Trican Reports Fourth Quarter Results for 2013

NEWS RELEASE TRANSMITTED BY Marketwired 
FOR: Trican Well Service Ltd. 
TSX SYMBOL:  TCW 
FEBRUARY 25, 2014 
Trican Reports Fourth Quarter Results for 2013 
CALGARY, ALBERTA--(Marketwired - Feb. 25, 2014) - Trican Well Service Ltd.
(TSX:TCW) -  
Financial Review 
/T/ 
------------------------------------------------- 
Three months ended Twelve months ended 
Dec. 31,  Dec. 31, Sept. 30,  Dec. 31,  Dec. 31,
($ millions, except per                                                     
 share amounts; unaudited)      2013      2012      2013      2013      2012
----------------------------------------------------------------------------
Revenue                     $  552.1  $  485.9  $  548.3  $2,115.5  $2,213.0
Operating income                                                            
 (i)                            35.5      35.1      72.7     179.6     240.1
Profit / (loss)                (20.8)     (7.7)      5.7     (45.9)     53.3
Earnings / (loss)                                                           
 per share       (basic)    $  (0.14) $  (0.05) $   0.04  $  (0.31) $   0.37 
(diluted)  $  (0.14) $  (0.05) $   0.04  $  (0.31) $   0.37
Adjusted profit /                                                           
 (loss) (i)                     (9.9)     (5.4)      9.7     (31.5)     63.0
Adjusted profit /                                                           
 (loss) per                                                                 
 share(i)        (basic)    $  (0.07) $  (0.04) $   0.07  $  (0.21) $   0.43 
(diluted)  $  (0.07) $  (0.04) $   0.07  $  (0.21) $   0.43
Funds provided by                                                           
 / (used in)                                                                
 operations(i)                  30.4     (14.5)     71.1     130.8     126.8
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/T/ 
Notes:  
(i) Trican makes reference to operating income, adjusted net income (loss) and
funds provided by (used in) operations. These are measures that are not
recognized under International Financial Reporting Standards (IFRS). Management
believes that, in addition to net income (loss), operating income, adjusted net
income (loss) and funds provided by (used in) operations are useful
supplemental measures. Operating income provides investors with an indication
of earnings before depreciation, foreign exchange, taxes and interest. Adjusted
net income (loss) provides investors with information on net income (loss)
excluding one-time non-cash charges and the non-cash effect of stock-based
compensation expense. Funds provided by (used in) operations provide investors
with an indication of cash available for capital commitments, debt repayments
and other expenditures. Investors should be cautioned that operating income,
adjusted net income (loss), and funds provided by (used in) operations should
not be construed as an alternative to net income (loss) and cash flow from
operations determined in accordance with IFRS as an indicator of Trican's
performance. Trican's method of calculating operating income, adjusted net
income (loss) and funds provided by (used in) operations may differ from that
of other companies and accordingly may not be comparable to measures used by
other companies. 
FOURTH QUARTER HIGHLIGHTS 
Consolidated revenue for the fourth quarter of 2013 was $552.1 million, an
increase of 14% compared to the fourth quarter of 2012. The adjusted
consolidated loss was $9.9 million compared to $5.4 million, and adjusted loss
per share was $0.07 compared to $0.04 for the same period in 2012.  
Due to a rise in fracturing intensity per well in Canada, including increased
sand usage per well, we have seen increased wear on fluid ends over the past
year. As a result, the useful life of a fluid end has decreased and led to a
$14.3 million charge to depreciation expense in the fourth quarter of 2013
($10.7 million net of tax) to write-off fluid ends no longer in use. Effective
January 1, 2014, we will change our accounting estimate on the useful life of a
fluid end to more accurately reflect current operating conditions. We assessed
the useful life of fluid ends in our other operating regions and concluded that
no further changes in estimates were required in those regions.  
Our Canadian operations earned quarterly revenue of $286.9 million in the
fourth quarter of 2013, an increase of 17% compared to the fourth quarter of
2012. Fourth-quarter operating income was $53.1 million, which was up 4% on a
year-over-year basis. Canadian revenue increased sequentially by 3% due to the
strong demand in October and November; however, operating margins decreased
sequentially by 660 basis points. Fourth-quarter margins were negatively
impacted by cost increases and pricing declines. Cost increases were driven
primarily by higher third-party hauling, fuel, and repairs and maintenance
expenses. Canadian fracturing prices decreased by approximately 3% and
cementing prices decreased by approximately 1%, on a sequential basis, which
also had a negative impact on fourth-quarter operating margins.  
Revenue in the fourth quarter of 2013 for our U.S. operations was relatively
consistent with the fourth quarter of 2012, but decreased by 4% on a sequential
basis. Revenue for our U.S. pressure pumping business was down sequentially,
largely due to reduced activity in the Marcellus play. As expected, our key
customers in the Marcellus play decreased spending levels as 2013 capital
budgets were completed. In addition, winter weather led to reduced industry
activity in the Permian play during the fourth quarter of 2013. Lower revenue
from our pressure pumping business was partially offset by a 50% increase in
revenue for our U.S. completion tools business. Our U.S. operations incurred an
operating loss of $8.3 million during the fourth quarter as operating margins
were negatively impacted by reduced pressure pumping activity.   
Revenue from International operations was $91.8 million compared to $68.0
million in the fourth quarter of 2012. The majority of international revenue is
generated by our Russian operations and pressure pumping demand was strong in
this region throughout the fourth quarter of 2013. Favorable weather conditions
allowed our Russian customers to remain active throughout the quarter and
catch-up on 2013 capital spending plans that were behind schedule for most of
2013. Although Russian operating margins improved on a year-over-year basis,
continued cost inflation limited the margin increase. Weak results for our
Algerian operations and start-up costs in both Saudi Arabia and Colombia also
had a negative impact on International operating margins during the fourth
quarter of 2013.  
MANAGEMENT'S DISCUSSION AND ANALYSIS 
/T/ 
COMPARATIVE QUARTERLY INCOME STATEMENTS ($ thousands, unaudited)            
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Quarter-            
Over-            
% of               % of   Quarter        %  
Three months ended                                                          
 December 31,          2013  Revenue      2012  Revenue    Change   Change  
---------------------------------------------------------------------------- 
Revenue             552,144      100%  485,865    100.0%   66,279     13.6% 
Expenses                                                                    
  Materials and                                                              
operating        490,713     88.9%  422,999     87.1%   67,714     16.0% 
  General and                                                                
administrative    25,931      4.7%   27,743      5.7%   (1,812)    (6.5%)
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Operating income(i)  35,500      6.4%   35,123      7.2%      377      1.1% 
  Finance costs       8,592      1.6%    8,373      1.7%      219      2.6% 
  Depreciation and                                                           
amortization      70,085     12.7%   41,564      8.6%   28,521     68.6% 
  Foreign exchange                                                           
gain              (5,968)    (1.1%)  (3,467)    (0.7%)  (2,501)    72.1% 
  Other loss /                                                               
(income)             432      0.1%     (560)    (0.1%)     992   (177.1%)
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Loss before income                                                          
 taxes and non-                                                             
 controlling                                                                
 interest           (37,641)    (6.8%) (10,787)    (2.2%) (26,854)   249.0% 
Income tax recovery (16,431)    (3.0%)  (2,957)    (0.6%) (13,474)   455.7% 
Non-controlling                                                             
 interest              (380)    (0.1%)     (88)    (0.0%)    (292)  (331.8%)
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Net loss            (20,830)    (3.8%)  (7,742)    (1.6%) (13,088)   169.1% 
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/T/ 
(i) see first page of this report 
CANADIAN OPERATIONS  
/T/ 
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($ thousands, except                                                        
 revenue per job,                                             Sept.         
 unaudited)              Dec. 31,    % of Dec. 31,    % of      30,    % of 
Three months ended,          2013 Revenue     2012 Revenue 2013(ii) Revenue 
----------------------------------------------------------------------------
Revenue                   286,869          244,237          279,783         
Expenses                                                                    
  Materials and operating 228,533    79.7% 187,313    76.7% 203,005    72.6%
  General and                                                                
administrative           5,244     1.8%   5,897     2.4%   6,610     2.4% 
--------         --------         --------         
  Total expenses          233,777    81.5% 193,212    79.1% 209,615    74.9%
Operating income(i)        53,092    18.5%  51,025    20.9%  70,168    25.1%
Number of jobs              5,154            5,572            6,082         
Revenue per job            55,435           43,545           45,393         
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/T/ 
(i) see first page of this report  
(ii) Certain prior period comparative numbers have been restated to be
consistent with the presentation used in Q4 2013 
Sales Mix 
/T/ 
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Three months ended,                            Dec. 31,  Dec. 31, Sept. 30, 
(unaudited)                                        2013      2012      2013 
----------------------------------------------------------------------------
% of Total Revenue                                                          
Fracturing                                           67%       61%       70%
Cementing                                            18%       21%       18%
Nitrogen                                              6%        6%        4%
Industrial Services                                   4%        0%        2%
Coiled Tubing                                         3%        5%        3%
Acidizing                                             1%        3%        2%
Other                                                 1%        4%        1%
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Total                                               100%      100%      100%
----------------------------------------------------------------------------
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/T/ 
Operations Review  
Canadian fracturing and cementing demand was strong in October and November and
the early part of December, but decreased substantially in the second half of
December. The lower activity in late December was due to reduced customer
spending as 2013 drilling and completions budgets came to a close, combined
with reduced activity over the holiday season. This decrease was expected and
consistent with the previous year. 
Canadian revenue increased sequentially by 3% due to the strong demand in
October and November; however, operating margins decreased sequentially by 660
basis points. Fourth quarter margins were negatively impacted by cost increases
and pricing declines.  
A substantial increase in third-party hauling expenses had a meaningful impact
on fourth quarter Canadian operating margins. The fracturing job size and the
amount of sand pumped per fracturing stage increased sequentially and led to
increased hauling requirements for our fracturing service line. As a result,
third-party hauling costs increased sequentially by over 70%. In addition, the
cost of diesel increased by 12% and repairs and maintenance expenses increased
by 12% compared to the third quarter of 2013. Due to the competitive nature of
Canadian pressure pumping market, we were unable to recover these cost
increases through higher pricing. 
There was downward pressure on pricing despite the strong demand that Trican
experienced throughout most of the fourth quarter, as the Canadian market
remained highly competitive. On a sequential basis, fracturing prices decreased
by approximately 3% and cementing prices decreased by approximately 1%
negatively impacting fourth-quarter operating margins.  
Our Canadian completion tools division continued to grow and achieve increased
market penetration during the fourth quarter of 2013. Revenue increased by over
20% on a sequential basis as we continued to see good customer acceptance of
our tool portfolio in Canada.  
Q4 2013 versus Q4 2012 
Canadian revenue in the fourth quarter of 2013 increased by 17% compared to the
fourth quarter of 2012. Revenue per job increased by 27% as a 17%
year-over-year decrease in price was more than offset by larger job sizes for
our fracturing and nitrogen service lines. We are continuing to see an increase
in fracturing stages per well and more product usage per job, including sand
and nitrogen, which has led to the larger job sizes. An increase in fracturing
revenue relative to total revenue also contributed to the increase in revenue
per job, as fracturing jobs generally have significantly higher revenue per job
than other service lines.  
The job count decreased by 8% despite the increase in overall Canadian
activity. Cementing and fracturing jobs remained relatively stable on a
year-over-year basis; however, coiled tubing jobs decreased significantly and
contributed to most of the decline in the overall job count. Lower coiled
tubing demand also had a negative impact on our nitrogen and acidizing job
count as these service lines are closely correlated with coiled tubing. We are
continuing to see increased competition for our coiled tubing services in
Canada, which is contributing to the decline in job count. 
As a percentage of revenue, materials and operating expenses increased to 79.7%
from 76.7% in the fourth quarter of 2012. The year-over-year decrease in price
and higher third-party hauling and fuel expenses led to lower margins and was
partially offset by lower employee costs, as a percentage of revenue, as well
as lower guar and repairs and maintenance expenses. General and administrative
costs were down $0.7 million largely due to lower share based expenses. 
Q4 2013 versus Q3 2013 
Canadian revenue increased by 3% on a sequential basis. Fourth-quarter industry
activity levels in Canada were relatively consistent with the third quarter
despite the large movements in the job count and revenue per job. The job count
decreased by 15% due to a change in job type and customer mix. Fracturing job
size was much larger sequentially, which led to fewer jobs performed in the
fourth quarter of 2013 as the larger jobs are generally more time consuming. In
addition, a decrease in coiled tubing jobs and associated nitrogen and
acidizing work, contributed to the decline in job count. The shift to larger
fracturing jobs in the fourth quarter led to the 22% increase in revenue per
job.  
Materials and operating expenses increased to 79.7% of revenue compared to
72.6% of revenue in the third quarter of 2013. The reduction in operating
margins was due largely to a decrease in price combined with cost increases for
third-party hauling, fuel, and repairs and maintenance expenses. General and
administrative costs were down $1.4 million due largely to lower profit-sharing
and share-based expenses. 
UNITED STATES OPERATIONS  
/T/ 
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($ thousands, except                                                        
 revenue per job,                                             Sept.         
 unaudited)          Dec. 31,     % of  Dec. 31,     % of       30,    % of 
Three months ended,      2013  Revenue      2012  Revenue  2013(ii) Revenue 
----------------------------------------------------------------------------
Revenue               173,470            173,589            180,401         
Expenses                                                                    
  Materials and                                                              
operating          174,989    100.9%  171,140     98.6%  169,049    93.7%
  General and                                                                
administrative       6,776      3.9%    4,553      2.6%    6,541     3.6% 
---------          ---------          --------         
  Total expenses      181,765    104.8%  175,693    101.2%  175,590    97.3%
Operating (loss) /                                                          
 income(ii)            (8,295)    (4.8%)  (2,104)    (1.2%)   4,811     2.7%
Number of jobs          2,262              1,654              2,284         
Revenue per job        68,533            105,077             76,238         
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/T/ 
(i) see first page of this report  
(ii) Certain prior period comparative numbers have been restated to be
consistent with the presentation used in Q4 2013 
Sales Mix 
/T/ 
----------------------------------------------------------------------------
Three months ended,                            Dec. 31,  Dec. 31, Sept. 30, 
(unaudited)                                        2013      2012      2013 
----------------------------------------------------------------------------
% of Total Revenue                                                          
Fracturing                                           88%       90%       88%
Cementing                                             7%        7%        8%
Coiled Tubing                                         5%        3%        4%
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Total                                               100%      100%      100%
----------------------------------------------------------------------------
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/T/ 
Operations Review 
Activity levels declined on a sequential basis for our U.S. pressure pumping
operations during the fourth quarter of 2013. As expected, revenue earned in
the Marcellus play declined substantially as our key customers in the region
reduced activity levels during the fourth quarter. Declines in the Marcellus
play were partially offset by increased revenue earned in the Bakken in the
fourth quarter relative to the third quarter of 2013. Revenue earned in the
Eagle Ford and Permian plays were relatively flat on a sequential basis;
however, fourth quarter activity levels in the Permian region were negatively
impacted by winter weather. 
Fourth-quarter pricing declined in the Eagle Ford region on a sequential basis
as this area remains competitive and over-supplied with pressure pumping
equipment. Pricing remained relatively stable in all other U.S. operating
regions. 
Our U.S. completion tools business continued to show excellent growth with
revenue increasing by over 50% on a sequential basis. We continue to see
customer acceptance of our completion tools in the U.S. and will look to grow
this business and increase profitability throughout 2014.  
Q4 2013 versus Q4 2012 
Revenue for our U.S. operations decreased slightly as lower pricing for our
U.S. pressure pumping business was offset by an increase in our U.S. completion
tools revenue. The job count increased by 37% due to year-over-year increases
in all service lines including substantial increases in acidizing, nitrogen and
cementing as a result of Trican's strategic focus to expand our service
offering in the US. Revenue per job decreased by 35% due to a decrease in price
combined with a change in job mix. A substantial amount of fracturing work was
performed in the Haynesville region in the fourth quarter of 2012, and
fracturing jobs in this region are generally larger due to the high pumping
pressure and rate required to fracture the wells. No work was performed in the
Haynesville region during the fourth quarter of 2013. 
As a percentage of revenue, materials and operating expenses increased to
100.9% of revenue compared to 98.6% in the same period of the prior year.
Year-over-year operating margins were negatively impacted by lower pricing,
which was partially offset by lower costs due to cost cutting measures
implemented throughout 2013 and higher margins associated with the U.S.
completions tools business. An increase in the cost of diesel also had a
negative impact on fourth quarter operating margins. General and administrative
expenses increased by $2.2 million due largely to increased overhead costs
associated with the growth of the U.S. completion tools business and one-time
administrative expenses.  
Q4 2013 versus Q3 2013 
Revenue decreased by 4% on a sequential basis for our U.S. operations. The job
count decreased by 1%, sequentially, due to declines in fracturing and
cementing activity, offset partially by increases in acidizing and nitrogen
jobs. Revenue per job fell by 10% due largely to changes in customer mix and
price decreases in the Eagle Ford region. 
As a percentage of revenue, materials and operating expenses increased to
100.9% compared to 93.7% in the third quarter of 2013. Operating margins were
negatively impacted by the reduced activity in the Marcellus play. The
Marcellus play was our most profitable region in the third quarter of 2013;
therefore, lower activity in this region had a meaningful impact on fourth
quarter operating margins. Improved profitability for our U.S. completion tools
business partially offset the impact of lower Marcellus activity. General and
administrative expenses increased slightly by $0.2 million as increased
overhead costs associated with the growth of the U.S. completion tools business
were partially offset by lower share-based expenses.  
INTERNATIONAL OPERATIONS 
/T/ 
----------------------------------------------------------------------------
($ thousands, except                                                        
 revenue per job,                                             Sept.         
 unaudited)              Dec. 31,    % of Dec. 31,    % of      30,    % of 
Three months ended,          2013 Revenue     2012 Revenue     2013 Revenue 
----------------------------------------------------------------------------
Revenue                    91,805           68,039           88,161         
Expenses                                                                    
  Materials and operating  80,556    87.7%  57,941    85.2%  71,523    81.1%
  General and                                                                
administrative           4,434     4.8%   4,216     6.2%   4,176     4.8% 
--------         --------         --------         
  Total expenses           84,990    92.6%  62,157    91.4%  75,699    85.9%
Operating income(i)         6,815     7.4%   5,882     8.6%  12,462    14.1%
Number of jobs              1,074              951            1,232         
Revenue per job            82,872           68,586           69,180         
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/T/ 
(i) see first page of this report 
Sales Mix 
/T/ 
----------------------------------------------------------------------------
Three months ended,                            Dec. 31,  Dec. 31, Sept. 30, 
(unaudited)                                        2013      2012      2013 
----------------------------------------------------------------------------
% of Total Revenue                                                          
Fracturing                                           84%       82%       81%
Coiled Tubing                                         6%        9%       10%
Cementing                                             5%        6%        5%
Nitrogen                                              2%        1%        2%
Other                                                 3%        2%        2%
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Total                                               100%      100%      100%
----------------------------------------------------------------------------
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/T/ 
Operations Review 
The majority of international revenue is generated by our Russian operations
and pressure pumping demand was strong in this region throughout the fourth
quarter of 2013. Favorable weather conditions allowed our Russian customers to
remain active throughout the quarter and catch up on 2013 capital spending
plans that were behind schedule for most of 2013. Although Russian operating
margins improved on a year-over-year basis, continued cost inflation limited
the margin increase.  
Weak results for our Algerian operations had a significant impact on
international operating margins during the fourth quarter of 2013. Asset
impairment write-downs on inventory and equipment were recorded during the
fourth quarter relating to our Algerian cementing operations that were shut
down earlier in the year. The asset write-downs, combined with weak results for
our coiled tubing operations in Algeria, negatively impacted fourth-quarter
international operating margins by 250 basis points. 
We expect to begin coiled tubing operations in Saudi Arabia and cementing
operations in Colombia during the first half of 2014. As a result, we incurred
start-up costs in both regions during the fourth quarter compared to the third
quarter of 2013 and the fourth quarter of 2012, which had a negative impact on
fourth-quarter operating margins. 
There was minimal revenue growth for our Australian operations in the fourth
quarter of 2013 on both a sequential and year-over-year basis. We remain
optimistic about the long-term growth opportunities in the region and are
committed to growing our Australian cementing business during 2014. 
We continue to see good demand for our completion tools in the North Sea and
will look to grow this business in 2014. 
Q4 2013 versus Q4 2012 
International revenue increased by 35% due largely to an increase in Russian
revenue. The job count rose by 13% due to increases in Russian cementing and
fracturing activity that benefited from more favorable weather conditions
compared to the fourth quarter of 2012. Revenue per job increased by 21% due to
larger fracturing and cementing jobs for our Russian service line and increased
fracturing revenue relative to total revenue. Completion tools activity also
contributed to the year-over-year increase in international revenue as this
service line was not offered internationally in 2012.  
As a percentage of revenue, materials and operating expenses increased to 87.7%
from 85.2%. Increased operating leverage from higher revenue was more than
offset by increased product costs in Russia, operating losses in Algeria, and
increased start-up costs in Colombia and Saudi Arabia. General and
administrative expenses increased by $0.2 million due largely to increased
overhead costs in Colombia and Saudi Arabia as we prepared to begin active
operations in the first half of 2014. 
Q4 2013 versus Q3 2013 
International revenue in the fourth quarter of 2013 increased sequentially by
4%. Revenue per job increased by 20% due to an increase in fracturing revenue
relative to total revenue and an increase in fracturing and cementing job size
in Russia. The job count decreased by 13% due largely to a sequential decrease
in Russian activity as the third quarter is typically the most active quarter
in Russia.  
Materials and operating expenses increased to 87.7% from 81.1% due partially to
a change in customer and job mix in Russia that resulted in lower operating
margins. Operating losses in Algeria and increased start-up costs in Colombia
and Saudi Arabia also contributed to the decline in operating margins. General
and administrative expenses increased by $0.3 million due largely to increased
overhead costs in Colombia and Saudi Arabia as we prepared to begin active
operations in the first half of 2014. 
CORPORATE  
/T/ 
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($ thousands, except                                                        
 revenue per job,                                            Sept.          
 unaudited)           Dec. 31,     % of Dec. 31,     % of      30,     % of 
Three months ended,       2013  Revenue     2012  Revenue     2013  Revenue 
----------------------------------------------------------------------------
Expenses                                                                    
  Materials and                                                              
operating             6,635      1.2%   6,603      1.4%   5,835      1.1%
  General and                                                                
administrative        9,477      1.7%  13,077      2.7%   8,904      1.6% 
---------         ---------         ---------         
  Total expenses        16,112      2.9%  19,680      4.1%  14,739      2.7%
Operating loss(i)      (16,112)          (19,680)          (14,739)         
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/T/ 
(i) see first page of this report  
Q4 2013 versus Q4 2012 
Corporate expenses in the fourth quarter of 2013 were down $3.6 million
compared to the fourth quarter of 2012. Reductions in profit sharing,
share-based compensation expense and professional fees contributed to the
majority of the decrease. The lower professional fees were due to i-TEC
acquisition costs that were incurred during the fourth quarter of 2012. 
Q4 2013 versus Q3 2013 
Corporate expenses increased sequentially by $1.4 million due largely to an
increase in donation expenses in the fourth quarter of 2013. 
OTHER EXPENSES AND INCOME 
Finance costs in the fourth quarter of 2013 increased by $0.2 million on a
year-over-year basis due to slightly higher average interest rates on the notes
payable and revolving credit facility. Other loss was $0.4 million in the
quarter versus income of $0.6 million for the same period in the prior year.
Other loss/income is largely comprised of gains and losses on disposal of
property and equipment and interest income earned on cash balances. 
Depreciation and amortization expense for the fourth quarter of 2013 includes a
$14.3 million charge for accelerated depreciation on fluid ends in Canada. $9.5
million of this adjustment ($7.2 million net of tax) relates to the first three
quarters of 2013, and has been excluded from adjusted net income for the fourth
quarter of 2013.  
Depreciation and amortization expense for the fourth quarter of 2013 also
includes $3.1 million in amortization on the intangible assets relating to the
purchase of i-TEC. The purchase date of this transaction was January 11, 2013
and the amortization period began on this date. The purchase price accounting
was not finalized until the fourth quarter of 2013; therefore, a catch-up entry
was required to ensure that adequate amortization had been recorded as of
December 31, 2013. $2.1 million of this adjustment ($1.6 million net of tax)
relates to periods prior to October 1, 2013 and has been excluded from adjusted
net income for the fourth quarter of 2013.  
Excluding these one-time charges, depreciation and amortization increased by
$11.1 million, on a year-over-year basis, due to an increase in the average
balance of capital assets subject to depreciation, primarily in North America. 
The foreign exchange gain of $6.0 million in the quarter versus a gain of $3.5
million in the same quarter last year was due to the net impact of fluctuations
in the U.S. dollar and Russian ruble relative to the Canadian dollar. In
particular, the value of the U.S. dollar increased by 3.2% relative to the
Canadian dollar, which led to foreign exchange gains on net U.S. dollar assets. 
/T/ 
COMPARATIVE ANNUAL INCOME STATEMENTS                                        
----------------------------------------------------------------------------
($ thousands;                                                               
 unaudited)                                                  Year-           
Over-           
% of                % of        Year       %  
Year ended                                                                  
 December 31,         2013 Revenue        2012 Revenue      Change  Change  
---------------------------------------------------------------------------- 
Revenue          2,115,472   100.0%  2,213,400   100.0%    (97,928)     (4%)
Expenses                                                                    
 Materials and                                                              
  operating      1,826,221    86.3%  1,870,889    84.5%    (44,668)     (2%)
 General and                                                                
  administrative   109,701     5.2%    102,443     4.6%      7,258       7% 
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Operating                                                                   
 income(i)         179,550     8.5%    240,068    10.8%    (60,518)    (25%)
 Finance costs      34,497     1.6%     30,497     1.4%      4,000      13% 
 Depreciation                                                               
  and                                                                       
  amortization     222,403    10.5%    152,837     6.9%     69,566      46% 
 Foreign                                                                    
  exchange                                                                  
  (gain)/loss       (4,859)   (0.2%)       408     0.0%     (5,267) (1,291%)
 Goodwill                                                                   
  impairment,                                                               
  net                4,123     0.2%          -       -       4,123       -  
 Other income       (1,612)   (0.1%)    (1,837)   (0.1%)       225     (12%)
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Income before                                                               
 income taxes                                                               
 and non-                                                                   
 controlling                                                                
 interest          (75,002)   (3.5%)    58,163     2.6%   (133,165)   (229%)
Income tax                                                                  
 (recovery) /                                                               
 expense           (28,303)   (1.3%)     4,824     0.2%    (33,127)   (687%)
Non-controlling                                                             
 interest             (845)   (0.0%)      (335)   (0.0%)      (510)   (152%)
----------------------------------------------------------------------------
Net (loss) /                                                                
 income            (45,854)   (2.2%)    53,674     2.4%    (99,528)   (185%)
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
(i) See first page of this report 
CANADIAN OPERATIONS  
/T/ 
---------------------------------------------------------------------------- 
Year-Over-  
Year ended December 31,                 % of               % of       Year  
($ thousands, except                                                        
 revenue per job,                                                           
 unaudited)                     2013 Revenue       2012 Revenue     Change  
----------------------------------------------------------------------------
Revenue                    1,021,426          1,139,474                (10%)
Expenses                                                                    
 Materials and operating     794,459    77.8%   804,429    70.6%        (1%)
 General and                                                                
  administrative              26,167     2.6%    26,352     2.3%        (1%) 
----------         ----------                     
 Total expenses              820,626    80.3%   830,781    72.9%        (1%)
Operating income(i)          200,800    19.7%   308,693    27.1%       (35%)
Number of jobs                21,287             22,427                 (5%)
Revenue per job               47,553             50,486                 (6%)
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
(i) See first page of this report 
Canadian revenue for 2013 decreased by 10% compared to 2012. Revenue per job
decreased by 6% due to a 22% decline in average annual pricing, which was
partially offset by larger fracturing job sizes and an increase in fracturing
revenue relative to total revenue. Job count decreased by 5% due largely to a
drop in coiled tubing activity, which also negatively impacted associated
service lines, including nitrogen and acidizing.  
As a percentage of revenue, materials and operating expenses increased to 77.8%
from 70.6% in the prior year. The pricing decline had a significant negative
impact on operating margins and was partially offset by cost decreases
including reductions in operating salaries, profit sharing expenses, product
costs, and travel expenses. General and administrative expenses were relatively
consistent on a year-over-year basis as reductions in profit sharing expense
were offset by increased share based expenses. 
UNITED STATES OPERATIONS  
/T/ 
---------------------------------------------------------------------------- 
Year-Over-  
Year ended December 31,                 % of              % of        Year  
($ thousands, except                                                        
 revenue per job,                                                           
 unaudited)                     2013 Revenue      2012 Revenue      Change  
----------------------------------------------------------------------------
Revenue                      764,962           797,783                  (4%)
Expenses                                                                    
 Materials and operating     716,029    93.6%  803,677   100.7%        (11%)
 General and                                                                
  administrative              26,046     3.4%   19,808     2.5%         32%  
----------         ----------                     
 Total expenses              742,075    97.0%  823,485   103.2%        (10%)
Operating income /                                                          
 (loss)(i)                    22,887     3.0%  (25,702)   (3.2%)       189% 
Number of jobs                 8,789             7,110                  24% 
Revenue per job               83,220           112,471                 (26%)
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
(i) See first page of this report 
U.S. revenue for 2013 decreased by 4% as a rise in cementing and completion
tools revenue were more than offset by pricing declines for the fracturing
service line. The job count for 2013 increased substantially for cementing as
we continued to grow this service line in the US. The job count also increased
for the fracturing service line, although revenue per fracturing job decreased
as we performed smaller jobs in 2013 compared to 2012. Revenue per job was also
negatively impacted by lower pricing realized in 2013 compared to 2012.  
Materials and operating expenses decreased to 93.6% of revenue in 2013 compared
to 100.7% in 2012. Cost-cutting initiatives and a substantial reduction in the
price of guar led to higher operating margins on a year-over-year basis. These
improvements were partially offset by lower pricing in 2013 compared to 2012.
General and administrative expenses increased by $6.2 million in 2013 versus
2012. Overhead costs associated with the new completions tools business
combined with an increase in share based employee costs led to a significant
portion of the increase. 
INTERNATIONAL OPERATIONS 
/T/ 
---------------------------------------------------------------------------- 
Year-Over-  
Year ended December 31,                 % of               % of       Year  
($ thousands, except                                                        
 revenue per job,                                                           
 unaudited)                     2013 Revenue       2012 Revenue     Change  
----------------------------------------------------------------------------
Revenue                      329,084            276,143                 19% 
Expenses                                                                    
 Materials and operating     291,186    88.5%   238,967    86.5%        22% 
 General and                                                                
  administrative              17,095     5.2%    14,486     5.2%        18%  
----------         ----------                     
 Total expenses              308,281    93.7%   253,453    91.8%        22% 
Operating income /                                                          
 (loss)(i)                    20,803     6.3%    22,690     8.2%        (8%)
Number of jobs                 4,182              4,007                  4% 
Revenue per job               75,861             65,027                 17% 
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
(i) See first page of this report 
International revenue increased by 19% due to increases in both job count and
revenue per job. The job count increased by 4% due to an increase in fracturing
activity in Russia, and to a lesser extent, increased cementing activity in
Australia. Revenue per job increased by 17% due to larger fracturing job sizes
in Russia combined with an increase in fracturing revenue relative to total
revenue.  
As a percentage of revenue, materials and operating expenses increased by 200
basis points due primarily to increased product costs in Russia. General and
administrative costs increased by $2.6 million due largely to costs associated
with the international completion tools business, which did not exist in 2012,
and increased overhead costs in Saudi Arabia and Colombia.  
CORPORATE  
/T/ 
---------------------------------------------------------------------------- 
Year-Over-  
Year ended December 31,                 % of               % of       Year  
($ thousands, except                                                        
 revenue per job,                                                           
 unaudited)                    2013  Revenue      2012  Revenue     Change  
----------------------------------------------------------------------------
Expenses                                                                    
 Materials and operating     24,547      1.2%   23,814      1.1%         3% 
 General and                                                                
  administrative             40,393      1.9%   41,799      1.9%        (3%) 
----------         ----------                     
 Total expenses              64,940      3.1%   65,613      3.0%        (1%)
Operating income /                                                          
 (loss)(i)                  (64,940)           (65,613)                 (1%)
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
(i) See first page of this report  
Our 2013 Corporate expenses decreased slightly by $0.7 million compared to
2012. Lower professional fees and profit sharing expenses were partially offset
by increased share-based expenses. Professional fees were lower due largely to
acquisition fees relating to the purchase of i-TEC in 2012.  
OTHER EXPENSES AND INCOME 
Our 2013 finance costs increased by $4.0 million relative to 2012 due to
increased average debt levels and an increase in average interest rates.
Foreign exchange gains of $4.9 million have been recognized in 2013 compared to
losses of $0.4 million in 2012. The 2013 gain is due to the net impact of
fluctuations in the U.S. dollar and Russian ruble relative to the Canadian
dollar. Other income was $1.6 million compared to $1.8 million in the same
period in 2012. Other income is largely comprised of net gains on disposal of
property and equipment and interest income earned on cash balances. 
Excluding the one-time adjustments relating to fluid-ends in Canada and the
amortization of intangible assets acquired in the i-TEC acquisition,
depreciation and amortization expense for 2013 increased by $52.2 million
compared to 2012. A large portion of the equipment built as part of our 2011
and 2012 capital budgets became active, and subject to deprecation, beginning
in the middle of 2012. Therefore, our average depreciable asset base is
significantly larger in 2013 compared to 2012.  
LIQUIDITY AND CAPITAL RESOURCES 
Operating Activities 
Funds provided by operations was $30.4 million in the fourth quarter of 2013
compared to funds used in operations of $14.5 million in the fourth quarter of
2012 largely as a result of less taxes paid. Funds provided by operations for
the year ended December 31, 2013 was $130.8 million compared to $126.8 million
in 2012. A decrease in operating income and an increase in interest paid was
offset by lower taxes paid, which resulted in only a small increase in funds
provided by operations.  
Investing Activities 
Capital expenditures for the year ended December 31, 2013 were $107.8 million
compared to $444.5 million in 2012. North American expansion initiatives in
2011 and 2012 led to large capital budgets for those years, which resulted in
large capital expenditures in 2012. The North American pressure pumping market
became over-supplied with equipment in 2012 and therefore, the capital budget
for 2013 was substantially smaller than in previous years. The 2013 capital
budget was directed primarily towards maintenance capital requirements. 
There were no significant changes made to our 2013 capital budget during the
fourth quarter of 2013. Capital expenditures for the fourth quarter were $21
million and approximately $80 million to $90 million of remaining capital
expenditures are expected to be carried forward into 2014.  
The initial 2014 capital budget is $32.7 million. Management is confident that
this budget, combined with carryover capital expenditures from 2013, properly
maintains Trican's global equipment fleet and infrastructure at a very
high standard. Trican regularly reviews its capital equipment requirements and
will continue to follow its policy of adjusting the capital budget on a
quarterly basis to reflect changing operating conditions and capital equipment
needs.  
During the first quarter of 2013, Trican closed the previously announced
acquisition of i-TEC in exchange for cash consideration of $29.7 million and
2.4 million Trican common shares valued at $30.3 million at January 11, 2013.  
Financing Activities 
Trican currently pays a semi-annual dividend of $0.15 per share. During 2013,
$44.3 million in dividend payments were made and we expect approximately $44.0
million in dividend payments to be made in 2014.  
During the year ended December 31, 2013, Trican repaid $42.3 million on its
$500 million revolving credit facility. As at December 31, 2013, the Company
had available unused committed bank credit facilities in the amount of $307.5
million plus cash and trade and other receivables of $63.9 million and $452.0
million respectively, for a total of $823.4 million available to fund the cash
outflows relating to its financial obligations. The Company believes it has
sufficient funding through the use of these sources to meet foreseeable
financing requirements. On October 17, 2013, Trican extended its revolving
credit facility by an additional year to 2017. 
The Company received approval from the Toronto Stock Exchange to purchase its
own common shares, for cancellation, in accordance with a Normal Course Issuer
Bid ("NCIB") that expires on March 7, 2014. During the year ended
December 31, 2013, there were no common shares purchased through the NCIB.  
OUTLOOK 
Canadian Operations 
We currently expect the number of wells drilled in Canada in 2014 to be
relatively consistent with wells drilled in 2013. We also believe that
fracturing intensity per well will continue to increase in 2014 and lead to an
increase in year-over-year fracturing demand in 2014. Fracturing intensity per
well is expected to increase due to a rise in fracturing stages per well as we
continue to see an increase in multi-stage horizontal wells drilled in Canada
relative to vertical wells. In addition, we expect to see an increase in
fracturing job size. Commodity prices are currently higher than originally
forecast for the Canadian market. This, combined with a lower Canadian dollar
relative to the US dollar, is expected to result in increased cash flow for our
customers, which normally results in increased activity in the basin. We will
continue to monitor changes to our customers' spending and budgets as the
year progresses.  
Drilling and completions activity is expected to increase in the Duvernay play
during 2014 based on discussions with our customers. We also expect that there
will be a marginal increase in LNG-related drilling next year, although we
expect the majority of LNG-related drilling will occur beyond 2014. Duvernay
and LNG-related activity both present significant growth prospects for the
pressure pumping industry over the next several years; however, we expect a
significant amount of pressure pumping demand to continue to be generated from
activity in the Montney and Cardium plays during 2014.  
Canadian pressure pumping activity levels began slowly in the first half of
January 2014; however, demand has been strong since then and we expect our
fracturing and cementing equipment to be fully utilized until spring break-up
conditions occur. Assuming that we do not experience an early spring break-up,
we expect first quarter operating margins to increase slightly relative to the
fourth quarter of 2013 due to increased utilization; however, we expect first
quarter margins to be down relative to the first quarter of 2013 due to lower
pricing, increased costs and the low activity levels in early January. 
First quarter pricing has been relatively consistent on a sequential basis and
we expect it to remain stable throughout the quarter; however, the first
quarter in Canada generally represents peak activity levels. Canadian pricing
levels for the second half of 2014 will be dependant on the demand for pressure
pumping equipment in the region as we head into the summer drilling season. We
will continue to look for opportunities to increase pricing if activity levels
remain high during the second half of the year.  
U.S. Operations 
The U.S. pressure pumping market remains very competitive and over-supplied
with equipment in most operating regions; however, we are starting to see signs
of improving fundamentals in the Permian and Marcellus plays. The horizontal
rig count continues to increase in the Permian, which is leading to an increase
in fracturing demand. In addition, improving natural gas prices have led to
increased optimism for 2014 demand increases in the Marcellus play.  
We expect our three fracturing crews in the Marcellus play to be well utilized
in the first quarter of 2014, which is expected to contribute to sequential
improvements in revenue and operating income for our U.S. operations. While
cold weather in the region has affected Marcellus activity levels this winter,
which will have a negative effect on first quarter results, we are encouraged
by our customers' outlook on a full year basis. Given the improving
fundamentals in this region, we currently expect the utilization of our
existing Marcellus crews to remain strong throughout 2014. We will continue to
monitor activity levels in this region and will consider deploying additional
horsepower in the Marcellus region if market conditions continue to improve. 
We are seeing an increase in activity in the Permian play and improved
long-term demand as our customers move towards more horizontal drilling in this
region. That being said, the level of competition in the Permian play remains
high as there are many fracturing companies operating in the region. We will
continue to focus on service quality and improved utilization for our three
fracturing crews in this area, and we will look to increase pricing when
utilization remains high for a period of time. We believe that increasing
utilization in the Permian region will be a key factor in improving the
financial results of our U.S. operations and will continue to be a strategic
focus for Trican. 
We expect fracturing demand to remain stable in the Eagle Ford, Bakken, and
Oklahoma regions and we will continue to focus on improving utilization and
decreasing costs, where possible, for our operations in these areas. Activity
levels remain low in the dry gas plays, including the Haynesville and Barnett
shale plays, and we do not to expect pressure pumping demand to increase in
these regions during 2014. However, given the recent increase in natural gas
prices, we will continue to monitor activity levels in these regions and react
accordingly if industry conditions improve.  
Increased sequential activity in the Marcellus and the Permian plays are
expected to lead to increased revenue and operating income in the first quarter
of 2014 compared to the fourth quarter of 2013. In addition, we expect our U.S.
completion tools business to maintain a strong level of profitability and
contribute to improvements in sequential U.S. operating results. However, we do
not expect improvements in 2014 first quarter financial results compared to the
first quarter of 2013 due largely to lower year-over-year pricing.  
International 
We expect to see a year-over-year increase in Russian and Kazakhstan oil and
gas industry activity and a continued increase in horizontal multi-stage well
completions during 2014. Management is currently estimating 2014 revenue to
increase by 5% relative to 2013. The estimated revenue increase is based on
consistent pressure pumping activity levels combined with a 7% increase in
pressure pumping revenue per job, partially offset by a small decrease in
completion tool revenue. The Russian and Kazakhstan markets remain competitive
and we expect 2014 pricing improvements to only cover inflationary cost
increases. As a result, we expect 2014 Russian and Kazakhstan operating margins
to improve slightly in 2014 relative to 2013, due to the expected increase in
activity. First quarter activity in Russia and Kazakhstan is expected to be
down sequentially due to extreme cold weather that is typically experienced
through the early part of the year. 
We expect revenue growth and improved profitability in 2014 for the
international completions tools business relative to 2013. We continue to see
good customer acceptance of our tools in the North Sea market and will look to
expand our international customer base during 2014. 
We expect to see improved utilization and profitability for our Australian
cement crews in 2014 relative to 2013; however, the improvements are expected
to be modest as the Australian market continues to develop slowly. We will
continue to focus on expanding market share through sales and marketing
initiatives and by offering high service quality and technical solutions to the
Australian customer base.  
Algeria continues to be a challenging market and if we do not see improvements
in utilization for our two coiled tubing crews operating in the region during
2014, we will consider redeploying those assets into a more profitable region.  
We expect to begin active operations in both Colombia and Saudi Arabia in the
first half of 2014. We are optimistic about the growth prospects in both these
regions and will continue to focus on establishing our market presence in these
regions throughout 2014. 
NON-IFRS DISCLOSURE 
Adjusted net income, operating income and funds provided by operations do not
have any standardized meaning as prescribed by IFRS and, therefore, are
considered non-IFRS measures.  
Adjusted net income and funds provided by operations have been reconciled to
net income and operating income has been reconciled to gross profit, being the
most directly comparable measures calculated in accordance with IFRS. The
reconciling items have been presented net of tax. 
/T/ 
---------------------------------------------------------------------------- 
Three months ended Twelve months ended
---------------------------------------------------------------------------- 
Dec. 31,  Dec. 31, Sept. 30,  Dec. 31,  Dec. 31, 
2013      2012      2013      2013      2012
----------------------------------------------------------------------------
Adjusted net (loss) /                                                       
 income                      ($9,873)  ($5,375)   $9,693  ($31,490)  $63,028
Deduct:                                                                     
 Fluid end depreciation                                                     
  adjustment (net of $2.4                                                   
  million tax recovery)(i)     7,153         -         -         -         -
 Intangible amortization                                                    
  adjustment (net of $0.5                                                   
  million tax recovery)(ii)    1,595         -         -         -         -
 Goodwill impairment               -         -         -     4,123         -
 Non-cash share-based                                                       
  compensation expense         2,209     2,455     1,840     8,096     9,689
 Loss on deposit with                                                       
  vendor (net of $0.7                                                       
  million tax recovery)            -         -     2,145     2,145         -
---------------------------------------------------------------------------- 
(Loss) / profit for the                                                     
 period (IFRS financial                                                     
 measure)                   ($20,830)  ($7,830)   $5,708  ($45,854)  $53,339
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
(i) Depreciation and amortization expense for the fourth quarter of 2013
includes a $14.3 million charge for accelerated depreciation on fluid ends in
Canada. $9.5 million of this adjustment ($7.2 million net of tax) relates to
periods prior to October 1, 2013 and has been excluded from adjusted net income
for the fourth quarter.  
(ii)Depreciation and amortization expense for the fourth quarter includes $3.1
million in amortization on the intangible assets relating to the purchase of
i-TEC. The purchase price accounting was not finalized until the fourth quarter
of 2013; therefore, a catch-up entry was required to ensure that adequate
amortization had been recorded as of December 31, 2013. $2.1 million of this
adjustment ($1.6 million net of tax) relates to periods prior to October 1,
2013 and has been excluded from adjusted net income for the fourth quarter.  
/T/ 
---------------------------------------------------------------------------- 
Three months ended   Twelve months ended 
---------------------------------------------------------------------------- 
Dec. 31,   Dec. 31,  Sept. 30,   Dec. 31,   Dec. 31,  
2013       2012       2013       2013       2012 
----------------------------------------------------------------------------
Funds provided by /                                                         
 (used in) operations $  30,380  $ (14,525) $  71,087  $ 130,815  $ 126,757 
Adjustments                                                                 
 Depreciation and                                                           
  amortization          (70,085)   (41,564)   (54,646)  (222,403)  (152,837)
 Amortization of debt                                                       
  issuance costs           (216)      (208)      (216)      (864)      (813)
 Stock-based                                                                
  compensation           (2,209)    (2,455)    (1,840)    (8,096)    (9,689)
 Loss / (gain) on                                                           
  disposal of                                                               
  property and                                                              
  equipment                  15       (352)      (585)      (293)    (2,423)
 Net finance costs       (8,122)    (7,824)    (9,111)   (32,749)   (28,285)
 Unrealized foreign                                                         
  exchange (gain) /                                                         
  loss                       (1)     4,863     (2,984)     5,593         50 
 Asset impairments,                                                         
  net                                    -     (2,870)    (6,993)         - 
 Income tax recovery                                                        
  / (expense)            16,431      2,957      2,847     28,303     (4,824)
 Interest paid           12,956      8,373      6,182     34,794     24,278 
 Income tax paid /                                                          
  (recovered)                21     42,697     (2,156)    26,039    100,312 
---------------------------------------------------------------------------- 
Profit / (loss) (IFRS                                                       
 financial measure)   $ (20,830) $  (8,038) $   5,708  $ (45,854) $  53,339 
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
/T/ 
---------------------------------------------------------------------------- 
Three months ended   Twelve months ended 
---------------------------------------------------------------------------- 
Dec. 31,   Dec. 31,  Sept. 30,   Dec. 31,   Dec. 31,  
2013       2012       2013       2013       2012 
----------------------------------------------------------------------------
Operating income      $  35,500  $  35,123  $  72,702  $ 179,550  $ 240,068 
Add:                                                                        
 Administrative                                                             
  expenses               26,064     23,083     28,730    114,836    108,289 
Deduct:                                                                     
 Depreciation expense   (70,085)   (41,564)   (54,646)  (222,403)  (152,837) 
---------------------------------------------------------------------------- 
Gross profit / (loss)                                                       
 (IFRS financial                                                            
 measure)             $  (8,521) $  16,642  $  46,786  $  71,983  $ 195,520 
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
/T/ 
CONSOLIDATED STATEMENT OF FINANCIAL POSITION                                 
(Stated in thousands)                                                       
As at December 31,                                      2013           2012 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
ASSETS                                                                      
Current assets                                                              
  Cash and cash equivalents                    $      63,869  $     113,506 
  Trade and other receivables                        459,210        437,038 
  Current tax assets                                   5,186            647 
  Inventory                                          232,898        211,794 
  Prepaid expenses                                    34,407         33,002 
---------------------------------------------------------------------------- 
795,570        795,987 
Property and equipment                             1,374,212      1,458,562 
Intangible assets                                     44,285         10,081 
Deferred tax assets                                  122,745         76,302 
Other assets                                          17,360         11,898 
Goodwill                                              59,475         43,689 
---------------------------------------------------------------------------- 
2,413,647  $   2,396,519 
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
LIABILITIES AND SHAREHOLDERS' EQUITY                                        
Current liabilities                                                         
  Bank loans                                   $           -  $       9,119 
  Trade and other payables                           301,920        228,788 
  Contingent consideration                                 -          2,860 
  Deferred consideration                                 650              - 
  Current tax liabilities                                 14          7,853 
  Current portion of loans and borrowings             79,770              - 
---------------------------------------------------------------------------- 
382,354        248,620  
Loans and borrowings                                 593,786        694,972 
Deferred tax liabilities                              87,005         77,012  
Shareholders' equity                                                        
  Share capital                                      559,723        527,860 
  Contributed surplus                                 63,074         55,352 
  Accumulated other comprehensive loss                (1,020)       (24,100)
  Retained earnings                                  725,172        815,700 
----------------------------------------------------------------------------
Total equity attributable to equity holders of                              
 the Company                                       1,346,949      1,374,812 
Non-controlling interest                               3,553          1,103 
---------------------------------------------------------------------------- 
$   2,413,647  $   2,396,519 
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
/T/ 
CONSOLIDATED STATEMENT OF                                                   
 COMPREHENSIVE INCOME                                                       
(Stated in thousands,                                                       
 except per share                                       Twelve       Twelve 
 amounts)               Three Months Three Months       Months       Months  
Ended Dec    Ended Dec    Ended Dec    Ended Dec  
31,          31,          31,          31, 
For the year ended                                                          
 December 31,                   2013         2012         2013         2012 
---------------------------------------------------------------------------- 
Revenue                      552,144      485,865    2,115,472    2,213,400 
Cost of sales                560,665      463,378    2,043,489    2,017,880 
----------------------------------------------------------------------------
Gross profit                  (8,521)      22,487       71,983      195,520 
Administrative expenses       26,066       28,928      114,836      108,289 
Other expense                    900          (10)         136          375 
----------------------------------------------------------------------------
Results from operating                                                      
 activities                  (35,487)      (6,431)     (42,989)      86,856 
Finance income                  (470)        (550)      (1,748)      (2,212)
Finance costs                  8,592        8,374       34,497       30,497 
Foreign exchange (gain)                                                     
 / loss                       (5,968)      (3,468)      (4,859)         408 
Goodwill impairment, net           -            -        4,123            - 
----------------------------------------------------------------------------
(Loss) / profit before                                                      
 income tax                  (37,641)     (10,787)     (75,002)      58,163 
Income tax (recovery)                                                       
 /expense                    (16,431)      (2,957)     (28,303)       4,824 
----------------------------------------------------------------------------
(Loss) / profit for the                                                     
 year                        (21,210)      (7,830)     (46,699)      53,339 
---------------------------------------------------------------------------- 
Other comprehensive                                                         
 income                                                                     
  Unrealized loss /                                                          
(gain) on hedging                                                         
instruments                   616          207          717         (898)
  Foreign currency                                                           
translation gain /                                                        
(loss)                     14,411       10,311       23,797       (2,193)
----------------------------------------------------------------------------
Total comprehensive                                                         
 (loss) / income for the                                                    
 year                         (7,415)       2,274      (23,619)      52,044 
---------------------------------------------------------------------------- 
(Loss) / profit                                                             
 attributable to:                                                           
Owners of the Company        (20,830)      (7,741)     (45,854)      53,674 
Non-controlling interest        (380)         (89)        (845)        (335)
----------------------------------------------------------------------------
(Loss) / Profit for the                                                     
 year                        (21,210)      (7,830)     (46,699)      53,339 
---------------------------------------------------------------------------- 
Total comprehensive                                                         
 (loss) / income                                                            
 attributable to:                                                           
Owners of the Company         (6,570)       2,363      (22,774)      52,379 
Non-controlling interest        (845)         (89)        (845)        (335)
----------------------------------------------------------------------------
Total comprehensive                                                         
 (loss) / income for the                                                    
 year                         (7,415)       2,274      (23,619)      52,044 
---------------------------------------------------------------------------- 
Earnings per share                                                          
----------------------------------------------------------------------------
  Basic                        (0.14)       (0.05)       (0.31)        0.37 
  Diluted                      (0.14)       (0.05)       (0.31)        0.37 
----------------------------------------------------------------------------
Weighted average shares                                                     
 outstanding - basic         148,916      146,450      148,815      146,620 
Weighted average shares                                                     
 outstanding - diluted       148,916      146,450      148,815      146,690 
---------------------------------------------------------------------------- 
/T/ 
/T/ 
CONSOLIDATED STATEMENT OF                                                   
 CASH FLOWS                                                                  
Three       Three      Twelve      Twelve  
Months      Months      Months      Months  
Ended Dec   Ended Dec   Ended Dec   Ended Dec  
31,         31,         31,         31, 
(Stated in thousands;                                                       
 unaudited)                        2013        2012        2013        2012 
----------------------------------------------------------------------------
Cash Provided By/ (Used In):                                                
Operations                                                                  
 Profit/(loss) for the                                                      
  period                     $  (21,210) $   (7,830) $  (46,699) $   53,339 
 Charges to income not                                                      
  involving cash:                                                           
  Depreciation and                                                           
amortization                  70,085      41,564     222,403     152,837 
  Amortization of debt                                                       
issuance costs                   216         208         864         813 
  Stock-based compensation        2,209       2,455       8,096       9,689 
  (Gain)Loss on disposal of                                                  
property and equipment           (15)        352         293       2,423 
  Net Finance Costs               8,122       7,824      32,749      28,285 
  Unrealized foreign                                                         
exchange (gain)/loss               1      (4,863)     (5,593)        (50)
  Asset impairments, net              -           -       6,993           - 
  Income tax                                                                 
expense/(recovery)           (16,431)     (2,957)    (28,303)      4,824 
---------------------------------------------------------------------------- 
42,977      36,753     190,803     252,160 
 Change in inventories            4,365       6,704     (15,874)    (39,471)
 Change in trade and other                                                  
  receivables                   (37,137)     96,141     (13,251)    167,427 
 Change in prepayments            2,894      10,444         138      (1,463)
 Change in trade and other                                                  
  payables                        7,037     (70,701)     70,950     (67,688)
----------------------------------------------------------------------------
Cash generated from                                                         
 operating activities            20,136      79,341     232,766     310,965  
Interest paid                  (12,956)     (8,373)    (34,794)    (24,278)
 Income tax paid                    (21)    (42,697)    (26,039)   (100,312)
---------------------------------------------------------------------------- 
7,159      28,271     171,933     186,375  
Investing                                                                   
 Interest received                  387         250       1,155       1,163 
 Purchase of property and                                                   
  equipment                     (20,871)    (58,688)   (107,761)   (444,550)
 Proceeds from the sale of                                                  
  property and equipment          1,790       1,848       6,520       3,325 
 Purchase of other assets        (2,400)          -      (7,000)          - 
 Payments received on loan                                                  
  to an unrelated third                                                     
  party                               -        (250)          -         (24)
 Business acquisitions                -           -     (29,663)          - 
---------------------------------------------------------------------------- 
(21,094)    (56,840)   (136,749)   (440,086) 
Financing                                                                   
 Net proceeds from issuance                                                 
  of share capital                   44           -       1,174       1,289 
 Repurchase and cancellation                                                
  of shares under NCIB                -           -           -     (10,011)
 (Repayment)/Issuance of                                                    
  loans and borrowings            2,582      85,946     (42,317)    279,331 
 Dividend paid                        -           -     (44,304)    (29,300)
---------------------------------------------------------------------------- 
2,626      86,946     (85,447)    241,309  
Effect of exchange rate                                                     
 changes on cash                    819         795         626          51 
---------------------------------------------------------------------------- 
Increase / (decrease) in                                                    
 cash and cash equivalents      (10,490)     58,173     (49,637)    (12,349)
Cash and cash equivalents,                                                  
 beginning of period             74,359      55,333     113,506     125,855 
----------------------------------------------------------------------------
Cash and cash equivalents,                                                  
 end of period               $   63,869  $  113,506  $   63,869  $  113,506 
---------------------------------------------------------------------------- 
/T/ 
SELECTED NOTES TO THE 2013 CONSOLIDATED FINANCIAL STATEMENTS 
BUSINESS ACQUISITIONS 
Effective January 11, 2013, Trican acquired all of the issued and outstanding
shares and discharged the existing debt of Petro Tools Holding AS, the holding
company for i-TEC and its subsidiaries (collectively "i-TEC"), for
consideration of $60.6 million, which is made up of cash of $29.7 million,
2,381,381 Trican common shares, issued at $12.73 per share, and deferred
consideration of $0.7 million. In conjunction with the acquisition, Trican has
agreed to pay contingent consideration of up to U.S. $45 million subject to
agreed upon financial targets for i-TEC for the year ended December 31, 2013.
Trican has determined the acquisition date fair value of the contingent
consideration to be nil. All of i-TEC's earnings have been included in
Trican's condensed consolidated statement of comprehensive income since
January 11, 2013. 
The acquisition date fair values have been accounted as follows: 
/T/ 
----------------------------------------------------------------------------
Fair value of acquired net assets:                                          
  Net working capital (including cash)                            $   7,003 
  Property and equipment                                                908 
  Deferred tax liability                                            (11,735)
  Intangible assets                                                  41,894 
  Goodwill1                                                          22,558 
---------------------------------------------------------------------------- 
$  60,628 
----------------------------------------------------------------------------
Financed as follows:                                                        
  Cash                                                            $  29,663 
  Shares issued out of treasury                                      30,315 
  Deferred consideration                                                650 
---------------------------------------------------------------------------- 
$  60,628 
---------------------------------------------------------------------------- 
/T/ 
TRADE AND OTHER RECEIVABLES 
/T/ 
December 31,   December 31, 
(Stated in thousands)                                   2013           2012 
----------------------------------------------------------------------------
Trade receivables                              $     453,729  $     434,568 
Allowance for doubtful accounts                       (5,265)        (4,085)
Loans and other receivables                           20,109         17,222 
----------------------------------------------------------------------------
Total                                          $     468,573  $     447,705 
----------------------------------------------------------------------------
Non-current                                    $       9,363  $      10,667 
Current                                        $     459,210  $     437,038 
---------------------------------------------------------------------------- 
/T/ 
INVENTORY 
/T/ 
December 31,  December 31,
(Stated in thousands)                                     2013          2012
Chemicals and consumables                        $     106,071 $      93,502
Coiled tubing                                           21,674        19,669
Parts                                                  105,153        98,623
---------------------------------------------------------------------------- 
$     232,898 $     211,794
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
PROPERTY AND EQUIPMENT 
/T/ 
Land and              Fixtures and              
(stated in thousands)      buildings    Equipment     fittings        Total 
----------------------------------------------------------------------------
Cost                                                                        
Balance at January 1,                                                       
 2012                    $    99,100  $ 1,518,796  $    38,023  $ 1,655,919 
Additions                     14,781      424,127        3,535      442,443 
Disposals                        (27)     (18,529)         (92)     (18,648)
Effect of movements in                                                      
 exchange rates                 (457)      (7,710)        (167)      (8,334)
----------------------------------------------------------------------------
Balance at December 31,                                                     
 2012                    $   113,397  $ 1,916,684  $    41,299  $ 2,071,380  
Acquisitions through                                                        
 business combinations             -          908            -          908 
Additions                     22,377       68,301        5,926       96,604 
Disposals                     (2,492)     (46,136)      (1,959)     (50,587)
Effect of movements in                                                      
 exchange rates                3,441       50,086        1,169       54,696 
----------------------------------------------------------------------------
Balance at December 31,                                                     
 2013                    $   136,723  $ 1,989,843  $    46,435  $ 2,173,001 
---------------------------------------------------------------------------- 
Accumulated Depreciation                                                    
Balance at January 1,                                                       
 2012                    $    18,927  $   433,199  $    25,463  $   477,509 
Depreciation                   4,011      141,031        3,398      148,440 
Disposals                          -      (12,587)           -      (12,587)
Effect of movements in                                                      
 exchange rates                  (20)        (498)         (26)        (544)
----------------------------------------------------------------------------
Balance at December 31,                                                     
 2012                    $    22,918  $   561,065  $    28,835  $   612,818  
Depreciation                   8,142      199,823        6,252      214,217 
Disposals                       (828)     (41,162)        (914)     (42,904)
Effect of movements in                                                      
 exchange rates                  565       13,454          639       14,658 
----------------------------------------------------------------------------
Balance at December 31,                                                     
 2013                    $    30,798  $   733,180  $    34,812  $   798,789 
---------------------------------------------------------------------------- 
Carrying amounts                                                            
At December 31, 2012     $    90,479  $ 1,355,619  $    12,464  $ 1,458,562 
At December 31, 2013     $   105,926  $ 1,256,663  $    11,623  $ 1,374,212 
---------------------------------------------------------------------------- 
/T/ 
Included within equipment are assets held under finance lease with a gross
value of $53.2 million (2012 - $53.7 million) and accumulated depreciation of
$28.8 million (2012 - $18.4 million). The lease obligations are secured by the
leased equipment. At December 31, 2013, Trican had $50.5 million in idle
equipment and $150.4 million in assets under construction which have not been
depreciated. At December 31, 2013, there were no impairment losses recognized
(2012 - nil). 
Included in other expense in the consolidated statement of comprehensive income
is a $2.9 million loss relating to the write-down of unsecured deposits with an
insolvent vendor. In addition, at December 31, 2013, Trican has $8.8 million in
assets under construction with this vendor included in property and equipment
in the statement of financial position. Trican believes that it currently has
legal title to these assets and is confident in its ability to defend this
position. At December 31, 2013 the Company is the physical custodian of these
assets. 
INTANGIBLE ASSETS AND GOODWILL 
/T/ 
Total 
(stated in                 Patents and Non-compete               intangible 
 thousands)       Goodwill   know-how   agreements CBM process       assets 
----------------------------------------------------------------------------
Cost                                                                        
Balance at                                                                  
 January 1,                                                                 
 2012           $   43,706  $        - $    23,455  $    8,503  $    31,958 
Effect of                                                                   
 movements in                                                               
 exchange rates        (17)          -        (462)         (3)        (465)
----------------------------------------------------------------------------
Balance at                                                                  
 December 31,                                                               
 2012           $   43,689           - $    22,993  $    8,500  $    31,493 
---------------------------------------------------------------------------- 
Balance at                                                                  
 January 1,                                                                 
 2013           $   43,689           - $    22,993  $    8,500  $    31,493 
Acquisition                                                                 
 through                                                                    
 business                                                                   
 combinations       22,558      41,894           -           -       41,894 
Effect of                                                                   
 movements in                                                               
 exchange rates          -           -       1,436           -        1,436 
----------------------------------------------------------------------------
Balance at                                                                  
 December 31,                                                               
 2013           $   66,247  $   41,894 $    24,429  $    8,500  $    74,823 
---------------------------------------------------------------------------- 
Amortization                                                                
 and impairment                                                             
 losses                                                                     
Balance at                                                                  
 January 1,                                                                 
 2012           $        -  $        - $    13,927  $    4,038  $    17,965 
Amortization             -           -       2,992         849        3,841 
Effect of                                                                   
 movements in                                                               
 exchange rates          -           -        (394)          -         (394)
----------------------------------------------------------------------------
Balance at                                                                  
 December 31,                                                               
 2012           $        -           - $    16,525  $    4,887  $    21,412 
---------------------------------------------------------------------------- 
Balance at                                                                  
 January 1,                                                                 
 2013           $        -  $        - $    16,525  $    4,887  $    21,412 
Impairment           6,312           -           -           -            - 
Amortization             -       4,189       3,146         850        8,185 
Effect of                                                                   
 movements in                                                               
 exchange rates        460           -         941           -          941 
----------------------------------------------------------------------------
Balance at                                                                  
 December 31,                                                               
 2013           $    6,772  $    4,189 $    20,612  $    5,737  $    30,538 
---------------------------------------------------------------------------- 
Carrying                                                                    
 amounts                                                                    
At December 31,                                                             
 2012           $   43,689           - $     6,468  $    3,613  $    10,081 
At December 31,                                                             
 2013           $   59,475  $   37,705 $     3,817  $    2,763  $    44,285 
---------------------------------------------------------------------------- 
---------------------------------------------------------------------------- 
/T/ 
TRADE AND OTHER PAYABLES 
/T/ 
December 31,                                                                
(Stated in thousands)                             December 31,  December 31, 
2013          2012
----------------------------------------------------------------------------
Trade payables                                         160,098       112,141
Accrued liabilities                                     53,888        40,803
Liabilities for cash-settled arrangements               19,443        14,800
Dividend payable                                        22,338        21,968
Finance lease obligations                               11,938        13,275
Other payables                                          34,215        25,801
----------------------------------------------------------------------------
Total trade and other payables                   $     301,920 $     228,788
---------------------------------------------------------------------------- 
/T/ 
LOANS AND BORROWINGS 
Bank loans  
The Company's Russian subsidiary has a US $20 million (Canadian equivalent
of $21.3 million) demand revolving facility with a large international bank.
This facility is unsecured, bears interest at LIBOR plus a premium, as
determined by the bank, plus 2.75% and has been guaranteed by the Company. As
at December 31, 2013, there was nothing drawn on this facility (December 31,
2012 - $9.1 million). 
/T/ 
Long term debt                                  December 31,   December 31, 
(Stated in thousands)                                   2013           2012 
----------------------------------------------------------------------------
Notes payable                                  $     456,935  $     430,408 
Finance lease obligations                             25,904         36,324 
Revolving credit facilities                          212,625        255,693 
Hedge receivable                                      (9,970)        (5,059)
----------------------------------------------------------------------------
Total                                          $     685,494  $     717,366 
Current portion of finance lease obligations                                
 (1)                                                  11,938         13,275 
Russian demand revolving credit facility                   -          9,119 
Current portion of long-term debt                     79,770              - 
----------------------------------------------------------------------------
Non-current                                    $     593,786  $     694,972 
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
(1) Current portion of finance lease obligations is included in trade and other
payables. 
Trican has a $500.0 million four-year extendible revolving credit facility
("Revolving Credit Facility") with a syndicate of banks. The
Revolving Credit Facility is unsecured and bears interest at the applicable
Canadian prime rate, U.S. prime rate, Banker's Acceptance rate, or at
LIBOR, plus 50 to 325 basis points, dependent on certain financial ratios of
the Company. On October 17, 2013, the Revolving Credit Facility was extended by
an additional year to 2017.  
The Revolving Credit Facility requires Trican to comply with certain financial
and non-financial covenants that are typical for this type of arrangement.
Trican was in compliance with these covenants at December 31, 2013. 
SHARE CAPITAL AND ACCUMULATED OTHER COMPREHENSIVE LOSS 
Share capital 
Authorized: 
The Company is authorized to issue an unlimited number of common shares,
issuable in series. The shares have no par value. All issued shares are fully
paid. 
/T/ 
Issued and Outstanding - Common Shares:                                     
---------------------------------------------------------------------------- 
Number of                
(stated in thousands, except share amounts)           Shares         Amount 
----------------------------------------------------------------------------
Balance, January 1, 2012                         146,916,859  $     529,062 
Exercise of stock options                            288,718          1,289 
Reclassification from contributed surplus on                                
 exercise of options                                       -            231 
Shares repurchased and cancelled under NCIB         (755,400)        (2,722)
----------------------------------------------------------------------------
Balance, December 31, 2012                       146,450,177  $     527,860 
Exercise of stock options                             86,488          1,174 
Reclassification from contributed surplus on                                
 exercise of options                                       -            374 
Shares issued for acquisition                      2,381,381         30,315 
----------------------------------------------------------------------------
Balance, December 31, 2013                       148,918,046  $     559,723 
----------------------------------------------------------------------------
---------------------------------------------------------------------------- 
/T/ 
EARNINGS PER SHARE  
/T/ 
(Stated in thousands, except                                                
 share and per share amounts)                                                
Three months Three months  Twelve months  Twelve months 
Ended Dec.31 Ended Dec.31   Ended Dec.31   Ended Dec.31
Basic Income Per                                                            
 Share                       2013         2012           2013           2012
----------------------------------------------------------------------------
Net (loss)/income                                                           
 available to                                                               
 common                                                                     
 shareholders       $     (20,830)      (7,741) $     (45,854) $      53,674
Weighted average                                                            
 number of common                                                           
 shares               148,916,011  146,450,177    148,815,362    146,619,743
Basic (loss) /                                                              
 income per share   $       (0.14)       (0.05) $       (0.31) $        0.37
---------------------------------------------------------------------------- 
Diluted Income Per                                                          
 Share                                                   2013           2012
----------------------------------------------------------------------------
Net (loss)/income                                                           
 available to                                                               
 common                                                                     
 shareholders       $     (20,830)      (7,741) $     (45,854) $      53,674
Weighted average                                                            
 number of common                                                           
 shares               148,916,011  146,450,177    148,815,362    146,619,743
Diluted effect of                                                           
 stock options                  -            -              -         70,515
----------------------------------------------------------------------------
Diluted weighted                                                            
 average number of                                                          
 common shares        148,916,011  146,450,177    148,815,362    146,690,258
Diluted                                                                     
 (loss)/income per                                                          
 share              $       (0.14)       (0.05) $       (0.31) $        0.37
---------------------------------------------------------------------------- 
/T/ 
At December 31, 2013, all of the outstanding options have been excluded from
the diluted weighted average number of common shares as the Company ended the
year at a net loss.  
INCOME TAXES  
/T/ 
Three months Three months  Twelve months  Twelve months 
(Stated in                                                                  
 thousands)         Ended Dec.31 Ended Dec.31   Ended Dec.31   Ended Dec.31  
2013         2012           2013           2012 
----------------------------------------------------------------------------
Current tax                                                                 
 expense/(recovery)                                                         
  Current year             7,779       21,366  $      16,836  $     104,997 
  Adjustment for                                                             
prior years                 -            -         (1,401)           546 
  Recognition of                                                             
previously                                                                
unrecognized tax                                                          
losses                      -            -         (1,675)             - 
---------------------------------------------------------------------------- 
7,779       21,366  $      13,760  $     105,543 
----------------------------------------------------------------------------
Deferred tax                                                                
 expense/(recovery)                                                         
  Deferred tax                                                               
recovery                                                                  
recognized in the                                                         
current year          (24,210)     (24,323) $     (42,282) $    (100,474)
  Adjustment for                                                             
prior years                 -            -            219           (245)
---------------------------------------------------------------------------- 
(24,210)     (24,323) $     (42,063) $    (100,719)
----------------------------------------------------------------------------
Total tax                                                                   
 (recovery)/expense      (16,431)      (2,957) $     (28,303) $       4,824 
---------------------------------------------------------------------------- 
/T/ 
The income tax expense differs from that expected by applying the combined
federal and provincial income tax rate of 25.26% (2012 - 25.17%) to income
before income taxes for the following reasons: 
/T/ 
(Stated in thousands)                                                       
For the year ended December 31,                           2013         2012 
----------------------------------------------------------------------------
Expected combined federal and provincial income                             
 tax                                               $   (18,946) $    14,639 
Statutory and other rate differences                   (15,862)     (18,489)
Non-deductible expenses                                  6,898        5,719 
Stock-based compensation                                 2,045        2,439 
Translation of foreign subsidiaries                        (85)          59 
Adjustments related to prior years                      (1,182)         301 
Recognition of previously unrecognized tax losses       (1,675)           - 
Changes to deferred income tax rates                       517           19 
Capital and other foreign tax                              (18)         175 
Other                                                        5          (38)
---------------------------------------------------------------------------- 
$   (28,303) $     4,824 
---------------------------------------------------------------------------- 
/T/ 
The change in the combined Federal and Provincial statutory tax rate in Canada
from 2012 to 2013 is due to an increase in the British Columbia provincial tax
rate from 10% to 11% effective April 1, 2013. 
Deferred Tax Balances 
The components of the deferred tax asset and liability are as follows: 
/T/ 
(Stated in thousands)                                                       
For the year ended December 31,                            2013        2012 
----------------------------------------------------------------------------
Deferred tax assets:                                                        
----------------------------------------------------------------------------
Goodwill                                             $   35,507  $   36,297 
Non-capital loss carry forwards                         156,470      91,504 
Property, equipment and other assets                    (73,077)    (53,942)
Other                                                     3,845       2,443 
---------------------------------------------------------------------------- 
$  122,745  $   76,302 
Deferred tax liabilities:                                                   
----------------------------------------------------------------------------
Non-capital loss carry forwards                      $        -  $    1,707 
Property, equipment and other assets                    (38,902)    (38,088)
Partnership deferral                                    (41,031)    (42,362)
Other                                                    (7,072)      1,731 
---------------------------------------------------------------------------- 
$  (87,005) $  (77,012)
---------------------------------------------------------------------------- 
/T/ 
Included in the above tax pools are $428.4 million (2012 - $262.6 million) of
gross non-capital losses that can be carried forward to reduce taxable income
in future years. These losses are predominantly in the U.S. and expire between
2029 and 2033. Deferred tax assets are recognized only to the extent it is
considered probable that those assets will be recoverable. This involves an
assessment of when those deferred tax assets are likely to reverse, and a
judgment as to whether or not there will be sufficient taxable profits
available to offset the tax assets when they do reverse. This requires
assumptions regarding future profitability and is therefore inherently
uncertain. 
Deferred tax liabilities of $5.6 million (2012 - $5.0 million) have not been
recognized on the unremitted earnings of the Company's foreign
subsidiaries to the extent that the Company is able to control the timing of
the reversal of the temporary differences, and it is probable that the
temporary differences would not reverse in the foreseeable future. 
OPERATING SEGMENTS 
The Company operates in Canada and the U.S. along with a number of
international regions, which include Russia, Kazakhstan, Algeria, Australia,
Saudi Arabia, Colombia and Norway. Each geographic region has a General Manager
that is responsible for the operation and strategy of their region's
business. Personnel working within the particular geographic region report to
the General Manager; the General Manager reports to the Corporate Executive.  
The Company provides a comprehensive array of specialized products, equipment,
services and technology to customers through three operating divisions: 
/T/ 
--  Canadian operations provides cementing, fracturing, coiled tubing, 
nitrogen, geological, acidizing, reservoir management, industrial 
cleaning and pipeline, and completion systems and downhole tool 
services, which are performed on new and existing oil and gas wells. 
--  U.S. operations provides cementing, fracturing, coiled tubing, nitrogen, 
acidizing and completion systems and downhole tool services, which are 
performed on new and existing oil and gas wells. 
--  International operations provides cementing, fracturing, coiled tubing, 
acidizing, nitrogen, and completion systems and downhole tool services, 
which are performed on new and existing oil and gas wells. 
/T/ 
Information regarding the results of each geographic region is included below.
Performance is measured based on revenue and gross profit as included in the
internal management reports, which are reviewed by the Company's executive
management team. Each region's gross profit is used to measure performance
as management believes that such information is most relevant in evaluating
regional results relative to other entities that operate within the industry.
Transactions between the segments are recorded at cost and have been eliminated
upon consolidation. 
/T/ 
Canadian United States  International  
Operations    Operations     Operations 
Revenue                          $   1,021,426 $     764,962  $     329,084 
Gross profit/(loss)                    137,768       (50,537)        11,605 
Finance income                               -             -              - 
Finance costs                                -             -              - 
Impairment                               2,870             -          4,123 
Tax expense/(recovery)                  11,961       (39,054)        (1,210)
Depreciation and amortization           89,716       103,096         27,284 
Assets                                 963,234     1,070,487        332,041 
Goodwill                                45,248             -         14,227 
Property and equipment                 523,594       728,609        104,943 
Capital expenditures                    32,020        53,532         21,528 
----------------------------------------------------------------------------
Year ended December 31, 2012                                                
Revenue                          $   1,139,474 $     797,783  $     276,143 
Gross profit/(loss)                    286,271       (77,379)        11,363 
Finance income                               -             -              - 
Finance costs                                -             -              - 
Tax expense/(recovery)                  46,884       (43,471)           883 
Depreciation and amortization           53,810        71,683         26,422 
Assets                                 910,888     1,109,657        323,134 
Goodwill                                22,690             -         20,999 
Property and equipment                 534,235       797,841        111,632 
Capital expenditures                   137,477       258,363         41,666  
Corporate          Total 
Revenue                          $           -  $   2,115,472 
Gross profit/(loss)                    (26,853)        71,983 
Finance income                          (1,748)        (1,748)
Finance costs                           34,497         34,497 
Impairment                                   -          6,993 
Tax expense/(recovery)                       -        (28,303)
Depreciation and amortization            2,307        222,403 
Assets                                  47,885      2,413,647 
Goodwill                                     -         59,475 
Property and equipment                  17,066      1,374,212 
Capital expenditures                       681        107,761 
--------------------------------------------------------------
Year ended December 31, 2012                                  
Revenue                          $           -  $   2,213,400 
Gross profit/(loss)                    (24,735)       195,520 
Finance income                          (2,212)        (2,212)
Finance costs                           30,497         30,497 
Tax expense/(recovery)                     528          4,824 
Depreciation and amortization              922        152,837 
Assets                                  52,840      2,396,519 
Goodwill                                     -         43,689 
Property and equipment                  14,854      1,458,562 
Capital expenditures                     7,044        444,550  
/T/ 
FORWARD-LOOKING STATEMENTS 
This document contains certain forward-looking information and financial
outlook based on Trican's current expectations, estimates, projections and
assumptions that were made by the Company in light of information available at
the time the statement was made. Forward-looking information and financial
outlook that address expectations or projections about the future, and other
statements and information about the Company's strategy for growth,
expected and future expenditures, costs, operating and financial results,
future financing and capital activities are forward-looking statements. Some
forward-looking information and financial outlook are identified by the use of
terms and phrases such as "anticipate," "achieve",
"achievable," "believe," "estimate,"
"expect," "intention", "plan",
"planned", and other similar terms and phrases. This forward-looking
information and financial outlook speak only as of the date of this document
and we do not undertake to publicly update this forward-looking information and
financial outlook except in accordance with applicable securities laws. This
forward-looking information and financial outlook includes, among others: 
/T/ 
--  The expectation that coil tubing operations will commence in Saudi 
Arabia in the first half of 2014; 
--  The expectation that cementing operations will commence in Colombia in 
the first half of 2014; 
--  The intention to grow our Australian cementing business in 2014; 
--  The intention to grow our completion tools business in 2014; 
--  The expectation that Trican's 2014 capital budget will be approximately 
$80 - $90 million; 
--  The belief that Trican has sufficient funding to meet foreseeable 
borrowing requirements; 
--  The expectation that the number of wells drilled in Canada in 2014 will 
be relatively consistent with 2013 levels; 
--  The belief that fracturing intensity per well will continue to increase 
in 2014 and will lead to an increase in year-over-year fracturing demand 
in 2014 in Canada; 
--  The expectation that fracturing intensity per well will increase due to 
a rise in fracturing stages per well and the expectation that the number 
of multi-stage horizontal wells drilled in Canada will increase relative 
to vertical wells; 
--  The expectation that fracturing jobs will increase in size in Canada; 
--  The expectation that cash flow from our Canadian customers will increase 
due to an expected lower Canadian dollar and higher than forecasted 
commodity prices; 
--  The expectation that drilling and completions activity in Duvernay will 
increase in 2014; 
--  The expectation that there will be marginal increase in LNG related 
drilling in 2014 in Canada; 
--  The expectation that a significant amount of pressure pumping demand 
will continue to be generated from activity in Montney and Cardium in 
2014; 
--  The expectation that our fracturing and cementing equipment in Canada 
will be fully utilized until spring break-up; 
--  The expectation that first quarter operating margins in Canada will 
increase slightly relative to the fourth quarter in 2013 due to 
increased utilization; 
--  The expectation that Canadian margins in the first quarter of 2014 will 
decrease to the levels in the first quarter of 2013 due to lower pricing 
and increased costs combined with a slow start in January of 2014; 
--  The expectation that pricing in Canada will remain stable in the first 
quarter of 2014; 
--  The intention to increase pricing levels in Canada if activity and 
demand remain strong during the second half of 2014; 
--  The expectation that our three fracturing crews in the Marcellus will be 
well utilized in the first quarter of 2014 and contribute sequential 
improvements in U.S. revenue and operating income; 
--  The expectation that the utilization of our existing crew in Marcellus 
will be strong in 2014; 
--  The intention to monitor activity levels in the Marcellus play and 
deploy additional horsepower if market conditions continue to improve in 
that region; 
--  The intention to continue focusing on service quality and improved 
utilization of our three fracturing crews in the Permian basin; 
--  The belief that pricing in the Permian basin will increase when 
utilization remains high over a period of time; 
--  The belief that increased utilization in the Permian will be a key 
factor in improving the financial results of our U.S. operations and 
will continue to be a strategic focus for Trican; 
--  The expectation that fracturing demand will remain stable in the Eagle 
Ford, Bakken and Oklahoma regions; 
--  The expectation that Trican will continue to improve utilization and 
decrease costs in the Eagle Ford, Bakken and Oklahoma regions; 
--  The expectation that pressure pumping demand in the dry gas plays in 
U.S. will not increase in 2014; 
--  The intention to continue monitoring the activity levels in the U.S. dry 
gas plays and react accordingly; 
--  The expectation that increased sequential activity in the Marcellus play 
and the Permian play will lead to increased revenue and operating income 
in the first quarter in 2014 compared to the fourth quarter of 2013; 
--  The expectation that our U.S. completion tools business will maintain 
strong levels of profitability and contribute to improvements in 
sequential U.S. operating results; 
--  The expectation that there will be no improvements in the U.S. financial 
results during the first quarter of 2014 compared to the first quarter 
of 2013 due to lower year over year pricing; 
--  The expectation that there will be a year over year increase in Russian 
and Kazakhstan oil and gas industry activity and a continued increase in 
horizontal multi-stage well completions during 2014; 
--  The expectation that 2014 revenue for Russia and Kazakhstan will be 5% 
higher compared to 2013 and that the increase is based on consistent job 
count combined with a 7% increase in pressure pumping revenue per job, 
partially offset by a small decrease in pressure pumping revenue; 
--  The expectation that 2014 pricing improvements will only cover 
inflationary cost increases in Russia and Kazakhstan; 
--  The expectation that 2014 Russian and Kazakhstan operating margins will 
improve slightly in 2014; 
--  The expectation that first-quarter activity in Russia and Kazakhstan 
will decrease compared with the fourth quarter in 2013 due to extreme 
cold weather; 
--  The expectation of revenue growth and improved profitability in 2014 for 
the international completion tools business; 
--  The intention to expand our international customer base in 2014; 
--  The expectation to see improved utilization and profitability for our 
Australian cement crews in 2014; 
--  The intention to expand market share in Australia through sales and 
marketing activities as well as offering high service quality and 
technical solutions; 
--  The belief that, if there is no improvement in the utilization for our 
two coiled tubing crews in Algeria, Trican will consider redeploying 
those assets into more profitable regions; 
--  The intention to continue establishing our market presence in Colombia 
and Saudi Arabia in 2014; 
--  The intention to become a full service pressure pumping company in 
Colombia over time; 
--  The expectation that the acquisition of i-TEC will provide growth 
opportunities and enhance our other pressure pumping service lines. 
/T/ 
Forward-looking information and financial outlook is based on current
expectations, estimates, projections and assumptions, which we believe are
reasonable but which may prove to be incorrect. Trican's actual results
may differ materially from those expressed or implied and therefore such
forward-looking information and financial outlook should not be unduly relied
upon. In addition to other factors and assumptions which may be identified in
this document, assumptions have been made regarding, among other things:
industry activity; the general stability of the economic and political
environment; effect of market conditions on demand for the Company's
products and services; the ability to obtain qualified staff, equipment and
services in a timely and cost efficient manner; the ability to operate its
business in a safe, efficient and effective manner; the performance and
characteristics of various business segments; the effect of current plans; the
timing and costs of capital expenditures; future oil and natural gas prices;
currency, exchange and interest rates; the regulatory framework regarding
royalties, taxes and environmental matters in the jurisdictions in which the
Company operates; and the ability of the Company to successfully market its
products and services. 
Forward-looking information and financial outlook is subject to a number of
risks and uncertainties, which could cause actual results to differ materially
from those anticipated. These risks and uncertainties include: fluctuating
prices for crude oil and natural gas; changes in drilling activity; general
global economic, political and business conditions; weather conditions;
regulatory changes; the successful exploitation and integration of technology;
customer acceptance of technology; success in obtaining issued patents; the
potential development of competing technologies by market competitors; and
availability of products, qualified personnel, manufacturing capacity and raw
materials. The foregoing important factors are not exhaustive. In addition,
actual results could differ materially from those anticipated in
forward-looking information and financial outlook provided herein as a result
of the risk factors set forth under the section entitled "Risks
Factors" in our Annual Information Form dated March 21, 2013. Readers are
also referred to the risk factors and assumptions described in other documents
filed by the Company from time to time with securities regulatory authorities.  
Additional information regarding Trican including Trican's most recent
annual information form is available under Trican's profile on SEDAR
(www.sedar.com). 
-30-
FOR FURTHER INFORMATION PLEASE CONTACT: 
Trican Well Service Ltd.
Dale Dusterhoft
Chief Executive Officer
ddusterhoft@trican.ca
or
Trican Well Service Ltd.
Michael Baldwin
Senior Vice President, Finance & CFO
mbaldwin@trican.ca
or
Trican Well Service Ltd.
Gary Summach
Director of Reporting and Investor Relations
gsummach@trican.ca
or
Trican Well Service Ltd.
2900, 645 - 7th Avenue S.W.
Calgary, Alberta T2P 4G8
(403) 266-0202
(403) 237-7716
www.trican.ca 
INDUSTRY:  Energy and Utilities - Equipment, Energy and Utilities - Oil and Gas 
SUBJECT:  ERN 
-0-
-0- Feb/25/2014 23:58 GMT
 
 
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