BUILDING PRODUCTS & MATERIALS...INDUSTRY UPDATE │ AUGUST 2016 As of August 15, 2016 Building Products Stock Performance Current % of 2016E TEV / EBITDA EBITDA ($ in millions except

www.harriswilliams.com

Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorised andregulated by the Financial Conduct Authority. Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business.

BUILDING PRODUCTS & MATERIALSINDUSTRY UPDATE │ AUGUST 2016

PAGE |

BUILDING PRODUCTS & MATERIALS GROUP OVERVIEW

1

CONTENTS

WHAT WE’RE READING

PUBLIC MARKETS

PUBLIC COMPARABLES

M&A ACTIVITY

CONTACTS

Mike HoganManaging Director

[email protected]+1 (804) 915-0104

Ryan NelsonManaging [email protected]+1 (804) 915-0121

Trey PackardVice [email protected]+1 (804) 887-6016

INTRODUCTION

Harris Williams & Co. is pleased to present our Building Products and MaterialsIndustry Update for August 2016. This report provides commentary and analysis oncurrent capital market trends and merger and acquisition dynamics within theglobal building products and materials industry.

We hope you find this edition helpful and encourage you to contact us directly ifyou would like to discuss our perspective on current industry trends and M&Aopportunities or our relevant industry experience.

BUILDING PRODUCTS & MATERIALS

INDUSTRY UPDATE │ AUGUST 2016

OUR PRACTICE

Harris Williams & Co. is a leading advisor to the building products and materialsindustry. Our significant experience covers a broad range of end markets,industries, and business models.

Aggregates

Aluminum

Asphalt

Bricks

Clay

Glass

Precast / Ready-Mix

Concrete

Steel

Stone

Acoustical

Cabinets and

Countertops

Carpet and Flooring

Gypsum / Wallboard

Electrical Fixtures

HVAC

Lumber

Plumbing Fixtures

Roofing

Siding

Tools and Hardware

Windows and Doors

Architectural and

Engineering

Installation and

Contracting

Lumber and

Hardware

Plumbing

Roofing and Siding

Site Development

Wallboard

Construction

MaterialsBuilding Products

Distribution &

Services

www.harriswilliams.com

Construction

Materials

Building

Products

Distribution &

Services has been acquired by

a portfolio company of

Select Atlanta, Georgia

aggregates assets of LaFarge

SA have been acquired byhas been acquired by

a division of

has been acquired by





a subsidiary of





a portfolio company ofa portfolio company of







&






mailto:[email protected]



http://www.harriswilliams.com/

PAGE |

WHAT WE’RE READING

2

BUILDER CONFIDENCE RISES TWO POINTS IN AUGUST

ABC, AIA AND NAHB ECONOMISTS PREDICT INDUSTRY GROWTH THROUGH 2017

ZILLOW: MORE AMERICANS CHOOSING TO RENT 'LONGER THAN EVER BEFORE'

N.Y. FED: CONSUMER HOME PRICE EXPECTATIONS RISE TO 13-MONTH HIGH

Construction Dive 8/15/2016

Real estate website Zillow reported that, in the country's largest housing markets, nearly 14% of renters with goodcredit and who can afford to buy a home are passing on homeownership.

Many younger renters are putting off a family and children, delaying their need for a home, and hot job markets areattracting well-paid renters who take their time before deciding to buy in the area.

Read the full article here.



CONSTRUCTION INDUSTRY EMPLOYMENT CONTINUES TO SHRINK

NAHB 8/15/2016

Builder confidence in the market for newly constructed single-family homes rose two points in August to 60 from adownwardly revised reading of 58 in July on the National Association of Home Builders/Wells Fargo Housing MarketIndex (HMI).

“Builder confidence remains solid in the aftermath of weak GDP reports that were offset by positive job growth inJuly,” said NAHB Chief Economist Robert Dietz. “Historically low mortgage rates, increased household formations anda firming labor market will help keep housing on an upward path during the rest of the year.”


Builder 8/8/2016

Consumers expect median home prices for the next 12 months to rise 3.3%, the highest in 13 months, according to theFederal Reserve Bank of New York's July Survey of Consumer Expectations. July's result is a 19-basis point increase fromJune's reading of 3.11%, and a 15-basis point gain from July 2015.

Future median home prices trended up during the Spring sales season until the passage of Brexit in June, when fearsrose that the U.S. housing market could suffer from possible global economic turmoil. But consumer expectations haveshow signs of picking up again amid good news from the labor market.


Builder 8/10/2016

Construction openings inched up in June 2016 to a seasonally adjusted rate of 3.0%, after three consecutive monthsof decline, according to the Job Openings and Labor Turnover Survey data released by the Bureau of Labor Statistics.

June's numbers are a 20-basis-point increase from the upwardly revised rate of 2.8% reported in May, and 25% higherthan levels seen a year prior. Construction openings are slightly below the nine-year high of 3.1% in March 2016, butare close to levels last seen in February 2007.


NAHB 8/15/2016

Associated Builders and Contractors (ABC), the American Institute of Architects (AIA), and the National Association ofHome Builders (NAHB) are predicting continued growth for the construction industry in 2017.

“Nonresidential construction spending growth will continue into the next year with an estimated increase in the rangeof 3 to 4 percent,” said ABC Chief Economist Anirban Basu. “Growth will continue to be led by privately financedprojects, with commercial construction continuing to lead the way. Energy-related construction will become less of adrag in 2017, while public spending will continue to be lackluster.”


http://www.constructiondive.com/news/zillow-more-americans-choosing-to-rent-longer-than-ever-before/424445/

http://www.nahb.org/en/news-and-publications/press-releases/2016/08/builder-confidence-rises-two-points-in-august.aspx

http://www.builderonline.com/money/economics/ny-fed-consumer-home-price-expectations-rise-to-13-month-high_o

http://www.builderonline.com/money/economics/construction-industry-employment-continues-to-shrink_o

https://www.nahb.org/en/news-and-publications/press-releases/2016/08/abc-aia-and-nahb-economists-predict-industry-growth-through-2017.aspx

PAGE |

PUBLIC MARKETS



3

MEDIAN TEV / 2016E EBITDA

MEDIAN REVENUE GROWTH (2016E – 2017P)

MEDIAN EBITDA MARGIN (2012 – 2016E) MEDIAN EBITDA MARGIN (2016E – 2017P)

MEDIAN CAPEX / 2016E REVENUE

MEDIAN REVENUE GROWTH (2012 – 2016E)

HISTORICAL STOCK PRICES (AUGUST 15TH, 2011 – AUGUST 15TH, 2016)

HISTORICAL MEDIAN TEV / NTM EBITDA (AUGUST 15TH, 2011 – AUGUST 15TH, 2016)

100

140

180

220

260

300

340 Building Products Index

Building Products Distributors Index

Construction Materials Index

S&P 500 Index

6.0x

7.0x

8.0x

9.0x

10.0x

11.0x

12.0x

13.0x

Building Products Index

Building Products Distributors Index

Construction Materials Index

S&P 500 Index

9.7x

8.9x

10.2x

Construction Materials

Building Products Distributors

Building Products

9.2%

8.1%

6.9%



Building Products

9.6%

8.8%

5.6%



Building Products

19.4%

6.7%

16.0%



Building Products

14.9%

4.9%

12.5%



Building Products

6.0%

1.1%

3.3%



Building Products

PAGE |

PUBLIC COMPARABLES

4

BUILDING PRODUCTS



As of August 15, 2016

Building Products

Stock Performance

Current % of 2016E TEV / EBITDA EBITDA

($ in millions except per share data) Price LTM High Mkt. Cap TEV Rev. EBITDA Current 2016E 2017P

Windows & Doors

Masonite International Corp. $69.08 95.0% $1,863 $2,577 $2,011 $248 12.3% 10.4x 8.9x

Ply Gem Holdings, Inc. 14.49 90.1% 854 1,883 1,927 232 12.0% 8.1x 7.1x

Tyman Plc 3.66 73.6% 749 811 564 94 16.6% 8.6x 7.7x

Quanex Building Products Corporation 20.04 92.5% 641 971 959 116 12.1% 8.3x 7.5x

PGT, Inc. 11.54 82.1% 556 804 459 79 17.2% 10.2x 8.5x

Median 90.1% $959 $116 12.3% 8.6x 7.7x

Roofing, Decking & Siding

Kingspan Group Plc $24.48 84.8% $4,675 $4,785 $3,418 $399 11.7% 12.0x 11.5x

USG Corporation 28.27 86.0% 3,538 5,536 3,974 654 16.5% 8.5x 7.3x

Trex Company, Inc. 60.60 99.3% 1,176 1,824 476 123 25.9% 14.8x 12.9x

Continental Building Products, Inc. 22.29 90.0% 729 1,154 454 137 30.2% 8.4x 8.1x

Median 88.0% $1,947 $268 21.2% 10.2x 9.8x

Cabinets, Plumbing / HVAC

Masco Corporation $36.15 96.7% $9,353 $14,046 $7,431 $1,235 16.6% 11.4x 10.4x

Fortune Brands Home & Security, Inc. 63.88 99.1% 8,875 11,368 5,071 786 15.5% 14.5x 12.7x

Lennox International Inc. 157.76 98.8% 5,580 7,978 3,618 521 14.4% 15.3x 13.9x

American Woodmark Corporation 75.20 83.7% 1,186 1,060 1,057 117 11.1% 9.0x 8.0x

Median 97.8% $4,344 $654 15.0% 12.9x 11.6x

Hardware

ASSA ABLOY AB $22.38 99.3% $23,452 $27,688 $8,502 $1,520 17.9% 18.2x 16.4x

Simpson Manufacturing Co., Inc. 41.89 99.5% 1,645 1,790 858 170 19.8% 10.5x 9.7x

Richelieu Hardware Ltd 20.56 92.1% 1,044 1,212 658 73 11.1% 16.6x 15.0x

Median 99.3% $858 $170 17.9% 16.6x 15.0x

Glass / Building Systems

Owens Corning $54.09 92.2% $5,451 $8,546 $5,631 $1,038 18.4% 8.2x 7.7x

Apogee Enterprises, Inc. 47.43 81.3% 1,130 1,326 1,078 156 14.4% 8.5x 7.4x

NCI Building Systems, Inc. 17.33 97.6% 775 1,604 1,678 161 9.6% 10.0x 8.6x

Median 92.2% $1,678 $161 14.4% 8.5x 7.7x

Flooring

Mohawk Industries, Inc. $212.77 99.0% $14,001 $18,742 $8,915 $1,687 18.9% 11.1x 10.4x

Armstrong World Industries, Inc. 45.22 74.5% 2,532 3,306 1,356 324 23.9% 10.2x 9.6x

Interface, Inc. 16.70 63.5% 1,261 1,228 980 148 15.1% 8.3x 7.4x

Median 74.5% $1,356 $324 18.9% 10.2x 9.6x

Overall Median 92.1% $1,517 $201 16.0% 10.2x 8.8x

PAGE |

PUBLIC COMPARABLES

5

BUILDING PRODUCTS DISTRIBUTORS





Stock Performance



Wolseley plc $5.61 81.9% $17,412 $16,106 $19,378 $1,525 7.9% 10.6x 10.1x

HD Supply Holdings, Inc. 36.65 99.1% 5,257 11,391 7,548 960 12.7% 11.9x 10.9x

Beacon Roofing Supply, Inc. 46.31 94.6% 1,618 3,961 4,216 353 8.4% 11.2x 10.1x

Builders FirstSource, Inc. 12.45 74.6% 1,216 3,345 6,411 412 6.4% 8.1x 6.7x

BMC Stock Holdings, Inc. 20.19 93.9% 1,094 1,736 3,168 197 6.2% 8.8x 7.3x

Hardwoods Distribution Inc. 15.02 100.0% 217 282 640 51 8.0% 5.5x 4.3x

CanWel Building Materials Group Ltd. 5.07 95.3% 146 378 787 43 5.4% 8.8x 7.6x

Huttig Building Products, Inc. 6.07 86.7% 95 224 710 21 3.0% 10.7x 8.3x

Goodfellow Inc. 8.78 93.0% 66 152 452 17 3.8% 8.9x 8.4x


PAGE |

PUBLIC COMPARABLES

6

CONSTRUCTION MATERIALS





Stock Performance



Aggregates and Cement

LafargeHolcim Ltd. $53.08 81.6% $30,430 $55,231 $29,885 $6,374 21.3% 8.7x 8.6x

CRH Plc 32.18 99.5% 23,708 33,887 30,987 3,465 11.2% 9.8x 8.9x

HeidelbergCement AG 91.26 99.4% 15,437 24,891 17,113 3,328 19.4% 7.5x 6.5x

Vulcan Materials Company 119.77 94.2% 12,647 18,107 3,867 1,088 28.1% 16.6x 13.3x

Martin Marietta Materials, Inc. 199.46 96.7% 8,807 14,487 3,650 1,020 27.9% 14.2x 11.8x

Eagle Materials Inc. 83.29 95.1% 3,402 4,531 1,212 419 34.6% 10.8x 9.4x

Summit Materials, Inc. 20.64 75.1% 1,197 2,932 1,513 367 24.3% 8.0x 6.9x

Median 95.1% $3,867 $1,088 24.3% 9.8x 8.9x

Heavy Construction Materials

James Hardie Industries PLC $16.98 98.5% $6,122 $7,944 $1,895 $481 25.4% 16.5x 14.6x

Boral Limited 5.34 99.5% 3,436 4,803 3,283 472 14.4% 10.2x 9.5x

Headwaters Incorporated 19.93 91.9% 1,389 1,986 983 190 19.3% 10.5x 8.4x

U.S. Concrete, Inc. 57.43 82.4% 783 1,197 1,185 161 13.6% 7.4x 6.1x

Median 95.2% $1,540 $331 16.8% 10.3x 9.0x

Cabinets, Plumbing / HVAC

Weyerhaeuser Company $31.90 96.2% $15,304 $32,736 $6,843 $1,730 25.3% 18.9x 16.0x

West Fraser Timber Co. Ltd. 34.64 82.1% 3,118 3,223 3,434 439 12.8% 7.3x 5.7x

Louisiana-Pacific Corporation 19.16 91.4% 2,575 3,055 2,213 325 14.7% 9.4x 10.0x

Canfor Corporation 12.21 71.2% 2,093 2,161 3,236 376 11.6% 5.8x 4.9x

Universal Forest Products, Inc. 106.70 97.1% 1,387 2,141 3,106 212 6.8% 10.1x 9.4x

Norbord Inc. 24.72 96.0% 1,657 2,862 1,757 359 20.4% 8.0x 7.6x

Boise Cascade Co. 25.47 76.8% 991 1,361 3,954 174 4.4% 7.8x 6.5x

Median 91.4% $3,236 $359 12.8% 8.0x 7.6x


PAGE |

M&A TRANSACTIONS

7



Announced

DateTarget Vertical Business Description Acquirer

8/15/2016 Tecta America Building Products Prov ider of commercial roofing serv ices in the US offering installation,

replacement and repair serv ices.

ONCAP

8/11/2016 Absolute Coatings, Inc. Building Products Prov ides wood floor installation serv ices. Huron Capital Partners

8/10/2016 Jenna Concrete Corp. Construction Materials Produces ready-mix concrete. U.S. Concrete, Inc.

8/9/2016 SensoCrete, Inc. Construction Materials Prov ides ready mix concrete serv ices. The firm's technology Verifi

system that monitors and controls the final stages of the manufacturing

process while the concrete is in transit and before it is poured.

GCP Applied Technologies,

Inc.

8/9/2016 Griplock Systems Building Products Designs and markets adjustable cable suspension systems primarily for

the linear fluorescent lighting and theatrical rigging industries.

Spell Capital Partners

8/8/2016 AquiSense Technologies Building Products Manufactures UV-C LED systems to disinfect water, air, and surfaces

without the use of chemicals or Mercury.

Nikkiso America, Inc.

8/4/2016 Door Engineering &

Manufacturing

Building Products Prov ides customized industrial, commercial, av iation, and specialty door

solutions.

Audax Group, Inc.

8/3/2016 Dectron, Inc. Building Products Global prov ider of highly-engineered custom and semi-custom

dehumidification, air quality, and energy recovery solutions primarily for

indoor pools.

Specified Air Solutions

8/2/2016 Krestmark Industries Building Products Manufacturer of v inyl and alumninum windows and patio doors. Headwaters, Inc.

8/1/2016 Wind Mill Slatwall Products Building Products Wind Mill Slatwall Products manufactures slatwall, custom retail display

products, fixtures, and wood component parts.

Amerhart Limited

7/27/2016 Reilly Windows & Doors Building Products Manufacturer and designer of custom window walls and doors. Pella Corporation

7/21/2016 PPG Flat Glass Unit Building Products Manufactures flat glass. Vitro, S.A.B. de C.V.

7/18/2016 Alltemp Products Building Products Manufactures heating, ventilating, and air conditioning equipment. DiversiTech Corp; The

Jordan Company

7/15/2016 E.O. Wood Building Products E.O. Wood specializes in the fabrication of Rigid Wrap® pipe and tank

insulation systems.

Distribution International,

Inc.

7/7/2016 Applied Polymerics, Inc. Building Products Manufactures supplies and installs specialist construction products,

including bridge expansion joints, concrete repair compounds,

protective coatings, and pavement preservation products.

RPM International, Inc.

7/7/2016 Marketing Associates, Inc.

(North Carolina)

Building Products Manufactures, supplies, and installs specialist construction products,

including bridge expansion joints, concrete repair compounds,

protective coatings, and pavement preservation products.

RPM International, Inc.

7/6/2016 Nortek, Inc. Building Products Manufactures and distributes building ventilation products for residential

and commercial applications.

Melrose Industries Plc

7/6/2016 RockWise LLC Building Products Supplies drywall and stucco to professional contractors in Arizona and

Colorado.

GMS, Inc.

7/5/2016 Superior Plus Building Products

Distribution

Distributes construction products, including commercial and industrial

insulation, specialty walls, and ceiling products.

Lone Star Funds

6/29/2016 Eastern Industries Corp. Construction Materials The company provides building supplies, hot-mix asphalt, masonry block,

ready-mix concrete, road oils, stone and other construction materials.

Precision Punch Corp.

PAGE |

M&A TRANSACTIONS

8



Announced


6/27/2016 NYCON Supply Corp. Construction Materials Supplies concrete products for construction, municipal work, road

construction, city sidewalks, and homeowners projects.

U.S. Concrete, Inc.

6/22/2016 Lake States Lumber, Inc. Building Products

Distribution

Wholesales and distributes building materials. I t offers manufacturing,

factory refinishing, and wood preserv ing.

Cedar Creek, Inc.

6/15/2016 The Bilco Co. Building Products Manufactures building products. I t offers roof hatches, smoke vents,

floor access doors, safety products, intrusion detection, bilco basement

doors, egress window wells, and perm entry entrance.

Tyman Plc

6/13/2016 Ennis-Flint Building Products Ennis-Flint is the world leader in pavement markings and traffic safety

solutions.

Olympus Partners

6/13/2016 Rugby Architectural

Building Products

Building Products

Distribution

Rugby Architectural Building Products distributes non-structural

architectural grade building products to customers that supply end-

products to the commercial market.

Hardwoods Distribution

6/13/2016 Lumotech, Certain assets

in Europe

Building Products Lumotech is a manufacturer of specialty LED products with a focus on

rechargeable, emergency lighting.

Fulham Company Group

6/10/2016 Generation Brands Building Products Generation Brands is a leading designer of decorative and functional

lighting products serv ing residential and commercial construction

markets.

AEA Investors

6/10/2016 Panolam Surface Solutions Building Products Panolam Surface Systems is a designer and manufacturer of highly-

engineered, integrated surface solutions including high-pressure

laminates, thermally-fused laminates, and other specialty products.

Insight Equity

6/8/2016 Exteria Building Products Building Products Exteria Building Products LLC manufactures sides, windows, fascia,

roofing, and gutters serv ices. I ts products include cape cod perfection,

scalloped perfection, hand-split shake, and cedar pride.

Novik Inc.

6/7/2016 Monofrax Building Products Monofrax is engaged in the manufacturing of fused cast refractory for

glass manufacturers.

Callista Private Equity

6/6/2016 KITH Kitchens LLC Building Products KITH Kitchens LLC provides customizable kitchen and bath cabinets. I t

offers full lines of both framed and frameless cabinetry with an expertise

in hand-painted finishes.

Pfingsten Partners LLC

6/2/2016 Johnson Insulation, Certain

assets

Building Products

Distribution

Johnson Insulation specializes in laminating metal building insulation. Distribution International

6/1/2016 Raymond Building Supply

Corp.

Building Products

Distribution

Raymond Building Supply Corp. supplies residential and commercial

building products. I ts products include millwork, plywood, trusses ,and

Andersen windows.

U.S. LBM

6/1/2016 Woodfeathers, Inc. Building Products Woodfeathers, Inc. manufactures and supplies roofing materials to

homeowners, builders, architects, and contractors.

Beacon Roofing Supply,

Inc.

5/26/2016 Albuquerque Hardwood

Lumber Co.

Building Products

Distribution

Albuquerque Hardwood Lumber Co. wholesales and supplies wood

products. I t sells hardwood lumber, wood panels, and related

hardware.

Rugby IPD Corp

5/24/2016 TekModo Building Products TekModo is a manufacturer and seller of composite panels that are

currently being used in the walls, roofs, floors and doors of RVs, buses

and trailers.

CarbonOne Technologies

5/20/2016 Lamin-Art, Inc. Building Products Lamin-Art designs and manufactures laminates and decorative

surfaces.

Arborite

5/9/2016 Universal Building

Specialties Incorporated

Building Products

Distribution

Universal Building Specialties Incorporated distributes building products. Cedar Creek Inc.

5/6/2016 SEI Group, Inc. Building Products SEI Group, Inc. prov ides construction contracting serv ices for single

and multi-family homes.

Narrow Gauge Capital

5/4/2016 Sierra Ready Mix, LLC Construction Materials Sierra Ready Mix, LLC supplies ready mix concrete in Las Vegas,

Nevada.

Summit Materials, Inc.

PAGE |

M&A TRANSACTIONS

9



Announced


5/2/2016 CEMEX, S.A.B. de C.V.,

Certain assets in U.S.

Construction Materials CEMEX, S.A.B. de C.V., Certain assets in U.S. comprises cement plants,

three cement terminals, and the building materials business.

Grupo Cementos de

Chihuahua SAB de CV

5/2/2016 Fox Brothers Company Building Products

Distribution

Fox Brothers Company supplies exterior building materials for new

construction and remodeling projects in Michigan.


Inc.

4/30/2016 Masonite Architectural

Door Company, Plant in

Fredericksburg

Building Products Masonite Architectural Door Company's plant in Fredericksburg was

acquired by The Lester Group, Inc. The plant manufactures and pre-

finishes commercial doors.

The Lester Group, Inc.

4/29/2016 Surface Encounters LLC Building Products Surface Encounters LLC fabricates granite and quartz countertops for

kitchens, bathrooms, and bars in Michigan and Indiana.

Cutting Edge Countertops

Inc.

4/18/2016 Athabasca Minerals Inc.,

DML 150166, DML 150171

And DLO 150210

Construction Materials Athabasca Minerals Inc., DML 150166, DML 150171 And DLO 150210

comprise industrial minerals deposits.

Wayfinder Corp.

4/15/2016 United States Pipe and

Foundry Company, LLC

Building Products United States Pipe and Foundry Company, LLC manufactures and sells

fabricated/grooved ductile iron pipes and fittings for water and

wastewater industries in the United States and internationally.

Forterra Building Products

4/11/2016 Fomo Products, Inc. Building Products Fomo Products, Inc. manufactures low pressure polyurethane (PU) foam

insulation, sealants, adhesives, and spray foam systems in pressurized

packaging.

ICP Adhesives and

Sealants, Inc.

4/1/2016 House Of Threads, Inc. Building Products

Distribution

House Of Threads, Inc. markets and distributes fasteners. Wurth Group Of North

America Inc.

4/5/2016 Tierra Sol Ceramic Tile Ltd. Building Products

Distribution

Tierra Sol Ceramic Tile Ltd. distributes ceramic and porcelain tiles,

glass/metal products, natural stones, and setting products to designers,

architects, contractors, and retailers.

Shnier Gesco Limited

Partnership

4/5/2016 Blue Max Materials, Inc. Construction Materials Blue Max Materials, Inc. offers a selection of landscape and hardscape

materials to professional contractors and do-it-yourself homeowners for

their landscaping needs.

SiteOne Landscape Supply,

Inc.

4/4/2016 Benbilt Building Systems LP Building Products

Distribution

Benbilt Building Systems LP is engaged in the wholesale distribution of

doors to builders and remodelers.

Huttig Building Products

Inc.

4/5/2016 Boston Cedar, Inc. Building Products

Distribution

Distributes building materials including siding, trim, decking, railing, and

millwork products.

U.S. LUMBER GROUP, LLC

4/4/2016 United Subcontractors,

Inc.

Building Products United Subcontractors, Inc. prov ides insulation, specialty, and shell

construction serv ices for residential and commercial projects.

Hennessy Capital

Acquisition Corp.

4/1/2016 L. M. Scofield Company Construction Materials L. M. Scofield Company manufactures decorative concrete products. Sika AG

4/1/2016 Strickland Bridge, Inc. Construction Materials Strickland Bridge, Inc. manufactures concrete. U.S. Concrete, Inc.

4/1/2016 Atlantic Building Products,

Inc.

Building Products

Distribution

Atlantic Building Products, Inc. is a building supply dealer that prov ides

building products to contractors and homeowners.


Inc.

4/1/2016 LYF-TYM Building Products

Co, Inc.

Building Products LYF-TYM Building Products Co, Inc. manufactures and distributes low-

maintenance exterior building products.


Inc.

4/1/2016 Professional Handling and

Distribution, Inc.

Building Products

Distribution

Professional Handling and Distribution, Inc. distributes drywall and

related products for commercial and residential customers in the

greater Chicagoland and Rockford areas.

GMS Inc.

3/31/2016 American Lumber

Corporation

Building Products American Lumber Corporation, also known as ALCO Doors,

manufactures interior and entry door systems for commercial and

residential use.

U.S. LBM Holdings, LLC

3/30/2016 Design and Direct Source

LLC

Building Products Design and Direct Source LLC provides floor and wall tiles, and stone

and wood products for commercial projects.

Materials Marketing

Limited

PAGE |

REPRESENTATIVE BUILDING PRODUCTS & MATERIALS TRANSACTIONS

20








has been acquired by has been acquired by



Select Atlanta,

Georgia aggregates

assets of LaFarge SA

have been acquired

by


has purchased

certain assets of






a subsidiary of


A Private Investor

Group

a subsidiary of





has sold certain assets to







a portfolio company ofhas been acquired by





a division of

have been acquired by

The Wichita, Kansas

aggregates, concrete,

asphalt, and paving

assets

of LaFarge SA


has completed a

balance sheet

restructuring and

recapitalization

transaction

Strategic

Industries, LLC

Private Investors






a division of


portfolio companies of


Dyad Partners



a division of



a subsidiary of




a division of



a division of






















&








http://colonialwebb.com/

http://colonialwebb.com/

http://www.essroc.com/default.aspx?pageid=36

http://www.essroc.com/default.aspx?pageid=36

http://www.dealsource.com/images/splogo.gif

http://www.dealsource.com/images/splogo.gif

Energy, Power& Infrastructure

IndustrialsHealthcare & Life Sciences

Transportation & Logistics

Aerospace, Defense & Government

Services

Business Services

Building Products & Materials

Technology, Media & Telecom

Specialty Distribution

Consumer

PAGE |

HARRIS WILLIAMS & CO. OFFICE LOCATIONS

UNITED STATES EUROPE

BostonTwo International Place24th FloorBoston, Massachusetts 02110Phone: +1 (617) 482-7501

Cleveland1900 East 9th Street20th FloorCleveland, Ohio 44114Phone: +1 (216) 689-2400

Minneapolis222 South 9th StreetSuite 3350Minneapolis, Minnesota 55402Phone: +1 (612) 359-2700

Richmond (Headquarters)1001 Haxall Point9th FloorRichmond, Virginia 23219Phone: +1 (804) 648-0072

San Francisco575 Market Street31st FloorSan Francisco, California 94105Phone: +1 (415) 288-4260

FrankfurtBockenheimer Landstrasse 33-3560325 FrankfurtGermanyPhone: +49 069 3650638 00

London63 Brook StreetLondon W1K 4HS, EnglandPhone: +44 (0) 20 7518 8900

NETWORK OFFICES

Beijing

Hong Kong

Mumbai

New Delhi

Shanghai

Building Products & Materials

Harris Williams & Co. has a broad range of industry expertise, which creates powerful opportunities.Our clients benefit from our deep-sector experience, integrated industry intelligence, andcollaboration across the firm, and our commitment to learning what makes them unique. For moreinformation, visit our website.

OUR FIRM



21

PAGE |

HARRIS WILLIAMS & CO.

12



DISCLOSURES

SOURCES

Harris Williams & Co. (www.harriswilliams.com) is a preeminent middle market investment bank focused on the advisory needs of clients worldwide. The firm has deep industry knowledge, global transaction expertise, and an unwavering commitment to excellence. Harris Williams & Co. provides sell-side and acquisition advisory, restructuring advisory, board advisory, private placements, and capital markets advisory services.

Investment banking services are provided by Harris Williams LLC, a registered broker-dealer and member of FINRA and SIPC, and Harris Williams & Co. Ltd, which is authorised and regulated by the Financial Conduct Authority. Harris Williams & Co. is a trade name under which Harris Williams LLC and Harris Williams & Co. Ltd conduct business.

THIS REPORT MAY CONTAIN REFERENCES TO REGISTERED TRADEMARKS, SERVICE MARKS AND COPYRIGHTS OWNED BY THIRD-PARTY INFORMATION PROVIDERS. NONE OF THE THIRD-PARTY INFORMATION PROVIDERS IS ENDORSING THE OFFERING OF, AND SHALL NOT IN ANY WAY BE DEEMED AN ISSUER OR UNDERWRITER OF, THE SECURITIES, FINANCIAL INSTRUMENTS OR OTHER INVESTMENTS DISCUSSED IN THIS REPORT, AND SHALL NOT HAVE ANY LIABILITY OR RESPONSIBILITY FOR ANY STATEMENTS MADE IN THE REPORT OR FOR ANY FINANCIAL STATEMENTS, FINANCIAL PROJECTIONS OR OTHER FINANCIAL INFORMATION CONTAINED OR ATTACHED AS AN EXHIBIT TO THE REPORT. FOR MORE INFORMATION ABOUT THE MATERIALS PROVIDED BY SUCH THIRD PARTIES, PLEASE CONTACT US AT THE ABOVE ADDRESSES OR NUMBERS.

The information and views contained in this report were prepared by Harris Williams & Co. (“Harris Williams”). It is not a research report, as such term is defined by applicable law and regulations, and is provided for informational purposes only. It is not to be construed as an offer to buy or sell or a solicitation of an offer to buy or sell any financial instruments or to participate in any particular trading strategy. The information contained herein is believed by Harris Williams to be reliable, but Harris Williams makes no representation as to the accuracy or completeness of such information. Harris Williams and/or its affiliates may be market makers or specialists in, act as advisers or lenders to, have positions in and effect transactions in securities of companies mentioned herein and also may provide, may have provided, or may seek to provide investment banking services for those companies. In addition, Harris Williams and/or its affiliates or their respective officers, directors and employees may hold long or short positions in the securities, options thereon or other related financial products of companies discussed herein. Opinions, estimates and projections in this report constitute Harris Williams’ judgment and are subject to change without notice. The financial instruments discussed in this report may not be suitable for all investors, and investors must make their own investment decisions using their own independent advisors as they believe necessary and based upon their specific financial situations and investment objectives. Also, past performance is not necessarily indicative of future results. No part of this material may be copied or duplicated in any form or by any means, or redistributed, without Harris Williams’ prior written consent.

Copyright© 2016 Harris Williams & Co., all rights reserved.

Bloomberg

Builder Online

Building Design & Construction

Building-Products.com

Bureau of Economic Analysis

CityLab

Concrete Construction

Conference Board

Construction Dive

Dodge Data & Analytics

Eurostat

Federal Reserve

Floor Daily

FMI Consulting

Freedonia

Global Industry Analysts

IBIS

NAHB

New York Times

PNC Economic Outlook

Remodeling

S&P Leveraged Commentary & Data

The Wall Street Journal

Thomson Financial – SDC Database

Thomson Reuters

U.S. Census Bureau

U.S. Energy Information Administration

U.S. Geological Survey

http://www.harriswilliams.com/

BUILDING PRODUCTS & MATERIALS...INDUSTRY UPDATE │ AUGUST 2016 As of August 15, 2016 Building Products Stock Performance Current % of 2016E TEV / EBITDA EBITDA ($ in millions except

Documents