Segment Information

9 Months Ended

Sep. 30, 2014

Segment Reporting [Abstract]

Segment Information

Segment Information

We have two reportable operating segments, which are (1) oil and gas exploration and production and (2) contract drilling services.

The following tables present selected financial information regarding our operating segments for the three and nine months ended September 30, 2014 and 2013:

For the Three Months Ended
September 30, 2014
(Unaudited)				Contract			Intercompany			Consolidated
(In thousands)	Oil and Gas			Drilling			Eliminations			Total
Revenues	$	112,571		$	16,155		$	(9,443	)	$	119,283
Depreciation, depletion and amortization (a)	34,758			3,416			(1,137		)	37,037
Other operating expenses (b)	31,982			10,867			(6,168		)	36,681
Interest expense	12,609			—			—			12,609
Other (income) expense	(10,035		)	—			—			(10,035		)
Income (loss) before income taxes	43,257			1,872			(2,138		)	42,991
Income tax (expense) benefit	(14,907		)	(655		)	—			(15,562		)
Net income (loss)	$	28,350		$	1,217		$	(2,138	)	$	27,429
Total assets	$	1,420,998		$	66,555		$	(37,007	)	$	1,450,546
Additions to property and equipment	$	112,135		$	7,315		$	(2,138	)	$	117,312

For the Nine Months Ended
September 30, 2014
(Unaudited)				Contract			Intercompany			Consolidated
(In thousands)	Oil and Gas			Drilling			Eliminations			Total
Revenues	$	351,694		$	44,817		$	(22,728	)	$	373,783
Depreciation, depletion and amortization (a)	108,473			10,004			(2,829		)	115,648
Other operating expenses (b)	128,032			31,795			(16,575		)	143,252
Interest expense	37,975			—			—			37,975
Other (income) expense	1,441			—			—			1,441
Income (loss) before income taxes	75,773			3,018			(3,324		)	75,467
Income tax (expense) benefit	(26,263		)	(1,056		)	—			(27,319		)
Net income (loss)	$	49,510		$	1,962		$	(3,324	)	$	48,148
Total assets	$	1,420,998		$	66,555		$	(37,007	)	$	1,450,546
Additions to property and equipment	$	289,914		$	20,181		$	(3,324	)	$	306,771

For the Three Months Ended
September 30, 2013
(Unaudited)				Contract			Intercompany			Consolidated
(In thousands)	Oil and Gas			Drilling			Eliminations			Total
Revenues	$	107,121		$	9,021		$	(4,977	)	$	111,165
Depreciation, depletion and amortization (a)	32,941			3,340			(644		)	35,637
Other operating expenses (b)	38,289			7,144			(3,823		)	41,610
Interest expense	9,262			—			—			9,262
Other (income) expense	7,804			—			—			7,804
Income (loss) before income taxes	18,825			(1,463		)	(510		)	16,852
Income tax (expense) benefit	(6,414		)	513			—			(5,901		)
Net income (loss)	$	12,411		$	(950	)	$	(510	)	$	10,951
Total assets	$	1,352,645		$	54,524		$	(27,459	)	$	1,379,710
Additions to property and equipment	$	64,775		$	1,494		$	(510	)	$	65,759

For the Nine Months Ended
September 30, 2013
(Unaudited)				Contract			Intercompany			Consolidated
(In thousands)	Oil and Gas			Drilling			Eliminations			Total
Revenues	$	304,052		$	26,660		$	(13,764	)	$	316,948
Depreciation, depletion and amortization (a)	190,813			10,728			(1,867		)	199,674
Other operating expenses (b)	116,319			24,705			(11,788		)	129,236
Interest expense	30,106			—			—			30,106
Other (income) expense	7,912			—			—			7,912
Income (loss) before income taxes	(41,098		)	(8,773		)	(109		)	(49,980		)
Income tax (expense) benefit	15,622			3,071			—			18,693
Net income (loss)	$	(25,476	)	$	(5,702	)	$	(109	)	$	(31,287	)
Total assets	$	1,352,645		$	54,524		$	(27,459	)	$	1,379,710
Additions to property and equipment	$	200,949		$	3,097		$	(109	)	$	203,937

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(a) Includes impairment of property and equipment.

(b) Includes the following expenses: production, exploration, midstream services, drilling rig services, accretion of asset retirement obligations, general and administrative and other operating expenses.