|
ACQUISITIONS AND DISPOSITIONS
|
9 Months Ended |
|---|---|
|
Sep. 30, 2014
|
|
| Property, Plant and Equipment [Abstract] | |
| ACQUISITIONS AND DISPOSITIONS |
ACQUISITIONS AND DISPOSITIONS
Capital Expenditures. During the nine months ended September 30, 2014, capital expenditures were $64.0 million and consisted primarily of helicopter acquisitions and deposits on future helicopter deliveries. The Company records helicopter acquisitions in property and equipment and places helicopters in service once all completion work has been finalized and helicopters are ready for use. During the three and nine months ended September 30, 2014, the Company capitalized interest of $1.0 million and $3.0 million, respectively. During the three and nine months ended September 30, 2013, the Company capitalized interest of $0.2 million and $0.6 million, respectively. As of September 30, 2014 and December 31, 2013, construction in progress, which is a component of property and equipment, included capitalized interest of $3.3 million and $1.4 million, respectively. A summary of changes to our operating helicopter fleet during the nine months ended September 30, 2014 is as follows:
Equipment Additions - The Company placed four AW139 helicopters into service, all of which were delivered in the current year.
Equipment Dispositions - During the three months ended September 30, 2014, there were no significant equipment dispositions. During the three months ended September 30, 2013, the Company sold or otherwise disposed of property and equipment for proceeds $10.2 million and recognized gains of $2.6 million. During the nine months ended September 30, 2014 and 2013, the Company sold or otherwise disposed of property and equipment for proceeds of $7.0 million and $60.0 million, respectively, and recognized gains of $6.1 million and $17.8 million, respectively.
Sale of Interest in Joint Venture. Effective July 24, 2014, the Company sold its 51% interest in Lake Palma, S.L. (“Lake Palma”) to its joint venture partner, Fumigacion Aerea Andaluza S.A. (“FAASA”), for a purchase price of $9.3 million and recognized a gain of $1.5 million in equity earnings, net of taxes. In connection with the transaction, the Company assigned debt obligations of $2.9 million due to Lake Palma to FAASA, and the balance of the purchase price was funded in cash.
|