CRH Annual Report 2000 | Quarterlytics

FY2000 Annual Report · CRH
Loading PDF…
Annual Report 2000

P E R F O R M A N C E   A N D   G R O W T H

This is the first wheelchair accessible
floating dock in San Diego Bay designed
to attenuate 3 feet high waves with a
wave period of 3.1 seconds. Utility Vault
Company, Fontana, California, (a division
of Oldcastle Precast, Inc.) built and
supplied 350 square metres of Trus-
Channel concrete floating docks, 28
wave attenuation panels and 23
concrete piles.

CRH’s strategic vision is clear and consistent

“

to be a leading international building

materials group delivering superior

performance and growth”

CRH plc, headquartered in Ireland and with operations in 19
countries, has a presence across the construction industry
supply chain through three closely related core businesses:
primary materials, value-added building products and
distribution. CRH has 42,500 employees at more than 1,300
locations worldwide. The Group is organised on a product
basis with four Divisions in Europe and the Americas.

CRH’s strategy is based on building leadership positions 
in its businesses in regional markets. This is achieved
through continuously improving existing operations,
investing in capacity enhancements, developing new
products and markets and through acquiring and growing
mid-sized companies. This long-term development strategy
is augmented from time to time by larger deals that extend
the Group’s geographic reach or product range and offer
new strategic platforms for future growth. 

CRH is listed on the Irish and London Stock Exchanges 
and its ADRs are listed on NASDAQ in the US. The Group
has averaged 21.5% per annum growth in total shareholder
return since CRH was formed in 1970.

Page

Contents

inside cover

CRH characteristics 

Geographic and product spread

2000 highlights

Financial trends 1996 to 2000

Investing for the future

Chairman’s statement

Chief Executive’s review

1

2

4

7

10 Operations reviews

26

29

30

31

32

35

36

38

44

45

46

52

54

75

79

Finance review

Results in brief by currency

Environmental review

Human resources

Board of Directors

Corporate governance

Directors’ report

Report on Directors’ remuneration

Statement of Directors’ responsibilities

Auditors’ report

Financial statements

Accounting policies

Notes on financial statements

Principal subsidiary undertakings

Principal joint venture undertakings

80 Management

82

84

85

86

Additional information for US investors

Shareholder information

Notice of Meeting

Index

88 Group financial summary

CRH®

is a registered Trade Mark of CRH plc

h
g
u
o
r
h
t

e
c
i
t
c
a
r
p

t
s
e
b

f

o

i

n
o
i
t
a
c
n
u
m
m
o
c

e
h
T

t
n
e
m
e
r
u
s
a
e
M

e
h
t

,
y
r
t
s
u
d
n

i

s
t
i

f

o

l

e
g
d
e
w
o
n
k

p
e
e
d

h
t
i

W

s
r
e
d

l
i

u
b

s
s
e
n
s
u
B

i

h
t
i

i

w
s
s
a
b

d
e
s

i
l

a
r
t
n
e
c
e
d

a

n
o

s
e
t
a
r
e
p
o
H
R
C

s
e
r
u
t
c
u
r
t
s

t
a
F

l

e
h
t

i

l

g
n
y
p
p
u
s

y
r
a
a
s

l

f

o

n
o
i
t
r
o
p
o
r
p

h
g
h

i

a

f

o

l

a
i
t
n
e
t
o
p

e
h
t

h
t
i

W

n
o
i
t
a
r
e
n
u
m
e
R

e
r
o
m
s
e
m
o
c
e
b

t
n
e
m
n
o
r
i
v
n
e

s
s
e
n
s
u
b

i

e
h
t

s
A

e
r
u
t
l
u
c

i

g
n
n
r
a
e

l

A

.
n
o
i
t
a
n
d
r
o
-
o
c

i

l
l

a
r
e
v
o

d
n
a

t
r
o
p
p
u
s

i

s
e
d
v
o
r
p

e
r
t
n
e
c

e
t
a
r
o
p
r
o
c

.
h
t
g
n
e
r
t
s

g
n
i
t
a
r
e
p
o

d
n
a

i

s
e
g
r
e
n
y
s

l

e
b
a
u
a
v

l

g
n
i
t
a
e
r
c

l

a
r
t
n
e
c

e
r
a

s
e
c

i

i
l

o
p

n
o
i
t
a
r
e
n
u
m
e
r

n
e
v
i
r
d
-
t
e
k
r
a
m
s
’
H
R
C

,
s
n
o
i
t
p
o

n
o

s
e

i
l

e
r

e
c
n
a
m
r
o
f
r
e
p

s
’
H
R
C

f

o

t
n
e
m
e
v
o
r
p
m

i

s
u
o
u
n
i
t
n
o
C

.
s
w
o
r
g

f

o

s
r
e
b
m
e
m
s
a

s
e
u
a
v

l

f

o

t
e
s

d
n
a

e
s
o
p
r
u
p

n
o
m
m
o
c

a

g
n
i
r
a
h
s

l

s
a
e
d

d
e
t
a
i
t
o
g
e
n

h
g
u
o
r
h
t

i

,
s
e
n
a
p
m
o
c

d
o
o
g

r
o

f

s
e
c
i
r
p

r
i
a

f

i

g
n
y
a
p

e
r
a
h
s

d
e
s
a
b

l

y
d
a
o
r
b

d
n
a

e
c
n
a
m
r
o
f
r
e
p

h
g
u
o
r
h
t

l

e
b
a
i
r
a
v

g
n
e
b

i

s
a
e
d

i

f

o

e
g
n
a
h
c
x
e

e
h
t

d
n
a

i

g
n
n
r
a
e

l

g
n
i
r
a
h
s

r
o

f

d
e
e
n

e
h
t

l

,
x
e
p
m
o
c

,
s
e
i
t
i
l
i

i

b
s
n
o
p
s
e
r

d
n
a

i

p
h
s
n
e
z
i
t
i
c

l

a
u
d

h
t
i

w

p
u
o
r
g

l

a
r
e
d
e
f

A

y
b

s
t
e
k
r
a
m

l

a
c
o

l

n

i

t
l
i

u
b

y
l
t
n
e
i
t
a
p

e
r
a

s
n
o
i
t
i
s
o
p

i

p
h
s
r
e
d
a
e
L

.
h
t
w
o
r
g

i

s
g
n
n
r
a
e

d
n
a

t
n
e
m
e
v
o
r
p
m

i

i

n
g
r
a
m

f

o

r
e
v
i
r
d

t
n
a
t
r
o
p
m

i

.
s
e
r
i
u
q
c
a

t
i

s
e
s
s
e
n
s
u
b

i

e
h
t

w
o
r
g

o
t

n
a
e

l

A

.
y
m
o
n
o
t
u
a

l

a
c
o

l

d
n
a

y
t
i
l
i

i

b
s
n
o
p
s
e
r

l

i

a
u
d
v
d
n

i

i

f

o

e
e
r
g
e
d

,
n
o
i
t
u
b
i
r
t
s
d

i

d
n
a

s
t
c
u
d
o
r
p

g
n
d

i

l
i

u
b

d
e
d
d
a
-
e
u
a
v

l

l

,
s
a
i
r
e
t
a
m
y
r
a
m

i
r
p

.
s
r
e
g
a
n
a
m

l

a
n
o
i
t
p
e
c
x
e

g
n
i
t
a
v
i
t
o
m
d
n
a

i

g
n
n
a
t
e
r

i

,

g
n
i
t
c
a
r
t
t
a

o
t

.

p
u
o
r
G
e
h
t

t
u
o
h
g
u
o
r
h
t

e
c
n
e
i
r
e
p
x
e

e
r
a
h
s

o
t

y
t
i
l
i

b
a

r
u
o

i

.
s
e
n
a
p
m
o
c

l

a
c
o

l

n
w
o

r
i
e
h
t

f

o

d
n
a
H
R
C

d
n
a

g
n
i
t
a
r
g
e
t
n

i

l

y
e
v
i
t
c
e

f
f

e

n
e
h
t

d
n
a

,
s
d
e
e
n

’
s
r
e
n
w
o

t
e
e
m

t
a
h
t

H
R
C

,
t
s

i
l

i

a
c
e
p
s

y
r
t
s
u
d
n

i

n
a

s
A

s
t
e
s
s
a

t
e
n

n
o

n
r
u
t
e
r
d
e
t
e
g
r
a
T

e
h
t

s
p
e
e
k

t
n
e
m
e
g
a
n
a
m

f

o

h
t
p
e
d

d
n
a

i

x
m
y
h
t
l
a
e
h
A

l

e
p
o
e
P

i

s
s
a
b

t
c
u
d
o
r
p

a

n
o

l

y
d
a
o
r
b

i

d
e
s
n
a
g
r
o

s

i

H
R
C

i

s
s
a
b
t
c
u
d
o
r
P

.
s
e
s
s
e
n
s
u
b

i

e
s
e
h
t

i

g
n
p
o
e
v
e
d

l

e
s
e
h
T

.
s
s
e
n
s
u
b

i

e
r
o
c

h
c
a
e

r
o

f

a
i
r
e
t
i
r
c

e
c
n
a
m
r
o
f
r
e
p

s
d
n
a
t
s
r
e
d
n
u

h
t
i

w
n
o

i

j

o
h
w
s
r
u
e
n
e
r
p
e
r
t
n
e
-
r
e
n
w
o

;
l
a
t
i
v

d
n
a

g
n
u
o
y

n
o
i
t
a
s
n
a
g
r
o

i

n

i

i

i

i

s
n
o
s
v
D
n
o
i
t
u
b
i
r
t
s
D
&

i

s
t
c
u
d
o
r
P
d
n
a

i

i

i

s
n
o
s
v
D
s
a
i
r
e
t
a
M
h
t
i

l

w

s
s
o
r
c
a

d
n
a

s
e
i
r
t
n
u
o
c

9
1

n

i

e
c
n
e
s
e
r
p

s
’
H
R
C

l

s
m
r
o
f
t
a
p
h
t
w
o
r
G

d
n
a

l

i

a
c
n
a
n

i
f

i

g
n
y
r
a
v

h
t
i

w
s
e
i
t
i
s
n
e
t
n

i

l

a
t
i
p
a
c

e
t
a
r
a
p
e
s

e
v
a
h

l

y
h
g
h

i

d
n
a

s
r
e
g
a
n
a
m
d
e
p
o
e
v
e
d

l

y

l
l

a
n
r
e
t
n

i

i

,
s
e
n
a
p
m
o
c

r
i
e
h
t

s
s
e
n
s
u
b

i

o
t

s
u
c
o

f

s
g
n
i
r
b

i

h
c
h
w

,
s
a
c
i
r
e
m
A
e
h
t

d
n
a

e
p
o
r
u
E

l

a
n
o
g
e
r

i

d
n
a

t
c
u
d
o
r
p

d
a
o
r
b

s
t
i

h
g
u
o
r
h
t

i

,
n
a
h
c

l

y
p
p
u
s

y
r
t
s
u
d
n

i

e
h
t

r
e
v

i
l

e
d

o
t

i

s
n
g
r
a
m

t
n
e
r
e

f
f
i

d

e
r
i
u
q
e
r

i

h
c
h
w

,
s
c
i
t
s
i
r
e
t
c
a
r
a
h
c

s
s
e
n
s
u
b

i

.
s
t
e
s
s
a

t
e
n

n
o

n
r
u
t
e
r

d
e
t
e
g
r
a
t

d
n
a

t
e
k
r
a
m
h
c
a
e

n

i

,
s
k
e
e
s
H
R
C

s
r
u
o
b
h
g
e
n

i

l

i

e
b
s
n
o
p
s
e
R

s
s
e
n
s
u
b

i

l

a
c
o

l

a

s
a

s
e
t
a
r
e
p
o

l

s
a
i
r
e
t
a
m
g
n
d

i

l
i

u
B

s
u
c
o
f

l

i

a
n
o
g
e
R

.
h
t
w
o
r
g

e
r
u
t
u

f

r
o

f

s
n
o
z
i
r
o
h
w
e
n

l

i

.
s
a
n
o
s
s
e
o
r
p

f

t
n
e
m
p
o
e
v
e
d

l

d
n
a

e
c
n
a
n

i
f

d
e

i
f
i
l

a
u
q

.
e
c
i
t
c
a
r
p

t
s
e
b

f

o

g
n
i
r
a
h
s

d
n
a

t
n
e
m
p
o
e
v
e
d

l

e
t
a
e
r
c

l

s
p
e
h

d
n
a

s
e
i
t
i
n
u
t
r
o
p
p
o

o
t

e
r
u
s
o
p
x
e

r
e
t
a
e
r
g

s
e
v
g

i

,
e
p
o
c
s

d
n
a
m
r
o
f
r
e
p

o
t

-

s
e
v
i
t
a
r
e
p
m

i

i

n
w

t

s
a
h
H
R
C

w
o
r
g

o
t

t
h
g
i
r

e
h
T

t
c
u
d
n
o
c

d
n
a

l

p
o
e
v
e
d

o
t

,
s
e
t
a
r
e
p
o

t
i

i

h
c
h
w
n

i

y
r
t
n
u
o
c

s
n
o
i
t
i
s
o
p

t
e
k
r
a
m
g
n
o
r
t
s
m
o
r
f

i

g
n
m
o
c

e
g
a
t
n
a
v
d
a

e
v
i
t
i
t
e
p
m
o
c

h
t
i

w

m
o
r
f

e
m
o
c

s
a
h

h
t
w
o
r
g

n
o
i
t
i
s
u
q
c
a

i

s
’
H
R
C

f

o

t
s
o
M

l

s
a
e
d

j

r
o
a
M

d
e
y
o
p
m
e

l

l

a
t
i
p
a
c

n
o

n
r
u
t
e
r

d
e
t
e
g
r
a
t

a

i

g
n
n
r
a
e

y
b

e
c
n
a
m
r
o
f
r
e
p

t
n
e
m
h
c
i
r
n
e

e
h
t

o
t

e
t
u
b
i
r
t
n
o
c

o
t

d
n
a

,
s
r
u
o
b
h
g
e
n

i

i

l

e
b
s
n
o
p
s
e
r

.
s
d
e
e
n

l

a
r
u
t
l
u
c

d
n
a

t
e
k
r
a
m

,
y
r
t
n
u
o
c

t
i
u
s

o
t

n
o
i
t
a
s
n
a
g
r
o

i

t
a
h
t

s
n
o
i
t
i
s
u
q
c
a

i

r
e
g
r
a

l

h
t
i

w

t
n
e
m
p
o
e
v
e
d

l

l

a
n
o
i
t
i
d
a
r
t

s
t
i

s
t
n
e
m
g
u
a

r
e
v

i
l

e
d

t
s
u
m
s
e
s
s
e
n
s
u
b

i

,

p
u
o
r
G
e
h
t

t
u
o
h
g
u
o
r
h
T

.

w
o
r
g

o
t

y

l
l

a
t
n
e
m
n
o
r
i
v
n
e

d
n
a

y

l
l

i

a
c
o
s

s
a

y
t
i
r
g
e
t
n

i

h
t
i

w
s
e
s
s
e
n
s
u
b

i

t
c
u
d
o
r
p

e
h
t

s
r
o

l
i

a
t

s
u
c
o

f

l

a
n
o
g
e
r

i

s
’
H
R
C

.
e
g
d
e
w
o
n
k

l

d
n
a

H
R
C
e
m

i
t

o
t

e
m

i
t

m
o
r
f

t
u
b

l

s
a
e
d

i

i

d
e
z
s
-
d
m
g
n
d
d
a
-
e
u
a
v

i

l

.
s
s
e
n
s
u
b

i

e
h
t

w
o
r
g

o
t

e
t
a
d
n
a
m
a

y
f
i
t
s
u

j

o
t

.
s
e
i
t
i
n
u
m
m
o
c

l

a
c
o

l

f

o

l

a
c
o

l

s
e
g
a
r
u
o
c
n
e
H
R
C

t
n
e
m
p
o
e
v
e
d

l

l

d
e
v
o
v
e
D

.
y
t
i
n
u
t
r
o
p
p
o

r
o

t
i
f

i

c
g
e
t
a
r
t
s

l

a
n
o
i
t
p
e
c
x
e

r
e

f
f

o

n
a

s

i

d
n
a

i

r
u
o
v
a
h
e
b

s
e
c
n
e
u

l
f

n

i

s
e
r
u
s
a
e
m
e
c
n
a
m
r
o
f
r
e
p

e
v
i
t
a
v
o
n
n

i

s
e
c
r
u
o
s
e
r

l

i

a
c
n
a
n

i
f

d
n
a

s
t
c
u
d
o
r
p

,
t
n
e
m
e
g
a
n
a
m
e
h
t

s
g
n
i
r
b

p
u
o
r
G

h
g
h

i

a

i

;
n
o
s
v
d

i

i

h
c
a
e

n

i

s
m
a
e
t

t
n
e
m
e
g
a
n
a
m
d
e
c
n
e
i
r
e
p
x
e

g
n
o
r
t
s

n

i

s
e
s
s
e
n
s
u
b

i

e
r
o
c

h
g
u
o
r
h
t

y
r
t
s
u
d
n

i

n
o
i
t
c
u
r
t
s
n
o
c

d
n
a

g
n
d

i

l
i

u
b

H
R
C

.
e
u
a
v

l

l

r
e
d
o
h
e
r
a
h
s

i

g
n
c
n
a
h
n
e

n
o

.
s
n
r
u
t
e
r

m
r
e
t
-
g
n
o

l

r
o
i
r
e
p
u
s

t
r
o

f
f

e

s
e
s
u
c
o

f

d
n
a

p
u
o
r
G

d
r
a
o
B
d
n
a

s
t
i

m

i
l

e
r
u
t
i
d
n
e
p
x
e

l

a
t
i
p
a
c

d
e
r
e
i
t

,
s
s
e
c
o
r
p

g
n
i
t
e
g
d
u
b

f

o
w
o

l
f

s
u
o
u
n
i
t
n
o
c

a

e
t
a
r
e
n
e
g

o
t

i

e
d
w
d
l
r
o
w
s
m
a
e
t

t
n
e
m
p
o
e
v
e
d

l

h
t
o
o
m
s

l

s
p
e
h

s
r
o
t
c
e
s

n
o
i
t
c
u
r
t
s
n
o
c

d
n
a

g
n
d

i

l
i

u
b

l
l

a

d
n
a

s
t
c
u
d
o
r
p

d
e
r
e
v

i
l

e
d

y
l
t
n
e
t
s
s
n
o
c

i

s
a
h

.
s
t
c
e
o
r
p

j

t
n
e
m
p
o
e
v
e
d

l

d
n
a

s
n
o
i
t
i
s
u
q
c
a

i

f

o

l

a
v
o
r
p
p
a

.
s
t
c
e
o
r
p

j

l

a
t
i
p
a
c

d
n
a

s
n
o
i
t
i
s
u
q
c
a

i

l

.
s
e
c
y
c

i

c
m
o
n
o
c
e

d
n
a

y
r
t
s
u
d
n

i

f

o

s
t
c
e

f
f

e

e
h
t

D
A
E
R
P
S

T
C
U
D
O
R
P

D
N
A

C

I

H
P
A
R
G
O
E
G

e
h
t

r
o

f

e
v
i
t
c
e
b
o

j

l
l

a
r
e
v
o

y
e
k

e
h
t

s

i

n
r
u
t
e
r

l

r
e
d
o
h
e
r
a
h
s

l

a
t
o
T

s
u
o
r
o
g
i
r

a

,

g
n
i
t
r
o
p
e
r

l

y
h
t
n
o
m
h
g
u
o
r
h
t

i

d
e
s
c
r
e
x
e

s

i

l

o
r
t
n
o
C

4
1

h
t
i

w
k
r
o
w
s
r
o
t
c
e
r
i
d

i

g
n
g
a
n
a
m
d
e
n
o
s
a
e
S

.

i

p
h
s
r
u
e
n
e
r
p
e
r
t
n
e

,
s
n
o
g
e
r

i

s
s
o
r
c
a

o

i
l

o
f
t
r
o
p

s
s
e
n
s
u
b

i

d
e
c
n
a
a
b
A

l

e
c
n
a
a
b

l

e
u
q
n
U

i

e
c
n
a
m
r
o
f
r
e
P

t
n
e
m
e
g
a
n
a
M

n
o
i
t
a
s
n
a
g
r
: O
y
t
i
l

i

a
e
r

e
m
o
c
e
b

i

n
o
s
v

i

s
’
H
R
C
e
k
a
m
s
c
i
t
s
i
r
e
t
c
a
r
a
h
c

e
s
e
h
T

n
o

l

y
e
o
s

l

s
e
t
a
r
t
n
e
c
n
o
c
H
R
C

s
e
s
s
e
n
s
u
b

i

e
r
o
C

y
g
e
t
a
r
t
S

s
e
m
u
o
v

l

n
o
i
t
c
u
d
o
r
p

d
e
s

i
l

a
u
n
n
A

d
n
a
l
r
e
z
t
i

w
S

i

e
n
a
r
k
U

i

a
s
s
u
R

i

a
v
t
a
L

d
n
a
n
F

l

i

i

a
n
o
t
s
E

d
n
a
o
P

l

s
d
n
a
l
r
e
h
t
e
N

y
n
a
m
r
e
G

i

m
u
g
e
B

l

s
e
n
n
o
t

d
n
a
s
u
o
h
t

0
9

s
e
r
t
e
m
c
b
u
c

i

s
e
n
n
o
t

s
e
n
n
o
t

s
e
n
n
o
t

s
e
r
t
e
m

l

a
e
n

i
l

s
e
r
t
e
m
e
r
a
u
q
s

n
o

i
l
l
i

m

n
o

i
l
l
i

m

n
o

i
l
l
i

m

n
o

i
l
l
i

m

n
o

i
l
l
i

m

n
o

i
l
l
i

m

8
.
4

8
.
3
1

1
.
4

9
.
1

3
.
1

5
.
4
1

s
e
h
c
n
a
r
b

7
3
2

s
e
r
o
t
s

4
5

2

1
4

s
e
r
t
e
m
c
b
u
c

i

s
e
n
n
o
t

s
e
n
n
o
t

s
e
n
n
o
t

s
e
n
n
o
t

n
o

i
l
l
i

m

n
o

i
l
l
i

m

n
o

i
l
l
i

m

n
o

i
l
l
i

m

n
o

i
l
l
i

m

4
.
8

2
.
3
5
1

8
.
5
3

6
.
1
1

7
.
0

2

4 1 1
1

2 1

1 1

1

3

1

2

0 6
9

4
4

1

5

1

2

6
1

0
1 2

5

249

1

0
1

05

152

4 4

2
5

0
5

38

5 4

6 5

1 1 1

5

1
6

2
1

12

1

2
471
1

78
1

6
2

3 7 1

02
7

1
2

2
5

1
12

42

13

2

1

2

1

i

n
a
p
S

l

a
g
u
t
r
o
P

e
c
n
a
r
F

K
U

d
n
a
e
r
I

l

a
n
i
t
n
e
g
r
A

e

l
i

h
C

a
d
a
n
a
C

S
U

s
n
o
i
t
a
r
e
p
o

f
o

r
e
b
m
u
N

1 6

3
2
2

5
2
2

7
8

2
6

2
8

6

s
e

l
i
t
f
o
o
r

d
n
a

s
r
e
v
a
p

,
s
k
c
o
b

l

e
t
e
r
c
n
o
C

s
e

l
i
t

d
n
a

s
r
e
v
a
p

,
s
k
c
i
r
b

y
a
C

l

s
t
c
u
d
o
r
p

e
t
e
r
c
n
o
c

t
s
a
c
e
r
P

s
t
c
u
d
o
r
P

i

a
s
e
n
g
a
m

r
e
t
a
w
a
e
S

e
m

i
l

l

i

a
c
m
e
h
c

d
n
a

l

a
r
u
t
l
u
c
i
r
g
A

i

g
n
c
a
f
r
u
s

d
n
a

t
l
a
h
p
s
A

e
t
e
r
c
n
o
c

i

d
e
x
m
y
d
a
e
R

s
t
c
u
d
o
r
p

n
o
i
t
a
u
s
n

l

I

s
e
t
a
g
e
r
g
g
A

l

s
a
i
r
e
t
a
M

t
n
e
m
e
C

1

4

3
3

s
t
h
g

i
l
f
o
o
r

d
n
a

n
o
i
t
a
c
i
r
b
a
f

s
s
a
G

l

i

g
n
c
n
e
f

d
n
a

s
e
t
a
g

y
t
i
r
u
c
e
S

n
o
i
t
u
b
i
r
t
s
D

i

s
e
r
o
t
s
Y
D

I

1

9

5
2

1
0
1

s
t
n
a
h
c
r
e
m
s
r
e
d

l
i

u
B

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 1

2 0 0 0   H I G H L I G H T S

Sales

Trading profit

Pre-tax profit

§ million

8,869.8

+ 31.7%

887.6

+33.8%*

696.7

+22.1%*

§887.6m

Basic earnings per share

124.92c

+17.3%*

Cash earnings per share

223.94c

+26.5%*

Dividend per share

22.80c

+ 14.0%

Financial trends 1996 to 2000

Trading profit*

2000

1999

1998

1997

1996

§ million

200

400

600

800

Cash earnings per share*

223.94c

2000

1999

1998

1997

1996

§ cent

50

100

150

200

Basic earnings per share*

Dividend cover (times)

5.34

Interest cover: EBITDA basis (times)

6.7

Interest cover: EBIT basis (times)

4.6

* excluding exceptional items in 1999

124.92c

18%

Sales

Materials: Europe

31%

Products & Distribution: The Americas

20%

Products & Distribution: Europe

2000

1999

1998

1997

1996

§ cent

30

60

90

120

31%

Materials: The Americas

22.80c

Dividend per share

2000

1999

1998

1997

1996

§ cent

5

10

15

20

* excluding exceptional items in 1999

27%

13%

Trading profit

Materials: Europe

31%

Products & Distribution: The Americas

Products & Distribution: Europe 

29%

Materials: The Americas

CRH

1

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 2

I N V E S T I N G F O R T H E F U T U R E

CRH focuses investment in four key areas: people,

market leadership, the environment and technology.

Investment in people consists of training and

development to provide all employees with a path to

progress; a market-based remuneration policy to

attract, retain and motivate the right people; and best

practice programmes to ensure an efficient, safe and

healthy work place. 

Attaining market leadership positions is not just about

investing in acquisitions or development projects but

in being the leading producer with the lowest costs.

This is achieved by enhancing existing businesses 

to support strong organic growth while driving

continuous improvement in products and processes.

Environmental investment projects include dust and

noise reduction, effluent and waste minimisation,

energy efficiency, use of recycled materials, restoration

of worked-out facilities and tree and shrub planting 

to enhance the local surroundings. Environmental

investment programmes help us to be better

employers and neighbours within our communities. 

Investment in technology enables us to run more

efficient plants; to create more effective processes; 

to develop product innovations; to offer better and

more focused service to customers; and to measure

and communicate international best practice around

the Group.

In 2000, CRH invested in a wide range of projects

which will contribute to overall profitability in future
years and strongly underpin the future development 

of the Group.

2

CRH

1

2

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 3

3

1. Roadstone Provinces’ new rooftile plant under construction
at Currabeg, County Cork, Ireland. This §6 million plant,
which adds up to 15 million tiles from a state-of-the-art 
facility, was constructed in 10 months on a site adjacent to
John A. Wood’s pipe plant. The new plant, which produces
tiles with enhanced appearance and quality, enables
Roadstone Provinces to maintain its market leadership
position from its strategic location and to take advantage of
the buoyant housing market in the region.

2. Oldcastle APG’s large pallet paver plant near Knoxville,
Tennessee being readied to join five other state-of-the-art
manufacturing facilities added within the last 18 months in
Texas, Pennsylvania, Arizona, Massachusetts and California.
This plant commissioned in November 2000 at a total cost of
§8.7 million is an integral component in APG’s strategy in
patio and hardscape and concrete masonry products adding
1.4 million square metres of additional annual capacity and
servicing the populous Tennessee, North and South Carolina
and Kentucky markets.

3. Marlux nv and Remacle sa jointly building a new production
plant for precast decorative concrete paving in Wallonia,
Belgium. With this §7 million greenfield investment, Marlux
and Remacle can play an important role in the decorative
paving market in Belgium and northern France. The
investment combines state-of-the-art machinery, high
efficiency and the best available environmental technology.
Start-up is planned for March 2001, achieving maximum
annual capacity of approximately one million square metres 
of paving stones by 2003.

4. The US Materials Division, with a §7.4 million capital
expenditure investment, developed a liquid asphalt terminal in
the Mountain region at Ogden, Utah. The terminal, which is
linked to the rail system, has a storage capacity of 65,000
tonnes and produces polymerised and emulsified premium
grade asphalt products. The establishment of this terminal
assures liquid supply to the Inter-Mountain operations and
creates strategic opportunities for the Materials Division in 
the region.

4

CRH

3

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 4

C H A I R M A N ’ S S TAT E M E N T

Strong growth in challenging market conditions

Despite challenging market conditions, in particular steep increases
in the costs of energy and bitumen, CRH produced another
excellent performance in the year 2000.

Group performance benefited from investment in existing businesses
and from a very active acquisition programme. Overall, the strength
of the Group’s results for 2000 is a reflection of the broad
geographic spread of the business and the quality and commitment
of the management teams and employees in the 19 countries in
which CRH now operates.

Pat Molloy

Full details of the challenges faced during 2000 and of the outcome
for the year are contained in the Chief Executive’s review and in the
operations and finance reviews, which follow.

Profitability and earnings

Pre-tax profits increased by 22% to §697 million, earnings per share
grew by 17% to 124.92 cent, while cash earnings per share increased
by 27% to 223.94 cent, excluding exceptional items in 1999.

A final dividend of 16.10 cent per share is being recommended by
the Board. This will result in an increase of 14% in the total dividend
for the year. This is the 17th consecutive year of dividend increases.

Development activity

2000 was a very active year in acquiring new businesses. In all, over
60 acquisitions were completed at a cost of §1.6 billion, the most
significant of these being:

• The Shelly Company: an Ohio-based aggregates, asphalt and
paving contractor which was acquired in February 2000 at an
effective cost of §348 million;

• The European rooflights business of Yule Catto & Co plc which
was acquired in May 2000 for §77 million;

• The Dolomite Group: an integrated aggregates, asphalt and
readymixed concrete producer based in Rochester, New York. This
was acquired in June 2000, as was Northern Ohio Paving Company,
an aggregates, asphalt and paving contractor, for a combined cash
consideration of §179 million;

• The Jura Group: a major Swiss cement, aggregates and
readymixed concrete producer with a substantial regional building
materials distribution network. The Jura Group was acquired in
November 2000 for a cash consideration of §425 million, §268
million net of expected disposals.

The Shelly and Northern Ohio acquisitions consolidate the Oldcastle
Materials Group’s position as a major player in the Midwest materials
market, while Dolomite extends the Materials Group’s operations into

4

CRH

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 5

“The strength of the Group’s results for 2000 is a reflection of the broad geographic spread of the

business and the quality and commitment of the management teams and employees in the 19 

countries in which CRH now operates.” 

position in North America and his appointment ensures that the
momentum of the Group is maintained.

Don Godson continues as a non-executive member of the Board.
The Group will therefore continue to benefit from his experience and
intimate knowledge of the global building products industry.

Jack Hayes has indicated that he wishes to retire from the Board at
the completion of the Annual General Meeting on 9th May, 2001.
Jack served with distinction as Managing Director of Finance and
Development for the Group for many years and also as a non-
executive Director since 1994. We thank him sincerely for his
outstanding inputs and wish him well for the future. 

Management and staff

CRH’s track record in out-performing its competitors and delivering
above-average growth is attributable to the strength of the Group’s
management and the quality and commitment of its 42,500
employees. I am very pleased to acknowledge their contributions to
the success of CRH and to the continuation of the culture of
achievement which distinguishes CRH from its competitors.

Corporate governance

The CRH Board and management are committed to achieving very
high standards of corporate governance and ethical business
conduct. A detailed statement of CRH compliance with the
Principles of Good Governance, as set out in the Combined Code,
is given on page 35.

Outlook 2001

Management’s view of the outlook for 2001 is set out more fully in
the Chief Executive’s review and operations reviews. 

Overall, it is expected that management’s focus on performance
improvement, and on deriving in full the benefits of the Group’s
investment programme, will deliver another year of progress for 
CRH in 2001.

western New York State. Yule Catto Rooflights, which has strong
market positions in Germany, the Netherlands, the United Kingdom
and Ireland, is an ideal addition to CRH’s Daylight & Ventilation 
group in Europe. The acquisition of Jura extends significantly the
geographical reach of CRH’s European operations and gives CRH
the number two position in the Swiss cement market.

Financing expansion

The Group’s exceptional growth over the past three decades has
been largely financed from internal cash flow supplemented by
occasional equity inputs from shareholders and, in recent years in
particular, by increased utilisation of the Group’s debt capacity. 

Following an acquisition spend of §1.4 billion in 1999 and a strong
level of activity in the first six months of 2000, we considered 
it appropriate in September 2000 to raise some extra equity to
broaden the Group’s investor base and support our ongoing
development strategy. The 5% share placing was extremely well
supported by existing and new shareholders raising §345 million,
net of expenses, from investors in 12 countries reflecting the
strength and diversity of our shareholder base.

With a continuation of the strong development activity in the second
half of the year, acquisition spend for the full year 2000 amounted to
a record §1.6 billion. Furthermore, as at 5th March, 2001, the date
on which these accounts were approved, potential acquisitions
totalling §453 million (completion of which is dependent, among
other things, on satisfactory due diligence and in some instances
regulatory approval), had been approved by the Board. While the
Group’s strong cash flow is capable of financing a reasonable level
of ongoing acquisition activity, the Board decided that a further
equity input was desirable to back the extensive resources
committed to development. Accordingly, on 6th March, 2001, the
Group announced a 1 for 4 Rights Issue to raise approximately 
§1.1 billion, net of expenses.

These equity issues ensure that the Group is not constrained in its
plans to take full advantage of attractive acquisition opportunities as
they arise in our various geographic, product and sectoral markets. 

Board

Tony Barry retired from the Board and from the Chairmanship
following the Annual General Meeting on 3rd May, 2000. Tony joined
CRH in 1964, was appointed Chief Executive of CRH in 1988 and
became Chairman in 1994. In those roles, he made most significant
contributions to the development and success of the CRH Group.
We wish him well in his retirement.

Liam O’Mahony was appointed Group Chief Executive on 1st
January, 2000, in succession to Don Godson. Liam made an
outstanding contribution to the establishment of CRH’s current

CRH

5

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 6

6

CRH

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 7

C H I E F E X E C U T I V E ’ S   R E V I E W

“Despite significant challenges in our operating environment, 

CRH’s unique regional and sectoral balance has again underpinned

significant growth in sales and profits to new record levels in 2000.

Taken together with an acquisition spend of §1.6 billion across all

Product Groups, it has been a year of considerable further progress.”

Highlights

CRH Group made considerable further
progress in 2000. Highlights include:

strategy, are clearly evident in yet another
strong Group performance against a
demanding industry background.

Liam O’Mahony

• Sales up 32% to a record §8.9 billion.

Major strategic moves

• Profit before tax up 22% to a record §697
million, excluding exceptional items in 1999.

• A record §1.6 billion acquisition spend; 
a combination of a number of significant
strategic moves together with over 60 of
our traditional add-ons at local and 
regional level.

A sincere word of thanks to our 42,500
employees in 19 countries worldwide,
whose endeavours and commitment
created this strong outcome for the year.

Operational performance

We faced a number of significant
challenges in the year. These included:

• Satisfying buoyant customer demand in 
a strong but competitive Irish market.

• Generating efficiency improvements in a
relatively flat UK market.

• Coping with very competitive
concrete/clay markets in central Europe.

• Enhancing returns from, and further
building on, our existing strong positions 
in Finland and Poland.

• Coping with unprecedented energy cost
increases, particularly affecting our US
operations.

• Mitigating the effects of major bitumen
price hikes and adverse weather conditions
in our US Materials businesses. 

Our regional chief executives deal in some
detail with how these and other issues were
addressed. The team’s success in dealing
with these challenges, and the merits of our
balanced regional, product and sectoral

As in recent years, we took a number of
further steps in 2000 which enhance the
operational size and strategic strength of
the Group.

The early 2000 acquisition of The Shelly
Company, together with a number of
subsequent smaller add-on deals, greatly
advances the position of our US Materials
Division in the Midwest. Shelly is a major
vertically integrated producer of aggregates
and asphalt, with a strong network of
locations in Ohio and West Virginia.
Although the Midwest was hit particularly
hard by energy escalation in 2000 resulting
in lower than expected results from
Thompson-McCully and Shelly, the region
will benefit significantly from the TEA 21
Federal US infrastructure programme, and
we remain optimistic for its prospects.
Towards the end of the year we returned to
our roots in upstate New York, the home of
our initial very successful Materials venture
in 1985 with Callanan Industries. The
acquisition of the Dolomite Group, the
market leader in aggregates, asphalt and
readymixed concrete in Rochester, New
York, nicely complements these activities.

In Mainland Europe, our Products &
Distribution Division built on the success 
of our existing daylight and ventilation
businesses through the acquisition of the
rooflight division of Yule Catto & Co plc.
This greatly extends our operations in the
UK, Benelux and Germany, and has
performed well in its first year with us.
Towards year-end, our Europe Materials
team acquired the Jura Group in
Switzerland, building on developments over
the past few years in Poland and Finland.

CRH

7

Juracime SA cement plant at Cornaux
near Neuchatel in Switzerland. 
The Jura Group, acquired in November
2000, is a major Swiss cement
aggregates and readymixed concrete
producer with a regional building
materials distribution business.

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 8

This marks a further step in expanding our
cement and aggregates presence in
Mainland Europe. It also brings a well-
positioned distribution business, with scope
to add value with the support of our existing
distribution teams.

Other development activity

One of the features that marks CRH out as
different from its competitors is our overall
approach to development. We have
devolved much of this activity to regional
level; where we have 14 development teams,
supporting senior local and regional
management in seeking value-adding
businesses, which can be readily assimilated
into our strong regional organisation.

This organisation continued to generate a
very significant deal pipeline in 2000, as is
evident in over 60 deals closed at a total 
cost of §1.6 billion. In addition to the major
moves outlined above, there was a large
number of smaller add-on deals. These were
spread across all regions and product
groups, with particular success for our 
American Products & Distribution Division
throughout the year.

Human resources

The success of CRH over the years has
been based on a relentless focus on
performance and growth. Deriving superior 

This dramatic gateway to the Los Angeles
California International Airport features multiple,
cylindrical tempered glass pylons whose
constantly changing colours represent the ethnic
diversity of the City of Los Angeles. Oldcastle
Glass Group’s Chicago-based North American
Glass supplied 1,460 pieces (61,000 square feet)
of 10mm bent tempered glass for this project.

2000 larger acquisitions - Europe

Yule Catto Rooflights

Jura Group

Cost  §77m

Cost  §425m gross, §268m net

Strong market positions in Germany,
Netherlands, UK and Ireland

Surplus asset disposals will reduce cost to 
a net §268m

Provides wide product range and balanced
geographic spread

Switzerland’s second largest cement
manufacturer with 860,000 tonnes capacity

Integration with existing activities resulting in
significant synergies

Strong regional aggregates and readymixed
concrete operations

Gives leading position in a fast-growing,
standards-driven sector

Significant regional building materials distribution
business

New regional growth platform for both 
the Materials and Products & Distribution
Divisions in Europe

performance from, and re-investing in,
existing businesses gives the platform for
growth; our regional development strategy
has delivered the growth opportunities to
build on this platform.

The big factor in attaining this success has
been the quality of the people in our devolved
organisation. The combination of seasoned
operational executives in existing businesses,
owner-entrepreneurs and their teams who
join us through acquisition, and highly skilled
professionals from the development and
finance functions, gives us a vibrant mix of 
talents and cultures. As we expand globally,
we are increasing our investment in human
resources, and in developing future leaders
at all levels of the organisation.

The health and safety of our employees is of
paramount importance right across the

Group, where we look to operate to best
national and international standards.

The environment

As is detailed elsewhere in this Annual
Report, environmental compliance is a key
priority within CRH. We seek to continuously
improve our performance in this area, in line
with leading industry practice, through
ongoing investment and management focus.
Further good progress in 2000 is reflected in
a substantial number of awards won by
various Group companies.

e-Business

A major theme of our 2000 Group Manage-
ment Seminar was ‘What can e-Business 
do for CRH?’. While it is too early to offer
definitive answers, there are a number of
pilot projects underway throughout the

8

CRH

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 9

2000 larger acquisitions - Americas

The Shelly Company 

Cost  §348m

The Dolomite Group

Northern Ohio Paving 

Combined cost  §179m

Leading integrated aggregates, asphalt and
paving contractor in Ohio and West Virginia

Both states are major beneficiaries of 
increased highway funding

Integrated aggregates, asphalt and
readymixed concrete producer in 
western New York State

Significant materials distribution business

Integrated aggregates, asphalt and paving
contractor in north eastern Ohio

Over 50 million tonnes of strategic aggregate
reserves

Consolidates position as a major player in 
the Midwest materials market

Over 300 million tonnes of strategic
aggregate reserves

Excellent initial add-on for The Shelly Company
extending geographical coverage

Over 200 million tonnes of strategic 
aggregate reserves

Builds on existing strong position 
in eastern New York State

Group. These provide us with the opportunity
to understand and evaluate where additional
value can be derived for both CRH and its
customers. Our products are generally bulky,
and we supply local markets which are
service-intensive. This requires strong
responsive relationships with our suppliers
and customers, which e-business will not
replace, but may enhance and complement
over time.

Industry consolidation

2000 has seen great change in our industry
worldwide with ongoing consolidation
continuing apace, resulting in greater
concentration and the acquisition of many
mid-sized public companies. As always, 
CRH strategy is to participate in industry
consolidation where we see value. However,
major strategic moves, which can often

enhance earnings per share based on debt
financing, generally involve some dilution in
overall short to medium-term returns on an
acquirer’s total invested capital.

To date, we believe our small to medium-
sized acquisition strategy has yielded
superior returns for CRH and our
shareholders, but we of course keep a
watching brief on all opportunities. Our
objectives remain unchanged – being a
leading building materials group that delivers
superior performance and growth.

Outlook 2001

At the moment there is considerable
uncertainty as to the direction of world
markets, particularly with the US economy
showing signs of correction after a record
nine years of continuous growth.

In Ireland, the outlook suggests further
growth albeit at more moderate levels than 
in recent years. Activity in the UK is likely to
remain relatively flat. In our principal Mainland
European countries we see reasonable
growth in 2001. Although US markets look
likely to slow somewhat from recent high
levels, we do not expect a major downturn
and investment in infrastructure should be
underpinned by an increasing impetus from
the strong Federal TEA 21 highway funding.
Since 31st December, 2000, trading has
been satisfactory and in line with our
expectations.

Overall, we expect improvements from our
existing businesses and, together with the
full year impact of businesses acquired
during 2000, we look forward to continued
progress in the year ahead.

Total shareholder return 1970-2000

A shareholder who invested the equivalent

of §100 in 1970 and reinvested gross

dividends would now hold shares worth

§34,238 based on the share price as of

31st December, 2000. This represents a

21.5% compound annual return.

40,000

30,000

20,000

10,000

§100

1970

§34,238m

Compound annual return of 21.5%

2000

CRH

9

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 10

Operations review

M AT E R I A L S :   E U R O P E

2 0 0 0   results

2000 overview

Ireland

Brian Griffin

§ million

% of
Group

Sales

1,637 +25% 18%

Trading profit

242 +39% 27%

Average net assets*

1,232 +59% 22%

EBIT / sales margin

14.8%

The Europe Materials Division reached its
sales and profit targets enjoying strong
trading conditions in all market areas. Ireland
continued its remarkable run with a seventh
year of double-digit market growth.
Operating costs were higher in the second
half of the year following the sharp increases
in energy costs combined with significant
wage inflation in Ireland.

Poland’s rate of growth slowed somewhat 
as corrective measures were applied to the
economy in preparation for its anticipated
accession to the EU. Significant expansion
and development of Materials activities 
was achieved through a number of 
small acquisitions and the successful
commissioning of Cementownia O
8,000 tonne/day kiln.

.
zarów’s

The performance of our Finnish companies
exceeded expectations in a strong market.
Management extended the product range by
entering the blacktop business in Helsinki
and in northern Poland.

Markets serviced by our Spanish operations
grew strongly, delivering improved sales and
profits.

In November, we completed the acquisition
of the Jura Group in Switzerland, which has
a strong market position in cement,
aggregates and concrete, extending our
geographical reach in a stable European
market. Work is already well advanced on
disposal of non-core assets and integration
with the CRH Group.

Sales for the Europe Materials Division
increased by 25% to §1.6 billion and trading
profits by 39% to §242 million.

* including goodwill

10 CRH

Construction activity in Ireland recorded its
seventh year of strong growth with sales up
10% although activity towards the year-end
was affected by poor weather conditions.
Residential construction increased by 7%
nationally; however, land and planning
constraints in Dublin limited regional growth
to 2%. Road construction works were up
25% despite delays on commencement of
some planned projects. The commercial,
industrial and public sectors were all
buoyant. Overall, the market remained 
very competitive with prices again failing to
match cost inflation. Profit progress was
satisfactory, in line with the strong increase 
in sales.

To meet the increasing market demand, 
our Irish companies continued with their
programme of investment in material
reserves, plant and machinery at a total 
cost of §85 million in 2000.

Roadstone Dublin installed a new combi-
nation mix blacktop plant in Huntstown
Quarry, set up a mobile concrete plant in
Ringsend to supply the Dublin Bay Sewage
Treatment with 110,000 m3 of concrete, and
made strategic investments in raw material
reserves and new crushing equipment in its
aggregates division. Roadstone Provinces
commissioned a new rooftile plant in County
Cork, installed blacktop plants in Galway and
Waterford, commenced a new concrete and
block operation in Waterford, acquired
Ballintra Concrete in Donegal and increased
aggregate reserves and crushing capacity in
a number of key locations. A replacement
concrete pipe factory was commissioned in
John A. Wood Limited and is now in full
production. 

Irish Cement Limited completed a number 
of efficiency improvement projects and
commissioned its deepwater import terminal
in Dublin Port.

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 11

“We had a rewarding year with positive developments in all operational areas. Good organic growth in sales

and profits was achieved with better markets and benefits from timely capital investments. The industry in

Europe continued to restructure and we successfully expanded our market presence through the acquisition of

the Jura Group in Switzerland. Organisation development was given added priority as we significantly

strengthened our management team to support the expanded business and to explore further opportunities.”

Premier Periclase Limited had an improved
performance in the refractory materials
market with strong volumes in an extremely
competitive market. The construction of a
new exhaust gas treatment system is
underway and will be commissioned in the
first quarter of 2001.

In Northern Ireland, construction activity 
was marginally up on last year in a very
competitive market; however, turnover in our
Farrans Construction division was well ahead
due to a number of PFI (Private Finance
Initiative) contracts coming on-stream.

Spain

In Spain total construction output grew by
around 6% in 2000 – the fourth consecutive
year of strong growth in the industry. In
Catalonia, our most important regional
market, increased investment in infra-
structure and continuing new residential
construction ensured that overall volume
growth matched the national average.
Slightly higher growth was recorded in
Madrid where output was boosted by public
investment in buildings and infrastructure. In
this favourable environment, Beton Catalan’s
sales grew by 7%, with satisfactory margin
and profit improvements.

Poland

The Polish economy continued to perform
well and GDP growth at about 4% was in
line with forecasts. Despite this, however,
growth in construction output at 2% was
significantly lower than in 1999. Continuing
strong foreign direct investment, estimated
to be §12 billion in the year, underpinned
industrial and retail construction; however, a
slowdown in office construction was evident
particularly in Warsaw. Residential building,
despite increasing somewhat, continues at 
a low level due to the ongoing lack of
affordable mortgage finance.

Cement consumption increased by 2% in
line with the growth in construction output.
.
The Cementownia O
zarów and Rejowiec
plants benefited from both higher volumes
and increased prices in a stable market.

.
zarów out-performed

The new kiln at O
expectations in its first full year of operation
with a good run factor and high energy
efficiency. The company is now well placed
to take advantage of growth in the Polish
cement market.

The Group continued to extend its presence
throughout Poland by investments in
concrete products and aggregates to build
leading positions in selected regional
markets. A total of §36 million was invested
in plant upgrades, greenfield projects and
acquisitions.

Finland/Baltics

Strong economic development continued in
Finland with economic growth in excess of
5%. The construction market was up 5% as
was the housing sector. Office construction
increased by 25% and infrastructure by 3%.
Volumes developed favourably both in
Finnsementti and Lohja Rudus.

Lohja Rudus continued to expand its
product portfolio and made six small
blacktop acquisitions, mainly in the Helsinki
region, gaining a significant share in this
market. The integration of the acquired
companies into the new Rudus Asfaltti
division has proceeded as planned.

Construction markets in Estonia and St.
Petersburg grew more than 10% from a 
low base whereas in Latvia the market
decreased by 3%. These markets have been
slow to develop and profitability remains
unsatisfactory. We continue to examine
opportunities to increase the scale of our
operations.

Outlook 2001

2001 promises to be another good year 
in Ireland underpinned by planned infra-
structure expenditure from the National
Development Plan. There is some concern
that the housing market is slowing due to
the impact of Government measures to
reduce speculative investment; however, job
creation and demographic factors will
continue to support a strong housing output
which reached an estimated 49,800
completions in 2000.

The medium-term outlook for the Spanish
economy is positive, although slightly lower
growth rates are anticipated as the impact of
higher inflation on consumer demand takes
effect. We expect overall construction output
to grow by around 3% in 2001.

In Poland, GDP growth for 2001 is forecast
at 5% with inflation to fall below 8%.
Construction output is expected to increase
in line with GDP growth. Stable economic
management, good export growth and
continuing progress to EU membership
should secure Poland’s position as a
favoured location for inward investment and
secure continuing growth in the economy.

In 2001, Finland is expecting construction
output to increase by between 3% and 5%,
which will provide a good base for positive
development in our cement, concrete and
aggregates businesses.

The Swiss economy is forecast to expand 
by between 2% and 3% and inflation is
expected to remain below 2%. With one of
the largest current account surpluses among
OECD countries, Switzerland continues its
planned infrastructure upgrade supporting a
good market for the Jura Group’s products.

CRH 11

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 12

The Materials Division in Europe operates in Ireland, Spain, Poland, Finland, 

the Baltic States, Russia, Ukraine and Switzerland. This Division is a major

producer of primary materials and value-added manufactured products. 

In Ireland, CRH is a market leader in cement, aggregates, readymixed 

concrete and asphalt. In Spain, CRH produces aggregates, readymixed

concrete and precast concrete products. These operations form good

commercial networks and are well located near large markets in Ireland 

and Spain. In Poland, CRH owns 99.45% of a leading low cost 

cement producer with good market positions and access, 

providing a strong base and the opportunity to add 

complementary products. In Finland, CRH is the 

Ireland

market leader in cement, aggregates and readymixed 

concrete. In Switzerland, CRH is a prominent building 

materials producer of cement, aggregates and readymixed 

concrete. In total, the Division employs 9,100 people at 

over 330 locations.

Product end-use

31%     

Infrastructure

36%          

Non-residential

33%    

Residential  

Switzerland

Spain

Finland

Estonia

Latvia

Russia

Poland

Ukraine

Products and 
services

Cement

Aggregates

Asphalt

Readymixed concrete

Finland, Ireland,
Poland, Switzerland, 
Ukraine

Estonia, Finland,
Ireland, Latvia, Poland,
Spain, Switzerland

Finland, Ireland, 
Poland

Estonia, Finland, 
Ireland, Latvia, 
Poland, Russia,
Spain, Switzerland

Annualised Market leadership 

production volumes

positions

8.4 million tonnes No. 1 producer in Finland and Ireland

No. 2 producer in Poland
No. 2 producer in Switzerland

65.9 million tonnes No. 1 in Finland and Ireland 

3.1 million tonnes No.1 in Ireland

7.9 million cubic metres No.1 in Finland and Ireland

Agricultural & chemical lime Ireland

0.7 million tonnes No.1 producer

Concrete products

Ireland, Poland, 
Spain 

4.7 million tonnes No.1 block and rooftile 

producer in Ireland

Clay bricks

Ireland

0.1 million tonnes No.1 producer

12 CRH

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 13

Development strategy

To build and maintain strong market
positions in primary building materials and
related products through organic growth,
greenfield development and acquisitions
in selected European markets.

Ireland

• Maintain our position as the lowest 

cost/best value producer

• Continue to operate to the highest 

environmental standards

Spain

• Strengthen our existing market positions
• Expand selectively into related products 

and regional markets

Poland

• Develop a strong national presence in 

the Polish materials industry

Finland

• Maintain our strong position in cement, 

aggregates and readymix

• Expand into other selected product areas

Switzerland

• Enhance existing positions in cement,

aggregates and readymix

• Acquire new businesses in surrounding

regions

Elsewhere

• Build on existing positions in central and

eastern Europe

• Selectively acquire materials businesses

in other European countries

Top left: Lohja Rudus, Finland, delivering high
durability concrete in sub-zero temperatures
to one of 68 bridges supplied on the Helsinki-
Tampere motorway project constructed by 
the Finnish National Road Administration.

Left: Farrans Construction division delivered
this turnkey project as part of Belfast’s
Millennium Odyssey project. The 12,000
seater multi-purpose arena, valued at over 
Stg£30 million, presented its first event to a
full house on 2nd December, 2000.

CRH 13

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 14

Operations review

P R O D U C T S & D I S T R I B U T I O N :   E U R O P E

2 0 0 0   results

2000 overview

§ million

% of
Group

Sales

1,763

+3% 20%

Trading profit

112

+8% 13%

Average net assets*

1,236

+7% 23%

EBIT / sales margin

6.4%

* including goodwill

2000 was a most successful year for our
acquisition and capital investment
programmes. We invested §260 million in a
record 19 deals, the largest of which was the
§77 million acquisition of a European
rooflight group. Furthermore, we spent §70
million on capital expenditure projects to
improve our existing businesses.

To produce improved profits in 2000, our
management had to overcome some major
challenges – the escalation of world energy
prices and the wettest final four months in
north western Europe for more than a
century. To these setbacks were added some
local difficulties – relapse of the German
building market post-May; over-capacity in
concrete and clay products in the Benelux
and Germany; and severe labour shortages
in the Netherlands.

Sales from continuing operations totalled
§1.8 billion, up 19% on 1999. Trading profits
were §112 million, up 28%. Altogether, a
creditable performance by our management
and people against the economic and market
backdrop.

Clay products group

In the UK, clay brick deliveries in 2000 were
4% lower than in the previous year. At half
year volumes had been slightly ahead, so the
shortfall was concentrated in the second half.
Against this background, Ibstock Brick
performed satisfactorily. Capacity was
reduced by the closure of lines at Belton and
Ravenhead. Investments aimed at reducing
costs and energy usage were made in
robotic handling at South Holmwood,
Stourbridge and Roughdales and in fast firing
at Cattybrock. Profits were similar to 1999.

In the Netherlands, conditions in the clay
brick industry continued difficult with excess
capacity competing for static volumes. To
reduce costs and bring our capacity in line
with demand, we closed our brick plant at
Echt, one of our five plants in the south of
the Netherlands.

14 CRH

Brian Hill

In Germany, AKA Ziegelwerke performed well
in the first five months. Thereafter, the market
deteriorated markedly and we have decided
to close one of our German brick works. 

In Poland, our small brick operation, Patoka,
performed well producing higher sales and
profits. During 2000, we acquired two further
brick businesses in Poland - at Gliwice in
Upper Silesia and in Gozdnica in western
Poland close to the border with Germany. All
three have been merged into a single entity,
CRH Klinkier Sp. z o.o., which has a strong
share of the growing Polish clay facing brick
market.

Concrete products group

Our concrete group recorded an advance 
in profits.

In the Netherlands, Struyk Verwo continued
to operate in an over-supplied paving market;
profits were lower than in the previous year.
Dycore performed better in the concrete floor
element market and successfully integrated
Monoliet, acquired in April.

Our Belgian concrete businesses showed a
significant profit increase thanks to the
acquisition in March of Omnidal, a
manufacturer of precast floor and wall
elements. Since acquisition, Omnidal has
performed ahead of expectations. Marlux
had a difficult year, whilst Remacle performed
in line with 1999. In December, we
completed the acquisition of Schelfhout, 
the market leader in the Benelux in the
manufacture of standardised precast 
wall panels.

In the UK, Forticrete continued its growth in
the concrete masonry and rooftile sectors
and, despite poor weather in the last quarter,
showed an excellent improvement in profits.

In France, Prefaest, the precast concrete
telecoms vault and drainage systems
manufacturer which had performed poorly in
1999, was turned around and returned to
satisfactory profit levels.

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 15

“Our acquisition efforts were very successful in 2000 with a record 19 deals

in 8 countries. In challenging markets, our management performed well to

produce higher trading profits including strong contributions from acquired

businesses.”

Building products group 

This group had a most successful year both
operationally and on the development front.

The highlight was the acquisition of the
rooflight activities of Yule Catto & Co plc in
May. This business has now been fully
integrated with the legacy CRH Daylight &
Ventilation group to form a new European
leader in the sector with operations in
Germany, Benelux, Great Britain and Ireland.
The integrated group has met our best
expectations in 2000. 

Our Insulation Group had to meet the
challenge of raw material cost increases
caused by the escalation in chemical
feedstock prices. Recovery of these cost
increases was difficult. Towards year-end,
selling prices began to improve. In February,
we acquired Termo Organika, a top 3 Polish
producer of expanded polystyrene (EPS)
insulation. In May, we bought Springvale
Insulation which has EPS insulation factories
in England and Northern Ireland. Springvale
has been integrated with Combat Insulation,
our legacy British EPS company.

Heras Fencing had another year of strong
sales and profit growth. A feature of the year
was the successful execution of the contract
to provide mobile fencing for all the
European Football Championship matches
played in the Netherlands. The Heras sales
depot in Warsaw (Poland) is developing well. 

Distribution group

Our distribution businesses scored good
advances in sales and profits; and it was a
busy year on the development front.
In the Netherlands, DIY superstore profits,
whilst satisfactory, were slightly lower than in
the previous year due to intense price
competition. A revitalisation of our marketing
programme was undertaken in the second
half and at year-end was showing good
sales and profit gains. Garfield Aluminium
matched the excellent profits of the previous
year. Our other Dutch distribution businesses
showed improved profits.

In October, we acquired Dijkbouw Beheer
which operates eight DIY superstores,
mainly in the Rotterdam area. Dijkbouw is a
member of the same franchise organisation
as our own stores and has been swiftly
integrated.

In France, Matériaux Service and Raboni
again recorded double-digit sales and profit
gains. During the year, we purchased the
outstanding 50% stake in Matériaux Service.
We invested further in branch refurbishment
and acquired an additional location at 
year-end to fill in our branch network in 
Ile-de-France.

In Portugal, Max•Mat (50%) operating from
nine outlets, improved its performance.
Max•Mat decided to reduce its commitment
in Spain and closed its store in Seville; the
remaining Spanish store in Pontevedra in
Galicia is now managed directly from the
Oporto headquarters.

At end-November, as part of CRH’s
acquisition of the Jura Group in Switzerland,
Jura’s 43-outlet merchanting business joined
our distribution group. The enlarged
European distribution group will have sales
approaching §1 billion and offers exciting
opportunities for synergies and best practice
exchanges in the areas of purchasing,
logistics and IT.

Outlook 2001

Overall forecasts for the construction
industry in our key markets in the UK and
Benelux remain modestly positive. We are
concerned about prospects in the German
building sector. Germany accounts for less
than 10% of our Division’s activities, but
recession there adversely impacts
neighbouring countries.

For 2001, continued high energy costs
remain a challenge. We are considerable
energy consumers, not only in our factories
where some of our processes are energy
intensive e.g. clay brick kiln firing; but also in
transport as we deliver heavy products to

our customers’ sites. Our programme to
deal with this challenge is two-pronged; on
the operations side, we will continue to
improve efficiency and reduce costs, and 
on the sales side, we will implement price
increases to compensate for the higher 
input costs.

Overall, we plan for another year of sales
and profit progress and for further advances
on the acquisition front.

CRH 15

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 16

Products & Distribution in Europe is organised into three groups 

of related manufacturing businesses and a distribution group. 

The manufacturing groups are involved in clay, concrete and 

other building products. Distribution encompasses builders

merchants and “do-it-yourself” stores. The Division’s operations 

are located mainly in the UK and the Benelux with strong market

leadership positions, which are complemented by promising 

bases for future growth in France, Germany, Ireland, Poland,

Portugal and Switzerland. Products & Distribution 

has 9,700 employees at over 320 locations.

Product end–use

Portugal

60%         Residential  

10% 

Infrastructure

30%

Non-residential

Ireland

UK

Netherlands

Belgium

Germany

Poland

France

Switzerland

Products and
services

Annualised Market leadership

production volumes

positions

Concrete blocks & pavers

Benelux, France, 
UK

3.9 million tonnes No.1 decorative patio tiles in Belgium

No.1 paving products in the Netherlands
No.1 architectural masonry in the UK

Precast concrete products Benelux, France

2.4 million tonnes No.2 precast flooring in the Netherlands

Clay bricks & rooftiles

Germany, Netherlands, 
Poland, UK

2.7 million tonnes No.1 clay pavers in Germany

No.1 quality facing bricks in the Netherlands
No.1 facing bricks in the UK

Fencing & security

Rooflights & ventilation

Insulation products

Benelux, France, 
Germany, Poland, 
UK

Benelux, Germany, 
Ireland, UK

Benelux, Germany, 
Ireland, Poland, 
UK

1.3 million lineal metres No.1 security fencing in Europe

0.8 million square metres No.1 rooflights & ventilation in the 

Netherlands

1.9 million cubic metres No.1 EPS insulation in Ireland

Joint No.1 EPS insulation in the UK
No.2 EPS insulation in Poland

Builders merchants

France, Netherlands, 
Poland, Portugal,
Switzerland

136 branches No.2 builders merchant in Ile-de-France
No.1 roofing products in the Netherlands
No.3 builders merchants in Switzerland

DIY stores

Netherlands, Switzerland

54 stores Member of leading Dutch DIY chain 

16 CRH

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 17

Development strategy

To build leadership positions in
targeted European markets in the
manufacture and distribution of
building products through organic
investment and acquisition.

Netherlands and UK

• Maintain ranking and profitability in a

competitive arena

• Develop and strengthen existing

businesses

• Continue to build leadership positions

in product groups

Belgium, France, Germany, Ireland 
and Switzerland

• Grow existing businesses profitably

and strategically

• Attain leadership in targeted
product/market sectors

• Integrate and consolidate newly-

acquired businesses

Portugal and Poland

• Nurture and grow these investments

as future core businesses

• Extend outwards to build strong

geographic clusters

• Develop requisite management,
operational skills and disciplines

Above: Fences and sliding gates supplied by
Heras to protect the Suikerunie complex
located in Breda in the Netherlands. Heras
supplies over one million lineal metres of
fencing per annum to the Benelux, Germany
and the UK.

Top left: Winner of the Best Structural Use of
Brick category in the 2000 Brick Awards, the
World of Glass Museum at St. Helens in the
UK was opened in March 2000 and featured
some 80,000 bricks from Ibstock Brick’s
Roughdales factory. The striking entrance cone
towers 16 metres high and was constructed
using traditional lime mortar.

Left: The Zaandam railway station near
Amsterdam has serviced the population 
of north western Netherlands since 1982. 
BIK Bouwprodukten was commissioned 
to replace the roof. 504 pieces of durable 
clear polycarbonate domes were used in 
this project.

CRH 17

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 18

Operations review

M AT E R I A L S :   T H E   A M E R I C A S

2 0 0 0   results

2000 overview

§ million

% of
Group

Sales

2,712 +66% 31%

Trading profit

254 +40% 29%

Average net assets*

1,870 +74% 34%

EBIT / sales margin

9.4%

* including goodwill

The Materials Division continued its 
rapid growth in 2000 with another year 
of record results and development. 15 
new companies were acquired at a
combined cost of US$676 million including
The Shelly Company, the market leader in
aggregates and asphalt in Ohio and West
Virginia. The Materials Division is now active
in 24 states in the US with over 370 locations
producing 86 million tonnes of aggregates,
33 million tonnes of asphalt and 3.7 million
cubic metres of readymixed concrete
annually.

Oil-related product prices increased
significantly during the year and negatively
impacted profitability throughout the Group.
Prices for bitumen, a major component of
asphalt, increased by 50% and the cost of
natural gas, the primary energy source in
asphalt manufacturing, increased threefold 
in this period. Although we succeeded in
recovering much of these additional costs
through higher selling prices and a strong
focus on group purchasing, we could not
fully mitigate the effects and suffered lower
margins in most areas. A wet spring in the
Northeast and an early winter in all areas
resulted in higher costs and reduced volumes
with a further negative effect on profitability.

TEA 21, under which Federal funding from
1998 to 2003 will show an average increase
of 45% over the previous six years, helped to
underpin the highway construction market,
our primary end-use. These funds are
supplemented at the state level through
additional gas taxes, borrowings and general
tax receipts. In 2000, TEA 21 funding was, in
general, up to our expectations but some
reduction of state funding in the New York
market and the diversion of maintenance
monies to large projects in several other
states offset some of the benefits. Spending
is expected to increase markedly going

18 CRH

Tom Hill

forward as states have spent significantly on
right of way acquisition and design in the
past two years. This should lead to increased
construction activity.

Sales increased 66% to §2.7 billion and
trading profits rose by 40% to §254 million,
resulting in a decline in margins.

Northeast

Pike Industries had a good year though
bitumen and energy cost increases reduced
overall profits. Its Vermont, New Hampshire
and Maine operations continued to profit
from strong infrastructural spending and
highway markets. The Massachusetts market
was poor as highway monies were diverted
into Boston’s ongoing “Big Dig” project,
severely limiting funds for road maintenance.
The Massachusetts market will improve
slightly in 2001 but will not recover fully until
this major project is completed in three to
four years time. Rhode Island remained
competitive, but recent capital expenditures 
at our well-located Cranston quarry, near
Providence, are expected to produce
increased profits in 2001.

Tilcon Connecticut had another solid year.
Improved private markets, a steady highway
programme, and recent acquisitions in the
eastern part of the state contributed to an
excellent performance. The outlook remains
positive.

Tilcon New York, serving New York City,
southern New York State and New Jersey
gained from robust construction markets in
New York City and from the full benefits of
previous acquisitions. The New York City
aggregates business, which we supply by
barge, rail and truck from multiple locations,
had an excellent year. Our Dell and Millington
operations in New Jersey, acquired in mid-
1999, were especially impacted by rising
energy and bitumen costs and wet spring

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 19

“Despite record sales and profits, 2000 was a difficult year for US Materials. An unprecedented rise in energy

costs coupled with poor weather severely impacted profits. High energy costs were mitigated by improved

efficiency, price recovery, increased Federal highway spending and continued acquisition growth. We entered

new markets and strengthened existing markets through 15 acquisitions, the largest being The Shelly

Company. The outlook for 2001 is broadly positive.”

selling prices and the Ohio paving
programme to improve in 2001. With asphalt
regaining some market share and strong
early market activity, we expect the Michigan
market also to improve in 2001.

Outlook 2001

The US economy is forecast to experience a
“soft landing” in 2001 after a record nine
years of growth. Both residential and non-
residential construction are expected to fall
slightly during the year, which should be
offset by strong TEA 21 driven highway
spending. Continued focus on improved
bitumen and energy purchasing and the
substitution of recycled oil for expensive
natural gas in asphalt manufacturing will
yield significant savings. Overall, the outlook
for 2001 is positive with moderating energy
prices, solid stable markets and the benefits
of recent acquisitions.

and early winter weather. However, we will
continue to benefit from further synergies as
we complete the integration of these
businesses.

Despite poor weather throughout the year
and a lacklustre market, upstate New York
had a satisfactory year. New York reduced
its state funding for highways, which in the
most part offset the increase in Federal
spending. The market outlook is mixed as a
five-year Transportation Bond Act was
defeated in the November election and the
state is back to funding its portion of the
highway programme on an annual basis. The
Governor has proposed a 2001 budget at a
level similar to that included in the Bond Act.
We are optimistic that the state will provide
adequate funding. The Dolomite Group 
in Rochester, acquired in June, exceeded
expectations.

The Mid-Atlantic Group in Pennsylvania and
Delaware performed well due to strong
highway programmes and the successful
integration of recent acquisitions. Pennsy
Supply, in Harrisburg, had an exceptional
year benefiting from its strong local
aggregate position, recent capital
expenditures and a customer-focused
management team. The outlook is positive
for the Mid-Atlantic region.

West

Rising bitumen and energy costs, intense
competition, and a declining residential
sector resulted in a disappointing year in
Utah. Highway maintenance, our primary
market in Utah, remained depressed as
funds continue to be diverted into the
US$1.6 billion Interstate 15 mega-project.
This project is nearing completion and we
expect the maintenance market to improve
in 2001.  We completed a §7.4 million liquid
asphalt terminal, linked to the rail system, in
Ogden to supply the Inter-Mountain region

with bitumen and related products on a cost
effective basis. Our Colorado operations
were mixed with low volumes and high
energy costs hurting B&B Excavating and
the Four Corners while United had another
excellent year. Our New Mexico and
Wyoming operations both performed well.

CPM in eastern Washington and northern
Idaho enjoyed strong markets in highways
and private construction and performed well.
Acme, acquired in mid-2000, was
successfully integrated. Segale (now Icon
Materials), located near Seattle, Washington
recovered well following a poor 1999 
and the outlook is positive going forward.
Hills Materials in South Dakota also had a
good year.

Midwest

The Shelly Company acquired in February
2000, continued our development in the
Midwest materials market that began with
the acquisition of Michigan-based
Thompson-McCully in mid-1999. Shelly is a
leading vertically integrated supplier of
aggregates and asphalt in Ohio and West
Virginia. During the year, we also added four
bolt-on acquisitions to Shelly.

In a difficult Michigan market during 2000,
results for Thompson-McCully were below
expectations in its first full year with the
Group due to increased competition from
concrete paving and an overall competitive
market. In addition, Ohio’s paving
programme, Shelly’s major market, was
reduced as highway money was diverted
into several large new highway construction
jobs. Higher bitumen and energy prices
impacted both Thompson-McCully and
Shelly, which together account for over 
40% of the Materials Division’s asphalt
production, as they were unable to fully
recover these higher costs through
increased selling prices. We expect both

CRH 19

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 20

Washington

Oregon

Idaho

South Dakota

Michigan

New York

New Hampshire

Massachusetts

Rhode Island

Connecticut

Maine

Vermont

Wyoming

Nebraska

Nevada

Utah

Colorado

New  Mexico

Pennsylvania

New Jersey

Ohio

Delaware

West 
Virginia

Virginia

The Materials Division operates in 

three regions of the United States, the 

Northeast, the Midwest and the West. In the 

Northeast, CRH is a market leader in aggregates,

asphalt and paving construction, and supplies readymixed 

concrete in Pennsylvania and Connecticut. In the Midwest states of Michigan and Ohio,

CRH is the largest asphalt paving contractor and a leading supplier of aggregates. 

In the West, CRH is a market leader in aggregates, asphalt and readymixed concrete. 

The Materials Division employs 10,700 people at over 370 locations.

Product end-use

65%            

Infrastructure

15%  Residential

20%        Non-residential

Products and 
services

Aggregates

Asphalt

Readymixed concrete

US

US

US

Annualised
production volumes

Market leadership 
positions

86.4 million tonnes

No.4 national producer

32.7 million tonnes

No.1 national producer

3.7 million cubic metres

Top 15 in US

20 CRH

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 21

Development strategy

To grow and improve our existing
strong market positions, while looking
for new growth regions in the
Americas.

Northeast

• Grow through acquisitions that bolt-on
to our existing strong materials assets
in large markets

• Improve existing operations through

best practices

Midwest

• Continued vertical integration of our

operations in Michigan, Ohio and West
Virginia through selective materials
acquisitions

• Integrate purchasing of key raw

materials

West

• Selective expansion through in-fill

acquisitions

Top: Located at New Britain in central
Connecticut, this Tilcon facility produces
350,000 tonnes of HMA (hot mix asphalt) per
year and uses 40,000 tonnes of RAP (recycled
asphalt pavement) materials. This facility is
one of the area’s low cost producers. The 820
tonnes of silo storage capacity enhances the
overall flexibility of the plant. The New Britain
plant is a recipient of a coveted 2000
Diamond Achievement Commendation from
the National Asphalt Pavement Association
(NAPA) for environmental excellence in hot
mix asphalt plant operation.

Left: CPM’s Inland Asphalt of Spokane,
Washington paved this project in central
Washington State. Inland produced 50,000
tonnes of superpave for this eleven-mile
section of Interstate 90. This project received
a National Asphalt Paving Association award
for quality and is now in the running for the
Sheldon Hayes Award, an award given to the
best paving project in the United States.

CRH 21

4970 CRH Annual Report 2000  26/3/01  11:24 am  Page 22

Operations review

P R O D U C T S & D I S T R I B U T I O N :   T H E A M E R I C A S

2 0 0 0   results

2000 overview

§ million

% of
Group

Sales

2,758 +33% 31%

Trading profit

280 +38% 31%

Average net assets*

1,145 +37% 21%

EBIT / sales margin

10.2%

* including goodwill

2000 was a year of modest construction
growth in the US economy. In an overall
economy which featured frequent interest
rate rises, instability in the equity markets and
substantial increases in oil-related costs, the
overall construction market continued to
grow albeit at a modest level of circa 1%.
South American economies had a difficult
year especially in Argentina where
deflationary conditions existed and
construction activity declined substantially.

Within this environment, the Products &
Distribution Division maintained its strong
focus on costs and continued its programmes
of selective capital expenditure and strategic
acquisitions. The Division had another good
year; sales increased 33% to §2.8 billion and
trading profits grew 38% to §280 million.

Architectural Products Group

The Architectural Products Group (APG)
achieved significant growth in sales and
operating profits in 2000. APG operates from
114 locations in 30 states and two Canadian
provinces. It is the leading North American
producer of concrete masonry, lawn and
garden and paving products and is a regional
leader in clay bricks. Concrete rooftiles,
cementitious dry mixes and lightweight
aggregate are also important product lines. 

Strong growth in the lawn and garden
programme directed toward the large DIY
chains and the hardscapes product line
aimed at the professional landscape market
contributed to the group’s record year.
Groupe Permacon in Canada had another
exceptional year while Young Block and CDI
in Arizona, Schuster’s and Miller Materials in
the Midwest, Adams, Betco, Balcon and
Foster-Southeastern in the East and Big
River, the group’s lightweight aggregate
operations in Alabama and Louisiana, all
reported record sales and profits. Glen-Gery,
our clay brick business, performed very well
and was comfortably ahead of a record
1999. Other key operations generally 

22 CRH

John Wittstock

performed strongly despite some evidence of
slowing construction activity in the Southwest
and Midwest. Westile, our concrete rooftile
business which was expanded by acquisition
in 1999, showed progress.

Add-on acquisitions, masonry producer
Domine in New York and paving producer
Gollin in Michigan, strengthened our regional
positions in these geographic areas.
American Stone Mix (ASM) was acquired at
mid-year and, with existing dry mix opera-
tions, forms the foundation for a potential
national development platform in this sector
augmenting sales to our existing customer
base in the important DIY channel. Initial
ASM performance was below expectations
primarily due to the impact of rising oil prices
and contract delays in its peripheral non-
packaging businesses. CCI, a supplier of
architectural concrete and stone with
locations in the principal cities of Texas, was
acquired in June and met expectations.

Greenfield, state-of-the-art, large pallet paver
plants have been brought on-line in
Tennessee, Massachusetts, California and
Pennsylvania, the latter two with
complementary block facilities. These plants
provide us with far more efficient production
and enhanced product quality and are a key
element of the group’s DIY strategy. Superlite
also added a new block and dry mix
production complex near Phoenix. 

Glass Group

The Glass Group is North America’s leading
custom fabricator of glass products for
residential and non-residential building
sectors. It serves these markets from a
network of 44 locations in 20 states and
three Canadian provinces. 

The group had another excellent year with
substantial growth in sales and operating
profits in spite of higher raw glass and
delivery costs. Exceptional performances
were achieved in the Central and Pacific
regions, and strong results were attained in
Canada. However, the two specialty glass 

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 23

“Products & Distribution had another good year with profits growing by 38% to §280

million, in spite of a slowing US economy and substantial energy related cost increases.

Despite forecasts for moderating growth, perhaps even a decline, in the US, our

geographic spread, end-use balance and a continuing programme of development in

North and South America lead us to expect another year of progress in 2001.”

businesses in California and North Carolina,
which supply glass to OEM customers such
as furniture manufacturers, disappointed.

During 2000, two significant acquisitions
were completed. In September, the group
strengthened its Midwest presence when it
acquired Hoffer’s. Founded in 1929, Hoffer’s
is headquartered in Wausau, Wisconsin and
comprises eight glass fabrication operations
located in five states. In December, the
group acquired Laminated Glass Corp.
(LGC), a specialist laminator located in
Telford, Pennsylvania serving the important
Northeast and Middle Atlantic markets. 
LGC was founded in 1948 and has been 
a leading supplier of custom laminated
products such as skylights, ballistic and
attack-resistant glass.

Precast Group

The Precast Group produces precast,
prestressed and polymer concrete, and
concrete pipe and distributes waterworks
supplies. It is a national leader with 59
production plants in 24 states and 
eastern Canada.

Precast had yet another excellent year
achieving record sales and profits both in
total and for ongoing operations. Solid
improvement was achieved in all regions 
of the country with particular standouts
being Arizona, Pacific Northwest, Florida 
and New York. Our Modular division, which
supplies precast structures to the correctional
and educational markets, also had an
excellent year.

The Precast Group completed nine
acquisitions in 2000 (a record number)
adding 16 production locations. Sabatini and
New Jersey Concrete Pipe when combined
with the Kerr/Cayuga pipe operations, result
in a significant position in concrete pipe in
eastern Pennsylvania and New Jersey.
Strescon, with three wall and floor plank
plants in Pennsylvania and Maryland, was a
major addition that complements our
Spancrete operations in New York. This
organisation also brings management talent

and experience in the growing wall panel
market. Chase Precast in Massachusetts 
is an excellent addition to our Rotondo
operations in New England. In the
Southeast, Thorn-Orwick’s precast plants in
Indiana and Kentucky, when combined with
Cloud Concrete, strengthen our presence in
Kentucky and southern Indiana. 

In Utah and Nevada, we acquired WR White,
a concrete pipe manufacturer, augmenting
our existing Amcor pipe division. White is
also a distributor of waterworks supplies, 
a new business platform for the Precast
Group. In California, the assets of New Basis
with concrete vault plants in San Diego,
Santa Paula and Livermore were acquired
giving added strength to Utility Vault
Company’s presence in California. Finally, the
ConVault above-ground fuel tank franchises
in California and Florida were acquired to
extend our national leadership position in
this product category.

Distribution Group

Allied Building Products reported similar
results in 2000 despite challenging trading
conditions. Allied’s markets are predominantly
replacement, and its activities are mainly in
the northern tier states of the US. Four
successive mild winters in the northern
states reduced the rate of roof replacement.
Some branch sales were down over 3%
following the national trend in roofing and
siding demand. This sales decline was offset
by an improvement in gross profit margins,
overhead reduction and by small add-on
acquisitions.

Key priorities in 2000 have been to exploit
the capability of the new management
information system while implementing
significant process and organisation changes
at branch level. Important progress was
made in all areas and streamlining will
continue in 2001. Allied continues to position
itself to opportunistically pursue synergistic
acquisition opportunities in 2001 and later.

South America

The economic recession and political
uncertainty in Argentina resulted in a sharp
decline in construction activity. Profits at our
clay products group Canteras Cerro Negro
were down versus 1999. The company
successfully commissioned new computer
systems and made good progress in overall
cost reduction and best practice programmes
and is well positioned to benefit from an
improved commercial environment.

Superglass, the leading glass temperer in
Argentina acquired in late-1999, added a
new laminating line towards year-end.
Despite difficult conditions, the company
performed well. The Group also has a 50%
stake in Vidrios Dell Orto, the leading glass
fabricator in Chile. Low consumer confidence
and pressure on industrial glass products
resulted in a profit decline. During 2000,
good progress was made on cost reduction
and the development of new architectural
products.

Outlook 2001 

Currently in the US, most forecasts for 2001
are for a flattening of growth in the overall
economy with a modest decline in
construction activity. Current forecasts
indicate a slightly larger decline in residential
(circa 3% to 4%) than non-residential (circa
1% to 2%). The balance of our businesses
both residential versus non-residential and
new construction versus RMI is expected to
mitigate any individual sectoral weakness. In
Canada, the outlook is for modest growth.
With governmental financial plans in place,
some of the uncertainty regarding Argentina
has been mitigated but improvement is 
more likely to occur in the second half. 
Chile appears to have stabilised. Despite 
this somewhat uneven outlook, and barring
a severe economic setback, we look 
to continue the good progress of recent
years founded on our existing broad
geographic spread, end-use balance and
cost/margin focus.

CRH 23

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 24

British
Columbia

Alberta

Quebec

Ontario

Washington

Montana

North
Dakota Minnesota

Michigan

Vermont

Maine

New Hampshire
Massachusetts

Idaho

Wyoming

South
Dakota

Wisconsin

New York

Connecticut

Pennsylvania
Maryland

New Jersey

Ohio

West 
Virginia

DC

Virginia

Iowa

Indiana

Illinois

Missouri

Kentucky

Utah

Colorado

Arizona

New
Mexico

Oklahoma

Texas

Louisiana

Tennessee

North Carolina

South Carolina

Alabama

Georgia

Florida

The Products & Distribution Division in 

the Americas operates mainly in the United

States with a growing presence in Canada

and South America. This Division comprises

Oregon

four product groups – Precast, Architectural

Products, Glass and Distribution – each with

leading local and national market positions. In

Nevada

South America, the Division is a major

California

producer of clay products in Argentina and

has glass tempering businesses in Argentina

and Chile. Together with the Materials

Division, CRH is a national leader across the

US in the manufacture and distribution of

primary construction materials and value-

added building products. This Division

employs 13,000 people in over 300 locations. 

Product end-use

15%       Infrastructure

40%                  Non-residential

45%        Residential  

Chile

Argentina

Products and 
services

Annualised Market leadership 

production volumes

positions

Precast concrete products Canada, US

2.4 million tonnes No.1 in US 

Lightweight aggregate

US

0.9 million tonnes

Concrete masonry, pavers,  Canada, US
rooftiles

5.2 million tonnes No.1 masonry and paving in US

No.1 paving in Canada

Clay bricks, pavers, tiles

Argentina, US

1.2 million tonnes No.1 bricks producer in northeast US

No.1 rooftiles in Argentina
No.3 wall and floor tiles in Argentina

Glass fabrication

Argentina, Canada, 13.7 million square metres No.1 custom tempered glass 
Chile, US

fabricator in US

Roofing, siding and related  US
products

101 branches No.3 distributor

24 CRH

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 25

Development strategy

To consolidate and expand from
existing strong positions ensuring
balanced growth across products and
regions, focusing on capturing size, IT
and best practice benefits; building
profitable, safe, environmentally
responsible businesses with key
strategic advantages.

Architectural Products

• Integrate and develop the clay bricks

and paver businesses

• Grow with and serve homecenter

expansion through an increasing array
of garden and patio products

Distribution

• Leverage IT investment and

infrastructure to continue improving the
existing business

• Acquire opportunistically to in-fill

regionally leading to national coverage

Glass

• Edge expansion through new products,

services and regions

• Manage industry trends through cost
control, organic growth and superior
customer service

Precast

• In-fill geographic coverage through

acquisition or greenfield

• Pursue new product and new region

opportunities

South America

• Build on existing clay and glass
businesses through selective
investment

• Continued focus on cost control and

market initiatives in a difficult economic
cycle

Top: Strescon Industries produced antique
white, sandblasted precast concrete spandrel
panels for this office building in Columbia,
Maryland. Strescon customised the finish to
match nearby buildings and helped design 
the panel anchorage to give an attractive
exterior unbeatable for construction speed
and economy.

Left: Hilton Hotel, Buenos Aires, Argentina.
Superglass, CRH Sudamericana’s glass
fabrication operation, supplied 800 square
metres of insulated tempered glass. 1,400
square metres of 12mm tempered glass 
was also supplied for the façade. This is 
the biggest suspended glass structure in
South America.

CRH 25

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 26

F I N A N C E   R E V I E W

Results

The strong growth in sales of 32%, in trading profits of 34% and
in pre-tax profits of 22%, before exceptional items in 1999, has
been highlighted elsewhere in the Annual Report. The key
components of 2000 performance are analysed in Table 1 below.

Exchange translation effects

The average 2000 euro exchange rate was 15% and 8% weaker
versus the US Dollar and Sterling respectively than in 1999
resulting in a net positive profit before tax translation impact of 
§54 million. 

Incremental impact of acquisitions

The incremental 2000 effect of 1999 acquisitions principally
reflects the impact of Finnsementti/Lohja Rudus in Finland and
Dell, Millington and Thompson-McCully in the US, all of which
were acquired in July 1999. A strong Finnsementti/Lohja Rudus
contribution was offset by a lower contribution from Thompson-
McCully in 2000 compared with 1999 due to the first time
inclusion of seasonally low first half trading results and
unrecovered bitumen and energy cost increases in its asphalt
intensive operations. These factors, combined with higher full year
goodwill amortisation and financing costs, resulted in a reduced
overall contribution in 2000 from 1999 acquisitions at the profit
before tax level. 

The 2000 acquisitions impact principally reflects strong acquisition
activity in the US Materials, Precast and Architectural products
groups plus acquisitions in rooflights and concrete products in

Table 1           Key components of 2000 performance

Harry Sheridan

Mainland Europe. The acquisition of the Jura Group in
Switzerland, completed at end-November, had only a modest
impact in 2000. 

Impact of business disposals

The combined impact of the disposals of Keyline, effective end-
May 1999, and of our Northern Ireland plant sales and
engineering division, effective October 1999, and the closure of
the Price & Pierce timber trading activity in Britain during 2000, is
separately disclosed. 

Ongoing operations

Higher interest rates offset the benefits of the §345 million
September share placing resulting in a nil finance cost impact.
Ongoing activities contributed circa 40% of the total increase in
profit before tax. 

The strong growth in earnings and cash earnings per share and
net dividend over a five and ten-year period are highlighted in
Table 2.

Financial indicators

Some key financial indicators which, taken together, are a
measure of performance and financial strength, are set out in
Table 3. 

The Group regards interest cover based ratios as more
meaningful measures of financial capacity than the ratio of debt
to shareholders’ funds as they match the earnings and cash
generated by a business to the underlying funding costs. 

§ million

Sales

EBITA

Goodwill amortisation

Trading profit

Finance costs

Profit before tax

Change

1999*

6,734

684

(20)

664

(93)

571

Exchange
translation
effects

627

65

(1)

64

(10)

54

9%

Incremental effect in 2000
of acquisitions &  investments 
completed during

1999

470

27

(12)

15

(36)

(21)

(4%)

2000

1,039

110

(10)

100

(60)

40

7%

Trading impact
of business
disposals

Ongoing

(270)

(11)

–

(11)

8

(3)

–

270

56

–

56

–

56

10%

2000

8,870

931

(43)

888

(191)

697

22%

* note: 1999 figures exclude exceptional items

26 CRH

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 27

The Group’s increased utilisation over recent years of its significant
debt capacity as part of a planned acquisition programme is
reflected in lower, but still very comfortable, levels of interest cover.
The reduction in return on average capital employed reflects the
impact of the larger acquisitions of recent years which have slightly
diluted overall returns on total invested capital. Return on average
equity has benefited from the increased use of the Group’s debt
capacity and, though lower than the 1999 level, is ahead of 1998. 

reflects the acquisition of The Shelly Company in February, the
rooflights division of Yule Catto in May, the Dolomite Group and
Northern Ohio Paving in June, the Jura Group in November plus
over 60 other traditional small to medium-sized bolt-on deals.

The increased depreciation and amortisation charge reflects the
impact of acquisitions completed in 1999 and 2000 and the high
levels of capital expenditure in both years. 

Cash generation

Cash earnings per share increased by 27% in 2000, and the strong
cash generation characteristics of the Group combined with the net
proceeds of §345 million from the 5% share placing in September
2000 enabled us to spend a total of §2,035 million on acquisitions,
investments and capital projects with only a §951 million increase 
in net debt. Table 4 below summarises CRH’s cash flows for 2000
and 1999.

The §1,605 million acquisitions and investments spend for 2000

Proceeds from share issues principally reflect the §345 million
September 2000 share placing augmented by issues under Group
share option, share participation and scrip dividend schemes.

Control of working capital levels remained a key priority across our
operations once again resulting in a relatively modest outflow
despite the increasing scale of the Group’s operations. 

Capital expenditure increased in absolute terms compared with 1999
reflecting both the expansion of the Group and significant expenditure
on projects to expand existing capacity across the Group’s operations.

Table 2     Compound average growth rates

Table 4      Cash flow

Sales

Earnings per share

Cash earnings per share

Net dividend

5 year

10 year

§ million
Inflows

29%

23%

27%

15%

18%

16%

17%

12%

Profit before tax 
(excluding exceptional items in 1999)

Depreciation/amortisation

Disposals

Share issues

Table 3      Key financial indicators

Interest cover - 
EBITDA basis (times)

Interest cover - 
EBIT basis (times)

2000

1999

1998

Outflows

6.7

10.1

14.4

Working capital

Capital expenditure

4.6

7.2

10.5

Acquisitions & investments

Debt to shareholders’ funds ratio (%)

83.8

73.9

39.2

Debt to year-end market 
capitalisation ratio (%)

Tax rate (%)

31.9

19.9

12.8

27.8

26.6

24.4

Return on average capital employed* (%)

16.3

17.5

18.5

Return on average equity* (%)

16.6

18.3

16.5

Note: 1999 figures exclude exceptional items    
*after goodwill amortisation

Dividends

Tax paid

Other

Net outflow

Translation adjustment

Increase in net debt

2000

1999

697

395

41

378

571

275

331

35

1,511

1,212

(75)

(47)

(430)

(360)

(1,605)

(1,421)

(82)

(140)

(23)

(71)

(160)

(14)

(2,355)

(2,073)

(844)

(107)

(951)

(861)

(79)

(940)

CRH 27

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 28

Capital expenditure of §430 million represented 4.9% of sales
(1999: 5.5%) and amounted to 1.22 times depreciation (1999:
1.41 times).

Exchange rate movements between end-1999 and end-2000
increased the euro amount of net foreign debt by §107 million
principally due to the 8% devaluation of the euro against the 
US Dollar. 

Share price

The Company’s Ordinary Shares traded in the range §15.95 to
§21.95 during 2000. The year-end share price was §19.82
(1999: §21.40). Despite good growth in earnings and dividends,
stock market uncertainties saw shareholder return for the year at
a negative 6%, with the impact of the share price decline only
partly offset by dividends. This compares with a gross return of
47% (dividends and capital appreciation) in 1999, 43% in 1998
and 37% in 1997.

interest rates on approximately 50% of Group net debt. At the
end of 2000, 46% of the Group’s net debt was at interest rates
which were fixed for an average period of 5.6 years. US Dollars
accounted for approximately 56% of net debt at the end of 2000
and 48% of the Dollar component of net debt was at fixed rates. 

CRH’s activities are conducted principally in the local currency of
the country of operation. The primary foreign exchange risk arises
from the fluctuating value of the Group’s net investment in
different currencies. The Group’s policy has been to spread the
Group’s net worth across the currencies of the different
operations and thereby to reduce exposure to any one currency.
We believe that this is an appropriate policy for an international
Group with international shareholders. 

The bulk of the Group’s net worth is denominated in the world’s
two largest currencies – the US Dollar and the euro – which
together accounted for 84% of the Group’s net worth at end-
2000.

CRH is one of nine building materials companies included in the
FTSE Eurotop 300, a market capitalisation weighted index of
Europe’s largest 300 companies. At year-end 2000, CRH’s
market capitalisation of §8.2 billion (1999: §8.4 billion) placed it
amongst the top four building materials companies worldwide.

The weakening of the euro during 2000 resulted in a positive
§91 million currency translation effect on shareholders’ funds
mainly arising on US Dollar net assets. This positive effect is
stated net of the §107 million adverse translation impact on net
foreign debt already referred to above.

Financial risk management

The Group uses financial instruments throughout its businesses:
borrowings, cash and liquid resources are used to finance the
Group’s operations; trade debtors and creditors arise directly
from operations; and derivatives, principally interest rate and
currency swaps and forward foreign exchange contracts, are
used to manage interest rate risks and to achieve the desired
currency profile of borrowings. The Group does not trade in
financial instruments. 

Liquid resources 

In October, the Group completed a US$435 million debt funding
in the US Private Placement market for the purpose of financing
acquisition activity, enhancing the maturity profile of the Group’s
debt and broadening its sources of finance. The funding involved
tranches of 7, 10, 12, and 15-year fixed rate debt. 

The Group holds significant cash balances which are invested on
a short-term basis. At year-end 2000, 97% of the Group’s cash,
short-term deposits and liquid resources had a maturity of six
months or less.

In addition, at year-end 2000, 97% of the Group’s gross debt
was drawn under committed term facilities, 76% of which mature
after more than one year, and the Group held §124 million of
undrawn committed facilities.

Interest and currency management

The Group’s policy is to fix interest rates on a proportion of the
Group’s medium to long-term net debt exposure in individual
currencies. In recent years, the Group’s target has been to fix

Note 21 to the financial statements provides a detailed breakdown
of debt and capital employed by currency.

Interest and currency sensitivity

The Group monitors its exposure to changes in interest and
exchange rates by estimating the impact of possible changes on
reported profit before tax and net worth. The Group accepts
interest rate and currency risk as part of the overall risks of
operating in different economies and seeks to manage these
risks by following the policies set out above.

We estimate that the maximum effect of a rise of one percentage
point in one of the principal interest rates to which the Group is
exposed, without making any allowance for the potential impact
of such a rise on exchange rates, would be a reduction in profit
before tax for 2000 of approximately 2%.

A strengthening of the euro by 10% against all the other
currencies the Group operates in would, when reported in euro,
reduce the Group’s year-end 2000 net worth by an estimated
§196 million and year-end 2000 net debt by §201 million.

Summary

The strong cash generation characteristics of the Group,
combined with the net proceeds of the share placing in
September 2000, enabled us to spend a total of over §2 billion
during 2000 on acquisitions, investments and capital
projects while increasing debt by §951 million. This inevitably
had an impact on our EBITDA interest cover which has reduced
from 10.1 times in 1999 to 6.7 times in 2000. We enter 2001
with a balanced mix of fixed and floating rate debt and currency 
net worth.

28 CRH

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 29

R E S U LT S   I N   B R I E F   B Y   C U R R E N C Y

Turnover*

Republic of Ireland

§ million

US$ million

Stg£ million

2000

1999

2000

1999

2000

1999

670.7

599.8

619.5

639.3

408.8

395.1

Britain & Northern Ireland

697.8

847.6

644.4

903.4

425.3

558.3

Britain & Northern Ireland

56.1

59.6

51.8

63.5

138.5

114.7

127.9

122.2

2,031.2

1,580.9

1,876.0

1,684.9

1,238.0

1,041.3

5,470.1

3,705.5

5,052.2

3,949.3

3,334.0

2,440.8

8,869.8

6,733.8

8,192.1

7,176.9

5,406.1

4,435.5

84.4

34.2

97.3

75.5

39.3

68.5

159.6

104.0

147.4

110.8

533.4

385.1

492.6

410.5

325.1

253.7

887.6

663.4

819.7

707.0

541.0

437.0

–

64.2

–

68.4

–

42.3

(190.9)

(92.7)

(176.3)

(98.8)

(116.4)

(61.1)

696.7

634.9

643.4

676.6

424.6

418.2

Mainland Europe

The Americas

Trading profit*

Republic of Ireland

Mainland Europe

The Americas

Trading profit

Exceptional items

Interest payable

Profit before taxation

*by destination

Basic earnings per share, excluding exceptional

items in 1999**

Dividend per share**

124.92c

106.51c

115.38c

113.52c

76.14p

70.16p

22.80c

20.00c

21.06c

21.32c

13.90p

13.17p

Cash earnings per share**

223.94c

177.00c

206.83c

188.65c

136.49p

116.59p

Dividend cover excluding exceptional

items in 1999 (times)

5.34

5.29

5.34

5.29

5.34

5.29

Effective average rates of exchange euro 1 =

0.9236

1.0658

0.6095

0.6587

**euro cent/equivalent

CRH 29

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 30

E N V I R O N M E N TA L   R E V I E W

“The Group Environmental Policy requires our location
managers to comply with all applicable environmental
legislation, to continuously improve in line with best
industry practice and to be good neighbours in every
community in which we operate. The year 2000 again
saw solid progress on these objectives.”

cement kilns and recycled oil in asphalt plants. We restored (see
example below) or landscaped another 350 hectares (875 acres) 
of worked-out quarries and pits and planted 135,000 trees,
demonstrating our ongoing commitment to sustainability. We have a
progressive policy in fostering open days for neighbours, students and
interested stakeholders, particularly at our larger Materials locations in
both Europe and in the US. These open days, together with
continuing support for a broad range of local community initiatives, are
already yielding positive results.

Our compliance record 

Awards

Environmental compliance is a dynamic process in CRH, continually
challenged by rapid Group growth and universally intensifying
legislation. The year 2000 internal review, carried out through the
Group Technical Advisor and internal network of Environmental Liaison
Officers, again confirmed our success in meeting these twin
challenges. There was a high degree of compliance in all 1,300
locations in our 19 countries of operation, and any minor deficiencies
were or are being rectified. The many recent acquisitions were
subjected to careful due diligence, as is our custom. Over 100 of our
locations have in addition chosen to consolidate their compliance
achievements through external ISO14001 certification; more will follow
in 2001. 

Continuously improving

We invested another §34 million in a large number of plant
environmental improvements, with the immediate objective of further
abating emissions and steadily striving for industry best practice. We
recycled 2.7 million tonnes of used road materials into our asphalt
products and 9.0 million tonnes of secondary materials such as
demolition waste, fly-ash and slag into our concrete products, with
significant commercial and environmental benefit. We reduced primary
energy demand through the use of alternative fuels such as tyres in

We have continued to enter industry competitions with significant
success. In Ireland, Roadstone’s Bunratty Quarry won an accolade
from the European Aggregates Association as the “Irish Quarry of the
Year”. In Northern Ireland, Farrans Construction won an Edmund
Hambly Medal for environmentally innovative construction of the
.
zarów
Duncrue Water Treatment Works. In Poland, Cementownia O
won a “Cleaner Production” Award from the Government, as well as
hosting a conference on “Ecology in the Region of Opatów”. In the
US, our Materials Group won no less than 22 Awards in 2000 from
the National Stone Association, including the only two coveted Gold
Eagle Awards for Excellence, won by Tilcon New York’s Oxford and
Millington quarries. We also won 32 Awards from the National Asphalt
Pavement Association, including three of its prized Ecological and
Community Involvement Awards, again significantly out-performing all
our peers. We are committed to further developing these successful
initiatives in the future.

Crop workers picking tomatoes grown on reclaimed land. This previously
quarried area is part of a Shelly Materials sand and gravel pit located in Meigs
County in southern Ohio, the heart of Ohio’s produce farming region. Shelly
Materials received a reclamation award for their unique reclamation plan which
returned the land to the area’s produce farmers.

30 CRH

4970 CRH Annual Report 2000  26/3/01  11:25 am  Page 31

H U M A N   R E S O U R C E S

“Investing in people is key to the continued success of
the Group, and the development of future business
leaders, with the necessary drive, ambition and ability
to succeed in a highly competitive environment, is a
key priority for CRH.”

Organisation

We have structured our organisation on a decentralised basis, giving
local management a high degree of individual responsibility and
operating autonomy. A lean corporate centre provides overall support,
financial control and strategic direction. This structure achieves strong
local operations combined with the ability to share other resources
and expertise across the Group in an effective manner. The structures
have continued to evolve with the development of the business to
support local competitiveness and innovation with shared IT, finance,
human resources and other specialist expertise.

A federal Group

A well-established hallmark of CRH is the federal nature of the Group,
allowing considerable autonomy at local level for individual managers
as well as providing the advantages of a large organisation. This tried
and tested approach allows people to identify with their own local
company as well as the Group and is particularly valuable in ensuring a
high level of motivation and staff retention throughout the organisation. 

regularly to assist Group companies in achieving and maintaining the
highest international standards. Internal and external benchmarking is
used to support and monitor the results of safety initiatives throughout
the Group.

Developing future leaders

As part of the ongoing leadership development process, a formal
review of human resources is regularly undertaken in each of the four
operating Divisions and at headquarters. This analysis is carried out
under the direction of the head of each Division, with support from
Group human resources, and is reviewed by the CEO and Board. The
primary objective is to enable the Group to meet its future leadership
requirements in a planned way.

A key component of our leadership development strategy remains the
recruitment of highly qualified individuals into the Group’s development
teams worldwide. This has proved to be very effective in continually
strengthening the management team, providing an ongoing stream of
highly qualified and motivated leaders.

A number of leadership development initiatives including the
international Graduate Trainee Programme have been established and
a Young Managers Training Programme was run on a pilot basis in
Europe Materials in 2000. This pilot was extremely successful and it is
planned to extend this programme across the Group as appropriate.

Health and safety

Continuous improvement in the provision of a safe and healthy work
environment is a key objective for all CRH Divisions. The cornerstone
of this initiative remains the Safety Best Practice groups, which meet

The Gamma store in Vlaardingen was enlarged, restyled and reopened 
in May 2000. Gamma is a DIY market leader in the Netherlands. The picture
shows store manager Maarten de Beer and his store personnel outside 
the store.

CRH 31

4970 CRH Annual pg32-35 for pri  26/3/01  11:32 am  Page 1

B O A R D   O F   D I R E C T O R S

Jack Hayes      Liam O’Mahony       David Kennedy       David Dey       Tony O’Brien                                        Pat Molloy

Board Committees

Acquisitions
P.J. Molloy, Chairman,
D. Dey, D. Godson, 
J.J. Hayes, K. McGowan, 
A. O’Brien, W.I. O’Mahony, 
H.P. Sheridan

Audit
K. McGowan, Chairman,
D. Dey, D. Godson, 
H.E. Kilroy, A. O’Brien

Finance
P.J. Molloy, Chairman,
J.J. Hayes, D.M. Kennedy, 
W.I. O’Mahony, H.P. Sheridan 

Nomination
P.J. Molloy, Chairman,
B.T. Alexander, D.M. Kennedy, 
H.E. Kilroy, W.I. O’Mahony,
W.P. Roef

Remuneration
P.J. Molloy, Chairman,
B.T. Alexander, D.M. Kennedy, 
H.E. Kilroy, W.P. Roef

Senior independent Director
D.M. Kennedy

B.T. Alexander*
Barbara Alexander became a non-
executive Director in 1999. A US 
citizen, she had a long career as a
leading building sector analyst and
investment banker. She retired as a
Managing Director of Warburg Dillon
Read, New York in 1999 and is
currently a Senior Advisor with that
organisation. She is a director of
Centex Corporation, an Executive
Fellow of the Joint Center for
Housing Studies at Harvard
University, a past Chairman of the
Board of Directors of that group and
a member of that Board’s Executive
Committee.   (Aged 52).

H.E. Kilroy*
Howard Kilroy became a non-
executive Director in 1995. He is a
director of Jefferson Smurfit Group
plc, Smurfit-Stone Container
Corporation and Arnotts plc.  
(Aged 64).

D. Dey*
David Dey became a non-executive
Director in 1995. After a long career
with IBM Corporation, he served as
Managing Director of a division of
Plessey PLC and subsequently as
Managing Director of a major 
subsidiary of BT PLC. He was also
a main board director of both 
companies. He is Chairman of TfB
Group Limited and a director of
Scottish Amicable plc.   (Aged 63).

D. Godson*
BE Mech., MIE, FIEI
Don Godson joined CRH as Develop-
ment Manager in 1968 having worked
with a number of leading US, UK and
Irish companies. He moved to the US
in 1977 to set up a Group presence
there and became Chief Executive of
US operations in 1978. He joined the
CRH Board in 1980 and was
appointed Group Chief Executive in
1994, a position he held until the end
of 1999. He is also a director of Allied
Irish Banks plc, Project Management
Limited and the Graduate School of
Business UCD.   (Aged 61).

K. McGowan*
Kieran McGowan became a non-
executive Director in 1998. He
retired as Chief Executive of IDA
Ireland in December 1998. He is
Chairman of the Irish Management
Institute and a director of a number
of companies including Elan
Corporation plc, Enterprise Ireland
and Irish Life & Permanent plc.
(Aged 57).

P.J. Molloy*
Chairman
Pat Molloy became Chairman of
CRH in 2000 having been a non-
executive Director since 1997. He
is a member of the Court of Bank
of Ireland, Chairman of Bristol and
West plc, the Blackrock Clinic and
Enterprise Ireland and a director of
Eircom plc. He retired as Group
Chief Executive of Bank of Ireland
in January 1998.   (Aged 62).

32 CRH

4970 CRH Annual pg32-35 for pri  26/3/01  11:33 am  Page 2

Kieran McGowan    Harry Sheridan    Barbara Alexander    Brian Griffin    Howard Kilroy    Don Godson               Brian Hill      Wil Roef     

B.E. Griffin
BSc
Managing Director
CRH Europe Materials
Brian Griffin joined CRH in 1969.
Before joining the Group he worked
in the engineering and mining
industries in the UK and Africa. 
He has held a number of senior
management positions within the
Group, including Managing Director
of Irish Cement Limited. He was
appointed Managing Director of
CRH Ireland in 1994, joined the
CRH Board in 1996 and was
appointed to his current position 
in 1998.   (Aged 58).

A. O’Brien*
FCMA, FCIS
Tony O’Brien became a non-
executive Director in 1992. He is
Group Managing Director of Cantrell
& Cochrane Group Ltd. He is also
Chairman of Anglo Irish Bankcorp
plc and is a past President of The
Irish Business and Employers
Confederation.

(Aged 64).

J.J. Hayes*
BComm, MBA, FCA, FCT
Jack Hayes joined CRH as Chief
Financial Officer in 1968. He
became a Director in 1975 and
was appointed Managing Director
Finance and Development in 1987,
a position he held until his 
retirement in 1994. He is Chairman
of Unidare plc and of the Advisory
Committee of ACT Development
Capital and a director of Goldman
Sachs Funds plc.   (Aged 66).

W.I. O’Mahony
BE, BL, MBA, FIEI
Chief Executive
Liam O’Mahony joined CRH in 1971,
prior to which he worked as a civil
engineer in Ireland and the UK. 
He has held senior management
positions including Chief Operating
Officer of US operations and
Managing Director, Republic of
Ireland and UK Group companies.
He joined the CRH Board in 1992,
was appointed Chief Executive,
Oldcastle, Inc. in November 1994
and was appointed Group Chief
Executive with effect from 1st
January, 2000.   (Aged 54).

B.G. Hill
BE, MEngSc, MBA
Group Managing Director
CRH Europe Products & Distribution
Brian Hill joined CRH in 1971 and
has worked in senior management
positions in Ireland, the UK and
Mainland Europe. He became a
CRH Board Director in 1990 and
was appointed to his current 
position in 1998. Based in the
Netherlands, he is responsible for
managing and developing the
Group’s products and distribution
businesses throughout Europe.  
(Aged 56).

W.P. Roef*
Wil Roef became a non-executive
Director in 1995. A Dutch national,
he is a former Chief Executive
Officer of Desseaux nv and a former
member of the management board
of DLW ag in Germany. He has
served on the Supervisory Board of
CRH Nederland bv since 1990 and
as Chairman of the Supervisory
Board of Heras since December
1985.   (Aged 63).

D.M. Kennedy* 
MSc
David Kennedy became a non-
executive Director in 1989. He is a
director of a number of companies
in Ireland and overseas, including
Trans World Airlines Inc., Lifetime
Assurance, Jurys Doyle Hotel Group
plc, Bon Secours Health System
Limited and Chairman of Drury
Communications Ltd. He was
formerly Chief Executive of 
(Aged 62).
Aer Lingus plc.

H.P. Sheridan
BComm, MBA, FCA
Finance Director
Harry Sheridan joined CRH in 1967.
Prior to this he worked in the motor
industry and in a professional
accountancy practice. He held 
various senior management 
positions in the financial area of the
Group and was appointed Finance
Director in 1987. He is a former
President of the MBA Association.
He is Chairman of Gartmore Irish
Growth Fund PLC and a director of 
The Irish Stock Exchange Limited.
(Aged 57). 

*Non-executive

CRH 33

4970 CRH Annual pg32-35 for pri  26/3/01  11:33 am  Page 3

More than 30,000 square metres of
Forticrete Yorkstone Architectural
Masonry has played a strategic role 
in creating the distinctive impact of 
the prestigious new Joint Services
Command and Staff College, at
Shrivenham, near Swindon. The college
will be the Ministry of Defence’s
foremost learning facility for future
commanders of the British Royal Navy,
Army and Royal Air Force.

34 CRH

4970 CRH Annual pg32-35 for pri  26/3/01  11:33 am  Page 4

C O R P O R AT E   G O V E R N A N C E

The Directors are committed to maintaining the highest standards of
corporate governance and this statement describes how CRH
applies the Principles of Good Governance set out in the Combined
Code, derived by the Committee on Corporate Governance from the
Committee’s Final Report and from the Cadbury and Greenbury
Reports.

Board composition 

It is the practice of CRH that a majority of the Board comprises non-
executive Directors and that the Chairman be non-executive. At
present, there are four executive and ten non-executive Directors.
Two non-executive Directors are former executives of the Company
- see biographical details on pages 32 and 33. All of the Directors
bring independent judgement to bear on issues of strategy,
performance, resources, key appointments and standards. The
Board meets regularly throughout the year and all Directors have full
and timely access to the information necessary to enable them to
discharge their duties. There is a formal schedule of matters
reserved to the Board for consideration and decision but other
matters are delegated to Board Committees. Membership of the
Committees is set out on page 32.

The Acquisitions Committee has the power to approve acquisitions
and capital expenditure projects within limits agreed by the Board.

The Audit Committee, which comprises only non-executive
Directors, meets a minimum of five times per year.  Its brief is to
review the interim and annual financial statements, internal control
matters and the scope and effectiveness of internal and external
audit.  The Finance Director and Internal Audit Director normally
attend meetings of the Committee, while the external auditors attend
as required and have direct access to the Committee Chairman at
all times.

The Finance Committee advises on financial and accounting
policies and practices.

The Nomination Committee advises Board on all Board
appointments.

The Remuneration Committee, which consists solely of non-
executive Directors, determines the Group’s policy on executive
remuneration and considers and approves salaries and other terms
of the remuneration package for the executive Directors.

Senior independent Director David Kennedy was appointed as the
senior independent Director with effect from 23rd February, 2000.

Directors’ remuneration   

The Board’s report on Directors’ remuneration is set out on pages
38 to 43.

Communications with shareholders

Communications with shareholders are given high priority and there
is a regular dialogue with institutional shareholders, as well as
presentations at the time of the release of the annual and interim
results. The Company’s website, www.crh.com, provides the full text
of the Annual and Interim Reports, the Form 20-F, which is filed
annually with the US Securities and Exchange Commission, and
copies of presentations to analysts and investors. News releases are
made available, in the pressroom section of the website,
immediately after release to the Stock Exchanges.

The Company’s Annual General Meeting affords individual

shareholders the opportunity to question the Chairman and the
Board. In addition, the Company responds throughout the year to
numerous letters from shareholders on a wide range of issues.

Internal control

The Directors have overall responsibility for the Group’s system of
internal control and for reviewing its effectiveness. Such systems are
designed to manage rather than eliminate the risk of failure to
achieve business objectives and can only provide reasonable and
not absolute assurance against material misstatement or loss.

The Directors confirm that since the first quarter of 2000, the Group’s
ongoing process for identifying, evaluating and managing its
significant risks is in accordance with the Turnbull guidance (Internal
Control: Guidance for Directors on the Combined Code, published
in September 1999). The process has been in place up to the date
of approval of the Annual Report and financial statements.

Group management has responsibility for major strategic
development and financing decisions. Responsibility for operational
issues is devolved, subject to limits of authority, to product group
and operating company management. Management at all levels is
responsible for internal control over the respective business
functions that have been delegated. This embedding of the system
of internal control throughout the Group’s operations ensures that
the organisation is capable of responding quickly to evolving
business risks, and that significant internal control issues, should they
arise, are reported promptly to appropriate levels of management.

The Board receives, on a regular basis, reports on the key risks to
the business and the steps being taken to manage such risks. It
considers whether the significant risks faced by the Group are being
identified, evaluated and appropriately managed, having regard to
the balance of risk, cost and opportunity. In addition, the Audit
Committee meets with internal auditors on a regular basis and
satisfies itself as to the adequacy of the Group’s internal control
system. The Audit Committee also meets with and receives reports
from the external auditors. The Chairman of the Audit Committee
reports to Board on all significant issues considered by the
Committee and the minutes of its meetings are circulated to all
Directors.

The Directors confirm that they have conducted an annual review of
the effectiveness of the system of internal control up to and including
the date of approval of the financial statements. This had regard to
the processes for identifying the principal business risks facing the
Group, the methods of managing those risks, the controls that are in
place to contain them and the procedures to monitor them.

Going concern      

After making enquiries, the Directors have a reasonable expectation
that the Company, and the Group as a whole, have adequate
resources to continue in operational existence for the foreseeable
future. For this reason, they continue to adopt the going concern
basis in preparing the financial statements.

Compliance   

The Directors confirm that, except for the timing of the appointment
of the senior independent Director and of the implementation of the
Turnbull guidance on internal control as noted above, the Company
has complied throughout the accounting period with all of the
provisions of the Combined Code.

CRH 35

4970 Fin S PG 36-40,75-88  26/3/01  11:36 am  Page 1

36 CRH

D I R E C T O R S ’   R E P O R T

The Directors submit their report and financial statements for the
year ended 31st December, 2000.

Accounts and dividends

Group turnover at §8,870 million was 32% higher than in 1999.
Group profit on ordinary activities before taxation amounted to
§697 million, an increase of §62 million on the previous year. 1999
profit on ordinary activities before taxation included a net
exceptional profit of §64.2 million, comprising a profit on disposal of
Keyline Builders Merchants partly offset by a write-down in the
carrying value of fixed assets at Premier Periclase. No exceptional
items arose in 2000. Group profit after taxation increased by 10%.
Basic earnings per share amounted to 124.92 cent compared with
116.38 cent, including exceptional items in the previous year, an
increase of 7.3%. Excluding 1999 exceptional items, basic earnings
per share increased by 17.3%. 

An interim dividend of 6.70 cent (1999: 5.90 cent) per share was
paid in November 2000. It is proposed to pay a final dividend of
16.10 cent per share on 14th May, 2001 in respect of the Ordinary
Shares and Income Shares to shareholders registered at close of
business on 16th March, 2001. The total dividend of 22.80 cent
compares with 20.00 cent in 1999, an increase of 14%. Shareholders
will have the option of receiving new shares in lieu of cash
dividends.

The retained profit for the year amounted to §404.9 million.  

The financial statements for the year ended 31st December, 2000
are set out in detail on pages 46 to 74.

Business review

The total spend of §1.6 billion on business expansion in 2000 was a
new record for the Group. In all, over 60 acquisitions were
completed. The most significant of these deals were The Shelly
Company, an Ohio-based aggregates, asphalt and paving
contractor; Northern Ohio Paving, a significant bolt-on deal for
Shelly; the Dolomite Group, an integrated aggregates, asphalt and
readymixed concrete producer based in Rochester, New York; the
European rooflights business of Yule Catto & Co plc; and the Jura
Group, a major Swiss cement, aggregates and readymixed
concrete producer with a substantial regional building materials
distribution network.

Outlook 2001

At the moment there is considerable uncertainty as to the direction
of world markets, particularly with the US economy showing signs of
correction after a record nine years of continuous growth.

In Ireland, the outlook suggests further growth albeit at more
moderate levels than in recent years. Activity in the UK is likely to
remain relatively flat. In our principal Mainland European countries
we see reasonable growth in 2001. Although US markets look likely
to slow somewhat from recent high levels, we do not expect a major
downturn and investment in infrastructure should be underpinned by
an increasing impetus from the strong Federal TEA 21 highway
funding. Since 31st December, 2000, trading has been satisfactory
and in line with our expectations.

Overall, we expect improvements from our existing businesses and,

4970 Fin S PG 36-40,75-88  26/3/01  11:36 am  Page 2

together with the full year impact of businesses acquired during
2000, we look forward to continued progress in the year ahead.

Increase in authorised share capital

A resolution to increase the aggregate of the authorised Ordinary
share capital and Income share capital from §187,000,000 to
§249,900,000 will be proposed at the Annual General Meeting. The
increase in the authorised share capital is necessary to ensure there
is sufficient share capital available to the Company to operate the
approved employee share schemes and to maintain the authorised
but unissued share capital at a prudent level. The proposed
percentage increase in the authorised Ordinary and Income share
capital is 33.6%.

Authority to allot shares

The Directors require the authority of the shareholders to allot any
unissued share capital of the Company. Accordingly, an authority for
that purpose, valid for a period of five years, will be sought from
shareholders at the Annual General Meeting. The total number of
unissued shares which the Directors have authority to allot and the
percentage which that number represents of that class of the share
capital in issue is as at 5th March, 2001:

Ordinary/Income Shares
5% Cumulative Preference Shares

135,510,755
100,000

32.69%
200%

Corporate governance

Statements by the Directors in relation to the Company’s appliance
of corporate governance principles, compliance with the Combined
Code, the Group’s system of internal control and the adoption of the
going concern basis in the preparation of the financial statements
are set out on page 35.

The report on Directors’ remuneration is set out on pages 38 to 43.

Substantial holdings 

As at 5th March, 2001, the Company had received notification of the
following interests in its Ordinary share capital:

Name

Allied Irish Banks plc 
and its subsidiaries

Bank of Ireland Nominees Limited

Irish Life Assurance plc

Holding

%

19,459,944

22,320,580

22,710,956

4.69

5.38

5.47

Putnam Investment Management, LLC and
The Putnam Advisory Company, LLC

30,498,262

7.35

The Capital Group Companies, Inc. and 
its affiliates

19,597,011

4.72

and, following the allotment of shares in respect of the proposed
Rights Issue and subject to the passing of the resolution at the
Annual General Meeting to increase the authorised share capital, will
be as at 9th May, 2001:

Allied Irish Banks plc, Bank of Ireland Nominees Limited, Putnam
Investment Management, LLC and The Putnam Advisory Company,
LLC and The Capital Group Companies, Inc. state that these shares
are not beneficially owned by them.

Ordinary/Income Shares
5% Cumulative Preference Shares

216,888,444
100,000

41.86%
200%

No issue of shares will be made which could effectively alter control
of the Company without prior approval of the Company in General
Meeting. With the exception of the proposed Rights Issue, the
Directors have no present intention of making any issue of shares.

Disapplication of pre-emption rights

A special resolution will be proposed at the Annual General Meeting
to renew the Directors’ authority to disapply statutory pre-emption
rights in relation to allotments of shares for cash. In respect of
allotments other than for rights issues to ordinary shareholders and
employees’ share schemes, the authority is limited to Ordinary/
Income Shares having a nominal value of §8,807,000, representing
6.25% approximately of the issued Ordinary/Income share capital at
5th March, 2001 and 5% approximately following the allotment of
shares in respect of the proposed Rights Issue. This authority will
expire at the conclusion of the Annual General Meeting in 2002.

Safety, Health and Welfare at Work Act, 1989

CRH pursues an active policy of providing safe systems of work and
safety training for its employees worldwide and safety performance
is regularly reported on to Board. The above Act imposes certain
obligations on employers and appropriate measures have been
taken to ensure that health and safety standards are complied with
at all relevant locations and that all relevant Group companies meet
the requirements of the Act. 

Subsidiary and joint venture undertakings

The Group has over 650 subsidiary and joint venture undertakings.
The principal ones as at 31st December, 2000 are listed on pages
75 to 79.

Auditors

The Auditors, Ernst & Young, are willing to continue in office and a
resolution authorising the Directors to fix their remuneration will be
submitted to the Annual General Meeting.

Board of Directors

Annual General Meeting

Mr. A.D. Barry retired on 3rd May, 2000.

Your attention is drawn to the Notice of Meeting set out on page 85.

Mr. J.J. Hayes will retire from the Board at the Annual General
Meeting on 9th May, 2001.

Mr. D.M. Kennedy, Mr. H.E. Kilroy, Mr. P.J. Molloy and Mr. W.I.
O’Mahony retire from the Board by rotation and, being eligible, offer
themselves for re-election.

On behalf of the Board,
P.J. Molloy, W.I. O’Mahony, Directors
5th March, 2001

CRH 37

4970 Fin S PG 36-40,75-88  26/3/01  11:36 am  Page 3

38 CRH

R E P O R T   O N   D I R E C T O R S ’   R E M U N E R AT I O N

The Remuneration Committee

The Remuneration Committee of the Board consists solely of non-
executive Directors of the Company. The terms of reference for the
Remuneration Committee are to determine the Group’s policy on
executive remuneration and to consider and approve salaries and
other terms of the remuneration packages for the executive
Directors. The Committee receives advice from leading independent
firms of compensation and benefit consultants when necessary and
the Chief Executive is fully consulted about remuneration proposals.
The Chairman’s remuneration is decided in the absence of the
Chairman. Membership of the Remuneration Committee is set out on
page 32.

Remuneration policy

CRH is an international group of companies, with activities in 19
countries. Our policy on Directors’ remuneration is designed to attract
and retain Directors of the highest calibre who can bring their
experienced and independent views to the policy, strategic decisions
and governance of CRH. 

In setting remuneration levels the Remuneration Committee takes
into consideration the remuneration practices of other international
companies of similar size and scope. Executive Directors must be
properly rewarded and motivated to perform in the best interest of
the shareholders. The spread of the Group’s operations requires that
the remuneration packages in place in each geographical area are
appropriate and competitive for that area.  

Performance related rewards, based on measured targets, are a 
key component of remuneration. CRH strategy of fostering
entrepreneurship in its regional companies requires well designed
incentive plans that reward the creation of shareholder value through
organic and acquisitive growth. The typical elements of the
remuneration package for executive Directors are basic salary and
benefits, a cash incentive bonus, a contributory pension scheme and
participation in the share option plan. It is policy to grant options to
key management to encourage identification with shareholders’
interests and to create a community of interest among different
regions and nationalities.

The Group also operates share participation plans and savings-
related share option schemes for eligible employees in all regions
where the regulations permit the operation of such plans.  In total
there are in excess of 2,000 employees of all categories who are
shareholders in the Group.

Executive Directors’ remuneration 

Basic salary and benefits
The basic salaries of executive Directors are reviewed annually
having regard to personal performance, company performance, step
changes in responsibilities and competitive market practice in the
area of operation. Employment related benefits consist principally of
a company car. No fees are payable to executive Directors.

Performance related cash incentive plan
The executive Directors’ cash incentive plan, which can pay a bonus
up to a maximum of 60% of basic salary for meeting clearly defined
and stretch profit targets and strategic goals, comprises five
separate components, based on annual and rolling three-year
performance targets. 

4970 Fin S PG 36-40,75-88  26/3/01  11:36 am  Page 4

The two components related to annual performance are: 

Non-executive Directors’ remuneration

The remuneration of non-executive Directors is determined by the
Board of Directors as a whole. The fees paid to non-executive
Directors are set at a level which will attract individuals with the
necessary experience and ability to make a substantial contribution
to the Company’s affairs and reflect the time and travel demands of
their Board duties.

Pensions

Pensions for executive Directors are calculated on basic salary only
(no incentive or benefit elements are included) and in general aim to
provide two-thirds of salary at retirement for full service. There is
provision for executive Directors to retire at 60 years of age and, in
the case of the Chief Executive, to retire on completion of five years
in the role of Chief Executive.

Since 1991, it has been your Board’s policy that non-executive
Directors do not receive pensions. A defined benefit scheme was in
operation prior to 1991 in which one current non-executive Director
still participates.

Directors’ service contracts

No executive Director has an employment contract extending
beyond twelve months.

Directors’ remuneration and interests in share capital

Details of Directors’ remuneration charged against profit in the year
are given on page 40. Details of individual remuneration and pension
benefits in respect of the year ended 31st December, 2000 are
given on page 41. Directors’ share options and shareholdings are
shown on page 42 and page 43 respectively.

(i)

Individual performance. Strategic priorities and action plans are
agreed at the start of the year, and quantified where possible.
The maximum award is 10% of basic salary.

(ii) Regional and/or Group profitability. Challenging targets generally

in excess of budget are set each year. The maximum award for
this component is 25% of basic salary.

The three components related to rolling three-year performance,
under which the total maximum earnings potential is 25% of basic
salary in each year, are as follows:

(iii) Earnings per share growth targets.

(iv) Return on net assets targets.

(v) Total shareholder returns relative to an independently selected

group of international peers.

In addition the Chief Executive has a special long-term incentive 
plan under which targets have been set for a five-year period.
Exceptionally challenging goals have to be achieved in respect of
total shareholder returns by comparison with a peer group, growth in
earnings per share and the strategic development of the Group. The
total maximum earnings potential is 40% of average basic salary.
While accruals are made on an annual basis there is no commitment
to any payment until the end of the five-year period.

Share Option Scheme
The 1990 Share Option Scheme expired in May 2000. Details of
options granted under that Scheme are set out on page 42. A new
share option scheme was approved by shareholders at the Annual
General Meeting held on 3rd May, 2000. As at 5th March, 2001, no
options have been granted under the 2000 Share Option Scheme.

Under the terms of the 2000 Share Option Scheme, two types of
options are available subject to different performance conditions as
set out below:

(i) Exercisable only when earnings per share (EPS) growth exceeds
growth of the Irish Consumer Price Index by 5% compounded
over a period of at least three years subsequent to the granting
of the options.

(ii) Exercisable if, over a period of at least five years subsequent to
the granting of the options, the Group’s growth in EPS exceeds
growth in the Irish Consumer Price Index by 10% compounded
and places it in the top 25% of EPS performance of a peer group
of international building materials companies. If below the 75th
percentile these options are not exercisable.

The percentage of share capital which can be issued under the
Scheme and individual grant limits comply with institutional
guidelines. Subject to satisfactory performance, options are
expected to be awarded annually, ensuring a smooth progression
over the life of the Share Option Scheme. Grants of share options
are at the market price of the Company’s shares at the time of grant,
and are made after the final results announcement ensuring
transparency.

CRH 39

4970 Fin S PG 36-40,75-88  26/3/01  11:36 am  Page 5

Report on Directors’ remuneration

DIRECTORS’ REMUNERATION

Notes

Notes to Directors’ remuneration

Executive Directors
Basic salary
Cash incentive bonus
Benefits
Other remuneration

1

2

3

Provision for Chief Executive long-term 
incentive plan
Pension fund contributions

Total executive Directors’ remuneration

Non-executive Directors
Fees
Benefits
Other remuneration

1

Total non-executive Directors’ remuneration

4

Payments to former Directors

Total Directors’ remuneration

1

2

3

4

See analysis of 2000 remuneration
by individual on page 41.

As set out on page 39, the Chief
Executive has a special long-term
incentive plan tied to the achievement
of exceptional growth and key
strategic goals. While a provision is
made, there is no commitment to any
payment until after employment to the
full term has been completed. In the
five-year period 1995-1999,
provisions totalling §1,269,738 were
made and this amount was paid to
Mr. Godson, the Chief Executive for
that period, reflecting the
achievement of the goals set out in
his plan.

The pension charge for the year
represents contributions made to
pension funds as advised by
independent actuaries.

Consulting and other fees, none of
significant size, paid to a number of
former Directors.

2000
§’000

1999
§’000

2,045
1,048
76
22
---------------------
3,191

2,284
1,218
71
38
---------------------
3,611

304
481
---------------------
3,976
==========

254
1,101
---------------------
4,966
==========

363
9
409
---------------------
781
==========

311
21
349
---------------------
681
==========

46
==========

4,803
==========

57
==========

5,704
==========

40 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 1

Individual remuneration for the year ended 31st December, 2000

Executive Directors
D. Godson (iv)
B.E. Griffin
B.G. Hill
W.I. O’Mahony
H.P. Sheridan

Non-executive Directors
B.T. Alexander
A.D. Barry (v)
D. Dey
D. Godson (iv)
J.J. Hayes
D.M. Kennedy
H.E. Kilroy
K. McGowan
P.J. Molloy (v)
A. O’Brien
W.P. Roef

Basic salary
and fees

Incentive 
bonus
(i)

Other
remuneration
(ii)

§’000

§’000

§’000

103
388
388
760
406
-------------------
2,045
========

36
12
36
27
36
36
36
36
36
36
36
-------------------
363
========

–
232
147
437
232
-------------------
1,048
========

–
–
–
–
–
–
–
–
–
–
–
-------------------
–
========

–
–
22
–
–
-------------------
22
========

11
54
11
8
117
20
11
11
144
11
11
-------------------
409
========

Benefits
(iii)

§’000

6
21
12
19
18
-------------------
76
========

–
9
–
–
–
–
–
–
–
–
–
-------------------
9
========

Total

§’000

109
641
569
1,216
656
-------------------
3,191
========

47
75
47
35
153
56
47
47
180
47
47
-------------------
781
========

Pension entitlements
Pension benefits earned by Directors during the year and the accumulated total accrued
pension at 31st December, 2000 were as follows:

Executive Directors
B.E. Griffin
B.G. Hill
W.I. O’Mahony
H.P. Sheridan

Non-executive Director
D.M. Kennedy

Increase in 
accrued pension
during 2000
(i)

§’000

Transfer
value of 
increase
(ii)

§’000

Total accrued
pension at
year-end
(iii)

§’000

33
15
36
36

1

458
189
901
499

246
233
448
255

11

9

(i) Incentive bonus The executive
Directors’ cash inventive plan can
pay a bonus of up to a maximum of
60% of basic salary for meeting
clearly defined and stretch profit
targets and strategic goals. The
structure of the incentive plan is set
out on pages 38 and 39.

(ii) Other remuneration
Executive Director: Travel and
housing allowance for Mr. Hill,
based overseas. 
Non-executive Directors: Includes
remuneration for Chairman and for
Board Committee work. Mr. Hayes
received per diem fees for
consultancy services unrelated to
Board or Committee work.

(iii) Benefits Relate to the use of a
company car.

(iv) While stepping down as Chief
Executive at 31st December, 1999, 
Mr. Godson continued as an
executive until 31st March, 2000 to
complete some important projects.
Mr. Godson has been a non-
executive Director from 1st April,
2000.

(v) Mr. Barry retired on 3rd May,
2000. Mr. Molloy succeeded Mr.
Barry as Chairman.

(i) The increase in accrued pension
during the year excludes inflation.

(ii) The transfer value of the
increase in accrued pension has
been calculated on the basis of
actuarial advice. These transfer
values do not represent sums paid
or due, but are the amounts that
the pension scheme would transfer
to another pension scheme in
relation to the benefits accrued in
2000 in the event of the member
leaving service.

(iii) Accrued pension shown is that
which would be paid annually on
normal retirement date, based on
service to the end of the year.

CRH 41

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 2

Report on Directors’ remuneration

DIRECTORS’ INTERESTS

The Company’s Register of Directors’ Interests contains full details of Directors’ shareholdings and options to subscribe for shares.

Directors’ share options
Details of movements on outstanding options and those exercised during the year are set out in the table below:

31st December
1999

Granted
in 2000

Exercised
in 2000

31st December
2000

Weighted average
option price at
31st December
2000

Options  exercised  during  2000

Weighted
average
exercise
price

Weighted
average market
price at date
of exercise

A.D. Barry
D. Godson
B.E. Griffin

J.J. Hayes
B.G. Hill

W.I. O’Mahony

H.P. Sheridan

Options by price 

166,289
332,385
184,636
242,226
233,840
110,000
195,000
329,852
323,580
140,000
245,000
---------------------

2,502,808
==========

–
–
65,000
–
–
50,000
–
100,000
50,000
65,000
–
-------------------

330,000
=========

166,289
132,385
139,636
52,226
233,840
–
–
26,990
78,580
95,000
40,000
-------------------

964,946
=========

–

200,000 (a)
110,000 (a)
190,000  (b)

–

160,000 (a)
195,000 (b)
402,862 (a)
295,000 (b)
110,000 (a)
205,000 (b)

---------------------

1,867,862
==========

§

–
7.17
17.36
11.03
–
12.04
10.48
9.92
12.53
17.36
10.75

§

2.93
3.64
5.84
2.93
2.93

2.93
2.93
7.30
2.93

§

18.93
17.95
20.60
17.43
19.09

17.43
17.43
20.14
20.14

31st December
1999

Granted
in 2000

Exercised
in 2000

31st December
2000

Earliest exercise
date

Expiry
date

Issued under 1990 share option scheme

§
2.50
2.93
2.93
4.51
7.17
7.17
7.78
7.78
7.80
7.80
13.88
13.88
15.99
15.99
16.09
16.09
18.95
18.95

169,883
427,119
170,806
215,000
410,000
285,000
60,000
120,000
25,000
50,000
85,000
170,000
70,000
140,000
35,000
70,000
–
–
---------------------

2,502,808
==========

–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
280,000
50,000
-------------------

330,000
=========

77,021
427,119
170,806
115,000
135,000
–
40,000
–
–
–
–
–
–
–
–
–
–
–
-------------------

964,946
=========

92,862 (a)
–
–
100,000 (a)
275,000 (a)
285,000 (b)
20,000 (a)
120,000 (b)
25,000 (a)
50,000 (b)
85,000 (a)
170,000 (b)
70,000 (a)
140,000 (b)
35,000 (a)
70,000 (b)
280,000 (a)
50,000 (b)

---------------------

1,867,862
==========

March 2001

September 2002

March 2001
March 2001

March 2001

March 2001

April 2001

October 2004
April 2006
April 2006
April 2007
April 2007
April 2007
April 2007
April 2008
April 2008
April 2009
April 2009
April 2009
April 2009
April 2010
April 2010

No options lapsed during the year. The market price of the Company’s shares at 31st December, 2000 was §19.82, and the range during
2000 was §15.95 to §21.95.
(a) These options are only exercisable when earnings per share (EPS) growth exceeds the growth of the Irish Consumer Price Index over a

period of at least three years subsequent to the granting of the options.

(b) These options are only exercisable if, over a period of at least five years subsequent to the granting of the options, the Company’s

growth in EPS would place it in the top 25% of the companies listed in the FTSE 100 Stock Exchange Equity Index.

42 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 3

Directors’ interests in share capital at 31st December, 2000

The  beneficial  interests  of  the  Directors  and  Secretary  in  the  shares  of  the
Company are shown below. Between 31st December, 2000 and 5th March, 2001
there were no transactions in Directors’ and Secretary’s beneficial interests.

Ordinary Shares

31st December
2000

31st December
1999

Directors

B.T. Alexander*
D. Dey
D. Godson
B.E. Griffin
J.J. Hayes
B.G. Hill
D.M. Kennedy
H.E. Kilroy
K. McGowan
P.J. Molloy
A. O’Brien
W.I. O’Mahony
W.P. Roef
H.P. Sheridan
Secretary

A. Malone

1,500
2,203
429,383
240,601
90,217
350,678
42,218
44,445
1,021
6,092
1,926
320,637
1,083
666,369

1,500
2,200
426,230
97,476
36,157
346,680
37,282
44,048
1,011
6,037
1,908
215,067
1,070
630,664

16,531
---------------------

2,214,904
==========

12,661
---------------------

1,859,991
==========

* Ms. Alexander’s shares are held in the form of American Depository Receipts

(ADRs). One ADR represents one Ordinary Share of the Company.

CRH 43

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 4

S TAT E M E N T   O F   D I R E C T O R S ’   R E S P O N S I B I L I T I E S
in respect of the financial statements

Company law in Ireland requires the Directors to prepare financial
statements for each financial year which give a true and fair view of the
state of affairs of the Company and of the Group and of the profit or loss
of the Group for that period. In preparing those financial statements, the
Directors are required to:

•

select suitable accounting policies and then apply them consistently;

• make judgements and estimates that are reasonable and prudent;

•

•

comply with applicable accounting standards, subject to any material
departures disclosed and explained in the financial statements;

prepare the financial statements on the going concern basis unless 
it is inappropriate to presume that the Company, and the Group as 
a whole, will continue in business.

The Directors are responsible for keeping proper books of account
which disclose with reasonable accuracy at any time the financial
position of the Company and which enable them to ensure that the
financial statements are prepared in accordance with accounting
standards generally accepted in Ireland and comply with the provisions
of the Companies Acts, 1963 to 1999, and of the European Communities
(Companies: Group Accounts) Regulations, 1992. They are also
responsible for safeguarding the assets of the Group and hence for
taking reasonable steps for the prevention and detection of fraud and
other irregularities.

44 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 5

A U D I T O R S ’   R E P O R T
to the members of CRH public limited company

We have audited the financial statements on pages 46 to
74 which have been prepared under the historical cost
convention as modified by the revaluation of certain fixed
assets and on the basis of the accounting policies set out
on pages 52 and 53.

Respective responsibilities of Directors and Auditors

The Directors are responsible for preparing the Annual
Report. As described on page 44, this includes
responsibility for preparing the financial statements in
accordance with accounting standards generally
accepted in Ireland. Our responsibilities, as independent
auditors, are established in Ireland by statute, by the
Auditing Practices Board, by the Listing Rules of the Irish
Stock Exchange and by our profession’s ethical guidance.

We report to you our opinion as to whether the financial
statements give a true and fair view and are properly
prepared in accordance with the Companies Acts. We
also report to you our opinion as to: whether proper books
of account have been kept by the Company; whether, at
the balance sheet date, there exists a financial situation
which may require the convening of an extraordinary
general meeting of the Company; and whether the
information given in the Directors’ report is consistent with
the financial statements. In addition, we state whether we
have obtained all the information and explanations we
consider necessary for the purposes of our audit and
whether the Company balance sheet is in agreement with
the books of account.

We report to you if, in our opinion, any information
specified by law or by the Listing Rules of the Irish Stock
Exchange regarding Directors’ remuneration and
Directors’ transactions is not given and, where practicable,
include such information in our report.

We review whether the corporate governance statement
on page 35 reflects the Company’s compliance with the
seven provisions of the Combined Code specified for our
review by the Irish Stock Exchange, and we report if it
does not. We are not required to consider whether the
Board’s statements on internal control cover all risks and
controls, or form an opinion on the effectiveness of the
Company’s corporate governance procedures or its risk
and control procedures.

We read the other information contained in the Annual
Report and consider whether it is consistent with the
audited financial statements. We consider the implications
for our report if we become aware of any apparent
misstatements or material inconsistencies with the
financial statements.

Basis of audit opinion

We conducted our audit in accordance with Auditing
Standards issued by the Auditing Practices Board. An
audit includes examination, on a test basis, of evidence
relevant to the amounts and disclosures in the financial
statements. It also includes an assessment of the
significant estimates and judgements made by the
Directors in the preparation of the financial statements, and
of whether the accounting policies are appropriate to the
Group’s circumstances, consistently applied and
adequately disclosed.

We planned and performed our audit so as to obtain all the
information and explanations which we considered
necessary in order to provide us with sufficient evidence to
give reasonable assurance that the financial statements
are free from material misstatement, whether caused by
fraud or other irregularity or error. In forming our opinion
we also evaluated the overall adequacy of the
presentation of information in the financial statements.

Opinion

In our opinion, the financial statements give a true and fair
view of the state of affairs of the Company and of the Group
as at 31st December, 2000 and of the profit of the Group for
the year then ended and have been properly prepared in
accordance with the provisions of the Companies Acts,
1963 to 1999 and the European Communities (Companies:
Group Accounts) Regulations, 1992.

We have obtained all the information and explanations we
consider necessary for the purposes of our audit. In our
opinion, proper books of account have been kept by the
Company. The Company balance sheet is in agreement
with the books of account.

In our opinion, the information given in the Directors’ report
on pages 36 and 37 is consistent with the financial
statements.

In our opinion, the Company balance sheet on page 49
does not disclose a financial situation which, under the
provisions of the Companies (Amendment) Act, 1983,
would require the convening of an extraordinary general
meeting of the Company.

Ernst & Young
Registered Auditors
Dublin

5th March, 2001

CRH 45

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 6

G R O U P   P R O F I T   A N D   L O S S   A C C O U N T
for the year ended 31st December, 2000

Notes

1

2

Turnover, including share of joint ventures
Less: share of joint ventures

Group turnover
Cost of sales
Exceptional impairment cost

Gross profit
3 Operating costs

11 Goodwill amortisation

4,5 Group operating profit

Share of joint ventures’ operating profit

Operating profit, including share of joint ventures
Profit on disposal of fixed assets
Exceptional profit on disposal of subsidiary

14
2

1

Trading profit, including share of joint ventures

7 Group interest payable (net)

Share of joint ventures’ net interest

Profit on ordinary activities before taxation
Taxation on profit on ordinary activities
Taxation on exceptional items

Profit on ordinary activities after taxation
Profit applicable to equity minority interests
Preference dividends

8
2

9

Profit for the year attributable to ordinary shareholders

9 Dividends paid
9 Dividends proposed

Profit retained for the financial year

10

Earnings per Ordinary Share
- basic
- diluted
Excluding exceptional items in 1999
- basic
- diluted

P.J. Molloy, W.I. O’Mahony, Directors

46 CRH

Continuing operations
----------------------------------------------------
Acquisitions

2000
§m

7,830.9
127.1
----------------

7,703.8
5,225.6
–
----------------

2,478.2
(1,685.4)
(32.8)
----------------

760.0
14.6
----------------

774.6
12.8
–
----------------

787.4
========

2000
§m

1,038.9
40.9
----------------

998.0
719.8
–
----------------

278.2
(169.4)
(10.5)
----------------

98.3
1.9
----------------

100.2
–
–
----------------

100.2
========

Total

2000
§m

8,869.8
168.0
----------------

8,701.8
5,945.4
–
----------------

2,756.4
(1,854.8)
(43.3)
----------------

858.3
16.5
----------------

874.8
12.8
–
----------------

887.6

(190.0)
(0.9)
----------------

696.7
193.7
–
----------------

503.0
4.6
0.1
----------------

498.3
26.7
66.7
----------------

404.9
========

124.92c
122.98c

124.92c
122.98c

Total

1999
§m

6,733.8
134.4
----------------

6,599.4
4,496.0
15.3
----------------

2,088.1
(1,439.0)
(19.6)
----------------

629.5
11.8
----------------

641.3
6.8
79.5
----------------

727.6

(91.8)
(0.9)
----------------

634.9
152.0
25.7
----------------

457.2
3.1
0.1
----------------

454.0
23.3
55.2
----------------

375.5
========

116.38c
114.82c

106.51c
105.08c

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 7

M O V E M E N T S   O N   P R O F I T   A N D   L O S S   A C C O U N T

At 1st January
Profit retained for the financial year (i)
Currency translation effects:
– on results for the year
– on foreign currency net investments
Re-denomination and re-nominalisation of Ordinary/Income Shares (ii)
Goodwill written-back on disposal (note 2)

At 31st December

The profit and loss account is analysed as follows
Parent company
Subsidiary undertakings
Joint ventures
Cumulative goodwill previously written-off directly against reserves

2000
§m
1,496.4
404.9

(4.5)
95.4
–
–
----------------

1,992.2
========

56.4
2,248.6
16.5
(329.3)
----------------

1,992.2
========

1999
§m
887.8
375.5

22.4
156.9
(3.8)
57.6
----------------

1,496.4
========

42.6
1,764.9
18.2
(329.3)
----------------

1,496.4
========

(i) Historical cost profit (after taxation, minority interests and dividends) retained for the financial year does not 

differ materially from reported profit.

(ii) During 1999 and following the introduction of the euro, the Company’s capital was re-denominated from Irish
Pounds into euro, and re-nominalised to the par values indicated in note 25. This resulted in a net increase of 
§3.8 million in the nominal value of the Company’s issued share capital which was matched by a compensating
decrease in distributable reserves during 1999.

S TAT E M E N T   O F   T O TA L   R E C O G N I S E D   G A I N S   A N D   L O S S E S
for the year ended 31st December, 2000

Profit for the year attributable to ordinary shareholders
Currency translation effects:
– on results for the year
– on foreign currency net investments

Total recognised gains and losses for the financial year

2000
§m

498.3

(4.5)
95.4
----------------

589.2
========

1999
§m

454.0

22.4
156.9
----------------

633.3
========

CRH 47

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 8

G R O U P   B A L A N C E   S H E E T
as at 31st December, 2000

Notes

Fixed assets

11 Intangible asset - goodwill

12 Tangible assets

13 Financial assets:

Investment in joint ventures
- share of gross assets
- share of gross liabilities
- loans to joint ventures
Other investments

Current assets

15 Stocks
16 Debtors

Cash, short-term deposits and liquid resources

Creditors (amounts falling due within one year)
Bank loans and overdrafts
17 Trade and other creditors

Corporation tax
Dividends proposed

Net current assets

Total assets less current liabilities

Creditors (amounts falling due after more than one year)

19 Loans
17 Deferred acquisition consideration

Corporation tax

23 Capital grants

24 Provisions for liabilities and charges

Capital and reserves

Called-up share capital

25 Equity share capital
25 Non-equity share capital

Equity reserves

26 Share premium account
26 Other reserves

Profit and loss account

27 Shareholders’ funds

Minority shareholders’ equity interest

P.J. Molloy, W.I. O’Mahony, Directors

48 CRH

2000

1999

§m

§m

§m

§m

954.6

4,550.9

629.2

3,225.8

116.3
(59.3)
15.0
32.0
----------------

903.0
1,535.7
1,361.9
----------------
3,800.6
----------------

1,071.5
1,422.4
34.5
66.7
----------------
2,595.1
----------------

2,910.2
213.6
41.3
----------------

140.9
1.2

930.9
9.9
1,992.2
----------------

106.3
(62.6)
14.2
8.7
----------------

662.3
1,082.5
972.2
----------------
2,717.0
----------------

260.0
1,042.0
39.7
55.2
----------------
1,396.9
----------------

2,381.5
205.5
32.2
----------------

133.1
1.2

561.1
9.9
1,496.4
----------------

66.6
----------------
3,921.6

1,320.1
----------------
5,241.7
========

2,619.2

18.8

365.0

2,201.7

37.0
----------------
5,241.7
========

104.0
----------------
5,609.5

1,205.5
----------------
6,815.0
========

3,165.1

17.3

521.8

3,075.1

35.7
----------------
6,815.0
========

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 9

C O M PA N Y   B A L A N C E   S H E E T
as at 31st December, 2000

Notes

Fixed assets

13 Financial assets

Current assets

16 Debtors

Cash, short-term deposits and liquid resources

Creditors (amounts falling due within one year)

17 Trade and other creditors
Dividends proposed

Net current assets

Total assets less current liabilities

Capital and reserves

Called-up share capital

25 Equity share capital
25 Non-equity share capital

Equity reserves

26 Share premium account
26 Revaluation reserve
26 Profit and loss account

Shareholders’ funds

2000

1999

§m

§m

§m

§m

1,151.9

751.9

69.1
30.5
----------------

99.6
----------------

9.8
66.7
----------------

76.5
----------------

140.9
1.2

935.0
41.5
56.4
----------------

23.1
----------------

1,175.0
========

75.6
20.3
----------------

95.9
----------------

9.0
55.2
----------------

64.2
----------------

133.1
1.2

565.2
41.5
42.6
----------------

31.7
----------------

783.6
========

1,175.0
----------------

1,175.0
========

783.6
----------------

783.6
========

P.J. Molloy, W.I. O’Mahony, Directors

CRH 49

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 10

G R O U P   C A S H   F L O W   S TAT E M E N T
for the year ended 31st December, 2000

Notes

28 Net cash inflow from operating activities

Dividends received from joint ventures

Returns on investments and servicing of finance
Interest received
Interest paid
Finance lease interest paid
9 Preference dividends paid

Taxation
Irish corporation tax paid
Overseas tax paid

Capital expenditure
12 Purchase of tangible assets
Less new finance leases

14 Disposal of fixed assets

Acquisition and disposal of subsidiary undertakings and joint ventures

29 Acquisition of subsidiary undertakings
29 Disposal of subsidiary undertakings

Deferred acquisition consideration

13 Advances repaid and investment in joint ventures

9 Equity dividends paid

Cash outflow before use of liquid resources and financing

Cash (outflow)/ inflow from management of liquid resources

Financing
27 Issue of shares
27 Expenses paid in respect of share issues

Increase in term debt
Capital elements of finance leases repaid

Increase in cash and demand debt in the year

P.J. Molloy, W.I. O’Mahony, Directors

50 CRH

2000
§m

1,168.5
-----------------
7.8
-----------------

65.0
(247.0)
(0.1)
(0.1)
-----------------
(182.2)
-----------------

(11.7)
(128.3)
-----------------
(140.0)
-----------------

(429.5)
3.9
-----------------
(425.6)
41.4
-----------------
(384.2)
-----------------

(1,548.6)
–
(61.9)
(6.7)
-----------------
(1,617.2)
-----------------
(64.1)
-----------------

(1,211.4)
-----------------
(176.8)
-----------------

366.8
(7.4)
1,129.7
(0.8)
-----------------
1,488.3
-----------------
100.1
=========

1999
§m

852.5
-----------------
5.6
-----------------

45.5
(118.2)
(0.4)
(0.1)
-----------------
(73.2)
-----------------

(11.0)
(149.4)
-----------------
(160.4)
-----------------

(360.1)
0.4
-----------------
(359.7)
40.8
-----------------
(318.9)
-----------------

(1,358.5)
290.4
(73.7)
(13.2)
-----------------
(1,155.0)
-----------------
(52.7)
-----------------

(902.1)
-----------------
552.4
-----------------

17.5
(0.2)
365.7
(1.1)
-----------------
381.9
-----------------
32.2
=========

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 11

R E C O N C I L I AT I O N   O F   N E T   C A S H   F L O W   T O   M O V E M E N T   I N   N E T   D E B T

Notes

Increase in cash and demand debt in the year
Cash inflow from increase in debt
Cash outflow/(inflow) from management of liquid resources

20 Change in net debt resulting from cash flows

20, 29 Liquid resources, net of loans and finance leases, acquired with subsidiary undertakings

New finance leases

20 Translation adjustment

Movement in net debt in the year

Net debt at 1st January

Net debt at 31st December

2000
§m

100.1
(1,128.9)
176.8
-----------------

(852.0)

12.1
(3.9)
-----------------

(843.8)
(106.7)
-----------------

(950.5)

(1,669.3)
-----------------

(2,619.8)
=========

1999
§m

32.2
(364.6)
(552.4)
-----------------

(884.8)

24.7
(0.4)
-----------------

(860.5)
(79.3)
-----------------

(939.8)

(729.5)
-----------------

(1,669.3)
=========

CRH 51

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 12

A C C O U N T I N G   P O L I C I E S

Basis of accounting

Capital grants

The financial statements are prepared under the historical cost
convention as modified by the revaluation of certain fixed assets.

Accounting periods

The consolidated financial statements include the financial
statements of the Company and all subsidiary and joint venture
undertakings, made up to 31st December.

Turnover

Turnover represents the value of goods and services supplied to
external customers and excludes intercompany sales and value
added tax.

Acquisitions

Turnover and results of subsidiary undertakings are consolidated
in the Group profit and loss account from the dates on which
control over the operating and financial decisions is obtained. The
Group’s share of turnover and results of joint ventures are
accounted for from the dates on which the joint venture
agreements are finalised.

Goodwill

With effect from 1st January, 1998, goodwill, being the excess of
the consideration over the fair value of net assets at the date of
acquisition of subsidiary and joint venture undertakings, is
capitalised, and related amortisation based on its estimated useful
life of 20 years is charged against operating profits. Goodwill
arising prior to that date was written-off immediately against
reserves. On disposal of an undertaking acquired prior to 1st
January, 1998, goodwill eliminated against reserves in respect of
that undertaking is included in the determination of the profit or
loss on disposal.

Translation of foreign currencies

These financial statements are presented in euro. Results and
cash flows of subsidiary and joint venture undertakings based in
non-euro countries have been translated into euro at average
exchange rates for the year, and the related balance sheets have
been translated at the rates of exchange ruling at the balance
sheet date. Adjustments arising on translation of the results of non-
euro subsidiary and joint venture undertakings at average rates,
and on restatement of the opening net assets at closing rates, are
dealt with in retained profits, net of differences on related currency
borrowings. All other translation differences are included in arriving
at operating profit.

Rates used for translation of results and balance sheets into euro:

Capital grants received in respect of the purchase of tangible fixed
assets are treated as a deferred credit, a portion of which is
released to the profit and loss account annually over the useful
economic life of the asset to which it relates.

Pensions and other post-retirement obligations

Costs and liabilities in respect of pensions and other post-
retirement obligations are independently assessed in accordance
with the advice of professionally qualified actuaries.

The regular cost of pensions and other post-retirement obligations
is charged to operating profit over the employees’ service lives on
the basis of a constant percentage of earnings. Variations from
regular cost, arising from periodic actuarial valuations, are charged
to operating profit over the expected remaining service lives of
current employees.

Depreciation and amortisation

Depreciation is calculated to write-off the book value of each
tangible fixed asset during its useful economic life on a straight line
basis at the following rates:

Land and buildings
The book value of mineral-bearing  land, less an estimate of its
residual value, is amortised over the period of the mineral
extraction in the proportion which production for the year bears to
the latest estimates of mineral reserves. In general, buildings are
depreciated  at 2.5% p.a.

Plant and machinery 
These are depreciated at rates ranging from 3.3% p.a. to 20% p.a.
depending on the type of asset.

Transport  
In general, transport is depreciated at 20% p.a.

The carrying value of tangible assets is reviewed for impairment if
events or changes in circumstances indicate that the carrying
value may not be recoverable.

Leasing

Assets held under leasing arrangements that transfer substantially
all the risks and rewards of ownership to the Group are
capitalised. The capital element of the related rental obligations is
included in bank loans and overdrafts. The interest element of the
rental  obligations is charged to the profit and loss account so as
to  produce a constant rate of charge. Operating lease rentals are
charged to the profit and loss account.

Average rates

Year-end rates

Stocks

euro 1 =

US Dollar

2000

1999

2000

1999

0.9236

1.0658

0.9305

1.0046

Pound Sterling

0.6095

0.6587

0.6241

0.6217

Polish Zloty

Swiss Franc

4.0082

4.2274

3.8498

4.1587

1.5137

n/a

1.5232

n/a

Stocks are stated at the lower of cost, mainly average cost, and
net realisable value. In the case of finished goods and work-in-
progress, cost includes direct materials, direct labour  and
attributable overheads. Net realisable value is the estimated
proceeds of sale less all further costs to completion, and less all
costs to be incurred in marketing, selling and distribution. 

52 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 13

Long-term contracts are stated at costs incurred, net of amounts
transferred to cost of sales, after deducting foreseeable losses
and payments on account not matched with turnover.

Deferred taxation

Deferred taxation is provided under the liability method on all
material timing differences to the extent that it is expected to
become payable/recoverable.

Liquid resources

Liquid resources are current asset investments which are held as
readily disposable stores of value. Liquid resources include
investments in government gilts and commercial paper and
deposits of less than one year.

Financial instruments

Financial instruments include (i) borrowings (ii) cash, deposits and
liquid resources and (iii) interest and currency swaps, forward
contracts and other derivatives. 

It is the Group’s policy to partially hedge its investment in foreign
currencies by maintaining a net debt position in all foreign
currencies, and to maintain within net debt a mix of fixed and
floating interest rates.

Derivatives, principally interest and currency swaps and forward
foreign exchange contracts, are used to manage interest rate risks
and to achieve the desired currency profile of borrowings. Interest
differentials arising on these derivatives are recognised in net
interest expense over the period of the related contract. 

Where derivatives are used to hedge cross-currency cash flows
arising from trading activities, the underlying transaction is
recorded at the contract rate.

CRH 53

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 14

N O T E S   O N   F I N A N C I A L   S TAT E M E N T S

1 Segmental information

Geographical analysis by destination

Turnover
Republic of Ireland
Britain & Northern Ireland
Mainland Europe
The Americas

Less: share of joint ventures’ turnover

Group turnover

Trading profit, including share of joint ventures
Republic of Ireland
Britain & Northern Ireland
Mainland Europe
The Americas

Trading profit excluding exceptional items

Exceptional items in 1999 (note 2)

Trading profit including exceptional items

Geographical analysis by origin
Turnover
Republic of Ireland
Britain & Northern Ireland
Mainland Europe
The Americas

Less: share of joint ventures’ turnover

Group turnover

Trading profit, including share of joint ventures
Republic of Ireland
Britain & Northern Ireland
Mainland Europe
The Americas

Trading profit excluding exceptional items

Exceptional items in 1999 (note 2)

Trading profit including exceptional items

%

7.5
7.9
22.9
61.7
-------------
100
======

15.6
6.3
18.0
60.1
-------------
100
======

8.0
7.6
22.7
61.7
-------------
100
======

16.2
5.7
18.0
60.1
-------------
100
======

2000
§m

670.7
697.8
2,031.2
5,470.1
-----------------
8,869.8

(168.0)
-----------------
8,701.8
=========

138.5
56.1
159.6
533.4
-----------------
887.6

–
-----------------
887.6
=========

707.3
679.0
2,014.0
5,469.5
-----------------
8,869.8

(168.0)
-----------------
8,701.8
=========

144.1
50.8
159.3
533.4
-----------------
887.6

–
-----------------
887.6
=========

%

8.9
12.6
23.5
55.0
-------------
100
======

17.3
9.0
15.7
58.0
-------------
100
======

9.3
12.5
23.1
55.1
-------------
100
======

18.0
8.2
15.8
58.0
-------------
100
======

1999
§m

599.8
847.6
1,580.9
3,705.5
-----------------
6,733.8

(134.4)
-----------------
6,599.4
=========

114.7
59.6
104.0
385.1
-----------------
663.4

64.2
-----------------
727.6
=========

626.0
843.6
1,557.3
3,706.9
-----------------
6,733.8

(134.4)
-----------------
6,599.4
=========

119.6
54.2
104.5
385.1
-----------------
663.4

64.2
-----------------
727.6
=========

54 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 15

1 Segmental information continued

Net assets
Republic of Ireland
Britain & Northern Ireland
Mainland Europe
The Americas

Trade and other investments
Unallocated liabilities - dividends proposed

Reconciliation of total net assets
Total assets less current liabilities
Less cash, short-term deposits and liquid resources
Add bank loans and overdrafts
Less deferred acquisition consideration 
due after more than one year
Less provisions for liabilities and charges
(excluding deferred tax)

Analysis by class of business (i)
Turnover (ii)
Building materials
Merchanting & DIY

Less: share of joint ventures’ turnover

Group turnover

Trading profit, including share of joint ventures
Building materials
Merchanting & DIY

Trading profit excluding exceptional items

Exceptional items in 1999 (note 2)

Trading profit including exceptional items

Net assets
Building materials
Merchanting & DIY

Trade and other investments
Unallocated liabilities - dividends proposed

%
5.2
8.5
29.4
56.9
-------------
100
======

83.4
16.6
-------------
100
======

94.2
5.8
-------------
100
======

93.0
7.0
-------------
100
======

2000
§m
316.2
518.2
1,793.1
3,462.0
-----------------
6,089.5

32.0
(66.7)
-----------------
6,054.8
=========

6,815.0
(1,361.9)
1,071.5

(213.6)

(256.2)
-----------------
6,054.8
=========

7,395.6
1,474.2
-----------------
8,869.8

(168.0)
-----------------
8,701.8
=========

836.2
51.4
-----------------
887.6

–
-----------------
887.6
=========

5,665.2
424.3
-----------------
6,089.5

32.0
(66.7)
-----------------
6,054.8
=========

%
6.5
13.0
28.2
52.3
-------------
100
======

78.2
21.8
-------------
100
======

91.4
8.6
-------------
100
======

92.8
7.2
-------------
100
======

1999
§m
270.5
540.8
1,168.4
2,166.0
-----------------
4,145.7

8.7
(55.2)
-----------------
4,099.2
=========

5,241.7
(972.2)
260.0

(205.5)

(224.8)
-----------------
4,099.2
=========

5,264.6
1,469.2
-----------------
6,733.8

(134.4)
-----------------
6,599.4
=========

606.2
57.2
-----------------
663.4

64.2
-----------------
727.6
=========

3,847.7
298.0
-----------------
4,145.7

8.7
(55.2)
-----------------
4,099.2
=========

CRH 55

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 16

Notes on financial statements

1 Segmental information continued

(i) Group activities fall into two segments, the building materials segment, which is engaged in the production of
construction related products and services, and the merchanting & DIY segment, which is engaged in the
marketing and sale of builders’ supplies to the construction industry and of materials for the “do-it-yourself”
market.

(ii)

Inter-segment sales are not material.

Impact of 2000 acquisitions on segmental reporting

The principal acquisitions during 2000 were:

Republic of Ireland Ballintra Concrete and the Williaam Cox joint venture (part of the rooflights operations of Yule
Catto & Co plc).

Britain and Northern Ireland Springvale Insulation and Cox Building Products UK (part of the rooflights operations
of Yule Catto & Co plc).

Mainland Europe The Jura Group in Switzerland, the German and Dutch rooflights operations of Yule Catto & Co
plc, Zwaans, Monoliet and Dijkbouw in the Netherlands, Omnidal, Van Welkenhuysen, Schelfhout and the buyout of
Remacle in Belgium, Codimat and the buyout of Matériaux Service in France, Termo Organika, Drogomex, Polbet
and Prefabet Kozienice in Poland, six asphalt businesses and the buyout of Karjalan Murske in Finland.

The Americas The Shelly Company and its add-on businesses Northern Ohio Paving, Waco Stone & Paving,
Bluestone Paving and Van Wey Sand & Gravel in Ohio and West Virginia, Hoffer’s Inc., Thorn-Orwick and Gollin
Supply also in the Mid-West, Strescon and Sabatini in the Mid-Atlantic region, The Dolomite Group and Domine
Builders Supply in New York, New Jersey Concrete Pipe, American Stone Mix in Maryland, Chase Precast in
Massachusetts, CCI Manufacturing in Texas, England Construction, Owen Excavation, Telluride Gravel and WR
White in the Mountain region, Acme Materials and Construction, Larry’s/Reeves and Jensen Paving in the North
West, and the New Basis utility vault business in California.

The impact of these acquisitions is summarised below:

Republic of Ireland

Britain & Northern Ireland

Jura Group (acquired on 30th November, 2000)
Mainland Europe – other

Total Mainland Europe

The Shelly Company (acquired on 24th February, 2000)
The Americas – other

Total The Americas

Total acquisitions including share of joint ventures

Turnover
§m

5.6
-----------------
18.6
-----------------
26.7
173.8
-----------------
200.5
-----------------
333.8
480.4
-----------------
814.2
-----------------

1,038.9
=========

Net assets at
Trading 31st December
2000
§m

profit
§m

0.5
-----------------
(1.1)
-----------------
(0.1)
12.5
-----------------
12.4
-----------------
38.3
50.1
-----------------
88.4
-----------------

100.2
=========

8.8
-----------------
22.8
-----------------
380.2
228.4
-----------------
608.6
-----------------
415.1
607.4
-----------------
1,022.5
-----------------

1,662.7
=========

Analysis by class of business   §955.9 million of the turnover and §98.8 million of the trading profit relating to 2000
acquisitions is classified under the building materials segment.

56 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 17

2  Exceptional items in 1999

(i) Fixed asset impairment cost, Premier Periclase

An impairment review of the fixed assets of Premier Periclase carried out during 1999 indicated that the carrying
value at that time was not supported and a write-down of §15.3 million was accordingly reflected in the 1999
results. The taxation impact of this write-down was §1.6 million.

(ii) Profit on disposal of Keyline Builders Merchants

In June 1999, the Group sold its UK subsidiary Keyline Builders Merchants. A profit of §79.5 million, net of
goodwill of §57.6 million previously written-off against reserves, was reflected in the 1999 results. Taxation on
this profit amounted to §27.3 million.

3  Operating costs, including goodwill amortisation

Distribution costs
Administrative expenses
Other operating income:
- capital grants released
- income from financial assets

4 Operating profit

This is arrived at after charging

Depreciation

Goodwill amortisation - subsidiaries
Goodwill amortisation - joint ventures
Auditors’ remuneration
and after crediting 
Income from financial assets

Continuing operations
---------------------------------------------------
Acquisitions

§m

911.6
810.3

(1.7)
(2.0)
-----------------

1,718.2
=========

§m

78.4
101.5

–
–
-----------------

179.9
=========

Total
2000

§m

990.0
911.8

(1.7)
(2.0)
-----------------

1,898.1
=========

Total
1999

§m

719.0
742.3

(1.6)
(1.1)
-----------------

1,458.6
=========

2000
§m

351.7

43.3
0.4
3.2

1999
§m

255.4

19.6
0.1
2.3

2.0

1.1

5 Directors’ emoluments and interests

Directors’ emoluments and interests are given in the report on Directors’ remuneration on pages 38 to 43.

CRH 57

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 18

Notes on financial statements

6 Employment

The average number of Group employees by region was as follows

Republic of Ireland
Britain & Northern Ireland
Mainland Europe
The Americas

2000

1999

2,581
3,917
12,187
23,803
-----------------

42,488
=========

2,583
4,801
9,764
19,517
-----------------

36,665
=========

Employment costs charged against Group operating profit

§m

§m

Wages and salaries
Social welfare costs
Pension costs

7 Interest payable (net)

Interest payable on bank loans and overdrafts repayable wholly within five years:

– by instalments
– not by instalments
Interest payable on other borrowings
Interest receivable

Net Group interest payable
Share of joint ventures’ net interest payable

8 Taxation on profit on ordinary activities

Ireland
Corporation tax at 24% (1999 : 28%)
Less manufacturing relief

Overseas tax
Deferred tax (note 24)
Taxation on disposal of fixed assets (excluding exceptional items in 1999)
Share of joint ventures’ tax

Taxation on profit on ordinary activities

1,454.0
158.5
76.4
-----------------

1,688.9
=========

1,088.5
124.5
60.1
-----------------

1,273.1
=========

2000
§m

1999
§m

4.5
178.3
71.1
(63.9)
-----------------

190.0
0.9
-----------------

190.9
=========

2.1
85.7
48.0
(44.0)
-----------------

91.8
0.9
-----------------

92.7
=========

2000
§m

1999
§m

33.5
(18.1)
-----------------

15.4
117.4
54.6
2.7
3.6
-----------------

193.7
=========

30.8
(20.1)
-----------------

10.7
132.5
4.8
1.1
2.9
-----------------

152.0
=========

58 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 19

9 Dividends

Non-equity (i)

5% Cumulative Preference Shares §3,174 (1999 : §3,174)
7% ‘A’ Cumulative Preference Shares §77,505 (1999 : §77,505)

–

Equity (ii)

Interim – paid 6.70c per Ordinary Share (1999 : 5.90c)

Final – proposed 16.10c per Ordinary Share (1999 : 14.10c)

Cash flow statement
Dividends to shareholders
Less preference dividend separately disclosed
Less issue of shares in lieu of dividend (iii)
Dividends paid by subsidiary undertakings to minority shareholders

Equity dividends paid

2000
§m

–
0.1
-----------------
0.1
=========

26.7

66.7
-----------------
93.4
=========

81.9
(0.1)
(18.2)
0.5
-----------------
64.1
=========

1999
§m

–
0.1
-----------------
0.1
=========

23.3

55.2
-----------------
78.5
==========

70.2
(0.1)
(18.0)
0.6
-----------------
52.7
=========

(i)

No tax credits attach to dividends paid after 6th April, 1999. Prior to that date, the rate of dividend payable on
Preference Shares was reduced by a related tax credit in accordance with the prevailing Finance Act.

(ii) An ordinary shareholder may elect to receive dividends on all holdings of Income Shares instead of on all

holdings of Ordinary Shares by serving a notice in accordance with Article 132 (b)(i) of the Company’s Articles
of Association. The net dividend is the same on both shares but prior to 6th April, 1999, the tax credits varied.
No tax credits attach to dividends paid after 6th April, 1999.

(iii)

In accordance with the scrip dividend scheme, shares to the value of §18.2 million were issued in lieu of
dividends. This amount has been added to shareholders’ funds (see note 27).

10

Earnings per Ordinary Share

The computation of basic and diluted earnings per share is set out below:

Numerator
For basic and diluted earnings per share
Profit after tax, minority interests and preference dividends (§ millions)

Exceptional items, net of tax (§ millions)

Numerator for basic and diluted earnings per share excluding exceptional items in 1999

Denominator
For basic earnings per share
Weighted average number of shares in issue for the year (millions)

Effect of dilutive potential Ordinary Shares (employee share options)

Denominator for diluted earnings per share

Earnings per Ordinary Share
- basic
- diluted

Excluding exceptional items in 1999
- basic
- diluted

2000

1999

498.3

–

-----------------

498.3
=========

398.9

6.3

-----------------

405.2
=========

124.92c
122.98c

124.92c
122.98c

454.0

38.5

-----------------

415.5
=========

390.1

5.3

-----------------

395.4
=========

116.38c
114.82c

106.51c
105.08c

CRH 59

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 20

Notes on financial statements

11 Intangible asset - goodwill

With effect from 1st January, 1998, goodwill, being the excess of the consideration over the fair value of net assets 
at the date of acquisition of subsidiary undertakings, is capitalised, and related amortisation based on its estimated
useful life of 20 years is charged against operating profits. Goodwill arising prior to that date was written-off
immediately against reserves.

Cost
At 1st January
Arising on acquisitions during the year (note 29)
Disposals
Translation adjustment

At 31st December

Amortisation
At 1st January
Amortised during the year
Disposals
Translation adjustment

At 31st December

Net book amount at 31st December

12

Tangible assets

2000
§m
650.3
348.9
–
20.6
-----------------

1,019.8
-----------------

21.1
43.3
–
0.8
-----------------

65.2
-----------------

954.6
=========

Land and
buildings

Plant and
machinery

Assets in
course of
Transport construction

§m

§m

§m

§m

Cost/valuation
At 1st January
Translation adjustment
Reclassifications
Additions at cost
Acquisitions  (note 29)
Disposals

At 31st December

Accumulated depreciation
At 1st January
Translation adjustment
Depreciation for year
Disposals

At 31st December

1,676.0
102.4
45.6
66.3
566.8
(11.8)
-----------------

2,445.3
-----------------

194.7
13.6
59.9
(3.9)
-----------------

264.3
-----------------

Net book amount at 31st December, 2000 2,181.0
=========
1,481.3
=========

Net book amount at 1st January, 2000

60 CRH

2,346.3
113.2
51.3
227.7
469.4
(37.5)
-----------------

3,170.4
-----------------

838.8
36.6
250.6
(24.3)
-----------------

1,101.7
-----------------

2,068.7
=========
1,507.5
=========

261.6
25.9
6.1
39.7
44.7
(13.3)
-----------------

364.7
-----------------

100.6
12.9
41.2
(9.5)
-----------------

145.2
-----------------

219.5
=========
161.0
=========

76.0
4.9
(103.0)
95.8
8.0
–
-----------------

81.7
-----------------

–
–
–
–
-----------------

–
-----------------

81.7
=========
76.0
=========

1999
§m
139.5
495.9
(3.3)
18.2
-----------------

650.3
-----------------

1.3
19.6
(0.5)
0.7
-----------------

21.1
-----------------

629.2
=========

Total

§m

4,359.9
246.4
–
429.5
1,088.9
(62.6)
-----------------

6,062.1
-----------------

1,134.1
63.1
351.7
(37.7)
-----------------

1,511.2
-----------------

4,550.9
=========
3,225.8
=========

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 21

12 Tangible assets  continued

Land and buildings purchased since 31st December, 1980 are reflected at cost. Land and buildings (excluding
buildings of a specialised nature) purchased prior to 31st December, 1980 were revalued by professional 
valuers at that date, on an existing use basis. The Group has elected to adopt the transitional arrangements of
Financial Reporting Standard 15 - Tangible Fixed Assets (FRS 15) by not implementing a revaluation policy and 
by continuing to carry these assets at the revalued book amounts. The original historical cost of revalued assets
cannot be obtained without unreasonable expense. The analysis of total cost/valuation is as follows:

At valuation 31st December, 1980
At cost post 31st December, 1980

Tangible assets include leased assets as follows

Cost
Accumulated depreciation

Net book amount at 31st December

Depreciation charge for year

Future tangible asset purchase commitments

Contracted for but not provided in the financial statements
Authorised by the Directors but not contracted for

§m
61.0
2,384.3
-----------------

2,445.3
=========

1999
§m

15.5
(7.2)
-----------------

8.3
=========
1.5
=========

2000
§m

17.1
(8.6)
-----------------

8.5
=========
2.0
=========

2000
§m

1999
§m

145.8
53.4
=========

113.2
112.9
=========

13 Financial assets

Group

At 1st January
Translation adjustment
Joint venture becoming a subsidiary
Arising on acquisition of subsidiaries
Investments and advances
Disposals and repayments
Retained profit less dividends paid

At 31st December

Joint ventures 

---------------------------------------------------------------------------------

Share of 
net assets 
§m

40.5
1.0
(6.6)
10.7
(0.3)
(1.5)
4.4
-----------------
48.2
=========

Goodwill
§m

3.2
0.2
–
4.6
1.2
–
(0.4)
-----------------
8.8
=========

Loans
§m

14.2
–
(3.7)
–
4.4
0.1
–
-----------------
15.0
=========

Other
investments
at cost
§m

8.7
0.6
0.1
23.5
1.4
(2.3)
–
-----------------
32.0
=========

Total
§m

66.6
1.8
(10.2)
38.8
6.7
(3.7)
4.0
-----------------
104.0
=========

Other investments include investments listed on a recognised stock exchange at cost of §4.7 million (1999 : §4.7 million).
The market value of these investments at 31st December, 2000 amounted to §10.5 million (1999 : §11.0 million).

CRH 61

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 22

Notes on financial statements

13 Financial assets  continued

Company - investment in subsidiary undertakings

At 1st January at cost/valuation
Investments, net of disposals

At 31st December

Shares
§m

511.5
341.7
-----------------
853.2
=========

Loans
§m

240.4
58.3
-----------------
298.7
=========

Total
§m

751.9
400.0
-----------------
1,151.9
=========

The Company’s investment in its subsidiary undertakings was revalued at 31st December, 1980 to reflect the 
surplus on revaluation of fixed assets of subsidiary undertakings (see note 12). The original historical cost of the
shares equated to approximately §9.1 million.

At valuation 31st December, 1980
At cost post 31st December, 1980

14 Disposal of fixed assets

Tangible assets at net book amount
Financial assets at net book amount

Profit on disposal of fixed assets (excluding exceptional items in 1999)

Proceeds on disposal of fixed assets

15 Stocks

Raw materials
Work-in-progress
Finished goods

16 Debtors

Amounts falling due within one year

Trade debtors
Long-term contract debtors
Other debtors
Amounts owed by Group undertakings
Amounts owed by joint ventures
Prepayments and accrued income

62 CRH

§m

46.7
806.5
-----------------
853.2
=========

1999
§m

31.2
2.8
-----------------
34.0
6.8
-----------------
40.8
=========

1999
§m
148.7
47.8
465.8
-----------------
662.3
=========

2000
§m

24.9
3.7
-----------------
28.6
12.8
-----------------
41.4
=========

2000
§m
236.4
74.5
592.1
------------------
903.0
=========

Group

-----------------------------------------------
1999
§m

2000
§m

Company

---------------------------------------------------
1999
§m

2000
§m

1,183.4
119.5
147.1
–
0.7
85.0
-----------------
1,535.7
=========

854.2
76.8
73.8
–
1.3
76.4
-----------------
1,082.5
=========

–
–
–
69.1
–
–
-----------------
69.1
=========

–
–
–
75.6
–
–
-----------------
75.6
=========

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 23

17 Trade and other creditors

Amounts falling due within one year
Trade creditors
Irish income tax and social welfare
Other income tax and social welfare
Value added tax
Deferred acquisition consideration
Other creditors
Accruals and deferred income 
Amounts owed to Group undertakings
Amounts owed to joint ventures

Amounts falling due after more than one year
Deferred acquisition consideration, due as follows:
Between one and two years
Between two and five years
After five years

18 Movements in working capital

At 1st January
Translation adjustment
Acquisition of subsidiary undertakings (note 29)
Deferred acquisition consideration:
– deferred in current year (note 29)
– paid during the year
Interest accruals
Increase in working capital

At 31st December

Movement in prior year

Group

-----------------------------------------------
1999
§m

2000
§m

Company

------------------------------------------------
1999
§m

2000
§m

782.3
4.2
26.1
30.1
73.5
176.0
330.0
–
0.2
-----------------
1,422.4
-----------------

63.7
107.4
42.5
-----------------
213.6
-----------------

548.2
4.4
17.4
26.8
52.7
124.6
265.4
–
2.5
-----------------
1,042.0
-----------------

97.7
81.4
26.4
-----------------
205.5
-----------------

–
–
–
–
–
9.5
–
0.3
–
-----------------
9.8
-----------------

–
–
–
-----------------
–
-----------------

–
–
–
–
–
8.6
–
0.4
–
-----------------
9.0
-----------------

–
–
–
-----------------
–
-----------------

1,636.0
=========

1,247.5
=========

9.8
=========

9.0
=========

Stocks
§m

662.3
29.0
141.7

–
–
–
70.0
-----------------
903.0
=========
7.8
=========

Debtors
§m

1,082.5
43.1
350.0

–
–
19.5
40.6
-----------------
1,535.7
=========
53.9
=========

Creditors
§m

(1,247.5)
(65.0)
(255.5)

(70.5)
61.9
(27.9)
(31.5)
-----------------
(1,636.0)
=========
1.4
=========

Total
§m

497.3
7.1
236.2

(70.5)
61.9
(8.4)
79.1
-----------------
802.7
=========
63.1
=========

CRH 63

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 24

Notes on financial statements

19 Loans

Bank loans

Other term loans

– unsecured
– secured*
– unsecured
– secured*

Less loans repayable within one year

*Secured on specific tangible assets.

Repayments fall due as follows
Within one year
Between one and two years
Between two and three years
Between three and four years
Between four and five years
After five years

Loans fully repayable within five years
Not by instalments
By instalments

Loans fully repayable in more than five years
Not by instalments
By instalments**

** §25.4 million (1999 : §21.4 million) falls due for payment after five years.

Finance lease obligations included above, net of interest, are due as follows
Within one year
Between one and two years
Between two and five years
After five years

2000
§m
2,079.4
55.3
1,682.3
32.0
-----------------

3,849.0
938.8
-----------------

2,910.2
=========

938.8
296.6
267.6
661.9
143.6
1,540.5
-----------------

3,849.0
=========

2,177.9
107.6
-----------------

2,285.5
-----------------

1,519.1
44.4
-----------------
1,563.5
-----------------
3,849.0
=========

6.4
0.7
2.0
9.7
-----------------
18.8
=========

1999
§m
1,307.2
34.3
1,133.2
11.2
-----------------

2,485.9
104.4
-----------------

2,381.5
=========

104.4
379.5
280.2
135.6
585.2
1,001.0
-----------------

2,485.9
=========

1,412.2
19.0
-----------------

1,431.2
-----------------

979.5
75.2
-----------------
1,054.7
-----------------
2,485.9
=========

1.1
1.0
0.4
9.8
-----------------
12.3
=========

Borrowing facilities
The Group has various borrowing facilities available to it. The undrawn committed facilities available at 31st
December, 2000, in respect of which all conditions precedent had been met, mature as follows:

Within one year
Between one and two years
Between two and five years
After five years

64 CRH

§m
87.6
19.0
17.2
–
-----------------
123.8
=========

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 25

20 Analysis of net debt

Cash

Bank overdrafts and demand loans

Total cash and demand debt

Short-term deposits and liquid resources

Loans repayable within one year

At 1st
January
2000

§m

151.2

(155.6)
-----------------
(4.4)
-----------------
821.0
-----------------
(104.4)

Cash
flow Acquisitions

Non-cash Translation
changes adjustment

§m

74.3

25.8
-----------------
100.1
-----------------
176.8
-----------------
(398.3)

§m

–

–
-----------------
–
-----------------
93.6
-----------------
(38.0)

§m

–

–
-----------------
–
-----------------
–
-----------------
(397.8)

§m

14.5

(2.9)
-----------------
11.6
-----------------
30.5
-----------------
6.1

At 31st
December
2000

§m

240.0

(132.7)
-----------------
107.3
-----------------
1,121.9
-----------------
(932.4)

Loans repayable after one year

(2,369.2)

(731.4)

(40.3)

397.8

(154.7)

(2,897.8)

Finance leases

Total term finance

Net debt

(12.3)
-----------------
(2,485.9)
-----------------
(1,669.3)
=========

0.8
-----------------
(1,128.9)
-----------------
(852.0)
=========

(3.2)
-----------------
(81.5)
-----------------
12.1
=========

(3.9)
-----------------
(3.9)
-----------------
(3.9)
=========

(0.2)
-----------------
(148.8)
-----------------
(106.7)
=========

(18.8)
-----------------
(3,849.0)
-----------------
(2,619.8)
=========

21 Treasury information

Interest rate and currency profile

The interest rate and currency profile of the Group’s net debt and net worth as at 31st December, 2000 was as follows:

Weighted average fixed debt interest rates

Weighted average fixed debt periods - years

euro US Dollar
§m

§m

Sterling
§m

4.8%

2.8

7.4%

7.5

6.9%

2.2

Swiss
Franc
§m

3.6%

3.8

Other
§m

14.7%

2.8

Total
§m

6.8%

5.6

Fixed rate debt

Floating rate debt

Cash and liquid resources - floating rate

(218.9)

(702.9)

(96.1)

(528.5)

(1,397.8)

(418.4)

(134.3)

(291.9)

(57.1)

(1,209.3)

(135.8)

(2,772.4)

337.2
-----------------

624.7
-----------------

277.2
-----------------

96.4
-----------------

26.4
-----------------

1,361.9
-----------------

Net debt by major currency

(410.2)

(1,476.0)

(237.3)

(329.8)

(166.5)

(2,619.8)

Loans to joint ventures

13.6

–

1.4

–

–

15.0

Deferred acquisition consideration falling 
due after more than one year

Net financial assets and liabilities

(9.9)
-----------------

(203.6)
-----------------

(0.1)
-----------------

–
-----------------

–
-----------------

(213.6)
-----------------

(excluding short-term debtors and creditors)

(406.5)

(1,679.6)

(236.0)

(329.8)

(166.5)

(2,818.4)

Capital employed at 31st December, 2000
Minority shareholders’ interests 
and capital grants

Shareholders’ funds (net worth) at 
31st December, 2000

1,346.4

3,332.6

484.5

341.1

441.9

5,946.5

(21.2)
-----------------

–
-----------------

(0.8)
-----------------

(6.8)
-----------------

(24.2)
-----------------

(53.0)
-----------------

918.7
=========

1,653.0
=========

247.7
=========

4.5
=========

251.2
=========

3,075.1
=========

CRH 65

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 26

Notes on financial statements

21 Treasury information continued

The corresponding interest rate and currency profile of the Group’s net debt and net worth as at 31st December, 1999
was:

Weighted average fixed debt interest rates

Weighted average fixed debt periods - years

Fixed rate debt

Floating rate debt

Cash and liquid resources - floating rate

Net debt by major currency

Loans to joint ventures

Deferred acquisition consideration falling 
due after more than one year

Net financial assets and liabilities

euro
§m

4.4%

3.5

US
Dollar
§m

7.1%

7.3

Sterling
§m

7.2%

3.3

(243.3)

(415.6)

(385.2)

(903.1)

(104.9)

(482.8)

Other
§m

14.5%

2.8

(27.9)

(78.7)

166.3
-----------------
(492.6)

461.8
-----------------
(826.5)

323.3
-----------------
(264.4)

20.8
-----------------
(85.8)

Total
§m

6.5%

5.4

(761.3)

(1,880.2)

972.2
-----------------
(1,669.3)

13.9

–

0.3

–

14.2

(8.1)
-----------------

(194.9)
-----------------

–
-----------------

(2.5)
-----------------

(205.5)
-----------------

(excluding short-term debtors and creditors)

(486.8)

(1,021.4)

(264.1)

(88.3)

(1,860.6)

Capital employed at 31st December, 1999

1,157.2

2,136.9

485.2

338.8

4,118.1

Minority shareholders’ interests and 
capital grants

Shareholders’ funds (net worth) at
31st December, 1999

(33.4)
----------------

–
-----------------

(1.1)
-----------------

(21.3)
-----------------

(55.8)
-----------------

637.0
=========

1,115.5
=========

220.0
=========

229.2
=========

2,201.7
=========

The amounts shown above take into account the effect of currency swaps, forward contracts and other derivatives
entered into to manage these currency and interest rate exposures.

Floating rate debt comprises bank borrowings bearing interest at rates fixed in advance for periods ranging from
overnight to one year largely by reference to inter-bank interest rates (US$ LIBOR, Sterling LIBOR, Swiss Franc
LIBOR, Euribor).

Cash deposits and liquid investments comprise cash deposits placed on money markets for periods of up to six
months and high quality liquid investments such as commercial paper and bonds.

As explained in the finance review on pages 26 to 28, the Group’s policy is to spread its net worth across the
currencies of the countries in which it invests. Interest rate swaps are entered only for the purpose of managing the
Group’s mix of fixed and floating rate debt. Currency swaps are entered only for the purpose of managing the
Group’s mix of fixed and floating rate debt by currency to ensure that the Group’s debt funding sources match the
currency of the Group’s operations. In line with Group policy, all derivative contracts are entered into with highly-
rated counterparties. Gains and losses arising on the re-translation of net worth are dealt with in the statement of
total recognised gains and losses.

Transactional currency exposures arise in a number of the Group’s operations and these result in net currency gains
and losses which are recognised in the profit and loss account. As at 31st December, 2000, these exposures were
not material.

66 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 27

21 Treasury information continued

Fair values of debt, cash and liquid resources

A comparison by category of book values and fair values of all the Group’s financial assets and financial liabilities
(excluding short-term debtors and creditors) at 31st December, 2000 and 31st December, 1999 is set out below:

Derivative contracts

Gross debt
§m

Gains
§m

Losses
§m

Cash and
liquid
resources 
§m

Other
financial
instruments
§m

Total
§m

1999 book value
1999 fair value

(2,663.4)
(2,658.3)
-----------------

22.8
42.2
-----------------

(0.9)
(8.2)
-----------------

972.2
972.2
-----------------

(191.3)
(191.3)
-----------------

(1,860.6)
(1,843.4)
-----------------

Unrecognised gains and losses
as at 31st December, 1999

5.1
=========

19.4
=========

(7.3)
=========

–
=========

–
=========

17.2
=========

2000 book value
2000 fair value

(3,993.9)
(4,104.7)
-----------------

47.4
116.5
-----------------

(35.2)
(40.8)
-----------------

1,361.9
1,361.9
-----------------

(198.6)
(198.6)
-----------------

(2,818.4)
(2,865.7)
-----------------

Unrecognised gains and losses
as at 31st December, 2000

(110.8)
=========

69.1
=========

(5.6)
=========

–
=========

–
=========

(47.3)
=========

Reconciliation of movement in unrecognised gains and losses:

At 31st December, 1999
Portion recognised in 2000
Arising in 2000

At 31st December, 2000

5.1
4.8
(120.7)
-----------------
(110.8)
=========

19.4
(18.8)
68.5
-----------------
69.1
=========

Of which, expected to be recognised in:

- 2001
- after 2001

(14.3)
(96.5)
-----------------

(110.8)
=========

14.4
54.7
-----------------

69.1
=========

(7.3)
9.0
(7.3)
-----------------
(5.6)
=========

(2.4)
(3.2)
-----------------

(5.6)
=========

–
–
–
-----------------
–
=========

–
–
-----------------

–
=========

–
–
–
-----------------
–
=========

–
–
-----------------

–
=========

17.2
(5.0)
(59.5)
-----------------
(47.3)
=========

(2.3)
(45.0)
-----------------

(47.3)
=========

Other financial instruments comprise loans to joint ventures and deferred acquisition consideration due after more
than one year.

The book value of fixed rate debt and fixed rate swaps is the outstanding principal value of debt/swaps. The fair
value of swaps and fixed rate debt is the net present value of future interest and capital payments discounted at
prevailing interest rates. When the fixed interest rates on debt and swaps differ from prevailing rates, fair value will
differ from book value. The fair value of floating rate instruments approximates book value.

As the Group has a policy of fixing interest rates on a portion of net debt, the fair value of such debt will be below
book value when prevailing interest rates are above the fixed rates being paid by the Group. This was 
the position which applied at 31st December, 1999 and hence total book values at that date exceeded fair values 
by §17.2 million.

At 31st December, 2000,  interest rates were generally below the fixed rates being paid by the Group. As a
consequence, the fair value of the Group’s fixed interest rate instruments was §47.3 million in excess of book value.

CRH 67

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 28

Notes on financial statements

22 Guarantees

The Company has given letters of guarantee to secure obligations of subsidiary undertakings as follows: 
§3,813.4 million in respect of loans, bank advances and future lease obligations, §147.8 million in respect 
of deferred acquisition consideration and §23.3 million in respect of other obligations.

Pursuant to the provisions of Section 17, Companies (Amendment) Act, 1986, the Company has guaranteed the
liabilities of certain of its subsidiary undertakings in the Republic of Ireland for the financial year to 31st December, 2000
and as a result such subsidiary undertakings have been exempted from the filing provisions of Section 7, Companies
(Amendment) Act, 1986.

23 Capital grants

At 1st January
Translation adjustment
Acquisitions/disposals

Released to Group profit and loss account

At 31st December

24 Provisions for liabilities and charges

2000
§m
18.8
0.1
0.1
-----------------

19.0
(1.7)
-----------------

17.3
=========

1999
§m
19.9
0.1
0.4
-----------------

20.4
(1.6)
-----------------

18.8
=========

At 1st
January
2000
§m
140.2
101.9
24.4
18.7

Acquisitions
§m
64.4
0.1
2.6
1.2

Provided
during year
§m
54.6
61.7
4.2
1.1

Utilised
during year
§m
–
(44.8)
(11.6)
(2.4)

Reversed Translation
adjustment
§m
6.4
6.8
1.5
0.8

unused
§m
–
–
–
(0.5)

At 31st 
December
2000
§m
265.6
125.7
21.1
18.9

18.1

0.3

2.9

(9.7)

(1.6)

0.3

10.3

Deferred tax (i)
Insurance (ii)
Post-retirement obligations (iii)
Guarantees and warranties (iv)
Rationalisation and 
redundancy (v)
Environment and  
remediation (vi)
Other

Total

365.0
=========

13.0
48.7
-----------------

17.3
3.2
-----------------

89.1
=========

(0.6)
36.2
-----------------

160.1
-=========

(2.5)
(34.1)
-----------------

(0.6)
(1.7)
-----------------

(105.1)

(4.4)
========= =========

0.1
1.2
-----------------

17.1
=========

26.7
53.5
-----------------

521.8
=========

(i) Deferred taxation
Deferred taxation represents the following total timing differences
Accelerated capital allowances
Stock relief
Other timing differences

2000
§m
433.2
0.3
(167.9)
-----------------
265.6
=========

The disposal of freehold property at its revalued amount would not, under current legislation, give rise to any
significant tax liability.

(ii) Insurance
This provision relates to workers’ compensation (employer’s liability) and third party liabilities or claims covered
under the Group’s self-insurance schemes. Due to the time frame that is often involved in such claims, a significant
part of this provision is subject to actuarial valuation. Where this is not appropriate, other external assessments are
made.

68 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 29

24 Provisions for liabilities and charges continued

(iii) Post-retirement obligations
These comprise provisions for post-retirement healthcare obligations and life assurance obligations in respect of
certain current and former employees in the United States in addition to early retirement for certain senior executives
throughout the Group. The method of accounting for these provisions is similar to that used for pension obligations.
The early retirement provisions are calculated using assumptions broadly in line with those set out in note 32 relating
to pensions, while the principal actuarial assumptions used in determining the required provisions are that healthcare
costs will increase by 9% in 2001, by an average of 7.5% in the years 2002 to 2007, and by 6% per annum thereafter.

(iv) Guarantees and warranties
Some products carry formal guarantees of satisfactory performance of varying periods following their purchase by
customers. Provision is made for the estimated cost of honouring unexpired warranties. The expected timing of any
payments under such guarantees and warranties is uncertain.

(v) Rationalisation and redundancy
These provisions relate to obligations under various rationalisation and redundancy programmes throughout the Group,
none of which are individually material. The Group expects these provisions to be utilised within three years.

(vi) Environment and remediation
These provisions include obligations for site remediation and improvement costs to be incurred in compliance with
local or national environmental regulations and best practice. These provisions are expected to be utilised within two
to ten years.

25

Share capital

Equity

Non-equity

Authorised

At 1st January and 31st December

Number of Shares (’000)

Allotted, called-up and fully paid
At 1st January
Share placing (iv)
Share options and share participation (v)
Shares issued in lieu of dividends (vi)

At 31st December

Number of Shares (’000)

Ordinary
Shares of
§0.32 each

Income
Shares of
§0.02 each

5%
Cumulative
Preference
Shares of
§1.27 each

7% ‘A’
Cumulative
Preference
Shares of
§1.27 each

§m

176.0
=========
550,000
=========

125.3
6.3
0.7
0.3
-----------------
132.6
=========
414,475
=========

(i)
§m

(ii)
§m

11.0
=========
550,000
=========

7.8
0.4
0.1
–
-----------------
8.3
=========
414,475
=========

0.2
=========
150
=========

0.1
–
–
–
-----------------
0.1
=========
50
=========

(iii)
§m

1.1
=========
872
=========

1.1
–
–
–
-----------------
1.1
=========
872
=========

(i) Income Shares
The Income Shares were created on 29th August, 1988 for the express purpose of giving shareholders the choice
of receiving dividends on either their Ordinary Shares, or on their Income Shares (by notice of election to the
Company which may be revoked). The Income Shares carried a different tax credit to the Ordinary Shares. The
creation of the Income Shares was achieved by the allotment of fully paid Income Shares to each shareholder equal
to his/her holding of Ordinary Shares but the shareholder is not entitled to an Income Share certificate, as a
certificate for Ordinary Shares is deemed to include an equal number of Income Shares and a shareholder may 
only sell, transfer or transmit Income Shares with an equivalent number of Ordinary Shares. Income Shares carry 
no voting rights. Due to changes in Irish tax legislation since the creation of the Income Shares, dividends on the
Company’s shares no longer carry a tax credit.

(ii) 5% Cumulative Preference Shares
The holders of the 5% Cumulative Preference Shares are entitled to a fixed cumulative preferential dividend at a 
rate of 5% per annum and priority in a winding up to repayment of capital, but have no further right to participate in
profits or assets and are not entitled to be present or vote at general meetings unless their dividend is in arrears.
Dividends on the 5% Cumulative Preference Shares are payable half yearly on 15th April and 15th October in 
each year. 

CRH 69

4970 Fin S PG 70 - change 2  26/3/01  11:55 am  Page 1

Notes on financial statements

25 Share capital continued

(iii) 7% ‘A’ Cumulative Preference Shares
The holders of the 7% ‘A’ Cumulative Preference Shares are entitled to a fixed cumulative preference dividend at a
rate of 7% per annum, and subject to the rights of the holders of the 5% Cumulative Preference Shares, priority in a
winding up to repayment of capital but have no further right to participate in profits or assets and are not entitled to
be present or vote at general meetings unless their dividend is in arrears. Dividends on the 7% 'A' Cumulative
Preference Shares are payable half yearly on 5th April and 5th October in each year.

(iv) Share placing
In September, 2000, 19,570,000 new Ordinary Shares were placed at a price of §18.00 per Share, to support the
Group’s ongoing development strategy and to broaden its investor base. The aggregate nominal value of the
Shares placed was §6.7 million and the total consideration amounted to §352.3 million before placing issue
expenses of §7.0 million.

(v) Share schemes
Share option schemes: Under the terms of the employees’ share option schemes, options are exercisable at prices
varying from §2.50 / Stg£1.9868 to §19.77 / Stg£12.07. At 31st December, 2000, options over 15,057,042 shares
had not yet been exercised. This figure includes options over 6,100,490 shares and 5,787,777 shares which can
only be exercised after the expiration of three years and five years respectively from the dates of grant of those
options and after specific EPS growth targets have been achieved. 

Savings-related share option schemes: Options over 180,517 shares and 351,926 shares have been granted,
pursuant to three and five year contracts respectively, under the Savings-Related Share Option Scheme (United
Kingdom), at a price of Stg£9.63, which represented a discount of 15% to the market price on the date of grant.
These options are normally exercisable within a period of six months after the third or fifth anniversary of the
contract, whichever is applicable.

Share participation schemes: At 31st December, 2000, 3,716,828 Ordinary Shares had been appropriated to
participation schemes. The Ordinary Shares appropriated pursuant to these Schemes were issued at market value
on the dates of appropriation.

During the ten year period commencing on 3rd May, 2000, the total number of Ordinary Shares which may be
issued, in respect of the share option schemes, the savings-related share option schemes, the share participation
schemes and any subsequent share option schemes, may not exceed 15% in aggregate of the issued ordinary
share capital from time to time.

(vi) Shares issued in lieu of dividends
In May 2000, 814,452 Ordinary Shares were issued to the holders of Ordinary Shares who elected to receive
additional Ordinary Shares at a price of §18.09 per share, instead of part or all of the cash element of their 1999
final dividend. In November 2000, 190,915 Ordinary Shares were issued to the holders of Ordinary Shares who
elected to receive additional Ordinary Shares at a price of §18.08 per share, instead of part or all of the cash
element of their 2000 interim dividend.

26 Reserves

Group

At 1st January
Premium on shares issued
Expenses paid in respect of share issues

At 31st December

70 CRH

Share
premium
account
§m

561.1
377.2
(7.4)
-----------------

930.9
=========

Other
reserves
§m

9.9
–
–
-----------------

9.9
=========

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 31

26 Reserves  continued

Company
At 1st January
Premium on shares issued
Expenses paid in respect of share issues
Profit before taxation
Dividends received from Group undertakings
Dividends
Currency translation effects on foreign currency net investments

At 31st December

Share

premium Revaluation
reserves
account
§m
§m

565.2
377.2
(7.4)
–
–
–
–
-----------------

935.0
=========

41.5
–
–
–
–
–
–
-----------------

41.5
=========

Profit
and loss
account
§m

42.6
–
–
3.2
104.1
(93.4)
(0.1)
-----------------

56.4
=========

In accordance with Section 3(2) of the Companies (Amendment) Act, 1986, the profit and loss account of the
Company has not been presented separately in these financial statements.

27 Reconciliation of movements in shareholders’ funds

At 1st January
Profit retained for the financial year
Currency translation effects:
– on results for the year
– on foreign currency net investments
Issue of shares
Issued in lieu of dividends
Expenses paid in respect of share issues
Goodwill written-back on disposal during 1999 (note 2 (ii)) 

At 31st December

28 Reconciliation of operating profit to net cash inflow from operating activities

Operating profit
Depreciation charge
Exceptional impairment cost in 1999 (note 2 (i))
Goodwill amortisation
Capital grants released
Net movement on provisions during the year
Increase in working capital (note 18)

Net cash inflow from operating activities

2000
§m

2,201.7
404.9

(4.5)
95.4
366.8
18.2
(7.4)
–
-----------------

3,075.1
=========

2000
§m

858.3
351.7
–
43.3
(1.7)
(4.0)
(79.1)
-----------------

1,168.5
=========

1999
§m

1,554.0
375.5

22.4
156.9
17.5
18.0
(0.2)
57.6
-----------------

2,201.7
=========

1999
§m

629.5
255.4
15.3
19.6
(1.6)
(2.6)
(63.1)
-----------------

852.5
=========

CRH 71

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 32

Notes on financial statements

29 Acquisition of subsidiary undertakings

Tangible assets
Financial assets
Stocks
Debtors 
Creditors
Taxation, including deferred taxation
Provisions
Capital grants
Minority shareholders’ interest

Net assets acquired/(disposed of) at fair value
Profit on disposal (note 2 (ii))
Goodwill previously written-off against reserves (note 2 (ii))
Goodwill eliminated on disposal
Goodwill arising on acquisition

Consideration

Satisfied by
Cash payment
Net cash received on disposal
Cash acquired on acquisition
Bank overdrafts assumed on acquisition

Net cash outflow
Liquid resources, net of loans and finance leases, acquired on acquisition
Deferred acquisition consideration

2000
§m

1,088.9
28.6
141.7
350.0
(255.5)
(77.0)
(24.7)
(0.1)
6.2
-----------------

1,258.1
–
–
–
348.9
-----------------

1,607.0
=========

1,695.0
–
(226.2)
79.8
-----------------

1,548.6
(12.1)
70.5
-----------------

1,607.0
=========

1999
§m
(i)
636.3
0.5
34.2
30.7
(31.1)
(40.7)
(1.3)
(0.4)
252.6
-----------------

880.8
(79.5)
(57.6)
(2.8)
495.9
-----------------

1,236.8
=========

1,355.1
(290.4)
(17.0)
20.4
-----------------

1,068.1
(24.7)
193.4
-----------------

1,236.8
=========

(i)   The 1999 figures represent acquisitions in 1999 net of disposals (primarily Keyline Builders Merchants) during

that year.

Impact of the acquisition of The Shelly Company and the Jura Group on the Group cash flow statement for 2000:

The Shelly Company
Jura Group

Return on
investments
Operating and servicing 
of finance
cash flow

Capital
Taxation expenditure

§m

§m

§m

§m

34.7
(8.9)
-----------------

25.8
=========

(24.6)
0.3
-----------------

(24.3)
=========

(3.1)
–
-----------------

(3.1)
=========

(11.3)
0.2
-----------------

(11.1)
=========

The impact of other 2000 acquisitions on the cash flow statement was not material.

72 CRH

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 33

29 Acquisition of subsidiary undertakings continued

Fair values and goodwill on acquisition

Goodwill arising in 2000 in respect of the acquisition of subsidiary undertakings amounted to §348.9 million and
comprises:

The Shelly Company
Jura Group (provisional (i))
Other acquisitions

The fair values were calculated as follows

The Shelly Company

Fixed assets
Working capital
Provisions
Taxation, including deferred tax

Jura Group (provisional (i))

Fixed assets
Working capital
Provisions
Taxation, including deferred tax
Minority shareholders’ interest

Other acquisitions

Fixed assets
Working capital
Provisions
Taxation, including deferred tax
Capital grants
Minority shareholders’ interest

Fair values Consideration
§m

§m

324.6
330.0
603.5
-----------------

1,258.1
=========

346.5
330.0
930.5
-----------------

1,607.0
=========

Book

values Revaluation
§m

§m

Accounting
policy
alignment
§m

119.2
33.0
(0.6)
(2.6)
-----------------

149.0
-----------------

242.7
108.8
(20.1)
(38.7)
(6.9)
-----------------

285.8
-----------------

299.9
113.6
(4.0)
(8.1)
(0.1)
13.2
-----------------

414.5
-----------------

849.3
=========

207.0
–
–
(21.9)
-----------------

185.1
-----------------

44.2
–
–
–
–
-----------------

44.2
-----------------

201.9
(1.9)
–
(6.9)
–
(0.1)
-----------------

193.0
-----------------

422.3
=========

–
(9.5)
–
–
-----------------

(9.5)
-----------------

–
–
–
–
–
-----------------

–
-----------------

2.6
(7.8)
–
1.2
–
–
-----------------

(4.0)
-----------------

(13.5)
=========

Goodwill
§m

21.9
–
327.0
-----------------

348.9
=========

Fair
values
§m

326.2
23.5
(0.6)
(24.5)
-----------------

324.6
-----------------

286.9
108.8
(20.1)
(38.7)
(6.9)
-----------------

330.0
-----------------

504.4
103.9
(4.0)
(13.8)
(0.1)
13.1
-----------------

603.5
-----------------

1,258.1
=========

No provisions were made in respect of reorganisation, redundancies or related asset write-downs in the twelve
months preceding the effective dates of acquisition.

(i)  The acquisition of the Jura Group was completed on 30th November, 2000. It has not been possible to complete

the investigation for determining fair value for this acquisition by 5th March, 2001 (the date on which these
financial statements were approved) and accordingly provisional valuations have been made.

CRH 73

4970 Fin S PG 41-74 for printer  26/3/01  11:49 am  Page 34

Notes on financial statements

30 Pre-acquisition profit and loss details of The Shelly Company and the Jura Group

Date of acquisition

Previous year-end

The Shelly Company
Jura Group

24th February, 2000
30th November, 2000

31st March, 1999
31st December, 1999

Profit after tax and minority interests
-------------------------------------------------------------------------
Full year
Pre-acquisition
1999
2000
§m
§m
25.5
(11.5)
23.3
8.0
=========
=========

The pre-acquisition profits/(losses) shown here for The Shelly Company and for the Jura Group have been extracted from 
financial statements prepared under the accounting policies of the individual entities prior to acquisition.

31 Operating leases

Operating lease rentals (charged before arriving at operating profit)
Hire of plant and machinery
Other operating leases

Annual commitments under operating leases which expire

Within one year
After one but within five years
After five years

2000

§m
45.3
55.9
-----------------
101.2
=========

1999

§m
30.8
35.2
-----------------
66.0
=========

Land and buildings

Other leases

§m

3.7
21.9
17.8
-----------------
43.4
=========

§m

7.6
22.7
3.7
-----------------
34.0
=========

32 Pensions

The Group operates defined benefit and defined contribution pension schemes in all its operating areas, with the
exception of Spain, France, Poland and South America. Scheme assets are held in separate trustee administered funds.
Total pension costs for the year amounted to §76.4 million (1999 : §60.1 million) of which §39.7 million 
(1999 : §25.0 million) was paid in respect of defined contribution schemes.
The pension costs relating to the Group's defined benefit schemes are assessed in accordance with the advice of
independent qualified actuaries. In Ireland and Britain either the entry age or aggregate methods are used to assess
pension costs, while in the Netherlands and the United States, the projected unit credit method is used. The actuarial
valuations range from April 1997 to December 2000.
The assumptions which have the most significant effect on the results of the actuarial valuations are those relating to
the rate of return on investments and the rate of increase in remuneration and pensions. It was assumed that the rate
of return on investments would, on average, exceed annual remuneration increases by 2% and pension increases by
4% per annum.
At the dates of the most recent actuarial valuations, the market value of the Group's defined benefit schemes totalled
§1,451 million and none of the schemes had a deficiency on a current funding level basis. After allowing for expected
future increases in earnings and pensions in payment, the actuarial value of total scheme assets was sufficient to
cover 100% of the benefits that had accrued to the members of the combined schemes.
At the year-end, §44.2 million (1999 : §30.9 million) was included in creditors in respect of pension liabilities and
§3.9 million (1999 : §3.9 million) was included in debtors in respect of pension prepayments.
In general actuarial valuations are not available for public inspection; however, the results of valuations are advised to
members of the various schemes.

33 Post-balance sheet events

Since year-end, the Board has approved potential acquisitions totalling §453 million, 80% of which are within Europe
and 20% of which are in the United States. Further announcements will be made by the Company, if necessary, upon
completion of these deals which are dependent, among other things, on satisfactory due diligence and in some
instances regulatory approval.

34 Board approval

The Board of Directors approved the financial statements on 5th March, 2001.

74 CRH

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 6

P R I N C I PA L   S U B S I D I A R Y   U N D E R TA K I N G S

Materials: Europe

Incorporated and operating in

% held

Products and services

Britain &

Farrans Limited

100

Aggregates, readymixed concrete, mortar,  

Northern Ireland

(trading as Farrans (Construction),

Ready Use Concrete, 

R.J. Maxwell & Son, Scott)

Premier Cement Limited

T.B.F. Thompson (Properties) Limited

Finland

Poland

Finnsementti Oy

Lohja Rudus Oy Ab

B-Complex S.A. 

Behaton Sp. z o.o.

Bosta Beton Sp. z o.o.

Cementownia O

.
zarów S.A.

Cementownia Rejowiec S.A.

Drogomex Sp. z o.o.
Faelbud S.A.

Holding Cement Polski S.A.
Mirbud Sp. z o.o.

O.K.S.M.
Polbet Sp. z o.o.
Prefabet Kozienice S.A.
Prefabeton Sp. z o.o.

Republic of
Ireland

Irish Cement Limited
Premier Periclase Limited

Roadstone-Wood Group
Breton Roecrete Limited
Clogrennane Lime Limited
John A. Wood Limited

Ormonde Brick Limited
Roadstone Dublin Limited

Roadstone Provinces Limited

Beton Catalan Group

Beton Catalan s.a.

Cabi s.a.

Cantera de Aridos Puig Broca s.a.

Explotacion de Aridos Calizos s.a.

Formigo i Bigues s.a.

Formigons Girona s.a.

Suberolita s.a.

Tamuz s.a.

Spain

coated macadam, asphalt, precast concrete,  

concrete products, rooftiles, building and civil  

engineering contracting

Marketing and distribution of cement

Property development

Cement

Aggregates, asphalt and readymixed concrete

Readymixed concrete and concrete paving

Readymixed concrete and concrete paving

Readymixed concrete

Cement

Cement

Asphalt and contract surfacing
Readymixed concrete, concrete products and 
concrete paving
Holding company
Readymixed concrete, concrete products and 
concrete paving
Aggregates
Concrete paving
Concrete products
Readymixed concrete and concrete products

Cement
High quality seawater magnesia

Prestressed concrete flooring and precast concrete
Burnt and hydrated lime
Aggregates, concrete products, asphalt, agricultural and
chemical limestone and readymixed concrete
Clay brick 

Aggregates, readymixed concrete, mortar, coated
macadam, asphalt, contract surfacing and concrete blocks
Aggregates, readymixed concrete, mortar, coated
macadam, asphalt, contract surfacing, concrete blocks

and rooftiles

Readymixed concrete

Cementitious materials

Aggregates

Aggregates

Aggregates

Readymixed concrete and precast concrete products

Readymixed concrete and precast concrete products

Aggregates

100

100

100

100

59.58

99.35

50

99.45

99.45

98.87
96.74

100
87.54

98.97
74.59
59.67
99.31

100
100

100
100
100

100
100

100

100

100

100

100

100

100

100

100

Switzerland

JURA-Holding

100

Cement, aggregates and readymixed concrete

Ukraine

Podilsky Cement

75.86

Cement

CRH 75

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 7

Principal subsidiary undertakings

Products & Distribution: Europe

Incorporated and operating in

% held

Products and services

Belgium

Brakel Aero nv

Marlux nv

Omnidal nv

Remacle sa

Schelfhout nv

Vebofoam nv

Britain &

Cox Building Products Limited

Northern Ireland

Forticrete Limited

Ibstock Brick Limited

Springvale Limited

France

Matériaux Service sa*

Prefaest sa

Raboni sa

AKA Ziegelwerke GmbH & Co KG*
Brakel Aero GmbH
Greschalux GmbH 
Heras Zaunsysteme GmbH
JET Kunststofftechnik GmbH

Clay bricks
Kleiwarenfabriek Buggenum bv
Kleiwarenfabriek Façade Beek bv
Kleiwarenfabriek Joosten Kessel bv
Kleiwarenfabriek Joosten Wessem bv
Kooy Bilthoven bv

Concrete products
Dycore bv
Struyk Verwo bv

Security Fencing
Heras Hekwerk bv

Merchanting and Retailing
Garfield Aluminium bv
Kelders Dakmaterialen bv
Dijkbouw Beheer bv
Van Neerbos Bouwmaterialen bv

Van Neerbos Bouwmarkten bv

Van Neerbos Bouwmaten bv

Syntec bv

Rooflights & Ventilation

BIK Bouwprodukten bv

Brakel Atmos bv

Kimmenade Nederland bv

Vaculux bv

Germany

Netherlands

76 CRH

100

100

100

100

100

100

100

100

100

100

100

80

100

100
100
100
100
100

100
100
100
100
100

100
100

Rooflights, glass roof structures and ventilation systems

Decorative concrete paving

Precast concrete wall and floor elements

Precast concrete products

Precast concrete wall elements

XPS insulation

Domelights, ventilation systems and continuous rooflights

Concrete masonry products and rooftiles

Clay brick and pavers

EPS insulation and packaging

Builders merchants

Precast concrete products

Builders merchants

Clay brick, pavers and rooftiles
Rooflights, glass roof structures and ventilation systems
Domelights and ventilation systems
Security fencing
Domelights, ventilation systems and continuous rooflights

Clay brick
Clay brick 
Clay brick 
Clay brick
Clay brick

Concrete flooring elements
Concrete paving products

100

Security fencing

100
100
100
100

100

100

100

100

100

100

100

Aluminium stockholding
Roofing materials merchant
DIY stores
Builders merchants

DIY stores

Cash & Carry building materials

Locksmiths, tools and ironmongery

Domelights and continuous rooflights

Glass roof structures, continuous rooflights and 

ventilation systems

Seamless roofing systems

Domelights

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 8

Products & Distribution: Europe

Incorporated and operating in

% held

Products and services

Poland

CRH Klinkier Sp. z o.o.

GenBud S.A.

Gozdnica Sp. z o.o.

Patoka Industries Sp. z o.o.

Termo Organika S.A.*

100

55.56

99.96

99.19

100

Clay brick

Builders merchants

Clay brick

Clay brick

EPS insulation

Republic of

Aerobord Limited

100

EPS insulation and packaging

Ireland

Materials: The Americas

Incorporated and operating in

% held

Products and services

United States

Oldcastle Materials, Inc.

100

Management company

Callanan Industries, Inc.

CPM Development Corporation

Cundy Asphalt Paving Corporation, Inc.
Dolomite Products Co, Inc.
Evans Construction Company

Four Corners Materials, Inc.

Hills Materials Company

Jack B. Parson Companies

Pennsy Supply, Inc.

Pike Industries, Inc.
P.J. Keating Company

Staker Paving and Construction Company, Inc.
The Shelly Company
Thompson-McCully Enterprises, Co.
Tilcon Capaldi, Inc.
Tilcon Connecticut, Inc.

Tilcon New York, Inc.

United Companies of Mesa County, Inc.

100

100

100
100
100

100

100

100

100

100
100

100
100
100
100
100

100

100

Aggregates, asphalt, readymixed concrete and related 
construction activities
Aggregates, asphalt, readymixed concrete, 
prestressed concrete and related construction activities
Aggregates, asphalt and related construction activities
Aggregates, asphalt and readymixed concrete 
Aggregates, asphalt, readymixed concrete and related
construction activities
Aggregates, asphalt, readymixed concrete and related 
construction activities
Aggregates, asphalt, readymixed concrete and related 
construction activities
Aggregates, asphalt, readymixed concrete and related
construction activities
Aggregates, asphalt, readymixed concrete and related
construction activities
Aggregates, asphalt and related construction activities
Aggregates, asphalt and related construction activities

Aggregates, asphalt and related construction activities
Aggregates, asphalt and related construction activities
Aggregates, asphalt and related construction activities 
Aggregates, asphalt and related construction activities
Aggregates, asphalt, readymixed concrete and related

construction activities

Aggregates, asphalt and related construction activities

Aggregates, asphalt, readymixed concrete and

related construction activities

CRH 77

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 9

Products & Distribution: The Americas

Incorporated and operating in

% held

Products and services

Argentina

Canteras Cerro Negro S.A.

98.27

Clay rooftiles, wall tiles and floor tiles

CRH Sudamericana S.A.

Superglass S.A.

Canada

Groupe Permacon, Inc.

HGP Glass Industries of Canada, Inc. 

(trading as Armourguard Glass Products, 

Wescan and Synertech Moulded Products)

United States

CRH America, Inc.

Oldcastle, Inc.

Oldcastle Building Products, Inc.

(trading as Oldcastle Products &

Distribution)

Architectural Products Group
Oldcastle Architectural, Inc.

Big River Industries, Inc.

Glen-Gery Corporation

Oldcastle APG Midwest, Inc.
(trading as Akron Brick & Block, 4D, 
Miller Material, Schuster’s Building Products)

Oldcastle APG National, Inc.
(trading as Trenwyth Industries, Betco North, 
Foster-Southeastern, Rochester Block & Products, 
Balcon, Domine Builders Supply)

Oldcastle APG South, Inc.
(trading as Adams Products,
Bosse Concrete Products, 
Eagle-Cordell Concrete, Goria Enterprises,
Jewell Concrete Products)

Oldcastle APG West, Inc.
(trading as Superlite Block, Amcor
Utah Block, Central Pre-Mix, Concrete
Designs, Young Block, Sakrete PNW)

Oldcastle Westile, Inc.

CCI Manufacturing, Inc.

(trading as Custom-Crete, Nova Concrete Express)

100

100

65

100

100

100

100

100

100

100

100

Management company

Fabricated and tempered glass products

Masonry, paving and retaining walls

Fabricated and tempered glass products,

polymer concrete, utility trenches and boxes

Holding company

Management company

Holding company

Holding company

Lightweight aggregate and fly-ash

Clay brick, concrete pipe and block

Masonry, landscaping and patio products

100

Specialty masonry, landscaping and patio products

100

Masonry, pavers and patio products

100

100

100

Masonry, landscaping and patio products,
concrete rooftiles and pre-mixed concrete 
and mortar

Patio products and concrete rooftiles

Masonry, pavers and patio products

American Stone Mix, Inc.

100

Pre-mixed concrete and mortar

Distribution Group

Allied Building Products Corp.

100

Distribution of roofing, siding and related 

(trading as Allied Building Products, RSI Wholesale,

products

Builders Supply, Southern Atlantic Supply Division, 

Midwest Supply Division - Allied)

78 CRH

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 10

Products & Distribution: The Americas

Incorporated and operating in

% held

Products and services

Glass Group

Oldcastle Glass, Inc.

(trading as HGP Industries, North American Glass,

Glass Distributors of America, Tempglass, 

Downey Glass, General Glass, O&W, 

United Tempering Systems, Free State Industries, 

International Aluminium, Hoffer’s, 

Laminated Glass of PA)

Oldcastle Windows, Inc.

Precast Group

Oldcastle Precast, Inc.

100

Fabricated and tempered glass products

100

Aluminium and vinyl windows

100

Precast concrete piling, prestressed plank

(trading as Utility Vault, Amcor Precast,

and structural elements

Brooks Products, Rotondo Precast, NC Products, 

Cloud Concrete Products, Spancrete Northeast,

Superior Concrete, W.R. White, Strescon Industries, 

Cayuga Concrete Pipe, Kerr Concrete Pipe, 
New Jersey Concrete Pipe)

P R I N C I PA L   J O I N T   V E N T U R E   U N D E R TA K I N G S

Materials: Europe

Incorporated and operating in

% held

Products and services

Republic of
Ireland

Kemek Limited*

Products & Distribution: Europe

50

Commercial explosives and chemical suppliers

Incorporated and operating in

% held

Products and services

Williaam Cox Ireland Limited

50

Continuous rooflights and glass constructions

Republic of
Ireland

Netherlands

Bouwmaterialenhandel de Schelde bv 
Eclips Bouwmarkten bv
EcoTherm bv

50
50
50

50

DIY stores
DIY stores
Polyurethane insulation

Cash & Carry building materials

Portugal

Modelo Distribuição de Materiais 
de Construção sa

Materials: The Americas

Incorporated and operating in

% held

Products and services

United States Buckeye Readymix LLC*

45

Readymixed concrete

Products & Distribution: The Americas

Incorporated and operating in

% held

Products and services

Chile

Vidrios Dell Orto S.A. 

49.95

Glass fabricator

* Audited by firms other than Ernst & Young

CRH 79

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 11

M A N A G E M E N T

Senior Group Staff

Maeve Carton
Assistant General Manager
Finance

Jack Golden
Human Resources Director

Myles Lee
General Manager 
Finance

Angela Malone
Company Secretary

Rossa McCann
Assistant General Manager
Finance

Jim O’Brien
Group Technical Advisor

Éimear O’Flynn
Group Planning Manager

Pat O’Shea
Group Taxation Manager 

Fionan O’Sullivan
Group IT Director

Ronan Tierney
Internal Audit Director

80 CRH

Europe

Materials

Brian Griffin
Managing Director

Tony Macken
Business Development
Manager

Albert Manifold
Finance Director

Sean Tangney
Business Development
Director

Finland

Aulis Miettunen
Managing Director
Finnsementti

Lauri Ratia
Managing Director
Lohja Rudus

Ireland

Tony O’Loghlen
Managing Director
CRH Ireland

Donal Dempsey
Managing Director
Roadstone Dublin

Leo Grogan
Managing Director
Clogrennane Lime

Michael Grogan
Managing Director
Roadstone Provinces

John Hogan
Managing Director
John A. Wood

Máirtín MacAodha
Managing Director
Premier Periclase

Jim Nolan
Managing Director
Irish Cement

Ernie McClure
Managing Director
Farrans

Farrans Divisional
Directors
Ralph Clarke
John Gillvray
William McNabb
Graham McQuillan
Noel Quinn

The Americas

Michael O’Driscoll
Chief Financial Officer

Materials

North America

Tom Hill
Chief Executive Officer

Mark S. Towe
President

Glenn A. Culpepper
Chief Financial Officer

James A. Polk
Vice President 
Energy & Asphalt Services

Dale Decker
Vice President 
Technical Services

Frank Heisterkamp
Vice President
Development

Michael Brady
Vice President
Development

Joseph A. Abate
Chairman
Tilcon Group

Carmine Abate
President
Tilcon Connecticut

Don Eshleman
President
Mid-Atlantic Group

Chris Madden
President
New York State Group

Mike Murphy
Chairman
Northwest Group

Dan Murphy
President
Northwest Group

Val Staker
President
Mountain Group

Ken Nesbitt
President
Southwest Group

Poland

Declan Doyle
Managing Director
CRH Poland

Eamon Geraghty
President
Holding Cement Polski

Andrzej Ptak
President
Cementownia O

.
zarów

Spain

Sebastia Alegre
Managing Director
CRH Spain

Josep Masana
Chief Financial Officer

Divisional Directors
Josep Perxas
Juan-Antonio Serrano

Switzerland

Urs Steinegger
Managing Director

Divisional Directors
Urs Sandmeier
Martin Glarner

John Parson
President
Jack B. Parson

Randy Pike
President
Pike Group

Bill Sandbrook
President
Tilcon New York

Bob Thompson
Chairman
Thompson-McCully

Dennis Rickard
President
Thompson-McCully

Mark Shelly
President
Shelly Group

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 12

Distribution

Building products

Clay products

Products & Distribution

Brian Hill
Group Managing Director

André Huiskamp
Chief Financial Officer

Edwin Nijman
Vice President 
Finance

Ivan Kingston
Vice President 
Finance

Michel Welters
Vice President
Development

Edwin van den Berg
Development Executive

Rudy Aertgeerts
Development Executive

Gert Vermeiden
Business Development
Advisor

Stephan Nanninga
Product Group Director

Les Tench
Product Group Director

Kees van der Drift
Finance & Development
Director

Kees Verburg
Finance & Development
Director

Thibaut d’Aligny
Managing Director
Matériaux Service

Louis Bruzi
Managing Director
Raboni

Mieczyslaw Hauswirt
General Manager
GenBud

Anibal Victorino Ramos
General Manager
Max(cid:127) Mat

Erik Bax
Managing Director
Heras Fencing

Des Clinton
Managing Director
Insulation Ireland &
Poland

Peter Cooke
Managing Director
Springvale

Shaun Gray
Managing Director
Insulation Mainland
Europe

Gerben Stilma
Managing Director
Rooflights & Ventilation

Dariusz Stachura
Managing Director
Termo Organika

Products & Distribution

John L. Wittstock
Chief Executive Officer

North America

Architectural Products

Joe McCullough
President

Doug Black
Chief Operating Officer

Keith Haas
Vice President
Development

Tom Solberg
Vice President
Operations

Paul Valentine
Vice President 
Finance

Bertin Castonguay
President
Groupe Permacon

Tim Friedel
President
APG South

Cameron Klein
President
APG West

Pat O’Sullivan
President
APG National

Michael Wojno
President
APG Midwest

Steve Matsick
President
Glen-Gery

Glass

Ted Hathaway
President

Dominic Maggiano
Chief Financial Officer

Jim Avanzini
Group President
(Northwest, West, South)

Roy Orr
Group President
(Central, North Central,
East)

Precast

Jim Schack
President

David Steevens
Vice President 
Development

Bob Quinn
Vice President 
Finance

Tom Conroy
President
Northeast Division

Pete Kelly
President
Southeast Division

Ray Rhees
President
Central Division

Mark Schack
President
Western Division

David Shedd
President
Communication Division

Ibstock Brick

Liam Hughes
Managing Director

Geoff Bull
Finance Director

Martyn Clamp
Operations Director

Mainland Europe

Jan van Ommen
Product Group Director 

Aidan Grimes
Finance & Development
Director

Concrete products

Máirtín Clarke
Product Group Director

Marc St. Nicolaas
Finance & Development
Director

Distribution

Bob Feury
Chairman

Michael Lynch
President

Robert Feury Jr.
Chief Operating Officer

Greg Bloom
Vice President

Regional Managers

John Fetherman
John McLaughlin
Steve Neil
Ray Steele
Ed Szalkiewicz

Brian Reilly 
Controller

Ghislain Viellard 
Managing Director 
Prefaest

Bernard Hermant
Managing Director
Remacle

Wayne Sheppard
Managing Director
Forticrete

Dirk Vael
Managing Director
Marlux

Jan van Dongen 
Managing Director
Dycore

Cees Wortel
Managing Director
Struyk Verwo 

Ruddy Frans
Managing Director
Omnidal

John Schelfhout
Managing Director
Schelfhout

South America

Argentina

Juan Carlos Girotti
Managing Director
CRH Sudamericana
Canteras Cerro Negro

Ricardo Garbesi
Managing Director
Superglass

Alejandro Javier Bertrán
Business Development
Manager

Diego Enrique Carnevale
Business Development
Manager

Chile

Bernardo Alamos
Joint Managing Director
Vidrios Dell Orto

Claudio Rivera
Joint Managing Director
Vidrios Dell Orto

CRH 81

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 13

A D D I T I O N A L   I N F O R M AT I O N   F O R   U S   I N V E S T O R S

CRH shares are traded in the US on the National Association of
Securities Dealers Automated Quotation System (“NASDAQ”) in the
form of American Depositary Shares (“ADSs”) and held in the form of
American Depositary Receipts (“ADRs”). The ticker symbol is CRHCY.
The administration of the ADRs is handled by Citibank, N.A. of New
York. Each ADS represents one Ordinary Share of the Company. 

CRH will be filing an Annual Report on Form 20-F with the Securities
and Exchange Commission (SEC). This report is available to
shareholders when filed and copies will be supplied on application to
the Secretary.

The consolidated financial statements on pages 46 to 74 are
prepared in accordance with accounting principles generally
accepted in the Republic of Ireland (“Irish GAAP”).

Irish GAAP, which are consistent with accounting principles generally
accepted in the United Kingdom, differ in certain significant respects
from accounting principles generally accepted in the United States
(“US GAAP”). The adjustments necessary to state net income and
shareholders’ funds under US GAAP are shown in the table on 
page 83. 

(i) Stock-based employee compensation expense
Under the terms of the Group’s Employee Share Option Schemes, as
described in note 25 to the financial statements, options can only be
exercised after the expiration of three years or five years from the
dates of grant and after specific EPS growth targets have been
achieved. The number of shares that may be acquired by employees
is therefore not fully determinable until after the date of the grant, and
accordingly the Share Option Schemes are variable plans within the
meaning of the US Accounting Principles Board Opinion No. 25,
“Accounting for Stock Issued to Employees” (APB 25). Under Irish
GAAP, such employee options do not currently result in charges
against income.

US GAAP, as set forth in SFAS 123 “Accounting for Stock-Based
Compensation”, encourage, but do not require, companies to adopt a
fair value approach to valuing share options that would require
compensation cost to be recognised based on the fair value of  share
options granted. The Group has elected, as permitted by SFAS 123, to
follow the intrinsic value based method of accounting for share
options as set out in APB 25. Compensation expense is booked to
income each period from the date of grant, or the date achievement of
the EPS growth targets is deemed probable, if later, to the “date of
measurement” based on the difference between the price an
employee must pay to acquire the shares underlying the option and
the quoted market price of the shares at the end of each period. The
“date of measurement” is the first date on which the relevant EPS
growth targets have been achieved.

(ii) Goodwill 
With effect for accounting periods ended on or after 23rd December,
1998, Irish GAAP require goodwill to be capitalised and amortised
periodically against income. This is consistent with US GAAP. All
goodwill written-off prior to the financial year 1998 against equity
reserves under the Group’s former accounting policy remains

eliminated against those reserves and has not been reinstated in the
Group balance sheet. This is not permitted under US GAAP, and
accordingly an adjustment is required under US GAAP to capitalise
and amortise periodically through the income statement all goodwill
eliminated against shareholders’ equity. For the purposes of this
reconciliation, a useful life of 40 years has been adopted for goodwill
arising prior to 1998. 

(iii) Profit on disposal of Keyline Builders Merchants 
The profit of §79.5 million on sale of Keyline in 1999 (see note 2 
on page 57 of the financial statements) was arrived at after taking 
into account goodwill of §57.6 million previously written-off against
Group reserves. Under US GAAP, this gain was further adjusted by 
the cumulative amount amortised to income in respect of Keyline
goodwill.

In addition, US GAAP required that the cumulative currency translation
profits/(losses) relating to Keyline previously accounted for in Group
retained earnings be included in the determination of the profit on
disposal in 1999.

(iv)   Property revaluations 
Under Irish GAAP, properties may be restated on the basis of
appraised values in financial statements prepared in all other respects
in accordance with the historical cost convention. Such restatements
are not permitted under US GAAP and accordingly adjustments to net
income and shareholders’ equity are required to eliminate the effect of
such restatements.

(v) Pensions  
Under Irish GAAP, pension costs in respect of the Group’s defined
benefit plans are assessed in accordance with the advice of
independent actuaries, using assumptions and methods which, taken
as a whole, produce the actuaries’ best estimates of the cost of
providing the pension benefits promised. US GAAP specifically require
the use of the projected unit credit method for costing purposes, and
the assumptions used must be based on current market rates. 

(vi) Debt issue expenses  
Under Irish GAAP, costs relating to the issue of debt securities are
written-off in the income statement in the period in which costs are
incurred. US GAAP require such expenses to be amortised to income
over the period to the first redemption/repayment date.

(vii)  Dividends 
Under Irish GAAP, dividends declared after the end of an accounting
period in respect of that accounting period are deducted in arriving at
the retained earnings at the end of that period. Under US GAAP,
dividends are charged in the period in which the dividends are
declared.

(viii)  Deferred taxation  
The adjustments to net income under US GAAP referred to above
give rise to movements in deferred taxation which are shown
separately in the reconciliation on page 83.

(ix) Other investments
Under Irish GAAP, investments listed on a recognised stock exchange
are shown at cost. US GAAP require that these investments be
measured at fair value in the financial statements.

82 CRH

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 14

(x) Cash flows
The consolidated statement of cash flows prepared under Irish GAAP
(see page 50) presents substantially the same information as that
required under US GAAP by SFAS 95 “Statement of Cash Flows”.
This standard differs, however, with regard to the classification of
items within the statements and as regards the definition of cash.
Under US GAAP, cash and cash equivalents include short-term
investments with a maturity of three months or less at the date of
acquisition. Under Irish GAAP, movements in short-term investments
are classified as management of liquid resources. Under Irish GAAP,
cash flows are presented separately for operating activities, dividends

received from joint ventures, returns on investments and servicing of
finance, taxation, capital expenditure and financial investment, equity
dividends paid, management of liquid resources and financing. US
GAAP, however, require only three categories of cash flow activity to
be reported: operating, investing and financing. Cash flows from
taxation and returns on investments and servicing of finance shown
under Irish GAAP would, with the exception of preference dividends
paid, be included as operating activities under US GAAP. The
payment of dividends would be included as a financing activity under
US GAAP.

R E C O N C I L I AT I O N   T O   U S   G A A P

Approximate effect on net income

Net income (profit attributable to ordinary shareholders) as
reported in the Group profit and loss account

Approximate US GAAP adjustments

Stock-based employee compensation (i)
Goodwill amortisation (ii)
Adjustment to profit on disposal of Keyline Builders Merchants (iii)
Adjustments due to elimination of revaluation surplus (iv)
– depreciation
– profit on disposal
Pensions (v)
Amortisation of issue expenses (vi)
Deferred taxation (viii)

Approximate net income attributable to ordinary shareholders under US GAAP

Approximate basic net income per Ordinary Share/ADS under US GAAP

Approximate cumulative impact on shareholders’ equity

2000
§m

1999
§m

498.3

454.0

(6.2)
(12.3)
–

0.4
–
26.4
0.9
(3.8)

(32.9)
(10.7)
27.2

0.4
1.0
16.7
0.9
0.9

--------------------

503.7
==========

126.27c
==========

--------------------

457.5
==========

117.27c
==========

Shareholders’ equity as reported in the Group balance sheet

3,075.1

2,201.7

Approximate US GAAP adjustments

Goodwill (ii)
Elimination of revaluation surplus (iv)
Pensions (v)
Issue expenses prepaid (vi)
Proposed dividends (vii)
Deferred taxation (viii)
Other investments (ix)

Approximate shareholders’ equity under US GAAP

355.8
(30.8)
121.9
2.9
66.7
(31.5)
5.8
--------------------

3,565.9
==========

350.7
(31.0)
95.7
1.9
55.2
(26.9)
6.3
--------------------

2,653.6
==========

CRH 83

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 15

S H A R E H O L D E R   I N F O R M AT I O N

Dividend payments

Share price data

An interim dividend of 6.70 cent, with scrip alternative, was paid in respect of
Ordinary and Income Shares on 10th November, 2000.

A final dividend of 16.10 cent, if approved, will be paid in respect of Ordinary
and Income Shares on 14th May, 2001. A scrip alternative will be offered to
shareholders.

Dividend Withholding Tax (“DWT”) must be deducted from dividends paid by
an Irish resident company, unless a shareholder is entitled to an exemption
and has submitted a properly completed exemption form to the Company’s
Registrars. DWT applies to dividends paid by way of cash or by way of
shares under a scrip dividend scheme and is deducted at the standard rate
of Income Tax (20% from 6th April, 2001).  Non-resident shareholders and
certain Irish companies, trusts, pension schemes, investment undertakings
and charities may be entitled to claim exemption from DWT and have been
sent the relevant form. Further copies of the form may be obtained from 
Capita Corporate Registrars plc. Shareholders should note that 
DWT will be deducted from dividends in cases where a properly completed
form has not been received by the record date for a dividend. Individuals who
are resident in Ireland for tax purposes are not entitled to an exemption.

Shareholders who wish to have their dividend paid direct to a bank account,
by electronic funds transfer, should contact Capita Corporate Registrars plc
to obtain a mandate form. Tax vouchers will be sent to the shareholder’s
registered address under this arrangement.

In order to avoid costs to shareholders, arrangements have been made for
shareholders resident outside the Republic of Ireland to receive payment of
their dividend in the equivalent amounts of Sterling, US Dollars or Dutch
Guilders, if they so require. In addition, shareholders may opt to have their
dividend paid in euro. Shareholders who wish to receive their dividend in any
of the aforementioned currencies should contact Capita Corporate Registrars
plc.

Dividends in respect of 5% Cumulative Preference Shares are paid half-
yearly on 15th April and 15th October.

Dividends in respect of 7% ‘A’ Cumulative Preference Shares are paid half-
yearly on 5th April and 5th October.

Share price at 31st December

Market capitalisation

Share price movement

during the year:           - high

- low  

2000

§

19.82

8.2bn

21.95

15.95

1999

§

21.40

8.4bn

21.80

13.55

Shareholdings as at 31st December, 2000

Ownership of Ordinary Shares

Category

Number of shares held

% of total

Individuals

Nominees

Insurance companies

Other corporate bodies

Pension funds

’000

42,589

349,257

14,283

2,840

5,506

-----------------
414,475
========

10.28

84.26

3.45

0.68

1.33

-----------------
100
========

Number of accounts       % of total

Holdings

1 - 1,000

1,001 - 10,000

10,001 - 100,000

100,001 - 1,000,000

Over 1,000,000

14,153

8,815

1,104

159

47

58.30

36.31

4.55

0.65

0.19

-----------------
24,278
========

-----------------
100
========

CREST

Stock Exchange listings

Transfer of the Company’s shares takes place through the CREST settlement
system. Shareholders have the choice of holding their shares in electronic
form or in the form of share certificates.

On 5th March, 2001 a total of 362,840,922 Ordinary Shares (87.54% of the
total in issue) in 6,809 accounts (28.61% of the total number of accounts)
were held in uncertificated form in CREST compared with 51,648,323
Ordinary Shares in 16,989 accounts held in certificated form.

CRH registered shares have a primary listing on both
the Irish and London Stock Exchanges and its ADRs
are listed on NASDAQ in the US.

84 CRH

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 16

Financial calendar

Announcement of final results
for 2000

6th March, 2001

Ex-dividend date

14th March, 2001

Record date for dividend

16th March, 2001

Latest date for receipt
of scrip forms

27th April, 2001

Annual General Meeting 

9th May, 2001

Dividend payment date and first day
of dealing in scrip dividend shares  

14th May, 2001

N O T I C E   O F   M E E T I N G

The Annual General Meeting of CRH plc will be held at Jurys Hotel,
Ballsbridge, Dublin at 3 p.m. on Wednesday, 9th May, 2001 for the following
purposes:

1. To consider the Company’s financial statements and the Reports of the
Directors and Auditors for the year ended 31st December, 2000.

2. To declare a dividend on the Ordinary and Income Shares.

3. To re-elect the following Directors:

Mr. D.M. Kennedy
Mr. H.E. Kilroy
Mr. P.J. Molloy
Mr. W.I. O’Mahony
in accordance with Article 103.

4. To authorise the Directors to fix the remuneration of the Auditors.

4th September, 2001

5. To consider and, if thought fit, to pass as an Ordinary Resolution:

Announcement of interim
results for 2001

Capital Gains Tax

The market value of the Company’s shares as
calculated for the purposes of Capital Gains Tax
were as follows:

Republic of Ireland, 6th April, 1974

Ordinary Shares of §0.32 each
Adjusted for bonus issues in accordance 
with the Capital Gains Tax (Amendment) 
Act, 1978

§0.4571

5% Cumulative Preference Shares
of §1.27 each

7% ‘A’ Cumulative Preference Shares
of §1.27 each

§0.4349

§0.5587

Registrars

Enquiries concerning shareholdings should be
addressed to:

Capita Corporate Registrars plc 
(formerly Bastow Charleton Registrars Limited), 
Marine House, Clanwilliam Court, Dublin 2.
Telephone: +353 (0) 1 661 7300
Fax: +353 (0) 1 676 9280

That in accordance with the powers, provisions and limitations of Article
11(d) of the Company’s Articles of Association and subject to the passing
of Resolution 7, the Directors be and they are hereby authorised to allot
relevant securities up to an aggregate nominal amount equal to the
authorised but as yet unissued share capital of the Company at the close of
business on the date of the passing of this Resolution for a period of five
years from 9th May, 2001.

6. To consider and, if thought fit, to pass as a Special Resolution:

That in accordance with the powers, provisions and limitations of Article
11(e) of the Company’s Articles of Association, the Directors be and they
are hereby empowered to allot equity securities for cash and in respect of
sub-paragraph (iii) thereof up to an aggregate nominal value of
§8,807,000.

Special Business

7. To consider and, if thought fit, to pass as an Ordinary Resolution:

That the Ordinary share capital of the Company be increased to
§235,200,000 by the creation of 185,000,000 Ordinary Shares of §0.32
each and the Income share capital of the Company be increased to
§14,700,000 by the creation of 185,000,000 Income Shares of §0.02
each, such new shares to rank pari passu in all respects with the existing
Ordinary and Income Shares respectively.

For the Board, A. Malone, Secretary,
42 Fitzwilliam Square, Dublin 2.
4th April, 2001

Notes
(1) The final dividend, if approved, will be paid on the Ordinary and Income Shares
on 14th May, 2001.
(2) Any member entitled to attend and vote at this Meeting may appoint a proxy
who need not be a member of the Company.
(3) Pursuant to Regulation 14 of the Companies Act, 1990 (Uncertificated
Securities) Regulations, 1996, the Company hereby specifies that only those
shareholders registered in the Register of Members of the Company as at 6 p.m. on
Monday, 7th May, 2001 shall be entitled to attend or vote at the Annual General
Meeting in respect of the number of shares registered in their name at that time.
(4) The holders of preference shares, although entitled to receive copies of the
reports and financial statements, are not entitled to attend and vote at this 
Meeting in respect of their holdings of such shares.

CRH 85

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 17

I N D E X

A

B

C

D

E

Accounting policies
Accounts and dividends
Acquisition of subsidiary undertakings (note 29)
Additional information for US investors
Analysis of net debt (note 20)
Annual General Meeting
Architectural Products Group
Auditors
Auditors’ report
Authority to allot shares

Board approval (note 34)
Board Committees
Board of Directors
Building products group
Business review

Capital gains tax
Capital grants (note 23)
Cash flow
Cash generation
Chairman’s statement
Chief Executive’s review
Clay products group
Company balance sheet
Compound average growth rates
Concrete products group
Corporate governance
CREST
CRH characteristics 

Page
52
36
72
82
65
37
22
37
45
37

74
32
5, 32, 37
15
36

85
68
27
27
4
7
14
49
27
14
5, 35, 37
84
inside cover

Debtors (note 16)
Development activity
Directors’ emoluments and interests (note 5)
Directors’ interests
Directors’ remuneration
Directors’ report
Disapplication of pre-emption rights
Disposal of fixed assets (note 14)
Distribution group - Products & Distribution: Europe
Distribution Group - Products & Distribution: The Americas
Dividend payments
Dividends (note 9)

Earnings per Ordinary Share (note 10)
Employment (note 6)
Environment, The
Environmental review
Exceptional items in 1999 (note 2)
Exchange translation effects
e-Business

62
4
57
42
40
36
37
62
15
23
84
59

59
58
8
30
57
26
8

26

F

Finance review

86 CRH

Financial assets (note 13)
Financial calendar
Financial indicators
Financial risk management
Financial trends 1996 to 2000
Financing expansion
Finland/Baltics

Geographic and product spread
Glass Group
Group balance sheet
Group cash flow statement
Group financial summary 
Group profit and loss account
Guarantees (note 22)

Highlights 
Human resources

Impact of business disposals
Increase in authorised share capital
Incremental impact of acquisitions
Industry consolidation
Intangible asset - goodwill (note 11)
Interest and currency management
Interest and currency sensitivity
Interest payable (net) (note 7)
Investing for the future
Ireland

Key components of 2000 performance
Key financial indicators

2000 larger acquisitions - Americas
2000 larger acquisitions - Europe
Liquid resources
Loans (note 19)

G

H

I

K

L

M Major strategic moves

Management
Management and staff
Materials: Europe 
• 2000 overview
• 2000 results
• Annualised production volumes
• Development strategy
• Market leadership positions
• Outlook 2001
• Product end-use
• Products and services
Materials: The Americas 
• 2000 overview
• 2000 results

Page
61
85
26
28
1
5
11

inside cover
22
48
50
88
46
68

1, 7
8, 31

26
37
26
9
60
28
28
58
2
10

26
27

9
8
28
64

7
inside cover, 80
5

10
10
12
13
12
11
12
12

18
18

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 18

Page
20
21
20
19
20
20
19
63
47

18
54
85

5
9
36
11
19
15
23

26
57
74
57
7
inside cover
8

• Annualised production volumes
• Development strategy
• Market leadership positions
• Outlook 2001
• Product end-use
• Products and services
Midwest - Materials: The Americas
Movements in working capital (note 18)
Movements on profit and loss account

N

Northeast - Materials: The Americas
Notes on financial statements
Notice of Meeting

O  Ongoing operations

Operating costs, including goodwill amortisation (note 3)
Operating leases (note 31)
Operating profit (note 4)
Operational performance
Organisation
Other development activity
Outlook 2001
• Chairman’s statement
• Chief Executive’s review
• Directors’ report
• Materials: Europe
• Materials: The Americas
• Products & Distribution: Europe
• Products & Distribution: The Americas

P

Pensions (note 32)
Performance
Poland
Post-balance sheet events (note 33)
Precast Group
Pre-acquisition profit and loss details of 
The Shelly Company and the Jura Group (note 30)
Principal joint venture undertakings
Principal subsidiary undertakings
Production & Distribution: Europe
• 2000 results
• 2000 overview
• Annualised production volumes
• Development strategy
• Market leadership positions
• Outlook 2001
• Product end-use
• Products and services
Products & Distribution: The Americas 
• 2000 overview
• 2000 results
• Annualised production volumes
• Development strategy

74
inside cover
11
74
23

74
79
75

14
14
16
17
16
15
16
16

22
22
24
25

• Market leadership positions
• Outlook 2001
• Product end-use
• Products and services
Profitability and earnings
Provisions for liabilities and charges (note 24)

Page
24
23
24
24
4
68

Reconciliation of movements in shareholders’ funds (note 27) 71
Reconciliation of net cash flow to movement in net debt
51
Reconciliation of operating profit to net cash inflow 
from operating activities (note 28)
Reconciliation to US GAAP
Registrars
Report on Directors’ remuneration
Reserves (note 26)
Results
Results in brief by currency

71
83
85
38
70
26
29

R

S

Safety, Health and Welfare at Work Act,1989
Segmental information (note 1)
Share capital (note 25)
Share price
Share price data
Shareholder information
Shareholdings
South America
Spain
Statement of Directors’ responsibilities
Statement of total recognised gains and losses
Stock Exchange listings 
Stocks (note 15)
Strategic vision
Strategy
Strong growth in challenging market conditions
Subsidiary and joint venture undertakings
Substantial holdings
Summary

T

Tangible assets (note 12)
Taxation on profit on ordinary activities (note 8)
Total shareholder return
Trade and other creditors (note 17)
Treasury information (note 21)

W West - Materials: The Americas

37
54
69
28
84
84
84
23
11
44
47
84
62
inside flap
inside cover
4
37
37
28

60
58
9
63
65

19

CRH 87

4970 Fin S PG 36-40,75-88  26/3/01  11:38 am  Page 19

G R O U P   F I N A N C I A L   S U M M A R Y

Turnover, including share 
of joint ventures
Less: share of joint ventures

Group trading profit
Share of joint ventures’ operating profit
Exceptional items

Trading profit, including
share of joint ventures
Interest payable (net)
– Group
– share of joint ventures

Profit on ordinary activities before taxation
Taxation on profit on ordinary activities
Taxation on exceptional items

Profit on ordinary activities after taxation

Employment of capital
Intangible asset - goodwill
Tangible assets
Financial assets
Net current assets 
Other liabilities

Financed as follows
Ordinary shareholders’ funds
Preference capital
Minority shareholders’ interest
Capital grants
Deferred and future taxation
Debt/(cash)
Convertible capital bonds

(a)
(b)

(c)
(d)

Purchase of tangible assets
Acquisitions and investments

Total capital expenditure

Depreciation and goodwill amortisation
Earnings per share (cent)
(e)
Dividend per share (cent)
Cash earnings per share (cent)
Dividend cover (times)

(e)
(e)

88 CRH

1990
§m

1991
§m

1992
§m

1993
§m

1994
§m

1,663.1
108.9
---------------------
1,554.2
==========

139.1
8.8
–
---------------------

1,608.5
124.8
---------------------
1,483.7
==========

108.4
7.2
–
---------------------

1,576.4
132.7
---------------------
1,443.7
==========

90.9
9.7
–
---------------------

1,904.8
110.5
---------------------
1,794.3
==========

118.5
7.2
–
---------------------

2,193.3
128.5
---------------------
2,064.8
==========

156.3
16.9
–
---------------------

147.9

115.6

100.6

125.7

173.2

(33.3)
(7.2)
---------------------
107.4
(21.0)
–
---------------------
86.4
==========

–
560.4
34.1
127.1
–
---------------------
721.6
==========

436.4
1.2
3.8
16.7
24.6
86.9
152.0
---------------------
721.6
==========

64.2
135.5
---------------------
199.7
==========

48.6
28.94
7.39
45.39
3.91

(28.9)
(6.3)
---------------------
80.4
(14.7)
–
---------------------
65.7
==========

–
539.6
57.8
120.2
–
---------------------
717.6
==========

472.6
1.2
3.6
15.5
29.6
34.6
160.5
---------------------
717.6
==========

36.4
43.7
---------------------
80.1
==========

52.5
21.78
7.94
39.43
2.73

(23.7)
(3.7)
---------------------
73.2
(13.2)
–
---------------------
60.0
==========

–
570.2
66.8
111.8
–
---------------------
748.8
==========

468.9
1.2
3.1
14.2
33.8
54.2
173.4
---------------------
748.8
==========

43.5
85.2
---------------------
128.7
==========

49.1
19.81
8.30
36.21
2.38

(28.1)
(2.3)
---------------------
95.3
(17.6)
–
----------------------
77.7
==========

–
718.0
57.3
106.2
–
----------------------
881.5
==========

733.9
1.2
4.4
13.4
44.0
(108.6)
193.2
---------------------
881.5
==========

61.2
98.5
----------------------
159.7
==========

61.1
24.53
9.18
44.01
2.50

(23.4)
(1.6)
---------------------
148.2
(27.7)
–
---------------------
120.5
==========

–
806.5
73.0
114.4
–
---------------------
993.9
==========

756.4
1.2
13.0
12.7
43.7
(30.4)
197.3
---------------------
993.9
==========

65.6
202.7
---------------------
268.3
==========

71.0
33.72
10.28
53.91
3.27

(a) Excluding bank advances 

and cash, short-term
deposits and liquid
resources which are
included under debt.

(b) Includes deferred

acquisition consideration
due after more than one
year and provisions for
liabilities and charges,
excluding deferred tax.

(c) Debt/(cash) = loans +

bank advances – cash,
short-term deposits and
liquid resources.

(d) Including supplemental

interest.

(e) Excluding exceptional

items in 1999.

1995
§m

1996
§m

1997
§m

1998
§m

1999
§m

2000
§m

2,520.0
92.9
---------------------
2,427.1
==========

216.5
8.1
–
---------------------

3,354.1
152.0
---------------------
3,202.1
==========

272.7
10.8
–
---------------------

4,234.3
154.7
---------------------
4,079.6
==========

343.5
14.2
–
---------------------

5,210.9
176.6
---------------------
5,034.3
==========

436.4
15.4
–
---------------------

6,733.8
134.4
---------------------
6,599.4
==========

651.6
11.8
64.2
---------------------

8,869.8
168.0
---------------------
8,701.8
==========

871.1
16.5
–
---------------------

224.6

283.5

357.7

451.8

727.6

887.6

(19.1)
(1.6)
---------------------
203.9
(41.8)
–
---------------------
162.1
==========

–
895.2
118.2
132.9
(13.0)
---------------------
1,133.3
==========

868.2
1.2
11.7
12.1
48.9
189.3
1.9
---------------------
1,133.3
==========

109.2
164.3
---------------------
273.5
==========

81.1
45.16
11.55
68.03
3.87

(24.3)
(3.3)
---------------------
255.9
(58.3)
–
---------------------
197.6
==========

–
1,235.5
127.3
255.3
(25.0)
---------------------
1,593.1
==========

1,055.8
1.2
12.5
11.1
70.3
442.2
–
---------------------
1,593.1
==========

150.0
532.2
---------------------
682.2
==========

103.6
53.41
12.95
81.71
4.02

(32.1)
(4.1)
---------------------
321.5
(75.7)
–
---------------------
245.8
==========

–
1,518.8
131.5
313.4
(60.8)
---------------------
1,902.9
==========

1,308.4
1.2
13.7
10.4
104.0
465.2
–
---------------------
1,902.9
==========

147.3
240.5
---------------------
387.8
==========

129.1
63.79
14.86
97.64
4.27

(37.5)
(5.4)
---------------------
408.9
(99.9)
–
---------------------
309.0
==========

138.2
2,287.6
52.6
512.5
(286.3)
---------------------
2,704.6
==========

1,552.8
1.2
285.3
19.9
115.9
729.5
–
---------------------
2,704.6
==========

232.1
603.8
---------------------
835.9
==========

165.9
79.13
17.14
122.09
4.59

(91.8)
(0.9)
---------------------
634.9
(152.0)
(25.7)
---------------------
457.2
==========

629.2
3,225.8
66.6
607.9
(430.3)
---------------------
4,099.2
==========

2,200.5
1.2
37.0
18.8
172.4
1,669.3
–
---------------------
4,099.2
==========

360.1
1,420.7
---------------------
1,780.8
==========

275.0
106.51
20.00
177.00
5.29

(190.0)
(0.9)
---------------------
696.7
(193.7)
–
---------------------
503.0
==========

954.6
4,550.9
104.0
915.1
(469.8)
---------------------
6,054.8
==========

3,073.9
1.2
35.7
17.3
306.9
2,619.8
–
---------------------
6,054.8
==========

429.5
1,605.1
---------------------
2,034.6
==========

395.0
124.92
22.80
223.94
5.34

C
R
H

A
N
N
U
A
L

R
E
P
O
R
T

2
0
0
0

CRH plc

Belgard Castle
Clondalkin
Dublin 22
Ireland

Telephone
+353.1.404 1000
Fax
+353.1.404 1007
E-MAIL
ir@crh.com
WEBSITE
www.crh.com

REGISTERED OFFICE
42 Fitzwilliam Square
Dublin 2
Ireland

Telephone
+353.1.634 4340
Fax
+353.1.676 5013
E-MAIL
crh@42.crh.com