Martin Marietta Materials, Inc. Reports First-Quarter Results

  Martin Marietta Materials, Inc. Reports First-Quarter Results

        Results Predictable and In Line with Management’s Expectations

                Reaffirm Guidance Based on Strong Fundamentals

                          Aggregates Pricing Up 5.7%

    Specialty Products Posts Quarterly Records for Sales and Gross Profit

Business Wire

RALEIGH, N.C. -- April 30, 2013

Martin Marietta Materials, Inc. (NYSE:MLM) today announced its results for the
first quarter ended March 31, 2013.

Ward Nye, President and CEO of Martin Marietta Materials, stated: “Due to a
more normal winter weather pattern, and in fact, more severe and extended in
some parts of the country, aggregates shipments declined 8.8% compared with
the prior-year quarter. The prior year benefitted from an unseasonably warm
winter, accelerating the start of construction projects in many of our markets
into the first quarter. The decline in aggregates volumes directly correlated
to the gross profit reduction. Notably, however, our Aggregates business
continues to experience pricing growth in each reportable segment and in each
product line. This trend bodes well for the future performance of this
business as shipments pick up during the remainder of the year. Our Specialty
Products business benefitted from the new lime kiln completed in the fourth
quarter of 2012 and established new records for net sales and gross profit.

“From a macroeconomic view, we see positive indicators, including upward
trends in housing starts, construction employment, and highway obligations.
All of these factors should result in increased construction activity during
the remainder of the year, and we are well-positioned to capitalize on these
opportunities and enhance value for our shareholders and, in fact, reaffirm
our guidance for the full year.”

Notable Items (all comparisons, unless noted, are with the prior-year quarter)

  *Loss per diluted share of $0.61 compared with loss of $0.81 (prior-year
    quarter includes a $0.34 per diluted share charge for business development
    expenses)
  *Consolidated net sales of $345.2 million compared with $350.5 million
  *Aggregates product line pricing up 5.7%; aggregates product line volume
    down 8.8%; aggregates product line production cost per ton up slightly
  *Consolidated gross profit of $12.6 million, a decline of $11.2 million
    primarily related to the decline in aggregates product line shipments
  *Specialty Products record net sales of $55.2 million and record
    first-quarter gross profit of $19.6 million
  *Consolidated selling, general and administrative (“SG&A”) expenses of
    $37.6 million, up 150 basis points as a percentage of net sales
  *Consolidated loss from operations of $23.6 million compared with loss of
    $35.3 million (prior-year quarter includes $25.9 million of business
    development expenses)

MANAGEMENT COMMENTARY (ALL COMPARISONS, UNLESS NOTED, ARE WITH THE PRIOR-YEAR
QUARTER)

Nye continued, “Aggregates product line pricing improved 5.7%. Importantly,
pricing growth was widespread as evidenced by increases in nearly all of our
geographic markets. The West Group achieved the strongest growth, an 8.7%
increase, reflecting price increases implemented over the past year and the
favorable impact of product and geographic mix. The Mid-America and Southeast
Groups reported increases of 4.1% and 5.8%, respectively, in the average
selling prices for the aggregates product line.

“The improving housing market, an important trend for the economy generally
and the aggregates industry specifically, is leading the current economic
recovery. Housing starts and completions for the trailing twelve months are up
approximately 47% and 36%, respectively, over the comparable period for the
prior year. For the quarter, the residential end-use market accounted for 14%
of our aggregates product line shipments, which is in line with our historical
average. Despite the overall reduction in quarterly aggregates shipments,
volumes to the residential market increased 1%.

“The infrastructure market continues to represent the largest end use for the
aggregates product line and comprised 42% of volumes for the quarter. We are
encouraged that highway obligations for fiscal 2013 through March were at the
highest level since 2010 and up 28% over the prior-year period. This increase
reflects funding stability provided by the Moving Ahead for Progress in the
21^st Century Act, or MAP-21, as well as the Executive Branch’s action last
summer, which freed up $400 million of unspent earmarks from fiscal years 2003
through 2006. Additionally, February marked the first month in which highway
contract awards increased over the prior-year month in almost two years. We
continue to monitor new applications for funding under the Transportation
Infrastructure Finance and Innovation Act, or TIFIA. While this program has
the ability to leverage up to $50 billion in financing for transportation
projects, administrative delays will likely push initial awards to later in
2013 than the U.S. Department of Transportation originally anticipated. Long
term, we anticipate growth in the infrastructure market. While it is not
possible to determine any potential impact from the Federal sequester that
went into effect in March, it appears that transportation spending is mostly
exempt from spending cuts. Still, there may be a short-term setback in this
end use.

“The nonresidential market is our second largest end use and accounted for 33%
of aggregates product line shipments for the quarter. While nonresidential
volumes were down 8%, we continue to benefit from strong shipments to the
energy sector. Finally, the ChemRock/Rail end use was down 12%, which
primarily resulted from weather and a decline in coal traffic on the railroads
in the western United States.

“For the quarter, we reduced aggregates product line production slightly, and
our production cost per ton increased less than 1%. Consolidated gross margin
(excluding freight and delivery revenues) was 3.6% for 2013 versus 6.8% for
2012. The reduction reflects lower aggregates product line shipments, which
reduced the operating leverage of the Aggregates business.

“SG&A expenses were 10.9% of net sales, a 150-basis-point increase compared
with the prior-year quarter. On an absolute basis, SG&A expenses increased
$4.6 million, primarily related to costs related to our planned information
systems upgrade.

“In keeping with our objective of having a lean and efficient management
structure, we reorganized the groups within our Aggregates business effective
January 1, 2013. Our Southeast Group remains unchanged. However, our
Mid-America Group now includes our Aggregates business operations in Indiana,
Kentucky, Maryland, North Carolina, Ohio, South Carolina, Virginia and West
Virginia (which were formerly reported in our Mideast Group), along with
operations in Iowa, Minnesota, eastern Nebraska, North Dakota, and Washington,
(which were formerly reported in our West Group). With the exception of
operations now reported in the Mid-America Group, there were no other changes
to the West Group.

“Our Specialty Products business continues to make significant contributions
to our operating results. For the quarter, net sales of $55.2 million
represented a new quarterly record and gross profit of $19.6 million
established a new first-quarter record. The 6.7% increase in net sales is
attributable to the new kiln that became operational during the fourth quarter
of 2012. This was partially offset by the loss of higher-margin sales from a
customer that filed for bankruptcy. Earnings from operations were $17.1
million compared with $18.2 million. Earnings for the prior-year quarter
include the favorable impact of a $1.2 million settlement.

LIQUIDITY AND CAPITAL RESOURCES

“Cash provided by operating activities for the first quarter was $18.6 million
in 2013 compared with cash used for operating activities of $4.3 million in
2012. The improvement is attributable to a reduction in accounts receivable in
2013 and the impact of business development expenses in 2012.

“During the quarter ended March 31, 2013, we invested $22 million of capital
into our business.

“At March 31, 2013, our ratio of consolidated debt to consolidated EBITDA, as
defined, for the trailing twelve months was 3.22 times, in compliance with our
covenant. The current maximum ratio of 3.75 times steps back to 3.50 times at
September 30, 2013.

“Earlier this month, we established a new one-year $150 million trade
receivable securitization facility, which replaced a $100 million facility
that expired by its terms. The new credit facility provides for borrowings
based on our trade receivables balance. Borrowings bear interest at one-month
LIBOR plus 60 basis points.

2013 OUTLOOK

“As noted above, we expect there to be significantly stronger new construction
activity across the country this year, and we are well positioned to benefit.
We are encouraged by various positive trends in our business and markets,
especially as MAP-21 and other programs are implemented. For the full year, we
currently expect shipments to the infrastructure end-use market to increase in
the mid-single digits, driven by the impact of MAP-21, TIFIA and
state-sponsored programs. We anticipate the nonresidential end-use market to
increase in the high-single digits given that the Architecture Billings Index,
or ABI, a leading economic indicator for nonresidential construction spending
activity, is reflecting the strongest growth in billings at architecture firms
since the end of 2007. Residential construction is experiencing a level of
growth not seen since late 2005 with seasonally adjusted starts ahead of any
period since 2008. We believe this trend in housing starts will continue and
our residential end-use market will experience double-digit volume growth.
Finally, we expect our ChemRock/Rail end-use market to be flat compared with
2012. Cumulatively, we anticipate aggregates product line shipments will
increase 4% to 6%. As a reminder, we experienced moderate weather in the first
five months of 2012, which allowed an earlier-than-normal start to the
construction season in many of our markets. We experienced a different
quarterly pattern of aggregates shipments and earnings in 2012 and comparisons
with prior-year periods may continue to be affected in subsequent quarters of
2013.

“We currently expect that aggregates product line pricing will increase 2% to
4%. A variety of factors beyond our direct control may continue to exert
pressure on our volumes, and our forecasted pricing increase is not expected
to be uniform across the company.

“We expect our vertically integrated businesses to generate between $350
million and $375 million of net sales and $20 million to $22 million of gross
profit.

“Increased production should lead to a slight reduction in aggregates product
line direct production costs per ton compared with 2012. SG&A expenses as a
percentage of net sales are expected to decline slightly.

“Net sales for the Specialty Products segment should be between $220 million
and $230 million, generating $81 million to $85 million of gross profit. Steel
utilization and natural gas prices are two key factors for this segment.

“Interest expense is expected to remain relatively flat. Our effective tax
rate is expected to approximate 26%, excluding discrete events. Capital
expenditures are forecast at $155 million.”

RISKS TO OUTLOOK

The 2013 outlook includes management’s assessment of the likelihood of certain
risk factors that will affect performance. The most significant risk to the
Corporation’s performance will be the United States economy and its impact on
construction activity. While both MAP-21 and TIFIA credit assistance are
excluded from the federal budget sequester and the U.S. debt ceiling limit,
the ultimate resolution of these issues may have a significant impact on the
economy and, consequently, construction activity. We anticipate the
sequester’s impact becoming more apparent during the spring and summer months.
Other risks related to the Corporation’s future performance include, but are
not limited to, both price and volume and include a recurrence of widespread
decline in aggregates volume negatively affecting aggregates price; the
termination, capping and/or reduction of the federal and/or state gasoline
tax(es) or other revenue related to infrastructure construction; a significant
change in the funding patterns for traditional federal, state and/or local
infrastructure projects; a reduction in defense spending, and the subsequent
impact on construction activity on or near military bases, particularly if
sequestration of budget programs occurs; a decline in nonresidential
construction, a decline in energy-related drilling activity resulting from
certain regulatory or economic factors, a slowdown in the residential
construction recovery, or some combination thereof; and a continued reduction
in ChemRock/Rail shipments resulting from declining coal traffic on the
railroads. Further, increased highway construction funding pressures resulting
from either federal or state issues can affect profitability. Currently,
nearly all states have general fund budget issues driven by lower tax
revenues. If these negatively affect transportation budgets more than in the
past, construction spending could be reduced. North Carolina, a state that
disproportionately affects the Corporation’s revenue and profitability, is
among the states experiencing these fiscal pressures, although recent
statistics indicate that transportation budgets and tax revenues are
increasing. The Specialty Products business essentially runs at capacity;
therefore any unplanned changes in costs or realignment of customers introduce
volatility to the earnings of this segment.

The Corporation’s principal business serves customers in aggregates-related
construction markets. This concentration could increase the risk of potential
losses on customer receivables; however, payment bonds normally posted on
public projects, together with lien rights on private projects, help to
mitigate the risk of uncollectible receivables. The level of aggregates demand
in the Corporation’s end-use markets, production levels and the management of
production costs will affect the operating leverage of the Aggregates business
and, therefore, profitability. Production costs in the Aggregates business are
also sensitive to energy prices, both directly and indirectly. Diesel fuel and
other consumables change production costs directly through consumption or
indirectly by increased energy-related input costs, such as, steel,
explosives, tires and conveyor belts. Fluctuating diesel fuel pricing also
affects transportation costs, primarily through fuel surcharges in the
Corporation’s long-haul distribution network. The Specialty Products business
is sensitive to changes in domestic steel capacity utilization and the
absolute price and fluctuations in the cost of natural gas. However, due to
recent technology developments allowing the harvesting of abundant natural gas
supplies in the U.S., natural gas prices have stabilized.

Transportation in the Corporation’s long-haul network, particularly rail cars
and locomotive power to move trains, affects our ability to efficiently
transport material into certain markets, most notably Texas, Florida and the
Gulf Coast. The availability of trucks and drivers to transport our product,
particularly in markets experiencing increased demand due to energy sector
activity, is also a risk. The Aggregates business is also subject to
weather-related risks that can significantly affect production schedules and
profitability. The first and fourth quarters are most adversely affected by
winter weather, and the operations in the Denver, Colorado, market increase
the Corporation’s exposure to winter weather. Hurricane activity in the
Atlantic Ocean and Gulf Coast generally is most active during the third and
fourth quarters.

Risks to the outlook include shipment declines as a result of economic events
beyond the Corporation’s control. In addition to the impact on nonresidential
and residential construction, the Corporation is exposed to risk in its
estimated outlook from credit markets and the availability of and interest
cost related to its debt.

CONFERENCE CALL INFORMATION

The Company will host an online web simulcast of its first-quarter 2013
earnings conference call later today (April 30, 2013). The live broadcast of
the Martin Marietta Materials, Inc. conference call will begin at 2p.m.
Eastern Time today. An online replay will be available approximately two hours
following the conclusion of the live broadcast. A link to these events will be
available at the Corporation’s website.

For those investors without online web access, the conference call may also be
accessed by calling (970) 315-0423, confirmation number 43776746.

Martin Marietta Materials, Inc. is the nation’s second largest producer of
construction aggregates and a producer of magnesia-based chemicals and
dolomitic lime. For more information about Martin Marietta Materials, Inc.,
refer to the Corporation’s website at www.martinmarietta.com.

If you are interested in Martin Marietta Materials, Inc. stock, management
recommends that, at a minimum, you read the Corporation’s current annual
report and Forms 10-K, 10-Q and 8-K reports to the Securities and Exchange
Commission (SEC) over the past year. The Corporation’s recent proxy statement
for the annual meeting of shareholders also contains important information.
These and other materials that have been filed with the SEC are accessible
through the Corporation’s website at www.martinmarietta.com and are also
available at the SEC’s website at www.sec.gov. You may also write or call the
Corporation’s Corporate Secretary, who will provide copies of such reports.

Investors are cautioned that all statements in this press release that relate
to the future involve risks and uncertainties, and are based on assumptions
that the Corporation believes in good faith are reasonable but which may be
materially different from actual results. Forward-looking statements give the
investor our expectations or forecasts of future events. You can identify
these statements by the fact that they do not relate only to historical or
current facts. They may use words such as “anticipate,” “expect,” “should be,”
“believe,” “will,” and other words of similar meaning in connection with
future events or future operating or financial performance. Any or all of our
forward-looking statements here and in other publications may turn out to be
wrong.

Factors that the Corporation currently believes could cause actual results to
differ materially from the forward-looking statements in this press release 
include, but are not limited to, the performance of the United States economy
and the resolution of the debt ceiling and sequestration issues; widespread
decline in aggregates pricing; the termination, capping and/or reduction of
the federal and/or state gasoline tax(es) or other revenue related to
infrastructure construction; the level and timing of federal and state
transportation funding, including federal stimulus projects and most
particularly in North Carolina, one of the Corporation’s largest and most
profitable states, and Texas, Iowa, Colorado and Georgia; the ability of
states and/or other entities to finance approved projects either with tax
revenues or alternative financing structures; levels of construction spending
in the markets the Corporation serves; a reduction in defense spending, and
the subsequent impact on construction activity on or near military bases,
particularly if sequestration of budget programs occurs; a decline in the
commercial component of the nonresidential construction market, notably office
and retail space; a slowdown in residential construction recovery; unfavorable
weather conditions, particularly Atlantic Ocean hurricane activity, the late
start to spring or the early onset of winter and the impact of a drought or
excessive rainfall in the markets served by the Corporation; the volatility of
fuel costs, particularly diesel fuel, and the impact on the cost of other
consumables, namely steel, explosives, tires and conveyor belts; continued
increases in the cost of other repair and supply parts; transportation
availability, notably the availability of railcars and locomotive power to
move trains to supply the Corporation’s Texas, Florida and Gulf Coast markets;
increased transportation costs, including increases from higher passed-through
energy and other costs to comply with tightening regulations as well as higher
volumes of rail and water shipments; availability and cost of construction
equipment in the United States; weakening in the steel industry markets served
by the Corporation’s dolomitic lime products; inflation and its effect on both
production and interest costs; ability to successfully integrate acquisitions
quickly and in a cost-effective manner and achieve anticipated profitability
to maintain compliance with the Corporation’s leverage ratio debt covenant;
changes in tax laws, the interpretation of such laws and/or administrative
practices that would increase the Corporation’s tax rate; violation of the
Corporation’s debt covenant if price and/or volumes return to previous levels
of instability; downward pressure on the Corporation’s common stock price and
its impact on goodwill impairment evaluations; reduction of the Corporation’s
credit rating to non-investment grade resulting from strategic acquisitions;
and other risk factors listed from time to time found in the Corporation’s
filings with the SEC. Other factors besides those listed here may also
adversely affect the Corporation, and may be material to the Corporation. The
Corporation assumes no obligation to update any such forward-looking
statements.






MARTIN MARIETTA MATERIALS, INC.
Unaudited Statements of Earnings
(In millions, except per share amounts)
                                                               
                                                         Three Months Ended
                                                         March 31,
                                                         2013        2012
Net sales                                                $ 345.2     $ 350.5
Freight and delivery revenues                             39.8      43.5  
   Total revenues                                         385.0     394.0 
                                                                     
Cost of sales                                              332.6       326.7
Freight and delivery costs                                39.8      43.5  
   Total cost of revenues                                 372.4     370.2 
   Gross profit                                            12.6        23.8
                                                                     
Selling, general and administrative expenses               37.6        33.0
Business development costs                                 0.3         25.9
Other operating (income) and expenses, net                (1.7  )    0.2   
   Loss from operations                                    (23.6 )     (35.3 )
                                                                     
Interest expense                                           13.5        13.5
Other nonoperating expenses and (income), net             0.6       (1.8  )
   Loss from continuing operations before taxes on         (37.7 )     (47.0 )
   income
Income tax benefit                                        (8.5  )    (9.9  )
   Loss from continuing operations                         (29.2 )     (37.1 )
                                                                     
Loss on discontinued operations, net of related tax       (0.1  )    (0.6  )
benefit of $0.0 and $0.1, respectively
                                                                     
Consolidated net loss                                      (29.3 )     (37.7 )
Less: Net loss attributable to noncontrolling             (1.5  )    (1.0  )
interests
                                                                     
Net loss attributable to Martin Marietta Materials,      $ (27.8 )   $ (36.7 )
Inc.
                                                                     
Net loss per common share:
   Basic from continuing operations attributable to      $ (0.61 )   $ (0.80 )
   common shareholders
   Discontinued operations attributable to common         -         (0.01 )
   shareholders
                                                         $ (0.61 )   $ (0.81 )
                                                                     
   Diluted from continuing operations attributable to    $ (0.61 )   $ (0.80 )
   common shareholders
   Discontinued operations attributable to common         -         (0.01 )
   shareholders
                                                         $ (0.61 )   $ (0.81 )
                                                                     
Cash dividends per common share                          $ 0.40     $ 0.40  
                                                                     
Average number of common shares outstanding:
   Basic and Diluted                                      46.0      45.7  







MARTIN MARIETTA MATERIALS, INC.
Unaudited Financial Highlights
(In millions)
                                                        
                                                    Three Months Ended
                                                    March 31,
                                                    2013        2012
Net sales:
        Aggregates Business:
                 Mid-America Group                  $ 106.3     $ 114.6
                 Southeast Group                      51.3        55.2
                 West Group                          132.4     129.0 
        Total Aggregates Business                     290.0       298.8
        Specialty Products                           55.2      51.7  
                 Total                              $ 345.2    $ 350.5 
                                                                
Gross profit (loss):
        Aggregates Business:
                 Mid-America Group                  $ (0.1  )   $ 7.0
                 Southeast Group                      (4.9  )     0.2
                 West Group                          -         (0.6  )
        Total Aggregates Business                     (5.0  )     6.6
        Specialty Products                            19.6        19.4
        Corporate                                    (2.0  )    (2.2  )
                 Total                              $ 12.6     $ 23.8  
                                                                
Selling, general and administrative expenses:
        Aggregates Business:
                 Mid-America Group                  $ 12.2      $ 13.2
                 Southeast Group                      4.5         4.9
                 West Group                          11.8      11.2  
        Total Aggregates Business                     28.5        29.3
        Specialty Products                            2.5         2.5
        Corporate                                    6.6       1.2   
                 Total                              $ 37.6     $ 33.0  
                                                                
(Loss) Earnings from operations:
        Aggregates Business:
                 Mid-America Group                  $ (11.0 )   $ (5.2  )
                 Southeast Group                      (8.4  )     (5.9  )
                 West Group                          (11.3 )    (12.4 )
        Total Aggregates Business                     (30.7 )     (23.5 )
        Specialty Products                            17.1        18.2
        Corporate                                    (10.0 )    (30.0 )
                 Total                              $ (23.6 )   $ (35.3 )







MARTIN MARIETTA MATERIALS, INC.
Unaudited Financial Highlights
(In millions)
                                                
                                           Three Months Ended
                                           March 31,
                                           2013        2012
Net sales by product line:
   Aggregates Business:
         Aggregates                        $ 247.8     $ 257.3
         Asphalt                             9.6         12.5
         Ready Mixed Concrete                27.4        20.3
         Road Paving                        5.2       8.7   
   Total Aggregates Business                290.0     298.8 
   Specialty Products Business:
         Magnesia-Based Chemicals            35.9        36.4
         Dolomitic Lime                      19.1        15.0
         Other                              0.2       0.3   
   Total Specialty Products Business        55.2      51.7  
         Total                             $ 345.2    $ 350.5 
                                                       
Gross profit (loss) by product line:
   Aggregates Business:
         Aggregates                        $ 2.1       $ 11.4
         Asphalt                             (2.5  )     (0.7  )
         Ready Mixed Concrete                (0.3  )     (1.2  )
         Road Paving                        (4.3  )    (2.9  )
   Total Aggregates Business                (5.0  )    6.6   
   Specialty Products Business:
         Magnesia-Based Chemicals            11.5        12.9
         Dolomitic Lime                      8.2         6.6
         Other                              (0.1  )    (0.1  )
   Total Specialty Products Business        19.6      19.4  
   Corporate                                (2.0  )    (2.2  )
         Total                             $ 12.6     $ 23.8  
                                                       
Depreciation                               $ 40.8      $ 42.3
Depletion                                    1.0         0.6
Amortization                                1.2       1.5   
                                           $ 43.0     $ 44.4  

                                                                 
                                                                 
                                                                 
                                                                 
                                                                 
                                                                 
MARTIN MARIETTA MATERIALS, INC.
Balance Sheet Data
(In millions)
                                                            
                                      March 31,     December 31,   March 31,
                                      2013          2012           2012
                                      (Unaudited)   (Audited)      (Unaudited)
ASSETS
  Cash and cash equivalents           $  37.3       $   25.4       $  45.0
  Accounts receivable, net               202.2          224.1         212.1
  Inventories, net                       347.6          332.3         333.5
  Other current assets                   128.6          118.6         111.3
  Property, plant and equipment,         1,732.1        1,753.2       1,768.9
  net
  Intangible assets, net                 665.9          666.6         670.0
  Other noncurrent assets                41.1           40.7          41.3
          Total assets                $  3,154.8    $   3,160.9    $  3,182.1
                                                                   
                                                                   
LIABILITIES AND EQUITY
  Current maturities of long-term     $  5.7        $   5.7        $  7.7
  debt and short-term facilities
  Other current liabilities              163.0          167.6         177.7
  Long-term debt (excluding current      1,072.9        1,042.2       1,127.2
  maturities)
  Other noncurrent liabilities           503.1          495.1         471.2
  Total equity                          1,410.1       1,450.3      1,398.3
          Total liabilities and       $  3,154.8    $   3,160.9    $  3,182.1
          equity







MARTIN MARIETTA MATERIALS, INC.
Unaudited Statements of Cash Flows
(In millions)
                                                      Three Months Ended
                                                         March 31,
                                                         2013       2012
Operating activities:
   Consolidated net loss                                 $ (29.3 )   $ (37.7 )
   Adjustments to reconcile consolidated net loss to
   net cash provided by (used for) operating
   activities:
        Depreciation, depletion and amortization           43.0        44.4
        Stock-based compensation expense                   1.2         1.9
        (Gains) Losses on divestitures and sales of        (0.7  )     0.5
        assets
        Deferred income taxes                              3.4         (0.7  )
        Excess tax benefits from stock-based               (0.6  )     (0.3  )
        compensation
       Other items, net                                   0.8         0.7
        Changes in operating assets and liabilities,
       net of effects of acquisitions and
        divestitures:
        Accounts receivable, net                           20.3        (8.3  )
        Inventories, net                                   (14.6 )     (10.9 )
        Accounts payable                                   (6.5  )     7.7
        Other assets and liabilities, net                 1.6       (1.6  )
                                                                     
Net cash provided by (used for) operating activities      18.6      (4.3  )
                                                                     
Investing activities:
   Additions to property, plant and equipment              (21.9 )     (37.5 )
   Acquisitions, net                                       (2.6  )     -
   Proceeds from divestitures and sales of assets         1.6       2.2   
                                                                     
Net cash used for investing activities                    (22.9 )    (35.3 )
                                                                     
Financing activities:
   Borrowings of long-term debt                            60.0        151.0
   Repayments of long-term debt                            (29.4 )     (76.5 )
   Change in bank overdraft                                -           1.9
   Dividends paid                                          (18.5 )     (18.4 )
   Debt issue costs                                        -           (0.3  )
   Issuances of common stock                               3.5         0.6
   Excess tax benefits from stock-based compensation      0.6       0.3   
                                                                     
Net cash provided by financing activities                 16.2      58.6  
                                                                     
Net increase in cash and cash equivalents                  11.9        19.0
Cash and cash equivalents, beginning of period            25.4      26.0  
                                                                     
Cash and cash equivalents, end of period                 $ 37.3     $ 45.0  







MARTIN MARIETTA MATERIALS, INC.
Unaudited Operational Highlights
                                                       
                                    Three Months Ended
                                    March 31, 2013
                                    Volume                  Pricing
Volume/Pricing Variance ^(1)
Heritage Aggregates Product
Line: ^(2)
         Mid-America Group          (10.9        %)         4.1          %
         Southeast Group            (12.3        %)         5.8          %
         West Group                 (5.2         %)         8.7          %
Heritage Aggregates Operations      (8.7         %)         5.5          %
Aggregates Product Line ^(3)        (8.8         %)         5.7          %
                                                            
                                                            
                                    Three Months Ended
                                    March 31,
Shipments (tons in thousands)       2013                    2012
Heritage Aggregates Product
Line: ^(2)
         Mid-America Group          8,642                   9,700
         Southeast Group            3,820                   4,356
         West Group                 10,317                 10,887       
Heritage Aggregates Operations      22,779                  24,943
Acquisitions                        -                       -
Divestitures ^(4)                   -                      22           
Aggregates Product Line ^(3)        22,779                 24,965       
                                                            
                                                            
^(1) Volume/pricing variances reflect the percentage increase (decrease) from
the comparable period in the prior year.
                                                            
^(2) Heritage Aggregates product line excludes volume and pricing data for
acquisitions that have not been included in prior-year operations for the
comparable period and excludes divestitures.
                                                            
^(3) Aggregates product line includes all acquisitions from the date of
acquisition and divestitures through the date of disposal.
                                                            
^(4) Divestitures include the tons related to divested aggregates product line
operations up to the date of divestiture.
                                                            
                                                            
                                    Three Months Ended
                                    March 31,
                                    2013                    2012
Unit Shipments by Product Line
(in thousands):
                                                            
Aggregates tons - external          22,121                  24,219
customers
Internal aggregates tons used       658                    746          
in other product lines
Total aggregates tons               22,779                 24,965       
                                                            
                                                            
Asphalt tons - external             226                     323
customers
Internal asphalt tons used in       35                     87           
road paving business
Total asphalt tons                  261                    410          
                                                            
                                                            
Ready Mixed Concrete - cubic        329                    267          
yards
                                                            
                                                            
Average unit sales price by
product line (including
internal sales):
                                                            
Aggregates                          $10.97/ton              $10.38/ton
Asphalt                             $42.38/ton              $40.11/ton
Ready Mixed Concrete                $81.71/cubic yard       $75.07/cubic yard







MARTIN MARIETTA MATERIALS, INC.
Non-GAAP Financial Measures
(Dollars in millions)

Gross margin as a percentage of net sales and operating margin as a percentage
of net sales represent non-GAAP measures. The Corporation presents these
ratios calculated based on net sales, as it is consistent with the basis by
which management reviews the Corporation's operating results. Further,
management believes it is consistent with the basis by which investors analyze
the Corporation's operating results, given that freight and delivery revenues
and costs represent pass-throughs and have no profit markup. Gross margin and
operating margin calculated as percentages of total revenues represent the
most directly comparable financial measures calculated in accordance with
generally accepted accounting principles ("GAAP"). The following tables
present the calculations of gross margin and operating margin for the three
months ended March 31, 2013, and 2012, in accordance with GAAP and
reconciliations of the ratios as percentages of total revenues to percentages
of net sales:


                         Three Months Ended
Gross Margin in
Accordance with
Generally Accepted         March 31,
Accounting
Principles
                           2013                        2012
Gross profit               $     12.6                  $     23.8      
Total revenues             $     385.0                 $     394.0     
Gross margin                    3.3       %                 6.0       %


                           Three Months Ended
Gross Margin
Excluding Freight          March 31,
and Delivery
Revenues
                          2013                         2012
                                                        
Gross profit               $     12.6                  $     23.8      
Total revenues             $     385.0                  $     394.0
Less: Freight and               (39.8     )                 (43.5     )
delivery revenues
Net sales                  $     345.2                 $     350.5     
Gross margin
excluding freight               3.6       %                 6.8       %
and delivery
revenues


                          Three Months Ended
Operating Margin in
Accordance with
Generally Accepted         March 31,
Accounting
Principles
                           2013                         2012
Loss from operations       $     (23.6     )            $     (35.3     )
Total revenues             $     385.0                 $     394.0     
Operating margin                (6.1      %)                (9.0      %)


                           Three Months Ended
Operating Margin
Excluding Freight          March 31,
and Delivery
Revenues
                           2013                         2012
Loss from operations       $     (23.6     )            $     (35.3     )
Total revenues             $     385.0                  $     394.0
Less: Freight and               (39.8     )                 (43.5     )
delivery revenues
Net sales                  $     345.2                 $     350.5     
Operating margin
excluding freight               (6.8      %)                (10.1     %)
and delivery
revenues







MARTIN MARIETTA MATERIALS, INC.
Non-GAAP Financial Measures (continued)
(Dollars in millions)


The ratio of Consolidated Debt-to-Consolidated EBITDA, as defined, for the
trailing twelve months is a covenant under the Corporation's revolving credit
facility, term loan facility and accounts receivable securitization facility.
Under the terms of these agreements, as amended, the Corporation's ratio of
Consolidated Debt-to-Consolidated EBITDA as defined, for the trailing twelve
months can not exceed 3.75 times as of March 31, 2013, with certain exceptions
related to qualifying acquisitions, as defined.

The following presents the calculation of Consolidated Debt-to-Consolidated
EBITDA, as defined, for the trailing-twelve months at March 31, 2013. For
supporting calculations, refer to Corporation's website at
www.martinmarietta.com.

                                                        Twelve-Month Period
                                                          April 1, 2012 to
                                                          March 31, 2013
Earnings from continuing operations attributable to          $   93.3
Martin Marietta Materials, Inc.
Add back:
       Interest expense                                           53.3
       Income tax expense                                         18.3
       Depreciation, depletion and amortization                   171.5
       expense
       Stock-based compensation expense                           7.2
Deduct:
       Interest income                                           (0.3      )
Consolidated EBITDA, as defined                               $   343.3     
                                                              
Consolidated Debt, including debt guaranteed by the           $   1,104.6
Corporation, at March 31, 2013
Less: Unrestricted cash and cash equivalents in excess           -         
of $50 at March 31, 2013
Consolidated Net Debt, as defined, at March 31, 2013          $   1,104.6   
                                                                            
Consolidated Debt-to-Consolidated EBITDA, as defined,            3.22x     
at March 31, 2013 for the trailing twelve-month EBITDA


EBITDA is a widely accepted financial indicator of a company's ability to
service and/or incur indebtedness. EBITDA is not defined by generally accepted
accounting principles and, as such, should not be construed as an alternative
to net earnings or operating cash flow. For further information on EBITDA,
refer to the Corporation's website at www.martinmarietta.com. EBITDA is as
follows for the three months ended March 31, 2013 and 2012.

                                    Three Months Ended
                                     March 31,
                                     2013                     2012
Earnings Before Interest,
Income Taxes, Depreciation,          $    19.9               $   10.6      
Depletion and Amortization
(EBITDA)


A reconciliation of Net Loss Attributable to Martin Marietta Materials, Inc.
to EBITDA is as follows:

                                     Three Months Ended
                                     March 31,
                                     2013                     2012
Net Loss Attributable to
Martin Marietta Materials,           $    (27.8    )          $   (36.7     )
Inc.
Add back:
       Interest Expense                   13.5                    13.5
       Income Tax Benefit for             (8.4     )              (10.0     )
       Controlling Interests
       Depreciation, Depletion
       and Amortization                  42.6                  43.8      
       Expense
EBITDA                               $    19.9               $   10.6      




MLM-E

Contact:

Martin Marietta Materials, Inc.
Anne H. Lloyd, 919-783-4660
Executive Vice President, Chief Financial Officer and Treasurer
www.martinmarietta.com
 
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