A quarry on Catalina Island provides Connolly-Pacific with the aggregate resource used to build and repair breakwaters and piers. Acquired in May 2000, Connolly-Pacific performs marine construction primarily in the Ports of Long Beach and Los Angeles, the two busiest ports on the West Coast. The competitive posture of Knife River's operations is enhanced by the company's equipment purchasing power. A new cement terminal in Hawaii, which begins operation in 2001, will increase operational efficiencies. We are a large cement and ready-mixed concrete supplier in the islands.
Cement is also a basic ingredient in materials produced at other company operations.
Based on revenues, our construction materials and mining operations would rank as one of the nation's 10 largest publicly traded companies in the industry. We've utilized our extensive construction materials experience to grow. This focused growth is expected to continue through further acquisitions and by optimizing synergies at existing operations. By implementing advanced technology, maximizing assets and consolidating purchasing, administrative and other functions, the company's goal is to increase earnings. Growth Potential Demand for aggregates and related construction materials in the western United States is projected to increase due to population growth and the nation's commitment to improve its highway system.