Segment Disclosures

9 Months Ended

Sep. 30, 2012

Segment Disclosures

Segment Disclosures

22.   Segment Disclosures

        We are organized and managed based on two business segments, which are differentiated primarily by their products, the markets they serve and the regulatory environments in which they operate. Our two business segments are the nitrogen segment and the phosphate segment. The Company's management uses gross margin to evaluate segment performance and allocate resources. Total other operating costs and expenses (consisting of selling, general and administrative expenses, restructuring and integration costs and other operating-net) and non-operating expenses (interest and income taxes), are centrally managed and are not included in the measurement of segment profitability reviewed by management.

        Business segment data for sales, cost of sales and gross margin for the three and nine months ended September 30, 2012 and 2011 are presented in the table below.

	Nitrogen		Phosphate		Consolidated
	(in millions)
Three months ended September 30, 2012
Net sales
Ammonia	$	259.1	$	—	$	259.1
Granular urea		262.7		—		262.7
UAN		474.4		—		474.4
AN		53.7		—		53.7
DAP		—		200.2		200.2
MAP		—		64.0		64.0
Other		45.3		—		45.3
		1,095.2		264.2		1,359.4
Cost of sales		456.6		200.8		657.4
Gross margin	$	638.6	$	63.4	$	702.0
Total other operating costs and expenses						45.1
Equity in earnings of operating affiliates						10.2
Operating earnings					$	667.1
Three months ended September 30, 2011
Net sales
Ammonia	$	222.9	$	—	$	222.9
Granular urea		298.0		—		298.0
UAN		495.7		—		495.7
AN		65.4		—		65.4
DAP		—		219.7		219.7
MAP		—		66.1		66.1
Other		36.0		—		36.0
		1,118.0		285.8		1,403.8
Cost of sales		565.9		199.9		765.8
Gross margin	$	552.1	$	85.9	$	638.0
Total other operating costs and expenses						70.7
Equity in earnings of operating affiliates						15.0
Operating earnings					$	582.3
Nine months ended September 30, 2012
Net sales
Ammonia	$	1,164.3	$	—	$	1,164.3
Granular urea		973.9		—		973.9
UAN		1,425.8		—		1,425.8
AN		181.6		—		181.6
DAP		—		583.2		583.2
MAP		—		168.4		168.4
Other		125.4		—		125.4
		3,871.0		751.6		4,622.6
Cost of sales		1,577.4		588.1		2,165.5
Gross margin	$	2,293.6	$	163.5	$	2,457.1
Total other operating costs and expenses						153.3
Equity in earnings of operating affiliates						39.5
Operating earnings					$	2,343.3
Nine months ended September 30, 2011
Net sales
Ammonia	$	1,009.7	$	—	$	1,009.7
Granular urea		805.3		—		805.3
UAN		1,430.2		—		1,430.2
AN		196.3		—		196.3
DAP		—		617.5		617.5
MAP		—		213.0		213.0
Other		107.5		—		107.5
		3,549.0		830.5		4,379.5
Cost of sales		1,771.8		577.3		2,349.1
Gross margin	$	1,777.2	$	253.2	$	2,030.4
Total other operating costs and expenses						109.7
Equity in earnings of operating affiliates						40.7
Operating earnings					$	1,961.4

        Total assets at September 30, 2012 and December 31, 2011, are presented below.

	Nitrogen		Phosphate		Other		Consolidated
	(in millions)
Assets
September 30, 2012	$	6,015.5	$	693.1	$	3,474.1	$	10,182.7
December 31, 2011	$	5,976.9	$	696.4	$	2,301.2	$	8,974.5

        The Other category of assets in the table above includes amounts attributable to corporate headquarters and unallocated corporate assets, such as our cash and cash equivalents, short-term investments, equity method investments and other investments.