SEGMENT REPORTING

9 Months Ended

Sep. 30, 2015

Segment Reporting [Abstract]

SEGMENT REPORTING

NOTE 13—SEGMENT REPORTING

In the first quarter of 2015, we completed changes to our organizational structure which resulted in the realignment of our reporting segments. Our North Sea and Africa operations were previously aggregated into the Middle East reporting segment. However, the responsibility for business decisions relating to the North Sea and Africa was moved to our Americas reporting segment in the first quarter of 2015.  As a result, the North Sea and Africa businesses are now reflected in our Americas segment, now referred to as Americas, Europe and Africa, or “AEA”. All comparable periods presented have been revised to reflect this change. Accordingly, we report financial results under three reporting segments consisting of the AEA, Middle East (or “MEA”) and Asia (or “ASA”) segments. We also report certain corporate and other non-operating activities under the heading “Corporate and other,” which primarily reflects corporate personnel and activities, incentive compensation programs and other costs that are generally fully allocated to our reporting segments. However, corporate restructuring costs associated with our corporate reorganization are not allocated to our reporting segments. Reporting segments are measured based on operating income, which is defined as revenues reduced by total costs and expenses and equity in income (loss) of unconsolidated affiliates. Summarized financial information is shown in the following tables:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2015			2014			2015			2014
	(In thousands)
Revenues(1):
AEA	$	96,371		$	117,509		$	344,385		$	425,060
MEA		318,346			91,659			892,367			588,195
ASA		391,140			205,427			1,166,105			481,234
Total revenues	$	805,857		$	414,595		$	2,402,857		$	1,494,489
Operating income (loss)(2):
AEA	$	(19,784	)	$	(11,853	)	$	(125	)	$	(41,855	)
MEA		38,981			(17,982	)		74,952			(1,049	)
ASA		13,886			21,022			12,273			30,232
Corporate		(3,623	)		(1,898	)		(9,443	)		(4,723	)
Total operating income (loss)	$	29,460		$	(10,711	)	$	77,657		$	(17,395	)
Capital expenditures(3):
AEA	$	3,286		$	7,249		$	6,715		$	47,602
MEA		2,735			47,354			17,677			76,739
ASA		11,648			5,316			41,141			83,613
Corporate and Other		464			1,650			585			8,572
Total capital expenditures	$	18,133		$	61,569		$	66,118		$	216,526
Depreciation and amortization:
AEA	$	9,832		$	7,897		$	33,119		$	23,284
MEA		8,393			7,235			23,150			24,732
ASA		4,191			5,061			11,969			15,048
Corporate and Other		2,195			2,215			7,744			5,591
Total depreciation and amortization	$	24,611		$	22,408		$	75,982		$	68,655
Drydock amortization:
AEA	$	3,133		$	3,162		$	9,377		$	8,707
MEA		443			501			1,606			1,398
ASA		676			1,938			2,927			5,462
Total drydock amortization	$	4,252		$	5,601		$	13,910		$	15,567

⁽¹⁾ Intersegment transactions included in revenues were not significant for either of the periods presented.

⁽²⁾ Operating results for the ASA segment included a $4 million impairment charge for the DB101 and $3 million of loss on disposal of this assetin the first and second quarters of 2015, respectively.

⁽³⁾ Total capital expenditures include expenditures for which cash payments were made during the period. Capital expenditures for the three and nine months ended September 30, 2015 included $1.2 million and $10.2 million, respectively, of cash payments for accrued capital expenditures outstanding as of December 31, 2014. Capital expenditures for the three months ended September 30, 2014 exclude $9.5 million in accrued liabilities related to capital expenditures and for the nine months ended September 30, 2014 include $18.6 million of cash payments for accrued capital expenditures outstanding as of December 31, 2013.

	September 30, 2015		December 31, 2014
	(In thousands)
Segment assets:
AEA	$	611,268	$	976,179
MEA		1,005,852		990,671
ASA		1,004,896		601,394
Corporate and Other		762,193		848,635
	$	3,384,209	$	3,416,879