|1
KEN IVERSON
FORMER CHAIRMAN AND
CHIEF EXECUTIVE OFFICER
NUCOR TENURE 1962-1998
“Managing with a long-term perspective
is just common sense to us.”
“Sustainability – through profitable
and responsible long-term growth.
We are committed to being cultural
and environmental stewards in the
communities where we live and work.
We are succeeding by working together.”
DANIEL R. DIMICCO
CHAIRMAN AND
CHIEF EXECUTIVE OFFICER
NUCOR TENURE 1982-PRESENT
2 | Nucor Sustainability Report 2011
THE NUCOR WAY
INTEGRITY
PERSONAL RESPONSIBILITY
TEAMWORK
OPEN COMMUNICATIONS
WORK ETHIC
PRIDE
INNOVATIVE/INTELLIGENT RISKS
TREAT PEOPLE THE RIGHT WAY
OPTIMISM
CAN-DO ATTITUDE
This report is dedicated to the more than 20,800 teammates of Nucor Corporation
and our subsidiaries who are using The Nucor Way to make Nucor the most
sustainable steel company in the world.
|3
4
LETTER FROM DAN DIMICCO
8
HEALTH & SAFETY PERFORMANCE
18
EMPLOYEE RELATIONS
28
ENVIRONMENTAL PERFORMANCE
48
DAVID J. JOSEPH COMPANY
& HARRIS STEEL GROUP
58
COMMUNITY RELATIONS
68
CUSTOMER RELATIONS
78
GOVERNANCE
ABOUT THIS REPORT
Our second Sustainability Report picks up where our 2009 report left off – demonstrating how Nucor’s
culture makes us a sustainable company. The stories used throughout are just some examples of the hundreds
of submissions we received from our valued teammates.
This report covers our Nucor mills and product facilities in the United States, Canada and Trinidad,
including the David J. Joseph Company and Harris Steel Group operations. This report was developed in
line with the Global Reporting Initiative (GRI) G3.1 Sustainability Reporting guidelines, which provide
a standard framework for organizations to report on social, environmental, governance and economic
performance. At the end of some of the sections, we have included the applicable GRI indicators. Where
metrics recommended in GRI are relevant to Nucor Corporation and data was available, we have included
this information, but we have not endeavored to report “in accordance with” GRI.
4 | Nucor Sustainability Report 2011
LE T TER FROM THE CHAIRMAN & CEO
IT’S OUR
As every Nucor teammate knows, we have
a way of doing business. We call it The
Nucor Way, and it is a set of 10 principles
by which we work and live: integrity;
personal responsibility; teamwork; open
communications; work ethic; pride;
innovative and intelligent risk taking;
treating people the right way; optimism;
and a can-do attitude. You will see a lot of
The Nucor Way throughout our second Sustainability Report. It fits because, in the end, following The Nucor
Way is what makes us and keeps us a sustainable company.
For Nucor, sustainability is being cultural and environmental stewards in the communities where we live and
work, which is a critical part of the Nucor Mission Statement. This philosophy ensures we are taking care of
future generations as we grow our business. We know that taking care of our customers – our teammates,
our shareholders and the people who purchase and use our products – extends into all facets of our business:
employee relations; health and safety; customer and community relations; and governance. And within each
of these areas, Nucor is a leader in both short-term and long-term sustainability.
But there is another important element of being a sustainable company that can’t be overlooked: it
requires taking charge of our future. If we control our future by operating under the guidance of The Nucor
Way, sustainability comes naturally. We can do this through constant practice and repetition, much like an
athlete practices a routine. Watch a basketball player prepare to shoot a free throw, or a batter for a pitch.
Behind every action are countless hours of practice. By focusing our energy on practicing The Nucor Way, we
will continue to excel, regardless of economic conditions.
|5
This Report Highlights Many Examples of Nucor Taking Charge of Our Future:
Nucor is emerging from this economy stronger and safer than ever. During
slow times many of our divisions have invested in mill improvements as well as
making substantial enhancements to their safety programs. From mill-to-mill audits
to voluntary OSHA certifications, our teammates are truly embracing our safety goal
of Beyond Zero.
In the aftermath of the 2011 tornados, our teammates proved they could weather
any storm and come out stronger than ever. From supporting their communities
in inspiring ways to ensuring every time-sensitive order was delivered on-time despite
extended mill outages, we are proud of our team for standing up to the worst that
Mother Nature could throw at us.
Over the last decade, America lost millions of manufacturing jobs. But something
else has been lost too: young people interested in careers in manufacturing.
Nucor is determined to change that by working aggressively to build the recruiting
infrastructure that attracts talented individuals to work in manufacturing. Nucor is
also taking steps to stimulate students’ interest in engineering, math and science, and
careers in manufacturing and the steel industry.
Nucor excels as an environmental leader. In 2011, Nucor invested over $51
million on environmental projects, more than double the amount spent in 2009.
We found ways to more efficiently recycle water, reduce energy use in our operations,
detect radiation in scrap and utilize slag product from our manufacturing process.
Every teammate takes ownership of sustainable practices in our communities.
Nucor continues to focus on providing value to our customers by offering the best
combination of price, quality, service and technical expertise. Nucor customers
concerned with minimizing their environmental impact have competitive options,
as our product lines have both expanded and become more sustainable. When we
help customers produce more sustainable products – like greener automobiles and
cleaner energy – their products demonstrate why Nucor is the most sustainable
option in the industry.
For this report, we have also highlighted some of the recent successes of our David J. Joseph and Harris
operations, who have a lot to say in the area of sustainability.
We must refuse to be knocked off our base by trying times. Instead, we dig in, trust our principles, and know
that The Nucor Way will lead us in the right direction.
Let’s do it together.
Daniel R. DiMicco
6 | Nucor Sustainability Report 2011
|7
OUR MISSION
NUCOR IS MADE UP OF
MORE THAN 20,800 TEAMMATES WHOSE GOAL IS TO
TAKE CARE OF OUR CUSTOMERS.
WE ARE ACCOMPLISHING THIS BY BEING
THE SAFEST,
HIGHEST QUALITY,
LOWEST COST,
MOST PRODUCTIVE
and
MOST PROFITABLE
STEEL AND STEEL PRODUCTS COMPANY IN THE WORLD.
We ARE COMMITTED TO DOING THIS WHILE BEING
CULTURAL AND ENVIRONMENTAL STEWARDS
IN OUR COMMUNITIES WHERE WE LIVE AND WORK.
WE ARE SUCCEEDING BY
WORKING TOGETHER.
Our mills have a production capacity that exceeds 26 million tons. Nucor is the largest producer of steel,
joist and deck in the United States. We are the Western Hemisphere’s largest recycler.
8 | Nucor Sustainability Report 2011
Nucor’s culture of safety was born after the acquisition of
Vulcraft Corporation in 1962 by Nuclear Corporation, which went on to become Nucor.
One of our first changes was to institute an official safety program.
|9
HEALTH & SAFE T Y PERFORMANCE
IT’S OUR
“Profits are not the first thing – you can’t have a
profitable company if you’re not running a safe company.”
DANIEL R. DIMICCO
1982–PRESENT
10 | Nucor Sustainability Report 2011
BEYOND ZERO
While some say we’re obsessed, we think we’re
t Nucor, safety has been our
just
being
smart. In our experience, strong safety
number one priority since before
performance leads to a strong team, which leads to
we were Nucor. So it should come
strong business performance. That is why in 2011 we
as no surprise that Safety First is
decided we were no longer satisfied with
addressed at
zero injuries and illnesses. Beyond Zero
NUCOR’S INJURY RATE IS
the start of virtually every
became our new standard of excellence.
Beyond Zero means we don’t just
shift we work, every meeting
SIGNIFICANTLY
target zero injuries or illnesses, but zero
we conduct and every report
LOWER
near-misses, zero property damages,
we publish. Or that every
THAN THE NATIONAL AVERAGE.
zero potential for incidents. Or as Leon
division has dedicated safety
Topalian, General Manager of Nucor
teams continuously working to evaluate and
Steel Kankakee, Inc. explains, “We’re going so far in
improve our standards and performance. Or that
identifying our incidents before they’ve occurred that
the injury couldn’t possibly happen. Zero is a step in
every one of our facilities gets audited regularly
the journey.”
for safety performance.
2011 TOTAL OCCUPATIONAL INJURY & ILLNESS RATES | PER 100 WORKERS/200,000 HOURS PER YEAR
NATIONAL INDUSTRY AVERAGE
Nucor 2011
Health & Safety Performance | 11
Taking the next step isn’t always easy, but it is well
worth it. Kankakee teammate Randy Swiszcz experienced
a near-miss in 2011 while performing a task he’d done
for years. “My mindset until
this was ‘We are safer than
we’ve ever been.’ But if we
continue to benchmark the
past, a lot more near-misses
might happen.”
IS A STEP IN THE
This change in mindset
has driven significant safety
outcomes at Kankakee, as teammates are now recognizing
and removing potential risks before an incident has a
chance to occur. To facilitate this, Kankakee has instituted
a peer-to-peer observation program called SCRAP (Safety
Commitment Requires All Participation), a rigorous
task-related safety documentation program referred to as
HAC (Hazard Assessment Checklist) and robust incident
reporting measures.
Consider that in 2010, before the shift to Beyond
Zero, a total of 18 incidents were reported at Kankakee.
By 2011, that number was up to 110, with no
indications of slowing down in 2012. Is the increase
because the mill is less safe? Not a chance. It is because
Kankakee’s teammates now
view potential hazards as
incidents, and they are learning
to identify, report, and remove
these hazards before they
exist. In other words, they are
JOURNEY.
learning to see Beyond Zero.
ZERO
A Culture of Safety
Going Beyond Zero takes more than setting goals. It takes
a culture immersed in safety 24/7/365.
To facilitate continuous improvement of our safety
culture, Nucor utilizes a number of reporting and
monitoring systems company-wide. These include
the Safety Incident Reporting Network (SIRN),
Microsoft® SharePoint® and ongoing audit programs.
To ensure continued progress, each Nucor facility has a
continued
2011 TOTAL DAYS AWAY, RESTRICTED & TRANSFER CASE RATES | PER 100 WORKERS/200,000 HOURS PER YEAR
NATIONAL INDUSTRY AVERAGE
Nucor 2011
12 | Nucor Sustainability Report 2011
dedicated safety coordinator or safety director.
These representatives meet twice a year to share
information and best practices, discuss new
trends and receive training.
SIRN is a program utilized by all Nucor
divisions to share information on incidents, best
practices and corrective actions. When an incident
occurs, a report is entered into the SIRN system.
This allows all of Nucor’s safety coordinators to
know what happened and to share insights as to
how it can be prevented in the future.
Additionally, we have developed a robust
peer-to-peer audit program under which every
production facility is regularly audited for
safety and environmental performance by peers
from other divisions. The days-long process
includes compliance, program and procedural
reviews, and provides a two-way opportunity
to share best practices and identify areas for
improvement. In addition, the audit measures
teammate internalization of our safety practices
and engages their feedback on the safety process.
Nucor Steel Auburn, Inc. teammates sign their names, demonstrating their commitment
to safety and The Nucor Way.
Health & Safety Performance | 13
ANNUAL HEALTH FAIR
PROMOTING THE LONG-TERM VALUE OF PREVENTION
An ounce of prevention is worth a ton of cure, as
far as we’re concerned. That’s why for decades we’ve
promoted an Annual Health Fair at our divisions
across North America. The fair promotes the health
and wellness of our teammates and their families.
22
NUCOR DIVISIONS
ORGANIZED THEIR OWN
HEALTH FAIRS IN 2011.
“We continually address safety for our teammates. Safety encompasses so much more than what you
do in the plant or at home. It also includes your health and wellness,” explains Joe Worman, Safety and
Health Coordinator at Vulcraft – Indiana.
Vulcraft – Indiana’s annual fair includes a complete blood chemistry and lipid profile, as well as
thyroid, prostate-specific antigen (PSA) and A1C (diabetes) tests. The fair also offers blood pressure
checks and height and weight measurements. The Vulcraft division complements the fair by bringing
in area vendors, such as physical therapists, dieticians, chiropractors, vision specialists and teammate
assistance program representatives, to name a few.
According to Worman, “We identify and address teammates and family members annually with
varying degrees of health risks before they develop into something more serious.”
Vulcraft – Indiana has put on the two day event for more than a decade, with approximately 70
percent of its teammates participating.
14| |Nucor
NucorSustainability
SustainabilityReport
Report2011
2011
14
THE NUCOR WAY
TEAMWORK
At Nucor, teamwork is much bigger than making
steel. It’s about continual improvement, looking
out for each other, and making Nucor a safer
place to work.
And so during down time in 2010, our
Nucor Steel Memphis, Inc. and Nucor Steel –
Arkansas divisions created a mill-to-mill safety
audit program, in addition to the regularly
scheduled safety audits. Twice per year, visiting
teammates audit each other’s mills. This
provides the opportunity for fresh eyes to notice
unobserved safety issues, as well as a third party’s
safety knowledge and experience.
The joint venture kept teammates on
reduced schedules working while providing
new safety insights – a “win-win” according to
Memphis Maintenance Manager Roger Young.
PERSONAL RESPONSIBILITY
Personal responsibility isn’t just a value at Nucor. It’s a way of life. That’s
why our commitment to safety is demonstrated in the way we live
and work – day in and day out, on shift and off, teammates and nonteammates. Because at the end of the day, safety and wellness mean we
can continue to provide for our families, invest in our community, and
take care of our customers.
Owning Safety
In 2011 our teammates at Nucor Steel – Hertford took personal
responsibility for safety to the next level and formed a volunteer safety
team to complement the existing safety leadership groups.
The volunteer safety team was instrumental in spearheading
numerous safety initiatives like Hazard Hunt, a children’s poster
contest, an on-site digital communication system and the Safe Days of
Summer campaign. The safety team also played a vital role in increasing
teammate involvement in the overall safety program.
Most importantly, Hertford had its highest safety performance
on record for 2011, showing just how far personal responsibility and
ownership can take the Nucor team.
Health & Safety Performance | 15
On the Road Again
In November 2011, Nucor Steel – Nebraska’s Quick Response Team (QRT) was credited with saving the life of a
truck driver at the mill.
During extreme winter conditions, the QRT was called when the driver – from Michigan – complained
of feeling ill and soon fell unconscious. Trained in cardiac arrest response, the QRT went into action with a
defibrillator and revived the driver.
Thanks to the team, the driver was safely transported to the hospital, where he was treated and later released.
NuYou
In 2005, we began the NuYou health and wellness program to help all Nucor teammates make better healthcare
decisions. As part of the program, we have tracked the percentage of teammates who are considered “at risk” in
certain health categories. In the three years we have tracked results, we have seen a decline in the percentage of
teammates at risk in every category.
SINCE WE STARTED
TRACKING RESULTS IN 2009,
THE NUYOU HEALTH AND
WELLNESS PROGRAM HAS
DEMONSTRATED DECLINES
IN TEAMMATES AT RISK IN
EVERY HEALTH CATEGORY
WE MEASURE.
16 | Nucor Sustainability Report 2011
RISING STARS
Nucor Divisions Earn Prestigious OSHA Status
In our industry, OSHA’s Voluntary Protection Program (VPP) and Safety & Health Achievement
Recognition Program (SHARP) are the gold standard for safety excellence. The programs recognize
companies that voluntarily go the extra mile to meet rigorous safety standards.
VPP certification involves a meticulous on-site evaluation of literally every aspect of day-to-day operations.
From general housekeeping to confined space management to procedures for locking down machines,
candidates must demonstrate that safety is built into every task of every job of every department. VPP Star
Status is OSHA’s highest level of voluntary achievement.
Since 2005, multiple Nucor divisions have pursued these
prestigious OSHA certifications. These efforts have been driven
largely by our teammates, with the full support of management.
For our teammates, it’s a way of taking safety to the next level
through Teamwork and Personal Responsibility.
Between 2010 and 2011, six more of our facilities received VPP
certification – a 46 percent increase over 2009. This same period
saw eight facilities recognized in the SHARP program, up from just
two in 2009. All totaled, the VPP program has recognized 19 Nucor
facilities and the SHARP program has recognized 10.
“
SAFETY ON
THE RISE
2010 - 2011 saw an
almost 50% increase
in the total number
of VPP certified
Nucor facilities.
Nucor’s commitment to safety as their top priority is clearly recognized by the steel industry.
Their successes in VPP, ANSI Z10, OSHA’s Fatality Prevention and safety awards, along with their continuous improvement in measured safety performance demonstrate the involvement of all Nucor employees in
safety. The industry is especially appreciative of Nucor’s leadership and engagement in outreach, both upstream and down, in the industry’s safety initiatives.
”
Thomas Danjczek
President, Steel Manufacturers Association
DIVISION SPOTLIGHT Nucor Steel Seattle, Inc. is ISO 9001/14001 and OSHA VPP certified, achievements not uncommon among
Nucor divisions. What sets Nucor Steel Seattle apart is that they achieved all of this in just 18 months.
Health & Safety Performance | 17
FOLLOWING UP ON A PROMISE
THE PRESIDENT’S SAFETY AWARD
At Nucor, Safety First is more than just a motto. It’s a
promise we make daily to our fellow teammates, to ourselves
and to our families. To demonstrate our commitment, we
reward divisions for outstanding safety performance.
The Nucor President’s Safety Award was established in
1998 to recognize divisions with an exemplary safety record.
To receive this award, a facility must achieve accident and
injury levels that are 67 percent lower than the Bureau of
Labor Statistics’ (BLS) national average for the industry.
Though the bar is high, at least 70 percent of our company’s
divisions meet or exceed this benchmark on a regular basis.
When asked what drives the safety of his division, Jim
Landrum, recently retired General Manager of Vulcraft –
Texas, explains, “As a company, we’re committed to taking
care of our greatest asset – our people. But it’s a pride issue
for our teammates. We give them complete ownership and
they drive our safety achievements. They’re proud to say they
have a great safety record.” Jim should know. Vulcraft – Texas
has received the President’s Safety Award every year since it
was established – 14 years running.
In 2010, 35 Nucor divisions received the
President’s Safety Award, followed by 36
divisions in 2011.
To see a full list of the facilities that earned this
important recognition, go to www.nucor.com
18 | Nucor Sustainability Report 2011
Rewarding Nucor teammates for productivity has been a part of our culture since 1966.
| 19
EMPLOYEE REL ATIONS
IT’S OUR
“A lot of people say their most important resource
is their people. I say no, absolutely not. Your most
important resource is the right people. Through your
hiring and training, you attract the right people
to your organization.”
DANIEL R. DIMICCO
1982–PRESENT
20 | Nucor Sustainability Report 2011
Building the Right Team,
the Nucor Way
Attracting and keeping the right people is
something that requires our constant focus. It
begins before we recruit new teammates and
continues once they are employed with us.
The process starts by building a pipeline of
the right people who are talented and interested in
creating, innovating, making and building things.
This is more important than ever because Nucor
and other companies that rely on engineers are
facing serious challenges in finding the right people.
The U.S. manufacturing sector is expected to
grow over the next 15 years, increasing the demand
for employees with science, technology, engineering
and math (STEM) skills to fill high-paying jobs. At
the same time, retiring baby boomers are thinning
the engineering ranks and fewer students are
pursuing math and science careers.
“If something is not done to improve the
pipeline of smart, educated talent interested
in manufacturing careers, we’re going to have
a talent shortage,” says Dan Krug, Director of
Human Resources.
To combat these trends we are developing a
program to reach students in grades 5 – 12 with
the message of how important it is for them to
focus on STEM courses.
“We care a lot about getting the U.S. back on
top again in terms of producing engineers, and are
looking as a company at how many different ways
we can push this message forward,” says Krug.
Employee Relations | 21
2011 WAGES | PER YEAR
Finding the Right People
Tools to Thrive at Nucor
While we are working to stimulate students’
Once a teammate is at Nucor, we want to help
interest in math and science careers, we are also
them thrive and grow in their career. That helps
aggressively pursuing talented students already
them and the company to be successful. We do
interested in these fields. Nucor recruits at about
this through a program called NuPerformance,
30 universities across the U.S. However, the
a curriculum that provides our teammates with
quest for the right people goes beyond college
the resources they need to reach their personal
campuses. The military, returning veterans
and professional goals.
and technical colleges are becoming important
A key component of this curriculum is
sources for future teammates. Nucor also tries
the Personal Continuous Improvement (PCI)
to attract qualified individuals from competing
process. The PCI process helps teammates
companies and industries.
identify their strengths and weaknesses,
We sponsor and work with a network of
and holds them accountable for continually
professional organizations to identify top talent,
improving. Core to the NuPerformance
including the National Society of Black Engineers,
curriculum and the PCI process is The Nucor
the Society of Women
Way, ten principles that
AT NUCOR, THERE IS NO
Engineers, the Women
form the foundation of
Engineering Proactive
our culture.
TEMPLATE CAREER PATH. HARD
Network, the Association
At Nucor, there
WORK AND PERFORMANCE ARE
of Women in the Metal
is no template career
Industries and the
path. Each teammate
THE KEYS TO ADVANCEMENT,
National Association of
is responsible for their
NOT ENTITLEMENT.
Multicultural Engineering
career progression. Hard
Program Advocates.
work and performance
Nucor donates approximately $100,000 to these
are the keys to advancement, not entitlement.
important organizations each year.
22 | Nucor Sustainability Report 2011
HANDS-ON EXPERIENCE
The Nucor Education and Research Center (NERC) on the campus of Tuskegee University
in Alabama is one way we are recruiting top students interested in STEM careers. Opened
in the fall of 2009, the Center seeks to give students the opportunity to work on real
engineering problems and exposes them to careers in the steel industry.
“We emphasize that if you are going to come here and work with us at the NERC, you are going to work on
a real project important to the company. We are doing this work because we are interested in it and it has an
effect on our bottom line,” says Dr. Ron O’Malley, a metallurgist with Nucor Steel – Decatur, LLC who is
the company point person for the program.
Tuskegee, one of the top historically black universities in the United States, is a competitive place for
businesses to recruit students. Nucor vies with other industries, such as aerospace, to attract and recruit the
best students. Students working in the NERC are guaranteed stipends and internships with Nucor, which
often leads to them being hired on full-time after graduation. Raising the awareness on campus about Nucor
and its job opportunities, as well as attracting top students, are important goals we hope to achieve through
our support for this program.
“Tuskegee is one of the most outstanding universities in the country, with a long history of excellence. We
want to attract their best students. Through the NERC program, we have seen a tremendous upsurge in
student interest in Nucor, as well as interest from other academic departments,” says O’Malley.
WE BRING TO THE TABLE
PRACTICAL EXPOSURE
TO
REAL EMPLOYMENT
IN MANUFACTURING.
The Center has a lab area, meeting facilities, computers,
microscopes for metallographic work, facilities for
mechanical testing and a small furnace for heat treating
studies. Three groups of undergraduates have gone
through the NERC program.
“It has definitely helped our visibility in Tuskegee. We
are very well recognized on campus and we are getting
good people into the NERC program,” says O’Malley.
EMPLOYEE RETENTION | PER YEAR
Employee Relations | 23
REWARDING SUSTAINABLE
PERFORMANCE
t Nucor, we put much of the decision making power for operating our steel mills
in the hands of our frontline teammates. This is why we have one of the leanest
management systems of any Fortune 500 company. We also reward teammates for
the responsibility they are given.
We do this through an incentive pay system
that ties pay directly to the amount of quality
steel produced each day. Production and
hourly teammates are compensated for making
decisions that help improve our efficiency and
safely deliver high-quality steel tons. For our
administrative professionals and management,
pay is directly tied to overall company
performance. This means teammates earn more
when our mills are running at capacity and
producing high-quality steel products that are
on-spec. It also means that in difficult economic
times, our Nucor team shares the pain – all the
way from the front line to the CEO.
“PAY FOR PERFORMANCE
IS AN INTEGRAL PART OF
THE NUCOR CULTURE.”
In an interview with the financial services
website Motley Fool, Nucor Chairman and CEO
Dan DiMicco said of the company’s compensation
system: “Pay for performance is an integral part of
the Nucor culture. To us, pay for performance is
simply common sense and good business practice.”
The Great Recession, which began at the end
of 2007 and continues to negatively impact our
economy today, was one of those times when
our organization experienced pain sharing.
While the worst is behind us, the economic
environment continues to be challenging.
Because compensation was significantly affected
for everyone during the worst of the economic
crisis, we helped teammates through this difficult
period by allowing hardship withdrawals from
the profit sharing plan. We also offered a
financial planning course to help people through
the tough financial times.
A guiding philosophy at Nucor is to plan for
the bad times during the good times and plan for
the good times during the bad times. We believe
this philosophy can benefit Nucor teammates in
their personal lives as well.
Total compensation at Nucor includes
teammates’ hourly rate or base pay,
incentive bonuses, profit sharing and 401(k)
matching funds.
Bonuses/Incentives – A bonus is
paid weekly for production teammates. A
bonus for administrative professionals and
management is paid semiannually based on a
return on assets. Additionally, all teammates
receive a bonus based on overall performance
of the company. Historically, teammates have
been paid an extraordinary bonus in a year in
which Nucor achieves record earnings.
Profit Sharing – Nucor has traditionally
set aside 10 percent of earnings before taxes
and gives this amount to teammates in the
form of profit sharing. Teammates receive
a small portion of their profit sharing in
cash and the remainder is placed into a
retirement account.
401(k) Match – Nucor’s 401(k) match is
based on profitability.
24| |Nucor
NucorSustainability
SustainabilityReport
Report2011
2011
24
THE NUCOR WAY
OPEN COMMUNICATIONS
Once we have found the right people, we want to keep them. An important part of achieving that goal is
knowing what they think and how they feel about working at Nucor. Every three years since 1986, Nucor
has asked teammates to fill out a comprehensive survey that provides feedback on management in their
department and division, the teammates’ working environment and their feeling about the direction of the
company. It is an important tool that we use to continually improve our company.
The latest survey was administered in 2011 and received a 94 percent response rate, which was a new
record for the company.
NUCOR TEAMMATES REMAIN VERY SATISFIED.
Employee Relations | 25
INVESTING IN THE FUTURE
The Nucor Foundation Scholarship Program
Investing in our teammates so they can grow and reach their personal and professional goals is vital if we
want to keep the right people and prosper as a company. But our definition of teammates extends beyond
the walls of our steel mills. It also includes our teammates’ families.
Created in 1974, the Nucor Foundation Scholarship Program provides financial support for the
post-secondary education of our teammates’ children. The program was created by Nucor’s founder, Ken
Iverson, to support our teammates’ families.
The Nucor Foundation Scholarship Program provides a $3,000 per year scholarship or educational
disbursement for every child of every teammate for four years of post-secondary education. In 2011, the Nucor
Foundation Scholarship Program provided nearly $4.6 million in scholarships to more than 2,000 students.
Since its inception in 1974, the Foundation has given more than $61 million to more than 13,250 students
at nearly 1,600 different colleges.
Nucor teammate Steve Slesinski hugs his two boys after returning home from work at Nucor
Steel – Berkeley. His children, like those of every Nucor teammate, will be eligible for a
scholarship for post-secondary education.
26 | Nucor Sustainability Report 2011
Encouraging Students
to Create, Innovate, Make and Build Things
ver the last decade, America lost millions of manufacturing jobs. But something
else has been lost too: young people’s interest in careers in manufacturing.
Nucor is determined to change that.
“I don’t think kids think of manufacturing as a career. There are all kinds of wonderful opportunities in
manufacturing and there are going to be more in the future,” says Dan Krug, Director of Human Resources.
In 2011, Nucor began an effort to promote manufacturing careers by holding the Strength of Steel
Challenge. This competition invited middle and high school students from eight states where Nucor has
facilities to work in teams to create a weight-bearing structure out of recycled steel.
The goal of the competition was to expose students interested in math and science to the opportunities and
benefits of working in manufacturing, especially steel manufacturing.
Eight semifinalist teams were flown to Nucor’s headquarters where they presented their inventions to a
panel of Nucor executives. They also talked with them about the importance of being a nation that creates,
innovates, makes and builds things.
The winning team – Jared Knobbe, 17, and Steven Fish,
18, from Imperial, Nebraska – received the $3,000 Nucor
Future Engineers Champion Award. Their teacher, Kim
Wilson from Chase County School, was awarded $250.
While the Strength of Steel contest was a success, it served
to launch a broader educational effort, currently being
developed. The goal is to reach thousands of students and
tell them about the cutting-edge technology Nucor and
other manufacturers use, how science and math applies to
that technology and what that means to their communities.
“There is a lot of value when Nucor builds a mill, or another
manufacturer builds a facility in a community. We want to
share the story of how manufacturing can positively impact
the prosperity of American communities and the people who
live and work in them,” says Krug.
Nucor Chairman and CEO Dan
DiMicco and President and COO
John Ferriola present Jared Knobbe
and Steven Fish the Nucor Future
Engineers Champion Award for
winning the Strength of Steel
Challenge.
Employee Relations | 27
28 | Nucor Sustainability Report 2011
Cattle graze on land adjacent to the Nucor-Yamato facility in Blytheville, Arkansas. We know that our neighbors depend on us to take care of the environment. | 29
ENVIRONMENTAL PERFORMANCE
IT’S OUR
“If you see something that needs to be fixed, you
fix it. You don’t need to get approval from three
supervisors because your supervisors know you have
integrity, and they trust that you’ll do the right thing.
That’s a huge competitive advantage for us.”
DANIEL R. DIMICCO
1982–PRESENT
30 | Nucor Sustainability Report 2011
REAL ENVIRONMENTAL
PERFORMANCE
Mini-mill steel production – manufacturing steel from recycled scrap – consumes fewer materials
and less energy than traditional integrated steel mills. Today, thanks to our growth and other
companies that have followed in our footsteps, steel is the most recycled material in the world. But
when it comes to true environmental performance, walking the walk is a lot more complicated
than conserving tons of raw materials and countless kilowatt hours of energy.
In 2009, we embarked on a complete cradle-to-cradle life cycle assessment of our bar, beam, plate and sheet
steel production processes. The assessment measured the environmental impact of our production, the usage
of our products, and the process at the end of their useful life. It also looked at transporting our products
and raw materials. For example, scrap metal going to a Nucor bar mill travels an average of 80 miles by truck
or 304 miles by river barge. And one gallon of diesel fuel will transport a ton of Nucor steel 303 miles.
Examining the full life cycle of our products demonstrates our products have significant environmental
advantages over products from other manufacturers. But anyone who knows our company knows that’s not
enough to satisfy us. Continual improvement drives our environmental performance just as it drives everything
else we do. We continue to invest millions of dollars in capital expenditures for environmental projects.
When it comes to the environment, we don’t just talk a good game. Through the efforts of every teammate,
we will continue to improve our performance year after year.
IN 2009 WE EMBARKED ON A COMPLETE CRADLE-TO-CRADLE LIFE CYCLE
ASSESSMENT OF OUR BAR, BEAM, PLATE AND SHEET STEEL PRODUCTION PROCESSES.
Environmental Performance | 31
Committed to
ENVIRONMENTAL RESPONSIBILITY
Nucor’s long-standing commitment to the environment
is defined by our corporate environmental policies.
Because Nucor encourages our teammates to take
ownership of the entire process of making steel, we also
expect them to take responsibility for our environmental
stewardship. Each facility has adapted our core corporate
environmental principles and created location- or
division-specific policies to ensure environmental
responsibility is embraced throughout Nucor.
Environmental compliance is the responsibility of
each and every teammate, from manager to the frontline.
Nucor Corporation
Environmental Policy
As the largest recycling company in the Western
Hemisphere, Nucor recognizes our role in protecting
the environment.
We value the environment of the communities
in which we operate and recognize its importance
to our teammates, their families and our continued
welfare. Protecting the environment is critical to our
operations and the company’s long-term success. To this
end, we endorse these principles to demonstrate our
commitment to the environment.
OUR PRINCIPLES
Standards
Nucor Corporation and its divisions will comply with
the laws and regulations governing their operations.
Environmental compliance is a priority for Nucor
management equal with all other business functions.
Responsibility
Environmental protection is the individual obligation
of each Nucor teammate and a primary responsibility of
management. Nucor also requires contractors, vendors and
suppliers to comply with applicable environmental laws.
Stewardship
Nucor recognizes its potential for environmental
impact upon the communities in which it operates.
We will continually strive to minimize these impacts
by evaluating our operations and researching new
technologies and opportunities.
Performance
To continually improve the effectiveness of our
Environmental Management System, Nucor will:
• Pursue pollution prevention and waste
minimization opportunities
• Investigate and develop technologies and operations
that improve environmental performance
• Regularly evaluate the Environmental Management
System and make appropriate improvements
Outreach
Nucor will strive to foster open dialogue so that we
may effectively communicate with our teammates, our
neighbors and other concerned parties.
Learn More At:
www.nucor.com/responsibility/environment/ems
32 | Nucor Sustainability Report 2011
THE PRESIDENT’S
ENVIRONMENTAL AWARD
Nucor’s environmental performance is a priority at the executive level, as it is
core to both our mission and sustainability. From the board room to the melt
shop, we are dedicated to environmental stewardship. As Nucor President and
Chief Operating Officer John Ferriola demonstrates, “Every time I visit a mill, I
visit the baghouse.”
The President’s Environmental Award recognizes facilities with superior
performance in a range of activities designed to preserve and conserve America’s
natural resources.
The award is given annually to Nucor divisions that achieve the highest levels of
environmental performance. It is based on factors that range from exceptional
compliance records to setting and achieving effective, realistic goals for
environmental conservation. Protecting our environment is important to us, our
teammates and the communities in which we work and live.
Nucor President and COO John Ferriola at the baghouse with
environmental teammates at Nucor Steel Marion, Inc. (top) and
Nucor Steel Texas (bottom).
2011 Recipients
American Buildings Company – Atlantic
American Buildings Company – Midwest
American Buildings Company – South
American Buildings Company – West
CBC Steel Buildings
Gulf States Manufacturers
Kirby Building Systems
Nucor Building Systems – Indiana
Nucor Building Systems – South Carolina
Nucor Building Systems – Texas
Nucor Building Systems – Utah
Nucor Cold Finish – Nebraska
Nucor Cold Finish – South Carolina
Nucor Cold Finish – Utah
Nucor Cold Finish – Wisconsin
Nucor Fastener – Indiana
Nucor Steel – Arkansas
Nucor Steel Auburn, Inc.
Nucor Steel – Berkeley
Nucor Steel Birmingham, Inc.
Nucor Steel Connecticut, Inc.
Nucor Steel – Decatur, LLC
Nucor Steel – Hertford
Nucor Steel – Indiana
Nucor Steel Jackson, Inc.
Nucor Steel Kankakee, Inc.
Nucor Steel Memphis, Inc.
Nucor Steel – Nebraska
Nucor Steel Seattle, Inc.
Nucor Steel – South Carolina
Nucor Steel – Texas
Nucor Steel Tuscaloosa, Inc.
Nucor-Yamato Steel Company
Verco Decking, Inc.
Vulcraft – Alabama
Vulcraft – Indiana
Vulcraft – Nebraska
Vulcraft of New York, Inc.
Vulcraft – South Carolina
Vulcraft – Texas
Vulcraft – Utah
ENVIRONMENTAL COMPLIANCE
DOES NOT COME EASY
Environmental Performance | 33
26436
26250
27081
28110
24636
27424
27702
27993
27423
28606
28976
21369
21428
21022
20632
27256
27810
27922
28629
28010
28632
26052
25203
27671
27686
27684
27695
27378
27214
21180
23061
29043
28467
24448
25717
28743
27084
28820
28381
28382
28174
Waste Sampling
Conference Call
Waste Sampling
Dust Inspection
Opacity Reader Recert
Deep Well
Dust Inspection
Dust Inspection
Environmetrics
WDEQ Well Report
EMS O/T Report
AERF Submission
TRI Report
Lime Permit/Reg.
Scale Calibrate
Tire Report
PEA and Enviro
Drum Depot Insp.
SPCC Inspection
NSPS Records
Monthly Emission
001 Sample
Baghouse Gauges
Dust Col Inspect
Baghouse Inpect
HAZ STORAGE INSP
Fan Amps Weekly
Air Records
Monthly Scrap
Title V Certif
Radiation CAL.
Emrg Equip Insp
PTP pump oilers
Res. Stormwater
Inspection
Spill Kit
Pressure Vessels
SWPPP
PEA Scorecard
Pressure Vessels
SPCC
27300
28534
27405
27430
27293
27154
26280
26282
19384
25716
27321
21336
20667
19229
18323
25921
21402
28611
28687
28495
21135
23724
31987
32051
31065
31138
31139
30223
30382
29748
28680
19301
24847
24848
24851
24852
27409
26306
29425
22745
29196
SWPPP Inspection
Collect Air Data
Update PEA Report
Inventory Spill Kits
Detention Pond
Collect Air Data
EMS O&T Check
PEA Scorecard
SARA 312 Report
EMS Nonconformance Check
New Hire Training Check
SARA 313 Report
Backflow Test
Submit Tier II Report
Submit annual DMR’s
Air Emissions Update
Submit SARA 313 Report
Haz Mat Reg
Paint Booth Insp
Emiss. Stmnt.
Air Emiss Stmnt.
ECHO Site Check
Slag Inspections
WW Samples
Monthly DMR
Monthly Bag Insp
Tank Inspections
Stormwater Sample
Slag Inspections
Spill Drums
Title V Semi-Annual
SARA Tier II
EMS O/T Review
EMS Mgt Review
Annual PM Test
Annual Stack Test
ODS Review
Air Exceedance
POTW Sampling
Annual VEO
Calib. Magnahelix
24972
24144
24487
24488
19086
19331
19332
19788
21255
21553
22059
22960
23435
23841
23842
23843
23844
23885
24184
24605
24688
25168
25169
25379
26039
26671
27868
28729
29663
29228
29713
29364
29135
30776
30738
30739
30791
31589
30840
30668
22440
Exploranium Cals
Stormwater Sample
Title V Semi-Ann
Title V Cert
Mag Meter Insp
Ann Manifest Rep
Tier II
CFC Update
Annual Air
Form R Report
Backflow Checks
Aspect Review
Sanitary Survey
Alarm Check
Annual Nitrate
SWPPP Review
Supplier Notif
Quarterly Air
Waste Determ.
Env. Checklist
ODS Review
Monthly Tour
Corp. Updates
Air Permit Report
CFC Update
Aspect Review
Waste Sampling
Environmetrics
Conference Call
Deep Well
Dust Inspection
2nd Containment
T-105 Drain Clean
Dust Inspection
Deep Well
Environmetrics
2nd Containment
Fan Amps Weekly
Air Records
Monthly Scrap
DHS Review
105 NUCOR ENVIRONMENTAL PROFESSIONALS
COMPLETED OVER 8,000 ENVIRONMENTAL
COMPLIANCE TASKS IN 2011
34 | Nucor Sustainability Report 2011
HELD TO A HIGHER STANDARD
“Nucor is committed to an effective environmental policy that helps us manage
and reduce our impact on our communities and the world,” says Steve Rowlan,
Director of Environmental Affairs.
That is why Nucor is proud that 46 of our facilities have achieved ISO 14001:2004 certification.
Achieving ISO 14001:2004 certification means that Nucor facilities have adopted an Environmental Management
System that enables teammates to take ownership of their mill’s environmental footprint.
This approach ensures the environmental policy becomes an integral part of our mission. The evaluation
and auditing process requires a comprehensive assessment of how each facility impacts the environment.
There are measurable objectives and targets in place, such as reducing the use of oil and grease, minimizing
electricity use and implementing site-wide recycling programs.
The Environmental Management System looks at the environmental performance of an entire facility
in a comprehensive way. Guided by this snapshot, our mills can seek to continually improve their
environmental performance.
Why An Environmental Management System?
• Helps ensure consistent, sustainable regulatory compliance
• Drives continual improvement in environmental performance through effective
Internal Audits and Corrective Action
• Enables the achievement of meaningful environmental objectives to reduce
emissions, conserve natural resources and effectively manage waste streams
• Provides the framework to maximize teammate participation and
involvement in the environment
Environmental Performance | 35
ISO 14001:2004 Certified Nucor Facilities
American Buildings Company – Atlantic
Nucor Steel – Hertford
American Buildings Company – Midwest
Nucor Steel – Indiana
(including Castrip®)
American Buildings Company – South
American Buildings Company – West
CBC Steel Buildings
Gulf States Manufacturers
Kirby Building Systems
Nucor Building Systems – Indiana
Nucor Building Systems – South Carolina
Nucor Building Systems – Texas
Nucor Building Systems Utah LLC
Nucor Castrip Arkansas, LLC
Nucor Cold Finish – Nebraska
Nucor Cold Finish – South Carolina
Nucor Cold Finish – Utah
Nucor Cold Finish – Wisconsin
Nucor Fastener – Indiana
Nucor LMP Steel, Inc.
Nucor Steel – Arkansas
Nucor Steel Auburn, Inc.
Nucor Steel – Berkeley
Nucor Steel Birmingham, Inc.
Nucor Steel Connecticut, Inc.
Nucor Steel – Decatur, LLC
Nucor Steel Jackson, Inc.
Nucor Steel Kankakee, Inc.
Nucor Steel Marion, Inc.
Nucor Steel Memphis, Inc.
Nucor Steel – Nebraska
Nucor Steel Seattle, Inc.
Nucor Steel – South Carolina
Nucor Steel – Texas
Nucor Steel Tuscaloosa, Inc.
Nucor Steel – Utah
Nucor-Yamato Steel Company
Nu-Iron Unlimited
Verco Decking, Inc.
Vulcraft – Alabama
Vulcraft – Indiana
Vulcraft – Nebraska
Vulcraft of New York, Inc.
Vulcraft – South Carolina
Vulcraft – Texas
Vulcraft – Utah
36| |Nucor
NucorSustainability
SustainabilityReport
Report2011
2011
36
TOTAL MATERIAL CHARGED
PERCENT OF EAF DUST RECYCLED
VERSUS LANDFILLED
SCRAP
19.7
17.8
59% 87% 92%
2007
2009
MILLIONS TONS
IRON
3.48
3.72
2011
2011
2010
NUCOR’S EAF METHOD
TYPICALLY ALLOWS FOR
>89.5%
RECYCLED STEEL CONTENT
THE BOF METHOD TYPICALLY ALLOWS FOR LESS THAN 30% PERCENT
(TRADITIONAL DOMESTICALLY PRODUCED)
2011 GREENHOUSE GAS (GHG) LIFE CYCLE ASSESSMENT SUMMARY *
BY PRODUCT GROUP
G
IN
RM)
N ST
T
T
A
S
S
O
ST
A
A
W P
TI A
AL (GW N CA
NC
NC
UC ON C
B
E
O
O
D
E T
O L O
IF /T
O /T
AL
AS EQ/
GL NTIA EQ/T
ET
PR EQ
F L EQ
H
L
L
M
O
P
2
2
2
T NS
D CO
E CO
TA TE O 2
EE CO
TO PO LB C
HO TO
ST LB
US LB
EN LB
P
GW
L
TA NS
TO TO
P/
GWCAST
S
N N
TO TO
BAR
1,326.9
38.6
153.8
1,519.3
6,256,594
4,751,971
0.76
BEAM/PLATE
1,783.6
11.1
172.8
1,967.5
5,673,070
5,559,608
0.98
SHEET
1,794.3
11.1
217.1
2,022.5
8,680,005
8,766,805
1.01
SUMMARY
TOTAL HOT METAL TONS–NUCOR MILLS
20,609,669
TOTAL GWP TONS–NUCOR MILLS
19,078,386
* CALCULATIONS BASED ON 2007 STUDY
Environmental Performance | 37
ENVIRONMENTAL PERFORMANCE
AT A GLANCE
100%
$51.5
PROCESS WATER RECYCLED MULTIPLE TIMES
(NUCOR DOES NOT HAVE ONCE-THROUGH COOLING SYSTEMS)
7.1
MILLION
AMOUNT NUCOR APPROVED FOR CAPITAL EXPENDITURE
REQUESTS FOR ENVIRONMENTAL PROJECTS IN 2011
BILLION
GALLONS OF WATER WITHDRAWN
BY NUCOR STEEL MILLS
(DOES NOT INCLUDE RAIN WATER)
ENERGY CONSUMPTION
MBTU PER TON
CRITERIA POLLUTANTS
4.74 4.05
PARTICULATE
MATTER
RECYCLING
MINI-MILL
BLAST
FURNACE
2009
2011
NUCOR ENERGY INTENSITY
SULFUR
OXIDES
NITROGEN
OXIDES
LBS PER TON
VOLATILE
CARBON
ORGANIC
MONOXIDE COMPOUNDS
0.3 0.7 0.1
4.0
39.8 5.0 0.5
44.0 1.4
NUCOR
0.4
NATIONAL INDUSTRY AVERAGE
38 | Nucor Sustainability Report 2011
GREENHOUSE GAS EMISSIONS:
LEADING AN INDUSTRY-WIDE REDUCTION
Ever since Nucor pioneered the mini-mill in the United States, we’ve been working to run our facilities more
efficiently. These mini-mills rely on Electric Arc Furnaces (EAFs), which use giant electrodes to melt scrap steel.
With the EAF, we can produce steel with more than 70 percent recycled content. This means we consume less energy
and produce less waste than in a traditional basic oxygen furnace.
The rest of the American steel industry has followed our lead. Now over 60 percent of American steel
is produced in mini-mills with EAFs, and according to the Steel Recycling Institute, 50 percent of steel
produced in the past 50 years has been recycled. America’s steel industry has reduced its energy intensity by
27 percent since 1990. As a result, our industry has far exceeded the targets set out in the Kyoto Protocol for
reduction of greenhouse gas emissions.
The domestic steel industry now has the lowest energy consumption and lowest carbon dioxide
emissions per ton of steel produced of any steel-producing country in the world.
Environmental Performance | 39
Castrip®
MAKING STEEL WITH LESS ENERGY
In Blytheville, Arkansas sits what can be considered the world’s most advanced process for the production of
sheet steel. It is Nucor’s second environmentally friendly Castrip® micro-mill. Nucor incorporated all of the
advancements developed at the world’s first commercial strip casting facility in Crawfordsville, Indiana into
the new higher-productivity line in Arkansas.
Producing what we call Ultra-thin Cast Strip (UCS), the Castrip process nearly instantly transforms
molten steel into strip. Essentially, molten steel enters a pair of casting rolls at one end of the line and steel
sheet, at cold rolled gauges, is coiled up less than 50 meters away. Exiting the casting rolls is a continuous
steel strip as thin as 1.4 mm that is rolled in a single mill stand to thicknesses as low as an incredible 0.7 mm.
The two Castrip plants are allowing Nucor
Steel to improve its position as the nation’s
CASTRIP HIGHLIGHTS
largest recycler. The rapid solidification in the
Castrip caster allows a much greater content
of recycled materials to be used. Last year
Castrip coils contained an average of 94 percent
• 500,000 ton annual capacity
recycled content while all other sheet products
• 75% reduction in greenhouse gas emissions
were at a still impressive average of 72 percent.
As you might imagine, this single-step
• Rapid solidification (<1 sec)
process dramatically reduces the time, space,
• Creates new product category – UCS
energy and manpower to produce a steel coil.
The area required under roof for Castrip is
• Can replace cold rolled sheet, especially for
approximately 25 percent of the area for a thin
non-exposed or coated parts
slab caster and, from an energy standpoint, the
savings are even greater. The Castrip micro• Multiple strength levels can be produced from
mill consumes 85 percent less energy than a
a single chemistry via cooling table conditions
conventional mill with a 75 percent reduction
• Initial markets include:
in greenhouse gas emissions.
This breakthrough technology continues to
• Construction
develop at Nucor’s two facilities, and the steel
grades that can be produced using Castrip continue
• Metal Buildings
to expand. High-strength low-alloy, high carbon
• Tubing
and weathering steels are now part of Castrip’s
product offerings. Just this year, both facilities
• Roll Formed Applications
increased their width capability, resulting in higher
productivity and even greater energy efficiency.
40 | Nucor Sustainability Report 2011
WE Know WE CAN
One reliable way of transporting massive loads of material around our mills is by rail. Many of our facilities
use the powerful diesel engines of a locomotive to transport rail cars full of scrap metal from scrap yards to
the melt shops. These diesel engines may run for long periods of time and are always ready to haul a huge
load across the mill, whenever it’s needed. Because starting a locomotive engine up from a cold start is a
difficult process, the locomotives have traditionally been left idling, even while not under a load.
Our innovative teammates determined we could cut back on emissions, energy and diesel fuel consumption
by reducing the idle time of the locomotives while keeping them warm and ready to go. Already, four Nucor
facilities have installed SmartStart® systems from ZTR Control Systems on their locomotives. These systems
reduce idle time by automatically shutting off and starting up the engine.
SmartStart® works by shutting off the engines after ten
minutes of idle time and automatically restarts the engine
if its temperature drops below 125 degrees Fahrenheit,
the air pressure drops, the ambient temperature drops, or
if the battery voltage gets low. This is necessary because
most engine wear occurs between the time the engine
starts and the time it warms up. By keeping the engine oil
just warm enough to prevent cold starts, we can extend
the life of our locomotive engines while reducing their
environmental footprint from unnecessary idling.
A total of 13 locomotives have the SmartStart® kits installed
since the program began in 2008: four at Nucor Steel – Decatur, LLC; three at Nucor Steel – Berkeley; two
at Nucor Steel – South Carolina; and four at Nucor-Yamato Steel Company.
These four mills have saved over 390,000 gallons of diesel that would have been used for idling locomotives.
This not only reduces fuel consumption, but leads to a significant reduction in the associated emissions. It’s
just one more way we’re looking to reduce our environmental footprint.
Nucor prides itself on having a can-do attitude, a mindset that has fueled our innovative culture.
Nucor Chairman and CEO Dan DiMicco often refers to the wisdom of Yoda:
“Try not. Do or don’t do. There is no try.”
Environmental Performance | 41
A Partnership To Detect Radiation
You might not think that radiation is something a
steel recycler would need to worry about. But in the
scrap Nucor recycles, radiation can show up in many
forms, including naturally occurring radiation from
underground pipes, radium dials or actual nuclear
sources used in measurement or level detection. If
contaminated scrap is melted, it not only becomes a
potential safety concern for our teammates, but also
could lead to an expensive and time-consuming
cleanup of the facility.
Therefore, radiation detection is a big
concern for all steel manufacturers,
including Nucor, who recycle scrap as
a major part of their raw materials.
“We are constantly working
with our suppliers to ensure
they have an effective
program, but the buck
stops with Nucor,”
explains Ray Smith,
Environmental Manager
for Nucor Steel Kankakee, Inc.
“The challenge is to
correctly identify the presence of
a shielded source in the middle of 23
tons of scrap metal,” says Smith. Quickly
finding and correctly handling radiation in
a load of scrap is important both to the safety
of Nucor’s teammates, and to the efficiency of the
production process.
To this end, since 2010 we have been working closely
with our partner, Nucsafe Inc., to provide radiation
detection systems and monitoring services at all of our
steel mills across the United States. Nucsafe designs and
manufactures highly sensitive radiation measurement
systems for nuclear safeguards, homeland security and
the steel and scrap industries. Nucsafe systems are
manufactured in the United States in accordance
with ISO 9001:2008, and Nucsafe’s manufacturing
facility holds both ISO 14000 and OHSAS 18001
registrations.
The key to Nucor’s partnership with Nucsafe is
that both companies recognize the value of continuous
improvement. Smith offers praise for Nucsafe:
“They’re a very innovative company, and they’re up
for the challenge to meet our future needs. So they’re
continually improving the system and offering other
services to further assist our needs.”
The system that has emerged from the
Nucor-Nucsafe relationship is state-of-theart, and is one of the most – if not the
most – sophisticated in the world.
Prior systems just sounded
an alarm if any radiation was
present. Nucsafe worked
hand-in-hand with Nucor
to develop a sophisticated
detection system that can
identify the levels at which
specific isotopes are present, so
our teammates can address each
problem safely and efficiently.
In addition, the system utilizes modern
communication technologies to notify
environmental managers by email and mobile
device if an alarm has been triggered. This enables
Nucor teammates to quickly assess and respond to any
potential issue. And with all the data for each facility
electronically recorded, managers can review historical
patterns to identify regional trends or the existence of
background radiation.
Together, Nucor and Nucsafe have set a high bar for
protecting our teammates and our environment from
contaminated scrap. And we continue to search for new
ways to identify and safely handle radiation in all stages
of production.
42 | Nucor Sustainability Report 2011
Continuous Improvement:
Refining Slag Products
Slag being poured into a bucket for
processing at Nucor-Yamato Steel Company.
Nucor has taken a leading role in promoting the
development of a new generation of slag products.
Slag is created as a layer of insulation on top of the
steel bath to capture and utilize the heat and chemical
energy that are generated as part of the process of
recycling scrap steel. This slag layer not only lowers
energy costs per ton and reduces carbon dioxide
emissions, but also removes the impurities in the
molten steel. After the slag is skimmed off the top of
the bath, it is cooled and sent to a processor where it
is put through a rock crusher and sorted according to
size. Not only does crushed slag look a lot like crushed
limestone, it possesses many of the same physical and
chemical properties as limestone.
Once harvested from the steelmaking process,
slag is commonly used as an aggregate in construction
projects. A frequent use of slag is as an aggregate in
asphalt or as a subbase for roads. Slag increases the
skid resistance of the road during its lifetime, making
it a popular choice for intersections, curves and other
areas where traction is important. But slag is also an
environmentally responsible choice. For every ton of
aggregate used in this way, it’s one less ton of gravel that
must be dug out of quarries. In addition, slag increases
the durability of the asphalt, decreasing the frequency
of replacement needed.
Slag has also been shown to be very effective at
filtering phosphorous from agricultural, urban and
industrial stormwater run off. This helps address one of
the most pressing water quality issues worldwide.
Nucor has been working closely with the National
Slag Association to develop specifications for various
types and grades of slag products. By setting these
standards, Nucor wants to create a more refined
product for end users while helping to educate the
marketplace about the environmental benefits of
utilizing slag products.
Environmental Performance | 43
BETTER STEEL
CLEANER WATER
In the water-intensive steel manufacturing process,
water is used to cool both the steel product and the
steel making equipment. To avoid discharging any
of the process water into the environment, and to
meet strict environmental regulations, every Nucor
mill has its own treatment plant.
For example, to keep up with the mill’s
demands, Nucor Steel – South Carolina must
collect, cool, treat and recycle approximately 35,000
gallons of water every minute. In one day, the
treatment plant saves enough water to take care of
the needs of a city of 500,000 people. We work hard
to maintain safe, clean water in our communities.
But our facilities are always looking for ways
to take it a step further and reduce their water
consumption. One success story is due to the
efforts of Nucor Steel Kankakee, Inc. The mill
worked with Nalco Company to improve the
efficiency of the facility’s water recycling process.
Kankakee recycles blow-down water from
four non-contact cooling water systems. These
systems rely on evaporation for cooling. The
leftover water, known as blow-down water, has a
higher concentration of minerals in it and must
be removed from these systems. To recycle this
water, Nucor drains the blow-down water to the
main process water system, which supplies cooling
water for the continuous caster and rolling mill.
Kankakee and Nalco developed a system
to maximize the effectiveness of the recycling
effort. The resulting program reduced fresh water
usage by 60 million gallons a year. And water
consumption per ton of steel was reduced by
almost 30 percent.
We will continue to seek ways to consume
less water and minimize our impact on the water
we do use. Nucor is committed to conserving
this vital resource.
Nucor Steel – Texas employs a WEDA underwater cleaning robot to maintain its water reservoirs.
44| |Nucor
NucorSustainability
SustainabilityReport
Report2011
2011
44
THE NUCOR WAY
Profiles In
ENVIRONMENTAL INTEGRITY
NUCOR STEEL SEATTLE
When it was time to build a new teammate
locker room and yard office, our Seattle
mill decided to highlight environmental
performance. As part of the project, the bar
mill installed solar panels on the roof of the
new building.
Completed in February 2010, the project
features two kinds of solar panels. The first
type generates pure electricity to help offset
the electrical demand for the building. The
second type is part of a tankless hot water
system (already a more efficient way to heat
water) that uses even less energy because the
water is preheated by the solar panels.
The heating, ventilation and air
conditioning system is also energy efficient
by using the exhaust gas to preheat the
incoming air to the system. “With the rising
cost of energy we spend considerable time
concentrating on energy efficiency initiatives.
As a result we lower our production costs
while also conserving natural resources,”
says Matt Lyons, Vice President and General
Manager of Nucor Steel Seattle, Inc.
This is just one of the ways Nucor Steel
Seattle works hard to adapt to its uniquely
urban environment. From utilizing solar and
hydro-electric power to adhering to the local
zero visible emissions standard, Nucor Steel
Seattle has made a commitment to being a
good neighbor.
VULCRAFT – TEXAS
As part of its production process, Vulcraft – Texas
previously used a paint that contained solvents
which would evaporate into the air as volatile
organic compounds (VOCs).
To reduce its VOCs footprint, Vulcraft –
Texas worked with its paint supplier, Century
Industrial Coatings in Jacksonville, Texas.
Together they formulated a paint to be reduced
using water instead of mineral spirits or
other paint thinners. Century’s Nulo™ paint
dramatically reduced the VOCs emissions – by
as much as 85 percent!
Century’s Nulo™ paint has been adopted by
all the other Vulcraft facilities and throughout the
American joist industry.
For their efforts, the Texas Commission on
Environmental Quality awarded Vulcraft – Texas
and Century Industrial Coatings the Texas
Environmental Excellence Award for Technology
in 2012.
NUCOR STEEL – TEXAS
In September 2011, Nucor Steel –
Texas received the National Partnership
for Environmental Priorities (NPEP)
Achievement Award for Environmental
Priorities. The division was recognized for
reducing lead and mercury generation by
181 pounds of mercury and 997 pounds of
lead from 2009 to 2010.
NPEP is a partnership focused on reducing
the use of potentially hazardous chemicals
from products and processes. By forming
partnerships with the EPA, NPEP partners
representing industry, business, municipalities,
federal facilities and tribes are successfully
reducing the use and/or recycling of toxic
chemicals, including mercury and lead.
NUCOR STEEL – NEBRASKA
In 2010, our teammates at Nucor Steel –
Nebraska planted 1,200 trees along the northern
Environmental Performance | 45
border of Nucor’s industrial area. The teammates
worked with the local Natural Resources Division
forester to determine the most viable types of
bushes and shrubs and to finalize a planting plan.
Nucor’s goal was to provide a barrier for dust
control and snow, a wind break, and a visibility
and sound barrier for our neighbors. In addition,
the trees will provide a habitat for wildlife and
resource conservation of land natural resources.
GENERAL RECYCLING,
NUCOR STEEL JACKSON
General Recycling’s primary role is to supply
Nucor Steel Jackson, Inc. with prepared
scrap products for melting in its Electric Arc
Furnace. But the facility also recovers and
recycles other metals, such as aluminum,
copper, brass, and stainless steel.
In August 2011, General Recycling
completed its $3.5 million metal recovery
improvement project. The new equipment
allows General Recycling to capture and
recycle 35 percent more aluminum and
copper from the automobiles, washers,
dryers, lawnmowers and other consumer
products they purchase and recycle as scrap.
By improving the efficiency of this system,
General Recycling has not only increased
the productivity of its own operations, but
reduced the amount of scrap metal that
might go to waste.
NUCOR BUILDING SYSTEMS
Sims Sunset Park Materials Recovery Facility
is a state-of-the-art recycling facility being
built to service the needs of New York City. By
centralizing the location for off-site recycling of
metal, glass and plastic recyclables, the city will
minimize the amount of trucking and waste
trafficking by more than 260,000 miles a year.
Sims Metal Management (SMM) is the
long-term recycling partner of the New York
City Department of Sanitation. SMM reached
out to Nucor Building Systems (NBS) to
help create a state-of-the-art facility that also
incorporates a range of innovative sustainable
features and large-scale environmental elements
into the design and construction.
By utilizing NBS, SMM achieved its
goals of incorporating recycled steel and using
domestic products to reduce the environmental
footprint of the project. NBS was able to meet
the specialized design goals of the project, both
functional and cosmetic. Project lead Thomas
Outerbridge, General Manager, Sims Municipal
Recycling, explains: “This being New York City,
with a waterfront location in Brooklyn, and the
ever-growing public emphasis on sustainability,
it’s important to us that we create something all
New Yorkers can be proud of.”
NUCOR STEEL – HERTFORD
Nucor Steel – Hertford’s timber and
wetlands programs exemplify our
commitment to protecting and restoring
sensitive habitats around our facilities.
Teammates worked to create seven acres of
wetlands on site, in addition to 14.68 acres
of wetlands under protected covenant and
2.68 acres of littoral shelves surrounding
the mill’s storm water ponds. The mill’s
efforts to protect wetlands started in 1999
with the purchase of 150 acres of highquality riparian wetlands on the Chowan
River, which were donated to the state of
North Carolina’s Million Acre Initiative.
Like a number of other divisions, Nucor
Steel – Hertford has also worked to manage
and protect forest areas. The mill has an
approximately 300 acre on-site timber
project that is managed in collaboration
with the North Carolina Forestry Service.
46 | Nucor Sustainability Report 2011
Environmental Performance | 47
48 | Nucor Sustainability Report 2011
2011
SUSTAINAB ILIT Y
OVER VIE W
SCRAPPING
EXPECTATIONS
When the David J. Joseph Company (DJJ) joined the Nucor family in 2008, it was an easy fit. DJJ has been a
broker of ferrous scrap to Nucor since 1969. And both companies have strong corporate cultures with a focus on
continuous improvement. It is no surprise then that Nucor, the Western Hemisphere’s largest recycler, would team
up with DJJ, America’s oldest, most experienced scrap recycling company.
Since joining Nucor, DJJ’s more than 65 scrap recycling
facilities and 13 brokerage offices have continued to focus on
sustainability. To DJJ, it’s about recycling one of the world’s
most reusable materials while conserving our precious
natural resources in the process. Perhaps the best testament
to our sustainable business model is the simple fact that DJJ
has been around for over 125 years. That’s what happens
when you take care of people and the environment, and why
we say we are “scrapping expectations.”
Environmental Excellence
Across the Board
Our recycling facilities are among the most environmentally
advanced in the industry. In addition to routine
inspections for environmental performance, each facility
receives a detailed annual inspection that evaluates
all aspects of environmental performance to include
teammate training and community outreach. Over 90
percent of the facilities achieved a score that resulted in
environmental excellence during 2011.
DJJ has implemented an environmental management
system that extends to each of our operating facilities
and our trading network. All ten facilities of River
Metals Recycling, a wholly owned subsidiary of DJJ, are
ISO 14001:2004 certified. Trademark Metals Recycling,
also a wholly owned subsidiary, boasts the first shredder
facility in the country to be certified under the Recycling
Industry Operating Standard (RIOS) and is extending
this environmental and safety system to its other
shredder facilities.
David J. Joseph Company | 49
49
Controlling Storm Water
Controlling pollution from storm water discharges is DJJ’s
top priority and greatest challenge. Much of our industrial
activity occurs outdoors and many of our facilities are
located on small footprints in urban areas without room
for storm water ponds.
Our goal is to control common pollutants such as iron,
zinc, aluminum, hydrocarbons and solids in storm water
from recycling facilities. DJJ uses various best management
practices as part of our pollution prevention efforts to
maintain clean storm water.
For example, DJJ trains our scrap buyers and
inspectors on the important safety and environmental
issues associated with incoming scrap. We also train our
customers on the standards for delivering clean scrap metal
to DJJ plants.
In a perfect world, customers would deliver clean scrap
to our plants, but to account for the possibility of dirty
scrap, DJJ has invested in environmental infrastructure,
such as roofed turnings storage areas equipped with oil/
water separators and special drain racks for processing
automobiles. This allows us to process potentially polluting
scrap while minimizing any environmental impact.
At several major shredder facilities, DJJ has
engineered stormwater solutions to do what we do best
– recycle! At these facilities, we aren’t just recycling scrap
metal, we are recycling water. Lots of water.
Shredders can use as much as 30,000 gallons
of water per day for cooling and dust control.
DJJ’s environmental and engineering groups have
implemented systems that capture rainfall that is
collected and retained for use as a direct substitute for
city water in the shredding process.
Since our first installation, we have replaced and/or
eliminated the need for nearly 22 million gallons of city
water. Additional benefits include preventing thousands
of pounds of pollutants from entering the streams
and rivers near our plants and savings of hundreds of
thousands of dollars in water bills.
Removing Mercury Switches
DJJ’s recycling facilities and U-Pull-&-Pay stores have
long been a leader in efforts to remove mercury switches
from the environment. Through 2011, we have removed
and recycled more than 105,000 mercury switches
from whole automobiles that we purchased and worked
with our flattened car suppliers to recover hundreds of
thousands more.
U-Pull-&-Pay teammates – displaying the President’s Environmental Award – have helped remove
thousands of mercury switches from recycled cars.
50| |Nucor
NucorSustainability
SustainabilityReport
Report2011
2011
50
2011
LOWEST OVERALL ACCIDENT
RATES IN DJJ HISTORY
At DJJ, the primary goal of our safety process is to
offer a safe and healthful workplace, free of injuries and
illnesses for our teammates, customers and visitors. Our
safety process is guided by three principles:
Safety is recognized and promoted as a core
value throughout every level of the organization.
Safe operating practices will not be sacrificed
for the sake of production.
All teammates are responsible for, and take an
active part in, making their workplace safe.
DJJ’s safety process follows the Continuous
Improvement Principle: Improving workplace safety is
an ongoing process that never ends. Consistent with
this principle, our injury and illness rates have declined
steadily since we started tracking rates in 1979. Likewise,
our 2011 injury and illness rate was the lowest in our
company’s history and was less than half the industry
average. Are we satisfied? No. The only acceptable
number of injuries is zero. Speaking of zero, 40 of our
recycling facilities were injury-free in 2011.
Active teammate participation is vital to the success
of our safety process. Teammates are assigned to a
“functional team” (such as the nonferrous warehouse team
or the steelyard team) that meets weekly. Functional team
members recognize and spot hazards in their work areas,
then work cooperatively with plant managers to correct
the problems. This structure encourages teammates to
suggest creative safety solutions.
We expect our supervisors to be safety experts, so
they get additional training. Every new supervisor attends
our “Safety School,” a three-day program covering 25
topics, from basic safety instruction to how to present
effective safety meetings, to equip them to help run
our plants safely. Supervisors also attend two-day safety
conferences. Top management also attend the conferences
to underscore their support for the safety process.
A quantitative site inspection, called a “Safety
Scorecard,” is completed at facilities annually. This
inspection is unannounced and includes a complete review
of the administrative, physical and behavioral elements of
the safety process. Plants receive an official score and those
that do well are recognized for safety excellence.
We have implemented the KMI Software Suite
for environmental, safety, health and sustainability
management. Incident reporting, root cause analysis and
corrective actions are managed in a network database.
Automated e-mails distribute incident notifications and
summary reports throughout the company. This enables
real-time sharing of critical information.
Several DJJ Recycling Groups have earned awards
in 2011 recognizing their safety excellence from local
safety councils:
Five Advantage Metals Recycling facilities
received the 2011 Corporate Safety Award
from the Safety Council of the Ozarks.
Trademark Metals Recycling received the Gold
Safety Award from the Florida/United Safety
Council in the “medium” company category
in the state of Florida. This marks the sixth
time in seven years that TMR received this
Corporate Safety Achievement award.
Western Metals Recycling received the Award
of Merit from the Utah Safety Council for its
achievement in workplace safety performance
in five of the last six years.
We are proud of our safety accomplishments to date, but
are hard at work refining our process to better keep DJJ
teammates safe on the job.
David J. Joseph Company | 51
51
LEADing the Way
DJJ’s philosophy is to provide teammates with support for professional and personal development. This
philosophy and commitment led to the creation of DJJU – a compilation of programs and learning
opportunities offered through in-house seminars and outside programs.
LEADing the Way is one of the professional skill enhancement programs offered as part of the DJJU
curriculum. This program is designed to enhance supervisor’s effectiveness by further developing
communication, coaching and feedback skills.
52 | Nucor Sustainability Report 2011
Giving Back
For well over a century, the David J. Joseph Company culture and philosophy has revolved
around being good neighbors in and giving back to the communities in which we do business.
This tradition remains part of DJJ today.
Across the country, our teammates are passionately improving the communities in which we do business by
giving back.
· In March 2011, DJJ hosted Junior Achievement
Job Shadow Day by sponsoring 15 students from
Beechwood School in Fort Mitchell, Kentucky.
A variety of staff members spent time with the
students, discussing daily job responsibilities and
the inner working of the company.
and beyond the call of duty when it comes to our
community during National Night Out. From the
moonwalk, hot dogs, drinks, generators and the
manpower with picking up the trash, we couldn’t
ask for a better partner,” said a representative from
the Smith Addition Civic Club.
· In dozens of cities DJJ facilities donate
automobiles and space to local fire departments
for emergency response training. We hope this
effort will result in lives saved and safer roads.
· Teammates from DJJ’s Corporate
Headquarters volunteer with People Working
Cooperatively (PWC) to provide low income,
elderly, and disabled homeowners with a higher
quality of living through home repairs, mobility
modifications and maintenance services.
· In 2010 and 2011, Texas Port Recycling
teammates rolled up their sleeves to help
with National Night Out in Houston, an
event bringing together city and county law
enforcement officers to increase crime- and drugprevention awareness. “You all always go above
· When tornados hit the city of Joplin, Missouri
in May 2011, many of the Advantage Metals
Recycling teammates asked how they could
help those who were affected by the tornado.
The AMR staff quickly introduced teammates
to a variety of organizations that helped them
continued
David J. Joseph Company | 53
53
make contributions, volunteer and give blood.
For instance, teammates worked with the Linn
Creek Police Department to provide refurbished
bicycles to those in need. Bikes that were beyond
repair were either used for other bikes or crushed
by AMR. The bicycle scrap metal was then sold
and the money used to purchase new bikes for
Joplin residents in need.
· DJJ is proud to be involved in a project
to commemorate those lost in the attacks of
September 11, 2001. Artist Bernar Venet was
commissioned to create metal sculptures using
steel from the fallen World Trade Center for the
Cantor Fitzgerald Relief Fund, which was started
by Cantor Fitzgerald, the financial services
firm that lost 658 employees in the attack.
DJJ’s Brokerage Staff arranged the logistics of
delivering World Trade Center scrap to Nucor
Steel Tuscaloosa, Inc., where the steel was
recycled, rolled into plate, and sent to France for
the artist to create his sculpture (pictured left).
· DJJ continues to be available to the community
for tours and educational opportunities. In June
2011, dozens of National Energy Education
Development Program administrators and
teachers toured River Metals Recycling’s Newport,
Kentucky facility to learn about the energy savings
that are achieved through scrap metal recycling.
· The Denver International Auto Show is one
of the most comprehensive automotive sector
trade events in America. In 2011, for the fourth
consecutive year, Western Metals Recycling
(WMR), in conjunction with the Clear the Air
Foundation, presented an automotive recycling
exhibit. WMR contributed a multifaceted
interactive display to educate attendees about
recycling. The Foundation invited area dealers
to demonstrate their civic pride by donating old
gas-guzzling smog-mobiles (called gross emitters)
for shredding and sale to recyclers. Money raised
by the efforts support scholarships for students
pursuing automotive or related technology
courses of study.
54 | Nucor Sustainability Report 2011
The Mike O’Callaghan–Pat Tillman Memorial Bridge crosses the Colorado River near the Hoover
Dam. Concrete for the bridge is reinforced with rebar fabricated by Harris Arizona Rebar, Inc.
HARRIS STEEL
BRIDGING THE GAP TO SUSTAINABILITY: 2011 OVERVIEW
Harris Steel Group is a wholly owned subsidiary of Nucor Corporation, acquired in 2007. We process,
fabricate and distribute steel throughout the U.S. and Canada through our many subsidiaries, including
Harris Rebar, Harris Supply Solutions, Laurel Steel and Fisher & Ludlow. Our products include concrete
reinforcing steel, epoxy-coated reinforcing steel, concrete post tension systems, wire products,
cold finished bar, aluminum grating, heavy industrial steel grating and expanded metal.
We are excited to be a part of the Nucor family. We take great pride in taking care of our customers by providing
quality products and unparalleled service. As the following stories illustrate, we also place a high value on safety and
taking care of our teammates. It is our teammates who make us the successful, sustainable company that we are.
Harris Steel Group | 55
55
Taking Safety to the Next Level
Safety is a core value at Harris Steel. We
provide our teams with the training, tools
and support they need to protect themselves
and those around them. Our teammates
hold each other accountable to accomplish
our goal of zero injuries each and every day
while providing quality, on-time product to
our customers.
Joining the Nucor family has
provided Harris Steel opportunities to
take its commitment to safety to the next
level. Since 2007, we have learned and
implemented new practices that have
yielded significant safety improvements at
all of our operations.
Safety is Everybody’s Job at
Laurel Steel
Before Harris Steel became part of
the Nucor team in 2007, our Laurel
Steel division had a safety record most
companies would be proud of. Safety
policies were in place, medical aid and lost
time events were at manageable levels, and
the facility was well within regulations.
Laurel Steel General Manager John Supple
explains, “Prior to being bought by Nucor,
there was always this perception that we
were pretty good from a safety standpoint.
We were doing all the right things. We
thought we were better than we were.”
But perceptions changed when
Laurel’s team had the opportunity to
benchmark against their teammates at
other Nucor divisions. “When we saw
those numbers, we were shocked and we
didn’t believe them,” recalls Supple. “So
71%
Decline
Illness & Injury Rate
85%
Decline
LosT Time Injury Rate
82%
Decline
LosT Workday & Rest
Case Rate Combined
Harris Steel’s
recordable safety
incidents have
declined significantly
since 2007.
we visited some other divisions and saw that they were
really doing it – their numbers were phenomenal.”
Laurel started making changes. The teammates
realized that if other Nucor divisions could do it, so
could they. This healthy sense of competition led to
unprecedented improvements at the facility. And as
teammates saw results, momentum grew.
Since 2007, there has been a steady decline
in safety incidents and in 2011, Laurel had zero
recordables. In addition, the division achieved zero
56 | Nucor Sustainability Report 2011
zero
lost time injuries since June 2007, totaling
more than 1.5 million man hours.
The biggest improvements were tied
to communication and accountability.
As Supple explains, “When we started all
this, the managers were really managing
safety. Now we’re at the point of having
160 guys managing safety. We’re all holding
each other accountable for having a safe
operation and making sure everybody goes
home safe at the end of every day.”
incident levels that are less than one-third of the
industry average, an important milestone on the way to
achieving our goal of zero incidents.
Fisher & Ludlow Achieves
a Milestone
Harris Rebar Raises the Bar
in Safety
Since 2007, Fisher & Ludlow has refocused
its safety efforts, learning from techniques
that had been applied successfully at
other Nucor locations. Fisher & Ludlow
President Brian Rutter and his team
demonstrated the ongoing importance of
safety in everyday operation, from Toolbox
Talks to one-on-one conversations.
Four years later, the division’s flagship
facility in Burlington, Ontario has achieved
a more than 75 percent reduction in both
recordables and lost workdays, accounting
for more than 1.1 million man hours.
Overall Fisher & Ludlow has achieved
Recordables in 2011 &
ZERO Lost Time Injuries Since June 2007
Totaling 1.5 million Man Hours
*At Laurel Steel
Having more than doubled in size between 2007
and 2011, Harris Rebar faced some of the greatest
challenges in improving its safety performance. With
so many new and acquired locations in such a short
period of time, the safety culture was pushed to the
limit. The teammates at Harris Rebar showed that
despite the challenges that came with growth, they
could and would continue to raise the bar in safety
performance and achieve the only acceptable outcome:
zero incidents, zero recordable injuries. In 2010, 20
of Harris Rebar’s locations achieved zero recordable
injuries. In 2011, 29 of Harris Rebar’s locations
achieved zero recordable injuries. It proved to everyone
that it could be done. It will be done.
Harris Steel Group | 57
57
Strengthening Infrastructure
One Bar at a Time
Much of North America’s infrastructure is
supported by the strength of Nucor rebar
fabricated by Harris Steel. Our products are in
the roads, bridges, dams and buildings that keep
our economies moving and businesses thriving.
We are North America’s leader in rebar,
with more than 70 rebar fabrication facilities
strategically located in the U.S. and Canada
near most major construction markets. Our
facilities offer full-service solutions including
everything from estimating to fabrication and
installation. In addition, we are able to supply
steel that is compliant with the Leadership in
Energy and Environmental Design (LEED®)
regulations of environmental sustainability,
contributing to our customers’ efforts to attain
Green Building certification.
We are a customer-focused company, and it
is our focus on meeting our customers’ needs that
has driven us to double in size. We will continue
to expand into new markets based on the service
needs of our customers. In the coming decades,
North America’s infrastructure will require significant
modernization and growth to ensure efficiency,
safety and competitiveness. From new roads and
bridges to high-efficiency commercial buildings,
the Harris Steel family of products will play an
important role in building a revitalized economy.
We look forward to making North America
stronger, more efficient and more competitive
than ever before.
Harris Rebar Doubles in Size
Since being acquired by Nucor in 2007,
Harris Rebar has more than doubled in size
as we continue to grow into new markets
to better serve our customers. In 2011,
Harris Rebar began planning a new facility
to be located in Riverside, Alabama. The
new $7 million, 49,000-square-foot facility
will be constructed during 2012 and will
create as many as 80 jobs. The facility will
be constructed using Nucor steel, with
components coming from Nucor Building
Systems, American Buildings Company
and Vulcraft.
58 | Nucor Sustainability Report 2011
Nucor Steel Kankakee, Inc. proudly displays the Stars & Stripes on the side of a building
at their facility. These steel flags are manufactured by the Nucor Buildings Group,
including Nucor Building Systems, American Buildings Company, CBC Steel Buildings,
Kirby Building Systems and Gulf States Manufacturers.
| 59
COMMUNIT Y REL ATIONS
IT’S OUR
“We value the productivity, the work ethic and the sense
of community that our employees and their families
share where they live and work. We value the people
and their communities, and they value our investment
and commitment to them.”
DANIEL R. DIMICCO
1982–PRESENT
60 | Nucor Sustainability Report 2011
HOW SMALL STEEL
MADE BIG CHANGES
Since 1968, Nucor has had a reputation for innovation. First we developed
technologies that revolutionized how the world makes steel. Then we reimagined
what it could look like for big businesses to be a part of small towns – where
most of our mills are located – and never looked back.
We do more than create jobs in our communities. Nucor has always believed that good business is good for
everyone, which is why part of our corporate mission is to be a cultural and environmental steward in the
communities where we live and work.
In our experience, strong communities produce a strong business environment. So for us, partnering with
our communities is not just good practice, it is smart business.
2011 was an extraordinary year for Nucor. We had the opportunity to provide more than 75,000 volunteer
hours and $8 million in charitable contributions to the communities we support.
2011 CHARITABLE CONTRIBUTIONS
$5,265,000
$800,900
$1,066,000
$477,000
$400,500
COMPANY
CONTRIBUTIONS
TEAMMATE
CONTRIBUTIONS
CHARITY
EVENTS
DIRECT CASH
CONTRIBUTIONS
ENDOWMENTS/
SCHOLARSHIPS
(To Universities Or Colleges)
Total Charitable Contributions = $8 million
Community Relations | 61
Seattle Then & Now
RAISING THE BAR FOR URBAN MANUFACTURING
nlike most of our mini-mills, Nucor
Steel Seattle, Inc. isn’t found in a
small, rural community. Rather, it sits
surrounded by suburban homes in
Seattle, Washington – one of America’s
greenest cities. To some, Seattle is an unlikely site for
a thriving steel mill. Yet Nucor Steel Seattle has forged
an uncommon partnership with its community, setting
the standard for modern, urban manufacturing and
demonstrating what makes Nucor different.
Our Seattle mill, which is the oldest steel plant
on the West Coast, was originally built in 1905 by
Seattle Steel Company. Youngstown, a company
town, surrounded the mill and provided housing for
employees. The mill continued to grow and in 1930
Bethlehem Steel acquired the mill. In the coming
decades, the homes in Youngstown transitioned to
private ownership, but the housing was still low-cost and
the area remained an industrial center.
Everything changed for the mill town when a
housing boom hit Seattle in the 1980s. Once considered
far away, the neighborhood was now within Seattle
and the low-cost housing came into high demand in
Seattle’s burgeoning market. The neighborhood soon
went through a major transition as real estate values
skyrocketed and the community cleaned up. After
changing hands in 1985, Birmingham Steel acquired the
steel mill in 1991, followed by Nucor in 2002.
As one of America’s greenest cities, Seattle takes
seriously having a steel mill for a neighbor. “This
plant wouldn’t be here if the neighbors didn’t want
us here,” according to Nucor Steel Seattle Safety and
“
In order for us to be successful here, we have to do the right thing. We have to align ourselves with the
community standards in one of the greenest cities in the nation. And if we represent sustainability, recycling,
low carbon footprint and energy efficiency, then the neighbors are going to respect us and support us.
”
Bart Kale
Safety and Environmental Manager, Nucor Steel Seattle, Inc.
continued
62 | Nucor Sustainability Report 2011
participant in the community. In 2011 the Seattle
Environmental Manager Bart Kale, who has been with
teammates contributed to Southwest Youth and Family
the plant for more than 20 years. “In order for us to be
Services’ annual holiday drive, providing coats and food
successful here,” says Kale, “we’ve learned that we have to
boxes. The same holiday season, the mill provided 2,100
flow with the community standard, and we’ve been very
pounds of food to West Seattle Food Bank. And for
good at that.”
several years, the Seattle teammates have raised thousands
Indeed, the Nucor mill has gone to great lengths to
of dollars for the West Seattle Relay for Life, most recently
align its operations with the community’s interests. For
through a “Tour for the Cure” program, which raised
example, because wet scrap produces additional noise in
money in 2011 by
the furnace, the mill put
conducting mill tours.
a roof over its scrapyard
THE COMMUNITY’S MESSAGE
“As a large industrial
resulting in a 90 percent
WAS LOUD AND CLEAR:
facility in close proximity
noise reduction. Further
to those around us,
efforts to reduce noise
“NUCOR IS A GOOD NEIGHBOR.”
we recognize the
include speciallydesigned rubberized
importance of being a
good neighbor,” explains Matt Lyons, Vice President
bay doors in shipping, a custom engineered muffler for
and General Manager of the Seattle mill. Ultimately,
the reheat furnace and the use of strobe lights instead of
however, it is the community who decides. And that
sirens for nighttime rail car deliveries.
is exactly what they did five years ago when Nucor
In lock-step with the community’s environmental
applied for a permit increase. A public meeting was held
values, Nucor Steel Seattle is Washington’s largest
following agency approval of the permits. Astonishingly,
recycler and gets most of its electricity from hydroelectric
of the 35 community members in attendance, only two
generators. And while the EPA requires visible emissions
came to challenge the permit. Support of the mill was
standards between 3 and 6 percent, the mill has adhered
overwhelming and, by the end of the meeting, only one
to the local standard of zero visible emissions for its melt
person spoke out challenging the permit.
shop. All of this adds up to our Seattle mill being one of
The community’s message was loud and clear:
the cleanest and most efficient steel mills in the world.
“Nucor is a good neighbor.”
Nucor Steel Seattle has also become an active
“
”
To operate in the midst of an environmentally progressive city like Seattle, we have to be on the cutting edge
of technology and energy efficiency.
Matt Lyons
Vice President and General Manager, Nucor Steel Seattle, Inc.
Community Relations | 63
THE NUCOR WAY
PRIDE
There is a difference between community investment and being invested in the community. It’s the difference
between writing a check and showing up to build the playground. At Nucor, that difference is pride. You see,
every hour we volunteer, every dollar we give and every good we donate goes directly toward making life better
for our families, friends and neighbors. We’re proud to be part of the Nucor family, and proud to be a part of
the communities where we live and work.
Why Strong Winds Were No
Match for Steel Resolve
April 27, 2011 is a date not soon forgotten by the
Nucor communities in Decatur and Tuscaloosa,
Alabama. Historic tornados ravaged much of the
Southeast that day, leaving nearly 300 lives lost in
their wake, and countless homes and businesses
damaged and without power.
Miraculously, Nucor Steel – Decatur, LLC
did not sustain serious damage, even though
an F5 tornado passed within a few hundred
yards of the mill. Tornados destroyed power
lines, however, leaving the Decatur mill without
power for more than a month. While the
mill weathered the storm, nothing could have
prepared Decatur’s teammates, or its residents,
for what hit their community that day.
Nucor teammate Kristy Bayne was trying
to escape the storm with her family when a
stranger took them in just moments before the
tornado hit. She recalls, “The minute we got
the door closed, everything hit. When we came
out and looked around, there was nothing left.”
Nucor teammates take a break from tornado relief efforts. A FEMA representative in Decatur
nicknamed the Nucor teammates the “Green Hats” after seeing their commitment to helping
their neighbors in the wake of the storms.
continued
64 | Nucor Sustainability Report 2011
Sadly, thousands across the region would return
to discover their homes had been damaged or
destroyed, many losing everything.
But the carnage that day was soon followed
by the inspiring and heroic stories that emerged
from the relief efforts. Nucor Steel – Decatur Vice
President and General Manager Mike Lee describes
going to check on teammate Joe Roberts at home.
“He wasn’t even there. His house was damaged, but
he and his family were alright. So he was out in the
neighborhood helping other people.”
for anything in return. Lee explains, “It proved to
me that we are about doing the right thing for the
right reasons.”
As the Decatur teammates reached out locally,
sister mills as far west as Arkansas and as far
north as Indiana jumped into action to help their
fellow teammates and the stricken communities.
Shannon Phillips, Vice President and General
Manager of Vulcraft – Indiana remembers, “As
soon as this happened, I had teammates at our
division asking me, ‘What can we do to help?’ ”
Joe’s story underscores a broader effort
undertaken by our teammates at Decatur. It took
about a day to shut down the mill, but then the
teammates immediately shifted their focus to
the community. After a few phone calls, the mill
assembled several teams outfitted with pickups,
trailers, Bobcats, chainsaws and tools. “We sent
them out every day and they’d knock on doors,”
recounts Lee. It took a while for residents to
believe the teammates were offering to help them
for free. “But when they realized we were the real
deal, we were embraced.”
During the recovery, a FEMA representative
stopped by the Decatur mill to see if anyone
needed assistance. He spoke about the “Green
Hats” – the Nucor teammates he’d seen and heard
about supporting the community without asking
In addition, Nucor-Yamato sent 300 generators,
while the Indiana divisions organized local efforts
that sent truckloads of needed supplies and more
than $9,000 to Decatur.
Similarly, our mill in Tuscaloosa, which lost
power for almost a week, quickly sent teammates
into the community to assist while the mill was
down. As part of its relief efforts, the mill provided
generators and fuel to local residents, including
several whose health relied on electrically-powered
medical devices. A month after the tornadoes, the
Tuscaloosa teammates were still heading into town
after work to help their neighbors. The teammates
arrived at work one morning to find a banner
anonymously placed at the entrance road, thanking
Nucor for its commitment to the recovery.
On May 15, 2012, the Steel Manufacturers Association (SMA) and its member companies awarded Nucor
Corporation the 2012 SMA Achievement in Community Involvement Award for tornado relief.
Community Relations | 65
Leading By Example
Community at Our Core
Community involvement is not a side project
for Nucor – it is core to the way we do business.
That’s why each of our divisions is involved with
numerous local organizations, and many of our
teammates volunteer their time on a frequent basis.
Nucor Cold Finish – Wisconsin, for example,
is active with the local Ronald McDonald House,
the Oak Creek Community Center, Unity Soup
Kitchen, The Salvation Army, and will soon be
partnering with Hope House of Milwaukee,
the Oak Creek Police Department and the
Milwaukee Spanish Immersion School. As one
Nucor teammate explains, “Nucor has a great
culture of helping those in need, and we do our
best to help promote this within our community
and spread The Nucor Way.”
Cleaner by the Ton
2011 marked the 10th anniversary of Nucor
Steel – Nebraska’s Annual Scrap Day. Every
year Nucor volunteers at this event help take
in hundreds of vehicles, and tons of household
scrap steel, aluminum cans, and waste electronic
equipment. Not only does Scrap Day ensure
proper disposal of these hard-to-handle items,
but it helps make the Norfolk community a
cleaner place to live.
Helipad
Following the April 2011 tornados in Alabama,
American Buildings Company – South (ABC)
worked with 25 of its teammates to design and
build a helipad that would serve the division and
local residents in the event of an emergency. The
pad, approved by both the FAA and the Alabama
State Department of Aeronautics, is currently
active as a back-up to the local hospital.
ABC President Ron Kuenkler remarked,
“We’ve implemented safety measures in all
aspects of our business and now, with the
helicopter pad, we have the opportunity to
positively impact the surrounding community.”
Educational Value
We believe in investing in a community’s longterm sustainability, while also caring for shortterm needs as they arise. That’s one reason why
Nucor Steel – Utah provides educational grants
every year to local schools in Northern Utah
and Southern Idaho. By providing short-term
needs for things like classroom supplies and
library additions, this division is investing in the
education of future generations, and hopefully
even a few future steelmakers.
66 | Nucor Sustainability Report 2011
In Honor of Veterans
Nucor has a long-standing tradition of supporting the
members of the United States Armed Forces. When our
teammates are called to action, we gladly hold their jobs,
complement their military pay to match their Nucor salaries
and extend their benefits while away. We also recruit veterans
when hiring, valuing the strong character developed when
serving one’s country. Nucor salutes America’s service men
and women, and considers it an honor to serve them when
they come home.
WARRIOR SALUTE
In July 2011, Nucor announced a partnership with
Continuing Development Services’ (CDS) Warrior
SALUTE Program that would extend through 2012. This
program assists service members transitioning from military
to civilian life through residential, therapy and vocational
training services.
A highlight of the Nucor-CDS partnership is the Nucor
Warrior Salute House in Penfield, New York. The home
opened in July 2012 and has been remodeled to house and
serve veterans suffering from post-traumatic stress syndrome
and traumatic brain injuries. The program offers an
environment of camaraderie and support as residents heal
and transition to civilian life.
Community Relations | 67
This commemorative flag surround stands at the entrance of Nucor Steel Birmingham, Inc. in honor of those
who have served our nation. The teammates at Gulf States Manufacturers – a division of Nucor – fabricated
the flag surround using steel melted and cast by the teammates at Nucor Steel – Decatur, LLC. Gulf States
Manufacturers is proud to have fabricated similar surrounds for several Nucor divisions and local communities.
“
”
Remember, freedom isn’t free. It comes with a heavy price. God bless our Nucor leaders for allowing us to
celebrate freedom and everything that is right with America.
Danny Coggins
General Manager, Gulf States Manufacturers
68 | Nucor Sustainability Report 2011
Nucor is guided by the central goal of our Mission Statement:
“Take Care of our Customers.”
| 69
CUSTOMER REL ATIONS
IT’S OUR
“Our primary focus is no longer producing as many
tons as we can. Our primary focus is now taking care of
our customers by being the safest, highest quality, lowest
cost, most productive and most profitable steel and
steel products company in the world, while
we produce as many tons as we can.”
DANIEL R. DIMICCO
1982–PRESENT
70 | Nucor Sustainability Report 2011
Commercial Excellence
At Nucor, we have a deep-rooted culture of continual improvement guiding every aspect of our
business, from safety and environmental performance to productivity, quality, cost control and
commercial excellence. For us, it is a daily effort of endlessly finding better ways to get things
done, much like climbing a mountain without a top.
Nucor has been a recognized industry leader in operational excellence for decades. In
recent years we have expanded our focus by asking, “How can we provide more value to
our customers?” For us the answer is simple: commercial excellence.
Commercial excellence is about more than making high-quality steel and steel products; it is about
industry-leading customer service and building loyalty, trust and long-term partnerships with our customers.
Nucor President and Chief Operating Officer John Ferriola explains, “Commercial excellence is not a
change in Nucor’s focus, it is an expansion in expectations where we develop our commercial prowess to the
same level as our operational excellence. We have found value in capitalizing on both our operational and
commercial excellence to create an environment for long-term sustainable success.”
“
”
This is not a change for the company but an expansion for the company.
John Ferriola
Nucor President and Chief Operating Officer
Customer Relations | 71
Pillars of Commercial Excellence
Market
Driven
Easy To Do
Business With
Strong, Loyal
Relationships
Sustainable
Results
We Do It
Together
While our facilities operate independently, they compete collectively. Thus, Nucor has put the Pillars of
Commercial Excellence in place. These guidelines are regularly communicated throughout the company and
provide a framework to help us exceed our goal of taking care of our customers.
As Ferriola notes, “We must be industry leaders to have both operational excellence and commercial
excellence.” Ultimately, our goal is to be a rock for our customers: reliable, enduring and strong. We strive
to provide a level of service that, in conjunction with our high-quality products, makes our customers’ jobs
easier and their projects more successful.
72| |Nucor
NucorSustainability
SustainabilityReport
Report2011
2011
72
THE NUCOR WAY
WORK ETHIC
Day in and day out, the men and women of
Nucor rededicate themselves to ensuring the
products we make and the steel we produce
are the best in the industry. The work ethic
our teammates subscribe to is an end-to-end,
top-to-bottom code that ensures safety, quality
and customer service forms the foundation on
which our steel is produced.
Most people think of customers as those
people who buy and use a product. At Nucor
we’ve taken the view that our customers
include everyone who shares in our success. This means
those who live and work in buildings made with our
products or drive in cars made with our sheet. But
it also means our shareholders and every one of our
teammates and their families.
So when we talk about taking care of our
customers, we are talking about a deep-seated
commitment to improving both the customer
experience and the lives of everyone who comes in
contact with Nucor and its products.
TAKING CARE OF OUR CUSTOMERS MEANS
MEETING THEIR EVERY EXPECTATION,
ON TIME, EVERY TIME.
When our customers approach us with a need,
they know that need will be met, met quickly,
and met to their exacting specifications. That is
because, at Nucor, we utilize our broad North
American presence to ensure our customers
can take advantage of geography to minimize
cost and environmental footprint.
Even during the most difficult economic
times, Nucor’s mills have maintained the
capability to produce the high-quality steel
demanded by our customers. Since the start
of the recession in 2008, we have not closed
a single mill – instead curbing hours and
production to ensure we can still meet customer need
without exceeding capacity.
Because Nucor’s facilities offer just-in-time (JIT)
logistics capabilities, we can help our customers meet
their needs for attaining Leadership in Energy and
Environmental Design (LEED®) certification. LEED®
relies on using sustainable materials, energy-efficient
manufacturing processes, and takes into account
the distance materials travel to the job site. Nucor’s
geographic reach means our customers are never far
from having the quality products and unmatched
customer service they need.
Customer Relations | 73
NUCOR AUTOMOTIVE STEEL
Driving Sustainability
Nucor’s roots trace back to automotive visionary Ransom E. Olds – famous for designing the Reo
Speedwagon – whose company evolved into Nuclear Corporation of America and, ultimately, Nucor. Today,
our story has come full circle as we are working together with modern automakers toward shared goals of
environmental stewardship, and sustainable processes and product lines.
Cars have come a long way since the Speedwagon, but one thing hasn’t changed: the weight and strength
of automotive steel directly impacts safety, performance and efficiency. This makes Nucor’s advanced highstrength, lightweight steel offerings a perfect fit for auto manufacturers who are in need of steel with high
formability characteristics that is strong enough to absorb energy during a crash, all while reducing weight
and increasing fuel economy. The 70 percent recycled content of much of Nucor’s automotive grade steel
means auto manufacturers can have their cake and eat it too: top-quality steel that meets all technical
specifications while simultaneously reducing the lifecycle greenhouse gas emissions associated with the
vehicles. And as Nucor uses a growing amount of energy-efficient Direct Reduced Iron (DRI)
to supplement our recycled content, we will have even more green appeal.
The Reo Speedwagon (above left) is the best known of Ransom Olds’ automobile designs and a
part of Nucor’s history. Nucor will continue to play a role in the automotive market by providing
high-strength, lightweight steel products to manufacturers of modern cars (above right).
Nucor’s decentralized North American presence means that we can reduce lead times, lower freight costs and
provide more just-in-time (JIT) deliveries to our customers. All while reducing the environmental
footprint associated with shipping.
As we continue to expand our automotive product offerings, Nucor looks forward to leading
the way toward stronger, more sustainable fleets.
74 | Nucor Sustainability Report 2011
ELECTRIC STEEL
FOR ELECTRIC VEHICLES
It is fitting that the electric vehicles of the future should be built with environmentally
friendly, lightweight steel solutions. To this end Nucor is providing technical support to the
FutureSteelVehicle Program, a collaborative effort among WorldAutoSteel, which is a part of
the World Steel Association, and steelmakers around the globe to develop fully-engineered,
steel-intensive designs for electrified vehicles that reduce greenhouse gas emissions over their
entire life cycle.
The FutureSteelVehicle features steel body structure designs that
reduce mass by more than 35 percent over a benchmark
vehicle and reduce total life cycle emissions by nearly
70 percent. Improved advanced high-strength steel
designs will reduce a vehicle’s greenhouse gas
footprint during its use phase; but steel
also has the added benefit of lower
greenhouse gas emissions resulting
from the energy needed
during the production of
steel and the steel recycling
rate versus other primary
materials. And our
recycling standards are
the best in the industry.
Advances in material production in recent years have resulted in lighter, stronger and greener
steels, and production of these new steels emits five to 20 times less greenhouse gases than
other materials, according to WorldAutoSteel. Additionally, steel is a lower-cost material than
alternatives, meaning consumers can afford these vehicles in greater numbers, further reducing
greenhouse gas emissions in both production and tailpipe use. The FutureSteelVehicle is a
concept vehicle designed to inspire lightweight steel solutions for auto manufacturers, and it is
the hope of all involved that the program will lead to a revolution in automotive design.
Customer Relations | 75
A Cycle of Sustainability
In March 2011, Mississippi Power began
construction of a 582-megawatt coal
gasification electric plant (IGCC) in Kemper
County, Mississippi, strategically located near
abundant resources of lignite coal.
The technologically-advanced plant will
produce fewer particulate, sulfur dioxide
and mercury emissions than traditional
coal-powered plants, and will capture 65
percent of its carbon dioxide emissions
– the highest of any IGCC plant in the
nation. The carbon capture technology will
result in emissions equivalent to a similarly
sized natural gas combined cycle power
plant. Moreover, the zero-discharge facility
will not release any process water into rivers,
lakes or streams, making it among the
most environmentally-friendly electricity
generating plants in the nation.
Six Nucor divisions are providing an estimated
50,000 tons of steel for the project, underscoring our
growing role as a provider of steel for use in hightech energy projects. But Nucor’s interest in energy
projects extends beyond just selling steel. Our recycling
process relies heavily on electricity, and the cleaner
the electricity, the greener our steel. With projects
like these, we hope to create a “cycle of sustainability,”
where clean steel is used to produce clean electricity,
which can then be used to produce more clean steel.
We are proud to take care of customers who share
our commitment to environmental stewardship and
technological innovation.
NUCOR STEEL USED IN PROJECT
(APPROXIMATE TONNAGE)
36,000 tons
STRUCTURAL
Nucor-Yamato Steel Company
REBAR
6,800 tons
Nucor Steel Jackson, Inc.
PLATE
3,000 tons
Nucor Steel Tuscaloosa. Inc.
Nucor Steel – Hertford
GRATING
By providing approximately 50,000 tons
of steel for construction of the Mississippi
Power facility, Nucor hopes to create a “cycle
of sustainability,” where clean steel is used to
produce clean electricity, which can then be
used to produce more clean steel.
3,100 tons
Fisher & Ludlow
FASTENERS
275 tons
Nucor Fastener – Indiana
76 | Nucor Sustainability Report 2011
NEW INGREDIENTS, NEW PRODUCTS,
MORE SUSTAINABILITY
We are always looking for the new technologies that will sustainably produce cleaner, more
efficient steel.
Nucor’s use of scrap has always meant that the product we deliver to our customers is sustainable by its very
nature. Now, the use of Direct Reduced Iron (DRI) combined with pig iron and steel products allows us to
produce products that are cleaner, stronger and more environmentally sustainable.
The steel we make with DRI and recycled scrap is used to make thousands of parts for automobiles every
year, the guard rails that keep families safe and the reinforcing steel on the bridges over which they drive. We
make much of this steel using cleaner-burning natural gas, which has fewer emissions.
A useful product that results from this steelmaking process is slag, an inert, fused and vitrified matter
separated during the reduction of a metal from its ore. Slag is used in road construction to increase the skid
resistance and durability of asphalt. The material is
Scrap
also an environmentally responsible substitute for
DRI
gravel, which must be dug from quarries.
Pig Iron
Nucor has worked diligently to “close the loop,”
creating the products that help make the cars and
keep them safely on the road, and recycling the
by-products of the manufacturing process. Our
long-term goal has always been to have greater
control over our raw materials, more efficient
manufacturing processes, lower energy usage and
increased sustainability.
Electric Arc Furnace
Slag
Caster
Reheat
Furnace
Torch
Rolling Mill
Finishing
Customer Relations | 77
Power or No Power,
We Take Care of the Customer
Our goal is to take care of our customers. That means top-quality product delivered on time, every time –
even when an F5 tornado knocks out power for 29 days, like it did at Nucor Steel – Decatur in April 2011.
The Decatur mill quickly reached out to the Nucor mill family, who in turn made sure no customer received
anything less than the best in quality and on-time service.
“We took all the orders we had on the books, or the majority
of them that we knew timing was an issue, and we shipped
them to Berkeley, Hickman and Crawfordsville to put in their
schedule and get rolled. And not one order was late. Every
order that we displaced to a sister division arrived on time.
Zero impact to our customers. They, to this day, still can’t
believe it happened.”
PHOTO BOX
Decatur
Mike Lee
Vice President and General Manager, Nucor Steel – Decatur, LLC
AWARDS
Taking care of our customers is central to Nucor’s mission. That is why it is gratifying to be
recognized by customers for a job well done. Over the last two years, Nucor received several
awards from customers, including:
Nucor Cold Finish – Nebraska
2011 John Deere Achieving Excellence Partner
(only steel producer to receive award)
2011 John Deere Achieving Excellence 5 Year Hall of Fame
2010 John Deere Supplier of the Year
Nucor Steel Memphis, Inc.
Forging Industry Educational & Research Foundation (FIERF) Silver Anvil Award
Nucor Steel – Berkeley
2010 & 2011 The Techs Supplier of the Year
78 | Nucor Sustainability Report 2011
At Nucor, leadership means giving people the freedom, resources and training to do
their jobs but not getting in their way.
| 79
GOVERNANCE
IT’S OUR
“We’ll emerge, as we always do, stronger than we were
before by never taking our eyes off the goal:
Take Care of the Customer.”
DANIEL R. DIMICCO
1982–PRESENT
80 | Nucor Sustainability Report 2011
NUCOR
GOVERNANCE
HOLDING OURSELVES TO THE HIGHEST ETHICAL STANDARDS
Nucor’s culture is one that respects the individual. The open door and phone practice of
the corporate office and local facilities fosters a culture where all participate and contribute
to the progress of the company. Our teammates, neighbors and shareholders should always
be treated fairly, honestly and respectfully. At the same time, we – that’s everyone in our
company – should conduct ourselves according to the highest ethical standards.
As a result, all of our teammates are accessible and accountable.
Learn more at:
www.nucor.com/governance
GOVERNANCE POLICIES
Governance Principles
Nucor’s governance principles provide a framework for
the composition, operation and responsibilities of the
Board of Directors.
Standards of Business Conduct and Ethics
Nucor’s reputation and success rely on the ethical conduct
of our employees, officers and directors. Our standards
include, but are not limited to, abiding by all guidelines to
avoid giving or receiving gifts for the improper influence of
our business, avoiding and disclosing conflicts of interest,
ensuring legal state and federal political contributions,
proper use of company assets and transparent reporting.
Supplier Code of Conduct
Nucor requires its suppliers to comply with high standards
of social responsibility. This code of conduct prohibits
the use of forced and child labor, requires suppliers
to treat employees with dignity and respect, free from
unlawful discrimination. Nucor’s suppliers must provide
fair and lawful wages and benefits to their employees. In
addition, Nucor expects each of its suppliers to minimize
their environmental footprint and conduct business in
continued
Governance | 81
THE NUCOR WAY
TREAT PEOPLE THE RIGHT WAY
One of Nucor’s guiding principles is to encourage our teammates to treat other people the way you would want
to be treated. We make sure everyone has the right tools, resources and training to get the job done, and then
we get out of their way. And when we make a mistake, we learn from it and move forward. We want people to
take ownership of challenges, not fear them. We’re all in it together as a team.
accordance with high ethical standards. Suppliers must
maintain documented compliance with this code to
continue doing business with Nucor.
Code of Ethics for Senior Financial Professionals
This code is a supplement to the Standards of
Business Conduct and Ethics and is designed to
deter wrongdoing and promote honest and ethical
conduct by Nucor’s senior financial officers and CEO.
The code applies specifically to the preparation and
oversight of financial information used in reporting to
the Securities and Exchange Commission and other
public and private stakeholders.
Committee Responsibilities and Charters
Nucor’s Board of Directors has three standing
committees – Audit, Compensation and Executive
Development, and Governance and Nominating. These
committees operate in accordance with written charters,
which have been adopted by the Board of Directors.
Communicating with Directors
Stockholders may communicate with the Board of
Directors, or any of its independent directors, by sending
correspondence to Nucor’s corporate office in the care
of Nucor Directors.
82 | Nucor Sustainability Report 2011
NUCOR’S POSITION OF STRENGTH
Five-Pronged Strategy for Profitable Growth
1. Optimization of existing operations
2. Investment in raw materials
3. Greenfield growth in new technologies & marketplace niches
4. International growth through joint ventures
Groundbreaking for Nucor Steel
Louisiana, LLC
5. Pursuit of strategic acquisitions
Learn more about our operations and financial reporting at:
www.nucor.com/investor
Stock Performance
Nucor announced its 155th
consecutive cash dividend in
the fourth quarter of 2011.
This graphic comparison assumes the
investment of $100 in Nucor Corporation
common stock, $100 in the S&P 500 Index and
$100 in the S&P Steel Group Index, all at year end
2006. The resulting cumulative total return
assumes that cash dividends were reinvested.
Nucor common stock comprised 41% of the S&P
Steel Group Index at year end 2011
(48% at year end 2006).
Governance | 83
84| |Nucor
NucorSustainability
SustainabilityReport
Report2011
2011
84
NUCOR TRADE AND
INDUSTRY ASSOCIATIONS
Nucor partners with a number of trade associations and industry organizations to pursue our common
interests for the betterment of American manufacturing.
American Iron and Steel Institute
World Steel Association
Association for Iron & Steel Technology
Steel Manufacturers Association
Steel Recycling Institute
American Institute of Steel Construction
www.steel.org
www.aist.org
www.worldsteel.org
www.steelnet.org
www.recycle-steel.org
www.aisc.org
Metal Building Manufacturers Association
Steel Framing Alliance
www.mbma.com
www.steelframing.org
Steel Joist Institute
Concrete Reinforced Steel Institute
www.steeljoist.org
www.crsi.org
Steel Deck Institute
United States Green Building Council
www.sdi.org
www.usgbc.org
In addition to the entities above, Nucor facilities participate in their state manufacturers’ associations and
numerous city and state manufacturers’ sustainability councils.
FOR MORE INFORMATION ABOUT NUCOR’S PUBLIC POLICY POSITIONS: WWW.NUCOR.COM/VOICE
Governance | 85
Doing Our Part to
END FORCED LABOR
Nucor’s most valuable asset is our people. We go to great lengths to show them the care, dignity and respect they deserve.
That is why Nucor is also making every effort to ensure forced labor is eliminated from our supply chain.
One of our key areas of focus is Northern Brazil, which is the source of one of Nucor’s significant feedstock ingredients – pig
iron. Pig iron is an intermediate iron product that is created by smelting raw iron ore at high temperature with a carbonreducing agent. In Northern Brazil, this agent is often charcoal.
The charcoal production process in Brazil is very labor intensive and takes place in relatively remote and inaccessible areas.
In some cases, charcoal production has created difficult working conditions – at times falling to the level of forced labor.
Nucor has taken a proactive approach to help ensure that the charcoal used to make our pig iron does not
come from forced labor, including:
Nucor requires each pig iron manufacturer that ships product to Nucor to certify that its pig iron
was manufactured without the use of involuntary labor.
Nucor retains a Brazilian law firm to monitor the Brazilian Labor Ministry’s Black List of firms that
have been found to use forced labor. We then remove these firms from our list of acceptable suppliers.
Nucor requires that all of our suppliers of charcoal-based pig iron in Northern Brazil either belong to
the Citizen’s Charcoal Institute (ICC) and subject their pig iron suppliers to random, unannounced
audits, or become signatories to the National Pact to Eradicate Slave Labor in Brazil (the National
Pact) and comply with its commitments.
Nucor has become a patron of the Citizen’s Charcoal Institute (ICC). As a patron, Nucor contributes
to the ICC’s funding and receives reports of audits conducted on charcoal producers.
Nucor is not alone in facing this issue. We endorse the efforts of the Brazilian companies and nongovernmental
organizations working to eliminate forced labor in Brazilian industries.
86 | Nucor Sustainability Report 2011
Governance | 87
88 | Nucor Sustainability Report 2011
FOR MORE INFORMATION ABOUT NUCOR SUSTAINABILITY EFFORTS,
PLEASE CONTACT US AT: SUSTAINABILITY@NUCOR.COM
| 89
Nucor recycles an average of
1,200 pounds of steel
every second of every hour of every day,
making us the Western Hemisphere’s largest recycling company.
Executive Officer Group from left to right: James R. Darsey, Executive Vice President; Ladd R.
Hall, Executive Vice President; Hamilton Lott, Jr., Executive Vice President; R. Joseph Stratman,
Executive Vice President; Daniel R. DiMicco, Chairman and Chief Executive Officer; John J.
Ferriola, President and Chief Operating Officer; Keith B. Grass, Executive Vice President; and
James D. Frias, Chief Financial Officer, Treasurer and Executive Vice President.
Corporate Headquarters
1915 Rexford Road
Charlotte, NC 28211