Energy, Automobile, EV, Renewable News | Valaris Reports Third Quarter 2022 Results

Valaris Reports Third Quarter 2022 Results

November 1, 2022

HAMILTON, Bermuda–(BUSINESS WIRE)–Valaris Limited (NYSE: VAL) (“Valaris” or the “Company”) today reported third quarter 2022 results.

President and Chief Executive Officer Anton Dibowitz said, “During the third quarter, we continued to deliver strong operational performance while remaining focused on providing safe, reliable, and efficient operations. We are pleased to once again be recognized by our customers as the No. 1 offshore driller in total satisfaction in the leading independent survey covering offshore drillers. We remain disciplined in our approach to fleet management and recently executed an agreement on a value-accretive rig sale, which will position us to redeploy capital on opportunities with more attractive return profiles.”

Dibowitz added, “The fundamental outlook for our industry remains constructive. A lack of investment in new sources of production over the past several years has contributed to a tight supply picture that has been exacerbated by geopolitical instability and an increased focus on energy security. We believe that the outlook for commodity supply and demand, and the significant reduction in excess rig capacity over the past several years, lay the foundation for a sustained upcycle. We retain significant operational leverage to the improving market through our high-quality stacked fleet and will continue to exercise our operational leverage in a disciplined manner to help maximize future earnings and free cash flow.”

Financial and Operational Highlights

Increased quarterly operating income by $77 million primarily due to the reactivation of four floaters earlier in the year;
Delivered revenue efficiency of 96% in the third quarter and 97% year to date;
Rated the No. 1 offshore driller in EnergyPoint Research’s 2022 customer satisfaction survey covering offshore drillers;
Won new contracts and extensions with associated contract backlog of more than $250 million, including floater contracts offshore Brazil and Mexico and jackup contracts in the Middle East, the North Sea, Latin America and Australia;
Received $40 million from ARO Drilling, representing a partial early repayment of our shareholder notes receivable, with a balance of $403 million after the repayment; and
Executed a sales agreement to divest 40-year old jackup VALARIS 54 for $28.5 million, which is expected to close in March 2023 upon completion of its existing contract.

Third Quarter Review

Net income was $78 million compared to $113 million in the second quarter 2022. Adjusted EBITDA increased to $76 million from $29 million in the second quarter. Adjusted EBITDAR increased to $94 million from $54 million in the second quarter.

Revenues increased to $437 million from $413 million in the second quarter 2022. Excluding reimbursable items, revenues increased to $416 million from $385 million in the second quarter. The increase was primarily due to higher utilization for floaters and higher average day rates for both the floater and jackup fleets, partially offset by a $51 million termination fee related to the termination of a contract for VALARIS DS-11 during the second quarter.

Contract drilling expense decreased to $337 million from $362 million in the second quarter 2022. Excluding reimbursable items, contract drilling expense decreased to $316 million from $334 million in the second quarter, primarily due to increased costs of certain claims and costs associated with the VALARIS DS-11 contract termination in the second quarter as well as lower reactivation costs, which decreased to $18 million from $24 million in the second quarter. This was partially offset by higher rig operating costs in the third quarter related to an increase in operating days across the fleet.

There was no loss on impairment in the third quarter 2022. Loss on impairment of $35 million in the second quarter related to the termination of a contract for VALARIS DS-11. Costs incurred for capital upgrades specific to the customer requirements resulted in a pre-tax, non-cash loss on impairment during the second quarter.

Depreciation expense increased marginally to $23 million from $22 million in the second quarter 2022. General and administrative expense of $19 million was in line with the second quarter.

Other income decreased to $30 million from $149 million in the second quarter 2022 due to gain on sale of assets of $135 million primarily related to the sale of jackups VALARIS 113, 114 and 36 in the second quarter as well as additional proceeds received in the second quarter on the sale of a rig in a prior year. This was partially offset by non-cash interest income of $15 million recognized in the third quarter for a write-off of the discount attributable to the $40 million of shareholder notes receivable repaid by ARO.

Tax expense was $14 million compared to $20 million in the second quarter 2022. The third quarter tax provision included $2 million of discrete tax expense primarily attributable to changes in liabilities for unrecognized tax benefits associated with tax positions taken in prior years, partially offset by discrete tax benefits attributable to the resolution of other prior period tax matters. The second quarter tax provision included $6 million of discrete tax expense primarily attributable to income associated with a contract termination. Adjusted for discrete items, tax expense decreased to $12 million from $14 million in the second quarter.

Third Quarter Segment Review

Floaters

Floater revenues increased to $202 million from $188 million in the second quarter 2022. Excluding reimbursable items, revenues increased to $192 million from $171 million in the second quarter. The increase was primarily due to the impact of reactivated rigs returning to work as VALARIS DS-9 and DS-4 started contracts early in the third quarter, following VALARIS DS-16 and DPS-1, which commenced contracts during the second quarter. Also, revenues increased for VALARIS MS-1 due to more operating days and a higher average day rate during the third quarter as compared to the second quarter. This was partially offset by a $51 million termination fee related to the termination of a contract for VALARIS DS-11 recognized during the second quarter.

Contract drilling expense decreased to $161 million from $165 million in the second quarter 2022. Excluding reimbursable items, contract drilling expense increased to $151 million from $148 million in the second quarter primarily due to higher activity levels resulting from the reactivation of several rigs. This was partially offset by increased costs of certain claims and costs associated with the VALARIS DS-11 contract termination during the second quarter, and lower rig reactivation costs in the third quarter as reactivated rigs returned to work.

Jackups

Jackup revenues increased to $196 million from $186 million in the second quarter 2022. Excluding reimbursable items, revenues increased to $190 million from $180 million in the second quarter primarily due to more operating days for VALARIS Viking and 107, which experienced some idle time between contracts in the second quarter, and higher average day rates for VALARIS Stavanger and 123. This was partially offset by idle time between contracts for VALARIS 118, out of service time for planned maintenance on VALARIS 92, and a lower average day rate for VALARIS Viking.

Contract drilling expense decreased to $128 million from $142 million in the second quarter 2022. Excluding reimbursable items, contract drilling expense decreased to $123 million from $136 million in the second quarter primarily due to repair and maintenance costs incurred during the second quarter related to leg repairs on VALARIS 107 and lower costs due to VALARIS 141 commencing a three-year bareboat charter agreement with ARO during the third quarter.

ARO Drilling

Revenues decreased to $111 million from $116 million in the second quarter 2022 primarily due to an increase in out of service time related to planned maintenance on certain rigs. Contract drilling expense increased to $90 million from $82 million in the second quarter primarily due to an increase in planned maintenance costs. Operating income was $1 million compared to $16 million in the second quarter. EBITDA was $17 million compared to $31 million in the second quarter.

Other

Revenues increased marginally to $40 million from $39 million in the second quarter 2022. Contract drilling expense decreased to $18 million from $25 million in the second quarter primarily due to increased costs of certain claims in the second quarter. Operating income was $21 million compared to $13 million in the second quarter. EBITDA was $22 million compared to $15 million in the second quarter.

	Third Quarter
	Floaters					Jackups				ARO					Other				Reconciling Items				Consolidated Total
(in millions of $, except %)	Q3 2022	Q2 2022		Chg		Q3 2022	Q2 2022	Chg		Q3 2022		Q2 2022	Chg		Q3 2022	Q2 2022	Chg		Q3 2022		Q2 2022		Q3 2022	Q2 2022		Chg

Revenues	201.7	188.1		7	%	195.9	185.8	5	%	111.4		116.4	(4	)%	39.6	39.4	1	%	(111.4	)	(116.4	)	437.2	413.3		6	%
Operating expenses
Contract drilling	160.5	165.3		3	%	128.0	142.2	10	%	90.0		82.1	(10	)%	17.8	24.7	28	%	(59.6	)	(52.5	)	336.7	361.8		7	%
Loss on Impairment	—	34.5		100	%	—	—	—		—		—	—	%	—	—	—	%	—		—		—	34.5		100	%
Depreciation	12.6	12.3		(2	)%	8.7	8.7	—	%	15.4		15.4	—	%	1.2	1.3	8	%	(15.3	)	(15.4	)	22.6	22.3		(1	)%
General and admin.	—	—		—	%	—	—	—	%	4.7		3.2	(47	)%	—	—	—	%	14.5		15.8		19.2	19.0		(1	)%
Equity in earnings of ARO	—	—		—	%	—	—	—	%	—		—	—	%	—	—	—	%	2.9		8.7		2.9	8.7		(67	)%
Operating income (loss)	28.6	(24.0	)	nm		59.2	34.9	70	%	1.3		15.7	(92	)%	20.6	13.4	54	%	(48.1	)	(55.6	)	61.6	(15.6	)	nm

Net income (loss)	28.6	(24.1	)	nm		59.1	170.3	(65	)%	(1.3	)	9.9	nm		20.7	13.4	54	%	(29.4	)	(56.7	)	77.7	112.8		(31	)%

Adjusted EBITDA	40.7	23.1		76	%	62.6	40.0	57	%	16.7		31.1	(46	)%	22.1	14.9	48	%	(66.1	)	(79.8	)	76.0	29.3		159	%
Adjusted EBITDAR	58.5	47.2		24	%	62.6	40.2	56	%	16.7		31.1	(46	)%	22.1	14.9	48	%	(66.1	)	(79.8	)	93.8	53.6		75	%

As previously announced, Valaris will hold its third quarter 2022 earnings conference call at 9:00 a.m. CT (10:00 a.m. ET) on Tuesday, November 1, 2022. An updated investor presentation will be available on the Valaris website after the call.

About Valaris Limited

Valaris Limited (NYSE: VAL) is the industry leader in offshore drilling services across all water depths and geographies. Operating a high-quality rig fleet of ultra-deepwater drillships, versatile semisubmersibles, and modern shallow-water jackups, Valaris has experience operating in nearly every major offshore basin. Valaris maintains an unwavering commitment to safety, operational excellence, and customer satisfaction, with a focus on technology and innovation. Valaris Limited is a Bermuda exempted company. To learn more, visit the Valaris website at www.valaris.com.

Forward-Looking Statements

Statements contained in this press release that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include words or phrases such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “likely,” “plan,” “project,” “could,” “may,” “might,” “should,” “will” and similar words and specifically include statements regarding expected financial performance; expected utilization, day rates, revenues, operating expenses, rig commitments and availability, cash flows, contract status, terms and duration, contract backlog, capital expenditures, insurance, financing and funding; impact of our emergence from bankruptcy; the offshore drilling market, including supply and demand, customer drilling programs, stacking of rigs, effects of new rigs on the market and effect of the volatility of commodity prices; expected work commitments, awards and contracts; letters of intent; scheduled delivery dates for rigs; performance of our joint venture with Saudi Aramco; the timing of delivery, mobilization, contract commencement, availability, relocation or other movement of rigs; future rig reactivations; expected divestitures of assets; general economic, market, business and industry conditions, including inflation and recessions, trends and outlook; general political conditions, including political tensions, conflicts and war (such as the ongoing conflict in Ukraine); future operations; increasing regulatory complexity; the outcome of tax disputes; assessments and settlements; and expense management. The forward-looking statements contained in this press release are subject to numerous risks, uncertainties and assumptions that may cause actual results to vary materially from those indicated, including cancellation, suspension, renegotiation or termination of drilling contracts and programs, including drilling contracts which grant the customer termination right if FID is not received with respect to projects for which the drilling rig is contracted; potential additional asset impairments; failure to satisfy our debt obligations; our ability to obtain financing, service our debt, fund capital expenditures and pursue other business opportunities; adequacy of sources of liquidity for us and our customers; the COVID-19 outbreak and global pandemic and the related public health measures implemented by governments worldwide, which may, among other things, impact our ability to staff rigs and rotate crews; the effects of our emergence from bankruptcy on the Company’s business, relationships, comparability of our financial results and ability to access financing sources; actions by regulatory authorities, or other third parties; actions by our security holders; commodity price fluctuations and volatility, customer demand, new rig supply, downtime and other risks associated with offshore rig operations; severe weather or hurricanes; changes in worldwide rig supply and demand, competition and technology; consumer preferences for alternative fuels; increased scrutiny of our Environmental, Social and Governance practices and reporting responsibilities; changes in customer strategy; future levels of offshore drilling activity; governmental action, civil unrest and political and economic uncertainties; terrorism, piracy and military action; risks inherent to shipyard rig reactivation, upgrade, repair, maintenance or enhancement; our ability to enter into, and the terms of, future drilling contracts; suitability of rigs for future contracts; the cancellation of letters of intent or letters of award or any failure to execute definitive contracts following announcements of letters of intent, letters of award or other expected work commitments; the outcome of litigation, legal proceedings, investigations or other claims or contract disputes; governmental regulatory, legislative and permitting requirements affecting drilling operations; our ability to attract and retain skilled personnel on commercially reasonable terms; environmental or other liabilities, risks or losses; debt restrictions that may limit our liquidity and flexibility; and cybersecurity risks and threats. In addition to the numerous factors described above, you should also carefully read and consider “Item 1A. Risk Factors” in Part I and “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II of our most recent annual report on Form 10-K, which is available on the SEC’s website at www.sec.gov or on the Investor Relations section of our website at www.valaris.com. Each forward-looking statement speaks only as of the date of the particular statement, and we undertake no obligation to update or revise any forward-looking statements, except as required by law.

VALARIS LIMITED AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS

(In millions, except per share amounts)

	Three Months Ended
	September 30, 2022			June 30, 2022			March 31, 2022			December 31, 2021			September 30, 2021
OPERATING REVENUES	$	437.2		$	413.3		$	318.4		$	305.5		$	326.7

OPERATING EXPENSES
Contract drilling (exclusive of depreciation)		336.7			361.8			331.3			285.5			274.6
Loss on impairment		—			34.5			—			—			—
Depreciation		22.6			22.3			22.5			25.1			24.4
General and administrative		19.2			19.0			18.8			18.3			27.2
Total operating expenses		378.5			437.6			372.6			328.9			326.2
EQUITY IN EARNINGS (LOSSES) OF ARO		2.9			8.7			4.3			(1.3	)		2.6
OPERATING INCOME (LOSS)		61.6			(15.6	)		(49.9	)		(24.7	)		3.1

OTHER INCOME (EXPENSE)
Interest income		27.9			11.2			10.9			11.0			9.7
Interest expense, net		(11.7	)		(11.6	)		(11.5	)		(11.7	)		(11.3	)
Reorganization items, net		(0.4	)		(0.7	)		(1.0	)		(4.9	)		(6.5	)
Other, net		14.1			149.7			11.0			27.0			5.5
		29.9			148.6			9.4			21.4			(2.6	)

INCOME (LOSS) BEFORE INCOME TAXES		91.5			133.0			(40.5	)		(3.3	)		0.5

PROVISION (BENEFIT) FOR INCOME TAXES		13.8			20.2			(0.7	)		(31.0	)		53.3

NET INCOME (LOSS)		77.7			112.8			(39.8	)		27.7			(52.8	)

NET (INCOME) LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS		(3.4	)		(1.2	)		1.2			—			(1.7	)

NET INCOME (LOSS) ATTRIBUTABLE TO VALARIS	$	74.3		$	111.6		$	(38.6	)	$	27.7		$	(54.5	)

INCOME (LOSS) PER SHARE
Basic	$	0.99		$	1.49		$	(0.51	)	$	0.37		$	(0.73	)
Diluted	$	0.98		$	1.48		$	(0.51	)	$	0.37		$	(0.73	)
WEIGHTED-AVERAGE SHARES OUTSTANDING
Basic		75.1			75.0			75.0			75.0			75.0
Diluted		75.6			75.6			75.0			75.0			75.0

VALARIS LIMITED AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In millions)

	September 30, 2022		June 30, 2022		March 31, 2022		December 31, 2021		September 30, 2021
ASSETS

CURRENT ASSETS
Cash and cash equivalents	$	406.0	$	553.5	$	578.2	$	608.7	$	620.8
Restricted cash		18.2		23.8		30.0		35.9		33.9
Short-term investments		220.0		—		—		—		—
Accounts receivable, net		535.5		544.6		439.3		444.2		455.8
Other current assets		162.9		159.0		125.7		117.8		117.0
Total current assets	$	1,342.6	$	1,280.9	$	1,173.2	$	1,206.6	$	1,227.5

PROPERTY AND EQUIPMENT, NET		953.6		931.7		930.2		890.9		892.3

LONG-TERM NOTES RECEIVABLE FROM ARO		246.9		264.5		256.8		249.1		241.3

INVESTMENT IN ARO		102.6		99.6		90.9		86.6		87.9

OTHER ASSETS		175.5		184.1		186.6		176.0		153.5

	$	2,821.2	$	2,760.8	$	2,637.7	$	2,609.2	$	2,602.5


LIABILITIES AND SHAREHOLDERS’ EQUITY

CURRENT LIABILITIES
Accounts payable – trade	$	256.6	$	287.0	$	311.2	$	225.8	$	203.0
Accrued liabilities and other		262.5		260.1		212.1		196.2		223.8
Total current liabilities	$	519.1	$	547.1	$	523.3	$	422.0	$	426.8

LONG-TERM DEBT		541.8		545.7		545.5		545.3		545.1

OTHER LIABILITIES		539.8		527.6		544.8		581.1		591.3

TOTAL LIABILITIES		1,600.7		1,620.4		1,613.6		1,548.4		1,563.2

TOTAL EQUITY		1,220.5		1,140.4		1,024.1		1,060.8		1,039.3

	$	2,821.2	$	2,760.8	$	2,637.7	$	2,609.2	$	2,602.5

VALARIS LIMITED AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions)

	Successor						Predecessor			Combined (Non-GAAP) ⁽³⁾
	Nine Months Ended September 30, 2022			Five Months Ended September 30, 2021 ⁽¹⁾			Four Months Ended April 30, 2021 ⁽²⁾			Nine Months Ended September 30, 2021
OPERATING ACTIVITIES
Net income (loss)	$	150.7		$	(56.9	)	$	(4,463.8	)	$	(4,520.7	)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Gain on asset disposals		(137.7	)		(0.2	)		(6.0	)		(6.2	)
Depreciation expense		67.4			41.0			159.6			200.6
Accretion of discount on notes receivable		(37.8	)		(12.9	)		—			(12.9	)
Loss on impairment		34.5			—			756.5			756.5
Equity in earnings of ARO		(15.9	)		(7.4	)		(3.1	)		(10.5	)
Net periodic pension and retiree medical income		(12.1	)		(6.1	)		(5.4	)		(11.5	)
Share-based compensation expense		11.5			1.6			4.8			6.4
Deferred income tax expense (benefit)		7.1			1.2			(18.2	)		(17.0	)
Amortization, net		(7.0	)		2.8			(4.8	)		(2.0	)
Amortization of debt issuance cost		0.7			0.3			—			0.3
Non-cash reorganization items, net		—			—			3,487.3			3,487.3
Other		0.8			—			7.3			7.3
Changes in operating assets and liabilities:		(85.9	)		19.3			68.5			87.8
Contributions to pension plans and other post-retirement benefits		(3.3	)		(1.7	)		(22.5	)		(24.2	)
Net cash used in operating activities	$	(27.0	)	$	(19.0	)	$	(39.8	)	$	(58.8	)

INVESTING ACTIVITIES
Purchases of short-term investments	$	(220.0	)	$	—		$	—		$	—
Additions to property and equipment		(153.1	)		(23.7	)		(8.7	)		(32.4	)
Net proceeds from disposition of assets		146.8			1.5			30.1			31.6
Repayments of note receivable from ARO		40.0			—			—			—
Net cash provided by (used in) investing activities	$	(186.3	)	$	(22.2	)	$	21.4		$	(0.8	)

FINANCING ACTIVITIES
Consent solicitation fees	$	(3.9	)	$	—		$	—		$	—
Payments related to tax withholdings for share-based awards		(2.5	)		—			—			—
Issuance of first lien notes		—			—			520.0			520.0
Payment to Predecessor creditors		—			—			(129.9	)		(129.9	)
Other		—			—			(1.4	)		(1.4	)
Net cash provided by (used in) financing activities	$	(6.4	)	$	—		$	388.7		$	388.7

Effect of exchange rate changes on cash and cash equivalents	$	(0.7	)	$	(0.1	)	$	(0.1	)	$	(0.2	)

INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	$	(220.4	)	$	(41.3	)	$	370.2		$	328.9
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD		644.6			696.0			325.8			325.8
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD	$	424.2		$	654.7		$	696.0		$	654.7

⁽¹⁾	Represents cash flows for the period from May 1, 2021, through September 30, 2021 (the “Successor” period).
⁽²⁾	Represents cash flows for the period from January 1, 2021, through April 30, 2021 (the “Predecessor” period).
⁽³⁾	As required by GAAP, results for the Successor and Predecessor periods must be presented separately. However, the Company has combined the cash flows of the Successor and Predecessor periods (“combined” results) as a non-GAAP measure to compare the nine-month period ended September 30, 2022, to the nine-month period ended September 30, 2021, since we believe it provides the most meaningful basis to analyze our results. These combined results do not comply with GAAP and have not been prepared as pro forma results under applicable SEC rules.

VALARIS LIMITED AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions)

	Three Months Ended
	September 30, 2022			June 30, 2022			March 31, 2022			December 31, 2021			September 30, 2021
OPERATING ACTIVITIES
Net income (loss)	$	77.7		$	112.8		$	(39.8	)	$	27.7		$	(52.8	)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation expense		22.6			22.3			22.5			25.1			24.4
Accretion of discount on notes receivable		(22.4	)		(7.7	)		(7.7	)		(7.9	)		(6.9	)
Amortization, net		(5.4	)		(3.2	)		1.6			(0.5	)		3.1
Share-based compensation expense		4.6			3.5			3.4			2.7			1.6
Net periodic pension and retiree medical income		(4.0	)		(4.1	)		(4.0	)		(2.6	)		(3.7	)
Equity in losses (earnings) of ARO		(2.9	)		(8.7	)		(4.3	)		1.3			(2.6	)
Deferred income tax expense (benefit)		0.4			7.3			(0.6	)		(22.5	)		0.1
Amortization of debt issuance cost		0.3			0.2			0.2			0.2			(0.1	)
Gain on asset disposals		(0.1	)		(135.1	)		(2.5	)		(21.0	)		(0.3	)
Loss on impairment		—			34.5			—			—			—
Other		0.5			0.3			—			0.3			0.2
Changes in operating assets and liabilities		16.4			(134.8	)		32.5			(9.0	)		45.0
Contributions to pension plans and other post-retirement benefits		(0.6	)		(1.9	)		(0.8	)		(1.0	)		(1.1	)
Net cash provided by (used in) operating activities	$	87.1		$	(114.6	)	$	0.5		$	(7.2	)	$	6.9

INVESTING ACTIVITIES
Purchases of short-term investments	$	(220.0	)	$	—		$	—		$	—		$	—
Additions to property and equipment		(53.5	)		(61.1	)		(38.5	)		(26.5	)		(15.6	)
Repayments of note receivable from ARO		40.0			—			—			—			—
Net proceeds from disposition of assets		0.3			145.2			1.3			23.6			1.3
Net cash provided by (used in) investing activities	$	(233.2	)	$	84.1		$	(37.2	)	$	(2.9	)	$	(14.3	)

FINANCING ACTIVITIES
Consent solicitation fees	$	(3.9	)	$	—		$	—		$	—		$	—
Payments for tax withholdings for share-based awards		(2.3	)		(0.2	)		—			—			—
Net cash used in financing activities	$	(6.2	)	$	(0.2	)	$	—		$	—		$	—

Effect of exchange rate changes on cash and cash equivalents	$	(0.8	)	$	(0.2	)	$	0.3		$	—		$	0.2

INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	$	(153.1	)	$	(30.9	)	$	(36.4	)	$	(10.1	)	$	(7.2	)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD		577.3			608.2			644.6			654.7			661.9
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD	$	424.2		$	577.3		$	608.2		$	644.6		$	654.7