Austin Overview and Capabilities
1
2
 Founded in 1918
 100% Employee-Owned
 7,500 Austin Industries Employee-Owners
 5,500 Austin Industrial Employee-Owners
 $2 billion in annual sales
 #33 Contractor Engineering News Record
 Diversified
- Commercial
- Bridge & Road
- Industrial
 No Debt
Austin Industries – Our Parent Company
Company Overview
3
 Employee Stock Ownership Plan Established in 1986
 By 2000, Austin Industries was 100% employee-
owned (at no cost to the employees)
 Austin Industries has paid out over $300 million in
retirement benefits through the ESOP.
How It Benefits You
Because our company is
100% employee-owned,
our customers know that
each individual they
contact throughout our
company has a vested
interest in the success of
their projects.
Employee-Ownership
4
Austin’s Culture
4
Safety
Performance and Improvement
0.57
0.76
0.56
0.52
0.47 0.46
0.22
0.32
0.23
0.36
0.43
0.19
0
0.2
0.4
0.6
0.8
0
1
2
3
4
5
6
7
8
9
10
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
TRIR
WorkHours(MM's)
Work Hours (MM's) TRIR
Safety Culture Surveys - 2008
Life Critical Rules - 2009
Boots on Ground Initiative - 2010
HSE Mgt Steering Team - 2009
Driving to Zero Initiative - 2011
Risk Assessment for Hiring - 2013
Leadership Cross Audits - 2012
Risk Assessment for Existing - 2014
A+ Accelerated Comprehension - 2015
Task Between the Task - 2016
6
Austin is an active participant in the OSHA Voluntary Protection Program and
has been since 1993.
 We were the first merit shop contractor in the U.S. to be recognized for
having exemplary safety and health programs and processes in place.
 It is the requirements of the VPP Star certification that form the foundation
of Austin's HSE program.
 Austin is the only contractor in our industry that serves on the National VPP
Board of Directors.
 Austin currently has four Star sites.
- LyondellBasell – Channelview – 2 sites
- LyondellBasell – La Porte
- LyondellBasell – Bayport
Austin & OSHA VPP
7
Current and recent
site locations
Austin Offices
Company Overview
Where We Work
Austin Offices
 La Porte, TX
 Augusta, GA
 Spartanburg, SC
 Baton Rouge, LA
 Nederland, TX
 Borger, TX
 Corpus Christi, TX
8
Maintenance
• Millwright/Mechanic
• Welder/Pipefitter
• Boilermaker
• Equipment Operator/Rigging
• Electrical/Instrumentation
• Fire Sprinkler Systems
• Vibration Monitoring
• Fiberglass
Construction/
Small Cap
• Piping
• Structural Steel erection
• Equipment Setting,
Assembly, & Alignment
• Electrical/Instrumentation
• Civil
• Project Controls
• Subcontract Management
Specialty
• Scaffold
• Insulation
• Paint/Coatings
• Asbestos Abatement
• Lead Abatement
• CUI
• Fiberglass
• Steam Tracing
Plant Services
• Facilities
• Warehouse
• Logistics Support
• Janitorial
• Grounds
• HVAC
• Tool Room
• Operations Support
• Raw Material handling
Heat Exchanger
• Bundle Insertion/
Extraction
• Rigging
• Tube Replacement
• Torqueing
• Tube Plugging
• Bundle Repair
• Insulation Blanket
Turnarounds
• Boilermaker
• Exchanger Services
• Scaffold/Insulation
• Paint
• Welder/Pipefitter
• Specialty Welder
• Planning/Scheduling
• Equipment
Operator/Rigging
Material
Handling
• Rail Loading
• Tank/Bulk Truck Loading
• Barge Loading
• Switching
• Packaging
• Drumming
Austin Capabilities
9
Customer Base
Oil, Gas & Chemicals Manufacturing Energy - Power
 Albemarle
 BASF
 Bayer Material
 Chevron
Oronite
 Clariant
 DSM
 ExxonMobil
 Lanxess
 Linde/BOC
 Lubrizol
 LyondellBasell
 Marathon
 Motiva
 Navajo
Refining
 PCS
 Phillips 66
 Prayon
 Shintech
 Syngenta/
 Targa
 TOTAL
 Bridgestone (BATO)
 Fuji
 International Paper
 Kimberly-Clark
 Milliken
 Roche Carolina
 WestRock
 American Electric
Power
 Austin Energy
 Bryan Texas Utilities
 Calpine
 CPS Energy
 GE Energy
 KiOR
 Nordic Biofuels of NE
 Orlando Utilities
 Duke/Progress
Energy
10
Maintenance Execution
Resident Contractor - Overview
Establish site/project steering team
Establish benchmarks, evaluate effectiveness of
current work flow process
Develop KPIs & targets – mutually agreed
Develop site-specific strategic plans
Implement Opportunity for Improvement process
Review training requirements – maintenance,
capital, operations support
Review indirect staff requirements
11
Continuous Improvement
KEY BUSINESS
DRIVERS
(KBDs)
IDENTIFIED
(shared with
Austin)
KEY
PERFORMANCE
INDICATORS
(KPIs)
IDENTIFIED
(support KBDs)
• Definition & calculation
agreed to for each KPI
• Target level of performance
agreed to for each KPI
DEVELOP
PERFORMANCE
SCORECARD
DEVELOP
TACTICAL
ACTION PLAN
FOR EACH KPI
Communicated to Austin supervisors &
employee-owners
PERFORMANCE
MEASUREMENT
(monthly reporting)
REGULAR
PERFORMANCE
REVIEW
SESSIONS
(Owner & Austin)
12
Continuous Improvement
Opportunity for Improvement (OFI)
 Implemented & championed at
sites
 Participation by all employee-
owners is encouraged &
expected
 Assists in continually driving
down operating costs
-Each site has an annual
savings target
 Creates additional value for our
customers
13
Austin Quality Control
 Code Stamps: A, PP, U, & R
 Tailored to fit service offering
 Alignment with Project Specifications
 Supervisor and Craft Quality Training
− Proprietary Weld Quality Program
− Includes Welders, Supervisors, Pipefitters &
Inspectors
 Non-conformance process
 A Boiler Assembly
 PP Pressure Piping
 U Pressure Vessel
 R Repair & Alteration- National Bd. Certification
14
Construction Overview
Project controls in support of Austin’s work include:
 Estimating in support of project development
 Detailed project estimates
 Project control execution plans and control of work processes
 Detailed, logic-driven & resource loaded schedules
 Quantity-driven progress tracking and earned value reporting and
forecasting
 Change Management
 Integrated turnover system tracking
 Integrated quality process from award through close-out
 Cost Analysis
 Material / Equipment procurement & Controls
15
 Structured to fit size & complexity of project
 Development of integrated capital projects
team philosophy
 Early construction input during FEL
 Project-specific estimates with uniform work
breakdown structure
 Project-specific, resource loaded, logic driven
schedules
 Timely & accurate physical field progress
reporting for earned value progress
IPA Best-in-Class Program Award
(Independent Project Analysis Group Benchmarking)
Small-Cap Capabilities
16
Subcontract Management
Experienced in management of both Austin and
owner subcontractors
Require subs to adhere to site HSE & QCC
standards
Costs rolled up in Austin’s forecasting & progress
reporting
17
Austin has extensive experience in all phases of the outage cycle from the
front-end efforts of planning and scheduling through execution,
system turnover and start-up. Performing both embedded and stand-alone
turnarounds,
Austin routinely performs
Alloy welding
Bolt torqueing
Offsite pipe fabrication
Pipe installation
Bundle extraction
Valve replacement
Catalyst Replacement
I/E work
Preheater Replacement
Code work
Millwright work
Scaffolding
Insulation
Planning/scheduling
Purchasing/subcontract
management
Turnaround Group
18
The Austin Advantage
Specialty Management Programs
Austin Scaffold Asset Program
(ASAP)
Heat Loss Survey
19
Training/Certification Process
 In-house training prior to 1990
 ABC Contractor of the Year – 1991
 Subject Matter Expert
involvement
 In-house, validated assessment –
1993
 Leading role in national
certification process
 Transition to national assessment
– 2002
 Training based on assessment
prescription
 Performance Plus
Assess
through
NCCER
written
testing
Develop
individualized
training
prescriptions
Skills
upgrade
training
Performance
verification
Austin – A Leader in Craft Training
20
 Local/community
emphasis
 One-stop shop
 Transition existing
workforce
 Austin database
 Employee referral program
 Advertising
- Billboards/radio
- Email blasts
- Postcards to former
Austin employee-
owners
- Weld testing offices
- Craft journals
Staffing/Recruiting/Retention
 Job fairs
 Local schools/Youth
Construction Committee
 Resource sharing
 Austin recruiting centers
- Augusta, GA
- Baton Rouge, LA
- Beaumont, TX
- Deer Park, TX
- Spartanburg, SC
21
International Paper
Ongoing Maintenance & Capital
Project Overview
Services:
Ongoing maintenance &
capital work in all
disciplines.
Locations:
Start Date:
IP Pensacola 12/01/13
IP Riverdale 12/01/13
IP Eastover 01/27/14
Project Size $:
$25 Million/Yr.
Scope:
 Perform maintenance and project work in all work disciplines.
 Perform S/D’s, Outages and Field Cycle Days in all work disciplines.
 Work is performed on both a time & material and lump sum basis.
22
Kimberly-Clark
Ongoing Maintenance & Capital
Project Overview
Services:
Ongoing maintenance
& capital work in all
disciplines
Location/
Start Date:
Beech island, SC-1991
Owensboro, KY-2004
Ogden, UT-2005
Neenah, WI-2009
Project Size $:
$15 million/year
Scope:
 Perform maintenance and project work in all disciplines. Removal and
installation of equipment.
 Four K-C facilities.
 Work is performed on both a time & material and lump sum basis.
23
WestRock
Maintenance
Project Overview
Services:
Ongoing maintenance
& capital work in all
disciplines.
Location: Dublin, GA
Start Date: 01/16/17
Project Size: $2
Million/Yr.
Scope:
 Perform maintenance and project work in all work disciplines.
 Perform S/D’s, Outages and Field Cycle Days in all work
disciplines.
 Work is performed on both a time & material and lump sum
basis.
24
Bridgestone Americas
Maintenance
Project Overview
Location:
 Wilson, NC
 Graniteville, SC (PSR)
 Trenton, SC (ORR)
Start Date: 2011
Contract Value: $25 M/year
Headcount: 315
Scope:
Preventative maintenance, supplemental maintenance, machining, stores,
janitorial, battery attendants, capital projects, other.
25
Potash Corporation
Maintenance, Specialty, Capital
PROJECT SUMMARY
Services:
Total Maintenance
(mechanical, I/E)
Material Handling
Operations Support &
Capital
Location:
Augusta, GA
Start Date: 1977
Project Size:
$40 million/year
Austin provides mechanical, electrical, civil, I&C, and specialty services at
the Augusta site. .
26
BASF Corporation
Maintenance, Specialty, Capital
Project Overview
Services:
Ongoing Maintenance (mechanical, electrical,
specialty), warehousing, tool room, capital
Location:
Texas, Georgia, and Tennessee
Start Date:
1994
Project Size $:
$7-10 million/year
 Austin began providing services to BASF in
Bayport, TX in 1994.
 Added:
- Pasadena, TX site in 2005
- Savannah, GA site in 2010
- Chattanooga, TN site in 2011
 Performed a C4 construction/turnaround
project – BASF/ Sabina facility in Port
Arthur, TX in 2007 – 150,000 work hours
27
Austin provides mechanical, electrical, civil, I&C, and specialty services at
various plants in the Carolina’s, Florida, and Kentucky.
PROJECT SUMMARY
Services:
Capital Construction
(mechanical, electrical,
specialty),
Location:
Throughout NC, SC, FL, IN
Start Date:
2010
Project Size $:
$25 - 30 million/year
Duke Energy
Small Cap Construction
28
Summary
 Best in Class Safety Performance
 National contractor – Regional approach
 Employee-Ownership
 Proven Performance and Cost Savings
 Best in Industry Supervision and Crafts
 Resource Capacity/Flexibility
 Geographic Footprint
 Broad Range of Capabilities
 Committed to Customer Key Business Drivers
 Continuous improvement methodology/customer
alignment
 Core competencies in construction, maintenance,
specialty & plant services
 Access to Multiple Sites and Industry Best Practices

Austin overview 2017

  • 1.
    Austin Overview andCapabilities 1
  • 2.
    2  Founded in1918  100% Employee-Owned  7,500 Austin Industries Employee-Owners  5,500 Austin Industrial Employee-Owners  $2 billion in annual sales  #33 Contractor Engineering News Record  Diversified - Commercial - Bridge & Road - Industrial  No Debt Austin Industries – Our Parent Company Company Overview
  • 3.
    3  Employee StockOwnership Plan Established in 1986  By 2000, Austin Industries was 100% employee- owned (at no cost to the employees)  Austin Industries has paid out over $300 million in retirement benefits through the ESOP. How It Benefits You Because our company is 100% employee-owned, our customers know that each individual they contact throughout our company has a vested interest in the success of their projects. Employee-Ownership
  • 4.
  • 5.
    Safety Performance and Improvement 0.57 0.76 0.56 0.52 0.470.46 0.22 0.32 0.23 0.36 0.43 0.19 0 0.2 0.4 0.6 0.8 0 1 2 3 4 5 6 7 8 9 10 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 TRIR WorkHours(MM's) Work Hours (MM's) TRIR Safety Culture Surveys - 2008 Life Critical Rules - 2009 Boots on Ground Initiative - 2010 HSE Mgt Steering Team - 2009 Driving to Zero Initiative - 2011 Risk Assessment for Hiring - 2013 Leadership Cross Audits - 2012 Risk Assessment for Existing - 2014 A+ Accelerated Comprehension - 2015 Task Between the Task - 2016
  • 6.
    6 Austin is anactive participant in the OSHA Voluntary Protection Program and has been since 1993.  We were the first merit shop contractor in the U.S. to be recognized for having exemplary safety and health programs and processes in place.  It is the requirements of the VPP Star certification that form the foundation of Austin's HSE program.  Austin is the only contractor in our industry that serves on the National VPP Board of Directors.  Austin currently has four Star sites. - LyondellBasell – Channelview – 2 sites - LyondellBasell – La Porte - LyondellBasell – Bayport Austin & OSHA VPP
  • 7.
    7 Current and recent sitelocations Austin Offices Company Overview Where We Work Austin Offices  La Porte, TX  Augusta, GA  Spartanburg, SC  Baton Rouge, LA  Nederland, TX  Borger, TX  Corpus Christi, TX
  • 8.
    8 Maintenance • Millwright/Mechanic • Welder/Pipefitter •Boilermaker • Equipment Operator/Rigging • Electrical/Instrumentation • Fire Sprinkler Systems • Vibration Monitoring • Fiberglass Construction/ Small Cap • Piping • Structural Steel erection • Equipment Setting, Assembly, & Alignment • Electrical/Instrumentation • Civil • Project Controls • Subcontract Management Specialty • Scaffold • Insulation • Paint/Coatings • Asbestos Abatement • Lead Abatement • CUI • Fiberglass • Steam Tracing Plant Services • Facilities • Warehouse • Logistics Support • Janitorial • Grounds • HVAC • Tool Room • Operations Support • Raw Material handling Heat Exchanger • Bundle Insertion/ Extraction • Rigging • Tube Replacement • Torqueing • Tube Plugging • Bundle Repair • Insulation Blanket Turnarounds • Boilermaker • Exchanger Services • Scaffold/Insulation • Paint • Welder/Pipefitter • Specialty Welder • Planning/Scheduling • Equipment Operator/Rigging Material Handling • Rail Loading • Tank/Bulk Truck Loading • Barge Loading • Switching • Packaging • Drumming Austin Capabilities
  • 9.
    9 Customer Base Oil, Gas& Chemicals Manufacturing Energy - Power  Albemarle  BASF  Bayer Material  Chevron Oronite  Clariant  DSM  ExxonMobil  Lanxess  Linde/BOC  Lubrizol  LyondellBasell  Marathon  Motiva  Navajo Refining  PCS  Phillips 66  Prayon  Shintech  Syngenta/  Targa  TOTAL  Bridgestone (BATO)  Fuji  International Paper  Kimberly-Clark  Milliken  Roche Carolina  WestRock  American Electric Power  Austin Energy  Bryan Texas Utilities  Calpine  CPS Energy  GE Energy  KiOR  Nordic Biofuels of NE  Orlando Utilities  Duke/Progress Energy
  • 10.
    10 Maintenance Execution Resident Contractor- Overview Establish site/project steering team Establish benchmarks, evaluate effectiveness of current work flow process Develop KPIs & targets – mutually agreed Develop site-specific strategic plans Implement Opportunity for Improvement process Review training requirements – maintenance, capital, operations support Review indirect staff requirements
  • 11.
    11 Continuous Improvement KEY BUSINESS DRIVERS (KBDs) IDENTIFIED (sharedwith Austin) KEY PERFORMANCE INDICATORS (KPIs) IDENTIFIED (support KBDs) • Definition & calculation agreed to for each KPI • Target level of performance agreed to for each KPI DEVELOP PERFORMANCE SCORECARD DEVELOP TACTICAL ACTION PLAN FOR EACH KPI Communicated to Austin supervisors & employee-owners PERFORMANCE MEASUREMENT (monthly reporting) REGULAR PERFORMANCE REVIEW SESSIONS (Owner & Austin)
  • 12.
    12 Continuous Improvement Opportunity forImprovement (OFI)  Implemented & championed at sites  Participation by all employee- owners is encouraged & expected  Assists in continually driving down operating costs -Each site has an annual savings target  Creates additional value for our customers
  • 13.
    13 Austin Quality Control Code Stamps: A, PP, U, & R  Tailored to fit service offering  Alignment with Project Specifications  Supervisor and Craft Quality Training − Proprietary Weld Quality Program − Includes Welders, Supervisors, Pipefitters & Inspectors  Non-conformance process  A Boiler Assembly  PP Pressure Piping  U Pressure Vessel  R Repair & Alteration- National Bd. Certification
  • 14.
    14 Construction Overview Project controlsin support of Austin’s work include:  Estimating in support of project development  Detailed project estimates  Project control execution plans and control of work processes  Detailed, logic-driven & resource loaded schedules  Quantity-driven progress tracking and earned value reporting and forecasting  Change Management  Integrated turnover system tracking  Integrated quality process from award through close-out  Cost Analysis  Material / Equipment procurement & Controls
  • 15.
    15  Structured tofit size & complexity of project  Development of integrated capital projects team philosophy  Early construction input during FEL  Project-specific estimates with uniform work breakdown structure  Project-specific, resource loaded, logic driven schedules  Timely & accurate physical field progress reporting for earned value progress IPA Best-in-Class Program Award (Independent Project Analysis Group Benchmarking) Small-Cap Capabilities
  • 16.
    16 Subcontract Management Experienced inmanagement of both Austin and owner subcontractors Require subs to adhere to site HSE & QCC standards Costs rolled up in Austin’s forecasting & progress reporting
  • 17.
    17 Austin has extensiveexperience in all phases of the outage cycle from the front-end efforts of planning and scheduling through execution, system turnover and start-up. Performing both embedded and stand-alone turnarounds, Austin routinely performs Alloy welding Bolt torqueing Offsite pipe fabrication Pipe installation Bundle extraction Valve replacement Catalyst Replacement I/E work Preheater Replacement Code work Millwright work Scaffolding Insulation Planning/scheduling Purchasing/subcontract management Turnaround Group
  • 18.
    18 The Austin Advantage SpecialtyManagement Programs Austin Scaffold Asset Program (ASAP) Heat Loss Survey
  • 19.
    19 Training/Certification Process  In-housetraining prior to 1990  ABC Contractor of the Year – 1991  Subject Matter Expert involvement  In-house, validated assessment – 1993  Leading role in national certification process  Transition to national assessment – 2002  Training based on assessment prescription  Performance Plus Assess through NCCER written testing Develop individualized training prescriptions Skills upgrade training Performance verification Austin – A Leader in Craft Training
  • 20.
    20  Local/community emphasis  One-stopshop  Transition existing workforce  Austin database  Employee referral program  Advertising - Billboards/radio - Email blasts - Postcards to former Austin employee- owners - Weld testing offices - Craft journals Staffing/Recruiting/Retention  Job fairs  Local schools/Youth Construction Committee  Resource sharing  Austin recruiting centers - Augusta, GA - Baton Rouge, LA - Beaumont, TX - Deer Park, TX - Spartanburg, SC
  • 21.
    21 International Paper Ongoing Maintenance& Capital Project Overview Services: Ongoing maintenance & capital work in all disciplines. Locations: Start Date: IP Pensacola 12/01/13 IP Riverdale 12/01/13 IP Eastover 01/27/14 Project Size $: $25 Million/Yr. Scope:  Perform maintenance and project work in all work disciplines.  Perform S/D’s, Outages and Field Cycle Days in all work disciplines.  Work is performed on both a time & material and lump sum basis.
  • 22.
    22 Kimberly-Clark Ongoing Maintenance &Capital Project Overview Services: Ongoing maintenance & capital work in all disciplines Location/ Start Date: Beech island, SC-1991 Owensboro, KY-2004 Ogden, UT-2005 Neenah, WI-2009 Project Size $: $15 million/year Scope:  Perform maintenance and project work in all disciplines. Removal and installation of equipment.  Four K-C facilities.  Work is performed on both a time & material and lump sum basis.
  • 23.
    23 WestRock Maintenance Project Overview Services: Ongoing maintenance &capital work in all disciplines. Location: Dublin, GA Start Date: 01/16/17 Project Size: $2 Million/Yr. Scope:  Perform maintenance and project work in all work disciplines.  Perform S/D’s, Outages and Field Cycle Days in all work disciplines.  Work is performed on both a time & material and lump sum basis.
  • 24.
    24 Bridgestone Americas Maintenance Project Overview Location: Wilson, NC  Graniteville, SC (PSR)  Trenton, SC (ORR) Start Date: 2011 Contract Value: $25 M/year Headcount: 315 Scope: Preventative maintenance, supplemental maintenance, machining, stores, janitorial, battery attendants, capital projects, other.
  • 25.
    25 Potash Corporation Maintenance, Specialty,Capital PROJECT SUMMARY Services: Total Maintenance (mechanical, I/E) Material Handling Operations Support & Capital Location: Augusta, GA Start Date: 1977 Project Size: $40 million/year Austin provides mechanical, electrical, civil, I&C, and specialty services at the Augusta site. .
  • 26.
    26 BASF Corporation Maintenance, Specialty,Capital Project Overview Services: Ongoing Maintenance (mechanical, electrical, specialty), warehousing, tool room, capital Location: Texas, Georgia, and Tennessee Start Date: 1994 Project Size $: $7-10 million/year  Austin began providing services to BASF in Bayport, TX in 1994.  Added: - Pasadena, TX site in 2005 - Savannah, GA site in 2010 - Chattanooga, TN site in 2011  Performed a C4 construction/turnaround project – BASF/ Sabina facility in Port Arthur, TX in 2007 – 150,000 work hours
  • 27.
    27 Austin provides mechanical,electrical, civil, I&C, and specialty services at various plants in the Carolina’s, Florida, and Kentucky. PROJECT SUMMARY Services: Capital Construction (mechanical, electrical, specialty), Location: Throughout NC, SC, FL, IN Start Date: 2010 Project Size $: $25 - 30 million/year Duke Energy Small Cap Construction
  • 28.
    28 Summary  Best inClass Safety Performance  National contractor – Regional approach  Employee-Ownership  Proven Performance and Cost Savings  Best in Industry Supervision and Crafts  Resource Capacity/Flexibility  Geographic Footprint  Broad Range of Capabilities  Committed to Customer Key Business Drivers  Continuous improvement methodology/customer alignment  Core competencies in construction, maintenance, specialty & plant services  Access to Multiple Sites and Industry Best Practices