Q3 2012 Earnings Presentation

Third Quarter 2012 Earnings Results

November 8, 2012

3Q 2012 Earnings Results – November 8, 2012 2

This document contains forward-looking statements. Statements that are not historical fact, including statements about Vulcan's beliefs and expectations, are forward-looking statements. Generally, these statements relate to future financial performance, results of operations, business plans or strategies, projected or anticipated revenues, expenses, earnings (including EBITDA and other measures), dividend policy, shipment volumes, pricing, levels of capital expenditures, intended cost reductions and cost savings, anticipated profit improvements and/or planned divestitures and asset sales. These forward-looking statements are sometimes identified by the use of terms and phrases such as "believe," "should," "would," "expect," "project," "estimate," "anticipate," "intend," "plan," "will," "can," "may" or similar expressions elsewhere in this document. These statements are subject to numerous risks, uncertainties, and assumptions, including but not limited to general business conditions, competitive factors, pricing, energy costs, and other risks and uncertainties discussed in the reports Vulcan periodically files with the SEC. Forward-looking statements are not guarantees of future performance and actual results, developments, and business decisions may vary significantly from those expressed in or implied by the forward-looking statements. The following risks related to Vulcan's business, among others, could cause actual results to differ materially from those described in the forward-looking statements: risks that Vulcan's intentions, plans and results with respect to cost reductions, profit enhancements and asset sales, as well as streamlining and other strategic actions adopted by Vulcan, will not be able to be realized to the desired degree or within the desired time period and that the results thereof will differ from those anticipated or desired; uncertainties as to the timing and valuations that may be realized or attainable with respect to intended asset sales; those associated with general economic and business conditions; the timing and amount of federal, state and local funding for infrastructure; the impact of a prolonged economic recession on Vulcan's industry, business and financial condition and access to capital markets; changes in the level of spending for private residential and nonresidential construction; the highly competitive nature of the construction materials industry; the impact of future regulatory or legislative actions; the outcome of pending legal proceedings; pricing of Vulcan's products; weather and other natural phenomena; energy costs; costs of hydrocarbon-based raw materials; healthcare costs; the amount of long-term debt and interest expense incurred by Vulcan; changes in interest rates; the impact of Vulcan's below investment grade debt rating on Vulcan's cost of capital; volatility in pension plan asset values which may require cash contributions to the pension plans; the impact of environmental clean-up costs and other liabilities relating to previously divested businesses; Vulcan's ability to secure and permit aggregates reserves in strategically located areas; Vulcan's ability to manage and successfully integrate acquisitions; the potential of goodwill impairment; the potential impact of future legislation or regulations relating to climate change or greenhouse gas emissions or the definition of minerals; and other assumptions, risks and uncertainties detailed from time to time in the reports filed by Vulcan with the SEC. All forward-looking statements in this communication are qualified in their entirety by this cautionary statement. Vulcan disclaims and does not undertake any obligation to update or revise any forward-looking statement in this document except as required by law.

Important Disclosure Notes – Forward Looking Statements

3Q 2012 Earnings Results – November 8, 2012

Third Quarter Highlights Continued Improvement in Earnings and Aggregates Profitability

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• Continued Earnings Improvement

• Adjusted EBITDA increased 9 percent • Adjusted Earnings from Continuing Operations were $0.14 per diluted

share, an improvement of $0.27 per share from the prior year

• Higher Aggregates Profitability Due to Improved Pricing and Cost Reduction Initiatives • Record third quarter cash unit profitability of $4.75 per ton • Aggregates segment gross profit margin increased 340 basis points • Aggregates pricing increased 4 percent • Unit cost of sales decreased 1 percent on lower production volumes

• Construction-related Fundamentals Continue to Improve

• Leading indicators of Private sector construction are growing • New federal highway bill will provide stability and predictability to funding

Note: Please see Non-GAAP reconciliations at the end of this presentation. Aggregates Gross Profit Margin calculated using Segment Total Revenues.


Overall Third Quarter and Year-to-Date 2012 Financial Results Significant Margin Expansion

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Note: Please see Non-GAAP reconciliations at the end of this presentation. Margin calculated using Net Sales.

Gross Profit Margin Adjusted EBITDA Margin

Third Quarter Nine Months Ending Sept. 30



3Q and Year-to-Date 2012 Segment Results Record Third Quarter Unit Profitability in Aggregates

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Note: Please see Non-GAAP reconciliations at the end of this presentation. Aggregates Gross Profit Margin calculated using Segment Total Revenues.

Cash Gross Profit / Ton Aggregates Gross Profit Margin




Aggregates Performance Higher Pricing and Lower Costs Are Driving Earnings Growth

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Third Quarter 2012 Nine Months Ending September 30, 2012

($18) +$15

+$6 $187 $184

($5) +$14

+$15 $463

$439

Note: Please see Non-GAAP reconciliations at the end of this presentation.

Change Due To: Change Due To:


Aggregates Performance Unit Profitability Continues to Increase

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TTM 3Q’12 profitability

is 8% higher than prior

year twelve months

and 30% higher than

peak-year in volumes

(2005)

Trailing Twelve Months Cash Gross Profit Per Ton of Aggregates



Non-Aggregates Performance Concrete and Cement Volumes Recovering from Cyclical Lows

• Concrete and Cement segments have benefitted from increased private construction activity. • Asphalt volumes are down due to softness in highways while overall material margins remain stable.

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Third Quarter 2012 Nine Months Ending Sept. 30

Year-Over-Year Change in Volumes


End Markets Passage of Federal Highway Bill Should Provide Stability and Predictability to Funding

Map-21 signed into law July 2012

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End Markets TIFIA Funding Should Positively Impact Future Aggregates Demand in Our Markets

10

Potential TIFIA Projects in Vulcan-Served Counties


End Markets Other Public Infrastructure Has Remained Lumpy Through the Downturn

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End Markets Private Construction Growth Bodes Well for Continued Recovery in Our Markets

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End Markets Private Construction Growth Bodes Well for Continued Recovery in Our Markets

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2012 Value Commentary

+1 to 3% Aggregates

Price growth

~(1%) Aggregates Shipments

$435 to $455M

EBITDA

Up 23 to 29 percent from Adjusted EBITDA of $354 million in the prior year. Includes $29 million in gains, of which $18 million has been realized. Excludes results related to other Planned Asset Sales.

$260M SAG Includes benefit of Organizational Restructuring, Profit Enhancement Plan and other cost reduction initiatives.

Full Year 2012 Outlook

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Reflects continued recovery in private construction activity and newly enacted federal highway legislation.

Updated due to the uneven pace and rate of growth in shipments. Same-store shipments flat with prior year.



Summary Continued Focus on Executing Our Initiatives to Further Improve Operating Leverage

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Through the first nine months of 2012… • Continued Earnings Improvement

• Adjusted EBITDA up $64 million, or 25 percent • Adjusted Earnings from Continuing Operations has improved $0.48 per

diluted share

• Higher Aggregates Profitability Due to Improved Pricing and Cost Reduction • Cash gross profit $4.30 per ton, up 6 percent from the prior year • Aggregates segment gross profit margin has increased 340 basis points • Aggregates pricing has increased 1.3 percent

• Controllable costs have been reduced approximately $70 million • Construction-related fundamentals continue to improve

• Leading indicators of private sector construction remain positive • New federal highway bill will provide stability and predictability to funding


Question & Answer Session


Reconciliation of Non-GAAP Measures

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Source: Company filings

Reconciliation of Non-GAAP Financial MeasuresAmounts in millions of dollars

EBITDA

EBITDA is an acronym for Earnings Before Interest, Taxes, Depreciation and Amortization.

Cash gross profit

Cash gross profit adds back noncash charges for depreciation, depletion, accretion and amortization to gross profit.

Q3

2012

Q3

2011

YTD

9/30/12

YTD

9/30/11

YTD

12/31/11

EBITDA

Net earnings (loss) 14.3 20.0 (56.1) (42.8) (70.8)

Provision (benefit) for income taxes (11.0) 29.8 (67.1) (47.9) (78.4)

Interest expense, net 53.0 50.7 159.0 163.9 217.2

Discontinued operations, net of tax 1.4 2.5 (2.3) (6.4) (4.5)

EBIT 57.7 103.0 33.5 66.8 63.5

Plus: Depr., depl., accretion and amort. 84.1 90.9 253.4 273.5 361.7

EBITDA 141.8 193.9 286.9 340.3 425.2

Legal settlement - (20.9) - (46.4) (46.4)

Restructuring charges 3.0 0.9 9.0 3.0 13.0

Exchange offer costs 1.2 - 43.3 - 2.2

Sale of non-strat. asset - (39.7) (18.3) (39.7) (39.7)

Adjusted EBITDA 146.0 134.2 320.9 257.2 354.3

Q3

2012

Q3

2011

YTD

9/30/12

YTD

9/30/11

Earnings Per Share (EPS)

As reported 0.12 0.17 (0.45) (0.38)

Legal settlement - (0.11) - (0.22)

Restructuring charges 0.01 - 0.04 0.01

Exchange offer costs 0.01 - 0.20 -

Sale of non-strat. asset - (0.19) (0.09) (0.19)

Adjusted EPS 0.14 (0.13) (0.29) (0.77)

Q3

2012

Q3

2011

YTD

9/30/12

YTD

9/30/11

Aggregate Segment Cash Gross Profit

Segment gross profit 124.9 113.4 270.7 227.0

Depr., depl., accretion and amort. 62.3 70.3 191.8 211.5

Segment cash gross profit 187.2 183.7 462.5 438.5

Tons 39.4 42.6 107.6 108.5

Segment cash gross profit per ton 4.75 4.31 4.30 4.04

Q3

2012

Q2

2012

Q1

2012

Q4

2011

Q3

2011

Q2

2011

Q1

2011

Q4

2010

Q3

2010

Q2

2010

Q1

2010

Q4

2009

Q3

2009

Q2

2009

Q1

2009

Q4

2008

Q3

2008

Q2

2008

Q1

2008

Aggregates segment gross profit 350.0 338.5 329.5 306.2 284.6 296.4 315.5 320.1 332.2 340.2 345.0 393.3 451.2 503.2 594.3 657.6 722.3 775.2 808.2

Agg. Depr., depl., accretion and amort. 258.5 266.1 272.6 277.8 281.6 286.2 289.9 293.0 295.8 296.5 297.5 312.2 302.2 302.6 300.7 310.8 296.3 278.4 260.8

Aggregates segment cash gross profit 608.5 604.6 602.1 584.0 566.2 582.6 605.5 613.2 628.0 636.7 642.5 705.5 753.5 805.8 895.0 968.4 1,018.6 1,053.6 1,069.0

Aggregate tons 142.1 145.3 145.8 143.0 142.2 143.0 146.8 147.6 147.4 148.6 146.2 150.9 160.7 172.6 190.8 204.3 217.4 224.4 228.5

Aggregates segment cash gross profit per ton 4.28 4.16 4.13 4.08 3.98 4.07 4.12 4.15 4.26 4.28 4.39 4.68 4.69 4.67 4.69 4.74 4.68 4.70 4.68

Q4

2007

Q3

2007

Q2

2007

Q1

2007

Q4

2006

Q3

2006

Q2

2006

Q1

2006

Q4

2005

Q3

2005

Q2

2005

Q1

2005

Q4

2004

Q3

2004

Q2

2004

Q1

2004

Aggregates segment gross profit 828.7 846.3 849.7 826.9 824.5 772.8 732.4 690.4 650.0 591.9 565.5 524.1 517.0 519.1 513.7 510.8

Agg. Depr., depl., accretion and amort. 246.9 221.4 215.3 207.8 200.9 199.2 200.7 203.9 206.4 206.2 203.1 200.7 199.9 200.1 200.9 201.6

Aggregates segment cash gross profit 1,075.6 1,067.7 1,065.0 1,034.7 1,025.5 972.0 933.0 894.3 856.4 798.2 768.6 724.7 716.9 719.2 714.6 712.4

Aggregate tons 231.0 234.5 239.8 246.7 254.7 258.8 263.6 265.3 259.5 255.0 252.6 245.8 242.3 240.8 239.5 236.2

Aggregates segment cash gross profit per ton 4.66 4.55 4.44 4.19 4.03 3.76 3.54 3.37 3.30 3.13 3.04 2.95 2.96 2.99 2.98 3.02

Generally Accepted Accounting Principles (GAAP) does not define "Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA)" and "cash gross profit." Thus, they should not be considered

as an alternative to any earnings measure defined by GAAP. We present these metrics for the convenience of investment professionals who use such metrics in their analysis, and for shareholders who

need to understand the metrics we use to assess performance and to monitor our cash and liquidity positions. The investment community often uses these metrics as indicators of a company's ability to incur

and service debt. We use cash gross profit, EBITDA and other such measures to assess the operating performance of our various business units and the consolidated company. We do not use these

metrics as a measure to allocate resources. Reconciliations of these metrics to their nearest GAAP measures are presented below:

Trailing 12 Months

Aggregates Segment Cash Gross Profit

Documents

Q3 2012 Earnings Presentation