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Variable Interest Entities (Tables)

6 Months Ended

Jun. 30, 2020

Organization, Consolidation and Presentation of Financial Statements [Abstract]

A summary of our payment obligations (excluding repurchase options and obligations) under the bareboat charters with the lessor VIEs as of June 30, 2020, are shown below:


(in thousands of $)	2020 ⁽¹⁾	2021	2022	2023	2024	2025+
Golar Glacier	8,620	17,100	17,100	17,100	12,884	—
Golar Kelvin	8,620	17,100	17,100	17,100	15,695	—
Golar Snow	8,620	17,100	17,100	17,100	15,695	—
Golar Ice	8,620	17,100	17,100	17,100	17,147	1,452
Golar Tundra ⁽²⁾	9,042	17,624	17,068	16,511	15,963	12,869
Golar Seal	6,802	13,717	13,717	13,754	13,717	13,717
Golar Crystal ⁽²⁾	4,928	9,814	9,849	9,874	9,908	22,348
Hilli⁽²⁾	50,714	99,480	96,484	93,559	90,491	273,427
Golar Viking⁽²⁾	89,824	—	—	—	—	—
Golar Bear⁽²⁾	7,068	13,806	13,385	12,963	12,551	26,139

(1) For the six months ending December 31, 2020.

(2) The payment obligations relating to the Golar Tundra, Golar Crystal, Hilli, Golar Viking and Golar Bear above includes variable rental payments due under the lease based on an assumed LIBOR plus margin.

Schedule of Variable Interest Entities

The assets and liabilities of these lessor VIEs that most significantly impact our consolidated balance sheet as of June 30, 2020 and December 31, 2019, are as follows:


(in thousands of $)	Golar Glacier	Golar Kelvin	Golar Snow	Golar Ice	Golar Tundra	Golar Seal	Golar Crystal	Hilli	Golar Viking	Golar Bear	June 30, 2020	December 31, 2019
Assets											Total	Total
Restricted cash and short-term deposits	55	57	67	24	—	10,385	5,157	18,267	4,175	1,800	39,987	34,947


Liabilities
Debt:
Current portion of long-term debt and short-term debt ⁽¹⁾	119,079	137,075	118,172	92,280	10,442	—	8,088	430,212	87,886	—	1,003,234	963,005
Long-term interest bearing debt - non-current portion ⁽¹⁾	—	—	—	—	86,199	100,392	79,131	307,695	—	104,806	678,223	617,124

	119,079	137,075	118,172	92,280	96,641	100,392	87,219	737,907	87,886	104,806	1,681,457	1,580,129

(1) Where applicable, these balances are net of deferred finance charges.

The most significant impact of the lessor VIE's operations on our unaudited consolidated statements of income, and unaudited consolidated statements of cash flows, are as follows:


(in thousands of $)	Six months ended June 30,
	2020	2019
Statement of income
Interest expense	20,026	35,892

Statement of cash flows
Net debt repayments	(317,039)	(106,383)
Net debt receipts	416,375	14,824

The assets and liabilities of Hilli LLC⁽¹⁾that most significantly impact our consolidated balance sheet are as follows:


(in thousands of $)	June 30, 2020	December 31, 2019
Balance sheet
Current assets	63,630	64,507
Non-current assets	1,235,950	1,300,605
Current liabilities	(476,664)	(496,029)
Non-current liabilities	(382,200)	(418,578)

(1) As Hilli LLC is the primary beneficiary of the Hilli Lessor VIE (see above) the Hilli LLC balances include the Hilli Lessor VIE.

The most significant impact of Hilli LLC VIE's operations on our unaudited consolidated statements of income, and unaudited consolidated statements of cash flows, are as follows:


(in thousands of $)	Six months ended June 30,
	2020	2019
Statement of operations
Liquefaction services revenue	109,048	109,048
Realized and unrealized (loss)/gain on oil derivative instrument	(37,081)	8,145

Statement of cash flows
Net debt repayments	(266,822)	(39,297)
Net debt receipts	222,779	—

The assets and liabilities of Gimi MS that most significantly impacts our consolidated balance sheet are as follows:


(in thousands of $)	June 30, 2020	December 31, 2019
Balance sheet
Current assets	8,252	24,894
Non-current assets	552,969	434,248
Current liabilities	(40,971)	(9,697)
Non-current liabilities	(202,570)	(107,902)

The most significant impact of Gimi MS VIE's operations on our unaudited consolidated statements of cash flows, is as follows:


(in thousands of $)	Six months ended June 30,
	2020	2019
Statement of cash flows
Additions to asset under development	110,173	105,339
Net debt receipts	95,000	—

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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