Business Segment Information

9 Months Ended

Sep. 30, 2012

Business Segment Information [Abstract]

Business Segment Information

Note 12 – Business Segment Information 

Our operations are conducted through the following lines of business: contracting services and oil and gas.  We have disaggregated our contracting services operations into two reportable segments.  As a result, our reportable segments consist of the following: Contracting Services, Production Facilities and Oil and Gas. Contracting Services operations include well operations, robotics and subsea construction (see Note 17 for disclosures regarding the announced sale of a large portion of our subsea construction assets).  The Production Facilities segment includes our consolidated investment in the HP I and Kommandor LLC as well as our equity investments in Deepwater Gateway and Independence Hub that are accounted for under the equity method of accounting.

We evaluate our performance based on operating income of each segment.  The following table details revenues and income (loss) from operations by reportable segment (in thousands).  All material intercompany transactions between the segments have been eliminated. 

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2012		2011		2012		2011
Revenues -
Contracting Services	$	221,491	$	229,967	$	675,592	$	532,857
Production Facilities		20,024		19,986		60,009		56,101
Oil and Gas		119,124		159,218		447,142		500,535
Intercompany elimination		(24,405)		(36,675)		(91,188)		(87,071)
Total	$	336,234	$	372,496	$	1,091,555	$	1,002,422
Income (loss) from operations -
Contracting Services	$	33,012	$	47,363	$	111,359	$	81,194
Production Facilities		10,180		10,983		30,111		28,859
Oil and Gas		5,540		48,622		142,924		144,926
Corporate		(13,396)		(6,227)		(35,452)		(25,780)
Intercompany elimination		39		(528)		(2,883)		(457)
Total	$	35,375	$	100,213	$	246,059	$	228,742
Equity in earnings of equity investments	$	1,392	$	4,906	$	7,547	$	16,443

Intercompany segment revenues during the three- and nine-month periods ended September 30, 2012 and 2011 were as follows (in thousands): 

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2012		2011		2012		2011
Contracting Services		12,896		25,410		56,635		52,574
Production Facilities		11,509		11,265		34,553		34,497
Total	$	24,405	$	36,675	$	91,188	$	87,071

Intercompany segment profits (losses) during the three- and nine-month periods ended September 30, 2012 and 2011 were as follows (in thousands): 

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2012		2011		2012		2011
Contracting Services		5		606		3,014		645
Production Facilities		(44)		(78)		(131)		(188)
Total	$	(39)	$	528	$	2,883	$	457

Segment assets are comprised of all assets attributable to each reportable segment.  The following table reflected total assets by reportable segment as of September 30, 2012 and December 31, 2011 (in thousands): 

		September 30,		December 31,
		2012		2011
Contracting Services	$	2,215,076	$	2,006,065
Production Facilities		509,468		534,776
Oil and Gas		987,413		1,041,506
Total	$	3,711,957	$	3,582,347