XML 52 R18.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Commitments, Contingencies and Other Matters | 3 Months Ended
--- | ---
Mar. 31, 2015
Commitments And Contingencies Disclosure [Abstract] |
Commitments, Contingencies and Other Matters | 9. Commitments, Contingencies and Other Matters As of March 31, 2015, the Company maintained letters of credit in the aggregate amount of $39.8 million for the benefit of various insurance companies as collateral for retrospective premiums and retained losses which could become payable under the terms of the underlying insurance contracts. These letters of credit expire annually at various times during the year and are typically renewed. As of March 31, 2015, no amounts had been drawn under the letters of credit. As of March 31, 2015, the Company had commitments to purchase approximately $350 million of major equipment for its drilling and pressure pumping businesses. The Company’s pressure pumping business has entered into agreements to purchase minimum quantities of proppants and chemicals from certain vendors. These agreements expire in 2016, 2017 and 2018. As of March 31, 2015, the remaining obligation under these agreements was approximately $69.3 million, of which materials with a total purchase price of approximately $13.0 million were required to be purchased during the remainder of 2015. In the event that the required minimum quantities are not purchased during any contract year, the Company could be required to make a liquidated damages payment to the respective vendor for any shortfall. In November 2011, the Company’s pressure pumping business entered into an agreement with a proppant vendor to advance up to $12.0 million to such vendor to finance the construction of certain processing facilities. This advance is secured by the underlying processing facilities and bears interest at an annual rate of 5.0%. Repayment of the advance is to be made through discounts applied to purchases from the vendor and repayment of all amounts advanced must be made no later than October 1, 2017. As of March 31, 2015, advances of approximately $11.8 million had been made under this agreement and principal repayments of approximately $9.7 million had been received resulting in a balance outstanding of approximately $2.1 million. In May 2013, the U.S. Equal Employment Opportunity Commission (“EEOC”) notified the Company of cause findings related to certain employment practices of its U.S. drilling subsidiary. In March 2015, the EEOC filed a lawsuit, and on the same day the EEOC and the subsidiary filed a consent decree agreeing to settle the lawsuit on a no-fault basis and requiring the subsidiary to pay $12.26 million into a settlement fund for eligible participants. On April 17, 2015, a Federal court judge approved and signed the consent decree, which resolved the allegations in the lawsuit that the subsidiary engaged in a pattern or practice of nationwide discrimination based on race, color, and/or national origin in three respects: (i) creating and/or tolerating a hostile work environment, (ii) disparate treatment in terms and conditions of employment and (iii) retaliation. In October 2014, the Company was notified by EPA Region 6 that it intended to seek civil penalties for alleged RCRA administrative violations at a former facility of one of the Company’s subsidiaries in Midland, Texas. The EPA subsequently alleged RCRA administrative violations at other facilities of that subsidiary. EPA sought an aggregate monetary penalty of approximately $1.1 million. In late March 2015, the Company completed negotiations with the EPA and an Order was entered in April 2015 imposing a penalty of approximately $500,000 to resolve the alleged RCRA issues at certain current and former facilities. The Order also requires the subsidiary to assess its ongoing compliance status and address any deficiencies. Other than the matter described above, the Company is party to various legal proceedings arising in the normal course of its business; the Company does not believe that the outcome of these proceedings, either individually or in the aggregate, will have a material adverse effect on its financial condition, results of operations or cash flows.

X
- Details
Name: | us-gaap_CommitmentsAndContingenciesDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for commitments and contingencies. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.25) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6449706&loc=d3e16207-108621 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 460 -SubTopic 10 -Section 50 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=6398077&loc=d3e12565-110249 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 450 -SubTopic 20 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=25496072&loc=d3e14435-108349 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 440 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6394976&loc=d3e25287-109308 + Details
Name: | us-gaap_CommitmentsAndContingenciesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration