Annual report pursuant to Section 13 and 15(d)

Equipment Acquisitions And Dispositions (Tables)

v3.8.0.1
Equipment Acquisitions And Dispositions (Tables)
12 Months Ended
Dec. 31, 2017
Disclosure Text Block [Abstract]  
Property, Plant and Equipment Disclosure [Text Block]
3.
EQUIPMENT ACQUISITIONS AND DISPOSITIONS

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).
(2)
Excludes five inland river harbor boats acquired in the CCM acquisition and one U.S.-flag offshore tug acquired in the SeaJon II acquisition (see Note 2).
Equipment Dispositions. During the year ended December 31, 2017, the Company sold property and equipment for net proceeds of $164.8 million and gains of $23.3 million, of which $10.0 million were recognized currently and $13.3 million were deferred (see Note 1). Equipment dispositions included the sale-leaseback of one U.S.-flag petroleum and chemical carrier for $134.9 million with leaseback terms of 104 months and 50 dry-cargo barges for $12.5 million with leaseback terms of 84 months. Gains of $13.3 million related to the sale-leasebacks were deferred and are being amortized over the respective minimum lease periods. In addition, the Company recognized previously deferred gains of $2.3 million. The Company also recognized a loss of $0.3 million related to the total loss of one inland river specialty barge.
During the year ended December 31, 2016, the Company sold property and equipment for net proceeds of $153.0 million ($143.0 million in cash, $8.0 million in seller financing and one U.S.-flag harbor tug valued at $2.0 million) and gains of $11.3 million, of which $2.3 million were recognized currently and $9.0 million were deferred (see Note 1). Equipment dispositions included the sale-leaseback of one U.S.-flag petroleum and chemical carrier for $61.0 million, with leaseback terms of 76 months. Gains of $8.2 million related to the sale-leaseback were deferred and are being amortized over the minimum lease period. In addition, the Company recognized previously deferred gains of $2.4 million.
During the year ended December 31, 2015, the Company sold property and equipment for net proceeds of $81.5 million ($79.8 million in cash and $1.7 million in seller financing) and gains of $17.4 million, of which $11.4 million were recognized currently and $6.0 million were deferred (see Note 1). Equipment dispositions included the sale-leaseback of four inland river towboats for $35.3 million, with leaseback terms of 84 months. Gains of $4.2 million related to these sale-leasebacks were deferred and are being amortized over the respective minimum lease periods. In addition, the Company recognized previously deferred gains of $3.2 million.
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 [Table Text Block]
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.