Quarterly report pursuant to Section 13 or 15(d)

Parent, Guarantor, Non-Guarantor Unaudited Consolidating Condensed Financial Statements

v3.5.0.2
Parent, Guarantor, Non-Guarantor Unaudited Consolidating Condensed Financial Statements
9 Months Ended
Sep. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Parent, Guarantor, Non-Guarantor Unaudited Consolidating Condensed Financial Statements
Parent, Guarantor, Non-Guarantor Unaudited Consolidating Condensed Financial Statements
Set forth on the following pages are the consolidating condensed financial statements of Parker Drilling. The 2015 Secured Credit Agreement and Senior Notes are fully and unconditionally guaranteed by substantially all of our direct and indirect domestic subsidiaries, other than immaterial subsidiaries and subsidiaries generating revenues primarily outside the United States, subject to the following customary release provisions:
in connection with any sale or other disposition of all or substantially all of the assets of that guarantor (including by way of merger or consolidation) to a person that is not (either before or after giving effect to such transaction) a subsidiary of the Company;
in connection with any sale of such amount of capital stock as would result in such guarantor no longer being a subsidiary to a person that is not (either before or after giving effect to such transaction) a subsidiary of the Company;
if the Company designates any restricted subsidiary that is a guarantor as an unrestricted subsidiary;
if the guarantee by a guarantor of all other indebtedness of the Company or any other guarantor is released, terminated or discharged, except by, or as a result of, payment under such guarantee; or
upon legal defeasance or covenant defeasance (satisfaction and discharge of the indenture).
There are currently no restrictions on the ability of the restricted subsidiaries to transfer funds to Parker Drilling in the form of cash dividends, loans or advances. Parker Drilling is a holding company with no operations, other than through its subsidiaries. Separate financial statements for each guarantor company are not provided as the Company complies with Rule 3-10(f) of Regulation S-X. All guarantor subsidiaries are owned 100 percent by the parent company.
We are providing unaudited consolidating condensed financial information of the parent, Parker Drilling, the guarantor subsidiaries, and the non-guarantor subsidiaries as of September 30, 2016 and December 31, 2015 and for the three and nine months ended September 30, 2016 and 2015, respectively. The consolidating condensed financial statements present investments in both consolidated and unconsolidated subsidiaries using the equity method of accounting.
Upon the closing of our 2015 Secured Credit Agreement, one of our subsidiaries was released as a guarantor subsidiary and is now classified as a non-guarantor subsidiary. In accordance with the guidance of FASB Accounting Standards Codification Topic No. 810, Consolidation (ASC 810), we have retrospectively updated the unaudited consolidating condensed financial information as of December 31, 2015 and September 30, 2015.
PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED BALANCE SHEET
(Dollars in Thousands)
(Unaudited)
 
 
September 30, 2016
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
ASSETS
Current assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
54,042

 
$
13,684

 
$
35,887

 
$

 
$
103,613

Accounts and notes receivable, net

 
15,637

 
114,979

 

 
130,616

Rig materials and supplies

 
(6,210
)
 
38,891

 

 
32,681

Other current assets

 
7,142

 
15,372

 

 
22,514

Total current assets
54,042

 
30,253

 
205,129

 

 
289,424

Property, plant and equipment, net
(19
)
 
483,513

 
234,760

 

 
718,254

Goodwill

 
6,708

 

 

 
6,708

Intangible assets, net

 
10,010

 
650

 

 
10,660

Investment in subsidiaries and intercompany advances
3,016,378

 
2,917,336

 
3,605,766

 
(9,539,480
)
 

Other noncurrent assets
(137,690
)
 
191,518

 
551,820

 
(480,812
)
 
124,836

Total assets
$
2,932,711

 
$
3,639,338

 
$
4,598,125

 
$
(10,020,292
)
 
$
1,149,882

 
 
 
 
 
 
 
 
 
 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable and accrued liabilities
$
103,855

 
$
33,848

 
$
565,881

 
$
(617,477
)
 
$
86,107

Accrued income taxes
43,043

 
(24,909
)
 
(10,948
)
 

 
7,186

Total current liabilities
146,898

 
8,939

 
554,933

 
(617,477
)
 
93,293

Long-term debt, net
575,935

 

 

 

 
575,935

Other long-term liabilities
2,867

 
8,418

 
4,876

 

 
16,161

Deferred tax liability
(29
)
 
80,545

 
(1,623
)
 

 
78,893

Intercompany payables
1,818,320

 
1,425,349

 
2,112,278

 
(5,355,947
)
 

Total liabilities
2,543,991

 
1,523,251

 
2,670,464

 
(5,973,424
)
 
764,282

Total equity
388,720

 
2,116,087

 
1,927,661

 
(4,046,868
)
 
385,600

Total liabilities and stockholders’ equity
$
2,932,711

 
$
3,639,338

 
$
4,598,125

 
$
(10,020,292
)
 
$
1,149,882



PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED BALANCE SHEET
(Dollars in Thousands)
(Unaudited)
 
 
December 31, 2015
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
ASSETS
Current assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
73,985

 
$
13,854

 
$
46,455

 
$

 
$
134,294

Accounts and notes receivable, net

 
42,261

 
132,844

 

 
175,105

Rig materials and supplies

 
(4,744
)
 
39,681

 

 
34,937

Other current assets

 
5,982

 
16,423

 

 
22,405

Total current assets
73,985

 
57,353

 
235,403

 

 
366,741

Property, plant and equipment, net
(19
)
 
543,346

 
262,514

 

 
805,841

Goodwill

 
6,708

 

 

 
6,708

Intangible assets, net

 
11,740

 
1,637

 

 
13,377

Investment in subsidiaries and intercompany advances
3,057,220

 
2,770,501

 
3,319,702

 
(9,147,423
)
 

Other noncurrent assets
(234,786
)
 
312,790

 
265,995

 
(169,964
)
 
174,035

Total assets
$
2,896,400

 
$
3,702,438

 
$
4,085,251

 
$
(9,317,387
)
 
$
1,366,702

LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable and accrued liabilities
$
84,456

 
$
56,382

 
$
295,439

 
$
(306,574
)
 
$
129,703

Accrued income taxes
9,900

 
2,111

 
(5,593
)
 

 
6,418

Total current liabilities
94,356

 
58,493

 
289,846

 
(306,574
)
 
136,121

Long-term debt, net
574,798

 

 

 

 
574,798

Other long-term liabilities
2,868

 
7,446

 
8,303

 

 
18,617

Deferred tax liability

(29
)
 
69,679

 
(996
)
 

 
68,654

Intercompany payables
1,656,968

 
1,401,510

 
1,864,671

 
(4,923,149
)
 

Total liabilities
2,328,961

 
1,537,128

 
2,161,824

 
(5,229,723
)
 
798,190

Total equity
567,439

 
2,165,310

 
1,923,427

 
(4,087,664
)
 
568,512

Total liabilities and stockholders’ equity
$
2,896,400

 
$
3,702,438

 
$
4,085,251

 
$
(9,317,387
)
 
$
1,366,702

PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED STATEMENT OF OPERATIONS
(Dollars in Thousands)
(Unaudited)

 
Three Months Ended September 30, 2016
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Total revenues
$

 
$
25,399

 
$
96,663

 
$
(24,873
)
 
$
97,189

Operating expenses

 
25,505

 
84,048

 
(24,873
)
 
84,680

Depreciation and amortization

 
22,300

 
12,174

 

 
34,474

Total operating gross margin (loss)

 
(22,406
)
 
441

 

 
(21,965
)
General and administration expense (1)
(92
)
 
(2,759
)
 
(4,573
)
 

 
(7,424
)
Provision for reduction in carrying value of certain assets

 

 

 

 

Gain (loss) on disposition of assets, net

 
(12
)
 
(175
)
 

 
(187
)
Total operating income (loss)
(92
)
 
(25,177
)
 
(4,307
)
 

 
(29,576
)
Other income (expense):
 
 
 
 
 
 
 
 
 
Interest expense
(11,700
)
 
(56
)
 
504

 
237

 
(11,015
)
Interest income
189

 
157

 
(100
)
 
(237
)
 
9

Other

 
15

 
(366
)
 

 
(351
)
Equity in net earnings of subsidiaries
(24,887
)
 

 

 
24,887

 

Total other income (expense)
(36,398
)
 
116

 
38

 
24,887

 
(11,357
)
Income (loss) before income taxes
(36,490
)
 
(25,061
)
 
(4,269
)
 
24,887

 
(40,933
)
Total income tax expense (benefit)
9,738

 
(6,652
)
 
2,209

 

 
5,295

Net income (loss) attributable to controlling interest
$
(46,228
)
 
$
(18,409
)
 
$
(6,478
)
 
$
24,887

 
$
(46,228
)

(1) General and administration expenses for field operations are included in operating expenses.

PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED STATEMENT OF OPERATIONS
(Dollars in Thousands)
(Unaudited)
 
Three Months Ended September 30, 2015
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Total revenues
$

 
$
59,252

 
$
138,564

 
$
(24,398
)
 
$
173,418

Operating expenses

 
32,457

 
120,904

 
(24,398
)
 
128,963

Depreciation and amortization

 
24,002

 
15,582

 

 
39,584

Total operating gross margin (loss)

 
2,793

 
2,078

 

 
4,871

General and administration expense (1)
(148
)
 
(8,857
)
 
110

 

 
(8,895
)
Provision for reduction in carrying value of certain assets

 
(920
)
 
14

 

 
(906
)
Gain (loss) on disposition of assets, net

 
407

 
(24
)
 

 
383

Total operating income (loss)
(148
)
 
(6,577
)
 
2,178

 

 
(4,547
)
Other income (expense):
 
 
 
 
 
 
 
 
 
Interest expense
(11,020
)
 
(268
)
 
(2,618
)
 
2,613

 
(11,293
)
Interest income
173

 
(18
)
 
2,465

 
(2,613
)
 
7

Other

 
(102
)
 
(617
)
 

 
(719
)
Equity in net earnings of subsidiaries
(29,913
)
 

 

 
29,913

 

Total other income (expense)
(40,760
)
 
(388
)
 
(770
)
 
29,913

 
(12,005
)
Income (loss) before income taxes
(40,908
)
 
(6,965
)
 
1,408

 
29,913

 
(16,552
)
Income tax expense (benefit)
7,712

 
(2,846
)
 
27,064

 

 
31,930

Net income (loss)
(48,620
)
 
(4,119
)
 
(25,656
)
 
29,913

 
(48,482
)
Less: Net income (loss) attributable to noncontrolling interest

 

 
138

 

 
138

Net income (loss) attributable to controlling interest
$
(48,620
)
 
$
(4,119
)
 
$
(25,794
)
 
$
29,913

 
$
(48,620
)

(1) General and administration expenses for field operations are included in operating expenses.

























PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED STATEMENT OF OPERATIONS
(Dollars in Thousands)
(Unaudited)

 
Nine Months Ended September 30, 2016
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Total revenues
$

 
$
107,368

 
$
292,034

 
$
(66,423
)
 
$
332,979

Operating expenses

 
83,917

 
264,498

 
(66,423
)
 
281,992

Depreciation and amortization

 
68,739

 
37,866

 

 
106,605

Total operating gross margin (loss)

 
(45,288
)
 
(10,330
)
 

 
(55,618
)
General and administration expense (1)
(291
)
 
(20,199
)
 
(4,710
)
 

 
(25,200
)
Gain (loss) on disposition of assets, net

 
141

 
(390
)
 

 
(249
)
Total operating income (loss)
(291
)
 
(65,346
)
 
(15,430
)
 

 
(81,067
)
Other income (expense):
 
 
 
 
 
 
 
 
 
Interest expense
(36,452
)
 
(537
)
 
(4,646
)
 
6,871

 
(34,764
)
Interest income
584

 
515

 
5,820

 
(6,871
)
 
48

Other

 
488

 
1,288

 

 
1,776

Equity in net earnings of subsidiaries
(65,679
)
 

 

 
65,679

 

Total other income (expense)
(101,547
)
 
466

 
2,462

 
65,679

 
(32,940
)
Income (loss) before income taxes
(101,838
)
 
(64,880
)
 
(12,968
)
 
65,679

 
(114,007
)
Total income tax expense (benefit)
80,047

 
(15,656
)
 
3,487

 

 
67,878

Net income (loss) attributable to controlling interest
$
(181,885
)
 
$
(49,224
)
 
$
(16,455
)
 
$
65,679

 
$
(181,885
)

(1) General and administration expenses for field operations are included in operating expenses.

























PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED STATEMENT OF OPERATIONS
(Dollars in Thousands)
(Unaudited)

 
Nine Months Ended September 30, 2015
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Total revenues
$

 
$
201,924

 
$
452,197

 
$
(90,686
)
 
$
563,435

Operating expenses

 
112,229

 
390,259

 
(90,686
)
 
411,802

Depreciation and amortization

 
71,270

 
47,204

 

 
118,474

Total operating gross margin (loss)

 
18,425

 
14,734

 

 
33,159

General and administration expense (1)
(1,152
)
 
(31,896
)
 
3,805

 

 
(29,243
)
Provision for reduction in carrying value of certain assets

 
(920
)
 
(2,302
)
 

 
(3,222
)
Gain on disposition of assets, net

 
452

 
2,234

 

 
2,686

Total operating income (loss)
(1,152
)
 
(13,939
)
 
18,471

 

 
3,380

Other income (expense):
 
 
 
 
 
 
 
 
 
Interest expense
(33,145
)
 
(608
)
 
(5,956
)
 
5,942

 
(33,767
)
Interest income
756

 
(12
)
 
5,407

 
(5,942
)
 
209

Other

 
(81
)
 
(3,547
)
 

 
(3,628
)
Equity in net earnings of subsidiaries
(29,316
)
 

 

 
29,316

 

Total other income (expense)
(61,705
)
 
(701
)
 
(4,096
)
 
29,316

 
(37,186
)
Income (loss) before income taxes
(62,857
)
 
(14,640
)
 
14,375

 
29,316

 
(33,806
)
Total income tax expense (benefit)
(3,430
)
 
(5,656
)
 
33,918

 

 
24,832

Net income (loss)
(59,427
)
 
(8,984
)
 
(19,543
)
 
29,316

 
(58,638
)
Less: Net income (loss) attributable to noncontrolling interest

 

 
789

 

 
789

Net income (loss) attributable to controlling interest
$
(59,427
)
 
$
(8,984
)
 
$
(20,332
)
 
$
29,316

 
$
(59,427
)

(1) General and administration expenses for field operations are included in operating expenses.
PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED STATEMENT OF COMPREHENSIVE INCOME (LOSS)
(Dollars in Thousands)
(Unaudited)

 
Three Months Ended September 30, 2016
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Comprehensive income (loss):
 
 
 
 
 
 
 
 
 
Net income (loss)
$
(46,228
)
 
$
(18,409
)
 
$
(6,478
)
 
$
24,887

 
$
(46,228
)
Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
Currency translation difference on related borrowings

 

 
116

 

 
116

Currency translation difference on foreign currency net investments

 

 
(740
)
 

 
(740
)
Total other comprehensive income (loss), net of tax:

 

 
(624
)
 

 
(624
)
Comprehensive income (loss) attributable to controlling interest
$
(46,228
)
 
$
(18,409
)
 
$
(7,102
)
 
$
24,887

 
$
(46,852
)



PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED STATEMENT OF COMPREHENSIVE INCOME (LOSS)
(Dollars in Thousands)
(Unaudited)

 
Three Months Ended September 30, 2015
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Comprehensive income (loss):
 
 
 
 
 
 
 
 
 
Net income (loss)
$
(48,620
)
 
$
(4,119
)
 
$
(25,656
)
 
$
29,913

 
$
(48,482
)
Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
Currency translation difference on related borrowings

 

 
(1,285
)
 

 
(1,285
)
Currency translation difference on foreign currency net investments

 

 
588

 

 
588

Total other comprehensive income (loss), net of tax:

 

 
(697
)
 

 
(697
)
Comprehensive income (loss)
(48,620
)
 
(4,119
)
 
(26,353
)
 
29,913

 
(49,179
)
Comprehensive income (loss) attributable to noncontrolling interest

 

 
(82
)
 

 
(82
)
Comprehensive income (loss) attributable to controlling interest
$
(48,620
)
 
$
(4,119
)
 
$
(26,435
)
 
$
29,913

 
$
(49,261
)










PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED STATEMENT OF COMPREHENSIVE INCOME (LOSS)
(Dollars in Thousands)
(Unaudited)

 
Nine Months Ended September 30, 2016
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Comprehensive income (loss):
 
 
 
 
 
 
 
 
 
Net income (loss)
$
(181,885
)
 
$
(49,224
)
 
$
(16,455
)
 
$
65,679

 
$
(181,885
)
Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
Currency translation difference on related borrowings

 

 
311

 

 
311

Currency translation difference on foreign currency net investments

 

 
(4,506
)
 

 
(4,506
)
Total other comprehensive income (loss), net of tax:

 

 
(4,195
)
 

 
(4,195
)
Comprehensive income (loss) attributable to controlling interest
$
(181,885
)
 
$
(49,224
)
 
$
(20,650
)
 
$
65,679

 
$
(186,080
)



PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATING CONDENSED STATEMENT OF COMPREHENSIVE INCOME (LOSS)
(Dollars in Thousands)
(Unaudited)

 
Nine Months Ended September 30, 2015
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Comprehensive income (loss):
 
 
 
 
 
 
 
 
 
Net income (loss)
$
(59,427
)
 
$
(8,984
)
 
$
(19,543
)
 
$
29,316

 
$
(58,638
)
Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
Currency translation difference on related borrowings

 

 
(2,308
)
 

 
(2,308
)
Currency translation difference on foreign currency net investments

 

 
1,462

 

 
1,462

Total other comprehensive income (loss), net of tax:

 

 
(846
)
 

 
(846
)
Comprehensive income (loss)
(59,427
)
 
(8,984
)
 
(20,389
)
 
29,316

 
(59,484
)
Comprehensive income (loss) attributable to noncontrolling interest

 

 
(571
)
 

 
(571
)
Comprehensive income (loss) attributable to controlling interest
$
(59,427
)
 
$
(8,984
)
 
$
(20,960
)
 
$
29,316

 
$
(60,055
)
PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(Dollars in Thousands)
(Unaudited)
 
 
Nine Months Ended September 30, 2016
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
Net income (loss)
$
(181,885
)
 
$
(49,224
)
 
$
(16,455
)
 
$
65,679

 
$
(181,885
)
Adjustments to reconcile net income (loss):
 
 
 
 
 
 
 
 
 
Depreciation and amortization

 
68,739

 
37,866

 

 
106,605

Accretion of contingent consideration

 
419

 

 

 
419

(Gain) loss on debt modification
1,088

 

 

 

 
1,088

(Gain) loss on disposition of assets

 
(141
)
 
390

 

 
249

Deferred income tax expense (benefit)
46,773

 
12,693

 
1,733

 

 
61,199

Expenses not requiring cash
4,155

 
(505
)
 
(7,681
)
 

 
(4,031
)
Equity in net earnings of subsidiaries
65,679

 

 

 
(65,679
)
 

Change in assets and liabilities:
 
 
 
 
 
 
 
 
 
Accounts and notes receivable

 
26,956

 
17,843

 

 
44,799

Other assets
(113,372
)
 
119,703

 
(3,049
)
 

 
3,282

Accounts payable and accrued liabilities
(7,079
)
 
(16,486
)
 
(7,025
)
 

 
(30,590
)
Accrued income taxes
33,313

 
(27,191
)
 
(8,114
)
 

 
(1,992
)
Net cash provided by (used in) operating activities
(151,328
)
 
134,963

 
15,508

 

 
(857
)
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
Capital expenditures

 
(10,121
)
 
(10,873
)
 

 
(20,994
)
Proceeds from the sale of assets

 
435

 
1,861

 

 
2,296

Net cash provided by (used in) investing activities

 
(9,686
)
 
(9,012
)
 

 
(18,698
)
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
Payment for noncontrolling interest
(3,375
)
 

 

 

 
(3,375
)
Payment of contingent consideration

 
(6,000
)
 

 

 
(6,000
)
Excess tax benefit from stock-based compensation
(1,751
)
 

 

 

 
(1,751
)
Intercompany advances, net
136,511

 
(119,447
)
 
(17,064
)
 

 

Net cash provided by (used in) financing activities
131,385

 
(125,447
)
 
(17,064
)
 

 
(11,126
)
 
 
 
 
 
 
 
 
 
 
Net change in cash and cash equivalents
(19,943
)
 
(170
)
 
(10,568
)
 

 
(30,681
)
Cash and cash equivalents at beginning of year
73,985

 
13,854

 
46,455

 

 
134,294

Cash and cash equivalents at end of year
$
54,042

 
$
13,684

 
$
35,887

 
$

 
$
103,613





PARKER DRILLING COMPANY AND SUBSIDIARIES
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(Dollars in Thousands)
(Unaudited)
 
Nine Months Ended September 30, 2015
 
Parent
 
Guarantor
 
Non-Guarantor
 
Eliminations
 
Consolidated
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
Net income (loss)
$
(59,427
)
 
$
(8,984
)
 
$
(19,543
)
 
$
29,316

 
$
(58,638
)
Adjustments to reconcile net income (loss)
 
 
 
 
 
 
 
 
 
Depreciation and amortization

 
71,270

 
47,204

 

 
118,474

Accretion of contingent consideration

 

 
547

 

 
547

Provision for reduction in carrying value of certain assets

 
920

 
2,302

 

 
3,222

(Gain) loss on disposition of assets

 
(452
)
 
(2,234
)
 

 
(2,686
)
Deferred income tax expense (benefit)
(24,184
)
 
10,032

 
24,411

 

 
10,259

Expenses not requiring cash
6,498

 
2,677

 
(1,146
)
 

 
8,029

Equity in net earnings of subsidiaries
29,316

 

 

 
(29,316
)
 

Change in assets and liabilities:
 
 
 
 
 
 
 
 
 
Accounts and notes receivable
(33
)
 
36,694

 
14,593

 

 
51,254

Other assets
(121,465
)
 
110,017

 
12,934

 

 
1,486

Accounts payable and accrued liabilities
(10,480
)
 
(168
)
 
(5,142
)
 

 
(15,790
)
Accrued income taxes
6,481

 
(2,081
)
 
(11,705
)
 

 
(7,305
)
Net cash provided by (used in) operating activities
(173,294
)
 
219,925

 
62,221

 

 
108,852

 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
Capital expenditures

 
(50,396
)
 
(22,073
)
 

 
(72,469
)
Proceeds from the sale of assets

 
489

 
242

 

 
731

Proceeds from insurance settlements

 

 
2,500

 

 
2,500

Acquisitions, net of cash acquired

 
(10,431
)
 

 

 
(10,431
)
Net cash provided by (used in) investing activities

 
(60,338
)
 
(19,331
)
 

 
(79,669
)
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
Repayments of long-term debt
(30,000
)
 

 

 

 
(30,000
)
Payment of debt issuance costs
(1,996
)
 

 

 

 
(1,996
)
Excess tax benefit from stock-based compensation
(992
)
 

 

 

 
(992
)
Intercompany advances, net
216,082

 
(165,133
)
 
(50,949
)
 

 

Net cash provided by (used in) financing activities
183,094

 
(165,133
)
 
(50,949
)
 

 
(32,988
)
 
 
 
 
 
 
 
 
 
 
Net change in cash and cash equivalents
9,800

 
(5,546
)
 
(8,059
)
 

 
(3,805
)
Cash and cash equivalents at beginning of year
36,728

 
13,546

 
58,182

 

 
108,456

Cash and cash equivalents at end of year
$
46,528

 
$
8,000

 
$
50,123

 
$

 
$
104,651