Exhibit 99.2
RIO BRAVO OILFIELD SERVICES, INC.
COMBINED BALANCE SHEETS
Unaudited
(USD in thousands)
March 31, | December 31, | |||||||
2015 | 2014 | |||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 92 | $ | 180 | ||||
Accounts receivable, net | 798 | 811 | ||||||
Inventories, net | 4,275 | 5,126 | ||||||
Prepaid expenses and other current assets | 714 | 943 | ||||||
Total current assets | 5,879 | 7,060 | ||||||
Long-term assets: | ||||||||
Property and equipment, net | 430 | 441 | ||||||
Advance payments and deposits | 164 | 164 | ||||||
Total long-term assets | 594 | 605 | ||||||
Total assets | $ | 6,473 | $ | 7,665 | ||||
Liabilities and Stockholder's Deficit | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 1,389 | $ | 1,788 | ||||
Accrued personnel costs | 216 | 205 | ||||||
Accrued taxes | 11 | 9 | ||||||
Accrued warranties | 8 | 8 | ||||||
Other accrued expenses | 16 | 39 | ||||||
Bank lines of credit | 118 | 121 | ||||||
Current portion of long-term debt | 21 | 21 | ||||||
Customer advance payments | 5,946 | 6,892 | ||||||
Notes payable to related parties | 185 | 185 | ||||||
Total current liabilities | 7,910 | 9,268 | ||||||
Long-term debt, net of current portion | 67 | 72 | ||||||
Total long-term liabilities | 67 | 72 | ||||||
Total liabilities | 7,977 | 9,340 | ||||||
Commitments and Contingencies | ||||||||
Stockholders' deficit: | ||||||||
Paid in capital, par value | ||||||||
Rio Bravo Oilfield Services, Inc. common stock $1 par value, 1,000 shares authorized, issued and outstanding | 1 | 1 | ||||||
Rio Bravo Tank De Mexico SA de CV common stock $0 par value, 100 shares authorized, issued and outstanding | — | — | ||||||
Paid in capital, paid in excess of par | 4 | 4 | ||||||
Accumulated deficit | (1,437 | ) | (1,591 | ) | ||||
Accumulated other comprehensive loss | (72 | ) | (89 | ) | ||||
Total stockholders' deficit | (1,504 | ) | (1,675 | ) | ||||
Total liabilities and stockholders' deficit | $ | 6,473 | $ | 7,665 |
F-1 |
RIO BRAVO OILFIELD SERVICES, INC.
COMBINED STATEMENTS OF OPERATIONS
Unaudited
(USD in thousands, except per share amounts)
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Net sales of products | $ | 2,921 | $ | 1,619 | ||||
Cost of products sold | 2,084 | 1,318 | ||||||
Depreciation, productive assets | 19 | 18 | ||||||
Gross profit | 818 | 283 | ||||||
Sales, general and administration expenses: | ||||||||
Personnel costs | 369 | 366 | ||||||
Professional fees | 91 | 133 | ||||||
Administration, rents | 28 | 22 | ||||||
General expenses | 123 | 169 | ||||||
Depreciation, nonproductive assets | 1 | — | ||||||
Total sales, general and administration expenses | 612 | 690 | ||||||
Operating income (loss) | 206 | (407 | ) | |||||
Other income (expense) | ||||||||
Interest expense | (8 | ) | (4 | ) | ||||
Total other income (expense) | (8 | ) | (4 | ) | ||||
Net Income (Loss) Before Tax | 198 | (411 | ) | |||||
Provision for income taxes | 44 | 35 | ||||||
Net income (loss) | $ | 154 | $ | (446 | ) | |||
Per share information | ||||||||
Net income (loss) per common share | $ | 154.22 | $ | (445.64 | ) | |||
Weighted average shares outstanding | 1,000 | 1,000 |
F-2 |
RIO BRAVO OILFIELD SERVICES, INC.
COMBINED STATEMENTS OF CASH FLOWS
Unaudited
(USD in thousands)
Three Months Ended March 31, | ||||||||
2015 | 2014 | |||||||
Operating Activities | ||||||||
Net income (loss) | $ | 154 | $ | (446 | ) | |||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||||||||
Depreciation | 20 | 18 | ||||||
(Gain) loss on change in fair value of | ||||||||
foreign exchange forward contracts | — | 18 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable, net | 13 | (355 | ) | |||||
Inventories, net | 851 | (2,288 | ) | |||||
Prepaid expenses and other current assets | 229 | 854 | ||||||
Accounts payable | (399 | ) | 209 | |||||
Advance payments and deposits | — | 9 | ||||||
Accrued personnel costs | 11 | 50 | ||||||
Customer advance payments | (946 | ) | (4 | ) | ||||
Accrued taxes, warranties and other expenses | (21 | ) | (13 | ) | ||||
Cash provided by (used in) operating activities | (88 | ) | (1,948 | ) | ||||
Investing Activities | ||||||||
Purchases of property and equipment | (9 | ) | (93 | ) | ||||
Net cash used in investing activities | (9 | ) | (93 | ) | ||||
Financing Activities | ||||||||
Payments on bank lines of credit | (3 | ) | (4 | ) | ||||
Payments on long-term debt | (5 | ) | (5 | ) | ||||
Owner distributions paid | (6 | ) | — | |||||
Net cash provided by (used in) financing activities | (14 | ) | (9 | ) | ||||
Effect of exchange rates on cash and cash equivalents | 23 | 8 | ||||||
Net increase (decrease) in cash and cash equivalents | (88 | ) | (2,042 | ) | ||||
Cash and cash equivalents at the beginning of the quarter | 180 | 2,659 | ||||||
Cash and cash equivalents at the end of the quarter | $ | 92 | $ | 617 | ||||
Supplemental Disclosure of Cash Flow Information: | ||||||||
Cash paid during the quarter for interest | $ | 6 | $ | 4 | ||||
Cash paid during quarter for taxes | $ | 15 | $ | 27 |
F-3 |