Cover page
Cover page - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 28, 2020 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-37386 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 32-0434238 | |
Entity Address, Address Line One | 1345 Avenue of the Americas, 45th Floor | |
Entity Address, City or Town | New York | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10105 | |
City Area Code | 212 | |
Local Phone Number | 798-6100 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 85,617,146 | |
Entity Registrant Name | Fortress Transportation & Infrastructure Investors LLC | |
Entity Central Index Key | 0001590364 | |
Document Fiscal Year Focus | 2020 | |
Amendment Flag | false | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year End Date | --12-31 | |
Class A common shares, $0.01 par value per share | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Class A common shares, $0.01 par value per share | |
Trading Symbol | FTAI | |
Security Exchange Name | NYSE | |
8.25% Fixed-to-Floating Rate Series A Cumulative Perpetual Redeemable Preferred Shares | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 8.25% Fixed-to-Floating Rate Series A Cumulative Perpetual Redeemable Preferred Shares | |
Trading Symbol | FTAI PR A | |
Security Exchange Name | NYSE | |
8.00% Fixed-to-Floating Rate Series B Cumulative Perpetual Redeemable Preferred Shares | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | 8.00% Fixed-to-Floating Rate Series B Cumulative Perpetual Redeemable Preferred Shares | |
Trading Symbol | FTAI PR B | |
Security Exchange Name | NYSE |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Assets [Abstract] | ||
Cash and cash equivalents | $ 50,870 | $ 226,512 |
Restricted cash | 49,178 | 16,005 |
Accounts receivable, net | 62,966 | 49,470 |
Leasing equipment, net | 1,769,799 | 1,707,059 |
Operating lease right-of-use assets, net | 62,816 | 37,466 |
Finance leases, net | 7,657 | 8,315 |
Property, plant, and equipment, net | 849,129 | 732,109 |
Investments | 175,872 | 180,550 |
Intangible assets, net | 23,720 | 27,692 |
Goodwill | 122,735 | 122,639 |
Other assets | 112,752 | 129,105 |
Total assets | 3,287,494 | 3,236,922 |
Liabilities | ||
Accounts payable and accrued liabilities | 108,360 | 144,855 |
Debt, net | 1,602,304 | 1,420,928 |
Maintenance deposits | 185,332 | 208,944 |
Security deposits | 38,795 | 45,252 |
Operating lease liabilities | 62,436 | 36,968 |
Other liabilities | 38,776 | 41,118 |
Total liabilities | 2,036,003 | 1,898,065 |
Commitments and contingencies | ||
Equity | ||
Common shares ($0.01 par value per share; 2,000,000,000 shares authorized; 85,610,800 and 84,917,448 shares issued and outstanding as of June 30, 2020 and December 31, 2019, respectively) | 856 | 849 |
Preferred shares ($0.01 par value per share; 200,000,000 shares authorized; 8,050,000 and 8,050,000 shares issued and outstanding as of June 30, 2020 and December 31, 2019, respectively) | 81 | 81 |
Additional paid in capital | 1,109,631 | 1,110,122 |
Retained earnings | 115,113 | 190,453 |
Accumulated other comprehensive (loss) income | (2,982) | 372 |
Shareholders' equity | 1,222,699 | 1,301,877 |
Non-controlling interest in equity of consolidated subsidiaries | 28,792 | 36,980 |
Total equity | 1,251,491 | 1,338,857 |
Total liabilities and equity | $ 3,287,494 | $ 3,236,922 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parentheticals) - $ / shares | Jun. 30, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 2,000,000,000 | 2,000,000,000 |
Common stock, shares issued (in shares) | 85,610,800 | 84,917,448 |
Common stock, shares outstanding (in shares) | 85,610,800 | 84,917,448 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 200,000,000 | 200,000,000 |
Preferred stock, shares issued (in shares) | 8,050,000 | 8,050,000 |
Preferred stock, shares outstanding (in shares) | 8,050,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Revenues | ||||
Revenues | $ 94,309 | $ 149,848 | $ 207,149 | $ 264,742 |
Expenses | ||||
Operating expenses | 24,572 | 85,783 | 58,016 | 140,093 |
General and administrative | 4,388 | 3,551 | 9,051 | 7,735 |
Acquisition and transaction expenses | 3,661 | 2,308 | 6,855 | 3,782 |
Management fees and incentive allocation to affiliate | 4,756 | 5,710 | 9,522 | 9,548 |
Depreciation and amortization | 41,720 | 42,052 | 83,917 | 80,915 |
Asset impairment | 10,476 | 0 | 10,476 | 0 |
Interest expense | 21,794 | 25,394 | 44,655 | 46,128 |
Total expenses | 111,367 | 164,798 | 222,492 | 288,201 |
Other (expense) income | ||||
Equity in losses of unconsolidated entities | (3,209) | (169) | (2,944) | (553) |
Gain (loss) on sale of assets, net | 768 | 22,622 | (1,051) | 24,340 |
Loss on extinguishment of debt | 0 | 0 | (4,724) | 0 |
Interest income | 22 | 240 | 63 | 331 |
Other (expense) income | (1) | 4,937 | 32 | 2,334 |
Total other (expense) income | (2,420) | 27,630 | (8,624) | 26,452 |
(Loss) income from continuing operations before income taxes | (19,478) | 12,680 | (23,967) | 2,993 |
Benefit from income taxes | (3,750) | (2,328) | (3,848) | (2,061) |
Net (loss) income from continuing operations | (15,728) | 15,008 | (20,119) | 5,054 |
Net income from discontinued operations, net of income taxes | 0 | 785 | 1,331 | 943 |
Net (loss) income | (15,728) | 15,793 | (18,788) | 5,997 |
Less: Net (loss) income attributable to non-controlling interests in consolidated subsidiaries: | ||||
Continuing operations | (4,112) | (4,580) | (8,848) | (7,940) |
Discontinued operations | 0 | 41 | 0 | (15) |
Dividends on preferred shares | 4,079 | 0 | 8,618 | 0 |
Net (loss) income attributable to shareholders | $ (15,695) | $ 20,332 | $ (18,558) | $ 13,952 |
Basic | ||||
Continuing operations (in dollars per share) | $ (0.18) | $ 0.23 | $ (0.23) | $ 0.15 |
Discontinued operations (in dollars per share) | 0 | 0.01 | 0.02 | 0.01 |
Diluted | ||||
Continuing operations (in dollars per share) | (0.18) | 0.23 | (0.23) | 0.15 |
Discontinued operations (in dollars per share) | $ 0 | $ 0.01 | $ 0.02 | $ 0.01 |
Weighted average shares outstanding: | ||||
Basic (in shares) | 86,009,959 | 85,987,769 | 86,009,029 | 85,987,115 |
Diluted (in shares) | 86,009,959 | 85,989,029 | 86,009,029 | 85,987,115 |
Equipment leasing revenues | ||||
Revenues | ||||
Revenues | $ 79,834 | $ 79,200 | $ 166,283 | $ 151,652 |
Infrastructure revenues | ||||
Revenues | ||||
Revenues | $ 14,475 | $ 70,648 | $ 40,866 | $ 113,090 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Statement of Comprehensive Income [Abstract] | |||||
Net (loss) income | $ (15,728,000) | $ 15,793,000 | $ (18,788,000) | $ 5,997,000 | |
Other comprehensive (loss) income: | |||||
Other comprehensive income (loss) related to equity method investees, net | [1] | (12,112,000) | 77,070,000 | (3,354,000) | 34,058,000 |
Comprehensive (loss) income | (27,840,000) | 92,863,000 | (22,142,000) | 40,055,000 | |
Continuing operations | (4,112,000) | (4,580,000) | (8,848,000) | (7,940,000) | |
Discontinued operations | 0 | 41,000 | 0 | (15,000) | |
Comprehensive (loss) income attributable to shareholders | (23,728,000) | 97,402,000 | (13,294,000) | 48,010,000 | |
Tax expense, cash flow hedge | $ (3,220,000) | $ 6,186,000 | $ (894,000) | $ 6,186,000 | |
[1] | Net of deferred tax (benefit) expense of $(3,220) and $6,186 for the three months ended June 30, 2020 and 2019, respectively, and $(894) and $6,186 for the six months ended June 30, 2020 and 2019, respectively. |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY - USD ($) $ in Thousands | Total | Common Shares | Preferred Shares | Additional Paid In Capital | Accumulated Deficit | Accumulated Other Comprehensive (Loss) Income | Non-Controlling Interest in Equity of Consolidated Subsidiaries |
Beginning balance at Dec. 31, 2018 | $ 1,053,782 | $ 840 | $ 0 | $ 1,029,376 | $ (32,817) | $ 56,383 | |
Comprehensive income (loss): | |||||||
Net income (loss) | (9,796) | (6,380) | (3,416) | ||||
Other comprehensive loss | (43,012) | $ (43,012) | 0 | ||||
Comprehensive (loss) income | (52,808) | (6,380) | (43,012) | (3,416) | |||
Issuance of common shares | 239 | 5 | 234 | ||||
Conversion of participating securities | (4) | (4) | |||||
Dividends declared - common shares | (28,383) | (28,383) | |||||
Equity-based compensation | 228 | 228 | |||||
Ending balance at Mar. 31, 2019 | 973,054 | 845 | 0 | 1,001,223 | (39,197) | (43,012) | 53,195 |
Beginning balance at Dec. 31, 2018 | 1,053,782 | 840 | 0 | 1,029,376 | (32,817) | 56,383 | |
Comprehensive income (loss): | |||||||
Net income (loss) | 5,997 | ||||||
Comprehensive (loss) income | 40,055 | ||||||
Dividends declared - preferred shares | 0 | ||||||
Ending balance at Jun. 30, 2019 | 1,038,233 | 848 | 0 | 972,836 | (18,865) | 34,058 | 49,356 |
Beginning balance at Mar. 31, 2019 | 973,054 | 845 | 0 | 1,001,223 | (39,197) | (43,012) | 53,195 |
Comprehensive income (loss): | |||||||
Net income (loss) | 15,793 | 20,332 | (4,539) | ||||
Other comprehensive loss | 77,070 | 77,070 | |||||
Comprehensive (loss) income | 92,863 | 20,332 | 77,070 | (4,539) | |||
Issuance of common shares | 3 | 3 | |||||
Conversion of participating securities | (3) | (3) | |||||
Dividends declared - common shares | (28,384) | (28,384) | |||||
Dividends declared - preferred shares | 0 | ||||||
Equity-based compensation | 700 | 700 | |||||
Ending balance at Jun. 30, 2019 | 1,038,233 | 848 | 0 | 972,836 | (18,865) | 34,058 | 49,356 |
Beginning balance at Dec. 31, 2019 | 1,338,857 | 849 | 81 | 1,110,122 | 190,453 | 372 | 36,980 |
Comprehensive income (loss): | |||||||
Net income (loss) | (3,060) | 1,676 | (4,736) | ||||
Other comprehensive loss | 8,758 | 8,758 | |||||
Comprehensive (loss) income | 5,698 | 1,676 | 8,758 | (4,736) | |||
Issuance of common shares | 156 | 2 | 154 | ||||
Conversion of participating securities | (2) | (2) | |||||
Dividends declared - common shares | (28,391) | (28,391) | |||||
Issuance costs of preferred shares | (246) | (246) | |||||
Dividends declared - preferred shares | (4,539) | (4,539) | |||||
Equity-based compensation | 291 | 291 | |||||
Ending balance at Mar. 31, 2020 | 1,311,824 | 851 | 81 | 1,110,028 | 159,199 | 9,130 | 32,535 |
Beginning balance at Dec. 31, 2019 | 1,338,857 | 849 | 81 | 1,110,122 | 190,453 | 372 | 36,980 |
Comprehensive income (loss): | |||||||
Net income (loss) | (18,788) | ||||||
Comprehensive (loss) income | (22,142) | ||||||
Dividends declared - preferred shares | (8,618) | ||||||
Ending balance at Jun. 30, 2020 | 1,251,491 | 856 | 81 | 1,109,631 | 115,113 | (2,982) | 28,792 |
Beginning balance at Mar. 31, 2020 | 1,311,824 | 851 | 81 | 1,110,028 | 159,199 | 9,130 | 32,535 |
Comprehensive income (loss): | |||||||
Net income (loss) | (15,728) | (11,616) | (4,112) | ||||
Other comprehensive loss | (12,112) | (12,112) | |||||
Comprehensive (loss) income | (27,840) | (11,616) | (12,112) | (4,112) | |||
Settlement of equity-based compensation | (42) | (42) | |||||
Issuance of common shares | 155 | 5 | 150 | ||||
Conversion of participating securities | (5) | (5) | |||||
Dividends declared - common shares | (28,391) | (28,391) | |||||
Issuance costs of preferred shares | (542) | (542) | |||||
Dividends declared - preferred shares | (4,079) | (4,079) | |||||
Equity-based compensation | 411 | 411 | |||||
Ending balance at Jun. 30, 2020 | $ 1,251,491 | $ 856 | $ 81 | $ 1,109,631 | $ 115,113 | $ (2,982) | $ 28,792 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (18,788) | $ 5,997 |
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities: | ||
Equity in losses of unconsolidated entities | 2,944 | 553 |
Gain on sale of subsidiaries | (1,331) | 0 |
Loss (gain) on sale of assets, net | 1,051 | (24,355) |
Security deposits and maintenance claims included in earnings | 2,951 | (2,869) |
Loss on extinguishment of debt | 4,724 | 0 |
Equity-based compensation | 702 | 928 |
Depreciation and amortization | 83,917 | 82,133 |
Asset impairment | 10,476 | 0 |
Change in current and deferred income taxes | (4,506) | (2,655) |
Change in fair value of non-hedge derivative | 181 | (250) |
Amortization of lease intangibles and incentives | 13,488 | 17,288 |
Amortization of deferred financing costs | 4,010 | 4,043 |
Bad debt expense | 1,761 | 3,062 |
Other | 759 | 547 |
Change in: | ||
Accounts receivable | (24,140) | (14,675) |
Other assets | 6,210 | (13,105) |
Accounts payable and accrued liabilities | (18,894) | 8,661 |
Management fees payable to affiliate | (20,987) | 871 |
Other liabilities | 124 | (8,062) |
Net cash provided by operating activities | 44,652 | 58,112 |
Cash flows from investing activities: | ||
Investment in unconsolidated entities | (2,514) | 0 |
Principal collections on finance leases | 3,320 | 2,996 |
Acquisition of leasing equipment | (206,299) | (209,171) |
Acquisition of property, plant and equipment | (130,073) | (159,252) |
Acquisition of lease intangibles | 1,997 | 623 |
Purchase deposits for acquisitions | (4,590) | (33,637) |
Proceeds from sale of leasing equipment | 37,687 | 71,497 |
Proceeds from sale of property, plant and equipment | 0 | 7 |
Return of capital distributions from unconsolidated entities | 0 | 1,280 |
Return of deposit on sale of engine | 2,350 | 0 |
Net cash used in investing activities | (298,122) | (325,657) |
Cash flows from financing activities: | ||
Proceeds from debt | 458,981 | 529,477 |
Repayment of debt | (275,991) | (128,835) |
Payment of deferred financing costs | (12,629) | (32,443) |
Receipt of security deposits | 853 | 3,475 |
Return of security deposits | (3,815) | (233) |
Receipt of maintenance deposits | 18,499 | 28,903 |
Release of maintenance deposits | (9,185) | (22,493) |
Issuance costs of preferred shares | (267) | 0 |
Purchase of non-controlling interest | (45) | 0 |
Cash dividends - common shares | (56,782) | (56,767) |
Cash dividends - preferred shares | (8,618) | 0 |
Net cash provided by financing activities | 111,001 | 321,084 |
Net (decrease) increase in cash and cash equivalents and restricted cash | (142,469) | 53,539 |
Cash and cash equivalents and restricted cash, beginning of period | 242,517 | 120,837 |
Cash and cash equivalents and restricted cash, end of period | 100,048 | 174,376 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Acquisition of leasing equipment | 25,326 | 1,558 |
Acquisition of property, plant and equipment | (13,631) | (13,735) |
Settled and assumed security deposits | (2,545) | (679) |
Billed, assumed and settled maintenance deposits | (20,113) | 14,563 |
Change in fair value of cash flow hedge | 0 | 34,058 |
Non-cash change in equity method investment | (3,354) | 0 |
Issuance of common shares | $ 304 | $ 242 |
ORGANIZATION
ORGANIZATION | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION | 1. ORGANIZATION Fortress Transportation and Infrastructure Investors LLC (“we”, “us”, “our” or the “Company”) is a Delaware limited liability company which, through its subsidiary, Fortress Worldwide Transportation and Infrastructure General Partnership (the “Partnership”), owns and leases aviation equipment and also owns and operates (i) a multi-modal crude oil and refined products terminal in Beaumont, Texas (“Jefferson Terminal”), (ii) a deep-water port located along the Delaware River with an underground storage cavern and multiple industrial development opportunities (“Repauno”) and (iii) an equity method investment in a multi-modal terminal located along the Ohio River with multiple industrial development opportunities, including a power plant under construction (“Long Ridge”). Additionally, we own and lease offshore energy equipment and shipping containers. We have three reportable segments, (i) Aviation Leasing, (ii) Jefferson Terminal and (iii) Ports and Terminals, which operate in two primary businesses, Equipment Leasing and Infrastructure (see Note 17). |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Accounting — The accompanying consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of us and our subsidiaries. Principles of Consolidation — We consolidate all entities in which we have a controlling financial interest and control over significant operating decisions, as well as variable interest entities (“VIEs”) in which we are the primary beneficiary. All significant intercompany transactions and balances have been eliminated. All adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The ownership interest of other investors in consolidated subsidiaries is recorded as non-controlling interest. We use the equity method of accounting for investments in entities in which we exercise significant influence but which do not meet the requirements for consolidation. Under the equity method, we record our proportionate share of the underlying net income (loss) of these entities as well as the proportionate interest in adjustments to other comprehensive income (loss). Use of Estimates — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Risks and Uncertainties — In the normal course of business, we encounter several significant types of economic risk including credit, market, and capital market risks. Credit risk is the risk of the inability or unwillingness of a lessee, customer, or derivative counterparty to make contractually required payments or to fulfill its other contractual obligations. Market risk reflects the risk of a downturn or volatility in the underlying industry segments in which we operate, which could adversely impact the pricing of the services offered by us or a lessee’s or customer’s ability to make payments, increase the risk of unscheduled lease terminations and depress lease rates and the value of our leasing equipment or operating assets. Capital market risk is the risk that we are unable to obtain capital at reasonable rates to fund the growth of our business or to refinance existing debt facilities. We, through our subsidiaries, also conduct operations outside of the United States; such international operations are subject to the same risks as those associated with our United States operations as well as additional risks, including unexpected changes in regulatory requirements, heightened risk of political and economic instability, potentially adverse tax consequences and the burden of complying with foreign laws. We do not have significant exposure to foreign currency risk as all of our leasing arrangements and the majority of terminal services revenue are denominated in U.S. dollars. Variable Interest Entities — The assessment of whether an entity is a VIE and the determination of whether to consolidate a VIE requires judgment. VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. A VIE is required to be consolidated by its primary beneficiary, and only by its primary beneficiary, which is defined as the party who has the power to direct the activities of a VIE that most significantly impact its economic performance and who has the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. Delaware River Partners LLC During 2016, through Delaware River Partners LLC (“DRP”), a consolidated subsidiary, we purchased the assets of Repauno, which consisted primarily of land, a storage cavern, and riparian rights for the acquired land, site improvements and rights. Upon acquisition there were no operational processes that could be applied to these assets that would result in outputs without significant green field development. We currently hold an approximately 98% economic interest, and a 100% voting interest in DRP. DRP is solely reliant on us to finance its activities and therefore is a VIE. We concluded that we were the primary beneficiary; and accordingly, DRP has been presented on a consolidated basis in the accompanying financial statements. Cash and Cash Equivalents — We consider all highly liquid short-term investments with a maturity of 90 days or less when purchased to be cash equivalents. Restricted Cash — Restricted cash consists of prepaid interest and principal pursuant to the requirements of certain of our debt agreements (see Note 9) and other qualifying construction projects at Jefferson Terminal. Inventory — Commodities inventory is carried at the lower of cost or net realizable value on our balance sheet. Commodities are removed from inventory based on the average cost at the time of sale. We had commodities inventory of $0.4 million and $5.6 million as of June 30, 2020 and December 31, 2019, respectively, which is included in Other assets in the Consolidated Balance Sheets. Deferred Financing Costs — Costs incurred in connection with obtaining long term financing are capitalized and amortized to interest expense over the term of the underlying loans. Unamortized deferred financing costs of $25.2 million and $18.1 million as of June 30, 2020 and December 31, 2019, respectively, are recorded as a component of debt in the Consolidated Balance Sheets. We also have unamortized deferred revolver fees related to our revolving debt of $2.4 million and $1.7 million as of June 30, 2020 and December 31, 2019, respectively, which are included in Other assets in the Consolidated Balance Sheets. Amortization expense was $1.9 million an d $2.0 million for the three months ended June 30, 2020 and 2019, respectively, and $4.0 million and $4.0 million for the six months ended June 30, 2020 and 2019, respectively, and is included in interest expense in the Consolidated Statements of Operations. Revenue Recognition Equipment Leasing Revenues Operating Leases —We lease equipment pursuant to net operating leases. Operating leases with fixed rentals and step rentals are recognized on a straight-line basis over the term of the lease, assuming no renewals. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the customer is placed on non-accrual status and revenue is recognized when cash payments are received. Generally, under our aircraft lease and engine agreements, the lessee is required to make periodic maintenance payments calculated based on the lessee’s utilization of the leased asset or at the end of the lease. Typically, under our aircraft lease agreements, the lessee is responsible for maintenance, repairs and other operating expenses throughout the term of the lease. These periodic maintenance payments accumulate over the term of the lease to fund major maintenance events, and we are contractually obligated to return maintenance payments to the lessee up to the amount paid by the lessee. In the event the total cost of maintenance events over the term of a lease is less than the cumulative maintenance payments, we are not required to return any unused or excess maintenance payments to the lessee. Maintenance payments received for which we expect to repay to the lessee are presented as Maintenance Deposits in our Consolidated Balance Sheets. All excess maintenance payments received that we do not expect to repay to the lessee are recorded as Maintenance revenues. For purchase and lease back transactions, we account for the transaction as a single arrangement. We allocate the consideration paid based on the fair value of the aircraft and lease. The fair value of the lease may include a lease premium or discount. In April 2020, the FASB Staff issued a question-and-answer document (the “Q&A”) regarding accounting for lease concessions related to the effects of the COVID-19 pandemic. The Q&A permits an entity to elect to forgo the evaluation of the enforceable rights and obligations of a lease contract required under ASC 842, Leases, as long as the total rent payments after the lease concessions are substantially the same, or less than, the total rent payments in the existing lease. The impact of the COVID-19 related lease concessions granted above did not have a material impact on our results of operations during the three and six months ended June 30, 2020. Finance Leases —From time to time we enter into finance lease arrangements that include a lessee obligation to purchase the leased equipment at the end of the lease term, a bargain purchase option, or provides for minimum lease payments with a present value that equals or exceeds substantially all of the fair value of the leased equipment at the date of lease inception. Net investment in finance lease represents the minimum lease payments due from lessee, net of unearned income. The lease payments are segregated into principal and interest components similar to a loan. Unearned income is recognized on an effective interest method over the lease term and is recorded as finance lease income. The principal component of the lease payment is reflected as a reduction to the net investment in finance leases. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the customer is placed on non-accrual status and revenue is recognized when cash payments are received. Infrastructure Revenues Terminal Services Revenues —Terminal services are provided to customers for the receipt and redelivery of various commodities. These revenues are recognized over time, i.e., as the services are rendered and the customer simultaneously receives and consumes the benefit over time. Lease Income —Lease income consists of rental income from tenants for storage space. Lease income is recognized on a straight-line basis over the term s of the relevant lease agreement. Crude Marketing Revenues —Crude marketing revenues consists of marketing revenue related to Canadian crude oil. The revenues are recognized over time, i.e., as the services are rendered and the customer simultaneously receives and consumes the benefit over time. Other Revenue —Other revenue primarily consists of revenue related to the handling, storage and sale of raw materials. Other revenue consists of two performance obligations: handling and storage of raw materials. The revenues are recognized over time, i.e., as the services are rendered and the customer simultaneously receives and consumes the benefit over time. Payment terms for Infrastructure Revenues are generally short term in nature. Leasing Arrangements — At contract inception, we evaluate whether an arrangement is or contains a lease for which we are the lessee (that is, arrangements which provide us with the right to control a physical asset for a period of time). Operating lease right-of-use (“ROU”) assets and lease liabilities are recognized in Operating lease right-of-use assets, net and Operating lease liabilities in our Consolidated Balance Sheets, respectively. Finance lease ROU assets are recognized in Property, plant and equipment, net and lease liabilities are recognized in Other liabilities in our Consolidated Balance Sheets. All lease liabilities are measured at the present value of the unpaid lease payments, discounted using our incremental borrowing rate based on the information available at commencement date of the lease. ROU assets , for both operating and finance leases , are initially measured based on the lease liability, adjusted for prepaid rent and lease incentives. ROU assets are subsequently measured at the carrying amount of the lease liability adjusted for prepaid or accrued lease payments and lease incentives. The finance lease ROU assets are subsequently amortized using the straight-line method. Operating lease expenses are recognized on a straight-line basis over the lease term. With respect to finance leases, amortization of the ROU asset is presented separately from interest expense related to the finance lease liability. Variable lease payments, which are primarily based on usage, are recognized when the associated activity occurs. We have elected to combine lease and non-lease components for all lease contracts where we are the lessee. Additionally, for arrangements with lease terms of 12 months or less, we do not recognize ROU assets, and lease liabilities and lease payments are recognized on a straight-line basis over the lease term with variable lease payments recognized in the period in which the obligation is incurred . Concentration of Credit Risk — We are subject to concentrations of credit risk with respect to amounts due from customers on our finance leases and operating leases. We attempt to limit our credit risk by performing ongoing credit evaluations. During the three months ended June 30, 2020, one customer in the Aviation Leasing segment accounted for approximately 10% of total revenue. During the three months ended June 30, 2019, one customer in the Jefferson Terminal segment accounted for approximately 23% of total revenue. During the six months ended June 30, 2020, one customer in the Jefferson Terminal segment and one customer in the Aviation segment each accounted for approximately 11% of total revenue. During the six months ended June 30, 2019, one customer in the Jefferson Terminal segment accounted for approximately 23% of total revenue. As of June 30, 2020, there were two customers in the Aviation Leasing segment that represented 27% and 14% of total accounts receivable, net, respectively. As of December 31, 2019, accounts receivable from one customer in the Jefferson Terminal segment represented 16% of total accounts receivable, net. We maintain cash and restricted cash balances, which generally exceed federally insured limits, and subject us to credit risk, in high credit quality financial institutions. We monitor the financial condition of these institutions and have not experienced any losses associated with these accounts. Allowance for Doubtful Accounts — We determine the allowance for doubtful accounts based on our assessment of the collectability of our receivables on a customer-by-customer basis. The allowance for doubtful accounts was $2.8 million and $1.3 million as of June 30, 2020 and December 31, 2019, respectively. Bad debt expense was $1.1 million and $0.0 million for the three months ended June 30, 2020 and 2019, respectively, and $1.8 million and $3.0 million for the six months ended June 30, 2020 and 2019, respectively, and is included in operating expenses in the Consolidated Statements of Operations. Comprehensive Income (Loss) — Comprehensive income (loss) is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances, excluding those resulting from investments by and distributions to owners. Our comprehensive income (loss) represents net income (loss), as presented in the Consolidated Statements of Operations, adjusted for fair value changes related to other comprehensive income related to our equity method investees. Derivative Financial Instruments Electricity Derivatives— Through our equity method investment in Long Ridge, we enter into derivative contracts as part of a risk management program to mitigate price risk associated with certain electricity price exposures. We primarily use swap derivative contracts, which are agreements to buy or sell a quantity of electricity at a predetermined future date and at a predetermined price. Cash Flow Hedges Certain of these derivative instruments are designated and qualify as cash flow hedges. Our share of the derivative's gain or loss is reported as Other comprehensive income related to equity method investees in our Consolidated Statements of Comprehensive (Loss) Income and recorded in Accumulated other comprehensive (loss) income in our Consolidated Balance Sheets. Derivatives Not Designated As Hedging Instruments Certain of these derivative instruments are not designated as hedging instruments for accounting purposes. The change in fair value of these contracts is recognized in Equity in earnings (losses) in unconsolidated entities in the Consolidated Statements of Operations. The cash flow impact of derivative contracts that are not designated as hedging instruments is recognized in Investment in unconsolidated entities in our Consolidated Statements of Cash Flows. Commodity Derivatives— We also enter into short-term and long-term crude forward contracts. Gains and losses related to our crude sales and purchase derivatives are recorded on a gross basis and are included in Crude marketing revenues and Operating expenses, respectively, in our Consolidated Statements of Operations. See Note 11 for additional details. The cash flow impact of these derivatives is recognized in Change in fair value of non-hedge derivatives in our Consolidated Statements of Cash Flows. To the extent that we have outstanding derivatives, they are not used for speculative purposes. We record all derivative assets and liabilities on a gross basis at fair value and are included in Other assets and Other liabilities, respectively, in our Consolidated Balance Sheets. Other Assets— Other assets is primarily comprised of lease incentives of $46.3 million and $45.3 million, prepaid expenses of $4.3 million and $4.1 million, notes receivable of $0.7 million and $2.4 million and maintenance right assets of $22.3 million and $24.5 million as of June 30, 2020 and December 31, 2019, respectively. Dividends— Dividends are recorded if and when declared by the Board of Directors. For both the three and six months ended June 30, 2020 and 2019, the Board of Directors declared a cash dividend of $0.33 and $0.66 per common share. Additionally, in the quarter ended June 30, 2020, the Board of Directors declared a cash dividend on the Series A Preferred Shares and Series B Preferred Shares of $0.52 and $0.50 per share, respectively. Recent Accounting Pronouncements — In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) . For assets held at amortized cost basis, ASU 2016-13 eliminates the probable initial recognition threshold in current GAAP and, instead, requires an entity to reflect its current estimate of all expected credit losses. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net amount expected to be collected. For available for sale debt securities, credit losses should be measured in a manner similar to current GAAP, however this ASU requires that credit losses be presented as an allowance rather than as a write-down. This ASU affects entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. We adopted this ASU in the first quarter of 2020 and adoption did not have a material impact on our consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment (“ASU 2017-04”). ASU 2017-04 addresses concerns over the cost and complexity of the two-step goodwill impairment test by removing the second step of the test. An entity will apply a one-step quantitative test and record the amount of goodwill impairment as the excess of a reporting unit's carrying amount over its fair value, not to exceed the total amount of goodwill allocated to the reporting unit. The new guidance does not amend the optional qualitative assessment of goodwill impairment. We adopted this ASU in the first quarter of 2020 and adoption did not have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement . This ASU eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of its disclosure framework project. We adopted this ASU in the first quarter of 2020 and adoption did not have a material impact on our consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , which temporarily simplifies the accounting for contract modifications, including hedging relationships, due to the transition from LIBOR and other interbank offered rates to alternative reference interest rates. For example, entities can elect not to remeasure the contracts at the modification date or reassess a previous accounting determination if certain conditions are met. Additionally, entities can elect to continue applying hedge accounting for hedging relationships affected by reference rate reform if certain conditions are met. The new standard was effective upon issuance and generally can be applied to applicable contract modifications through December 31, 2022. Adoption did not have a material impact on our consolidated financial statements. Unadopted Accounting Pronouncements — In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes (Topic 740) . This standard simplifies the accounting for income taxes by eliminating certain exceptions to the guidance in ASC 740 related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The standard also simplifies aspects of the accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. The standard is effective for public companies for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020 and early adoption is permitted. We are currently assessing the impact this guidance will have on our consolidated financial statements. |
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS | 6 Months Ended |
Jun. 30, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DISCONTINUED OPERATIONS | 3. DISCONTINUED OPERATIONS In December 2019, we completed the sale of substantially all of our railroad business (“CMQR”), which was previously reported as our Railroad segment. Under ASC 205-20, this disposition met the criteria to be reported as discontinued operations. Accordingly, the results of operations of CMQR have been reported as discontinued operations for all periods presented. The following table presents the significant components of net income from discontinued operations: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Revenues Total revenues $ — $ 9,157 $ — $ 18,890 Expenses Operating expense — 7,726 — 15,882 Depreciation and amortization — 548 — 1,218 Interest expense — 78 — 647 Total expenses — 8,352 — 17,747 Gain on sale of assets, net — 8 1,331 15 Other expense — 1 — — Other income — 9 1,331 15 Income before income taxes — 814 1,331 1,158 Provision for income taxes — 29 — 215 Net income — 785 1,331 943 Less: Net income (loss) attributable to non-controlling interests in consolidated subsidiaries — 41 — (15) Net income attributable to shareholders $ — $ 744 $ 1,331 $ 958 The following table presents the significant non-cash items and capital expenditures from discontinued operations: Six Months Ended June 30, 2020 2019 Operating activities: Depreciation and amortization $ — $ 1,218 Bad debt expense — 110 Share-based compensation expense — 167 Investing activities: Purchases of property, plant and equipment $ — $ 2,978 |
LEASING EQUIPMENT, NET
LEASING EQUIPMENT, NET | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
LEASING EQUIPMENT, NET | 4. LEASING EQUIPMENT, NET Leasing equipment, net is summarized as follows: June 30, 2020 December 31, 2019 Leasing equipment $ 2,146,948 $ 2,019,773 Less: accumulated depreciation (377,149) (312,714) Leasing equipment, net $ 1,769,799 $ 1,707,059 During the three months ended June 30, 2020, we performed impairment analyses over certain of our leasing equipment and determined that the carrying amount of certain assets were not recoverable. To determine fair value, we used both a market approach, using quoted market prices for the same or similar assets, and an income approach, using discounted cash flows and an estimated discount rate. As a result, we adjusted the carrying value of these assets to fair value and recognized transactional impairment charges of $10.5 million, net of redelivery compensation, during the second quarter of 2020. The following table presents information related to our acquisitions and dispositions of aviation leasing equipment during the six months ended June 30, 2020: Acquisitions: Aircraft 19 Engines 5 Dispositions: Aircraft — Engines 3 Depreciation expense for leasing equipment is summarized as follows: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Depreciation expense for leasing equipment $ 34,293 $ 35,150 $ 69,017 $ 67,046 |
FINANCE LEASES, NET
FINANCE LEASES, NET | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
FINANCE LEASES, NET | 5. FINANCE LEASES, NET Finance leases, net are summarized as follows: June 30, 2020 December 31, 2019 Finance leases $ 10,888 $ 12,388 Unearned revenue (3,231) (4,073) Finance leases, net $ 7,657 $ 8,315 |
PROPERTY, PLANT AND EQUIPMENT,
PROPERTY, PLANT AND EQUIPMENT, NET | 6 Months Ended |
Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT, NET | 6. PROPERTY, PLANT AND EQUIPMENT, NET Property, plant and equipment, net is summarized as follows: June 30, 2020 December 31, 2019 Land, site improvements and rights $ 51,889 $ 51,901 Construction in progress 322,353 211,110 Buildings and improvements 4,339 3,783 Terminal machinery and equipment 537,486 519,603 Track and track related assets 2,348 2,208 Railroad equipment 5,596 4,823 Computer hardware and software 4,986 4,325 Furniture and fixtures 2,443 2,322 Other 798 1,969 932,238 802,044 Less: accumulated depreciation (83,109) (69,935) Property, plant and equipment, net $ 849,129 $ 732,109 During the six months ended June 30, 2020, we added property, plant and equipment of $130.2 million, which primarily consists of terminal machinery and equipment placed in service or under development at Jefferson Terminal and Repauno. Depreciation expense for property, plant and equipment is summarized as follows: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Depreciation expense for property, plant and equipment: Continuing operations $ 6,538 $ 6,014 $ 13,123 $ 12,092 Discontinued operations — 544 — 1,203 Total $ 6,538 $ 6,558 $ 13,123 $ 13,295 |
INVESTMENTS
INVESTMENTS | 6 Months Ended |
Jun. 30, 2020 | |
Equity Method Investments and Joint Ventures [Abstract] | |
INVESTMENTS | 7. INVESTMENTS The following table presents the ownership interests and carrying values of our investments: Carrying Value Investment Ownership Percentage June 30, 2020 December 31, 2019 Advanced Engine Repair JV Equity method 25% $ 23,467 $ 24,652 Intermodal Finance I, Ltd. Equity method 51% 233 501 Long Ridge Terminal LLC Equity method 50% 152,172 155,397 Investments $ 175,872 $ 180,550 We did not recognize any other-than-temporary impairments for the three and six months ended June 30, 2020 or 2019. Equity Method Investments The following table presents our proportionate share of equity in income (losses): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Advanced Engine Repair JV $ (594) $ (242) $ (1,185) $ (443) JGP Energy Partners LLC — 92 — (128) Intermodal Finance I, Ltd. (33) (19) (83) 18 Long Ridge Terminal LLC (2,582) — (1,676) — Total $ (3,209) $ (169) $ (2,944) $ (553) Long Ridge Terminal LLC In December 2019, Ohio River Shareholder LLC (“ORP”) contributed its equity interests in Long Ridge into Long Ridge Terminal LLC and sold a 49.9% interest (the “Long Ridge Transaction”) for $150 million in cash, plus an earn out. We no longer have a controlling interest in Long Ridge but still maintain significant influence through our retained interest and, therefore, now account for this investment in accordance with the equity method. Following the sale we deconsolidated ORP, which held the assets of Long Ridge. The following table presents a summarized statement of operations: Three Months Ended June 30, 2020 Six Months Ended June 30, 2020 Total revenue $ 5,169 $ 9,907 Total expenses (8,483) (14,858) Other (loss) income (1,840) 1,605 Net loss $ (5,154) $ (3,346) Advanced Engine Repair JV In December 2016, we invested $15 million for 25% interest in an advanced engine repair joint venture. We focus on developing new costs savings programs for engine repairs. We exercise significant influence over this investment and account for this investment as an equity method investment. In August 2019, we expanded the scope of our joint venture and invested an additional $13.5 million and maintained a 25% interest. The following table presents a summarized statement of operations: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Total revenue $ — $ — $ — $ — Total expenses (2,374) (1,047) (4,738) (1,851) Net loss $ (2,374) $ (1,047) $ (4,738) $ (1,851) JGP Energy Partners LLC In 2016, we initiated activities in a 50% non-controlling interest in JGP, a joint venture. JGP was governed by a designated operating committee selected by the members in proportion to their equity interests. JGP was solely reliant on its members to finance its activities and therefore was a VIE. Initially, we concluded that we were not the primary beneficiary of JGP as the members shared equally in the risks and rewards and decision making authority of the entity and, therefore, we did not consolidate JGP and instead accounted for this investment in accordance with the equity method. In December 2019, we purchased the remaining 50% interest in JGP from the joint venture partner for a purchase price of approximately $30 million, consolidated JGP and no longer account for this as an equity method investment. Intermodal Finance I, Ltd. In 2012, we acquired a 51% non-controlling interest in Intermodal Finance I, Ltd. (“Intermodal”), a joint venture. Intermodal is governed by a board of directors, and its shareholders have voting rights through their equity interests. As such, Intermodal is not within the scope of ASC 810-20 and should be evaluated for consolidation under the voting interest model. Due to the existence of substantive participating rights of the 49% equity investor, including the joint approval of material operating and capital decisions, such as material contracts and capital expenditures consistent with ASC 810-10-25-11, we do not have unilateral rights over this investment; therefore, we do not consolidate Intermodal but account for this investment in accordance with the equity method. We do not have a variable interest in this investment as none of the criteria of ASC 810-10-15-14 were met. |
INTANGIBLE ASSETS AND LIABILITI
INTANGIBLE ASSETS AND LIABILITIES, NET | 6 Months Ended |
Jun. 30, 2020 | |
Intangible Assets and Liabilities Disclosure [Abstract] | |
INTANGIBLE ASSETS AND LIABILITIES, NET | 8. INTANGIBLE ASSETS AND LIABILITIES, NET Intangible assets and liabilities, net are summarized as follows: June 30, 2020 Aviation Leasing Jefferson Terminal Total Intangible assets Acquired favorable lease intangibles $ 35,349 $ — $ 35,349 Less: Accumulated amortization (26,434) — (26,434) Acquired favorable lease intangibles, net 8,915 — 8,915 Customer relationships — 35,513 35,513 Less: Accumulated amortization — (20,708) (20,708) Acquired customer relationships, net — 14,805 14,805 Total intangible assets, net $ 8,915 $ 14,805 $ 23,720 Intangible liabilities Acquired unfavorable lease intangibles $ 7,151 $ — $ 7,151 Less: Accumulated amortization (3,131) — (3,131) Acquired unfavorable lease intangibles, net $ 4,020 $ — $ 4,020 December 31, 2019 Aviation Leasing Jefferson Terminal Total Intangible assets Acquired favorable lease intangibles $ 49,762 $ — $ 49,762 Less: Accumulated amortization (38,652) — (38,652) Acquired favorable lease intangibles, net 11,110 — 11,110 Customer relationships — 35,513 35,513 Less: Accumulated amortization — (18,931) (18,931) Acquired customer relationships, net — 16,582 16,582 Total intangible assets, net $ 11,110 $ 16,582 $ 27,692 Intangible liabilities Acquired unfavorable lease intangibles $ 5,170 $ — $ 5,170 Less: Accumulated amortization (3,014) — (3,014) Acquired unfavorable lease intangibles, net $ 2,156 $ — $ 2,156 Intangible liabilities relate to unfavorable lease intangibles and are included as a component of other liabilities in the Consolidated Balance Sheets. Amortization of intangible assets and liabilities is as follows: Classification in Consolidated Statements of Operations Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Lease intangibles Equipment leasing revenues $ 931 $ 2,202 $ 2,063 $ 4,664 Customer relationships: Depreciation and amortization Continuing operations 889 888 1,777 1,777 Discontinued operations — 4 — 15 Total $ 1,820 $ 3,094 $ 3,840 $ 6,456 As of June 30, 2020, estimated net annual amortization of intangibles is as follows: Remainder of 2020 $ 3,523 2021 6,213 2022 4,385 2023 3,343 2024 2,236 Thereafter — Total $ 19,700 |
DEBT, NET
DEBT, NET | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
DEBT, NET | 9. DEBT, NET Our debt, net is summarized as follows: June 30, 2020 December 31, 2019 Outstanding Borrowings Stated Interest Rate Maturity Date Outstanding Borrowings Loans payable FTAI Pride Credit Agreement $ — N/A N/A $ 36,009 Revolving Credit Facility (1) 195,000 (i) Base Rate + 2.00%; or (ii) Adjusted Eurodollar Rate + 3.00% 1/31/2022 — Jefferson Revolver — N/A N/A 50,000 DRP Revolver (2) 25,000 (i) Base Rate + 1.50%; or (ii) Base Rate + 2.50% (Eurodollar) 11/5/2021 25,000 Total loans payable 220,000 111,009 Bonds payable Series 2012 Bonds (3) — N/A N/A 41,059 Series 2016 Bonds — N/A N/A 144,200 Series 2020 Bonds 263,980 See below See below — Senior Notes due 2022 (4) 698,207 6.75% 3/15/2022 697,814 Senior Notes due 2025 (5) 445,321 6.50% 10/1/2025 444,957 Total bonds payable 1,407,508 1,328,030 Debt 1,627,508 1,439,039 Less: Debt issuance costs (25,204) (18,111) Total debt, net $ 1,602,304 $ 1,420,928 Total debt due within one year $ — $ 182,019 ________________________________________________________ (1) Requires a quarterly commitment fee at a rate of 0.50% on the average daily unused portion, as well as customary letter of credit fees and agency fees. (2) Requires a quarterly commitment fee at a rate of 0.875% on the average daily unused portion, as well as customary letter of credit fees and agency fees. (3) Includes unamortized premium of $1,509 as of December 31, 2019. (4) Includes unamortized discount of $4,348 and $5,429 at June 30, 2020 and December 31, 2019, respectively, and an unamortized premium of $2,555 and $3,243 at June 30, 2020 and December 31, 2019, respectively. (5) Includes unamortized discount of $4,679 and $5,043 at June 30, 2020 and December 31, 2019, respectively. Series 2020 Bonds — On February 11, 2020, our subsidiary (“Jefferson”) issued Series 2020 Bonds in an aggregate principal amount of approximately $264.0 million (“Jefferson Refinancing”). The Series 2020 Bonds are designated as $184.9 million of Series 2020A Dock and Wharf Facility Revenue Bonds (the “Tax Exempt Series 2020A Bonds”), and $79.1 million of Series 2020B Taxable Facility Revenue Bonds (the “Taxable Series 2020B Bonds”). The Tax Exempt Series 2020A Bonds maturing on January 1, 2035 ($53.5 million aggregate principal amount) bear interest at a fixed rate of 3.625%. The Tax Exempt Series 2020A Bonds maturing on January 1, 2050 ($131.4 million aggregate principal amount) bear interest at a fixed rate of 4.00%. The Taxable Series 2020B Bonds will mature on January 1, 2025 and bear interest at a fixed rate of 6.00%. Jefferson used a portion of the net proceeds from this offering to refund, redeem and defease the Series 2012 Bonds, Series 2016 Bonds and Jefferson Revolver, and intends to use a portion of the net proceeds to pay for or reimburse the cost of development, construction and acquisition of certain facilities, to fund certain reserve and funded interest accounts related to the Series 2020 Bonds, and to pay for or reimburse certain costs of issuance of the Series 2020 Bonds. Jefferson recognized a loss on extinguishment of debt of $4.7 million as a result of this transaction. FTAI Pride Credit Agreement — During March 2020, we repaid the FTAI Pride Credit Agreement in full. Revolving Credit Facility — On May 11, 2020, we entered into an amendment to the Revolving Credit Facility which, among other things, (i) permits the incurrence of additional secured indebtedness to finance the potential acquisition of certain aviation assets, subject to certain limitations, (ii) provides that, to the extent borrowings under the Existing Credit Agreement exceed $150 million, we will pledge certain aviation assets as additional collateral and (iii) incorporates certain other updates, including procedures by which the parties will select a replacement benchmark interest rate in the event that LIBOR is no longer available or appropriate as a reference rate upon which to determine the interest rate under the Existing Credit Agreement. We were in compliance with all debt covenants as of June 30, 2020. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | 10. FAIR VALUE MEASUREMENTS Fair value measurements and disclosures require the use of valuation techniques to measure fair value that maximize the use of observable inputs and minimize use of unobservable inputs. These inputs are prioritized as follows: • Level 1: Observable inputs such as quoted prices in active markets for identical assets or liabilities. • Level 2: Inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities or market corroborated inputs. • Level 3: Unobservable inputs for which there is little or no market data and which require us to develop our own assumptions about how market participants price the asset or liability. The valuation techniques that may be used to measure fair value are as follows: • Market approach—Uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. • Income approach—Uses valuation techniques to convert future amounts to a single present amount based on current market expectations about those future amounts. • Cost approach—Based on the amount that currently would be required to replace the service capacity of an asset (replacement cost). The following tables set forth our financial assets measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019, by level within the fair value hierarchy. Assets measured at fair value are classified in their entirety based on the lowest level of input that is significant to their fair value measurement. Fair Value as of Fair Value Measurements Using Fair Value Hierarchy as of June 30, 2020 June 30, 2020 Total Level 1 Level 2 Level 3 Valuation Technique Assets Cash and cash equivalents $ 50,870 $ 50,870 $ — $ — Market Restricted cash 49,178 49,178 — — Market Total assets $ 100,048 $ 100,048 $ — $ — Fair Value as of Fair Value Measurements Using Fair Value Hierarchy as of December 31, 2019 December 31, 2019 Total Level 1 Level 2 Level 3 Valuation Technique Assets Cash and cash equivalents $ 226,512 $ 226,512 $ — $ — Market Restricted cash 16,005 16,005 — — Market Derivative assets 181 — — 181 Income Total $ 242,698 $ 242,517 $ — $ 181 Our cash and cash equivalents and restricted cash consist largely of demand deposit accounts with maturities of 90 days or less when purchased that are considered to be highly liquid. These instruments are valued using inputs observable in active markets for identical instruments and are therefore classified as Level 1 within the fair value hierarchy. The fair value of our commodity derivative assets and liabilities classified as Level 3 measurements are estimated by applying the income approach, which is based on discounted projected future cash flows. The valuation of our electricity derivatives within our equity method investment in Long Ridge is based on management’s best estimate of certain key assumptions, which include extrapolated power forward curves for periods with unobservable market pricing, credit valuation adjustments utilizing estimated cash flows, estimated price volatility and probability of default, and the discount rate. The valuation of our commodity derivatives is based on management’s best estimate of certain key assumptions, which include an estimated differential factor for varying quality of commodity and the discount rate. Except as discussed below, our financial instruments other than cash and cash equivalents and restricted cash consist principally of accounts receivable, accounts payable and accrued liabilities, loans payable, bonds payable, security deposits, maintenance deposits and management fees payable, whose fair values approximate their carrying values based on an evaluation of pricing data, vendor quotes, and historical trading activity or due to their short maturity profiles. The fair value of our bonds and notes payable reported as debt, net in the Consolidated Balance Sheets are presented in the table below: June 30, 2020 December 31, 2019 Series 2012 Bonds (1) $ — $ 41,450 Series 2016 Bonds (1) — 145,143 Series A 2020 Bonds (2) 177,964 — Series B 2020 Bonds (2) 78,756 — Senior Notes due 2022 674,324 731,451 Senior Notes due 2025 407,462 475,884 ________________________________________________________ (1) These bonds were defeased as part of the Jefferson Refinancing. See Note 9 for additional details. (2) Fair value is based upon market prices for similar municipal securities. Due to the COVID-19 pandemic, the fair values of our notes and bonds fluctuated significantly during the first half of 2020 and may continue to fluctuate based on market conditions and other factors. The fair value of all other items reported as debt, net in the Consolidated Balance Sheet approximate their carrying values due to their bearing market rates of interest and are classified as Level 2 within the fair value hierarchy. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 6 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | 11. DERIVATIVE FINANCIAL INSTRUMENTS Commodity Derivatives Depending on market conditions, we source crude oil from producers in Canada, arranging logistics to Jefferson Terminal and marketing crude oil to third parties. We exited this strategy in the fourth quarter of 2019. These crude oil forward purchase and sales contracts are not designated in hedging relationships. The following table presents a summary of the changes in fair value for all Level 3 derivatives: Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Crude Oil Forwards Electricity Swaps (1) Crude Oil Forwards Crude Oil Forwards Electricity Swaps (1) Crude Oil Forwards Beginning Balance $ — $ (45,382) $ 5,695 $ 181 $ — $ 6,545 Net unrealized gains (losses) recognized in earnings — 4,887 (1,417) (181) 2,517 (2,267) Gains recognized in other comprehensive income — 83,256 — — 40,244 — Purchases — — 310 — 314 Sales — — 113 — (854) Settlements — — (424) — — 539 Ending Balance $ — $ 42,761 $ 4,277 $ — $ 42,761 $ 4,277 ________________________________________________________ (1) These derivatives were deconsolidated in December 2019 due to the Long Ridge Transaction. See Note 7 for additional details. |
REVENUES
REVENUES | 6 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | 12. REVENUES We disaggregate our revenue from contracts with customers by products and services provided for each of our segments, as we believe it best depicts the nature, amount, timing and uncertainty of our revenue. Revenues attributed to our Equipment Leasing business unit are within the scope of ASC 842, while revenues attributed to our Infrastructure business unit are within the scope of ASC 606, unless otherwise noted. Under the provisions of ASC 842, we have elected to exclude sales and other similar taxes from lease payments in arrangements where we are a lessor. Three Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Equipment leasing revenues Lease income $ 42,505 $ — $ — $ 2,129 $ 44,634 Maintenance revenue 27,105 — — — 27,105 Finance lease income 413 — — — 413 Other revenue 5,236 — — 2,446 7,682 Total equipment leasing revenues 75,259 — — 4,575 79,834 Infrastructure revenues Lease income — 287 — — 287 Terminal services revenues — 12,794 — — 12,794 Crude marketing revenues — — — — — Other revenue — — — 1,394 1,394 Total infrastructure revenues — 13,081 — 1,394 14,475 Total revenues $ 75,259 $ 13,081 $ — $ 5,969 $ 94,309 Three Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Equipment leasing revenues Lease income $ 48,731 $ — $ — $ 3,157 $ 51,888 Maintenance revenue 25,369 — — — 25,369 Finance lease income 881 — — — 881 Other revenue — — — 1,062 1,062 Total equipment leasing revenues 74,981 — — 4,219 79,200 Infrastructure revenues Lease income — 821 265 — 1,086 Terminal services revenues — 7,537 1,028 — 8,565 Crude marketing revenues — 59,204 — — 59,204 Other revenue — — 973 820 1,793 Total infrastructure revenues — 67,562 2,266 820 70,648 Total revenues $ 74,981 $ 67,562 $ 2,266 $ 5,039 $ 149,848 Six Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Equipment leasing revenues Lease income $ 89,446 $ — $ — $ 5,001 $ 94,447 Maintenance revenue 59,100 — — — 59,100 Finance lease income 842 — — — 842 Other revenue 8,863 — — 3,031 11,894 Total equipment leasing revenues 158,251 — — 8,032 166,283 Infrastructure revenues Lease income — 407 — — 407 Terminal services revenues — 29,205 — — 29,205 Crude marketing revenues — 8,210 — — 8,210 Other revenue — — 314 2,730 3,044 Total infrastructure revenues — 37,822 314 2,730 40,866 Total revenues $ 158,251 $ 37,822 $ 314 $ 10,762 $ 207,149 Six Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Equipment leasing revenues Lease income $ 96,034 $ — $ — $ 5,090 $ 101,124 Maintenance revenue 47,146 — — — 47,146 Finance lease income 1,707 — — — 1,707 Other revenue 505 — — 1,170 1,675 Total equipment leasing revenues 145,392 — — 6,260 151,652 Infrastructure revenues Lease income — 1,129 620 — 1,749 Terminal services revenues — 12,404 2,846 — 15,250 Crude marketing revenues — 89,983 — — 89,983 Other revenue — — 4,514 1,594 6,108 Total infrastructure revenues — 103,516 7,980 1,594 113,090 Total revenues $ 145,392 $ 103,516 $ 7,980 $ 7,854 $ 264,742 Presented below are the contracted minimum future annual revenues to be received under existing operating and finance leases across several market sectors as of June 30, 2020: Operating Leases Finance Leases Remainder of 2020 $ 91,457 $ 770 2021 150,867 1,291 2022 95,870 897 2023 59,785 273 2024 37,687 — Thereafter 22,149 — Total $ 457,815 $ 3,231 |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
LEASES | 13. LEASES We have commitments as lessees under lease arrangements primarily for real estate, equipment and vehicles. Our leases have remaining lease terms ranging from approximately 1 to 42 years. The following table presents lease related costs: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease expense $ 1,229 $ 1,595 $ 2,364 $ 3,199 Short-term lease expense 160 672 450 1,732 Variable lease expense 264 605 1,104 897 Lease expense from continuing operations 1,653 2,872 3,918 5,828 Finance lease expense — 79 — 158 Operating lease expense — 925 — 1,850 Lease expense from discontinued operations — 1,004 — 2,008 Total lease expense $ 1,653 $ 3,876 $ 3,918 $ 7,836 The following table presents information related to our operating leases as of and for the six months ended June 30, 2020: Right-of-use assets, net $ 62,816 Lease liabilities 62,436 Weighted average remaining lease term 40.4 years Weighted average incremental borrowing rate 6.2 % Cash paid for amounts included in the measurement of operating lease liabilities Continuing operations $ 2,371 Discontinued operations $ — The following table presents future minimum lease payments under non-cancellable operating leases as of June 30, 2020: Remainder of 2020 $ 2,378 2021 4,750 2022 4,632 2023 4,585 2024 4,354 Thereafter 149,992 Total undiscounted lease payments 170,691 Less: Imputed interest 108,255 Total lease liabilities $ 62,436 |
EQUITY-BASED COMPENSATION
EQUITY-BASED COMPENSATION | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
EQUITY-BASED COMPENSATION | 14. EQUITY-BASED COMPENSATION In 2015, we established a Nonqualified Stock Option and Incentive Award Plan (“Incentive Plan”) which provides for the ability to award equity compensation awards in the form of stock options, stock appreciation rights, restricted stock, and performance awards to eligible employees, consultants, directors, and other individuals who provide services to us, each as determined by the Compensation Committee of the Board of Directors. As of June 30, 2020, the Incentive Plan provides for the issuance of up to 29.9 million shares. We account for equity-based compensation expense in accordance with ASC 718 Compensation-Stock Compensation and is reported within operating expenses and general and administrative in the Consolidated Statements of Operations. The Consolidated Statements of Operations includes the following expense related to our stock-based compensation arrangements: Three Months Ended June 30, Six Months Ended June 30, Remaining Expense To Be Recognized, If All Vesting Conditions Are Met Weighted Average Remaining Contractual Term (in years) 2020 2019 2020 2019 Restricted Shares $ 215 $ 456 $ 430 $ 546 $ 659 0.8 Common Units 196 123 272 215 1,314 1.4 Total - continuing operations $ 411 $ 579 $ 702 $ 761 $ 1,973 Total - discontinued operations $ — $ 121 $ — $ 167 During the six months ended June 30, 2020, FIG LLC (the “Manager”), an affiliate of Fortress Investment Group LLC, transferred 252,472 of its options to certain of the Manager’s employees. Common Units During the six months ended June 30, 2020, we issued 831,140 common units of our subsidiaries that had a grant date fair value of $0.9 million and vest over three years. These awards are subject to continued employment, and the compensation expense is recognized ratably over the vesting periods. The fair value of these awards was based on the fair value of the operating subsidiary on each grant date, which was estimated using a discounted cash flow analysis that requires the application of discount factors and terminal multiples to projected cash flows. Discount factors and terminal multiples were based on market-based inputs and transactions, as available at the measurement date. |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | 15. INCOME TAXES The current and deferred components of the income tax (benefit) provision included in the Consolidated Statements of Operations are as follows: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Current: Federal $ 31 $ 51 $ 68 $ 70 State and local 83 43 251 108 Foreign 252 108 322 160 Total current provision 366 202 641 338 Deferred: Federal (597) (1,863) (878) (1,760) State and local — (668) — (639) Foreign (3,519) 1 (3,611) — Total deferred provision (4,116) (2,530) (4,489) (2,399) (Benefit from) provision for income taxes: Continuing operations (3,750) (2,328) (3,848) (2,061) Discontinued operations — 29 — 215 Total $ (3,750) $ (2,299) $ (3,848) $ (1,846) We are taxed as a flow-through entity for U.S. income tax purposes and our taxable income or loss generated is the responsibility of our owners. Taxable income or loss generated by our corporate subsidiaries is subject to U.S. federal, state and foreign corporate income tax in locations where they conduct business. Our effective tax rate differs from the U.S. federal tax rate of 21% primarily due to a significant portion of our income not being subject to U.S. corporate tax rates, or being deemed to be foreign sourced and thus either not taxable or taxable at effectively lower tax rates. |
MANAGEMENT AGREEMENT AND AFFILI
MANAGEMENT AGREEMENT AND AFFILIATE TRANSACTIONS | 6 Months Ended |
Jun. 30, 2020 | |
Related Party Transactions [Abstract] | |
MANAGEMENT AGREEMENT AND AFFILIATE TRANSACTIONS | 16. MANAGEMENT AGREEMENT AND AFFILIATE TRANSACTIONS The Manager is paid annual fees in exchange for advising us on various aspects of our business, formulating our investment strategies, arranging for the acquisition and disposition of assets, arranging for financing, monitoring performance, and managing our day-to-day operations, inclusive of all costs incidental thereto. In addition, the Manager may be reimbursed for various expenses incurred by the Manager on our behalf, including the costs of legal, accounting and other administrative activities. Additionally, we have entered into certain incentive allocation arrangements with Master GP, which owns approximately 0.05% of the Partnership and is the general partner of the Partnership. The Manager is entitled to a management fee, incentive allocations (comprised of income incentive allocation and capital gains incentive allocation, defined below) and reimbursement of certain expenses. The management fee is determined by taking the average value of total equity (excluding non-controlling interests) determined on a consolidated basis in accordance with GAAP at the end of the two most recently completed months multiplied by an annual rate of 1.50% and is payable monthly in arrears in cash. The income incentive allocation is calculated and distributable quarterly in arrears based on the pre-incentive allocation net income for the immediately preceding calendar quarter (the “Income Incentive Allocation”). For this purpose, pre-incentive allocation net income means, with respect to a calendar quarter, net income attributable to shareholders during such quarter calculated in accordance with GAAP excluding our pro rata share of (1) realized or unrealized gains and losses, and (2) certain non-cash or one-time items, and (3) any other adjustments as may be approved by our independent directors. Pre-incentive allocation net income does not include any Income Incentive Allocation or Capital Gains Incentive Allocation (described below) paid to the Master GP during the relevant quarter. A subsidiary of ours allocates and distributes to the Master GP an Income Incentive Allocation with respect to its pre-incentive allocation net income in each calendar quarter as follows: (1) no Income Incentive Allocation in any calendar quarter in which pre-incentive allocation net income, expressed as a rate of return on the average value of our net equity capital (excluding non-controlling interests) at the end of the two most recently completed calendar quarters, does not exceed 2% for such quarter (8% annualized); (2) 100% of pre-incentive allocation net income with respect to that portion of such pre-incentive allocation net income, if any, that is equal to or exceeds 2% but does not exceed 2.2223% for such quarter; and (3) 10% of the amount of pre-incentive allocation net income, if any, that exceeds 2.2223% for such quarter. These calculations will be prorated for any period of less than three months. Capital Gains Incentive Allocation is calculated and distributable in arrears as of the end of each calendar year and is equal to 10% of our pro rata share of cumulative realized gains from the date of the IPO through the end of the applicable calendar year, net of our pro rata share of cumulative realized or unrealized losses, the cumulative non-cash portion of equity-based compensation expenses and all realized gains upon which prior performance-based Capital Gains Incentive Allocation payments were made to the Master GP. The following table summarizes the management fees, income incentive allocation and capital gains incentive allocation: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Management fees $ 4,756 $ 3,499 $ 9,522 $ 7,175 Income incentive allocation — — — — Capital gains incentive allocation — 2,211 — 2,373 Total $ 4,756 $ 5,710 $ 9,522 $ 9,548 We pay all of our operating expenses, except those specifically required to be borne by the Manager under the Management Agreement. The expenses required to be paid by us include, but are not limited to, issuance and transaction costs incident to the acquisition, disposition and financing of our assets, legal and auditing fees and expenses, the compensation and expenses of our independent directors, the costs associated with the establishment and maintenance of any credit facilities and other indebtedness of ours (including commitment fees, legal fees, closing costs, etc.), expenses associated with other securities offerings of ours, costs and expenses incurred in contracting with third parties (including affiliates of the Manager), the costs of printing and mailing proxies and reports to our shareholders, costs incurred by the Manager or its affiliates for travel on our behalf, costs associated with any computer software or hardware that is used for us, costs to obtain liability insurance to indemnify our directors and officers and the compensation and expenses of our transfer agent. We pay or reimburse the Manager and its affiliates for performing certain legal, accounting, due diligence tasks and other services that outside professionals or outside consultants otherwise would perform, provided that such costs and reimbursements are no greater than those which would be paid to outside professionals or consultants. The Manager is responsible for all of its other costs incident to the performance of its duties under the Management Agreement, including compensation of the Manager’s employees, rent for facilities and other “overhead” expenses; we do not reimburse the Manager for these expenses. The following table summarizes our reimbursements to the Manager: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 (1) 2020 2019 (1) Classification in the Consolidated Statements of Operations: General and administrative $ 2,128 $ 3,019 $ 4,390 $ 5,562 Acquisition and transaction expenses 523 2,309 1,047 3,770 Total $ 2,651 $ 5,328 $ 5,437 $ 9,332 ________________________________________________________ (1) Due to the Aviation Restructuring (as defined in Note 17), during the three and six months ended June 30, 2019, $1,716 and $3,229, respectively, was restated from the Corporate and Other segment to the Aviation Leasing segment, of which $746 and $1,294, respectively, was reclassified from General and administrative to Operating expenses and $970 and $1,935, respectively, remained in Acquisition and transaction expenses. See Note 17 for additional details. If we terminate the Management Agreement, we will generally be required to pay the Manager a termination fee. The termination fee is equal to the amount of the management fee during the 12 months immediately preceding the date of the termination. In addition, an Incentive Allocation Fair Value Amount will be distributable to the Master GP if the Master GP is removed due to the termination of the Management Agreement in certain specified circumstances. The Incentive Allocation Fair Value Amount is an amount equal to the Income Incentive Allocation and the Capital Gains Incentive Allocation that would be paid to the Master GP if our assets were sold for cash at their then current fair market value (as determined by an appraisal, taking into account, among other things, the expected future value of the underlying investments). Upon the successful completion of an offering of our common shares or other equity securities (including securities issued as consideration in an acquisition), we grant the Manager options to purchase common shares in an amount equal to 10% of the number of common shares being sold in the offering (or if the issuance relates to equity securities other than our common shares, options to purchase a number of common shares equal to 10% of the gross capital raised in the equity issuance divided by the fair market value of a common share as of the date of issuance), with an exercise price equal to the offering price per share paid by the public or other ultimate purchaser or attributed to such securities in connection with an acquisition (or the fair market value of a common share as of the date of the equity issuance if it relates to equity securities other than our common shares). Any ultimate purchaser of common shares for which such options are granted may be an affiliate of Fortress. The following table summarizes amounts due to the Manager, which are included within accounts payable and accrued liabilities in the Consolidated Balance Sheets: June 30, 2020 December 31, 2019 Accrued management fees $ 1,548 $ 1,410 Other payables (1) 866 21,992 ________________________________________________________ (1) Includes $21.2 million related to incentive fees, as of December 31, 2019, which we paid during the six months ended June 30, 2020. As of June 30, 2020 and December 31, 2019, there were no receivables from the Manager. Other Affiliate Transactions As of June 30, 2020 and December 31, 2019 an affiliate of our Manager owns an approximately 20% interest in Jefferson Terminal which has been accounted for as a component of non-controlling interest in consolidated subsidiaries in the consolidated financial statements. The carrying amount of this non-controlling interest at June 30, 2020 and December 31, 2019 was $25.0 million and $33.7 million, respectively. The following table presents the amount of this non-controlling interest share of net loss: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Non-controlling interest share of net loss $ 4,020 $ 4,559 $ 8,681 $ 7,855 In connection with the Capital Call Agreement related to the Series 2016 Bonds, we, and an affiliate of our Manager, entered into a Fee and Support Agreement. The Fee and Support Agreement provides that the affiliate of the Manager is compensated for its guarantee of a portion of the obligations under the Standby Bond Purchase Agreement. This affiliate of the Manager received fees of $1.7 million, which are amortized as interest expense to the earlier of the redemption date or February 13, 2020. In connection with the amendment to the Jefferson Revolver, on December 20, 2018, our subsidiary and an affiliate of our Manager entered into an amended and restated Fee and Support Agreement, and our subsidiary issued a $0.3 million promissory note to the affiliate of our Manager, as consideration for the fee payable pursuant to the amended and restated Fee and Support Agreement. In February 2020, the Fee and Support Agreement was terminated in connection with the Jefferson Refinancing. On June 21, 2018, we, through a wholly owned subsidiary, completed a private offering with several third parties (the “Holders”) to tender their approximately 20% stake in Jefferson Terminal. We increased our majority interest in Jefferson Terminal in exchange for Class B Units of another wholly owned subsidiary, which provide the right to convert such Class B Units to a fixed amount of our shares, equivalent to approximately 1.9 million shares, at a Holder’s request. We have the option to satisfy any exchange request by delivering either common shares or cash. The Holders are entitled to receive distributions equivalent to the distributions paid to our shareholders. This transaction resulted in a purchase of non-controlling interest shares. See Note 18 for details related to conversions during the period. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | 17. SEGMENT INFORMATION Our reportable segments represent strategic business units comprised of investments in different types of transportation and infrastructure assets. We have three reportable segments which operate in the Equipment Leasing and Infrastructure businesses across several market sectors. Our reportable segments are (i) Aviation Leasing, (ii) Jefferson Terminal and (iii) Ports and Terminals. The Aviation Leasing segment consists of aircraft and aircraft engines held for lease and are typically held long-term. The Jefferson Terminal segment consists of a multi-modal crude oil and refined products terminal and other related assets. The Ports and Terminals segment consists of Repauno, which is a 1,630-acre deep-water port located along the Delaware River with an underground storage cavern and multiple industrial development opportunities, and an equity method investment in Long Ridge, which is a 1,660-acre multi-modal port located along the Ohio River with rail, dock, and multiple industrial development opportunities, including a power plant under construction. In December 2019, we completed the sale of substantially all of our railroad business, which was formerly reported as our Railroad segment. Under ASC 205-20, this disposition met the criteria to be reported as discontinued operations and the assets, liabilities and results of operations have been presented as discontinued operations for all periods presented. Additionally, in accordance with ASC 280, we assessed our reportable segments. We determined that our retained investment of the railroad business no longer met the requirement as a reportable segment. Accordingly, we have presented this operating segment, along with Corporate results, within Corporate and Other effective in 2019. All prior periods have been restated for historical comparison across segments. Corporate and Other primarily consists of debt, unallocated company level general and administrative expenses, and management fees. Additionally, Corporate and Other includes (i) offshore energy related assets, which consist of vessels and equipment that support offshore oil and gas drilling and production which are typically subject to long-term operating leases, (ii) an investment in an unconsolidated entity engaged in the acquisition and leasing of shipping containers and (iii) railroad assets retained after the December 2019 sale, which consist of equipment that support a railcar cleaning business. Aviation Leasing Organizational Restructuring We recently completed an organizational restructuring of the Aviation Leasing segment. Previously, Aviation Leasing’s employees were employed by the Manager and compensation and related costs associated with these employees were reimbursed to the Manager, per the Management Agreement (see Note 16). These costs were reported within Corporate and Other. Effective in the first quarter of 2020, Aviation Leasing’s employees are employed by one of our subsidiaries. Compensation and related costs incurred by this subsidiary will be reported within the Aviation Leasing segment. Prior periods have been restated for historical comparison. The following table presents our adjustments for the three months ended June 30, 2019. As Previously Reported Adjustments As Reported Aviation Leasing Corporate and Other Aviation Leasing Corporate and Other Aviation Leasing Corporate and Other Operating expenses $ 2,721 $ 3,166 $ 746 $ — $ 3,467 $ 3,166 General and administrative — 4,297 — (746) — 3,551 Acquisition and transaction expenses — 2,308 970 (970) 970 1,338 The following table presents our adjustments for the six months ended June 30, 2019. As Previously Reported Adjustments As Reported Aviation Leasing Corporate and Other Aviation Leasing Corporate and Other Aviation Leasing Corporate and Other Operating expenses $ 8,799 $ 6,707 $ 1,294 $ — $ 10,093 $ 6,707 General and administrative — 9,029 — (1,294) — 7,735 Acquisition and transaction expenses 13 3,769 1,935 (1,935) 1,948 1,834 The accounting policies of the segments are the same as those described in the summary of significant accounting policies; however, financial information presented by segment includes the impact of intercompany eliminations. We evaluate investment performance for each reportable segment primarily based on net income attributable to shareholders and Adjusted EBITDA. Adjusted EBITDA is defined as net income (loss) attributable to shareholders from continuing operations, adjusted (a) to exclude the impact of provision for (benefit from) income taxes, equity-based compensation expense, acquisition and transaction expenses, losses on the modification or extinguishment of debt and capital lease obligations, changes in fair value of non-hedge derivative instruments, asset impairment charges, incentive allocations, depreciation and amortization expense, and interest expense, (b) to include the impact of our pro-rata share of Adjusted EBITDA from unconsolidated entities, and (c) to exclude the impact of equity in earnings (losses) of unconsolidated entities and the non-controlling share of Adjusted EBITDA. We believe that net income (loss) attributable to shareholders, as defined by GAAP, is the most appropriate earnings measurement with which to reconcile Adjusted EBITDA. Adjusted EBITDA should not be considered as an alternative to net income (loss) attributable to shareholders as determined in accordance with GAAP. The following tables set forth certain information for each reportable segment: I. For the Three Months Ended June 30, 2020 Three Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Equipment leasing revenues $ 75,259 $ — $ — $ 4,575 $ 79,834 Infrastructure revenues — 13,081 — 1,394 14,475 Total revenues 75,259 13,081 — 5,969 94,309 Expenses Operating expenses 4,577 12,290 1,875 5,830 24,572 General and administrative — — — 4,388 4,388 Acquisition and transaction expenses 2,061 — 19 1,581 3,661 Management fees and incentive allocation to affiliate — — — 4,756 4,756 Depreciation and amortization 32,203 7,160 378 1,979 41,720 Asset impairment 10,476 — — — 10,476 Interest expense — 2,310 354 19,130 21,794 Total expenses 49,317 21,760 2,626 37,664 111,367 Other (expense) income Equity in losses of unconsolidated entities (594) — (2,582) (33) (3,209) Gain (loss) on sale of assets, net 775 (7) — — 768 Interest income 17 — — 5 22 Other expense — (1) — — (1) Total other income (expense) 198 (8) (2,582) (28) (2,420) Income (loss) from continuing operations before income taxes 26,140 (8,687) (5,208) (31,723) (19,478) (Benefit from) provision for income taxes (3,427) 74 (597) 200 (3,750) Net income (loss) from continuing operations 29,567 (8,761) (4,611) (31,923) (15,728) Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries — (4,020) (92) — (4,112) Dividends on preferred shares — — — 4,079 4,079 Net income (loss) from continuing operations attributable to shareholders $ 29,567 $ (4,741) $ (4,519) $ (36,002) $ (15,695) The following table sets forth a reconciliation of Adjusted EBITDA to net loss attributable to shareholders from continuing operations: Three Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Adjusted EBITDA $ 77,501 $ 2,968 $ (885) $ (13,112) $ 66,472 Add: Non-controlling share of Adjusted EBITDA 2,101 Add: Equity in losses of unconsolidated entities (3,209) Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities (126) Less: Interest expense (21,794) Less: Depreciation and amortization expense (48,341) Less: Incentive allocations — Less: Asset impairment charges (10,476) Less: Changes in fair value of non-hedge derivative instruments — Less: Losses on the modification or extinguishment of debt and capital lease obligations — Less: Acquisition and transaction expenses (3,661) Less: Equity-based compensation expense (411) Less: Benefit from income taxes 3,750 Net loss attributable to shareholders from continuing operations $ (15,695) Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows: Three Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Africa $ 1,319 $ — $ — $ — $ 1,319 Asia 31,732 — — 4,575 36,307 Europe 31,287 — — — 31,287 North America 9,931 13,081 — 1,394 24,406 South America 990 — — — 990 Total $ 75,259 $ 13,081 $ — $ 5,969 $ 94,309 II. For the Six Months Ended June 30, 2020 Six Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Equipment leasing revenues $ 158,251 $ — $ — $ 8,032 $ 166,283 Infrastructure revenues — 37,822 314 2,730 40,866 Total revenues 158,251 37,822 314 10,762 207,149 Expenses Operating expenses 8,648 34,233 3,875 11,260 58,016 General and administrative — — — 9,051 9,051 Acquisition and transaction expenses 4,785 — 801 1,269 6,855 Management fees and incentive allocation to affiliate — — — 9,522 9,522 Depreciation and amortization 64,834 14,386 754 3,943 83,917 Asset impairment 10,476 — — — 10,476 Interest expense — 5,738 747 38,170 44,655 Total expenses 88,743 54,357 6,177 73,215 222,492 Other (expense) income Equity in losses of unconsolidated entities (1,185) — (1,676) (83) (2,944) Loss on sale of assets, net (1,044) (7) — — (1,051) Loss on extinguishment of debt — (4,724) — — (4,724) Interest income 29 22 — 12 63 Other income — 32 — — 32 Total other expense (2,200) (4,677) (1,676) (71) (8,624) Income (loss) from continuing operations before income taxes 67,308 (21,212) (7,539) (62,524) (23,967) (Benefit from) provision for income taxes (3,382) 209 (878) 203 (3,848) Net income (loss) from continuing operations 70,690 (21,421) (6,661) (62,727) (20,119) Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries — (8,681) (167) (8,848) Dividends on preferred shares — — — 8,618 8,618 Net income (loss) from continuing operations attributable to shareholders $ 70,690 $ (12,740) $ (6,494) $ (71,345) $ (19,889) The following table sets forth a reconciliation of Adjusted EBITDA to net loss attributable to shareholders from continuing operations: Six Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Adjusted EBITDA $ 160,891 $ 7,537 $ (2,201) $ (27,760) $ 138,467 Add: Non-controlling share of Adjusted EBITDA 5,451 Add: Equity in losses of unconsolidated entities (2,944) Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities 287 Less: Interest expense (44,655) Less: Depreciation and amortization expense (97,405) Less: Incentive allocations — Less: Asset impairment charges (10,476) Less: Changes in fair value of non-hedge derivative instruments (181) Less: Losses on the modification or extinguishment of debt and capital lease obligations (4,724) Less: Acquisition and transaction expenses (6,855) Less: Equity-based compensation expense (702) Less: Benefit from income taxes 3,848 Net loss attributable to shareholders from continuing operations $ (19,889) Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows: Six Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Africa $ 8,473 $ — $ — $ — $ 8,473 Asia 58,277 — — 8,032 66,309 Europe 70,859 — — — 70,859 North America 18,069 37,822 314 2,730 58,935 South America 2,573 — — — 2,573 Total $ 158,251 $ 37,822 $ 314 $ 10,762 $ 207,149 III. For the Three Months Ended June 30, 2019 Three Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Equipment leasing revenues $ 74,981 $ — $ — $ 4,219 $ 79,200 Infrastructure revenues — 67,562 2,266 820 70,648 Total revenues 74,981 67,562 2,266 5,039 149,848 Expenses Operating expenses 3,467 74,393 4,757 3,166 85,783 General and administrative — — — 3,551 3,551 Acquisition and transaction expenses 970 — — 1,338 2,308 Management fees and incentive allocation to affiliate — — — 5,710 5,710 Depreciation and amortization 33,267 5,519 1,560 1,706 42,052 Interest expense — 4,524 348 20,522 25,394 Total expenses 37,704 84,436 6,665 35,993 164,798 Other income (expense) Equity in (losses) earnings of unconsolidated entities (242) 92 — (19) (169) Gain on sale of assets, net 22,610 12 — — 22,622 Interest income 28 33 173 6 240 Other income — 50 4,887 — 4,937 Total other income (expense) 22,396 187 5,060 (13) 27,630 Income (loss) from continuing operations before income taxes 59,673 (16,687) 661 (30,967) 12,680 (Benefit from) provision for income taxes (2,369) 38 — 3 (2,328) Net income (loss) from continuing operations 62,042 (16,725) 661 (30,970) 15,008 Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries — (4,558) (22) — (4,580) Net income (loss) from continuing operations attributable to shareholders $ 62,042 $ (12,167) $ 683 $ (30,970) $ 19,588 The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders from continuing operations: Three Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Adjusted EBITDA $ 102,864 $ (2,563) $ (2,241) $ (5,364) $ 92,696 Add: Non-controlling share of Adjusted EBITDA 2,785 Add: Equity in losses of unconsolidated entities (169) Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities (24) Less: Interest expense (25,394) Less: Depreciation and amortization expense (51,006) Less: Incentive allocations (2,211) Less: Asset impairment charges — Less: Changes in fair value of non-hedge derivative instruments 3,470 Less: Losses on the modification or extinguishment of debt and capital lease obligations — Less: Acquisition and transaction expenses (2,308) Less: Equity-based compensation expense (579) Less: Benefit from income taxes 2,328 Net income attributable to shareholders from continuing operations $ 19,588 Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows: Three Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Africa $ 2,208 $ — $ — $ — $ 2,208 Asia 25,410 — — 4,219 29,629 Europe 35,413 — — — 35,413 North America 9,604 67,562 2,266 820 80,252 South America 2,346 — — — 2,346 Total $ 74,981 $ 67,562 $ 2,266 $ 5,039 $ 149,848 IV. For the Six Months Ended June 30, 2019 Six Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Equipment leasing revenues $ 145,392 $ — $ — $ 6,260 $ 151,652 Infrastructure revenues — 103,516 7,980 1,594 113,090 Total revenues 145,392 103,516 7,980 7,854 264,742 Expenses Operating expenses 10,093 113,634 9,659 6,707 140,093 General and administrative — — — 7,735 7,735 Acquisition and transaction expenses 1,948 — — 1,834 3,782 Management fees and incentive allocation to affiliate — — — 9,548 9,548 Depreciation and amortization 63,272 10,675 3,553 3,415 80,915 Interest expense — 8,448 644 37,036 46,128 Total expenses 75,313 132,757 13,856 66,275 288,201 Other income (expense) Equity in (losses) earnings of unconsolidated entities (443) (128) — 18 (553) Gain on sale of assets, net 24,328 12 — — 24,340 Interest income 54 71 194 12 331 Other (expense) income — (183) 2,517 — 2,334 Total other income (expense) 23,939 (228) 2,711 30 26,452 Income (loss) from continuing operations before income taxes 94,018 (29,469) (3,165) (58,391) 2,993 (Benefit from) provision for income taxes (2,189) 124 — 4 (2,061) Net income (loss) from continuing operations 96,207 (29,593) (3,165) (58,395) 5,054 Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries — (7,854) (86) — (7,940) Net income (loss) from continuing operations attributable to shareholders $ 96,207 $ (21,739) $ (3,079) $ (58,395) $ 12,994 The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders from continuing operations: Six Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Adjusted EBITDA $ 176,526 $ (3,853) $ (1,315) $ (13,907) $ 157,451 Add: Non-controlling share of Adjusted EBITDA 4,938 Add: Equity in losses of unconsolidated entities (553) Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities 94 Less: Interest expense (46,128) Less: Depreciation and amortization expense (98,203) Less: Incentive allocations (2,373) Less: Asset impairment charges — Less: Changes in fair value of non-hedge derivative instruments 250 Less: Losses on the modification or extinguishment of debt and capital lease obligations — Less: Acquisition and transaction expenses (3,782) Less: Equity-based compensation expense (761) Less: Benefit from income taxes 2,061 Net income attributable to shareholders from continuing operations $ 12,994 Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows: Six Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Africa $ 5,685 $ — $ — $ — $ 5,685 Asia 47,524 — — 6,260 53,784 Europe 67,298 — — — 67,298 North America 20,430 103,516 7,980 1,594 133,520 South America 4,455 — — — 4,455 Total $ 145,392 $ 103,516 $ 7,980 $ 7,854 $ 264,742 V. Balance Sheet and Location of Long-Lived Assets The following tables sets forth summarized balance sheet information and the geographic location of property, plant and equipment and leasing equipment, net: June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Total assets $ 1,758,972 $ 890,770 $ 414,490 $ 223,262 $ 3,287,494 Debt, net — 252,754 25,000 1,324,550 1,602,304 Total liabilities 271,548 363,894 49,749 1,350,812 2,036,003 Non-controlling interests in equity of consolidated subsidiaries — 27,419 849 524 28,792 Total equity 1,487,424 526,876 364,741 (1,127,550) 1,251,491 Total liabilities and equity $ 1,758,972 $ 890,770 $ 414,490 $ 223,262 $ 3,287,494 June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Property, plant and equipment and leasing equipment, net Africa $ 37,049 $ — $ — $ — $ 37,049 Asia 392,135 — — 45,969 438,104 Europe 849,642 — — — 849,642 North America 300,524 612,115 254,757 120,775 1,288,171 South America 5,962 — — — 5,962 Total $ 1,585,312 $ 612,115 $ 254,757 $ 166,744 $ 2,618,928 |
EARNINGS PER SHARE AND EQUITY
EARNINGS PER SHARE AND EQUITY | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE AND EQUITY | 18. EARNINGS PER SHARE AND EQUITY Basic earnings per common share (“EPS”) is calculated by dividing net income attributable to shareholders by the weighted average number of common shares outstanding, plus any participating securities. Diluted EPS is calculated by dividing net income attributable to shareholders by the weighted average number of common shares outstanding, plus any participating securities and potentially dilutive securities. Potentially dilutive securities are calculated using the treasury stock method. The calculation of basic and diluted EPS is presented below: Three Months Ended June 30, Six Months Ended June 30, (in thousands, except share and per share data) 2020 2019 2020 2019 Net (loss) income from continuing operations $ (15,728) $ 15,008 $ (20,119) $ 5,054 Net income from discontinued operations, net of income taxes — 785 1,331 943 Net (loss) income (15,728) 15,793 (18,788) 5,997 Less: Net (loss) income attributable to non-controlling interests in consolidated subsidiaries: Continuing operations (4,112) (4,580) (8,848) (7,940) Discontinued operations — 41 — (15) Dividends on preferred shares 4,079 — 8,618 — Net (loss) income attributable to shareholders $ (15,695) $ 20,332 $ (18,558) $ 13,952 Weighted Average Common Shares Outstanding - Basic (1) 86,009,959 85,987,769 86,009,029 85,987,115 Weighted Average Common Shares Outstanding - Diluted (1) 86,009,959 85,989,029 86,009,029 85,987,115 Basic Continuing operations $ (0.18) $ 0.23 $ (0.23) $ 0.15 Discontinued operations $ — $ 0.01 $ 0.02 $ 0.01 Diluted Continuing operations $ (0.18) $ 0.23 $ (0.23) $ 0.15 Discontinued operations $ — $ 0.01 $ 0.02 $ 0.01 ________________________________________________________ (1) The three and six months ended June 30, 2020 and 2019 includes participating securities which can be converted into a fixed amount of our shares. For the three months ended June 30, 2020 and 2019, 1,219,065 and 119,009 shares, respectively, and for the six months ended June 30, 2020 and 2019, 499,053 and 127,923 shares, respectively, have been excluded from the calculation of Diluted EPS because the impact would be anti-dilutive. During the six months ended June 30, 2020, we issued 18,337 common shares to certain directors as compensation. During the six months ended June 30, 2020, certain holders of Class B Units (see Note 16) converted 911,448 Class B Units in exchange for 675,015 common shares. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 19. COMMITMENTS AND CONTINGENCIES In the normal course of business we, and our subsidiaries, may be involved in various claims, legal proceedings, or may enter into contracts that contain a variety of representations and warranties and which provide general indemnifications. Within our offshore energy business, a lessee did not fulfill its obligation under its charter arrangement, therefore we are pursuing rights afforded to us under the charter and the range of potential losses against the obligation is $0.0 million to $3.3 million. Our maximum exposure under other arrangements is unknown as no additional claims have been made. We believe the risk of loss in connection with such arrangements is remote. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2020 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 20. SUBSEQUENT EVENTS On July 30, 2020, our Board of Directors declared a cash dividend on our common shares and eligible participating securities of $0.33 per share for the quarter ended June 30, 2020, payable on August 31, 2020 to the holders of record on August 17, 2020. Additionally, on July 30, 2020, our Board of Directors also declared a cash dividend on the Series A Preferred Shares and Series B Preferred Shares of $0.52 per share and $0.50 per share, respectively, payable on September 15, 2020 to the holders of record on September 1, 2020. At the Market Program On June 30, 2020, we entered into an At Market Issuance Sales Agreement with a third party to sell shares of our Series A Preferred Shares and Series B Preferred Shares (collectively, the “ATM Shares”), having an aggregate offering price of up to $100 million, from time to time, through an “at-the market” equity offering program (the “ATM Program”). During July 2020, we sold 125,000 ATM Shares at an average price of $19.60 per share for net proceeds of $2.4 million. In connection with the shares sold under the ATM program, we granted options to the Manager relating to 17,265 shares of our common stock, the fair value of which was not material as of the grant date. Senior Notes due 2027 On July 28, 2020, we issued $400 million aggregate principal amount of senior unsecured notes due 2027 (the “2027 Notes”). The 2027 Notes bear interest at a rate of 9.75% per annum, payable semi-annually in arrears on February 1 and August 1 of each year, commencing on February 1, 2021. We used a portion of the proceeds to repay $220 million of outstanding borrowings under the Revolving Credit Facility, and intend to use the remaining proceeds for general corporate purposes, which may include the repurchase or redemption of outstanding 2022 Notes and the funding of future acquisitions and investments, including aviation investments. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Basis of Accounting | Basis of Accounting — The accompanying consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and include the accounts of us and our subsidiaries. |
Principles of Consolidation | Principles of Consolidation — We consolidate all entities in which we have a controlling financial interest and control over significant operating decisions, as well as variable interest entities (“VIEs”) in which we are the primary beneficiary. All significant intercompany transactions and balances have been eliminated. All adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The ownership interest of other investors in consolidated subsidiaries is recorded as non-controlling interest. We use the equity method of accounting for investments in entities in which we exercise significant influence but which do not meet the requirements for consolidation. Under the equity method, we record our proportionate share of the underlying net income (loss) of these entities as well as the proportionate interest in adjustments to other comprehensive income (loss). |
Use of Estimates | Use of Estimates — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Risks and Uncertainties | Risks and Uncertainties — In the normal course of business, we encounter several significant types of economic risk including credit, market, and capital market risks. Credit risk is the risk of the inability or unwillingness of a lessee, customer, or derivative counterparty to make contractually required payments or to fulfill its other contractual obligations. Market risk reflects the risk of a downturn or volatility in the underlying industry segments in which we operate, which could adversely impact the pricing of the services offered by us or a lessee’s or customer’s ability to make payments, increase the risk of unscheduled lease terminations and depress lease rates and the value of our leasing equipment or operating assets. Capital market risk is the risk that we are unable to obtain capital at reasonable rates to fund the growth of our business or to refinance existing debt facilities. We, through our subsidiaries, also conduct operations outside of the United States; such international operations are subject to the same risks as those associated with our United States operations as well as additional risks, including unexpected changes in regulatory requirements, heightened risk of political and economic instability, potentially adverse tax consequences and the burden of complying with foreign laws. We do not have significant exposure to foreign currency risk as all of our leasing arrangements and the majority of terminal services revenue are denominated in U.S. dollars. |
Variable Interest Entities | Variable Interest Entities — The assessment of whether an entity is a VIE and the determination of whether to consolidate a VIE requires judgment. VIEs are defined as entities in which equity investors do not have the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support from other parties. A VIE is required to be consolidated by its primary beneficiary, and only by its primary beneficiary, which is defined as the party who has the power to direct the activities of a VIE that most significantly impact its economic performance and who has the obligation to absorb losses or the right to receive benefits from the VIE that could potentially be significant to the VIE. |
Cash and Cash Equivalents and Restricted Cash | Cash and Cash Equivalents — We consider all highly liquid short-term investments with a maturity of 90 days or less when purchased to be cash equivalents. Restricted Cash — |
Inventory | Inventory — |
Deferred Financing Costs | Deferred Financing Costs — |
Operating Leases | Operating Leases —We lease equipment pursuant to net operating leases. Operating leases with fixed rentals and step rentals are recognized on a straight-line basis over the term of the lease, assuming no renewals. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the customer is placed on non-accrual status and revenue is recognized when cash payments are received. Generally, under our aircraft lease and engine agreements, the lessee is required to make periodic maintenance payments calculated based on the lessee’s utilization of the leased asset or at the end of the lease. Typically, under our aircraft lease agreements, the lessee is responsible for maintenance, repairs and other operating expenses throughout the term of the lease. These periodic maintenance payments accumulate over the term of the lease to fund major maintenance events, and we are contractually obligated to return maintenance payments to the lessee up to the amount paid by the lessee. In the event the total cost of maintenance events over the term of a lease is less than the cumulative maintenance payments, we are not required to return any unused or excess maintenance payments to the lessee. Maintenance payments received for which we expect to repay to the lessee are presented as Maintenance Deposits in our Consolidated Balance Sheets. All excess maintenance payments received that we do not expect to repay to the lessee are recorded as Maintenance revenues. For purchase and lease back transactions, we account for the transaction as a single arrangement. We allocate the consideration paid based on the fair value of the aircraft and lease. The fair value of the lease may include a lease premium or discount. In April 2020, the FASB Staff issued a question-and-answer document (the “Q&A”) regarding accounting for lease concessions related to the effects of the COVID-19 pandemic. The Q&A permits an entity to elect to forgo the evaluation of the enforceable rights and obligations of a lease contract required under ASC 842, Leases, as long as the total rent payments after the lease concessions are substantially the same, or less than, the total rent payments in the existing lease. The impact of the COVID-19 related lease concessions granted above did not have a material impact on our results of operations during the three and six months ended June 30, 2020. Finance Leases —From time to time we enter into finance lease arrangements that include a lessee obligation to purchase the leased equipment at the end of the lease term, a bargain purchase option, or provides for minimum lease payments with a present value that equals or exceeds substantially all of the fair value of the leased equipment at the date of lease inception. Net investment in finance lease represents the minimum lease payments due from lessee, net of unearned income. The lease payments are segregated into principal and interest components similar to a loan. Unearned income is recognized on an effective interest method over the lease term and is recorded as finance lease income. The principal component of the lease payment is reflected as a reduction to the net investment in finance leases. Revenue is not recognized when collection is not reasonably assured. When collectability is not reasonably assured, the customer is placed on non-accrual status and revenue is recognized when cash payments are received. |
Revenue Recognition | Infrastructure Revenues Terminal Services Revenues —Terminal services are provided to customers for the receipt and redelivery of various commodities. These revenues are recognized over time, i.e., as the services are rendered and the customer simultaneously receives and consumes the benefit over time. Lease Income —Lease income consists of rental income from tenants for storage space. Lease income is recognized on a straight-line basis over the term s of the relevant lease agreement. Crude Marketing Revenues —Crude marketing revenues consists of marketing revenue related to Canadian crude oil. The revenues are recognized over time, i.e., as the services are rendered and the customer simultaneously receives and consumes the benefit over time. Other Revenue —Other revenue primarily consists of revenue related to the handling, storage and sale of raw materials. Other revenue consists of two performance obligations: handling and storage of raw materials. The revenues are recognized over time, i.e., as the services are rendered and the customer simultaneously receives and consumes the benefit over time. |
Leasing Arrangements | Leasing Arrangements — At contract inception, we evaluate whether an arrangement is or contains a lease for which we are the lessee (that is, arrangements which provide us with the right to control a physical asset for a period of time). Operating lease right-of-use (“ROU”) assets and lease liabilities are recognized in Operating lease right-of-use assets, net and Operating lease liabilities in our Consolidated Balance Sheets, respectively. Finance lease ROU assets are recognized in Property, plant and equipment, net and lease liabilities are recognized in Other liabilities in our Consolidated Balance Sheets. All lease liabilities are measured at the present value of the unpaid lease payments, discounted using our incremental borrowing rate based on the information available at commencement date of the lease. ROU assets , for both operating and finance leases , are initially measured based on the lease liability, adjusted for prepaid rent and lease incentives. ROU assets are subsequently measured at the carrying amount of the lease liability adjusted for prepaid or accrued lease payments and lease incentives. The finance lease ROU assets are subsequently amortized using the straight-line method. Operating lease expenses are recognized on a straight-line basis over the lease term. With respect to finance leases, amortization of the ROU asset is presented separately from interest expense related to the finance lease liability. Variable lease payments, which are primarily based on usage, are recognized when the associated activity occurs. We have elected to combine lease and non-lease components for all lease contracts where we are the lessee. Additionally, for arrangements with lease terms of 12 months or less, we do not recognize ROU assets, and lease liabilities and lease payments are recognized on a straight-line basis over the lease term with variable lease payments recognized in the period in which the obligation is incurred . |
Concentration of Credit Risk | Concentration of Credit Risk — We are subject to concentrations of credit risk with respect to amounts due from customers on our finance leases and operating leases. We attempt to limit our credit risk by performing ongoing credit evaluations. During the three months ended June 30, 2020, one customer in the Aviation Leasing segment accounted for approximately 10% of total revenue. During the three months ended June 30, 2019, one customer in the Jefferson Terminal segment accounted for approximately 23% of total revenue. During the six months ended June 30, 2020, one customer in the Jefferson Terminal segment and one customer in the Aviation segment each accounted for approximately 11% of total revenue. During the six months ended June 30, 2019, one customer in the Jefferson Terminal segment accounted for approximately 23% of total revenue. As of June 30, 2020, there were two customers in the Aviation Leasing segment that represented 27% and 14% of total accounts receivable, net, respectively. As of December 31, 2019, accounts receivable from one customer in the Jefferson Terminal segment represented 16% of total accounts receivable, net. We maintain cash and restricted cash balances, which generally exceed federally insured limits, and subject us to credit risk, in high credit quality financial institutions. We monitor the financial condition of these institutions and have not experienced any losses associated with these accounts. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts — |
Comprehensive Income (Loss) | Comprehensive Income (Loss) — Comprehensive income (loss) is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances, excluding those resulting from investments by and distributions to owners. Our comprehensive income (loss) represents net income (loss), as presented in the Consolidated Statements of Operations, adjusted for fair value changes related to other comprehensive income related to our equity method investees. |
Derivative Financial Instruments | Derivative Financial Instruments Electricity Derivatives— Through our equity method investment in Long Ridge, we enter into derivative contracts as part of a risk management program to mitigate price risk associated with certain electricity price exposures. We primarily use swap derivative contracts, which are agreements to buy or sell a quantity of electricity at a predetermined future date and at a predetermined price. Cash Flow Hedges Certain of these derivative instruments are designated and qualify as cash flow hedges. Our share of the derivative's gain or loss is reported as Other comprehensive income related to equity method investees in our Consolidated Statements of Comprehensive (Loss) Income and recorded in Accumulated other comprehensive (loss) income in our Consolidated Balance Sheets. Derivatives Not Designated As Hedging Instruments Certain of these derivative instruments are not designated as hedging instruments for accounting purposes. The change in fair value of these contracts is recognized in Equity in earnings (losses) in unconsolidated entities in the Consolidated Statements of Operations. The cash flow impact of derivative contracts that are not designated as hedging instruments is recognized in Investment in unconsolidated entities in our Consolidated Statements of Cash Flows. Commodity Derivatives— We also enter into short-term and long-term crude forward contracts. Gains and losses related to our crude sales and purchase derivatives are recorded on a gross basis and are included in Crude marketing revenues and Operating expenses, respectively, in our Consolidated Statements of Operations. See Note 11 for additional details. The cash flow impact of these derivatives is recognized in Change in fair value of non-hedge derivatives in our Consolidated Statements of Cash Flows. To the extent that we have outstanding derivatives, they are not used for speculative purposes. We record all derivative assets and liabilities on a gross basis at fair value and are included in Other assets and Other liabilities, respectively, in our Consolidated Balance Sheets. |
Recent Accounting Pronouncements and Unadopted Accounting Pronouncements | Recent Accounting Pronouncements — In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”) . For assets held at amortized cost basis, ASU 2016-13 eliminates the probable initial recognition threshold in current GAAP and, instead, requires an entity to reflect its current estimate of all expected credit losses. The allowance for credit losses is a valuation account that is deducted from the amortized cost basis of the financial assets to present the net amount expected to be collected. For available for sale debt securities, credit losses should be measured in a manner similar to current GAAP, however this ASU requires that credit losses be presented as an allowance rather than as a write-down. This ASU affects entities holding financial assets and net investment in leases that are not accounted for at fair value through net income. The amendments affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. We adopted this ASU in the first quarter of 2020 and adoption did not have a material impact on our consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment (“ASU 2017-04”). ASU 2017-04 addresses concerns over the cost and complexity of the two-step goodwill impairment test by removing the second step of the test. An entity will apply a one-step quantitative test and record the amount of goodwill impairment as the excess of a reporting unit's carrying amount over its fair value, not to exceed the total amount of goodwill allocated to the reporting unit. The new guidance does not amend the optional qualitative assessment of goodwill impairment. We adopted this ASU in the first quarter of 2020 and adoption did not have a material impact on our consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement . This ASU eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of its disclosure framework project. We adopted this ASU in the first quarter of 2020 and adoption did not have a material impact on our consolidated financial statements. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , which temporarily simplifies the accounting for contract modifications, including hedging relationships, due to the transition from LIBOR and other interbank offered rates to alternative reference interest rates. For example, entities can elect not to remeasure the contracts at the modification date or reassess a previous accounting determination if certain conditions are met. Additionally, entities can elect to continue applying hedge accounting for hedging relationships affected by reference rate reform if certain conditions are met. The new standard was effective upon issuance and generally can be applied to applicable contract modifications through December 31, 2022. Adoption did not have a material impact on our consolidated financial statements. Unadopted Accounting Pronouncements — In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes (Topic 740) . This standard simplifies the accounting for income taxes by eliminating certain exceptions to the guidance in ASC 740 related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The standard also simplifies aspects of the accounting for franchise taxes and enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. The standard is effective for public companies for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020 and early adoption is permitted. We are currently assessing the impact this guidance will have on our consolidated financial statements. |
Fair Value Measurement | Fair value measurements and disclosures require the use of valuation techniques to measure fair value that maximize the use of observable inputs and minimize use of unobservable inputs. These inputs are prioritized as follows: • Level 1: Observable inputs such as quoted prices in active markets for identical assets or liabilities. • Level 2: Inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities or market corroborated inputs. • Level 3: Unobservable inputs for which there is little or no market data and which require us to develop our own assumptions about how market participants price the asset or liability. The valuation techniques that may be used to measure fair value are as follows: • Market approach—Uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. • Income approach—Uses valuation techniques to convert future amounts to a single present amount based on current market expectations about those future amounts. |
DISCONTINUED OPERATIONS (Tables
DISCONTINUED OPERATIONS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations | The following table presents the significant components of net income from discontinued operations: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Revenues Total revenues $ — $ 9,157 $ — $ 18,890 Expenses Operating expense — 7,726 — 15,882 Depreciation and amortization — 548 — 1,218 Interest expense — 78 — 647 Total expenses — 8,352 — 17,747 Gain on sale of assets, net — 8 1,331 15 Other expense — 1 — — Other income — 9 1,331 15 Income before income taxes — 814 1,331 1,158 Provision for income taxes — 29 — 215 Net income — 785 1,331 943 Less: Net income (loss) attributable to non-controlling interests in consolidated subsidiaries — 41 — (15) Net income attributable to shareholders $ — $ 744 $ 1,331 $ 958 The following table presents the significant non-cash items and capital expenditures from discontinued operations: Six Months Ended June 30, 2020 2019 Operating activities: Depreciation and amortization $ — $ 1,218 Bad debt expense — 110 Share-based compensation expense — 167 Investing activities: Purchases of property, plant and equipment $ — $ 2,978 |
LEASING EQUIPMENT, NET (Tables)
LEASING EQUIPMENT, NET (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Schedule of Lessor, Operating Leases | Leasing equipment, net is summarized as follows: June 30, 2020 December 31, 2019 Leasing equipment $ 2,146,948 $ 2,019,773 Less: accumulated depreciation (377,149) (312,714) Leasing equipment, net $ 1,769,799 $ 1,707,059 |
Lessor, Acquisition and Disposition of Leasing Equipment | The following table presents information related to our acquisitions and dispositions of aviation leasing equipment during the six months ended June 30, 2020: Acquisitions: Aircraft 19 Engines 5 Dispositions: Aircraft — Engines 3 |
Operating Lease, Lease Income | Depreciation expense for leasing equipment is summarized as follows: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Depreciation expense for leasing equipment $ 34,293 $ 35,150 $ 69,017 $ 67,046 |
FINANCE LEASES, NET (Tables)
FINANCE LEASES, NET (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Schedule of Finance Leases | Finance leases, net are summarized as follows: June 30, 2020 December 31, 2019 Finance leases $ 10,888 $ 12,388 Unearned revenue (3,231) (4,073) Finance leases, net $ 7,657 $ 8,315 |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT, NET (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant and equipment, net is summarized as follows: June 30, 2020 December 31, 2019 Land, site improvements and rights $ 51,889 $ 51,901 Construction in progress 322,353 211,110 Buildings and improvements 4,339 3,783 Terminal machinery and equipment 537,486 519,603 Track and track related assets 2,348 2,208 Railroad equipment 5,596 4,823 Computer hardware and software 4,986 4,325 Furniture and fixtures 2,443 2,322 Other 798 1,969 932,238 802,044 Less: accumulated depreciation (83,109) (69,935) Property, plant and equipment, net $ 849,129 $ 732,109 Depreciation expense for property, plant and equipment is summarized as follows: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Depreciation expense for property, plant and equipment: Continuing operations $ 6,538 $ 6,014 $ 13,123 $ 12,092 Discontinued operations — 544 — 1,203 Total $ 6,538 $ 6,558 $ 13,123 $ 13,295 |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments | The following table presents the ownership interests and carrying values of our investments: Carrying Value Investment Ownership Percentage June 30, 2020 December 31, 2019 Advanced Engine Repair JV Equity method 25% $ 23,467 $ 24,652 Intermodal Finance I, Ltd. Equity method 51% 233 501 Long Ridge Terminal LLC Equity method 50% 152,172 155,397 Investments $ 175,872 $ 180,550 The following table presents our proportionate share of equity in income (losses): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Advanced Engine Repair JV $ (594) $ (242) $ (1,185) $ (443) JGP Energy Partners LLC — 92 — (128) Intermodal Finance I, Ltd. (33) (19) (83) 18 Long Ridge Terminal LLC (2,582) — (1,676) — Total $ (3,209) $ (169) $ (2,944) $ (553) The following table presents a summarized statement of operations: Three Months Ended June 30, 2020 Six Months Ended June 30, 2020 Total revenue $ 5,169 $ 9,907 Total expenses (8,483) (14,858) Other (loss) income (1,840) 1,605 Net loss $ (5,154) $ (3,346) The following table presents a summarized statement of operations: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Total revenue $ — $ — $ — $ — Total expenses (2,374) (1,047) (4,738) (1,851) Net loss $ (2,374) $ (1,047) $ (4,738) $ (1,851) |
INTANGIBLE ASSETS AND LIABILI_2
INTANGIBLE ASSETS AND LIABILITIES, NET (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Intangible Assets and Liabilities Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets and Liabilities | Intangible assets and liabilities, net are summarized as follows: June 30, 2020 Aviation Leasing Jefferson Terminal Total Intangible assets Acquired favorable lease intangibles $ 35,349 $ — $ 35,349 Less: Accumulated amortization (26,434) — (26,434) Acquired favorable lease intangibles, net 8,915 — 8,915 Customer relationships — 35,513 35,513 Less: Accumulated amortization — (20,708) (20,708) Acquired customer relationships, net — 14,805 14,805 Total intangible assets, net $ 8,915 $ 14,805 $ 23,720 Intangible liabilities Acquired unfavorable lease intangibles $ 7,151 $ — $ 7,151 Less: Accumulated amortization (3,131) — (3,131) Acquired unfavorable lease intangibles, net $ 4,020 $ — $ 4,020 December 31, 2019 Aviation Leasing Jefferson Terminal Total Intangible assets Acquired favorable lease intangibles $ 49,762 $ — $ 49,762 Less: Accumulated amortization (38,652) — (38,652) Acquired favorable lease intangibles, net 11,110 — 11,110 Customer relationships — 35,513 35,513 Less: Accumulated amortization — (18,931) (18,931) Acquired customer relationships, net — 16,582 16,582 Total intangible assets, net $ 11,110 $ 16,582 $ 27,692 Intangible liabilities Acquired unfavorable lease intangibles $ 5,170 $ — $ 5,170 Less: Accumulated amortization (3,014) — (3,014) Acquired unfavorable lease intangibles, net $ 2,156 $ — $ 2,156 |
Schedule of Intangible Assets and Liabilities | Amortization of intangible assets and liabilities is as follows: Classification in Consolidated Statements of Operations Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Lease intangibles Equipment leasing revenues $ 931 $ 2,202 $ 2,063 $ 4,664 Customer relationships: Depreciation and amortization Continuing operations 889 888 1,777 1,777 Discontinued operations — 4 — 15 Total $ 1,820 $ 3,094 $ 3,840 $ 6,456 |
Schedule of Net Annual Amortization of Intangibles | As of June 30, 2020, estimated net annual amortization of intangibles is as follows: Remainder of 2020 $ 3,523 2021 6,213 2022 4,385 2023 3,343 2024 2,236 Thereafter — Total $ 19,700 |
DEBT, NET (Tables)
DEBT, NET (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Our debt, net is summarized as follows: June 30, 2020 December 31, 2019 Outstanding Borrowings Stated Interest Rate Maturity Date Outstanding Borrowings Loans payable FTAI Pride Credit Agreement $ — N/A N/A $ 36,009 Revolving Credit Facility (1) 195,000 (i) Base Rate + 2.00%; or (ii) Adjusted Eurodollar Rate + 3.00% 1/31/2022 — Jefferson Revolver — N/A N/A 50,000 DRP Revolver (2) 25,000 (i) Base Rate + 1.50%; or (ii) Base Rate + 2.50% (Eurodollar) 11/5/2021 25,000 Total loans payable 220,000 111,009 Bonds payable Series 2012 Bonds (3) — N/A N/A 41,059 Series 2016 Bonds — N/A N/A 144,200 Series 2020 Bonds 263,980 See below See below — Senior Notes due 2022 (4) 698,207 6.75% 3/15/2022 697,814 Senior Notes due 2025 (5) 445,321 6.50% 10/1/2025 444,957 Total bonds payable 1,407,508 1,328,030 Debt 1,627,508 1,439,039 Less: Debt issuance costs (25,204) (18,111) Total debt, net $ 1,602,304 $ 1,420,928 Total debt due within one year $ — $ 182,019 ________________________________________________________ (1) Requires a quarterly commitment fee at a rate of 0.50% on the average daily unused portion, as well as customary letter of credit fees and agency fees. (2) Requires a quarterly commitment fee at a rate of 0.875% on the average daily unused portion, as well as customary letter of credit fees and agency fees. (3) Includes unamortized premium of $1,509 as of December 31, 2019. (4) Includes unamortized discount of $4,348 and $5,429 at June 30, 2020 and December 31, 2019, respectively, and an unamortized premium of $2,555 and $3,243 at June 30, 2020 and December 31, 2019, respectively. (5) Includes unamortized discount of $4,679 and $5,043 at June 30, 2020 and December 31, 2019, respectively. |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Assets Measured on Recurring Basis | The following tables set forth our financial assets measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019, by level within the fair value hierarchy. Assets measured at fair value are classified in their entirety based on the lowest level of input that is significant to their fair value measurement. Fair Value as of Fair Value Measurements Using Fair Value Hierarchy as of June 30, 2020 June 30, 2020 Total Level 1 Level 2 Level 3 Valuation Technique Assets Cash and cash equivalents $ 50,870 $ 50,870 $ — $ — Market Restricted cash 49,178 49,178 — — Market Total assets $ 100,048 $ 100,048 $ — $ — Fair Value as of Fair Value Measurements Using Fair Value Hierarchy as of December 31, 2019 December 31, 2019 Total Level 1 Level 2 Level 3 Valuation Technique Assets Cash and cash equivalents $ 226,512 $ 226,512 $ — $ — Market Restricted cash 16,005 16,005 — — Market Derivative assets 181 — — 181 Income Total $ 242,698 $ 242,517 $ — $ 181 |
Fair Value, by Balance Sheet Grouping | The fair value of our bonds and notes payable reported as debt, net in the Consolidated Balance Sheets are presented in the table below: June 30, 2020 December 31, 2019 Series 2012 Bonds (1) $ — $ 41,450 Series 2016 Bonds (1) — 145,143 Series A 2020 Bonds (2) 177,964 — Series B 2020 Bonds (2) 78,756 — Senior Notes due 2022 674,324 731,451 Senior Notes due 2025 407,462 475,884 ________________________________________________________ (1) These bonds were defeased as part of the Jefferson Refinancing. See Note 9 for additional details. (2) Fair value is based upon market prices for similar municipal securities. |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | The following table presents a summary of the changes in fair value for all Level 3 derivatives: Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Crude Oil Forwards Electricity Swaps (1) Crude Oil Forwards Crude Oil Forwards Electricity Swaps (1) Crude Oil Forwards Beginning Balance $ — $ (45,382) $ 5,695 $ 181 $ — $ 6,545 Net unrealized gains (losses) recognized in earnings — 4,887 (1,417) (181) 2,517 (2,267) Gains recognized in other comprehensive income — 83,256 — — 40,244 — Purchases — — 310 — 314 Sales — — 113 — (854) Settlements — — (424) — — 539 Ending Balance $ — $ 42,761 $ 4,277 $ — $ 42,761 $ 4,277 ________________________________________________________ (1) These derivatives were deconsolidated in December 2019 due to the Long Ridge Transaction. See Note 7 for additional details. |
REVENUES (Tables)
REVENUES (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | We disaggregate our revenue from contracts with customers by products and services provided for each of our segments, as we believe it best depicts the nature, amount, timing and uncertainty of our revenue. Revenues attributed to our Equipment Leasing business unit are within the scope of ASC 842, while revenues attributed to our Infrastructure business unit are within the scope of ASC 606, unless otherwise noted. Under the provisions of ASC 842, we have elected to exclude sales and other similar taxes from lease payments in arrangements where we are a lessor. Three Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Equipment leasing revenues Lease income $ 42,505 $ — $ — $ 2,129 $ 44,634 Maintenance revenue 27,105 — — — 27,105 Finance lease income 413 — — — 413 Other revenue 5,236 — — 2,446 7,682 Total equipment leasing revenues 75,259 — — 4,575 79,834 Infrastructure revenues Lease income — 287 — — 287 Terminal services revenues — 12,794 — — 12,794 Crude marketing revenues — — — — — Other revenue — — — 1,394 1,394 Total infrastructure revenues — 13,081 — 1,394 14,475 Total revenues $ 75,259 $ 13,081 $ — $ 5,969 $ 94,309 Three Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Equipment leasing revenues Lease income $ 48,731 $ — $ — $ 3,157 $ 51,888 Maintenance revenue 25,369 — — — 25,369 Finance lease income 881 — — — 881 Other revenue — — — 1,062 1,062 Total equipment leasing revenues 74,981 — — 4,219 79,200 Infrastructure revenues Lease income — 821 265 — 1,086 Terminal services revenues — 7,537 1,028 — 8,565 Crude marketing revenues — 59,204 — — 59,204 Other revenue — — 973 820 1,793 Total infrastructure revenues — 67,562 2,266 820 70,648 Total revenues $ 74,981 $ 67,562 $ 2,266 $ 5,039 $ 149,848 |
Finance Lease, Lease Income | Presented below are the contracted minimum future annual revenues to be received under existing operating and finance leases across several market sectors as of June 30, 2020: Operating Leases Finance Leases Remainder of 2020 $ 91,457 $ 770 2021 150,867 1,291 2022 95,870 897 2023 59,785 273 2024 37,687 — Thereafter 22,149 — Total $ 457,815 $ 3,231 |
Operating Lease, Lease Income | Presented below are the contracted minimum future annual revenues to be received under existing operating and finance leases across several market sectors as of June 30, 2020: Operating Leases Finance Leases Remainder of 2020 $ 91,457 $ 770 2021 150,867 1,291 2022 95,870 897 2023 59,785 273 2024 37,687 — Thereafter 22,149 — Total $ 457,815 $ 3,231 |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Lease, Cost | The following table presents lease related costs: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease expense $ 1,229 $ 1,595 $ 2,364 $ 3,199 Short-term lease expense 160 672 450 1,732 Variable lease expense 264 605 1,104 897 Lease expense from continuing operations 1,653 2,872 3,918 5,828 Finance lease expense — 79 — 158 Operating lease expense — 925 — 1,850 Lease expense from discontinued operations — 1,004 — 2,008 Total lease expense $ 1,653 $ 3,876 $ 3,918 $ 7,836 |
Supplemental Information Related to Leases | The following table presents information related to our operating leases as of and for the six months ended June 30, 2020: Right-of-use assets, net $ 62,816 Lease liabilities 62,436 Weighted average remaining lease term 40.4 years Weighted average incremental borrowing rate 6.2 % Cash paid for amounts included in the measurement of operating lease liabilities Continuing operations $ 2,371 Discontinued operations $ — |
Lessee, Operating Lease, Liability, Maturity | The following table presents future minimum lease payments under non-cancellable operating leases as of June 30, 2020: Remainder of 2020 $ 2,378 2021 4,750 2022 4,632 2023 4,585 2024 4,354 Thereafter 149,992 Total undiscounted lease payments 170,691 Less: Imputed interest 108,255 Total lease liabilities $ 62,436 |
EQUITY-BASED COMPENSATION (Tabl
EQUITY-BASED COMPENSATION (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Stock-based Compensation Arrangements | The Consolidated Statements of Operations includes the following expense related to our stock-based compensation arrangements: Three Months Ended June 30, Six Months Ended June 30, Remaining Expense To Be Recognized, If All Vesting Conditions Are Met Weighted Average Remaining Contractual Term (in years) 2020 2019 2020 2019 Restricted Shares $ 215 $ 456 $ 430 $ 546 $ 659 0.8 Common Units 196 123 272 215 1,314 1.4 Total - continuing operations $ 411 $ 579 $ 702 $ 761 $ 1,973 Total - discontinued operations $ — $ 121 $ — $ 167 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense | The current and deferred components of the income tax (benefit) provision included in the Consolidated Statements of Operations are as follows: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Current: Federal $ 31 $ 51 $ 68 $ 70 State and local 83 43 251 108 Foreign 252 108 322 160 Total current provision 366 202 641 338 Deferred: Federal (597) (1,863) (878) (1,760) State and local — (668) — (639) Foreign (3,519) 1 (3,611) — Total deferred provision (4,116) (2,530) (4,489) (2,399) (Benefit from) provision for income taxes: Continuing operations (3,750) (2,328) (3,848) (2,061) Discontinued operations — 29 — 215 Total $ (3,750) $ (2,299) $ (3,848) $ (1,846) |
MANAGEMENT AGREEMENT AND AFFI_2
MANAGEMENT AGREEMENT AND AFFILIATE TRANSACTIONS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | The following table summarizes the management fees, income incentive allocation and capital gains incentive allocation: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Management fees $ 4,756 $ 3,499 $ 9,522 $ 7,175 Income incentive allocation — — — — Capital gains incentive allocation — 2,211 — 2,373 Total $ 4,756 $ 5,710 $ 9,522 $ 9,548 The following table summarizes our reimbursements to the Manager: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 (1) 2020 2019 (1) Classification in the Consolidated Statements of Operations: General and administrative $ 2,128 $ 3,019 $ 4,390 $ 5,562 Acquisition and transaction expenses 523 2,309 1,047 3,770 Total $ 2,651 $ 5,328 $ 5,437 $ 9,332 ________________________________________________________ (1) Due to the Aviation Restructuring (as defined in Note 17), during the three and six months ended June 30, 2019, $1,716 and $3,229, respectively, was restated from the Corporate and Other segment to the Aviation Leasing segment, of which $746 and $1,294, respectively, was reclassified from General and administrative to Operating expenses and $970 and $1,935, respectively, remained in Acquisition and transaction expenses. See Note 17 for additional details. The following table summarizes amounts due to the Manager, which are included within accounts payable and accrued liabilities in the Consolidated Balance Sheets: June 30, 2020 December 31, 2019 Accrued management fees $ 1,548 $ 1,410 Other payables (1) 866 21,992 ________________________________________________________ (1) Includes $21.2 million related to incentive fees, as of December 31, 2019, which we paid during the six months ended June 30, 2020. The following table presents the amount of this non-controlling interest share of net loss: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Non-controlling interest share of net loss $ 4,020 $ 4,559 $ 8,681 $ 7,855 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Restructuring and Related Costs | The following table presents our adjustments for the three months ended June 30, 2019. As Previously Reported Adjustments As Reported Aviation Leasing Corporate and Other Aviation Leasing Corporate and Other Aviation Leasing Corporate and Other Operating expenses $ 2,721 $ 3,166 $ 746 $ — $ 3,467 $ 3,166 General and administrative — 4,297 — (746) — 3,551 Acquisition and transaction expenses — 2,308 970 (970) 970 1,338 |
Schedule of Segment Reporting Information, by Segment | The following tables set forth certain information for each reportable segment: I. For the Three Months Ended June 30, 2020 Three Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Equipment leasing revenues $ 75,259 $ — $ — $ 4,575 $ 79,834 Infrastructure revenues — 13,081 — 1,394 14,475 Total revenues 75,259 13,081 — 5,969 94,309 Expenses Operating expenses 4,577 12,290 1,875 5,830 24,572 General and administrative — — — 4,388 4,388 Acquisition and transaction expenses 2,061 — 19 1,581 3,661 Management fees and incentive allocation to affiliate — — — 4,756 4,756 Depreciation and amortization 32,203 7,160 378 1,979 41,720 Asset impairment 10,476 — — — 10,476 Interest expense — 2,310 354 19,130 21,794 Total expenses 49,317 21,760 2,626 37,664 111,367 Other (expense) income Equity in losses of unconsolidated entities (594) — (2,582) (33) (3,209) Gain (loss) on sale of assets, net 775 (7) — — 768 Interest income 17 — — 5 22 Other expense — (1) — — (1) Total other income (expense) 198 (8) (2,582) (28) (2,420) Income (loss) from continuing operations before income taxes 26,140 (8,687) (5,208) (31,723) (19,478) (Benefit from) provision for income taxes (3,427) 74 (597) 200 (3,750) Net income (loss) from continuing operations 29,567 (8,761) (4,611) (31,923) (15,728) Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries — (4,020) (92) — (4,112) Dividends on preferred shares — — — 4,079 4,079 Net income (loss) from continuing operations attributable to shareholders $ 29,567 $ (4,741) $ (4,519) $ (36,002) $ (15,695) III. For the Three Months Ended June 30, 2019 Three Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Equipment leasing revenues $ 74,981 $ — $ — $ 4,219 $ 79,200 Infrastructure revenues — 67,562 2,266 820 70,648 Total revenues 74,981 67,562 2,266 5,039 149,848 Expenses Operating expenses 3,467 74,393 4,757 3,166 85,783 General and administrative — — — 3,551 3,551 Acquisition and transaction expenses 970 — — 1,338 2,308 Management fees and incentive allocation to affiliate — — — 5,710 5,710 Depreciation and amortization 33,267 5,519 1,560 1,706 42,052 Interest expense — 4,524 348 20,522 25,394 Total expenses 37,704 84,436 6,665 35,993 164,798 Other income (expense) Equity in (losses) earnings of unconsolidated entities (242) 92 — (19) (169) Gain on sale of assets, net 22,610 12 — — 22,622 Interest income 28 33 173 6 240 Other income — 50 4,887 — 4,937 Total other income (expense) 22,396 187 5,060 (13) 27,630 Income (loss) from continuing operations before income taxes 59,673 (16,687) 661 (30,967) 12,680 (Benefit from) provision for income taxes (2,369) 38 — 3 (2,328) Net income (loss) from continuing operations 62,042 (16,725) 661 (30,970) 15,008 Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries — (4,558) (22) — (4,580) Net income (loss) from continuing operations attributable to shareholders $ 62,042 $ (12,167) $ 683 $ (30,970) $ 19,588 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | The following table sets forth a reconciliation of Adjusted EBITDA to net loss attributable to shareholders from continuing operations: Three Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Adjusted EBITDA $ 77,501 $ 2,968 $ (885) $ (13,112) $ 66,472 Add: Non-controlling share of Adjusted EBITDA 2,101 Add: Equity in losses of unconsolidated entities (3,209) Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities (126) Less: Interest expense (21,794) Less: Depreciation and amortization expense (48,341) Less: Incentive allocations — Less: Asset impairment charges (10,476) Less: Changes in fair value of non-hedge derivative instruments — Less: Losses on the modification or extinguishment of debt and capital lease obligations — Less: Acquisition and transaction expenses (3,661) Less: Equity-based compensation expense (411) Less: Benefit from income taxes 3,750 Net loss attributable to shareholders from continuing operations $ (15,695) The following table sets forth a reconciliation of Adjusted EBITDA to net income attributable to shareholders from continuing operations: Three Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Adjusted EBITDA $ 102,864 $ (2,563) $ (2,241) $ (5,364) $ 92,696 Add: Non-controlling share of Adjusted EBITDA 2,785 Add: Equity in losses of unconsolidated entities (169) Less: Pro-rata share of Adjusted EBITDA from unconsolidated entities (24) Less: Interest expense (25,394) Less: Depreciation and amortization expense (51,006) Less: Incentive allocations (2,211) Less: Asset impairment charges — Less: Changes in fair value of non-hedge derivative instruments 3,470 Less: Losses on the modification or extinguishment of debt and capital lease obligations — Less: Acquisition and transaction expenses (2,308) Less: Equity-based compensation expense (579) Less: Benefit from income taxes 2,328 Net income attributable to shareholders from continuing operations $ 19,588 |
Revenue from External Customers by Geographic Areas | Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows: Three Months Ended June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Africa $ 1,319 $ — $ — $ — $ 1,319 Asia 31,732 — — 4,575 36,307 Europe 31,287 — — — 31,287 North America 9,931 13,081 — 1,394 24,406 South America 990 — — — 990 Total $ 75,259 $ 13,081 $ — $ 5,969 $ 94,309 Summary information with respect to our geographic sources of revenue, based on location of customer, is as follows: Three Months Ended June 30, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Revenues Africa $ 2,208 $ — $ — $ — $ 2,208 Asia 25,410 — — 4,219 29,629 Europe 35,413 — — — 35,413 North America 9,604 67,562 2,266 820 80,252 South America 2,346 — — — 2,346 Total $ 74,981 $ 67,562 $ 2,266 $ 5,039 $ 149,848 |
Reconciliation of Other Significant Reconciling Items from Segments to Consolidated | . Balance Sheet and Location of Long-Lived Assets The following tables sets forth summarized balance sheet information and the geographic location of property, plant and equipment and leasing equipment, net: June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Total assets $ 1,758,972 $ 890,770 $ 414,490 $ 223,262 $ 3,287,494 Debt, net — 252,754 25,000 1,324,550 1,602,304 Total liabilities 271,548 363,894 49,749 1,350,812 2,036,003 Non-controlling interests in equity of consolidated subsidiaries — 27,419 849 524 28,792 Total equity 1,487,424 526,876 364,741 (1,127,550) 1,251,491 Total liabilities and equity $ 1,758,972 $ 890,770 $ 414,490 $ 223,262 $ 3,287,494 December 31, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Total assets $ 1,694,837 $ 781,422 $ 366,402 $ 394,261 $ 3,236,922 Debt, net — 233,077 25,000 1,162,851 1,420,928 Total liabilities 285,099 324,509 63,930 1,224,527 1,898,065 Non-controlling interests in equity of consolidated subsidiaries — 35,671 785 524 36,980 Total equity 1,409,738 456,913 302,472 (830,266) 1,338,857 Total liabilities and equity $ 1,694,837 $ 781,422 $ 366,402 $ 394,261 $ 3,236,922 |
Long-lived Assets by Geographic Areas | June 30, 2020 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Property, plant and equipment and leasing equipment, net Africa $ 37,049 $ — $ — $ — $ 37,049 Asia 392,135 — — 45,969 438,104 Europe 849,642 — — — 849,642 North America 300,524 612,115 254,757 120,775 1,288,171 South America 5,962 — — — 5,962 Total $ 1,585,312 $ 612,115 $ 254,757 $ 166,744 $ 2,618,928 December 31, 2019 Equipment Leasing Infrastructure Aviation Leasing Jefferson Terminal Ports and Terminals Corporate and Other Total Property, plant and equipment and leasing equipment, net Africa $ 43,348 $ — $ — $ — $ 43,348 Asia 487,913 — — 37,548 525,461 Europe 647,029 — — — 647,029 North America 311,185 560,059 200,319 123,067 1,194,630 South America 28,700 — — — 28,700 Total $ 1,518,175 $ 560,059 $ 200,319 $ 160,615 $ 2,439,168 |
EARNINGS PER SHARE AND EQUITY (
EARNINGS PER SHARE AND EQUITY (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The calculation of basic and diluted EPS is presented below: Three Months Ended June 30, Six Months Ended June 30, (in thousands, except share and per share data) 2020 2019 2020 2019 Net (loss) income from continuing operations $ (15,728) $ 15,008 $ (20,119) $ 5,054 Net income from discontinued operations, net of income taxes — 785 1,331 943 Net (loss) income (15,728) 15,793 (18,788) 5,997 Less: Net (loss) income attributable to non-controlling interests in consolidated subsidiaries: Continuing operations (4,112) (4,580) (8,848) (7,940) Discontinued operations — 41 — (15) Dividends on preferred shares 4,079 — 8,618 — Net (loss) income attributable to shareholders $ (15,695) $ 20,332 $ (18,558) $ 13,952 Weighted Average Common Shares Outstanding - Basic (1) 86,009,959 85,987,769 86,009,029 85,987,115 Weighted Average Common Shares Outstanding - Diluted (1) 86,009,959 85,989,029 86,009,029 85,987,115 Basic Continuing operations $ (0.18) $ 0.23 $ (0.23) $ 0.15 Discontinued operations $ — $ 0.01 $ 0.02 $ 0.01 Diluted Continuing operations $ (0.18) $ 0.23 $ (0.23) $ 0.15 Discontinued operations $ — $ 0.01 $ 0.02 $ 0.01 ________________________________________________________ (1) The three and six months ended June 30, 2020 and 2019 includes participating securities which can be converted into a fixed amount of our shares. |
ORGANIZATION (Details)
ORGANIZATION (Details) | 6 Months Ended |
Jun. 30, 2020segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of reportable segments | 3 |
Number of primary businesses | 2 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2020USD ($)$ / shares | Jun. 30, 2019USD ($)$ / shares | Jun. 30, 2020USD ($)$ / shares | Jun. 30, 2019USD ($)$ / shares | Dec. 31, 2019USD ($)customer | Jul. 01, 2016 | |
Accounting Policies [Line Items] | ||||||
Inventory | $ 22,300 | $ 22,300 | $ 24,500 | |||
Debt issuance cost | 25,204 | 25,204 | $ 18,111 | |||
Amortization of deferred financing costs | 1,900 | $ 2,000 | 4,010 | $ 4,043 | ||
Concentration risk, number of customers | customer | 1 | |||||
Provision for doubtful accounts | 2,800 | 2,800 | $ 1,300 | |||
Bad debt expense | $ 1,100 | $ 0 | $ 1,800 | $ 3,000 | ||
Common stock dividends declared (in dollars per share) | $ / shares | $ 0.33 | $ 0.33 | $ 0.66 | $ 0.66 | ||
Preferred stock dividends declared (in dollars per share) | $ / shares | $ 0.52 | $ 0.50 | ||||
Other Assets | ||||||
Accounting Policies [Line Items] | ||||||
Inventory | $ 400 | $ 400 | 5,600 | |||
Debt fees | 2,400 | 2,400 | 1,700 | |||
Capitalized costs, potential asset acquisitions | 46,300 | 46,300 | 45,300 | |||
Prepaid expense | 4,300 | 4,300 | 4,100 | |||
Derivative assets | $ 700 | $ 700 | $ 2,400 | |||
Customer Group Two | Customer Concentration Risk | Sales Revenue, Segment | Jefferson Terminal | ||||||
Accounting Policies [Line Items] | ||||||
Concentration risk | 23.00% | 23.00% | 11.00% | 23.00% | ||
Major Accounts Receivable Customer, Customer One | Customer Concentration Risk | Accounts Receivable | ||||||
Accounting Policies [Line Items] | ||||||
Concentration risk | 27.00% | 16.00% | ||||
Major Accounts Receivable Customer, Customer Two | Customer Concentration Risk | Accounts Receivable | ||||||
Accounting Policies [Line Items] | ||||||
Concentration risk | 14.00% | |||||
Delaware River Partners LLC | Variable Interest Entity, Primary Beneficiary | ||||||
Accounting Policies [Line Items] | ||||||
Ownership percentage | 98.00% | |||||
Interest held in VIE, as a percentage | 100.00% |
DISCONTINUED OPERATIONS - Compo
DISCONTINUED OPERATIONS - Components of Net Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Expenses | ||||
Provision for income taxes | $ 0 | $ 29 | $ 0 | $ 215 |
Net income | 0 | 785 | 1,331 | 943 |
Less: Net income (loss) attributable to non-controlling interests in consolidated subsidiaries | 0 | 41 | 0 | (15) |
Discontinued Operations, Disposed of by Sale | CMQR | ||||
Revenues | ||||
Total revenues | 0 | 9,157 | 0 | 18,890 |
Expenses | ||||
Operating expense | 0 | 7,726 | 0 | 15,882 |
Depreciation and amortization | 0 | 548 | 0 | 1,218 |
Interest expense | 0 | 78 | 0 | 647 |
Total expenses | 0 | 8,352 | 0 | 17,747 |
Gain on sale of assets, net | 0 | 8 | 1,331 | 15 |
Other expense | 0 | 1 | 0 | 0 |
Other income | 0 | 9 | 1,331 | 15 |
Income before income taxes | 0 | 814 | 1,331 | 1,158 |
Provision for income taxes | 0 | 29 | 0 | 215 |
Net income | 0 | 785 | 1,331 | 943 |
Less: Net income (loss) attributable to non-controlling interests in consolidated subsidiaries | 0 | 41 | 0 | (15) |
Net income attributable to shareholders | $ 0 | $ 744 | $ 1,331 | $ 958 |
DISCONTINUED OPERATIONS - Com_2
DISCONTINUED OPERATIONS - Components of Cash Flows (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Operating activities: | ||
Bad debt expense | $ 0 | $ 110 |
Discontinued Operations, Disposed of by Sale | CMQR | ||
Operating activities: | ||
Depreciation and amortization | 0 | 1,218 |
Share-based compensation expense | 0 | 167 |
Investing activities: | ||
Purchases of property, plant and equipment | $ 0 | $ 2,978 |
LEASING EQUIPMENT, NET (Details
LEASING EQUIPMENT, NET (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($)aircraftcommercial_jet_engine | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Lessor, Lease, Description [Line Items] | |||||
Leasing equipment | $ 932,238 | $ 932,238 | $ 802,044 | ||
Less: accumulated depreciation | (83,109) | (83,109) | (69,935) | ||
Property, plant and equipment, net | 849,129 | $ 849,129 | 732,109 | ||
Impairment of long lived assets | 10,500 | ||||
Acquisitions: | |||||
Aircraft | aircraft | 19 | ||||
Engines | commercial_jet_engine | 5 | ||||
Dispositions: | |||||
Aircraft | aircraft | 0 | ||||
Engines | commercial_jet_engine | 3 | ||||
Depreciation expense for leasing equipment | 6,538 | $ 6,558 | $ 13,123 | $ 13,295 | |
Assets Leased to Others | |||||
Lessor, Lease, Description [Line Items] | |||||
Leasing equipment | 2,146,948 | 2,146,948 | 2,019,773 | ||
Less: accumulated depreciation | (377,149) | (377,149) | (312,714) | ||
Property, plant and equipment, net | 1,769,799 | 1,769,799 | $ 1,707,059 | ||
Dispositions: | |||||
Depreciation expense for leasing equipment | $ 34,293 | $ 35,150 | $ 69,017 | $ 67,046 |
FINANCE LEASES, NET - Summary (
FINANCE LEASES, NET - Summary (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Finance leases | $ 10,888 | $ 12,388 |
Unearned revenue | (3,231) | (4,073) |
Finance leases, net | $ 7,657 | $ 8,315 |
PROPERTY, PLANT AND EQUIPMENT_3
PROPERTY, PLANT AND EQUIPMENT, NET (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 932,238 | $ 802,044 |
Less: accumulated depreciation | (83,109) | (69,935) |
Property, plant and equipment, net | 849,129 | 732,109 |
Land, site improvements and rights | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 51,889 | 51,901 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 322,353 | 211,110 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 4,339 | 3,783 |
Terminal machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 537,486 | 519,603 |
Track and track related assets | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 2,348 | 2,208 |
Railroad equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 5,596 | 4,823 |
Computer hardware and software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 4,986 | 4,325 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 2,443 | 2,322 |
Other | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 798 | $ 1,969 |
PROPERTY, PLANT AND EQUIPMENT_4
PROPERTY, PLANT AND EQUIPMENT, NET - Narrative (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment acquired | $ (130.2) |
PROPERTY, PLANT AND EQUIPMENT_5
PROPERTY, PLANT AND EQUIPMENT, NET - Depreciation (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Depreciation expense for property, plant and equipment: | ||||
Continuing operations | $ 6,538 | $ 6,014 | $ 13,123 | $ 12,092 |
Discontinued operations | 0 | 544 | 0 | 1,203 |
Total | $ 6,538 | $ 6,558 | $ 13,123 | $ 13,295 |
INVESTMENTS - Ownership Carryin
INVESTMENTS - Ownership Carrying Values (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2016 |
Schedule of Equity Method Investments [Line Items] | |||
Carrying Value | $ 175,872 | $ 180,550 | |
Advanced Engine Repair JV | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership Percentage | 25.00% | 25.00% | |
Carrying Value | $ 23,467 | 24,652 | $ 15,000 |
Intermodal Finance I, Ltd. | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership Percentage | 51.00% | ||
Carrying Value | $ 233 | 501 | |
Long Ridge Terminal LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership Percentage | 50.00% | ||
Carrying Value | $ 152,172 | $ 155,397 |
INVESTMENTS - Share of Equity o
INVESTMENTS - Share of Equity of Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Schedule of Equity Method Investments [Line Items] | ||||
Income (loss) | $ (3,209) | $ (169) | $ (2,944) | $ (553) |
Advanced Engine Repair JV | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Income (loss) | (594) | (242) | (1,185) | (443) |
JGP Energy Partners LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Income (loss) | 0 | 92 | 0 | (128) |
Intermodal Finance I, Ltd. | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Income (loss) | (33) | (19) | (83) | 18 |
Long Ridge Terminal LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Income (loss) | $ (2,582) | $ 0 | $ (1,676) | $ 0 |
INVESTMENTS - Narrative (Detail
INVESTMENTS - Narrative (Details) shipping_container in Thousands, $ in Thousands | 1 Months Ended | 6 Months Ended | |||
Dec. 31, 2019USD ($) | Aug. 31, 2019USD ($) | Jun. 30, 2020USD ($)shipping_container | Dec. 31, 2016USD ($) | Dec. 31, 2012 | |
Schedule of Equity Method Investments [Line Items] | |||||
Carrying value | $ 180,550 | $ 175,872 | |||
Long Ridge Terminal LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership Percentage Sold | 49.90% | ||||
Proceeds from Sale of Equity Method Investments | 150,000 | ||||
Carrying value | 155,397 | $ 152,172 | |||
Ownership percentage | 50.00% | ||||
Advanced Engine Repair JV | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Carrying value | $ 24,652 | $ 23,467 | $ 15,000 | ||
Ownership percentage | 25.00% | 25.00% | |||
Equity method investment contribution amount | $ 13,500 | ||||
JGP Energy Partners LLC | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership percentage | 50.00% | ||||
Remaining ownership amount purchased | 50.00% | ||||
Payments to acquire equity method investments | $ 30,000 | ||||
Intermodal Finance I, Ltd. | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Carrying value | $ 501 | $ 233 | |||
Ownership percentage | 51.00% | ||||
Shipping Containers Subject to Multiple Operating Leases | Containers | Intermodal Finance I, Ltd. | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Shipping containers subject to multiple operating leases | shipping_container | 3 | ||||
FIG | Intermodal Finance I, Ltd. | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership percentage | 51.00% | ||||
Equity Investor | Intermodal Finance I, Ltd. | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership percentage | 49.00% |
INVESTMENTS (Equity Method Inve
INVESTMENTS (Equity Method Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Schedule of Equity Method Investments [Line Items] | ||||
Total expenses | $ (2,420) | $ 27,630 | $ (8,624) | $ 26,452 |
Net loss | (19,478) | 12,680 | (23,967) | 2,993 |
Long Ridge Terminal LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Total revenue | 5,169 | 9,907 | ||
Total expenses | (8,483) | (14,858) | ||
Other (loss) income | (1,840) | 1,605 | ||
Net loss | (5,154) | (3,346) | ||
Advanced Engine Repair JV | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Total expenses | (2,374) | (1,047) | (4,738) | (1,851) |
Net loss | $ (2,374) | $ (1,047) | $ (4,738) | $ (1,851) |
INTANGIBLE ASSETS AND LIABILI_3
INTANGIBLE ASSETS AND LIABILITIES, NET - Summarized Intangible Assets and Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Intangible assets: | ||
Total | $ 19,700 | |
Total intangible assets, net | 23,720 | $ 27,692 |
Intangible liabilities: | ||
Acquired unfavorable lease intangibles | 7,151 | 5,170 |
Less: Accumulated amortization | (3,131) | (3,014) |
Acquired unfavorable lease intangibles, net | 4,020 | 2,156 |
Acquired favorable lease intangibles | ||
Intangible assets: | ||
Acquired favorable lease intangibles | 35,349 | 49,762 |
Less: Accumulated amortization | (26,434) | (38,652) |
Total | 8,915 | 11,110 |
Customer relationships | ||
Intangible assets: | ||
Acquired favorable lease intangibles | 35,513 | 35,513 |
Less: Accumulated amortization | (20,708) | (18,931) |
Total | 14,805 | 16,582 |
Operating Segments | Aviation Leasing | ||
Intangible assets: | ||
Total intangible assets, net | 8,915 | 11,110 |
Intangible liabilities: | ||
Acquired unfavorable lease intangibles | 7,151 | 5,170 |
Less: Accumulated amortization | (3,131) | (3,014) |
Acquired unfavorable lease intangibles, net | 4,020 | 2,156 |
Operating Segments | Aviation Leasing | Acquired favorable lease intangibles | ||
Intangible assets: | ||
Acquired favorable lease intangibles | 35,349 | 49,762 |
Less: Accumulated amortization | (26,434) | (38,652) |
Total | 8,915 | 11,110 |
Operating Segments | Aviation Leasing | Customer relationships | ||
Intangible assets: | ||
Acquired favorable lease intangibles | 0 | 0 |
Less: Accumulated amortization | 0 | 0 |
Total | 0 | 0 |
Operating Segments | Jefferson Terminal | ||
Intangible assets: | ||
Total intangible assets, net | 14,805 | 16,582 |
Intangible liabilities: | ||
Acquired unfavorable lease intangibles | 0 | 0 |
Less: Accumulated amortization | 0 | 0 |
Acquired unfavorable lease intangibles, net | 0 | 0 |
Operating Segments | Jefferson Terminal | Acquired favorable lease intangibles | ||
Intangible assets: | ||
Acquired favorable lease intangibles | 0 | 0 |
Less: Accumulated amortization | 0 | 0 |
Total | 0 | 0 |
Operating Segments | Jefferson Terminal | Customer relationships | ||
Intangible assets: | ||
Acquired favorable lease intangibles | 35,513 | 35,513 |
Less: Accumulated amortization | (20,708) | (18,931) |
Total | $ 14,805 | $ 16,582 |
INTANGIBLE ASSETS AND LIABILI_4
INTANGIBLE ASSETS AND LIABILITIES, NET - Intangible Liabilities Amortization (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Total | $ 1,820 | $ 3,094 | $ 3,840 | $ 6,456 |
Equipment leasing revenues | Lease intangibles | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Lease intangibles | 931 | 2,202 | 2,063 | 4,664 |
Depreciation and amortization | Customer relationships | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Continuing operations | 889 | 888 | 1,777 | 1,777 |
Depreciation and amortization | Customer relationships | Discontinued operations | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Continuing operations | $ 0 | $ 4 | $ 0 | $ 15 |
INTANGIBLE ASSETS AND LIABILI_5
INTANGIBLE ASSETS AND LIABILITIES, NET - Schedule of Future Amortization Expense (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
Remainder of 2020 | $ 3,523 |
2021 | 6,213 |
2022 | 4,385 |
2023 | 3,343 |
2024 | 2,236 |
Thereafter | 0 |
Total | $ 19,700 |
DEBT, NET - Schedule of Debt (D
DEBT, NET - Schedule of Debt (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Debt Instrument [Line Items] | ||
Debt | $ 1,627,508 | $ 1,439,039 |
Less: Debt issuance costs | (25,204) | (18,111) |
Total debt, net | 1,602,304 | 1,420,928 |
Total debt due within one year | 0 | 182,019 |
Loans payable | ||
Debt Instrument [Line Items] | ||
Debt | 220,000 | 111,009 |
Loans payable | FTAI Pride Credit Agreement | ||
Debt Instrument [Line Items] | ||
Total debt, net | 0 | 36,009 |
Loans payable | Jefferson Revolver | ||
Debt Instrument [Line Items] | ||
Total debt, net | 0 | 50,000 |
Loans payable | DRP Revolver | ||
Debt Instrument [Line Items] | ||
Total debt, net | $ 25,000 | 25,000 |
Basis spread | 1.50% | |
Quarterly commitment fee rate | 0.875% | |
Bonds payable | ||
Debt Instrument [Line Items] | ||
Debt | $ 1,407,508 | 1,328,030 |
Bonds payable | Series 2012 Bonds | ||
Debt Instrument [Line Items] | ||
Total debt, net | 0 | 41,059 |
Unamortized premium | 1,509 | |
Bonds payable | Series 2016 Bonds | ||
Debt Instrument [Line Items] | ||
Total debt, net | 0 | 144,200 |
Bonds payable | Series 2020 Bonds | ||
Debt Instrument [Line Items] | ||
Debt | 263,980 | 0 |
Bonds payable | Senior Notes Due 2022 | ||
Debt Instrument [Line Items] | ||
Total debt, net | $ 698,207 | 697,814 |
Stated percentage | 6.75% | |
Unamortized discount | $ 4,348 | 5,429 |
Unamortized premium | 2,555 | 3,243 |
Bonds payable | Senior Notes Due 2025 | ||
Debt Instrument [Line Items] | ||
Total debt, net | $ 445,321 | 444,957 |
Stated percentage | 6.50% | |
Unamortized discount | $ 4,679 | 5,043 |
Revolving Credit Facility | Loans payable | ||
Debt Instrument [Line Items] | ||
Total debt, net | $ 195,000 | $ 0 |
Basis spread | 2.00% | |
Quarterly commitment fee rate | 0.50% | |
Adjusted Eurodollar Rate | Revolving Credit Facility | Loans payable | ||
Debt Instrument [Line Items] | ||
Basis spread | 3.00% | |
Eurodollar | Loans payable | DRP Revolver | ||
Debt Instrument [Line Items] | ||
Basis spread | 2.50% |
DEBT, NET - Narrative (Details)
DEBT, NET - Narrative (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Feb. 11, 2020 | |
Debt Instrument [Line Items] | |||||
Loss on extinguishment of debt | $ 0 | $ 0 | $ 4,724,000 | $ 0 | |
Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Debt instrument collateral amount | 150,000,000 | $ 150,000,000 | |||
Jefferson Terminal | |||||
Debt Instrument [Line Items] | |||||
Loss on extinguishment of debt | $ 4,700,000 | ||||
Series 2020 Bonds | |||||
Debt Instrument [Line Items] | |||||
Debt instrument face amount | $ 264,000,000 | ||||
Series 2020A Dock and Wharf Facility Revenue Bonds | |||||
Debt Instrument [Line Items] | |||||
Debt instrument face amount | 184,900,000 | ||||
Series 2020B Taxable Facility Revenue Bonds | |||||
Debt Instrument [Line Items] | |||||
Debt instrument face amount | $ 79,100,000 | ||||
Stated percentage | 6.00% | ||||
Series 2020A Maturing in 2035 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument face amount | $ 53,500,000 | ||||
Stated percentage | 3.625% | ||||
Series 2020A Maturing in 2050 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument face amount | $ 131,400,000 | ||||
Stated percentage | 4.00% |
FAIR VALUE MEASUREMENTS - Finan
FAIR VALUE MEASUREMENTS - Financial Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Assets | ||
Total assets | $ 100,048 | $ 242,698 |
Level 1 | ||
Assets | ||
Total assets | 100,048 | 242,517 |
Level 2 | ||
Assets | ||
Total assets | 0 | 0 |
Level 3 | ||
Assets | ||
Total assets | 0 | 181 |
Market | ||
Assets | ||
Cash and cash equivalents | 50,870 | 226,512 |
Restricted cash | 49,178 | 16,005 |
Market | Level 1 | ||
Assets | ||
Cash and cash equivalents | 50,870 | 226,512 |
Restricted cash | 49,178 | 16,005 |
Market | Level 2 | ||
Assets | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Market | Level 3 | ||
Assets | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash | $ 0 | 0 |
Income | ||
Assets | ||
Derivative assets | 181 | |
Income | Level 1 | ||
Assets | ||
Derivative assets | 0 | |
Income | Level 2 | ||
Assets | ||
Derivative assets | 0 | |
Income | Level 3 | ||
Assets | ||
Derivative assets | $ 181 |
FAIR VALUE MEASUREMENTS (Fair V
FAIR VALUE MEASUREMENTS (Fair Value by Balance Sheet Grouping) (Details) - Estimate of Fair Value Measurement - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Series 2012 Bonds | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable, fair value disclosure | $ 0 | $ 41,450 |
Series 2016 Bonds | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable, fair value disclosure | 0 | 145,143 |
Series A 2020 Bonds | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable, fair value disclosure | 177,964 | 0 |
Series B 2020 Bonds | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable, fair value disclosure | 78,756 | 0 |
Senior Notes due 2022 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable, fair value disclosure | 674,324 | 731,451 |
Senior Notes due 2025 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Notes payable, fair value disclosure | $ 407,462 | $ 475,884 |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS - Level 3 Rollforward (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Crude Oil Forwards | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Beginning Balance | $ 0 | $ 5,695 | $ 181 | $ 6,545 |
Net unrealized gains (losses) recognized in earnings | 0 | (1,417) | (181) | (2,267) |
Gains recognized in other comprehensive income | 0 | 0 | 0 | 0 |
Purchases | 0 | 310 | 0 | 314 |
Sales | 0 | 113 | 0 | (854) |
Settlements | 0 | (424) | 0 | 539 |
Ending Balance | $ 0 | 4,277 | $ 0 | 4,277 |
Electric Swaps | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Beginning Balance | (45,382) | 0 | ||
Net unrealized gains (losses) recognized in earnings | 4,887 | 2,517 | ||
Gains recognized in other comprehensive income | 83,256 | 40,244 | ||
Purchases | 0 | |||
Sales | 0 | |||
Settlements | 0 | 0 | ||
Ending Balance | $ 42,761 | $ 42,761 |
REVENUES - Components of Revenu
REVENUES - Components of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenues | $ 94,309 | $ 149,848 | $ 207,149 | $ 264,742 |
Corporate and Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 5,969 | 5,039 | 10,762 | 7,854 |
Total equipment leasing revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 79,834 | 79,200 | 166,283 | 151,652 |
Total equipment leasing revenues | Corporate and Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 4,575 | 4,219 | 8,032 | 6,260 |
Total infrastructure revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 14,475 | 70,648 | 40,866 | 113,090 |
Total infrastructure revenues | Corporate and Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 1,394 | 820 | 2,730 | 1,594 |
Equipment Leasing | Lease income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 44,634 | 51,888 | 94,447 | 101,124 |
Equipment Leasing | Maintenance revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 27,105 | 25,369 | 59,100 | 47,146 |
Equipment Leasing | Finance lease income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 413 | 881 | 842 | 1,707 |
Equipment Leasing | Other revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 7,682 | 1,062 | 11,894 | 1,675 |
Equipment Leasing | Total equipment leasing revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 79,834 | 79,200 | 166,283 | 151,652 |
Infrastructure | Lease income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 287 | 1,086 | 407 | 1,749 |
Infrastructure | Terminal services revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 12,794 | 8,565 | 29,205 | 15,250 |
Infrastructure | Crude marketing revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 0 | 59,204 | 8,210 | 89,983 |
Infrastructure | Other revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 1,394 | 1,793 | 3,044 | 6,108 |
Infrastructure | Total infrastructure revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 14,475 | 70,648 | 40,866 | 113,090 |
Aviation Leasing | Equipment Leasing | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 75,259 | 74,981 | 158,251 | 145,392 |
Aviation Leasing | Equipment Leasing | Lease income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 42,505 | 48,731 | 89,446 | 96,034 |
Aviation Leasing | Equipment Leasing | Maintenance revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 27,105 | 25,369 | 59,100 | 47,146 |
Aviation Leasing | Equipment Leasing | Finance lease income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 413 | 881 | 842 | 1,707 |
Aviation Leasing | Equipment Leasing | Other revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 5,236 | 0 | 8,863 | 505 |
Aviation Leasing | Equipment Leasing | Total equipment leasing revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 75,259 | 74,981 | 158,251 | 145,392 |
Jefferson Terminal | Infrastructure | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 13,081 | 67,562 | 37,822 | 103,516 |
Jefferson Terminal | Infrastructure | Lease income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 287 | 821 | 407 | 1,129 |
Jefferson Terminal | Infrastructure | Terminal services revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 12,794 | 7,537 | 29,205 | 12,404 |
Jefferson Terminal | Infrastructure | Crude marketing revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 0 | 59,204 | 8,210 | 89,983 |
Jefferson Terminal | Infrastructure | Total infrastructure revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 13,081 | 67,562 | 37,822 | 103,516 |
Ports and Terminals | Infrastructure | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 0 | 2,266 | 314 | 7,980 |
Ports and Terminals | Infrastructure | Lease income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 265 | 0 | 620 | |
Ports and Terminals | Infrastructure | Terminal services revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 1,028 | 0 | 2,846 | |
Ports and Terminals | Infrastructure | Other revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 0 | 973 | 314 | 4,514 |
Ports and Terminals | Infrastructure | Total infrastructure revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 0 | 2,266 | 314 | 7,980 |
Corporate and Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 5,969 | 5,039 | 10,762 | 7,854 |
Corporate and Other | Lease income | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 2,129 | 3,157 | 5,001 | 5,090 |
Corporate and Other | Other revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | 2,446 | 1,062 | 3,031 | 1,170 |
Corporate and Other | Total equipment leasing revenues | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues | $ 4,575 | $ 4,219 | $ 8,032 | $ 6,260 |
REVENUES - Minimum Future Annua
REVENUES - Minimum Future Annual Revenues (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Operating Leases | |
Remainder of 2020 | $ 91,457 |
2021 | 150,867 |
2022 | 95,870 |
2023 | 59,785 |
2024 | 37,687 |
Thereafter | 22,149 |
Total | 457,815 |
Finance Leases | |
Remainder of 2020 | 770 |
2021 | 1,291 |
2022 | 897 |
2023 | 273 |
2024 | 0 |
Thereafter | 0 |
Total | $ 3,231 |
LEASES - Narrative (Details)
LEASES - Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Lessee, Lease, Description [Line Items] | ||
Operating lease right-of-use assets, net | $ 62,816 | $ 37,466 |
Minimum | ||
Lessee, Lease, Description [Line Items] | ||
Remaining lease term | 1 year | |
Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Remaining lease term | 42 years | |
Real Estate and Office Equipment | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease right-of-use assets, net | $ 59,800 | |
Real Estate and Office Equipment | Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Term of contract | 43 years |
LEASES - Lease Cost (Details)
LEASES - Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Leases [Abstract] | ||||
Operating lease expense | $ 1,229 | $ 1,595 | $ 2,364 | $ 3,199 |
Short-term lease expense | 160 | 672 | 450 | 1,732 |
Variable lease expense | 264 | 605 | 1,104 | 897 |
Lease expense from continuing operations | 1,653 | 2,872 | 3,918 | 5,828 |
Finance lease expense | 0 | 79 | 0 | 158 |
Operating lease expense | 0 | 925 | 0 | 1,850 |
Lease expense from discontinued operations | 0 | 1,004 | 0 | 2,008 |
Total lease expense | $ 1,653 | $ 3,876 | $ 3,918 | $ 7,836 |
LEASES - Supplemental Informati
LEASES - Supplemental Information Related to Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | |
Leases [Abstract] | |||
Right-of-use assets, net | $ 62,816 | $ 62,816 | $ 37,466 |
Lease liabilities | $ 62,436 | $ 62,436 | $ 36,968 |
Weighted average remaining lease term | 40 years 4 months 24 days | 40 years 4 months 24 days | |
Weighted average incremental borrowing rate | 6.20% | 6.20% | |
Cash paid for amounts included in the measurement of operating lease liabilities | |||
Continuing operations | $ 2,371 | ||
Discontinued operations | $ 0 |
LEASES - Future Payments (Detai
LEASES - Future Payments (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Operating leases | ||
Remainder of 2020 | $ 2,378 | |
2021 | 4,750 | |
2022 | 4,632 | |
2023 | 4,585 | |
2024 | 4,354 | |
Thereafter | 149,992 | |
Total undiscounted lease payments | 170,691 | |
Less: Imputed interest | 108,255 | |
Total lease liabilities | $ 62,436 | $ 36,968 |
EQUITY-BASED COMPENSATION (Narr
EQUITY-BASED COMPENSATION (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares transferred (in shares) | 252,472 | ||||
Shares issued (in shares) | 675,015 | ||||
Value of shares | $ 155 | $ 156 | $ 3 | $ 239 | |
Common Units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares issued (in shares) | 831,140 | ||||
Value of shares | $ 900 | ||||
Vesting period | 3 years | ||||
Incentive Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares authorized (in shares) | 29,900,000 | 29,900,000 |
EQUITY-BASED COMPENSATION - Exp
EQUITY-BASED COMPENSATION - Expenses Related to Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation | $ 411 | $ 579 | $ 702 | $ 761 |
Remaining Expense To Be Recognized, If All Vesting Conditions Are Met | 1,973 | 1,973 | ||
Restricted Shares | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation | 215 | 456 | 430 | 546 |
Remaining Expense To Be Recognized, If All Vesting Conditions Are Met | 659 | $ 659 | ||
Weighted Average Remaining Contractual Term (in years) | 9 months 18 days | |||
Common Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation | 196 | 123 | $ 272 | 215 |
Remaining Expense To Be Recognized, If All Vesting Conditions Are Met | 1,314 | $ 1,314 | ||
Weighted Average Remaining Contractual Term (in years) | 1 year 4 months 24 days | |||
Total - discontinued operations | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation | $ 0 | $ 121 | $ 0 | $ 167 |
INCOME TAXES - Components of In
INCOME TAXES - Components of Income Tax Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Current: | ||||
Federal | $ 31 | $ 51 | $ 68 | $ 70 |
State and local | 83 | 43 | 251 | 108 |
Foreign | 252 | 108 | 322 | 160 |
Total current provision | 366 | 202 | 641 | 338 |
Deferred: | ||||
Federal | (597) | (1,863) | (878) | (1,760) |
State and local | 0 | (668) | 0 | (639) |
Foreign | (3,519) | 1 | (3,611) | 0 |
Total deferred provision | (4,116) | (2,530) | (4,489) | (2,399) |
Continuing operations | (3,750) | (2,328) | (3,848) | (2,061) |
Discontinued operations | 0 | 29 | 0 | 215 |
Total | $ (3,750) | $ (2,299) | $ (3,848) | $ (1,846) |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) | 6 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
U.S. federal tax at statutory rate | 21.00% |
MANAGEMENT AGREEMENT AND AFFI_3
MANAGEMENT AGREEMENT AND AFFILIATE TRANSACTIONS (Details) - USD ($) shares in Millions | Jun. 21, 2018 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Dec. 20, 2018 |
Related Party Transaction [Line Items] | |||||||
Ownership percentage by manager | 0.05% | ||||||
Management fees and incentive allocation to affiliate | $ 4,756,000 | $ 5,710,000 | $ 9,522,000 | $ 9,548,000 | |||
Shares issued, conversion of shares (in shares) | 1.9 | ||||||
Jefferson Terminal | |||||||
Related Party Transaction [Line Items] | |||||||
Non-controlling interest ownership percentage | 20.00% | 20.00% | 20.00% | 20.00% | |||
Non-controlling interest by private equity fund | $ 25,000,000 | $ 25,000,000 | $ 33,700,000 | ||||
Non-controlling interest share of net loss | 4,020,000 | 4,559,000 | $ 8,681,000 | 7,855,000 | |||
Manager | Management fees | |||||||
Related Party Transaction [Line Items] | |||||||
Management fee percentage rate | 1.50% | ||||||
Due from related party | 0 | $ 0 | 0 | ||||
Manager | Bond Purchase Agreement Guarantee Fees | |||||||
Related Party Transaction [Line Items] | |||||||
Amounts of transaction | 1,700,000 | ||||||
Management fee payable | $ 300,000 | ||||||
General Partner | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 4,756,000 | 5,710,000 | 9,522,000 | 9,548,000 | |||
Management fees and incentive allocation to affiliate | 2,651,000 | 5,328,000 | 5,437,000 | 9,332,000 | |||
General Partner | Aviation Leasing | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 1,716,000 | 3,229,000 | |||||
General Partner | Aviation Leasing | Operating expense | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 746,000 | 1,294,000 | |||||
General Partner | Aviation Leasing | Acquisition and transaction expenses | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 970,000 | 1,935,000 | |||||
General Partner | Management fees | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 4,756,000 | 3,499,000 | 9,522,000 | 7,175,000 | |||
General Partner | Income incentive allocation | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 0 | 0 | 0 | 0 | |||
General Partner | Capital gains incentive allocation | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 0 | 2,211,000 | 0 | 2,373,000 | |||
General Partner | General and administrative | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 2,128,000 | 3,019,000 | 4,390,000 | 5,562,000 | |||
General Partner | Acquisition and transaction expenses | |||||||
Related Party Transaction [Line Items] | |||||||
Management fees and incentive allocation to affiliate | 523,000 | $ 2,309,000 | 1,047,000 | $ 3,770,000 | |||
Accounts Payable and Accrued Liabilities | Manager | |||||||
Related Party Transaction [Line Items] | |||||||
Accrued management fees | 1,548,000 | 1,548,000 | 1,410,000 | ||||
Other payables (1) | $ 866,000 | $ 866,000 | 21,992,000 | ||||
Accounts Payable and Accrued Liabilities | Manager | Incentive Fees | |||||||
Related Party Transaction [Line Items] | |||||||
Other payables (1) | $ 21,200,000 | ||||||
Threshold 1 | Fortress Worldwide Transportation and Infrastructure Master GP LLP | Income incentive allocation | |||||||
Related Party Transaction [Line Items] | |||||||
Pre-incentive income allocation | 0.00% | ||||||
Quarterly percent threshold of pre-incentive allocation net income | 2.00% | ||||||
Annual percent threshold of pre-incentive allocation net income | 8.00% | ||||||
Threshold 2 | Fortress Worldwide Transportation and Infrastructure Master GP LLP | Income incentive allocation | |||||||
Related Party Transaction [Line Items] | |||||||
Pre-incentive income allocation | 100.00% | ||||||
Threshold 2 | Fortress Worldwide Transportation and Infrastructure Master GP LLP | Income incentive allocation | Minimum | |||||||
Related Party Transaction [Line Items] | |||||||
Quarterly percent threshold of pre-incentive allocation net income | 2.00% | ||||||
Threshold 2 | Fortress Worldwide Transportation and Infrastructure Master GP LLP | Income incentive allocation | Maximum | |||||||
Related Party Transaction [Line Items] | |||||||
Quarterly percent threshold of pre-incentive allocation net income | 2.2223% | ||||||
Threshold 3 | Fortress Worldwide Transportation and Infrastructure Master GP LLP | Income incentive allocation | |||||||
Related Party Transaction [Line Items] | |||||||
Pre-incentive income allocation | 10.00% |
SEGMENT INFORMATION - Narrative
SEGMENT INFORMATION - Narrative (Details) | 6 Months Ended |
Jun. 30, 2020asegment | |
Segment Reporting Information [Line Items] | |
Number of reportable segments | segment | 3 |
Repauno | |
Segment Reporting Information [Line Items] | |
Area of real estate | 1,630 |
Hannibal | |
Segment Reporting Information [Line Items] | |
Area of real estate | 1,660 |
SEGMENT INFORMATION - Statement
SEGMENT INFORMATION - Statement of Income by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | $ 66,472 | $ 92,696 | $ 138,467 | $ 157,451 |
Revenues | ||||
Total revenues | 94,309 | 149,848 | 207,149 | 264,742 |
Expenses | ||||
Operating expenses | 24,572 | 85,783 | 58,016 | 140,093 |
General and administrative | 4,388 | 3,551 | 9,051 | 7,735 |
Acquisition and transaction expenses | 3,661 | 2,308 | 6,855 | 3,782 |
Management fees and incentive allocation to affiliate | 4,756 | 5,710 | 9,522 | 9,548 |
Depreciation and amortization | 41,720 | 42,052 | 83,917 | 80,915 |
Asset impairment | 10,476 | 0 | 10,476 | 0 |
Interest expense | 21,794 | 25,394 | 44,655 | 46,128 |
Total expenses | 111,367 | 164,798 | 222,492 | 288,201 |
Other income (expense) | ||||
Equity in losses of unconsolidated entities | (3,209) | (169) | (2,944) | (553) |
Gain (loss) on sale of assets, net | 768 | 22,622 | (1,051) | 24,340 |
Loss on extinguishment of debt | 0 | 0 | (4,724) | 0 |
Interest income | 22 | 240 | 63 | 331 |
Other (expense) income | (1) | 4,937 | 32 | 2,334 |
Total other (expense) income | (2,420) | 27,630 | (8,624) | 26,452 |
(Loss) income from continuing operations before income taxes | (19,478) | 12,680 | (23,967) | 2,993 |
(Benefit from) provision for income taxes | (3,750) | (2,328) | (3,848) | (2,061) |
Net (loss) income from continuing operations | (15,728) | 15,008 | (20,119) | 5,054 |
Dividends on preferred shares | 4,079 | 0 | 8,618 | 0 |
Net loss attributable to shareholders from continuing operations | (15,695) | 19,588 | (19,889) | 12,994 |
Equipment Leasing | ||||
Revenues | ||||
Total revenues | 79,834 | 79,200 | 166,283 | 151,652 |
Infrastructure | ||||
Revenues | ||||
Total revenues | 14,475 | 70,648 | 40,866 | 113,090 |
Operating Segments | ||||
Other income (expense) | ||||
(Loss) income from continuing operations before income taxes | ||||
Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries | (4,112) | (4,580) | (8,848) | (7,940) |
Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | (13,112) | (5,364) | (27,760) | (13,907) |
Revenues | ||||
Total revenues | 5,969 | 5,039 | 10,762 | 7,854 |
Expenses | ||||
Operating expenses | 5,830 | 3,166 | 11,260 | 6,707 |
General and administrative | 4,388 | 3,551 | 9,051 | 7,735 |
Acquisition and transaction expenses | 1,581 | 1,338 | 1,269 | 1,834 |
Management fees and incentive allocation to affiliate | 4,756 | 5,710 | 9,522 | 9,548 |
Depreciation and amortization | 1,979 | 1,706 | 3,943 | 3,415 |
Asset impairment | 0 | 0 | ||
Interest expense | 19,130 | 20,522 | 38,170 | 37,036 |
Total expenses | 37,664 | 35,993 | 73,215 | 66,275 |
Other income (expense) | ||||
Equity in losses of unconsolidated entities | (33) | (19) | (83) | 18 |
Gain (loss) on sale of assets, net | 0 | 0 | 0 | 0 |
Loss on extinguishment of debt | 0 | |||
Interest income | 5 | 6 | 12 | 12 |
Other (expense) income | 0 | 0 | 0 | 0 |
Total other (expense) income | (28) | (13) | (71) | 30 |
(Loss) income from continuing operations before income taxes | (31,723) | (30,967) | (62,524) | (58,391) |
(Benefit from) provision for income taxes | 200 | 3 | 203 | 4 |
Net (loss) income from continuing operations | (31,923) | (30,970) | (62,727) | (58,395) |
Dividends on preferred shares | 4,079 | 8,618 | ||
Net loss attributable to shareholders from continuing operations | (36,002) | (30,970) | (71,345) | (58,395) |
Corporate and Other | Equipment Leasing | ||||
Revenues | ||||
Total revenues | 4,575 | 4,219 | 8,032 | 6,260 |
Corporate and Other | Infrastructure | ||||
Revenues | ||||
Total revenues | 1,394 | 820 | 2,730 | 1,594 |
Aviation Leasing | Operating Segments | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | 77,501 | 102,864 | 160,891 | 176,526 |
Revenues | ||||
Total revenues | 75,259 | 74,981 | 158,251 | 145,392 |
Expenses | ||||
Operating expenses | 4,577 | 3,467 | 8,648 | 10,093 |
General and administrative | 0 | 0 | 0 | 0 |
Acquisition and transaction expenses | 2,061 | 970 | 4,785 | 1,948 |
Management fees and incentive allocation to affiliate | 0 | 0 | 0 | 0 |
Depreciation and amortization | 32,203 | 33,267 | 64,834 | 63,272 |
Asset impairment | 10,476 | 10,476 | ||
Interest expense | 0 | 0 | 0 | 0 |
Total expenses | 49,317 | 37,704 | 88,743 | 75,313 |
Other income (expense) | ||||
Equity in losses of unconsolidated entities | (594) | (242) | (1,185) | (443) |
Gain (loss) on sale of assets, net | 775 | 22,610 | (1,044) | 24,328 |
Loss on extinguishment of debt | 0 | |||
Interest income | 17 | 28 | 29 | 54 |
Other (expense) income | 0 | 0 | 0 | 0 |
Total other (expense) income | 198 | 22,396 | (2,200) | 23,939 |
(Loss) income from continuing operations before income taxes | 26,140 | 59,673 | 67,308 | 94,018 |
(Benefit from) provision for income taxes | (3,427) | (2,369) | (3,382) | (2,189) |
Net (loss) income from continuing operations | 29,567 | 62,042 | 70,690 | 96,207 |
Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries | 0 | 0 | 0 | 0 |
Dividends on preferred shares | 0 | 0 | ||
Net loss attributable to shareholders from continuing operations | 29,567 | 62,042 | 70,690 | 96,207 |
Jefferson Terminal | ||||
Other income (expense) | ||||
Loss on extinguishment of debt | (4,700) | |||
Jefferson Terminal | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | 2,968 | (2,563) | 7,537 | (3,853) |
Revenues | ||||
Total revenues | 13,081 | 67,562 | 37,822 | 103,516 |
Expenses | ||||
Operating expenses | 12,290 | 74,393 | 34,233 | 113,634 |
General and administrative | 0 | 0 | 0 | 0 |
Acquisition and transaction expenses | 0 | 0 | 0 | 0 |
Management fees and incentive allocation to affiliate | 0 | 0 | 0 | 0 |
Depreciation and amortization | 7,160 | 5,519 | 14,386 | 10,675 |
Asset impairment | 0 | 0 | ||
Interest expense | 2,310 | 4,524 | 5,738 | 8,448 |
Total expenses | 21,760 | 84,436 | 54,357 | 132,757 |
Other income (expense) | ||||
Equity in losses of unconsolidated entities | 0 | 92 | 0 | (128) |
Gain (loss) on sale of assets, net | (7) | 12 | (7) | 12 |
Loss on extinguishment of debt | (4,724) | |||
Interest income | 0 | 33 | 22 | 71 |
Other (expense) income | (1) | 50 | 32 | (183) |
Total other (expense) income | (8) | 187 | (4,677) | (228) |
(Loss) income from continuing operations before income taxes | (8,687) | (16,687) | (21,212) | (29,469) |
(Benefit from) provision for income taxes | 74 | 38 | 209 | 124 |
Net (loss) income from continuing operations | (8,761) | (16,725) | (21,421) | (29,593) |
Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries | (4,020) | (4,558) | (8,681) | (7,854) |
Dividends on preferred shares | 0 | 0 | ||
Net loss attributable to shareholders from continuing operations | (4,741) | (12,167) | (12,740) | (21,739) |
Ports and Terminals | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | (885) | (2,241) | (2,201) | (1,315) |
Revenues | ||||
Total revenues | 0 | 2,266 | 314 | 7,980 |
Expenses | ||||
Operating expenses | 1,875 | 4,757 | 3,875 | 9,659 |
General and administrative | 0 | 0 | 0 | 0 |
Acquisition and transaction expenses | 19 | 0 | 801 | 0 |
Management fees and incentive allocation to affiliate | 0 | 0 | 0 | 0 |
Depreciation and amortization | 378 | 1,560 | 754 | 3,553 |
Asset impairment | 0 | 0 | ||
Interest expense | 354 | 348 | 747 | 644 |
Total expenses | 2,626 | 6,665 | 6,177 | 13,856 |
Other income (expense) | ||||
Equity in losses of unconsolidated entities | (2,582) | 0 | (1,676) | 0 |
Gain (loss) on sale of assets, net | 0 | 0 | 0 | 0 |
Loss on extinguishment of debt | 0 | |||
Interest income | 0 | 173 | 0 | 194 |
Other (expense) income | 0 | 4,887 | 0 | 2,517 |
Total other (expense) income | (2,582) | 5,060 | (1,676) | 2,711 |
(Loss) income from continuing operations before income taxes | (5,208) | 661 | (7,539) | (3,165) |
(Benefit from) provision for income taxes | (597) | 0 | (878) | 0 |
Net (loss) income from continuing operations | (4,611) | 661 | (6,661) | (3,165) |
Less: Net loss from continuing operations attributable to non-controlling interests in consolidated subsidiaries | (92) | (22) | (167) | (86) |
Dividends on preferred shares | 0 | 0 | ||
Net loss attributable to shareholders from continuing operations | $ (4,519) | $ 683 | $ (6,494) | $ (3,079) |
SEGMENT INFORMATION - Reconcili
SEGMENT INFORMATION - Reconciliation of Adjusted Net Income to Net Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | $ 66,472 | $ 92,696 | $ 138,467 | $ 157,451 |
Add: Non-controlling share of adjustments to Adjusted Net Income | 2,101 | 2,785 | 5,451 | 4,938 |
Equity in losses of unconsolidated entities | (3,209) | (169) | (2,944) | (553) |
Less: Pro-rata share of Adjusted Net Income from investments in unconsolidated entities | (126) | (24) | 287 | 94 |
Less: Interest expense | (21,794) | (25,394) | (44,655) | (46,128) |
Less: Depreciation and amortization expense | (48,341) | (51,006) | (97,405) | (98,203) |
Less: Incentive allocations | 0 | (2,211) | 0 | (2,373) |
Less: Asset impairment charges | (10,476) | 0 | (10,476) | 0 |
Less: Changes in fair value of non-hedge derivative instruments | 0 | 3,470 | (181) | 250 |
Less: Losses on the modification or extinguishment of debt and capital lease obligations | 0 | 0 | (4,724) | 0 |
Less: Acquisition and transaction expenses | (3,661) | (2,308) | (6,855) | (3,782) |
Less: Equity-based compensation expense | (411) | (579) | (702) | (761) |
Less: Provision for income taxes | 3,750 | 2,328 | 3,848 | 2,061 |
Net loss attributable to shareholders from continuing operations | (15,695) | 19,588 | (19,889) | 12,994 |
Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | (13,112) | (5,364) | (27,760) | (13,907) |
Equity in losses of unconsolidated entities | (33) | (19) | (83) | 18 |
Less: Interest expense | (19,130) | (20,522) | (38,170) | (37,036) |
Less: Asset impairment charges | 0 | 0 | ||
Less: Acquisition and transaction expenses | (1,581) | (1,338) | (1,269) | (1,834) |
Less: Provision for income taxes | (200) | (3) | (203) | (4) |
Net loss attributable to shareholders from continuing operations | (36,002) | (30,970) | (71,345) | (58,395) |
Aviation Leasing | Operating Segments | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | 77,501 | 102,864 | 160,891 | 176,526 |
Equity in losses of unconsolidated entities | (594) | (242) | (1,185) | (443) |
Less: Interest expense | 0 | 0 | 0 | 0 |
Less: Asset impairment charges | (10,476) | (10,476) | ||
Less: Acquisition and transaction expenses | (2,061) | (970) | (4,785) | (1,948) |
Less: Provision for income taxes | 3,427 | 2,369 | 3,382 | 2,189 |
Net loss attributable to shareholders from continuing operations | 29,567 | 62,042 | 70,690 | 96,207 |
Jefferson Terminal | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | 2,968 | (2,563) | 7,537 | (3,853) |
Equity in losses of unconsolidated entities | 0 | 92 | 0 | (128) |
Less: Interest expense | (2,310) | (4,524) | (5,738) | (8,448) |
Less: Asset impairment charges | 0 | 0 | ||
Less: Acquisition and transaction expenses | 0 | 0 | 0 | 0 |
Less: Provision for income taxes | (74) | (38) | (209) | (124) |
Net loss attributable to shareholders from continuing operations | (4,741) | (12,167) | (12,740) | (21,739) |
Ports and Terminals | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted EBITDA | (885) | (2,241) | (2,201) | (1,315) |
Equity in losses of unconsolidated entities | (2,582) | 0 | (1,676) | 0 |
Less: Interest expense | (354) | (348) | (747) | (644) |
Less: Asset impairment charges | 0 | 0 | ||
Less: Acquisition and transaction expenses | (19) | 0 | (801) | 0 |
Less: Provision for income taxes | 597 | 0 | 878 | 0 |
Net loss attributable to shareholders from continuing operations | $ (4,519) | $ 683 | $ (6,494) | $ (3,079) |
SEGMENT INFORMATION - Summary o
SEGMENT INFORMATION - Summary of Geographic Sources of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Total revenues | $ 94,309 | $ 149,848 | $ 207,149 | $ 264,742 |
Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 79,834 | 79,200 | 166,283 | 151,652 |
Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 14,475 | 70,648 | 40,866 | 113,090 |
Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 5,969 | 5,039 | 10,762 | 7,854 |
Corporate and Other | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 4,575 | 4,219 | 8,032 | 6,260 |
Corporate and Other | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 1,394 | 820 | 2,730 | 1,594 |
Africa | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 1,319 | 2,208 | 8,473 | 5,685 |
Africa | Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Asia | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 36,307 | 29,629 | 66,309 | 53,784 |
Asia | Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 4,575 | 4,219 | 8,032 | 6,260 |
Europe | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 31,287 | 35,413 | 70,859 | 67,298 |
Europe | Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
North America | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 24,406 | 80,252 | 58,935 | 133,520 |
North America | Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 1,394 | 820 | 2,730 | 1,594 |
South America | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 990 | 2,346 | 2,573 | 4,455 |
South America | Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Aviation Leasing | Operating Segments | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 75,259 | 74,981 | 158,251 | 145,392 |
Aviation Leasing | Africa | Operating Segments | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 1,319 | 2,208 | 8,473 | 5,685 |
Aviation Leasing | Asia | Operating Segments | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 31,732 | 25,410 | 58,277 | 47,524 |
Aviation Leasing | Europe | Operating Segments | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 31,287 | 35,413 | 70,859 | 67,298 |
Aviation Leasing | North America | Operating Segments | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 9,931 | 9,604 | 18,069 | 20,430 |
Aviation Leasing | South America | Operating Segments | Equipment Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 990 | 2,346 | 2,573 | 4,455 |
Jefferson Terminal | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 13,081 | 67,562 | 37,822 | 103,516 |
Jefferson Terminal | Africa | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Jefferson Terminal | Asia | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Jefferson Terminal | Europe | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Jefferson Terminal | North America | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 13,081 | 67,562 | 37,822 | 103,516 |
Jefferson Terminal | South America | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Ports and Terminals | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 2,266 | 314 | 7,980 |
Ports and Terminals | Africa | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Ports and Terminals | Asia | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Ports and Terminals | Europe | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 0 | 0 | 0 |
Ports and Terminals | North America | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 0 | 2,266 | 314 | 7,980 |
Ports and Terminals | South America | Operating Segments | Infrastructure | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | $ 0 | $ 0 | $ 0 | $ 0 |
SEGMENT INFORMATION - Balance S
SEGMENT INFORMATION - Balance Sheet (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Segment Reporting Information [Line Items] | ||
Total assets | $ 3,287,494 | $ 3,236,922 |
Debt, net | 1,602,304 | 1,420,928 |
Total liabilities | 2,036,003 | 1,898,065 |
Equity | ||
Non-controlling interest in equity of consolidated subsidiaries | 28,792 | 36,980 |
Total equity | 1,251,491 | 1,338,857 |
Total liabilities and equity | 3,287,494 | 3,236,922 |
Corporate and Other | ||
Segment Reporting Information [Line Items] | ||
Total assets | 223,262 | 394,261 |
Debt, net | 1,324,550 | 1,162,851 |
Total liabilities | 1,350,812 | 1,224,527 |
Equity | ||
Non-controlling interest in equity of consolidated subsidiaries | 524 | 524 |
Total equity | (1,127,550) | (830,266) |
Total liabilities and equity | 223,262 | 394,261 |
Aviation Leasing | Operating Segments | Equipment Leasing | ||
Segment Reporting Information [Line Items] | ||
Total assets | 1,758,972 | 1,694,837 |
Debt, net | 0 | 0 |
Total liabilities | 271,548 | 285,099 |
Equity | ||
Non-controlling interest in equity of consolidated subsidiaries | 0 | 0 |
Total equity | 1,487,424 | 1,409,738 |
Total liabilities and equity | 1,758,972 | 1,694,837 |
Jefferson Terminal | Operating Segments | Infrastructure | ||
Segment Reporting Information [Line Items] | ||
Total assets | 890,770 | 781,422 |
Debt, net | 252,754 | 233,077 |
Total liabilities | 363,894 | 324,509 |
Equity | ||
Non-controlling interest in equity of consolidated subsidiaries | 27,419 | 35,671 |
Total equity | 526,876 | 456,913 |
Total liabilities and equity | 890,770 | 781,422 |
Ports and Terminals | Operating Segments | Infrastructure | ||
Segment Reporting Information [Line Items] | ||
Total assets | 414,490 | 366,402 |
Debt, net | 25,000 | 25,000 |
Total liabilities | 49,749 | 63,930 |
Equity | ||
Non-controlling interest in equity of consolidated subsidiaries | 849 | 785 |
Total equity | 364,741 | 302,472 |
Total liabilities and equity | $ 414,490 | $ 366,402 |
SEGMENT INFORMATION - Location
SEGMENT INFORMATION - Location of Long-Lived Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | $ 1,769,799 | $ 1,707,059 |
Property, plant and equipment and leasing equipment, net | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 2,618,928 | 2,439,168 |
Property, plant and equipment and leasing equipment, net | Africa | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 37,049 | 43,348 |
Property, plant and equipment and leasing equipment, net | Asia | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 438,104 | 525,461 |
Property, plant and equipment and leasing equipment, net | Europe | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 849,642 | 647,029 |
Property, plant and equipment and leasing equipment, net | North America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 1,288,171 | 1,194,630 |
Property, plant and equipment and leasing equipment, net | South America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 5,962 | 28,700 |
Corporate and Other | Property, plant and equipment and leasing equipment, net | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 166,744 | 160,615 |
Corporate and Other | Property, plant and equipment and leasing equipment, net | Africa | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Corporate and Other | Property, plant and equipment and leasing equipment, net | Asia | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 45,969 | 37,548 |
Corporate and Other | Property, plant and equipment and leasing equipment, net | Europe | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Corporate and Other | Property, plant and equipment and leasing equipment, net | North America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 120,775 | 123,067 |
Corporate and Other | Property, plant and equipment and leasing equipment, net | South America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Aviation Leasing | Operating Segments | Equipment Leasing | Property, plant and equipment and leasing equipment, net | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 1,585,312 | 1,518,175 |
Aviation Leasing | Operating Segments | Equipment Leasing | Property, plant and equipment and leasing equipment, net | Africa | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 37,049 | 43,348 |
Aviation Leasing | Operating Segments | Equipment Leasing | Property, plant and equipment and leasing equipment, net | Asia | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 392,135 | 487,913 |
Aviation Leasing | Operating Segments | Equipment Leasing | Property, plant and equipment and leasing equipment, net | Europe | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 849,642 | 647,029 |
Aviation Leasing | Operating Segments | Equipment Leasing | Property, plant and equipment and leasing equipment, net | North America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 300,524 | 311,185 |
Aviation Leasing | Operating Segments | Equipment Leasing | Property, plant and equipment and leasing equipment, net | South America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 5,962 | 28,700 |
Jefferson Terminal | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 612,115 | 560,059 |
Jefferson Terminal | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | Africa | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Jefferson Terminal | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | Asia | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Jefferson Terminal | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | Europe | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Jefferson Terminal | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | North America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 612,115 | 560,059 |
Jefferson Terminal | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | South America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Ports and Terminals | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 254,757 | 200,319 |
Ports and Terminals | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | Africa | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Ports and Terminals | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | Asia | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Ports and Terminals | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | Europe | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 0 | 0 |
Ports and Terminals | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | North America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | 254,757 | 200,319 |
Ports and Terminals | Operating Segments | Infrastructure | Property, plant and equipment and leasing equipment, net | South America | ||
Segment Reporting Information [Line Items] | ||
Property, plant and equipment and equipment held for lease, net | $ 0 | $ 0 |
SEGMENT INFORMATION - Restructu
SEGMENT INFORMATION - Restructuring (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Restructuring Cost and Reserve [Line Items] | ||||
General and administrative | $ 4,388 | $ 3,551 | $ 9,051 | $ 7,735 |
Aviation Leasing | Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Operating expenses | 3,467 | 10,093 | ||
General and administrative | 0 | 0 | ||
Acquisition and transaction expenses | 970 | 1,948 | ||
Corporate and Other | Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Operating expenses | 3,166 | 6,707 | ||
General and administrative | 3,551 | 7,735 | ||
Acquisition and transaction expenses | 1,338 | 1,834 | ||
Previously Reported | Aviation Leasing | Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Operating expenses | 2,721 | 8,799 | ||
General and administrative | 0 | 0 | ||
Acquisition and transaction expenses | 0 | 13 | ||
Previously Reported | Corporate and Other | Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Operating expenses | 3,166 | 6,707 | ||
General and administrative | 4,297 | 9,029 | ||
Acquisition and transaction expenses | 2,308 | 3,769 | ||
Restatement Adjustment | Aviation Leasing | Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Operating expenses | 746 | 1,294 | ||
General and administrative | 0 | 0 | ||
Acquisition and transaction expenses | 970 | 1,935 | ||
Restatement Adjustment | Corporate and Other | Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Operating expenses | 0 | 0 | ||
General and administrative | (746) | (1,294) | ||
Acquisition and transaction expenses | $ (970) | $ (1,935) |
EARNINGS PER SHARE AND EQUITY -
EARNINGS PER SHARE AND EQUITY - Schedule of Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Earnings Per Share [Abstract] | ||||||
Net (loss) income from continuing operations | $ (15,728) | $ 15,008 | $ (20,119) | $ 5,054 | ||
Net income from discontinued operations, net of income taxes | 0 | 785 | 1,331 | 943 | ||
Net (loss) income | (15,728) | $ (3,060) | 15,793 | $ (9,796) | (18,788) | 5,997 |
Less: Net (loss) income attributable to non-controlling interests in consolidated subsidiaries: | ||||||
Continuing operations | (4,112) | (4,580) | (8,848) | (7,940) | ||
Discontinued operations | 0 | 41 | 0 | (15) | ||
Dividends on preferred shares | 4,079 | 0 | 8,618 | 0 | ||
Net (loss) income attributable to shareholders | $ (15,695) | $ 20,332 | $ (18,558) | $ 13,952 | ||
Weighted Average Common Shares Outstanding - Diluted (in shares) | 86,009,959 | 85,989,029 | 86,009,029 | 85,987,115 | ||
Basic | ||||||
Continuing operations (in dollars per share) | $ (0.18) | $ 0.23 | $ (0.23) | $ 0.15 | ||
Discontinued operations (in dollars per share) | 0 | 0.01 | 0.02 | 0.01 | ||
Diluted | ||||||
Continuing operations (in dollars per share) | (0.18) | 0.23 | (0.23) | 0.15 | ||
Discontinued operations (in dollars per share) | $ 0 | $ 0.01 | $ 0.02 | $ 0.01 |
EARNINGS PER SHARE AND EQUITY_2
EARNINGS PER SHARE AND EQUITY - Narrative (Details) - shares | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
Jan. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive shares (in shares) | 1,219,065 | 119,009 | 499,053 | 127,923 | |
Stocks issued during period for services (in shares) | 18,337 | ||||
Shares issued (in shares) | 675,015 | ||||
Class B Unit | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Shares converted (in shares) | 911,448 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Minimum | |
Loss Contingencies [Line Items] | |
Loss contingency, estimate of possible loss | $ 0 |
Maximum | |
Loss Contingencies [Line Items] | |
Loss contingency, estimate of possible loss | 3,300,000 |
Repauno | |
Loss Contingencies [Line Items] | |
Potential milestone payment | $ 15,000,000 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) | Jul. 30, 2020 | Jul. 28, 2020 | Jul. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 |
Subsequent Event [Line Items] | |||||||
Common stock dividends declared (in dollars per share) | $ 0.33 | $ 0.33 | $ 0.66 | $ 0.66 | |||
Preferred stock dividends declared (in dollars per share) | $ 0.52 | $ 0.50 | |||||
Subsequent Event | |||||||
Subsequent Event [Line Items] | |||||||
Common stock dividends declared (in dollars per share) | $ 0.33 | ||||||
Subsequent Event | Revolving Credit Facility | |||||||
Subsequent Event [Line Items] | |||||||
Repayments of line of credit | $ 220,000,000 | ||||||
Subsequent Event | 2027 Notes | |||||||
Subsequent Event [Line Items] | |||||||
Debt instrument face amount | $ 400,000,000 | ||||||
Stated percentage | 9.75% | ||||||
Subsequent Event | ATM Shares | |||||||
Subsequent Event [Line Items] | |||||||
Number of shares issued (in shares) | 125,000 | ||||||
Price of share (usd per share) | $ 19.60 | ||||||
Consideration received on transaction | $ 2,400,000 | ||||||
Subsequent Event | ATM Shares | Manager | |||||||
Subsequent Event [Line Items] | |||||||
Granted (in shares) | 17,265 | ||||||
Series A Preferred Shares | Subsequent Event | |||||||
Subsequent Event [Line Items] | |||||||
Preferred stock dividends declared (in dollars per share) | 0.52 | ||||||
Series B Preferred Stock | Subsequent Event | |||||||
Subsequent Event [Line Items] | |||||||
Preferred stock dividends declared (in dollars per share) | $ 0.50 | ||||||
Series A and Series B Preferred Shares | |||||||
Subsequent Event [Line Items] | |||||||
Preferred stock reserved for future issuance | $ 100,000,000 | $ 100,000,000 |