Oct. 28, 2009 (PR Newswire) --

PHILADELPHIA, October 28 /PRNewswire-FirstCall/ -- FMC Corporation (NYSE: FMC) today reported net income of $28.0 million, or $0.38 per diluted share, in the third quarter of 2009, versus net income of $80.0 million, or $1.05 per diluted share, in the third quarter of 2008. Net income in the current quarter included restructuring and other income and charges of $37.3 million after-tax, or charges of $0.51 per diluted share, versus restructuring and other income and charges of $5.6 million after-tax, or charges of $0.08 per diluted share, in the prior-year quarter. Excluding these items in both periods, the company earned $0.89 per diluted share in the current quarter, a decrease of 21 percent versus $1.13 per diluted share in the prior-year quarter. Third quarter revenue of $713.3 million was 13 percent lower than $820.8 million in the prior year.

William G. Walter, FMC chairman, president and chief executive officer, said, "Our third quarter results were consistent with our expectations. We realized continued strong performance in our businesses serving end markets less sensitive to the economy. And in our businesses with end markets more sensitive to the economy, though volumes were lower than a year ago, demand in each improved on a sequential basis relative to the second quarter with further improvement expected in the fourth quarter. Agricultural Products' results were driven by strong Latin American performance and lower raw material costs. Specialty Chemicals' earnings growth was the result of outstanding commercial performance in BioPolymer. Industrial Chemicals' results were impacted by lower volumes across its businesses and reduced selling prices in phosphates. As we complete 2009, we are confident that most impacts of the global recession are behind us."

Revenue in Agricultural Products of $268.3 million increased 2 percent versus the prior-year quarter, as sales gains in Brazil, driven by growth in planted acres in key crops, and in non-crop markets were partially offset by lower volumes in North America and Europe. Segment earnings of $59.2 million increased 34 percent versus the year-ago quarter, reflecting the sales growth in Brazil, lower raw material costs and favorable currency comparisons relative to the prior-year quarter.

Revenue in Specialty Chemicals was $191.7 million, down 3 percent versus year ago quarter. Strong commercial performance and the benefit of acquisitions in BioPolymer were more than offset by lower lithium volumes. Segment earnings of $40.9 million were 14 percent higher than the year-ago quarter, driven by revenue gains in BioPolymer partially offset by lower lithium volumes.

Revenue in Industrial Chemicals of $254.4 million declined 29 percent from the prior-year quarter, as lower volumes across the segment and reduced phosphate selling prices more than offset higher selling prices in most product lines. Segment earnings of $20.7 million were 69 percent lower than the year-ago quarter, driven by the lower sales partially offset by lower raw material costs, primarily phosphate rock, and energy costs.

Corporate expense was $10.3 million, down from $12.5 million in the prior-year quarter. Interest expense, net, was $6.2 million, as compared to $7.5 million in the year-ago quarter. On September 30, 2009, gross consolidated debt was $613.6 million, and debt, net of cash, was $553.7 million. For the quarter, depreciation and amortization was $32.3 million and capital expenditures were $35.0 million.

Nine Months Results

Revenue was $2,104.1 million, a decrease of 12 percent as compared with $2,377.6 million in the prior-year period. Net income was $166.4 million, 36 percent lower than $258.3 million in the year-earlier period. Net income in the current period included restructuring and other income and charges of $68.8 million, versus restructuring and other income and charges of $17.4 million in the prior-year period. Excluding these charges, the company earned $235.2 million in the first nine months of 2009, a decrease of 15 percent versus $275.7 million in the first nine months of 2008.

Revenue in Agricultural Products was $782.1 million, a decrease of 4 percent versus the prior-year period, as sales gains in North America were more than offset by lower sales in Latin America, primarily Brazil, and unfavorable currency impacts in Europe and Asia. Segment earnings were $242.2 million, an increase of 15 percent from the first nine months of 2008, as a result of higher selling prices, lower raw material costs, continued global supply chain productivity improvements and lower selling and administrative expenses.

Revenue in Specialty Chemicals was $558.9 million, 3 percent lower than the prior-year period, as strong commercial performance in BioPolymer was more than offset by lower lithium volumes. Segment earnings of $119.5 million increased 2 percent versus the year-earlier period as favorable commercial performance in BioPolymer and the benefits of productivity initiatives and acquisitions were partially offset by lower lithium volumes, temporary plant curtailments taken to reduce inventories and unfavorable currency translation.

Revenue in Industrial Chemicals was $766.6 million, a decrease of 22 percent versus the prior-year period, as lower volumes across the segment more than offset higher selling prices in most businesses. Segment earnings of $57.0 million declined 62 percent versus the year-earlier period, driven by lower volumes, higher raw material costs, particularly phosphate rock, and lower phosphate selling prices.

Corporate expense was $31.9 million, down from $37.4 million in the year-earlier period. Interest expense, net, was $19.7 million, as compared to $24.5 million in the prior-year period. For the period, depreciation and amortization was $93.5 million and capital expenditures were $106.8 million.

Outlook

Regarding the outlook for 2009, Walter said, "For the full year 2009, we have narrowed our outlook for earnings before restructuring and other income and charges to $4.05 to $4.15 per diluted share."

Walter added, "For the fourth quarter of 2009, we expect earnings before restructuring and other income and charges of $0.85 to $0.95 per diluted share. As compared to the prior-year quarter, in Agricultural Products we look for earnings to increase 35 to 40 percent driven by improved market conditions in Brazil, lower raw material costs and further manufacturing productivity improvements. In Specialty Chemicals, we expect earnings to be up approximately 20 percent with continued strong performance in BioPolymer. In Industrial Chemicals, earnings are expected to be down 30 to 40 percent as reduced selling prices in phosphates and modestly lower volumes across the segment more than offset favorable raw material costs."

FMC will conduct its third quarter conference call and webcast at 11:00 a.m. ET on Thursday, October 29, 2009. This event will be available live and as a replay on the web at http://www.fmc.com. Prior to the conference call, the company will also provide supplemental information on the web including its 2009 Outlook Statement, definitions of non-GAAP terms and reconciliations of non-GAAP figures to the nearest available GAAP term.

FMC Corporation is a diversified chemical company serving agricultural, industrial and consumer markets globally for more than a century with innovative solutions, applications and quality products. The company employs over 5,000 people throughout the world. The company operates its businesses in three segments: Agricultural Products, Specialty Chemicals and Industrial Chemicals.

Safe Harbor Statement under the Private Securities Act of 1995: Statements in this news release that are forward-looking statements are subject to various risks and uncertainties concerning specific factors described in FMC Corporation's 2008 Form 10-K and other SEC filings. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. FMC Corporation does not intend to update this information and disclaims any legal obligation to the contrary.