Page 21 - 2019 Annual Report
P. 21

NOTES TO FINANCIAL STATEMENTS (continued)

           Sales Taxes. Sales taxes collected from customers are recorded as liabilities until remitted to taxing authorities and therefore
           are not reflected in the consolidated statements of earnings.

           Start‐Up Costs. Noncapital start‐up costs for new facilities and products are charged to operations as incurred.

           Warranties. The Company’s construction contracts usually contain warranty provisions covering defects in materials, design or
           workmanship, the majority of which cover one year after project completion. Due to the nature of its projects, including
           contract owner inspections of the work both during construction and prior to acceptance, the Company has not experienced
           material warranty costs for these short‐term warranties and therefore does not believe an accrual for these costs is necessary.
           The ready mixed concrete product line carries a longer warranty period, for which the Company has accrued an estimate of
           warranty cost based on experience with the type of work and any known risks relative to the projects. These costs were not
           material to the Company’s consolidated results of operations for the years ended December 31, 2019, 2018 and 2017.

           Consolidated Comprehensive Earnings and Accumulated Other Comprehensive Loss. Consolidated comprehensive earnings
           for  the  Company  consist  of  consolidated  net  earnings,  adjustments  for  the  funded  status  of  pension  and  postretirement
           benefit plans, foreign  currency  translation adjustments  and  the  amortization  of  the value  of  terminated  forward  starting
           interest  rate  swap  agreements  into  interest  expense,  and  are  presented  in  the  Company’s  consolidated  statements  of
           comprehensive earnings.

           Accumulated other comprehensive loss consists of unrecognized gains and losses related to the funded status of the pension
           and postretirement benefit plans, foreign currency translation and the unamortized value of terminated forward starting
           interest rate swap agreements, and is presented on the Company’s consolidated balance sheets.























































           Celebrating 25 Years as a Public Company                                         Annual Report  ♦  Page 19
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