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"2015 results were significantly impacted by the downturn in our industry, and Newalta responded progressively throughout the year to protect the balance sheet through cost savings and cash management initiatives," said John Barkhouse, President and CEO. "While our proactive run rate cost saving measures in 2015 of more than $40 million annualized partially offset the rapid pace of the downturn, we continue to take actions, including those taken in February 2016, that position our business to withstand a lower for longer oil price and activity environment."

Newalta will continue to proactively manage operating cash flow as part of its plan to maximize liquidity and flexibility. To that end, as announced in February 2016, Newalta suspended its quarterly dividend, reduced its capital spending budget and implemented additional cost rationalization actions. These new measures are anticipated to have a year over year positive impact on cash flow of approximately $40 million in 2016. To provide further flexibility in this challenging environment, Newalta proactively engaged with its lending syndicate to amend its credit facility. "Our principal objective was to present a conservative WTI oil price forecast of $30 for 2016 and $37 for 2017 to incorporate staged thresholds for Senior Debt to EBITDA and Interest Coverage covenants as well as to extend the waiver of our Total Debt to EBITDA covenant through Q1 2018," said Mr. Barkhouse.

"Despite depressed market conditions, I am encouraged by our resilience built upon our exceptional people, with deep expertise and commitment, our strong culture and our established safety excellence. The fact that 2015 was Newalta's safest year on record given the challenging environment reflects our sustained commitment to safety and operational excellence.

"2016 will be another challenging year with the prolonged market downturn expected to continue to impact our results. With our people and culture, we are prepared to meet these challenges by focusing on disciplined cash management and operational excellence. By preserving cash and keeping tight control over operating and capital costs, we will protect our balance sheet, survive, and be positioned to unlock significant torque as the markets we service recover."

FOURTH QUARTER & YEAR END RESULTS

Continuing Operations reflect the ongoing pure play environmental energy services business of Newalta and exclude the Industrial Division which was sold in the first quarter. Newalta's Continuing Operations include two divisions - Heavy Oil and Oilfield - a structure adopted in Q1 2015 to more closely align operations with customer activities, facilitate a seamless service package to customers, optimize our resource allocations, and aid in the execution of our growth strategies.

Continuing Operations

Q4 revenue and Adjusted EBITDA decreased 51% and 80%, respectively, to $64.7 million and $6.2 million compared to prior year. Performance in the fourth quarter of 2015 continued to be significantly impacted by fundamental industry changes. Factors at play in the third quarter persisted and were further exacerbated by an early shut down for the holiday season. Throughout the latter half of 2015, producers shut-in wells and minimized maintenance activities while continuing to review and defer projects and capital spending. As a result, there has been a reduction in waste volumes available in the market and lower oil content in waste received. Limited volumes available for processing in the market drove increased competition and competitive pricing actions. Production-driven volumes at our Canadian Oilfield Facilities and Heavy Oil Facilities decreased by over 45% and 15%, respectively.

To view the graph entitled "TOTAL FACILITIES PRODUCTION/DRILLING VOLUMES ('000 m³)", please visit the following link: http://media3.marketwire.com/docs/NewaltaImages.pdf

Historically, production volumes across our Oilfield and Heavy Oil facilities have comprised approximately 80% of total waste volumes processed, which provides earnings stability against reasonable fluctuations in price and drilling activity levels. However, severe declines such as we experienced in 2015 and previously in 2009, drive fundamental behavioural shifts that significantly impact production volumes.

In 2009, production volumes at our Oilfield and Heavy Oil facilities decreased approximately 20% compared to 2008, experienced almost exclusively at our Oilfield facilities. The severity and longevity of the current downturn has driven the same level of production volume decreases at our Oilfield facilities (40% declines), but has also impacted our Heavy Oil facilities to a similar degree (a 25% decrease in production volumes from prior year versus a 5% decline in 2009). As a result, total production volumes across our Oilfield and Heavy Oil facilities decreased 30% in 2015 over 2014 as compared to the 20% decrease in 2009 over 2008.

Production waste volumes drove $14.6 million of the $24.0 million decline in Q4 Adjusted EBITDA compared to prior year. The balance of the decline was driven by lower drilling activity, reduced contributions from growth capital, including returns from mining contracts, and crude oil prices ($9.2 million, 6.3 million and $3.5 million, respectively). These factors were partially offset by cost savings of approximately $9.6 million realized in the fourth quarter. Net loss from Continuing Operations for the quarter was $116.7 million compared to $17.9 million in the prior year driven by impairment costs and lower Adjusted EBITDA.

To view the graphs entitled "Q4 ADJUSTED EBITDA CAUSE OF VARIANCE ($millions)" and "2015 ADJUSTED EBITDA CAUSE OF VARIANCE ($millions)", please visit the following link: http://media3.marketwire.com/docs/NewaltaImages.pdf

In response to the severe decline in activity levels and crude oil prices, the following initiatives were actioned in 2015 to protect our profitability and balance sheet:

• We delivered on our cost rationalization program to drive annualized savings in excess of $40 million. Actions included the elimination of positions, office space consolidation and the suspension of the company-matching payments in our employee savings plans. In combination, we realized $9.6 million and $29.1 million in savings in the quarter and year, respectively.

• We conducted a review of underperforming operating locations and in areas where activity has declined, locations have either been suspended or turned into a feeder station / bulking station for larger processing facilities.

• We secured a waiver of our Total Debt to EBITDA covenant under our Credit Facility, in effect to June 2017. The waiver was granted based on the strength of our balance sheet, our effective working capital management and our strong Senior Debt to EBITDA ratio.

• We reduced our quarterly dividend from $0.125 to $0.0625 effective for the dividend payable to shareholders of record as of December 31, 2015.

Our contract model has performed well during this downturn, continuing to provide steady, predictable cash flow. These contracts generally are not tied directly to commodity price changes or drilling activity and provide a solid foundation for our business, particularly in depressed markets. In 2015, contracts represented 29% of our revenue. During the year, we completed construction of the second modular processing facility (MFT) plant at Shell Canada Limited's (Shell) Jackpine Mine and began MFT processing. We extended the contract at Syncrude's full-scale facility at Mildred Lake to March 2017. Our original Syncrude contract was put into hibernation in the fourth quarter.

In 2015, Adjusted EBITDA was $54.6 million, down 58% over prior year, reflecting the same factors as the quarter. Net loss from Continuing Operations was $166.0 million compared to $12.4 million in the prior year, reflecting the same factors as the quarter.

Q4 2015 and full year G&A decreased 43% and 32% to $10.7 million and $45.5 million, respectively. The improvement reflects the cost rationalization initiatives commenced in Q1 2015. We incurred $2.2 million and $30.3 million in restructuring and other related costs during the fourth quarter and full year, respectively. Costs were comprised of employee termination and other costs, advisory fees and non-cash onerous lease costs. Of the 2015 employee termination and other costs, 70% were in corporate overhead with the balance in operations.

Divisional Results

Heavy Oil revenue and Divisional EBITDA in the quarter decreased by 48% and 54%, respectively, to $29.3 million and $10.7 million compared to prior year. Contributions from both Heavy Oil Facilities and Onsite declined due to reduced activity in the heavy oil sector and lower crude oil prices. Decreased waste and recovered crude oil volumes at our facilities combined with lower crude oil prices accounted for over 50% of the decline in Divisional EBITDA. For the quarter, production volumes in the Heavy Oil facilities declined over 15%. Onsite contributions decreased as a result of lower revenue from the original Syncrude MFT contract, which entered hibernation in the fourth quarter, as well as decreased demand for in situ project work. Despite the Syncrude hibernation, contract revenue continued to provide predictable cash flow to our business, generating just over 60% of Heavy Oil revenue for the year.

In 2015, revenue and Divisional EBITDA decreased by 29% and 39%, respectively, compared to prior year. The decrease from Heavy Oil Facilities was driven by the same factors as the quarter with a greater impact from reduced production volumes.

In 2015, we made the following progress on our growth plans:

• Completed construction of the second MFT plant at Shell's Jackpine Mine and began MFT processing in the first quarter.

• Completed construction and commissioning of the Fort McMurray full-service facility to serve the oil sands in Q2.

• Signed an extension on the contract at Syncrude's full-scale facility at Mildred Lake in the third quarter.

• Completed commissioning and began operations late in the third quarter at our new modular processing facility (MPF) near Silver Lake, Saskatchewan.

Oilfield revenue and Divisional EBITDA in the quarter decreased 54% and 76%, respectively, to $35.4 million and $6.1 million, driven by lower contributions from both Oilfield Facilities and Drilling Services. Performance was impacted by drilling and production activity declines and increased competition for waste streams driven by severely depressed crude oil prices. Contributions from Oilfield Facilities were also dampened by reduced recovered crude oil sales as a result of lower crude oil prices and volumes recovered due to lower oil content in waste received.

In 2015, Oilfield revenue and Divisional EBITDA decreased 37% and 57%, respectively. Results were impacted by the same factors as the quarter with drilling activity having a greater impact on 2015 results. Crude oil prices accounted for approximately 16% of the decline in Divisional EBITDA.

In 2015, we made the following progress on our growth capital investments:

• Entered into a joint venture agreement with a midstream provider in Q2 for one commissioned modular processing facility, which is anticipated to be expanded to include a full-service offering to customers.

• Completed commissioning of the Alexander, North Dakota MPF in the Bakken early in Q1.

• Completed construction and commissioning at two new MPFs at Fox Creek and Gold Creek, Alberta in Q1.

• Completed construction of our Gold Creek Landfill and commenced operations early in Q4. The landfill is strategically located near our Gold Creek MPF to improve operational efficiencies and provide a seamless service for our customers.

Capital expenditures for the quarter and year ended December 31, 2015 were $6.8 million and $74.9 million, respectively. Our capital deployment was focused on strategic markets, with approximately 70% of our total 2015 investment incurred in the first half of the year to complete 2014 carry-over projects and strategic projects including the Fort McMurray facility.

Impairment for the quarter and year ended December 31, 2015 was $119.6 million and $134.4 million, respectively. In Q4, as a result of the sustained low commodity price environment and our corresponding near-term outlook, we impaired the carrying value of our assets by $119.6 million. We identified specific assets with a carrying value of $62.5 million (primarily within our Oilfield division and in Corporate) for which we no longer expect to recover their value through future operations. In addition, through cash generating unit value-in-use testing required under IFRS, we impaired a further $57.1 million ($40.5 million of goodwill and $16.6 in tangible assets) within our Oilfield division. This impairment in no way impacts our ability to realize upside with recovery in oil pricing and drilling activity.

Our Total Debt was $352.3 million as at December 31, 2015, which reflected a $119.9 million decrease over December 31, 2014. The Senior Secured Debt to EBITDA ratio was 1.44 in Q4 2015.

Discontinued Operations

In Q4 2015 Discontinued Operations net earnings before loss on sale was $0.7 million compared to net loss before loss on sale $139.7 million in the prior year. Q4 2015 results reflect customary purchase price adjustments. In 2015, net loss before loss on sale was $7.0 million compared to $130.3 million in the prior year. The decrease in performance was primarily driven by the timing of the sale in February. For the quarter and year, we have recorded pre-tax loss on sale of $13.5 million and $20.6 million, respectively.

2016 Credit Facility Amendments

On March 1^st, 2016, we amended the terms of our credit agreement to, among other things, decrease the borrowing amount under our Credit Facility from $175.0 million to $160.0 million. Other key changes to the Credit Facility include:

• Our Total Debt to EBITDA covenant waiver was extended to Q1 2018.
  

• We have staged thresholds for our Interest Coverage and Senior Debt to EBITDA covenants as follows:

• We have the ability to waive our Interest Coverage ratio at one quarter end during the period from January 1, 2016 to December 31, 2016.

• Beginning with the quarter ended September 30, 2017, EBITDA will be annualized for covenant calculation purposes; trailing six month EBITDA will be annualized for the quarter ended September 30, 2017; and trailing nine month EBITDA will be annualized for the quarters ended December 31, 2017 and March 31, 2018.

The revised terms of the Credit Facility provide increased financial flexibility to manage through a prolonged lower oil price and activity environment. We have also made additional adjustments to our covenant package to take into consideration the current economic environment in the industry, including a restriction on declaring dividends through the period ending March 31, 2018.

Dividends

In determining the dividend to be paid to our shareholders, the Board of Directors considers a number of factors, including: the forecasts for operating and financial results, maintenance and growth capital requirements, as well as market activity and conditions. After review of all factors, the Board declared $3.5 million in dividends or $0.0625 per share, paid January 15, 2015, to shareholders on record as at December 31, 2015.

In light of the current market environment and outlook, the Board of Directors suspended the quarterly cash dividend. This suspension represents $14 million in annualized cash flow savings.

The following section contains forward-looking information as it outlines our Outlook for 2016. Our Outlook is based on several key assumptions including growth capital contributions, commodity prices and activity levels of the industries we serve. Changes to these assumptions could cause our actual results to differ materially.

OUTLOOK

Our performance in 2015 was significantly impacted by the sharp drop in oil prices and activity levels in the oil and gas industry. The magnitude of this downturn is expected to continue to impact our results in 2016. In the first weeks of 2016, oil prices dropped below West Texas Intermediate (WTI) $30/bbl and drove incremental behavioural and market shifts. We anticipate that the prolonged market decline will result in a further reduction of production volumes and additional pricing pressure, with these factors being partially offset by additional savings from our rationalization initiatives.

Adjusted EBITDA in the first quarter of 2016 is expected to be lower than the fourth quarter of 2015. Low crude oil prices and activity declines will place downward pressure on our results. Contributions from our 2015 capital investment will be lower than previously expected. In Heavy Oil, Onsite contributions will be impacted by the hibernation of our original Syncrude MFT contract; if this contract remains in hibernation, our contract revenue as a percentage of total revenue will decline. We expect to realize approximately $1 million of savings in the first quarter from our cost rationalization actions taken in 2016.

The following table outlines the factors we expect to impact performance in the first quarter and full year.

The expected impact of crude oil prices on Adjusted EBITDA is derived from the change in crude oil price and annual recovered crude oil volumes. At current activity levels, we expect to recover fewer barrels of crude oil in 2016 compared to 2015. This decrease reduces our sensitivity to crude oil prices on an annual basis. For every $10 change in our Canadian benchmarks we expect a $5 million change in Adjusted EBITDA in 2016, compared to a $6 million change in 2015.

Crude oil prices

• Lower crude oil prices directly impact the value of the products we recover from waste. In 2015, crude oil prices dropped more than 40% compared to 2014. We anticipate oil prices to remain low for 2016.

Drilling Activity

• In 2015, drilling activity in areas where we operate declined over 50% from 2014. We anticipate drilling activity to remain depressed in 2016.

Step Change (production waste volumes, shifts in waste mix, customer pricing reductions, offset by returns from growth capital and operational efficiencies)

• The majority (85%) of step change is driven by the declines in production waste volumes available in the market and oil content in the waste received.

• In 2016, we expect heightened pricing pressure and lower production volumes to continue from 2015.

• We are working with our customers to bundle opportunities, partner through contractual relationships, collaborating with our suppliers and reducing our operating cost structure to mitigate the impact of pricing pressure.

• The severe decline in crude oil prices and activity has reduced contributions from growth capital. We expect this trend to continue in 2016.

Savings from Cost Rationalization

• To date, we have taken cost reduction and rationalization actions to drive in excess of $50 million annualized savings over 2014 levels.

• In 2016 we anticipate realizing $20 million in savings over 2015, $10 million realized as the full year impact of actions taken in 2015 and $10 million related to our 2016 actions.

Net Debt and Leverage

The waiver of our Total Debt to EBITDA covenant ratio, as well as the improved Senior Debt to EBITDA and Interest Coverage covenant thresholds under our Credit Facility provide us with additional flexibility to manage our balance sheet successfully during this downturn. Managing our debt leverage and use of our cash and capital are Management's highest priorities. We will remain within our debt covenants throughout the balance of the year.

Restructuring and Other Related Costs

Excluding onerous lease charges, we expect to incur approximately $5 million in restructuring charges, of which we anticipate $2 million will be paid out in 2016.

Capital Forecast

We reduced our 2016 budget on capital spending and will target capital expenditures of approximately $15 million, down from our previous guidance of $30 to $40 million. Maintenance capital will comprise approximately one third of the total capital spend.

Free Cash Flow Generation

We have proactively structured our business model for a "lower for longer" environment. Our rationalization initiatives, amended Credit Facility and suspension of dividends provide the liquidity and flexibility to operate in a sustained downturn. In 2016, we will manage cash flow to ensure our financing obligations are met and spending is minimized wherever possible. Tied to our WTI range of expectation for 2016, we anticipate being cash flow negative in the year. Beyond 2016, subject to partial recovery in oil price and activity levels, we will target positive Free Cash Flow generation after all cash financing, tax, and capital expenditures.

Customer Solutions

In addition to aggressively managing the internal business levers, we have continued to focus business development and sales on the pursuits of targeted customer opportunities. This approach is to leverage Newalta's extensive facility network, operating experience and modular assets to provide customers with a step change in cost efficiency and liability management.

Leverage on Recovery

Inherent in our business model is the capacity to leverage significant upside with recovery in oil pricing and activity levels. In a sustained $60 WTI environment with associated activity levels (using 2015 operating results as a base), we would expect Adjusted EBITDA to be in the range of $100 - $140 million, driven by the following factors:

• Commodity price impact of $6 - $8 million

• Drilling activity improvements between 10% - 40%

• A recovery of 10% - 40% of the non-linear Step Change impact

• 5% - 10% incremental return on $200 million growth capital investments from 2014 and 2015

• Benefit of our cost rationalization actions that support $20 million in Adjusted EBITDA savings, $10 million as a carryover from 2015 actions and $10 million from actions taken in 2016

To view the graph entitled "ADJUSTED EBITDA $60 WTI ($ MILLIONS)", please visit the following link: http://media3.marketwire.com/docs/NewaltaImages.pdf

Quarterly Conference Call

Management will hold a conference call on March 3, 2016 at 11:00 a.m. (ET) to discuss Newalta's performance for the quarter and year ended December 31, 2015. To participate in the teleconference, please call 416-340-2220 or toll free 866-225-6564. To access the simultaneous webcast, please visit www.newalta.com. For those unable to listen to the live call, a taped broadcast will be available at www.newalta.com and, until midnight on Thursday, March 10, 2016 by dialing 800-408-3053 and using pass code 4123055.

About Newalta

Newalta is a leading provider of innovative engineered environmental solutions that enable customers to reduce disposal, enhance recycling and recover valuable resources from oil and gas exploration and production waste streams. We simplify the critical challenges of sustainable environmental practices through the use of advanced processing capabilities deployed through a differentiated business model. We serve customers onsite directly at their operations and through a network of locations throughout North America. Our proven processes and excellent record of safety make us the first-choice provider of sustainability-enhancing services for oil and gas customers. With a highly skilled team of people, a two-decade track record of innovation and a commitment to commercializing new solutions, Newalta is positioned for sustained future growth and improvement. We are Sustainability Simplified™. Newalta trades on the TSX as NAL. For more information, visit www.newalta.com.

The press release contains certain statements that constitute forward-looking information. Please refer to the section below "Forward-Looking Information", for further discussion of assumptions and risks relating to this forward looking information.

The Condensed Consolidated Financial Statements and MD&A, which contain additional notes and disclosures, are available on SEDAR at www.sedar.com or our website at www.newalta.com under Investor Relations/Financial Reports.

SELECTED FINANCIAL INFORMATION

CONSOLIDATED BALANCE SHEETS

(Expressed in thousands of Canadian Dollars)

CONSOLIDATED STATEMENTS OF OPERATIONS & COMPREHENSIVE LOSS

(Expressed in thousands of Canadian Dollars except per share data)

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(Expressed in thousands of Canadian Dollars)

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Expressed in thousands of Canadian Dollars)

FORWARD-LOOKING INFORMATION

Certain statements contained in this document constitute "forward-looking information" as defined under applicable securities laws. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect", "potential", "strategy", "target" and similar expressions, as they relate to Newalta Corporation and the subsidiaries of Newalta Corporation, or their management, are intended to identify forward-looking information. In particular, forward-looking information included or incorporated by reference in this document includes information with respect to:

• future operating and financial results;

• business prospects and strategy including related timelines;

• capital expenditure programs and other expenditures;

• realization of anticipated benefits from the sale of the Industrial Division including the ability to reinvest the net proceeds of disposition in a timely and efficient manner;

• realization of anticipated benefits of growth capital investments, acquisitions, divestitures and our innovation and process development initiatives;

• realization of anticipated benefits from the implementation of cost rationalization initiatives including the anticipated value and sustainability of the cash savings from such initiatives;

• anticipated industry activity levels;

• anticipated commodity prices;

• expected demand for our services;

• expected expansion opportunities for our business;

• the amount of dividends declared or payable in the future;

• our projected cost structure; and

• expectations and implications of changes in legislation.

Expected future financial and operating performance and related assumptions are set out under "Outlook".

Such information reflects our current views with respect to future events and are subject to certain risks, uncertainties and assumptions, including, without limitation:

• strength of the oil and gas industry, including drilling activity;

• general market conditions;

• fluctuations in commodity prices for oil and the price we receive for our recovered oil;

• fluctuations in interest rates and exchange rates;

• financial covenants in our debt agreements that may restrict our ability to engage in transactions or to obtain additional financing;

• success of our growth, acquisition and innovation and process development strategies including integration of businesses and processes into our operations and potential liabilities from acquisitions;

• our ability to secure future capital to support and develop our business, including the issuance of additional common shares;

• the highly regulated nature of the environmental services and waste management business in which we operate;

• dependence on our senior management team and other operations management personnel with waste industry experience;

• the competitive environment of our industry in Canada and the U.S.;

• possible volatility of the price of, and the market for, our common shares, and potential dilution for shareholders in the event of a sale of additional shares;

• potential operational and safety risks and hazards, obtaining insurance for such risks and hazards on reasonable financial terms and potential failure of meeting customer safety standards;

• the seasonal nature of our operations;

• risk of pending and future legal proceedings;

• risk to our reputation;

• our ability to attract, retain and integrate skilled employees;

• open access for new industry entrants and the general unprotected nature of technology used in the waste industry;

• costs associated with operating our landfills; and

• such other risks or factors described from time to time in reports we file with securities regulatory authorities.

By its nature, forward-looking information involves numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward-looking information will not occur. Many other factors could also cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking information and readers are cautioned that the foregoing list of factors is not exhaustive. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Furthermore, the forward-looking information contained in this document is made as of the date of this document and, in each case, is expressly qualified by this cautionary statement. Unless otherwise required by law, we do not intend, or assume any obligation, to update any such forward-looking information.

RECONCILIATION OF NON-GAAP MEASURES

This Management's Discussion and Analysis (MD&A) contains references to certain financial measures, including some that do not have any standardized meaning prescribed by International Financial Reporting Standards (IFRS or GAAP) and may not be comparable to similar measures presented by other corporations or entities. These financial measures are identified and defined below.

"EBITDA", "EBITDA per share", "Adjusted EBITDA", and "Adjusted EBITDA per share" are measures of our operating profitability. EBITDA provides an indication of the results generated by our principal business activities prior to how these activities are financed, assets are amortized or impaired, or how the results are taxed in various jurisdictions. In addition, Adjusted EBITDA provides an indication of the results generated by our principal business activities prior to recognizing stock-based compensation and restructuring and other related costs. Adjusted EBITDA provides improved continuity with respect to the comparison of our operating results over a period of time. Stock-based compensation, a component of employee remuneration, can vary significantly with changes in the price of our common shares (Shares), while restructuring and other related costs are outside of our normal course of business. Restructuring and other related costs are charges primarily attributable to cost rationalization initiatives. EBITDA and Adjusted EBITDA are derived from the consolidated statements of operations and comprehensive income. EBITDA per share and Adjusted EBITDA per share are derived by dividing EBITDA and Adjusted EBITDA by the basic weighted average number of Shares.

EBITDA and Adjusted EBITDA from Continuing Operations are calculated as follows:

"Divisional EBITDA" provides an indication of the results generated by the division's principal business activities prior to how activities are financed, the assets are amortized or impaired and before allocation of General and Administrative (G&A) costs, restructuring and other related costs or stock-based compensation. Divisional EBITDA is derived from Net (loss) earnings before income tax from Continuing Operations as follows:

"Adjusted net earnings" and "Adjusted net earnings per share" are measures of our profitability from Continuing Operations. Adjusted net earnings from Continuing Operations (Adjusted net earnings) provides an indication of the results generated by our principal business activities prior to recognizing stock-based compensation recovery or expense, the gain or loss on embedded derivatives, impairment and restructuring and other related charges. Stock-based compensation, a component of employee remuneration, can vary significantly with changes in the price of our Shares. The loss on the embedded derivative is a result of the change in the trading price of the debentures and the volatility of the applicable bond market. Impairment and restructuring and other related costs are related to initiatives outside of our normal course of business. As such, Adjusted net earnings provides improved continuity with respect to the comparison of our results over a period of time. Adjusted net earnings per share is derived by dividing Adjusted net earnings by the basic weighted average number of Shares.

"Tangible book value per share" is used to assist management and investors in evaluating the book value compared to the market value.

"Return on Capital Employed" (ROCE) is used to assist management and investors in measuring the returns realized at the consolidated level from capital employed. ROCE is derived from Net earnings plus tax-adjusted interest divided by the average of the beginning and ending balances of our total assets less current liabilities for the period (Net Assets).

"Cash Basis Return on Capital" (ROC - Cash) is also used to assist management and investors in measuring the returns realized at the consolidated level from capital employed. ROC - Cash is derived from Adjusted EBITDA less cash stock-based compensation, cash taxes and maintenance capital divided by Net Assets.

"Net Debt" is defined as sum of amount drawn on the Credit Facility, Letters of Credit and Senior Unsecured Debentures less Cash on hand.

"Funds from operations" is used to assist management and investors in analyzing cash flow and leverage from Continuing Operations. Funds from operations as presented is not intended to represent operating funds from operations or operating profits for the period, nor should it be viewed as an alternative to cash flow from operating activities, net earnings or other measures of financial performance calculated in accordance with IFRS. Funds from operations is derived from the consolidated statements of cash flows and is calculated as follows:

"Free Cash Flow" is defined as Funds from Operations less dividends paid, capital expenditures and decommissioning costs incurred.

References to EBITDA, EBITDA per share, Adjusted EBITDA, Adjusted EBITDA per share, Divisional EBITDA, Adjusted net earnings, Adjusted net earnings per share, ROC - Cash, Net Debt, Funds from operations, Funds from operations per share, and Free Cash Flow throughout this document have the meanings set out above.

REPORTING STRUCTURE

In Q1 2015, we reorganized our reporting structure into two divisions - Heavy Oil and Oilfield. The new structure more closely aligns operations with customer activities, facilitates a seamless service package to customers, optimizes our resource allocations, and aids in the execution of our refreshed growth strategy.

The revised structure consists of:

Heavy Oil

• Facilities business unit

• Onsite business unit

Oilfield

• Facilities business unit (includes facilities in both Canada and the U.S.)

• Drilling Services business unit (includes drill site services in both Canada and the U.S.)

HEAVY OIL RESTATED INFORMATION BY QUARTER

HEAVY OIL RESTATED INFORMATION BY YEAR

OILFIELD RESTATED INFORMATION BY QUARTER

OILFIELD RESTATED INFORMATION BY YEAR

G&A RESTATED INFORMATION

SENSITIVITIES

Results from Continuing Operations are sensitive to changes in commodity prices for crude oil. The direct impact of these commodity prices is reflected in the revenue received from the sale of products such as crude oil. Approximately 15% of our revenue is sensitive to the direct impact of commodity prices. Our results are also impacted by drilling activity. Drilling sensitivities are impacted by the area in which drilling occurs, compared to areas where we operate and the drilling techniques employed. Where possible, we actively manage these impacts by strategically geographically balancing mobile assets to meet demand and shifts in activity levels where necessary.

In Q2, we revised our sensitivities for crude oil prices to better reflect the lower recovered crude oil volumes recovered at our facilities. In 2015, volumes have declined approximately 30%. As a result, the assumptions and relationships used to derive the previously disclosed sensitivities have been revised. The following table provides our estimates of fluctuations in key inputs and prices and the direct impact on revenue and Adjusted EBITDA from product sales:

Stock-based compensation expense is sensitive to changes in our share price. At December 31, 2015, a $1 change in our share price between $2 per share and $5 per share has approximately a $0.1 million direct impact on annual stock-based compensation reflected in G&A from Continuing Operations. Stock-based compensation is also impacted by dividend rate changes and the effects of vesting.