Note 3 — Disposition of Assets

Disposition of Assets — Asset dispositions in 2009 included the settlement of claims related to a barge that was overturned in 2005 and the sale of miscellaneous equipment that resulted in a recognized gain of $5.9 million. The single largest asset disposition item included in this category was related to the settlement in lieu of legal action in connection with the overturning of a barge rig that was being towed in advance of Hurricane Dennis in July 2005. The Company settled with various counterparties to the claim in December 2009, and received cash reimbursement, in the amount of $4.0 million, which was recorded as a gain in December 2009 as we had previously charged to earnings the remaining carrying value of the barge rig.

There were no individually significant asset dispositions in 2011 and 2010.

Provision for Reduction in Carrying Value of an Asset — In 2011 the Company recognized a charge of $1.4 million related to a final settlement of a bankruptcy proceeding. The Company and the bankruptcy trustee settled claims through this final settlement. In 2010, the Company recorded a $2.0 million charge in order to reduce the carrying value related to this same bankruptcy matter as it was deemed that the Company’s rights to mineral reserves no longer supported the outstanding receivable. In 2009, we recorded a $4.6 million charge in order to reduce the carrying value related to certain drilling rigs and equipment that were deemed to no longer be marketable upon changing market conditions and increased competition in the market for which these rigs were working.