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66 • ROCK products • August 2018 reflecting a 59 percent increase in frac sand sales volume. The fourth quarter sales volume was impacted by harsh winter weather and rail delays. The fourth quarter's operating loss of $1.6 million includes depreciation, depletion and amorti- zation of $3.7 million. Revenue from Cement, including joint venture and interseg- ment revenue, increased 15 percent to $651.8 million for full fiscal 2018. Fiscal 2018 operating earnings from Cement were a record $179.2 million, an increase of 17 percent, reflecting the financial results of the acquired cement plant in Fairborn, Ohio, and related assets (the Fairborn business) and improved pricing. Revenue in the Heavy Materials sector, which includes Cement, Concrete and Aggregates and joint venture and intersegment Cement revenue, increased 12 percent to $807.4 million in fiscal year 2018. Heavy Materials operating earnings for the fiscal year were $197.0 million, an increase of 15 percent. Fiscal 2018 revenue from Concrete and Aggregates increased 2 percent to $155.7 million. Concrete and Aggregates reported fiscal 2018 operating earnings of $17.9 million, down 1 percent. Concrete and Aggregates revenue for the fourth quarter of 2018 was $30.7 million, a decrease of 22 percent. Fourth quarter operating earnings were $2.8 million, a 44 percent decline from the same quarter a year ago. Operating earnings from Cement for the fourth quarter were $24.7 million, 5 percent below the same quarter a year ago. The earnings decline was driven primarily by reduced sales volume due to persistently wet weather in many of our mar- kets and was partially offset by earnings from the Fairborn business and improved average net cement sales prices. Cement revenue for the quarter, including joint venture and intersegment revenue, was down 1 percent to $115.6 million. Cement sales volume for the quarter was down 4 percent to 945,000 tons. The average net sales price for the quarter improved 3 percent to $108.98 per ton. Commenting on the results, Dave Powers, president and CEO, said, "Our track record of competitive margin performance remains industry leading due to our long-standing commit- ment to improving our low-cost producer positions, through wise investment in our people, processes and operations. We have invested more than $1.5 billion so far this cycle to profitably grow our businesses and create shareholder value. As we look ahead, our strong balance sheet and anticipated cash flows, which have been enhanced by tax reform, position us to continue to execute on value-creation opportunities." LafargeHolcim Touts North American Market Potential LafargeHolcim is reporting a "good start to the year" with like-for-like net sales up 3.1 percent despite the impact of adverse weather and fewer working days in the first quarter of the year. Broadly, the underlying market trends seen at the end of 2017 continued into the first three months of 2018, accord- ing to the company. In North America, the group said it is well positioned to take advantage of good market conditions despite the effect of a particularly harsh winter. Latin America continued its positive development with top and bottom line growth. Strong performance in China and India contributed to growth in the Asia Pacific region. In con- trast, Middle East Africa underperformed with challenging conditions in some markets. In Europe, where underlying demand was good, first quarter performance reflected adverse weather, fewer working days and higher mainte- nance activity in preparation for high season growth. Jan Jenisch, group chief executive officer of LafargeHolcim, said, "The first quarter was a good start to the year. The con- tinued growth in the top line is encouraging and confirms the positive outlook for our businesses. Though the quarter was affected by several headwinds, we expect the strength of our portfolio and the benefits of our new strategy to become increasingly visible over the full year. That makes us confi- dent we will deliver on our 2018 targets." The company's outlook for the remainder of 2018: •  Further market growth is anticipated in North America driven by residential and non-residential demand. • Market demand in Latin America is expected to be up in most countries. •  The group expects sustained market demand supported by infrastructure and residential growth in India, while in China favorable market conditions are expected to remain. •  In Southeast Asia, the market environment will gen- erally remain challenging although demand outlook is encouraging. • The environment for building materials is positive across most markets in Europe. •  The overall outlook for Middle East Africa is mixed and the region continues to be affected by challenging markets. Aggregates Industry Almanac Publicly Traded Companies

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