Note 8— Accumulated Other Comprehensive Income (Loss)

The following table presents the changes in the accumulated balances for each component of AOCI for the six months ended June 30, 2018 and 2017. All amounts within the table are shown net of tax.



	Unrealized Losses on Cash Flow Hedges ⁽¹⁾		Defined Benefit Pension Items ⁽²⁾			Foreign Currency Items			Total
Balance at December 31, 2016	$	—	$	(35,865	)	$	(16,275	)	$	(52,140	)
Activity during period:
Other comprehensive income before reclassifications	739		—			280			1,019
Amounts reclassified from AOCI	—		767			—			767
Net other comprehensive income	739		767			280			1,786
Balance at June 30, 2017	$	739	$	(35,098	)	$	(15,995	)	$	(50,354	)

Balance at December 31, 2017	$	—	$	(27,603	)	$	(15,285	)	$	(42,888	)
Activity during period:
Stranded tax effect resulting from the Act (Note 2)	—		(5,540		)	—			(5,540		)
Balance at January 1, 2018	—		(33,143		)	(15,285		)	(48,428		)
Activity during period:
Other comprehensive loss before reclassifications	—		—			(2,104		)	(2,104		)
Amounts reclassified from AOCI	—		649			—			649
Net other comprehensive income (loss)	—		649			(2,104		)	(1,455		)
Balance at June 30, 2018	$	—	$	(32,494	)	$	(17,389	)	$	(49,883	)


⁽¹⁾	Unrealized losses on cash flow hedges are related to foreign currency forward contracts. Reclassifications from AOCI are recognized through “Contract drilling services” costs on our Condensed Consolidated Statements of Operations. See “Note 13— Derivative Instruments and Hedging Activities” for additional information.


⁽²⁾	Defined benefit pension items relate to actuarial changes. Reclassifications from AOCI are recognized as expense on our Condensed Consolidated Statements of Operations through either “Contract drilling services” or “General and administrative.” See “Note 12— Employee Benefit Plans” for additional information.