Property and Equipment, Net

12 Months Ended

Dec. 31, 2012

Property, Plant and Equipment and Asset Retirement Obligation [Abstract]

Property and Equipment, Net (in thousands)



December 31,	2012		2011
Land and land improvements	$	125,961	$	124,216
Quarry property	180,567		175,612
Buildings and leasehold improvements	83,245		81,272
Equipment and vehicles	758,782		733,158
Office furniture and equipment	67,743		55,570
Property and equipment	1,216,298		1,169,828
Less: accumulated depreciation and depletion	734,820		722,688
Property and equipment, net	$	481,478	$	447,140

Depreciation and depletion expense included in our consolidated statements of operations for the years ended December 31, 2012, 2011 and 2010 was $51.8 million, $56.0 million and $64.9 million, respectively. We capitalized interest costs of $2.3 million, $7.4 million and $8.1 million in 2012, 2011 and 2010, respectively, related to certain self-constructed assets, of which $2.1 million, $6.3 million and $7.8 million, respectively, were included in real estate held for development and sale and $0.2 million, $1.1 million and $0.3 million, respectively, were included in property and equipment on our consolidated balance sheets.

In the fourth quarter of 2012, we recorded an $18.0 million gain on sale of property and equipment from the sale of an underutilized quarry in the fourth quarter of 2012. This sale was related to our process of continually optimizing our assets separate from the Enterprise Improvement Plan.

We have recorded liabilities associated with our legally required obligations to reclaim owned and leased quarry property and related facilities. As of December 31, 2012 and 2011, approximately $6.6 million and $3.9 million, respectively, of our asset retirement obligations are included in accrued expenses and other current liabilities and approximately $20.0 million and $19.3 million, respectively, are included in other long-term liabilities on our consolidated balance sheets.

The following is a reconciliation of these asset retirement obligations (in thousands):



December 31,	2012			2011
Beginning balance	$	23,208		$	22,900
Revisions to estimates	2,810			(943		)
Liabilities incurred	154			471
Liabilities settled	(885		)	(496		)
Accretion	1,289			1,276
Ending balance	$	26,576		$	23,208

- Definition

The entire disclosure for long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software. This disclosure may include property plant and equipment accounting policies and methodology, a schedule of property, plant and equipment gross, additions, deletions, transfers and other changes, depreciation, depletion and amortization expense, net, accumulated depreciation, depletion and amortization expense and useful lives, income statement disclosures, assets held for sale and public utility disclosures. The entire disclosure for an asset retirement obligation and the associated long-lived asset. An asset retirement obligation is a legal obligation associated with the disposal or retirement from service of a tangible long-lived asset that results from the acquisition, construction or development, or the normal operations of a long-lived asset, except for certain obligations of lessees.

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