(15) Separate Financial Information of Subsidiary Guarantors of Indebtedness

The Company’s obligation to pay principal and interest on its 7.625% senior unsecured notes due November 1, 2018, is guaranteed on a joint and several basis by substantially all of the Company’s existing and future subsidiaries that guarantee obligations under the Company’s Sixth Amended Credit Agreement (the “Guarantors”). The guarantees are full and unconditional and the Guarantors are 100%-owned by the Company.

The following supplemental condensed consolidating financial information reflects the summarized financial information of the Company as the issuer of the senior unsecured notes, the Guarantors and the Company’s non-guarantor subsidiaries on a combined basis.

CONDENSED CONSOLIDATING BALANCE SHEET - SEPTEMBER 30, 2014 (UNAUDITED)

(in thousands)



					Non-
	Tutor Perini		Guarantor		Guarantor				Total
	Corporation		Subsidiaries		Subsidiaries		Eliminations		Consolidated
ASSETS
Cash and Cash Equivalents	$	70,445	$	58,914	$	7,869	$	—	$	137,228
Restricted Cash		3,369		7,898		35,721		—		46,988
Accounts Receivable		382,369		1,265,389		41,438		(108,602)		1,580,594
Costs and Estimated Earnings in Excess of Billings		65,139		666,477		152		(11,591)		720,177
Deferred Income Taxes		—		15,577		—		(7,626)		7,951
Other Current Assets		74,481		52,683		31,966		(89,812)		69,318
Total Current Assets		595,803		2,066,938		117,146		(217,631)		2,562,256

Long-term Investments										—
Property and Equipment, net		91,585		431,029		4,367		—		526,981
Intercompany Notes and Receivables		—		102,889		—		(102,889)		—
Other Assets:
Goodwill		—		585,006		—		—		585,006
Intangible Assets, net		—		103,329		—		—		103,329
Investment in Subsidiaries		2,146,278		19,518		50		(2,165,846)		—
Other		54,503		8,830		—		(5,385)		57,948
	$	2,888,169	$	3,317,539	$	121,563	$	(2,491,751)	$	3,835,520

LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Maturities of Long-term Debt	$	21,079	$	44,328	$	—	$	—	$	65,407
Accounts Payable		215,966		735,776		3,935		(92,034)		863,643
Billings in Excess of Costs and Estimated Earnings		158,148		172,611		34		(3,147)		327,646
Accrued Expenses and Other Current Liabilities		77,902		100,698		55,007		(88,271)		145,336
Total Current Liabilities		473,095		1,053,413		58,976		(183,452)		1,402,032

Long-term Debt, less current maturities		805,592		114,914		—		(40,385)		880,121
Deferred Income Taxes		107,411		7,914		—		—		115,325
Other Long-term Liabilities		95,054		2,061		—		—		97,115
Intercompany Notes and Advances Payable		66,091		—		36,149		(102,240)		—
								—		—
Contingencies and Commitments										—

Stockholders’ Equity		1,340,926		2,139,237		26,438		(2,165,674)		1,340,927
	$	2,888,169	$	3,317,539	$	121,563	$	(2,491,751)	$	3,835,520

CONDENSED CONSOLIDATING BALANCE SHEET - DECEMBER 31, 2013

(in thousands)



					Non-
	Tutor Perini		Guarantor		Guarantor				Total
	Corporation		Subsidiaries		Subsidiaries		Eliminations		Consolidated
ASSETS
Cash and Cash Equivalents	$	88,995	$	18,031	$	12,897	$	—	$	119,923
Restricted Cash		18,833		8,040		15,721		—		42,594
Accounts Receivable		208,227		1,126,012		47,958		(90,951)		1,291,246
Costs and Estimated Earnings in Excess of Billings		99,779		505,979		152		(32,662)		573,248
Deferred Income Taxes		—		15,866		—		(7,626)		8,240
Other Current Assets		37,605		26,234		24,462		(37,632)		50,669
Total Current Assets		453,439		1,700,162		101,190		(168,871)		2,085,920

Long-term Investments		46,283		—		—		—		46,283
Property and Equipment, net		77,562		415,993		4,570		—		498,125
Intercompany Notes and Receivables		—		428,190		—		(428,190)		—
Other Assets:
Goodwill		—		577,756		—		—		577,756
Intangible Assets, net		—		113,740		—		—		113,740
Investment in Subsidiaries		2,181,280		29		50		(2,181,359)		—
Other		70,269		10,528		—		(5,183)		75,614
	$	2,828,833	$	3,246,398	$	105,810	$	(2,783,603)	$	3,397,438

LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Maturities of Long-term Debt		50,578		64,080		—		—		114,658
Accounts Payable		162,292		677,997		6,039		(88,103)		758,225
Billings in Excess of Costs and Estimated Earnings		90,267		177,285		34		—		267,586
Accrued Expenses and Other Current Liabilities		58,232		99,257		48,369		(47,841)		158,017
Total Current Liabilities		361,369		1,018,619		54,442		(135,944)		1,298,486

Long-term Debt, less current maturities		575,356		84,053		—		(40,183)		619,226
Deferred Income Taxes		107,448		6,885		—		—		114,333
Other Long-term Liabilities		114,677		3,181		—		—		117,858
Intercompany Notes and Advances Payable		422,448		—		23,462		(445,910)		—

Contingencies and Commitments

Stockholders’ Equity		1,247,535		2,133,660		27,906		(2,161,566)		1,247,535
	$	2,828,833	$	3,246,398	$	105,810	$	(2,783,603)	$	3,397,438

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (UNAUDITED)

THREE MONTHS ENDED SEPTEMBER 30, 2014

(in thousands)



					Non-
	Tutor Perini		Guarantor		Guarantor				Total
	Corporation		Subsidiaries		Subsidiaries		Eliminations		Consolidated

Revenues	$	272,657	$	1,020,335	$	—	$	(42,303)	$	1,250,689
Cost of Operations		242,717		913,797		(4,363)		(42,303)		1,109,848

Gross Profit	$	29,940		106,538		4,363		—	$	140,841

General and Administrative Expenses		22,128		47,884		475		—		70,487

INCOME FROM CONSTRUCTION OPERATIONS		7,812		58,654		3,888		—		70,354

Equity in Earnings of Subsidiaries		38,044		—		—		(38,044)		—
Other (Expense) Income, net		(1,246)		677		128		—		(441)
Interest Expense		(10,369)		(928)		—		—		(11,297)

Income (loss) before Income Taxes		34,241		58,403		4,016		(38,044)		58,616

(Provision) for Income Taxes		1,489		(22,870)		(1,505)		—		(22,886)

NET INCOME (LOSS)	$	35,730	$	35,533	$	2,511	$	(38,044)	$	35,730

Other Comprehensive Income:

Other Comprehensive Income of Subsidiaries		(456)		—		—		456		—
Foreign currency translation		—		(501)		—		—		(501)
Change in fair value of investments		—		45		—		—		45
Change in fair value of interest rate swap		129		—		—		—		129
Total Other Comprehensive (Loss) Income		(327)		(456)		—		456		(327)

Total Comprehensive Income (Loss)	$	35,403	$	35,077	$	2,511	$	(37,588)	$	35,403

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (UNAUDITED)

THREE MONTHS ENDED SEPTEMBER 30, 2013

(in thousands)



					Non-
	Tutor Perini		Guarantor		Guarantor				Total
	Corporation		Subsidiaries		Subsidiaries		Eliminations		Consolidated
Revenues	$	175,160	$	884,332	$	—	$	(29,104)	$	1,030,388
Cost of Operations		150,560		794,440		(6,365)		(29,104)		909,531

Gross Profit		24,600		89,892		6,365		—		120,857

General and Administrative Expenses		17,073		45,187		503		—		62,763

(LOSS) INCOME FROM CONSTRUCTION OPERATIONS		7,527		44,705		5,862		—		58,094

Equity in Earnings of Subsidiaries		32,148		—		—		(32,148)		—
Other (Expense) Income, net		(9,736)		115		133		—		(9,488)
Interest Expense		(10,655)		(916)		—		—		(11,571)

Income (Loss) before Income Taxes		19,284		43,904		5,995		(32,148)		37,035

Credit (Provision) for Income Taxes		4,475		(15,594)		(2,157)		—		(13,276)

NET INCOME (LOSS)	$	23,759	$	28,310	$	3,838	$	(32,148)	$	23,759

Other Comprehensive Income:

Other Comprehensive Income of Subsidiaries		(667)		—		—		667		—
Tax adjustment on minimum pension liability		—		—		—		—		—
Foreign currency translation		—		(393)		—		—		(393)
Change in fair value of investments		—		(274)		—		—		(274)
Change in fair value of interest rate swap		5		—		—		—		5
Total Other Comprehensive (Loss) Income		(662)		(667)		—		667		(662)

Total Comprehensive Income (Loss)	$	23,097	$	27,643	$	3,838	$	(31,481)	$	23,097

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (UNAUDITED)

NINE MONTHS ENDED SEPTEMBER 30, 2014

(in thousands)



					Non-
	Tutor Perini		Guarantor		Guarantor				Total
	Corporation		Subsidiaries		Subsidiaries		Eliminations		Consolidated

Revenues	$	707,448	$	2,702,117	$	—	$	(119,133)	$	3,290,432
Cost of Operations		614,408		2,438,802		(19,364)		(119,133)		2,914,713

Gross Profit		93,040		263,315		19,364		—		375,719

General and Administrative Expenses		58,908		138,129		1,388		—		198,425

INCOME FROM CONSTRUCTION OPERATIONS		34,132		125,186		17,976		—		177,294

Equity in Earnings of Subsidiaries		85,073		—		—		(85,073)		—
Other (Expense) Income, net		(12,025)		861		376				(10,788)
Interest Expense		(30,195)		(2,790)		—		—		(32,985)

Income (loss) before Income Taxes		76,985		123,257		18,352		(85,073)		133,521

Benefit (Provision) for Income Taxes		3,229		(49,209)		(7,327)		—		(53,307)

NET INCOME (LOSS)	$	80,214	$	74,048	$	11,025	$	(85,073)	$	80,214

Other Comprehensive Income:

Other Comprehensive Income of Subsidiaries		(221)		—		—		221		—
Foreign currency translation		—		(440)		—		—		(440)
Change in fair value of investments		—		219		—		—		219
Change in fair value of interest rate swap		286		—		—		—		286
Total Other Comprehensive (Loss) Income		65		(221)		—		221		65

Total Comprehensive Income (Loss)	$	80,279	$	73,827	$	11,025	$	(84,852)	$	80,279

CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS (UNAUDITED)

NINE MONTHS ENDED SEPTEMBER 30, 2013

(in thousands)



					Non-
	Tutor Perini		Guarantor		Guarantor				Total
	Corporation		Subsidiaries		Subsidiaries		Eliminations		Consolidated

Revenues	$	456,732	$	2,753,816	$	—	$	(134,167)	$	3,076,381
Cost of Operations		398,072		2,499,544		(14,237)		(134,167)		2,749,212

Gross Profit		58,660		254,272		14,237		—		327,169

General and Administrative Expenses		55,178		136,895		1,449		—		193,522

(LOSS) INCOME FROM CONSTRUCTION OPERATIONS		3,482		117,377		12,788		—		133,647

Equity in Earnings of Subsidiaries		80,944		—		—		(80,944)		—
Other (Expense) Income, net		(14,859)		926		384		—		(13,549)
Interest Expense		(31,500)		(2,490)		—		—		(33,990)

Income (Loss) before Income Taxes		38,067		115,813		13,172		(80,944)		86,108

Credit (Provision) for Income Taxes		15,970		(43,135)		(4,906)		—		(32,071)

NET INCOME (LOSS)	$	54,037	$	72,678	$	8,266	$	(80,944)	$	54,037

Other Comprehensive Income:

Other Comprehensive Income of Subsidiaries		(1,147)		—		—		1,147		—
Foreign currency translation		—		(622)		—		—		(622)
Change in fair value of investments		—		(525)		—		—		(525)
Change in fair value of interest rate swap		465		—		—		—		465
Total Other Comprehensive (Loss) Income		(682)		(1,147)		—		1,147		(682)

Total Comprehensive Income (Loss)	$	53,355	$	71,531	$	8,266	$	(79,797)	$	53,355

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (UNAUDITED)

NINE MONTHS ENDED SEPTEMBER 30, 2014

(in thousands)



					Non-
	Tutor Perini		Guarantor		Guarantor				Total
	Corporation		Subsidiaries		Subsidiaries		Eliminations		Consolidated
Cash Flows from Operating Activities:
Net income (loss)	$	80,214	$	74,048	$	11,025	$	(85,073)	$	80,214
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization		5,617		36,345		203		—		42,165
Equity in earnings of subsidiaries		(85,073)		—		—		85,073		—
Stock-based compensation expense		14,127		249		—		—		14,376
Excess income tax benefit from stock-based compensation		(656)		—		—		—		(656)
Deferred income taxes		4,140		11,848		—		—		15,988
(Gain) loss on sale of investments		1,786		—		—		—		1,786
(Gain) loss on sale of property and equipment		833		93		—		—		926
Other long-term liabilities		2,376		(1,120)		—		—		1,256
Other non-cash items		1,324		—		—		—		1,324
Changes in other components of working capital		(17,700)		(286,654)		3,550		—		(300,804)
NET CASH (USED) PROVIDED BY OPERATING ACTIVITIES	$	6,988	$	(165,191)	$	14,778	$	—	$	(143,425)

Cash Flows from Investing Activities:
Acquisition of property and equipment excluding financed purchases		(18,743)		(19,035)		—		—		(37,778)
Proceeds from sale of property and equipment		136		5,017		—		—		5,153
Proceeds from sale of available-for-sale securities		44,497		—		—		—		44,497
Change in restricted cash		15,464		142		(20,000)		—		(4,394)
NET CASH PROVIDED (USED) BY INVESTING ACTIVITIES	$	41,354	$	(13,876)	$	(20,000)	$	—	$	7,478

Cash Flows from Financing Activities:
Proceeds from debt		952,568		40,442		—		—		993,010
Repayment of debt		(752,030)		(56,581)		—		—		(808,611)
Business acquisition-related payments		(26,430)		—		—		—		(26,430)
Excess income tax benefit from stock-based compensation		656		—		—		—		656
Issuance of common stock and effect of cashless exercise		(1,692)		—		—		—		(1,692)
Debt Issuance Costs		(3,681)		—		—		—		(3,681)
Increase (decrease) in intercompany advances		(236,283)		236,089		194		—		—
NET CASH (USED) PROVIDED BY FINANCING ACTIVITIES	$	(66,892)	$	219,950	$	194	$	—	$	153,252

Net (Decrease) Increase in Cash and Cash Equivalents		(18,550)		40,883		(5,028)		—		17,305
Cash and Cash Equivalents at Beginning of Year		88,995		18,031		12,897		—		119,923
Cash and Cash Equivalents at End of Period	$	70,445	$	58,914	$	7,869	$	—	$	137,228

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS (UNAUDITED)

NINE MONTHS ENDED SEPTEMBER 30, 2013

(in thousands)



					Non-
	Tutor Perini		Guarantor		Guarantor				Total
	Corporation		Subsidiaries		Subsidiaries		Eliminations		Consolidated
Cash Flows from Operating Activities:
Net income (loss)	$	54,037	$	72,678	$	8,266	$	(80,944)	$	54,037
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization		5,341		36,222		203		—		41,766
Equity in earnings of subsidiaries		(80,944)		—		—		80,944		—
Stock-based compensation expense		6,597		—		—		—		6,597
Excess income tax benefit from stock-based compensation		(356)		—		—		—		(356)
Deferred income taxes		(549)		46		—		—		(503)
(Gain) loss on sale of property and equipment		(220)		—		—		—		(220)
Other long-term liabilities		18,723		(846)		—		—		17,877
Other non-cash items		1,468		(1,024)		—		—		444
Changes in other components of working capital		34,877		(123,003)		(42,574)		—		(130,700)
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES	$	38,974	$	(15,927)	$	(34,105)	$	—	$	(11,058)

Cash Flows from Investing Activities:
Acquisition of property and equipment excluding financed purchases		(19,189)		(20,621)		—		—		(39,810)
Proceeds from sale of property and equipment		222		2,329		—		—		2,551
Change in restricted cash		6,780		186		(15,715)		—		(8,749)
NET CASH PROVIDED (USED) BY INVESTING ACTIVITIES	$	(12,187)	$	(18,106)	$	(15,715)	$	—	$	(46,008)

Cash Flows from Financing Activities:
Proceeds from debt		541,544		29,741		—		—		571,285
Repayment of debt		(513,912)		(22,315)		—		—		(536,227)
Business acquisition related payments		(17,716)		—		—		—		(17,716)
Excess income tax benefit from stock-based compensation		356		—		—		—		356
Issuance of common stock and effect of cashless exercise		(786)		—		—		—		(786)
Increase (decrease) in intercompany advances		(20,104)		(19,966)		40,070		—		—
NET CASH (USED) PROVIDED BY FINANCING ACTIVITIES	$	(10,618)	$	(12,540)	$	40,070	$	—	$	16,912

Net Increase (Decrease) in Cash and Cash Equivalents		16,169		(46,573)		(9,750)		—		(40,154)
Cash and Cash Equivalents at Beginning of Year		64,663		74,385		29,008		—		168,056
Cash and Cash Equivalents at End of Period	$	80,832	$	27,812	$	19,258	$	—	$	127,902