Annual report pursuant to Section 13 and 15(d)

Nature Of Operations And Accounting Policies (Tables)

v3.8.0.1
Nature Of Operations And Accounting Policies (Tables)
 12 Months Ended
Dec. 31, 2017
Accounting Policies [Abstract]  
Schedule Of Estimated Useful Life Of Equipment
As of December 31, 2017, the estimated useful life (in years) of each of the Company’s major classes of new equipment was as follows:
Petroleum and chemical carriers - U.S.-flag
25
Harbor and offshore tugs
25
Ocean liquid tank barges
25
Short-sea container/RORO(1) vessels
20
Dry bulk carriers - U.S.-flag
25
Inland river dry-cargo and specialty barges
20
Inland river liquid tank barges
25
Inland river towboats and harbor boats
25
Terminal and fleeting facilities
20
______________________
(1)
Roll On/Roll Off
Equipment Additions. The Company’s capital expenditures were $114.6 million, $252.8 million and $203.5 million during the years ended December 31, 2017, 2016, and 2015, respectively. Major owned equipment placed in service for the years ended December 31 were as follows:
 
2017(1)
 
2016(2)
 
2015
Petroleum and chemical carriers-U.S.-flag
3

 
3

 
—

Harbor tugs - U.S.-flag
1

 
1

 
—

Harbor tugs - Foreign-flag
2

 
—

 
—

Inland river dry-cargo barges
—

 
46

 
—

Inland river liquid tank barges
2

 
—

 
8

Inland river specialty barges
—

 
—

 
4

Inland river towboats
3

 
2

 
9

______________________
(1)
Excludes two U.S.-flag dry bulk carriers acquired in the ISH acquisition (see Note 2).
Major equipment dispositions for the years ended December 31 were as follows:
 
2017
 
2016
 
2015
Petroleum and chemical carriers-U.S.-flag
1

 
1

 
—

Harbor tugs - U.S.-flag
—

 
2

 
—

Inland river dry-cargo barges
50

 
—

 
—

Inland river liquid tank barges
—

 
19

 
35

Inland river specialty barges
2

 
—

 
—

Inland river deck barges
—

 
—

 
12

Inland river towboats
2

 
14

 
4


Subsequent to December 31, 2017, the Company entered into an agreement to scrap the Seabulk Trader, which was built in 1981. The limitations on marketing over-age tankers did not justify the expense of a regulatory dry-docking, even though the vessel is in excellent condition for its age.
Property Plant And Equipment By Major Class [Text Block]
Property and Equipment. Equipment, stated at cost, is depreciated using the straight line method over the estimated useful life of the asset to an estimated salvage value. With respect to each class of asset, the estimated useful life is typically based upon a newly built asset being placed into service and represents the point at which it is typically not justifiable for the Company to continue to operate the asset in the same or similar manner. From time to time, the Company may acquire older assets that have already exceeded the Company’s useful life policy, in which case the Company depreciates such assets based on its best estimate of remaining useful life, typically the next survey or certification date.
As of December 31, 2017, the estimated useful life (in years) of each of the Company’s major classes of new equipment was as follows:
Petroleum and chemical carriers - U.S.-flag
25
Harbor and offshore tugs
25
Ocean liquid tank barges
25
Short-sea container/RORO(1) vessels
20
Dry bulk carriers - U.S.-flag
25
Inland river dry-cargo and specialty barges
20
Inland river liquid tank barges
25
Inland river towboats and harbor boats
25
Terminal and fleeting facilities
20
______________________
(1)
Roll On/Roll Off.
The Company’s major classes of property and equipment as of December 31 were as follows (in thousands):
 
Historical
Cost(1)
 
Accumulated
Depreciation
 
Net Book
Value
2017
 
 
 
 
 
Ocean Services:
 
 
 
 
 
Petroleum and chemical carriers - U.S.-flag
$
652,985

 
$
(215,057
)
 
$
437,928

Harbor and offshore tugs - U.S.-flag
84,155

 
(38,984
)
 
45,171

Harbor tugs - Foreign-flag
45,338

 
(11,575
)
 
33,763

Ocean liquid tank barges - U.S.-flag
39,238

 
(13,126
)
 
26,112

Short-sea container/RORO - Foreign-flag
20,954

 
(8,178
)
 
12,776

Bulk carriers - U.S.-flag
13,000

 
(4,733
)
 
8,267

Other(2)
19,420

 
(7,875
)
 
11,545

 
875,090

 
(299,528
)
 
575,562

Inland Services:
 
 
 
 
 
Dry-cargo barges
233,734

 
(101,087
)
 
132,647

Specialty barges
10,648

 
(4,928
)
 
5,720

Liquid tank barges
21,802

 
(2,684
)
 
19,118

Towboats
44,555

 
(1,765
)
 
42,790

Harbor boats
18,158

 
(6,956
)
 
11,202

Terminal and fleeting facilities
95,926

 
(55,899
)
 
40,027

Other(2)
20,470

 
(8,254
)
 
12,216

 
445,293

 
(181,573
)
 
263,720

Witt O’Brien’s:
 
 
 
 
 
Other(2)
1,227

 
(938
)
 
289

Corporate and Eliminations:
 
 
 
 
 
Other(2)
30,131

 
(20,505
)
 
9,626

 
$
1,351,741

 
$
(502,544
)
 
$
849,197

______________________
(1)
Includes property and equipment acquired in business acquisitions at acquisition date fair value.
(2)
Includes land and buildings, leasehold improvements, fixed-wing aircraft, vehicles and other property and equipment.
 
Historical
Cost(1)
 
Accumulated
Depreciation
 
Net Book
Value
2016
 
 
 
 
 
Ocean Services:
 
 
 
 
 
Petroleum and chemical carriers - U.S.-flag
$
546,019

 
$
(189,536
)
 
$
356,483

Harbor and offshore tugs - U.S.-flag
72,877

 
(34,606
)
 
38,271

Harbor tugs - Foreign-flag
29,689

 
(9,480
)
 
20,209

Ocean liquid tank barges - U.S.-flag
39,238

 
(11,604
)
 
27,634

Short-sea container/RORO - Foreign-flag
20,954

 
(6,774
)
 
14,180

Other(2)
18,825

 
(6,004
)
 
12,821

 
727,602

 
(258,004
)
 
469,598

Inland Services:
 
 
 
 
 
Dry-cargo barges
246,237

 
(97,602
)
 
148,635

Specialty barges
12,292

 
(4,869
)
 
7,423

Liquid tank barges
16,114

 
(1,982
)
 
14,132

Towboats
14,675

 
(1,320
)
 
13,355

Harbor boats
17,338

 
(5,715
)
 
11,623

Terminal and fleeting facilities
94,913

 
(48,981
)
 
45,932

Other(2)
18,145

 
(6,658
)
 
11,487

 
419,714

 
(167,127
)
 
252,587

Witt O’Brien’s:
 
 
 
 
 
Other(2)
1,559

 
(1,244
)
 
315

Corporate and Eliminations:
 
 
 
 
 
Other(2)
29,681

 
(18,184
)
 
11,497

 
$
1,178,556

 
$
(444,559
)
 
$
733,997

______________________
(1)
Includes property and equipment acquired in business acquisitions at acquisition date fair value.
(2)
Includes land and buildings, leasehold improvements, fixed-wing aircraft, vehicles and other property and equipment.
Schedule Of Intangible Assets
The Company’s intangible assets by type were as follows (in thousands):
 
Trademark/
Tradenames
 
Customer
Relationships
 
Software/
Technology
 
Acquired
Contractual
Rights
 
Total
 
Gross Carrying Value
Year Ended December 31, 2015
$
4,920

 
$
22,211

 
$
1,652

 
$
2,907

 
$
31,690

Acquired intangible assets
—

 
1,598

 
—

 
5,500

 
7,098

Foreign currency translation
—

 
—

 
—

 
9

 
9

Impairment of intangible assets
(1,596
)
 
(7,142
)
 
(1,220
)
 
—

 
(9,958
)
Fully amortized intangible assets
—

 
(1,302
)
 
(432
)
 
—

 
(1,734
)
Year Ended December 31, 2016
3,324

 
15,365

 
—

 
8,416

 
27,105

Acquired intangible assets
—

 
—

 
—

 
10,957

 
10,957

Foreign currency translation
—

 
—

 
—

 
2

 
2

Fully amortized intangible assets
—

 
—

 
—

 
(1,017
)
 
(1,017
)
Year Ended December 31, 2017
$
3,324

 
$
15,365

 
$
—

 
$
18,358

 
$
37,047

 
 
 
 
 
 
 
 
 
 
 
Accumulated Amortization
Year Ended December 31, 2015
$
(1,316
)
 
$
(3,545
)
 
$
(288
)
 
$
(1,198
)
 
$
(6,347
)
Amortization expense
(332
)
 
(1,624
)
 
(144
)
 
(314
)
 
(2,414
)
Fully amortized intangible assets
—

 
1,302

 
432

 
—

 
1,734

Year Ended December 31, 2016
(1,648
)
 
(3,867
)
 
—

 
(1,512
)
 
(7,027
)
Amortization expense
(332
)
 
(1,279
)
 
—

 
(1,320
)
 
(2,931
)
Fully amortized intangible assets
—

 
—

 
—

 
1,017

 
1,017

Year Ended December 31, 2017
$
(1,980
)
 
$
(5,146
)
 
$
—

 
$
(1,815
)
 
$
(8,941
)
Weighted average remaining contractual life, in years
4.0

 
8.8

 
0.0

 
9.0

 
8.7

Schedule Of Future Amortization Expense Of Intangible Assets
Future amortization expense of intangible assets for each of the years ended December 31 is as follows (in thousands):
2018
 
$
3,555

2019
 
3,555

2020
 
3,555

2021
 
3,571

2022
 
2,866

Years subsequent to 2022
 
11,004

 
 
$
28,106

Schedule of Deferred Gains
Deferred gain activity related to these transactions for the years ended December 31 was as follows (in thousands):
 
2017
 
2016
 
2015
Balance at beginning of year
$
7,649

 
$
9,468

 
$
10,240

Amortization of deferred gains included in gains (losses) on asset dispositions and impairments, net
(1,715
)
 
(1,819
)
 
(772
)
Balance at end of year
$
5,934

 
$
7,649

 
$
9,468

Deferred gain activity related to these transactions for the years ended December 31 was as follows (in thousands):
 
2017
 
2016
 
2015
Balance at beginning of year
$
74,774

 
$
83,142

 
$
95,601

Deferred gains arising from equipment sales
13,336

 
9,003

 
5,984

Amortization of deferred gains included in operating expenses as reduction to rental expense
(15,035
)
 
(15,072
)
 
(14,322
)
Amortization of deferred gains included in gains (losses) on asset dispositions and impairments, net
(602
)
 
(602
)
 
(2,454
)
Other
(5,954
)
 
(1,697
)
 
(1,667
)
Balance at end of year
$
66,519

 
$
74,774

 
$
83,142

Schedule of Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss). The components of accumulated other comprehensive income (loss) were as follows (in thousands):
 
SEACOR Holdings Inc. Stockholders’ Equity
 
Noncontrolling
Interests
 
 
 
Foreign
Currency
Translation
Adjustments
 
Derivative
Losses on
Cash Flow
Hedges, net
 
Other
 
Total
 
Foreign
Currency
Translation
Adjustments
 
Derivative
Losses on
Cash Flow
Hedges, net
 
Other
 
Other
Comprehensive
Income (Loss)
Year ended December 31, 2014
$
(3,494
)
 
$
(16
)
 
$
5

 
$
(3,505
)
 
$
(86
)
 
$
—

 
$
3

 
 
Other comprehensive income (loss)
(3,129
)
 
(154
)
 
29

 
(3,254
)
 
(442
)
 
—

 
13

 
$
(3,683
)
Income tax (expense) benefit
1,095

 
54

 
(10
)
 
1,139

 
—

 
—

 
—

 
1,139

Year ended December 31, 2015
(5,528
)
 
(116
)
 
24

 
(5,620
)
 
(528
)
 
—

 
16

 
$
(2,544
)
Other comprehensive income (loss)
(9,331
)
 
294

 
(31
)
 
(9,068
)
 
(1,085
)
 
(17
)
 
(13
)
 
$
(10,183
)
Income tax (expense) benefit
3,266

 
(103
)
 
11

 
3,174

 
—

 
—

 
—

 
3,174

Year ended December 31, 2016
(11,593
)
 
75

 
4

 
(11,514
)
 
(1,613
)
 
(17
)
 
3

 
$
(7,009
)
Distribution of SEACOR Marine stock to shareholders
10,031

 
94

 
—

 
10,125

 
—

 
—

 
—

 
 
Other comprehensive income (loss)
1,812

 
(260
)
 
(6
)
 
1,546

 
153

 
13

 
(5
)
 
$
1,707

Income tax (expense) benefit
(795
)
 
91

 
2

 
(702
)
 
—

 
—

 
—

 
(702
)
Year ended December 31, 2017
$
(545
)
 
$
—

 
$
—

 
$
(545
)
 
$
(1,460
)
 
$
(4
)
 
$
(2
)
 
$
1,005

Schedule Of Earnings Per Share
Computations of basic and diluted earnings (loss) per common share of SEACOR for the years ended December 31 were as follows (in thousands, except share data):
 
Net Income (Loss)
 
Average o/s Shares
 
Per Share
2017
 
 
 
 
 
Basic Weighted Average Common Shares Outstanding
$
61,643

 
17,368,081

 
$
3.55

Effect of Dilutive Securities:
 
 
 
 
 
Options and Restricted Stock(1)
—

 
308,012

 
 
Convertible Securities
14,346

 
5,258,065

 
 
Diluted Weighted Average Common Shares Outstanding
$
75,989

 
22,934,158

 
$
3.31

2016
 
 
 
 
 
Basic Weighted Average Common Shares Outstanding
$
(215,897
)
 
16,914,928

 
$
(12.76
)
Effect of Dilutive Securities:
 
 
 
 
 
Options and Restricted Stock(1)
—

 
—

 
 
Convertible Securities(2)(3)
—

 
—

 
 
Diluted Weighted Average Common Shares Outstanding
$
(215,897
)
 
16,914,928

 
$
(12.76
)
2015
 
 
 
 
 
Basic Weighted Average Common Shares Outstanding
$
(68,782
)
 
17,446,137

 
$
(3.94
)
Effect of Dilutive Securities:
 
 
 
 
 
Options and Restricted Stock(1)
—

 
—

 
 
Convertible Securities(2)(3)
—

 
—

 
 
Diluted Weighted Average Common Shares Outstanding
$
(68,782
)
 
17,446,137

 
$
(3.94
)

______________________
(1)
For the years ended December 31, 2017, 2016, and 2015, diluted earnings per common share of SEACOR excluded 1,924,217, 2,020,677 and 2,078,777, respectively, of certain share awards as the effect of their inclusion in the computation would be anti-dilutive.
(2)
For the years ended December 31, 2016 and 2015, diluted earnings per common share of SEACOR excluded 2,664,208 and 4,148,327 shares, respectively, issuable pursuant to the Company’s 2.5% Convertible Senior Notes (see Note 7) as the effect of their inclusion in the computation would be anti-dilutive.
(3)
For the years ended December 31, 2016 and 2015 diluted earnings per common share of SEACOR excluded 1,825,326 and 1,825,326 shares, respectively, issuable pursuant to the Company’s 3.0% Convertible Senior Notes (see Note 7) as the effect of their inclusion in the computation would be anti-dilutive.