Condensed Consolidating Financial Statements (Tables)

3 Months Ended

Mar. 31, 2015

Condensed Consolidating Financial Statements

Schedule of Condensed Consolidating Statements of Operations

Condensed Consolidating Statement of Operations

	Three months ended March 31, 2014
	Parent			CF Industries			Other Subsidiaries			Eliminations			Consolidated
	(in millions)
Net sales	$	—		$	372.0		$	1,223.0		$	(462.4	)	$	1,132.6
Cost of sales	—			188.3			963.9			(462.4		)	689.8
Gross margin	—			183.7			259.1			—			442.8
Selling, general and administrative expenses	0.7			1.4			39.6			—			41.7
Other operating—net	—			(0.3		)	(5.5		)	—			(5.8		)
Total other operating costs and expenses	0.7			1.1			34.1			—			35.9
Gain on sale of phosphate business	—			761.5			(14.4		)	—			747.1
Equity in earnings of operating affiliates	—			—			15.8			—			15.8
Operating (losses) earnings	(0.7		)	944.1			226.4			—			1,169.8
Interest expense	—			49.4			(9.3		)	(0.1		)	40.0
Interest income	—			(0.1		)	(0.2		)	0.1			(0.2		)
Net (earnings) of wholly-owned subsidiaries	(709.0		)	(151.3		)	—			860.3			—
Other non-operating—net	—			(0.1		)	—			—			(0.1		)
Earnings before income taxes and equity in earnings (losses) of non-operating affiliates	708.3			1,046.2			235.9			(860.3		)	1,130.1
Income tax (benefit) provision	(0.2		)	337.1			76.3			—			413.2
Equity in (losses) earnings of non-operating affiliates—net of taxes	—			(0.1		)	3.6			—			3.5
Net earnings	708.5			709.0			163.2			(860.3		)	720.4
Less: Net earnings attributable to noncontrolling interest	—			—			11.9			—			11.9
Net earnings attributable to common stockholders	$	708.5		$	709.0		$	151.3		$	(860.3	)	$	708.5

Condensed Consolidating Statement of Operations

	Three months ended March 31, 2015
	Parent			CF Industries			Other Subsidiaries			Eliminations			Consolidated
	(in millions)
Net sales	$	—		$	81.3		$	1,003.8		$	(131.5	)	$	953.6
Cost of sales	—			81.3			588.0			(131.5		)	537.8
Gross margin	—			—			415.8			—			415.8
Selling, general and administrative expenses	0.8			0.3			39.0			—			40.1
Other operating—net	—			(5.2		)	23.4			—			18.2
Total other operating costs and expenses	0.8			(4.9		)	62.4			—			58.3
Equity in earnings of operating affiliates	—			—			9.7			—			9.7
Operating (losses) earnings	(0.8		)	4.9			363.1			—			367.2
Interest expense	—			64.9			(31.0		)	—			33.9
Interest income	—			—			(0.4		)	—			(0.4		)
Net (earnings) of wholly-owned subsidiaries	(231.1		)	(270.7		)	—			501.8			—
Other non-operating—net	—			0.1			(0.1		)	—			—
Earnings before income taxes and equity in earnings of non-operating affiliates	230.3			210.6			394.6			(501.8		)	333.7
Income tax (benefit) provision	(0.3		)	(20.5		)	133.5			—			112.7
Equity in earnings of non-operating affiliates—net of taxes	—			—			14.9			—			14.9
Net earnings	230.6			231.1			276.0			(501.8		)	235.9
Less: Net earnings attributable to noncontrolling interest	—			—			5.3			—			5.3
Net earnings attributable to common stockholders	$	230.6		$	231.1		$	270.7		$	(501.8	)	$	230.6

Schedule of Condensed Consolidating Statements of Comprehensive Income

Condensed Consolidating Statement of Comprehensive Income

	Three months ended March 31, 2014
	Parent			CF Industries			Other Subsidiaries			Eliminations			Consolidated
	(in millions)
Net earnings	$	708.5		$	709.0		$	163.2		$	(860.3	)	$	720.4
Other comprehensive income (losses)	(9.4		)	(9.4		)	(9.4		)	18.8			(9.4		)
Comprehensive income	699.1			699.6			153.8			(841.5		)	711.0
Less: Comprehensive income attributable to noncontrolling interest	—			—			11.9			—			11.9
Comprehensive income attributable to common stockholders	$	699.1		$	699.6		$	141.9		$	(841.5	)	$	699.1

Condensed Consolidating Statement of Comprehensive Income

	Three months ended March 31, 2015
	Parent			CF Industries			Other Subsidiaries			Eliminations			Consolidated
	(in millions)
Net earnings	$	230.6		$	231.1		$	276.0		$	(501.8	)	$	235.9
Other comprehensive income (losses)	(80.5		)	(80.5		)	(80.5		)	161.0			(80.5		)
Comprehensive income	150.1			150.6			195.5			(340.8		)	155.4
Less: Comprehensive income attributable to noncontrolling interest	—			—			5.3			—			5.3
Comprehensive income attributable to common stockholders	$	150.1		$	150.6		$	190.2		$	(340.8	)	$	150.1

Schedule of Condensed Consolidating Balance Sheets

Condensed Consolidating Balance Sheet

	March 31, 2015
	Parent			CF Industries			Other Subsidiaries			Eliminations and Reclassifications			Consolidated
	(in millions)
Assets
Current assets:
Cash and cash equivalents	$	—		$	58.7		$	1,720.1		$	—		$	1,778.8
Restricted cash	—			—			63.3			—			63.3
Accounts and notes receivable—net	—			2,318.2			811.1			(2,962.2		)	167.1
Inventories	—			—			267.7			—			267.7
Deferred income taxes	—			—			55.1			—			55.1
Prepaid income taxes	2.2			2.9			27.7			(5.1		)	27.7
Other current assets	—			—			20.0			—			20.0
Total current assets	2.2			2,379.8			2,965.0			(2,967.3		)	2,379.7
Property, plant and equipment—net	—			—			5,925.0			—			5,925.0
Investments in and advances to affiliates	6,291.1			9,327.0			853.5			(15,618.1		)	853.5
Due from affiliates	570.7			—			1.7			(572.4		)	—
Goodwill	—			—			2,090.4			—			2,090.4
Other assets	—			64.8			171.9			—			236.7
Total assets	$	6,864.0		$	11,771.6		$	12,007.5		$	(19,157.8	)	$	11,485.3
Liabilities and Equity
Current liabilities:
Accounts and notes payable and accrued expenses	$	2,802.1		$	235.4		$	617.9		$	(2,962.2	)	$	693.2
Income taxes payable	—			—			84.5			(5.1		)	79.4
Customer advances	—			—			495.2			—			495.2
Other current liabilities	—			—			43.5			—			43.5
Total current liabilities	2,802.1			235.4			1,241.1			(2,967.3		)	1,311.3
Long-term debt	—			4,592.5			—			—			4,592.5
Deferred income taxes	—			44.5			738.5			—			783.0
Due to affiliates	—			572.4			—			(572.4		)	—
Other noncurrent liabilities	—			35.6			344.4			—			380.0
Equity:
Stockholders' equity:
Preferred stock	—			—			16.4			(16.4		)	—
Common stock	0.5			—			1.1			(1.1		)	0.5
Paid-in capital	1,426.5			(12.6		)	8,283.5			(8,270.9		)	1,426.5
Retained earnings	3,334.1			6,544.1			1,266.6			(7,810.7		)	3,334.1
Treasury stock	(458.9		)	—			—			—			(458.9		)
Accumulated other comprehensive income (loss)	(240.3		)	(240.3		)	(240.7		)	481.0			(240.3		)
Total stockholders' equity	4,061.9			6,291.2			9,326.9			(15,618.1		)	4,061.9
Noncontrolling interest	—			—			356.6			—			356.6
Total equity	4,061.9			6,291.2			9,683.5			(15,618.1		)	4,418.5
Total liabilities and equity	$	6,864.0		$	11,771.6		$	12,007.5		$	(19,157.8	)	$	11,485.3

Condensed Consolidating Balance Sheet

	December 31, 2014
	Parent			CF Industries			Other Subsidiaries			Eliminations and Reclassifications			Consolidated
	(in millions)
Assets
Current assets:
Cash and cash equivalents	$	—		$	105.7		$	1,890.9		$	—		$	1,996.6
Restricted cash	—			—			86.1			—			86.1
Accounts and notes receivable—net	—			2,286.5			651.9			(2,746.9		)	191.5
Inventories	—			—			202.9			—			202.9
Deferred income taxes	—			—			84.0			—			84.0
Prepaid income taxes	1.9			—			34.8			(1.9		)	34.8
Other current assets	—			—			18.6			—			18.6
Total current assets	1.9			2,392.2			2,969.2			(2,748.8		)	2,614.5
Property, plant and equipment—net	—			—			5,525.8			—			5,525.8
Investments in and advances to affiliates	6,212.5			9,208.7			861.5			(15,421.2		)	861.5
Due from affiliates	570.7			—			1.7			(572.4		)	—
Goodwill	—			—			2,092.8			—			2,092.8
Other assets	—			65.1			178.5			—			243.6
Total assets	$	6,785.1		$	11,666.0		$	11,629.5		$	(18,742.4	)	$	11,338.2
Liabilities and Equity
Current liabilities:
Accounts and notes payable and accrued expenses	$	2,575.4		$	207.7		$	553.8		$	(2,747.0	)	$	589.9
Income taxes payable	—			10.8			7.1			(1.9		)	16.0
Customer advances	—			—			325.4			—			325.4
Other current liabilities	—			—			48.4			—			48.4
Total current liabilities	2,575.4			218.5			934.7			(2,748.9		)	979.7
Long-term debt	—			4,592.5			—			—			4,592.5
Deferred income taxes	—			34.8			783.8			—			818.6
Due to affiliates	—			572.4			—			(572.4		)	—
Other noncurrent liabilities	—			35.3			339.6			—			374.9
Equity:
Stockholders' equity:
Preferred stock	—			—			16.4			(16.4		)	—
Common stock	0.5			—			1.1			(1.1		)	0.5
Paid-in capital	1,415.9			(12.6		)	8,283.5			(8,270.9		)	1,415.9
Retained earnings	3,175.3			6,384.9			1,067.8			(7,452.7		)	3,175.3
Treasury stock	(222.2		)	—			—			—			(222.2		)
Accumulated other comprehensive income (loss)	(159.8		)	(159.8		)	(160.2		)	320.0			(159.8		)
Total stockholders' equity	4,209.7			6,212.5			9,208.6			(15,421.1		)	4,209.7
Noncontrolling interest	—			—			362.8			—			362.8
Total equity	4,209.7			6,212.5			9,571.4			(15,421.1		)	4,572.5
Total liabilities and equity	$	6,785.1		$	11,666.0		$	11,629.5		$	(18,742.4	)	$	11,338.2

Schedule of Condensed Consolidating Statements of Cash Flows

Condensed Consolidating Statement of Cash Flows

	Three months ended March 31, 2015
	Parent			CF Industries			Other Subsidiaries			Eliminations			Consolidated
	(in millions)
Operating Activities:
Net earnings	$	230.6		$	231.1		$	276.0		$	(501.8	)	$	235.9
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	—			1.8			113.6			—			115.4
Deferred income taxes	—			9.7			(9.4		)	—			0.3
Stock-based compensation expense	3.4			—			0.5			—			3.9
Excess tax benefit from stock-based compensation	(1.5		)	—			—			—			(1.5		)
Unrealized gain on derivatives	—			—			(10.6		)	—			(10.6		)
Loss on disposal of property, plant and equipment	—			—			5.5			—			5.5
Undistributed (earnings) loss of affiliates—net	(231.1		)	(270.7		)	(18.4		)	501.8			(18.4		)
Due to/from affiliates—net	1.5			0.3			(1.8		)	—			—
Changes in:
Accounts and notes receivable—net	—			18.4			16.7			(11.0		)	24.1
Inventories	—			—			(68.0		)	—			(68.0		)
Accrued and prepaid income taxes	(0.2		)	(13.7		)	97.5			—			83.6
Accounts and notes payable and accrued expenses	—			27.8			(49.4		)	11.0			(10.6		)
Customer advances	—			—			169.8			—			169.8
Other—net	—			0.3			1.2			—			1.5
Net cash provided by operating activities	2.7			5.0			523.2			—			530.9
Investing Activities:
Additions to property, plant and equipment	—			—			(444.8		)	—			(444.8		)
Proceeds from sale of property, plant and equipment	—			—			3.3			—			3.3
Withdrawals from restricted cash funds	—			—			22.8			—			22.8
Other—net	—			—			(10.9		)	—			(10.9		)
Net cash used in investing activities	—			—			(429.6		)	—			(429.6		)
Financing Activities:
Short-term debt—net	226.3			(50.0		)	(176.3		)	—			—
Financing fees	—			(2.0		)	—			—			(2.0		)
Dividends paid on common stock	(71.8		)	(71.8		)	(71.8		)	143.6			(71.8		)
Distributions to noncontrolling interest	—			—			(11.5		)	—			(11.5		)
Purchases of treasury stock	(236.2		)	—			—			—			(236.2		)
Issuances of common stock under employee stock plans	5.7			—			—			—			5.7
Excess tax benefit from stock-based compensation	1.5			—			—			—			1.5
Dividends to/from affiliates	71.8			71.8			—			(143.6		)	—
Net cash used in financing activities	(2.7		)	(52.0		)	(259.6		)	—			(314.3		)
Effect of exchange rate changes on cash and cash equivalents	—			—			(4.8		)	—			(4.8		)
Decrease in cash and cash equivalents	—			(47.0		)	(170.8		)	—			(217.8		)
Cash and cash equivalents at beginning of period	—			105.7			1,890.9			—			1,996.6
Cash and cash equivalents at end of period	$	—		$	58.7		$	1,720.1		$	—		$	1,778.8

Condensed Consolidating Statement of Cash Flows

	Three months ended March 31, 2014
	Parent			CF Industries			Other Subsidiaries			Eliminations			Consolidated
	(in millions)
Operating Activities:
Net earnings	$	708.5		$	709.0		$	163.2		$	(860.3	)	$	720.4
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	—			1.6			103.7			—			105.3
Deferred income taxes	—			—			17.1			—			17.1
Stock-based compensation expense	3.8			—			—			—			3.8
Excess tax benefit from stock-based compensation	(4.5		)	—			—			—			(4.5		)
Unrealized loss on derivatives	—			—			21.9			—			21.9
Gain on sale of phosphate business	—			(761.5		)	14.4			—			(747.1		)
Loss on disposal of property, plant and equipment	—			—			0.1			—			0.1
Undistributed loss (earnings) of affiliates—net	(709.0		)	(151.3		)	(11.4		)	860.3			(11.4		)
Due to/from affiliates—net	4.5			1.8			(6.3		)	—			—
Changes in:
Accounts and notes receivable—net	—			(16.7		)	(278.5		)	327.4			32.2
Inventories	—			5.6			(117.9		)	—			(112.3		)
Accrued and prepaid income taxes	(0.2		)	337.6			(57.5		)	—			279.9
Accounts and notes payable and accrued expenses	0.1			340.5			54.2			(327.4		)	67.4
Customer advances	—			—			356.8			—			356.8
Other—net	—			(3.6		)	24.0			—			20.4
Net cash provided by operating activities	3.2			463.0			283.8			—			750.0
Investing Activities:
Additions to property, plant and equipment	—			(16.3		)	(376.1		)	—			(392.4		)
Proceeds from sale of property, plant and equipment	—			—			1.3			—			1.3
Proceeds from sale of phosphate business	—			893.1			460.5			—			1,353.6
Deposits to restricted cash funds	—			—			(505.0		)	—			(505.0		)
Withdrawals from restricted cash funds	—			—			5.7			—			5.7
Other—net	—			—			5.8			—			5.8
Net cash provided by (used in) investing activities	—			876.8			(407.8		)	—			469.0
Financing Activities:
Proceeds from long-term borrowings	—			1,494.2			—			—			1,494.2
Short-term debt—net	764.7			(1,438.8		)	674.1			—			—
Financing fees	—			(15.7		)	—			—			(15.7		)
Dividends paid on common stock	(55.2		)	(55.2		)	(55.2		)	110.4			(55.2		)
Dividends to/from affiliates	55.2			55.2			—			(110.4		)	—
Distributions to noncontrolling interest	—			—			(9.6		)	—			(9.6		)
Purchases of treasury stock	(781.8		)	—			—			—			(781.8		)
Issuances of common stock under employee stock plans	9.4			—			—			—			9.4
Excess tax benefit from stock-based compensation	4.5			—			—			—			4.5
Other—net	—			(1.0		)	(42.0		)	—			(43.0		)
Net cash (used in) provided by financing activities	(3.2		)	38.7			567.3			—			602.8
Effect of exchange rate changes on cash and cash equivalents	—			—			(2.4		)	—			(2.4		)
Increase in cash and cash equivalents	—			1,378.5			440.9			—			1,819.4
Cash and cash equivalents at beginning of period	0.1			20.4			1,690.3			—			1,710.8
Cash and cash equivalents at end of period	$	0.1		$	1,398.9		$	2,131.2		$	—		$	3,530.2