Property and Equipment

6 Months Ended

Jun. 30, 2014

Property, Plant and Equipment [Abstract]

Property and Equipment

Property and Equipment

The following is a summary of property and equipment at June 30, 2014 and December 31, 2013:

	June 30, 2014			December 31, 2013
Automobiles and trucks	$	2,048		$	2,148
Building and improvements	23,058			22,828
Construction equipment	146,632			145,309
Dredges and dredging equipment	94,428			93,963
Office equipment	4,533			4,545
	270,699			268,793
Less: accumulated depreciation	(154,337		)	(144,121		)
Net book value of depreciable assets	116,362			124,672
Construction in progress	10,158			2,458
Land	36,992			14,793
	$	163,512		$	141,923

For the three months ended June 30, 2014, and 2013, depreciation expense was $5.6 million and $5.3 million, respectively, and for the sixth month period, depreciation expense was $11.2 million and $10.5 million in 2014 and 2013, respectively. Substantially all depreciation expense is included in the cost of contract revenue in the Company’s Condensed Consolidated Statements of Operations.  The assets of the Company are pledged as collateral under the Company's Credit Agreement (as defined in Note 10).

In February 2014, the Company purchased approximately 340 acres of land located in the upper Houston Ship Channel, Harris County, Texas for approximately $22 million. The site is being used as a private dredge material placement area, after certain improvements were completed in early 2014. The Company drew on the revolver portion of its credit facility to purchase the land.

The Company’s long-lived assets are substantially located in the United States.