EXHIBIT 99.1

TXI Reports Third Quarter Results

DALLAS, March 28, 2012 (GLOBE NEWSWIRE) -- Texas Industries, Inc. (NYSE:TXI) today reported financial results for the quarter ended February 29, 2012. Results for the quarter were a net loss of $24.3 million or $.87 per share. The reduction of the tax rate, compared to a year ago, increased the loss by $.34 per share. Results for the quarter ended February 28, 2011 were a net loss of $20.9 million or $.75 per share.

General Comments

"Modest improvements in shipments reflect my expectation that improved construction activity will lag the broader economic recovery," stated Mel Brekhus, Chief Executive Officer. "The $10.1 million improvement in gross profit is primarily attributable to the timing of cement clinker production and illustrates the potential earnings improvement we expect when market conditions once again permit us to run our plants at high utilization rates."

"We continue to make good progress toward our goals of a 15% gross profit margin and SG&A expense at 8% of sales for fiscal year 2014. Efforts are ongoing throughout the company to reshape TXI in a manner that both improves our ability to serve our customers' needs and facilitates our ability to achieve our short and long-term goals," added Brekhus.

"Finally, we remain on track to complete the construction on the expansion of our central Texas cement plant this fall. The new kiln will enhance our ability to meet the growing customer needs in this very attractive market," concluded Brekhus.

A teleconference will be held tomorrow, March 29, 2012 at 10:00 Central Daylight Time to further discuss quarter results. A real-time webcast of the conference is available by logging on to TXI's website at www.txi.com.

The following is a summary of operating results for our business segments and certain other operating information related to our principal products.

Cement Operations

Three months ended February 29, 2012

Cement operating loss for the three-month periods ended February 29, 2012 and February 28, 2011 was $2.4 million and $12.4 million, respectively. The operating results in the current period were impacted by higher cement shipments and average sales prices and lower cost of products sold due to higher clinker production.

Total segment sales for the three-month period ended February 29, 2012 were $65.5 million compared to $60.2 million for the prior year period. Cement sales increased $3.8 million from the prior year period. Our Texas market area accounted for approximately 69% of cement sales in the current period compared to 72% of cement sales in the prior year period. Average cement prices increased 2% in our Texas market area and decreased 1% in our California market area. Shipments were comparable in our Texas market area and increased 22% in our California market area.

Cost of products sold for the three-month period ended February 29, 2012 decreased $6.7 million from the prior year period primarily due to a 16% decrease in cement unit costs offset in part by higher cement shipments. Cement unit costs were impacted by 31% higher clinker production and lower repair and maintenance costs.

Selling, general and administrative expense for the three-month period ended February 29, 2012 increased $1.4 million from the prior year period primarily due to higher provisions for insurance claims.

Other income for the three-month period ended February 29, 2012 decreased $0.5 million from the prior year period primarily due to lower gains from routine sales of surplus operating assets.

Aggregate Operations

Three months ended February 29, 2012

Aggregate operating profit for the three-month period ended February 29, 2012 was $0.2 million. Aggregate operating loss for the three-month period ended February 28, 2011 was $0.1 million.

Total segment sales for the three-month period ended February 29, 2012 were $36.6 million compared to $34.9 million for the prior year period. Stone, sand and gravel sales decreased $1.4 million from the prior year period. The effect of the disposition of aggregate operating assets through the asset exchange transaction completed in April 2011 decreased sales $1.8 million, shipments 8% and average prices 2% from the prior year period. Stone, sand and gravel sales from current operations increased $0.4 million from the prior year period on 4% higher shipments and 2% lower average prices. 

Cost of products sold for the three-month period ended February 29, 2012 increased $2.9 million from the prior year period. The effect of the disposition of aggregate operating assets through the asset exchange transaction completed in April 2011 decreased stone, sand and gravel cost of products sold $1.8 million which was offset in part by higher freight costs. Stone, sand and gravel unit costs increased 3% from the prior year period primarily due to the effect of the disposition of aggregate operating assets through the asset exchange transaction completed in April 2011 on unit costs.

Selling, general and administrative expense for the three-month period ended February 29, 2012 decreased $0.2 million from the prior year period primarily due to lower compensation expense.

Other income for the three-month period ended February 29, 2012 increased $1.2 million from the prior year period primarily due to higher gains from routine sales of surplus operating assets.

Consumer Products Operations

Three months ended February 29, 2012

Consumer products operating loss for the three-month periods ended February 29, 2012 and February 28, 2011 was $4.3 million and $4.6 million, respectively.  

Total segment sales for the three-month period ended February 29, 2012 were $49.9 million compared to $45.3 million for the prior year period. Ready-mix concrete sales increased $3.1 million from the prior year. Sales increased $1.9 million and shipments increased 6% due to the net effect of the asset exchange transactions completed in April and July 2011. Ready-mix concrete sales excluding the net effect of the asset exchange transactions increased $1.2 million from the prior year period on 2% higher shipments and 2% higher average prices. 

Cost of products sold for the three-month period ended February 29, 2012 increased $5.2 million from the prior year period. Cost of products sold increased $2.0 million due to the net effect of the asset exchange transactions completed in April and July 2011. Cost of products sold excluding the net effect of the asset exchange transactions increased $3.2 million. Ready-mix concrete unit costs increased 1% from the prior year period primarily due to higher repair and maintenance and diesel costs.

Selling, general and administrative expense for the three-month period ended February 29, 2012 decreased $1.3 million from the prior year period primarily due to lower provisions for bad debts.

Other income for the three-month period ended February 29, 2012 decreased $0.2 million from the prior year period primarily due to $0.3 million equity in losses of joint venture recognized in the current period.

Corporate

Three months ended February 29, 2012

Other income for the three-month period ended February 29, 2012 decreased $0.3 million from the prior year period primarily due to lower oil and gas royalty payments.

Selling, general and administrative expense for the three-month period ended February 29, 2012 increased $1.2 million from the prior year period primarily due to $1.2 million higher stock-based compensation expense.  Our stock-based compensation includes awards expected to be settled in cash, the expense for which is based on their fair value at the end of each period until the awards are paid. The impact of changes in our stock price on the fair value of these awards increased expense $1.7 million and $0.7 million for the three-month periods ended February 29, 2012 and February 28, 2011, respectively. 

Interest

Interest expense incurred for the three-month period ended February 29, 2012 was $17.0 million, of which $8.5 million was capitalized in connection with our Hunter, Texas cement plant expansion project and $8.5 million was expensed. Interest expense incurred for the three-month period ended February 28, 2011 was $17.3 million, of which $7.6 million was capitalized in connection with our Hunter, Texas cement plant expansion project and $9.7 million was expensed. Interest expense incurred for the three-month period ended February 29, 2012 decreased $0.3 million from the prior year period primarily as a result of lower credit facility fees.

Income Taxes

Income taxes for the interim periods ended February 29, 2012 and February 28, 2011 have been included in the accompanying financial statements on the basis of an estimated annual rate. The tax rate differs from the 35% federal statutory corporate rate primarily due to percentage depletion that is tax deductible, state income taxes and valuation allowances against deferred tax assets. The estimated annualized rate does not include the tax impact of the loss on debt retirements which was recognized as a discrete item in the nine-month period ended February 28, 2011. The estimated annualized rate excluding this charge is 2.5% for fiscal year 2012 compared to 40.2% for fiscal year 2011. We received income tax refunds of less than $0.1 million and made income tax payments of $0.1 million in the nine-month period ended February 29, 2012. We received income tax refunds of $13.1 million and made income tax payments of less than $0.1 million in the nine-month period ended February 28, 2011.

Net deferred tax assets totaled $16.3 million at February 29, 2012 and $15.0 million at May 31, 2011, of which $15.0 million at February 29, 2012 and $12.3 million at May 31, 2011 were classified as current. Management reviews our deferred tax position and in particular our deferred tax assets whenever circumstances indicate that the assets may not be realized in the future and would record a valuation allowance unless such deferred tax assets were deemed more likely than not to be recoverable. The ultimate realization of these deferred tax assets depends upon various factors including the generation of taxable income during future periods. The Company's deferred tax assets exceeded deferred tax liabilities as of February 29, 2012 primarily as a result of the recent losses. Management has concluded that the sources of taxable income we are permitted to consider do not assure the realization of the entire amount of the increase in our net deferred tax assets expected during the year. Accordingly, a valuation allowance is required due to the uncertainty of realizing the deferred tax assets.

Certain statements contained in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to, the impact of competitive pressures and changing economic and financial conditions on our business, the cyclical and seasonal nature of our business, the level of construction activity in our markets, abnormal periods of inclement weather, unexpected periods of equipment downtime, unexpected operational difficulties, changes in the cost of raw materials, fuel and energy, changes in the cost or availability of transportation, changes in interest rates, the timing and amount of federal, state and local funding for infrastructure, delays in announced capacity expansions, ongoing volatility and uncertainty in the capital or credit markets, the impact of environmental laws, regulations and claims and changes in governmental and public policy, and the risks and uncertainties described in our reports on Forms 10-K, 10-Q and 8-K. Forward-looking statements speak only as of the date hereof, and we assume no obligation to publicly update such statements.

TXI is the largest producer of cement in Texas and a major cement producer in California. TXI is also a major supplier of construction aggregate, ready-mix concrete and concrete products.

The Texas Industries, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=6602

CONTACT: T. Lesley Vines, Jr.
         Vice President
         Corporate Controller & Treasurer
         972.647.6722
         Email:  lvines@txi.com

 

 

 

 

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Texas Industries, Inc.
Consolidated Statements of Operations
$ In thousands expect per share
					FY2005	FY2006	FY2007	FY2008	FY2009		FY2010						FY2011						FY2012
											Q1	Q2	Q3	Q4	Total		Q1	Q2	Q3	Q4	Total		Q1	Q2	Q3	Total
	Shipments
		Cement (thousands of tons)			5,394	5,136	5,074	5,035	4,035		915	738	639	934	3,226		873	784	704	940	3,301		969	884	743	2,596
		Aggregates (thousands of tons)			23,616	25,246	22,114	21,851	16,470		3,423	2,642	1,947	3,351	11,363		3,584	3,026	2,470	2,985	12,065		3,143	2,818	2,363	8,324
		Ready-mix (thousands of cubic yards)			3,678	3,830	3,665	3,844	2,902		612	501	427	607	2,147		669	575	471	700	2,415		741	587	508	1,836
	Price
		Cement ($ per ton)			$75.05	$87.14	$95.06	$93.07	$90.31		$85.70	$83.64	$81.82	$78.95	$82.51		$77.59	$78.49	$76.75	$77.77	$77.68		$78.41	$78.07	$77.76	$78.11
		Aggregates ($ per ton)			$5.68	$6.08	$7.03	$7.44	$7.97		$8.12	$7.65	$7.62	$7.51	$7.75		$7.42	$7.48	$7.38	$7.23	$7.38		$7.06	$7.45	$7.12	$7.21
		Ready-mix ($ per cubic yard)			$60.54	$69.25	$75.87	$80.83	$85.46		$88.46	$83.02	$79.17	$76.06	$81.83		$77.83	$75.45	$72.83	$72.92	$74.87		$75.93	$75.85	$73.80	$75.31
	Net Sales
		Cement			404,823	447,594	482,379	468,673	364,386		78,460	61,726	52,322	73,672	266,180		67,690	61,599	54,018	73,078	256,385		75,978	68,994	57,830	202,802
		Aggregates			134,220	153,480	155,562	162,582	131,197		27,794	20,217	14,849	25,159	88,019		26,593	22,644	18,212	21,596	89,045		22,200	20,993	16,829	60,022
		Ready-mix			222,680	265,254	278,067	310,652	247,931		54,053	41,720	33,695	46,244	175,712		52,106	43,377	34,351	50,992	180,826		56,228	44,579	37,481	138,288
		Other			104,847	118,555	119,798	132,606	121,321		28,939	22,244	19,923	30,420	101,526		27,310	23,112	20,487	30,745	101,654		27,128	23,039	23,556	73,723
		Interplant			(105,576)	(121,127)	(118,406)	(130,461)	(103,030)		(20,878)	(15,988)	(13,575)	(19,338)	(69,779)		(20,708)	(18,369)	(14,597)	(20,380)	(74,054)		(20,022)	(19,250)	(17,356)	(56,628)
		Delivery Fees			73,809	80,166	78,850	84,802	77,397		15,589	13,016	10,615	20,186	59,406		19,131	15,748	13,347	19,731	67,957		20,228	17,716	16,296	54,240
	Net Sales				834,803	943,922	996,250	1,028,854	839,202		183,957	142,935	117,829	176,343	621,064		172,122	148,111	125,818	175,762	621,813		181,740	156,071	134,636	472,447
	Costs and Expenses (Income)
		Cost of products sold			692,414	766,941	754,088	834,333	726,133		149,852	126,063	131,126	155,025	562,066		156,014	136,044	135,179	169,273	596,510		167,915	153,325	133,891	455,131
		Selling, general and administrative			78,434	88,663	108,106	96,220	72,093		20,254	15,886	17,568	25,707	79,415		16,141	18,543	17,319	24,417	76,420		17,804	13,877	18,390	50,071
		Restructuring charges and goodwill impairment			-	-	-	-	58,395		-	-	-	-	-		-	-	-	-	-		-	3,216	-	3,216
		Interest			23,533	31,155	14,074	2,505	33,286		13,244	13,364	13,642	11,990	52,240		14,411	13,886	9,670	9,616	47,583		9,460	8,838	8,512	26,810
		Loss on debt retirements and spin-off charges			894	113,247	48	-	907		-	-	-	-	-		29,006	613	-	-	29,619		-	-	-	-
		Other income			(22,727)	(47,270)	(36,629)	(31,563)	(21,191)		(2,652)	(5,728)	(1,044)	(1,242)	(10,666)		(4,890)	(1,929)	(1,115)	(13,578)	(21,512)		(5,872)	(1,527)	(1,337)	(8,736)
					772,548	952,736	839,687	901,495	869,623		180,698	149,585	161,292	191,480	683,055		210,682	167,157	161,053	189,728	728,620		189,307	177,729	159,456	526,492
			Income (Loss) from Continuing Operations
			before Income Taxes		62,255	(8,814)	156,563	127,359	(30,421)		3,259	(6,650)	(43,463)	(15,137)	(61,991)		(38,560)	(19,046)	(35,235)	(13,966)	(106,807)		(7,567)	(21,658)	(24,820)	(54,045)
	Income Taxes (Benefits)				16,811	(8,225)	51,852	39,728	(12,774)		1,544	(2,948)	(16,358)	(5,376)	(23,138)		(14,868)	(7,845)	(14,301)	(4,880)	(41,894)		(147)	(621)	(540)	(1,308)
			Income (Loss) from Continuing Operations		45,444	(589)	104,711	87,631	(17,647)		1,715	(3,702)	(27,105)	(9,761)	(38,853)		(23,692)	(11,201)	(20,934)	(9,086)	(64,913)		(7,420)	(21,037)	(24,280)	(52,737)
	Income from Discontinued Operations net of Income Taxes				79,079	8,691	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
	Income (Loss) before Accounting Change				124,523	8,102	104,711	87,631	(17,647)		1,715	(3,702)	(27,105)	(9,761)	(38,853)		(23,692)	(11,201)	(20,934)	(9,086)	(64,913)		(7,420)	(21,037)	(24,280)	(52,737)
	Cumulative Effect of Accounting Change net of Income Taxes				-	-	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
			Net Income (Loss)		124,523	8,102	104,711	87,631	(17,647)		1,715	(3,702)	(27,105)	(9,761)	(38,853)		(23,692)	(11,201)	(20,934)	(9,086)	(64,913)		(7,420)	(21,037)	(24,280)	(52,737)

 

 

 

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Texas Industries, Inc.
Consolidated Balance Sheets
$ In thousands
					5/31/2005	5/31/2006	5/31/2007	5/31/2008	5/31/2009		8/31/2009	11/30/2009	2/28/2010	5/31/2010			8/31/2010	11/30/2010	2/28/2011	5/31/2011			8/31/2011	11/30/2011	2/29/2012
	Cash				251,600	84,139	15,138	39,527	19,796		32,183	56,794	75,615	74,946			162,427	139,753	123,362	116,432			60,600	67,462	27,155
	Short-term investments				-	50,606	-	-	-		-	-	-	-			-	-	-	-			-	-	-
	Receivables - net				117,363	132,849	142,610	170,943	129,432		129,430	115,469	74,642	112,184			107,217	96,671	69,999	85,817			94,617	82,378	78,597
	Inventories				83,291	109,767	135,254	144,654	155,724		156,355	161,431	141,304	142,419			148,741	152,681	143,341	140,646			139,752	128,154	130,294
	Deferred income taxes and prepaid expenses				28,754	33,599	17,621	17,943	22,039		21,244	21,320	21,887	23,426			22,673	23,351	22,774	22,040			21,001	20,529	21,398
		Total Current Assets			481,008	410,960	310,623	373,067	326,991		339,212	355,014	313,448	352,975			441,058	412,456	359,476	364,935			315,970	298,523	257,444
	Property, plant and equipment				886,447	956,896	1,293,360	1,546,125	1,791,546		1,789,351	1,788,663	1,790,965	1,758,778			1,759,077	1,775,126	1,788,023	1,797,750			1,830,765	1,853,036	1,865,027
	Less depreciation and depletion				473,794	486,585	509,138	518,361	572,195		587,052	601,982	613,930	604,269			618,706	634,404	646,841	642,329			649,973	662,186	670,030
		Net Property, Plant and Equipment			412,653	470,311	784,222	1,027,764	1,219,351		1,202,299	1,186,681	1,177,035	1,154,509			1,140,371	1,140,722	1,141,182	1,155,421			1,180,792	1,190,850	1,194,997
	Goodwill				58,395	58,395	58,395	60,110	1,715		1,715	1,715	1,715	1,715			1,715	1,715	1,715	1,715			1,715	1,715	1,715
	Real estate and investments				99,491	125,159	110,761	59,261	10,001		7,736	7,827	7,334	6,774			6,223	7,426	7,007	6,749			6,447	11,472	11,044
	Deferred cncome taxes, intangibles and other charges				27,571	22,706	11,369	11,332	14,486		15,852	15,787	14,050	15,774			22,398	23,219	20,314	22,191			24,031	22,481	21,566
	Assets of discontinued operations				1,114,627	-	-	-	-		-	-	-	-			-	-	-	-			-	-	-
					1,300,084	206,260	180,525	130,703	26,202		25,303	25,329	23,099	24,263			30,336	32,360	29,036	30,655			32,193	35,668	34,325
	Total Assets				2,193,745	1,087,531	1,275,370	1,531,534	1,572,544		1,566,814	1,567,024	1,513,582	1,531,747			1,611,765	1,585,538	1,529,694	1,551,011			1,528,955	1,525,041	1,486,766
	Accounts payable				44,560	50,931	96,883	111,478	55,749		48,894	41,144	43,537	56,214			54,659	41,800	43,265	56,787			54,320	57,389	60,759
	Accrued interest, compensation and other items				62,202	66,955	70,104	66,967	51,856		47,808	60,224	41,515	51,455			45,805	63,307	40,087	58,848			49,290	63,829	43,189
	Current portion of long term debt				688	681	1,340	7,725	243		247	541	500	234			13,341	95	72	73			74	499	486
		Total Current Liabilities			107,450	118,567	168,327	186,170	107,848		96,949	101,909	85,552	107,903			113,805	105,202	83,424	115,708			103,684	121,717	104,434
	Long-term Debt				603,126	251,505	274,416	401,880	541,540		542,371	543,244	544,087	538,620			652,459	652,441	652,422	652,403			652,385	654,138	654,014
	Convertible subordinated debentures				199,937	159,725	-	-	-		-	-	-	-			-	-	-	-			-	-	-
	Deferred income taxes and other credits				77,138	79,837	95,508	118,117	120,011		122,765	121,591	111,171	123,976			108,400	102,495	89,177	87,318			85,223	80,919	81,278
	Liabilities of discontinued operations				278,527	-	-	-	-		-	-	-	-			-	-	-	-			-	-	-
	Shareholders' equity				927,567	477,897	737,119	825,367	803,145		804,729	800,280	772,772	761,248			737,101	725,400	704,671	695,582			687,663	668,267	647,040
	Total Liabilities and Shareholders' Equity				2,193,745	1,087,531	1,275,370	1,531,534	1,572,544		1,566,814	1,567,024	1,513,582	1,531,747			1,611,765	1,585,538	1,529,694	1,551,011			1,528,955	1,525,041	1,486,766
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Texas Industries, Inc.
Consolidated Statements of Cash Flows
$ In thousands
					FY2005	FY2006	FY2007	FY2008	FY2009		FY2010						FY2011						FY2012
											Q1	Q2	Q3	Q4	Total		Q1	Q2	Q3	Q4	Total		Q1	Q2	Q3	Total
CONTINUING OPERATIONS
	Operating Activities
		Income (Loss) from Continuing Operations			45,444	(589)	104,711	87,631	(17,647)		1,715	(3,702)	(27,105)	(9,761)	(38,853)		(23,692)	(11,201)	(20,934)	(9,086)	(64,913)		(7,420)	(21,037)	(24,280)	(52,737)
		Adjustments to reconcile income (loss) from continuing
			operations to cash provided by continuing operating
			activities
			Depreciation, depletion and amortization		46,474	44,955	46,356	55,577	68,192		16,594	16,377	16,292	14,662	63,925		15,861	16,130	16,118	16,188	64,297		15,980	15,405	15,110	46,495
			Goodwill impairment		-	-	-	-	58,395		-	-	-	-	-		-	-	-	-	-		-	-	-	-
			Loss (gain) on asset disposals		(6,582)	(34,768)	(2,917)	(19,410)	(6,759)		(1,030)	(403)	109	(26)	(1,350)		(1,613)	58	99	(12,182)	(13,638)		(2,368)	(383)	(985)	(3,736)
			Deferred income taxes (benefit)		33,811	6,581	13,622	20,036	(1,938)		743	13	(11,744)	1,856	(9,132)		(14,973)	(7,991)	(14,701)	(5,210)	(42,875)		(241)	(704)	(708)	(1,653)
			Stock-based compensation expense (credit)		-	-	13,866	2,395	(4,400)		2,643	(500)	1,589	1,365	5,097		(230)	2,518	1,983	1,310	5,581		107	(1,336)	2,939	1,710
			Excess tax benefits from stock-based compensation		8,000	9,969	(1,694)	(3,299)	(1,596)		(211)	(37)	14	(16)	(250)		-	-	-	-	-		-	-	-	-
			Loss on debt retirements		-	107,006	48	-	907		-	-	-	-	-		29,006	613	-	-	29,619		-	-	-	-
			Other - net		889	(2,399)	3,234	2,475	5,931		(221)	830	2,490	10,899	13,998		2,192	(5,047)	597	5,416	3,158		(1,567)	(3,618)	761	(4,424)
			Changes in operating assets and liabilities
				Receivables - net	(8,873)	(5,060)	846	(29,507)	55,397		(888)	14,908	11,844	(31,285)	(5,421)		4,413	11,699	13,702	(16,435)	13,379		(8,670)	12,366	3,928	7,624
				Inventories	6,082	(18,761)	(25,047)	(9,400)	(11,070)		757	(4,600)	17,945	(396)	13,706		(6,322)	(3,940)	9,340	3,086	2,164		894	11,295	(2,141)	10,048
				Prepaid expenses	(1,680)	63	1,392	(2,033)	(1,894)		1,074	693	(14)	(1,366)	387		1,297	(65)	1,269	(1,200)	1,301		1,729	1,125	407	3,261
				Accounts payable and accrued liabilities	17,017	(12,155)	31,541	(2,910)	(36,232)		(6,638)	1,815	(4,492)	15,361	6,046		(7,284)	8,597	(9,293)	19,152	11,172		(5,809)	6,739	(5,396)	(4,466)
				Other credits	3,838	2,527	-	-	-		-	-	-	-	-		-	-	-		-		-	-	-	-
				Cash Provided by Continuing Operating Activities	144,420	97,369	185,958	101,555	107,286		14,538	25,394	6,928	1,293	48,153		(1,345)	11,371	(1,820)	1,039	9,245		(7,365)	19,852	(10,365)	2,122
	Investing Activities
		Capital expenditures			(46,178)	(110,245)	(317,658)	(312,525)	(288,544)		(5,373)	(2,069)	(4,286)	(1,931)	(13,659)		(3,156)	(20,243)	(15,545)	(6,739)	(45,683)		(45,588)	(16,678)	(34,029)	(96,295)
		Cash designed for property acquisitions									-	-	-	-	-		-	-	-	-	-		-	-	-	-
		Proceeds from asset disposals			7,136	23,107	5,552	34,922	7,981		1,068	375	20,125	24	21,592		3,209	(172)	206	353	3,596		863	786	2,539	4,188
		Investments in insurance contracts			(58,798)	(4,366)	(6,061)	99,203	2,876		5,802	924	205	36	6,967		327	3,377	190	179	4,073		-	2,989	365	3,354
		Purchases of short-term investments - net			-	(50,500)	50,500	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
		Other - net			(677)	612	(336)	101	(21)		(19)	17	16	2,065	2,079		292	(1,151)	2,089	36	1,266		(82)	(46)	(174)	(302)
				Cash Provided (Used) by Investing Activities	(98,517)	(141,392)	(268,003)	(207,032)	(248,975)		1,478	(753)	16,060	194	16,979		672	(18,189)	(13,060)	(6,171)	(36,748)		(44,807)	(12,949)	(31,299)	(89,055)
	Financing Activities
		Long-term borrowings			-	250,000	38,000	366,000	327,250		-	-	-	-	-		650,000	-	-	-	650,000		-	-	-	-
		Debt retirements			(699)	(600,700)	(25,521)	(232,366)	(197,772)		(59)	(85)	(132)	31	(245)		(547,736)	(13,832)	(42)	(17)	(561,627)		(18)	(18)	(137)	(173)
		Debt issuance costs			(39)	(7,363)	-	(2,160)	(5,470)		(2,032)	(7)	-	(513)	(2,552)		(12,250)	(176)	(54)	(12)	(12,492)		(1,629)	(103)	(97)	(1,829)
		Debt retirement costs			-	(96,029)	(6)	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
		Interest rate swap terminations			(6,315)	-	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
		Stock option exercises			41,399	7,510	6,394	3,315	4,641		331	25	143	394	893		225	239	675	323	1,462		78	80	1,591	1,749
		Excess tax benefits from stock-based compensation			-	-	1,694	3,299	1,596		211	37	(14)	16	250		-	-	-	-	-		-	-	-	-
		Common dividends paid			(6,643)	(6,908)	(7,517)	(8,222)	(8,287)		(2,080)	-	(4,164)	(2,084)	(8,328)		(2,085)	(2,087)	(2,090)	(2,092)	(8,354)		(2,091)	-	-	(2,091)
		Other - net			-	-	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
				Cash Provided (Used) by Financing Activities	27,703	(453,490)	13,044	129,866	121,958		(3,629)	(30)	(4,167)	(2,156)	(9,982)		88,154	(15,856)	(1,511)	(1,798)	68,989		(3,660)	(41)	1,357	(2,344)
	Net Cash Provided (Used) by Continuing Operations				73,606	(497,513)	(69,001)	24,389	(19,731)		12,387	24,611	18,821	(669)	55,150		87,481	(22,674)	(16,391)	(6,930)	41,486		(55,832)	6,862	(40,307)	(89,277)
DISCONTINUED OPERATIONS
	Cash Provided (Used) by Discontinued Operating Activities				73,104	(7,778)	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
	Cash Used by Discontinued Investing Activities				(28,163)	(2,757)	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
	Cash Provided by Discontinued Financing Activities				-	340,587	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
	Net Cash Provided by Discontinued Operations				44,941	330,052	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
Increase (Decrease) in Cash and Cash Equivalents					118,547	(167,461)	(69,001)	24,389	(19,731)		12,387	24,611	18,821	(669)	55,150		87,481	(22,674)	(16,391)	(6,930)	41,486		(55,832)	6,862	(40,307)	(89,277)
Cash and Cash Equivalents at Beginning of Period					133,053	251,600	84,139	15,138	39,527		19,796	32,183	56,794	75,615	19,796		74,946	162,427	139,753	139,753	74,946		116,432	60,600	67,462	116,432
Cash and Cash Equivalents at End of Period					251,600	84,139	15,138	39,527	19,796		32,183	56,794	75,615	74,946	74,946		162,427	139,753	123,362	132,823	116,432		60,600	67,462	27,155	27,155

 

 

 

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Texas Industries, Inc.
Reconciliation of EBITDA to Net Income and Cash Provided (Used) by Continuing Operations
$ In thousands
					FY2005	FY2006	FY2007	FY2008	FY2009		FY2010						FY2011						FY2012
											Q1	Q2	Q3	Q4	Total		Q1	Q2	Q3	Q4	Total		Q1	Q2	Q3	Total
		EBITDA Defined
		Net Income (loss) from Continuing Operations			45,444	(589)	104,711	87,631	(17,647)		1,715	(3,702)	(27,105)	(9,761)	(38,853)		(23,692)	(11,201)	(20,934)	(9,086)	(64,913)		(7,420)	(21,037)	(24,280)	(52,737)
		Plus (minus):
			Interest		23,533	31,155	14,074	2,505	33,286		13,244	13,364	13,642	11,990	52,240		14,411	13,886	9,670	9,616	47,583		9,460	8,838	8,512	26,810
			Income taxes (benefit)		16,811	(8,225)	51,852	39,728	(12,774)		1,544	(2,948)	(16,358)	(5,376)	(23,138)		(14,868)	(7,845)	(14,301)	(4,880)	(41,894)		(147)	(621)	(540)	(1,308)
			Depreciation, depletion and amortization		46,474	44,955	46,356	55,577	68,192		16,594	16,377	16,292	14,662	63,925		15,861	16,130	16,118	16,188	64,297		15,980	15,405	15,110	46,495
			Restructuring charges and goodwill impairment		-	-	-	-	58,395		-	-	-	-	-		-	-	-	-	-		-	3,216	-	3,216
			Loss on debt retirements and spin-off charges		894	113,247	48	-	907		-	-	-	-	-		29,006	613	-	-	29,619		-	-	-	-
		EBITDA			133,156	180,543	217,041	185,441	130,359		33,097	23,091	(13,529)	11,515	54,174		20,718	11,583	(9,447)	11,838	34,692		17,873	5,801	(1,198)	22,476
		EBITDA represents income from continuing operations before interest, income taxes, depreciation and amortization, restructuring charges and goodwill impairment, and loss on debt retirements and spin-off charges.
		EBITDA is presented because we believe it is a useful indicator of our performance and our ability to meet debt service and capital expenditure requirements.
		It is not, however, intended as an alternative measure of operating results or cash flow from operations as determined in accordance with generally accepted accounting principles.
		EBITDA is not necessarily comparable to similarly titled measures used by other companies.
		EBITDA Reconciliation
		Cash from Continuing Operating Activities			144,420	97,369	185,958	101,555	107,286		14,538	25,394	6,928	1,293	48,153		(1,345)	11,371	(1,820)	1,039	9,245		(7,365)	19,852	(10,365)	2,122
		Plus (minus):
			Changes in operating assets and liabilities		(16,384)	33,386	(8,732)	43,850	(6,201)		5,695	(12,816)	(25,283)	17,686	(14,718)		7,896	(16,291)	(15,018)	(4,603)	(28,016)		11,856	(31,525)	3,202	(16,467)
			Deferred taxes (benefit)		(33,811)	(6,581)	(13,622)	(20,036)	1,938		(743)	(13)	11,744	(1,856)	9,132		14,973	7,991	14,701	5,210	42,875		241	704	708	1,653
			Stock-based compensation expense (credit)		-	-	(13,866)	(2,395)	4,400		(2,643)	500	(1,589)	(1,365)	(5,097)		230	(2,518)	(1,983)	(1,310)	(5,581)		(107)	1,336	(2,939)	(1,710)
			Excess tax benefits from stock-based compensation		(8,000)	(9,969)	1,694	3,299	1,596		211	37	(14)	16	250		-	-	-	-	-		-	-	-	-
			Income taxes (benefit)		16,811	(8,225)	51,852	39,728	(12,774)		1,544	(2,948)	(16,358)	(5,376)	(23,138)		(14,868)	(7,845)	(14,301)	(4,880)	(41,894)		(147)	(621)	(540)	(1,308)
			Loss (gain) on assets disposals		6,582	34,768	2,917	19,410	6,759		1,030	403	(109)	26	1,350		1,613	(58)	(99)	12,182	13,638		2,368	383	985	3,736
			Interest		23,533	31,155	14,074	2,505	33,286		13,244	13,364	13,642	11,990	52,240		14,411	13,886	9,670	9,616	47,583		9,460	8,838	8,512	26,810
			Restructuring charges		-	-	-	-	-		-	-	-	-	-		-	-	-	-	-		-	3,216	-	3,216
			Spin-off charges		894	6,241	-	-	-		-	-	-	-	-		-	-	-	-	-		-	-	-	-
			Other - net		(889)	2,399	(3,234)	(2,475)	(5,931)		221	(830)	(2,490)	(10,899)	(13,998)		(2,192)	5,047	(597)	(5,416)	(3,158)		1,567	3,618	(761)	4,424
		EBITDA			133,156	180,543	217,041	185,441	130,359		33,097	23,091	(13,529)	11,515	54,174		20,718	11,583	(9,447)	11,838	34,692		17,873	5,801	(1,198)	22,476

 

 

 

 

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Texas Industries, Inc.
Business Segment Summary
$ In thousands expect per share
					FY2005	FY2006	FY2007	FY2008	FY2009		FY2010						FY2011						FY2012
											Q1	Q2	Q3	Q4	Total		Q1	Q2	Q3	Q4	Total		Q1	Q2	Q3	Total
	Cement Operations
		Operating Results
			Cement sales		404,823	447,594	482,379	468,673	364,386		78,460	61,726	52,322	73,672	266,180		67,690	61,599	54,018	73,078	256,385		75,978	68,994	57,830	202,802
			Other sales and delivery fees		30,699	27,416	27,648	36,079	30,934		6,736	6,457	5,296	9,844	28,333		8,692	6,979	6,144	9,094	30,909		9,659	8,240	7,641	25,540
				Total segment sales	435,522	475,010	510,027	504,752	395,320		85,196	68,183	57,618	83,516	294,513		76,382	68,578	60,162	82,172	287,294		85,637	77,234	65,471	228,342
			Cost of products sold		338,528	352,603	343,145	391,687	342,824		69,859	58,359	70,616	71,929	270,763		70,063	63,121	70,010	80,213	283,407		78,232	78,050	63,359	219,641
				Gross profit	96,994	122,407	166,882	113,065	52,496		15,337	9,824	(12,998)	11,587	23,750		6,319	5,457	(9,848)	1,959	3,887		7,405	(816)	2,112	8,701
			Selling, general and administrative		(15,085)	(13,956)	(19,878)	(18,307)	(19,343)		(4,674)	(4,359)	(3,715)	(4,780)	(17,528)		(4,793)	(4,018)	(3,286)	(6,870)	(18,967)		(4,078)	(4,165)	(4,663)	(12,906)
			Restructuring charges and goodwill impairment		-	-	-	-	(58,395)		-	-	-	-	-		-	-	-	-	-		-	(1,074)	-	(1,074)
			Other income		1,342	951	24,536	7,419	9,301		1,743	4,670	411	950	7,774		2,438	509	696	1,188	4,831		3,190	700	167	4,057
				Operating Profit (Loss)	83,251	109,402	171,540	102,177	(15,941)		12,406	10,135	(16,302)	7,757	13,996		3,964	1,948	(12,438)	(3,723)	(10,249)		6,517	(5,355)	(2,384)	(1,222)
			Cement
				Shipments (tons)	5,394	5,136	5,074	5,035	4,035		915	738	639	934	3,226		873	784	704	940	3,301		969	884	743	2,596
				Prices ($/ton)	$75.05	$87.14	$95.06	$93.07	$90.31		$85.70	$83.64	$81.82	$78.95	$82.51		$77.59	$78.49	$76.75	$77.77	$77.68		$78.41	$78.07	$77.76	$78.11
				Cost of sales ($/ton)	$58.03	$63.65	$63.08	$70.85	$78.02		$68.70	$71.98	$101.70	$69.99	$76.36		$71.23	$73.39	$90.43	$76.33	$77.29		$71.77	$78.34	$75.95	$75.20
	Aggregate Operations
		Operating Results
			Stone, sand and gravel sales		134,220	153,480	155,562	162,582	131,197		27,794	20,217	14,849	25,159	88,019		26,593	22,644	18,212	21,596	89,045		22,200	20,993	16,829	60,022
			Expanded shale and clay sales and delivery fees		88,125	99,101	113,292	122,748	106,294		22,307	16,070	14,410	24,141	76,928		23,377	18,438	16,692	24,873	83,380		22,901	18,973	19,813	61,687
				Total segment sales	222,345	252,581	268,854	285,330	237,491		50,101	36,287	29,259	49,300	164,947		49,970	41,082	34,904	46,469	172,425		45,101	39,966	36,642	121,709
			Cost of products sold		191,837	219,124	218,394	231,503	197,583		39,155	32,001	28,882	42,925	142,963		43,410	35,002	32,323	41,367	152,102		38,508	35,313	35,225	109,046
				Gross profit	30,508	33,457	50,460	53,827	39,908		10,946	4,286	377	6,375	21,984		6,560	6,080	2,581	5,102	20,323		6,593	4,653	1,417	12,663
			Selling, general and administrative		(11,920)	(15,436)	(16,212)	(15,178)	(12,633)		(2,705)	(2,489)	(1,937)	(2,471)	(9,602)		(3,059)	(2,814)	(2,679)	(2,837)	(11,389)		(2,950)	(2,323)	(2,466)	(7,739)
			Restructuring charges		-	-	-	-	-		-	-	-	-	-		-	-	-	-	-		-	(437)	-	(437)
			Other income		10,782	30,376	2,638	16,974	6,954		398	432	409	180	1,419		1,633	57	16	11,998	13,704		272	207	1,263	1,742
				Operating Profit (Loss)	29,370	48,397	36,886	55,623	34,229		8,639	2,229	(1,151)	4,084	13,801		5,134	3,323	(82)	14,263	22,638		3,915	2,100	214	6,229
			Stone, sand and gravel
				Shipments (tons)	23,616	25,246	22,114	21,851	16,470		3,423	2,642	1,947	3,351	11,363		3,584	3,026	2,470	2,985	12,065		3,143	2,818	2,363	8,324
				Prices ($/ton)	$5.68	$6.08	$7.03	$7.44	$7.97		$8.12	$7.65	$7.62	$7.51	$7.75		$7.42	$7.48	$7.38	$7.23	$7.38		$7.06	$7.45	$7.12	$7.21
				Cost of sales ($/ton)	$4.80	$5.23	$5.40	$6.13	$6.68		$6.28	$7.03	$8.41	$6.60	$6.91		$6.45	$6.53	$7.23	$6.80	$6.72		$6.22	$6.35	$7.47	$6.62
	Consumer Products Operations
		Operating Results
			Ready-mix concrete sales		222,680	265,254	278,067	310,652	247,931		54,053	41,720	33,695	46,244	175,712		52,106	43,377	34,351	50,992	180,826		56,228	44,579	37,481	138,288
			Package products sales and delivery fees		59,832	72,204	57,708	58,581	61,490		15,485	12,733	10,832	16,621	55,671		14,372	13,443	10,998	16,509	55,322		14,796	13,542	12,398	40,736
				Total segment sales	282,512	337,458	335,775	369,233	309,421		69,538	54,453	44,527	62,865	231,383		66,478	56,820	45,349	67,501	236,148		71,024	58,121	49,879	179,024
			Cost of products sold		267,625	316,341	310,955	341,604	288,756		61,716	51,691	45,203	59,509	218,119		63,249	56,290	47,443	68,073	235,055		71,197	59,212	52,663	183,072
				Gross profit	14,887	21,117	24,820	27,629	20,665		7,822	2,762	(676)	3,356	13,264		3,229	530	(2,094)	(572)	1,093		(173)	(1,091)	(2,784)	(4,048)
			Selling, general and administrative		(10,339)	(11,415)	(16,284)	(19,314)	(13,116)		(3,204)	(2,749)	(1,421)	(2,819)	(10,193)		(2,676)	(3,047)	(2,607)	(4,443)	(12,773)		(4,374)	(2,436)	(1,297)	(8,107)
			Restructuring charges		-	-	-	-	-		-	-	-	-	-		-	-	-	-	-		-	(536)	-	(536)
			Other income		711	647	1,310	3,268	1,314		133	268	115	70	586		198	134	66	131	529		2,207	457	(177)	2,487
				Operating Profit (Loss)	5,259	10,349	9,846	11,583	8,863		4,751	281	(1,982)	607	3,657		751	(2,383)	(4,635)	(4,884)	(11,151)		(2,340)	(3,606)	(4,258)	(10,204)
			Ready-mix concrete
				Shipments (tons)	3,678	3,830	3,665	3,844	2,902		612	501	427	607	2,147		669	575	471	700	2,415		741	587	508	1,836
				Prices ($/ton)	$60.54	$69.25	$75.87	$80.83	$85.46		$88.46	$83.02	$79.17	$76.06	$81.83		$77.83	$75.45	$72.83	$72.92	$74.87		$75.93	$75.85	$73.80	$75.31
				Cost of sales ($/ton)	$61.12	$67.69	$71.92	$76.36	$81.41		$79.91	$80.98	$84.35	$75.60	$79.82		$76.20	$77.79	$80.71	$77.70	$77.89		$78.91	$80.66	$81.87	$80.29
	Total Segment Operating Profit (Loss)				117,880	168,148	218,272	169,383	27,151		25,796	12,645	(19,435)	12,448	31,454		9,849	2,888	(17,155)	5,656	1,238		8,092	(6,861)	(6,428)	(5,197)
	Corporate
			Other income		9,892	15,296	8,145	3,902	3,622		378	358	109	42	887		621	1,229	337	261	2,448		203	163	84	450
			Selling, general and administrative		(41,090)	(47,856)	(55,732)	(43,421)	(27,001)		(9,671)	(6,289)	(10,495)	(15,637)	(42,092)		(5,613)	(8,664)	(8,747)	(10,267)	(33,291)		(6,402)	(4,953)	(9,964)	(21,319)
			Restructuring charges		-	-	-	-	-		-	-	-	-	-		-	-	-	-	-		-	(1,169)	-	(1,169)
					(31,198)	(32,560)	(47,587)	(39,519)	(23,379)		(9,293)	(5,931)	(10,386)	(15,595)	(41,205)		(4,992)	(7,435)	(8,410)	(10,006)	(30,843)		(6,199)	(5,959)	(9,880)	(22,038)
	Interest				(23,533)	(31,155)	(14,074)	(2,505)	(33,286)		(13,244)	(13,364)	(13,642)	(11,990)	(52,240)		(14,411)	(13,886)	(9,670)	(9,616)	(47,583)		(9,460)	(8,838)	(8,512)	(26,810)
	Loss on Debt Retirements				(894)	(113,247)	(48)	-	(907)		-	-	-	-	-		(29,006)	(613)	-	-	(29,619)		-	-	-	-
		Income (loss) from Continuing Operations before
		Income Taxes			62,255	(8,814)	156,563	127,359	(30,421)		3,259	(6,650)	(43,463)	(15,137)	(61,991)		(38,560)	(19,046)	(35,235)	(13,966)	(106,807)		(7,567)	(21,658)	(24,820)	(54,045)