Quarterly report pursuant to Section 13 or 15(d)

SEGMENT INFORMATION AND MAJOR CUSTOMERS

SEGMENT INFORMATION AND MAJOR CUSTOMERS

6 Months Ended

Jun. 30, 2019

NOTE 17 – SEGMENT INFORMATION AND MAJOR CUSTOMERS

The Company currently has identified three segments as follows:

	REGS	Industrial Cleaning
	MV and SEM	Environmental Solutions
	PWS	Solid Waste

Reach has had no operations and PelleChar had minimal operations through June 30, 2019.

The composition of our reportable segments is consistent with that used by our Chief Operating Decision Maker (“CODM”) to evaluate performance and allocate resources. All of our operations are located in the U.S. We have not allocated corporate selling, general and administrative expenses, and stock-based compensation to the segments. All intercompany transactions have been eliminated.

Segment information for the three and six months ended June 30, 2019 and 2018 is as follows:

Three Months ended

2019	Industrial			Environmental		Solid
	Cleaning			Solutions		Waste			Corporate			Total
Revenue	$	505,200		$	890,600	$	65,300		$	—		$	1,461,100
Depreciation and amortization (1)		37,800			10,500		10,800			22,900			82,000
Interest expense		9,500			1,800		—			101,100			112,400
Stock-based compensation		—			—		—			400			400
Net income (loss)		(478,200	)		139,100		(84,900	)		(527,800	)		(951,800	)
Capital expenditures (cash and noncash)		6,900			—		—			42,700			49,600
Total assets	$	665,000		$	1,143,400	$	344,200		$	864,900		$	3,017,500

2018	Industrial			Environmental		Solid
	Cleaning			Solutions		Waste			Corporate			Total
Revenue	$	796,800		$	1,543,700	$	88,000		$	—		$	2,428,500
Depreciation and amortization (1)		58,000			32,700		9,800			20,500			121,000
Interest expense		11,900			2,400		—			599,500			613,800
Stock-based compensation		—			—		—			35,500			35,500
Net income (loss)		(232,300	)		336,800		(9,000	)		(1,126,600	)		(1,031,100	)
Capital expenditures (cash and noncash)		—			—		—			—			—
Total assets	$	1,086,800		$	1,410,900	$	520,800		$	1,161,000		$	4,179,500

Six Months ended

2019	Industrial			Environmental		Solid
	Cleaning			Solutions		Waste			Corporate			Total
Revenue	$	725,400		$	1,980,700	$	147,400		$	—		$	2,853,500
Depreciation and amortization (1)		88,700			23,900		38,600			43,200			194,400
Interest expense		20,200			3,700		1,600			236,700			262,200
Stock-based compensation		—			—		—			900			900
Net income (loss)		(791,400	)		359,100		(146,400	)		(923,700	)		(1,502,400	)
Capital expenditures (cash and noncash)		6,900			—		—			57,600			64,500
Total assets	$	665,000		$	1,143,400	$	344,200		$	864,900		$	3,017,500

2018	Industrial			Environmental		Solid
	Cleaning			Solutions		Waste			Corporate			Total
Revenue	$	1,720,000		$	2,419,300	$	185,300		$	—		$	4,324,600
Depreciation and amortization (1)		134,200			77,100		29,100			41,300			281,700
Interest expense		27,100			5,000		—			947,500			979,600
Stock-based compensation		—			—		—			71,000			71,000
Net income (loss)		(309,800	)		457,500		(45,200	)		(1,880,900	)		(1,778,400	)
Capital expenditures (cash and noncash)		—			—		—			—			—
Total assets	$	1,086,800		$	1,410,900	$	520,800		$	1,161,000		$	4,179,500

(1)

Includes depreciation of property, equipment and leasehold improvement and amortization of intangibles