AMERICAN GUARANTEE AND LIABILITY

INSURANCE COMPANY AS SUBROGEE

OF LOOMIS INTERNATIONAL, INC.,

BASIC ENERGY SERVICES GP, LLP, AND BASIC

ENERGY SERVICES, INC. D/B/A BES HOLDING CO., Appellees.

Appellant, American Guarantee and Liability Insurance Company as Subrogee of Loomis International, Inc., perfected an appeal from a judgment entered by the 94th District Court of Nueces County, Texas, in cause number 04-05835-C. After the record and briefs were filed, the parties filed a joint motion to dismiss with prejudice. In the motion, the parties state that they have settled their differences and request that the underlying action be dismissed with prejudice.

The Court, having considered the documents on file and the joint motion to dismiss the appeal with prejudice, is of the opinion that the motion should be granted. The joint motion to dismiss with prejudice is granted, and the appeal is hereby DISMISSED.

PER CURIAM

Memorandum Opinion delivered and

filed this 18th day of January, 2007.