Fmc Corporation · NYSE:FMC
Fmc — Credit Suisse Basic Materials Conference 2008
20 slides from Fmc's conference presentation, May 7, 2008
Slide 1: Credit Suisse Basic Materials Conference
Exhibit 99.1 FMC Corporation Credit Suisse Basic Materials Conference Tuesday, May 6, 2008 Boston, MA William G. Walter Chairman, President and CEO
Slide 2: Disclaimer
Disclaimer Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 These slides and the accompanying presentation contain “forward-looking statements” that represent management’s best judgment as of the date hereof based on information currently available. Actual results of
Slide 3: FMC Corporation
FMC Corporation LTM ending March 31, 2008 ($ millions) FMC Revenue: $2,709.0 EBITDA: $542.3 Margin*: 20.0% Industrial Specialty Agricultural Chemicals Chemicals Products Revenue: $1,116.9 Revenue: $677.0 Revenue: $918.9 EBITDA: $179.2 EBITDA: $178.9 EBITDA: $242.7 Margin*: 16.0% Margin*: 26.4% Margi
Slide 4: Leading Market Positions
Leading Market Positions Product Group Position (1) Industrial Soda Ash #1 in N.A. Chemicals Peroxygens #1 in N.A. (2) Agricultural Pyrethroids #2 in N.A. Products Carbofuran #1 Globally Microcrystalline Cellulose #1 Globally Specialty Carrageenan #1 Globally Chemicals Alginates #2 Globally Lithium
Slide 5: Diversified Customers and End Markets
Diversified Customers and End Markets 2007 Consolidated Sales Bottle Other 12% Cyclical Non-Cyclical Glass 3% Chemicals 6% 19% 81% Food 8% Pulp & Paper 4% Glass/Fiberglass 4% Pharmaceuticals 11% Electronics 2% Other 3% Detergents 9% Chemicals 4% Agricultural 34% Greater than 80% of sales to non-cycl
Slide 6: Diversified and Integrated Cost Structure
Diversified and Integrated Cost Structure Low cost sourcing of raw materials • Backward integration: soda ash, lithium • Global sourcing of renewable resources: hardwood pulp, seaweed Low reliance on purchased raw materials • Total raw materials represented 28% of cost of sales in 2007 • No single r
Slide 7: Disciplined Approach to Unlocking Value
Disciplined Approach to Unlocking Value Realizing the inherent operating leverage within FMC • Sustained earnings growth >10% per year (1) • 2008 expected to be the fifth straight year of growth in Industrial Chemicals’ soda ash business • Continued growth in Specialty Chemicals and Agricultural Pro
Slide 8: Agricultural Products
Agricultural Products Based on 2007 Consolidated Sales of $889.7 million Fungicides Asia 2% Pacific North 15% America 22% Herbicides EMEA 41% 17% Insecticides 57% Latin America 46% Strong niche positions in the Americas, Europe and Asia Proprietary, branded insecticides and herbicides Strategic Focu
Slide 9: Agricultural Products
Agricultural Products 2008 segment earnings up in the low-to-mid teens driven by sales growth and further supply chain productivity improvements, partially offset by higher raw material costs. 8
Slide 10: Specialty Chemicals
Specialty Chemicals Based on 2007 Consolidated Sales of $659.5 million Asia Pacific North Lithium 21% America 32% 36% BioPolymer 68% EMEA Latin 36% America 7% BioPolymers add structure, texture and stability to food and act as binders & disintegrants for dry tablet drugs Lithium focus on downstream
Slide 11: Specialty Chemicals
Specialty Chemicals 2008 segment earnings growth in the mid-single digits, as strong commercial performance in BioPolymer and lithium specialties and the benefit of continued productivity improvements are partially offset by lower selling prices for primary lithium compounds and higher export taxes
Slide 12: Industrial Chemicals
Asia 7% Industrial Chemicals Based on 2007 Consolidated Sales of $1,087.1 million Asia Pacific 7% Foret 32% Alkali EMEA 34% North (Soda Ash) America 52% 48% Peroxygens 16% Latin America 11% #1 North American manufacturer of soda ash and peroxygens Backward integration into natural resources Low cost
Slide 13: Industrial Chemicals
Industrial Chemicals 2008 segment earnings up 60-70 percent as aggregate price and volume benefits more than offset higher raw material costs. 12
Slide 14: FMC in Summary
FMC in Summary Great businesses, each with EBITDA >$175 million Sustained double-digit earnings growth (1) Earnings leverage in Industrial Chemicals Continued growth in Specialty Chemicals and Ag Products Strategic and financial flexibility Robust and growing EBITDA Balance sheet de-leveraged Low ca
Slide 15: Appendix
FMC Corporation Appendix Glossary of Financial Terms Reconciliations of GAAP to Non-GAAP
Slide 16: Non-GAAP Financial Terms
Non-GAAP Financial Terms These slides contain certain “non-GAAP financial terms” which are defined below. In addition, we have provided reconciliations of non-GAAP terms to the closest GAAP term in the appendix of this presentation. EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortizat
Slide 17: Segment Financial Terms
Segment Financial Terms These slides contain references to segment financial items which are presented in detail in Note 19 of FMC’s first quarter 2008 Form 10-Q. Some of the segment financial terms are “non-GAAP financial terms” and are defined below. In addition, we have provided reconciliations o
Slide 18: EBITDA Reconciliation: LTM 3/31/08
EBITDA Reconciliation: LTM 3/31/08 Reconciliation of LTM 3/31/2008 consolidated income from continuing operations before income taxes (a GAAP measure) to LTM 3/31/2008 EBITDA (a Non-GAAP measure) (Unaudited, in $ millions) LTM 3/31/2008 Income (loss) from continuing operations before income taxes $2
Slide 19: Segment EBITDA Reconciliation
Segment EBITDA Reconciliation Reconciliation of LTM 3/31/2008 segment operating profit (a GAAP measure) to LTM 3/31/2008 EBITDA (a Non-GAAP measure) ( Unaudited, in millions) Industrial Specialty Agricultural Segment Chemicals Chemicals Products LTM 3/31/2008 segment operating profit (GAAP) $110.6 $
Slide 20: FMC Corporation
FivViC FMC Corporation