VULCAN MATERIALS CO, 10-Q filed on 10/31/2018
Quarterly Report
v3.10.0.1
Document and Entity Information - shares
9 Months Ended
Sep. 30, 2018
Oct. 29, 2018
Document and Entity Information [Abstract]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Sep. 30, 2018  
Document Fiscal Year Focus 2018  
Document Fiscal Period Focus Q3  
Trading Symbol VMC  
Entity Registrant Name Vulcan Materials CO  
Entity Central Index Key 0001396009  
Current Fiscal Year End Date --12-31  
Entity Filer Category Large Accelerated Filer  
Entity Common Stock, Shares Outstanding   132,047,816
Entity Emerging Growth Company false  
Entity Small Business false  
v3.10.0.1
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Sep. 30, 2018
Dec. 31, 2017
Sep. 30, 2017
Assets      
Cash and cash equivalents $ 38,026 $ 141,646 $ 701,163
Restricted cash 5,043 5,000 0
Accounts and notes receivable      
Accounts and notes receivable, gross 648,009 590,986 582,105
Less: Allowance for doubtful accounts (2,294) (2,649) (2,903)
Accounts and notes receivable, net 645,715 588,337 579,202
Inventories      
Finished products 346,940 327,711 307,046
Raw materials 29,078 27,152 27,852
Products in process 2,668 1,827 1,652
Operating supplies and other 29,966 27,648 29,276
Inventories 408,652 384,338 365,826
Other current assets 78,476 60,780 100,781
Total current assets 1,175,912 1,180,101 1,746,972
Investments and long-term receivables 42,944 35,115 35,999
Property, plant & equipment      
Property, plant & equipment, cost 8,386,315 7,969,312 7,539,928
Allowances for depreciation, depletion & amortization (4,197,592) (4,050,381) (4,002,227)
Property, plant & equipment, net 4,188,723 3,918,931 3,537,701
Goodwill 3,169,615 3,122,321 3,101,337
Other intangible assets, net 1,099,354 1,063,630 835,269
Other noncurrent assets 199,087 184,793 182,056
Total assets 9,875,635 9,504,891 9,439,334
Liabilities      
Current maturities of long-term debt 23 41,383 4,827
Short-term debt 200,000 0 0
Trade payables and accruals 233,885 197,335 181,207
Other current liabilities 256,507 204,154 227,665
Total current liabilities 690,415 442,872 413,699
Long-term debt 2,778,129 2,813,482 2,809,966
Deferred income taxes, net 581,026 464,081 716,165
Deferred revenue 186,829 191,476 193,117
Other noncurrent liabilities 493,447 624,087 621,253
Total liabilities 4,729,846 4,535,998 4,754,200
Other commitments and contingencies (Note 8)
Equity      
Common stock, $1 par value, Authorized 480,000 shares, Outstanding 132,045, 132,324 and 132,281 shares, respectively 132,045 132,324 132,281
Capital in excess of par value 2,795,366 2,805,587 2,803,106
Retained earnings 2,361,903 2,180,448 1,886,006
Accumulated other comprehensive loss (143,525) (149,466) (136,259)
Total equity 5,145,789 4,968,893 4,685,134
Total liabilities and equity $ 9,875,635 $ 9,504,891 $ 9,439,334
v3.10.0.1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Sep. 30, 2018
Dec. 31, 2017
Sep. 30, 2017
CONDENSED CONSOLIDATED BALANCE SHEETS [Abstract]      
Common stock, par value $ 1 $ 1 $ 1
Common stock, shares authorized 480,000,000 480,000,000 480,000,000
Common stock, shares outstanding 132,045,000 132,324,000 132,281,000
v3.10.0.1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($)
shares in Thousands, $ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract]        
Total revenues $ 1,240,197 $ 1,094,715 $ 3,294,822 $ 2,912,806
Cost of revenues 897,055 790,957 2,469,161 2,160,810
Gross profit 343,142 303,758 825,661 751,996
Selling, administrative and general expenses 81,606 73,612 248,989 239,051
Gain on sale of property, plant & equipment and businesses 2,104 1,488 8,374 4,630
Other operating expense, net (14,456) (4,156) (23,822) (27,733)
Operating earnings 249,184 227,478 561,224 489,842
Other nonoperating income, net 4,890 3,793 12,708 11,709
Interest expense, net 33,547 82,041 104,566 154,572
Earnings from continuing operations before income taxes 220,527 149,230 469,366 346,979
Income tax expense 40,663 39,080 75,805 81,557
Earnings from continuing operations 179,864 110,150 393,561 265,422
Earnings (loss) on discontinued operations, net of tax (713) (1,571) (1,778) 8,217
Net earnings 179,151 108,579 391,783 273,639
Other comprehensive income, net of tax        
Deferred gain on interest rate derivative 0 0 2,496 0
Amortization of prior interest rate derivative loss 53 1,188 171 1,836
Amortization of actuarial loss and prior service cost for benefit plans 1,091 427 3,274 1,281
Other comprehensive income 1,144 1,615 5,941 3,117
Comprehensive income $ 180,295 $ 110,194 $ 397,724 $ 276,756
Basic earnings (loss) per share        
Continuing operations $ 1.36 $ 0.83 $ 2.97 $ 2.00
Discontinued operations (0.01) (0.01) (0.01) 0.07
Net earnings 1.35 0.82 2.96 2.07
Diluted earnings (loss) per share        
Continuing operations 1.34 0.82 2.94 1.97
Discontinued operations 0.00 (0.01) (0.02) 0.06
Net earnings $ 1.34 $ 0.81 $ 2.92 $ 2.03
Weighted-average common shares outstanding        
Basic 132,392 132,484 132,505 132,510
Assuming dilution 133,894 134,765 134,079 134,853
Depreciation, depletion, accretion and amortization $ 89,390 $ 79,636 $ 256,463 $ 227,974
Effective tax rate from continuing operations 18.40% 26.20% 16.20% 23.50%
v3.10.0.1
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Operating Activities    
Net earnings $ 391,783 $ 273,639
Adjustments to reconcile net earnings to net cash provided by operating activities    
Depreciation, depletion, accretion and amortization 256,463 227,974
Net gain on sale of property, plant & equipment and businesses (8,374) (4,630)
Contributions to pension plans (107,202) (17,638)
Share-based compensation expense 21,650 19,953
Deferred tax expense (benefit) 76,779 11,298
Cost of debt purchase 6,922 43,048
Changes in assets and liabilities before initial effects of business acquisitions and dispositions (67,836) (162,849)
Other, net 2,446 8,740
Net cash provided by operating activities 572,631 399,535
Investing Activities    
Purchases of property, plant & equipment (348,238) (366,845)
Proceeds from sale of property, plant & equipment 12,838 10,403
Proceeds from sale of businesses 11,256 0
Payment for businesses acquired, net of acquired cash (213,138) (210,562)
Other, net (12,216) 405
Net cash used for investing activities (549,498) (566,599)
Financing Activities    
Proceeds from short-term debt 514,900 5,000
Payment of short-term debt (314,900) (5,000)
Payment of current maturities and long-term debt (892,049) (800,572)
Proceeds from issuance of long-term debt 850,000 1,600,000
Debt issuance and exchange costs (45,513) (15,046)
Settlements of interest rate derivatives 3,378 0
Purchases of common stock (99,916) (60,303)
Dividends paid (111,192) (99,263)
Share-based compensation, shares withheld for taxes (31,418) (24,608)
Net cash provided by (used for) financing activities (126,710) 600,208
Net increase (decrease) in cash and cash equivalents and restricted cash (103,577) 433,144
Cash and cash equivalents and restricted cash at beginning of year 146,646 268,019
Cash and cash equivalents and restricted cash at end of period $ 43,069 $ 701,163
v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
9 Months Ended
Sep. 30, 2018
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]  
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Note 1: summary of significant accounting policies



NATURE OF OPERATIONS



Vulcan Materials Company (the “Company,” “Vulcan,” “we,” “our”), a New Jersey corporation, is the nation's largest supplier of construction aggregates (primarily crushed stone, sand and gravel) and a major producer of asphalt mix and ready-mixed concrete.



We operate primarily in the United States and our principal product — aggregates — is used in virtually all types of public and private construction projects and in the production of asphalt mix and ready-mixed concrete. We serve markets in twenty states, Washington D.C., and the local markets surrounding our operations in Mexico and the Bahamas. Our primary focus is serving metropolitan markets in the United States that are expected to experience the most significant growth in population, households and employment. These three demographic factors are significant drivers of demand for aggregates. While aggregates is our focus and primary business, we produce and sell asphalt mix and/or ready-mixed concrete in our Alabama, mid-Atlantic, Southwestern, Tennessee and Western markets.



BASIS OF PRESENTATION



Our accompanying unaudited condensed consolidated financial statements were prepared in compliance with the instructions to Form 10-Q and Article 10 of Regulation S-X and thus do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (GAAP) for complete financial statements. We prepared the accompanying condensed consolidated financial statements on the same basis as our annual financial statements, except for the adoption of new accounting standards as described in Note 17. Our Condensed Consolidated Balance Sheet as of December 31, 2017 was derived from the audited financial statement, but it does not include all disclosures required by GAAP. In the opinion of our management, the statements reflect all adjustments, including those of a normal recurring nature, necessary to present fairly the results of the reported interim periods. Operating results for the three and nine month periods ended September 30, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018. For further information, refer to the consolidated financial statements and footnotes included in our most recent Annual Report on Form 10-K.



Due to the 2005 sale of our Chemicals business as described in Note 2, the results of the Chemicals business are presented as discontinued operations in the accompanying Condensed Consolidated Statements of Comprehensive Income.



RECLASSIFICATIONS



Certain items previously reported in specific financial statement captions have been reclassified to conform to the 2018 presentation including Accounting Standards Update (ASU) 2017-07, “Improving the Presentation of Net Periodic Benefit Cost and Net Periodic Postretirement Benefit Cost,” which resulted in the reclassification of certain benefit costs from operating income to nonoperating income as described in Note 17.



RESTRICTED CASH



Restricted cash consists of cash proceeds from the sale of property held in escrow for the acquisition of replacement property under like-kind exchange agreements and cash reserved by other contractual agreements (such as asset purchase agreements) for a specified purpose and therefore is not available for use for other purposes. The escrow accounts are administered by an intermediary. Cash restricted pursuant to like-kind exchange agreements remains restricted for a maximum of 180 days from the date of the property sale pending the acquisition of replacement property. Restricted cash is included with cash and cash equivalents in the accompanying Condensed Consolidated Statements of Cash Flows.



EARNINGS PER SHARE (EPS)



Earnings per share are computed by dividing net earnings by the weighted-average common shares outstanding (basic EPS) or weighted-average common shares outstanding assuming dilution (diluted EPS), as set forth below:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Weighted-average common shares

 

 

 

 

 

 

 

 

 

 

 

  outstanding

132,392 

 

 

132,484 

 

 

132,505 

 

 

132,510 

 

Dilutive effect of

 

 

 

 

 

 

 

 

 

 

 

   Stock-Only Stock Appreciation Rights

905 

 

 

1,249 

 

 

1,021 

 

 

1,305 

 

   Other stock compensation plans

597 

 

 

1,032 

 

 

553 

 

 

1,038 

 

Weighted-average common shares

 

 

 

 

 

 

 

 

 

 

 

  outstanding, assuming dilution

133,894 

 

 

134,765 

 

 

134,079 

 

 

134,853 

 



All dilutive common stock equivalents are reflected in our earnings per share calculations. In periods of loss, shares that otherwise would have been included in our diluted weighted-average common shares outstanding computation would be excluded.



Antidilutive common stock equivalents are not included in our earnings per share calculations. The number of antidilutive common stock equivalents for which the exercise price exceeds the weighted-average market price is as follows:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Antidilutive common stock equivalents

162 

 

 

79 

 

 

161 

 

 

79 

 

 

 

v3.10.0.1
DISCONTINUED OPERATIONS
9 Months Ended
Sep. 30, 2018
DISCONTINUED OPERATIONS [Abstract]  
DISCONTINUED OPERATIONS

Note 2: Discontinued Operations



In 2005, we sold substantially all the assets of our Chemicals business to Basic Chemicals, a subsidiary of Occidental Chemical Corporation. The financial results of the Chemicals business are classified as discontinued operations in the accompanying Condensed Consolidated Statements of Comprehensive Income for all periods presented. There were no revenues from discontinued operations for the periods presented. Results from discontinued operations are as follows:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Discontinued Operations

 

 

 

 

 

 

 

 

 

 

 

Pretax earnings (loss)

$          (969)

 

 

$       (1,282)

 

 

$       (2,417)

 

 

$      13,614 

 

Income tax (expense) benefit

256 

 

 

(289)

 

 

639 

 

 

(5,397)

 

Earnings (loss) on discontinued operations,

 

 

 

 

 

 

 

 

 

 

 

  net of tax

$          (713)

 

 

$       (1,571)

 

 

$       (1,778)

 

 

$        8,217 

 



Our discontinued operations include charges related to general and product liability costs, including legal defense costs, and environmental remediation costs associated with our former Chemicals business. The 2017 results noted above primarily reflect charges and related insurance recoveries, including those associated with the Texas Brine matter as discussed in Note 8.

 

 

v3.10.0.1
INCOME TAXES
9 Months Ended
Sep. 30, 2018
INCOME TAXES [Abstract]  
INCOME TAXES

Note 3: Income Taxes



The Tax Cuts and Jobs Act (TCJA) was enacted in December 2017. The TCJA, among other changes, (1) reduces the U.S. federal corporate income tax rate from 35% to 21%, (2) allows for the immediate 100% deductibility of certain capital investments, (3) eliminates the alternative minimum tax (though allows for the future use of previously generated alternative minimum tax credits), (4) repeals the domestic production deduction, (5) requires a one-time “transition tax” on earnings of certain foreign subsidiaries that were previously tax deferred, (6) limits the deductibility of interest expense, (7) further limits the deductibility of certain executive compensation and (8) taxes global intangible low taxed income.



The SEC staff issued Staff Accounting Bulletin (SAB) 118 to provide guidance for companies that have not completed their accounting for the income tax effects of the TCJA in the period of enactment. SAB 118 provides a one-year measurement period from the TCJA enactment date for companies to complete their income tax accounting. In accordance with SAB 118, a company must reflect the income tax effects of those elements of the TCJA for which the income tax accounting is complete. To the extent that a company’s accounting for certain elements of the TCJA is incomplete but for which it is able to determine a reasonable estimate, it must record a provisional estimate in the financial statements. If a company is unable to determine a provisional estimate, it should account for its income taxes on the basis of the provisions of the tax laws that were in effect immediately before the enactment of the TCJA.



Our accounting for certain elements of the TCJA is incomplete. As we disclosed in our Annual Report on Form 10-K for the year ended December 31, 2017, we were able to make reasonable estimates, and therefore, recorded provisional estimates for the following elements. We have not recorded any measurement-period adjustments related to these items during the first nine months of 2018.



§

DEEMED REPATRIATION TRANSITION TAX — The TCJA subjects companies to a one-time Deemed Repatriation Transition Tax (Transition Tax) on previously untaxed foreign accumulated earnings and profits. We recorded a provisional Transition Tax obligation of $12,301,000 at December 31, 2017.

§

DEDUCTIBILITY OF EXECUTIVE COMPENSATION — The TCJA eliminates the performance-based compensation exception from the limitation on covered employee remuneration. At this time, we believe that a portion of the performance-based remuneration accounted for in our deferred taxes will likely be non-deductible. As such, we included a provisional expense of $1,403,000 at December 31, 2017.



Our accounting for certain other elements of the TCJA is incomplete. As we disclosed in our Annual Report on Form 10-K for the year ended December 31, 2017, we were not yet able to make reasonable estimates of the effects. Therefore, no provisional estimates were recorded. We have not recorded any measurement-period adjustments related to these items during the first nine months of 2018.



§

OUTSIDE BASIS DIFFERENCE IN FOREIGN SUBSIDIARIES — For U.S. income tax purposes, the Transition Tax will greatly reduce outside basis differences in our foreign subsidiaries. Completing this calculation is dependent on first finalizing the Transition Tax liability. As a result, we are not yet able to reasonably estimate the outside basis difference remaining in our foreign subsidiaries after the Transition Tax, and therefore, continue to assert that our undistributed earnings from foreign subsidiaries are indefinitely reinvested.

§

GLOBAL INTANGIBLE LOW TAXED INCOME — We can make an accounting policy election of either (1) treating taxes due on the future U.S. inclusions in taxable income related to global intangible low taxed income (GILTI) as a current period expense when incurred (period cost method) or (2) factoring such amounts into our measurement of deferred taxes (deferred method). Our selection of an accounting policy with respect to the new GILTI tax rules will depend, in part, on determining whether we expect to have future U.S. inclusions in taxable income related to GILTI and, if so, the expected impact. We have not recorded any amount of GILTI tax in our financial statements nor have we made an accounting policy decision.



Our estimated annual effective tax rate (EAETR) is based on full-year expectations of pretax earnings, statutory tax rates, permanent differences between book and tax accounting such as percentage depletion, and tax planning alternatives available in the various jurisdictions in which we operate. For interim financial reporting, we calculate our quarterly income tax provision in accordance with the EAETR. Each quarter, we update our EAETR based on our revised full-year expectation of pretax earnings and calculate the income tax provision so that the year-to-date income tax provision reflects the EAETR. Significant judgment is required in determining our EAETR.



In the third quarter of 2018, we recorded income tax expense from continuing operations of $40,663,000 compared to income tax expense from continuing operations of $39,080,000 in the third quarter of 2017. The small increase in income tax expense on a significant increase in pretax earnings was due to the lower tax rate from the TCJA and the recognition of $7,157,000 of previously unrecognized tax benefits due to the expiration of statute of limitations.



For the first nine months of 2018, we recorded income tax expense from continuing operations of $75,805,000 compared to income tax expense from continuing operations of $81,557,000 for the first nine months of 2017. The decrease in income tax expense was largely due to the lower rate resulting from the TCJA.



We recognize deferred tax assets and liabilities (which reflect our best assessment of the future taxes we will pay) based on the differences between the book basis and tax basis of assets and liabilities. Deferred tax assets represent items to be used as a tax deduction or credit in future tax returns while deferred tax liabilities represent items that will result in additional tax in future tax returns.



Each quarter we analyze the likelihood that our deferred tax assets will be realized. A valuation allowance is recorded if, based on the weight of all available positive and negative evidence, it is more likely than not (a likelihood of more than 50%) that some portion, or all, of a deferred tax asset will not be realized.



At December 31, 2018, we project state net operating loss carryforward deferred tax assets of $72,160,000  ($67,688,000 relates to Alabama), against which we project to have a valuation allowance of $29,696,000  ($29,182,000 relates to Alabama). The Alabama net operating loss carryforward, if not utilized, would expire in years 20232033.



We recognize a tax benefit associated with a tax position when, in our judgment, it is more likely than not that the position will be sustained based upon the technical merits of the position. For a tax position that meets the more likely than not recognition threshold, we measure the income tax benefit as the largest amount that we judge to have a greater than 50% likelihood of being realized. A liability is established for the unrecognized portion of any tax benefit. Our liability for unrecognized tax benefits is adjusted periodically due to changing circumstances, such as the progress of tax audits, case law developments and new or emerging legislation.



A summary of our deferred tax assets is included in Note 9 “Income Taxes” in our Annual Report on Form 10-K for the year ended December 31, 2017.

 

 

v3.10.0.1
REVENUES
9 Months Ended
Sep. 30, 2018
REVENUES [Abstract]  
REVENUES

Note 4: revenueS



There have been no significant changes to the amount or timing of our revenue recognition as a result of our adoption of Accounting Standards Update (ASU) 2014-09, “Revenue from Contracts with Customers” (Accounting Standards Codification Topic 606). Revenues are measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. Sales and other taxes we collect are excluded from revenues. Costs to obtain and fulfill contracts (primarily asphalt construction paving contracts) are immaterial and are expensed as incurred when the expected amortization period is one year or less.



Total revenues are primarily derived from our product sales of aggregates, asphalt mix and ready-mixed concrete, and include freight & delivery costs that we pass along to our customers to deliver these products. We also generate service revenues from our asphalt construction paving business and other service revenues, such as landfill tipping fees, related to our aggregates business. Our total service revenues were as follows: $70,385,000 and $35,628,000 for the three months ended September 30, 2018 and 2017, respectively, and $145,127,000 and $81,212,000 for the nine months ended September 30, 2018 and 2017, respectively. The increased service revenues resulted from acquisitions that included asphalt construction paving businesses in Alabama and Texas (see Note 16).



Our products typically are sold to private industry and not directly to governmental entities. Although approximately 45% to 55% of our aggregates shipments have historically been used in publicly funded construction, such as highways, airports and government buildings, relatively insignificant sales are made directly to federal, state, county or municipal governments/agencies. Therefore, although reductions in state and federal funding can curtail publicly funded construction, our aggregates business is not directly subject to renegotiation of profits or termination of contracts with state or federal governments.



Our segment total revenues by geographic market for the three and nine month periods ended September 30, 2018 and 2017 are disaggregated as follows:





 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended September 30, 2018

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Total Revenues by Geographic Market 1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

East

$     331,147 

 

 

$     52,263 

 

 

$     65,971 

 

 

$              0 

 

 

$      449,381 

 

Gulf Coast

489,299 

 

 

47,220 

 

 

14,441 

 

 

1,912 

 

 

552,872 

 

West

163,285 

 

 

132,217 

 

 

21,307 

 

 

 

 

316,809 

 

Segment sales

$     983,731 

 

 

$   231,700 

 

 

$   101,719 

 

 

$       1,912 

 

 

$   1,319,062 

 

Intersegment sales

(78,865)

 

 

 

 

 

 

 

 

(78,865)

 

Total revenues

$     904,866 

 

 

$   231,700 

 

 

$   101,719 

 

 

$       1,912 

 

 

$   1,240,197 

 





 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended September 30, 2017

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Total Revenues by Geographic Market 1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

East

$     317,363 

 

 

$     39,445 

 

 

$     66,573 

 

 

$              0 

 

 

$      423,381 

 

Gulf Coast

393,694 

 

 

21,571 

 

 

26,505 

 

 

1,965 

 

 

443,735 

 

West

147,642 

 

 

128,924 

 

 

22,407 

 

 

 

 

298,973 

 

Segment sales

$     858,699 

 

 

$   189,940 

 

 

$   115,485 

 

 

$       1,965 

 

 

$   1,166,089 

 

Intersegment sales

(71,374)

 

 

 

 

 

 

 

 

(71,374)

 

Total revenues

$     787,325 

 

 

$   189,940 

 

 

$   115,485 

 

 

$       1,965 

 

 

$   1,094,715 

 





 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Nine Months Ended September 30, 2018

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Total Revenues by Geographic Market 1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

East

$     827,605 

 

 

$    113,331 

 

 

$    197,146 

 

 

$               0 

 

 

$    1,138,082 

 

Gulf Coast

1,377,568 

 

 

100,708 

 

 

57,994 

 

 

6,136 

 

 

1,542,406 

 

West

434,480 

 

 

333,324 

 

 

54,264 

 

 

 

 

822,068 

 

Segment sales

$  2,639,653 

 

 

$    547,363 

 

 

$    309,404 

 

 

$        6,136 

 

 

$    3,502,556 

 

Intersegment sales

(207,734)

 

 

 

 

 

 

 

 

(207,734)

 

Total revenues

$  2,431,919 

 

 

$    547,363 

 

 

$    309,404 

 

 

$        6,136 

 

 

$    3,294,822 

 





 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Nine Months Ended September 30, 2017

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Total Revenues by Geographic Market 1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

East

$     781,125 

 

 

$     78,599 

 

 

$   180,470 

 

 

$              0 

 

 

$    1,040,194 

 

Gulf Coast

1,145,700 

 

 

64,051 

 

 

78,313 

 

 

5,822 

 

 

1,293,886 

 

West

399,760 

 

 

318,824 

 

 

50,665 

 

 

 

 

769,249 

 

Segment sales

$  2,326,585 

 

 

$   461,474 

 

 

$   309,448 

 

 

$       5,822 

 

 

$    3,103,329 

 

Intersegment sales

(190,523)

 

 

 

 

 

 

 

 

(190,523)

 

Total revenues

$  2,136,062 

 

 

$   461,474 

 

 

$   309,448 

 

 

$       5,822 

 

 

$    2,912,806 

 





 

The geographic markets are defined by states/countries as follows:



 

East market — Arkansas, Delaware, Illinois, Kentucky, Maryland, North Carolina, Pennsylvania, Tennessee, Virginia, and Washington D.C.

Gulf Coast marketAlabama, Florida, Georgia, Louisiana, Mexico, Mississippi, Oklahoma, South Carolina, Texas and the Bahamas

West market — Arizona, California and New Mexico



PRODUCT AND SERVICE REVENUES



Revenue is recognized when obligations under the terms of a contract with our customer are satisfied; generally this occurs at a point in time when our aggregates, asphalt mix and ready-mixed concrete are shipped/delivered and control passes to the customer. Revenue for our products and services is recorded at the fixed invoice amount and is due by the 15th day of the following monthwe do not offer discounts for early payment. Freight & delivery generally represents pass-through transportation we incur (including our administrative costs) and pay to third-party carriers to deliver our products to customers and are accounted for as a fulfillment activity. Likewise, the costs related to freight & delivery are included in cost of revenues.



Freight & delivery revenues are as follows:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Freight & Delivery Revenues

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$  1,240,197 

 

 

$  1,094,715 

 

 

$  3,294,822 

 

 

$  2,912,806 

 

   Freight & delivery revenues 1

(175,194)

 

 

(143,664)

 

 

(476,491)

 

 

(397,934)

 

Total revenues excluding freight & delivery

$  1,065,003 

 

 

$     951,051 

 

 

$  2,818,331 

 

 

$  2,514,872 

 





 

Includes freight & delivery to remote distribution sites.





CONSTRUCTION PAVING REVENUES



Revenue from our asphalt construction paving business is recognized over time using the percentage-of-completion method under the cost approach. The percentage of completion is determined by costs incurred to date as a percentage of total costs estimated for the project. Under this approach, recognized contract revenue equals the total estimated contract revenue multiplied by the percentage of completion. Our construction contracts are unit priced and an account receivable is recorded for amounts invoiced based on actual units produced. Contract assets for estimated earnings in excess of billings, contract assets related to retainage provisions and contract liabilities for billings in excess of costs are immaterial. Variable consideration in our construction paving contracts is immaterial and consists of incentives and penalties based on the quality of work performed. Our construction paving contracts may contain warranty provisions covering defects in equipment, materials, design or workmanship that generally run from nine months to one year after project completion. Due to the nature of our construction paving projects, including contract owner inspections of the work during construction and prior to acceptance, we have not experienced material warranty costs for these short-term warranties.





VOLUMETRIC PRODUCTION PAYMENT REVENUES



In 2013 and 2012, we sold a percentage interest in certain future aggregates production for net cash proceeds of $226,926,000. These transactions, structured as volumetric production payments (VPPs):



§

relate to eight quarries in Georgia and South Carolina

§

provide the purchaser solely with a nonoperating percentage interest in the subject quarries’ future aggregates production

§

contain no minimum annual or cumulative guarantees by us for production or sales volume, nor minimum sales price

§

are both volume and time limited (we expect the transactions will last approximately 25 years, limited by volume rather than time)





We are the exclusive sales agent for, and transmit quarterly to the purchaser the proceeds from the sale of, the purchaser’s share of future aggregates production. Our consolidated total revenues exclude the revenue from the sale of the purchaser’s share of aggregates.



The proceeds we received from the sale of the percentage interest were recorded as deferred revenue on the balance sheet. We recognize revenue on a unit-of-sales basis (as we sell the purchaser’s share of future production) relative to the volume limitations of the transactions. Given the nature of the risks and potential rewards assumed by the buyer, the transactions do not reflect financing activities.



Reconciliation of the deferred revenue balances (current and noncurrent) is as follows:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Deferred Revenue

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

$     196,296 

 

 

$     203,100 

 

 

$     199,556 

 

 

$     206,468 

 

  Revenue recognized from deferred revenue

(1,997)

 

 

(1,903)

 

 

(5,257)

 

 

(5,271)

 

Balance at end of period

$     194,299 

 

 

$     201,197 

 

 

$     194,299 

 

 

$     201,197 

 



Based on expected sales from the specified quarries, we expect to recognize $7,470,000 of deferred revenue as income during the 12-month period ending September 30, 2019 (reflected in other current liabilities in our September 30, 2018 Condensed Consolidated Balance Sheet).

 

 

v3.10.0.1
FAIR VALUE MEASUREMENTS
9 Months Ended
Sep. 30, 2018
FAIR VALUE MEASUREMENTS [Abstract]  
FAIR VALUE MEASUREMENTS

Note 5: Fair Value Measurements



Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels as described below:



Level 1: Quoted prices in active markets for identical assets or liabilities

Level 2: Inputs that are derived principally from or corroborated by observable market data

Level 3: Inputs that are unobservable and significant to the overall fair value measurement



Our assets subject to fair value measurement on a recurring basis are summarized below:







 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 



Level 1 Fair Value



September 30

 

 

December 31

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2017 

 

Fair Value Recurring

 

 

 

 

 

 

 

 

Rabbi Trust

 

 

 

 

 

 

 

 

  Mutual funds

$       21,504 

 

 

$       20,348 

 

 

$         7,431 

 

  Equities

 

 

 

 

12,825 

 

Total

$       21,504 

 

 

$       20,348 

 

 

$       20,256 

 





 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 



Level 2 Fair Value



September 30

 

 

December 31

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2017 

 

Fair Value Recurring

 

 

 

 

 

 

 

 

Rabbi Trust

 

 

 

 

 

 

 

 

  Money market mutual fund

$        1,332 

 

 

$        1,203 

 

 

$           386 

 

Total

$        1,332 

 

 

$        1,203 

 

 

$           386 

 



We have two Rabbi Trusts for the purpose of providing a level of security for the employee nonqualified retirement and deferred compensation plans and for the directors' nonqualified deferred compensation plans. The fair values of these investments are estimated using a market approach. The Level 1 investments include mutual funds and equity securities for which quoted prices in active markets are available. Level 2 investments are stated at estimated fair value based on the underlying investments in the fund (short-term, highly liquid assets in commercial paper, short-term bonds and certificates of deposit).



Net gains (losses) of the Rabbi Trust investments were $(222,000) and $1,950,000 for the nine months ended September 30, 2018 and 2017, respectively. The portions of the net gains (losses) related to investments still held by the Rabbi Trusts at September 30, 2018 and 2017 were $(214,000)  and $1,424,000, respectively.



The carrying values of our cash equivalents, restricted cash, accounts and notes receivable, short-term debt, trade payables and accruals, and other current liabilities approximate their fair values because of the short-term nature of these instruments. Additional disclosures for derivative instruments and interest-bearing debt are presented in Notes 6 and 7, respectively.

 

 

v3.10.0.1
DERIVATIVE INSTRUMENTS
9 Months Ended
Sep. 30, 2018
DERIVATIVE INSTRUMENTS [Abstract]  
DERIVATIVE INSTRUMENTS

Note 6: Derivative Instruments



During the normal course of operations, we are exposed to market risks including interest rates, foreign currency exchange rates and commodity prices. From time to time, and consistent with our risk management policies, we use derivative instruments to balance the cost and risk of such exposure. We do not use derivative instruments for trading or other speculative purposes.



The accounting for gains and losses that result from changes in the fair value of derivative instruments depends on whether the derivatives have been designated and qualify as hedging instruments and the type of hedging relationship. The interest rate locks described below were designated as cash flow hedges. The changes in fair value of our cash flow hedges are recorded in accumulated other comprehensive income (AOCI) and are reclassified into interest expense in the same period the hedged items affect earnings.



In 2007 and 2018, we entered into interest rate locks of future debt issuances to hedge the risk of higher interest rates. The gain/loss upon settlement of the interest rate hedges is deferred (recorded in AOCI) and amortized to interest expense over the term of the related debt.



This amortization was reflected in the accompanying Condensed Consolidated Statements of Comprehensive Income as follows:







 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended

 

 

Nine Months Ended

 



Location on

 

September 30

 

 

September 30

 

in thousands

Statement

 

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Interest Rate Hedges

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss reclassified from AOCI

Interest

 

 

 

 

 

 

 

 

 

 

 

 

  (effective portion)

expense

 

$           (72)

 

 

$      (1,955)

 

 

$         (232)

 

 

$      (3,022)

 



The 2017 loss reclassified from AOCI includes the acceleration of deferred losses in the amount of $1,405,000 referable to the July 2017 debt purchases as described in Note 7.



For the 12-month period ending September 30, 2019, we estimate that $302,000 of the pretax loss in AOCI will be reclassified to interest expense.

 

 

v3.10.0.1
DEBT
9 Months Ended
Sep. 30, 2018
DEBT [Abstract]  
DEBT

Note 7: Debt



Debt is detailed as follows:









 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 



 

 

Effective

 

September 30

 

 

December 31

 

 

September 30

 

in thousands

Interest Rates

 

2018 

 

 

2017 

 

 

2017 

 

Short-term Debt

 

 

 

 

 

 

 

 

 

 

Bank line of credit expires 2021 1, 2

1.25% 

 

$        200,000 

 

 

$                0 

 

 

$                0 

 

Total short-term debt

 

 

$        200,000 

 

 

$                0 

 

 

$                0 

 

Long-term Debt

 

 

 

 

 

 

 

 

 

 

Bank line of credit expires 2021 1

 

 

$                   0 

 

 

$     250,000 

 

 

$                0 

 

Term loan due 2018 3

 

 

 

 

350,000 

 

 

 

Floating-rate notes due 2020

3.21% 

 

250,000 

 

 

250,000 

 

 

250,000 

 

Floating-rate notes due 2021

3.23% 

 

500,000 

 

 

 

 

600,000 

 

7.50% notes due 2021

 

 

 

 

35,111 

 

 

 

8.85% notes due 2021 

8.88% 

 

6,000 

 

 

6,000 

 

 

6,000 

 

Term loan due 2021

 

 

 

 

250,000 

 

 

250,000 

 

4.50% notes due 2025

4.65% 

 

400,000 

 

 

400,000 

 

 

400,000 

 

3.90% notes due 2027

4.00% 

 

400,000 

 

 

400,000 

 

 

400,000 

 

7.15% notes due 2037

8.05% 

 

129,239 

 

 

240,188 

 

 

240,188 

 

4.50% notes due 2047

4.59% 

 

700,000 

 

 

700,000 

 

 

700,000 

 

4.70% notes due 2048

5.42% 

 

460,949 

 

 

 

 

 

Other notes

6.46% 

 

214 

 

 

230 

 

 

353 

 

Total long-term debt - face value

 

 

$     2,846,402 

 

 

$  2,881,529 

 

 

$  2,846,541 

 

Unamortized discounts and debt issuance costs

 

 

(68,250)

 

 

(26,664)

 

 

(31,748)

 

Total long-term debt - book value

 

 

$     2,778,152 

 

 

$  2,854,865 

 

 

$  2,814,793 

 

Less current maturities

 

 

23 

 

 

41,383 

 

 

4,827 

 

Total long-term debt - reported value

 

 

$     2,778,129 

 

 

$  2,813,482 

 

 

$  2,809,966 

 

Estimated fair value of long-term debt

 

 

$     2,743,429 

 

 

$  2,983,419 

 

 

$  3,068,236 

 







 

Borrowings on the bank line of credit are classified as short-term debt if we intend to repay within twelve months and as long-term debt otherwise.

Reflects the margin above LIBOR for LIBOR-based borrowings; we also paid upfront fees that are amortized to interest expense and pay fees for unused borrowing capacity and standby letters of credit.

This short-term loan was refinanced on a long-term basis in February 2018 as discussed below. Thus, it was classified as long-term debt as of December 31, 2017.



Discounts and debt issuance costs are amortized using the effective interest method over the terms of the respective notes resulting in $3,927,000 and $4,473,000 of net interest expense for these items for the nine months ended September 30, 2018 and 2017, respectively.





LINE OF CREDIT



Our unsecured $750,000,000 line of credit matures December 2021 and contains affirmative, negative and financial covenants customary for an unsecured investment-grade facility. The primary negative covenant limits our ability to incur secured debt. The financial covenants are: (1) a maximum ratio of debt to EBITDA of 3.5:1 (upon certain acquisitions, the maximum ratio can be 3.75:1 for three quarters), and (2) a minimum ratio of EBITDA to net cash interest expense of 3.0:1. As of September 30, 2018, we were in compliance with the line of credit covenants.



Borrowings on our line of credit are classified as short-term debt if we intend to repay within twelve months and as long-term debt if we have the intent and ability to extend repayment beyond twelve months. Borrowings bear interest, at our option, at either LIBOR plus a credit margin ranging from 1.00% to 1.75%, or SunTrust Bank’s base rate (generally, its prime rate) plus a credit margin ranging from 0.00% to 0.75%. The credit margin for both LIBOR and base rate borrowings is determined by our credit ratings. Standby letters of credit, which are issued under the line of credit and reduce availability, are charged a fee equal to the credit margin for LIBOR borrowings plus 0.175%. We also pay a commitment fee on the daily average unused amount of the line of credit that ranges from 0.10% to 0.25% determined by our credit ratings. As of September 30, 2018, the credit margin for LIBOR borrowings was 1.25%, the credit margin for base rate borrowings was 0.25%, and the commitment fee for the unused amount was 0.15%.



As of September 30, 2018, our available borrowing capacity was $505,021,000. Utilization of the borrowing capacity was as follows:



§

$200,000,000 was borrowed

§

$44,979,000 was used to provide support for outstanding standby letters of credit





TERM DEBT



All of our $2,846,402,000 of term debt is unsecured. $2,846,188,000 of such debt is governed by three essentially identical indentures that contain customary investment-grade type covenants. The primary covenant in all three indentures limits the amount of secured debt we may incur without ratably securing such debt. As of September 30, 2018, we were in compliance with all term debt covenants.



In March 2018, we early retired via exchange offer $110,949,000 of the $240,188,000 7.15% senior notes due 2037 for: (1) a like amount of notes due 2048 (these notes are a further issuance of, and form a single series with, the $350,000,000 of notes due 2048 issued in February 2018 as described below) and (2) $38,164,000 of cash. The cash payment primarily reflects the trading price of the retired notes relative to par and will be amortized to interest expense over the term of the notes due 2048. We recognized transaction costs of $1,314,000 with this early retirement.



In February 2018, we issued $350,000,000 of 4.70% senior notes due 2048 (these notes now total $460,949,000 including the $110,949,000 issued in March as described above) and $500,000,000 of floating-rate senior notes due 2021. Total proceeds of $846,029,000 (net of discounts, transaction costs and an interest rate derivative settlement gain), together with cash on hand, were used to retire/repay without penalty or premium: (1) the $350,000,000 term loan due 2018, (2) the $250,000,000 term loan due 2021, and (3) the $250,000,000 bank line of credit borrowings. We recognized net noncash expense of $203,000 with the acceleration of unamortized deferred transaction costs.



In January 2018, we early retired via redemption the remaining $35,111,000 of the 7.50% senior notes due 2021 at a cost of $40,719,000 including a premium of $5,608,000. Additionally, we recognized net noncash expense of $263,000 with the acceleration of unamortized deferred transaction costs.



As a result of the first quarter 2018 early debt retirements described above, we recognized premiums of $5,608,000, transaction costs of $1,314,000 and noncash expense (acceleration of unamortized deferred transaction costs) of $466,000. The combined charge of $7,388,000 was a component of interest expense for the first quarter of 2018.



In December 2017, we early retired via tender offer, $564,889,000 of the $600,000,000 7.50% senior notes due 2021 at a cost of $662,613,000 including a premium of $96,167,000 and transaction costs of $1,558,000. Additionally, we recognized net noncash expense of $4,228,000 with the acceleration of unamortized deferred transaction costs.



Also in December 2017, we entered into a 6-month $350,000,000 unsecured term loan with one of the banks that provides our line of credit. Proceeds were used for general corporate purposes. This term loan was prepaid, as described above, in February 2018 with the proceeds of the 4.70% senior notes due 2048.



In July 2017, we early retired via redemption: (1) the $272,512,000 7.00% senior notes due 2018 and (2) the $250,000,000 10.375% senior notes due 2018 (neither of which now appear in the table above) —  at a combined cost of $565,560,000 including a premium of $43,020,000 and transaction costs of $28,000. Additionally, we recognized net noncash expense of $3,029,000 with the acceleration of unamortized deferred discounts, transaction costs and interest rate derivative settlement losses. Such redemptions were partially funded with the proceeds of the senior notes issued in June 2017 as described below.



In June 2017, we issued $1,000,000,000 of debt composed of three issuances as follows: (1) $700,000,000 of 4.50% senior notes due 2047, (2) $50,000,000 of 3.90% senior notes due 2027 (these notes are a further issuance of, and form a single series with, the 3.90% notes issued in March 2017), and (3) $250,000,000 of floating-rate senior notes due 2020. Total proceeds of $989,512,000 (net of discounts/premiums and transaction costs) were used to partially finance an acquisition and to early retire the notes due in 2018 as described above.



In June 2017, we drew the full $250,000,000 on the unsecured delayed draw term loan due 2021. These funds were used to repay the $235,000,000 line of credit borrowings and for general corporate purposes. This term loan was prepaid, as described above, in February 2018 with proceeds of the floating-rate senior notes due 2021.



In March 2017, we issued $350,000,000 of 3.90% senior notes due 2027. Proceeds of $345,450,000 (net of discounts and transaction costs) were used for general corporate purposes. This series of notes now totals $400,000,000 including the additional $50,000,000 issued in June as described above.



As a result of the 2017 early debt retirements described above, we recognized premiums of $139,187,000,  transaction costs of $1,586,000 and net noncash expense (acceleration of unamortized deferred transaction costs) of $7,257,000. The combined charge of $148,030,000 was a component of interest expense for the year ended December 31, 2017 with $46,077,000 recognized in the three and nine months ended September 30, 2017.





STANDBY LETTERS OF CREDIT



We provide, in the normal course of business, certain third-party beneficiaries with standby letters of credit to support our obligations to pay or perform according to the requirements of an underlying agreement. Such letters of credit typically have an initial term of one year, typically renew automatically, and can only be modified or cancelled with the approval of the beneficiary. All of our standby letters of credit are issued by banks that participate in our $750,000,000 line of credit, and reduce the borrowing capacity thereunder. Our standby letters of credit as of September 30, 2018 are summarized by purpose in the table below:







 

 



 

 

in thousands

 

 

Standby Letters of Credit

 

 

Risk management insurance

$       38,111 

 

Reclamation/restoration requirements

6,868 

 

Total

$       44,979 

 

 

 

v3.10.0.1
COMMITMENTS AND CONTINGENCIES
9 Months Ended
Sep. 30, 2018
COMMITMENTS AND CONTINGENCIES [Abstract]  
COMMITMENTS AND CONTINGENCIES

Note 8: Commitments and Contingencies



As summarized by purpose directly above in Note 7, our standby letters of credit totaled $44,979,000 as of September 30, 2018.



As described in Note 9, our asset retirement obligations totaled $226,084,000 as of September 30, 2018.



LITIGATION AND ENVIRONMENTAL MATTERS



We are subject to occasional governmental proceedings and orders pertaining to occupational safety and health or to protection of the environment, such as proceedings or orders relating to noise abatement, air emissions or water discharges. As part of our continuing program of stewardship in safety, health and environmental matters, we have been able to resolve such proceedings and to comply with such orders without any material adverse effects on our business.



We have received notices from the United States Environmental Protection Agency (EPA) or similar state or local agencies that we are considered a potentially responsible party (PRP) at a limited number of sites under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA or Superfund) or similar state and local environmental laws. Generally, we share the cost of remediation at these sites with other PRPs or alleged PRPs in accordance with negotiated or prescribed allocations. There is inherent uncertainty in determining the potential cost of remediating a given site and in determining any individual party's share in that cost. As a result, estimates can change substantially as additional information becomes available regarding the nature or extent of site contamination, remediation methods, other PRPs and their probable level of involvement, and actions by or against governmental agencies or private parties.



We have reviewed the nature and extent of our involvement at each Superfund site, as well as potential obligations arising under other federal, state and local environmental laws. While ultimate resolution and financial liability is uncertain at a number of the sites, in our opinion based on information currently available, the ultimate resolution of claims and assessments related to these sites will not have a material effect on our consolidated results of operations, financial position or cash flows, although amounts recorded in a given period could be material to our results of operations or cash flows for that period.



We are a defendant in various lawsuits in the ordinary course of business. It is not possible to determine with precision the outcome, or the amount of liability, if any, under these lawsuits, especially where the cases involve possible jury trials with as yet undetermined jury panels.



In addition to these lawsuits in which we are involved in the ordinary course of business, certain other material legal proceedings are more specifically described below:



§

Lower Passaic River Study Area (Superfund Site) — The Lower Passaic River Study Area is part of the Diamond Shamrock Superfund Site in New Jersey. Vulcan and approximately 70 other companies are parties (collectively the Cooperating Parties Group,  CPG) to a May 2007 Administrative Order on Consent (AOC) with the EPA to perform a Remedial Investigation/Feasibility Study (draft RI/FS) of the lower 17 miles of the Passaic River (River). However, before the draft RI/FS was issued in final form, the EPA issued a record of decision (ROD) in March 2016 that calls for a bank-to-bank dredging remedy for the lower 8 miles of the River. The EPA estimates that the cost of implementing this proposal is $1.38 billion. In September 2016, the EPA entered into an Administrative Settlement Agreement and Order on Consent with Occidental Chemical Corporation (Occidental) in which Occidental agreed to undertake the remedial design for this bank-to-bank dredging remedy, and to reimburse the United States for certain response costs.



In August 2017, the EPA informed certain members of the CPG, including Vulcan, that it planned to use the services of a third-party allocator with the expectation of offering cash-out settlements to some parties in connection with the bank-to-bank remedy. This voluntary allocation process is intended to establish an impartial third-party expert recommendation that may be considered by the government and the participants as the basis of possible settlements. We have begun participating in this voluntary allocation process, which is likely to take several years.



In July 2018, Vulcan, along with more than one hundred other defendants, was sued by Occidental in United States District Court for the District of New Jersey, Newark Vicinage. Occidental is seeking cost recovery and contribution under CERCLA. It is unknown at this time whether the filing of the Occidental lawsuit will impact the EPA allocation process.



In October 2018, the EPA ordered the CPG to prepare a streamlined feasibility study specifically for the upper nine miles of the River. This directive is focused on dioxin.



Efforts to remediate the River have been underway for many years and have involved hundreds of entities that have had operations on or near the River at some point during the past several decades. We formerly owned a chemicals operation near the mouth of the River, which was sold in 1974. The major risk drivers in the River have been identified as dioxins, PCBs, DDx and mercury. We did not manufacture any of these risk drivers and have no evidence that any of these were discharged into the River by Vulcan.



The AOC does not obligate us to fund or perform the remedial action contemplated by either the draft RI/FS or the ROD. Furthermore, the parties who will participate in funding the remediation and their respective allocations have not been determined. We do not agree that a bank-to-bank remedy is warranted, and we are not obligated to fund any of the remedial action at this time; nevertheless, we previously estimated the cost to be incurred by us as a potential participant in a bank-to-bank dredging remedy and recorded an immaterial loss for this matter in 2015.



§

TEXAS BRINE MATTER — During the operation of its former Chemicals Division, Vulcan secured the right to mine salt out of an underground salt dome formation in Assumption Parish, Louisiana from 1976 - 2005. Throughout that period and for all times thereafter, the Texas Brine Company (Texas Brine) was the operator contracted by Vulcan (and later Occidental) to mine and deliver the salt. We sold our Chemicals Division in 2005 and transferred our rights and interests related to the salt and mining operations to the purchaser, a subsidiary of Occidental, and we have had no association with the leased premises or Texas Brine since that time. In August 2012, a sinkhole developed in the vicinity of the Texas Brine mining operations, and numerous lawsuits were filed in state court in Assumption Parish, Louisiana. Other lawsuits, including class action litigation, were also filed in federal court before the Eastern District of Louisiana in New Orleans.



There are numerous defendants, including Texas Brine and Occidental, to the litigation in state and federal court. Vulcan was first brought into the litigation as a third-party defendant in August 2013 by Texas Brine. We have since been added as a direct and third-party defendant by other parties, including a direct claim by the State of Louisiana. Damage categories encompassed within the litigation include individual plaintiffs’ claims for property damage, a claim by the State of Louisiana for response costs and civil penalties, claims by Texas Brine for response costs and lost profits,  claims for physical damages to nearby oil and gas pipelines and storage facilities (pipelines),  and business interruption claims.



In addition to the plaintiffs’ claims, we were also sued for contractual indemnity and comparative fault by both Texas Brine and Occidental. It is alleged that the sinkhole was caused, in whole or in part, by our negligent actions or failure to act. It is also alleged that we breached the salt lease with Occidental, as well as an operating agreement and related contracts with Texas Brine; that we are strictly liable for certain property damages in our capacity as a former lessee of the salt lease; and that we violated certain covenants and conditions in the agreement under which we sold our Chemicals Division to Occidental. We have likewise made claims for contractual indemnity and on a basis of comparative fault against Texas Brine and Occidental. Vulcan and Occidental have since dismissed all of their claims against one another. Texas Brine has claims that remain pending against Vulcan and against Occidental.



A bench trial (judge only) began in September 2017 and ended in October 2017 in the pipeline cases. The trial was limited in scope to the allocation of comparative fault or liability for causing the sinkhole, with a damages phase of the trial to be held at a later date. In December 2017, the judge issued a ruling on the allocation of fault among the three defendants as follows: Occidental 50%, Texas Brine 35% and Vulcan 15%. This ruling has been appealed by the parties.



We have settled all but two outstanding cases and our insurers have funded these settlements in excess of our self-insured retention amount. The remaining cases involve Texas Brine and the State of Louisiana. Discovery remains ongoing and we cannot reasonably estimate a range of liability pertaining to these open cases at this time.



§

HEWITT LANDFILL MATTER (SUPERFUND SITE) — In September 2015, the Los Angeles Regional Water Quality Control Board (RWQCB) issued a Cleanup and Abatement Order (CAO) directing Vulcan to assess, monitor, cleanup and abate wastes that have been discharged to soil, soil vapor, and/or groundwater at the former Hewitt Landfill in Los Angeles. The CAO follows a 2014 Investigative Order from the RWQCB that sought data and a technical evaluation regarding the Hewitt Landfill, and a subsequent amendment to the Investigative Order requiring us to provide groundwater monitoring results to the RWQCB and to create and implement a work plan for further investigation of the Hewitt Landfill. In April 2016, we submitted an interim remedial action plan (IRAP) to the RWQCB, proposing an on-site pilot test of a pump and treat system; testing and implementation of a leachate recovery system; and storm water capture and conveyance improvements.



Operation of the on-site pilot-scale treatment system began in January 2017, and was completed in April 2017. With completion of the pilot testing and other investigative work, we submitted an amendment to the IRAP (AIRAP) to RWQCB in August 2017 proposing the use of a pump, treat and reinjection system. In December 2017, we submitted an addendum to the AIRAP, incorporating new data acquired since the prior submission. Based on the preliminary design of the system and ongoing costs such as groundwater monitoring, we accrued an initial $15,239,000 in 2017 (of which $14,216,000 was recorded to other operating expense in the second quarter of 2017). In February 2018, the AIRAP was approved by RWQCB. As a result of this approval, we have begun to implement the on-site source control activities described in the AIRAP, including additional bench scale testing of the treatment system, which indicated that additional pre and post treatment of the water would be required. Due to the anticipated additional treatment costs, we accrued an additional $8,640,000 of other operating expense this quarter, bringing the total accrual for the on-site system to $23,879,000.  



We are also engaged in an ongoing dialogue with the EPA, the Los Angeles Department of Water and Power, and other stakeholders regarding the potential contribution of the Hewitt Landfill to groundwater contamination in the North Hollywood Operable Unit (NHOU) of the San Fernando Valley Superfund Site. We are gathering and analyzing data and developing technical information to determine the extent of possible contribution by the Hewitt Landfill to the groundwater contamination in the area. This work is also intended to assist in identification of other PRPs that may have contributed to groundwater contamination in the area.



The EPA and Vulcan entered into an AOC and Statement of Work having an effective date of September 2017, for the design of two extraction wells south of the Hewitt Site to protect the North Hollywood West well field. In November 2017, we submitted a Pre-Design Investigation Work Plan to the EPA, which sets forth the activities and schedule for our evaluation of the need for a two-well remedy. Estimated costs to comply with this AOC are immaterial and have been accrued. Until the remedial design work and evaluation of the two-well remedy is complete, and a comprehensive remedial action for the NHOU is identified, we cannot reasonably estimate a loss pertaining to this matter.



It is not possible to predict with certainty the ultimate outcome of these and other legal proceedings in which we are involved and a number of factors, including developments in ongoing discovery or adverse rulings, or the verdict of a particular jury, could cause actual losses to differ materially from accrued costs. No liability was recorded for claims and litigation for which a loss was determined to be only reasonably possible or for which a loss could not be reasonably estimated. Legal costs incurred in defense of lawsuits are expensed as incurred. In addition, losses on certain claims and litigation described above may be subject to limitations on a per occurrence basis by excess insurance, as described in our most recent Annual Report on Form 10-K.

 

 

v3.10.0.1
ASSET RETIREMENT OBLIGATIONS
9 Months Ended
Sep. 30, 2018
ASSET RETIREMENT OBLIGATIONS [Abstract]  
ASSET RETIREMENT OBLIGATIONS

Note 9: Asset Retirement Obligations



Asset retirement obligations (AROs) are legal obligations associated with the retirement of long-lived assets resulting from the acquisition, construction, development and/or normal use of the underlying assets. Recognition of a liability for an ARO is required in the period in which it is incurred at its estimated fair value. The associated asset retirement costs are capitalized as part of the carrying amount of the underlying asset and depreciated over the estimated useful life of the asset. The liability is accreted through charges to operating expenses. If the ARO is settled for other than the carrying amount of the liability, we recognize a gain or loss on settlement.



We record all AROs for which we have legal obligations for land reclamation at estimated fair value. Essentially all these AROs relate to our underlying land, including both owned properties and mineral leases. For the three and nine month periods ended September 30, we recognized ARO operating costs related to accretion of the liabilities and depreciation of the assets as follows:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

ARO Operating Costs

 

 

 

 

 

 

 

 

 

 

 

Accretion

$        2,684 

 

 

$        2,857 

 

 

$        8,036 

 

 

$        8,620 

 

Depreciation

1,512 

 

 

1,494 

 

 

4,192 

 

 

4,741 

 

Total

$        4,196 

 

 

$        4,351 

 

 

$      12,228 

 

 

$      13,361 

 



ARO operating costs are reported in cost of revenues. AROs are reported within other noncurrent liabilities in our accompanying Condensed Consolidated Balance Sheets.



Reconciliations of the carrying amounts of our AROs are as follows:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Asset Retirement Obligations

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

$     215,421 

 

 

$     223,953 

 

 

$     218,117 

 

 

$     223,872 

 

   Liabilities incurred

 

 

731 

 

 

 

 

1,066 

 

   Liabilities settled

(2,649)

 

 

(5,263)

 

 

(10,476)

 

 

(15,739)

 

   Accretion expense

2,684 

 

 

2,857 

 

 

8,036 

 

 

8,620 

 

   Revisions, net

10,628 

 

 

610 

 

 

10,407 

 

 

5,069 

 

Balance at end of period

$     226,084 

 

 

$     222,888 

 

 

$     226,084 

 

 

$     222,888 

 



ARO liabilities settled during the first nine months of 2018 and 2017 include $6,108,000 and $8,117,000, respectively, of reclamation activities required under a development agreement and conditional use permits at two adjacent aggregates sites on owned property in Southern California. The reclamation required under the reclamation agreement will result in the restoration and development of 90 acres of previously mined property suitable for retail and commercial development.

 

 

v3.10.0.1
BENEFIT PLANS
9 Months Ended
Sep. 30, 2018
BENEFIT PLANS [Abstract]  
BENEFIT PLANS

Note 10: Benefit Plans



We sponsor three qualified, noncontributory defined benefit pension plans. These plans cover substantially all employees hired before July 2007, other than those covered by union-administered plans. Normal retirement age is 65, but the plans contain provisions for earlier retirement. Benefits for the Salaried Plan and the Chemicals Hourly Plan are generally based on salaries or wages and years of service; the Construction Materials Hourly Plan provides benefits equal to a flat dollar amount for each year of service. In addition to these qualified plans, we sponsor three unfunded, nonqualified pension plans.



Effective July 2007, we amended our defined benefit pension plans to no longer accept new participants. Future benefit accruals for participants in our salaried defined benefit pension plans ceased on December 31, 2013, while participants’ earnings considered for benefit calculations were frozen on December 31, 2015.



The following table sets forth the components of net periodic pension benefit cost:





 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

PENSION BENEFITS

Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Components of Net Periodic Benefit Cost

 

 

 

 

 

 

 

 

 

 

 

Service cost

$        1,429 

 

 

$        1,653 

 

 

$        4,287 

 

 

$        4,961 

 

Interest cost

8,876 

 

 

9,057 

 

 

26,627 

 

 

27,172 

 

Expected return on plan assets

(14,797)

 

 

(12,097)

 

 

(44,391)

 

 

(36,289)

 

Amortization of prior service cost

335 

 

 

335 

 

 

1,005 

 

 

1,005 

 

Amortization of actuarial loss

2,457 

 

 

1,824 

 

 

7,370 

 

 

5,471 

 

Net periodic pension benefit cost (credit)

$       (1,700)

 

 

$           772 

 

 

$       (5,102)

 

 

$        2,320 

 

Pretax reclassifications from AOCI included in

 

 

 

 

 

 

 

 

 

 

 

  net periodic pension benefit cost

$        2,792 

 

 

$        2,159 

 

 

$        8,375 

 

 

$        6,476 

 



The contributions to pension plans for the nine months ended September 30, 2018 and 2017, as reflected on the Condensed Consolidated Statements of Cash Flows, pertain to benefit payments under nonqualified plans and discretionary qualified plan contributions of $100,000,000 for the first quarter of 2018 and $10,600,000 for the third quarter of 2017.



In addition to pension benefits, we provide certain healthcare and life insurance benefits for some retired employees. In 2012, we amended our postretirement healthcare plan to cap our portion of the medical coverage cost at the 2015 level. Substantially all our salaried employees and, where applicable, certain of our hourly employees may become eligible for these benefits if they reach a qualifying age and meet certain service requirements. Generally, Company-provided healthcare benefits end when covered individuals become eligible for Medicare benefits, become eligible for other group insurance coverage or reach age 65, whichever occurs first.



The following table sets forth the components of net periodic other postretirement benefit cost:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

OTHER POSTRETIREMENT BENEFITS

Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Components of Net Periodic Benefit Cost

 

 

 

 

 

 

 

 

 

 

 

Service cost

$           339 

 

 

$           292 

 

 

$        1,018 

 

 

$           875 

 

Interest cost

310 

 

 

315 

 

 

930 

 

 

945 

 

Amortization of prior service credit

(991)

 

 

(1,059)

 

 

(2,972)

 

 

(3,177)

 

Amortization of actuarial gain

(324)

 

 

(397)

 

 

(973)

 

 

(1,190)

 

Net periodic postretirement benefit credit

$          (666)

 

 

$          (849)

 

 

$       (1,997)

 

 

$       (2,547)

 

Pretax reclassifications from AOCI included in

 

 

 

 

 

 

 

 

 

 

 

  net periodic postretirement benefit credit

$       (1,315)

 

 

$       (1,456)

 

 

$       (3,945)

 

 

$       (4,367)

 



We present the service cost component of net periodic benefit cost in cost of revenues and selling, administrative and general expense consistent with employee compensation costs. The other components of net periodic benefit cost (credit) are reported within other nonoperating income in our accompanying Condensed Consolidated Statements of Comprehensive Income.

 

 

v3.10.0.1
OTHER COMPREHENSIVE INCOME
9 Months Ended
Sep. 30, 2018
OTHER COMPREHENSIVE INCOME [Abstract]  
OTHER COMPREHENSIVE INCOME

Note 11: other Comprehensive Income



Comprehensive income comprises two subsets: net earnings and other comprehensive income (OCI). The components of other comprehensive income are presented in the accompanying Condensed Consolidated Statements of Comprehensive Income, net of applicable taxes.



Amounts in accumulated other comprehensive income (AOCI), net of tax, are as follows:







 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 



 

 

September 30

 

 

December 31

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2017 

 

AOCI

 

 

 

 

 

 

 

 

Interest rate hedges

$        (8,771)

 

 

$      (11,438)

 

 

$      (11,464)

 

Pension and postretirement plans

(134,754)

 

 

(138,028)

 

 

(124,795)

 

Total

$    (143,525)

 

 

$    (149,466)

 

 

$    (136,259)

 



Changes in AOCI, net of tax, for the nine months ended September 30, 2018 are as follows:







 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

Pension and 

 

 

 

 



Interest Rate

 

 

Postretirement

 

 

 

 

in thousands

Hedges

 

 

Benefit Plans

 

 

Total

 

AOCI

 

 

 

 

 

 

 

 

Balance as of December 31, 2017

$       (11,438)

 

 

$     (138,028)

 

 

$     (149,466)

 

Other comprehensive income

 

 

 

 

 

 

 

 

  before reclassifications

2,496 

 

 

 

 

2,496 

 

Amounts reclassified from AOCI

171 

 

 

3,274 

 

 

3,445 

 

Net current period OCI changes

2,667 

 

 

3,274 

 

 

5,941 

 

Balance as of September 30, 2018

$         (8,771)

 

 

$     (134,754)

 

 

$     (143,525)

 



Amounts reclassified from AOCI to earnings, are as follows:





 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended

 

 

Nine Months Ended

 



 

 

September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Amortization of Interest Rate Hedge Losses

 

 

 

 

 

 

 

 

 

 

 

Interest expense

$              72 

 

 

$         1,955 

 

 

$            232 

 

 

$         3,022 

 

Benefit from income taxes

(19)

 

 

(767)

 

 

(61)

 

 

(1,186)

 

Total 1

$              53 

 

 

$         1,188 

 

 

$            171 

 

 

$         1,836 

 

Amortization of Pension and Postretirement

 

 

 

 

 

 

 

 

 

 

 

  Plan Actuarial Loss and Prior Service Cost

 

 

 

 

 

 

 

 

 

 

 

Other nonoperating income

$         1,477 

 

 

$            703 

 

 

$         4,430 

 

 

$         2,109 

 

Benefit from income taxes

(386)

 

 

(276)

 

 

(1,156)

 

 

(828)

 

Total

$         1,091 

 

 

$            427 

 

 

$         3,274 

 

 

$         1,281 

 

Total reclassifications from AOCI to earnings

$         1,144 

 

 

$         1,615 

 

 

$         3,445 

 

 

$         3,117 

 





 

Totals for 2017 include the acceleration of deferred losses on interest rate hedges (see Note 6) referable to debt purchases (see Note 7).

 

 

v3.10.0.1
EQUITY
9 Months Ended
Sep. 30, 2018
EQUITY [Abstract]  
EQUITY

Note 12: Equity



Our capital stock consists solely of common stock, par value $1.00 per share. Holders of our common stock are entitled to one vote per share. Our Certificate of Incorporation also authorizes 5,000,000 shares of preferred stock of which no shares have been issued. The terms and provisions of such shares will be determined by our Board of Directors upon any issuance in accordance with our Certificate of Incorporation.



There were no shares held in treasury as of September 30, 2018, December 31, 2017 and September 30, 2017.



Our common stock purchases (all of which were open market purchases) and subsequent retirements are summarized below:







 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 



September 30

 

 

December 31

 

 

September 30

 

in thousands, except average price

2018 

 

 

2017 

 

 

2017 

 

Shares Purchased and Retired

 

 

 

 

 

 

 

 

Number

866 

 

 

510 

 

 

510 

 

Total purchase price

$       99,916 

 

 

$        60,303 

 

 

$        60,303 

 

Average price per share

$       115.31 

 

 

$        118.18 

 

 

$        118.18 

 



As of September 30, 2018, 8,623,227 shares may be purchased under the current purchase authorization of our Board of Directors.



Changes in total equity are summarized below:







 

 

 

 

 

 

 

 

 

 

 

 

 

 

"

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

Three Months Ended

 

 

Nine Months Ended

 



 

 

 

September 30

 

 

September 30

 

in thousands

 

 

 

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Total Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

 

$    5,020,630 

 

 

$    4,602,104 

 

 

$    4,968,893 

 

 

$    4,572,476 

 

Net earnings

 

 

179,151 

 

 

108,579 

 

 

391,783 

 

 

273,639 

 

Common stock issued

 

 

 

 

 

 

 

 

 

 

 

 

 

   Share-based compensation plans, net of shares

 

 

 

 

 

 

 

 

 

 

 

 

 

      withheld for taxes

 

 

(32)

 

 

(377)

 

 

(31,370)

 

 

(24,485)

 

Purchase and retirement of common stock

 

 

(24,995)

 

 

 

 

(99,916)

 

 

(60,303)

 

Share-based compensation expense

 

 

6,887 

 

 

6,282 

 

 

21,650 

 

 

19,953 

 

Cash dividends on common stock

 

 

 

 

 

 

 

 

 

 

 

 

 

   ($0.28/$0.25/$0.84/$0.75 per share, respectively)

 

 

(36,996)

 

 

(33,069)

 

 

(111,192)

 

 

(99,263)

 

Other comprehensive income

 

 

1,144 

 

 

1,615 

 

 

5,941 

 

 

3,117 

 

Balance at end of period

 

 

$    5,145,789 

 

 

$    4,685,134 

 

 

$    5,145,789 

 

 

$    4,685,134 

 



 

 

v3.10.0.1
SEGMENT REPORTING
9 Months Ended
Sep. 30, 2018
SEGMENT REPORTING [Abstract]  
SEGMENT REPORTING

Note 13: Segment Reporting



We have four operating (and reportable) segments organized around our principal product lines: Aggregates, Asphalt, Concrete and Calcium. The vast majority of our activities are domestic. We sell a relatively small amount of construction aggregates outside the United States. Our Asphalt and Concrete segments are primarily supplied with their aggregates requirements from our Aggregates segment. These intersegment sales are made at local market prices for the particular grade and quality of product used in the production of asphalt mix and ready-mixed concrete. Management reviews earnings from the product line reporting segments principally at the gross profit level.





segment financial disclosure





 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Total Revenues

 

 

 

 

 

 

 

 

 

 

 

Aggregates 1

$     983,731 

 

 

$     858,699 

 

 

$  2,639,653 

 

 

$  2,326,585 

 

Asphalt 2

231,700 

 

 

189,940 

 

 

547,363 

 

 

461,474 

 

Concrete

101,719 

 

 

115,485 

 

 

309,404 

 

 

309,448 

 

Calcium

1,912 

 

 

1,965 

 

 

6,136 

 

 

5,822 

 

Segment sales

$  1,319,062 

 

 

$  1,166,089 

 

 

$  3,502,556 

 

 

$  3,103,329 

 

Aggregates intersegment sales

(78,865)

 

 

(71,374)

 

 

(207,734)

 

 

(190,523)

 

Total revenues

$  1,240,197 

 

 

$  1,094,715 

 

 

$  3,294,822 

 

 

$  2,912,806 

 

Gross Profit

 

 

 

 

 

 

 

 

 

 

 

Aggregates 3

$     303,787 

 

 

$     257,751 

 

 

$     735,484 

 

 

$     647,961 

 

Asphalt 3

23,857 

 

 

31,205 

 

 

49,853 

 

 

68,447 

 

Concrete 3 

14,587 

 

 

14,138 

 

 

38,098 

 

 

33,616 

 

Calcium

911 

 

 

664 

 

 

2,226 

 

 

1,972 

 

Total

$     343,142 

 

 

$     303,758 

 

 

$     825,661 

 

 

$     751,996 

 

Depreciation, Depletion, Accretion

 

 

 

 

 

 

 

 

 

 

 

  and Amortization (DDA&A)

 

 

 

 

 

 

 

 

 

 

 

Aggregates

$       72,729 

 

 

$       64,071 

 

 

$     208,420 

 

 

$     182,559 

 

Asphalt

8,428 

 

 

6,494 

 

 

22,728 

 

 

18,841 

 

Concrete

3,041 

 

 

3,591 

 

 

9,504 

 

 

10,286 

 

Calcium

68 

 

 

180 

 

 

207 

 

 

567 

 

Other

5,124 

 

 

5,300 

 

 

15,604 

 

 

15,721 

 

Total

$       89,390 

 

 

$       79,636 

 

 

$     256,463 

 

 

$     227,974 

 

Identifiable Assets 4

 

 

 

 

 

 

 

 

 

 

 

Aggregates

 

 

 

 

 

 

$  8,890,421 

 

 

$  7,974,915 

 

Asphalt

 

 

 

 

 

 

551,336 

 

 

355,171 

 

Concrete

 

 

 

 

 

 

278,487 

 

 

233,565 

 

Calcium

 

 

 

 

 

 

4,288 

 

 

3,505 

 

Total identifiable assets

 

 

 

 

 

 

$  9,724,532 

 

 

$  8,567,156 

 

General corporate assets

 

 

 

 

 

 

108,034 

 

 

171,015 

 

Cash and cash equivalents and restricted cash

 

 

 

 

 

 

43,069 

 

 

701,163 

 

Total

 

 

 

 

 

 

$  9,875,635 

 

 

$  9,439,334 

 







 

Includes product sales, as well as freight & delivery costs that we pass along to our customers, and service revenues related to aggregates.

Includes product sales, as well as service revenues from our asphalt construction paving business.

The 2017 amounts have been revised as a result of our adoption of ASU 2017-07 as described in Note 17.

Certain temporarily idled assets are included within a segment's Identifiable Assets but the associated DDA&A is shown within Other in the DDA&A section above as the related DDA&A is excluded from segment gross profit.

 

 

v3.10.0.1
SUPPLEMENTAL CASH FLOW INFORMATION
9 Months Ended
Sep. 30, 2018
SUPPLEMENTAL CASH FLOW INFORMATION [Abstract]  
SUPPLEMENTAL CASH FLOW INFORMATION

Note 14: Supplemental Cash Flow Information



Supplemental information referable to our Condensed Consolidated Statements of Cash Flows is summarized below:







 

 

 

 

 



 

 

 

 

 



Nine Months Ended

 



September 30

 

in thousands

2018 

 

 

2017 

 

Cash Payments (Refunds)

 

 

 

 

 

Interest (exclusive of amount capitalized)

$       82,339 

 

 

$     118,157 

 

Income taxes

(99,585)

 

 

124,121 

 

Noncash Investing and Financing Activities

 

 

 

 

 

Accrued liabilities for purchases of property, plant & equipment

$       30,588 

 

 

$       10,602 

 

Amounts referable to business acquisitions

 

 

 

 

 

  Liabilities assumed

5,056 

 

 

1,935 

 

  Consideration payable to seller

9,500 

 

 

 

 

 

v3.10.0.1
GOODWILL
9 Months Ended
Sep. 30, 2018
GOODWILL [Abstract]  
GOODWILL

Note 15: Goodwill



Goodwill is recognized when the consideration paid for a business exceeds the fair value of the tangible and identifiable intangible assets acquired. Goodwill is allocated to reporting units for purposes of testing goodwill for impairment. There were no charges for goodwill impairment in the nine month periods ended September 30, 2018 and 2017. Accumulated goodwill impairment losses amount to $252,664,000 in the Calcium segment.



We have four reportable segments organized around our principal product lines: Aggregates, Asphalt, Concrete and Calcium. Changes in the carrying amount of goodwill by reportable segment from December 31, 2017 to September 30, 2018 are summarized below:







 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Goodwill

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total as of December 31, 2017

$    3,030,688 

 

 

$     91,633 

 

 

$              0 

 

 

$              0 

 

 

$    3,122,321 

 

Goodwill of acquired businesses 1

47,294 

 

 

 

 

 

 

 

 

47,294 

 

Total as of September 30, 2018

$    3,077,982 

 

 

$     91,633 

 

 

$              0 

 

 

$              0 

 

 

$    3,169,615 

 







 

1

See Note 16 for a summary of acquisitions.



We test goodwill for impairment on an annual basis or more frequently if events or circumstances change in a manner that would more likely than not reduce the fair value of a reporting unit below its carrying value. A decrease in the estimated fair value of one or more of our reporting units could result in the recognition of a material, noncash write-down of goodwill.

 

 

v3.10.0.1
ACQUISITIONS AND DIVESTITURES
9 Months Ended
Sep. 30, 2018
ACQUISITIONS AND DIVESTITURES [Abstract]  
ACQUISITIONS AND DIVESTITURES

Note 16: Acquisitions and Divestitures



BUSINESS ACQUISITIONS



2018 BUSINESS ACQUISITIONSThrough the nine months ended September 30, 2018, we purchased the following operations for total consideration of $216,581,000:



§

Alabama — aggregates, asphalt mix and construction paving operations

§

California — asphalt mix operations

§

Texas — aggregates rail yards, asphalt mix and construction paving operations



The 2018 acquisitions listed above are reported in our condensed consolidated financial statements as of their respective acquisition dates. None of these acquisitions are material to our results of operations or financial position either individually or collectively. The fair value of consideration transferred for these acquisitions and the preliminary amounts (pending appraisals for intangible assets and property, plant & equipment) of assets acquired and liabilities assumed, are summarized below:





 

 



 

 



September 30

 

in thousands

2018 

 

Fair Value of Purchase Consideration

 

 

Cash

$     207,081 

 

Payable to seller

9,500 

 

Total fair value of purchase consideration

$     216,581 

 

Identifiable Assets Acquired and Liabilities Assumed

 

 

Accounts and notes receivable, net

$       16,434 

 

Inventories

11,904 

 

Other current assets

932 

 

Property, plant & equipment

145,935 

 

Other intangible assets

 

 

  Contractual rights in place

41,497 

 

Deferred income taxes, net

(34,808)

 

Liabilities assumed

(11,615)

 

Net identifiable assets acquired

$     170,279 

 

Goodwill

$       46,302 

 



As a result of the 2018 acquisitions, we recognized $41,497,000 of amortizable intangible assets (contractual rights in place). The contractual rights in place will be amortized against earnings ($40,417,000 – straight-line over a weighted-average 20 years and $1,080,000 – units of sales over an excess of 30 years) of which $4,720,000 will be deductible for income tax purposes over 15 years. Of the $46,302,000 of goodwill noted above (none of which will be deductible for income tax purposes), $34,808,000 represents the balance of deferred tax liabilities generated from carrying over the seller’s tax basis in the assets acquired.





2017 BUSINESS ACQUISITIONSFor the full year 2017, we purchased the following operations for total consideration of $842,013,000  ($822,432,000 cash, $9,681,000 payable, $9,900,000 fair value of assets swapped), less $287,292,000 cash received for assets divested immediately upon acquisition as required by the Department of Justice:



§

Arizona — asphalt mix operations

§

California — aggregates and ready-mixed concrete operations

§

Florida — aggregates operations

§

Georgia — aggregates operations

§

Illinois — aggregates operations

§

New Mexico — aggregates operations

§

South Carolina — aggregates operations

§

Tennessee — aggregates, asphalt mix and construction paving operations

§

Virginia — aggregates and ready-mixed concrete operations



The fair value of consideration transferred for the 2017 acquisitions considered to be material, and the preliminary amounts at December 31, 2017 (immaterial adjustments were recorded in the first and second quarters of 2018 including an increase to goodwill of $992,000) of assets acquired and liabilities assumed, are summarized below:









 

 



 

 



December 31

 

in thousands

2017 

 

Fair Value of Purchase Consideration

 

 

Cash

$  1,072,978 

 

Payable to seller

7,837 

 

Total fair value of purchase consideration

$  1,080,815 

 

Identifiable Assets Acquired and Liabilities Assumed

 

 

Accounts and notes receivable, net

$       14,955 

 

Inventories

21,679 

 

Other current assets

608 

 

Investments

3,590 

 

Property, plant & equipment

433,606 

 

Other intangible assets

 

 

  Contractual rights in place

295,482 

 

Liabilities assumed

(3,894)

 

Net identifiable assets acquired

$     766,026 

 

Goodwill

$       27,497 

 

Net Assets Divested Immediately Upon Acquisition

$     287,292 

 



As a result of the 2017 acquisitions, we recognized $309,112,000 of amortizable intangible assets ($309,012,000 contractual rights in place and $100,000 other intangibles). The contractual rights in place will be amortized against earnings ($73,879,000 – straight-line over a weighted-average 19.3 years and $235,133,000 – units of sales over an estimated 54.7 years) and deductible for income tax purposes over 15 years.



DIVESTITURES AND PENDING DIVESTITURES



In the first quarter of 2018, we sold:

§

ready-mixed concrete operations in Georgia resulting in a pretax gain of $2,929,000 (we retained all real property which is leased to the buyer, and obtained a long-term aggregates supply agreement)

In 2017, we sold:

§

Fourth quarter — swapped ready-mixed concrete operations in Arizona (fair value of $9,900,000 and book value of $1,879,000) for an asphalt mix operation in Arizona resulting in a pretax gain of $8,021,000

§

Fourth quarter — as required by the Department of Justice, we immediately divested certain assets obtained in the Aggregates USA acquisition resulting in no gain



No assets met the criteria for held for sale at September 30, 2018, December 31, 2017 or September 30, 2017.



 

 

v3.10.0.1
NEW ACCOUNTING STANDARDS
9 Months Ended
Sep. 30, 2018
NEW ACCOUNTING STANDARDS [Abstract]  
NEW ACCOUNTING STANDARDS

Note 17: New Accounting Standards



ACCOUNTING STANDARDS RECENTLY ADOPTED



PRESENTATION OF BENEFIT PLAN COSTS  During the first quarter of 2018, we adopted Accounting Standards Update (ASU) 2017-07, “Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” on a retrospective basis as required. This ASU changed the presentation of the net benefit cost in the income statement and limits benefit costs eligible for inventory capitalization to the service cost component (benefit costs capitalized in inventory are immaterial to our financial statements). We continue to present the service cost component of net benefit cost in cost of revenues and selling, administrative and general expenses consistent with employee compensation costs. The other components of net benefit cost (credit) are now included in other nonoperating income. These other components were a net credit for all periods presented resulting in a decrease in operating earnings and an increase in other nonoperating income, as follows: three months ended September 30, 2018 of $4,135,000; three months ended September 30, 2017 of $2,021,000; nine months ended September 30, 2018 of $12,404,000; and nine months ended September 30, 2017 of $6,062,000.





ACCOUNTING STANDARDS PENDING ADOPTION



defined benefit plans  In August 2018, the Financial Accounting Standards Board (FASB) issued ASU 2018-14, “Changes to the Disclosure Requirements for Defined Benefit Plans,” which adds, removes and clarifies the disclosure requirements for employers that sponsor defined benefit pension and other postretirement benefit plans. ASU 2018-14 is effective for fiscal years ending after December 15, 2021 and is to be applied retrospectively. Early adoption is permitted. While we are still evaluating the impact of ASU 2018-14 and whether we will early adopt, it will not impact our consolidated financial statements as it only affects disclosure.



RELEASING STRANDED TAX EFFECTS  In February 2018, the FASB issued ASU 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income,” which allows for the reclassification from accumulated other comprehensive income (AOCI) to retained earnings of stranded tax effects resulting from the TCJA enacted in December 2017. This ASU also requires entities to disclose their accounting policy for releasing income tax effects from AOCI. ASU 2018-02 is effective for fiscal years beginning after December 15, 2018. We expect to early adopt this standard in the fourth quarter of 2018 effective as of the beginning of the year. While we are still evaluating the impact of ASU 2018-02, we do not expect the adoption of this standard to have a material impact on our consolidated financial statements.



CREDIT LOSSES  In June 2016, the FASB issued ASU 2016-13, “Measurement of Credit Losses on Financial Instruments,” which amends guidance on the impairment of financial instruments. The new guidance estimates credit losses based on expected losses, modifies the impairment model for available-for-sale debt securities and provides for a simplified accounting model for purchased financial assets with credit deterioration. ASU 2016-13 is effective for annual reporting periods beginning after December 15, 2019, and interim reporting periods within those annual reporting periods. Early adoption is permitted for annual reporting periods beginning after December 15, 2018. While we are still evaluating the impact of ASU 2016-13, we do not expect the adoption of this standard to have a material impact on our consolidated financial statements.



LEASE ACCOUNTING  In February 2016, the FASB issued ASU 2016-02, “Leases,” which amends existing accounting standards for lease accounting and adds additional disclosures about leasing arrangements. Under the new guidance, lessees are required to recognize lease assets and lease liabilities on the balance sheet for all leases (excluding mineral leases) with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement and presentation of cash flow in the statement of cash flows. This ASU is effective for annual reporting periods beginning after December 15, 2018, and interim reporting periods within those annual reporting periods. We will adopt this standard in the first quarter of 2019 and will elect not to recast comparative periods presented.  We continue to evaluate the impact of this standard on our consolidated financial statements. The majority of our leases are for real property (land and buildings), which we have determined will be treated as operating leases under this ASU. As a result, we anticipate recording a right-of-use asset and related lease liability for these leases, but we do not expect our expense recognition pattern to change. Therefore, we do not anticipate a material change to our statements of comprehensive income or cash flows as a result of adopting this standard.

 

 

v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
9 Months Ended
Sep. 30, 2018
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]  
NATURE OF OPERATIONS

NATURE OF OPERATIONS



Vulcan Materials Company (the “Company,” “Vulcan,” “we,” “our”), a New Jersey corporation, is the nation's largest supplier of construction aggregates (primarily crushed stone, sand and gravel) and a major producer of asphalt mix and ready-mixed concrete.



We operate primarily in the United States and our principal product — aggregates — is used in virtually all types of public and private construction projects and in the production of asphalt mix and ready-mixed concrete. We serve markets in twenty states, Washington D.C., and the local markets surrounding our operations in Mexico and the Bahamas. Our primary focus is serving metropolitan markets in the United States that are expected to experience the most significant growth in population, households and employment. These three demographic factors are significant drivers of demand for aggregates. While aggregates is our focus and primary business, we produce and sell asphalt mix and/or ready-mixed concrete in our Alabama, mid-Atlantic, Southwestern, Tennessee and Western markets.

BASIS OF PRESENTATION

BASIS OF PRESENTATION



Our accompanying unaudited condensed consolidated financial statements were prepared in compliance with the instructions to Form 10-Q and Article 10 of Regulation S-X and thus do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America (GAAP) for complete financial statements. We prepared the accompanying condensed consolidated financial statements on the same basis as our annual financial statements, except for the adoption of new accounting standards as described in Note 17. Our Condensed Consolidated Balance Sheet as of December 31, 2017 was derived from the audited financial statement, but it does not include all disclosures required by GAAP. In the opinion of our management, the statements reflect all adjustments, including those of a normal recurring nature, necessary to present fairly the results of the reported interim periods. Operating results for the three and nine month periods ended September 30, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018. For further information, refer to the consolidated financial statements and footnotes included in our most recent Annual Report on Form 10-K.



Due to the 2005 sale of our Chemicals business as described in Note 2, the results of the Chemicals business are presented as discontinued operations in the accompanying Condensed Consolidated Statements of Comprehensive Income.

RECLASSIFICATIONS

RECLASSIFICATIONS



Certain items previously reported in specific financial statement captions have been reclassified to conform to the 2018 presentation including Accounting Standards Update (ASU) 2017-07, “Improving the Presentation of Net Periodic Benefit Cost and Net Periodic Postretirement Benefit Cost,” which resulted in the reclassification of certain benefit costs from operating income to nonoperating income as described in Note 17.

RESTRICTED CASH

RESTRICTED CASH



Restricted cash consists of cash proceeds from the sale of property held in escrow for the acquisition of replacement property under like-kind exchange agreements and cash reserved by other contractual agreements (such as asset purchase agreements) for a specified purpose and therefore is not available for use for other purposes. The escrow accounts are administered by an intermediary. Cash restricted pursuant to like-kind exchange agreements remains restricted for a maximum of 180 days from the date of the property sale pending the acquisition of replacement property. Restricted cash is included with cash and cash equivalents in the accompanying Condensed Consolidated Statements of Cash Flows.

EARNINGS PER SHARE (EPS)

EARNINGS PER SHARE (EPS)



Earnings per share are computed by dividing net earnings by the weighted-average common shares outstanding (basic EPS) or weighted-average common shares outstanding assuming dilution (diluted EPS), as set forth below:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Weighted-average common shares

 

 

 

 

 

 

 

 

 

 

 

  outstanding

132,392 

 

 

132,484 

 

 

132,505 

 

 

132,510 

 

Dilutive effect of

 

 

 

 

 

 

 

 

 

 

 

   Stock-Only Stock Appreciation Rights

905 

 

 

1,249 

 

 

1,021 

 

 

1,305 

 

   Other stock compensation plans

597 

 

 

1,032 

 

 

553 

 

 

1,038 

 

Weighted-average common shares

 

 

 

 

 

 

 

 

 

 

 

  outstanding, assuming dilution

133,894 

 

 

134,765 

 

 

134,079 

 

 

134,853 

 



All dilutive common stock equivalents are reflected in our earnings per share calculations. In periods of loss, shares that otherwise would have been included in our diluted weighted-average common shares outstanding computation would be excluded.



Antidilutive common stock equivalents are not included in our earnings per share calculations. The number of antidilutive common stock equivalents for which the exercise price exceeds the weighted-average market price is as follows:







 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Antidilutive common stock equivalents

162 

 

 

79 

 

 

161 

 

 

79 

 



v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
9 Months Ended
Sep. 30, 2018
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]  
Weighted-Average Common Shares Outstanding Assuming Dilution



 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Weighted-average common shares

 

 

 

 

 

 

 

 

 

 

 

  outstanding

132,392 

 

 

132,484 

 

 

132,505 

 

 

132,510 

 

Dilutive effect of

 

 

 

 

 

 

 

 

 

 

 

   Stock-Only Stock Appreciation Rights

905 

 

 

1,249 

 

 

1,021 

 

 

1,305 

 

   Other stock compensation plans

597 

 

 

1,032 

 

 

553 

 

 

1,038 

 

Weighted-average common shares

 

 

 

 

 

 

 

 

 

 

 

  outstanding, assuming dilution

133,894 

 

 

134,765 

 

 

134,079 

 

 

134,853 

 



Antidilutive Common Stock Equivalents



 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Antidilutive common stock equivalents

162 

 

 

79 

 

 

161 

 

 

79 

 



v3.10.0.1
DISCONTINUED OPERATIONS (Tables)
9 Months Ended
Sep. 30, 2018
DISCONTINUED OPERATIONS [Abstract]  
Results from Discontinued Operations



 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Discontinued Operations

 

 

 

 

 

 

 

 

 

 

 

Pretax earnings (loss)

$          (969)

 

 

$       (1,282)

 

 

$       (2,417)

 

 

$      13,614 

 

Income tax (expense) benefit

256 

 

 

(289)

 

 

639 

 

 

(5,397)

 

Earnings (loss) on discontinued operations,

 

 

 

 

 

 

 

 

 

 

 

  net of tax

$          (713)

 

 

$       (1,571)

 

 

$       (1,778)

 

 

$        8,217 

 



v3.10.0.1
REVENUES (Tables)
9 Months Ended
Sep. 30, 2018
REVENUES [Abstract]  
Revenues by Geographic Market



Our segment total revenues by geographic market for the three and nine month periods ended September 30, 2018 and 2017 are disaggregated as follows:





 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended September 30, 2018

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Total Revenues by Geographic Market 1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

East

$     331,147 

 

 

$     52,263 

 

 

$     65,971 

 

 

$              0 

 

 

$      449,381 

 

Gulf Coast

489,299 

 

 

47,220 

 

 

14,441 

 

 

1,912 

 

 

552,872 

 

West

163,285 

 

 

132,217 

 

 

21,307 

 

 

 

 

316,809 

 

Segment sales

$     983,731 

 

 

$   231,700 

 

 

$   101,719 

 

 

$       1,912 

 

 

$   1,319,062 

 

Intersegment sales

(78,865)

 

 

 

 

 

 

 

 

(78,865)

 

Total revenues

$     904,866 

 

 

$   231,700 

 

 

$   101,719 

 

 

$       1,912 

 

 

$   1,240,197 

 





 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended September 30, 2017

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Total Revenues by Geographic Market 1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

East

$     317,363 

 

 

$     39,445 

 

 

$     66,573 

 

 

$              0 

 

 

$      423,381 

 

Gulf Coast

393,694 

 

 

21,571 

 

 

26,505 

 

 

1,965 

 

 

443,735 

 

West

147,642 

 

 

128,924 

 

 

22,407 

 

 

 

 

298,973 

 

Segment sales

$     858,699 

 

 

$   189,940 

 

 

$   115,485 

 

 

$       1,965 

 

 

$   1,166,089 

 

Intersegment sales

(71,374)

 

 

 

 

 

 

 

 

(71,374)

 

Total revenues

$     787,325 

 

 

$   189,940 

 

 

$   115,485 

 

 

$       1,965 

 

 

$   1,094,715 

 





 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Nine Months Ended September 30, 2018

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Total Revenues by Geographic Market 1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

East

$     827,605 

 

 

$    113,331 

 

 

$    197,146 

 

 

$               0 

 

 

$    1,138,082 

 

Gulf Coast

1,377,568 

 

 

100,708 

 

 

57,994 

 

 

6,136 

 

 

1,542,406 

 

West

434,480 

 

 

333,324 

 

 

54,264 

 

 

 

 

822,068 

 

Segment sales

$  2,639,653 

 

 

$    547,363 

 

 

$    309,404 

 

 

$        6,136 

 

 

$    3,502,556 

 

Intersegment sales

(207,734)

 

 

 

 

 

 

 

 

(207,734)

 

Total revenues

$  2,431,919 

 

 

$    547,363 

 

 

$    309,404 

 

 

$        6,136 

 

 

$    3,294,822 

 





 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Nine Months Ended September 30, 2017

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Total Revenues by Geographic Market 1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

East

$     781,125 

 

 

$     78,599 

 

 

$   180,470 

 

 

$              0 

 

 

$    1,040,194 

 

Gulf Coast

1,145,700 

 

 

64,051 

 

 

78,313 

 

 

5,822 

 

 

1,293,886 

 

West

399,760 

 

 

318,824 

 

 

50,665 

 

 

 

 

769,249 

 

Segment sales

$  2,326,585 

 

 

$   461,474 

 

 

$   309,448 

 

 

$       5,822 

 

 

$    3,103,329 

 

Intersegment sales

(190,523)

 

 

 

 

 

 

 

 

(190,523)

 

Total revenues

$  2,136,062 

 

 

$   461,474 

 

 

$   309,448 

 

 

$       5,822 

 

 

$    2,912,806 

 





 

The geographic markets are defined by states/countries as follows:



 

East market — Arkansas, Delaware, Illinois, Kentucky, Maryland, North Carolina, Pennsylvania, Tennessee, Virginia, and Washington D.C.

Gulf Coast marketAlabama, Florida, Georgia, Louisiana, Mexico, Mississippi, Oklahoma, South Carolina, Texas and the Bahamas

West market — Arizona, California and New Mexico



Freight & Delivery Revenues









 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Freight & Delivery Revenues

 

 

 

 

 

 

 

 

 

 

 

Total revenues

$  1,240,197 

 

 

$  1,094,715 

 

 

$  3,294,822 

 

 

$  2,912,806 

 

   Freight & delivery revenues 1

(175,194)

 

 

(143,664)

 

 

(476,491)

 

 

(397,934)

 

Total revenues excluding freight & delivery

$  1,065,003 

 

 

$     951,051 

 

 

$  2,818,331 

 

 

$  2,514,872 

 





 

Includes freight & delivery to remote distribution sites.



Reconciliation of Deferred Revenue Balances



 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Deferred Revenue

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

$     196,296 

 

 

$     203,100 

 

 

$     199,556 

 

 

$     206,468 

 

  Revenue recognized from deferred revenue

(1,997)

 

 

(1,903)

 

 

(5,257)

 

 

(5,271)

 

Balance at end of period

$     194,299 

 

 

$     201,197 

 

 

$     194,299 

 

 

$     201,197 

 



v3.10.0.1
FAIR VALUE MEASUREMENTS (Tables)
9 Months Ended
Sep. 30, 2018
FAIR VALUE MEASUREMENTS [Abstract]  
Fair Value Measurement on Recurring Basis



 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 



Level 1 Fair Value



September 30

 

 

December 31

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2017 

 

Fair Value Recurring

 

 

 

 

 

 

 

 

Rabbi Trust

 

 

 

 

 

 

 

 

  Mutual funds

$       21,504 

 

 

$       20,348 

 

 

$         7,431 

 

  Equities

 

 

 

 

12,825 

 

Total

$       21,504 

 

 

$       20,348 

 

 

$       20,256 

 





 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 



Level 2 Fair Value



September 30

 

 

December 31

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2017 

 

Fair Value Recurring

 

 

 

 

 

 

 

 

Rabbi Trust

 

 

 

 

 

 

 

 

  Money market mutual fund

$        1,332 

 

 

$        1,203 

 

 

$           386 

 

Total

$        1,332 

 

 

$        1,203 

 

 

$           386 

 



v3.10.0.1
DERIVATIVE INSTRUMENTS (Tables)
9 Months Ended
Sep. 30, 2018
DERIVATIVE INSTRUMENTS [Abstract]  
Effects of Changes in Fair Values of Derivatives Designated as Cash Flow Hedges



 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended

 

 

Nine Months Ended

 



Location on

 

September 30

 

 

September 30

 

in thousands

Statement

 

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Interest Rate Hedges

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss reclassified from AOCI

Interest

 

 

 

 

 

 

 

 

 

 

 

 

  (effective portion)

expense

 

$           (72)

 

 

$      (1,955)

 

 

$         (232)

 

 

$      (3,022)

 



v3.10.0.1
DEBT (Tables)
9 Months Ended
Sep. 30, 2018
DEBT [Abstract]  
Debt







 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 



 

 

Effective

 

September 30

 

 

December 31

 

 

September 30

 

in thousands

Interest Rates

 

2018 

 

 

2017 

 

 

2017 

 

Short-term Debt

 

 

 

 

 

 

 

 

 

 

Bank line of credit expires 2021 1, 2

1.25% 

 

$        200,000 

 

 

$                0 

 

 

$                0 

 

Total short-term debt

 

 

$        200,000 

 

 

$                0 

 

 

$                0 

 

Long-term Debt

 

 

 

 

 

 

 

 

 

 

Bank line of credit expires 2021 1

 

 

$                   0 

 

 

$     250,000 

 

 

$                0 

 

Term loan due 2018 3

 

 

 

 

350,000 

 

 

 

Floating-rate notes due 2020

3.21% 

 

250,000 

 

 

250,000 

 

 

250,000 

 

Floating-rate notes due 2021

3.23% 

 

500,000 

 

 

 

 

600,000 

 

7.50% notes due 2021

 

 

 

 

35,111 

 

 

 

8.85% notes due 2021 

8.88% 

 

6,000 

 

 

6,000 

 

 

6,000 

 

Term loan due 2021

 

 

 

 

250,000 

 

 

250,000 

 

4.50% notes due 2025

4.65% 

 

400,000 

 

 

400,000 

 

 

400,000 

 

3.90% notes due 2027

4.00% 

 

400,000 

 

 

400,000 

 

 

400,000 

 

7.15% notes due 2037

8.05% 

 

129,239 

 

 

240,188 

 

 

240,188 

 

4.50% notes due 2047

4.59% 

 

700,000 

 

 

700,000 

 

 

700,000 

 

4.70% notes due 2048

5.42% 

 

460,949 

 

 

 

 

 

Other notes

6.46% 

 

214 

 

 

230 

 

 

353 

 

Total long-term debt - face value

 

 

$     2,846,402 

 

 

$  2,881,529 

 

 

$  2,846,541 

 

Unamortized discounts and debt issuance costs

 

 

(68,250)

 

 

(26,664)

 

 

(31,748)

 

Total long-term debt - book value

 

 

$     2,778,152 

 

 

$  2,854,865 

 

 

$  2,814,793 

 

Less current maturities

 

 

23 

 

 

41,383 

 

 

4,827 

 

Total long-term debt - reported value

 

 

$     2,778,129 

 

 

$  2,813,482 

 

 

$  2,809,966 

 

Estimated fair value of long-term debt

 

 

$     2,743,429 

 

 

$  2,983,419 

 

 

$  3,068,236 

 







 

Borrowings on the bank line of credit are classified as short-term debt if we intend to repay within twelve months and as long-term debt otherwise.

Reflects the margin above LIBOR for LIBOR-based borrowings; we also paid upfront fees that are amortized to interest expense and pay fees for unused borrowing capacity and standby letters of credit.

This short-term loan was refinanced on a long-term basis in February 2018 as discussed below. Thus, it was classified as long-term debt as of December 31, 2017.



Standby Letters of Credit



 

 



 

 

in thousands

 

 

Standby Letters of Credit

 

 

Risk management insurance

$       38,111 

 

Reclamation/restoration requirements

6,868 

 

Total

$       44,979 

 



v3.10.0.1
ASSET RETIREMENT OBLIGATIONS (Tables)
9 Months Ended
Sep. 30, 2018
ASSET RETIREMENT OBLIGATIONS [Abstract]  
Asset Retirement Obligations Operating Costs



 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

ARO Operating Costs

 

 

 

 

 

 

 

 

 

 

 

Accretion

$        2,684 

 

 

$        2,857 

 

 

$        8,036 

 

 

$        8,620 

 

Depreciation

1,512 

 

 

1,494 

 

 

4,192 

 

 

4,741 

 

Total

$        4,196 

 

 

$        4,351 

 

 

$      12,228 

 

 

$      13,361 

 



Reconciliations of Asset Retirement Obligations



 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Asset Retirement Obligations

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

$     215,421 

 

 

$     223,953 

 

 

$     218,117 

 

 

$     223,872 

 

   Liabilities incurred

 

 

731 

 

 

 

 

1,066 

 

   Liabilities settled

(2,649)

 

 

(5,263)

 

 

(10,476)

 

 

(15,739)

 

   Accretion expense

2,684 

 

 

2,857 

 

 

8,036 

 

 

8,620 

 

   Revisions, net

10,628 

 

 

610 

 

 

10,407 

 

 

5,069 

 

Balance at end of period

$     226,084 

 

 

$     222,888 

 

 

$     226,084 

 

 

$     222,888 

 



v3.10.0.1
BENEFIT PLANS (Tables)
9 Months Ended
Sep. 30, 2018
Pension Benefits [Member]  
Defined Benefit Plan Disclosure [Line Items]  
Components of Net Periodic Benefit Cost



 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

PENSION BENEFITS

Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Components of Net Periodic Benefit Cost

 

 

 

 

 

 

 

 

 

 

 

Service cost

$        1,429 

 

 

$        1,653 

 

 

$        4,287 

 

 

$        4,961 

 

Interest cost

8,876 

 

 

9,057 

 

 

26,627 

 

 

27,172 

 

Expected return on plan assets

(14,797)

 

 

(12,097)

 

 

(44,391)

 

 

(36,289)

 

Amortization of prior service cost

335 

 

 

335 

 

 

1,005 

 

 

1,005 

 

Amortization of actuarial loss

2,457 

 

 

1,824 

 

 

7,370 

 

 

5,471 

 

Net periodic pension benefit cost (credit)

$       (1,700)

 

 

$           772 

 

 

$       (5,102)

 

 

$        2,320 

 

Pretax reclassifications from AOCI included in

 

 

 

 

 

 

 

 

 

 

 

  net periodic pension benefit cost

$        2,792 

 

 

$        2,159 

 

 

$        8,375 

 

 

$        6,476 

 



Postretirement Benefits [Member]  
Defined Benefit Plan Disclosure [Line Items]  
Components of Net Periodic Benefit Cost



 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

OTHER POSTRETIREMENT BENEFITS

Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Components of Net Periodic Benefit Cost

 

 

 

 

 

 

 

 

 

 

 

Service cost

$           339 

 

 

$           292 

 

 

$        1,018 

 

 

$           875 

 

Interest cost

310 

 

 

315 

 

 

930 

 

 

945 

 

Amortization of prior service credit

(991)

 

 

(1,059)

 

 

(2,972)

 

 

(3,177)

 

Amortization of actuarial gain

(324)

 

 

(397)

 

 

(973)

 

 

(1,190)

 

Net periodic postretirement benefit credit

$          (666)

 

 

$          (849)

 

 

$       (1,997)

 

 

$       (2,547)

 

Pretax reclassifications from AOCI included in

 

 

 

 

 

 

 

 

 

 

 

  net periodic postretirement benefit credit

$       (1,315)

 

 

$       (1,456)

 

 

$       (3,945)

 

 

$       (4,367)

 



v3.10.0.1
OTHER COMPREHENSIVE INCOME (Tables)
9 Months Ended
Sep. 30, 2018
OTHER COMPREHENSIVE INCOME [Abstract]  
Accumulated Other Comprehensive Income, Net of Tax



 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 



 

 

September 30

 

 

December 31

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2017 

 

AOCI

 

 

 

 

 

 

 

 

Interest rate hedges

$        (8,771)

 

 

$      (11,438)

 

 

$      (11,464)

 

Pension and postretirement plans

(134,754)

 

 

(138,028)

 

 

(124,795)

 

Total

$    (143,525)

 

 

$    (149,466)

 

 

$    (136,259)

 



Changes in Accumulated Other Comprehensive Income, Net of Tax



 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

Pension and 

 

 

 

 



Interest Rate

 

 

Postretirement

 

 

 

 

in thousands

Hedges

 

 

Benefit Plans

 

 

Total

 

AOCI

 

 

 

 

 

 

 

 

Balance as of December 31, 2017

$       (11,438)

 

 

$     (138,028)

 

 

$     (149,466)

 

Other comprehensive income

 

 

 

 

 

 

 

 

  before reclassifications

2,496 

 

 

 

 

2,496 

 

Amounts reclassified from AOCI

171 

 

 

3,274 

 

 

3,445 

 

Net current period OCI changes

2,667 

 

 

3,274 

 

 

5,941 

 

Balance as of September 30, 2018

$         (8,771)

 

 

$     (134,754)

 

 

$     (143,525)

 



Amounts Reclassified from Accumulated Other Comprehensive Income to Earnings





 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended

 

 

Nine Months Ended

 



 

 

September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Amortization of Interest Rate Hedge Losses

 

 

 

 

 

 

 

 

 

 

 

Interest expense

$              72 

 

 

$         1,955 

 

 

$            232 

 

 

$         3,022 

 

Benefit from income taxes

(19)

 

 

(767)

 

 

(61)

 

 

(1,186)

 

Total 1

$              53 

 

 

$         1,188 

 

 

$            171 

 

 

$         1,836 

 

Amortization of Pension and Postretirement

 

 

 

 

 

 

 

 

 

 

 

  Plan Actuarial Loss and Prior Service Cost

 

 

 

 

 

 

 

 

 

 

 

Other nonoperating income

$         1,477 

 

 

$            703 

 

 

$         4,430 

 

 

$         2,109 

 

Benefit from income taxes

(386)

 

 

(276)

 

 

(1,156)

 

 

(828)

 

Total

$         1,091 

 

 

$            427 

 

 

$         3,274 

 

 

$         1,281 

 

Total reclassifications from AOCI to earnings

$         1,144 

 

 

$         1,615 

 

 

$         3,445 

 

 

$         3,117 

 





 

Totals for 2017 include the acceleration of deferred losses on interest rate hedges (see Note 6) referable to debt purchases (see Note 7).

 

v3.10.0.1
EQUITY (Tables)
9 Months Ended
Sep. 30, 2018
EQUITY [Abstract]  
Shares Purchased And Retired









 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 



September 30

 

 

December 31

 

 

September 30

 

in thousands, except average price

2018 

 

 

2017 

 

 

2017 

 

Shares Purchased and Retired

 

 

 

 

 

 

 

 

Number

866 

 

 

510 

 

 

510 

 

Total purchase price

$       99,916 

 

 

$        60,303 

 

 

$        60,303 

 

Average price per share

$       115.31 

 

 

$        118.18 

 

 

$        118.18 

 



Changes in Total Equity



 

 

 

 

 

 

 

 

 

 

 

 

 

 

"

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

Three Months Ended

 

 

Nine Months Ended

 



 

 

 

September 30

 

 

September 30

 

in thousands

 

 

 

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Total Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

 

$    5,020,630 

 

 

$    4,602,104 

 

 

$    4,968,893 

 

 

$    4,572,476 

 

Net earnings

 

 

179,151 

 

 

108,579 

 

 

391,783 

 

 

273,639 

 

Common stock issued

 

 

 

 

 

 

 

 

 

 

 

 

 

   Share-based compensation plans, net of shares

 

 

 

 

 

 

 

 

 

 

 

 

 

      withheld for taxes

 

 

(32)

 

 

(377)

 

 

(31,370)

 

 

(24,485)

 

Purchase and retirement of common stock

 

 

(24,995)

 

 

 

 

(99,916)

 

 

(60,303)

 

Share-based compensation expense

 

 

6,887 

 

 

6,282 

 

 

21,650 

 

 

19,953 

 

Cash dividends on common stock

 

 

 

 

 

 

 

 

 

 

 

 

 

   ($0.28/$0.25/$0.84/$0.75 per share, respectively)

 

 

(36,996)

 

 

(33,069)

 

 

(111,192)

 

 

(99,263)

 

Other comprehensive income

 

 

1,144 

 

 

1,615 

 

 

5,941 

 

 

3,117 

 

Balance at end of period

 

 

$    5,145,789 

 

 

$    4,685,134 

 

 

$    5,145,789 

 

 

$    4,685,134 

 



v3.10.0.1
SEGMENT REPORTING (Tables)
9 Months Ended
Sep. 30, 2018
SEGMENT REPORTING [Abstract]  
Segment Financial Disclosure







 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



Three Months Ended

 

 

Nine Months Ended

 



September 30

 

 

September 30

 

in thousands

2018 

 

 

2017 

 

 

2018 

 

 

2017 

 

Total Revenues

 

 

 

 

 

 

 

 

 

 

 

Aggregates 1

$     983,731 

 

 

$     858,699 

 

 

$  2,639,653 

 

 

$  2,326,585 

 

Asphalt 2

231,700 

 

 

189,940 

 

 

547,363 

 

 

461,474 

 

Concrete

101,719 

 

 

115,485 

 

 

309,404 

 

 

309,448 

 

Calcium

1,912 

 

 

1,965 

 

 

6,136 

 

 

5,822 

 

Segment sales

$  1,319,062 

 

 

$  1,166,089 

 

 

$  3,502,556 

 

 

$  3,103,329 

 

Aggregates intersegment sales

(78,865)

 

 

(71,374)

 

 

(207,734)

 

 

(190,523)

 

Total revenues

$  1,240,197 

 

 

$  1,094,715 

 

 

$  3,294,822 

 

 

$  2,912,806 

 

Gross Profit

 

 

 

 

 

 

 

 

 

 

 

Aggregates 3

$     303,787 

 

 

$     257,751 

 

 

$     735,484 

 

 

$     647,961 

 

Asphalt 3

23,857 

 

 

31,205 

 

 

49,853 

 

 

68,447 

 

Concrete 3 

14,587 

 

 

14,138 

 

 

38,098 

 

 

33,616 

 

Calcium

911 

 

 

664 

 

 

2,226 

 

 

1,972 

 

Total

$     343,142 

 

 

$     303,758 

 

 

$     825,661 

 

 

$     751,996 

 

Depreciation, Depletion, Accretion

 

 

 

 

 

 

 

 

 

 

 

  and Amortization (DDA&A)

 

 

 

 

 

 

 

 

 

 

 

Aggregates

$       72,729 

 

 

$       64,071 

 

 

$     208,420 

 

 

$     182,559 

 

Asphalt

8,428 

 

 

6,494 

 

 

22,728 

 

 

18,841 

 

Concrete

3,041 

 

 

3,591 

 

 

9,504 

 

 

10,286 

 

Calcium

68 

 

 

180 

 

 

207 

 

 

567 

 

Other

5,124 

 

 

5,300 

 

 

15,604 

 

 

15,721 

 

Total

$       89,390 

 

 

$       79,636 

 

 

$     256,463 

 

 

$     227,974 

 

Identifiable Assets 4

 

 

 

 

 

 

 

 

 

 

 

Aggregates

 

 

 

 

 

 

$  8,890,421 

 

 

$  7,974,915 

 

Asphalt

 

 

 

 

 

 

551,336 

 

 

355,171 

 

Concrete

 

 

 

 

 

 

278,487 

 

 

233,565 

 

Calcium

 

 

 

 

 

 

4,288 

 

 

3,505 

 

Total identifiable assets

 

 

 

 

 

 

$  9,724,532 

 

 

$  8,567,156 

 

General corporate assets

 

 

 

 

 

 

108,034 

 

 

171,015 

 

Cash and cash equivalents and restricted cash

 

 

 

 

 

 

43,069 

 

 

701,163 

 

Total

 

 

 

 

 

 

$  9,875,635 

 

 

$  9,439,334 

 







 

Includes product sales, as well as freight & delivery costs that we pass along to our customers, and service revenues related to aggregates.

Includes product sales, as well as service revenues from our asphalt construction paving business.

The 2017 amounts have been revised as a result of our adoption of ASU 2017-07 as described in Note 17.

Certain temporarily idled assets are included within a segment's Identifiable Assets but the associated DDA&A is shown within Other in the DDA&A section above as the related DDA&A is excluded from segment gross profit.



v3.10.0.1
SUPPLEMENTAL CASH FLOW INFORMATION (Tables)
9 Months Ended
Sep. 30, 2018
SUPPLEMENTAL CASH FLOW INFORMATION [Abstract]  
Supplemental Information Referable to Condensed Consolidated Statements of Cash Flows



 

 

 

 

 



 

 

 

 

 



Nine Months Ended

 



September 30

 

in thousands

2018 

 

 

2017 

 

Cash Payments (Refunds)

 

 

 

 

 

Interest (exclusive of amount capitalized)

$       82,339 

 

 

$     118,157 

 

Income taxes

(99,585)

 

 

124,121 

 

Noncash Investing and Financing Activities

 

 

 

 

 

Accrued liabilities for purchases of property, plant & equipment

$       30,588 

 

 

$       10,602 

 

Amounts referable to business acquisitions

 

 

 

 

 

  Liabilities assumed

5,056 

 

 

1,935 

 

  Consideration payable to seller

9,500 

 

 

 



v3.10.0.1
GOODWILL (Tables)
9 Months Ended
Sep. 30, 2018
GOODWILL [Abstract]  
Changes in Carrying Amount of Goodwill by Reportable Segment





 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

in thousands

Aggregates

 

 

Asphalt

 

 

Concrete

 

 

Calcium

 

 

Total

 

Goodwill

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total as of December 31, 2017

$    3,030,688 

 

 

$     91,633 

 

 

$              0 

 

 

$              0 

 

 

$    3,122,321 

 

Goodwill of acquired businesses 1

47,294 

 

 

 

 

 

 

 

 

47,294 

 

Total as of September 30, 2018

$    3,077,982 

 

 

$     91,633 

 

 

$              0 

 

 

$              0 

 

 

$    3,169,615 

 







 

1

See Note 16 for a summary of acquisitions.



v3.10.0.1
ACQUISITIONS AND DIVESTITURES (Tables)
9 Months Ended
Sep. 30, 2018
Acquisitions 2018 [Member]  
Significant Acquisitions And Disposals [Line Items]  
Schedule Of Business Acquisitions



 

 



 

 



September 30

 

in thousands

2018 

 

Fair Value of Purchase Consideration

 

 

Cash

$     207,081 

 

Payable to seller

9,500 

 

Total fair value of purchase consideration

$     216,581 

 

Identifiable Assets Acquired and Liabilities Assumed

 

 

Accounts and notes receivable, net

$       16,434 

 

Inventories

11,904 

 

Other current assets

932 

 

Property, plant & equipment

145,935 

 

Other intangible assets

 

 

  Contractual rights in place

41,497 

 

Deferred income taxes, net

(34,808)

 

Liabilities assumed

(11,615)

 

Net identifiable assets acquired

$     170,279 

 

Goodwill

$       46,302 

 



Acquisitions 2017 [Member]  
Significant Acquisitions And Disposals [Line Items]  
Schedule Of Business Acquisitions



 

 



 

 



December 31

 

in thousands

2017 

 

Fair Value of Purchase Consideration

 

 

Cash

$  1,072,978 

 

Payable to seller

7,837 

 

Total fair value of purchase consideration

$  1,080,815 

 

Identifiable Assets Acquired and Liabilities Assumed

 

 

Accounts and notes receivable, net

$       14,955 

 

Inventories

21,679 

 

Other current assets

608 

 

Investments

3,590 

 

Property, plant & equipment

433,606 

 

Other intangible assets

 

 

  Contractual rights in place

295,482 

 

Liabilities assumed

(3,894)

 

Net identifiable assets acquired

$     766,026 

 

Goodwill

$       27,497 

 

Net Assets Divested Immediately Upon Acquisition

$     287,292 

 



v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details)
9 Months Ended
Sep. 30, 2018
state
factor
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]  
State of incorporation New Jersey
Number of states | state 20
Number of demographic factors | factor 3
v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Weighted-Average Common Shares Outstanding Assuming Dilution) (Details) - shares
shares in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]        
Weighted-average common shares outstanding 132,392 132,484 132,505 132,510
Dilutive effect of Stock-Only Stock Appreciation Rights 905 1,249 1,021 1,305
Dilutive effect of Other stock compensation plans 597 1,032 553 1,038
Weighted-average common shares outstanding, assuming dilution 133,894 134,765 134,079 134,853
v3.10.0.1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Antidilutive Common Stock Equivalents) (Details) - shares
shares in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract]        
Antidilutive common stock equivalents 162 79 161 79
v3.10.0.1
DISCONTINUED OPERATIONS (Narrative) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
DISCONTINUED OPERATIONS [Abstract]        
Revenues from discontinued operations $ 0 $ 0 $ 0 $ 0
v3.10.0.1
DISCONTINUED OPERATIONS (Results from Discontinued Operations) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
DISCONTINUED OPERATIONS [Abstract]        
Pretax earnings (loss) $ (969) $ (1,282) $ (2,417) $ 13,614
Income tax (expense) benefit 256 (289) 639 (5,397)
Earnings (loss) on discontinued operations, net of tax $ (713) $ (1,571) $ (1,778) $ 8,217
v3.10.0.1
INCOME TAXES (Narrative) (Details) - USD ($)
3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Dec. 31, 2017
Dec. 31, 2018
Operating Loss Carryforwards [Line Items]            
U.S. federal corporate income tax rate     21.00%   35.00%  
Tax Cuts and Jobs Act of 2017, percent of immediate deductibility of certain capital investments     100.00%      
Tax Cuts and Jobs Act of 2017, incomplete accounting, provisional expense, deferred tax assets, executive compensation         $ 1,403,000  
Income tax expense $ 40,663,000 $ 39,080,000 $ 75,805,000 $ 81,557,000    
Tax Cuts and Jobs Act of 2017, incomplete accounting, provisional transition tax, foreign repatriation         $ 12,301,000  
Income tax benefit recognition threshold more likely than not     50.00%      
Release of unrecognized tax benefit liability $ 7,157,000          
Forecast [Member]            
Operating Loss Carryforwards [Line Items]            
State net operating loss carryforwards           $ 72,160,000
Net operating loss carryforwards, valuation allowance           29,696,000
Alabama [Member] | State [Member] | Earliest Tax Year [Member]            
Operating Loss Carryforwards [Line Items]            
Net operating loss carryforwards expiration date     Dec. 31, 2023      
Alabama [Member] | State [Member] | Latest Tax Year [Member]            
Operating Loss Carryforwards [Line Items]            
Net operating loss carryforwards expiration date     Dec. 31, 2033      
Alabama [Member] | Forecast [Member]            
Operating Loss Carryforwards [Line Items]            
State net operating loss carryforwards           67,688,000
Net operating loss carryforwards, valuation allowance           $ 29,182,000
v3.10.0.1
REVENUES (Narrative) (Details)
3 Months Ended 9 Months Ended 24 Months Ended
Sep. 30, 2018
USD ($)
Sep. 30, 2017
USD ($)
Sep. 30, 2018
USD ($)
item
Sep. 30, 2017
USD ($)
Dec. 31, 2013
USD ($)
Sep. 30, 2019
USD ($)
Revenue Recognition [Line Items]            
Revenues $ 1,240,197,000 $ 1,094,715,000 $ 3,294,822,000 $ 2,912,806,000    
Number of quarries | item     8      
Proceeds from sale of future production         $ 226,926,000  
Term of the VPPs     25 years      
Service [Member]            
Revenue Recognition [Line Items]            
Revenues 70,385,000 35,628,000 $ 145,127,000 81,212,000    
Minimum [Member]            
Revenue Recognition [Line Items]            
Coverage of warranty provisions     9 months      
Maximum [Member]            
Revenue Recognition [Line Items]            
Coverage of warranty provisions     1 year      
Maximum [Member] | Construction Paving [Member]            
Revenue Recognition [Line Items]            
Costs for paving contracts expense, expected amortization period     1 year      
Forecast [Member]            
Revenue Recognition [Line Items]            
Estimated deferred revenue to be recognized in the next 12 months           $ 7,470,000
Asphalt [Member]            
Revenue Recognition [Line Items]            
Revenues 231,700,000 189,940,000 $ 547,363,000 461,474,000    
Aggregates [Member]            
Revenue Recognition [Line Items]            
Revenues $ 904,866,000 $ 787,325,000 $ 2,431,919,000 $ 2,136,062,000    
Aggregates [Member] | Minimum [Member]            
Revenue Recognition [Line Items]            
Percent of shipments used for publicly funded construction     45.00%      
Aggregates [Member] | Maximum [Member]            
Revenue Recognition [Line Items]            
Percent of shipments used for publicly funded construction     55.00%      
v3.10.0.1
REVENUES (Revenues by Geographic Market) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues $ 1,240,197 $ 1,094,715 $ 3,294,822 $ 2,912,806
Operating Segments [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 1,319,062 1,166,089 3,502,556 3,103,329
Intersegment Sales [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues (78,865) (71,374) (207,734) (190,523)
East [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 449,381 423,381 1,138,082 1,040,194
Gulf Coast [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 552,872 443,735 1,542,406 1,293,886
West [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 316,809 298,973 822,068 769,249
Aggregates [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 904,866 787,325 2,431,919 2,136,062
Aggregates [Member] | Operating Segments [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues [1] 983,731 858,699 2,639,653 2,326,585
Aggregates [Member] | Intersegment Sales [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues (78,865) (71,374) (207,734) (190,523)
Aggregates [Member] | East [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 331,147 317,363 827,605 781,125
Aggregates [Member] | Gulf Coast [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 489,299 393,694 1,377,568 1,145,700
Aggregates [Member] | West [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 163,285 147,642 434,480 399,760
Asphalt [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 231,700 189,940 547,363 461,474
Asphalt [Member] | Operating Segments [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues [2] 231,700 189,940 547,363 461,474
Asphalt [Member] | Intersegment Sales [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 0 0 0 0
Asphalt [Member] | East [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 52,263 39,445 113,331 78,599
Asphalt [Member] | Gulf Coast [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 47,220 21,571 100,708 64,051
Asphalt [Member] | West [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 132,217 128,924 333,324 318,824
Concrete [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 101,719 115,485 309,404 309,448
Concrete [Member] | Operating Segments [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 101,719 115,485 309,404 309,448
Concrete [Member] | Intersegment Sales [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 0 0 0 0
Concrete [Member] | East [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 65,971 66,573 197,146 180,470
Concrete [Member] | Gulf Coast [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 14,441 26,505 57,994 78,313
Concrete [Member] | West [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 21,307 22,407 54,264 50,665
Calcium [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 1,912 1,965 6,136 5,822
Calcium [Member] | Operating Segments [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 1,912 1,965 6,136 5,822
Calcium [Member] | Intersegment Sales [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 0 0 0 0
Calcium [Member] | East [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 0 0 0 0
Calcium [Member] | Gulf Coast [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues 1,912 1,965 6,136 5,822
Calcium [Member] | West [Member]        
Segment Reporting, Revenue Reconciling Item [Line Items]        
Total revenues $ 0 $ 0 $ 0 $ 0
[1] Includes product sales, as well as freight & delivery costs that we pass along to our customers, and service revenues related to aggregates.
[2] Includes product sales, as well as service revenues from our asphalt construction paving business.
v3.10.0.1
REVENUES (Freight & Delivery Revenues) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Disaggregation of Revenue [Line Items]        
Total revenues $ 1,240,197 $ 1,094,715 $ 3,294,822 $ 2,912,806
Freight & Delivery Revenues [Member]        
Disaggregation of Revenue [Line Items]        
Total revenues [1] (175,194) (143,664) (476,491) (397,934)
Total Revenues Excluding Freight & Delivery [Member]        
Disaggregation of Revenue [Line Items]        
Total revenues $ 1,065,003 $ 951,051 $ 2,818,331 $ 2,514,872
[1] Includes freight & delivery to remote distribution sites
v3.10.0.1
REVENUES (Reconciliation of Deferred Revenue Balances) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
REVENUES [Abstract]        
Balance at beginning of period $ 196,296 $ 203,100 $ 199,556 $ 206,468
Revenue recognized from deferred revenue (1,997) (1,903) (5,257) (5,271)
Balance at end of period $ 194,299 $ 201,197 $ 194,299 $ 201,197
v3.10.0.1
FAIR VALUE MEASUREMENTS (Narrative) (Details)
9 Months Ended
Sep. 30, 2018
USD ($)
item
Sep. 30, 2017
USD ($)
FAIR VALUE MEASUREMENTS [Abstract]    
Number of Rabbi Trusts established | item 2  
Net gains (losses) of the Rabbi Trust investments $ (222,000) $ 1,950,000
Unrealized net gains (losses) of the Rabbi Trust investments $ (214,000) $ 1,424,000
v3.10.0.1
FAIR VALUE MEASUREMENTS (Fair Value Measurement on Recurring Basis) (Details) - Recurring [Member] - USD ($)
$ in Thousands
Sep. 30, 2018
Dec. 31, 2017
Sep. 30, 2017
Level 1 [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Assets fair value, recurring $ 21,504 $ 20,348 $ 20,256
Level 1 [Member] | Mutual Funds [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Assets fair value, recurring 21,504 20,348 7,431
Level 1 [Member] | Equities [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Assets fair value, recurring 0 0 12,825
Level 2 [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Assets fair value, recurring 1,332 1,203 386
Level 2 [Member] | Money Market Mutual Fund [Member]      
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]      
Assets fair value, recurring $ 1,332 $ 1,203 $ 386
v3.10.0.1
DERIVATIVE INSTRUMENTS (Narrative) (Details) - Designated as Hedging Instrument [Member] - Cash Flow Hedges [Member] - Interest Rate Swap [Member] - USD ($)
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Derivative [Line Items]        
Loss reclassified from AOCI $ (72,000) $ (1,955,000) $ (232,000) $ (3,022,000)
Estimated amount of pretax loss in AOCI reclassified to earnings for the next 12-month period $ 302,000   $ 302,000  
Debt [Member]        
Derivative [Line Items]        
Loss reclassified from AOCI       $ 1,405,000
v3.10.0.1
DERIVATIVE INSTRUMENTS (Effects of Changes in Fair Values of Derivatives Designated as Cash Flow Hedges) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Interest Rate Swap [Member] | Cash Flow Hedges [Member] | Designated as Hedging Instrument [Member]        
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]        
Loss reclassified from AOCI (effective portion) $ (72) $ (1,955) $ (232) $ (3,022)
v3.10.0.1
DEBT (Narrative) (Details)
1 Months Ended 3 Months Ended 9 Months Ended 12 Months Ended
Mar. 31, 2018
USD ($)
Feb. 28, 2018
USD ($)
Jan. 31, 2018
USD ($)
Dec. 31, 2017
USD ($)
Jul. 31, 2017
USD ($)
Jun. 30, 2017
USD ($)
Mar. 31, 2017
USD ($)
Mar. 31, 2018
USD ($)
Sep. 30, 2017
USD ($)
Sep. 30, 2018
USD ($)
item
Sep. 30, 2017
USD ($)
Dec. 31, 2017
USD ($)
Debt Instrument [Line Items]                        
Discounts and debt issuance costs                   $ 3,927,000 $ 4,473,000  
Total long-term debt - face value       $ 2,881,529,000         $ 2,846,541,000 2,846,402,000 2,846,541,000 $ 2,881,529,000
Repayments of long term debt         $ 565,560,000         $ 892,049,000 800,572,000  
Net proceeds   $ 846,029,000                    
Net noncash expense         3,029,000     $ 466,000       7,257,000
Premium for repayments of debt         43,020,000     5,608,000       139,187,000
Transaction costs for repayments of debt         $ 28,000     1,314,000       1,586,000
Combined charge, component of interest expense               7,388,000 46,077,000   46,077,000 148,030,000
Investment-Grade Type Covenants Governed [Member]                        
Debt Instrument [Line Items]                        
Number of indentures with customary investment-grade type covenants | item                   3    
Bank Line of Credit [Member]                        
Debt Instrument [Line Items]                        
Maximum borrowing capacity                   $ 750,000,000    
Commitment fee                   0.15%    
Available borrowing capacity                   $ 505,021,000    
Borrowings                   $ 200,000,000    
Bank Line of Credit [Member] | LIBOR [Member]                        
Debt Instrument [Line Items]                        
Applicable margin on borrowing rate                   1.25%    
Bank Line of Credit [Member] | Base Rate [Member]                        
Debt Instrument [Line Items]                        
Applicable margin on borrowing rate                   0.25%    
Bank Line of Credit [Member] | Maximum, Upon Certain Acquisitions [Member]                        
Debt Instrument [Line Items]                        
Debt to EBITDA ratio                   3.75    
Standby Letters of Credit [Member]                        
Debt Instrument [Line Items]                        
Outstanding standby letters of credit                   $ 44,979,000    
Period of standby letters of credit                   1 year    
Standby Letters of Credit [Member] | LIBOR [Member]                        
Debt Instrument [Line Items]                        
Applicable margin on borrowing rate                   0.175%    
Maximum [Member] | Bank Line of Credit [Member]                        
Debt Instrument [Line Items]                        
Debt to EBITDA ratio                   3.5    
Commitment fee                   0.25%    
Maximum [Member] | Bank Line of Credit [Member] | LIBOR [Member]                        
Debt Instrument [Line Items]                        
Applicable margin on borrowing rate                   1.75%    
Maximum [Member] | Bank Line of Credit [Member] | Base Rate [Member]                        
Debt Instrument [Line Items]                        
Applicable margin on borrowing rate                   0.75%    
Minimum [Member] | Bank Line of Credit [Member]                        
Debt Instrument [Line Items]                        
EBITDA to net cash interest expense ratio                   3.0    
Commitment fee                   0.10%    
Minimum [Member] | Bank Line of Credit [Member] | LIBOR [Member]                        
Debt Instrument [Line Items]                        
Applicable margin on borrowing rate                   1.00%    
Minimum [Member] | Bank Line of Credit [Member] | Base Rate [Member]                        
Debt Instrument [Line Items]                        
Applicable margin on borrowing rate                   0.00%    
Term Loan Due 2018 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value [1]       350,000,000         0 $ 0 0 350,000,000
Maturity year                   2018    
Debt issued, term                   6 months    
Notes [Member]                        
Debt Instrument [Line Items]                        
Face value           $ 1,000,000,000            
Net proceeds           989,512,000            
Notes [Member] | 3.90% notes due 2027 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       400,000,000         400,000,000 $ 400,000,000 400,000,000 400,000,000
Maturity year                   2027    
Face value           $ 400,000,000            
Interest rate           3.90% 3.90%     3.90%    
Net proceeds             $ 345,450,000          
Notes [Member] | 3.90% notes due 2027 [Member] | June 2017 Issuance [Member]                        
Debt Instrument [Line Items]                        
Face value           $ 50,000,000            
Notes [Member] | 3.90% notes due 2027 [Member] | March 2017 Issuance [Member]                        
Debt Instrument [Line Items]                        
Face value             350,000,000          
Notes [Member] | Term loan due 2021 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       250,000,000   250,000,000     250,000,000 $ 0 250,000,000 250,000,000
Maturity year                   2021    
Notes [Member] | Investment-Grade Type Covenants Governed [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value                   $ 2,846,188,000    
Notes [Member] | 4.50% notes due 2047 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       700,000,000         700,000,000 $ 700,000,000 700,000,000 700,000,000
Maturity year                   2047    
Face value           $ 700,000,000            
Interest rate           4.50%       4.50%    
Notes [Member] | 4.50% notes due 2025 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       400,000,000         400,000,000 $ 400,000,000 400,000,000 400,000,000
Maturity year                   2025    
Interest rate                   4.50%    
Notes [Member] | Floating-Rate Notes Due 2020 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       250,000,000         250,000,000 $ 250,000,000 250,000,000 250,000,000
Maturity year                   2020    
Face value           $ 250,000,000            
Notes [Member] | 10.375% notes due 2018 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value           250,000,000            
Maturity year                   2018    
Interest rate                   10.375%    
Notes [Member] | 7.00% notes due 2018 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value           $ 272,512,000            
Maturity year                   2018    
Interest rate                   7.00%    
Notes [Member] | 7.50% notes due 2021 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       35,111,000         0 $ 0 0 35,111,000
Maturity year                   2021    
Face value     $ 35,111,000 564,889,000               564,889,000
Interest rate                   7.50%    
Net noncash expense     263,000 4,228,000                
Repayments of debt     40,719,000 662,613,000                
Premium for repayments of debt     $ 5,608,000 96,167,000                
Transaction costs for repayments of debt       1,558,000                
Notes [Member] | 4.70% notes due 2048 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       0         0 $ 460,949,000 0 0
Maturity year                   2048    
Face value $ 460,949,000 $ 350,000,000           $ 460,949,000        
Interest rate   4.70%               4.70%    
Net noncash expense   $ 203,000                    
Premium for repayments of debt 38,164,000                      
Notes [Member] | Floating-Rate Notes Due 2021 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       0         600,000,000 $ 500,000,000 600,000,000 0
Maturity year                   2021    
Face value   $ 500,000,000                    
Notes [Member] | 7.15% notes due 2037 [Member]                        
Debt Instrument [Line Items]                        
Total long-term debt - face value       $ 240,188,000         240,188,000 $ 129,239,000 240,188,000 $ 240,188,000
Maturity year                   2037    
Repayments of long term debt 110,949,000                      
Interest rate       7.15%           7.15%   7.15%
Transaction costs for repayments of debt $ 1,314,000                      
Bank Line of Credit [Member]                        
Debt Instrument [Line Items]                        
Maturity date                   Dec. 31, 2021    
Total long-term debt - face value       $ 250,000,000 [2]     $ 235,000,000   $ 0 [2] $ 0 [2] $ 0 [2] $ 250,000,000 [2]
[1] This short-term loan was refinanced on a long-term basis in February 2018 as discussed below. Thus, it was classified as long-term debt as of December 31, 2017
[2] Borrowings on the bank line of credit are classified as short-term debt if we intend to repay within twelve months and as long-term debt otherwise.
v3.10.0.1
DEBT (Debt) (Details) - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2018
Feb. 28, 2018
Dec. 31, 2017
Sep. 30, 2017
Jun. 30, 2017
Mar. 31, 2017
Debt Instrument [Line Items]            
Total short-term debt $ 200,000   $ 0 $ 0    
Total long-term debt - face value 2,846,402   2,881,529 2,846,541    
Unamortized discounts and debt issuance costs (68,250)   (26,664) (31,748)    
Total long-term debt - book value 2,778,152   2,854,865 2,814,793    
Less current maturities 23   41,383 4,827    
Total long-term debt - reported value 2,778,129   2,813,482 2,809,966    
Estimated fair value of long-term debt 2,743,429   2,983,419 3,068,236    
Bank Line of Credit [Member]            
Debt Instrument [Line Items]            
Total short-term debt [1],[2] $ 200,000   0 0    
Maturity date Dec. 31, 2021          
Effective interest rate [1],[2] 1.25%          
Bank Line of Credit [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 0 [1]   250,000 [1] 0 [1]   $ 235,000
Maturity date Dec. 31, 2021          
Term Loan Due 2018 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value [3] $ 0   350,000 0    
Maturity year 2018          
Notes [Member] | Floating-Rate Notes Due 2020 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 250,000   250,000 250,000    
Maturity year 2020          
Effective interest rate 3.21%          
Notes [Member] | Floating-Rate Notes Due 2021 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 500,000   0 600,000    
Maturity year 2021          
Effective interest rate 3.23%          
Notes [Member] | 7.50% notes due 2021 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 0   35,111 0    
Interest rate 7.50%          
Maturity year 2021          
Notes [Member] | 8.85% notes due 2021 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 6,000   6,000 6,000    
Interest rate 8.85%          
Maturity year 2021          
Effective interest rate 8.88%          
Notes [Member] | Term loan due 2021 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 0   250,000 250,000 $ 250,000  
Maturity year 2021          
Notes [Member] | 4.50% notes due 2025 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 400,000   400,000 400,000    
Interest rate 4.50%          
Maturity year 2025          
Effective interest rate 4.65%          
Notes [Member] | 3.90% notes due 2027 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 400,000   400,000 400,000    
Interest rate 3.90%       3.90% 3.90%
Maturity year 2027          
Effective interest rate 4.00%          
Notes [Member] | 7.15% notes due 2037 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 129,239   $ 240,188 240,188    
Interest rate 7.15%   7.15%      
Maturity year 2037          
Effective interest rate 8.05%          
Notes [Member] | 4.50% notes due 2047 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 700,000   $ 700,000 700,000    
Interest rate 4.50%       4.50%  
Maturity year 2047          
Effective interest rate 4.59%          
Notes [Member] | 4.70% notes due 2048 [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value $ 460,949   0 0    
Interest rate 4.70% 4.70%        
Maturity year 2048          
Effective interest rate 5.42%          
Other Notes [Member]            
Debt Instrument [Line Items]            
Total long-term debt - face value [3] $ 214   $ 230 $ 353    
Effective interest rate [3] 6.46%          
[1] Borrowings on the bank line of credit are classified as short-term debt if we intend to repay within twelve months and as long-term debt otherwise.
[2] Reflects the margin above LIBOR for LIBOR-based borrowings; we also paid upfront fees that are amortized to interest expense and pay fees for unused borrowing capacity and standby letters of credit.
[3] This short-term loan was refinanced on a long-term basis in February 2018 as discussed below. Thus, it was classified as long-term debt as of December 31, 2017
v3.10.0.1
DEBT (Standby Letters of Credit) (Details) - USD ($)
Sep. 30, 2018
Jun. 30, 2018
Dec. 31, 2017
Sep. 30, 2017
Jun. 30, 2017
Dec. 31, 2016
Line of Credit Facility [Line Items]            
Reclamation/restoration requirements $ 226,084,000 $ 215,421,000 $ 218,117,000 $ 222,888,000 $ 223,953,000 $ 223,872,000
Standby Letters of Credit [Member]            
Line of Credit Facility [Line Items]            
Risk management insurance 38,111,000          
Reclamation/restoration requirements 6,868,000          
Total $ 44,979,000          
v3.10.0.1
COMMITMENTS AND CONTINGENCIES (Narrative) (Details)
1 Months Ended 3 Months Ended 9 Months Ended 12 Months Ended 21 Months Ended
Dec. 31, 2017
USD ($)
Sep. 30, 2017
USD ($)
item
Mar. 31, 2016
mi
May 31, 2007
entity
mi
Sep. 30, 2018
USD ($)
Jun. 30, 2017
USD ($)
Sep. 30, 2018
USD ($)
Dec. 31, 2017
USD ($)
Sep. 30, 2018
USD ($)
Jun. 30, 2018
USD ($)
Dec. 31, 2016
USD ($)
Loss Contingencies [Line Items]                      
Asset Retirement Obligation $ 218,117,000 $ 222,888,000     $ 226,084,000 $ 223,953,000 $ 226,084,000 $ 218,117,000 $ 226,084,000 $ 215,421,000 $ 223,872,000
Number of groundwater extraction wells | item   2                  
Parent Company [Member]                      
Loss Contingencies [Line Items]                      
Judge ruled allocation of fault among defendants, percentage 15.00%                    
Cooperating Parties Group [Member]                      
Loss Contingencies [Line Items]                      
Number of other companies to perform a Remedial Investigation/ Feasibility Study related to the Lower Passaic River Clean-Up lawsuit | entity       70              
Number of miles of the River used in the Remedial Investigation/Feasibility Study | mi       17              
Number of miles for bank-to-bank dredging remedy | mi     8                
Occidental Chemical Co [Member]                      
Loss Contingencies [Line Items]                      
Judge ruled allocation of fault among defendants, percentage 50.00%                    
Texas Brine [Member]                      
Loss Contingencies [Line Items]                      
Judge ruled allocation of fault among defendants, percentage 35.00%                    
Maximum [Member] | EPA [Member]                      
Loss Contingencies [Line Items]                      
Estimated implementation costs             1,380,000,000        
Standby Letters of Credit [Member]                      
Loss Contingencies [Line Items]                      
Outstanding standby letters of credit         44,979,000   $ 44,979,000   44,979,000    
Hewitt Landfill Matter [Member]                      
Loss Contingencies [Line Items]                      
Increase in accrual of liability for claims and litigation         $ 8,640,000 $ 14,216,000   $ 15,239,000 $ 23,879,000    
v3.10.0.1
ASSET RETIREMENT OBLIGATIONS (Narrative) (Details)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
USD ($)
Sep. 30, 2017
USD ($)
Sep. 30, 2018
USD ($)
a
property
Sep. 30, 2017
USD ($)
Reclamation activities $ 2,649 $ 5,263 $ 10,476 $ 15,739
California [Member]        
Reclamation activities     $ 6,108 $ 8,117
Adjacent aggregates sites | property     2  
Property, acres | a     90  
v3.10.0.1
ASSET RETIREMENT OBLIGATIONS (Asset Retirement Obligations Operating Costs) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
ASSET RETIREMENT OBLIGATIONS [Abstract]        
Accretion $ 2,684 $ 2,857 $ 8,036 $ 8,620
Depreciation 1,512 1,494 4,192 4,741
Total $ 4,196 $ 4,351 $ 12,228 $ 13,361
v3.10.0.1
ASSET RETIREMENT OBLIGATIONS (Reconciliations of Asset Retirement Obligations) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
ASSET RETIREMENT OBLIGATIONS [Abstract]        
Balance at beginning of period $ 215,421 $ 223,953 $ 218,117 $ 223,872
Liabilities incurred 0 731 0 1,066
Liabilities settled (2,649) (5,263) (10,476) (15,739)
Accretion expense 2,684 2,857 8,036 8,620
Revisions, net 10,628 610 10,407 5,069
Balance at end of period $ 226,084 $ 222,888 $ 226,084 $ 222,888
v3.10.0.1
BENEFIT PLANS (Narrative) (Details)
3 Months Ended 9 Months Ended
Mar. 31, 2018
USD ($)
Sep. 30, 2017
USD ($)
Sep. 30, 2018
entity
Defined Benefit Plan Disclosure [Line Items]      
Number of funded, noncontributory defined benefit pension plans     3
Number of unfunded, nonqualified pension plans     3
Normal retirement age     65 years
Discretionary Employer Contribution [Member]      
Defined Benefit Plan Disclosure [Line Items]      
Employer contributions | $ $ 100,000,000 $ 10,600,000  
v3.10.0.1
BENEFIT PLANS (Components of Net Periodic Benefit Cost- Pension Benefits) (Details) - Pension Benefits [Member] - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Components of Net Periodic Benefit Cost        
Service cost $ 1,429 $ 1,653 $ 4,287 $ 4,961
Interest cost 8,876 9,057 26,627 27,172
Expected return on plan assets (14,797) (12,097) (44,391) (36,289)
Amortization of prior service cost 335 335 1,005 1,005
Amortization of actuarial loss 2,457 1,824 7,370 5,471
Net periodic benefit cost (credit) (1,700) 772 (5,102) 2,320
Pretax reclassification from AOCI included in net periodic pension/postretirement benefit cost (credit) $ 2,792 $ 2,159 $ 8,375 $ 6,476
v3.10.0.1
BENEFIT PLANS (Components of Net Periodic Benefit Cost- Other Postretirement Benefits) (Details) - Postretirement Benefits [Member] - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Components of Net Periodic Benefit Cost        
Service cost $ 339 $ 292 $ 1,018 $ 875
Interest cost 310 315 930 945
Amortization of prior service credit (991) (1,059) (2,972) (3,177)
Amortization of actuarial gain (324) (397) (973) (1,190)
Net periodic benefit cost (credit) (666) (849) (1,997) (2,547)
Pretax reclassification from AOCI included in net periodic pension/postretirement benefit cost (credit) $ (1,315) $ (1,456) $ (3,945) $ (4,367)
v3.10.0.1
OTHER COMPREHENSIVE INCOME (Accumulated Other Comprehensive Income, Net of Tax) (Details) - USD ($)
$ in Thousands
Sep. 30, 2018
Dec. 31, 2017
Sep. 30, 2017
OTHER COMPREHENSIVE INCOME [Abstract]      
Interest rate hedges $ (8,771) $ (11,438) $ (11,464)
Pension and postretirement plans (134,754) (138,028) (124,795)
Total $ (143,525) $ (149,466) $ (136,259)
v3.10.0.1
OTHER COMPREHENSIVE INCOME (Changes in Accumulated Other Comprehensive Income, Net of Tax) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
AOCI, Beginning balance     $ (149,466)  
Other comprehensive income before reclassifications     2,496  
Amounts reclassified from AOCI     3,445  
Other comprehensive income $ 1,144 $ 1,615 5,941 $ 3,117
AOCI, Ending balance (143,525) $ (136,259) (143,525) $ (136,259)
Interest Rate Hedge Losses [Member]        
AOCI, Beginning balance     (11,438)  
Other comprehensive income before reclassifications     2,496  
Amounts reclassified from AOCI     171  
Other comprehensive income     2,667  
AOCI, Ending balance (8,771)   (8,771)  
Pension and Postretirement Plan Actuarial Loss and Prior Service Cost [Member]        
AOCI, Beginning balance     (138,028)  
Other comprehensive income before reclassifications     0  
Amounts reclassified from AOCI     3,274  
Other comprehensive income     3,274  
AOCI, Ending balance $ (134,754)   $ (134,754)  
v3.10.0.1
OTHER COMPREHENSIVE INCOME (Amounts Reclassified from Accumulated Other Comprehensive Income to Earnings) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]        
Interest expense $ (33,547) $ (82,041) $ (104,566) $ (154,572)
Other nonoperating income 4,890 3,793 12,708 11,709
Benefit from income taxes 40,663 39,080 75,805 81,557
Total 179,151 108,579 391,783 273,639
Reclassification From AOCI [Member]        
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]        
Total 1,144 1,615 3,445 3,117
Interest Rate Hedge Losses [Member] | Reclassification From AOCI [Member]        
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]        
Interest expense 72 1,955 232 3,022
Benefit from income taxes (19) (767) (61) (1,186)
Total [1] 53 1,188 171 1,836
Pension and Postretirement Plan Actuarial Loss and Prior Service Cost [Member] | Reclassification From AOCI [Member]        
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]        
Other nonoperating income 1,477 703 4,430 2,109
Benefit from income taxes (386) (276) (1,156) (828)
Total $ 1,091 $ 427 $ 3,274 $ 1,281
[1] 1Totals for 2017 include the acceleration of deferred losses on interest rate hedges (see Note 6) referable to debt purchases (see Note 7).
v3.10.0.1
EQUITY (Narrative) (Details)
9 Months Ended
Sep. 30, 2018
item
$ / shares
shares
Dec. 31, 2017
$ / shares
shares
Sep. 30, 2017
$ / shares
shares
EQUITY [Abstract]      
Common stock, par value | $ / shares $ 1 $ 1 $ 1
Number of votes per common stock | item 1    
Preferred stock, shares authorized 5,000,000    
Preferred stock issued 0    
Number of shares held in treasury 0 0 0
Shares remaining under the current authorization repurchase program 8,623,227    
v3.10.0.1
EQUITY (Shares Purchased And Retired) (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
9 Months Ended 12 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Dec. 31, 2017
EQUITY [Abstract]      
Shares Purchased and Retired, Number 866 510 510
Shares Purchased and Retired, Total purchase price $ 99,916 $ 60,303 $ 60,303
Shares Purchased and Retired, Average price per share $ 115.31 $ 118.18 $ 118.18
v3.10.0.1
EQUITY (Changes in Total Equity) (Details) - USD ($)
$ / shares in Units, $ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
EQUITY [Abstract]        
Balance at beginning of period $ 5,020,630 $ 4,602,104 $ 4,968,893 $ 4,572,476
Net earnings 179,151 108,579 391,783 273,639
Share-based compensation plans, net of shares withheld for taxes (32) (377) (31,370) (24,485)
Purchase and retirement of common stock (24,995) 0 (99,916) (60,303)
Share-based compensation expense 6,887 6,282 21,650 19,953
Cash dividends on common stock ($0.28/$0.25/$0.84/$0.75 per share, respectively) (36,996) (33,069) (111,192) (99,263)
Other comprehensive income 1,144 1,615 5,941 3,117
Balance at end of period $ 5,145,789 $ 4,685,134 $ 5,145,789 $ 4,685,134
Cash dividend on common stock, per share $ 0.28 $ 0.25 $ 0.84 $ 0.75
v3.10.0.1
SEGMENT REPORTING (Narrative) (Details)
9 Months Ended
Sep. 30, 2018
segment
SEGMENT REPORTING [Abstract]  
Number of operating segments 4
Number of reportable segments 4
v3.10.0.1
SEGMENT REPORTING (Segment Financial Disclosure) (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Dec. 31, 2017
Dec. 31, 2016
Segment Reporting Information [Line Items]            
Total revenues $ 1,240,197 $ 1,094,715 $ 3,294,822 $ 2,912,806    
Gross profit 343,142 303,758 825,661 751,996    
Depreciation, depletion, accretion and amortization 89,390 79,636 256,463 227,974    
Cash and cash equivalents and restricted cash 43,069 701,163 43,069 701,163 $ 146,646 $ 268,019
Total assets 9,875,635 9,439,334 9,875,635 9,439,334 $ 9,504,891  
Operating Segments [Member]            
Segment Reporting Information [Line Items]            
Total revenues 1,319,062 1,166,089 3,502,556 3,103,329    
Total assets [1] 9,724,532 8,567,156 9,724,532 8,567,156    
Intersegment Sales [Member]            
Segment Reporting Information [Line Items]            
Total revenues (78,865) (71,374) (207,734) (190,523)    
Aggregates [Member]            
Segment Reporting Information [Line Items]            
Total revenues 904,866 787,325 2,431,919 2,136,062    
Aggregates [Member] | Operating Segments [Member]            
Segment Reporting Information [Line Items]            
Total revenues [2] 983,731 858,699 2,639,653 2,326,585    
Gross profit [3] 303,787 257,751 735,484 647,961    
Depreciation, depletion, accretion and amortization 72,729 64,071 208,420 182,559    
Total assets [1] 8,890,421 7,974,915 8,890,421 7,974,915    
Aggregates [Member] | Intersegment Sales [Member]            
Segment Reporting Information [Line Items]            
Total revenues (78,865) (71,374) (207,734) (190,523)    
Asphalt [Member]            
Segment Reporting Information [Line Items]            
Total revenues 231,700 189,940 547,363 461,474    
Asphalt [Member] | Operating Segments [Member]            
Segment Reporting Information [Line Items]            
Total revenues [4] 231,700 189,940 547,363 461,474    
Gross profit [3] 23,857 31,205 49,853 68,447    
Depreciation, depletion, accretion and amortization 8,428 6,494 22,728 18,841    
Total assets [1] 551,336 355,171 551,336 355,171    
Asphalt [Member] | Intersegment Sales [Member]            
Segment Reporting Information [Line Items]            
Total revenues 0 0 0 0    
Concrete [Member]            
Segment Reporting Information [Line Items]            
Total revenues 101,719 115,485 309,404 309,448    
Concrete [Member] | Operating Segments [Member]            
Segment Reporting Information [Line Items]            
Total revenues 101,719 115,485 309,404 309,448    
Gross profit [3] 14,587 14,138 38,098 33,616    
Depreciation, depletion, accretion and amortization 3,041 3,591 9,504 10,286    
Total assets [1] 278,487 233,565 278,487 233,565    
Concrete [Member] | Intersegment Sales [Member]            
Segment Reporting Information [Line Items]            
Total revenues 0 0 0 0    
Calcium [Member]            
Segment Reporting Information [Line Items]            
Total revenues 1,912 1,965 6,136 5,822    
Calcium [Member] | Operating Segments [Member]            
Segment Reporting Information [Line Items]            
Total revenues 1,912 1,965 6,136 5,822    
Gross profit 911 664 2,226 1,972    
Depreciation, depletion, accretion and amortization 68 180 207 567    
Total assets [1] 4,288 3,505 4,288 3,505    
Calcium [Member] | Intersegment Sales [Member]            
Segment Reporting Information [Line Items]            
Total revenues 0 0 0 0    
Other Segments [Member]            
Segment Reporting Information [Line Items]            
Depreciation, depletion, accretion and amortization 5,124 5,300 15,604 15,721    
Corporate [Member]            
Segment Reporting Information [Line Items]            
Total assets $ 108,034 $ 171,015 $ 108,034 $ 171,015    
[1] Certain temporarily idled assets are included within a segment's Identifiable Assets but the associated DDA&A is shown within Other in the DDA&A section above as the related DDA&A is excluded from segment gross profit.
[2] Includes product sales, as well as freight & delivery costs that we pass along to our customers, and service revenues related to aggregates.
[3] The 2017 amounts have been revised as a result of our adoption of ASU 2017-07 as described in Note 17
[4] Includes product sales, as well as service revenues from our asphalt construction paving business.
v3.10.0.1
SUPPLEMENTAL CASH FLOW INFORMATION (Details) - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
SUPPLEMENTAL CASH FLOW INFORMATION [Abstract]    
Interest (exclusive of amount capitalized) $ 82,339 $ 118,157
Income taxes (99,585) 124,121
Accrued liabilities for purchases of property, plant & equipment 30,588 10,602
Amounts referable to business acquisitions Liabilities assumed 5,056 1,935
Amounts referable to business acquisitions Consideration payable to seller $ 9,500 $ 0
v3.10.0.1
GOODWILL (Narrative) (Details)
9 Months Ended
Sep. 30, 2018
USD ($)
segment
Sep. 30, 2017
USD ($)
Goodwill [Line Items]    
Goodwill impairment charges $ 0 $ 0
Number of Reportable Segments | segment 4  
Calcium [Member]    
Goodwill [Line Items]    
Goodwill, accumulated impairment losses $ 252,664,000  
v3.10.0.1
GOODWILL (Changes in Carrying Amount of Goodwill by Reportable Segment) (Details) - USD ($)
$ in Thousands
9 Months Ended 12 Months Ended
Sep. 30, 2018
Dec. 31, 2017
Goodwill [Line Items]    
Goodwill, Beginning balance $ 3,122,321  
Goodwill of acquired businesses 47,294 [1] $ 27,497
Goodwill, Ending balance 3,169,615 3,122,321
Aggregates [Member]    
Goodwill [Line Items]    
Goodwill, Beginning balance 3,030,688  
Goodwill of acquired businesses [1] 47,294  
Goodwill, Ending balance 3,077,982 3,030,688
Asphalt [Member]    
Goodwill [Line Items]    
Goodwill, Beginning balance 91,633  
Goodwill of acquired businesses [1] 0  
Goodwill, Ending balance 91,633 91,633
Concrete [Member]    
Goodwill [Line Items]    
Goodwill, Beginning balance 0  
Goodwill of acquired businesses [1] 0  
Goodwill, Ending balance 0 0
Calcium [Member]    
Goodwill [Line Items]    
Goodwill, Beginning balance 0  
Goodwill of acquired businesses [1] 0  
Goodwill, Ending balance $ 0 $ 0
[1] See Note 16 for a summary of acquisitions.
v3.10.0.1
ACQUISITIONS AND DIVESTITURES (Narrative) (Details) - USD ($)
3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2018
Mar. 31, 2018
Dec. 31, 2017
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
Dec. 31, 2017
Significant Acquisitions and Disposals [Line Items]              
Consideration transferred, net of assets divested             $ 842,013,000
Total consideration         $ 216,581,000   1,080,815,000
Cash consideration         213,138,000 $ 210,562,000 822,432,000
Consideration payable amount             9,681,000
Assets acquired     $ 9,900,000       9,900,000
Goodwill         47,294,000 [1]   27,497,000
Deferred income taxes, net $ 34,808,000       34,808,000    
Gain on sale of property, plant & equipment and businesses 2,104,000     $ 1,488,000 8,374,000 4,630,000  
Assets held for sale 0   0 $ 0 0 $ 0 0
Aggregates USA [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amount of assets divested     287,292,000       287,292,000
Gain on sale of property, plant & equipment and businesses     0        
Acquisitions 2018 [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amortizable intangible assets recognized         $ 41,497,000    
Intangible assets amortization period, tax purposes         15 years    
Goodwill         $ 46,302,000    
Intangible assets, deductible for income tax purposes 4,720,000       4,720,000    
Goodwill, deductible for income tax purposes $ 0       $ 0    
Acquisitions 2017 [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amortizable intangible assets recognized             309,112,000
Intangible assets amortization period, tax purposes         15 years    
Goodwill         $ 992,000    
Arizona [Member]              
Significant Acquisitions and Disposals [Line Items]              
Gain on sale of property, plant & equipment and businesses     8,021,000        
Assets divested, fair value     9,900,000       9,900,000
Assets held for sale     $ 1,879,000       1,879,000
Georgia [Member]              
Significant Acquisitions and Disposals [Line Items]              
Gain on sale of property, plant & equipment and businesses   $ 2,929,000          
Contractual Rights In Place [Member] | Acquisitions 2017 [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amortizable intangible assets recognized             309,012,000
Contractual Rights In Place - Straight-Line Method [Member] | Acquisitions 2018 [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amortizable intangible assets recognized         $ 40,417,000    
Estimated weighted-average amortization period of intangible assets         20 years    
Contractual Rights In Place - Straight-Line Method [Member] | Acquisitions 2017 [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amortizable intangible assets recognized             73,879,000
Estimated weighted-average amortization period of intangible assets         19 years 3 months 18 days    
Contractual Rights In Place - Units Of Sales [Member] | Acquisitions 2018 [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amortizable intangible assets recognized         $ 1,080,000    
Estimated weighted-average amortization period of intangible assets         30 years    
Contractual Rights In Place - Units Of Sales [Member] | Acquisitions 2017 [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amortizable intangible assets recognized             235,133,000
Estimated weighted-average amortization period of intangible assets         54 years 8 months 12 days    
Other Intangibles [Member] | Acquisitions 2017 [Member]              
Significant Acquisitions and Disposals [Line Items]              
Amortizable intangible assets recognized             $ 100,000
[1] See Note 16 for a summary of acquisitions.
v3.10.0.1
ACQUISITIONS AND DIVESTITURES (Schedule Of Business Acquisitions) (Details) - USD ($)
$ in Thousands
9 Months Ended 12 Months Ended
Sep. 30, 2018
Dec. 31, 2017
Significant Acquisitions And Disposals [Line Items]    
Cash $ 207,081 $ 1,072,978
Payable to seller 9,500 7,837
Total fair value of purchase consideration 216,581 1,080,815
Accounts and notes receivable, net 16,434 14,955
Inventories 11,904 21,679
Other current assets 932 608
Investments   3,590
Property, plant & equipment 145,935 433,606
Contractual rights in place 41,497 295,482
Deferred income taxes, net (34,808)  
Liabilities assumed (11,615) (3,894)
Net identifiable assets acquired 170,279 766,026
Goodwill 47,294 [1] 27,497
Net Assets Divested Immediately Upon Acquisition   $ 287,292
Acquisitions 2018 [Member]    
Significant Acquisitions And Disposals [Line Items]    
Goodwill $ 46,302  
[1] See Note 16 for a summary of acquisitions.
v3.10.0.1
NEW ACCOUNTING STANDARDS (Details) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2018
Sep. 30, 2017
Sep. 30, 2018
Sep. 30, 2017
ASU 2017-07 [Member]        
New Accounting Pronouncements or Change in Accounting Principle [Line Items]        
All other components $ 4,135 $ 2,021 $ 12,404 $ 6,062