Condensed Consolidating Financial Information (Tables)

6 Months Ended

Jun. 30, 2014

Condensed Financial Information of Parent Company Only Disclosure [Abstract]



	June 30, 2014
Balance Sheet	ION Geophysical Corporation			The Guarantors			All Other Subsidiaries			Consolidating Adjustments			Total Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	100,784		$	—		$	56,995		$	—		$	157,779
Accounts receivable, net	1,509			34,611			54,347			(4,667		)	85,800
Unbilled receivables	—			50,645			13,124			—			63,769
Inventories	—			4,154			51,168			—			55,322
Prepaid expenses and other current assets	16,031			4,224			16,041			(1,770		)	34,526
Total current assets	118,324			93,634			191,675			(6,437		)	397,196
Deferred income tax asset	6,499			6,675			759			406			14,339
Property, plant, equipment and seismic rental equipment, net	6,082			30,548			22,993			—			59,623
Multi-client data library, net	—			216,044			30,010			—			246,054
Equity method investments	44,995			—			—			—			44,995
Investment in subsidiaries	805,573			275,625			—			(1,081,198		)	—
Goodwill	—			21,884			29,742			—			51,626
Intangible assets, net	—			7,250			2,682			—			9,932
Intercompany receivables	31,892			—			4,215			(36,107		)	—
Other assets	13,767			97			1,740			—			15,604
Total assets	$	1,027,132		$	651,757		$	283,816		$	(1,123,336	)	$	839,369
LIABILITIES AND EQUITY
Current liabilities:
Current maturities of long-term debt	$	—		$	5,153		$	5,511		$	—		$	10,664
Accounts payable	2,313			13,419			25,116			(4,667		)	36,181
Accrued expenses	9,374			48,721			24,448			(1,083		)	81,460
Accrued multi-client data library royalties	—			23,315			666			—			23,981
Deferred revenue	—			12,646			3,120			—			15,766
Total current liabilities	11,687			103,254			58,861			(5,750		)	168,052
Long-term debt, net of current maturities	175,000			4,815			318			(141		)	179,992
Intercompany payables	496,632			31,892			—			(528,524		)	—
Other long-term liabilities	2,785			130,330			10,107			(140		)	143,082
Total liabilities	686,104			270,291			69,286			(534,555		)	491,126
Redeemable noncontrolling interests	—			—			6,846			—			6,846
Equity:
Common stock	1,641			290,460			19,137			(309,597		)	1,641
Additional paid-in capital	884,796			175,005			235,236			(410,241		)	884,796
Accumulated earnings (deficit)	(528,990		)	340,856			19,968			(360,824		)	(528,990		)
Accumulated other comprehensive income (loss)	(9,854		)	9,343			(8,807		)	(536		)	(9,854		)
Due from ION Geophysical Corporation	—			(434,198		)	(58,219		)	492,417			—
Treasury stock	(6,565		)	—			—			—			(6,565		)
Total stockholders’ equity	341,028			381,466			207,315			(588,781		)	341,028
Noncontrolling interests	—			—			369			—			369
Total equity	341,028			381,466			207,684			(588,781		)	341,397
Total liabilities and equity	$	1,027,132		$	651,757		$	283,816		$	(1,123,336	)	$	839,369



	December 31, 2013
Balance Sheet	ION Geophysical Corporation			The Guarantors			All Other Subsidiaries			Consolidating Adjustments			Total Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	124,701		$	—		$	23,355		$	—		$	148,056
Accounts receivable, net	1,874			99,547			48,027			—			149,448
Unbilled receivables	—			33,490			15,978			—			49,468
Inventories	—			6,595			50,578			—			57,173
Prepaid expenses and other current assets	12,888			5,030			7,438			(584		)	24,772
Total current assets	139,463			144,662			145,376			(584		)	428,917
Deferred income tax asset	6,513			6,960			489			688			14,650
Property, plant, equipment and seismic rental equipment, net	6,440			29,845			10,399			—			46,684
Multi-client data library, net	—			212,572			26,212			—			238,784
Equity method investments	51,065			—			2,800			—			53,865
Investment in subsidiaries	699,695			248,482			—			(948,177		)	—
Goodwill	—			26,984			28,892			—			55,876
Intangible assets, net	—			8,246			3,001			—			11,247
Intercompany receivables	8,313			13,419			—			(21,732		)	—
Other assets	14,315			56			24,262			(23,985		)	14,648
Total assets	$	925,804		$	691,226		$	241,431		$	(993,790	)	$	864,671
LIABILITIES AND EQUITY
Current liabilities:
Current maturities of long-term debt	$	—		$	4,716		$	1,190		$	—		$	5,906
Accounts payable	3,515			11,741			7,364			34			22,654
Accrued expenses	16,652			54,250			13,392			64			84,358
Accrued multi-client data library royalties	—			45,921			539			—			46,460
Deferred revenue	—			16,387			4,295			—			20,682
Total current liabilities	20,167			133,015			26,780			98			180,060
Long-term debt, net of current maturities	210,000			3,655			591			—			214,246
Intercompany payables	426,134			—			21,732			(447,866		)	—
Other long-term liabilities	11,757			214,211			8,637			(24,003		)	210,602
Total liabilities	668,058			350,881			57,740			(471,771		)	604,908
Redeemable noncontrolling interests	—			—			1,878			—			1,878
Equity:
Common stock	1,637			290,460			19,138			(309,598		)	1,637
Additional paid-in capital	879,969			180,700			235,381			(416,081		)	879,969
Accumulated earnings (deficit)	(606,157		)	232,186			(4,010		)	(228,176		)	(606,157		)
Accumulated other comprehensive income (loss)	(11,138		)	6,218			(11,920		)	5,702			(11,138		)
Due from ION Geophysical Corporation	—			(369,219		)	(56,915		)	426,134			—
Treasury stock	(6,565		)	—			—			—			(6,565		)
Total stockholders’ equity	257,746			340,345			181,674			(522,019		)	257,746
Noncontrolling interests	—			—			139			—			139
Total equity	257,746			340,345			181,813			(522,019		)	257,885
Total liabilities and equity	$	925,804		$	691,226		$	241,431		$	(993,790	)	$	864,671

Condensed Income Statement



	Three Months Ended June 30, 2014
Income Statement	ION Geophysical Corporation			The Guarantors			All Other Subsidiaries			Consolidating Adjustments			Total Consolidated
	(In thousands)
Net revenues	$	—		$	47,881		$	74,877		$	(1,278	)	$	121,480
Cost of sales	—			41,018			43,512			(1,278		)	83,252
Gross profit	—			6,863			31,365			—			38,228
Total operating expenses	7,518			15,326			11,599			—			34,443
Income (loss) from operations	(7,518		)	(8,463		)	19,766			—			3,785
Interest expense, net	(4,458		)	(48		)	(428		)	—			(4,934		)
Intercompany interest, net	(210		)	1,388			(1,178		)	—			—
Equity in earnings (losses) of investments	14,838			20,259			—			(36,878		)	(1,781		)
Other income (expense)	(1,711		)	3,572			4,205			—			6,066
Net income before income taxes	941			16,708			22,365			(36,878		)	3,136
Income tax expense (benefit)	(247		)	(133		)	1,033			—			653
Net income	1,188			16,841			21,332			(36,878		)	2,483
Net income attributable to noncontrolling interests	—			—			(1,295		)	—			(1,295		)
Net income applicable to common shares	$	1,188		$	16,841		$	20,037		$	(36,878	)	$	1,188
Comprehensive net income	$	3,133		$	19,967		$	23,955		$	(42,627	)	$	4,428
Comprehensive income attributable to noncontrolling interest	—			—			(1,295		)	—			(1,295		)
Comprehensive net income attributable to ION	$	3,133		$	19,967		$	22,660		$	(42,627	)	$	3,133



	Three Months Ended June 30, 2013
Income Statement	ION Geophysical Corporation			The Guarantors			All Other Subsidiaries			Consolidating Adjustments			Total Consolidated
	(In thousands)
Net revenues	$	—		$	76,453		$	44,789		$	(327	)	$	120,915
Cost of sales	—			55,672			28,952			(327		)	84,297
Gross profit	—			20,781			15,837			—			36,618
Total operating expenses	7,386			14,255			8,207			—			29,848
Income (loss) from operations	(7,386		)	6,526			7,630			—			6,770
Interest expense, net	(2,716		)	11			(51		)	—			(2,756		)
Intercompany interest, net	128			(277		)	149			—			—
Equity in earnings (losses) of investments	(107,674		)	3,097			(1,611		)	99,850			(6,338		)
Other income (expense)	3,557			(110,029		)	(646		)	—			(107,118		)
Net income (loss) before income taxes	(114,091		)	(100,672		)	5,471			99,850			(109,442		)
Income tax expense (benefit)	(43,295		)	1,996			2,594			—			(38,705		)
Net income (loss)	(70,796		)	(102,668		)	2,877			99,850			(70,737		)
Net income attributable to noncontrolling interests	—			—			(59		)	—			(59		)
Net income (loss) attributable to ION	(70,796		)	(102,668		)	2,818			99,850			(70,796		)
Preferred stock dividends	338			—			—			—			338
Net income (loss) applicable to common shares	$	(71,134	)	$	(102,668	)	$	2,818		$	99,850		$	(71,134	)
Comprehensive net loss	$	(70,378	)	$	(102,667	)	$	(285	)	$	103,011		$	(70,319	)
Comprehensive income attributable to noncontrolling interest	—			—			(59		)	—			(59		)
Comprehensive net loss attributable to ION	$	(70,378	)	$	(102,667	)	$	(344	)	$	103,011		$	(70,378	)

Condensed Cash Flow Statement



	Six Months Ended June 30, 2014
Statement of Cash Flows	ION Geophysical Corporation			The Guarantors			All Other Subsidiaries			Consolidating Adjustments		Total Consolidated
	(In thousands)
Cash flows from operating activities:
Net cash provided by (used in) operating activities	$	57,755		$	(23,434	)	$	42,417		$	—	$	76,738
Cash flows from investing activities:
Cash invested in multi-client data library	—			(34,203		)	(114		)	—		(34,317		)
Purchase of property, plant, equipment and seismic rental equipment	(460		)	(2,773		)	(1,310		)	—		(4,543		)
Repayment of advances to INOVA Geophysical	1,000			—			—			—		1,000
Investment in and advances to OceanGeo B.V.	—			—			(3,683		)	—		(3,683		)
Cash of OceanGeo B.V. upon acquiring a controlling interest	—			—			609			—		609
Net proceeds from sale of Source product line	—			9,881			4,513			—		14,394
Other investing activities	579			—			26			—		605
Net cash provided by (used in) investing activities	1,119			(27,095		)	41			—		(25,935		)
Cash flows from financing activities:
Payments under revolving line of credit	(50,000		)	—			—			—		(50,000		)
Borrowings under revolving line of credit	15,000			—			—			—		15,000
Payments on notes payable and long-term debt	(461		)	(2,862		)	(2,272		)	—		(5,595		)
Intercompany lending	(46,991		)	53,391			(6,400		)	—		—
Proceeds from employee stock purchases and exercise of stock options	340			—			—			—		340
Other financing activities	(679		)	—			—			—		(679		)
Net cash provided by (used in) financing activities	(82,791		)	50,529			(8,672		)	—		(40,934		)
Effect of change in foreign currency exchange rates on cash and cash equivalents	—			—			(146		)	—		(146		)
Net increase (decrease) in cash and cash equivalents	(23,917		)	—			33,640			—		9,723
Cash and cash equivalents at beginning of period	124,701			—			23,355			—		148,056
Cash and cash equivalents at end of period	$	100,784		$	—		$	56,995		$	—	$	157,779



	Six Months Ended June 30, 2013
Statement of Cash Flows	ION Geophysical Corporation			The Guarantors			All Other Subsidiaries			Consolidating Adjustments			Total Consolidated
	(In thousands)
Cash flows from operating activities:
Net cash provided by (used in) operating activities	$	(47,878	)	$	69,942		$	21,313		$	—		$	43,377
Cash flows from investing activities:
Cash invested in multi-client data library	—			(46,168		)	(2,431		)	—			(48,599		)
Purchase of property, plant, equipment and seismic rental equipment	(1,503		)	(5,045		)	(2,415		)	—			(8,963		)
Investment in and advances to OceanGeo B.V.	—			—			(9,500		)	—			(9,500		)
Proceeds from sale of a cost method investment	4,150			—			—			—			4,150
Investment in convertible notes	(2,000		)	—			—			—			(2,000		)
Capital contribution to affiliate	—			(2,202		)	—			2,202			—
Other investing activities	—			76			—			—			76
Net cash provided by (used in) investing activities	647			(53,339		)	(14,346		)	2,202			(64,836		)
Cash flows from financing activities:
Proceeds from issuance of notes	175,000			—			—			—			175,000
Payments under revolving line of credit	(97,250		)	—			—			—			(97,250		)
Payments on notes payable and long-term debt	—			(1,306		)	(509		)	—			(1,815		)
Cost associated with issuance of notes	(6,731		)	—			—			—			(6,731		)
Capital contribution from affiliate	—			—			2,202			(2,202		)	—
Intercompany lending	16,414			(15,297		)	(1,117		)	—			—
Payment of preferred dividends	(676		)	—			—			—			(676		)
Proceeds from employee stock purchases and exercise of stock options	1,972			—			—			—			1,972
Other financing activities	302			—			—			—			302
Net cash provided by (used in) financing activities	89,031			(16,603		)	576			(2,202		)	70,802
Effect of change in foreign currency exchange rates on cash and cash equivalents	—			—			(813		)	—			(813		)
Net increase in cash and cash equivalents	41,800			—			6,730			—			48,530
Cash and cash equivalents at beginning of period	30,343			—			30,628						60,971
Cash and cash equivalents at end of period	$	72,143		$	—		$	37,358		$	—		$	109,501