GAAP Reconciliation
Non-GAAP Financial Measures and Reconciliations
We use various numerical measures in conference calls, investor meetings and other forums which are or may be considered "Non-GAAP financial measures" under Regulation G. We have provided below for your reference supplemental financial disclosure for these measures, including the most directly comparable GAAP measure and an associated reconciliation.
Contract Drilling Backlog
Contract drilling backlog reflects both firm commitments (typically represented by signed contracts), as well as Letters of Intent (LOI). An LOI is subject to customary conditions, including the execution of a definitive agreement. Our contract backlog is calculated by multiplying the contracted operating dayrate by the firm contract period, assuming 100 percent utilization, but excluding revenues for mobilization, demobilization, contract preparation and customer reimbursables. The amount of actual revenue earned, and the actual periods during which revenues are earned, may be different than the stated backlog due to various operating factors including, but not limited to, unscheduled repairs, maintenance and weather.
EBITDA is defined as Operating Income with Depreciation and General and Administrative Expenses added back.