TABLE OF CONTENTS
SECTION PAGE
INTRODUCTION xi
I. EXECUTIVE SUMMARY 1
II. MARKET ENVIRONMENT 4
General 4
Macroeconomic Environment 5
Demographic Trends 9
Construction Trends 13
Building Construction 17
Residential Construction 19
New 20
Housing Completions 22
Housing Stock 27
Improvements & Repairs 31
Nonresidential Construction 32
New 33
Improvements and Repairs 35
Nonbuilding Construction 36
Highway Mileage 38
Public Highway Spending 39
Petroleum Industry Trends 42
Primary Asphalt Market Trends 44
Primary Asphalt Market Seasonality 47
Asphalt Products Pricing Trends 49
Competitive Materials 52
Foreign Trade 54
Primary Asphalt 54
Asphalt Products 57
III. TECHNOLOGY & REGULATORY ISSUES 59
General 59
Technology 59
Primary Asphalt 59
Paving Products 61
Hot-Mix Asphalt 61
Asphalt Patch Technologies 62
Bituminous Surface Treatment 62
Thin Membrane Surface Treatment 63
Granular Pavement 64
Composite Pavements 64
Open Grade Friction Courses 64
Stone-Matrix Asphalt 65
Warm-Mix Asphalt Paving 66
Low Energy Asphalt 68
Superpave 68
Perpetual Pavements 69
Competing Paving Technologies 70
Asphalt Modifiers 71
Roofing Asphalt Technologies 73
Environmental & Regulatory Issues 74
Recycling 74
Environmental Issues 77
Government Road Construction Activity 81
SAFETEA-LU 81
ARRA 82
Highway Trust Fund 82
IV. PRIMARY ASPHALT SUPPLY & DEMAND 84
General 84
Supply & Demand 87
Primary Asphalt Types 89
Primary Asphalt Demand by Use 91
Paving Asphalts 93
Asphalt Cement 97
Asphalt Emulsions 98
Cutback Asphalt 98
Other Paving Asphalts 99
Roofing Asphalts 99
Other Asphalts 101
V. ASPHALT PRODUCTS 103
General 103
Demand Drivers 107
Paving Products 110
Asphalt Cement 113
Asphalt Emulsions 116
Cutback Asphalt 119
Other Asphalt Paving Products 121
Roofing Products 123
Asphalt Shingles 126
Roofing Asphalts 129
Modified Asphalt Roofing Membranes 132
Standard Asphaltic Roofing Felts 135
Other Asphalt Roofing Products 139
Other Asphalt Products 141
Construction Products 142
Nonconstruction Products 145
VI. MARKETS 147
General 147
Construction 148
Residential Building 152
New 155
Improvement & Repair 158
Nonresidential Building 161
New 164
Improvement & Repair 165
Nonbuilding 167
New 169
Improvement & Repair 171
Nonconstruction Markets 173
VII. REGIONS 176
General 176
Macroeconomic Overview 177
Demographic Trends 180
Construction Trends 183
Housing Trends 185
Primary Asphalt Capacity by Region 188
Regional Asphalt Demand 191
Northeast 193
New England 195
Middle Atlantic 197
Midwest 199
East North Central 201
West North Central 203
South 205
South Atlantic 208
East South Central 210
West South Central 212
West 214
Mountain 216
Pacific 218
VIII. INDUSTRY STRUCTURE 222
General 222
Industry Concentration 223
Primary Asphalt Market Share 224
Asphalt Paving Products Market Share 229
Asphalt Roofing Products Market Share 233
Manufacturing 237
Product Development 239
Marketing & Distribution 241
Acquisition & Divestiture Activity 245
Cooperative Agreements 246
Company Profiles 248
Alon USA Energy Incorporated 249
American Gilsonite Company 251
APAC Atlantic, see CRH
Atlas Roofing, see Hood Companies
Barrett Paving Materials, see Bouygues
BASF SE 253
Berkshire Hathaway Incorporated 255
Bouygues SA 258
BP plc 261
Bridgestone Corporation 263
Building Materials Corporation of America 265
Burdick Materials, see CRH
CertainTeed, see Saint-Gobain
CHS Incorporated 268
Colas, see Bouygues
Colaska, see Bouygues
ConocoPhillips 269
CPM Development, see CRH
Crafco, see Ergon
CRH plc 271
DAP Products, see RPM International
Deer Park Refinery, see Royal Dutch Shell
Delek US Holdings Incorporated 278
Delta Companies, see Bouygues
Des Moines Asphalt and Paving, see CRH
Dolomite Group, see CRH
DuPont (EI) de Nemours 279
Ergon Incorporated 280
Exxon Mobil Corporation 284
Firestone Building Products, see Bridgestone
Flint Hills Resources, see Koch Industries
Fortifiber Corporation 286
Frontier Oil, see HollyFrontier
GAF Materials, see Building Materials of America
HeidelbergCement AG 288
Henry Company 289
HollyFrontier Corporation 292
Hood Companies 294
Imperial Oil, see Exxon Mobil
Johns Manville, see Berkshire Hathaway
Koch Industries Incorporated 296
Lafarge SA 297
Lehigh Hanson, see HeidelbergCement
Lion Oil, see Delek US Holdings
Marathon Petroleum Corporation 299
Michigan Paving & Materials, see CRH
Montana Group, see CRH
Murphy Oil Corporation 301
NuStar Energy LP 303
Oldcastle Materials, see CRH
Owens Corning 305
PDV Midwest Refining, see Petroleos de Venezuela
Pennsy Supply, see CRH
Pike Industries, see CRH
PJ Keating, see CRH
Reeves Construction, see Bouygues
Republic Powdered Metals, see RPM International
Road Science LLC 309
Royal Dutch Shell plc 311
RPM International Incorporated 313
Saint-Gobain 318
Shelly, see CRH
Sinclair Oil Corporation 321
Sloan Construction, see Bouygues
Slusser Brothers, see CRH
Staker Parson Companies, see CRH
TAMKO Building Products Incorporated 322
Tilcon Connecticut, see CRH
Tremco, see RPM International
Tricor Refining, see Ergon
Trumbull Asphalt, see Owens Corning
Unique Paving Materials Corporation 326
United Refining Company 327
Valero Energy Corporation 328
Vulcan Materials Company 330
Western Emulsions Incorporated 331
WRB Refining, see ConocoPhillips
Wright Asphalt Products, see Alon USA Energy
Ziegler Chemical & Mineral Corporation 333
LIST OF TABLES
TABLE NUMBER PAGE
SECTION I -- EXECUTIVE SUMMARY
Summary Table 3
SECTION II -- MARKET ENVIRONMENT
1 Macroeconomic Indicators 9
2 Population & Households 13
3 Construction Expenditures 16
4 Building Construction Expenditures 19
5 Residential Building Construction Expenditures 22
6 New Housing Indicators 27
7 Housing Stock by Type 30
8 Residential Improvement & Repair Expenditures 32
9 Nonresidential Building Construction Expenditures 35
10 Nonresidential Building Improvement & Repair Expenditures 36
11 Nonbuilding Construction Expenditures 38
12 US Highway Mileage 39
13 Public Highway Spending 41
14 Petroleum Products Supply & Demand 44
15 Primary Asphalt Market, 2000-2010 46
16 Asphalt Products Pricing 52
17 Asphalt Products Foreign Trade 58
SECTION IV -- PRIMARY ASPHALT SUPPLY & DEMAND
1 Primary Asphalt Supply & Demand 89
2 Demand for Primary Asphalt by Use 92
3 Paving Demand for Primary Asphalt 97
4 Roofing Demand for Primary Asphalt 101
5 Demand for Primary Asphalt in Other Uses 102
SECTION V -- ASPHALT PRODUCTS
1 Asphalt Demand by Product 105
2 Paving Products Demand for Asphalt 112
3 Asphalt Cement Demand for Asphalt 116
4 Asphalt Emulsions Demand for Asphalt 119
5 Cutback Asphalt Demand for Asphalt 121
6 Other Asphalt Paving Products Demand for Asphalt 123
7 Roofing Products Demand for Asphalt 125
8 Asphalt Shingles Demand for Asphalt 128
9 Roofing Asphalts Demand for Asphalt 131
10 Modified Asphalt Roofing Membranes Demand for Asphalt 135
11 Standard Asphaltic Roofing Felts Demand for Asphalt 139
12 Other Asphalt Roofing Products Demand for Asphalt 141
13 Other Products Demand for Asphalt 142
SECTION VI -- MARKETS
1 Asphalt Demand by Market 148
2 Asphalt Demand in Construction Markets 151
3 Residential Markets for Asphalt 155
4 New Residential Market for Asphalt 158
5 Residential Improvement & Repair Market for Asphalt 161
6 Nonresidential Building Markets for Asphalt 163
7 New Nonresidential Building Market for Asphalt 165
8 Nonresidential Building Improvement & Repair Market
for Asphalt 167
9 Nonbuilding Construction Markets for Asphalt 169
10 New Nonbuilding Construction Market for Asphalt 170
11 Nonbuilding Improvement & Repair Market for Asphalt 173
12 Asphalt Demand in Nonconstruction Markets 175
SECTION VII -- REGIONS
1 Gross Domestic Product by Region 180
2 Population by Region 183
3 Construction Expenditures by Region 185
4 Regional Housing Indicators 187
5 US Primary Asphalt Capacity by Region, 2010 190
6 Asphalt Demand by Region & Type 192
7 Northeast Asphalt Demand 195
8 New England Asphalt Demand 197
9 Middle Atlantic Asphalt Demand 198
10 Midwest Asphalt Demand 201
11 East North Central Asphalt Content 203
12 West North Central Asphalt Content 205
13 South Asphalt Demand 207
14 South Atlantic Asphalt Demand 210
15 East South Central Asphalt Demand 212
16 West South Central Asphalt Demand 214
17 West Asphalt Demand 216
18 Mountain Asphalt Demand 218
19 Pacific Asphalt Demand 221
SECTION VIII -- INDUSTRY STRUCTURE
1 US Primary Asphalt Capacity by Producer, 2010 225
2 Asphalt Paving Products Sales by Company, 2010 232
3 Asphalt Roofing Products Sales by Company, 2010 236
4 Selected Acquisitions & Divestitures 246
5 Selected Cooperative Agreements 247
LIST OF CHARTS
CHART NUMBER PAGE
SECTION II -- MARKET ENVIRONMENT
1 Year of Construction of Housing Stock, 2010 30
2 Primary Asphalt Market, 2000-2010 47
3 Asphalt Market Seasonality 48
4 Primary Asphalt Foreign Trade, 2010 56
SECTION IV -- PRIMARY ASPHALT SUPPLY & DEMAND
1 Primary Asphalt Flow Chart 86
2 Primary Asphalt Demand by Use, 2010 93
SECTION V -- ASPHALT PRODUCTS
1 Asphalt Demand by Product, 2010 106
2 Paving Products Demand for Asphalt by Type, 2010 113
3 Roofing Products Demand for Asphalt by Type, 2010 126
SECTION VI -- MARKETS
1 Asphalt Demand in Construction Markets, 2010 152
SECTION VII -- REGIONS
1 US Primary Asphalt Capacity by Region, 2010 191
2 Asphalt Demand by Region, 2010 193
SECTION VIII -- INDUSTRY STRUCTURE
1 Primary Asphalt Capacity by Producer, 2010 229
2 Asphalt Paving Products Market Share, 2010 233
3 Asphalt Roofing Products Market Share, 2010 237
