Page 59 - Martin Marietta - 2023 Proxy Statement

/ SUMMARY OF OUR COMPENSATION CONSIDERATIONS

While it was introduced in the context of the COVID-19 pandemic, we believe this scorecard is valuable to us under all
circumstances. The Committee has determined not to apply any multiplier in the Resilience Scorecard to
management’s executive compensation in 2022, nor did it make any adjustments to our compensation based on
the scorecard.

Category Resilience Assessment Criteria
1. Employees • Act effectively to keep employees safe and productive through appropriate protocols, consistent
with medical and occupational experts, including cleaning protocols, access to vaccinations,
education and other programs
• Effectively and promptly communicate and manage guidance and instructions, change and
disruption to employees through communications, digital boards, direct emails, and other outreach
• Significantly enhanced the pension benefit for hourly employees to strengthen our employee
retention efforts
• Offer opportunities for continued employee growth, development, retention and engagement
• Execute the successful integration of recent acquisitions while successfully completing the
divestitures of non-core Ready-Mix and Cement operations
• Maintain successful employee attraction and retention results in the face of a significantly
challenging employment environment
2. Operations & • Management response to a continued challenging supply chain environment (related to the
Commercial pandemic, the Texas freeze, logistics slowdowns, recessionary environment, and other factors)
Excellence
• Effectively managed a highly inflationary environment through a product pricing strategy that
ensures that the value for our products is properly captured while seeking to reduce the supply
chain inflationary impact
• Take steps to appropriately manage fixed and variables costs

3. Financial • Optimize revenues and cash management/liquidity without jeopardizing the future
• Protect the balance sheet and allocate capital responsibly, including with regard to internal
projects, transactions, dividends, debt and share repurchases
4. Customers/ • Ensure on-time delivery and completion of projects during global supply chain disruptions or other
Suppliers unusual events
• Effectively manage inventory to satisfy customer needs
• Communicate operating status and preventative measures being taken during extraordinary events
5. Strategy • Successful execution of M&A actions and SOAR
• Maintaining Company long-term vision and strategic direction
• Actions taken to ensure continuation and execution of strategic transactions
6. Stakeholder • Leadership effectiveness
Engagement
• Frequently communicate and engage with the Board to keep them well-informed and ensuring
questions are answered
• Engage in open dialogue and transparency with shareholders, analysts, potential investors and
other stakeholders
7. ESG • Community outreach efforts (disaster preparedness support, corporate giving)
• Focus on safety, as well as health of employees, customers and visitors
• Environmental compliance and enhanced disclosure and responsiveness regarding sustainability
goals

Overall • Holistic Assessment of the Above Criteria Resulting in Multiplier in Range of 0.75x - 1.25x

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