Business Segments

3 Months Ended

Mar. 31, 2013

Business Segments

9. Business Segments

The Corporation conducts its aggregates and vertically-integrated operations through three reportable business segments: Mid-America Group, Southeast Group and West Group. The Corporation also has a Specialty Products segment that includes magnesia-based chemicals products and dolomitic lime.

The following tables display selected financial data for continuing operations for the Corporation’s reportable business segments. Corporate loss from operations primarily includes depreciation on capitalized interest, expenses for corporate administrative functions, unallocated corporate expenses and other nonrecurring and/or non-operational adjustments.

Prior-year segment information has been reclassified to conform to the presentation of the Corporation’s current reportable segments.

	Three Months Ended March 31,
	2013		2012
		(Dollars in Thousands)
Total revenues:
Mid-America Group	$	114,594	$	124,930
Southeast Group		55,743		60,054
West Group		154,433		152,687
Total Aggregates Business		324,770		337,671
Specialty Products		60,230		56,303
Total	$	385,000	$	393,974

	Three Months Ended March 31,
	2013		2012
	(Dollars in Thousands)
Net sales:
Mid-America Group	$	106,233	$	114,614
Southeast Group		51,323		55,158
West Group		132,425		129,044
Total Aggregates Business		289,981		298,816
Specialty Products		55,169		51,716
Total	$	345,150	$	350,532
(Loss) Earnings from operations:
Mid-America Group	$	(11,028)	$	(5,224)
Southeast Group		(8,386)		(5,905)
West Group		(11,298)		(12,327)
Total Aggregates Business		(30,712)		(23,456)
Specialty Products		17,078		18,221
Corporate		(9,923)		(30,092)
Total	$	(23,557)	$	(35,327)

Assets employed for the Mid-America and West Groups changed since prior year as a result of the Corporation’s reorganization of the operations of its Aggregates business (see also Note 1).

	March 31, 2013		December 31, 2012		March 31, 2012
		(Dollars in Thousands)
Assets employed:
Mid-America Group	$	1,035,715	$	1,036,155	$	1,059,794
Southeast Group		588,412		607,705		617,217
West Group		1,141,588		1,147,879		1,144,165
Total Aggregates Business		2,765,715		2,791,739		2,821,176
Specialty Products		154,688		157,673		132,709
Corporate		234,372		211,514		228,232
Total	$	3,154,775	$	3,160,926	$	3,182,117

The Aggregates business includes the aggregates product line, along with the asphalt, ready mixed concrete and road paving product lines of its vertically-integrated operations. All vertically-integrated operations reside in the West Group. Product lines for the Specialty Products segment consist of magnesia-based chemicals, dolomitic lime and other. Net sales and gross profit by product line are as follows:

	Three Months Ended March 31,
	2013		2012
		(Dollars in Thousands)
Net sales:
Aggregates	$	247,791	$	257,346
Asphalt		9,633		12,539
Ready Mixed Concrete		27,368		20,255
Road Paving		5,189		8,676
Total Aggregates Business		289,981		298,816
Magnesia-Based Chemicals		35,859		36,398
Dolomitic Lime		19,126		14,973
Other		184		345
Total Specialty Products		55,169		51,716
Total	$	345,150	$	350,532
Gross profit (loss):
Aggregates	$	2,061	$	11,414
Asphalt		(2,455)		(735)
Ready Mixed Concrete		(315)		(1,229)
Road Paving		(4,287)		(2,855)
Total Aggregates Business		(4,996)		6,595
Magnesia-Based Chemicals		11,531		12,918
Dolomitic Lime		8,237		6,550
Other		(186)		(78)
Total Specialty Products		19,582		19,390
Corporate		(1,999)		(2,159)
Total	$	12,587	$	23,826