SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

12 Months Ended

Mar. 31, 2014

Supplemental Condensed Consolidating Financial Information [Abstract]

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

Note 14 — SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

In connection with the issuance of the 7  ¹/2% Senior Notes (which we tendered and redeemed during fiscal year 2013), the 6  ¹/4% Senior Notes and the 3% Convertible Senior Notes, the Guarantor Subsidiaries fully, unconditionally, jointly and severally guaranteed the payment obligations under these notes. The following supplemental financial information sets forth, on a consolidating basis, the balance sheets, statements of income, statements of comprehensive income and statements of cash flows for Bristow Group Inc. (“Parent Company Only”), for the Guarantor Subsidiaries and for our other subsidiaries (the “Non-Guarantor Subsidiaries”). We have not presented separate financial statements and other disclosures concerning the Guarantor Subsidiaries because management has determined that such information is not material to investors.

The supplemental condensed consolidating financial information has been prepared pursuant to the rules and regulations for condensed financial information and does not include all disclosures included in annual financial statements, although we believe that the disclosures made are adequate to make the information presented not misleading. The principal eliminating entries eliminate investments in subsidiaries, intercompany balances and intercompany revenue and expense.

The allocation of the consolidated income tax provision was made using the with and without allocation method.

Supplemental Condensed Consolidating Statement of Income

Fiscal Year Ended March 31, 2014

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Revenue:
Gross revenue	$	—		$	303,878		$	1,365,704		$	—		$	1,669,582
Intercompany revenue	14,754			78,576			—			(93,330		)	—
	14,754			382,454			1,365,704			(93,330		)	1,669,582
Operating expense:
Direct cost and reimbursable expense	—			219,873			966,259			—			1,186,132
Intercompany expenses	—			—			93,330			(93,330		)	—
Impairment of inventories	—			6,988			5,681			—			12,669
Depreciation and amortization	2,835			43,052			50,090			—			95,977
General and administrative	64,891			33,925			100,998			—			199,814
	67,726			303,838			1,216,358			(93,330		)	1,494,592
Gain (loss) on disposal of assets	(45		)	4,312			(4,989		)	—			(722		)
Earnings from unconsolidated affiliates, net of losses	189,209			—			12,666			(189,166		)	12,709
Operating income	136,192			82,928			157,023			(189,166		)	186,977
Interest income	127,142			3			1,710			(127,135		)	1,720
Interest expense	(47,170		)	(4,788		)	(120,115		)	127,135			(44,938		)
Gain on sale of unconsolidated affiliate	—			—			103,924			—			103,924
Other income (expense), net	(174		)	(342		)	(2,176		)	—			(2,692		)
Income from continuing operations before provision for income taxes	215,990			77,801			140,366			(189,166		)	244,991
Allocation of consolidated income taxes	(29,193		)	(6,292		)	(21,727		)	—			(57,212		)
Net income	186,797			71,509			118,639			(189,166		)	187,779
Net income attributable to noncontrolling interests	(60		)	—			(982		)	—			(1,042		)
Net income attributable to Bristow Group	$	186,737		$	71,509		$	117,657		$	(189,166	)	$	186,737

Supplemental Condensed Consolidating Statement of Comprehensive Income

Fiscal Year Ended March 31, 2014

	Parent Company Only			Guarantor Subsidiaries		Non- Guarantor Subsidiaries			Eliminations			Consolidated
				(In thousands)
Net income	$	186,797		$	71,509	$	118,639		$	(189,166	)	$	187,779
Other comprehensive income (loss):
Currency translation adjustments	8,173			—		(40,402		)	50,958			18,729
Pension liability adjustment	—			—		23,367			—			23,367
Total comprehensive income	194,970			71,509		101,604			(138,208		)	229,875
Net (income) loss attributable to noncontrolling interests	(60		)	—		(982		)	—			(1,042		)
Currency translation adjustments attributable to noncontrolling interests	—			—		1,081			—			1,081
Total comprehensive income attributable to noncontrolling interests	(60		)	—		99			—			39
Total comprehensive income attributable to Bristow Group	$	194,910		$	71,509	$	101,703		$	(138,208	)	$	229,914

Supplemental Condensed Consolidating Balance Sheet

As of March 31, 2014

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	4,640		$	—		$	200,147		$	(446	)	$	204,341
Accounts receivable	32,280			104,155			310,288			(149,280		)	297,443
Inventories	—			40,864			96,599			—			137,463
Assets held for sale	—			8,505			20,771			—			29,276
Prepaid expenses and other current assets	3,882			3,258			45,944			—			53,084
Total current assets	40,802			156,782			673,749			(149,726		)	721,607
Intercompany investment	1,273,337			111,435			—			(1,384,772		)	—
Investment in unconsolidated affiliates	—			—			262,615			—			262,615
Intercompany notes receivable	1,286,354			—			—			(1,286,354		)	—
Property and equipment - at cost:
Land and buildings	977			49,499			95,497			—			145,973
Aircraft and equipment	64,094			1,357,126			1,224,930			—			2,646,150
	65,071			1,406,625			1,320,427			—			2,792,123
Less: Accumulated depreciation and amortization	(13,057		)	(211,385		)	(298,930		)	—			(523,372		)
	52,014			1,195,240			1,021,497			—			2,268,751
Goodwill	—			4,755			51,925			—			56,680
Other assets	204,679			1,462			50,392			(167,929		)	88,604
Total assets	$	2,857,186		$	1,469,674		$	2,060,178		$	(2,988,781	)	$	3,398,257
LIABILITIES AND STOCKHOLDERS’ INVESTMENT
Current liabilities:
Accounts payable	$	8,298		$	67,728		$	157,297		$	(143,505	)	$	89,818
Accrued liabilities	36,442			32,084			141,423			(5,451		)	204,498
Deferred taxes	(7,640		)	(1,342		)	21,354			—			12,372
Short-term borrowings and current maturities of long-term debt	4,543			—			9,664			—			14,207
Deferred sale leaseback advance	—			136,930			—			—			136,930
Total current liabilities	41,643			235,400			329,738			(148,956		)	457,825
Long-term debt, less current maturities	805,965			—			21,130			—			827,095
Intercompany notes payable	—			378,983			1,076,292			(1,455,275		)	—
Accrued pension liabilities	—			—			86,823			—			86,823
Other liabilities and deferred credits	13,750			37,876			26,500			—			78,126
Deferred taxes	144,461			9,472			15,586			—			169,519
Temporary equity	—			—			22,283			—			22,283
Stockholders’ investment:
Common stock	373			4,996			22,876			(27,872		)	373
Additional paid-in-capital	762,813			9,291			270,905			(280,196		)	762,813
Retained earnings	1,245,220			793,656			177,159			(970,815		)	1,245,220
Accumulated other comprehensive income (loss)	(54,719		)	—			3,880			(105,667		)	(156,506		)
Treasury stock	(103,965		)	—			—			—			(103,965		)
Total Bristow Group stockholders’ investment	1,849,722			807,943			474,820			(1,384,550		)	1,747,935
Noncontrolling interests	1,645			—			7,006			—			8,651
Total stockholders’ investment	1,851,367			807,943			481,826			(1,384,550		)	1,756,586
Total liabilities and stockholders’ investment	$	2,857,186		$	1,469,674		$	2,060,178		$	(2,988,781	)	$	3,398,257

Supplemental Condensed Consolidating Statement of Cash Flows

Fiscal Year Ended March 31, 2014

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(48,173	)	$	107,059		$	173,654		$	(446	)	$	232,094
Cash flows from investing activities:
Capital expenditures	(33,197		)	(482,786		)	(246,868		)	134,238			(628,613		)
Acquisitions, net of cash received	—			—			(39,850		)	—			(39,850		)
Proceeds from sale of unconsolidated affiliate	—			—			112,210			—			112,210
Proceeds from asset dispositions	—			284,042			140,147			(134,238		)	289,951
Net cash used in investing activities	(33,197		)	(198,744		)	(34,361		)	—			(266,302		)
Cash flows from financing activities:
Proceeds from borrowings	528,600			—			4,464			—			533,064
Payment of contingent consideration	—			—			(6,000		)	—			(6,000		)
Debt issuance costs	(15,523		)	—			—			—			(15,523		)
Repayment of debt and debt redemption premiums	(508,060		)	—			(4,432		)	—			(512,492		)
Proceeds from assignment of aircraft purchase agreements	—			106,113			—			—			106,113
Partial prepayment of put/call obligation	(57		)	—			—			—			(57		)
Acquisition of noncontrolling interest	—			—			(2,078		)	—			(2,078		)
Repurchase of Common Stock	(77,661		)	—			—			—			(77,661		)
Dividends paid	(33,254		)	34			(3,100		)	—			(36,320		)
Increases (decreases) in cash related to intercompany advances and debt	138,991			(19,832		)	(119,159		)	—			—
Issuance of Common Stock	15,398			—			—			—			15,398
Tax benefit related to stock-based compensation	5,723			—			—			—			5,723
Net cash provided by (used in) financing activities	54,157			86,315			(130,305		)	—			10,167
Effect of exchange rate changes on cash and cash equivalents	—			—			12,759			—			12,759
Net increase (decrease) in cash and cash equivalents	(27,213		)	(5,370		)	21,747			(446		)	(11,282		)
Cash and cash equivalents at beginning of period	31,853			5,370			178,400			—			215,623
Cash and cash equivalents at end of period	$	4,640		$	—		$	200,147		$	(446	)	$	204,341

Supplemental Condensed Consolidating Statement of Income

Fiscal Year Ended March 31, 2013

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Revenue:
Gross revenue	$	—		$	300,731		$	1,207,742		$	—		$	1,508,473
Intercompany revenue	12,537			66,625			—			(79,162		)	—
	12,537			367,356			1,207,742			(79,162		)	1,508,473
Operating expense:
Direct cost and reimbursable expense	—			208,995			848,799			—			1,057,794
Intercompany expenses	—			—			79,162			(79,162		)	—
Depreciation and amortization	4,588			38,851			52,845			—			96,284
General and administrative	52,968			29,252			81,169			—			163,389
	57,556			277,098			1,061,975			(79,162		)	1,317,467
Gain on disposal of assets	—			2,474			5,594			—			8,068
Earnings from unconsolidated affiliates, net of losses	123,586			—			25,070			(123,586		)	25,070
Operating income	78,567			92,732			176,431			(123,586		)	224,144
Interest income	115,276			17			704			(115,209		)	788
Interest expense	(44,844		)	—			(112,811		)	115,209			(42,446		)
Extinguishment of debt	(14,932		)	—			—			—			(14,932		)
Other income (expense), net	94			103			(1,074		)	—			(877		)
Income before provision for income taxes	134,161			92,852			63,250			(123,586		)	166,677
Allocation of consolidated income taxes	(3,996		)	(6,070		)	(24,936		)	—			(35,002		)
Net income	130,165			86,782			38,314			(123,586		)	131,675
Net income attributable to noncontrolling interests	(63		)	—			(1,510		)	—			(1,573		)
Net income attributable to Bristow Group	$	130,102		$	86,782		$	36,804		$	(123,586	)	$	130,102

Supplemental Condensed Consolidating Statement of Comprehensive Income

Fiscal Year Ended March 31, 2013

	Parent Company Only			Guarantor Subsidiaries		Non- Guarantor Subsidiaries			Eliminations			Consolidated
				(In thousands)
Net income	$	130,165		$	86,782	$	38,314		$	(123,586	)	$	131,675
Other comprehensive income (loss):
Currency translation adjustments	(1,186		)	—		(6,383		)	(4,413		)	(11,982		)
Pension liability adjustment	—			—		(28,462		)	—			(28,462		)
Total comprehensive income (loss)	128,979			86,782		3,469			(127,999		)	91,231
Net (income) loss attributable to noncontrolling interests	(63		)	—		(1,510		)	—			(1,573		)
Total comprehensive (income) loss attributable to noncontrolling interests	(63		)	—		(1,510		)	—			(1,573		)
Total comprehensive income (loss) attributable to Bristow Group	$	128,916		$	86,782	$	1,959		$	(127,999	)	$	89,658

Supplemental Condensed Consolidating Balance Sheet

As of March 31, 2013

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	31,853		$	5,370		$	178,400		$	—		$	215,623
Accounts receivable	18,498			80,615			246,612			(82,944		)	262,781
Inventories	—			51,970			101,999			—			153,969
Assets held for sale	—			1,268			7,022			—			8,290
Prepaid expenses and other current assets	16,071			12,415			23,263			(16,654		)	35,095
Total current assets	66,422			151,638			557,296			(99,598		)	675,758
Intercompany investment	1,163,935			111,435			—			(1,275,370		)	—
Investment in unconsolidated affiliates	—			150			271,973			—			272,123
Intercompany notes receivable	1,401,680			—			—			(1,401,680		)	—
Property and equipment - at cost:
Land and buildings	939			48,907			58,747			—			108,593
Aircraft and equipment	31,310			1,170,531			1,104,213			—			2,306,054
	32,249			1,219,438			1,162,960			—			2,414,647
Less: Accumulated depreciation and amortization	(10,680		)	(205,746		)	(277,149		)	—			(493,575		)
	21,569			1,013,692			885,811			—			1,921,072
Goodwill	—			4,756			24,141			—			28,897
Other assets	40,877			1,341			149,544			(138,920		)	52,842
Total assets	$	2,694,483		$	1,283,012		$	1,888,765		$	(2,915,568	)	$	2,950,692
LIABILITIES AND STOCKHOLDERS’ INVESTMENT
Current liabilities:
Accounts payable	$	4,049		$	44,017		$	101,021		$	(79,266	)	$	69,821
Accrued liabilities	29,534			22,404			115,112			(19,369		)	147,681
Deferred taxes	(4,184		)	115			4,069			—			—
Short-term borrowings and current maturities of long-term debt	21,875			—			448			—			22,323
Total current liabilities	51,274			66,536			220,650			(98,635		)	239,825
Long-term debt, less current maturities	764,946			—			—			—			764,946
Intercompany notes payable	—			463,184			963,687			(1,426,871		)	—
Accrued pension liabilities	—			—			126,647			—			126,647
Other liabilities and deferred credits	10,761			8,530			178,525			(140,620		)	57,196
Deferred taxes	128,153			8,328			14,640			—			151,121
Stockholders’ investment:
Common stock	367			4,996			22,876			(27,872		)	367
Additional paid-in-capital	731,883			9,291			270,905			(280,196		)	731,883
Retained earnings	1,094,803			722,147			62,602			(784,749		)	1,094,803
Accumulated other comprehensive income (loss)	(62,892		)	—			19,834			(156,625		)	(199,683		)
Treasury shares	(26,304		)	—			—			—			(26,304		)
Total Bristow Group stockholders’ investment	1,737,857			736,434			376,217			(1,249,442		)	1,601,066
Noncontrolling interests	1,492			—			8,399			—			9,891
Total stockholders’ investment	1,739,349			736,434			384,616			(1,249,442		)	1,610,957
Total liabilities and stockholders’ investment	$	2,694,483		$	1,283,012		$	1,888,765		$	(2,915,568	)	$	2,950,692

Supplemental Condensed Consolidating Statement of Cash Flows

Fiscal Year Ended March 31, 2013

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(45,184	)	$	156,371		$	155,577		$	—		$	266,764
Cash flows from investing activities:
Capital expenditures	(17,532		)	(503,120		)	(202,633		)	151,860			(571,425		)
Proceeds from asset dispositions	—			185,876			280,831			(151,860		)	314,847
Investment in unconsolidated affiliates	—			—			(51,179		)	—			(51,179		)
Net cash used in investing activities	(17,532		)	(317,244		)	27,019			—			(307,757		)
Cash flows from financing activities:
Proceeds from borrowings	675,000			—			449			—			675,449
Debt issuance costs	(10,344		)	—			—			—			(10,344		)
Repayment of debt and debt redemption premiums	(663,921		)	—			—			—			(663,921		)
Dividends paid	(11,242		)	(12,955		)	(4,537		)	—			(28,734		)
Increases (decreases) in cash related to intercompany advances and debt	13,960			176,043			(190,003		)	—			—
Partial prepayment of put/call obligation	(63		)	—			—			—			(63		)
Repurchase of Common Stock	(1,219		)	—			—			—			(1,219		)
Tax benefit related to exercise of stock options	500			—			—						500
Issuance of Common Stock	15,289			—			—			—			15,289
Net cash provided by (used in) financing activities	17,960			163,088			(194,091		)	—			(13,043		)
Effect of exchange rate changes on cash and cash equivalents	—			—			8,109			—			8,109
Net increase (decrease) in cash and cash equivalents	(44,756		)	2,215			(3,386		)	—			(45,927		)
Cash and cash equivalents at beginning of period	76,609			3,155			181,786			—			261,550
Cash and cash equivalents at end of period	$	31,853		$	5,370		$	178,400		$	—		$	215,623

Supplemental Condensed Consolidating Statement of Income

Fiscal Year Ended March 31, 2012

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Revenue:
Gross revenue	$	—		$	258,525		$	1,083,278		$	—		$	1,341,803
Intercompany revenue	4,981			59,708			—			(64,689		)	—
	4,981			318,233			1,083,278			(64,689		)	1,341,803
Operating expense:
Direct cost and reimbursable expense	—			184,258			763,392			—			947,650
Intercompany expenses	—			—			64,689			(64,689		)	—
Impairment of inventories	—			9,212			16,707			—			25,919
Depreciation and amortization	3,687			36,185			56,272			—			96,144
General and administrative	39,747			20,595			74,991			—			135,333
	43,434			250,250			976,051			(64,689		)	1,205,046
Gain on disposal of assets	(6		)	1,705			(33,369		)	—			(31,670		)
Earnings from unconsolidated affiliates, net of losses	43,626			—			8,679			(41,626		)	10,679
Operating income	5,167			69,688			82,537			(41,626		)	115,766
Interest income	96,792			200			517			(96,949		)	560
Interest expense	(37,856		)	—			(97,223		)	96,949			(38,130		)
Other income (expense), net	25			100			1,121			—			1,246
Income from continuing operations before provision for income taxes	64,128			69,988			(13,048		)	(41,626		)	79,442
Allocation of consolidated income taxes	(533		)	(7,887		)	(5,781		)	—			(14,201		)
Net income	63,595			62,101			(18,829		)	(41,626		)	65,241
Net income attributable to noncontrolling interests	(65		)	—			(1,646		)	—			(1,711		)
Net income attributable to Bristow Group	$	63,530		$	62,101		$	(20,475	)	$	(41,626	)	$	63,530

Supplemental Condensed Consolidating Statement of Comprehensive Income

Fiscal Year Ended March 31, 2012

	Parent Company Only			Guarantor Subsidiaries		Non- Guarantor Subsidiaries			Eliminations			Consolidated
				(In thousands)
Net income	$	63,595		$	62,101	$	(18,829	)	$	(41,626	)	$	65,241
Other comprehensive income (loss):
Currency translation adjustments	1,480			—		(13,037		)	12,462			905
Pension liability adjustment	—			—		(27,877		)	—			(27,877		)
Unrealized gain on cash flow hedges	—			—		(2,150		)	—			(2,150		)
Total comprehensive income	65,075			62,101		(61,893		)	(29,164		)	36,119
Net (income) loss attributable to noncontrolling interests	(65		)	—		(1,646		)	—			(1,711		)
Total comprehensive (income) loss attributable to noncontrolling interests	(65		)	—		(1,646		)	—			(1,711		)
Total comprehensive income attributable to Bristow Group	$	65,010		$	62,101	$	(63,539	)	$	(29,164	)	$	34,408

Supplemental Condensed Consolidating Statement of Cash Flows

Fiscal Year Ended March 31, 2012

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations		Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(31,226	)	$	91,773		$	170,800		$	—	$	231,347
Cash flows from investing activities:
Capital expenditures	(2,710		)	(230,858		)	(92,852		)	—		(326,420		)
Deposits on assets held for sale	—			—			200			—		200
Proceeds from asset dispositions	—			173,603			66,240			—		239,843
Investment in unconsolidated affiliates	(2,378		)	—			—			—		(2,378		)
Net cash used in investing activities	(5,088		)	(57,255		)	(26,412		)	—		(88,755		)
Cash flows from financing activities:
Proceeds from borrowings	159,300			—			693			—		159,993
Debt issuance costs	(871		)	—			—			—		(871		)
Repayment of debt and debt redemption premiums	(95,290		)	—			(18,129		)	—		(113,419		)
Increases (decreases) in cash related to intercompany advances and debt	15,429			(11,407		)	(4,022		)	—		—
Dividends paid	29,781			(24,927		)	(26,470		)	—		(21,616		)
Partial prepayment of put/call obligation	(63		)	—			—			—		(63		)
Acquisition of noncontrolling interest	—			(262		)	—			—		(262		)
Repurchase of Common Stock	(25,085		)	—			—			—		(25,085		)
Issuance of Common Stock	5,293			—			—			—		5,293
Tax benefit related to stock-based compensation	354			—			—			—		354
Net cash provided by (used in) financing activities	88,848			(36,596		)	(47,928		)	—		4,324
Effect of exchange rate changes on cash and cash equivalents	—			—			(1,727		)	—		(1,727		)
Net increase in cash and cash equivalents	52,534			(2,078		)	94,733			—		145,189
Cash and cash equivalents at beginning of period	24,075			5,233			87,053			—		116,361
Cash and cash equivalents at end of period	$	76,609		$	3,155		$	181,786		$	—	$	261,550