19. Related Parties

HC2

In January 2015, the Company entered into a services agreement (the "Services Agreement") with Harbinger Capital Partners, a related party of the Company, with respect to the provision of services that may include providing office space and operational support and each party making available their respective employees to provide services as reasonably requested by the other party, subject to any limitations contained in applicable employment agreements and the terms of the Services Agreement. The Company recognized $1.0 million of expenses under the Services Agreement for each of the three months ended June 30, 2019 and 2018, respectively and $1.9 million for each of the six months ended June 30, 2019 and 2018, respectively.

GMSL

In November 2017, GMSL acquired the trenching and cable laying services business from Fugro N.V. ("Fugro"). As part of the transaction, Fugro became a 23.6% holder of GMSL's parent, Global Marine Holdings, LLC ("GMH"). GMSL, in the normal course of business, incurred revenue and expenses with Fugro for various services.

For the three months ended June 30, 2019 and 2018, GMSL recognized $3.1 million and $3.0 million, respectively, of expenses for transactions with Fugro. For the six months ended June 30, 2019 and 2018, GMSL recognized and $0.8 million and zero, respectively, of revenues and $5.3 million and $4.1 million, respectively, of expenses for such transactions with Fugro.

The parent company of GMSL, GMH, incurred management fees of $0.2 million for each of the three months ended June 30, 2019 and 2018, respectively, and $0.3 million and $0.4 million for the six months ended June 30, 2019 and 2018, respectively.

GMSL also has transactions with several of their equity method investees. A summary of transactions with such equity method investees and balances outstanding are as follows (in millions):



	Three Months Ended June 30,				Six Months Ended June 30,
	2019		2018		2019		2018
Net revenue	$	1.0	$	3.8	$	3.0	$	7.6
Operating expenses	$	0.1	$	0.6	$	0.7	$	1.0
Interest expense	$	0.3	$	0.3	$	0.5	$	0.7
Dividends	$	—	$	1.4	$	1.1	$	2.4



	June 30, 2019		December 31, 2018
Accounts receivable	$	0.8	$	5.0
Long-term obligations	$	25.6	$	28.5
Accounts payable	$	0.1	$	2.2

Life Sciences

Pansend has an investment in Triple Ring Technologies, Inc. ("Triple Ring"). Various subsidiaries of HC2 utilize the services of Triple Ring, incurring $0.7 million and $0.8 million in services for the three and six months ended June 30, 2019, respectively.

As of June 30, 2019, R2 converted its secured convertible note with Blossom Innovation, LLC into shares of R2 preferred equity.