Nutrien Ltd 6-K, filed Feb 28, 2020

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Nutrien Ltd. (NTR)

6-K 2020-02-28 For: 2020-02-28

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Added on July 04, 2026

NUTRIEN LTD.

Date: February 28, 2020

/s/ Robert A. Kirkpatrick

Robert A. Kirkpatrick

SVP & Corporate Secretary

Nutrien Ltd filed this 6-K on February 28, 2020.

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Exhibit		Description of Exhibit

99.1		2019 Annual Report to Shareholders



1-5	Corporate Overview

6-8	Letter from the President and CEO

9-67	Management’s Discussion & Analysis

	12-20	Nutrien’s Strategy

	21-44	Operating Segment Performance & Outlook

	45-56	Financial Overview

	57-60	Enterprise Risk Management

	61-67	Other and Appendix

68-69	Two Year Highlights

70-133	Financial Statements

134-137	Terms & Other Information


• EBITDA, adjusted EBITDA and Potash adjusted EBITDA		• Retail EBITDA per US selling location
• Adjusted net earnings per share		• Adjusted net debt
• Free cash flow and free cash flow including changes in non-cash working capital


Overview		Management’s Discussion & Analysis		Two Year Highlights		Financial Statements		Other Information


		Broad Exposure to Ag Value Chain Well positioned to deliver value with the strength of our people, products, supply chain, data and technology across the Ag value chain.
		Superior Returns with Lower Risk Our business model has historically displayed earnings stability while still offering significant leverage to the agriculture cycle.
		Financial Strength & Flexibility Diverse earnings, strong free cash flow and balance sheet and integrated model facilitate efficient allocation of capital.


2019 Financial & Operating Highlights	Growing, Performing, Sustaining
	At Nutrien, we are growing our business – efficiently and sustainably – to create value for our stakeholders. We are raising expectations of what an	agriculture company can be by improving our business today and continually positioning ourselves for tomorrow.



(in millions of US dollars, unless otherwise noted)	2019		2018		Change (%)

Financial Performance

Sales	$	20,023	$	19,636		+2

Gross Margin		5,441		5,392		+1

EBITDA		3,661		2,006		+83

Adjusted EBITDA		4,025		3,934		+2

Retail EBITDA		1,231		1,206		+2

Potash EBITDA		1,593		(203)		n/m

Potash Adjusted EBITDA		1,593		1,606		-1

Nitrogen EBITDA		1,239		1,215		+2

Phosphate EBITDA		194		255		-24

Earnings (loss) per Share from Continuing Operations		1.70		(0.05)		n/m

Adjusted Net Earnings per Share		2.17		2.68		-19

Strategic Initiatives

Annual Run-Rate Synergies	$	650	$	521		n/m

Free Cash Flow	$	2,157	$	1,975		+9

Dividend Payout/Free Cash Flow		47%		48%		-1

Adjusted Net Debt/Adjusted EBITDA		2.5x		1.6x		+56

Working Capital Ratio		1.2		1.4		-14

Non-Financial Performance

Lost-Time Injury Frequency ¹		0.34		0.34		–

Total Employees		22,300		20,300		+10

Employee Turnover Rate ²		13%		14%		-1

Community Investment	$	17	$	17		–

Environmental Incidents		23		22		+5



12	Strategy

21	Operating Segment Performance & Outlook

	22-27	Retail

	28-33	Potash

	34-39	Nitrogen

	40-43	Phosphate

	44	Corporate & Others

45	Financial Overview


The following management’s discussion and analysis (“MD&A”) is the responsibility of management and is dated as of February 19, 2020. The Board of Directors of Nutrien carries out its responsibility for review of this disclosure principally through its audit committee, comprised exclusively of independent directors. The audit committee reviews and, prior to its publication, recommends to the Board of Directors approval of this disclosure. The Board of Directors has approved this disclosure. The term “Nutrien” refers to Nutrien Ltd. and the terms “we,” “us,” “our,” “Nutrien” and “the Company” refer to Nutrien and, as applicable, Nutrien and its direct and indirect subsidiaries as a group. This MD&A is based on the Company’s audited consolidated financial statements for the year ended December 31, 2019 (“financial statements”) prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”) unless otherwise stated.
This MD&A contains certain non-IFRS financial measures which do not have a standard meaning under IFRS and, therefore, may not be comparable to similar measures presented by other issuers. Such non-IFRS financial measures include:
• EBITDA, Adjusted EBITDA and Potash Adjusted EBITDA	• Gross margin excluding depreciation and amortization per tonne - manufactured	• Retail cash operating coverage ratio
• Adjusted net earnings and adjusted net earnings per share		• Retail normalized comparable store sales
• Adjusted EBITDA and adjusted net earnings per share guidance	• Potash cash cost of product manufactured	• Retail EBITDA per US selling location
• Free cash flow and free cash flow including changes in non-cash working capital	• Ammonia controllable cash cost of product manufactured	• Nutrien Financial receivables
	• Adjusted net debt	• Debt-to-capital ratio (see disclosures on page 53)
	• Retail adjusted average working capital to sales
For definitions, further information and reconciliation of these measures to the most directly comparable measures under IFRS, see “Non-IFRS Financial Measures” beginning on page 63.
Also see the cautionary statement on forward-looking information on page 62.
All references to per share amounts pertain to diluted net earnings (loss) per share. Financial data in this annual report are stated in millions of US dollars which is the functional currency of Nutrien and the majority of its subsidiaries unless otherwise noted. N/m indicates information that is not meaningful.
See pages 134 and 135 for definitions, abbreviations and terms used in the annual report.
Additional information relating to Nutrien (which, except as otherwise noted, is not incorporated by reference herein), including our Annual Information Form for the year ended December 31, 2019, can be found on SEDAR at www.sedar.com and on EDGAR at www.sec.gov. The Company is a foreign private issuer under the rules and regulations of the US Securities and Exchange Commission (the “SEC”).
The information contained on or accessible from our website or any other website is not incorporated by reference into this MD&A or any other report or document we file with or furnish to applicable Canadian or US securities regulatory authorities.


Overview		Management’s Discussion & Analysis		Two Year Highlights		Financial Statements		Other Information



Building a unique	Create the	Own the leading
relationship with	best channel to	production assets and
the grower	the customer	proprietary offerings


Actagro	1.2Mmt	25%
SUSTAINABLE AG SOLUTIONS ACQUISITION	CAPTURED CO₂	PROPORTION OF FEMALE VICE PRESIDENTS AND ABOVE


Sustainable Agriculture

Our goal is to lead the next wave of sustainability in agriculture by developing solutions for our customers that increase crop yields, enhance their profitability and enable greater environmental stewardship. We aim to accomplish this goal through three key areas: 1. Develop solutions that increase nutrient availability and uptake by crops, improving productivity and crop resilience and reducing overall losses to the environment. Our 2019 acquisition of Actagro, a manufacturer of environmentally sustainable soil and plant health products and	technologies, is expected to contribute to growth and progress. 2. Enhance the data linkage between growers and downstream partners, such as food production companies and carbon markets. Our goal is to increase the data and analytical capabilities for on-field sustainability information tracking and enable insight and connectivity through our industry-leading Retail digital tools. The acquisition of Agrible in 2018 adds field-level predictive analytics to our digital	platform enabling farmers to quantify their performance and pursue opportunities for continuous improvement. In 2019, we began the integration of this tool into our digital platform for a broad customer roll-out. 3. Collaborate with our stakeholders to enable the uptake of best practices. This approach requires collaboration at multiple levels, including with government, regulatory agencies and international and local non-governmental organizations.


				Ag Solutions to
				Feed the Future



Environmental Footprint

Nutrien is committed to reducing its environmental footprint and has established a baseline to understand our current state and identify future areas of opportunity and investment. Reducing our footprint means we are focused on air emissions, water usage and discharge, and waste. Climate change is a key focus for Nutrien and we are committed to reducing greenhouse gas (GHG) emissions within our operations and across our value chain. Fertilizer production, especially nitrogen fertilizer, generates GHG emissions;	however, nitrogen is critical for healthy crops and soil organic carbon. Agricultural practices that increase yield on land reduce pressure to convert additional land to food production. Improved fertilizer use efficiency contributes to soil health and makes a positive impact to climate change by sequestering carbon naturally. This year, we obtained external assurance on our 2018 baseline scope 1 and 2 GHG emissions, which we expect to be provided in our 2020 ESG Report. We are also engaged in assessing our scope 3 GHG emissions inventory. Later in	2020, we plan to provide more detail on our climate strategy and targets for reducing emissions across our value chain. Water is important to our operations and is primarily used in our fertilizer production facilities and we are taking action to reduce our water use and increase water recycling. Examples include recycling water in a closed-loop system, using on-site collection ponds, and in some cases, using non-potable water sources to reduce intake of fresh water.



Diversity and Inclusive Growth

Nutrien is committed to diversity and inclusion within our workforce, our supply chain, local communities and the agricultural sector. D&I is an important component of how we deliver on our goal to be the leading integrated Ag Solutions provider. We aspire to lead in diversity and inclusion by focusing on a world class approach which links inclusion with our global sustainability agenda.	This means our strategy includes both internal and external efforts and advocacy and collaboration with multiple stakeholders. A key component is our focus on advancing our workforce diversity efforts through attracting, developing and engaging talent and creating an inclusive culture. In addition, we work to advance supplier diversity, partnerships and community advocacy for inclusion. An example of this is our Aboriginal Engagement strategy which focuses	on opportunities in our workforce, supply chain and community investment. In 2019, Nutrien renewed its partnership with the Saskatoon Tribal Council. Through a memorandum of understanding, Nutrien continues a commitment to initiatives and events that ensure our Indigenous partners share in opportunities both as employees and as suppliers.




$1.0B	~50%	$3.0B	$2.0B
SUSTAINING CAPITAL	OF CAPITAL DEPLOYMENT	CASH USED FOR	ACQUISITIONS,
EXPENDITURES	TO DIVIDENDS AND SHARE	DIVIDENDS AND SHARE	INVESTMENTS AND GROWTH
	REPURCHASES	REPURCHASES	PROJECT SPENDING




13%	19,000	$17M
EMPLOYEE TURNOVER	INDIVIDUALS INVOLVED	SPENT ON COMMUNITY
	IN LISTENING EVENTS	INVESTMENT


Our Business	Our Retail business provides a complete set of crop input products and solutions, including seed, crop protection, fertilizers and other crop inputs, as well as associated services, agronomic advice, financing and leading-edge digital capabilities.
	As the world’s largest retail distributor of crop inputs, we operate more than 2,000 retail locations across the US, Canada, Australia and key areas of South America. Our operations service more than 500,000 grower accounts globally and over 100 crops, with corn, soybeans, wheat and canola accounting for the majority of our business. We have more than 3,400 agronomists and field experts working directly with growers to help optimize crop yields and maximize economic returns from their farm businesses. Our digital platform aims to provide the leading digital offering to growers, improve ease of doing business and provide unprecedented insight for our customers with the goal of adding advisory value at each stage of the growing season.	Our experts help growers implement sustainable management practices based on a thorough understanding of soils, climate conditions and crop requirements, and by utilizing our portfolio of leading products and services. We also manufacture and sell a full range of advanced proprietary crop protection products and nutritionals that provide farmers with a portfolio of useful and competitive choices to successfully grow and protect their crops and livestock. Proprietary products also provide meaningfully higher margins than national brand offerings as we procure and blend the products at seven formulation facilities across our key markets.
Our Strategy	We are focused on being the Ag Retailer of the future by creating the leading channel to the customer and further enhancing our relationship with the grower.
	We will leverage our position as the largest Ag Retailer by combining a strong local presence with the responsiveness of our world-class supply chain and whole-acre solutions. In 2019, we established a five-year strategy to enhance our Retail platform and set out four key pillars to guide our pathway to transforming our relationship with the grower. Further Consolidate the Retail Industry: We expect to continue to make strategic acquisitions in our key target markets and leverage our scale, experience, supply chain and whole-acre solutions to create additional value for our customers. Create the Leading Ag Retail Digital Platform: We expect to offer growers the leading products, agronomic services and digital interface. We intend to further enhance our award-winning	digital platform by creating value-added features, expanding our credit offering for growers and by entering into strategic partnerships. Drive Organic Growth and Increase Efficiency: Through optimization of our supply chain and leveraging unprecedented insight from our digital platform, we expect to improve efficiency. We intend to further strengthen Nutrien Financial capabilities and provide customers with a seamless purchasing and planning experience. Enhance Proprietary Product Offering: We aim to enhance our product portfolio through innovation, collaboration and focused acquisitions to provide comprehensive solutions to growers including innovative and sustainable specialty products.


Digital Progress (2019 North America)
	Purchasing of key crop protection products, order online or have your agronomist do it on your behalf	Proportion of North American revenue from customers signed up on the Digital Platform
	Pay bills online, look up past purchases, see account balances, downloadable for tax/banking purposes
	Notifications of new statements, invoices and licenses/permits	Retail sales ordered through the digital platform
	Latest weather outlook & grain market information	Retail sales ordered through the digital platform
	Farm insight app with current spray conditions, radar for rain & temp, last 24 hours of rainfall, and national rainfall layers	Customer payments made through the Customer Portal
		Customer payments made through the Customer Portal



2019 Market Conditions

Unprecedented precipitation in North America in the first half of 2019 impacted planting and pressured crop input demand. Growers in the US claimed a record 20 million acres in Prevented Plantings in 2019, driven by record precipitation during the planting season. Not only did record area go unplanted, but many growers were unable to apply pre-plant herbicide and fertilizers. Lower US acreage and poor early crop development conditions significantly reduced US corn and soybean production in 2019, which began to support crop prices. Strengthening crop prices were, however, capped by weak global demand driven, in part, by continued impacts of the US-China trade dispute and the African Swine Fever in China.		Strong South American soybean and corn production in 2019 offset some of the production losses in the US, but Brazilian crop inventories ended the year historically low. Tight soybean and corn inventories provided support for local crop prices and in turn crop input demand. Drought continued to negatively impact Australian crop production, driving wheat yields approximately 20 percent below long-term trend levels and creating a headwind for Australian crop input demand. Considering the historical severity of the drought, both crop yields and crop input demand have been very resilient versus historical drought events.

Market Outlook

We expect a rebound in US crop acreage will support increased crop input demand in 2020. We expect US growers will return to historic planting acreage in 2020, including approximately 94 million acres of corn and 85 million acres of soybeans. This alone represents an increase of more than 14 million acres from 2019 levels. Additionally, we anticipate higher North American fertilizer application rates in 2020, driven by improved affordability and lower than normal fall application in parts of the US and Canada due to a delayed harvest and challenging fall weather conditions. Grower sentiment is positive, and we expect this to support higher than normal spring fertilizer applications for all primary nutrients.		Soybean production in Argentina and Brazil are expected to be at or near record levels, supported by favorable growing conditions. Additionally, we expect growers in Brazil to increase Safrinha corn planting supported by strong local prices. We expect strong production will result in high nutrient removal and support crop input demand in 2020. Weather will continue to be an important factor as higher planting in North America and South America will require more normal weather conditions. Precipitation in Australia has recently improved, however, conditions during the winter crop growing season will be critical to 2020 crop production.


(millions of US dollars, except as otherwise noted)		Dollars							Gross Margin						Gross Margin (%)
(millions of US dollars, except as otherwise noted)	2019		2018		% Change			2019		2018		% Change		2019		2018
Sales
Crop nutrients ¹		4,989		4,577		9			1,032		923		12		21		20
Crop protection products		4,983		4,862		2			1,173		1,155		2		24		24
Seed		1,712		1,687		1			336		333		1		20		20
Merchandise ²		598		584		2			109		103		6		18		18
Services and other		939		810		16			590		521		13		63		64

		13,221		12,520		6			3,240		3,035		7		25		24

Cost of goods sold ²		9,981		9,485		5

Gross margin		3,240		3,035		7
Expenses ³		2,604		2,328		12

Earnings before finance costs and taxes (“EBIT”)		636		707		(10	)
Depreciation and amortization		595		499		19

EBITDA		1,231		1,206		2

¹ Includes intersegment sales. See Note 3 to the financial statements. ² Certain immaterial figures have been reclassified or grouped together for the year ended December 31, 2018. ³ Includes selling expenses of $2,484 million (2018 – $2,303 million).


				2019 vs 2018
Crop nutrients				Sales increased primarily due to higher volumes sold in the US due to acquisitions and from higher selling prices in the first half of the year, more than offsetting reduced sales volumes due to unfavorable weather conditions particularly in the US and Canada.
Crop nutrients				Gross margin percentage increased due to strategic purchasing and an increase in the proportion of higher-margin specialty and proprietary products sold.
Crop protection products				Sales increased primarily due to higher herbicide and fungicide applications in the US due to excessive moisture experienced in the fall of 2018 as well as favorable changes in sales mix.
Crop protection products				Gross margin percentage was flat as favorable changes in the product sales mix and strategic purchasing were offset by the impact of higher competition in a condensed season and higher cost of raw materials sourced from China.
Seed				Sales increased primarily due to increased sales of higher-priced corn and cotton seeds which more than offset the impact of lower total planted acreage in the US.
Merchandise				Sales increased due to our recent acquisition of Ruralco.
Services and other				Sales increased due to an increase in US application services required as a result of a condensed application season and sales from recent acquisitions, including Ruralco.
Services and other				Gross margin percentage was lower due to changes in product mix from the Ruralco acquisition more than offsetting the increase in higher-margin US application services.
Selling expenses				Expense increased due to higher sales from acquisitions; however, expense as a percentage of sales was relatively flat.
EBITDA				EBITDA was higher primarily due to higher sales and gross margin and the impact of adopting IFRS 16 “Leases”, which caused a decrease in lease expenses and a corresponding increase in depreciation and amortization, more than offsetting higher selling expenses.


	2019		2018
Proprietary products margin as a percentage of product line margin (%)
Crop nutrients		23		21
Crop protection products		34		37
Seed		38		38

All Products		24		25

Crop nutrients sales volumes (tonnes – thousands)
North America		8,812		8,547
International		2,236		2,142

Total		11,048		10,689

Crop nutrients selling price per tonne
North America		465		437
International		398		395

Total		452		428

Crop nutrients gross margin per tonne
North America		102		94
International		60		57

Total		93		86


Financial performance measures	2019 Target		2019 Actuals		2018 Actuals
Retail EBITDA to sales (%) ¹		10		9		10
Retail adjusted average working capital to sales (%) ¹		20		23		21
Retail cash operating coverage ratio (%) ¹		60		62		59
Retail EBITDA per US selling location (thousands of US dollars) ¹				967		n/a
Retail normalized comparable store sales (%) ¹				(1)		(1)
Retail digital platform sales to total sales ²				11		n/a
Retail grower engagement ³				5		n/a


Our Business	Nutrien is the world’s largest producer of potash with approximately 21 percent of global potash capacity. We have access to decades of low-cost reserves from our six potash mines in Saskatchewan.
	In 2019, we produced 11.7 million tonnes of potash. We have approximately 6 million tonnes of incremental available operational capacity - a unique advantage in the industry giving us the flexibility to respond quickly and efficiently to both short-term market requirements as well as long-term demand growth. We also have the ability to add 5 million tonnes of incremental brownfield capacity that are estimated to be at much lower cost and which takes much less time to complete than a greenfield project.	We have the most extensive distribution network, including our own Retail operations, warehouse and transportation assets and our investment in Canpotex, which provides low-cost marketing and logistics to the approximately 40 international markets it serves. Nutrien’s potash mines represent some of the lowest-cost and highest-quality mines in the world. We take great care to ensure our mines run at optimal levels and to undertake preventative maintenance to maximize safety and to minimize unscheduled downtime.
Our Strategy	At Nutrien, we are strengthening our position as the world’s largest underground soft rock miner and as the potash industry leader by optimizing our network, reducing costs, implementing leading technologies and leveraging our extensive capacity to capture market growth.
	Network optimization: We are optimizing our potash network to capitalize on the production flexibility of our six low cost mines and our global distribution network and to leverage the benefits of Nutrien’s integrated model. Incremental capacity: We will use our existing production platform, which includes 6 million tonnes of additional available capacity to capture incremental share of new market demand. We also have 5 million tonnes of incremental brownfield capacity that we can develop in half the time and at a fraction of the cost of a conventional greenfield mine to meet longer term demand growth.	Next Generation Potash: We aim to be the safest and lowest-cost potash producer through operational excellence, digitized operations and technology leadership. We are adopting innovative mining tools and creating means to increase productivity, lower costs and create a safer work environment for our people.



2019 Performance	We continue to enhance our network by effectively managing our supply chain and optimizing volumes to minimize costs while meeting our customers’ needs.
2019 Performance	In 2019 we progressed our Next Generation Potash program by implementing and piloting several initiatives at our operations in the areas of digital tools, advance process control and automation. We gained insight on how these initiatives can improve safety, cost and efficiency across our production network as production increases. Additionally, we plan to	advance projects to increase network flexibility, improve ore recovery and quality, and improve efficiency as we increase volumes. We remain focused on optimizing production across our entire mine network which includes improving productivity at our lower cost mines.


North America		Offshore via Canpotex
	6 low-cost mines in Canada		5 offices around the world
	Integration with our Retail network		Access to 4 different marine terminals
	~6,100 Railcars		>5,200 Railcars
	~300 strategically located distribution points		>550Kmt dry storage capacity at port
	100Kmt Hammond, IN warehouse distribution facility		>225 vessel voyages each year
	– strategically located for key markets


(millions of US dollars, except as otherwise noted)	Dollars						Tonnes (thousands)						Average per Tonne
(millions of US dollars, except as otherwise noted)	2019		2018		% Change		2019		2018		% Change		2019		2018		% Change
Manufactured product ¹
Net sales
North America		978		1,007		(3)		4,040		4,693		(14)		242		214		13
Offshore		1,625		1,657		(2)		7,481		8,326		(10)		217		199		9

		2,603		2,664		(2)		11,521		13,019		(12)		226		205		10
Cost of goods sold		1,103		1,182		(7)								96		91		5

Gross margin – manufactured		1,500		1,482		1		Depreciation and amortization						130		114		14
Gross margin – other ²		1		2		(50)		Depreciation and amortization						34		31		10

Gross margin – total		1,501		1,484		1		Gross margin excluding depreciation and amortization – manufactured						164		145		13
Impairment of assets		–		1,809		(100)
Expenses ³		298		282		6

EBIT		1,203		(607)		n/m		Potash cash cost of product manufactured						63		60		5
Depreciation and amortization		390		404		(3)		Potash cash cost of product manufactured						63		60		5

EBITDA		1,593		(203)		n/m

Adjusted EBITDA		1,593		1,606		(1)

¹ Includes intersegment sales. See Note 3 to the financial statements. ² Includes other potash and purchased products and is comprised of net sales of $1 million (2018 – $3 million) less cost of goods sold of $Nil (2018 – $1 million). ³ Includes provincial mining and other taxes of $287 million (2018 – $244 million).


				2019 vs 2018
Sales volumes				Offshore volumes were lower due to a combination of lower demand in Southeast Asia due to lower palm oil prices in 2019 and a slowdown in demand in offshore markets in the fourth quarter as customers delayed purchases and drew down inventories.
				North American volumes were lower due to extreme weather in the US which impacted both the spring and fall application seasons.

Net realized selling price				Average selling prices increased in 2019 due to higher global benchmark prices in the first nine months of the year, which offset weaker prices in the fourth quarter resulting from a slowdown in demand in the second half of the year.

Cost of goods sold per tonne				Costs increased primarily due to lower production volumes resulting from the temporary production downtime at our Allan, Lanigan and Vanscoy potash mines, taken in response to the decrease in global potash demand, and from downtime at our Rocanville potash mine related to the Canadian National Railway strike. These impacts were partially offset by favorable foreign exchange impacts.
Impairment of assets				In 2018, we recorded a non-cash impairment of property, plant and equipment as a result of the decision to safely shut down our New Brunswick operations, which were no longer part of our medium or long-term strategic plans. See Note 15 to the financial statements.

Provincial mining and other taxes				We are subject to Saskatchewan provincial resource taxes, including the potash production tax and the resource surcharge.
				Expenses increased due to regulatory changes that raised taxes and from higher average potash selling prices, which are the basis for certain taxes.
EBITDA				EBITDA increased primarily due to the impairment of assets in 2018 noted above. Adjusted EBITDA in 2019 was similar to the prior year, as higher prices were offset by lower sales volumes and higher provincial mining taxes.


(percentage of sales volumes)	2019		2018		% Change
Latin America		31		33		(6)
Other Asian markets ¹		27		31		(13)
China		22		18		22
India		10		10		–
Other markets		10		8		25


(million tonnes KCI)			Operational Capability²				Production
(million tonnes KCI)	Nameplate Capacity¹		2020		2019		2019		2018
Rocanville Potash		6.5		5.4		5.4		5.14		5.22
Allan Potash		4.0		2.8		2.8		2.18		2.41
Vanscoy Potash		3.0		1.7		2.2		1.42		2.24
Lanigan Potash		3.8		2.3		2.1		1.75		1.96
Cory Potash		3.0		1.0		1.0		0.97		0.81
Patience Lake Potash		0.3		0.3		0.3		0.24		0.20

Total		20.6		13.5		13.8		11.70		12.84

Shutdown weeks ³								55		39


Our Business	Nutrien has a total of 7.1 million mt of ammonia capacity from nine major facilities in North America and Trinidad with the ability to produce and sell more than 11 million tonnes of total finished nitrogen products.
	Our asset base is highly flexible, allowing us to optimize product mix and profitability in response to changing market conditions. Our nitrogen plants in Canada and the US have access to low-cost natural gas and benefit from regional selling advantages. We also operate a large-scale nitrogen facility in Trinidad with gas costs indexed primarily to ammonia prices, providing margin stability. We produce all key nitrogen products and have flexibility to optimize product mix in response to changing market conditions.	Approximately half of our nitrogen sales are agriculture-related and the remainder is sold for industrial purposes. A portion of our industrial sales are linked to natural gas costs, reducing variability in margins. We have equity investments in two world-scale nitrogen facilities located in Argentina and Egypt that contribute to our nitrogen earnings.
Our Strategy	We are growing our nitrogen business and enhancing our competitive position through product and network optimization and strategic capacity expansion.
	Network optimization: We are optimizing our nitrogen network to best leverage the production flexibility of our nine low-cost facilities and our extensive distribution network to capitalize on the benefits of our integrated model that includes our Retail business. Operational excellence: We are leveraging best practices in engineering and maintenance to improve the reliability and	safety of our operations and to decrease costs of turnarounds. Reliable and safe operations lower costs and improve utilization. We are also implementing a number of projects aimed to reduce climate-related impact from production. Brownfield capacity expansion: We are increasing capacity through low-cost and low-risk brownfield expansion and debottleneck projects.