PotashCorp.com

Q2 2016 Conference CallJuly 28, 2016

Forward-looking Statements

Slide #2

Performance

Second-Quarter 2016 Highlights

• Earnings of $0.14 per share1, including:

- Share of Canpotex’s Prince Rupert project exit costs of $0.02 per share

- Unfavorable discount rate adjustment to asset retirement obligations of $0.01 per share

- Impairment of investment in Sinofert Holdings Limited of $0.01 per share

• Intend to reduce quarterly dividend by 60 percent to $0.10 per share

• Market value of investments2 approximately $3.8 billion, or $4 per PotashCorp share3

• Expect global potash shipments of 61-64 million tonnes in 2017

1 All references to per-share amounts pertain to diluted net income per share2 Arab Potash Company, Israel Chemicals Ltd., Sinofert Holdings Limited, and Sociedad Quimica y Minera de Chile S.A. 3 As of market close on July 27, 2016

Source: PotashCorp

Slide #4

Lower Prices Primary Contributor to Weaker Gross Margin

Quarterly Gross Margin Comparison

Q2 2015

Potash Nitrogen Phosphate Q22016

0

150

300

450

600

750 $711

$243

-$294

-$92

-$82

Gross Margin - US$ Millions

Potash• Lower realizations due to weaker pricing environment and

Canpotex Prince Rupert port exit costs

• Lower per-tonne costs due to higher proportion of production from Saskatchewan mines, lower royalties and weaker Canadian dollar

Nitrogen• Weaker realizations due to weaker benchmark pricing

• Lower sales volumes due to weaker demand

• Lower costs due to reduced natural gas prices

Phosphate• Lower prices due to weaker demand environment

• Unfavorable discount rate adjustment to asset retirement obligations and inventory writedowns more than offset benefit of lower input costs

Source: PotashCorp

Slide #5

Outlook

Jan-1

5

Feb-1

5

Mar-1

5

Apr-15

May-1

5

Jun-1

5Ju

l-15

Aug-15

Sep-15

Oct-15

Nov-1

5

Dec-1

5

Jan-1

6

Feb-1

6

Mar-16

Apr-16

May-1

6

Jun-1

6Ju

l-16

50

75

100

125Crop Price Index* Fertilizer Price Index**

* Based on corn, soybean and wheat prices (weighted by global consumption).

** Based on urea, DAP and KCl prices (weighted by global consumption).

Price Index (January 2015 Average = 100)

Crop and Fertilizer Price IndexFertilizer Represents Strong Value for Farmers

Source: Bloomberg, Fertilizer Week

Decline in fertilizer prices relative to

crop prices provides incentive for

farmers

Slide #7

Source: Fertecon, CRU, PotashCorp

World Potash ShipmentsLate Chinese Contract Settlement Has Historically Created a Rebound in Demand

0

10

20

30

40

50

60

70

2012 20132008 2010 20112009 2017F2016F20052004 20062003 2014 20152007

+87% +5%

+5%

+15%

Denote years when China has had early potash contract settlements.

Million Tonnes KCl

July

27,

200

6

Apr

il 16

, 200

8

No

Con

trac

t

Mar

ch 2

0, 2

012

Mar

ch 3

0, 2

015

Denote years when China has had late potash contract settlements.

Note: 2016F & 2017F based on midpoint of shipment forecast range.

Slide #8

14 16F 15 17

F 14 16F 15 17

F 14 16F

0

2

4

6

8

10

12

14

16

18

Million Tonnes KCl

World Potash Shipments by Market

Source: Fertecon, CRU, Industry Publications, PotashCorp

ChinaIndia L. AmericaOther Asia N. America

Expect Demand of 61-64 Million Tonnes in 2017

Note: Shaded bars represent shipment forecast range.

Highlights (2017F)

China: 14.0 – 15.0mmt • Lower inventories, more timely contract settlements, and

strong consumption trends expected to support shipments

India: 4.7 – 5.2mmt• Lower farm retail prices expected to support consumption

growth

Other Asia: 8.8 – 9.3mmt • Supportive crop economics and the absence of lengthy

Asian contract deferrals are expected to support more normalized demand

Latin America: 11.5 – 12.0mmt• Agronomic need and increased crop acreage expected to

support demand growth

North America: 9.3 – 9.8mmt• Potash affordability and nutrient requirements anticipated

to support healthy demand

Slide #9

Global Potash S&D – 2017 Outlook

Other N. American Producers**

~66

POT2017F Operational Capability*

~68

2017F Demand

~62.5

Demand Growth

2016FDemand

~59.5

~65

2016FOperational Capability*

Other Producers

2017F Operational Capability***

Source: Fertecon, CRU, Public Filings, PotashCorp

Expect Strong Demand Growth; Rocanville Primary Source of New Supply

Global Potash S&D - Million Tonnes KCl

Slide #10

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

Global Potash S&D – 2017 Outlook

Other N. American

Producers**

OtherProducers

2017F Demand Growth

Other POT2017F Operational Capability Change

Other Asia Latin AmericaChina India

Source: Fertecon, CRU, Public Filings, PotashCorp

Expect Strong Demand Growth; Rocanville Primary Source of New Supply

2017F Yr/Yr Demand Growth – Million Tonnes KCl

2017F Yr/Yr Operational Capability* Change – Million Tonnes KCl

Slide #11

Guidance

2016 Guidance*

Third Quarter

• Earnings per share: $0.05-$0.10

Full Year

• Earnings per share: $0.40-$0.55

• Potash sales volumes: 8.3-8.8 million tonnes

• Potash gross margin: $400-$600M

• Nitrogen and phosphate gross margin: $400-$550M

• Capital expenditures1: ~$800M

*Guidance as at July 28, 20161Does not include capitalized interest

Source: PotashCorp

Slide #13

2016 Guidance*

Full Year

• Effective tax rate: 16-18 percent

• Provincial mining and other taxes1: 23-26 percent

• Selling and administrative expenses: $220-$230M

• Finance costs: $210-$220M

• Income from equity investments2: $120-$140M

• Annual FX rate assumption: CDN$1.32 per US$

• Annual EPS sensitivity to FX: US$ strengthens vs. CDN$ by $0.02 = +$0.01 to EPS

* Guidance as at July 28, 20161 As a percentage of potash gross margin, excluding New Brunswick severance costs2 Includes income from dividends and share of equity earnings

Source: PotashCorp

Slide #14

There’s more online:

PotashCorp.comVisit us online

Facebook.com/PotashCorpFind us on Facebook

Twitter.com/PotashCorpFollow us on Twitter

Thank you

Click icon to add picture