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World's Largest Cement Plant to be Built in Joint Venture with Washington Group International

Washington Group International (Nasdaq: WGII) today announced that Washington Group Alberici, its majority-owned joint venture with Alberici Constructors, has been awarded a contract to build one of the world's largest cement plants for Holcim (US) Inc., a major manufacturer and supplier of cement and mineral components in the United States.

Washington Group Alberici will provide procurement, construction management, and general contractor services for the main plant associated with the $905 million cement-manufacturing complex located in northern Ste. Genevieve County, Mo., approximately 55 miles south of St. Louis.

"Our team is excited about bringing our world-class experience to such a massive project and a global client such as Holcim," said Gary C. Baughman, president of Washington Group's Industrial/Process Business Unit. "We're committed to providing Holcim with a signature facility and hope to explore other opportunities to expand our services with Holcim."

"Washington Group and Alberici have stellar track records for executing projects safely, cost effectively and on time, and both have strong regional experience. Their selection is a major step forward on this important project," said Russell Wiles, senior vice president of Holcim.

The facility's single kiln will produce 12,000 metric tons of clinker per day (four million tons of cement annually), making it the largest single clinker production line in the world. Clinker is the material made by heating ground limestone and other raw materials. The clinker is then ground into a fine powder to produce cement, with a small amount of gypsum added to control the setting properties.

The facility will also make use of the most advanced equipment and technology available, providing for emission limits among the lowest of any cement plant in the United States and the world.

The plant will be located in a former quarry area, with a harbor extending to the nearby Mississippi River, where most of the plant's finished product will be loaded on barges for transport.

Site preparation work is already under way with major plant construction work to begin immediately. Plant startup is scheduled for the third quarter of 2009.

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