Chairman's - FMC Corporation

Financial Risks:
• We are an international company and therefore face foreign exchange rate risks. We are particularly
sensitive to the euro, the Chinese yuan, and the Brazilian real. To a lesser extent, we are sensitive to
other Asian currencies, particularly the Japanese yen.
• In Brazil, our customers face a combination of economic factors that could result in cash flow
pressures that lead to slower payments.
• We have significant deferred income tax assets. The carrying value of these assets is dependent upon,
among other things, our future performance and our ability to successfully implement our future
business plans.
• We have significant investments in long-lived assets and continually review the carrying value of these
assets for recoverability in light of changing market conditions and alternative product sourcing
opportunities.
• Our results incorporate the financial performance of our equity affiliates. As such, our influence,
though significant, is exercised in concert with our partners; accordingly, the performance of these
investments is not under our control.
• Obligations related to our pension and postretirement plans reflect certain assumptions. To the extent
our plans’ actual experience differs from these assumptions, our costs and funding obligations could
increase or decrease significantly.
ITEM 1B. UNRESOLVED STAFF COMMENTS
None
ITEM 2. PROPERTIES
FMC leases executive offices in Philadelphia, Pennsylvania and operates 34 manufacturing facilities and
mines in 18 countries. Our major research and development facility is in Ewing, New Jersey.
Trona ore, used for soda ash production in Green River, Wyoming, is mined primarily from property held
under long-term leases. We own the mineral rights to the Salar del Hombre Muerto lithium reserves in Argentina.
A number of our chemical plants require the basic raw materials that are provided by these mines, without which
other sources would have to be obtained. With regard to our mining properties operated under long-term leases,
no single lease or related group of leases is material to our businesses or to our company as a whole.
We believe our facilities meet present requirements and are in good operating condition. The number and
location of our owned or leased production properties for continuing operations are:
Latin
America
United and Western Asia-
States Canada Europe Pacific Total
Agricultural Products ................................... 2 1 — 3 6
Specialty Chemicals .................................... 3 2 7 6 18
Industrial Chemicals .................................... 3 1 6 — 10
Total ............................................ 8 4 13 9 34
20