United States Lime & Minerals (USLM) 10-Q 30 Jul 14 2014 Q2 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
	Jun. 30, 2014	Jul. 29, 2014
Document and Entity Information	'	'
Entity Registrant Name	'UNITED STATES LIME & MINERALS INC	'
Entity Central Index Key	'0000082020	'
Document Type	'10-Q	'
Document Period End Date	30-Jun-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	5,577,942
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Jun. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Current assets:	'	'
Cash and cash equivalents	$56,015	$49,475
Trade receivables, net	17,737	14,097
Inventories	11,539	13,688
Prepaid expenses and other current assets	1,138	1,584
Total current assets	86,429	78,844
Property, plant and equipment	253,423	249,714
Less accumulated depreciation and depletion	-147,003	-141,227
Property, plant and equipment, net	106,420	108,487
Other assets, net	171	195
Total assets	193,020	187,526
Current liabilities:	'	'
Current installments of debt	5,000	5,000
Accounts payable	4,499	5,812
Accrued expenses	3,306	3,536
Total current liabilities	12,805	14,348
Debt, excluding current installments	14,167	16,667
Deferred tax liabilities, net	18,126	17,799
Other liabilities	1,660	1,907
Total liabilities	46,758	50,721
Stockholders' equity:	'	'
Common stock	650	650
Additional paid-in capital	19,843	19,319
Accumulated other comprehensive loss	-1,213	-1,498
Retained earnings	176,949	168,133
Less treasury stock, at cost	-49,967	-49,799
Total stockholders' equity	146,262	136,805
Total liabilities and stockholders' equity	$193,020	$187,526

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended		6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Revenues	'	'	'	'
Lime and limestone operations	$37,320	$33,684	$72,371	$63,839
Natural gas interests	1,356	1,488	2,996	2,918
Total revenues	38,676	35,172	75,367	66,757
Cost of revenues:	'	'	'	'
Labor and other operating expenses	24,586	22,609	49,129	44,250
Depreciation, depletion and amortization	3,667	3,599	7,223	7,252
Total cost of revenues	28,253	26,208	56,352	51,502
Gross profit	10,423	8,964	19,015	15,255
Selling, general and administrative expenses	2,418	2,299	4,600	4,442
Operating profit	8,005	6,665	14,415	10,813
Other expense (income):	'	'	'	'
Interest expense	408	465	807	954
Other, net	-55	-36	-53	-74
Total other expense (income)	353	429	754	880
Income before income taxes	7,652	6,236	13,661	9,933
Income tax expense	1,934	1,610	3,451	2,551
Net income	$5,718	$4,626	$10,210	$7,382
Income per share of common stock:	'	'	'	'
Basic (in dollars per share)	$1.03	$0.83	$1.83	$1.33
Diluted (in dollars per share)	$1.02	$0.83	$1.83	$1.33
Cash dividend per share of common stock (in dollars per share)	$0.13	'	$0.25	'

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS Percentage	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Revenues	'	'	'	'
Lime and limestone operations (as a percent)	96.50%	95.80%	96.00%	95.60%
Natural gas interests (as a percent)	3.50%	4.20%	4.00%	4.40%
Total revenues (as a percent)	100.00%	100.00%	100.00%	100.00%
Cost of revenues:	'	'	'	'
Labor and other operating expenses (as a percent)	63.50%	64.30%	65.20%	66.30%
Depreciation, depletion and amortization (as a percent)	9.50%	10.20%	9.60%	10.90%
Total cost of revenues (as a percent)	73.00%	74.50%	74.80%	77.20%
Gross profit (as a percent)	27.00%	25.50%	25.20%	22.80%
Selling, general and administrative expenses (as a percent)	6.30%	6.50%	6.10%	6.70%
Operating profit (as a percent)	20.70%	19.00%	19.10%	16.10%
Other expense (income):	'	'	'	'
Interest expense (as a percent)	1.00%	1.40%	1.10%	1.40%
Other, net (as a percent)	-0.10%	-0.10%	-0.10%	-0.20%
Total other expense (income) (as a percent)	0.90%	1.30%	1.00%	1.20%
Income before income taxes (as a percent)	19.80%	17.70%	18.10%	14.90%
Income tax expense (as a percent)	5.00%	4.60%	4.60%	3.80%
Net income (as a percent)	14.80%	13.10%	13.50%	11.10%

CONDENSED_CONSOLIDATED_STATEME2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME	'	'	'	'
Net income	$5,718	$4,626	$10,210	$7,382
Other comprehensive income	'	'	'	'
Mark to market of interest rate hedges, net of tax expenses of $79 and $122, respectively, for the quarters, and $163 and $229, respectively, for the six-month periods	139	213	285	400
Total other comprehensive income	139	213	285	400
Comprehensive income	$5,857	$4,839	$10,495	$7,782

CONDENSED_CONSOLIDATED_STATEME3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME	'	'	'	'
Mark to market of interest rate hedges, tax expense	$79	$122	$163	$229

CONDENSED_CONSOLIDATED_STATEME4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013
Operating Activities:	'	'
Net income	$10,210	$7,382
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation, depletion and amortization	7,316	7,381
Amortization of deferred financing costs	23	23
Deferred income taxes	165	689
Gain on sale of property, plant and equipment	-11	-8
Stock-based compensation	524	460
Changes in operating assets and liabilities:	'	'
Trade receivables, net	-3,640	-3,172
Inventories	2,149	-50
Prepaid expenses and other current assets	446	-371
Other assets	1	-13
Accounts payable and accrued expenses	-1,445	167
Other liabilities	200	12
Net cash provided by operating activities	15,938	12,500
Investing Activities:	'	'
Purchase of property, plant and equipment	-5,547	-4,012
Proceeds from sale of property, plant and equipment	211	51
Net cash used in investing activities	-5,336	-3,961
Financing Activities:	'	'
Repayment of term loans	-2,500	-1,250
Cash dividends paid	-1,394	'
Purchase of treasury shares	-168	-212
Net cash used in financing activities	-4,062	-1,453
Proceeds from exercise of stock options	'	9
Net increase in cash and cash equivalents	6,540	7,086
Cash and cash equivalents at beginning of period	49,475	29,787
Cash and cash equivalents at end of period	$56,015	$36,873

Basis_of_Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2014
Basis of Presentation	'
Basis of Presentation	'
	1.Basis of Presentation
	The condensed consolidated financial statements included herein have been prepared by United States Lime & Minerals, Inc. (the “Company”) without independent audit.  In the opinion of the Company’s management, all adjustments of a normal and recurring nature necessary to present fairly the financial position, results of operations, comprehensive income and cash flows for the periods presented have been made.  Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) have been condensed or omitted.  These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the period ended December 31, 2013.  The results of operations for the three- and six-month periods ended June 30, 2014 are not necessarily indicative of operating results for the full year.

Organization

Organization	6 Months Ended
	Jun. 30, 2014
Organization	'
Organization	'
	2.Organization
	The Company is headquartered in Dallas, Texas, and operates through two business segments.  Through its Lime and Limestone Operations, the Company is a manufacturer of lime and limestone products, supplying primarily the construction, (including highway, road and building contractors), metals (including steel producers), environmental (including municipal sanitation and water treatment facilities and flue gas treatment), oil and gas services, industrial (including paper and glass manufacturers), roof shingle and agriculture (including poultry and cattle feed producers) industries.  The Company operates lime and limestone plants and distribution facilities in Arkansas, Colorado, Louisiana, Oklahoma and Texas through its wholly owned subsidiaries, Arkansas Lime Company, Colorado Lime Company, Texas Lime Company, U.S. Lime Company, U.S. Lime Company — Shreveport, U.S. Lime Company — St. Clair and U.S. Lime Company — Transportation.
	The Company’s Natural Gas Interests segment is held in its wholly owned subsidiary, U.S. Lime Company — O & G, LLC (“U.S. Lime O & G”).  Under a lease agreement (the “O & G Lease”), U.S. Lime O & G has royalty interests ranging from 15.4% to 20% and a 20% non-operating working interest, resulting in an overall average revenue interest of 34.7%, with respect to oil and gas rights in 33 wells drilled and currently producing on the Company’s approximately 3,800 acres of land located in Johnson County, Texas, in the Barnett Shale Formation. Through U. S. Lime O & G, the Company also has a drillsite and production facility lease agreement and subsurface easement (the “Drillsite Agreement”) relating to approximately 538 acres of land contiguous to the Company’s Johnson County, Texas property.  Pursuant to the Drillsite Agreement, the Company receives a 3% royalty interest and a 12.5% non-operating working interest, resulting in a 12.4% revenue interest, in the six wells drilled and currently producing from pad sites located on the Company’s property.

Accounting_Policies

Accounting Policies	6 Months Ended
	Jun. 30, 2014
Accounting Policies	'
Accounting Policies	'
	3.Accounting Policies
	Revenue Recognition.  The Company recognizes revenue for its Lime and Limestone Operations in accordance with the terms of its purchase orders, contracts or purchase agreements, which are generally upon shipment, and when payment is considered probable. Revenues include external freight billed to customers with related costs in cost of revenues.  The Company’s returns and allowances are minimal.  External freight billed to customers included in 2014 and 2013 revenues was $6.8 million and $6.6 million for the three-month periods, and $13.4 million and $12.7 for the six-month periods, respectively, which approximates the amount of external freight included in cost of revenues.  Sales taxes billed to customers are not included in revenues.  For its Natural Gas Interests, the Company recognizes revenue in the month of production and delivery.
	Successful-Efforts Method Used for Natural Gas Interests.  The Company uses the successful-efforts method to account for oil and gas exploration and development expenditures.  Under this method, drilling, completion and workover costs for successful exploratory wells and all development well costs are capitalized and depleted using the units-of-production method.  Costs to drill exploratory wells that do not find proved reserves are expensed.
	Fair Values of Financial Instruments.  Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.”  The Company uses a three-tier fair value hierarchy, which classifies the inputs used in measuring fair values, in determining the fair value of its financial assets and liabilities.  These tiers include:  Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.  There were no changes in the methods and assumptions used in measuring fair value during the period, which include, as of the valuation date, LIBOR rates over the term of the outstanding debt.  The Company’s financial  liabilities measured at fair value on a recurring basis at June 30, 2014 and December 31, 2013 are summarized below (in thousands):
								Significant Other
								Observable Inputs (Level 2)
		June 30,			December 31,			June 30,			December 31,			Valuation
		2014			2013			2014			2013			Technique
	Interest rate swap liabilities	$	(1,087	)	$	(1,533	)	$	(1,087	)	$	(1,533	)	Cash flows approach
	Comprehensive Income (Loss).  Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income.  Certain changes in assets and liabilities, such as mark-to-market gains or losses of interest rate hedges, are reported as a separate component of the equity section of the balance sheet.  Such items, along with net income, are components of comprehensive income (loss).
	New Accounting Pronouncement.  In May 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), which stipulates that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.  To achieve this core principle, an entity should apply the following steps: (1) identify the contract(s) with a customer; (2) identify the performance obligations in the contract(s); (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract(s); and (5) recognize revenue when (or as) the entity satisfies a performance obligation.  ASU 2014-09 will be effective for the Company beginning January 1, 2017, with early adoption not permitted.  The Company is currently evaluating the impact of the adoption of ASU 2014-09 on the Company’s Consolidated Financial Statements.

Business_Segments

Business Segments	6 Months Ended
	Jun. 30, 2014
Business Segments	'
Business Segments	'
	4.Business Segments
	The Company has identified two business segments based on the distinctness of their  activities and products:  Lime and Limestone Operations and Natural Gas Interests.  All operations are in the United States.  In evaluating the operating results of the Company’s segments, management primarily reviews revenues and gross profit.  The Company does not allocate corporate overhead or interest costs to its business segments.
	The following table sets forth operating results and certain other financial data for the Company’s two business segments (in thousands):
		Three Months Ended			Six Months Ended
		June 30,			June 30,
		2014		2013	2014		2013
	Revenues
	Lime and limestone operations	$	37,320	33,684	$	72,371	63,839
	Natural gas interests	1,356		1,488	2,996		2,918
	Total revenues	$	38,676	35,172	$	75,367	66,757
	Depreciation, depletion and amortization
	Lime and limestone operations	$	3,447	3,334	$	6,779	6,714
	Natural gas interests	220		265	444		538
	Total depreciation, depletion and amortization	$	3,667	3,599	$	7,223	7,252
	Gross profit
	Lime and limestone operations	$	9,704	8,363	$	17,366	14,030
	Natural gas interests	719		601	1,649		1,225
	Total gross profit	$	10,423	8,964	$	19,015	15,255
	Capital expenditures
	Lime and limestone operations	$	2,615	2,464	$	5,531	3,979
	Natural gas interests	12		29	16		33
	Total capital expenditures	$	2,627	2,493	$	5,547	4,012

Income_Per_Share_of_Common_Sto

Income Per Share of Common Stock	6 Months Ended
	Jun. 30, 2014
Income Per Share of Common Stock	'
Income Per Share of Common Stock	'
	5.Income Per Share of Common Stock
	The following table sets forth the computation of basic and diluted income per common share (in thousands, except per share amounts):
		Three Months Ended			Six Months Ended
		June 30,			June 30,
		2014		2013	2014		2013
	Net income for basic and diluted income per common share	$	5,718	4,626	$	10,210	7,382
	Weighted-average shares for basic income per share	5,578		5,560	5,577		5,559
	Effect of dilutive securities:
	Employee and director stock options (1)	11		9	11		9
	Adjusted weighted-average shares and assumed exercises for diluted income per share	5,589		5,569	5,588		5,568
	Basic net income per common share	$	1.03	0.83	$	1.83	1.33
	Diluted net income per common share	$	1.02	0.83	$	1.83	1.33
	(1)  Excludes 15.0 and 9.9 stock options for the 2014 and 2013 periods, respectively, as anti-dilutive because the exercise price exceeded the average per share market price for the periods presented.

Accumulated_Other_Comprehensiv

Accumulated Other Comprehensive Loss	6 Months Ended
	Jun. 30, 2014
Accumulated Other Comprehensive Loss	'
Accumulated Other Comprehensive Loss	'
	6.Accumulated Other Comprehensive Loss
	The following table presents the components of comprehensive income (in thousands):
		Three Months Ended					Six Months Ended
		June 30,					June 30,
		2014			2013		2014			2013
	Net income	$	5,718		4,626		$	10,210		7,382
	Reclassification to interest expense	237			292		485			586
	Deferred income tax expense	(79		)	(122	)	(163		)	(229	)
	Mark to market of interest rate hedges	(19		)	43		(37		)	43
	Comprehensive income	$	5,857		4,839		$	10,495		7,782
	Amounts reclassified to interest expense were for payments made by the Company pursuant to the Company’s interest rate hedges.
	Accumulated other comprehensive loss consisted of the following (in thousands):
		June 30,			December 31,
		2014			2013
	Mark to market of interest rate hedges, net of tax benefit	$	(692	)	$	(977	)
	Minimum pension liability adjustments, net of tax benefit	(521		)	(521		)
	Accumulated other comprehensive loss	$	(1,213	)	$	(1,498	)

Inventories

Inventories	6 Months Ended
	Jun. 30, 2014
Inventories	'
Inventories	'
	7.Inventories
	Inventories are valued principally at the lower of cost, determined using the average cost method, or market.   Costs for raw materials and finished goods include materials, labor, and production overhead.   Inventories consisted of the following (in thousands):
		June 30,		December 31,
		2014		2013
	Lime and limestone inventories:
	Raw materials	$	4,081	$	6,203
	Finished goods	1,973		2,284
		6,054		8,487
	Service parts inventories	5,485		5,201
		$	11,539	$	13,688

Banking_Facilities_and_Debt

Banking Facilities and Debt	6 Months Ended
	Jun. 30, 2014
Banking Facilities and Debt	'
Banking Facilities and Debt	'
	8.Banking Facilities and Debt
	The Company’s credit agreement includes a ten-year $40 million term loan (the “Term Loan”), a ten-year $20 million multiple draw term loan (the “Draw Term Loan”) and a $30 million revolving credit facility (the “Revolving Facility”) (collectively, the “Credit Facilities”).  At June 30, 2014, the Company had $0.7 million of letters of credit issued, which count as draws under the Revolving Facility.  Pursuant to a security agreement, dated August 25, 2004, the Credit Facilities are secured by the Company’s existing and hereafter acquired tangible assets, intangible assets and real property.
	The Term Loan requires quarterly principal payments of $0.8 million, with a final principal payment of $10.0 million due on December 31, 2015.  The Draw Term Loan requires quarterly principal payments of $0.4 million, with a final principal payment of $6.7 million due on December 31, 2015.  The maturity of the Term Loan, the Draw Term Loan and the Revolving Facility can be accelerated if any event of default, as defined under the Credit Facilities, occurs.
	The Revolving Facility commitment fee ranges from 0.250% to 0.400%.  The Credit Facilities bear interest, at the Company’s option, at either LIBOR plus a margin of 1.750% to 2.750%, or the Lender’s Prime Rate plus a margin of 0.000% to plus 1.000%.  The Revolving Facility commitment fee and the interest rate margins are determined quarterly in accordance with a pricing grid based upon the Company’s Cash Flow Leverage Ratio, defined as the ratio of the Company’s total funded senior indebtedness to earnings before interest, taxes, depreciation, depletion and amortization (“EBITDA”) for the 12 months ended on the last day of the most recent calendar quarter, plus pro forma EBITDA from any businesses acquired during the period.
	The Company has hedges, with Wells Fargo Bank, N.A as the counterparty to the hedges, that fix LIBOR through maturity at 4.695%, 4.875% and 5.500% on the outstanding balance of the Term Loan, 75% of the outstanding balance of the Draw Term Loan and 25% of the outstanding balance of the Draw Term Loan, respectively.  Based on the current LIBOR margin of 1.750%, the Company’s current interest rates are: 6.445% on the outstanding balance of the Term Loan; 6.625% on 75% of the outstanding balance of the Draw Term Loan; and 7.250% on 25% of the outstanding balance of the Draw Term Loan.
	The hedges have been effective as defined under applicable accounting rules.  Therefore, changes in fair value of the interest rate hedges are reflected in comprehensive income (loss).  The Company will be exposed to credit losses in the event of non-performance by the counterparty to the hedges.   The Company’s mark to market of its interest rate hedges, at June 30, 2014 and December 31, 2013, resulted in liabilities of $1.1 million and $1.5 million, respectively, which are included in accrued expenses ($0.8 million and $0.9 million, respectively) and other liabilities ($0.3 million and $0.6 million, respectively) on the Company’s Condensed Consolidated Balance Sheets.  The Company paid $0.2 million  and $0.5 million in quarterly settlement payments pursuant to its hedges during the three- and six-month periods ended June 30, 2014, respectively, compared to payments of $0.3 million and $0.6 million in the comparable prior year three- and six-month periods, respectively.  These payments were included in interest expense in the Condensed Consolidated Statements of Operations.
	A summary of outstanding debt at the dates indicated is as follows (in thousands):
		June 30,		December 31,
		2014		2013
	Term Loan	$	11,667	$	13,334
	Draw Term Loan	7,500		8,333
	Revolving Facility (1)	—		—
	Subtotal	19,167		21,667
	Less current installments	5,000		5,000
	Debt, excluding current installments	$	14,167	$	16,667
	(1) The Company had letters of credit totaling $0.7 million issued on the Revolving Facility at both June 30, 2014 and December 31, 2013.
	As the Company’s debt bears interest at floating rates, the Company estimates that the carrying values of its debt at June 30, 2014 and December 31, 2013 approximate fair value.

Income_Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2014
Income Taxes	'
Income Taxes	'
	9.Income Taxes
	The Company has estimated that its effective income tax rate for 2014 will be approximately 25.2%.  As in prior periods, the primary reason for the effective rate being below the federal statutory rate is due to statutory depletion, which is allowed for income tax purposes and is a permanent difference between net income for financial reporting purposes and taxable income.

Dividends

Dividends	6 Months Ended
	Jun. 30, 2014
Dividends	'
Dividends	'
	10.Dividends
	On June 20, 2014, the Company paid $0.7 million in cash dividends, based on a dividend of $0.125 (12.5 cents) per share on its common stock, to shareholders of record at the close of business on May 30, 2014. On March 20, 2014, the Company paid $0.7 million in cash dividends, based on a dividend of $0.125 (12.5 cents) per share on its common stock, to shareholders of record at the close of business on February 28, 2014.

Subsequent_Events

Subsequent Events	6 Months Ended
	Jun. 30, 2014
Subsequent Events	'
Subsequent Events	'
	11.Subsequent Events
	On July 23, 2014, the Company declared a regular quarterly cash dividend of $0.125 (12.5 cents) per share on the Company’s common stock.  This dividend is payable on September 19, 2014 to shareholders of record at the close of business on August 29, 2014.
	On July 25, 2014, the Company and Timothy W. Byrne, the President and Chief Executive Officer of the Company, entered into a new Employment Agreement with terms similar to his existing Employment Agreement, to be effective as of January 1, 2015 (the “New Employment Agreement”). At that time, the New Employment Agreement will replace Mr. Byrne’s existing Employment Agreement, dated as of January 1, 2009.

Accounting_Policies_Policies

Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2014

Accounting Policies

'

Revenue Recognition

'

Revenue Recognition.  The Company recognizes revenue for its Lime and Limestone Operations in accordance with the terms of its purchase orders, contracts or purchase agreements, which are generally upon shipment, and when payment is considered probable. Revenues include external freight billed to customers with related costs in cost of revenues.  The Company’s returns and allowances are minimal.  External freight billed to customers included in 2014 and 2013 revenues was $6.8 million and $6.6 million for the three-month periods, and $13.4 million and $12.7 for the six-month periods, respectively, which approximates the amount of external freight included in cost of revenues.  Sales taxes billed to customers are not included in revenues.  For its Natural Gas Interests, the Company recognizes revenue in the month of production and delivery.

Successful-Efforts Method Used for Natural Gas Interests

'

Successful-Efforts Method Used for Natural Gas Interests.  The Company uses the successful-efforts method to account for oil and gas exploration and development expenditures.  Under this method, drilling, completion and workover costs for successful exploratory wells and all development well costs are capitalized and depleted using the units-of-production method.  Costs to drill exploratory wells that do not find proved reserves are expensed.

Fair Values of Financial Instruments

'

Fair Values of Financial Instruments.  Fair value is defined as “the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.”  The Company uses a three-tier fair value hierarchy, which classifies the inputs used in measuring fair values, in determining the fair value of its financial assets and liabilities.  These tiers include:  Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.  There were no changes in the methods and assumptions used in measuring fair value during the period, which include, as of the valuation date, LIBOR rates over the term of the outstanding debt.  The Company’s financial  liabilities measured at fair value on a recurring basis at June 30, 2014 and December 31, 2013 are summarized below (in thousands):

Significant Other

Observable Inputs (Level 2)

June 30,

December 31,

June 30,

December 31,

Valuation

2014

2013

2014

2013

Technique

Interest rate swap liabilities

$

(1,087

)

$

(1,533

)

$

(1,087

)

$

(1,533

)

Cash flows approach

Comprehensive Income (Loss)

'

Comprehensive Income (Loss).  Accounting principles generally require that recognized revenue, expenses, gains and losses be included in net income.  Certain changes in assets and liabilities, such as mark-to-market gains or losses of interest rate hedges, are reported as a separate component of the equity section of the balance sheet.  Such items, along with net income, are components of comprehensive income (loss).

New Accounting Pronouncement

'

New Accounting Pronouncement.  In May 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (“ASU 2014-09”), which stipulates that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services.  To achieve this core principle, an entity should apply the following steps: (1) identify the contract(s) with a customer; (2) identify the performance obligations in the contract(s); (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract(s); and (5) recognize revenue when (or as) the entity satisfies a performance obligation.  ASU 2014-09 will be effective for the Company beginning January 1, 2017, with early adoption not permitted.  The Company is currently evaluating the impact of the adoption of ASU 2014-09 on the Company’s Consolidated Financial Statements.

Accounting_Policies_Tables

Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2014
Accounting Policies	'
Schedule of the entity's financial liabilities measured at fair value on a recurring basis	'
	The Company’s financial  liabilities measured at fair value on a recurring basis at June 30, 2014 and December 31, 2013 are summarized below (in thousands):
								Significant Other
								Observable Inputs (Level 2)
		June 30,			December 31,			June 30,			December 31,			Valuation
		2014			2013			2014			2013			Technique
	Interest rate swap liabilities	$	(1,087	)	$	(1,533	)	$	(1,087	)	$	(1,533	)	Cash flows approach

Business_Segments_Tables

Business Segments (Tables)	6 Months Ended
	Jun. 30, 2014
Business Segments	'
Schedule of operating results and certain other financial data for the business segments	'
	The following table sets forth operating results and certain other financial data for the Company’s two business segments (in thousands):
		Three Months Ended			Six Months Ended
		June 30,			June 30,
		2014		2013	2014		2013
	Revenues
	Lime and limestone operations	$	37,320	33,684	$	72,371	63,839
	Natural gas interests	1,356		1,488	2,996		2,918
	Total revenues	$	38,676	35,172	$	75,367	66,757
	Depreciation, depletion and amortization
	Lime and limestone operations	$	3,447	3,334	$	6,779	6,714
	Natural gas interests	220		265	444		538
	Total depreciation, depletion and amortization	$	3,667	3,599	$	7,223	7,252
	Gross profit
	Lime and limestone operations	$	9,704	8,363	$	17,366	14,030
	Natural gas interests	719		601	1,649		1,225
	Total gross profit	$	10,423	8,964	$	19,015	15,255
	Capital expenditures
	Lime and limestone operations	$	2,615	2,464	$	5,531	3,979
	Natural gas interests	12		29	16		33
	Total capital expenditures	$	2,627	2,493	$	5,547	4,012

Income_Per_Share_of_Common_Sto1

Income Per Share of Common Stock (Tables)	6 Months Ended
	Jun. 30, 2014
Income Per Share of Common Stock	'
Schedule of computation of basic and diluted income per common share	'
	The following table sets forth the computation of basic and diluted income per common share (in thousands, except per share amounts):
		Three Months Ended			Six Months Ended
		June 30,			June 30,
		2014		2013	2014		2013
	Net income for basic and diluted income per common share	$	5,718	4,626	$	10,210	7,382
	Weighted-average shares for basic income per share	5,578		5,560	5,577		5,559
	Effect of dilutive securities:
	Employee and director stock options (1)	11		9	11		9
	Adjusted weighted-average shares and assumed exercises for diluted income per share	5,589		5,569	5,588		5,568
	Basic net income per common share	$	1.03	0.83	$	1.83	1.33
	Diluted net income per common share	$	1.02	0.83	$	1.83	1.33
	(1)  Excludes 15.0 and 9.9 stock options for the 2014 and 2013 periods, respectively, as anti-dilutive because the exercise price exceeded the average per share market price for the periods presented.

Accumulated_Other_Comprehensiv1

Accumulated Other Comprehensive Loss (Tables)	6 Months Ended
	Jun. 30, 2014
Accumulated Other Comprehensive Loss	'
Schedule of components of comprehensive income	'
	The following table presents the components of comprehensive income (in thousands):
		Three Months Ended					Six Months Ended
		June 30,					June 30,
		2014			2013		2014			2013
	Net income	$	5,718		4,626		$	10,210		7,382
	Reclassification to interest expense	237			292		485			586
	Deferred income tax expense	(79		)	(122	)	(163		)	(229	)
	Mark to market of interest rate hedges	(19		)	43		(37		)	43
	Comprehensive income	$	5,857		4,839		$	10,495		7,782
Schedule of accumulated other comprehensive loss	'
	Accumulated other comprehensive loss consisted of the following (in thousands):
		June 30,			December 31,
		2014			2013
	Mark to market of interest rate hedges, net of tax benefit	$	(692	)	$	(977	)
	Minimum pension liability adjustments, net of tax benefit	(521		)	(521		)
	Accumulated other comprehensive loss	$	(1,213	)	$	(1,498	)

Inventories_Tables

Inventories (Tables)	6 Months Ended
	Jun. 30, 2014
Inventories	'
Schedule of inventories	'
	Inventories consisted of the following (in thousands):
		June 30,		December 31,
		2014		2013
	Lime and limestone inventories:
	Raw materials	$	4,081	$	6,203
	Finished goods	1,973		2,284
		6,054		8,487
	Service parts inventories	5,485		5,201
		$	11,539	$	13,688

Banking_Facilities_and_Debt_Ta

Banking Facilities and Debt (Tables)	6 Months Ended
	Jun. 30, 2014
Banking Facilities and Debt	'
Summary of outstanding debt	'
	A summary of outstanding debt at the dates indicated is as follows (in thousands):
		June 30,		December 31,
		2014		2013
	Term Loan	$	11,667	$	13,334
	Draw Term Loan	7,500		8,333
	Revolving Facility (1)	—		—
	Subtotal	19,167		21,667
	Less current installments	5,000		5,000
	Debt, excluding current installments	$	14,167	$	16,667
	(1) The Company had letters of credit totaling $0.7 million issued on the Revolving Facility at both June 30, 2014 and December 31, 2013.

Organization_Details

Organization (Details)	6 Months Ended
	Jun. 30, 2014
	segment
Organization	'
Number of business segments	2
Subsidiaries [Member] | Lease Agreements [Member]	'
Organization	'
Percentage of non-operating working interest	20.00%
Overall average revenue interest (as a percent)	34.70%
Number of wells	33
Subsidiaries [Member] | Lease Agreements [Member] | Minimum [Member]	'
Organization	'
Percentage of royalty interest	15.40%
Subsidiaries [Member] | Lease Agreements [Member] | Maximum [Member]	'
Organization	'
Percentage of royalty interest	20.00%
Subsidiaries [Member] | Drillsite Agreement [Member]	'
Organization	'
Percentage of royalty interest	3.00%
Percentage of non-operating working interest	12.50%
Overall average revenue interest (as a percent)	12.40%
Number of wells	6
Area of land (in acres)	538

Accounting_Policies_Details

Accounting Policies (Details) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2014	Dec. 31, 2013
					Fair Value, Measurements, Recurring [Member]	Fair Value, Measurements, Recurring [Member]	Fair Value, Measurements, Recurring [Member]	Fair Value, Measurements, Recurring [Member]
					Estimate of Fair Value Measurement [Member]	Estimate of Fair Value Measurement [Member]	Fair Value, Inputs, Level 2 [Member]	Fair Value, Inputs, Level 2 [Member]
					Income Approach Valuation Technique [Member]	Income Approach Valuation Technique [Member]	Income Approach Valuation Technique [Member]	Income Approach Valuation Technique [Member]
Revenue Recognition	'	'	'	'	'	'	'	'
External freight billed to customers included in revenue	$6,800,000	$6,600,000	$13,400,000	$12,700,000	'	'	'	'
Fair Values of Financial Instruments	'	'	'	'	'	'	'	'
Interest rate swap liabilities	'	'	'	'	($1,087,000)	($1,533,000)	($1,087,000)	($1,533,000)

Business_Segments_Details

Business Segments (Details) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
			segment
Business Segments	'	'	'	'
Number of business segments	'	'	2	'
Business segments	'	'	'	'
Revenues	$38,676	$35,172	$75,367	$66,757
Depreciation, depletion and amortization	3,667	3,599	7,223	7,252
Gross profit	10,423	8,964	19,015	15,255
Capital expenditures	2,627	2,493	5,547	4,012
Lime and Limestone Operations Segment [Member]	'	'	'	'
Business segments	'	'	'	'
Revenues	37,320	33,684	72,371	63,839
Depreciation, depletion and amortization	3,447	3,334	6,779	6,714
Gross profit	9,704	8,363	17,366	14,030
Capital expenditures	2,615	2,464	5,531	3,979
Natural Gas Interests Segment [Member]	'	'	'	'
Business segments	'	'	'	'
Revenues	1,356	1,488	2,996	2,918
Depreciation, depletion and amortization	220	265	444	538
Gross profit	719	601	1,649	1,225
Capital expenditures	$12	$29	$16	$33

Income_Per_Share_of_Common_Sto2

Income Per Share of Common Stock (Details) (USD $)	3 Months Ended		6 Months Ended
In Thousands, except Share data, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Income Per Share of Common Stock	'	'	'	'
Net income for basic and diluted income per common share	$5,718	$4,626	$10,210	$7,382
Weighted-average shares for basic income per share	5,578,000	5,560,000	5,577,000	5,559,000
Effect of dilutive securities:	'	'	'	'
Employee and director stock options (in shares)	11,000	9,000	11,000	9,000
Adjusted weighted-average shares and assumed exercises for diluted income per share	5,589,000	5,569,000	5,588,000	5,568,000
Basic net income per common share (in dollars per share)	$1.03	$0.83	$1.83	$1.33
Diluted net income per common share (in dollars per share)	$1.02	$0.83	$1.83	$1.33
Employee and Nonemployee Stock Option [Member]	'	'	'	'
Anti-dilutive securities	'	'	'	'
Anti-dilutive shares of common stock excluded from the calculation of dilutive securities	15,000	9,900	15,000	9,900

Accumulated_Other_Comprehensiv2

Accumulated Other Comprehensive Loss (Details) (USD $)	3 Months Ended		6 Months Ended
In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Components of comprehensive income	'	'	'	'	'
Net income	$5,718	$4,626	$10,210	$7,382	'
Reclassification to interest expense	237	292	485	586	'
Deferred income tax expense	-79	-122	-163	-229	'
Mark to market of interest rate hedges	-19	43	-37	43	'
Comprehensive income	5,857	4,839	10,495	7,782	'
Accumulated other comprehensive loss	'	'	'	'	'
Mark to market of interest rate hedges, net of tax benefit	-692	'	-692	'	-977
Minimum pension liability adjustments, net of tax benefit	-521	'	-521	'	-521
Accumulated other comprehensive loss	($1,213)	'	($1,213)	'	($1,498)

Inventories_Details

Inventories (Details) (USD $)	Jun. 30, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Lime and limestone inventories:	'	'
Raw materials	$4,081	$6,203
Finished goods	1,973	2,284
Total	6,054	8,487
Service parts inventories	5,485	5,201
Total inventories	$11,539	$13,688

Banking_Facilities_and_Debt_De

Banking Facilities and Debt (Details) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Summary of outstanding debt	'	'	'	'	'
Debt	$19,167,000	'	$19,167,000	'	$21,667,000
Less current installments	5,000,000	'	5,000,000	'	5,000,000
Debt, excluding current installments	14,167,000	'	14,167,000	'	16,667,000
Interest Rate Swap [Member]	'	'	'	'	'
Interest rate hedges	'	'	'	'	'
Interest rate swap liabilities	1,100,000	'	1,100,000	'	1,500,000
Interest rate swap liabilities included in accrued expenses	800,000	'	800,000	'	900,000
Interest rate swap liabilities included in other liabilities	300,000	'	300,000	'	600,000
Quarterly settlement payment pursuant to hedges	200,000	300,000	500,000	600,000	'
London Interbank Offered Rate (LIBOR) [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Interest rate basis	'	'	'LIBOR	'	'
Prime Rate [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Interest rate basis	'	'	'Lender's Prime Rate	'	'
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Interest rate margin (as a percent)	'	'	1.75%	'	'
Minimum [Member] | Prime Rate [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Interest rate margin (as a percent)	'	'	0.00%	'	'
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Interest rate margin (as a percent)	'	'	2.75%	'	'
Maximum [Member] | Prime Rate [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Interest rate margin (as a percent)	'	'	1.00%	'	'
Term Loan [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Term	'	'	'10 years	'	'
Face amount of term loan	40,000,000	'	40,000,000	'	'
Quarterly principal payments	'	'	800,000	'	'
Final principal payment	'	'	10,000,000	'	'
Summary of outstanding debt	'	'	'	'	'
Debt	11,667,000	'	11,667,000	'	13,334,000
Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | Interest Rate Swap [Member]	'	'	'	'	'
Interest rate hedges	'	'	'	'	'
LIBOR (as a percent)	'	'	4.70%	'	'
Current interest rate (as a percent)	6.45%	'	6.45%	'	'
Draw Term Loan [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Term	'	'	'10 years	'	'
Face amount of term loan	20,000,000	'	20,000,000	'	'
Quarterly principal payments	'	'	400,000	'	'
Final principal payment	'	'	6,700,000	'	'
Summary of outstanding debt	'	'	'	'	'
Debt	7,500,000	'	7,500,000	'	8,333,000
Seventy Five Percent of Outstanding Balance of Draw Term Loan [Member] | Interest Rate Swap [Member]	'	'	'	'	'
Interest rate hedges	'	'	'	'	'
Percentage of outstanding balance of debt hedged	75.00%	'	75.00%	'	'
Seventy Five Percent of Outstanding Balance of Draw Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | Interest Rate Swap [Member]	'	'	'	'	'
Interest rate hedges	'	'	'	'	'
LIBOR (as a percent)	'	'	4.88%	'	'
Current interest rate (as a percent)	6.63%	'	6.63%	'	'
Twenty Five Percent of Outstanding Balance of Draw Term Loan [Member] | Interest Rate Swap [Member]	'	'	'	'	'
Interest rate hedges	'	'	'	'	'
Percentage of outstanding balance of debt hedged	25.00%	'	25.00%	'	'
Twenty Five Percent of Outstanding Balance of Draw Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | Interest Rate Swap [Member]	'	'	'	'	'
Interest rate hedges	'	'	'	'	'
LIBOR (as a percent)	'	'	5.50%	'	'
Current interest rate (as a percent)	7.25%	'	7.25%	'	'
Revolving Credit Facility [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Maximum borrowing capacity	30,000,000	'	30,000,000	'	'
Letters of credit outstanding	$700,000	'	$700,000	'	$700,000
Revolving Credit Facility [Member] | Minimum [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Commitment fee (as a percent)	'	'	0.25%	'	'
Revolving Credit Facility [Member] | Maximum [Member]	'	'	'	'	'
Banking facilities and other debt	'	'	'	'	'
Commitment fee (as a percent)	'	'	0.40%	'	'

Income_Taxes_Details

Income Taxes (Details)	6 Months Ended
	Jun. 30, 2014
Income Taxes	'
Effective income tax rate (as a percent)	25.20%

Dividends_Details

Dividends (Details) (USD $)	0 Months Ended		3 Months Ended	6 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Jun. 20, 2014	Mar. 20, 2014	Mar. 31, 2014	Jun. 30, 2014
Dividends	'	'	'	'
Cash dividends paid	$700	$700	'	$1,394
Cash dividend (in dollars per share)	$0.13	$0.13	'	'
Dividends payable date of record	'	'	28-Feb-14	30-May-14

Subsequent_Events_Details

Subsequent Events (Details) (USD $)	0 Months Ended		3 Months Ended	6 Months Ended	0 Months Ended	6 Months Ended
	Jun. 20, 2014	Mar. 20, 2014	Mar. 31, 2014	Jun. 30, 2014	Jul. 23, 2014	Jun. 30, 2014
					Subsequent Event [Member]	Subsequent Event [Member]
Subsequent Events	'	'	'	'	'	'
Quarterly cash dividend (in dollars per share)	$0.13	$0.13	'	'	$0.13	'
Dividends payable date declared	'	'	'	'	'	23-Jul-14
Dividends payable date of record	'	'	28-Feb-14	30-May-14	'	29-Aug-14
Dividends payable date to be paid	'	'	'	'	'	19-Sep-14