Zachry Construction Corporation

Overview

The Zachry Construction Company Timeline

1920s 1930s

H. B. Zachry Company is Incorporated.

1930 ~1920 ~

The company moves from rented office space above a Laredo drugstore to new offices spanning three-fourths of a city block on Lincoln Street in Laredo.

1929 ~

H.B. “Pat” Zachry, Sr. establishes a construction business with $2,400 capital and wins a contract with the Texas Highway Department to construct a bridge in Laredo, Texas.

1931 ~

Zachry wins its first contract with the U.S. Army Corps of Engineers, to pave streets at Randolph Field (now RAFB) near San Antonio, Texas.

1940s

1940 ~

H.B. Zachry is elected president of the Associated General Contractors of America.

1940 ~ 1945

Zachry performs $50 million of defense work during World War II.

1947 ~1947 ~

On December 10, Wayne Tiner succeeds H.B. Zachry, Sr. as president of the H.B. Zachry Company. The post-war construction boom begins and the company’s volume increases from $2 million to $30 million over the next decade.

Zachry’s first project outside of Texas was on the Texas-New Mexico Pipeline project in Leo County, New Mexico.

1950s

1950 ~

The company completed its first “big inch” pipeline job – 95 miles of 30” line for Texas Eastern Pipeline Company. Over the next 35 years Zachry completed 5,248 miles of pipeline installation (enough to travel from the east coast to the west coast and back).

1951 ~

On October 9, Delbert Ward becomes company president after Wayne Tiner is killed in an auto accident. On June 23, the home office is moved from Laredo to San Antonio.

1953 ~

Zachry begins construction on its first power plant, the 66MW Lon C. Hill Power Station for Central Power and Light Company.

1954 ~

An over 50 year relationship with the City Public Service Board of San Antonio begins with the construction contract for Unit II of the W.B. Tuttle Steam Power Plant.

1956 ~

On December 17, H.B. Zachry, Sr., once again becomes company president.

1959 ~

Pacific-Martin-Zachry Joint Venture wins a $3.2 million contract to construct the Nike-Zues test facilities. Located on Kwajalein Atoll in the Marshall Islands, this anti-missile defense project was the first of nearly $250 million of related projects Zachry was completed over the next 25 years.

1960s

1961 ~

Zachry and Brown & Root complete the last of 12 Atlas missile silos for the U.S. Army Corps of Engineers and the U.S. Air Force.

1965 ~

Zachry begins its first nuclear power projects, the Zorita Nuclear Power Plant located in Spain.

1965 ~On December 15, Bartell Zachry is elected president of the company.

1966 ~Zachry is part of a six-company consortium awarded a $142.9 million contract for the development of the Yuba River in Northern California. At the time, it was the largest single contract ever awarded in the U.S.

1968 ~

Zachry uses innovative modular construction techniques to build the 500-room Hilton Palacio Del Rio in 202 days to accommodate visitors to San Antonio for HemisFair ’68.

1968 ~Zachry International begins operations in Puerto Rico.

1968 ~

H.B. Zachry, Sr. performing the ribbon cutting for the opening of the 1968 HemisFair in San Antonio, Texas.

1970s

1971 ~

Zachry-South Pacific Joint Venture wins a $57.3 million paving contract for the Dallas-Fort Worth Regional Airport. In 1973, the joint venture achieves a one-day record for paving – 5,312.5 linear feet of 50-foot wide, 15-inch thick taxiway, with 12,630 cubic yards of concrete during construction of the new Dallas-Fort Worth Regional Airport.

1973 ~

On October 1, Zachry begins work on Texas’s largest coal-burning plant, the Martin Lake Generating Station, a $2 billion investment by Texas Power & Light.

1974 ~

Union Carbide hires Zachry to build and expand a $450 million world scale olefins plant in Taft, LA.

1974 ~In March, the four-story Zachry Engineering Center is dedicated at Texas A&M University.

1975 ~ 1976

Zachry and four large construction companies are hired to build 223 miles of the Trans-Alaska pipeline.

1976 ~ Zachry designs and builds temporary and permanent base camps for an electronic surveillance system for the Sinai Field Mission in buffer zone between Israel and Egypt using 123 precast concrete modules shipped from San Antonio.

1978 ~

Zachry is awarded the $22.8 million contract for expansion of Texas A&M Kyle Field Stadium; completed in 1980.

1980s

1980 ~

Zachry completed work on the Martin Lake Steam Electric Station in 1981. This $181.8 million project included the construction of three 750MW lignite-fired boilers and related facilities.

1980 ~ 1984

Zachry builds 2,014 units of student housing using concrete modules of Abilene Christian University, Angelo State University, University of Texas at Austin, Tarleton State University, Texas A&M University and St. Mary’s University.

1981 ~

Texas Department of Transportation awards Zachry a $63.5 million contract for reconstruction of North Loop 410/IH-35 Interchange in San Antonio, Texas. In 1980, it was the largest highway contract ever awarded in Texas.

1984 ~

On September 5, H.B. Zachry, Sr. dies after suffering a stroke.

1986 ~

Bruce Cloud becomes president.

1990s

1993 ~Zachry completes the Mobile Bay Project for Exxon, a $170 million onshore gas treatment facility.

1995 ~

Zachry is awarded the Lyondell Citgo refinery expansion contract in Pasadena, Texas. This $1 billion expansion is the largest of its type in the U.S

1996 ~

Atkinson-Washington-Zachry Joint Venture wins a $400 million contract to build a dam at the Eastside Reservoir in Southern California, the largest earth-moving project in the country.

1996 ~

Zachry-Parsons-Sundt Joint Venture wins a $145 million contract to reconstruct the U.S. Embassy in Moscow.

1998 ~ 1998 ~

On January 1, Zachry Construction Corporation is formed. On July 1, John B. Zachry is named president of the company and David S. Zachry is named president of the Civil Group of the company.

1999 ~

The company celebrates 75 years in business.

1999 ~

Zachry is awarded the ConocoPhillips Strategic Sourcing Initiative contract for ongoing maintenance and small capital construction at five refinery and chemical sites.

In 1998, Zachry began construction on the world’s largest single train steam cracker for BASF/FINA as part of the grassroots olefins complex.

2000 – 2004

2001 ~

Zachry is awarded the “Dallas High Five” by the Texas Department of Transportation – a $261 million, five-level interchange north of Dallas. It is the single most expensive highway construction project in Texas history.

2002 ~

During the power deregulation boom (1998 – 2003), Zachry executed 18 to 26 projects a year. At our peak, we managed $6.6 billion in TIC contracts and earned 1.7 million direct hire workhours in a single month (March 2002).

2003 ~

The company celebrates 30 years of maintenance operations at the DuPont Victoria site.

2004 ~

The U.S. Department of State awards Zachry $59.2 million Design-Build contract for U.S. Embassy projects in Nicaragua, Cambodia and China.

2004 ~

David S. Zachry is named President and COO of Zachry Construction Corporation. John B. Zachry becomes CEO of ZCC and Bartell Zachry continues as Chairman of the Board.

2004 ~

Zachry begins its first Design-Build transportation project for the development, design and construction of a section of state highway in Austin, Texas.

2005 – 2006

2005 ~

Zachry Group, Inc. acquires Utility Engineering Corporation, and three UE subsidiaries; Precision Resource Company, Proto-Power and Universal Utility Services.

2005 ~

Zachry, in a joint venture with Technip and Saipem, was awarded an EPC contract for the Freeport Liquefied Natural Gas Receiving Terminal.

2005 ~

Construction on the Dallas High Five, which began in 2002, reached substantial completion nearly one year ahead of schedule on November 20. The High Five project involved the simultaneous demolition and reconstruction of IH-635 and U.S. 75.

2005 ~

H.B. Zachry International (HBZI) reached substantial completion of the Cambodian U.S. Embassy compound on October 1, more than one month ahead of schedule.

2006 ~

Zachry crews began constructing a 1-mile extension of SH 360 October 2005 and completed the project 10 months ahead of the project contract schedule.

2006 ~

The ZCC team at a petrochemical plant in Victoria, Texas has reached a phenomenal safety milestone – 15 million work hours without a lost-time accident.

2007 – 2008

2007 ~ 2007 ~ 2007 ~

The City of San Antonio Emergency Operations Center was completed in 2007. This 37,000 SF Design-Build project is intended as a joint-use facility for the City, County, State and Federal emergency management personnel in the event of a natural or man-made emergency.

Capitol Aggregates, a Zachry Group company, celebrated its 50th anniversary. Capitol Aggregates business consists of cement and aggregate production.

The Florida Power and Light Turkey Point Power Plant was designed to ensure a minimal impact on the environment. More than 60 different species of birds and animals call Turkey Point home.

2007 ~

The Zachry Construction Corporation Employment and Conference Center Building is the first building in San Antonio to receive a Gold LEED rating.

Due to significant growth in all business units, Zachry decided in 2007 to realign their five construction business units along industry lines to provide greater strategic focus on growth opportunities and operational performance. The two business units that focus on civil construction (Heavy/Highway and Building) were transferred to a new entity named Zachry Construction Corporation and the three business units that focus on industrial construction and maintenance (Power, Industrial Process, and Industrial Services) changed its name to Zachry Industrial, Inc. so as to be reflective of its business markets. This reorganization became effective January 1, 2008.  Zachry Construction Corporation retained its leaders and employees, as well as the knowledge base associated with those leaders, employees and work history.

2008 ~

2008 – Present

2008 ~

Zachry Construction Corporation Heavy Division was awarded the $121 million Section XXX of the President George Bush Turnpike by the North Texas Tollway Authority.

2008 ~

Zachry Construction Corporation Building Division was awarded the $51 million Design-Build Bexar County Justice Center Expansion project.

2009 ~

Zachry Construction Corporation Heavy and Building Divisions are working jointly to complete an expansion of the San Antonio Riverwalk. The project includes a lock and dam, boat landings, a harbor and architectural aesthetics.

Three Generations, One Company

Zachry Businesses

OIL & GAS

Mineral ManagementOil & Gas Exploration

Seismic Data Collection

ENTERTAINMENT

NBAWNBAAHL

ConcertsBoxing

Special Events

REAL ESTATE

Commercial DevelopmentBusiness Development

Distribution CentersMedical Facilities

CEMENT & AGGREGATES

Sand and GravelCrushed Stone

Portland CementAsphalt Mix

Ready-mix ConcreteLoam

ENGINEERING & CONSTRUCTION

PowerRefiningChemical

Project ManagementMaintenance

CementWaterMetals

PharmaceuticalPulp & Paper

Nuclear

HOSPITALITY

Hotels

ENR Rankings

ENR 2 0 0 8

Market Overview

ISDMaintenance

Small Capital

Reliability

Turnarounds

PowerAQCS

Cogeneration

Gas fired

Coal

Renewable

Alternate Energy

Nuclear

BuildingCommercial

Correctional

Education

Embassies

Healthcare

Hospitality

Manufacturing

HeavyBridges

Highways

Infrastructure

Telecommunication

Water

Plant Civil Services

Airports

Dams

Rail Systems

IPDCement

LNG

Petrochemical

Manufacturing

Metal

Refining

Heavy Division CustomersRepresentative List

State and Federal Departments of Transportation

U.S. Department of Defense - Army Corps of Engineers - Naval Facilities - Department of the

Air Force

Regional Mobility Authorities

Texas Turnpike Authority Port of Houston Authority North Texas Tollway

Authority AT&T CPS Energy

Building Division CustomersRepresentative List

U.S. Department of State

Texas A&M University System

University of Texas System

Haven for Hope (San Antonio)

Texas Independent School Systems

HEB Corporation University of Texas

Health Science Center Nueces County Bexar County City of San Antonio

How to do business with ZCC:

Tips:

DO YOUR HOMEWORK!DO YOUR HOMEWORK!

Expand industry intelligenceExpand industry intelligence Develop ZCC company listDevelop ZCC company list Get to know ZCC companies - What they Get to know ZCC companies - What they

do, buy, challenges, etc. do, buy, challenges, etc. Assess contracting potential Assess contracting potential Devise business capture strategyDevise business capture strategy

Additional Tips: What you need to do!What you need to do!

Prepare as if you were applying for a job (because you are)Prepare as if you were applying for a job (because you are)

Know what we do, what we need, and who your competition isKnow what we do, what we need, and who your competition is

If possible, have a good organized website, and presentationIf possible, have a good organized website, and presentation

Sell your companies capabilities - technical expertise, financial strength, Sell your companies capabilities - technical expertise, financial strength, available equipment, prior construction experience, etc…. available equipment, prior construction experience, etc….

During face time, convince our buyers that risk is minimalDuring face time, convince our buyers that risk is minimal

Do it right the first time (there are no second chances to make a good first Do it right the first time (there are no second chances to make a good first impression)impression)

Prequalification Requirements:

Prequalification Process

prequalification application Review Process risk mgmt. and safety – approved or not

Subcontractor Database approved subs/vendors maintained

www.zachry.com

12625 Wetmore Road

Suite 301

San Antonio, TX 78247

(210) 871-2700

www.zachrycorp.com

527 Logwood

San Antonio, TX 78221

(210) 588-5000

www.zhi.com

Corporate Values

Family-owned since 1924, we stand on the foundation of our Company’s proud legacy and strive to build an enterprise worthy of thecontributions and sacrifices of our co-workers, present and past. In

thatpursuit, we affirm that:

Every Person Matters

Together We Can Do Great Things

This Is More Than A Job