[PART I – FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20%E2%80%93%20FINANCIAL%20INFORMATION) [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) Financial statements for Q2 2021 show a significant turnaround with revenues up 17.5% to $1.53 billion and net income of $177.1 million, contrasting with a prior-year net loss [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet shows a slight increase in total assets to $14.11 billion and a 17.8% rise in cash and equivalents as of June 30, 2021 Balance Sheet Highlights (in thousands of U.S. dollars) | Account | June 30, 2021 | December 31, 2020 | Change | | :--- | :--- | :--- | :--- | | **Total Assets** | **$14,106,207** | **$13,992,364** | **+0.8%** | | Cash and equivalents | $727,395 | $617,294 | +17.8% | | Goodwill | $5,818,749 | $5,726,650 | +1.6% | | **Total Liabilities** | **$7,237,607** | **$7,128,926** | **+1.5%** | | Long-term debt and notes payable | $4,762,857 | $4,708,678 | +1.1% | | **Total Equity** | **$6,868,600** | **$6,863,438** | **+0.1%** | [Condensed Consolidated Statements of Net Income (Loss)](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Net%20Income%20%28Loss%29) The income statement reflects a 17.5% Q2 2021 revenue increase to $1.53 billion and a swing to $177.0 million net income, largely due to the absence of a prior-year impairment charge Income Statement Summary (in thousands of U.S. dollars, except per share data) | Metric | Q2 2021 | Q2 2020 | YoY Change | Six Months 2021 | Six Months 2020 | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Revenues** | **$1,533,931** | **$1,305,782** | **+17.5%** | **$2,929,874** | **$2,658,187** | **+10.2%** | | Operating Income (Loss) | $266,788 | $(232,357) | N/A | $505,160 | $(15,394) | N/A | | **Net Income (Loss) attributable to Waste Connections** | **$177,047** | **$(227,072)** | **N/A** | **$337,356** | **$(84,037)** | **N/A** | | Diluted EPS | $0.68 | $(0.86) | N/A | $1.29 | $(0.32) | N/A | | Cash Dividends per Share | $0.205 | $0.185 | +10.8% | $0.410 | $0.370 | +10.8% | - The significant swing from a net loss in 2020 to net income in 2021 was primarily due to a **$437.3 million impairment charge** taken in Q2 2020 that did not recur in 2021[11](index=11&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow increased by 12.7% to $848.5 million for the six months ended June 30, 2021, with significant share repurchases and dividend payments Cash Flow Summary for Six Months Ended June 30 (in thousands of U.S. dollars) | Cash Flow Category | 2021 | 2020 | Change | | :--- | :--- | :--- | :--- | | **Net cash provided by operating activities** | **$848,478** | **$753,185** | **+12.7%** | | Net cash used in investing activities | $(332,794) | $(359,956) | -7.5% | | Net cash provided by (used in) financing activities | $(393,184) | $67,515 | N/A | | Net increase in cash | $123,373 | $460,203 | -73.2% | | Cash at end of period | $837,762 | $883,424 | -5.2% | - Key financing activities in the first six months of 2021 included **$305.6 million for share repurchases** and **$107.3 million for dividend payments**[20](index=20&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail a significant Q2 2020 impairment charge, segment realignment, and revenue breakdown by service line, including strong recycling growth and share repurchases - In Q2 2020, the company recorded a significant **impairment charge of $417.4 million** related to property and equipment at four Exploration & Production (E&P) landfills, triggered by a decline in oil prices and E&P activity, exacerbated by the COVID-19 pandemic[41](index=41&type=chunk)[42](index=42&type=chunk) Revenue by Service Line - Q2 2021 vs Q2 2020 (in thousands of U.S. dollars) | Service Line | Q2 2021 | Q2 2020 | YoY Change | | :--- | :--- | :--- | :--- | | Total collection | $1,098,319 | $948,072 | +15.9% | | Landfill | $327,124 | $280,619 | +16.6% | | Transfer | $217,133 | $189,085 | +14.8% | | Recycling | $41,539 | $20,217 | +105.5% | | E&P | $34,607 | $40,152 | -13.8% | - As of July 2020, the company realigned its segments, combining the former E&P segment into the Southern segment, with prior period segment results reclassified to conform to this new structure[75](index=75&type=chunk) - The company repurchased **2,745,990 common shares** for **$305.6 million** in the first six months of 2021 under its Normal Course Issuer Bid (NCIB)[115](index=115&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=53&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes strong Q2 2021 performance to broad recovery, driving 17.5% revenue growth, improved operating margins, and a strong liquidity position with a $414.2 million working capital surplus [Results of Operations](index=58&type=section&id=Results%20of%20Operations) Q2 2021 revenue growth was primarily driven by solid waste volume increases and core price adjustments, leading to improved operating margins and a significant swing to operating income Q2 2021 Revenue Growth Drivers (in millions of U.S. dollars) | Driver | Impact on Revenue | | :--- | :--- | | Acquisitions | +$47.6 | | Core Price Increases | +$58.3 | | Surcharges | +$2.6 | | Solid Waste Volume Increases | +$80.2 | | E&P Revenue Decrease | -$4.4 | | Recyclable Commodities Increase | +$18.0 | | Foreign Exchange Impact | +$20.5 | | Divestitures | -$3.5 | | **Total Increase** | **~$228.1** | - Cost of Operations as a percentage of revenue decreased to **58.8%** in Q2 2021 from **60.2%** in Q2 2020, primarily due to leveraging revenue growth and a decrease in supplemental bonuses for front-line employees related to COVID-19 that were paid in the prior year[173](index=173&type=chunk) - Operating income swung to **$266.8 million** in Q2 2021 from an **operating loss of $232.4 million** in Q2 2020, with this **$499.2 million increase** primarily driven by the non-recurrence of a **$417.4 million impairment charge** at E&P operations in the prior-year period[198](index=198&type=chunk)[201](index=201&type=chunk) [Segment Results](index=73&type=section&id=Segment%20Results) All geographic segments demonstrated strong Q2 2021 revenue growth, with Canada leading at 36.6%, though the Southern segment's growth was tempered by E&P declines Segment Revenue & EBITDA - Q2 2021 (in thousands of U.S. dollars) | Segment | Revenue | Revenue % of Total | Segment EBITDA | EBITDA Margin | | :--- | :--- | :--- | :--- | :--- | | Eastern | $369,617 | 24.1% | $99,382 | 26.9% | | Southern | $363,336 | 23.7% | $98,928 | 27.2% | | Western | $313,789 | 20.4% | $99,402 | 31.7% | | Central | $266,845 | 17.4% | $94,886 | 35.6% | | Canada | $220,344 | 14.4% | $88,641 | 40.2% | - All geographic segments showed strong YoY revenue growth in Q2 2021, with the Canada segment leading at **36.6% growth**, significantly aided by favorable foreign currency exchange rates and higher renewable energy credit prices[236](index=236&type=chunk) - The Southern segment's **9.0% revenue growth** was tempered by a **$5.2 million decline** in E&P operations revenue, highlighting the continued weakness in that sub-sector compared to the broader solid waste business recovery[229](index=229&type=chunk) [Liquidity and Capital Resources](index=89&type=section&id=Liquidity%20and%20Capital%20Resources) Net cash from operating activities increased by $95.3 million to $848.5 million, supporting planned $675 million capital expenditures and a strong $414.2 million working capital surplus - Net cash from operating activities increased by **$95.3 million** to **$848.5 million** for the first six months of 2021 compared to the same period in 2020, driven by higher earnings and favorable changes in deferred income taxes[260](index=260&type=chunk)[261](index=261&type=chunk) - The company plans for total capital expenditures of approximately **$675 million** in 2021, to be funded by cash on hand, internally generated funds, and borrowings[274](index=274&type=chunk) - As of June 30, 2021, the company had a **working capital surplus of $414.2 million**, including **$727.4 million in cash and equivalents**[264](index=264&type=chunk) [Non-GAAP Financial Measures](index=100&type=section&id=NON-GAAP%20FINANCIAL%20MEASURES) This section provides reconciliations for non-GAAP financial measures, including Adjusted EBITDA and Adjusted Free Cash Flow, demonstrating operational performance and liquidity Adjusted EBITDA Reconciliation (in thousands of U.S. dollars) | Metric | Q2 2021 | Q2 2020 | Six Months 2021 | Six Months 2020 | | :--- | :--- | :--- | :--- | :--- | | Net Income (Loss) attributable to Waste Connections | $177,047 | $(227,072) | $337,356 | $(84,037) | | Adjustments (Taxes, Interest, D&A, Impairments, etc.) | $307,858 | $621,394 | $580,723 | $886,882 | | **Adjusted EBITDA** | **$484,905** | **$394,322** | **$918,079** | **$802,845** | Adjusted Free Cash Flow (in thousands of U.S. dollars) | Period | Six Months 2021 | Six Months 2020 | | :--- | :--- | :--- | | Net cash provided by operating activities | $848,478 | $753,185 | | Less: Capital expenditures | $(271,392) | $(268,711) | | Other Adjustments | $8,749 | $9,661 | | **Adjusted free cash flow** | **$585,835** | **$494,569** | [Quantitative and Qualitative Disclosures About Market Risk](index=104&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces market risks from interest rates, commodity prices, and foreign exchange, with specific sensitivities outlined for unhedged debt, fuel costs, and recycled commodity prices - A one percentage point increase in interest rates on the company's unhedged variable-rate debt of **$305.0 million** would decrease annual pre-tax income by approximately **$3.0 million**[305](index=305&type=chunk) - A **$0.10 per gallon increase** in the price of fuel for the remaining six months of 2021 would decrease pre-tax income by approximately **$2.0 million**[307](index=307&type=chunk) - A **10% decrease** in average recycled commodity prices would have reduced revenues by **$7.2 million** for the six months ended June 30, 2021[308](index=308&type=chunk) [Controls and Procedures](index=107&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of June 30, 2021, with no material changes to internal control over financial reporting during the quarter - The President and Chief Executive Officer and the Executive Vice President and Chief Financial Officer concluded that as of June 30, 2021, the company's disclosure controls and procedures were effective at the reasonable assurance level[311](index=311&type=chunk) [PART II – OTHER INFORMATION](index=108&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) [Legal Proceedings](index=108&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings, including environmental matters and litigation related to landfill permits, as detailed in Note 18 of the financial statements - Information regarding the company's legal proceedings is incorporated by reference from Note 18 to the Condensed Consolidated Financial Statements[314](index=314&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=108&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q2 2021, the company repurchased 2,079,806 shares for approximately $239.7 million under its NCIB, with 10,398,783 shares remaining available for repurchase Share Repurchases for Q2 2021 | Period | Total Shares Purchased | Average Price Paid Per Share | | :--- | :--- | :--- | | April 2021 | 1,879,806 | $114.86 | | May 2021 | 200,000 | $118.62 | | June 2021 | 0 | N/A | | **Total Q2** | **2,079,806** | **$115.22** | - The Board of Directors approved the annual renewal of the NCIB on July 27, 2021, expected to be effective from August 10, 2021, to August 9, 2022[315](index=315&type=chunk) [Exhibits](index=109&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including corporate governance documents, credit agreements, and required CEO and CFO certifications

Waste Connections, Inc. (NYSE:WCN) Q1 2021 Earnings Conference Call April 29, 2021 8:30 AM ET Company Participants Worthing Jackman – President and Chief Executive Officer Mary Anne Whitney – Chief Financial Officer Conference Call Participants Walter Spracklin – RBC Capital Markets Kevin Chiang – CIBC Jeff Goldstein – Morgan Stanley Chris Murray – ATB Capital Markets Tyler Brown – Raymond James Adam Bubes – Goldman Sachs Michael Hoffman – Stifel Ryan Gunning – Jefferies Stephanie Yee – JPMorgan Noah Kaye – ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2021 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-34370 WASTE CONNECTIONS, INC. (Exact name of registrant as specified in its charter) Ontario, Canada (State or o ...

```markdown PART I [ITEM 1. BUSINESS](index=3&type=section&id=ITEM%201.%20BUSINESS) Waste Connections, Inc. is the third-largest solid waste services company in North America, focusing on non-hazardous waste collection, transfer, and disposal, recycling, and E&P waste services in exclusive and secondary markets. The company emphasizes a decentralized operating strategy, internal and acquisition-based growth, and a strong commitment to human capital, safety, and sustainability. Its services include various waste streams, and it operates a significant network of landfills and transfer stations. - Waste Connections, Inc. is the **third-largest solid waste services company** in North America, providing non-hazardous waste collection, transfer, disposal, recycling, and E&P waste services[10](index=10&type=chunk) - The company's operating strategy targets secondary and rural markets to achieve **high market share** through exclusive contracts, vertical integration, or asset positioning, avoiding **highly competitive** large urban markets[13](index=13&type=chunk) - Growth strategy includes securing additional exclusive arrangements (franchise agreements, municipal contracts), generating internal growth through market penetration and price increases, and expanding through strategic acquisitions, particularly 'tuck-in' opportunities[25](index=25&type=chunk)[27](index=27&type=chunk)[28](index=28&type=chunk) Acquisitions Completed (2018-2020) | Year | Number of Acquisitions | Net Fair Value (Millions USD) | |:-----|:-----------------------|:-----------------------------| | 2020 | 21 | $481.6 | | 2019 | 21 | $837.7 | | 2018 | 20 | $1,032.0 | [Our Company](index=3&type=section&id=Our%20Company) [Our Operating Strategy](index=3&type=section&id=Our%20Operating%20Strategy) [Our Growth Strategy](index=5&type=section&id=Our%20Growth%20Strategy) [HUMAN CAPITAL](index=9&type=section&id=HUMAN%20CAPITAL) Waste Connections prioritizes its employees, aiming to be an employer of choice by fostering an inclusive, supportive environment guided by Servant Leadership principles. The company invested over $35 million in COVID-19 related employee support in 2020, including supplemental pay and expanded benefits. Safety is a core value, with a 'Drive to ZERO' goal, resulting in a 12% reduction in incident rates in 2020. The company also focuses on training, competitive pay/benefits, employee engagement, diversity, and robust recruiting efforts. - As of December **31**, 2020, Waste Connections had **18,933 active employees**, with **15,978** in the U.S. and **2,955** in Canada. **39%** were ethnic minorities, **16%** women, and **8%** from armed services[34](index=34&type=chunk) - In 2020, the company incurred over **$35 million** in incremental COVID-19-related costs, primarily for supplemental pay and expanded benefits for frontline employees[37](index=37&type=chunk) - Safety is a **primary operating value**, with a 'Drive to ZERO' goal. In 2020, the incident rate was reduced by approximately **12% reduction**, and over **60%** of operating locations achieved zero or reduced incidents[40](index=40&type=chunk)[41](index=41&type=chunk) - The company raised its minimum hourly wage target to **$15 per hour** in 2020, exceeding many local requirements[38](index=38&type=chunk) - Employee turnover improved by **11.2%** in 2020, with voluntary turnover down **18.0%** year-over-year, indicating increased employee engagement[50](index=50&type=chunk) [Our Workforce](index=9&type=section&id=Our%20Workforce) [COVID-19 Related Employee Support](index=9&type=section&id=COVID-19%20Related%20Employee%20Support) [Safety](index=11&type=section&id=Safety) [Culture/Servant Leadership](index=11&type=section&id=Culture%2FServant%20Leadership) [Training and Development](index=11&type=section&id=Training%20and%20Development) [Employee Pay and Benefits](index=13&type=section&id=Employee%20Pay%20and%20Benefits) [Employee Engagement](index=13&type=section&id=Employee%20Engagement) [Diversity and Inclusion](index=13&type=section&id=Diversity%20and%20Inclusion) [Employee Recruiting](index=13&type=section&id=Employee%20Recruiting) [Sustainability/ESG](index=15&type=section&id=Sustainability%2FESG) [WASTE SERVICES](index=15&type=section&id=WASTE%20SERVICES) Waste Connections offers comprehensive waste services including collection, landfill disposal, transfer, recycling, and E&P waste treatment. Collection services are provided under various arrangements, often exclusive. The company owns or operates 66 MSW landfills and 12 E&P waste landfills, with an average remaining life of 29-32 years. Recycling services are offered for various materials, with a focus on adjusting fees to reflect processing costs due to commodity price volatility. E&P waste services are driven by oil and natural gas exploration and production activity. - Collection services are provided to residential, commercial, municipal, industrial, and E&P customers under governmental certificates, exclusive franchise agreements, municipal contracts, residential subscriptions, or service agreements[59](index=59&type=chunk)[60](index=60&type=chunk) - As of December **31**, 2020, the company owned or operated **66 MSW landfills**, **12 E&P waste landfills**, **13 non-MSW landfills**, and **one development stage landfill**[61](index=61&type=chunk) - The estimated average remaining landfill life for owned and operated landfills is approximately **29 years**, extending to **32 years** when probable expansion capacity is considered[65](index=65&type=chunk)[66](index=66&type=chunk) Estimated Landfill Capacity (in thousands of tons) | Category | 2020 Permitted | 2020 Probable Expansion | 2020 Total | 2019 Permitted | 2019 Probable Expansion | 2019 Total | |:---|:---|:---|:---|:---|:---|:---| | Balance, beginning of year | 1,281,318 | 157,859 | 1,439,177 | 1,190,544 | 171,403 | 1,361,947 | | Acquired landfills | 16,200 | — | 16,200 | 58,780 | — | 58,780 | | Developed landfills | — | — | — | 14,625 | — | 14,625 | | Divested landfills | (1,891) | — | (1,891) | — | — | — | | Permits granted | 79,192 | (79,192) | — | 47,542 | (47,542) | — | | Airspace consumed | (44,346) | — | (44,346) | (47,394) | — | (47,394) | | Expansions initiated | — | 75,183 | 75,183 | — | — | — | | Changes in engineering estimates | 52,650 | 4,672 | 57,322 | 17,221 | 33,998 | 51,219 | | **Balance, end of year** | **1,383,123** | **158,522** | **1,541,645** | **1,281,318** | **157,859** | **1,439,177** | - Recycling services include materials like compost, paper, plastics, glass, and metals. The company is increasing fees for recycling collection and processing to better reflect costs due to commodity price volatility and contamination[71](index=71&type=chunk)[72](index=72&type=chunk) [Collection Services](index=15&type=section&id=Collection%20Services) [Landfill Disposal Services](index=15&type=section&id=Landfill%20Disposal%20Services) [Transfer Station Services](index=18&type=section&id=Transfer%20Station%20Services) [Recycling Services](index=19&type=section&id=Recycling%20Services) [E&P Waste Treatment, Recovery and Disposal Services](index=20&type=section&id=E%26P%20Waste%20Treatment%2C%20Recovery%20and%20Disposal%20Services) [COMPETITION](index=20&type=section&id=COMPETITION) The solid waste services industry in North America is highly competitive, with Waste Connections competing against large public companies, regional players, and municipal operators. Competition is based on price and service quality, and is affected by industry consolidation and increasing emphasis on recycling. The E&P waste sector also faces competition from regional and specialized companies. - The North American MSW services industry is **highly competitive**, with major competitors including Waste Management, Inc., Republic Services, Inc., and GFL Environmental, Inc., alongside numerous regional and local companies[75](index=75&type=chunk) - Competition for collection, transfer, and disposal volume is primarily based on price and service quality. Public sector operators may have financial advantages due to access to tax revenues and tax-exempt financing[75](index=75&type=chunk) - The industry has seen **significant consolidation**, which may limit future acquisition opportunities and increase competition for suitable candidates[79](index=79&type=chunk) [REGULATION](index=22&type=section&id=REGULATION) Waste Connections' operations are subject to extensive and evolving environmental, health, and safety laws in the U.S. and Canada, including regulations on waste management (RCRA), hazardous substances (CERCLA), water discharge (Clean Water Act, SDWA), air emissions (Clean Air Act), and occupational safety (OSH Act). Compliance is costly and complex, with potential for strict liability and penalties. Emerging regulations, such as those for PFAS and climate change, could further increase costs and operational restrictions. State and local regulations, hydraulic fracturing rules, NORM, and EPR also impact the business. - Operations are subject to **extensive federal, state, provincial, and local environmental, health, and safety laws and regulations** in the U.S. and Canada[81](index=81&type=chunk) - Compliance with environmental regulations requires **significant capital and operating expenditures**, and violations can lead to permit denials, corrective action orders, and penalties[84](index=84&type=chunk) - Key U.S. regulations include RCRA (hazardous and non-hazardous waste, Subtitle D for landfills), CERCLA (Superfund liability for hazardous substances), Clean Water Act (discharge permits, stormwater), SDWA (E&P injection wells), and Clean Air Act (air pollutant emissions, landfill gases)[90](index=90&type=chunk)[95](index=95&type=chunk)[101](index=101&type=chunk)[104](index=104&type=chunk)[107](index=107&type=chunk) - Canadian regulations are primarily provincial, covering waste management, contaminated sites, water quality, and air emissions, with federal oversight for interprovincial/international waste movement[96](index=96&type=chunk)[100](index=100&type=chunk)[104](index=104&type=chunk)[112](index=112&type=chunk) - Emerging regulatory concerns include **Per- and Polyfluoroalkyl Substances (PFAS)**, which could **increase post-closure maintenance costs** and require **enhanced treatment of leachate and landfill gas**[130](index=130&type=chunk)[137](index=137&type=chunk) - **Climate change laws and regulations**, including **carbon pricing and GHG emission limits**, are **increasing operating costs** for the company and its customers, **potentially impacting E&P waste volumes**[122](index=122&type=chunk)[124](index=124&type=chunk)[125](index=125&type=chunk) [Introduction](index=22&type=section&id=Introduction) [Laws and Regulations](index=24&type=section&id=Laws%20and%20Regulations) [RISK MANAGEMENT, INSURANCE AND FINANCIAL SURETY BONDS](index=44&type=section&id=RISK%20MANAGEMENT%2C%20INSURANCE%20AND%20FINANCIAL%20SURETY%20BONDS) Waste Connections maintains environmental and other risk management programs, including worker safety. The company has an insurance program covering various liabilities (automobile, general, environmental, cyber, etc.) with per-incident deductibles or self-insured retentions ranging from $350,000 to $20 million. Financial surety bonds, totaling $727.4 million for asset closure and $482.3 million for contract performance in 2020, are used for corporate guarantees and environmental compliance. - The company maintains **environmental and other risk management programs**, including **worker safety**, and believes its facilities **comply with applicable regulations**[145](index=145&type=chunk) - Insurance coverage includes automobile, general, employer's, environmental, cyber, employment practices, and D&O liability, with per-incident deductibles or self-insured retentions from **$350,000 to $20 million**[146](index=146&type=chunk)[149](index=149&type=chunk) Financial Surety Bonds (in millions USD) | Category | 2020 Amount | 2019 Amount | |:---|:---|:---| | Asset Closure and Retirement | **$727.4** | **$661.6** | | Contract Performance | **$482.3** | **$419.3** | [Risk Management](index=44&type=section&id=Risk%20Management) [Insurance](index=44&type=section&id=Insurance) [Financial Surety Bonds](index=46&type=section&id=Financial%20Surety%20Bonds) [SEASONALITY](index=46&type=section&id=SEASONALITY) Waste Connections' operating results are seasonal, with revenues typically lowest in Q1, higher in Q2/Q3, and lower in Q4. This is due to decreased construction and demolition activities and reduced E&P activity during winter months. Adverse winter weather also increases operating costs due to slower collection and higher disposal costs from increased waste weight. - Operating results vary seasonally, with revenues typically **lowest in Q1**, **higher in Q2/Q3**, and **lower in Q4**, reflecting **decreased construction and demolition activities** and **reduced E&P activity** in winter[153](index=153&type=chunk) - Expected fluctuation between highest and lowest quarters is approximately **10%**[153](index=153&type=chunk) - **Adverse winter weather increases labor and operational costs** due to **slower collection** and **higher disposal costs** from **increased waste weight**[153](index=153&type=chunk) [INFORMATION ABOUT OUR EXECUTIVE OFFICERS](index=48&type=section&id=INFORMATION%20ABOUT%20OUR%20EXECUTIVE%20OFFICERS) This section provides a list of Waste Connections' executive officers as of February 9, 2021, including their ages and positions. It also includes brief biographies highlighting their experience and tenure with the company or in the solid waste industry. Executive Officers as of February 9, 2021 | Name | Age | Positions | |:---|:---|:---| | Ronald J. Mittelstaedt | 57 | Executive Chairman | | Worthing F. Jackman | 56 | President and Chief Executive Officer | | Darrell W. Chambliss | 56 | Executive Vice President and Chief Operating Officer | | James M. Little | 59 | Executive Vice President – Engineering and Disposal | | Patrick J. Shea | 50 | Executive Vice President, General Counsel and Secretary | | Mary Anne Whitney | 57 | Executive Vice President and Chief Financial Officer | | Matthew S. Black | 48 | Senior Vice President and Chief Tax Officer | | Jason J. Craft | 45 | Senior Vice President – Operations | | David G. Eddie | 51 | Senior Vice President and Chief Accounting Officer | | David M. Hall | 63 | Senior Vice President – Sales and Marketing | | Eric O. Hansen | 55 | Senior Vice President – Chief Information Officer | | Robert M. Cloninger | 48 | Vice President, Deputy General Counsel and Assistant Secretary | | Keith P. Gordon | 57 | Vice President – Information Systems | | Shawn W. Mandel | 54 | Vice President – Safety and Risk Management | | Susan R. Netherton | 51 | Vice President – People, Training and Development | | Jason W. Pratt | 41 | Vice President – Corporate Controller | | Scott I. Schreiber | 64 | Vice President – Equipment and Operations Support | | Kurt R. Shaner | 55 | Vice President – Engineering and Sustainability | | Gregory Thibodeaux | 54 | Vice President – Maintenance and Fleet Management | | Colin G. Wittke | 58 | Vice President – Sales | | Richard K. Wojahn | 63 | Vice President – Business Development | [AVAILABLE INFORMATION](index=54&type=section&id=AVAILABLE%20INFORMATION) Waste Connections makes its SEC filings (10-K, 10-Q, 8-K) and amendments available free of charge on its corporate website (www.wasteconnections.com) as soon as practicable after filing. The SEC'

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2020 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-34370 WASTE CONNECTIONS, INC. (Exact name of registrant as specified in its charter) Ontario, Canada (State ...

Financial Data and Key Metrics Changes - Revenue for Q2 2020 was $1.306 billion, down $64 million or 4.7% year-over-year, with almost half of the decline attributed to lower E&P waste activity [21][25] - Adjusted EBITDA for Q2 was $394.3 million, about $21 million above preliminary expectations, with an adjusted EBITDA margin of 30.2%, down 90 basis points year-over-year [26][27] - Cash collections improved with a 10% reduction in Days Sales Outstanding (DSOs) year-to-date, and adjusted free cash flow for the first half of the year was $494.6 million, or 18.6% of revenue [13][28] Business Line Data and Key Metrics Changes - Solid waste price plus volume growth on a same-store basis in Q2 was negative 5.3%, with declines ranging from flat in West Coast markets to negative 11% to 13% in the most impacted Eastern and Canadian regions [21][22] - E&P waste revenue was reported at $35.5 million in Q2, down about 45% year-over-year, leading to a noncash impairment charge of $417 million for long-lived E&P waste assets [25][26] - Solid waste landfill average price per ton increased 5% year-over-year, although revenue was down about 5% on a same-store basis due to a 10% decline in total tons [24] Market Data and Key Metrics Changes - By the end of Q2, approximately 53% of solid waste commercial customers that had suspended or reduced service had reached out for resumption, up from 12% in early May [11] - Solid waste volumes improved sequentially by about 300 basis points in July compared to Q2, with July revenue down about 1.9% year-over-year [15][16] - The recovery in less impacted markets, such as Texas and Florida, showed no material change despite rising COVID-19 cases, with recovery rates around 65% to 70% [72] Company Strategy and Development Direction - The company remains focused on cost control and quality of revenue as volumes return, with a commitment to community support and employee welfare during the pandemic [12][13] - The company is on pace for another solid year of acquisition activity, having closed acquisitions totaling approximately $60 million in annualized revenue year-to-date [14] - The company anticipates a revenue outlook of $5.325 billion for 2020, down about 1% year-over-year, with adjusted EBITDA of $1.61 billion [17][18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's preparedness and execution during the pandemic, which positions it well for recovery [4][5] - The trajectory of recovery is considered unpredictable due to potential COVID-19 outbreaks and additional closure requirements, but management is encouraged by the demonstrated projectability of the business [17] - The company plans to increase capital expenditures to $550 million for the full year as business recovers [18] Other Important Information - The company has returned over $200 million to shareholders through share repurchases and dividends year-to-date, with an anticipated double-digit percentage increase in cash dividends in October [19] - The effective tax rate for Q2 was 41.1%, impacted by a $27.4 million tax item from 2019, with an underlying tax rate of approximately 21.5% [27] Q&A Session Summary Question: Pricing dynamics between Canada and the U.S. - Management indicated that pricing in Canada is expected to converge with U.S. pricing over time as they work through the book from previous transactions [36][37] Question: E&P revenue run rate and cost management. - Management noted that E&P margins are still positive despite declines, and the segment has been consolidated into the Southern region for efficiency [39] Question: Free cash flow guidance for the second half of the year. - Management explained that the lower free cash flow guidance is due to higher cash taxes and interest expenses in the second half, along with a conservative approach to long-term planning [42][43] Question: Recovery momentum and potential headwinds. - Management acknowledged that while recovery has plateaued, there is still potential for further upside as more impacted markets recover [48] Question: M&A activity and competitive landscape. - Management emphasized a disciplined approach to M&A, focusing on market selection and asset positioning, while noting potential increased competition in the market [50] Question: Employee welfare and costs during the pandemic. - Management highlighted the importance of servant leadership and support for frontline employees, including supplemental wages and community support initiatives [54][55] Question: Solid waste margin guidance for Q3 and Q4. - Management indicated an expected underlying solid waste margin expansion of around 70 basis points in Q3, despite COVID-related costs and acquisition impacts [56]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2020 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-34370 WASTE CONNECTIONS, INC. (Exact name of registrant as specified in its charter) Ontario, Canada (State or ot ...

Table of Contents ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-34370 WASTE CONNECTIONS, INC. UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2020 Or (Exact name of registrant as specified in its charter) Ontario, Canada (State or o ...

Waste Connections, Inc. (NYSE:WCN) Q4 2019 Earnings Conference Call February 13, 2020 8:30 AM ET Company Participants Worthing Jackman - President and CEO Mary Anne Whitney - CFO Conference Call Participants Brian Maguire - Goldman Sachs Tyler Brown - Raymond James Michael Hoffman - Stifel Noah Kaye - Oppenheimer Sean Eastman - KeyBanc Capital Markets Chris Murray - AltaCorp Capital Kyle White - Deutsche Bank Mark Neville - Scotiabank Operator Greetings and welcome to the Waste Connections Fourth Quarter 20 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File No. 1-34370 WASTE CONNECTIONS, INC. (Exact name of registrant as specified in its charter) Ontario, Ca ...