SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

12 Months Ended

Mar. 31, 2017

Supplemental Condensed Consolidating Financial Information [Abstract]

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

In connection with the issuance of the 6 ¼% Senior Notes and the 3% Convertible Senior Notes (which we repurchased during fiscal year 2016), the Guarantor Subsidiaries fully, unconditionally, jointly and severally guaranteed the payment obligations under these notes. As part of the Eighth Amendment to our Amended and Restated Credit Agreement, Bristow Academy, Inc. became a Guarantor Subsidiary. Therefore, Bristow Academy, Inc. is presented as a Guarantor Subsidiary for fiscal year 2017 in the following supplemental consolidating financial statements. Further, Bristow U.S. Leasing LLC, a new U.S. subsidiary of the Company created in fiscal year 2017, also is presented as Guarantor Subsidiaries for fiscal year 2017 in the following supplemental consolidating financial statements.

The following supplemental financial information sets forth, on a consolidating basis, the balance sheet, statement of operations, 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 Operations

Fiscal Year Ended March 31, 2017

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Revenue:
Gross revenue	$	—		$	170,306		$	1,230,196		$	—		$	1,400,502
Intercompany revenue	—			114,196			—			(114,196		)	—
	—			284,502			1,230,196			(114,196		)	1,400,502
Operating expense:
Direct cost and reimbursable expense	77			202,974			951,246			—			1,154,297
Intercompany expenses	—			—			114,196			(114,196		)	—
Depreciation and amortization	9,513			51,784			57,451			—			118,748
General and administrative	64,278			23,055			108,034			—			195,367
	73,868			277,813			1,230,927			(114,196		)	1,468,412
Loss on impairment	—			(4,761		)	(11,517		)	—			(16,278		)
Gain (loss) on disposal of assets	—			(15,576		)	1,077			—			(14,499		)
Earnings from unconsolidated affiliates, net of losses	(28,119		)	—			6,903			28,161			6,945
Operating loss	(101,987		)	(13,648		)	(4,268		)	28,161			(91,742		)
Interest expense, net	(43,581		)	(3,480		)	(2,858		)	—			(49,919		)
Other income (expense), net	1,257			3,883			(7,781		)	—			(2,641		)
Loss before (provision) benefit for income taxes	(144,311		)	(13,245		)	(14,907		)	28,161			(144,302		)
Allocation of consolidated income taxes	(26,175		)	(10,862		)	4,449			—			(32,588		)
Net loss	(170,486		)	(24,107		)	(10,458		)	28,161			(176,890		)
Net (income) loss attributable to noncontrolling interests	(50		)	—			6,404			—			6,354
Net loss attributable to Bristow Group	$	(170,536	)	$	(24,107	)	$	(4,054	)	$	28,161		$	(170,536	)

Supplemental Condensed Consolidating Statement of Comprehensive Income (Loss)

Fiscal Year Ended March 31, 2017

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
				(In thousands)
Net loss	$	(170,486	)	$	(24,107	)	$	(10,458	)	$	28,161		$	(176,890	)
Other comprehensive income (loss):
Currency translation adjustments	—			388			209,065			(231,089		)	(21,636		)
Pension liability adjustment	—			—			(11,511		)	—			(11,511		)
Total comprehensive income (loss)	(170,486		)	(23,719		)	187,096			(202,928		)	(210,037		)
Net (income) loss attributable to noncontrolling interests	(50		)	—			6,404			—			6,354
Currency translation adjustments attributable to noncontrolling interests	—			—			(5,311		)	—			(5,311		)
Total comprehensive income attributable to noncontrolling interests	(50		)	—			1,093			—			1,043
Total comprehensive income (loss) attributable to Bristow Group	$	(170,536	)	$	(23,719	)	$	188,189		$	(202,928	)	$	(208,994	)

Supplemental Condensed Consolidating Balance Sheet

As of March 31, 2017

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	3,382		$	299		$	92,975		$	—		$	96,656
Accounts receivable	76,383			288,235			212,900			(370,603		)	206,915
Inventories	—			34,721			90,190			—			124,911
Assets held for sale	—			30,716			7,530			—			38,246
Prepaid expenses and other current assets	3,237			4,501			43,856			(10,451		)	41,143
Total current assets	83,002			358,472			447,451			(381,054		)	507,871
Intercompany investment	2,491,631			104,435			126,296			(2,722,362		)	—
Investment in unconsolidated affiliates	—			—			210,162			—			210,162
Intercompany notes receivable	306,641			37,633			39,706			(383,980		)	—
Property and equipment - at cost:
Land and buildings	4,806			62,114			164,528			—			231,448
Aircraft and equipment	151,005			1,199,073			1,272,623			—			2,622,701
	155,811			1,261,187			1,437,151			—			2,854,149
Less – Accumulated depreciation and amortization	(29,099		)	(258,225		)	(312,461		)	—			(599,785		)
	126,712			1,002,962			1,124,690			—			2,254,364
Goodwill	—			—			19,798			—			19,798
Other assets	18,770			2,139			100,743			—			121,652
Total assets	$	3,026,756		$	1,505,641		$	2,068,846		$	(3,487,396	)	$	3,113,847
LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND STOCKHOLDERS’ INVESTMENT
Current liabilities:
Accounts payable	$	231,841		$	70,434		$	151,382		$	(355,442	)	$	98,215
Accrued liabilities	61,791			17,379			132,704			(25,628		)	186,246
Deferred taxes	(1,272		)	2,102			—			—			830
Short-term borrowings and current maturities of long-term debt	79,053			17,432			34,578			—			131,063
Contingent consideration	—			—			—			—			—
Total current liabilities	371,413			107,347			318,664			(381,070		)	416,354
Long-term debt, less current maturities	763,325			284,710			102,921			—			1,150,956
Intercompany notes payable	70,689			226,091			87,200			(383,980		)	—
Accrued pension liabilities	—			—			61,647			—			61,647
Other liabilities and deferred credits	11,597			6,229			11,073			—			28,899
Deferred taxes	112,716			40,344			1,813			—			154,873
Redeemable noncontrolling interests	—			—			6,886			—			6,886
Stockholders’ investment:
Common stock	379			20,028			115,317			(135,345		)	379
Additional paid-in-capital	809,995			29,387			284,048			(313,435		)	809,995
Retained earnings	991,906			791,117			819,987			(1,611,104		)	991,906
Accumulated other comprehensive income (loss)	78,306			388			255,491			(662,462		)	(328,277		)
Treasury shares	(184,796		)	—			—			—			(184,796		)
Total Bristow Group stockholders’ investment	1,695,790			840,920			1,474,843			(2,722,346		)	1,289,207
Noncontrolling interests	1,226			—			3,799			—			5,025
Total stockholders’ investment	1,697,016			840,920			1,478,642			(2,722,346		)	1,294,232
Total liabilities, redeemable noncontrolling interests and stockholders’ investment	$	3,026,756		$	1,505,641		$	2,068,846		$	(3,487,396	)	$	3,113,847

Supplemental Condensed Consolidating Statement of Cash Flows

Fiscal Year Ended March 31, 2017

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations		Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(101,676	)	$	18,359		$	94,019		$	—	$	10,702
Cash flows from investing activities:
Capital expenditures	(16,544		)	(25,756		)	(92,810		)	—		(135,110		)
Proceeds from asset dispositions	—			16,346			2,125			—		18,471
Deposit received on asset held for sale	—			290			—			—		290
Net cash used in investing activities	(16,544		)	(9,120		)	(90,685		)	—		(116,349		)
Cash flows from financing activities:
Proceeds from borrowings	300,600			309,889			97,778			—		708,267
Payment of contingent consideration	—			—			(10,000		)	—		(10,000		)
Debt issuance costs	(2,925		)	(4,199		)	(886		)	—		(8,010		)
Repayment of debt	(533,500		)	(5,016		)	(31,812		)	—		(570,328		)
Partial prepayment of put/call obligation	(49		)	—			—			—		(49		)
Dividends paid to noncontrolling interest	—			—			(2,533		)	—		(2,533		)
Dividends paid	13,780			(21,226		)	(2,385		)	—		(9,831		)
Increases (decreases) in cash related to intercompany advances and debt	308,455			(291,781		)	(16,674		)	—		—
Net cash provided by (used in) financing activities	86,361			(12,333		)	33,488			—		107,516
Effect of exchange rate changes on cash and cash equivalents	—			—			(9,523		)	—		(9,523		)
Net increase (decrease) in cash and cash equivalents	(31,859		)	(3,094		)	27,299			—		(7,654		)
Cash and cash equivalents at beginning of period	35,241			3,393			65,676			—		104,310
Cash and cash equivalents at end of period	$	3,382		$	299		$	92,975		$	—	$	96,656

Supplemental Condensed Consolidating Statement of Income

Fiscal Year Ended March 31, 2016

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Revenue:
Gross revenue	$	—		$	229,499		$	1,486,014		$	—		$	1,715,513
Intercompany revenue	—			87,673			—			(87,673		)	—
	—			317,172			1,486,014			(87,673		)	1,715,513
Operating expense:
Direct cost and reimbursable expense	320			192,500			1,116,545			—			1,309,365
Intercompany expenses	—			—			87,673			(87,673		)	—
Depreciation and amortization	7,137			60,312			69,363			—			136,812
General and administrative	68,787			27,440			128,418			—			224,645
	76,244			280,252			1,401,999			(87,673		)	1,670,822
Loss on impairment	—			(7,264		)	(47,840		)	—			(55,104		)
Loss on disposal of assets	—			(21,579		)	(9,114		)	—			(30,693		)
Earnings from unconsolidated affiliates, net of losses	1,271			—			220			(1,230		)	261
Operating income (loss)	(74,973		)	8,077			27,281			(1,230		)	(40,845		)
Interest expense, net	(30,167		)	(3,859		)	(102		)	—			(34,128		)
Other income (expense), net	400			499			(5,157		)	—			(4,258		)
Income (loss) before (provision) benefit for income taxes	(104,740		)	4,717			22,022			(1,230		)	(79,231		)
Allocation of consolidated income taxes	32,355			(3,546		)	(26,727		)	—			2,082
Net income (loss)	(72,385		)	1,171			(4,705		)	(1,230		)	(77,149		)
Net (income) loss attributable to noncontrolling interests	(57		)	—			4,764			—			4,707
Net income (loss) attributable to Bristow Group	(72,442		)	1,171			59			(1,230		)	(72,442		)
Accretion of redeemable noncontrolling interests	—			—			(1,498		)	—			(1,498		)
Net income (loss) attributable to common stockholders	$	(72,442	)	$	1,171		$	(1,439	)	$	(1,230	)	$	(73,940	)

Supplemental Condensed Consolidating Statement of Comprehensive Income (Loss)

Fiscal Year Ended March 31, 2016

	Parent Company Only			Guarantor Subsidiaries		Non- Guarantor Subsidiaries			Eliminations			Consolidated
				(In thousands)
Net income (loss)	$	(72,385	)	$	1,171	$	(4,705	)	$	(1,230	)	$	(77,149	)
Other comprehensive income (loss):
Currency translation adjustments	2			—		(186,812		)	165,206			(21,604		)
Pension liability adjustment	—			—		705			—			705
Total comprehensive income (loss)	(72,383		)	1,171		(190,812		)	163,976			(98,048		)
Net (income) loss attributable to noncontrolling interests	(57		)	—		4,764			—			4,707
Currency translation adjustment attributable to noncontrolling interest	—			—		1,409			—			1,409
Total comprehensive income (loss) attributable to noncontrolling interests	(57		)	—		6,173			—			6,116
Total comprehensive income (loss) attributable to Bristow Group	(72,440		)	1,171		(184,639		)	163,976			(91,932		)
Accretion of redeemable noncontrolling interests	—			—		(1,498		)	—			(1,498		)
Total comprehensive (income) loss attributable to common stockholders	$	(72,440	)	$	1,171	$	(186,137	)	$	163,976		$	(93,430	)

Supplemental Condensed Consolidating Balance Sheet

As of March 31, 2016

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	35,241		$	3,393		$	65,676		$	—		$	104,310
Accounts receivable	768,641			353,729			373,963			(1,247,016		)	249,317
Inventories	—			37,185			105,318			—			142,503
Assets held for sale	—			38,771			5,012			—			43,783
Prepaid expenses and other current assets	5,048			(1,843		)	49,978			—			53,183
Total current assets	808,930			431,235			599,947			(1,247,016		)	593,096
Intercompany investment	2,207,516			104,435			145,168			(2,457,119		)	—
Investment in unconsolidated affiliates	—			—			194,952			—			194,952
Intercompany notes receivable	153,078			13,787			3,600			(170,465		)	—
Property and equipment - at cost:
Land and buildings	4,776			63,976			184,346			—			253,098
Aircraft and equipment	137,751			1,142,829			1,289,997			—			2,570,577
	142,527			1,206,805			1,474,343			—			2,823,675
Less – Accumulated depreciation and amortization	(23,556		)	(238,644		)	(278,223		)	—			(540,423		)
	118,971			968,161			1,196,120			—			2,283,252
Goodwill	—			—			29,990			—			29,990
Other assets	48,190			743			112,722			—			161,655
Total assets	$	3,336,685		$	1,518,361		$	2,282,499		$	(3,874,600	)	$	3,262,945
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND STOCKHOLDERS’ INVESTMENT
Current liabilities:
Accounts payable	$	208,230		$	475,118		$	296,860		$	(883,242	)	$	96,966
Accrued liabilities	26,886			31,371			401,031			(257,683		)	201,605
Deferred taxes	88			1,914			(121		)	—			1,881
Short-term borrowings and current maturities of long-term debt	25,678			—			34,716			—			60,394
Contingent consideration	—			—			29,522			—			29,522
Total current liabilities	260,882			508,403			762,008			(1,140,925		)	390,368
Long-term debt, less current maturities	1,047,150			—			24,428			—			1,071,578
Intercompany notes payable	—			108,952			81,422			(190,374		)	—
Accrued pension liabilities	—			—			70,107			—			70,107
Other liabilities and deferred credits	12,278			6,935			14,060			—			33,273
Deferred taxes	147,631			3,670			20,953			—			172,254
Redeemable noncontrolling interest	—			—			15,473			—			15,473
Stockholders’ investment:
Common stock	377			4,996			130,348			(135,344		)	377
Additional paid-in-capital	801,173			9,291			284,048			(293,339		)	801,173
Retained earnings	1,172,273			876,114			807,131			(1,683,245		)	1,172,273
Accumulated other comprehensive income (loss)	78,306			—			63,248			(431,373		)	(289,819		)
Treasury shares	(184,796		)	—			—			—			(184,796		)
Total Bristow Group stockholders’ investment	1,867,333			890,401			1,284,775			(2,543,301		)	1,499,208
Noncontrolling interests	1,411			—			9,273			—			10,684
Total stockholders’ investment	1,868,744			890,401			1,294,048			(2,543,301		)	1,509,892
Total liabilities, redeemable noncontrolling interest and stockholders’ investment	$	3,336,685		$	1,518,361		$	2,282,499		$	(3,874,600	)	$	3,262,945

Supplemental Condensed Consolidating Statement of Cash Flows

Fiscal Year Ended March 31, 2016

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations		Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(96,497	)	$	104,989		$	107,534		$	—	$	116,026
Cash flows from investing activities:
Capital expenditures	(31,223		)	(239,773		)	(101,379		)	—		(372,375		)
Proceeds from asset dispositions	—			50,780			9,255			—		60,035
Investment in unconsolidated affiliates	—			—			(4,410		)	—		(4,410		)
Net cash used in investing activities	(31,223		)	(188,993		)	(96,534		)	—		(316,750		)
Cash flows from financing activities:
Proceeds from borrowings	908,225			—			20,577			—		928,802
Payment of contingent consideration	—			—			(9,453		)	—		(9,453		)
Debt issuance costs	(5,139		)	—			—			—		(5,139		)
Repayment of debt and debt redemption premiums	(649,650		)	—			(27,353		)	—		(677,003		)
Partial prepayment of put/call obligation	(55		)	—			—			—		(55		)
Acquisition of noncontrolling interest	—			—			(7,309		)	—		(7,309		)
Dividends to noncontrolling interest	—			—			(153		)	—		(153		)
Dividends paid	(38,076		)	—			—			—		(38,076		)
Increases (decreases) in cash related to intercompany advances and debt	(52,470		)	86,513			(34,043		)	—		—
Net cash provided by (used in) financing activities	162,835			86,513			(57,734		)	—		191,614
Effect of exchange rate changes on cash and cash equivalents	—			—			9,274			—		9,274
Net increase (decrease) in cash and cash equivalents	35,115			2,509			(37,460		)	—		164
Cash and cash equivalents at beginning of period	126			884			103,136			—		104,146
Cash and cash equivalents at end of period	$	35,241		$	3,393		$	65,676		$	—	$	104,310

Supplemental Condensed Consolidating Statement of Operations

Fiscal Year Ended March 31, 2015

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Revenue:
Gross revenue	$	—		$	300,171		$	1,558,498		$	—		$	1,858,669
Intercompany revenue	767			91,476			—			(92,243		)	—
	767			391,647			1,558,498			(92,243		)	1,858,669
Operating expense:
Direct cost and reimbursable expense	—			212,216			1,087,341			—			1,299,557
Intercompany expenses	—			—			92,243			(92,243		)	—
Depreciation and amortization	1,834			46,098			66,361			—			114,293
General and administrative	76,453			39,898			137,807			—			254,158
	78,287			298,212			1,383,752			(92,243		)	1,668,008
Loss on impairment	—			—			(7,167		)	—			(7,167		)
Gain (loss) on disposal of assets	—			269			(36,118		)	—			(35,849		)
Earnings from unconsolidated affiliates, net of losses	44,731			—			(1,815		)	(44,687		)	(1,771		)
Operating income (loss)	(32,789		)	93,704			129,646			(44,687		)	145,874
Interest expense, net	112,336			(4,581		)	(137,109		)	—			(29,354		)
Other income (expense), net	(2,268		)	483			(3,262		)	—			(5,047		)
Income (loss) before (provision) benefit for income taxes	77,279			89,606			(10,725		)	(44,687		)	111,473
Allocation of consolidated income taxes	7,080			(1,319		)	(28,527		)	—			(22,766		)
Net income (loss)	84,359			88,287			(39,252		)	(44,687		)	88,707
Net income attributable to noncontrolling interests	(59		)	—			(4,348		)	—			(4,407		)
Net income (loss) attributable to Bristow Group	$	84,300		$	88,287		$	(43,600	)	$	(44,687	)	$	84,300

Supplemental Condensed Consolidating Statement of Comprehensive Income (Loss)

Fiscal Year Ended March 31, 2015

	Parent Company Only			Guarantor Subsidiaries		Non- Guarantor Subsidiaries			Eliminations			Consolidated
				(In thousands)
Net income (loss)	$	84,359		$	88,287	$	(39,252	)	$	(44,687	)	$	88,707
Other comprehensive income (loss):
Currency translation adjustments	(25,885		)	—		24,852			(70,584		)	(71,617		)
Pension liability adjustment	—			—		(36,978		)	—			(36,978		)
Total comprehensive income (loss)	58,474			88,287		(51,378		)	(115,271		)	(19,888		)
Net income attributable to noncontrolling interests	(59		)	—		(4,348		)	—			(4,407		)
Currency translation adjustments attributable to noncontrolling interests	—			—		(5,228		)	—			(5,228		)
Total comprehensive income attributable to noncontrolling interests	(59		)	—		(9,576		)	—			(9,635		)
Total comprehensive income (loss) attributable to Bristow Group	$	58,415		$	88,287	$	(60,954	)	$	(115,271	)	$	(29,523	)

Supplemental Condensed Consolidating Statement of Cash Flows

Fiscal Year Ended March 31, 2015

	Parent Company Only			Guarantor Subsidiaries			Non- Guarantor Subsidiaries			Eliminations			Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	(99,130	)	$	245,451		$	106,459		$	446		$	253,226
Cash flows from investing activities:
Capital expenditures	(46,217		)	(286,879		)	(268,738		)	—			(601,834		)
Acquisitions, net of cash received	—			—			(20,303		)	—			(20,303		)
Proceeds from sale of unconsolidated affiliate	—			—			4,185			—			4,185
Proceeds from asset dispositions	—			211,423			203,436			—			414,859
Net cash used in investing activities	(46,217		)	(75,456		)	(81,420		)	—			(203,093		)
Cash flows from financing activities:
Proceeds from borrowings	453,000			—			1,393			—			454,393
Repayment of debt and debt redemption premiums	(448,799		)	—			(11,475		)	—			(460,274		)
Partial prepayment of put/call obligation	(59		)	—			—			—			(59		)
Acquisition of noncontrolling interest	—			—			(3,170		)	—			(3,170		)
Repurchase of Common Stock	(80,831		)	—			—			—			(80,831		)
Dividends paid	(45,078		)	—			—			—			(45,078		)
Increases (decreases) in cash related to intercompany advances and debt	255,878			(169,111		)	(86,767		)	—			—
Issuance of Common Stock	5,172			—			—			—			5,172
Tax benefit related to stock-based compensation	1,550			—			—			—			1,550
Net cash provided by (used in) financing activities	140,833			(169,111		)	(100,019		)	—			(128,297		)
Effect of exchange rate changes on cash and cash equivalents	—			—			(22,031		)	—			(22,031		)
Net increase (decrease) in cash and cash equivalents	(4,514		)	884			(97,011		)	446			(100,195		)
Cash and cash equivalents at beginning of period	4,640			—			200,147			(446		)	204,341
Cash and cash equivalents at end of period	$	126		$	884		$	103,136		$	—		$	104,146