Segments

PotashCorp numbers at a glance

#1 in global capacity
2011 Net Sales¹ — $3.7B
2011 Gross Margin — $2.7B, 64 percent of PotashCorp total
2011 Sales Volume by Region
2011 Sales Volume by Customer Type
¹Non-IFRS Financial Measures and Reconciliations

PotashCorp mines potash from underground deposits left behind by ancient evaporated seas. The world's largest deposits are in Saskatchewan.

As fertilizer — improves root strength and disease resistance; enhances taste, color and texture of food
As feed — aids animal growth and milk production
Used in industrial products (food products, soaps, water softeners, de-icers and drilling muds)

Can substantially raise capacity at a significant discount to and in less time than comparable greenfield capacity
Lower-cost, flexible production with small percentage of fixed costs when operating at close to capacity
Per-tonne fixed costs decrease as sales volumes increase
Existing operations have significant reserves and are located in a geopolitically stable region
Offshore investments add global reach and profitability
Substantial barriers to entry: economically mineable deposits are rare, capital costs are high and lead times are long
No known substitutes for potash

Our Strategic Approach	Priorities	Risks	Mitigation
Build on our potash position whenever value-enhancing opportunities arise Match production to market demand to reduce downside risk and conserve the long-term value of our potash resources	Expand operational capability to meet rising demand Enhance transportation and distribution capability Attract and retain a skilled workforce Structure operations so majority of costs are variable	New supply creates market imbalance Global demand insufficient to consume PotashCorp capacity Lack of adequate transportation and distribution infrastructure Underground mines face risks of water inflow and unexpected rock falls	Pace internal growth to rising market demand, and match production to demand Work with partners to ensure sufficient investment is made in transportation and distribution infrastructure Use advanced monitoring and geophysical techniques to help predict problematic situations