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Segment information | 12 Months Ended
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Dec. 31, 2020
Segment Reporting [Abstract] |
Segment information | Segment information We use the management approach to identify our operating segments. We identified the Board of Directors as the Group’s chief operating decision maker ("CODM") which regularly reviews internal reports when making decisions about allocation of resources to segments and in assessing their performance. In the second half of 2020, we implemented a new operating unit structure which had an increased focus on asset class. The rationale behind this change was to better benchmark our operational performance against so called ‘pure play’ peers who are product line focused, thereby enhancing transparency, efficiency, cost control and leadership focus by asset class. We have updated our reportable segments in line with this change. We now have the following three reportable segments: 1.Harsh environment: Includes contract revenues, management contract revenue, reimbursable revenue and associated expenses for harsh environment semi-submersible and jack-up rigs. 2.Floaters: Includes contract revenues, management contract revenue, reimbursable revenue and associated expenses for benign environment semi-submersible rigs and drillships. 3.Jack-ups: Includes contract revenues, management contract revenue, reimbursable revenue and associated expenses for benign environment jack-up rigs. We previously included revenues and expenses relating to management services in the "other" reportable segment. We have now allocated revenues relating to management contracts and associated expenses to the three operating segments based on the type of rig being managed. This is in line with how segment performance is now assessed by the CODM based on both owned and managed rigs results. Segment results are evaluated on the basis of operating income and the information presented below is based on information used for internal management reporting. The change in reportable segments has been reflected retrospectively. Corresponding items of segment information for earlier periods have been recast. The remaining incidental revenues and expenses not included in the reportable segments are included in the "other" reportable segment. The below section splits out total operating revenue, depreciation, amortization of intangibles, operating net loss, drilling units and capital expenditures by segment: Total operating revenue
| Successor |  |  | Predecessor
(In $ millions) | Year ended December 31, 2020 |  | Year ended December 31, 2019 |  | Period from July 2, 2018 through December 31, 2018 |  |  | Period from January 1, 2018 through July 1, 2018
Harsh environment | 526 |  |  | 510 |  |  | 150 |  |  |  | 103 |
Floaters | 358 |  |  | 625 |  |  | 273 |  |  |  | 476 |
Jack-up rigs | 157 |  |  | 229 |  |  | 107 |  |  |  | 128 |
Other | 18 |  |  | 24 |  |  | 11 |  |  |  | 5 |
Total | 1,059 |  |  | 1,388 |  |  | 541 |  |  |  | 712 |
Depreciation
| Successor |  |  | Predecessor
(In $ millions) | Year ended December 31, 2020 |  | Year ended December 31, 2019 |  | Period from July 2, 2018 through December 31, 2018 |  |  | Period from January 1, 2018 through July 1, 2018
Harsh environment | 93 |  |  | 125 |  |  | 78 |  |  |  | 134 |
Floaters | 176 |  |  | 224 |  |  | 120 |  |  |  | 179 |
Jack-up rigs | 48 |  |  | 48 |  |  | 23 |  |  |  | 58 |
Other | 29 |  |  | 29 |  |  | 15 |  |  |  | 20 |
Total | 346 |  |  | 426 |  |  | 236 |  |  |  | 391 |
Amortization of intangibles
| Successor |  |  | Predecessor
(In $ millions) | Year ended December 31, 2020 |  | Year ended December 31, 2019 |  | Period from July 2, 2018 through December 31, 2018 |  |  | Period from January 1, 2018 through July 1, 2018
Harsh environment | 1 |  |  | — |  |  | (13) |  |  |  | — |
Floaters | — |  |  | 105 |  |  | 50 |  |  |  | — |
Jack-ups | — |  |  | 29 |  |  | 21 |  |  |  | — |
Total | 1 |  |  | 134 |  |  | 58 |  |  |  | — |
Impairment of drilling units and intangible assets
| Successor |  |  | Predecessor
(In $ millions) | Year ended December 31, 2020 |  | Year ended December 31, 2019 |  | Period from July 2, 2018 through December 31, 2018 |  |  | Period from January 1, 2018 through July 1, 2018
Harsh environment | 419 |  |  | — |  |  | — |  |  |  | 414 |
Floaters | 3,555 |  |  | — |  |  | — |  |  |  | — |
Jack-ups | 86 |  |  | — |  |  | — |  |  |  | — |
Other | 48 |  |  | — |  |  | — |  |  |  | — |
Total | 4,108 |  |  | — |  |  | — |  |  |  | 414 |
Operating net loss
| Successor |  |  | Predecessor
(In $ millions) | Year ended December 31, 2020 |  | Year ended December 31, 2019 |  | Period from July 2, 2018 through December 31, 2018 |  |  | Period from January 1, 2018 through July 1, 2018
Harsh environment | (396) |  |  | (69) |  |  | (59) |  |  |  | (562) |
Floaters | (3,781) |  |  | (201) |  |  | (112) |  |  |  | 42 |
Jack-ups | (87) |  |  | (2) |  |  | — |  |  |  | (73) |
Other | (218) |  |  | (23) |  |  | (4) |  |  |  | (20) |
Operating loss | (4,482) |  |  | (295) |  |  | (175) |  |  |  | (613) |
Unallocated items: |  |  |  |  |  |  |  |
Total financial items and other | (176) |  |  | (966) |  |  | (422) |  |  |  | (3,242) |
Loss before income taxes | (4,658) |  |  | (1,261) |  |  | (597) |  |  |  | (3,855) |
Drilling assets - Total assets
(In $ millions) | December 31, 2020 |  | December 31, 2019
Harsh environment rigs | 1,032 |  |  | 1,537 |
Floaters | 528 |  |  | 4,184 |
Jack-up Rigs | 560 |  |  | 680 |
Total Drilling Units | 2,120 |  |  | 6,401 |
Unallocated items: |  |  |
Investments in Associated companies | 248 |  |  | 389 |
Marketable securities | 8 |  |  | 11 |
Cash and restricted cash | 723 |  |  | 1,357 |
Other assets | 862 |  |  | 1,121 |
Total assets | 3,961 |  |  | 9,279 |
Drilling units - Capital expenditures (1)(2)
| Successor |  |  | Predecessor
(In $ millions) | Year ended December 31, 2020 |  | Year ended December 31, 2019 |  | Period from July 2, 2018 through December 31, 2018 |  |  | Period from January 1, 2018 through July 1, 2018
Harsh environment | 26 |  |  | 34 |  |  | 7 |  |  |  | 41 |
Floaters | 110 |  |  | 111 |  |  | 72 |  |  |  | 69 |
Jack-ups | 12 |  |  | 17 |  |  | 19 |  |  |  | 6 |
Total | 148 |  |  | 162 |  |  | 98 |  |  |  | 116 |
(1)The successor periods include additions to equipment (2)Capital expenditure includes long term maintenance projects. Geographic segment data Revenues are attributed to geographical segments based on the country of operations for drilling activities, i.e. the country where the revenues are generated. The following presents our revenues and fixed assets by geographic area: Revenues
| Successor |  |  | Predecessor
(In $ millions) | Year ended December 31, 2020 |  | Year ended December 31, 2019 |  | Period from July 2, 2018 through December 31, 2018 |  |  | Period from January 1, 2018 through July 1, 2018
Norway | 480 |  |  | 469 |  |  | 117 |  |  |  | 82 |
United States | 107 |  |  | 74 |  |  | 34 |  |  |  | 30 |
Saudi Arabia | 98 |  |  | 130 |  |  | 78 |  |  |  | 79 |
Angola | 89 |  |  | 215 |  |  | 29 |  |  |  | 100 |
Brazil | 51 |  |  | 137 |  |  | 91 |  |  |  | 188 |
Nigeria | — |  |  | 198 |  |  | 108 |  |  |  | 105 |
Others (1) | 234 |  |  | 165 |  |  | 84 |  |  |  | 128 |
Total Revenue | 1,059 |  |  | 1,388 |  |  | 541 |  |  |  | 712 |
(1)Other countries represent countries in which we operate that individually had revenues representing less than 10% of total revenues earned for any of the periods presented. Fixed assets – drilling units (1) Drilling unit fixed assets by geographic area are as follows:
(In $ millions) | December 31, 2020 |  | December 31, 2019
Norway | 1,044 |  |  | 1,818 |
Saudi Arabia | 234 |  |  | 244 |
Malaysia | 185 |  |  | 805 |
Qatar | 151 |  |  | 54 |
USA | 87 |  |  | 644 |
Brazil | 79 |  |  | 332 |
Spain | 49 |  |  | 615 |
Others (2) | 291 |  |  | 1,889 |
Total | 2,120 |  |  | 6,401 |
(1)Asset locations at the end of a period are not necessarily indicative of the geographic distribution of the revenues or operating profits generated by such assets during such period. (2)Other countries represent countries in which we operate that individually had fixed assets representing less than 10% of total fixed assets for any of the periods presented. Major customers In the years e nded December 31, 2020, the year ended December 31, 2019, the period from July 2, 2018 through December 31, 2018 (Successor), and the period from January 1, 2018 through July 1, 2018 (Predecessor), we had the following customers with total revenues greater than 10% in any of the years presented:
|  | Successor |  |  | Predecessor
| Segment | Year ended December 31, 2020 |  | Year ended December 31, 2019 |  | Period from July 2, 2018 through December 31, 2018 |  |  | Period from January 1, 2018 through July 1, 2018
ConocoPhillips | Harsh Environment | 16 | % |  | 11 | % |  | 13 | % |  |  | 8 | %
Equinor | Harsh Environment | 12 | % |  | 16 | % |  | 7 | % |  |  | 5 | %
Northern Ocean | Harsh Environment | 12 | % |  | 12 | % |  | — | % |  |  | — | %
Saudi Aramco | Jack-Ups | 9 | % |  | 10 | % |  | 14 | % |  |  | 11 | %
LLOG | Floaters | 7 | % |  | 4 | % |  | 6 | % |  |  | 4 | %
Petrobras | Floaters | 5 | % |  | 7 | % |  | 10 | % |  |  | 23 | %
Total | Floaters | 4 | % |  | 18 | % |  | 24 | % |  |  | 19 | %
ExxonMobil | Floaters | — |  |  | — | % |  | — | % |  |  | 10 | %
Other |  | 35 | % |  | 22 | % |  | 26 | % |  |  | 20 | %
Total |  | 100 | % |  | 100 | % |  | 100 | % |  |  | 100 | %

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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