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EuroChem-2015-Annual-Report-v2

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At a glance<br />

How we measure up<br />

A global leader<br />

EuroChem is a world-leading agrochemical<br />

company with low-cost natural resources and<br />

production bases. These are supported by<br />

wholly-owned logistics assets and a global<br />

advisory, sales and distribution network.<br />

Our ability <strong>to</strong> access lower cost raw materials<br />

and energy, combined with a vertically<br />

integrated business model provides us with<br />

distinct cost advantages over many of our<br />

competi<strong>to</strong>rs. Our significant investment<br />

in major potash reserves will reinforce<br />

our leadership position in global fertilizer<br />

production when they come on stream<br />

next year.<br />

As one of the fastest growing fertilizer majors,<br />

we aim <strong>to</strong> be a <strong>to</strong>p five producer by nutrient<br />

capacity by 2020.<br />

Who we are and what we do<br />

Our holding company – EuroChem Group<br />

AG – is based in Zug, Switzerland. It operates<br />

under Swiss law and financial regulations,<br />

whereas the Group’s operational functions<br />

fall under local jurisdictions.<br />

Strategic advantages<br />

• Access <strong>to</strong> low-cost, high-quality resources, including phosphate rock, hydrocarbons<br />

and potash.<br />

• Efficient, advanced production assets accessible <strong>to</strong> key markets.<br />

• Vertical integration enables control of raw materials, production, logistics and<br />

distribution, which deliver cost advantages, sec<strong>to</strong>r knowledge and economies of scale.<br />

• High quality products, with a growing emphasis on slow release and specialty grades<br />

in addition <strong>to</strong> our standard lines.<br />

• Global distribution network enables us <strong>to</strong> get the right product <strong>to</strong> the right place<br />

at the right time.<br />

• Investments in upstream supply (mainly potash and phosphate rock) provide<br />

a clear path for <strong>growth</strong>.<br />

2015 highlights<br />

We manufacture high quality nitrogen and<br />

phosphate fertilizers. Our range includes<br />

standard and commodity products as well<br />

as a growing slow-release and specialty<br />

offering. In 2017 we will commence potash<br />

operations <strong>to</strong> further enhance our portfolio<br />

of products.<br />

Our expanding international production<br />

base comprises assets in Russia, Lithuania,<br />

Kazakhstan and Belgium, as well as a joint<br />

venture in China, the world’s largest mineral<br />

fertilizer market. These assets have ready<br />

access <strong>to</strong> key markets through our logistics<br />

and distribution network that extends across<br />

25 countries. We employ more than<br />

23,400 people globally.<br />

Total sales (US$)<br />

4.5bn<br />

EBITDA increase (vs. 2014)<br />

4%<br />

EBITDA (US$)<br />

1.6bn<br />

EBITDA margin<br />

35%<br />

Lost time injury frequency<br />

rate (LTIFR)<br />

1.08<br />

Total products sold<br />

18 MMT<br />

EuroChem Annual Report and Accounts 2015 1

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