Cowen & Company Transition th PPT Template 5JuneAnnual 2015 V 3.0 Ultimate Energy Conference December 2, 2015
Agenda Outlook Superior Overview Operational Platform Financial Position 3
Current Outlook Near-Term Focus Conserve cash, maintain liquidity, be patient Improve cost structure Maintain First Responder capability How long will this last Overcapitalized, fragmented U.S. Land market due for consolidation…
Company Overview 5th Largest Globally Diversified Oilfield Services Provider 20 Product lines deployed across International, U.S. Countries with operations Land and Gulf of Mexico markets Downside risk vs. smaller players mitigated…
Product Service Offerings Onshore Completion Drilling Products Production Services Technical Solutions & Workover Services Accommodations Horizontal Well Fracturing Coiled Tubing Pressure Control Services Premium Drill Pipe…
Our Approach Product / Service Line Suitability Is it exportable Do we have an execution advantage Can it generate acceptable returns If yes, expandif no, limit CAPEX and explore alternatives Capital Deployment Pursue organic…
International Expansion A focused, disciplined approach to international expansion HOT LEGACY CORE SPOTS HOT North Sea Argentina Ghana SPOTS Europe Brazil Angola Risk Mexico Colombia Nigeria Trinidad Australia Thailand…
International Expansion International Revenue Growth (Core Product Lines) 300 248M 250 Completion Tools & International Revenue (millions) Services 200 Pumping Services 150 71% CAGR Intervention Services 100 50…
U.S. Land Markets Near-TermOutlook Near-Term Outlook KeyStrategies Key Strategies Manage challenging Respond to marketmarket withreductions with cost cost Pricing: Different tactics in different product Pricing: Different tactics…
Q3/Q4 2015 Optimization U.S. Land GeoMarket Well Service Rigs Coiled Tubing Customer Benefits Cased-Hole Wireline = Testing/Flowback Reduced Operating Costs Packaged Customers Services Gulf Coast GeoMarket Integrated…
Gulf of Mexico Near-Term Outlook Right Size shelf-related businesses Transfer assets to international opportunities Key Strategies Maintain drilling products market share leadership Product development related to more…
Financial Focus Maintain current liquidity Pursue investments that advance core strategy of geographic expansion Methodical and conservative approach to growth investment in existing international markets 14
Cost Reductions 2015 YTD Cost Category Annual Impact Headcount 34% Reduction General & Administrative 15% Reduction Employee Related Expenses (NAM) 21% Reduction Product Line Restructuring Savings 45 - 50 million as of…
Balance Sheet Strength Liquidity Flexibility 1.1 billion as of 9/30/15 2015 capital expenditures reduced 35% from 2014 levels Cash on hand 534 million as of 9/30/15 Low levels of maintenance capital required Undrawn revolving…
Well Positioned Focus on operating leverage Prepared for extended market downturn Diversified geographically and across product lines Targeted organic growth and acquisition strategies Demonstrated execution of international…