Note 1—Nature of Business

Organization and operations— Primoris Services Corporation is a holding company of various construction and product engineering subsidiaries. The Company’s underground and directional drilling operations install, replace and repair natural gas, petroleum, telecommunications and water pipeline systems, including large diameter pipeline systems. The Company’s industrial, civil and engineering operations build and provide maintenance services to industrial facilities including power plants, petrochemical facilities, and other processing plants; construct multi-level parking structures; and engage in the construction of highways, bridges and other environmental construction activities. The Company is incorporated in the State of Delaware and its corporate headquarters are located at 2100 McKinney Avenue, Suite 1500, Dallas, Texas 75201.

The following table lists the Company’s primary operating subsidiaries and their reportable operating segment:

Subsidiary		Operating Segment
ARB, Inc. (“ARB”)		West Construction Services
ARB Structures, Inc.		West Construction Services
Q3 Contracting, Inc. (“Q3C”); acquired 2012		West Construction Services
Rockford Corporation (“Rockford”)		West Construction Services
Stellaris, LLC.		West Construction Services
OnQuest, Inc.		Engineering
OnQuest, Canada, ULC (Born Heaters Canada, ULC prior to 2013)		Engineering
Cardinal Contractors, Inc.		East Construction Services
Force Specialty Services, Inc. (“FSSI”); acquired 2013		East Construction Services
James Construction Group, LLC (“JCG”)		East Construction Services
Sprint Pipeline Services, L.P. (“Sprint”); acquired 2012		East Construction Services
Silva Group (“Silva”); acquired 2012		East Construction Services
The Saxon Group (“Saxon”); acquired 2012		East Construction Services

The Company is a party to the Blythe Power Constructors joint venture (“Blythe”) for the installation of a parabolic trough solar field and steam generation system in California.

Unless specifically noted otherwise, as used throughout these consolidated financial statements, “Primoris”, “the Company”, “we”, “our”, “us” or “its” refers to the business, operations and financial results of the Company and its wholly-owned subsidiaries.