2013 Annual Yearbook

Transcription

1 North American Cement Industry 213 Annual Yearbook Construction Facts n Industry Trends n Domestic & International Coverage n

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3 NORTH AMERICAN CEMENT INDUSTRY ANNUAL YEARBOOK 213 The following analysis is prepared by the Portland Cement Association s Economic Research Department based on data sources believed to be reliable; however, accuracy cannot be guaranteed. This report is not intended to represent the viewpoint of Portland Cement Association member companies. The Portland Cement Association assumes no legal responsibility for the outcome of decisions or commitments made on the basis of this information. 542 Old Orchard Road Skokie, Illinois MAIN FAX Edward J. Sullivan, Chief Economist and Group VP Dave Zwicke, Senior Regional Economist Michael W. Howard, Senior Economist Joseph T. Chiappe, Senior Market Intelligence Analyst Andrew Moss, Senior Market Intelligence Analyst Brian Schmidt, Market Intelligence Analyst Karen A. Arneson, Market Intelligence Specialist David Shaneen, Intern Economist The North American Cement Industry Annual Yearbook may not be electronically redistributed or reproduced, in whole or in part, without authorization of the Portland Cement Association. 213 Portland Cement Association

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5 TABLE OF CONTENTS Economic Activity Table 1 Construction and Economic Activity 1 Table 2 Construction Put-in-Place 2 Table 3 Government Deficits 3 Table 4 Foreign Trade 4 Table 5 Residential Drivers 5 Table 6 Net Residential Balance 6 Table 7 Nonresidential Drivers 7 Table 8 Public Drivers 8 Cement Consumption Table 9 U.S. Cement Industry Consumption - Exports - Imports - Shipments 9 Table 1 U.S. Cement Industry Consumption - Exports - Imports - Shipments (%) 1 Table 11 Apparent Use of Portland Cement by Market 11 Table 12 Alternative Measures of Cement Usage Intensity 12 Table 13 Single Family Construction 13 Table 14 Multifamily Construction 14 Table 15 Manufacturing Construction 15 Table 16 Office Construction 16 Table 17 Retail Construction 17 Table 18 Total Public Construction 18 Table 19 Highway Construction 19 Table 2 Portland Cement Consumption Growth by State 2 Table 21 Top 2 States in Portland Cement Consumption 21 Infrastructure Table 22 Highway Infrastructure Funding 23 Table 23 Highway Congestion Measures 24 Table 24 Airport Infrastructure Funding 25 Table 25 Airport Congestion Measures 26 Table 26 Seaport Congestion Measures 27 Cement Supply Table 27 Clinker Capacity 29 Table 28 Clinker Production, Capacity, and Capacity Utilization 3 Table 29 Age Distribution of U.S. Clinker Capacity by Process, Table 3 Clinker Capacity by Census District 32 Table 31 U.S. Cement Company Clinker Capacity 33 Table 32 Foreign and Domestic Affiliated U.S. Clinker Capacity 34 Table 33 Capacity Expansion Estimates 35 Table Largest States Ranked by Cement Grinding Capacity 36 Table 35 Cement Imports 37 Table 36 U.S. Cement and Clinker Imports by Port - Top Customs Districts 38 Table 37 U.S. Cement and Clinker Imports by Country of Origin 38 Table 38 Cement and Clinker Imports by Census District 39 Table 39 Cement Inventories at Year-end 4 i

6 Operating Characteristics Table 4 Portland Cement Shipments by Type of Customer 41 Table 41 Portland Cement Shipments by Type of Product 41 Table 42 Shipments of Portland Cement from Mills by Type of Carrier 42 Table 43 Summary of Energy Consumption 43 Table 44 Alternative Fuels Utilized 44 Table 45 Fossil Fuel Mix 45 Table 46 Energy Consumption by Process 45 Table 47 Resources Used in Producing Cement 46 Table 48 U.S. Cement Industry Employment 47 Table 49 U.S. Cement Industry Financial Statistics 47 Table 5 Cement Industry Operating Characteristics 48 Table 51 Canada Canadian Construction and Economic Activity 49 Table 52 Canadian Consumption - Exports - Imports - Shipments 5 Table 53 Canadian Consumption - Exports - Imports - Shipments (%) 51 Table 54 Alternative Measures of Canadian Cement Usage Intensity 52 Table 55 Canadian Construction Spending 52 Table 56 Canadian Cement and Clinker Exports 53 Table 57 Canadian Cement and Clinker Exports (destination) 53 Table 58 Canadian Cement and Clinker Imports by Source Country 54 Table 59 Canadian Cement and Clinker Imports by Province 55 Table 6 Provincial Grinding Capacity 56 Table 61 Provincial Portland Cement Consumption 56 Table 62 Growth of Provincial Portland Cement Consumption 56 Table 63 Canadian Cement Production and Capacity 57 Table 64 Canadian Clinker Capacity 57 Table 65 Age Distribution of Canadian Clinker Capacity by Process 58 Table 66 Canadian Cement Company Clinker Capacity 58 Table 67 Foreign Affiliated Canadian Clinker Capacity 58 Table 68 Summary of Energy Consumption 59 Table 69 Alternative Fuels Utilized 59 Table 7 Fuel Consumption Mix 6 Table 71 Canadian Energy Consumption by Process 6 Table 72 Canadian Employment 61 International Table 73 Top World Producers of Hydraulic Cement 63 Table 74 Population Growth Rates for Top World Producers of Hydraulic Cement 64 Table 75 Cement Consumption 65 ii

7 ECONOMIC ACTIVITY ECONOMIC ENVIRONMENT 1 Table 1 Construction and Economic Activity Ratio Ratio Ratio Construction Portland Cement* Portland Cement* Construction Real GDP % of GDP to Construction to GDP Year (Billions 1996$) (Billions Constant$) (Percent) (Metric Tons per $Million) (Metric Tons per $Million) , , , , , , , , , , , , , , , , , , , , , * Portland and M asonry Note: Construction data for 1992 and prior on Dept of Commerce program basis Source: U.S. Department of Commerce, Bureau of Economic Analysis, U.S. Geological Survey, PCA M arket Intelligence Index of Construction and Economic Activity (Index 199 = 1.) GDP Construction Spending Ratio Portland Cement to Construction (Metric Tons per Million $1996)

8 2 Table 2 Construction Put-in-Place (Billions of $1996) Share of Total Share of Total Share of Total Year Total Residential (%) Nonresidential (%) Public (%) Other ¹ Percent Change 212 / % 15.3% 1.% -5.6% 2.2% ¹ Public Utility, FarmNonresidential Note: Construction data for 1992 and prior on Dept. of Commerce programbasis Source: U.S. Department of Commerce Share of Total (%) Total Construction ($1996 Bil ) Share of Total Construction Spending (Percent) 6% Residential 5% 4% 3% Nonresidential 2% Public 1%

9 TABLE OF CONTENTS Economic Activity Table 1 Construction and Economic Activity 1 Table 2 Construction Put-in-Place 2 Table 3 Government Deficits 3 Table 4 Foreign Trade 4 Table 5 Residential Drivers 5 Table 6 Net Residential Balance 6 Table 7 Nonresidential Drivers 7 Table 8 Public Drivers 8 Cement Consumption Table 9 U.S. Cement Industry Consumption - Exports - Imports - Shipments 9 Table 1 U.S. Cement Industry Consumption - Exports - Imports - Shipments (%) 1 Table 11 Apparent Use of Portland Cement by Market 11 Table 12 Alternative Measures of Cement Usage Intensity 12 Table 13 Single Family Construction 13 Table 14 Multifamily Construction 14 Table 15 Manufacturing Construction 15 Table 16 Office Construction 16 Table 17 Retail Construction 17 Table 18 Total Public Construction 18 Table 19 Highway Construction 19 Table 2 Portland Cement Consumption Growth by State 2 Table 21 Top 2 States in Portland Cement Consumption 21 Infrastructure Table 22 Highway Infrastructure Funding 23 Table 23 Highway Congestion Measures 24 Table 24 Airport Infrastructure Funding 25 Table 25 Airport Congestion Measures 26 Table 26 Seaport Congestion Measures 27 Cement Supply Table 27 Clinker Capacity 29 Table 28 Clinker Production, Capacity, and Capacity Utilization 3 Table 29 Age Distribution of U.S. Clinker Capacity by Process, Table 3 Clinker Capacity by Census District 32 Table 31 U.S. Cement Company Clinker Capacity 33 Table 32 Foreign and Domestic Affiliated U.S. Clinker Capacity 34 Table 33 Capacity Expansion Estimates 35 Table Largest States Ranked by Cement Grinding Capacity 36 Table 35 Cement Imports 37 Table 36 U.S. Cement and Clinker Imports by Port - Top Customs Districts 38 Table 37 U.S. Cement and Clinker Imports by Country of Origin 38 Table 38 Cement and Clinker Imports by Census District 39 Table 39 Cement Inventories at Year-end 4 i

10 Operating Characteristics Table 4 Portland Cement Shipments by Type of Customer 41 Table 41 Portland Cement Shipments by Type of Product 41 Table 42 Shipments of Portland Cement from Mills by Type of Carrier 42 Table 43 Summary of Energy Consumption 43 Table 44 Alternative Fuels Utilized 44 Table 45 Fossil Fuel Mix 45 Table 46 Energy Consumption by Process 45 Table 47 Resources Used in Producing Cement 46 Table 48 U.S. Cement Industry Employment 47 Table 49 U.S. Cement Industry Financial Statistics 47 Table 5 Cement Industry Operating Characteristics 48 Table 51 Canada Canadian Construction and Economic Activity 49 Table 52 Canadian Consumption - Exports - Imports - Shipments 5 Table 53 Canadian Consumption - Exports - Imports - Shipments (%) 51 Table 54 Alternative Measures of Canadian Cement Usage Intensity 52 Table 55 Canadian Construction Spending 52 Table 56 Canadian Cement and Clinker Exports 53 Table 57 Canadian Cement and Clinker Exports (destination) 53 Table 58 Canadian Cement and Clinker Imports by Source Country 54 Table 59 Canadian Cement and Clinker Imports by Province 55 Table 6 Provincial Grinding Capacity 56 Table 61 Provincial Portland Cement Consumption 56 Table 62 Growth of Provincial Portland Cement Consumption 56 Table 63 Canadian Cement Production and Capacity 57 Table 64 Canadian Clinker Capacity 57 Table 65 Age Distribution of Canadian Clinker Capacity by Process 58 Table 66 Canadian Cement Company Clinker Capacity 58 Table 67 Foreign Affiliated Canadian Clinker Capacity 58 Table 68 Summary of Energy Consumption 59 Table 69 Alternative Fuels Utilized 59 Table 7 Fuel Consumption Mix 6 Table 71 Canadian Energy Consumption by Process 6 Table 72 Canadian Employment 61 International Table 73 Top World Producers of Hydraulic Cement 63 Table 74 Population Growth Rates for Top World Producers of Hydraulic Cement 64 Table 75 Cement Consumption 65 ii

11 ECONOMIC ACTIVITY ECONOMIC ENVIRONMENT 1 Table 1 Construction and Economic Activity Ratio Ratio Ratio Construction Portland Cement* Portland Cement* Construction Real GDP % of GDP to Construction to GDP Year (Billions 1996$) (Billions Constant$) (Percent) (Metric Tons per $Million) (Metric Tons per $Million) , , , , , , , , , , , , , , , , , , , , , * Portland and M asonry Note: Construction data for 1992 and prior on Dept of Commerce program basis Source: U.S. Department of Commerce, Bureau of Economic Analysis, U.S. Geological Survey, PCA M arket Intelligence Index of Construction and Economic Activity (Index 199 = 1.) GDP Construction Spending Ratio Portland Cement to Construction (Metric Tons per Million $1996)

12 2 Table 2 Construction Put-in-Place (Billions of $1996) Share of Total Share of Total Share of Total Year Total Residential (%) Nonresidential (%) Public (%) Other ¹ Percent Change 212 / % 15.3% 1.% -5.6% 2.2% ¹ Public Utility, FarmNonresidential Note: Construction data for 1992 and prior on Dept. of Commerce programbasis Source: U.S. Department of Commerce Share of Total (%) Total Construction ($1996 Bil ) Share of Total Construction Spending (Percent) 6% Residential 5% 4% 3% Nonresidential 2% Public 1%

13 ECONOMIC ACTIVITY 3 Table 3 Government Deficits Federal Federal State Federal Deficit Federal Debt Long-Term Nominal Debt Deficit/Surplus Deficit/Surplus Share of GDP Share of GDP Interest Rate GDP Year ($ Bil ) ($ Bil ) ($ Bil ) (% ) (% ) (% ) ($ Bil ) , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,311-1, , ,25-1, , ,223-1, , ,433-1, ,245 Source: United States Department of Treasury, United States Federal Reserve Federal Deficit/Surplus ($ Bil ) Federal Debt Share of GDP (Percent) 2

14 ECONOMIC ACTIVITY 4 Table 4 Foreign Trade Value of Value of Trade Exports Imports Deficit Year ($ Bil ) ($ Bil ) ($ Bil ) , , ,97 1, ,122 1, ,174 1, ,272 1, ,21 1, ,178 1, ,197 1, ,39 2, ,388 2, ,512 2, ,647 2, ,742 2, ,584 1, ,766 2, ,891 2, ,957 2, Source: Bureau of Economic Analysis Trade Deficit as a % of GDP (% ) Trade Deficit ($ Bil) Trade Deficit as a Percent of GDP (Percent)

15 ECONOMIC ACTIVITY 5 Table 5 Residential Drivers Single Family Multifamily Median Average 1 st Time Apartment Mortgage Home Monthly Home Median Mortgage Vacancy Age Rate Price Payment Buyers* Rent To Rent Rate Population* Year (%) ($) ($) () ($) Ratio (%) () , , , , , , , , , , , , , , ,21 43, , ,137 43, , ,49 42, , ,7 42, , ,18 41, , ,16 41, , ,251 4, , ,385 4, , ,378 4, , ,257 4, , ,34 4, , ,18 4, , ,2 4, , , ,982 * Estimated Source: U.S. Census Bureau, Freddie M ac Home Improvement Housing Stock () 14,53 15,514 16,793 18,2 19,6 111,33 112,51 114, ,76 117,56 119,38 12,59 121, ,65 124, , ,41 126,66 127,63 127, ,861 Single Family Average Monthly Payment ($) Multifamily Vacancy Rates (Percent)

16 ECONOMIC ACTIVITY 6 Table 6 Net Residential Balance Manufactured Annual Change Single Family Multifamily Home New Households In Households Starts Starts Placements Demolition * Net Supply Year () () () () () () () ,89 1,437 1, ,487 1,398 1, , ,817 1,33 1, , ,131 1,314 1, , ,432 1,31 1, , ,782 1,35 1, , ,116 1,333 1, , ,445 1,329 1, , ,756 1,311 1, , ,945 1,189 1, , ,69 1,124 1, , ,12 1,51 1, , ,25 1,13 1, , ,38 1,13 1, , ,56 1,18 1, , ,796 1,236 1, ,962 1, ,12 1, ,31 1, ,13 * 1, ,25 * 1, Source: U.S. Census Bureau * Estimated 2.% Annual Change in Households (Percent) 2 Annual Net New Housing Supply () 1.5% 15 1.% 1.5% 5.%

17 ECONOMIC ACTIVITY 7 Table 7 Nonresidential Drivers 1 Commercial Institutional Manufacturing Office Retail Air Change in Student Healthcare Capacity Vacancy Sales Travel Population Teacher Expenditure Utilization Rate Growth ¹ Growth 5-19 Ratio ² Share of GDP Year (%) (%) (% ) (% ) (% ) (%) Years prior to 1992 on SIC basis 2 21 and 211 are National Center for Education Statisitics estimates Sources: U.S. Census Bureau, U.S. Department of Transportation, CB Commercial, U.S. National Center for Education Statistics, U.S. Department of Health,Bureau of Economic Analysis, Centers for Medicare and Medicaid Services, Federal Reserve Board Pop 65+ Share of Total Pop (%) Manufacturing Capacity Utilization (Percent) Office Vacancy Rate (Percent) 6

18 ECONOMIC ACTIVITY 8 Table 8 Public Drivers State/Local State Deficit/ Share of State State Surplus State Total Public Deficit/ Government Share of Revenue Municipal Construction 1 Surplus 1 Revenues 1 Total Rev 1 Per Capita 1 Bond Rate Year (%) ($ Bil ) ($ Bil ) (% ) ($) (%) , , , , , , , , , , , , , , , , , , , , , , , , , , ,91.6 6, , , , , , , , , ,39-6, Based on nominal values Real Public Construction Spending Per Capita (1996$) State and Local Net Fiscal Balances ($ Bil) 65 Public Construction Spending Per Capita ($1996)

19 CEMENT CONSUMPTION 9 Table 9 U.S. Cement Industry Consumption - Exports - Imports - Shipments (Thousands of Metric Tons) Consumption* Portland Masonry Cement Cement Change Total Shipments By Year Cement Cement Total Exports Imports In Stocks Domestic Producers ,354 2,74 76, , , ,575 3,14 79, , , ,154 3,267 85, , , ,17 3,16 86, ,848 1,113 74, ,639 3,399 91, , , ,725 3,46 96, , , ,153 4,11 13, , , ,74 4,352 18, , , ,195 4,333 19, ,684 1,199 82, ,318 4, , , , ,95 4,436 19, ,169 1,8 87, ,749 4, , ,241-1,7 9, ,1 5, , ,35-3,965 9, ,546 5, , , , ,85 5,41 127, ,896 1,93 94, ,341 4, , , , ,612 3,46 96, , , ,417 2,149 7, ,894-2,28 62, ,48 1,915 7,323 1,178 6, , ,292 1,836 72,127 1,414 6, , ,511 1,947 78,458 1,8 7,37-2,7 ** 71,151 * Excludes Alaska and Puerto Rico ** USGS Estimate Note: Domest ic shipment s include cement shipment s f rom domest ic manuf act urers and cement shipment s ground f rom import ed clinker, but exclude f inished cement import s. Sources: U.S. Geological Survey, Department of Commerce - Foreign Trade Division, PCA M arket Intelligence 14 U.S. Portland Cement Consumption (Million Metric Tons) 6. U.S. Masonry Cement Consumption (Million Metric Tons)

20 CEMENT CONSUMPTION 1 Table 1 U.S. Cement Industry Consumption - Exports - Imports - Shipments (Year-Year % Change) Consumption Portland Masonry Cement & Clinker Cement Total Shipments By Year Cement Cement Total Exports Imports Domestic Producers Source: Calculated from Table 9 U.S. Portland Cement Consumption (Year Year % Change) U.S. Masonry Cement Consumption (Year Year % Change)

21 CEMENT CONSUMPTION 11 Table 11 Apparent Use of Portland Cement by Market¹ (Thousands of Metric Tons) 5 Year 5 Year Average Market * Average Share (%) Total 93,612 68,417 68,48 7,292 76,6 75,466 Residential Buildings 22,66 17,142 16,893 17,2 19,455 18, New Housing 13,953 9,56 9,729 9,19 11,378 1, Single Family 11,914 8,523 9,52 8,358 1,35 9, Multi Family 2,38 1, ,28 1, Improvements 8,653 7,582 7,164 7,893 8,77 8, Nonresidential Buildings 12,181 5,877 4,243 4,41 6,28 6, Manufacturing Office 1, Lodging Health Care Religious Educational 1,784 1, ,165 1, Commercial 4,638 1,724 1,17 1,254 1,935 2, Miscellaneous 1,544 1, ,4 1,119 1, Public Utility & Other 3,513 3,118 2,745 2,15 2,427 2, Farm Nonresidential 4,787 4,355 4,936 6,917 6,952 5, Oil & Gas Wells 3,72 2,349 2,342 3,675 3,713 3, Public Construction 46,84 35,576 37,249 36,192 37,845 38, Buildings 3,5 1,949 1,623 1,425 1,424 1, Highways & Streets 31,94 24,791 26,631 26,521 28,285 27, Public Safety Conservation 1,368 1,297 1,596 1,541 1,422 1, Sewage & Waste Disposal 3,768 2,662 2,61 2,426 2,532 2,8 3.7 Water Supply Systems 3,689 2,661 2,467 2,188 2,29 2, Miscellaneous 2,851 2,23 2,13 1,957 2,21 2, Source: PCA M arket Research: Apparent Use of Portland Cement by State and M arket 1 PCA is engaged in an extensive remodeling of its Apparent Use model. These numbers could be subject to significant revisions in 214 * Preliminary Estimates 5, 4, 3, Apparent Use of Portland Cement (Residential Buildings Thousand Metric Tons) Apparent Use of Portland Cement by Market (5 Year Average Share) 51% 2, 1, 24% 25% Residential Nonresidential Public

22 CEMENT CONSUMPTION 12 Table 12 Alternative Measures of Cement Usage Intensity Real Portland Portland Portland Construction $ Cement Consumption Cement Consumption Cement Consumption per Capita per Capita per Thousand Construction $ per Construction Worker Year (, $1996) (Metric Tons) (Metric Tons) (Metric Tons) Year Average Year Average Year Average Note: Construction data for 1992 and prior on Dept of Commerce program basis Sources: U.S. Dept. of Labor,U.S. Dept. of Commerce, PCA Portland Cement Consumption per Capita (Metric Tons) Construction Spending per Capita (, $1996)

23 CEMENT CONSUMPTION 13 Table 13 Single Family Construction 1 Single 1st Time Home Single Cement Family Mortgage Affordability Home Ownership Family Tons per Starts Rate Index Buyers 1 Rate Cement 2 SF Start Year () (%) (% Change) () (%) ( MT) (Metric Tons) , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,35 * 19.3 Ages PCA is engaged in an extensive remodeling of its Apparent Use model. These numbers could be subject to significant revisions in 214 * Preliminary Estimate Sources: PCA M arket Research/M arket Intelligence Departments, U.S. Geological Survey, U.S. Census Bureau 2 Single Family Starts ( of Units) 2 Single Family Cement Intensity (Metric Tons Per Single Family Start)

24 CEMENT CONSUMPTION 14 Table 14 Multifamily Construction 1 2 Mortgage Apartment Retirement Cement Multifamily Vacancy To Rent Age Age Multifamily Tons per Starts Rate Ratio Population 1 Population 2 Cement 3 MF Start Year () (%) (%) () () ( MT) (Metric Tons) ,69 32,355 1, ,58 32, ,395 33,33 1, ,98 33,769 1, ,74 34,142 1, ,88 34,41 1, ,97 34,619 2, ,166 34,797 2, ,397 35,7 2, ,577 35,29 2, ,935 35,522 2, ,363 35,864 2, ,953 36,23 2, ,495 36,65 3, ,146 37,164 3, ,621 37,826 2, ,83 38,778 2, ,462 39,623 1, ,846 4, ,44 41, ,982 43,145 1,28 * 4.2 Ages 2-29 A ges 65 and older 3 PCA is eng aged in an ext ensive remod eling of it s A pp arent Use mo del. These numbers co uld be subject t o sig nif icant revisio ns in 214 * Preliminary Estimate Sources: PCA M arket Research/M arket Intelligence Departments, U.S. Geological Survey, U.S. Census Bureau Multifamily Starts ( of Units) Multifamily Cement Intensity (Metric Tons per Multifamily Start)

25 CEMENT CONSUMPTION 15 Table 15 Manufacturing Construction Industrial Manufacturing Change in Manufacturing Production Capacity Manufacturing Industrial Manufacturing Cement Tons Construction Index Utilization Employment Vacancy Rate Cement 1 Per Million $ Year ($1996 Bil ) (27=1) (%) () (%) ( MT) (Metric Tons) , , , , , , , , , , , , , , * 21.2 * Preliminary Estimate 1 PCA is engaged in an ext ensive remodeling of it s A pparent Use model. These numbers could be subject t o signif icant revisions in 214 Sources: PCA M arket Research/M arket Intelligence Depts., U.S. Geological Survey, U.S. Census Bureau, CB Commercial and B ureau of Labor St at ist ics Manufacturing Construction Spending ($1996 Bil ) Cement Intensity In Manufacturing (Metric Tons per Million $1996)

26 CEMENT CONSUMPTION 16 Table 16 Office Construction Change in Estimated Office Office Office Office Office Vacancy Office Cement Tons Construction Employment Employment Capacity 1 Rate Cement 2 Per Million $ Year ($1996 Bil ) () () () (%) ( MT) (Metric Tons) , , , , , , , , , , , , , , , ,674 1,253 28, , ,93 1,257 29, , ,128 1,198 29, , , , , ,6-74 3, , , , , , , , , , , , , , , , , , , , , , , ,22-1,75 31, , , , , , , * 3.2 * Preliminary Estimate 1 Employment Based 2 PCA is engaged in an extensive remodeling of its Apparent Use model. These numbers could be subject to significant revisions in 214 Sources: PCA M arket Research/M arket Intelligence Depts., U.S. Geological Survey, U.S. Census Bureau, CB Commercial and Bureau of Labor Stat istics 6 Office Construction Spending ($1996 Bil ) 12 Cement Intensity in Office Construction (Metric Tons per Million $1996)

27 CEMENT CONSUMPTION 17 Table 17 Retail Construction Real Consumer Change in Consumer Retail Spending Retail Sentiment Retail Cement Tons Construction Growth Employment Index Cement 1 Per Million $ Year ($1996 Bil ) (%) () ( 1985=1) ( MT) (Metric Tons) , , , , , , , , , , , , , , , , , , , , ,935 * 96.9 * Preliminary Estimate 1 PCA is eng aged in an ext ensive remodeling o f it s A pp arent Use mod el. These numbers could b e subject t o signif icant revisions in 214 Sources: PCA M arket Research/M arket Intelligence Depts., U.S. Geological Survey, U.S. Census Bureau, CB Commercial and B ureau of Lab or St at ist ics Retail Construction Spending ($1996 Bil ) Cement Intensity Retail Construction (Metric Tons per Million $1996)

28 CEMENT CONSUMPTION 18 Table 18 Total Public Construction State/Local State Change In Public Share Deficit/ Government Public Cement Tons Construction of Total Public 1 Surplus Employment Cement 2 Per Million $ Year ($1996 Bil ) ( % ) ($ Bil ) () ( MT) (Metric Tons) , , , , , , , , , , , , , , , , , , , , ,845 * * Preliminary Estimate 1 Based on nominal value 2 PCA is engaged in an extensive remodeling of its Apparent Use model. These numbers could be subject to significant revisions in 214 Sources: PCA M arket Research/M arket Intelligence Depts., U.S. Geological Survey, U.S. Census Bureau, CB Commercial, Bureau of Labor St atist ics, Federal, Highway Administration Bureau of Economic Analysis Public Construction Spending ($1996 Bil ) Cement Intensity in Public Construction (Metric Tons per Million $1996)

29 CEMENT CONSUMPTION 19 Table 19 Highway Construction Highway Estimated Discretionary State Highway Trust Fund Highway Deficit/ Highway Cement Tons Construction Authorizations 1, 2 Spending 3 Surplus Cement 4 Per Million $ Year ($1996 Bil ) ($1996 Bil ) ($ Bil ) ($ Bil ) ( MT) (Metric Tons) , , , , , , , , , , , , , , , , , , , , ,285 * Highway Trust Fund ecompasses ISTEA/TEA/SAFETEALU and subsequent extensions following 29 expiration Data based on planned allocations, not actual funding Includes ARRA Spending 4 PCA is engaged in an extensive remodeling of its Apparent Use model. These numbers could be subject to significant revisions in 214 * Preliminary Estimate Sources: PCA M arket Research/M arket Intelligence Depts., U.S. Geological Survey, U.S. Census Bureau, U.S. Department of Transportation Highway Construction Spending ($1996 Bil ) Cement Intensity Highway Construction (Metric Tons per Million $1996)

30 CEMENT CONSUMPTION 2 Table 2 Portland Cement Consumption Growth by State (Compound Annual Growth Rate) Hawaii 1.2 Wyoming 6. North Dakota 9.3 North Dakota 3.8 Nevada 9. Arizona 6. DC 1.9 Nevada 3.1 Delaware 5.7 New Hampshire 5.8 West Virginia 1.4 DC 2.7 Indiana 5.5 DC 5.6 Oklahoma 1. South Dakota 2.3 Washington 5.2 California 5.1 South Dakota.7 Nebraska 1.9 Michigan 5.2 Texas 5. Iowa.4 Iowa 1.8 Maine 5.1 Nevada 5. Louisiana. Utah 1.7 Wisconsin 4.7 Florida 4.1 Utah. Indiana 1.6 Missouri 4.6 New York 3.8 Texas -.6 Kansas 1.5 Oregon 4.5 Minnesota 3.7 Nebraska -.7 Idaho 1.3 Kentucky 4.5 South Carolina 3.5 Kansas -1.1 Hawaii 1.2 Idaho 4.4 Idaho 3.4 Montana -1.8 Minnesota 1.2 Ohio 3.7 Massachusetts 3.4 Hawaii -1.9 Wisconsin 1.2 Minnesota 3.4 New Jersey 3.3 Delaware -1.9 Washington 1.2 North Carolina 3. Maine 3.3 Pennsylvania -2.3 West Virginia 1.1 Iowa 3. Michigan 3.3 Maryland -2.4 South Carolina 1.1 Arkansas 2.9 Illinois 3.2 Virginia -2.6 Texas 1.1 Pennsylvania 2.8 Nebraska 3. Indiana -2.6 North Carolina 1.1 Colorado 2.8 Kansas 2.9 New York -2.7 Ohio 1. Alabama 2.8 Iowa 2.9 New Mexico -2.8 Kentucky.9 South Dakota 2.3 Missouri 2.8 North Carolina -2.8 Arkansas.9 Nebraska 2.2 Virginia 2.7 Mississippi -2.9 Montana.9 California 2.2 North Dakota 2.7 Wyoming -2.9 Illinois.8 Kansas 2.1 Oklahoma 2.6 South Carolina -3.1 Colorado.7 Tennessee 2. North Carolina 2.6 Kentucky -3.1 Maine.6 West Virginia 1.7 Vermont 2.6 Washington -3.2 Tennessee.6 South Carolina 1.7 Maryland 2.6 Wisconsin -3.2 Michigan.6 Illinois 1.7 Utah 2.5 Colorado -3.3 Missouri.5 Utah 1.3 South Dakota 2.5 Arkansas -3.3 Oregon.5 Arizona 1.1 Oregon 2.4 Minnesota -3.4 California.5 Mississippi 1.1 Connecticut 2.4 Ohio -3.5 New Mexico.4 Florida 1.1 Colorado 2.3 Tennessee -3.7 Mississippi.4 New Jersey.9 Tennessee 2.2 Massachusetts -3.8 Arizona.4 Georgia.8 Rhode Island 2.2 Vermont -3.8 Pennsylvania.3 New Mexico.5 Georgia 2.2 Connecticut -3.9 Virginia.3 Connecticut.5 Ohio 1.9 Alabama -4.4 New York.3 Virginia.2 New Mexico 1.8 Idaho -5. Delaware.2 North Dakota.1 Indiana 1.7 New Jersey -5.1 Alabama.1 New York. Pennsylvania 1.6 Illinois -5.2 Oklahoma.1 Montana -.4 Washington 1.6 Oregon -5.4 Maryland -.2 New Hampshire -.5 Arkansas 1.4 Maine -5.6 Wyoming -.3 Rhode Island -.6 Alabama 1.3 California -5.7 New Jersey -.3 Massachusetts -1. Wisconsin 1.2 Missouri -5.8 Vermont -.3 Maryland -1.2 Louisiana 1. Rhode Island -6.1 Louisiana -.3 DC -1.4 Kentucky.3 New Hampshire -6.2 Connecticut -.4 Vermont -1.7 Mississippi.3 Georgia -6.3 Massachusetts -.4 Texas -2.4 West Virginia -.4 Michigan -6.4 Florida -.4 Louisiana -3.7 Delaware -1.9 Nevada -6.5 Georgia -.4 Oklahoma -4.6 Montana -2.5 Arizona -7.4 New Hampshire -.5 Wyoming -4.7 Hawaii -3.4 Florida -7.6 Rhode Island -.8 Total U.S. 1.5 Total U.S. 3.2 Total U.S Total U.S..7 Source: U.S. Geological Survey

31 CEMENT CONSUMPTION 21 Table 21 Top 2 States in Portland Cement Consumption¹ (Thousands of Metric Tons) State 1992 State 22 State 212 California 7,974 California 12,633 Texas 12,445 Texas 6,934 Texas 12,438 California 7,47 Florida 4,924 Florida 7,828 Florida 3,883 Illinois 3,33 Illinois 4,544 Ohio 2,692 Pennsylvania 2,922 Ohio 3,763 Illinois 2,583 Ohio 2,894 Pennsylvania 3,32 Pennsylvania 2,469 Georgia 2,222 Arizona 3,293 New York 2,391 New York 2,197 New York 3,157 Louisiana 2,53 Michigan 2,19 Michigan 3,147 North Carolina 1,851 Missouri 1,963 Georgia 3,86 Georgia 1,795 North Carolina 1,89 Colorado 2,612 Iowa 1,781 Wisconsin 1,787 North Carolina 2,511 Arizona 1,672 Indiana 1,777 Missouri 2,5 Indiana 1,668 Colorado 1,765 Virginia 2,119 Oklahoma 1,641 Arizona 1,671 Indiana 2,81 Colorado 1,631 Washington 1,621 Wisconsin 2,54 Virginia 1,614 Louisiana 1,556 Minnesota 1,998 Wisconsin 1,66 Virginia 1,5 New Jersey 1,975 Michigan 1,57 Minnesota 1,428 Tennessee 1,921 Missouri 1,463 Tennessee 1,42 Washington 1,899 Minnesota 1,462 Total U.S. 73,354 Total U.S. 14,95 Total U.S. 76,511 ¹ U.S. Total excludes AK, HI and Puerto Rico Source: U.S. Geological Survey Portland Cement Consumption (Top Three States Share of the Total U.S., % ) Portland Cement Consumption Share of Total U.S % 52% 12% Top 1 States Mid 2 States Lower States

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33 INFRASTRUCTURE 23 Table 22 Highway Infrastructure Funding Deflated Gas Tax Gas Tax Vehicle Highway Gas Tax Gas Tax (1993$) Highway Allocation Public Transit Allocation Miles Traveled Fuel Economy Construction Cost Index Year (cents per gallon) (cents per gallon) (cents per gallon) (cents per gallon) (Bil Miles) (average MPG) (1996=1) , , , , , , , , , , , , , , , , , , , , , Source: PCA Market Intelligence, U.S. Geological Survey, U.S. Census Bureau, U.S. Department of Transportation, Federal Highway Administration, U.S. Bureau of Economic Analysis (BEA) 2 Gas Tax vs. Highway Construction Cost Inflation (2=1) Average Miles Per Gallon (Total Average MPG for All Vehicle Types) 15 Gas Tax 1 Cost Index

34 INFRASTRUCTURE 24 Table 23 Highway Congestion Total Total Lane Miles Lane Miles Highway Lane Miles Licensed Drivers Vehicles On Road Per Thousand Licensed Drivers Per Thousand Vehicles Year ,124,9 () 173,125 () 19, ,132, , , ,143,14 175,43 198, ,158, ,628 21, ,178, ,539 26, ,242, ,79 27, ,16, ,98 211, ,177, ,17 216, ,224,245 19, , ,251, ,276 23, ,295, , , ,315, , , ,338, , , ,371,718 2, , ,42,589 22,81 244, ,457,353 25, , ,483,969 28, , ,542,163 29, , ,581,158 21, , ,567, , , * 8,615, ,73 243, * Estimated Source: Federal Highway Administration Fatalities (per million drivers) * 156.8* 144.4* 134.3* Lane Miles per Thousand Licensed Drivers Lane Miles per Thousand Vehicles

35 INFRASTRUCTURE 25 Table 24 Airport Infrastructure Funding Airport and Airway Trust Fund Tax Receipts (Mil $) Airport and Airway Trust Fund Balance Year ,645 (Year End) 6,872 (Nominal Mil $) -- (%) 6.25 (%) ,56 4,268 1, ,189 3, ,534 5, ,369 2, ,7 1, ,698 4,589 1, ,126 7,363 1, ,557 7,74 1, ,98 7,345 1, ,88 4,815 1, ,255 3,898 1, ,621 2, ,754 1, ,73 1, ,941 1, ,422 1, , , ,726 1, , , Sources: Federal Aviation Administration, U.S. Census Bureau, Internal Revenue Service Airport Construction Spending Cargo Tax Domestic Passenger Tax International Departure Ticket Tax ($ per passenger) Airport Construction Spending (Nominal Million $) Air Traffic Tax Receipts (Mil $)

36 INFRASTRUCTURE 26 Table 25 Airport Congestion Measures Air Air Total Landed Active Hours Flown Travelers Aviation Travelers Travelers Cargo Aircraft Per Aircraft Per Aircraft Incidents Year 1992 () 514,51 (% Change) 5.2 ( tons) 46,274 () ,769 2, , , ,986 2, , , ,317 2, , , ,117 2, , , ,252 2, , , ,334 2, , , ,28 2, , , ,117 2, , , ,265 2, , , ,126 1, , , ,51 1, , , ,18 1, , , ,219 1, , , ,286 1, , , ,331 1, , , ,296 1, , , ,214 1, , , ,112 1, , , ,19 1, , , ,258 1, , , ,312 1,586 Source: Federal A viation Administration Passengers Per Aircraft Cargo Tons Per Aircraft (Tons)

37 INFRASTRUCTURE 27 Table 26 Seaport Congestion Measures Water Water U.S. Waterborne U.S. Waterborne Transportation Transportation Commerce Commerce Gross Output Gross Output (Million Short Tons) (% Change) (Mil $) (% Change) Ratio Water Transportation to GDP (%) Year , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , Sources: U.S. Army Corps of Engineers,M aritime Administration, Bureau of Economic Analysis Waterborne Commerce Domestic (Million Short Tons) Waterborne Commerce Foreign (Million Short Tons)

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39 CEMENT SUPPLY 29 Table 27 Clinker Capacity* (Thousands of Metric Tons) Number Number Average Daily Annual Year of Plants¹ of Kilns Kiln Capacity Clinker Capacity Clinker Capacity , , , , , , , , , , , , , , , , , , , , ** ,286 * Years are est imates calculat ed f rom the 28 base, adding expansions and subtracting only announced permanent closures. **Ref lects Capacity Adjustment s through 7/31/ Clinker Producing Only Source: PCA U.S. and Canadian Portland Cement Industry: Plant Information Summary Average Kiln Capacity (Thousands of Metric Tons) 11, 1, 9, 8, 7, Clinker Capacity (Thousands of Metric Tons) 6,

40 CEMENT SUPPLY 3 Table 28 Clinker Production, Capacity and Capacity Utilization Clinker Clinker Utilization Year Production Capacity* Rate (MMT) (MMT) (%) ** 65.6 * Years are estimates calculat ed from the 28 base, adding expansions and subtracting only announced permanent closures. **Reflects Capacity Adjustments through 7/31/213 Clinker is the primary int ermediate product of cement making. Kilns produce clinker which is finely ground to make finished cement. Clinker comprises approximately 96%of cement's final weight Source: U.S. Geological Survey PCA U.S. and Canadian Portland Cement Industry: Plant Information Summary Clinker Production (Million Metric Tons) Capacity Utilization Rate (Percent)

41 CEMENT SUPPLY 31 Table 29 Age Distribution of U.S. Clinker Capacity by Process, 212** (Percent) Age of Kilns Wet Process Dry Process Total Before After Total Clinker 8,972 94,314 13,286 **Reflect s Capacit y Adjust ments t hrough 7/ 31/212 Source: PCA U.S. and Canadian Portland Cement Industry: Plant Information Summary Age Distribution of U.S. Kilns 212 (Percent) < 195 5's 6's 7's 198 > Dry Process Kilns (Percent of Total) 6

42 CEMENT SUPPLY 32 Table 3 Clinker Capacity By Census District* (Thousands of Metric Tons) East East West West New Mid South North South North South Year England Atlantic Atlantic Central Central Central Central Mountain Pacific Total ,166 1,156 11,288 6,14 9,798 1,367 6,25 11,677 75, ,582 1,156 1,87 6,96 9,873 1,437 6,126 11,622 75, ,117 1,115 1,89 6,17 1,37 1,495 6,46 11,791 75, ,99 1,164 11,7 6,278 1,171 1,646 6,685 11,893 76, ,91 1,16 1,992 6,194 1,151 1,684 6,683 11,653 76, ,9 1,82 1,533 6,384 1,22 1,673 6,928 12,35 76, ,554 1,418 1,634 6,452 1,324 1,729 7,147 12,264 77, ,463 11,323 1,656 6,625 1,498 11,4 7,127 13,38 8, ,614 12,343 11,48 7,351 1,666 11,947 7,498 12,833 84, ,183 12,712 11,337 7,715 11,766 13,66 8,384 14,96 89, ,236 12,585 11,354 8,57 12,26 13,671 9,293 14,129 91, ,186 13,887 11,291 8,369 12,327 13,621 8,828 14,174 92, ,3 14,355 11,319 8,597 14,241 12,519 8,754 14,38 93, ,357 14,436 11,269 8,677 12,376 14,48 8,744 14,437 94, ,159 14,998 11,581 8,722 12,191 14,228 8,657 14,381 94, ,88 15,334 12,18 8,815 12,716 14,175 8,411 14,293 95, ,21 16,96 11,72 8,7 12,787 15,74 8,256 15,161 97, ,567 18,32 1,89 8,389 15,328 15,74 9,119 14,87 1, ,85 18,86 1,89 8,286 16,327 16,383 9,418 14,4 13, ,947 18,86 1,89 7,872 15,98 16,383 9,717 14,4 12, ** 647 7,947 18,86 1,89 7,872 15,98 17,472 9,717 14,4 13,286 * Y ears are est imat es calculat ed f ro m t he 2 8 b ase, add ing exp ansions and subt ract ing only announced permanent clo sures. **Reflect s Capacity A djustment s through 7/ 31/ 212 So urce: PCA U.S. and Canad ian Po rt land Cement Indust ry: Plant Inf ormat io n Summary South Atlantic 17.8% New England.6% Middle Atlantic 8.2% Clinker Capacity 212** Pacific 14.2% Mountain 9.3% East South Central 7.8% East North Central 1.4% West South Central 15.7% West North Central 15.6%

43 CEMENT SUPPLY 33 Table 31 U.S. Cement Company Clinker Capacity (Gray and White Plants) (Thousands of Metric Tons - Estimated as of 7/18/213) Rank Com pany Clinker Capacity** Percent of Industry 1 CEMEX 14, Holcim (US) Inc. 13, Lehigh Hanson Cement Company 9, Buzzi Unicem, Inc. 7, Ash Grove Cement Company 7, Lafarge North America Inc. 7, Texas Industries Inc. 5, Essroc Cement Corp. 4, Eagle Materials 3, CalPortland 3, Titan America LLC 2, Giant Cement Holding, Inc. 2, Argos USA Corporation 2, GCC of America, Inc. 2, St. Marys Cement, Inc. (U.S.)/VCNA 1, Mitsubishi Cement Corporation 1, Vulcan Materials Co. 1, Texas-Lehigh Cement Company 1, Phoenix Cement Company 1, National Cement Co. Of California 1, Monarch Cement Company Continental Cement Co., Inc American Cement Company National Cement Co. Of Alabama Alamo Cement Company Ash Grove Texas, L.P Suw annee American Cement Capitol Aggregates, Ltd Drake Cement LLC Armstrong Cement & Sup. Corp Total Capacity 13,286 **Reflects Capacity Adjustments through 7/ 31/ 213 Source: PCA U.S. and Canadian Portland Cement Industry: Plant Information Summary

44 CEMENT SUPPLY 34 Table 32 Foreign Affiliated U.S. Clinker Capacity (Gray and White Plants) Clinker Capacity ( Metric Tons) Company Affiliation as of July, 18, 213 Country 7/18/213** Alamo Cement Co. Buzzi Unicem Italy 887 Argos USA Cementos Argos S.A. Columbia 2,381 Buzzi Unicem USA, Inc. Buzzi Unicem Italy 7,975 CalPortland Taiheiyo Cement Corp. Japan 3,387 CEMEX CEMEX S.A.B. de C.V. Mexico 14,65 Drake Cement LLC Cementos Lima SA Peru 599 Essroc Cement Corp. Italcementi Group Italy 4,195 GCC of America, Inc Grupo Cementos de Chihuahua Mexico 2,135 Giant Cement Holding, Inc. Cementos Portland Valderrivas Spain 2,587 Holcim (US) Inc. Holcim, Ltd. Switzerland 13,772 Lafarge North America Inc. Lafarge SA France 7,322 Lehigh Hanson Cement Company Heidelberg Cement INC. Germany 6,174 Lehigh Southwest Cement Company Heidelberg Cement INC. Germany 3,24 Mitsubishi Cement Corporation Mitsubishi Materials Corp. Japan 1,543 National Cement Co. of Alabama Vicat S.A. France 899 National Cement Co. of California Vicat S.A. France 1,33 St. Marys Cem ent Inc. (U.S.)/VCNA Votorantim Brazil 1,87 Suwannee American Cement/VCNA Votorantim (5%)/Anderson Columbia (5%) Brazil/USA 799 Texas-Lehigh Cement Company Heidelberg Cement (5%)/Eagle Materials (5%) Germany/USA 1,118 Titan America LLC Titan Cement Co. SA Greece 2,954 Domestic Affiliated U.S. Clinker Capacity Total Foreign Owned Capacity: 78,782 Total U.S. Capacity: 13,286 Percent of U.S. Foreign Owned Clinker Capacity : 76.3% Company American Cement Compnay Privately Held 917 Armstrong Cement & Sup. Corp. Snyder Associated Companies INC. 264 Ash Grove Cement Company Privately Held 7,54 Ash Grove Texas, L.P. Ash Grove Cement/Hanson PLC 873 Capitol Aggregates, Ltd. H. B. Zachry Construction Co. 68 Continental Cement Co., Inc. Continental Cement Co. LLC 948 Eagle Materials Eagle Materials (IL/NV/WY) 3,441 Vulcan Materials Co. Privately Held 1,489 Monarch Cement Company Privately Held 975 Phoenix Cement Company Salt River Materials Group 1,67 Texas Industries Inc. Privately Held 5,896 Total Domestic Owned Capacity: 24,54 Total U.S. Capacity: 13,286 Percent of U.S. Domestically Owned Clinker Capacity : 23.7% **Reflect s Capacit y A djust ments t hrough 7/ 18 /213; includes temporarily f urloghed plant s Source: PCA M arket Intelligence

45 CEMENT SUPPLY 35 Table 33 Capacity Expansion Estimates (Clinker, Thousands of Metric Tons) Net Expansion Year On Company Location Stream Total Total Expansion 1,89 1,673 3,744 1,77 8,558 Estimated Dollar Investment ($ Millions) $3 $ $ $446 $1,32 $486 $6,126 Sumter Cement Company Center Hill, Florida (G) P** CalPortland Rillito, Arizona P** Cemex Seligman, Arizona (G) P** Eagle Materials Laramie, Wyoming P** Lehigh Mitchell, Indiana P** Texas Industries Inc New Braunfels, Texas 212 1,89 1,89 Lafarge Grand Chain, Illinois 213 1,657 1,657 National Cement Ragland, Alabama P** Houston American Cement Perry, Georgia (G) Lafarge Ravena, New York Titan America Castle Hayne, North Carolina 216 2,87 2, Universal Cement Chicago, Illinois (G) Lafarge Exshaw, Alberta (Canada) Unspecified Cemex Odessa, TX Net North American Capacity Changes 1,89 1,673 3,744 6,56 11,923 (P**) Postponed-no additional information available (G) Designates a greenfield plant. All other listings reflect expansions

46 CEMENT SUPPLY 36 Table Largest States Ranked by Cement Grinding Capacity (Thousands of Metric Tons - as of 12/31/1) Cement Percent of Cement Percent of Cement Percent of Grinding U.S. Grinding U.S. Grinding U.S. State Rank Capacity Total Rank Capacity Total Rank Capacity Total Texas 2 1, , , California 1 11, , , Florida 5 5, , , Missouri 7 4, , , Alabama 6 5, , , Pennsylvania 3 7, , , Michigan 4 5, , , South Carolina 11 2, , , Arizona 12 2, , , Colorado 15 1, , , Maryland 14 1, , , Indiana 1 2, , , New York 8 3, , , Illinois 9 2, , , Kansas 13 1, , , Total U.S. 9,77 116,79 128,934 Source: PCA U.S. and Canadian Portland Cement Industry: Plant Information Summary Grinding Capacity 212/21 Percent Change Mountain West North Central East North Central New England Middle Atlantic Pacific District of Columbia West South Central East South Central South Atlantic Decline No Plants No Change.1% to +5.% +5.1% and above

47 CEMENT SUPPLY 37 Table 35 Cement Imports (Thousands of Metric Tons) Percent Share of Consumption Finished U.S. Cement Finished Year Clinker Cement Total Consumption ¹ Clinker Cement Total ,566 4,593 6,159 76, ,58 5,552 7,56 79, ,28 9,95 11,32 85, ,858 1,99 13,848 86, ,548 11,66 14,154 91, ,27 14,569 17,596 96, ,134 19,952 24,85 13, ,57 24,781 29,321 18, ,76 24,923 28,684 19, ,782 24,79 25, , ,63 22,567 24,169 19, ,838 21,43 23, , ,63 25,675 27,35 121, ,941 3,711 33, , ,425 32,471 35, , ,739 22, , ,898 11,519 96, ,338 6,894 7, ,168 6,781 7, ,937 6,543 72, ,37 7,37 78, Port land and M asonry. Excludes AK, HI and Puert o Rico Source: U.S. Department of Commerce - Foreign Trade Division, U.S. Geological Survey Total Imports (Thousands of Metric Tons) U.S. Import Share of Consumption (Percent)

48 CEMENT SUPPLY 38 Table 36 U.S. Cement and Clinker Imports By Port - Top Customs Districts (Thousands of Metric Tons) Detroit 1,343 1,625 1,419 1,317 1,214 1, ,114 Seattle 1,36 1,335 1,654 1,489 1,619 1,788 1, ,53 1,36 Houston/Galvesto 2,137 2,25 1,969 2,619 3,371 3,35 1, Buffalo Cleveland Columbia-Snake ,32 1, Honolulu Pembina New York City 1, ,265 1, Miami 1,743 2,67 2,294 2,265 2,186 1, Ogdensburg Philadelphia All Others 13,514 12,15 15,549 2,78 21,863 1,42 3,774 1,892 1,717 1,44 1,115 Total U.S. 24,169 23,241 27,35 33,652 35,896 22,729 11,519 6,894 6,781 6,543 7,37 Source: U.S. Department of Commerce - Foreign Trade Division Table 37 U.S. Cement and Clinker Imports - Country of Origin (Thousands of Metric Tons) Canada 5,181 5,61 5,753 5,44 5,59 5,326 4,14 3,426 3,41 3,416 3,79 Korea 1,625 1,745 1,729 2,672 2,745 2,686 1, ,45 1,42 1,28 Greece 1,785 1,188 2,11 2,786 1, China 2,28 2,228 3,215 4,726 1,62 5,377 2, Mexico 1, ,439 2,185 2,276 1,7 1, Spain Sweden 1, ,58 1, Denmark Columbia 1,579 1,766 2,123 1,849 1,874 1, Francy Egypt Taiwan 1,759 2,18 2, Croatia Thailand 4,259 3,344 2,88 2,893 3, Other 4,44 4,678 6,34 6,975 3,737 1, Total U.S. 24,169 23,241 27,35 33,652 35,896 22,729 11,519 6,894 6,781 6,543 7,37 Source: U.S. Department of Commerce - Foreign Trade Division

49 CEMENT SUPPLY 39 Table 38 Cement & Clinker Imports By Census District (Thousands of Metric Tons) East East West West New Mid South North South North South Year England Atlantic Atlantic Central Central Central Central Mountain Pacific Total ,38 1,239 1, ,799 6, ,151 1,53 1, ,74 7, ,526 2,839 1, , ,663 11, ,649 4,39 2, , ,629 13, ,668 4,321 2, , ,91 14, ,171 5,117 2, , ,815 17, ,338 6,214 3, , ,27 24, ,336 7,487 2, , ,996 29, ,24 2,457 7,525 2, , ,26 28, ,83 2,44 6,594 2, , ,8 25, ,25 2,279 6,694 2, , ,496 24, ,251 6,335 2, , ,8 23, ,27 2,439 6,786 2, , ,768 27, ,163 2,918 8,64 2, ,58 1,13 9,61 33, ,62 8,673 2, ,93 1,14 1,219 35, ,517 4,93 1, , ,22 22, ,585 1,387 1, , ,479 11, , , ,228 1,716 6, , , ,45 1,879 6, , , ,913 6, , , ,7 8 1,862 7,37 1 Includes Puerto Rico and U.S. Virgin Islands Source: U.S. Department of Commerce - Foreign Trade Division Pacific 26.5% Cement and Clinker Imports 212 New England 1.5% Mid Atlantic 17.7% Mountain.1% West South Central 15.2% West North Central 5.9% East North Central 23.5% South Atlantic 9.7%

50 CEMENT SUPPLY 4 Table 39 Cement* Inventories at Year-end (Thousands of Metric Tons) Stocks at Year-Year U.S. Year-Year Year Mills & Terminals % Change Consumption % Change Days Supply , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , * Portland & M asonry (excludes Puerto Rico) Source: U.S. Geological Survey 3 Cement Inventories (% Change at Year End) 3 Inventory: Days Supply

51 OPERATING CHARACTERISTICS 41 Table 4 Portland Cement Shipments by Type of Customer* (Thousands of Metric Tons) Quantity % of Total Quantity % of Total Quantity % of Total Ready-Mix Concrete 49, , , Concrete Product Manufacturers 8, , , Contractors 6, , , Building Material Dealers 2, , , Oil Well, Mining, and Waste 1, , , Government & Misc. 1, , , Total Shipments 68,9 68,4 7,3 * Includes imported cement and cement made from imported clinker. Excludes Puerto Rico. Source: U.S. Geological Survey Table 41 Portland Cement Shipped from U.S. Plants by Type of Product (Thousands of Metric Tons) Quantity % of Total Quantity % of Total Quantity % of Total General Use and Moderate Heat 54, , , (Types I and II) High-Early Strength (Type III) 2, , , Sulfate-Resisting (Type V) 8, , , Block Oil Well , , White Blended Portland Slag and Pozzolan , Portland Fly Ash and Other Miscellaneous Total Shipments 68,9 68,4 7,3 * Includes sales of imported cement. Excludes Puerto Rico. Source: U.S. Geological Survey

52 OPERATING CHARACTERISTICS 42 Table 42 Shipments of Portland Cement from Mills by Type of Carrier (Percent Distribution) Shipments to Ultimate Customer Rail Truck Barge & Boat Unspecified Shipments from Plant to Terminal (Bulk only) Rail Truck Barge & Boat Unspecified Percent of Total Shipments Terminal to customer Plant to customer Source: U.S. Geological Survey 5% 4% 3% 2% 1% Shipments from Terminal to Consumer (Percent of Total Shipments) 6% 5% 4% 3% 2% 1% Shipments from Plant to Terminal (Percent) Truck Rail Barge &Boat % %

53 OPERATING CHARACTERISTICS 43 Table 43 Summary of Energy Consumption (Thousands of BTUs per Equivalent Metric Ton*) ¹ 11/72 11/1 Gasoline Middle Distillates** Diesel Fuel Oil Residual oil LPG Total Petroleum Products Natural gas 3, Coal 2,639. 2, ,61.3 2,41.5 2, , Petroleum Coke , Total Coal and Coke 2, , , , , , Alternative Fuel Total Fossil Fuels 6, ,18.7 4,115. 3,98.5 3, , Electricity Total Fuel and Power 7,42.3 4,73.3 4, , , , * Equivalent Metric Ton = weighted average of 92%clinker production plus 8%finished cement production **Collection of Diesel and Fuel Oil individually commenced in Data to be released 4Q 213 Source: PCA U.S. and Canadian Labor-Energy Input Survey %Change Energy Resources (Million BTU per Tons Produced) U.S. Plants Energy Consumption (Coal and Coke) 78% 76% 74% 72% 7% 68% 66% 64% 62% 6%

54 OPERATING CHARACTERISTICS 44 Table 44 Alternative Fuels Utilized United States ¹ Total Reporting Plants Plants using Alternative Fuel Percent Types of Alternative Fuels Used* - Tire Derived Fuel Waste Oil Solvents Other Canada ¹ Total Reporting Plants Plants using Alternative Fuel Percent Types of Alternative Fuels Used* Tire Derived Fuel Waste Oil Solvents Other * Plants may use more than one type of alternative fuel 1 Data t o be released 4Q 213 Source: PCA U.S. and Canadian Labor-Energy Input Survey U.S. Alternative Fuel Utilization 211 Canadian Alternative Fuel Utilization 211 7% (Number of Plants) 6% (Number of Plants) 6% 5% 4% 3% 2% 1% % 44% Tire Derived Fuel 13% 11% 58% Waste Oil Solvents Other 5% 4% 3% 2% 1% % 42% Tire Derived Fuel 33% 8% 5% Waste Oil Solvents Other

55 OPERATING CHARACTERISTICS 45 Table 45 Fossil Fuel Mix (% Distribution of BTUs Consumed) ¹ Coal and Coke Natural Gas Petroleum Products Electricity Alternative Fuels Total Fuel Data to be released 4Q 213 So urce: PC A U.S. and C anad ian Lab o r-energ y Inp ut Survey Table 46 Energy Consumption by Process (Thousands of BTUs per Equivalent Metric Ton*) % Change ¹ 11/72 11/1 Fuel and Electricity All Plants 7,438 4,763 4,755 4,699 4,649 4,73 4,641 4,535 4,467 4, Wet-Process Plants 7,998 6,647 6,87 6,387 6,464 6,485 6,448 6,359 6,714 7, Dry-Process Plants 6,895 4,434 4,47 4,433 4,375 4,434 4,384 4,383 4,318 4, Fuel All Plants 6,931 4,24 4,245 4,18 4,131 4,181 4,115 3,98 3,928 3, Wet-Process Plants 7,498 6,135 6,291 5,879 5,949 5,979 5,935 5,823 6,196 6, Dry-Process Plants 6,393 3,99 3,899 3,913 3,856 3,99 3,856 3,827 3,779 3, Electricity (kwh per Equivalent Metric Ton) All Plants Wet-Process Plants Dry-Process Plants *Equivalent M etric Ton = weighted average of 92%clinker production plus 8%finished cement production 1 Data to be released 4Q 213 Source: PCA U.S. and Canadian Labor-Energy Input Survey

56 OPERATING CHARACTERISTICS 46 Table 47 Resources Used in Producing Cement¹ (Per Thousand Metric Tons of Cement Production) Material Energy* Labor** Year (metric tons) (million BTUs per ton) (Tons per Hour) 199 1,6 5, ,593 5, ,596 5, ,56 5, ,545 5, ,626 5, ,593 5, ,577 5, ,64 5, ,634 5, ,619 4, ,629 4, ,678 4, ,595 4, ,624 4, ,68 4, ,645 4, ,635 4, ,626 4, ,568 4, , , Percent Change --.% 7.5% ¹ Port land and M asonry ²Data to be released 4Q 213 * Equivalent Energy Ton = weighted average of 92% clinker production plus 8% finished cement production **Equivalent Labor Ton = weighted average of 85% clinker production plus 15% finished cement production Source: PCA U.S. and Canadian Labor-Energy Input Survey, U.S. Geological Survey Labor Resources (Tons Per Hour) Labor Resources (Employee Hours per Tons Produced (US & Canada))

57 OPERATING CHARACTERISTICS 47 Table 48 U.S. Cement Industry Employment (Thousands) Cement * Cement* Year All Employees Production Workers per Employee per Production Worker * Portland + M asonry Source: Annual Survey of M anufacturers/u.s. Census (NAICS 32731) Table 49 U.S. Cement Industry Financial Statistics (Median Results Cement Operations) Total Gross Margin (%) Operating Profit (%) Operating Profit ($/ton) Annual Capital Expenditures (% of sales) Source: PCA Financial Benchmarking Survey Industry

58 OPERATING CHARACTERISTICS 48 Table 5 Cement Industry Operating Statistics Value of Shipments ($ Billion) Labor Employment () Payroll ($ Million) Energy ($ Million) Purchased Fuel & Power Fuel Power NonEnergy Material Investment ($ Million) New Capital Expenditures Buildings Equipment Key Ratios - Percent of Shipments (%) Payroll Purchased Fuel and Power NonEnergy Materials Source: Annual Survey of Manufacturers U.S. Cement Industry Capital Expenditures (Billion $) Value of Industry Shipments (Billion $)

59 CANADA 49 Table 51 Canadian Construction and Economic Activity Ratio Ratio of Ratio of Construction Real GDP Construction Cement* % of Construction Cement* % of GDP Year (Billions $22) (Billions $22) % of GDP (Tons per $Million) (Tons per $Million) , , , , , , , , , , , , , *Portland and M asonry Note: Dollar amounts stated in Canadian Dollars Source: Statistics Canada Canadian Canadian Construction Construction & Economic Economic Activity Activity Index (Index 1987 = 1.) Real GDP 1.2 Construction Spending 1..8 Canadian Cement to Construction Ratio (Metric Tons per Mil 22 $)

60 CANADA 5 Table 52 Canadian Cement Industry Consumption - Exports - Imports - Shipments (Thousands of Metric Tons) Total Consumption Shipments Portland Masonry Cement Cement by Domestic Year Cement Cement Total Exports Imports Producers , ,683 2, , , ,622 3, , , ,198 3, , , ,928 3, , , ,263 4, , , ,627 4, , , ,614 4, , , ,9 4, , , ,271 4, , , ,413 4, , , ,476 4, , , ,91 4, , , ,328 5, , , ,425 5, , , ,564 4, , , ,823 4, , ,4 28 9,67 3,674 1,33 12, , ,962 2, , , ,782 2,927 1,216 1, , ,945 2,893 1,52 1, , ,456 3,66 1,46 11,62 Source: St atist ics Canada 12 Canadian Portland Cement Consumption (Thousand Metric Tons) 5 Canadian Cement: Net Exports (Thousand Metric Tons)

61 CANADA 51 Table 53 Canadian Cement Industry Consumption - Exports - Imports - Shipments (Year-Year % Change) Total Consumption Shipments Portland Masonry Cement Cement by Domestic Year Cement Cement Total Exports Imports Producers So urce: St at ist ics Canada (Calculat ed f rom Table 52 ) 3 Canadian Masonry Cement Consumption (Thousand Metric Tons) 3. Canadian Masonry Cement Consumption (Percent Share of Total Cement Consumption)

62 CANADA 52 Table 54 Alternative Measures of Cement Usage Intensity Portland Portland Portland Construction $ Cement Consumption Cement Consumption Cement Consumption per Capita per Capita per thousand Construction $ per Construction Worker Year ($) (Metric Tons) (Metric Tons) (Metric Tons) Source: PCA /Statistics Canada Table 55 Canadian Construction Spending (Billions $22) Year Total Residential Nonresidential Engineering Percent Change 212 / % 9.1% 3.9% 8.1% Source: Statistics Canada

63 CANADA 53 Table 56 Table 57 Canadian Cement and Clinker Exports Canadian Cement and Clinker Exports (Thousands of Metric Tons) (Metric Tons) Finished Year Clinker Cement* Total By Country ,353 3,341 United States 3,416,184 3,71, ,96 3,979 Caribbean 3,42 19, ,83 4,784 Other 3,184 6, ,33 3,831 5,161 Europe ,253 4,339 5,592 South America 831 2, ,19 4,331 5,35 Asia ,658 4,3 5,958 Middle East ,237 4,287 5,524 Total 3,424,183 3,739, ,12 4,98 Source: Statistics Canada - Interational Trade Division ,462 5, ,448 5, ,636 5, ,119 5, ,737 5, ,398 5, ,929 5, ,674 4, ,958 3, ,927 3, ,893 3, ,66 3,74 *Portland + Masonry Source: Statistics Canada - International Trade Division Canadian Cement & Clinker Exports (Year Year % Change) 3 Canadian Cement & Clinker Exports (Thousand Metric Tons) 7 U.S. Ports Only

64 CANADA 54 Table 58 Canadian Cement and Clinker Imports by Source Country (Metric Tons) Clinker Belgium Bermuda China ,346 41,274 31,175 1,252 29,185 3,731 19,327 France Germany , Lebanon Mexico Spain Thailand Turkey 18,915 9,56 22, United States 5,729 1,75 1,794 3,666 2,27 2,385 7,721 3,996 1,213 7,498 Venezuela Other 29,91 2,21 23, , Total Clinker 54,554 94,412 65,119 7,12 43,523 33,561 8,973 85,736 13,945 26,831 Finished Cement 1 Belgium Bermuda China ,581 41,22 8,739 65,69 87,46 15, ,371 Colombia Croatia 4,336 3,839 4,562 3,454 2,455 1,452 1,856 1,79 2,69 2,46 Denmark France Germany ,6 2, Italy Japan 1, , Korea, South , ,75 44, 48,25 216,672 - Lebanon Mexico , ,9 154 Netherlands South Africa Spain Sweden Switzerland Taiwan 43, , , Thailand 1,868 36,743 94,449 17, , ,57 147, Turkey United Arab Emirate United Kingdom 2,146 2, United States 713, ,141 61,99 518, , ,36 73,68 841,5 1,116,23 1,123,295 Other 228 9, ,44 1,188 Total Cement 77, , ,73 64,526 91,72 1,33, ,394 1,129,989 1,51,833 1,283,97 Total Cement & Clinker Imports 824,76 784,31 781, , ,595 1,67,26 951,367 1,215,725 1,515,778 1,39,928 1 Category includes white cement, portland cement, aluminous, hydraulic masonry, hydraulic oilwell, hydraulic slag, hydralic supersulfate, and all other hydraulic cement Source: Statistics Canada - International Trade Division

65 CANADA 55 Table 59 Cement and Clinker Imports by Province (Metric Tons) Clinker Nova Scotia New Brunswick Quebec 48,825 92,76 63,11 1,526 4, , Ontario 5, ,87 32,252 22,917 1,391 22, ,467 Manitoba ,561 8,969 7,455 8,539 9,936 12,619 Saskatchewan Alberta ,39 3,384 11,195 British Columbia** 159 1,15 1,26 2,616 2, Total Clinker 54,554 94,412 65,119 7,12 43,523 33,561 8,973 85,736 13,945 26,831 Finished Cement (1) Prince Edward Is Newfoundland ,229 Nova Scotia New Brunswick 12,156 15,86 24,681 1,499 14,878 35,128 14,948 17,514 6,27 33,626 Quebec 59,832 57,31 139, ,46 236, , ,6 234, , ,497 Ontario 32, , ,39 178,964 22, ,61 297, ,44 491, ,645 Manitoba 6,567 4,4 1,76 3,228 12,314 12,146 3,798 6,987 16,21 13,831 Saskatchewan 3,636 4,813 5,492 1,26 1,899 1, ,234 15,974 11,499 Alberta 258,85 215,32 257,543 23,12 342,474 31,93 37, , ,66 46,753 British Columbia** 126,116 11,324 73,273 68,19 99, , , , ,64 324,96 Total Cement** 77, , ,73 64,526 91,72 1,33, ,394 1,129,989 1,51,833 1,459,988 Total Cement & Clinker Imports 824,76 784,31 781, , ,595 1,67,26 951,367 1,215,725 1,515,778 1,486,819 (1) Category includes white cement, portland cement, aluminous, hydraulic masonry, hydraulic oilwell, hydraulic slag, hydraulic supersulfate, and all other hydraulic cement. ** Includes Yukon & NW Territories Source: Statistics Canada - International Trade Division Canadian Cement & Clinker Imports (Million Metric Tons) British Columbia 22.3% Prairies 33.3% Canadian Cement Imports by Province 212 Atlantics 2.5% Quebec 9.% Ontario 33.%

66 CANADA 56 Table 6 Provincial Grinding Capacity* (Thousands of Metric Tons) Province Ontario 6,954 7,397 7,231 8,81 8,81 7,62 7,777 7,527 7,527 6,544 6,544 6,544 Quebec 4,37 4,23 4,23 4,23 4,479 4,719 4,719 3,825 3,825 4,79 4,79 4,79 British Columbia 2,165 2,999 2,697 2,679 2,679 3,487 3,487 3,487 3,487 2,898 2,898 2,898 Alberta 2,728 2,82 2,82 2,71 2,71 2,71 2,741 2,741 2,741 2,74 2,74 2,74 Nova Scotia Manitoba Newfoundland Saskatchewan New Brunswick Total 16,19 18,22 17,549 18,289 18,484 19,36 19,224 18,8 18,8 16,761 16,761 16,761 *Gray and white plants After 24, the Plant Information Summary became a biennial publication. Odd years thereafter are estimated Source: PCA U.S. and Canadian Portland Cement Industry: Plant Information Summary Table 61 Table 62 Provincial Portland Growth of Provincial Cement Consumption Portland Cement Consumption (Thousands of Metric Tons) (Compound Annual Growth Rate, ) Province 22 Province 212 Province Ontario 3,17 Ontario 3,183 Atlantic Provinces 3.3 Prairie Provinces 1,784 Prairie Provinces 2,447 Ontario.7 Quebec 1,865 Quebec 2,285 Prairie Provinces 2. B.C. & Territories 92 B.C. & Territories 93 Quebec 1.6 Atlantic Provinces 513 Atlantic Provinces 452 British Columbia -1. Total Canada 8,235 Total Canada 9,297 Total Canada 1.7 Source: Statistics Canada Source: Statist ics Canada Canadian Clinker Capacity (Million Metric Tons) Canadian Capacity Utilization Rate (Percent)

67 CANADA 57 Table 63 Canadian Cement Production and Capacity (Thousands of Metric Tons) Cement (1) Cement Utilization Year Production Capacity Rate (%) ,587 16, ,736 15, ,124 15, ,625 16, ,612 17, ,986 16, ,6 18, ,425 17, ,863 18, ,179 18,79 * ,335 19, ,78 19,193 * ,672 18, ,985 18,8 * ,431 16, ,1 16,761 * ,465 16,761 * 74.4 * Estimated (1) Portland and M asonry Sources: PCA, Statistics Canada Table 64 Canadian Clinker Capacity* (Thousands of Metric Tons) Number Number Average Kiln Daily Clinker Annual Clinker Year of Plants of Kilns Capacity Capacity Capacity , , , , , , , , , , , , , , , , ,784 * Years 25, 27, 29, 211 are estimates Source: PCA U.S. and Canadian Portland Cement Industry: Plant Information Summary

68 CANADA 58 Table 65 Table 66 Age Distribution of Canadian Canadian Cement Company Clinker Capacity by Process Clinker Capacity (Thousands of Metric Tons) (Thousands of Metric Tons) Wet Dry Clinker Percent Age of Kilns Process Process Company Capacity Industry Lafarge Canada Inc. 4, St. Marys Cement Inc. 2, Lehigh Cement Company 2, Holcim Canada Inc. 2, Essroc Canada Inc. 1, Ciment Quebec Inc. 1, After Federal White Cement Total Clinker Capacity. 15,784 Colacem Canada Inc Source: PCA U.S. and Canadian Portland Cement Industry: Total Capacity 15, Plant Information Summary Table 67 Foreign Affiliated Canadian Clinker Capacity Source: PCA U.S. and Canadian Portland Cement Industry: Plant Information Summary Company Affiliation as of January 1, 212 Country Ciment Quebec Inc. Groupe Ciment Quebec Canada/Italy Colacem Canada Inc. Colacem/Simard Beaudry Italy Essroc Canada Inc. Italcementi Group Italy Lafarge Canada Inc. Lafarge North America France Lehigh Cement Company Heidelberg Cement Germany Holcim Canada Inc. Holcim Group Switzerland St. Marys Cement Inc. Votorantim Cimentos Brazil Source: PCA U.S. and Canadian Portland Cement Industry: Total: Plant Information Summary Total Canadian Capacity: Clinker Capacity on 12/31/12 ( Metric Tons) 1, ,325 4,983 2,339 2,276 2,459 14,786 15,784 Percent of Foreign Owned Canadian Clinker Capacity: 93.7 Average Canadian Kiln Capacity (Thousand Metric Tons) Top Five Canadian Cement Companies Share of Total Clinker Capacity 212 Other 15.2% St. Marys 15.6% Lafarge 31.6% Lehigh 14.8% Holcim 14.4% Essroc 8.4%

69 CANADA 59 Table 68 Summary of Energy Consumption (Thousand kjoules per Equivalent Metric Tonne*) /74 12/11 Gasoline Middle distillates Diesel Fuel Oil Res idual Oil 2, LPG Total Petroleum Products 2, Natural Gas 2, Coal ,19.2 2,95. 2,79.2 1, Petroleum Coke , , ,7.8 1, Total Coal and Coke , , ,15. 3, Alternative Fuels Total Fuels 5,727. 3, , ,684. 3, Electricity Total Fuel and Power 6,22.8 4,54.6 4, , , * Equivalent M etric Tonne = weighted average of 92% clinker production plus 8% finished cement production **Collection of Diesel and Fuel Oil individually commenced in 211 Source: PCA U.S. and Canadian Labor-Energy Input Survey % Change Table 69 Alternative Fuels Utilized Total Reporting Plants Plants reporting alternative fuels Percent Types of Alternative Fuels Used* Tire Derived Waste Oil Solvents Other Solid Other * Plants may use more than one type of alternative fuel. Source: PCA U.S. and Canadian Labor-Energy Input Survey

70 CANADA 6 Table 7 Canadian Fuel Consumption Mix (Percent Distribution of kjoules Used) Coal and Coke Natural Gas Petroleum Products Electricity Alternative Fuel Total Fuel (%) Source: PCA U.S. and Canadian Labor-Energy Input Survey Table 71 Canadian Energy Consumption by Process (Thousand kjoules per Equivalent Metric Tonne*) % Change /74 12/11 Fuel and Electricity All Plants 6,221 4,55 4,541 4,264 4, Wet-Process Plants 6,972 (1) (1) (1) (1) Dry-Process Plants 5,632 4,484 4,541 4,264 4, Fuel All Plants 5,727 3,923 3,943 3,684 3, Wet-Process Plants 6,481 (1) (1) (1) (1) Dry-Process Plants 5,145 3,94 3,943 3,684 3, Electricity All Plants Wet-Process Plants 491 (1) (1) (1) (1) Dry-Process Plants * Equivalent M etric Tonne= weighted average of 92%clinker production plus 8%finished cement production. (1) Not available due to disclosure restrictions. Source: PCA U.S. and Canadian Labor-Energy Input Survey Canadian Fuel Consumption Mix (Coal &Coke % Share) Canadian Fuel & Power Consumption (Year Year % Change)

71 CANADA 61 Table 72 Canadian Employment () Total Construction Cement & Concrete Year Employment % Change Employment % Change Employment* % Change , , , , , , , , , , , , , , , , , , , , , , , , , *Includes Cement, Ready Mix, Pipe-Brick-Block Manufacturing Source: Statistics Canada

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73 INTERNATIONAL 63 Table 73 Top World Producers of Hydraulic Cement (Thousand of Metric Tons) China 72, 863, 97, 1,74, 1,24, 1,36, 1,4, 1,646, 1,85, 2,5, 2,16, India 114,59 121,42 127,6 141,8 159,1 17,46 177,3 195,93 224,72 24,51 246,7 United States 85,283 88,17 92,44 93,91 97,69 92,63 84,2 6,37 66,45 67,9 74,37 Iran 28,5 29,1 29,8 33,6 36,2 4,37 39,84 46,94 47,95 45,42 55,2 Turkey 38, 34, 34,2 35,6 41,9 46,6 51,3 51,7 59,12 64,9 68,2 Brazil 76,4 73,8 72,4 73,5 73,2 71,2 68, 6, 56,6 56,4 59, Russia 32,758 35,95 38,8 42,8 47,4 49,3 53,11 53,97 66,2 67,8 69, Japan 29,5 31, 31,46 31,84 35,2 41, 44,5 52,1 61,6 66,4 73,2 Egypt 11,18 12,9 13,63 16,36 18,41 24,22 3,87 33,37 32,4 31,6 32,4 Korea, Republic of 37,7 41, 44, 48, 54,7 59,9 53,6 44,2 5,4 56,1 6, Mexico 41,4 43,5 46,95 46,41 47,88 47,54 43,3 36,32 34,28 32,79 25,9 Pakistan 42,42 44,7 46,6 5,35 54,3 54,72 42,8 29,5 21,17 21,18 15,83 Italy 56, 59,2 54,3 47,2 49,2 52,2 51,65 5,13 47,42 48,25 48,87 Spain 31,7 3,4 33,9 36, 38,2 38,62 37,9 35,81 34,5 35,4 36,8 Total World 1,846,272 2,28,124 2,195,41 2,364,96 2,618,86 2,813,95 2,871,84 2,945, 3,313,9 3,586,75 3,737,2 Source: U.S. Census Bureau, International Cement Review U.S. and Canadian Share of World Population 5.25% 5.2% 5.15% 5.1% 5.5% 5.% 4.95% 4.9% 4.85% 4.8% Total World Production of Hydraulic Cement (Million Metric Tons)

74 INTERNATIONAL 64 Table 74 Population Growth Rates for Top World Producers of Hydraulic Cement (Year-Year % Change) China India United States* Japan Brazil Korea, South Turkey Iran Russia Egypt Italy Mexico Spain Pakistan Total World *Includes Puerto Rico. Source: U.S. Census Bureau, International Data Base Share of G8 Countries to Total World Cement Consumption 212 (Percent) 2.5% 2.% 1.5% 1.%.5%.% U.S. Japan Italy Germany France U.K. Russia Canada

75 INTERNATIONAL 65 Table 75 Cement Consumption (Million Metric Tons) G8 Countries G8 Share Total G8 World of World Year U.S. Japan Italy Germany France U.K. Russia CanadaConsumption Consumption Consumption (%) , , , , , , , , , , , , , , , , , , * 32.8 * * * * 57.4 * * 3, * 7.6 * * 26. * 27.4 * 2. * 1.6 * 63. * * 3,736.8 * 7.4 * * Estimated Source: U.S. Census Bureau, International Cement Review, United States Geological Survey, Statistics Canada 8.% U.S. and Canadian Share Cement Consumption.6 Cement Consumption Per Capita 7.% 6.% 5.% 4.% 3.% 2.% G8.3 US& Canada World.2.1