Segment and Related Information

12 Months Ended

Dec. 31, 2011

Segment and Related Information [Abstract]

Segment and Related Information

12.     Segment and Related Information

Our Company consists of three reportable segments, which offer different products and services to a relatively homogenous customer base. The reportable segments include: Fluids Systems and Engineering, Mats and Integrated Services, and Environmental Services. Intersegment revenues are generally recorded at cost for items which are included in inventory of the purchasing segment, and at standard markups for items which are included in cost of revenues of the purchasing segment. All intersegment revenues and related profits have been eliminated.

Fluids Systems and Engineering — Our Fluids Systems and Engineering business offers customized solutions including highly technical drilling projects involving complex subsurface conditions, such as horizontal directional, geologically deep or deep water drilling. These projects require increased monitoring and critical engineering support of the fluids system during the drilling process. We provide drilling fluids products and technical services to markets in North America, EMEA, Brazil, and following our April 2011 acquisition (see Note 5), the Asia Pacific region. We also provide completion services and equipment rental to customers in Oklahoma and Texas.

We have industrial mineral grinding operations for barite, a critical raw material in drilling fluids products, which serve to support our activity in the drilling fluids market. We grind barite and other industrial minerals at facilities in Houston and Corpus Christi, Texas, New Iberia, Louisiana and Dyersburg, Tennessee. We use the resulting products in our drilling fluids business, and also sell them to third party users, including other drilling fluids companies. We also sell a variety of other minerals, principally to third party industrial (non oil and gas) markets, from our main plant in Houston, Texas and from the plant in Dyersburg, Tennessee.

Mats and Integrated Services — This segment provides mat rentals, location construction and related well site services to E&P customers in the Northeast U.S. region, onshore U.S. Gulf Coast, and Rocky Mountain regions, and mat rentals to the utility industry in the U.K. These mats provide environmental protection and ensure all-weather access to sites with unstable soil conditions.

We manufacture our DuraBase ^TM composite mat system for sales as well as for use in our domestic and international rental operations. Our marketing efforts for this product remain focused in principal oil and gas industry markets which include the Asia Pacific, Latin America, EMEA, as well as markets outside the E&P sector in the U.S. and Europe. We believe these mats have worldwide applications outside our traditional oilfield market, primarily in infrastructure construction, maintenance and upgrades of electric utility transmission lines, military logistics and as temporary roads for movement of oversized or unusually heavy loads.

Environmental Services — This segment provides disposal services for both oilfield E&P waste and industrial waste. The primary method used for disposal is low pressure injection into environmentally secure geologic formations deep underground. This segment operates in the U.S. Gulf Coast and West Texas markets.

Summarized financial information concerning our reportable segments is shown in the following tables:

	Year Ended December 31,
	2011			2010			2009
	(In thousands)
Revenues
Fluids Systems & Engineering	$	798,957		$	597,795		$	409,450
Mats & Integrated Services		110,411			69,397			37,476
Environmental Services		48,812			48,762			43,349
Total Revenues	$	958,180		$	715,954		$	490,275
Depreciation and Amortization
Fluids Systems & Engineering	$	17,126		$	15,253		$	13,739
Mats & Integrated Services		7,581			7,672			10,309
Environmental Services		3,016			3,169			3,339
Corporate Office		1,248			916			751
Total Depreciation and Amortization	$	28,971		$	27,010		$	28,138
Operating Income (loss)
Fluids Systems & Engineering	$	90,683		$	56,234		$	1,994
Mats & Integrated Services		52,678			26,684			(7,840	)
Environmental Services		11,909			13,447			7,711
Corporate Office		(22,506	)		(18,361	)		(17,190	)
Operating Income (loss)	$	132,764		$	78,004		$	(15,325	)
Segment Assets
Fluids Systems & Engineering	$	673,794		$	476,677		$	409,054
Mats & Integrated Services		93,078			79,957			77,868
Environmental Services		70,122			69,058			66,966
Corporate		49,843			111,650			31,226
Total Assets	$	886,837		$	737,342		$	585,114
Capital Expenditures
Fluids Systems & Engineering	$	16,033		$	7,033		$	12,748
Mats & Integrated Services		7,629			2,253			4,604
Environmental Services		1,693			738			865
Corporate		11,542			2,110			326
Total Capital Expenditures	$	36,897		$	12,134		$	18,544

The following table sets forth information about our operations by geographic area. Revenues by geographic location are determined based on the operating location from which services are rendered or products are sold.

	Year Ended December 31,
	2011		2010		2009
	(In thousands)
Revenue
United States	$	690,205	$	516,786	$	334,986
Canada		51,713		23,846		13,432
EMEA		115,319		113,295		115,926
Latin America and Mexico		76,355		62,027		25,931
Asia Pacific		24,588		—		—
Total Revenue	$	958,180	$	715,954	$	490,275
Long-Lived Assets
United States	$	252,751	$	243,194	$	253,630
Canada		11,730		12,334		12,075
EMEA		25,814		26,380		27,076
Latin America and Mexico		12,920		14,904		14,735
Asia Pacific		29,463		—		—
Total Long-Lived Assets	$	332,678	$	296,812	$	307,516

No single customer accounted for more than 10% of our consolidated revenues for years ended December 31, 2011, 2010 or 2009.