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Segment Information
 12 Months Ended
Dec. 31, 2022
Segment Reporting Information, Revenue for Reportable Segment [Abstract]  
Segment Information SEGMENT INFORMATION
Our business consists of four operating segments: (1) Floaters, which includes our drillships and semisubmersible rigs, (2) Jackups, (3) ARO and (4) Other, which consists of management services on rigs owned by third-parties and the activities associated with our arrangements with ARO under the Lease Agreements. Floaters, Jackups and ARO are also reportable segments.

Our onshore support costs included within Contract drilling expenses are not allocated to our operating segments for purposes of measuring segment operating income (loss) and as such, those costs are included in “Reconciling Items.” Further, General and administrative expense and Depreciation expense incurred by our corporate office are not allocated to our operating segments for purposes of measuring segment operating income (loss) and are included in "Reconciling Items". We measure segment assets as Property and equipment, net.

The full operating results included below for ARO are not included within our consolidated results and thus deducted under "Reconciling Items" and replaced with our equity in earnings of ARO. See "Note 5 - Equity Method Investment in ARO" for additional information on ARO and related arrangements.

Segment information for the year ended December 31, 2022 (Successor), the eight months ended December 31, 2021 (Successor), the four months ended April 30, 2021 (Predecessor) and the year ended December 31, 2020 (Predecessor), respectively are presented below (in millions).
Year Ended December 31, 2022 (Successor)
FloatersJackupsAROOtherReconciling ItemsConsolidated Total
Revenues$700.5 $744.2 $459.5 $157.8 $(459.5)$1,602.5 
Operating expenses
Contract drilling (exclusive of depreciation)646.0 538.9 341.8 76.4 (219.9)1,383.2 
Loss on impairment 34.5 — — — — 34.5 
Depreciation50.0 36.1 63.4 4.6 (62.9)91.2 
General and administrative— — 18.7 — 62.2 80.9 
Equity in earnings of ARO— — — — 24.5 24.5 
Operating income (loss)$(30.0)$169.2 $35.6 $76.8 $(214.4)$37.2 
Property and equipment, net$487.5 $391.7 $775.6 $56.8 $(734.4)$977.2 
Capital expenditures$152.9 $53.5 $24.6 $— $(24.0)$207.0 

Eight Months Ended December 31, 2021 (Successor)
FloatersJackupsAROOtherReconciling ItemsConsolidated Total
Revenues$254.5 $487.1 $307.1 $93.4 $(307.1)$835.0 
Operating expenses
Contract drilling (exclusive of depreciation)250.7 365.2 246.2 38.9 (176.9)724.1 
Depreciation31.0 32.0 44.2 2.8 (43.9)66.1 
General and administrative— — 13.6 — 44.6 58.2 
Equity in earnings of ARO— — — — 6.1 6.1 
Operating income (loss)$(27.2)$89.9 $3.1 $51.7 $(124.8)$(7.3)
Property and equipment, net$408.2 $401.9 $730.6 $46.0 $(695.8)$890.9 
Capital expenditures$26.0 $23.7 $41.8 $— $(41.3)$50.2 

Four Months Ended April 30, 2021 (Predecessor)
FloatersJackupsAROOtherReconciling ItemsConsolidated Total
Revenues$115.7 $232.4 $163.5 $49.3 $(163.5)$397.4 
Operating expenses
Contract drilling (exclusive of depreciation)106.5 175.0 116.1 19.9 (73.7)343.8 
Loss on impairment 756.5 — — — — 756.5 
Depreciation72.1 69.7 21.0 14.8 (18.0)159.6 
General and administrative— — 4.2 — 26.5 30.7 
Equity in earnings of ARO— — — — 3.1 3.1 
Operating income (loss)$(819.4)$(12.3)$22.2 $14.6 $(95.2)$(890.1)
Property and equipment, net$419.3 $401.4 $730.7 $50.5 $(692.8)$909.1 
Capital expenditures$3.3 $5.4 $14.9 $— $(14.9)$8.7 
Year Ended December 31, 2020 (Predecessor)
FloatersJackupsAROOtherReconciling ItemsConsolidated Total
Revenues$505.8 $765.3 $549.4 $156.1 $(549.4)$1,427.2 
Operating expenses
Contract drilling (exclusive of depreciation)566.1 659.5 388.2 82.8 (226.2)1,470.4 
Loss on impairment 3,386.2 254.3 — 5.7 — 3,646.2 
Depreciation262.8 217.2 54.8 44.8 (38.8)540.8 
General and administrative— — 24.2 — 190.4 214.6 
Other operating income118.1 — — — — 118.1 
Equity in losses of ARO— — — — (7.8)(7.8)
Operating income (loss)$(3,591.2)$(365.7)$82.2 $22.8 $(482.6)$(4,334.5)
Property and equipment, net$6,413.4 $3,912.6 $736.2 $577.9 $(679.6)$10,960.5 
Capital expenditures$25.1 $58.9 $136.1 $— $(126.3)$93.8 
 
Information about Geographic Areas
 
As of December 31, 2022 (Successor), our Floaters segment consisted of 11 drillships, four dynamically positioned semisubmersible rigs and one moored semisubmersible rig deployed in various locations. Our Jackups segment consisted of 28 jackup rigs which were deployed in various locations and our Other segment consisted of eight jackup rigs which are leased to our 50/50 unconsolidated joint venture with Saudi Aramco.

As of December 31, 2022 (Successor), the geographic distribution of our and ARO's drilling rigs was as follows:
FloatersJackupsOtherTotal ValarisARO
North & South America 76—13—
Europe & the Mediterranean412—16—
Middle East & Africa368177
Asia & Pacific Rim24—6—
Total16288527

We provide management services in the U.S. Gulf of Mexico on two rigs owned by a third party not included in the table above.

We are a party to contracts whereby we have the option to take delivery of two recently constructed drillships that are not included in the table above.

ARO has ordered two newbuild jackups which are under construction in the Middle East that are not included in the table above.
Information by country for those countries that account for more than 10% of our long-lived assets, was as follows (in millions):
 Long-lived Assets
December 31, 2022December 31, 2021
United Kingdom$185.2 $142.4 
United States166.3 152.1 
Spain117.7 145.8 
Brazil102.0 57.6 
Other countries(1)
427.0 413.5 
Total$998.2 $911.4 
(1)Other countries includes countries where individually we had long-lived assets representing less than 10% of total long-lived assets

For purposes of our long-lived asset geographic disclosure, we attribute assets to the geographic location of the drilling rig or operating lease, in the case of our right-of-use assets, as of the end of the applicable year.