1) Maximize Free Cash Flow (FCF) through fiscal discipline.  2) Maximize Return on Invested Capital.  Table 4: Return on Invested Capital, % Core follows a strict discipline for allocating capital for investment in growing our  business. Unless certain Return on Invested Capital (ROIC) standards are met or  exceeded, the capital expenditure is disallowed. On average over the past 30 years,  the Company has determined that an appropriate capital allocation for a business  generally equals the amount of annual depreciation. However, when clients request  Core to increase capital for high-return  projects, as was the case in 2013, the  Company will increase capital alloca- tions. This discipline produced our  industry-leading Revenue to Free Cash  Conversion Rate of 24.5% during  2013 (Table 3). Core will continue to  demonstrate strict fiscal discipline in  2014 and beyond.  Core’s Board established an incentive  compensation program for the executive  and senior management teams based  on the Company’s producing an ROIC in the top decile for the oilfield  service industry.  Source: Bloomberg, 4 April 2014 Company  Conversion % Core Laboratories 24.5 Drill-Quip 13.7 Schlumberger 12.9 National Oilwell Varco 11.9 Superior Energy Services 6.2 Carbo Ceramics 5.6 Halliburton 5.2 Baker Hughes 4.8 Key Energy Services 4.1 Nabors Industries 3.9 CGG 2.2 Weatherford International –2.3 Transocean –3.4 Table 3: Revenue to Free Cash Conversion Rate Company Return on Invested Capital (ROIC) Weighted Average Cost  of Capital (WACC) Returns above WACC Core Laboratories 56.0 8.6 47.4 National Oilwell Varco 20.8 10.9 9.9 Halliburton 14.3 11.1 3.2 Drill-Quip 13.5 12.0 1.5 Schlumberger 12.5 10.6 1.9 Carbo Ceramics 11.0 9.3 1.7 Group Average 9.4 10.1 –0.7 Transocean 6.3 9.1 –2.8 Nabors Industries 5.1 9.4 –4.4 Baker Hughes 3.3 9.5 –6.1 Weatherford International 3.0 9.9 –6.9 Superior Energy Services –5.2 11.9 –17.0 CGG –8.8 8.7 –17.5 Key Energy Services –10.1 10.7 –20.8 Source: Bloomberg, 2 April 2014