Chairman's - FMC Corporation

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<strong>FMC</strong> CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) Inventories consisted of the following: Finished goods and work in process ..................................... Raw materials ...................................................... Net inventory ....................................................... NOTE 6: PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment consisted of the following: December 31, 2009 2008 (in Millions) $214.6 135.9 $350.5 $249.7 131.1 $380.8 December 31, 2009 2008 (in Millions) Land and land improvements ................................................. $ 140.9 $ 136.8 Mineral rights ............................................................. 31.4 33.8 Buildings ................................................................. 349.9 313.5 Machinery and equipment .................................................... 2,132.9 2,037.6 Construction in progress ..................................................... 94.7 119.8 Total cost ................................................................. 2,749.8 2,641.5 Accumulated depreciation .................................................... 1,785.3 1,702.3 Property, plant and equipment, net ............................................. $ 964.5 $ 939.2 Depreciation expense was $108.4 million, $106.1 million, and $113.8 million in 2009, 2008 and 2007, respectively. 72
<strong>FMC</strong> CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued) NOTE 7: RESTRUCTURING AND OTHER CHARGES (INCOME) Our restructuring and other charges (income) are comprised of restructuring, asset impairments and other charges (income). Our restructuring and other charges (income) are comprised of the following: Year Ended December 31, 2009 2008 2007 (in Millions) Baltimore Phase Out .................................................... $ 1.8 $31.5 $104.9 Jacksonville Phase Out .................................................. — 5.6 — Alginates Restructuring ................................................. 13.3 — — Bayport Butyllithium Shutdown ........................................... 7.5 — — Bromborough Lithium Metal Production Shutdown ........................... 7.4 — — Barcelona Facility Shutdown ............................................. 25.8 — — Foret Asset Abandonments ............................................... — — 12.2 Santa Clara Shutdown ................................................... 6.7 — — Other Items ........................................................... 19.0 15.1 7.9 Restructuring charges and asset impairments . ............................. $ 81.5 $ 52.2 $125.0 Princeton Property Sale .................................................. (2.3) (29.0) — Sodium Sulfate Assets Sale .............................................. (1.0) (3.6) — Legal Settlements ...................................................... 29.9 10.0 24.3 Environmental Charges at Operating Sites (see Note 10) ....................... 20.2 16.2 10.2 Other, net ............................................................. 4.5 3.8 5.4 Other charges (income), net . ............................................ $ 51.3 $ (2.6) $ 39.9 Total Restructuring and Other Charges . .................................. $132.8 $ 49.6 $164.9 RESTRUCTURING CHARGES AND ASSET IMPAIRMENTS Agricultural Products Baltimore Phase Out In June 2007, we made the decision to phase out operations of our Baltimore, Maryland facility in our Agricultural Products segment. Our decision was consistent with our strategy to maintain globally costcompetitive manufacturing positions by sourcing raw materials, intermediates and finished products in lowercost manufacturing locations. We ceased production at this facility in the second quarter of 2008. We recorded charges totaling $1.8 million during the year ended December 31, 2009, which consisted of (i) demolition costs of $1.2 million and (ii) other shutdown costs of $0.6 million. We recorded charges totaling $31.5 million during the year ended December 31, 2008. These charges consisted of (i) accelerated depreciation on fixed assets of $27.0 million, (ii) severance and employee benefits of $1.4 million, and (iii) other shutdown charges of $3.1 million. We recorded charges totaling $104.9 million during the year ended December 31, 2007, which consisted of (i) plant and equipment impairment charges and accelerated depreciation on fixed assets of $98.7 million, and (ii) severance and employee benefits of $6.2 million. The plant and equipment impairment charges were primarily the result of the abandonment of a significant amount of assets at this facility before the end of their previously estimated useful life. 73
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Chairman’s LETTER Eight years ago
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from acquisitions made in 2008. Lit
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1000 800 600 400 Dollars in Million
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Dollars in Millions 800 700 600 500
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SEGMENT REVENUE AND OPERATING EARNI
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NON-GAAP RECONCILIATIONS Segment op
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UNITED STATES SECURITIES AND EXCHAN
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PART I FMC Corporation (FMC) was in
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energy storage markets to serve the
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The following table summarizes the
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Specialty Chemicals Financial Infor
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The following chart summarizes the
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Overview Our Industrial Chemicals s
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and percarbonates) also function as
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cellulose and seaweed extract as we
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• Changing regulatory environment
Page 35 and 36: ITEM 3. LEGAL PROCEEDINGS Like hund
Page 37 and 38: PART II ITEM 5. MARKET FOR THE REGI
Page 39 and 40: For the three and twelve months end
Page 41 and 42: Footnotes: (1) Discontinued operati
Page 43 and 44: driven by higher volumes in most re
Page 45 and 46: Revenue of $1,051.6 million was one
Page 47 and 48: Industrial Chemicals Revenue ......
Page 49 and 50: • $5.6 million of charges represe
Page 51 and 52: Segment Results Agricultural Produc
Page 53 and 54: Other Charges (Income), Net • Sol
Page 55 and 56: corporate purposes, including issui
Page 57 and 58: Cash required by operating activiti
Page 59 and 60: indemnification obligations with re
Page 61 and 62: On January 19, 2009, the European C
Page 63 and 64: Environmental obligations. We provi
Page 65 and 66: Sensitivity analysis related to key
Page 67 and 68: Our debt portfolio, at December 31,
Page 69 and 70: FMC CORPORATION CONSOLIDATED STATEM
Page 75 and 76: FMC CORPORATION NOTES TO CONSOLIDAT
Page 83 and 84: NOTE 3: ACQUISITIONS 2009 Acquisiti
Page 85: FMC CORPORATION NOTES TO CONSOLIDAT
Page 129 and 130: MANAGEMENT’S ANNUAL REPORT ON INT
Page 131 and 132: FMC CORPORATION SCHEDULE II—VALUA
Page 133 and 134: ITEM 13. CERTAIN RELATIONSHIPS AND
Page 135 and 136: Exhibit No. Exhibit Description *10
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Exhibit No. Exhibit Description 23.
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Signature Title Date /S/ ROBERT C.
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COMPUTATION OF RATIO OF EARNINGS TO
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The Board of Directors FMC Corporat
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I, W. Kim Foster, certify that: CHI
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CFO CERTIFICATION OF ANNUAL REPORT
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Chairman's - FMC Corporation

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