Climate Change Data

Environmental Metrics

ESG Focus Areas

• Safe Operations
• Employee Well-Being
• Community Well-Being
• Environmental Stewardship

Environmental Achievements

• 89% reduction in waste coolants since 2010
• 5 lined reservoirs created by reclamation efforts in Fort Collins, Colorado, providing water for 3,500 homes annually
• Reduced energy consumption by 5 percent at Midlothian cement plant
• Reduced fuel burned by 12 percent and saved more than 2,000 tons of CO2 at Specification Aggregates Quarry and Granite Canyon Quarry through fleet upgrades
• Diverted over a million pounds of trash to recycling centers
• Assisted with placing 700,000 tons of recycled asphalt back into the construction process since 2014

Social Achievements

• National agreement with Habitat for Humanity, contributing $50,000 and materials to build or repair nearly 250 homes
• Donated $50,000 to American Red Cross for Hurricane Matthew relief
• Pledged $250,000 over five years to benefit the North Carolina Heart and Vascular Hospital
• Donated $25,000 to redesign and refurbish a space at Peyton Manning Children’s Hospital
• More than 150 operations received Diamond Achievement Award
• Jones Mill Quarry received Diamond Elite Award for excellence in safety, ethics, operational excellence, sustainability, cost discipline and customer satisfaction
• New Harvey Sand plant received Sentinels of Safety award
• Achieved a Total Injury Incident Rate lower than both the general industry and the aggregates industry
• Implemented pre-shift stretching initiative to reduce injuries
• Collected $18,000 for the National Multiple Sclerosis Society through Bike MS
• Awarded more than $1.1 million in scholarships to more than 100 children of employees over 20 years
• Packaged more than 30,000 meals for hungry children and adults with Stop Hunger Now
• Collected more than 3,200 pounds of non-perishable donations for food banks

Governance Achievements

• Full support of sustainability initiatives from the Board of Directors
• Three of six executive officers are women, along with two of ten board members

Climate Goals & Targets

Environmental Challenges

• Hand and finger injuries trending upwards
• Reducing environmental impact

Mitigation Strategies

• High 5 for Safety program focusing on hand safety
• Investing in a $1 million multi-year project to decrease water consumption at Manistee facility
• Public-private partnership with ONWASA to reduce water use at Onslow quarry
• Converting to low-energy LEDs, reducing energy consumption by up to 50 percent
• Utilizing alternative fuels at cement plants
• Implementing a new briquetter at Woodville Lime and Stone facility
• Upgrading mobile equipment fleet to Tier IV engines
• Participating in Emissions Reduction Programs (TERP)
• Experimenting with bio-diesel
• Partnering with a waste handling and recycling specialist

Supply Chain Management

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Magnesium oxide and magnesium hydroxide

Awards & Recognition

• ENERGY STAR® for Midlothian cement plant
• Sterling Safety Award

Environmental Metrics

ESG Focus Areas

• Safety
• Employee Well-being
• Community Well-being
• Environmental Stewardship

Environmental Achievements

• 19% use of alternative fuels at Midlothian Cement Plant
• 5 million tons of material shipped by rail, removing 1.2 million loaded trucks from roadways
• 85 percent reduction in waste coolants by using extended life coolants
• Planting 160,600 tree seedlings in North Carolina since 2005 (estimated annual carbon offset of 497,860 tons)
• Deep-water production well in Nebraska provided over 60 percent of water needed at the mine
• New plate press eliminated the need for a settling pond, capturing and returning 75 dry tons of material per hour
• Replaced 1,000-watt HID bulbs with 300-watt LED bulbs, reducing electricity demand by 70 percent
• Replaced 1,500 low-capacity rail cars with high-capacity cars, decreasing trips by 7.5 percent and saving 775,000 gallons of fuel annually
• 24,000 tons of material reclaimed from ready mix trucks in Texas
• 40,000 tons of concrete waste recycled and reused in Indiana over two years
• Donation of 55 acres of former quarry land to the city of New Bern, North Carolina for recreational purposes
• Creation of a 3.5-acre pollinator habitat at Maiden Quarry, North Carolina

Social Achievements

• 94% participation in 401(k) program by eligible employees
• 8,000+ employees completed ethics training
• 2,500+ volunteer hours completed by employees
• 1,500+ meals sorted, packaged and/or donated by employees
• 55,000+ yards of ready mix concrete donated
• 17,500+ tons of aggregates donated
• 3,000+ visitors from education-related organizations to Martin Marietta sites
• Successful internship program with Area 30 vocational school, resulting in permanent positions for three students
• Participation in the University of Kentucky’s International Collegiate Mining Competition, leading to internships for several students
• Martin Marietta Management Associate Program, resulting in 21 permanent positions since 2013

Governance Achievements

• More than 20% of board seats held by women
• Company-wide ethics training every year

Climate Goals & Targets

Environmental Challenges

• Greenhouse gas emissions from fuel consumption
• Water use in operations
• Waste generation
• Dust emissions

Mitigation Strategies

• Upgrading mobile fleet
• Implementing GHG reduction processes and technologies
• Using alternative fuels (biodiesel)
• Implementing emissions monitoring equipment and real-time fleet management software
• Converting from quarry trucks to conveyor belt systems
• Reusing cooling water streams
• Installing deep water production wells
• Partnering with contractors to recycle waste asphalt and concrete
• Applying environmentally friendly dust suppressants

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• 2017 NSSGA Safety Excellence Awards (multiple levels)
• 2017 NSSGA Environmental Excellence Awards (multiple levels)
• Fortune magazine's World's 100 Fastest Growing Companies (2 years in a row)
• Forbes magazine's Global 2000 Growth Champions
• Forbes magazine's Global 2000 World’s Best Employers
• Wake Tech Foundation's Corporate Benefactor of the Year

Environmental Metrics

ESG Focus Areas

• Safety
• Environmental Stewardship
• Employee Well-being
• Community Well-being

Environmental Achievements

• Reduced total reportable cases and lost-time incidents by 62 percent and 83 percent, respectively, at legacy Bluegrass Materials operations acquired in 2018.
• Reduced carbon intensity of cement business to 0.74 metric tonnes of CO2e/metric tonnes of domestic cement.
• Achieved a world-class lost-time incident rate for the third consecutive year.
• Installed a $5 million plate press at Hunter Stone Quarry, reducing water loss.
• Implemented nine Shumaker Industries “Load and Go Ready Mix Truck Wash”® systems in Dallas-Fort-Worth, reducing water use.

Social Achievements

• Launched a new employer brand, ONE, focusing on Legacy, Truth, and Heart.
• Implemented a companywide Safety Mentor Program.
• Provided support and relief to employees and the community in The Bahamas following Hurricane Dorian.
• Donated 12,287 tons of aggregate material and 1,051 cubic yards of ready mixed concrete to the community.
• Hosted four golf tournaments raising over $316,000 for local charities.

Governance Achievements

• Enhanced disclosure related to environmental impact of operations.
• Provided detailed information on greenhouse gas emissions and reduction targets.
• Maintained ISO 9001 quality management certifications for both magnesia facilities since 1996.
• Women or minorities represent 40% of Board nominees. All Board members attended 100% of Board and Committee meetings. All Board members comply with Corporate Governance Guidelines.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to Hurricane Dorian in The Bahamas.
• Water stress in some operating locations (Texas and Colorado).
• Managing discarded tires in Texas.
• Regulatory hurdles to using alternative fuels in cement production in the U.S.

Mitigation Strategies

• Provided support and relief to employees and the community in The Bahamas.
• Invested in water recovery equipment at multiple sites in Texas and Colorado.
• Installed a tire shredding system at Midlothian Cement Plant.
• Invested in plant upgrades and modernization, reducing coal use and increasing alternative fuel use.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Use of alternative fuels

Reporting Standards

Frameworks Used: TCFD Recommendations, SASB guidelines for the construction materials sector

Certifications: ISO 9001

Awards & Recognition

• 38 NSSGA awards in safety, environmental excellence, and community relations.
• Fortune 1000 listing.
• Forbes’ Global 2000 World’s Largest Public Companies listing.
• The Dallas Morning News’ Top 100 Places to Work list.
• The Denver Post’s Top Workplaces of 2019 list.

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity & Inclusion
• Governance
• Safety
• Community Engagement
• Environmental Stewardship

Environmental Achievements

• Reduced coal in cement kiln fuel mix from 70% to 15% of total fuel usage.
• Continued progress on achieving Scope 1 and 2 GHG reduction commitments for 2030 for cement and magnesia businesses.
• Converted more than 90% of Type I/II cement customers in Texas to PLC or Type 1L cement, estimated to produce up to 10% less GHG emissions.
• Construction of wind turbines at Woodville, OH facility projected to reduce GHG emissions by up to 10,000 metric tons per year.
• Reduced carbon intensity from cement operations to 0.725 net metric tonnes per metric tonne of cement, better than the U.S. industry average.

Social Achievements

• Achieved a company-wide Total Injury Incident Rate (TIIR) of 0.78, exceeding the world-class rate of 0.90 for the second consecutive year.
• 99.8% of employees experienced ZERO lost-time incidents.
• Launched a dedicated section on the company website highlighting Inclusion, Engagement, and Diversity.
• Elevated the Head of Inclusion and Engagement to a Vice President level position.
• Launched Employee Resource Groups (Veterans Community, Women Who Build Community, Multicultural Community).

Governance Achievements

• Refreshed the leadership of the Audit Committee and the Ethics, Environment, Safety and Health (EESH) Committee.
• Updated EESH Committee charter to codify responsibilities.
• Enhanced transparency of diversity and inclusion progress by publishing EEO-1 report data.
• Added a website section providing transparency on political contributions and lobbying activities.
• Management compensation includes short- and long-term goals tied to the long-range plan.

Climate Goals & Targets

Environmental Challenges

• Lack of commercially viable technology to reduce emissions in cement production.
• Compliance with differing ASTM International, TXDOT, and customer specifications.
• Differing regulations for alternative fuels and additives in the U.S. compared to other countries.
• Potential for increased costs or disruptions due to energy or fuel price/availability impacts from climate change regulation or severe weather.

Mitigation Strategies

• Monitoring pilot projects related to carbon capture technology.
• Investing in sustainable energy (e.g., Woodville wind turbines).
• Working with equipment partners to improve emissions in aggregates business.
• Complying with forthcoming SEC rules and regulatory developments.
• Considering setting reduction targets under the SBTi framework.
• Continuing to engage with shareholders.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Code of Ethical Business Conduct applies to vendors, suppliers, and contractors.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Flooding
• Drought
• Impacts on production, shipments, and profitability.

Transition Risks

• Regulatory changes (GHG emissions reporting/reductions, alternative fuels, carbon credits/tax).
• Increased operating costs or taxes.
• Challenges from future technologies (carbon capture).

Opportunities

• Increased demand for products due to infrastructure projects (IIJA).
• Development of energy-efficient products.
• Increased demand for green construction projects.

Reporting Standards

Frameworks Used: TCFD, SASB

Certifications: ISO 9001 (Magnesia Specialties)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation, and Infrastructure)
• Goal 13 (Climate Action)

Initiatives contribute to these goals through GHG emission reductions, sustainable building materials, and community engagement.

Sustainable Products & Innovation

• Portland Limestone Cement (PLC)
• Recycled aggregates
• Products used to reduce emissions (scrubber stone, magnesia-based products).

Awards & Recognition

• Numerous NSSGA awards (safety, environmental, community relations).
• NRMCA awards (environmental excellence, safety, quality).
• National Asphalt Pavement Association Quality in Construction Award.
• Colorado Division of Reclamation, Mining and Safety Jim Pendleton Award.
• Newsweek’s Most Trustworthy Companies in America.