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Vulcan Materials Company

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Vulcan Materials Company
Company typePublic company
NYSE: VMC
S&P 500 Component
IndustryConstruction materials
Founded1909 as Birmingham Slag Company
HeadquartersBirmingham, Alabama United States
Key people
J. Thomas Hill, Chief Executive Officer
Suzanne H. Wood, Chief Financial Officer
Denson N. Franklin III, General Counsel
ProductsCrushed stone, sand and gravel
RevenueIncrease $7.315 billion (2022)[1]
Number of employees
12,000[2] (2023)
WebsiteVulcanMaterials.com

Vulcan Materials Company (NYSE: VMC) is an American company based in Birmingham, Alabama. It is principally engaged in the production, distribution and sale of construction materials. Vulcan is the largest producer of construction materials, primarily gravel, crushed stone, and sand, and employs approximately 12,000 people at over 400 facilities. Vulcan serves 22 states, the District of Columbia, Mexico, Canada, Bahamas and the U.S. Virgin Islands. Vulcan's innovative Crescent Market project led to construction of a large quarry and deep water seaport on the Yucatán Peninsula of Mexico, just south of Cancun. This quarry supplies Tampa, New Orleans, Houston, and Brownsville, Texas, as well as other Gulf coast seaports, with crushed limestone via large 62,000-ton self-discharging ships.

History

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In the late 1980s Vulcan acquired Reed Crushed Stone, near Kentucky.[3][4]

On November 16, 1998, Vulcan announced it was purchasing CalMat Company, a producer of asphalt and ready-mixed concrete based in Los Angeles, for $760 million in cash.[5]

On June 7, 2005, Vulcan completed the sale of its chemicals business, known as Vulcan Chemicals, to Occidental Chemical Corporation. The sale of assets included Vulcan's chloralkali plants in Wichita, Kansas; Geismar, Louisiana; and Port Edwards, Wisconsin, as well as Vulcan Chemicals' joint venture located in Geismar, Louisiana. In 2005, Vulcan acquired 11 aggregates operations and five asphalt plants in Arizona, Georgia, Indiana and Tennessee.

On February 19, 2007, Vulcan announced that it would buy stone and cement producer Florida Rock Industries for $4.7 billion.[6][7] Vulcan completed the acquisition of Florida Rock on November 16, 2007.[8]

In March 2007, Vulcan announced that it had been named to Fortune Magazine's list of Most Admired Companies for the sixth time. The company was ranked first in its industry sector, "Building Materials, Glass." Overall, Vulcan ranked among the top 10 companies in the Fortune 1000 for both long-term investment and social responsibility.

In January 2014, Vulcan Materials announced they would be selling their Florida Rock Industry (cement and ready-mixed concrete) plants and equipment to Cementos Argos, of Colombia. In March 2014, Vulcan was able to fully divest these properties to Cementos Argos.[9]

In January 2018, Vulcan Materials was found to be partially responsible for the Bayou Corne sinkhole, along with Occidental Petroleum and Texas Brine Company.[10]

In June 2021, Vulcan Materials announced they would be acquiring US Concrete (USCR) for $74 per share, a 30% premium on the date of the announcement. U.S. Concrete was formed in 1999, with its headquarters in Euless, TX. The deal is valued at $1.3 billion. The acquisition will allow for integrated expansion of Vulcan and make the subsidiary debt-free with adequate working capital. The deal has been approved by both boards and will close in the second half of 2021.[11]

In early 2023 after being accused by president Andrés Manuel López Obrador of exporting materials from Mexico without a permit, the Mexican military seized a marine terminal belonging to Vulcan leading to a diplomatic spat between the US and Mexico.[12]

References

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  1. ^ "VULCAN REPORTS FOURTH QUARTER AND FULL YEAR 2022 RESULTS". Vulcan Materials Company. Retrieved Apr 2, 2023.
  2. ^ "Vulcan Materials". SEC.gov. Retrieved 2023-04-02.
  3. ^ Minerals Yearbook. 1989. ISBN 9780160359316.
  4. ^ Minerals Yearbook. 2009. ISBN 9781411323292.
  5. ^ Vrana, Debora (November 16, 1998). "Concrete Firm CalMat to Be Acquired for $760 Million". The Los Angeles Times. Retrieved 2024-08-10.
  6. ^ Dolmetsch, Chris & Lococo, Edmond (19 Feb 2007). "Vulcan Materials to Buy Florida Rock for $4.6 Billion (Update4)". Bloomberg. Retrieved 12 May 2015.
  7. ^ "Vulcan Materials to buy Florida Rock for $4.6 billion". Reuters. 19 February 2007. Retrieved 27 May 2021.
  8. ^ Zubko, Nick (19 March 2008). "Florida Rock Industries Inc.: Under New Management". Industry Week. Retrieved 27 May 2021.
  9. ^ Basch, Mark (27 January 2014). "Vulcan selling former Florida Rock cement facilities". Jacksonville Daily Record. Retrieved 12 May 2015.
  10. ^ Judge: Fault for Bayou Corne sinkhole lies with Texas Brine, OxyChem, Vulcan; companies had decades of warnings The Advocate
  11. ^ Lenihan, Rob (7 June 2021). "U.S. Concrete Skyrockets on Deal to Be Bought for $1.29B by Vulcan". The Street. Retrieved 7 Jun 2021.
  12. ^ Haldevang, Max (19 Mar 2023). "Vulcan Facility Seizure Adds to Tension Between US and Mexico".
[edit]
  • Vulcan Materials website
  • U.S. v. Vulcan Materials Co. and Florida Rock Industries Inc., a US Supreme court case
  • Business data for Vulcan Materials Company:
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