Page 77 - 2019 Annual Report

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (continued)

Depreciation, depletion and amortization expense were as follows:

years ended December 31
(in millions) 2019 2018
Depreciation $ 313.6 $ 296.8
Depletion 37.5 29.3
Amortization 16.4 17.9
Total $ 367.5 $ 344.0

The increase in 2019 reflects a full year of the legacy Bluegrass operations versus the period from acquisition on April 28 to
December 31 in 2018.

Investing Activities
Net cash used for investing activities was $385.9 million in 2019 and $1.95 billion in 2018.

Property, plant and equipment capitalized by reportable segment, excluding acquisitions, was as follows:

years ended December 31
(in millions) 2019 2018
Mid‐America Group $ 127.7 $ 176.8
Southeast Group 45.3 41.6
West Group 182.5 145.6
Total Building Materials Business 355.5 364.0
Magnesia Specialties 20.0 12.5
Corporate 12.1 4.8
Total $ 387.6 $ 381.3

Spending in 2019 and 2018 for the Mid‐America Group reflects the ongoing new underground mine project at the Fort
Calhoun operation in Nebraska, which is expected to be completed and fully operational in 2022. The increase in spending in
the West Group for 2019 primarily reflects the secondary plant construction at the Company’s Granite Canyon quarry in
Wyoming. Magnesia Specialties capital spending in 2019 is primarily attributable to a kiln project at the Woodville, Ohio,
facility.
The Company paid cash of $1.64 billion for acquisitions in 2018, primarily for the purchase of Bluegrass. There were no
acquisitions in 2019.

Pretax proceeds from divestitures and sales of surplus land and equipment were $8.4 million in 2019 and $69.1 million in
2018. In 2018, the amount includes the divestitures of the heritage Martin Marietta Forsyth Quarry and the legacy Bluegrass
Beaver Creek Quarry as part of an agreement with the U.S. DOJ, approved by the federal district court for the District of
Columbia, which resolved all competition issues with respect to the Bluegrass acquisition.

Financing Activities
The Company used $604.1 million and $158.4 million of cash for financing activities during 2019 and 2018, respectively.

Net repayments of long‐term debt were $350.1 million in 2019 and net borrowings of long‐term debt were $89.9 million in
2018. The Company repaid the $300 million aggregate principal amount of Floating Rate Senior Notes due 2019 on its
maturity date.
The Company repurchased 0.4 million shares of its common stock for a total cost of $98.2 million, or $236.04 per share, in
2019 and 0.5 million shares of its common stock for a total cost of $100.4 million, or $192.61 per share, in 2018.
For the years ended December 31, 2019 and 2018, the Board of Directors approved total cash dividends on the Company’s
common stock of $2.06 per share and $1.84 per share, respectively. Total cash dividends were $129.8 million in 2019 and
$116.4 million in 2018.
Cash provided by issuances of common stock, which represents the exercises of stock options, excluding the impact of shares
withheld for taxes, was $13.7 million and $7.3 million in 2019 and 2018, respectively.

Celebrating 25 Years as a Public Company Annual Report ♦ Page 75