Impairment of Inventory and Rental Equipment

9 Months Ended

Sep. 30, 2015

Impairment of Inventory and Rental Equipment

During the three months ended June 30, 2015, as a result of decreased rig activity and its impact on management’s expectations for future market activity, the Company refocused the Drilling Technologies segment to businesses and markets that have the best opportunity for profitable growth in the future. In addition, the Company has shifted the focus of the Production Technologies segment to oil production markets and away from coal bed methane markets. As a result of these changes in focus and projected declines in asset utilization, the Company recorded a pre-tax impairment charge during the three months ended June 30, 2015, as follows (in thousands):



Drilling Technologies:
Inventories	$	17,241
Rental equipment	2,327
Production Technologies:
Inventories	804
Total impairment	$	20,372