DISPOSITIONS

9 Months Ended

Sep. 30, 2012

DISPOSITIONS

NOTE 2 – DISPOSITIONS

Assets Held for Sale

During the quarter ended September 30, 2012, we committed to a plan to sell three of our multi-function marine vessels, specifically the Bold Endurance, DB 16 and DB 26. As a result, we have reclassified approximately $31.4 million ($2.7 million and $28.7 million in other current assets and long-term assets, respectively) pertaining to these assets to assets held for sale from property, plant and equipment in our condensed consolidated balance sheet at September 30, 2012. Assets classified as held for sale are no longer depreciated.

Charter Fleet Business – Discontinued Operation

On March 19, 2012, we completed the sale of our former charter fleet business, which operated 10 of the 14 vessels acquired in our 2007 Secunda Acquisition. The cash proceeds from the charter fleet sale were approximately $61 million, resulting in a gain on the sale of approximately $0.3 million.

The following table presents selected financial information regarding the results of operations attributable to our charter fleet business:

	Three Months Ended September 30,					Nine Months Ended September 30,
	2012		2011			2012(1)		2011(2)
	(Unaudited) (In thousands)
Revenues	$	—	$	13,404		$	8,184	$	33,970
Income before provision for income taxes		—		2,004			3,497		6,745
Provision for income taxes		—		(817	)		—		(2,286	)
Income from discontinued operations, net of tax	$	—	$	1,187		$	3,497	$	4,459

(1) Includes the charter fleet operations through March 19, 2012.

(2) Amounts presented exclude a $2.0 million recovery of an environmental reserve associated with our 2006 sale of Talleres Navales del Golfo, S.A. de C.V.

The following table presents the carrying values of the major classes of assets and liabilities held for sale that are included in our condensed consolidated balance sheet as of December 31, 2011:

	December 31, 2011
	(In thousands)
Other current assets	$	3,197
Property, plant and equipment—net		45,892
Other assets		9,679
Total long-term assets held for sale	$	55,571

Vessel Sale

On August 26, 2011, we completed the sale of the DB 23 marine vessel. Cash consideration received from the vessel sale was approximately $8.0 million, resulting in a pre-tax gain of $7.7 million that is included in our condensed consolidated statements of income for the three months and nine months ended September 30, 2011 for the Atlantic segment.