DISCONTINUED OPERATIONS

3 Months Ended

Mar. 31, 2021

Discontinued Operations and Disposal Groups [Abstract]

DISCONTINUED OPERATIONS

DISCONTINUED OPERATIONS

The Spin-off

On February 16, 2021, we completed our separation into two independent publicly traded companies: TechnipFMC, a fully integrated technology and service provider, and Technip Energies, a leading engineering and technology player (“Technip Energies”). The transaction was structured as a spin-off (the “Spin-off”), which occurred by way of a pro rata dividend (the “Distribution”) to our shareholders of 50.1 percent of the outstanding shares in Technip Energies N.V. Each of our shareholders received one ordinary share of Technip Energies N.V. for every five ordinary shares of TechnipFMC held at 5:00 p.m., Eastern Standard time on the record date, February 17, 2021. Technip Energies N.V. is now an independent public company and its shares trade under the ticker symbol “TE” on the Euronext Paris Stock Exchange.

In connection with the Spin-off, TechnipFMC and Technip Energies entered into a separation and distribution agreement, as well as various other agreements, including among others a tax matters agreement, an employee matters agreement and a transition services agreement and certain agreements relating to intellectual property. These agreements provide for the allocation between TechnipFMC and Technip Energies of assets, employees, liabilities and obligations attributable to periods prior to, at and after the Spin-off.

Discontinued Operations

The Spin-off represented a strategic shift that will have a major impact to our operations and consolidated financial statements, accordingly Technip Energies has been presented as discontinued operations in the consolidated statements of income, consolidated balance sheets and the consolidated statements of cash flows. Therefore, the results of Technip Energies were presented as discontinued operations for the three months ended March 31, 2021 and 2020 including the historical results of Technip Energies prior to the Distribution on February 16, 2021. Our condensed consolidated balance sheets, condensed consolidated statements of income, condensed consolidated statements of cash flows and notes to the condensed consolidated financial statements have been updated to reflect continuing operations only.

The following table summarizes the components of income from discontinued operations, net of tax:

	Three Months Ended
	March 31,
(In millions)	2021		2020
Revenue	$	906.0	$	1,547.7
Costs and expenses	889.3		1,442.4
Other income and interest expense, net	(18.6)		(62.2)
Income (loss) from discontinued operations before income taxes	$	(1.9)	$	43.1
Income (loss) from discontinued operations, net of income taxes	$	(60.2)	$	(17.8)

Assets and liabilities of discontinued operations are summarized below:

	December 31,
(In millions)	2020
Assets
Cash and cash equivalents	$	3,538.6
Trade receivables, net of allowances	1,302.7
Contract assets	333.5
Other current assets	522.0
Total current assets of discontinued operations	5,696.8
Property, plant and equipment, net of accumulated depreciation	117.1
Goodwill	2,512.5
Other assets	664.0
Total non-current assets of discontinued operations	3,293.6
Total assets of discontinued operations	$	8,990.4
Liabilities
Accounts payable, trade	$	1,545.1
Contract liabilities	3,690.4
Other current liabilities	885.8
Total current liabilities of discontinued operations	6,121.3
Long-term debt, less current portion	482.2
Operating lease liabilities	248.2
Other liabilities	350.9
Total non-current liabilities of discontinued operations	1,081.3
Total liabilities of discontinued operations	$	7,202.6

On February 16, 2021, all assets and liabilities of Technip Energies were spun-off, therefore, as of March 31, 2021, there were no assets and liabilities classified as discontinued operations.