Consolidated Joint Ventures

12 Months Ended

Dec. 31, 2015

Noncontrolling Interest [Abstract]

Consolidated Joint Ventures

Note 4 - Consolidated Joint Ventures

We maintain a 50 percent interest in two joint ventures, each with a subsidiary of Royal Dutch Shell plc (“Shell”), that own and operate the twoBully-class drillships. We have determined that we are the primary beneficiary of the joint ventures. Accordingly, we consolidate the entities in our consolidated financial statements after eliminating intercompany transactions. Shell’s equity interests are presented as noncontrolling interests on our Consolidated Balance Sheets.

During the years ended December 31, 2015, 2014 and 2013, the Bully joint ventures approved and paid dividends totaling $143 million, $160 million and $211 million, respectively. Of these amounts, approximately $72 million, $80 million and $105 million, respectively, were paid to our joint venture partner.

The combined carrying amount of theBully-class drillships at both December 31, 2015 and 2014 totaled $1.4 billion. These assets were primarily funded through partner equity contributions. Cash held by the Bully joint ventures totaled approximately $50 million at December 31, 2015 as compared to approximately $47 million at December 31, 2014. Operating revenues were $334 million, $372 million and $355 million in 2015, 2014 and 2013, respectively. Net income totaled $154 million, $157 million and $145 million in 2015, 2014 and 2013, respectively.