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Discontinued Operations
 12 Months Ended
Dec. 31, 2011
Discontinued Operations  
Discontinued Operations

Note 9—Discontinued Operations

 

During December of 2009, the Company discontinued all operations in Ecuador and a plan was put in place to sell the stock ownership of the Ecuador company.  The results of operations and cash flows for the operation were reflected as discontinued operations for all periods presented.  Previously, the Ecuador operations were included in the Company’s West Construction Services segment.

 

In February 2010, the Company entered into an agreement for the sale of the Ecuador business.  The Company agreed to pay $1.0 million of remaining liabilities of the business, and the buyer agreed to acquire the business for $700, which was comprised of $400 in Primoris stock owned by the buyer and an interest free $300 note payable, due on February 19, 2011.  Subsequently, the due date of the note was extended until July 19, 2012.  The note is secured by the seller’s pledge of his remaining Primoris common stock.  The buyer also agreed to provide an indemnification to the Company for any remaining liabilities.  The sale was completed in March 2010.  The $400 in Primoris common stock was cancelled when received by the Company during the second quarter 2010.  The sale of the Ecuador business had no material impact to the Company.

 

At December 31, 2011, the balance sheet includes a net liability of $733 for potential remaining liabilities under this agreement.