Annual report pursuant to Section 13 and 15(d)

GUARANTORS OF SECURITIES (Tables)

v3.19.3.a.u2
GUARANTORS OF SECURITIES (Tables)
12 Months Ended
Dec. 31, 2019
Guarantees [Abstract]  
Condensed Consolidating Balance Sheet
Supplemental Condensed Consolidating Balance Sheet as of December 31, 2019
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands, except share data)
ASSETS
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
114,965

 
$

 
$
2,401

 
$

 
$
117,366

Receivables:
 
 
 
 
 
 
 
 
 
Trade, operating, net of allowance for doubtful accounts

 
27,230

 
5,500

 

 
32,730

Trade, dry leasing

 
5,234

 

 

 
5,234

Tax receivables

 
2

 
2,858

 

 
2,860

Other

 
15,136

 
285

 

 
15,421

Inventories, net

 
20,019

 
47

 

 
20,066

Prepaid expenses
488

 
1,480

 
216

 

 
2,184

Total current assets
115,453

 
69,101

 
11,307

 

 
195,861

Property and equipment

 
878,281

 
16,782

 

 
895,063

Accumulated depreciation

 
(333,788
)
 
(4,376
)
 

 
(338,164
)
Property and equipment, net

 
544,493

 
12,406

 

 
556,899

Operating lease right-of-use

 
7,694

 
1,774

 

 
9,468

Investments in consolidated subsidiaries
190,142

 

 

 
(190,142
)
 

Intangible assets

 

 
96

 

 
96

Deferred income taxes
9,909

 

 

 
(9,909
)
 

Intercompany receivables
288,023

 

 

 
(288,023
)
 

Other assets
670

 
1,082

 
439

 

 
2,191

Total assets
$
604,197

 
$
622,370

 
$
26,022

 
$
(488,074
)
 
$
764,515

LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND STOCKHOLDERS’ EQUITY
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable and accrued expenses
$
405

 
$
10,937

 
$
1,581

 
$

 
$
12,923

Accrued wages and benefits
122

 
9,065

 
1,367

 

 
10,554

Accrued interest
468

 
52

 

 

 
520

Accrued income taxes
3,595

 
1

 
16

 

 
3,612

Accrued other taxes

 
487

 
450

 

 
937

Accrued contingencies

 

 
598

 

 
598

Current portion of long-term debt

 
18,317

 

 

 
18,317

Other current liabilities
1,053

 
1,866

 
396

 

 
3,315

Total current liabilities
5,643

 
40,725

 
4,408

 

 
50,776

Long-term debt
141,832

 

 

 

 
141,832

Deferred income taxes

 
112,795

 
907

 
(9,909
)
 
103,793

Intercompany payables

 
225,341

 
62,702

 
(288,043
)
 

Operating lease liabilities

 
6,434

 
1,381

 

 
7,815

Deferred gains and other liabilities

 
745

 

 

 
745

Total liabilities
147,475

 
386,040

 
69,398

 
(297,952
)
 
304,961

Redeemable noncontrolling interest

 

 
2,812

 

 
2,812

Equity:
 
 
 
 
 
 
 
 
 
Common stock, $0.01 par value, 60,000,000 shares authorized; 21,285,613 outstanding, exclusive of treasury shares
224

 

 

 

 
224

Additional paid-in capital
452,010

 
100,307

 
4,562

 
(104,870
)
 
452,009

Retained earnings
14,671

 
136,023

 
(50,750
)
 
(85,252
)
 
14,692

Treasury shares, at cost, 1,152,826 shares
(10,183
)
 

 

 

 
(10,183
)
Total equity
456,722

 
236,330

 
(46,188
)
 
(190,122
)
 
456,742

Total liabilities, redeemable noncontrolling interest and stockholders’ equity
$
604,197

 
$
622,370

 
$
26,022

 
$
(488,074
)
 
$
764,515

Supplemental Condensed Consolidating Balance Sheet as of December 31, 2018
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands, except share data)
ASSETS
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
48,396

 
$

 
$
2,357

 
$

 
$
50,753

Receivables:
 
 
 
 
 
 
 
 
 
Trade, operating, net of allowance for doubtful accounts of $261

 
27,509

 
5,797

 
$

 
33,306

Trade, dry leasing

 
3,803

 

 

 
3,803

Tax receivables

 
6

 
3,181

 

 
3,187

Other

 
1,949

 
394

 

 
2,343

Inventories, net

 
20,633

 
40

 

 
20,673

Prepaid expenses
398

 
1,219

 
190

 

 
1,807

Total current assets
48,794

 
55,119

 
11,959

 

 
115,872

Property and equipment

 
900,611

 
16,550

 

 
917,161

Accumulated depreciation

 
(314,567
)
 
(3,400
)
 

 
(317,967
)
Property and equipment, net

 
586,044

 
13,150

 

 
599,194

Equity investments and advances

 
27,112

 

 

 
27,112

Investments in consolidated subsidiaries
172,950

 

 

 
(172,950
)
 

Intangible assets

 

 
1,107

 

 
1,107

Deferred income taxes
9,904

 

 

 
(9,904
)
 

Intercompany receivables
366,541

 

 

 
(366,541
)
 

Other assets
1,251

 
20,231

 
96

 

 
21,578

Total assets
$
599,440

 
$
688,506

 
$
26,312

 
$
(549,395
)
 
$
764,863

LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND STOCKHOLDERS’ EQUITY
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable and accrued expenses
$
136

 
$
11,357

 
$
1,668

 
$

 
$
13,161

Accrued wages and benefits
43

 
7,743

 
1,481

 

 
9,267

Accrued interest
500

 
69

 

 

 
569

Accrued income taxes
918

 
6

 
49

 

 
973

Accrued other taxes

 
768

 
500

 

 
1,268

Accrued contingencies

 

 
630

 

 
630

Current portion of long-term debt

 
1,663

 
395

 

 
2,058

Other current liabilities
647

 
220

 
11

 

 
878

Total current liabilities
2,244

 
21,826

 
4,734

 

 
28,804

Long-term debt
133,900

 
26,317

 

 

 
160,217

Deferred income taxes

 
117,015

 
1,245

 
(9,903
)
 
108,357

Intercompany payables

 
310,727

 
55,847

 
(366,574
)
 

Deferred gains and other liabilities

 
720

 
27

 

 
747

Total liabilities
136,144

 
476,605

 
61,853

 
(376,477
)
 
298,125

Redeemable noncontrolling interest

 
3

 
3,299

 

 
3,302

Equity:
 
 
 
 
 
 
 
 
 
Era Group Inc. stockholders’ equity:
 
 
 
 
 
 
 
 
 
Common stock, $0.01 par value, 60,000,000 shares authorized; 21,765,404 outstanding, exclusive of treasury shares
219

 

 

 

 
219

Additional paid-in capital
447,299

 
100,306

 
4,562

 
(104,869
)
 
447,298

Retained earnings
18,254

 
111,482

 
(43,402
)
 
(68,049
)
 
18,285

Treasury shares, at cost, 156,737 shares
(2,476
)
 

 

 

 
(2,476
)
Accumulated other comprehensive income, net of tax

 
110

 

 

 
110

Total equity
463,296

 
211,898

 
(38,840
)
 
(172,918
)
 
463,436

Total liabilities, redeemable noncontrolling interest and stockholders’ equity
$
599,440

 
$
688,506

 
$
26,312

 
$
(549,395
)
 
$
764,863

Condensed Consolidating Statements of Operations
Supplemental Condensed Consolidating Statements of Operations for the Year Ended December 31, 2019
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Revenues
$

 
$
202,653

 
$
55,695

 
$
(32,289
)
 
$
226,059

Costs and expenses:
 
 
 
 
 
 
 
 
 
Operating

 
128,928

 
57,896

 
(32,278
)
 
154,546

Administrative and general
5,777

 
28,930

 
3,571

 

 
38,278

Depreciation

 
36,716

 
903

 

 
37,619

Total costs and expenses
5,777

 
194,574

 
62,370

 
(32,278
)
 
230,443

Gains on asset dispositions, net

 
3,657

 

 

 
3,657

Loss on impairment

 
(2,551
)
 

 

 
(2,551
)
Operating income (loss)
(5,777
)
 
9,185

 
(6,675
)
 
(11
)
 
(3,278
)
Other income (expense):
 
 
 
 
 
 
 
 
 
Interest income
1,617

 
1,761

 
109

 

 
3,487

Interest expense
(13,007
)
 
(790
)
 
(77
)
 

 
(13,874
)
Loss on sale of investments
(569
)
 

 

 

 
(569
)
Foreign currency gains (losses), net
(40
)
 
81

 
(513
)
 

 
(472
)
Loss on debt extinguishment
(13
)
 

 

 

 
(13
)
Other, net
(20
)
 
1,010

 
(1,018
)
 

 
(28
)
Total other income (expense)
(12,032
)
 
2,062

 
(1,499
)
 

 
(11,469
)
Income (loss) before income taxes and equity earnings
(17,809
)
 
11,247

 
(8,174
)
 
(11
)
 
(14,747
)
Income tax expense (benefit)
2,964

 
(3,357
)
 
(338
)
 

 
(731
)
Income (loss) before equity earnings
(20,773
)
 
14,604

 
(7,836
)
 
(11
)
 
(14,016
)
Equity in earnings (losses) of subsidiaries
17,191

 
9,935

 

 
(17,191
)
 
9,935

Net income (loss)
(3,582
)
 
24,539

 
(7,836
)
 
(17,202
)
 
(4,081
)
Net loss attributable to non-controlling interest in subsidiary

 

 
488

 

 
488

Net income (loss) attributable to Era Group Inc.
$
(3,582
)
 
$
24,539

 
$
(7,348
)
 
$
(17,202
)
 
$
(3,593
)
Supplemental Condensed Consolidating Statements of Operations for the Year Ended December 31, 2018
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Revenues
$

 
$
194,932

 
$
55,625

 
$
(28,881
)
 
$
221,676

Costs and expenses:
 
 
 
 
 
 
 
 
 
Operating

 
122,490

 
57,947

 
(28,914
)
 
151,523

Administrative and general
15,017

 
25,597

 
4,512

 

 
45,126

Depreciation

 
38,553

 
988

 

 
39,541

Total costs and expenses
15,017

 
186,640

 
63,447

 
(28,914
)
 
236,190

Gains on asset dispositions, net

 
1,618

 
(43
)
 

 
1,575

Litigation settlement proceeds
42,000

 

 

 

 
42,000

Loss on impairment

 
(991
)
 

 

 
(991
)
Operating income (loss)
26,983

 
8,919

 
(7,865
)
 
33

 
28,070

Other income (expense):
 
 
 
 
 
 
 
 
 
Interest income
395

 
1,371

 
276

 

 
2,042

Interest expense
(14,149
)
 
(802
)
 
(180
)
 

 
(15,131
)
Foreign currency gains, net
(95
)
 
(178
)
 
(745
)
 

 
(1,018
)
Gain on debt extinguishment

 

 
175

 

 
175

Other, net

 
34

 
20

 

 
54

Total other income (expense)
(13,849
)
 
425

 
(454
)
 

 
(13,878
)
Income (loss) before income taxes and equity earnings
13,134

 
9,344

 
(8,319
)
 
33

 
14,192

Income tax expense (benefit)
10,845

 
(7,900
)
 
(5
)
 

 
2,940

Income (loss) before equity earnings
2,289

 
17,244

 
(8,314
)
 
33

 
11,252

Equity in earnings (losses) of subsidiaries
11,601

 
2,206

 

 
(11,601
)
 
2,206

Net income (loss)
13,890

 
19,450

 
(8,314
)
 
(11,568
)
 
13,458

Net loss attributable to non-controlling interest in subsidiary

 

 
464

 

 
464

Net income (loss) attributable to Era Group Inc.
$
13,890

 
$
19,450

 
$
(7,850
)
 
$
(11,568
)
 
$
13,922

Supplemental Condensed Consolidating Statements of Operations for the Year Ended December 31, 2017
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Revenues
$

 
$
201,653

 
$
60,466

 
$
(30,798
)
 
$
231,321

Costs and expenses:
 
 
 
 
 
 
 
 
 
Operating

 
133,077

 
65,167

 
(30,798
)
 
167,446

Administrative and general
7,887

 
28,451

 
5,754

 

 
42,092

Depreciation

 
44,756

 
980

 

 
45,736

Total costs and expenses
7,887

 
206,284

 
71,901

 
(30,798
)
 
255,274

Gains on asset dispositions, net

 
4,364

 
143

 

 
4,507

Loss on impairment

 
(116,586
)
 
(432
)
 

 
(117,018
)
Operating loss
(7,887
)
 
(116,853
)
 
(11,724
)
 

 
(136,464
)
Other income (expense):
 
 
 
 
 
 
 
 
 
Interest income
108

 
419

 
233

 

 
760

Interest expense
(14,495
)
 
(800
)
 
(1,468
)
 

 
(16,763
)
Foreign currency gains, net
256

 
330

 
(812
)
 

 
(226
)
Other, net

 
143

 
(155
)
 

 
(12
)
Total other income (expense)
(14,131
)
 
92

 
(2,202
)
 

 
(16,241
)
Income (loss) before income taxes and equity earnings
(22,018
)
 
(116,761
)
 
(13,926
)
 

 
(152,705
)
Income tax expense (benefit)
(7,338
)
 
(112,295
)
 
(3,032
)
 

 
(122,665
)
Income (loss) before equity earnings
(14,680
)
 
(4,466
)
 
(10,894
)
 

 
(30,040
)
Equity earnings, net of tax

 
1,425

 

 

 
1,425

Equity in earnings (losses) of subsidiaries
(13,481
)
 

 

 
13,481

 

Net income (loss)
(28,161
)
 
(3,041
)
 
(10,894
)
 
13,481

 
(28,615
)
Net income attributable to non-controlling interest in subsidiary

 

 
454

 

 
454

Net income (loss) attributable to Era Group Inc.
$
(28,161
)
 
$
(3,041
)
 
$
(10,440
)
 
$
13,481

 
$
(28,161
)
Condensed Consolidating Statements of Comprehensive Income
Supplemental Condensed Consolidating Statements of Comprehensive Income for the Year Ended December 31, 2019
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Net income (loss)
$
(3,582
)
 
$
24,539

 
$
(7,836
)
 
$
(17,202
)
 
$
(4,081
)
Comprehensive income (loss)
(3,582
)
 
24,539

 
(7,836
)
 
(17,202
)
 
(4,081
)
Comprehensive loss attributable to non-controlling interest in subsidiary

 

 
488

 

 
488

Comprehensive income (loss) attributable to Era Group Inc.
$
(3,582
)
 
$
24,539

 
$
(7,348
)
 
$
(17,202
)
 
$
(3,593
)

Supplemental Condensed Consolidating Statements of Comprehensive Income for the Year Ended December 31, 2018
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Net income (loss)
$
13,890

 
$
19,450

 
$
(8,314
)
 
$
(11,568
)
 
$
13,458

Comprehensive income (loss)
13,890

 
19,450

 
(8,314
)
 
(11,568
)
 
13,458

Comprehensive loss attributable to non-controlling interest in subsidiary

 

 
464

 

 
464

Comprehensive income (loss) attributable to Era Group Inc.
$
13,890

 
$
19,450

 
$
(7,850
)
 
$
(11,568
)
 
$
13,922


Supplemental Condensed Consolidating Statements of Comprehensive Income for the Year Ended December 31, 2017
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Net income (loss)
$
(28,161
)
 
$
(3,041
)
 
$
(10,894
)
 
$
13,481

 
$
(28,615
)
Other comprehensive income (loss):
 
 
 
 
 
 
 
 
 
Foreign currency translation adjustments

 
18

 

 

 
18

Total other comprehensive income (loss)

 
18

 

 

 
18

Comprehensive income (loss)
(28,161
)
 
(3,023
)
 
(10,894
)
 
13,481

 
(28,597
)
Comprehensive loss attributable to non-controlling interest in subsidiary

 

 
454

 

 
454

Comprehensive income (loss) attributable to Era Group Inc.
$
(28,161
)
 
$
(3,023
)
 
$
(10,440
)
 
$
13,481

 
$
(28,143
)
Condensed Consolidating Statements of Cash Flows
Supplemental Condensed Consolidating Statements of Cash Flows for the Year Ended December 31, 2019
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Net cash provided by (used in) operating activities
$
75,592

 
$
(48,747
)
 
$
706

 
$

 
$
27,551

Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
Purchases of property and equipment

 
(6,413
)
 
(145
)
 

 
(6,558
)
Proceeds from disposition of property and equipment

 
13,252

 

 

 
13,252

Purchase of investments
(5,000
)
 

 

 

 
(5,000
)
Proceeds from sale of investments
4,430

 

 

 

 
4,430

Proceeds from sale of equity investees

 
34,712

 

 

 
34,712

Principal payments on notes due from equity investees

 
2,334

 

 

 
2,334

Principal payments on third party notes receivable

 
5,447

 

 

 
5,447

Net cash provided by (used in) investing activities
(570
)
 
49,332

 
(145
)
 

 
48,617

Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
Payments on long-term debt

 
(1,662
)
 
(393
)
 

 
(2,055
)
Extinguishment of long-term debt
(740
)
 

 

 

 
(740
)
Proceeds from share award plans

 

 

 
1,077

 
1,077

Purchase of treasury shares
(7,707
)
 

 

 

 
(7,707
)
Borrowings and repayments of intercompany debt

 
1,077

 

 
(1,077
)
 

Net cash used in financing activities
(8,447
)
 
(585
)
 
(393
)
 

 
(9,425
)
Effects of exchange rate changes on cash, cash equivalents and restricted cash

 

 
(130
)
 

 
(130
)
Net increase (decrease) in cash, cash equivalents and restricted cash
66,575

 

 
38

 

 
66,613

Cash, cash equivalents and restricted cash, beginning of year
48,396

 

 
2,357

 

 
50,753

Cash, cash equivalents and restricted cash, end of year
$
114,971

 
$

 
$
2,395

 
$

 
$
117,366


Supplemental Condensed Consolidating Statements of Cash Flows for the Year Ended December 31, 2018
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Net cash provided by operating activities
$
37,596

 
$
14,639

 
$
2,119

 
$

 
$
54,354

Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
Purchases of property and equipment

 
(8,867
)
 
(349
)
 

 
(9,216
)
Proceeds from disposition of property and equipment

 
29,590

 

 

 
29,590

Dividends received from equity investees


 
1,000

 

 

 
1,000

Principal payments on notes due from equity investees

 
518

 

 

 
518

Principal payments on third party notes receivable

 
934

 

 

 
934

Net cash provided by (used in) investing activities

 
23,175

 
(349
)
 

 
22,826

Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
Long-term debt issuance costs


 

 

 
(1,295
)
 
(1,295
)
Payments on long-term debt

 
(1,662
)
 
(1,224
)
 
(39,000
)
 
(41,886
)
Proceeds from share award plans

 

 

 
893

 
893

Extinguishment of long-term debt


 

 
(1,221
)
 

 
(1,221
)
Borrowings and repayments of intercompany debt

 
(39,402
)
 

 
39,402

 

Net cash used in financing activities

 
(41,064
)
 
(2,445
)
 

 
(43,509
)
Effects of exchange rate changes on cash, cash equivalents and restricted cash

 

 
249

 

 
249

Net increase (decrease) in cash, cash equivalents and restricted cash
37,596

 
(3,250
)
 
(426
)
 

 
33,920

Cash, cash equivalents and restricted cash, beginning of year
10,800

 
3,250

 
2,783

 

 
16,833

Cash, cash equivalents and restricted cash, end of year
$
48,396

 
$

 
$
2,357

 
$

 
$
50,753



Supplemental Condensed Consolidating Statements of Cash Flows for the Year Ended December 31, 2017
 
Parent
 
Guarantors
 
Non-guarantors
 
Eliminations
 
Consolidated
 
(in thousands)
Net cash provided by (used in) operating activities
$
(14,706
)
 
$
32,601

 
$
2,201

 
$

 
$
20,096

Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
Purchases of property and equipment

 
(16,600
)
 
(170
)
 

 
(16,770
)
Proceeds from disposition of property and equipment

 
9,392

 

 

 
9,392

Principal payments on notes due from equity investees

 
761

 

 

 
761

Investments in and advances to equity investees

 
(126
)
 

 

 
(126
)
Principal payments on third party notes receivable

 
169

 

 

 
169

Escrow deposits on like-kind exchanges, net

 

 

 

 

Net cash used in investing activities

 
(6,404
)
 
(170
)
 

 
(6,574
)
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from Revolving Credit Facility

 
8,000

 

 
9,000

 
17,000

Payments on long-term debt

 
(1,526
)
 
(755
)
 
(43,000
)
 
(45,281
)
Proceeds from share award plans

 

 

 
836

 
836

Purchase of treasury shares

 

 

 
(52
)
 
(52
)
Borrowings and repayments of intercompany debt

 
(33,216
)
 

 
33,216

 

Net cash used in financing activities

 
(26,742
)
 
(755
)
 

 
(27,497
)
Effects of exchange rate changes on cash, cash equivalents and restricted cash
32

 
18

 
31

 

 
81

Net increase (decrease) in cash, cash equivalents and restricted cash
(14,674
)
 
(527
)
 
1,307

 

 
(13,894
)
Cash, cash equivalents and restricted cash, beginning of year
25,474

 
3,777

 
1,476

 

 
30,727

Cash, cash equivalents and restricted cash, end of year
$
10,800

 
$
3,250

 
$
2,783

 
$

 
$
16,833