Segment Information

9 Months Ended

Sep. 30, 2020

Segment Information

Segment Information

Note 12 Segment Information

The following table sets forth financial information with respect to our reportable operating segments:

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2020		2019		2020		2019
	(In thousands)
Operating revenues:
U.S. Drilling		$	130,243	$	307,808	$	578,928	$	951,419
Canada Drilling			10,774		12,191		39,929		48,895
International Drilling			248,392		328,278		886,580		992,439
Drilling Solutions			29,324		62,286		117,837		192,291
Rig Technologies			28,466		63,106		104,198		207,610
Other reconciling items (1)			(8,847)		(15,593)		(36,825)		(63,532)
Total		$	438,352	$	758,076	$	1,690,647	$	2,329,122

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2020		2019		2020		2019
	(In thousands)
Adjusted operating income (loss): (2)
U.S. Drilling		$	(39,162)	$	12,427	$	(69,961)	$	57,502
Canada Drilling			(3,507)		(5,701)		(9,265)		(11,297)
International Drilling			(16,872)		2,466		(20,743)		(10,055)
Drilling Solutions			(3,583)		16,145		8,699		42,793
Rig Technologies			(1,807)		(641)		(11,450)		(5,293)
Total segment adjusted operating income (loss)		$	(64,931)	$	24,696	$	(102,720)	$	73,650

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2020		2019		2020		2019
	(In thousands)
Reconciliation of segment adjusted operating income (loss) to net income (loss) from continuing operations before income taxes:
Total segment adjusted operating income (loss) (2)		$	(64,931)	$	24,696	$	(102,720)	$	73,650
Other reconciling items (3)			(27,709)		(39,219)		(86,547)		(121,480)
Earnings (losses) from unconsolidated affiliates			—		—		—		(5)
Investment income (loss)			(742)		(1,437)		(1,904)		8,709
Interest expense			(52,403)		(51,291)		(158,331)		(155,134)
Impairments and other charges			(5,017)		(3,629)		(339,303)		(106,007)
Other, net			425		(5,005)		48,330		(30,598)
Income (loss) from continuing operations before income taxes		$	(150,377)	$	(75,885)	$	(640,475)	$	(330,865)

	September 30,		December 31,
	2020		2019
	(In thousands)
Total assets:
U.S. Drilling	$	1,990,662	$	2,369,200
Canada Drilling		169,572		202,706
International Drilling		2,751,761		2,979,494
Drilling Solutions		117,200		218,004
Rig Technologies		233,315		324,523
Other reconciling items (3)		554,798		666,731
Total	$	5,817,308	$	6,760,658

(1) Represents the elimination of inter-segment transactions related to our Rig Technologies operating segment.

(2) Adjusted operating income (loss) represents income (loss) from continuing operations before income taxes, interest expense, earnings (losses) from unconsolidated affiliates, investment income (loss), impairments and other charges and other, net. Management evaluates the performance of our operating segments using adjusted operating income (loss), which is a segment performance measure, because it believes that this financial measure reflects our ongoing profitability and performance. In addition, securities analysts and investors use this measure as one of the metrics on which they analyze our performance. A reconciliation to income (loss) from continuing operations before income taxes is provided in the above table.

(3) Represents the elimination of inter-segment transactions and unallocated corporate expenses and assets.