Mosaic Company (the) · NYSE:MOS
Mosaic Company (the) — BMO Capital Markets 2010 Agriculture, Protein & Fertilizer Conference
21 slides from Mosaic Company (the)'s conference presentation, May 20, 2010
Slide 1: BMO Capital Markets 2010 Agriculture, Protein & Fertilizer Conference
The BMO Capital Markets 2010 Agriculture, Protein & Fertilizer Conference Larry Stranghoener, Executive Vice President and Chief Financial Officer May 20, 2010 Exhibit 99.1
Slide 2: Safe Harbor Statement
Safe Harbor Statement Slide 2 This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about future financial and operating results. Such statements are based upon the
Slide 3: Strategic Focus
Strategic Focus Slide 3 Deliver value for shareholders Focus on Potash and Phosphate • Grow Potash • Strengthen Phosphate Maintain a strong balance sheet
Slide 4: Leading Global Potash Producer
Leading Global Potash Producer World capacity approximates 74 million tonnes (all potash products) • Potash Fertilizer Capacity Slide 4 Mosaic MOP production share • 10% Global • 41% North America • Five mines Competitive industry position Mil tonnes Source: Fertecon / Mosaic
Slide 5: Rebounding Potash Demand
Rebounding Potash Demand Slide 5 09E 10F Mil Tonnes World MOP Demand Source: Mosaic
Slide 6: Growth Opportunities - Our Potash Expansions
Growth Opportunities - Our Potash Expansions FY11 - FY18 Tolling Agreement FY11 FY12 - FY20 FY11 - FY17 Slide 6 Note: The projected annual capacity includes up to an approximate 1.3 million tonnes that under a third party tolling agreement at our Esterhazy, Saskatchewan potash mine that will revert
Slide 7: Expansions Improve Mosaic's Cost Structure
Expansions Improve Mosaic’s Cost Structure Slide 7
Slide 8: World's Largest Integrated Phosphate Producer
World’s Largest Integrated Phosphate Producer World capacity approximates 80 million tonnes (DAP/MAP/TSP) • Phosphate Fertilizer Capacity Slide 8 World’s largest capacity of finished phosphate fertilizer Mosaic U.S. phosphate production share 13% Globally 57% U.S. World scale & efficient operations
Slide 9: Phosphate Demand Recovery
Phosphate Demand Recovery Slide 9 09E 10F Mil Tonnes World Processed Phosphate Demand Source: Mosaic
Slide 10: Industry Leading Cost Structure in Phosphate
Industry Leading Cost Structure in Phosphate Slide 10
Slide 11: Phosphate Strategic Priorities
Phosphate Strategic Priorities Slide 11 Strengthen our competitive position Leverage scale and location Low cost rock Cost advantaged sulfur, competitive ammonia Procurement leverage Operational excellence Maintenance practices Capital deployment Energy use and co-generation capacity Improve coordin
Slide 12: Distribution Assets Aligned with Global Demand
Distribution Assets Aligned with Global Demand Slide 12
Slide 13: Strong Financial Position
Strong Financial Position * See appendix for reconciliation of Cash and Cash Equivalents less Debt
Slide 14: Business Outlook
Business Outlook
Slide 15: Growing Grain & Oilseed Use
Growing Grain & Oilseed Use Slide 15 2010/11 Scenario Assumptions Low Medium High Change in Harvested Area -0.5% -0.5% -0.5% Yield (Deviation from 11-year Trend) Largest Negative 0.0% Largest Positve Demand Growth 1.5% 2.0% 2.5%
Slide 16: More Cushion but Stocks Still Not at Secure Levels
More Cushion but Stocks Still Not at Secure Levels Slide 16 2010/11 Scenario Assumptions Low Medium High Change in Harvested Area -0.5% -0.5% -0.5% Yield (Deviation from 11-year Trend) Largest Negative 0.0% Largest Positve Demand Growth 1.5% 2.0% 2.5%
Slide 17: Farm Economics
Farm Economics Slide 17 Key assumptions Iowa State University application rate recommendations Fertilizer prices for 2005 - 2010 are from USDA. 2011 fertilizer prices are based on current spot wholesale prices
Slide 18: Growth Expected to Resume
Growth Expected to Resume Slide 18
Slide 19: Key Takeaways
Key Takeaways Slide 19 Focus on value creation Global leader with vertically integrated operations Potash growth projects at attractive capital costs Phosphate growth options in rock reserves and acquisitions Positive agricultural market outlook
Slide 20: Thank you
Thank you
Slide 21: Cash and Cash Equivalents Less Debt Reconciliation
Appendix Slide 21 Cash and Cash Equivalents Less Debt Reconciliation $ in billions Period Ended Cash and Cash Equivalents Short-Term Debt Current Maturities Long-Term Debt Total Debt Net (Debt) Cash February 29, 2008 1.1 0.2 - 1.4 1.7 (0.5) May 31, 2008 2.0 0.1 - 1.4 1.6 0.4 August 31, 2008 2.2 0.1
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