Supplemental Financial Information

6 Months Ended

Jun. 30, 2012

Supplemental Financial Information [Abstract]

Supplemental Financial Information

2. Supplemental Financial Information

Consolidated Balance Sheets Information

Accounts receivable, net of allowance for bad debts, consists of the following:

	June 30,			December 31,
	2012			2011
	(In thousands)
Trade receivables	$	520,326		$	555,451
Value added tax receivables		9,282			11,615
Interest receivable		707			2,540
Related party receivables		454			577
Other		7,003			618
		537,772			570,801
Allowance for bad debts		(5,470	)		(6,867	)
Total	$	532,302		$	563,934

During the three-month and six-month periods ended June 30, 2012, we recovered $0.4 million and $1.0 million, respectively, associated with the reserves for bad debts recorded in previous years. In addition, during the first six months of 2012, we offset $0.4 million in previously reserved trade receivables against the allowance for bad debts. During the three-month and six-month periods ended June 30, 2011, we recovered $1.7 million and $10.1 million, respectively, associated with the reserves for bad debts recorded in previous years. No additional allowances were deemed necessary for each of the three-month and six-month periods ended June 30, 2012 and 2011.

Prepaid expenses and other current assets consist of the following:

	June 30,		December 31,
	2012		2011
	(In thousands)
Rig spare parts and supplies	$	52,022	$	52,637
Deferred mobilization costs		47,895		74,659
Prepaid insurance		27,558		12,417
Deferred tax assets		6,800		6,800
Prepaid taxes		15,162		37,612
FOREX contracts		2,542		1,262
Other		8,033		7,183
Total	$	160,012	$	192,570

Accrued liabilities consist of the following:

	June 30,		December 31,
	2012		2011
	(In thousands)
Rig operating expenses	$	105,297	$	108,342
Payroll and benefits		64,276		77,055
Deferred revenue		65,259		67,894
Accrued capital project/upgrade costs		24,253		22,725
Interest payable		21,219		21,406
Construction milestone payments		—		14,600
Personal injury and other claims		11,345		10,536
Other		12,069		13,842
Total	$	303,718	$	336,400

At December 31, 2011, we had accrued $14.6 million for the first milestone payment related to the construction of the Ocean Onyx.

Consolidated Statements of Cash Flows Information

We paid interest on long-term debt totaling $41.5 million for each of the six-month periods ended June 30, 2012 and 2011. We paid $0.2 million in interest on Internal Revenue Service assessments during the six-month period ended June 30, 2012.

We made estimated U.S. federal income tax payments of $33.0 million and $49.0 million during the six-month periods ended June 30, 2012 and 2011, respectively. We paid $41.5 million and $96.5 million in foreign income taxes, net of foreign tax refunds, during the six months ended June 30, 2012 and 2011, respectively. We paid state income taxes, net of refunds, of $0.2 million during the six months ended June 30, 2012.

Cash payments for capital expenditures for the six months ended June 30, 2012 included $37.3 million that was accrued but unpaid at December 31, 2011. Capital expenditures for the six months ended June 30, 2011 included $28.9 million that was accrued but unpaid at December 31, 2010. Capital expenditures that were accrued but not paid as of June 30, 2012 totaled $24.3 million. We have included this amount in “Accrued liabilities” in our Consolidated Balance Sheets at June 30, 2012.