CFMA 2005 report

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					© 2005 by the
Construction Financial
Management Association
29 Emmons Drive, Suite F-50
Princeton, NJ 08540
Phone: 609.452.8000 FAX: 609.452.0474
www.cfma.org

William M. Schwab
President & CEO

Brian K. Summers
Chief Operations Officer

Joe Grosso
Director, Graphic Design Services

All rights reserved. No part of this
book may be reproduced in any way,
or by any means, without permission
in writing from the publisher.


Printed in the United States of America
GENERAL INFORMATION




         C F M A ’s 2 0 0 5
         Construction
         Industry Annual
         Financial Survey
About CFMA — The Source & Resource for
Construction Financial Professionals

The Construction Financial Management Association (CFMA) is the source and resource for construction
industry professionals and the only nonprofit organization dedicated to serving the construction financial
professional. Established in 1981, CFMA now boasts 7,000 members and 89 chapters in major cities across
the country. CFMA is the communications leader and premier source of education and information
about those aspects of financial management unique to the construction industry.

CFMA meets the needs of a broad spectrum of financial managers: CFOs, treasurers, controllers, and
accountants. CFMA’s General Membership represents all types of contractors, including generals and subs, as
well as developers, construction managers, architects, engineers, principals, and material and equipment
suppliers.

CFMA’s Associate Membership is open to those serving the construction industry, such as lawyers, public
accountants, bankers, sureties, insurance agents and carriers, and other service providers.

As the primary forum for education and networking among today’s construction financial managers, CFMA is
proud of its highly rated educational products. In addition to the 2005 Construction Industry Annual
Financial Survey, these specialized communications include:

        CFMA Building Profits – CFMA’s bimonthly magazine featuring an outstanding selection of
        feature articles, technical pieces, and industry news.
        Financial Management and Accounting for the Construction Industry – The definitive reference
        book, written and updated annually by CFMA members.
        CFMA’s Construction Industry Information Technology Survey – A comprehensive report on
        the industry’s use of technology, including hardware, software applications, operating systems, and
        emerging technology trends.
        THE SOURCE Online – CFMA’s Online Membership Directory is easy to use, always up-to-
        date, and just a mouse click away.
        www.cfma.org – CFMA’s 24-hour virtual association.
CFMA’s extensive education services include an Annual Conference and Exhibition each May, mini-
conferences, co-sponsored seminars, and specialized training workshops for chapter leaders. Dedicated to
excellence, CFMA’s conferences and seminars provide unique opportunities for the exchange of information
and technical support, networking referrals, and employment opportunities.

CFMA began as an informal gathering of construction financial executives 25 years ago and has since grown
into a vital industry participant. CFMA has testified, submitted comments, and worked with industry coalitions
on: the definition of an independent contractor and the Section 530 Safe Harbor, the definition of temporary
assignment, the ADA and the EEOC, Look-Back Rules, tax reporting requirements, and more. Two key
CFMA committees (Tax & Legislative Affairs and Accounting & Reporting) continue to provide members
with timely and critical information and analyses on tax, accounting, and legal issues affecting the industry.




    Please note that some numbers may not sum due to rounding.                        General Information
Letter to the Users of CFMA’s 2005 Financial Survey

I am particularly pleased to present the results of CFMA’s 2005 Construction Industry Annual Financial
Survey – regarded by many as the financial benchmarking tool for our industry. Everything is covered – from
composite financial statements and key financial ratios to Best in Class analyses by industry segment.
The 2005 edition contains two discussion and analysis sections: one on this year’s Hot Topic on Employee
Incentives and Bonuses, and the other on the performance and practices of Best in Class companies. We
invite you to read these sections, and we welcome any feedback or questions you may have regarding the
results.
The Benchmarking Builder, CFMA’s CD-ROM tool allowing the user to compare
their company’s financial results with survey results, is now in its third year. The 2005
version of Benchmarking Builder is updated and improved, coming complete with
interpretive commentary on company results and a graphical presentation of key
financial data.
CFMA’s Survey is the only survey designed by construction financial professionals for construction financial
professionals. For the 17th consecutive year, it details the important data contractors need to stay competitive.
For instance:

         CFMA’s Survey provides aggregate data by type of contactor (Industrial & Nonresidential,
            Heavy & Highway, and Specialty Trade), dollar volume, and geographic region.

                                                 – PLUS –

      It provides an exclusive look at how the industry operates in the critical areas of accounting, cash
                       and risk management, bonding, taxes, and corporate policies.

CFMA is indebted to Scott Hursh, with Stambaugh-Ness, P.C. located in York, PA and Co-Chair of CFMA’s
Accounting & Reporting Committee, which oversees the production of the Survey. In addition, we would like
to thank Rebecca Pomering, Business Consulting Manager, and Ken Evans, Senior Analyst, both with Moss
Adams LLP, and their entire staff, for the time and effort spent on the compilation and analysis of the survey
data.
As always, the intent of this survey is to provide a meaningful and analytical resource tool for our members
and other individuals interested in the financial and operational aspects of the construction industry. We
encourage your use and support of this survey and invite your comments and suggestions for improvements.

Respectfully,



Dennis Joyce
Chairman, CFMA




      General Information
Description of CFMA’s 2005 Financial Survey
CFMA’s 2005 Construction Industry Annual Financial Survey was designed to provide critical benchmarking and
financial information on the construction industry. The results are presented in the form of financial statement
information, financial ratios, charts, graphs, and narrative analysis.
The information for this study was compiled and analyzed by Moss Adams LLP. Moss Adams LLP was not engaged
to and did not audit this information, and accordingly, does not express an opinion or any other form of assurance on
it.
It is important to note the new areas included in the 2005 report:
      1. Return on Assets (ROA) and Return on Equity (ROE) are calculated using net earnings (loss) before income
          taxes. Studies conducted in prior years used net earnings (loss) after taxes to calculate ROA and ROE. All
          references to ROAs and ROEs from prior studies have been updated to reflect this change.
    2.   Specific state data has been collected. For more information on how to obtain this data, contact a Moss
         Adams representative at 206-442-2646. (Note: Some industry segment breakouts are unavailable due to a
         minimal response rate.)
    3.   In prior years, direct cost information was gathered, but not presented in the overall report due to a significant
         number of participants omitting detailed expense information. This year, 515 companies submitted direct
         cost information and a detailed report on Direct Costs appears in Appendix D on page 280.
The report is presented in the following sections:
The Executive Summary condenses the overall survey results and provides a summary of important issues and trends,
as well as financial information and comparative financial data. In addition, various topics are compared over a five-
year period (2001-2005) when significant industry trends have been observed.
Once again, the 2005 edition contains two additional discussion and analysis sections: one on this year’s Hot Topic,
Employee Incentives and Bonuses, and the other on the performance and practices of Best in Class companies. We
invite you to read these sections, and we welcome any feedback or questions you may have regarding the results.
The Overall Survey Results section presents data in two formats. First, information is provided graphically in the
form of charts and tables. This first section is enhanced by a discussion that compares data from each chart/table to
prior year results and then points out trends or differences between classifications. This first section is divided into
eight parts and includes: General Profile, Economy and Competition, Cash Management and Finance, Bonding
and Sureties, Insurance, Professional Consultants, Taxation, Accounting Policies and Methods.
The second section provides detailed financial data on the survey respondents as a whole. Detailed composite balance
sheets, earning statements, and financial ratios are presented for the 2005 and 2004 survey participants. Composite
financial statements and ratios are also presented on a regional basis.
The survey data is then presented for each of the three major classifications of contractors: Industrial &
Nonresidential, Heavy & Highway, and Specialty Trade. For each classification, the survey data is compared to the
composite results or prior period results. Financial data is then presented by geographic size and contractor size (based
on annual revenue).
The survey data is intended to provide a source of information on the entire group of respondents first, then on specific
segments of the entire group. Therefore, the needs of the individual reader will determine which sections will be most
useful. There are limited comparisons of data among the three major classifications of contractors to allow for a more
focused analysis.
CFMA’s 2005 Construction Industry Annual Financial Survey is not intended to, nor does it, provide a statistically
valid representation of the construction industry as a whole; rather, it is representative of approximately 4,100 CFMA
general members employed by U.S. construction companies, plus a small number of other U.S. contractors. The
number and mix of respondents in each year’s survey affect trends in the financial statement information.




    Please note that some numbers may not sum due to rounding.                                General Information
      Moss Adams               LLP    is pleased to have compiled
and analyzed the 17th edition of the CFMA Construction
              Industry Annual Financial Survey.

        Moss Adams     LLP   provides accounting, tax, and consulting
 services to public and private middle-market enterprises in construction
                          and many other industries.

Moss Adams is the 12th largest accounting and consulting firm in the U.S.
           and the largest headquartered on the West Coast.

          For further information about Moss Adams, contact:

                A C C O U N T I N G S E R V I C E S : E L A I N E E R V I N , C PA
          1001 Fourth Avenue, Suite 2900 / Seattle, WA 98154
   206-442-2358 / Fax: 206-622-9975 / Elaine.Ervin@mossadams.com


                C O N S U LT I N G S E R V I C E S : R E B E C C A P O M E R I N G
          1001 Fourth Avenue, Suite 2700 / Seattle, WA 98154
 206-442-2622 / Fax: 206-233-9214 / Rebecca.Pomering@mossadams.com




        Certified Public Accountants and Business Consultants

                              w w w. m o s s a d a m s . c o m
EXECUTIVE SUMMARY




         C F M A ’s 2 0 0 5
         Construction
         Industry Annual
         Financial Survey
EXECUTIVE SUMMARY

We are pleased to present the results of CFMA’s 2005 Construction Industry Annual Financial Survey.
Distinctive features this year include a Hot Topic section on Employee Bonuses and Incentives,
discussion of Best in Class company profiles and practices, and an updated version of CFMA’s
Benchmarking Builder CD-ROM, which can be purchased separately.

The survey is conducted by CFMA’s Accounting & Reporting Committee, and survey results are
compiled and analyzed by Moss Adams LLP. The Committee wishes to thank all participants and
encourages all CFMA General Members to participate in future studies.

Introduction
        CFMA’s Financial Survey is a benchmarking tool that allows construction companies to compare
        their financial information, as well as their business practices and strategies, with their peers in
        the industry. CFMA’s Financial Surveys are confidential and unique to the industry.
        The 2005 Construction Industry Annual Financial Survey questionnaire was distributed in April
        2005 to approximately 4,100 general members employed within U.S. construction companies and
        a small number of other U.S. contractors. Survey responses were received between May and July
        2005.
        A total of 660 companies participated in the 2005 Financial Survey. A total of 538 submitted
        detailed financial data, with 532 included in the study. Of those, 72% participated in the 2004
        survey and 97% are CFMA members.
        The Financial Survey presents data in composite form, and according to the type of construction
        work performed, the region, revenues, and financial performance. Details are provided for the
        following sectors: Industrial & Nonresidential, Heavy & Highway, and Specialty Trade.
        The Benchmarking Builder, CFMA’s CD-ROM tool that allows users to compare their
        company’s financial results with survey results, is now in its fourth year. The 2005 version of
        Benchmarking Builder is updated and improved, complete with interpretive commentary on
        company results and a graphical presentation of key financial data, along with greater flexibility
        in selecting benchmarks and easier data entry.

Hot Topic Focus: Employee Incentives and Bonuses
When employees leave a company, it is not inherently a bad thing — some level of turnover is healthy as
it can allow someone with different skills, experiences, and/or point of view to address challenges.
Similarly, losing poorly performing employees who would do better elsewhere is usually good for both
parties involved. However, losing competent employees to competitors means that another company is
capitalizing on your investment in those employees. While compensation might not keep employees from
looking for work elsewhere, it can be a very important factor in their decision to stay. In the following
chart, participants were asked to rank nine factors (from 1 to 9, with 9 being the most important factor)
they believed contribute to the overall satisfaction and attitude of their employees. Participants
overwhelmingly selected compensation as the most important factor.




                                                                                   Executive Summary
                                                                 Average           Percent Selecting   As
                                                                 Ranking         1           2           3
    Compensation                                                   2.8         35%         18%          17%
    Overall employee morale                                        3.5         24%         18%          13%
    Comfortable balance between work and life                      4.6         12%         13%          14%
    Level of effective communication                               4.7          8%         14%          11%
    Collaborative teamwork                                         5.0          5%          7%          15%
    Intellectual challenge                                         5.7         4%          8%           9%
    General caring for one another                                 6.0          5%          8%          7%
    Clarity of future vision                                       6.0         5%          7%           8%
    Adequacy of facilities and equipment                           6.7         2%          5%           8%


With compensation representing a critical factor of overall employee satisfaction, a majority of
participants defensively set compensation at industry competitive levels. When asked what their overall
compensation philosophy is, the majority of participants (71%) answered they, “Pay competitively with
the industry.” However, the single largest reason cited by participants for employee turnover was better
opportunity elsewhere — 51% of employees that left went to a competing company. This suggests that
current compensation packages might not be as competitive as perceived, or that “opportunity” extends
beyond compensation. In any event, contractors would probably benefit from re-examining (or
establishing) their compensation strategy/philosophy.

More information on current compensation practices and developing a compensation strategy/philosophy
is provided in the Hot Topic Section.


Best in Class Companies
The CFMA Construction Industry Financial Survey recognizes the Best in Class contractors for their
strong financial performance as the top 25% of their peer group. Best in Class status is based on five
indicators of financial health: ROA1, ROE1, Fixed Asset Ratio, Debt to Equity, and Working Capital
Turnover. The following graph contrasts these factors for the Best in Class contractors and this year’s
average survey participant. Figures shown are the ratios calculated from common-sized financial
statements.




1
  In the CFMA’s 2005 Construction Industry Annual Financial Survey, Return on Assets (ROA) and Return on
Equity (ROE) are calculated using net earnings (loss) before income taxes. Studies conducted in prior years used net
earnings (loss) after taxes to calculate ROA and ROE. All references to ROA and ROE from prior studies have been
updated to reflect this change.


Executive Summary
                 BE ST IN C L ASS KE Y FINANC IAL C HARAC TE RISTIC S
     50

     40                           36.5     36.5

                                                  27.1
     30
                           16.9                                                15.1
     20
                   11.3                                                 13.5
     10
             5.2                                           2.3 2.2
       0
            Return on      Return on     Fixed Asset       Debt to      Working
           Assets (%)      Equity (%)     Ratio (%)        Equity        Capital
                                                                        Turnover
                                  All Companies     Best in Class




•   Return on Assets: Best in Class companies had an average ROA of 11.3% — 6.1 percentage
    points higher than the typical company. Best in Class companies use their assets more
    effectively and efficiently to generate profits.
•   Return on Equity: Best in Class companies had an average ROE of 36.5% — 19.6
    percentage points higher than the typical company. Best in Class companies utilize equity
    more effectively to generate profits.
•   Fixed Asset Ratio: Best in Class companies had an average Fixed Asset Ratio of 27.1 — 9.4
    percentage points lower than the typical company. Best in Class companies are using less
    equity to finance the purchase of fixed assets than the typical company and have superior
    liquidity.
•   Debt to Equity: Best in Class companies had an average Debt to Equity ratio of 2.2 — 0.1
    lower than the typical company. Best in Class companies are taking slightly less financial risk
    to generate superior financial performance as compared to the typical company.
•   Working Capital Turnover: Best in Class companies turned over their working capital an
    average of 15.1 times — 1.6 times more than the typical company. This indicates that for
    every dollar of working capital, the Best in Class companies generate $1.60 more in sales,
    which indicates either a more strategic pursuit of projects and/or better sales and marketing.




                                                                          Executive Summary
General Profile
      Survey data is broken out by industry classification as follows:
       Classification                     Number of Companies              Percentage of Total
       Industrial & Nonresidential                   227                          43%
       Heavy & Highway                               106                          20%
       Specialty Trade                               165                          31%
       Other                                         34                           6%
       TOTAL                                         532                         100%

        In addition, financial data is presented for S corporations, publicly owned companies, minority
        business enterprises, companies performing work in foreign regions, residential contractors, and
        specific specialty trades.

        Only 1% of participants were public companies. The percentage of participants who are
        S corporations has risen steadily each year and is now at 64%.
        The percentage of companies that experienced a change in majority ownership in the last five
        years remained similar to that of prior years at 17%. Of those who had experienced a change,
        31% went to family members, and 31% went to company employees.
        A total of 11% of survey participants were qualified to bid on public projects as Disadvantaged
        Business Enterprises. Of those, 22% were Minority Business Enterprises, 20% were Woman-
        Owned Business Enterprises, and the remaining 58% were Small Business Enterprises.
        The majority of all companies surveyed (60%) were general contractors. However, 89% of
        Industrial & Nonresidential companies were general contractors, while 89% of Specialty Trade
        companies were subcontractors.
        The private sector accounted for a majority of revenue for all companies at 67%. Heavy &
        Highway contractors differ from other types in this regard, deriving 64% of their revenue from
        the public sector.
        Only 8% of contractors participating in the study had been operating for 10 years or less.




      Executive Summary
Economy and Competition
     A majority of survey participants (63%) expected their sales volume to increase over the next
     year. Another 24% expected volume to remain unchanged. Overall, an 11.3% growth in volume
     was anticipated.
        Fifty-five percent of survey participants increased their backlog compared to the prior year.
        However, the average months in backlog decreased from 8.2 months in the 2004 survey to 7.8
        months in the 2005 survey. The trend in average reported backlog for the past five years is
        presented in the graph below.

                                                   BAC KL O G
                                               AL L C O MP ANIE S
                    $100


                     $75
                                                                                       $76.2
                                       $76.0
       $ Millions




                                                                       $68.8
                     $50   $62.8
                                                       $57.1

                     $25


                      $0
                           2001        2002            2003            2004            2005


        Competitive bid remains the most common way to acquire work-in-progress and backlog, at 57%.
        Overall, 20% of participants were planning on entering new geographic regions in 2005,
        primarily in the Southeast and Northeast regions.
        Existing U.S. contractors within the region pursuing growth and/or aggressive marketing remains
        the primary source of competition, with 77% of respondents reporting it as the number one threat.




                                                                                 Executive Summary
        Shortages of trained field help and sources of future work were most frequently selected as the
        number one challenge facing the construction industry over the next five years. Healthcare
        insurance cost was selected most frequently within the top five.

 TOP FIVE CHALLENGES IN THE NEXT FIVE YEARS



 Percent Selected Within Top Five

 2004                                                2005

 Challenge                                   %       Challenge                                   %



 Healthcare Insurance Costs                 65%      Healthcare Insurance Costs                 71%

 Shortage of Trained Field Help             61%      Shortage of Trained Field Help             66%

 Workers' Compensation Insurance Costs      54%      Workers' Compensation Insurance Costs      48%

 General Liability Insurance Costs          54%      Sources of Future Work                     47%

 Sources of Future Work                     50%      General Liability Insurance Costs          44%



 Percent Selected as Number One Challenge

 2004                                                2005

 Challenge                                   %       Challenge                                   %



 Sources of Future Work                     22%      Shortage of Trained Field Help             27%

 Shortage of Trained Field Help             20%      Sources of Future Work                     18%

 Healthcare Insurance Costs                 11%      Healthcare Insurance Costs                 13%

 General Liability Insurance Costs          10%      Shortage of Project Managers                7%

 Workers' Compensation Insurance Costs       9%      Workers' Compensation Insurance Costs       6%


Most companies seek to improve profitability by “doing what we do better” (91%). A majority also focus
on the following strategies to improve profitability: safety and risk management, training, and IT.




     Executive Summary
Cash Management and Finance
      Zero-balance arrangements remain the industry’s most popular cash management technique,
      employed by 80% of respondents.
        The availability of bank credit has improved slightly, with 35% of respondents indicating that it
        was better than the previous year. Similarly, 29% of respondents indicated they experienced an
        increase in their working capital line of credit.
        Over half of the respondents finance equipment purchases through current cash flows.

Bonding and Sureties
      Not surprisingly, the vast majority of participants (94%) bond some portion of their project work.
      Among those who do, 39% bond less than 20%.
        Among those who bond subcontractor dollars, most bond less than 20%.

Professional Consultants
      About two-thirds (70%) of participants had their financial statements audited.
        The most common type of accounting firm with which participants have a relationship is a
        regional firm with construction focus (47%).

Taxation
       Over 90% of participants use the percentage-of-completion method for recognition of contract
       revenue and gross profit for tax reporting purposes.
        Eight percent of respondents reported having an AMT liability for the last tax year.
        Fifty-six percent of all respondents filed IRS Form 8697 (Look-Back Interest Computation) with
        their last tax return.
        One-third of all participants have never had an IRS examination, 26% have had an examination
        within the last six years, and the remainder have not had an examination in the last six years.
        Almost exclusively, tax examinations resulted in either an immaterial change or no change in tax
        liability.

Accounting Policies and Methods
     Sixty-five percent of survey participants report their earnings on a calendar year basis.
        The vast majority (97%) of respondents recognize revenue for financial statement purposes using
        the percentage-of-completion method.
        Most companies (72%) recognize profits as soon as costs are charged to the job.
        Fixed-price contracts are the most common type of contract.
        Approximately half of those participants who need to account for joint ventures use the equity
        method.




                                                                                  Executive Summary
 TYPES OF CONTRACTS

                                           All          Industrial &       Heavy &       Specialty

                                      Companies        Nonresidential      Highway        Trade



 Fixed Price - Hard Bid                   39%               30%              40%           50%

 Fixed Price - Negotiated                 20%               22%              10%           23%

 Cost with Guaranteed Maximum             14%               28%              1%            5%

 Unit Price                               10%               0%               37%           3%

 Time and Materials                       8%                3%               7%            15%

 Cost Plus Fee                            5%                8%               2%            2%

 Construction Management                  3%                7%               1%            0%

 Other                                    1%                1%               1%            1%

 TOTAL                                   100%              100%             100%          100%



Financial Information
      The composite balance sheet for all companies responding to the 2005 Financial Survey had total
      assets of $33.1M and total net worth of $10.1M in 2005. This compares with $28.2M and $8.9M
      in 2004, respectively.
         Average total revenue was $96.0M, compared with $82.2M from the prior year. Net earnings
         margin before income taxes remained the same at 1.8%.
         While net margin was virtually unchanged, the respondents’ median composite ROA and ROE
         increased from 4.8% and 15.7% to 5.3% and 18.5%, respectively. However, on average, the
         respondents’ composite ROA and ROE both decreased by 0.1% to 5.2% and 16.9% respectively.




     Executive Summary
The typical operating cycle improved slightly in 2005. Both accounts payable and accounts
receivable days increased over the last year, as illustrated in the following graph.

              DAYS IN AC C O U NTS RE C E IVABL E AND AC C O U NTS P AYABL E
                                                           AL L C O MP ANIE S
     60


                  53                                                                                                50
                                                                48                       49
     40                                 47
                           42                                                                                              41
                                                                           39                    38
                                                   34

     20



        0
                    2001                    2002                 2003                     2004                      2005


                                                    Days in A/R              Days in A/P




Across almost all industry classifications gross margins declined over the last year as shown in
the graph below. Overall, the margin decreased from 8.1% in 2004 to 7.8% in 2005.


                                                     GRO SS MARGIN (%)
   20


   15
                               15.6




                                                    16.0




                                                                                  15.2




                                                                                                                                       14.0
                                                                                                           13.9
                                                  13.4




   10
                                                                           10.9
                        10.6



                                      9.2




                                                                                                     9.3




                                                                                                                                 8.8
                                                               8.5
            8.3




                                                                                         8.1




                                                                                                                     7.8




    5
                                                                                               6.0
                                            5.9




                                                                     5.7




                                                                                                                           5.3
                  5.1




    0
                  2001                      2002                     2003                      2004                        2005

             All         Industrial & Nonresidential                        Heavy & Highw ay                      Specialty Trade




                                                                                                                    Executive Summary
 The net margin before income taxes was flat for all participants, but across industry
 classifications there were mixed results, as illustrated in the graph below.

                                  NE T MARGIN BE FO RE INC O ME TAXE S (%)
     8




                                               7.0
     6


     4
                            4.5




                                                                       3.9
                      3.3




                                                     3.0
                                   2.9




                                                                                                                    2.8
                                                                                               2.6
     2




                                                                                               2.5




                                                                                                                          2.5
          2.3




                                                           2.0
                                         1.8




                                                                                   1.8




                                                                                                        1.8
                                                                             1.7
                                                                 1.6




                                                                                         1.4
                1.4




                                                                                                              1.2
     0
                2001                     2002                    2003                    2004                 2005

            All        Industrial & Nonresidential                     Heavy & Highway               Specialty Trade




Executive Summary
         CFMA Comparative Financial Data
Balance Sheet
Most Recent Year End
                                                                   All Companies                     Industrial & Nonresidential                     Heavy & Highway                           Specialty Trade


                                                        Amount             Percent                Amount            Percent                Amount            Percent                 Amount             Percent


Current assets:
   Cash and cash equivalents                        $      4,818,236                 14.6 %   $      7,286,579                17.7 %   $      6,230,400                15.4 %    $      1,088,211                  5.7 %
   Marketable securities & short-term investments          1,983,264                  6.0            3,748,113                 9.1            1,440,197                  3.5              207,217                  1.1
   Receivables:
       Contract receivables currently due                 12,856,421                 38.9           17,039,458                41.4           10,507,240                25.9             9,631,845                 50.8
       Retainages on contracts                             3,919,134                 11.9            5,739,338                13.9            3,881,865                  9.6            1,897,498                 10.0
       Unbilled work                                         337,890                  1.0              231,244                 0.6              863,719                  2.1              187,032                  1.0
       Other receivables                                     419,224                  1.3              564,447                 1.4              600,087                  1.5              141,500                  0.7
       Less allowance for doubtful accounts                  (64,638)                (0.2)             (37,123)               (0.1)              (59,944)               (0.1)            (104,242)                (0.5)
           Total receivables, net:                        17,468,032                 52.8           23,537,363                57.1           15,792,968                38.9            11,753,632                 62.0


   Inventories                                               509,170                  1.5                  62,318              0.2              937,194                  2.3              348,254                  1.8
   Costs and recognized earnings in excess
        of billings on uncompleted contracts               1,735,737                  5.3            1,771,079                 4.3            2,235,049                  5.5            1,434,561                  7.6
   Investments in and advances to
       construction joint ventures                           205,853                  0.6              267,770                 0.7              419,628                  1.0                  20,934               0.1
   Income taxes:
       Current/refundable                                        22,668               0.1                  24,682              0.1                  26,004               0.1                  10,216               0.1
       Deferred                                                  59,853               0.2                  62,432              0.2              106,147                  0.3                  38,629               0.2
   Other current assets                                      705,247                  2.1              848,258                 2.1              824,579                  2.0              453,047                  2.4
           Total current assets                           27,508,059                 83.2           37,608,594                91.3           28,012,166                69.0            15,354,703                 80.9


Property, plant and equipment                              9,304,496                 28.2            5,129,943                12.5           23,506,239                57.9             5,245,272                 27.6
Less accumulated depreciation                              (5,629,779)             (17.0)            (3,184,441)              (7.7)          (14,018,135)              (34.5)           (3,248,038)              (17.1)
           Property, plant and equipment, net              3,674,716                 11.1            1,945,503                 4.7            9,488,103                23.4             1,997,235                 10.5


Noncurrent assets:
   Long-term investments                                     350,514                  1.1              594,860                 1.4              372,452                  0.9                  68,375               0.4
   Deferred income taxes                                         92,363               0.3              152,721                 0.4                  79,188               0.2                  29,033               0.2
   Other assets                                            1,427,615                  4.3              890,988                 2.2            2,630,588                  6.5            1,522,569                  8.0
           Total noncurrent assets                         1,870,491                  5.7            1,638,569                 4.0            3,082,228                  7.6            1,619,977                  8.5




           Total assets                             $     33,053,266               100.0 %    $     41,192,667            100.0 %      $     40,582,497            100.0 %       $     18,971,914                100.0 %




                                                                   All Companies                     Industrial & Nonresidential                     Heavy & Highway                           Specialty Trade


                                                        Amount             Percent                Amount            Percent                Amount            Percent                 Amount             Percent


Current liabilities:
   Current maturity on long-term debt               $        505,428                  1.5 %   $        192,110                 0.5 %   $      1,175,606                  2.9 %   $        298,946                  1.6 %
   Notes payable and lines of credit                         549,390                  1.7              216,248                 0.5              468,741                  1.2            1,000,402                  5.3
   Accounts payable:
       Trade, including currently due
           to subcontractors                               9,779,664                 29.6           15,924,529                38.7            8,432,234                20.8             3,243,596                 17.1
       Subcontracts retainages                             2,774,589                  8.4            5,716,494                13.9              925,713                  2.3              259,732                  1.4
       Other                                                 203,446                  0.6              174,023                 0.4              342,847                  0.8              166,585                  0.9
           Total accounts payable                         12,757,700                 38.6           21,815,045                53.0            9,700,794                23.9             3,669,913                 19.3


   Accrued expenses                                        2,117,744                  6.4            2,367,884                 5.7            2,221,762                  5.5            1,920,132                 10.1
   Billings in excess of costs and recognized
       earnings on uncompleted contracts                   4,008,261                 12.1            5,128,250                12.4            4,541,773                11.2             2,501,947                 13.2
   Income taxes:
       Current                                                   47,657               0.1                  27,894              0.1              109,226                  0.3                  43,294               0.2
       Deferred                                                  41,700               0.1                  70,298              0.2                  25,941               0.1                  17,993               0.1
   Other current liabilities                                 374,427                  1.1              403,782                 1.0              338,119                  0.8              366,373                  1.9
           Total current liabilities                      20,402,306                 61.7           30,221,513                73.4           18,581,961                45.8             9,819,000                 51.8
Noncurrent liabilities
   Long-term debt, excluding current maturities            2,038,046                  6.2              840,236                 2.0            5,178,864                12.8             1,387,425                  7.3
   Deferred income taxes                                     141,937                  0.4                  35,588              0.1              452,939                  1.1                  76,990               0.4
   Other                                                     354,694                  1.1              413,410                 1.0              616,693                  1.5              143,594                  0.8
           Total liabilities                              22,936,983                 69.4           31,510,746                76.5           24,830,458                61.2            11,427,010                 60.2
Minority interests                                               45,041               0.1                  49,308              0.1                  54,805               0.1                  15,266               0.1
Net worth:
   Common stock, par value                                   332,075                  1.0              267,875                 0.7              603,495                  1.5              237,508                  1.3
   Preferred stock, stated value                                 62,793               0.2              134,469                 0.3                   9,031               0.0                  11,663               0.1
   Additional paid-in capital                              1,939,629                  5.9              879,010                 2.1            3,733,958                  9.2            2,421,325                 12.8
   Retained earnings                                       7,370,741                 22.3            7,614,959                18.5           10,831,199                26.7             5,116,098                 27.0
   Treasury stock                                           (506,391)                (1.5)            (374,562)               (0.9)            (360,443)               (0.9)             (822,400)                (4.3)
   Excess value of marketable securities                         52,536               0.2                  98,515              0.2                  20,247               0.0                  17,474               0.1
   Other equity                                              819,859                  2.5            1,012,347                 2.5              859,748                  2.1              547,970                  2.9


           Total net worth                                10,071,243                 30.5            9,632,612                23.4           15,697,235                38.7             7,529,638                 39.7

           Total liabilities and net worth          $     33,053,266               100.0 %    $     41,192,667            100.0 %      $     40,582,497            100.0 %       $     18,971,914                100.0 %




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                           Executive Summary                              13
          CFMA Comparative Financial Data
 Statement of Earnings
 Most Recent Year End
                                                                      All Companies                      Industrial & Nonresidential                      Heavy & Highway                            Specialty Trade


                                                             Amount            Percent                Amount             Percent                Amount              Percent                Amount              Percent


 Contract revenue                                        $     94,479,099                98.5 %   $     133,182,935                99.9 %   $      90,746,172                 96.9     $     52,768,222                  97.1 %
 Other revenue                                                  1,479,664                 1.5              130,634                  0.1             2,922,353                  3.1            1,568,925                   2.9
             Total Revenue                                     95,958,762             100.0             133,313,569             100.0              93,668,525             100.0              54,337,147                100.0


 Contract cost                                                 (87,359,593)           (91.0)           (126,002,256)            (94.5)            (82,906,467)              (88.5)           (45,528,011)              (83.8)
 Other cost                                                     (1,155,465)              (1.2)             (200,044)               (0.2)           (2,480,502)                (2.6)           (1,198,314)                (2.2)
             Total cost                                        (88,515,059)           (92.2)           (126,202,300)            (94.7)            (85,386,969)              (91.2)           (46,726,324)              (86.0)


             Gross Profit                                       7,443,704                 7.8             7,111,269                 5.3             8,281,556                  8.8            7,610,823                  14.0


 Selling, general & administrative expenses:
     Payroll                                                    (2,853,533)              (3.0)           (3,002,109)               (2.3)           (2,618,696)                (2.8)           (2,865,192)                (5.3)
     Professional fees                                           (192,060)               (0.2)             (229,973)               (0.2)             (175,848)                (0.2)            (147,747)                 (0.3)
     Sales & marketing costs                                     (227,170)               (0.2)             (283,391)               (0.2)             (157,591)                (0.2)            (208,037)                 (0.4)
     Technology costs                                            (156,413)               (0.2)             (224,549)               (0.2)             (121,201)                (0.1)              (97,418)                (0.2)
     Administrative bonuses                                      (374,451)               (0.4)             (445,999)               (0.3)             (415,481)                (0.4)            (273,443)                 (0.5)
     Other                                                      (2,040,813)              (2.1)           (1,577,207)               (1.2)           (2,120,781)                (2.3)           (2,677,039)                (4.9)
             Total SG&A expenses                                (5,844,439)              (6.1)           (5,763,229)               (4.3)           (5,609,599)                (6.0)           (6,268,875)              (11.5)


             Income from operations                             1,599,265                 1.7             1,348,040                 1.0             2,671,958                  2.9            1,341,947                   2.5


 Interest income                                                  134,207                 0.1              221,383                  0.2               146,619                  0.2                  20,603                0.0
 Interest expense                                                (130,092)               (0.1)              (66,769)               (0.1)             (246,264)                (0.3)            (125,746)                 (0.2)
 Other income / (expense), net                                    100,078                 0.1              111,901                  0.1                  70,265                0.1                  99,088                0.2


             Net earnings / (loss) before income taxes          1,703,457                 1.8             1,614,555                 1.2             2,642,577                  2.8            1,335,892                   2.5


 Income tax (expense) / benefit                                  (175,569)               (0.2)             (164,042)               (0.1)             (220,445)                (0.2)            (172,942)                 (0.3)

             Net earnings                                $      1,527,888                 1.6     $       1,450,513                 1.1     $       2,422,132                  2.6     $      1,162,950                   2.1



 Number of Participants
                                                                   Number                                   Number                                    Number                                     Number
 2005                                                                 532                                      227                                       106                                        165
 2004                                                                 537                                      250                                       106                                        171



 Financial Ratios
 Most Recent Year End
                                                                      All Companies                      Industrial & Nonresidential                      Heavy & Highway                            Specialty Trade


                                                                  Average           Median                  Average            Median                 Average            Median                 Average            Median


 Liquidity Ratios


     Current Ratio                                                     1.3                1.4                   1.2                 1.3                     1.5                1.5                     1.6                1.6
     Quick Ratio                                                       1.2                1.2                   1.1                 1.2                     1.3                1.3                     1.3                1.3
     Days of Cash                                                     18.1               11.2                  19.7                16.3                    23.9               13.5                     7.2                4.1
     Working Capital Turnover                                         13.5               12.9                  18.0                18.5                     9.9               10.5                     9.8                9.7


 Profitability Ratios


     Return on Assets *                                                5.2 %              5.3 %                 3.9 %               4.1 %                   6.5 %              7.8 %                   7.0 %              6.8 %
     Return on Equity *                                               16.9 %             18.5 %                16.8 %              16.9 %                  16.8 %             19.4 %                  17.7 %             19.9 %
     Times Interest Earned                                            14.1               11.5                  25.2                14.3                    11.7               12.5                    11.6               11.1


 Leverage Ratios


     Debt to Equity                                                    2.3                2.2                   3.3                 3.1                     1.6                1.5                     1.5                1.7
     Revenue to Equity                                                 9.5                9.9                  13.8                14.9                     6.0                5.9                     7.2                8.4
     Asset Turnover                                                    2.9                3.1                   3.2                 3.5                     2.3                2.5                     2.9                3.0
     Fixed Asset Ratio                                                36.5 %             25.3 %                20.2 %              16.7 %                  60.4 %             68.4 %                  26.5 %             25.8 %
     Equity to SG&A Expense                                            1.7                1.2                   1.7                 1.2                     2.8                2.1                     1.2                1.0
     Underbillings to Equity                                          20.6 %             13.4 %                20.8 %              10.6 %                  19.7 %              9.8 %                  21.5 %             20.1 %
     Backlog to Equity                                                 8.6                5.3                  12.4                 9.2                     5.0                3.4                     6.0                3.4



 Efficiency Ratios


     Backlog to Working Capital                                       11.8                7.2                  16.3                11.9                     8.8                6.4                     8.2                4.3
     Months in Backlog                                                 7.7                6.3                   8.6                 7.3                     8.6                7.0                     6.0                5.3
     Days in Accounts Receivable                                      49.6               51.7                  47.4                47.3                    42.5               42.9                    64.1               61.8
     Days in Inventory                                                 2.1                2.2                   0.2                 0.6                     4.0                3.7                     2.7                3.0
     Days in Accounts Payable                                         40.6               33.8                  45.9                43.3                    37.0               26.7                    26.3               27.4
     Operating Cycle                                                  29.1               33.3                  21.4                24.3                    33.4               38.9                    47.7               45.7



     * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss)
     after taxes to calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                           Note: Not all figures will apear to sum due to rounding.

14       Executive Summary
HOT TOPIC: EMPLOYEE
INCENTIVES & BONUSES




         C F M A ’s 2 0 0 5
         Construction
         Industry Annual
         Financial Survey
HOT TOPIC: EMPLOYEE INCENTIVES AND BONUSES
For the third consecutive year, the Construction Industry Annual Financial Survey is featuring a section
devoted to a Hot Topic challenging the industry. Employee incentives and bonuses were chosen as this
year’s topic due to pressures most construction companies face in developing a compensation package
that attracts and retains good employees while simultaneously keeping a trained eye on the bottom line.
Over 80% of the participants in the CFMA’s 2005 Annual Construction Industry Annual Financial
Survey elected to participate in the optional Hot Topic section.

A deliberate compensation strategy enables contractors to recruit with confidence, allows companies to
capitalize on their investment in good employees, and helps advance long-range goals and business
strategies. While designing an effective compensation strategy is not necessarily easy, it need not be
overly complicated either. In fact, the most effective compensation strategies are often the simplest.

Compensation Trends
In each of the three previous years of this study, Selling, General and Administrative (SG&A) payroll
costs (base pay and administrative bonuses) increased, as a percent of revenue. However, it appears that
contractors felt some relief from increasing payroll costs over the past year.

                                                         P AYRO L L C O STS, SG& A
                                             5%
              Percen t of Tot al Reven u e




                                             4%
                                                                           3.9%
                                                            3.7%
                                                  3.4%                                      3.4%
                                             3%




                                             2%
                                                  2002      2003           2004             2005


In addition to the SG&A payroll expenses, contractors were also spending 15.9% of revenue on direct
labor for their construction and other revenue generating activities. In an industry generally operating on
low margins, it is likely that the pressure associated with controlling compensation costs will remain high.




                                                                      Hot Topic: Employee Incentives and Bonuses
Compensation Philosophies
When asked what their overall compensation philosophy is, the majority of participants
answered they, “Pay competitively with the Industry.”


                             C O MP E NSATIO N STRATE GY/P HIL O SO P HY


               Pay C ompetitively with the Industry                                         71%



        Pay More Than Industry C ompetitive Rates           11%



                Minimize Base/Maximize Incentive            10%



                           No Strategy/Philosophy          7%



        Pay Less Than Industry C ompetitive Rates      1%



                                            Other      0%


                                                      0%        25%         50%          75%        100%

                                                             P e rce n t o f Re s p o n d e n t s


It comes as no surprise that “Pay Competitively with the Industry” was the most commonly cited answer.
Most contractors generally rely on industry rates to determine compensation packages and set
compensation at industry levels to keep employees from seeking more lucrative opportunities elsewhere
in the industry. Interestingly, 7% of all participants do not have a compensation strategy or philosophy. In
comparing the Best in Class companies to all other companies we found that the Best in Class were even
more likely to pay industry competitive rates and were less likely to operate without a compensation
strategy or philosophy.




     Hot Topic: Employee Incentives and Bonuses
                             C O MP E NSATIO N STRATE GY/P HIL O SO P HY


                                                                                             69%
               Pay C ompetitively with the Industry
                                                                                             75%


                                                            11%
        Pay More Than Industry C ompetitive Rates
                                                            11%


                                                            10%
                Minimize Base/Maximize Incentive
                                                            10%


                                                         9%
                           No Strategy/Philosophy
                                                       2%


                                                       1%
        Pay Less Than Industry C ompetitive Rates
                                                       1%


                                                       1%
                                            Other
                                                       0%


                                                      0%      25%           50%          75%        100%

                                                             P e rce n t o f Re s p o n d e n t s

                               Best In C lass   All Other C ompanies




Employee Retention

When asked to rank nine factors that contribute to overall employee satisfaction and attitude, participants
overwhelmingly selected compensation as the most important factor.


                                                              Average             Percent Selecting   As
                                                              Ranking           1           2          3
  Compensation                                                    2.8         35%         18%         17%
  Overall employee morale                                         3.5         24%         18%         13%
  Comfortable balance between work and life                       4.6         12%         13%         14%
  Level of effective communication                                4.7          8%         14%         11%
  Collaborative teamwork                                          5.0          5%          7%         15%
  Intellectual challenge                                          5.7         4%          8%          9%
  General caring for one another                                  6.0          5%          8%         7%
  Clarity of future vision                                        6.0         5%          7%          8%
  Adequacy of facilities and equipment                            6.7         2%          5%          8%




                                                             Hot Topic: Employee Incentives and Bonuses
It would seem contractors feel that compensation is the largest component to both attracting and retaining
employees — with overall morale and a comfortable work/life balance being second and third,
respectively. Positions where contractors were most confident and least confident in their compensation
packages are shown in the following charts:

                               P O SITIO NS W HE RE C O NTRAC TO RS ARE MO ST
                         C O NFIDE NT THAT C O MP E NSATIO N IS C O MP E T I TIVE

                    Project Manager                                                    76%

                      Superintendent                                                  75%

                               Estimator                                     61%

                            Accountant                             42%

                                            CFO                39%

                               Controller                     35%

                    Project Engineer                         32%

            Network Administrator                       21%

                                                  0%   25%         50%           75%         100%
              P articipants co uld select
                  multiple answers.                      P e rce n t Se le ct in g




                             P O SITIO NS W HE RE C O NTRAC TO RS ARE L E AST
                          C O NFIDE NT THAT C O MP E NSATIO N IS C O MP E T I TIVE

            Network Administrator                                                      30%

                               Controller                                             27%

                            Accountant                                        24%

                                            CFO                              24%

                               Estimator                                   23%

                     Project Manager                                  19%

                      Superintendent                                  17%

                    Project Engineer                                  16%


                                                  0%   10%          20%              30%     40%
              P articipants co uld select
                  multiple answers.                      P e rce n t Se le ct in g




     Hot Topic: Employee Incentives and Bonuses
The positions with the highest turnover were as follows:


                                       P O SITIO NS W ITH THE HIGHE ST TU RNO VE R DU RING L AST 3 YE ARS
                                 40%


                                        36%
          Percen t Select in g




                                 30%




                                                     25%
                                 20%




                                                                            15%
                                 10%




                                                                                          10%




                                                                                                                           3%




                                                                                                                                        2%




                                                                                                                                                       1%
                                                                                                           7%
                                  0%




                                                                                                                                        CFO
                                                                                        Engineer




                                                                                                                                                    Administrator
                                       Manager



                                                     Superintendent




                                                                                                                           Controller
                                                                            Estimator




                                                                                                           Accountant
                                        Project




                                                                                         Project




                                                                                                                                                      Network
Interestingly, the position in which contractors were most confident in their compensation packages
(project manager) was also the position with the highest turnover. This suggests there is some level of
disconnect between the perceived importance of compensation as part of employee satisfaction and
confidence in current compensation packages. The following chart shows how contractors perceive why
employees left their company:

                                                                        RE ASO NS W HY E MP L O YE E S L E FT

                                 80%




                                 60%
    Percen t Select in g




                                           55%
                                                                          49%
                                 40%



                                                                                                   28%                     27%
                                 20%                                                                                                              24%



                                 0%
                                          Better                      Terminated for    Layoff/Reduction                Incompatible          Terminated for
         P articipants                 Opportunity                        Poor                  in Staff                with C ompany             C ause
         co uld select
           multiple
                                        Elsewhere                     Performance                                          C ulture
           answers.




                                                                                                    Hot Topic: Employee Incentives and Bonuses
The single largest reason cited by participants for employee turnover was better opportunity elsewhere at
55%. Fifty-one percent of the employees that left went to a competing company. This could suggest that
current compensation packages might not be as competitive as perceived or that “opportunity” extends
beyond compensation. In any event, contractors would probably benefit from re-examining (or
establishing) their compensation strategy/philosophy.

Developing a Compensation Philosophy
Some general philosophies or belief systems exist regarding compensation, each addressing this question:
“In respect to paying my employees, what is important?”

    1.   General economic climate/cost of living
    2.   What an individual contractor can afford
    3.   Employee tenure
    4.   Employee competency

As illustrated in the following graph, respondents indicated overwhelmingly that performance drives
compensation in the majority instances:

                     MO ST IMP O RTANT FAC TO R AFFE C TING C O MP E NSATIO N


                    Employee C ompetency                                                        60%


                         Owner’s Discretion                18%


                  What the Firm C an Afford              12%


             C ost of Living/Annual Increase         8%


                     Length of Employment           3%


                                               0%              25%                50%                 75%

                                                         P e rce n t o f Re s p o n d e n t s


In addition to being the most popular philosophy, paying people based on how well they do their job is
also the hardest to implement. Once the decision is made to have performance drive compensation, the
question is how to measure performance. There was some evidence that defining performance
expectations and measuring actual performance may require improvement in many companies. While the
majority of participants (82%) conduct performance evaluations, the second most common cause for
turnover among participating companies in 2004 was termination due to poor performance. Though this
could be the result of poor hiring or insufficient skills, it likely points to a need to improve one or more of
the following:

    •    Definition, clarity, and communication of performance expectations
    •    Effectiveness of performance measurement
    •    Employee performance review process
    •    Clarity of roles and responsibilities in the performance management process


     Hot Topic: Employee Incentives and Bonuses
Incentive Pay Trends
Although participants in the study indicated how competent an individual is at his or her job as the single
most important factor in determining employee compensation, their actual pay practices may not fully
support that philosophy. Participants were asked to indicate, for a list of positions, whether incentive
compensation was primarily based on performance or subject to the owner’s discretion. In the majority of
companies, for the majority of positions, bonuses were primarily discretionary.

                           U SE O F P E RFO RMANC E -BASE D INC E NTIVE S


                        Project Manager                                  51%

                         Superintendent                                 49%

            Vice-President (operational)                           41%

                         Chief Estimator                         39%

                        Project Engineer                         39%

                               Estimator                         39%

       Vice-President (non-operational)                       33%

                                     CFO                    31%

                               Controller                   29%

                              Accountant                  27%

                 Network Administrator                   26%

               Accounting Support Staff                  25%

                                           0%         25%            50%            75%      100%

                                                      P e rce n t o f Re s p o n d e n t s



A discretionary bonus program does not support a performance-based compensation strategy, which
suggests that in these instances, the owner or manager determines how well employees do their jobs using
subjective judgment rather than a formalized process. If a company’s philosophy is to pay employees
based on performance, but there is no performance review process in place and/or pay raises and
incentives are not tied to measurable performance expectations, their compensation plan will not do what
it is intended to.

If employees do not know the criteria by which they are being evaluated, and on which their
compensation is based, they are being “bonus”-ed, not “incent”-ed. The difference being: incentive pay is
truly performance-based, while bonuses are discretionary in nature. Although it’s all money, it has very
different value. Bonuses run the risk of becoming an entitlement. Since they are not tied to any defined
performance measures, bonuses can become an expectation instead of an incentive, and their impact is
generally short-lived.

True incentive plans are different in theory and design. Even if someone cannot be motivated with pay, it
can shape his or her behavior. Tying incentive compensation to defined, understood measurements allows
business owners to tell their compensation plan what they want it to do, while communicating precisely
the same message to their employees.


                                                           Hot Topic: Employee Incentives and Bonuses
The primary elements that contribute to this trend of not tying “performance-based compensation” to
measurable performance expectations are:

   1. Control. Many business owners/managers want to control the compensation activities within the
      company, making a defined, performance-based compensation program difficult to implement.
   2. Discretion. Many business owners/managers want to have ultimate discretion over what
      employees earn and the ability to include subjective measures in the evaluation process.
   3. Privacy. In some cases, owners do not want to share the financial results of the company with
      employees, making some financial performance measures impossible to communicate.

For those participants using performance-based incentive programs, the drivers of the program were as
follows:


                                        INC E NTIVE C O MP E NSATIO N DRIVE RS
              80%

                                 74%
              60%



              40%

                                           38%
                                                        35%
                                                                      30%          29%
              20%



                 0%
                               Budget     Safety        Client      Schedule      Other
        P articipants co uld select                  Satisfaction
            multiple answers.




    Hot Topic: Employee Incentives and Bonuses
Conclusion
There are several things to consider when revisiting/establishing a compensation philosophy/strategy,
including:

   1. What do you want to pay and can you afford to pay it? Although you may want to pay more
      than the competition, it may not be economical to do so. Define both your philosophy and internal
      economics to ensure they are aligned.
   2. How will you determine industry compensation rates? Reliable data from relevant
      compensation benchmarking studies is a major component of “good” compensation programs.
      The most sophisticated programs carefully compare the skills, qualifications, job duties, and
      functions of a given position against industry data to establish a competitive compensation range.
      A significant number of owners/managers feel that they have a good sense of what is considered
      “competitive,” but using a formalized process of benchmarking adds transparency and
      objectivity.
   3. How will you structure your compensation package? Will compensation be primarily salary
      based or will incentive compensation comprise a significant component of total compensation? If
      incentive compensation will be used, what drives the incentive program — individual
      performance? Team performance? Company-wide performance? How do perquisites factor into
      total compensation?
   4. Does your compensation strategy/philosophy promote and/or reinforce the achievement of
      company-wide goals? A compensation plan will always do what you tell it to do. If your
      compensation plan is tied to an underlying business strategy, the plan will reinforce that strategy.
      And, if your compensation strategy is arbitrary or undefined, the plan’s effectiveness will be
      limited.




                                                          Hot Topic: Employee Incentives and Bonuses
                     Hot Topic: Employee Incentives and Bonuses

Several factors contribute to employee attitudes and satisfaction. How would you rate the following environmental
office factors in your business? (1 = greatest factor, 9 = least factor)

                                                              Average            Percent Selecting As
                                                              Ranking        1              2         3
  Compensation                                                   2.8        35%            18%      17%
  Overall employee morale                                        3.5        24%            18%      13%
  Comfortable balance between work and life                      4.6        12%            13%      14%
  Level of effective communication                               4.7        8%             14%      11%
  Collaborative teamwork                                         5.0        5%             7%       15%
  Intellectual challenge                                         5.7        4%             8%        9%
  General caring for one another                                 6.0        5%             8%        7%
  Clarity of future vision                                       6.0        5%             7%        8%
  Adequacy of facilities and equipment                           6.7        2%             5%        8%

Do you conduct performance evaluations for employees?
  Yes                                                                       82%
  No                                                                        18%
                                                                           100%

If yes, how often are the evaluations conducted?
   Annually                                                                 88%
   Semi-annually                                                            7%
   Other                                                                    5%
                                                                           100%

What type(s) of evaluations are conducted? (Participants could select multiple answers.)
1 Supervisor evaluations (employees are evaluated by supervisors)           94%
2 Subordinate evaluations (employees are evaluated by subordinates)         13%
3 Peer evaluations (employees are evaluated by peers)                       12%
4 Customer evaluations (employees are evaluated by customers)                9%
5 Other                                                                      2%

What is the compensation strategy/philosophy in your company?
1 Pay competitively with the industry                                       71%
2 Pay more than industry competitive rates                                  11%
3 Minimize base pay and maximize incentive pay                              10%
4 No strategy/philosophy                                                    7%
5 Pay less than industry competitive rates                                  1%
6 Other                                                                     0%
                                                                           100%

For which position(s) are you most confident that your company’s compensation package is competitive?
(Participants could select multiple answers.)
1 Project Manager                                                       76%
2 Superintendent                                                        75%
3 Estimator                                                             61%
4 Accountant                                                            42%
5 CFO                                                                   39%
6 Controller                                                            35%
7 Project Engineer                                                      32%
8 Network Administrator                                                 21%




 Hot Topic: Employee Incentives and Bonuses
                      Hot Topic: Employee Incentives and Bonuses

For which position(s) are you least confident that your company’s compensation package is competitive?
(Participants could select multiple answers.)
1 Network Administrator                                                  30%
2 Controller                                                             27%
3 Accountant                                                             24%
4 CFO                                                                    24%
5 Estimator                                                              23%
6 Project Manager                                                        19%
7 Superintendent                                                         17%
8 Project Engineer                                                       16%

Many factors affect employee compensation. In your company, how would you rate the following factors?
(1 = greatest factor, 5 = least factor)

                                                               Average            Percent Selecting As
                                                               Ranking         1          2            3
  Employee competency                                             1.8        60%         19%          11%
  Owner’s discretion                                              3.2        18%         18%          20%
  What the firm can afford                                        3.2        12%         26%          18%
  Cost of living/general annual increase                          3.3         8%         21%          25%
  Length of employment                                            3.5         3%         16%          27%

Does your company have a 401(k) and/or retirement plan?
  Yes                                                                        95%
  No                                                                          5%
                                                                             100%



If you offer a 401(k) Plan, what percentage of an employee’s 401(k) contribution does your company match?
   Median                                                                   4%

How many years does an employee have to be with the company before the company starts matching 401(k)
contributions?
  Median Years                                                          1.0

What is the total cost of your employee benefits package as a percentage of payroll, including health, dental, disability,
pharmaceutical, profit sharing, pension plan, life insurance, and 401(k) matching?
  Median                                                                    19%

For each employee level, is incentive compensation primarily discretionary or performance-based?

                                                            Discretionary-           Performance-
                                                                Based                   Based
  Vice-President Level (operational)                             59%                     41%
  Vice-President Level (non-operational)                         67%                     33%
  Project Manager                                                49%                     51%
  Superintendent                                                 51%                     49%
  Chief Estimator                                                61%                     39%
  Estimator                                                      61%                     39%
  Project Engineer                                               61%                     39%
  CFO                                                            69%                     31%
  Controller                                                     71%                     29%
  Accountant                                                     73%                     27%
  Accounting Support Staff                                       75%                     25%
  Network Administrator                                          74%                     26%




                                                                    Hot Topic: Employee Incentives and Bonuses
                     Hot Topic: Employee Incentives and Bonuses

If incentive compensation is primarily performance-based, what drives the incentive for the company?
(Participants could select multiple answers.)
 1 Budget                                                                 74%
 2 Safety                                                                 38%
 3 Client satisfaction                                                    35%
 4 Schedule                                                               30%
 5 Other                                                                  29%

Do you have a company-wide incentive pool?
  Yes                                                                     39%
  No                                                                      61%
                                                                         100%

If yes, what percentage of company revenue or profit goes to the pool?
   Percent of total revenue (median)                                      1%
   Percent of profit (median)                                             20%

How can employees obtain equity in the company? (Participants could select multiple answers.)
1 Employees cannot obtain equity                                         71%
2 Equity purchase                                                        16%
3 ESOP                                                                    9%
4 Phantom stock                                                           4%
5 Stock bonus                                                             3%
6 Stock options                                                           3%
7 Equity award                                                            2%
8 Deferred equity                                                         0%

Have you introduced new owners to the business in the last five years?
  Yes                                                                     31%
  No                                                                      69%
                                                                         100%

If yes, how many new owners have been admitted? (median)                    3

  What percentage of ownership has been granted? (median)                 10%




 Hot Topic: Employee Incentives and Bonuses
                     Hot Topic: Employee Incentives and Bonuses

Which class of employee listed below had the highest turnover rate within the last three years?
1 Project Manager                                                          36%
2 Superintendent                                                           25%
3 Estimator                                                                15%
4 Project Engineer                                                         10%
5 Accountant                                                                7%
6 Controller                                                                3%
7 CFO                                                                       2%
8 Network Administrator                                                     1%
                                                                          100%

What is your reaction to your current overall level of employee turnover?
 More than expected                                                       16%
 About as expected                                                        60%
 Less than expected                                                       24%
                                                                          100%

Regarding recent employee turnover, indicate from the following list why employee(s) left your company:
(Participants could select multiple answers.)
 1 Better opportunity elsewhere                                           55%
 2 Terminated for poor performance                                        49%
 3 Layoff/reduction in staff                                              28%
 4 Incompatible with company culture                                      27%
 5 Terminated for cause                                                   24%
 6 Relocation                                                             21%
 7 Retirement                                                             20%
 8 Insufficient compensation                                              17%
 9 Lifestyle change                                                       11%
 # Do not know                                                            7%
 # Health                                                                 7%
 # Other                                                                  6%

What career choices did employees make after leaving your company?
1 Went to a competing company                                              51%
2 Do not know                                                              28%
3 Changed careers                                                          9%
4 Started their own business                                               6%
5 Left the workforce                                                       6%
6 Continued their education                                                1%
                                                                          100%

Have you reduced your workforce due to the economic environment?
  Yes                                                                      23%
  No                                                                       77%
                                                                          100%

If yes, how many positions have you terminated? (Median)                     5




                                                                  Hot Topic: Employee Incentives and Bonuses
BEST IN CLASS
COMPANIES




         C F M A ’s 2 0 0 5
         Construction
         Industry Annual
         Financial Survey
BEST IN CLASS COMPANIES

The Best in Class contractors presented in the CFMA Financial Survey are the top 25% of their peer
group. Best in Class status is calculated using the following five factors that are key indicators of financial
health:

Factor                          Formula                                    Interpretation
Return on Assets       Net Earnings Before Income     Indicates the profit generated by the total assets
                                 Taxes/               employed. A higher ratio reflects a more effective use of
                              Total Assets            company assets.
Return on Equity       Net Earnings Before Income     Indicates the profit generated by net assets (assets to
                                 Taxes/               liabilities) employed. This ratio reflects the stockholders’
                            Total Net Worth           return on investment. A high ratio may indicate an
                                                      undercapitalized company (low equity) or, conversely, a
                                                      very profitable company (high net earnings).
Fixed Asset Ratio           Net Fixed Assets/         Indicates the level of stockholders’ equity invested in net
                            Total Net Worth           fixed assets. A higher ratio may indicate a lack of funds
                                                      for current operations. Usually, a low ratio indicates a
                                                      favorable liquidity position.
Debt to Equity               Total Liabilities/       Indicates the relationship between creditors and owners.
                                                      Generally, a ratio of three or lower is considered
                             Total Net Worth
                                                      acceptable.
Working Capital                 Revenue/              Indicates the amount of revenue being supported by each
                                                      $1 of net working capital employed. A ratio exceeding 30
Turnover                     Working Capital
                                                      may indicate a need for increased working capital to
                         (Current Assets/Current      support future revenue growth.
                               Liabilities)


Participants in the survey are ranked on each factor to arrive at an overall ranking, of which the top 25%
make up the Best in Class group reported in the study. Examining the practices, views, and financial
structure of these companies can provide guidance on how to improve a contracting business. This section
of the report reviews the characteristics of the Best in Class companies in order to provide insight into
what makes a contracting company successful.




                                                                                  Best In Class Companies
Best in Class Selection
The following graph illustrates how the Best in Class companies are differentiated from the participant
body as a whole, according to the five factors used for determining Best in Class status.

                           BE ST IN C L ASS KE Y FINANC IAL C HARAC TE RISTIC S
               50

               40                            36.5      36.5

                                                              27.1
               30
                                      16.9                                                    15.1
               20
                                                                                       13.5
                              11.3
               10
                        5.2                                             2.3 2.2
                0
                     Return on    Return on          Fixed Asset        Debt to         Working
                    Assets (%) * Equity (%) *         Ratio (%)         Equity          Capital
                                                                                       Turnover
                                             All Companies      Best in Class




        •    Return on Assets: Best in Class companies had an average ROA of 11.3% — 6.1 percentage
             points higher than the typical company. Best in Class companies use their assets more
             effectively and efficiently to generate profits.
        •    Return on Equity: Best in Class companies had an average ROE of 36.5% — 19.6
             percentage points higher than the typical company. Best in Class companies utilize equity
             more effectively to generate profits.
        •    Fixed Asset Ratio: Best in Class companies had an average Fixed Asset Ratio of 27.1 — 9.4
             percentage points lower than the typical company. Best in Class companies are using less
             equity to finance the purchase of fixed assets than the typical company and have superior
             liquidity.
        •    Debt to Equity: Best in Class companies had an average Debt to Equity ratio of 2.2 — 0.1
             lower than the typical company. Best in Class companies are taking slightly less financial risk
             to generate superior financial performance as compared to the typical company.
        •    Working Capital Turnover: Best in Class companies turned over their working capital an
             average of 15.1 times — 1.6 times more than the typical company. This indicates that for
             every dollar of working capital, the Best in Class companies generate $1.60 more in sales,
             which indicates either a more strategic pursuit of projects and/or better sales and marketing.




* In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated
using net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes
to calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this
change.



      Best In Class Companies
Sales and Profitability
Best in Class companies reap benefits from monitoring the use of their assets and equity and their cash
flow. The following graph shows these companies are generating lower sales than the participant body as
a whole, but with significantly less asset (24.7%) and equity (23.7%) bases.

                                  BE ST IN C L ASS C O MP ANY SIZE ($ M)

             $120



               $80       $96.0
                                 $84.1


               $40
                                                 $33.1
                                                         $24.9             $10.1 $7.7
                $0
                           Revenue                  Assets                 Net Worth


                                         All Companies     Best in Class



Although revenues are lower, the operating and net margins are significantly higher. The following graph
shows the financial margins for Best in Class companies:

                                  BE ST IN C L ASS FINANC IAL MARGINS

             10%
                                 9.6%
               8%
                          7.8%
               6%

               4%
                                                         3.2%                     3.3%
               2%
                                                 1.7%                      1.8%
               0%
                         Gross Margin         Operating Margin       Net Margin Before
                                                                      Income Taxes

                                         All Companies    Best in Class

If the average company could improve their net margin by 1.5 percentage points to the Best in Class
3.3%, it would mean additional net profit of almost $1.5M.




                                                                             Best In Class Companies
Company Profile
Specialty Trade contractors are significantly more likely to be Best in Class companies. Heavy &
Highway companies generally have a much higher fixed asset ratio due to the nature of the equipment
required, making it more difficult for these companies to make the Best in Class cut.


                                        BE ST IN C L ASS INDU STRY P RO FIL E


                                                                                         4%
             Best in Class              40%              16%              40%




            All Companies                43%               20%             31%          6%




                             0%         20%        40%          60%         80%          100%


               Industrial & Nonresidential     Heavy & Highway        Specialty Trade    Other



Construction companies have been trending towards becoming S corporations over the last decade due to
the ability to tax earnings only once versus the double taxation that occurs within a C corporation. Best in
Class companies are much more likely to be S corporations.

                                    BE ST IN C L ASS L E GAL E NTITY P RO FIL E




             Best in Class        17%                       73%                         10%




            All Companies          25%                         64%                   11%




                             0%         20%        40%          60%         80%          100%

                                         C corporation   S corporation     Other




      Best In Class Companies
More Best in Class companies operated in the Midwest, West, and Far West regions in 2005.

                                         BE ST IN C L ASS RE GIO NAL P RO FIL E




             Best in Class    9%        16%          34%         5% 12%          24%




            All Companies         15%     18%          30%         11% 11%        16%




                             0%          20%       40%         60%         80%         100%

                     Northeast      Southeast    Midw est    Southwest    West     Far West




Best in Class companies generate slightly more revenue from private clients than other companies. This
could be attributed partially to the fact that Heavy & Highway companies are less likely to be part of the
Best of Class classification due to their higher fixed asset ratio, and Heavy & Highway companies
perform a higher percentage of public work.

                                         BE ST IN C L ASS C L IE NT P RO FIL E




             Best in Class          30%                           70%




            All Companies               33%                        67%




                             0%          20%       40%         60%         80%         100%

                                                    Public   Private




                                                                             Best In Class Companies
Best in Class companies have slightly smaller, but significantly more profitable client relationships. As
shown in the graph below, the median contract size, as measured by revenue per contract, was similar for
Best in Class and the average company.

                           BE ST IN C L ASS - RE VE NU E P E R C O NTRAC T




                            $529,165
                                                                   $504,007




                          All Companies                           Best in Class




More importantly, the profitability of contracts was over two times greater for Best in Class contractors.
This was due to a combination of better pricing, better project management, and/or better cost
management, in addition to targeting a client base that can afford larger contracts.

                         BE ST IN C L ASS - NE T INC O ME P E R C O NTRAC T




                                                                    $19,020




                                $8,867




                          All Companies                           Best in Class




      Best In Class Companies
The following graph further illustrates the superior profitability of the Best in Class companies by
showing the significantly higher net income margins per contract.

                                   BE ST IN C L ASS -
                 NE T MARGIN (BE FO RE INC O ME TAXE S) P E R C O NTRAC T




                                                                  4.4%




                              2.5%




                        All Companies                         Best in Class




Views and Outlook
Most companies are optimistic about the future; however, Best in Class companies are a little more
confident about sales growth in the coming year.

                            BE ST IN C L ASS SAL E S VO L U ME GRO W TH O U TL O O K




            Best in Class                  64%                    17%         19%




           All Companies                   63%                    12%         24%




                            0%       20%         40%        60%         80%         100%

                                      Increase   Decrease    Stay the Same




                                                                         Best In Class Companies
Likewise, Best in Class companies have a similar outlook with respect to future prospects for backlog
growth as compared to the participant body as a whole.

                                 BE ST IN C L ASS BAC KL O G GRO W TH O U TL O O K




            Best in Class                  56%                   24%           20%




           All Companies                   55%                  23%           22%




                            0%         20%         40%        60%       80%          100%

                                        Increase   Decrease    Stay the Same




     Best In Class Companies
                                                                                    All Companies
                                                                                         Composite: Best in Class
Balance Sheet
                                                           All Participants                  Best in Class                                                                      All Participants                 Best in Class


                                                           Amount             Percent        Amount            Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                           Current liabilities:
   Cash and cash equivalents                           $        4,818,236       14.6 %   $        4,404,370      17.7 %      Current maturity on long-term debt             $          505,428         1.5 % $          132,576         0.5 %
   Marketable securities & short-term investments               1,983,264        6.0              1,379,088       5.5        Notes payable and lines of credit                         549,390         1.7              288,054         1.2
   Receivables:                                                                                                              Accounts payable:
      Contract receivables currently due                       12,856,421       38.9             10,677,379      42.8            Trade, including currently due
      Retainages on contracts                                   3,919,134       11.9              3,292,397      13.2                to subcontractors                               9,779,664        29.6            7,341,608        29.4
      Unbilled work                                               337,890        1.0                206,036       0.8            Subcontracts retainages                             2,774,589         8.4            2,429,390         9.7
      Other receivables                                           419,224        1.3                346,767       1.4            Other                                                 203,446         0.6              210,421         0.8
      Less allowance for doubtful accounts                         (64,638)     (0.2)               (44,348)     (0.2)               Total accounts payable                         12,757,700        38.6            9,981,419        40.0
           Total receivables, net:                             17,468,032       52.8             14,478,231      58.1
                                                                                                                             Accrued expenses                                        2,117,744         6.4            1,863,032         7.5
   Inventories                                                    509,170        1.5                160,129       0.6        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                       earnings on uncompleted contracts                   4,008,261        12.1            3,936,763        15.8
       of billings on uncompleted contracts                     1,735,737        5.3              1,099,513       4.4        Income taxes:
   Investments in and advances to                                                                                                Current                                                 47,657        0.1                41,123        0.2
      construction joint ventures                                 205,853        0.6                162,530       0.7            Deferred                                                41,700        0.1                13,662        0.1
   Income taxes:                                                                                                             Other current liabilities                                 374,427         1.1              389,705         1.6
      Current/refundable                                            22,668       0.1                   7,548      0.0                Total current liabilities                      20,402,306        61.7           16,646,332        66.8
      Deferred                                                      59,853       0.2                   8,756      0.0     Noncurrent liabilities
   Other current assets                                           705,247        2.1                502,153       2.0        Long-term debt, excluding current maturities            2,038,046         6.2              344,990         1.4
           Total current assets                                27,508,059       83.2             22,202,317      89.0        Deferred income taxes                                     141,937         0.4                16,828        0.1
                                                                                                                             Other                                                     354,694         1.1              196,171         0.8
Property, plant and equipment                                   9,304,496       28.2              5,433,893      21.8                Total liabilities                              22,936,983        69.4           17,204,321        69.0
Less accumulated depreciation                                  (5,629,779)     (17.0)            (3,340,333)    (13.4)    Minority interests                                             45,041        0.1                19,498        0.1
           Property, plant and equipment, net                   3,674,716       11.1              2,093,561       8.4     Net worth:
                                                                                                                             Common stock, par value                                   332,075         1.0              262,246         1.1
Noncurrent assets:                                                                                                           Preferred stock, stated value                               62,793        0.2                30,215        0.1
   Long-term investments                                          350,514        1.1                132,685       0.5        Additional paid-in capital                              1,939,629         5.9              863,720         3.5
   Deferred income taxes                                            92,363       0.3                   5,826      0.0        Retained earnings                                       7,370,741        22.3            5,763,191        23.1
   Other assets                                                 1,427,615        4.3                500,529       2.0        Treasury stock                                           (506,391)       (1.5)            (441,184)       (1.8)
           Total noncurrent assets                              1,870,491        5.7                639,040       2.6        Excess value of marketable securities                       52,536        0.2                84,968        0.3
                                                                                                                             Other equity                                              819,859         2.5            1,147,941         4.6
                                                                                                                                     Total net worth                                10,071,243        30.5            7,711,098        30.9

           Total assets                                $       33,053,266      100.0 %   $       24,934,917     100.0 %              Total liabilities and net worth        $       33,053,266       100.0 % $       24,934,917       100.0 %



Statement of Earnings                                                                                                     Financial Ratios
                                                           All Participants                  Best in Class                                                                      All Participants                 Best in Class


                                                           Amount             Percent        Amount            Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $       94,479,099       98.5 %   $       83,799,198      99.6 %   Liquidity Ratios
Other revenue                                                   1,479,664        1.5                326,794       0.4
           Total Revenue                                       95,958,762      100.0             84,125,992     100.0        Current Ratio                                                  1.3        1.4                   1.3        1.4
                                                                                                                             Quick Ratio                                                    1.2        1.2                   1.2        1.3
Contract cost                                                 (87,359,593)     (91.0)           (75,814,902)    (90.1)       Days of Cash                                                  18.1       11.2                  18.8       14.8
Other cost                                                     (1,155,465)      (1.2)              (238,967)     (0.3)       Working Capital Turnover                                      13.5       12.9                  15.1       14.2
           Total cost                                         (88,515,059)     (92.2)           (76,053,869)    (90.4)
                                                                                                                          Profitability Ratios
           Gross Profit                                         7,443,704        7.8              8,072,123       9.6
                                                                                                                             Return on Assets *                                             5.2 %      5.3 %                11.3 %     13.5 %
Selling, general & administrative expenses:                                                                                  Return on Equity *                                            16.9 %     18.5 %                36.5 %     38.0 %
   Payroll                                                     (2,853,533)      (3.0)            (2,571,550)     (3.1)       Times Interest Earned                                         14.1       11.5                  76.1       28.4
   Professional fees                                             (192,060)      (0.2)              (156,591)     (0.2)
   Sales & marketing costs                                       (227,170)      (0.2)              (194,101)     (0.2)    Leverage Ratios
   Technology costs                                              (156,413)      (0.2)              (118,055)     (0.1)
   Administrative bonuses                                        (374,451)      (0.4)              (388,854)     (0.5)       Debt to Equity                                                 2.3        2.2                   2.2        1.9
   Other                                                       (2,040,813)      (2.1)            (1,985,550)     (2.4)       Revenue to Equity                                              9.5        9.9                  10.9       10.4
           Total SG&A expenses                                 (5,844,439)      (6.1)            (5,414,701)     (6.4)       Asset Turnover                                                 2.9        3.1                   3.4        3.5
                                                                                                                             Fixed Asset Ratio                                             36.5 %     25.3 %                27.1 %     19.7 %
           Income from operations                               1,599,265        1.7              2,657,423       3.2        Equity to SG&A Expense                                         1.7        1.2                   1.4        1.1
                                                                                                                             Underbillings to Equity                                       20.6 %     13.4 %                16.9 %     10.7 %
Interest income                                                   134,207        0.1                  89,757      0.1        Backlog to Equity                                              8.6        5.3                   6.5        4.0
Interest expense                                                 (130,092)      (0.1)               (37,468)     (0.0)
Other income / (expense), net                                     100,078        0.1                105,254       0.1
                                                                                                                          Efficiency Ratios
           Net earnings / (loss) before income taxes            1,703,457        1.8              2,814,966       3.3
                                                                                                                             Backlog to Working Capital                                    11.8        7.2                   8.3        5.8
Income tax (expense) / benefit                                   (175,569)      (0.2)              (214,182)     (0.3)       Months in Backlog                                              7.7        6.3                   6.7        5.7
                                                                                                                             Days in Accounts Receivable                                   49.6       51.7                  47.0       47.6
           Net earnings                                $        1,527,888        1.6 %   $        2,600,785       3.1 %      Days in Inventory                                              2.1        2.2                   0.8        1.7
                                                                                                                             Days in Accounts Payable                                      40.6       33.8                  35.7       29.2
                                                                                                                             Operating Cycle                                               29.1       33.3                  30.8       33.2
Number of Participants
                                                                    Number                            Number              * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
                                                                      532                               134               net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
                                                                                                                          calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                              Best In Class Companies                          41
Best in Class Industry Sector Comparisons
Industrial & Nonresidential
Best in Class Industrial & Nonresidential companies exhibit the following characteristics:
        •    Return on Assets: Best in Class Industrial & Nonresidential companies had an average ROA
             of 9.2% — 5.3 percentage points higher than the typical company. Best in Class Industrial &
             Nonresidential companies use their assets more effectively and efficiently to generate profits.
        •    Return on Equity: Best in Class Industrial & Nonresidential companies had an average ROE
             of 36.2% — 19.4 percentage points higher than the typical company. Best in Class Industrial
             & Nonresidential companies utilize equity more effectively to generate profits.
        •    Fixed Asset Ratio: Best in Class Industrial & Nonresidential companies had an average
             Fixed Asset Ratio of 20.4 — 0.2 percentage points higher than the typical company. Best in
             Class Industrial & Nonresidential companies are using slightly more equity to finance the
             purchase of fixed assets than the typical company.
        •    Debt to Equity: Best in Class Industrial & Nonresidential companies had an average Debt to
             Equity ratio of 2.9 — 0.4 lower than the typical company. Best in Class Industrial &
             Nonresidential companies are taking less financial risk to generate superior financial
             performance as compared to the typical company.
        •    Working Capital Turnover: Best in Class Industrial & Nonresidential companies turned
             over their working capital an average of 17.1 times — 0.9 times less than the typical
             company. The advantages held in other areas make up for the lower working capital turnover
             ratio.

                              BE ST IN C L ASS KE Y FINANC IAL C HARAC TE RISTIC S
                                       INDU STRIAL & NO NRE SIDE NTIAL

               40
                                               36.2




               30

               20
                                                        20.2

                                                               20.4




                                                                                        18.0

                                                                                               17.1
                                        16.8




               10
                        3.9




                                                                        3.3

                                                                              2.9
                               9.2




                0
                      Return on        Return on      Fixed Asset       Debt to         Working
                    Assets (%) * Equity (%) *          Ratio (%)         Equity         Capital
                                                                                       Turnover

                                      All Industrial & Nonresidential Companies
                                      Best in Class Industrial & Nonresidential



* In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated
using net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes
to calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this
change.


      Best In Class Companies
                                    BE ST IN C L ASS RE VE NU E
                                 INDU STRIAL & NO NRE SIDE NTIAL




                                                                  $138,769,383
                          $133,313,569




                  All Industrial & Nonresidential           Best in Class Industrial &
                            Companies                             Nonresidential




Best in Class Industrial & Nonresidential companies have slightly higher revenues, but they have
significantly higher operating and net margins than their peers. This means over $2.1M in additional net
profits before income taxes for Best in Class companies.

                                 BE ST IN C L ASS FINANC IAL MARGINS
                                   INDU STRIAL & NO NRE SIDE NTIAL

             8%

                                6.9%
             6%
                         5.3%
             4%


             2%                                            2.4%                  2.7%

                                                    1.0%                  1.2%
             0%
                        Gross Margin          Operating Margin         Net Margin Before
                                                                         Income Taxes

                                  All Industrial & Nonresidential Companies
                                  Best in Class Industrial & Nonresidential
Heavy & Highway
Best in Class Heavy & Highway companies exhibit the following characteristics:
        •    Return on Assets: Best in Class Heavy & Highway companies had an average ROA of
             15.7% — 9.2 percentage points higher than the typical company. Best in Class Heavy &
             Highway companies use their assets more effectively and efficiently to generate profits.
        •    Return on Equity: Best in Class Heavy & Highway companies had an average ROE of
             32.8% — 16.0 percentage points higher than the typical Heavy & Highway company. Best in
             Class Heavy & Highway companies utilize equity more effectively to generate profits.
        •    Fixed Asset Ratio: Best in Class Heavy & Highway companies had an average Fixed Asset
             Ratio of 55.0 — 5.4 percentage points lower than the typical Heavy & Highway company.
             Best in Class Heavy & Highway companies are using less equity to finance the purchase of
             fixed assets than the typical Heavy & Highway company and have superior liquidity.
        •    Debt to Equity: Best in Class Heavy & Highway companies had an average Debt to Equity
             ratio of 1.1 — 0.5 lower than the typical Heavy & Highway company. Best in Class Heavy &
             Highway companies are taking less financial risk to generate superior financial performance
             as compared to the typical Heavy & Highway company.
        •    Working Capital Turnover: Best in Class Heavy & Highway companies turned over their
             working capital an average of 13.1 times — 3.2 times more than the typical Heavy &
             Highway company. This means that for every dollar of working capital, the Best in Class
             Heavy & Highway companies generate $3.20 more in sales, which indicates either a more
             strategic pursuit of projects and/or better sales and marketing.



                              BE ST IN C L ASS KE Y FINANC IAL C HARAC TE RISTIC S
                                                      HE AVY & HIGHW AY

               75
                                                           60.4




               50
                                                                  55
                                               32.8




               25
                                                                                         9.9
                        6.5




                                        16.8
                              15.7




                                                                          1.6
                                                                                1.1




                                                                                               13.1




                0
                     Return on    Return on              Fixed Asset      Debt to       Working
                    Assets (%) * Equity (%) *             Ratio (%)       Equity        Capital
                                                                                        Turnover

                         All Heavy & Highway Companies             Best in Class Heavy & Highway



* In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated
using net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes
to calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this
change.



      Best In Class Companies
                                    BE ST IN C L ASS RE VE NU E
                                       HE AVY & HIGHW AY




                        $93,668,525



                                                               $41,055,186



               All Heavy & Highw ay Companies          Best in Class Heavy & Highway




Best in Class Heavy & Highway companies generated significantly lower revenue, but have higher gross
margins, higher operating margins, and significantly higher net margins than their peers.

                                BE ST IN C L ASS FINANC IAL MARGINS
                                         HE AVY & HIGHW AY

             15%

                                12.3%
             10%
                         8.8%

              5%                                        5.5%                 5.7%

                                                2.9%                  2.8%
              0%
                        Gross Margin        Operating Margin       Net Margin Before
                                                                     Income Taxes
                    All Heavy & Highway Companies        Best in Class Heavy & Highway




                                                                         Best In Class Companies
Specialty Trade
Best in Class Specialty Trade companies exhibit the following characteristics:
        •    Return on Assets: Best in Class Specialty Trade companies had an average ROA of 14.4%
             — 7.4 percentage points higher than the typical company. Best in Class Specialty Trade
             companies use their assets more effectively and efficiently to generate profits.
        •    Return on Equity: Best in Class Specialty Trade companies had an average ROE of 38.0%
             — 20.3 percentage points higher than the typical Specialty Trade company. Best in Class
             Specialty Trade companies utilize equity more effectively to generate profits.
        •    Fixed Asset Ratio: Best in Class Specialty Trade companies had an average Fixed Asset
             Ratio of 24.3 — 2.2 percentage points lower than the typical Specialty Trade company. Best
             in Class Specialty Trade companies are using less equity to finance the purchase of fixed
             assets than the typical Specialty Trade company and have superior liquidity.
        •    Debt to Equity: Best in Class Specialty Trade companies had an average Debt to Equity ratio
             of 1.6 — 0.1 higher than the typical Specialty Trade company.
        •    Working Capital Turnover: Best in Class Specialty Trade companies turned over their
             working capital an average of 12.4 times — 2.6 times more than the typical Specialty Trade
             company. This means that for every dollar of working capital, the Best in Class Specialty
             Trade companies generate $2.60 more in sales, which indicates either a more strategic pursuit
             of projects and/or better sales and marketing.



                             BE ST IN C L ASS KE Y FINANC IAL C HARAC TE RISTIC S
                                              SP E C IAL TY TRADE
               40
                                               38.0




               30
                                                        26.5




               20
                                                               24.3
                                        17.7
                       7.0

                              14.4




               10
                                                                                                 12.4
                                                                             1.5

                                                                                   1.6




                                                                                           9.8




                0
                      Return on       Return on       Fixed Asset            Debt To      Working
                     Assets (%)       Equity (%)       Ratio (%)              Equity       Capital
                                                                                          Turnover
                         All Specialty Trade Companies                Best in Class Specialty Trade




* In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated
using net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes
to calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this
change.



      Best In Class Companies
                                    BE ST IN C L ASS RE VE NU E
                                        SP E C IAL TY TRADE




                         $54,337,147
                                                               $51,346,228




                All Specialty Trade Companies          Best in Class Specialty Trade




Although Best in Class Specialty Trade companies do not have higher revenues, they have higher
operating and net margins than their peers. This means $0.5M in additional net profits to Best in Class
companies.

                                BE ST IN C L ASS FINANC IAL MARGINS
                                         SP E C IAL TY TRADE
             20%

             15%              15.6%
                         14.0%
             10%

              5%
                                                       4.1%                    4.2%
                                                2.5%                    2.5%
              0%
                        Gross Margin         Operating Margin       Net Margin Before
                                                                      Income Taxes

                       All Specialty Trade Companies     Best in Class Specialty Trade




                                                                          Best In Class Companies
OVERALL SURVEY
RESULTS




         C F M A ’s 2 0 0 5
         Construction
         Industry Annual
         Financial Survey
General Profile

General Profile: A total of 660 construction companies participated in CFMA’s 2005 Construction
Industry Annual Financial Survey. Of those, 538 submitted complete financial statements and 532 were
included as participants. Seventy-two percent of participants participated in the 2004 study, and 97% were
CFMA members.
For a complete breakdown of survey answers, please see Appendix A.

Legal Form of Business: The number of C corporations has diminished in favor of S corporations across
all contractor types. This year’s 64% S corporations compares to 60% in 2004 and 58% in 2003.

                                              L E GAL FO RM O F BU SINE SS
              80%


              60%                                      67%
                                 64%




                                                                                                        62%
                                                                              60%
              40%
                                       11%




                                                                                    14%
                                                             10%




                                                                                                              11%
                                                                                                  27%
              20%
                           25%




                                                                        25%
                                                 23%




                  0%
                       All Companies            Industrial &             Heavy &            Specialty Trade
                                               Nonresidential            Highway

                                             C corporation         S corporation          Other


Ownership of Business: Only a handful of participants were publicly owned or owned by foreign entities
(see actual number of companies in graph below). The vast majority (94%) were domestic, privately
owned companies.

                                       P U BL IC /FO RE IGN BU SINE SS O W NE RSHIP
              6


                                 5
              4


                       3
              2
                                                                        2

                                                 1                              1                   0         0
                                                        0
              0
                   All Companies              Industrial &             Heavy &              Specialty Trade
                                             Nonresidential            Highway

                                         Public Contractors         Foreign Contractors




      Overall Survey Results
Type of Contractor: Respondents to the survey identified the type of work performed by estimating the
percentage of annual contract revenue derived from each of the North American Industry Classification
(NAIC) codes. The NAIC codes were grouped into three major classifications: Industrial &
Nonresidential, Heavy & Highway, and Specialty Trade. Respondents were included in one of the major
classifications if at least 50% of their annual revenue was performed in that classification. The percentage
of respondents for each classification is given in the graph below.

                                            TYP E O F C O NTRAC TO R
                                               Other
                                                6%



                          Specialty                                     Industrial &
                           Trade                                       Nonresidential
                            31%                                            43%




                                   Heavy &
                                   Highw ay
                                     20%




Role of Contractor: The table below shows the percentage of general contractors, subcontractors, and
other contractors within each industry classification. Industrial & Nonresidential and Heavy & Highway
contractors are predominantly general contractors, while Specialty Trade companies tend to be
subcontractors given the nature of their work.

ROLE OF CONTRACTOR

                                      All              Industrial &     Heavy &          Specialty

                                Companies           Nonresidential      Highway            Trade



General Contractor                 60%                    89%             78%                8%

Subcontractor                      33%                     1%             18%               89%

Construction Manager                  3%                   7%              0%                0%

Other                                 4%                   3%              4%                2%

TOTAL                             100%                    100%           100%              100%




                                                                                  Overall Survey Results
Source of Work: The private sector accounts for the majority of contractor project revenues. The
exception is within the Heavy & Highway classification, which derives approximately two-thirds of
annual revenue from public sources. This is not surprising given the nature of their work (predominantly
road, bridge, and tunnel projects).

                                                  SO U RC E O F W O RK
                 100%
                                                  22%                                  28%
                  80%          33%
                                                                     64%
                  60%

                  40%                             78%                                  72%
                               67%
                  20%                                                36%

                    0%
                          All Companies     Industrial &         Heavy &           Specialty
                                           Nonresidential        Highw ay           Trade

                                               Private Sector    Public Sector




The table below details the source of public projects, as a percentage of public project contract revenue.

SOURCE OF PUBLIC SECTOR WORK

                                         All             Industrial &        Heavy &           Specialty

                                     Companies          Nonresidential       Highway            Trade



State Government                        41%                 30%                  49%             38%

Local Government                        40%                 49%                  39%             35%

Federal Government                      18%                 20%                  13%             25%

Foreign Government                       1%                     2%               0%              2%

TOTAL                                  100%                 100%                 100%           100%




      Overall Survey Results
Location of Work Performed: The following table shows the composite breakdown of the location of
work performed, as indicated by percent of annual contract revenue derived from each region. A detailed
explanation of the states that comprise each region is located in Appendix B. “Foreign” includes all
international work. A separate question required participants to indicate the headquarters of their
operations along the same regional lines.

LOCATION OF WORK PERFORMED

                                                                               Headquarters

                                       2004               2005                     2005



Midwest                                28%                30%                       32%

Northeast                               16%               15%                       16%

Southeast                               18%               18%                       15%

Far West                                16%               16%                       14%

Southwest                              12%                11%                       13%

West                                    9%                11%                       10%

Foreign                                 0%                 0%                       0%

TOTAL                                  100%               100%                     100%




Longevity of Business: Most survey participants are experienced contractors, with a large majority
having been in operation for over 20 years.

                                    L O NGE VITY O F BU SINE SS
                                         AL L C O MP ANIE S
                                              0–5 years
                                                 3% 6–10 years
                                                        5%
               More than 50 years                               11–20 years
                      37%                                          16%




                                                       21–50 years
                                                          40%




                                                                              Overall Survey Results
Majority Ownership: Overall, 17% of survey participants experienced a change in majority ownership
over the last five years. The most prevalent form of ownership change is a transition to family members
and to employees — each of which comprised 31% of all transitions. Twenty-four percent were sold to
another domestic company, and 12% went into an employee stock ownership trust.
Disadvantaged Business Enterprise: This year’s participant body included 60 companies, or 11% of
respondents, that were eligible to bid on projects as Disadvantaged Business Enterprises. Of those, 35
were Small Businesses, 13 were Minority Businesses, and 12 were Woman-Owned.
Design-Build: Fifteen percent of participants perform 40% or more of their contracts by the design-build
method. Four percent reported that 80% or more of their contracts were design-build.
Accounting Personnel: The average number of accounting personnel is influenced by both contractor
size and company type, as seen in the following graph. The largest companies generally employ a
significantly greater number of accounting personnel. Specialty Trade contractors tend to have more
accounting personnel on staff, particularly compared to other contractors under $100M in annual revenue.

                                         AVE RAGE AC C O U NTING P E RSO NNE L
                                               BY C O MP ANY RE VE NU E
              30
              25
                                         26




                                                                 26




                                                                                                       26
                                                                                                      24
              20


                                                                               21
              15
                                    16




                                                                                                 14
                                                                                    14
              10
                                                        12
                               12




                                                             9




                                                                                         8
               5
                                                                           6
                       5




                                                2




                                                                                             5
                                                                       4
                      4




                                                    3




                                                                      3




               0
                     All Companies               Industrial &          Heavy &           Specialty Trade
                                                Nonresidential         Highw ay

                               <10M           10M-25M        25M-50M   50M-100M          >100M




      Overall Survey Results
Project Managers: The average number of project managers was influenced primarily by revenue size.
The largest companies employ a significantly greater number of project management personnel.

                             AVE RAGE NU MBE R P RO JE C T MANAGE RS
                                    BY C O MP ANY RE VE NU E
             60




                                                  55
             50




                               47
             40




                                                                                    40
                                                                    37
             30
             20
             10




                                                                           15
                                             14
                          13




                                                       11




                                                                          9
                                       3




                                                        3
                         7




                                            7




                                                       6
                   5




                                                       5




                                                                         5
                   4




                                                                         6
              0
                   All Companies           4
                                       Industrial &        Heavy &       Specialty Trade
                                      Nonresidential       Highw ay

                          <10M       10M-25M   25M-50M     50M-100M      >100M




Estimators: The average number of estimators is influenced by both contractor size and company type.
Specialty Trade contractors tend to have more estimators on staff.

                                    AVE RAGE NU MBE R O F E STIMATO RS
                                          BY C O MP ANY RE VE NU E
             20

             15                                                                     19
                               16




                                                  16




                                                                    13




             10

              5
                                                                               6
                                                                               6
                                                                5
                      5
                     4




                                             4
                    3




                                            3




                                                           3
                                                           3




                                                                          3
                   2




                                       2
                                       2




                                                       2




                                                                         2




              0
                   All Companies       Industrial &        Heavy &       Specialty Trade
                                      Nonresidential       Highway

                           <10M      10M-25M   25M-50M      50M-100M     >100M




                                                                           Overall Survey Results
Open-Shop/Union Contractor: Open-shop contractors dominate the industry. The exception is within
the Specialty Trade classification, in which more than half are union contractors, as illustrated in the
graph below.

                                             P E RC E NTAGE O F O P E N-SHO P
                                              AND U NIO N C O NTRAC TO RS
             60%




                                                                                                    53%
                                               51%




                                                                      48%
                      46%




                                                                            40%




                                                                                              35%
                            36%

             30%




                                                                                  10%
                                                     23%
                                  9%




                                                           9%
                                       9%




                                                                                                          9%
                                                                17%




                                                                                                               3%
                                                                                        2%
              0%
                     All Companies             Industrial &             Heavy &              Specialty Trade
                                              Nonresidential            Highw ay
                         Open-shop contractor                           Union contractor
                         Double-breasted contractor                     Merit




Length of Contracts: Nearly two-thirds of this year’s participants indicated that their average contract
length is less than one year. Very few perform projects that extend beyond two years.

                                            AVE RAGE C O NTRAC T DU RATIO N
             80%                                                                               72%


             60%
                       62%




                                                57%




                                                                       58%




             40%
                                                      42%
                              35%




                                                                              33%




                                                                                                     28%




             20%
                                                                                        9%
                                    2%




                                                                1%




                                                                                                               0%




              0%
                     All Companies             Industrial &             Heavy &              Specialty Trade
                                              Nonresidential            Highway

                                         <12 Months         12-24 Months            >24 Months




     Overall Survey Results
Economy and Competition

Anticipated Growth in Next Year’s Volume: All contractor types had similar optimism about revenue
growth as compared to the 2004 study. Overall, 63% of participants expected revenues to go up,
compared to 58% last year. The overall expected change in revenues over the year is 11.3%. Among those
participants anticipating an increase, their average expected change is a very substantial 21.5%.

                              ANTIC IP ATE D GRO W TH IN NE XT YE AR'S VO L U ME

              100%
                              24%             24%              27%           23%
                  80%
                              12%             13%              11%           12%
                  60%

                  40%
                              63%             63%              62%           65%
                  20%

                  0%
                        All Companies     Industrial &     Heavy &      Specialty Trade
                                         Nonresidential    Highw ay

                                         Increase   Decrease    No Change



Markets with Highest Anticipated Growth: Overall market rankings did not change significantly from
last year, but Real Estate Development moved up one spot to overtake Heavy & Highway. However, in an
interesting disparity of opinion, Heavy & Highway contractors continue to expect their own fortunes to
rise faster than anticipated by other sectors.

MARKETS WITH THE HIGHEST ANTICIPATED GROWTH

(Highest growth market = 1, lowest growth market = 5)

                                        All           Industrial &      Heavy &         Specialty

                                    Companies        Nonresidential      Highway          Trade



Residential                             1                  1                1               1

Industrial & Nonresidential             2                  2                3               2

Real Estate Development                 3                  3                4               3

Heavy & Highway                         4                  4                2               4

Specialty Trade                         5                  5                5               5




                                                                            Overall Survey Results
Regional Growth: Continuing the trend from last year, anticipated regional expansion is at a several year
low, particularly among Specialty Trade companies. Even so, one-fifth of participants planned to enter a
new region in 2005.
The most highly targeted region for growth, domestically, continues to be the Southeast at 39%.
Internationally, Canada surpassed last year’s target, the Caribbean.

                                          C O MP ANIE S E NTE RING NE W GE O GRAP HIC MARKE TS

              25%

              20%                                                               23%
                                                            22%
                                           20%
              15%
                                                                                            16%
              10%

                     5%

                     0%
                                     All Companies       Industrial &       Heavy &    Specialty Trade
                                                        Nonresidential      Highway




Most plan to enter new markets by following present customers (74%), but many plan to do so by
opening a new office (19%) or through a joint venture (16%). It is noteworthy that the method of
expansion is typically correlated to company size. As illustrated in the graph below, smaller companies
pursue their present customers, while only the largest participants are contemplating opening a new office
or beginning joint ventures.

                                              RE VE NU E ($ M) C O MP ARISO N - AL L C O MP ANIE S
                                                  BY E NTRY ME THO D INTO A NE W RE GIO N

                                   $300
              Averag e Reven u e




                                                                         $257             $249
                                   $200



                                   $100          $120



                                     $0
                                           Follow Customers       Open New Office     Joint Ventures




      Overall Survey Results
Sources of Increased Competition: The competitive outlook remains identical to 2004, with a majority
of contractors expecting the most pressure from familiar competitors.

SOURCES OF INCREASED COMPETITION

(1 = greatest factor, 4 = least factor)

                                          All         Industrial &      Heavy &          Specialty

                                     Companies       Nonresidential      Highway          Trade


Existing Contractors Pursuing
                                          1                1                1                1
Growth in Your Region

Existing Contractors Entering             2                2                2                2
Your Type of Construction

New US Contractors                        3                3                3                3

Foreign Contractors                       4                4                4                4




                                                                           Overall Survey Results
Top Five Challenges in the Next Five Years: Although insurance remains a concern, sources of future
work and the shortage of trained field help continue to hold their long-time positions as the top challenges
for construction companies.

TOP FIVE CHALLENGES IN THE NEXT FIVE YEARS



Percent Selected Within Top Five

2004                                                   2005

Challenge                                     %        Challenge                                     %



Healthcare Insurance Costs                   65%       Healthcare Insurance Costs                   71%

Shortage of Trained Field Help               61%       Shortage of Trained Field Help               66%

Workers' Compensation Insurance Costs        54%       Workers' Compensation Insurance Costs        48%

General Liability Insurance Costs            54%       Sources of Future Work                       47%

Sources of Future Work                       50%       General Liability Insurance Costs            44%



Percent Selected as Number One Challenge

2004                                                   2005

Challenge                                     %        Challenge                                     %



Sources of Future Work                       22%       Shortage of Trained Field Help               27%

Shortage of Trained Field Help               20%       Sources of Future Work                       18%

Healthcare Insurance Costs                   11%       Healthcare Insurance Costs                   13%

General Liability Insurance Costs            10%       Shortage of Project Managers                 7%

Workers' Compensation Insurance Costs         9%       Workers' Compensation Insurance Costs        6%




       Overall Survey Results
Backlog: The number of contractors experiencing an increase in backlog improved significantly
compared to the 2004 study. Over half of all participants experienced backlog increase. The relative size
of backlog at year-end was also significantly improved as compared to the prior year.




                              SIZE O F BAC KL O G C O MP ARE D TO L AST YE AR

              100%
                            22%               21%              20%              25%
                80%
                                                               16%
                            23%               29%                               21%
                60%

                40%
                                                               64%
                            55%               50%                               54%
                20%

                 0%
                       All Companies     Industrial &        Heavy &      Specialty Trade
                                        Nonresidential       Highw ay

                                        Increase    Decrease     No Change




                                       BAC KL O G AT YE AR-E ND ($ M)
             $150



             $100                          $113.7

                                                              $87.9
                          $76.2
               $50


                                                                               $27.6
                $0
                      All Companies     Industrial &        Heavy &       Specialty Trade
                                       Nonresidential       Highw ay




                                                                              Overall Survey Results
Methods of Obtaining Work: Overall, competitive bid is the most common form of obtaining project
work. The exception to this is Industrial & Nonresidential contractors that obtain work through
negotiation more often.

                              ME THO DS O F O BTAINING W O RK-IN-P RO GRE SS
                                               AND BAC KL O G
           100%

             80%




                                                                    80%
             60%




                                                                                            66%
                      57%




                                                   55%
             40%




                                                                          18%
                              40%




                                             41%




                                                                                                  32%
             20%
                            2%




                                                         3%




                                                                                                             2%
                                    1%




                                                              1%




                                                                                1%
                                                                                     1%




                                                                                                        0%
              0%
                      All Companies          Industrial &              Heavy &            Specialty Trade
                                            Nonresidential             Highway

                              Competitive Bid            Negotiation      Related Parties         Other




The majority of survey participants did not experience a change in the amount of bid work performed
during the last year.


                                         C HANGE IN AMO U NT O F BID W O RK

              100%

               80%                                                                                47%
                              56%                    56%
                                                                          66%
               60%
                                                                                                  11%
               40%            12%                    12%
                                                                           8%
               20%                                                                                42%
                              33%                    32%                  25%
                 0%
                        All Companies         Industrial &             Heavy &            Specialty Trade
                                             Nonresidential            Highway

                                            Increase           Decrease         No Change




     Overall Survey Results
Strategies to Improve Future Profitability: Most participants (91%) hope to improve their profitability
through “Doing What We Do Better.” Safety and risk management continues to be the key to profitability
improvement. Many also indicated employee training and technology are further strategies they intend to
use to improve future profits.



                      STRATE GIE S TO IMP RO VE FU TU RE P RO FITABIL ITY
                                            AL L C O MP ANIE S

                  Do What We Do Better                                          91%

                      Safety / Risk Mgmt.                                60%

                                 Training                              55%

                                       IT                          48%

                             Design-Build                        39%

                           Cut Overhead                          38%

                        Related Services                    32%

                                     M&A          8%

            Invest in Unrelated Business         3%

                                   Other         5%


                                            0%        20%   40%        60%     80%     100%




                                                                               Overall Survey Results
Cash Management and Finance

Preparing a Formalized Budget: In addition to budgeting for estimating and job costing purposes, over
three-quarters (78%) of participants prepared and/or used a formalized budget.
Bank Debt: Over half of this year’s participants (55%) indicated that their bank debt is covered by
covenants. The following table lists the covenants they were subject to:



FINANCIAL RATIO COVENANTS

                                          All           Industrial &      Heavy &       Specialty

                                     Companies        Nonresidential       Highway        Trade


Have Bank Debt Covered by
                                         55%               40%               62%           72%
Covenants



Current Ratio                            20%               17%               19%           26%

Median Covenant Value                    1.2                1.1              1.3           1.2



Minimum Working Capital                  14%                9%               19%           17%



Debt to Equity                           19%               12%               26%           23%

Median Covenant Value                    2.9                3.5              2.1           2.5


Total Liability to Tangible Net
Worth                                    15%                8%               13%           26%

Median Covenant Value                    2.6                3.2              2.3           2.5



Minimum Tangible Net Worth               34%               24%               41%           41%

Minimum EBITDA                           11%                5%               17%           15%

Other                                    13%                9%               17%           13%


Minimum Tangible Net Worth was the most frequent type of covenant, at 34%. Other covenants
mentioned were debt service coverage, fixed charge coverage, and capital expenditure limitations.




     Overall Survey Results
Cash Management Techniques: Electronic forms of cash management continue to make incremental
strides against other techniques. Online banking moved up 5%; electronic payments from customers
moved up 7%; electronic bank reconciliation moved up 1%; electronic payments to vendors increased
5%; and EDI moved up 1%.

CASH MANAGEMENT TECHNIQUES

                                         All          Industrial &      Heavy &       Specialty

                                     Companies      Nonresidential      Highway         Trade



Zero Balance / Sweep Account
                                        80%              84%              82%            74%
Arrangements

On-Line Banking                         74%              77%              75%            72%

Electronic Payments from
                                        63%              68%              61%            58%
Customers

Sweep Against Line of Credit or
                                        38%              25%              39%            55%
Other Debt

Corporate Purchasing Cards              31%              30%              28%            36%

Interest-Bearing Checking Account       29%              37%              29%            20%


Electronic Bank
                                        29%              28%              37%            27%
Reconciliation/Download

Savings Accounts                        28%              30%              33%            24%

Electronic Payments to
                                        23%              19%              38%            22%
Vendors/Subs

Positive Pay                            22%              25%              16%            22%

Remote Disbursement Bank
                                        17%              16%              23%            17%
Accounts

Lockbox                                 12%              10%              12%            16%

EDI (Electronic Data Interchange)       10%               7%              8%             15%

Non-Bank Checking Accounts              3%                2%              4%             3%

Other                                   3%                4%              3%             2%




                                                                        Overall Survey Results
Availability of Credit: The majority of participants experienced no change in this regard.

                               AVAIL ABIL ITY O F C RE DIT C O MP ARE D TO L AST YE AR
               100%


                75%                                                                  50%
                                61%                                  59%
                                                72%
                50%
                                                                                           5%
                                      3%                                   3%
                                                        3%
                25%                                                                  45%
                                35%                                  38%
                                                25%
                  0%
                        All Companies       Industrial &         Heavy &        Specialty Trade
                                           Nonresidential        Highway

                                                   Better    Worse    Same




Working Capital Line of Credit: Most survey participants (93%) indicated that they have a working
capital line of credit. Almost two-thirds of those have a secured line of credit. The majority of this year’s
participants indicated that their working capital line of credit did not change during the year.

                                      W O RKING C AP ITAL L INE O F C RE DIT

               100%


                75%                                                                  57%
                                65%                                  62%
                                                75%
                50%
                                                                           1%              7%
                                      4%                3%
                25%
                                31%                                  37%             36%
                                                22%
                  0%
                        All Companies       Industrial &         Heavy &        Specialty Trade
                                           Nonresidential        Highw ay

                                       Increased     Decreased       Stayed the Same




      Overall Survey Results
Financing for Equipment Purchases: Cash continues to be the most common method of equipment
purchase financing, particularly among Industrial & Nonresidential companies.

FINANCING FOR EQUIPMENT PURCHASES

                               All         Industrial &     Heavy &           Specialty

                           Companies      Nonresidential     Highway            Trade



Current Cash Flow             54%              66%            38%               52%

Bank Installment Loans        18%              13%            25%               18%

Leasing Companies             12%              7%             13%               17%

Vendor Financing               9%              7%             17%                8%

Vendor Lease-Purchase          3%              3%              3%                2%

Related Party Lease            3%              2%              3%                2%

Brokerage Firm                 0%              0%              0%                0%

Other                          1%              2%              1%                1%

TOTAL                         100%            100%            100%              100%




                                                                     Overall Survey Results
As can be seen in the first graph below, those financing equipment purchases are choosing cash more than
loans on financing. Debt to equity is still high; however, the debt is now more balanced between short and
long term, as can be seen in the second graph below. This is an improvement compared to 2004, when the
majority of debt was long-term.

                                RATIO S BY E Q U IP ME NT FINANC ING ME THO D
                                              AL L C O MP ANIE S
              20



                         14.9
              10                                   11.8

                                             7.7
                                    5.3                                2.1     2.2        2.5    2.3

               0
                                Days of Cash                                 Debt to Equity

                          Cash       Bank Loan        Leasing Co. Loan         Vendor Financing




                                            P E RC E NTAGE O F ASSE TS
                                      BY E Q U IP ME NT FINANC ING ME THO D
              20%
                         17%




              15%
                                            15%




              10%
                                                                                           11%
                                                            10%



                                                                       9%




                                                                                                 9%
                                     9%




                                                                  8%
                               8%




               5%
                                                                                                       6%
                                                                                     4%
                                                      3%




               0%
                                Cash                      Current Debt            Long Term Debt

                           Cash           Bank Loan    Leasing Co. Loan         Vendor Financing




      Overall Survey Results
Bonding and Sureties

Percentage of Total Contract Revenue Bonded: Overall, most contractors bond less than 40% of their
revenue. In contrast, Heavy & Highway Contractors are more likely to bond over 40%, and in fact, well
over one-third of these contractors bond more than 80% of their annual contract revenues. A detailed
breakdown is provided in the table below.

PERCENTAGE OF TOTAL CONTRACT REVENUE BONDED

                                 All          Industrial &        Heavy &          Specialty

                            Companies        Nonresidential       Highway            Trade



>80%                           14%                10%               40%               2%

60–79%                          8%                10%               12%               4%

40–59%                         16%                16%               18%               15%

20–39%                         23%                25%               13%               29%

<19%                           33%                34%               14%               44%

Not Applicable                  6%                 4%               2%                6%

TOTAL                          100%              100%              100%              100%


Bonding Credit: Two-thirds of participants (67%) indicated that bonding credit remained the same over
the year. Forty-three percent of participants secure bonding credit with personal guarantees.
Percentage of Subcontractor Dollars Bonded, if a General Contractor: Among participants who bond
subcontractor dollars, most bond less than 19% of subcontractor revenues. The table below provides a
detailed breakdown of subcontractor bonding within the different industry classifications.

PERCENTAGE OF SUBCONTRACTOR DOLLARS BONDED (If a General Contractor)

                               All           Industrial &       Heavy &          Specialty

                          Companies        Nonresidential       Highway            Trade



>80%                          6%                 4%               13%               4%

60–79%                        5%                 4%               11%               1%

40–59%                        8%                10%                6%               0%

20–39%                        10%               13%                6%               6%

<19%                          40%               49%               38%               16%

Not Applicable                31%               21%               26%               73%

TOTAL                        100%               100%              100%             100%




                                                                            Overall Survey Results
Current Bonding Program: Most participants within each industry classification bond with only one
surety. About one-quarter have a standby surety, and a small percentage actively use more than one
surety.

                                             BO NDING P RO GRAM
             100%

              80%




                                                                                          79%
                                    71%
              60%




                                                      67%




                                                                       61%
              40%




                                                                                    17%
                                                                 32%
              20%




                                                26%
                                           7%
                              24%




                                                            7%
                        6%




                                                                               3%
                0%
                       All Companies       Industrial &      Heavy &         Specialty Trade
                                          Nonresidential     Highw ay

                  More Than One Surety          One Surety + One Standby       One Surety




     Overall Survey Results
Insurance

Cost of Various Types of Insurance as a Percentage of Payroll: Healthcare insurance costs, as a
percentage of total payroll costs, were the same as last year. Healthcare cost increases were experienced
by almost three-quarters of participants. However, workers compensation and general liability insurance
decreased as a percentage of total payroll costs. The table below outlines the portion of participants who
experienced changes in their insurance costs, and the average cost of insurance as measured by the
percentage of total payroll costs.

INSURANCE COSTS AS A PERCENTAGE OF PAYROLL

                                              All            Industrial &      Heavy &        Specialty

                                          Companies        Nonresidential       Highway         Trade




Healthcare - Increase                        72%                73%               78%           70%

Healthcare - Decrease                         9%                11%               7%             9%

Healthcare - Remained the Same               18%                17%               15%           21%



Average Percentage of Payroll                8.5%               7.6%             9.6%           9.0%



Workers' Comp - Increase                     42%                45%               42%           37%

Workers' Comp - Decrease                     23%                22%               22%           26%

Workers' Comp - Remained the Same            35%                32%               36%           38%




Average Percentage of Payroll                5.2%               4.5%             6.0%           5.6%



General Liability - Increase                 50%                54%               51%           43%

General Liability - Decrease                 18%                18%               15%           19%
General Liability - Remained the
                                             32%                28%               34%           38%
Same



Average Percentage of Payroll                4.0%               4.1%             4.5%           3.6%




                                                                               Overall Survey Results
Actions Taken to Control Insurance Costs: Similar to last year, construction companies have become
more proactive about controlling insurance costs. The following table summarizes actions they are taking:

ACTIONS TAKEN TO CONTROL INSURANCE COSTS

                                               All                  Industrial &             Heavy &           Specialty

                                        Companies                  Nonresidential            Highway             Trade



Aggressive Loss Control                       57%                         53%                    65%                 56%

Competitive Bids                              49%                         46%                    47%                 55%

Raised Deductible                             39%                         35%                    44%                 39%

Changed Carriers                              28%                         26%                    27%                 30%

Reduced Coverage                              11%                         11%                    8%                  10%

Changed Brokers                               11%                         9%                     11%                 12%

Other                                         6%                          5%                     8%                  7%



Workers’ Compensation: Most companies (80%) have a workers’ compensation experience modifier
within the range of 0.5 and 0.99, as seen in prior years.


                         W O RKE RS' C O MP E NSATIO N E XP E RIE NC E MO DIFIE R
            60%
                                                       51%
                                  45%




            40%
                                                                                     42%




                                                                                                         38%
                                                                                                        37%
                               35%




                                                                                   36%
                                                             33%




            20%
                                                                    10%




                                                                                                               18%
                                                                            6%



                                                                                           15%
                                                  4%
                     4%



                                        14%




                                                                                                  3%
                                                                                                  4%
                     2%




                                                 2%




                                                                           1%




             0%
                     All Companies                Industrial &                  Heavy &           Specialty Trade
                                                 Nonresidential                 Highway

                           <0.30              0.30-0.49      0.50-0.79          0.80-0.99        >1.0




      Overall Survey Results
Consistent with prior years, the typical number of claims per year falls between the 1 to 10 range.

                                NU MBE R O F W O RKE RS' C O MP E NSATIO N C L AIMS
            75%




                                                64%
            50%
                         53%




                                                                                                 45%
                                                                        43%
                                                                      33%




                                                                                              34%
            25%




                                                        12%




                                                                                            10%
                                24%
                                8%




                                                                              8%
                    7%




                                                                              7%
                                                                              7%
                                                       6%




                                                                                           6%
                                                                                           4%
                               4%




                                                      4%
                               5%




                                                                 3%
                                                      2%
                                          13%




                                                                                      1%
             0%
                     All Companies         Industrial &               Heavy &         Specialty Trade
                                          Nonresidential              Highw ay

                                None    1-10          11-25   26-50     51-100      >100




On average, most companies pay $5,000 per claim or less.

                    AVE RAGE C O ST O F E AC H W O RKE RS' C O MP E NSATIO N C L AIM
            60%



            40%
                                                                                           40%
                         36%




                                                                              35%
                                                34%




                                                                           26%




            20%
                                                                                                22%
                                          22%
                                  21%




                                                     9%
                                                    18%




                                                                 7%


                                                                        17%




                                                                                              15%
                     15%


                                14%




                                                   4%




                                                                        4%
                                 3%




                                                  13%




                                                                                             12%
                                                                      11%
                               10%




                                                                                      10%




                                                                                              1%




             0%
                     All Companies         Industrial &               Heavy &         Specialty Trade
                                          Nonresidential              Highway

                           <$500                        $500-$2,500              $2,500-$5,000
                           $5,000-$10,000               $10,000-$25,000          >$25,000




                                                                                           Overall Survey Results
Professional Consultants

Attestation of Year-End Financial Statements: The majority of companies (70%) have their financial
statements audited. Only 1% have no form of attestation.


                         ATTE STATIO N O F YE AR-E ND FINANC IAL STATE ME NTS
           100%

             80%




                                                                         82%
                                                 76%
             60%
                      70%




                                                                                                  55%
             40%




                                                                                                        41%
             20%
                            28%




                                                       24%




                                                                                                                   4%
                                                                               18%
                                  1%
                                       1%




                                                             1%




                                                                                                              1%
                                                                  0%




                                                                                     0%
                                                                                          0%
              0%
                     All Companies                Industrial &             Heavy &               Specialty Trade
                                                 Nonresidential            Highw ay

                                       Audited     Reviewed            Compiled           No Attestation


Assurance Services: As in prior years, most participants use a local or regional accounting firm with a
construction focus. Only a handful use a sole practitioner to perform their assurance services.



                         ACCOUNT ING F IRMS PROVIDING ASSURANCE
                               SERVICES - ALL COMPANIES
         60%

                                                                                          Local/Regional Firm With
                                                                                          Construction Focus

                                                                                          Local/Regional Firm With
         40%                                                                              General Focus
                       47%
                                                                                          Next Tier National Firm


                                                                                          "Big Four" Firm
         20%

                                   25%                                                    Sole Practitioner
                                            14%
                                                        10%        3%
           0%




     Overall Survey Results
Taxation

Revenue and Gross Profit Recognition: Most respondents (91%) use some form of the percentage-of-
completion method (PCM) to recognize contract revenue and gross profit for tax reporting purposes. The
following table provides a detailed breakdown of revenue and profit recognition methods.



REVENUE RECOGNITION METHOD FOR TAX REPORTING PURPOSES

                                      All            Industrial &       Heavy &         Specialty

                                  Companies         Nonresidential       Highway          Trade



PCM - >$10m Average
                                     67%                 72%               74%            62%
Annual Revenue

PCM - Simplified Cost-to-Cost        20%                 21%               16%            20%

PCM - <$10m Average
                                      4%                 2%                3%              6%
Annual Revenue

Completed Contract                    5%                 3%                4%              8%

Accrual                               2%                 1%                3%              1%

Cash                                  2%                 0%                1%              1%
Accrual Exclusive of
                                      1%                 0%                0%              2%
Retainage

Other                                 0%                 0%                0%              1%

TOTAL                                100%               100%              100%           100%



Alternative Minimum Tax and Look-Back Interest: Most participants (84%) did not have an AMT
liability for the previous year. A little over half (56%) of participants filed IRS Form 8697 (Look-Back
Interest Computation) with their last tax return. Of those, approximately half were due a refund and half
owed interest to the IRS.
IRS Examinations: One-third of participants have never been subject to an IRS examination. Of those
who have, most had their exam more than six years ago. Few exams (5%) resulted in a material increase
or decrease to their tax liability for the period examined.
Executive Compensation: Most construction company CEOs make between $100,000 and $500,000 per
annum (79%).




                                                                              Overall Survey Results
TOTAL CEO COMPENSATION

                                 All       Industrial &    Heavy &   Specialty

                              Companies   Nonresidential   Highway    Trade



Less than $100,000               4%            4%            4%        4%

$100,001–$250,000               49%           47%           46%        53%

$250,001–$500,000               30%           30%           32%        27%

$500,001–$1 Million             12%           14%           13%        10%

Over $1 Million                  5%            5%            5%        5%

TOTAL                           100%          100%          100%      100%




     Overall Survey Results
Accounting Policies and Methods
Fiscal Year End: About two-thirds of participants (65%) report earnings on a calendar year basis. Eleven
percent reported for years ending September 30, and the remainder used some other reporting period.
Supplemental Schedules to Financial Statements: The following graph illustrates the use of
supplemental schedules within industry classifications. A schedule of uncompleted contracts and percent
complete is the most common supplement.

                                SU P P L E ME NTAL SC HE DU L E S DISC L O SE D

     100%

      80%




                                                               87%
                                           85%
                    81%




                                         77%




                                                                     75%




                                                                                               75%
                                                             73%
                  69%




      60%                               69%
                  68%




                                                                                              67%
                                                                       54%




                                                                                           53%
                                     52%
               51%




      40%




                                                                                          47%
                              17%




                                                                                                         18%
                                                    15%
                                                   11%
                             10%




                                                                                   11%




                                                                                                        9%
      20%




                                                                             23%
        0%
                All Companies          Industrial &         Heavy & Highway                Specialty Trade
                                      Nonresidential

        Uncompleted C ontracts and % C omplete            SG&A Expenses
        C ompleted C ontracts                             Reconciliation of Revenues, C osts, and Profits
        Aging of Accounts Receivable                      Other



Contract Revenue Recognition: Overall, 97% of companies used the percentage-of-completion method
of accounting (either cost-to-cost, physical percent complete, or labor hours complete). There are several
acceptable methods for estimating the percentage of a project that is completed. The following graph
illustrates how survey participants are estimating project completion. The most common is to recognize
revenue as soon as costs are charged to the job (72%).

                         P E RC E NTAGE -O F-C O MP L E TIO N P RO FIT RE C O GNITIO N
      100%
                       13%                  10%                      22%                         14%
                              5%                    5%                                                   5%
        80%            9%                   11%                                6%         5%
                                                                      9%
        60%

        40%            72%                  72%                                                  75%
                                                                     63%
        20%

         0%
                  All Companies         Industrial &         Heavy & Highw ay              Specialty Trade
                                       Nonresidential

      When C osts Are C harged                            As Soon As Work Begins
      When the Ultimate Profit C an Be Estimated          When a "Base" Level of C ompletion Is Reached




                                                                                         Overall Survey Results
Treatment of Unpriced Change Orders: Most companies (70%) take a facts and circumstance approach
to recognize revenues associated with unpriced change orders. Among those who use a single policy
(30%) the most common treatment is to recognize costs, but not revenues, of an unpriced change order in
the current period (48%). The graph below details, for those who use a single policy, the various forms of
accounting for unpriced change orders within each industry classification.

                                              TRE ATME NT O F U NP RIC E D C HANGE O RDE RS
       100%


         75%




                                                                                 80%
         50%




                                                                                                              49%
                            48%




                                                               14%
                 16%




                                        14%




                                                                                       10%
                                                      34%
         25%

                                                    23%
                                                    24%




                                                                                                                     23%
                                                                                                                      5%
                                                                                                    5%
                                                                           3%
                                                                           3%
                                          3%




                                                                 3%




                                                                                         3%
                                  18%




                                                                                                                    18%
                                                    1%




                                                                                         0%
                       1%




                                                                                                         0%
         0%
                   All Companies                      Industrial &        Heavy & Highway            Specialty Trade
                                                     Nonresidential

          Deferred Until the C hange Is Settled                          Deferred Until the C hange Is Paid
          C osts Are Recognized, but not Revenues                        Revenue Is Recognized Equal to C osts
          Revenue Is Recognized in Excess of C osts                      Other



Methods of Accounting for Joint Ventures: The equity method, or some variation thereof, continues to
be the most common method of accounting for joint ventures. The following table provides a detailed
breakdown of how participants are accounting for joint ventures. This section was relevant to 25% of
participants.

METHODS OF ACCOUNTING FOR JOINT VENTURES

                                                     All              Industrial &           Heavy &            Specialty

                                                 Companies           Nonresidential          Highway                Trade



Equity                                              46%                  49%                  39%                   44%
Part Equity/Part
                                                    18%                  11%                  25%                   28%
Consolidation

Full Consolidation                                  17%                  22%                   7%                   17%
Partial or Proportionate
                                                    12%                  14%                  18%                    6%
Consolidation

Cost                                                 2%                   1%                   0%                    6%

Other                                                2%                   1%                   4%                    0%

Expanded Equity                                      2%                   1%                   7%                    0%

TOTAL                                               100%                 100%                 100%                  100%




       Overall Survey Results
Types of Contracts: Altogether, fixed-price contracts accounted for 59% of participant revenue in the
last year. Heavy & Highway contractors are much more likely than the other classifications to employ
unit price contracts. A detailed breakdown of contract type is provided below.

TYPES OF CONTRACTS

                                          All          Industrial &     Heavy &        Specialty

                                      Companies      Nonresidential      Highway         Trade



Fixed Price - Hard Bid                   39%              30%              40%           50%

Fixed Price - Negotiated                 20%              22%              10%           23%

Cost with Guaranteed Maximum             14%              28%              1%             5%

Unit Price                               10%               0%              37%            3%

Time and Materials                       8%                3%              7%            15%

Cost Plus Fee                            5%                8%              2%             2%

Construction Management                  3%                7%              1%             0%

Other                                    1%                1%              1%             1%

TOTAL                                   100%              100%            100%           100%




                                                                           Overall Survey Results
Selected Financial Data

This section of the survey analyzes the composite financial statement data and financial ratios for the 532
companies that provided complete financial information and were included as participants for the most
recent year-end. Separate sections of the survey are devoted to analysis of the composite financial
statements and ratios for each classification of contractor. This section provides insight on the industry as
a whole. Conclusions on individual industry classifications may differ, so it is advisable to also examine
the results from the section relevant to your business. It should also be noted that the number and mix of
respondents for each year’s survey affect trends in financial statement information.

Composite Balance Sheets
Liquidity remained constant in 2005. The Current and Quick Ratios were essentially unchanged for
2003 and 2004 at 1.3 and 1.2, respectively.

Leverage essentially remained constant in 2005. Debt to equity was at 2.3.

Efficiency increased in 2005. Overall, the operating cycle was shortened by almost a day in 2005 to 29.1
days.

The average asset size for participants in the 2005 survey was $33.1M. This is an increase from the
$28.2M reported in 2004.

Net Receivables are the largest single asset, accounting for 52.8% of total assets. This is a slight increase
from 2004 (51.6%).

Current liabilities increased as compared to 2004 (61.7% versus 58.3%). Noncurrent liabilities decreased
and total liabilities increased to 69.4%, from 68.4% in 2004.

Retained earnings continue to be the most prevalent form of Net Worth. Given that private companies
dominate within the participant body, this result is not surprising.

Composite Statement of Earnings
Profitability was similar to 2004. The net margin before income taxes remained constant at 1.8%.

ROA and ROE both remained consistent. ROA went from 5.3% in 2004 to 5.2% in 2005. ROE went from
17.0% in 2004 to 16.9% in 2005.

Total revenue was higher by about $13.8M in 2005. SG&A expenses decreased slightly to 6.1%, but
direct costs increased slightly to 92.2%.




      Overall Survey Results
                                                                                    All Companies
                                                                                                                Composite
Balance Sheet

                                                           2005 Participants                  2004 Participants                                                                       2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                             Amount              Percent      Amount               Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        4,818,236        14.6 %   $        3,849,489        13.7 %      Current maturity on long-term debt                $         505,428          1.5 % $           440,487          1.6 %
   Marketable securities & short-term investments               1,983,264         6.0              1,620,890         5.8        Notes payable and lines of credit                           549,390          1.7               443,402          1.6
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      12,856,421        38.9             10,741,070        38.1            Trade, including currently due
       Retainages on contracts                                  3,919,134        11.9              3,055,101        10.8                to subcontractors                                  9,779,664        29.6             7,652,838         27.2
       Unbilled work                                             337,890          1.0               205,744          0.7            Subcontracts retainages                                2,774,589         8.4             2,305,985          8.2
       Other receivables                                         419,224          1.3               595,091          2.1            Other                                                   203,446          0.6               329,351          1.2
       Less allowance for doubtful accounts                       (64,638)       (0.2)               (66,026)       (0.2)               Total accounts payable                            12,757,700        38.6            10,288,174         36.5
           Total receivables, net:                             17,468,032        52.8             14,530,981        51.6
                                                                                                                                Accrued expenses                                           2,117,744         6.4             1,655,309          5.9
   Inventories                                                   509,170          1.5               382,956          1.4        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                      4,008,261        12.1             3,202,183         11.4
       of billings on uncompleted contracts                     1,735,737         5.3              1,253,584         4.5        Income taxes:
   Investments in and advances to                                                                                                   Current                                                    47,657        0.1                41,957          0.1
       construction joint ventures                               205,853          0.6               169,703          0.6            Deferred                                                   41,700        0.1                17,825          0.1
   Income taxes:                                                                                                                Other current liabilities                                   374,427          1.1               338,654          1.2
       Current/refundable                                           22,668        0.1                  49,688        0.2                Total current liabilities                         20,402,306        61.7            16,427,990         58.3
       Deferred                                                     59,853        0.2                  99,384        0.4     Noncurrent liabilities
   Other current assets                                          705,247          2.1               694,657          2.5        Long-term debt, excluding current maturities               2,038,046         6.2             2,115,115          7.5
           Total current assets                                27,508,059        83.2             22,651,333        80.4        Deferred income taxes                                       141,937          0.4               127,457          0.5
                                                                                                                                Other                                                       354,694          1.1               592,959          2.1
Property, plant and equipment                                   9,304,496        28.2              9,631,053        34.2                Total liabilities                                 22,936,983        69.4            19,263,522         68.4
Less accumulated depreciation                                  (5,629,779)      (17.0)            (5,767,700)      (20.5)    Minority interests                                                45,041        0.1                25,657          0.1
           Property, plant and equipment, net                   3,674,716        11.1              3,863,354        13.7     Net worth:
                                                                                                                                Common stock, par value                                     332,075          1.0               332,946          1.2
Noncurrent assets:                                                                                                              Preferred stock, stated value                                  62,793        0.2                39,792          0.1
   Long-term investments                                         350,514          1.1               249,691          0.9        Additional paid-in capital                                 1,939,629         5.9             1,393,052          4.9
   Deferred income taxes                                            92,363        0.3                  83,443        0.3        Retained earnings                                          7,370,741        22.3             6,954,135         24.7
   Other assets                                                 1,427,615         4.3              1,317,149         4.7        Treasury stock                                              (506,391)       (1.5)             (411,600)        (1.5)
           Total noncurrent assets                              1,870,491         5.7              1,650,283         5.9        Excess value of marketable securities                          52,536        0.2                38,396          0.1
                                                                                                                                Other equity                                                819,859          2.5               529,071          1.9
                                                                                                                                        Total net worth                                   10,071,243        30.5             8,875,792         31.5

           Total assets                                $       33,053,266       100.0 %   $       28,164,970       100.0 %              Total liabilities and net worth           $       33,053,266       100.0 % $        28,164,970       100.0 %



Statement of Earnings                                                                                                        Financial Ratios

                                                           2005 Participants                  2004 Participants                                                                       2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                   Average       Median               Average      Median


Contract revenue                                       $       94,479,099        98.5 %   $       80,447,035        97.9 %   Liquidity Ratios
Other revenue                                                   1,479,664         1.5              1,713,217         2.1
           Total Revenue                                       95,958,762       100.0             82,160,252       100.0        Current Ratio                                                     1.3        1.4                    1.4         1.4
                                                                                                                                Quick Ratio                                                       1.2        1.2                    1.2         1.2
Contract cost                                                 (87,359,593)      (91.0)           (73,912,843)      (90.0)       Days of Cash                                                     18.1       11.2                   16.9        12.6
Other cost                                                     (1,155,465)       (1.2)            (1,558,113)       (1.9)       Working Capital Turnover                                         13.5       12.9                   13.2        12.9
           Total cost                                         (88,515,059)      (92.2)           (75,470,957)      (91.9)
                                                                                                                             Profitability Ratios
           Gross Profit                                         7,443,704         7.8              6,689,295         8.1
                                                                                                                                Return on Assets *                                                5.2 %      5.3 %                  5.3 %       4.8 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                               16.9 %     18.5 %                 17.0 %      15.7 %
   Payroll                                                     (2,853,533)       (3.0)            (2,878,137)       (3.5)       Times Interest Earned                                            14.1       11.5                   11.4         8.5
   Professional fees                                             (192,060)       (0.2)              (182,124)       (0.2)
   Sales & marketing costs                                       (227,170)       (0.2)              (177,599)       (0.2)    Leverage Ratios
   Technology costs                                              (156,413)       (0.2)              (113,352)       (0.1)
   Administrative bonuses                                        (374,451)       (0.4)              (350,325)       (0.4)       Debt to Equity                                                    2.3        2.2                    2.2         2.1
   Other                                                       (2,040,813)       (2.1)            (1,584,471)       (1.9)       Revenue to Equity                                                 9.5        9.9                    9.3         9.6
           Total SG&A expenses                                 (5,844,439)       (6.1)            (5,286,009)       (6.4)       Asset Turnover                                                    2.9        3.1                    2.9         3.1
                                                                                                                                Fixed Asset Ratio                                                36.5 %     25.3 %                 43.5 %      29.2 %
           Income from operations                               1,599,265         1.7              1,403,287         1.7        Equity to SG&A Expense                                            1.7        1.2                    1.7         1.2
                                                                                                                                Underbillings to Equity                                          20.6 %     13.4 %                 16.4 %      13.0 %
Interest income                                                  134,207          0.1               111,988          0.1        Backlog to Equity                                                 8.6        5.3                    8.5         5.5
Interest expense                                                 (130,092)       (0.1)              (144,305)       (0.2)
Other income / (expense), net                                    100,078          0.1               134,214          0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,703,457         1.8              1,505,184         1.8
                                                                                                                                Backlog to Working Capital                                       11.8        7.2                   12.9         7.4
Income tax (expense) / benefit                                   (175,569)       (0.2)              (181,944)       (0.2)       Months in Backlog                                                 7.7        6.3                    8.2         6.9
                                                                                                                                Days in Accounts Receivable                                      49.6       51.7                   49.4        50.1
           Net earnings                                $        1,527,888         1.6     $        1,323,240         1.6        Days in Inventory                                                 2.1        2.2                    1.8         2.1
                                                                                                                                Days in Accounts Payable                                         40.6       33.8                   38.1        33.8
                                                                                                                                Operating Cycle                                                  29.1       33.3                   30.0        34.8
Number of Participants
                                                                  Number                                                     * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                532                                                      net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to calculate
2004                                                                537                                                      ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                                        Overall Survey Results                         83
Selected Financial Data by Region

The composite regional financial statements are presented on the following pages. Selected financial data
from these regions and the overall composite financial data are presented in the following chart.

                                                                      REGION

All Companies                           NE           SE          MW             SW           W            FW

Number of Companies          532           85           79          172            68           52           76
Assets ($)                33,053       34,738       26,653       31,798        57,852       27,960       21,960
Liabilities ($)           22,937       24,014       18,024       21,658        41,523       18,930       15,847
Net Worth ($)             10,071       10,723        8,548       10,094        16,307        9,015        6,018
Net Worth to Assets         30.5   %     30.9   %     32.1   %     31.7   %      28.2   %     32.2   %     27.4   %
Revenues ($)              95,959       94,805       77,412       91,485       168,837       85,012       68,937
Gross Profit ($)           7,444        6,763        6,410        7,349        11,903        6,211        6,348
Gross Profit Margin          7.8   %      7.1   %      8.3   %      8.0   %       7.1   %      7.3   %      9.2   %
SG&A Expense ($)           5,844        6,124        4,803        5,537         9,582        4,569        4,839
SG&A Expense Margin          6.1   %      6.5   %      6.2   %      6.1   %       5.7   %      5.4   %      7.0   %
Net Earnings ($) *         1,703          779        1,707        1,896         2,488        1,733        1,575
Net Earnings Margin *        1.8   %      0.8   %      2.2   %      2.1   %       1.5   %      2.0   %      2.3   %
Current Ratio                1.3          1.3          1.3          1.4           1.3          1.4          1.3
Return on Assets             5.2   %      2.2   %      6.4   %      6.0   %       4.3   %      6.2   %      7.2   %
Return on Equity            16.9   %      7.3   %     20.0   %     18.8   %      15.3   %     19.2   %     26.2   %
* Before Taxes


Note: All dollar amounts are in thousands.

The level of participant overlap from year-to-year usually 60% to 70%, can impact financial results
materially. Differences seen in the financial statements between years are due in part to market influences
and individual company performance, and in part to the different makeup of the participant body each
year.

As compared to 2004, participants from the Southwest were significantly larger in terms of assets and
revenue.

Financial Performance, as measured by net earnings before income taxes, remained fairly consistent
across all regions in 2005. The exceptions were the Southeast, which experienced an increase, and the
Northeast, which experienced a decrease.

Regional performance was fairly comparable across regions.




      Overall Survey Results
                                                                                     All Companies
                                                                                                       Northeast Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        5,189,627        14.9 %   $        3,138,080        12.0 %      Current maturity on long-term debt             $        1,044,210         3.0 % $          595,474         2.3 %
   Marketable securities & short-term investments                 934,113         2.7                959,836         3.7        Notes payable and lines of credit                         600,137         1.7              614,588         2.3
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      13,141,613        37.8              9,628,845        36.7            Trade, including currently due
       Retainages on contracts                                  3,712,487        10.7              2,466,209         9.4                to subcontractors                               9,931,767        28.6            6,861,630        26.1
       Unbilled work                                              308,327         0.9                127,767         0.5            Subcontracts retainages                             2,905,496         8.4            1,019,644         3.9
       Other receivables                                          224,640         0.6                918,743         3.5            Other                                                 303,833         0.9                99,636        0.4
       Less allowance for doubtful accounts                      (107,594)       (0.3)              (117,487)       (0.4)               Total accounts payable                         13,141,096        37.8            7,980,910        30.4
           Total receivables, net:                             17,279,472        49.7             13,024,078        49.6
                                                                                                                                Accrued expenses                                        2,079,610         6.0            1,328,551         5.1
   Inventories                                                    992,363         2.9                459,377         1.8        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   3,555,846        10.2            2,941,134        11.2
       of billings on uncompleted contracts                     1,791,944         5.2              1,396,509         5.3        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 46,441        0.1                94,187        0.4
       construction joint ventures                                209,730         0.6                232,815         0.9            Deferred                                                54,265        0.2                38,799        0.1
   Income taxes:                                                                                                                Other current liabilities                                 115,813         0.3              338,293         1.3
       Current/refundable                                           27,254        0.1                  26,131        0.1                Total current liabilities                      20,637,417        59.4           13,931,935        53.1
       Deferred                                                   197,639         0.6                  99,140        0.4     Noncurrent liabilities
   Other current assets                                           743,985         2.1                588,365         2.2        Long-term debt, excluding current maturities            2,710,541         7.8            1,972,088         7.5
           Total current assets                                27,366,126        78.8             19,924,332        75.9        Deferred income taxes                                     287,902         0.8              249,132         0.9
                                                                                                                                Other                                                     377,883         1.1              632,931         2.4
Property, plant and equipment                                   9,167,489        26.4             11,527,528        43.9                Total liabilities                              24,013,743        69.1           16,786,086        64.0
Less accumulated depreciation                                  (5,471,325)      (15.8)            (7,480,334)      (28.5)    Minority interests                                               721         0.0                 2,149        0.0
           Property, plant and equipment, net                   3,696,163        10.6              4,047,194        15.4     Net worth:
                                                                                                                                Common stock, par value                                   133,795         0.4              222,024         0.8
Noncurrent assets:                                                                                                              Preferred stock, stated value                               20,285        0.1                66,738        0.3
   Long-term investments                                          881,144         2.5                351,820         1.3        Additional paid-in capital                              4,573,251        13.2            3,362,871        12.8
   Deferred income taxes                                            90,943        0.3                  32,291        0.1        Retained earnings                                       6,145,931        17.7            6,188,544        23.6
   Other assets                                                 2,703,250         7.8              1,892,271         7.2        Treasury stock                                           (405,859)       (1.2)            (412,200)       (1.6)
           Total noncurrent assets                              3,675,337        10.6              2,276,382         8.7        Excess value of marketable securities                        9,643        0.0                11,917        0.0
                                                                                                                                Other equity                                              246,116         0.7                19,780        0.1
                                                                                                                                        Total net worth                                10,723,162        30.9            9,459,673        36.0

           Total assets                                $       34,737,627       100.0 %   $       26,247,908       100.0 %              Total liabilities and net worth        $       34,737,627       100.0 % $       26,247,908       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $       93,394,134        98.5 %   $       66,609,515        98.6 %   Liquidity Ratios
Other revenue                                                   1,410,896         1.5                974,354         1.4
           Total Revenue                                       94,805,029       100.0             67,583,869       100.0        Current Ratio                                                  1.3        1.4                   1.4        1.4
                                                                                                                                Quick Ratio                                                    1.1        1.2                   1.2        1.2
Contract cost                                                 (86,884,191)      (91.6)           (60,418,682)      (89.4)       Days of Cash                                                  19.7       11.1                  16.7       11.8
Other cost                                                     (1,158,086)       (1.2)              (750,397)       (1.1)       Working Capital Turnover                                      14.1       12.0                  11.3       11.0
           Total cost                                         (88,042,277)      (92.9)           (61,169,079)      (90.5)
                                                                                                                             Profitability Ratios
           Gross Profit                                         6,762,753         7.1              6,414,791         9.5
                                                                                                                                Return on Assets *                                             2.2 %      4.4 %                 4.8 %      3.7 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                             7.3 %     15.3 %                13.3 %     12.0 %
   Payroll                                                     (3,126,625)       (3.3)            (2,736,367)       (4.0)       Times Interest Earned                                          6.0        9.5                  10.3        8.1
   Professional fees                                             (193,256)       (0.2)              (171,325)       (0.3)
   Sales & marketing costs                                       (355,981)       (0.4)              (159,492)       (0.2)    Leverage Ratios
   Technology costs                                              (212,300)       (0.2)               (86,722)       (0.1)
   Administrative bonuses                                        (384,973)       (0.4)              (301,378)       (0.4)       Debt to Equity                                                 2.2        2.5                   1.8        2.1
   Other                                                       (1,850,456)       (2.0)            (1,786,797)       (2.6)       Revenue to Equity                                              8.8        9.6                   7.1        8.4
           Total SG&A expenses                                 (6,123,591)       (6.5)            (5,242,080)       (7.8)       Asset Turnover                                                 2.7        2.9                   2.6        2.8
                                                                                                                                Fixed Asset Ratio                                             34.5 %     19.6 %                42.8 %     22.7 %
           Income from operations                                 639,161         0.7              1,172,711         1.7        Equity to SG&A Expense                                         1.8        1.4                   1.8        1.3
                                                                                                                                Underbillings to Equity                                       19.6 %     13.1 %                16.1 %     13.6 %
Interest income                                                   113,373         0.1                  55,348        0.1        Backlog to Equity                                             11.2        6.4                   8.9        4.9
Interest expense                                                 (156,519)       (0.2)              (135,534)       (0.2)
Other income / (expense), net                                     183,241         0.2                166,096         0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes              779,257         0.8              1,258,621         1.9
                                                                                                                                Backlog to Working Capital                                    15.3        9.1                  12.6        7.2
Income tax (expense) / benefit                                   (316,641)       (0.3)              (180,165)       (0.3)       Months in Backlog                                              8.6        8.0                   9.4        6.9
                                                                                                                                Days in Accounts Receivable                                   50.3       55.6                  55.6       57.8
           Net earnings                                $          462,615         0.5 %   $        1,078,456         1.6 %      Days in Inventory                                              4.1        2.8                   2.7        2.2
                                                                                                                                Days in Accounts Payable                                      41.9       38.3                  41.0       37.2
                                                                                                                                Operating Cycle                                               32.3       37.3                  34.0       39.1
Number of Participants
                                                                                                                             * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   85                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   89                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                                       Overall Survey Results
                                                                                     All Companies
                                                                                                     Southeast Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        3,386,402        12.7 %   $        3,629,709        11.5 %      Current maturity on long-term debt             $          334,667         1.3 % $          604,058         1.9 %
   Marketable securities & short-term investments               1,962,574         7.4              1,594,893         5.1        Notes payable and lines of credit                         219,896         0.8              215,126         0.7
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      11,001,051        41.3             11,861,113        37.6            Trade, including currently due
       Retainages on contracts                                  3,065,484        11.5              3,490,908        11.1                to subcontractors                               7,299,332        27.4            7,397,143        23.5
       Unbilled work                                              238,613         0.9                304,621         1.0            Subcontracts retainages                             2,155,337         8.1            2,348,515         7.4
       Other receivables                                          254,197         1.0                670,377         2.1            Other                                                   84,222        0.3              467,930         1.5
       Less allowance for doubtful accounts                       (53,901)       (0.2)               (64,289)       (0.2)               Total accounts payable                          9,538,891        35.8           10,213,588        32.4
           Total receivables, net:                             14,505,444        54.4             16,262,731        51.6
                                                                                                                                Accrued expenses                                        1,404,809         5.3            1,817,960         5.8
   Inventories                                                    372,762         1.4                414,145         1.3        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   4,571,795        17.2            4,401,052        14.0
       of billings on uncompleted contracts                     1,232,820         4.6              1,426,189         4.5        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 77,397        0.3                 6,400        0.0
       construction joint ventures                                  39,536        0.1                  88,752        0.3            Deferred                                                21,485        0.1                23,608        0.1
   Income taxes:                                                                                                                Other current liabilities                                 192,689         0.7              395,188         1.3
       Current/refundable                                           22,938        0.1                147,438         0.5                Total current liabilities                      16,361,628        61.4           17,676,980        56.0
       Deferred                                                      9,600        0.0                165,863         0.5     Noncurrent liabilities
   Other current assets                                           436,499         1.6                718,322         2.3        Long-term debt, excluding current maturities            1,188,341         4.5            3,762,398        11.9
           Total current assets                                21,968,574        82.4             24,448,042        77.5        Deferred income taxes                                     182,576         0.7              196,436         0.6
                                                                                                                                Other                                                     291,415         1.1              601,496         1.9
Property, plant and equipment                                   8,582,996        32.2             10,860,095        34.4                Total liabilities                              18,023,961        67.6           22,237,310        70.5
Less accumulated depreciation                                  (4,940,431)      (18.5)            (6,091,544)      (19.3)    Minority interests                                             81,310        0.3              112,786         0.4
           Property, plant and equipment, net                   3,642,565        13.7              4,768,551        15.1     Net worth:
                                                                                                                                Common stock, par value                                   221,664         0.8              562,702         1.8
Noncurrent assets:                                                                                                              Preferred stock, stated value                                3,147        0.0              120,199         0.4
   Long-term investments                                            94,600        0.4                516,128         1.6        Additional paid-in capital                                581,625         2.2              972,197         3.1
   Deferred income taxes                                            10,266        0.0                181,485         0.6        Retained earnings                                       5,827,312        21.9            6,224,170        19.7
   Other assets                                                   937,244         3.5              1,629,324         5.2        Treasury stock                                           (358,725)       (1.3)            (268,482)       (0.9)
           Total noncurrent assets                              1,042,111         3.9              2,326,937         7.4        Excess value of marketable securities                     196,485         0.7              118,761         0.4
                                                                                                                                Other equity                                            2,076,469         7.8            1,463,888         4.6
                                                                                                                                        Total net worth                                 8,547,979        32.1            9,193,434        29.1

           Total assets                                $       26,653,249       100.0 %   $       31,543,530       100.0 %              Total liabilities and net worth        $       26,653,249       100.0 % $       31,543,530       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $       75,512,574        97.5 %   $       90,120,843        95.8 %   Liquidity Ratios
Other revenue                                                   1,899,321         2.5              3,936,325         4.2
           Total Revenue                                       77,411,895       100.0             94,057,167       100.0        Current Ratio                                                  1.3        1.4                   1.4        1.5
                                                                                                                                Quick Ratio                                                    1.2        1.3                   1.2        1.2
Contract cost                                                 (69,760,321)      (90.1)           (83,096,583)      (88.3)       Days of Cash                                                  15.7       12.2                  13.9       14.6
Other cost                                                     (1,241,455)       (1.6)            (3,105,870)       (3.3)       Working Capital Turnover                                      13.8       12.2                  13.9       12.6
           Total cost                                         (71,001,775)      (91.7)           (86,202,453)      (91.6)
                                                                                                                             Profitability Ratios
           Gross Profit                                         6,410,120         8.3              7,854,714         8.4
                                                                                                                                Return on Assets *                                             6.4 %      5.0 %                 4.4 %      3.9 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            20.0 %     13.8 %                15.2 %     11.9 %
   Payroll                                                     (2,192,808)       (2.8)            (3,637,785)       (3.9)       Times Interest Earned                                         17.6       14.3                   7.9       13.6
   Professional fees                                             (145,509)       (0.2)              (218,773)       (0.2)
   Sales & marketing costs                                       (136,225)       (0.2)              (220,150)       (0.2)    Leverage Ratios
   Technology costs                                              (114,394)       (0.1)              (170,225)       (0.2)
   Administrative bonuses                                        (279,600)       (0.4)              (349,968)       (0.4)       Debt to Equity                                                 2.1        2.1                   2.4        1.9
   Other                                                       (1,934,543)       (2.5)            (1,928,881)       (2.1)       Revenue to Equity                                              9.1        9.5                  10.2        9.8
           Total SG&A expenses                                 (4,803,080)       (6.2)            (6,525,783)       (6.9)       Asset Turnover                                                 2.9        3.0                   3.0        3.2
                                                                                                                                Fixed Asset Ratio                                             42.6 %     24.4 %                51.9 %     29.8 %
           Income from operations                               1,607,040         2.1              1,328,931         1.4        Equity to SG&A Expense                                         1.8        1.2                   1.4        1.2
                                                                                                                                Underbillings to Equity                                       17.2 %     10.5 %                18.8 %     10.8 %
Interest income                                                   101,107         0.1                  85,287        0.1        Backlog to Equity                                              6.9        4.8                   7.9        6.6
Interest expense                                                 (102,749)       (0.1)              (201,993)       (0.2)
Other income / (expense), net                                     101,376         0.1                185,119         0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,706,774         2.2              1,397,344         1.5
                                                                                                                                Backlog to Working Capital                                    11.0        6.0                  12.7        7.7
Income tax (expense) / benefit                                   (173,383)       (0.2)              (149,322)       (0.2)       Months in Backlog                                              7.4        6.2                   8.0        7.3
                                                                                                                                Days in Accounts Receivable                                   52.1       49.4                  47.7       45.8
           Net earnings                                $        1,533,391         2.0 %   $        1,248,022         1.3 %      Days in Inventory                                              1.9        2.1                   1.7        2.1
                                                                                                                                Days in Accounts Payable                                      37.4       34.6                  32.8       31.6
                                                                                                                                Operating Cycle                                               32.3       32.4                  30.5       38.0
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   79                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   94                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                                Note: Not all figures will apear to sum due to rounding.

    Overall Survey Results
                                                                                     All Companies
                                                                                                        Midwest Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        4,540,702        14.3 %   $        3,316,183        14.5 %      Current maturity on long-term debt             $          502,694         1.6 % $          323,641         1.4 %
   Marketable securities & short-term investments                 885,294         2.8                616,357         2.7        Notes payable and lines of credit                         381,144         1.2              477,744         2.1
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      11,924,113        37.5              8,682,594        38.0            Trade, including currently due
       Retainages on contracts                                  3,648,757        11.5              2,230,856         9.8                to subcontractors                               9,475,438        29.8            5,868,544        25.7
       Unbilled work                                              509,445         1.6                107,601         0.5            Subcontracts retainages                             2,048,420         6.4            1,757,965         7.7
       Other receivables                                          488,651         1.5                408,272         1.8            Other                                                 184,122         0.6              147,056         0.6
       Less allowance for doubtful accounts                       (54,421)       (0.2)               (30,988)       (0.1)               Total accounts payable                         11,707,980        36.8            7,773,565        34.0
           Total receivables, net:                             16,516,545        51.9             11,398,335        49.9
                                                                                                                                Accrued expenses                                        2,005,042         6.3            1,528,537         6.7
   Inventories                                                    655,000         2.1                504,065         2.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   3,475,233        10.9            2,211,256         9.7
       of billings on uncompleted contracts                     1,754,277         5.5              1,127,361         4.9        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 40,392        0.1                35,680        0.2
       construction joint ventures                                198,850         0.6                160,697         0.7            Deferred                                                 6,722        0.0                 2,645        0.0
   Income taxes:                                                                                                                Other current liabilities                                 265,035         0.8              198,899         0.9
       Current/refundable                                           17,178        0.1                  20,459        0.1                Total current liabilities                      18,384,242        57.8           12,551,968        54.9
       Deferred                                                     23,829        0.1                  22,199        0.1     Noncurrent liabilities
   Other current assets                                           648,946         2.0                625,321         2.7        Long-term debt, excluding current maturities            2,820,143         8.9            2,133,241         9.3
           Total current assets                                25,240,618        79.4             17,790,977        77.8        Deferred income taxes                                       60,143        0.2                57,905        0.3
                                                                                                                                Other                                                     393,200         1.2              232,114         1.0
Property, plant and equipment                                  11,294,780        35.5              9,959,851        43.6                Total liabilities                              21,657,729        68.1           14,975,228        65.5
Less accumulated depreciation                                  (6,876,027)      (21.6)            (6,115,930)      (26.8)    Minority interests                                             46,116        0.1                 4,352        0.0
           Property, plant and equipment, net                   4,418,753        13.9              3,843,921        16.8     Net worth:
                                                                                                                                Common stock, par value                                   264,611         0.8              288,881         1.3
Noncurrent assets:                                                                                                              Preferred stock, stated value                             156,595         0.5                    0         0.0
   Long-term investments                                          434,564         1.4                109,005         0.5        Additional paid-in capital                              1,221,636         3.8              867,738         3.8
   Deferred income taxes                                            15,266        0.0                  21,795        0.1        Retained earnings                                       8,389,924        26.4            6,994,485        30.6
   Other assets                                                 1,688,390         5.3              1,091,401         4.8        Treasury stock                                           (284,170)       (0.9)            (499,364)       (2.2)
           Total noncurrent assets                              2,138,220         6.7              1,222,201         5.3        Excess value of marketable securities                       39,471        0.1                22,671        0.1
                                                                                                                                Other equity                                              305,679         1.0              203,110         0.9
                                                                                                                                        Total net worth                                10,093,747        31.7            7,877,520        34.5

           Total assets                                $       31,797,592       100.0 %   $       22,857,099       100.0 %              Total liabilities and net worth        $       31,797,592       100.0 % $       22,857,099       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $       90,349,443        98.8 %   $       65,565,281        98.7 %   Liquidity Ratios
Other revenue                                                   1,135,399         1.2                857,702         1.3
           Total Revenue                                       91,484,842       100.0             66,422,983       100.0        Current Ratio                                                  1.4        1.4                   1.4        1.4
                                                                                                                                Quick Ratio                                                    1.2        1.2                   1.2        1.2
Contract cost                                                 (83,227,572)      (91.0)           (59,339,780)      (89.3)       Days of Cash                                                  17.9        8.8                  18.0       10.0
Other cost                                                       (908,739)       (1.0)            (1,312,572)       (2.0)       Working Capital Turnover                                      13.3       12.6                  12.7       13.5
           Total cost                                         (84,136,311)      (92.0)           (60,652,352)      (91.3)
                                                                                                                             Profitability Ratios
           Gross Profit                                         7,348,531         8.0              5,770,632         8.7
                                                                                                                                Return on Assets *                                             6.0 %      5.7 %                 5.8 %      5.6 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            18.8 %     20.3 %                17.0 %     17.0 %
   Payroll                                                     (2,624,364)       (2.9)            (2,448,570)       (3.7)       Times Interest Earned                                         14.7       11.1                  12.2        7.9
   Professional fees                                             (158,875)       (0.2)              (139,927)       (0.2)
   Sales & marketing costs                                       (225,329)       (0.2)              (171,400)       (0.3)    Leverage Ratios
   Technology costs                                              (131,998)       (0.1)               (83,847)       (0.1)
   Administrative bonuses                                        (427,224)       (0.5)              (313,918)       (0.5)       Debt to Equity                                                 2.1        2.1                   1.9        2.1
   Other                                                       (1,969,257)       (2.2)            (1,314,479)       (2.0)       Revenue to Equity                                              9.1        9.9                   8.4       10.0
           Total SG&A expenses                                 (5,537,046)       (6.1)            (4,472,141)       (6.7)       Asset Turnover                                                 2.9        3.2                   2.9        3.2
                                                                                                                                Fixed Asset Ratio                                             43.8 %     28.9 %                48.8 %     37.5 %
           Income from operations                               1,811,485         2.0              1,298,491         2.0        Equity to SG&A Expense                                         1.8        1.2                   1.8        1.2
                                                                                                                                Underbillings to Equity                                       22.4 %     13.7 %                15.7 %     14.0 %
Interest income                                                     74,513        0.1                104,356         0.2        Backlog to Equity                                              8.1        4.0                   8.0        5.1
Interest expense                                                 (138,721)       (0.2)              (119,615)       (0.2)
Other income / (expense), net                                     148,963         0.2                  52,252        0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,896,240         2.1              1,335,484         2.0
                                                                                                                                Backlog to Working Capital                                     9.1        5.1                  11.0        8.1
Income tax (expense) / benefit                                   (143,515)       (0.2)               (92,582)       (0.1)       Months in Backlog                                              6.5        5.4                   7.8        6.5
                                                                                                                                Days in Accounts Receivable                                   48.6       50.9                  49.1       50.4
           Net earnings                                $        1,752,724         1.9 %   $        1,242,902         1.9 %      Days in Inventory                                              2.8        2.2                   3.0        2.4
                                                                                                                                Days in Accounts Payable                                      41.3       31.4                  35.7       33.7
                                                                                                                                Operating Cycle                                               28.0       32.5                  34.4       31.3
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                  172                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                  154                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                                       Overall Survey Results
                                                                                     All Companies
                                                                                                    Southwest Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        8,409,302        14.5 %   $        4,601,829        11.1 %      Current maturity on long-term debt             $          494,117         0.9 % $          483,201         1.2 %
   Marketable securities & short-term investments               6,980,664        12.1              6,578,589        15.8        Notes payable and lines of credit                       1,307,978         2.3              662,183         1.6
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      22,122,622        38.2             14,221,156        34.2            Trade, including currently due
       Retainages on contracts                                  7,304,396        12.6              4,688,535        11.3                to subcontractors                              17,603,064        30.4           12,454,008        30.0
       Unbilled work                                              242,625         0.4                  29,915        0.1            Subcontracts retainages                             5,770,879        10.0            3,565,107         8.6
       Other receivables                                          949,805         1.6                515,746         1.2            Other                                                 202,556         0.4              174,983         0.4
       Less allowance for doubtful accounts                       (89,499)       (0.2)              (108,835)       (0.3)               Total accounts payable                         23,576,500        40.8           16,194,097        39.0
           Total receivables, net:                             30,529,948        52.8             19,346,518        46.6
                                                                                                                                Accrued expenses                                        4,011,558         6.9            1,719,414         4.1
   Inventories                                                    286,824         0.5                440,094         1.1        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   7,430,938        12.8            4,615,653        11.1
       of billings on uncompleted contracts                     3,187,803         5.5              1,859,038         4.5        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 53,224        0.1                28,678        0.1
       construction joint ventures                                632,409         1.1                  80,436        0.2            Deferred                                              206,567         0.4                 7,368        0.0
   Income taxes:                                                                                                                Other current liabilities                               1,249,404         2.2              791,721         1.9
       Current/refundable                                           41,588        0.1                  61,891        0.1                Total current liabilities                      38,330,286        66.3           24,502,315        59.0
       Deferred                                                     43,681        0.1                  79,111        0.2     Noncurrent liabilities
   Other current assets                                         1,488,160         2.6              1,048,191         2.5        Long-term debt, excluding current maturities            2,396,653         4.1            1,872,056         4.5
           Total current assets                                51,600,378        89.2             34,095,697        82.1        Deferred income taxes                                     172,545         0.3              106,034         0.3
                                                                                                                                Other                                                     623,478         1.1            1,422,923         3.4
Property, plant and equipment                                  11,025,984        19.1             12,791,326        30.8                Total liabilities                              41,522,961        71.8           27,903,328        67.2
Less accumulated depreciation                                  (6,875,812)      (11.9)            (7,833,017)      (18.9)    Minority interests                                             21,949        0.0                 8,370        0.0
           Property, plant and equipment, net                   4,150,171         7.2              4,958,310        11.9     Net worth:
                                                                                                                                Common stock, par value                                   770,461         1.3              358,162         0.9
Noncurrent assets:                                                                                                              Preferred stock, stated value                               16,324        0.0                 5,147        0.0
   Long-term investments                                          147,130         0.3                291,159         0.7        Additional paid-in capital                              2,384,210         4.1            1,118,856         2.7
   Deferred income taxes                                          434,272         0.8                283,344         0.7        Retained earnings                                      13,062,165        22.6           11,956,271        28.8
   Other assets                                                 1,520,176         2.6              1,903,955         4.6        Treasury stock                                         (2,071,467)       (3.6)          (1,055,905)       (2.5)
           Total noncurrent assets                              2,101,578         3.6              2,478,457         6.0        Excess value of marketable securities                       46,019        0.1                63,378        0.2
                                                                                                                                Other equity                                            2,099,506         3.6            1,174,857         2.8
                                                                                                                                        Total net worth                                16,307,217        28.2           13,620,765        32.8

           Total assets                                $       57,852,127       100.0 %   $       41,532,464       100.0 %              Total liabilities and net worth        $       57,852,127       100.0 % $       41,532,464       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $      167,671,363        99.3 %   $      110,909,508        97.0 %   Liquidity Ratios
Other revenue                                                   1,165,410         0.7              3,372,222         3.0
           Total Revenue                                      168,836,773       100.0            114,281,730       100.0        Current Ratio                                                  1.3        1.3                   1.4        1.4
                                                                                                                                Quick Ratio                                                    1.2        1.2                   1.2        1.3
Contract cost                                                (155,984,964)      (92.4)          (103,300,171)      (90.4)       Days of Cash                                                  17.9       12.2                  14.5       14.9
Other cost                                                       (948,536)       (0.6)            (2,890,753)       (2.5)       Working Capital Turnover                                      12.7       15.1                  11.9       13.2
           Total cost                                        (156,933,500)      (92.9)          (106,190,925)      (92.9)
                                                                                                                             Profitability Ratios
           Gross Profit                                        11,903,273         7.1              8,090,805         7.1
                                                                                                                                Return on Assets *                                             4.3 %      4.2 %                 5.3 %      5.3 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            15.3 %     14.2 %                16.3 %     14.5 %
   Payroll                                                     (4,940,984)       (2.9)            (3,568,208)       (3.1)       Times Interest Earned                                         11.6       10.2                  13.9        7.1
   Professional fees                                             (424,722)       (0.3)              (280,551)       (0.2)
   Sales & marketing costs                                       (221,432)       (0.1)              (243,681)       (0.2)    Leverage Ratios
   Technology costs                                              (235,145)       (0.1)              (167,950)       (0.1)
   Administrative bonuses                                        (383,441)       (0.2)              (435,622)       (0.4)       Debt to Equity                                                 2.5        2.5                   2.0        1.9
   Other                                                       (3,375,959)       (2.0)            (1,622,132)       (1.4)       Revenue to Equity                                             10.4       11.3                   8.4        8.7
           Total SG&A expenses                                 (9,581,682)       (5.7)            (6,318,144)       (5.5)       Asset Turnover                                                 2.9        3.0                   2.8        3.0
                                                                                                                                Fixed Asset Ratio                                             25.4 %     23.0 %                36.4 %     25.2 %
           Income from operations                               2,321,591         1.4              1,772,661         1.6        Equity to SG&A Expense                                         1.7        1.3                   2.2        1.4
                                                                                                                                Underbillings to Equity                                       21.0 %     13.8 %                13.9 %     10.7 %
Interest income                                                   403,415         0.2                285,659         0.2        Backlog to Equity                                              8.6        5.6                   6.8        4.0
Interest expense                                                 (235,576)       (0.1)              (172,210)       (0.2)
Other income / (expense), net                                       (1,320)      (0.0)               333,925         0.3
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            2,488,110         1.5              2,220,036         1.9
                                                                                                                                Backlog to Working Capital                                    10.3        8.4                  12.8        6.3
Income tax (expense) / benefit                                   (208,050)       (0.1)               (96,439)       (0.1)       Months in Backlog                                              7.7        6.6                   6.6        6.2
                                                                                                                                Days in Accounts Receivable                                   49.0       50.4                  46.1       44.9
           Net earnings                                $        2,280,060         1.4 %   $        2,123,597         1.9 %      Days in Inventory                                              0.7        2.1                   1.5        1.3
                                                                                                                                Days in Accounts Payable                                      40.8       35.8                  42.8       33.7
                                                                                                                                Operating Cycle                                               26.7       32.8                  19.3       33.3
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   68                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   68                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                                Note: Not all figures will apear to sum due to rounding.

    Overall Survey Results
                                                                                     All Companies
                                                                                                            West Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        3,796,021        13.6 %   $        6,584,511        19.1 %      Current maturity on long-term debt             $          282,141         1.0 % $          418,345         1.2 %
   Marketable securities & short-term investments               2,681,087         9.6                580,030         1.7        Notes payable and lines of credit                         337,975         1.2              333,251         1.0
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      11,449,254        40.9             13,730,078        39.8            Trade, including currently due
       Retainages on contracts                                  2,816,181        10.1              4,405,123        12.8                to subcontractors                               8,036,225        28.7           12,259,740        35.5
       Unbilled work                                              120,232         0.4                550,054         1.6            Subcontracts retainages                             2,630,652         9.4            1,896,351         5.5
       Other receivables                                          234,980         0.8              1,158,421         3.4            Other                                                 421,304         1.5              239,070         0.7
       Less allowance for doubtful accounts                       (32,817)       (0.1)               (32,902)       (0.1)               Total accounts payable                         11,088,181        39.7           14,395,162        41.7
           Total receivables, net:                             14,587,830        52.2             19,810,774        57.4
                                                                                                                                Accrued expenses                                        1,887,045         6.7            2,516,061         7.3
   Inventories                                                    285,600         1.0                120,596         0.3        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   3,105,489        11.1            4,822,301        14.0
       of billings on uncompleted contracts                     1,383,777         4.9                873,364         2.5        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 68,679        0.2                64,433        0.2
       construction joint ventures                                158,208         0.6                661,243         1.9            Deferred                                                 2,488        0.0                27,166        0.1
   Income taxes:                                                                                                                Other current liabilities                                 428,109         1.5              145,657         0.4
       Current/refundable                                            9,753        0.0                  24,504        0.1                Total current liabilities                      17,200,106        61.5           22,722,377        65.8
       Deferred                                                   126,779         0.5                323,714         0.9     Noncurrent liabilities
   Other current assets                                           557,782         2.0              1,044,928         3.0        Long-term debt, excluding current maturities            1,288,767         4.6            1,228,118         3.6
           Total current assets                                23,586,839        84.4             30,023,663        86.9        Deferred income taxes                                     222,825         0.8              157,363         0.5
                                                                                                                                Other                                                     217,908         0.8            1,076,601         3.1
Property, plant and equipment                                   8,238,622        29.5              7,673,474        22.2                Total liabilities                              18,929,607        67.7           25,184,459        72.9
Less accumulated depreciation                                  (4,921,633)      (17.6)            (4,405,478)      (12.8)    Minority interests                                             14,841        0.1                 4,114        0.0
           Property, plant and equipment, net                   3,316,988        11.9              3,267,996         9.5     Net worth:
                                                                                                                                Common stock, par value                                   528,985         1.9              152,280         0.4
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   0         0.0                 1,634        0.0
   Long-term investments                                          276,840         1.0                136,563         0.4        Additional paid-in capital                              2,847,260        10.2            1,514,382         4.4
   Deferred income taxes                                          155,220         0.6                  19,490        0.1        Retained earnings                                       5,718,151        20.5            7,737,378        22.4
   Other assets                                                   623,871         2.2              1,088,303         3.2        Treasury stock                                           (240,294)       (0.9)            (113,092)       (0.3)
           Total noncurrent assets                              1,055,932         3.8              1,244,355         3.6        Excess value of marketable securities                       28,857        0.1                 5,206        0.0
                                                                                                                                Other equity                                              132,351         0.5                49,653        0.1
                                                                                                                                        Total net worth                                 9,015,311        32.2            9,347,441        27.1

           Total assets                                $       27,959,758       100.0 %   $       34,536,014       100.0 %              Total liabilities and net worth        $       27,959,758       100.0 % $       34,536,014       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $       83,844,806        98.6 %   $      118,224,018        99.1 %   Liquidity Ratios
Other revenue                                                   1,167,218         1.4              1,089,905         0.9
           Total Revenue                                       85,012,024       100.0            119,313,923       100.0        Current Ratio                                                  1.4        1.3                   1.3        1.3
                                                                                                                                Quick Ratio                                                    1.2        1.2                   1.2        1.2
Contract cost                                                 (78,064,965)      (91.8)          (110,720,536)      (92.8)       Days of Cash                                                  16.1        9.5                  19.9       11.5
Other cost                                                       (736,140)       (0.9)              (810,453)       (0.7)       Working Capital Turnover                                      13.3       15.4                  16.3       14.9
           Total cost                                         (78,801,105)      (92.7)          (111,530,989)      (93.5)
                                                                                                                             Profitability Ratios
           Gross Profit                                         6,210,918         7.3              7,782,934         6.5
                                                                                                                                Return on Assets *                                             6.2 %      4.1 %                 6.5 %      5.8 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            19.2 %     19.2 %                23.9 %     17.1 %
   Payroll                                                     (2,323,037)       (2.7)            (2,953,751)       (2.5)       Times Interest Earned                                         35.2       14.5                  11.7        7.9
   Professional fees                                             (162,914)       (0.2)              (210,895)       (0.2)
   Sales & marketing costs                                       (144,581)       (0.2)              (184,729)       (0.2)    Leverage Ratios
   Technology costs                                              (142,917)       (0.2)              (137,241)       (0.1)
   Administrative bonuses                                        (368,965)       (0.4)              (462,963)       (0.4)       Debt to Equity                                                 2.1        2.3                   2.7        2.6
   Other                                                       (1,427,057)       (1.7)            (1,636,925)       (1.4)       Revenue to Equity                                              9.4       11.9                  12.8       11.9
           Total SG&A expenses                                 (4,569,471)       (5.4)            (5,586,505)       (4.7)       Asset Turnover                                                 3.0        3.4                   3.5        3.6
                                                                                                                                Fixed Asset Ratio                                             36.8 %     31.2 %                35.0 %     36.1 %
           Income from operations                               1,641,447         1.9              2,196,429         1.8        Equity to SG&A Expense                                         2.0        1.2                   1.7        1.3
                                                                                                                                Underbillings to Equity                                       16.7 %     16.0 %                15.2 %     10.7 %
Interest income                                                   113,316         0.1                127,538         0.1        Backlog to Equity                                              9.3        6.9                  13.3        8.1
Interest expense                                                  (50,710)       (0.1)              (209,407)       (0.2)
Other income / (expense), net                                       29,205        0.0                121,435         0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,733,258         2.0              2,235,994         1.9
                                                                                                                                Backlog to Working Capital                                    12.7        7.7                  19.1       11.0
Income tax (expense) / benefit                                   (130,006)       (0.2)              (756,194)       (0.6)       Months in Backlog                                              8.1        7.3                   9.3        7.0
                                                                                                                                Days in Accounts Receivable                                   49.3       50.9                  44.8       47.3
           Net earnings                                $        1,603,253         1.9 %   $        1,479,800         1.2 %      Days in Inventory                                              1.3        1.4                   0.4        1.1
                                                                                                                                Days in Accounts Payable                                      38.6       37.0                  40.3       35.5
                                                                                                                                Operating Cycle                                               28.1       30.6                  24.7       25.5
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   52                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   45                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                                       Overall Survey Results
                                                                                     All Companies
                                                                                                       Far West Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        4,005,673        18.2 %   $        3,756,027        17.0 %      Current maturity on long-term debt             $          249,431         1.1 % $          290,104         1.3 %
   Marketable securities & short-term investments                 714,225         3.3                766,763         3.5        Notes payable and lines of credit                         681,815         3.1              340,105         1.5
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       9,248,016        42.1             10,046,334        45.4            Trade, including currently due
       Retainages on contracts                                  3,375,240        15.4              2,670,671        12.1                to subcontractors                               7,069,297        32.2            5,761,390        26.0
       Unbilled work                                              320,059         1.5                311,745         1.4            Subcontracts retainages                             2,332,906        10.6            3,773,741        17.1
       Other receivables                                          302,601         1.4                283,987         1.3            Other                                                 110,572         0.5              904,655         4.1
       Less allowance for doubtful accounts                       (50,409)       (0.2)               (60,951)       (0.3)               Total accounts payable                          9,512,775        43.3           10,439,786        47.2
           Total receivables, net:                             13,195,507        60.1             13,251,786        59.9
                                                                                                                                Accrued expenses                                        1,619,915         7.4            1,542,922         7.0
   Inventories                                                    132,423         0.6                147,748         0.7        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   2,690,087        12.2            1,985,185         9.0
       of billings on uncompleted contracts                     1,095,281         5.0                867,748         3.9        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 15,183        0.1                36,808        0.2
       construction joint ventures                                  41,190        0.2                  24,074        0.1            Deferred                                                 7,137        0.0                20,330        0.1
   Income taxes:                                                                                                                Other current liabilities                                 280,543         1.3              271,026         1.2
       Current/refundable                                           21,593        0.1                  23,401        0.1                Total current liabilities                      15,056,885        68.6           14,926,267        67.5
       Deferred                                                      8,192        0.0                  64,244        0.3     Noncurrent liabilities
   Other current assets                                           469,095         2.1                443,058         2.0        Long-term debt, excluding current maturities              590,957         2.7            1,098,287         5.0
           Total current assets                                19,683,180        89.6             19,344,850        87.4        Deferred income taxes                                       38,823        0.2                52,848        0.2
                                                                                                                                Other                                                     160,490         0.7              282,717         1.3
Property, plant and equipment                                   4,892,382        22.3              4,323,484        19.5                Total liabilities                              15,847,155        72.2           16,360,119        73.9
Less accumulated depreciation                                  (3,072,750)      (14.0)            (2,139,712)       (9.7)    Minority interests                                             95,798        0.4                17,932        0.1
           Property, plant and equipment, net                   1,819,633         8.3              2,183,772         9.9     Net worth:
                                                                                                                                Common stock, par value                                   294,318         1.3              349,915         1.6
Noncurrent assets:                                                                                                              Preferred stock, stated value                               44,589        0.2                42,602        0.2
   Long-term investments                                            65,223        0.3                132,474         0.6        Additional paid-in capital                              1,011,879         4.6              914,092         4.1
   Deferred income taxes                                             4,843        0.0                  15,798        0.1        Retained earnings                                       4,076,768        18.6            4,139,761        18.7
   Other assets                                                   387,582         1.8                450,831         2.0        Treasury stock                                            (56,983)       (0.3)             (61,074)       (0.3)
           Total noncurrent assets                                457,648         2.1                599,103         2.7        Excess value of marketable securities                        2,478        0.0                 4,130        0.0
                                                                                                                                Other equity                                              644,458         2.9              360,250         1.6
                                                                                                                                        Total net worth                                 6,017,507        27.4            5,749,674        26.0

           Total assets                                $       21,960,460       100.0 %   $       22,127,725       100.0 %              Total liabilities and net worth        $       21,960,460       100.0 % $       22,127,725       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $       66,542,091        96.5 %   $       67,143,348        99.1 %   Liquidity Ratios
Other revenue                                                   2,394,432         3.5                607,153         0.9
           Total Revenue                                       68,936,523       100.0             67,750,501       100.0        Current Ratio                                                  1.3        1.4                   1.3        1.4
                                                                                                                                Quick Ratio                                                    1.2        1.2                   1.2        1.2
Contract cost                                                 (60,494,526)      (87.8)           (61,582,683)      (90.9)       Days of Cash                                                  20.9       13.0                  20.0       16.4
Other cost                                                     (2,093,586)       (3.0)              (491,863)       (0.7)       Working Capital Turnover                                      14.9       11.5                  15.3       12.4
           Total cost                                         (62,588,112)      (90.8)           (62,074,546)      (91.6)
                                                                                                                             Profitability Ratios
           Gross Profit                                         6,348,411         9.2              5,675,955         8.4
                                                                                                                                Return on Assets *                                             7.2 %      8.4 %                 5.6 %      6.1 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            26.2 %     26.7 %                21.5 %     19.4 %
   Payroll                                                     (2,248,802)       (3.3)            (2,384,305)       (3.5)       Times Interest Earned                                         23.7       11.7                  16.6       11.3
   Professional fees                                             (125,985)       (0.2)              (136,453)       (0.2)
   Sales & marketing costs                                       (243,448)       (0.4)              (105,783)       (0.2)    Leverage Ratios
   Technology costs                                              (131,627)       (0.2)               (76,346)       (0.1)
   Administrative bonuses                                        (337,550)       (0.5)              (340,297)       (0.5)       Debt to Equity                                                 2.6        1.9                   2.8        1.9
   Other                                                       (1,751,456)       (2.5)            (1,426,722)       (2.1)       Revenue to Equity                                             11.5        9.3                  11.8        9.0
           Total SG&A expenses                                 (4,838,868)       (7.0)            (4,469,906)       (6.6)       Asset Turnover                                                 3.1        3.0                   3.1        3.0
                                                                                                                                Fixed Asset Ratio                                             30.2 %     25.1 %                38.0 %     25.2 %
           Income from operations                               1,509,543         2.2              1,206,049         1.8        Equity to SG&A Expense                                         1.2        1.2                   1.3        1.2
                                                                                                                                Underbillings to Equity                                       23.5 %     13.3 %                20.5 %     12.3 %
Interest income                                                   100,434         0.1                  68,503        0.1        Backlog to Equity                                              8.2        5.3                   8.7        5.8
Interest expense                                                  (69,363)       (0.1)               (79,166)       (0.1)
Other income / (expense), net                                       34,297        0.0                  42,193        0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,574,910         2.3              1,237,579         1.8
                                                                                                                                Backlog to Working Capital                                    15.4        6.4                  14.5        6.8
Income tax (expense) / benefit                                    (94,721)       (0.1)              (146,996)       (0.2)       Months in Backlog                                              9.1        6.6                   8.9        7.0
                                                                                                                                Days in Accounts Receivable                                   49.6       52.9                  54.6       50.6
           Net earnings                                $        1,480,189         2.1 %   $        1,090,584         1.6 %      Days in Inventory                                              0.8        2.1                   0.9        1.9
                                                                                                                                Days in Accounts Payable                                      41.3       29.0                  38.7       33.9
                                                                                                                                Operating Cycle                                               30.0       41.1                  36.7       40.8
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   76                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   87                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                                Note: Not all figures will apear to sum due to rounding.

       Overall Survey Results
INDUSTRIAL &
NONRESIDENTIAL CONTRACTORS




          C F M A ’s 2 0 0 5
          Construction
          Industry Annual
          Financial Survey
General Profile

        Forty-three percent of this year’s survey participants were Industrial & Nonresidential
        contractors. The NAIC codes represented in this group include commercial and institutional
        building construction (23332) and manufacturing and light industrial building (23331).

        Almost three-quarters (75%) of the participants in this classification participated in last year’s
        survey. A large majority (97%) are CFMA members.

        Most Industrial & Nonresidential contractors are privately held S corporations. This is consistent
        with prior years.

        A significant majority of Industrial & Nonresidential contractors are general contractors.

        About a quarter of Industrial & Nonresidential project revenues were derived from the public
        sector.

        Industrial & Nonresidential participants continue to hail from throughout the U.S.

        Ninety-six percent of this year’s Industrial & Nonresidential participants have over 11 years of
        tenure in the industry.

        Eleven percent of Industrial & Nonresidential contractors have experienced a change in
        ownership in the last five years.

        Half of those companies eligible to bid on projects as Disadvantaged Business Enterprises within
        this classification do so as Small Business Enterprises.

For a complete breakdown of survey answers, please see Appendix A.

                                         L E GAL FO RM O F BU SINE SS
                                      INDU STRIAL & NO NRE SIDE NTIAL
              80%
                                                                                          67%




              60%
                                                                             61%
                                                              60%
                               59%




                                                60%




              40%
                         36%




                                        31%




                                                       30%




                                                                       28%




              20%
                                                                                    23%




                0%
                          2001           2002           2003            2004         2005

                                              C corporation     S corporation




      Industrial & Nonresidential Contractors
                  O W NE RSHIP O F BU SINE SS

All C o mp a n ie s                  In d u s t ria l & No n re s id e n t ia l

     4%      1%                                       3%      0%
                                              0%
1%




                      94%
                                                          96%
             Private    Public   Employee       Other




                       TYP E O F C O NTRAC TO R
                             Other
                              6%



      Specialty                                        Industrial &
          Trade                                       Nonresidential
           31%                                              43%




                  Heavy &
                  Highw ay
                    20%




                                               Industrial & Nonresidential Contractors
                                       RO L E O F C O NTRAC TO R

                 All C o mp a n ie s                       In d u s t ria l & No n re s id e n t ia l
                      6%                                                 9%
                                                                 1%




       33%

                                            60%

                                                                                           89%


                           General Contractor       Subcontractor         Other




                                         SO U RC E O F W O RK
                                  INDU STRIAL & NO NRE SIDE NTIAL

           100%
                        22%              24%         28%               25%               22%
            80%

            60%

            40%         78%              76%                           75%               78%
                                                     72%

            20%

              0%
                        2001             2002        2003              2004             2005

                                                 Private     Public




Industrial & Nonresidential Contractors
                   L O C ATIO N O F W O RK BY RE GIO N
                   INDU STRIAL & NO NRE SIDE NTIAL

35%
30%




                                     28%
25%




                                           28%
20%




                   20%

                         18%
15%




                                                     16%
             16%
       14%




                                                                                          13%
                                                           13%
10%




                                                                                    12%
                                                                       10%
                                                                             12%
5%
0%
      Northeast Southeast           Midw est       Southwest           West        Far West

                          2004              2005           Headquarters




                       L O NGE VITY O F BU SINE SS
                    INDU STRIAL & NO NRE SIDE NTIAL
50%

40%
                                                                       42%
                                                                 40%




                                                                                          38%
30%
                                                                                   30%
20%
                                             23%
                               4%
                         4%




                                                   16%
             1%
       3%




10%

0%
       0-5 Years    6-10 Years             11-20 Years       21-50 Years           Over 50
                                                                                    Years


                          2004              2005           All Companies




                                                           Industrial & Nonresidential Contractors
                                                   MAJO RITY O W NE RSHIP C HANGE S

                          All C o mp a n ie s                                               In d u s t ria l & No n re s id e n t ia l
                                                             17%                                                    11%




           83%                                                                              89%


                          Majority Ow nership Changed Within the Last Five Years
                          No Change in Majority Ownership Within the Last Five Years




                                 ME THO DS O F C HANGING MAJO RITY O W NE RSHIP
      50%
                          48%




      40%
                                        38%




      30%
                31%



                                     31%




      20%
                                                              24%




                                                                                  5%




      10%
                                                                            12%



                                                                                         1%



                                                                                                         1%
                                                           10%




                                                                                         0%



                                                                                                         0%


                                                                                                                      0%
                                                                                                                      0%


                                                                                                                             0%
                                                                                                                             0%
        0%
                                                                                                         Bankruptcy



                                                                                                                      IPO
                                                          Domestic




                                                                             ESOP
               Employee




                                                                                                                               Other
                                                                                        Foreign
                                   Transfer to




                                                                                                  Sale
                                                 Family



                                                                     Sale
                          Sale




                                                      All Companies                 Industrial & Nonresidential




Industrial & Nonresidential Contractors
                    DISADVANTAGE D BU SINE SS E NTE RP RISE S
                         INDU STRIAL & NO NRE SIDE NTIAL
                       (Bre a kd o w n O f Th o s e Th a t Q u a lify)
 60%



                                                                    50%
 40%



                                            29%
 20%
                    21%


     0%
              Minority Business       Woman-Owned              Small Business
                 Enterprise         Business Enterprise          Enterprise




                       AVE RAGE AC C O U NTING P E RSO NNE L
                             BY C O MP ANY RE VE NU E
30

25                                                                       26 26
20

15
                                                         16
10                                        12 12
                                                              9
 5
          5     2
                           4   3
 0
          <10M            10M-25M        25M-50M       50M-100M          >100M


                       All Companies     Industrial & Nonresidential




                                                     Industrial & Nonresidential Contractors
Economy and Competition

A majority of Industrial & Nonresidential contractors expect increased sales volume in 2005. The average
expected growth in percentage terms is somewhat higher than the average for all companies at 13.4%.
(The average company expects revenues to grow at 11.3%.)

Industrial & Nonresidential contractors ranked their niche second behind Residential for highest
anticipated growth in the coming year.

The percentage of Industrial & Nonresidential contractors anticipating entering a new region is higher
than the overall average at 22%. Relatively similar to the average, growth is primarily anticipated in the
Northwest, Midwest, and West. Twelve percent also plan on entering Canada.

Existing contractors pursuing growth and/or aggressive marketing remains the largest perceived
competitive threat to Industrial & Nonresidential contractors.

A shortage of trained field help has replaced sources of future work as the most frequently cited, number
one challenge.

Seventy-one percent of Industrial & Nonresidential contractors expected backlog to increase or remain
the same over 2005.

Industrial & Nonresidential contractors continue to rely more on negotiation to obtain new projects as
compared to the rest of the industry.

                     ANTIC IP ATE D GRO W TH IN NE XT YE AR'S SAL E S VO L U ME
                                 INDU STRIAL & NO NRE SIDE NTIAL

                              2004                                       2005

                                                                 24%
                   22%




               17%                              61%        13%                            63%




                                     Increase   Decrease    No Change




      Industrial & Nonresidential Contractors
MARKETS WITH THE HIGHEST ANTICIPATED GROWTH

(Highest growth market = 1, lowest growth market = 5)

                                    Industrial &      Industrial &              All

                                Nonresidential       Nonresidential        Companies

                                       2004               2005                2005



Residential                                1               1                    1

Industrial & Nonresidential                2               2                    2

Real Estate Development                    4               3                    3

Heavy & Highway                            3               4                    4

Specialty Trade                            5               5                    5




                        C O MP ANIE S E NTE RING NE W GE O GRAP HIC RE GIO NS

              30%



              20%                                                               22%
                              21%                                  20%
                                           18%

              10%



              0%
                                    2004                                 2005

                                All Companies      Industrial & Nonresidential




                                                               Industrial & Nonresidential Contractors
                                 ARE AS O F RE GIO NAL GRO W TH
                                INDU STRIAL & NO NRE SIDE NTIAL
50%


40%


30%




                                                                    34%
            32%




                                        32%
                         26%
20%




                                                                                           24%
                                                    22%
10%




                                                                                12%
 0%
         Northeast Southeast          Midw est   Southw est     West       Far West      Foreign




                          SO U RC E S O F INC RE ASE D C O MP E TITIO N
                              INDU STRIAL & NO NRE SIDE NTIAL
 100%

                  74%                                         77%
  75%


  50%


  25%
                        10%            8%     7%                     13%          10%
                               1%                                          0%           *N/A
    0%
                               2004                                        2005
  Existing C ontractors Pursuing Growth               New C ontractors in Your Type of C onstruction
  Foreign C ontractors                                New C ontractors in Your Region
  Other

* N/A: Other was not included as an option in 2005.




Industrial & Nonresidential Contractors
TOP FIVE CHALLENGES IN THE NEXT FIVE YEARS



Percent Selected Within Top Five

2004                                                 2005

Challenge                                      %     Challenge                                          %



Healthcare Insurance Costs                     67%   Healthcare Insurance Costs                         72%

General Liability Insurance Costs              59%   Shortage of Trained Field Help                     62%

Shortage of Trained Field Help                 56%   Sources of Future Work                             52%

Sources of Future Work                         52%   General Liability Insurance Costs                  45%

Workers' Compensation Insurance Costs          50%   Shortage of Project Managers                       44%



Percent Selected as Number One Challenge

2004                                                 2005

Challenge                                      %     Challenge                                          %



Sources of Future Work                         24%   Shortage of Trained Field Help                     22%

Shortage of Trained Field Help                 17%   Sources of Future Work                             20%

Healthcare Insurance Costs                     13%   Healthcare Insurance Costs                         17%

General Liability Insurance Costs              12%   Surety Bonds                                       7%

Surety Bonds                                   7%    Shortage of Project Managers                       7%

                         SIZE O F BAC KL O G C O MP ARE D TO L AST YE AR

                      All C o mp a n ie s                  In d u s t ria l & No n re s id e n t ia l

                                                                 21%
                 22%


                                               55%                                               50%




               23%
                                                            29%



                                    Increase    Decrease    No Change




                                                               Industrial & Nonresidential Contractors
                                   BAC KL O G AT YE AR-E ND ($ M)
     $120

     $100                                 $113.7
      $80
                                                             $87.9
      $60          $76.2
      $40

      $20                                                                        $27.6
       $0
              All Companies         Industrial &            Heavy &        Specialty Trade
                                   Nonresidential           Highw ay




                      ME THO DS O F O BTAINING W O RK-IN-P RO GRE SS
                                       AND BAC KL O G
      80%


      60%
                 57%                         55%
      40%
                       41%            40%

      20%

                                                           2% 3%             1% 1%
       0%
              Competitive Bid       Negotiation         Related Parties          Other

                             All Companies         Industrial & Nonresidential




Industrial & Nonresidential Contractors
            STRATE GIE S TO IMP RO VE FU TU RE P RO FITABIL ITY


                                                                                  93%
     Do What We Do Better
                                                                                 91%
                                                             52%
                  Risk Mgmt                                     60%

                                                               56%
                    Training
                                                               55%

                                                            49%
                          IT
                                                            48%
                                                         44%
                Design-Build
                                                      39%
                                                      37%
              C ut Overhead
                                                      38%

                                                 30%
            Related Services                      32%

                                    6%
                       M&A           8%

                                    4%
Invest in Unrelated Business        3%

                                    4%
                      Other          5%


                               0%            25%         50%          75%         100%
                  All Companies           Industrial & Nonresidential



                        C HANGE IN AMO U NT O F BID W O RK
    100%

     80%
                           56%                                     56%
     60%

     40%                   12%                                     12%

     20%                   33%                                     32%

       0%
                      All Companies                   Industrial & Nonresidential

                               Increase       Decrease      No Change




                                                         Industrial & Nonresidential Contractors
Cash Management and Finance

Eighty-four percent of Industrial & Nonresidential contractors prepare and/or use a formalized budget for
purposes other than job cost estimates.

The majority of Industrial & Nonresidential contractors use zero-balance arrangements, online banking,
and electronic payments to manage their cash.

Credit availability for Industrial & Nonresidential contractors was slightly improved when compared to
the previous year.

The working capital line of credit remained constant for most companies over the year.

Current cash flow remains the most common source of financing for equipment purchases among
Industrial & Nonresidential contractors. It is noteworthy that the number of participants using current
cash flow increased by 11% from the previous year.


                                               C ASH MANAGE ME NT TE C HNIQ U E S
     100%


      75%
                          84%
               80%




                                      77%
                                74%




                                                   68%
                                             63%




      50%
                                                         38%




      25%
                                                                                             37%
                                                                           31%




                                                                                                                          30%
                                                                                       29%



                                                                                                     29%
                                                                                 30%




                                                                                                                    28%
                                                                                                           28%




                                                                                                                                 23%
                                                                 25%




                                                                                                                                       19%
        0%
                                Banking




                                                                                       Accounts




                                                                                                                    Accounts
                                                                                       Checking
                                            Payments




                                                                                                                                Payments
                                            Electronic
                                            Customer




                                                                          Purchasing
                                                         Line of Credit




                                                                                                   Reconciliation

                                                                                                                     Savings



                                                                                                                                 Elecronic
                 Zero Balance




                                                                          Corporate
                                 Online




                                                                                                                                  Vendor
                                                                                                     Electronic
                                                                            Cards
                                                            Sweep




                                                                                                       Bank




                                                   All Companies            Industrial & Nonresidential




      Industrial & Nonresidential Contractors
           RATIO S BY E Q U IP ME NT FINANC ING ME THO D
                INDU STRIAL & NO NRE SIDE NTIAL
 20
        19.0

                      14.5
 10                           12.1


                6.6
                                                              5.0
                                               3.0     3.6            2.3
  0
               Days of Cash                          Debt to Equity

        Cash     Bank Loan      Leasing Co. Loan       Vendor Financing




      AVAIL ABIL ITY O F BANK C RE DIT C O MP ARE D TO L AST YE AR
80%

                                                                      72%
60%
                                                               61%

40%

        35%
20%
                25%
                                     3%   3%
0%
           Better                     Worse                  About the Same

                  All Companies      Industrial & Nonresidential




                                                Industrial & Nonresidential Contractors
                                W O RKING C AP ITAL L INE O F C RE DIT
                                  INDU STRIAL & NO NRE SIDE NTIAL
           100%


            80%

            60%                                                   75%
                                   81%

            40%

                                                                         3%
            20%
                                           2%
                                   17%                            22%
              0%
                                  2004                            2005

                             Increased    Decreased     Remained the Same




                       FINANC ING FO R E Q U IP ME NT P U RC HASE S
                           INDU STRIAL & NO NRE SIDE NTIAL
                       2004                                       2005
                       5%                                    8%
                                                        7%
              13%

                                                      7%

        11%
                                          55%     13%

                                                                               66%
            15%


                    Current Cash Flow                 Bank Installment Loans
                    Leasing Companies                 Vendor Financing
                    Other




Industrial & Nonresidential Contractors
Bonding and Sureties

A majority of Industrial & Nonresidential contractors bond less than 40% of their work.

The majority of Industrial & Nonresidential contractors bond less than 20% of subcontractor dollars.

Most (71%) of Industrial & Nonresidential participants indicated that bonding credit availability is about
the same as the prior year.


                              P E RC E NTAGE O F C O NTRAC T RE VE NU E BO NDE D
           50%
                       39%
                             39%




           25%
                                                25%
                                          23%




                                                                    16%
                                                              16%




                                                                                                    14%
                                                                                      10%




                                                                                                          10%
             0%                                                                  8%
                       <19%               20-39%             40-59%             60-79%              >80%

                                      All Companies          Industrial & Nonresidential




                     P E RC E NTAGE O F SU BC O NTRAC TO R DO L L ARS BO NDE D
                                          (If a Ge n e ra l C o n t ra ct o r)

                        All C o mp a n ie s                           In d u s t ria l & No n re s id e n t ia l

                       5%
                              6%                                                   4% 4%
                                                                          10%
                  8%


              10%                                                    13%




                                                      71%                                                  70%



                                   <19%   20-39%            40-59%        60-79%       >80%




                                                                           Industrial & Nonresidential Contractors
                           AVAIL ABIL ITY O F BO NDING C RE DIT
                            INDU STRIAL & NO NRE SIDE NTIAL

                                                        18%




                                                              11%




                              71%



                               Better     Worse   About the Same




Industrial & Nonresidential Contractors
Insurance

The majority of Industrial & Nonresidential contractors experienced an increase in insurance costs over
the year. Healthcare insurance increased for 73%; workers’ compensation increased for 45%; and general
liability increased for 54% of Industrial & Nonresidential contractors.

Industrial & Nonresidential contractors reported that healthcare insurance costs were 7.6% of payroll,
workers’ compensation costs were 4.5% of payroll; and general insurance costs were 4.1% of payroll.

A majority of Industrial & Nonresidential contractors (77%) file between 0 and 10 workers’
compensation claims per year. The average cost is less than $5,000 per claim.


Professional Consultants

The majority of Industrial & Nonresidential contractors (76%) have their year-end financial statements
audited by a professional. This is slightly higher than for all companies.

Most Industrial & Nonresidential contractors use a regional accounting firm, but those regional
accounting firms with a construction focus were more likely to be used (49%) than those with a general
focus (26%.)



                               YE AR-E ND FINANC IAL STATE ME NTS
                                INDU STRIAL & NO NRE SIDE NTIAL
                                            Compiled
                                              1%
                             Review ed
                               24%




                                                             Audited
                                                              76%




                                                             Industrial & Nonresidential Contractors
Taxation

Industrial & Nonresidential contractors use the percentage-of-completion method of revenue and profit
recognition almost exclusively (95%).

Most (88%) did not have an alternative minimum tax (AMT) liability last year.

Sixty-two percent of the Industrial & Nonresidential participants filed IRS Form 8697 for the prior tax
year. Of those who filed, about half owed interest to the IRS.

About two-thirds of Industrial & Nonresidential contractors have had an IRS examination. Most
experienced an immaterial or no change, although 2% experienced a material increase as a result of the
examination.

A large majority (81%) of Industrial & Nonresidential CEOs make $500,000 or less per year.


                                  RE VE NU E RE C O GNITIO N ME THO D

                       All C o mp a n ie s                   In d u s t ria l & No n re s id e n t ia l

                        5% 4%                                                3% 2%
                   4%                                                 2%

                                                             21%

             20%



                                                67%
                                                                                                  72%


                   PCM - Section 460           PCM - "Simplified"       PCM - Elected
                   Completed Contract          Other Methods




     Industrial & Nonresidential Contractors
                           AMT TAX L IABIL ITY L AST YE AR

           All C o mp a n ie s                 In d u s t ria l & No n re s id e n t ia l
               Yes                                             Yes
               8%                             Don't Know       6%
Don't Know
                                                 6%
   8%




                                                                                  No
                               No
                                                                                 88%
                              84%




              FIL E D L O O K-BAC K INTE RE ST C O MP U TATIO N

           All C o mp a n ie s                 In d u s t ria l & No n re s id e n t ia l
              7%                                                5%

                                    29%
                                                                                     32%


                                              33%
 36%




                                 27%
                                                                             30%
       Yes, for an Interest Refund           Yes, with Interest Due to the IRS
       No, I Didn't File                     Not Applicable




                                                    Industrial & Nonresidential Contractors
                               L AST IRS INC O ME TAX E XAM
                             INDU STRIAL & NO NRE SIDE NTIAL


                                                             Never
                 Over 6 Years
                                                             36%
                     Ago
                    41%



                                                                Currently
                                                                  3%

                                                               Within Past
                           4-6 Years Ago                          Year
                                12%          1-3 Years Ago         4%
                                                  5%




                          RE SU L TS O F L AST IRS INC O ME E XAM
                            INDU STRIAL & NO NRE SIDE NTIAL

                                           Material
                        Immaterial                            Material
                                          Decrease
                         Decrease                            Increase
                                            1%
                           3%                                   2%




                                                             Immaterial
                   No Change                                  Increase
                      46%                                       48%




Industrial & Nonresidential Contractors
                   TO TAL C O MP E NSATIO N - C E O

      All C o mp a n ie s               In d u s t ria l & No n re s id e n t ia l
           5%     4%                                     5%       4%
  12%                                         14%




                                                                               47%
                              49%


30%
                                           30%



      <$100,000                           $100,000-$250,000
      $250,000-$500,000                   $500,000-$1,000,000
      >$1,000,000




                                            Industrial & Nonresidential Contractors
Accounting Policies and Methods

The majority of Industrial & Nonresidential contractors report earnings on a calendar-year basis.

The vast majority (98%) of Industrial & Nonresidential contractors use some form of the percentage
completion method for revenue recognition. The majority estimate the percentage completion based on
when costs are charged to the job.


Industrial & Nonresidential contractors typically employ fixed-price contracts. However, they are more
likely than other industry classifications to use a cost with guaranteed maximum contract.

                                     C O RP O RATE FISC AL YE AR-E ND

                        All C o mp a n ie s                         In d u s t ria l & No n re s id e n t ia l


                 24%
                                                                     27%




             11%
                                                                    10%
                                                    65%                                                    63%




                                              Dec 31      Sept 30     Other




                                  C O NTRAC T RE VE NU E RE C O GNITIO N

                        All C o mp a n ie s                          In d u s t ria l & No n re s id e n t ia l
                           2% 3%                                                    1% 1%
                       7%                                                      7%




                                              88%                                                   90%

                   PC M (C ost-to-C ost)                     PC M (Physical Percent C omplete)
                   PC M (Labor Hours or Dollars)             Other




      Industrial & Nonresidential Contractors
           P E RC E NTAGE -O F-C O MP L E TIO N P RO FIT RE C O GNITIO N P RO C E SS

100%
                          13%                                     10%
                                       5%                                      5%
 80%                       9%                                     12%

 60%

 40%                      73%                                     73%

 20%

  0%
                      All Companies                   Industrial & Nonresidential
When C osts Are C harged                      When Work Begins
When the Ultimate Profit C an Be Estimated    When a Base Level of C ompletion is Reached




                              U NP RIC E D C HANGE O RDE R C O ST
                              INDU STRIAL & NO NRE SIDE NTIAL
 100%
               11%              12%           13%             15%              13%
   80%         26%
                                35%           38%             36%              35%
   60%

               38%              19%                           14%              15%
   40%                                        19%

   20%                          34%                           35%              37%
               25%                            30%

    0%
               2001             2002          2003            2004             2005
Deferred Until the C hange Order Is Priced    Recognized in the C urrent Accounting Period
C osts Are Recognized, Not Revenues           Other/Not Applicable




                                                     Industrial & Nonresidential Contractors
                                     ME THO DS FO R AC C O U NTING FO R JO INT VE NTU RE S
                                (2 5 P e rce n t o f All P a rt icip a n t s Acco u n t Fo r Jo in t Ve n t u re s )

                     Equity                                                                        49%
                                                                                                46%
                                                 11%
     Partial Consolidation                                  18%
        Full Consolidation                                    22%
                                                            17%
                                                   14%
    Equity/ Consolidation
                                                  12%
                                     1%
                     Other            2%
                                     1%
                         Cost         2%
                                     1%
                Expanded             2%

                                0%                       20%                        40%                         60%

                                               All Companies        Industrial & Nonresidential




TYPES OF CONTRACTS                               Industrial &                 Industrial &                All

                                                Nonresidential              Nonresidential           Companies

                                                     2004                         2005                   2005



Fixed Price - Hard Bid                                31%                         30%                    39%

Fixed Price - Negotiated                              26%                         22%                    20%

Cost With Guaranteed Maximum                          26%                         28%                    14%

Unit Price                                             0%                          0%                    10%

Time and Materials                                    3%                           3%                     8%

Cost Plus Fee                                         8%                           8%                     5%

Construction Management                               5%                           7%                     3%

Other                                                  1%                          1%                     1%

TOTAL                                                100%                        100%                   100%




     Industrial & Nonresidential Contractors
   AVE RAGE C O NTRAC T DU RATIO N
  INDU STRIAL & NO NRE SIDE NTIAL
                1%




 42%


                                 57%




<12 months   12-24 months   >24 months




                            Industrial & Nonresidential Contractors
Selected Financial Data
                                                                   All Industrial &
All Companies                                                       Nonresidential


Number of Companies                               532                          227
Assets ($)                                      33,053                     41,193
Liabilities ($)                                 22,937                     31,511
Net Worth ($)                                   10,071                      9,633
Net Worth to Assets                               30.5 %                      23.4 %
Revenues ($)                                    95,959                    133,314
Gross Profit ($)                                 7,444                      7,111
Gross Profit Margin                                7.8 %                       5.3 %
SG&A Expense ($)                                 5,844                      5,763
SG&A Expense Margin                                6.1 %                       4.3 %
Net Earnings ($) *                               1,703                      1,615
Net Earnings Margin *                              1.8 %                       1.2 %
Current Ratio                                      1.3                         1.2
Return on Assets                                   5.2 %                       3.9 %
Return on Equity                                  16.9 %                      16.8 %
* Before Taxes


Note: All dollar amounts are in thousands.

The level of participant overlap from year-to-year, usually around 60% to 70%, can impact financial
results materially. Differences seen in the financial statements between years are due in part to market
influences and individual company performance, as well as in part to the different makeup of the
participant body each year.
Liquidity remained virtually constant in 2005. The current and quick ratios decreased slightly, but days
of cash increased from 17.1 to 19.7 days.
Profitability decreased in 2005. Income from operations went down from 1.2% to 1.0% due to an
increase in direct costs as a percentage of revenue. ROA declined from 4.6% to 3.9%, and ROE declined
from 19.4 to 16.8%.
Leverage increased slightly in 2005. Debt to equity was slightly higher, but the fixed asset ratio
decreased by 5.5% points to 20.2%.
Efficiency increased in 2005. The operating cycle extended by 1.8 days.
Backlog decreased in 2005. The average months in backlog went from 9.9 in 2004 to 8.6 in 2005.
The average total assets reported in the Industrial & Nonresidential sector was higher in 2005 at $41.2M,
compared to $31.6M in 2004.
The average total revenue reported was also higher at $133.3M in 2005 versus $105.5M in 2004.




      Industrial & Nonresidential Contractors
           Industrial & Nonresidential Contractors
                                                                                                                Composite
Balance Sheet

                                                           2005 Participants                  2004 Participants                                                                       2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                             Amount              Percent      Amount               Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        7,286,579        17.7 %   $        5,014,225        15.8 %      Current maturity on long-term debt                $         192,110          0.5 % $           127,990          0.4 %
   Marketable securities & short-term investments               3,748,113         9.1              2,967,402         9.4        Notes payable and lines of credit                           216,248          0.5               343,526          1.1
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      17,039,458        41.4             13,401,900        42.4            Trade, including currently due
       Retainages on contracts                                  5,739,338        13.9              4,195,891        13.3                to subcontractors                                 15,924,529        38.7            11,983,271         37.9
       Unbilled work                                             231,244          0.6               236,799          0.7            Subcontracts retainages                                5,716,494        13.9             4,257,346         13.5
       Other receivables                                         564,447          1.4               402,981          1.3            Other                                                   174,023          0.4               363,707          1.1
       Less allowance for doubtful accounts                       (37,123)       (0.1)               (32,639)       (0.1)               Total accounts payable                            21,815,045        53.0            16,604,324         52.5
           Total receivables, net:                             23,537,363        57.1             18,204,933        57.5
                                                                                                                                Accrued expenses                                           2,367,884         5.7             1,631,804          5.2
   Inventories                                                      62,318        0.2                  97,349        0.3        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                      5,128,250        12.4             3,530,668         11.2
       of billings on uncompleted contracts                     1,771,079         4.3              1,177,625         3.7        Income taxes:
   Investments in and advances to                                                                                                   Current                                                    27,894        0.1                36,395          0.1
       construction joint ventures                               267,770          0.7               145,483          0.5            Deferred                                                   70,298        0.2                13,661          0.0
   Income taxes:                                                                                                                Other current liabilities                                   403,782          1.0               437,455          1.4
       Current/refundable                                           24,682        0.1                  66,405        0.2                Total current liabilities                         30,221,513        73.4            22,725,822         71.8
       Deferred                                                     62,432        0.2               102,552          0.3     Noncurrent liabilities
   Other current assets                                          848,258          2.1               758,827          2.4        Long-term debt, excluding current maturities                840,236          2.0               850,318          2.7
           Total current assets                                37,608,594        91.3             28,534,801        90.2        Deferred income taxes                                          35,588        0.1                28,122          0.1
                                                                                                                                Other                                                       413,410          1.0               564,738          1.8
Property, plant and equipment                                   5,129,943        12.5              4,556,042        14.4                Total liabilities                                 31,510,746        76.5            24,169,000         76.4
Less accumulated depreciation                                  (3,184,441)       (7.7)            (2,639,877)       (8.3)    Minority interests                                                49,308        0.1                28,270          0.1
           Property, plant and equipment, net                   1,945,503         4.7              1,916,165         6.1     Net worth:
                                                                                                                                Common stock, par value                                     267,875          0.7               247,409          0.8
Noncurrent assets:                                                                                                              Preferred stock, stated value                               134,469          0.3                29,809          0.1
   Long-term investments                                         594,860          1.4               266,187          0.8        Additional paid-in capital                                  879,010          2.1               590,023          1.9
   Deferred income taxes                                         152,721          0.4               155,053          0.5        Retained earnings                                          7,614,959        18.5             5,990,736         18.9
   Other assets                                                  890,988          2.2               771,758          2.4        Treasury stock                                              (374,562)       (0.9)             (266,023)        (0.8)
           Total noncurrent assets                              1,638,569         4.0              1,192,998         3.8        Excess value of marketable securities                          98,515        0.2                61,267          0.2
                                                                                                                                Other equity                                               1,012,347         2.5               793,473          2.5
                                                                                                                                        Total net worth                                    9,632,612        23.4             7,446,694         23.5

           Total assets                                $       41,192,667       100.0 %   $       31,643,964       100.0 %              Total liabilities and net worth           $       41,192,667       100.0 % $        31,643,964       100.0 %



Statement of Earnings                                                                                                        Financial Ratios

                                                           2005 Participants                  2004 Participants                                                                       2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                   Average       Median               Average      Median


Contract revenue                                       $     133,182,935         99.9 %   $     104,304,017         98.9 %   Liquidity Ratios
Other revenue                                                    130,634          0.1              1,151,758         1.1
           Total Revenue                                     133,313,569        100.0           105,455,775        100.0        Current Ratio                                                     1.2        1.3                    1.3         1.3
                                                                                                                                Quick Ratio                                                       1.1        1.2                    1.2         1.2
Contract cost                                                (126,002,256)      (94.5)           (98,195,067)      (93.1)       Days of Cash                                                     19.7       16.3                   17.1        16.3
Other cost                                                       (200,044)       (0.2)              (921,611)       (0.9)       Working Capital Turnover                                         18.0       18.5                   18.2        17.7
           Total cost                                        (126,202,300)      (94.7)           (99,116,678)      (94.0)
                                                                                                                             Profitability Ratios
           Gross Profit                                         7,111,269         5.3              6,339,097         6.0
                                                                                                                                Return on Assets *                                                3.9 %      4.1 %                  4.6 %       4.5 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                               16.8 %     16.9 %                 19.4 %      16.5 %
   Payroll                                                     (3,002,109)       (2.3)            (2,848,083)       (2.7)       Times Interest Earned                                            25.2       14.3                   24.3        13.6
   Professional fees                                             (229,973)       (0.2)              (176,780)       (0.2)
   Sales & marketing costs                                       (283,391)       (0.2)              (178,520)       (0.2)    Leverage Ratios
   Technology costs                                              (224,549)       (0.2)               (93,844)       (0.1)
   Administrative bonuses                                        (445,999)       (0.3)              (365,811)       (0.3)       Debt to Equity                                                    3.3        3.1                    3.2         2.9
   Other                                                       (1,577,207)       (1.2)            (1,449,629)       (1.4)       Revenue to Equity                                                13.8       14.9                   14.2        14.6
           Total SG&A expenses                                 (5,763,229)       (4.3)            (5,112,667)       (4.8)       Asset Turnover                                                    3.2        3.5                    3.3         3.6
                                                                                                                                Fixed Asset Ratio                                                20.2 %     16.7 %                 25.7 %      19.8 %
           Income from operations                               1,348,040         1.0              1,226,430         1.2        Equity to SG&A Expense                                            1.7        1.2                    1.5         1.1
                                                                                                                                Underbillings to Equity                                          20.8 %     10.6 %                 19.0 %      13.1 %
Interest income                                                  221,383          0.2               174,204          0.2        Backlog to Equity                                                12.4        9.2                   13.0        10.1
Interest expense                                                  (66,769)       (0.1)               (62,074)       (0.1)
Other income / (expense), net                                    111,901          0.1               104,770          0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,614,555         1.2              1,443,331         1.4
                                                                                                                                Backlog to Working Capital                                       16.3       11.9                   18.8        12.8
Income tax (expense) / benefit                                   (164,042)       (0.1)              (184,483)       (0.2)       Months in Backlog                                                 8.6        7.3                    9.9         7.7
                                                                                                                                Days in Accounts Receivable                                      47.4       47.3                   47.0        45.0
           Net earnings                                $        1,450,513         1.1     $        1,258,848         1.2        Days in Inventory                                                 0.2        0.6                    0.4         0.6
                                                                                                                                Days in Accounts Payable                                         45.9       43.3                   44.8        40.4
                                                                                                                                Operating Cycle                                                  21.4       24.3                   19.6        23.9
Number of Participants
                                                                  Number                                                     * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                227                                                      net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to calculate
2004                                                                250                                                      ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                          Industrial & Nonresidential Contractors
Selected Financial Data by Region
                                                                          REGION
All Industrial &
Nonresidential                               NE            SE           MW             SW             W            FW

Number of Companies           227             38            37            69            34            24            25
Assets ($)                 41,193        39,349         31,727        32,714        78,790        34,765        36,444
Liabilities ($)            31,511        30,716         23,385        25,222        59,708        26,684        28,388
Net Worth ($)               9,633         8,632          8,287         7,390        19,064         8,050         8,027
Net Worth to Assets          23.4   %       21.9   %      26.1   %      22.6   %      24.2   %      23.2   %      22.0   %
Revenues ($)              133,314       132,426        102,729       107,545       234,417       125,278       121,264
Gross Profit ($)            7,111         4,715          5,905         6,710        11,297         7,716         7,375
Gross Profit Margin           5.3   %        3.6   %       5.7   %       6.2   %       4.8   %       6.2   %       6.1   %
SG&A Expense ($)            5,763         4,999          3,997         5,277         9,657         5,827         5,525
SG&A Expense Margin           4.3   %        3.8   %       3.9   %       4.9   %       4.1   %       4.7   %       4.6   %
Net Earnings ($) *          1,615           (49)         2,177         1,591         2,169         2,116         2,139
Net Earnings Margin *         1.2   %        0.0   %       2.1   %       1.5   %       0.9   %       1.7   %       1.8   %
Current Ratio                 1.2            1.2           1.3           1.2           1.3           1.3           1.2
Return on Assets              3.9   %      (0.1)   %       6.9   %       4.9   %       2.8   %       6.1   %       5.9   %
Return on Equity             16.8   %      (0.6)   %      26.3   %      21.5   %      11.4   %      26.3   %      26.7   %
* Before Taxes


Note: All dollar amounts are in thousands.

Financial performance, as measured by net earnings before income taxes, was the same or improved in all
regions but the Northeast (down considerably) and the Southwest (down slightly).

The size profiles, in terms of assets and revenue, changed compared to 2004. Several regions have
significantly smaller or larger companies participating. This may have an effect on the performance ratios.
This should be considered when examining the detailed financial statements.

Net Worth ranged between 21.9% and 26.1%.




Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                                        Northeast Region
Balance Sheet
                                                           2005 Participants                   2004 Participants                                                                     2005 Participants                 2004 Participants


                                                           Amount              Percent         Amount              Percent                                                           Amount               Percent      Amount              Percent


Current assets:                                                                                                               Current liabilities:
   Cash and cash equivalents                           $        8,162,985        20.7 %    $        3,855,602        18.4 %      Current maturity on long-term debt              $          430,091          1.1 % $            93,971        0.4 %
   Marketable securities & short-term investments               1,326,224         3.4               1,295,167         6.2        Notes payable and lines of credit                          141,006          0.4              282,281         1.3
   Receivables:                                                                                                                  Accounts payable:
       Contract receivables currently due                      15,592,219        39.6               8,483,819        40.5            Trade, including currently due
       Retainages on contracts                                  5,621,917        14.3               2,423,656        11.6                to subcontractors                               15,949,653         40.5            9,473,026        45.3
       Unbilled work                                              473,504         1.2                 147,657         0.7            Subcontracts retainages                              5,850,718         14.9            1,575,031         7.5
       Other receivables                                          312,477         0.8                 221,196         1.1            Other                                                  133,345          0.3                20,500        0.1
       Less allowance for doubtful accounts                       (42,589)       (0.1)                (32,637)       (0.2)               Total accounts payable                          21,933,716         55.7           11,068,557        52.9
           Total receivables, net:                             21,957,528        55.8              11,243,690        53.7
                                                                                                                                 Accrued expenses                                         2,080,541          5.3            1,041,641         5.0
   Inventories                                                      59,003        0.1                   74,789        0.4        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                           earnings on uncompleted contracts                    4,271,166         10.9            1,934,494         9.2
       of billings on uncompleted contracts                     1,761,403         4.5                 783,687         3.7        Income taxes:
   Investments in and advances to                                                                                                    Current                                                  13,108         0.0                25,064        0.1
       construction joint ventures                                402,187         1.0                 226,799         1.1            Deferred                                                 45,872         0.1                41,093        0.2
   Income taxes:                                                                                                                 Other current liabilities                                  175,225          0.4              316,907         1.5
       Current/refundable                                           42,809        0.1                    9,675        0.0                Total current liabilities                       29,090,724         73.9           14,804,008        70.7
       Deferred                                                   280,855         0.7                   56,897        0.3     Noncurrent liabilities
   Other current assets                                           815,520         2.1                 589,033         2.8        Long-term debt, excluding current maturities             1,025,282          2.6            1,046,914         5.0
           Total current assets                                34,808,515        88.5              18,135,340        86.7        Deferred income taxes                                        37,354         0.1                 7,399        0.0
                                                                                                                                 Other                                                      562,196          1.4                88,704        0.4
Property, plant and equipment                                   6,311,386        16.0               5,012,572        24.0                Total liabilities                               30,715,556         78.1           15,947,025        76.2
Less accumulated depreciation                                  (3,629,507)       (9.2)             (2,946,097)      (14.1)    Minority interests                                                944          0.0                 3,287        0.0
           Property, plant and equipment, net                   2,681,879         6.8               2,066,475         9.9     Net worth:
                                                                                                                                 Common stock, par value                                    112,540          0.3              223,212         1.1
Noncurrent assets:                                                                                                               Preferred stock, stated value                                 6,189         0.0                 5,843        0.0
   Long-term investments                                        1,360,295         3.5                 199,487         1.0        Additional paid-in capital                               1,180,637          3.0              316,829         1.5
   Deferred income taxes                                          194,566         0.5                    5,878        0.0        Retained earnings                                        7,460,838         19.0            4,731,992        22.6
   Other assets                                                   303,468         0.8                 520,249         2.5        Treasury stock                                            (507,819)        (1.3)            (630,622)       (3.0)
           Total noncurrent assets                              1,858,329         4.7                 725,613         3.5        Excess value of marketable securities                         7,028         0.0                 7,111        0.0
                                                                                                                                 Other equity                                               372,809          0.9              322,750         1.5
                                                                                                                                         Total net worth                                  8,632,223         21.9            4,977,116        23.8

           Total assets                                $       39,348,722       100.0 %    $       20,927,428       100.0 %              Total liabilities and net worth         $       39,348,722        100.0 % $       20,927,428       100.0 %



Statement of Earnings                                                                                                         Financial Ratios
                                                           2005 Participants                   2004 Participants                                                                     2005 Participants                 2004 Participants


                                                           Amount              Percent         Amount              Percent                                                                  Average       Median              Average      Median


Contract revenue                                       $      132,362,360       100.0 %    $       69,581,502       100.0 %   Liquidity Ratios
Other revenue                                                       63,886        0.0                   33,782        0.0
           Total Revenue                                      132,426,246       100.0              69,615,284       100.0        Current Ratio                                                   1.2         1.2                   1.2        1.2
                                                                                                                                 Quick Ratio                                                     1.1         1.2                   1.1        1.1
Contract cost                                                (127,662,871)      (96.4)            (65,211,580)      (93.7)       Days of Cash                                                   22.2        16.9                  19.9       21.3
Other cost                                                        (48,187)       (0.0)                      0         0.0        Working Capital Turnover                                       23.2        16.8                  20.9       15.5
           Total cost                                        (127,711,058)      (96.4)            (65,211,580)      (93.7)
                                                                                                                              Profitability Ratios
           Gross Profit                                         4,715,188         3.6               4,403,704         6.3
                                                                                                                                 Return on Assets *                                             (0.1) %      2.9 %                 4.6 %      4.7 %
Selling, general & administrative expenses:                                                                                      Return on Equity *                                             (0.6) %     14.1 %                19.3 %     18.8 %
   Payroll                                                     (2,761,995)       (2.1)             (1,892,919)       (2.7)       Times Interest Earned                                           0.5        10.1                  16.9       19.5
   Professional fees                                             (173,102)       (0.1)               (122,558)       (0.2)
   Sales & marketing costs                                       (590,523)       (0.4)               (140,647)       (0.2)    Leverage Ratios
   Technology costs                                              (345,990)       (0.3)                (70,779)       (0.1)
   Administrative bonuses                                        (341,821)       (0.3)               (217,775)       (0.3)       Debt to Equity                                                  3.6         3.3                   3.2        3.0
   Other                                                         (785,160)       (0.6)             (1,286,914)       (1.8)       Revenue to Equity                                              15.3        14.3                  14.0       15.3
           Total SG&A expenses                                 (4,998,591)       (3.8)             (3,731,591)       (5.4)       Asset Turnover                                                  3.4         3.3                   3.3        3.5
                                                                                                                                 Fixed Asset Ratio                                              31.1 %      12.2 %                41.5 %     18.0 %
           Income from operations                                (283,403)       (0.2)                672,113         1.0        Equity to SG&A Expense                                          1.7         1.4                   1.3        1.0
                                                                                                                                 Underbillings to Equity                                        25.9 %      17.0 %                18.7 %     13.6 %
Interest income                                                   173,032         0.1                   36,461        0.1        Backlog to Equity                                              14.5         9.5                  17.0       12.2
Interest expense                                                  (93,218)       (0.1)                (60,299)       (0.1)
Other income / (expense), net                                     155,015         0.1                 312,934         0.4
                                                                                                                              Efficiency Ratios
           Net earnings / (loss) before income taxes              (48,575)       (0.0)                961,210         1.4
                                                                                                                                 Backlog to Working Capital                                     23.1        11.4                  24.1       12.3
Income tax (expense) / benefit                                   (286,146)       (0.2)                (56,670)       (0.1)       Months in Backlog                                               8.3         8.0                  13.4        9.5
                                                                                                                                 Days in Accounts Receivable                                    43.1        49.2                  44.8       45.5
           Net earnings                                $         (334,720)       (0.3) %   $          904,539         1.3 %      Days in Inventory                                               0.2         0.5                   0.4        1.2
                                                                                                                                 Days in Accounts Payable                                       45.3        47.4                  52.4       49.5
                                                                                                                                 Operating Cycle                                                20.1        24.0                  12.8       20.2
Number of Participants
                                                                    Number                                                    * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   38                                                     net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   33                                                     calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                           Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                                     Southeast Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        4,878,814        15.4 %   $        4,584,306        13.6 %      Current maturity on long-term debt                 $          139,142         0.4 % $            53,931        0.2 %
   Marketable securities & short-term investments               3,452,596        10.9              2,904,027         8.6        Notes payable and lines of credit                               34,922        0.1              108,736         0.3
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      14,138,752        44.6             14,180,133        42.0            Trade, including currently due
       Retainages on contracts                                  4,125,667        13.0              4,325,581        12.8                to subcontractors                                  11,117,997        35.0           10,407,931        30.8
       Unbilled work                                                76,552        0.2                407,750         1.2            Subcontracts retainages                                 3,971,756        12.5            4,123,009        12.2
       Other receivables                                          153,641         0.5                222,146         0.7            Other                                                     101,174         0.3              102,273         0.3
       Less allowance for doubtful accounts                       (29,244)       (0.1)               (23,717)       (0.1)               Total accounts payable                             15,190,927        47.9           14,633,213        43.3
           Total receivables, net:                             18,465,368        58.2             19,111,892        56.6
                                                                                                                                Accrued expenses                                            1,224,092         3.9            2,204,725         6.5
   Inventories                                                       1,422        0.0                   8,160        0.0        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       5,970,390        18.8            5,460,909        16.2
       of billings on uncompleted contracts                     1,249,838         3.9              1,402,835         4.2        Income taxes:
   Investments in and advances to                                                                                                   Current                                                     25,215        0.1                13,878        0.0
       construction joint ventures                                  49,772        0.2                136,702         0.4            Deferred                                                      304         0.0                 6,349        0.0
   Income taxes:                                                                                                                Other current liabilities                                     132,001         0.4              640,631         1.9
       Current/refundable                                            7,850        0.0                219,838         0.7                Total current liabilities                          22,716,993        71.6           23,122,371        68.5
       Deferred                                                      1,223        0.0                272,587         0.8     Noncurrent liabilities
   Other current assets                                           360,881         1.1                652,905         1.9        Long-term debt, excluding current maturities                  375,453         1.2              760,483         2.3
           Total current assets                                28,467,764        89.7             29,293,252        86.8        Deferred income taxes                                            3,463        0.0                60,574        0.2
                                                                                                                                Other                                                         288,691         0.9              853,154         2.5
Property, plant and equipment                                   4,432,261        14.0              5,257,155        15.6                Total liabilities                                  23,384,600        73.7           24,796,582        73.4
Less accumulated depreciation                                  (2,246,859)       (7.1)            (2,823,834)       (8.4)    Minority interests                                                 55,398        0.2                85,615        0.3
           Property, plant and equipment, net                   2,185,402         6.9              2,433,322         7.2     Net worth:
                                                                                                                                Common stock, par value                                       142,522         0.4              201,048         0.6
Noncurrent assets:                                                                                                              Preferred stock, stated value                                    6,720        0.0              119,646         0.4
   Long-term investments                                          160,687         0.5                648,764         1.9        Additional paid-in capital                                    361,286         1.1              862,892         2.6
   Deferred income taxes                                            10,540        0.0                353,366         1.0        Retained earnings                                           3,771,629        11.9            4,802,066        14.2
   Other assets                                                   902,250         2.8              1,033,638         3.1        Treasury stock                                               (214,521)       (0.7)             (16,167)       (0.0)
           Total noncurrent assets                              1,073,477         3.4              2,035,767         6.0        Excess value of marketable securities                         419,331         1.3              229,802         0.7
                                                                                                                                Other equity                                                3,799,677        12.0            2,680,856         7.9
                                                                                                                                        Total net worth                                     8,286,645        26.1            8,880,143        26.3

           Total assets                                $       31,726,643       100.0 %   $       33,762,340       100.0 %              Total liabilities and net worth            $       31,726,643       100.0 % $       33,762,340       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $      102,688,507       100.0 %   $      116,777,723        96.6 %   Liquidity Ratios
Other revenue                                                       40,057        0.0              4,135,785         3.4
           Total Revenue                                      102,728,564       100.0            120,913,508       100.0        Current Ratio                                                      1.3        1.3                   1.3        1.3
                                                                                                                                Quick Ratio                                                        1.2        1.3                   1.2        1.2
Contract cost                                                 (96,808,682)      (94.2)          (109,372,131)      (90.5)       Days of Cash                                                      17.1       16.6                  13.6       15.8
Other cost                                                        (15,155)       (0.0)            (3,262,689)       (2.7)       Working Capital Turnover                                          17.9       16.3                  19.6       18.3
           Total cost                                         (96,823,837)      (94.3)          (112,634,821)      (93.2)
                                                                                                                             Profitability Ratios
           Gross Profit                                         5,904,726         5.7              8,278,688         6.8
                                                                                                                                Return on Assets *                                                 6.9 %      4.4 %                 6.1 %      4.4 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                26.3 %     15.1 %                23.3 %     14.6 %
   Payroll                                                     (1,701,515)       (1.7)            (3,533,506)       (2.9)       Times Interest Earned                                             56.6       17.9                  37.6       16.3
   Professional fees                                             (102,489)       (0.1)              (182,751)       (0.2)
   Sales & marketing costs                                       (175,736)       (0.2)              (205,320)       (0.2)    Leverage Ratios
   Technology costs                                               (89,808)       (0.1)              (104,165)       (0.1)
   Administrative bonuses                                        (268,938)       (0.3)              (410,132)       (0.3)       Debt to Equity                                                     2.8        2.5                   2.8        2.5
   Other                                                       (1,658,752)       (1.6)            (1,902,557)       (1.6)       Revenue to Equity                                                 12.4       13.1                  13.6       12.3
           Total SG&A expenses                                 (3,997,238)       (3.9)            (6,338,432)       (5.2)       Asset Turnover                                                     3.2        3.6                   3.6        3.8
                                                                                                                                Fixed Asset Ratio                                                 26.4 %     17.7 %                27.4 %     25.2 %
           Income from operations                               1,907,488         1.9              1,940,256         1.6        Equity to SG&A Expense                                             2.1        1.2                   1.4        1.1
                                                                                                                                Underbillings to Equity                                           16.0 %     15.2 %                20.4 %     11.5 %
Interest income                                                   106,690         0.1                117,098         0.1        Backlog to Equity                                                  9.1        7.8                   9.9        7.1
Interest expense                                                  (39,169)       (0.0)               (56,551)       (0.0)
Other income / (expense), net                                     202,223         0.2                  67,005        0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            2,177,231         2.1              2,067,809         1.7
                                                                                                                                Backlog to Working Capital                                        15.7       10.2                  15.5        9.0
Income tax (expense) / benefit                                    (67,617)       (0.1)              (239,875)       (0.2)       Months in Backlog                                                  8.1        6.8                   7.5        7.0
                                                                                                                                Days in Accounts Receivable                                       50.0       47.5                  42.8       42.1
           Net earnings                                $        2,109,614         2.1 %   $        1,827,934         1.5 %      Days in Inventory                                                  0.0        0.2                   0.0        0.3
                                                                                                                                Days in Accounts Payable                                          41.7       40.7                  33.6       35.2
                                                                                                                                Operating Cycle                                                   25.4       30.5                  22.9       26.7
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   37                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   48                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

    Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                                        Midwest Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                     2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                           Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        5,605,380        17.1 %   $        3,960,890        17.8 %      Current maturity on long-term debt              $          201,358         0.6 % $          111,227         0.5 %
   Marketable securities & short-term investments               1,557,635         4.8                670,386         3.0        Notes payable and lines of credit                          131,018         0.4              402,932         1.8
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      14,551,928        44.5             10,887,365        49.0            Trade, including currently due
       Retainages on contracts                                  4,066,884        12.4              2,960,764        13.3                to subcontractors                               12,957,083        39.6            8,891,325        40.0
       Unbilled work                                              252,221         0.8                  36,202        0.2            Subcontracts retainages                              4,211,319        12.9            3,045,913        13.7
       Other receivables                                          528,196         1.6                120,039         0.5            Other                                                  136,978         0.4                75,378        0.3
       Less allowance for doubtful accounts                       (11,083)       (0.0)               (14,847)       (0.1)               Total accounts payable                          17,305,379        52.9           12,012,616        54.0
           Total receivables, net:                             19,388,144        59.3             13,989,524        62.9
                                                                                                                                Accrued expenses                                         2,070,812         6.3            1,515,884         6.8
   Inventories                                                      77,210        0.2                177,933         0.8        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                    3,582,522        11.0            2,781,447        12.5
       of billings on uncompleted contracts                     1,421,648         4.3                865,078         3.9        Income taxes:
   Investments in and advances to                                                                                                   Current                                                  30,024        0.1                42,207        0.2
       construction joint ventures                                135,018         0.4                250,845         1.1            Deferred                                                 10,357        0.0                 2,940        0.0
   Income taxes:                                                                                                                Other current liabilities                                  231,195         0.7              207,084         0.9
       Current/refundable                                           18,380        0.1                  26,195        0.1                Total current liabilities                       23,562,665        72.0           17,076,337        76.8
       Deferred                                                      8,891        0.0                  10,866        0.0     Noncurrent liabilities
   Other current assets                                           804,855         2.5                645,585         2.9        Long-term debt, excluding current maturities             1,372,042         4.2              594,358         2.7
           Total current assets                                29,017,161        88.7             20,597,301        92.7        Deferred income taxes                                        23,109        0.1                17,408        0.1
                                                                                                                                Other                                                      264,576         0.8              112,946         0.5
Property, plant and equipment                                   3,985,373        12.2              3,232,897        14.5                Total liabilities                               25,222,392        77.1           17,801,048        80.1
Less accumulated depreciation                                  (2,543,702)       (7.8)            (2,100,676)       (9.5)    Minority interests                                            101,803         0.3                 7,943        0.0
           Property, plant and equipment, net                   1,441,670         4.4              1,132,222         5.1     Net worth:
                                                                                                                                Common stock, par value                                    272,761         0.8              137,822         0.6
Noncurrent assets:                                                                                                              Preferred stock, stated value                              385,059         1.2                    0         0.0
   Long-term investments                                          811,971         2.5                155,183         0.7        Additional paid-in capital                                 610,023         1.9              353,490         1.6
   Deferred income taxes                                             7,484        0.0                   7,607        0.0        Retained earnings                                        5,553,015        17.0            4,063,165        18.3
   Other assets                                                 1,436,059         4.4                334,282         1.5        Treasury stock                                             (23,763)       (0.1)            (357,581)       (1.6)
           Total noncurrent assets                              2,255,515         6.9                497,072         2.2        Excess value of marketable securities                        68,123        0.2                12,599        0.1
                                                                                                                                Other equity                                               524,931         1.6              208,108         0.9
                                                                                                                                        Total net worth                                  7,390,150        22.6            4,417,603        19.9

           Total assets                                $       32,714,346       100.0 %   $       22,226,595       100.0 %              Total liabilities and net worth         $       32,714,346       100.0 % $       22,226,595       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                     2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                  Average      Median              Average      Median


Contract revenue                                       $      107,350,055        99.8 %   $       75,134,876        99.7 %   Liquidity Ratios
Other revenue                                                     194,485         0.2                252,343         0.3
           Total Revenue                                      107,544,540       100.0             75,387,220       100.0        Current Ratio                                                   1.2        1.2                   1.2        1.3
                                                                                                                                Quick Ratio                                                     1.1        1.1                   1.1        1.1
Contract cost                                                (100,458,450)      (93.4)           (70,261,429)      (93.2)       Days of Cash                                                   18.8       15.7                  18.9       15.5
Other cost                                                       (376,576)       (0.4)              (182,492)       (0.2)       Working Capital Turnover                                       19.7       19.3                  21.4       17.9
           Total cost                                        (100,835,026)      (93.8)           (70,443,921)      (93.4)
                                                                                                                             Profitability Ratios
           Gross Profit                                         6,709,514         6.2              4,943,298         6.6
                                                                                                                                Return on Assets *                                              4.9 %      4.8 %                 4.9 %      3.9 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                             21.5 %     19.1 %                24.7 %     12.9 %
   Payroll                                                     (2,459,084)       (2.3)            (2,183,441)       (2.9)       Times Interest Earned                                          24.8       16.2                  22.7        8.9
   Professional fees                                             (168,009)       (0.2)              (131,949)       (0.2)
   Sales & marketing costs                                       (245,047)       (0.2)              (166,641)       (0.2)    Leverage Ratios
   Technology costs                                              (162,035)       (0.2)               (61,615)       (0.1)
   Administrative bonuses                                        (555,952)       (0.5)              (286,511)       (0.4)       Debt to Equity                                                  3.4        3.3                   4.0        3.4
   Other                                                       (1,686,530)       (1.6)            (1,130,082)       (1.5)       Revenue to Equity                                              14.6       15.4                  17.1       14.6
           Total SG&A expenses                                 (5,276,657)       (4.9)            (3,960,240)       (5.3)       Asset Turnover                                                  3.3        3.4                   3.4        3.6
                                                                                                                                Fixed Asset Ratio                                              19.5 %     16.6 %                25.6 %     22.7 %
           Income from operations                               1,432,856         1.3                983,059         1.3        Equity to SG&A Expense                                          1.4        1.1                   1.1        1.1
                                                                                                                                Underbillings to Equity                                        22.6 %      9.1 %                20.4 %     14.5 %
Interest income                                                     93,964        0.1                176,049         0.2        Backlog to Equity                                              11.7        7.4                  12.6       11.0
Interest expense                                                  (66,991)       (0.1)               (50,168)       (0.1)
Other income / (expense), net                                     131,529         0.1                (18,453)       (0.0)
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,591,358         1.5              1,090,487         1.4
                                                                                                                                Backlog to Working Capital                                     12.5        9.9                  16.0       14.2
Income tax (expense) / benefit                                   (118,994)       (0.1)              (126,858)       (0.2)       Months in Backlog                                               7.3        5.8                   9.9        9.4
                                                                                                                                Days in Accounts Receivable                                    50.4       43.0                  52.5       46.8
           Net earnings                                $        1,472,364         1.4 %   $          963,629         1.3 %      Days in Inventory                                               0.3        0.7                   0.9        0.7
                                                                                                                                Days in Accounts Payable                                       46.7       42.1                  45.8       42.8
                                                                                                                                Operating Cycle                                                22.7       24.3                  26.5       24.8
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   69                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   72                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                          Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                                    Southwest Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $       12,843,496        16.3 %   $        6,552,621        11.4 %      Current maturity on long-term debt                 $          102,729         0.1 % $            30,699        0.1 %
   Marketable securities & short-term investments              12,831,453        16.3             13,456,841        23.5        Notes payable and lines of credit                             931,451         1.2              898,936         1.6
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      28,521,878        36.2             19,701,703        34.4            Trade, including currently due
       Retainages on contracts                                 11,181,108        14.2              7,779,765        13.6                to subcontractors                                  29,797,733        37.8           22,301,327        38.9
       Unbilled work                                              199,715         0.3                  12,346        0.0            Subcontracts retainages                                10,802,986        13.7            7,196,488        12.6
       Other receivables                                        1,638,042         2.1                468,465         0.8            Other                                                     255,827         0.3              220,126         0.4
       Less allowance for doubtful accounts                       (51,774)       (0.1)               (79,807)       (0.1)               Total accounts payable                             40,856,546        51.9           29,717,940        51.9
           Total receivables, net:                             41,488,969        52.7             27,882,473        48.7
                                                                                                                                Accrued expenses                                            4,679,070         5.9            1,484,339         2.6
   Inventories                                                      60,011        0.1                  36,644        0.1        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       9,740,647        12.4            6,042,379        10.5
       of billings on uncompleted contracts                     4,457,209         5.7              2,451,403         4.3        Income taxes:
   Investments in and advances to                                                                                                   Current                                                     49,973        0.1                27,245        0.0
       construction joint ventures                                737,200         0.9                  18,894        0.0            Deferred                                                  393,340         0.5                 3,338        0.0
   Income taxes:                                                                                                                Other current liabilities                                   1,609,172         2.0            1,345,311         2.3
       Current/refundable                                           52,527        0.1                  85,842        0.1                Total current liabilities                          58,362,927        74.1           39,550,187        69.0
       Deferred                                                     77,557        0.1                157,845         0.3     Noncurrent liabilities
   Other current assets                                         1,854,398         2.4              1,467,902         2.6        Long-term debt, excluding current maturities                  411,123         0.5              289,396         0.5
           Total current assets                                74,402,820        94.4             52,110,464        90.9        Deferred income taxes                                         103,513         0.1                19,996        0.0
                                                                                                                                Other                                                         829,944         1.1            1,446,865         2.5
Property, plant and equipment                                   7,751,979         9.8              6,315,141        11.0                Total liabilities                                  59,707,507        75.8           41,306,445        72.1
Less accumulated depreciation                                  (5,306,285)       (6.7)            (4,332,839)       (7.6)    Minority interests                                                 18,014        0.0                17,750        0.0
           Property, plant and equipment, net                   2,445,694         3.1              1,982,302         3.5     Net worth:
                                                                                                                                Common stock, par value                                       224,740         0.3              257,362         0.4
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   32,647        0.0                10,938        0.0
   Long-term investments                                          103,895         0.1                170,835         0.3        Additional paid-in capital                                  1,997,676         2.5              619,163         1.1
   Deferred income taxes                                          764,861         1.0                595,065         1.0        Retained earnings                                          16,958,421        21.5           14,282,213        24.9
   Other assets                                                 1,072,372         1.4              2,441,102         4.3        Treasury stock                                             (1,181,436)       (1.5)            (457,392)       (0.8)
           Total noncurrent assets                              1,941,128         2.5              3,207,003         5.6        Excess value of marketable securities                           26,372        0.0                89,794        0.2
                                                                                                                                Other equity                                                1,005,701         1.3            1,173,497         2.0
                                                                                                                                        Total net worth                                    19,064,122        24.2           15,975,573        27.9

           Total assets                                $       78,789,642       100.0 %   $       57,299,768       100.0 %              Total liabilities and net worth            $       78,789,642       100.0 % $       57,299,768       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $      234,241,972        99.9 %   $      166,058,757        98.8 %   Liquidity Ratios
Other revenue                                                     174,978         0.1              1,969,859         1.2
           Total Revenue                                      234,416,950       100.0            168,028,616       100.0        Current Ratio                                                      1.3        1.2                   1.3        1.4
                                                                                                                                Quick Ratio                                                        1.2        1.1                   1.2        1.2
Contract cost                                                (222,732,055)      (95.0)          (157,966,375)      (94.0)       Days of Cash                                                      19.7       13.5                  14.0       16.8
Other cost                                                       (388,358)       (0.2)            (1,760,605)       (1.0)       Working Capital Turnover                                          14.6       19.6                  13.4       14.0
           Total cost                                        (223,120,413)      (95.2)          (159,726,980)      (95.1)
                                                                                                                             Profitability Ratios
           Gross Profit                                        11,296,537         4.8              8,301,636         4.9
                                                                                                                                Return on Assets *                                                 2.8 %      2.1 %                 3.8 %      4.4 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                11.4 %      7.7 %                13.6 %     14.4 %
   Payroll                                                     (5,888,002)       (2.5)            (4,222,781)       (2.5)       Times Interest Earned                                             17.1       12.5                  26.8        3.2
   Professional fees                                             (590,341)       (0.3)              (330,579)       (0.2)
   Sales & marketing costs                                       (288,476)       (0.1)              (259,593)       (0.2)    Leverage Ratios
   Technology costs                                              (297,272)       (0.1)              (179,176)       (0.1)
   Administrative bonuses                                        (409,829)       (0.2)              (477,975)       (0.3)       Debt to Equity                                                     3.1        3.8                   2.6        2.5
   Other                                                       (2,183,496)       (0.9)            (1,329,535)       (0.8)       Revenue to Equity                                                 12.3       17.3                  10.5       13.9
           Total SG&A expenses                                 (9,657,415)       (4.1)            (6,799,640)       (4.0)       Asset Turnover                                                     3.0        3.4                   2.9        3.4
                                                                                                                                Fixed Asset Ratio                                                 12.8 %     14.7 %                12.4 %     12.7 %
           Income from operations                               1,639,122         0.7              1,501,996         0.9        Equity to SG&A Expense                                             2.0        1.3                   2.3        1.2
                                                                                                                                Underbillings to Equity                                           24.4 %     12.5 %                15.4 %     11.1 %
Interest income                                                   713,795         0.3                545,575         0.3        Backlog to Equity                                                 12.2       10.6                   9.1        7.4
Interest expense                                                 (134,367)       (0.1)               (84,353)       (0.1)
Other income / (expense), net                                     (49,855)       (0.0)               217,267         0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            2,168,694         0.9              2,180,486         1.3
                                                                                                                                Backlog to Working Capital                                        14.6       13.0                  12.9        8.0
Income tax (expense) / benefit                                   (366,914)       (0.2)              (147,332)       (0.1)       Months in Backlog                                                  9.0        8.4                   6.8        6.9
                                                                                                                                Days in Accounts Receivable                                       46.2       47.6                  43.0       44.0
           Net earnings                                $        1,801,780         0.8 %   $        2,033,154         1.2 %      Days in Inventory                                                  0.1        0.6                   0.1        0.2
                                                                                                                                Days in Accounts Payable                                          48.5       46.5                  50.8       42.2
                                                                                                                                Operating Cycle                                                   17.6       21.3                   6.4       23.9
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   34                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   32                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                                             West Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                     2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                           Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        5,152,989        14.8 %   $        7,549,458        19.5 %      Current maturity on long-term debt              $          136,556         0.4 % $          111,527         0.3 %
   Marketable securities & short-term investments               4,074,946        11.7                877,224         2.3        Notes payable and lines of credit                            23,148        0.1                25,431        0.1
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      15,803,724        45.5             16,803,904        43.3            Trade, including currently due
       Retainages on contracts                                  4,749,159        13.7              6,374,036        16.4                to subcontractors                               12,396,271        35.7           20,675,288        53.3
       Unbilled work                                              257,127         0.7                673,237         1.7            Subcontracts retainages                              5,051,598        14.5            2,690,128         6.9
       Other receivables                                          253,310         0.7              2,241,744         5.8            Other                                                  366,721         1.1                61,257        0.2
       Less allowance for doubtful accounts                       (60,583)       (0.2)                 (5,000)      (0.0)               Total accounts payable                          17,814,590        51.2           23,426,673        60.4
           Total receivables, net:                             21,002,738        60.4             26,087,920        67.3
                                                                                                                                Accrued expenses                                         2,540,138         7.3            1,312,707         3.4
   Inventories                                                    175,294         0.5                  22,490        0.1        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                    4,674,399        13.4            2,895,694         7.5
       of billings on uncompleted contracts                       723,007         2.1                781,906         2.0        Income taxes:
   Investments in and advances to                                                                                                   Current                                                  26,333        0.1              108,157         0.3
       construction joint ventures                                342,783         1.0                  92,616        0.2            Deferred                                                  4,473        0.0                44,562        0.1
   Income taxes:                                                                                                                Other current liabilities                                    66,111        0.2                33,560        0.1
       Current/refundable                                            5,951        0.0                   7,839        0.0                Total current liabilities                       25,285,748        72.7           27,958,311        72.1
       Deferred                                                      1,208        0.0                   4,635        0.0     Noncurrent liabilities
   Other current assets                                           576,481         1.7                977,087         2.5        Long-term debt, excluding current maturities               987,745         2.8              452,250         1.2
           Total current assets                                32,055,396        92.2             36,401,176        93.9        Deferred income taxes                                        33,162        0.1              (20,872)       (0.1)
                                                                                                                                Other                                                      377,563         1.1            1,516,297         3.9
Property, plant and equipment                                   5,465,020        15.7              4,190,770        10.8                Total liabilities                               26,684,218        76.8           29,905,986        77.1
Less accumulated depreciation                                  (3,555,102)      (10.2)            (2,492,022)       (6.4)    Minority interests                                              30,412        0.1                 7,119        0.0
           Property, plant and equipment, net                   1,909,918         5.5              1,698,749         4.4     Net worth:
                                                                                                                                Common stock, par value                                    738,896         2.1              228,325         0.6
Noncurrent assets:                                                                                                              Preferred stock, stated value                                    0         0.0                     0        0.0
   Long-term investments                                          591,296         1.7                251,206         0.6        Additional paid-in capital                                 391,487         1.1              461,611         1.2
   Deferred income taxes                                              394         0.0                  32,045        0.1        Retained earnings                                        7,434,084        21.4            8,206,643        21.2
   Other assets                                                   207,987         0.6                389,372         1.0        Treasury stock                                            (517,201)       (1.5)             (21,597)       (0.1)
           Total noncurrent assets                                799,677         2.3                672,623         1.7        Excess value of marketable securities                        40,332        0.1                  (511)      (0.0)
                                                                                                                                Other equity                                               (37,239)       (0.1)             (15,028)       (0.0)
                                                                                                                                        Total net worth                                  8,050,360        23.2            8,859,443        22.8

           Total assets                                $       34,764,991       100.0 %   $       38,772,548       100.0 %              Total liabilities and net worth         $       34,764,991       100.0 % $       38,772,548 X     100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                     2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                  Average      Median              Average      Median


Contract revenue                                       $      125,228,145       100.0 %   $      147,663,458       100.0 %   Liquidity Ratios
Other revenue                                                       49,862        0.0                  25,675        0.0
           Total Revenue                                      125,278,007       100.0            147,689,133       100.0        Current Ratio                                                   1.3        1.3                   1.3        1.3
                                                                                                                                Quick Ratio                                                     1.2        1.2                   1.2        1.2
Contract cost                                                (117,562,116)      (93.8)          (140,960,794)      (95.4)       Days of Cash                                                   14.8       14.0                  18.4       15.0
Other cost                                                              0         0.0                (11,836)       (0.0)       Working Capital Turnover                                       18.5       21.2                  17.5       21.2
           Total cost                                        (117,562,116)      (93.8)          (140,972,630)      (95.5)
                                                                                                                             Profitability Ratios
           Gross Profit                                         7,715,891         6.2              6,716,503         4.5
                                                                                                                                Return on Assets *                                              6.1 %      4.5 %                 3.6 %      5.1 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                             26.3 %     21.6 %                15.8 %     16.9 %
   Payroll                                                     (3,194,759)       (2.6)            (3,115,241)       (2.1)       Times Interest Earned                                          78.2       14.5                  49.5       27.4
   Professional fees                                             (237,571)       (0.2)              (183,991)       (0.1)
   Sales & marketing costs                                       (173,647)       (0.1)              (184,793)       (0.1)    Leverage Ratios
   Technology costs                                              (241,959)       (0.2)              (120,525)       (0.1)
   Administrative bonuses                                        (693,092)       (0.6)              (374,231)       (0.3)       Debt to Equity                                                  3.3        2.8                   3.4        3.4
   Other                                                       (1,285,746)       (1.0)            (1,563,274)       (1.1)       Revenue to Equity                                              15.6       17.7                  16.7       16.6
           Total SG&A expenses                                 (5,826,774)       (4.7)            (5,542,056)       (3.8)       Asset Turnover                                                  3.6        3.8                   3.8        4.0
                                                                                                                                Fixed Asset Ratio                                              23.7 %     20.6 %                19.2 %     28.6 %
           Income from operations                               1,889,118         1.5              1,174,447         0.8        Equity to SG&A Expense                                          1.4        1.2                   1.6        1.5
                                                                                                                                Underbillings to Equity                                        12.2 %      9.0 %                16.4 %      9.6 %
Interest income                                                   187,777         0.1                136,209         0.1        Backlog to Equity                                              14.5       13.1                  20.9       15.4
Interest expense                                                  (27,401)       (0.0)               (28,757)       (0.0)
Other income / (expense), net                                       66,165        0.1                113,752         0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            2,115,659         1.7              1,395,652         0.9
                                                                                                                                Backlog to Working Capital                                     18.1       15.7                  29.1       17.4
Income tax (expense) / benefit                                    (55,162)       (0.0)              (452,667)       (0.3)       Months in Backlog                                              10.1        9.9                  13.0       10.1
                                                                                                                                Days in Accounts Receivable                                    46.0       50.9                  46.4       45.2
           Net earnings                                $        2,060,498         1.6 %   $          942,985         0.6 %      Days in Inventory                                               0.5        0.1                   0.1        0.1
                                                                                                                                Days in Accounts Payable                                       39.1       40.7                  53.0       43.8
                                                                                                                                Operating Cycle                                                22.2       19.0                  11.9       18.5
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   24                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   21                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                          Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                                       Far West Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        8,648,883        23.7 %   $        5,747,005        18.7 %      Current maturity on long-term debt                 $            58,143        0.2 % $          340,339         1.1 %
   Marketable securities & short-term investments               1,245,363         3.4              1,418,369         4.6        Notes payable and lines of credit                               46,916        0.1              296,269         1.0
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      15,968,099        43.8             14,150,816        46.1            Trade, including currently due
       Retainages on contracts                                  6,471,789        17.8              3,758,682        12.2                to subcontractors                                  15,709,726        43.1            8,991,552        29.3
       Unbilled work                                                52,089        0.1                400,352         1.3            Subcontracts retainages                                 5,969,636        16.4            7,008,411        22.8
       Other receivables                                          494,094         1.4                274,375         0.9            Other                                                     149,675         0.4            1,626,896         5.3
       Less allowance for doubtful accounts                       (69,901)       (0.2)               (50,374)       (0.2)               Total accounts payable                             21,829,038        59.9           17,626,859        57.4
           Total receivables, net:                             22,916,169        62.9             18,533,852        60.3
                                                                                                                                Accrued expenses                                            2,008,805         5.5            1,898,654         6.2
   Inventories                                                      11,059        0.0                159,581         0.5        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       3,613,699         9.9            2,324,436         7.6
       of billings on uncompleted contracts                       874,666         2.4              1,001,315         3.3        Income taxes:
   Investments in and advances to                                                                                                   Current                                                     19,927        0.1                32,349        0.1
       construction joint ventures                                  42,050        0.1                  38,962        0.1            Deferred                                                      309         0.0                11,366        0.0
   Income taxes:                                                                                                                Other current liabilities                                     314,601         0.9              215,699         0.7
       Current/refundable                                           19,547        0.1                  21,184        0.1                Total current liabilities                          27,891,438        76.5           22,745,971        74.0
       Deferred                                                      7,000        0.0                107,852         0.4     Noncurrent liabilities
   Other current assets                                           631,688         1.7                567,169         1.8        Long-term debt, excluding current maturities                  221,043         0.6            1,817,647         5.9
           Total current assets                                34,396,425        94.4             27,595,288        89.8        Deferred income taxes                                           24,840        0.1                55,087        0.2
                                                                                                                                Other                                                         250,543         0.7              250,722         0.8
Property, plant and equipment                                   3,638,094        10.0              4,508,930        14.7                Total liabilities                                  28,387,864        77.9           24,869,427        81.0
Less accumulated depreciation                                  (2,422,455)       (6.6)            (1,931,183)       (6.3)    Minority interests                                                 29,623        0.1                35,456        0.1
           Property, plant and equipment, net                   1,215,640         3.3              2,577,747         8.4     Net worth:
                                                                                                                                Common stock, par value                                       282,500         0.8              497,328         1.6
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   94,460        0.3                26,509        0.1
   Long-term investments                                          145,885         0.4                156,997         0.5        Additional paid-in capital                                    875,803         2.4              924,390         3.0
   Deferred income taxes                                            14,120        0.0                  30,565        0.1        Retained earnings                                           6,694,848        18.4            4,297,972        14.0
   Other assets                                                   671,955         1.8                359,008         1.2        Treasury stock                                               (142,800)       (0.4)             (92,801)       (0.3)
           Total noncurrent assets                                831,961         2.3                546,570         1.8        Excess value of marketable securities                             624         0.0                 6,406        0.0
                                                                                                                                Other equity                                                  221,103         0.6              154,917         0.5
                                                                                                                                        Total net worth                                     8,026,539        22.0            5,814,722        18.9

           Total assets                                $       36,444,025       100.0 %   $       30,719,605       100.0 %              Total liabilities and net worth            $       36,444,025       100.0 % $       30,719,605       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $      121,057,017        99.8 %   $       98,862,730        99.8 %   Liquidity Ratios
Other revenue                                                     207,148         0.2                149,174         0.2
           Total Revenue                                      121,264,164       100.0             99,011,903       100.0        Current Ratio                                                      1.2        1.3                   1.2        1.3
                                                                                                                                Quick Ratio                                                        1.2        1.2                   1.1        1.2
Contract cost                                                (113,735,523)      (93.8)           (92,568,153)      (93.5)       Days of Cash                                                      25.7       21.9                  20.9       18.2
Other cost                                                       (153,206)       (0.1)               (92,418)       (0.1)       Working Capital Turnover                                          18.6       15.8                  20.4       17.2
           Total cost                                        (113,888,729)      (93.9)           (92,660,571)      (93.6)
                                                                                                                             Profitability Ratios
           Gross Profit                                         7,375,435         6.1              6,351,332         6.4
                                                                                                                                Return on Assets *                                                 5.9 %      7.7 %                 3.9 %      5.3 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                26.7 %     26.7 %                20.4 %     18.8 %
   Payroll                                                     (2,680,955)       (2.2)            (2,777,029)       (2.8)       Times Interest Earned                                            169.9       30.3                  14.4       11.6
   Professional fees                                             (178,717)       (0.1)              (168,999)       (0.2)
   Sales & marketing costs                                       (180,151)       (0.1)              (135,167)       (0.1)    Leverage Ratios
   Technology costs                                              (296,300)       (0.2)               (77,828)       (0.1)
   Administrative bonuses                                        (374,915)       (0.3)              (472,659)       (0.5)       Debt to Equity                                                     3.5        2.7                   4.3        2.6
   Other                                                       (1,813,947)       (1.5)            (1,633,559)       (1.6)       Revenue to Equity                                                 15.1       13.0                  17.0       14.3
           Total SG&A expenses                                 (5,524,986)       (4.6)            (5,265,241)       (5.3)       Asset Turnover                                                     3.3        3.2                   3.2        3.5
                                                                                                                                Fixed Asset Ratio                                                 15.1 %     14.9 %                44.3 %     14.9 %
           Income from operations                               1,850,450         1.5              1,086,092         1.1        Equity to SG&A Expense                                             1.5        1.2                   1.1        1.2
                                                                                                                                Underbillings to Equity                                           11.5 %      8.2 %                24.1 %     15.5 %
Interest income                                                   178,883         0.1                  84,836        0.1        Backlog to Equity                                                 14.1       11.6                  12.6        9.4
Interest expense                                                  (12,662)       (0.0)               (88,609)       (0.1)
Other income / (expense), net                                     122,411         0.1                105,379         0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            2,139,082         1.8              1,187,698         1.2
                                                                                                                                Backlog to Working Capital                                        18.8       14.4                  22.9       13.0
Income tax (expense) / benefit                                    (74,106)       (0.1)              (213,231)       (0.2)       Months in Backlog                                                 11.5       10.0                  10.6        8.0
                                                                                                                                Days in Accounts Receivable                                       48.7       47.0                  52.3       47.8
           Net earnings                                $        2,064,976         1.7 %   $          974,467         1.0 %      Days in Inventory                                                  0.0        1.5                   0.6        1.0
                                                                                                                                Days in Accounts Payable                                          50.1       45.8                  41.3       38.4
                                                                                                                                Operating Cycle                                                   24.2       24.7                  32.5       25.2
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   25                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   44                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Industrial & Nonresidential Contractors
Selected Financial Data by Revenue

                                                                    ANNUAL REVENUE
All Industrial &
Nonresidential                           $0-$10M         $10-$25M       $25-$50M   $50-$100M          >$100M

Number of Companies            227              15             43             61             43            65
Assets ($)                  41,193           2,121          4,510         10,969        21,047        116,167
Liabilities ($)             31,511           1,333          3,073          7,948        15,650         89,893
Net Worth ($)                9,633             788          1,437          3,012         5,381         26,121
Net Worth to Assets           23.4   %        37.2   %       31.9   %       27.5   %       25.6   %      22.5   %
Revenues ($)               133,314           7,504         16,995         37,441        67,119        373,059
Gross Profit ($)             7,111             943          1,575          2,914         3,248         18,692
Gross Profit Margin            5.3   %        12.6   %        9.3   %        7.8   %        4.8   %       5.0   %
SG&A Expense ($)             5,763             753          1,430          2,411         3,934         14,142
SG&A Expense Margin            4.3   %        10.0   %        8.4   %        6.4   %        5.9   %       3.8   %
Net Earnings ($) *           1,615             202            179            573         (470)          5,247
Net Earnings Margin *          1.2   %         2.7   %        1.1   %        1.5   %      (0.7)   %       1.4   %
Current Ratio                  1.2             1.5            1.4            1.3            1.3           1.2
Return on Assets               3.9   %         9.5   %        4.0   %        5.2   %      (2.2)   %       4.5   %
Return on Equity              16.8   %        25.7   %       12.5   %       19.0   %      (8.7)   %      20.1   %
* Before Taxes


Note: All dollar amounts are in thousands.

Participation among the different size categories remained fairly comparable to 2004, although there were
decreases in both the less than $10M and $10 to $25M categories.

The different categories had varied financial performance. Companies with less than $10M in revenue
saw increases in profitability; however, this could be a result of fewer participants in the category in 2005.
The $25-$50M and greater than $100M categories saw similar performance to 2004. All remaining
categories saw decreased in profitability.




                                                                    Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                 Less Than $10 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $          427,413        20.2 %   $          423,652        21.4 %      Current maturity on long-term debt                 $            17,284        0.8 % $            21,337        1.1 %
   Marketable securities & short-term investments                 173,294         8.2                  51,451        2.6        Notes payable and lines of credit                               34,137        1.6                80,999        4.1
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                         944,138        44.5                842,179        42.5            Trade, including currently due
       Retainages on contracts                                    159,773         7.5                161,671         8.1                to subcontractors                                     787,100        37.1              665,589        33.6
       Unbilled work                                                52,991        2.5                    669         0.0            Subcontracts retainages                                   138,680         6.5              119,485         6.0
       Other receivables                                              964         0.0                  21,382        1.1            Other                                                       22,092        1.0                 9,730        0.5
       Less allowance for doubtful accounts                         (1,198)      (0.1)                   (250)      (0.0)               Total accounts payable                                947,872        44.7              794,804        40.1
           Total receivables, net:                              1,156,669        54.5              1,025,651        51.7
                                                                                                                                Accrued expenses                                                97,616        4.6                59,458        3.0
   Inventories                                                       4,889        0.2                   4,007        0.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                         141,644         6.7              200,425        10.1
       of billings on uncompleted contracts                         85,902        4.1                167,667         8.5        Income taxes:
   Investments in and advances to                                                                                                   Current                                                      1,256        0.1                 4,871        0.2
       construction joint ventures                                       0        0.0                       0        0.0            Deferred                                                     6,631        0.3                 2,785        0.1
   Income taxes:                                                                                                                Other current liabilities                                       23,148        1.1                 2,894        0.1
       Current/refundable                                             797         0.0                   7,027        0.4                Total current liabilities                           1,269,589        59.9            1,167,574        58.9
       Deferred                                                      5,790        0.3                   2,330        0.1     Noncurrent liabilities
   Other current assets                                             98,834        4.7                  74,759        3.8        Long-term debt, excluding current maturities                    47,652        2.2                98,833        5.0
           Total current assets                                 1,953,588        92.1              1,756,544        88.5        Deferred income taxes                                            8,738        0.4                10,130        0.5
                                                                                                                                Other                                                            6,667        0.3                  700         0.0
Property, plant and equipment                                     604,471        28.5                522,601        26.3                Total liabilities                                   1,332,645        62.8            1,277,237        64.4
Less accumulated depreciation                                    (453,672)      (21.4)              (332,732)      (16.8)    Minority interests                                                     0         0.0                    0         0.0
           Property, plant and equipment, net                     150,800         7.1                189,868         9.6     Net worth:
                                                                                                                                Common stock, par value                                         59,180        2.8                24,236        1.2
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   16,576        0.8                 7,341        0.4
   Long-term investments                                                 0        0.0                     60         0.0        Additional paid-in capital                                      54,592        2.6                76,124        3.8
   Deferred income taxes                                             6,420        0.3                       0        0.0        Retained earnings                                             580,354        27.4              655,157        33.0
   Other assets                                                     10,049        0.5                  37,371        1.9        Treasury stock                                                (18,205)       (0.9)            (100,481)       (5.1)
           Total noncurrent assets                                  16,469        0.8                  37,431        1.9        Excess value of marketable securities                            2,467        0.1                    0         0.0
                                                                                                                                Other equity                                                    93,247        4.4                44,230        2.2
                                                                                                                                        Total net worth                                       788,211        37.2              706,607        35.6

           Total assets                                $        2,120,856       100.0 %   $        1,983,844       100.0 %              Total liabilities and net worth            $        2,120,856       100.0 % $        1,983,844       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $        7,393,267        98.5 %   $        6,231,683        99.5 %   Liquidity Ratios
Other revenue                                                     110,406         1.5                  31,892        0.5
           Total Revenue                                        7,503,673       100.0              6,263,575       100.0        Current Ratio                                                      1.5        1.5                   1.5        1.5
                                                                                                                                Quick Ratio                                                        1.4        1.4                   1.3        1.2
Contract cost                                                  (6,167,228)      (82.2)            (5,498,817)      (87.8)       Days of Cash                                                      20.5       13.0                  24.3       17.1
Other cost                                                       (393,872)       (5.2)               (18,622)       (0.3)       Working Capital Turnover                                          11.0       10.7                  10.6        9.9
           Total cost                                          (6,561,099)      (87.4)            (5,517,439)      (88.1)
                                                                                                                             Profitability Ratios
           Gross Profit                                           942,574        12.6                746,136        11.9
                                                                                                                                Return on Assets *                                                 9.5 %      6.8 %                 5.3 %      4.6 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                25.7 %     17.6 %                14.8 %     16.1 %
   Payroll                                                       (355,697)       (4.7)              (319,406)       (5.1)       Times Interest Earned                                             52.4        7.8                  14.5       13.6
   Professional fees                                              (24,662)       (0.3)               (15,459)       (0.2)
   Sales & marketing costs                                        (21,426)       (0.3)               (15,344)       (0.2)    Leverage Ratios
   Technology costs                                               (10,118)       (0.1)                 (8,679)      (0.1)
   Administrative bonuses                                         (32,979)       (0.4)               (46,070)       (0.7)       Debt to Equity                                                     1.7        1.6                   1.8        1.6
   Other                                                         (308,616)       (4.1)              (248,329)       (4.0)       Revenue to Equity                                                  9.5        8.9                   8.9        9.9
           Total SG&A expenses                                   (753,498)      (10.0)              (653,288)      (10.4)       Asset Turnover                                                     3.5        3.4                   3.2        3.4
                                                                                                                                Fixed Asset Ratio                                                 19.1 %     16.8 %                26.9 %     24.8 %
           Income from operations                                 189,076         2.5                  92,848        1.5        Equity to SG&A Expense                                             1.0        1.0                   1.1        1.0
                                                                                                                                Underbillings to Equity                                           17.6 %      9.1 %                23.8 %      9.1 %
Interest income                                                      6,038        0.1                   6,964        0.1        Backlog to Equity                                                  4.4        3.7                   9.2        5.5
Interest expense                                                    (3,930)      (0.1)                 (7,739)      (0.1)
Other income / (expense), net                                       10,998        0.1                  12,372        0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes              202,182         2.7                104,445         1.7
                                                                                                                                Backlog to Working Capital                                        14.5        4.1                  10.7        8.1
Income tax (expense) / benefit                                      (8,835)      (0.1)                 (2,749)      (0.0)       Months in Backlog                                                  5.1        5.1                  10.6        6.8
                                                                                                                                Days in Accounts Receivable                                       45.3       37.7                  49.6       46.0
           Net earnings                                $          193,348         2.6 %   $          101,696         1.6 %      Days in Inventory                                                  0.3        0.9                   0.3        0.9
                                                                                                                                Days in Accounts Payable                                          44.4       39.4                  44.1       35.4
                                                                                                                                Operating Cycle                                                   21.7       23.1                  30.2       23.8
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   15                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   20                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                          $10 - $25 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                     2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                           Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $          799,116        17.7 %   $          965,994        18.8 %      Current maturity on long-term debt              $            34,607        0.8 % $            38,189        0.7 %
   Marketable securities & short-term investments                 178,324         4.0                285,103         5.6        Notes payable and lines of credit                            80,109        1.8                85,886        1.7
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       1,978,011        43.9              2,138,614        41.7            Trade, including currently due
       Retainages on contracts                                    530,839        11.8                465,176         9.1                to subcontractors                                1,641,731        36.4            1,725,648        33.6
       Unbilled work                                                72,427        1.6                  17,421        0.3            Subcontracts retainages                                449,218        10.0              379,037         7.4
       Other receivables                                            34,911        0.8                  72,591        1.4            Other                                                    21,803        0.5                36,144        0.7
       Less allowance for doubtful accounts                         (4,442)      (0.1)                 (2,179)      (0.0)               Total accounts payable                           2,112,752        46.8            2,140,829        41.7
           Total receivables, net:                              2,611,746        57.9              2,691,622        52.4
                                                                                                                                Accrued expenses                                           119,751         2.7              171,031         3.3
   Inventories                                                      24,442        0.5                  44,558        0.9        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                      483,357        10.7              557,857        10.9
       of billings on uncompleted contracts                       188,642         4.2                221,860         4.3        Income taxes:
   Investments in and advances to                                                                                                   Current                                                  12,307        0.3                14,165        0.3
       construction joint ventures                                       0        0.0                  71,909        1.4            Deferred                                                  3,435        0.1                 3,170        0.1
   Income taxes:                                                                                                                Other current liabilities                                    21,762        0.5                57,691        1.1
       Current/refundable                                            5,340        0.1                   3,880        0.1                Total current liabilities                        2,868,079        63.6            3,068,818        59.8
       Deferred                                                       167         0.0                   3,159        0.1     Noncurrent liabilities
   Other current assets                                           231,275         5.1                160,725         3.1        Long-term debt, excluding current maturities               152,195         3.4              127,122         2.5
           Total current assets                                 4,039,052        89.6              4,448,810        86.7        Deferred income taxes                                         4,674        0.1                11,252        0.2
                                                                                                                                Other                                                        48,486        1.1                51,431        1.0
Property, plant and equipment                                   1,068,589        23.7              1,249,483        24.3                Total liabilities                                3,073,433        68.1            3,258,623        63.5
Less accumulated depreciation                                    (667,212)      (14.8)              (790,513)      (15.4)    Minority interests                                                  0         0.0                    0         0.0
           Property, plant and equipment, net                     401,377         8.9                458,969         8.9     Net worth:
                                                                                                                                Common stock, par value                                    103,085         2.3              101,248         2.0
Noncurrent assets:                                                                                                              Preferred stock, stated value                                 4,563        0.1                22,633        0.4
   Long-term investments                                            15,931        0.4                  92,952        1.8        Additional paid-in capital                                 136,030         3.0              129,223         2.5
   Deferred income taxes                                             1,334        0.0                  12,416        0.2        Retained earnings                                        1,184,203        26.3            1,519,872        29.6
   Other assets                                                     52,519        1.2                119,181         2.3        Treasury stock                                             (67,947)       (1.5)             (54,413)       (1.1)
           Total noncurrent assets                                  69,784        1.5                224,549         4.4        Excess value of marketable securities                         2,617        0.1                 4,595        0.1
                                                                                                                                Other equity                                                 74,229        1.6              150,546         2.9
                                                                                                                                        Total net worth                                  1,436,780        31.9            1,873,705        36.5

           Total assets                                $        4,510,213       100.0 %   $        5,132,328       100.0 %              Total liabilities and net worth         $        4,510,213       100.0 % $        5,132,328       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                     2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                  Average      Median              Average      Median


Contract revenue                                       $       16,980,064        99.9 %   $       16,081,493        99.8 %   Liquidity Ratios
Other revenue                                                       14,635        0.1                  36,490        0.2
           Total Revenue                                       16,994,699       100.0             16,117,983       100.0        Current Ratio                                                   1.4        1.3                   1.4        1.3
                                                                                                                                Quick Ratio                                                     1.3        1.2                   1.3        1.2
Contract cost                                                 (15,417,872)      (90.7)           (14,480,683)      (89.8)       Days of Cash                                                   16.9       13.0                  21.6       16.3
Other cost                                                          (1,753)      (0.0)               (11,753)       (0.1)       Working Capital Turnover                                       14.5       19.7                  11.7       17.3
           Total cost                                         (15,419,625)      (90.7)           (14,492,436)      (89.9)
                                                                                                                             Profitability Ratios
           Gross Profit                                         1,575,074         9.3              1,625,548        10.1
                                                                                                                                Return on Assets *                                              4.0 %      3.9 %                 4.8 %      4.1 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                             12.5 %      7.6 %                13.3 %     10.7 %
   Payroll                                                       (724,961)       (4.3)              (732,466)       (4.5)       Times Interest Earned                                          16.1       14.5                  22.2       23.4
   Professional fees                                              (49,807)       (0.3)               (61,045)       (0.4)
   Sales & marketing costs                                        (42,008)       (0.2)               (33,847)       (0.2)    Leverage Ratios
   Technology costs                                               (18,505)       (0.1)               (15,273)       (0.1)
   Administrative bonuses                                         (51,173)       (0.3)               (73,275)       (0.5)       Debt to Equity                                                  2.1        2.1                   1.7        2.1
   Other                                                         (544,016)       (3.2)              (489,588)       (3.0)       Revenue to Equity                                              11.8       13.1                   8.6       12.0
           Total SG&A expenses                                 (1,430,469)       (8.4)            (1,405,494)       (8.7)       Asset Turnover                                                  3.8        4.0                   3.1        3.7
                                                                                                                                Fixed Asset Ratio                                              27.9 %     22.4 %                24.5 %     21.1 %
           Income from operations                                 144,605         0.9                220,053         1.4        Equity to SG&A Expense                                          1.0        1.0                   1.3        1.0
                                                                                                                                Underbillings to Equity                                        18.2 %      8.1 %                12.8 %     10.7 %
Interest income                                                      9,410        0.1                  24,767        0.2        Backlog to Equity                                              11.9        7.2                   9.1        7.2
Interest expense                                                  (11,847)       (0.1)               (11,722)       (0.1)
Other income / (expense), net                                       37,215        0.2                  15,176        0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes              179,384         1.1                248,274         1.5
                                                                                                                                Backlog to Working Capital                                     19.9        9.9                  18.3        8.1
Income tax (expense) / benefit                                      (8,028)      (0.0)               (11,808)       (0.1)       Months in Backlog                                               6.8        5.8                   8.9        6.6
                                                                                                                                Days in Accounts Receivable                                    42.5       42.5                  49.3       48.4
           Net earnings                                $          171,356         1.0 %   $          236,466         1.5 %      Days in Inventory                                               0.6        0.7                   1.1        0.7
                                                                                                                                Days in Accounts Payable                                       38.8       39.3                  43.8       39.6
                                                                                                                                Operating Cycle                                                21.2       19.0                  28.3       25.2
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   43                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   67                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                          Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                          $25 - $50 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        2,342,376        21.4 %   $        2,089,823        22.0 %      Current maturity on long-term debt                 $            80,313        0.7 % $            64,156        0.7 %
   Marketable securities & short-term investments                 611,521         5.6                260,527         2.7        Notes payable and lines of credit                               81,928        0.7              247,194         2.6
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       5,078,011        46.3              4,321,976        45.4            Trade, including currently due
       Retainages on contracts                                  1,187,594        10.8                930,992         9.8                to subcontractors                                   4,442,151        40.5            3,760,110        39.5
       Unbilled work                                              112,320         1.0                  14,544        0.2            Subcontracts retainages                                 1,353,834        12.3              893,161         9.4
       Other receivables                                            93,875        0.9                  45,001        0.5            Other                                                       39,884        0.4                30,389        0.3
       Less allowance for doubtful accounts                       (17,588)       (0.2)                 (6,478)      (0.1)               Total accounts payable                              5,835,869        53.2            4,683,661        49.2
           Total receivables, net:                              6,454,213        58.8              5,306,035        55.8
                                                                                                                                Accrued expenses                                              348,996         3.2              450,854         4.7
   Inventories                                                      50,093        0.5                157,714         1.7        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       1,174,437        10.7            1,055,941        11.1
       of billings on uncompleted contracts                       345,770         3.2                440,132         4.6        Income taxes:
   Investments in and advances to                                                                                                   Current                                                     18,350        0.2                20,578        0.2
       construction joint ventures                                   9,378        0.1                  26,132        0.3            Deferred                                                     2,614        0.0                 4,068        0.0
   Income taxes:                                                                                                                Other current liabilities                                       74,976        0.7                42,490        0.4
       Current/refundable                                           12,259        0.1                  21,959        0.2                Total current liabilities                           7,617,485        69.4            6,568,941        69.0
       Deferred                                                     19,982        0.2                   3,516        0.0     Noncurrent liabilities
   Other current assets                                           270,319         2.5                313,133         3.3        Long-term debt, excluding current maturities                  286,644         2.6              300,640         3.2
           Total current assets                                10,115,911        92.2              8,618,972        90.6        Deferred income taxes                                           23,210        0.2                13,368        0.1
                                                                                                                                Other                                                           20,367        0.2                12,646        0.1
Property, plant and equipment                                   1,951,650        17.8              1,663,323        17.5                Total liabilities                                   7,947,706        72.5            6,895,596        72.5
Less accumulated depreciation                                  (1,314,623)      (12.0)            (1,063,976)      (11.2)    Minority interests                                                  9,361        0.1                 3,251        0.0
           Property, plant and equipment, net                     637,027         5.8                599,347         6.3     Net worth:
                                                                                                                                Common stock, par value                                       143,190         1.3              183,233         1.9
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   56,748        0.5                    0         0.0
   Long-term investments                                            33,954        0.3                  85,094        0.9        Additional paid-in capital                                    176,219         1.6              255,923         2.7
   Deferred income taxes                                            11,897        0.1                  53,832        0.6        Retained earnings                                           2,462,011        22.4            1,939,250        20.4
   Other assets                                                   170,109         1.6                157,444         1.7        Treasury stock                                                (23,638)       (0.2)             (38,915)       (0.4)
           Total noncurrent assets                                215,959         2.0                296,370         3.1        Excess value of marketable securities                           32,617        0.3                36,112        0.4
                                                                                                                                Other equity                                                  164,684         1.5              240,241         2.5
                                                                                                                                        Total net worth                                     3,011,830        27.5            2,615,843        27.5

           Total assets                                $       10,968,897       100.0 %   $        9,514,690       100.0 %              Total liabilities and net worth            $       10,968,897       100.0 % $        9,514,690       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $       37,271,803        99.5 %   $       34,359,148        98.8 %   Liquidity Ratios
Other revenue                                                     169,429         0.5                404,126         1.2
           Total Revenue                                       37,441,233       100.0             34,763,274       100.0        Current Ratio                                                      1.3        1.3                   1.3        1.3
                                                                                                                                Quick Ratio                                                        1.2        1.2                   1.2        1.2
Contract cost                                                 (34,186,708)      (91.3)           (31,739,441)      (91.3)       Days of Cash                                                      22.5       18.6                  21.6       20.2
Other cost                                                       (340,750)       (0.9)              (291,203)       (0.8)       Working Capital Turnover                                          15.0       17.0                  17.0       14.8
           Total cost                                         (34,527,458)      (92.2)           (32,030,644)      (92.1)
                                                                                                                             Profitability Ratios
           Gross Profit                                         2,913,775         7.8              2,732,630         7.9
                                                                                                                                Return on Assets *                                                 5.2 %      4.1 %                 5.2 %      4.6 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                19.0 %     16.2 %                19.0 %     17.5 %
   Payroll                                                     (1,392,646)       (3.7)            (1,299,540)       (3.7)       Times Interest Earned                                             24.9       13.4                  20.6        8.4
   Professional fees                                              (76,022)       (0.2)               (73,261)       (0.2)
   Sales & marketing costs                                       (128,651)       (0.3)               (84,768)       (0.2)    Leverage Ratios
   Technology costs                                               (49,445)       (0.1)               (39,204)       (0.1)
   Administrative bonuses                                        (148,365)       (0.4)              (132,851)       (0.4)       Debt to Equity                                                     2.6        3.0                   2.6        2.7
   Other                                                         (615,529)       (1.6)              (681,958)       (2.0)       Revenue to Equity                                                 12.4       14.8                  13.3       14.1
           Total SG&A expenses                                 (2,410,659)       (6.4)            (2,311,582)       (6.6)       Asset Turnover                                                     3.4        3.4                   3.7        3.7
                                                                                                                                Fixed Asset Ratio                                                 21.2 %     17.7 %                22.9 %     19.8 %
           Income from operations                                 503,116         1.3                421,048         1.2        Equity to SG&A Expense                                             1.2        1.2                   1.1        1.1
                                                                                                                                Underbillings to Equity                                           15.2 %      8.9 %                17.4 %     12.6 %
Interest income                                                     42,699        0.1                  32,994        0.1        Backlog to Equity                                                 12.9        9.2                  11.8       10.4
Interest expense                                                  (23,995)       (0.1)               (25,297)       (0.1)
Other income / (expense), net                                       50,800        0.1                  67,960        0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes              572,619         1.5                496,705         1.4
                                                                                                                                Backlog to Working Capital                                        12.1       11.3                  15.9       12.1
Income tax (expense) / benefit                                    (12,856)       (0.0)               (17,476)       (0.1)       Months in Backlog                                                  8.1        7.6                   8.4        6.9
                                                                                                                                Days in Accounts Receivable                                       49.6       47.5                  45.2       43.2
           Net earnings                                $          559,763         1.5 %   $          479,228         1.4 %      Days in Inventory                                                  0.5        0.8                   1.8        0.6
                                                                                                                                Days in Accounts Payable                                          46.7       42.1                  42.6       38.0
                                                                                                                                Operating Cycle                                                   25.9       28.4                  26.0       27.2
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   61                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   60                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                         $50 - $100 Million Revenue
Balance Sheet
                                                           2005 Participants                   2004 Participants                                                                     2005 Participants                 2004 Participants


                                                           Amount              Percent         Amount              Percent                                                           Amount               Percent      Amount              Percent


Current assets:                                                                                                               Current liabilities:
   Cash and cash equivalents                           $        3,457,781        16.4 %    $        3,214,335        14.9 %      Current maturity on long-term debt              $          223,047          1.1 % $          104,886         0.5 %
   Marketable securities & short-term investments               1,503,396         7.1               1,401,580         6.5        Notes payable and lines of credit                          193,466          0.9              603,490         2.8
   Receivables:                                                                                                                  Accounts payable:
       Contract receivables currently due                       8,146,455        38.7              10,293,729        47.8            Trade, including currently due
       Retainages on contracts                                  2,445,742        11.6               1,943,436         9.0                to subcontractors                                7,618,854         36.2            8,673,728        40.3
       Unbilled work                                              632,740         3.0                 715,717         3.3            Subcontracts retainages                              2,597,146         12.3            2,459,601        11.4
       Other receivables                                          124,338         0.6                 197,900         0.9            Other                                                  137,275          0.7              169,565         0.8
       Less allowance for doubtful accounts                       (19,238)       (0.1)                (44,575)       (0.2)               Total accounts payable                          10,353,275         49.2           11,302,895        52.5
           Total receivables, net:                             11,330,037        53.8              13,106,208        60.9
                                                                                                                                 Accrued expenses                                           947,358          4.5              727,682         3.4
   Inventories                                                       6,836        0.0                    6,981        0.0        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                           earnings on uncompleted contracts                    2,233,676         10.6            2,107,463         9.8
       of billings on uncompleted contracts                       835,529         4.0               1,053,056         4.9        Income taxes:
   Investments in and advances to                                                                                                    Current                                                  18,408         0.1                38,687        0.2
       construction joint ventures                                308,385         1.5                 228,476         1.1            Deferred                                                 47,487         0.2                43,333        0.2
   Income taxes:                                                                                                                 Other current liabilities                                  126,861          0.6              363,824         1.7
       Current/refundable                                           43,585        0.2                   19,031        0.1                Total current liabilities                       14,143,578         67.2           15,292,260        71.0
       Deferred                                                     52,271        0.2                   52,201        0.2     Noncurrent liabilities
   Other current assets                                           529,360         2.5                 809,580         3.8        Long-term debt, excluding current maturities             1,356,743          6.4              590,514         2.7
           Total current assets                                18,067,180        85.8              19,891,446        92.4        Deferred income taxes                                        26,645         0.1                16,970        0.1
                                                                                                                                 Other                                                      123,383          0.6                76,743        0.4
Property, plant and equipment                                   3,173,975        15.1               2,984,160        13.9                Total liabilities                               15,650,348         74.4           15,976,486        74.2
Less accumulated depreciation                                  (1,966,677)       (9.3)             (1,925,860)       (8.9)    Minority interests                                              15,676         0.1                 2,176        0.0
           Property, plant and equipment, net                   1,207,298         5.7               1,058,300         4.9     Net worth:
                                                                                                                                 Common stock, par value                                    276,958          1.3              207,841         1.0
Noncurrent assets:                                                                                                               Preferred stock, stated value                                 1,140         0.0                 1,095        0.0
   Long-term investments                                        1,034,649         4.9                 173,985         0.8        Additional paid-in capital                                 534,636          2.5              184,781         0.9
   Deferred income taxes                                            88,741        0.4                   16,931        0.1        Retained earnings                                        4,672,550         22.2            5,246,089        24.4
   Other assets                                                   649,214         3.1                 395,816         1.8        Treasury stock                                            (610,521)        (2.9)            (540,289)       (2.5)
           Total noncurrent assets                              1,772,604         8.4                 586,733         2.7        Excess value of marketable securities                      137,607          0.7                28,658        0.1
                                                                                                                                 Other equity                                               368,689          1.8              429,641         2.0
                                                                                                                                         Total net worth                                  5,381,058         25.6            5,557,817        25.8

           Total assets                                $       21,047,082       100.0 %    $       21,536,479       100.0 %              Total liabilities and net worth         $       21,047,082        100.0 % $       21,536,479       100.0 %



Statement of Earnings                                                                                                         Financial Ratios
                                                           2005 Participants                   2004 Participants                                                                     2005 Participants                 2004 Participants


                                                           Amount              Percent         Amount              Percent                                                                  Average       Median              Average      Median


Contract revenue                                       $       66,995,477        99.8 %    $       68,053,731       100.0 %   Liquidity Ratios
Other revenue                                                     123,516         0.2                   25,537        0.0
           Total Revenue                                       67,118,993       100.0              68,079,268       100.0        Current Ratio                                                   1.3         1.2                   1.3        1.2
                                                                                                                                 Quick Ratio                                                     1.2         1.1                   1.2        1.1
Contract cost                                                 (63,809,790)      (95.1)            (63,322,201)      (93.0)       Days of Cash                                                   18.5        14.7                  17.0       13.1
Other cost                                                        (61,314)       (0.1)                      0         0.0        Working Capital Turnover                                       17.1        23.7                  14.8       17.7
           Total cost                                         (63,871,105)      (95.2)            (63,322,201)      (93.0)
                                                                                                                              Profitability Ratios
           Gross Profit                                         3,247,888         4.8               4,757,067         7.0
                                                                                                                                 Return on Assets *                                             (2.2) %      3.8 %                 3.1 %      3.2 %
Selling, general & administrative expenses:                                                                                      Return on Equity *                                             (8.7) %     17.3 %                12.0 %     11.6 %
   Payroll                                                     (1,844,132)       (2.7)             (2,173,881)       (3.2)       Times Interest Earned                                          (7.2)        9.9                  18.6        5.5
   Professional fees                                             (130,602)       (0.2)               (128,562)       (0.2)
   Sales & marketing costs                                       (191,156)       (0.3)               (196,297)       (0.3)    Leverage Ratios
   Technology costs                                               (88,421)       (0.1)                (83,091)       (0.1)
   Administrative bonuses                                        (372,543)       (0.6)               (422,050)       (0.6)       Debt to Equity                                                  2.9         2.9                   2.9        3.7
   Other                                                       (1,306,814)       (1.9)             (1,242,208)       (1.8)       Revenue to Equity                                              12.5        14.7                  12.2       13.4
           Total SG&A expenses                                 (3,933,667)       (5.9)             (4,246,090)       (6.2)       Asset Turnover                                                  3.2         3.4                   3.2        3.3
                                                                                                                                 Fixed Asset Ratio                                              22.4 %      16.1 %                19.0 %     11.1 %
           Income from operations                                (685,779)       (1.0)                510,977         0.8        Equity to SG&A Expense                                          1.4         1.2                   1.3        1.3
                                                                                                                                 Underbillings to Equity                                        27.3 %      11.8 %                31.8 %     12.6 %
Interest income                                                     75,162        0.1                   91,780        0.1        Backlog to Equity                                              10.0         7.8                  13.9       11.7
Interest expense                                                  (57,450)       (0.1)                (37,886)       (0.1)
Other income / (expense), net                                     197,641         0.3                 102,503         0.2
                                                                                                                              Efficiency Ratios
           Net earnings / (loss) before income taxes             (470,426)       (0.7)                667,374         1.0
                                                                                                                                 Backlog to Working Capital                                     13.3        11.1                  18.2       14.5
Income tax (expense) / benefit                                    (28,718)       (0.0)               (119,259)       (0.2)       Months in Backlog                                               7.9         6.4                  11.2        9.9
                                                                                                                                 Days in Accounts Receivable                                    44.3        45.9                  55.2       44.9
           Net earnings                                $         (499,144)       (0.7) %   $          548,114         0.8 %      Days in Inventory                                               0.0         0.1                   0.0        0.2
                                                                                                                                 Days in Accounts Payable                                       43.7        43.3                  50.3       45.8
                                                                                                                                 Operating Cycle                                                19.1        24.0                  22.0       22.2
Number of Participants
                                                                    Number                                                    * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   43                                                     net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   42                                                     calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                           Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                               More Than $100 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $       20,334,012        17.5 %   $       15,081,479        15.2 %      Current maturity on long-term debt                 $          421,101         0.4 % $          340,286         0.3 %
   Marketable securities & short-term investments              11,363,161         9.8             10,610,189        10.7        Notes payable and lines of credit                             489,462         0.4              628,344         0.6
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      47,825,909        41.2             40,962,118        41.3            Trade, including currently due
       Retainages on contracts                                 16,923,028        14.6             14,378,504        14.5                to subcontractors                                  45,136,694        38.9           37,327,612        37.6
       Unbilled work                                              223,443         0.2                444,040         0.4            Subcontracts retainages                                16,645,943        14.3           14,420,630        14.5
       Other receivables                                        1,777,554         1.5              1,384,299         1.4            Other                                                     459,979         0.4            1,301,071         1.3
       Less allowance for doubtful accounts                       (97,199)       (0.1)               (94,228)       (0.1)               Total accounts payable                             62,242,616        53.6           53,049,313        53.5
           Total receivables, net:                             66,652,735        57.4             57,074,733        57.5
                                                                                                                                Accrued expenses                                            7,213,402         6.2            5,535,885         5.6
   Inventories                                                    148,802         0.1                188,784         0.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                      14,977,155        12.9           11,301,839        11.4
       of billings on uncompleted contracts                     5,163,310         4.4              3,369,703         3.4        Income taxes:
   Investments in and advances to                                                                                                   Current                                                     59,586        0.1                85,125        0.1
       construction joint ventures                                722,326         0.6                334,246         0.3            Deferred                                                  207,832         0.2                17,754        0.0
   Income taxes:                                                                                                                Other current liabilities                                   1,236,108         1.1            1,436,239         1.4
       Current/refundable                                           42,142        0.0                230,882         0.2                Total current liabilities                          86,847,261        74.8           72,394,785        73.0
       Deferred                                                   163,255         0.1                376,661         0.4     Noncurrent liabilities
   Other current assets                                         2,182,697         1.9              2,043,486         2.1        Long-term debt, excluding current maturities                1,656,140         1.4            2,610,585         2.6
           Total current assets                               106,772,440        91.9             89,310,162        90.0        Deferred income taxes                                           79,766        0.1                74,741        0.1
                                                                                                                                Other                                                       1,309,404         1.1            2,192,501         2.2
Property, plant and equipment                                  13,137,680        11.3             13,437,854        13.5                Total liabilities                                  89,892,571        77.4           77,272,612        77.9
Less accumulated depreciation                                  (8,040,211)       (6.9)            (7,469,271)       (7.5)    Minority interests                                               153,044         0.1              111,163         0.1
           Property, plant and equipment, net                   5,097,469         4.4              5,968,583         6.0     Net worth:
                                                                                                                                Common stock, par value                                       536,053         0.5              571,487         0.6
Noncurrent assets:                                                                                                              Preferred stock, stated value                                 408,754         0.4                94,148        0.1
   Long-term investments                                        1,350,572         1.2                785,324         0.8        Additional paid-in capital                                  2,448,128         2.1            1,872,279         1.9
   Deferred income taxes                                          461,114         0.4                557,217         0.6        Retained earnings                                          20,274,882        17.5           17,148,502        17.3
   Other assets                                                 2,485,422         2.1              2,592,396         2.6        Treasury stock                                               (832,869)       (0.7)            (587,269)       (0.6)
           Total noncurrent assets                              4,297,108         3.7              3,934,937         4.0        Excess value of marketable securities                         220,103         0.2              190,796         0.2
                                                                                                                                Other equity                                                3,066,351         2.6            2,539,964         2.6
                                                                                                                                        Total net worth                                    26,121,402        22.5           21,829,907        22.0

           Total assets                                $      116,167,018       100.0 %   $       99,213,682       100.0 %              Total liabilities and net worth            $      116,167,018       100.0 % $       99,213,682       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $      372,878,445       100.0 %   $      327,116,475        98.7 %   Liquidity Ratios
Other revenue                                                     180,341         0.0              4,254,702         1.3
           Total Revenue                                      373,058,785       100.0            331,371,177       100.0        Current Ratio                                                      1.2        1.2                   1.2        1.2
                                                                                                                                Quick Ratio                                                        1.1        1.1                   1.1        1.1
Contract cost                                                (354,120,385)      (94.9)          (309,912,881)      (93.5)       Days of Cash                                                      19.6       17.8                  16.4       15.0
Other cost                                                       (246,219)       (0.1)            (3,471,653)       (1.0)       Working Capital Turnover                                          18.7       19.7                  19.6       25.2
           Total cost                                        (354,366,604)      (95.0)          (313,384,533)      (94.6)
                                                                                                                             Profitability Ratios
           Gross Profit                                        18,692,181         5.0             17,986,644         5.4
                                                                                                                                Return on Assets *                                                 4.5 %      4.4 %                 4.7 %      4.1 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                20.1 %     23.7 %                21.3 %     20.3 %
   Payroll                                                     (7,395,708)       (2.0)            (7,988,228)       (2.4)       Times Interest Earned                                             33.0       24.4                  25.8       16.7
   Professional fees                                             (606,754)       (0.2)              (491,813)       (0.1)
   Sales & marketing costs                                       (709,765)       (0.2)              (470,897)       (0.1)    Leverage Ratios
   Technology costs                                              (664,722)       (0.2)              (269,214)       (0.1)
   Administrative bonuses                                      (1,130,417)       (0.3)              (982,374)       (0.3)       Debt to Equity                                                     3.4        3.9                   3.5        3.9
   Other                                                       (3,634,826)       (1.0)            (3,795,870)       (1.1)       Revenue to Equity                                                 14.3       17.3                  15.2       20.1
           Total SG&A expenses                                (14,142,191)       (3.8)           (13,998,396)       (4.2)       Asset Turnover                                                     3.2        3.5                   3.3        3.6
                                                                                                                                Fixed Asset Ratio                                                 19.5 %     13.2 %                27.3 %     19.2 %
           Income from operations                               4,549,990         1.2              3,988,248         1.2        Equity to SG&A Expense                                             1.8        1.6                   1.6        1.2
                                                                                                                                Underbillings to Equity                                           20.6 %     13.4 %                17.5 %     16.5 %
Interest income                                                   675,726         0.2                588,819         0.2        Backlog to Equity                                                 15.2       14.9                  18.7       14.8
Interest expense                                                 (163,910)       (0.0)              (188,019)       (0.1)
Other income / (expense), net                                     185,214         0.0                271,239         0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            5,247,019         1.4              4,660,287         1.4
                                                                                                                                Backlog to Working Capital                                        19.9       17.7                  24.9       18.9
Income tax (expense) / benefit                                   (534,473)       (0.1)              (642,902)       (0.2)       Months in Backlog                                                 11.4        9.9                  11.2        8.4
                                                                                                                                Days in Accounts Receivable                                       47.8       50.5                  45.9       44.9
           Net earnings                                $        4,712,546         1.3 %   $        4,017,385         1.2 %      Days in Inventory                                                  0.2        0.7                   0.2        0.8
                                                                                                                                Days in Accounts Payable                                          46.3       48.2                  44.4       42.7
                                                                                                                                Operating Cycle                                                   21.2       22.8                  18.1       22.8
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   65                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   61                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Industrial & Nonresidential Contractors
Selected Financial Data by Revenue Best in Class Contractors

                                                                                         ANNUAL REVENUE
                                                                                        Best in                        Best in
All Industrial &                                      Best in               All          Class       All                Class
Nonresidential                                         Class           $0-$50M        $0-$50M     >$50M                >$50M

Number of Companies               227                 53                    119             31           108                22
Assets ($)                     41,193             40,475                  7,520          6,234        78,295            88,725
Liabilities ($)                31,511             30,179                  5,353          4,123        60,333            66,894
Net Worth ($)                   9,633             10,292                  2,162          2,111        17,864            21,819
Net Worth to Assets              23.4   %           25.4        %          28.8   %       33.9   %      22.8       %      24.6   %
Revenues ($)                  133,314            138,769                 26,279         25,870       251,249           297,856
Gross Profit ($)                7,111              9,560                  2,182          2,389        12,543            19,666
Gross Profit Margin               5.3   %            6.9        %           8.3   %        9.2   %       5.0       %       6.6   %
SG&A Expense ($)                5,763              6,188                  1,848          1,572        10,078            12,691
SG&A Expense Margin               4.3   %            4.5        %           7.0   %        6.1   %       4.0       %       4.3   %
Net Earnings ($) *              1,615              3,728                    384            905         2,971             7,705
Net Earnings Margin *             1.2   %            2.7        %           1.5   %        3.5   %       1.2       %       2.6   %
Current Ratio                     1.2                1.3                    1.4            1.4           1.2               1.3
Return on Assets                  3.9   %            9.2        %           5.1   %       14.5   %       3.8       %       8.7   %
Return on Equity                 16.8   %           36.2        %          17.8   %       42.9   %      16.6       %      35.3   %
* Before Taxes


Note: All dollar amounts are in thousands.


                           BE ST IN C L ASS KE Y FINANC IAL C HARAC TE RISTIC S
                                    INDU STRIAL & NO NRE SIDE NTIAL

              40
                                               36.2




              30

              20
                                                                20.2

                                                                        20.4




                                                                                                     18.0

                                                                                                            17.1
                                        16.8




              10
                     3.9




                                                                                  3.3

                                                                                        2.9
                            9.2




               0
                   Return on        Return on              Fixed Asset            Debt to            Working
                   Assets (%)       Equity (%)              Ratio (%)             Equity              Capital
                                                                                                     Turnover
                                               All Companies               Best in Class



        •   Return on Assets: Best in Class Industrial & Nonresidential companies had an average ROA
            of 9.2% — 5.3 percentage points higher than the typical Industrial & Nonresidential
            company. Best in Class Industrial & Nonresidential companies use their assets more
            effectively and efficiently to generate profits.
        •   Return on Equity: Best in Class Industrial & Nonresidential companies had an average ROE
            of 36.2% — 19.4 percentage points higher than the typical company. Best in Class Industrial
            & Nonresidential companies utilize equity more effectively to generate profits.


                                                                               Industrial & Nonresidential Contractors
  •   Fixed Asset Ratio: Best in Class Industrial & Nonresidential companies had an average
      Fixed Asset Ratio of 20.4 — 0.2 percentage points higher than the typical company. Best in
      Class Industrial & Nonresidential companies are using slightly more equity to finance the
      purchase of fixed assets than the typical company.
  •   Debt to Equity: Best in Class Industrial & Nonresidential companies had an average Debt to
      Equity ratio of 2.9 — 0.4 lower than the typical company. Best in Class Industrial &
      Nonresidential companies take less financial risk to generate superior financial performance
      as compared to the typical company.
  •   Working Capital Turnover: Best in Class Industrial & Nonresidential companies turned
      over their working capital an average of 17.1 times — 0.9 times less than the typical
      company. The advantages held in other areas are making up for the lower working capital
      turnover ratio.




Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                                                         Composite: Best in Class
Balance Sheet
                                                           All Participants                  Best in Class                                                                         All Participants                   Best in Class


                                                           Amount             Percent        Amount              Percent                                                           Amount              Percent        Amount              Percent


Current assets:                                                                                                             Current liabilities:
   Cash and cash equivalents                           $        7,286,579       17.7 %   $        9,015,415        22.3 %      Current maturity on long-term debt              $          192,110         0.5 %   $            63,499        0.2 %
   Marketable securities & short-term investments               3,748,113        9.1              3,167,140         7.8        Notes payable and lines of credit                          216,248         0.5                  38,597        0.1
   Receivables:                                                                                                                Accounts payable:
      Contract receivables currently due                       17,039,458       41.4             16,114,434        39.8            Trade, including currently due
      Retainages on contracts                                   5,739,338       13.9              6,133,244        15.2                to subcontractors                               15,924,529        38.7             13,444,905        33.2
      Unbilled work                                               231,244        0.6                129,744         0.3            Subcontracts retainages                              5,716,494        13.9              5,423,470        13.4
      Other receivables                                           564,447        1.4                708,195         1.7            Other                                                  174,023         0.4               257,912          0.6
      Less allowance for doubtful accounts                        (37,123)      (0.1)               (31,230)       (0.1)               Total accounts payable                          21,815,045        53.0             19,126,286        47.3
           Total receivables, net:                             23,537,363       57.1             23,054,388        57.0
                                                                                                                               Accrued expenses                                         2,367,884         5.7              2,719,623         6.7
   Inventories                                                      62,318       0.2                  40,613        0.1        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                         earnings on uncompleted contracts                    5,128,250        12.4              7,056,515        17.4
      of billings on uncompleted contracts                      1,771,079        4.3              1,236,654         3.1        Income taxes:
   Investments in and advances to                                                                                                  Current                                                  27,894        0.1                  16,822        0.0
      construction joint ventures                                 267,770        0.7                381,659         0.9            Deferred                                                 70,298        0.2                   3,058        0.0
   Income taxes:                                                                                                               Other current liabilities                                  403,782         1.0               500,934          1.2
      Current/refundable                                            24,682       0.1                  14,232        0.0                Total current liabilities                       30,221,513        73.4             29,525,335        72.9
      Deferred                                                      62,432       0.2                   1,327        0.0     Noncurrent liabilities
   Other current assets                                           848,258        2.1                728,932         1.8        Long-term debt, excluding current maturities               840,236         2.0               213,921          0.5
           Total current assets                                37,608,594       91.3             37,640,358        93.0        Deferred income taxes                                        35,588        0.1                  13,191        0.0
                                                                                                                               Other                                                      413,410         1.0               426,630          1.1
Property, plant and equipment                                   5,129,943       12.5              5,402,769        13.3                Total liabilities                               31,510,746        76.5             30,179,077        74.6
Less accumulated depreciation                                  (3,184,441)      (7.7)            (3,299,757)       (8.2)    Minority interests                                              49,308        0.1                   4,514        0.0
           Property, plant and equipment, net                   1,945,503        4.7              2,103,012         5.2     Net worth:
                                                                                                                               Common stock, par value                                    267,875         0.7               271,637          0.7
Noncurrent assets:                                                                                                             Preferred stock, stated value                              134,469         0.3                  44,557        0.1
   Long-term investments                                          594,860        1.4                306,146         0.8        Additional paid-in capital                                 879,010         2.1               568,303          1.4
   Deferred income taxes                                          152,721        0.4                         0      0.0        Retained earnings                                        7,614,959        18.5              7,329,149        18.1
   Other assets                                                   890,988        2.2                425,849         1.1        Treasury stock                                            (374,562)       (0.9)              (565,508)       (1.4)
           Total noncurrent assets                              1,638,569        4.0                731,995         1.8        Excess value of marketable securities                        98,515        0.2               215,164          0.5
                                                                                                                               Other equity                                             1,012,347         2.5              2,428,472         6.0
                                                                                                                                       Total net worth                                  9,632,612        23.4             10,291,774        25.4

           Total assets                                $       41,192,667      100.0 %   $       40,475,365       100.0 %              Total liabilities and net worth         $       41,192,667       100.0 %   $       40,475,365       100.0 %



Statement of Earnings                                                                                                       Financial Ratios
                                                           All Participants                  Best in Class                                                                         All Participants                   Best in Class


                                                           Amount             Percent        Amount              Percent                                                                  Average      Median                Average      Median


Contract revenue                                       $      133,182,935       99.9 %   $      138,744,811       100.0 %   Liquidity Ratios
Other revenue                                                     130,634        0.1                  24,572        0.0
           Total Revenue                                      133,313,569      100.0            138,769,383       100.0        Current Ratio                                                   1.2        1.3                     1.3        1.4
                                                                                                                               Quick Ratio                                                     1.1        1.2                     1.2        1.3
Contract cost                                                (126,002,256)     (94.5)          (129,180,980)      (93.1)       Days of Cash                                                   19.7       16.3                    23.4       19.8
Other cost                                                       (200,044)      (0.2)               (27,934)       (0.0)       Working Capital Turnover                                       18.0       18.5                    17.1       17.3
           Total cost                                        (126,202,300)     (94.7)          (129,208,914)      (93.1)
                                                                                                                            Profitability Ratios
           Gross Profit                                         7,111,269        5.3              9,560,469         6.9
                                                                                                                               Return on Assets *                                              3.9 %      4.1 %                   9.2 %     11.9 %
Selling, general & administrative expenses:                                                                                    Return on Equity *                                             16.8 %     16.9 %                  36.2 %     40.2 %
   Payroll                                                     (3,002,109)      (2.3)            (3,029,699)       (2.2)       Times Interest Earned                                          25.2       14.3                   282.6       66.8
   Professional fees                                             (229,973)      (0.2)              (185,740)       (0.1)
   Sales & marketing costs                                       (283,391)      (0.2)              (175,939)       (0.1)    Leverage Ratios
   Technology costs                                              (224,549)      (0.2)              (185,985)       (0.1)
   Administrative bonuses                                        (445,999)      (0.3)              (541,135)       (0.4)       Debt to Equity                                                  3.3        3.1                     2.9        2.3
   Other                                                       (1,577,207)      (1.2)            (2,069,020)       (1.5)       Revenue to Equity                                              13.8       14.9                    13.5       13.2
           Total SG&A expenses                                 (5,763,229)      (4.3)            (6,187,518)       (4.5)       Asset Turnover                                                  3.2        3.5                     3.4        3.8
                                                                                                                               Fixed Asset Ratio                                              20.2 %     16.7 %                  20.4 %     13.6 %
           Income from operations                               1,348,040        1.0              3,372,951         2.4        Equity to SG&A Expense                                          1.7        1.2                     1.7        1.3
                                                                                                                               Underbillings to Equity                                        20.8 %     10.6 %                  13.3 %      8.9 %
Interest income                                                   221,383        0.2                189,615         0.1        Backlog to Equity                                              12.4        9.2                     9.1        6.5
Interest expense                                                  (66,769)      (0.1)               (13,239)       (0.0)
Other income / (expense), net                                     111,901        0.1                178,374         0.1
                                                                                                                            Efficiency Ratios
           Net earnings / (loss) before income taxes            1,614,555        1.2              3,727,701         2.7
                                                                                                                               Backlog to Working Capital                                     16.3       11.9                    11.0        9.8
Income tax (expense) / benefit                                   (164,042)      (0.1)               (88,377)       (0.1)       Months in Backlog                                               8.6        7.3                     8.0        6.2
                                                                                                                               Days in Accounts Receivable                                    47.4       47.3                    43.6       39.4
           Net earnings                                $        1,450,513        1.1 %   $        3,639,324         2.6 %      Days in Inventory                                               0.2        0.6                     0.1        0.7
                                                                                                                               Days in Accounts Payable                                       45.9       43.3                    38.2       35.7
                                                                                                                               Operating Cycle                                                21.4       24.3                    28.9       29.7
Number of Participants
                                                                   Number                             Number                * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
                                                                     227                                 53                 net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
                                                                                                                            calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                         Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                             Less Than $50 Million Revenue: Best in Class
Balance Sheet
                                                           All Participants                  Best in Class                                                                            All Participants                   Best in Class


                                                           Amount             Percent        Amount              Percent                                                              Amount              Percent        Amount              Percent


Current assets:                                                                                                             Current liabilities:
   Cash and cash equivalents                           $        1,543,345       20.5 %   $        1,541,159        24.7 %      Current maturity on long-term debt                 $            55,853        0.7 %   $            24,614        0.4 %
   Marketable securities & short-term investments                 399,749        5.3                445,469         7.1        Notes payable and lines of credit                               75,247        1.0                   2,689        0.0
   Receivables:                                                                                                                Accounts payable:
      Contract receivables currently due                        3,436,766       45.7              2,810,110        45.1            Trade, including currently due
      Retainages on contracts                                     820,722       10.9                428,442         6.9                to subcontractors                                   2,969,514        39.5              2,274,297        36.5
      Unbilled work                                                 90,427       1.2                196,638         3.2            Subcontracts retainages                                   873,785        11.6               586,814          9.4
      Other receivables                                             60,857       0.8                  23,765        0.4            Other                                                       31,108        0.4                  20,721        0.3
      Less allowance for doubtful accounts                        (10,772)      (0.1)                 (4,397)      (0.1)               Total accounts payable                              3,874,407        51.5              2,881,832        46.2
           Total receivables, net:                              4,398,001       58.5              3,454,558        55.4
                                                                                                                               Accrued expenses                                              234,473         3.1               285,023          4.6
   Inventories                                                      35,126       0.5                  14,626        0.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                         earnings on uncompleted contracts                         794,535        10.6               750,631         12.0
      of billings on uncompleted contracts                        256,236        3.4                207,294         3.3        Income taxes:
   Investments in and advances to                                                                                                  Current                                                     14,012        0.2                  24,965        0.4
      construction joint ventures                                    4,807       0.1                   5,484        0.1            Deferred                                                     3,417        0.0                   3,809        0.1
   Income taxes:                                                                                                               Other current liabilities                                       49,215        0.7                  43,127        0.7
      Current/refundable                                             8,314       0.1                   6,721        0.1                Total current liabilities                           5,101,158        67.8              4,016,690        64.4
      Deferred                                                      11,033       0.1                   2,269        0.0     Noncurrent liabilities
   Other current assets                                           234,595        3.1                109,037         1.7        Long-term debt, excluding current maturities                  207,936         2.8                  81,600        1.3
           Total current assets                                 6,891,207       91.6              5,786,616        92.8        Deferred income taxes                                           14,688        0.2                   2,488        0.0
                                                                                                                               Other                                                           28,801        0.4                  22,252        0.4
Property, plant and equipment                                   1,462,748       19.5              1,021,865        16.4                Total liabilities                                   5,352,583        71.2              4,123,029        66.1
Less accumulated depreciation                                    (972,161)     (12.9)              (643,450)      (10.3)    Minority interests                                                  4,798        0.1                         0      0.0
           Property, plant and equipment, net                     490,587        6.5                378,415         6.1     Net worth:
                                                                                                                               Common stock, par value                                       118,109         1.6                  66,569        1.1
Noncurrent assets:                                                                                                             Preferred stock, stated value                                   32,827        0.4                  76,177        1.2
   Long-term investments                                            23,161       0.3                  20,900        0.3        Additional paid-in capital                                    146,366         1.9                  48,707        0.8
   Deferred income taxes                                             7,390       0.1                         0      0.0        Retained earnings                                           1,763,099        23.4              1,931,441        31.0
   Other assets                                                   107,443        1.4                  48,014        0.8        Treasury stock                                                (38,964)       (0.5)                 (8,710)      (0.1)
           Total noncurrent assets                                137,994        1.8                  68,914        1.1        Excess value of marketable securities                           17,976        0.2                   2,637        0.0
                                                                                                                               Other equity                                                  122,994         1.6                  (5,905)      (0.1)
                                                                                                                                       Total net worth                                     2,162,406        28.8              2,110,917        33.9

           Total assets                                $        7,519,787      100.0 %   $        6,233,945       100.0 %              Total liabilities and net worth            $        7,519,787       100.0 %   $        6,233,945       100.0 %



Statement of Earnings                                                                                                       Financial Ratios
                                                           All Participants                  Best in Class                                                                            All Participants                   Best in Class


                                                           Amount             Percent        Amount              Percent                                                                     Average      Median                Average      Median


Contract revenue                                       $       26,173,292       99.6 %   $       25,827,527        99.8 %   Liquidity Ratios
Other revenue                                                     106,055        0.4                  42,011        0.2
           Total Revenue                                       26,279,347      100.0             25,869,537       100.0        Current Ratio                                                      1.4        1.3                     1.4        1.4
                                                                                                                               Quick Ratio                                                        1.2        1.2                     1.4        1.4
Contract cost                                                 (23,872,824)     (90.8)           (23,433,207)      (90.6)       Days of Cash                                                      21.1       15.7                    21.4       19.2
Other cost                                                       (224,951)      (0.9)               (47,759)       (0.2)       Working Capital Turnover                                          14.7       17.0                    14.6       15.0
           Total cost                                         (24,097,775)     (91.7)           (23,480,966)      (90.8)
                                                                                                                            Profitability Ratios
           Gross Profit                                         2,181,572        8.3              2,388,571         9.2
                                                                                                                               Return on Assets *                                                 5.1 %      3.9 %                  14.5 %     13.6 %
Selling, general & administrative expenses:                                                                                    Return on Equity *                                                17.8 %     13.8 %                  42.9 %     44.2 %
   Payroll                                                     (1,020,674)      (3.9)              (911,130)       (3.5)       Times Interest Earned                                             23.5       13.4                   944.5       73.4
   Professional fees                                              (60,075)      (0.2)               (47,607)       (0.2)
   Sales & marketing costs                                        (83,827)      (0.3)               (62,042)       (0.2)    Leverage Ratios
   Technology costs                                               (33,308)      (0.1)               (20,280)       (0.1)
   Administrative bonuses                                         (98,701)      (0.4)              (113,152)       (0.4)       Debt to Equity                                                     2.5        2.4                     2.0        2.0
   Other                                                         (551,002)      (2.1)              (417,891)       (1.6)       Revenue to Equity                                                 12.2       13.1                    12.3       11.3
           Total SG&A expenses                                 (1,847,587)      (7.0)            (1,572,102)       (6.1)       Asset Turnover                                                     3.5        3.6                     4.1        4.1
                                                                                                                               Fixed Asset Ratio                                                 22.7 %     18.0 %                  17.9 %     16.2 %
           Income from operations                                 333,985        1.3                816,470         3.2        Equity to SG&A Expense                                             1.2        1.1                     1.3        1.3
                                                                                                                               Underbillings to Equity                                           16.0 %      8.8 %                  19.1 %      3.8 %
Interest income                                                     26,049       0.1                  23,041        0.1        Backlog to Equity                                                 11.6        7.8                     7.4        5.3
Interest expense                                                  (17,076)      (0.1)                   (960)      (0.0)
Other income / (expense), net                                       40,874       0.2                  66,884        0.3
                                                                                                                            Efficiency Ratios
           Net earnings / (loss) before income taxes              383,832        1.5                905,435         3.5
                                                                                                                               Backlog to Working Capital                                        15.4        9.6                     8.6        7.5
Income tax (expense) / benefit                                    (10,605)      (0.0)               (33,972)       (0.1)       Months in Backlog                                                  7.2        6.3                     6.5        5.9
                                                                                                                               Days in Accounts Receivable                                       47.8       46.6                    39.4       37.2
           Net earnings                                $          373,227        1.4 %   $          871,463         3.4 %      Days in Inventory                                                  0.5        0.7                     0.2        0.7
                                                                                                                               Days in Accounts Payable                                          44.8       40.6                    35.2       35.1
                                                                                                                               Operating Cycle                                                   24.6       25.0                    25.9       29.4
Number of Participants
                                                                   Number                             Number                * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
                                                                     119                                 31                 net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
                                                                                                                            calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                         Note: Not all figures will apear to sum due to rounding.

      Industrial & Nonresidential Contractors
             Industrial & Nonresidential Contractors
                                                            More Than $50 Million Revenue: Best in Class
Balance Sheet
                                                           All Participants                  Best in Class                                                                         All Participants                   Best in Class


                                                           Amount             Percent        Amount              Percent                                                           Amount              Percent        Amount              Percent


Current assets:                                                                                                             Current liabilities:
   Cash and cash equivalents                           $       13,614,772       17.4 %   $       19,547,320        22.0 %      Current maturity on long-term debt              $          342,246         0.4 %   $         118,292          0.1 %
   Marketable securities & short-term investments               7,437,513        9.5              7,002,222         7.9        Notes payable and lines of credit                          371,611         0.5                  89,194        0.1
   Receivables:                                                                                                                Accounts payable:
      Contract receivables currently due                       32,027,608       40.9             34,861,436        39.3            Trade, including currently due
      Retainages on contracts                                  11,158,924       14.3             14,171,828        16.0                to subcontractors                               30,199,035        38.6             29,185,306        32.9
      Unbilled work                                               386,404        0.5                  35,486        0.0            Subcontracts retainages                             11,052,441        14.1             12,238,757        13.8
      Other receivables                                         1,119,329        1.4              1,672,620         1.9            Other                                                  331,495         0.4               592,135          0.7
      Less allowance for doubtful accounts                        (66,159)      (0.1)               (69,040)       (0.1)               Total accounts payable                          41,582,971        53.1             42,016,199        47.4
           Total receivables, net:                             44,626,106       57.0             50,672,330        57.1
                                                                                                                               Accrued expenses                                         4,718,588         6.0              6,150,197         6.9
   Inventories                                                      92,278       0.1                  77,230        0.1        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                         earnings on uncompleted contracts                    9,903,362        12.6             15,942,079        18.0
      of billings on uncompleted contracts                      3,440,212        4.4              2,687,117         3.0        Income taxes:
   Investments in and advances to                                                                                                  Current                                                  43,191        0.1                   5,349        0.0
      construction joint ventures                                 557,516        0.7                911,723         1.0            Deferred                                               143,991         0.2                   2,000        0.0
   Income taxes:                                                                                                               Other current liabilities                                  794,463         1.0              1,146,026         1.3
      Current/refundable                                            42,717       0.1                  24,815        0.0                Total current liabilities                       57,900,424        74.0             65,469,336        73.8
      Deferred                                                    119,067        0.2                         0      0.0     Noncurrent liabilities
   Other current assets                                         1,524,424        1.9              1,602,421         1.8        Long-term debt, excluding current maturities             1,536,936         2.0               400,373          0.5
           Total current assets                                71,454,605       91.3             82,525,177        93.0        Deferred income taxes                                        58,616        0.1                  28,273        0.0
                                                                                                                               Other                                                      837,192         1.1               996,435          1.1
Property, plant and equipment                                   9,170,649       11.7             11,575,862        13.0                Total liabilities                               60,333,168        77.1             66,894,417        75.4
Less accumulated depreciation                                  (5,622,045)      (7.2)            (7,042,736)       (7.9)    Minority interests                                              98,351        0.1                  10,876        0.0
           Property, plant and equipment, net                   3,548,605        4.5              4,533,126         5.1     Net worth:
                                                                                                                               Common stock, par value                                    432,895         0.6               560,595          0.6
Noncurrent assets:                                                                                                             Preferred stock, stated value                              246,463         0.3                         0      0.0
   Long-term investments                                        1,224,788        1.6                708,082         0.8        Additional paid-in capital                               1,686,275         2.2              1,300,460         1.5
   Deferred income taxes                                          312,854        0.4                         0      0.0        Retained earnings                                       14,062,843        18.0             14,935,011        16.8
   Other assets                                                 1,754,339        2.2                958,253         1.1        Treasury stock                                            (744,342)       (1.0)            (1,350,086)       (1.5)
           Total noncurrent assets                              3,291,982        4.2              1,666,335         1.9        Excess value of marketable securities                      187,257         0.2               514,634          0.6
                                                                                                                               Other equity                                             1,992,282         2.5              5,858,731         6.6
                                                                                                                                       Total net worth                                 17,863,672        22.8             21,819,345        24.6

           Total assets                                $       78,295,191      100.0 %   $       88,724,638       100.0 %              Total liabilities and net worth         $       78,295,191       100.0 %   $       88,724,638       100.0 %



Statement of Earnings                                                                                                       Financial Ratios
                                                           All Participants                  Best in Class                                                                         All Participants                   Best in Class


                                                           Amount             Percent        Amount              Percent                                                                  Average      Median                Average      Median


Contract revenue                                       $      251,091,707       99.9 %   $      297,855,530       100.0 %   Liquidity Ratios
Other revenue                                                     157,716        0.1                         0      0.0
           Total Revenue                                      251,249,424      100.0            297,855,530       100.0        Current Ratio                                                   1.2        1.2                     1.3        1.3
                                                                                                                               Quick Ratio                                                     1.1        1.1                     1.2        1.2
Contract cost                                                (238,533,759)     (94.9)          (278,189,205)      (93.4)       Days of Cash                                                   19.5       16.5                    23.6       20.9
Other cost                                                       (172,600)      (0.1)                        0      0.0        Working Capital Turnover                                       18.5       19.9                    17.5       19.6
           Total cost                                        (238,706,359)     (95.0)          (278,189,205)      (93.4)
                                                                                                                            Profitability Ratios
           Gross Profit                                        12,543,065        5.0             19,666,325         6.6
                                                                                                                               Return on Assets *                                              3.8 %      4.2 %                   8.7 %      8.9 %
Selling, general & administrative expenses:                                                                                    Return on Equity *                                             16.6 %     23.1 %                  35.3 %     40.1 %
   Payroll                                                     (5,185,358)      (2.1)            (6,014,955)       (2.0)       Times Interest Earned                                          25.4       16.2                   253.3       60.8
   Professional fees                                             (417,175)      (0.2)              (380,382)       (0.1)
   Sales & marketing costs                                       (503,282)      (0.2)              (336,431)       (0.1)    Leverage Ratios
   Technology costs                                              (435,269)      (0.2)              (419,479)       (0.1)
   Administrative bonuses                                        (828,671)      (0.3)            (1,144,203)       (0.4)       Debt to Equity                                                  3.4        3.7                     3.1        2.9
   Other                                                       (2,707,932)      (1.1)            (4,395,611)       (1.5)       Revenue to Equity                                              14.1       16.7                    13.7       15.6
           Total SG&A expenses                                (10,077,686)      (4.0)           (12,691,060)       (4.3)       Asset Turnover                                                  3.2        3.5                     3.4        3.6
                                                                                                                               Fixed Asset Ratio                                              19.9 %     13.9 %                  20.8 %     11.2 %
           Income from operations                               2,465,378        1.0              6,975,265         2.3        Equity to SG&A Expense                                          1.8        1.4                     1.7        1.3
                                                                                                                               Underbillings to Equity                                        21.4 %     13.1 %                  12.5 %     10.7 %
Interest income                                                   436,612        0.2                424,334         0.1        Backlog to Equity                                              13.3       11.5                    11.6       10.4
Interest expense                                                 (121,523)      (0.0)               (30,542)       (0.0)
Other income / (expense), net                                     190,162        0.1                335,475         0.1
                                                                                                                            Efficiency Ratios
           Net earnings / (loss) before income taxes            2,970,629        1.2              7,704,530         2.6
                                                                                                                               Backlog to Working Capital                                     17.4       15.8                    14.4       11.9
Income tax (expense) / benefit                                   (333,107)      (0.1)              (165,039)       (0.1)       Months in Backlog                                              10.1        8.7                    10.1        6.5
                                                                                                                               Days in Accounts Receivable                                    47.4       49.7                    44.1       42.4
           Net earnings                                $        2,637,521        1.0 %   $        7,539,491         2.5 %      Days in Inventory                                               0.1        0.3                     0.1        0.3
                                                                                                                               Days in Accounts Payable                                       46.0       46.2                    38.5       37.5
                                                                                                                               Operating Cycle                                                21.0       23.4                    29.3       29.9
Number of Participants
                                                                   Number                             Number                * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
                                                                     108                                 22                 net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
                                                                                                                            calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                         Industrial & Nonresidential Contractors
HEAVY & HIGHWAY
CONTRACTORS




         C F M A ’s 2 0 0 5
         Construction
         Industry Annual
         Financial Survey
General Profile

Twenty percent of this year’s survey participants were Heavy & Highway contractors. The NAIC codes
represented by this group include Highway and Street Construction (NAIC 23411), Bridge and Tunnel
Construction (NAIC 23412), Water, Sewer and Pipeline Construction (NAIC 23491), Power and
Communication Transmission Line Construction (NAIC 23492), Industrial Non-Building Structure
Construction (NAIC 23493), and All Other Heavy Construction (NAIC 23499).

Two-thirds, or 67%, of this year’s participants also participated in 2004. A large majority (95%) are
CFMA members.

The percentage of participants incorporated as S corporations increased to 60%; up from 57% in 2004.

As compared to the industry average, slightly more Heavy & Highway companies are employee-owned.
There are more foreign-owned Heavy & Highway companies (2%) than all companies (1%).

Seventy-eight percent of Heavy & Highway companies are general contractors.

Consistent with prior years, almost two-thirds of Heavy & Highway revenue is derived from public
sources.

Heavy & Highway participants are fairly well distributed across the geographic regions. A quarter of
participants were from the Midwest.

Seventy-six percent of the Heavy & Highway participants have been in business over 20 years.

Twenty-two percent of Heavy & Highway contractors have had a change in majority ownership over the
last five years. Of those, a sale to another domestic company is the most common form of transition.
Other forms of transition included transfer to family or into an employee stock ownership plan trust
(ESOP).

Eleven percent of Heavy & Highway contractors were eligible to bid on public projects as Disadvantaged
Business Enterprises. The majority of those were Small Business Enterprises.

The number of accounting personnel at Heavy & Highway companies typically ranged from 3 to 21,
depending on the size of the company.

For a complete breakdown of survey answers, please see Appendix A.




      Heavy & Highway Contractors
                            L E GAL FO RM O F BU SINE SS
                                 HE AVY & HIGHW AY
80%


60%




                                                                                 60%
                                                                  57%
                               55%




                                                52%
             49%
40%

       43%




                         41%




                                          39%




                                                           34%
20%




                                                                           25%
0%
        2001              2002             2003             2004            2005


                               C corporation      S corporation



                        O W NE RSHIP O F BU SINE SS

      All C o mp a n ie s                             He a vy & Hig h w a y

             4%    1%                                      7% 2%
      1%                                              2%




                               94%
                                                                         90%
                   Private       Public   Employee      Other


                            TYP E O F C O NTRAC TO R
                                Other
                                     6%



           Specialty                                     Industrial &
            Trade                                       Nonresidential
             31%                                            43%




                   Heavy &
                   Highw ay
                     20%




                                                                 Heavy & Highway Contractors
                                         RO L E O F C O NTRAC TO R

                   All C o mp a n ie s                                    He a vy & Hig h w a y
                       6%                                                          4%
                                                                      18%




        33%

                                                 60%
                                                                                                    78%



                             General Contractor               Subcontractor     Other

                                                 SO U RC E O F W O RK
                                                 HE AVY & HIGHW AY
          100%

            80%
                           65%                68%               65%             69%          64%
            60%

            40%

            20%            35%                32%               35%             31%          36%

              0%
                           2001               2002              2003            2004         2005

                                                        Private        Public


                                    L O C ATIO N O F W O RK BY RE GIO N
                                            HE AVY & HIGHW AY
      30%

      25%
                                                  26%
                                                        25%




      20%
                                  21%
               18%




                                                                                                    18%




      15%
                                                                   16%
                     15%




                                        16%




                                                                                       15%
                                                                         12%




      10%
                                                                                              11%
                                                                                  9%




       5%

       0%
              Northeast Southeast                Midw est        Southwest        West       Far West


                                          2004          2005             Headquarters




Heavy & Highway Contractors
                                L O NGE VITY O F BU SINE SS
                                    HE AVY & HIGHW AY
50%




                                                                          45%
40%




                                                          38%

                                                                41%
30%




                                                                                35%
20%




                                  7%
10%
                 4%



                           5%




                                                14%
                                          10%
            2%




0%
        0-5 Years        6-10 Years     11-20 Years    21-50 Years      More Than
                                                                         50 Years


                                2004     2005         All Companies




                      MAJO RITY O W NE RSHIP C HANGE S

            All C o mp a n ie s                        He a vy & Hig h w a y
                                  17%
                                                                          22%




                                                 78%
      83%



        Majority Ownership Changed Within the Last Five Years
        No Change in Majority Ow nership Within the Last Five Years




                                                                Heavy & Highway Contractors
                                  ME THO DS O F C HANGING MAJO RITY O W NE RSHIP
     40%




                                                                             35%
     30%



                 31%



                                        31%
                                        29%
     20%




                                                                   24%




                                                                                        18%



                                                                                                            6%
     10%




                                                                                      12%
                           12%




                                                                                                  1%



                                                                                                                    1%
                                                                                                                    0%


                                                                                                                                     0%
                                                                                                                                     0%


                                                                                                                                                 0%
                                                                                                                                                 0%
       0%




                                                                                                                     Bankruptcy



                                                                                                                                      IPO
                                                                                       ESOP
                                                                  Domestic
                Employee




                                                                                                                                                 Other
                                                                                                  Foreign
                                      Transfer to




                                                                                                            Sale
                                                    Family



                                                                             Sale
                           Sale




                                                                    All Companies              Heavy & Highway


                                             DISADVANTAGE D BU SINE SS E NTE RP RISE S
                                                           HE AVY & HIGHW AY
                                                (Bre a kd o w n o f Th o s e Th a t Q u a lify)
       80%

       60%
                                                                                                                                      64%

       40%

       20%                              27%
                                                                                              9%
           0%
                           Minority Business                                          Woman-Owned                                 Small Business
                              Enterprise                                            Business Enterprise                             Enterprise

                                                     AVE RAGE AC C O U NTING P E RSO NNE L
                                                           BY C O MP ANY RE VE NU E
     30

                                                                                                                                            26
     20
                                                                                                                              21

                                                                                                                   16
                                                                                                                                                 14
     10                                                                                  12


                   5                                          4                               6
                                  3                                      4
       0
                     <10M                                    10M-25M                    25M-50M                    50M-100M                 >100M

                                                              All Companies                   Heavy & Highw ay




Heavy & Highway Contractors
Economy and Competition

Heavy & Highway contractors are as optimistic in their expectations of sales growth over 2005 as
compared to other contractor types. Sixty-two percent expect growth.

Heavy & Highway contractors expected the highest growth markets to be in their own sector and in
residential construction.

Twenty-three percent of Heavy & Highway contractors anticipate entering new markets in 2005.
Domestically, the highest growth is anticipated in the Southeast. Canada is the top target outside the US.

Existing contractors pursuing growth and/or aggressive marketing remains the frontrunner in terms of
perceived competitive threats.

Although healthcare insurance costs remains a challenge facing the Heavy & Highway sector, the top
challenge is the shortage of trained field help.

Most contractors either had an increase in backlog or maintained the same level of backlog, although 16%
experienced a decrease.


                    ANTIC IP ATE D GRO W TH IN NE XT YE AR'S SAL E S VO L U ME
                                      HE AVY & HIGHW AY

                            2004                                         2005


                                                               27%
                32%


                                               49%


                                                           11%                           62%


                    19%

                                   Increase    Decrease     No Change




                                                                       Heavy & Highway Contractors
MARKETS WITH THE HIGHEST ANTICIPATED GROWTH

(Highest growth market = 1, lowest growth market = 5)

                                     Heavy &           Heavy &                All

                                     Highway           Highway          Companies

                                      2004               2005             2005



Residential                                2              1                   1

Heavy & Highway                            1              2                   4

Industrial & Nonresidential                3              3                   2

Real Estate Development                    4              4                   3

Specialty Trade                            5              5                   5




                       C O MP ANIE S E NTE RING NE W GE O GRAP HIC RE GIO NS

              30%


                                           25%                                23%
              20%
                              21%                                20%


              10%



              0%
                                    2004                               2005

                                       All Companies   Heavy & Highw ay




     Heavy & Highway Contractors
                                     ARE AS O F RE GIO NAL GRO W TH
                                           HE AVY & HIGHW AY
60%




                        57%
40%




20%




                                                                     26%




                                                                                               26%
                                        26%
           22%




                                                      17%




                                                                                     0%
 0%
        Northeast Southeast           Midw est     Southwest     West           Far West    Foreign




                         SO U RC E S O F INC RE ASE D C O MP E TITIO N
                                     HE AVY & HIGHW AY
 75%

                                                               71%
              62%
 50%



 25%

                    19%                                               17%
                              11%                                              1%     11% *N/A
                                      0%      8%
  0%
                              2004                                            2005
  Existing C ontractors Pursuing Growth                New C ontractors in Your Type of C onstruction
  Foreign C ontractors                                 New C ontractors in Your Region
  Other

* N/A: Other was not included as an option in 2005.




                                                                           Heavy & Highway Contractors
TOP FIVE CHALLENGES IN THE NEXT FIVE YEARS



Percent Selected Within Top Five

2004                                          2005

Challenge                               %     Challenge                               %



Shortage of Trained Field Help          68%   Shortage of Trained Field Help          73%

Healthcare Insurance Costs              59%   Healthcare Insurance Costs              71%

Workers' Compensation Insurance Costs   58%   Workers' Compensation Insurance Costs   54%

General Liability Insurance Costs       52%   Shortage of Project Managers            43%

Sources of Future Work                  44%   General Liability Insurance Costs       42%



Percent Selected as Number One Challenge

2004                                          2005

Challenge                               %     Challenge                               %



Sources of Future Work                  20%   Shortage of Trained Field Help          34%

Shortage of Trained Field Help          19%   Sources of Future Work                  12%

Workers' Compensation Insurance Costs   11%   Healthcare Insurance Costs              11%

General Liability Insurance Costs       11%   Shortage of Project Managers            8%

Healthcare Insurance Costs              7%    Workers' Compensation Insurance Costs   7%




       Heavy & Highway Contractors
               SIZE O F BAC KL O G C O MP ARE D TO L AST YE AR

             All C o mp a n ie s                           He a vy & Hig h w a y


        22%                                               20%




                                         55%        16%

       23%                                                                          64%



                          Increase       Decrease    No Change


                              BAC KL O G AT YE AR-E ND ($ M)
$120

$100                                $113.7
 $80
                                                          $87.9
 $60         $76.2

 $40

 $20                                                                        $27.6

  $0
         All Companies         Industrial &      Heavy & Highw ay Specialty Trade
                              Nonresidential


                   ME THO DS O F O BTAINING W O RK-IN-P RO GRE SS
                                    AND BAC KL O G
100%

80%
                   80%
60%
             57%
40%
                                   40%
20%
                                         18%           2%                  1%      1%
                                                              1%
 0%
         Competitive Bid           Negotiation      Related Parties          Other
                              All Companies      Heavy & Highway




                                                                  Heavy & Highway Contractors
                 STRATE GIE S TO IMP RO VE FU TU RE P RO FITABIL ITY

                                                                                      90%
         Do What We Do Better
                                                                                      91%
                                                                               68%
             Risk Management
                                                                         60%
                                                                      56%
                       Training
                                                                      55%

                               IT                                  44%
                                                                   48%
                                                       30%
                   Design-Build                              39%
                                                         35%
                 C ut Overhead
                                                             38%
                                                   25%
              Related Services
                                                     32%
                                           11%
                          M&A
                                          8%

   Invest in Unrelated Business           7%
                                         3%

                         Other       1%
                                       5%

                                    0%           25%           50%             75%     100%
                              All Companies       Heavy & Highway




                                C HANGE IN AMO U NT O F BID W O RK
          100%

           80%
                                    56%
                                                                         66%
           60%

           40%                      12%
                                                                         8%
           20%                      33%
                                                                         25%
            0%
                           All Companies                           Heavy & Highw ay

                                     Increase     Decrease         No Change




Heavy & Highway Contractors
Cash Management and Finance

Aside from job cost estimates, 70% of the Heavy & Highway respondents prepare and/or use a formalized
budget.

The most common techniques for cash management are zero-balance arrangements, used by 82% of
Heavy & Highway participants, followed by online banking and electronic payments from customers.

Heavy & Highway contractors (59%) found credit availability to be about the same as the previous year.

Almost two-thirds of Heavy & Highway contractors (62%) had the same working capital line of available
credit. A significant number found that it had improved. The amount of bank installment loans almost
tripled, while the use of leasing companies and vendor financing decreased by 10% and 14%,
respectively.

Cash financing remains the dominant form of financing for equipment purchases.

                                                      C ASH MANAGE ME NT TE C HNIQ U E S
       100%


        75%
                          82%
               80%



                                74%
                                          75%

                                                        63%




        50%
                                                                      61%

                                                                                      38%
                                                                                                       39%




                                                                                                                                                                                                                                                38%
                                                                                                                                                                                      37%
        25%


                                                                                                                                                                                                                      33%
                                                                                                                   31%



                                                                                                                                                29%



                                                                                                                                                                           29%
                                                                                                                                  28%




                                                                                                                                                                                                           28%
                                                                                                                                                            29%




                                                                                                                                                                                                                                    23%
         0%
                                                                                                                                                                                          Reconciliation
                                         Banking




                                                                                                                           Purchasing
                                                                           Payments




                                                                                                                                                                                                                     Accounts




                                                                                                                                                                                                                                                     Payments
                                                   Electronic
                 Zero Balance




                                                                                      Line of Credit




                                                                                                                                                Checking
                                                                                                                                                           Accounts
                                                                Customer




                                                                                                                                                                                                                                Elecronic
                                                                                                                                                                                                           Savings
                                                                                                               Corporate
                                Online




                                                                                                                                                                                                                                            Vendor
                                                                                                                                                                      Electronic
                                                                                                                                        Cards
                                                                                                       Sweep




                                                                                                                                                                                   Bank




                                                                                  All Companies                                         Heavy & Highway




                                                                                                                                                                          Heavy & Highway Contractors
                   RATIO S BY E Q U IP ME NT FINANC ING ME THO D
                                HE AVY & HIGHW AY
       30



       20
                 21.8

                               16.0
       10
                         9.7
                                       8.0             1.4            2.0     2.4
                                                               1.3
        0
                        Days of Cash                         Debt to Equity

                  Cash    Bank Loan      Leasing Co. Loan      Vendor Financing




               AVAIL ABIL ITY O F BANK C RE DIT C O MP ARE D TO L AST YE AR
     80%


     60%
                                                                       61%    59%

     40%

                 35%     38%
     20%
                                             3%   3%
      0%
                    Better                    Worse                  About the Same

                               All Companies      Heavy & Highway




Heavy & Highway Contractors
                      W O RKING C AP ITAL L INE O F C RE DIT
                              HE AVY & HIGHW AY
   100%

      80%
                                                            62%
      60%                81%

      40%
                                                                     1%

      20%                          2%                       37%
                         17%
      0%
                        2004                                2005

                     Increased     Decreased    Remained the Same




               FINANC ING FO R E Q U IP ME NT P U RC HASE S
                         HE AVY & HIGHW AY
               2004                                     2005
            5%                                     7%

                            32%                17%                         38%
31%



                                          13%


                          9%
        23%                                          25%

Current Cash Flow          Bank Installment Loans      Leasing Companies
Vendor Financing           Other




                                                           Heavy & Highway Contractors
Bonding and Sureties

Heavy & Highway contractors bond a significantly higher percentage of contract revenue than other types
of contractors. A majority bond more than 40%. Heavy & Highway companies also tend to bond a greater
portion of subcontractor dollars.

Most Heavy & Highway contractors have found the availability of bonding credit to be about the same
this year as compared to last year. However, 7% have found availability has worsened.


                             P E RC E NTAGE O F C O NTRAC T RE VE NU E BO NDE D
           50%




                                                                                                    40%
                      39%




           25%
                                      23%




                                                                 18%
                            16%




                                                           16%




                                                                                             14%
                                             13%




                                                                                   12%
            0%                                                                8%
                      <19%            20-39%              40-59%              60-79%          >80%

                                        All Companies            Heavy & Highway




                    P E RC E NTAGE O F SU BC O NTRAC TO R DO L L ARS BO NDE D
                                   (If a Ge n e ra l C o n t ra ct o r)
                       All C o mp a n ie s                                  He a vy & Hig h w a y
                              6%                                             13%
                      5%

                 8%
                                                                   11%

              10%

                                                                   6%

                                                                       6%                             64%
                                                   71%



                              <19%     20-39%            40-59%        60-79%      >80%




     Heavy & Highway Contractors
AVAIL ABIL ITY O F BO NDING C RE DIT
        HE AVY & HIGHW AY


                             28%




                               7%
65%




   Better   Worse   About the Same




                                   Heavy & Highway Contractors
Insurance

The majority of Heavy & Highway contractors experienced an increase in insurance costs during the year.
Healthcare insurance increased for 78% of participants; workers’ compensation increased for 42%; and
general liability increased for 51% of participants.

On average, healthcare insurance is about 9.6% of payroll, workers’ compensation is 6.0% of payroll, and
general liability is 4.5% of payroll.

Forty-six percent of Heavy & Highway contractors filed ten workers’ compensation claims or fewer.
Seventy-nine percent filed 25 or fewer. The average cost per claim was $5,000 or less for the majority of
companies.


Professional Consultants

The majority of Heavy & Highway contractors (82%) have their year-end financial statements audited by
a professional. This is significantly higher than for other contractor types.

Heavy & Highway contractors were much more likely than the industry average to use a Big Four or
national firm to audit or review their statements (18% versus 10%). However, regional accounting firms
with a construction focus were still the most common pick at 44%.

                               YE AR-E ND FINANC IAL STATE ME NTS
                                        HE AVY & HIGHW AY

                                Reviewed
                                  18%




                                                            Audited
                                                             82%




      Heavy & Highway Contractors
Taxation

A significant majority of Heavy & Highway contractors (93%) use some form of the percentage-of-
completion method for revenue recognition purposes.

The AMT liability profile for Heavy & Highway contractors was the same as for the industry as a whole.
Most companies (79%) did not have an AMT liability last year.

Over half (64%) of the Heavy & Highway contractors in this year’s study filed IRS Form 8697 — Look-
Back Interest Computation. Slightly over half who filed, did so for an interest refund.

Most Heavy & Highway contractors (71%) have had an IRS examination at some time. Seven percent of
those resulted in a material increase in their tax liability.

Eighteen percent of Heavy & Highway CEOs received more than $500,000 in annual compensation.


                                 RE VE NU E RE C O GNITIO N ME THO D

                      All C o mp a n ie s                        He a vy & Hig h w a y
                     5%     4%                                        4%   4%
                   4%                                            3%

                                                          16%

             20%



                                             67%
                                                                                         74%

                   PCM - Section 460        PCM - "Simplified"      PCM - Elected
                   Completed Contract       Other Methods




                                                                       Heavy & Highway Contractors
                               AMT TAX L IABIL ITY L AST YE AR

                All C o mp a n ie s                      He a vy & Hig h w a y
                     Yes                                     Yes
     Don't Know      8%                                      10%
        8%                                      Don't Know
                                                   11%




                                     No                                       No
                                    84%                                      79%




                     FIL E D L O O K-BAC K INTE RE ST C O MP U TATIO N

                  All C o mp a n ie s                    He a vy & Hig h w a y
                     7%                                          4%

                                          29%
                                                                                 33%

                                                  32%

       36%




                                        27%
                                                                           31%
          Yes, for an Interest Refund            Yes, with Interest Due to the IRS
          No, I Didn't File                      Not Applicable




Heavy & Highway Contractors
               L AST IRS INC O ME TAX E XAM
                    HE AVY & HIGHW AY

                                      Never
                                      29%
Over 6 Years
    Ago
   43%
                                                 Currently
                                                   5%

                                              Within Past
                                                 Year
                                                  3%
                   4-6 Years Ago 1-3 Years Ago
                        15%           6%




       RE SU L TS O F L AST IRS INC O ME E XAM
                 HE AVY & HIGHW AY

                Immaterial     Material
                 Decrease     Increase
                   1%            7%




                                          Immaterial
    No Change
                                           Increase
       52%
                                             39%




                                              Heavy & Highway Contractors
                              TO TAL C O MP E NSATIO N - C E O

                 All C o mp a n ie s                      He a vy & Hig h w a y
                      5%     4%                                    5%    4%
             12%                                          13%



                                                                                    46%
                                         49%


         30%
                                                      32%



               <$100,000               $100,00-$250,000         $250,000-$500,000

               $500,000-$1,000,000     >$1,000,000




Heavy & Highway Contractors
Accounting Policies and Methods

Over two-thirds of Heavy & Highway contractors report on a calendar-year basis.

Consistent with prior years, Heavy & Highway contractors most frequently use some form of the
percentage-of-completion method to recognize contract revenue. The cost-to-cost method is utilized most
frequently with 84% of participants in this industry classification. Generally, profits will begin to be
recognized as soon as costs are charged to the job.

Fixed price, hard bid contracts are the most frequently used contract price in this contractor type.
However, Heavy & Highway contractors are much more likely (37%) to use unit price contracts than the
typical participant (10%).

Heavy & Highway contractors typically derive most of their revenues from projects lasting less than two
years.


                                   C O RP O RATE FISC AL YE AR-E ND

                       All C o mp a n ie s                           He a vy & Hig h w a y


                24%                                               22%




                                                             6%


            11%
                                                 65%

                                                                                             73%

                                             Dec 31    Sept 30   Other




                                                                          Heavy & Highway Contractors
                          C O NTRAC T RE VE NU E RE C O GNITIO N

                All C o mp a n ie s                        He a vy & Hig h w a y
                    2% 3%                                           2%
               7%                                         14%




                                      88%                                     84%

             PC M (C ost-to-C ost)               PC M (Physical Percent C omplete)
             PC M (Labor Hours or Dollars)       Other




                            P E RC E NTAGE -O F-C O MP L E TIO N P RO FIT
                                      RE C O GNITIO N P RO C E SS
 100%
                            13%
                                                                     22%
                                            5%
   80%                        9%                                                   6%
                                                                      9%
   60%

   40%                      73%
                                                                     63%
   20%

    0%
                       All Companies                          Heavy & Highway

 When C osts Are C harged                        When Work Begins
 When the Ultimate Profit C an Be Estimated      When a Base Level of C ompletion Is Reached




Heavy & Highway Contractors
                               U NP RIC E D C HANGE O RDE R C O ST
                                       HE AVY & HIGHW AY
 100%
              10%                  8%                 8%                                           4%

  80%
              30%                                                      46%
                                   41%                                                     47%
                                                      48%
  60%


  40%         41%                  20%                                 13%                 13%
                                                      18%

  20%                                                                                      36%
                                   31%                                 29%
                                                      26%
              19%
    0%
              2001                 2002             2003               2004                2005

 Deferred Until the C hange Order Is Priced           Recognized in the C urrent Accounting Period
 C osts Are Recognized, Not Revenues                  Other/Not Applicable




                         ME THO DS FO R AC C O U NTING FO R JO INT VE NTU RE S
                     (2 5 P e rce n t o f P a rt icip a n t s Acco u n t Fo r Jo in t Ve n t u re s )

                                                                           39%
              Equity
                                                                                    46%
                                                        25%
Partial Consolidation
                                                 18%
                                   7%
   Full Consolidation                            17%

Equity Consolidation                             18%
                                          12%
                                   7%
               Other
                             2%

                Cost     0%
                           2%
                              4%
          Expanded
                             2%

                        0%                      20%                     40%                       60%

                                           All Companies      Heavy & Highw ay




                                                                       Heavy & Highway Contractors
TYPES OF CONTRACTS                      Heavy &            Heavy &       All

                                        Highway            Highway    Companies

                                         2004                2005       2005



Fixed Price - Hard Bid                   35%                 40%        39%

Fixed Price - Negotiated                  8%                 10%        20%

Cost With Guaranteed Maximum              1%                     1%     14%

Unit Price                               48%                 37%        10%

Time and Materials                        3%                     7%      8%

Cost Plus Fee                             3%                     2%      5%

Construction Management                   1%                     1%      3%

Other                                     1%                     1%      1%

TOTAL                                    100%                100%       100%




                               AVE RAGE C O NTRAC T DU RATIO N
                                     HE AVY & HIGHW AY
                                        9%




                            33%
                                                           58%




                           <12 months   12-24 months   >24 months




     Heavy & Highway Contractors
Selected Financial Data
                                                                      All Heavy &
All Companies                                                            Highway


Number of Companies                             532                          106
Assets ($)                                   33,053                       40,582
Liabilities ($)                              22,937                       24,830
Net Worth ($)                                10,071                       15,697
Net Worth to Assets                             30.5 %                       38.7 %
Revenues ($)                                 95,959                       93,669
Gross Profit ($)                              7,444                        8,282
Gross Profit Margin                              7.8 %                        8.8 %
SG&A Expense ($)                              5,844                        5,610
SG&A Expense Margin                              6.1 %                        6.0 %
Net Earnings ($) *                            1,703                        2,643
Net Earnings Margin *                            1.8 %                        2.8 %
Current Ratio                                    1.3                          1.5
Return on Assets                                 5.2 %                        6.5 %
Return on Equity                                16.9 %                       16.8 %
* Before Taxes


Note: All dollar amounts are in thousands.

The level of participant overlap from year-to-year, usually around 60% to 70%, can impact financial
results materially. Differences seen in the financial statements between years are due in part to market
influences and individual company performance, and in part to the different makeup of the participant
body each year.
Liquidity increased slightly in 2005. Both the current and quick ratios were unchanged. However, the
number of days in cash increased slightly to 23.9 — up 0.6 days.
Profitability increased in 2005. Net earnings before income taxes for Heavy & Highway contractors was
2.8% in 2005 — up from 2.6 a year ago. Average ROA and ROE increased as a result.
Leverage increased in 2005. The debt to equity ratio increased by 0.3 to 1.6. The fixed asset ratio was
down significantly, though underbillings to equity was up significantly.
Efficiency increased in 2005. The number of days in the operating cycle went down by a tremendous
11.0 days.
This year’s Heavy & Highway participants are again larger than in the previous year, both in terms of
assets and revenue. The average asset base is $3.6M greater, and total revenue was $8.2M larger.
Heavy & Highway companies tend to have significantly larger net worth to assets that may affect ROE
relative to other industry classifications.
                                     Heavy & Highway Contractors
                                                                                                                Composite
Balance Sheet

                                                           2005 Participants                  2004 Participants                                                                       2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                             Amount              Percent      Amount               Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        6,230,400        15.4 %   $        5,527,581        15.0 %      Current maturity on long-term debt                $        1,175,606         2.9 % $         1,288,117          3.5 %
   Marketable securities & short-term investments               1,440,197         3.5               604,532          1.6        Notes payable and lines of credit                           468,741          1.2               477,053          1.3
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      10,507,240        25.9              8,946,371        24.2            Trade, including currently due
       Retainages on contracts                                  3,881,865         9.6              2,853,659         7.7                to subcontractors                                  8,432,234        20.8             5,149,105         13.9
       Unbilled work                                             863,719          2.1               237,719          0.6            Subcontracts retainages                                 925,713          2.3             1,194,696          3.2
       Other receivables                                         600,087          1.5               914,964          2.5            Other                                                   342,847          0.8               272,245          0.7
       Less allowance for doubtful accounts                       (59,944)       (0.1)               (61,512)       (0.2)               Total accounts payable                             9,700,794        23.9             6,616,046         17.9
           Total receivables, net:                             15,792,968        38.9             12,891,202        34.9
                                                                                                                                Accrued expenses                                           2,221,762         5.5             2,238,135          6.1
   Inventories                                                   937,194          2.3              1,076,157         2.9        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                      4,541,773        11.2             4,061,207         11.0
       of billings on uncompleted contracts                     2,235,049         5.5              1,625,848         4.4        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 109,226          0.3                71,801          0.2
       construction joint ventures                               419,628          1.0               406,814          1.1            Deferred                                                   25,941        0.1                32,077          0.1
   Income taxes:                                                                                                                Other current liabilities                                   338,119          0.8               284,494          0.8
       Current/refundable                                           26,004        0.1                  37,969        0.1                Total current liabilities                         18,581,961        45.8            15,068,929         40.8
       Deferred                                                  106,147          0.3               203,258          0.6     Noncurrent liabilities
   Other current assets                                          824,579          2.0               947,122          2.6        Long-term debt, excluding current maturities               5,178,864        12.8             4,890,523         13.2
           Total current assets                                28,012,166        69.0             23,320,484        63.1        Deferred income taxes                                       452,939          1.1               420,844          1.1
                                                                                                                                Other                                                       616,693          1.5               735,308          2.0
Property, plant and equipment                                  23,506,239        57.9             26,097,547        70.7                Total liabilities                                 24,830,458        61.2            21,115,604         57.2
Less accumulated depreciation                                 (14,018,135)      (34.5)           (15,425,759)      (41.8)    Minority interests                                                54,805        0.1                 9,201          0.0
           Property, plant and equipment, net                   9,488,103        23.4             10,671,787        28.9     Net worth:
                                                                                                                                Common stock, par value                                     603,495          1.5               289,699          0.8
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   9,031        0.0                51,984          0.1
   Long-term investments                                         372,452          0.9               496,153          1.3        Additional paid-in capital                                 3,733,958         9.2             3,274,592          8.9
   Deferred income taxes                                            79,188        0.2                  19,878        0.1        Retained earnings                                         10,831,199        26.7            12,529,731         33.9
   Other assets                                                 2,630,588         6.5              2,430,680         6.6        Treasury stock                                              (360,443)       (0.9)             (761,509)        (2.1)
           Total noncurrent assets                              3,082,228         7.6              2,946,711         8.0        Excess value of marketable securities                          20,247        0.0                15,401          0.0
                                                                                                                                Other equity                                                859,748          2.1               414,281          1.1
                                                                                                                                        Total net worth                                   15,697,235        38.7            15,814,179         42.8

           Total assets                                $       40,582,497       100.0 %   $       36,938,983       100.0 %              Total liabilities and net worth           $       40,582,497       100.0 % $        36,938,983       100.0 %



Statement of Earnings                                                                                                        Financial Ratios

                                                           2005 Participants                  2004 Participants                                                                       2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                   Average       Median               Average      Median


Contract revenue                                       $       90,746,172        96.9 %   $       82,733,602        96.8 %   Liquidity Ratios
Other revenue                                                   2,922,353         3.1              2,756,362         3.2
           Total Revenue                                       93,668,525       100.0             85,489,964       100.0        Current Ratio                                                     1.5        1.5                    1.5         1.5
                                                                                                                                Quick Ratio                                                       1.3        1.3                    1.3         1.3
Contract cost                                                 (82,906,467)      (88.5)           (75,283,362)      (88.1)       Days of Cash                                                     23.9       13.5                   23.3        16.2
Other cost                                                     (2,480,502)       (2.6)            (2,269,040)       (2.7)       Working Capital Turnover                                          9.9       10.5                   10.4        11.3
           Total cost                                         (85,386,969)      (91.2)           (77,552,402)      (90.7)
                                                                                                                             Profitability Ratios
           Gross Profit                                         8,281,556         8.8              7,937,562         9.3
                                                                                                                                Return on Assets *                                                6.5 %      7.8 %                  6.1 %       5.8 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                               16.8 %     19.4 %                 14.2 %      14.9 %
   Payroll                                                     (2,618,696)       (2.8)            (3,135,573)       (3.7)       Times Interest Earned                                            11.7       12.5                    8.4         8.9
   Professional fees                                             (175,848)       (0.2)              (257,050)       (0.3)
   Sales & marketing costs                                       (157,591)       (0.2)              (133,979)       (0.2)    Leverage Ratios
   Technology costs                                              (121,201)       (0.1)              (142,244)       (0.2)
   Administrative bonuses                                        (415,481)       (0.4)              (380,150)       (0.4)       Debt to Equity                                                    1.6        1.5                    1.3         1.4
   Other                                                       (2,120,781)       (2.3)            (1,614,376)       (1.9)       Revenue to Equity                                                 6.0        5.9                    5.4         5.7
           Total SG&A expenses                                 (5,609,599)       (6.0)            (5,663,373)       (6.6)       Asset Turnover                                                    2.3        2.5                    2.3         2.3
                                                                                                                                Fixed Asset Ratio                                                60.4 %     68.4 %                 67.5 %      64.0 %
           Income from operations                               2,671,958         2.9              2,274,189         2.7        Equity to SG&A Expense                                            2.8        2.1                    2.8         2.3
                                                                                                                                Underbillings to Equity                                          19.7 %      9.8 %                 11.8 %       7.9 %
Interest income                                                  146,619          0.2               104,762          0.1        Backlog to Equity                                                 5.0        3.4                    4.4         3.7
Interest expense                                                 (246,264)       (0.3)              (303,031)       (0.4)
Other income / (expense), net                                       70,265        0.1               165,241          0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            2,642,577         2.8              2,241,161         2.6
                                                                                                                                Backlog to Working Capital                                        8.8        6.4                   10.3         6.8
Income tax (expense) / benefit                                   (220,445)       (0.2)              (361,630)       (0.4)       Months in Backlog                                                 8.6        7.0                    8.3         7.3
                                                                                                                                Days in Accounts Receivable                                      42.5       42.9                   41.3        43.8
           Net earnings                                $        2,422,132         2.6     $        1,879,531         2.2        Days in Inventory                                                 4.0        3.7                    5.0         3.9
                                                                                                                                Days in Accounts Payable                                         37.0       26.7                   25.2        26.6
                                                                                                                                Operating Cycle                                                  33.4       38.9                   44.4        40.3
Number of Participants
                                                                  Number                                                     * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                106                                                      net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to calculate
2004                                                                106                                                      ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                                 Note: Not all figures will apear to sum due to rounding.

   Heavy & Highway Contractors
Selected Financial Data by Region
                                                                     REGION
All Heavy &
Highway                                  NE           SE           MW             SW            W           FW

Number of Companies         106           16           14            30            14           14           18
Assets ($)               40,582       33,100       25,794        71,793        36,427       31,005       17,400
Liabilities ($)          24,830       21,707       14,786        45,273        19,811       17,429       11,009
Net Worth ($)            15,697       11,393       11,007        26,501        16,616       13,576        6,100
Net Worth to Assets        38.7   %     34.4   %     42.7   %      36.9   %      45.6   %     43.8   %     35.1   %
Revenues ($)             93,669       70,869       50,710       177,546        75,856       58,476       48,778
Gross Profit ($)          8,282        7,033        5,581        13,867         8,551        3,298        5,850
Gross Profit Margin         8.8   %      9.9   %     11.0   %       7.8   %      11.3   %      5.6   %     12.0   %
SG&A Expense ($)          5,610        6,136        4,424         9,163         4,755        2,115        3,523
SG&A Expense Margin         6.0   %      8.7   %      8.7   %       5.2   %       6.3   %      3.6   %      7.2   %
Net Earnings ($) *        2,643          951        1,204         4,683         3,467        1,103        2,420
Net Earnings Margin *       2.8   %      1.3   %      2.4   %       2.6   %       4.6   %      1.9   %      5.0   %
Current Ratio               1.5          1.5          1.4           1.5           1.8          1.5          1.4
Return on Assets            6.5   %      2.9   %      4.7   %       6.5   %       9.5   %      3.6   %     13.9   %
Return on Equity           16.8   %      8.3   %     10.9   %      17.7   %      20.9   %      8.1   %     39.7   %
* Before Taxes


Note: All dollar amounts are in thousands.

The Midwest region within the Heavy & Highway classification has a noticeably larger average asset
base as compared to the prior year. Generally there were significant fluctuations based on changes in the
participant body as compared to the prior study.

The Southeast, Southwest and Midwest (slight) showed improved profitability over the year; in terms of
net earnings margin before income taxes.

There were fluctuations in net worth to assets, which has the propensity to impact equity returns. This
should be kept in mind when evaluating performance.




                                                                              Heavy & Highway Contractors
                                      Heavy & Highway Contractors
                                                                                                       Northeast Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        5,770,977        17.4 %   $        4,652,517        14.5 %      Current maturity on long-term debt                 $        1,538,711         4.6 % $        1,055,068         3.3 %
   Marketable securities & short-term investments               1,258,057         3.8                855,549         2.7        Notes payable and lines of credit                             934,586         2.8              798,049         2.5
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      10,037,852        30.3              9,206,998        28.8            Trade, including currently due
       Retainages on contracts                                  1,769,020         5.3              2,851,623         8.9                to subcontractors                                   6,198,296        18.7            6,078,883        19.0
       Unbilled work                                              245,276         0.7                213,278         0.7            Subcontracts retainages                                   682,983         2.1            1,070,918         3.3
       Other receivables                                          428,803         1.3                477,260         1.5            Other                                                     429,618         1.3                18,008        0.1
       Less allowance for doubtful accounts                       (58,812)       (0.2)               (67,591)       (0.2)               Total accounts payable                              7,310,897        22.1            7,167,808        22.4
           Total receivables, net:                             12,422,138        37.5             12,681,569        39.6
                                                                                                                                Accrued expenses                                            1,985,523         6.0            1,674,244         5.2
   Inventories                                                    369,535         1.1                570,011         1.8        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       3,293,042         9.9            3,923,085        12.3
        of billings on uncompleted contracts                    2,041,531         6.2              2,434,362         7.6        Income taxes:
   Investments in and advances to                                                                                                   Current                                                   109,275         0.3                96,403        0.3
       construction joint ventures                                137,650         0.4                307,526         1.0            Deferred                                                  146,487         0.4              115,983         0.4
   Income taxes:                                                                                                                Other current liabilities                                       44,347        0.1              187,465         0.6
       Current/refundable                                           34,440        0.1                  47,135        0.1                Total current liabilities                          15,362,867        46.4           15,018,106        46.9
       Deferred                                                   135,563         0.4                211,203         0.7     Noncurrent liabilities
   Other current assets                                           629,912         1.9                640,757         2.0        Long-term debt, excluding current maturities                5,185,529        15.7            2,787,344         8.7
           Total current assets                                22,799,802        68.9             22,400,628        70.0        Deferred income taxes                                         643,897         1.9              765,021         2.4
                                                                                                                                Other                                                         514,523         1.6              431,012         1.3
Property, plant and equipment                                  18,702,653        56.5             20,710,915        64.7                Total liabilities                                  21,706,816        65.6           19,001,483        59.4
Less accumulated depreciation                                 (11,436,521)      (34.6)           (13,133,002)      (41.0)    Minority interests                                                      0        0.0                     0        0.0
           Property, plant and equipment, net                   7,266,132        22.0              7,577,913        23.7     Net worth:
                                                                                                                                Common stock, par value                                       233,245         0.7              289,760         0.9
Noncurrent assets:                                                                                                              Preferred stock, stated value                                        0        0.0                 2,253        0.0
   Long-term investments                                        1,222,636         3.7                983,362         3.1        Additional paid-in capital                                  5,756,841        17.4            6,030,861        18.8
   Deferred income taxes                                             8,000        0.0                   8,211        0.0        Retained earnings                                           5,212,595        15.7            7,053,053        22.0
   Other assets                                                 1,803,592         5.4              1,037,552         3.2        Treasury stock                                                (85,348)       (0.3)            (158,325)       (0.5)
           Total noncurrent assets                              3,034,228         9.2              2,029,124         6.3        Excess value of marketable securities                           (7,294)      (0.0)                 (383)      (0.0)
                                                                                                                                Other equity                                                  283,306         0.9             (211,035)       (0.7)
                                                                                                                                        Total net worth                                    11,393,345        34.4           13,006,183        40.6

           Total assets                                $       33,100,162       100.0 %   $       32,007,665       100.0 %              Total liabilities and net worth            $       33,100,162       100.0 % $       32,007,665       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $       70,583,601        99.6 %   $       68,763,329        98.5 %   Liquidity Ratios
Other revenue                                                     285,555         0.4              1,066,061         1.5
           Total Revenue                                       70,869,157       100.0             69,829,390       100.0        Current Ratio                                                      1.5        1.5                   1.5        4.9
                                                                                                                                Quick Ratio                                                        1.3        1.3                   1.2       11.3
Contract cost                                                 (63,598,358)      (89.7)           (62,328,474)      (89.3)       Days of Cash                                                      29.3       13.2                  24.0       14.7
Other cost                                                       (237,474)       (0.3)              (964,973)       (1.4)       Working Capital Turnover                                           9.5       10.2                   9.5       11.5
           Total cost                                         (63,835,832)      (90.1)           (63,293,447)      (90.6)
                                                                                                                             Profitability Ratios
           Gross Profit                                         7,033,325         9.9              6,535,943         9.4
                                                                                                                                Return on Assets *                                                 2.9 %      6.5 %                 3.1 %      2.7 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                 8.3 %     13.2 %                 7.6 %      8.0 %
   Payroll                                                     (3,109,425)       (4.4)            (3,149,089)       (4.5)       Times Interest Earned                                              6.5       10.9                   7.9       14.2
   Professional fees                                             (230,051)       (0.3)              (205,693)       (0.3)
   Sales & marketing costs                                        (84,372)       (0.1)              (116,873)       (0.2)    Leverage Ratios
   Technology costs                                              (158,365)       (0.2)               (93,907)       (0.1)
   Administrative bonuses                                        (776,054)       (1.1)              (332,226)       (0.5)       Debt to Equity                                                     1.9        1.5                   1.5        2.1
   Other                                                       (1,778,176)       (2.5)            (1,739,662)       (2.5)       Revenue to Equity                                                  6.2        5.6                   5.4        5.3
           Total SG&A expenses                                 (6,136,444)       (8.7)            (5,637,450)       (8.1)       Asset Turnover                                                     2.1        2.3                   2.2        2.0
                                                                                                                                Fixed Asset Ratio                                                 63.8 %     62.6 %                58.3 %     54.8 %
           Income from operations                                 896,881         1.3                898,493         1.3        Equity to SG&A Expense                                             1.9        1.7                   2.3        1.8
                                                                                                                                Underbillings to Equity                                           20.1 %      8.8 %                20.4 %     16.8 %
Interest income                                                   141,349         0.2                108,212         0.2        Backlog to Equity                                                  5.8        3.5                   4.4        4.1
Interest expense                                                 (172,847)       (0.2)              (142,595)       (0.2)
Other income / (expense), net                                       85,588        0.1                122,452         0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes              950,971         1.3                986,563         1.4
                                                                                                                                Backlog to Working Capital                                        11.7        9.0                   8.8        9.1
Income tax (expense) / benefit                                   (316,715)       (0.4)              (368,164)       (0.5)       Months in Backlog                                                 10.9        9.5                   9.9        8.4
                                                                                                                                Days in Accounts Receivable                                       52.9       64.0                  49.6       57.8
           Net earnings                                $          634,256         0.9 %   $          618,399         0.9 %      Days in Inventory                                                  2.1        3.1                   3.2        2.1
                                                                                                                                Days in Accounts Payable                                          37.4       28.5                  34.7       47.5
                                                                                                                                Operating Cycle                                                   46.9       48.5                  42.1       40.2
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   16                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   19                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Heavy & Highway Contractors
                                      Heavy & Highway Contractors
                                                                                                   Southeast Region
Balance Sheet
                                                           2005 Participants                2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent      Amount              Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                            Current liabilities:
   Cash and cash equivalents                           $        2,503,605         9.7 % $        4,298,975        11.8 %      Current maturity on long-term debt             $          947,179         3.7 % $        2,321,109         6.4 %
   Marketable securities & short-term investments               1,794,334         7.0              442,281         1.2        Notes payable and lines of credit                           52,357        0.2              124,781         0.3
   Receivables:                                                                                                               Accounts payable:
       Contract receivables currently due                       5,665,379        22.0            8,830,628        24.3            Trade, including currently due
       Retainages on contracts                                  1,657,086         6.4            2,411,890         6.6                to subcontractors                               3,867,371        15.0            4,714,427        13.0
       Unbilled work                                              778,324         3.0              243,917         0.7            Subcontracts retainages                               403,352         1.6              603,974         1.7
       Other receivables                                          331,607         1.3              351,586         1.0            Other                                                   15,214        0.1              223,434         0.6
       Less allowance for doubtful accounts                       (83,050)       (0.3)             (68,283)       (0.2)               Total accounts payable                          4,285,937        16.6            5,541,835        15.2
           Total receivables, net:                              8,349,346        32.4           11,769,738        32.4
                                                                                                                              Accrued expenses                                          877,367         3.4            1,218,507         3.4
   Inventories                                                  1,214,981         4.7            1,457,275         4.0        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                        earnings on uncompleted contracts                   4,886,361        18.9            3,910,731        10.8
       of billings on uncompleted contracts                     1,196,946         4.6            1,423,682         3.9        Income taxes:
   Investments in and advances to                                                                                                 Current                                               226,265         0.9                85,636        0.2
       construction joint ventures                                  65,126        0.3                38,064        0.1            Deferred                                                     0        0.0                  125         0.0
   Income taxes:                                                                                                              Other current liabilities                                 166,102         0.6              171,967         0.5
       Current/refundable                                                0        0.0                25,464        0.1                Total current liabilities                      11,441,568        44.4           13,374,690        36.8
       Deferred                                                     11,756        0.0                18,346        0.1     Noncurrent liabilities
   Other current assets                                           630,054         2.4              838,162         2.3        Long-term debt, excluding current maturities            2,032,989         7.9            5,142,784        14.1
           Total current assets                                15,766,148        61.1           20,311,987        55.8        Deferred income taxes                                     565,552         2.2              512,312         1.4
                                                                                                                              Other                                                     746,340         2.9              595,179         1.6
Property, plant and equipment                                  19,306,081        74.8           30,199,621        83.0                Total liabilities                              14,786,449        57.3           19,624,965        54.0
Less accumulated depreciation                                 (11,243,045)      (43.6)         (16,878,571)      (46.4)    Minority interests                                                  0        0.0                51,330        0.1
           Property, plant and equipment, net                   8,063,036        31.3           13,321,050        36.6     Net worth:
                                                                                                                              Common stock, par value                                   555,593         2.2              588,769         1.6
Noncurrent assets:                                                                                                            Preferred stock, stated value                                    0        0.0              287,763         0.8
   Long-term investments                                            61,144        0.2              912,917         2.5        Additional paid-in capital                              1,484,841         5.8            1,871,293         5.1
   Deferred income taxes                                             2,049        0.0                  (153)      (0.0)       Retained earnings                                       8,442,366        32.7           13,900,390        38.2
   Other assets                                                 1,901,403         7.4            1,827,539         5.0        Treasury stock                                           (119,880)       (0.5)            (304,974)       (0.8)
           Total noncurrent assets                              1,964,596         7.6            2,740,302         7.5        Excess value of marketable securities                         (262)      (0.0)               12,438        0.0
                                                                                                                              Other equity                                              644,673         2.5              341,367         0.9
                                                                                                                                      Total net worth                                11,007,331        42.7           16,697,045        45.9

           Total assets                                $       25,793,780       100.0 % $       36,373,340       100.0 %              Total liabilities and net worth        $       25,793,780       100.0 % $       36,373,340       100.0 %



Statement of Earnings                                                                                                      Financial Ratios
                                                           2005 Participants                2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent      Amount              Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $       49,099,231        96.8 % $       68,036,912        97.4 %   Liquidity Ratios
Other revenue                                                   1,610,285         3.2            1,812,786         2.6
           Total Revenue                                       50,709,515       100.0           69,849,698       100.0        Current Ratio                                                  1.4        1.6                   1.5        1.5
                                                                                                                              Quick Ratio                                                    1.1        1.4                   1.2        1.2
Contract cost                                                 (43,690,324)      (86.2)         (62,162,651)      (89.0)       Days of Cash                                                  17.8       10.3                  22.2       17.6
Other cost                                                     (1,438,627)       (2.8)            (975,806)       (1.4)       Working Capital Turnover                                      11.7        8.0                  10.1       10.8
           Total cost                                         (45,128,951)      (89.0)         (63,138,457)      (90.4)
                                                                                                                           Profitability Ratios
           Gross Profit                                         5,580,564        11.0            6,711,241         9.6
                                                                                                                              Return on Assets *                                             4.7 %      5.2 %                 3.4 %      3.0 %
Selling, general & administrative expenses:                                                                                   Return on Equity *                                            10.9 %     11.1 %                 7.3 %      8.4 %
   Payroll                                                     (1,963,194)       (3.9)          (3,168,310)       (4.5)       Times Interest Earned                                          8.1       10.6                   7.0        7.1
   Professional fees                                             (181,736)       (0.4)            (357,095)       (0.5)
   Sales & marketing costs                                        (50,785)       (0.1)            (100,172)       (0.1)    Leverage Ratios
   Technology costs                                              (163,915)       (0.3)            (143,607)       (0.2)
   Administrative bonuses                                        (164,823)       (0.3)            (136,571)       (0.2)       Debt to Equity                                                 1.3        1.6                   1.2        1.2
   Other                                                       (1,899,684)       (3.7)          (1,557,117)       (2.2)       Revenue to Equity                                              4.6        5.1                   4.2        4.4
           Total SG&A expenses                                 (4,424,137)       (8.7)          (5,462,871)       (7.8)       Asset Turnover                                                 2.0        1.9                   1.9        1.8
                                                                                                                              Fixed Asset Ratio                                             73.3 %     78.6 %                79.8 %     91.1 %
           Income from operations                               1,156,428         2.3            1,248,369         1.8        Equity to SG&A Expense                                         2.5        2.9                   3.1        2.8
                                                                                                                              Underbillings to Equity                                       17.9 %      4.7 %                10.0 %      7.6 %
Interest income                                                   217,616         0.4                90,890        0.1        Backlog to Equity                                              3.3        3.0                   5.7        4.3
Interest expense                                                 (169,998)       (0.3)            (205,091)       (0.3)
Other income / (expense), net                                         (518)      (0.0)               90,264        0.1
                                                                                                                           Efficiency Ratios
           Net earnings / (loss) before income taxes            1,203,528         2.4            1,224,432         1.8
                                                                                                                              Backlog to Working Capital                                     8.0        5.0                  14.7        7.4
Income tax (expense) / benefit                                   (235,055)       (0.5)            (158,318)       (0.2)       Months in Backlog                                              7.9        5.5                  10.2        8.9
                                                                                                                              Days in Accounts Receivable                                   42.0       45.1                  47.0       38.6
           Net earnings                                $          968,473         1.9 % $        1,066,114         1.5 %      Days in Inventory                                              9.7       12.4                   8.3        9.6
                                                                                                                              Days in Accounts Payable                                      31.0       31.4                  28.2       27.2
                                                                                                                              Operating Cycle                                               38.5       43.0                  49.3       44.7
Number of Participants
                                                                    Number                                                 * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   14                                                  net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   19                                                  calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                  Heavy & Highway Contractors
                                      Heavy & Highway Contractors
                                                                                                        Midwest Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $       11,115,642        15.5 %   $        5,453,948        13.6 %      Current maturity on long-term debt                 $        1,701,397         2.4 % $          921,481         2.3 %
   Marketable securities & short-term investments               1,164,378         1.6                812,298         2.0        Notes payable and lines of credit                             315,254         0.4              761,741         1.9
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      17,844,898        24.9              8,064,477        20.1            Trade, including currently due
       Retainages on contracts                                  8,591,894        12.0              2,650,961         6.6                to subcontractors                                  17,898,900        24.9            4,655,543        11.6
       Unbilled work                                            1,873,437         2.6                276,505         0.7            Subcontracts retainages                                 1,279,603         1.8            1,427,908         3.6
       Other receivables                                        1,364,203         1.9              1,621,287         4.0            Other                                                     489,871         0.7              329,548         0.8
       Less allowance for doubtful accounts                       (80,320)       (0.1)               (50,805)       (0.1)               Total accounts payable                             19,668,374        27.4            6,412,999        16.0
           Total receivables, net:                             29,594,112        41.2             12,562,426        31.3
                                                                                                                                Accrued expenses                                            3,907,923         5.4            2,196,627         5.5
   Inventories                                                  2,182,061         3.0              1,637,978         4.1        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       7,525,174        10.5            2,169,101         5.4
        of billings on uncompleted contracts                    4,079,247         5.7              2,226,469         5.6        Income taxes:
   Investments in and advances to                                                                                                   Current                                                     73,396        0.1                67,434        0.2
       construction joint ventures                                827,409         1.2                206,142         0.5            Deferred                                                        0         0.0                 3,871        0.0
   Income taxes:                                                                                                                Other current liabilities                                     340,717         0.5              210,183         0.5
       Current/refundable                                           47,478        0.1                  22,822        0.1                Total current liabilities                          33,532,234        46.7           12,743,437        31.8
       Deferred                                                     75,008        0.1                  77,308        0.2     Noncurrent liabilities
   Other current assets                                         1,284,743         1.8                999,997         2.5        Long-term debt, excluding current maturities                9,993,652        13.9            7,906,015        19.7
           Total current assets                                50,370,077        70.2             23,999,387        59.9        Deferred income taxes                                         339,588         0.5              210,019         0.5
                                                                                                                                Other                                                       1,407,586         2.0              599,879         1.5
Property, plant and equipment                                  40,390,466        56.3             31,380,795        78.3                Total liabilities                                  45,273,060        63.1           21,459,349        53.5
Less accumulated depreciation                                 (24,313,737)      (33.9)           (19,263,998)      (48.1)    Minority interests                                                 18,589        0.0                    0         0.0
           Property, plant and equipment, net                  16,076,728        22.4             12,116,797        30.2     Net worth:
                                                                                                                                Common stock, par value                                       227,255         0.3              380,533         0.9
Noncurrent assets:                                                                                                              Preferred stock, stated value                                       0         0.0                    0         0.0
   Long-term investments                                          500,537         0.7                  27,784        0.1        Additional paid-in capital                                  3,486,263         4.9            2,760,641         6.9
   Deferred income taxes                                                0         0.0                  55,766        0.1        Retained earnings                                          23,549,316        32.8           16,537,241        41.3
   Other assets                                                 4,845,314         6.7              3,882,925         9.7        Treasury stock                                               (980,808)       (1.4)            (992,289)       (2.5)
           Total noncurrent assets                              5,345,851         7.4              3,966,475         9.9        Excess value of marketable securities                            2,764        0.0                 2,112        0.0
                                                                                                                                Other equity                                                  216,217         0.3              (64,927)       (0.2)
                                                                                                                                        Total net worth                                    26,501,007        36.9           18,623,310        46.5

           Total assets                                $       71,792,656       100.0 %   $       40,082,659       100.0 %              Total liabilities and net worth            $       71,792,656       100.0 % $       40,082,659       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $      173,092,758        97.5 %   $       92,378,462        97.6 %   Liquidity Ratios
Other revenue                                                   4,453,248         2.5              2,271,338         2.4
           Total Revenue                                      177,546,006       100.0             94,649,801       100.0        Current Ratio                                                      1.5        1.7                   1.9        1.8
                                                                                                                                Quick Ratio                                                        1.2        1.4                   1.5        1.5
Contract cost                                                (160,160,028)      (90.2)           (84,346,007)      (89.1)       Days of Cash                                                      22.5       13.8                  20.7       13.5
Other cost                                                     (3,519,476)       (2.0)            (1,952,911)       (2.1)       Working Capital Turnover                                          10.5       12.0                   8.4       10.9
           Total cost                                        (163,679,504)      (92.2)           (86,298,918)      (91.2)
                                                                                                                             Profitability Ratios
           Gross Profit                                        13,866,502         7.8              8,350,883         8.8
                                                                                                                                Return on Assets *                                                 6.5 %      8.8 %                 5.6 %      6.1 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                17.7 %     19.9 %                12.1 %     15.0 %
   Payroll                                                     (4,057,412)       (2.3)            (3,424,847)       (3.6)       Times Interest Earned                                             13.7        7.1                   7.5        8.0
   Professional fees                                             (263,638)       (0.1)              (208,329)       (0.2)
   Sales & marketing costs                                       (349,306)       (0.2)              (174,749)       (0.2)    Leverage Ratios
   Technology costs                                              (187,185)       (0.1)              (133,581)       (0.1)
   Administrative bonuses                                        (540,424)       (0.3)              (364,857)       (0.4)       Debt to Equity                                                     1.7        1.4                   1.2        1.3
   Other                                                       (3,765,509)       (2.1)            (1,682,219)       (1.8)       Revenue to Equity                                                  6.7        6.0                   5.1        6.0
           Total SG&A expenses                                 (9,163,474)       (5.2)            (5,988,582)       (6.3)       Asset Turnover                                                     2.5        3.0                   2.4        2.7
                                                                                                                                Fixed Asset Ratio                                                 60.7 %     74.5 %                65.1 %     65.9 %
           Income from operations                               4,703,028         2.6              2,362,301         2.5        Equity to SG&A Expense                                             2.9        2.6                   3.1        3.3
                                                                                                                                Underbillings to Equity                                           22.5 %      8.7 %                13.4 %      6.2 %
Interest income                                                   171,005         0.1                  75,596        0.1        Backlog to Equity                                                  4.8        2.9                   3.8        2.6
Interest expense                                                 (369,082)       (0.2)              (350,405)       (0.4)
Other income / (expense), net                                     178,452         0.1                173,959         0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            4,683,404         2.6              2,261,452         2.4
                                                                                                                                Backlog to Working Capital                                         8.0        6.4                   6.2        4.6
Income tax (expense) / benefit                                   (310,406)       (0.2)               (87,660)       (0.1)       Months in Backlog                                                  7.9        7.3                   7.2        5.3
                                                                                                                                Days in Accounts Receivable                                       38.8       35.1                  36.6       38.7
           Net earnings                                $        4,372,998         2.5 %   $        2,173,792         2.3 %      Days in Inventory                                                  4.8        3.6                   6.8        3.4
                                                                                                                                Days in Accounts Payable                                          40.4       21.7                  20.8       17.2
                                                                                                                                Operating Cycle                                                   25.7       32.7                  43.4       40.8
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   30                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   31                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Heavy & Highway Contractors
                                      Heavy & Highway Contractors
                                                                                                    Southwest Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent      Amount               Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        5,774,497        15.9 %   $        4,539,636        14.0 %      Current maturity on long-term debt             $        1,445,465         4.0 % $        1,594,870          4.9 %
   Marketable securities & short-term investments               2,263,355         6.2                679,475         2.1        Notes payable and lines of credit                       1,003,571         2.8              273,529          0.8
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       8,846,625        24.3              5,920,197        18.3            Trade, including currently due
       Retainages on contracts                                  2,454,832         6.7              1,841,386         5.7                to subcontractors                               4,821,436        13.2            3,988,301         12.3
       Unbilled work                                              635,831         1.7                  34,091        0.1            Subcontracts retainages                               724,845         2.0              593,762          1.8
       Other receivables                                          309,432         0.8                986,563         3.0            Other                                                   48,273        0.1              170,024          0.5
       Less allowance for doubtful accounts                       (84,189)       (0.2)               (49,529)       (0.2)               Total accounts payable                          5,594,554        15.4            4,752,088         14.6
           Total receivables, net:                             12,162,531        33.4              8,732,708        26.9
                                                                                                                                Accrued expenses                                        1,493,604         4.1            1,668,500          5.1
   Inventories                                                    397,955         1.1              1,364,021         4.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   3,743,300        10.3            2,429,626          7.5
       of billings on uncompleted contracts                     1,035,226         2.8                617,620         1.9        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 91,930        0.3                  7,317        0.0
       construction joint ventures                              1,145,429         3.1                116,152         0.4            Deferred                                                13,052        0.0                 20,952        0.1
   Income taxes:                                                                                                                Other current liabilities                                   24,173        0.1              225,458          0.7
       Current/refundable                                           13,081        0.0                  44,914        0.1                Total current liabilities                      13,409,649        36.8           10,972,339         33.8
       Deferred                                                      5,593        0.0                  19,325        0.1     Noncurrent liabilities
   Other current assets                                           848,197         2.3                902,121         2.8        Long-term debt, excluding current maturities            5,722,177        15.7            5,096,166         15.7
           Total current assets                                23,645,864        64.9             17,015,973        52.5        Deferred income taxes                                     515,127         1.4              325,453          1.0
                                                                                                                                Other                                                     163,929         0.5              762,891          2.4
Property, plant and equipment                                  22,068,183        60.6             30,857,418        95.1                Total liabilities                              19,810,881        54.4           17,156,849         52.9
Less accumulated depreciation                                 (12,990,855)      (35.7)           (17,704,791)      (54.6)    Minority interests                                                 0         0.0                     0         0.0
           Property, plant and equipment, net                   9,077,329        24.9             13,152,627        40.5     Net worth:
                                                                                                                                Common stock, par value                                 2,897,653         8.0                 30,622        0.1
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   0         0.0                     0         0.0
   Long-term investments                                          272,357         0.7                645,836         2.0        Additional paid-in capital                                472,807         1.3            2,913,108          9.0
   Deferred income taxes                                            12,515        0.0                  13,251        0.0        Retained earnings                                       9,534,088        26.2           12,646,392         39.0
   Other assets                                                 3,418,757         9.4              1,610,313         5.0        Treasury stock                                           (378,010)       (1.0)          (2,245,664)        (6.9)
           Total noncurrent assets                              3,703,630        10.2              2,269,401         7.0        Excess value of marketable securities                     159,474         0.4                 78,709        0.2
                                                                                                                                Other equity                                            3,929,929        10.8            1,857,983          5.7
                                                                                                                                        Total net worth                                16,615,941        45.6           15,281,151         47.1

           Total assets                                $       36,426,822       100.0 %   $       32,438,001       100.0 %              Total liabilities and net worth        $       36,426,822       100.0 % $       32,438,001        100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median       Average              Median


Contract revenue                                       $       75,662,170        99.7 %   $       57,183,069        86.3 %   Liquidity Ratios
Other revenue                                                     194,101         0.3              9,045,892        13.7
           Total Revenue                                       75,856,270       100.0             66,228,961       100.0        Current Ratio                                                  1.8        1.7                    1.6        1.5
                                                                                                                                Quick Ratio                                                    1.5        1.4                    1.3        1.3
Contract cost                                                 (67,096,265)      (88.5)           (51,662,472)      (78.0)       Days of Cash                                                  27.4       28.7                   24.7       29.2
Other cost                                                       (208,546)       (0.3)            (7,599,391)      (11.5)       Working Capital Turnover                                       7.4        7.4                   11.0       12.4
           Total cost                                         (67,304,812)      (88.7)           (59,261,863)      (89.5)
                                                                                                                             Profitability Ratios
           Gross Profit                                         8,551,459        11.3              6,967,098        10.5
                                                                                                                                Return on Assets *                                             9.5 %      7.6 %                  8.1 %      6.1 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            20.9 %     20.0 %                 17.3 %     15.8 %
   Payroll                                                     (2,314,794)       (3.1)            (2,422,202)       (3.7)       Times Interest Earned                                          7.8        9.4                    8.3       10.0
   Professional fees                                             (151,149)       (0.2)              (257,901)       (0.4)
   Sales & marketing costs                                        (86,408)       (0.1)               (62,083)       (0.1)    Leverage Ratios
   Technology costs                                               (76,776)       (0.1)              (161,535)       (0.2)
   Administrative bonuses                                        (321,568)       (0.4)              (404,032)       (0.6)       Debt to Equity                                                 1.2        1.5                    1.1        1.3
   Other                                                       (1,804,444)       (2.4)            (1,224,300)       (1.8)       Revenue to Equity                                              4.6        6.7                    4.3        5.7
           Total SG&A expenses                                 (4,755,139)       (6.3)            (4,532,053)       (6.8)       Asset Turnover                                                 2.1        2.4                    2.0        2.5
                                                                                                                                Fixed Asset Ratio                                             54.6 %     52.8 %                 86.1 %     64.4 %
           Income from operations                               3,796,320         5.0              2,435,045         3.7        Equity to SG&A Expense                                         3.5        2.6                    3.4        2.7
                                                                                                                                Underbillings to Equity                                       10.1 %      8.9 %                  4.3 %      2.4 %
Interest income                                                   157,789         0.2                  79,455        0.1        Backlog to Equity                                              4.6        4.7                    4.3        3.6
Interest expense                                                 (512,852)       (0.7)              (361,600)       (0.5)
Other income / (expense), net                                       25,898        0.0                490,199         0.7
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            3,467,155         4.6              2,643,099         4.0
                                                                                                                                Backlog to Working Capital                                     7.1        7.8                   14.8        7.4
Income tax (expense) / benefit                                   (111,418)       (0.1)                 (5,525)      (0.0)       Months in Backlog                                              8.7        6.9                    8.0        6.9
                                                                                                                                Days in Accounts Receivable                                   43.1       37.8                   37.3       29.7
           Net earnings                                $        3,355,736         4.4 %   $        2,637,574         4.0 %      Days in Inventory                                              2.1        3.6                    8.3        4.5
                                                                                                                                Days in Accounts Payable                                      26.0       22.2                   25.3       27.5
                                                                                                                                Operating Cycle                                               46.5       42.7                   45.0       40.3
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   14                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   17                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                    Heavy & Highway Contractors
                                      Heavy & Highway Contractors
                                                                                                            West Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount               Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        4,459,989        14.4 %   $       13,077,388        21.4 %      Current maturity on long-term debt                 $          709,753         2.3 % $        1,395,680          2.3 %
   Marketable securities & short-term investments               2,376,817         7.7                  58,346        0.1        Notes payable and lines of credit                             454,272         1.5              274,941          0.4
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       8,557,969        27.6             20,461,053        33.4            Trade, including currently due
       Retainages on contracts                                  1,271,886         4.1              5,698,909         9.3                to subcontractors                                   5,773,859        18.6            9,573,204         15.6
       Unbilled work                                                     0        0.0                336,600         0.5            Subcontracts retainages                                   793,766         2.6            2,804,135          4.6
       Other receivables                                          337,656         1.1                422,336         0.7            Other                                                     870,387         2.8              851,975          1.4
       Less allowance for doubtful accounts                         (7,446)      (0.0)              (118,995)       (0.2)               Total accounts payable                              7,438,013        24.0           13,229,314         21.6
           Total receivables, net:                             10,160,065        32.8             26,799,903        43.8
                                                                                                                                Accrued expenses                                            1,453,946         4.7            7,628,903         12.5
   Inventories                                                    131,983         0.4                126,588         0.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       2,277,084         7.3           14,441,512         23.6
       of billings on uncompleted contracts                     2,529,720         8.2              1,412,695         2.3        Income taxes:
   Investments in and advances to                                                                                                   Current                                                   209,952         0.7                 58,279        0.1
       construction joint ventures                                       0        0.0              2,781,100         4.5            Deferred                                                    1,571         0.0                 17,200        0.0
   Income taxes:                                                                                                                Other current liabilities                                   1,418,765         4.6              384,659          0.6
       Current/refundable                                           16,114        0.1                  93,807        0.2                Total current liabilities                          13,963,356        45.0           37,430,487         61.1
       Deferred                                                   468,821         1.5              1,437,200         2.3     Noncurrent liabilities
   Other current assets                                           863,228         2.8              2,280,390         3.7        Long-term debt, excluding current maturities                2,588,146         8.3            3,037,772          5.0
           Total current assets                                21,006,736        67.8             48,067,418        78.5        Deferred income taxes                                         770,786         2.5              740,600          1.2
                                                                                                                                Other                                                         107,138         0.3            1,482,201          2.4
Property, plant and equipment                                  18,131,417        58.5             21,458,228        35.0                Total liabilities                                  17,429,426        56.2           42,691,060         69.7
Less accumulated depreciation                                 (10,377,987)      (33.5)           (12,024,109)      (19.6)    Minority interests                                                      0        0.0                     0         0.0
           Property, plant and equipment, net                   7,753,430        25.0              9,434,119        15.4     Net worth:
                                                                                                                                Common stock, par value                                       126,154         0.4              117,824          0.2
Noncurrent assets:                                                                                                              Preferred stock, stated value                                        0        0.0                     0         0.0
   Long-term investments                                            14,613        0.0                  10,500        0.0        Additional paid-in capital                                  9,527,519        30.7            4,925,500          8.0
   Deferred income taxes                                          575,857         1.9                      0         0.0        Retained earnings                                           3,648,529        11.8           13,637,150         22.3
   Other assets                                                 1,654,771         5.3              3,711,823         6.1        Treasury stock                                                  (4,286)      (0.0)            (298,000)        (0.5)
           Total noncurrent assets                              2,245,241         7.2              3,722,323         6.1        Excess value of marketable securities                           (3,500)      (0.0)                    0         0.0
                                                                                                                                Other equity                                                  281,565         0.9              150,326          0.2
                                                                                                                                        Total net worth                                    13,575,981        43.8           18,532,799         30.3

           Total assets                                $       31,005,406       100.0 %   $       61,223,859       100.0 %              Total liabilities and net worth            $       31,005,406       100.0 % $       61,223,859        100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median       Average              Median


Contract revenue                                       $       58,475,633       100.0 %   $      189,450,403        99.7 %   Liquidity Ratios
Other revenue                                                            0        0.0                610,109         0.3
           Total Revenue                                       58,475,633       100.0            190,060,512       100.0        Current Ratio                                                      1.5        1.5                    1.3        1.2
                                                                                                                                Quick Ratio                                                        1.2        1.2                    1.1        1.1
Contract cost                                                 (55,177,663)      (94.4)          (173,967,181)      (91.5)       Days of Cash                                                     27.5        15.1                   24.8       10.6
Other cost                                                               0        0.0               (462,204)       (0.2)       Working Capital Turnover                                           8.3       10.3                   17.9       25.5
           Total cost                                         (55,177,663)      (94.4)          (174,429,385)      (91.8)
                                                                                                                             Profitability Ratios
           Gross Profit                                         3,297,971         5.6             15,631,127         8.2
                                                                                                                                Return on Assets *                                                 3.6 %      2.6 %                  9.3 %      4.0 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                 8.1 %      7.8 %                 30.8 %     14.0 %
   Payroll                                                     (1,108,149)       (1.9)            (5,038,275)       (2.7)       Times Interest Earned                                            14.1        29.3                    8.4        2.7
   Professional fees                                              (67,756)       (0.1)              (450,135)       (0.2)
   Sales & marketing costs                                        (50,020)       (0.1)              (295,826)       (0.2)    Leverage Ratios
   Technology costs                                               (45,914)       (0.1)              (317,141)       (0.2)
   Administrative bonuses                                         (62,094)       (0.1)            (1,083,854)       (0.6)       Debt to Equity                                                     1.3        1.5                    2.3        2.4
   Other                                                         (781,265)       (1.3)            (2,294,520)       (1.2)       Revenue to Equity                                                  4.3        6.0                   10.3       10.3
           Total SG&A expenses                                 (2,115,198)       (3.6)            (9,479,752)       (5.0)       Asset Turnover                                                     1.9        2.5                    3.1        2.6
                                                                                                                                Fixed Asset Ratio                                                57.1 %      69.1 %                 50.9 %     73.5 %
           Income from operations                               1,182,773         2.0              6,151,375         3.2        Equity to SG&A Expense                                             6.4        2.1                    2.0        1.7
                                                                                                                                Underbillings to Equity                                          18.6 %      21.3 %                  9.4 %     10.7 %
Interest income                                                     56,186        0.1                188,740         0.1        Backlog to Equity                                                  3.6        2.0                    3.3        3.3
Interest expense                                                  (84,147)       (0.1)              (769,128)       (0.4)
Other income / (expense), net                                     (51,510)       (0.1)               141,132         0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,103,303         1.9              5,712,119         3.0
                                                                                                                                Backlog to Working Capital                                         8.0        4.1                   12.1       10.3
Income tax (expense) / benefit                                    (16,247)       (0.0)            (2,415,942)       (1.3)       Months in Backlog                                                  5.5        6.3                    4.3        4.4
                                                                                                                                Days in Accounts Receivable                                      54.7        42.4                   39.3       44.6
           Net earnings                                $        1,087,056         1.9 %   $        3,296,177         1.7 %      Days in Inventory                                                 0.9         3.9                    0.3        5.4
                                                                                                                                Days in Accounts Payable                                         43.3        39.8                   21.5       44.4
                                                                                                                                Operating Cycle                                                  39.7        36.3                   42.8       21.5
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   14                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   10                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

   Heavy & Highway Contractors
                                      Heavy & Highway Contractors
                                                                                                       Far West Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent      Amount               Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        3,126,901        18.0 %   $        3,882,523        18.5 %      Current maturity on long-term debt             $          306,632         1.8 % $          275,750          1.3 %
   Marketable securities & short-term investments                 417,641         2.4                210,589         1.0        Notes payable and lines of credit                         229,599         1.3              202,050          1.0
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       5,268,623        30.3              5,034,778        24.0            Trade, including currently due
       Retainages on contracts                                  2,780,186        16.0              3,200,860        15.2                to subcontractors                               3,066,650        17.6            3,287,722         15.7
       Unbilled work                                              646,029         3.7                399,434         1.9            Subcontracts retainages                             1,216,796         7.0            1,241,437          5.9
       Other receivables                                          117,811         0.7                998,327         4.8            Other                                                   94,308        0.5              264,447          1.3
       Less allowance for doubtful accounts                       (30,991)       (0.2)               (33,171)       (0.2)               Total accounts payable                          4,377,754        25.2            4,793,606         22.8
           Total receivables, net:                              8,781,657        50.5              9,600,228        45.7
                                                                                                                                Accrued expenses                                        1,830,662        10.5              953,101          4.5
   Inventories                                                    196,629         1.1                  32,261        0.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   2,793,866        16.1            2,868,460         13.7
       of billings on uncompleted contracts                       844,820         4.9                539,006         2.6        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 12,977        0.1              135,450          0.6
       construction joint ventures                                  28,230        0.2                  38,009        0.2            Deferred                                                11,177        0.1                 54,593        0.3
   Income taxes:                                                                                                                Other current liabilities                                 132,386         0.8              913,208          4.3
       Current/refundable                                           20,686        0.1                  23,628        0.1                Total current liabilities                       9,695,054        55.7           10,196,216         48.5
       Deferred                                                      1,444        0.0                   8,685        0.0     Noncurrent liabilities
   Other current assets                                           333,547         1.9                315,565         1.5        Long-term debt, excluding current maturities            1,187,514         6.8              562,400          2.7
           Total current assets                                13,751,555        79.0             14,650,492        69.7        Deferred income taxes                                       88,944        0.5                 89,083        0.4
                                                                                                                                Other                                                       36,991        0.2            1,205,762          5.7
Property, plant and equipment                                   8,201,408        47.1              8,707,670        41.5                Total liabilities                              11,008,503        63.3           12,053,461         57.4
Less accumulated depreciation                                  (4,942,192)      (28.4)            (4,650,408)      (22.1)    Minority interests                                           291,757         1.7                     0         0.0
           Property, plant and equipment, net                   3,259,216        18.7              4,057,262        19.3     Net worth:
                                                                                                                                Common stock, par value                                   183,852         1.1                 52,070        0.2
Noncurrent assets:                                                                                                              Preferred stock, stated value                               53,182        0.3                     0         0.0
   Long-term investments                                             1,556        0.0                461,738         2.2        Additional paid-in capital                              2,128,323        12.2            1,260,808          6.0
   Deferred income taxes                                                0         0.0                      0         0.0        Retained earnings                                       3,082,019        17.7            6,602,140         31.4
   Other assets                                                   387,580         2.2              1,835,113         8.7        Treasury stock                                            (21,482)       (0.1)                    0         0.0
           Total noncurrent assets                                389,136         2.2              2,296,851        10.9        Excess value of marketable securities                           0         0.0                     0         0.0
                                                                                                                                Other equity                                              673,751         3.9            1,036,126          4.9
                                                                                                                                        Total net worth                                 6,099,646        35.1            8,951,144         42.6

           Total assets                                $       17,399,906       100.0 %   $       21,004,605       100.0 %              Total liabilities and net worth        $       17,399,906       100.0 % $       21,004,605        100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median       Average              Median


Contract revenue                                       $       40,647,524        83.3 %   $       44,020,872        98.4 %   Liquidity Ratios
Other revenue                                                   8,130,092        16.7                718,348         1.6
           Total Revenue                                       48,777,617       100.0             44,739,220       100.0        Current Ratio                                                  1.4        1.5                    1.4        1.5
                                                                                                                                Quick Ratio                                                    1.3        1.2                    1.3        1.3
Contract cost                                                 (35,678,412)      (73.1)           (38,204,497)      (85.4)       Days of Cash                                                  23.1       14.4                   31.2       29.1
Other cost                                                     (7,249,382)      (14.9)              (929,144)       (2.1)       Working Capital Turnover                                      12.0       11.4                   10.0       10.1
           Total cost                                         (42,927,795)      (88.0)           (39,133,641)      (87.5)
                                                                                                                             Profitability Ratios
           Gross Profit                                         5,849,822        12.0              5,605,580        12.5
                                                                                                                                Return on Assets *                                            13.9 %     12.9 %                 11.1 %     10.0 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            39.7 %     34.3 %                 26.1 %     30.5 %
   Payroll                                                     (1,705,707)       (3.5)            (1,460,975)       (3.3)       Times Interest Earned                                         29.5       16.3                   29.7       29.9
   Professional fees                                              (80,055)       (0.2)              (121,044)       (0.3)
   Sales & marketing costs                                       (125,255)       (0.3)               (64,703)       (0.1)    Leverage Ratios
   Technology costs                                               (38,079)       (0.1)               (50,659)       (0.1)
   Administrative bonuses                                        (429,590)       (0.9)              (237,113)       (0.5)       Debt to Equity                                                 1.8        1.7                    1.3        1.5
   Other                                                       (1,143,954)       (2.3)            (1,257,801)       (2.8)       Revenue to Equity                                              8.0        7.1                    5.0        4.7
           Total SG&A expenses                                 (3,522,641)       (7.2)            (3,192,295)       (7.1)       Asset Turnover                                                 2.8        2.6                    2.1        2.1
                                                                                                                                Fixed Asset Ratio                                             53.4 %     66.0 %                 45.3 %     48.6 %
           Income from operations                               2,327,182         4.8              2,413,285         5.4        Equity to SG&A Expense                                         1.7        1.5                    2.8        2.1
                                                                                                                                Underbillings to Equity                                       24.4 %     13.6 %                 10.5 %      8.0 %
Interest income                                                   117,093         0.2                174,022         0.4        Backlog to Equity                                              7.0        5.0                    4.5        4.0
Interest expense                                                  (84,894)       (0.2)               (81,426)       (0.2)
Other income / (expense), net                                       60,607        0.1               (166,350)       (0.4)
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            2,419,987         5.0              2,339,530         5.2
                                                                                                                                Backlog to Working Capital                                    10.2        6.2                    7.9        6.0
Income tax (expense) / benefit                                   (217,192)       (0.4)              (135,884)       (0.3)       Months in Backlog                                             10.8        8.1                    8.6        9.7
                                                                                                                                Days in Accounts Receivable                                   39.5       47.4                   48.3       49.4
           Net earnings                                $        2,202,795         4.5 %   $        2,203,646         4.9 %      Days in Inventory                                              1.6        3.4                    0.3        3.1
                                                                                                                                Days in Accounts Payable                                      26.5       28.6                   32.7       29.1
                                                                                                                                Operating Cycle                                               37.7       42.0                   47.1       55.6
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   18                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   10                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                    Heavy & Highway Contractors
Selected Financial Data by Revenue

                                                                    ANNUAL REVENUE
All Heavy &
Highway                                  $0-$10M         $10-$25M       $25-$50M   $50-$100M        >$100M

Number of Companies            106               9             19             27           28            23
Assets ($)                  40,582           2,729         13,335         15,466       28,156       122,516
Liabilities ($)             24,830           1,678          8,005          8,160       15,135        79,162
Net Worth ($)               15,697           1,051          5,330          7,305       13,021        43,102
Net Worth to Assets           38.7   %        38.5   %       40.0   %       47.2   %     46.2   %      35.2   %
Revenues ($)                93,669           6,351         18,395         37,090       67,982       287,706
Gross Profit ($)             8,282           1,076          2,553          4,368        8,096        20,653
Gross Profit Margin            8.8   %        16.9   %       13.9   %       11.8   %     11.9   %       7.2   %
SG&A Expense ($)             5,610             937          1,838          2,787        5,645        13,825
SG&A Expense Margin            6.0   %        14.7   %       10.0   %        7.5   %      8.3   %       4.8   %
Net Earnings ($) *           2,643             162            666          1,596        2,335         6,849
Net Earnings Margin *          2.8   %         2.5   %        3.6   %        4.3   %      3.4   %       2.4   %
Current Ratio                  1.5             1.5            1.3            1.6          1.7           1.5
Return on Assets               6.5   %         5.9   %        5.0   %       10.3   %      8.3   %       5.6   %
Return on Equity              16.8   %        15.4   %       12.5   %       21.8   %     17.9   %      15.9   %
* Before Taxes


Note: All dollar amounts are in thousands.

Participation was generally consistent across all categories in 2005 compared to 2004, although there was
a slight decrease in the number of Heavy & Highway contractors with under $10M in revenue.

Performance among companies was fairly comparable among the various size categories, with most
observing improved performance in 2005.

Gross profits and net profits generally increased across all segments.




      Heavy & Highway Contractors
                                       Heavy & Highway Contractors
                                                                                  Less Than $10 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent        Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $          170,395         6.2 %   $         586,729         17.7        Current maturity on long-term debt             $         193,044          7.1 %   $            74,876        2.3 %
   Marketable securities & short-term investments                    1,667        0.1                  50,138        1.5        Notes payable and lines of credit                        167,174          6.1               338,857         10.2
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                         935,018        34.3               864,821         26.1            Trade, including currently due
       Retainages on contracts                                    164,543         6.0               179,721          5.4                to subcontractors                                415,053         15.2               624,850         18.9
       Unbilled work                                                24,953        0.9                  12,242        0.4            Subcontracts retainages                                 18,654        0.7                  43,977        1.3
       Other receivables                                             1,864        0.1                  82,388        2.5            Other                                                   30,659        1.1                  23,736        0.7
       Less allowance for doubtful accounts                               0       0.0                  (7,083)      (0.2)               Total accounts payable                           464,366         17.0               692,563         20.9
           Total receivables, net:                              1,126,378        41.3              1,132,088        34.2
                                                                                                                                Accrued expenses                                            92,880        3.4                  73,156        2.2
   Inventories                                                    136,300         5.0                  22,409        0.7        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                    114,360          4.2               160,582          4.8
       of billings on uncompleted contracts                         67,736        2.5               228,095          6.9        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 12,000        0.4                  12,925        0.4
       construction joint ventures                                        0       0.0                       0        0.0            Deferred                                                 7,000        0.3                  58,191        1.8
   Income taxes:                                                                                                                Other current liabilities                                    5,556        0.2                   4,013        0.1
       Current/refundable                                            1,078        0.0                  31,925        1.0                Total current liabilities                       1,056,380        38.7              1,415,162        42.7
       Deferred                                                           0       0.0                  12,907        0.4     Noncurrent liabilities
   Other current assets                                           133,324         4.9                  72,246        2.2        Long-term debt, excluding current maturities             531,488         19.5               298,115          9.0
           Total current assets                                 1,636,879        60.0              2,136,536        64.5        Deferred income taxes                                       13,000        0.5               132,335          4.0
                                                                                                                                Other                                                       77,444        2.8                   2,031        0.1
Property, plant and equipment                                   3,237,340       118.6              2,527,221        76.3                Total liabilities                               1,678,313        61.5              1,847,643        55.8
Less accumulated depreciation                                   (2,232,235)     (81.8)            (1,537,408)      (46.4)    Minority interests                                                 0         0.0                      0         0.0
           Property, plant and equipment, net                   1,005,105        36.8               989,813         29.9     Net worth:
                                                                                                                                Common stock, par value                                  146,889          5.4                  45,642        1.4
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   0         0.0                      0         0.0
   Long-term investments                                                  0       0.0                   2,901        0.1        Additional paid-in capital                                   7,355        0.3                  51,508        1.6
   Deferred income taxes                                                  0       0.0                       0        0.0        Retained earnings                                        725,540         26.6              1,324,540        40.0
   Other assets                                                     87,086        3.2               183,597          5.5        Treasury stock                                                  0         0.0                (43,182)       (1.3)
           Total noncurrent assets                                  87,086        3.2               186,498          5.6        Excess value of marketable securities                           0         0.0                      0         0.0
                                                                                                                                Other equity                                             170,973          6.3                  86,696        2.6
                                                                                                                                        Total net worth                                 1,050,757        38.5              1,465,203        44.2

           Total assets                                $        2,729,070       100.0 %   $        3,312,846       100.0                Total liabilities and net worth        $        2,729,070       100.0 %   $        3,312,846       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median                Average      Median


Contract revenue                                       $        6,351,457       100.0 %   $        6,254,265        99.7 %   Liquidity Ratios
Other revenue                                                             0       0.0                  16,055        0.3
           Total Revenue                                        6,351,457       100.0              6,270,320       100.0        Current Ratio                                                  1.5        1.4                     1.5        1.3
                                                                                                                                Quick Ratio                                                    1.2        1.1                     1.3        1.1
Contract cost                                                   (5,275,437)     (83.1)            (5,218,875)      (83.2)       Days of Cash                                                   9.7        4.0                    33.7       20.9
Other cost                                                                0       0.0                (12,218)       (0.2)       Working Capital Turnover                                      10.9       13.8                     8.7       11.7
           Total cost                                           (5,275,437)     (83.1)            (5,231,093)      (83.4)
                                                                                                                             Profitability Ratios
           Gross Profit                                         1,076,021        16.9              1,039,228        16.6
                                                                                                                                Return on Assets *                                             5.9 %      2.3 %                   1.4 %      3.3 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            15.4 %      4.1 %                   3.2 %     10.7 %
   Payroll                                                       (463,226)       (7.3)              (458,201)       (7.3)       Times Interest Earned                                          8.5        8.9                     2.7        5.1
   Professional fees                                                (29,536)     (0.5)               (32,325)       (0.5)
   Sales & marketing costs                                          (10,457)     (0.2)               (21,010)       (0.3)    Leverage Ratios
   Technology costs                                                 (11,523)     (0.2)                 (7,152)      (0.1)
   Administrative bonuses                                           (21,346)     (0.3)               (24,842)       (0.4)       Debt to Equity                                                 1.6        1.8                     1.3        2.0
   Other                                                         (400,660)       (6.3)              (372,244)       (5.9)       Revenue to Equity                                              6.0        6.3                     4.3        5.4
           Total SG&A expenses                                   (936,748)      (14.7)              (915,773)      (14.6)       Asset Turnover                                                 2.3        2.4                     1.9        2.0
                                                                                                                                Fixed Asset Ratio                                             95.7 %     75.2 %                  67.6 %     62.3 %
           Income from operations                                 139,273         2.2               123,454          2.0        Equity to SG&A Expense                                         1.1        1.2                     1.6        1.5
                                                                                                                                Underbillings to Equity                                        8.8 %     10.0 %                  16.4 %     10.3 %
Interest income                                                      1,664        0.0                  14,488        0.2        Backlog to Equity                                              3.0        2.1                     2.7        2.3
Interest expense                                                    (21,548)     (0.3)               (27,902)       (0.4)
Other income / (expense), net                                       42,320        0.7                (63,572)       (1.0)
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes              161,709         2.5                  46,468        0.7
                                                                                                                                Backlog to Working Capital                                     6.4        3.9                     8.7        6.7
Income tax (expense) / benefit                                       (8,455)     (0.1)                 20,693        0.3        Months in Backlog                                              5.5        4.0                     5.1        4.6
                                                                                                                                Days in Accounts Receivable                                   53.1       44.6                    54.0       47.8
           Net earnings                                $          153,255         2.4 %   $            67,161        1.1 %      Days in Inventory                                              9.3        5.0                     1.5        3.9
                                                                                                                                Days in Accounts Payable                                      30.4       26.5                    44.6       45.3
                                                                                                                                Operating Cycle                                               41.6       28.4                    44.6       31.8
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                    9                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   12                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                     Heavy & Highway Contractors
                                       Heavy & Highway Contractors
                                                                                          $10 - $25 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent        Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        1,275,019         9.6 %   $         843,755          9.6 %      Current maturity on long-term debt                 $         888,974          6.7 %   $         685,586          7.8 %
   Marketable securities & short-term investments                   56,755        0.4               134,082          1.5        Notes payable and lines of credit                            212,875          1.6               237,314          2.7
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       3,883,620        29.1              2,355,244        26.8            Trade, including currently due
       Retainages on contracts                                    617,510         4.6               564,349          6.4                to subcontractors                                   1,470,859        11.0              1,477,711        16.8
       Unbilled work                                                11,137        0.1                  66,266        0.8            Subcontracts retainages                                  144,300          1.1               132,605          1.5
       Other receivables                                          194,086         1.5               154,236          1.8            Other                                                    340,910          2.6                   1,626        0.0
       Less allowance for doubtful accounts                         (10,772)     (0.1)               (18,392)       (0.2)               Total accounts payable                              1,956,069        14.7              1,611,942        18.4
           Total receivables, net:                              4,695,581        35.2              3,121,703        35.5
                                                                                                                                Accrued expenses                                             450,804          3.4               381,444          4.3
   Inventories                                                    100,783         0.8               111,307          1.3        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                        791,459          5.9               498,010          5.7
       of billings on uncompleted contracts                       481,475         3.6               228,441          2.6        Income taxes:
   Investments in and advances to                                                                                                   Current                                                  148,253          1.1                  15,017        0.2
       construction joint ventures                                        0       0.0                       0        0.0            Deferred                                                     1,402        0.0                   6,316        0.1
   Income taxes:                                                                                                                Other current liabilities                                   1,121,769         8.4                  74,734        0.9
       Current/refundable                                           21,562        0.2                  18,536        0.2                Total current liabilities                           5,571,605        41.8              3,510,362        40.0
       Deferred                                                   231,113         1.7                   9,563        0.1     Noncurrent liabilities
   Other current assets                                           589,383         4.4               209,372          2.4        Long-term debt, excluding current maturities                1,869,050        14.0              1,707,692        19.4
           Total current assets                                 7,451,670        55.9              4,676,759        53.3        Deferred income taxes                                        543,571          4.1                  95,811        1.1
                                                                                                                                Other                                                           20,759        0.2                  53,644        0.6
Property, plant and equipment                                  12,405,274        93.0              8,309,396        94.6                Total liabilities                                   8,004,985        60.0              5,367,509        61.1
Less accumulated depreciation                                   (7,320,153)     (54.9)            (4,780,675)      (54.4)    Minority interests                                                     0         0.0                      0         0.0
           Property, plant and equipment, net                   5,085,122        38.1              3,528,721        40.2     Net worth:
                                                                                                                                Common stock, par value                                         35,256        0.3                  36,721        0.4
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   24,737        0.2                   2,253        0.0
   Long-term investments                                             4,786        0.0                  54,775        0.6        Additional paid-in capital                                  1,353,040        10.1               281,826          3.2
   Deferred income taxes                                                  0       0.0                       0        0.0        Retained earnings                                           3,899,975        29.2              3,092,264        35.2
   Other assets                                                   793,622         6.0               521,530          5.9        Treasury stock                                               (199,711)       (1.5)              (338,859)       (3.9)
           Total noncurrent assets                                798,409         6.0               576,306          6.6        Excess value of marketable securities                            4,364        0.0                   5,006        0.1
                                                                                                                                Other equity                                                 212,554          1.6               335,065          3.8
                                                                                                                                        Total net worth                                     5,330,215        40.0              3,414,276        38.9

           Total assets                                $       13,335,200       100.0 %   $        8,781,785       100.0 %              Total liabilities and net worth            $       13,335,200       100.0 %   $        8,781,785       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median                Average      Median


Contract revenue                                       $       17,853,254        97.1 %   $       16,153,305        95.4 %   Liquidity Ratios
Other revenue                                                     541,985         2.9               777,182          4.6
           Total Revenue                                       18,395,239       100.0             16,930,487       100.0        Current Ratio                                                      1.3        1.3                     1.3        1.4
                                                                                                                                Quick Ratio                                                        1.1        1.2                     1.2        1.3
Contract cost                                                 (15,443,265)      (84.0)           (14,206,907)      (83.9)       Days of Cash                                                      25.0       12.8                    17.9       11.4
Other cost                                                       (398,949)       (2.2)              (604,492)       (3.6)       Working Capital Turnover                                           9.8        8.0                    14.5       12.8
           Total cost                                         (15,842,214)      (86.1)           (14,811,398)      (87.5)
                                                                                                                             Profitability Ratios
           Gross Profit                                         2,553,026        13.9              2,119,089        12.5
                                                                                                                                Return on Assets *                                                 5.0 %     10.4 %                   5.2 %      8.3 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                12.5 %     30.5 %                  13.4 %     16.3 %
   Payroll                                                       (987,637)       (5.4)              (752,860)       (4.4)       Times Interest Earned                                              7.2       18.8                     4.8       16.2
   Professional fees                                                (62,891)     (0.3)               (78,795)       (0.5)
   Sales & marketing costs                                          (38,132)     (0.2)               (50,184)       (0.3)    Leverage Ratios
   Technology costs                                                 (20,031)     (0.1)               (16,002)       (0.1)
   Administrative bonuses                                        (129,375)       (0.7)              (135,948)       (0.8)       Debt to Equity                                                     1.5        1.8                     1.6        1.3
   Other                                                         (600,102)       (3.3)              (532,902)       (3.1)       Revenue to Equity                                                  3.5        5.9                     5.0        6.0
           Total SG&A expenses                                  (1,838,169)     (10.0)            (1,566,692)       (9.3)       Asset Turnover                                                     1.4        2.3                     1.9        2.1
                                                                                                                                Fixed Asset Ratio                                                 95.4 %     76.0 %                 103.4 %     79.0 %
           Income from operations                                 714,857         3.9               552,397          3.3        Equity to SG&A Expense                                             2.9        1.6                     2.2        1.8
                                                                                                                                Underbillings to Equity                                            9.2 %     13.3 %                   8.6 %      7.6 %
Interest income                                                     19,281        0.1                  24,501        0.1        Backlog to Equity                                                  4.5        2.9                     4.3        3.1
Interest expense                                                 (106,763)       (0.6)              (118,813)       (0.7)
Other income / (expense), net                                       38,839        0.2                  (1,063)      (0.0)
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes              666,215         3.6               457,022          2.7
                                                                                                                                Backlog to Working Capital                                         7.6        5.7                    15.2        6.7
Income tax (expense) / benefit                                      (89,834)     (0.5)               (39,957)       (0.2)       Months in Backlog                                                  7.6        5.1                     6.6        5.8
                                                                                                                                Days in Accounts Receivable                                       79.6       50.9                    53.0       39.1
           Net earnings                                $          576,380         3.1 %   $         417,065          2.5 %      Days in Inventory                                                  2.3        4.1                     2.7        6.9
                                                                                                                                Days in Accounts Payable                                          41.2       30.5                    36.0       21.1
                                                                                                                                Operating Cycle                                                   65.7       39.3                    37.7       37.8
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   19                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   19                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Heavy & Highway Contractors
                                       Heavy & Highway Contractors
                                                                                          $25 - $50 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent        Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        2,867,720        18.5 %   $        2,808,985        14.4 %      Current maturity on long-term debt             $         306,770          2.0 %   $         721,999          3.7 %
   Marketable securities & short-term investments                 491,032         3.2               410,231          2.1        Notes payable and lines of credit                        322,429          2.1               347,489          1.8
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       4,607,216        29.8              4,808,436        24.6            Trade, including currently due
       Retainages on contracts                                  1,211,225         7.8              1,384,753         7.1                to subcontractors                               2,895,319        18.7              2,873,195        14.7
       Unbilled work                                                19,676        0.1               257,823          1.3            Subcontracts retainages                              393,718          2.5               456,234          2.3
       Other receivables                                          120,517         0.8               787,956          4.0            Other                                                   24,063        0.2               239,172          1.2
       Less allowance for doubtful accounts                         (26,864)     (0.2)               (52,891)       (0.3)               Total accounts payable                          3,313,100        21.4              3,568,600        18.3
           Total receivables, net:                              5,931,770        38.4              7,186,077        36.8
                                                                                                                                Accrued expenses                                         805,032          5.2               703,165          3.6
   Inventories                                                    193,557         1.3               132,836          0.7        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                   1,649,893        10.7              1,508,346         7.7
       of billings on uncompleted contracts                       533,976         3.5               868,285          4.4        Income taxes:
   Investments in and advances to                                                                                                   Current                                                 30,123        0.2                  57,833        0.3
       construction joint ventures                                  30,724        0.2               350,285          1.8            Deferred                                                 8,262        0.1                  78,853        0.4
   Income taxes:                                                                                                                Other current liabilities                                   18,295        0.1               471,962          2.4
       Current/refundable                                           12,107        0.1                  20,666        0.1                Total current liabilities                       6,453,905        41.7              7,458,247        38.2
       Deferred                                                      6,850        0.0                   3,688        0.0     Noncurrent liabilities
   Other current assets                                           293,367         1.9               397,161          2.0        Long-term debt, excluding current maturities            1,442,397         9.3              2,351,700        12.0
           Total current assets                                10,361,102        67.0             12,178,215        62.4        Deferred income taxes                                       93,909        0.6               156,748          0.8
                                                                                                                                Other                                                    170,068          1.1               482,369          2.5
Property, plant and equipment                                  12,158,165        78.6             15,252,309        78.1                Total liabilities                               8,160,279        52.8             10,449,064        53.5
Less accumulated depreciation                                   (7,589,290)     (49.1)            (9,199,445)      (47.1)    Minority interests                                                  0        0.0                      0         0.0
           Property, plant and equipment, net                   4,568,876        29.5              6,052,864        31.0     Net worth:
                                                                                                                                Common stock, par value                                     85,723        0.6               127,398          0.7
Noncurrent assets:                                                                                                              Preferred stock, stated value                                    0        0.0                      0         0.0
   Long-term investments                                            14,969        0.1               220,959          1.1        Additional paid-in capital                               890,016          5.8               776,813          4.0
   Deferred income taxes                                             1,185        0.0                      0         0.0        Retained earnings                                       6,010,960        38.9              7,325,021        37.5
   Other assets                                                   519,551         3.4              1,076,710         5.5        Treasury stock                                            (45,770)       (0.3)               (17,520)       (0.1)
           Total noncurrent assets                                535,705         3.5              1,297,669         6.6        Excess value of marketable securities                       (9,081)      (0.1)                  2,198        0.0
                                                                                                                                Other equity                                             373,556          2.4               865,773          4.4
                                                                                                                                        Total net worth                                 7,305,403        47.2              9,079,683        46.5

           Total assets                                $       15,465,683       100.0 %   $       19,528,747       100.0 %              Total liabilities and net worth        $       15,465,683       100.0 %   $       19,528,747       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median                Average      Median


Contract revenue                                       $       36,847,843        99.3 %   $       38,536,379        98.9 %   Liquidity Ratios
Other revenue                                                     242,465         0.7               427,320          1.1
           Total Revenue                                       37,090,308       100.0             38,963,698       100.0        Current Ratio                                                  1.6        1.7                     1.6        1.5
                                                                                                                                Quick Ratio                                                    1.4        1.4                     1.4        1.3
Contract cost                                                 (32,466,120)      (87.5)           (34,439,314)      (88.4)       Days of Cash                                                  27.8       34.3                    26.0       18.7
Other cost                                                       (256,655)       (0.7)              (236,280)       (0.6)       Working Capital Turnover                                       9.5       10.0                     8.3       10.5
           Total cost                                         (32,722,774)      (88.2)           (34,675,594)      (89.0)
                                                                                                                             Profitability Ratios
           Gross Profit                                         4,367,534        11.8              4,288,104        11.0
                                                                                                                                Return on Assets *                                            10.3 %     14.1 %                   6.3 %      7.0 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            21.8 %     23.8 %                  13.5 %     12.1 %
   Payroll                                                      (1,533,234)      (4.1)            (1,707,443)       (4.4)       Times Interest Earned                                         19.3       19.9                    15.1       27.3
   Professional fees                                                (75,221)     (0.2)              (109,486)       (0.3)
   Sales & marketing costs                                          (42,111)     (0.1)               (44,203)       (0.1)    Leverage Ratios
   Technology costs                                                 (35,620)     (0.1)               (42,812)       (0.1)
   Administrative bonuses                                        (209,268)       (0.6)              (140,011)       (0.4)       Debt to Equity                                                 1.1        1.1                     1.2        1.4
   Other                                                         (891,107)       (2.4)            (1,162,392)       (3.0)       Revenue to Equity                                              5.1        5.3                     4.3        4.8
           Total SG&A expenses                                  (2,786,562)      (7.5)            (3,206,346)       (8.2)       Asset Turnover                                                 2.4        2.5                     2.0        2.0
                                                                                                                                Fixed Asset Ratio                                             62.5 %     60.0 %                  66.7 %     61.4 %
           Income from operations                               1,580,972         4.3              1,081,758         2.8        Equity to SG&A Expense                                         2.6        2.7                     2.8        2.5
                                                                                                                                Underbillings to Equity                                        7.6 %      6.5 %                  12.4 %      8.2 %
Interest income                                                     63,148        0.2               100,533          0.3        Backlog to Equity                                              4.5        3.3                     4.1        4.0
Interest expense                                                    (87,283)     (0.2)               (86,813)       (0.2)
Other income / (expense), net                                       38,977        0.1               130,678          0.3
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            1,595,814         4.3              1,226,155         3.1
                                                                                                                                Backlog to Working Capital                                     9.3        5.7                     8.0        6.3
Income tax (expense) / benefit                                      (60,515)     (0.2)               (70,918)       (0.2)       Months in Backlog                                              8.6        7.0                     9.2        7.3
                                                                                                                                Days in Accounts Receivable                                   45.6       44.2                    51.2       52.3
           Net earnings                                $        1,535,300         4.1 %   $        1,155,237         3.0 %      Days in Inventory                                              2.1        0.6                     1.4        0.9
                                                                                                                                Days in Accounts Payable                                      32.1       31.5                    32.3       28.8
                                                                                                                                Operating Cycle                                               43.5       44.6                    46.2       43.9
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   27                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   25                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                     Heavy & Highway Contractors
                                       Heavy & Highway Contractors
                                                                                         $50 - $100 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent        Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        4,030,593        14.3 %   $        5,200,658        16.9 %      Current maturity on long-term debt                 $         981,755          3.5 %   $         915,458          3.0 %
   Marketable securities & short-term investments               1,759,234         6.2              1,051,040         3.4        Notes payable and lines of credit                            724,100          2.6               582,233          1.9
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       7,292,436        25.9              7,993,406        25.9            Trade, including currently due
       Retainages on contracts                                  1,724,006         6.1              2,623,960         8.5                to subcontractors                                   3,911,248        13.9              4,894,623        15.9
       Unbilled work                                              595,696         2.1               182,292          0.6            Subcontracts retainages                                  699,242          2.5               826,499          2.7
       Other receivables                                          472,945         1.7               116,401          0.4            Other                                                    158,845          0.6                  74,994        0.2
       Less allowance for doubtful accounts                         (72,697)     (0.3)               (52,284)       (0.2)               Total accounts payable                              4,769,335        16.9              5,796,115        18.8
           Total receivables, net:                             10,012,387        35.6             10,863,775        35.3
                                                                                                                                Accrued expenses                                            1,558,747         5.5              1,301,783         4.2
   Inventories                                                    626,140         2.2              1,134,246         3.7        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       2,731,649         9.7              3,236,895        10.5
       of billings on uncompleted contracts                     1,396,236         5.0              1,285,892         4.2        Income taxes:
   Investments in and advances to                                                                                                   Current                                                     56,530        0.2                  35,806        0.1
       construction joint ventures                                634,063         2.3               152,506          0.5            Deferred                                                    78,064        0.3                      0         0.0
   Income taxes:                                                                                                                Other current liabilities                                    165,543          0.6               305,523          1.0
       Current/refundable                                           71,400        0.3                  58,879        0.2                Total current liabilities                          11,065,722        39.3             12,173,813        39.5
       Deferred                                                     77,618        0.3               116,415          0.4     Noncurrent liabilities
   Other current assets                                           736,806         2.6               812,334          2.6        Long-term debt, excluding current maturities                3,152,756        11.2              2,776,234         9.0
           Total current assets                                19,344,477        68.7             20,675,744        67.1        Deferred income taxes                                        335,459          1.2               295,881          1.0
                                                                                                                                Other                                                        580,937          2.1               793,005          2.6
Property, plant and equipment                                  18,065,525        64.2             19,164,920        62.2                Total liabilities                                  15,134,874        53.8             16,038,932        52.0
Less accumulated depreciation                                 (11,267,288)      (40.0)           (11,739,337)      (38.1)    Minority interests                                                     0         0.0                      0         0.0
           Property, plant and equipment, net                   6,798,237        24.1              7,425,583        24.1     Net worth:
                                                                                                                                Common stock, par value                                      481,062          1.7               621,747          2.0
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   17,403        0.1                      0         0.0
   Long-term investments                                          227,284         0.8               740,024          2.4        Additional paid-in capital                                  3,051,260        10.8              2,732,692         8.9
   Deferred income taxes                                            10,711        0.0                  75,254        0.2        Retained earnings                                           8,447,623        30.0             12,239,900        39.7
   Other assets                                                 1,775,307         6.3              1,898,575         6.2        Treasury stock                                               (390,510)       (1.4)              (840,742)       (2.7)
           Total noncurrent assets                              2,013,302         7.2              2,713,854         8.8        Excess value of marketable securities                           74,776        0.3                  33,571        0.1
                                                                                                                                Other equity                                                1,339,528         4.8                (10,920)       (0.0)
                                                                                                                                        Total net worth                                    13,021,142        46.2             14,776,248        48.0

           Total assets                                $       28,156,016       100.0 %   $       30,815,181       100.0 %              Total liabilities and net worth            $       28,156,016       100.0 %   $       30,815,181       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median                Average      Median


Contract revenue                                       $       67,354,076        99.1 %   $       66,255,641        95.3 %   Liquidity Ratios
Other revenue                                                     628,422         0.9              3,238,876         4.7
           Total Revenue                                       67,982,498       100.0             69,494,517       100.0        Current Ratio                                                      1.7        1.7                     1.7        1.7
                                                                                                                                Quick Ratio                                                        1.4        1.4                     1.4        1.4
Contract cost                                                 (59,392,074)      (87.4)           (59,782,336)      (86.0)       Days of Cash                                                      21.3       13.3                    26.9       16.8
Other cost                                                       (493,988)       (0.7)            (2,909,160)       (4.2)       Working Capital Turnover                                           8.2        9.9                     8.2        9.6
           Total cost                                         (59,886,063)      (88.1)           (62,691,496)      (90.2)
                                                                                                                             Profitability Ratios
           Gross Profit                                         8,096,435        11.9              6,803,021         9.8
                                                                                                                                Return on Assets *                                                 8.3 %      7.8 %                   6.8 %      5.9 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                17.9 %     21.5 %                  14.2 %     17.7 %
   Payroll                                                      (2,582,729)      (3.8)            (2,878,802)       (4.1)       Times Interest Earned                                              8.9        9.8                    11.2       11.1
   Professional fees                                             (188,761)       (0.3)              (193,329)       (0.3)
   Sales & marketing costs                                       (128,961)       (0.2)               (75,288)       (0.1)    Leverage Ratios
   Technology costs                                              (150,826)       (0.2)              (152,530)       (0.2)
   Administrative bonuses                                        (733,284)       (1.1)              (233,976)       (0.3)       Debt to Equity                                                     1.2        1.4                     1.1        1.2
   Other                                                        (1,860,269)      (2.7)            (1,310,697)       (1.9)       Revenue to Equity                                                  5.2        5.9                     4.7        6.0
           Total SG&A expenses                                  (5,644,829)      (8.3)            (4,844,622)       (7.0)       Asset Turnover                                                     2.4        2.6                     2.3        2.4
                                                                                                                                Fixed Asset Ratio                                                 52.2 %     58.8 %                  50.3 %     49.6 %
           Income from operations                               2,451,606         3.6              1,958,399         2.8        Equity to SG&A Expense                                             2.3        2.4                     3.1        3.0
                                                                                                                                Underbillings to Equity                                           15.3 %      9.0 %                   9.9 %      5.0 %
Interest income                                                   140,830         0.2                  83,581        0.1        Backlog to Equity                                                  5.6        4.3                     4.3        3.7
Interest expense                                                 (295,674)       (0.4)              (206,168)       (0.3)
Other income / (expense), net                                       38,184        0.1               264,883          0.4
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            2,334,946         3.4              2,100,695         3.0
                                                                                                                                Backlog to Working Capital                                         8.5        6.0                     7.4        6.8
Income tax (expense) / benefit                                   (303,814)       (0.4)              (160,038)       (0.2)       Months in Backlog                                                  9.5        7.3                     8.9        7.7
                                                                                                                                Days in Accounts Receivable                                       40.7       36.4                    41.7       39.3
           Net earnings                                $        2,031,132         3.0 %   $        1,940,657         2.8 %      Days in Inventory                                                  3.8        5.2                     6.5        5.4
                                                                                                                                Days in Accounts Payable                                          24.5       23.6                    28.5       25.0
                                                                                                                                Operating Cycle                                                   41.4       40.3                    46.7       50.4
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   28                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   28                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

       Heavy & Highway Contractors
                                       Heavy & Highway Contractors
                                                                                More Than $100 Million Revenue
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                          Amount              Percent        Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $       19,320,801        15.8 %   $       15,773,114        14.7 %      Current maturity on long-term debt             $        3,052,798         2.5 %   $        3,587,860         3.3 %
   Marketable securities & short-term investments               3,871,786         3.2               965,741          0.9        Notes payable and lines of credit                        659,000          0.5               772,849          0.7
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      30,564,367        24.9             24,961,892        23.3            Trade, including currently due
       Retainages on contracts                                 13,795,169        11.3              8,250,856         7.7                to subcontractors                              29,323,758        23.9             13,697,777        12.8
       Unbilled work                                            3,213,360         2.6               556,479          0.5            Subcontracts retainages                             2,826,385         2.3              4,047,397         3.8
       Other receivables                                        1,887,322         1.5              3,186,769         3.0            Other                                               1,064,836         0.9               930,144          0.9
       Less allowance for doubtful accounts                      (147,326)       (0.1)              (149,980)       (0.1)               Total accounts payable                         33,214,979        27.1             18,675,318        17.4
           Total receivables, net:                             49,312,892        40.3             36,806,015        34.3
                                                                                                                                Accrued expenses                                        6,988,036         5.7              7,958,541         7.4
   Inventories                                                  3,193,176         2.6              3,482,232         3.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                  14,970,768        12.2             13,216,231        12.3
       of billings on uncompleted contracts                     7,549,806         6.2              4,888,650         4.6        Income taxes:
   Investments in and advances to                                                                                                   Current                                              272,043          0.2               214,638          0.2
       construction joint ventures                              1,125,968         0.9              1,367,955         1.3            Deferred                                                10,921        0.0                  27,752        0.0
   Income taxes:                                                                                                                Other current liabilities                                406,427          0.3               378,843          0.4
       Current/refundable                                             478         0.0                  51,099        0.0                Total current liabilities                      59,574,972        48.6             44,832,031        41.8
       Deferred                                                   195,749         0.2               811,681          0.8     Noncurrent liabilities
   Other current assets                                         2,019,815         1.6              2,857,982         2.7        Long-term debt, excluding current maturities           16,584,451        13.5             15,720,221        14.7
           Total current assets                                86,590,471        70.7             67,004,468        62.5        Deferred income taxes                                   1,114,707         0.9              1,318,074         1.2
                                                                                                                                Other                                                   1,887,825         1.5              1,937,987         1.8
Property, plant and equipment                                  60,553,037        49.4             75,464,058        70.4                Total liabilities                              79,161,955        64.6             63,808,313        59.5
Less accumulated depreciation                                 (35,058,888)      (28.6)           (43,961,872)      (41.0)    Minority interests                                          252,579          0.2                  44,331        0.0
           Property, plant and equipment, net                  25,494,149        20.8             31,502,186        29.4     Net worth:
                                                                                                                                Common stock, par value                                 2,008,451         1.6               403,128          0.4
Noncurrent assets:                                                                                                              Preferred stock, stated value                                   0         0.0               248,523          0.2
   Long-term investments                                        1,418,297         1.2              1,148,727         1.1        Additional paid-in capital                             11,328,688         9.2             11,145,374        10.4
   Deferred income taxes                                          350,522         0.3                      0         0.0        Retained earnings                                      29,071,667        23.7             33,075,510        30.9
   Other assets                                                 8,662,752         7.1              7,521,000         7.0        Treasury stock                                           (967,060)       (0.8)            (2,262,939)       (2.1)
           Total noncurrent assets                             10,431,570         8.5              8,669,727         8.1        Excess value of marketable securities                        9,337        0.0                  24,658        0.0
                                                                                                                                Other equity                                            1,650,574         1.3               689,483          0.6
                                                                                                                                        Total net worth                                43,101,657        35.2             43,323,737        40.4

           Total assets                                $      122,516,191       100.0 %   $     107,176,381        100.0 %              Total liabilities and net worth        $     122,516,191        100.0 %   $     107,176,381        100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                    2005 Participants                  2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                 Average      Median                Average      Median


Contract revenue                                       $      275,735,367        95.8 %   $     253,146,838         96.9 %   Liquidity Ratios
Other revenue                                                  11,970,839         4.2              7,992,895         3.1
           Total Revenue                                      287,706,206       100.0           261,139,733        100.0        Current Ratio                                                  1.5        1.5                     1.5        1.5
                                                                                                                                Quick Ratio                                                    1.2        1.2                     1.2        1.1
Contract cost                                                (256,853,097)      (89.3)          (232,390,473)      (89.0)       Days of Cash                                                  24.2       15.5                    21.7       12.0
Other cost                                                    (10,199,643)       (3.5)            (6,432,852)       (2.5)       Working Capital Turnover                                      10.6       10.8                    11.8       13.3
           Total cost                                        (267,052,740)      (92.8)          (238,823,325)      (91.5)
                                                                                                                             Profitability Ratios
           Gross Profit                                        20,653,465         7.2             22,316,408         8.5
                                                                                                                                Return on Assets *                                             5.6 %      5.0 %                   5.9 %      3.5 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                            15.9 %     15.1 %                  14.6 %      9.4 %
   Payroll                                                      (6,127,562)      (2.1)            (8,603,432)       (3.3)       Times Interest Earned                                         12.9        5.7                     7.4        3.5
   Professional fees                                             (428,822)       (0.1)              (782,361)       (0.3)
   Sales & marketing costs                                       (484,268)       (0.2)              (444,683)       (0.2)    Leverage Ratios
   Technology costs                                              (312,092)       (0.1)              (424,857)       (0.2)
   Administrative bonuses                                        (661,242)       (0.2)            (1,243,782)       (0.5)       Debt to Equity                                                 1.8        2.0                     1.5        1.4
   Other                                                        (5,810,759)      (2.0)            (4,126,022)       (1.6)       Revenue to Equity                                              6.7        6.1                     6.0        6.0
           Total SG&A expenses                                (13,824,745)       (4.8)           (15,625,137)       (6.0)       Asset Turnover                                                 2.3        2.2                     2.4        2.7
                                                                                                                                Fixed Asset Ratio                                             59.1 %     75.7 %                  72.7 %     67.6 %
           Income from operations                               6,828,720         2.4              6,691,271         2.6        Equity to SG&A Expense                                         3.1        3.3                     2.8        2.7
                                                                                                                                Underbillings to Equity                                       25.0 %     16.1 %                  12.6 %     10.9 %
Interest income                                                   413,569         0.1               255,083          0.1        Backlog to Equity                                              5.8        5.1                     5.9        5.2
Interest expense                                                 (575,918)       (0.2)              (981,183)       (0.4)
Other income / (expense), net                                     182,945         0.1               346,135          0.1
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            6,849,316         2.4              6,311,306         2.4
                                                                                                                                Backlog to Working Capital                                    10.4        8.7                    13.9        8.5
Income tax (expense) / benefit                                   (497,545)       (0.2)            (1,434,905)       (0.5)       Months in Backlog                                              9.7        9.1                     9.8        9.8
                                                                                                                                Days in Accounts Receivable                                   40.4       39.4                    38.6       38.6
           Net earnings                                $        6,351,771         2.2 %   $        4,876,401         1.9 %      Days in Inventory                                              4.3        3.6                     5.2        5.1
                                                                                                                                Days in Accounts Payable                                      41.0       23.4                    22.0       25.3
                                                                                                                                Operating Cycle                                               27.9       30.9                    43.5       37.7
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   23                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   22                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                     Heavy & Highway Contractors
Selected Financial Data by Revenue — Best in Class Contractors

                                                                                            ANNUAL REVENUE
                                                                                           Best in                       Best in
All Heavy &                                              Best in               All          Class       All               Class
Highway                                                   Class           $0-$50M        $0-$50M     >$50M               >$50M

Number of Companies                  106                     22                55              17            51               5
Assets ($)                        40,582                 14,976            12,646          10,198        70,711          31,219
Liabilities ($)                   24,830                  7,797             7,046           5,735        44,010          14,806
Net Worth ($)                     15,697                  7,179             5,600           4,463        26,587          16,413
Net Worth to Assets                 38.7   %               47.9    %         44.3    %       43.8   %      37.6      %     52.6    %
Revenues ($)                      93,669                 41,055            25,602          29,338       167,074          80,894
Gross Profit ($)                   8,282                  5,039             3,202           3,852        13,759           9,076
Gross Profit Margin                  8.8   %               12.3    %         12.5    %       13.1   %       8.2      %     11.2    %
SG&A Expense ($)                   5,610                  2,765             2,156           2,076         9,334           5,107
SG&A Expense Margin                  6.0   %                6.7    %          8.4    %        7.1   %       5.6      %      6.3    %
Net Earnings ($) *                 2,643                  2,353             1,040           1,799         4,371           4,238
Net Earnings Margin *                2.8   %                5.7    %          4.1    %        6.1   %       2.6      %      5.2    %
Current Ratio                        1.5                    1.5               1.5             1.5           1.5             1.4
Return on Assets                     6.5   %               15.7    %          8.2    %       17.6   %       6.2      %     13.6    %
Return on Equity                    16.8   %               32.8    %         18.6    %       40.3   %      16.4      %     25.8    %
* Before Taxes


Note: All dollar amounts are in thousands.


                           BE ST IN C L ASS KE Y FINANC IAL C HARAC TE RISTIC S
                                            HE AVY & HIGHW AY

              75
                                                                   60.4




              50
                                                                          55
                                                  32.8




              25
                                                                                                        9.9
                     6.5




                                           16.8
                           15.7




                                                                                     1.6
                                                                                           1.1




                                                                                                              13.1




              0
                    Return on         Return on               Fixed Asset            Debt To            Working
                   Assets (%)         Equity (%)               Ratio (%)              Equity             Capital
                                                                                                        Turnover

                    All Heavy & Highw ay Companies                          Best in Class Heavy & Highw ay


        •   Return on Assets: Best in Class Heavy & Highway companies had an average ROA of
            15.7% — 9.2 percentage points higher than the typical company. Best in Class Heavy &
            Highway companies use their assets more effectively and efficiently to generate profits.
        •   Return on Equity: Best in Class Heavy & Highway companies had an average ROE of
            32.8% — 16.0 percentage points higher than the typical Heavy & Highway company. Best in
            Class Heavy & Highway companies utilize equity more effectively to generate profits.




      Heavy & Highway Contractors
•   Fixed Asset Ratio: Best in Class Heavy & Highway companies had an average Fixed Asset
    Ratio of 55.0 — 5.4 percentage points lower than the typical Heavy & Highway company.
    Best in Class Heavy & Highway companies use less equity to finance the purchase of fixed
    assets than the typical Heavy & Highway company and have superior liquidity.
•   Debt to Equity: Best in Class Heavy & Highway companies had an average Debt to Equity
    ratio of 1.1 — 0.5 lower than the typical Heavy & Highway company. Best in Class Heavy &
    Highway companies are taking slightly less financial risk to generate superior financial
    performance as compared to the typical Heavy & Highway company.
•   Working Capital Turnover: Best in Class Heavy & Highway companies turned over their
    working capital an average of 13.1 times — 3.2 times more than the typical Heavy &
    Highway company. This indicates that for every dollar of working capital, the Best in Class
    Heavy & Highway companies generate $3.20 more in sales, which indicates either a more
    strategic pursuit of projects and/or better sales and marketing.




                                                             Heavy & Highway Contractors
                                     Heavy & Highway Contractors
                                                                                        Composite: Best in Class
Balance Sheet
                                                           All Participants                Best in Class                                                                            All Participants                 Best in Class


                                                           Amount             Percent      Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                           Current liabilities:
   Cash and cash equivalents                           $        6,230,400      15.4 % $         1,788,022       11.9 %       Current maturity on long-term debt                 $        1,175,606         2.9 % $          330,684         2.2 %
   Marketable securities & short-term investments               1,440,197        3.5                12,672        0.1        Notes payable and lines of credit                             468,741         1.2              130,567         0.9
   Receivables:                                                                                                              Accounts payable:
      Contract receivables currently due                       10,507,240      25.9             5,126,626       34.2             Trade, including currently due
      Retainages on contracts                                   3,881,865        9.6            1,323,954         8.8                to subcontractors                                   8,432,234       20.8             3,039,930       20.3
      Unbilled work                                               863,719        2.1              268,877         1.8            Subcontracts retainages                                   925,713         2.3              510,033         3.4
      Other receivables                                           600,087        1.5                77,140        0.5            Other                                                     342,847         0.8                35,889        0.2
      Less allowance for doubtful accounts                         (59,944)     (0.1)             (25,646)       (0.2)               Total accounts payable                              9,700,794       23.9             3,585,852       23.9
           Total receivables, net:                             15,792,968      38.9             6,770,951       45.2
                                                                                                                             Accrued expenses                                            2,221,762         5.5            1,007,759         6.7
   Inventories                                                    937,194        2.3              134,262         0.9        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                       earnings on uncompleted contracts                       4,541,773       11.2             1,447,010         9.7
       of billings on uncompleted contracts                     2,235,049        5.5              671,181         4.5        Income taxes:
   Investments in and advances to                                                                                                Current                                                   109,226         0.3                60,463        0.4
      construction joint ventures                                 419,628        1.0                       0      0.0            Deferred                                                    25,941        0.1                 4,409        0.0
   Income taxes:                                                                                                             Other current liabilities                                     338,119         0.8              152,465         1.0
      Current/refundable                                            26,004       0.1                 4,412        0.0                Total current liabilities                          18,581,961       45.8             6,719,209       44.9
      Deferred                                                    106,147        0.3                37,955        0.3     Noncurrent liabilities
   Other current assets                                           824,579        2.0              432,508         2.9        Long-term debt, excluding current maturities                5,178,864       12.8               774,130         5.2
           Total current assets                                28,012,166      69.0             9,851,963       65.8         Deferred income taxes                                         452,939         1.1              217,570         1.5
                                                                                                                             Other                                                         616,693         1.5                85,840        0.6
Property, plant and equipment                                  23,506,239      57.9            10,878,170       72.6                 Total liabilities                                  24,830,458       61.2             7,796,749       52.1
Less accumulated depreciation                                 (14,018,135)     (34.5)          (6,927,321)      (46.3)    Minority interests                                                 54,805        0.1                       0      0.0
           Property, plant and equipment, net                   9,488,103      23.4             3,950,849       26.4      Net worth:
                                                                                                                             Common stock, par value                                       603,495         1.5                73,314        0.5
Noncurrent assets:                                                                                                           Preferred stock, stated value                                    9,031        0.0                22,149        0.1
   Long-term investments                                          372,452        0.9                 7,059        0.0        Additional paid-in capital                                  3,733,958         9.2            1,204,125         8.0
   Deferred income taxes                                            79,188       0.2                       0      0.0        Retained earnings                                          10,831,199       26.7             5,365,236       35.8
   Other assets                                                 2,630,588        6.5            1,165,842         7.8        Treasury stock                                               (360,443)       (0.9)               (2,727)      (0.0)
           Total noncurrent assets                              3,082,228        7.6            1,172,901         7.8        Excess value of marketable securities                           20,247        0.0                       0      0.0
                                                                                                                             Other equity                                                  859,748         2.1              516,867         3.5
                                                                                                                                     Total net worth                                    15,697,235       38.7             7,178,964       47.9

           Total assets                                $       40,582,497     100.0 % $        14,975,713      100.0 %               Total liabilities and net worth            $       40,582,497      100.0 % $        14,975,713      100.0 %



Statement of Earnings                                                                                                     Financial Ratios
                                                           All Participants                Best in Class                                                                            All Participants                 Best in Class


                                                           Amount             Percent      Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $       90,746,172      96.9 % $        40,841,345       99.5 %    Liquidity Ratios
Other revenue                                                   2,922,353        3.1              213,841         0.5
           Total Revenue                                       93,668,525     100.0            41,055,186      100.0         Current Ratio                                                      1.5        1.5                   1.5        1.4
                                                                                                                             Quick Ratio                                                        1.3        1.3                   1.3        1.3
Contract cost                                                 (82,906,467)     (88.5)         (35,826,097)      (87.3)       Days of Cash                                                      23.9      13.5                   15.7      14.9
Other cost                                                     (2,480,502)      (2.6)            (189,712)       (0.5)       Working Capital Turnover                                           9.9      10.5                   13.1      13.5
           Total cost                                         (85,386,969)     (91.2)         (36,015,808)      (87.7)
                                                                                                                          Profitability Ratios
           Gross Profit                                         8,281,556        8.8            5,039,378       12.3
                                                                                                                             Return on Assets *                                                 6.5 %      7.8 %                15.7 %    14.9 %
Selling, general & administrative expenses:                                                                                  Return on Equity *                                                16.8 %    19.4 %                 32.8 %    35.2 %
   Payroll                                                     (2,618,696)      (2.8)          (1,338,510)       (3.3)       Times Interest Earned                                             11.7      12.5                   52.0      18.9
   Professional fees                                             (175,848)      (0.2)             (82,969)       (0.2)
   Sales & marketing costs                                       (157,591)      (0.2)             (54,160)       (0.1)    Leverage Ratios
   Technology costs                                              (121,201)      (0.1)             (23,515)       (0.1)
   Administrative bonuses                                        (415,481)      (0.4)            (161,599)       (0.4)       Debt to Equity                                                     1.6        1.5                   1.1        1.3
   Other                                                       (2,120,781)      (2.3)          (1,104,524)       (2.7)       Revenue to Equity                                                  6.0        5.9                   5.7        7.2
           Total SG&A expenses                                 (5,609,599)      (6.0)          (2,765,276)       (6.7)       Asset Turnover                                                     2.3        2.5                   2.7        3.0
                                                                                                                             Fixed Asset Ratio                                                 60.4 %    68.4 %                 55.0 %    55.1 %
           Income from operations                               2,671,958        2.9            2,274,101         5.5        Equity to SG&A Expense                                             2.8        2.1                   2.6        2.2
                                                                                                                             Underbillings to Equity                                           19.7 %      9.8 %                13.1 %      9.6 %
Interest income                                                   146,619        0.2                26,040        0.1        Backlog to Equity                                                  5.0        3.4                   3.9        2.7
Interest expense                                                 (246,264)      (0.3)             (46,122)       (0.1)
Other income / (expense), net                                       70,265       0.1                98,996        0.2
                                                                                                                          Efficiency Ratios
           Net earnings / (loss) before income taxes            2,642,577        2.8            2,353,016         5.7
                                                                                                                             Backlog to Working Capital                                         8.8        6.4                   7.3        5.8
Income tax (expense) / benefit                                   (220,445)      (0.2)            (334,964)       (0.8)       Months in Backlog                                                  8.6        7.0                   6.1        5.2
                                                                                                                             Days in Accounts Receivable                                       42.5      42.9                   45.4      46.1
           Net earnings                                $        2,422,132        2.6 % $        2,018,051         4.9 %      Days in Inventory                                                  4.0       3.7                    1.3       1.4
                                                                                                                             Days in Accounts Payable                                          37.0      26.7                   30.7      26.7
                                                                                                                             Operating Cycle                                                   33.4      38.9                   31.7      35.9
Number of Participants                                                                                                    * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
                                                                    Number                          Number                net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
                                                                      106                              22                 calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this
                                                                                                                          change.




                                                                                                                                                                       Note: Not all figures will apear to sum due to rounding.

     Heavy & Highway Contractors
                                     Heavy & Highway Contractors
                                                       Less Than $50 Million Revenue: Best in Class
Balance Sheet
                                                           All Participants                Best in Class                                                                        All Participants                 Best in Class


                                                           Amount             Percent      Amount              Percent                                                          Amount              Percent      Amount              Percent


Current assets:                                                                                                           Current liabilities:
   Cash and cash equivalents                           $        1,876,133      14.8 % $         1,576,557       15.5 %       Current maturity on long-term debt             $          489,286         3.9 % $          294,829         2.9 %
   Marketable securities & short-term investments                 260,931        2.1                16,399        0.2        Notes payable and lines of credit                         259,178         2.0              153,570         1.5
   Receivables:                                                                                                              Accounts payable:
      Contract receivables currently due                        3,756,341      29.7             3,848,070       37.7             Trade, including currently due
      Retainages on contracts                                     834,848        6.6              967,627         9.5                to subcontractors                               1,997,371       15.8             1,943,378       19.1
      Unbilled work                                                 17,590       0.1                30,699        0.3            Subcontracts retainages                               246,181         1.9              315,867         3.1
      Other receivables                                           126,516        1.0                94,949        0.9            Other                                                 134,598         1.1                 1,936        0.0
      Less allowance for doubtful accounts                         (16,909)     (0.1)             (18,687)       (0.2)               Total accounts payable                          2,378,151       18.8             2,261,181       22.2
           Total receivables, net:                              4,718,386      37.3             4,922,658       48.3
                                                                                                                             Accrued expenses                                          566,128         4.5              927,974         9.1
   Inventories                                                    152,138        1.2                24,402        0.2        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                       earnings on uncompleted contracts                   1,102,074         8.7            1,087,302       10.7
       of billings on uncompleted contracts                       439,545        3.5              482,933         4.7        Income taxes:
   Investments in and advances to                                                                                                Current                                                 67,966        0.5                16,998        0.2
      construction joint ventures                                   15,083       0.1                       0      0.0            Deferred                                                 5,686        0.0                 3,706        0.0
   Income taxes:                                                                                                             Other current liabilities                                 397,410         3.1              128,683         1.3
      Current/refundable                                            13,568       0.1                 5,710        0.1                Total current liabilities                       5,265,879       41.6             4,874,244       47.8
      Deferred                                                      83,202       0.7                       0      0.0     Noncurrent liabilities
   Other current assets                                           369,438        2.9              292,030         2.9        Long-term debt, excluding current maturities            1,440,729       11.4               814,694         8.0
           Total current assets                                 7,928,425      62.7             7,320,689       71.8         Deferred income taxes                                     236,007         1.9                35,355        0.3
                                                                                                                             Other                                                     103,332         0.8                10,855        0.1
Property, plant and equipment                                  10,783,759      85.3             5,861,647       57.5                 Total liabilities                               7,045,947       55.7             5,735,148       56.2
Less accumulated depreciation                                  (6,619,706)     (52.3)          (3,525,966)      (34.6)    Minority interests                                                  0        0.0                       0      0.0
           Property, plant and equipment, net                   4,164,053      32.9             2,335,682       22.9      Net worth:
                                                                                                                             Common stock, par value                                     78,298        0.6                45,646        0.4
Noncurrent assets:                                                                                                           Preferred stock, stated value                                8,545        0.1                       0      0.0
   Long-term investments                                             9,002       0.1                 9,135        0.1        Additional paid-in capital                                905,534         7.2            1,026,516       10.1
   Deferred income taxes                                              582        0.0                       0      0.0        Retained earnings                                       4,416,824       34.9             3,159,417       31.0
   Other assets                                                   543,463        4.3              532,816         5.2        Treasury stock                                             (91,460)      (0.7)               (3,529)      (0.0)
           Total noncurrent assets                                553,047        4.4              541,951         5.3        Excess value of marketable securities                       (2,951)      (0.0)                      0      0.0
                                                                                                                             Other equity                                              284,787         2.3              235,124         2.3
                                                                                                                                     Total net worth                                 5,599,578       44.3             4,463,174       43.8

           Total assets                                $       12,645,525     100.0 % $        10,198,322      100.0 %               Total liabilities and net worth        $       12,645,525      100.0 % $        10,198,322      100.0 %



Statement of Earnings                                                                                                     Financial Ratios
                                                           All Participants                Best in Class                                                                        All Participants                 Best in Class


                                                           Amount             Percent      Amount              Percent                                                                 Average      Median              Average      Median


Contract revenue                                       $       25,295,758      98.8 % $        29,061,177       99.1 %    Liquidity Ratios
Other revenue                                                     306,260        1.2              276,735         0.9
           Total Revenue                                       25,602,018     100.0            29,337,912      100.0         Current Ratio                                                  1.5        1.5                   1.5        1.4
                                                                                                                             Quick Ratio                                                    1.3        1.3                   1.3        1.3
Contract cost                                                 (22,136,112)     (86.5)         (25,240,248)      (86.0)       Days of Cash                                                  26.4      12.8                   19.3      15.4
Other cost                                                       (263,813)      (1.0)            (245,509)       (0.8)       Working Capital Turnover                                       9.6      10.2                   12.0      13.8
           Total cost                                         (22,399,925)     (87.5)         (25,485,757)      (86.9)
                                                                                                                          Profitability Ratios
           Gross Profit                                         3,202,092      12.5             3,852,155       13.1
                                                                                                                             Return on Assets *                                             8.2 %      9.6 %                17.6 %    15.0 %
Selling, general & administrative expenses:                                                                                  Return on Equity *                                            18.6 %    23.2 %                 40.3 %    38.1 %
   Payroll                                                     (1,169,663)      (4.6)          (1,129,104)       (3.8)       Times Interest Earned                                         13.5      18.4                   49.9      20.7
   Professional fees                                               (63,486)     (0.2)             (66,497)       (0.2)
   Sales & marketing costs                                         (35,557)     (0.1)             (30,817)       (0.1)    Leverage Ratios
   Technology costs                                                (26,292)     (0.1)             (15,297)       (0.1)
   Administrative bonuses                                        (150,918)      (0.6)            (158,622)       (0.5)       Debt to Equity                                                 1.3        1.6                   1.3        1.5
   Other                                                         (710,323)      (2.8)            (676,149)       (2.3)       Revenue to Equity                                              4.6        5.8                   6.6        7.7
           Total SG&A expenses                                 (2,156,238)      (8.4)          (2,076,487)       (7.1)       Asset Turnover                                                 2.0        2.5                   2.9        3.0
                                                                                                                             Fixed Asset Ratio                                             74.4 %    68.4 %                 52.3 %    53.7 %
           Income from operations                               1,045,854        4.1            1,775,668         6.1        Equity to SG&A Expense                                         2.6        1.8                   2.1        1.9
                                                                                                                             Underbillings to Equity                                        8.2 %      8.2 %                11.5 %      9.2 %
Interest income                                                     37,933       0.1                24,058        0.1        Backlog to Equity                                              4.2        2.9                   3.9        2.9
Interest expense                                                   (83,256)     (0.3)             (36,777)       (0.1)
Other income / (expense), net                                       39,476       0.2                35,700        0.1
                                                                                                                          Efficiency Ratios
           Net earnings / (loss) before income taxes            1,040,008        4.1            1,798,650         6.1
                                                                                                                             Backlog to Working Capital                                     8.2        5.5                   6.7        5.7
Income tax (expense) / benefit                                     (62,124)     (0.2)             (54,317)       (0.2)       Months in Backlog                                              7.7        5.6                   5.8        5.1
                                                                                                                             Days in Accounts Receivable                                   54.4      48.4                   48.2      48.4
           Net earnings                                $          977,884        3.8 % $        1,744,333         5.9 %      Days in Inventory                                              2.4       3.8                    0.3       0.8
                                                                                                                             Days in Accounts Payable                                      34.3      30.5                   27.5      25.0
                                                                                                                             Operating Cycle                                               48.9      42.3                   40.4      41.1
Number of Participants                                                                                                    * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
                                                                    Number                          Number                net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
                                                                       55                              17                 calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this
                                                                                                                          change.




   Note: Not all figures will apear to sum due to rounding.

                                                                                                                                                                                Heavy & Highway Contractors
                                     Heavy & Highway Contractors
                                                       More Than $50 Million Revenue: Best in Class
Balance Sheet
                                                           All Participants                Best in Class                                                                            All Participants                 Best in Class


                                                           Amount             Percent      Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                           Current liabilities:
   Cash and cash equivalents                           $       10,926,177      15.5 % $         2,507,002         8.0 %      Current maturity on long-term debt                 $        1,915,755         2.7 % $          452,589         1.4 %
   Marketable securities & short-term investments               2,711,953        3.8                       0      0.0        Notes payable and lines of credit                             694,741         1.0                52,358        0.2
   Receivables:                                                                                                              Accounts payable:
      Contract receivables currently due                       17,787,621      25.2             9,473,719       30.3             Trade, including currently due
      Retainages on contracts                                   7,167,864      10.1             2,535,468         8.1                to subcontractors                                  15,371,791       21.7             6,768,209       21.7
      Unbilled work                                             1,776,211        2.5            1,078,682         3.5            Subcontracts retainages                                 1,658,542         2.3            1,170,197         3.7
      Other receivables                                         1,110,801        1.6                16,589        0.1            Other                                                     567,429         0.8              151,327         0.5
      Less allowance for doubtful accounts                       (106,353)      (0.2)             (49,309)       (0.2)               Total accounts payable                             17,597,763       24.9             8,089,734       25.9
           Total receivables, net:                             27,736,144      39.2            13,055,149       41.8
                                                                                                                             Accrued expenses                                            4,007,250         5.7            1,279,025         4.1
   Inventories                                                  1,783,823        2.5              507,786         1.6        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                       earnings on uncompleted contracts                       8,251,251       11.7             2,670,020         8.6
       of billings on uncompleted contracts                     4,171,375        5.9            1,311,224         4.2        Income taxes:
   Investments in and advances to                                                                                                Current                                                   153,722         0.2              208,241         0.7
      construction joint ventures                                 855,902        1.2                       0      0.0            Deferred                                                    47,784        0.1                 6,800        0.0
   Income taxes:                                                                                                             Other current liabilities                                     274,177         0.4              233,323         0.7
      Current/refundable                                            39,416       0.1                       0      0.0                Total current liabilities                          32,942,442       46.6            12,992,089       41.6
      Deferred                                                    130,893        0.2              167,000         0.5     Noncurrent liabilities
   Other current assets                                         1,315,418        1.9              910,133         2.9        Long-term debt, excluding current maturities                9,210,187       13.0               636,212         2.0
           Total current assets                                49,671,102      70.2            18,458,293       59.1         Deferred income taxes                                         686,884         1.0              837,100         2.7
                                                                                                                             Other                                                       1,170,318         1.7              340,790         1.1
Property, plant and equipment                                  37,226,560      52.6            27,934,346       89.5                 Total liabilities                                  44,009,832       62.2            14,806,192       47.4
Less accumulated depreciation                                 (21,996,833)     (31.1)         (18,491,927)      (59.2)    Minority interests                                               113,908         0.2                       0      0.0
           Property, plant and equipment, net                  15,229,727      21.5             9,442,419       30.2      Net worth:
                                                                                                                             Common stock, par value                                     1,169,884         1.7              167,388         0.5
Noncurrent assets:                                                                                                           Preferred stock, stated value                                    9,555        0.0                97,456        0.3
   Long-term investments                                          764,408        1.1                       0      0.0        Additional paid-in capital                                  6,784,218         9.6            1,807,993         5.8
   Deferred income taxes                                          163,959        0.2                       0      0.0        Retained earnings                                          17,748,663       25.1            12,865,020       41.2
   Other assets                                                 4,881,410        6.9            3,318,131       10.6         Treasury stock                                               (650,522)       (0.9)                      0      0.0
           Total noncurrent assets                              5,809,776        8.2            3,318,131       10.6         Excess value of marketable securities                           45,264        0.1                       0      0.0
                                                                                                                             Other equity                                                1,479,803         2.1            1,474,794         4.7
                                                                                                                                     Total net worth                                    26,586,864       37.6            16,412,651       52.6

           Total assets                                $       70,710,605     100.0 % $        31,218,843      100.0 %               Total liabilities and net worth            $       70,710,605      100.0 % $        31,218,843      100.0 %



Statement of Earnings                                                                                                     Financial Ratios
                                                           All Participants                Best in Class                                                                            All Participants                 Best in Class


                                                           Amount             Percent      Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $      161,329,952      96.6 % $        80,893,916      100.0 %    Liquidity Ratios
Other revenue                                                   5,743,629        3.4                       0      0.0
           Total Revenue                                      167,073,582     100.0            80,893,916      100.0         Current Ratio                                                      1.5        1.6                   1.4        1.4
                                                                                                                             Quick Ratio                                                        1.3        1.3                   1.2        1.2
Contract cost                                                (148,443,124)     (88.8)         (71,817,983)      (88.8)       Days of Cash                                                      23.5      14.4                   11.2      14.4
Other cost                                                     (4,871,048)      (2.9)                      0      0.0        Working Capital Turnover                                          10.0      10.6                   14.8      13.2
           Total cost                                        (153,314,172)     (91.8)         (71,817,983)      (88.8)
                                                                                                                          Profitability Ratios
           Gross Profit                                        13,759,409        8.2            9,075,934       11.2
                                                                                                                             Return on Assets *                                                 6.2 %      6.3 %                13.6 %    14.3 %
Selling, general & administrative expenses:                                                                                  Return on Equity *                                                16.4 %    18.0 %                 25.8 %    32.9 %
   Payroll                                                     (4,181,379)      (2.5)          (2,050,488)       (2.5)       Times Interest Earned                                             11.4        8.1                  55.4      14.6
   Professional fees                                             (297,024)      (0.2)            (138,971)       (0.2)
   Sales & marketing costs                                       (289,198)      (0.2)            (133,527)       (0.2)    Leverage Ratios
   Technology costs                                              (223,554)      (0.1)             (51,454)       (0.1)
   Administrative bonuses                                        (700,794)      (0.4)            (171,721)       (0.2)       Debt to Equity                                                     1.7        1.5                   0.9        0.8
   Other                                                       (3,641,862)      (2.2)          (2,560,998)       (3.2)       Revenue to Equity                                                  6.3        6.0                   4.9        5.2
           Total SG&A expenses                                 (9,333,811)      (5.6)          (5,107,159)       (6.3)       Asset Turnover                                                     2.4        2.4                   2.6        3.2
                                                                                                                             Fixed Asset Ratio                                                 57.3 %    68.3 %                 57.5 %    56.5 %
           Income from operations                               4,425,599        2.6            3,968,774         4.9        Equity to SG&A Expense                                             2.8        2.8                   3.2        3.4
                                                                                                                             Underbillings to Equity                                           22.4 %    13.7 %                 14.6 %    11.9 %
Interest income                                                   263,830        0.2                32,775        0.0        Backlog to Equity                                                  5.7        4.3                   3.8        2.5
Interest expense                                                 (422,058)      (0.3)             (77,894)       (0.1)
Other income / (expense), net                                     103,468        0.1              314,204         0.4
                                                                                                                          Efficiency Ratios
           Net earnings / (loss) before income taxes            4,370,838        2.6            4,237,860         5.2
                                                                                                                             Backlog to Working Capital                                         9.4        8.0                   9.2      11.2
Income tax (expense) / benefit                                   (391,183)      (0.2)          (1,289,167)       (1.6)       Months in Backlog                                                  9.6        8.2                   7.1        6.6
                                                                                                                             Days in Accounts Receivable                                       40.5      37.1                   42.0      37.6
           Net earnings                                $        3,979,656        2.4 % $        2,948,694         3.6 %      Days in Inventory                                                  4.2       3.7                    2.5       2.1
                                                                                                                             Days in Accounts Payable                                          37.4      23.4                   34.7      34.0
                                                                                                                             Operating Cycle                                                   30.8      36.5                   21.0      29.7
Number of Participants                                                                                                    * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
                                                                    Number                          Number                net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
                                                                       51                               5                 calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this
                                                                                                                          change.




                                                                                                                                                                       Note: Not all figures will apear to sum due to rounding.

   Heavy & Highway Contractors
SPECIALTY TRADE
CONTRACTORS




         C F M A ’s 2 0 0 5
         Construction
         Industry Annual
         Financial Survey
General Profile

A total of 31% of this year’s participants were Specialty Trade contractors. Of those, over two-thirds
(69%) participated in last year’s survey and 97% are CFMA members.

The following NAIC codes are represented in this classification:
      23511           Plumbing, Heating and Air Conditioning Contractors
      23521           Painting and Wall Covering Contractors
      23531           Electrical Contractors
      23541           Masonry and Stone Contractors
      23542           Drywall, Plastering, Acoustical, and Insulation Contractors
      23543           Tile, Marble, Terrazzo, and Mosaic Contractors
      23551           Carpentry Contractors
      23552           Floor Laying and Other Floor Contractors
      23561           Roofing, Siding, and Sheet Metal Contractors
      23571           Concrete Contractors
      23581           Water Well Drilling Contractors
      23591           Structural Steel Erection Contractors
      23592           Glass and Glazing Contractors
      23593           Excavation Contractors
      23594           Wrecking and Demolition Contractors
      23595           Building Equipment and Other Machinery Installation
      23599           All Other Special Trade Contractors
      56162           Security Systems Services (except Locksmiths)
      56291           Environmental Remediation Services
The trend towards incorporation as an S corporation continues within the Specialty Trade sector. This
year 62% of respondents in this classification were S corporations.

Specialty Trade contractors are almost exclusively privately owned companies.

Not surprisingly, and in contrast to the other classifications, Specialty Trade predominantly operate as
subcontractors.

Consistent with prior years, nearly three-quarters of Specialty Trade revenues come from the private
sector.

Specialty Trade participants continue to be well represented in the Midwest region, however, there is still
somewhat low representation in the West and Southwest again this year.

The majority of Specialty Trade contractors have been in business for more than 20 years.

For a complete breakdown of survey answers, please see Appendix A.




      Specialty Trade Contractors
                            L E GAL FO RM O F BU SINE SS
                                     SP E C IAL TY TRADE
80%

60%




                                                                                    62%
                                                                  59%
                                                 59%
                               54%
             47%
40%
       47%




                         40%




                                           35%




                                                            33%
20%




                                                                              27%
0%
        2001              2002              2003             2004             2005

                               C corporation       S corporation



                        O W NE RSHIP O F BU SINE SS

      All C o mp a n ie s                               Sp e cia lt y Tra d e

             4%    1%                                             4%     1%
                                                       2%
      1%




                               94%                                          93%


                   Private       Public     Employee        Other



                         TYP E O F C O NTRAC TO R
                                Other
                                 6%


             Specialty                                   Industrial &
              Trade                                     Nonresidential
               31%                                          43%




                   Heavy &
                   Highw ay
                     20%



                                                                    Specialty Trade Contractors
                                     RO L E O F C O NTRAC TO R

                   All C o mp a n ie s                            Sp e cia lt y Tra d e
                       6%                                                2%     8%




        33%

                                            60%


                                                               89%

                              General Contractor     Subcontractor     Other




                                            SO U RC E O F W O RK
                                            SP E C IAL TY TRADE
           100%
                         25%             25%           27%             28%           28%
            80%

            60%

            40%          75%             75%           73%             72%           72%

            20%

              0%
                         2001            2002          2003            2004          2005

                                                   Private    Public




Specialty Trade Contractors
                   L O C ATIO N O F W O RK BY RE GIO N
                                SP E C IAL TY TRADE
40%
35%
30%




                                            35%
                                      29%
25%
20%    19%
15%




                                                                                   17%
                   17%




                                                                                          17%
             14%
10%



                         17%
5%




                                                           9%



                                                                      9%
                                                      8%




                                                                            7%
0%
      Northeast Southeast            Midw est       Southwest         West        Far West


                           2004              2005          Headquarters




                              L O NGE VITY O F BU SINE SS
                                   SP E C IAL TY TRADE
50%

40%



                                                                                  40%
                                                                                         39%
                                                                      35%


30%
                                                                33%




20%
                                              19%
              7%




                               5%
                         4%
       4%




10%
                                                    14%




0%
       0-5 Years    6-10 Years              11-20 Years     21-50 Years          More Than
                                                                                  50 Years


                              2004           2005          All Companies




                                                                       Specialty Trade Contractors
                                                 MAJO RITY O W NE RSHIP C HANGE S

                          All C o mp a n ie s                                                       Sp e cia lt y Tra d e

                                                             17%
                                                                                                                          21%




                                                                                     79%
           83%



                   Majority Ow nership Changed Within the Last Five Years
                   No Change in Majority Ownership Within the Last Five Years




                                 ME THO DS O F C HANGING MAJO RITY O W NE RSHIP
      40%


      30%
                  31%



                                     31%
                                     30%



                                                                     30%




      20%
                26%




                                                           24%




      10%
                                                                                                       4%
                                                                            12%
                                                                            11%


                                                                                    1%



                                                                                                      1%
                                                                                   0%




                                                                                                                    0%
                                                                                                                    0%


                                                                                                                            0%
                                                                                                                            0%

       0%
                                                                                                       Bankruptcy



                                                                                                                    IPO
                                                          Domestic




                                                                            ESOP
               Employee




                                                                                                                                Other
                                                                                   Foreign
                                   Transfer to




                                                                                             Sale
                                                 Family



                                                                     Sale
                          Sale




                                                                All Companies         Specialty Trade




Specialty Trade Contractors
                     DISADVANTAGE D BU SINE SS E NTE RP RISE S
                                   SP E C IAL TY TRADE
                        (Bre a kd o w n o f Th o s e Th a t Q u a lify)
 80%


 60%
                                                                        65%

 40%


 20%
                                              20%
                       15%
     0%
               Minority Business         Woman-Ow ned             Small Business
                  Enterprise           Business Enterprise          Enterprise




          AVE RAGE AC C O U NTING P E RSO NNE L BY C O MP ANY RE VE NU E
30

                                                                  26         26
                                                                                  24
20

                                                             16
                                                  14
10                                          12
                 8
           5                  4
                                   5
 0
           <10M              10M-25M        25M-50M       50M-100M            >100M

                                  All Companies    Specialty Trade




                                                                     Specialty Trade Contractors
Economy and Competition

The majority of specialty trade contractors (65%) expect revenue to increase, while a significant
percentage expect it to remain the same (23%).
Only 16% of Specialty Trade contractors anticipate entering a new geographical region in the next year.
This is down the 4% of participants who anticipated entering a new region in 2004. The Northeast and
Southeast are the top picks for expansion. Overseas expansion is generally targeted at Western Europe.
Existing contractors pursuing growth and/or aggressive marketing is perceived as the most significant
competitive threat to Specialty Trade contractors participating in the study.
The shortage of trained field help and sources of future work are significant challenges; however,
healthcare insurance costs is also one of the top challenges to Specialty Trade contractors.
Most Specialty Trade contractors (54%) experienced an increased backlog over the last year. Overall
backlog increases were significantly lower than other contractor types.
The three most common strategies espoused to improve profitability were “To Do What We Do Better”
(90%), safety and risk management (64%), and provide training (57%).
Eleven percent of Specialty Trade contractors saw a decrease in the amount of bid work in the last year.



                         ANTIC IP ATE D GRO W TH IN NE XT YE AR'S VO L U ME
                                         SP E C IAL TY TRADE
                            2004                                   2005

                                                                 23%

                34%

                                               45%

                                                           12%
                                                                                          65%


                      21%
                                    Increase   Decrease     No Change




      Specialty Trade Contractors
MARKETS WITH THE HIGHEST ANTICIPATED GROWTH

(Highest growth market = 1, lowest growth market = 5)

                                    Specialty          Specialty                All

                                      Trade             Trade             Companies

                                      2004               2005                2005



Residential                                2              1                     1

Industrial & Nonresidential                1              2                     2

Real Estate Development                    3              3                     3

Heavy & Highway                            4              4                     4

Specialty Trade                            5              5                     5




                       C O MP ANIE S E NTE RING NE W GE O GRAP HIC RE GIO NS
              30%



                                           25%
              20%
                              21%                                  20%
                                                                                16%

              10%



              0%
                                    2004                                 2005

                                       All Companies   Specialty Trade




                                                                          Specialty Trade Contractors
                                    ARE AS O F RE GIO NAL GRO W TH
                                          SP E C IAL TY TRADE
60%



            52%
40%




                         44%




                                        33%




                                                                    30%
20%




                                                    26%




                                                                              11%




                                                                                           11%
  0%
         Northeast Southeast          Midw est   Southw est     West       Far West      Foreign




                              SO U RC E S O F INC RE ASE D C O MP E TITIO N
                                           SP E C IAL TY TRADE
 100%


  75%                                                         84%
                  72%
  50%


  25%
                        12%    7%      8%                             8%            7%
                                              1%                           0%
                                                                                         *N/A
    0%
                               2004                                        2005
  Existing C ontractors Pursuing Growth               New C ontractors in Your Type of C onstruction
  Foreign C ontractors                                New C ontractors in Your Region
  Other

* N/A: Other was not included as an option in 2005.




Specialty Trade Contractors
TOP FIVE CHALLENGES IN THE NEXT FIVE YEARS



Percent Selected Within Top Five

2004                                          2005

Challenge                               %     Challenge                                    %



Healthcare Insurance Costs              67%   Healthcare Insurance Costs                  72%

Shortage of Trained Field Help          63%   Shortage of Trained Field Help              66%

Workers' Compensation Insurance Costs   60%   Workers' Compensation Insurance Costs       50%

Sources of Future Work                  54%   Sources of Future Work                      44%

General Liability Insurance Costs       47%   General Liability Insurance Costs           43%



Percent Selected as Number One Challenge

2004                                          2005

Challenge                               %     Challenge                                    %



Sources of Future Work                  23%   Shortage of Trained Field Help              31%

Shortage of Trained Field Help          24%   Sources of Future Work                      18%

General Liability Insurance Costs       12%   Healthcare Insurance Costs                  10%

Healthcare Insurance Costs              9%    Unions                                      8%

Workers' Compensation Insurance Costs   6%    Shortage of Project Managers                7%

Litigation                              6%




                                                                 Specialty Trade Contractors
                     SIZE O F BAC KL O G C O MP ARE D TO L AST YE AR

                  All C o mp a n ie s                             Sp e cia lt y Tra d e


              22%                                             25%

                                            55%                                            54%




          23%
                                                            21%



                               Increase       Decrease     No Change


                                   BAC KL O G AT YE AR-E ND ($ M)

      $120

      $100                                $113.7
       $80
                                                             $87.9
       $60          $76.2
       $40

       $20                                                                         $27.6

         $0
                All Companies           Industrial &        Heavy &          Specialty Trade
                                   Nonresidential           Highway


                      ME THO DS O F O BTAINING W O RK-IN-P RO GRE SS
                                       AND BAC KL O G
      80%


      60%              66%
                 57%
      40%
                                        40%
                                              32%
      20%

                                                            2%                   1% 2%
       0%                                                         0%

              Competitive Bid           Negotiation      Related Parties           Other

                                    All Companies        Specialty Trade




Specialty Trade Contractors
              STRATE GIE S TO IMP RO VE FU TU RE P RO FITABIL ITY

                                                                                 90%
     Do What We Do Better
                                                                                 91%
                                                                   64%
          Risk Management
                                                                 60%
                                                                 57%
                    Training
                                                                 55%
                                                           46%
                          IT
                                                           48%
                                                    39%
                Design-Build
                                                    39%
                                                     41%
              C ut Overhead
                                                    38%

           Related Services                          39%
                                                  32%
                                      10%
                       M&A
                                     8%
                                     5%
Invest in Unrelated Business
                                    3%
                                    2%
                      Other
                                     5%

                               0%           25%         50%            75%        100%
                          All Companies      Specialty Trade




                           C HANGE IN AMO U NT O F BID W O RK
      100%

       80%                                                       47%
                               56%
       60%
                                                                 11%
       40%                     12%

       20%                                                       42%
                               33%

         0%
                        All Companies                       Specialty Trade

                                Increase     Decrease      No Change




                                                                  Specialty Trade Contractors
Cash Management and Finance

Aside from job cost estimates, 77% of Specialty Trade contractors prepared and/or used a formalized
budget.

The three most common cash management techniques for Specialty Trade contractors were zero-balance
arrangements (74%), online banking (72%), and electronic payments from customers (58%).

Only 5% of Specialty Trade contractors reported that credit availability was worse in 2005 compared to
prior years. Only 7% reported a decrease in the working capital line of available credit.

Consistent with last year, slight more than half of Specialty Trade contractors used free cash flow to
finance equipment purchases, while the rest used some form of interest-bearing debt for financing.

                                               C ASH MANAGE ME NT TE C HNIQ U E S
      100%

       75%
              80%
                          74%

                                 74%
                                       72%

                                              63%




       50%
                                                    58%



                                                                   55%
                                                           38%




                                                                                   36%



       25%
                                                                             31%




                                                                                                            29%



                                                                                                                           28%
                                                                                                   29%




                                                                                                                  27%



                                                                                                                                 24%

                                                                                                                                         23%
                                                                                                                                               22%
                                                                                         Accounts 20%

        0%
                                 Banking




                                                                                                                           Accounts
                                                                                         Checking
                                             Electronic

                                             Payments




                                                                                                                                                   Payments
                                             Customer




                                                                            Purchasing
                                                           Line of Credit




                                                                                                          Reconciliation

                                                                                                                            Savings


                                                                                                                                       Elecronic
                  Zero Balance


                                  Online




                                                                            Corporate




                                                                                                                                        Vendor
                                                                                                            Electronic
                                                                              Cards
                                                              Sweep




                                                                                                              Bank




                                                          All Companies              Specialty Trade


                                       RATIO S BY E Q U IP ME NT FINANC ING ME THO D
                                                    SP E C IAL TY TRADE
             20




                                                             13.7
             10



                                 5.4
                                                                                         1.2
                                             1.9     1.9                                                 2.3      2.2       1.8
              0
                                         Days of Cash                                            Debt to Equity


                                 Cash         Bank Loan             Leasing Co. Loan                     Vendor Financing




     Specialty Trade Contractors
        AVAIL ABIL ITY O F BANK C RE DIT C O MP ARE D TO L AST YE AR

80%


60%
                                                           61%

40%                                                              50%
                  45%
            35%
20%
                                  3%     5%
0%
             Better                  Worse             About the Same

                         All Companies   Specialty Trade




                      W O RKING C AP ITAL L INE O F C RE DIT
                               SP E C IAL TY TRADE
  100%


      80%
                                                      57%
                        66%
      60%


      40%
                                                                 7%
                                7%
      20%                                             36%
                        27%

      0%
                        2004                          2005
                   Increased    Decreased     Remained the Same




                                                       Specialty Trade Contractors
                             FINANC ING FO R E Q U IP ME NT P U RC HASE S
                                         SP E C IAL TY TRADE
                              2004                                    2005
                            4%                                      5%
                    12%                                        8%

               15%
                                                       17%                            52%
                                            48%




                                                             18%
                    21%

                     Current Cash Flow                       Bank Installment Loans
                     Leasing Companies                       Vendor Financing
                     Other




206   Specialty Trade Contractors
Bonding and Sureties

Specialty Trade contractors bond the smallest percentage of their contract revenues compared to the other
industry classifications. Over three-quarters (79%) of participants in this sector bond less than 40% of
contract revenue. The same principle holds true for subcontractor dollars.

Only 8% of Specialty Trade contractors found that the availability of bonding credit had worsened over
the year.


                         P E RC E NTAGE O F C O NTRAC T RE VE NU E BO NDE D
           60%
                             50%




           40%
                       39%




                                                 29%




           20%
                                          23%




                                                           16%

                                                                 15%




                                                                                             14%
                                                                                 4%




                                                                                                   2%
             0%                                                             8%
                       <19%               20-39%          40-59%           60-79%            >80%

                                                All Companies     Specialty Trade




                    P E RC E NTAGE O F SU BC O NTRAC TO R DO L L ARS BO NDE D
                                   (If a Ge n e ra l C o n t ra ct o r)

                        All C o mp a n ie s                              Sp e cia lt y Tra d e
                               6%                                               1% 4%
                       5%                                                 6%
                  8%


              10%




                                                  71%                                              89%

                                   <19%   20-39%        40-59%         60-79%    >80%




                                                                                  Specialty Trade Contractors
                                      Heavy & Highway Contractors
                                                                                                        Midwest Region
Balance Sheet
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                              Amount              Percent      Amount              Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $       11,115,642        15.5 %   $        5,453,948        13.6 %      Current maturity on long-term debt                 $        1,701,397         2.4 % $          921,481         2.3 %
   Marketable securities & short-term investments               1,164,378         1.6                812,298         2.0        Notes payable and lines of credit                             315,254         0.4              761,741         1.9
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                      17,844,898        24.9              8,064,477        20.1            Trade, including currently due
       Retainages on contracts                                  8,591,894        12.0              2,650,961         6.6                to subcontractors                                  17,898,900        24.9            4,655,543        11.6
       Unbilled work                                            1,873,437         2.6                276,505         0.7            Subcontracts retainages                                 1,279,603         1.8            1,427,908         3.6
       Other receivables                                        1,364,203         1.9              1,621,287         4.0            Other                                                     489,871         0.7              329,548         0.8
       Less allowance for doubtful accounts                       (80,320)       (0.1)               (50,805)       (0.1)               Total accounts payable                             19,668,374        27.4            6,412,999        16.0
           Total receivables, net:                             29,594,112        41.2             12,562,426        31.3
                                                                                                                                Accrued expenses                                            3,907,923         5.4            2,196,627         5.5
   Inventories                                                  2,182,061         3.0              1,637,978         4.1        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                       7,525,174        10.5            2,169,101         5.4
       of billings on uncompleted contracts                     4,079,247         5.7              2,226,469         5.6        Income taxes:
   Investments in and advances to                                                                                                   Current                                                     73,396        0.1                67,434        0.2
       construction joint ventures                                827,409         1.2                206,142         0.5            Deferred                                                        0         0.0                 3,871        0.0
   Income taxes:                                                                                                                Other current liabilities                                     340,717         0.5              210,183         0.5
       Current/refundable                                           47,478        0.1                  22,822        0.1                Total current liabilities                          33,532,234        46.7           12,743,437        31.8
       Deferred                                                     75,008        0.1                  77,308        0.2     Noncurrent liabilities
   Other current assets                                         1,284,743         1.8                999,997         2.5        Long-term debt, excluding current maturities                9,993,652        13.9            7,906,015        19.7
           Total current assets                                50,370,077        70.2             23,999,387        59.9        Deferred income taxes                                         339,588         0.5              210,019         0.5
                                                                                                                                Other                                                       1,407,586         2.0              599,879         1.5
Property, plant and equipment                                  40,390,466        56.3             31,380,795        78.3                Total liabilities                                  45,273,060        63.1           21,459,349        53.5
Less accumulated depreciation                                 (24,313,737)      (33.9)           (19,263,998)      (48.1)    Minority interests                                                 18,589        0.0                    0         0.0
           Property, plant and equipment, net                  16,076,728        22.4             12,116,797        30.2     Net worth:
                                                                                                                                Common stock, par value                                       227,255         0.3              380,533         0.9
Noncurrent assets:                                                                                                              Preferred stock, stated value                                       0         0.0                    0         0.0
   Long-term investments                                          500,537         0.7                  27,784        0.1        Additional paid-in capital                                  3,486,263         4.9            2,760,641         6.9
   Deferred income taxes                                                0         0.0                  55,766        0.1        Retained earnings                                          23,549,316        32.8           16,537,241        41.3
   Other assets                                                 4,845,314         6.7              3,882,925         9.7        Treasury stock                                               (980,808)       (1.4)            (992,289)       (2.5)
           Total noncurrent assets                              5,345,851         7.4              3,966,475         9.9        Excess value of marketable securities                            2,764        0.0                 2,112        0.0
                                                                                                                                Other equity                                                  216,217         0.3              (64,927)       (0.2)
                                                                                                                                        Total net worth                                    26,501,007        36.9           18,623,310        46.5

           Total assets                                $       71,792,656       100.0 %   $       40,082,659       100.0 %              Total liabilities and net worth            $       71,792,656       100.0 % $       40,082,659       100.0 %



Statement of Earnings                                                                                                        Financial Ratios
                                                           2005 Participants                  2004 Participants                                                                        2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                                     Average      Median              Average      Median


Contract revenue                                       $      173,092,758        97.5 %   $       92,378,462        97.6 %   Liquidity Ratios
Other revenue                                                   4,453,248         2.5              2,271,338         2.4
           Total Revenue                                      177,546,006       100.0             94,649,801       100.0        Current Ratio                                                      1.5        1.7                   1.9        1.8
                                                                                                                                Quick Ratio                                                        1.2        1.4                   1.5        1.5
Contract cost                                                (160,160,028)      (90.2)           (84,346,007)      (89.1)       Days of Cash                                                      22.5       13.8                  20.7       13.5
Other cost                                                     (3,519,476)       (2.0)            (1,952,911)       (2.1)       Working Capital Turnover                                          10.5       12.0                   8.4       10.9
           Total cost                                        (163,679,504)      (92.2)           (86,298,918)      (91.2)
                                                                                                                             Profitability Ratios
           Gross Profit                                        13,866,502         7.8              8,350,883         8.8
                                                                                                                                Return on Assets *                                                 6.5 %      8.8 %                 5.6 %      6.1 %
Selling, general & administrative expenses:                                                                                     Return on Equity *                                                17.7 %     19.9 %                12.1 %     15.0 %
   Payroll                                                     (4,057,412)       (2.3)            (3,424,847)       (3.6)       Times Interest Earned                                             13.7        7.1                   7.5        8.0
   Professional fees                                             (263,638)       (0.1)              (208,329)       (0.2)
   Sales & marketing costs                                       (349,306)       (0.2)              (174,749)       (0.2)    Leverage Ratios
   Technology costs                                              (187,185)       (0.1)              (133,581)       (0.1)
   Administrative bonuses                                        (540,424)       (0.3)              (364,857)       (0.4)       Debt to Equity                                                     1.7        1.4                   1.2        1.3
   Other                                                       (3,765,509)       (2.1)            (1,682,219)       (1.8)       Revenue to Equity                                                  6.7        6.0                   5.1        6.0
           Total SG&A expenses                                 (9,163,474)       (5.2)            (5,988,582)       (6.3)       Asset Turnover                                                     2.5        3.0                   2.4        2.7
                                                                                                                                Fixed Asset Ratio                                                 60.7 %     74.5 %                65.1 %     65.9 %
           Income from operations                               4,703,028         2.6              2,362,301         2.5        Equity to SG&A Expense                                             2.9        2.6                   3.1        3.3
                                                                                                                                Underbillings to Equity                                           22.5 %      8.7 %                13.4 %      6.2 %
Interest income                                                   171,005         0.1                  75,596        0.1        Backlog to Equity                                                  4.8        2.9                   3.8        2.6
Interest expense                                                 (369,082)       (0.2)              (350,405)       (0.4)
Other income / (expense), net                                     178,452         0.1                173,959         0.2
                                                                                                                             Efficiency Ratios
           Net earnings / (loss) before income taxes            4,683,404         2.6              2,261,452         2.4
                                                                                                                                Backlog to Working Capital                                         8.0        6.4                   6.2        4.6
Income tax (expense) / benefit                                   (310,406)       (0.2)               (87,660)       (0.1)       Months in Backlog                                                  7.9        7.3                   7.2        5.3
                                                                                                                                Days in Accounts Receivable                                       38.8       35.1                  36.6       38.7
           Net earnings                                $        4,372,998         2.5 %   $        2,173,792         2.3 %      Days in Inventory                                                  4.8        3.6                   6.8        3.4
                                                                                                                                Days in Accounts Payable                                          40.4       21.7                  20.8       17.2
                                                                                                                                Operating Cycle                                                   25.7       32.7                  43.4       40.8
Number of Participants
                                                                    Number                                                   * In the CFMA's 2005 Annual Financial Study, Return on Assets (ROA) and Return on Equity (ROE) are calculated using
2005                                                                   30                                                    net earnings (loss) before income taxes. Studies conducted in prior years used net earnings (loss) after taxes to
2004                                                                   31                                                    calculate ROA and ROE. All references to ROAs and ROEs from prior studies have been updated to reflect this change.




                                                                                                                                                                          Note: Not all figures will apear to sum due to rounding.

  Heavy & Highway Contractors
Insurance

Seventy percent of Specialty Trade contractors experienced an increase in healthcare insurance costs;
37% experienced an increase in worker’s compensation; and 43% experienced an increase in general
liability insurance costs.

Regarding the cost of insurance as a percent of payroll, healthcare insurance was 9.0%; workers’
compensation was 5.6%; and general liability insurance was 3.6% of payroll for Specialty Trade
contractors.

Forty-six percent of Specialty Trade contractors filed 10 workers’ compensation claims or fewer. Eighty
percent filed 25 or fewer. The average cost per claim was $5,000 or less for the majority of companies.


Professional Consultants

Specialty Trade contractors are far more likely to have their statements reviewed rather than audited as
compared to other contractor types. Also, Specialty Trade contractors are the only contractor type to have
companies who do not have any assurance services performed on their year-end financial statements
(4%).The following chart shows assurance services performed for those Specialty Trade contractors who
use assurance services.


                                YE AR-E ND FINANC IAL STATE ME NTS
                                            Compiled
                                              1%




                        Review ed
                          43%

                                                                   Audited
                                                                    57%




                                                                          Specialty Trade Contractors
Taxation

The majority of Specialty Trade contractors (88%) use some form of the percentage completion method
to recognize revenues for tax purposes.

Consistent with prior years and the industry as a whole, most (80%) of Specialty Trade contractors did
not have an AMT liability in the prior year.

Forty-eight percent of Specialty Trade contractors filed IRS Form 8697 (Look-Back Interest
Computation) in the most recent tax year. A slight majority of those filed with interest due to the IRS.

Thirty-four percent of the Specialty Trade contractors participating in the study have never had an IRS
examination. Among those who have, 6% experienced a material increase in their tax liability.

A large majority (84%) of Specialty Trade CEOs make $500,000 or less per year.



                                   RE VE NU E RE C O GNITIO N ME THO D

                      All C o mp a n ie s                         Sp e cia lt y Tra d e

                        5% 4%                                      8%
                                                                         4%
                   4%

                                                             6%

             20%

                                                          20%

                                             67%                                          62%



                   PCM - Section 460        PCM - "Simplified"     PCM - Elected
                   Completed Contract       Other Methods




     Specialty Trade Contractors
                          AMT TAX L IABIL ITY L AST YE AR

         All C o mp a n ie s                               Sp e cia lt y Tra d e
                Yes                                           Yes
Don't Know      8%                                            10%
   8%                                         Don't Know
                                                 10%




                                   No                                              No
                               84%                                                 80%




                FIL E D L O O K-BAC K INTE RE ST C O MP U TATIO N

             All C o mp a n ie s                           Sp e cia lt y Tra d e
                7%                                         13%
                                                                                   23%
                                        29%




  36%



                                                    39%                            25%
                                    27%

    Yes, for an Interest Refund                 Yes, with Interest Due to the IRS
    No, I Didn't File                           Not Applicable




                                                                    Specialty Trade Contractors   211
                                    L AST IRS INC O ME TAX E XAM
                                          SP E C IAL TY TRADE


                       Over 6 Years                              Never
                           Ago                                   34%
                          37%




                                                                    Currently
                                                                      4%

                                                                   Within Past
                               4-6 Years Ago
                                                                      Year
                                    13%          1-3 Years Ago
                                                                       2%
                                                      10%




                                RE SU L TS O F L AST IRS INC O ME E XAM
                                           SP E C IAL TY TRADE

                                    Immaterial     Material
                                     Decrease     Increase
                                       2%            6%




                         No Change
                            45%
                                                              Immaterial
                                                               Increase
                                                                 48%




212   Specialty Trade Contractors
                      TO TAL C O MP E NSATIO N - C E O

       All C o mp a n ie s                         Sp e cia lt y Tra d e
            5% 4%                                         5% 4%
                                                  10%
  12%




                               49%
                                                                             53%
                                            27%
30%




      <$100,000               $100,000-$250,000       $250,000-$500,000
      $500,000-$1,000,000     >$1,000,000




                                                           Specialty Trade Contractors   213
Accounting Policies and Methods

Most Specialty Trade contractors use December 31 as their fiscal year end.

As with other industry sectors, Specialty Trade contractors almost exclusively use the percentage-of-
completion method of recognizing revenue for accounting purposes. Specialty Trade contractors are more
likely to use labor dollars spent to estimate the percent complete.

When recognizing profits, Specialty Trade contractors are most likely to begin once costs are charged to
the job.

No participants within this sector reported an average contract length of over two years.


                                    C O RP O RATE FISC AL YE AR-E ND

                        All C o mp a n ie s                               Sp e cia lt y Tra d e


                24%                                               21%




                                                             16%
             11%
                                                  65%                                             63%




                                              Dec 31    Sept 30   Other




      Specialty Trade Contractors
                        C O NTRAC T RE VE NU E RE C O GNITIO N

              All C o mp a n ie s                          Sp e cia lt y Tra d e
                 2% 3%                                              4%
                                                              5%
             7%
                                                        4%




                                    88%                                       87%

            PC M (C ost-to-C ost)               PC M (Physical Percent C omplete)
            PC M (Labor Hours or Dollars)       Other


                           P E RC E NTAGE -O F-C O MP L E TIO N P RO FIT
                                     RE C O GNITIO N P RO C E SS
100%
                           13%                                      14%
                                          5%                                       5%
 80%                        9%                           6%
 60%

 40%                       73%                                      75%

 20%

   0%
                     All Companies                            Specialty Trade
When C osts Are C harged                       When Work Begins
When the Ultimate Profit C an Be Estimated     When a Base Level of C ompletion Is Reached


                              U NP RIC E D C HANGE O RDE R C O ST
                                      SP E C IAL TY TRADE
100%
              12%                14%           12%                     6%                 5%
 80%                                                                               35%
              38%                              43%             51%
 60%                             45%
                                                                                   27%
 40%
              36%                14%           21%             22%
 20%                                                                               32%
                                 27%           24%             20%
              13%
   0%
              2001             2002            2003            2004                2005
Deferred Until the C hange Order Is Priced      Recognized in the C urrent Accounting Period
C osts Are Recognized, Not Revenues             Other/Not Applicable




                                                                   Specialty Trade Contractors   215
                                 ME THO DS FO R AC C O U NTING FO R JO INT VE NTU RE S
                            (2 5 P e rce n t o f P a rt icip a n t s Acco u n t Fo r Jo in t Ve n t u re s )

                                 0%
                       Other
                                  2%

                         Cost             6%
                                     2%

                  Expanded 0%
                             2%
                                          6%
        Equity Consolidation
                                               12%
                                                         17%
           Full Consolidation                            17%

                                                                    28%
        Partial Consolidation
                                                        18%
                                                                                         44%
                      Equity                                                               46%

                                0%                    20%                       40%                          60%

                                                   All Companies        Specialty Trade




TYPES OF CONTRACTS                             Specialty                    Specialty                  All

                                                 Trade                        Trade               Companies

                                                  2004                        2005                   2005



Fixed Price - Hard Bid                            55%                          50%                    39%

Fixed Price - Negotiated                          20%                          23%                    20%

Cost With Guaranteed Maximum                       4%                          5%                     14%

Unit Price                                         4%                          3%                     10%

Time and Materials                                14%                          15%                    8%

Cost Plus Fee                                      3%                          2%                     5%

Construction Management                            0%                          0%                     3%

Other                                              0%                          1%                     1%

TOTAL                                            100%                         100%                   100%




216   Specialty Trade Contractors
   AVE RAGE C O NTRAC T DU RATIO N
         SP E C IAL TY TRADE


   28%




                            72%


<12 months   12-24 months   >24 months




                                     Specialty Trade Contractors   217
Selected Financial Data
                                                                        All Specialty
All Companies                                                                 Trade


Number of Companies                               532                            165
Assets ($)                                     33,053                        18,972
Liabilities ($)                                22,937                        11,427
Net Worth ($)                                  10,071                          7,530
Net Worth to Assets                              30.5 %                         39.7 %
Revenues ($)                                   95,959                        54,337
Gross Profit ($)                                7,444                          7,611
Gross Profit Margin                                7.8 %                        14.0 %
SG&A Expense ($)                                5,844                          6,269
SG&A Expense Margin                                6.1 %                        11.5 %
Net Earnings ($) *                              1,703                          1,336
Net Earnings Margin *                              1.8 %                         2.5 %
Current Ratio                                      1.3                           1.6
Return on Assets                                   5.2 %                         7.0 %
Return on Equity                                 16.9 %                         17.7 %
* Before Taxes


Note: All dollar amounts are in thousands.

The level of participant overlap from year-to-year, usually around 60% to 70%, can impact financial
results materially. Differences seen in the financial statements between years are due in part to market
influences and individual company performance, and in part to the different makeup of the participant
body each year.

Liquidity decreased within the Specialty Trade classification in 2005. Both the current and quick ratios
declined, and days of cash decreased from 9.4 days to 7.2 days.

Profitability increased in 2005. The average net margin before income taxes was flat from 2004 to 2005,
but ROA and ROE were both higher than in 2004.

Leverage essentially remained constant in 2005, although there was a notable decrease in the fixed asset
ratio.

Efficiency increased in 2005. The operating cycle shortened by 0.8 days between 2004 and 2005.

Specialty Trade companies tend to be smaller than the industry average, both in terms of assets and
revenue.

This year’s participants had slightly higher assets and revenues compared to last year.




      Specialty Trade Contractors
                                            Specialty Trade Contractors
                                                                                                                Composite
Balance Sheet

                                                           2005 Participants                  2004 Participants                                                                       2005 Participants                2004 Participants


                                                           Amount              Percent        Amount              Percent                                                             Amount              Percent      Amount               Percent


Current assets:                                                                                                              Current liabilities:
   Cash and cash equivalents                           $        1,088,211         5.7 %   $        1,201,618         7.0 %      Current maturity on long-term debt                $         298,946          1.6 % $           260,336          1.5 %
   Marketable securities & short-term investments                207,217          1.1               341,095          2.0        Notes payable and lines of credit                          1,000,402         5.3               577,931          3.4
   Receivables:                                                                                                                 Accounts payable:
       Contract receivables currently due                       9,631,845        50.8              8,263,335        48.1            Trade, including currently due
       Retainages on contracts                                  1,897,498        10.0              1,563,383         9.1                to subcontractors                                  3,243,596        17.1             2,913,802         17.0
       Unbilled work                                             187,032          1.0               128,065          0.7            Subcontracts retainages                                 259,732          1.4               219,170          1.3
       Other receivables                                         141,500          0.7               317,591          1.8            Other                                                   166,585          0.9               327,121          1.9
       Less allowance for doubtful accounts                      (104,242)       (0.5)              (109,898)       (0.6)               Total accounts payable                             3,669,913        19.3             3,460,094         20.1
           Total receivables, net:                             11,753,632        62.0             10,162,476        59.2
                                                                                                                                Accrued expenses                                           1,920,132        10.1             1,332,597          7.8
   Inventories                                                   348,254          1.8               269,500          1.6        Billings in excess of costs and recognized
   Costs and recognized earnings in excess                                                                                          earnings on uncompleted contracts                      2,501,947        13.2             2,310,444         13.5
       of billings on uncompleted contracts                     1,434,561         7.6              1,143,435         6.7        Income taxes:
   Investments in and advances to                                                                                                   Current                                                    43,294        0.2                15,065          0.1
       construction joint ventures                                  20,934        0.1                  25,425        0.1            Deferred                                                   17,993        0.1                15,189          0.1
   Income taxes:                                                                                                                Other current liabilities                                   366,373          1.9               206,059          1.2
       Current/refundable                                           10,216        0.1                  22,277        0.1                Total current liabilities                          9,819,000        51.8             8,177,715         47.6
       Deferred                                                     38,629        0.2                  27,008        0.2     Noncurrent liabilities
   Other current assets                                          453,047          2.4               460,023          2.7        Long-term debt, excluding current maturities               1,387,425         7.3             2,016,719         11.7
           Total current assets                                15,354,703        80.9             13,652,857        79.5        Deferred income taxes                                          76,990        0.4                67,193          0.4
                                                                                                                                Other                                                       143,594          0.8               364,493          2.1
Property, plant and equipment                                   5,245,272        27.6              5,402,358        31.5                Total liabilities                                 11,427,010        60.2            10,626,120         61.9
Less accumulated depreciation                                  (3,248,038)      (17.1)            (3,404,518)      (19.8)    Minority interests                                                15,266        0.1                 7,273          0.0
           Property, plant and equipment, net                   1,997,235        10.5              1,997,840        11.6     Net worth:
                                                                                                                                Common stock, par value                                     237,508          1.3               482,636          2.8
Noncurrent assets:                                                                                                              Preferred stock, stated value                                  11,663        0.1                45,887          0.3
   Long-term investments                                            68,375        0.4                  82,925        0.5        Additional paid-in capital                                 2,421,325        12.8             1,421,356          8.3
   Deferred income taxes                                            29,033        0.2                  17,260        0.1        Retained earnings                                          5,116,098        27.0             4,744,449         27.6
   Other assets                                                 1,522,569         8.0              1,421,347         8.3        Tr