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Other Matters
12 Months Ended
Dec. 31, 2016
Other Matters Disclosure [Abstract]  
Other Matters

NOTE 15.  OTHER MATTERS

 

In February 2016, we initiated a workforce reduction program in response to the pending sale of our Angola properties and prolonged commodity price weakness, which resulted in a reduction of our capital programs and other operations.  In 2016, we recorded a charge for severance expense of $9.9 million.  As of December 31, 2016, we had accrued severance of $0.9 million, which we expect will be paid in 2017.  

 

In September 2016, we announced that we entered into an amendment to our drilling contract with Rowan (UK) Reliance Limited and recorded a charge of $95.9 million, of which $76.3 million was paid in 2016.  This amendment provided for the early termination of our long–term drilling contract for one of their drillships.  The drilling contract was originally scheduled to terminate in February 2018, but the amendment provides for a contract termination date in March 2017.  This charge is recorded in “Loss on amendment of contract” in our consolidated statements of operations.  As of December 31, 2016, we had accrued costs of $19.6 million, which will be paid in March 2017.