•	Largely completed the sale of pressure pumping assets, having received proceeds totaling $41.7 million as of March 6, 2020, with an estimated $10-$12 million in remaining proceeds;

•	Midstream water disposal volumes increased to a record 10.9 million barrels during the fourth quarter of 2019, 38% via pipeline; and

•	Cash and cash equivalents totaled $36.2 million at December 31, 2019, with no borrowings and 34.2 million of letters of credit outstanding under the ABL facility.

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•	Full year 2019 continuing EBITDA and Adjusted EBITDA(1) were $20.5 million and $39.6 million, respectively;

•	Midstream water disposal volumes increased 14% year over year to a record 41.3 million barrels during the year ended December 31, 2019, 34% via pipeline;

•	Continued operating results include $5.3 million of inventory write-downs related to our manufacturing business; and

•	Total losses for the year include $43.0 million of fixed asset impairments and inventory write-downs related to our discontinued pumping services and contract drilling operations.

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•	The financial performance of its assets without regard to financing methods, capital structure or historical cost basis;

•	The ability of its assets to generate cash sufficient to pay interest on its indebtedness; and

•	Its operating performance and return on invested capital as compared to those of other companies in the oilfield services industry.

•	EBITDA does not reflect its current or future requirements for capital expenditures or capital commitments;

•	EBITDA does not reflect changes in, or cash requirements necessary, to service interest or principal payments on, its debt;

•	EBITDA does not reflect income taxes;

•	Although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and EBITDA does not reflect any cash requirements for such replacements; and

•	Other companies in the industry may calculate EBITDA differently than Basic does, limiting its usefulness as a comparative measure.

•	Adjusted EBITDA does not reflect Basic’s gain or loss on disposal of assets;

•	Adjusted EBITDA does not reflect Basic’s non-cash stock compensation;

•	Adjusted EBITDA does not reflect Basic’s inventory write-downs;

•	Adjusted EBITDA does not reflect Basic’s impairment expenses;

•	Adjusted EBITDA does not reflect Basic’s professional fees related to one-time costs incurred for contemplated mergers and acquisitions that we did not pursue, tax recovery during the twelve months ended December 31, 2019, or one-time costs for a withdrawn bond offering during the twelve months ended December 31, 2018;

•	Adjusted EBITDA does not reflect one-time accrual for executive severance payments during the twelve months ended December 31, 2019, payments for executive retirements during the twelve months ended December 31, 2018, or executive bonus expense for 2017 that was approved by the Compensation Committee of the Board of Directors and paid during the twelve months ended December 31, 2018;

•	Adjusted EBITDA does not reflect Basic's strategic consulting fees during the twelve months ended December 31, 2018;

•	Adjusted EBITDA does not reflect the write-off of certain bad debt related to a single customer incurred during the twelve months ended December 31, 2018;

•	Adjusted EBITDA does not reflect Basic's accrual for expected Texas state sales tax audit settlement accrued during the twelve months ended December 31, 2018; and

•	Other companies in the industry may calculate Adjusted EBITDA differently than Basic does, limiting its usefulness as a comparative measure.

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