FTS International is one of the largest providers of hydraulic fracturing services in North America. The Company’s services enhance hydrocarbon flow from oil and natural gas wells drilled by exploration and production, or E&P, companies in shale and other unconventional resource formations. The Company is one of the top three hydraulic fracturing providers across their operating footprint, which consists of five of the most active major unconventional basins in the United States. The Company has 1.6 million total hydraulic horsepower across 32 fleets, with 26 fleets active as of September 30, 2017. The Company is experiencing a surge in demand for their services, which has led them to reactivate nine fleets since the beginning of 2017. Based on continued requests from customers for additional fleets, FTS is in the process of reactivating additional equipment at their in-house manufacturing facility. FTS believes the Company can reactivate all of their idle equipment for approximately $29 million, allowing the Company to further increase their operating fleets by six fleets, or approximately 20%, over the next nine months. The surge in demand for their services has also allowed the Company to raise their prices significantly. During the last two years, FTS implemented measures to reduce their operating costs and to improve their operating efficiency. FTS focused on their ability to operate their active fleets for as many hours per day and days per month as possible in order to limit the non-productive time of active fleets. The Company maintained these improved cost and efficiency levels in the third quarter of 2017, which, combined with the recent rise in pricing for services, allowed FTS to achieve EBITDA levels greater than what the Company experienced in 2014. The Company achieved these results despite having considerably lower pricing and fewer active fleets on average than in 2014. The Company manufactures and refurbishes many of the components used by the fleets, including consumables, such as fluid-ends. The Company’s cost to produce components and reactivate fleets is significantly less than the cost to purchase comparable quality components and fleets from third-party suppliers. FTS also performs substantially all the maintenance, repair and refurbishment of their hydraulic fracturing fleets, including the reactivation of idle equipment. The Company’s large scale and culture of innovation allow them to take advantage of leading technological solutions. FTS is focused on identifying new technologies aimed at increasing fracturing effectiveness for our customers, reducing the operating costs of our equipment, and enhancing the health, safety and environmental, or HSE, conditions at well sites. FTS has a number of ongoing initiatives that build on industry innovations and data analytics to achieve these technology objectives. FTS also conducts research and development activities through a strategic partnership with a third-party technology center that utilizes key employees who were previously affiliated with the Company.