2009_agrium_fact_book_v11_012910

Agrium 2009/2010 Fact Book

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Agriums Fertilizer Industry

2009/2010 FACT BOOK

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Table of ContentsAgrium . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Profile . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Agrium Timeline . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . History. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Production Facilities and Annual Production Capacities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 2 3 5

North America . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Agrium Retail: Best in Class . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Agrium Retail Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Crop Production Services (CPS). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Agrium Retail Locations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Selected Competitors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Agrium Wholesale: Leading Global Supplier . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Agrium Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Agrium Wholesale Owned Distribution Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 Agrium Wholesale Production and Distribution Locations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Competitors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Selected Competitors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Agrium Advanced Technologies: Embracing the Future . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 Annual Production Capacities by Product . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 ESN Features, Advantages and Benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 Agrium Advanced Technologies Production and Distribution Locations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 Selected Competitors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 Agricultural Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 Crops: Area, Production and Stocks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 Corn Supply and Use . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 Fertilizer Application Rates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 Nutrient Uptake and Removal by Field Crops . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Planted Area and Production by Crop . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 Fertilizer Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36 Nutrient Uptake and Removal by Field Crops . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36 Total Consumption of Fertilizers and Plant Nutrients . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 Fertilizer Consumption. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 Historical Fertilizer And Gas Prices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 South America . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43 South America Markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 Agrium South America Retail . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 Agroservicios Pampeanos . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45 Agrium South America Retail Locations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46 Agrium South America Wholesale . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47 Production Capacity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47 Agrium Owned Distribution Facilities. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47 Agrium South America Wholesale Production and Distribution Locations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 Selected Competitors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49 Agricultural Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 Crop Production - Argentina. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 Crop Prodction - Brazil . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51 Fertilizer Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52 Fertilizer Consumption in Brazil and Argentina . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52 Europe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53 European Markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54 Common Market Fertilizers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54 Selected Competitors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55 Agricultural Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 Crop Production - Europe . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56 Fertilizer Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58 Fertilizer Consumption in Europe - Top Five . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58

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Table of ContentsAsia and Parts of the Pacific Rim . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59 Asia and Parts of the Pacific Rim Markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60 Asia and Parts of the Pacific Rim: Agrium China Office and Hanfeng Production Facilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60 Selected Competitors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61 Agricultural Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 Crop Production - Asia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 Crop Production - Parts of the Pacific Rim . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63 Fertilizer Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 Fertilizer Consumption in Asia and Parts of the Pacific Rim - Top Five . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 Fertilizer Consumption in Parts of the Pacific Rim . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 Africa and the Middle East . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67 Africa and Middle Eastern Markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 Africa and the Middle East: Damietta (MOPCO) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 Selected Competitors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69 Agricultural Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70 Crop Production - Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70 Crop Production - Middle East (West Asia) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71 Fertilizer Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 72 Fertilizer Consumption in Africa and the Middle East - Top Five . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 72 Global . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73 Agrium Going Global . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74 Agricultural Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75 Total Grains Supply/Demand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75 Crop Cycles: Growing Seasons for Key Global Regions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76 Fertilizer Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77 Fertilizer Consumption by Region. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77 Fertilizer Consumption by Country . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78 Fertilizer Production by Region. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79 Global Fertilizer Capacity by Country. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80 World Nutrient Trade Data: Imports and Exports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 81 World NPK Consumption . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85 Growth in World Fertilizer Consumption . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85 Fertilizer Supply/Demand Balance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 86 International Fertilizer Prices - Historical . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 88 World Population vs. Global Fertilizer Consumption . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89 United States Ethanol/Biodiesel Facts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90 Constants and Conversions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 91 Fertilizer Production Processes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92 Raw Material Requirements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94 Fertilizer Minerals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96 Product Analysis. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97 General Conversion Factors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98 Energy Conversion Factors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..99 Other Constants and Conversions Factors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 Calorific Values. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 Nutrient Factors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 Crop Weight Conversions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 101 IFA Regional Classification 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 102 IFA Regional Classification 1990-2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 103


1


Agrium

History and Overview

2


Profile(all figures in US$, except where noted)

Agrium Inc. is a major Retail supplier of agricultural products and services in North and South America, a leading global Wholesale producer and marketer of all three major agricultural nutrients and the premier supplier of specialty fertilizers in North America through our Advanced Technologies business unit. Sales from our diverse portfolio of products and services generated US$10.03 billion in revenues in 2008. Agrium has 158 million shares outstanding and a market capitalization of over US$7.4 billion (as of October 28, 2009). Agrium employs over 10,000 people globally who are dedicated to the ongoing transformation of the Company to achieve our vision to be one of the worlds leading providers of inputs for plant growth by creating value for each of our stakeholders. Each of Agriums three business units (Wholesale, Retail, and Advanced Technologies) have unique characteristics. Our Wholesale division generates significant cash flow for the Company, but these cash flows are subject to greater volatility than Retail and Advanced Technologies. Our Retail division consistently provides a stable and growing level of cash flow, but the profit margins are much lower than for our Wholesale division.

Agriums MissionProviding ingredients for growth.

Agriums VisionBe one of the worlds leading providers of inputs for plant growth by creating value for each of our stakeholders.

Agrium Timeline 1931-19891931 Cominco Fertilizers Ltd. enters the fertilizer business. 1965 Homestead (Nebraska) Nitrogen Operations begins production. 1968 Borger (Texas) Nitrogen Operations begins production. 1969 Vanscoy (Saskatchewan) Potash Operations begins production. 1977 Carseland (Alberta) Nitrogen Operations begins production. 1987 Joffre (Alberta) Nitrogen Operations begins production.

Source:

www.CapitalIQ.com, a division of Standard and Poors, October 28, 2009


3

HistoryAgrium was formed to facilitate the reorganization of the fertilizer division of Cominco Ltd. and the acquisition of the fertilizer assets of Alberta Energy Company in 1993. Agriums shares were first publicly traded on the New York Stock Exchange on October 4th, 1996. The growth of Agriums Wholesale business was initiated with the acquisition of Nu-West Industries, a phosphate producer in Idaho in 1995. Agrium subsequently merged with Viridian in December 1996, substantially increasing the size of the Company. In 1997, Agrium announced the development of the phosphate rock reserve at Kapuskasing, Ontario to obtain a domestic rock supply for the Redwater facility. Production at the mine began in July 1999. In 1998, Agrium also acquired a phosphate rock mine located close to our Conda facility in Idaho to establish security of supply. Agrium acquired UNOCALs (Union Oil of California) agricultural products division in September of 2000. In 2000, Agrium expanded into the Argentina market with a 50 percent ownership in Profertil S.A. with production in Bahia Blanca, Argentina. In 2005, Agrium acquired the Western Canadian fertilizer distribution assets from Imperial Oil. In 2008, Agrium acquired a 70 percent equity position in Common Market Fertilizers S.A. (CMF), one of Western Europes largest fertilizer distribution companies. Agrium Wholesale continues to grow globally, in 2008 Agrium entered into an agreement with MISR Oil Processing Company, S.A.E. (MOPCO) of Egypt, whereby MOPCO acquired the EAgrium project, and EAgrium shareholders obtained an equity interest in the combined entity. Agrium owns a 26 percent interest in the combined entity, which includes the recently completed 675,000 tonne urea MOPCO facility which came into production in the fourth quarter of 2008. Agrium established its Retail division through the acquisitions of Crop Production Services (CPS) in September 1994 and Western Farm Service (WFS) in January 1995. Agrium established an international presence in Argentina under the trade name Agroservicios Pampeanos S.A. (ASP). In 2006, Agrium continued to build its Retail franchise through the acquisition of Royster-Clarks retail operations. Retail expansion continued in 2007 with the acquisition of ADMs 18 retail centers and 14 satellites in Kansas and Oklahoma. Closely following the successful integration of the Royster retail branches, Agrium completed the companys largest acquisition to date. In 2008, Agrium closed the acquisition of United Agri Products (UAP). This was a transforming transaction for Agrium, the acquisition further expanded our retail presence in the United States and improved our earnings diversification by increasing the profit contribution from our Retail business unit. Additionally, the transaction further diversified Agriums product mix by increasing our weight in chemicals. Upon completion of the acquisition of UAP, Agriums retail branches in the United States increased from 489 locations to 929.

Agrium Timeline 1990-19991993 Cominco Fertilizers Ltd. enters the public market. 1994 Crop Production Services (CPS) acquired. 1995 Nu-West Industries Inc. and Western Farm Service (WFS) acquired. Cominco Fertilizers Ltd. changes its name to Agrium Inc. 1996 Agrium is publicly traded on the New York Stock Exchange. 1998 Ramussen Ridge (Idaho) Phosphate Mine acquired 1999 Kapuskasing (Ontario) Phosphate Mine begins production.

Viridian Inc. acquired. Redwater (Alberta) Fertilizer Operations (commenced operations 1968) and Agrium establishes its Fort Saskatchewan international presence (Alberta) Nitrogen under the trade Operations name Agroservicios (commenced Pampeanos (ASP). operations 1983).

4


HistoryAgriums Advanced Technologies business unit was established with the acquisition of Nu-Gros fertilizer technology and professional businesses and Pursell Technologies in 2006. In 2007, Agrium acquired a 19.6 percent equity interest in Hanfeng Evergreen, a Chinese specialty fertilizer company. With this addition, Agrium reaffirmed its leading position to provide environmentally friendly, controlled-release crop input products to a broad range of customers and segments. Further expansion occurred in 2008 with the acquisition of the Agronomics Division of Turf Care Products Canada Limited. Today, Agrium is a major retailer, a leading wholesale producer, and an innovator through our Advanced Technologies business unit fully diversifying ourselves across the value chain. As we enter into 2010, Agrium will continue to focus on achieving our mission and vision by continuing to execute against our strategic goals of investing through the value chain, establishing and maintaining the lowest cost to serve wholesale position, diversifying geographically, and investing counter-cyclically.

Agrium Timeline 2000-Present2000 Unocal agricultural products division acquired. Profertil S.A. begins production in Bahia Blanca, Argentina. 2004 Astaris Production LLC assets (Nu-Wests Conda, ID phosphate operation) acquired. 2005 W. Canadian fertilizer distribution assets from Imperial Oil acquired. 18 retail outlets in Argentina and Chile from United Agri Products acquired. 2006 Royster-Clark acquired. Nu-Gro fertilizer technology and professional products businesses acquired. Pursell Technologies acquired. 2007 19.6 percent equity stake in Hanfeng Evergreen acquired. ADMs 18 retail centers and 14 satellites in Kansas and Oklahoma acquired. 2008 United Agri Products (UAP), acquired. 70 percent equity position in Common Market Fertilizers S.A. (CMF) acquired. Agrium opened an office in Beijing, China. Agronomics Division of Turf Care Products Canada Limited acquired. 2009 Agrium Retail consolidates all United States operations under the name Crop Production Services (CPS). 26 percent shareholding, in MOPCO (Egypt) obtained.


5

Production Facilities and Annual Production Capacities Production Capacity(product tonnes per year)

Production Capacity(product tonnes per year)

Nitrogen Based Fertilizers ArgentinaBahia Blanca (Profertil S.A.) (1) Ammonia (gross) Ammonia (net) Urea 375,000 35,000 600,000

Nitrogen Based Fertilizers United StatesBorger, Texas Ammonia (gross) Ammonia (net) Urea 490,000 430,000 99,000

CanadaRedwater, Alberta Ammonia #1 Ammonia #2 Ammonia Total (gross) Ammonia Total (net) Urea(2) Ammonium Nitrate(2) Ammonium Sulphate Nitrogen Solutions Carseland, Alberta Ammonia (gross) Ammonia (net) Urea Joffre, Alberta Ammonia (net) Fort Saskatchewan, Alberta Ammonia (gross) Ammonia (net) Urea 280,000 680,000 960,000 250,000 720,000 215,000 350,000 180,000 535,000 135,000 680,000 480,000 465,000 170,000 430,000 120,000

Upgrade Facilities(3)Kennewick, Washington Nitrogen Solutions (material) West Sacramento, California Nitrogen Solutions (material) North Bend, Ohio Nitric Acid, Nitrogen Solutions (material) 430,000 204,000 110,000

Agriums World Capacity(metric tonnes per year)

Upgrade Facilities(3) (Standard and Granum)Nitrogen Solutions (material)

EgyptAmmonia (gross) Ammonia (net) Urea(4) 101,000 20,500 175,000

Ammonia (gross)(5) Ammonia (net)(5) Urea(5) Ammonium Nitrate Ammonium Sulphate Solutions/Other MAP Potash

3,406,000 1,520,500 2,704,000 215,000 350,000 1,044,000 960,000 2,050,000

(1)

Profertil S.A. is 50 percent owned by Agrium Inc. and 50 percent owned by Repsol YPF, S.A. The stated capacity numbers represent Agriums 50 percent ownership. (2) Includes product used to produce nitrogen solutions. (3) Upgrade Facilities use ammonia from other sources. They do not purchase natural gas to produce their own ammonia. (4) Projected urea capacity will be 525,000 by 2011, based on 26 percent ownership position in MOPCO. (5) Only includes the 50 percent of Profertils capacity and 26 percent of MOPCO that are owned by Agrium Inc. Note: Figures exclude idle capacity.

6


Production Facilities and Annual Production Capacities Production Capacity(product tonnes per year)

Production Capacity(product tonnes per year)

Phosphate Based Fertilizers CanadaRedwater, Alberta Mono-Ammonium Phosphate 660,000 P2O5 Equivalent 345,000 Kapuskasing, Ontario Average Concentrated Rock is 37% P2O5 Concentrated Rock Mined Annually 0.95 Million Tonnes

Rainbow Plant Capacities(2) United StatesFlorence, Alabama Americus, Georgia Hartsville, South Carolina Total Rainbow 76,600 110,000 78,400 265,000

United StatesSoda Springs (Conda)(1), Idaho Mono-Ammonium Phosphate 300,000 Phosphates P2O5 Equivalent 375,000 Dry Valley, Idaho Average Concentrated Rock is 31% P2O5 Ore Mined Annually 2.0 Million Tonnes Concentrated Rock Produced Annually 1.3 Million Tonnes Total Canada and United States (P2O5) 720,000

Agriums Approximate Share of 2008/09 North America Production Capacity(3)

Ammonia (gross) Urea Phosphate Potash

21.1% 25.2% 9.2% 5.5%

Potash Based Fertilizers CanadaVanscoy, Saskatchewan Potash KCl (MOP) 2,050,000

Agriums Approximate Share of 2008/09 Global Production Capacity(4)

Ammonia (gross) Urea Phosphate Potash

1.8% 1.6% 2.2% 2.4%

(1) (2) (3) (4)

Conda produces other phosphate products such as merchant grade acid and super phosphoric acid. Includes over 30 different ammoniated grades of fertilizer. North America refers to Canada and the United States, and Agriums approximate share estimate is based on the International Fertilizer Development Centers (IFDC) June 2009 Canada and United States production capacity figures. Urea capacity includes urea solution capacity. Based on Worldwide Ammonia Capacity,Listing by Plant, June 2009. Worldwide Phosphoric Acid Capacity, Listing by Plant, June 2009. Worldwide Potash Capacity, Listing by Plant, June 2009. Worldwide Urea Capacity, Listing by Plant, June 2009.


7


North America

8


Agrium Retail: Best in ClassOur Retail division is the largest direct-to-grower agricultural retail operation in North America and generated over $5.5 billion in net sales in FY2008, primarily from seed, crop protection and fertilizer products. Agrium operates a network of 929 retail centers in the United States. Agriums Retail operations offer farmers a complete range of seed, liquid and dry fertilizer products, along with primary crop protection services including herbicides, insecticides and fungicides.

Agrium Retail Products(for fiscal year 2008)

Fertilizer

Net sales of over $2.72 billion. Gross profit of $627 million. Purchasing advantages from our economies of scale. Our integrated fertilizer services provide customers with expert advice and application services.

Crop Protection

Net sales of $2.12 billion. Gross profit of $576 million. Purchasing advantages from our economies of scale.

Seed and Other Services

Seed and other services net sales totalled $683 million. Gross profit of $223 million. Seed and Other Services sales increased by 73.5 percent from previous year. Rapidly growing seed and private label seed businesses. Full service customer appreciation.

38% Crop Protection

49% Fertilizer

13% Seed and Other Services


9

Crop Production Services (CPS)(1)(August, 2009)

Farm Centers/Branches Satellites Terminals Distribution Centers Total

638 211 71 9 929

In FY2008, Agriums United States Retail operations, Crop Production Services (CPS), generated net sales over $5.5 billion. In May 2008, Agrium completed the acquisition of United Agri Products; increasing Agriums retail presence in the United States to 929 locations. The acquisition of UAP expands Agrium Retails reach into new markets in the United States and repositions Retails product mix allowing us to more efficiently and effectively serve our customers. Agriums Retail branches are staffed with trained, professional employees committed to providing their growers with sound agronomic advice, seed that is selected from the best germ plasm pools in the world, and other crop inputs.

(1)

Please note a listing of Agriums South American Retail assets is on page 45.

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Crop Production Services (CPS)(August, 2009)

a Alabama(16 locations)

a Arkansas(contd)

c California (contd)San Marcos Santa Ana* Santa Maria(2 locations)

f Florida (contd)Fort Pierce Hastings Homestead Immokalee Jay Lehigh Acres Mulberry Mulberry** Parrish St Augustine* Tampa** Wauchula Waverly Williston*

h Hawaii(4 locations)

Andalusia* Ashford* Atmore Auburn Centre* Dothan Florala* Gordon* Headland Kinston Madison Robertsdale Selma (2 locations) Slocomb* Summerdale

Pocahontas* Portland Rector* Truman* West Helena** Winchester* Wynne

c California(50 locations)

Santa Maria* Sebastopol Stockton Stockton* Ukiah Vernalis Visalia Walnut Grove(2 locations)

Hilo Kahului Lihue Pearl City

i Idaho(18 locations)

Arizona(6 locations)

Chandler Coolidge Poston Tucson Wellton* Yuma

Arkansas(23 locations)

Altheimer Barton* Blytheville* Clarendon Corning* Crawfordsville Des Arc Grady* Hazen Helena** Lepanto Marianna Mcgehee* Monette* Monticello Paragould*

Alpaugh Bakersfield Carpinteria* Coachella Cutler* Delano Dos Palos* Fillmore* Firebaugh Five Points Fresno Fresno** Goleta Greenfield Hanford Heber* Hollister Huron* Imperial Madera Merced Mettler Modesto (2 locations) Newman* Oxnard Oxnard* (2 locations) Paso Robles Pixley* Riverside Sacramento Salinas San Jacinto*

Watsonville(2 locations)

Yuba City

g Georgia(26 locations)

Colorado(1 location)

Greeley

Connecticut(1 location)

Broad Brook

d Delaware(7 locations)

Americus Arlington Bainbridge** Brunswick** Collins* Colquitt Doerun Donalsonville Douglas* Fort Valley(2 locations)

Bancroft Blackfoot Bruneau* Buhl Burley Caldwell Caldwell* Glenn Terminal** Glenns Ferry Hansen Idaho Falls Jerome Liberty Parma Pleasant Valley Roberts Rupert* Wendell

Air Ag Laurel Del* Milford Seaford Seaford** Seaford D.C. Smyrna

Illinois(91 locations)

f Florida(17 locations)

Greensboro Jesup Leesburg* Meigs Millen Moultrie (2 locations) Oglethorpe Swainsboro(2 locations)

Arcadia* Belle Glade Boynton Beach

Sylvania* (2 locations) Sylvester` Tifton** Wadley*

Alexis* Amboy Atlanta** Baileyville Biggsville Blandinsville Browns Buffalo Prairie* Camp Point Catlin Clay City Columbus* Compton*

* ** D.C.

Satellites Terminals Distribution Center


11


i Illinois (contd)Danville** Dixon Douglas* Dwight Edgewood Fairbury Ferris Fieldon Flora Forreston* Fountain Creek Galesburg* Golden* Greenfield Greenview Hallock* Harvel Hillview* Hoopeston Hull Iuka Joy* Keithsburg* Lanark Lodi* Louisville Marissa Marseilles** Mason City Mays Station Melvin Meredosia** Metcalf Morrisonville Mount Erie(2 locations)

i Illinois (contd)Nokomis Oakland Odell* Olive Branch* Onarga Oneida Oquawka** Paris* Paxton Payson Pittsfield Pleasant Hill Pontiac* Quincy** Rankin Richmond Rio* Ruma* Saunemin Sciota* Shabbona* Sheldon Sidney Sinclair Steward Stolletown Strawn* Toledo* Viola Walsh* Wenona White Hall Wine Hill*

i Indiana (contd)Charlottesville Clarks Hill College Corner Converse Dana Decker Delphi Deputy* Fairmount Franklin Fulton Greensburg Greentown Homer Jasper Kitchell Kitchell** Kitchell D.C. Ladoga Miami Middle Fork Mooresville Mt Vernon** Mulberry New Brunswick New Salem North Grove North Salem Oaktown Odon* Otwell Peru Point Isabel* Poneto** Poseyville Roachdale Roachdale** Scottsburg Shelburn Speedway** Straughn Switz City Terre Haute D.C. Veedersburg

i Indiana (contd)Walton** Warren Washington West Lebanon Wheatland Williamsburg Williamsport*

i Iowa (contd)Ogden* Oskaloosa Oskaloosa* Petersburg* Preston Reinbeck Sac City* Saint Ansgar* St. Anthony* Union* Wall Lake Washington* Whiting Winthrop Worthington Wyoming

Iowa(50 locations)

Indiana(59 locations)

Mt Carmel Mt Sterling Neoga New Boston New Canton* New Memphis Newton** Niota** (2 locations)

Arcadia Attica Black Hawk Boston* Brimfield Brookville Buck Creek* Chalmers

Albion* Atalissa Bangor Battle Creek Boone Brayton* Breda Coin Colo* Corning Creston Danbury Dubuque** Dunlap Dyersville Edgewood Garnavillo Gibson Hancock Holy Cross* Hopkinton Ida Grove Irvington Keswick Kiron* Lowden* Luverne Manchester Mediapolis Mingo Monticello N English* Nevada* Odebolt

k Kansas(46 locations)

Beloit Belpre Brewster* Burton* Cimarron Clay Center Concordia Copeland Country Store Courtland* Downs Galva Garden City Garden City** Garden City D.C. Gaylord* Goddard Goodland (2 locations) Goodland* Grainfield** Greensburg* Halstead* Hill City

* ** D.C.


12



k Kansas (contd)Hoxie Hunter Jetmore Kinsley Leoti Lincoln* Macksville** Mahaska Minneapolis Montezuma Morganville* Nickerson* Oakley Oberlin Plains Pratt Republic Scott City Scott City** Seguin** Sublette* Wakeeney

k Kentucky (contd)Slaughters* Waverly

m Maryland(11 locations)

m Michigan (contd)Sandusky Sparta St Johns St Louis** Sunfield** Ubly Webberville** Woodbury

m Mississippi (contd)Clarksdale Columbus** Glen Allan* Greenville** Greenwood Grenada* Hollandale* Holly Bluff Holly Springs* Houston Indianola* Leland Macon* New Albany* Rolling Fork Scott* Tunica

l Louisiana(28 locations)

Kentucky(21 locations)

Anton Cadiz Calhoun Clarkson Clay Fancy Farm Hardin Henderson Henderson** Hodgenville Horse Cave Kevil Ky* Lexington Morganfield Murray** Pembroke Poole Russellville Sedalia

Alexandria Bonita* Bunkie* Delhi Donaldsonville** Elton Jonesville Lafayette** Lake Arthur* Lake Providence Lettsworth** Loreauville** Mansura** Mer Rouge Mermentau** New Roads Opelousas* Pioneer* Rayville Saint Martinville** Schriever* Tallulah Thibodaux Vick* Ville Platte* Waterproof* Whitevile Wisner

Baltimore** Boonsboro* Centreville Denton E New Market Girdletree Linthicum Heights Massey Pocomoke Snow Hill Worton

Minnesota(23 locations)

Massachusetts(2 locations)

South Deerfield Sterling

Michigan(34 locations)

m Maine(2 locations)

Lewiston Mapleton

Ann Arbor Bear Lake Benton Harbor Blissfield (2 locations) Blissfield** Breckenridge D.C. Brown City Deckerville* Freeland Greenville Henderson Melvin Mendon Morenci Munger Muskegon** Northern Bay Nottawa Owendale Owosso Pinconning* Portland Saginaw** (2 locations) Saline

Ada Alden Atlanta* Big Lake Clarks Grove Crookston Dassel East Chain Hallock Harmony Kasota Kerkhoven Lakefield Mora Perham Pipestone Plainview Red Lake Falls Sargeant Sauk Centre Slayton Wadena Winthrop

Missouri(21 locations)

Atlanta* Bowling Green(2 locations)

Mississippi(24 locations)

Anguilla* Batesville Belzoni Benoit* Benton* Bolton* Boyle

Cardwell Caruthersville** Clarence Cooter Essex* Harrisonville Holden* Hornersville* La Plata Palmyra Paris Perry Portageville Senath Sikeston (2 locations) Westboro Whiteoak*

* ** D.C.



13


m Montana(8 locations)

n New York(13 locations)

n North Carolina(contd)

o Ohio(45 locations)

o Ohio (contd)West Manchester

Belgrade Billings Chinook Fairview Gildford* Glasgow Great Falls Shelby

n Nebraska(14 locations)

Amenia Avon Brookhaven Cohocton Fancher Florida Hall* Lockport Milton Mount Morris* Nelliston* Oswego** Sodus

Allen* Ashland Beatrice Beemer Bridgeport Chester* Fremont Imperial Johnson Kearney Laurel Mccook South Sioux City Thurston

North Carolina(55 locations)

Nevada(2 locations)

Henderson Reno

New Jersey(4 locations)

Elmer Jutland Malaga North Brunswick

New Mexico(2 locations)

Artesia Vado* ** D.C. Satellites Terminals Distribution Center

Albertson Bailey* Belgrade Belhaven Brown Summit Bunn Clinton (2 locations) Conway Creswell Dunn Elizabeth City Enfield Erwin Fairfield Fairmont Faro/Fremont Four Oaks Greenville Hendersonville Hookerton** Jefferson Laurinburg Lumberton (2 locations) Millingport Monroe (2 locations) Murfreesboro Nashville Newland Norwood

Pantego Plymouth** Princeton Red Oak** Red Springs Rocky Mount Roseboro* Salemburg Sanford Shawboro Shelby (Lattimore) Snow Hill Sophia Statesville Tarboro D.C. Trenton Vanceboro* Washington Wilmington (2 locations) Wilson Wilson** Yadkinville

Ansonia Ashville Attica Bainbridge Bellevue Boston* Botkins Bradford Campbellstown Cincinnati**(4 locations)

Oklahoma(9 locations)

North Dakota(19 locations)

Bismarck Bowman Cavalier Devils Lake Dickinson Drayton Glenfield Grace City Grafton Grand Forks Hatton Hillsboro Jamestown Langdon Mapleton Minot Prosper* Wahpeton Williston

Circleville* Columbus Delphos Dunkirk Eaton* Fayette Findlay Frankfort Greenville Hamler Hillsboro Holgate* Jeffersonville Kirkwood Leesburg Leipsic Midland Morral** Mowrystown Mt Gilead Mt Sterling** Mt Sterling D.C. New Holland Ottawa Ottawa** Ottoville* Polk Thurston Toledo** Unionville Urbana* Washington Court House**

Altus Chattanooga* Clinton Guymon Hough Oklahoma City Tyrone Webbers Falls Yukon

Oregon(15 locations)

Athena Baker City* Ballston* Carlton* Cornelius Gresham Hermiston* Hopmere Hubbard* La Grande N. Powder* Rickreall Salem Tangent Umatilla*

p Pennsylvania(8 locations)

Belleville* Biglerville Butler Holtwood King Of Prussia* Lewistown* Tyrone Washingtonville

14



s South Carolina(13 locations)

t Texas(65 locations)

t Texas (contd)Roaring Springs* Roby* Roscoe Rosebud Rosebud* San Antonio* Santa Rosa Slaton Snyder* Stowell* Sudan* Taft Tam Anne Taylor Tyler* Uvalde Veribest Victoria* Waco* Wall* Wellington West

v Virginia (contd)Crystal Hill Eastville Haynesville Heathsville* Hopewell Ivor Keller Milford* Mt Holly* Petersburg** Red House Sealston South Hill Winchester Wylliesburg

w Wisconsin(6 locations)

Aynor Bishopville Cope* Darlington Darlington D.C. Hemingway Hollywood* Kingstree Lake City Luray* Orangeburg Orangeburg** Starr

South Dakota(4 locations)

Brookings Northville Spearfish Watertown

t Tennessee(17 locations)

Bells Brownsville Clarksville Covington Ethridge Huntingdon Manchester Memphis** Nutbush Gin* Palmersville Puryear* Springfield Union City Union City** Union City D.C. Whiteville Wynnburg

Avoca* Blessing* Brownfield Caldwell Colorado City* Cotton Center De Leon Denver City Dumas Eden* El Campo Elgin Elgin* Fieldton Garden City* Gatesville* Harlingen* Haskell* Hearne* Heidenheimer* Hereford Houston Irving Knippa Knott Knox City Liberty Littlefield* Lorenzo* Lubbock Lubbock* Mathis* Menard* Midkiff* Midland* Munday* O Brien* Paris Pittsburg Plainview Ralls* Raywood Raywood*

Central Sands* De Forest Galesville Janesville Plainfield Randolph*

w Washington(24 locations)

u Utah(1 location)

Tremonton*

v Vermont(1 location)

Addison

Virginia(22 locations)

Abingdon Aylett Chase City Chatham Chesapeake**(2 locations)

Colonial Heights

Almira Anatone* Auburn Clyde* Connell Coulee City Davenport Endicott George Glade Harrington Lamont* Mansfield Moses Lake Othello Pasco Plymouth Pomeroy Reardan* Rosalia St. John Toppenish Walla Walla Waterville

* ** D.C.



15

Agrium Retail Locations

AlaskaUn ite dS tat Ca es na da

Yukon Northwest Territories

Nunavut

Labrador British Columbia Alberta NL.

Saskatchewan

Manitoba Ontario Quebec NB

PE NS Maine

Canada Washington United States Montana Oregon Idaho Wyoming Nevada Utah Colorado California Arizona Hawaii Texas Mexico Florida New Mexico Oklahoma Arkansas MS LA Georgia Alabama Kansas North Dakota Wisconsin South Dakota Minnesota NY MI PA Nebraska Iowa Illinois Missouri Kentucky Tennessee IN Ohio WV Virginia North Carolina South Carolina NJ MD Del.

NH VT MA CT RI

Crop Production Services (CPS) branches

16


Selected Competitors United States Retail Companies - Top 15(by Total Sales)

Rank Company

# Retail outlets

Type

HQ State

# States Served

% % Crop Fertilizer Protection Sales Sales

% Seed Sales

% Custom App.

1 Agrium Inc. Retail 2 Helena Chemical 3 Wilbur-Ellis Company 4 J.R. Simplot Company Retail 5 GROWMARK Inc. 6 Agriliance LLC. 7 Southern States Cooperative 8 MFA Incorporated 9 Jimmy Sanders Inc. 10 Harvest Land Cooperative 11 Tennessee Farmers Cooperative 12 South Dakota Wheat Growers 13 The McGregor Company 14 Effingham Equity Cooperative Union Exchange 15 Miles Farm Supply, LLC.

929 301 132 109 300 100 224 135 40 60 153 34 41

Dealership Dealership Dealership Dealership Cooperative Cooperative Cooperative Cooperative Dealership Cooperative Cooperative Cooperative Dealership

CO TN CA ID IL MN VA MO MS IN TN SD WA IL KY

45 48 18 18 17 19 10 4 4 2 5 2 3 1 3

49% 41% 49% 49% 43% 31% 65% 64% 36% 50% 56% 59% 61% 63% 54%

38% 41% 42% 34% 43% 39% 17% 18% 38% 34% 19% 20% 30% 18% 31%

8% 15% 4% 11% 7% 12% 14% 14% 25% 15% 22% 16% 7% 13% 12%

5% 3% 5% 6% 7% 18% 4% 4% 1% 1% 3% 5% 2% 6% 3%

12 Cooperative 21 Cooperative

Source: CROP LIFE Magazines Annual Top 100 Retailers in the United States, December 2008.


17

Agrium Wholesale: Leading Global SupplierOur Wholesale division is one of the worlds largest fertilizer distributors, marketing approximately 8.5 million tonnes of nitrogen, potash, phosphates and secondary nutrients annually. Our products are predominately produced by 13 strategically located production facilities and marketed around the world. Agriums Wholesale division manufactures, markets, and distributes three primary nutrients: nitrogen, phosphate, and potash. We service our customers through a network of over 100 distribution warehouses, supplied by 13 production facilities. Our strengths include a low cost-in-market position, the ability to leverage distribution, a focus on continued incremental expansion at key facilities and growth in new product sales and product offerings.

Nitrogen (N) Facilities strategically located in Canada and the United States combined annual capacity of over 5.0 million tonnes Competitive advantages of lowercost Argentina, Egypt, and Alberta gas as well as a close proximity to key markets

Phosphate (P) Two phosphate plants, combined annual capacity of approximately 1.0 million tonnes Delivered cost advantage in Western Canada and North Western United States markets Integrated mining and production, access to low-cost sulphur and sulphuric acid.

Potassium (K) Current capacity of over 2.0 million product tonnes Market internationally through Canpotex

Agrium Products Fertilizer:Ammonium Phosphate Sulphate Anhydrous Ammonia Aqua Ammonia Calcium Ammonium Nitrate (CAN 17) Merchant Grade Phosphoric Acid (MGA) Ammonium Nitrate Ammonium Sulphate Anhydrous Ammonia Aqua Ammonia Ammonium Polyphosphate Monoammonium Phosphate (MAP) Muriate of Potash Nitrogen Solutions Super Phosphoric Acid (SPA) Urea Merchant Grade Phosphoric Acid (MGA) Muriate of Potash Nitric Acid, 42 and 38 Baume Urea Ammonium Nitrate Urea Vanox

Industrial:

18


Agrium Wholesale Owned Distribution Facilities Canada(metric tonnes per year)

Location Bloom, Manitoba Carseland, Alberta Clavet, Saskatachewan Ft.Macleod, Alberta Ft. Saskachewan, Alberta Granum, Alberta Kamloops, British Columbia Redwater, Alberta Roma Junction, Alberta Standard, Alberta Vanscoy, Saskatchewan Watson, Saskatchewan Total Distribution Storage in Canada

Dry 50,000 50,000 63,500 17,000 65,000

Ammonia 27,000 36,000

Specialty(1)

Total 77,000 108,000 97,800 17,000 101,000 13,250 1,715 332,000 170 21,250 284,500 47,200 1,100,885

22,000 34,300

36,000 13,250 1,715 10,000 21,250

245,000

77,000 170 34,500 27,000 237,670

250,000

20,200 122,715

740,500

(1) Specialty includes solutions and specialty products. Source: Agrium


19

Agrium Wholesale Owned Distribution Facilities(1) United States(metric tonnes per year)

Location Americus, Georgia Bainbridge, Georgia Borger, Texas Burley, Idaho Conda, Idaho Early, Iowa Florence, Alabama Garner, Iowa Glade, Washington Hartsville, South Carolina Hoag, Nebraska Homestead, Nebraska Kennewick, Washington Leal, North Dakota Lynchburg, Virginia Marseilles, Illinois Meredosia, Illinois Mt. Vernon, Indiana Newton, Illinois Niota, Illinois North Bend, Ohio Paducah, Kentucky Tifton, Georgia West Sacramento, California Wilmington, North Carolina Total Distribution in the United States

Dry 24,900 18,142 15,965 7,801 54,426 15,200

Ammonia

Specialty(2)

Total 24,900 36,406 16,865 7,801 55,117 65,992 15,200 114 16,100 14,800 17,398 27,213 164,927 36,556 9,074 70,849 45,809 62,590 8,527 26,625 44,373 12,699 16,328 95,877 30,116 922,256

18,264 900 691 65,992 114

16,100 14,800 17,398 27,213 30,000 9,074 5,443 49,891 26,625 17,241 19,049 36,556 34,383 15,149 115,878

31,023 30,660 12,699 8,527 18,058 12,699 29,360

9,074 16,328 29,030 30,116 373,503

37,487

271,585

277,168

(1) Agrium has Retail storage of 1.11 mm tonnes dry product, 145 K tonnes of ammonia and 1.06 mm tonnes of specialty product. (2) Specialty includes solutions and specialty products. Source: Agrium

20


Agrium Production and Distribution Locations



Nunavut

Labrador British Columbia Roma Alberta Calgary Carseland Kamloops Redwater Fort Saskatchewan Joffre Standard PE Ontario Kapuskasing Quebec NB NS Maine NH Wisconsin Minnesota NY MI VT MA CT RI NL.

Manitoba Saskatchewan Watson Clavet Granum Vanscoy Bloom Ft. Macleod Canada United States Montana North Dakota Leal South Dakota

Washington Kennewick Oregon Idaho Conda Nevada West Sacramento California Arizona Utah

Wyoming

Denver Colorado

Nebraska Homestead

New Mexico

NJ Garner PA Marseilles Early Iowa MD Del. Ohio Niota Illinois Newton North Bend IN WV Meredosia Virginia Missouri Lynchburg Kansas Mt. Vernon Kentucky Paducah North Carolina Wilmington Tennessee Oklahoma Arkansas South Hartsville Florence Georgia Carolina Borger Americus MS Alabama Tifton LA Bainbridge Texas Florida

Mexico

Nitrogen Production Facility Solution Production Facility Phosphate Production Facility Phosphate Mine Potash Production Facility Potash Mine Granulation Production Facility

Anhydrous Ammonia Storage Solution Storage Dry Storage Blend Storage Engro Distribution Ammonia Pipeline System Corporate/Wholesale Head Office United States Sales Office


21

Competitors 2009 Ammonia Plant Capacities and Locations(000 metric nutrient tonnes per year)

Company

Site Carseland, Alberta Ft. Saskatchewan, Alberta Joffre, Alberta Redwater, Alberta Medicine Hat, Alberta Brandon Manitoba Belle Plaine, Saskatchewan Ft. Saskatchewan, Alberta Courtright Ontario

Capacity of NH3 Product 439 381 394 787 902 353 531 130 394 4,311

Canada

Agrium Inc Agrium Inc Agrium Inc Agrium Inc Canadian Fertilizer ltd. Koch Fertilizer Canada Inc. Yara Belle Plaine Inc.(formerly Saskaferco Products Inc.)

Sherritt International Inc. Terra Industries Inc. Total Canada

United States

Agrium U.S. Inc. CF Industries Holdings Inc. Coffeyville Res. Dakota Gasification Company Dyno Nobel Dyno Nobel Green Valley Chemical Honeywell International Koch Industries Inc. Koch Industries Inc. Koch Industries Inc. Koch Industries Inc. LSB Industries The Mosaic Company Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan Renetech Inc Terra Industries Inc. Terra Industries Inc. Terra Industries Inc. Terra Industries Inc. Terra Industries Inc.

Borger, Texas Donaldsonville, Louisiana Coffeyville, Kansas Beulah, North Dakota Cheyenne, Wyoming St. Helens, Oregon Creston, Iowa Hopewell, Virginia Beatrice, Nebraska Dodge City, Kansas Enid, Oklahoma Fort Dodge, Iowa Cherokee, Alabama Faustina, Louisiana Augusta, Georgia Lima, Ohio E. Dubuque, Illinois Donaldsonville, Louisiana Port Neal, Iowa Verdigris, Oklahoma Yazoo City, Mississippi Woodward, Oklahoma

402 1,711 320 291 146 83 26 435 217 230 818 287 130 410 564 482 228 373 275 781 372 328 8,909 13,220

Total United States Total Canada and United States

Source: IFDC Worldwide Ammonia Capacity Listing by Plant, June 2009.

22


Competitors 2009 Urea Plant Capacities and Locations(000 metric nutrient tonnes per year)

Company

Site

IFDC Capacity(1)(2)(Includes Urea Melt)

Blue Johnson Capacity(2)(Solid Urea)

Canada

Agrium Inc. Agrium Inc. Agrium Inc. Canadian Fertilizer Dyno Nobel Nitrogen Koch Fertilizer Canada Inc. Yara Belle Plaine Inc.(formerly Saskaferco Products Inc.)

Carseland, Alberta Ft. Saskatchewan, Alberta Redwater, Alberta Medicine Hat, Alberta Maitland, Ontario Brandon, Manitoba Belle Plaine, Saskatchewan Courtright, ON

312 198 331 338 4 129 445 117 1,767

312 198 331 307 129 453 119 1,826 46 983 100 42 56 29 38 232 79 240 167 184 54 134 284 81 50 2,798 4,624

Terra Industries Inc. Total Canada

United States

Agrium U.S. Inc. CF Industries Holdings Ltd. Coffeyville Res. Dyno Nobel Dyno Nobel Koch Industries Inc. Koch Industries Inc. Koch Industries Inc. Koch Industries Inc. LSB Industries Inc. Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan Rentech Inc. Terra Industries Inc. Terra Industries Inc. Terra Industries Inc. Terra Industries Inc.

Borger, Texas Donaldsville, Louisana Coffeyville, Kansas Cheyenne, Wyoming St. Helens, Oregon Beatrice, Nebraska Dodge City, Kansas Enid, Oklahoma Fort Dodge, Iowa Cherokee, Alabama Augusta, Georgia Geismar, Louisana Lima, Ohio E. Dubuque, Illnois Port Neal, Iowa Verdigris, Oklahoma Yazoo City, Missouri Woodward, Oklahoma

46 1,070 157 44 52 29 38 231 79 100 230 171 188 61 128 279 82 53 3,038 4,805


(1) IFDC includes CRU production capacity. (2) Agrium capacities are sourced from Agrium. Source: IFDC Worldwide Urea Capacity Listing by Plant, June 2009. Blue & Johnson, The Sheet May 2009. Agrium


23

Competitors 2009 Granular Ammonium Phosphates Plant Capacities and Locations(000 metric nutrient tonnes per year)

Company

Site Redwater, Alberta (MAP)

IFDC Capacity(1) 343 343

CanadaTotal Canada

Agrium Inc.

United States

Agrifos Fertilizer, LP Agrium U.S. Inc. CF Industries Holdings Inc. J.R. Simplot Company J.R. Simplot Company Mississippi Phosphates Corp. The Mosaic Company The Mosaic Company The Mosaic Company The Mosaic Company Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan

Pasadena, Texas (DAP) Conda, Idaho (MAP) Plant City, Florida (DAP) Pocatello, Idaho Rock Springs, Wyoming Pascagoula, Mississippi (DAP) Bartow, Florida (DAP) Tampa, Florida (DAP) Faustina, Louisiana (DAP) New Wales, Florida (DAP) Aurora, North Carolina (DAP) White Springs, Florida (DAP)

227 156 998 191 186 362 954 785 835 1,669 574 327 7,264 7,607


(1) Agrium capacities are sourced from Agrium. Source: IFDC Worldwide DAP and MAP Capactity listing by Plant, June 2009. Agrium

24


Competitors 2009 Muriate of Potash Capacities(000 metric nutrient tonnes per year)

Company

Site Vanscoy, Saskatchewan Belle Plaine, Saskatchewan Colonsay, Saskatchewan Esterhazy, Saskatchewan Allan, Saskatchewan Cory, Saskatchewan Lanigan, Saskatchewan Patience Lake, Saskatchewan Penobsquis (Sussex), New Brunswick Rocanville, Saskatchewan

IFDC Capacity(1) 1,230 1,720 1,098 3,040 1,150 830 2,335 630 479 1,857 14,369

Canada

Agrium Inc. The Mosaic Company The Mosaic Company The Mosaic Company Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan Potash Corporation of Saskatchewan

Total Canada

United States

Intreprid Potash Intreprid Potash Intreprid Potash Intreprid Potash The Mosaic Company

Carlsbad, New Mexico (East) Lea County, New Mexico (West) Moab, Utah Wendover, Utah Carlsbad, New Mexico

272 279 99 65 500 1,215 15,584


(1) Agrium capacities are sourced from Agrium. Source: IFDC Worldwide Potash Capacity Listing by Plant, June 2009. Annual Company Reports. Agrium


25

Selected Competitors Annual Capacity(000 metric nutrient tonnes per year)

N 2,352

P 907

K -

CF Industries Holdings Inc.

Public company, traded on the New York Stock Exchange, under the ticker CF(1) FY2008 EBITDA: $1,255 ($ millions) Website address: www.cfindustries.com Headquarters: Deerfield, Illinois, United States Plants located in: United States, Canada 500 4,400 6,240(7)

The Mosaic Company

Public company, traded on the New York Stock Exchange, under the ticker MOS(1) FY2008(2) EBITDA: $3,210 ($ millions) Website address: www.mosaicco.com Headquarters: Plymouth, Minnesota, United States Plants located in: United States, Canada, Brazil, Argentina, China, Australia, Thailand, Vietnam, India, Mexico The company is a result of the merger of IMC Global and Cargill Crop Protection 2,852(1)

Potash Corporation of Saskatchewan

2,431(3)

9,153(4)

Public company, traded on the New York Stock Exchange, under the tick POT FY2008 EBITDA: $4,607 ($ millions) Website address: www.potashcorp.com Headquarters: Saskatoon, Saskatchewan, Canada Plants located in: Canada, United States, Trinidad

Terra Industries Inc.

3,206(5)(1)

-

-

Public Company, traded on the New York Stock Exchange, under the ticker TRA FY2008 EBITDA: $853 ($ millions) Website address: www.terraindustries.com Headquarters: Sioux City, Iowa, United States Plants located in: United States, Canada, Trinidad Acquired Mississippi Chemical for $268 million in 2004

Yara International ASA

6,560(6)(1)

300(6)

-

Public company, traded on the Oslo Stock Exchange, under the ticker YAR FY2008 EBITDA: $2,147 ($ millions) Website address: www.yara.com Headquarters: Oslo, Norway Plants located in: Norway, Sweden, France, Germany, Netherlands, Italy, Trinidad, Brazil, Canada Previously called Hydro Agri, which was a part of Norsk Hydro until March 2004

(1) (2) (3) (4)

The major stock exchange is listed, some companies listed on multiple stock exchanges. Year ended May 31. Includes Potash Corporation of Saskatchewans interest in ICL (11 percent). Includes Potash Corporation of Saskatchewans interest in Arab Potash Co. (28 percent), Israel Chemicals Ltd. (11 percent), Sociedad Qumica Y Minera de Chile S.A.(32 percent), Sinofert Holdings Ltd. (22 percent) and the volumes received under tolling agreement with Mosaic. (5) Includes Terra Industries Inc. interest in Point Lisas Nitrogen Ltd. (50 percent) and Kemira GrowHow UK Ltd. (50 percent). (6) Includes Yaras joint venture share of capacity in Le Havre (47.85 percent), Point Lisas (49 percent), Ince (50 percent), Billingham (50 percent), Qafco (25 percent), Lifeco (50 percent), Rossoh (30 percent), Burrup (30 percent). (7) Mosaics annual potassium capacity does not include product produced at Esterhazy and sold to Potash Corporation of Saskatchewan under a tolling agreement. Source: IFDC Worldwide Plant Capacity Report for Ammonia, Phosphoric Acid, and Potash, June 2009; www.capitaliq.com, A Division of Standard and Poors, Agrium., Company Annual Reports.

26


Agrium Advanced Technologies: Embracing the FutureOur Advanced Technologies division is a leader in developing and supplying environmentally friendly nutrient products and other products for the home and garden, turf, and the golf course market. Agrium is one of the worlds premier developers and manufacturers of controlled-release fertilizers. Agriums brands: XCU, Polyon, Nitroform, Nutralene, and Duration CR, are marketed primarily into the specialty turf and horticulture markets. Agrium markets controlled-release fertilizer, ESN, into the commodity agriculture market. ESN is Agriums patented-process controlled release nitrogen product, the first product of its kind marketed for use in commodity agriculture. Controlled-release fertilizers release nutrients as the plants require increasing the efficiency of fertilizer use while benefiting the environment.

Products

Slow-Release Fertilizer

Slow-Release Fertilizer

Specialty FertilizersESN Duration Nutralene Nitroform

Specialty FertilizersPolyon Precise XCU

MicronutrientsAgriMag Broadman20 EZ20 Nubor10 UltraYield

Annual Production Capacities by ProductProduction Capacity(metric tonnes per year)

Specialty Fertilizers(by product types)

ESN Duration Nutralene XCU Nitroform Polyon Precise Total All Product Types (1)

200,000 40,000 20,000 105,000 26,000 93,850 1,275 486,125(metric tonnes per year)

Micronutrients and NPKsReese Facility 50,000

(1)

All Product Types include ESN, Duration, Nutralene, XCU, Nitroform, Polyon, and Precise.


27

Agrium Advanced Technologies - ESN Features, Advantages and BenefitsESN is the only controlled release nitrogen source widely available in agriculture, providing growers with a return on investment through increased nitrogen efficiency. Audience Growers Features Advantages Benets Per acre yield increases of 15-20 bu/acre in corn, 8 - 10 percent in Canola, and 5 - 10 percent in Wheat when applied to the appropriate acres. Up to 1.5 percent increase in cereal protein and increased quality in Potatoes and other crops. Less applications required with a larger window. Coating protects product while in storage and works with all conventional equipment. Apply up to 3x the typical safe rate of urea. Vitrually eliminate N loss to the environment, protecting the growers N investment while receiving goverbnment support through use incentives. University and government research over multiple years, geographies, and crops instills condence in benet claims. Color instills condence in the grower and lets them know they got what they paid for.

Controlled Release Yield Enhancements Nitrogen (N) Benets Protein/Quality Improvements Timing/Convenience

Seed Safety Environmentally Friendly

Backed by Independent Research Color

Condence

Condence

28


Agrium Advanced Technologies Production and Distribution Locations



Nunavut

Labrador British Columbia Alberta NL.

Saskatchewan Carseland Canada Washington Kennewick Oregon Idaho United States Montana

Manitoba Ontario Portage La Prairie Maine North Humboldt Dakota Minneapolis Colfax Wisconsin Quebec NB

PE NS

Nevada Utah

California Arizona

NH VT Brighton MA NY Saginaw Brantford CT RI Minnesota South MI Putnam Dakota Reese Courtright Wyoming NJ Burns Harbor PA Sioux City Garrett Toledo Lewistown Danville Iowa MD Del. Nebraska Ohio Illinois IN Homestead WV Loveland Virginia Missouri Mt. Vernon Kansas Colorado Kentucky New Madrid North Wilmington Carolina Tennessee Union City Oklahoma Arkansas South New Sylacauga Carolina Mexico Georgia MS Alabama Bainbridge LA Texas Florida

Mexico

Production Facility Storage Facility Product Innovation Regional Office Head Office


29

Selected Competitors Agrotain International L.L.C.

Subsidiary of Lange-Stegmann Co., a privately held company Website address: www.agrotain.com Headquarters: St. Louis, Missouri Facilities located in: North America.

Products N Stabilizers Agrotain, Agrotain Plus, Super N Concentrate (Urease Inhibitors + Nitrification Inhibitors) HYDREXX (Urease Inhibitor + Nitrification Inhibitor) Stabilized Nitrogen Fertilizers UMAXX UFLEXX Super U

Chisso Asahi Fertilizer Company Ltd.

Private Company Website address: www.chisso.co.jp/english Facilities located in: Japan

Products U.S. Market (Primarily through Helena Chemical Co.) Nutricote (PCF) Meister (PCU) UBER (CDU) Japanese Market: Phoska Line (CDU) Long, Ecolong, Hi-Control, LP Coat (PCF)

Haifa Chemicals Ltd.

Private Company, owned by Trans Resources Inc. Website address: www.haifachem.com Headquarters: Haifa Bay, Israel Facilities located in: Israel and France

Products Coated Products Multicote (PCU and PC - NPK) Cote N (PCU) Poly-Feed Multi-K Urea Reaction Hi-Green (MU-based NPK)

Lebanon Seaboard Corporation

Private Company Website address: www.lebanonturf.com Headquarters: Lebanon, Pennsylvania Facilities located in: North America

Products Urea Reaction Meth-Ex 40 (methylene urea used in brand name products MESA and EXPO Coated Products Poly-X Pro (purchased PCSCU) Brand Name Blended Products Country Club, Lebanon Pro, IsoTec, Par Ex, Proscape, Greenskeeper Planting Products Woodace Tablets

30


Selected Competitors Sadepan Chimica S.r.l

Private Company (division of the Saviola Group) Website address: www.grupposaviola.com/sadepanc Headquarters: Mantova, Italy Facilities located in: Italy and Belgium

Products Sazolene Products (liquid and granular methylene urea products) Sirflor N38 and Sirflor Plus (Granular ureaform)

The Scotts Miracle-Gro Company

Public company, traded on the the New York Stock Exchange, under the ticker SMG Website address: www.scotts.com Headquarters: Marysville, Ohio Facilities located in: North America FY2008(1) EBITDA: 318 ($ millions) Divisions: The Scotts Company LLC, Scotts Pro Lawn Service, Smith and Hawken(2), Ortho, Scotts Canada Ltd., plus a variety of European subsidiaries.

Products Coated Products: Poly-S (PCSCU) ScottKote (PCU) Osmocote (PC NPK) Others: Turf Builder Osmoform Miracle Gro, Scotts, Hypones, Earthgro, SuperSoil, Bug-B-Gone, Weed-B-Gone and Roundup Planting Products (Horticulture) Agriform

Turf Care Supply Corporation

Private Company (Owned by Platinum Equity) Website address: www.turfcaresupply.com Headquarters: Brunswick, Ohio Facilities located in: United States

Products Marketed Products: Growstar Line: line of turf-related blended and homogenous products including Palm and Tropical Fertilizer; Polymer Coated Sulfur Coated Urea; Professional Turf Fertilizer; Sulfur Coated Sulfate of Potash with Fe and Mn; Weed and Feed. Private Label Production: Poly-Plus (PCSCU for JDL / Lesco) Novex (NPK and NK with MU for JDL / Lesco)

(1) Fiscal end September 30. (2) Smith and Hawken Operations will be closed by end of 2009. Source: Agrium


31

Agricultural Statistics Crops: Area, Production and Stocks - United States(million bushels and million acres)

Area Planted

Area Harvested

Yield(bu/ac)

Prod.

Total Use

Ending Stocks

Stocks to Use Ratio

Avg. Farm Price($/bu)

Wheat(CY)

2009/10(p) 2008/09(e) 2007/08 2006/07 2005/06 2004/05 2003/04

59.8 63.1 60.5 57.3 57.2 59.7 62.1

50.4 55.7 51.0 46.8 50.1 50.0 53.1

43.3 44.9 40.2 38.7 42.0 43.2 44.2

2,184 2,500 2,051 1,812 2,105 2,158 2,345

2,218 2,265 2,314 2,049 2,155 2,235 2,353

743 667 306 456 571 540 546

33% 29% 13% 22% 26% 24% 23%

5.20 6.78 6.48 4.26 3.42 3.40 3.40

Soybeans(CY)

2009/10(p) 2008/09(e) 2007/08 2006/07 2005/06 2004/05 2003/04

77.7 75.7 64.7 75.5 72.0 75.2 73.4

76.8 74.6 64.1 74.6 71.3 74.0 72.5

41.7 39.6 41.7 42.7 43.0 42.2 33.9

3,199 2,959 2,677 3,188 3,063 3,124 2,454

3,109 3,069 3,056 3,073 2,873 2,986 2,525

210 110 205 574 449 256 112

7% 4% 7% 19% 16% 9% 4%

9.40 10.00 10.10 6.43 5.66 5.74 7.34

CY (e) (p) Source:

Crop Year estimated projected USDA- WASDE-472-12, August 12, 2009.

32


Agricultural Statistics Corn Supply and Use - United States(million bushels and million acres)

Year

Begin Area Area Yield Stocks Planted Harvested (bu/ac) 1,720 1,624 1,304 1,967 2,114 958 1,087 1,596 1,899 1,718 1,787 1,308 883 426 1,558 850 2,113 87 86 94 78 82 81 79 79 76 80 77 80 80 80 71 79 79 80 79 87 71 75 74 71 69 69 72 71 73 73 73 65 73 72 160 154 151 149 148 160 142 129 138 137 134 134 127 127 114 139 101

Total Prod. Supply(1) 12,761 12,101 13,038 10,535 11,114 11,807 10,089 8,967 9,507 9,915 9,431 9,759 9,207 9,293 7,374 10,103 6,336

Avg. Total Stocks Farm Dom End To Use Days Price Use Exports Stocks Ratio Supply ($/bu) 2,100 1,850 2,437 2,125 2,147 1,818 1,897 1,588 1,889 1,935 1,937 1,981 1,504 1,795 2,228 2,200 1,328 1,621 1,720 1,624 1,304 1,967 2,114 958 1,087 1,596 1,899 1,718 1,787 1,308 883 426 1,558 850 12.6% 14.3% 12.8% 11.6% 17.4% 19.8% 9.3% 11.4% 16.3% 19.5% 18.0% 19.2% 14.9% 9.9% 5.0% 16.5% 11.1% 46 52 47 42 64 72 34 42 59 71 66 70 54 36 18 60 41 3.50 4.05 4.20 3.04 2.00 2.06 2.42 2.32 1.97 1.85 1.82 1.94 2.30 2.70 3.24 2.26 2.50

2009/10(p) 2008/09(e) 2007/08 2006/07 2005/06 2004/05 2003/04 2002/03 2001/02 2000/01 1999/00 1998/99 1997/98 1996/97 1995/96 1994/95 1993/94

14,496 10,775 13,740 10,170 14,362 10,300 12,514 9,086 13,237 9,122 12,776 8,844 11,190 8,335 10,578 7,903 11,416 7,915 11,639 7,805 11,232 7,587 11,085 7,318 10,099 7,287 9,733 7,054 8,947 6,294 10,963 7,205 8,470 6,292

(1) (e) (p) Source:

Total Supply includes import volumes. estimated projected USDA-WASDE 472-12, August 12, 2009.


33

Agricultural Statistics Fertilizer Application Rates - United StatesYears Ended June 30(1)

N

P 58 81% 47 43 67% 29 46 23% 11 31 85% 27 34 57% 19

K 83 65% 54 71 52% 37 80 25% 20 18 27% 5 48 17% 8

Total

Corn

lbs/acre % of area applied lbs applied/acre lbs/acre % of area applied lbs applied/acre lbs/acre % of area applied lbs applied/acre lbs/acre % of area applied lbs applied/acre lbs/acre % of area applied lbs applied/acre

137 96% 132 91 92% 84 17 18% 3 72 95% 68 64 80% 51

233

Cotton

150

Soybeans

34

Spring Wheat

100

Winter Wheat

78

(1) Corn and Cotton data are for the years 2005 and 2008, respectively. Soybeans, Spring Wheat and Winter Wheat data is for the year 2007. Source: Agricultural Chemical Usage Report, 2007 and 2008 Field Crops Summary. NASS, USDA.

34


Agricultural Statistics Nutrient Uptake and Removal by Field Crops - United States(pound per acre)

N

P 2 O5

K2O

Corn155 bu/acre

Uptake(1) Removal(2)

240 135

102 79

240 52

Soybeans42 bu/acre

Uptake Removal

224 160

38 32

144 56

Cotton830 lb/acre

Uptake Removal

160 54

48 24

140 34

(1) Total nutrient taken up by the crop. (2) Nutrient removed in harvested portion of the crop. Source: IPNI; Plant Food Uptake and Harvest Removal For Southern Crops, september 2009. USDA, WASDE, August 2009.


35

Agricultural Statistics Planted Area and Production by Crop - Western Canada Area(1)(000 of acres)

2009(e) Winter Wheat Spring Wheat Durum Wheat Oats Barley Rye Flaxseed Canola Total Crops(1) Summer Fallow 1,867 17,485 5,580 3,879 8,778 325 1,720 15,825 55,459 5,890

2008 2,617 16,363 6,030 4,345 9,357 340 1,560 16,160 56,772 6,070

2007 1,587 15,215 4,815 5,408 10,865 305 1,305 14,726 54,226 7,710

2006 1,711 18,743 3,795 5,099 9,118 482 1,988 12,422 53,358 8,617

2005 405 17,582 5,785 4,125 10,290 350 2,080 13,485 54,102 10,160

2004 670 18,325 5,510 3,180 10,865 361 1,799 13,054 53,764 8,918

2003 561 18,283 6,135 5,184 11,715 356 1,841 11,626 55,701 8,913

2002 383 18,846 6,150 5,500 11,835 210 1,710 9,541 54,175 10,289

2001 489 20,324 5,350 4,339 10,761 331 1,690 9,410 52,694 11,641

Production(000 of tonnes)

2009(e) Winter Wheat Spring Wheat Durum Wheat Oats Barley Rye Flaxseed Canola Total Crops(2) 2,945 16,150 4,519 2,967 8,948 267 915 9,541 46,254

2008 4,687 18,405 5,519 4,273 11,781 316 861 12,643 58,485

2007 2,499 13,873 3,681 4,696 10,984 233 634 8,751 45,351

2006 3,403 20,052 3,821 3,602 10,005 302 1,041 9,105 51,331

2005 469 18,407 5,915 3,028 11,664 302 1,082 9,609 50,476

2004 939 18,087 4,962 3,271 12,300 340 517 7,651 48,067

2003 751 16,075 4,280 3,255 11,396 263 754 6,604 43,378

2002 386 9,995 3,714 2,330 6,190 83 679 3,520 26,897

2001 441 16,405 3,055 2,454 10,320 136 702 5,021 38,534

(e) (1) (2) Source:

estimated Refers to seeded Area. Total crops includes total for major crops only. Field Crop Reporting Series, Catalogue no. 22-002X, Volume 88. No 4, Statistics Canada June 2009. Field Crop Reporting Series, Catalogue no. 22-002-X, Volume 88. No 5, Statistics Canada, July 2009.

36


Fertilizer Statistics Nutrient Uptake and Removal by Field Crops - Western Canada(pound per acre)

N

P2O5

K2O

S

Spring Wheat40 bu/acre (2690 kg/ha)

Uptake(1) Removal(2)

76-93 54-66

29-35 21-26

65-80 16-19

8-10 4-5

Barley80 bu/acre (3360 kg/ha)

Uptake Removal

100-122 70-85

40-49 30-37

96-117 23-28

12-14 6-8

Canola35 bu/acre (1960 kg/ha)

Uptake Removal

100-123 61-74

46-57 33-40

73-89 16-20

17-21 10-12

Flax24 bu/acre (1492 kg/ha)

Uptake Removal

62-76 46-56

18-22 14-17

39-48 13-16

12-15 5-6

(1) Total nutrient taken up by the crop. (2) Nutrient removed in harvested portion of the crop. Source: CFI, February 2001.


37

Fertilizer Statistics Total Consumption of Fertilizers - North America(000 metric nutrient tonnes per year)

Year

N

Primary Nutrient Consumption P 2 O5 K20

Total

United States2009(e) 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 10,886 11,612 11,930 10,929 11,195 11,819 10,970 10,895 10,464 11,189 11,296 11,170 11,206 11,162 10,631 11,470 10,335 10,384 10,239 10,048 3,393 3,946 4,355 4,064 4,209 4,377 3,892 4,200 3,862 3,913 3,859 4,187 4,184 4,107 4,014 4,102 4,024 3,826 3,811 3,942 2,948 4,355 4,627 4,286 4,695 5,008 4,491 4,519 4,469 4,510 4,494 4,809 4,921 4,770 4,652 4,779 4,664 4,574 4,537 4,720 17,228 19,913 20,912 19,279 20,099 21,204 19,353 19,614 18,795 19,612 19,649 20,166 20,311 20,039 19,297 20,351 19,023 18,784 18,587 18,710

(e) estimated Source: The Fertilizer Institute, US Nutrient Consumption 1960-2006. IFA, Fertilizer Consumption 2008/09-2013/14, Country Reports, June 2009. Canada: Canadian Fertilizer Information System, Western Retail Sales Statistics July 2008 to March 2009.

38


Fertilizer Statistics Total Consumption of Fertilizers - North America(000 metric nutrient tonnes per year)

Year

N


Total

Canada2008/09(e) 2007/08 2006/07 2005/06 2004/05 2003/04 2002/03 2001/02 2000/01 1999/00 1998/99 1997/98 1996/97 1995/96 1994/95 1993/94 1992/93 1991/92 1990/91 1,795 1,915 1,732 1,540 1,393 1,660 1,643 1,556 1,577 1,682 1,619 1,653 1,670 1,576 1,448 1,406 1,305 1,253 1,148 425 502 464 565 610 676 656 630 632 667 664 717 704 658 628 641 616 592 578 250 354 381 205 332 349 335 324 316 339 359 358 322 333 310 328 327 310 338 2,470 2,771 2,577 2,310 2,335 2,685 2,634 2,510 2,526 2,688 2,642 2,728 2,696 2,567 2,386 2,375 2,248 2,155 2,064

(1)

2006 to 2008 data are derived from fertilizer shipments to Canadian agriculture markets report. Data prior to 2006 was collected by Canadian Fertilizer Institute. Different coverage and reporting methods of the data will affect the comparability of the data. (e) estimated Source: Canadian Fertilizer Institute - Canadian Fertilizer Information System: Western Retail Sales Statistics July 2008 to March 2009.


39

Fertilizer Statistics Total Consumption of Fertilizers - CanadaYears Ending June 30 (000 metric nutrient tonnes per year)

Year

N


Total

Western Canada2007/2008(1) 2006/2007 2005/2006 2004/2005 2003/2004 2002/2003 2001/2002 2000/2001 1999/2000 1998/1999 1997/1998 1996/1997 1995/1996 1,600 1,388 1,251 1,259 1,350 1,340 1,280 1,301 1,396 1,320 1,354 1,399 1,288 442 403 452 502 543 527 488 486 518 516 553 550 509 163 151 68 159 157 151 126 124 133 137 126 109 108 2,205 1,942 1,771 1,920 2,050 2,018 1,894 1,911 2,047 1,973 2,033 2,058 1,905

Eastern Canada2007/2008(1) 2006/2007 2005/2006 2004/2005 2003/2004 2002/2003 2001/2002 2000/2001 1999/2000 1998/1999 1997/1998 1996/1997 1995/1996 315 344 289 134 310 303 276 276 286 299 299 271 288 60 61 113 108 133 129 142 146 149 148 164 154 149 191 230 137 173 192 184 198 192 206 222 232 213 225 566 635 539 415 635 616 616 614 641 669 695 638 662

(1)

2006 to 2008 data are derived from fertilizer shipments to Canadian agriculture markets report. Data prior to 2006 was collected by Canadian Fertilizer Institute. Different coverage and reporting methods of the data will affect the comparability of the data. Source: Canadian Fertilizer Institute--Canadian Fertilizer Information System: Western Retail Sales Statistics July 2008 to March 2009.

40


Fertilizer Statistics Fertilizer Consumption - United States25,000 ('000 metric tonnes) 20,000 15,000 10,000 5,000 0 1960

1965

1970

1975 Nitrogen

1980

1985

1990 Potash

1995

2000

2005

Phosphate

Source: The Fertilizer Institute, 2009.


41

Fertilizer Statistics Fertilizer Consumption - Canada3,000 ('000 metric tonnes) 2,500 2,000 1,500 1,000 500 0 1973 1978 1983 1988 Nitrogen 1993 Phosphate 1998 Potash 2003 2008

Source: The Fertilizer Institute, 2009. Note: Beginning 2001, for Quebec, year ending is July 31.

42


Fertilizer Statistics Historical Fertilizer and Gas Prices - North America20 1400 1300 18 1200 16 1100 1000 14 900 12 800 $9.03 700 10 $8.62 600 $7.20 $6.87 8 500 $6.13 $5.36 6 400 $4.34 $3.89 $4.26 300 $3.22 4 $2.63 $2.60 $2.12 $2.29 200 2 100 0 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 (Jan - May) Urea Gran NOLA fob Ammonia ACB fob Nymex Price Urea Gran W. Canada dIv Ammonia W. Canada dIv

US$/metric tonne

US$mmBtu dIv

US$/metric tonne

1000 900 800 700 600 500 400 300 200 100 0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 (Jan - May) DAP PNW dIv DAP CFL fob KCL ACB fob

Source:

Fertilizer prices are all spot weighted averages before any discounts, year average refers to calendar year. NOLA = refers to a FOB price (loaded on barge) at the U.S. Gulf port, New Orleans, Louisiana. ACB refers to the weighted average price in the U.S. corn belt. CFL refers to Central Florida. Gas prices are unhedged spot delivered to an ammonia plant located close to New Orleans, Louisiana (YTD Avg). Blue, Johnson and Associates Inc., The Sheet, May 2009.


43


South America

44


South America MarketsInvesting in South America provides an opportunity to grow where agriculture is growing. Our current operations, Profertil and ASP, will allow us to leverage our strengths as we enter new markets. Brazil, Uruguay and Chile are key markets for expansion in South America beyond our Argentinian base. In 2009, we are continuing to grow by opening two retail farm branches in Uruguay.

BrazilBrazil is one of the largest fertilizer import markets in the world, importing on average approximately 70 percent of their nutrient requirements. It is also one of the fastest growing markets in the world, with a 6.4 percent compound annual growth rate between 1993 and 2008. Brazil has the fourth highest consumption of crop nutrients in the world and is the worlds third largest import market. Looking forward, the country still has approximately 60 million hectares of land which can be brought into agricultural production in order to fulfill growing global demand for grains and oilseeds. Over the last 15 years Brazil has grown to become one of the worlds largest agricultural producers and exporters.

Agrium South America RetailAgroservicios Pampeanos (ASP) is a wholly owned subsidiary of Agrium with close to 300 employees serving farmers through Farm Centers that supply inputs and services in Argentina and Chile. Products include fertilizers, chemicals, and seed. ASP has recently expanded into Uruguay. In 2009, two farm centers were built expanding Agriums South American presence. ASP Chile is involved primarily in the distribution of private label chemical products to retail facilities.

ProductsGranulated Urea Diammonium Phosphate (DAP) Monammonium Phosphate (MAP) Granulated Ammonium Sulphate


45

Agrium South America Retail Agroservicios Pampeanos(January 2009)

Farm Centers Fertilizer Plant Satellites Total

Argentina 28 1 3 32

Chile 2 0 0 2

Uruguay 2 0 0 2

Argentina27 retail farm centers, three satellite centers, one fertilizer plant to pelletize gypsum, and one chemical storage warehouse.(32 facilities in Argentina)

b Buenos Aires Province(17 locations)

b Buenos Aires ProvinceMechita OHiggins Olavarria fertilizer plant Pieres San Antonio de Areco Tres Arroyos 30 de Agosto Trenque Lauquen *

c Cordoba Province(7 locations)

e Entre Rios Province(1 location)

s Salta Province(1 location)

Salta

Alberdi America Balcarce Bolivar Colonia Hinojo Colonel Surez El Arbolito French Gardey

Cnel. Baigorria Colonia Bismark General Roca Gral. Cabrera Rio Cuarto * Villa Maria Monte Buey *

Victoria

m Mendoza Province(1 location)

Sante Fe Province(5 locations)

Cuyo

Casilda Casilda Col* Chapuy La California Galvez

ChileTwo chemical storage warehouses (2 facilities)

sLa Serena

tTemuco

UruguayTwo retail farm centers (2 facilities)

dDolores

yYoung

Agroservicios Pampeanos 36 facilities in South America

* Note:

Satellites Five additional locations to the above include: Argentina: Gypsum pelletizing facility, Central Office, No

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Documents

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north america7 agrium

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selected competitors

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