England and
Wales |
98-1023315
|
(State or other
jurisdiction of incorporation) |
(IRS Employer
Identification No.) |
|
Written communications pursuant
to Rule 425 under the Securities Act (17 CFR 230.425) |
|
Soliciting material pursuant to
Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
|
Pre-commencement communications
pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
|
Pre-commencement communications
pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Exhibit Number |
Description |
23 |
Consent of Independent Registered Public
Accounting Firm. |
99 |
Update to the Annual Report on Form 10-K
for the year ended December 31, 2011 of Rowan Companies, Inc, as amended. |
101.INS |
XBRL Instance Document. |
101.SCH |
XBRL Taxonomy Extension Schema
Document. |
101.CAL |
XBRL Taxonomy Extension Calculation
Linkbase Document. |
101.DEF |
XBRL Taxonomy Extension Definition Linkbase
Document. |
101.LAB |
XBRL Taxonomy Extension Label Linkbase
Document. |
101.PRE |
XBRL Taxonomy Extension Presentation
Linkbase Document. |
Exhibit Number |
Description |
23 |
Consent of Independent Registered Public
Accounting Firm. |
99 |
Update to the Annual Report on Form 10-K
for the year ended December 31, 2011 of Rowan Companies, Inc, as amended. |
101.INS |
XBRL Instance Document. |
101.SCH |
XBRL Taxonomy Extension Schema
Document. |
101.CAL |
XBRL Taxonomy Extension Calculation
Linkbase Document. |
101.DEF |
XBRL Taxonomy Extension Definition Linkbase
Document. |
101.LAB |
XBRL Taxonomy Extension Label Linkbase
Document. |
101.PRE |
XBRL Taxonomy Extension Presentation
Linkbase Document. |
/s/ W. MATT
RALLS
|
/s/ W. H.
WELLS
|
W. Matt
Ralls |
W. H.
Wells |
President
and Chief Executive Officer |
Senior Vice
President, Chief Financial Officer and Treasurer |
February 27,
2012 |
February 27,
2012 |
December 31, |
||||||||
2011 |
2010 |
|||||||
(In thousands,
except share amounts) |
||||||||
ASSETS
|
||||||||
CURRENT
ASSETS: |
||||||||
Cash and
cash equivalents |
$ | 438,853 | $ | 437,479 | ||||
Restricted cash |
- | 15,265 | ||||||
Receivables - trade and other |
283,592 | 269,896 | ||||||
Prepaid
expenses and other current assets |
44,586 | 31,646 | ||||||
Deferred
income taxes - net |
27,023 | 13,043 | ||||||
Assets of discontinued operations |
27,661 | 1,007,924 | ||||||
Total current assets |
821,715 | 1,775,253 | ||||||
PROPERTY,
PLANT AND EQUIPMENT: |
||||||||
Drilling
equipment |
6,179,587 | 3,799,902 | ||||||
Construction in progress |
711,558 | 1,584,802 | ||||||
Other property and equipment |
138,177 | 145,698 | ||||||
Property, plant and equipment - gross
|
7,029,322 | 5,530,402 | ||||||
Less accumulated depreciation and amortization |
1,350,609 | 1,185,880 | ||||||
Property, plant and equipment - net |
5,678,713 | 4,344,522 | ||||||
Other assets |
97,417 | 97,682 | ||||||
TOTAL ASSETS |
$ | 6,597,845 | $ | 6,217,457 | ||||
LIABILITIES AND
STOCKHOLDERS' EQUITY |
||||||||
CURRENT
LIABILITIES: |
||||||||
Current
maturities of long-term debt |
$ | 45,023 | $ | 52,166 | ||||
Accounts
payable - trade |
111,082 | 81,715 | ||||||
Deferred
revenues |
36,220 | 7,748 | ||||||
Accrued
liabilities |
131,041 | 124,539 | ||||||
Liabilities of discontinued operations |
25,005 | 378,797 | ||||||
Total current liabilities |
348,371 | 644,965 | ||||||
Long-term
debt - less current maturities |
1,089,335 | 1,133,745 | ||||||
Other
liabilities |
357,709 | 251,145 | ||||||
Deferred
income taxes - net |
476,443 | 435,292 | ||||||
Commitments and contingent liabilities (Note
7) |
- | - | ||||||
STOCKHOLDERS' EQUITY: |
||||||||
Preferred
stock, $1.00 par value, 5,000,000 shares authorized, issuable in series: |
||||||||
Series
A Junior Preferred Stock, 1,500,000 shares authorized, none issued |
- | - | ||||||
Common
stock, $0.125 par value, 150,000,000 shares authorized, 127,577,530 shares and 126,346,627 shares issued at December 31, 2011 and 2010, respectively |
15,947 | 15,794 | ||||||
Additional paid-in capital |
1,478,233 | 1,433,999 | ||||||
Retained
earnings |
3,186,362 | 2,449,521 | ||||||
Cost of
3,996,465 and 52,408 treasury shares at December 31, 2011 and 2010, respectively |
(128,884 | ) | (1,509 | ) | ||||
Accumulated other comprehensive loss |
(225,671 | ) | (145,495 | ) | ||||
Total stockholders' equity |
4,325,987 | 3,752,310 | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY |
$ | 6,597,845 | $ | 6,217,457 |
Years ended December 31, |
||||||||||||
2011 |
2010 |
2009 |
||||||||||
(In thousands,
except per share amounts) |
||||||||||||
REVENUES |
$ | 939,229 | $ | 1,017,705 | $ | 1,043,003 | ||||||
COSTS AND
EXPENSES: |
||||||||||||
Direct
operating costs (excluding items below) |
508,066 | 416,832 | 404,313 | |||||||||
Depreciation and amortization |
183,903 | 138,301 | 123,940 | |||||||||
Selling,
general and administrative |
88,278 | 78,658 | 65,953 | |||||||||
Loss
(gain) on disposals of property and equipment |
(1,577 | ) | 402 | (5,543 | ) | |||||||
Material charges and other operating expenses |
10,976 | 5,250 | - | |||||||||
Total costs and expenses |
789,646 | 639,443 | 588,663 | |||||||||
INCOME
FROM OPERATIONS |
149,583 | 378,262 | 454,340 | |||||||||
OTHER
INCOME (EXPENSE): |
||||||||||||
Interest
expense, net of interest capitalized |
(20,071 | ) | (24,879 | ) | (8,028 | ) | ||||||
Interest
income |
730 | 1,289 | 1,194 | |||||||||
Gain on
debt extinguishment |
- | 5,324 | - | |||||||||
Other - net |
(162 | ) | (461 | ) | 12 | |||||||
Total other income (expense) - net |
(19,503 | ) | (18,727 | ) | (6,822 | ) | ||||||
INCOME
FROM CONTINUING OPERATIONS |
||||||||||||
BEFORE
INCOME TAXES |
130,080 | 359,535 | 447,518 | |||||||||
(Benefit) provision for income taxes |
(5,659 | ) | 91,934 | 119,186 | ||||||||
NET
INCOME FROM CONTINUING OPERATIONS |
135,739 | 267,601 | 328,332 | |||||||||
DISCONTINUED OPERATIONS: |
||||||||||||
Income
from discontinued operations, net of tax |
3,107 | 12,394 | 39,172 | |||||||||
Gain on sale of discontinued operations, net of tax |
597,995 | - | - | |||||||||
Discontinued operations, net of tax |
601,102 | 12,394 | 39,172 | |||||||||
NET INCOME |
$ | 736,841 | $ | 279,995 | $ | 367,504 | ||||||
INCOME
PER SHARE - BASIC: |
||||||||||||
Income from continuing operations |
$ | 1.09 | $ | 2.29 | $ | 2.89 | ||||||
Discontinued operations |
$ | 4.80 | $ | 0.10 | $ | 0.35 | ||||||
Net income |
$ | 5.89 | $ | 2.39 | $ | 3.24 | ||||||
INCOME
PER SHARE - DILUTED: |
||||||||||||
Income from continuing operations |
$ | 1.07 | $ | 2.25 | $ | 2.89 | ||||||
Discontinued operations |
$ | 4.76 | $ | 0.11 | $ | 0.35 | ||||||
Net income |
$ | 5.83 | $ | 2.36 | $ | 3.24 |
Years ended December 31, |
||||||||||||
2011 |
2010 |
2009 |
||||||||||
(In
thousands) |
||||||||||||
NET
INCOME |
$ | 736,841 | $ | 279,995 | $ | 367,504 | ||||||
Other
comprehensive income (loss): |
||||||||||||
Pension and other postretirement benefit adjustments, net of income tax expense (benefit) of ($43,172), $2,599 and $35,912, respectively |
(80,176 | ) | 4,826 | 66,695 | ||||||||
COMPREHENSIVE INCOME |
$ | 656,665 | $ | 284,821 | $ | 434,199 |
Shares of common stock outstanding |
Common stock |
Additional paid-in capital |
Retained earnings |
Treasury stock |
Accumulated other comprehensive income (loss) |
Total stockholders' equity |
||||||||||||||||||||||
(In
thousands) |
||||||||||||||||||||||||||||
Balance,
December 31, 2008 |
113,036 | $ | 14,141 | $ | 1,063,202 | $ | 1,802,022 | $ | (2,533 | ) | $ | (217,016 | ) | $ | 2,659,816 | |||||||||||||
Stock
issued under share-based compensation plans |
797 | 96 | 336 | - | 1,124 | - | 1,556 | |||||||||||||||||||||
Stock-based compensation |
- | - | 12,127 | - | - | - | 12,127 | |||||||||||||||||||||
Excess
tax benefit from stock-based compensation plans |
- | - | 2,672 | - | - | - | 2,672 | |||||||||||||||||||||
Retirement benefit adjustments, net of taxes of
$35,912 |
- | - | - | - | - | 66,695 | 66,695 | |||||||||||||||||||||
Net income |
- | - | - | 367,504 | - | - | 367,504 | |||||||||||||||||||||
Balance,
December 31, 2009 |
113,833 | 14,237 | 1,078,337 | 2,169,526 | (1,409 | ) | (150,321 | ) | 3,110,370 | |||||||||||||||||||
Stock
issued to acquire SKDP |
11,725 | 1,466 | 336,441 | - | - | - | 337,907 | |||||||||||||||||||||
Stock
issued under share-based compensation plans |
736 | 91 | 4,343 | - | (100 | ) | - | 4,334 | ||||||||||||||||||||
Stock-based compensation |
- | - | 14,466 | - | - | - | 14,466 | |||||||||||||||||||||
Excess
tax benefit from stock-based compensation plans |
- | - | 412 | - | - | - | 412 | |||||||||||||||||||||
Retirement benefit adjustments, net of taxes of
$2,599 |
- | - | - | - | - | 4,826 | 4,826 | |||||||||||||||||||||
Net income |
- | - | - | 279,995 | - | - | 279,995 | |||||||||||||||||||||
Balance,
December 31, 2010 |
126,294 | 15,794 | 1,433,999 | 2,449,521 | (1,509 | ) | (145,495 | ) | 3,752,310 | |||||||||||||||||||
Stock
issued under share-based compensation plans |
1,206 | 153 | 14,907 | - | (2,362 | ) | - | 12,698 | ||||||||||||||||||||
Shares
reacquired |
(3,919 | ) | - | - | - | (125,013 | ) | - | (125,013 | ) | ||||||||||||||||||
Stock-based compensation |
- | - | 24,199 | - | - | - | 24,199 | |||||||||||||||||||||
Excess
tax benefit from stock-based compensation plans |
- | - | 5,128 | - | - | - | 5,128 | |||||||||||||||||||||
Retirement benefit adjustments, net of taxes of
($43,172) |
- | - | - | - | - | (80,176 | ) | (80,176 | ) | |||||||||||||||||||
Net income |
- | - | - | 736,841 | - | - | 736,841 | |||||||||||||||||||||
Balance, December 31, 2011 |
123,581 | $ | 15,947 | $ | 1,478,233 | $ | 3,186,362 | $ | (128,884 | ) | $ | (225,671 | ) | $ | 4,325,987 |
Years ended December 31, |
||||||||||||
2011 |
2010 |
2009 |
||||||||||
(In
thousands) |
||||||||||||
CASH PROVIDED BY
OPERATIONS: |
||||||||||||
Net
income |
$ | 736,841 | $ | 279,995 | $ | 367,504 | ||||||
Adjustments to reconcile net income to net cash
provided by operations: |
||||||||||||
Depreciation and amortization |
204,872 | 186,563 | 171,445 | |||||||||
Provision for pension and postretirement
benefits |
20,115 | 33,960 | 39,664 | |||||||||
Stock-based compensation expense |
22,088 | 15,578 | 13,034 | |||||||||
Postretirement benefit claims paid |
(2,926 | ) | (3,588 | ) | (3,495 | ) | ||||||
Loss
(gain) on disposals of property, plant and equipment |
(4,100 | ) | 788 | (5,748 | ) | |||||||
Deferred income taxes |
(21,492 | ) | 45,164 | 15,771 | ||||||||
Contributions to pension plans |
(53,394 | ) | (57,266 | ) | (36,248 | ) | ||||||
Gain on
sale of land drilling operations |
(212,891 | ) | - | - | ||||||||
Gain on
sale of manufacturing operations |
(670,614 | ) | - | - | ||||||||
Material charges |
8,000 | 42,024 | - | |||||||||
Estimated net benefits from income tax
claims |
- | - | (25,392 | ) | ||||||||
Changes
in current assets and liabilities: |
||||||||||||
Receivables - trade and other |
22,825 | (34,268 | ) | 147,340 | ||||||||
Inventories |
(104,468 | ) | 65,177 | 92,357 | ||||||||
Prepaid
expenses and other current assets |
303 | 9,208 | (17,278 | ) | ||||||||
Accounts payable |
44,784 | (34,799 | ) | (134,648 | ) | |||||||
Accrued
income taxes |
(6,097 | ) | (30,555 | ) | (17,327 | ) | ||||||
Deferred revenues |
41,428 | 14,048 | (34,688 | ) | ||||||||
Billings in excess of costs and estimated profits on
uncompleted contracts |
29,493 | (17,311 | ) | (31,893 | ) | |||||||
Other
current liabilities |
10,263 | 6,381 | 3,209 | |||||||||
Net changes in other noncurrent assets and liabilities |
29,649 | (12,937 | ) | 487 | ||||||||
Net cash provided by operations |
94,679 | 508,162 | 544,094 | |||||||||
CASH
PROVIDED BY (USED IN) INVESTING ACTIVITIES: |
||||||||||||
Capital
expenditures |
(1,517,674 | ) | (490,560 | ) | (566,383 | ) | ||||||
Proceeds
from disposals of property, plant and equipment |
5,734 | 3,267 | 8,592 | |||||||||
(Increase) decrease in restricted cash
|
15,265 | (15,265 | ) | - | ||||||||
Proceeds
from sale of manufacturing operations, net |
1,041,861 | - | - | |||||||||
Proceeds
from sale of land drilling operations, net |
513,619 | - | - | |||||||||
Net cash used in acquisition of SKDP |
- | (17,681 | ) | - | ||||||||
Net cash provided by (used in) investing activities |
58,805 | (520,239 | ) | (557,791 | ) | |||||||
CASH
PROVIDED BY (USED IN) FINANCING ACTIVITIES: |
||||||||||||
Repayments of borrowings |
(52,166 | ) | (594,013 | ) | (64,922 | ) | ||||||
Proceeds
from borrowings, net of issue costs |
- | 395,517 | 491,729 | |||||||||
Proceeds
from stock option and convertible debenture plans |
19,941 | 7,959 | 1,471 | |||||||||
Excess
tax benefits from stock-based compensation |
5,128 | 412 | 2,672 | |||||||||
Payments to acquire treasury stock |
(125,013 | ) | - | - | ||||||||
Net cash provided by (used in) financing activities |
(152,110 | ) | (190,125 | ) | 430,950 | |||||||
INCREASE
(DECREASE) IN CASH AND CASH EQUIVALENTS |
1,374 | (202,202 | ) | 417,253 | ||||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD |
437,479 | 639,681 | 222,428 | |||||||||
CASH AND CASH EQUIVALENTS, END OF PERIOD |
$ | 438,853 | $ | 437,479 | $ | 639,681 |
|
Life (in years) |
Salvage Value |
Jack-up drilling rigs: |
||
Hulls |
35 |
20% |
Legs |
30 |
20% |
Quarters |
25 |
20% |
Drilling equipment |
10 to
25 |
20% |
Drill
pipe and tubular equipment |
4 |
10% |
Other
property and equipment |
3 to
30 |
various |
2011 |
2010 |
2009 |
||||||||||
Average
common shares outstanding |
125,044 | 117,021 | 113,515 | |||||||||
Add
dilutive securities: |
||||||||||||
Nonvested restricted stock and units
|
765 | 1,270 | - | |||||||||
Employee
and director stock options |
298 | 417 | 69 | |||||||||
Stock appreciation rights and other |
286 | 110 | - | |||||||||
Average shares for diluted computations |
126,393 | 118,818 | 113,584 |
2011 |
2010 |
2009 |
||||||||||
Employee
and director stock options |
42 | 153 | 1,481 | |||||||||
Stock appreciation rights and other |
266 | - | 85 | |||||||||
Total potentially dilutive shares |
308 | 153 | 1,566 |
2011 |
2010 |
2009 |
||||||||||
Net
(loss) gain arising during the period |
$ | (79,888 | ) | $ | (3,779 | ) | $ | 14,225 | ||||
Prior
service (cost) credit arising during the period |
- | - | 43,703 | |||||||||
Amortization of (gain) loss |
14,135 | 12,648 | 10,721 | |||||||||
Amortization of transition obligation
|
552 | 430 | 431 | |||||||||
Amortization of prior service cost (credit) |
(14,975 | ) | (4,473 | ) | (2,385 | ) | ||||||
Total other comprehensive income (loss), net of tax |
$ | (80,176 | ) | $ | 4,826 | $ | 66,695 |
2011 |
||||||||||||
Manufacturing |
Drilling |
Total |
||||||||||
Revenues |
$ | 224,488 | $ | 126,957 | $ | 351,445 | ||||||
Pretax
income (loss) |
$ | (8,583 | ) | $ | 16,623 | $ | 8,040 | |||||
Provision (benefit) for taxes on income |
1,507 | 3,426 | 4,933 | |||||||||
Income
(loss) from discontinued operations, net of tax |
(10,090 | ) | 13,197 | 3,107 | ||||||||
Pretax
gain on sale of discontinued operations |
670,614 | 212,891 | 883,505 | |||||||||
Provision for tax on gain on sale |
226,965 | 58,545 | 285,510 | |||||||||
Gain on sale of discontinued operations, net of tax |
443,649 | 154,346 | 597,995 | |||||||||
Discontinued operations, net of tax |
$ | 433,559 | $ | 167,543 | $ | 601,102 | ||||||
2010 |
||||||||||||
Manufacturing |
Drilling |
Total |
||||||||||
Revenues |
$ | 610,441 | $ | 191,061 | $ | 801,502 | ||||||
Pretax
income (loss) |
$ | (1,276 | ) | $ | 20,758 | $ | 19,482 | |||||
Provision (benefit) for taxes on income |
(569 | ) | 7,657 | 7,088 | ||||||||
Discontinued operations, net of tax |
$ | (707 | ) | $ | 13,101 | $ | 12,394 | |||||
2009 |
||||||||||||
Manufacturing |
Drilling |
Total |
||||||||||
Revenues |
$ | 555,284 | $ | 171,893 | $ | 727,177 | ||||||
Pretax
income (loss) |
$ | 35,790 | $ | 17,783 | $ | 53,573 | ||||||
Provision (benefit) for taxes on income |
8,303 | 6,098 | 14,401 | |||||||||
Discontinued operations, net of tax |
$ | 27,487 | $ | 11,685 | $ | 39,172 |
2011 |
2010 |
|||||||||||||||||||||||
Manufacturing |
Drilling |
Total |
Manufacturing |
Drilling |
Total |
|||||||||||||||||||
Cash and
cash equivalents |
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||
Receivables - trade and other |
- | 4,000 | 4,000 | 106,705 | 41,280 | 147,985 | ||||||||||||||||||
Inventories - raw materials and supplies
|
- | - | - | 277,527 | - | 277,527 | ||||||||||||||||||
Inventories - work-in-progress |
- | - | - | 70,114 | - | 70,114 | ||||||||||||||||||
Inventories - finished goods |
- | - | - | 212 | - | 212 | ||||||||||||||||||
Prepaid
expenses and other current assets |
- | - | - | 37,368 | 332 | 37,700 | ||||||||||||||||||
Property
and equipment, net |
- | - | - | 137,624 | 311,291 | 448,915 | ||||||||||||||||||
Net
deferred tax assets |
- | - | - | 23,687 | 215 | 23,902 | ||||||||||||||||||
Other assets |
23,661 | - | 23,661 | 1,569 | - | 1,569 | ||||||||||||||||||
Assets of discontinued operations |
$ | 23,661 | $ | 4,000 | $ | 27,661 | $ | 654,806 | $ | 353,118 | $ | 1,007,924 | ||||||||||||
Accounts
payable - trade |
$ | - | $ | - | $ | - | $ | 29,274 | $ | 5,876 | $ | 35,150 | ||||||||||||
Deferred
revenues |
20,122 | - | 20,122 | 143,950 | 1,748 | 145,698 | ||||||||||||||||||
Billings
in excess of costs and estimated |
||||||||||||||||||||||||
profits
on uncompleted contracts |
- | - | - | 7,915 | - | 7,915 | ||||||||||||||||||
Accrued
compensation and related costs |
- | - | - | 20,217 | 2,738 | 22,955 | ||||||||||||||||||
Net
deferred tax liabilities |
- | - | - | 19,778 | 95,957 | 115,735 | ||||||||||||||||||
Other current liabilities |
1,183 | 3,700 | 4,883 | 47,737 | 3,607 | 51,344 | ||||||||||||||||||
Liabilities of discontinued operations |
$ | 21,305 | $ | 3,700 | $ | 25,005 | $ | 268,871 | $ | 109,926 | $ | 378,797 |
2011 |
2010 |
|||||||
Pension
and other postretirement benefits |
$ | 55,244 | $ | 57,245 | ||||
Compensation and related employee costs
|
31,205 | 20,681 | ||||||
Interest |
25,477 | 25,962 | ||||||
Income
taxes |
9,878 | 10,847 | ||||||
Taxes and other |
9,237 | 9,804 | ||||||
Total accrued liabilities |
$ | 131,041 | $ | 124,539 |
2011 |
2010 |
|||||||
5.88% Title XI note payable, due March 2012, secured by the Gorilla VI |
$ | 7,109 | $ | 21,361 | ||||
2.80% Title XI note payable, due October 2013, secured by the Gorilla VII |
30,898 | 46,348 | ||||||
5.0%
Senior Notes, due September 2017, net of discount (5.1% effective rate) |
398,394 | 398,111 | ||||||
4.33% Title XI note payable, due May 2019, secured by the Scooter Yeargain |
45,598 | 51,678 | ||||||
7.875%
Senior Notes, due August 2019, net of discount (8.0% effective rate) |
497,511 | 497,181 | ||||||
3.525% Title XI note payable, due May 2020, secured by the Bob Keller |
50,801 | 56,779 | ||||||
3.158% Title XI note payable, due July 2021, secured by the Bob Palmer |
104,047 | 114,453 | ||||||
Total long-term
debt |
1,134,358 | 1,185,911 | ||||||
Less: Current maturities |
(45,023 | ) | (52,166 | ) | ||||
Long-term debt, excluding current maturities |
$ | 1,089,335 | $ | 1,133,745 |
Carrying value |
Fair value |
|||||||
5% and
7.875% Senior Notes |
$ | 895,905 | $ | 1,008,514 | ||||
Government-guaranteed Title XI Notes |
238,453 | 257,185 | ||||||
$ | 1,134,358 | $ | 1,265,699 |
2012 |
$ | 3,054 | ||
2013 |
2,442 | |||
2014 |
2,349 | |||
2015 |
1,912 | |||
2016 |
1,919 | |||
Later years |
8,023 | |||
$ | 19,699 |
Expected or actual delivery date |
Total estimated project costs |
Total costs incurred through Dec. 31, 2011 |
Projected costs in 2012 |
Projected costs in 2013 |
Projected costs in 2014 |
Total future costs |
|||||||||||||||||||
Rowan Renaissance |
Dec-13
|
$ | 749 | $ | 173 | $ | 46 | $ | 510 | $ | 20 | $ | 576 | ||||||||||||
Rowan Resolute |
Jun-14
|
744 | 171 | 28 | 148 | 397 | 573 | ||||||||||||||||||
Rowan Reliance |
Dec-14 |
729 | 112 | 68 | 63 | 486 | 617 | ||||||||||||||||||
$ | 2,222 | $ | 456 | $ | 142 | $ | 721 | $ | 903 | $ | 1,766 |
2011 |
2010 |
2009 |
||||||||||
Restricted stock and units |
$ | 15,912 | $ | 13,379 | $ | 10,334 | ||||||
Stock
appreciation rights |
5,813 | 2,678 | 855 | |||||||||
Stock
options |
239 | 239 | 378 | |||||||||
Performance-based awards |
124 | (718 | ) | 1,467 | ||||||||
Total
compensation cost |
22,088 | 15,578 | 13,034 | |||||||||
Less: Discontinued operations |
(1,003 | ) | (1,310 | ) | (1,181 | ) | ||||||
Continuing operations |
$ | 21,085 | $ | 14,268 | $ | 11,853 |
Shares |
Weighted-average grant-date fair value per share |
|||||||
Nonvested
at January 1, 2011 |
991,629 | $ | 24.01 | |||||
Granted |
474,818 | 40.97 | ||||||
Vested |
(564,440 | ) | 26.30 | |||||
Forfeited |
(23,518 | ) | 32.17 | |||||
Nonvested at December 31, 2011 |
878,489 | $ | 31.49 |
Units |
Weighted-average grant-date fair value per share |
|||||||
Outstanding at January 1, 2011 |
170,406 | $ | 33.17 | |||||
Granted |
37,565 | 41.00 | ||||||
Outstanding at December 31, 2011 |
207,971 | $ | 34.59 | |||||
Vested at December 31, 2011 |
170,406 | $ | 33.17 |
Number of shares issuable at target |
Weighted-average grant-date fair value per share |
|||||||
Unearned
awards outstanding at January 1, 2011 |
85,015 | $ | 43.96 | |||||
Vested |
(53,984 | ) | 43.96 | |||||
Lapsed, unearned |
(31,031 | ) | 43.96 | |||||
Unearned awards outstanding at December 31, 2011 |
- | $ | - |
2011 |
2010 |
2009 |
||||||||||
Expected
life in years |
5.7 | 6.0 | 6.0 | |||||||||
Risk-free
interest rate |
2.269 | % | 2.725 | % | 2.375 | % | ||||||
Expected
volatility |
49.16 | % | 50.16 | % | 52.86 | % | ||||||
Weighted-average grant-date per-share fair
value |
$ | 19.76 | $ | 14.00 | $ | 9.03 |
Number of shares under option |
Weighted-average exercise price |
Weighted-average remaining contractual term (in years) |
Aggregate intrinsic value (in thousands) |
|||||||||||||
Outstanding at January 1, 2011 |
1,471,899 | $ | 23.23 | |||||||||||||
Exercised |
(879,083 | ) | 22.68 | |||||||||||||
Forfeited or expired |
(33,611 | ) | 37.06 | |||||||||||||
Outstanding at December 31, 2011 |
559,205 | $ | 23.26 | 3.2 | $ | 4,876 | ||||||||||
Exercisable at December 31, 2011 |
559,205 | $ | 23.26 | 3.2 | $ | 4,876 |
Number of shares under SARs |
Weighted-average exercise price |
Weighted-average remaining contractual term (in years) |
Aggregate intrinsic value (in thousands) |
|||||||||||||
Outstanding at
January 1, 2011 |
828,185 | $ | 21.43 | |||||||||||||
Granted
|
363,810 | 41.00 | ||||||||||||||
Forfeited |
(3,560 | ) | 17.22 | |||||||||||||
Outstanding at December 31, 2011 |
1,188,435 | $ | 27.43 | 7.2 | $ | 7,893 | ||||||||||
Exercisable at December 31, 2011 |
455,648 | $ | 20.22 | 6.7 | $ | 4,978 |
2011 |
2010 |
|||||||||||||||||||||||
Pension benefits |
Other benefits |
Total |
Pension benefits |
Other benefits |
Total |
|||||||||||||||||||
Benefit
obligations: |
||||||||||||||||||||||||
Balance,
January 1 |
$ | 581,329 | $ | 82,527 | $ | 663,856 | $ | 532,328 | $ | 81,186 | $ | 613,514 | ||||||||||||
Interest
cost |
31,359 | 4,122 | 35,481 | 30,713 | 4,284 | 34,997 | ||||||||||||||||||
Service
cost |
11,882 | 2,011 | 13,893 | 14,411 | 1,955 | 16,366 | ||||||||||||||||||
Actuarial
(gain) loss |
86,200 | 6,757 | 92,957 | 31,417 | (1,310 | ) | 30,107 | |||||||||||||||||
Special
termination benefits |
104 | 396 | 500 | - | - | - | ||||||||||||||||||
Plan
curtailments |
4,690 | (5,773 | ) | (1,083 | ) | (5,398 | ) | - | (5,398 | ) | ||||||||||||||
Benefits paid |
(25,213 | ) | (2,981 | ) | (28,194 | ) | (22,142 | ) | (3,588 | ) | (25,730 | ) | ||||||||||||
Balance,
December 31 |
690,351 | 87,059 | 777,410 | 581,329 | 82,527 | 663,856 | ||||||||||||||||||
Plan
assets: |
||||||||||||||||||||||||
Fair
value, January 1 |
421,940 | - | 421,940 | 337,282 | - | 337,282 | ||||||||||||||||||
Actual
return |
(1,715 | ) | - | (1,715 | ) | 49,535 | - | 49,535 | ||||||||||||||||
Employer
contributions |
53,394 | - | 53,394 | 57,265 | - | 57,265 | ||||||||||||||||||
Benefits paid |
(25,213 | ) | - | (25,213 | ) | (22,142 | ) | - | (22,142 | ) | ||||||||||||||
Fair value, December 31 |
448,406 | - | 448,406 | 421,940 | - | 421,940 | ||||||||||||||||||
Net benefit liabilities |
$ | (241,945 | ) | $ | (87,059 | ) | $ | (329,004 | ) | $ | (159,389 | ) | $ | (82,527 | ) | $ | (241,916 | ) | ||||||
Amounts
recognized in Consolidated Balance Sheet: |
||||||||||||||||||||||||
Accrued
liabilities |
$ | (50,554 | ) | $ | (4,690 | ) | $ | (55,244 | ) | $ | (52,735 | ) | $ | (4,510 | ) | $ | (57,245 | ) | ||||||
Other liabilities (long-term) |
(191,391 | ) | (82,369 | ) | (273,760 | ) | (106,654 | ) | (78,017 | ) | (184,671 | ) | ||||||||||||
Net benefit liabilities |
$ | (241,945 | ) | $ | (87,059 | ) | $ | (329,004 | ) | $ | (159,389 | ) | $ | (82,527 | ) | $ | (241,916 | ) | ||||||
Net
(expense) credit recognized in net benefit cost |
$ | 91,495 | $ | (73,312 | ) | $ | 18,183 | $ | 50,937 | $ | (69,015 | ) | $ | (18,078 | ) | |||||||||
Amounts
not yet reflected in net periodic benefit cost: |
||||||||||||||||||||||||
Actuarial
loss |
(370,098 | ) | (13,599 | ) | (383,697 | ) | (269,690 | ) | (12,847 | ) | (282,537 | ) | ||||||||||||
Transition obligation |
- | (474 | ) | (474 | ) | - | (1,324 | ) | (1,324 | ) | ||||||||||||||
Prior service credit |
36,658 | 326 | 36,984 | 59,364 | 659 | 60,023 | ||||||||||||||||||
Total accumulated other comprehensive loss |
(333,440 | ) | (13,747 | ) | (347,187 | ) | (210,326 | ) | (13,512 | ) | (223,838 | ) | ||||||||||||
Net benefit liabilities |
$ | (241,945 | ) | $ | (87,059 | ) | $ | (329,004 | ) | $ | (159,389 | ) | $ | (82,527 | ) | $ | (241,916 | ) | ||||||
Weighted-average assumptions: |
||||||||||||||||||||||||
Discount
rate |
4.56 | % | 4.46 | % | 5.45 | % | 5.26 | % | ||||||||||||||||
Rate of
compensation increase |
4.15 | % | 4.15 | % |
2011 |
2010 |
|||||||
Accumulated benefit obligation |
$ | 690,148 | $ | 581,141 |
Pension benefits |
Other retirement benefits |
Total |
||||||||||
Actuarial
loss |
$ | 24,947 | $ | 341 | $ | 25,288 | ||||||
Transition obligation |
- | 475 | 475 | |||||||||
Prior service cost (credit) |
(4,647 | ) | (147 | ) | (4,794 | ) | ||||||
Total amortization |
$ | 20,300 | $ | 669 | $ | 20,969 |
2011 |
2010 |
2009 |
||||||||||
Service
cost |
$ | 11,882 | $ | 14,411 | $ | 15,941 | ||||||
Interest
cost |
31,359 | 30,713 | 32,477 | |||||||||
Expected
return on plan assets |
(34,008 | ) | (30,640 | ) | (28,875 | ) | ||||||
Recognized actuarial loss |
21,515 | 19,393 | 16,277 | |||||||||
Amortization of prior service cost |
(6,001 | ) | (6,677 | ) | (3,465 | ) | ||||||
Curtailment (gain) loss recognized |
(12,014 | ) | - | - | ||||||||
Special termination benefit recognized |
104 | - | - | |||||||||
Net
periodic pension cost |
$ | 12,837 | $ | 27,200 | $ | 32,355 | ||||||
Less: Discontinued operations |
6,598 | (12,765 | ) | (16,139 | ) | |||||||
Continuing operations |
$ | 19,435 | $ | 14,435 | $ | 16,216 | ||||||
Discount
rate |
5.36 | % | 5.97 | % | 6.41 | % | ||||||
Expected
return on plan assets |
8.00 | % | 8.00 | % | 8.00 | % | ||||||
Rate of
compensation increase |
4.15 | % | 4.15 | % | 4.15 | % |
2011 |
2010 |
2009 |
||||||||||
Service
cost |
$ | 2,011 | $ | 1,955 | $ | 2,040 | ||||||
Interest
cost |
4,122 | 4,284 | 4,594 | |||||||||
Recognized actuarial loss |
233 | 64 | 216 | |||||||||
Amortization of transition obligation
|
600 | 662 | 662 | |||||||||
Amortization of prior service cost |
(185 | ) | (204 | ) | (204 | ) | ||||||
Special
termination benefit recognized |
396 | - | - | |||||||||
Curtailment loss recognized |
102 | - | - | |||||||||
Net
periodic cost of other postretirement benefits |
$ | 7,279 | $ | 6,761 | $ | 7,308 | ||||||
Less: Discontinued operations |
(1,618 | ) | (2,390 | ) | (2,570 | ) | ||||||
Continuing operations |
$ | 5,661 | $ | 4,371 | $ | 4,738 | ||||||
Discount
rate |
5.14 | % | 5.83 | % | 6.34 | % |
One-percentage-point change |
||||||||
Increase |
Decrease |
|||||||
Effect on
total service and interest cost components for the year |
$ | 538 | $ | (461 | ) | |||
Effect on
postretirement benefit obligation at year-end |
5,220 | (4,612 | ) |
Target allocation - % of Plan assets |
Target allocation - % of category |
Total |
Quoted prices in active markets for identical assets (Level 1) |
Significant observable inputs (Level 2) |
Significant unobservable inputs (Level 3) |
|||||||||||||
December 31,
2011: |
||||||||||||||||||
Equity
securities: |
62.5% to 72.5%
|
|||||||||||||||||
S&P
500 Stock Index |
22.5% to
52.5% |
$ | 168,910 | $ | 168,910 | $ | - | $ | - | |||||||||
Small cap
growth |
0% to
10% |
22,462 | 22,462 | - | - | |||||||||||||
Small cap
value |
0% to
10% |
20,425 | 20,425 | - | - | |||||||||||||
International |
10% to
30% |
77,270 | - | 77,270 | - | |||||||||||||
Fixed
income: |
22.5% to
32.5% |
|||||||||||||||||
Cash and
equivalents |
0% to
10% |
11,442 | 1 | 11,441 | - | |||||||||||||
Aggregate
fixed income |
10% to
16% |
64,703 | - | 64,703 | - | |||||||||||||
Core plus
fixed income |
7.5% to
17.5% |
61,243 | 61,243 | - | - | |||||||||||||
Real estate |
0% to 10% |
21,951 | - | 21,951 | - | |||||||||||||
Total |
$ | 448,406 | $ | 273,041 | $ | 175,365 | $ | - | ||||||||||
December
31, 2010: |
||||||||||||||||||
Equity
securities: |
62.5% to
72.5% |
|||||||||||||||||
S&P
500 Stock Index |
14.5% to
24.5% |
$ | 83,993 | $ | 83,993 | $ | - | $ | - | |||||||||
Large cap
growth |
4% to
14% |
39,039 | - | 39,039 | - | |||||||||||||
Large cap
value |
4% to
14% |
38,565 | 38,565 | - | - | |||||||||||||
Small cap
growth |
0% to
10% |
23,158 | 23,158 | - | - | |||||||||||||
Small cap
value |
0% to
10% |
21,340 | 21,340 | - | - | |||||||||||||
International |
10% to
30% |
80,151 | - | 80,151 | - | |||||||||||||
Fixed
income: |
22.5% to
32.5% |
|||||||||||||||||
Cash and
equivalents |
0% to
10% |
9,627 | 1 | 9,626 | - | |||||||||||||
Aggregate
fixed income |
10% to
16% |
54,393 | - | 54,393 | - | |||||||||||||
Core plus
fixed income |
7.5% to
17.5% |
51,468 | 51,468 | - | - | |||||||||||||
Real estate |
0% to 10% |
20,206 | - | 20,206 | - | |||||||||||||
Total |
$ | 421,940 | $ | 218,525 | $ | 203,415 | $ | - |
Pension benefits |
Other postretirement benefits |
|||||||
Year ended December
31, |
||||||||
2012 |
$ | 50,820 | $ | 4,990 | ||||
2013 |
39,650 | 5,300 | ||||||
2014 |
32,950 | 5,610 | ||||||
2015 |
35,270 | 6,080 | ||||||
2016 |
36,480 | 6,570 | ||||||
2017
though 2021 |
203,190 | 32,330 |
2011 |
2010 |
2009 |
||||||||||
Current:
|
||||||||||||
Federal |
$ | (39,708 | ) | $ | 16,959 | $ | 86,235 | |||||
Foreign |
15,368 | 32,402 | 22,607 | |||||||||
State |
566 | (908 | ) | 779 | ||||||||
Total
current provision (benefit) |
(23,774 | ) | 48,453 | 109,621 | ||||||||
Deferred |
18,115 | 43,481 | 9,565 | |||||||||
Total provision (benefit) |
$ | (5,659 | ) | $ | 91,934 | $ | 119,186 |
2011 |
2010 |
2009 |
||||||||||
Statutory
rate |
35 | % | 35 | % | 35 | % | ||||||
Tax at
statutory rate |
$ | 45,528 | $ | 125,837 | $ | 156,631 | ||||||
Increase
(decrease) due to: |
||||||||||||
Foreign
companies' operations |
(59,349 | ) | (25,711 | ) | (7,335 | ) | ||||||
Extraterritorial income exclusion |
(522 | ) | - | (25,391 | ) | |||||||
State
tax expense |
81 | (590 | ) | 512 | ||||||||
Domestic
production activities |
- | (6,372 | ) | (2,790 | ) | |||||||
Other, net |
8,603 | (1,230 | ) | (2,441 | ) | |||||||
Total provision |
$ | (5,659 | ) | $ | 91,934 | $ | 119,186 |
2011 |
2010 |
|||||||||||||||
Current |
Noncurrent |
Current |
Noncurrent |
|||||||||||||
Deferred tax
assets: |
||||||||||||||||
Accrued
employee benefit plan costs |
$ | 26,519 | $ | 72,467 | $ | 16,788 | $ | 54,821 | ||||||||
U.S. net
operating loss |
- | 64,495 | - | 109,654 | ||||||||||||
U.K. net
operating loss |
- | 14,722 | - | 17,778 | ||||||||||||
Other |
4,874 | 10,861 | 3,473 | 12,403 | ||||||||||||
Total
deferred tax assets |
31,393 | 162,545 | 20,261 | 194,656 | ||||||||||||
Less: valuation allowance |
- | (14,722 | ) | - | (17,778 | ) | ||||||||||
Deferred tax assets, net of valuation allowance |
31,393 | 147,823 | 20,261 | 176,878 | ||||||||||||
Deferred
tax liabilities: |
||||||||||||||||
Property, plant and equipment |
- | 615,319 | - | 609,321 | ||||||||||||
Other |
4,370 | 8,947 | 7,218 | 2,849 | ||||||||||||
Total deferred tax liabilities |
4,370 | 624,266 | 7,218 | 612,170 | ||||||||||||
Net deferred tax asset (liability) |
$ | 27,023 | $ | (476,443 | ) | $ | 13,043 | $ | (435,292 | ) |
2011 |
2010 |
2009 |
||||||||||
Gross
unrecognized tax benefits - beginning of year |
$ | 51,000 | $ | 54,200 | $ | 6,500 | ||||||
Gross
increases - tax positions in prior period |
4,300 | - | 37,600 | |||||||||
Gross
decreases - tax positions in prior period |
- | (1,300 | ) | - | ||||||||
Gross
increases - current period tax positions |
- | - | 11,900 | |||||||||
Settlements |
- | - | - | |||||||||
Lapse of statute of limitations |
- | (1,900 | ) | (1,800 | ) | |||||||
Gross unrecognized tax benefit - end of year |
$ | 55,300 | $ | 51,000 | $ | 54,200 |
2011 |
2010 |
2009 |
||||||||||
United
States |
$ | 264,255 | $ | 287,579 | $ | 291,882 | ||||||
United
Kingdom |
230,638 | 99,111 | 146,827 | |||||||||
Saudi
Arabia |
204,086 | 207,131 | 280,187 | |||||||||
Norway |
73,829 | 80,717 | 25,783 | |||||||||
Qatar |
59,824 | 78,819 | 98,875 | |||||||||
Trinidad |
56,682 | - | - | |||||||||
Mexico |
27,977 | 45,633 | 14,101 | |||||||||
Vietnam |
9,901 | - | - | |||||||||
Malaysia |
6,776 | - | - | |||||||||
Egypt |
5,261 | 71,811 | 12,019 | |||||||||
Canada |
- | 78,361 | 57,337 | |||||||||
Angola |
- | 68,543 | 115,992 | |||||||||
Consolidated revenues |
$ | 939,229 | $ | 1,017,705 | $ | 1,043,003 |
2011 |
2010 |
2009 |
||||||||||
United
Kingdom |
$ | 1,562,942 | $ | 822,335 | $ | 387,546 | ||||||
United
States |
1,234,233 | 1,044,315 | 1,078,933 | |||||||||
Saudi
Arabia |
1,078,663 | 743,002 | 535,448 | |||||||||
Rigs
under construction |
711,558 | 937,609 | 528,669 | |||||||||
Norway |
501,447 | 202,773 | - | |||||||||
Trinidad |
258,749 | 204,432 | - | |||||||||
Vietnam |
198,205 | - | - | |||||||||
Qatar |
87,781 | 91,735 | 49,390 | |||||||||
Malaysia |
45,039 | - | - | |||||||||
Egypt |
- | 200,551 | 214,814 | |||||||||
Mexico |
- | 54,307 | 56,032 | |||||||||
Canada |
- | 43,463 | 40,423 | |||||||||
Angola |
- | - | 202,290 | |||||||||
Other |
96 | - | 46 | |||||||||
Consolidated long-lived assets |
$ | 5,678,713 | $ | 4,344,522 | $ | 3,093,591 |
2011 |
2010 |
2009 |
||||||||||
Accrued
but unpaid additions to property and equipment at December 31 |
$ | 66,764 | $ | 40,345 | $ | 23,340 | ||||||
Value of
common stock issued in exchange for SKDP shares |
- | 337,907 | - | |||||||||
Cash
interest payments in excess of (less than) interest capitalized |
14,802 | 23,596 | (7,568 | ) | ||||||||
Cash
income tax payments, net of refunds |
276,839 | 98,979 | 137,648 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Balance
Sheets |
||||||||||||||||||||
December 31, 2011 |
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
ASSETS |
||||||||||||||||||||
CURRENT ASSETS: |
||||||||||||||||||||
Cash and cash
equivalents |
$ | 21,472 | $ | 184,677 | $ | 232,704 | $ | - | $ | 438,853 | ||||||||||
Receivables - trade and
other |
- | 33,380 | 250,212 | - | 283,592 | |||||||||||||||
Prepaid expenses and other
current assets |
- | 46,137 | 25,472 | - | 71,609 | |||||||||||||||
Assets of discontinued operations |
- | 27,661 | - | - | 27,661 | |||||||||||||||
Total current
assets |
21,472 | 291,855 | 508,388 | - | 821,715 | |||||||||||||||
Property, plant and equipment
- gross |
- | 1,290,526 | 5,738,796 | - | 7,029,322 | |||||||||||||||
Less accumulated depreciation and amortization |
- | 441,949 | 908,660 | - | 1,350,609 | |||||||||||||||
Property, plant and
equipment - net |
- | 848,577 | 4,830,136 | - | 5,678,713 | |||||||||||||||
Investments in
subsidiaries |
- | 1,121,573 | - | (1,121,573 | ) | - | ||||||||||||||
Due from
affiliates |
- | 3,732,488 | 333,357 | (4,065,845 | ) | - | ||||||||||||||
Other assets |
- | 30,581 | 66,836 | - | 97,417 | |||||||||||||||
$ | 21,472 | $ | 6,025,074 | $ | 5,738,717 | $ | (5,187,418 | ) | $ | 6,597,845 | ||||||||||
LIABILITIES AND STOCKHOLDERS'
EQUITY |
||||||||||||||||||||
CURRENT
LIABILITIES: |
||||||||||||||||||||
Current maturities of
long-term debt |
$ | - | $ | 22,464 | $ | 22,559 | $ | - | $ | 45,023 | ||||||||||
Accounts payable -
trade |
730 | 43,091 | 67,261 | - | 111,082 | |||||||||||||||
Deferred revenues
|
- | - | 36,220 | - | 36,220 | |||||||||||||||
Accrued
liabilities |
- | 102,785 | 28,256 | - | 131,041 | |||||||||||||||
Liabilities of discontinued operations |
- | 25,005 | - | - | 25,005 | |||||||||||||||
Total current
liabilities |
730 | 193,345 | 154,296 | - | 348,371 | |||||||||||||||
Long-term debt - less current
maturities |
- | 1,073,887 | 15,448 | - | 1,089,335 | |||||||||||||||
Due to affiliates
|
1,151 | - | 4,064,694 | (4,065,845 | ) | - | ||||||||||||||
Other liabilities
|
- | 303,117 | 54,592 | - | 357,709 | |||||||||||||||
Deferred income taxes -
net |
- | 128,738 | 347,705 | - | 476,443 | |||||||||||||||
Shareholders' equity |
19,591 | 4,325,987 | 1,101,982 | (1,121,573 | ) | 4,325,987 | ||||||||||||||
$ | 21,472 | $ | 6,025,074 | $ | 5,738,717 | $ | (5,187,418 | ) | $ | 6,597,845 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Balance
Sheets |
||||||||||||||||||||
December 31, 2010 |
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
ASSETS |
||||||||||||||||||||
CURRENT ASSETS: |
||||||||||||||||||||
Cash and cash
equivalents |
$ | - | $ | 255,061 | $ | 182,418 | $ | - | $ | 437,479 | ||||||||||
Restricted cash
|
- | - | 15,265 | - | 15,265 | |||||||||||||||
Receivables - trade and
other |
- | 93,253 | 176,643 | - | 269,896 | |||||||||||||||
Prepaid expenses and other
current assets |
- | 41,342 | 3,347 | - | 44,689 | |||||||||||||||
Assets of discontinued operations |
- | - | 1,007,924 | - | 1,007,924 | |||||||||||||||
Total current
assets |
- | 389,656 | 1,385,597 | - | 1,775,253 | |||||||||||||||
Property, plant and equipment
- gross |
- | 1,422,533 | 4,107,869 | - | 5,530,402 | |||||||||||||||
Less accumulated depreciation and amortization |
- | 466,036 | 719,844 | - | 1,185,880 | |||||||||||||||
Property, plant and
equipment - net |
- | 956,497 | 3,388,025 | - | 4,344,522 | |||||||||||||||
Investments in
subsidiaries |
- | 3,598,680 | - | (3,598,680 | ) | - | ||||||||||||||
Due from
affiliates |
- | 436,877 | 168,452 | (605,329 | ) | - | ||||||||||||||
Other assets |
- | 31,798 | 65,884 | - | 97,682 | |||||||||||||||
$ | - | $ | 5,413,508 | $ | 5,007,958 | $ | (4,204,009 | ) | $ | 6,217,457 | ||||||||||
LIABILITIES AND STOCKHOLDERS'
EQUITY |
||||||||||||||||||||
CURRENT
LIABILITIES: |
||||||||||||||||||||
Current maturities of
long-term debt |
$ | - | $ | 22,464 | $ | 29,702 | $ | - | $ | 52,166 | ||||||||||
Accounts payable -
trade |
- | 26,275 | 55,440 | - | 81,715 | |||||||||||||||
Deferred revenues
|
- | - | 7,748 | - | 7,748 | |||||||||||||||
Accrued
liabilities |
- | 99,259 | 25,280 | - | 124,539 | |||||||||||||||
Liabilities of discontinued operations |
- | - | 378,797 | - | 378,797 | |||||||||||||||
Total current
liabilities |
- | 147,998 | 496,967 | - | 644,965 | |||||||||||||||
Long-term debt - less current
maturities |
- | 1,095,738 | 38,007 | - | 1,133,745 | |||||||||||||||
Due to affiliates
|
- | - | 605,329 | (605,329 | ) | - | ||||||||||||||
Other liabilities
|
- | 200,384 | 50,761 | - | 251,145 | |||||||||||||||
Deferred income taxes -
net |
- | 217,078 | 218,214 | - | 435,292 | |||||||||||||||
Shareholders' equity |
- | 3,752,310 | 3,598,680 | (3,598,680 | ) | 3,752,310 | ||||||||||||||
$ | - | $ | 5,413,508 | $ | 5,007,958 | $ | (4,204,009 | ) | $ | 6,217,457 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Income
Statements |
||||||||||||||||||||
Year ended December 31, 2011
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
REVENUES |
$ | - | $ | 128,561 | $ | 925,238 | $ | (114,570 | ) | $ | 939,229 | |||||||||
COSTS AND
EXPENSES: |
||||||||||||||||||||
Direct operating costs
(excluding items below) |
- | 76,869 | 545,767 | (114,570 | ) | 508,066 | ||||||||||||||
Depreciation and
amortization |
- | 58,874 | 125,029 | - | 183,903 | |||||||||||||||
Selling, general and
administrative |
2,161 | 22,598 | 63,519 | - | 88,278 | |||||||||||||||
Loss (gain) on disposals
of property and equipment |
- | (157 | ) | (1,420 | ) | - | (1,577 | ) | ||||||||||||
Material charges and other operating expenses |
- | 10,976 | - | - | 10,976 | |||||||||||||||
Total costs and expenses |
2,161 | 169,160 | 732,895 | (114,570 | ) | 789,646 | ||||||||||||||
INCOME FROM
OPERATIONS |
(2,161 | ) | (40,599 | ) | 192,343 | - | 149,583 | |||||||||||||
OTHER INCOME
(EXPENSE): |
||||||||||||||||||||
Interest expense, net of
interest capitalized |
- | (19,560 | ) | (3,162 | ) | 2,651 | (20,071 | ) | ||||||||||||
Interest income
|
1 | 3,110 | 270 | (2,651 | ) | 730 | ||||||||||||||
Other - net |
- | 640 | (802 | ) | - | (162 | ) | |||||||||||||
Total other income (expense) - net |
1 | (15,810 | ) | (3,694 | ) | - | (19,503 | ) | ||||||||||||
INCOME FROM CONTINUING
OPERATIONS |
||||||||||||||||||||
BEFORE INCOME
TAXES |
(2,160 | ) | (56,409 | ) | 188,649 | - | 130,080 | |||||||||||||
(Benefit) provision for income taxes |
- | (22,501 | ) | 16,842 | - | (5,659 | ) | |||||||||||||
NET INCOME FROM CONTINUING
OPERATIONS |
(2,160 | ) | (33,908 | ) | 171,807 | - | 135,739 | |||||||||||||
DISCONTINUED OPERATIONS, NET
OF TAX |
- | 585,926 | 15,176 | - | 601,102 | |||||||||||||||
EQUITY IN EARNINGS OF SUBSIDIARIES, NET OF TAX |
- | 184,823 | - | (184,823 | ) | - | ||||||||||||||
NET INCOME |
$ | (2,160 | ) | $ | 736,841 | $ | 186,983 | $ | (184,823 | ) | $ | 736,841 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Income
Statements |
||||||||||||||||||||
Year ended December 31, 2010
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
REVENUES |
$ | - | $ | 380,497 | $ | 875,826 | $ | (238,618 | ) | $ | 1,017,705 | |||||||||
COSTS AND
EXPENSES: |
||||||||||||||||||||
Direct operating costs
(excluding items below) |
- | 281,392 | 374,058 | (238,618 | ) | 416,832 | ||||||||||||||
Depreciation and
amortization |
- | 59,991 | 78,310 | - | 138,301 | |||||||||||||||
Selling, general and
administrative |
- | 59,889 | 18,769 | - | 78,658 | |||||||||||||||
Loss (gain) on disposals
of property and equipment |
- | (332 | ) | 734 | - | 402 | ||||||||||||||
Material charges and other operating expenses |
- | - | 5,250 | - | 5,250 | |||||||||||||||
Total costs and expenses |
- | 400,940 | 477,121 | (238,618 | ) | 639,443 | ||||||||||||||
INCOME FROM
OPERATIONS |
- | (20,443 | ) | 398,705 | - | 378,262 | ||||||||||||||
OTHER INCOME
(EXPENSE): |
||||||||||||||||||||
Interest expense, net of
interest capitalized |
- | (24,879 | ) | (22,256 | ) | 22,256 | (24,879 | ) | ||||||||||||
Interest income
|
- | 23,061 | 484 | (22,256 | ) | 1,289 | ||||||||||||||
Gain on debt
extinguishment |
- | - | 5,324 | - | 5,324 | |||||||||||||||
Other - net |
- | (331 | ) | (130 | ) | - | (461 | ) | ||||||||||||
Total other income (expense) - net |
- | (2,149 | ) | (16,578 | ) | - | (18,727 | ) | ||||||||||||
INCOME FROM CONTINUING
OPERATIONS |
||||||||||||||||||||
BEFORE INCOME
TAXES |
- | (22,592 | ) | 382,127 | - | 359,535 | ||||||||||||||
(Benefit) provision for income taxes |
- | (12,036 | ) | 103,970 | - | 91,934 | ||||||||||||||
NET INCOME FROM CONTINUING
OPERATIONS |
- | (10,556 | ) | 278,157 | - | 267,601 | ||||||||||||||
DISCONTINUED OPERATIONS, NET
OF TAX |
- | - | 12,394 | - | 12,394 | |||||||||||||||
EQUITY IN EARNINGS OF SUBSIDIARIES, NET OF TAX |
- | 290,551 | - | (290,551 | ) | - | ||||||||||||||
NET INCOME |
$ | - | $ | 279,995 | $ | 290,551 | $ | (290,551 | ) | $ | 279,995 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Income
Statements |
||||||||||||||||||||
Year ended December 31, 2009
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
REVENUES |
$ | - | $ | 633,466 | $ | 760,311 | $ | (350,774 | ) | $ | 1,043,003 | |||||||||
COSTS AND
EXPENSES: |
||||||||||||||||||||
Direct operating costs
(excluding items below) |
- | 394,650 | 360,437 | (350,774 | ) | 404,313 | ||||||||||||||
Depreciation and
amortization |
- | 63,595 | 60,345 | - | 123,940 | |||||||||||||||
Selling, general and
administrative |
- | 54,942 | 11,011 | - | 65,953 | |||||||||||||||
Loss (gain) on disposals of property and equipment
|
- | (5,363 | ) | (180 | ) | - | (5,543 | ) | ||||||||||||
Total costs and expenses |
- | 507,824 | 431,613 | (350,774 | ) | 588,663 | ||||||||||||||
INCOME FROM
OPERATIONS |
- | 125,642 | 328,698 | - | 454,340 | |||||||||||||||
OTHER INCOME
(EXPENSE): |
||||||||||||||||||||
Interest expense, net of
interest capitalized |
- | (8,028 | ) | (33,457 | ) | 33,457 | (8,028 | ) | ||||||||||||
Interest income
|
- | 34,644 | 7 | (33,457 | ) | 1,194 | ||||||||||||||
Other - net |
- | 47 | (35 | ) | - | 12 | ||||||||||||||
Total other income (expense) - net |
- | 26,663 | (33,485 | ) | - | (6,822 | ) | |||||||||||||
INCOME FROM CONTINUING
OPERATIONS |
||||||||||||||||||||
BEFORE INCOME
TAXES |
- | 152,305 | 295,213 | - | 447,518 | |||||||||||||||
(Benefit) provision for income taxes |
- | 36,874 | 82,312 | - | 119,186 | |||||||||||||||
NET INCOME FROM CONTINUING
OPERATIONS |
- | 115,431 | 212,901 | - | 328,332 | |||||||||||||||
DISCONTINUED OPERATIONS, NET
OF TAX |
- | - | 39,172 | - | 39,172 | |||||||||||||||
EQUITY IN EARNINGS OF SUBSIDIARIES, NET OF TAX |
- | 252,073 | - | (252,073 | ) | - | ||||||||||||||
NET INCOME |
$ | - | $ | 367,504 | $ | 252,073 | $ | (252,073 | ) | $ | 367,504 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Statements of
Comprehensive Income |
||||||||||||||||||||
Year ended December 31, 2011
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
NET INCOME |
$ | (2,160 | ) | $ | 736,841 | $ | 186,983 | $ | (184,823 | ) | $ | 736,841 | ||||||||
Other comprehensive income,
net of tax: |
||||||||||||||||||||
Pension and other
postretirement benefit adjustments, net of income taxes |
||||||||||||||||||||
Net (loss) gain arising
during the period |
- | (79,888 | ) | - | - | (79,888 | ) | |||||||||||||
Amortization of net
loss |
- | 14,135 | - | - | 14,135 | |||||||||||||||
Amortization of transition
obligation |
- | 552 | - | - | 552 | |||||||||||||||
Amortization of prior service credit |
- | (14,975 | ) | - | - | (14,975 | ) | |||||||||||||
OTHER COMPREHENSIVE INCOME |
- | (80,176 | ) | - | - | (80,176 | ) | |||||||||||||
COMPREHENSIVE INCOME |
$ | (2,160 | ) | $ | 656,665 | $ | 186,983 | $ | (184,823 | ) | $ | 656,665 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Statements of
Comprehensive Income |
||||||||||||||||||||
Year ended December 31, 2010
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
NET INCOME |
$ | - | $ | 279,995 | $ | 290,551 | $ | (290,551 | ) | $ | 279,995 | |||||||||
Other comprehensive income,
net of tax: |
||||||||||||||||||||
Pension and other
postretirement benefit adjustments, net of income taxes |
||||||||||||||||||||
Net (loss) gain arising
during the period |
- | (3,779 | ) | - | - | (3,779 | ) | |||||||||||||
Amortization of net
loss |
- | 12,648 | - | - | 12,648 | |||||||||||||||
Amortization of transition
obligation |
- | 430 | - | - | 430 | |||||||||||||||
Amortization of prior service credit |
- | (4,473 | ) | - | - | (4,473 | ) | |||||||||||||
OTHER COMPREHENSIVE INCOME |
- | 4,826 | - | - | 4,826 | |||||||||||||||
COMPREHENSIVE INCOME |
$ | - | $ | 284,821 | $ | 290,551 | $ | (290,551 | ) | $ | 284,821 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Statements of
Comprehensive Income |
||||||||||||||||||||
Year ended December 31, 2009
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
NET INCOME |
$ | - | $ | 367,504 | $ | 252,073 | $ | (252,073 | ) | $ | 367,504 | |||||||||
Other comprehensive income,
net of tax: |
||||||||||||||||||||
Pension and other
postretirement benefit adjustments, net of income taxes |
||||||||||||||||||||
Net (loss) gain arising
during the period |
- | 14,225 | - | - | 14,225 | |||||||||||||||
Prior service credit arising
during the period |
- | 43,703 | - | - | 43,703 | |||||||||||||||
Amortization of net
loss |
- | 10,721 | - | - | 10,721 | |||||||||||||||
Amortization of transition
obligation |
- | 431 | - | - | 431 | |||||||||||||||
Amortization of prior service credit |
- | (2,385 | ) | - | - | (2,385 | ) | |||||||||||||
OTHER COMPREHENSIVE INCOME |
- | 66,695 | - | - | 66,695 | |||||||||||||||
COMPREHENSIVE INCOME |
$ | - | $ | 434,199 | $ | 252,073 | $ | (252,073 | ) | $ | 434,199 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Statements of Cash
Flows |
||||||||||||||||||||
Year ended December 31, 2011
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
NET CASH PROVIDED BY (USED IN)
OPERATING ACTIVITIES |
$ | (1,430 | ) | $ | (235,989 | ) | $ | 332,098 | $ | - | $ | 94,679 | ||||||||
Investing activities:
|
||||||||||||||||||||
Property,
plant and equipment additions |
- | (125,481 | ) | (1,392,193 | ) | - | (1,517,674 | ) | ||||||||||||
Proceeds
from disposals of property, plant and equip |
- | 613 | 5,121 | - | 5,734 | |||||||||||||||
Proceeds
from sales of mfg and land drilling ops, net |
- | 1,555,480 | - | - | 1,555,480 | |||||||||||||||
Change in
restricted cash balance |
- | - | 15,265 | - | 15,265 | |||||||||||||||
Investments in
consolidated subsidiaries |
- | (903,200 | ) | - | 903,200 | - | ||||||||||||||
Net cash used
in investing activities |
- | 527,412 | (1,371,807 | ) | 903,200 | 58,805 | ||||||||||||||
Financing activities:
|
||||||||||||||||||||
Repayments
of borrowings |
- | (22,464 | ) | (29,702 | ) | - | (52,166 | ) | ||||||||||||
Advances (to) from
affiliates |
1,152 | (238,630 | ) | 237,478 | - | - | ||||||||||||||
Contributions from parent | 21,750 | - | 881,450 | (903,200 | ) | - | ||||||||||||||
Proceeds
from borrowings - net of issue costs |
- | - | - | - | - | |||||||||||||||
Proceeds
from stock option and debenture plans |
- | 19,941 | - | - | 19,941 | |||||||||||||||
Payments to acquire treasury
stock |
- | (125,013 | ) | - | - | (125,013 | ) | |||||||||||||
Excess tax benefits from
stock-based compensation |
- | 4,359 | 769 | - | 5,128 | |||||||||||||||
Net cash provided
by (used in) financing activities |
22,902 | (361,807 | ) | 1,089,995 | (903,200 | ) | (152,110 | ) | ||||||||||||
INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS |
21,472 | (70,384 | ) | 50,286 | - | 1,374 | ||||||||||||||
CASH AND CASH EQUIVALENTS,
BEGINNING OF PERIOD |
- | 255,061 | 182,418 | - | 437,479 | |||||||||||||||
CASH AND CASH EQUIVALENTS,
END OF PERIOD |
$ | 21,472 | $ | 184,677 | $ | 232,704 | $ | - | $ | 438,853 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Statements of Cash
Flows |
||||||||||||||||||||
Year ended December 31, 2010
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
NET CASH PROVIDED BY (USED IN)
OPERATING ACTIVITIES |
$ | - | $ | 15,613 | $ | 492,549 | $ | - | $ | 508,162 | ||||||||||
Investing activities:
|
||||||||||||||||||||
Property,
plant and equipment additions |
- | (72,496 | ) | (418,064 | ) | - | (490,560 | ) | ||||||||||||
Proceeds
from disposals of property, plant and equip |
- | 807 | 2,460 | - | 3,267 | |||||||||||||||
Change in
restricted cash balance |
- | - | (15,265 | ) | - | (15,265 | ) | |||||||||||||
Cash acquired
from SKDP transaction, net |
- | (17,681 | ) | - | - | (17,681 | ) | |||||||||||||
Investments in consolidated subsidiaries | - | (965,864 | ) | - | 965,864 | - | ||||||||||||||
Net cash used
in investing activities |
- | (1,055,234 | ) | (430,869 | ) | 965,864 | (520,239 | ) | ||||||||||||
Financing activities:
|
||||||||||||||||||||
Repayments
of borrowings |
- | (594,013 | ) | - | - | (594,013 | ) | |||||||||||||
Advances (to) from
affiliates |
- | 845,782 | (845,782 | ) | - | - | ||||||||||||||
Contributions from
parent |
- | - | 965,864 | (965,864 | ) | - | ||||||||||||||
Proceeds
from borrowings - net of issue costs |
- | 395,517 | - | - | 395,517 | |||||||||||||||
Proceeds from stock option plans | - | 7,959 | - | - | 7,959 | |||||||||||||||
Payments to acquire treasury
stock |
- | - | - | - | - | |||||||||||||||
Excess tax benefits from
stock-based compensation |
- | 412 | - | - | 412 | |||||||||||||||
Net cash provided
by (used in) financing activities |
- | 655,657 | 120,082 | (965,864 | ) | (190,125 | ) | |||||||||||||
INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS |
- | (383,964 | ) | 181,762 | - | (202,202 | ) | |||||||||||||
CASH AND CASH EQUIVALENTS,
BEGINNING OF PERIOD |
- | 639,025 | 656 | - | 639,681 | |||||||||||||||
CASH AND CASH EQUIVALENTS,
END OF PERIOD |
$ | - | $ | 255,061 | $ | 182,418 | $ | - | $ | 437,479 |
Rowan Companies plc and
Subsidiaries |
||||||||||||||||||||
Condensed Consolidating Statements of Cash
Flows |
||||||||||||||||||||
Year ended December 31, 2009
|
||||||||||||||||||||
(in thousands) |
||||||||||||||||||||
Rowan UK |
Rowan Delaware |
Other non-guarantor subsidiaries |
Consolidating adjustments |
Consolidated |
||||||||||||||||
NET CASH PROVIDED BY (USED IN)
OPERATING ACTIVITIES |
$ | - | $ | 156,959 | $ | 387,135 | $ | - | $ | 544,094 | ||||||||||
Investing activities:
|
||||||||||||||||||||
Property,
plant and equipment additions |
- | (109,976 | ) | (456,407 | ) | - | (566,383 | ) | ||||||||||||
Proceeds
from disposals of property, plant and equip |
- | 6,576 | 2,016 | - | 8,592 | |||||||||||||||
Net cash used
in investing activities |
- | (103,400 | ) | (454,391 | ) | - | (557,791 | ) | ||||||||||||
Financing activities:
|
||||||||||||||||||||
Repayments
of borrowings |
- | (64,922 | ) | - | - | (64,922 | ) | |||||||||||||
Advances (to) from
affiliates |
- | (64,557 | ) | 64,557 | - | - | ||||||||||||||
Proceeds
from borrowings - net of issue costs |
- | 491,729 | - | - | 491,729 | |||||||||||||||
Proceeds
from stock option and debenture plans |
- | 1,471 | - | - | 1,471 | |||||||||||||||
Excess tax benefits from
stock-based compensation |
- | 2,298 | 374 | - | 2,672 | |||||||||||||||
Net cash provided
by (used in) financing activities |
- | 366,019 | 64,931 | - | 430,950 | |||||||||||||||
INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS |
- | 419,578 | (2,325 | ) | - | 417,253 | ||||||||||||||
CASH AND CASH EQUIVALENTS,
BEGINNING OF PERIOD |
- | 219,447 | 2,981 | - | 222,428 | |||||||||||||||
CASH AND CASH EQUIVALENTS,
END OF PERIOD |
$ | - | $ | 639,025 | $ | 656 | $ | - | $ | 639,681 |
First |
Second |
Third |
Fourth |
|||||||||||||
Quarter |
Quarter |
Quarter |
Quarter |
|||||||||||||
2011:
|
||||||||||||||||
Revenues |
$ | 205,966 | $ | 223,497 | $ | 234,698 | $ | 275,068 | ||||||||
Income from
operations |
35,755 | 51,735 | 31,962 | 30,131 | ||||||||||||
Net income from continuing
operations |
26,795 | 44,403 | 31,424 | 33,117 | ||||||||||||
Discontinued operations, net
of tax |
5,277 | 421,456 | 162,385 | 11,984 | ||||||||||||
Net income |
32,072 | 465,859 | 193,809 | 45,101 | ||||||||||||
Basic earnings per
share: |
||||||||||||||||
Continuing
operations |
$ | 0.21 | $ | 0.35 | $ | 0.25 | $ | 0.27 | ||||||||
Discontinued
operations |
0.05 | 3.34 | 1.30 | 0.09 | ||||||||||||
Net income |
0.26 | 3.69 | 1.55 | 0.36 | ||||||||||||
Diluted earnings per
share: |
||||||||||||||||
Continuing
operations |
$ | 0.21 | $ | 0.35 | $ | 0.25 | $ | 0.27 | ||||||||
Discontinued
operations |
0.04 | 3.30 | 1.28 | 0.09 | ||||||||||||
Net income |
0.25 | 3.65 | 1.53 | 0.36 | ||||||||||||
2010: |
||||||||||||||||
Revenues |
$ | 288,500 | $ | 282,180 | $ | 238,559 | $ | 208,466 | ||||||||
Income from
operations |
134,863 | 119,699 | 74,468 | 49,232 | ||||||||||||
Net income from continuing
operations |
88,934 | 83,445 | 60,142 | 35,080 | ||||||||||||
Discontinued operations, net
of tax |
(24,311 | ) | 7,471 | 7,029 | 22,205 | |||||||||||
Net income |
64,623 | 90,916 | 67,171 | 57,285 | ||||||||||||
Basic earnings (loss) per
share: |
||||||||||||||||
Continuing
operations |
$ | 0.79 | $ | 0.74 | $ | 0.52 | $ | 0.28 | ||||||||
Discontinued
operations |
(0.22 | ) | 0.07 | 0.06 | 0.18 | |||||||||||
Net income |
0.57 | 0.80 | 0.58 | 0.46 | ||||||||||||
Diluted earnings (loss) per
share: |
||||||||||||||||
Continuing
operations |
$ | 0.78 | $ | 0.73 | $ | 0.51 | $ | 0.28 | ||||||||
Discontinued
operations |
(0.21 | ) | 0.06 | 0.06 | 0.17 | |||||||||||
Net income |
0.56 | 0.79 | 0.57 | 0.45 |
MATERIAL CHARGES AND OTHER OPERATING EXPENSES (Details) (USD $)
In Millions, unless otherwise specified |
12 Months Ended | |
---|---|---|
Dec. 31, 2011
|
Dec. 31, 2010
|
|
MATERIAL CHARGES AND OTHER OPERATING EXPENSES [Abstract] | ||
Litigation settlement charge | $ 6.1 | |
Incremental noncash and cash compensation cost in connection with the separation of an employee | 4.9 | |
Expected cost of terminating an agency agreement in Mexico | $ 5.25 |
STOCKHOLDERS' EQUITY (Tables)
|
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Dec. 31, 2011
|
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Stockholders' Equity Note [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Compensation cost charged to expense under all stock-based incentive awards | Compensation cost charged to expense under all stock-based incentive awards is presented below (in thousands):
|
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Restricted stock activity | The Company measures compensation related to each share based on the market price of the common stock on the date of grant. Restricted stock activity for the year ended December 31, 2011, is summarized below:
|
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Restricted stock unit activity | The Company measures compensation related to each unit based on the market price of the underlying common stock on the grant date. RSU activity for the year ended December 31, 2011, is summarized below:
|
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Performance-based award activity | Performance-based award activity for the year ended December 31, 2011, is summarized below:
|
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Weighted-average assumptions used to determine fair values of SARs | Fair values of SARs granted were determined using the Black-Scholes option pricing model with the following weighted-average assumptions (no options were granted in 2011, 2010 or 2009):
|
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Stock option activity | Stock option activity for the year ended December 31, 2011, is summarized below:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
SARs activity | SARs activity for the year ended December 31, 2011, is summarized below:
|
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