Page 189 - Martin Marietta - 2023 Proxy Statement

ADDITIONAL NON‐GAAP RECONCILIATION

The net leverage ratio at December 31, 2022 for the trailing‐twelve months consolidated Adjusted EBITDA is a non‐GAAP
measure. Management uses this ratio to assess its capacityfor additional borrowings. The calculation below is not intended
to be a substitute for the Company’s leverage covenant under the Credit Agreement. The Company discharged its $700 million
of 0.650% Senior Notes due in 2023 by irrevocably transferring an amount to satisfy the remaining interest and principal
repayment to a trust. The calculation below excludes the discharged debt and the related trust assets.
Twelve‐Month
Period January 1,
2022 to December
(dollars in millions) 31, 2022
et earnings from continuing operations attributable to Martin Marietta $ 856.3
Add back (Deduct):
Interest expense, net of interest income 155.4
Income tax expense for controlling interests 234.8
Depreciation, depletion and amortization expense and earnings/loss from nonconsolidated
equity affiliates 496.6
Acquisition and integration expenses 9.1
Nonrecurring gain on divestiture (151.9)
Consolidated Adjusted EBITDA $ 1,600.3

Consolidated debt at December 31, 2022, excluding discharged $700 million Notes that
mature in 2023 $ 4,340.9
Less: Unrestricted cash at December 31, 2022 (358.0)
Consolidated net debt at December 31, 2022 $ 3,982.9
Net leverage ratio at December 31, 2022 for the trailing‐twelve months consolidated Adjusted
EBITDA 2.49 times

Annual Report ♦ Page 85