SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

3 Months Ended

Jun. 30, 2014

Supplemental Condensed Consolidating Financial Information [Abstract]

Additional Financial Information Disclosure [Text Block]

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

In connection with the issuance of the 6¹/4% 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 sheet, statement of income, comprehensive income and cash flow information 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

Three Months Ended June 30, 2014

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Revenue:
Gross revenue	$	—		$	75,637		$	396,901		$	—		$	472,538
Intercompany revenue	553			24,826			—			(25,379		)	—
	553			100,463			396,901			(25,379		)	472,538
Operating expense:
Direct cost and reimbursable expense	—			53,065			273,406			—			326,471
Intercompany expenses	—			—			25,379			(25,379		)	—
Depreciation and amortization	(142		)	10,215			15,261			—			25,334
General and administrative	18,337			10,099			31,996			—			60,432
	18,195			73,379			346,042			(25,379		)	412,237
Gain (loss) on disposal of assets	—			1,338			(728		)	—			610
Earnings from unconsolidated affiliates, net of losses	36,992			—			4,281			(36,992		)	4,281
Operating income	19,350			28,422			54,412			(36,992		)	65,192
Interest expense, net	27,518			(1,006		)	(33,639		)	—			(7,127		)
Other income (expense), net	(928		)	(72		)	(239		)	—			(1,239		)
Income before provision for income taxes	45,940			27,344			20,534			(36,992		)	56,826
Allocation of consolidated income taxes	(1,813		)	233			(10,243		)	—			(11,823		)
Net income	44,127			27,577			10,291			(36,992		)	45,003
Net income attributable to noncontrolling interests	(18		)	—			(876		)	—			(894		)
Net income attributable to Bristow Group	$	44,109		$	27,577		$	9,415		$	(36,992	)	$	44,109

Supplemental Condensed Consolidating Statement of Income

Three Months Ended June 30, 2013

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Revenue:
Gross revenue	$	—		$	76,643		$	322,351		$	—		$	398,994
Intercompany revenue	374			20,366			—			(20,740		)	—
	374			97,009			322,351			(20,740		)	398,994
Operating expense:
Direct cost and reimbursable expense	—			57,444			234,555			—			291,999
Intercompany expenses	—			—			20,740			(20,740		)	—
Depreciation and amortization	717			10,683			11,419			—			22,819
General and administrative	11,790			7,585			20,933			—			40,308
	12,507			75,712			287,647			(20,740		)	355,126
Gain (loss) on disposal of assets	—			1,388			(3,109		)	—			(1,721		)
Earnings from unconsolidated affiliates, net of losses	31,750			—			13,972			(31,750		)	13,972
Operating income	19,617			22,685			45,567			(31,750		)	56,119
Interest expense, net	7,601			(31		)	(27,821		)	—			(20,251		)
Other income (expense), net	2			14			(1,382		)	—			(1,366		)
Income before provision for income taxes	27,220			22,668			16,364			(31,750		)	34,502
Allocation of consolidated income taxes	(317		)	(525		)	(6,748		)	—			(7,590		)
Net income	26,903			22,143			9,616			(31,750		)	26,912
Net income attributable to noncontrolling interests	(17		)	—			(9		)	—			(26		)
Net income attributable to Bristow Group	$	26,886		$	22,143		$	9,607		$	(31,750	)	$	26,886

Supplemental Condensed Consolidating Statement of Comprehensive Income

Three Months Ended June 30, 2014

	Parent Company Only			Guarantor Subsidiaries		Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net income	$	44,127		$	27,577	$	10,291		$	(36,992	)	$	45,003
Other comprehensive income (loss):
Currency translation adjustments	(7,036		)	—		(19,645		)	35,672			8,991
Total comprehensive income (loss)	37,091			27,577		(9,354		)	(1,320		)	53,994
Net income attributable to noncontrolling interests	(18		)	—		(876		)	—			(894		)
Currency translation adjustments attributable to noncontrolling interests	—			—		217			—			217
Total comprehensive income attributable to noncontrolling interests	(18		)	—		(659		)	—			(677		)
Total comprehensive income (loss) attributable to Bristow Group	$	37,073		$	27,577	$	(10,013	)	$	(1,320	)	$	53,317

Supplemental Condensed Consolidating Statement of Comprehensive Income

Three Months Ended June 30, 2013

	Parent Company Only			Guarantor Subsidiaries		Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net income	$	26,903		$	22,143	$	9,616		$	(31,750	)	$	26,912
Other comprehensive income:
Currency translation adjustments	920			—		(6,947		)	1,598			(4,429		)
Total comprehensive income	27,823			22,143		2,669			(30,152		)	22,483
Net income attributable to noncontrolling interests	(17		)	—		(9		)	—			(26		)
Currency translation adjustments attributable to noncontrolling interests	—			—		(130		)	—			(130		)
Total comprehensive income attributable to noncontrolling interests	(17		)	—		(139		)	—			(156		)
Total comprehensive income attributable to Bristow Group	$	27,806		$	22,143	$	2,530		$	(30,152	)	$	22,327

Supplemental Condensed Consolidating Balance Sheet

As of June 30, 2014

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	6,660		$	—		$	129,008		$	(1,864	)	$	133,804
Accounts receivable	28,717			190,627			337,076			(245,822		)	310,598
Inventories	—			42,622			108,291			—			150,913
Assets held for sale	—			10,734			19,559			—			30,293
Prepaid expenses and other current assets	3,017			2,691			49,079			—			54,787
Total current assets	38,394			246,674			643,013			(247,686		)	680,395
Intercompany investment	1,274,404			111,435			—			(1,385,839		)	—
Investment in unconsolidated affiliates	—			—			265,955			—			265,955
Intercompany notes receivable	1,396,993			—			—			(1,396,993		)	—
Property and equipment—at cost:
Land and buildings	977			48,789			100,063			—			149,829
Aircraft and equipment	75,313			1,356,491			1,397,111			—			2,828,915
	76,290			1,405,280			1,497,174			—			2,978,744
Less: Accumulated depreciation and amortization	(12,897		)	(216,061		)	(307,404		)	—			(536,362		)
	63,393			1,189,219			1,189,770			—			2,442,382
Goodwill	—			4,755			53,016			—			57,771
Other assets	200,034			1,363			53,045			(160,227		)	94,215
Total assets	$	2,973,218		$	1,553,446		$	2,204,799		$	(3,190,745	)	$	3,540,718
LIABILITIES AND STOCKHOLDERS’ INVESTMENT
Current liabilities:
Accounts payable	$	10,930		$	81,352		$	173,202		$	(163,206	)	$	102,278
Accrued liabilities	15,991			28,314			150,319			(6,834		)	187,790
Current deferred taxes	(4,728		)	(1,409		)	20,227			—			14,090
Short-term borrowings and current maturities of long-term debt	5,679			—			8,172			—			13,851
Deferred sale leaseback advance	—			152,347			—			—			152,347
Total current liabilities	27,872			260,604			351,920			(170,040		)	470,356
Long-term debt, less current maturities	921,494			—			19,763			—			941,257
Intercompany notes payable	—			425,169			1,209,665			(1,634,834		)	—
Accrued pension liabilities	—			—			82,365			—			82,365
Other liabilities and deferred credits	11,265			22,539			26,072			—			59,876
Deferred taxes	150,507			9,614			19,111			—			179,232
Temporary equity	—			—			24,245			—			24,245
Stockholders’ investment:
Common stock	374			4,996			22,876			(27,872		)	374
Additional paid-in-capital	767,918			9,291			270,905			(280,196		)	767,918
Retained earnings	1,277,976			821,233			186,574			(1,007,807		)	1,277,976
Accumulated other comprehensive loss	(61,755		)	—			(15,547		)	(69,996		)	(147,298		)
Treasury shares	(124,122		)	—			—			—			(124,122		)
Total Bristow Group stockholders’ investment	1,860,391			835,520			464,808			(1,385,871		)	1,774,848
Noncontrolling interests	1,689			—			6,850			—			8,539
Total stockholders’ investment	1,862,080			835,520			471,658			(1,385,871		)	1,783,387
Total liabilities and stockholders’ investment	$	2,973,218		$	1,553,446		$	2,204,799		$	(3,190,745	)	$	3,540,718

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
Current 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	—			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 shares	(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

Three Months Ended June 30, 2014

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(22,755	)	$	54,360		$	7,158		$	(1,418	)	$	37,345
Cash flows from investing activities:
Capital expenditures	(11,219		)	(98,694		)	(90,534		)	—			(200,447		)
Proceeds from asset dispositions	—			6,423			220			—			6,643
Net cash used in investing activities	(11,219		)	(92,271		)	(90,314		)	—			(193,804		)
Cash flows from financing activities:
Proceeds from borrowings	147,500			—			544			—			148,044
Debt issuance costs	—			—			—			—			—
Repayment of debt	(31,891		)	—			(3,957		)	—			(35,848		)
Dividends paid	(11,353		)	—			—			—			(11,353		)
Increases (decreases) in cash related to intercompany advances and debt	(49,231		)	37,911			11,320			—			—
Partial prepayment of put/call obligation	(15		)	—			—			—			(15		)
Acquisition of noncontrolling interest	—			—			—			—			—
Proceeds from assignment of aircraft purchases	—			—			—			—			—
Repurchase of Common Stock	(20,157		)	—			—			—			(20,157		)
Issuance of Common Stock	975			—			—			—			975
Tax benefit related to stock-based compensation	166			—			—			—			166
Net cash provided by financing activities	35,994			37,911			7,907			—			81,812
Effect of exchange rate changes on cash and cash equivalents	—			—			4,110			—			4,110
Net increase (decrease) in cash and cash equivalents	2,020			—			(71,139		)	(1,418		)	(70,537		)
Cash and cash equivalents at beginning of period	4,640			—			200,147			(446		)	204,341
Cash and cash equivalents at end of period	$	6,660		$	—		$	129,008		$	(1,864	)	$	133,804

Supplemental Condensed Consolidating Statement of Cash Flows

Three Months Ended June 30, 2013

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations		Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(11,746	)	$	33,434		$	14,725		$	—	$	36,413
Cash flows from investing activities:
Capital expenditures	(5,283		)	(168,239		)	(6,010		)	—		(179,532		)
Proceeds from asset dispositions	—			1,893			—			—		1,893
Net cash used in investing activities	(5,283		)	(166,346		)	(6,010		)	—		(177,639		)
Cash flows from financing activities:
Proceeds from borrowings	102,000			—			1,357			—		103,357
Debt issuance costs	(12,733		)	—			—			—		(12,733		)
Repayment of debt	(1,153		)	—			(580		)	—		(1,733		)
Dividends paid	(9,045		)	—			—			—		(9,045		)
Increases (decreases) in cash related to intercompany advances and debt	(98,544		)	130,801			(32,257		)	—		—
Partial prepayment of put/call obligation	(14		)	—			—			—		(14		)
Issuance of Common Stock	3,004			—			—			—		3,004
Tax benefit related to stock-based compensation	2,522			—			—			—		2,522
Net cash provided by (used in) financing activities	(13,963		)	130,801			(31,480		)	—		85,358
Effect of exchange rate changes on cash and cash equivalents	—			—			237			—		237
Net decrease in cash and cash equivalents	(30,992		)	(2,111		)	(22,528		)	—		(55,631		)
Cash and cash equivalents at beginning of period	31,853			5,370			178,400			—		215,623
Cash and cash equivalents at end of period	$	861		$	3,259		$	155,872		$	—	$	159,992