Zachry Advantage 2017 - Issue 2

IN FORMAT I O N FO R ZAC HRY CO R P O R AT I O N E M P LOYE E S , FA M I L I E S A N D F R IE N DS

Cover Story:

SUCCESS THROUGHOUT THE CAROLINAS. P. 8

NEW LEADERSHIP POSITIONS ANNOUNCED AT ZACHRY P. 4 A NEW POLICY TO GIVE TIME TO GROWING FAMILIES P. 6 TWO BIG ANNIVERSARIES TIED TOGETHER BY ZACHRY P. 12

ISSUE 2, 2017

DEAR READERS, As our company continues to focus significant efforts on improving how we engage our employees, we learned through surveys that we were not meeting your employee development expectations. We learned that while each of our businesses has some training, typically technical, we need to offer leadership skills training. As many skills of a leader are consistent regardless of the business or market, we developed a series of leadership training sessions that communicate what we expect from leaders in our company.

I read a saying on leadership from Russell H. Ewing that said, “A boss creates fear, a leader confidence. A boss fixes blame, a leader corrects mistakes. A boss knows all, a leader asks questions. A boss makes work drudgery, a leader makes it interesting. A boss is interested in himself or herself, a leader is interested in the group.”

We want to differentiate between a boss and a leader, and to dissuade behaviors of a boss and encourage behaviors of a leader.

The foundation of our leadership programs will be the shared values of our organization: Every Person Matters, Together We Can Do Great Things, and This Is More Than a Job. The training programs will be a part of developing leaders at many levels in our organization and that our improved depth of leadership talent will create more opportunities for all our employees.

With that additional depth and the potential it will create, a well-defined and well-communicated strategy becomes paramount. We have begun the process of analyzing what we want to do in each of our businesses, where we want or need to invest, and what it will take to get us opportunities for the success we desire. I anticipate that process will take much of the rest of the year. The effort will include some amount of market information, but also how we need to structure our company to meet both company requirements and, more importantly, the needs of our employees.

The easy part of developing a strategy is always coming up with a plan. The challenge is executing that plan. I am a believer in simplicity and that smart and knowledgeable people can take very complicated concepts and make them clear and understandable.

Leaders are necessary for us to succeed. We need to work together, talk with each other, share with each other, learn from each other, seek to understand each other and, collectively, gain from each other. An effective strategy will do the same thing, evolving as our employees and families change over time and not just sit on a shelf collecting dust.

I am excited about the many opportunities ahead and look forward to developing our leaders of the future who will build an even better organization. We are always interested in your thoughts. If you have suggestions or recommendations, please bring them forward. I look forward to seeing them.

David S. Zachry President and CEO

WE WANT TO HEAR

FROM YOU! 2 | ZACHRY ADVANTAGE ISSUE 2, 2017

Zachry Advantage is your magazine. It is designed to keep employees informed on company happenings and we want to hear from you.

Please send your story ideas, suggestions for improvement or maybe a cool photo taken on the job to Public Affairs at public.affairs@zachrycorp.com or by calling (210) 871-3366.

QUERIDO LECTOR, A medida que nuestra empresa continúa enfocando esfuerzos significativos para mejorar la manera de involucrar a nuestros empleados, a través de encuestas realizadas nos hemos percatado que no estamos cumpliendo con las expectativas de desarrollo de los empleados. Notamos que, aunque cada una de nuestras empresas tiene algún tipo de capacitación típicamente técnica, necesitamos ofrecer capacitación en habilidades de liderazgo.

Las habilidades de un líder son constantes, independientemente del negocio o mercado y hemos desarrollado una serie de sesiones de capacitación de liderazgo que tratan sobre lo que esperamos de los líderes de nuestra compañía.

Con esta intensa capacitación y el potencial que desarrollé, una estrategia bien definida y bien difundida es primordial. Hemos comenzado el proceso de analizar lo que queremos hacer en cada una de nuestras empresas, donde queremos o necesitamos invertir y lo que se necesita para obtener oportunidades que nos lleven al éxito que deseamos.

Preveo que el proceso tomará gran parte de lo que resta del año. Este esfuerzo incluirá cierta información sobre el mercado, también cómo debemos estructurar nuestra empresa para satisfacer los requisitos de la compañía y

Leí un refrán sobre liderazgo de Russell H. Ewing que decía: “un jefe establece miedo, un líder establece confianza. Un jefe fija la culpa, un líder corrige errores. Un jefe lo sabe todo, un líder hace preguntas. Un jefe hace el trabajo duro, un líder lo hace interesante. Un jefe se interesa solo en sí mismo, un líder se interesa en el grupo”.

La parte fácil de desarrollar una estrategia es siempre idear un plan. El desafío es ejecutar ese plan. Yo soy creyente de la simplicidad y en personas inteligentes con conocimientos que pueden tomar conceptos muy complicados y hacerlos claros y comprensibles. Los líderes son necesarios para que tengamos éxito. Tenemos que trabajar juntos, hablar entre nosotros, compartir unos con otros, aprender unos de otros, tratar de entendernos mutuamente y colectivamente, beneficiarse uno del otro. Una estrategia eficaz hará lo mismo, evolucionará a medida que nuestros empleados y las familias cambian con el paso del tiempo y no permanecerá simplemente en una estantería acumulando polvo.

Queremos hacer la diferencia entre un jefe y un líder y disuadir los comportamientos de un jefe y alentar los comportamientos de un líder.

La base de nuestros programas de liderazgo serán los valores compartidos de nuestra organización: Cada persona importa, juntos podemos hacer grandes cosas y este es más que solo un trabajo.

Estos programas de capacitación formaran parte en el desarrollo de líderes en los distintos niveles de nuestra organización y esta intensa capacitación de liderazgo creará más oportunidades para todos nuestros empleados.

lo que es más importante, las necesidades de nuestros empleados.

Estoy entusiasmado con las muchas oportunidades que tenemos por delante y espero desarrollemos a los líderes del futuro que construirán una organización aún mejor. Siempre nos ha interesado saber lo que piensa y si usted tiene sugerencias o recomendaciones, por favor me gustaría que nos las haga saber.

David S. Zachry President and CEO

EDITORIAL BOARD MEMBERS Christie Boubel Robert Chapa John Farrow Ben Fox Chris Jaworski Nancy Lopez Gerry McKervey Connie Norton

Wendy Parker TJ Pritchard Lee Scheel Tonya Settles Tara Snowden Marie Surls Kevin Walters Patti Webber

CONTENTS 2

Dear Readers

3

Querido Lector

4

Vice Presidents

6

New HR Policy

7

Spotlight: The Estimating Department

8

Success Throughout the Carolinas

Tech Corner

10

Double the X-Rays

11

ZUUS Recognition

12

Two Big Anniversaries Tied Together by Zachry

13

The Zachry Scene Zachry Corporation Volunteer Projects

14

The Zachry Way

16

Through the Lens

On the cover: Photo of the new bridge being built as part of the Capital Blvd. project in Raleigh, NC. Capital Blvd. is the gateway street leading into downtown Raleigh.

Photo/Carlos Sanchez

ZACHRY ADVANTAGE | 3

On February 10, 2017, five new Vice President promotions were announced at Zachry Construction Corporation and one new Vice President promotion at Zachry Corporation. These leadership positions reflect well-deserved career advancements as well as provide a strategic path for development for future leaders.

NEW LEADERSHIP POSITIONS ANNOUNCED AT ZACHRY GARY DOTY VICE PRESIDENT OF NORTH TEXAS OPERATIONS – ZACHRY CONSTRUCTION CORPORATION Gary Doty’s career with Zachry began as a carpenter in 1988 and progressed through foreman, superintendent, project manager and project director throughout Texas, North Carolina and most recently as the Project Director of the Grand Parkway Segments F-1, F-2 and G project. Doty’s knowledge, leadership skills and grounded and practical approach have made him an integral part of Zachry’s success.

Goal: “Zachry used to be a big player up here (North Texas) and I want to get it back to the way it was 30 years ago. There’s so much work to be had in North Texas, so much expansion, and I want to make sure that Zachry is a part of that. We really need to go above and beyond the competition and get good employees that do good work.” Advice: “Get to work on time. Do what it takes to get the job done right and be a model for other employees.”

RANJEET GADHOKE VP OF PROJECT CONTROLS – ZACHRY CONSTRUCTION CORPORATION In 2006, Ranjeet Gadhoke began working with Zachry as a consultant in Houston, Texas. His leadership skills earned him a promotion to Project Control Support Director. After serving as Project Engineer on several projects in San Antonio, he led the implementation of the ERP system which is now used throughout the company for cost and accounting controls. Gadhoke’s success will continue as he is now an expert in so many aspects of our business and can help others in his field.

Goal: “Learning from people who are experts in their fields helps you to become more engaged and retain more information. The goal is to invest in our employees by making quality training available to them when and where they need it.” Advice: “Hard work with a good attitude goes a long way.”

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BRYAN GOLLA VICE PRESIDENT & COMPTROLLER – ZACHRY CONSTRUCTION CORPORATION Since 2000, Bryan Golla has made his mark on many projects at Zachry. First, he started out in Special Projects and Corporate Accounting. He then began working in International Operations, taking part in a variety of embassy projects. In February, after working in the ERP organization and Corporate Accounting, Golla was named Vice President & Comptroller of Zachry Construction.

Goal: “I really hope to provide better visibility for management and end users at the job site. I want to make sure that the right people get the right data at the right time so they can make the right decisions for the task at hand.” Advice: “Don’t become a part of the process. Manage and understand the process.”

TRAVIS MROSS VICE PRESIDENT OF THE SOUTHWEST REGION - ZACHRY CONSTRUCTION CORPORATION Travis Mross began his career at Zachry Construction in 2000 as an intern, earned his engineering degree in 2002 from the Colorado School of Mines and started as a Field Engineer on the SH 45 project in Austin. Over the years, he has worked on a variety of projects, continuously growing his role from Project Engineer to Area Manager. Mross is one of the youngest managers to become a Vice President at Zachry Construction.

Goal: “One of the biggest goals I have is to bring our core value of ‘Together We Can Do Great Things’ into the construction division. Building, Heavy, Transportation, and ZUUS all have such potential when they come together to work on a project, and I want to grow that cooperation throughout the Southwest.” Advice: “Success to me is being a part of something big. It’s important to connect with as many people as you can, work as hard as you can, and get into the details. Build long-lasting relationships with the guys who are really doing the work.”

PIKE RIEGERT VICE PRESIDENT OF THE SOUTHEAST REGION – ZACHRY CONSTRUCTION CORPORATION Pike Riegert started his career in 1986 after he joined the Army and served in an engineering unit.

He then enrolled at Montana State University and graduated with a degree in Civil Engineering.

After working on the West Coast for a time, Riegert decided it was time to head east. He began working at Zachry in 2014 and quickly realized that the region was set for growth in concrete paving, structures, and utilities. Over the last few years, Riegert honed in on Zachry’s strengths and has plans to continue growing the region.

Goal: “In five or so years, we plan to be in Georgia and maybe Florida. Seventeen percent of the nation’s transportation spending is done in the Southeast, so there’s a lot of potential for new projects.” Advice: “Pay attention to detail. Be flexible. Stay open to new opportunities. You never know what it might mean for your future.”

KEVIN WALTERS VICE PRESIDENT AND CHIEF INFORMATION OFFICER (CIO) – ZACHRY CORPORATION Kevin Walters began working at Zachry in 2001 in the IT Department as an Application Development Manager, overseeing program development and information technology. Walters has enjoyed a diverse set of roles throughout his career with Zachry building the IT Department for Zachry Corporation from the ground up following the Zachry re-organization in 2008. This effort has included the technology merger of Zachry Construction Corporation, Capitol Aggregates and Zachry Hospitality. Now, as Vice President and CIO, Walters plans to advance Zachry’s technology systems and software applications to meet the needs of today’s increasingly digitized worksite.

Goal: “I really want the IT Department to focus on delivering the best solution for our business units, whether it is an internally developed product running in our data center, or an external solution hosted in the cloud. Whatever works best for the company, provides the best value, and keeps our data most secure.” Advice: “Find ways to be a part of the team. Understand that you don’t just have an impact on your department, but on the company as a whole.”

ZACHRY ADVANTAGE | 5

A NEW POLICY

HR

TO GIVE TIME TO GROWING FAMILIES If there’s one principle that Zachry has been driven by since its inception, it’s family. Since Pat Zachry founded the company in 1924, family has always been at the center of everything we do. Keeping in mind our core values, and continuously making improvements to our benefits offerings, we have recently implemented a brand new Maternity and Parental Leave Policy.

“We want our policies to reflect our core values,” said David Zachry, CEO. “Making investments in people is a reflection of the very heart of everything we do as a company. Our culture is evolving and our benefits will continue to adapt to meet the needs of today’s families.”

What are the benefits?

Paid Maternity Leave: • Provides six weeks of paid time off to eligible employees who give birth on or after June 1, 2017.

Paid Parental Leave:

Who is eligible?

Employees who meet the following criteria: • Current full-time employees who work at least 30 hours a week.

• Employees who have worked at Zachry Corporation, or any of its subsidiaries including Zachry Construction Corporation, Zachry Hospitality and Capitol Aggregates, for at least one consecutive year.

• Employees who become a new parent on or after June 1, 2017. This includes biological parents and those who become parents through surrogacy, adoption, or legal guardianship.

“The goal of this policy is to demonstrate appreciation of our current employees, as well as to attract the best and brightest talent in our field,” said Jason Westenskow, Vice President of Human Resources for Zachry Corporation. “Providing competitive benefits packages highlights Zachry as a progressive, familyoriented company, and helps us to become the employer of choice to the newest generation of hardworking individuals.”

• Provides two weeks of paid time off to eligible employees who become parents of a new child(ren) (biological, adopted, or by legal guardianship) on or after June 1, 2017.

LEARN MORE Zachry Construction Corporation and Capitol Aggregates: 877-884-9247 (option 4) / benefits@zachrycorp.com.

Zachry Hospitality: Robert Chapa 210-270-0778 / Robert.chapa@hilton.com or Tonya Settles 210-270-0772 / tonya.settles@hilton.com.

TECH CORNER

NEW TOOLS FOR DATA SAFETY “A lot has been happening around Zachry on the IT front,” says Vice President and CIO Kevin Walters, “but probably the most exciting thing we have taking effect soon is our Okta Tool. Not only will it save time—and a lot of headaches—it will help us secure our system like never before.”

The new tool will act as a hub for login authentication. Instead of keeping a notebook of passwords and usernames, Okta will store them for you and authenticate your device as you log in to a program or server.

Also, the IT Department has been implementing new firewall technology in all of Zachry’s computer networks. “This new firewall technology is fantastic. It allows for better network performance and adds a new layer of security to Zachry’s computer data,” Walters said. “If anyone wants to know more about it and how it works, they’re more than welcome to come down and ‘geek out’ with me!”

6 | ZACHRY ADVANTAGE ISSUE 2, 2017

DEPARTMENT SPOTLIGHT:

ESTIMATING DEPARTMENT

A lot of work goes into getting a project done on time and on budget. Ground crews, planners, and engineers get most of the credit for a job well done. There is one department that works behind the scenes from the very beginning to ensure that the job is won at the right cost so it can be completed according to specifications: the Estimating Department.

The Estimating Department is made up of a wide group of individuals with the main goal of bringing new work to the company. At any given time, between 25 to 50 people work on different project estimates, including department estimators as well as field personnel such as engineers, superintendents, project managers, project sponsors and area managers.

“The Estimating Department is there to do a number of things. First and foremost, we want to make sure we get good work,” said Jason Sharpe, Chief Estimator at Zachry Construction, “and we also want to make sure that we are coming up with new, innovative ways to build projects that will give us an advantage at the bid table.”

The Estimating Department has three locations in Texas Dallas, San Antonio, and Houston; and one location in the Southeast region in Raleigh, North Carolina. In the past, different businesses such as ZUUS (Zachry Underground Utility Services) and the Building Division ran their own respective estimating teams. This year, however, they have merged into one cohesive group to achieve cost and scheduling efficiencies.

The Estimating Department is implementing the use of new functions within the Hard Dollar estimating software. “We have used Hard Dollar for a while,” Sharpe explained, “but we are just now starting to use some of the more advanced features.” By getting everyone to use all capabilities of the Hard Dollar software, team members are able to focus more on new or improved ways of estimating projects. “We are able to think differently about equipment, plans, and numbers of people for each project, yielding new and innovative ways to construct projects.”

The Hard Dollar software also allows estimators not only to conceptualize new solutions but to virtually share ideas among various locations and see what has worked in the past.

“It’s a big step in the right direction,” said Sharpe.

Bottom row: Mike Martin, Brooks Butler, Fred Allison, Allan Lapidario, Rick Nielsen.

Middle row: Taylor Marshall, Jerry Coffe, Jerry Smith, Ryan Ilg, Fabian Leal, Denisse Garcia, Jenna Lucas, Jan Bell. Back row: Jose Sanchez, Cory Clark, Nate Terry, Ernie Ramon, Tony Jasso, Aaron Jones, Tyler Farella, Jason Sharpe, Vic Rosen, Brad Tatsch, Moe Aziz, Hunter Phillips, Jason Hebeler, Chris Wieland, Dave Wiley, Steve Covert. Photo/Carlos Sanchez

“We have trained more than 30 people in the latest version of Hard Dollar to keep up with technology and develop more comprehensive estimates.”

When Zachry is awarded a project, the estimator who bid that project has the ability to go into the field and actually build the project to ensure that the job is built according to the specifications proposed in the estimating phase. “When someone works on a project from beginning to completion, they are much more intimate with the scope of work; they take pride and ownership of the project to get it done right,” said Sharpe.

These advancements in the Department have come with a surge in workload. “We usually have two to three estimates going out every month,” said Sharpe. “But in May, we are at a pace to double our normal rate. This offers us more opportunity to grow the skills of fellow team members. I’m excited to see what the future has in store.”

“What we are doing differently is building on our foundation and making the estimating process more cohesive and much more efficient.”

–Jason Sharpe

ZACHRY ADVANTAGE | 7

ZACHRY GEARS UP FOR MORE SUCCESS THROUGHOUT THE

CAROLINAS.

COVER STORY

Zachry’s Southeast Region expands from Virginia to Florida and is part of one of the fastest growing regions in the country. Zachry established its first permanent office in the Southeast Region in July 2012. During the last few years, the population in North and South Carolina has grown at a 1.1 percent rate, which is faster than the national growth rate of 0.7 percent, resulting in the allocation of 17 percent of the national transportation budget directed to this region.

MORE OPPORTUNITY.

MORE BIDS WON.

According to Pike Riegert, Vice President for the Southeast Region, this recent uptick of incredible population and business growth is ideal for Zachry. A full slate of projects will keep Zachry crews busy for quite a while in the Carolinas—but once additional skilled staff is found, he sees potential to move into Georgia and Florida. Riegert also foresees the utility group eventually working directly with municipalities and private developers, that also have water, sewer and drainage work. Market analysis shows potential opportunities like concrete paving, and structures and utilities work which perfectly align with Zachry Construction Corporation’s core capabilities.

Zachry’s recent overall win ratio is 5:11. That is, 5 wins for every 11 projects bid. “That success is due to the great reputation our team has built over the years and an outstanding estimating team,” said Kevin Knuettel, recently promoted to Regional Chief Estimator for Zachry Construction. Knuettel applies his eleven-year estimating experience in construction and telecommunication fields to utilize Zachry’s diverse set of skills to offer competitive bids.

8 | ZACHRY ADVANTAGE ISSUE 2, 2017

“We’d become a known entity here, but local officials had us pegged as concrete specialists,” says Knuettel. “Projects like Capital Boulevard and NC-55 projects demonstrate we could cooperatively interface with the state Department of

Pictured left to right: Greenville, SC exit sign; Dan Martin, new employee to Zachry Construction working on Capital Blvd Project in Raleigh, NC; Kevin Kneuttel, Regional Chief Estimator and Darren Colby, Lead Estimator, working at the Raleigh Home Office; Top row: Drew Johnson, Bill Voight, Ryan Ilg, Kevin Knuettel, Melissa Starr, Jim Marsolino.

Bottom row: Isa Diaz, Luisa Gomez, Darren Colby, Pike Riegert, Heath Strickland, Joe Messina, Thien Vu, Ryan Holloway, Holden Edwards, Photo/Carlos Sanchez

Transportation and with local municipalities. We can handle road widening but also be flexible enough to redesign bridges and other structures, accommodate utility work, and more. These two jobs have significantly expanded our reputation in the Carolinas.”

Knuettel thinks Zachry’s biggest advantage is diversity of people, offering differing skills and looking at a given job with unique perspectives. This is particularly important in design/build jobs.

Almost all projects come with a general plan and certain absolute specifications, but design/build methods allow flexibility in how to satisfy those specs – using experience to adapt designs and plan the work schedule. These factors plus the combination of assorted specialties have paid off recently, allowing Zachry to offer more competitive bids and win more contracts.

MORE EMPLOYEES.

MORE LOCATIONS. Zachry started out with centrally located headquarters in Raleigh, NC, staffed by 20 full-time employees. Recently, projects farther west in North Carolina and some in South Carolina required a new satellite office in Charlotte, NC, also with 20 full-time employees.

The Charlotte location allows support personnel to be within one to one and a half hours from Zachry’s current construction projects.

MORE TO COME. The Southeast Region has an exciting future ahead, with good news of expansion and growth in concrete paving, structures and utilities—which sets the stage for Zachry Construction Corporation to continue its success throughout the Carolinas and beyond.

Raleigh, NC, is the epicenter of Zachry’s regional operations, and staff continues to expand with expertise in concrete paving, structures and utilities – occasionally utilizing outside entities for certain situations, but mostly growing internal resources and skills.

The expected growth within the next seven years would increase employment in the region significantly.

Photo of the I-85/385 Project in Greenville, SC. Photo/Carlos Sanchez

ZACHRY ADVANTAGE | 9

DOUBLE

THE X-RAYS MEANS MORE COMPETITIVE PRODUCTS.

All cement plants have some type of X-ray technology but only half of those plants will use both X-ray Fluorescence (XRF) and X-ray Diffraction (XRD) like Capitol Aggregates. Implementing both of these technologies creates customer competitiveness by quantifying cement blends, allowing greater speed and assuring better quality control.

Doug Conroy has been working for Capitol Aggregates for more than two years, but he has been in the cement industry for more than 20. He grew up in Indiana, son of a cement plant manager, and grew up working summers at the plant. Today, he is a Chemical Engineer, Chief Chemist for Capitol Aggregates and expert on how X-rays are used in the cement business.

Similar to X-rays used in the medical field to “see” into the body, X-rays also allow chemists to examine cement’s chemical makeup.

Such tools have been around since the 1960s, and there are two types. The more common type is XRF, used to analyze individual elements. The other and somewhat newer type is XRD, used to study compounds and crystalline structures.

Data collected from these X-rays shows how various components of the cement will perform as it goes through manufacturing process. By better understanding the performance of each component such as sand, aluminum silica, and limestone, and understanding how each material reacts with another, highly specialized blends are able to be produced to exact customer specifications on concrete strength or curing timing. As a result of this very analytical process, we can ensure consistent performance of the products we produce.

Various raw materials are individually analyzed with XRF technology, and then blended together and chemically altered through an intense heating process in a kiln to produce clinker.

This clinker is analyzed again using both XRF and XRD

10 | ZACHRY ADVANTAGE ISSUE 2, 2017

Photo: Khloe Wedgeworth, summer intern and daughter of John Wedgeworth, Quality Control Manager for the Aggregates Division of Capitol Aggregates, tests cement on the new X-Ray machine at the San Antonio Cement Plant. Khloe is a recent graduate of U.S. Army Basic Training at Fort Sill, Oklahoma. Photo/Carlos Sanchez

technology, and then integrated with other materials to yield desired cement properties. Gypsum, for example, is added to help control strength profile and set-up time. Fly Ash is often added to help concrete durability against reactive soils and aggregates.

According to Conroy, most concrete blends are designed for a specified strength within 28 days, but many customers have higher expectations. For example, makers of precast concrete items require fast set-up and high strength early within one day, so they can remove molds quickly. Ready-mix customers expect the concrete to have a consistent “set” time and to achieve specific strength within one day. This strength allows them to remove forms sooner.

“The work we do in our chemistry lab allows us to make products for early strength, late-age strength, or durability against specific aggressive environments. We produce to exact customer specifications.”

–Doug Conroy.

ZUUS

RECOGNIZED FOR POST-TORNADO POWER RESTORATION AND CLEANUP EFFORTS

In rare occurrences, San Antonio weather can be brutal.

On February 19, 2017, four tornadoes touched down across San Antonio, leaving a wake of destruction with significant damages to homes and buildings, and left thousands without power. The National Weather Service confirmed one tornado was a category EF-1 with 105 mph winds and a path length of 4.5 miles.

Days later, ZUUS was contacted by Rudy Garza, Senior Vice President Distribution Service & Operations at CPS Energy to share letters of appreciation from community residents.

“With the assistance of your crew’s expertise and dedication, we were able to restore power to all of our customers within 48 hours. Together we worked

After the threat of storms had passed, CPS Energy requested assistance from Zachry Underground Utility Services (ZUUS) with the utility’s cleanup and power restoration efforts. Without hesitation, ZUUS’s Superintendent, Shane Buck, quickly coordinated three crews led by Pete Zertuche, Justin Glover and Jimmy Riojas to assist in the restoration of power to properties affected by the storm. Additionally, ZUUS came to the rescue with equipment such as bucket trucks, wood chippers, chainsaws and more to straighten poles and clear debris from cluttered roadways. True community spirit came to life when nearby residents offered food and bottled water.

to provide reliable energy and exceptional customer service. CPS Energy is deeply appreciative of your team’s assistance, and looks forward to continuing our partnership. Thanks for a job well done.”

–Rudy Garza, CPS Energy, Senior Vice President of Distribution Services & Operations.

The Oak Park North Neighborhood Association invited ZUUS employees who had worked on the restoration, as well as their families, to a special barbecue to recognize the crews that helped so many homeowners get their households back to normal.

NEW UTILITY WORK

FOR ZUUS & HEAVY AT UTHSC One day, while leading Zachry Underground Utility Services (ZUUS) crews near the University of Texas Health Science Center at San Antonio (UTHSC-SA), Crew Foreman Alfredo Gutierrez learned of an upcoming project at UTHSC-SA. However, the pre-bid meeting for the project was scheduled for the exact same day. Instead of dismissing this information, Alfredo’s proactive initiative to inform his supervisor led to Zachry successfully bidding and winning the project.

“When opportunity knocks, you take full advantage of it,” said Will Tubb, Operations Manager. “This is exactly the kind of resourcefulness we love to see in our employees. This project could have been a missed opportunity. It is the perfect opportunity for the Heavy Division and ZUUS to collaborate in each group’s areas of expertise.”

The newly won project for UTHSC-SA expands the facility’s utilities to establish additional reserve power to protect against brownouts at surrounding hospital facilities. The two-phased project requires careful planning and execution.

Phase 1 includes the construction of an 11’ x 12’ x 40’ tunnel that must tie into an existing tunnel. One unknown challenge is carefully hand-digging to expose existing but unmapped water, gas and sump pump lines, then cutting and shoring up the sides.

Phase 2 includes an underground vault (19’ wide x 16’ tall x 80’ long) with an exposed above-ground top surface on which heavy electrical equipment will be mounted. Construction crews will excavate, shore up sides of the site, pour the walls, and set the roof. This massive structure will route as many as 20 utility lines through the confined vault.

Project completion is expected in October 2017.

ZUUS crew setting a manhole cover.

ZACHRY ADVANTAGE | 11

Above: Robert Thrailkill, Manager of Hilton Palacio del Rio. Photo/Carlos Sanchez. Right: Zachry Hospitality’s Hilton Palacio del Rio opened its doors for the first time on April 6, 1968. In 2018, the hotel will celebrate its 50th anniversary as the City of San Antonio celebrates their 300th anniversary and hosts the NCAA Final Four. Photo courtesy of Zachry Hospitality.

TWO BIG ANNIVERSARIES TIED TOGETHER BY ZACHRY In 1968, the City of San Antonio celebrated its 250th anniversary.

To commemorate this occasion, officials worked to bring the World’s Fair to the city. Pat Zachry, owner and founder of H.B. Zachry, as well as a prominent figure in San Antonio and around the state, was elected Chairman of the World’s Fair Committee.

Not only did he help bring the event to San Antonio, he also constructed the Hilton Palacio del Rio hotel across from the grounds in record time to address a housing shortage for guests who would be attending the event.

Fifty years later, in 2018, the pair will be celebrating another anniversary in tandem: San Antonio’s tricentennial and Hilton Palacio Del Rio’s 50th anniversary. And once again, Zachry will tie the two events together.

Robert Thrailkill, Manager of the Hilton Palacio del Rio, has been familiar with the hotel from a young age. “My cousin was a director of catering at the hotel,” he said, “so we came in and got a tour of all the facilities when I was younger.” He then came to work at the hotel on two separate occasions before becoming hotel manager in 2010.

April 6th is the date the hotel was completed. A special celebration is being planned along with other big celebrations around the City of San Antonio. “During the months of March and April in 2018, we have a lot going on,” Thrailkill noted.

“The Final Four, the City’s tricentennial, Fiesta, and we’re even opening another hotel. It’s going to be exciting.”

Thrailkill is also working with the City on its tricentennial celebration, serving as president of the commission tasked with organizing the yearlong celebration.

Thrailkill pointed out that the 19 individuals working on the commission have agreed on four main guiding principles for the event: • Make a positive, lasting impact on San Antonio.

• Show the City’s diversity.

• Ensure that all commission processes are transparent.

• Celebrate the shared history that unites the community.

“We’re very excited for such a big occasion and I am honored to be a part of it.”

–Robert Thrailkill

12 | ZACHRY ADVANTAGE ISSUE 2, 2017

ZACHRY SCEN

Women in Construction Zachry Construction’s Susan LaBrie, Director of Surety Relations, and Katrina Von Kamrath, Structures Field Engineer, attended the 14th annual Groundbreaking Women in Construction (GWIC) conference in San Francisco, May 2-3, 2017. The conference helps women shape successful careers in the construction industry.

Family Violence Prevention Services A great job to all the Zachry employees and family members who participated in a nature cleanup on April 8—including the removal of small trees, shrubs, ground cover, laying new sod and river rock. Many brought their own rakes, shovels, gloves, and other gardening tools to help. Photo/Courtesy of Family Violence Prevention Services.

THE

Christian Senior Services/Grace Place Zachry volunteers cleaned up a much needed outdoor space for senior citizens at Grace Place.

Volunteers cleaned up patio areas, landscaped, painted and power washed to help the outdoor retreat look nice. Photo/Courtesy of Grace Place.

ZACHRY CORPORATION

VOLUNTEER

PROJECTS

St. Judeʻs Ranch for Children Over 70 volunteers came to the St. Jude’s Ranch on June 10 to clean up the grounds—including removing an old playground, weeding and making the kid’s backyard safe and ready for playing outside. St. Jude’s Ranch provides a safe haven for children and families who have been affected by trauma, abuse and neglect. Photo/Carla Esparza

08/21/17 – 09/01/17

11/06/17 – 11/17/17

San Antonio Youth Literacy

Quilting Z’s

Reading Buddy Program/Book Drive Lead Coordinator - John Farrow

Quilt Raffle Lead Coordinator - Michell Barthold

09/16/17

12/2017 – Date TBD

Salvation Army

San Antonio Police Department

Shoe-In/Sock Drive Lead Coordinator - Frankie Arguello 50 people, Ages 12 & up

Blue Santa Lead Coordinator - Tracey Taylor

ZACHRY ADVANTAGE | 13

THE

Zachry Construction Corporation President and COO Jean Abiassi presented Performance Awards to the below honorees for their outstanding performance in 2016. Congratulations to these outstanding performers.

2017 HEAVY & BUILDING PERFORMANCE AWARDEES DIVISION

PROJECT MANAGER

PROJECT SUPERINTENDENT

PROJECT ENGINEER

PROJECT FOREMAN

ESTIMATOR/SUPPORT PERSON

HEAVY

Jeff Sienkiewicz

Felipe Salinas/ Manual Viscaya

Shawn Talucci

Ignacio Apolinar / Alberto Castellanos

Hank Bernal / Brian Bullen

BUILDING

Brian Lennard

Joey Zigmond

Paul Crumrine

Apolonio Mendez

Darren Ratajski

VALUES SPOTLIGHT – EVERY PERSON MATTERS Zachry Construction job sites focused on safety during Safety Week and the OSHA National Safety StandDown to Prevent Falls in Construction. The Landmark Embassy Suites project in San Antonio held a Fall Protection/Prevention Training session which included workers being hoisted up in a controlled manner to feel the pressures from being suspended in a harness.

BUILDING A BRIDGE TO SUCCESS Texas A&M University will host the Women in Engineering Summer Bridge Program this summer to support the success of first-generation incoming freshmen engineering students. Zachry Corporation funded the 2017 summer program to give students a smooth transition from high school to college with a head start on Calculus I, a prerequisite course for the first semester of A&M’s engineering program.

“EVERY PERSON MATTERS and deserves the opportunity to succeed.

I believe we all want to live in a community that works together and supports each other so we can all achieve our best. This program serves to build confidence in students transitioning into successful leaders within our industry.”

David Zachry, CEO Zachry Corporation.

14 | ZACHRY ADVANTAGE ISSUE 2, 2017

HENRY B. GONZALEZ CONVENTION CENTER PHASE II COMPLETION Zachry Construction’s Building Division completed Phase II of the Henry B. Gonzalez Convention Center. The project included renovating 65,000 square feet of existing space and demolition of the original 1968 facility. This last and final phase involved selectively demolishing large portions of the existing convention center next to the San Antonio Riverwalk. This includes preservation of a large historic ceramic tile mural wall, a new entrance from Hemisfair Park and integration into a new river level amphitheater open space.

It was on Jan. 26, 2016, that the city held an official ribbon-cutting ceremony that marked the first and largest phase of the massive expansion and renovation of the Center, which now includes the biggest ballroom in Texas. The entire project is the largest capital project in the City of San Antonio’s history.

Phase II completion includes a new entrance (top photo) and new open-space interior leading to a new river-level amphitheater. Photo/Carlos Sanchez

Births:

e n o Kid Z Y ZACHR

jokes How do construction workers party?

Search for: Asphalt Blacktop Blueprint Cement Expansion Foundation Gravel Highway Painting Pavement Pitch Roadway Sand Steamroller Stone Surface Tarmac

A: They raise the roof!

Q:

MATT MILLER Estimator for Heavy Department at ZCC Baby: Liam Miller Born: 04/07/17 Wife: Destiny Miller Weight: 7 lbs. 0 oz. | Length: 20.5”

ZACHRY ADVANTAGE | 15

2330 North Loop 1604 West | San Antonio, TX 78248 P.O. Box 33240 | San Antonio, TX 78265 zachrycorp.com

PROJECT:

The Zachry Construction Building Division is currently constructing the new Zachry Hospitality Embassy Suites by Hilton San Antonio Landmark Centre. James’s drone photo captured the final slab on grade pour for the project on May 5, 2017.

SUBMITTED BY JAMES McQUAID Field Engineer

PRSRT STD U.S. POSTAGE PAID SAN ANTONIO, TX PERMIT NO. 744

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public.affairs@zachrycorp.com.

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