Page 43 - Martin Marietta - 2021 Proxy Statement

Letter from Committee Chair

Dear Fellow Shareholders:

Due to the pandemic and related economic disruption, 2020 was a very challenging year for Martin Marietta as well as the
entire country and economy. During these unprecedented times, we have taken action to support our employees, their
families, our customers, our supply chain, and the communities we serve. We are proud of our workforce, which has
demonstrated the needed resilience to be successful. Despite the significant economic uncertainty and headwinds created
by the COVID-19 pandemic, Martin Marietta achieved substantial success in meeting our strategic, financial and social
objectives.

In the face of these challenges, we remain committed to maintaining strong executive pay and governance practices in
which compensation is tied to performance. We look at a broad range of criteria when assessing performance, including
financial, engagement with our shareholders, safety and health, our employees’ well-being, sustainability and others.
These factors, which I’ve summarized, are discussed in detail below in the CDA. The Committee retained Pay Governance,
a leading independent consulting firm, to help in this regard.
Financial Performance
As a result of our commitment to SOAR and proactive management of the business through the pandemic, 2020 was a
year of continuing growth for Martin Marietta despite the challenges and uncertainty resulting from COVID-19. For the
ninth consecutive year, the Company achieved annual products and services revenue, gross profit, adjusted EBITDA and
adjusted EPS growth.
Total Revenues Gross Profit Adjusted EPS*
+2.7x Growth +3.9x Growth +5.5x Growth

10.2% CAGR

$4.7B $4.7B 14.6% CAGR $1.3B 18.6% CAGR $11.54
$4.0B $4.2B $1.2B $9.74
$3.5B $1.0B $1.0B $8.08
$7.18
$0.7B
$1.8B $4.29
$0.3B
$2.10

2010201520172018 2019 2020 2010201520172018 2019 2020 2010201520172018 2019 2020
Note: See Appendix B for a reconciliation of non-GAAP measures to GAAP measures.
Engagement with Our Shareholders
We regularly engage with our shareholders to understand the executive compensation topics that matter most to them.
We view a continuing, constructive dialogue with our long-term shareholders as critically important to ensuring that we
remain aligned with their interests. We regularly talk to long-term shareholders and appreciate the opportunity to gain
further insight and understanding into their views. Typically, management speaks with at least our top 25 shareholders,
representing approximately 64% of our outstanding shares, at least annually. In 2020 our investor relations outreach
extended to 88 meetings (mostly virtual) with 313 investment groups in the United States, Canada, the United Kingdom,
Germany, Switzerland, the Netherlands, and France.

Safety
We have adopted a safety culture built on Guardian Angel, a safety program we first introduced in 2000 to
encourage our employees to look out for each other to make sure everyone goes home safely each day. This
program has propelled us to new heights in safety performance. In 2020, we rolled out a comprehensive
safety mentoring process to pair new employees with committed safety champions.

Our Employees
Martin Marietta recognizes that our success would not be possible without our hard-working and loyal employees, and our
Guardian Angel safety program and ONE employer brand form the foundation of our exceptional Company culture.

38 2021 PROXY STATEMENT