Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Dec. 31, 2015	Feb. 18, 2016	Jun. 30, 2015
Document and Entity Information
Entity Registrant Name	Exterran Corporation
Entity Central Index Key	0001635881
Document Type	10-K
Document Period End Date	Dec. 31, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Public Float			$ 0
Entity Common Stock, Shares Outstanding		35,143,050
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	FY

CONSOLIDATED AND COMBINED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 29,032	$ 39,361
Restricted cash	1,490	1,490
Accounts receivable, net of allowance of $2,868 and $2,133, respectively	372,105	398,070
Inventory, net (Note 4)	210,554	291,240
Costs and estimated earnings in excess of billings on uncompleted contracts (Note 5)	119,621	120,938
Other current assets	60,896	53,977
Current assets associated with discontinued operations (Note 3)	191	468
Total current assets	793,889	905,544
Property, plant and equipment, net (Note 6)	899,402	954,811
Deferred income taxes (Note 14)	86,807	106,789
Intangible and other assets, net (Note 7)	62,261	65,679
Total assets	1,842,359	2,032,823
Current liabilities:
Accounts payable, trade	94,353	161,826
Accrued liabilities (Note 9)	129,880	167,942
Deferred revenue	31,675	64,820
Billings on uncompleted contracts in excess of costs and estimated earnings (Note 5)	38,666	76,277
Current liabilities associated with discontinued operations (Note 3)	1,249	1,338
Total current liabilities	295,823	472,203
Long-term debt (Note 10)	525,593	1,107
Deferred income taxes (Note 14)	22,531	38,815
Long-term deferred revenue	59,769	41,591
Other long-term liabilities	28,626	26,968
Long-term liabilities associated with discontinued operations (Note 3)	158	317
Total liabilities	$ 932,500	$ 581,001
Commitments and contingencies (Note 20)
Equity:
Preferred stock, $0.01 par value per share; 50,000,000 shares authorized; zero issued	$ 0	$ 0
Common stock, $0.01 par value per share; 250,000,000 shares authorized; 35,153,358 and zero shares issued, respectively	352	0
Additional paid-in capital	932,058	0
Retained earnings	(36,483)	0
Treasury stock — 5,776 and zero common shares, at cost, respectively	(54)	0
Parent equity (Note 15)	0	1,435,046
Accumulated other comprehensive income	13,986	16,776
Total stockholders’ equity (Note 16)	909,859	1,451,822
Total liabilities and equity	$ 1,842,359	$ 2,032,823

CONSOLIDATED AND COMBINED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 2,868	$ 2,133
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0
Preferred stock, shares authorized	50,000,000.0	0
Preferred stock, shares issued	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0
Common stock, shares authorized	250,000,000.0	0
Common stock, shares issued	35,153,358	0
Treasury stock, common shares	5,776	0

CONSOLIDATED AND COMBINED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Revenues:
Total revenues	$ 1,869,943	$ 2,172,754	$ 2,415,473
Costs and expenses:
Selling, general and administrative	223,007	267,493	264,890
Depreciation and amortization	157,817	173,803	140,029
Long-lived asset impairment (Note 12)	20,788	3,851	11,941
Restructuring and other charges (Note 13)	32,100	0	0
Interest expense	7,271	1,905	3,551
Equity in income of non-consolidated affiliates (Note 8)	(15,152)	(14,553)	(19,000)
Other (income) expense, net	34,837	7,222	(1,966)
Total costs and expenses	1,839,692	2,015,606	2,231,402
Income before income taxes	30,251	157,148	184,071
Provision for income taxes (Note 14)	40,172	77,833	97,367
Income (loss) from continuing operations	(9,921)	79,315	86,704
Income from discontinued operations, net of tax (Note 3)	56,132	73,198	66,149
Net income	$ 46,211	$ 152,513	$ 152,853
Basic net income per common share (Note 18):
Income (loss) from continuing operations per common share (in dollars per share)	$ (0.29)	$ 2.31	$ 2.53
Income from discontinued operations per common share (in dollars per share)	1.64	2.14	1.93
Net income per common share (in dollars per share)	1.35	4.45	4.46
Diluted net income per common share (Note 18):
Income (loss) from continuing operations per common share (in dollars per share)	(0.29)	2.31	2.53
Income from discontinued operations per common share (in dollars per share)	1.64	2.14	1.93
Net income per common share (in dollars per share)	$ 1.35	$ 4.45	$ 4.46
Weighted average common shares outstanding used in income per common share (Note 18):
Basic (in shares)	34,288	34,286	34,286
Diluted (in shares)	34,288	34,286	34,286
Contract operations
Revenues:
Total revenues	$ 469,900	$ 493,853	$ 476,016
Costs and expenses:
Cost of sales (excluding depreciation and amortization expense)	172,391	185,408	196,944
Aftermarket services
Revenues:
Total revenues	127,802	162,724	160,672
Costs and expenses:
Cost of sales (excluding depreciation and amortization expense)	91,233	120,181	120,344
Product Sales
Costs and expenses:
Cost of sales (excluding depreciation and amortization expense)	1,115,400	1,270,296	1,514,669
Product Sales \| Affiliates
Revenues:
Total revenues	154,267	232,969	118,441
Product Sales \| Third Parties
Revenues:
Total revenues	$ 1,117,974	$ 1,283,208	$ 1,660,344

CONSOLIDATED AND COMBINED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Statement of Comprehensive Income [Abstract]
Net income	$ 46,211	$ 152,513	$ 152,853
Other comprehensive income (loss):
Foreign currency translation adjustment	(2,790)	(14,648)	4,531
Comprehensive income	$ 43,421	$ 137,865	$ 157,384

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONSOLIDATED AND COMBINED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Retained Earnings	Treasury Stock	Parent Equity	Accumulated Other Comprehensive Income (Loss)
Beginning balance (shares) at Dec. 31, 2012		0			0
Beginning balance at Dec. 31, 2012	$ 1,407,394	$ 0	$ 0	$ 0	$ 0	$ 1,380,501	$ 26,893
Increase (Decrease) in Stockholders' Equity
Net income (loss)	152,853					152,853
Net distributions to parent	(190,874)					(190,874)
Foreign currency translation adjustment	4,531						4,531
Ending balance (shares) at Dec. 31, 2013		0			0
Ending balance at Dec. 31, 2013	1,373,904	$ 0	0	0	$ 0	1,342,480	31,424
Increase (Decrease) in Stockholders' Equity
Net income (loss)	152,513					152,513
Net distributions to parent	(59,947)					(59,947)
Foreign currency translation adjustment	(14,648)						(14,648)
Ending balance (shares) at Dec. 31, 2014		0			0
Ending balance at Dec. 31, 2014	1,451,822	$ 0	0	0	$ 0	1,435,046	16,776
Increase (Decrease) in Stockholders' Equity
Net income (loss)	46,211			(36,483)		82,694
Net distributions to parent	(55,519)					(55,519)
Foreign currency translation adjustment	(2,790)						(2,790)
Cash transfer to Archrock, Inc. at Spin-off	(532,578)					(532,578)
Conversion of parent equity to additional paid-in capital (in shares)		34,286,267
Conversion of parent equity to additional paid-in capital	0	$ 343	929,300			(929,643)
Conversion of stock-based compensation awards at Spin-off (in shares)		505,512
Conversion of stock-based compensation awards at Spin-off	0	$ 5	(5)
Treasury stock purchased (in shares)					(3,389)
Treasury stock purchased	(54)				$ (54)
Stock-based compensation, net of forfeitures (in shares)		361,579			2,387
Stock-based compensation, net of forfeitures	2,119	$ 4	2,115
Income tax benefit from stock-based compensation expenses	648		648
Ending balance (shares) at Dec. 31, 2015		35,153,358			(5,776)
Ending balance at Dec. 31, 2015	$ 909,859	$ 352	$ 932,058	$ (36,483)	$ (54)	$ 0	$ 13,986

CONSOLIDATED AND COMBINED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Cash flows from operating activities:
Net income	$ 46,211	$ 152,513	$ 152,853
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	157,817	173,803	140,029
Long-lived asset impairment (Note 12)	20,788	3,851	11,941
Amortization of deferred financing costs	702	0	0
Income from discontinued operations, net of tax	(56,132)	(73,198)	(66,149)
Provision for doubtful accounts	3,490	679	2,317
Gain on sale of property, plant and equipment	(1,829)	(1,834)	(3,398)
Equity in income of non-consolidated affiliates (Note 8)	(15,152)	(14,553)	(19,000)
Loss on remeasurement of intercompany balances	28,984	3,614	4,313
Loss on sale of business	0	961	0
Stock-based compensation expense	8,184	5,288	5,330
Deferred income tax provision	(26,297)	10,106	15,956
Changes in assets and liabilities:
Accounts receivable and notes	15,618	(50,641)	(16,981)
Inventory	78,997	(11,893)	(24,535)
Costs and estimated earnings versus billings on uncompleted contracts	(37,909)	(17,078)	(36,539)
Other current assets	(10,263)	(1,285)	23,412
Accounts payable and other liabilities	(82,935)	(6,949)	9,180
Deferred revenue	(2,428)	(9,913)	(14,322)
Other	(4,532)	(18,373)	(19,987)
Net cash provided by continuing operations	123,314	145,098	164,420
Net cash provided by discontinued operations	6,980	5,844	5,866
Net cash provided by operating activities	130,294	150,942	170,286
Cash flows from investing activities:
Capital expenditures	(158,925)	(157,854)	(100,195)
Proceeds from sale of property, plant and equipment	6,625	12,219	21,264
Proceeds from sale of businesses	0	1,516	0
Return of investments in non-consolidated affiliates	15,185	14,750	19,000
Proceeds received from settlement of note receivable	5,357	0	0
(Increase) decrease in restricted cash	0	(221)	14
Cash invested in non-consolidated affiliates	(33)	(197)	0
Net cash used in continuing operations	(131,791)	(129,787)	(59,917)
Net cash provided by discontinued operations	49,677	66,210	74,830
Net cash provided by (used in) investing activities	(82,114)	(63,577)	14,913
Cash flows from financing activities:
Proceeds from borrowings of long-term debt	673,500	0	0
Repayments of long-term debt	(143,500)	0	0
Cash transfer to Archrock, Inc. at Spin-off	(532,578)	0	0
Net distributions to parent	(38,816)	(79,273)	(182,685)
Payments for debt issuance costs	(13,345)	0	0
Purchases of treasury stock	(54)	0	0
Net cash used in financing activities	(54,793)	(79,273)	(182,685)
Effect of exchange rate changes on cash and cash equivalents	(3,716)	(3,925)	(1,487)
Net increase (decrease) in cash and cash equivalents	(10,329)	4,167	1,027
Cash and cash equivalents at beginning of period	39,361	35,194	34,167
Cash and cash equivalents at end of period	29,032	39,361	35,194
Supplemental disclosure of cash flow information:
Income taxes paid, net	64,683	63,372	73,497
Interest paid, net of capitalized amounts	4,141	1,905	3,551
Supplemental disclosure of non-cash transactions:
Net transfers of property, plant and equipment to (from) parent prior to the Spin-off	(7,627)	(17,472)	12,578
Transfer of net deferred tax liabilities from parent at Spin-off	29,203	0	0
Accrued capital expenditures	$ 2,743	$ 15,426	$ 6,442

Description of Business, Spin-Off and Basis of Presentation

12 Months Ended

Dec. 31, 2015

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Description of Business, Spinoff and Basis of Presentation

1. Description of Business, Spin-Off and Basis of Presentation

Description of Business

Exterran Corporation (together with its subsidiaries, “Exterran Corporation,” “our,” “we” or “us”), a Delaware corporation formed in March 2015, is a market leader in the provision of compression, production and processing products and services that support the production and transportation of oil and natural gas throughout the world. We provide these products and services to a global customer base consisting of companies engaged in all aspects of the oil and natural gas industry, including large integrated oil and natural gas companies, national oil and natural gas companies, independent oil and natural gas producers and oil and natural gas processors, gatherers and pipeline operators. We operate in three primary business lines: contract operations, aftermarket services and product sales. In our contract operations business line, we have operations outside of the United States of America (“U.S.”) where we own and operate natural gas compression equipment and crude oil and natural gas production and processing equipment on behalf of our customers. In our aftermarket services business line, we have operations outside of the U.S. where we provide operations, maintenance, overhaul and reconfiguration services to customers who own their own compression, production, processing, treating and related equipment. In our product sales business line, we manufacture natural gas compression packages and oil and natural gas production and processing equipment for sale to our customers throughout the world and for use in our contract operations business line. In addition, our product sales business line provides engineering, procurement and manufacturing services related to the manufacture of critical process equipment for refinery and petrochemical facilities, the manufacture of tanks for tank farms and the manufacture of evaporators and brine heaters for desalination plants. We also offer our customers, on either a contract operations basis or a sale basis, the engineering, design, project management, procurement and construction services necessary to incorporate our products into production, processing and compression facilities, which we refer to as integrated projects.

Spin-off

On November 3, 2015, Archrock, Inc. (named Exterran Holdings, Inc. prior to November 3, 2015) (“Archrock”) completed the spin-off (the “Spin-off”) of its international contract operations, international aftermarket services (the international contract operations and international aftermarket services businesses combined are referred to as the “international services businesses” and include such activities conducted outside of the U.S.) and global fabrication businesses into an independent, publicly traded company named Exterran Corporation. We refer to the global fabrication business previously operated by Archrock as our product sales business. To effect the Spin-off, on November 3, 2015, Archrock distributed, on a pro rata basis, all of our shares of common stock to its stockholders of record as of October 27, 2015 (the “Record Date”). Archrock shareholders received one share of Exterran Corporation common stock for every two shares of Archrock common stock held at the close of business on the Record Date. Pursuant to the separation and distribution agreement with Archrock and certain of our and Archrock’s respective affiliates, on November 3, 2015, we transferred cash of $532.6 million to Archrock. Our Registration Statement on Form 10, as amended, initially filed with the Securities and Exchange Commission on March 13, 2015, was declared effective on October 21, 2015. On November 4, 2015, Exterran Corporation common stock began “regular-way” trading on the New York Stock Exchange under the stock symbol “EXTN.” Following the completion of the Spin-off, we and Archrock are independent, publicly traded companies with separate boards of directors and management.

Basis of Presentation

The accompanying consolidated and combined financial statements of Exterran Corporation included herein have been prepared in accordance with accounting principles generally accepted in the U.S. (“GAAP”). All financial information presented for periods after the Spin-off represents our consolidated results of operations, financial position and cash flows (referred to as the “consolidated financial statements”) and all financial information for periods prior to the Spin-off represents our combined results of operations, financial position and cash flows (referred to as the “combined financial statements”). Accordingly:

•

Our consolidated and combined statements of operations, comprehensive income, cash flows and stockholders’ equity for the year ended December 31, 2015 consist of (i) the combined results of Archrock’s international services and product sales businesses for the period between January 1, 2015 and November 3, 2015 and (ii) the consolidated results of Exterran Corporation for periods subsequent to November 3, 2015. Our combined statements of operations, comprehensive income, cash flows and stockholders’ equity for the years ended December 31, 2014 and 2013 consist entirely of the combined results of Archrock’s international services and product sales businesses.


•	Our consolidated balance sheet at December 31, 2015 consists of the consolidated balances of Exterran Corporation, while at December 31, 2014, it consists entirely of the combined balances of Archrock’s international services and product sales businesses.

The combined financial statements were derived from the accounting records of Archrock and reflect the combined historical results of operations, financial position and cash flows of Archrock’s international services and product sales businesses. The combined financial statements were presented as if such businesses had been combined for periods prior to November 4, 2015. All intercompany transactions and accounts within these statements have been eliminated. Affiliate transactions between the international services and product sales businesses of Archrock and the other businesses of Archrock have been included in the combined financial statements, with the exception of product sales within our wholly owned subsidiary, Exterran Energy Solutions, L.P. (“EESLP”). Prior to the closing of the Spin-off, EESLP also had a fleet of compression units used to provide compression services in the U.S. services business of Archrock. Revenue has not been recognized in the combined statements of operations for the sale of compressor units by us that were used by EESLP to provide compression services to customers of the U.S. services business of Archrock. See Note 15 for further discussion on transactions with affiliates.

The combined financial statements include certain assets and liabilities that have historically been held at the Archrock level but are specifically identifiable or otherwise attributable to us. The assets and liabilities in the combined financial statements have been reflected on a historical cost basis, as immediately prior to the Spin-off all of the assets and liabilities of Exterran Corporation were wholly owned by Archrock. Third party debt of Archrock, other than debt attributable to capital leases, was not allocated to us for any of the periods presented as we were not the legal obligor of the debt and Archrock’s borrowings were not directly attributable to our business. The combined statements of operations also include expense allocations for certain functions historically performed by Archrock and not allocated to its operating segments, including allocations of expenses related to executive oversight, accounting, treasury, tax, legal, human resources, procurement and information technology. See Note 15 for further discussion regarding the allocation of corporate expenses.

We refer to the consolidated and combined financial statements collectively as “financial statements,” and individually as “balance sheets,” “statements of operations,” “statements of comprehensive income,” “statements of stockholders’ equity” and “statements of cash flows” herein.

Investments in affiliated entities in which we own more than a 20% interest and do not have a controlling interest are accounted for using the equity method.

Significant Accounting Policies

12 Months Ended

Dec. 31, 2015

Accounting Policies [Abstract]

Significant Accounting Policies

Use of Estimates in the Financial Statements

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amount of assets, liabilities, revenue and expenses, as well as the disclosures of contingent assets and liabilities. Because of the inherent uncertainties in this process, actual future results could differ from those expected at the reporting date. Management believes that the estimates and assumptions used are reasonable.

Cash and Cash Equivalents

We consider all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.

Restricted Cash

Restricted cash as of December 31, 2015 and 2014 consists of cash that contractually is not available for immediate use. Restricted cash is presented separately from cash and cash equivalents in our balance sheets and statements of cash flows.

Revenue Recognition

Contract operations revenue is recognized when earned, which generally occurs monthly when service is provided under our customer contracts. Aftermarket services revenue is recognized as products are delivered and title is transferred or services are performed for the customer.

Product sales revenue from third parties is recognized using the percentage-of-completion method when the applicable criteria are met. We estimate percentage-of-completion for compressor and accessory product sales on a direct labor hour to total labor hour basis. We estimate production and processing equipment product sales percentage-of-completion using the direct labor hour to total labor hour basis and the cost to total cost basis. The duration of these projects is typically between three and 24 months. Product sales revenue is recognized using the completed contract method when the applicable criteria of the percentage-of-completion method are not met. Product sales revenue under the completed contract method is recognized upon either delivery to the customer or achievement of substantial completion in accordance with the specifications within the underlying contract, which generally occurs when all significant attributes and components of the product are completed. Prior to the Spin-off, product sales revenue from affiliates was recognized using the completed contract method as the equipment was not guaranteed to be sold to the affiliate until the entities entered into a bill of sale for such equipment which occurred at the completion of the manufacturing process. Subsequent to November 3, 2015, sales to Archrock and Archrock Partners, L.P. (named Exterran Partners, L.P. prior to November 3, 2015) (“Archrock Partners”) are considered sales to third parties. Product sales revenue from a claim is recognized to the extent that costs related to the claim have been incurred, when collection is probable and can be reliably estimated. We estimate the future costs and gross margin on uncompleted contracts related to our product sales contracts. If we determine that a contract will result in a loss, we record a provision for the entire amount of the estimated loss in the period in which such loss is identified.

Concentrations of Credit Risk

Financial instruments that potentially subject us to concentrations of credit risk consist of cash and cash equivalents and accounts receivable. We believe that the credit risk in temporary cash investments is limited because our cash is held in accounts with multiple financial institutions. Trade accounts receivable are due from companies of varying size engaged principally in oil and natural gas activities throughout the world. We review the financial condition of customers prior to extending credit and generally do not obtain collateral for trade receivables. Payment terms are on a short-term basis and in accordance with industry practice. We consider this credit risk to be limited due to these companies’ financial resources, the nature of products and services we provide and the terms of our contract operations customer service agreements.

We maintain allowances for doubtful accounts for estimated losses resulting from our customers’ inability to make required payments. The determination of the collectibility of amounts due from our customers requires us to use estimates and make judgments regarding future events and trends, including monitoring our customers’ payment history and current creditworthiness to determine that collectibility is reasonably assured, as well as consideration of the overall business climate in which our customers operate. Inherently, these uncertainties require us to make judgments and estimates regarding our customers’ ability to pay amounts due to us in order to determine the appropriate amount of valuation allowances required for doubtful accounts. We review the adequacy of our allowance for doubtful accounts quarterly. We determine the allowance needed based on historical write-off experience and by evaluating significant balances aged greater than 90 days individually for collectibility. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote. During the years ended December 31, 2015, 2014 and 2013, we recorded bad debt expense of $3.5 million, $0.6 million and $2.3 million, respectively.

Inventory

Inventory consists of parts used for manufacturing or maintenance of natural gas compression equipment and facilities and processing and production equipment and also includes new compression units and production equipment that are held for sale. Inventory is stated at the lower of cost or market using the average-cost method. A reserve is recorded against inventory balances for estimated obsolescence based on specific identification and historical experience.

Property, Plant and Equipment

Property, plant and equipment are recorded at cost and depreciated using the straight-line method over their estimated useful lives as follows:



Compression equipment, facilities and other fleet assets	3 to 30 years
Buildings	20 to 35 years
Transportation, shop equipment and other	3 to 12 years

Installation costs capitalized on contract operations projects are generally depreciated over the life of the underlying contract. Major improvements that extend the useful life of an asset are capitalized. Repairs and maintenance are expensed as incurred. When property, plant and equipment is sold, retired or otherwise disposed of, the gain or loss is recorded in other (income) expense, net. Interest is capitalized during the construction period on equipment and facilities that are constructed for use in our operations. The capitalized interest is included as part of the cost of the asset to which it relates and is amortized over the asset’s estimated useful life.

Computer Software

Certain costs related to the development or purchase of internal-use software are capitalized and amortized over the estimated useful life of the software, which ranges from three to five years. Costs related to the preliminary project stage and the post-implementation/operation stage of an internal-use computer software development project are expensed as incurred. Capitalized software costs are included in property, plant and equipment, net, in our balance sheets.

Long-Lived Assets

We review long-lived assets, including property, plant and equipment and identifiable intangibles that are being amortized, for impairment whenever events or changes in circumstances, including the removal of compressor units from our active fleet, indicate that the carrying amount of an asset may not be recoverable. An impairment loss exists when estimated undiscounted cash flows expected to result from the use of the asset and its eventual disposition are less than its carrying amount. When necessary, an impairment loss is recognized and represents the excess of the asset’s carrying value as compared to its estimated fair value and is charged to the period in which the impairment occurred. Identifiable intangibles are amortized over the assets’ estimated useful lives.

Deferred Revenue

Deferred revenue is primarily comprised of upfront billings on contract operations jobs, milestone billings related to jobs where revenue is recognized on the completed contract method and billings related to jobs where revenue is recognized on the percentage-of-completion method that have not begun. Upfront payments received from customers on contract operations jobs are generally deferred and amortized over the life of the underlying contract.

Other (Income) Expense, Net

Other (income) expense, net, is primarily comprised of gains and losses from the remeasurement of our international subsidiaries’ net assets exposed to changes in foreign currency rates, short-term investments and the sale of used assets.

Income Taxes

Our operations are subject to U.S. federal, state and local and foreign income taxes. We and our subsidiaries file consolidated and separate income tax returns in the U.S. federal jurisdiction and in numerous state and foreign jurisdictions. In addition, certain of our operations were historically included in Archrock’s consolidated income tax returns in the U.S. federal and state jurisdictions. Our tax provision for periods prior to the Spin-off was determined on a separate return, stand-alone basis. Prior to the Spin-off, differences between the separate return method utilized and Archrock’s U.S. income tax returns and cash flows attributable to income taxes for our U.S. operations were recognized as distributions to, or contributions from, parent within parent equity.

We account for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events included in the financial statements. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial statement carrying amounts and the tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date.

We record net deferred tax assets to the extent we believe these assets will more likely than not be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies and results of recent operations. In the event we were to determine that we would be able to realize our deferred income tax assets in the future in excess of their net recorded amount, we would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes.

We record uncertain tax positions in accordance with the accounting standard on income taxes under a two-step process whereby (1) we determine whether it is more likely than not that the tax positions will be sustained based on the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, we recognize the largest amount of tax benefit that is greater than 50 percent likely to be realized upon ultimate settlement with the related tax authority.

Foreign Currency Translation

The financial statements of subsidiaries outside the U.S., except those for which we have determined that the U.S. dollar is the functional currency, are measured using the local currency as the functional currency. Assets and liabilities of these subsidiaries are translated at the rates of exchange in effect at the balance sheet date. Income and expense items are translated at average monthly rates of exchange. The resulting gains and losses from the translation of accounts into U.S. dollars are included in accumulated other comprehensive income in our balance sheets. For all subsidiaries, gains and losses from remeasuring foreign currency accounts into the functional currency are included in other (income) expense, net, in our statements of operations. We recorded a foreign currency loss of $35.1 million, $8.8 million and $3.0 million during the years ended December 31, 2015, 2014 and 2013, respectively. Included in our foreign currency loss was $29.0 million, $3.6 million and $4.3 million of non-cash losses from foreign currency exchange rate changes recorded on intercompany obligations during the years ended December 31, 2015, 2014 and 2013, respectively. Of the foreign currency losses recognized during the year ended December 31, 2015, $28.6 million was attributable to our Brazil subsidiary’s U.S. dollar denominated intercompany obligations and were the result of a currency devaluation in Brazil and increases in our Brazil subsidiary’s intercompany payables during the current year period.

In recent years, Argentina’s regulations have at times restricted foreign exchange, including exchanging Argentine pesos for U.S. dollars in certain cases, and during these periods we were unable to freely repatriate cash generated in Argentina to fund our other operations. In late 2015, following the election of a new president, some of the currency restrictions were lifted and we have been able to exchange Argentine pesos for U.S. dollars at market rates. Prior to the currency restrictions being lifted in Argentina in late 2015, we used Argentine pesos to purchase certain short-term investments in Argentine government issued U.S. dollar denominated bonds. The effective peso to U.S. dollar exchange rate embedded in the purchase price of these bonds resulted in our recognition of a loss during the years ended December 31, 2015 and 2014 of $4.9 million and $6.5 million, respectively, which is included in other (income) expense, net, in our statements of operations.

Financial Instruments

Our financial instruments consist of cash, restricted cash, receivables, payables and debt. At December 31, 2015 and 2014, the estimated fair values of these financial instruments approximated their carrying amounts as reflected in our balance sheets. See Note 11 for additional information regarding the fair value hierarchy.

Recent Accounting Developments

In November 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-17, Balance Sheet Classification of Deferred Taxes. The update simplifies the presentation of deferred taxes by requiring deferred tax assets and liabilities be classified as noncurrent on the balance sheet. For public business entities, this update is effective on a prospective basis for interim and annual periods beginning after December 15, 2016. The guidance may be adopted prospectively or retrospectively and early adoption is permitted. We elected early adoption with retrospective application as permitted by the guidance. Accordingly, we have restated our balance sheet as of December 31, 2014 to reclassify current deferred income tax assets of $48.9 million to noncurrent deferred income tax assets and current deferred income tax liabilities of $0.6 million to noncurrent deferred income tax liabilities. As a result, our working capital as of December 31, 2014 decreased by $48.3 million compared to amounts previously reported.

In July 2015, the FASB issued ASU No. 2015-11, Simplifying the Measurement of Inventory, which will require an entity to measure inventory at the lower of cost and net realizable value. Net realizable value is defined as the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. For public business entities, this update is effective on a prospective basis for interim and annual periods beginning after December 15, 2016, with early adoption permitted. We are currently evaluating the impact of this update on our financial statements.

In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs. The update requires an entity to present such costs in the balance sheet as a direct deduction from the carrying amount of the related debt liability rather than as an asset. Amortization of the costs will continue to be reported as interest expense. In August 2015, the FASB issued ASU No. 2015-15, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements, which clarifies that the guidance in the previous update does not apply to line-of-credit arrangements. Per the subsequent update, line-of-credit arrangements will continue to defer and present debt issuance costs as an asset and subsequently amortize the deferred debt costs ratably over the term of the arrangement. Upon transition, an entity is required to comply with the applicable disclosures for a change in an accounting principle. The update will be effective for reporting periods beginning after December 15, 2015 on a retrospective basis and early adoption is permitted. We elected early adoption as permitted by the guidance. During the year ended December 31, 2015, we incurred transaction costs of $7.7 million and $5.6 million related to our revolving credit facility and term loan facility, respectively. Debt issuance costs relating to our term loan facility have been presented as a direct deduction from the carrying value of the facility and debt issuance costs relating to our revolving credit facility have been presented as an asset within intangible and other assets, net.

In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). The update outlines a single comprehensive model for companies to use in accounting for revenue arising from contracts with customers and supersedes the most current revenue recognition guidance, including industry-specific guidance. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The update also requires disclosures enabling users of financial statements to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. The update will be effective for reporting periods beginning after December 15, 2017, including interim periods within the reporting period. Early adoption is permitted for reporting periods beginning after December 15, 2016. Companies may use either a full retrospective or a modified retrospective approach to adopt this update. We are currently evaluating the potential impact of the update on our financial statements.

Discontinued Operations

12 Months Ended

Dec. 31, 2015

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

3. Discontinued Operations

In May 2009, the Venezuelan government enacted a law that reserves to the State of Venezuela certain assets and services related to hydrocarbon activities, which included substantially all of our assets and services in Venezuela. The law provides that the reserved activities are to be performed by the State, by the State-owned oil company, Petroleos de Venezuela S.A. (“PDVSA”), or its affiliates, or through mixed companies under the control of PDVSA or its affiliates. The law authorizes PDVSA or its affiliates to take possession of the assets and take over control of those operations related to the reserved activities as a step prior to the commencement of an expropriation process, and permits the national executive of Venezuela to decree the total or partial expropriation of shares or assets of companies performing those services.

In June 2009, PDVSA commenced taking possession of our assets and operations in a number of our locations in Venezuela, and by the end of the second quarter of 2009, PDVSA had assumed control over substantially all of our assets and operations in Venezuela. The expropriation of our business in Venezuela meets the criteria established for recognition as discontinued operations under GAAP. Therefore, our Venezuelan contract operations business is reflected as discontinued operations in our financial statements.

In March 2010, our Spanish subsidiary filed a request for the institution of an arbitration proceeding against Venezuela with the International Centre for Settlement of Investment Disputes (“ICSID”) related to the seized assets and investments under the agreement between Spain and Venezuela for the Reciprocal Promotion and Protection of Investments and under Venezuelan law. The arbitration hearing occurred in July 2012.

In August 2012, our Venezuelan subsidiary sold its previously nationalized assets to PDVSA Gas, S.A. (“PDVSA Gas”) for a purchase price of approximately $441.7 million. We received an initial payment of $176.7 million in cash at closing, of which we remitted $50.0 million to repay the amount we collected in January 2010 under the terms of an insurance policy we maintained for the risk of expropriation. We received installment payments, including an annual charge, totaling $56.6 million, $72.6 million and $69.3 million during the years ended December 31, 2015, 2014 and 2013, respectively. The remaining principal amount due to us of approximately $66 million as of December 31, 2015, is payable in quarterly cash installments through the third quarter of 2016. We have not recognized amounts payable to us by PDVSA Gas as a receivable and will therefore recognize quarterly payments received in the future as income from discontinued operations in the periods such payments are received. The proceeds from the sale of the assets are not subject to Venezuelan national taxes due to an exemption allowed under the Venezuelan Reserve Law applicable to expropriation settlements. In addition, and in connection with the sale, we and the Venezuelan government agreed to waive rights to assert certain claims against each other.

In connection with the sale of these assets, we have agreed to suspend the arbitration proceeding previously filed by our Spanish subsidiary against Venezuela pending payment in full by PDVSA Gas of the purchase price for these nationalized assets.

In accordance with the separation and distribution agreement, a subsidiary of Archrock has the right to receive payments from EESLP based on a notional amount corresponding to payments received by our subsidiaries from PDVSA Gas in respect of the sale of our previously nationalized assets promptly after such amounts are collected by our subsidiaries. See Note 20 for additional discussion related to our contingent liability to Archrock.

In June 2012, we committed to a plan to sell our contract operations and aftermarket services businesses in Canada (“Canadian Operations”) as part of our continued emphasis on simplification and focus on our core businesses. Our Canadian Operations are reflected as discontinued operations in our financial statements. These operations were previously included in our contract operations and aftermarket services business segments. In connection with the planned disposition, we recorded impairment charges totaling $6.4 million during the year ended December 31, 2013. The impairment charges are reflected in income from discontinued operations, net of tax, in our statements of operations.

In July 2013, we completed the sale of our Canadian Operations to Ironline Compression Holdings LLC, an affiliate of Staple Street Capital L.L.C. We received the following consideration for the sale of the Canadian Operations (specified in either U.S. dollars (“$”) or Canadian dollars (“CDN$”)): (i) cash proceeds of $12.3 million, net of transaction expenses, (ii) a note receivable of CDN$8.1 million, (iii) contingent consideration of CDN$5.0 million based upon the Canadian Operations reaching a specified performance threshold prior to December 31, 2016 and (iv) a potential tax refund related to the Canadian Operations of CDN$1.6 million if such amounts are received by the Canadian Operations.

The following table summarizes the operating results of discontinued operations (in thousands):



	Years Ended December 31,
	2015			2014			2013
	Venezuela			Venezuela			Venezuela			Canada			Total
Revenue	$	—		$	—		$	—		$	24,458		$	24,458
Expenses and selling, general and administrative	185			479			883			21,810			22,693
Loss (recovery) attributable to expropriation and impairments	(50,074		)	(66,040		)	(66,344		)	6,376			(59,968		)
Other income, net	(6,243		)	(7,637		)	(4,552		)	(30		)	(4,582		)
Provision for income taxes	—			—			—			166			166
Income (loss) from discontinued operations, net of tax	$	56,132		$	73,198		$	70,013		$	(3,864	)	$	66,149

The following table summarizes the balance sheet data for discontinued operations (in thousands):



	December 31,
	2015		2014
Cash	$	177	$	431
Accounts receivable	—		2
Other current assets	14		35
Total current assets associated with discontinued operations	191		468
Total assets associated with discontinued operations	$	191	$	468

Accounts payable	$	—	$	214
Accrued liabilities	1,249		1,124
Total current liabilities associated with discontinued operations	1,249		1,338
Other long-term liabilities	158		317
Total liabilities associated with discontinued operations	$	1,407	$	1,655

- Definition

The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=51716988&loc=SL51721533-107759

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721665-107760

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5C
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721675-107760

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=51719941&loc=SL51724579-110230

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 4A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721663-107760

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=51719941&loc=d3e2941-110230

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1361-107760

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5B
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721673-107760

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721659-107760

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721671-107760

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5D
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721677-107760

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1474-107760

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721683-107760

+ Details

Inventory, net

12 Months Ended

Dec. 31, 2015

Inventory Disclosure [Abstract]

Inventory, net

4. Inventory, net

Inventory, net of reserves, consisted of the following amounts (in thousands):



	December 31,
	2015		2014
Parts and supplies	$	136,031	$	148,724
Work in progress	41,184		108,814
Finished goods	33,339		33,702
Inventory, net	$	210,554	$	291,240

During the years ended December 31, 2015, 2014 and 2013 we recorded $15.6 million, $3.2 million and $0.6 million, respectively, in inventory write-downs and reserves for inventory which was obsolete, excess or carried at a price above market value. As of December 31, 2015 and 2014, we had inventory reserves of $14.5 million and $8.7 million, respectively. As discussed further in Note 13, during the year ended December 31, 2015, we recorded restructuring and other charges of $8.7 million related to inventory write-downs associated with restructuring activities.

Prior to the Spin-off, product sales revenue from affiliates was recognized using the completed contract method as the equipment was not guaranteed to be sold to the affiliate until the entities entered into a bill of sale for such equipment which occurred at the completion of the manufacturing process. At December 31, 2014, $33.5 million of work in progress inventory related to product sales projects to affiliates. Subsequent to November 3, 2015, sales to Archrock and Archrock Partners are recognized using the percentage-of-completion method.

Product Sales Contracts

12 Months Ended

Dec. 31, 2015

Contractors [Abstract]

Product Sales Contracts

5. Product Sales Contracts

Costs, estimated earnings and billings on uncompleted contracts that are recognized using the percentage-of-completion method consisted of the following (in thousands):



	December 31,
	2015			2014
Costs incurred on uncompleted contracts	$	722,983		$	811,977
Estimated earnings	84,348			134,569
	807,331			946,546
Less — billings to date	(726,376		)	(901,885		)
	$	80,955		$	44,661

Costs, estimated earnings and billings on uncompleted contracts are presented in the accompanying financial statements as follows (in thousands):



	December 31,
	2015			2014
Costs and estimated earnings in excess of billings on uncompleted contracts	$	119,621		$	120,938
Billings on uncompleted contracts in excess of costs and estimated earnings	(38,666		)	(76,277		)
	$	80,955		$	44,661

Property, Plant and Equipment, net

12 Months Ended

Dec. 31, 2015

Property, Plant and Equipment [Abstract]

Property, Plant and Equipment, net

6. Property, Plant and Equipment, net

Property, plant and equipment, net, consisted of the following (in thousands):



	December 31,
	2015			2014
Compression equipment, facilities and other fleet assets	$	1,530,223		$	1,514,982
Land and buildings	153,449			154,866
Transportation and shop equipment	181,396			194,032
Other	100,099			112,732
	1,965,167			1,976,612
Accumulated depreciation	(1,065,765		)	(1,021,801		)
Property, plant and equipment, net	$	899,402		$	954,811

Depreciation expense was $152.5 million, $167.3 million and $131.7 million during the years ended December 31, 2015, 2014 and 2013, respectively. Assets under construction of $66.0 million and $70.7 million were primarily included in compression equipment, facilities and other fleet assets at December 31, 2015 and 2014, respectively. We capitalized $0.1 million of interest related to construction in process during the year ended December 31, 2015.

Intangible and Other Assets, net

12 Months Ended

Dec. 31, 2015

Intangible and Other Assets, net.

Intangible and Other Assets, net

7. Intangible and Other Assets, net

Intangible and other assets, net, consisted of the following (in thousands):



	December 31,
	2015		2014
Intangible assets, net	$	17,809	$	23,788
Recoverable foreign social security tax	15,165		19,372
Deferred financing costs	7,399		—
Other	21,888		22,519
Intangibles and other assets, net	$	62,261	$	65,679

Intangible assets and deferred financing costs consisted of the following (in thousands):



	December 31, 2015					December 31, 2014
	Gross Carrying Amount		Accumulated Amortization			Gross Carrying Amount		Accumulated Amortization
Deferred financing costs (1)	$	7,673	$	(274	)	$	—	$	—
Marketing related (20 year life)	2,537		(1,759		)	2,638		(1,747		)
Customer related (17-20 year life)	78,271		(61,888		)	81,088		(59,918		)
Technology based (20 year life)	3,252		(3,014		)	3,843		(3,480		)
Contract based (2-11 year life)	43,930		(43,520		)	44,983		(43,619		)
Intangible assets and deferred financing costs	$	135,663	$	(110,455	)	$	132,552	$	(108,764	)


(1)	Represents debt issuance costs relating to our revolving credit facility. See Note 10 for further discussion regarding our revolving credit facility.

Amortization of deferred financing costs related to our revolving credit facility totaled $0.3 million during the year ended December 31, 2015, and was recorded to interest expense in our statements of operations. Amortization of intangible assets totaled $5.3 million, $6.5 million and $8.3 million during the years ended December 31, 2015, 2014 and 2013, respectively.

Estimated future intangible amortization expense is as follows (in thousands):



2016	$	4,236
2017	3,131
2018	2,561
2019	2,112
2020	1,790
Thereafter	3,979
Total	$	17,809

Investments in Non-Consolidated Affiliates	12 Months Ended
Investments in Non-Consolidated Affiliates	Dec. 31, 2015
Equity Method Investments and Joint Ventures [Abstract]
Investments in Non-Consolidated Affiliates	8. Investments in Non-Consolidated Affiliates Investments in affiliates that are not controlled by us where we have the ability to exercise significant influence over the operations are accounted for using the equity method. We own a 30.0% interest in WilPro Energy Services (PIGAP II) Limited and 33.3% interest in WilPro Energy Services (El Furrial) Limited which are joint ventures that provided natural gas compression and injection services in Venezuela. In May 2009, PDVSA assumed control over the assets of our Venezuelan joint ventures and transitioned the operations, including the hiring of their employees, to PDVSA. In March 2011, our Venezuelan joint ventures, together with the Netherlands’ parent company of our joint venture partners, filed a request for the institution of an arbitration proceeding against Venezuela with ICSID related to the seized assets and investments. In March 2012, our Venezuelan joint ventures sold their assets to PDVSA Gas. We received an initial payment of $37.6 million in March 2012, and received installment payments, including an annual charge, totaling $15.2 million, $14.7 million and $19.0 million during the years ended December 31, 2015, 2014 and 2013, respectively. The remaining principal amount due to us of approximately $13 million as of December 31, 2015, is payable in cash installments through the first quarter of 2016. We have not recognized amounts payable to us by PDVSA Gas as a receivable and will therefore recognize payments received in the future as equity in (income) loss of non-consolidated affiliates in our statements of operations in the periods such payments are received. In January 2016, we received an installment payment, including an annual charge, of $5.2 million. In connection with the sale of our Venezuelan joint ventures’ assets, the joint ventures and our joint venture partners have agreed to suspend their previously filed arbitration proceeding against Venezuela pending payment in full by PDVSA Gas of the purchase price for the assets. In accordance with the separation and distribution agreement, a subsidiary of Archrock has the right to receive payments from EESLP based on a notional amount corresponding to payments received by our subsidiaries from PDVSA Gas in respect of the sale of our joint ventures’ previously nationalized assets promptly after such amounts are collected by our subsidiaries. See Note 20 for additional discussion related to our contingent liability to Archrock.

Long-Term Debt

12 Months Ended

Dec. 31, 2015

Debt Disclosure [Abstract]

Long-Term Debt

10. Long-Term Debt

Long-term debt consisted of the following (in thousands):



	December 31,
	2015			2014
Revolving credit facility due November 2020	$	285,000		$	—
Term loan facility due November 2017	245,000			—
Other, interest at various rates, collateralized by equipment and other assets	836			1,107
Unamortized deferred financing costs	(5,243		)	—
Long-term debt	$	525,593		$	1,107

Revolving Credit Facility and Term Loan

On July 10, 2015, we and our wholly owned subsidiary, EESLP, entered into a $750.0 million credit agreement (the “Credit Agreement”) with Wells Fargo, as the administrative agent, and various financial institutions as lenders. On October 5, 2015, the parties amended and restated the Credit Agreement to provide for a $925.0 million credit facility, consisting of a $680.0 million revolving credit facility and a $245.0 million term loan facility (collectively, the “Credit Facility”). Availability under the Credit Facility was subject to the satisfaction of certain conditions precedent, including the consummation of the Spin-off on or before January 4, 2016 (the date on which those conditions were satisfied, November 3, 2015, is referred to as the “Initial Availability Date”). The revolving credit facility will mature in November 2020 and the term loan facility will mature in November 2017. In accordance with the Credit Agreement, we are required to repay borrowings outstanding under the term loan facility on each anniversary of the Initial Availability Date in an amount equal to the lesser of (i) $12.3 million and (ii) the outstanding principal balance of the term loan facility. The principal amount of $12.3 million due in November 2016 under the term loan facility is classified as long-term in our balance sheet at December 31, 2015 because we have the intent and ability to refinance the current principal amount due with borrowings under our existing revolving credit facility. On November 3, 2015, EESLP incurred approximately $300.0 million of indebtedness under the revolving credit facility and $245.0 million of indebtedness under the term loan facility. Pursuant to the separation and distribution agreement with Archrock and certain of our and Archrock’s respective affiliates, on November 3, 2015, EESLP transferred $532.6 million of net proceeds from borrowings under the Credit Facility to Archrock to allow it to repay a portion of its indebtedness in connection with the Spin-off.

As of December 31, 2015, we had $285.0 million in outstanding borrowings and $116.4 million in outstanding letters of credit under our revolving credit facility. At December 31, 2015, taking into account guarantees through letters of credit, we had undrawn and available capacity of $278.6 million under our revolving credit facility.

Revolving borrowings under the Credit Facility bear interest at a rate equal to, at our option, either the Base Rate or LIBOR (or EURIBOR, in the case of Euro-denominated borrowings) plus the applicable margin. The applicable margin for revolving borrowings varies (i) in the case of LIBOR loans, from 1.50% to 2.75% and (ii) in the case of Base Rate loans, from 0.50% to 1.75%, and will be determined based on our total leverage ratio pricing grid. “Base Rate” means the highest of the prime rate, the federal funds effective rate plus 0.50% and one-month LIBOR plus 1.00%. Until the term loan facility is refinanced in full with the proceeds of certain qualifying unsecured debt or equity issuances, the applicable margin for borrowings under the revolving credit facility will be increased by 1.00% until the first anniversary of the Initial Availability Date and by 1.50% following the first anniversary of the Initial Availability Date. Term loan borrowings under the Credit Facility will bear interest at a rate equal to, at our option, either (1) the Base Rate plus 4.75%, or (2) the greater of LIBOR or 1.00%, plus 5.75%. The weighted average annual interest rate on outstanding borrowings under the revolving credit facility at December 31, 2015 was 3.1%. The annual interest rate on the outstanding balance of the term loan facility at December 31, 2015 was 6.8%.

We and all of our Significant Domestic Subsidiaries (as defined in the Credit Agreement) guarantee EESLP’s obligations under the Credit Facility. In addition, EESLP’s obligations under the Credit Facility are secured by (1) substantially all of our assets and the assets of EESLP and our Significant Domestic Subsidiaries located in the U.S., including certain real property, and (2) all of the equity interests of our U.S. restricted subsidiaries (other than certain excluded subsidiaries) (as defined in the Credit Agreement) and 65% of the voting equity interests in certain of our first-tier foreign subsidiaries.

We are required to prepay borrowings outstanding under the term loan facility with the net proceeds of certain asset sales, equity issuances, debt incurrences and other events (subject to, in certain circumstances, our right to reinvest the proceeds within a specified period). In addition, if the total leverage ratio as of the last day in any fiscal year is greater than 2.50 to 1.00, we are required to prepay borrowings outstanding under the term loan facility with a portion of Excess Cash Flow (as defined in the Credit Agreement) for that fiscal year equal to (a) 50% of Excess Cash Flow if the total leverage ratio is greater than 3.00 to 1.00 or (b) 25% of Excess Cash Flow if the total leverage ratio is greater than 2.50 to 1.00 but less than or equal to 3.00 to 1.00.

The Credit Agreement contains various covenants with which we, EESLP and our respective restricted subsidiaries must comply, including, but not limited to, limitations on the incurrence of indebtedness, investments, liens on assets, repurchasing equity, making distributions, transactions with affiliates, mergers, consolidations, dispositions of assets and other provisions customary in similar types of agreements. We are required to maintain, on a consolidated basis, a minimum interest coverage ratio of 2.25 to 1.00; a maximum total leverage ratio of 3.75 to 1.00 prior to the completion of a qualified capital raise (as defined in the Credit Agreement) and 4.50 to 1.00 thereafter; and, following the completion of a qualified capital raise, a maximum senior secured leverage ratio of 2.75 to 1.00. As of December 31, 2015, we were in compliance with all financial covenants under the Credit Agreement.

Unamortized Debt Financing Costs

During the year ended December 31, 2015, we incurred transaction costs of $13.3 million related to our Credit Agreement, of which $7.7 million and $5.6 million related to our revolving credit facility and term loan facility, respectively. Debt issuance costs relating to our revolving credit facility are included in intangible and other assets, net, and are being amortized over the term of the facility. See Note 7 for further discussion regarding the amortization of deferred financing costs relating to our revolving credit facility. Debt issuance costs relating to our term loan facility are presented as a direct deduction from the carrying value of the facility, and are being amortized over the term of the facility. Amortization of deferred financing costs relating to the term loan facility totaled $0.4 million during the year ended December 31, 2015, and was recorded to interest expense in our statements of operations.

Debt Compliance

We were in compliance with our debt covenants as of December 31, 2015. If we fail to remain in compliance with our financial covenants we would be in default under our Credit Agreement. In addition, if we experience a material adverse effect on our assets, liabilities, financial condition, business or operations that, taken as a whole, impact our ability to perform our obligations under our Credit Agreement, this could lead to a default.

Long-Term Debt Maturity Schedule

Contractual maturities of long-term debt (excluding interest to be accrued thereon) at December 31, 2015 are as follows (in thousands):



	December 31, 2015
2016	$	12,250	(1)
2017	233,003		(1)
2018	253
2019	253
2020	285,077
Thereafter	—
Total debt	$	530,836	(1)

(1)

The principal amount of $12.3 million due in November 2016 under the term loan facility is classified as long-term in our balance sheet at December 31, 2015 because we have the intent and ability to refinance the current principal amount due with borrowings under our existing revolving credit facility. These amounts include the full face value of the term loan facility and have not been reduced by the aggregate unamortized debt financing costs of $5.2 million as of December 31, 2015.

Fair Value Measurements

12 Months Ended

Dec. 31, 2015

Fair Value Disclosures [Abstract]

Fair Value Measurements

11. Fair Value Measurements

The accounting standard for fair value measurements and disclosures establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into the following three broad categories:


•	Level 1 — Quoted unadjusted prices for identical instruments in active markets to which we have access at the date of measurement.

•

Level 2 — Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. Level 2 inputs are those in markets for which there are few transactions, the prices are not current, little public information exists or prices vary substantially over time or among brokered market makers.


•	Level 3 — Model derived valuations in which one or more significant inputs or significant value drivers are unobservable. Unobservable inputs are those inputs that reflect our own assumptions regarding how market participants would price the asset or liability based on the best available information.

The following table presents our assets and liabilities measured at fair value on a nonrecurring basis during the years ended December 31, 2015 and 2014, with pricing levels as of the date of valuation (in thousands):



	Year ended December 31, 2015						Year ended December 31, 2014
	(Level 1)		(Level 2)		(Level 3)		(Level 1)		(Level 2)		(Level 3)
Impaired long-lived assets	$	—	$	—	$	995	$	—	$	—	$	—
Long-term receivable from the sale of our Canadian Operations	—		—		5,100		—		—		—

Our estimate of the impaired long-lived assets’ fair value was primarily based on either the expected net sale proceeds compared to other fleet units we recently sold and/or a review of other units recently offered for sale by third parties, or the estimated component value of the equipment on each compressor unit that we plan to use. We discounted the expected proceeds, net of selling and other carrying costs, using a weighted average disposal period of four years and a weighted average discount rate of 10% for 2015. In April 2015, we accepted an offer to early settle the outstanding note receivable due to us relating to the previous sale of our Canadian Operations for $5.1 million.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Long-Lived Asset Impairment	12 Months Ended
Long-Lived Asset Impairment	Dec. 31, 2015
Asset Impairment Charges [Abstract]
Long-Lived Asset Impairment	12. Long-Lived Asset Impairment We review long-lived assets, including property, plant and equipment and identifiable intangibles that are being amortized, for impairment whenever events or changes in circumstances, including the removal of compressor units from our active fleet, indicate that the carrying amount of an asset may not be recoverable. During the year ended December 31, 2015, we reviewed the future deployment of our idle compression assets used in our contract operations segment for units that were not of the type, configuration, condition, make or model that are cost efficient to maintain and operate. Based on this review, we determined that 93 idle compressor units totaling approximately 72,000 horsepower would be retired from the active fleet. The retirement of these units from the active fleet triggered a review of these assets for impairment. As a result, we recorded a $19.4 million asset impairment to reduce the book value of each unit to its estimated fair value. The fair value of each unit was estimated based on either the expected net sale proceeds compared to other fleet units we recently sold and/or a review of other units recently offered for sale by third parties, or the estimated component value of the equipment on each compressor unit that we plan to use. During the first quarter of 2015, we evaluated a long-term note receivable from the purchaser of our Canadian Operations for impairment. This review was triggered by an offer from the purchaser of our Canadian Operations to prepay the note receivable at a discount to its current book value. The fair value of the note receivable as of March 31, 2015 was based on the amount offered by the purchaser of our Canadian Operations to prepay the note receivable. The difference between the book value of the note receivable at March 31, 2015 and its fair value resulted in the recording of an impairment of long-lived assets of $1.4 million. In April 2015, we accepted the offer to early settle this note receivable. During the year ended December 31, 2014, we evaluated the future deployment of our idle fleet and determined to retire approximately 20 idle compressor units, representing approximately 18,000 horsepower, previously used to provide services in our contract operations segment. As a result, we performed an impairment review and recorded a $2.8 million asset impairment to reduce the book value of each unit to its estimated fair value. The fair value of each unit was estimated based on the estimated component value of the equipment we plan to use. In connection with our fleet review during 2014, we evaluated for impairment idle units that had been culled from our fleet in prior years and were available for sale. Based upon that review, we reduced the expected proceeds from disposition for certain of the remaining units. This resulted in an additional impairment of $1.1 million to reduce the book value of each unit to its estimated fair value. In July 2013, as part of our continued emphasis on simplification and focus on our core business, we sold the entity that owned our product sales facility in the United Kingdom. As a result, we recorded impairment charges of $11.9 million during the year ended December 31, 2013.

Restructuring and Other Charges

12 Months Ended

Dec. 31, 2015

Restructuring and Related Activities [Abstract]

Restructuring and Other Charges

13. Restructuring and Other Charges

During the year ended December 31, 2015, we incurred $15.7 million of costs associated with the Spin-off which were related to financial advisor fees of $4.6 million paid at the completion of the Spin-off, non-cash inventory write-downs, expenses of $3.1 million for retention awards to certain employees, a one-time cash signing bonus paid to our new Chief Executive Officer of $2.0 million and costs to start-up certain stand-alone functions of $1.3 million. Non-cash inventory write-downs, which primarily related to the decentralization of shared inventory components between Archrock’s North America contract operations business and our international contract operations business, totaled $4.7 million during the year ended December 31, 2015, of which approximately $4.2 million related to our contract operations segment and $0.5 million related to our product sales segment. The charges incurred in conjunction with the Spin-off are included in restructuring and other charges in our statements of operations. We currently estimate that we will incur additional one-time expenditures of approximately $5.4 million related to retention awards to certain employees in the form of cash and stock-based compensation through November 2017. Additionally, we estimate that we will incur additional costs of approximately $0.5 million in the first quarter of 2016 related to the start-up of certain stand-alone functions. We expect the majority of the estimated additional charges will result in cash expenditures.

As a result of the market conditions in North America, combined with the impact of lower international activity due to customer budget cuts driven by lower oil prices, in the second quarter of 2015, we announced a cost reduction plan primarily focused on workforce reductions and the reorganization of certain product sales facilities. During the year ended December 31, 2015, we incurred $16.4 million of restructuring and other charges as a result of this plan. Included in this amount was $12.4 million related to employee termination benefits and consulting fees and $4.0 million related to non-cash write-downs of inventory. Costs incurred for employee termination benefits during the year ended December 31, 2015 was $9.6 million, of which $6.4 million related to our product sales business. The non-cash inventory write-downs were the result of our decision to exit the manufacturing of cold weather packages, which had historically been performed at a product sales facility in North America we decided to close. These charges are reflected as restructuring and other charges in our statements of operations. We currently estimate that we will incur additional charges with respect to this cost reduction plan of approximately $2.5 million. We expect the majority of the estimated additional charges will result in cash expenditures.

The following table summarizes the changes to our accrued liability balance related to restructuring and other charges for the year ended December 31, 2015 (in thousands):



	Spin-off			Cost Reduction Plan			Total
Beginning balance at January 1, 2015	$	—		$	—		$	—
Additions for costs expensed	15,749			16,351			32,100
Less non-cash expense	(4,843		)	(4,007		)	(8,850		)
Reductions for payments	(9,823		)	(11,779		)	(21,602		)
Ending balance at December 31, 2015	$	1,083		$	565		$	1,648

The following table summarizes the components of charges included in restructuring and other charges in our statements of operations for the year ended December 31, 2015 (in thousands):



	Year ended December 31, 2015
Financial advisor fees related to the Spin-off	$	4,598
Consulting fees	2,717
Start-up of stand-alone functions	1,332
Retention awards to certain employees	3,121
Chief Executive Officer signing bonus	2,000
Non-cash inventory write-downs	8,707
Employee termination benefits	9,625
Total restructuring and other charges	$	32,100

Income Taxes

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Income Taxes

14. Income taxes

Prior to the Spin-off, certain of our operations in the U.S. were included in Archrock’s consolidated federal and state tax returns, and therefore our current and deferred tax expense for applicable periods was computed on a separate return basis. Subsequent to the Spin-off, we file our own consolidated federal and state tax returns in the U.S.

The components of income before income taxes were as follows (in thousands):



	Years Ended December 31,
	2015			2014		2013
United States	$	(5,929	)	$	84,549	$	134,946
Foreign	36,180			72,599		49,125
Income before income taxes	$	30,251		$	157,148	$	184,071

The provision for income taxes consisted of the following (in thousands):



	Years Ended December 31,
	2015			2014			2013
Current tax provision:
U.S. federal	$	383		$	6,128		$	20,511
State	1,201			2,136			4,169
Foreign	63,692			56,029			55,790
Total current	65,276			64,293			80,470
Deferred tax provision (benefit):
U.S. federal	(29,954		)	12,503			10,045
State	(484		)	(753		)	(865		)
Foreign	5,334			1,790			7,717
Total deferred	(25,104		)	13,540			16,897
Provision for income taxes	$	40,172		$	77,833		$	97,367

The provision for income taxes for 2015, 2014 and 2013 resulted in effective tax rates on continuing operations of 132.8%, 49.5% and 52.9%, respectively. The reasons for the differences between these effective tax rates and the U.S. statutory rate of 35% are as follows (in thousands):



	Years Ended December 31,
	2015			2014			2013
Income taxes at U.S. federal statutory rate of 35%	$	10,588		$	55,002		$	64,425
Net state income taxes	466			976			2,145
Foreign taxes	37,260			31,289			28,470
Foreign tax credits	(17,398		)	(10,942		)	(16,355		)
Research and development credits	(24,938		)	—			—
Unrecognized tax benefits	6,187			403			2,473
Valuation allowances	33,328			7,884			22,795
Proceeds from sale of joint venture assets	(5,315		)	(5,162		)	(6,650		)
Other	(6		)	(1,617		)	64
Provision for income taxes	$	40,172		$	77,833		$	97,367

Deferred income tax balances are the direct effect of temporary differences between the financial statement carrying amounts and the tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities are as follows (in thousands):



	December 31,
	2015			2014
Deferred tax assets:
Net operating loss carryforwards	$	134,500		$	104,733
Inventory	3,919			2,105
Accrued liabilities	3,188			8,330
Foreign tax credit carryforwards	72,019			62,940
Research and development credit carryforwards	31,251			—
Alternative minimum tax credit carryforwards	5,145			—
Deferred revenue	23,894			19,370
Stock-based compensation expense	1,769			14,290
Other	23,017			16,387
Subtotal	298,702			228,155
Valuation allowances	(159,698		)	(105,139		)
Total deferred tax assets	139,004			123,016
Deferred tax liabilities:
Property, plant and equipment	(74,728		)	(55,042		)
Total deferred tax liabilities	(74,728		)	(55,042		)
Net deferred tax assets	$	64,276		$	67,974

The increases in our deferred tax assets primarily relate to U.S. federal net operating losses, foreign tax credits, research and development credits (the “R&D Credit”) and alternative minimum tax credits allocated to us by Archrock as a result of the Spin-off. Archrock also transferred valuation allowances primarily related to foreign tax credits. The increases are due to changing from a separate return, stand-alone basis to the actual December 31, 2015 balances allocated to us by Archrock pursuant to the Internal Revenue Service (“IRS”) consolidated return regulations.

At December 31, 2015, we had U.S. federal net operating loss carryforwards of approximately $66.1 million that are available to offset future taxable income. If not used, the carryforwards begin to expire in 2024. We also had approximately $370.8 million of net operating loss carryforwards in certain foreign jurisdictions (excluding discontinued operations), approximately $228.6 million of which has no expiration date, $64.2 million of which is subject to expiration from 2016 to 2020, and the remainder of which expires in future years through 2035. Foreign tax credit carryforwards of $72.0 million, R&D Credit carryforwards of $31.3 million and alternative minimum tax credit carryforwards of $5.1 million are available to offset future payments of U.S. federal income tax. The foreign tax credits will expire in varying amounts beginning in 2020 and the R&D Credits will expire in varying amounts beginning in 2028, whereas the alternative minimum tax credits may be carried forward indefinitely under current U.S. tax law.

Pursuant to Sections 382 and 383 of the Internal Revenue Code of 1986, as amended (the “Code”), utilization of loss carryforwards and credit carryforwards, such as foreign tax credits, will be subject to annual limitations due to the ownership changes of both Hanover Compressor Company (“Hanover”) and Universal Compression Holdings, Inc. (“Universal”). In general, an ownership change, as defined by Section 382 of the Code, results from transactions increasing the ownership of certain stockholders or public groups in the stock of a corporation by more than 50 percentage points over a three-year period. The merger of Hanover and Universal to form Archrock resulted in such an ownership change for both Hanover and Universal. Our ability to utilize loss carryforwards and credit carryforwards against future U.S. federal income tax may be limited. The limitations may cause us to pay U.S. federal income taxes earlier; however, we do not currently expect that any loss carryforwards or credit carryforwards will expire as a result of these limitations.

We record valuation allowances when it is more likely than not that some portion or all of our deferred tax assets will not be realized. The ultimate realization of the deferred tax assets depends on the ability to generate sufficient taxable income of the appropriate character and in the appropriate taxing jurisdictions in the future. If we do not meet our expectations with respect to taxable income, we may not realize the full benefit from our deferred tax assets which would require us to record a valuation allowance in our tax provision in future years.

As of December 31, 2015, we had $72.0 million in foreign tax credit carryforward deferred tax assets primarily allocated to us from Archrock. Since we do not expect to generate sufficient taxable income and foreign source taxable income following the Spin-off, the foreign tax credit carryforwards will ultimately expire unused. Archrock recorded a valuation allowance to fully offset the foreign tax credit carryforward deferred tax assets they allocated to us.

In the fourth quarter of 2013, a $9.0 million valuation allowance was recorded against the deferred tax asset for Italy net operating loss carryforwards. Although the net operating losses have an unlimited carryforward period, cumulative losses in recent years and losses expected in the near term result in it no longer being more likely than not that we will realize the deferred tax asset in the foreseeable future. Due to annual limitations on the utilization of Italy net operating loss carryforwards, we would need to generate more than $40.0 million of taxable income in Italy to fully realize the deferred tax asset.

We have not provided U.S. federal income taxes on indefinitely (or permanently) reinvested cumulative earnings of approximately $622.0 million generated by our non-U.S. subsidiaries as of December 31, 2015. Such earnings are from ongoing operations which will be used to fund international growth. We have not recorded a deferred tax liability related to these unremitted foreign earnings as it is not practicable to estimate the amount of unrecognized deferred tax liabilities. In the event of a distribution of those earnings to the U.S. in the form of dividends, we may be subject to both foreign withholding taxes and U.S. federal income taxes net of allowable foreign tax credits.

A reconciliation of the beginning and ending amount of unrecognized tax benefits (including discontinued operations) is shown below (in thousands):



	Years Ended December 31,
	2015			2014			2013
Beginning balance	$	8,356		$	9,033		$	7,736
Additions based on tax positions related to prior years	6,448			—			1,710
Additions based on tax positions related to current year	261			—			—
Reductions based on lapse of statute of limitations	(122		)	(215		)	(97		)
Reductions based on tax positions related to prior years	—			(462		)	(316		)
Ending balance	$	14,943		$	8,356		$	9,033

We had $14.9 million, $8.4 million and $9.0 million of unrecognized tax benefits at December 31, 2015, 2014 and 2013, respectively, which if recognized, would affect the effective tax rate (except for amounts that would be reflected in income from discontinued operations, net of tax). We also have recorded $3.0 million, $3.2 million and $3.3 million of potential interest expense and penalties related to unrecognized tax benefits associated with uncertain tax positions (including discontinued operations) as of December 31, 2015, 2014 and 2013, respectively. To the extent interest and penalties are not assessed with respect to uncertain tax positions, amounts accrued will be reduced and reflected as reductions in income tax expense.

We and our subsidiaries file consolidated and separate income tax returns in the U.S. federal jurisdiction and in numerous state and foreign jurisdictions. Certain of our operations were historically included in Archrock’s consolidated income tax returns in the U.S. federal and state jurisdictions. In addition, certain of Archrock’s operations were historically included in our separate income tax returns in state jurisdictions. Under the Code and the related rules and regulations, each corporation that was a member of the Archrock consolidated U.S. federal income tax reporting group during any taxable period or portion of any taxable period ending on or before the effective time of the Spin-off is jointly and severally liable for the U.S. federal income tax liability of the entire Archrock consolidated tax reporting group for that taxable period. In connection with the Spin-off, we entered into a tax matters agreement with Archrock that allocates the responsibility for prior period taxes of the Archrock consolidated tax reporting group between us and Archrock.

We are subject to U.S. federal income tax examinations for tax years beginning from 1997 onward and, early in the second quarter of 2011, the IRS commenced an examination of Archrock’s U.S. federal income tax returns for the tax years 2006, 2008 and 2009. In October 2012, the IRS completed its examination and issued Revenue Agent’s Reports (“RARs”) that reflected an aggregate over-assessment of $0.9 million. All of the adjustments proposed in the RARs were agreed, except for the disallowance of Archrock’s telephone excise tax refund (“TETR”) claims of $0.5 million related to the 2006 tax year, for which Archrock filed protests with the Appeals Division of the IRS (the “IRS Appeals Division”). Archrock settled with the IRS Appeals Division in December 2013 for more than 90% of the TETR claims and received refunds in the first quarter of 2013. The $0.9 million over-assessment was approved for refund by the Joint Committee on Taxation and was received in the third quarter of 2014. We do not expect any tax adjustments from later tax years that would have a material impact on our financial position or results of operations.

State income tax returns are generally subject to examination for a period of three to five years after filing the returns. However, the state impact of any U.S. federal audit adjustments and amendments remains subject to examination by various states for up to one year after formal notification to the states. As of December 31, 2015, we did not have any state audits underway that would have a material impact on our financial position or results of operations.

We are subject to examination by taxing authorities throughout the world, including major foreign jurisdictions such as Argentina, Brazil, Italy and Mexico. With few exceptions, we and our subsidiaries are no longer subject to foreign income tax examinations for tax years before 2006. Several foreign audits are currently in progress and we do not expect any tax adjustments that would have a material impact on our financial position or results of operations.

We believe it is reasonably possible that a decrease of up to $5.0 million in unrecognized tax benefits may be necessary on or before December 31, 2016 due to the settlement of audits and the expiration of statutes of limitations. However, due to the uncertain and complex application of tax regulations, it is possible that the ultimate resolution of these matters may result in liabilities which could materially differ from these estimates.

Related Party Transactions

12 Months Ended

Dec. 31, 2015

Related Party Transactions

15. Related Party Transactions

Spin Agreements

In connection with the completion of the Spin-off, on November 3, 2015, we entered into several agreements with Archrock and certain subsidiaries of Archrock and, with respect to certain agreements, a subsidiary of Archrock Partners, that govern the Spin-off and the relationship among the parties following the Spin-off, including the following (collectively, the “Spin Agreements”):

•

The separation and distribution agreement contains the key provisions relating to the separation of our business from Archrock’s business and the distribution of our common stock to its stockholders. The separation and distribution agreement identifies the assets and rights that were transferred, liabilities that were assumed or retained and contracts and related matters that were assigned to us by Archrock or by us to Archrock in the Spin-off and describes how these transfers, assumptions and assignments occurred. Pursuant to the separation and distribution agreement, on November 3, 2015, we transferred net proceeds of $532.6 million from borrowings under the Credit Facility to Archrock to allow for its repayment of a portion of its indebtedness. In addition, the separation and distribution agreement contains certain noncompetition provisions addressing restrictions for three years after the Spin-off on our ability to provide contract operations and aftermarket services in the U.S. and on Archrock’s ability to provide contract operations and aftermarket services outside of the U.S. and to provide products for sale worldwide that compete with our current product sales business, subject to certain exceptions. The separation and distribution agreement also governs the treatment of aspects relating to indemnification, insurance, confidentiality and cooperation. Additionally, the separation and distribution agreement specifies the right of a subsidiary of Archrock to receive payments from EESLP based on a notional amount corresponding to payments received by our subsidiaries from PDVSA Gas in respect of the sale of our and our joint ventures’ previously nationalized assets promptly after such amounts are collected by our subsidiaries and a $25.0 million cash payment from EESLP promptly following the occurrence of a qualified capital raise (as defined in the Credit Agreement). See Note 20 for additional discussion on such contingent liabilities.


•	The tax matters agreement governs the respective rights, responsibilities and obligations of Archrock and us with respect to tax liabilities and benefits, tax attributes, the preparation and filing of tax returns, the control of audits and other tax proceedings and certain other matters regarding taxes.

•

The employee matters agreement governs the allocation of liabilities and responsibilities between Archrock and Exterran Corporation relating to employee compensation and benefit plans and programs, including the treatment of retirement, health and welfare plans and equity and other incentive plans and awards. The agreement contains provisions regarding stock-based compensation. See Note 17 for additional information relating to the Exterran Corporation Stock Incentive Plan.

•

The transition services agreement sets forth the terms on which Archrock provides to us, and we provide to Archrock, on a temporary basis, certain services or functions that the companies historically have shared. Transition services provided to us by Archrock and to Archrock by us may include accounting, administrative, payroll, human resources, environmental health and safety, real estate, fleet, financial audit support, legal, tax, treasury and other support and corporate services, and each service provided at a predetermined rate set forth in the transition services agreement. Each service provided under the agreement has its own duration, generally less than one year but not to exceed two years, extension terms and monthly cost, and the transition services agreement will terminate upon cessation of all services provided thereunder. For the period from November 4, 2015 through December 31, 2015, we recorded selling, general and administrative expense of $0.2 million and other income of $0.2 million associated with services under the transition services agreement.

•

The supply agreement sets forth the terms under which we provide manufactured equipment, including the design, engineering, manufacturing and sale of natural gas compression equipment, on an exclusive basis to Archrock and Archrock Partners. This supply agreement has an initial term of two years, subject to certain cancellation clauses, and is extendable for additional one year terms by mutual agreement of the parties. Pursuant to the supply agreement, each of Archrock and Archrock Partners is required to purchase their requirements of newly-manufactured compression equipment from us, subject to certain exceptions. For the period from November 4, 2015 through December 31, 2015, we recorded revenue of $14.4 million and $26.7 million from the sale of newly-manufactured compression equipment to Archrock Partners and Archrock, respectively.


•	The storage agreements set forth the terms under which we provide each of Archrock and Archrock Partners with storage space for equipment purchased under the supply agreement, as well as the terms under which Archrock provides storage space to us for certain of our equipment.

•

The services agreements set forth the terms under which we provide Archrock (or Archrock’s customers on its behalf) with engineering, preservation and installation and commissioning services and Archrock provides us (or our customers on our behalf) with make-ready, parts sales, preservation and installation and commissioning services. These services agreements will continue in effect until terminated by either party on 30 days’ written notice.

Transactions with Affiliates

All intercompany transactions and accounts within these financial statements have been eliminated. All affiliate transactions occurring prior to the Spin-off between the international services and product sales businesses of Archrock and the other businesses of Archrock have been included in these financial statements. Prior to the Spin-off, sales of newly-manufactured compression equipment from the product sales business of EESLP to Archrock Partners were used in the U.S. services business of Archrock and were made pursuant to an omnibus agreement between the parties and other affiliates of both entities. Through November 3, 2015, per the omnibus agreement, revenue was determined by the cost to manufacture such equipment plus a fixed margin. During the years ended December 31, 2015, 2014 and 2013, we recorded product sales revenue from affiliates of $154.3 million, $233.0 million and $118.4 million, respectively, and cost of sales of $141.9 million, $212.2 million and $106.6 million, respectively, from the sale of newly-manufactured compression equipment to Archrock Partners. Subsequent to November 3, 2015, sales to Archrock Partners are considered sales to third parties.

Prior to the closing of the Spin-off, EESLP also had a fleet of compression units used to provide compression services in the U.S. services business of Archrock. Revenue prior to the Spin-off was not recognized in our statements of operations for the sale of compressor units by us that were used by EESLP to provide compression services to customers of the U.S. services business of Archrock. The cost of these units were treated as a reduction of parent equity in the balance sheets and a distribution to parent in the statements of cash flows and totaled $32.3 million, $59.1 million and $55.2 million during the years ended December 31, 2015, 2014 and 2013, respectively. Subsequent to November 3, 2015, sales to Archrock are considered sales to third parties.

Allocation of Expenses

For the periods prior to the Spin-off, the statements of operations also includes expense allocations for certain functions performed by Archrock which have not been historically allocated to its operating segments, including allocations of expenses related to executive oversight, accounting, treasury, tax, legal, human resources, procurement and information technology. Included in our selling, general and administrative expense during the years ended December 31, 2015, 2014 and 2013 were $46.9 million, $68.3 million and $62.6 million, respectively, of corporate expenses incurred by Archrock prior to the Spin-off. These costs were allocated to us systematically based on specific department function and revenue. Management believes the assumptions underlying the financial statements, including the assumptions regarding allocating expenses from Archrock, are reasonable. Nevertheless, the financial statements may not include all of the actual expenses that would have been incurred had we been a stand-alone public company during the periods presented and may not reflect our combined results of operations, financial position and cash flows had we been a stand-alone public company during the periods presented. Actual costs that would have been incurred if we had been a stand-alone public company would depend on multiple factors, including organizational structure and strategic decisions made in various areas, including information technology and infrastructure.

Cash Management

Prior to the closing of the Spin-off, EESLP provided centralized treasury functions for Archrock’s U.S. operations, whereby EESLP regularly transferred cash both to and from U.S. subsidiaries of Archrock, as necessary. In conjunction therewith, the intercompany transactions between our U.S. subsidiaries and the other U.S. subsidiaries of Archrock were considered to be effectively settled in cash in these financial statements for the periods prior to the Spin-off. Intercompany receivables/payables from/to related parties arising from transactions with affiliates and expenses allocated from Archrock described above were included in net distributions to parent in the financial statements.

Net Distributions to Parent

Parent equity, which included retained earnings prior to the Spin-off, represents Archrock’s interest in our recorded net assets. Prior to the Spin-off, all transactions between us and Archrock were presented in the accompanying statements of stockholders’ equity as net distributions to parent. As of November 3, 2015, parent equity was converted to common stock and additional paid-in capital. A reconciliation of net distributions to parent in the statements of stockholders’ equity to the corresponding amount presented in the statements of cash flows for all periods presented is as follows (in thousands):



	Year ended December 31,
	2015			2014			2013
Net distributions to parent per the statements of stockholders’ equity	$	(55,519	)	$	(59,947	)	$	(190,874	)
Stock-based compensation expenses prior to the Spin-off	(6,066		)	(5,288		)	(5,330		)
Stock-based compensation excess tax benefit prior to the Spin-off	1,193			3,434			941
Net transfers of property, plant and equipment to (from) parent prior to the Spin-off	(7,627		)	(17,472		)	12,578
Transfer of net deferred tax liabilities from parent at Spin-off	29,203			—			—
Net distributions to parent per the statements of cash flows	$	(38,816	)	$	(79,273	)	$	(182,685	)

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References + Details

Stockholders' Equity

12 Months Ended

Dec. 31, 2015

Equity [Abstract]

Stockholders' Equity

16. Stockholders’ Equity

The Exterran Corporation amended and restated certificate of incorporation authorizes 250.0 million shares of common stock and 50.0 million shares of preferred stock, each with a par value of $0.01 per share. To effect the Spin-off, on November 3, 2015, Archrock distributed 34,286,267 shares of our common stock to its shareholders. Archrock shareholders received one share of Exterran Corporation common stock for every two shares of Archrock common stock held at the close of business on the Record Date. Additionally, certain of Archrock’s common stock awards that were outstanding prior to the Spin-off were converted to Exterran Corporation’s common stock awards on November 3, 2015. The conversion of Archrock restricted stock into Exterran Corporation restricted stock resulted in the issuance of 505,512 shares of our common stock. See Note 17 for further discussion regarding stock-based compensation.

Pursuant to the separation and distribution agreement with Archrock and certain of our and Archrock’s respective affiliates, on November 3, 2015, EESLP transferred $532.6 million of net proceeds from borrowings under the Credit Facility to Archrock to allow it to repay a portion of its indebtedness in connection with the Spin-off.

Comprehensive Income

Components of comprehensive income are net income and all changes in stockholders’ equity during a period except those resulting from transactions with owners. Our accumulated other comprehensive income consists of foreign currency translation adjustments.

The following table presents the changes in accumulated other comprehensive income, net of tax, during the years ended December 31, 2013, 2014 and 2015 (in thousands):



	Foreign Currency Translation Adjustment
Accumulated other comprehensive income, January 1, 2013	$	26,893
Loss recognized in other comprehensive income	(2,960		)
Loss reclassified from accumulated other comprehensive income (1)	7,491
Accumulated other comprehensive income, December 31, 2013	31,424
Loss recognized in other comprehensive income	(11,871		)
Gain reclassified from accumulated other comprehensive income (2)	(2,777		)
Accumulated other comprehensive income, December 31, 2014	16,776
Loss recognized in other comprehensive income	(2,790		)
Accumulated other comprehensive income, December 31, 2015	$	13,986

(1)

During the year ended December 31, 2013, we reclassified losses of $5.1 million and $2.4 million related to foreign currency translation adjustments to income from discontinued operations, net of tax, and long-lived asset impairment, respectively, in our statements of operations. These amounts represent cumulative foreign currency translation adjustments associated with our Canadian Operations and a United Kingdom entity that previously had been recognized in accumulated other comprehensive income. See Note 3 for further discussion of the sale of our Canadian Operations. Additionally, as discussed in Note 12, we sold the entity that owned our product sales facility in the United Kingdom in July 2013 and, we recognized an impairment of long-lived assets during the year ended December 31, 2013 based on the net transaction value set forth in our agreement to sell this entity.

(2)

During the year ended December 31, 2014, we reclassified a gain of $2.8 million related to foreign currency translation adjustments to other (income) expense, net, in our statements of operations. This amount represents cumulative foreign currency translation adjustments associated with our contract operations and aftermarket services businesses in Australia, which were sold in December 2014, that previously had been recognized in accumulated other comprehensive income.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(d),(e))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB TOPIC 4.E)
-URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74512-122707

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.29-31)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB TOPIC 4.C)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187143-122770

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187085-122770

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21463-112644

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section E

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section C

+ Details

Stock-Based Compensation and Awards

12 Months Ended

Dec. 31, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Compensation and Awards

17. Stock-Based Compensation and Awards

2015 Stock Incentive Plan

On October 30, 2015, our compensation committee and board of directors each approved the Exterran Corporation 2015 Stock Incentive Plan (the “2015 Plan”) to provide for the granting of stock options, stock appreciation rights, restricted stock, restricted stock units, performance awards, other stock-based awards and dividend equivalents rights to employees, directors and consultants of Exterran Corporation. The 2015 Plan became effective on November 1, 2015. The 2015 Plan will also govern awards granted under the Archrock, Inc. 2013 Stock Incentive Plan and the Archrock, Inc. 2007 Amended and Restated Stock Incentive Plan which were adjusted into awards denominated in our common stock in accordance with the terms of the employee matters agreement and/or actions taken by our board of directors or the Archrock board of directors.

Awards granted by Archrock prior to the Spin-off (referred to as “Archrock awards”), which consisted of stock options, restricted stock, restricted stock units and performance units, were generally treated as follows in connection with the Spin-off:

•

Pre-2015 Awards. Immediately prior to the Spin-off, each outstanding Archrock stock option, restricted stock award, restricted stock unit award and performance unit award granted prior to January 1, 2015, whether vested or unvested, were split into two awards, consisting of an Archrock award and an Exterran Corporation award. For Archrock “incentive stock options” (within the meaning of Section 422 of the Code), the holder of the award had the option to elect, prior to the Spin-off, to convert such options into options denominated in shares of common stock of the applicable holder’s post-spin employer.

•

2015 Awards. Each Archrock stock option, restricted stock award, restricted stock unit award and performance unit award that was (i) granted in calendar year 2015 and (ii) held by an individual who became our employee or is engaged by us following the Spin-off were converted solely into an Exterran Corporation award. Archrock did not grant any stock options in the calendar year 2015 prior to the Spin-off.

In accordance with the anti-dilution provisions set forth in the individual Archrock award agreements, adjustments to the awards were made to ensure, to the extent possible, that the fair value of each award immediately prior to the Spin-off equals the fair value of each such award immediately following the Spin-off. Adjustment and substitution of awards did not result in additional compensation expense.

Equity awards that were adjusted as described above are generally subject to the same vesting, expiration, performance conditions and other terms and conditions as applied to the underlying Archrock awards immediately prior to the Spin-off.

Stock-based compensation expense prior to the Spin-off only related to employees directly involved in our operations, and therefore, excluded stock-based compensation expense related to Archrock employees that supported both the international services and product sales businesses and the other businesses of Archrock that it retained after the Spin-off. Stock-based compensation expense subsequent to the Spin-off relates to employees, directors and consultants of Exterran Corporation, and as discussed above, such awards may consist of awards for either our common stock or Archrock’s common stock. The following table presents the stock-based compensation expense included in our results of operations (in thousands):



	Years Ended December 31,
	2015		2014		2013
Stock options	$	348	$	496	$	506
Restricted stock, restricted stock units, performance units, cash settled restricted stock units and cash settled performance units	7,871		7,922		7,609
Total stock-based compensation expense	$	8,219	$	8,418	$	8,115

Stock Options

Stock options are granted at fair market value at the grant date, are exercisable according to the vesting schedule established and generally expire no later than ten years after the grant date. Stock options generally vest one-third per year on each of the first three anniversaries of the grant date.

The weighted average grant date fair value for stock options granted during the years ended 2014 and 2013 was $14.47 and $10.19, respectively, and was estimated using the Black-Scholes option valuation model with the weighted average assumptions in the table below. There were no stock options granted during the year ended December 31, 2015. As there were no stock option awards for Exterran Corporation’s common stock granted between November 3, 2015 and December 31, 2015, the significant assumptions presented below are the inputs Archrock used to calculate the grant date fair values of stock options granted prior to the Spin-off.



	Years Ended December 31,
	2015	2014		2013
Expected life in years	N/A	4.5		4.5
Risk-free interest rate	N/A	1.33	%	0.66	%
Volatility	N/A	46.51	%	49.19	%
Dividend yield	N/A	1.5	%	0.0	%

The risk-free interest rate was based on the U.S. Treasury yield curve in effect on the grant date for a period commensurate with the estimated expected life of the stock options. Expected volatility was based on the historical volatility of Archrock’s common stock over the period commensurate with the expected life of the stock options and other factors. The dividend yield was based on Archrock’s annualized dividend rate in effect during the quarter in which the grant was made. At the time of the stock option grants during the year ended December 31, 2013, Archrock had not historically paid any dividends and did not expect to pay any dividends during the expected life of the stock options.

The table below presents the changes in stock option awards for our common stock from November 3, 2015 through December 31, 2015. Options outstanding on the Spin-off date, November 3, 2015, relate to employees, directors and consultants of us and Archrock.



	Stock Options (in thousands)	Weighted Average Exercise Price Per Share		Weighted Average Remaining Life (in years)	Aggregate Intrinsic Value (in thousands)
Options outstanding, November 3, 2015	434	$	18.53
Granted	—	—
Exercised	—	—
Cancelled	—	—
Options outstanding, December 31, 2015	434	18.53		2.8	$	1,175
Options exercisable, December 31, 2015	380	17.25		2.5	1,175

Intrinsic value is the difference between the market value of our common stock and the exercise price of each stock option multiplied by the number of stock options outstanding for those stock options where the market value exceeds their exercise price. As of December 31, 2015, we expect $0.2 million of unrecognized compensation cost related to unvested stock options issued to our employees, directors and consultants, related to options to purchase either our common stock or Archrock’s common stock, to be recognized over the weighted-average period of 1.0 years.

Restricted Stock, Restricted Stock Units, Performance Units, Cash Settled Restricted Stock Units and Cash Settled Performance Units

For grants of restricted stock, restricted stock units and performance units, we recognize compensation expense over the vesting period equal to the fair value of our common stock at the grant date. We remeasure the fair value of cash settled restricted stock units and cash settled performance units and record a cumulative adjustment of the expense previously recognized. Our obligation related to the cash settled restricted stock units and cash settled performance units is reflected as a liability in our balance sheets. Grants of restricted stock, restricted stock units, performance units, cash settled restricted stock units and cash settled performance units generally vest one-third per year on each of the first three anniversaries of the grant date.

The table below presents changes in restricted stock, restricted stock unit, performance unit, cash settled restricted stock unit and cash settled performance unit for our common stock from November 3, 2015 through December 31, 2015. Non-vested awards on the Spin-off date, November 3, 2015, relate to employees, directors and consultants of us and Archrock. Awards granted subsequent to November 3, 2015 only relate to our employees, directors and consultants.



	Shares (in thousands)		Weighted Average Grant-Date Fair Value Per Share
Non-vested awards, November 3, 2015	668		$	25.84
Granted	362		15.37
Vested	(21	)	20.63
Cancelled	(5	)	26.68
Non-vested awards, December 31, 2015 (1)	1,004		22.17


(1)	Non-vested awards as of December 31, 2015 are comprised of 28,000 cash settled restricted stock units and cash settled performance units and 976,000 restricted shares, restricted stock units and performance units.

As of December 31, 2015, we expect $16.4 million of unrecognized compensation cost related to unvested restricted stock, restricted stock units, performance units, cash settled restricted stock units and cash settled performance units issued to our employees, in the form of either our common stock or Archrock’s common stock, to be recognized over the weighted-average period of 2.0 years.

Directors’ Stock and Deferral Plan

On October 30, 2015, our compensation committee and board of directors each approved the Exterran Corporation 2015 Directors’ Stock and Deferral Plan (the “Director Plan”). Under the Director Plan, which became effective on October 30, 2015, members of our board of directors may elect, on an annual basis, to receive 25%, 50%, 75% or 100% of their retainer and meeting fees (the “Retainer Fees”) in shares of our common stock in lieu of cash. The number of shares of our common stock issued to each director who elects to have a portion of their Retainer Fees paid in shares in lieu of cash is determined by dividing the applicable dollar amount of such portion by the closing sales price per share of our common stock on the last trading day of the quarter. Any portion of the Retainer Fees paid in cash will be paid to the director following the close of the calendar quarter for which such Retainer Fees were earned. Under the Director Plan, members of the board of directors may also elect to defer until a later date the receipt of the Retainer Fees that such director has elected to receive in the form of shares. The maximum aggregate number of shares of our common stock that may be issued under the Director Plan is 125,000 shares. The board of directors will administer the Director Plan and has the authority to make certain equitable adjustments under the Director Plan in the event of certain corporate transactions.

Net Income Per Common Share

12 Months Ended

Dec. 31, 2015

Earnings Per Share [Abstract]

Net Income Per Common Share

18. Net Income Per Common Share

Basic net income per common share is computed using the two-class method, which is an earnings allocation formula that determines net income per share for each class of common stock and participating security according to dividends declared and participation rights in undistributed earnings. Under the two-class method, basic net income per common share is determined by dividing net income after deducting amounts allocated to participating securities, by the weighted average number of common shares outstanding for the period. Participating securities include our unvested restricted stock and certain stock settled restricted stock units that have nonforfeitable rights to receive dividends or dividend equivalents, whether paid or unpaid. During periods of net loss from continuing operations, no effect is given to participating securities because they do not have a contractual obligation to participate in our losses.

Diluted net income per common share is computed using the weighted average number of common shares outstanding adjusted for the incremental common stock equivalents attributed to outstanding options to purchase common stock and non-participating restricted stock units, unless their effect would be anti-dilutive.

To effect the Spin-off, on November 3, 2015, Archrock distributed 34,286,267 shares of our common stock to its stockholders. For the periods prior to November 3, 2015, the average number of common shares outstanding used to calculate basic and diluted net income per common share was based on the shares of our common stock that were distributed on November 3, 2015. The same number of shares was used to calculate basic and diluted net income per common share for these periods since we had no equity awards outstanding prior to November 3, 2015 and we were a wholly owned subsidiary of Archrock prior to the Spin-off date.

The following table presents a reconciliation of basic and diluted net income per common share for the years ended December 31, 2015, 2014 and 2013 (in thousands):



	Years Ended December 31,
	2015			2014		2013
Numerator for basic and diluted net income per common share:
Income (loss) from continuing operations	$	(9,921	)	$	79,315	$	86,704
Income from discontinued operations, net of tax	56,132			73,198		66,149
Less: Net income attributable to participating securities	—			—		—
Net income — used in basic net income per common share	$	46,211		$	152,513	$	152,853

Weighted average common shares outstanding including participating securities	34,437			34,286		34,286
Less: Weighted average participating securities outstanding	(149		)	—		—
Weighted average common shares outstanding — used in basic net income per common share	34,288			34,286		34,286
Net dilutive potential common shares issuable:
On exercise of options and vesting of restricted stock units	*			—		—
Weighted average common shares outstanding — used in diluted net income per common share	34,288			34,286		34,286

Net income per common share:
Basic	$	1.35		$	4.45	$	4.46
Diluted	$	1.35		$	4.45	$	4.46


*	Excluded from diluted net income per common share as their inclusion would have been anti-dilutive.

The following table shows the potential shares of common stock issuable that were excluded from computing diluted net income per common share as their inclusion would have been anti-dilutive (in thousands):



	Years Ended December 31,
	2015	2014	2013
Net dilutive potential common shares issuable:
On exercise of options where exercise price is greater than average market value for the period	62	*	*
On exercise of options and vesting of restricted stock units	16	*	*
Net dilutive potential common shares issuable	78	—	—


*	Not applicable for the period.

Retirement Benefit Plan	12 Months Ended
Retirement Benefit Plan	Dec. 31, 2015
Compensation and Retirement Disclosure [Abstract]
Retirement Benefit Plan	19. Retirement Benefit Plan Our 401(k) retirement plan provides for optional employee contributions for certain employees who are U.S. citizens up to the IRS limit and discretionary employer matching contributions. We make discretionary matching contributions to each participant’s account at a rate of (i) 100% of each participant’s first 1% of contributions plus (ii) 50% of each participant’s contributions up to the next 5% of eligible compensation. For the periods prior to the Spin-off, we were allocated costs incurred by Archrock for employer matching contributions. Costs incurred for employer matching contributions of $3.6 million, $4.5 million and $4.5 million during 2015, 2014 and 2013, respectively, are presented as selling, general and administrative expense in our statements of operations.

Commitments and Contingencies

12 Months Ended

Dec. 31, 2015

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

20. Commitments and Contingencies

Rent expense for 2015, 2014 and 2013 was approximately $13.2 million, $15.5 million and $14.9 million, respectively. Commitments for future minimum rental payments with terms in excess of one year at December 31, 2015 are as follows (in thousands):



	December 31, 2015
2016	$	6,994
2017	4,932
2018	2,891
2019	1,844
2020	1,722
Thereafter	14,036
Total	$	32,419

Guarantees

We have issued the following guarantees that are not recorded on our accompanying balance sheet (dollars in thousands):



	Term	Maximum Potential Undiscounted Payments as of December 31, 2015
Performance guarantees through letters of credit (1)	2016 - 2021	$	204,747
Standby letters of credit	2016	9,052
Commercial letters of credit	2016	2,097
Bid bonds and performance bonds (1)	2016 - 2023	76,011
Maximum potential undiscounted payments		$	291,907


(1)	We have issued guarantees to third parties to ensure performance of our obligations, some of which may be fulfilled by third parties.

Contingencies

See Note 3 and Note 8 for a discussion of our gain contingencies related to assets that were expropriated in Venezuela.

Pursuant to the separation and distribution agreement, EESLP contributed to a subsidiary of Archrock the right to receive payments based on a notional amount corresponding to payments received by our subsidiaries from PDVSA Gas in respect of the sale of our and our joint ventures’ previously nationalized assets promptly after such amounts are collected by our subsidiaries until Archrock’s subsidiary has received an aggregate amount of such payments up to the lesser of (i) $125.8 million, plus the aggregate amount of all reimbursable expenses incurred by Archrock and its subsidiaries in connection with recovering any PDVSA Gas default installment payments following the completion of the Spin-off or (ii) $150.0 million. Our balance sheets do not reflect this contingent liability to Archrock or the amount payable to us by PDVSA Gas as a receivable. As of December 31, 2015, the remaining principal amount due to us from PDVSA Gas in respect of the sale of our and our joint ventures’ previously nationalized assets was approximately $79 million. In subsequent periods, the recognition of a liability, if applicable, resulting from this contingency to Archrock is expected to impact equity, and as such, is not expected to have an impact on our statements of operations.

Pursuant to the separation and distribution agreement, EESLP (in the case of debt offerings) or Exterran Corporation (in the case of equity issuances) will use its commercially reasonable efforts to complete one or more unsecured debt offerings or equity issuances resulting in aggregate gross cash proceeds of at least $250.0 million on the terms described in the Credit Agreement (such transaction, a “qualified capital raise”) on or before the maturity date of our $245.0 million term loan facility. In connection with the Spin-off, EESLP contributed to a subsidiary of Archrock the right to receive, promptly following the occurrence of a qualified capital raise, a $25.0 million cash payment. Our balance sheets do not reflect this contingent liability to Archrock. In subsequent periods, the recognition of a liability, if applicable, resulting from this contingency to Archrock is expected to impact equity, and as such, is not expected to have an impact on our statements of operations.

In addition to U.S. federal, state and local and foreign income taxes, we are subject to a number of taxes that are not income-based. As many of these taxes are subject to audit by the taxing authorities, it is possible that an audit could result in additional taxes due. We accrue for such additional taxes when we determine that it is probable that we have incurred a liability and we can reasonably estimate the amount of the liability. As of December 31, 2015 and 2014, we had accrued $3.1 million and $1.4 million, respectively, for the outcomes of non-income based tax audits. We do not expect that the ultimate resolutions of these audits will result in a material variance from the amounts accrued. We do not accrue for unasserted claims for tax audits unless we believe the assertion of a claim is probable, it is probable that it will be determined that the claim is owed and we can reasonably estimate the claim or range of the claim. We do not have any unasserted claims from non-income based tax audits that we have determined are probable of assertion. We also believe the likelihood is remote that the impact of potential unasserted claims from non-income based tax audits could be material to our financial position, but it is possible that the resolution of future audits could be material to our results of operations or cash flows for the period in which the resolution occurs.

Our business can be hazardous, involving unforeseen circumstances such as uncontrollable flows of natural gas or well fluids and fires or explosions. As is customary in our industry, we review our safety equipment and procedures and carry insurance against some, but not all, risks of our business. Our insurance coverage includes property damage, general liability and commercial automobile liability and other coverage we believe is appropriate. In addition, we have a minimal amount of insurance on our offshore assets. We believe that our insurance coverage is customary for the industry and adequate for our business; however, losses and liabilities not covered by insurance would increase our costs.

Additionally, we are substantially self-insured for workers’ compensation and employee group health claims in view of the relatively high per-incident deductibles we absorb under our insurance arrangements for these risks. Losses up to the deductible amounts are estimated and accrued based upon known facts, historical trends and industry averages.

Litigation and Claims

In the ordinary course of business, we are involved in various pending or threatened legal actions. While management is unable to predict the ultimate outcome of these actions, it believes that any ultimate liability arising from any of these actions will not have a material adverse effect on our financial position, results of operations or cash flows. However, because of the inherent uncertainty of litigation and arbitration proceedings, we cannot provide assurance that the resolution of any particular claim or proceeding to which we are a party will not have a material adverse effect on our financial position, results of operations or cash flows.

Indemnifications

In conjunction with, and effective as of the completion of, the Spin-off, we entered into the separation and distribution agreement with Archrock, which governs, among other things, the treatment between Archrock and us of aspects relating to indemnification, insurance, confidentiality and cooperation. Generally, the separation and distribution agreement provides for cross-indemnities principally designed to place financial responsibility for the obligations and liabilities of our business with us and financial responsibility for the obligations and liabilities of Archrock’s business with Archrock. Pursuant to the agreement, we and Archrock will generally release the other party from all claims arising prior to the Spin-off that relate to the other party’s business. Additionally, in conjunction with, and effective as of the completion of, the Spin-off, we entered into the tax matters agreement with Archrock. Under the tax matters agreement and subject to certain exceptions, we are generally liable for, and indemnify Archrock against, taxes attributable to our business, and Archrock is generally liable for, and indemnify us against, all taxes attributable to its business. We are generally liable for, and indemnify Archrock against, 50% of certain taxes that are not clearly attributable to our business or Archrock’s business.

Reportable Segments and Geographic Information

12 Months Ended

Dec. 31, 2015

Segment Reporting [Abstract]

Reportable Segments and Geographic Information

21. Reportable Segments and Geographic Information

We manage our business segments primarily based upon the type of product or service provided. We have three reportable segments: contract operations, aftermarket services and product sales. The contract operations segment primarily provides natural gas compression services, production and processing equipment services and maintenance services to meet specific customer requirements on assets owned by us. The aftermarket services segment provides a full range of services to support the surface production, compression and processing needs of customers, from parts sales and normal maintenance services to full operation of a customer’s owned assets. The product sales segment provides (i) design, engineering, manufacturing, installation and sale of natural gas compression units and accessories and equipment used in the production, treating and processing of crude oil and natural gas and (ii) engineering, procurement and manufacturing services related to the manufacture of critical process equipment for refinery and petrochemical facilities, the manufacture of tanks for tank farms and the manufacture of evaporators and brine heaters for desalination plants.

We evaluate the performance of our segments based on gross margin for each segment. Revenue includes sales to external customers and affiliates. We do not include intersegment sales when we evaluate our segments’ performance.

During the years ended December 31, 2015 and 2014, Archrock Partners and Archrock accounted for approximately 10% and 11%, respectively, of our total revenues. See Note 15 for further discussion on transactions with affiliates. No other customer accounted for more than 10% of our total revenues in 2015 and 2014. During the year ended December 31, 2013, no individual customer accounted for more than 10% of our total revenues.

The following table presents revenues and other financial information by reportable segment during the years ended December 31, 2015, 2014 and 2013 (in thousands):



	Contract Operations		Aftermarket Services		Product Sales		Reportable Segments Total		Other (1)		Total (2)
2015:
Revenue	$	469,900	$	127,802	$	1,272,241	$	1,869,943	$	—	$	1,869,943
Gross margin (3)	297,509		36,569		156,841		490,919		—		490,919
Total assets	795,939		31,614		370,554		1,198,107		644,061		1,842,168
Capital expenditures	138,171		709		8,894		147,774		11,151		158,925

2014:
Revenue	$	493,853	$	162,724	$	1,516,177	$	2,172,754	$	—	$	2,172,754
Gross margin (3)	308,445		42,543		245,881		596,869		—		596,869
Total assets	811,831		37,200		466,182		1,315,213		717,142		2,032,355
Capital expenditures	130,248		1,095		22,668		154,011		3,843		157,854

2013:
Revenue	$	476,016	$	160,672	$	1,778,785	$	2,415,473	$	—	$	2,415,473
Gross margin (3)	279,072		40,328		264,116		583,516		—		583,516
Total assets	820,686		33,974		490,625		1,345,285		653,835		1,999,120
Capital expenditures	66,116		1,147		27,032		94,295		5,900		100,195


(1)	Includes corporate related items.


(2)	Totals exclude assets, capital expenditures and the operating results of discontinued operations.


(3)	Gross margin, a non-GAAP financial measure, is reconciled, in total, to net income, its most directly comparable measure calculated and presented in accordance with GAAP, below.

The following table presents assets from reportable segments to total assets as of December 31, 2015 and 2014 (in thousands):



	December 31,
	2015		2014
Assets from reportable segments	$	1,198,107	$	1,315,213
Other assets (1)	644,061		717,142
Assets associated with discontinued operations	191		468
Total assets	$	1,842,359	$	2,032,823


(1)	Includes corporate related items.

The following table presents geographic data as of and during the years ended December 31, 2015, 2014 and 2013 (in thousands):



	Years Ended December 31,
	2015		2014		2013
Revenue:
U.S.	$	858,409	$	1,051,824	$	1,166,494
International	1,011,534		1,120,930		1,248,979
Total	$	1,869,943	$	2,172,754	$	2,415,473



	December 31,
	2015		2014		2013
Property, plant and equipment, net:
U.S.	$	91,476	$	87,093	$	90,915
Argentina	239,226		246,410		249,798
Brazil	128,032		119,795		122,620
Mexico	201,081		240,729		216,532
Other international	239,587		260,784		285,331
Total	$	899,402	$	954,811	$	965,196

We define gross margin as total revenue less cost of sales (excluding depreciation and amortization expense). Gross margin is included as a supplemental disclosure because it is a primary measure used by our management to evaluate the results of revenue and cost of sales (excluding depreciation and amortization expense), which are key components of our operations. As an indicator of our operating performance, gross margin should not be considered an alternative to, or more meaningful than, net income (loss) as determined in accordance with GAAP. Our gross margin may not be comparable to a similarly titled measure of another company because other entities may not calculate gross margin in the same manner.

The following table reconciles net income to gross margin (in thousands):



	Years Ended December 31,
	2015			2014			2013
Net income	$	46,211		$	152,513		$	152,853
Selling, general and administrative	223,007			267,493			264,890
Depreciation and amortization	157,817			173,803			140,029
Long-lived asset impairment	20,788			3,851			11,941
Restructuring and other charges	32,100			—			—
Interest expense	7,271			1,905			3,551
Equity in income of non-consolidated affiliates	(15,152		)	(14,553		)	(19,000		)
Other (income) expense, net	34,837			7,222			(1,966		)
Provision for income taxes	40,172			77,833			97,367
Income from discontinued operations, net of tax	(56,132		)	(73,198		)	(66,149		)
Gross margin	$	490,919		$	596,869		$	583,516

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e9038-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 33
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8971-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8595-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 35
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8984-108599

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e9054-108599

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8538-108599

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 29
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8864-108599

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8924-108599

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-URI http://asc.fasb.org/extlink&oid=51669610&loc=d3e8906-108599

+ Details

Selected Quarterly Financial Data (Unaudited)

12 Months Ended

Dec. 31, 2015

Quarterly Financial Information Disclosure [Abstract]

Selected Quarterly Financial Data (Unaudited)

22. Selected Quarterly Financial Data (Unaudited)

In management’s opinion, the summarized quarterly financial data below (in thousands, except per share amounts) contains all appropriate adjustments, all of which are normally recurring adjustments, considered necessary to present fairly our financial position and results of operations for the respective periods.



	March 31, 2015 (3)		June 30, 2015 (4)		September 30, 2015 (5)		December 31, 2015 (6)
Revenue	$	532,047	$	482,644	$	437,189	$	418,063
Gross profit (1)	104,395		84,284		80,946		58,217
Net income (loss)	37,592		8,364		12,283		(12,028		)
Net income (loss) per common share:
Basic (2)	$	1.10	$	0.24	$	0.36	$	(0.35	)
Diluted (2)	1.10		0.24		0.36		(0.35		)



	March 31, 2014 (7)		June 30, 2014 (8)		September 30, 2014 (9)		December 31, 2014 (10)
Revenue	$	473,132	$	550,694	$	537,759	$	611,169
Gross profit (1)	108,919		91,582		110,783		123,868
Net income	43,029		25,500		36,891		47,093
Net income per common share:
Basic (2)	$	1.26	$	0.74	$	1.08	$	1.37
Diluted (2)	1.26		0.74		1.08		1.37


(1)	Gross profit is defined as revenue less cost of sales, direct depreciation and amortization expense and long-lived asset impairment charges.


(2)	For the periods prior to November 3, 2015, the average number of common shares outstanding used to calculate basic and diluted net income (loss) per common share was based on 34,286,267 shares of our common stock that were distributed by Archrock in the Spin-off on November 3, 2015.


(3)	In the first quarter of 2015, we recorded $18.7 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3), $5.0 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8) and $4.6 million of long-lived asset impairments (see Note 12).


(4)	In the second quarter of 2015, we recorded $10.5 million of restructuring and other charges (see Note 13), $5.9 million of long-lived asset impairments (see Note 12) and $5.1 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8).

(5)

In the third quarter of 2015 we recorded $18.9 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3), $7.2 million of restructuring and other charges (see Note 13), $5.1 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8) and $3.8 million of long-lived asset impairments (see Note 12).


(6)	In the fourth quarter of 2015, we recorded $19.1 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3), $14.4 million of restructuring and other charges (see Note 13) and $6.5 million of long-lived asset impairments (see Note 12).


(7)	In the first quarter of 2014, we recorded $17.8 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3) and $4.7 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8).


(8)	In the second quarter of 2014, we recorded $18.1 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3) and $4.9 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8).


(9)	In the third quarter of 2014, we recorded $18.2 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3), $5.0 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8) and $1.1 million of long-lived asset impairments (see Note 12).


(10)	In the fourth quarter of 2014, we recorded $18.5 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3) and $2.8 million of long-lived asset impairments (see Note 12).

Subsequent Events	12 Months Ended
Subsequent Events	Dec. 31, 2015
Subsequent Events [Abstract]
Subsequent Events	23. Subsequent Events In January 2016, we received an additional installment payment, including an annual charge, of $5.2 million from PDVSA Gas relating to the 2012 sale of our Venezuelan joint ventures’ previously nationalized assets. As we have not recognized amounts payable to us by PDVSA Gas relating to the 2012 sale of our Venezuelan joint ventures’ previously nationalized assets as a receivable but rather as equity in income of non-consolidated affiliates in the periods such payments are received, the installment payment received in January 2016 will be recognized as equity in income of nonconsolidated affiliates in the first quarter of 2016. Pursuant to the separation and distribution agreement, a notional amount corresponding to the cash we received from the PDVSA Gas installment payment was transferred to Archrock in January 2016. The transfer of cash will be recognized as a reduction to stockholders’ equity in the first quarter of 2016.

SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS

12 Months Ended

Dec. 31, 2015

Valuation and Qualifying Accounts [Abstract]

SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS

EXTERRAN CORPORATION

SCHEDULE II

VALUATION AND QUALIFYING ACCOUNTS

(In thousands)



Description	Balance at Beginning of Period		Charged to Costs and Expenses			Deductions			Balance at End of Period
Allowance for doubtful accounts deducted from accounts receivable in the balance sheets
December 31, 2015	$	2,133	$	3,457		$	2,722	(1)	$	2,868
December 31, 2014	7,381		641			5,889		(1)	2,133
December 31, 2013	12,073		2,317			7,009		(1)	7,381
Allowance for obsolete and slow moving inventory deducted from inventories in the balance sheets
December 31, 2015	$	8,660	$	15,590		$	9,764	(2)	$	14,486
December 31, 2014	8,231		3,186			2,757		(2)	8,660
December 31, 2013	7,629		631			29		(2)	8,231
Allowance for deferred tax assets not expected to be realized
December 31, 2015	$	105,139	$	89,245	(3)	$	34,686	(4)	$	159,698
December 31, 2014	101,785		30,944			27,590		(4)	105,139
December 31, 2013	84,113		31,978			14,306		(4)	101,785


(1)	Uncollectible accounts written off.


(2)	Obsolete inventory written off at cost, net of value received.


(3)	Includes $45.0 million in allowance against foreign tax credits transferred from Archrock pursuant to the Spin-off.


(4)	Reflects expected realization of deferred tax assets and amounts credited to other accounts for stock-based compensation excess tax benefits, expiring net operating losses, changes in tax rates and changes in currency exchange rates.

Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2015

Accounting Policies [Abstract]

Basis of Presentation

•


•	Our consolidated balance sheet at December 31, 2015 consists of the consolidated balances of Exterran Corporation, while at December 31, 2014, it consists entirely of the combined balances of Archrock’s international services and product sales businesses.

Investments in affiliated entities in which we own more than a 20% interest and do not have a controlling interest are accounted for using the equity method.

Use of Estimates in the Financial Statements

Cash and Cash Equivalents

We consider all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents.

Restricted Cash

Revenue Recognition

Concentrations of Credit Risk

Inventory

Property, Plant and Equipment

Property, plant and equipment are recorded at cost and depreciated using the straight-line method over their estimated useful lives as follows:



Compression equipment, facilities and other fleet assets	3 to 30 years
Buildings	20 to 35 years
Transportation, shop equipment and other	3 to 12 years

Computer Software

Long-Lived Assets

Deferred Revenue

Other (Income) Expense, Net

Income Taxes

Foreign Currency Translation

Financial Instruments

Recent Accounting Developments

Discontinued Operations (Tables)

12 Months Ended

Dec. 31, 2015

Discontinued Operations and Disposal Groups [Abstract]

Summary of Operating Results and Balance Sheet Data for Discontinued Operations

The following table summarizes the operating results of discontinued operations (in thousands):



	Years Ended December 31,
	2015			2014			2013
	Venezuela			Venezuela			Venezuela			Canada			Total
Revenue	$	—		$	—		$	—		$	24,458		$	24,458
Expenses and selling, general and administrative	185			479			883			21,810			22,693
Loss (recovery) attributable to expropriation and impairments	(50,074		)	(66,040		)	(66,344		)	6,376			(59,968		)
Other income, net	(6,243		)	(7,637		)	(4,552		)	(30		)	(4,582		)
Provision for income taxes	—			—			—			166			166
Income (loss) from discontinued operations, net of tax	$	56,132		$	73,198		$	70,013		$	(3,864	)	$	66,149

The following table summarizes the balance sheet data for discontinued operations (in thousands):



	December 31,
	2015		2014
Cash	$	177	$	431
Accounts receivable	—		2
Other current assets	14		35
Total current assets associated with discontinued operations	191		468
Total assets associated with discontinued operations	$	191	$	468

Accounts payable	$	—	$	214
Accrued liabilities	1,249		1,124
Total current liabilities associated with discontinued operations	1,249		1,338
Other long-term liabilities	158		317
Total liabilities associated with discontinued operations	$	1,407	$	1,655

- Definition

Tabular disclosure of information related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=51716988&loc=SL51721533-107759

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721665-107760

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1474-107760

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1361-107760

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721683-107760

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=51719941&loc=SL51724579-110230

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5C
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721675-107760

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 4A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721663-107760

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 360
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=51719941&loc=d3e2941-110230

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5B
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721673-107760

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721659-107760

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5A
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721671-107760

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5D
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721677-107760

+ Details

Product Sales Contracts (Tables)

12 Months Ended

Dec. 31, 2015

Contractors [Abstract]

Costs, Estimated Earnings and Billings on Uncompleted Contracts

Costs, estimated earnings and billings on uncompleted contracts that are recognized using the percentage-of-completion method consisted of the following (in thousands):



	December 31,
	2015			2014
Costs incurred on uncompleted contracts	$	722,983		$	811,977
Estimated earnings	84,348			134,569
	807,331			946,546
Less — billings to date	(726,376		)	(901,885		)
	$	80,955		$	44,661

Costs, Estimated Earnings and Billings on Uncompleted Contracts as Presented in the Financial Statements

Costs, estimated earnings and billings on uncompleted contracts are presented in the accompanying financial statements as follows (in thousands):



	December 31,
	2015			2014
Costs and estimated earnings in excess of billings on uncompleted contracts	$	119,621		$	120,938
Billings on uncompleted contracts in excess of costs and estimated earnings	(38,666		)	(76,277		)
	$	80,955		$	44,661

Property, Plant and Equipment, net (Tables)

12 Months Ended

Dec. 31, 2015

Property, Plant and Equipment [Abstract]

Schedule of Property, Plant and Equipment, Net

Property, plant and equipment, net, consisted of the following (in thousands):



	December 31,
	2015			2014
Compression equipment, facilities and other fleet assets	$	1,530,223		$	1,514,982
Land and buildings	153,449			154,866
Transportation and shop equipment	181,396			194,032
Other	100,099			112,732
	1,965,167			1,976,612
Accumulated depreciation	(1,065,765		)	(1,021,801		)
Property, plant and equipment, net	$	899,402		$	954,811

Intangible and Other Assets, net (Tables)

12 Months Ended

Dec. 31, 2015

Intangible and Other Assets, net.

Schedule of Intangible and Other Assets, Net

Intangible and other assets, net, consisted of the following (in thousands):



	December 31,
	2015		2014
Intangible assets, net	$	17,809	$	23,788
Recoverable foreign social security tax	15,165		19,372
Deferred financing costs	7,399		—
Other	21,888		22,519
Intangibles and other assets, net	$	62,261	$	65,679

Summary of Intangible Assets and Deferred Financing Costs

Intangible assets and deferred financing costs consisted of the following (in thousands):



	December 31, 2015					December 31, 2014
	Gross Carrying Amount		Accumulated Amortization			Gross Carrying Amount		Accumulated Amortization
Deferred financing costs (1)	$	7,673	$	(274	)	$	—	$	—
Marketing related (20 year life)	2,537		(1,759		)	2,638		(1,747		)
Customer related (17-20 year life)	78,271		(61,888		)	81,088		(59,918		)
Technology based (20 year life)	3,252		(3,014		)	3,843		(3,480		)
Contract based (2-11 year life)	43,930		(43,520		)	44,983		(43,619		)
Intangible assets and deferred financing costs	$	135,663	$	(110,455	)	$	132,552	$	(108,764	)


(1)	Represents debt issuance costs relating to our revolving credit facility. See Note 10 for further discussion regarding our revolving credit facility.

Estimated Future Intangible Amortization Expense

Estimated future intangible amortization expense is as follows (in thousands):



2016	$	4,236
2017	3,131
2018	2,561
2019	2,112
2020	1,790
Thereafter	3,979
Total	$	17,809

Long-Term Debt (Tables)

12 Months Ended

Dec. 31, 2015

Debt Disclosure [Abstract]

Schedule of Long-Term Debt

Long-term debt consisted of the following (in thousands):



	December 31,
	2015			2014
Revolving credit facility due November 2020	$	285,000		$	—
Term loan facility due November 2017	245,000			—
Other, interest at various rates, collateralized by equipment and other assets	836			1,107
Unamortized deferred financing costs	(5,243		)	—
Long-term debt	$	525,593		$	1,107

Contractual Maturities of Long-Term Debt (Excluding Interest to be Accrued Thereon)

Contractual maturities of long-term debt (excluding interest to be accrued thereon) at December 31, 2015 are as follows (in thousands):



	December 31, 2015
2016	$	12,250	(1)
2017	233,003		(1)
2018	253
2019	253
2020	285,077
Thereafter	—
Total debt	$	530,836	(1)

(1)

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=34725769&loc=d3e28878-108400

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21538-112644

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=6451184&loc=d3e28541-108399

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6451184&loc=d3e28551-108399

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21521-112644

+ Details

Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2015

Fair Value Disclosures [Abstract]

Summary of Assets and Liabilities Measured at Fair Value on Nonrecurring Basis



	Year ended December 31, 2015						Year ended December 31, 2014
	(Level 1)		(Level 2)		(Level 3)		(Level 1)		(Level 2)		(Level 3)
Impaired long-lived assets	$	—	$	—	$	995	$	—	$	—	$	—
Long-term receivable from the sale of our Canadian Operations	—		—		5,100		—		—		—

Restructuring and Other Charges (Tables)

12 Months Ended

Dec. 31, 2015

Restructuring and Related Activities [Abstract]

Summary of Changes to Accrued Liability Balance Related to Restructuring and Other Charges

The following table summarizes the changes to our accrued liability balance related to restructuring and other charges for the year ended December 31, 2015 (in thousands):



	Spin-off			Cost Reduction Plan			Total
Beginning balance at January 1, 2015	$	—		$	—		$	—
Additions for costs expensed	15,749			16,351			32,100
Less non-cash expense	(4,843		)	(4,007		)	(8,850		)
Reductions for payments	(9,823		)	(11,779		)	(21,602		)
Ending balance at December 31, 2015	$	1,083		$	565		$	1,648

Summary of the Components of Charges Included in Restructuring and Other Charges

The following table summarizes the components of charges included in restructuring and other charges in our statements of operations for the year ended December 31, 2015 (in thousands):



	Year ended December 31, 2015
Financial advisor fees related to the Spin-off	$	4,598
Consulting fees	2,717
Start-up of stand-alone functions	1,332
Retention awards to certain employees	3,121
Chief Executive Officer signing bonus	2,000
Non-cash inventory write-downs	8,707
Employee termination benefits	9,625
Total restructuring and other charges	$	32,100

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Components of Income Before Income Taxes

The components of income before income taxes were as follows (in thousands):



	Years Ended December 31,
	2015			2014		2013
United States	$	(5,929	)	$	84,549	$	134,946
Foreign	36,180			72,599		49,125
Income before income taxes	$	30,251		$	157,148	$	184,071

Provision for Income Taxes

The provision for income taxes consisted of the following (in thousands):



	Years Ended December 31,
	2015			2014			2013
Current tax provision:
U.S. federal	$	383		$	6,128		$	20,511
State	1,201			2,136			4,169
Foreign	63,692			56,029			55,790
Total current	65,276			64,293			80,470
Deferred tax provision (benefit):
U.S. federal	(29,954		)	12,503			10,045
State	(484		)	(753		)	(865		)
Foreign	5,334			1,790			7,717
Total deferred	(25,104		)	13,540			16,897
Provision for income taxes	$	40,172		$	77,833		$	97,367

Reconciliation of Effective Tax Rate and U.S. Statutory Rate

The reasons for the differences between these effective tax rates and the U.S. statutory rate of 35% are as follows (in thousands):



	Years Ended December 31,
	2015			2014			2013
Income taxes at U.S. federal statutory rate of 35%	$	10,588		$	55,002		$	64,425
Net state income taxes	466			976			2,145
Foreign taxes	37,260			31,289			28,470
Foreign tax credits	(17,398		)	(10,942		)	(16,355		)
Research and development credits	(24,938		)	—			—
Unrecognized tax benefits	6,187			403			2,473
Valuation allowances	33,328			7,884			22,795
Proceeds from sale of joint venture assets	(5,315		)	(5,162		)	(6,650		)
Other	(6		)	(1,617		)	64
Provision for income taxes	$	40,172		$	77,833		$	97,367

Tax Effects of Deferred Tax Assets and Deferred Tax Liabilities

The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities are as follows (in thousands):



	December 31,
	2015			2014
Deferred tax assets:
Net operating loss carryforwards	$	134,500		$	104,733
Inventory	3,919			2,105
Accrued liabilities	3,188			8,330
Foreign tax credit carryforwards	72,019			62,940
Research and development credit carryforwards	31,251			—
Alternative minimum tax credit carryforwards	5,145			—
Deferred revenue	23,894			19,370
Stock-based compensation expense	1,769			14,290
Other	23,017			16,387
Subtotal	298,702			228,155
Valuation allowances	(159,698		)	(105,139		)
Total deferred tax assets	139,004			123,016
Deferred tax liabilities:
Property, plant and equipment	(74,728		)	(55,042		)
Total deferred tax liabilities	(74,728		)	(55,042		)
Net deferred tax assets	$	64,276		$	67,974

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits (including discontinued operations) is shown below (in thousands):



	Years Ended December 31,
	2015			2014			2013
Beginning balance	$	8,356		$	9,033		$	7,736
Additions based on tax positions related to prior years	6,448			—			1,710
Additions based on tax positions related to current year	261			—			—
Reductions based on lapse of statute of limitations	(122		)	(215		)	(97		)
Reductions based on tax positions related to prior years	—			(462		)	(316		)
Ending balance	$	14,943		$	8,356		$	9,033

Stockholders' Equity (Tables)

12 Months Ended

Dec. 31, 2015

Equity [Abstract]

Changes in Accumulated Other Comprehensive Income, Net of Tax

The following table presents the changes in accumulated other comprehensive income, net of tax, during the years ended December 31, 2013, 2014 and 2015 (in thousands):



	Foreign Currency Translation Adjustment
Accumulated other comprehensive income, January 1, 2013	$	26,893
Loss recognized in other comprehensive income	(2,960		)
Loss reclassified from accumulated other comprehensive income (1)	7,491
Accumulated other comprehensive income, December 31, 2013	31,424
Loss recognized in other comprehensive income	(11,871		)
Gain reclassified from accumulated other comprehensive income (2)	(2,777		)
Accumulated other comprehensive income, December 31, 2014	16,776
Loss recognized in other comprehensive income	(2,790		)
Accumulated other comprehensive income, December 31, 2015	$	13,986

(1)

(2)

Stock-Based Compensation and Awards (Tables)

12 Months Ended

Dec. 31, 2015

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of Stock-based Compensation Expense Included in Results of Operations

The following table presents the stock-based compensation expense included in our results of operations (in thousands):



	Years Ended December 31,
	2015		2014		2013
Stock options	$	348	$	496	$	506
Restricted stock, restricted stock units, performance units, cash settled restricted stock units and cash settled performance units	7,871		7,922		7,609
Total stock-based compensation expense	$	8,219	$	8,418	$	8,115

Schedule of Weighted Average Assumptions



	Years Ended December 31,
	2015	2014		2013
Expected life in years	N/A	4.5		4.5
Risk-free interest rate	N/A	1.33	%	0.66	%
Volatility	N/A	46.51	%	49.19	%
Dividend yield	N/A	1.5	%	0.0	%

Summary of Stock Option Activity



	Stock Options (in thousands)	Weighted Average Exercise Price Per Share		Weighted Average Remaining Life (in years)	Aggregate Intrinsic Value (in thousands)
Options outstanding, November 3, 2015	434	$	18.53
Granted	—	—
Exercised	—	—
Cancelled	—	—
Options outstanding, December 31, 2015	434	18.53		2.8	$	1,175
Options exercisable, December 31, 2015	380	17.25		2.5	1,175

Schedule of Restricted Stock, Restricted Stock Unit, Performance Unit, Cash Settled Restricted Stock Unit and Cash Settled Performance Unit Activity



	Shares (in thousands)		Weighted Average Grant-Date Fair Value Per Share
Non-vested awards, November 3, 2015	668		$	25.84
Granted	362		15.37
Vested	(21	)	20.63
Cancelled	(5	)	26.68
Non-vested awards, December 31, 2015 (1)	1,004		22.17


(1)	Non-vested awards as of December 31, 2015 are comprised of 28,000 cash settled restricted stock units and cash settled performance units and 976,000 restricted shares, restricted stock units and performance units.

Net Income Per Common Share (Tables)

12 Months Ended

Dec. 31, 2015

Earnings Per Share [Abstract]

Reconciliation of basic and diluted net income per common share

The following table presents a reconciliation of basic and diluted net income per common share for the years ended December 31, 2015, 2014 and 2013 (in thousands):



	Years Ended December 31,
	2015			2014		2013
Numerator for basic and diluted net income per common share:
Income (loss) from continuing operations	$	(9,921	)	$	79,315	$	86,704
Income from discontinued operations, net of tax	56,132			73,198		66,149
Less: Net income attributable to participating securities	—			—		—
Net income — used in basic net income per common share	$	46,211		$	152,513	$	152,853

Weighted average common shares outstanding including participating securities	34,437			34,286		34,286
Less: Weighted average participating securities outstanding	(149		)	—		—
Weighted average common shares outstanding — used in basic net income per common share	34,288			34,286		34,286
Net dilutive potential common shares issuable:
On exercise of options and vesting of restricted stock units	*			—		—
Weighted average common shares outstanding — used in diluted net income per common share	34,288			34,286		34,286

Net income per common share:
Basic	$	1.35		$	4.45	$	4.46
Diluted	$	1.35		$	4.45	$	4.46


*	Excluded from diluted net income per common share as their inclusion would have been anti-dilutive.

Schedule of potential shares of common stock issuable, excluded from computation of diluted income, per common share



	Years Ended December 31,
	2015	2014	2013
Net dilutive potential common shares issuable:
On exercise of options where exercise price is greater than average market value for the period	62	*	*
On exercise of options and vesting of restricted stock units	16	*	*
Net dilutive potential common shares issuable	78	—	—


*	Not applicable for the period.

Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2015

Commitments and Contingencies Disclosure [Abstract]

Schedule of Future Minimum Rental Payments

Commitments for future minimum rental payments with terms in excess of one year at December 31, 2015 are as follows (in thousands):



	December 31, 2015
2016	$	6,994
2017	4,932
2018	2,891
2019	1,844
2020	1,722
Thereafter	14,036
Total	$	32,419

Schedule of Guarantees

We have issued the following guarantees that are not recorded on our accompanying balance sheet (dollars in thousands):



	Term	Maximum Potential Undiscounted Payments as of December 31, 2015
Performance guarantees through letters of credit (1)	2016 - 2021	$	204,747
Standby letters of credit	2016	9,052
Commercial letters of credit	2016	2,097
Bid bonds and performance bonds (1)	2016 - 2023	76,011
Maximum potential undiscounted payments		$	291,907


(1)	We have issued guarantees to third parties to ensure performance of our obligations, some of which may be fulfilled by third parties.

Reportable Segments and Geographic Information (Tables)

12 Months Ended

Dec. 31, 2015

Segment Reporting [Abstract]

Revenue and Other Financial Information by Reportable Segment

The following table presents revenues and other financial information by reportable segment during the years ended December 31, 2015, 2014 and 2013 (in thousands):



	Contract Operations		Aftermarket Services		Product Sales		Reportable Segments Total		Other (1)		Total (2)
2015:
Revenue	$	469,900	$	127,802	$	1,272,241	$	1,869,943	$	—	$	1,869,943
Gross margin (3)	297,509		36,569		156,841		490,919		—		490,919
Total assets	795,939		31,614		370,554		1,198,107		644,061		1,842,168
Capital expenditures	138,171		709		8,894		147,774		11,151		158,925

2014:
Revenue	$	493,853	$	162,724	$	1,516,177	$	2,172,754	$	—	$	2,172,754
Gross margin (3)	308,445		42,543		245,881		596,869		—		596,869
Total assets	811,831		37,200		466,182		1,315,213		717,142		2,032,355
Capital expenditures	130,248		1,095		22,668		154,011		3,843		157,854

2013:
Revenue	$	476,016	$	160,672	$	1,778,785	$	2,415,473	$	—	$	2,415,473
Gross margin (3)	279,072		40,328		264,116		583,516		—		583,516
Total assets	820,686		33,974		490,625		1,345,285		653,835		1,999,120
Capital expenditures	66,116		1,147		27,032		94,295		5,900		100,195


(1)	Includes corporate related items.


(2)	Totals exclude assets, capital expenditures and the operating results of discontinued operations.


(3)	Gross margin, a non-GAAP financial measure, is reconciled, in total, to net income, its most directly comparable measure calculated and presented in accordance with GAAP, below.

Assets from Reportable Segments to Total Assets

The following table presents assets from reportable segments to total assets as of December 31, 2015 and 2014 (in thousands):



	December 31,
	2015		2014
Assets from reportable segments	$	1,198,107	$	1,315,213
Other assets (1)	644,061		717,142
Assets associated with discontinued operations	191		468
Total assets	$	1,842,359	$	2,032,823


(1)	Includes corporate related items.

Schedule of Geographic Data

The following table presents geographic data as of and during the years ended December 31, 2015, 2014 and 2013 (in thousands):



	Years Ended December 31,
	2015		2014		2013
Revenue:
U.S.	$	858,409	$	1,051,824	$	1,166,494
International	1,011,534		1,120,930		1,248,979
Total	$	1,869,943	$	2,172,754	$	2,415,473



	December 31,
	2015		2014		2013
Property, plant and equipment, net:
U.S.	$	91,476	$	87,093	$	90,915
Argentina	239,226		246,410		249,798
Brazil	128,032		119,795		122,620
Mexico	201,081		240,729		216,532
Other international	239,587		260,784		285,331
Total	$	899,402	$	954,811	$	965,196

Reconciliation of Net Income to Gross Margin

The following table reconciles net income to gross margin (in thousands):



	Years Ended December 31,
	2015			2014			2013
Net income	$	46,211		$	152,513		$	152,853
Selling, general and administrative	223,007			267,493			264,890
Depreciation and amortization	157,817			173,803			140,029
Long-lived asset impairment	20,788			3,851			11,941
Restructuring and other charges	32,100			—			—
Interest expense	7,271			1,905			3,551
Equity in income of non-consolidated affiliates	(15,152		)	(14,553		)	(19,000		)
Other (income) expense, net	34,837			7,222			(1,966		)
Provision for income taxes	40,172			77,833			97,367
Income from discontinued operations, net of tax	(56,132		)	(73,198		)	(66,149		)
Gross margin	$	490,919		$	596,869		$	583,516

Selected Quarterly Financial Data (Unaudited) (Tables)

12 Months Ended

Dec. 31, 2015

Quarterly Financial Information Disclosure [Abstract]

Schedule of Quarterly Financial Data



	March 31, 2015 (3)		June 30, 2015 (4)		September 30, 2015 (5)		December 31, 2015 (6)
Revenue	$	532,047	$	482,644	$	437,189	$	418,063
Gross profit (1)	104,395		84,284		80,946		58,217
Net income (loss)	37,592		8,364		12,283		(12,028		)
Net income (loss) per common share:
Basic (2)	$	1.10	$	0.24	$	0.36	$	(0.35	)
Diluted (2)	1.10		0.24		0.36		(0.35		)



	March 31, 2014 (7)		June 30, 2014 (8)		September 30, 2014 (9)		December 31, 2014 (10)
Revenue	$	473,132	$	550,694	$	537,759	$	611,169
Gross profit (1)	108,919		91,582		110,783		123,868
Net income	43,029		25,500		36,891		47,093
Net income per common share:
Basic (2)	$	1.26	$	0.74	$	1.08	$	1.37
Diluted (2)	1.26		0.74		1.08		1.37


(1)	Gross profit is defined as revenue less cost of sales, direct depreciation and amortization expense and long-lived asset impairment charges.


(2)	For the periods prior to November 3, 2015, the average number of common shares outstanding used to calculate basic and diluted net income (loss) per common share was based on 34,286,267 shares of our common stock that were distributed by Archrock in the Spin-off on November 3, 2015.


(3)	In the first quarter of 2015, we recorded $18.7 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3), $5.0 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8) and $4.6 million of long-lived asset impairments (see Note 12).


(4)	In the second quarter of 2015, we recorded $10.5 million of restructuring and other charges (see Note 13), $5.9 million of long-lived asset impairments (see Note 12) and $5.1 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8).

(5)


(6)	In the fourth quarter of 2015, we recorded $19.1 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3), $14.4 million of restructuring and other charges (see Note 13) and $6.5 million of long-lived asset impairments (see Note 12).


(7)	In the first quarter of 2014, we recorded $17.8 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3) and $4.7 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8).


(8)	In the second quarter of 2014, we recorded $18.1 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3) and $4.9 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8).


(9)	In the third quarter of 2014, we recorded $18.2 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3), $5.0 million of equity in income of non-consolidated affiliates from the sale of our Venezuelan joint ventures’ assets (see Note 8) and $1.1 million of long-lived asset impairments (see Note 12).


(10)	In the fourth quarter of 2014, we recorded $18.5 million of net proceeds from the sale of previously nationalized Venezuelan assets to PDVSA Gas (see Note 3) and $2.8 million of long-lived asset impairments (see Note 12).

Description of Business, Spin-Off and Basis of Presentation (Details) $ in Thousands		12 Months Ended
	Nov. 03, 2015 USD ($)	Dec. 31, 2015 USD ($) business_line	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of business lines \| business_line		3
Related Party Transaction [Line Items]
Cash transfer to Archrock, Inc. at Spin-off		$ 532,578	$ 0	$ 0
Archrock
Related Party Transaction [Line Items]
Cash transfer to Archrock, Inc. at Spin-off	$ 532,600
Exterran Corporation
Related Party Transaction [Line Items]
Common stock, distribution basis for issued shares	0.5

Significant Accounting Policies - Concentrations of Credit Risk (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Accounting Policies [Abstract]
Minimum period after receivable balances are past due that significant accounts are reviewed individually for collectability (greater than)	90 days
Bad debt expense	$ 3.5	$ 0.6	$ 2.3

Significant Accounting Policies - Property, Plant and Equipment (Details)	12 Months Ended
	Dec. 31, 2015
Compression equipment, facilities and other fleet assets \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life	3 years
Compression equipment, facilities and other fleet assets \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life	30 years
Building \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life	20 years
Building \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life	35 years
Transportation, shop equipment and other \| Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life	3 years
Transportation, shop equipment and other \| Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life	12 years

Significant Accounting Policies - Computer Software (Details) - Computer software	12 Months Ended
	Dec. 31, 2015
Minimum
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life	3 years
Maximum
Property, Plant and Equipment [Line Items]
Property, plant and equipment useful life	5 years

Significant Accounting Policies - Foreign Currency Translation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Foreign currency loss	$ 35,100	$ 8,800	$ 3,000
Non-cash losses from foreign currency exchange rate changes on intercompany obligations	28,984	3,614	$ 4,313
Brazil
Foreign currency loss	28,600
Argentina
Loss on investment in US Dollar Denominated Investments	$ 4,900	$ 6,500

Significant Accounting Policies - Recent Accounting Developments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2015
New Accounting Pronouncement, Early Adoption [Line Items]
Increase in noncurrent deferred income tax assets	$ 106,789	$ 86,807
Increase in noncurrent deferred income tax liabilities	38,815	22,531
Debt Instrument [Line Items]
Transaction costs, intangible assets	0	7,399
Transaction costs, debt	0	5,243
Line of Credit \| Revolving credit facility due November 2020
Debt Instrument [Line Items]
Transaction costs, intangible assets		7,700
Term Loan \| Term loan facility due November 2017
Debt Instrument [Line Items]
Transaction costs, debt		5,600
Adjustments for New Accounting Principle, Early Adoption
New Accounting Pronouncement, Early Adoption [Line Items]
Decrease in current deferred tax assets	48,900
Increase in noncurrent deferred income tax assets	48,900
Decrease in current deferred income tax liabilities	600
Increase in noncurrent deferred income tax liabilities	600
Decrease in working capital	$ 48,300
Intangible and Other Assets \| Line of Credit \| Revolving credit facility due November 2020
Debt Instrument [Line Items]
Transaction costs, intangible assets		7,700
Long-term Debt \| Term Loan \| Term loan facility due November 2017
Debt Instrument [Line Items]
Transaction costs, debt		$ 5,600

Discontinued Operations (Details) $ in Thousands, CAD in Millions	1 Months Ended		3 Months Ended							12 Months Ended
	Jul. 31, 2013 USD ($)	Aug. 31, 2012 USD ($)	Dec. 31, 2015 USD ($)	Sep. 30, 2015 USD ($)	Mar. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Sep. 30, 2014 USD ($)	Jun. 30, 2014 USD ($)	Mar. 31, 2014 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)	Jul. 31, 2013 CAD
Summary of operating results of discontinued operations
Revenue												$ 24,458
Expenses and selling, general and administrative												22,693
Loss (recovery) attributable to expropriation and impairments												(59,968)
Other income, net												(4,582)
Provision for income taxes												166
Income (loss) from discontinued operations, net of tax										$ 56,132	$ 73,198	66,149
Summary of balance sheet data of discontinued operations
Total current assets associated with discontinued operations			$ 191			$ 468				191	468
Total current liabilities associated with discontinued operations			1,249			1,338				1,249	1,338
Venezuela
Discontinued Operations
Sale price of expropriated assets		$ 441,700
Initial payment received from sale of expropriated assets		176,700
Remitted amount		$ 50,000
Installment payments, including an annual charge, received from sale of expropriated assets			19,100	$ 18,900	$ 18,700	18,500	$ 18,200	$ 18,100	$ 17,800	56,600	72,600	69,300
Remaining expected proceeds from sale of expropriated assets			66,000							66,000
Summary of operating results of discontinued operations
Revenue										0	0	0
Expenses and selling, general and administrative										185	479	883
Loss (recovery) attributable to expropriation and impairments										(50,074)	(66,040)	(66,344)
Other income, net										(6,243)	(7,637)	(4,552)
Provision for income taxes										0	0	0
Income (loss) from discontinued operations, net of tax										56,132	73,198	70,013
Summary of balance sheet data of discontinued operations
Cash			177			431				177	431
Accounts receivable			0			2				0	2
Other current assets			14			35				14	35
Total current assets associated with discontinued operations			191			468				191	468
Total assets associated with discontinued operations			191			468				191	468
Accounts payable			0			214				0	214
Accrued liabilities			1,249			1,124				1,249	1,124
Total current liabilities associated with discontinued operations			1,249			1,338				1,249	1,338
Other long-term liabilities			158			317				158	317
Total liabilities associated with discontinued operations			$ 1,407			$ 1,655				$ 1,407	$ 1,655
Canada
Discontinued Operations
Impairment charges												6,400
Cash proceeds	$ 12,300
Note receivable \| CAD													CAD 8.1
Contingent consideration \| CAD													5.0
Potential tax refund \| CAD													CAD 1.6
Summary of operating results of discontinued operations
Revenue												24,458
Expenses and selling, general and administrative												21,810
Loss (recovery) attributable to expropriation and impairments												6,376
Other income, net												(30)
Provision for income taxes												166
Income (loss) from discontinued operations, net of tax												$ (3,864)

Inventory, net (Details) - USD ($) $ in Thousands	12 Months Ended
Inventory, net (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Composition of inventory, net of reserves
Parts and supplies	$ 136,031	$ 148,724
Work in progress	41,184	108,814
Finished goods	33,339	33,702
Inventory, net	210,554	291,240
Inventory write-downs	15,600	3,200	$ 600
Inventory reserves	14,500	8,700
Restructuring and other charges related to inventory write-downs associated with restructuring activities	8,700
Inventory [Line Items]
Work in progress	$ 41,184	108,814
Affiliates
Composition of inventory, net of reserves
Work in progress		33,500
Inventory [Line Items]
Work in progress		$ 33,500

Product Sales Contracts - Uncompleted Contracts, Percentage-of-Completion (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Costs, estimated earnings and billings on uncompleted contracts
Costs incurred on uncompleted contracts	$ 722,983	$ 811,977
Estimated earnings	84,348	134,569
Cost incurred and estimated earnings before billings on uncompleted contracts	807,331	946,546
Less — billings to date	(726,376)	(901,885)
Total costs incurred and estimated earnings less billings	$ 80,955	$ 44,661

Product Sales Contracts - Uncompleted Contracts, as Presented in Financial Statements (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Contractors [Abstract]
Costs and estimated earnings in excess of billings on uncompleted contracts	$ 119,621	$ 120,938
Billings on uncompleted contracts in excess of costs and estimated earnings	(38,666)	(76,277)
Total costs incurred and estimated earnings less billings	$ 80,955	$ 44,661

Property, Plant and Equipment, net (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 1,965,167	$ 1,976,612
Accumulated depreciation	(1,065,765)	(1,021,801)
Property, plant and equipment, net	899,402	954,811	$ 965,196
Depreciation expense	152,500	167,300	$ 131,700
Assets under construction	66,000	70,700
Capitalized interest related to construction	100
Compression equipment, facilities and other fleet assets
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	1,530,223	1,514,982
Land and buildings
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	153,449	154,866
Transportation and shop equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	181,396	194,032
Other
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 100,099	$ 112,732

Intangible and Other Assets, net - Schedule of Intangible and Other Assets, Net (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Intangible and Other Assets, net.
Intangible assets, net	$ 17,809	$ 23,788
Recoverable foreign social security tax	15,165	19,372
Deferred financing costs	7,399	0
Other	21,888	22,519
Intangibles and other assets, net	$ 62,261	$ 65,679

Intangible and Other Assets, net - Schedule of Intangible Assets and Deferred Financing Costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 135,663	$ 132,552
Accumulated Amortization	(110,455)	(108,764)
Amortization of deferred financing costs	702	0	$ 0
Amortization of intangible costs	5,300	6,500	$ 8,300
Deferred financing costs
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	7,673	0
Accumulated Amortization	(274)	0
Marketing related
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	2,537	2,638
Accumulated Amortization	$ (1,759)	(1,747)
Useful life	20 years
Customer related
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 78,271	81,088
Accumulated Amortization	$ (61,888)	(59,918)
Customer related \| Minimum
Finite-Lived Intangible Assets [Line Items]
Useful life	17 years
Customer related \| Maximum
Finite-Lived Intangible Assets [Line Items]
Useful life	20 years
Technology based
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 3,252	3,843
Accumulated Amortization	$ (3,014)	(3,480)
Useful life	20 years
Contract based
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 43,930	44,983
Accumulated Amortization	$ (43,520)	$ (43,619)
Contract based \| Minimum
Finite-Lived Intangible Assets [Line Items]
Useful life	2 years
Contract based \| Maximum
Finite-Lived Intangible Assets [Line Items]
Useful life	11 years
Line of Credit \| Revolving credit facility due November 2020
Finite-Lived Intangible Assets [Line Items]
Amortization of deferred financing costs	$ 300

Intangible and Other Assets, net - Estimated Future Intangible Amortization (Details) $ in Thousands	Dec. 31, 2015 USD ($)
Estimated future intangible amortization expense
2016	$ 4,236
2017	3,131
2018	2,561
2019	2,112
2020	1,790
Thereafter	3,979
Total	$ 17,809

Investments in Non-Consolidated Affiliates (Details) - USD ($) $ in Millions	1 Months Ended		3 Months Ended						12 Months Ended
	Jan. 31, 2016	Mar. 31, 2012	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Schedule of Equity Method Investments [Line Items]
Installment payments, including annual charges, received from the sale of the joint venture			$ 5.1	$ 5.1	$ 5.0	$ 5.0	$ 4.9	$ 4.7
PIGAP II
Schedule of Equity Method Investments [Line Items]
Ownership Interest (as a percent)									30.00%
El Furrial
Schedule of Equity Method Investments [Line Items]
Ownership Interest (as a percent)									33.30%
Venezuela
Schedule of Equity Method Investments [Line Items]
Initial payment received from the sale of the joint venture		$ 37.6
Installment payments, including annual charges, received from the sale of the joint venture									$ 15.2	$ 14.7	$ 19.0
Remaining principal amount due from sale of joint venture									$ 13.0
Venezuela \| Subsequent Event
Schedule of Equity Method Investments [Line Items]
Installment payments, including annual charges, received from the sale of the joint venture	$ 5.2

Accrued Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Accrued Liabilities, Current [Abstract]
Accrued salaries and other benefits	$ 50,239	$ 75,635
Accrued income and other taxes	37,668	47,406
Accrued warranty expense	5,973	11,203
Accrued interest	2,454	0
Accrued start-up and commissioning expenses	2,695	3,630
Accrued other liabilities	30,851	30,068
Accrued liabilities	$ 129,880	$ 167,942

Accrued Liabilities - Narrative (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Segment Reporting Information [Line Items]
Accrued warranty expense	$ 5,973	$ 11,203
Warranty expense	$ 3,600	10,500	$ 4,900
Significant Customer
Segment Reporting Information [Line Items]
Accrued warranty expense		$ 7,000

Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Unamortized deferred financing costs	$ (5,243)	$ 0
Long-term debt	525,593	1,107
Other, interest at various rates, collateralized by equipment and other assets
Debt Instrument [Line Items]
Long-term debt	836	1,107
Revolving credit facility due November 2020
Debt Instrument [Line Items]
Long-term debt	285,000	0
Term loan facility due November 2017
Debt Instrument [Line Items]
Long-term debt	$ 245,000	$ 0

Long-Term Debt - Revolving Credit Facility and Term Loan (Details)			12 Months Ended
	Nov. 03, 2015 USD ($)	Oct. 05, 2015 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)	Jul. 10, 2015 USD ($)
Debt Instrument [Line Items]
Cash transfer to Archrock, Inc. at Spin-off			$ 532,578,000	$ 0	$ 0
EESLP \| Archrock, Inc.
Debt Instrument [Line Items]
Cash transfer to Archrock, Inc. at Spin-off	$ 532,600,000
Credit Agreement
Debt Instrument [Line Items]
Revolving credit facility borrowing capacity		$ 925,000,000.0
Credit Agreement \| Minimum
Debt Instrument [Line Items]
Consolidated interest coverage ratio		2.25
Credit Agreement \| Maximum
Debt Instrument [Line Items]
Total leverage ratio, prior to qualified capital raise		3.75
Total leverage ratio, after qualified capital raise		4.5
Senior secured leverage ratio, after qualified capital raise		2.75
Revolving credit facility due November 2020
Debt Instrument [Line Items]
Outstanding borrowings			285,000,000
Outstanding letters of credit			116,400,000
Undrawn capacity under revolving credit facility			$ 278,600,000
Revolving credit facility due November 2020 \| Credit Agreement
Debt Instrument [Line Items]
Revolving credit facility borrowing capacity		$ 680,000,000				$ 750,000,000.0
Interest rate increase until refinanced, through the first anniversary		1.00%
Interest rate increase until refinanced, after the first anniversary		1.50%
Weighted average annual interest rate (as a percent)			3.10%
Percentage of equity interests in first tier foreign subsidiaries			65.00%
Revolving credit facility due November 2020 \| Credit Agreement \| LIBOR \| Minimum
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		1.50%
Revolving credit facility due November 2020 \| Credit Agreement \| LIBOR \| Maximum
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		2.75%
Revolving credit facility due November 2020 \| Credit Agreement \| Base Rate \| Minimum
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		0.50%
Revolving credit facility due November 2020 \| Credit Agreement \| Base Rate \| Maximum
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		1.75%
Revolving credit facility due November 2020 \| Credit Agreement \| Federal Funds Effective Rate
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		0.50%
Revolving credit facility due November 2020 \| Credit Agreement \| One-month LIBOR
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		1.00%
Revolving credit facility due November 2020 \| Credit Agreement \| EESLP
Debt Instrument [Line Items]
Outstanding borrowings	300,000,000
Term loan facility due November 2017 \| Credit Agreement
Debt Instrument [Line Items]
Revolving credit facility borrowing capacity		$ 245,000,000.0
Interest rate (as a percent)			6.80%
Term loan facility due November 2017 \| Credit Agreement \| LIBOR \| Minimum
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		1.00%
Term loan facility due November 2017 \| Credit Agreement \| LIBOR \| Maximum
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		5.75%
Term loan facility due November 2017 \| Credit Agreement \| Base Rate
Debt Instrument [Line Items]
Applicable margin on variable rate (as a percent)		4.75%
Term loan facility due November 2017 \| Credit Agreement \| EESLP
Debt Instrument [Line Items]
Term loan outstanding	$ 245,000,000
Term Loan \| Credit Agreement
Debt Instrument [Line Items]
Term loan, annual principal payment			$ 12,300,000
Term Loan \| Term loan facility due November 2017
Debt Instrument [Line Items]
Total leverage ratio, threshold to prepay borrowings outstanding, minimum			2.50
Scenario 1 \| Term Loan \| Term loan facility due November 2017
Debt Instrument [Line Items]
Total leverage ratio, threshold to prepay borrowings outstanding, minimum			3.00
Prepayment of borrowings, Excess Cash Flow (as a percent)			50.00%
Scenario 2 \| Term Loan \| Term loan facility due November 2017
Debt Instrument [Line Items]
Total leverage ratio, threshold to prepay borrowings outstanding, minimum			2.50
Prepayment of borrowings, Excess Cash Flow (as a percent)			25.00%
Total leverage ratio, threshold to prepay borrowings outstanding, maximum			3.00

Long-Term Debt - Unamortized Debt Financing Costs (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Debt Instrument [Line Items]
Transaction costs, debt	$ 5,243	$ 0
Transaction costs, intangible assets	7,399	0
Amortization of deferred financing costs	702	$ 0	$ 0
Credit Agreement
Debt Instrument [Line Items]
Transaction costs, debt	13,300
Term Loan \| Term loan facility due November 2017
Debt Instrument [Line Items]
Transaction costs, debt	5,600
Amortization of deferred financing costs	400
Line of Credit \| Revolving credit facility due November 2020
Debt Instrument [Line Items]
Transaction costs, intangible assets	$ 7,700

Long-Term Debt - Long-Term Debt Maturities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Long-Term Debt Maturity Schedule
2016	$ 12,250
2017	233,003
2018	253
2019	253
2020	285,077
Thereafter	0
Total debt	530,836
Debt Instrument [Line Items]
Transaction costs	5,243	$ 0
Credit Agreement
Debt Instrument [Line Items]
Transaction costs	13,300
Term Loan \| Credit Agreement
Debt Instrument [Line Items]
Term loan, annual principal payment	$ 12,300

Fair Value Measurements (Details) - Nonrecurring Basis - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
(Level 1)
Summary of assets and liabilities measured at fair value on nonrecurring basis
Impaired long-lived assets	$ 0	$ 0
Long-term receivable from the sale of our Canadian Operations	0	0
(Level 2)
Summary of assets and liabilities measured at fair value on nonrecurring basis
Impaired long-lived assets	0	0
Long-term receivable from the sale of our Canadian Operations	0	0
(Level 3)
Summary of assets and liabilities measured at fair value on nonrecurring basis
Impaired long-lived assets	995	0
Long-term receivable from the sale of our Canadian Operations	$ 5,100	$ 0

Fair Value Measurements - Narrative (Details) - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
	Apr. 30, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Fair Value Measurements
Proceeds received from settlement of note receivable		$ 5,357	$ 0	$ 0
Impaired long-lived assets
Fair Value Measurements
Weighted average disposal period of impaired assets		4 years
Discount rate (as a percent)		10.00%
Canadian Operations
Fair Value Measurements
Proceeds received from settlement of note receivable	$ 5,100

Long-Lived Asset Impairment (Detail) hp in Thousands, $ in Millions	12 Months Ended
	Dec. 31, 2015 USD ($) CompressorUnit hp	Dec. 31, 2014 USD ($) CompressorUnit hp	Dec. 31, 2013 USD ($)
Product Sales
Long-Lived Asset Impairment
Impairment of long-lived asset held for sale			$ 11.9
Idle compressor units
Long-Lived Asset Impairment
Number of long-lived assets that the entity determined to retire and either sell or re-utilize key components \| CompressorUnit	93	20
Horsepower retired from the contract operations business \| hp	72	18
Long-lived asset impairment	$ 19.4	$ 2.8
Long-term receivable from the sale of Canadian Operations
Long-Lived Asset Impairment
Long-lived asset impairment	$ 1.4
Other long lived assets
Long-Lived Asset Impairment
Long-lived asset impairment		$ 1.1

Restructuring and Other Charges - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended				12 Months Ended
	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges		$ 14,400	$ 7,200	$ 10,500	$ 32,100	$ 0	$ 0
Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					15,749
Cost Reduction Plan
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					16,351
Additional restructuring costs expected to be incurred		2,500			2,500
Financial advisor fees related to the Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					4,598
Financial advisor fees related to the Spin-off \| Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					4,600
Start-up of stand-alone functions
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					1,332
Start-up of stand-alone functions \| Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					1,300
Start-up of stand-alone functions \| Forecast \| Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges	$ 500
Non-cash inventory write-downs
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					8,707
Non-cash inventory write-downs \| Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					4,700
Non-cash inventory write-downs \| Spin-off \| Contract Operations
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					4,200
Non-cash inventory write-downs \| Spin-off \| Product Sales
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					500
Non-cash inventory write-downs \| Cost Reduction Plan
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					4,000
Retention awards to certain employees
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					3,121
Retention awards to certain employees \| Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					3,100
Estimated cost		$ 5,400			5,400
Employee termination benefits and consulting fees \| Cost Reduction Plan
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					12,400
Employee termination benefits
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					9,625
Employee termination benefits \| Cost Reduction Plan
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					9,600
Employee termination benefits \| Cost Reduction Plan \| Product Sales
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					6,400
Chief Executive Officer \| Chief Executive Officer signing bonus
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					2,000
Chief Executive Officer \| Chief Executive Officer signing bonus \| Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges					$ 2,000

Restructuring and Other Charges - Changes to Accrued Liability Balance (Details) - USD ($) $ in Thousands	3 Months Ended			12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Restructuring Charges Accrual
Beginning balance				$ 0
Restructuring and other charges	$ 14,400	$ 7,200	$ 10,500	32,100	$ 0	$ 0
Less non-cash expense				(8,850)
Reductions for payments				(21,602)
Ending balance	1,648			1,648	0
Spin-off
Restructuring Charges Accrual
Beginning balance				0
Restructuring and other charges				15,749
Less non-cash expense				(4,843)
Reductions for payments				(9,823)
Ending balance	1,083			1,083	0
Cost Reduction Plan
Restructuring Charges Accrual
Beginning balance				0
Restructuring and other charges				16,351
Less non-cash expense				(4,007)
Reductions for payments				(11,779)
Ending balance	$ 565			$ 565	$ 0

Restructuring and Other Charges - Components of Charges Included in Restructuring and Other Charges (Details) - USD ($) $ in Thousands	3 Months Ended			12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges	$ 14,400	$ 7,200	$ 10,500	$ 32,100	$ 0	$ 0
Financial advisor fees related to the Spin-off
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges				4,598
Consulting fees
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges				2,717
Start-up of stand-alone functions
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges				1,332
Retention awards to certain employees
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges				3,121
Non-cash inventory write-downs
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges				8,707
Employee termination benefits
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges				9,625
Chief Executive Officer \| Chief Executive Officer signing bonus
Restructuring Cost and Reserve [Line Items]
Restructuring and other charges				$ 2,000

Income Taxes - Components of Income Before Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Components of income (loss) before income taxes
United States	$ (5,929)	$ 84,549	$ 134,946
Foreign	36,180	72,599	49,125
Income before income taxes	$ 30,251	$ 157,148	$ 184,071

Income Taxes - Provision for Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Current tax provision:
U.S. federal	$ 383	$ 6,128	$ 20,511
State	1,201	2,136	4,169
Foreign	63,692	56,029	55,790
Total current	65,276	64,293	80,470
Deferred tax provision (benefit):
U.S. federal	(29,954)	12,503	10,045
State	(484)	(753)	(865)
Foreign	5,334	1,790	7,717
Total deferred	(25,104)	13,540	16,897
Provision for income taxes	$ 40,172	$ 77,833	$ 97,367

Income Taxes - Reconciliation of Effective Tax Rate and U.S. Statutory Rate (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Effective income tax rate (as a percent)	132.80%	49.50%	52.90%
U.S. federal statutory rate (as a percent)	35.00%	35.00%	35.00%
Summary of provision for (benefit from) income taxes in effective tax rates
Income taxes at U.S. federal statutory rate of 35%	$ 10,588	$ 55,002	$ 64,425
Net state income taxes	466	976	2,145
Foreign taxes	37,260	31,289	28,470
Foreign tax credits	(17,398)	(10,942)	(16,355)
Research and development credits	(24,938)	0	0
Unrecognized tax benefits	6,187	403	2,473
Valuation allowances	33,328	7,884	22,795
Proceeds from sale of joint venture assets	(5,315)	(5,162)	(6,650)
Other	(6)	(1,617)	64
Provision for income taxes	$ 40,172	$ 77,833	$ 97,367

Income Taxes - Temporary Differences (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Deferred tax assets:
Net operating loss carryforwards	$ 134,500	$ 104,733
Inventory	3,919	2,105
Accrued liabilities	3,188	8,330
Foreign tax credit carryforwards	72,019	62,940
Research and development credit carryforwards	31,251	0
Alternative minimum tax credit carryforwards	5,145	0
Deferred revenue	23,894	19,370
Stock-based compensation expense	1,769	14,290
Other	23,017	16,387
Subtotal	298,702	228,155
Valuation allowances	(159,698)	(105,139)
Total deferred tax assets	139,004	123,016
Deferred tax liabilities:
Property, plant and equipment	(74,728)	(55,042)
Total deferred tax liabilities	(74,728)	(55,042)
Net deferred tax assets	$ 64,276	$ 67,974

Income Taxes - Operating Loss Carryforwards Narrative (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2015	Dec. 31, 2013	Dec. 31, 2014
Operating loss carryforwards
Net operating loss carryforwards, U.S. federal		$ 66,100
Net operating loss carryforwards in certain foreign jurisdictions		370,800
Foreign tax credit carryforwards available to offset future payments		72,019		$ 62,940
Research and development credit carryforwards		31,251		0
Alternative minimum tax credit carryforwards		$ 5,145		$ 0
Income taxes
Change in ownership percentage, minimum		50.00%
Period of ownership percentage change		3 years
Foreign
Operating loss carryforwards
Net operating loss carryforwards, not subject to expiration		$ 228,600
Net operating loss carryforwards, subject to expiration		64,200
Income taxes
Cumulative earnings generated by non-U.S. subsidiaries		622,000
Foreign \| Italy
Income taxes
Valuation allowance recorded against deferred tax asset	$ 9,000
Minimum taxable income for realization of deferred tax asset (more than)			$ 40,000
Archrock
Operating loss carryforwards
Foreign tax credit carryforwards available to offset future payments		$ 72,000

Income Taxes - Reconciliation of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Reconciliation of unrecognized tax benefits
Beginning balance	$ 8,356	$ 9,033	$ 7,736
Additions based on tax positions related to prior years	6,448	0	1,710
Additions based on tax positions related to current year	261	0	0
Reductions based on lapse of statute of limitations	(122)	(215)	(97)
Reductions based on tax positions related to prior years	0	(462)	(316)
Ending balance	$ 14,943	$ 8,356	$ 9,033

Income Taxes - Unrecognized Tax Benefits Narrative (Details) - USD ($) $ in Millions	1 Months Ended	12 Months Ended
	Dec. 31, 2013	Dec. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Oct. 31, 2012
Unrecognized tax benefits, which if recognized would affect the effective tax rate	$ 9.0	$ 14.9	$ 8.4
Potential interest expense and penalties related to unrecognized tax benefits	$ 3.3	$ 3.0	$ 3.2
Aggregate over assessment on income tax examination					$ 0.9
Amount of disallowance of telephone excise tax refund claims for which protests were filed with the Appeals Division of the IRS					$ 0.5
Refund of over-assessment received				$ 0.9
State income tax returns, period subject to examination, low end of range		3 years
State income tax returns, period subject to examination, high end of range		5 years
State income tax examination period after formal notification, maximum		1 year
Maximum reasonably possible decrease in unrecognized tax benefits (up to)		$ 5.0
IRS \| Minimum
Percentage of telephone excise tax refund claims settled (more than)	90.00%

Related Party Transactions - Narrative (Details) - USD ($)		2 Months Ended	12 Months Ended
	Nov. 03, 2015	Dec. 31, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Related Party Transaction [Line Items]
Cash transfer to Archrock, Inc. at Spin-off			$ 532,578,000	$ 0	$ 0
Archrock
Related Party Transaction [Line Items]
Cash transfer to Archrock, Inc. at Spin-off	$ 532,600,000
Noncompete provision term	3 years
Contingent liability, payment upon qualified capital raise	$ 25,000,000.0
Supply agreement term	2 years
Supply agreement, extension term	1 year
Service agreement, termination written notice period	30 days
Selling, general and administrative expenses from related party			46,900,000	68,300,000	62,600,000
Archrock \| Transaction Services Agreement
Related Party Transaction [Line Items]
Income earned associated with transition services		$ 200,000
Selling, general and administrative expenses from related party		200,000
Archrock \| Sale of compressor units
Related Party Transaction [Line Items]
Revenue from related parties		26,700,000
Related party transaction, amounts of transaction			32,300,000	59,100,000	55,200,000
Archrock Partners
Related Party Transaction [Line Items]
Revenue from related parties			154,300,000	233,000,000	118,400,000
Related parties amount in cost of sales			$ 141,900,000	$ 212,200,000	$ 106,600,000
Archrock Partners \| Sale of compressor units
Related Party Transaction [Line Items]
Revenue from related parties		$ 14,400,000
Minimum \| Archrock
Related Party Transaction [Line Items]
Transition services agreement term	1 year
Maximum \| Archrock
Related Party Transaction [Line Items]
Transition services agreement term	2 years

Related Party Transactions - Net Distributions to Parent (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Related Party Transactions [Abstract]
Net distributions to parent per the statements of stockholders’ equity	$ 55,519	$ 59,947	$ 190,874
Stock-based compensation expenses prior to the Spin-off	(6,066)	(5,288)	(5,330)
Stock-based compensation excess tax benefit prior to the Spin-off	1,193	3,434	941
Net transfers of property, plant and equipment to (from) parent prior to the Spin-off	(7,627)	(17,472)	12,578
Transfer of net deferred tax liabilities from parent at Spin-off	29,203	0	0
Net distributions to parent per the statements of cash flows	$ (38,816)	$ (79,273)	$ (182,685)

Stockholders' Equity (Details) $ / shares in Units, $ in Thousands		12 Months Ended
	Nov. 03, 2015 USD ($) shares	Dec. 31, 2015 USD ($) $ / shares shares	Dec. 31, 2014 USD ($) $ / shares shares	Dec. 31, 2013 USD ($)
Related Party Transaction [Line Items]
Common stock, shares authorized		250,000,000.0	0
Preferred stock, shares authorized		50,000,000.0	0
Common stock, par value (in dollars per share) \| $ / shares		$ 0.01	$ 0
Preferred stock, par value (in dollars per share) \| $ / shares		$ 0.01	$ 0
Common stock distributed by Archrock to its stockholders (in shares)	34,286,267
Cash transfer to Archrock, Inc. at Spin-off \| $		$ 532,578	$ 0	$ 0
Archrock
Related Party Transaction [Line Items]
Cash transfer to Archrock, Inc. at Spin-off \| $	$ 532,600
Common Stock
Related Party Transaction [Line Items]
Common stock distributed by Archrock to its stockholders (in shares)		34,286,267
Conversion of stock-based compensation awards at Spin-off (in shares)	505,512	505,512
Exterran Corporation
Related Party Transaction [Line Items]
Common stock, distribution basis for issued shares	0.5

Stockholders' Equity - Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended						12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Accumulated other comprehensive income, beginning balance				$ 16,776			$ 16,776
Income from discontinued operations, net of tax							56,132	$ 73,198	$ 66,149
Long-lived asset impairment	$ 6,500	$ 3,800	$ 5,900	4,600	$ 2,800	$ 1,100	20,788	3,851	11,941
Other (income) expense, net							(34,837)	(7,222)	1,966
Accumulated other comprehensive income, ending balance	13,986				16,776		13,986	16,776
Foreign Currency Translation Adjustment
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Accumulated other comprehensive income, beginning balance				$ 16,776			16,776	31,424	26,893
Loss recognized in other comprehensive income							(2,790)	(11,871)	(2,960)
Loss reclassified from accumulated other comprehensive income								(2,777)	7,491
Accumulated other comprehensive income, ending balance	$ 13,986				$ 16,776		$ 13,986	16,776	31,424
Reclassification Out of Accumulated Other Comprehensive Income \| Foreign Currency Translation Adjustment
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Income from discontinued operations, net of tax									5,100
Long-lived asset impairment									$ 2,400
Other (income) expense, net								$ 2,800

- Definition

Accumulated change in equity from transactions and other events and circumstances from non-owner sources, net of tax effect, at period end. Excludes Net Income (Loss), and accumulated changes in equity from transactions resulting from investments by owners and distributions to owners. Includes foreign currency translation items, certain pension adjustments, unrealized gains and losses on certain investments in debt and equity securities, other than temporary impairment (OTTI) losses related to factors other than credit losses on available-for-sale and held-to-maturity debt securities that an entity does not intend to sell and it is not more likely than not that the entity will be required to sell before recovery of the amortized cost basis, as well as changes in the fair value of derivatives related to the effective portion of a designated cash flow hedge.

+ References + Details

- Definition

Amount after tax of income (loss) from a discontinued operation including the portion attributable to the noncontrolling interest. Includes, but is not limited to, the income (loss) from operations during the phase-out period, gain (loss) on disposal, gain (loss) for reversal of write-down (write-down) to fair value, less cost to sell, and adjustments to a prior period gain (loss) on disposal.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.12)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 5C
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=51717284&loc=SL51721675-107760

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 225
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.14)
-URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=51716988&loc=d3e1012-107759

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 3B
-URI http://asc.fasb.org/extlink&oid=51716988&loc=SL51721525-107759

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 3A
-URI http://asc.fasb.org/extlink&oid=51716988&loc=SL51721523-107759

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 45
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=51716988&loc=d3e957-107759

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 20
-Section 50
-Paragraph 1
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=51717284&loc=d3e1361-107760

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Paragraph 13
-Article 7

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 03
-Paragraph 15
-Article 5

+ Details

Stock-Based Compensation and Awards (Details) $ in Thousands		12 Months Ended
	Oct. 31, 2015	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense		$ 8,219	$ 8,418	$ 8,115
Stock compensation awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock split, conversion ratio (per share)	2
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense		348	496	506
Restricted stock, restricted stock units, performance units, cash settled restricted stock units and cash settled performance units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense		$ 7,871	$ 7,922	$ 7,609

Stock-Based Compensation and Awards - Stock Option Narrative (Details) - USD ($) $ / shares in Units, $ in Millions	2 Months Ended	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted (in shares)	0	0
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
Weighted average grant date fair value (in dollars per share)			$ 14.47	$ 10.19
Unrecognized compensation
Expected unrecognized compensation cost related to unvested stock options (in dollars)	$ 0.2	$ 0.2
Weighted-average period over which the expected unrecognized compensation cost related to unvested stock options will be recognized	1 year 11 days
Stock options \| First anniversary vesting
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage		33.33%
Stock options \| Second anniversary vesting
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage		33.33%
Stock options \| Third anniversary vesting
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage		33.33%
Stock options \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expiration period (no later than)		10 years
Exterran Corporation
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options granted (in shares)	0

Stock-Based Compensation and Awards - Stock Option Valuation Assumptions (Details) - Stock options	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Weighted average assumptions
Expected life	4 years 6 months	4 years 6 months
Risk-free interest rate (as a percent)	1.33%	0.66%
Volatility (as a percent)	46.51%	49.19%
Dividend yield (as a percent)	1.50%	0.00%

Stock-Based Compensation and Awards - Stock Option Activity (Details) $ / shares in Units, $ in Thousands	2 Months Ended	12 Months Ended
	Dec. 31, 2015 USD ($) $ / shares shares	Dec. 31, 2015 USD ($) $ / shares shares
Stock Options
Options outstanding at the beginning of the period (in shares) \| shares	434,000
Granted (in shares) \| shares	0	0
Exercised (in shares) \| shares	0
Cancelled (in shares) \| shares	0
Options outstanding at the end of the period (in shares) \| shares	434,000	434,000
Options exercisable at the end of the period (in shares) \| shares	380,000	380,000
Weighted Average Exercise Price Per Share
Options outstanding at the beginning of the period (in dollars per share) \| $ / shares	$ 18.53
Granted (in dollars per share) \| $ / shares	0.00
Exercised (in dollars per share) \| $ / shares	0.00
Cancelled (in dollars per share) \| $ / shares	0.00
Options outstanding at end of period, (in dollars per share) \| $ / shares	18.53	$ 18.53
Options exercisable at the end of period (in dollars per share) \| $ / shares	$ 17.25	$ 17.25
Weighted Average Remaining Life
Outstanding at the end of the period	2 years 9 months 4 days
Exercisable at the end of the period	2 years 5 months 19 days
Aggregate Intrinsic Value
Outstanding at the end of the period (in dollars) \| $	$ 1,175	$ 1,175
Exercisable at the end of the period (in dollars) \| $	$ 1,175	$ 1,175

Stock-Based Compensation and Awards - Restricted Stock, Restricted Stock Units, Performance Units Narrative (Details) - Restricted stock, restricted stock units, performance units, cash settled restricted stock units and cash settled performance units $ in Millions	2 Months Ended	12 Months Ended
	Dec. 31, 2015 USD ($)	Dec. 31, 2015 USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
Unrecognized compensation
Expected unrecognized compensation cost related to unvested awards (in dollars)	$ 16.4	$ 16.4
Weighted-average period over which the expected unrecognized compensation cost related to unvested stock options will be recognized	2 years
First anniversary vesting
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage		33.33%
Second anniversary vesting
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage		33.33%
Third anniversary vesting
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage		33.33%

Stock-Based Compensation and Awards - Restricted Stock, Restricted Stock Units, Performance Units Activity (Details)	2 Months Ended
	Dec. 31, 2015 $ / shares shares
Restricted stock, restricted stock units, performance units, cash settled restricted stock units and cash settled performance units
Shares
Non-vested awards at the beginning of the period (in shares)	668,000
Granted (in shares)	362,000
Vested (in shares)	(21,000)
Cancelled (in shares)	(5,000)
Non-vested awards at the end of the period (in shares)	1,004,000
Weighted Average Grant-Date Fair Value Per Share
Non-vested awards at the beginning of the period (in dollars per share) \| $ / shares	$ 25.84
Granted (in dollars per share) \| $ / shares	15.37
Vested (in dollars per share) \| $ / shares	20.63
Cancelled (in dollars per share) \| $ / shares	26.68
Non-vested awards at the end of the period (in dollars per share) \| $ / shares	$ 22.17
Cash settled restricted stock units and cash settled performance units
Shares
Non-vested awards at the end of the period (in shares)	28,000
Restricted shares, restricted stock units and performance units
Shares
Non-vested awards at the end of the period (in shares)	976,000

Stock-Based Compensation and Awards - Directors' Stock and Deferral Plan (Details) - shares	12 Months Ended
	Dec. 31, 2015	Oct. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation issuable in shares, option one (as a percent)	25.00%
Compensation issuable in shares, option two (as a percent)	50.00%
Compensation issuable in shares, option three (as a percent)	75.00%
Compensation issuable in shares, option four (as a percent)	100.00%
Director Plan \| Stock Compensation Plan \| Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum number of shares for issuance (in shares)		125,000

Net Income Per Common Share - Reconciliation of Basic and Diluted Net Income per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Numerator for basic and diluted net income per common share:
Income (loss) from continuing operations									$ (9,921)	$ 79,315	$ 86,704
Income from discontinued operations, net of tax									56,132	73,198	66,149
Less: Net income attributable to participating securities									0	0	0
Net income — used in basic net income per common share									$ 46,211	$ 152,513	$ 152,853
Weighted average common shares outstanding, basic
Weighted average common shares outstanding including participating securities (in shares)									34,437,000	34,286,000	34,286,000
Less: Weighted average participating securities outstanding (in shares)									(149,000)	0	0
Weighted average common shares outstanding — used in basic net income per common share (in shares)									34,288,000	34,286,000	34,286,000
Weighted average common shares outstanding, diluted
Net dilutive potential common shares issuable on exercise of options and vesting of restricted stock units (in shares)										0	0
Weighted average common shares outstanding — used in diluted net income per common share (in shares)									34,288,000	34,286,000	34,286,000
Net income per common share:
Net income per common share, basic (in dollars per share)	$ (0.35)	$ 0.36	$ 0.24	$ 1.10	$ 1.37	$ 1.08	$ 0.74	$ 1.26	$ 1.35	$ 4.45	$ 4.46
Net income per common share, diluted (in dollars per share)	$ (0.35)	$ 0.36	$ 0.24	$ 1.10	$ 1.37	$ 1.08	$ 0.74	$ 1.26	$ 1.35	$ 4.45	$ 4.46

Net Income Per Common Share - Anti-dilutive Shares (Details) - shares	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net dilutive potential common shares issuable	78,000	0	0
On exercise of options where exercise price is greater than average market value for the period
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net dilutive potential common shares issuable	62,000
On exercise of options and vesting of restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Net dilutive potential common shares issuable	16,000

Retirement Benefit Plan (Details) - USD ($) $ in Millions	12 Months Ended
Retirement Benefit Plan (Details) - USD ($) $ in Millions	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Compensation and Retirement Disclosure [Abstract]
Employer match of employee contributions of first 1% of eligible compensation (as a percent)	100.00%
Eligible compensation contribution, matched 100% by employer (as a percent)	1.00%
Employer match of employee contributions of next 5% of eligible compensation (as a percent)	50.00%
Eligible compensation contribution, matched 50% by employer (as a percent)	5.00%
Recognized matching contributions from retirement benefit plans (in dollars)	$ 3.6	$ 4.5	$ 4.5

Commitments and Contingencies - Future Minimum Rent Payments (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Commitments and Contingencies Disclosure [Abstract]
Rent expense	$ 13,200	$ 15,500	$ 14,900
Schedule of Future Minimum Rental Payments
2016	6,994
2017	4,932
2018	2,891
2019	1,844
2020	1,722
Thereafter	14,036
Total	$ 32,419

Commitments and Contingencies - Guarantees (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2015 USD ($)
Guarantor Obligations [Line Items]
Maximum potential undiscounted payments	$ 291,907
Performance guarantees through letters of credit
Guarantor Obligations [Line Items]
Term	2016 - 2021
Maximum potential undiscounted payments	$ 204,747
Standby letters of credit
Guarantor Obligations [Line Items]
Term	2016
Maximum potential undiscounted payments	$ 9,052
Commercial letters of credit
Guarantor Obligations [Line Items]
Term	2016
Maximum potential undiscounted payments	$ 2,097
Bid bonds and performance bonds
Guarantor Obligations [Line Items]
Term	2016 - 2023
Maximum potential undiscounted payments	$ 76,011

Commitments and Contingencies - Contingencies (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Nov. 03, 2015	Oct. 05, 2015	Dec. 31, 2014
Loss contingency
Accrued liability for the outcomes of non-income based tax audits	$ 3,100,000			$ 1,400,000
EESLP
Business acquisition, contingent consideration
Contingent liability, base maximum threshold		$ 125,800,000.0
Contingent liability, maximum threshold		150,000,000.0
Remaining expected proceeds from sale of expropriated assets	$ 79,000,000
Contingent liability, payment upon qualified capital raise		25,000,000.0
EESLP or Exterran Corporation
Business acquisition, contingent consideration
Proceeds from issuance of debt or equity (at least)		$ 250,000,000
Credit Agreement
Business acquisition, contingent consideration
Revolving credit facility borrowing capacity			$ 925,000,000.0
Credit Agreement \| Term Facility
Business acquisition, contingent consideration
Revolving credit facility borrowing capacity			$ 245,000,000.0
Tax Attributable to Business after Spin-off
Loss contingency
Liability for taxes that are not clearly attributable to Exterran or Archrock (as a percent)	50.00%

Reportable Segments and Geographic Information - Revenue and Other Financial Information By Segment (Details) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015 USD ($)	Sep. 30, 2015 USD ($)	Jun. 30, 2015 USD ($)	Mar. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Sep. 30, 2014 USD ($)	Jun. 30, 2014 USD ($)	Mar. 31, 2014 USD ($)	Dec. 31, 2015 USD ($) segment	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)
Segment Reporting [Abstract]
Number of reportable segments \| segment									3
Sales and other financial information by reportable segment
Revenue	$ 418,063	$ 437,189	$ 482,644	$ 532,047	$ 611,169	$ 537,759	$ 550,694	$ 473,132	$ 1,869,943	$ 2,172,754	$ 2,415,473
Gross margin									490,919	596,869	583,516
Total assets	1,842,359				2,032,823				1,842,359	2,032,823
Capital expenditures									158,925	157,854	100,195
Continuing Operations
Sales and other financial information by reportable segment
Revenue									1,869,943	2,172,754	2,415,473
Gross margin									490,919	596,869	583,516
Total assets	1,842,168				2,032,355				1,842,168	2,032,355	1,999,120
Capital expenditures									158,925	157,854	100,195
Reportable Segments \| Continuing Operations
Sales and other financial information by reportable segment
Revenue									1,869,943	2,172,754	2,415,473
Gross margin									490,919	596,869	583,516
Total assets	1,198,107				1,315,213				1,198,107	1,315,213	1,345,285
Capital expenditures									147,774	154,011	94,295
Other \| Continuing Operations
Sales and other financial information by reportable segment
Revenue									0	0	0
Gross margin									0	0	0
Total assets	644,061				717,142				644,061	717,142	653,835
Capital expenditures									11,151	3,843	5,900
Contract Operations
Sales and other financial information by reportable segment
Revenue									469,900	493,853	476,016
Contract Operations \| Reportable Segments \| Continuing Operations
Sales and other financial information by reportable segment
Revenue									469,900	493,853	476,016
Gross margin									297,509	308,445	279,072
Total assets	795,939				811,831				795,939	811,831	820,686
Capital expenditures									138,171	130,248	66,116
Aftermarket Services
Sales and other financial information by reportable segment
Revenue									127,802	162,724	160,672
Aftermarket Services \| Reportable Segments \| Continuing Operations
Sales and other financial information by reportable segment
Revenue									127,802	162,724	160,672
Gross margin									36,569	42,543	40,328
Total assets	31,614				37,200				31,614	37,200	33,974
Capital expenditures									709	1,095	1,147
Product Sales \| Reportable Segments \| Continuing Operations
Sales and other financial information by reportable segment
Revenue									1,272,241	1,516,177	1,778,785
Gross margin									156,841	245,881	264,116
Total assets	$ 370,554				$ 466,182				370,554	466,182	490,625
Capital expenditures									$ 8,894	$ 22,668	$ 27,032
Archrock Partners and Archrock \| Customer Concentration Risk \| Revenue
Sales and other financial information by reportable segment
Concentration risk, percentage									10.00%	11.00%

Reportable Segments and Geographic Information - Assets of Reportable Segments (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Assets from reportable segments to total assets
Total assets	$ 1,842,359	$ 2,032,823
Continuing Operations
Assets from reportable segments to total assets
Total assets	1,842,168	2,032,355	$ 1,999,120
Continuing Operations \| Reportable Segments
Assets from reportable segments to total assets
Total assets	1,198,107	1,315,213	1,345,285
Continuing Operations \| Other
Assets from reportable segments to total assets
Total assets	644,061	717,142	$ 653,835
Discontinued Operations \| Other
Assets from reportable segments to total assets
Total assets	$ 191	$ 468

Reportable Segments and Geographic Information - Geographic Data (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Summary of geographic data
Revenue	$ 418,063	$ 437,189	$ 482,644	$ 532,047	$ 611,169	$ 537,759	$ 550,694	$ 473,132	$ 1,869,943	$ 2,172,754	$ 2,415,473
Property, plant and equipment, net	899,402				954,811				899,402	954,811	965,196
U.S. \| Reportable Geographical Components
Summary of geographic data
Revenue									858,409	1,051,824	1,166,494
Property, plant and equipment, net	91,476				87,093				91,476	87,093	90,915
International \| Reportable Geographical Components
Summary of geographic data
Revenue									1,011,534	1,120,930	1,248,979
Argentina \| Reportable Geographical Components
Summary of geographic data
Property, plant and equipment, net	239,226				246,410				239,226	246,410	249,798
Brazil \| Reportable Geographical Components
Summary of geographic data
Property, plant and equipment, net	128,032				119,795				128,032	119,795	122,620
Mexico \| Reportable Geographical Components
Summary of geographic data
Property, plant and equipment, net	201,081				240,729				201,081	240,729	216,532
Other international \| Reportable Geographical Components
Summary of geographic data
Property, plant and equipment, net	$ 239,587				$ 260,784				$ 239,587	$ 260,784	$ 285,331

Reportable Segments and Geographic Information - Reconciliation of Net Income to Gross Margin (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Segment Reporting [Abstract]
Net income	$ (12,028)	$ 12,283	$ 8,364	$ 37,592	$ 47,093	$ 36,891	$ 25,500	$ 43,029	$ 46,211	$ 152,513	$ 152,853
Selling, general and administrative									223,007	267,493	264,890
Depreciation and amortization									157,817	173,803	140,029
Long-lived asset impairment	6,500	3,800	5,900	$ 4,600	$ 2,800	$ 1,100			20,788	3,851	11,941
Restructuring and other charges	$ 14,400	$ 7,200	$ 10,500						32,100	0	0
Interest expense									7,271	1,905	3,551
Equity in income of non-consolidated affiliates									(15,152)	(14,553)	(19,000)
Other (income) expense, net									34,837	7,222	(1,966)
Provision for income taxes									40,172	77,833	97,367
Income from discontinued operations, net of tax									(56,132)	(73,198)	(66,149)
Gross margin									$ 490,919	$ 596,869	$ 583,516

Selected Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								10 Months Ended	12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Nov. 03, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Quarterly Financial Data
Revenue	$ 418,063	$ 437,189	$ 482,644	$ 532,047	$ 611,169	$ 537,759	$ 550,694	$ 473,132		$ 1,869,943	$ 2,172,754	$ 2,415,473
Gross profit	58,217	80,946	84,284	104,395	123,868	110,783	91,582	108,919
Net income (loss)	$ (12,028)	$ 12,283	$ 8,364	$ 37,592	$ 47,093	$ 36,891	$ 25,500	$ 43,029		$ 46,211	$ 152,513	$ 152,853
Net income (loss) per common share:
Basic (in dollars per share)	$ (0.35)	$ 0.36	$ 0.24	$ 1.10	$ 1.37	$ 1.08	$ 0.74	$ 1.26		$ 1.35	$ 4.45	$ 4.46
Diluted (in dollars per share)	$ (0.35)	$ 0.36	$ 0.24	$ 1.10	$ 1.37	$ 1.08	$ 0.74	$ 1.26		$ 1.35	$ 4.45	$ 4.46
Selected Quarterly Financial Information
Weighted average number of shares outstanding, basic and diluted (in shares)									34,286,267
Equity in income of non-consolidated affiliates		$ 5,100	$ 5,100	$ 5,000		$ 5,000	$ 4,900	$ 4,700
Long-lived asset impairment	$ 6,500	3,800	5,900	4,600	$ 2,800	1,100				$ 20,788	$ 3,851	$ 11,941
Restructuring and other charges	14,400	7,200	$ 10,500							32,100	0	0
Venezuela
Selected Quarterly Financial Information
Net proceeds from sale of previously nationalized assets	$ 19,100	$ 18,900		$ 18,700	$ 18,500	$ 18,200	$ 18,100	$ 17,800		56,600	72,600	69,300
Equity in income of non-consolidated affiliates										$ 15,200	$ 14,700	$ 19,000

Subsequent Events (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended						12 Months Ended
Subsequent Events (Details) - USD ($) $ in Millions	Jan. 31, 2016	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Subsequent Event [Line Items]
Installment payments, including annual charges, received from the sale of the joint venture		$ 5.1	$ 5.1	$ 5.0	$ 5.0	$ 4.9	$ 4.7
Venezuela
Subsequent Event [Line Items]
Installment payments, including annual charges, received from the sale of the joint venture								$ 15.2	$ 14.7	$ 19.0
Venezuela \| Subsequent Event
Subsequent Event [Line Items]
Installment payments, including annual charges, received from the sale of the joint venture	$ 5.2

SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Allowance for doubtful accounts deducted from accounts receivable in the balance sheets
Valuation and qualifying accounts
Balance at Beginning of Period	$ 2,133	$ 7,381	$ 12,073
Charged to Costs and Expenses	3,457	641	2,317
Deductions	2,722	5,889	7,009
Balance at End of Period	2,868	2,133	7,381
Allowance for obsolete and slow moving inventory deducted from inventories in the balance sheets
Valuation and qualifying accounts
Balance at Beginning of Period	8,660	8,231	7,629
Charged to Costs and Expenses	15,590	3,186	631
Deductions	9,764	2,757	29
Balance at End of Period	14,486	8,660	8,231
Allowance for deferred tax assets not expected to be realized
Valuation and qualifying accounts
Balance at Beginning of Period	105,139	101,785	84,113
Charged to Costs and Expenses	89,245	30,944	31,978
Deductions	34,686	27,590	14,306
Balance at End of Period	159,698	$ 105,139	$ 101,785
Foreign tax credits transferred from Archrock pursuant to Spin-off	$ 45,000

Significant Accounting Policies - Revenue Recognition (Details)	12 Months Ended
	Dec. 31, 2015
Minimum
Summary of Significant Accounting Policies [Line Items]
Duration of product sales projects	3 months
Maximum
Summary of Significant Accounting Policies [Line Items]
Duration of product sales projects	24 months