(12) Supplemental Guarantor Information

SESI, L.L.C. (the Issuer), a 100% owned subsidiary of Superior Energy Services, Inc. (Parent), has $500 million of 7 3/4% senior unsecured notes due 2024. The Parent, along with certain of its 100% owned domestic subsidiaries, fully and unconditionally guaranteed such senior unsecured notes, and such guarantees are joint and several.



SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Condensed Consolidating Balance Sheets
June 30, 2018
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Assets
Current assets:
Cash and cash equivalents	$	-	$	68,807	$	1,243	$	48,462	$	-	$	118,512
Accounts receivable, net		-		(924)		372,274		70,633		-		441,983
Intercompany accounts receivable		-		8,920		68,283		5,533		(82,736)		-
Other current assets		-		12,190		153,887		35,876		-		201,953
Total current assets		-		88,993		595,687		160,504		(82,736)		762,448

Property, plant and equipment, net		-		10,609		1,035,229		194,865		-		1,240,703
Goodwill		-		-		657,099		149,714		-		806,813
Notes receivable		-		-		62,041		-		-		62,041
Long-term intercompany accounts receivable		2,230,531		-		2,058,093		180,246		(4,468,870)		-
Equity investments of consolidated subsidiaries		(1,177,514)		4,461,755		6,223		-		(3,290,464)		-
Restricted cash		-		-		11,586		45		-		11,631
Intangible and other long-term assets, net		-		21,217		108,503		7,629		-		137,349
Total assets	$	1,053,017	$	4,582,574	$	4,534,461	$	693,003	$	(7,842,070)	$	3,020,985

Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	-	$	12,184	$	128,478	$	21,463	$	-	$	162,125
Accrued expenses		302		103,998		74,908		22,457		-		201,665
Intercompany accounts payable		-		724		8,250		73,762		(82,736)		-
Current portion of decommissioning liabilities		-		-		20,670		3,486		-		24,156
Total current liabilities		302		116,906		232,306		121,168		(82,736)		387,946

Deferred income taxes		-		(156,705)		194,992		3,471		-		41,758
Decommissioning liabilities		-		-		103,088		-		-		103,088
Long-term debt, net		-		1,281,145		-		-		-		1,281,145
Long-term intercompany accounts payable		-		4,468,870		-		-		(4,468,870)		-
Other long-term liabilities		-		49,872		78,276		26,185		-		154,333
Total stockholders' equity (deficit)		1,052,715		(1,177,514)		3,925,799		542,179		(3,290,464)		1,052,715
Total liabilities and stockholders' equity	$	1,053,017	$	4,582,574	$	4,534,461	$	693,003	$	(7,842,070)	$	3,020,985



SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Condensed Consolidating Balance Sheets
December 31, 2017
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Assets
Current assets:
Cash and cash equivalents	$	-	$	126,533	$	440	$	45,027	$	-	$	172,000
Accounts receivable, net		-		-		332,402		70,889		(5,235)		398,056
Income taxes receivable		-		-		(221)		1,180		-		959
Intercompany accounts receivable		-		6,460		58,375		5,865		(70,700)		-
Other current assets		-		11,895		129,970		34,295		-		176,160
Assets held for sale		-		-		-		13,644		-		13,644
Total current assets		-		144,888		520,966		170,900		(75,935)		760,819

Property, plant and equipment, net		-		12,055		1,093,446		211,443		-		1,316,944
Goodwill		-		-		657,099		150,761		-		807,860
Notes receivable		-		-		60,149		-		-		60,149
Long-term intercompany accounts receivable		2,221,697		-		2,032,056		177,842		(4,431,595)		-
Equity investments of consolidated subsidiaries		(1,088,736)		4,481,702		6,590		-		(3,399,556)		-
Restricted cash		-		-		20,483		-		-		20,483
Intangible and other long-term assets, net		-		22,118		113,632		8,220		-		143,970
Total assets	$	1,132,961	$	4,660,763	$	4,504,421	$	719,166	$	(7,907,086)	$	3,110,225

Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	-	$	14,339	$	89,714	$	20,898	$	(5,235)	$	119,716
Accrued expenses		532		116,767		80,825		23,633		-		221,757
Intercompany accounts payable		-		724		7,918		62,058		(70,700)		-
Current portion of decommissioning liabilities		-		-		25,670		1,591		-		27,261
Liabilities held for sale		-		-		-		6,463		-		6,463
Total current liabilities		532		131,830		204,127		114,643		(75,935)		375,197

Deferred income taxes		-		(147,116)		205,386		2,788		-		61,058
Decommissioning liabilities		-		-		101,293		1,843		-		103,136
Long-term debt, net		-		1,279,771		-		-		-		1,279,771
Long-term intercompany accounts payable		-		4,431,595		-		-		(4,431,595)		-
Other long-term liabilities		-		53,419		79,061		26,154		-		158,634
Total stockholders' equity (deficit)		1,132,429		(1,088,736)		3,914,554		573,738		(3,399,556)		1,132,429
Total liabilities and stockholders' equity	$	1,132,961	$	4,660,763	$	4,504,421	$	719,166	$	(7,907,086)	$	3,110,225



SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Condensed Consolidating Statements of Operations
Three Months Ended June 30, 2018
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Revenues	$	-	$	-	$	473,724	$	73,289	$	(11,465)	$	535,548
Cost of services and rentals (exclusive of depreciation,
depletion, amortization and accretion)		-		(2,963)		334,169		50,069		(11,465)		369,810
Depreciation, depletion, amortization and
accretion		-		990		85,501		11,482		-		97,973
General and administrative expenses		-		21,098		35,668		13,130		-		69,896
Loss from operations		-		(19,125)		18,386		(1,392)		-		(2,131)

Other income (expense):
Interest expense, net		-		(25,884)		980		10		-		(24,894)
Other income (expense)		-		(186)		264		(2,460)		-		(2,382)
Equity in losses of consolidated subsidiaries		(26,390)		11,361		(200)		-		15,229		-
Loss from continuing operations before income taxes		(26,390)		(33,834)		19,430		(3,842)		15,229		(29,407)
Income taxes		-		(7,444)		3,001		473		-		(3,970)
Net loss from continuing operations		(26,390)		(26,390)		16,429		(4,315)		15,229		(25,437)
Loss from discontinued operations, net of income tax		-		-		-		(953)		-		(953)
Net loss	$	(26,390)	$	(26,390)	$	16,429	$	(5,268)	$	15,229	$	(26,390)




SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Consolidating Statements of Comprehensive Loss
Three Months Ended June 30, 2018
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Net loss	$	(26,390)	$	(26,390)	$	16,429	$	(5,268)	$	15,229	$	(26,390)
Change in cumulative translation adjustment, net of tax		(7,053)		(7,053)		-		(7,053)		14,106		(7,053)
Comprehensive loss	$	(33,443)	$	(33,443)	$	16,429	$	(12,321)	$	29,335	$	(33,443)



SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Condensed Consolidating Statements of Operations
Three Months Ended June 30, 2017
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Revenues	$	-	$	-	$	416,328	$	56,311	$	(2,571)	$	470,068
Cost of services and rentals (exclusive of depreciation,
depletion, amortization and accretion)		-		1,500		311,009		41,864		(2,571)		351,802
Depreciation, depletion, amortization and
accretion		-		1,035		94,031		13,053		-		108,119
General and administrative expenses		-		25,948		37,732		13,028		-		76,708
Loss from operations		-		(28,483)		(26,444)		(11,634)		-		(66,561)

Other income (expense):
Interest expense, net		-		(24,370)		957		80		-		(23,333)
Other income (expense)		-		(311)		206		(2,051)		-		(2,156)
Equity in losses of consolidated subsidiaries		(63,806)		(24,545)		(148)		-		88,499		-
Loss from continuing operations before income taxes		(63,806)		(77,709)		(25,429)		(13,605)		88,499		(92,050)
Income taxes		-		(13,903)		(15,278)		(830)		-		(30,011)
Net income (loss) from continuing operations		(63,806)		(63,806)		(10,151)		(12,775)		88,499		(62,039)
Loss from discontinued operations, net of income tax		-		-		-		(1,767)		-		(1,767)
Net loss	$	(63,806)	$	(63,806)	$	(10,151)	$	(14,542)	$	88,499	$	(63,806)




SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Consolidating Statements of Comprehensive Loss
Three Months Ended June 30, 2017
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Net loss	$	(63,806)	$	(63,806)	$	(10,151)	$	(14,542)	$	88,499	$	(63,806)
Change in cumulative translation adjustment, net of tax		6,022		6,022		-		6,022		(12,044)		6,022
Comprehensive loss	$	(57,784)	$	(57,784)	$	(10,151)	$	(8,520)	$	76,455	$	(57,784)



SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Condensed Consolidating Statements of Operations
Six Months Ended June 30, 2018
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Revenues	$	-	$	-	$	908,858	$	126,548	$	(17,540)	$	1,017,866
Cost of services and rentals (exclusive of depreciation,
depletion, amortization and accretion)		-		(5,589)		645,233		91,166		(17,540)		713,270
Depreciation, depletion, amortization and
accretion		-		2,009		178,215		23,468		-		203,692
General and administrative expenses		-		46,762		74,357		24,597		-		145,716
Loss from operations		-		(43,182)		11,053		(12,683)		-		(44,812)

Other income (expense):
Interest expense, net		-		(51,754)		1,947		26		-		(49,781)
Other income (expense)		-		(252)		538		(4,403)		-		(4,117)
Equity in losses of consolidated subsidiaries		(86,114)		(6,109)		(368)		-		92,591		-
Loss from continuing operations before income taxes		(86,114)		(101,297)		13,170		(17,060)		92,591		(98,710)
Income taxes		-		(15,183)		1,925		(67)		-		(13,325)
Net loss from continuing operations		(86,114)		(86,114)		11,245		(16,993)		92,591		(85,385)
Loss from discontinued operations, net of income tax		-		-		-		(729)		-		(729)
Net loss	$	(86,114)	$	(86,114)	$	11,245	$	(17,722)	$	92,591	$	(86,114)




SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Consolidating Statements of Comprehensive Loss
Six Months Ended June 30, 2018
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Net loss	$	(86,114)	$	(86,114)	$	11,245	$	(17,722)	$	92,591	$	(86,114)
Change in cumulative translation adjustment, net of tax		(2,665)		(2,665)		-		(2,665)		5,330		(2,665)
Comprehensive loss	$	(88,779)	$	(88,779)	$	11,245	$	(20,387)	$	97,921	$	(88,779)



SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Condensed Consolidating Statements of Operations
Six Months Ended June 30, 2017
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Revenues	$	-	$	-	$	770,188	$	108,499	$	(7,683)	$	871,004
Cost of services and rentals (exclusive of depreciation,
depletion, amortization and accretion)		-		2,260		595,969		83,242		(7,683)		673,788
Depreciation, depletion, amortization and
accretion		-		2,081		194,599		25,720		-		222,400
General and administrative expenses		-		51,883		74,876		25,442		-		152,201
Loss from operations		-		(56,224)		(95,256)		(25,905)		-		(177,385)

Other income (expense):
Interest expense, net		-		(49,611)		1,759		269		-		(47,583)
Other income (expense)		-		(722)		447		(1,232)		-		(1,507)
Equity in losses of consolidated subsidiaries		(155,465)		(79,107)		(208)		-		234,780		-
Loss from continuing operations before income taxes		(155,465)		(185,664)		(93,258)		(26,868)		234,780		(226,475)
Income taxes		-		(30,199)		(44,246)		(330)		-		(74,775)
Net income (loss) from continuing operations		(155,465)		(155,465)		(49,012)		(26,538)		234,780		(151,700)
Loss from discontinued operations, net of income tax		-		-		-		(3,765)		-		(3,765)
Net loss	$	(155,465)	$	(155,465)	$	(49,012)	$	(30,303)	$	234,780	$	(155,465)




SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Consolidating Statements of Comprehensive Loss
Six Months Ended June 30, 2017
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Net loss	$	(155,465)	$	(155,465)	$	(49,012)	$	(30,303)	$	234,780	$	(155,465)
Change in cumulative translation adjustment, net of tax		7,746		7,746		-		7,746		(15,492)		7,746
Comprehensive loss	$	(147,719)	$	(147,719)	$	(49,012)	$	(22,557)	$	219,288	$	(147,719)



SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Condensed Consolidating Statements of Cash Flows
Six Months Ended June 30, 2018
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Eliminations		Consolidated
Cash flows from operating activities:
Net cash provided by (used in) operating activities	$	12,342	$	(91,600)	$	131,729	$	(1,787)	$	(11,269)	$	39,415

Cash flows from investing activities:
Payments for capital expenditures		-		(549)		(114,360)		(4,932)		-		(119,841)
Proceeds from sales of assets		-		-		10,150		13,147		-		23,297
Net cash used in investing activities		-		(549)		(104,210)		8,215		-		(96,544)

Cash flows from financing activities:
Intercompany dividends		-		-		-		(11,269)		11,269		-
Changes in notes with affiliated companies, net		(8,834)		34,815		(35,613)		9,632		-		-
Other		(3,508)		(392)		-		-		-		(3,900)
Net cash provided by (used in) financing activities		(12,342)		34,423		(35,613)		(1,637)		11,269		(3,900)
Effect of exchange rate changes on cash		-		-		-		(1,311)		-		(1,311)
Net decrease in cash, cash equivalents, and restricted cash		-		(57,726)		(8,094)		3,480		-		(62,340)

Cash, cash equivalents, and restricted cash at beginning of period		-		126,533		20,923		45,027		-		192,483
Cash, cash equivalents, and restricted cash at end of period	$	-	$	68,807	$	12,829	$	48,507	$	-	$	130,143



SUPERIOR ENERGY SERVICES, INC. AND SUBSIDIARIES
Condensed Consolidating Statements of Cash Flows
Six Months Ended June 30, 2017
(in thousands)
(unaudited)
	Parent		Issuer		Guarantor Subsidiaries		Non- Guarantor Subsidiaries		Consolidated
Cash flows from operating activities:
Net cash provided by (used in) operating activities	$	13,572	$	11,674	$	(520)	$	(7,579)	$	17,147

Cash flows from investing activities:
Payments for capital expenditures		-		(461)		(45,506)		(10,682)		(56,649)
Other		-		-		4,090		-		4,090
Net cash used in investing activities		-		(461)		(41,416)		(10,682)		(52,559)

Cash flows from financing activities:
Changes in notes with affiliated companies, net		(6,822)		(7,812)		11,026		3,608		-
Other		(6,750)		(224)		-		-		(6,974)
Net cash used in financing activities		(13,572)		(8,036)		11,026		3,608		(6,974)
Effect of exchange rate changes on cash		-		-		-		2,093		2,093
Net decrease in cash, cash equivalents, and restricted cash		-		3,177		(30,910)		(12,560)		(40,293)

Cash, cash equivalents, and restricted cash at beginning of period		-		127,445		51,789		66,858		246,092
Cash, cash equivalents, and restricted cash at end of period	$	-	$	130,622	$	20,879	$	54,298	$	205,799