Slide 1: FMC Corporation
Exhibit 99.1 FMC Corporation Morgan February William Stanley G. 22,Walter 2005 Basic Chairman, Materials President, Conference CEO
Slide 2: Safe Harbor Disclaimer
SafeCompany Disclaimer These Actual Additional Securities The 1 Harbor slides results Exchange information Statement and of undertakes the Act Company accompanying under concerning ofno1934, obligation the may Private asfactors presentation differ amended. toSecurities materially update that may con
Slide 3: Non-GAAP Financial Terms
Non-GAAP These presentation. EBITDA ROIC term 2 debt, slides (Return (Earnings Margin Current Financial contain on is Invested portion the Before certain Terms quotient of Capital) Interest, “non-GAAP long-term of EBITDA is Taxes, thedebt, financial sum Depreciation (defined Long-term of Earnings te
Slide 4: Segment Financial Terms
Segment These and Depreciation EBITDA 3 areslides defined Financial (Earnings Margin contain andbelow. for Amortization Terms Before references a segment In addition, Interest, for to is the segment that we Taxes, quotient have segment. Depreciation financial provided of EBITDA items reconciliations
Slide 5: FMC Corporation: Diversified Chemical Company
Diversified ($ FMC Industrial Specialty Agricultural Revenue: * 4 EBITDA million, Corporation Chemicals $2,051.2 $813.7 $538.0 $703.5 Chemicals 12/31/04) margin chemical Products EBITDA: EBITDA: company $124.3 $128.5 $147.7 $369.8 withMargin*: leading Margin*: market 15.3% 23.9% 21.0% 18.0% position
Slide 6: Industrial Chemicals Overview
Industrial 2004 35% Foret Peroxygens Asia Europe/Middle Excludes #1 5 North Alkali 7% Consolidated American phosphorus Chemicals (Soda 19%East/Africa ash) Sales: manufacturer Overview chemicals 46%$813.7 36% sales North million of soda atAmerica Astaris ash andJV, 50% peroxygens largely Latin in Ame
Slide 7: Industrial Chemicals Performance
Industrial Now Millions $200 $100 $133 1998 $94 15% 20% 25% 10% EBITDA 6 Margin 5% emerging $50$150 $130 19990%Capital $0 Chemicals $124 2000 $208 from 2001 Spending $194 2003 Performance 2002 $177 trough EBITDA 2003 2004 profits Margin that (%) were more than $100 million below the late 1990’s peak
Slide 8: Specialty Chemicals Overview
Specialty 2004 Lithium BioPolymer Asia North BioPolymer: Lithium: – 7 Acts Market Focus 15% Consolidated America ason 28% –aleader Chemicals One binder specialty 72% – Adds 41% of in&two every Sales: Europe/Middle disintegrant structure, Overview products—pharmaceuticals global, product $538.0 integ
Slide 9: Specialty Chemicals Performance
Specialty The Millions $100 $120 $40 $60 2000 % 15 Margin 20% 25% 30% EBITDA 8 10% $20 benefit 2001 5% $0 $80 Capital Chemicals 2002 0% $132 of continued 2003 Spending $129 Performance 2004 $127 sales EBITDA $122 growth $116 Margin has recently (%) been offset by cost pressures in the BioPolymer bus
Slide 10: Agricultural Products Overview
Agricultural 2004 Fungicides Insecticides Asia North Latin Proprietary, Key – 9 The Focused Cost crops: 13% Consolidated America America depth reduction innovation cotton, 2% branded 73% and Products 36% 35% Herbicides breadth strategies corn, Sales: Europe insecticides (R&D Overview rice, of$703.5
Slide 11: Agricultural Products Performance
Agricultural Significant Millions $80 $114 2000 15% 20% 25% 10% EBITDA 10 $60 Margin 5% $111 2001$40 $100 0% Capital $101 2002 recovery Products $20$99 2003 Spending $0 $148 driven Performance 2004EBITDA by improving Margin global (%) farm economy, strength in Brazil and benefits of a highly focused
Slide 12: Our Objectives: Unlocking Value
Our Unlocking Realize Create Focus businesses – * 11Sustained Industrial Continued Reduce Regain Manage Divest Improve Before Objectives the greater the any restructuring an net portfolio Specialty Industrial ROIC value operating Chemicals double-digit investment growth business debt financial inand
Slide 13: On Track to Exceed Our Objectives
OnBefore 2003 Earnings Net Return * ** 12 From Track Debt Actual onthe restructuring per Reduction to Invested Exceed 2004 12-month Share* Actual Capital Our $47m $1.90 and period Objectives 2005 other $155m $3.20 8.4% ended Outlook income 10.5% $3.70 $200m 12/31/03 –$3.90 2006 >11% and $300m charge
Slide 14: Multi-Year Recovery in Sales and Earnings
Multi-Year We Sales, 2,200 2000 1,000 1,200 1,400 1,600 1,800 2,000 EPS*, 1.00 2.00 3.00 4.00 5.00 6.00 Sales * 13Earnings remain 2001 EPS $ millions 2002 before on Recovery track 2003 restructuring to 2004 deliver 2005E a and sustained other income multi-year andrecovery charges per in sales dilut
Slide 15: Industrial Chemicals 2005 Earnings Outlook
Industrial 2005 Partially – Increased to 14Successful Significant Peroxide Higher Peak Freight Balance contribute earnings total soda offset selling and volumes Chemicals is price price ash raw price improvement energy to by realization prices increase materials: becost increase and up account toexp
Slide 16: Sold-out U.S. Soda Ash Market
Sold-out U.S. 0.8 1990 1993 2000 85 2005F (% 2005 15 90 Effective) 0.9 Bulk domestic 1991 1994 2001 Contract 951 U.S. 1.1 100 Soda 1992 1995 2002 1.2 U.S. Soda Renewals price Ash 1996 2003 Capacity Ash Price increase 1997 2004 Industry Price Index 1998 Utilization isIndex the (1990 1999 most Capacit
Slide 17: Tight Peroxide Market
Tight 2005 1.1 1.2 1994 0.6 70 2005F (% Price 16 75 Effective) Peroxide to 1995 Index Domestic 80represent 851996 Capacity 90 .0)95 Hydrogen (1994=1 1997 the 100Utilization third 1998 N.A. 1Peroxide consecutive Hydrogen 1999 Capacity 2000 Market Utilization 0.9 2001 year N.A. of 2002 rising Price 20
Slide 18: Specialty Chemicals 2005 Earnings Platforms
Platforms 2005 Earnings Promising – 17Strong Focus Selective Productivity Raw Oral Functional Finerevenue dosage chemistry materials on organic growth in new lithium increases Specialty food growth form improvements products to rate growth applications ingredients remain specialty technologies in in
Slide 19: Agricultural Products 2005 Earnings
Agricultural Relatively Similar – In-licensed 18Growth Brazilian Unfavorable Relatively Continued Higherearnings energy, inflat market products new flat Products progress revenue impact sales in raw products to 2005 to material remain in to ofversus contribute reducing Remain price versus andstrong
Slide 20: Free Cash Flow and Debt Reduction
Free Cumulative 300 400 500 ‘s, 0 2005 -200 Pre-tax EBITDA* * ** *** 19Assumes -100 100 Includes millions Includes Cash Cash $Other Flow Other Flow mid-point legacy net 200 proceeds Interest debt to Drivers Free Exceed environmental reduction guidance Capex Cash fromNet Sources*** sale Uses** of Deb
Slide 21: In Summary
In Summary Great Ag 20 Products businesses, Low each capital with expenditure EBITDA of requirements at least $125 Substantial million Industrial decline inChemicals unusual demands earnings on stillcash overflow $75Significant million below balance peaksheet Steady deleveraging growth in Specialty
Slide 22: Despite Strong Performance, FMC Remains Undervalued
Despite (LTM) 30 Value/EBITDA 35 10 L 0 S&P Crompton Scotts Olin Albemarle Airgas Valspar Enterprise FMC Cabot Ferro Tech. Min. Cytec Chemicals Sensient 21yondell 525400 Remains 20 RPM 40 our 15 Midcap value strong Grossly asLubrizol financial of the Undervalued close performance on February 14, 200
Slide 23: Disciplined Approach to Unlocking Value
Disciplined Unlocking Our Maintain – –Highly Actively Return 22Continued Pursue Employ long capital complementary manage acquisitions term strategic stringent Value Approach R&D to objectives shareholders the and investment acquisition business in to financial BioPolymer –Substantial are focused por
Slide 24: FMC Corporation
FIC FMC Corporation
Slide 25: Appendix: Reconciliation of Net Income
Appendix: RECONCILIATION Reconciliation (NON-GAAP) Twelve 2004 Discontinued Restructuring Write-off Tax Diluted Average after-tax *Restructuring and ended **In ***For pronouncement adjustments 24 were effect adjustments conjunction 2003 December the Months earnings after-tax number income $0.7 of of
Slide 26: Appendix: EBITDA Reconciliation
Appendix: Reconciliation (Unaudited, Income 12/31/2004 income Restructuring Add: Interest Write-off Affiliate Depreciation EBITDA 25 taxes (loss) expense, Interest (Non-GAAP) ofEBITDA in deferred and $131.1 and from millions) ofExpense net amortization full-year other continuing Reconciliation 78.4
Slide 27: Appendix: Segment EBITDA Reconciliation
Appendix: Reconciliation (Unaudited, Segment Depreciation Add: FY 26 2004 EBITDA segment Industrial Segment inand millions) of amortization full-year operating (Non-GAAP) Chemicals EBITDA2004 profit Reconciliation Specialty 67.0 segment $124.3 (GAAP) 32.4 Chemicals $128.5 29.3 operating $57.3$147.7
Slide 28: Appendix: ROIC Reconciliation
Appendix: Reconciliation interest (Unaudited, 2003 Income Interest Restructuring Write-off Tax 2-Point Short-term Current Long-term Shareholder’s $1,673.0 ROIC *Restructuring and ended **In ***For pronouncement adjustments 27 Adjustments*** were effect conjunction Actual December numerator (denomina
Slide 29: FMC Corporation
FIC FMC Corporation