2018 CORPORATE RESPONSIBILITY REPORT

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Origination/Destination (OD) Pairing Optimization Garners Significant Savings

In 2018, Covia realized significant freight savings—synergies—due to Origination/Destination “OD” pairing optimization. The combination of our two legacy companies created a logistics leader in North America for industrial minerals. For example, we are now supplying the Loving Aventine terminal in New Mexico from Wedron, Illinois, which is a BNSF-only haul. Previously, it was supplied primarily from a plant in another state requiring a two-line haul. The cost savings reflect shorter distances traveled by the product and therefore reduced energy consumption to get product to market.