Note 16 Condensed Consolidating Financial Information

Nabors has fully and unconditionally guaranteed all of the issued public debt securities of Nabors Delaware, a wholly owned subsidiary. The following condensed consolidating financial information is included so that separate financial statements of Nabors Delaware are not required to be filed with the SEC. The condensed consolidating financial statements present investments in both consolidated and unconsolidated affiliates using the equity method of accounting.

The following condensed consolidating financial information presents condensed consolidating balance sheets as of September 30, 2015 and December 31, 2014 and statements of income (loss), statements of other comprehensive income (loss) and statements of cash flows for the nine months ended September 30, 2015 and 2014 of (a) Nabors, parent/guarantor, (b) Nabors Delaware, issuer of public debt securities guaranteed by Nabors, (c) the non-guarantor subsidiaries, (d) consolidating adjustments necessary to consolidate Nabors and its subsidiaries and (e) Nabors on a consolidated basis. Certain prior period amounts have been reclassified to conform to the current period presentation.

Condensed Consolidating Balance Sheets

	September 30, 2015
					Other
	Nabors		Nabors		Subsidiaries
	(Parent/		Delaware		(Non-		Consolidating
	Guarantor)		(Issuer)		Guarantors)		Adjustments			Total
	(In thousands)
	ASSETS
Current assets:
Cash and cash equivalents	$	820	$	12	$	250,534	$	—		$	251,366
Short-term investments	—		—		25,196		—			25,196
Assets held for sale	—		—		78,400		—			78,400
Accounts receivable, net	—		—		871,385		—			871,385
Inventory	—		—		177,221		—			177,221
Deferred income taxes	—		—		39,981		—			39,981
Other current assets	57		13,841		261,628		—			275,526

Total current assets	877		13,853		1,704,345		—			1,719,075
Long-term investments	—		—		42,914		(40,459		)	2,455
Property, plant and equipment, net	—		—		7,287,531		—			7,287,531
Goodwill	—		—		150,032		—			150,032
Intercompany receivables	132,398		62,000		1,211,961		(1,406,359		)	—
Investment in consolidated affiliates	4,389,414		4,974,982		1,316,849		(10,681,245		)	—
Investment in unconsolidated affiliates	—		—		460,543		—			460,543
Deferred tax assets	—		348,575		—		(348,575		)	—
Other long-term assets	—		31,483		278,062		—			309,545

Total assets	$	4,522,689	$	5,430,893	$	12,452,237	$	(12,476,638	)	$	9,929,181

	LIABILITIES AND EQUITY
Current liabilities:
Current debt	$	—	$	—	8,982		$	—		$	8,982
Trade accounts payable	66		2		302,347		—			302,415
Accrued liabilities	309		18,139		712,361		—			730,809
Income taxes payable	—		—		7,345		—			7,345

Total current liabilities	375		18,141		1,031,035		—			1,049,551
Long-term debt	—		3,778,232		—		(40,459		)	3,737,773
Other long-term liabilities	—		35,411		595,047		—			630,458
Deferred income taxes	—		—		348,575		(348,575		)	—
Intercompany payable	20,000		1,386,359		—		(1,406,359		)	—

Total liabilities	20,375		5,218,143		1,974,657		(1,795,393		)	5,417,782
Subsidiary preferred stock	—		—		—		—			—
Shareholders’ equity	4,502,314		212,750		10,468,494		(10,681,245		)	4,502,313
Noncontrolling interest	—		—		9,086		—			9,086

Total equity	4,502,314		212,750		10,477,580		(10,681,245		)	4,511,399

Total liabilities and equity	$	4,522,689	$	5,430,893	$	12,452,237	$	(12,476,638	)	$	9,929,181

Condensed Consolidating Balance Sheets

	December 31, 2014
					Other
	Nabors		Nabors		Subsidiaries
	(Parent/		Delaware		(Non-		Consolidating
	Guarantor)		(Issuer)		Guarantors)		Adjustments			Total
	(In thousands)
	ASSETS
Current assets:
Cash and cash equivalents	$	1,170	$	7	$	499,972	$	—		$	501,149
Short-term investments	—		—		35,020		—			35,020
Assets held for sale	—		—		146,467		—			146,467
Accounts receivable, net	—		—		1,517,503		—			1,517,503
Inventory	—		—		230,067		—			230,067
Deferred income taxes	—		—		118,230		—			118,230
Other current assets	50		5,242		188,146		—			193,438
Short-term intercompany note	—		880,820		—		(880,820		)	—

Total current assets	1,220		886,069		2,735,405		(880,820		)	2,741,874
Long-term investments	—		—		43,246		(40,440		)	2,806
Property, plant and equipment, net	—		30,330		8,568,795		—			8,599,125
Goodwill	—		—		173,928		—			173,928
Intercompany receivables	136,360		—		1,286,522		(1,422,882		)	—
Investment in consolidated affiliates	4,771,413		5,014,743		1,448,688		(11,234,844		)	—
Investment in unconsolidated affiliates	—		—		58,251		—			58,251
Deferred tax assets	—		294,655				(294,655		)	—
Other long-term assets	—		30,298		273,660		—			303,958

Total assets	$	4,908,993	$	6,256,095	$	14,588,495	$	(13,873,641	)	$	11,879,942

	LIABILITIES AND EQUITY
Current liabilities:
Current debt	$	—	$	—	$	6,190	$	—		$	6,190
Trade accounts payable	111		2		779,947		—			780,060
Accrued liabilities	263		64,390		663,351		—			728,004
Income taxes payable	—		—		53,221		—			53,221
Short-term intercompany note	—		—		880,820		(880,820		)	—

Total current liabilities	374		64,392		2,383,529		(880,820		)	1,567,475
Long-term debt	—		4,389,299		—		(40,440		)	4,348,859
Other long-term liabilities	—		35,480		566,336		—			601,816
Deferred income taxes	—		—		737,658		(294,655		)	443,003
Intercompany payable	—		1,422,882		—		(1,422,882		)	—

Total liabilities	374		5,912,053		3,687,523		(2,638,797		)	6,961,153
Subsidiary preferred stock	—		—		—		—			—
Shareholders’ equity	4,908,619		344,042		10,890,802		(11,234,844		)	4,908,619
Noncontrolling interest	—		—		10,170		—			10,170

Total equity	4,908,619		344,042		10,900,972		(11,234,844		)	4,918,789

Total liabilities and equity	$	4,908,993	$	6,256,095	$	14,588,495	$	(13,873,641	)	$	11,879,942

Condensed Consolidating Statements of Income (Loss)

	Three Months Ended September 30, 2015
							Other
	Nabors			Nabors			Subsidiaries
	(Parent/			Delaware			(Non-			Consolidating
	Guarantor)			(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Revenues and other income:
Operating revenues	$	—		$	—		$	847,553		$	—		$	847,553
Earnings (losses) from unconsolidated affiliates	—			—			(35,100		)	—			(35,100		)
Earnings (losses) from consolidated affiliates	(293,510		)	(47,522		)	(78,151		)	419,183			—
Investment income (loss)	—			—			2,305			(2,327		)	(22		)
Intercompany interest income	—			913			—			(913		)	—

Total revenues and other income	(293,510		)	(46,609		)	736,607			415,943			812,431

Costs and other deductions:
Direct costs	—			—			518,174			—			518,174
General and administrative expenses	2,216			180			79,487			(135		)	81,748
Depreciation and amortization	—			31			240,076			—			240,107
Interest expense	—			49,320			(4,872		)	—			44,448
Intercompany interest expense	(1		)	—			914			(913		)	—
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net	109			—			259,487			135			259,731

Total costs and other deductions	2,324			49,531			1,093,266			(913		)	1,144,208

Income (loss) from continuing operations before income tax	(295,834		)	(96,140		)	(356,659		)	416,856			(331,777		)
Income tax expense (benefit)	—			(17,989		)	(62,909		)	—			(80,898		)

Income (loss) from continuing operations, net of tax	(295,834		)	(78,151		)	(293,750		)	416,856			(250,879		)
Income (loss) from discontinued operations, net of tax	—			—			(45,275		)	—			(45,275		)

Net income (loss)	(295,834		)	(78,151		)	(339,025		)	416,856			(296,154		)
Less: Net (income) loss attributable to noncontrolling interest	—			—			320			—			320

Net income (loss) attributable to Nabors	$	(295,834	)	$	(78,151	)	$	(338,705	)	$	416,856		$	(295,834	)

Condensed Consolidating Statements of Income (Loss)

	Three Months Ended September 30, 2014
						Other
	Nabors		Nabors			Subsidiaries
	(Parent/		Delaware			(Non-			Consolidating
	Guarantor)		(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Revenues and other income:
Operating revenues	$	—	$	—		$	1,813,762		$	—		$	1,813,762
Earnings (losses) from unconsolidated affiliates	—		—			(2,851		)	—			(2,851		)
Earnings (losses) from consolidated affiliates	116,378		67,504			31,859			(215,741		)	—
Investment income (loss)	—		1,694			2,199			(1,704		)	2,189
Intercompany interest income	—		—			—			—			—

Total revenues and other income	116,378		69,198			1,844,969			(217,445		)	1,813,100

Costs and other deductions:
Direct costs	—		—			1,181,986			—			1,181,986
General and administrative expenses	3,097		7,957			128,065			(152		)	138,967
Depreciation and amortization	—		902			285,679			—			286,581
Interest expense	—		49,415			(6,277		)	—			43,138
Intercompany interest expense	7		—			(7		)	—			—
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net	7,226		—			(8,891		)	152			(1,513		)

Total costs and other deductions	10,330		58,274			1,580,555			—			1,649,159

Income (loss) from continuing operations before income tax	106,048		10,924			264,414			(217,445		)	163,941
Income tax expense (benefit)	—		(20,935		)	82,446			—			61,511

Income (loss) from continuing operations, net of tax	106,048		31,859			181,968			(217,445		)	102,430
Income (loss) from discontinued operations, net of tax	—		—			4,005			—			4,005

Net income (loss)	106,048		31,859			185,973			(217,445		)	106,435
Less: Net (income) loss attributable to noncontrolling interest	—		—			(387		)	—			(387		)

Net income (loss) attributable to Nabors	$	106,048	$	31,859		$	185,586		$	(217,445	)	$	106,048

Condensed Consolidating Statements of Income (Loss)

	Nine Months Ended September 30, 2015
							Other
	Nabors			Nabors			Subsidiaries
	(Parent/			Delaware			(Non-			Consolidating
	Guarantor)			(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Revenues and other income:
Operating revenues	$	—		$	—		$	3,125,565		$	—		$	3,125,565
Earnings (losses) from unconsolidated affiliates	—			—			(29,714		)	—			(29,714		)
Earnings (losses) from consolidated affiliates	(189,624		)	(40,029		)	(131,838		)	361,491			—
Investment income (loss)	—			560			8,549			(6,981		)	2,128
Intercompany interest income	—			5,539			—			(5,539		)	—

Total revenues and other income	(189,624		)	(33,930		)	2,972,562			348,971			3,097,979

Costs and other deductions:
Direct costs	—			—			1,926,306			—			1,926,306
General and administrative expenses	7,047			(143		)	288,686			(419		)	295,171
Depreciation and amortization	—			674			738,648			—			739,322
Interest expense	(1		)	151,297			(15,778		)	—			135,518
Intercompany interest expense	23			—			5,516			(5,539		)	—
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net	12,328			—			192,480			419			205,227

Total costs and other deductions	19,397			151,828			3,135,858			(5,539		)	3,301,544

Income (loss) from continuing operations before income tax	(209,021		)	(185,758		)	(163,296		)	354,510			(203,565		)
Income tax expense (benefit)	—			(53,920		)	18,762			—			(35,158		)

Income (loss) from continuing operations, net of tax	(209,021		)	(131,838		)	(182,058		)	354,510			(168,407		)
Income (loss) from discontinued operations, net of tax	—			—			(41,067		)	—			(41,067		)

Net income (loss)	(209,021		)	(131,838		)	(223,125		)	354,510			(209,474		)
Less: Net (income) loss attributable to noncontrolling interest	—			—			453			—			453

Net income (loss) attributable to Nabors	$	(209,021	)	$	(131,838	)	$	(222,672	)	$	354,510		$	(209,021	)

Condensed Consolidating Statements of Income (Loss)

	Nine Months Ended September 30, 2014
						Other
	Nabors		Nabors			Subsidiaries
	(Parent/		Delaware			(Non-			Consolidating
	Guarantor)		(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Revenues and other income:
Operating revenues	$	—	$	—		$	5,020,361		$	—		$	5,020,361
Earnings (losses) from unconsolidated affiliates	—		—			(5,872		)	—			(5,872		)
Earnings (losses) from consolidated affiliates	235,970		112,112			13,614			(361,696		)	—
Investment income (loss)	—		1,840			12,371			(3,976		)	10,235
Intercompany interest income	—		—			—			—			—

Total revenues and other income	235,970		113,952			5,040,474			(365,672		)	5,024,724

Costs and other deductions:
Direct costs	—		—			3,310,220			—			3,310,220
General and administrative expenses	7,989		7,607			391,697			(430		)	406,863
Depreciation and amortization	—		2,706			848,822			—			851,528
Interest expense	—		148,097			(13,846		)	—			134,251
Intercompany interest expense	66		—			(66		)	—			—
Losses (gains) on sales and disposals of long-lived assets and other expense (income), net	7,504		(223		)	8,756			430			16,467

Total costs and other deductions	15,559		158,187			4,545,583			—			4,719,329

Income (loss) from continuing operations before income tax	220,411		(44,235		)	494,891			(365,672		)	305,395
Income tax expense (benefit)	—		(57,849		)	144,124			—			86,275
Subsidiary preferred stock dividend	—		—			1,984			—			1,984

Income (loss) from continuing operations, net of tax	220,411		13,614			348,783			(365,672		)	217,136
Income (loss) from discontinued operations, net of tax	—		—			4,488			—			4,488

Net income (loss)	220,411		13,614			353,271			(365,672		)	221,624
Less: Net (income) loss attributable to noncontrolling interest	—		—			(1,213		)	—			(1,213		)

Net income (loss) attributable to Nabors	$	220,411	$	13,614		$	352,058		$	(365,672	)	$	220,411

Condensed Consolidating Statements of Comprehensive Income (Loss)

	Three Months Ended September 30, 2015
							Other
	Nabors			Nabors			Subsidiaries
	(Parent/			Delaware			(Non-			Consolidating
	Guarantor)			(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Net income (loss) attributable to Nabors	$	(295,834	)	$	(78,151	)	$	(338,705	)	$	416,856		$	(295,834	)
Other comprehensive income (loss) before tax:
Translation adjustment attributable to Nabors
Unrealized gains (losses) on translation adjustment	(38,859		)	—			(38,859		)	38,859			(38,859		)
Less: reclassification adjustment for realized loss on translation adjustment	—			—			—			—			—

Translation adjustment attributable to Nabors	(38,859		)	—			(38,859		)	38,859			(38,859		)
Unrealized gains (losses) on marketable securities:
Unrealized gains (losses) on marketable securities	(8,127		)	—			(8,127		)	8,127			(8,127		)
Less: reclassification adjustment for (gains) losses on marketable securities	—			—			—			—			—

Unrealized gains (losses) on marketable securities	(8,127		)	—			(8,127		)	8,127			(8,127		)
Pension liability amortization and adjustment	276			276			552			(828		)	276
Unrealized gains (losses) and amortization of cash flow hedges	153			153			153			(306		)	153

Other comprehensive income (loss) before tax	(46,557		)	429			(46,281		)	45,852			(46,557		)
Income tax expense (benefit) related to items of other comprehensive income (loss)	162			162			264			(426		)	162

Other comprehensive income (loss), net of tax	(46,719		)	267			(46,545		)	46,278			(46,719		)

Comprehensive income (loss) attributable to Nabors	(342,553		)	(77,884		)	(385,250		)	463,134			(342,553		)
Net income (loss) attributable to noncontrolling interest	—			—			(320		)	—			(320		)
Translation adjustment to noncontrolling interest	—			—			(476		)	—			(476		)

Comprehensive income (loss) attributable to noncontrolling interest	—			—			(796		)	—			(796		)

Comprehensive income (loss)	$	(342,553	)	$	(77,884	)	$	(386,046	)	$	463,134		$	(343,349	)

Condensed Consolidating Statements of Comprehensive Income (Loss)

	Three Months Ended September 30, 2014
							Other
	Nabors			Nabors			Subsidiaries
	(Parent/			Delaware			(Non-			Consolidating
	Guarantor)			(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Net income (loss) attributable to Nabors	$	106,048		$	31,859		$	185,586		$	(217,445	)	$	106,048
Other comprehensive income (loss) before tax:
Translation adjustment attributable to Nabors	(41,713		)	(33		)	(41,707		)	41,740			(41,713		)
Unrealized gains (losses) on marketable securities:
Unrealized gains (losses) on marketable securities	(15,054		)	(87		)	(15,141		)	15,228			(15,054		)
Less: reclassification adjustment for (gains) losses on marketable securities	267			(1,889		)	(1,622		)	3,511			267

Unrealized gains (losses) on marketable securities	(14,787		)	(1,976		)	(16,763		)	18,739			(14,787		)
Pension liability amortization and adjustment	123			123			246			(369		)	123
Unrealized gains (losses) and amortization of cash flow hedges	153			153			153			(306		)	153

Other comprehensive income (loss) before tax	(56,224		)	(1,733		)	(58,071		)	59,804			(56,224		)
Income tax expense (benefit) related to items of other comprehensive income (loss)	107			107			390			(497		)	107

Other comprehensive income (loss), net of tax	(56,331		)	(1,840		)	(58,461		)	60,301			(56,331		)

Comprehensive income (loss) attributable to Nabors	49,717			30,019			127,125			(157,144		)	49,717
Net income (loss) attributable to noncontrolling interest	—			—			387			—			387
Translation adjustment to noncontrolling interest	—			—			(522		)	—			(522		)

Comprehensive income (loss) attributable to noncontrolling interest	—			—			(135		)	—			(135		)

Comprehensive income (loss)	$	49,717		$	30,019		$	126,990		$	(157,144	)	$	49,582

Condensed Consolidating Statements of Comprehensive Income (Loss)

	Nine Months Ended September 30, 2015
							Other
	Nabors			Nabors			Subsidiaries
	(Parent/			Delaware			(Non-			Consolidating
	Guarantor)			(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Net income (loss) attributable to Nabors	$	(209,021	)	$	(131,838	)	$	(222,672	)	$	354,510		$	(209,021	)
Other comprehensive income (loss) before tax:
Translation adjustment attributable to Nabors
Unrealized gains (losses) on translation adjustment	(95,125		)	51			(95,074		)	95,023			(95,125		)
Less: reclassification adjustment for realized loss on translation adjustment	5,365			—			5,365			(5,365		)	5,365

Translation adjustment attributable to Nabors	(89,760		)	51			(89,709		)	89,658			(89,760		)
Unrealized gains (losses) on marketable securities:
Unrealized gains (losses) on marketable securities	(10,127		)	—			(10,127		)	10,127			(10,127		)
Less: reclassification adjustment for (gains) losses on marketable securities	—			—			—			—			—

Unrealized gains (losses) on marketable securities	(10,127		)	—			(10,127		)	10,127			(10,127		)
Pension liability amortization and adjustment	828			828			1,656			(2,484		)	828
Unrealized gains (losses) and amortization of cash flow hedges	459			459			459			(918		)	459

Other comprehensive income (loss) before tax	(98,600		)	1,338			(97,721		)	96,383			(98,600		)
Income tax expense (benefit) related to items of other comprehensive income (loss)	485			485			791			(1,276		)	485

Other comprehensive income (loss), net of tax	(99,085		)	853			(98,512		)	97,659			(99,085		)

Comprehensive income (loss) attributable to Nabors	(308,106		)	(130,985		)	(321,184		)	452,169			(308,106		)
Net income (loss) attributable to noncontrolling interest	—			—			(453		)	—			(453		)
Translation adjustment to noncontrolling interest	—			—			(1,194		)	—			(1,194		)

Comprehensive income (loss) attributable to noncontrolling interest	—			—			(1,647		)	—			(1,647		)

Comprehensive income (loss)	$	(308,106	)	$	(130,985	)	$	(322,831	)	$	452,169		$	(309,753	)

Condensed Consolidating Statements of Comprehensive Income (Loss)

	Nine Months Ended September 30, 2014
							Other
	Nabors			Nabors			Subsidiaries
	(Parent/			Delaware			(Non-			Consolidating
	Guarantor)			(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Net income (loss) attributable to Nabors	$	220,411		$	13,614		$	352,058		$	(365,672	)	$	220,411
Other comprehensive income (loss) before tax:
Translation adjustment attributable to Nabors	(46,052		)	1,688			(46,062		)	44,374			(46,052		)
Unrealized gains (losses) on marketable securities:
Unrealized gains (losses) on marketable securities	(34,587		)	156			(34,431		)	34,275			(34,587		)
Less: reclassification adjustment for (gains) losses on marketable securities	(4,636		)	(2,395		)	(7,031		)	9,426			(4,636		)

Unrealized gains (losses) on marketable securities	(39,223		)	(2,239		)	(41,462		)	43,701			(39,223		)
Pension liability amortization and adjustment	369			369			738			(1,107		)	369
Unrealized gains (losses) and amortization of cash flow hedges	459			459			459			(918		)	459

Other comprehensive income (loss) before tax	(84,447		)	277			(86,327		)	86,050			(84,447		)
Income tax expense (benefit) related to items of other comprehensive income (loss)	(529		)	(529		)	(1,237		)	1,766			(529		)

Other comprehensive income (loss), net of tax	(83,918		)	806			(85,090		)	84,284			(83,918		)

Comprehensive income (loss) attributable to Nabors	136,493			14,420			266,968			(281,388		)	136,493
Net income (loss) attributable to noncontrolling interest	—			—			1,213			—			1,213
Translation adjustment to noncontrolling interest	—			—			(624		)	—			(624		)

Comprehensive income (loss) attributable to noncontrolling interest	—			—			589			—			589

Comprehensive income (loss)	$	136,493		$	14,420		$	267,557		$	(281,388	)	$	137,082

Condensed Consolidating Statements Cash Flows

	Nine Months Ended September 30, 2015
							Other
	Nabors			Nabors			Subsidiaries
	(Parent/			Delaware			(Non-			Consolidating
	Guarantor)			(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Net cash provided by (used for) operating activities	$	39,956		$	(188,781	)	$	782,139		$	(28,303	)	$	605,011
Cash flows from investing activities:
Purchase of investments	—			—			(8		)	—			(8		)
Sales and maturities of investments	—			—			859			—			859
Cash paid for acquisition of businesses, net	—			—			(57,909		)	—			(57,909		)
Investment in unconsolidated affiliates	—			—			(445		)	—			(445		)
Proceeds from merger transaction	5,500			646,078			(1,528		)	—			650,050
Capital expenditures	—			—			(744,047		)	—			(744,047		)
Proceeds from sales of assets and insurance claims	—			—			30,164			—			30,164
Other	—			—			1,700			—			1,700
Changes in intercompany balances	—			67,194			(67,194		)	—			—

Net cash provided by (used for) investing activities	5,500			713,272			(838,408		)	—			(119,636		)

Cash flows from financing activities:
Increase (decrease) in cash overdrafts	—			—			363			—			363
Proceeds from (payments for) issuance of common shares	1,198			—			—			—			1,198
Dividends to shareholders	(59,470		)	—			—			6,981			(52,489		)
Proceeds from short-term borrowings	—			—			2,792			—			2,792
Proceeds from (payments for) commercial paper, net	—			(162,544		)	—			—			(162,544		)
Proceeds from revolving credit facility	—			—			—			—			—
Reduction in revolving credit facility	—			(450,000		)	—			—			(450,000		)
Reduction in long term debt	—			—			—			—			—
Proceeds from term loan facility	—			300,000			—			—			300,000
Payments on term loan facility	—			(300,000		)	—			—			(300,000		)
Purchase of treasury stock	—			—			(44,978		)	—			(44,978		)
Proceeds from issuance of intercompany debt	47,000			88,058			(135,058		)	—			—
Paydown of intercompany debt	(27,000		)	—			27,000			—			—
Payments on Parent (Equity or N/P)	—			—			(21,322		)	21,322			—
Other	(7,534		)	—			—			—			(7,534		)

Net cash (used for) provided by financing activities	(45,806		)	(524,486		)	(171,203		)	28,303			(713,192		)
Effect of exchange rate changes on cash and cash equivalents	—			—			(21,966		)	—			(21,966		)

Net increase (decrease) in cash and cash equivalents	(350		)	5			(249,438		)	—			(249,783		)
Cash and cash equivalents, beginning of period	1,170			7			499,972			—			501,149

Cash and cash equivalents, end of period	$	820		$	12		$	250,534		$	—		$	251,366

Condensed Consolidating Statements Cash Flows

	Nine Months Ended September 30, 2014
							Other
	Nabors			Nabors			Subsidiaries
	(Parent/			Delaware			(Non-			Consolidating
	Guarantor)			(Issuer)			Guarantors)			Adjustments			Total
	(In thousands)
Net cash provided by (used for) operating activities	$	(7,632	)	$	(22,760	)	$	1,262,289		$	12,447		$	1,244,344
Cash flows from investing activities:
Purchase of investments	—			—			(319		)	—			(319		)
Sales and maturities of investments	—			—			23,580			—			23,580
Cash paid for acquisition of businesses, net	—			—			(10,200		)	—			(10,200		)
Investment in unconsolidated affiliates	—			—			(2,061		)	—			(2,061		)
Capital expenditures	—			—			(1,344,222		)	—			(1,344,222		)
Proceeds from sales of assets and insurance claims	—			—			129,825			—			129,825
Other	—			—			(3,931		)	—			(3,931		)
Changes in intercompany balances	—			(355,792		)	355,792			—			—

Net cash provided by (used for) investing activities	—			(355,792		)	(851,536		)	—			(1,207,328		)

Cash flows from financing activities:
Increase (decrease) in cash overdrafts	—			—			(3,867		)	—			(3,867		)
Proceeds from (payments for) issuance of common shares	30,240			—			—			—			30,240
Dividends to shareholders	(45,758		)	—			—			3,977			(41,781		)
Proceeds from (payments for) commercial paper, net	—			441,530			—			—			441,530
Proceeds from revolving credit facilities	—			—			15,000			—			15,000
Reduction in revolving credit facilities	—			(70,000		)	—			—			(70,000		)
Reduction in long term debt	—			—			(40,098		)	—			(40,098		)
Purchase of preferred stock	—			—			(70,875		)	—			(70,875		)
Purchase of treasury stock	—			—			(250,037		)	—			(250,037		)
Reduction in short-term debt	—			—			(10,000		)	—			(10,000		)
Proceeds from issuance of intercompany debt	35,000			—			(35,000		)	—			—
Paydown of intercompany debt	(19,000		)	—			19,000			—			—
Proceeds from (payments for) issuance of parent common shares to affiliates	16,424			—			—			(16,424		)	—
Other	(7,581		)	—			—			—			(7,581		)

Net cash (used for) provided by financing activities	9,325			371,530			(375,877		)	(12,447		)	(7,469		)
Effect of exchange rate changes on cash and cash equivalents	—			—			(15,009		)	—			(15,009		)

Net increase (decrease) in cash and cash equivalents	1,693			(7,022		)	19,867			—			14,538
Cash and cash equivalents, beginning of period	730			7,029			382,156			—			389,915

Cash and cash equivalents, end of period	$	2,423		$	7		$	402,023		$	—		$	404,453