<SEC-DOCUMENT>0001157523-19-000553.txt : 20190307
<SEC-HEADER>0001157523-19-000553.hdr.sgml : 20190307
<ACCEPTANCE-DATETIME>20190307163040
ACCESSION NUMBER:		0001157523-19-000553
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20190307
ITEM INFORMATION:		Results of Operations and Financial Condition
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20190307
DATE AS OF CHANGE:		20190307

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			DXP ENTERPRISES INC
		CENTRAL INDEX KEY:			0001020710
		STANDARD INDUSTRIAL CLASSIFICATION:	WHOLESALE-INDUSTRIAL MACHINERY & EQUIPMENT [5084]
		IRS NUMBER:				760509661
		STATE OF INCORPORATION:			TX
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-21513
		FILM NUMBER:		19666229

	BUSINESS ADDRESS:	
		STREET 1:		7272 PINEMONT DRIVE
		CITY:			HOUSTON
		STATE:			TX
		ZIP:			77040
		BUSINESS PHONE:		7139964700

	MAIL ADDRESS:	
		STREET 1:		7272 PINEMONT DRIVE
		CITY:			HOUSTON
		STATE:			TX
		ZIP:			77040

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	INDEX INC
		DATE OF NAME CHANGE:	19960808
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>a51951767.htm
<DESCRIPTION>DXP ENTERPRISES, INC. 8-K
<TEXT>
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      <font style="font-size: 16pt">UNITED STATES SECURITIES AND EXCHANGE
      COMMISSION</font><font style="font-size: 16pt"><br style="font-size: 16pt"></font><font style="font-size: 16pt">Washington,
      D.C. 20549</font><font style="font-size: 14pt"><br style="font-size: 14pt"></font><br><font style="font-size: 16pt"><b>Form
      8-K</b></font><br><br><b>CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d)
      OF THE SECURITIES EXCHANGE ACT OF 1934</b><br><b>Date of Report (date of
      earliest event reported):&#160;&#160;<font style="font-family: Times New Roman; font-size: 10pt">March
      7, 2019</font></b><br><br><b>Commission file number 0-21513</b><br><br><font style="font-size: 18pt"><b>DXP
      Enterprises, Inc.</b></font><br><i>(Exact name of registrant as
      specified in its charter)</i>
    </p>
    <p style="text-align: center">

    </p>
<div style="text-align:left">
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          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Texas</b>
          </p>
        </td>
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          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>76-0509661</b>
          </p>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center; width: 50%" valign="top">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (State or other jurisdiction of incorporation or organization)
          </p>
        </td>
        <td style="padding-left: 0.0px; text-align: center; width: 50%" valign="top">
          (I.R.S. Employer Identification Number)
        </td>
      </tr>
      <tr>
        <td style="width: 50%">

        </td>
        <td style="padding-left: 0.0px; text-align: left; width: 50%" valign="top">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="top" colspan="2">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>7272 Pinemont, Houston, Texas 77040</b>
          </p>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="2">
          <p style="margin-bottom: 0px; margin-top: 0px">
            (Address of principal executive offices)
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">
      _________________________
    </p>
    <p style="margin-right: 90.0px; margin-left: 90.0px; text-align: center">
      Registrant&#8217;s telephone number, including area code:
    </p>
    <p style="margin-right: 90.0px; margin-left: 90.0px; text-align: center">
      <b>(713) 996-4700</b><br>_________________________
    </p>
    <p>
      <br>
      Check the appropriate box below if the Form 8-K filing is intended to
      simultaneously satisfy the filing obligation of the registrant under any
      of the following provisions:
    </p>
    <p style="white-space: nowrap">
      <font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font><font style="font-size: 12pt">&#160;&#160;</font>Written
      communications pursuant to Rule 425 under the Securities Act (17 CFR
      230.425)
    </p>
    <p style="white-space: nowrap">
      <font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font><font style="font-size: 12pt">&#160;&#160;</font>Soliciting
      material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
      240.14a-12)
    </p>
    <p style="white-space: nowrap">
      <font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font><font style="font-size: 12pt">&#160;&#160;</font>Pre-commencement
      communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
      240.14d-2(b))
    </p>
    <p style="white-space: nowrap">
      <font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font><font style="font-size: 12pt">&#160;&#160;</font>Pre-commencement
      communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
      240.13e-4(c))
    </p>
    <p>
      Indicate by check mark whether the registrant is an emerging growth
      company as defined in Rule 405 of the Securities Act of 1933 (&#167;230.405
      of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934
      (&#167;240.12b-2 of this chapter).
    </p>
    <p style="text-align: right">
      Emerging growth company&#160;&#160;&#160;&#160;<font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font>
    </p>
    <p>
      If an emerging growth company, indicate by check mark if the registrant
      has elected not to use the extended transition period for complying with
      any new or revised financial accounting standards provided pursuant to
      Section 13(a) of the Exchange Act.&#160;&#160;&#160;&#160;<font style="font-family: Arial Unicode MS; font-size: 10pt">&#8414;</font>
    </p>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      <br>
      <b>ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION</b>
    </p>
    <p style="text-align: justify">
      The following information is furnished pursuant to Regulation FD.
    </p>
    <p>
      On March 7, 2019, DXP Enterprises, Inc., issued a press release
      announcing financial results for the fourth quarter and fiscal year
      ended December 31, 2018 and a conference call in connection therewith. A
      copy of the release is furnished herewith as Exhibit 99.1, and
      incorporated herein by reference. Such exhibit (i) is furnished pursuant
      to Item 2.02 of Form 8-K, (ii) is not to be considered &quot;filed&quot; under the
      Securities Exchange Act of 1934, as amended (the &quot;Exchange Act&quot;) and
      (iii) shall not be incorporated by reference into any previous or future
      filings made by or to be made by the Company with the Securities and
      Exchange Commission under the Securities Act of 1933, as amended (the
      &quot;Securities Act&quot;), or the Exchange Act.
    </p>
    <p>
      <b>ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS</b>
    </p>
    <p>
      (d) <i>Exhibits.</i>
    </p>
    <p>
      99.1&#160;&#160;&#160;&#160;&#160;&#160;Press Release dated March 7, 2019 announcing the earnings
      results for the fourth quarter and fiscal year ended December 31, 2018.
    </p>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>

    </p>
    <p style="text-align: center">
      <b>SIGNATURES</b>
    </p>
    <p style="text-align: left">
      Pursuant to the requirements of the Securities Exchange Act of 1934, as
      amended, the Registrant has duly caused this report to be signed on its
      behalf by the undersigned hereunto duly authorized.
    </p>
    <p style="text-indent: 30.0px; text-align: left">

    </p>
<div style="text-align:left">
    <table style="font-size: 10pt; font-family: Times New Roman; margin-bottom: 10.0px; width: 100%" cellspacing="0">
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="top" colspan="2">
          <p style="text-align: justify">
            DXP ENTERPRISES, INC.
          </p>
        </td>
        <td style="width: 74%">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="top" colspan="2">
          <p style="text-align: justify">
            (Registrant)
          </p>
        </td>
        <td style="width: 74%">

        </td>
      </tr>
      <tr>
        <td style="width: 6%">

        </td>
        <td style="width: 20%">

        </td>
        <td style="padding-left: 0.0px; text-align: left; width: 74%" valign="top">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left; width: 6%" valign="top">
          <p style="margin-bottom: 0px; margin-top: 0px">
            By:
          </p>
        </td>
        <td style="padding-left: 0.0px; text-align: left; width: 20%" valign="top">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <u>/s/ Kent Yee</u>
          </p>
        </td>
        <td style="width: 74%">

        </td>
      </tr>
      <tr>
        <td style="width: 6%">

        </td>
        <td style="padding-left: 0.0px; text-align: left; width: 20%" valign="top">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Kent Yee
          </p>
        </td>
        <td style="width: 74%">

        </td>
      </tr>
      <tr>
        <td style="width: 6%">

        </td>
        <td style="padding-left: 0.0px; text-align: left" valign="top" colspan="2">
          <p style="margin-bottom: 0px; margin-top: 0px">
            Senior Vice President/Finance and Chief Financial Officer
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p>
      Dated: March 7, 2019
    </p>
    <p>

    </p>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: center">

    </p>
    <p style="text-align: center">
      <b>INDEX TO EXHIBITS</b>
    </p>
    <p>
      <b>Introductory Note: </b>The following exhibit is furnished pursuant to
      Item 2.02 of Form 8-K and is not to be considered &#8220;filed&#8221; under the
      Exchange Act and shall not be incorporated by reference into any of the
      Company&#8217;s previous or future filings under the Securities Act or the
      Exchange Act.
    </p>
    <p style="text-align: left">

    </p>
<div style="text-align:left">
    <table style="font-size: 10pt; font-family: Times New Roman; margin-bottom: 10.0px; width: 100%" cellspacing="0">
      <tr>
        <td style="padding-left: 0.0px; text-align: left; width: 25%" valign="top">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <u><i><b>Exhibit No.</b></i></u>
          </p>
        </td>
        <td style="padding-left: 0.0px; text-align: left; width: 75%" valign="top">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <u><i><b>Description</b></i></u>
          </p>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: left; width: 25%" valign="top">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <a href="a51951767ex99_1.htm">99.1</a>
          </p>
        </td>
        <td style="padding-left: 0.0px; text-align: left; width: 75%" valign="top">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <a href="a51951767ex99_1.htm">Press Release dated March 7, 2019
            announcing the earnings results for the fourth quarter and fiscal
            year ended December 31, 2018.</a>
          </p>
        </td>
      </tr>
    </table>
    </div>
    <p>

    </p>
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<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>a51951767ex99_1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
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    <p style="text-align: right">
      <b>Exhibit 99.1</b>
    </p>
    <p style="text-align: center">
      <font style="font-family: Times New Roman; font-size: 12pt"><b>DXP
      Enterprises Announces Fourth Quarter and Fiscal 2018 Results</b></font>
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        <i><font style="font-family: Times New Roman; font-size: 12pt"><b>Fiscal
        2018 sales of $1.2 billion, up 20.8 percent, including 16.1 percent
        organic growth</b></font></i>
      </li>
      <li style="margin-bottom: 10.0px">
        <i><font style="font-family: Times New Roman; font-size: 12pt"><b>Full
        year GAAP diluted EPS of $1.94, up 108.6 percent versus fiscal 2017</b></font></i>
      </li>
      <li style="margin-bottom: 10.0px">
        <i><font style="font-family: Times New Roman; font-size: 12pt"><b>Net
        income of $35.5 million versus $16.8 million compared to fiscal 2017</b></font></i>
      </li>
      <li style="margin-bottom: 10.0px">
        <i><font style="font-family: Times New Roman; font-size: 12pt"><b>$95.8
        million in earnings before interest, taxes, depreciation and
        amortization (&#8220;EBITDA&#8221;)</b></font></i>
      </li>
      <li style="margin-bottom: 10.0px">
        <i><font style="font-family: Times New Roman; font-size: 12pt"><b>Free
        cash flow of $29.1 million, including $2.6 million in proceeds from
        the sale of assets</b></font></i>
      </li>
      <li style="margin-bottom: 10.0px">
        <i><font style="font-family: Times New Roman; font-size: 12pt"><b>Net
        debt of $208.4 million with $40.3 million in cash on the balance sheet</b></font></i>
      </li>
    </ul>
    <p>
      HOUSTON--(BUSINESS WIRE)--March 7, 2019--<b>DXP Enterprises, Inc.
      (NASDAQ:DXPE)</b> today announced financial results for the fourth
      quarter and year ended December&#160;31, 2018. The following are results for
      the three months and twelve months ended December&#160;31, 2018, compared to
      the three months and twelve months ended December&#160;31, 2017. A
      reconciliation of the non-GAAP financial measures can be found in the
      back of this press release.
    </p>
    <p>
      <b>Fourth Quarter 2018 financial highlights:</b>
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        Sales increased 17.1 percent to $311.0 million, compared to $265.6
        million for the fourth quarter of 2017.
      </li>
      <li style="margin-bottom: 10.0px">
        Earnings per diluted share for the fourth quarter was $0.60 based upon
        18.4 million diluted shares, compared to $0.36 per share in the fourth
        quarter of 2017, based on 18.2 million diluted shares.
      </li>
      <li style="margin-bottom: 10.0px">
        Earnings before interest, taxes, depreciation and amortization
        (EBITDA) for the fourth quarter was $26.8 million compared to $15.8
        million for the fourth quarter of 2017, an increase of 69.3 percent.
        EBITDA as a percentage of sales was 8.6 percent and 6.0 percent,
        respectively.
      </li>
    </ul>
    <p>
      <b>Fiscal Year 2018 financial highlights:</b>
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        Sales increased 20.8 percent to $1.2 billion , compared to $1.0
        billion for 2017.
      </li>
      <li style="margin-bottom: 10.0px">
        Earnings per diluted share for 2018 of $1.94 based upon 18.4 million
        diluted shares, compared to $0.93 per share in 2017, based on 18.2
        million diluted shares.
      </li>
      <li style="margin-bottom: 10.0px">
        Earnings before interest, taxes, depreciation and amortization
        (EBITDA) for the 2018 was $95.8 million compared to $61.7 million for
        2017, an increase of 55.2 percent. EBITDA as a percentage of sales was
        7.9 percent and 6.1 percent, respectively.
      </li>
    </ul>
    <p>
      David R. Little, Chairman and CEO commented, &#8220;We are pleased with our
      fourth quarter results which wrapped up a tremendous fiscal 2018. In
      2018, we returned to the sales growth we are accustomed to experiencing.
      This was driven through a combination of strong organic sales from our
      core, complemented by the acquisition of Application Specialties. This
      turned into 20.8 percent total sales growth with 16.1 percent organic
      growth. During the year, we delivered strong sales and EBITDA margin
      expansion, leading to significant earnings per share. We believe we
      continue to gain market share in many of our businesses driven by our
      focus on being fast, convenience, and technical experts for our
      customers. 'DXPeople you can trust.'
    </p>
    <p>
      &#8220;DXP's fiscal 2018 total sales were $1.2 billion. Fiscal 2018 sales for
      Innovative Pumping Solutions grew 43.0 percent, Service Centers grew
      17.0 percent and Supply Chain Services grew 8.0 percent. DXP produced
      total EBITDA of $95.8 million growing 55.2 percent over fiscal 2017.
    </p>
    <p>
      &#8220;We continue to expect strong organic sales growth, EBITDA margin
      enhancement and strong cash flow generation. We are watching our key end
      markets closely, as the new normal seems to be periodic episodes of
      volatility as we experienced during the back of 2018. In fiscal 2019, we
      will build on the positive momentum generated in our business in 2018
      and further the execution of our growth strategy, investments in our
      people and processes and maintain our cost discipline.&quot;
    </p>
    <p>
      Kent Yee, CFO commented, &#8220;Fiscal 2018 financial performance reflects the
      execution of our financial goals and strategy. Total sales and EBITDA
      grew 20.8 percent and 55.2 percent, respectively. We delivered strong
      sales growth, operating margin expansion and thus operating leverage of
      2.7x and notable free cash flow generation. Our fiscal 2018 diluted
      earnings per share was $1.94. We are pleased with the fourth quarter and
      year-end results. Our core business remains sound and continues to
      rebound and perform well. Our balance sheet is positioned to support the
      business over the long term. DXP ended the year with $40.3 million<i> </i>in
      cash on the balance sheet and net debt of $208.4 million. DXP's secured
      leverage ratio or net debt to EBITDA was 2.2:1.0. We have momentum going
      to fiscal 2019 and we expect to drive both organic and acquisition
      driven growth.&quot;
    </p>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p>
      We will host a conference call regarding 2018 fourth quarter and
      year-ended results on the Company&#8217;s website (<u>www.dxpe.com</u>)
      Thursday, March&#160;7, 2019 at 4 pm CST. Web participants are encouraged to
      go to the Company&#8217;s website at least 15 minutes prior to the start of
      the call to register, download and install any necessary audio software.
      The on-line archived replay will be available immediately after the
      conference call at <u>www.dxpe.com</u>.
    </p>
    <p>
      <b>Business Segment financial highlights:</b>
    </p>
    <ul>
      <li style="margin-bottom: 10.0px">
        <u><i>Service Centers'</i></u><i> </i>revenue for the fiscal year was
        $750.0 million, an increase of 17.0 percent year-over-year with a 10.8
        percent operating income margin.

        <ul>
          <li style="margin-bottom: 10.0px">
            Revenue for the fourth quarter was $193.3 million, an increase of
            15.8 percent year-over-year with a 11.6 percent operating income
            margin. Organic sales increased 8.4 percent year-over-year.
          </li>
        </ul>
      </li>
      <li style="margin-bottom: 10.0px">
        <u><i>Innovative Pumping Solutions&#8217;</i></u> revenue for the
        fiscal year was $291.7 million, an increase of 43.0 percent year over
        year with an 11.6 percent operating income margin.

        <ul>
          <li style="margin-bottom: 10.0px">
            Revenue for the fourth quarter was $73.1 million, an increase of
            23.0 percent year-over-year with a 13.4 percent operating income
            margin.
          </li>
        </ul>
      </li>
      <li style="margin-bottom: 10.0px">
        <u><i>Supply Chain Services&#8217;</i></u> revenue for the fiscal year
        was $174.5 million, an increase of 8.0 percent year-over-year with a
        9.3 percent operating margin.

        <ul>
          <li style="margin-bottom: 10.0px">
            Revenue for the fourth quarter was $44.5 million, an increase of
            13.6 percent year-over-year with a 9.0 percent operating income
            margin.
          </li>
        </ul>
      </li>
    </ul>
    <p>
      <b>Non-GAAP Financial Measures</b><br>DXP supplements reporting of net
      income with non-GAAP measurements, including EBITDA, adjusted EBITDA and
      free cash flow. This supplemental information should not be considered
      in isolation or as a substitute for the unaudited GAAP
      measurements.&#160;Additional information regarding EBITDA and free cash flow
      referred to in this press release are included below under &quot;Unaudited
      Reconciliation of Non-GAAP Financial Information.&quot;
    </p>
    <p>
      The Company believes EBITDA provides additional information about: (i)
      operating performance, because it assists in comparing the operating
      performance of the business, as it removes the impact of non-cash
      depreciation and amortization expense as well as items not directly
      resulting from core operations such as interest expense and income taxes
      and (ii) the performance and the effectiveness of operational
      strategies. Additionally, EBITDA performance is a component of a measure
      of the Company&#8217;s financial covenants under its credit facility.
      Furthermore, some investors use EBITDA as a supplemental measure to
      evaluate the overall operating performance of companies in the industry.
      Management believes that some investors&#8217; understanding of performance is
      enhanced by including this non-GAAP financial measure as a reasonable
      basis for comparing ongoing results of operations. By providing this
      non-GAAP financial measure, together with a reconciliation from net
      income, the Company believes it is enhancing investors&#8217; understanding of
      the business and results of operations, as well as assisting investors
      in evaluating how well the Company is executing strategic initiatives.
    </p>
    <p>
      <b>About DXP Enterprises, Inc.</b><br>DXP Enterprises, Inc. is a leading
      products and service distributor that adds value and total cost savings
      solutions to industrial customers throughout the United States, Canada,
      Mexico and Dubai. DXP provides innovative pumping solutions, supply
      chain services and maintenance, repair, operating and production
      (&quot;MROP&quot;) services that emphasize and utilize DXP&#8217;s vast product
      knowledge and technical expertise in rotating equipment, bearings, power
      transmission, metal working, industrial supplies and safety products and
      services. DXP's breadth of MROP products and service solutions allows
      DXP to be flexible and customer-driven, creating competitive advantages
      for our customers. DXP&#8217;s business segments include Service Centers,
      Innovative Pumping Solutions and Supply Chain Services. For more
      information, go to <u>www.dxpe.com</u>.
    </p>
    <p>
      <i>The Private Securities Litigation Reform Act of 1995 provides a
      &#8220;safe-harbor&#8221; for forward-looking statements. Certain information
      included in this press release (as well as information included in oral
      statements or other written statements made by or to be made by the
      Company) contains statements that are forward-looking. Such
      forward-looking information involves important risks and uncertainties
      that could significantly affect anticipated results in the future; and
      accordingly, such results may differ from those expressed in any
      forward-looking statement made by or on behalf of the Company. These
      risks and uncertainties include, but are not limited to; ability to
      obtain needed capital, dependence on existing management, leverage and
      debt service, domestic or global economic conditions, and changes in
      customer preferences and attitudes. In some cases, you can identify
      forward-looking statements by terminology such as, but not limited to,
      &#8220;may,&#8221; &#8220;will,&#8221; &#8220;should,&#8221; &#8220;intend,&#8221; &#8220;expect,&#8221; &#8220;plan,&#8221; &#8220;anticipate,&#8221;
      &#8220;believe,&#8221; &#8220;estimate,&#8221; &#8220;predict,&#8221; &#8220;potential,&#8221; &#8220;goal,&#8221; or &#8220;continue&#8221; or
      the negative of such terms or other comparable terminology. For more
      information, review the Company&#8217;s filings with the Securities and
      Exchange Commission.</i>
    </p>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; font-family: Times New Roman; margin-bottom: 10.0px; width: 100%" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="22">
          <b>DXP ENTERPRISES, INC. AND SUBSIDIARIES</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="22">
          <b>UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="22">
          <b>($ thousands, except per share amounts)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="8">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="8">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="middle" colspan="8">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Three Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="8">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Twelve Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Sales
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          311,006
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          265,627
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          1,216,197
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          1,006,782
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Cost of sales
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          224,429
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          194,460
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          883,989
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          735,201
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Gross profit
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          86,577
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          71,167
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          332,208
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          271,581
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Selling, general and administrative expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          66,148
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          62,680
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          263,757
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          238,091
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Operating income
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          20,429
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          8,487
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          68,451
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          33,490
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Other (income) expense, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          126
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          (132
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: left" valign="bottom">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          (1,192
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: left" valign="bottom">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          (456
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: left" valign="bottom">
          )
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Interest expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          4,978
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          4,481
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          20,937
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          17,054
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Income before income taxes
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          15,325
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,138
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          48,706
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          16,892
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Provision for (benefit from) income taxes
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          4,223
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          (2,517
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: left" valign="bottom">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          13,185
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          363
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Net income
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          11,102
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          6,655
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          35,521
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          16,529
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Net income (loss) attributable to NCI*
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          (20
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: left" valign="bottom">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          1
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          (111
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: left" valign="bottom">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          (359
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: left" valign="bottom">
          )
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Net income attributable to DXP Enterprises, Inc.
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          11,122
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          6,654
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          35,632
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          16,888
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Preferred stock dividend
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          22
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          22
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          90
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          90
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 4.0px; text-align: left" valign="middle">
          Net income attributable to common shareholders
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          11,100
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          6,632
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          35,542
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          16,798
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Diluted earnings per share attributable to DXP Enterprises, Inc.
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          0.60
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          0.36
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          1.94
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          0.93
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Weighted average common shares and common equivalent shares
          outstanding
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          18,410
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          18,232
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          18,393
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          18,240
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="bottom" colspan="22">
          *NCI represents non-controlling interest
        </td>
      </tr>
      <tr>
        <td colspan="22">
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; font-family: Times New Roman; margin-bottom: 10.0px; width: 100%" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="7">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="21">
          <b>SEGMENT DATA</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="21">
          <b>($ thousands, unaudited)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="8">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="7">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="middle" colspan="8">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Three Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="7">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Twelve Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          <b>Sales</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Service Centers
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          193,343
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          166,951
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          750,044
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          641,275
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Innovative Pumping Solutions
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          73,137
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          59,474
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          291,697
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          204,030
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Supply Chain Services
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          44,526
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          39,201
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          174,456
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          161,477
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 4.0px; text-align: left" valign="middle">
          <b>Total DXP Sales</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>311,006</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>265,626</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>1,216,197</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>1,006,782</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="8">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Three Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="7">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Twelve Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          <b>Operating Income</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Service Centers
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          22,366
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          15,941
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          80,718
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          63,250
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Innovative Pumping Solutions
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          9,833
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,321
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          33,943
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          11,423
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Supply Chain Services
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          4,008
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          3,693
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          16,204
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          15,451
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 4.0px; text-align: left" valign="middle">
          <b>Total Segment Operating Income</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>36,207</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>23,955</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>130,865</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>90,124</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; font-family: Times New Roman; margin-bottom: 10.0px; width: 100%" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="22">
          <b>Reconciliation of Operating Income for Reportable Segments</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="22">
          <b>($ thousands, unaudited)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="8">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="8">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="8">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Three Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="8">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Twelve Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Operating income for reportable segments
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          36,207
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          23,955
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          130,865
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          90,124
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          <i>Adjustment for:</i>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Amortization of intangibles
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,011
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,323
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          16,586
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          17,266
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Corporate expenses
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          11,767
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          11,145
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          45,828
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          39,368
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Total operating income
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          20,429
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          8,487
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          68,451
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          33,490
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Interest expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,978
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,481
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          20,937
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          17,054
        </td>
        <td>

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Other expense (income), net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          126
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          (132
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: left" valign="bottom">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          (1,192
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: left" valign="bottom">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          (456
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: left" valign="bottom">
          )
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 4.0px; text-align: left" valign="middle">
          <b>Income before income taxes</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>15,325</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>4,138</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>48,706</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>16,892</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">
      <b>Unaudited Reconciliation of Non-GAAP Financial Information</b><br><i>($
      thousands, unaudited)</i>
    </p>
    <p>
      The following table is a reconciliation of EBITDA and adjusted EBITDA, a
      non-GAAP financial measure, to income before income taxes, calculated
      and reported in accordance with U.S. GAAP<i>.</i>
    </p>
<div style="text-align:left">
    <table style="font-size: 8pt; font-family: Times New Roman; margin-bottom: 10.0px; width: 100%" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="7">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="8">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Three Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="7">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Twelve Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Income before income taxes
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          15,325
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          4,138
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          48,706
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          16,892
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Plus: interest expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,978
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,481
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          20,937
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          17,054
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Plus: depreciation and amortization
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          6,454
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          7,188
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          26,164
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          27,786
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          <b>EBITDA</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          <b>26,757</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          <b>15,807</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          <b>95,807</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          <b>61,732</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Plus: NCI loss(gain) before tax
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          37
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          (1
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: left" valign="bottom">
          )
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          157
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          577
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Plus: Stock compensation expense
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          526
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          316
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          2,549
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          1,708
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          <b>Adjusted EBITDA</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          <b>27,320</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          <b>16,122</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          <b>98,513</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          <b>64,017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
<div style="text-align:left">
    <table style="font-size: 8pt; font-family: Times New Roman; margin-bottom: 10.0px; width: 100%" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="3">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="11">
          <b>DXP ENTERPRISES, INC. AND SUBSIDIARIES</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="11">
          <b>UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: center" valign="top" colspan="11">
          <b>($ thousands, except per share amounts)</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black" colspan="3">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black" colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>December 31, 2018</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="2">
          <b>December 31, 2017</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          <b>ASSETS</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          <i><b>Current assets:</b></i>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Cash
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          40,304
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          22,047
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Restricted Cash
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          215
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          3,532
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Accounts receivable
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          191,829
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          167,272
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Inventories
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          114,830
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          91,413
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Costs and estimated profits in excess of billings
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          32,514
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          26,915
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Prepaid expenses and other current assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,938
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          5,296
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Federal income taxes receivable
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          960
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          1,440
        </td>
      </tr>
      <tr>
        <td style="padding-left: 20.0px; text-align: left" valign="middle">
          <i><b>Total current assets</b></i>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>385,590</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>317,915</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Property and equipment, net
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          51,330
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          53,337
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Goodwill
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          194,052
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          187,591
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Other intangible assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          67,207
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          78,525
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Other long-term assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          1,783
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          1,715
        </td>
      </tr>
      <tr>
        <td style="padding-left: 20.0px; padding-bottom: 4.0px; text-align: left" valign="middle">
          <b>Total assets</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>699,962</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>639,083</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          <b>LIABILITIES AND EQUITY</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          <i><b>Current liabilities:</b></i>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Current maturities of long-term debt
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          3,407
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          3,381
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Trade accounts payable
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          87,407
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          80,303
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Accrued wages and benefits
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          21,275
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          18,483
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Customer advances
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          3,223
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          2,189
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Billings in excess of costs and estimated profits
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          10,696
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          4,249
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Other current liabilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          17,269
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          16,220
        </td>
      </tr>
      <tr>
        <td style="padding-left: 20.0px; text-align: left" valign="middle">
          <i><b>Total current liabilities</b></i>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>143,277</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>124,825</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Long-term debt, less unamortized debt issuance costs
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          236,979
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          238,643
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Other long-term liabilities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          2,819
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          &#8212;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Deferred income taxes
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          8,633
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          7,069
        </td>
      </tr>
      <tr>
        <td style="padding-left: 20.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          <b>Total long-term liabilities</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>248,431</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>245,712</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 20.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          <b>Total Liabilities</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>391,708</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>370,537</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          <i><b>Equity:</b></i>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">

        </td>
      </tr>
      <tr>
        <td style="padding-left: 20.0px; text-align: left" valign="middle">
          <i><b>Total DXP Enterprises, Inc. equity</b></i>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>306,848</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          <b>267,979</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 20.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Non-controlling interest
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          1,406
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          567
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          <i><b>Total Equity</b></i>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>308,254</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>268,546</b>
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 4.0px; text-align: left" valign="middle">
          <b>Total liabilities and equity</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>699,962</b>
        </td>
        <td style="border-bottom-style: double; border-bottom-width: 2.25pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: double; border-bottom-width: 2.25pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>639,083</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <div style="margin-right: 0pt; text-indent: 0pt; margin-bottom: 10pt; margin-left: 0pt; width: 100%">
      <div>
        <div style="text-align: left">

        </div>
      </div>
      <div style="page-break-after: always">
        <div style="text-align: center">

        </div>
        <div style="text-align: center">
          <hr style="color: black; height: 1.5pt">

        </div>
      </div>
      <div>
        <div style="text-align: right">

        </div>
      </div>
    </div>
    <p style="text-align: center">
      <b>Unaudited Reconciliation of Non-GAAP Financial Information</b><br><i>($
      thousands, unaudited)</i>
    </p>
    <p>
      The following table is a reconciliation of free cash flow, a non-GAAP
      financial measure, to cash flow from operating activities, calculated
      and reported in accordance with U.S. GAAP<i>.</i>
    </p>
<div style="text-align:left">
    <table style="font-size: 8pt; font-family: Times New Roman; margin-bottom: 10.0px; width: 100%" cellspacing="0">
      <tr>
        <td>

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="8">

        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td colspan="7">

        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="8">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Three Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black; text-align: center" valign="bottom" colspan="7">
          <p style="margin-bottom: 0px; margin-top: 0px">
            <b>Twelve Months Ended</b><br><b>December 31,</b>
          </p>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2017</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="3">
          <b>2018</b>
        </td>
        <td>
          &#160;
        </td>
        <td>
          &#160;
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: center" valign="bottom" colspan="2">
          <b>2017</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="3">

        </td>
        <td>

        </td>
        <td>

        </td>
        <td colspan="2">
          &#160;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Net cash provided by operating activities
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          25,998
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          4,017
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          35,840
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          $
        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom">
          12,544
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; text-align: left" valign="middle">
          Less: purchase of equipment
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          1,618
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          654
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          9,323
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; padding-right: 0.0px; white-space: nowrap; text-align: right" valign="bottom" colspan="2">
          2,811
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          Plus: proceeds from sales of assets
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          12
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          &#8212;
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          2,558
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom" colspan="2">
          &#8212;
        </td>
      </tr>
      <tr>
        <td style="padding-left: 0.0px; padding-bottom: 2.0px; text-align: left" valign="middle">
          <b>Free cash flow</b>
        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>24,392</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>3,363</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>29,075</b>
        </td>
        <td style="border-bottom-style: solid; border-bottom-width: 1.0pt; border-bottom-color: black">
          &#160;
        </td>
        <td>

        </td>
        <td>

        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>$</b>
        </td>
        <td style="padding-left: 0.0px; border-bottom-style: solid; border-bottom-width: 1.0pt; padding-right: 0.0px; white-space: nowrap; border-bottom-color: black; text-align: right" valign="bottom">
          <b>9,733</b>
        </td>
      </tr>
      <tr>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>

        </td>
        <td>
          &#160;
        </td>
      </tr>
    </table>
    </div>
    <p style="text-align: center">

    </p>
    <p>
      CONTACT:<br>Kent Yee<br>713-996-4700<br>Senior Vice President, CFO<br><u>www.dxpe.com</u>
    </p>
    <p>

    </p>
  </body>
</html>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
