VARIABLE INTEREST ENTITIES AND OTHER INVESTMENTS IN SIGNIFICANT AFFILIATES (Tables)

12 Months Ended

Mar. 31, 2019

Variable Interest Entities and Other Investments in Significant Affiliates [Abstract]

Changes in the balance for the noncontrolling interest associated with Bristow Aviation are as follows (in thousands):



	Fiscal Year Ended March 31,
	2019			2018			2017
Balance – beginning of fiscal year	$	1,358		$	1,226		$	1,410
Payments to noncontrolling interest shareholders	(54		)	(49		)	(49		)
Noncontrolling interest expense	55			50			50
Currency translation	(106		)	131			(185		)
Balance – end of fiscal year	$	1,253		$	1,358		$	1,226

Primary beneficiary variable interest financial statements

Bristow Aviation and its subsidiaries are exposed to similar operational risks and are therefore monitored and evaluated on a similar basis by management. Accordingly, the financial information reflected on our consolidated balance sheets and statements of operations for Bristow Aviation and subsidiaries is presented in the aggregate, including intercompany amounts with other consolidated entities, as follows (in thousands):



	March 31,
	2019		2018
Assets
Cash and cash equivalents	$	83,499	$	90,788
Accounts receivable	307,864		256,735
Inventories	85,977		98,314
Prepaid expenses and other current assets	36,646		38,665
Total current assets	513,986		484,502
Investment in unconsolidated affiliates	3,087		3,608
Property and equipment, net	281,944		327,440
Goodwill	18,436		19,907
Other assets	229,902		231,884
Total assets	$	1,047,355	$	1,067,341
Liabilities
Accounts payable	$	442,187	$	292,893
Accrued liabilities	113,905		140,733
Accrued interest	2,399,704		2,130,433
Current maturities of long-term debt	85,287		23,125
Total current liabilities	3,041,083		2,587,184
Long-term debt, less current maturities	384,369		479,571
Accrued pension liabilities	25,726		37,034
Other liabilities and deferred credits	4,810		7,342
Deferred taxes	37,063		26,252
Total liabilities	$	3,493,051	$	3,137,383



	Fiscal Year Ended March 31,
	2019			2018			2017
Revenue	$	1,221,344		$	1,241,223		$	1,209,019
Operating loss	(41,148		)	(65,254		)	(80,542		)
Net loss	(347,056		)	(322,752		)	(279,159		)

Redeemable noncontrolling interest

Changes in the balance for the redeemable noncontrolling interest related to Eastern Airways are as follows (in thousands):



Balance as of March 31, 2016	$	15,473
Noncontrolling interest expense	(6,848		)
Currency translation	(1,739		)
Balance as of March 31, 2017	6,886
Noncontrolling interest expense	(4,093		)
Currency translation	4,163
Acquisition of remaining 40% of Eastern Airways	(6,121		)
Reclassification to noncontrolling interest	(835		)
Balance as of March 31, 2018	$	—

Schedule of unconsolidated affiliates

Our percentage of economic ownership and investment balances for the unconsolidated affiliates are as follows:



	March 31,
	2019		2018		2019		2018

					(In thousands)
Cost Method:
PAS	25	%	25	%	$	6,286	$	6,286
Equity Method:
Cougar ⁽¹⁾	40	%	40	%	58,047		59,366
Líder ⁽¹⁾	41.9	%	41.9	%	50,784		62,267
Other					3,086		3,608
Total					$	118,203	$	131,527

_______________


⁽¹⁾	We had a 25% voting interest in Cougar and an approximate 20% voting interest in Líder as of March 31, 2019 and 2018.

Earnings from unconsolidated affiliates were as follows (in thousands):



	Fiscal Year Ended March 31,
	2019			2018			2017
Dividends from entities accounted for under the cost method:
PAS	$	2,518		$	2,518		$	2,068
Earnings, net of losses, from entities accounted for under the equity method:
Cougar	4,100			9,084			10,537
Líder	(2,059		)	7,179			8,064
Other	(242		)	(82		)	(330		)
	1,799			16,181			18,271
Total	$	4,317		$	18,699		$	20,339

Schedule of combined financial information for equity method investments

A summary of combined financial information of our unconsolidated affiliates accounted for under the equity method is set forth below (in thousands):



	March 31,
	2019		2018

	(Unaudited)
Current assets	$	152,438	$	221,169
Non-current assets	274,401		293,409
Total assets	$	426,839	$	514,578

Current liabilities	$	106,658	$	131,664
Non-current liabilities	160,082		188,822
Equity	160,099		194,092
Total liabilities and equity	$	426,839	$	514,578



	Fiscal Year Ended March 31,
	2019			2018		2017

	(Unaudited)
Revenue	$	254,617		$	298,731	$	327,351
Gross profit	$	47,894		$	46,717	$	50,371
Net income	$	(7,115	)	$	13,285	$	14,581

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details