Segments and Geographic Area Analysis

3 Months Ended

Mar. 31, 2019

10. Segments and Geographic Area Analysis

Although we provide contract drilling services with different types of offshore drilling rigs and also provide such services in many geographic locations, we have aggregated these operations into one reportable segment based on the similarity of economic characteristics due to the nature of the revenue-earning process as it relates to the offshore drilling industry over the operating lives of our drilling rigs.

Our drilling rigs are highly mobile and may be moved to other markets throughout the world in response to market conditions or customer needs. At March 31, 2019, our active drilling rigs were located offshore three countries in addition to the United States. Revenues by geographic area are presented by attributing revenues to the individual country or areas where the services were performed and, unless otherwise noted, reflect earnings attributable to our floater rigs (drillships and semisubmersibles).

The following tables provide information about disaggregated revenue by primary geographical market (in thousands):

	Three Months Ended March 31, 2019
	Total Contract Drilling Revenues		Revenues Related to Reimbursable Expenses		Total
United States	$	138,632	$	1,946	$	140,578
South America		53,284		30		53,314
Europe		24,609		1,907		26,516
Australia		10,172		2,962		13,134
Total	$	226,697	$	6,845	$	233,542

	Three Months Ended March 31, 2018
	Total Contract Drilling Revenues		Revenues Related to Reimbursable Expenses		Total
United States⁽¹⁾	$	164,439	$	2,137	$	166,576
South America		54,268		1		54,269
Europe		11,392		1,378		12,770
Australia/Asia		57,827		4,068		61,895
Total	$	287,926	$	7,584	$	295,510

(1)	Includes $4.8 million in loss-of-hire insurance proceeds received in 2018 related to early contract terminations in prior years for two jack-up rigs that previously worked in Mexico.