Business Segment Information

12 Months Ended

Dec. 31, 2012

Business Segment Information [Abstract]

Business Segment Information

Note 14 — Business Segment Information 

In 2012, our operations were conducted through the following lines of business: contracting services and oil and gas.  We have disaggregated our contracting services operations into two reportable segments which consist of Contracting Services and Production Facilities.  Our Contracting Services segment includes wellintervention, robotics and subsea construction operations (see Note 2 for disclosures regarding the planneddispositions of our subsea construction vessels and related assets).  The Production Facilities segment includes our consolidated investment in the HP I and Kommandor LLC as well as our equity investments in Deepwater Gateway and Independence Hub that are accounted for under the equity method of accounting.  All material intercompany transactions between the segments have been eliminated.  In December 2012, we announced a definitive agreement for the sale of ERT.  In February 2013, we sold ERT.  As a result, we have presented the assets and liabilities included in the sale of ERT and the historical operating results of our former Oil and Gas segment as discontinued operations in the accompanying consolidated financial statements.  See Note 3 for additional information regarding our discontinued operations.

We evaluate our performance based on operating income and income before income taxes of each segment.  Segment assets are comprised of all assets attributable to the reportable segment. Certain financial data by reportable segment are summarized as follows (in thousands):

		Year Ended December 31,
		2012		2011		2010
Revenues —
Contracting Services	$	899,793	$	738,235	$	780,339
Production Facilities		80,091		75,460		117,300
Intercompany elimination		(133,775)		(111,695)		(123,170)
Total	$	846,109	$	702,000	$	774,469
Income (loss) from operations —
Contracting Services	$	(7,702)	$	107,013	$	77,391
Production Facilities		40,082		38,404		63,863
Corporate		(92,985)		(82,470)		(71,080)
Intercompany elimination		(7,878)		93		(19,095)
Total	$	(68,483)	$	63,040	$	51,079
Net interest expense and other —
Contracting Services	$	702	$	765	$	1,299
Production Facilities		365		442		865
Corporate and eliminations		64,845		72,435		64,474
Total	$	65,912	$	73,642	$	66,638
Equity in earnings of equity investments	$	8,434	$	22,215	$	19,469

Income (loss) before income taxes —
Contracting Services	$	(8,529)	$	97,798	$	72,459
Production Facilities		48,276		58,064		86,100
Corporate and eliminations		(165,708)		(154,812)		(156,889)
Total	$	(125,961)	$	1,050	$	1,670
Income tax provision (benefit) —
Contracting Services	$	(15,707)	$	29,235	$	42,828
Production Facilities		15,784		19,233		29,049
Corporate and eliminations		(59,235)		(85,274)		(52,711)
Total	$	(59,158)	$	(36,806)	$	19,166

Identifiable assets —
Contracting Services	$	1,982,822	$	2,023,251	$	1,872,141
Production Facilities		503,531		534,776		512,990
Discontinued operations		900,227		1,024,320		1,206,889
Total	$	3,386,580	$	3,582,347	$	3,592,020
Capital expenditures —
Contracting Services	$	322,216	$	69,259	$	65,949
Production Facilities		823		30,896		56,269
Total	$	323,039	$	100,155	$	122,218

Depreciation and amortization —
Contracting Services	$	77,442	$	73,291	$	66,333
Production Facilities		16,828		14,935		9,907
Corporate and eliminations		2,931		2,962		5,638
Total	$	97,201	$	91,188	$	81,878

Intercompany segment revenues during the years ended December 31, 2012,2011and 2010are as follows (in thousands): 

		Year Ended December 31,
		2012		2011		2010
Contracting Services	$	87,718	$	65,638	$	109,012
Production Facilities		46,057		46,057		14,158
Total	$	133,775	$	111,695	$	123,170

Intercompany segment profits (losses) (which only relate to intercompany capital projects) during the years ended December 31, 2012,  2011and 2010are as follows (in thousands): 

		Year Ended December 31,
		2012		2011		2010
Contracting Services	$	8,053	$	104	$	15,655
Production Facilities		(175)		(197)		3,457
Total	$	7,878	$	(93)	$	19,112

Revenue associated with our continuing operations by individually significant country during the years ended December 31, 2012,  2011 and 2010is as follows (in thousands): 

		Year Ended December 31,
		2012		2011		2010
United States	$	281,308	$	316,869	$	402,228
United Kingdom		345,074		275,499		198,011
Other		219,727		109,632		174,230
Total	$	846,109	$	702,000	$	774,469

We include the property and equipment, net in the country in which it is legally owned.  The following table provides our property and equipment, net of accumulated depreciation, associated with our continuing operations by individually significant country (in thousands): 

		Year Ended December 31,
		2012		2011		2010
United States	$	1,180,586	$	1,163,320	$	1,162,217
United Kingdom		304,062		281,430		275,012
Other		1,227		14,919		15,613
Total	$	1,485,875	$	1,459,669	$	1,452,842