| Debtor in Possession Financial Statements |
Following are the consolidated financial statements of the entities included in the Chapter 11 Cases: PARKER DRILLING COMPANY (DEBTOR IN POSSESSION)
CONSOLIDATED BALANCE SHEET
(Dollars in Thousands)
(Unaudited)
|
|
|
|
|
|
December 31, |
|
2018 |
ASSETS |
Current assets: |
|
Cash and cash equivalents |
$ |
15,226 |
|
Restricted cash |
10,389 |
|
Accounts and Notes Receivable, net of allowance for bad debts of $808 at December 31, 2018 (1)
|
223,296 |
|
Rig materials and supplies |
1,650 |
|
Deferred costs |
975 |
|
Other tax assets |
183,356 |
|
Other current assets |
18,329 |
|
Total current assets |
453,221 |
|
Property, plant and equipment, net of accumulated depreciation of $526,166 at December 31, 2018 |
369,510 |
|
Intangible assets, net |
4,821 |
|
Rig materials and supplies |
7,036 |
|
Deferred income taxes |
23,576 |
|
Intra-group advances |
549,460 |
|
Investment in subsidiaries |
893,550 |
|
Other non-current assets |
1,452 |
|
Total assets |
$ |
2,302,626 |
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
Current Liabilities: |
|
Debtor in possession financing |
$ |
10,000 |
|
Accounts payable (2)
|
286,840 |
|
Accrued liabilities |
28,184 |
|
Accrued income taxes |
204,518 |
|
Total current liabilities |
529,542 |
|
Other long-term liabilities (3)
|
728,218 |
|
Long-term deferred tax liability |
36,463 |
|
Total liabilities not subject to compromise |
1,294,223 |
|
Liabilities subject to compromise |
600,996 |
|
Total stockholders’ equity |
407,407 |
|
Total liabilities and stockholders’ equity |
$ |
2,302,626 |
|
|
|
(1) |
Includes intra-group receivables in the amount of $174.7 million.
|
|
|
(2) |
Includes intra-group payables in the amount of $213.2 million.
|
|
|
(3) |
Includes intra-group liabilities in the amount of $314.6 million.
|
PARKER DRILLING COMPANY (DEBTOR IN POSSESSION)
CONSOLIDATED STATEMENT OF OPERATIONS
(Dollars in Thousands)
(Unaudited)
|
|
|
|
|
|
Year Ended
December 31,
2018
|
Revenues |
$ |
203,585 |
|
Expenses: |
|
Operating expenses |
115,269 |
|
Depreciation and amortization |
76,353 |
|
|
191,622 |
|
Total operating gross margin (loss) |
11,963 |
|
General and administrative expense |
(23,539 |
) |
Loss on impairment |
(40,917 |
) |
Gain (loss) on disposition of assets, net |
(1,347 |
) |
Pre-petition restructuring charges |
(21,820 |
) |
Reorganization items |
(9,789 |
) |
Total operating income (loss) |
(85,449 |
) |
Other income (expense): |
|
Interest expense |
(45,488 |
) |
Interest income |
1,152 |
|
Other |
6 |
|
Equity in net earnings of subsidiaries |
(33,040 |
) |
Total other income (expense) |
(77,370 |
) |
Income (loss) before income taxes |
(162,819 |
) |
Income tax expense (benefit): |
|
|
Current tax expense |
1,517 |
|
Deferred tax expense (benefit) |
1,361 |
|
Total income tax expense (benefit) |
2,878 |
|
Net income (loss) |
(165,697 |
) |
Less: Convertible preferred stock dividend |
2,719 |
|
Net income (loss) attributable to debtor entities |
$ |
(168,416 |
) |
PARKER DRILLING COMPANY (DEBTOR IN POSSESSION)
CONSOLIDATED STATEMENT OF CASH FLOWS
(Dollars in Thousands)
(Unaudited)
|
|
|
|
|
|
Year Ended December 31, |
|
2018 |
Cash flows from operating activities: |
|
Net income (loss) |
$ |
(165,697 |
) |
Adjustments to reconcile net income (loss): |
|
Depreciation and amortization |
76,353 |
|
Gain (loss) on disposition of assets, net |
1,347 |
|
Deferred tax expense (benefit) |
1,361 |
|
Loss on impairment |
40,917 |
|
Reorganization items |
7,538 |
|
Expenses not requiring cash |
4,224 |
|
Equity in net earnings of subsidiaries |
33,040 |
|
Change in assets and liabilities: |
|
|
Accounts and notes receivable |
(2,189 |
) |
Rig materials and supplies |
(4,454 |
) |
Other current assets |
(41,564 |
) |
Other non-current assets |
2,586 |
|
Accounts payable and accrued liabilities |
(559 |
) |
Accrued income taxes |
29,818 |
|
Net cash provided by (used in) operating activities |
(17,279 |
) |
Cash flows from investing activities: |
|
|
Capital expenditures |
(56,897 |
) |
Proceeds from the sale of assets |
87 |
|
Net cash provided by (used in) investing activities |
(56,810 |
) |
Cash flows from financing activities: |
|
|
Proceeds from borrowing under DIP facility |
10,000 |
|
Payment of DIP facility costs |
(975 |
) |
Convertible preferred stock dividend |
(3,625 |
) |
Payments of debt issuance costs |
(1,443 |
) |
Shares surrendered in lieu of tax |
(251 |
) |
Net cash provided by (used in) financing activities |
3,706 |
|
Net increase (decrease) in cash and cash equivalents |
(70,383 |
) |
Cash, cash equivalents and restricted cash at beginning of period |
95,998 |
|
Cash, cash equivalents and restricted cash at end of period |
$ |
25,615 |
|
|