agreement with the seller, we invoice the seller an agreed upon amount at the completion of certain decommissioning activities. As discussed above, changes in estimates regarding the timing and the cost of decommissioning our oil and gas property under a reef-in-place program during the second quarter of 2022 resulted in a $ 2.6 million increase in the carrying value of our note receivable. As discussed above, due to revisions in estimates in both costs and timing of decommissioning the wells associated with our oil and gas property, at December 31, 2022, the related note receivable was increased by $ 2.7 million . Due to the reduction in estimated costs under the reef-in-place program and revisions to the timing of the expected completion of the platform decommissioning activities, the gross amount of the seller’s obligation is $ 105.2 million. The carrying value of the note receivable totaled $ 69.7 million as of December 31, 2022. The discount on the notes receivable, which is currently based on an effective interest rate of 5.6 % , 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. We recorded non-cash interest income related to the note receivable of $ 3.8 million , $ 3.9 million , $ 0.4 million and $ 4.5 million related to our notes receivable during the Current Period, the Successor Period, the Predecessor Period and the Prior Period, respectively. Interest income is included in other reconciling items, net in the Consolidated Statements of Cash Flows. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Leases | (7) 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, 2022 For the Period For the Period For the Twelve Months Ended December 31, 2020 Long-term fixed lease expense $ 9,761 $ 12,579 $ 1,824 $ 18,454 Long-term variable lease expense 2 - 19 10 Short-term lease expense 22,705 10,165 789 4,322 Total operating lease expense $ 32,468 $ 22,744 $ 2,632 $ 22,786 Operating leases were as follows (in thousands): December 31, 2022 December 31, 2021 Operating lease ROU assets $ 18,797 $ 25,154 Accrued expenses $ 4,033 $ 5,650 Operating lease liabilities 14,634 19,193 Total operating lease liabilities $ 18,667 $ 24,843 Weighted average remaining lease term 18 years 15 years Weighted average discount rate 5.33 % 5.34 % Cash paid for operating leases $ 7,395 $ 13,591 ROU assets obtained in exchange for lease obligations 5,069 2,820 During the Current Year, cash paid for operating leases totaled $ 7.4 million and ROU assets obtained in exchange for lease obligation were $ 5.1 million . Maturities of operating lease liabilities at December 31, 2022 are as follows (in thousands): 2023 $ 5,805 2024 4,301 2025 3,284 2026 1,573 2027 588 Thereafter 14,747 Total lease payments 30,298 Less imputed interest ( 11,631 ) Total $ 18,667 |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, Net | (8) Property, Plant and Equipment, Net A summary of property, plant and equipment, net is as follows (in thousands): December 31, 2022 December 31, 2021 Machinery and equipment $ 378,907 $ 360,353 Buildings, improvements and leasehold improvements 70,816 75,374 Automobiles, trucks, tractors and trailers 6,376 6,450 Furniture and fixtures 19,373 19,668 Construction-in-progress 5,185 6,700 Land 26,695 28,671 Oil and gas producing assets 11,714 44,700 Total 519,066 541,916 Accumulated depreciation and depletion ( 236,690 ) ( 185,642 ) Property, plant and equipment, net $ 282,376 $ 356,274 We had $ 7.1 million and $ 7.2 million of leasehold improvements at December 31, 2022 and 2021, 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 include capitalized asset retirement costs associated with our oil and gas property. Depreciation and depletion expense associated with our property, plant and equipment for the Current Period was $ 87.6 million. Depreciation and depletion expense, excluding depreciation related to assets held for sale, for the year ended for the Successor Period, Predecessor Period and the Prior Period was $ 209.7 million , $ 7.8 million and $ 108.0 million, respectively. See Note 17 - 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. Gains and losses on disposals of assets are recognized within other (gains) and losses, net in our statement of operations. Prior to the Emergence Date, we recognized gains and losses on the disposal of assets within general and administrative expenses. During the second quarter of 2022, changes in estimates regarding the timing and cost of decommissioning our oil and gas property under a reef-in-place program impacted the carrying value of our oil and gas producing assets. In accordance with ASC 410, the carrying value of our oil and gas producing assets, which included capitalized oil and gas reserves and capitalized asset retirement costs, was reduced by $ 38.2 million , which represented the net book value of all of our oil and gas assets at June 30, 2022. As discussed above, due to revisions in estimates in both costs and timing of decommissioning the wells associated with our oil and gas property, at December 31, 2022, we recorded capitalized asset retirement costs of $ 11.1 million . |
Debt
Debt | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Debt | (9) 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, 2022, the borrowing base under the Credit Facility was approximately $ 120.0 million and we had $ 34.9 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, 2022 . |
Stock-Based Compensation Plans
Stock-Based Compensation Plans | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Stock-Based Compensation Plans | (10) Stock-Based Compensation Plans 2021 Management Incentive Plan Our Board of Directors (the “Board”) and the Compensation Committee of the Board (the “Compensation Committee”) have 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. To date, grants under the MIP have been in the form of shares of Class B common stock ("RSAs"), restricted stock units which will be settled in Class B common stock upon the satisfaction of time-based vesting conditions ("RSUs") and performance stock units which will be settled in Class B common stock upon the satisfaction of time-based vesting conditions and performance-based vesting conditions ("PSUs"). The RSAs vest over a period of three years, subject to earlier vesting and forfeiture on terms and conditions set forth in the applicable award agreement. RSUs granted in 2022 generally vest in three equal annual installments over the three-year period, subject generally to continued employment and the other terms and conditions set forth in the forms of the RSU award agreements. RSUs granted in 2021 vest in full in the first quarter of 2023, subject generally to continued employment and the other terms and conditions set forth in the forms of the RSU award agreements. PSUs may be earned between 25 % and 100 % of the target award based on achievement of share price goals set forth in the forms of the PSU award agreements and will vest to the extent that share price goals are achieved based on the terms and conditions set forth in the forms of the PSU award agreements. The following sets forth issuances under the MIP: In June 2021, we issued 76,269 RSAs with a grant date fair value of $ 39.53 per share. During the Current Period, 42,389 RSAs vested and 3,904 RSAs were forfeited and placed in treasury. The unamortized estimated grant date fair value as of December 31, 2022 was approximately $ 0.8 million. During the third quarter of 2021, we granted 50,596 RSUs with a grant date fair value of $ 39.53 per share. During the Current Period, 10,437 shares vested and 2,212 shares were forfeited. The unamortized estimated grant date fair value as of December 31, 2022 was immaterial. All RSUs granted in 2021 are scheduled to vest in the first quarter of 2023. In March 2022, we granted 72,050 RSUs and 288,199 PSUs which was intended to satisfy stock awards for the next three years. Additional grants may be issued for new hires and promotions. The grant date fair value of the RSUs was estimated to be $ 58.80 per share. The unamortized estimated grant date fair value as of December 31, 2022 was $ 3.1 million. In July 2022, we granted 88,215 RSUs with a grant date fair value of $ 58.80 per share. The unamortized estimated grant date fair value as of December 31, 2022 was $ 4.2 million. During the Current Period we recognized $ 4.8 million in compensation expense associated with grants of RSAs and RSUs. We are currently not amortizing the PSUs as we have not concluded that it is probable that the performance condition will be achieved. During the Predecessor Period and the Successor Period, we recognized $ 0.2 million and $ 2.7 million , respectively, in compensation cost associated with grants of restricted stock and RSUs. As a result of the consummation of the Plan, restricted stock units issued prior to the Emergence Date were canceled for zero consideration. Reorganization items, net in the Predecessor Period include $ 0.9 million in costs associated with the cancellation of the pre-Emergence outstanding restricted stock units. 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 $ 3.1 million, $ 2.6 million, $ 0.4 million and $ 6.2 million during December 31, 2022, the Successor Period, the Predecessor Period and in 2020, 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 during 2020. We made payments to eligible participants in the SERP of $ 1.7 million and $ 3.4 million during 2022 and the Successor Period, respectively. No payments were made during the Predecessor Period or during 2020. 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 2022. We have not had enrollment periods for the NQDC since 2019. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (11) Income Taxes The income tax provision is as follows: Successor Predecessor In thousands: For the Year Ended December 31, 2022 Period Period For the Year Ended December 31, 2020 Current income tax expense/(benefit) Federal $ ( 50 ) $ ( 1,106 ) $ - $ ( 36,506 ) State 945 ( 307 ) - 635 Foreign 23,738 6,220 3,314 8,497 Total current income tax expense/(benefit) 24,633 4,807 3,314 ( 27,374 ) Deferred income tax expense/(benefit) Federal ( 83,420 ) ( 42,904 ) 55,015 4,593 State 165 2,633 ( 182 ) ( 638 ) Foreign ( 19,097 ) 2,166 1,856 ( 3,469 ) Total deferred income tax expense/(benefit) ( 102,352 ) ( 38,105 ) 56,689 486 Total income tax expense/(benefit) $ ( 77,719 ) $ ( 33,298 ) $ 60,003 $ ( 26,888 ) For the year ended December 31, 2022, we recognized a worthless stock deduction in the U.S. related to deductible outside basis differences in certain domestic subsidiaries, which is the primary driver of the increase in federal deferred tax. We executed a transaction through which a worthless stock deduction of approximately $ 495.2 million was deducted for income tax purposes resulting in an estimated net tax benefit of $ 104.0 million. Consistent with our policy, we evaluated the deduction and believe it will more likely than not be sustained on its technical merits and have recognized its benefits accordingly. During the Current Period, U.S. rental income and foreign tax from foreign jurisdictions increased. Additionally, income in a few of our foreign operations improved. In these jurisdictions, namely Brazil, we benefitted from the release of a valuation allowance due to a pattern of sustained profitability such that it is viewed as more likely than not that the deferred income tax assets will be realized. 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. Effective in tax year 2022, the Tax Cuts and Jobs Act of 2017 eliminates the option to deduct research and development expenditures in the current period and requires taxpayers to capitalize and amortize them over five or fifteen years pursuant to Internal Revenue Code Section 174. The legislation did not have a material impact in our business, operating results, and financial condition A reconciliation of the U.S. statutory federal tax rate to the consolidated effective tax rate is as follows: Successor Predecessor Continuing Operations (i n thousands): For the Year Ended December 31, 2022 Period Period For the Year Ended December 31, 2020 Computed expected tax expense/(benefit) $ 44,798 $ ( 32,635 ) $ 69,125 $ ( 53,431 ) State and foreign income taxes ( 350 ) ( 17,893 ) 6,217 5,026 Valuation allowance ( 13,140 ) - ( 46,208 ) 19,024 Gain on Settlement of Liabilities Subject to Compromise - ( 89,905 ) - Reduction in Deferred Tax Assets 19,154 87,316 - Fresh Start Adjustments - 29,099 - Worthless stock deduction ( 103,992 ) - - - Foreign Tax Credit ( 5,161 ) - - - Other 126 ( 1,924 ) 4,359 2,493 Total income tax expense/(benefit) $ ( 77,719 ) $ ( 33,298 ) $ 60,003 $ ( 26,888 ) For the year ended December 31, 2022, the total tax provision differs from the tax computed using the standard tax rate primarily due to the worthless stock deduction of $ 104.0 million previously discussed. In addition, due to increased profitability, we released several valuation allowances including a $ 14.5 million related our U.S. foreign tax credit (“FTC”) carryforward and $ 8.7 million related to Brazil deferred tax assets primarily consisting of NOL carryforward. For the year ended December 31, 2021, we 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 $ 433.0 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. Currently, we do not expect the Section 382 limitation to impact our ability to use U.S. NOLs and FTC carryover tax attributes due to qualification for relief under Section 382. Significant components of our deferred tax assets and liabilities are as follows: In thousands: December 31, 2022 December 31, 2021 Deferred tax assets: Allowance for doubtful accounts $ 1,374 $ 1,046 Operating loss and tax credit carryforwards 157,395 84,684 Compensation and employee benefits 7,376 8,832 Decommissioning liabilities 39,328 39,328 Goodwill and other intangible assets 369 772 Operating leases 126 197 Other Asset 52,345 30,749 Total gross deferred tax assets 258,313 165,608 Less: Valuation allowance ( 80,280 ) ( 90,781 ) Total deferred tax assets $ 178,033 74,827 Deferred tax liabilities: Property, plant and equipment $ 64,571 $ 64,721 Notes receivable 17,812 17,812 Other Liability 1,546 1,287 Total deferred tax liabilities $ 83,929 $ 83,820 Net deferred tax assets (liabilities) $ 94,104 $ ( 8,993 ) 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. The ultimate realization of deferred tax assets for the U.S. FTC carryovers is dependent on the generation of future taxable income of the appropriate character during the FTC carryforward period. We previously considered FTC credit carryforwards to be unrealizable primarily due to our cumulative history of losses in the U.S. and Sec. 382 tax attribute utilization limits resulting from bankruptcy. During 2022, we determined there is now enough positive evidence to realize a portion of the tax benefit related to U.S. FTC carryforwards. This is due to a pattern of sustained profitability in the U.S. since we emerged from bankruptcy and capacity relief under Section 382. The amount of valuation allowance released recognizes the FTC deferred tax assets we estimate will offset U.S. taxes in the next 2-3 years before expiration. We have $ 40.0 million of U.S. FTC deferred tax assets that continue to have a valuation allowance against them, including $ 5.2 million in 2022 FTCs that carryforward up to 10 years. We will continue to evaluate the realizability of U.S. FTCs in future years. A valuation allowance has been placed on the state net operating losses. Similarly, with the exception of Brazil, the deferred tax assets on the majority of our foreign operation jurisdictions continue to require a valuation allowance. The amount of our net deferred tax assets considered realizable could be adjusted if projections of future taxable income are reduced or objective negative evidence in the form of a three-year cumulative loss is present or both. Should we no longer have a level of sustained profitability, excluding non-recurring charges, we will have to rely more on our future projections of taxable income to determine if we have an adequate source of taxable income for the realization of our deferred tax assets, namely NOL, interest limitation, and tax credit carryforwards. This may result in the need to record a valuation allowance against all or a portion of our deferred tax assets. The amount of U.S. consolidated net operating losses available as of December 31, 2022, after attribute reduction, is estimated to be approximately $ 367.9 million, which are available to reduce future taxable income, of which $ 20.4 million have a 20-year carryforward period and expire after 2036 and $ 347.5 million have an indefinite carryforward but are limited to offsetting 80 % of taxable income each year. At December 31, 2022, we also had various state net operating loss carryforwards with expiration dates starting in 2022. The state net operating losses net deferred tax asset of $ 19.6 million has a full valuation allowance. At December 31, 2022, we also had a U.S. foreign tax credit carryforward of $ 59.7 million with expiration dates from 2024 to 2032. A partial valuation allowance was setup against the foreign tax credit carryforward in the amount of $ 40.0 million, which will more-likely-than-not expire before being utilized. We have not provided additional US income tax expense on foreign earnings of foreign affiliates. At December 31, 2022 our foreign subsidiaries had an overall accumulated deficit in earnings. We are repatriating from foreign subsidiaries and the distributions are not subject to incremental US taxation because they represent either 1) return of basis where there is not current or accumulated earnings and profits, 2) previously taxed earnings and profits or 3) foreign earnings exempt from incremental US tax. We file income tax returns 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 2018. The activity in unrecognized tax benefits is as follows: Successor Predecessor In thousands: For the Year Ended December 31, 2022 Period Period For the Year Ended December 31, 2020 Unrecognized tax benefits at beginning of period $ 14,973 $ 14,706 $ 13,206 $ 13,206 Additions based on tax positions related to prior years 569 2,848 1,500 1,757 Reductions based on tax positions related to prior years ( 334 ) ( 552 ) - - Additions based on tax positions related to current year 78 - - - Reductions as a result of a lapse of the applicable statute of limitations - - - ( 757 ) Reductions relating to settlements with taxing authorities ( 1,277 ) ( 2,029 ) - ( 1,000 ) Unrecognized tax benefits at end of period $ 14,009 $ 14,973 $ 14,706 $ 13,206 We had unrecognized tax benefits of $ 14.0 million as of December 31, 2022, and $ 15.0 million as of December 31, 2021, all of which would impact our effective tax rate if recognized. It is reasonably possible that $ 9.7 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. It is our policy to recognize interest and applicable penalties, if any, related to uncertain tax positions in income tax expense. The amounts above includes accrued interest and penalties of $ 7.2 million and $ 6.9 million for periods ended December 31, 2022 and 2021, respectively. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | (12) Earnings per Share Our common equity consists of Class A Common Stock and Class B Common Stock (the “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 using the weighted average number of Common Stock outstanding during the period plus any potentially dilutive Common Stock, such as restricted stock awards, restricted stock units, and performance-based units calculated using the treasury stock method. The following table presents the reconciliation between the weighted average number of shares for basic and diluted earnings per share. Predecessor For the Twelve Months Ended For the Period For the Period Weighted-average shares outstanding - basic 20,024 19,998 14,845 Potentially dilutive stock awards and units 63 - 60 Weighted-average shares outstanding - diluted 20,087 19,998 14,905 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | (13) Segment Information Our reportable segments are Rentals and Well Services. 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 other (gains) and losses, net. 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 year ended December 31, 2022 (Successor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 402,942 $ 481,018 $ - $ 883,960 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 137,626 339,325 - 476,951 Depreciation, depletion, amortization and accretion 58,731 34,841 4,488 98,060 General and administrative expenses 28,139 45,898 54,257 128,294 Restructuring expenses - - 6,375 6,375 Other (gains) and losses, net ( 5,190 ) ( 23,575 ) ( 369 ) ( 29,134 ) Income (loss) from operations $ 183,636 $ 84,529 $ ( 64,751 ) $ 203,414 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 (gains) and losses, net 3,609 13,117 - 16,726 Income (loss) from operations $ ( 17,349 ) $ ( 57,791 ) $ ( 75,470 ) $ ( 150,610 ) 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 ) 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 ) Identifiable Assets Well Corporate Consolidated Rentals Services and Other Total December 31, 2022 $ 432,437 $ 533,327 $ 225,248 $ 1,191,012 December 31, 2021 379,453 636,256 183,799 1,199,508 At December 31, 2022 and 2021, the Corporate and Other segment included $ 12.0 million and $ 37.5 million of identifiable assets relating to assets held for sale. Additionally, the Corporate and Other segment as of December 31, 2022 includes $ 97.5 million of non-current deferred tax assets. For further discussion see Note 17 - Discontinued Operations . Capital Expenditures Well Corporate Consolidated Rentals Services and Other Total December 31, 2022 $ 54,126 $ 10,729 $ 929 $ 65,784 For the period from February 3, 2021 through December 31, 2021 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 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. See Note 3 - Revenues for a detail of our domestic and international revenues. 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. Long-Lived Assets December 31, 2022 December 31, 2021 United States $ 212,534 $ 231,388 Other countries 69,842 124,886 Total $ 282,376 $ 356,274 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | (14) 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): December 31, 2022 Level 1 Level 2 Level 3 Total Non-qualified deferred compensation assets and liabilities Other long-term assets, net $ - $ 16,299 $ - $ 16,299 Accrued expenses - 1,831 - 1,831 Other long-term liabilities - 15,855 - 15,855 Investment in equity securities $ - $ - $ - $ - December 31, 2021 Level 1 Level 2 Level 3 Total Non-qualified deferred compensation assets and liabilities Other long-term assets, net $ - $ 15,896 $ - $ 15,896 Accrued expenses - 2,250 - 2,250 Other long-term liabilities - 19,218 - 19,218 Investment in equity securities $ 25,735 $ - $ - $ 25,735 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 canceled for zero consideration. Investment in equity securities related to our ownership in common stock of Select Energy Services, Inc. ("Select"). This investment was reported at fair value based on unadjusted quoted prices which are readily determinable, which represents a Level 1 in the fair value hierarchy. 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. |
Other Income (Expense)
Other Income (Expense) | 12 Months Ended |
Dec. 31, 2022 | |
Other Income and Expenses [Abstract] | |
Other Income (Expense) | (15) Other Income (Expense) Other income (expense) primarily relate to re-measurement gains and losses associated with our foreign currencies and realized and unrealized gains and losses on our investment in common stock of Select. Losses on foreign currencies during the Current Period, the Successor Period, the Predecessor Period and the Prior Period were $ 12.6 million , $ 8.8 million , $ 2.1 million and $ 8.9 million, respectively. Losses on foreign currencies during the Current Period include an expense of $ 2.7 million which represents a correction of an immaterial error relating to a period prior to our emergence from bankruptcy. Gains and losses on foreign currencies are primarily related to our operations in Brazil and Argentina. During the Current Period, we disposed of 4.1 million shares of Select for $ 34.7 million , and we recognized gains totaling $ 8.9 million in connection with these transactions. During the Successor Period, we disposed of 0.7 million shares of Select for $ 4.1 million, and we recognized gains totaling $ 0.4 million. Unrealized gains during the Successor Period were $ 2.1 million. As of December 31, 2022, all shares of Select have been disposed. |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | (16) 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. 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. Those former employees have filed separate two lawsuits in the Harris County District Court, in which the former employees allege that the royalty payments they had invoiced at 25 % and for which they received payments in the invoiced amounts since 2010, instead should have been paid at a rate of 50 %. The first lawsuit (the “First Case”), filed during the second quarter of 2018, sought to recover alleged unpaid royalties from May 2014 through May 2019. The second lawsuit (the “Second Case”) was filed in the same district court against the same subsidiary of ours, brought the same claims, and sought damages post-judgment from the First Case until the discontinuation of the leasing of the product at issue by the subsidiary at the end of 2019. In both lawsuits, the district court ruled against our subsidiary and entered final judgments, which we fully secured with a bond. We strongly disagreed with the result and believed the district court committed several legal errors that should be corrected by reversal of each of the judgments. Accordingly, we pursued separate appeals in the Fourteenth Court of Appeals In August 2022, in the appeal from the judgment in the First Case, the Fourteenth Court of Appeals (the "Court of Appeals") ruled in favor of our subsidiary on the plaintiffs’ claims for a combined 50 % royalty. The Court of Appeals ruled that because the plaintiffs invoiced our subsidiary for a combined 25 % royalty and accepted payments in that amount every month since 2010, the plaintiffs forever waived any claim to any royalties in any amount other than a combined 25 % royalty, net of expenses. The Court of Appeals reversed the judgment in the First Case and remanded to the district court to assess damages, if any, owed for royalties between January 2018 and May 2019. The appeal from the judgment in the Second Case was abated by the Fourteenth Court of Appeals pending the resolution of the appeal in the First Case. On October 7, 2022, our subsidiary reached a confidential settlement in both the First Case and the Second Case with the plaintiffs to resolve any and all disputes between them. At the request of both parties in the appeals from both the First Case and the Second Case, the Fourteenth Court of Appeals has reversed the respective judgments entered by the district court. The district court has now entered take-nothing judgments in favor of our subsidiary in both cases and has released the supersedeas bonds filed by our subsidiary in both cases. Accordingly, both the First Case and the Second Case are fully and finally resolved. Our Indian subsidiary, SES Energy Services India Pvt. Ltd (“SES India”), entered into a contract with an Indian oil and gas company to provide an offshore vessel for well stimulation. A dispute arose over the performability of the terms of the contract. The contract was terminated by the customer. Any remaining contingency under this contract was terminated in connection with SES India entering into bankruptcy during 2022. In October 2022, we had a hearing before the Washington State Board of Tax Appeals (the “Tax Board”) in relation to a dispute arising in April 2019 pertaining to a use tax assessment from 2016 as a result of the construction of a vessel by one of our subsidiaries. As of December 31, 2022, the assessment, including interest, totaled $ 26.9 million . While we are confident that the assessment is legally insupportable, if the Tax Board upholds the assessment we will be responsible for payment of the full assessment within thirty days of the decision. Although we are unable to estimate the probability of the outcome of this matter or the range of reasonably possible loss, if any, we have reserved an amount we believe to be adequate to cover any final assessment levied by the state. |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | (17) Discontinued Operations The following table summarizes the components of loss from discontinued operations, net of tax (in thousands): Successor Predecessor Year Ended December 31, 2022 For the Period For the Period Year Ended December 31, 2020 Revenues $ - $ 90,682 $ 10,719 $ 184,580 Cost of services - 85,191 10,398 180,408 Depreciation, depletion, amortization and accretion - 31,502 2,141 31,022 General and administrative expenses 8,043 8,847 1,119 22,035 Other (gains) and losses, net ( 2,249 ) 15,807 - - Reduction in value of assets - - - 117,335 Loss from operations ( 5,794 ) ( 50,665 ) ( 2,939 ) ( 166,220 ) Other income (expense) - 188 2,485 ( 2,069 ) Loss from discontinued operations before tax ( 5,794 ) ( 50,477 ) ( 454 ) ( 168,289 ) Income tax benefit (expense) 1,217 10,408 102 ( 398 ) Income (loss) from discontinued operations, net of income tax $ ( 4,577 ) $ ( 40,069 ) $ ( 352 ) $ ( 168,687 ) The following summarizes the assets and liabilities related to the business reported as discontinued operations (in thousands): December 31, 2022 December 31, 2021 Assets: Accounts receivable, net $ 350 $ 7,469 Property, plant and equipment, net 11,468 29,328 Other assets 160 731 Total assets held for sale $ 11,978 $ 37,528 Liabilities: Accounts payable $ 86 $ 652 Accrued expenses 3,192 4,268 Other liabilities 71 687 Total liabilities held for sale $ 3,349 $ 5,607 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, 2022 For the Period For the Period Year Ended December 31, 2020 Cash flows from discontinued operating activities: Reduction in value of assets $ - $ - $ - $ 117,335 (Gain)/loss on sale of assets - - ( 43 ) 286 Other (gains) and losses, net ( 2,249 ) 15,807 - - Depreciation, depletion, amortization and accretion - 31,502 2,141 31,022 Cash flows from discontinued investing activities: Proceeds from sales of assets 20,110 88,332 486 22,224 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2022 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | (18) 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, 2022 For the Period For the Period Year Ended December 31, 2020 Cash, cash equivalents, and restricted cash, beginning 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, beginning of period $ 394,535 $ 269,698 $ 268,184 $ 275,388 Cash, cash equivalents, and restricted cash, end of period Cash and cash equivalents $ 258,999 $ 314,974 $ 172,768 $ 188,006 Restricted cash-current - - 16,751 - Restricted cash-non-current 80,108 79,561 80,179 80,178 Cash, cash equivalents, and restricted cash, end of period $ 339,107 $ 394,535 $ 269,698 $ 268,184 |
Summary Of Significant Accoun_2
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2022 | |
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. Historically, we provided a wide variety of services and products to many markets within the energy industry. Our core businesses focus on products and services that we believe meet the criteria of: • being critical to our customers’ oil and gas operations; • limiting competition from the three largest global oilfield service companies; • requiring deep technical expertise through the design or use of our products or services, such as premium drill pipe and drilling bottom hole assembly accessory rentals; • unlikely to become a commoditized product or service to our customers; and • providing strong cash flow generation capacity and opportunities. 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. Emergence from Voluntary Reorganization under Chapter 11 On December 7, 2020, certain of our direct and indirect wholly-owned domestic subsidiaries (the “Affiliate Debtors”) filed petitions for reorganization under the provisions of Chapter 11 of the Bankruptcy Code and, in connection therewith, filed the proposed Joint Prepackaged Plan of Reorganization (as amended, modified or supplemented from time to time, the “Plan”). On the Emergence Date, the conditions to the effectiveness of the Plan were satisfied and we emerged from Chapter 11. 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, 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 results of operations for any period after our adoption of fresh start accounting. |
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. |
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 2022, 2021 or 2020. 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, 2022 and 2021 was $ 6.1 million and $ 2.2 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 year ended December 31, 2022 (the "Current Period"), we recognized $ 2.2 million in bad debt expense. During the Successor Period and Predecessor Period, we recognized $ 4.9 million and $ 0.2 million , respectively, in bad debt recoveries. Additionally, in the year ended December 31, 2020 (the "Prior Period"), we recognized bad debt expense of $ 11.9 million. |
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. |
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 |
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. 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 (gains) and losses, net as a component of operating income. |
Other (Gains) and Losses, Net | Other (gains) and losses, net Other (gains) and losses, net primarily relate to charges recorded as part of our strategic disposal of low margin assets in line with our efforts to reconfigure our organization both operationally and financially (the “Transformation Project”) and includes gains and losses on the disposal of assets, as well as impairments related to long-lived assets. Other gains, net for the Current Period were $ 29.1 million , and are primarily comprised of gains of $ 23.6 million related to our Well Services segment, including a gain of $ 17.4 million from revisions in estimates related to our decommissioning liability, and $ 5.2 million related to net gains on the disposal of assets in our Rentals segment. Other losses, net in the Successor Period were $ 16.7 million, and are comprised of $ 13.1 million related to our Well Services segment, including approximately $ 11.7 million from exit activities related to SES Energy Services India Pvt. Ltd, and $ 3.6 million related to our Rentals segment. |
Restricted Cash | Restricted Cash Restricted cash as of December 31, 2022 includes approximat ely $ 77.3 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 $ 2.8 million in escrow to secure the future decommissioning obligations related to the oil and gas property. |
Income Taxes | Income Taxes We use the asset and liability method of accounting for income taxes. This method considers 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 deferred tax assets ("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. |
Foreign Currency | Foreign Currency The functional currency of our international subsidiaries is the U.S. dollar. 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 Current Period, the Successor Period, the Predecessor Period and the Prior Period, we recorded foreign currency losses of $ 12.6 million , $ 8.8 million , $ 2.1 million and $ 8.9 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. |
Restructuring expenses | Restructuring expenses Restructuring expenses in our consolidated statement of operations during the Current Period, Successor Period and Predecessor Period were $ 6.4 million, $ 23.0 million and $ 1.3 million, respectively. Restructuring expenses in the Current Period represent costs associated with our Transformation Project, as well as legal and other professional expenses primarily related to certain tax and shareholder distribution matters. Restructuring expenses in the Successor Period and Predecessor Period primarily relate to professional fees and separation costs related to former executives and personnel. Additionally, during the Successor Period, we 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. |
Recently Issued Accounting Standards | 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 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. |
Summary Of Significant Accoun_3
Summary Of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule Of Inventory | The components of inventory balances are as follows (in thousands): December 31, 2022 December 31, 2021 Finished goods $ 36,136 $ 26,187 Raw materials 8,351 9,753 Work-in-process 4,718 4,253 Supplies and consumables 16,382 20,410 Total $ 65,587 $ 60,603 |
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 |
Fresh Start Accounting (Tables)
Fresh Start Accounting (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Fresh Start Accounting [Abstract] | |
Reorganization Of Assets | 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 |
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 thousand in proceeds used to settle $ 952 thousand 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 thousand 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 (1) Includes approximately $ 16.4 million in adjustments to assets and liabilities classified as held for sale. See Note 17 - Discontinued Operations . |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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, 2022 For the Period For the Period For the Twelve Months Ended December 31, 2020 U.S. land Rentals $ 160,742 $ 87,432 $ 4,917 $ 78,537 Well Services 24,558 20,133 3,379 26,924 Total U.S. land 185,300 107,565 8,296 105,461 U.S. offshore Rentals 140,881 103,646 8,196 129,021 Well Services 122,848 93,412 7,371 104,559 Total U.S. offshore 263,729 197,058 15,567 233,580 International Rentals 101,319 77,617 5,226 90,277 Well Services 333,612 266,514 16,839 237,931 Total International 434,931 344,131 22,065 328,208 Total Revenues $ 883,960 $ 648,754 $ 45,928 $ 667,249 |
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, 2022 For the Period For the Period For the Twelve Months Ended December 31, 2020 Services Rentals $ 53,029 $ 33,629 $ 2,005 $ 45,226 Well Services 333,746 272,070 17,229 254,157 Total Services 386,775 305,699 19,234 299,383 Rentals Rentals 299,128 197,050 14,082 215,163 Well Services 10,186 11,901 352 10,200 Total Rentals 309,314 208,951 14,434 225,363 Product Sales Rentals 50,786 38,016 2,252 37,446 Well Services 137,085 96,088 10,008 105,057 Total Product Sales 187,871 134,104 12,260 142,503 Total Revenues $ 883,960 $ 648,754 $ 45,928 $ 667,249 |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Components of Inventory | The components of inventory balances are as follows (in thousands): December 31, 2022 December 31, 2021 Finished goods $ 36,136 $ 26,187 Raw materials 8,351 9,753 Work-in-process 4,718 4,253 Supplies and consumables 16,382 20,410 Total $ 65,587 $ 60,603 |
Decommissioning Liability (Tabl
Decommissioning Liability (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of decommissioning program activity | The following table presents the activity during 2022 impacting our decommissioning liability, the related note receivable and oil and gas producing assets: Balance at December 31, 2021 2022 Activity Reef-in-place Adjustment Year End 2022 Adjustment Balance at December 31, 2022 Decommissioning Liability $ 190,380 $ 9,500 $ ( 53,028 ) $ 13,819 $ 160,671 Note Receivable 60,588 3,823 2,581 2,687 69,679 Oil and gas producing assets, net 41,582 ( 2,790 ) ( 38,235 ) 11,132 11,689 (1) Activity during 2022 relates to accretion of the decommissioning liability, interest income on the note receivable and depletion and capital expenditures, net to the oil and gas producing assets. |
Schedule of decommissioning liability | The following table presents our decommissioning liability as of the periods indicated: December 31, 2022 December 31, 2021 Wells $ 96,171 $ 97,810 Platform 64,500 92,570 Decommissioning Liability 160,671 190,380 Less: Note Receivable ( 69,679 ) ( 60,588 ) Decommissioning Liability, net of Note Receivable $ 90,992 $ 129,792 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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, 2022 For the Period For the Period For the Twelve Months Ended December 31, 2020 Long-term fixed lease expense $ 9,761 $ 12,579 $ 1,824 $ 18,454 Long-term variable lease expense 2 - 19 10 Short-term lease expense 22,705 10,165 789 4,322 Total operating lease expense $ 32,468 $ 22,744 $ 2,632 $ 22,786 Operating leases were as follows (in thousands): December 31, 2022 December 31, 2021 Operating lease ROU assets $ 18,797 $ 25,154 Accrued expenses $ 4,033 $ 5,650 Operating lease liabilities 14,634 19,193 Total operating lease liabilities $ 18,667 $ 24,843 Weighted average remaining lease term 18 years 15 years Weighted average discount rate 5.33 % 5.34 % Cash paid for operating leases $ 7,395 $ 13,591 ROU assets obtained in exchange for lease obligations 5,069 2,820 |
Maturities Of Operating Lease Liabilities | Maturities of operating lease liabilities at December 31, 2022 are as follows (in thousands): 2023 $ 5,805 2024 4,301 2025 3,284 2026 1,573 2027 588 Thereafter 14,747 Total lease payments 30,298 Less imputed interest ( 11,631 ) Total $ 18,667 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Summary of Property, Plant and Equipment | A summary of property, plant and equipment, net is as follows (in thousands): December 31, 2022 December 31, 2021 Machinery and equipment $ 378,907 $ 360,353 Buildings, improvements and leasehold improvements 70,816 75,374 Automobiles, trucks, tractors and trailers 6,376 6,450 Furniture and fixtures 19,373 19,668 Construction-in-progress 5,185 6,700 Land 26,695 28,671 Oil and gas producing assets 11,714 44,700 Total 519,066 541,916 Accumulated depreciation and depletion ( 236,690 ) ( 185,642 ) Property, plant and equipment, net $ 282,376 $ 356,274 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule Of Income Tax Provision | The income tax provision is as follows: Successor Predecessor In thousands: For the Year Ended December 31, 2022 Period Period For the Year Ended December 31, 2020 Current income tax expense/(benefit) Federal $ ( 50 ) $ ( 1,106 ) $ - $ ( 36,506 ) State 945 ( 307 ) - 635 Foreign 23,738 6,220 3,314 8,497 Total current income tax expense/(benefit) 24,633 4,807 3,314 ( 27,374 ) Deferred income tax expense/(benefit) Federal ( 83,420 ) ( 42,904 ) 55,015 4,593 State 165 2,633 ( 182 ) ( 638 ) Foreign ( 19,097 ) 2,166 1,856 ( 3,469 ) Total deferred income tax expense/(benefit) ( 102,352 ) ( 38,105 ) 56,689 486 Total income tax expense/(benefit) $ ( 77,719 ) $ ( 33,298 ) $ 60,003 $ ( 26,888 ) |
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 Continuing Operations (i n thousands): For the Year Ended December 31, 2022 Period Period For the Year Ended December 31, 2020 Computed expected tax expense/(benefit) $ 44,798 $ ( 32,635 ) $ 69,125 $ ( 53,431 ) State and foreign income taxes ( 350 ) ( 17,893 ) 6,217 5,026 Valuation allowance ( 13,140 ) - ( 46,208 ) 19,024 Gain on Settlement of Liabilities Subject to Compromise - ( 89,905 ) - Reduction in Deferred Tax Assets 19,154 87,316 - Fresh Start Adjustments - 29,099 - Worthless stock deduction ( 103,992 ) - - - Foreign Tax Credit ( 5,161 ) - - - Other 126 ( 1,924 ) 4,359 2,493 Total income tax expense/(benefit) $ ( 77,719 ) $ ( 33,298 ) $ 60,003 $ ( 26,888 ) |
Schedule Of Deferred Tax Assets and Liabilities | Significant components of our deferred tax assets and liabilities are as follows: In thousands: December 31, 2022 December 31, 2021 Deferred tax assets: Allowance for doubtful accounts $ 1,374 $ 1,046 Operating loss and tax credit carryforwards 157,395 84,684 Compensation and employee benefits 7,376 8,832 Decommissioning liabilities 39,328 39,328 Goodwill and other intangible assets 369 772 Operating leases 126 197 Other Asset 52,345 30,749 Total gross deferred tax assets 258,313 165,608 Less: Valuation allowance ( 80,280 ) ( 90,781 ) Total deferred tax assets $ 178,033 74,827 Deferred tax liabilities: Property, plant and equipment $ 64,571 $ 64,721 Notes receivable 17,812 17,812 Other Liability 1,546 1,287 Total deferred tax liabilities $ 83,929 $ 83,820 Net deferred tax assets (liabilities) $ 94,104 $ ( 8,993 ) |
Summary Of Activity In Unrecognized Tax Benefits | The activity in unrecognized tax benefits is as follows: Successor Predecessor In thousands: For the Year Ended December 31, 2022 Period Period For the Year Ended December 31, 2020 Unrecognized tax benefits at beginning of period $ 14,973 $ 14,706 $ 13,206 $ 13,206 Additions based on tax positions related to prior years 569 2,848 1,500 1,757 Reductions based on tax positions related to prior years ( 334 ) ( 552 ) - - Additions based on tax positions related to current year 78 - - - Reductions as a result of a lapse of the applicable statute of limitations - - - ( 757 ) Reductions relating to settlements with taxing authorities ( 1,277 ) ( 2,029 ) - ( 1,000 ) Unrecognized tax benefits at end of period $ 14,009 $ 14,973 $ 14,706 $ 13,206 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Computation of weighted average number of shares for basic and diluted earnings per share | The following table presents the reconciliation between the weighted average number of shares for basic and diluted earnings per share. Predecessor For the Twelve Months Ended For the Period For the Period Weighted-average shares outstanding - basic 20,024 19,998 14,845 Potentially dilutive stock awards and units 63 - 60 Weighted-average shares outstanding - diluted 20,087 19,998 14,905 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule Of Segment Reporting Information | Summarized financial information for our segments is as follows (in thousands): For the year ended December 31, 2022 (Successor) Well Corporate and Consolidated Rentals Services Other Total Revenues $ 402,942 $ 481,018 $ - $ 883,960 Cost of revenues (exclusive of depreciation, depletion, amortization and accretion) 137,626 339,325 - 476,951 Depreciation, depletion, amortization and accretion 58,731 34,841 4,488 98,060 General and administrative expenses 28,139 45,898 54,257 128,294 Restructuring expenses - - 6,375 6,375 Other (gains) and losses, net ( 5,190 ) ( 23,575 ) ( 369 ) ( 29,134 ) Income (loss) from operations $ 183,636 $ 84,529 $ ( 64,751 ) $ 203,414 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 (gains) and losses, net 3,609 13,117 - 16,726 Income (loss) from operations $ ( 17,349 ) $ ( 57,791 ) $ ( 75,470 ) $ ( 150,610 ) 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 ) 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 ) |
Schedule Of Identifiable Assets | Well Corporate Consolidated Rentals Services and Other Total December 31, 2022 $ 432,437 $ 533,327 $ 225,248 $ 1,191,012 December 31, 2021 379,453 636,256 183,799 1,199,508 |
Schedule Of Capital Expenditures, By Segment | Well Corporate Consolidated Rentals Services and Other Total December 31, 2022 $ 54,126 $ 10,729 $ 929 $ 65,784 For the period from February 3, 2021 through December 31, 2021 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 |
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. Long-Lived Assets December 31, 2022 December 31, 2021 United States $ 212,534 $ 231,388 Other countries 69,842 124,886 Total $ 282,376 $ 356,274 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary Of Financial Assets And Liabilities Measured At Fair Value On Recurring Basis | December 31, 2022 Level 1 Level 2 Level 3 Total Non-qualified deferred compensation assets and liabilities Other long-term assets, net $ - $ 16,299 $ - $ 16,299 Accrued expenses - 1,831 - 1,831 Other long-term liabilities - 15,855 - 15,855 Investment in equity securities $ - $ - $ - $ - December 31, 2021 Level 1 Level 2 Level 3 Total Non-qualified deferred compensation assets and liabilities Other long-term assets, net $ - $ 15,896 $ - $ 15,896 Accrued expenses - 2,250 - 2,250 Other long-term liabilities - 19,218 - 19,218 Investment in equity securities $ 25,735 $ - $ - $ 25,735 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Components Of Income (Loss) From Discontinued Operations | The following table summarizes the components of loss from discontinued operations, net of tax (in thousands): Successor Predecessor Year Ended December 31, 2022 For the Period For the Period Year Ended December 31, 2020 Revenues $ - $ 90,682 $ 10,719 $ 184,580 Cost of services - 85,191 10,398 180,408 Depreciation, depletion, amortization and accretion - 31,502 2,141 31,022 General and administrative expenses 8,043 8,847 1,119 22,035 Other (gains) and losses, net ( 2,249 ) 15,807 - - Reduction in value of assets - - - 117,335 Loss from operations ( 5,794 ) ( 50,665 ) ( 2,939 ) ( 166,220 ) Other income (expense) - 188 2,485 ( 2,069 ) Loss from discontinued operations before tax ( 5,794 ) ( 50,477 ) ( 454 ) ( 168,289 ) Income tax benefit (expense) 1,217 10,408 102 ( 398 ) Income (loss) from discontinued operations, net of income tax $ ( 4,577 ) $ ( 40,069 ) $ ( 352 ) $ ( 168,687 ) |
Assets And Liabilities Of Discontinued Operation | The following summarizes the assets and liabilities related to the business reported as discontinued operations (in thousands): December 31, 2022 December 31, 2021 Assets: Accounts receivable, net $ 350 $ 7,469 Property, plant and equipment, net 11,468 29,328 Other assets 160 731 Total assets held for sale $ 11,978 $ 37,528 Liabilities: Accounts payable $ 86 $ 652 Accrued expenses 3,192 4,268 Other liabilities 71 687 Total liabilities held for sale $ 3,349 $ 5,607 |
Schedule Of Cash Flows From Discontinued Operations | 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, 2022 For the Period For the Period Year Ended December 31, 2020 Cash flows from discontinued operating activities: Reduction in value of assets $ - $ - $ - $ 117,335 (Gain)/loss on sale of assets - - ( 43 ) 286 Other (gains) and losses, net ( 2,249 ) 15,807 - - Depreciation, depletion, amortization and accretion - 31,502 2,141 31,022 Cash flows from discontinued investing activities: Proceeds from sales of assets 20,110 88,332 486 22,224 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
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, 2022 For the Period For the Period Year Ended December 31, 2020 Cash, cash equivalents, and restricted cash, beginning 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, beginning of period $ 394,535 $ 269,698 $ 268,184 $ 275,388 Cash, cash equivalents, and restricted cash, end of period Cash and cash equivalents $ 258,999 $ 314,974 $ 172,768 $ 188,006 Restricted cash-current - - 16,751 - Restricted cash-non-current 80,108 79,561 80,179 80,178 Cash, cash equivalents, and restricted cash, end of period $ 339,107 $ 394,535 $ 269,698 $ 268,184 |
Summary Of Significant Accoun_4
Summary Of Significant Accounting Policies (Narrative) (Details) $ / shares in Units, $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||||||
Feb. 02, 2021 USD ($) $ / shares | Dec. 31, 2021 USD ($) $ / shares | Dec. 31, 2021 USD ($) $ / shares | Dec. 31, 2022 USD ($) Customer $ / shares | Dec. 31, 2021 USD ($) Customer $ / shares | Dec. 31, 2020 USD ($) Customer | Jun. 30, 2022 USD ($) | Feb. 03, 2021 USD ($) | Jan. 01, 2021 USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | |||||||||
bad debt expense | $ 2,200 | $ 11,900 | |||||||
Payment term of obligation | 30 days | ||||||||
Other gains | $ 29,100 | ||||||||
bad debt recoveries | $ 4,900 | $ 200 | |||||||
Property, Plant and Equipment, useful life | 36 months | ||||||||
Number of customers exceeding threshhold measurement | Customer | 0 | 0 | 0 | ||||||
Allowance for doubtful accounts | $ 2,200 | $ 2,200 | $ 6,100 | $ 2,200 | |||||
Amount of notes receivable net | $ 2,600 | ||||||||
Less: Note Receivable | 60,588 | $ 60,588 | 69,679 | $ 60,588 | |||||
Asset Retirement Costs | 11,100 | $ 38,200 | |||||||
Other (gains) and losses, net | 16,726 | (29,134) | |||||||
Common stock, par value | $ / shares | $ 0.001 | ||||||||
Foreign currency gains (losses) | $ 2,100 | 8,800 | 12,600 | $ 8,900 | |||||
Restructuring expenses | $ 1,270 | $ 22,952 | $ 6,375 | $ 47,055 | |||||
Common Class A [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Common stock, par value | $ / shares | $ 0.001 | $ 0.01 | $ 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 | $ 0.01 | |||||
Asia Pacific [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Other (gains) and losses, net | $ 11,700 | ||||||||
Decommissioning liability [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Other (gains) and losses, net | $ 17,400 | ||||||||
Well Services [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Other gains | 23,600 | ||||||||
Other (gains) and losses, net | 13,100 | ||||||||
Shut Down Cost | 8,900 | ||||||||
Inventory write down | $ 6,500 | ||||||||
Other ShutDown Cost | $ 2,400 | ||||||||
Rentals [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Other gains | 5,200 | ||||||||
Other (gains) and losses, net | $ 3,600 | ||||||||
Collateral, Secured Obligations [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Restricted Cash | 77,300 | ||||||||
Escrow, Future Decommissioning Obligations [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Restricted Cash | 2,800 | ||||||||
Oil and Gas Properties [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Amount of notes receivable net | 2,700 | ||||||||
Asset Retirement Costs | $ 11,100 | ||||||||
Senior Unsecured Notes Due 2024 [Member] | |||||||||
Summary Of Significant Accounting Policies [Line Items] | |||||||||
Stated interest rate on unsecured senior notes | 7.75% |
Summary Of Significant Accoun_5
Summary Of Significant Accounting Policies (Estimated Useful Lives Of The Related Assets) (Details) | 11 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Dec. 31, 2022 | |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, useful life | 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 |
Fresh Start Accounting (Narrati
Fresh Start Accounting (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | |
Reorganization, Chapter 11 [Line Items] | |||||
Identifiable Assets | $ 1,456,804 | $ 1,199,508 | $ 1,199,508 | $ 1,191,012 | |
Postconfirmation Liabilities | 554,118 | 457,775 | 457,775 | $ 408,128 | |
Internal Rate Of Return | 17.60% | ||||
Perpetuity Growth Rate | 3% | ||||
Reorganization Expenses, Discount Rate | 5.30% | ||||
Reorganization Expenses, Cash Used In Operating Activities | 3,100 | $ 13,700 | |||
Reorganization items, net | 335,560 | 0 | 0 | $ (19,520) | |
Reorganization Expenses, Professional Fees, Expense | 2,700 | ||||
Reorganization Expenses, Professional Fees, Lease Rejection Damages | 400 | ||||
Well Services [Member] | |||||
Reorganization, Chapter 11 [Line Items] | |||||
Identifiable Assets | 636,256 | 636,256 | 533,327 | ||
Shut Down Cost | $ 8,900 | ||||
Inventory write down | 6,500 | ||||
Other ShutDown Cost | $ 2,400 | ||||
Maximum [Member] | |||||
Reorganization, Chapter 11 [Line Items] | |||||
Bankruptcy Proceedings, Enterprise Value | 880,000 | ||||
Minimum [Member] | |||||
Reorganization, Chapter 11 [Line Items] | |||||
Bankruptcy Proceedings, Enterprise Value | 710,000 | ||||
Reorganization, Chapter 11, Predecessor, before Adjustment [Member] | |||||
Reorganization, Chapter 11 [Line Items] | |||||
Identifiable Assets | 1,497,411 | 1,456,800 | |||
Postconfirmation Liabilities | $ 2,076,125 | $ 2,076,100 |
Fresh Start Accounting - (Reorg
Fresh Start Accounting - (Reorganization of Assets) (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
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, 2022 | Dec. 31, 2021 | Feb. 03, 2021 | Feb. 02, 2021 | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets: | |||||||
Cash and cash equivalents | $ 258,999 | $ 314,974 | $ 172,768 | $ 172,768 | $ 188,006 | $ 188,006 | $ 272,624 |
Restricted Cash and Cash Equivalents, Current | 0 | 0 | 16,751 | 16,751 | 0 | 0 | 0 |
Accounts receivable, net | 153,529 | ||||||
Income taxes receivable | 8,976 | ||||||
Prepaid Expense, Current | 17,299 | 15,861 | 31,630 | ||||
Inventory and Other Current Assets | 65,587 | 60,603 | 101,140 | ||||
Assets held for sale | 220,359 | ||||||
Total current assets | 616,612 | 648,933 | 705,153 | ||||
Property, plant and equipment, net | 282,376 | 356,274 | 540,850 | ||||
Operating lease right-of-use assets | 33,918 | ||||||
Notes receivable | 72,484 | ||||||
Restricted Cash and Cash Equivalents, Noncurrent | 80,108 | 79,561 | $ 80,179 | 80,179 | $ 80,178 | 80,178 | 2,764 |
Net Balance | 24,220 | ||||||
Total assets | 1,191,012 | 1,199,508 | 1,456,804 | ||||
Current liabilities: | |||||||
Accounts payable | 31,570 | 43,080 | 51,116 | ||||
Accrued expenses | 116,575 | 108,610 | 137,216 | ||||
Liabilities held for sale | 3,349 | 5,607 | 37,264 | ||||
Total current liabilities | 172,946 | 165,569 | 225,596 | ||||
Decommissioning liability | 150,901 | 190,380 | 169,515 | ||||
Operating lease liability | 14,634 | 19,193 | 23,555 | ||||
Deferred income taxes | 3,388 | 12,441 | 59,522 | ||||
Other long-term liabilities | 66,259 | 70,192 | 75,930 | ||||
Total non-current liabilities | 328,522 | ||||||
Liabilities subject to compromise | 1,572,772 | ||||||
Total liabilities | 408,128 | 457,775 | 554,118 | ||||
Stockholders’ equity (deficit): | |||||||
Common Stock $0.001 par value | 200 | ||||||
Additional paid-in capital | 902,486 | ||||||
Accumulated deficit | (125,699) | (162,178) | |||||
Total stockholders' equity | 782,884 | 741,733 | 902,686 | $ (338,647) | $ 49,573 | ||
Total liabilities and stockholders' equity | 1,191,012 | $ 1,199,508 | 1,456,804 | ||||
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 | ||||||
Net Balance | 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 liability | 134,934 | ||||||
Operating lease liability | 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): | |||||||
common stock $0.001 par value | 16 | ||||||
Additional paid-in capital | 2,757,824 | ||||||
Treasury Stock at Cost | (4,290) | ||||||
Accumulated other comprehensive loss, net | (67,532) | ||||||
Accumulated deficit | (3,264,732) | ||||||
Total stockholders' equity | (578,714) | ||||||
Total liabilities and stockholders' equity | 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) | ||||||
Net Balance | (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 | 1,544,495 | ||||||
Total liabilities and stockholders' equity | (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) | ||||||
Net Balance | (17,964) | ||||||
Total assets | (25,386) | ||||||
Current liabilities: | |||||||
Accrued expenses | 1,406 | ||||||
Liabilities held for sale | (3,992) | ||||||
Total current liabilities | (2,586) | ||||||
Decommissioning liability | 34,581 | ||||||
Operating lease liability | (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 | (63,095) | ||||||
Total liabilities and stockholders' equity | $ (25,386) |
Fresh Start Accounting (Fresh S
Fresh Start Accounting (Fresh Start II) (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 2 Months Ended | 12 Months Ended | |||||||
Feb. 02, 2021 | Feb. 02, 2021 | Feb. 02, 2021 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 03, 2021 | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Fresh Start, Parenthetical [Abstract] | ||||||||||
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 | |||||||
Reorganization Adjustments, Cash And Cash Equivalents [Abstract] | ||||||||||
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 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 | $ 0 | $ 0 | $ 16,751 | $ 0 | $ 0 | $ 0 | |
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) | |||||||||
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] | ||||||||||
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 | |||||||
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 | 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 | 963 | ||||||||
Cash payout provided to cash opt-in noteholders | $ 952 | |||||||||
Debtor Reorganization Items, Discount Price | $ 1.31 | |||||||||
Debtor Reorganization Items, Implied Discount | $ 32,200 | |||||||||
Debtor Reorganization Items, Implied Share Price | $ 45.14 | |||||||||
Debtor Reorganization Items, Cancellation Of Common Stock | $ 16 | |||||||||
Debtor Reorganization Items, Cancellation Of Treasury Stock | 4,300 | |||||||||
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 Reorganization Items, Write-off of Debt Issuance Costs and Debt Discounts | (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 inventory | 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 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) | |||||||||
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% | |||||||
Senior Unsecured Notes Due 2024 [Member] | ||||||||||
Liabilities Subject To Compromise, Settled [Abstract] | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 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] | ||||||||||
Fresh Start, Parenthetical [Abstract] | ||||||||||
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.01 | $ 0.01 | |||||
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 | 1 Months Ended | 11 Months Ended | 12 Months Ended | |||
Feb. 02, 2021 | Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | ||
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 | $ 0 | $ (19,520) | ||
Adjustment for discontinued operations | $ 16,400 | |||||
[1] (1) Includes approximately $ 16.4 million in adjustments to assets and liabilities classified as held for sale. See Note 17 - 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, 2022 | Dec. 31, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | $ 45,928 | $ 648,754 | $ 883,960 | $ 667,249 |
Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 18,339 | 268,695 | 402,942 | 297,835 |
Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 27,589 | 380,059 | 481,018 | 369,414 |
U.S. Land [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 8,296 | 107,565 | 185,300 | 105,461 |
U.S. Land [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 4,917 | 87,432 | 160,742 | 78,537 |
U.S. Land [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 3,379 | 20,133 | 24,558 | 26,924 |
U.S. Offshore [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 15,567 | 197,058 | 263,729 | 233,580 |
U.S. Offshore [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 8,196 | 103,646 | 140,881 | 129,021 |
U.S. Offshore [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 7,371 | 93,412 | 122,848 | 104,559 |
International [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 22,065 | 344,131 | 434,931 | 328,208 |
International [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 5,226 | 77,617 | 101,319 | 90,277 |
International [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | $ 16,839 | $ 266,514 | $ 333,612 | $ 237,931 |
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, 2022 | Dec. 31, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | $ 45,928 | $ 648,754 | $ 883,960 | $ 667,249 |
Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 18,339 | 268,695 | 402,942 | 297,835 |
Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 27,589 | 380,059 | 481,018 | 369,414 |
Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 19,234 | 305,699 | 386,775 | 299,383 |
Services [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 2,005 | 33,629 | 53,029 | 45,226 |
Services [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 17,229 | 272,070 | 333,746 | 254,157 |
Rentals Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 14,434 | 208,951 | 309,314 | 225,363 |
Rentals Services [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 14,082 | 197,050 | 299,128 | 215,163 |
Rentals Services [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 352 | 11,901 | 10,186 | 10,200 |
Product Sales [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 12,260 | 134,104 | 187,871 | 142,503 |
Product Sales [Member] | Rentals [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | 2,252 | 38,016 | 50,786 | 37,446 |
Product Sales [Member] | Well Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total Revenues | $ 10,008 | $ 96,088 | $ 137,085 | $ 105,057 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 36,136 | $ 26,187 |
Raw materials | 8,351 | 9,753 |
Work-in-process | 4,718 | 4,253 |
Supplies and consumables | 16,382 | 20,410 |
Total | $ 65,587 | $ 60,603 |
Inventory (Narrative) (Details)
Inventory (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Finished goods inventory | $ 20.7 | $ 15.2 |
Decommissioning Liability (Narr
Decommissioning Liability (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | Jun. 30, 2022 | |
Schedule of Equity Method Investments [Line Items] | |||||
Accretion Expense | $ 0.5 | $ 9.3 | $ 9.5 | $ 6.5 | |
Decommissioning Liability, Noncurrent | $ 53 | ||||
Capitalized Costs, Asset Retirement Costs | 11.1 | 38.2 | |||
Gain recognized from changes in cost and timing | 17.4 | ||||
Financing Receivable, before Allowance for Credit Loss, Noncurrent | $ 2.6 | ||||
Oil and Gas Properties [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Decommissioning Liability, Noncurrent | 13.8 | ||||
Capitalized Costs, Asset Retirement Costs | 11.1 | ||||
Financing Receivable, before Allowance for Credit Loss, Noncurrent | $ 2.7 |
Decommissioning Liability - Sch
Decommissioning Liability - Schedule of Decommissioning Program Activity (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | |
Decommissioning Liability | $ 160,671 | $ 190,380 | |
Note Receivable | 69,679 | 60,588 | |
Oil And Gas Producing Assets Net | 11,689 | $ 41,582 | |
Two Thousand And Twenty Two Activity [Member] | |||
Decommissioning Liability | [1] | 9,500 | |
Note Receivable | [1] | 3,823 | |
Oil And Gas Producing Assets Net | [1] | (2,790) | |
Reef In Place Adjustment [Member] | |||
Decommissioning Liability | (53,028) | ||
Note Receivable | 2,581 | ||
Oil And Gas Producing Assets Net | (38,235) | ||
Year End Two Thousand And Twenty Two Adjustment [Member] | |||
Decommissioning Liability | 13,819 | ||
Note Receivable | 2,687 | ||
Oil And Gas Producing Assets Net | $ 11,132 | ||
[1] Activity during 2022 relates to accretion of the decommissioning liability, interest income on the note receivable and depletion and capital expenditures, net to the oil and gas producing assets. |
Decommissioning Liability - S_2
Decommissioning Liability - Schedule of Decommissioning Liability (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Decommissioning Liability | $ 160,671 | $ 190,380 |
Less: Note Receivable | (69,679) | (60,588) |
Decommissioning Liability, net of Note Receivable | 90,992 | 129,792 |
Well Services [Member] | ||
Decommissioning Liability | 96,171 | 97,810 |
Platform Service [Member] | ||
Decommissioning Liability | $ 64,500 | $ 92,570 |
Note Receivable (Narrative) (De
Note Receivable (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | ||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | Jun. 30, 2022 | |
Financing Receivable, Past Due [Line Items] | |||||
Cost and Timing of Decommissioning | $ 53,000 | ||||
Capitalized Costs, Asset Retirement Costs | $ 11,100 | 38,200 | |||
Gain recognized from changes in cost and timing | 17,400 | ||||
Amount of notes receivable net | $ 2,600 | ||||
Note receivable | $ 60,588 | 69,679 | |||
Change In Gross Amount Of Sellers Obligation | 105,200 | ||||
Oil and Gas Properties [Member] | |||||
Financing Receivable, Past Due [Line Items] | |||||
Cost and Timing of Decommissioning | 13,800 | ||||
Capitalized Costs, Asset Retirement Costs | 11,100 | ||||
Amount of notes receivable net | 2,700 | ||||
Note receivable | $ 69,700 | ||||
Notes Receivable, Seller Obligation [Member] | |||||
Financing Receivable, Past Due [Line Items] | |||||
Interest rate percentage to record present value of notes receivable | 5.60% | ||||
Company recorded interest income | $ 400 | $ 3,900 | $ 3,800 | $ 4,500 |
Leases (Additional Information)
Leases (Additional Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | ||
Cash paid for operating leases | $ 7,395 | $ 13,591 |
ROU assets obtained in exchange for lease obligations | $ 5,069 | $ 2,820 |
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, 2022 | Dec. 31, 2020 | |
Leases [Abstract] | ||||
Long-term fixed lease expense | $ 1,824 | $ 12,579 | $ 9,761 | $ 18,454 |
Long-term variable lease expense | 19 | 0 | 2 | 10 |
Short-term lease expense | 789 | 10,165 | 22,705 | 4,322 |
Total operating lease expense | $ 2,632 | $ 22,744 | $ 32,468 | $ 22,786 |
Leases (Supplemental Balance Sh
Leases (Supplemental Balance Sheet Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Feb. 02, 2021 | |
Leases [Abstract] | |||
Operating lease ROU assets | $ 18,797 | $ 25,154 | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Liabilities, Current | Accrued Liabilities, Current | |
Accrued expenses | $ 4,033 | $ 5,650 | |
Operating lease liability | 14,634 | 19,193 | $ 23,555 |
Total operating lease liabilities | $ 18,667 | $ 24,843 | |
Weighted average remaining lease term | 18 years | 15 years | |
Weighted average discount rate | 5.33% | 5.34% | |
Cash paid for operating leases | $ 7,395 | $ 13,591 | |
ROU assets obtained in exchange for lease obligations | $ 5,069 | $ 2,820 |
Leases (Maturities Of Operating
Leases (Maturities Of Operating Lease Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Leases [Abstract] | ||
2023 | $ 5,805 | |
2024 | 4,301 | |
2025 | 3,284 | |
2026 | 1,573 | |
2027 | 588 | |
Thereafter | 14,747 | |
Total lease payments | 30,298 | |
Less imputed interest | (11,631) | |
Total operating lease liabilities | $ 18,667 | $ 24,843 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net (Summary of Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 02, 2021 |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 519,066 | $ 541,916 | |
Accumulated depreciation and depletion | (236,690) | (185,642) | |
Property, plant and equipment, net | 282,376 | 356,274 | $ 540,850 |
Machinery And Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 378,907 | 360,353 | |
Buildings, Improvements And Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 70,816 | 75,374 | |
Automobiles, trucks, tractors and trailers [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 6,376 | 6,450 | |
Furniture And Fixtures [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 19,373 | 19,668 | |
Construction in Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 5,185 | 6,700 | |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 26,695 | 28,671 | |
Oil and Gas Producing Assets [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 11,714 | $ 44,700 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 11 Months Ended | 12 Months Ended | |||
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | Jun. 30, 2022 | Feb. 03, 2021 | |
Property, Plant and Equipment [Line Items] | ||||||
Leasehold Improvements, Gross | $ 7.2 | $ 7.1 | ||||
Depreciation and depletion expense | 87.6 | |||||
Depreciation and depletion related to assets held for sale | $ 7.8 | $ 209.7 | $ 108 | |||
Property, Plant and Equipment, useful life | 36 months | |||||
Asset Retirement Costs | 11.1 | $ 38.2 | ||||
Gain recognized from changes in cost and timing | 17.4 | |||||
Fully Depreciated Assets | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Depreciation | 167.5 | |||||
Assets, Fair Value Disclosure | $ 197.5 | |||||
Oil and Gas Properties [Member] | ||||||
Property, Plant and Equipment [Line Items] | ||||||
Asset Retirement Costs | $ 11.1 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | |
Debt Instrument [Line Items] | ||||
Reorganization items, net | $ 335,560 | $ 0 | $ 0 | $ (19,520) |
Jpmorgan Chase Bank Asset Backed Secured Revolving Facility [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | 120,000 | |||
Letters of Credit Outstanding, Amount | $ 34,900 |
Stock-Based Compensation Plans
Stock-Based Compensation Plans (Narrative) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 11 Months Ended | 12 Months Ended | ||||
Jun. 02, 2021 | Jul. 31, 2022 | Mar. 31, 2022 | Feb. 02, 2021 | Sep. 30, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | |
Cancelled stock incentive plans | ||||||||
Common stock, par value | $ 0.001 | |||||||
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 | 50,596 | |||||||
Restricted Stock Units (RSUs) [Member] | ||||||||
Cancelled stock incentive plans | ||||||||
Shares vested | 10,437 | |||||||
Unamortized estimated grant date fair value | $ 4,200,000 | |||||||
Shares granted | 72,050 | |||||||
Shares forfeited | 2,212 | |||||||
Shares of RSU | 88,215 | |||||||
Restricted Stock Units (RSUs) [Member] | Equal Installments [Member] | ||||||||
Cancelled stock incentive plans | ||||||||
Share-based payment vesting period, years | 3 years | |||||||
Restricted Stock Units (RSUs) [Member] | Predecessor member | ||||||||
Cancelled stock incentive plans | ||||||||
Compensation expense | $ 900,000 | |||||||
Performance Share Units [Member] | ||||||||
Cancelled stock incentive plans | ||||||||
Unamortized estimated grant date fair value | $ 3,100,000 | |||||||
Shares granted | 288,199 | |||||||
Performance Share Units [Member] | Minimum [Member] | ||||||||
Cancelled stock incentive plans | ||||||||
Percentage of achievement of share price based on target award | 25% | |||||||
Performance Share Units [Member] | Maximum [Member] | ||||||||
Cancelled stock incentive plans | ||||||||
Percentage of achievement of share price based on target award | 100% | |||||||
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, Net | 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 | $ 39.53 | $ 58.80 | $ 58.80 | $ 39.53 | ||||
Shares vested | 42,389 | |||||||
Unamortized estimated grant date fair value | $ 800,000 | |||||||
Shares forfeited | 3,904 | |||||||
Compensation expense | 200,000 | $ 2,700,000 | $ 4,800,000 | |||||
401K [Member] | ||||||||
Cancelled stock incentive plans | ||||||||
Company discretionary contributions | $ 3,100,000 | $ 6,200,000 | ||||||
Maximum empoyee contribution | 75% | |||||||
Maximum portion of base salary to defer under non-qualified deferred compensation plan | 100% | |||||||
Maximum Portion of Base Salary to Defer under Non Qualified Deferred Compensation Plan | 4% | |||||||
401K [Member] | Predecessor member | ||||||||
Cancelled stock incentive plans | ||||||||
Company discretionary contributions | 400,000 | |||||||
401K [Member] | Successor Period | ||||||||
Cancelled stock incentive plans | ||||||||
Company discretionary contributions | 2,600,000 | |||||||
2021 Management Incentive Plan [Member] | ||||||||
Cancelled stock incentive plans | ||||||||
Common stock reserved for issuance | 1,999,869 | |||||||
Common stock, par value | $ 0.01 | |||||||
Supplemental Executive Retirement Plan [Member] | ||||||||
Cancelled stock incentive plans | ||||||||
Employers Contribution to be received by plan participants, Minimum | 5% | |||||||
Employers Contribution to be received by plan participants, Maximum | 35% | |||||||
Employers contribution | 0 | |||||||
Distribution to select participants | $ 0 | $ 3,400,000 | $ 1,700,000 | $ 0 |
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, 2022 | Dec. 31, 2020 | |
Components of Income Tax Expense (Benefit), Continuing Operations [Abstract] | ||||
Current, federal | $ 0 | $ (1,106) | $ (50) | $ (36,506) |
Current, state | 0 | (307) | 945 | 635 |
Current, foreign | 3,314 | 6,220 | 23,738 | 8,497 |
Current, total | 3,314 | 4,807 | 24,633 | (27,374) |
Deferred, federal | 55,015 | (42,904) | (83,420) | 4,593 |
Deferred, state | (182) | 2,633 | 165 | (638) |
Deferred, foreign | 1,856 | 2,166 | (19,097) | (3,469) |
Deferred income taxes | 56,689 | (38,105) | (102,352) | 486 |
Income tax (expense) benefit | $ 60,003 | $ (33,298) | $ (77,719) | $ (26,888) |
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, 2022 | Dec. 31, 2020 | |
Income Tax Expense (Benefit), Effective Income Tax Rate Reconciliation, Amount [Abstract] | ||||
Computed expected tax benefit | $ 69,125 | $ (32,635) | $ 44,798 | $ (53,431) |
State and foreign income taxes | 6,217 | (17,893) | (350) | 5,026 |
Valuation allowance | (46,208) | 0 | (13,140) | 19,024 |
Gain on Settlement of Liabilities Subject to Compromise | (89,905) | 0 | 0 | |
Reduction in value of assets | 87,316 | 19,154 | 0 | |
Fresh Start Adjustments | 29,099 | 0 | 0 | |
Worthless stock deduction | (103,992) | |||
Foreign Tax Credit | (5,161) | |||
Other | 4,359 | (1,924) | 126 | 2,493 |
Income tax (expense) benefit | $ 60,003 | $ (33,298) | $ (77,719) | $ (26,888) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 11 Months Ended | 12 Months Ended | |||||||
Feb. 28, 2021 | Feb. 02, 2021 | Jul. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Feb. 03, 2021 | Jan. 01, 2021 | Dec. 31, 2019 | |
Tax refunds | $ 8,200 | $ 30,500 | ||||||||
Net operating loss carryforwards | $ 367,900 | |||||||||
Limitation on operating loss carryforward usage as percent of taxable income | 80% | |||||||||
Deferred tax assets, state net operating loss carryforwards | $ 19,600 | |||||||||
Partial valuation allowance | 40,000 | |||||||||
Foreign tax credit carryforward | 40,000 | |||||||||
Tax credit carryforward, Brazil | 8,700 | |||||||||
Unrecognized tax benefits | $ 14,706 | $ 14,973 | 14,009 | $ 14,973 | $ 13,206 | $ 14,706 | $ 13,206 | $ 13,206 | ||
Deferred income taxes | 56,689 | (38,105) | (102,352) | 486 | ||||||
Unrecognized tax benefits settlement due | 9,700 | |||||||||
Interest and penalties accrued | 6,900 | 7,200 | 6,900 | |||||||
Reduction to unrecognized tax benefits, foreign tax audits | 2,029 | 1,277 | 1,000 | |||||||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 5,200 | |||||||||
Worthless stock deduction | (103,992) | |||||||||
Income tax (expense) benefit | $ 60,003 | (33,298) | (77,719) | $ (26,888) | ||||||
Expiring 2024 to 2032 | ||||||||||
Foreign tax credit carryforward | 59,700 | |||||||||
Expiring after 2036 | ||||||||||
Net operating loss carryforwards | 20,400 | |||||||||
Indefinite period | ||||||||||
Net operating loss carryforwards | 347,500 | |||||||||
Worthless Stocks [Member] | ||||||||||
Worthless stock deduction | 104,000 | |||||||||
Income tax (expense) benefit | 104,000 | |||||||||
U.S. Federal | ||||||||||
Foreign tax credit carryforward | 14,500 | |||||||||
Domestic Subsidiaries [Member] | ||||||||||
Gain loss from extinguishment of debt | 433,000 | |||||||||
Deferred tax assets, state net operating loss carryforwards | $ 19,200 | $ 19,200 | ||||||||
Worthless stock deduction | $ 495,200 |
Income Taxes (Schedule Of Defer
Income Taxes (Schedule Of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred tax assets: | ||
Allowance for doubtful accounts | $ 1,374 | $ 1,046 |
Operating loss and tax credit carryforwards | 157,395 | 84,684 |
Compensation and employee benefits | 7,376 | 8,832 |
Decommissioning liabilities | 39,328 | 39,328 |
Goodwill and other intangible assets | 369 | 772 |
Operating leases | 126 | 197 |
Other assets | 52,345 | 30,749 |
Deferred tax assets, gross | 258,313 | 165,608 |
Valuation allowance | (80,280) | (90,781) |
Total deferred tax assets | 178,033 | 74,827 |
Deferred tax liabilities: | ||
Property, plant and equipment | 64,571 | 64,721 |
Notes receivable | 17,812 | 17,812 |
Other Liability | 1,546 | 1,287 |
Total deferred tax liabilities | 83,929 | 83,820 |
Net deferred tax liability | $ (8,993) | |
Net deferred tax assets (liabilities) | $ 94,104 |
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, 2022 | Dec. 31, 2020 | |
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 | $ 14,973 | $ 13,206 |
Additions based on tax positions related to prior years | 1,500 | 2,848 | 569 | 1,757 |
Reductions based on tax positions related to prior years | (552) | (334) | 0 | |
Additions based on tax positions related to current year | 0 | 78 | 0 | |
Reductions as a result of a lapse of the applicable statute of limitations | 0 | 0 | (757) | |
Reductions relating to settlements with taxing authorities | (2,029) | (1,277) | (1,000) | |
Unrecognized tax benefits at end of period | $ 14,706 | $ 14,973 | $ 14,009 | $ 13,206 |
Earnings Per Share (Summary of
Earnings Per Share (Summary of weighted average number of shares for basic and diluted earnings per share) (Details) - shares | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | |
Earnings Per Share [Abstract] | ||||
Weighted-average shares outstanding - basic | 14,845 | 19,998 | 20,024 | 14,822 |
Potentially dilutive stock awards and units | 60 | 0 | 63 | |
Weighted-average shares outstanding - diluted | 14,905 | 19,998 | 20,087 | 14,822 |
Segment Information (Narrative)
Segment Information (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Assets held for sale | $ 11,978 | $ 37,528 |
Noncurrent deferred tax assets | 97,492 | $ 1,894 |
Corporate And Other [Member] | ||
Noncurrent deferred tax assets | $ 97,500 |
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, 2022 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | ||||
Total revenues | $ 45,928 | $ 648,754 | $ 883,960 | $ 667,249 |
Total cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 29,773 | 422,252 | 476,951 | 408,131 |
Depreciation, depletion, amortization and accretion | 8,358 | 219,859 | 98,060 | 115,771 |
General and administrative expenses | 11,052 | 117,575 | 128,294 | 205,773 |
Restructuring expenses | 1,270 | 22,952 | 6,375 | 47,055 |
Other (gains) and losses, net | 16,726 | (29,134) | ||
Reduction in value of assets | 0 | 0 | 0 | 23,775 |
Income (loss) from operations | (4,525) | (150,610) | 203,414 | (133,256) |
Rentals [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 18,339 | 268,695 | 402,942 | 297,835 |
Total cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 7,839 | 105,373 | 137,626 | 109,902 |
Depreciation, depletion, amortization and accretion | 4,271 | 152,250 | 58,731 | 63,072 |
General and administrative expenses | 2,027 | 24,812 | 28,139 | 52,718 |
Other (gains) and losses, net | 3,609 | (5,190) | ||
Reduction in value of assets | 754 | |||
Income (loss) from operations | 4,202 | (17,349) | 183,636 | 71,389 |
Well Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 27,589 | 380,059 | 481,018 | 369,414 |
Total cost of revenues (exclusive of depreciation, depletion, amortization and accretion) | 21,934 | 316,879 | 339,325 | 298,229 |
Depreciation, depletion, amortization and accretion | 3,666 | 61,074 | 34,841 | 48,929 |
General and administrative expenses | 4,111 | 46,780 | 45,898 | 73,200 |
Other (gains) and losses, net | 13,117 | (23,575) | ||
Reduction in value of assets | 21,038 | |||
Income (loss) from operations | (2,122) | (57,791) | 84,529 | (71,982) |
Corporate And Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation, depletion, amortization and accretion | 421 | 6,535 | 4,488 | 3,770 |
General and administrative expenses | 4,914 | 45,983 | 54,257 | 79,855 |
Restructuring expenses | 1,270 | 22,952 | 6,375 | 47,055 |
Other (gains) and losses, net | (369) | |||
Reduction in value of assets | 1,983 | |||
Income (loss) from operations | $ (6,605) | $ (75,470) | $ (64,751) | $ (132,663) |
Segment Information (Schedule_2
Segment Information (Schedule Of Identifiable Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 02, 2021 |
Segment Reporting Information [Line Items] | |||
Identifiable Assets | $ 1,191,012 | $ 1,199,508 | $ 1,456,804 |
Rentals [Member] | |||
Segment Reporting Information [Line Items] | |||
Identifiable Assets | 432,437 | 379,453 | |
Well Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Identifiable Assets | 533,327 | 636,256 | |
Corporate And Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Identifiable Assets | $ 225,248 | $ 183,799 |
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, 2022 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | ||||
Capital expenditures | $ 3,035 | $ 34,152 | $ 65,784 | $ 47,653 |
Rentals [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | 2,429 | 27,335 | 54,126 | 24,053 |
Well Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | $ 606 | $ 6,817 | 10,729 | 19,609 |
Corporate And Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Capital expenditures | $ 929 | $ 3,991 |
Segment Information (Schedule_4
Segment Information (Schedule Of Revenues By Geographic Segment) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | $ 282,376 | $ 356,274 |
United States [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 212,534 | 231,388 |
International [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | $ 69,842 | $ 124,886 |
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, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other long-term assets, net | $ 16,299 | $ 15,896 |
Accrued expense | 1,831 | 2,250 |
Other long-term liabilities | 15,855 | 19,218 |
Investment in equity securities | 25,735 | |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other long-term assets, net | 0 | |
Investment in equity securities | 25,735 | |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other long-term assets, net | 16,299 | 15,896 |
Accrued expense | 1,831 | 2,250 |
Other long-term liabilities | $ 15,855 | $ 19,218 |
Fair Value Measurements (Additi
Fair Value Measurements (Additional Information) (Details) - USD ($) | 11 Months Ended | 12 Months Ended |
Dec. 31, 2021 | Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | ||
Cancelled stock incentive plans | $ 0 | |
Unrealized gain on equity securities | $ 2,100,000 |
Other Income (Expense) (Additio
Other Income (Expense) (Additional Information) (Details) - USD ($) shares in Millions, $ in Millions | 1 Months Ended | 11 Months Ended | 12 Months Ended | |
Feb. 02, 2021 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2020 | |
Debt and Equity Securities, FV-NI [Line Items] | ||||
Gain loss on foreign currencies | $ (2.1) | $ (8.8) | $ (12.6) | $ (8.9) |
Loss on foreign currency expense | 2.7 | |||
Unrealized gain on equity securities | 2.1 | |||
Gain on sale of assets, discontinued operation | 4.1 | 34.7 | ||
Equity Securities, FV-NI, Realized Gain (Loss) | $ 0.4 | $ 8.9 | ||
Select Common Stock | ||||
Debt and Equity Securities, FV-NI [Line Items] | ||||
Sale of Stock, Number of Shares Issued in Transaction | 0.7 | 4.1 |
Contingencies (Narrative) (Deta
Contingencies (Narrative) (Details) $ in Millions | 1 Months Ended | 12 Months Ended |
Aug. 31, 2022 | Dec. 31, 2022 USD ($) Employee Claim | |
Loss Contingencies [Line Items] | ||
Number of people involved in lawsuit | Employee | 2 | |
Lawsuits | Claim | 2 | |
Rate of royalty payments invoiced by plaintiffs | 25% | 25% |
Rate of royalty payments claimed by plaintiffs | 50% | 50% |
Interest | $ | $ 26.9 |
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, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Depreciation, depletion, amortization and accretion | $ 8,358 | $ 219,859 | $ 98,060 | $ 115,771 | |
General and administrative expenses | $ 11,052 | 117,575 | 128,294 | 205,773 | |
Other (gains) and losses, net | $ 16,726 | $ (29,134) | |||
Impairment, Long-Lived Asset, Held-for-Use, Statement of Income or Comprehensive Income [Extensible Enumeration] | Asset Impairment Charges | Asset Impairment Charges | Asset Impairment Charges | Asset Impairment Charges | |
Income (loss) from operations | $ (4,525) | $ (150,610) | $ 203,414 | (133,256) | |
Other income (expense) | (2,105) | (7,128) | (1,804) | (9,229) | |
Income (loss) from discontinued operations, net of income tax | (352) | (40,069) | (4,577) | (168,687) | |
Pumpco [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Revenues | 10,719 | 90,682 | 0 | 184,580 | |
Cost of services | 10,398 | 85,191 | 0 | 180,408 | |
Depreciation, depletion, amortization and accretion | 2,141 | 31,502 | 0 | 31,022 | |
General and administrative expenses | 1,119 | 8,847 | 8,043 | 22,035 | |
Other (gains) and losses, net | 0 | 15,807 | (2,249) | 0 | |
Reduction in value of assets | 0 | 0 | 0 | 117,335 | |
Income (loss) from operations | (2,939) | (50,665) | (5,794) | (166,220) | |
Other income (expense) | 2,485 | 188 | 0 | (2,069) | |
Loss from discontinued operations before tax | (454) | (50,477) | (5,794) | (168,289) | |
Income tax benefit (expense) | 102 | 10,408 | 1,217 | (398) | |
Income (loss) from discontinued operations, net of income tax | $ (352) | $ (40,069) | $ (4,577) | $ (168,687) |
Discontinued Operations (Assets
Discontinued Operations (Assets And Liabilities Of Discontinued Operation) (Details) - Pumpco Member - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Accounts receivable, net | $ 350 | $ 7,469 |
Property, plant and equipment, net | 11,468 | 29,328 |
Other assets | 160 | 731 |
Total assets held for sale | 11,978 | 37,528 |
Accounts payable | 86 | 652 |
Accrued expenses | 3,192 | 4,268 |
Other liabilities | 71 | 687 |
Total liabilities held for sale | $ 3,349 | $ 5,607 |
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, 2022 | Dec. 31, 2020 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Other (gains) and losses, net | $ 16,726 | $ (29,134) | ||
Pumpco Member | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Reduction in value of assets | $ 0 | 0 | 0 | $ 117,335 |
(Gain)/loss on sale of assets | (43) | 0 | 0 | 286 |
Other (gains) and losses, net | 0 | 15,807 | (2,249) | 0 |
Depreciation, depletion, amortization and accretion | 2,141 | 31,502 | 0 | 31,022 |
Proceeds from sales of assets | $ 486 | $ 88,332 | $ 20,110 | $ 22,224 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 03, 2021 | Feb. 02, 2021 | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Supplemental Cash Flow Information [Abstract] | |||||||
Cash and cash equivalents | $ 258,999 | $ 314,974 | $ 172,768 | $ 172,768 | $ 188,006 | $ 188,006 | $ 272,624 |
Restricted cash-current | 0 | 0 | 16,751 | 16,751 | 0 | 0 | 0 |
Restricted cash-non-current | 80,108 | 79,561 | 80,179 | 80,179 | 80,178 | 80,178 | 2,764 |
Cash, cash equivalents, and restricted cash | $ 339,107 | $ 394,535 | $ 269,698 | $ 269,698 | $ 268,184 | $ 268,184 | $ 275,388 |