Capital Returns, Deployment, and Accumulation

VMC

Capital Returns 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

NWC 543.8 407.5 382.0 720.8 578.1 482.1 449.1 435.7 423.7 458.8

Net PPE 1,536.5 1,604.0 1,869.1 3,620.1 4,155.8 3,874.7 3,632.9 3,418.2 3,159.2 3,312.0

Invested Operating Capital 2,080.3 2,011.5 2,251.1 4,340.9 4,733.9 4,356.8 4,082.0 3,853.9 3,582.9 3,770.8

Debt 607.7 595.5 521.6 3,656.5 3,547.8 2,738.0 2,718.3 2,815.4 2,677.0 2,522.4

Equity 2,014.0 2,126.5 2,001.1 3,759.6 3,522.7 4,052.0 3,965.0 3,791.6 3,761.1 3,938.1

Invested Financial Capital 2,621.7 2,722.0 2,522.7 7,416.1 7,070.5 6,790.0 6,683.2 6,607.1 6,438.1 6,460.5

EBIT 378.1 468.8 667.6 688.0 413.8 124.4 (23.8) (6.1) 74.9 167.5

Tax Adjustment (132.3) (164.1) (233.7) (240.8) (144.8) (43.5) 8.3 2.1 (26.2) (58.6)

NOPAT 245.8 304.7 433.9 447.2 269.0 80.8 (15.5) (4.0) 48.7 108.8

NOPAT Margin 10.0% 10.5% 13.0% 13.4% 7.4% 3.0% (0.6)% (0.2)% 1.9% 3.9%

NWC as % Sales 22.2% 14.1% 11.4% 21.7% 15.8% 17.9% 17.6% 17.0% 16.5% 16.6%

PPE Turns 1.6x 1.8x 1.8x 0.9x 0.9x 0.7x 0.7x 0.8x 0.8x 0.8x

ROIC (Operating) 11.8% 15.1% 19.3% 10.3% 5.7% 1.9% (0.4)% (0.1)% 1.4% 2.9%

ROIC (Financial) 9.4% 11.2% 17.2% 6.0% 3.8% 1.2% (0.2)% (0.1)% 0.8% 1.7%

Net Income Margin 10.6% 11.9% 14.3% 13.9% (0.0)% 0.7% (4.0)% (2.9)% (2.1)% 0.7%

Asset Turns 0.7x 0.8x 1.0x 0.4x 0.4x 0.3x 0.3x 0.3x 0.3x 0.3x

ROA 7.1% 9.6% 13.9% 5.2% (0.0)% 0.2% (1.2)% (0.9)% (0.7)% 0.3%

Asset Leverage 1.8x 1.7x 1.7x 2.4x 2.5x 2.1x 2.1x 2.2x 2.2x 2.1x

ROE 13.0% 16.2% 23.9% 12.3% (0.0)% 0.5% (2.6)% (2.0)% (1.4)% 0.5%

Debt/EBITDA 1.0x 0.9x 0.6x 3.8x 4.4x 5.3x 7.6x 7.9x 6.6x 5.3x

Debt/Capital 23.2% 21.9% 20.7% 49.3% 50.2% 40.3% 40.7% 42.6% 41.6% 39.0%

Capital Deployment 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Cash Sources Net Total % Total % EBITDA

EBITDA Generated 588.1 684.4 886.8 959.5 802.9 519.0 358.3 355.6 406.8 474.6 6,036.0 66% 100%

Working Capital Runoff - 136.3 25.5 - 142.8 96.0 33.0 13.4 12.0 - - 0% 0%

Sale of Assets 48.4 10.6 7.9 88.9 25.5 17.8 13.6 13.7 80.8 17.6 - 0% 0%

Debt Raised - - - 3,134.9 - - - 97.2 - - 1,636.0 18% 27%

Equity Raised 21.5 - - 30.3 79.7 623.9 62.2 8.6 10.5 13.6 165.7 2% 3%

Other 308.1 113.4 104.2 242.0 - 7.0 15.9 2.3 74.5 200.5 1,061.2 12% 18%

Cash from Balance Sheet - 0.4 395.0 20.3 - 20.6 - - - 81.7 227.9 2% 4%

Total Sources 966.1 945.2 1,419.4 4,476.0 1,050.9 1,284.1 483.0 490.7 584.7 788.0 9,126.9 100% 151%

Cash Uses

EBITDA Burn - - - - - - - - - - - 0% 0%

Cash Interest 44.2 37.3 32.6 41.9 179.9 181.4 172.7 205.1 207.7 196.8 1,299.6 14% 22%

Cash Taxes 90.1 212.0 219.2 132.7 91.5 (25.2) (15.7) (29.9) 20.4 30.9 726.1 8% 12%

Working Capital Investment 179.5 - - 338.8 - - - - - 35.1 94.4 1% 2%

Capex 203.8 215.6 435.2 483.3 353.2 109.7 86.3 98.9 93.4 275.4 2,030.0 22% 34%

Acquisition 34.6 159.1 20.5 3,297.9 84.1 37.0 70.5 10.5 - 90.0 3,804.2 42% 63%

Debt Paydown 278.6 12.3 73.9 - 108.7 809.8 19.8 - 138.4 154.6 - 0% 0%

Share Repurchase - 190.5 493.9 - - - - - - - - 0% 0%

Dividend 106.3 118.2 144.1 181.3 214.8 171.5 127.8 98.2 5.2 5.2 1,172.5 13% 19%

Other - - - - 6.6 - - - - - - 0% 0%

Cash to Balance Sheet 29.0 - - - 12.0 - 21.7 107.8 119.6 - - 0% 0%

Total Uses 966.1 945.2 1,419.4 4,476.0 1,050.9 1,284.1 483.0 490.7 584.7 788.0 9,126.9 100% 151%

Deployable FCF

Capex / EBITDA 34.7% 31.5% 49.1% 50.4% 44.0% 21.1% 24.1% 27.8% 22.9% 58.0% 31%

Capital Accumulation 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Beginning BVPS $ 17.60 $ 19.78 $ 22.52 $ 20.93 $ 34.13 $ 28.09 $ 31.56 $ 30.68 $ 29.26 $ 28.93

EPS 2.52 3.30 4.79 4.66 (0.02) 0.16 (0.80) (0.58) (0.42) 0.16

DPS (1.04) (1.16) (1.48) (1.84) (1.96) (1.48) (1.00) (0.76) (0.04) (0.04)

(Repurchases)/Issue Per Share 0.21 (1.94) (5.20) 0.29 0.68 4.92 0.48 0.07 0.08 0.10

Other 0.48 2.55 0.30 10.08 (4.74) (0.13) 0.44 (0.15) 0.06 0.95

Ending BVPS $ 19.78 $ 22.52 $ 20.93 $ 34.13 $ 28.09 $ 31.56 $ 30.68 $ 29.26 $ 28.93 $ 30.11

% y/y 12.3% 13.9% (7.0)% 63.0% (17.7)% 12.3% (2.8)% (4.6)% (1.1)% 4.1%

BVPS Accumulation ex Dist $ 20.61 $ 28.90 $ 39.95 $ 57.57 $ 53.29 $ 49.00 $ 49.20 $ 49.15 $ 48.63 $ 49.98

% y/y 17.1% 40.3% 38.2% 44.1% (7.4)% (8.1)% 0.4% (0.1)% (1.1)% 2.8%

Shares Out 101.8 94.4 95.6 110.1 125.4 128.4 129.2 129.6 130.0 130.8