LOADCRAFT INDUSTRIES, LTD. The Best People, Building the Best Products, for the Best Customers. We build the highest quality value for the money! Founded in 1916, Located in Brady, Texas. August/September 2010 Terry McIver President terry.mciver@loadcraft.com Reece McIver Chief Operating Officer reece.mciver@loadcraft.com Grady McIver VP of Rigs grady.mciver@loadcraft.com Ray Jones VP of Trailers ray.jones@loadcraft.com Luis Collazo Chief Financial Officer Lou.collazo@loadcraft.com Gary Weatherman Executive Vice President of Sales and Engineering gary.weatherman@loadcraft.com Donnie Neff Rig Sales Manager don.neff@loadcraft.com Donnie Mach Drawworks Specialist donnie.mach@loadcraft.com Pepper Jones Int. Rig Sales (Dubai) pepper.jones@loadcraft.com Frank Buttenhoff Int. Rig Sales (Indonesia) frank.buttenhoff@loadcraft.com Sharon Mach Parts Sales sharon.mach@loadcraft.com Lewis Smith Trailer Sales LOADCRAFT 750HP lewis.smith@loadcraft.com Wayne Philpot Plant Manager wayne.philpot@loadcraft.com Clois Montague Operations Manager (Brownwood) clois.montague@loadcraft.com Lonnie McDonald Purchasing Manager lonnie.mcdonald@loadcraft.com Bobbie Lusty Executive Asst. bobbie.lusty@loadcraft.com (325)597-2911 Our Products are 100% American Made and Built In Texas at Loadcraft Industries, Ltd. We have Been Serving the Oilfield Industry for over 100 Years…. Domestically and Across the Globe. “Our goal is to build the best American product, with the best people, for the best customers all around the world.” It is always a pleasure and honor for me to express my appreciation to all the people who work with us here at Loadcraft. I will continue to represent our product as being built by the best workforce in the world. That will always mean that there is no better quality product in the world. The last 1 ½ years have very difficult for all, and thank you for bearing with us and sticking it out with us. Unfortunately, the nature of manufacturing is up and down, and we all experienced the down. Today we have a new day, and I truly believe the very best days of Loadcraft are just ahead. Our new REFRESH project, although tedious and somewhat painful, will make our process better than it has ever been, and please don’t lose focus on it and let’s get it to the finish line. As business is definitely picking up, we have a lot of work to finish for the rest of the year. Please don’t forget it is the Providential hand of God that has brought us to this day. Let’s all continue to walk by Faith and not by sight, and join me in living out the Mission Statement of Loadcraft you see to the side here. Beginning in August, you will have the opportunity to participate in some significant spiritual activities that will be offered to strengthen us as individuals, and also strengthen us as a company. Please know that you are not required to participate, but it will enhance your life if you do. Thanks again for your loyalty and commitment to our joint effort here at Loadcraft. Mission Statement Our goal is to build the best American product, with the best people, for the best customers all around the world. We seek to promote human relationships through business relationships, with people from different cultures, with different Faiths, from all different parts of the world, as well as with the people in our very midst. Our very top priority is to daily, demonstrate the character of Christ in our business and personal lives, without being dogmatic or offensive. - Terry McIver Loadcraft Can Meet Any Drilling Solutions ...Throughout the World. We have a global presence with our Rigs and Trailers spanning around the globe, located in ….USA, Argentina, Columbia, Kuwait, Chad, Egypt, Turkey, Mexico, Libya, Venezuela, India, Ecuador, Russia, Turkmenistan, Belarus, Kazakhstan and Iran. Since 2004 we have shipped 127 Loadcraft Rigs and 866 Trailers working hard for our valued Customers... Loadcrafts “Project Refresh 2010” Over the last 5 years, 125 rig and 900 trailer sales, our focus on quality and durable custom rigs has not always won the ‘lowest bid’ structure up front, but, we believe the lifetime and service of our rigs will always win the ‘lowest cost’ and value in the end. Taking in consideration that the value of the true costs of ownership is equal to “...true costs of ownership is equal to the price you pay today, plus the costs to maintain and service the rig...” the price you pay today, plus the costs to maintain and service the rig (including downtime over the hole), less the resale value at the end of your use of the rig. Plug Loadcraft into that formula and you have: a little higher purchase price to amortize over the life of the rig, way less down time (thru complete commitment to service our customers), and an asset with the best resale value in the market place. We sincerely believe your lowest net costs of ownership and highest value realized will come thru being a part of the Loadcraft family. I want to extend an invitation to Brady, Texas, to each of you for some great barbeque and a visit with the best people in the world who genuinely care about building the best products for the best customers in the world. We don’t want you to give us your business, but we humbly ask for the opportunity to earn it. Whether you need a super mobile rig to climb the side of a hill in the Marcellous, or a desert package in 130 degree heat in the Middle East, we can do it. If you need a conventional mechanical rig in the jungle of South America or the plains of West Texas (that anything can be fixed with big enough sledge hammer and pipe wrench), or an AC rig with a joystick for the new driller who has played Xbox all his life, we are your solution. My hope and prayer for each of you is that you may experience exceedingly abundant prosperity for this year and beyond. Thanking you for the privilege, Reece McIver Chief Operating Officer Trailer Division Custom Made in Texas, U.S.A. Loadcraft specializes in total design and manufacturing of 250-2000HP Drilling and Workover Rigs, as well as Trailers, Dollies, Beams, AND Multi-Axle Components to support the Heavy Haul and Oilfield Transportation Industries. Loadcraft Industries, Ltd. is an ISO 9001:2008 & API Spec Q1 Manufacturing Facility holding the API 4F and 7K licenses. “3000 Years of Know-How” Off the Desk of Wayne Philpot, Plant Manager. As I sit down to type this up, we here at Loadcraft find ourselves in the big middle of a flurry of activity that will end with the sweat of our collective brows scattered across the globe – literally from somewhere south of the Halls of Montezuma to the Shores of Tripoli…. The 1000 horsepower full-meal-deal heading to Libya is coming together nicely, the 550 horsepower drilling rig and substructure for Columbia is nearly out of the gate, the south Texas 550 horsepower pulling units are coming together at an amazing rate, the Mexico rig is in the planning stages, and there are multiple trailers destined to become part of huge domestic frac fleet leaving the heart of Texas for all points of the compass. I’m certain that all of you have noticed how well the processes have gone and are still going, and we need to recognize what’s driving the train of these continuing successes: predictable, repeatable, and unflinching dedication to excellence by a fairly small group of warhorse professionals. A few weeks ago I started asking the folks here at Loadcraft how many years of experience that they could count for themselves, and I jotted down the numbers in my pocket notebook as the impromptu survey went on. A couple of days later I sat down and added the number of years of experience that are represented every day the plants open up, and my eyes bugged out at the huge number that popped up on the calculator. Approx- imately 177 people represent right at 3,000 years of combined experience in industry, and these years of experience are spread across all aspects of several industrial, manufacturing, oil patch, and administrative fields. That’s an average of 16.9 years of experience in learning, practicing, and excelling in intellectually and sometimes physically demanding fields of endeavor. Now then, we ask ourselves how is it possible for such a limited number of people to accomplish so much? One small example lies in the Brady Hangar where there are three very fine gentlemen who can account for 147 years of experience between them (you know who you are Obed, Denny, and Dale). Dedication and rock-solid repeatability show up in every component that these guys touch, and their parts are handed off complete, accurate, and on time. The same can be said for any of the departments and about either facility when we ask ourselves how we’re able to accomplish more with less. Looking ahead at the amount of work that is stacking up in front of us, I’m strengthened mentally and can sleep soundly at night knowing that 3,000 years of know-how and been-there-dothat are walking through the gate to go to work every day. Loadcraft Industries, Ltd. P.O. Box 1429 Brady, Texas 76825 LOADCRAFT INDUSTRIES, LTD. Loadcraft Industries, Ltd. Servicing and Dealing Parts for All Your Drilling Needs. Specializing in Cooper® and HRI Rigs. Also providing API, C3 & C4 Inspections (325) 597-2911 Heard it Through the Grapevine. “The Loadcraft 60 Series (1000HP SCR Portable Electric Drilling Rig) has really found its nich in the Marcellus Shell! ...Loadcraft is the rig of choice out here.” Red West Pioneer Wells Services Red also said it worked just as well on a hydraulic skidding system. www.Loadcraft.com Sow for yourselves righteousness, reap the fruit of unfailing love, and break up your unplowed ground; for it is time to seek the Lord, until he comes and showers righteousness on you. – Hosea 10:12