CRH National Cement Leader in Ukraine

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1 CRH National Cement Leader in Ukraine

2 CRH in the world The CRH Group (Cement Roadstone Holding) is one of the leading international players in the building materials industry. It is cited among the two biggest building materials producers in the world. CRH plc was formed through a merger in 1970 of two leading Irish public companies, Cement Limited (established in 1936) and Roadstone, Limited (1949). The newly-formed group was the sole producer of cement in Ireland and the principal supplier of aggregates, concrete products and asphalt in Ireland. Since that time, CRH s strategic vision has been to be a responsible international leader in building materials, delivering superior and sustained shareholder returns, while reducing its dependence on individual markets and achieving a balance in its geographic presence and portfolio of products. It is the biggest diversified group, which is developing in three key directions: Heavyside Lightside Distribution. CRH in Figures: 31 countries 3,900 operating locations 89,000 people 23,6 bn revenues (2015)

3 CRH 17 years of success in Ukraine CRH came to the Ukrainian market in 1999 after the acquisition of (Kamyanets-Podilsky), where a new dry line of cement production with the capacity of 2.2 Mt of clinker per year was put into operation in Also, in 2011 the Group acquired the majority interest in CEMENT LLC (Odessa). Since September 2013, when the Group was joined by PJSC Mykolaivcement (Mykolaiv, Lviv region), CRH has been the leader on the Ukrainian cement market. CRH Ukraine Head office Sophia Business Centre 6, Rylsky Lane Kyiv, 01601, Ukraine T + 38 (044) Е info@crhukraine.com PJSC Podilskyi Cement 1A Khmelnytske shose Str. Gumentsi Kamyanets-Podilskyi district Khmelnytskyi region Ukraine Т +38 (03849) F +38 (03849) Sales department Т +38 (03849) F +38 (03849) Concrete laboratory Т +38 (03849) LLC Cement 70 Khutorska Str. Odesa Ukraine Т +38 (048) F +38 (048) Commercial department: Т +38 (048) Sales department: Т +38 (048) PJSC Mykolaivcement 1, Stryske Shose Str. Mykolaiv of Lviv Region Ukraine Т +38 (03241) F +38 (03241) Customer service department Т

4 CRH Ukraine locations PJSC Podilsky Cement The Public Joint Stock Company Podilsky Cement is one of the biggest cement producers in Europe. It has been the first plant in Ukraine so far, joining the Kyoto Protocol under the UN Joint Implementation Project. The design capacity of this giant is 2.2 mln tonnes of clinker per year. Cement produced by the company has been successfully used in the construction of Zaporizhia and Khmelnytskyi nuclear power plants (NPP), Dniester cascade of hydroelectric station, the sarcophagus of Chornobyl NPP, Kiev underground railway and other critical facilities of national importance. CEMENT LLC CEMENT LLC, the Odessa cement plant, started its operations in It became part of CRH at the end of The products of the CEMENT LLC have been used in construction of large-scale infrastructural facilities, such as: Pivdenny and Illichivsk sea-ports, Odessa region, National Sports Complex Olimpiysky, Kyiv, etc. PJSC Mykolaivcement The Public Joint Stock Company Mykolaivcement is a cement plant in Mykolaiv, Lviv region, and has been in operation since At the end of 2013 the plant became part of the CRH Group. The plant s products have been used by professionals to build some of the key infrastructure facilities for the Euro-2012 football championship. For instance, Mykolaivcement supplied 100% of cement for the construction of the modern runway at the international Lviv airoport for EURO-2012.

5 Concrete laboratory So as to meet customer needs, a new certified concrete laboratory was opened at Podilsky Cement plant the biggest enterprise of the CRH in Ukraine. Its opening in the beginning of 2014 has become an important phase of our customer service development in Ukraine. The laboratory is equipped with state-of-the-art machinery, equipment and means, and serves as a tool for technical marketing for the customers of all three cement plants of CRH Ukraine. It is an essential part of the strategy of CRH, as the market leader - to provide its customers with products and services of the highest quality. Launching of the new concrete laboratory reflects our particular steps to achieve our ambitious goals. Technical marketing conducts market research, assists production in the selection of new appropriate types of cements that meet market requirements and, most important provides consultancy for the customers on the following: Contacts Concrete laboratory PJSC Podilsky Cement 1A Khmelnytske shose Str., Gumentsi, Kamyanets-Podilskyi district, Khmelnytskyi region, Ukraine Т +38 (03849) preparation of the concrete mix and determination of its properties; determination of the strength of concrete and concrete products; determination of freeze-thaw resistance and water tightness of concrete and concrete products; tests of aggregates; tests of building mortars and water for concrete mixes, etc.

6 Health and safety As a socially responsible business, the CRH Group recognises health and safety (H&S) as a top priority in its activities. Each year the Group does its best to implement the long-term H&S Strategy consisting in building a full-scale H&S culture at all plants of the Company. The key success factor is having zero accidents in production. First of all, the Company invests into the automation of the workplaces and modernisation of the infrastructure inside the enterprises providing its people with all required personal and collective protective equipment. In particular, it implements common corporate safety rules, which, in particular, cover the following: Guarding the moving parts of the process machinery and mechanisms; Isolation of hazardous energy; Transport safety and transportation of people; Risk minimisation for work at height, etc. In addition, all the employees of the Company s plants as well as contractors systematically go through high-quality interactive H&S trainings where each participant consolidates the gained knowledge by practising and thus retaining over 90% of the learning material. For example, CEMENT LLC (Odessa) has organised a specialised first aid training for its staff where people could practise on a dummy modelling a human body. PJSC Mykolaivcement has spread its good H&S practices outside the plant and organized road safety trainings for about 200 first-year pupils of the schools in Mykolaiv, Lviv region, where the kids played to physically learn how to cross the road at a zebra crossing, read the road signs and traffic lights signals.

7 Environmental protection The CRH Group takes care of the environment continually investing into improving its environmental performance, increasing the efficiency of its processes, and reusing the waste from other productions as raw materials in order to save the natural recycling balance while fully meeting the needs of the customers with products of high quality. The milestone eco-project implemented by CRH in Ukraine is the transition of Podilsky cement plant to the dry method of clinker production, which minimises emissions owing to the new state-of-the-art bag filter dedusting system. The investment amounted to over 300 million euros Dry method of cement production and its benefits: Having of the heat consumption due to a more efficient production process; A tenfold reduction in the dust emissions owing to one tenth owing to a state-of-the-art bag filter dedusting system; Reduction of CO2 and NOx emissions In its care about the environment and in addition to the erection and renovation of electrical filters, which enabled the company to halve its dust emissions, PJSC Mykolaivcement has implemented a comprehensive waste handling system to deal with the waste generated in the course of the plant s activities: paper, plastic, used chemical elements (pencil-sized batteries, accumulators) are all collected into special containers and sent for recycling where they are recovered or disposed of in an environmentally safe manner. Significant investment has been made into improving the environmental performance of the Odessa cement plant: new filters have been installed on all critical areas of the production process, a brand-new cement mill and a new dust-free packaging and loading system have been put into operation.

8 Care about people and collaboration with communities CRH undertakes a great social responsibility, strives to be a reliable employer and extensively collaborates with communities in terms of sponsorship by investing into the development of its people and the wellbeing of the local inhabitants. The management understands that the success of the Company depends on the skilled staff, their motivation, safe and comfortable conditions of work and recreation. For instance, the Odessa cement plant has provided the new locker and shower rooms as well as a canteen enabling the proper occupational hygiene and nutrition for the staff. Thorough repairs have also been done to the canteen in Podilsky and Mykolaiv of Lviv Region where the Company has ensured quality nutrition. CRH strives to be a good and responsible neighbour, therefore it closely collaborates with the local communities helping them to solve their urgent basic social needs. For example,the sponsorship has been allocated to the projects related to human health and safety. In particular: The purchase of a state-of-the-art X-ray unit, an infant incubator, laparoscopic equipment, the repairs to the wards and the foor in the Mykolaiv central district hospital in Lviv region; Thorough repairs to the paddling pool Froggy and a larger pool for the school-age kids and adults in the sports and health centre Yuvileiny. The purchase of medical equipment for therapeutic department of the Kamyanets-Podilsky city hospital #1 etc. By the way, CRH in Ukraine has been awarded time and again with a diploma for its Corporate Social Responsibility cases within the scope of the National Contest, which is organised by the CSR Development Centre.

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