10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

_________________________________________________ 

FORM 10-Q

_________________________________________________ 

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For Quarterly Period Ended March 31, 2023

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                      to                     

Commission File Number 1-12658

_________________________________________________ 

ALBEMARLE CORPORATION

(Exact name of registrant as specified in its charter)

_________________________________________________ 

Virginia	54-1692118
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

4250 Congress Street, Suite 900

Charlotte, North Carolina 28209

(Address of principal executive offices) (Zip Code)

Registrant’s telephone number, including area code - (980) 299-5700

_________________________________________________ 

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
COMMON STOCK, $.01 Par Value	ALB	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ☒    No  ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  ☒    No  ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐    No  ☒

Number of shares of common stock, $.01 par value, outstanding as of April 26, 2023: 117,336,441

ALBEMARLE CORPORATION

INDEX – FORM 10-Q

		Page Number(s)
PART I.	FINANCIAL INFORMATION
Item 1.	Financial Statements (Unaudited)
	Consolidated Statements of Income - Three Months Ended March 31, 2023 and 2022	3
	Consolidated Statements of Comprehensive (Loss) Income - Three Months Ended March 31, 2023 and 2022	4
	Consolidated Balance Sheets - March 31, 2023 and December 31, 2022	5
	Consolidated Statements of Changes in Equity - Three Months Ended March 31, 2023 and 2022	6
	Condensed Consolidated Statements of Cash Flows - Three Months Ended March 31, 2023 and 2022	7
	Notes to the Condensed Consolidated Financial Statements	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	25
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	42
Item 4.	Controls and Procedures	42
PART II.	OTHER INFORMATION
Item 1.	Legal Proceedings	42
Item 1A.	Risk Factors	42
Item 6.	Exhibits	43
SIGNATURES		44
EXHIBITS

2

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements (Unaudited).

ALBEMARLE CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(In Thousands, Except Per Share Amounts)

(Unaudited)

	Three Months Ended March 31,
	2023		2022
Net sales	$	2,580,252	$	1,127,728
Cost of goods sold	1,303,712		678,698
Gross profit	1,276,540		449,030
Selling, general and administrative expenses	154,306		112,568
Research and development expenses	20,471		16,083
Loss on sale of interest in properties	—		8,400
Operating profit	1,101,763		311,979
Interest and financing expenses	(26,777)		(27,834)
Other income, net	82,492		15,496
Income before income taxes and equity in net income of unconsolidated investments	1,157,478		299,641
Income tax expense	276,963		80,530
Income before equity in net income of unconsolidated investments	880,515		219,111
Equity in net income of unconsolidated investments (net of tax)	396,188		62,436
Net income	1,276,703		281,547
Net income attributable to noncontrolling interests	(38,123)		(28,164)
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383
Basic earnings per share	$	10.57	$	2.16
Diluted earnings per share	$	10.51	$	2.15
Weighted-average common shares outstanding – basic	117,232		117,066
Weighted-average common shares outstanding – diluted	117,841		117,653

See accompanying Notes to the Condensed Consolidated Financial Statements.

3

ALBEMARLE CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(In Thousands)

(Unaudited)

	Three Months Ended March 31,
	2023		2022
Net income	$	1,276,703	$	281,547
Other comprehensive income (loss), net of tax:
Foreign currency translation and other	46,216		(5,889)
Cash flow hedge	1,101		4,017
Interest rate swap	—		650
Total other comprehensive income (loss), net of tax	47,317		(1,222)
Comprehensive income	1,324,020		280,325
Comprehensive income attributable to noncontrolling interests	(38,115)		(28,111)
Comprehensive income attributable to Albemarle Corporation	$	1,285,905	$	252,214

See accompanying Notes to the Condensed Consolidated Financial Statements.

4

ALBEMARLE CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In Thousands)

(Unaudited)

	March 31,		December 31,
	2023		2022
Assets
Current assets:
Cash and cash equivalents	$	1,586,734	$	1,499,142
Trade accounts receivable, less allowance for doubtful accounts (2023 – $3,283; 2022 – $2,534)	1,351,915		1,190,970
Other accounts receivable	312,560		185,819
Inventories	3,180,825		2,076,031
Other current assets	225,541		234,955
Total current assets	6,657,575		5,186,917
Property, plant and equipment, at cost	9,830,257		9,354,330
Less accumulated depreciation and amortization	2,476,768		2,391,333
Net property, plant and equipment	7,353,489		6,962,997
Investments	1,391,229		1,150,553
Other assets	243,405		250,558
Goodwill	1,634,152		1,617,627
Other intangibles, net of amortization	284,508		287,870
Total assets	$	17,564,358	$	15,456,522
Liabilities And Equity
Current liabilities:
Accounts payable to third parties	$	1,758,254	$	1,533,624
Accounts payable to related parties	1,012,822		518,377
Accrued expenses	403,336		505,894
Current portion of long-term debt	2,167		2,128
Dividends payable	46,753		46,116
Income taxes payable	282,037		134,876
Total current liabilities	3,505,369		2,741,015
Long-term debt	3,233,393		3,214,972
Postretirement benefits	33,062		32,751
Pension benefits	160,343		159,571
Other noncurrent liabilities	686,655		636,596
Deferred income taxes	486,466		480,770
Commitments and contingencies (Note 9)
Equity:
Albemarle Corporation shareholders’ equity:
Common stock, $.01 par value, issued and outstanding – 117,299 in 2023 and 117,168 in 2022	1,173		1,172
Additional paid-in capital	2,931,961		2,940,840
Accumulated other comprehensive loss	(513,337)		(560,662)
Retained earnings	6,792,938		5,601,277
Total Albemarle Corporation shareholders’ equity	9,212,735		7,982,627
Noncontrolling interests	246,335		208,220
Total equity	9,459,070		8,190,847
Total liabilities and equity	$	17,564,358	$	15,456,522

See accompanying Notes to the Condensed Consolidated Financial Statements.

5

ALBEMARLE CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(Unaudited)

(In Thousands, Except Share Data)				Additional Paid-in Capital		Accumulated Other Comprehensive Loss		Retained Earnings		Total Albemarle Shareholders’ Equity		Noncontrolling Interests		Total Equity
	Common Stock
	Shares	Amounts
Balance at December 31, 2022	117,168,366	$	1,172	$	2,940,840	$	(560,662)	$	5,601,277	$	7,982,627	$	208,220	$	8,190,847
Net income								1,238,580		1,238,580		38,123		1,276,703
Other comprehensive income (loss)						47,325				47,325		(8)		47,317
Cash dividends declared, $0.40 per common share								(46,919)		(46,919)		—		(46,919)
Stock-based compensation				9,658						9,658				9,658
Exercise of stock options	1,220	—		81						81				81
Issuance of common stock, net	205,172	2		(2)						—				—
Withholding taxes paid on stock-based compensation award distributions	(75,366)	(1)		(18,616)						(18,617)				(18,617)
Balance at March 31, 2023	117,299,392	$	1,173	$	2,931,961	$	(513,337)	$	6,792,938	$	9,212,735	$	246,335	$	9,459,070
Balance at December 31, 2021	117,015,333	$	1,170	$	2,920,007	$	(392,450)	$	3,096,539	$	5,625,266	$	180,341	$	5,805,607
Net income								253,383		253,383		28,164		281,547
Other comprehensive loss						(1,169)				(1,169)		(53)		(1,222)
Cash dividends declared, $0.395 per common share								(46,261)		(46,261)		—		(46,261)
Stock-based compensation				5,384						5,384				5,384
Exercise of stock options	500	—		32						32				32
Issuance of common stock, net	151,630	2		385						387				387
Withholding taxes paid on stock-based compensation award distributions	(55,069)	(1)		(10,421)						(10,422)				(10,422)
Balance at March 31, 2022	117,112,394	$	1,171	$	2,915,387	$	(393,619)	$	3,303,661	$	5,826,600	$	208,452	$	6,035,052

See accompanying Notes to the Condensed Consolidated Financial Statements.

6

ALBEMARLE CORPORATION AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Thousands)

(Unaudited)

	Three Months Ended March 31,
	2023		2022
Cash and cash equivalents at beginning of year	$	1,499,142	$	439,272
Cash flows from operating activities:
Net income	1,276,703		281,547
Adjustments to reconcile net income to cash flows from operating activities:
Depreciation and amortization	87,271		66,574
Loss on sale of investment in properties	—		8,400
Stock-based compensation and other	10,540		4,245
Equity in net income of unconsolidated investments (net of tax)	(396,188)		(62,436)
Dividends received from unconsolidated investments and nonmarketable securities	547,552		39,168
Pension and postretirement benefit	1,954		(4,250)
Pension and postretirement contributions	(2,825)		(3,890)
Unrealized (gain) loss on investments in marketable securities	(45,732)		1,469
Deferred income taxes	14,098		27,747
Working capital changes	(764,071)		(219,397)
Non-cash transfer of 40% value of construction in progress of Kemerton plant to MRL	7,665		65,100
Other, net	(15,987)		1,899
Net cash provided by operating activities	720,980		206,176
Cash flows from investing activities:
Capital expenditures	(415,608)		(231,698)
(Purchases) sales of marketable securities, net	(122,267)		3,751
Investments in equity and other corporate investments	(1,133)		(146)
Net cash used in investing activities	(539,008)		(228,093)
Cash flows from financing activities:
Proceeds from borrowings of long-term debt and credit agreements	—		280,000
Other debt repayments, net	(713)		(166,615)
Dividends paid to shareholders	(46,282)		(45,637)
Dividends paid to noncontrolling interests	(53,145)		—
Proceeds from exercise of stock options	81		419
Withholding taxes paid on stock-based compensation award distributions	(18,617)		(10,422)
Other	—		(126)
Net cash (used in) provided by financing activities	(118,676)		57,619
Net effect of foreign exchange on cash and cash equivalents	24,296		(11,649)
Increase in cash and cash equivalents	87,592		24,053
Cash and cash equivalents at end of period	$	1,586,734	$	463,325

See accompanying Notes to the Condensed Consolidated Financial Statements.

7

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

NOTE 1—Basis of Presentation:

In the opinion of management, the accompanying unaudited condensed consolidated financial statements of Albemarle Corporation and our wholly-owned, majority-owned and controlled subsidiaries (collectively, “Albemarle,” “we,” “us,” “our” or the “Company”) contain all adjustments necessary for a fair statement, in all material respects, of our consolidated balance sheets as of March 31, 2023 and December 31, 2022, our consolidated statements of income, consolidated statements of comprehensive income and consolidated statements of changes in equity for the three-month period ended March 31, 2023 and 2022 and our condensed consolidated statements of cash flows for the three-month periods ended March 31, 2023 and 2022. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the U.S. Securities and Exchange Commission (“SEC”) on February 15, 2023. The December 31, 2022 consolidated balance sheet data herein was derived from audited financial statements, but does not include all disclosures required by generally accepted accounting principles (“GAAP”) in the United States (“U.S.”). The results of operations for the three-month period ended March 31, 2023 are not necessarily indicative of the results to be expected for the full year. Certain reclassifications have been made to the accompanying condensed consolidated financial statements and the notes thereto to conform to the current presentation.

NOTE 2—Acquisitions:

On October 25, 2022, the Company completed the acquisition of all of the outstanding equity of Guangxi Tianyuan New Energy Materials Co., Ltd. (“Qinzhou”), for approximately $200 million in cash, which includes a deferral of approximately $29 million to be paid in installments within a year of the acquisition closing date. Qinzhou's operations include a lithium processing plant strategically positioned near the Port of Qinzhou in Guangxi, which began commercial production in the first half of 2022. The plant has designed annual conversion capacity of up to 25,000 metric tons of lithium carbonate equivalent (“LCE”) and is capable of producing battery-grade lithium carbonate and lithium hydroxide.

The aggregate purchase price noted above was allocated to the major categories of assets and liabilities acquired based upon their estimated fair values at the acquisition closing date, which were based, in part, upon third-party appraisals for certain assets. The fair value of the assets and liabilities was primarily related to Property, plant and equipment of $106.6 million, Other intangibles of $16.3 million, net current liabilities of $5.5 million, and long-term liabilities of $7.1 million. The excess of the purchase price over the preliminary estimated fair value of the net assets acquired was approximately $76.1 million and was recorded as Goodwill.

The allocation of the purchase price to the assets acquired and liabilities assumed, including the residual amount allocated to Goodwill, is based upon preliminary information and is subject to change within the measurement-period (up to one year from the acquisition date) as additional information concerning final asset and liability valuations is obtained. The primary area of the preliminary purchase price allocation that is not yet finalized relates to the fair value of the net working capital and Goodwill. The fair value of the assets acquired and liabilities assumed was based on management’s estimates and assumptions, as well as other information compiled by management, including valuations that utilize customary valuation procedures and techniques. The discount rate is a significant assumption used in the valuation model. If the actual results differ from the estimates and judgments used in these fair values, the amounts recorded in the consolidated financial statements could be subject to possible impairment.

Goodwill arising from the acquisition was recorded within the Energy Storage segment and consists largely of anticipated synergies and economies of scale from the combined companies and overall strategic importance of the acquired businesses to Albemarle. The goodwill attributable to the acquisition will not be amortizable or deductible for tax purposes.

NOTE 3—Income Taxes:

The effective income tax rate for the three-month period ended March 31, 2023 was 23.9% compared to 26.9% for the three-month period ended March 31, 2022. The three-month period ended March 31, 2023 included tax expense related to an uncertain tax position in Chile offset by a tax benefit related to foreign derived intangible income, and net discrete tax expense related to foreign return to provisions offset by excess tax benefits realized from stock-based compensation arrangements. The Company’s effective income tax rate fluctuates based on, among other factors, the amount and location of income. The difference between the U.S. federal statutory income tax rate and our effective income tax rate for the three-month period ended March 31, 2023 was impacted by a variety of factors, primarily the location in which income was earned, foreign-derived intangible income and an uncertain tax position recorded in Chile. The difference between the U.S. federal statutory income tax

8

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

rate and our effective income tax rate for the three-month period ended March 31, 2022 was impacted by a variety of factors, primarily global intangible low-taxed income and the location in which income was earned.

NOTE 4—Earnings Per Share:

Basic and diluted earnings per share for the three-month periods ended March 31, 2023 and 2022 are calculated as follows (in thousands, except per share amounts):

	Three Months Ended March 31,
	2023		2022
Basic earnings per share
Numerator:
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383
Denominator:
Weighted-average common shares for basic earnings per share	117,232		117,066
Basic earnings per share	$	10.57	$	2.16
Diluted earnings per share
Numerator:
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383
Denominator:
Weighted-average common shares for basic earnings per share	117,232		117,066
Incremental shares under stock compensation plans	609		587
Weighted-average common shares for diluted earnings per share	117,841		117,653
Diluted earnings per share	$	10.51	$	2.15

At March 31, 2023 there were 51,316 common stock equivalents not included in the computation of diluted earnings per share because their effect would have been anti-dilutive.

On February 23, 2023, the Company declared a cash dividend of $0.40, an increase from the prior year regular quarterly dividend. This dividend was paid on April 3, 2023 to shareholders of record at the close of business as of March 17, 2023. On May 2, 2023, the Company declared a cash dividend of $0.40 per share, which is payable on July 3, 2023 to shareholders of record at the close of business as of June 16, 2023.

NOTE 5—Inventories:

The following table provides a breakdown of inventories at March 31, 2023 and December 31, 2022 (in thousands):

	March 31,		December 31,
	2023		2022
Finished goods	$	2,706,606	$	1,679,473
Raw materials and work in process(a)	368,669		296,998
Stores, supplies and other	105,550		99,560
Total	$	3,180,825	$	2,076,031

(a)Includes $154.7 million and $133.2 million at March 31, 2023 and December 31, 2022, respectively, of work in process in our Energy Storage segment.

The Company records the balance of deferred profits on sales from its equity method investments to the Company to Inventories, specifically finished goods. Deferred profits from equity method investments totaled $552.8 million and $332.3 million as of March 31, 2023 and December 31, 2022, respectively.

9

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

NOTE 6—Investments:

MARBL Joint Venture Agreement Restructuring

On February 22, 2023, the Company announced that it has signed definitive agreements with Mineral Resources Limited (“MRL”) to restructure the parties' MARBL lithium joint venture in Australia (“MARBL”) and separately for MRL to invest in Albemarle conversion assets in China. This restructured agreement is intended to provide the Company with additional funding to support the expansion of lithium conversion capacity, while securing downstream conversion capacity for MRL.

In Australia, Albemarle will increase its interest in the first two conversion trains of the Kemerton processing plant from 60% to 85% by purchasing a 25% interest from MRL. Albemarle will operate Kemerton trains 1 and 2 on behalf of the joint venture. MRL will increase its interest in the Wodgina Lithium Mine Project from 40% to 50% by purchasing a 10% interest from Albemarle. MRL will operate the Wodgina mine on behalf of the joint venture. Consideration for Albemarle's increased stake in Kemerton will be offset by consideration for MRL's increased stake in Wodgina.

In China, MRL will acquire a 50% interest in Albemarle's Qinzhou and Meishan plants. Qinzhou has a designed annual capacity of up to 25,000 metric tonnes of LCE. The plant will undergo modifications to be able to convert Wodgina spodumene and is expected to commence that conversion in early 2024. The Meishan plant, which is under construction with a designed annual capacity of 50,000 metric tonnes of LCE, is scheduled to be completed in 2024. Albemarle will continue to operate Meishan and Qinzhou.

In addition, MRL committed to fund 50% of the capital costs for downstream conversion capacity. MRL is expected to pay approximately $350 million for its initial share of capital costs of this conversion capacity at closing. Albemarle expects to pay MRL a completion adjustment currently estimated to be between $100 million to $150 million reflecting a retroactive effective date of April 1, 2022.

These transactions are expected to close in stages beginning in the second quarter of 2023 and are subject to regulatory approval and other customary closing conditions. At this time the Company expects to record a gain as a result of these transactions in the period it closes.

Variable Interest Entities

The Company holds a 49% equity interest in Windfield Holdings Pty. Ltd. (“Talison”), where the ownership parties share risks and benefits disproportionate to their voting interests. As a result, the Company considers Talison to be a variable interest entity (“VIE”), however this investment is not consolidated as the Company is not the primary beneficiary. The carrying amount of the Company’s 49% equity interest in Windfield, which is our most significant VIE, was $746.8 million and $694.5 million at March 31, 2023 and December 31, 2022, respectively. The Company’s aggregate net investment in all other entities which it considers to be VIEs of which the Company is not the primary beneficiary was $7.7 million at March 31, 2023 and $6.7 million at December 31, 2022. The Company’s unconsolidated VIEs are reported in Investments on the consolidated balance sheets. The Company does not guarantee debt for, or have other financial support obligations to, these entities, and its maximum exposure to loss in connection with its continuing involvement with these entities is limited to the carrying value of the investments.

The following table summarizes the unaudited results of operations for the Talison joint venture, which met the significant subsidiary test for subsidiaries not consolidated or 50% or less owned persons under Rule 10-01 of Regulation S-X, for the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Net sales	$	1,959,298	$	392,833
Gross profit	1,901,700		354,442
Income before income taxes	1,784,150		292,552
Net income	1,248,902		204,787

Other

As part of the proceeds from the sale of the fine chemistry services (“FCS”) business on June 1, 2021, W.R. Grace & Co. (“Grace”) issued Albemarle preferred equity of a Grace subsidiary having an aggregate stated value of $270 million. The

10

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

preferred equity can be redeemed at Grace’s option under certain conditions and will accrue PIK dividends at an annual rate of 12% beginning two years after issuance. This preferred equity had a fair value of $266.3 million and $260.1 million at March 31, 2023 and December 31, 2022, respectively, which is reported in Investments in the consolidated balance sheets.

NOTE 7—Goodwill and Other Intangibles:

The following table summarizes the changes in goodwill by reportable segment for the three months ended March 31, 2023 (in thousands):

	Energy Storage		Specialties		Ketjen		Total
Balance at December 31, 2022	$	1,424,275	$	20,319	$	173,033	$	1,617,627
Segment realignment(a)	(12,316)		12,316		—		—
Foreign currency translation adjustments and other	13,342		—		3,183		16,525
Balance at March 31, 2023	$	1,425,301	$	32,635	$	176,216	$	1,634,152

(a)    Effective January 1, 2023, the Company realigned its Lithium and Bromine reportable segments into the Energy Storage and Specialties reportable segments. See Note 11, “Segment Information,” for additional details. As a result, the Company transferred goodwill from its legacy Lithium segment to the new Specialties reportable segment during the three months ended March 31, 2023.

The following table summarizes the changes in other intangibles and related accumulated amortization for the three months ended March 31, 2023 (in thousands):

	Customer Lists and Relationships		Trade Names and Trademarks(a)		Patents and Technology		Other		Total
Gross Asset Value
Balance at December 31, 2022	$	412,670	$	13,161	$	46,399	$	35,186	$	507,416
Foreign currency translation adjustments and other	5,066		231		639		981		6,917
Balance at March 31, 2023	$	417,736	$	13,392	$	47,038	$	36,167	$	514,333
Accumulated Amortization
Balance at December 31, 2022	$	(177,627)	$	(3,587)	$	(23,790)	$	(14,542)	$	(219,546)
Amortization	(6,529)		—		(657)		(248)		(7,434)
Foreign currency translation adjustments and other	(2,136)		(43)		(373)		(293)		(2,845)
Balance at March 31, 2023	$	(186,292)	$	(3,630)	$	(24,820)	$	(15,083)	$	(229,825)
Net Book Value at December 31, 2022	$	235,043	$	9,574	$	22,609	$	20,644	$	287,870
Net Book Value at March 31, 2023	$	231,444	$	9,762	$	22,218	$	21,084	$	284,508

(a)    Net Book Value includes only indefinite-lived intangible assets.

11

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

NOTE 8—Long-Term Debt:

Long-term debt at March 31, 2023 and December 31, 2022 consisted of the following (in thousands):

	March 31,		December 31,
	2023		2022
1.125% notes due 2025	$	408,959	$	401,265
1.625% notes due 2028	542,200		532,000
3.45% Senior notes due 2029	171,612		171,612
4.65% Senior notes due 2027	650,000		650,000
5.05% Senior notes due 2032	600,000		600,000
5.45% Senior notes due 2044	350,000		350,000
5.65% Senior notes due 2052	450,000		450,000
Variable-rate foreign bank loans	3,056		2,997
Finance lease obligations	76,070		76,537
Other	11,510		11,378
Unamortized discount and debt issuance costs	(27,847)		(28,689)
Total long-term debt	3,235,560		3,217,100
Less amounts due within one year	2,167		2,128
Long-term debt, less current portion	$	3,233,393	$	3,214,972

NOTE 9—Commitments and Contingencies:

Environmental

The following activity was recorded in environmental liabilities for the three months ended March 31, 2023 (in thousands):

Beginning balance at December 31, 2022	$	38,245
Expenditures	(817)
Accretion of discount	249
Additions and changes in estimates	1,869
Foreign currency translation adjustments and other	381
Ending balance at March 31, 2023	39,927
Less amounts reported in Accrued expenses	7,441
Amounts reported in Other noncurrent liabilities	$	32,486

Environmental remediation liabilities included discounted liabilities of $32.1 million and $30.1 million at March 31, 2023 and December 31, 2022, respectively, discounted at rates with a weighted-average of 3.6% and 3.4%, respectively, and with the undiscounted amount totaling $60.8 million and $57.5 million at March 31, 2023 and December 31, 2022, respectively. For certain locations where the Company is operating groundwater monitoring and/or remediation systems, prior owners or insurers have assumed all or most of the responsibility.

The amounts recorded represent our future remediation and other anticipated environmental liabilities. These liabilities typically arise during the normal course of our operational and environmental management activities or at the time of acquisition of the site, and are based on internal analysis as well as input from outside consultants. As evaluations proceed at each relevant site, changes in risk assessment practices, remediation techniques and regulatory requirements can occur, therefore such liability estimates may be adjusted accordingly. The timing and duration of remediation activities at these sites will be determined when evaluations are completed. Although it is difficult to quantify the potential financial impact of these remediation liabilities, management estimates (based on the latest available information) that there is a reasonable possibility that future environmental remediation costs associated with our past operations could represent an additional $19 million before income taxes, in excess of amounts already recorded.

12

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

We believe that any sum we may be required to pay in connection with environmental remediation matters in excess of the amounts recorded would likely occur over a period of time and would likely not have a material adverse effect upon our results of operations, financial condition or cash flows on a consolidated annual basis although any such sum could have a material adverse impact on our results of operations, financial condition or cash flows in a particular quarterly reporting period.

Litigation

We are involved from time to time in legal proceedings of types regarded as common in our business, including administrative or judicial proceedings seeking remediation under environmental laws, such as the federal Comprehensive Environmental Response, Compensation and Liability Act, commonly known as CERCLA or Superfund, products liability, breach of contract liability and premises liability litigation. Where appropriate, we may establish financial reserves for such proceedings. We also maintain insurance to mitigate certain of such risks. Costs for legal services are generally expensed as incurred.

As first reported in 2018, following receipt of information regarding potential improper payments being made by third-party sales representatives of our Refining Solutions business, within our Ketjen segment, we promptly retained outside counsel and forensic accountants to investigate potential violations of the Company’s Code of Conduct, the Foreign Corrupt Practices Act, and other potentially applicable laws. Based on this internal investigation, we have voluntarily self-reported potential issues relating to the use of third-party sales representatives in our Refining Solutions business, within our Ketjen segment, to the U.S. Department of Justice (“DOJ”), the SEC, and the Dutch Public Prosecutor (“DPP”), and are cooperating with the DOJ, the SEC, and the DPP in their review of these matters. In connection with our internal investigation, we have implemented, and are continuing to implement, appropriate remedial measures. We have commenced discussions with the SEC, DOJ and DPP about a potential resolution of these matters.

At this time, we are unable to predict the duration, scope, result, or related costs associated with the investigations. We also are unable to predict what action may be taken by the DOJ, the SEC, or the DPP, or what penalties or remedial actions they may ultimately seek. Any determination that our operations or activities are not, or were not, in compliance with existing laws or regulations could result in the imposition of fines, penalties, disgorgement, equitable relief, or other losses. We do not believe, however, that any such fines, penalties, disgorgement, equitable relief, or other losses would have a material adverse effect on our financial condition or liquidity. However, an adverse resolution could have a material adverse effect on our results of operations in a particular period.

Indemnities

We are indemnified by third parties in connection with certain matters related to acquired and divested businesses. Although we believe that the financial condition of those parties who may have indemnification obligations to the Company is generally sound, in the event the Company seeks indemnity under any of these agreements or through other means, there can be no assurance that any party who may have obligations to indemnify us will adhere to their obligations and we may have to resort to legal action to enforce our rights under the indemnities.

The Company may be subject to indemnity claims relating to properties or businesses it divested, including properties or businesses of acquired businesses that were divested prior to the completion of the acquisition. In the opinion of management, and based upon information currently available, the ultimate resolution of any indemnification obligations owed to the Company or by the Company is not expected to have a material effect on the Company’s financial condition, results of operations or cash flows. The Company had approximately $67.4 million and $66.1 million at March 31, 2023 and December 31, 2022, respectively, recorded in Other noncurrent liabilities, primarily related to the indemnification of certain income and non-income tax liabilities associated with the Chemetall Surface Treatment entities sold in 2017.

Other

We have contracts with certain of our customers which serve as guarantees on product delivery and performance according to customer specifications that can cover both shipments on an individual basis, as well as blanket coverage of multiple shipments under certain customer supply contracts. The financial coverage provided by these guarantees is typically based on a percentage of net sales value.

NOTE 10—Leases:

We lease certain office space, buildings, transportation and equipment in various countries. The initial lease terms generally range from 1 to 30 years for real estate leases, and from 2 to 15 years for non-real estate leases. Leases with an initial

13

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

term of 12 months or less are not recorded on the balance sheet, and we recognize lease expense for these leases on a straight-line basis over the lease term.

Many leases include options to terminate or renew, with renewal terms that can extend the lease term from 1 to 50 years or more. The exercise of lease renewal options is at our sole discretion. Certain leases also include options to purchase the leased property. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The following table provides details of our lease contracts for the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Operating lease cost	$	11,751	$	10,611
Finance lease cost:
Amortization of right of use assets	845		430
Interest on lease liabilities	1,059		853
Total finance lease cost	1,904		1,283
Short-term lease cost	5,060		2,699
Variable lease cost	3,509		717
Total lease cost	$	22,224	$	15,310

Supplemental cash flow information related to our lease contracts for the three-month periods ended March 31, 2023 and 2022 is as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	10,974	$	8,637
Operating cash flows from finance leases	1,203		599
Financing cash flows from finance leases	500		515
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	10,337		999

14

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

Supplemental balance sheet information related to our lease contracts, including the location on balance sheet, at March 31, 2023 and December 31, 2022 is as follows (in thousands, except as noted):

	March 31, 2023			December 31, 2022
Operating leases:
Other assets	$	128,229		$	128,173
Accrued expenses	35,343			35,515
Other noncurrent liabilities	102,125			99,269
Total operating lease liabilities	137,468			134,784
Finance leases:
Net property, plant and equipment	80,591			81,356
Current portion of long-term debt(a)	4,872			4,995
Long-term debt	73,903			74,409
Total finance lease liabilities	78,775			79,404
Weighted average remaining lease term (in years):
Operating leases	13.0			13.3
Finance leases	22.6			22.8
Weighted average discount rate (%):
Operating leases	3.72		%	3.60		%
Finance leases	4.41		%	4.41		%

(a)    Balance includes accrued interest of finance lease recorded in Accrued liabilities.

Maturities of lease liabilities at March 31, 2023 were as follows (in thousands):

	Operating Leases		Finance Leases
Remainder of 2023	$	31,554	$	5,437
2024	27,766		9,409
2025	15,923		6,129
2026	12,576		5,478
2027	10,717		5,478
Thereafter	113,413		91,904
Total lease payments	211,949		123,835
Less imputed interest	74,481		45,060
Total	$	137,468	$	78,775

NOTE 11—Segment Information:

Effective January 1, 2023, the Company realigned its Lithium and Bromine global business units into a new corporate structure designed to better meet customer needs and foster talent required to deliver in a competitive global environment. In addition, the Company announced its decision to retain its Catalysts business under a separate, wholly-owned subsidiary renamed Ketjen. As a result, the Company’s three reportable segments include: (1) Energy Storage; (2) Specialties; and (3) Ketjen. Each segment has a dedicated team of sales, research and development, process engineering, manufacturing and sourcing, and business strategy personnel and has full accountability for improving execution through greater asset and market focus, agility and responsiveness. This business structure aligns with the markets and customers we serve through each of the segments. This structure also facilitates the continued standardization of business processes across the organization, and is consistent with the manner in which information is presently used internally by the Company’s chief operating decision maker

15

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

to evaluate performance and make resource allocation decisions. The segment information for the prior year period been recast to conform to the current year presentation.

The Corporate category is not considered to be a segment and includes corporate-related items not allocated to the operating segments. Pension and other post-employment benefit (“OPEB”) service cost (which represents the benefits earned by active employees during the period) and amortization of prior service cost or benefit are allocated to the reportable segments and Corporate, whereas the remaining components of pension and OPEB benefits cost or credit (“Non-operating pension and OPEB items”) are included in Corporate. Segment data includes inter-segment transfers of raw materials at cost and allocations for certain corporate costs.

The Company’s chief operating decision maker uses adjusted EBITDA (as defined below) to assess the ongoing performance of the Company’s business segments and to allocate resources. The Company defines adjusted EBITDA as earnings before interest and financing expenses, income tax expenses, depreciation and amortization, as adjusted on a consistent basis for certain non-operating, non-recurring or unusual items in a balanced manner and on a segment basis. These non-operating, non-recurring or unusual items may include acquisition and integration related costs, gains or losses on sales of businesses, restructuring charges, facility divestiture charges, certain litigation and arbitration costs and charges, non-operating pension and OPEB items and other significant non-recurring items. In addition, management uses adjusted EBITDA for business and enterprise planning purposes and as a significant component in the calculation of performance-based compensation for management and other employees. The Company has reported adjusted EBITDA because management believes it provides transparency to investors and enables period-to-period comparability of financial performance. Adjusted EBITDA is a financial measure that is not required by, or presented in accordance with, U.S. GAAP. Adjusted EBITDA should not be considered as an alternative to Net (loss) income attributable to Albemarle Corporation, the most directly comparable financial measure calculated and reported in accordance with U.S. GAAP, or any other financial measure reported in accordance with U.S. GAAP.

Segment information for the three-month periods ended March 31, 2023 and 2022 were as follows (in thousands). Prior period amounts have been recast to reflect the current segment structure.

	Three Months Ended March 31,
	2023		2022
Net sales:
Energy Storage	$	1,943,682	$	463,704
Specialties	418,778		446,147
Ketjen	217,792		217,877
Total net sales	$	2,580,252	$	1,127,728
Adjusted EBITDA:
Energy Storage	$	1,406,181	$	285,247
Specialties	162,158		152,602
Ketjen	14,543		16,910
Total segment adjusted EBITDA	1,582,882		454,759
Corporate	12,837		(22,829)
Total adjusted EBITDA	$	1,595,719	$	431,930
Depreciation and amortization:
Energy Storage	$	52,162	$	35,046
Specialties	19,892		16,153
Ketjen	13,143		12,921
Corporate	2,074		2,454
Total depreciation and amortization	$	87,271	$	66,574

16

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

See below for a reconciliation of total segment adjusted EBITDA to the companies consolidated Net income attributable to Albemarle Corporation, the most directly comparable financial measure calculated and reported in accordance with U.S. GAAP (in thousands):

	Three Months Ended March 31,
	2023		2022
Total segment adjusted EBITDA	$	1,582,882	$	454,759
Corporate expenses, net	12,837		(22,829)
Depreciation and amortization	(87,271)		(66,574)
Interest and financing expenses(a)	(26,777)		(27,834)
Income tax expense	(276,963)		(80,530)
Loss on sale of interest in properties, net(b)	—		(8,400)
Acquisition and integration related costs(c)	(5,108)		(1,724)
Non-operating pension and OPEB items	(601)		5,280
Mark-to-market gain on public equity securities(d)	45,826		—
Other(e)	(6,245)		1,235
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383

(a)Included in Interest and financing expenses for the three months ended March 31, 2022 is the correction of an out of period error of $17.5 million related to the overstatement of capitalized interest in prior periods.

(b)Expense recorded as a result of revised estimates of the obligation to construct certain lithium hydroxide conversion assets in Kemerton, Western Australia, due to cost overruns from supply chain, labor and COVID-19 pandemic related issues. The corresponding obligation was recorded in Accrued liabilities to be transferred to MRL, which maintains a 40% ownership interest in these Kemerton assets.

(c)Costs related to the acquisition, integration and potential divestitures for various significant projects, recorded in Selling, general and administrative expenses (“SG&A”).

(d)Gain recorded in Other income, net for the three months ended March 31, 2023, resulting from the increase in fair value of investments in public equity securities.

(e)Included amounts for the three months ended March 31, 2023 recorded in:

•SG&A - $1.9 million of charges primarily for environmental reserves at sites not part of our operations and $0.7 million of facility closure expenses related to offices in Germany.

•Other income, net - $3.6 million of charges for asset retirement obligations at a site not part of our operations.

Included amounts for the three months ended March 31, 2022 recorded in:

•SG&A - $4.3 million of gains from the sale of legacy properties not part of our operations, partially offset by $2.8 million of charges for environmental reserves at sites not part of our operations and $0.7 million of facility closure expenses related to offices in Germany.

•Other income, net - $0.6 million gain related to a settlement received from a legal matter in a prior period.

NOTE 12—Pension Plans and Other Postretirement Benefits:

The components of pension and postretirement benefits cost (credit) for the three-month periods ended March 31, 2023 and 2022 were as follows (in thousands):

17

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

	Three Months Ended March 31,
	2023		2022
Pension Benefits Cost (Credit):
Service cost	$	1,321	$	985
Interest cost	8,542		5,605
Expected return on assets	(8,409)		(11,212)
Amortization of prior service benefit	20		24
Total net pension benefits cost (credit)	$	1,474	$	(4,598)
Postretirement Benefits Cost:
Service cost	$	12	$	21
Interest cost	468		327
Total net postretirement benefits cost	$	480	$	348
Total net pension and postretirement benefits cost (credit)	$	1,954	$	(4,250)

All components of net benefit cost (credit), other than service cost, are included in Other income, net on the consolidated statements of income.

During the three-month periods ended March 31, 2023 and 2022, the Company made contributions of $2.7 million and $3.2 million, respectively, to its qualified and nonqualified pension plans.

The Company paid $0.2 million and $0.6 million in premiums to the U.S. postretirement benefit plan during the three-month periods ended March 31, 2023 and 2022, respectively.

NOTE 13—Fair Value of Financial Instruments:

In assessing the fair value of financial instruments, we use methods and assumptions that are based on market conditions and other risk factors existing at the time of assessment. Fair value information for our financial instruments is as follows:

Long-Term Debt—the fair values of our notes are estimated using Level 1 inputs and account for the difference between the recorded amount and fair value of our long-term debt. The carrying value of our remaining long-term debt reported in the accompanying consolidated balance sheets approximates fair value as substantially all of such debt bears interest based on prevailing variable market rates currently available in the countries in which we have borrowings.

	March 31, 2023				December 31, 2022
	Recorded Amount		Fair Value		Recorded Amount		Fair Value
	(In thousands)
Long-term debt	$	3,257,604	$	3,073,954	$	3,239,853	$	2,993,027

Foreign Currency Forward Contracts—during the fourth quarter of 2019, we entered into a foreign currency forward contract to hedge the cash flow exposure of non-functional currency purchases during the construction of the Kemerton plant in Australia. This derivative financial instrument is used to manage risk and is not used for trading or other speculative purposes. This foreign currency forward contract has been designated as a hedging instrument under ASC 815, Derivatives and Hedging. We had outstanding designated foreign currency forward contracts with notional values totaling the equivalent of $17.6 million and $64.5 million at March 31, 2023 and December 31, 2022, respectively.

We also enter into foreign currency forward contracts in connection with our risk management strategies that have not been designated as hedging instruments under ASC 815, Derivatives and Hedging, in an attempt to minimize the financial impact of changes in foreign currency exchange rates. These derivative financial instruments are used to manage risk and are not used for trading or other speculative purposes. The fair values of our non-designated foreign currency forward contracts are estimated based on current settlement values. At March 31, 2023 and December 31, 2022, we had outstanding non-designated foreign currency forward contracts with notional values totaling $5.2 billion and $2.8 billion, respectively, hedging our exposure to various currencies including the Chinese Renminbi, Euro, Australian Dollar, Chilean Peso and Japanese Yen.

The following table summarizes the fair value of our foreign currency forward contracts included in the consolidated balance sheets as of March 31, 2023 and December 31, 2022 (in thousands):

18

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

	March 31, 2023				December 31, 2022
	Assets		Liabilities		Assets		Liabilities
Designated as hedging instruments
Accrued expenses	$	—	$	921	$	—	$	3,159
Total designated as hedging instruments	—		921		—		3,159
Not designated as hedging instruments
Other current assets	—		—		6,016		—
Accrued expenses	—		306		—		85
Total not designated as hedging instruments	—		306		6,016		85
Total	$	—	$	1,227	$	6,016	$	3,244

19

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

The following table summarizes the net gains (losses) recognized for our foreign currency forward contracts during the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Designated as hedging instruments
Income recognized in Other comprehensive income (loss)	$	1,101	$	4,017
Not designated as hedging instruments
Income (loss) recognized in Other income, net(a)	$	35,233	$	(3,972)

(a)    Fluctuations in the value of our foreign currency forward contracts not designated as hedging instruments are generally expected to be offset by changes in the value of the underlying exposures being hedged, which are also reported in Other income, net.

In addition, for the three-month periods ended March 31, 2023 and 2022, we recorded net cash receipts (settlements) of $41.5 million and ($3.3) million, respectively, in Other, net, in our condensed consolidated statements of cash flows.

Unrealized gains and losses related to the cash flow hedges will be reclassified to earnings over the life of the related assets when settled and the related assets are placed into service.

The counterparties to our foreign currency forward contracts are major financial institutions with which we generally have other financial relationships. We are exposed to credit loss in the event of nonperformance by these counterparties. However, we do not anticipate nonperformance by the counterparties.

NOTE 14—Fair Value Measurement:

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The inputs used to measure fair value are classified into the following hierarchy:

Level 1	Unadjusted quoted prices in active markets for identical assets or liabilities
Level 2	Unadjusted quoted prices in active markets for similar assets or liabilities, or unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability
Level 3	Unobservable inputs for the asset or liability

20

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

We endeavor to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The following tables set forth our financial assets and liabilities that were accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022 (in thousands):

	March 31, 2023		Quoted Prices in Active Markets for Identical Items (Level 1)		Quoted Prices in Active Markets for Similar Items (Level 2)		Unobservable Inputs (Level 3)
Assets:
Available for sale debt securities(a)	$	266,276	$	—	$	—	$	266,276
Investments under executive deferred compensation plan(b)	$	27,539	$	27,539	$	—	$	—
Public equity securities(c)	$	177,503	$	177,503	$	—	$	—
Private equity securities measured at net asset value(d)(e)	$	6,388	$	—	$	—	$	—
Liabilities:
Obligations under executive deferred compensation plan(b)	$	27,539	$	27,539	$	—	$	—
Foreign currency forward contracts(f)	$	1,227	$	—	$	1,227	$	—

	December 31, 2022		Quoted Prices in Active Markets for Identical Items (Level 1)		Quoted Prices in Active Markets for Similar Items (Level 2)		Unobservable Inputs (Level 3)
Assets:
Available for sale debt securities(a)	$	260,139	$	—	$	—	$	260,139
Investments under executive deferred compensation plan(b)	$	27,270	$	27,270	$	—	$	—
Public equity securities(c)	$	5,890	$	5,890	$	—	$	—
Private equity securities measured at net asset value(d)(e)	$	6,375	$	—	$	—	$	—
Foreign currency forward contracts(f)	$	6,016	$	—	$	6,016	$	—
Liabilities:
Obligations under executive deferred compensation plan(b)	$	27,270	$	27,270	$	—	$	—
Foreign currency forward contracts(f)	$	3,244	$	—	$	3,244	$	—

(a)Preferred equity of a Grace subsidiary acquired as a portion of the proceeds of the FCS sale on June 1, 2021. A third-party estimate of the fair value was prepared using expected future cash flows over the period up to when the asset is likely to be redeemed, applying a discount rate that appropriately captures a market participant's view of the risk associated with the investment. These are considered to be Level 3 inputs.

(b)We maintain an Executive Deferred Compensation Plan (“EDCP”) that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trust”) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. As such, these assets and obligations are classified within Level 1.

(c)Holdings in equity securities of public companies reported in Investments in the consolidated balance sheets. The fair value is measured using publicly available share prices of the investments, with any changes reported in Other income, net in our consolidated statements of income. During the three-month period ended March 31, 2023, the Company purchased approximately $121.9 million of shares in a publicly-traded company. In addition, the Company recorded a mark-to-market gain of $45.8 million on all public equity securities during the three-month period ended March 31, 2023 in Other income, net.

(d)Primarily consists of private equity securities reported in Investments in the consolidated balance sheets. The changes in fair value are reported in Other income, net in our consolidated statements of income.

(e)Holdings in certain private equity securities are measured at fair value using the net asset value per share (or its equivalent) practical expedient and have not been categorized in the fair value hierarchy.

(f)As a result of our global operating and financing activities, we are exposed to market risks from changes in foreign currency exchange rates which may adversely affect our operating results and financial position. When deemed appropriate, we minimize our risks from

21

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

foreign currency exchange rate fluctuations through the use of foreign currency forward contracts. The foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within Level 2. See Note 13, “Fair Value of Financial Instruments,” for further details about our foreign currency forward contracts.

The following tables set forth the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements (in thousands):

	Available for Sale Debt Securities
Beginning balance at December 31, 2022	$	260,139
Fair value adjustment	2,953
Accretion of discount	3,184
Ending balance at March 31, 2023	$	266,276

NOTE 15—Accumulated Other Comprehensive (Loss) Income:

The components and activity in Accumulated other comprehensive (loss) income (net of deferred income taxes) consisted of the following during the periods indicated below (in thousands):

	Foreign Currency Translation and Other		Cash Flow Hedge(a)		Interest Rate Swap(b)		Total
Three months ended March 31, 2023
Balance at December 31, 2022	$	(562,886)	$	2,224	$	—	$	(560,662)
Other comprehensive income before reclassifications	46,200		1,101		—		47,301
Amounts reclassified from accumulated other comprehensive loss	16		—		—		16
Other comprehensive income, net of tax	46,216		1,101		—		47,317
Other comprehensive income attributable to noncontrolling interests	8		—		—		8
Balance at March 31, 2023	$	(516,662)	$	3,325	$	—	$	(513,337)
Three months ended March 31, 2022
Balance at December 31, 2021	$	(391,674)	$	6,623	$	(7,399)	$	(392,450)
Other comprehensive (loss) income before reclassifications	(5,909)		4,017		—		(1,892)
Amounts reclassified from accumulated other comprehensive loss	20		—		650		670
Other comprehensive (loss) income, net of tax	(5,889)		4,017		650		(1,222)
Other comprehensive income attributable to noncontrolling interests	53		—		—		53
Balance at March 31, 2022	$	(397,510)	$	10,640	$	(6,749)	$	(393,619)

(a)We entered into a foreign currency forward contract, which was designated and accounted for as a cash flow hedge under ASC 815, Derivatives and Hedging. See Note 14, “Fair Value of Financial Instruments,” for additional information.

(b)The pre-tax portion of amounts reclassified from accumulated other comprehensive loss is included in interest expense. The balance of this interest rate swap was being amortized to Interest and financing expenses over the life of the 4.15% senior notes originally due in 2024. In the second quarter of 2022, the Company repaid these notes, and as a result, reclassified the remaining balance of this interest rate swap to interest expense during the same period as part of an early extinguishment of debt.

22

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

The amount of income tax expense allocated to each component of Other comprehensive income (loss) for the three-month periods ended March 31, 2023 and 2022 is provided in the following tables (in thousands):

	Foreign Currency Translation and Other		Cash Flow Hedge		Interest Rate Swap		Total
Three months ended March 31, 2023
Other comprehensive income, before tax	$	45,978	$	1,101	$	—	$	47,079
Income tax benefit	238		—		—		238
Other comprehensive income, net of tax	$	46,216	$	1,101	$	—	$	47,317
Three months ended March 31, 2022
Other comprehensive (loss) income, before tax	$	(6,458)	$	4,017	$	834	$	(1,607)
Income tax benefit (expense)	569		—		(184)		385
Other comprehensive (loss) income, net of tax	$	(5,889)	$	4,017	$	650	$	(1,222)

NOTE 16—Related Party Transactions:

Our consolidated statements of income include sales to and purchases from unconsolidated affiliates in the ordinary course of business as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Sales to unconsolidated affiliates	$	7,100	$	7,655
Purchases from unconsolidated affiliates(a)	$	1,072,544	$	216,554

(a)Purchases from unconsolidated affiliates primarily relate to spodumene purchased from the Company’s Windfield joint venture.

Our consolidated balance sheets include accounts receivable due from and payable to unconsolidated affiliates in the ordinary course of business as follows (in thousands):

	March 31, 2023		December 31, 2022
Receivables from unconsolidated affiliates	$	13,076	$	21,495
Payables to unconsolidated affiliates(a)	$	1,012,822	$	518,377

(a)Payables to unconsolidated affiliates primarily relate spodumene purchased from the Company’s Windfield joint venture under normal payment terms.

NOTE 17—Supplemental Cash Flow Information:

Supplemental information related to the condensed consolidated statements of cash flows is as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Supplemental non-cash disclosure related to investing and financing activities:
Capital expenditures included in Accounts payable	$	347,165	$	196,661
Promissory note issued for capital expenditures(a)	$	—	$	10,876

(a)During the first quarter of 2022, the Company issued a promissory note with a present value of $10.9 million for land purchased in Kings Mountain, NC. The promissory note is payable in equal annual installments from the years 2027 to 2048.

As part of the purchase price paid for the acquisition of a 60% interest in the MRL Wodgina Project, the Company transferred $7.7 million and $65.1 million of its construction in progress of the designated Kemerton assets during the three months ended March 31, 2023 and 2022, respectively, representing MRL’s 40% interest in the assets. The cash outflow for these assets was recorded in Capital expenditures within Cash flows from investing activities on the condensed consolidated statements of cash flows. The non-cash transfer of these assets is recorded in Non-cash transfer of 40% value of construction in

23

ALBEMARLE CORPORATION AND SUBSIDIARIES

Notes to the Condensed Consolidated Financial Statements

(Unaudited)

progress of the Kemerton plant to MRL within Cash flows from operating activities on the consolidated statements of cash flows.

NOTE 18—Recently Issued Accounting Pronouncements:

In March 2020, the Financial Accounting Standards Board (“FASB”) issued accounting guidance that provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The guidance applies only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. In January 2021, the FASB issued additional accounting guidance which clarifies that certain optional expedients and exceptions apply to derivatives that are affected by the discounting transition. The guidance under both FASB issuances was originally effective March 12, 2020 through December 31, 2022. However, in December 2022, the FASB issued an update to defer the sunset date of this guidance to December 31, 2024. The Company currently does not expect this guidance to have a significant impact on its consolidated financial statements.

In October 2021, the FASB issued guidance on how to recognize and measure acquired contract assets and liabilities from revenue contracts in a business combination, which requires the acquirer to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with ASC 606, Revenue from Contracts with Customers as if it had originated the contracts. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2022, including interim periods within those annual periods. This guidance does not currently, nor is it expected to, have a significant impact on its consolidated financial statements.

In March 2022, the FASB issued accounting guidance that expands the Company’s abilities to hedge the benchmark interest rate risk of portfolios of financial assets or beneficial interests in a fair value hedge. This guidance expands the use of the portfolio layer method to allow multiple hedges of a single closed portfolio of assets using spot starting, forward starting, and amortizing-notional swaps. This also permits both prepayable and non prepayable financial assets to be included in the closed portfolio of assets hedged in a portfolio layer hedge. In addition, this guidance requires that basis adjustments not be allocated to individual assets for active portfolio layer method hedges, but rather be maintained on the closed portfolio of assets as a whole. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2022, including interim periods within those annual periods. This guidance does not currently, nor is it expected to, have a significant impact on its consolidated financial statements.

In March 2023, the FASB issued guidance which requires the Company to amortize leasehold improvements associated with common control leases over the asset’s useful life to the common control group regardless of the lease term. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2023, including interim periods within those annual periods. The Company currently does not expect this guidance to have a significant impact on its consolidated financial statements.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Forward-looking Statements

Some of the information presented in this Quarterly Report on Form 10-Q, including the documents incorporated by reference herein, may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on our current expectations, which are in turn based on assumptions that we believe are reasonable based on our current knowledge of our business and operations. We have used words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” “would,” “will” and variations of such words and similar expressions to identify such forward-looking statements.

These forward-looking statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions, which are difficult to predict and many of which are beyond our control. There can be no assurance that our actual results will not differ materially from the results and expectations expressed or implied in the forward-looking statements. Factors that could cause actual results to differ materially from the outlook expressed or implied in any forward-looking statement include, without limitation, information related to:

•changes in economic and business conditions;

•product development;

•changes in financial and operating performance of our major customers and industries and markets served by us;

•the timing of orders received from customers;

•the gain or loss of significant customers;

•fluctuations in lithium market pricing, which could impact our revenues and profitability particularly due to our increased exposure to index-referenced and variable-priced contracts for battery grade lithium sales;

•inflationary trends in our input costs, such as raw materials, transportation and energy, and their effects on our business and financial results;

•changes with respect to contract renegotiations;

•potential production volume shortfalls;

•competition from other manufacturers;

•changes in the demand for our products or the end-user markets in which our products are sold;

•limitations or prohibitions on the manufacture and sale of our products;

•availability of raw materials;

•increases in the cost of raw materials and energy, and our ability to pass through such increases to our customers;

•technological change and development;

•changes in our markets in general;

•fluctuations in foreign currencies;

•changes in laws and government regulation impacting our operations or our products;

•the occurrence of regulatory actions, proceedings, claims or litigation (including with respect to the U.S. Foreign Corrupt Practices Act and foreign anti-corruption laws);

•the occurrence of cyber-security breaches, terrorist attacks, industrial accidents or natural disasters;

•the effects of climate change, including any regulatory changes to which we might be subject;

•hazards associated with chemicals manufacturing;

•the inability to maintain current levels of insurance, including product or premises liability insurance, or the denial of such coverage;

•political unrest affecting the global economy, including adverse effects from terrorism or hostilities;

•political instability affecting our manufacturing operations or joint ventures;

•changes in accounting standards;

•the inability to achieve results from our global manufacturing cost reduction initiatives as well as our ongoing continuous improvement and rationalization programs;

•changes in the jurisdictional mix of our earnings and changes in tax laws and rates or interpretation;

•changes in monetary policies, inflation or interest rates that may impact our ability to raise capital or increase our cost of funds, impact the performance of our pension fund investments and increase our pension expense and funding obligations;

25

•volatility and uncertainties in the debt and equity markets;

•technology or intellectual property infringement, including cyber-security breaches, and other innovation risks;

•decisions we may make in the future;

•future acquisition and divestiture transactions, including the ability to successfully execute, operate and integrate acquisitions and divestitures and incurring additional indebtedness;

•expected benefits from proposed transactions;

•timing of active and proposed projects;

•continuing uncertainties as to the duration and impact of the novel coronavirus (“COVID-19”) pandemic and any future pandemic;

•impacts of the military conflict between Russia and Ukraine and the global response to it;

•performance of our partners in joint ventures and other projects;

•changes in credit ratings;

•the inability to realize the benefits of our decision to retain our Ketjen business as a wholly-owned subsidiary and to realign our Lithium and Bromine global business units into a new corporate structure, including Energy Storage and Specialties business units; and

•the other factors detailed from time to time in the reports we file with the Securities and Exchange Commission (“SEC”).

These forward-looking statements speak only as of the date of this Quarterly Report on Form 10-Q. We assume no obligation to provide any revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws. The following discussion should be read together with our condensed consolidated financial statements and related notes included in this Quarterly Report on Form 10-Q.

The following is a discussion and analysis of our results of operations for the three-month periods ended March 31, 2023 and 2022. A discussion of our consolidated financial condition and sources of additional capital is included under a separate heading “Financial Condition and Liquidity.”

Overview

We are a leading global developer, manufacturer and marketer of highly-engineered specialty chemicals that are designed to meet our customers’ needs across a diverse range of end markets. Our corporate purpose is making the world safe and sustainable by powering the potential of people. The end markets we serve include energy storage, petroleum refining, consumer electronics, construction, automotive, lubricants, pharmaceuticals and crop protection. We believe that our commercial and geographic diversity, technical expertise, access to high-quality resources, innovative capability, flexible, low-cost global manufacturing base, experienced management team and strategic focus on our core base technologies will enable us to maintain leading positions in those areas of the specialty chemicals industry in which we operate.

Secular trends favorably impacting demand within the end markets that we serve combined with our diverse product portfolio, broad geographic presence and customer-focused solutions will continue to be key drivers of our future earnings growth. We continue to build upon our existing green solutions portfolio and our ongoing mission to provide innovative, yet commercially viable, clean energy products and services to the marketplace to contribute to our sustainable revenue. For example, our Energy Storage business contributes to the growth of clean miles driven with electric vehicles and more efficient use of renewable energy through grid storage; Specialties enables the prevention of fires starting in electronic equipment, greater fuel efficiency from rubber tires and the reduction of emissions from coal fired power plants; and the Ketjen business creates efficiency of natural resources through more usable products from a single barrel of oil, enables safer, greener production of alkylates used to produce more environmentally-friendly fuels, and reduced emissions through cleaner transportation fuels. We believe our disciplined cost reduction efforts and ongoing productivity improvements, among other factors, position us well to take advantage of strengthening economic conditions as they occur, while softening the negative impact of the current challenging global economic environment.

First Quarter 2023

During the first quarter of 2023:

•Our board of directors declared a quarterly dividend of $0.40 per share on February 23, 2023, which was paid on April 3, 2023 to shareholders of record at the close of business as of March 17, 2023.

•We announced the official brand launch of Ketjen, a wholly owned subsidiary, previously known as the Catalysts reportable segment.

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•We realigned our Lithium and Bromine global business units into a new corporate structure designed to better meet customer needs and foster talent required to deliver in a competitive global environment. This resulted in the following three reportable segments: (1) Energy Storage; (2) Specialties; and (3) Ketjen.

•We announced agreements to restructure the MARBL joint venture in Australia and investment by Mineral Resources Limited (“MRL”) in certain of our conversion assets in China. The agreements will, among other things: (1) increase our interest in the first two conversion trains of the Kemerton processing plant from 60% to 85%; (2) increase MRL’s interest in the Wodgina Lithium Mine Project from 40% to 50%; (3) commit MRL to fund 50% of the capital costs for downstream conversion capacity we nominate to process Wodgina spodumene; and (4) provide MRL with a 50% interest in our Qinzhou and Meishan plants in China. This agreement restructuring will be completed in phases and is subject to regulatory approval.

•We announced plans to construct a new $1.3 billion lithium mega-flex processing facility in South Carolina capable of annually producing approximately 50,000 metric tonnes of battery-grade lithium hydroxide, with the potential to expand up to 100,000 metric tonnes. Construction is expected to begin in late 2024.

•Our net sales for the quarter were $2.6 billion, an increase of 129% compared to net sales of $1.1 billion in the first quarter of 2022.

•Diluted earnings per share was $10.51, compared to $2.15 in the first quarter of 2022.

Outlook

The current global business environment presents a diverse set of opportunities and challenges in the markets we serve. In particular, the market for lithium battery and energy storage, particularly for electric vehicles (“EVs”), remains strong, providing the opportunity to continue to develop high quality and innovative products while managing the high cost of expanding capacity. The other markets we serve continue to present various opportunities for value and growth as we have positioned ourselves to manage the impact on our business of changing global conditions, such as slow and uneven global growth, currency exchange volatility, crude oil price fluctuation, a dynamic pricing environment, an ever-changing landscape in electronics, the continuous need for cutting edge catalysts and technology by our refinery customers and increasingly stringent environmental standards. Amidst these dynamics, we believe our business fundamentals are sound and that we are strategically well-positioned as we remain focused on increasing sales volumes, optimizing and improving the value of our portfolio primarily through pricing and product development, managing costs and delivering value to our customers and shareholders. We believe that our businesses remain well-positioned to capitalize on new business opportunities and long-term trends driving growth within our end markets and to respond quickly to changes in economic conditions in these markets.

Beginning in the first quarter of 2023, the chief operating decision maker began evaluating performance, forecasting and making resource allocation decisions based on our previously announced realignment of the Lithium and Bromine global business units. The new corporate structure was designed to better meet customer needs and foster talent required to deliver in a competitive global environment. The realignment resulted in the following three reportable segments: (1) Energy Storage; (2) Specialties; and (3) Ketjen.

Energy Storage: We expect Energy Storage results to increase year-over-year in 2023, mainly due to increased pricing as well as higher sales volume. The increased market pricing reflects tight market conditions, primarily in battery- and tech-grade carbonate and hydroxide, as well as renegotiations of certain of our long-term agreements. Some of our renegotiated contracts include higher prices on existing long-term agreements that are more reflective of current market conditions. In other cases, we have moved from previous fixed-price, long-term agreements towards index-referenced and variable-priced contracts. As a result, our Energy Storage business is more aligned with changes in market and index pricing than it has been in the past. Lithium pricing remains higher than the beginning of 2022, however, it has recently declined, which could impact results during the remainder of 2023. While we expect these prices to remain strong throughout the year, a material decline in these market prices would have a negative impact on our outlook. The increased sales volume is primarily expected from new capacity coming on line from La Negra, Chile, Kemerton, Western Australia, and Qinzhou, China, as well as additional tolling volume supported by increased spodumene production out of Australia. While we ramp up our new capacity, we will continue to utilize tolling arrangements to meet growing customer demand. EV sales are expected to continue to increase over the prior year as the lithium battery market remains strong.

In 2022, we announced agreements for a strategic investment in China with plans to build a battery grade lithium conversion plant in Meishan initially targeting 50,000 metric tons of LCE per year. Construction of the Meishan facility is currently underway and is expected to be completed in 2024. In addition, we announced agreements to restructure the MARBL joint venture in Australia and investment by MRL in certain of our conversion assets in China. The agreements will, among other things: (1) increase our interest in the first two conversion trains of the Kemerton processing plant from 60% to 85%; (2) increase MRL’s interest in the Wodgina Lithium Mine Project from 40% to 50%; (3) commit MRL to fund 50% of the capital costs for downstream conversion capacity we nominate to process Wodgina spodumene; and (4) provide MRL with a 50%

27

interest in our Qinzhou and Meishan plants in China. This agreement restructuring will be completed in phases and is subject to regulatory approval.

On a longer-term basis, we believe that demand for lithium will continue to grow as new lithium applications advance and the use of plug-in hybrid electric vehicles and full battery electric vehicles increases. This demand for lithium is supported by a favorable backdrop of steadily declining lithium-ion battery costs, increasing battery performance, continuing significant investments in the battery and EV supply chain by cathode and battery producers and automotive OEMs and favorable global public policy toward e-mobility/renewable energy usage. Our outlook is also bolstered by long-term supply agreements with key strategic customers, reflecting our standing as a preferred global lithium partner, highlighted by our scale, access to geographically diverse, low-cost resources and long-term track record of reliability of supply and operating execution.

Specialties: We expect both net sales and profitability to increase in 2023 due to volume growth in the second half of the year benefiting from diverse end markets. One anticipated contributor to growth is the December 2022 launch of MercLok, a groundbreaking new bromine-based product that sequesters elemental and ionic mercury in the environment. Volumes are expected to increase compared to 2022 due to the continued successful execution of growth projects, assuming continued availability of raw materials like chlorine. In addition, Specialties’ ongoing cost savings initiatives and higher pricing are expected to offset higher freight and raw material costs such as lithium chloride.

On a longer-term basis, we continue to believe that improving global standards of living, widespread digitization, increasing demand for data management capacity and the potential for increasingly stringent fire safety regulations in developing markets are likely to drive continued demand for fire safety products. We are focused on profitably growing our globally competitive bromine and derivatives production network to serve all major bromine consuming products and markets. The combination of our solid, long-term business fundamentals, strong cost position, product innovations and effective management of raw material costs should enable us to manage our business through end-market challenges and to capitalize on opportunities that are expected with favorable market trends in select end markets.

Ketjen: Total Ketjen results in 2023 are expected to increase year-over-year despite inflationary pressures in freight and input costs, including the volatility of natural gas pricing in Europe related to the war in Ukraine. These higher costs are expected to be offset by higher pricing in refining markets. Volume is expected to grow across each of the Ketjen businesses. The fluidized catalytic cracking (“FCC”) market has recovered from the COVID-19 pandemic as a result of increased travel and depletion of global gasoline inventories. Hydroprocessing catalysts (“HPC”) demand tends to be lumpier than FCC demand, but is expected to see a prolonged recovery due to refineries pushing out turnarounds. In addition, the Ketjen business is seeking contingent business interruption insurance settlements for lost income from 2019 to 2022 due to multiple incidents with one of its customers. If we prevail with these claims, we could receive these settlements in multiple distributions in 2023, totaling up to an additional $37 million. Our decision to retain this business as a separate, wholly-owned subsidiary is intended to better meet customer needs and foster talent required to deliver in a competitive global environment.

On a longer-term basis, we believe increased global demand for transportation fuels, new refinery start-ups and ongoing adoption of cleaner fuels will be the primary drivers of growth in our Ketjen business. We believe delivering superior end-use performance continues to be the most effective way to create sustainable value in the refinery catalysts industry. We also believe our technologies continue to provide significant performance and financial benefits to refiners challenged to meet tighter regulations around the world, including those managing new contaminants present in North America tight oil, and those in the Middle East and Asia seeking to use heavier feedstock while pushing for higher propylene yields. Longer-term, we believe that the global crude supply will get heavier and more sour, a trend that bodes well for our catalysts portfolio. With superior technology and production capacities, and expected growth in end market demand, we believe that Ketjen remains well-positioned for the future. In performance catalyst solutions (“PCS”), we expect growth on a longer-term basis in our organometallics business due to growing global demand for plastics driven by rising standards of living and infrastructure spending.

Corporate: In the first quarter of 2023, we increased our quarterly dividend rate to $0.40 per share. We continue to focus on cash generation, working capital management and process efficiencies. We expect our global effective tax rate will vary based on the locales in which income is actually earned and remains subject to potential volatility from changing legislation in the United States, such as the Inflation Reduction Act and the CHIPS and Science Act of 2022, and other tax jurisdictions.

We remain committed to evaluating the merits of any opportunities that may arise for acquisitions or other business development activities that will complement our business footprint. Additional information regarding our products, markets and financial performance is provided at our website, www.albemarle.com. Our website is not a part of this document nor is it incorporated herein by reference.

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Results of Operations

The following data and discussion provides an analysis of certain significant factors affecting our results of operations during the periods included in the accompanying consolidated statements of income.

First Quarter 2023 Compared to First Quarter 2022

Selected Financial Data (Unaudited)

Net Sales

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Net sales	$	2,580,252	$	1,127,728	$	1,452,524	129	%
•$1.5 billion increase attributable to increased pricing from each of our businesses •$10.9 million decrease attributable to lower sales volume in Specialties and Ketjen, partially offset by higher sales volume in Energy Storage •$43.4 million of unfavorable currency translation resulting from the stronger U.S. Dollar against various currencies

Gross Profit

In thousands	Q1 2023			Q1 2022			$ Change		% Change
Gross profit	$	1,276,540		$	449,030		$	827,510	184	%
Gross profit margin	49.5		%	39.8		%
▪Favorable pricing impacts in all businesses and higher sales volume in Energy Storage, partially offset by lower sales volume in Specialties and Ketjen ▪Increased utility, primarily natural gas in Europe, and material costs in each of our businesses ▪Increased commission expenses in Chile resulting from the higher pricing in Lithium ▪Unfavorable currency exchange impacts resulting from the stronger U.S. Dollar against various currencies

Selling, General and Administrative (“SG&A”) Expenses

In thousands	Q1 2023			Q1 2022			$ Change		% Change
Selling, general and administrative expenses	$	154,306		$	112,568		$	41,738	37	%
Percentage of Net sales	6.0		%	10.0		%
▪Higher compensation expenses across all businesses and Corporate ▪Partially offset by productivity improvements and a reduction in administrative costs ▪2022 included $4.3 million of gains from the sale of legacy properties not part of our operations

Research and Development Expenses

In thousands	Q1 2023			Q1 2022			$ Change		% Change
Research and development expenses	$	20,471		$	16,083		$	4,388	27	%
Percentage of Net sales	0.8		%	1.4		%

Loss on Sale of Interest in Properties

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Loss on sale of interest in properties	$	—	$	8,400	$	(8,400)
▪Expense related to cost overruns for MRL’s 40% interest in lithium hydroxide conversion assets being built in Kemerton, Western Australia

Interest and Financing Expenses

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Interest and financing expenses	$	(26,777)	$	(27,834)	$	1,057	(4)	%
▪Increased debt balance in 2023 compared to 2022 following the issuance of $1.7 billion in new senior notes in May 2022 ▪2022 included an expense of $17.5 million related to the correction of out-of-period errors regarding overstated capitalized interest values in prior periods

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Other Income, Net

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Other income, net	$	82,492	$	15,496	$	66,996	432	%
•2023 included a $45.8 million net gain related to the fair value adjustment of equity securities in public companies •$13.6 million increase attributable to foreign exchange impacts from gains recorded in 2023 •$15.1 million increase attributable to interest income from higher cash balances in 2023 •$5.9 million increase attributable to expense related to non-operating pension and OPEB items

Income Tax Expense

In thousands	Q1 2023			Q1 2022			$ Change		% Change
Income tax expense	$	276,963		$	80,530		$	196,433	244	%
Effective income tax rate	23.9		%	26.9		%
•2022 included a benefit from global intangible low-taxed income associated with a payment made in 2022 to settle a legacy legal matter •Change in geographic mix of earnings

Equity in Net Income of Unconsolidated Investments

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Equity in net income of unconsolidated investments	$	396,188	$	62,436	$	333,752	535	%
▪Increased earnings from strong pricing and volume increases from the Windfield Holdings Pty Ltd (“Talison”) joint venture ▪$14.9 million increase attributable to favorable foreign exchange impacts from the Talison joint venture

Net Income Attributable to Noncontrolling Interests

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Net income attributable to noncontrolling interests	$	(38,123)	$	(28,164)	$	(9,959)	35	%
▪Increase in consolidated income related to our Jordan Bromine Company Limited (“JBC”) joint venture primarily due to favorable pricing

Net Income Attributable to Albemarle Corporation

In thousands	Q1 2023			Q1 2022			$ Change		% Change
Net income attributable to Albemarle Corporation	$	1,238,580		$	253,383		$	985,197	389	%
Percentage of Net sales	48.0		%	22.5		%
Basic earnings per share	$	10.57		$	2.16		$	8.41	389	%
Diluted earnings per share	$	10.51		$	2.15		$	8.36	389	%
▪Favorable pricing impacts in all businesses and higher sales volume in Energy Storage, partially offset by lower sales volume in Specialties and Ketjen ▪Increased earnings from Talison joint venture ▪$45.8 million net gain related to the fair value adjustment of equity securities in public companies ▪Productivity improvements and a reduction in administrative costs ▪Increased commission expenses in Chile resulting from the higher pricing in Lithium ▪Increased utility, primarily natural gas in Europe, and material costs in each of our businesses ▪Increased SG&A expenses, primarily related to increased compensation expense

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Other Comprehensive (Loss) Income, Net of Tax

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Other comprehensive (loss) income, net of tax	$	47,317	$	(1,222)	$	48,539	(3,972)	%
▪Foreign currency translation and other	$	46,216	$	(5,889)	$	52,105	(885)	%
▪2023 included favorable movements in the Euro of approximately $28 million, the Chinese Renminbi of approximately $14 million, the Japanese Yen of approximately $2 million and a net favorable variance in various other currencies of $3 million ▪2022 included unfavorable movements in the Japanese Yen of approximately $7 million, the Taiwanese Dollar of approximately $5 million and a net unfavorable variance in various other currencies of $1 million, partially offset by favorable movements in the Brazilian Real of approximately $7 million
▪Cash flow hedge	$	1,101	$	4,017	$	(2,916)	(73)	%
▪Interest rate swap	$	—	$	650	$	(650)	(100)	%

Segment Information Overview. We have identified three reportable segments according to the nature and economic characteristics of our products as well as the manner in which the information is used internally by the Company’s chief operating decision maker to evaluate performance and make resource allocation decisions. Effective January 1, 2023 our reportable business segments consisted of: (1) Energy Storage, (2) Specialties and (3) Ketjen.

The Corporate category is not considered to be a segment and includes corporate-related items not allocated to the operating segments. Pension and OPEB service cost (which represents the benefits earned by active employees during the period) and amortization of prior service cost or benefit are allocated to the reportable segments, All Other, and Corporate, whereas the remaining components of pension and OPEB benefits cost or credit (“Non-operating pension and OPEB items”) are included in Corporate. Segment data includes intersegment transfers of raw materials at cost and allocations for certain corporate costs.

Our chief operating decision maker uses adjusted EBITDA (as defined below) to assess the ongoing performance of the Company’s business segments and to allocate resources. We define adjusted EBITDA as earnings before interest and financing expenses, income tax expense, depreciation and amortization, as adjusted on a consistent basis for certain non-operating, non-recurring or unusual items in a balanced manner and on a segment basis. These non-operating, non-recurring or unusual items may include acquisition and integration-related costs, gains or losses on sales of businesses, restructuring charges, facility divestiture charges, certain litigation and arbitration costs and charges, non-operating pension and OPEB items and other significant non-recurring items. In addition, management uses adjusted EBITDA for business planning purposes and as a significant component in the calculation of performance-based compensation for management and other employees. We reported adjusted EBITDA because management believes it provides transparency to investors and enables period-to-period comparability of financial performance. Total adjusted EBITDA is a financial measure that is not required by, or presented in accordance with, the generally accepted accounting principles in the United States (“U.S. GAAP”). Total adjusted EBITDA should not be considered as an alternative to Net (loss) income attributable to Albemarle Corporation, the most directly comparable financial measure calculated and reported in accordance with U.S. GAAP, or any other financial measure reported in accordance with U.S. GAAP.

	Three Months Ended March 31,								Percentage Change
	2023		%		2022		%		2023 vs 2022
	(In thousands, except percentages)
Net sales:
Energy Storage	$	1,943,682	75.3	%	$	463,704	41.1	%	319	%
Specialties	418,778		16.3	%	446,147		39.6	%	(6)	%
Ketjen	217,792		8.4	%	217,877		19.3	%	—	%
Total net sales	$	2,580,252	100.0	%	$	1,127,728	100.0	%	129	%
Adjusted EBITDA:
Energy Storage	$	1,406,181	88.1	%	$	285,247	66.1	%	393	%
Specialties	162,158		10.2	%	152,602		35.3	%	6	%
Ketjen	14,543		0.9	%	16,910		3.9	%	(14)	%
Total segment adjusted EBITDA	1,582,882		99.2	%	454,759		105.3	%	248	%
Corporate	12,837		0.8	%	(22,829)		(5.3)	%	156	%
Total adjusted EBITDA	$	1,595,719	100.0	%	$	431,930	100.0	%	269	%

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See below for a reconciliation of total segment adjusted EBITDA to consolidated Net income attributable to Albemarle Corporation, the most directly comparable financial measure calculated and reported in accordance with U.S. GAAP (in thousands):

	Three Months Ended March 31,
	2023		2022
Total segment adjusted EBITDA	$	1,582,882	$	454,759
Corporate expenses, net	12,837		(22,829)
Depreciation and amortization	(87,271)		(66,574)
Interest and financing expenses(a)	(26,777)		(27,834)
Income tax expense	(276,963)		(80,530)
Loss on sale of interest in properties, net(b)	—		(8,400)
Acquisition and integration related costs(c)	(5,108)		(1,724)
Non-operating pension and OPEB items	(601)		5,280
Mark-to-market gain on public equity securities(d)	45,826		—
Other(e)	(6,245)		1,235
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383

(a)Included in Interest and financing expenses for the three months ended March 31, 2022 is the correction of an out of period error of $17.5 million related to the overstatement of capitalized interest in prior periods.

(b)Expense recorded as a result of revised estimates of the obligation to construct certain lithium hydroxide conversion assets in Kemerton, Western Australia, due to cost overruns from supply chain, labor and COVID-19 pandemic related issues. The corresponding obligation was recorded in Accrued liabilities to be transferred to MRL, which maintains a 40% ownership interest in these Kemerton assets.

(c)Costs related to the acquisition, integration and potential divestitures for various significant projects, recorded in SG&A.

(d)Gain recorded in Other income, net for the three months ended March 31, 2023, resulting from the increase in fair value of investments in public equity securities.

(e)Included amounts for the three months ended March 31, 2023 recorded in:

•SG&A - $1.9 million of charges primarily for environmental reserves at sites not part of our operations and $0.7 million of facility closure expenses related to offices in Germany.

•Other income, net - $3.6 million of charges for asset retirement obligations at a site not part of our operations.

Included amounts for the three months ended March 31, 2022 recorded in:

•SG&A - $4.3 million of gains from the sale of legacy properties not part of our operations, partially offset by $2.8 million of charges for environmental reserves at sites not part of our operations and $0.7 million of facility closure expenses related to offices in Germany.

•Other income, net - $0.6 million gain related to a settlement received from a legal matter in a prior period.

Energy Storage

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Net sales	$	1,943,682	$	463,704	$	1,479,978	319	%
•$1.4 billion increase attributable to favorable pricing impacts, reflecting tight market conditions, primarily in battery- and tech-grade carbonate and hydroxide, as well as greater volumes sold under index-referenced and variable-priced contracts, and mix •$82.0 million increase attributable to higher sales volume, primarily driven by new capacity from La Negra III/IV in Chile and Quinzhou, China, as well as increased tolling •$31.0 million decrease attributable to unfavorable currency translation resulting from the stronger U.S. Dollar against various currencies
Adjusted EBITDA	$	1,406,181	$	285,247	$	1,120,934	393	%
•Favorable pricing impacts and higher sales volume •Increased equity in net income from the Talison joint venture, driven by increased pricing and sales volume •Savings from designed productivity improvements •Increased SG&A expenses from higher compensation and other administrative costs •Increased utility and freight costs •Increased spending for investments to support business growth •Increased commission expenses in Chile resulting from the higher pricing in Lithium •$21.0 million decrease attributable to unfavorable currency translation resulting from the stronger U.S. Dollar against various currencies

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Specialties

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Net sales	$	418,778	$	446,147	$	(27,369)	(6)	%
•$67.3 million decrease attributable to lower sales volumes related to decreased demand across all products •$50.4 million increase attributable to favorable pricing impacts primarily in our lithium specialties division •$10.5 million decrease attributable to unfavorable currency translation resulting from the stronger U.S. Dollar against various currencies
Adjusted EBITDA	$	162,158	$	152,602	$	9,556	6	%
•Favorable pricing impacts, partially offset by the impacts of lower sales volume •Lower freight costs •$5.6 million decrease attributable to unfavorable currency translation resulting from the stronger U.S. Dollar against various currencies

Ketjen

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Net sales	$	217,792	$	217,877	$	(85)	—	%
•$27.4 million increase attributable to favorable pricing impacts, primarily in clean fuel technologies and PCS •$25.6 million decrease attributable to lower sales volume, primarily from the timing of clean fuel technologies sales, including the timing of some shipments pushed into the second quarter •$1.9 million decrease attributable to unfavorable currency translation resulting from the stronger U.S. Dollar against various currencies
Adjusted EBITDA	$	14,543	$	16,910	$	(2,367)	(14)	%
•Increased utility costs, primarily natural gas in Europe •Increased raw material and freight costs •Lower sales volume, offset by favorable pricing impacts

Corporate

In thousands	Q1 2023		Q1 2022		$ Change		% Change
Adjusted EBITDA	$	12,837	$	(22,829)	$	35,666	156	%
▪$28.5 million increase attributable to favorable currency exchange impacts, including a $14.9 million increase in foreign exchange impacts from our Talison joint venture ▪Increase in interest income due to higher cash balances in 2023 ▪Decrease in incentive compensation costs

Financial Condition and Liquidity

Overview

The principal uses of cash in our business generally have been capital investments and resource development costs, funding working capital, and service of debt. We also make contributions to our defined benefit pension plans, pay dividends to our shareholders and have the ability to repurchase shares of our common stock. Historically, cash to fund the needs of our business has been principally provided by cash from operations, debt financing and equity issuances.

We are continually focused on working capital efficiency particularly in the areas of accounts receivable, payables and inventory. We anticipate that cash on hand, cash provided by operating activities, proceeds from divestitures and borrowings will be sufficient to pay our operating expenses, satisfy debt service obligations, fund capital expenditures and other investing activities, fund pension contributions and pay dividends for the foreseeable future.

Cash Flow

During the first three months of 2023, cash on hand and cash provided by operations funded $415.6 million of capital expenditures for plant, machinery and equipment and dividends to shareholders of $46.3 million. Our operations provided $721.0 million of cash flows during the first three months of 2023, as compared to $206.2 million for the first three months of 2022. The change compared to prior year was primarily due to increased earnings from the Energy Storage segment and higher dividends received from unconsolidated investments, partially offset by an increase in working capital of $544.7 million. The outflow from working capital in 2023 was primarily driven by increased inventory and accounts receivable balances from higher lithium pricing and increased sales. This was partially offset by increased accounts payable which includes the higher

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pricing on lithium spodumene purchases from our Talison joint venture. Overall, our cash and cash equivalents increased by $87.6 million to $1.6 billion at March 31, 2023 from $1.5 billion at December 31, 2022.

Capital expenditures for the three-month period ended March 31, 2023 of $415.6 million were primarily associated with plant, machinery and equipment. We expect our capital expenditures to be between $1.7 billion and $1.9 billion in 2023, primarily for Energy Storage growth and capacity increases, including in Australia, Chile, China and Silver Peak, Nevada, as well as productivity and continuity of operations projects in all segments. Train I of our Kemerton, Western Australia plant is complete and ramping through the commissioning stage. Train II has achieved mechanical completion and transitioned to the commissioning stage, with commercial sales volume from Train II expected to begin in 2023. In addition, construction of our announced lithium conversion plant in Meishan, China is progressing on schedule, with estimated completion in 2024.

On February 22, 2023, the Company announced that it has signed definitive agreements with MRL to restructure the MARBL joint venture and separately for MRL to invest in our conversion assets in China. In Australia, we will increase our interest in the first two conversion trains of the Kemerton processing plant from 60% to 85%. We will operate Kemerton trains 1 and 2 on behalf of the joint venture. MRL will increase its interest in the Wodgina Lithium Mine Project from 40% to 50%. MRL will operate the Wodgina mine on behalf of the joint venture. Consideration for our increased stake in Kemerton will be offset by consideration for MRL's increased stake in Wodgina.

In China, MRL will acquire a 50% interest in Albemarle's Qinzhou and Meishan plants. Qinzhou has a designed annual capacity of up to 25,000 metric tonnes of LCE. The plant will undergo modifications to be able to convert Wodgina spodumene and is expected to commence that conversion in early 2024. The Meishan plant, which is under construction with a designed annual capacity of 50,000 metric tonnes of LCE, is scheduled to be completed in 2024. We will continue to operate Meishan and Qinzhou. In addition, MRL committed to fund 50% of the capital costs for downstream conversion capacity. MRL is expected to pay approximately $350 million for its initial share of capital costs of this conversion capacity at closing. We expect to pay MRL a completion adjustment currently estimated to be $100 million to $150 million reflecting a retroactive effective date of April 1, 2022.

These transactions are expected to close in stages beginning in the second quarter of 2023 and are subject to regulatory approval and other customary closing conditions. At this time the Company expects to record a gain as a result of these transactions in the period it closes.

Net current assets were $3.2 billion and $2.4 billion at March 31, 2023 and December 31, 2022, respectively. The increase is primarily due to increased inventory and accounts receivable balances from higher lithium pricing. Additional changes in the components of net current assets are primarily due to the timing of the sale of goods and other ordinary transactions leading up to the balance sheet dates. The additional changes are not the result of any policy changes by the Company, and do not reflect any change in either the quality of our net current assets or our expectation of success in converting net working capital to cash in the ordinary course of business.

On February 23, 2023, we increased our quarterly dividend rate to $0.40 per share, an increase from the quarterly rate of $0.395 per share paid in 2022. The cash dividend declared on February 23, 2023 was paid on April 3, 2023 to shareholders of record at the close of business as of March 17, 2023.

At March 31, 2023 and December 31, 2022, our cash and cash equivalents included $1.2 billion and $1.3 billion, respectively, held by our foreign subsidiaries. The majority of these foreign cash balances are associated with earnings that we have asserted are indefinitely reinvested and which we plan to use to support our continued growth plans outside the U.S. through funding of capital expenditures, acquisitions, research, operating expenses or other similar cash needs of our foreign operations. From time to time, we repatriate cash associated with earnings from our foreign subsidiaries to the U.S. for normal operating needs through intercompany dividends, but only from subsidiaries whose earnings we have not asserted to be indefinitely reinvested or whose earnings qualify as “previously taxed income” as defined by the Internal Revenue Code. There were no repatriations of cash from foreign operations during the first three months of 2023 and 2022.

While we continue to closely monitor our cash generation, working capital management and capital spending in light of continuing uncertainties in the global economy, we believe that we will continue to have the financial flexibility and capability to opportunistically fund future growth initiatives. Additionally, we anticipate that future capital spending, including business acquisitions, share repurchases and other cash outlays, should be financed primarily with cash flow provided by operations and cash on hand, with additional cash needed, if any, provided by borrowings. The amount and timing of any additional borrowings will depend on our specific cash requirements.

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Long-Term Debt

We currently have the following notes outstanding:

Issue Month/Year	Principal (in millions)	Interest Rate	Interest Payment Dates	Maturity Date
November 2019	€371.7	1.125%	November 25	November 25, 2025
May 2022(a)	$650.0	4.65%	June 1 and December 1	June 1, 2027
November 2019	€500.0	1.625%	November 25	November 25, 2028
November 2019(a)	$171.6	3.45%	May 15 and November 15	November 15, 2029
May 2022(a)	$600.0	5.05%	June 1 and December 1	June 1, 2032
November 2014(a)	$350.0	5.45%	June 1 and December 1	December 1, 2044
May 2022(a)	$450.0	5.65%	June 1 and December 1	June 1, 2052

(a)    Denotes senior notes.

Our senior notes are senior unsecured obligations and rank equally with all our other senior unsecured indebtedness from time to time outstanding. The notes are effectively subordinated to all of our existing or future secured indebtedness and to the existing and future indebtedness of our subsidiaries. As is customary for such long-term debt instruments, each series of notes outstanding has terms that allow us to redeem the notes before maturity, in whole at any time or in part from time to time, at a redemption price equal to the greater of (i) 100% of the principal amount of these notes to be redeemed, or (ii) the sum of the present values of the remaining scheduled payments of principal and interest thereon (exclusive of interest accrued to the date of redemption) discounted to the redemption date on a semi-annual basis using the comparable government rate (as defined in the indentures governing these notes) plus between 25 and 40 basis points, depending on the series of notes, plus, in each case, accrued interest thereon to the date of redemption. Holders may require us to purchase such notes at 101% upon a change of control triggering event, as defined in the indentures. These notes are subject to typical events of default, including bankruptcy and insolvency events, nonpayment and the acceleration of certain subsidiary indebtedness of $40 million or more caused by a nonpayment default.

Our Euro notes issued in 2019 are unsecured and unsubordinated obligations and rank equally in right of payment to all our other unsecured senior obligations. The Euro notes are effectively subordinated to all of our existing or future secured indebtedness and to the existing and future indebtedness of our subsidiaries. As is customary for such long-term debt instruments, each series of notes outstanding has terms that allow us to redeem the notes before their maturity, in whole at any time or in part from time to time, at a redemption price equal to the greater of (i) 100% of the principal amount of the notes to be redeemed and (ii) the sum of the present values of the remaining scheduled payments of principal thereof and interest thereon (exclusive of interest accrued to, but excluding, the date of redemption) discounted to the redemption date on an annual basis using the bond rate (as defined in the indentures governing these notes) plus between 25 and 35 basis points, depending on the series of notes, plus, in each case, accrued and unpaid interest on the principal amount being redeemed to, but excluding, the date of redemption. Holders may require us to purchase such notes at 101% upon a change of control triggering event, as defined in the indentures. These notes are subject to typical events of default, including bankruptcy and insolvency events, nonpayment and the acceleration of certain subsidiary indebtedness exceeding $100 million caused by a nonpayment default.

On October 28, 2022, we amended our revolving, unsecured credit agreement (the “2018 Credit Agreement”), which provides for borrowings of up to $1.5 billion and matures on October 28, 2027. The 2018 Credit Agreement was originally dated as of June 21, 2018, and was previously amended on August 14, 2019, May 11, 2020 and December 10, 2021. Borrowings under the 2018 Credit Agreement bear interest at variable rates based on a benchmark rate depending on the currency in which the loans are denominated, plus an applicable margin which ranges from 0.910% to 1.375%, depending on the Company’s credit rating from Standard & Poor’s Ratings Services LLC (“S&P”), Moody’s Investors Services, Inc. (“Moody’s”) and Fitch Ratings, Inc. (“Fitch”). With respect to loans denominated in U.S. dollars, interest is calculated using the term Secured Overnight Financing Rate (“SOFR”) plus a term SOFR adjustment of 0.10%, plus the applicable margin. The applicable margin on the facility was 1.125% as of March 31, 2023. As of March 31, 2023 there were no borrowings outstanding under the 2018 Credit Agreement.

Borrowings under the 2018 Credit Agreement are conditioned upon satisfaction of certain conditions precedent, including the absence of defaults. The Company is subject to one financial covenant, as well as customary affirmative and negative covenants. The financial covenant requires that the Company’s consolidated net funded debt to consolidated EBITDA ratio (as such terms are defined in the 2018 Credit Agreement) be less than or equal to 3.50:1 for all fiscal quarters, subject to adjustments in accordance with the terms of the 2018 Credit Agreement relating to a consummation of an acquisition where the consideration includes cash proceeds from issuance of funded debt in excess of $500 million. The 2018 Credit Agreement also

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contains customary default provisions, including defaults for non-payment, breach of representations and warranties, insolvency, non-performance of covenants and cross-defaults to other material indebtedness. The occurrence of an event of default under the 2018 Credit Agreement could result in all loans and other obligations becoming immediately due and payable and the 2018 Credit Agreement being terminated.

On May 29, 2013, we entered into agreements to initiate a commercial paper program on a private placement basis under which we may issue unsecured commercial paper notes (the “Commercial Paper Notes”) from time-to-time up to a maximum aggregate principal amount outstanding at any time of $750.0 million. The proceeds from the issuance of the Commercial Paper Notes are expected to be used for general corporate purposes, including the repayment of other debt of the Company. The 2018 Credit Agreement is available to repay the Commercial Paper Notes, if necessary. Aggregate borrowings outstanding under the 2018 Credit Agreement and the Commercial Paper Notes will not exceed the $1.5 billion current maximum amount available under the 2018 Credit Agreement. The Commercial Paper Notes will be sold at a discount from par, or alternatively, will be sold at par and bear interest at rates that will vary based upon market conditions at the time of issuance. The maturities of the Commercial Paper Notes will vary but may not exceed 397 days from the date of issue. The definitive documents relating to the commercial paper program contain customary representations, warranties, default and indemnification provisions. There were no Commercial Paper Notes outstanding at March 31, 2023.

When constructing new facilities or making major enhancements to existing facilities, we may have the opportunity to enter into incentive agreements with local government agencies in order to reduce certain state and local tax expenditures. Under these agreements, we transfer the related assets to various local government entities and receive bonds. We immediately lease the facilities from the local government entities and have an option to repurchase the facilities for a nominal amount upon tendering the bonds to the local government entities at various predetermined dates. The bonds and the associated obligations for the leases of the facilities offset, and the underlying assets are recorded in property, plant and equipment. We currently have the ability to transfer up to $540 million in assets under these arrangements, however, at March 31, 2023, there are no amounts outstanding under these arrangements.

The non-current portion of our long-term debt amounted to $3.2 billion at March 31, 2023, compared to $3.2 billion at December 31, 2022. In addition, at March 31, 2023, we had availability to borrow $1.5 billion under our commercial paper program and the 2018 Credit Agreement, and $180.5 million under other existing lines of credit, subject to the financial covenant under the 2018 Credit Agreement. We have the ability and intent to refinance our borrowings under our other existing lines of credit with borrowings under the 2018 Credit Agreement, as applicable. Therefore, the amounts outstanding under those lines of credit, if any, are classified as long-term debt. We believe that at March 31, 2023 we were, and that we currently are, in compliance with all of our long-term debt covenants.

Off-Balance Sheet Arrangements

In the ordinary course of business with customers, vendors and others, we have entered into off-balance sheet arrangements, including bank guarantees and letters of credit, which totaled approximately $146.2 million at March 31, 2023. None of these off-balance sheet arrangements has had, or is likely to have, a material effect on our current or future financial condition, results of operations, liquidity or capital resources.

Other Obligations

Our contractual obligations have not significantly changed, based on our ordinary business activities and projected capital expenditures noted above, from the information we provided in our Annual Report on Form 10-K for the year ended December 31, 2022.

Total expected 2023 contributions to our domestic and foreign qualified and nonqualified pension plans, including the Albemarle Corporation Supplemental Executive Retirement Plan, are expected to approximate $15 million. We may choose to make additional pension contributions in excess of this amount. We have made contributions of $2.7 million to our domestic and foreign pension plans (both qualified and nonqualified) during the three-month period ended March 31, 2023.

The liability related to uncertain tax positions, including interest and penalties, recorded in Other noncurrent liabilities totaled $126.4 million at March 31, 2023 and $83.7 million at December 31, 2022. Related assets for corresponding offsetting benefits recorded in Other assets totaled $32.6 million at March 31, 2023 and $32.4 million at December 31, 2022. We cannot estimate the amounts of any cash payments associated with these liabilities for the remainder of 2023 or the next twelve months, and we are unable to estimate the timing of any such cash payments in the future at this time.

We are subject to federal, state, local and foreign requirements regulating the handling, manufacture and use of materials (some of which may be classified as hazardous or toxic by one or more regulatory agencies), the discharge of materials into the environment and the protection of the environment. To our knowledge, we are currently complying, and expect to continue to comply, in all material respects with applicable environmental laws, regulations, statutes and ordinances. Compliance with

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existing federal, state, local and foreign environmental protection laws is not expected to have a material effect on capital expenditures, earnings or our competitive position, but the costs associated with increased legal or regulatory requirements could have an adverse effect on our operating results.

Among other environmental requirements, we are subject to the federal Superfund law, and similar state laws, under which we may be designated as a potentially responsible party (“PRP”), and may be liable for a share of the costs associated with cleaning up various hazardous waste sites. Management believes that in cases in which we may have liability as a PRP, our liability for our share of cleanup is de minimis. Further, almost all such sites represent environmental issues that are quite mature and have been investigated, studied and in many cases settled. In de minimis situations, our policy generally is to negotiate a consent decree and to pay any apportioned settlement, enabling us to be effectively relieved of any further liability as a PRP, except for remote contingencies. In other than de minimis PRP matters, our records indicate that unresolved PRP exposures should be immaterial. We accrue and expense our proportionate share of PRP costs. Because management has been actively involved in evaluating environmental matters, we are able to conclude that the outstanding environmental liabilities for unresolved PRP sites should not have a material adverse effect upon our results of operations or financial condition.

Liquidity Outlook

We anticipate that cash on hand and cash provided by operating activities, divestitures and borrowings will be sufficient to pay our operating expenses, satisfy debt service obligations, fund any capital expenditures and share repurchases, make acquisitions, make pension contributions and pay dividends for the foreseeable future. Our main focus in the short-term, during the continued uncertainty surrounding the global economy, including caused by the ongoing COVID-19 pandemic and recent inflationary trends, is to continue to maintain financial flexibility by continuing our cost savings initiative, while still protecting our employees and customers, committing to shareholder returns and maintaining an investment grade rating. Over the next three years, in terms of uses of cash, we will continue to invest in growth of the businesses and return value to shareholders. Additionally, we will continue to evaluate the merits of any opportunities that may arise for acquisitions of businesses or assets, which may require additional liquidity. For example, we recently announced we submitted a non-binding proposal to acquire all outstanding shares of Liontown Resources, owner of a lithium resource in Western Australia, in cash. Financing the purchase price of such transaction or any other acquisitions could involve borrowing under existing or new credit facilities and/or the issuance of debt or equity securities, in addition to cash on hand.

Our growth investments include the recently completed acquisition all of the outstanding equity of Qinzhou for approximately $200 million in cash. Qinzhou's operations include a recently constructed lithium processing plant that has designed annual conversion capacity of up to 25,000 metric tons of LCE and is capable of producing battery-grade lithium carbonate and lithium hydroxide. In addition, we announced agreements for a strategic investment in China with plans to build a battery grade lithium conversion plant in Meishan initially targeting 50,000 metric tonnes of LCE per year. Construction of the Meishan facility is currently underway and is expected to be completed in 2024. We also announced the decision to build two additional processing trains at the Kemerton lithium hydroxide plant in Western Australia. The additional trains would increase the facility’s production by 50,000 metric tonnes per year.

In October 2022, we announced we had been awarded a nearly $150 million grant from the U.S. Department of Energy to expand domestic manufacturing of batteries for EVs and the electrical grid and for materials and components currently imported from other countries. The grant funding is intended to support a portion of the anticipated cost to construct a new, commercial-scale U.S.-based lithium concentrator facility at our Kings Mountain, North Carolina, location. We expect the concentrator facility to create hundreds of construction and full-time jobs, and to supply up to 350,000 metric tonnes per year of spodumene concentrate to our previously announced mega-flex lithium conversion facility.

In addition, we recently announced plans to construct a new $1.3 billion lithium mega-flex processing facility in South Carolina capable of annually producing approximately 50,000 metric tonnes of battery-grade lithium hydroxide, with the potential to expand up to 100,000 metric tonnes. Construction is expected to begin in late 2024. In December 2022, we also acquired a location in Charlotte, North Carolina, where we intend to invest at least $180 million to establish the Albemarle Technology Park, a world-class facility designed for novel materials research, advanced process development, and acceleration of next-generation lithium products to market. We anticipate that innovations from the new site will enhance lithium recovery, improve production methods, and introduce new forms of lithium to enable breakthrough levels of battery performance. In addition, we anticipate the creation of at least 200 jobs at the site.

Our cash flows from operations may be negatively affected by adverse consequences to our customers and the markets in which we compete as a result of moderating global economic conditions, continuing inflationary trends and reduced capital availability. We have experienced, and may continue to experience, volatility and increases in the price of certain raw materials and in transportation and energy costs as a result of global market and supply chain disruptions and the broader inflationary environment. In addition, the COVID-19 pandemic has not had a material impact on our liquidity to date; however, we cannot predict the overall impact in terms of cash flow generation as that will depend on the length and severity of the outbreak and

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any future pandemics and its and their impact. As a result, we are planning for various economic scenarios and actively monitoring our balance sheet to maintain the financial flexibility needed.

Although we maintain business relationships with a diverse group of financial institutions as sources of financing, an adverse change in their credit standing could lead them to not honor their contractual credit commitments to us, decline funding under our existing but uncommitted lines of credit with them, not renew their extensions of credit or not provide new financing to us. While the global corporate bond and bank loan markets remain strong, periods of elevated uncertainty related to the stability of the banking system, the COVID-19 pandemic or future pandemic or global economic and/or geopolitical concerns may limit efficient access to such markets for extended periods of time. If such concerns heighten, we may incur increased borrowing costs and reduced credit capacity as our various credit facilities mature. If the U.S. Federal Reserve or similar national reserve banks in other countries decide to continue tightening the monetary supply, we may incur increased borrowing costs (as interest rates increase on our variable rate credit facilities, as our various credit facilities mature or as we refinance any maturing fixed rate debt obligations), although these cost increases would be partially offset by increased income rates on portions of our cash deposits.

As first reported in 2018, following receipt of information regarding potential improper payments being made by third-party sales representatives of our Refining Solutions business, within our Ketjen segment, we promptly retained outside counsel and forensic accountants to investigate potential violations of the Company’s Code of Conduct, the Foreign Corrupt Practices Act, and other potentially applicable laws. Based on this internal investigation, we have voluntarily self-reported potential issues relating to the use of third-party sales representatives in our Refining Solutions business, within our Ketjen segment, to the U.S. Department of Justice (“DOJ”), the SEC, and the Dutch Public Prosecutor (“DPP”), and are cooperating with the DOJ, the SEC, and the DPP in their review of these matters. In connection with our internal investigation, we have implemented, and are continuing to implement, appropriate remedial measures. We have commenced discussions with the SEC, DOJ and DPP about a potential resolution of these matters.

At this time, we are unable to predict the duration, scope, result, or related costs associated with the investigations. We also are unable to predict what action may be taken by the DOJ, the SEC, or the DPP, or what penalties or remedial actions they may ultimately seek. Any determination that our operations or activities are not, or were not, in compliance with existing laws or regulations could result in the imposition of fines, penalties, disgorgement, equitable relief, or other losses. We do not believe, however, that any such fines, penalties, disgorgement, equitable relief, or other losses would have a material adverse effect on our financial condition or liquidity. However, an adverse resolution could have a material adverse effect on our results of operations in a particular period.

Overall, with generally strong cash-generative businesses and no significant long-term debt maturities before 2025, we believe we have, and will be able to maintain, a solid liquidity position.

We had cash and cash equivalents totaling $1.6 billion at March 31, 2023, of which $1.2 billion is held by our foreign subsidiaries. This cash represents an important source of our liquidity and is invested in bank accounts or money market investments with no limitations on access. The cash held by our foreign subsidiaries is intended for use outside of the U.S. We anticipate that any needs for liquidity within the U.S. in excess of our cash held in the U.S. can be readily satisfied with borrowings under our existing U.S. credit facilities or our commercial paper program.

Guarantor Financial Information

Albemarle Wodgina Pty Ltd Issued Notes

Albemarle Wodgina Pty Ltd (the “Issuer”), a wholly-owned subsidiary of Albemarle Corporation, issued $300.0 million aggregate principal amount of 3.45% Senior Notes due 2029 (the “3.45% Senior Notes”) in November 2019. The 3.45% Senior Notes are fully and unconditionally guaranteed (the “Guarantee”) on a senior unsecured basis by Albemarle Corporation (the “Parent Guarantor”). No direct or indirect subsidiaries of the Parent Guarantor guarantee the 3.45% Senior Notes (such subsidiaries are referred to as the “Non-Guarantors”).

In 2019, we completed the acquisition of a 60% interest in MRL’s Wodgina hard rock lithium mine project (“Wodgina Project”) in Western Australia and formed an unincorporated joint venture with MRL, named MARBL Lithium Joint Venture, for the exploration, development, mining, processing and production of lithium and other minerals (other than iron ore and tantalum) from the Wodgina spodumene mine and for the operation of the Kemerton assets in Western Australia. We participate in the Wodgina Project through our ownership interest in the Issuer.

The Parent Guarantor conducts its U.S. Specialties and Ketjen operations directly, and conducts its other operations (other than operations conducted through the Issuer) through the Non-Guarantors.

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The 3.45% Senior Notes are the Issuer’s senior unsecured obligations and rank equally in right of payment to the senior indebtedness of the Issuer, effectively subordinated to all of the secured indebtedness of the Issuer, to the extent of the value of the assets securing that indebtedness, and structurally subordinated to all indebtedness and other liabilities of its subsidiaries. The Guarantee is the senior unsecured obligation of the Parent Guarantor and ranks equally in right of payment to the senior indebtedness of the Parent Guarantor, effectively subordinated to the secured debt of the Parent Guarantor to the extent of the value of the assets securing the indebtedness and structurally subordinated to all indebtedness and other liabilities of its subsidiaries.

For cash management purposes, the Parent Guarantor transfers cash among itself, the Issuer and the Non-Guarantors through intercompany financing arrangements, contributions or declaration of dividends between the respective parent and its subsidiaries. The transfer of cash under these activities facilitates the ability of the recipient to make specified third-party payments for principal and interest on the Issuer and/or the Parent Guarantor’s outstanding debt, common stock dividends and common stock repurchases. There are no significant restrictions on the ability of the Issuer or the Parent Guarantor to obtain funds from subsidiaries by dividend or loan.

The following tables present summarized financial information for the Parent Guarantor and the Issuer on a combined basis after elimination of (i) intercompany transactions and balances among the Issuer and the Parent Guarantor and (ii) equity in earnings from and investments in any subsidiary that is a Non-Guarantor. Each entity in the combined financial information follows the same accounting policies as described herein and in our Annual Report on Form 10-K for the year ended December 31, 2022.

Summarized Statement of Operations

$ in thousands	Three Months Ended March 31, 2023		Year Ended December 31, 2022
Net sales(a)	$	654,464	$	2,981,170
Gross profit	281,894		636,894
Loss before income taxes and equity in net income of unconsolidated investments(b)	143,102		52,048
Net loss attributable to the Parent Guarantor and the Issuer	30,897		119,551

(a)    Includes net sales to Non-Guarantors of $435.1 million and $2.2 billion for the three months ended March 31, 2023 and year ended December 31, 2022, respectively.

(b)    Includes intergroup expenses to Non-Guarantors of $36.8 million and $134.2 million for the three months ended March 31, 2023 and year ended December 31, 2022, respectively.

Summarized Balance Sheet

$ in thousands	March 31, 2023		December 31, 2022
Current assets(a)	$	1,315,973	$	1,274,018
Net property, plant and equipment	3,454,798		3,379,369
Other noncurrent assets(b)	568,610		687,603
Current liabilities(c)	$	2,199,975	$	2,103,749
Long-term debt	2,261,013		2,260,397
Other noncurrent liabilities(d)	7,091,634		7,173,636

(a)    Includes receivables from Non-Guarantors of $484.1 million and $605.3 million at March 31, 2023 and December 31, 2022, respectively.

(b)    Includes noncurrent receivables from Non-Guarantors of $9.1 million and $109.3 million at March 31, 2023 and December 31, 2022, respectively.

(c)    Includes current payables to Non-Guarantors of $1.5 billion and $1.6 billion at March 31, 2023 and December 31, 2022, respectively.

(d)    Includes noncurrent payables to Non-Guarantors of $6.6 billion and $6.6 billion at March 31, 2023 and December 31, 2022, respectively.    

The 3.45% Senior Notes are structurally subordinated to the indebtedness and other liabilities of the Non-Guarantors. The Non-Guarantors are separate and distinct legal entities and have no obligation, contingent or otherwise, to pay any amounts due pursuant to the 3.45% Senior Notes or the Indenture under which the 3.45% Senior Notes were issued, or to make any funds available therefor, whether by dividends, loans, distributions or other payments. Any right that the Parent Guarantor has to receive any assets of any of the Non-Guarantors upon the liquidation or reorganization of any Non-Guarantor, and the

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consequent rights of holders of the 3.45% Senior Notes to realize proceeds from the sale of any of a Non-Guarantor’s assets, would be effectively subordinated to the claims of such Non-Guarantor’s creditors, including trade creditors and holders of preferred equity interests, if any, of such Non-Guarantor. Accordingly, in the event of a bankruptcy, liquidation or reorganization of any of the Non-Guarantors, the Non-Guarantors will pay the holders of their debts, holders of preferred equity interests, if any, and their trade creditors before they will be able to distribute any of their assets to the Parent Guarantor.

The 3.45% Senior Notes are obligations of the Issuer. The Issuer’s cash flow and ability to make payments on the 3.45% Senior Notes could be dependent upon the earnings it derives from the production from MARBL for the Wodgina Project. Absent income received from sales of its share of production from MARBL, the Issuer’s ability to service the 3.45% Senior Notes could be dependent upon the earnings of the Parent Guarantor’s subsidiaries and other joint ventures and the payment of those earnings to the Issuer in the form of equity, loans or advances and through repayment of loans or advances from the Issuer.

The Issuer’s obligations in respect of MARBL are guaranteed by the Parent Guarantor. Further, under MARBL pursuant to a deed of cross security between the Issuer, the joint venture partner and the manager of the project (the “Manager”), each of the Issuer, and the joint venture partner have granted security to each other and the Manager for the obligations each of the Issuer and the joint venture partner have to each other and to the Manager. The claims of the joint venture partner, the Manager and other secured creditors of the Issuer will have priority as to the assets of the Issuer over the claims of holders of the 3.45% Senior Notes.

Albemarle Corporation Issued Notes

In March 2021, Albemarle New Holding GmbH (the “Subsidiary Guarantor”), a wholly-owned subsidiary of Albemarle Corporation, added a full and unconditional guarantee (the “Upstream Guarantee”) to all securities of Albemarle Corporation (the “Parent Issuer”) issued and outstanding as of such date and, subject to the terms of the applicable amendment or supplement, securities issuable by the Parent Issuer pursuant to the Indenture, dated as of January 20, 2005, as amended and supplemented from time to time (the “Indenture”). No other direct or indirect subsidiaries of the Parent Issuer guarantee these securities (such subsidiaries are referred to as the “Upstream Non-Guarantors”). See Long-term debt section above for a description of the securities issued by the Parent Issuer.

The current securities outstanding under the Indenture are the Parent Issuer’s unsecured and unsubordinated obligations and rank equally in right of payment with all other unsecured and unsubordinated indebtedness of the Parent Issuer. All securities currently outstanding under the Indenture are effectively subordinated to the Parent Issuer’s existing and future secured indebtedness to the extent of the value of the assets securing that indebtedness. With respect to any series of securities issued under the Indenture that is subject to the Upstream Guarantee (which series of securities does not include the 2022 Notes), the Upstream Guarantee is, and will be, an unsecured and unsubordinated obligation of the Subsidiary Guarantor, ranking pari passu with all other existing and future unsubordinated and unsecured indebtedness of the Subsidiary Guarantor. All securities currently outstanding under the Indenture (other than the 2022 Notes) are effectively subordinated to all existing and future indebtedness and other liabilities of the Parent’s Subsidiaries other than the Subsidiary Guarantor. The 2022 Notes are effectively subordinated to all existing and future indebtedness and other liabilities of the Parent’s Subsidiaries, including the Subsidiary Guarantor.

For cash management purposes, the Parent Issuer transfers cash among itself, the Subsidiary Guarantor and the Upstream Non-Guarantors through intercompany financing arrangements, contributions or declaration of dividends between the respective parent and its subsidiaries. The transfer of cash under these activities facilitates the ability of the recipient to make specified third-party payments for principal and interest on the Parent Issuer and/or the Subsidiary Guarantor’s outstanding debt, common stock dividends and common stock repurchases. There are no significant restrictions on the ability of the Parent Issuer or the Subsidiary Guarantor to obtain funds from subsidiaries by dividend or loan.

The following tables present summarized financial information for the Subsidiary Guarantor and the Parent Issuer on a combined basis after elimination of (i) intercompany transactions and balances among the Parent Issuer and the Subsidiary Guarantor and (ii) equity in earnings from and investments in any subsidiary that is an Upstream Non-Guarantor. Each entity in the combined financial information follows the same accounting policies as described herein and in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022.

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Summarized Statement of Operations

$ in thousands	Three Months Ended March 31, 2023		Year Ended December 31, 2022
Net sales(a)	$	326,014	$	2,557,914
Gross profit	40,056		353,515
Loss before income taxes and equity in net income of unconsolidated investments(b)	(110,162)		(121,421)
Loss attributable to the Subsidiary Guarantor and the Parent Issuer	(222,367)		(77,487)

(a)    Includes net sales to Non-Guarantors of $116.6 million and $1.8 billion for the three months ended March 31, 2023 and year ended December 31, 2022, respectively.

(b)    Includes intergroup expenses to Non-Guarantors of $34.7 million and $25.4 million for the three months ended March 31, 2023 and year ended December 31, 2022, respectively.

Summarized Balance Sheet

$ in thousands	March 31, 2023		December 31, 2022
Current assets(a)	$	1,091,950	$	1,261,682
Net property, plant and equipment	935,607		893,715
Other non-current assets(b)	1,661,640		1,783,357
Current liabilities(c)	$	2,041,136	$	1,981,456
Long-term debt	2,974,620		2,955,934
Other noncurrent liabilities(d)	6,357,756		6,393,534

(a)    Includes receivables from Non-Guarantors of $352.8 million and $644.0 million at March 31, 2023 and December 31, 2022, respectively.

(b)    Includes noncurrent receivables from Non-Guarantors of $1.1 billion and $1.2 billion at March 31, 2023 and December 31, 2022, respectively.

(c)    Includes current payables to Non-Guarantors of $1.5 billion and $1.6 billion at March 31, 2023 and December 31, 2022, respectively.

(d)    Includes noncurrent payables to Non-Guarantors of $5.8 billion and $5.8 billion at March 31, 2023 and December 31, 2022, respectively.

These securities are structurally subordinated to the indebtedness and other liabilities of the Upstream Non-Guarantors. The Upstream Non-Guarantors are separate and distinct legal entities and have no obligation, contingent or otherwise, to pay any amounts due pursuant to these securities or the Indenture under which these securities were issued, or to make any funds available therefor, whether by dividends, loans, distributions or other payments. Any right that the Subsidiary Guarantor has to receive any assets of any of the Upstream Non-Guarantors upon the liquidation or reorganization of any Upstream Non-Guarantors, and the consequent rights of holders of these securities to realize proceeds from the sale of any of an Upstream Non-Guarantor’s assets, would be effectively subordinated to the claims of such Upstream Non-Guarantor’s creditors, including trade creditors and holders of preferred equity interests, if any, of such Upstream Non-Guarantor. Accordingly, in the event of a bankruptcy, liquidation or reorganization of any of the Upstream Non-Guarantors, the Upstream Non-Guarantors will pay the holders of their debts, holders of preferred equity interests, if any, and their trade creditors before they will be able to distribute any of their assets to the Subsidiary Guarantor.

Summary of Critical Accounting Policies and Estimates

There have been no significant changes in our critical accounting policies and estimates from the information we provided in our Annual Report on Form 10-K for the year ended December 31, 2022.

Recent Accounting Pronouncements

For a description of recent accounting pronouncements, see Item 1 Financial Statements – Note 18, “Recently Issued Accounting Pronouncements” to the Notes to the Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q.

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Item 3. Quantitative and Qualitative Disclosures About Market Risk.

There have been no significant changes in our interest rate risk, foreign currency exchange rate exposure, marketable securities price risk or raw material price risk from the information we provided in our Annual Report on Form 10-K for the year ended December 31, 2022, except as noted below.

We had variable interest rate borrowings of $3.1 million outstanding at March 31, 2023, bearing a weighted average interest rate of 0.39% and representing less than 1% of our total outstanding debt. A hypothetical 100 basis point increase in the interest rate applicable to these borrowings would change our annualized interest expense by less than $0.1 million as of March 31, 2023. We may enter into interest rate swaps, collars or similar instruments with the objective of reducing interest rate volatility relating to our borrowing costs.

Our financial instruments, which are subject to foreign currency exchange risk, consist of foreign currency forward contracts with an aggregate notional value of $5.2 billion and with a fair value representing a net asset position of $1.2 million at March 31, 2023. Fluctuations in the value of these contracts are generally offset by the value of the underlying exposures being hedged. We conducted a sensitivity analysis on the fair value of our foreign currency hedge portfolio assuming an instantaneous 10% change in select foreign currency exchange rates from their levels as of March 31, 2023, with all other variables held constant. A 10% appreciation of the U.S. Dollar against foreign currencies that we hedge would result in an increase of approximately $84.1 million in the fair value of our foreign currency forward contracts. A 10% depreciation of the U.S. Dollar against these foreign currencies would result in a decrease of approximately $135.3 million in the fair value of our foreign currency forward contracts. The sensitivity of the fair value of our foreign currency hedge portfolio represents changes in fair values estimated based on market conditions as of March 31, 2023, without reflecting the effects of underlying anticipated transactions. When those anticipated transactions are realized, actual effects of changing foreign currency exchange rates could have a material impact on our earnings and cash flows in future periods.

Item 4. Controls and Procedures.

Under the supervision and with the participation of our management, including our principal executive officer and principal financial officer, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended, or the Exchange Act), as of the end of the period covered by this report. Based on this evaluation, our principal executive officer and principal financial officer concluded that, as of the end of the period covered by this report, our disclosure controls and procedures are effective to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act, is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure.

No change in our internal control over financial reporting (as such term is defined in Exchange Act Rule 13a-15(f)) occurred during the first quarter ended March 31, 2023 that materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

PART II. OTHER INFORMATION

Item 1. Legal Proceedings.

We are involved from time to time in legal proceedings of types regarded as common in our business, including administrative or judicial proceedings seeking remediation under environmental laws, such as Superfund, products liability, breach of contract liability and premises liability litigation. Where appropriate, we may establish financial reserves for such proceedings. We also maintain insurance to mitigate certain of such risks. Additional information with respect to this Item 1 is contained in Note 9 to the Notes to the Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q.

Item 1A. Risk Factors.

While we attempt to identify, manage and mitigate risks and uncertainties associated with our business to the extent practical under the circumstances, some level of risk and uncertainty will always be present. The risk factors set forth in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2022 describe some of the risks and uncertainties associated with our business. These risks and uncertainties have the potential to materially affect our results of

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operations and our financial condition. We do not believe that there have been any material changes to the risk factors previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2022.

Item 6. Exhibits.

(a) Exhibits

#10.1	Form of Stock Option Award Agreement [filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K (No. 1-12658) filed on February 24, 2023, and incorporated herein by reference].
#10.2	Form of rTSR Performance Unit Award Agreement [filed as Exhibit 10.2 to the Company’s Current Report on Form 8-K (No. 1-12658) filed on February 24, 2023, and incorporated herein by reference].
#10.3	Form of ROIC Performance Unit Award Agreement [filed as Exhibit 10.3 to the Company’s Current Report on Form 8-K (No. 1-12658) filed on February 24, 2023, and incorporated herein by reference].
#10.4	Form of Restricted Stock Unit Award Agreement [filed as Exhibit 10.4 to the Company’s Current Report on Form 8-K (No. 1-12658) filed on February 24, 2023, and incorporated herein by reference].
#10.5	Form of Special Restricted Stock Unit Award Agreement [filed as Exhibit 10.5 to the Company’s Current Report on Form 8-K (No. 1-12658) filed on February 24, 2023, and incorporated herein by reference].
*#10.6	Amended and Restated Executive Employment Agreement, dated March 15, 2023, between the Company and J. Kent Masters
*#10.7	Amended and Restated Severance Compensation Agreement, dated March 15, 2023, between the Company and J. Kent Masters
*31.1	Certification of Chief Executive Officer pursuant to Rule 13a-14(a).
*31.2	Certification of Chief Financial Officer pursuant to Rule 13a-14(a).
*32.1	Certification of Chief Executive Officer pursuant to Rule 13a-14(b) and 18 U.S.C. Section 1350.
*32.2	Certification of Chief Financial Officer pursuant to Rule 13a-14(b) and 18 U.S.C. Section 1350.
101	Interactive Data File (Quarterly Report on Form 10-Q, for the quarterly period ended March 31, 2023, furnished in XBRL (eXtensible Business Reporting Language)).

#	Management contract or compensatory plan or arrangement.
*	Included with this filing.

Attached as Exhibit 101 to this report are the following documents formatted in XBRL: (i) the Consolidated Statements of Income for the three months ended March 31, 2023 and 2022, (ii) the Consolidated Statements of Comprehensive Income for the three months ended March 31, 2023 and 2022, (iii) the Consolidated Balance Sheets at March 31, 2023 and December 31, 2022, (iv) the Consolidated Statements of Changes in Equity for the three months ended March 31, 2023 and 2022, (v) the Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2023 and 2022 and (vi) the Notes to the Condensed Consolidated Financial Statements.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		ALBEMARLE CORPORATION
		(Registrant)
Date:	May 3, 2023	By:	/S/    SCOTT A. TOZIER
			Scott A. Tozier
			Executive Vice President and Chief Financial Officer
			(principal financial officer)

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EX-10.6

Exhibit 10.6

AMENDED AND RESTATED EXECUTIVE EMPLOYMENT AGREEMENT

THIS AMENDED AND RESTATED EXECUTIVE EMPLOYMENT AGREEMENT (the “Agreement”) is made on March 15, 2023 by and between Albemarle Corporation, a Virginia corporation, and J. Kent Masters, Jr. (the “Executive”). References herein to the “Company” shall mean Albemarle Corporation and, where appropriate, each and any of its divisions, affiliates or subsidiaries.

WHEREAS the Company and the Executive previously entered into an Executive Employment Agreement, dated as of April 20, 2020 (the “Prior Agreement”);

WHEREAS the Company and the Executive desire to amend and restate the Prior Agreement, effective as of the Effective Date, in order to extend the term of the Prior Agreement and implement certain other changes to the Prior Agreement, as set forth herein; and

WHEREAS, as of the date hereof, the Executive is the Company’s President and Chief Executive Officer and serves as the Chairman of the Board of Directors of the Company.

NOW, THEREFORE, in consideration for the promises of the parties set forth below and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the Company and the Executive hereby agree as follows:

1.Term. Subject to the provisions of Section 6 of this Agreement, the term of employment of the Executive by the Company under this Agreement shall be as follows:

(a)Initial Term. The initial term of employment of the Executive by the Company under this Agreement shall begin on April 1, 2023 (the “Effective Date”) and end on December 31, 2025 (the “Initial Term”), unless extended or terminated earlier in accordance with this Agreement. The Initial Term and any Extension (as defined below) shall be the “Term of Employment.”

(b)Extension Notice.No fewer than ninety (90) days prior to the expiration of the Term of Employment, the Executive shall advise the Board of Directors of the Company (the “Board”) whether the Executive desires to extend the Term of Employment. If the Executive does not timely notify the Board of his desire to extend the Term of Employment, then such action shall be deemed to result in the Executive’s Termination without Cause upon Expiration of the Term of Employment under Section 6(g) of this Agreement as of the last day of the Term of Employment.

(c)Extension of Employment.Provided that, in accordance with Section 1(b) above, the Executive has timely notified the Board of the Executive’s desire to extend the Term of Employment by one (1) year, the Board will consider in its sole and absolute discretion whether to offer the Executive such extension. If the Board decides in its sole and absolute discretion to offer the Executive an extension of his employment, the Board will so notify the Executive in writing (an “Extension Notice”) no fewer than sixty (60) days prior to the expiration of the Term of Employment. If the Board timely provides an Extension Notice and the Executive and the Company agree to enter into such extension, the Term of Employment will be extended by one (1) year (such period of time, the “Extension”). If for any reason the Board does not timely provide to the Executive an Extension Notice, or if the Executive does not agree to enter into such extension if provided, such action or inaction shall be deemed to result in the Executive’s Termination without Cause upon Expiration of the Term of Employment under Section 6(g) of this Agreement as of the last day of the Term of Employment.

2.Position and Duties. During the Term of Employment, (i) the Executive shall continue to serve as the Company’s Chief Executive Officer (“CEO”) and (ii) the Company shall nominate the Executive for re-election as a member of the Board; provided that, in the event the Executive’s employment as CEO terminates for any reason, unless mutually agreed by the Executive and the Company, the Executive shall immediately resign from the Board and shall execute and deliver any written documentation reasonably requested by the Company to the Company to give effect to such resignation. During the Term of Employment, the Executive may engage in not-for-profit outside activities provided such activities (including but not limited to membership on boards of directors of not-for-profit organizations) do not conflict in any material respect with the Executive’s duties and responsibilities under this Agreement. The Executive may also continue during the Term of Employment to serve as a member of the board of the for-profit organization on which he serves as of the date hereof (it being acknowledged that such membership is the board of directors of Vibrantz Technologies, Inc.). The Executive may, subject to prior written approval from the Board in accordance with the Company’s corporate governance guidelines (with such approval not to be unreasonably withheld), serve as a member of the board of directors of up to one additional for-profit organization (which may be a publicly traded corporation).

3.Principal Place of Employment. The Executive shall be employed at the Company’s principal offices in Charlotte, North Carolina, except for required travel on the Company’s business to an extent substantially consistent with the present business travel obligations of the Executive’s position.

4.Compensation and Related Matters.

(a)Salary. During the Term of Employment, the Company shall pay to the Executive a salary at a rate of not less than one million and four hundred thousand dollars ($1,400,000.00) per annum. The Executive’s salary shall be payable in substantially equal installments in accordance with the Company’s normal payroll practices applicable to senior executives and subject to all applicable statutory deductions and authorized withholdings. Subject to the first sentence of this Section 4(a), the Executive’s salary may be increased from time to time at the sole and absolute discretion of the Board (or an authorized committee thereof).

(b)Annual Incentive Program. During the Term of Employment and commencing with fiscal year 2023, the Executive will be eligible for a target bonus under the Company’s Annual Incentive Plan (“AIP”) equal to 150% of his annual base salary (with a maximum bonus under the AIP equal to 200% of Executive’s target bonus). The amount of the bonus will be based on the achievement of metrics determined in the sole discretion of the Board (or an authorized committee thereof) after consultation with the Executive and will be measured using Company and/or individual performance factors. It is understood that the Company determines eligibility for awards and the terms of awards on an annual basis, and that information about awards will be communicated to the Executive in accordance with Company practice. AIP bonuses will be paid no later than March 15th of the following fiscal year.

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(c)Expenses. During the Term of Employment, the Executive shall be entitled to receive prompt reimbursement for all reasonable expenses incurred by the Executive in performing services hereunder, including, but not limited to, all reasonable expenses of travel and living while away from home, provided that such expenses are incurred and accounted for in accordance with the policies and procedures established by the Company and consistent with those policies and procedures in effect as of the date hereof.

(d)Benefits. The Executive will be eligible for the comprehensive benefits package typically made available to similarly situated employees of the Company. An overview of the package will be provided to the Executive separately, and notwithstanding anything in the overview materials, the terms of the plan documents will control. The Company’s benefit plans and policies that shall be available shall include, but not be limited to, the following:

(i)The Albemarle Savings Plan (“401(k) Plan”), which currently allows eligible employees to defer part of their salaries, provides a matching contribution and provides an additional employer contribution based on participants’ pay. Notwithstanding anything in this Agreement or any overview materials provided on the 401(k) Plan, the terms of the 401(k) Plan document will control;

(ii)The Albemarle Executive Deferred Compensation Plan (“EDCP”), which allows participants to defer up to 50% of base salary and up to 100% of their annual bonus (net of FICA and Medicare taxes) each year. Deferrals are credited to one or more accounts which may be distributed either at retirement or at a specified future date (which may be while the participant is still employed), based on participants’ elections. Notwithstanding anything in this Agreement or any overview materials provided on the EDCP, the terms of the EDCP document will control;

(iii)Albemarle’s executive physical program;

(iv)Albemarle’s executive financial planning program;

(v)Albemarle’s U.S. Domestic Relocation Policy; and

(vi)Albemarle’s Health and Welfare Program.

(e)Long Term Incentive Awards. The Executive will be eligible for LTI award grants under the Albemarle Long Term Incentive Plan (“LTIP”) for each of 2024 and 2025. The form and design of LTI award grants (including any applicable performance-based vesting conditions) will be determined in the sole discretion of the Board (or an authorized committee thereof), but are expected to consist of a combination of Performance Share Units (“PSUs”), restricted stock units (“RSUs”) and stock options, but the proportion of performance-based awards granted to the Executive shall be substantially similar to that of the members of the Company’s Executive Leadership Team. Except as provided in the following sentence regarding vesting of the Executive’s award grants made under this paragraph (e), the standard provisions governing all LTI award grants made by the Company shall apply to the Executive’s future LTI award grants, including but not limited to, provisions on exercisability of stock options, payment of RSUs, and earning and payment of PSUs. With regard to the vesting of the Executive’s LTI award grants, provided the Executive remains employed by the Company through December 31, 2025, he will become fully vested in his LTI grants made pursuant to this paragraph (e) on that date (subject to the achievement of any applicable performance-based vesting goals). Notwithstanding the preceding sentence, however, to the extent the Company appoints a Successor CEO who commences employment prior to December 31, 2025 (the date of such

3

commencement, the “New CEO Start Date”), other than in connection with termination of the Executive’s employment for Cause (as defined below), the Executive’s outstanding LTI award grants made pursuant to this paragraph (e) shall vest as of the New CEO Start Date (subject to the achievement of any applicable performance-based vesting goals); provided, however, unless otherwise provided herein, the accelerated vesting of the Executive’s LTI award grants pursuant to this sentence shall not change the exercisability, expiration or settlement dates of the Executive’s award grants, which shall remain as set forth in the applicable award agreement. The specific terms of the LTI award grants made pursuant to this paragraph (e) shall be described and governed by the separate Notices of Award the Executive will be provided after the grants are made, which shall be consistent with the terms and conditions set forth on Exhibit A attached hereto. Notwithstanding anything to the contrary in this Agreement, the terms of the LTIP documents, including the LTIP Plan document and separate award agreements, will control unless the special vesting and exercisability provisions for the LTI award grants in this Agreement are more favorable to the Executive, in which case the more favorable vesting and exercisability provisions in this Agreement will control. The Executive acknowledges and agrees that the Executive has received the LTI award grants for 2023 in satisfaction of all Company obligations with respect thereto.

(f)Paid Time Off. During the Term of Employment, the Executive shall be entitled to five (5) weeks of paid time off in each calendar year, determined in accordance with the Company’s Corporate Vacation Policy; provided, however, that the Executive’s use of paid time off shall not interfere with the performance of his duties under this Agreement, subject to applicable law.

5.Confidential Information and Intellectual Property.

(a)This Agreement is intended to supplement, and not to supersede, any rights the Company may have in law or equity with respect to the protection of trade secrets or confidential or proprietary information.

(b)For purposes of this Agreement, “Confidential Information” means any and all information regarding the Company and any of its subsidiaries, divisions and affiliates that is not generally known to the public and which the Company deems proprietary or confidential, including any information received from or concerning, directly or indirectly, the Company and its customers, vendors, suppliers or distributors, regardless of the form in which such information is maintained, whether in hard-copy or electronic form, and regardless of whether such information constitutes an original or a copy. Confidential Information shall include, without limitation: trade secrets, ideas, inventions, trademarks, business information, know-how, processes, techniques, improvements, designs, redesigns, creations, discoveries, research, technical plans, drawings, technical data, technologies or information, formulae and developments; information concerning customers, suppliers, vendors and distributors, including any lists thereof; pricing information, strategies, schemes and lists; market and technical research; financial, purchasing, and business planning information; methods of distribution or supply chain information; financial, business and sales projections, forecasts or plans; information concerning mergers, purchases, sales, acquisitions or other corporate transactions involving the Company or any of its affiliates or proposed affiliates, and proposed targets for merger, purchase, acquisition, merger or other corporate transaction; marketing and promotional information, ideas and strategies; marketing surveys and analyses; budgets; invoices; tax matters or other taxation- related information; actual and projected revenues, profits or losses; information relating to the Company’s personnel or any other personnel data or information; the content, terms or structure of the Company’s contracts and agreements, including contracts and agreements with customers, suppliers or vendors, including drafts thereof or term sheets; information relating to the Company’s products and services; and any and all other information relating to the Company and its products, services, performance or plans that the Executive

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acquired as a result of his employment or other association (as a Board member or otherwise) with the Company and that is not generally known or available to the public or within the Company’s industry; provided, however, Confidential Information shall not include information relating to the Company or its subsidiaries, affiliates or divisions that (1) became or becomes a matter of public knowledge through sources independent of the Executive, (2) has been or is disclosed by the Company or its subsidiaries, affiliates or divisions without restriction on its use, or (3) has been or is required or specifically permitted to be disclosed by law or governmental order, regulation or investigation, provided that the disclosure does not exceed the extent of disclosure required by such law, order, regulation or investigation. It is understood that notwithstanding anything in this Agreement or any code of conduct or ethics or other policy of the Company to the contrary, nothing herein or therein shall restrict the Executive from reporting matters to the Securities and Exchange Commission (“SEC”), or communicating directly with its staff, about a possible securities law violation.

(c)The provisions of this Section 5 shall not preclude the Executive from disclosing such information to the Executive’s professional tax advisor or legal counsel solely to the extent necessary for the rendering of their professional services to the Executive if such individuals agree to keep such information confidential, and/or if reasonably appropriate in connection with a legal dispute between the Executive and the Company. The Executive may also disclose Confidential Information in the ordinary course of his employment with the Company and its subsidiaries, divisions and affiliates.

(d)This Agreement is not intended to limit or restrict, and shall not be interpreted in any manner that limits or restricts, Executive from exercising any legally protected whistleblower rights (including pursuant to Section 21F of the Securities Exchange Act of 1934 (“Section 21F”)) or receiving an award for information provided to any government agency under any legally protected whistleblower rights. Notwithstanding anything in this Agreement to the contrary, nothing in or about this Agreement prohibits the Executive from: (i) filing and, as provided for under Section 21F, maintaining the confidentiality of a claim with the SEC; (ii) providing Confidential Information to the SEC, or providing the SEC with information that would otherwise violate this Section 5, to the extent permitted by Section 21F; (iii) cooperating, participating or assisting in an SEC investigation or proceeding without notifying the Company; or (iv) receiving a monetary award as set forth in Section 21F.

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(e)Notwithstanding any of the foregoing, it is understood that the U.S. Defend Trade Secrets Act of 2016 (“DTSA”) provides that an individual shall not be held criminally or civilly liable under any federal or state trade secret law for the disclosure of a trade secret that is made (i) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney; and (ii) solely for the purpose of reporting or investigating a suspected violation of law; or (iii) in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal. In addition, DTSA provides that an individual who files a lawsuit for retaliation by an employer for reporting a suspected violation of law may disclose the trade secret to the attorney of the individual and use the trade secret information in the court proceeding, if the individual (A) files any document containing the trade secret under seal; and (B) does not disclose the trade secret, except pursuant to court order.

(f)The Executive agrees that, following his separation from the Company for any reason and under any circumstance whatsoever, he will not communicate directly or indirectly with, or give statements to, any member of the media (including print, television, radio or social media) relating to any matter (including pending or threatened lawsuits or administrative investigations) about which the Executive has knowledge or information (other than knowledge or information that is not Confidential Information) as a result of employment with the Company. The Executive further agrees to notify the Board or its designee as soon as practicable after being contacted by any member of the media with respect to any matter covered under this Section.

(g)The Executive agrees that all information, inventions and discoveries, whether or not patented or patentable, protected by a copyright or copyrightable, or registered as a trademark or eligible to be registered as a trademark, made or conceived by the Executive or any Company employee or contractor, either alone or with others, at any time while employed by the Company, which arise out of such employment and is pertinent to any field of business or research in which, during such employment, the Company, its subsidiaries, affiliates or divisions is engaged or (if such is known to or ascertainable by the Executive) is considering engaging (“Intellectual Property”) shall (i) be and remain the sole property of the Company and the Executive shall not seek a patent or copyright or trademark protection with respect to such Intellectual Property without the prior consent of an authorized representative of the Company and (ii) be disclosed promptly to an authorized representative of the Company along with all information the Executive possesses with regard to possible applications and uses. Further, at the request of the Company, and without expense or additional compensation to the Executive, the Executive agrees to, during and after his or her employment, execute such documents and perform such other acts as the Company deems reasonably necessary to obtain, perfect, maintain, protect and enforce patents on such Intellectual Property in a jurisdiction or jurisdictions designated by the Company, and to assign and transfer to the Company or its designee all such Intellectual Property rights and all patent applications and patents relating thereto. The Executive hereby irrevocably grants the Company power of attorney to execute and deliver any such documents on the Executive’s behalf in his or her name and to do all other lawfully permitted acts to transfer the work product to the Company and further the transfer, issuance, prosecution, and maintenance of all Intellectual Property rights therein, to the full extent permitted by law, if the Executive does not promptly cooperate with the Company’s request (without limiting the rights the Company shall have in such circumstances by operation of law). The power of attorney is coupled with an interest and shall not be affected by the Executive’s subsequent incapacity.

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(h)The Executive represents and warrants that, as of the Effective Date, there is no Intellectual Property that: (i) has been created by or on behalf of the Executive, and/or (ii) is owned exclusively by the Executive or jointly by the Executive with others or in which the Executive has an interest, and that relate in any way to any of the Company’s actual or proposed businesses, products, services, or research and development, and which are not assigned to the Company under this Agreement.

(i)The Executive and the Company agree that the Executive intends all original works of authorship within the purview of the copyright laws of the United States authored or created by the Executive in the course of the Executive’s employment with the Company will be works for hire within the meaning of such copyright law.

(j)Upon termination of the Executive’s employment, or at any time upon request of the Company, the Executive will (i) promptly return to the Company all Confidential Information and Intellectual Property and all copies thereof (including without limitation books, handbooks, proposals, procedures, protocols, manuals, files, papers, memoranda, letters, facsimiles, photographs/images, audio recordings/files, electronically stored information) in any form whatsoever, and regardless of the format, medium or location in which such information has been stored, viewed or accessed (including without limitation any Company-maintained electronic system(s), personal computer or computer system(s), personal email account(s), and any external disk(s), flash drive(s), cloud storage services, or any other location, format or medium in which information can be stored, maintained or accessed), and (ii) delete or destroy all copies of any such documents and materials not returned to the Company that remain in the Executive’s possession or control, including those stored on any non-Company devices, networks, storage locations, and media in the Executive’s possession or control.

(k)The Executive acknowledges and agrees that the injury the Company will suffer in the event of the breach by the Executive of any of the provisions of this Section 5 will cause the Company irreparable injury that cannot be adequately ascertained or compensated by monetary damages alone. Therefore, the Executive agrees that the Company, without limiting any other legal or equitable remedies available to it, shall be entitled to obtain equitable relief by injunction or otherwise, without the posting of any bond, from any court of competent jurisdiction, including, without limitation, injunctive relief to prevent the Executive’s failure to comply with the terms and conditions of this Section 5.

6.Termination. The Executive’s employment with the Company shall terminate immediately upon the expiration of the Term of Employment. In addition, the Term of Employment and the Executive’s employment with the Company may be terminated by the Company or the Executive for any reason at any time prior to the expiration of the Term of Employment. Upon termination of the Executive’s employment during the Term of Employment, the Executive shall be entitled to the compensation and benefits described in the applicable provisions of this Section 6 and shall have no further rights to any compensation or any other benefits from the Company or any of its affiliates. Defined terms for purposes of this Section 6 shall have the meanings set forth in subparagraph (i) hereof.

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(a)Termination by the Company without Cause (other than due to Death or Total Disability) or by Executive with Good Reason Outside of a Change in Control Period. If, outside of a Change in Control Period, the Executive’s employment is terminated by the Company without Cause (other than (i) due to the Executive’s death, Total Disability (as defined below) or (ii) upon the appointment of a Successor CEO or expiration of the Term of Employment) or by the Executive with Good Reason, then, subject to Section 6(e), Section 20, and the Executive’s continued compliance in all material respects with all applicable restrictive covenants in this Agreement and any other agreement between the Executive and the Company (provided that the Executive shall be provided with written notice by the Company of any such noncompliance and not less than thirty (30) days to cure, if curable), the Executive shall be entitled to receive the following benefits:

(i)Accrued Benefits. The Company shall (A) pay the Executive his full base salary and accrued vacation pay then in effect through the Date of Termination, at the rate in effect at the time Notice of Termination is given; on the Company’s first regular payroll date following the Date of Termination; (B) pay or provide any benefits or awards which have been earned or become payable but which have not yet been paid to the Executive and any earned annual bonus for the prior fiscal year which has not yet been paid (with any subjective goals being treated as achieved at not less than target) when annual bonus amounts for such year are paid to other eligible employees of the Company (the “Prior Year Bonus”); and (C) reimburse the Executive for any unreimbursed expenses pursuant to the Company’s expense reimbursement policy (clauses (A) through (C), collectively, the “Accrued Benefits”).

(ii)Severance Payment. The Company shall pay as severance pay to the Executive an amount (the “Severance Payment”) equal to 2.0 times the sum of (1) the Executive’s annual base salary for the year of termination (not taking into account any reductions of annual base salary which would constitute Good Reason or were made in the six (6) months prior to the Date of Termination) plus (2) the Executive’s target bonus under the AIP for the year of termination (not taking into account any reductions of target bonus which would constitute Good Reason or were made in the six (6) months prior to the Date of Termination). The Severance Payment will be paid to the Executive in a lump sum thirty (30) days following the Date of Termination or, if later, the Release Effective Date (as defined below).

(iii)Pro Rata AIP. The Company shall pay the Executive an AIP bonus for the year of termination equal to the product of (x) the calculated Company score and the Executive’s individual performance modifier set by the Company (treating all subjective performance metrics as having been met at not less than 100% at target) and (y) a fraction, the numerator of which is the number of days during such calendar year that the Executive was employed by the Company and the denominator of which is 365, payable at the time the Company pays the AIP bonus amounts for such year to other eligible employees of the Company (no later than March 15th of the following year) (the “Prorated Bonus”);

(iv)Financial Counseling. For each of the calendar year in which the Executive’s Date of Termination occurs and the immediately following calendar year, the Company shall make available to Executive financial counseling services, which may include tax counseling services, and Executive may select the organization that will provide such services (“Financial Counseling”); provided, however, that (A) the Company’s obligation to reimburse or provide Financial Counseling under this subparagraph (iv) shall be limited to an amount no greater than $12,500 for each such

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calendar year and (B) in the event that the Date of Termination is less than 60 days before the end of the calendar year in which the Date of Termination occurs, then the availability of such Financial Counseling shall be available beginning January 1 of the calendar year following such Date of Termination.

(v)Relocation Expense Reimbursement. The Company shall reimburse the Executive for his expenses incurred in connection with relocating from his Charlotte, North Carolina residence to another residence within the United States after his Termination. Expenses covered under this paragraph shall not include any expenses incurred in connection with the Executive’s sale of a residence purchased in Charlotte, North Carolina other than any real estate closing costs and commissions owed in connection with selling the Charlotte residence (the “Relocation Benefits”). For purposes of clarification only, the Company shall have no obligation to purchase the Executive’s residence in Charlotte. Except as otherwise provided in this subparagraph (v), the Relocation Benefits shall be in accordance with the Company’s U.S. Domestic Relocation Policy. The Relocation Benefits must be used, if at all, no later than the end of the second year after the year that contains the Executive’s Date of Termination, and the reimbursement of expenses must be paid to the Executive no later than the end of the third year after the year that contains the Date of Termination.

(vi)Benefits Continuation. If the Executive timely elects COBRA coverage for himself or his eligible dependents under the Company’s group medical, dental or vision plans, the Company shall pay 100% of the premiums for such coverage at no cost to the Executive until the earliest of (A) the second anniversary of the termination of the Executive’s employment, (B) the date the Executive becomes eligible for comparable coverage under plans under another employer’s policies and (C) the date the Executive becomes eligible for coverage under Medicare.

(b)Termination due to Total Disability. During any period prior to the Date of Termination and during the Term of Employment that the Executive is unable to perform his full time duties with the Company, whether as a result of Total Disability or as a result of a physical or mental disability that is not total or is not permanent and therefore is not a Total Disability, the Executive shall continue to receive his base salary at the rate in effect at the commencement of any such period, together with all other compensation and benefits that are payable or provided under the Company’s benefit plans, including its disability plans. After the Date of Termination, the Executive’s benefits shall be determined in accordance with the Company’s benefits, insurance and other applicable programs, and the Company shall pay or provide the Executive the Accrued Benefits and the Prorated Bonus for the year of termination. The compensation and benefits, other than salary, payable or provided pursuant to this Section 6(b) shall be the greater of (x) the amounts computed under the disability benefit plans, insurance and other applicable programs in effect immediately prior to a Change in Control (as defined in the Amended and Restated Change in Control Agreement), if applicable, and (y) the amounts computed under the disability benefit plans, insurance and other applicable programs in effect at the time the compensation and benefits are paid; provided that, the Executive’s outstanding equity awards under the LTIP shall be treated in accordance with the terms of the applicable Notices of Award for such awards. “Total Disability” means total physical or mental disability rendering the Executive unable to perform the duties of his employment for a continuous period of six (6) months. Any question as to the existence of Total Disability upon which the Executive and the Company cannot agree shall be determined by a qualified physician not employed by the Company and selected by the Executive (or, if the Executive is unable to make such selection, it shall be made by any adult member of the Executive’s immediate family), and approved by the Company (such approval not to be unreasonably withheld). The determination of such physician made in writing to the Company and to the Executive shall be final and conclusive for all purposes of this Agreement.

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(c)Termination by the Company for Cause or by the Executive other than with Good Reason Outside of a Change in Control Period. If, outside of a Change in Control Period, the Executive’s employment is terminated by the Company for Cause or by the Executive other than with Good Reason, the Company shall pay or provide the Executive his Accrued Benefits (excluding, in the event of a termination by the Company for Cause, the Prior Year Bonus (if any)). Thereafter, the Company shall have no further obligation to the Executive under this Agreement.

(d)Termination due to Death Outside of a Change in Control Period. If the Executive’s employment is terminated due to the Executive’s death other than during a Change in Control Period, the Executive’s benefits shall be determined in accordance with the Company’s benefits and insurance programs then in effect, and the Company shall pay or provide the Executive the Accrued Benefits and the Prorated Bonus for the year of termination; provided that, the Executive’s outstanding equity awards under the LTIP shall be treated in accordance with the terms of the applicable Notices of Award for such awards. If the Executive’s employment is terminated due to the Executive’s death during a Change in Control Period, the effects of such termination of employment shall be as described in the Amended and Restated Change in Control Agreement.

(e)Release of Claims. In order to receive payment of the amounts set forth in Section 6 (unless otherwise prohibited by law), the Executive must execute and deliver to the Company a general release in the form attached hereto as Exhibit B (the “Release”). The Release must be executed and become effective and irrevocable within the ninety (90) day period following the Date of Termination; provided, however, that to the extent any amounts payable under Section 6 constitute nonqualified deferred compensation for purposes of Section 409A, and such ninety (90) day period commences in one calendar year and ends in the subsequent calendar year, such amounts shall not be paid to the Executive until the later of the Release Effective Date and the Company’s first regular payroll date in such subsequent calendar year.

(f)Notice of Termination. Any termination of the Executive’s employment by the Company or the Executive shall be communicated to the other party in a written Notice of Termination. The Notice of Termination shall indicate the specific termination provision in this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Executive’s employment under the provision so indicated. The Notice of Termination shall be provided in accordance with the notice requirements of Section 12.

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(g)Termination without Cause upon Expiration of the Term of Employment. If, outside of a Change in Control Period, the Executive’s employment is terminated by the Company without Cause upon (i) expiration of the Term of Employment or (ii) the New CEO Start Date in connection with the appointment of a Successor CEO, then, in each case, subject to Section 6(e), Section 20, and the Executive’s continued compliance in all material respects with all applicable restrictive covenants in this Agreement and any other agreement between the Executive and the Company (provided that the Executive shall be provided with written notice by the Company of any such noncompliance and not less than thirty (30) days to cure, if curable), the Executive shall be entitled to receive the following benefits:

(i)The Company shall pay or provide the Executive the Accrued Benefits.

(ii)The Company shall pay the Executive either (i) upon the New CEO Start Date, a Prorated Bonus for the year of termination or (ii) upon the expiration of the Term of Employment, an AIP bonus for the 2025 AIP year based upon the calculated company score and the Executive’s individual performance modifier set by the Company at the time the Company pays the AIP bonus amounts for such year to other eligible employees of the Company (no later than March 15th, 2026).

(iii)The Executive’s outstanding equity awards under the LTIP shall be treated in accordance with the terms of Section 4(e) of this Agreement and the applicable Notices of Award for such awards.

(iv)The Company shall provide the Executive with Financial Counseling and the Relocation Benefits in accordance with the terms of Section 6(a) of this Agreement.

(v)If a New CEO Start Date occurs prior to the Executive receiving a grant of LTI awards for the calendar year 2025, the Board, in its sole discretion, will consider in good faith granting to the Executive a one-time special LTI award grant with a value commensurate with the LTI award grant the Executive would have received for such calendar year had the Executive remained CEO.

(h)Termination of Employment During a Change in Control Period. Notwithstanding anything herein to the contrary, the effects of a termination of employment by the Company without Cause (other than due to death or Total Disability) or by Executive with Good Reason during a Change in Control Period shall be determined in accordance with the Amended and Restated Change in Control Agreement. In the event that, within 180 days following a termination by the Company without Cause (other than due to death or Total Disability) or by Executive with Good Reason, there occurs a Change in Control of the Company that is a “change in control event” within the meaning of Section 409A, the Executive shall be entitled to the payments and benefits as set forth in the Amended and Restated Change in Control Agreements; provided that such payments and benefits shall be made without duplication of (i.e., shall be reduced by) the amount of any payments or benefits paid or provided under Section 6(a) of this Agreement, on or within thirty (30) days following the date of such Change in Control.

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(i)Definitions. For purposes of this Agreement:

(i)“Amended and Restated Change in Control Agreement” means that certain letter agreement by and between the Executive and the Company dated as of the Effective Date regarding the effects of certain terminations of employment during a Change in Control Period.

(ii)“Cause” means:

A.the Executive’s willful failure to perform the Executive’s duties (other than any such failure resulting from incapacity due to physical or mental illness);

B.the Executive’s willful failure to comply with any valid and legal directive of the Board, engagement in dishonesty or other misconduct, which is, in each case, injurious to the Company or any of its affiliates;

C.the Executive’s embezzlement, misappropriation or fraud, whether or not related to the Executive’s employment with the Company;

D.the Executive’s conviction of or plea of guilty or nolo contendere to a crime that constitutes a felony (or state law equivalent) or a crime that constitutes a misdemeanor involving moral turpitude or other illegal conduct (excluding any vehicle or traffic-related misdemeanors to the extent not resulting in imprisonment or material reputational harm to the Company);

E.the Executive’s intentional material violation of the Company’s Code of Conduct or a material policy of the Company; or

F.the Executive’s material breach of any obligation under this Agreement or any other written agreement between the Executive and the Company.

Poor performance shall not in and of itself constitute Cause. No action or inaction shall be treated as willful unless done or not done in bad faith and without a reasonable belief such action or inaction was in the best interests of the Company or its affiliates. Cause shall not result from any action or inaction based upon direction from the Board or advice of counsel to the Company or any of its affiliates. The Executive shall not be terminated for Cause absent a majority resolution of the independent directors of the Board and the opportunity for the Executive to be heard before the Board with his counsel present if he so elects.

(iii)“Change in Control Period” means (A) the two-year period commencing on the date of a Change in Control (as defined in the Amended and Restated Change in Control Agreement) and (B) solely in the event such Change in Control constitutes a “change in control event” within the meaning of Section 409A, subject to the consummation of such Change in Control, the 180-day period prior to the date of such Change in Control.

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(iv)“Date of Termination” means:

A.if the Executive’s employment is terminated for Total Disability, thirty (30) days after Notice of Termination is given (provided that the Executive shall not have returned to the full-time performance of the Executive’s duties during such thirty (30) day period), and

B.in all other cases, the date specified in the Notice of Termination (which shall not be less than thirty (30) nor more than sixty (60) days, respectively, from the date such Notice of Termination is given).

(v)“Good Reason” shall mean:

A.a material adverse change in the Executive’s title, position or authorities, or the assignment to the Executive of any material duties or material responsibilities that are materially inconsistent with the Executive’s position (including a failure by the Company to nominate the Executive to the Board during the Term of Employment, other than due to a termination for Cause); provided that, prior to the consummation of a Change in Control, Good Reason shall not exist as a result of (i) the Board assigning (in consultation with the Executive) specified duties of the Executive to any Company employee identified in good faith by the Board as a potential Successor CEO or (ii) the appointment, or commencement of employment of, a Successor CEO;

B.a reduction by the Company in the annual rate of Executive’s base salary or target bonus or long term incentive opportunity;

C.the Company’s requiring Executive’s office nearest to Executive’s principal residence to be located at a different place which is more than thirty-five (35) miles from where such office is located;

D.the failure by the Company to continue in effect compensation or benefit plans in which Executive participates, which in the aggregate provide Executive substantially equivalent compensation and benefits;

E.a material breach by the Company of this Agreement or the Executive’s Amended and Restated Change in Control Agreement or other material written agreement with the Company; or

F.the failure of the Company to obtain a satisfactory agreement from any applicable successor entity to assume and agree to perform under any applicable employment or severance compensation agreement.

In order for one of the foregoing events in clauses (A) through (F) to constitute Good Reason, (I) the Executive must notify the Company in writing no later than 90 days after the Executive’s knowledge that the relevant event stating which Good Reason event has occurred, (II) the Company shall not have corrected the Good Reason event within thirty (30) days after Executive’s notice and (III) the Executive must terminate employment within sixty (60) days after the expiration of the Company’s notice period.

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(vi)“Notice of Termination” shall mean a written notice as provided in Section 6(f).

(vii)“Release Effective Date” means the date on which the Release becomes effective and irrevocable.

(viii)“Successor CEO” means an individual who succeeds the Executive as a permanent CEO and who is identified, selected and appointed by the Board in a process with the full participation of the Executive (including in his capacity as a member of the Board), excluding any individual who is appointed as interim or acting CEO.

For the avoidance of doubt, the definitions of Cause and Good Reason set forth herein shall apply for purposes of (1) any outstanding LTI award agreement between the Executive and (2) the Company Amended and Restated Change in Control Agreement.

7.Cooperation. The Executive and the Company agree that certain matters in which the Executive will be involved during the Term of Employment may necessitate the Executive’s cooperation in the future. Accordingly, following the termination of the Executive’s employment for any reason, to the extent reasonably requested by the Board, the Executive shall reasonably cooperate with the Company in connection with litigation or governmental investigationmatters arising out of the Executive’s service to the Company; provided that, such cooperation shall be subject to the Executive’s personal and business commitments, the Executive shall not be required to cooperate against the Executive’s own interests and the Company shall make reasonable efforts to minimize disruption of the Executive’s other activities. The Company shall reimburse the Executive for reasonable expenses incurred in connection with such cooperation (including reasonable legal fees incurred by the Executive’s counsel if the Executive in good faith believes independent counsel to be appropriate) and, to the extent that the Executive is required to spend substantial time on such matters, the Company shall compensate the Executive at a mutually agreed upon hourly rate.

8.Restrictive Covenants.

(a)Executive Acknowledgement. The Company and the Executive acknowledge that (i) the Company has a special interest in and derives significant benefit from the unique skills and experience of the Executive; (ii) as a result of the Executive’s service with the Company, the Executive will use and have access to Confidential Information during the course of the Executive’s employment; (iii) the Confidential Information has been developed and created by the Company at substantial expense and constitutes valuable proprietary assets of the Company, and the Company will suffer substantial damage and irreparable harm which will be difficult to compute if, during the term of the Executive’s employment or thereafter, the Executive should disclose or improperly use such Confidential Information in violation of the provisions of this Agreement; (iv) the Company will suffer substantial damage and irreparable harm which will be difficult to compute if the Executive competes with the Company in violation of this Agreement; (v) the Company will suffer substantial damage which will be difficult to compute if the Executive solicits or interferes with the Company’s employees, clients, or customers; (vi) the provisions of this Agreement are reasonable and necessary for the protection of the business of the Company; and (vii) the provisions of this Agreement will not preclude the Executive from obtaining other gainful employment or service.

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(b)No Solicitation of Employees. The Executives agrees that, both during the Term of Employment and for a period of three (3) years following the termination of the Executive’s employment with the Company, at any time and for any reason, the Executive will not, directly or indirectly, on his own behalf or on behalf of any other person or entity (regardless of who first initiates the communication), hire or solicit to hire for employment or consulting or other provision of services, any person who is actively employed or exclusively engaged (or in the preceding six (6) months was actively employed or exclusively engaged) by the Company. This obligation includes, but is not limited to, inducing or attempting to induce, or influencing or attempting to influence, any person employed or engaged by the Company to terminate his or her relationship with the Company, assisting any other person or entity to identify or evaluate Company employees for recruitment away from the Company, and assisting any person or entity hire an employee away from the Company. This provision shall not be violated by providing a personal reference upon request or by a general advertisement for employees or consultants not focused specifically on employees or consultants of the Company.

(c)No Solicitation of Customers. The Executive agrees that, both during the Term of Employment and for a period of three (3) years following the termination of the Executive’s employment with the Company at any time and for any reason, the Executive will not directly or indirectly, on his own behalf or on behalf of any other person or entity:

(i)solicit the business of, or provide services or goods similar to, the services or goods provided by the Company to any customer of the Company or any other entity with which the Company has an agreement to perform services or provide goods during the twelve (12) month period prior to the Executive’s Date of Termination, in each case, on behalf of a Competing Business;

(ii)contact any customer of the Company for the purpose of soliciting such customer to purchase a product or service that is the same as, similar to or in competition with those products and/or services offered, made, or rendered by the Company, in each case, on behalf of a Competing Business; or

(iii)induce or attempt to induce any customer, supplier or vendor of the Company to cease or limit the business it does or may plan to do with the Company or to otherwise interfere in the Company’s business relationship with such customer, supplier or vendor.

This provision shall not be violated by general advertisements and marketing not focused specifically on any customer, supplier or vendor of the Company.

(d)Non-Competition. During the Term of Employment and for a period of three (3) years following the termination of the Executive’s employment with the Company at any time and for any reason, the Executive shall not, on his own behalf or on behalf of others, directly or indirectly, (whether as an employee, consultant, investor, partner, sole proprietor or otherwise) be employed by, perform any services for, or hold any ownership interest in any Competing Business. “Competing Business” means any individual, corporation, partnership, business or other entity which operates or attempts to operate a business which provides, designs, develops, markets, engages, invests in, produces or sells any products, services or businesses which are the same or similar to the core products, services or businesses produced, marketed, invested in or sold by the Company, in each case, that (A) are related to lithium- or bromine-based energy storage, speculation and/or catalysts or (B) account for 10% or more of the Company’s consolidated revenue as reported in the Company’s most recent quarterly or annual financial statements. Notwithstanding the foregoing, the Executive’s ownership, for investment

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purposes, of up to one percent (1%) of the total outstanding equity securities of a publicly traded company or the passive ownership of up to one percent (1%) of the total outstanding equity securities of a non-publicly traded entity, shall not be considered a violation of this subparagraph (d). The Executive’s provision of services to a unit, division or subsidiary of an entity engaging in a Competing Business shall not be in violation of this subparagraph (d) if such unit, division or subsidiary does not engage in a Competing Business.

(e)Enforcement.

(i)The Executive acknowledges that the restrictions contained in this Section 8 are necessary to protect the Company’s confidential and proprietary information, trade secrets, intellectual property and other legally protectable business information; and further acknowledges and agrees that each and every restriction in this Section 8 is reasonable in all respects, including duration, territory and scope of activity.

(ii)The Executive agrees that the restrictions contained in this Section 8 shall be construed as separate agreements independent of any other provision of this Agreement or any other agreement between the Executive and the Company. To the extent that any restriction of this Section 8 is determined by any court of competent jurisdiction to be unenforceable, the Executive and the Company expressly agree and intend that such restriction be reduced in scope to the extent permitted by law, and that such remaining restriction be enforced, and that the other restrictions of this Section 8 remain in full force and effect.

(iii)The Executive agrees that the existence of any claim or cause of action by the Executive against the Company, under this Agreement or otherwise, shall not constitute a defense to the enforcement by the Company of the covenants and restrictions in this Section 8.

(iv)The Executive acknowledges and agrees that the injury the Company will suffer in the event of the breach by the Executive of any of the provisions of this Section 8 will cause the Company irreparable injury that cannot be adequately ascertained or compensated by monetary damages alone. Therefore, the Executive agrees that the Company, without limiting any other legal or equitable remedies available to it, shall be entitled to obtain equitable relief by injunction or otherwise, without the posting of any bond, from any court of competent jurisdiction, including, without limitation, injunctive relief to prevent the Executive’s failure to comply with the terms and conditions of this Section 8. The periods of time referenced in each of subparagraphs (b), (c) and (d) above shall be tolled as applicable on a day-for-day basis for each day during which the Executive violates the provisions of subparagraphs (b), (c) or (d) in any respect so long as the Company takes actions to prevent or challenge such violation, so that the Executive is restricted from engaging in the activities prohibited by subparagraphs (b), (c) and (d) for the full time period.

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(f)Other Covenants Superseded. Notwithstanding anything to the contrary in any outstanding LTI award agreement between the Executive and the Company, to the extent such other agreement contains similar covenants as contained in this Section 8, such covenants shall be superseded by the covenants contained in this Section 8.

9.Equity Awards Following Termination. Except as otherwise provided herein (including Section 4(e) hereof), the effect of a termination of employment on the Executive’s outstanding RSUs, PSUs, stock options and other equity compensation awards shall be determined in accordance with the terms and conditions of the applicable award agreement.

10.Successors; Binding Agreement. This Agreement and all rights of the Executive hereunder shall inure to the benefit of and be enforceable by the Executive’s personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and legatees. If the Executive should die while any amounts payable to the Executive under this Agreement have not yet been paid, all such amounts shall be paid in accordance with the terms of this Agreement and applicable law to the Executive’s beneficiary pursuant to a valid written designation of beneficiary, as determined by the Company in its discretion, or, if there is no effective written designation of beneficiary by the Executive, to the Executive’s estate.

11.Insurance and Indemnity. The Company shall, to the extent permitted by law, include the Executive during the Term of Employment under any directors and officers’ liability insurance policy maintained for its directors and officers, with coverage at least as favorable to the Executive in amount and each other material respect as the coverage of other officers covered thereby. The Company’s obligation to provide insurance and indemnify the Executive shall survive expiration or termination of this Agreement with respect to proceedings or threatened proceedings based on acts or omissions of the Executive occurring during the Executive’s employment with the Company. Such obligations shall be binding upon the Company’s successors and assigns and shall inure to the benefit of the Executive’s heirs and personal representatives.

12.Notice. For the purposes of this Agreement, notices, demands and all other communications provided for in the Agreement shall be in writing and shall be deemed to have been duly given when delivered or (unless otherwise specified) mailed by United States registered mail, return receipt requested, postage prepaid, addressed as follows:

If to the Executive:    To the Executive’s most recent home address on file with the Company

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If to the Company:    Albemarle Corporation
4250 Congress Street, Suite 900
Charlotte, NC 28209
Attention: General Counsel

or to such other address as any party may have furnished to the other in writing in accordance herewith, except that notices of change of address shall be effective only upon receipt.

13.Complete Agreement; Modification, Waiver. This Agreement, along with any compensation and benefits summary, RSU, PSU, stock option, or other equity compensation award agreements between the parties, as well as the Amended and Restated Change in Control Agreement, represent the complete agreement of the parties with respect to the subject matter of this Agreement and supersede all prior and contemporaneous agreements, promises or representations of the parties, including the Prior Agreement, the Prior Change in Control Agreement (as defined in the Amended and Restated Change in Control Agreement) and any other prior employment agreement or similar agreement between the parties hereto. For the avoidance of doubt, the entry into this agreement and termination of the Prior Agreement shall not constitute a termination of the Executive’s employment or entitle him to any payment or benefit in connection with a termination of employment, including under Section 6 of the Prior Agreement. To the extent that the bonus payment provisions (i.e., post-termination bonus payments) provided in this Agreement differ from the provisions of the Company’s incentive bonus plans, such bonus payments shall be paid pursuant to the provisions of this Agreement except to the extent expressly prohibited by law. Except as provided by Section 20, no provision of this Agreement may be amended or modified except in a document signed by the Executive and such person as may be designated by the Company. No waiver by the Executive or the Company of any breach of, or lack of compliance with, any condition or provision of this Agreement by the other party shall be considered a waiver of any other condition or provision or the same condition or provision at another time. To the extent that this Agreement is in any way deemed to be inconsistent with any prior or contemporaneous compensation and benefits summary, RSU, PSU, stock option, or other equity compensation award agreements between the parties, or term sheet referencing such specific awards, the terms of this Agreement shall control. No agreements or representations, oral or otherwise, with respect to any subject matter of this Agreement have been made by either party which are not set forth expressly in this Agreement.

14.Severability. If any provision of this Agreement shall be held or deemed to be invalid, illegal, or unenforceable in any jurisdiction, for any reason, the invalidity of that provision shall not have the effect of rendering the provision in question unenforceable in any other jurisdiction or in any other case or of rendering any other provisions herein unenforceable, but the invalid provision shall be substituted with a valid provision which most closely approximates the intent and the economic effect of the invalid provision and which would be enforceable to the maximum extent permitted in such jurisdiction or in such case.

15.No Duty to Mitigate. The Executive shall not be required to mitigate the amount of any payment provided for Section 6 by seeking other employment or otherwise, nor shall the amount of any payment or benefit hereunder be reduced by any compensation earned by the Executive as the result of employment by another employer or by retirement benefits after the Date of Termination.

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16.Withholding. All payments required to be made by the Company hereunder to the Executive or the Executive’s estate or beneficiaries shall be subject to the withholding of such amounts as the Company may reasonably determine are required to be withheld pursuant to any applicable law. To the extent permitted by the Company in its sole discretion, the Executive may provide all or any part of any necessary withholding by contributing Company common stock with value, determined on the date such withholding is due, equal to the number of shares contributed multiplied by the closing price per share as reported on the securities exchange constituting the primary market for the Company’s stock on the date preceding the date the withholding is determined.

17.Jurisdiction and Venue. The validity, interpretation, construction, performance, and enforcement of this Agreement shall be governed by the laws of the state of Virginia, without regard to conflicts of law principles. Any action or proceeding by either of the parties to enforce this Agreement shall be brought only in a state or federal court of competent jurisdiction sitting in the state of Virginia, and the parties hereby irrevocably submit to the exclusive jurisdiction of such courts and waive the defense of inconvenient forum to the maintenance of any such action or proceeding in such venue.

18.Attorney’s Fees. Except as otherwise provided herein, each party shall bear its own attorney’s fees and costs incurred in any action or dispute arising out of this Agreement. Notwithstanding anything herein to the contrary, the Company shall pay all legal fees and related expenses incurred by the Executive: (i) as a result of the Executive’s termination of employment by the Company without Cause or with Good Reason, (ii) in seeking to obtain or enforce any right or benefit provided by this Agreement (including all fees and expenses, if any, incurred in contesting or disputing any such termination or incurred by the Executive in seeking advice in connection therewith), and (iii) contesting any claim by the Company that the Executive has breached the Executive’s obligations under any restrictive covenant; provided that such fees are incurred no later than the end of the second calendar year after the year of the Date of Termination. The Company shall pay or reimburse Executive for the reasonable cost of Executive’s attorney’s fees incurred in the negotiation of this Agreement and related agreements, within thirty (30) days of receipt of documentation reasonably satisfactory to the Company of the incurrence of such attorney’s fees.

19.Miscellaneous. No right or interest to, or in, any payments shall be assignable by the Executive; provided, however, that the Executive shall not be precluded from designating in writing one or more beneficiaries to receive any amount that may be payable after the Executive’s death and the legal representative of the Executive’s estate shall not be precluded from assigning any right hereunder to the person or persons entitled thereto. This Agreement shall be binding upon and shall inure to the benefit of the Executive, the Executive’s heirs and legal representatives and, the Company and its successors.

20.Compliance with Section 409A. Notwithstanding any other provision of this Agreement to the contrary, the provision, time and manner of payment or distribution of all compensation and benefits provided by this Agreement that constitute nonqualified deferred compensation subject to and not exempted from the requirements of Section 409A (“Section 409A Deferred Compensation”) of the Internal Revenue Code of 1986, as amended (the “Code”), shall be subject to, limited by and construed in accordance with the requirements of Code Section 409A and all regulations and other guidance promulgated by the Secretary of the

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Treasury pursuant to such Section (such Section, regulations and other guidance being referred to herein as “Section 409A”), including the following:

(a)Separation from Service. Payments and benefits constituting Section 409A Deferred Compensation otherwise payable or provided pursuant to Section 6 upon the Executive’s termination of employment shall be paid or provided only at the time of a termination of the Executive’s employment that constitutes a Separation from Service. For the purposes of this Agreement, a “Separation from Service” is a separation from service within the meaning of Treasury Regulation Section 1.409A-1(h).

(b)Six-Month Delay Applicable to Specified Employees. If, at the time of a Separation from Service of the Executive, the Executive is a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) (a “Specified Employee”), then any payments and benefits constituting Section 409A Deferred Compensation to be paid or provided pursuant to Section 6 upon the Separation from Service of the Executive shall be paid or provided commencing on the later of (i) the date that is six months after the date of such Separation from Service or, if earlier, the date of death of the Executive (in either case, the “Delayed Payment Date”), or (ii) the date or dates on which such Section 409A Deferred Compensation would otherwise be paid or provided in accordance with Section 6. All such amounts that would, but for this Section 20(b), become payable prior to the Delayed Payment Date shall be accumulated and paid on the Delayed Payment Date.

(c)Health Care Benefits. In the event that all or any of the health care benefits to be provided pursuant to this Agreement as a result of a Participant’s Separation from Service constitute Section 409A Deferred Compensation, the Company shall provide for such benefits constituting Section 409A Deferred Compensation in a manner that complies with Section 409A. To the extent necessary to comply with Section 409A, the Company shall determine the health care premium cost necessary to provide such benefits constituting Section 409A Deferred Compensation for the applicable coverage period and shall pay such premium cost which becomes due and payable during the applicable coverage period on the applicable due date for such premiums; provided, however, that if the Executive is a Specified Employee, the Company shall not pay any such premium cost until the Delayed Payment Date. If the Company’s payment pursuant to the previous sentence is subject to a Delayed Payment Date, the Executive shall pay the premium cost otherwise payable by the Company prior to the Delayed Payment Date, and on the Delayed Payment Date the Company shall reimburse the Executive for such Company premium cost paid by the Executive and shall pay the balance of the Company’s premium cost necessary to provide such benefit coverage for the remainder of the applicable coverage period as and when it becomes due and payable over the applicable period.

(d)Stock-Based Awards. The vesting of any stock-based compensation awards which constitute Section 409A Deferred Compensation and are held by the Executive, if the Executive is a Specified Employee, shall be accelerated in accordance with this Agreement to the extent applicable; provided, however, that the payment in settlement of any such awards shall occur on the Delayed Payment Date to the extent required by Section 409A.

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(e)Installments. Executive’s right to receive any installment payments payable hereunder shall be treated as a right to receive a series of separate payments and, accordingly, each such installment payment shall at all times be considered a separate and distinct payment for purposes of Section 409A.

(f)Reimbursements. To the extent that any reimbursements payable to Executive pursuant to this Agreement are subject to the provisions of Section 409A, such reimbursements shall be paid to Executive no later than December 31 of the year following the year in which the cost was incurred; the amount of expenses reimbursed in one year shall not affect the amount eligible for reimbursement in any subsequent year; and Executive’s right to reimbursement under this Agreement will not be subject to liquidation or exchange for another benefit.

(g)Rights of the Company; Release of Liability. It is the mutual intention of the Executive and the Company that the provision of all payments and benefits pursuant to this Agreement be made in compliance with or be exempt from the requirements of Section 409A, and this Agreement shall be interpreted accordingly. To the extent that the provision of any such payment or benefit pursuant to the terms and conditions of this Agreement would fail to comply with the applicable requirements of Section 409A, the Company and the Executive shall in good faith determine if the parties shall make modifications to the timing or manner of providing such payment and/or benefit to comply with the requirements of Section 409A. Any such modifications made by the Company shall, to the maximum extent permitted in compliance with the requirements of Section 409A, preserve the aggregate monetary face value of such payments and/or benefits provided by this Agreement in the absence of such modification; provided, however, that the Company shall in no event be obligated to pay any interest or other compensation in respect of any delay in the provision of such payments or benefits in order to comply with the requirements of Section 409A. The Executive acknowledges that (i) the provisions of this Section 20 may result in a delay in the time at which payments would otherwise be made pursuant to this Agreement and (ii) the Company is authorized to amend this Agreement, to void or amend any election made by the Executive under this Agreement and/or to delay the payment of any monies and/or provision of any benefits in such manner as may be determined by the Company, in its discretion, to be necessary or appropriate to comply with Section 409A (including any transition or grandfather rules thereunder) without prior notice to or consent of the Executive. The Executive hereby releases and holds harmless the Company, its directors, officers and stockholders from any and all claims that may arise from or relate to any tax liability, penalties, interest, costs, fees or other liability incurred by the Executive as a result of the application of Section 409A.

21.Counterparts. This Agreement may be signed in counterparts, each of which shall be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument.

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IN WITNESS WHEREOF, the parties have executed this Executive Employment Agreement effective as of the Effective Date.

ALBEMARLE CORPORATION

/s/ Melissa H. Anderson    
Name: Melissa H. Anderson
Title: Chief Human Resources Officer

J. KENT MASTERS, JR./s/ J. Kent Masters

EXHIBIT A

The following sets forth the vesting provisions for long-term incentive awards that will be made to J. Kent Masters (“Participant”) during the Term of Employment. Annex A hereto includes relevant defined terms for the provisions set forth below.

Restricted Stock Unit Awards

1.Normal Vesting Schedule. The Restricted Stock Units shall be unvested and subject to forfeiture as of the Grant Date but shall vest in full as of the earlier of (i) December 31, 2025 and (ii) the date a Successor CEO commences employment as the Company’s Chief Executive Officer (such earlier date, the “Vesting Date”), subject to Participant’s continued employment with the Company or an Affiliate through the Vesting Date.

2.Accelerated Vesting Upon a Qualifying Termination Event Prior to a Change in Control. Notwithstanding paragraph 1, if, prior to the Vesting Date and the occurrence of a Change in Control, Participant experiences a Qualifying Termination Event, any unvested portion of the Restricted Stock Units shall become immediately vested upon the date of such Qualifying Termination Event.

3.Accelerated Vesting in Connection with a Change in Control. Notwithstanding paragraph 1, if, prior to the Vesting Date, a Change in Control occurs, the provisions of this paragraph 3 shall apply in addition to the provisions of Article 17 (and related provisions) of the Plan.

a.If no Replacement Award is received by Participant in connection with the Change in Control, the unvested portion of this Award shall become vested as of immediately prior to the consummation of the Change in Control.

b.If a Replacement Award is received by Participant in connection with the Change in Control, such Replacement Award shall be deemed to replace this Award in full satisfaction of the Company’s obligations under this Award; provided, however, that, in the event that the Company’s shares remain traded on the New York Stock Exchange or another established securities market following such Change in Control, this Award shall remain outstanding in accordance with this Agreement except that if Participant experiences a Qualifying Termination Event concurrent with after the date of the Change in Control, then the Replacement Award shall vest in full as of the date of such Qualifying Termination Event.

c.Notwithstanding the foregoing, upon a Change in Control, the Committee may determine that this Award shall be canceled and terminated for consideration in accordance with Article 17.1(e) of the Plan and subject to paragraph 10.

4.Settlement. As soon as practicable (but in no event later than 30 days) after any Restricted Stock Unit has vested, the Company shall deliver to Participant one whole Share in full settlement of such vested Restricted Stock Unit; provided, however, that in

A-1

the event of vesting under paragraph 3(a), such delivery shall instead occur on the earlier of (i) Participant’s “separation from service” (within the meaning of Section 409A of the Code) for any reason and (ii) the Vesting Date.

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Performance Unit Awards

1.Grant Date. On [●] (the “Grant Date”), the Company granted Participant this incentive award (this “Award”) in the form of Performance Units covering a target number of Shares equal to [●] (the “Target Units”), subject to the terms and conditions of the Plan and this Agreement.

2.Normal Vesting Schedule. The Target Units shall be unvested and subject to forfeiture as of the Grant Date but a percentage of the Target Units shall be eligible to vest (if at all) subject to (i) actual achievement of the Performance Goal over the Measurement Period as determined by the Committee in accordance with the table set forth below (the number of Target Units so earned (if any) based on such percentage, the “Earned Units” and, the date of such determination by the Committee, the “Award Date”) and (ii) Participant’s continued employment with the Company or an Affiliate through the earlier of (a) December 31, 2025 and (b) the date a Successor CEO commences employment as the Company’s Chief Executive Officer. Any remaining unvested portion of this Award shall be immediately forfeited without consideration.

Performance Level	Performance Goal Achievement	Percentage of Target Units Earned*
Poor	[●]	[●]%
Threshold	[●]	[●]%
Target	[●]	[●]%
Superior	[●]	[●]%

* If achievement level with respect to the Performance Goal falls between any of the levels above, then the percentage of Target Units earned shall be determined based on linear interpolation. The number of Earned Units will be rounded to the nearest whole number.

3.Accelerated Vesting Upon a Qualifying Termination Event Prior to a Change in Control. Notwithstanding paragraph 2, if, prior to the occurrence of a Change in Control:

a.Participant experiences a Qualifying Termination Event (other than due to Participant’s death or Disability) that occurs prior to the end of the Measurement Period, then the Earned Units (if any) shall vest (if at all) as of the end of the Measurement Period (without regard to the termination of Participant’s employment) based on the actual level of achievement of the Performance Goal over the Measurement Period and the remaining portion of this Award shall be immediately forfeited without consideration;

b.Participant experiences a Qualifying Termination Event due to Participant’s death that occurs (i) on or prior to the six (6)-month anniversary of the Grant Date, then the Target Units shall vest (without regard to the actual achievement of the Performance Goal) as of the date of such Qualifying Termination Event or (ii) after the six (6)-month anniversary of the Grant Date, then the Earned Units (if any) shall vest (if at all) as of the end of the Measurement Period (without regard to Participant’s termination of employment) based on the actual level of achievement of the Performance Goal over the Measurement Period and, in each case, the remaining portion of this Award shall be immediately forfeited without consideration;

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c.Participant experiences a Disability, then the Target Units shall vest (without regard to the actual achievement of the Performance Goal) as of date of such Disability; or

d.Participant experiences any Qualifying Termination Event on or after the end of the Measurement Period, but prior to the Award Date, then 100% of the Earned Units (if any) shall vest (if at all) as of the Award Date and the remaining portion of this Award shall be immediately forfeited without consideration.

4.Accelerated Vesting in Connection with a Change in Control. Notwithstanding paragraph 2, if, prior to the end of the Measurement Period, a Change in Control occurs, the provisions of this paragraph 4 shall apply in addition to the provisions of Article 17 (and related provisions) of the Plan.

a.If no Replacement Award is received by Participant in connection with the Change in Control, then the Target Units shall vest (without regard to the actual achievement of the Performance Goal) as of immediately prior to the consummation of the Change in Control.

b.If a Replacement Award is received by Participant in connection with the Change in Control, such Replacement Award shall be deemed to replace this Award in full satisfaction of the Company’s obligations under this Award; provided, however, that, in the event that the Company’s shares remain traded on the New York Stock Exchange or another established securities market following such Change in Control, this Award shall remain outstanding in accordance with this Agreement, except that if Participant experiences a Qualifying Termination Event (other than due to death or Disability) concurrent with or after the date of the Change in Control, the Target Units shall vest (without regard to the actual achievement of the Performance Goal) as of the date of such Qualifying Termination Event.

c.Notwithstanding the foregoing, upon a Change in Control, the Committee may determine that this Award shall be canceled and terminated for consideration in accordance with Article 17.1(e) of the Plan and subject to paragraph 10.

5.Settlement. In full settlement of any Performance Unit that vests hereunder (whether a Target Unit or Earned Unit), the Company shall deliver to Participant one whole Share as soon as practicable (but in no event later than 90 days) after the end of the Measurement Period; provided, however, that in the event any Performance Unit vests due to Participant’s death or Disability, such delivery shall be made as soon as practicable (but in no event later than 90 days) after Participant’s death or Disability.

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Stock Option Awards

1.Normal Vesting Schedule. The Option shall vest in full as of the earlier of (i) December 31, 2025 and (ii) the date a Successor CEO commences employment as the Company’s Chief Executive Officer (such earlier date, the “Vesting Date”), subject to Participant’s continued employment with the Company or an Affiliate through the Vesting Date.

2.Accelerated Vesting Upon a Qualifying Termination Event Prior to a Change in Control. Notwithstanding paragraph 1, if, prior to the Vesting Date and the occurrence of a Change in Control, Participant experiences a Qualifying Termination Event, any unvested portion of the Option shall vest in full as of the date of such Qualifying Termination Event.

3.Accelerated Vesting in Connection with a Change in Control. Notwithstanding paragraph 1, if, prior to the Vesting Date, a Change in Control occurs, the provisions of this paragraph 3 shall apply in addition to the provisions of Article 17 (and related provisions) of the Plan.

a.If no Replacement Award is received by Participant in connection with the Change in Control, the Option shall vest in full as of immediately prior to the consummation of the Change in Control.

b.If a Replacement Award is received by Participant in connection with the Change in Control, such Replacement Award shall be deemed to replace this Award in full satisfaction of the Company’s obligations under this Award; provided, however, that, in the event that the Company’s shares remain traded on the New York Stock Exchange or another established securities market following such Change in Control, this Award shall remain outstanding in accordance with this Agreement except that if Participant experiences a Qualifying Termination Event concurrent with after the date of the Change in Control, then the Replacement Award shall vest in full as of the date of such Qualifying Termination Event.

c.Notwithstanding the foregoing, upon a Change in Control, the Committee may determine that this Award shall be canceled and terminated for consideration in accordance with Article 17.1(e) of the Plan.

4.Exercisability.

a.The expiration date of the Option is the tenth anniversary of the Grant Date (the “Expiration Date”). The Option shall be forfeited without consideration on, and may not be exercised on or after, the Expiration Date.

b.Upon the vesting of the Option pursuant to paragraph 1 (including in the event of a Successor CEO commencing employment), the Option shall become immediately exercisable and thereafter shall remain exercisable until the Expiration Date; provided, however, that if, after the Option becomes exercisable pursuant to this paragraph 4(b), Participant experiences (i) a Qualifying Termination Event, then the Option shall remain exercisable until the Expiration Date or (ii) a termination for any reason other than a Qualifying Termination Event, then the Option shall cease to be exercisable on the sixtieth (60th) day following such termination of employment. On the date the Option ceases to be exercisable pursuant to this paragraph 4(b), any portion of the Option that remains unexercised shall be forfeited without consideration.

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c.Upon the vesting of any portion of the Option pursuant to paragraph 2, such vested portion of the Option shall first become exercisable on the third anniversary of the Grant Date and thereafter shall remain exercisable until the Expiration Date. On the date the Option ceases to be exercisable pursuant to this paragraph 4(c), any portion of the Option that remains unexercised shall be forfeited without consideration

d.Upon the vesting of any portion of the Option pursuant to paragraph 3, such vested portion of the Option shall be immediately exercisable and thereafter shall remain exercisable until the Expiration Date. On the date the Option ceases to be exercisable pursuant to this paragraph 4(d), any portion of the Option that remains unexercised shall be forfeited without consideration.

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Annex A

1.“Cause” has the meaning set forth in the Employment Agreement as in effect on the date hereof.

2.“Disability” shall mean Participant’s permanent and total disability within the meaning of Section 22(e)(3) of the Code and within the meaning of Treas. Reg. Section 1.409A-3(i)(4)..

3.“Employment Agreement” means the Amended and Restated Executive Employment Agreement, by and between Participant and the Company, dated March [●], 2023.

4.“Good Reason” has the meaning set forth in the Employment Agreement as in effect on the date hereof.

5.“Performance Goal” means the [●]1.

6.“Qualifying Termination Event” shall mean the termination of Participant’s employment by reason of Participant’s death or Disability; termination by the Company or an Affiliate other than for Cause (including upon a termination of employment due to the expiration of the term of Participant’s employment as provided under an individual employment agreement between Participant and the Company) or a voluntary resignation for Good Reason.

7.“Replacement Award” shall mean, in connection with a Change in Control, an award that replaces or substitutes for this Award and meets the following requirements: (a) it has a value at least equal to the value of this Award; (b) it relates to publicly traded equity securities of the Company or its successor in the Change in Control or another entity that is affiliated with the Company or its successor following the Change in Control (including any entity that becomes the direct or indirect parent of the Company in connection with the Change in Control); (c) it provides that if Participant experiences a Qualifying Termination Event concurrent with after the date of the Change in Control, any unvested portion of the Replacement Award shall vest in full as of the date of such Qualifying Termination Event; and (d) its other terms and conditions are not less favorable to Participant than the terms and conditions of this Award (including the provisions that would apply in the event of a subsequent Change in Control). The determination of whether the requirements of a Replacement Award are satisfied shall be made by the Company immediately before the Change in Control, in its sole discretion.

8.“Successor CEO” means an individual who succeeds Participant as a permanent Chief Executive Officer of the Company and who is identified, selected and appointed by the Board in a process with the full participation of Participant (including in his capacity as a

1 Performance goals for the applicable performance unit award to be determined by the Company in the ordinary course and included in the full agreement document.

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member of the Board), excluding any individual who is appointed as interim or acting CEO.

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EXHIBIT B

FORM OF RELEASE

This WAIVER AND RELEASE OF CLAIMS (this “Release”) is entered into on [●], by and between Albemarle Corporation, a Virginia corporation(the “Company”), and J. Kent Masters (“Executive”).

WHEREAS, the Company and Executive entered into the Amended and Restated Executive Employment Agreement, dated as of March [●], 2023 (the “Employment Agreement”) pursuant to which Executive is eligible for payment of the amounts and benefits described in Section 6 of the Employment Agreement (collectively, the “Severance”), and

WHEREAS, defined terms used but not defined herein shall have the meanings given thereto in the Employment Agreement.

NOW, THEREFORE, in consideration of such payments due to Executive under the Employment Agreement, the Company and Executive hereby agree as follows:

1.Waiver and Release. For valuable consideration from the Company, receipt of which is hereby acknowledged, Executive waives, releases, and forever discharges the Company and its current and former parents, subsidiaries, affiliates, divisions, shareholders, owners, members, officers, directors, attorneys, agents, employees, insurers, successors, and assigns, and the Company’s parents’, subsidiaries’, and affiliates’ divisions, shareholders, owners, members, officers, directors, attorneys, agents, employees, insurers, successors, and assigns (collectively, referred to as the “Company Releasees”) from any and all rights, causes of action, claims or demands, whether express or implied, known or unknown, that arise on or before the date that Executive executes this Release, which Executive has or may have against the Company and/or the Company Releasees in connection with Executive’s employment or the termination thereof, including, without limitation, any rights, causes of action, claims, or demands relating to or arising out of the following:

(a)anti-discrimination, anti-harassment, and anti-retaliation laws, such as the Age Discrimination in Employment Act, the Older Workers Benefit Protection Act, and Executive Order 11141, which prohibit employment discrimination based on age; Title VII of the Civil Rights Act of 1964, the Civil Rights Act of 1866 (42 U.S.C. § 1981), the Equal Pay Act, and Executive Order 11246, which prohibit discrimination based on race, color, national origin, religion, or sex (including sexual harassment or sexual abuse); the Genetic Information Nondiscrimination Act, which prohibits discrimination on the basis of genetic information; the Americans With Disabilities Act and §§ 503 and 504 of the Rehabilitation Act of 1973, which prohibit discrimination based on disability; and any other federal, state, or local laws prohibiting employment or wage discrimination;

other employment laws, such as the Worker Adjustment and Retraining Notification Act, which requires that advance notice be given of certain workforce reductions; the Executive Retirement Income Security Act of 1974, which, among other things, protects employee benefits; the Family and Medical Leave Act, which requires employers to provide leaves of absence under certain circumstances; state laws which regulate wage and hour matters, including all forms of compensation, vacation pay, sick pay, compensatory time, overtime, commissions, bonuses, and meal and break periods; state family, medical, and military leave laws, which require employers to provide leaves of absence under certain circumstances; the Sarbanes Oxley Act; and any other federal, state, or local laws relating to employment;

(b)tort, contract, and quasi-contract claims, such as claims for wrongful discharge, physical or personal injury, sexual harassment or sexual abuse, intentional or negligent infliction of emotional distress, fraud, fraud in the inducement, negligent misrepresentation, defamation, invasion of privacy, interference with contract or with prospective economic advantage, breach of express or implied contract, unjust enrichment, promissory estoppel, breach of covenants of good faith and fair dealing, negligent hiring, negligent supervision, negligent retention, and similar or related claims;

all remedies of any type, including, without limitation, damages and injunctive relief, in any action that may be brought on Executive’s behalf against the Company and/or the Company Releasees by any government agency or other entity or person; and

(c)subject to Section 2 of this Release, any compensation or benefits, whether provided for under the Employment Agreement or otherwise.

Executive understands that Executive is releasing claims about which Executive may not know anything at the time Executive executes this Release. Executive acknowledges that it is Executive’s intent to release such unknown claims, even though Executive recognizes that someday Executive might learn new facts relating to Executive’s employment or learn that some or all of the facts Executive currently believes to be true are untrue, and even though Executive might then regret having signed this Release. Nevertheless, Executive acknowledges Executive’s awareness of that risk and agrees that this Release shall remain effective in all respects in any such case. Executive expressly waives all rights Executive might have under any laws intended to protect Executive from waiving unknown claims except as provided otherwise in this Release.

2.Excluded Claims. Notwithstanding anything to the contrary in this Release, this Release, including the waiver and release contained herein, shall not include, adversely affect, alter or extinguish, in each case, (a) any rights of Executive as a shareholder with respect to any shares of Company common stock owned by Executive or as an equity-award or unit award holder with respect to shares of Company common stock in accordance with the terms of the applicable award agreement (as amended and/or restated); (b) awards to Executive from or by a government agency for providing information or any rights or claims that may arise after the date on which Executive executes this Release; (c) any rights or claims for the Severance or to enforce the Employment Agreement (including all rights to accrued benefits) in accordance with its terms; (d) any rights or claims to seek enforcement of the terms and conditions of this Release; (e) any rights to indemnification or to fiduciary liability insurance coverage under the Employment Agreement, the Company’s charter, bylaws or similar agreements; or (f) any rights or claims that cannot be released under applicable law, including Executive’s rights to file a charge with an administrative agency or to participate in an agency investigation, including but not limited to the right to file a charge with, or participate in an investigation or proceeding conducted by, the Equal Employment Opportunity Commission (such rights or claims under clauses (a) to (f), the “Reserved Rights”).

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Executive agrees that the Company and its affiliates have no obligation to hire or rehire Executive at any time in the future. Executive forever releases, waives, and relinquishes any right or claim to be hired by, or to reinstatement with, the Company or its affiliates. Executive agrees that this Release is a lawful, non-discriminatory, and non-retaliatory basis upon which the Company and its affiliates may refuse to hire or rehire Executive.

3.Executive agrees that no promise or inducement to enter into this Release has been offered or made except as set forth herein and that Executive is entering into this Release without any threat or coercion and without reliance on any statement or representation made on behalf of the Company or its affiliates or by any person employed by or representing the Company or its affiliates, except for the written provisions and promises contained in this Release.

The parties agree that damages incurred as a result of a breach of this Release will be difficult to measure. It is, therefore, further agreed that, in addition to the remedy set forth herein or any other remedies, equitable relief will be available in the case of a breach of this Release.

4.The parties agree and acknowledge that this Release, and the settlement and termination of any asserted or unasserted claims against the Company Releasees pursuant to the Release, are not and shall not be construed to be an admission of any violation of any federal, state or local statute or regulation, or of any duty owed by any of the Company Releasees to Executive.

No Other Claims; Representations.

(a)No Claims Have Been Filed. Executive represents and warrants that Executive has filed no claims, lawsuits, charges, grievances, or causes of action of any kind against the Company and/or any of the Company Releasees.

Review Period. Executive represents and warrants that he has been informed that he has the right to consider this Release for a period of forty-five (45) days from receipt, and Executive has signed on the date indicated below after concluding that this Release is satisfactory to Executive.

(b)Representations. Neither the Company, nor any of its directors, employees, or attorneys, has made any representations to Executive concerning the terms or effects of this Release other than those contained herein.

5.Executive acknowledges that Executive may later discover facts different from or in addition to those which Executive knows or believes to be true now, and Executive agrees that, in such event, this Release shall nevertheless remain effective in all respects, notwithstanding such different or additional facts or the discovery of those facts.

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This Release may not be introduced in any legal or administrative proceeding, or other similar forum, except one concerning a breach of this Release (including, for the avoidance of doubt, with respect to the Reserved Rights).

6.If all or any part of this Release is declared by any court or governmental authority to be unlawful or invalid, such unlawfulness or invalidity shall not invalidate any other portion of this Release. Any section or a part of a section declared to be unlawful or invalid shall, if possible, be construed in a manner which will give effect to the terms of the section to the fullest extent possible while remaining lawful and valid.

This Release shall not be altered, amended, or modified except by written instrument executed by the Company and Executive. A waiver of any portion of this Release shall not be deemed a waiver of any other portion of this Release.

7.This Release may be signed in counterparts, each of which shall be deemed an original but all of which, taken together, shall constitute one and the same instrument. A signature made on a faxed or electronically mailed copy of the Release or a signature transmitted by facsimile or electronic mail will have the same effect as an original signature.

This Release shall be governed by and construed and interpreted in accordance with the laws of the State of Virginia without regard to its choice of law principles.

8.Executive also understands that Executive has the right to revoke this Release within seven (7) days after execution, and that this Release will not become effective or enforceable until the revocation period has expired, by giving written notice by regular mail to the following:

Albemarle Corporation

Attention: General Counsel
4250 Congress Street, Suite 900
Charlotte, NC 28209

(Signature Page To Follow)

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IN WITNESS WHEREOF, and intending to be legally bound hereby, the parties execute the foregoing Waiver and Release of Claims.

EXECUTIVE

Date:

COMPANY

By:

Title:

Date:

[Signature Page to Waiver and Release of Claims]

B-1

EX-10.7

Exhibit 10.7

Albemarle Corporation
4250 Congress Street, Suite 900
Charlotte, NC 28209

March 15, 2023

J. Kent Masters, Jr.

Dear Kent:

The Board of Directors (the “Board”) of Albemarle Corporation (the “Corporation”) recognizes that the possibility of a Change in Control of the Corporation exists, and the uncertainty and questions which it may raise among management may result in the departure or distraction of management personnel to the detriment of the Corporation.

The Board has determined that appropriate steps should be taken to reinforce and encourage the continued attention and dedication of members of the Corporation’s management, including yourself, to their assigned duties without distraction in the face of potentially disturbing circumstances arising from a possible Change in Control of the Corporation.

In order to induce you to remain in the employ of the Corporation and in consideration of your continued service to the Corporation pursuant to the Amended and Restated Executive Employment Agreement, between you and the Corporation, effective as of the date hereof (the “Employment Agreement”), the Corporation agrees that you shall receive certain benefits in the event of a Change in Control and certain severance benefits in the event your employment with the Corporation is terminated subsequent to or in anticipation of a Change in Control, as set forth in this Amended and Restated Severance Compensation Agreement (this “Agreement”).

This Agreement amends and restates in its entirety the previous Severance Compensation Agreement, entered into by you and the Corporation on April 20, 2020 (the “Prior Change in Control Agreement”).

1.Definitions.

a.“Cause” has the meaning set forth in the Employment Agreement as in effect on the date hereof.

b.“Change in Control” means the occurrence of any of the following events:

(i)any Person, or “group” as defined in section 13(d)(3) of the Securities Exchange Act of 1934, becomes, directly or indirectly, the Beneficial Owner of 20% or more of the combined voting power of the then outstanding securities of the Corporation that are entitled to vote generally for the election of the Corporation’s directors (the “Voting Securities”) (other than as a result of an issuance of securities by the Corporation approved by Continuing Directors, or open market purchases approved by Continuing Directors at the time the purchases are made). However, if

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any such Person or “group” becomes the Beneficial Owner of 20% or more, but less than 30%, of the Voting Securities, the Continuing Directors may determine, by a vote of at least two-thirds of the Continuing Directors, that the same does not constitute a Change in Control;

(ii)as the direct or indirect result of, or in connection with, a reorganization, merger, share exchange or consolidation (a “Business Combination”), a contested election of directors, or any combination of these transactions, Continuing Directors cease to constitute a majority of the Corporation’s board of directors, or any successor’s board of directors within two years of the last of such transactions; or

(iii)the shareholders of the Corporation approve a Business Combination, unless immediately following such Business Combination, (1) all or substantially all of the Persons who were the Beneficial Owners of the Voting Securities outstanding immediately prior to such Business Combination will Beneficially Own more than 60%of the combined voting power of the then outstanding voting securities entitled to vote generally in the election of directors of the Corporation resulting from such Business Combination (including, without limitation, a company which as a result of such transaction owns the Corporation through one or more Subsidiaries) in substantially the same proportions as their ownership, immediately prior to such Business Combination, of the Voting Securities, (2) no Person (excluding any employee benefit plan or related trust of the Corporation or the Corporation resulting from such Business Combination) will Beneficially Own 30%or more of the combined voting power of the then outstanding voting securities entitled to vote generally in the election of directors of the Corporation resulting from such Business Combination, and (3) at least a majority of the members of the board of directors of the Corporation resulting from such Business Combination will be Continuing Directors.

(iv)For purposes of Paragraph 1.b. and other provisions of this Agreement, the following terms shall have the meanings set forth below:

(A)“Affiliate” and “Associate” shall have the respective meanings ascribed to such terms in Rule 12b-2 of the General Rules and Regulations under the Securities Exchange Act of 1934, as amended and as in effect on the date of this Agreement (the “Exchange Act”).

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(B)“Beneficial Owner” means that a Person shall be deemed the “Beneficial Owner” and shall be deemed to “beneficially own,” any securities:

(i)that such Person or any of such Person’s Affiliates or Associates owns, directly or indirectly;

(ii)that such Person or any of such Person’s Affiliates or Associates, directly or indirectly, has the right to acquire (whether such right is exercisable immediately or only after the passage of time) pursuant to any agreement, arrangement or understanding (whether or not in writing) or upon the exercise of conversion rights, exchange rights, rights, warrants or options, or otherwise; provided, however, that, a Person shall not be deemed to be the “Beneficial Owner” of, or to “beneficially own,” securities tendered pursuant to a tender or exchange offer made by such Person or any such Person’s Affiliates or Associates until such tendered securities are accepted for purchase or exchange;

(iii)that such Person or any of such Person’s Affiliates or Associates, directly or indirectly, has the right to vote, including pursuant to any agreement, arrangement or understanding, whether or not in writing; provided, however, that a Person shall not be deemed the “Beneficial Owner” of, or to “beneficially own,” any security under this subparagraph as a result of an agreement, arrangement or understanding to vote such security if such agreement, arrangement or understanding: (1) arises solely from a revocable proxy given in response to a public proxy solicitation made pursuant to, and in accordance with the applicable provisions of the General Rules and Regulations under the Exchange Act and (2) is not also then reportable by such Person on Schedule 13D under the Exchange Act (or any comparable or successor report); or

(iv)that are beneficially owned, directly or indirectly, by any other Person (or any Affiliate or Associates thereof) with which such Person (or any of such Person’s Affiliates or Associates) has any agreement, arrangement or understanding (whether or not in writing), for the purpose of acquiring, holding, voting (except pursuant to a revocable proxy as described in the proviso to subparagraph (iii) of this definition) or disposing of any voting

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securities of the Corporation provided, however, that notwithstanding any provision of this definition, any Person engaged in business as an underwriter of securities who acquires any securities of the Corporation through such Person’s participation in good faith in a firm commitment underwriting registered under the Securities Act of 1933, shall not be deemed the “Beneficial Owner” of, or to “beneficially own,” such securities until the expiration of forty days after the date of acquisition; and provided, further, that in no case shall an officer or director of the Corporation be deemed (1) the beneficial owner of any securities beneficially owned by another officer or director of the Corporation solely by reason of actions undertaken by such persons in their capacity as officers or directors of the Corporation; or (2) the beneficial owner of securities held of record by the trustee of any employee benefit plan of the Corporation or any Subsidiary of the Corporation for the benefit of any employee of the Corporation or any Subsidiary of the Corporation, other than the officer or director, by reason of any influences that such officer or director may have over the voting of the securities held in the trust.

(C)“Continuing Directors” means any member of the Corporation’s Board, while a member of that Board, and (i) who was a member of the Corporation’s Board prior to the date of this Agreement, or (ii) whose subsequent nomination for election or election to the Corporation’s Board was recommended or approved by a majority of the Continuing Directors, but in each case, excluding any member whose initial nomination or election was in connection with any actual or threatened proxy contest and/or a settlement with any activist investor.

(D)“Person” means any individual, firm, company, partnership or other entity.

(E)“Subsidiary” means, with references to any Person, any company or other entity of which an amount of voting securities sufficient to elect a majority of the directors or Persons having similar authority of such company or other entity is beneficially owned, directly or indirectly, by such Person, or otherwise controlled by such Person.

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c.“Change in Control Period” means (i) the two-year period commencing on a Change in Control and (ii) solely in the event such Change in Control constitutes a “change in control event” within the meaning of Section 409A, subject to the consummation of such Change in Control, the 180-day period prior to the date of a Change in Control (such 180-day period, the “Pre-CIC Period”).

d.“Code” shall mean the Internal Revenue Code of 1986, as amended.

e.“Date of Termination” shall mean:

(i)in case your employment is terminated for Total Disability, thirty (30) days after Notice of Termination is given (provided that you shall not have returned to the full-time performance of your duties during such thirty (30) day period), and

(ii)in all other cases, the date specified in the Notice of Termination (which shall not be less than thirty (30) nor more than sixty (60) days, respectively, from the date such Notice of Termination is given).

f.“Good Reason” has the meaning set forth in the Employment Agreement as in effect on the date hereof.

g.“Incentive Compensation Award” shall mean payment or payments under Incentive Compensation Plans.

h.“Incentive Compensation Plans” shall mean any variable compensation or other incentive compensation plans maintained by the Corporation, in which awards are paid in cash, stock or other property including, but not limited to: (i) the Albemarle Corporation 2017 Incentive Plan, as amended; (ii) any variable compensation plan; or (iii) any successor plan thereto.

i.“Non-Competition Period” means the three-year period following any termination of your employment with the Corporation.

j.“Normal Retirement Date” shall mean the first day of the calendar month next following the date on which a Participant attains the age of 65.

k.“Notice of Termination” shall mean a written notice as provided in Paragraph 14 hereof.

l.“Total Disability” shall mean total physical or mental disability rendering you unable to perform the duties of your employment for a continuous period of six (6) months. Any question as to the existence of your Total Disability upon which you and the Corporation cannot agree shall be determined by a qualified physician not employed by the Corporation and selected by you (or, if you are unable to make such selection, it shall be made by any adult member of your immediate family), and approved by the Corporation (such approval not unreasonably withheld). The determination of such physician made in writing to the Corporation and to you shall be final and conclusive for all purposes of this Agreement.

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2.Compensation Upon Termination. In connection with a Change in Control, you shall be entitled to the following benefits:

a.Termination Benefits. If your employment by the Corporation shall be terminated during the Change in Control Period, and under circumstances that would qualify as a “separation from service” under Section 409A, (a) by reason of your death or Total Disabilityafter you have received a Notice of Termination by the Corporation other than for Cause, (b) by the Corporation other than (1) for Cause or (2) upon the expiration of the Term of Employment (as set forth in your Employment Agreement), or (c) by you for Good Reason, then you shall be entitled to the benefits provided below, without regard to any contrary provision of any plan:

(i)Accrued Payments. The Corporation, not later than the fifth (5th) day following the Date of Termination, shall (a) pay your full base salary and vacation pay accrued through the Date of Termination at the rate in effect at the time the Notice of Termination is given (or at the rate in effect immediately prior to a Change in Control, if such amounts were higher) and (b) reimburse you for any unreimbursed expenses pursuant to the Corporation’s expense reimbursement policy (clauses (a) and (b), together, the “Accrued Benefits”).

(ii)Accrued Annual Incentive Compensation. The Corporation shall pay you, not later than five (5) days following your Date of Termination, the amount of your accrued but unpaid annual Incentive Compensation which consists of the annual cash bonus (a “Prior Year Bonus”). If the Date of Termination is after the end of a Variable Compensation Year, but before such Incentive Compensation for said Variable Compensation Year has been paid, the Corporation shall pay you Incentive Compensation for that Variable Compensation Year based upon actual performance (including with respect to your applicable individual performance metric) as determined by the Corporation prior to the Change in Control in its sole discretion. If an applicable individual performance metric has not been determined as of the Date of Termination, it will be deemed achieved at target level of performance (and, in any event, with any subjective goals treated as attained at not less than target).

In addition, if the Date of Termination is other than the first day of a Variable Compensation Year, the Corporation shall pay you your annual Incentive Compensation for the Variable Compensation Year in which the Date of Termination occurs at the time the Corporation pays such amounts for such year to other eligible employees of the Corporation (no later than March 15th of the following year), in an amount equal to the Incentive Compensation for the year in which the Change in Control occurs determined based on the actual level of performance, multiplied by a fraction, the numerator of which is the total number of days which have elapsed in the current Variable Compensation Year to the Date of Termination, and the denominator of which is three hundred sixty-five (365) (such bonus, the “Prorated Bonus”).

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If there is more than one annual Incentive Compensation Program, your accrued and target annual Incentive Compensation shall be calculated separately for each Program.

For the purpose of this Paragraph 2.a.(ii), “Incentive Compensation Program” means any of the Incentive Compensation Plans defined in Paragraph 1.g and any other plan or program for the payment of annual incentive compensation, variable compensation, bonus, benefits or awards for which you were, or your position was, eligible to participate other than long term incentive equity awards that are addressed under Paragraph 3 of this Agreement; “Incentive Compensation” means any compensation, variable compensation, bonus, benefit or award paid or payable under an annual Incentive Compensation Program; and “Variable Compensation Year” means a calendar or fiscal plan year of an Incentive Compensation Program.

(iii)Insurance Coverage. If you timely elect COBRA coverage for yourself or your eligible dependents under the Corporation’s group medical, dental or vision plans, the Corporation shall pay 100% of the premiums for such coverage at no cost to you until the earliest of (i) the second anniversary of the termination of your employment, (ii) the date you become eligible for comparable coverage under plans under another employer’s policies and (iii) the date you become eligible for coverage under Medicare.

(iv)Retirement Benefits. The Supplemental Pension Benefit Credits made on your behalf under the Albemarle Corporation Executive Deferred Compensation Plan (“EDCP”) as well as all earnings accrued on such amounts, shall be immediately vested and non-forfeitable and shall be paid in accordance with the terms of the EDCP.

(v)Outplacement Counseling. The Corporation shall make available to you, at the Corporation’s expense, outplacement counseling. You may select the organization that will provide the outplacement counseling, however, the Corporation’s obligation to provide you benefits under this subparagraph (v) shall be limited to $25,000. This counseling must be used, if at all, no later than the end of the second calendar year after the year of your Date of Termination.

(vi)Financial Counseling. For each of the calendar year in which your Date of Termination occurs and the immediately following calendar year, the Corporation shall make available to you financial counseling services, which may include tax counseling services, and you may select the organization that will provide you with such services; provided, however, that (i) the Corporation’s obligation to reimburse or provide the benefits under this subparagraph (vi) shall be limited to an amount no greater than $12,500 for each such calendar year and (ii) in the event that your Date of Termination is less than 60 days before the end of the calendar year in which the Date of Termination occurs, then the availability of such benefits shall be available beginning January 1 of the calendar year following such Date of Termination.

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(vii)Severance Payment. The Corporation shall pay as severance pay to you, not later than the fifth (5th) day following the Release Effective Date (as defined below), a lump sum severance payment (the “Severance Payment”) equal to three (3) times the following:

(a)the greater of your annual base compensation which was payable to you by the Corporation immediately prior to the Date of Termination and your annual base compensation which was payable to you by the Corporation immediately prior to a Change in Control (not taking into account any reductions of annual base salary which would constitute Good Reason or were made in the six (6) months prior to the Date of Termination) whether or not such annual base compensation was includible in your gross income for federal income tax purposes; plus

(b)the greater of your target annual variable compensation that was in place immediately prior to a Change in Control (not taking into account any reductions of target annual variable compensation which would constitute Good Reason or made in the six (6) months prior to the Date of Termination) or your target annual variable compensation that was in place immediately prior to the Date of Termination (whether or not such award was includible in your gross income for federal income tax purposes).

The Severance Payment shall be reduced by the amount paid to you under Paragraph 7.b below.

Notwithstanding the foregoing, in the event the termination of employment described in this Paragraph 2.a occurs during the Pre-CIC Period, the amounts payable to you pursuant to this Agreement shall be made without duplication of (i.e., shall be reduced by) the amount of any payments or benefits paid or provided under Section 6(a) of the Employment Agreement, on or within thirty (30) days following the date of the Change in Control.

(viii)Reduction of Payments.

If the payments or benefits to which you will be entitled under this Agreement (referred to in this Paragraph as the “Payments”) would cause you to be liable for the federal excise tax levied on certain “excess parachute payments” under Code Section 4999 (“Excise Tax”), then the Payments shall be reduced (or repaid to the Corporation, if previously paid or provided) as provided below. In no event shall you be entitled to receive any kind of gross-up payment or Excise Tax reimbursement from the Corporation. For purposes of this Paragraph 2.a.(viii), the terms “excess parachute payment” and “parachute payment” will have the meanings assigned to them by Section 280G of the Code.

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If your Payments exceed 2.99 times your “Base Amount” (as defined in Code Section 280G), a “reduced payment amount” shall be calculated by reducing the Payments to the minimum extent necessary so that no portion of any Payment, as so reduced or repaid, constitutes an “excess parachute payment.” If it is determined that any Excise Tax is payable by you, you shall receive either (i) all Payments otherwise due to you or (ii) the reduced payment amount described in the preceding sentence, whichever will provide you with the greater after-tax economic benefit taking into account for these purposes any applicable Excise Tax and any applicable income and employment taxes at the highest marginal rate.

Whether Payments to you are to be reduced, pursuant to this Paragraph 2.a.(viii), and the extent to which they are to be so reduced, will be determined by the 280G Firm (as defined below) and the Corporation will notify you in writing of its determination. Any such notice shall describe in reasonable detail the basis of the 280G Firm’s determination. The Corporation will retain, at its expense, a nationally recognized accounting firm or compensation consultant selected by the Corporation and reasonably acceptable to you to review the matter (the “280G Firm”). Such 280G Firm shall meet with you and your representatives and the Corporation and its representatives and thereafter render its written opinion as to the extent, if any, that in such firm’s reasonable judgment the payments and benefits otherwise due to you hereunder must be reduced hereunder. The decision of such firm concerning the extent of any required reduction in such payments and benefits shall be final and binding on both you and the Corporation absent manifest error.

The Corporation and you shall cooperate in case of a potential change in ownership or control of the Corporation to consider alternatives to mitigate any Section 280G exposure, including the valuation of any noncompetition covenants and/or acceleration of incentive compensation, although the Corporation cannot guarantee any such alternatives will be available or approved by the Corporation and neither you nor the Corporation shall be obligated to enter into them.

(ix)No Duty to Mitigate. You shall not be required to mitigate the amount of any payment provided for in this Paragraph 2 by seeking other employment or otherwise, nor shall the amount of any payment or benefit hereunder be reduced by any compensation earned by you as the result of employment by another employer or by retirement benefits after the Date of Termination.

(x)Six Month Delay. If, as of the Date of Termination, you are considered a Specified Employee (as such term is defined in Section 409A), any payments or benefits due upon, or within the six month period following and due to, a termination of your employment that constitutes a “deferral of compensation” within the meaning of Section 409A and which do not otherwise qualify under the exemptions under Treas. Reg. Section 1.409A-1, shall be paid or provided to you in a lump sum on the earlier of (i) the first day of the month following the six month anniversary of your separation from service (as such term is defined in Section 409A) for any reason other than death, and (ii) the date of your death, and any remaining payments and benefits shall be paid or provided in accordance with the normal payment dates specified for such payment or benefit.

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(xi)Relocation. The Corporation shall reimburse you for your expenses incurred in connection with relocating from your Charlotte, North Carolina residence to another residence within the United States after your termination of employment, provided such relocation occurs by the end of the second year after the year that contains your Date of Termination. Expenses covered under this Paragraph shall not include any expenses incurred in connection with the sale of your residence purchased in Charlotte, North Carolina other than any real estate closing costs and commissions owed in connection with selling the Charlotte residence. For purposes of clarification only, the Corporation shall have no obligation to purchase your residence in Charlotte. Except as otherwise provided in this subparagraph (xi), the benefits provided for hereunder shall be in accordance with the Corporation’s U.S. Domestic Relocation Policy. The benefits described in this subparagraph (xi) must be used, if at all, no later than the end of the second year after the year that contains your Date of Termination, and the reimbursement of expenses must be paid to you no later than the end of the third year after the year that contains the Date of Termination.

b.Payments While Disabled. During any period prior to the Date of Termination and during the Change in Control Period (other than the Pre-CIC Period) that you are unable to perform your full‑time duties with the Corporation, whether as a result of your Total Disability or as a result of a physical or mental disability that is not total or is not permanent and therefore is not a Total Disability, you shall continue to receive your base salary at the rate in effect at the commencement of any such period, together with all other compensation and benefits that are payable or provided under the Corporation’s benefit plans, including its disability plans. After the Date of Termination, your benefits shall be determined in accordance with the Corporation’s benefits, insurance and other applicable programs. The compensation and benefits, other than salary, payable or provided pursuant to this Paragraph 2.b shall be (x) the greater of (1) the amounts computed under the disability benefit plans, insurance and other applicable programs in effect immediately prior to a Change in Control and (2) the amounts computed under the disability benefit plans, insurance and other applicable programs in effect at the time the compensation and benefits are paid, (y) the Prior Year Bonus and (z) the Prorated Bonus for the year of termination.

c.Payments if Termination by the Corporation for Cause, or by You Other Than With Good Reason. If your employment is terminated by the Corporation for Cause or by you other than with Good Reason, the Corporation shall pay you (x) your accrued but unpaid base salary and vacation pay through the Date of Termination, at the rate in effect at the time Notice of Termination is given and (y) solely upon a resignation by you other than with Good Reason, the Prior Year Bonus. You shall receive any payment due under this Paragraph 2.c on the Corporation’s first regular payroll date following the Date of Termination. Thereafter the Corporation shall have no further obligation to you under this Agreement.

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d.After Death. If your employment shall be terminated by reason of your death, your benefits shall be determined in accordance with the Corporation’s benefits and insurance programs then in effect except that if your death occurs after the execution of a definitive agreement that results in a Change in Control, then your beneficiary shall be entitled to the benefits under this Agreement as if the Corporation issued you a Notice of Termination terminating your employment without Cause thirty (30) days after a Change in Control. The compensation and benefits, other than the benefits determined in accordance with the immediately preceding sentence, payable or provided pursuant to this Paragraph 2.d shall consist of (x) the Prior Year Bonus and (y) the Prorated Bonus in the year of termination.

e.Termination by the Corporation without Cause upon Expiration of the Term of Employment. If, during the Change in Control Period (other than the Pre-CIC Period), your employment is terminated by the Corporation without Cause upon expiration of the Term of Employment, then you shall be entitled to the benefits provided below:

(i)The Corporation shall pay you the Accrued Benefits.

(ii)If the Date of Termination is on or after the end of a compensation year under the AIP (as defined in the Employment Agreement), but before the AIP bonuses for such AIP year have been paid, the Corporation shall pay you an AIP bonus for such AIP year based upon the calculated company score and your individual performance modifier set by the Corporation at the time the Corporation sets the AIP bonus amounts for such year for all other eligible employees of the Corporation (with any subjective individual goals being treated as attained at not less than target).

(iii)Your outstanding equity awards under the LTIP (as defined in your Employment Agreement) shall be treated in accordance with the terms of Section 4(e) of your Employment Agreement and the applicable Notices of Award for such awards.

(iv)The Corporation shall reimburse you for your expenses incurred in connection with relocating from your Charlotte, North Carolina residence to another residence within the United States after your termination of employment. Expenses covered under this subparagraph (iv) shall not include any expenses incurred in connection with your sale of a residence purchased in Charlotte, North Carolina other than any real estate closing costs and commissions owed in connection with selling the Charlotte residence. For purposes of clarification only, the Corporation shall have no obligation to purchase your residence in Charlotte. Except as otherwise provided in this subparagraph (iv), the benefits provided for hereunder shall be in accordance with the Corporation’s U.S. Domestic Relocation Policy. The benefits described in this subparagraph (iv) must be used, if at all, no later than the end of the second year after the year that contains the Date of Termination, and the reimbursement of expenses must be paid to you no later than the end of the third year after the year that contains the Date of Termination.

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(v)For each of the calendar year in which your Date of Termination occurs and the immediately following calendar year, the Corporation shall make available to you financial counseling services, which may include tax counseling services, and you may select the organization that will provide you with such services; provided, however, that (i) the Corporation’s obligation to reimburse or provide the benefits under this subparagraph (vi) shall be limited to an amount no greater than $12,500 for each such calendar year and (ii) in the event that your Date of Termination is less than 60 days before the end of the calendar year in which the Date of Termination occurs, then the availability of such benefits shall be available beginning January 1 of the calendar year following such Date of Termination.

Payments and benefits under this Section 2 are intended to be paid or provided, as the case may be, without duplication of amounts paid or benefits provided to you under your Employment Agreement. In the event that you received payments or benefits under the corresponding provisions of your Employment Agreement as a result of a termination by the Corporation without Cause or by you with Good Reason for periods prior to the a Change in Control, then the forgoing amounts will be reduced accordingly, with any additional amounts payable hereunder paid in full on or within five (5) days of the Change in Control, and without the requirement of execute a new Release of claims.

3.Treatment of Long Term Incentive Plan Awards Upon a Change in Control. Upon a Change in Control, any outstanding long term incentive awards granted under one or more of the Incentive Compensation Plans shall be treated in accordance with the terms of the Notices granting such awards and the vesting provisions with regard to such awards set forth in your Employment Agreement. In the event a Notice of Award does not provide for how the award will be treated upon a Change in Control, the provisions of the applicable Plan shall govern.

4.Term of Agreement. This Agreement shall commence on the date hereof and shall continue in effect through December 31, 2025; provided, however, that commencing on January 1, 2026 and each January 1 thereafter, the term of this Agreement shall automatically be extended for one additional year unless, not later than September 30 of the preceding year, the Corporation or you shall have given notice that it or you do not wish to extend this Agreement. Notwithstanding any such notice by the Corporation or you not to extend the Agreement, if a Change in Control shall have occurred (or a definitive transaction agreement, the consummation of which would result in a Change in Control, shall have been signed) prior to such termination of this Agreement, the attempted termination of this Agreement shall be deemed ineffective and this Agreement shall continue in full force and effect. In any event, the term of this Agreement shall expire on the second (2nd) anniversary of the date of the Change in Control. In addition, this Agreement shall terminate if your employment is terminated by you with Good Reason or by the Corporation without Cause prior to a Change in Control and no Change in Control occurs within 180 days following such termination.

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5.Successors; Binding Agreement.

a.Successors of the Corporation. The Corporation will require any Successor to all or substantially all of the business and/or assets of the Corporation to expressly assume and agree, by an agreement in form and substance satisfactory to you, to perform this Agreement in the same manner and to the same extent that the Corporation would be required to perform it if no such succession had taken place. Failure of the Corporation to obtain such assent at least five business days prior to the time a person becomes a Successor (or where the Corporation does not have at least five business days advance notice that a person may become a Successor, within three business days after having notice that such person may become or has become a Successor) shall constitute Good Reason by you and, if a Change in Control has occurred or thereafter occurs, shall entitle you immediately to the benefits provided in Paragraph 2.a hereof upon delivery by you of a Notice of Termination which the Corporation, by executing this Agreement, hereby assents to. For purposes of this Agreement, “Successor” shall mean any person that purchases all or substantially all of the assets of the Corporation or the Surviving Corporation (and Parent Corporation, if applicable) or obtains or succeeds to, or has the practical ability to control (either immediately or with the passage of time), the Corporation’s business directly, by merger or consolidation, or indirectly, by purchase of voting securities of the Corporation or by acquisition of rights to vote voting securities of the Corporation or otherwise, including but not limited to any person or group that acquires the beneficial ownership or voting rights described in Paragraph 1.b.(ii).

b.Your Successor. This Agreement shall inure to the benefit of and be enforceable by your personal or legal representatives, executors, administrators, successors, heirs, distributees, devises and legatees. If you should die following your Date of Termination while any amount would still be payable to you hereunder if you had continued to live, all such amounts, unless otherwise provided herein, shall be paid in accordance with the terms of this Agreement to your devisee, legatee or other designee or, if there is no such designee, to your estate.

6.Confidentiality. You acknowledge and agree that the covenants contained in Section 5 of the Employment Agreement are incorporated herein by reference (such covenants, the “Confidentiality Covenants”).

7.Restrictive Covenants; Consideration.

a.You acknowledge and agree that the covenants contained in Section 8 of the Employment Agreement are incorporated herein by reference (such covenants, the “Restrictive Covenants”).

b.In consideration for your agreement to the covenants incorporated by reference in Paragraph 7.a, the Corporation shall pay you, not later than the fifth (5th) day following the Release Effective Date, the amount determined to be the value of your agreement to the Restrictive Covenants during the Non-Competition Period (the “Non-Competition Payment”); provided that, for the avoidance of doubt, the Non-Competition Payment shall not be a value greater than the Severance Payment. The value of your Non-Competition Payment for these purposes shall be determined by an unrelated third party in the business of valuing non-competition payments (the “Valuation Firm”). All costs for obtaining and defending the valuation shall be borne by the Corporation.

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The payment made to you pursuant to this Paragraph 7 is intended to constitute reasonable compensation for purposes of the Code. You shall notify the Corporation in writing of any written claim, objection, litigation, assessment, etc. by any federal, state, or local taxing authority regarding the Non-Competition Payment and its treatment as reasonable compensation under the Code. The notification shall apprise the Corporation of the nature of such claim and shall include a copy of any written correspondence from the relevant taxing authority. Such notification shall be given as soon as practicable but no later than thirty (30) business days after you actually receive notice in writing of such claim. The Corporation shall be responsible for hiring qualified legal counsel and other professionals acceptable to you to defend any challenge and pursue litigation regarding the Non-Competition Payment’s status as reasonable compensation under the Code until the matter is concluded. Any expenditure by the Corporation in any year to defend against the claim shall not have any impact on the expenses the Corporation may incur in defending against the claim in any subsequent year. The Corporation shall pay any expenses related to defense of the claim no later than the year after the year the expense was incurred. The obligation of the Corporation to defend against any claim may not be subject to liquidation or exchanged for any other benefit. The Corporation’s obligations under this Paragraph 7 shall be performed by the Corporation in good faith.

8.Remedies.

a.You acknowledge that the restrictions contained in the Confidentiality Covenants and the Restrictive Covenants above are necessary to protect the Corporation’s confidential and proprietary information, trade secrets, intellectual property and other legally protectable business information; and you further acknowledge and agree that each and every restriction in the Confidentiality Covenants and the Restrictive Covenants is reasonable in all respects, including duration, territory and scope of activity.

b.You agree that the restrictions contained in the Confidentiality Covenants and the Restrictive Covenants above shall be construed as separate agreements independent of any other provision of this Agreement or any other agreement between you and the Corporation. To the extent that any restriction of the Confidentiality Covenants and the Restrictive Covenants is determined by any court of competent jurisdiction to be unenforceable, you and the Corporation expressly agree and intend that such restriction be reduced in scope to the extent permitted by law, and that such remaining restriction be enforced, and that the other restrictions of the Confidentiality Covenants and the Restrictive Covenants remain in full force and effect.

c.You agree that the existence of any claim or cause of action by you against the Corporation, under this Agreement or otherwise, shall not constitute a defense to the enforcement by the Corporation of the covenants and restrictions in the Confidentiality Covenants and the Restrictive Covenants .

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d.You acknowledge and agree that the injury the Corporation will suffer in the event of the breach by you of any of the Confidentiality Covenants and the Restrictive Covenants will cause the Corporation irreparable injury that cannot be adequately ascertained or compensated by monetary damages alone. Therefore, you agree that the Corporation, without limiting any other legal or equitable remedies available to it, shall be entitled to obtain equitable relief by injunction or otherwise, without the posting of any bond, from any court of competent jurisdiction, including, without limitation, injunctive relief to prevent your failure to comply with the terms and conditions the Confidentiality Covenants and the Restrictive Covenants. The periods of time referenced in each of the Restrictive Covenants shall be tolled on a day-for-day basis for each day during which you violate the Restrictive Covenants in any respect, so that you are restricted from engaging in the activities prohibited by the Restrictive Covenants for the full time period.

9.Notice to Corporation to Cure. In the event that you believe that you have a Good Reason, you shall notify the Corporation in writing of such fact and the reasons therefore no later than 90 days after your knowledge that the relevant event has occurred. The Corporation may within thirty (30) days after your notice, elect to take such steps that would be necessary so that you would no longer have a Good Reason. If the Corporation has not cured the basis for Good Reason, you may terminate employment for Good Reason within sixty (60) days following the end of the cure period. Failure by you to satisfy the requirements of the first sentence of this Paragraph 9 will result in there not being any Good Reason for purposes of this Agreement. Conversely, in the event that the Corporation believes that you have engaged in conduct constituting Cause or any material breach of the terms and conditions of the Confidentiality Covenants and the Restrictive Covenants, the Corporation shall notify you in writing of such fact and the reasons therefore no later than 90 days after the Corporation’s knowledge that relevant event has occurred. You may within thirty (30) days after your notice, elect to take such steps that would be necessary so that Cause for termination of your employment by the Corporation would no longer exist. Failure of the Corporation to satisfy the requirements of the fifth sentence of this Paragraph 9 will result in there not being any Cause for termination of your employment by the Corporation for purposes of this Agreement.

10.Relationship to Other Agreements. To the extent that any provision of any other agreement between the Corporation and you shall limit, qualify or be inconsistent with any provision of this Agreement, then for purposes of this Agreement, while the same shall remain in force, the provision of this Agreement shall control and such provision of such other agreement, including the Prior Change in Control Agreement, shall be deemed to have been superseded, and to be of no force or effect, as if such other agreement had been formally amended to the extent necessary to accomplish such purpose. Notwithstanding the foregoing, nothing in this Agreement shall supersede any provision of the Employment Agreement except as expressly provided in the Employment Agreement.

11.Nature of Payments. All payments to you under this Agreement shall be considered severance payments in consideration of your past service to the Corporation.

12.Validity. If any provision or term (or part thereof) of this Agreement shall be, or be found by any authority or court of competent jurisdiction to be, invalid, illegal or unenforceable, such invalidity, illegality or unenforceability shall not affect any other provision or term (or part thereof) in that jurisdiction or the whole of the Agreement in any other jurisdiction, all of which shall remain in full force and effect.

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13.Counterparts. This Agreement may be executed in several counterparts, each of which shall be deemed to be an original but all of which together will constitute one and the same instrument.

14.Notice. Any purported termination of your employment by the Corporation or by you following a Change in Control shall be communicated to the other party by a Notice of Termination. A Notice of Termination shall indicate the specific termination provision in this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of your employment under the provision so indicated. For the purpose of this Agreement, notices and all other communications provided for in the Agreement shall be in writing and shall be deemed to have been duly given when delivered or mailed by United States registered mail, return receipt requested, postage prepaid, addressed to the respective addresses set forth on the first page of this Agreement, provided that all notices to the Corporation shall be directed to the attention of the Board of the Corporation with a copy to the Secretary and General Counsel of the Corporation or to such other address as either party may have furnished to the other in writing in accordance herewith, except that notice of change of address shall be effective only upon receipt.

15.Fees and Expenses. The Corporation shall pay all legal fees and related expenses incurred by you: (i) as a result of your termination following a Change in Control, (ii) in seeking to obtain or enforce any right or benefit provided by this Agreement (including all fees and expenses, if any, incurred in contesting or disputing any such termination or incurred by you in seeking advice in connection therewith), (iii) in making the determinations under Paragraph 2.a.(viii), (iv) in seeking advice to determine whether you have a Good Reason and providing the notice to the Corporation under Paragraph 9, (v) and contesting any claim by the Corporation under Paragraph 8; provided that such fees are incurred no later than the end of the second calendar year after the year of your Date of Termination.The Corporation shall pay or reimburse you for the reasonable cost of your attorney’s fees incurred in the negotiation of this Agreement and related agreements, within thirty (30) days of receipt of documentation reasonably satisfactory to the Corporation of the incurrence of such attorney’s fees.]

16.Release. In order to receive payment of the amounts under Paragraph 2.a.(ii), (iii), (iv), (v), (vi) and (vii) and Paragraph 2.g.(ii) and (iv), you shall execute and deliver to the Corporation a General Release in the form reasonably attached hereto as Exhibit A. Such General Release must be executed and become effective and irrevocable within the sixty (60)-day period following your termination (such effective date, the “Release Effective Date”), provided, however, that to the extent any amounts payable under Paragraph 2.a.(ii), (iii), (iv), (v), (vi) or (vii) or Paragraph 2.g.(ii) or (iv) constitute deferred compensation for purposes of Section 409A, and the sixty (60)-day period referred to herein shall commence in one tax year and end in the subsequent tax year, the payments described in this Paragraph 16 shall be made solely in the subsequent tax year.

17.Survival. The respective obligations of, and benefits afforded to, the Corporation and you as provided in Paragraphs 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 15 and 16 of this Agreement shall survive termination of this Agreement.

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18.Miscellaneous. No provision of this Agreement may be modified, waived or discharged unless such waiver, modification or discharge is agreed to in writing and signed by you and such officer as may be specifically designated by the Board. No waiver by either party hereto at any time of any breach by the other party hereto of, or compliance with, any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time. No agreements or representations, oral or otherwise, express or implied, with respect to the subject matter hereof have been made by either party which are not expressly set forth in this Agreement.

19.Governing Law. The validity, interpretation, construction and performance of this Agreement shall be governed by the laws of the State of Virginia.

20.Section 409A Compliance.

a.The intent of the parties is that payments and benefits under this letter are either exempt from or comply with Section 409A of the Internal Revenue Code (“Section 409A”), and this letter will be interpreted accordingly. The Corporation believes that certain payments under this Agreement may constitute “deferred compensation” within the meaning of Section 409A of the Code, and it is the intention and belief of the Corporation that, to the extent required to avoid taxes or penalties under Section 409A of the Code, the payments provided under this Agreement comply in all respects with Section 409A of the Code, and all payments under this Agreement shall be construed and interpreted in a manner consistent with the requirements for avoiding taxes and penalties under Section 409A of the Code. To the extent that the Corporation and you in good faith determines that any provision of this Agreement would cause you to incur any additional tax or interest under Section 409A, the Corporation and you shall reform such provision to attempt to comply with or be exempt from Section 409A with your consent. To the extent that any provision hereof is modified in order to comply with Section 409A, such modification shall be made in good faith and shall, to the maximum extent reasonably possible, maintain the original intent and economic benefit to you and the Corporation without violating the provisions of Section 409A.

In no event may you, directly or indirectly, designate the calendar year of any payment to be made under this Agreement or otherwise which constitutes a “deferral of compensation” within the meaning of Section 409A. References in this Agreement to a “termination,” “termination of employment” or similar terms shall mean “separation from service” (within the meaning of Section 409A of the Code).

b.If, at the time of your “separation from service” (within the meaning of Section 409A of the Code), (i) you are a “specified employee” (within the meaning of Section 409A of the Code and using the identification methodology selected by the Corporation from time to time) and (ii) the Corporation shall make a good faith determination that an amount payable pursuant to this Agreement constitutes deferred compensation (within the meaning of Section 409A of the Code) the payment of which is required to be delayed pursuant to the six-month delay rule set forth in Section 409A of the Code in order to avoid taxes or penalties under Section 409A of the Code, then the Corporation shall not pay such amount on the otherwise scheduled payment date but shall instead pay it on the first business day after such six-month period (the “Delayed Payment Date”). Except as

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otherwise determined by the Corporation in its sole discretion, such amount shall be paid without interest.

c.In the event that all or any of the health care benefits to be provided pursuant to this Agreement as a result of your “separation from service” constitute “deferred compensation” under Section 409A, the Corporation shall provide for such benefits constituting such deferred compensation in a manner that complies with Section 409A. To the extent necessary to comply with Section 409A of the Code, the Corporation shall determine the health care premium cost necessary to provide such benefits constituting deferred compensation for the applicable coverage period and shall pay such premium cost that becomes due and payable during the applicable coverage period on the applicable due date for such premiums; provided, however, that if you are a “specified employee”, the Corporation shall not pay any such premium cost until the Delayed Payment Date. If the Corporation’s payment pursuant to the previous sentence is subject to a Delayed Payment Date, you shall pay the premium cost otherwise payable by the Corporation prior to the Delayed Payment Date, and on the Delayed Payment Date the Corporation shall reimburse you for such Corporation premium cost paid by you and shall pay the balance of the Corporation’s premium cost necessary to provide such benefit coverage for the remainder of the applicable coverage period as and when it becomes due and payable over the applicable period.

d.To the extent that any reimbursements payable to you pursuant to this Agreement are subject to the provisions of Section 409A, such reimbursements shall be paid to you no later than December 31 of the year following the year in which the cost was incurred; the amount of expenses reimbursed in one year shall not affect the amount eligible for reimbursement in any subsequent year; and your right to reimbursement under this Agreement will not be subject to liquidation or exchange for another benefit.

e.Your right to receive any installment payments payable hereunder shall be treated as a right to receive a series of separate payments and, accordingly, each such installment payment shall at all times be considered a separate and distinct payment for purposes of Section 409A.

f.The vesting of any stock-based compensation awards which constitute Section 409A “deferred compensation” and are held by you, if you are a Specified Employee, shall be accelerated in accordance with this Agreement to the extent applicable; provided, however, that the payment in settlement of any such awards shall occur on the Delayed Payment Date to the extent required by Section 409A

21.Amendment. No amendment to this Agreement shall be effective unless in writing and signed by both you and the Corporation.

22.Headings; Construction. The headings used in this Agreement have been inserted for convenience of reference only and do not define or limit the provisions hereof. Any Attachments to this Agreement are incorporated herein by reference and shall be deemed a part of it.

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If this letter sets forth our agreement on the subject matter hereof, kindly sign and return to the Corporation the enclosed copy of this letter which will then constitute our agreement on this subject.

Sincerely,

ALBEMARLE CORPORATION
By	/s/ Melissa H. Anderson
Name:	Melissa H. Anderson, Chief Human Resources Officer

Agreed to this 15th day
of March, 2023

/s/ J. Kent Masters, Jr.
J. Kent Masters, Jr.

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EXHIBIT A

FORM OF RELEASE

This WAIVER AND RELEASE OF CLAIMS (this “Release”) is entered into on [●], by and between Albemarle Corporation, a Virginia corporation(the “Company”), and J. Kent Masters (“Executive”).

WHEREAS, the Company and Executive entered into the Amended and Restated Severance Compensation Agreement, dated as of March 15, 2023 (the “Severance Agreement”) pursuant to which Executive is eligible for payment of the amounts and benefits described in Section 2 of the Severance Agreement (collectively, the “Severance”), and

WHEREAS, defined terms used but not defined herein shall have the meanings given thereto in the Severance Agreement.

NOW, THEREFORE, in consideration of such payments due to Executive under the Severance Agreement, the Company and Executive hereby agree as follows:

1.Waiver and Release. For valuable consideration from the Company, receipt of which is hereby acknowledged, Executive waives, releases, and forever discharges the Company and its current and former parents, subsidiaries, affiliates, divisions, shareholders, owners, members, officers, directors, attorneys, agents, employees, insurers, successors, and assigns, and the Company’s parents’, subsidiaries’, and affiliates’ divisions, shareholders, owners, members, officers, directors, attorneys, agents, employees, insurers, successors, and assigns (collectively, referred to as the “Company Releasees”) from any and all rights, causes of action, claims or demands, whether express or implied, known or unknown, that arise on or before the date that Executive executes this Release, which Executive has or may have against the Company and/or the Company Releasees in connection with Executive’s employment or the termination thereof, including, without limitation, any rights, causes of action, claims, or demands relating to or arising out of the following:

a.anti-discrimination, anti-harassment, and anti-retaliation laws, such as the Age Discrimination in Employment Act, the Older Workers Benefit Protection Act, and Executive Order 11141, which prohibit employment discrimination based on age; Title VII of the Civil Rights Act of 1964, the Civil Rights Act of 1866 (42 U.S.C. § 1981), the Equal Pay Act, and Executive Order 11246, which prohibit discrimination based on race, color, national origin, religion, or sex (including sexual harassment or sexual abuse); the Genetic Information Nondiscrimination Act, which prohibits discrimination on the basis of genetic information; the Americans With Disabilities Act and §§ 503 and 504 of the Rehabilitation Act of 1973, which prohibit discrimination based on disability; and any other federal, state, or local laws prohibiting employment or wage discrimination;

other employment laws, such as the Worker Adjustment and Retraining Notification Act, which requires that advance notice be given of certain workforce reductions; the Executive Retirement Income Security Act of 1974, which, among other things, protects employee benefits; the Family and Medical Leave Act, which requires employers to provide leaves of absence under certain circumstances; state laws which regulate wage and hour matters, including all forms of compensation, vacation pay, sick pay, compensatory time, overtime, commissions, bonuses, and meal and break periods; state family, medical, and military leave laws, which require employers to provide leaves of absence under certain circumstances; the Sarbanes Oxley Act; and any other federal, state, or local laws relating to employment;

b.tort, contract, and quasi-contract claims, such as claims for wrongful discharge, physical or personal injury, sexual harassment or sexual abuse, intentional or negligent infliction of emotional distress, fraud, fraud in the inducement, negligent misrepresentation, defamation, invasion of privacy, interference with contract or with prospective economic advantage, breach of express or implied contract, unjust enrichment, promissory estoppel, breach of covenants of good faith and fair dealing, negligent hiring, negligent supervision, negligent retention, and similar or related claims;

all remedies of any type, including, without limitation, damages and injunctive relief, in any action that may be brought on Executive’s behalf against the Company and/or the Company Releasees by any government agency or other entity or person; and

c.subject to Section 2 of this Release, any compensation or benefits, whether provided for under the Severance Agreement or otherwise.

Executive understands that Executive is releasing claims about which Executive may not know anything at the time Executive executes this Release. Executive acknowledges that it is Executive’s intent to release such unknown claims, even though Executive recognizes that someday Executive might learn new facts relating to Executive’s employment or learn that some or all of the facts Executive currently believes to be true are untrue, and even though Executive might then regret having signed this Release. Nevertheless, Executive acknowledges Executive’s awareness of that risk and agrees that this Release shall remain effective in all respects in any such case. Executive expressly waives all rights Executive might have under any laws intended to protect Executive from waiving unknown claims except as provided otherwise in this Release.

2.Excluded Claims. Notwithstanding anything to the contrary in this Release, this Release, including the waiver and release contained herein, shall not include, adversely affect, alter or extinguish, in each case, (a) any rights of Executive as a shareholder with respect to any shares of Company common stock owned by Executive or as an equity-award or unit award holder with respect to shares of Company common stock in accordance with the terms of the applicable award agreement (as amended and/or restated); (b) awards to Executive from or by a government agency for providing information or any rights or claims that may arise after the date on which Executive executes this Release; (c) any rights or claims for the Severance or to enforce the Severance Agreement (including all rights to accrued benefits) in accordance with its terms; (d) any rights or claims to seek enforcement of the terms and conditions of this Release; (e) any rights to indemnification or to fiduciary liability insurance coverage under the Severance Agreement, the Company’s charter, bylaws or similar agreements; or (f) any rights or claims that cannot be released under applicable law, including Executive’s rights to file a charge with an administrative agency or to participate in an agency investigation, including but not limited to the right to file a charge with, or participate in an investigation or proceeding conducted by, the Equal Employment Opportunity Commission (such rights or claims under clauses (a) to (f), the “Reserved Rights”).

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Executive agrees that the Company and its affiliates have no obligation to hire or rehire Executive at any time in the future. Executive forever releases, waives, and relinquishes any right or claim to be hired by, or to reinstatement with, the Company or its affiliates. Executive agrees that this Release is a lawful, non-discriminatory, and non-retaliatory basis upon which the Company and its affiliates may refuse to hire or rehire Executive.

3.Executive agrees that no promise or inducement to enter into this Release has been offered or made except as set forth herein and that Executive is entering into this Release without any threat or coercion and without reliance on any statement or representation made on behalf of the Company or its affiliates or by any person employed by or representing the Company or its affiliates, except for the written provisions and promises contained in this Release.

The parties agree that damages incurred as a result of a breach of this Release will be difficult to measure. It is, therefore, further agreed that, in addition to the remedy set forth herein or any other remedies, equitable relief will be available in the case of a breach of this Release.

4.The parties agree and acknowledge that this Release, and the settlement and termination of any asserted or unasserted claims against the Company Releasees pursuant to the Release, are not and shall not be construed to be an admission of any violation of any federal, state or local statute or regulation, or of any duty owed by any of the Company Releasees to Executive.

No Other Claims; Representations.

a.No Claims Have Been Filed. Executive represents and warrants that Executive has filed no claims, lawsuits, charges, grievances, or causes of action of any kind against the Company and/or any of the Company Releasees.

Review Period. Executive represents and warrants that he has been informed that he has the right to consider this Release for a period of forty-five (45) days from receipt, and Executive has signed on the date indicated below after concluding that this Release is satisfactory to Executive.

b.Representations. Neither the Company, nor any of its directors, employees, or attorneys, has made any representations to Executive concerning the terms or effects of this Release other than those contained herein.

5.Executive acknowledges that Executive may later discover facts different from or in addition to those which Executive knows or believes to be true now, and Executive agrees that, in such event, this Release shall nevertheless remain effective in all respects, notwithstanding such different or additional facts or the discovery of those facts.

This Release may not be introduced in any legal or administrative proceeding, or other similar forum, except one concerning a breach of this Release (including, for the avoidance of doubt, with respect to the Reserved Rights).

6.If all or any part of this Release is declared by any court or governmental authority to be unlawful or invalid, such unlawfulness or invalidity shall not invalidate any other portion of this Release. Any section or a part of a section declared to be unlawful or invalid shall, if possible, be construed in a manner which will give effect to the terms of the section to the fullest extent possible while remaining lawful and valid.

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This Release shall not be altered, amended, or modified except by written instrument executed by the Company and Executive. A waiver of any portion of this Release shall not be deemed a waiver of any other portion of this Release.

7.This Release may be signed in counterparts, each of which shall be deemed an original but all of which, taken together, shall constitute one and the same instrument. A signature made on a faxed or electronically mailed copy of the Release or a signature transmitted by facsimile or electronic mail will have the same effect as an original signature.

This Release shall be governed by and construed and interpreted in accordance with the laws of the State of Virginia without regard to its choice of law principles.

8.Executive also understands that Executive has the right to revoke this Release within seven (7) days after execution, and that this Release will not become effective or enforceable until the revocation period has expired, by giving written notice by regular mail to the following:

Albemarle Corporation

Attention: General Counsel
4250 Congress Street, Suite 900
Charlotte, NC 28209

(Signature Page To Follow)

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IN WITNESS WHEREOF, and intending to be legally bound hereby, the parties execute the foregoing Waiver and Release of Claims.

EXECUTIVE

Date:

COMPANY

By:

Title:

Date:

[Signature Page to Waiver and Release of Claims]

EX-31.1

EXHIBIT 31.1

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

I, J. Kent Masters, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Albemarle Corporation for the period ended March 31, 2023;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 3, 2023

/s/ J. KENT MASTERS

J. Kent Masters

Chairman, President and Chief Executive Officer

EX-31.2

EXHIBIT 31.2

CERTIFICATION OF CHIEF FINANCIAL OFFICER

I, Scott A. Tozier, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Albemarle Corporation for the period ended March 31, 2023;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 3, 2023

/s/ SCOTT A. TOZIER

Scott A. Tozier

Executive Vice President and Chief Financial Officer

EX-32.1

EXHIBIT 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q of Albemarle Corporation (the “Company”) for the period ended March 31, 2023 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, J. Kent Masters, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

(1)the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2)the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ J. KENT MASTERS

J. Kent Masters

Chairman, President and Chief Executive Officer

May 3, 2023

EX-32.2

EXHIBIT 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q of Albemarle Corporation (the “Company”) for the period ended March 31, 2023 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Scott A. Tozier, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that:

(1)the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

(2)the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

/s/ SCOTT A. TOZIER

Scott A. Tozier

Executive Vice President and Chief Financial Officer

May 3, 2023

XML

Cover - shares	3 Months Ended
	Mar. 31, 2023	Apr. 26, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2023
Document Transition Report	false
Entity File Number	1-12658
Entity Registrant Name	ALBEMARLE CORPORATION
Entity Incorporation, State or Country Code	VA
Entity Tax Identification Number	54-1692118
Entity Address, Address Line One	4250 Congress Street, Suite 900
Entity Address, City or Town	Charlotte
Entity Address, State or Province	NC
Entity Address, Postal Zip Code	28209
City Area Code	(980)
Local Phone Number	299-5700
Title of each class	COMMON STOCK, $.01 Par Value
Trading Symbol	ALB
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		117,336,441
Amendment Flag	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Entity Central Index Key	0000915913
Current Fiscal Year End Date	--12-31

XML

Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Statement [Abstract]
Net sales	$ 2,580,252	$ 1,127,728
Cost of goods sold	1,303,712	678,698
Gross profit	1,276,540	449,030
Selling, general and administrative expenses	154,306	112,568
Research and development expenses	20,471	16,083
(Gain) loss on sale of business/interest in properties	0	8,400
Operating profit	1,101,763	311,979
Interest and financing expenses	(26,777)	(27,834)
Other income, net	82,492	15,496
Income before income taxes and equity in net income of unconsolidated investments	1,157,478	299,641
Income tax expense	276,963	80,530
Income before equity in net income of unconsolidated investments	880,515	219,111
Equity in net income of unconsolidated investments (net of tax)	396,188	62,436
Net income	1,276,703	281,547
Net income attributable to noncontrolling interests	(38,123)	(28,164)
Net income attributable to Albemarle Corporation	$ 1,238,580	$ 253,383
Basic earnings per share (in dollars per share)	$ 10.57	$ 2.16
Diluted earnings per share (in dollars per share)	$ 10.51	$ 2.15
Weighted-average common shares outstanding - basic (in shares)	117,232	117,066
Weighted-average common shares outstanding - diluted (in shares)	117,841	117,653

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Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Comprehensive Income [Abstract]
Net income	$ 1,276,703	$ 281,547
Other comprehensive income (loss), net of tax:
Foreign currency translation and other	46,216	(5,889)
Cash flow hedge	1,101	4,017
Interest rate swap	0	650
Total other comprehensive income (loss), net of tax	47,317	(1,222)
Comprehensive income	1,324,020	280,325
Comprehensive income attributable to noncontrolling interests	(38,115)	(28,111)
Comprehensive income attributable to Albemarle Corporation	$ 1,285,905	$ 252,214

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Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 1,586,734	$ 1,499,142
Trade accounts receivable, less allowance for doubtful accounts (2023 – $3,283; 2022 – $2,534)	1,351,915	1,190,970
Other accounts receivable	312,560	185,819
Inventories	3,180,825	2,076,031
Other current assets	225,541	234,955
Total current assets	6,657,575	5,186,917
Property, plant and equipment, at cost	9,830,257	9,354,330
Less accumulated depreciation and amortization	2,476,768	2,391,333
Net property, plant and equipment	7,353,489	6,962,997
Investments	1,391,229	1,150,553
Other assets	243,405	250,558
Goodwill	1,634,152	1,617,627
Other intangibles, net of amortization	284,508	287,870
Total assets	17,564,358	15,456,522
Current liabilities:
Accounts payable to third parties	1,758,254	1,533,624
Accrued expenses	403,336	505,894
Current portion of long-term debt	2,167	2,128
Dividends payable	46,753	46,116
Income taxes payable	282,037	134,876
Total current liabilities	3,505,369	2,741,015
Long-term debt	3,233,393	3,214,972
Postretirement benefits	33,062	32,751
Pension benefits	160,343	159,571
Other noncurrent liabilities	686,655	636,596
Deferred income taxes	486,466	480,770
Commitments and contingencies (Note 9)
Albemarle Corporation shareholders’ equity:
Common stock, $.01 par value, issued and outstanding – 117,299 in 2023 and 117,168 in 2022	1,173	1,172
Additional paid-in capital	2,931,961	2,940,840
Accumulated other comprehensive loss	(513,337)	(560,662)
Retained earnings	6,792,938	5,601,277
Total Albemarle Corporation shareholders’ equity	9,212,735	7,982,627
Noncontrolling interests	246,335	208,220
Total equity	9,459,070	8,190,847
Total liabilities and equity	17,564,358	15,456,522
Accounts Payable, Related Parties, Current	$ 1,012,822	$ 518,377

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Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 3,283	$ 2,534
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, issued (in shares)	117,299	117,168
Common stock, outstanding (in shares)	117,299	117,168

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Consolidated Statements of Changes in Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Retained Earnings	Total Albemarle Shareholders' Equity	Non-controlling Interests
Beginning Balance (in shares) at Dec. 31, 2021		117,015,333
Beginning Balance at Dec. 31, 2021	$ 5,805,607	$ 1,170	$ 2,920,007	$ (392,450)	$ 3,096,539	$ 5,625,266	$ 180,341
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	281,547				253,383	253,383	28,164
Other comprehensive (loss) income	(1,222)			(1,169)		(1,169)	(53)
Cash dividends declared	(46,261)				(46,261)	(46,261)	0
Stock-based compensation	5,384		5,384			5,384
Exercise of stock options (in shares)		500
Exercise of stock options	32	$ 0	32			32
Issuance of common stock, net (in shares)		151,630
Issuance of common stock, net	387	$ 2	385			387
Shares withheld for withholding taxes associated with common stock issuances (in shares)		(55,069)
Withholding taxes paid on stock-based compensation award distributions	(10,422)	$ (1)	(10,421)			(10,422)
Ending Balance (in shares) at Mar. 31, 2022		117,112,394
Ending Balance at Mar. 31, 2022	6,035,052	$ 1,171	2,915,387	(393,619)	3,303,661	5,826,600	208,452
Beginning Balance (in shares) at Dec. 31, 2022		117,168,366
Beginning Balance at Dec. 31, 2022	8,190,847	$ 1,172	2,940,840	(560,662)	5,601,277	7,982,627	208,220
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,276,703				1,238,580	1,238,580	38,123
Other comprehensive (loss) income	47,317			47,325		47,325	(8)
Cash dividends declared	(46,919)				(46,919)	(46,919)	0
Stock-based compensation	9,658		9,658			9,658
Exercise of stock options (in shares)		1,220
Exercise of stock options	81	$ 0	81			81
Issuance of common stock, net (in shares)		205,172
Issuance of common stock, net	0	$ 2	(2)			0
Shares withheld for withholding taxes associated with common stock issuances (in shares)		(75,366)
Withholding taxes paid on stock-based compensation award distributions	(18,617)	$ (1)	(18,616)			(18,617)
Ending Balance (in shares) at Mar. 31, 2023		117,299,392
Ending Balance at Mar. 31, 2023	$ 9,459,070	$ 1,173	$ 2,931,961	$ (513,337)	$ 6,792,938	$ 9,212,735	$ 246,335

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Consolidated Statements of Changes in Equity (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Financial Position [Abstract]
Cash dividends declared (in dollars per share)	$ 0.40	$ 0.395

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Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Cash Flows [Abstract]
Cash and cash equivalents at beginning of year	$ 1,499,142	$ 439,272
Cash flows from operating activities:
Net income	1,276,703	281,547
Adjustments to reconcile net income to cash flows from operating activities:
Depreciation and amortization	87,271	66,574
(Gain) loss on sale of business/interest in properties	0	8,400
Stock-based compensation and other	10,540	4,245
Equity in net income of unconsolidated investments (net of tax)	(396,188)	(62,436)
Dividends received from unconsolidated investments and nonmarketable securities	547,552	39,168
Pension and postretirement benefit	1,954	(4,250)
Pension and postretirement contributions	(2,825)	(3,890)
Unrealized (gain) loss on investments in marketable securities	(45,732)	1,469
Deferred income taxes	14,098	27,747
Working capital changes	(764,071)	(219,397)
Non-cash transfer of 40% value of construction in progress of Kemerton plant to MRL	7,665	65,100
Other, net	(15,987)	1,899
Net cash provided by operating activities	720,980	206,176
Cash flows from investing activities:
Capital expenditures	(415,608)	(231,698)
(Purchases) sales of marketable securities, net	(122,267)	3,751
Investments in equity and other corporate investments	(1,133)	(146)
Net cash used in investing activities	(539,008)	(228,093)
Cash flows from financing activities:
Proceeds from borrowings of long-term debt and credit agreements	0	280,000
Other debt repayments, net	(713)	(166,615)
Dividends paid to shareholders	(46,282)	(45,637)
Dividends paid to noncontrolling interests	(53,145)	0
Proceeds from exercise of stock options	81	419
Withholding taxes paid on stock-based compensation award distributions	(18,617)	(10,422)
Other	0	(126)
Net cash (used in) provided by financing activities	(118,676)	57,619
Net effect of foreign exchange on cash and cash equivalents	24,296	(11,649)
Increase in cash and cash equivalents	87,592	24,053
Cash and cash equivalents at end of period	$ 1,586,734	$ 463,325

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Basis of Presentation	3 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation:In the opinion of management, the accompanying unaudited condensed consolidated financial statements of Albemarle Corporation and our wholly-owned, majority-owned and controlled subsidiaries (collectively, “Albemarle,” “we,” “us,” “our” or the “Company”) contain all adjustments necessary for a fair statement, in all material respects, of our consolidated balance sheets as of March 31, 2023 and December 31, 2022, our consolidated statements of income, consolidated statements of comprehensive income and consolidated statements of changes in equity for the three-month period ended March 31, 2023 and 2022 and our condensed consolidated statements of cash flows for the three-month periods ended March 31, 2023 and 2022. These unaudited condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the U.S. Securities and Exchange Commission (“SEC”) on February 15, 2023. The December 31, 2022 consolidated balance sheet data herein was derived from audited financial statements, but does not include all disclosures required by generally accepted accounting principles (“GAAP”) in the United States (“U.S.”). The results of operations for the three-month period ended March 31, 2023 are not necessarily indicative of the results to be expected for the full year. Certain reclassifications have been made to the accompanying condensed consolidated financial statements and the notes thereto to conform to the current presentation.

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Business Combinations and Asset Acquisitions

3 Months Ended

Mar. 31, 2023

Business Combination and Asset Acquisition [Abstract]

Acquisitions

Acquisitions:

On October 25, 2022, the Company completed the acquisition of all of the outstanding equity of Guangxi Tianyuan New Energy Materials Co., Ltd. (“Qinzhou”), for approximately $200 million in cash, which includes a deferral of approximately $29 million to be paid in installments within a year of the acquisition closing date. Qinzhou's operations include a lithium processing plant strategically positioned near the Port of Qinzhou in Guangxi, which began commercial production in the first half of 2022. The plant has designed annual conversion capacity of up to 25,000 metric tons of lithium carbonate equivalent (“LCE”) and is capable of producing battery-grade lithium carbonate and lithium hydroxide.

The aggregate purchase price noted above was allocated to the major categories of assets and liabilities acquired based upon their estimated fair values at the acquisition closing date, which were based, in part, upon third-party appraisals for certain assets. The fair value of the assets and liabilities was primarily related to Property, plant and equipment of $106.6 million, Other intangibles of $16.3 million, net current liabilities of $5.5 million, and long-term liabilities of $7.1 million. The excess of the purchase price over the preliminary estimated fair value of the net assets acquired was approximately $76.1 million and was recorded as Goodwill.

The allocation of the purchase price to the assets acquired and liabilities assumed, including the residual amount allocated to Goodwill, is based upon preliminary information and is subject to change within the measurement-period (up to one year from the acquisition date) as additional information concerning final asset and liability valuations is obtained. The primary area of the preliminary purchase price allocation that is not yet finalized relates to the fair value of the net working capital and Goodwill. The fair value of the assets acquired and liabilities assumed was based on management’s estimates and assumptions, as well as other information compiled by management, including valuations that utilize customary valuation procedures and techniques. The discount rate is a significant assumption used in the valuation model. If the actual results differ from the estimates and judgments used in these fair values, the amounts recorded in the consolidated financial statements could be subject to possible impairment.

Goodwill arising from the acquisition was recorded within the Energy Storage segment and consists largely of anticipated synergies and economies of scale from the combined companies and overall strategic importance of the acquired businesses to Albemarle. The goodwill attributable to the acquisition will not be amortizable or deductible for tax purposes.

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Income Taxes	3 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes:The effective income tax rate for the three-month period ended March 31, 2023 was 23.9% compared to 26.9% for the three-month period ended March 31, 2022. The three-month period ended March 31, 2023 included tax expense related to an uncertain tax position in Chile offset by a tax benefit related to foreign derived intangible income, and net discrete tax expense related to foreign return to provisions offset by excess tax benefits realized from stock-based compensation arrangements. The Company’s effective income tax rate fluctuates based on, among other factors, the amount and location of income. The difference between the U.S. federal statutory income tax rate and our effective income tax rate for the three-month period ended March 31, 2023 was impacted by a variety of factors, primarily the location in which income was earned, foreign-derived intangible income and an uncertain tax position recorded in Chile. The difference between the U.S. federal statutory income tax rate and our effective income tax rate for the three-month period ended March 31, 2022 was impacted by a variety of factors, primarily global intangible low-taxed income and the location in which income was earned.

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Earnings Per Share

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share:

Basic and diluted earnings per share for the three-month periods ended March 31, 2023 and 2022 are calculated as follows (in thousands, except per share amounts):

	Three Months Ended March 31,
	2023		2022
Basic earnings per share
Numerator:
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383
Denominator:
Weighted-average common shares for basic earnings per share	117,232		117,066
Basic earnings per share	$	10.57	$	2.16
Diluted earnings per share
Numerator:
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383
Denominator:
Weighted-average common shares for basic earnings per share	117,232		117,066
Incremental shares under stock compensation plans	609		587
Weighted-average common shares for diluted earnings per share	117,841		117,653
Diluted earnings per share	$	10.51	$	2.15

At March 31, 2023 there were 51,316 common stock equivalents not included in the computation of diluted earnings per share because their effect would have been anti-dilutive.

On February 23, 2023, the Company declared a cash dividend of $0.40, an increase from the prior year regular quarterly dividend. This dividend was paid on April 3, 2023 to shareholders of record at the close of business as of March 17, 2023. On May 2, 2023, the Company declared a cash dividend of $0.40 per share, which is payable on July 3, 2023 to shareholders of record at the close of business as of June 16, 2023.

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Inventories

3 Months Ended

Mar. 31, 2023

Inventory Disclosure [Abstract]

Inventories

Inventories:

The following table provides a breakdown of inventories at March 31, 2023 and December 31, 2022 (in thousands):

	March 31,		December 31,
	2023		2022
Finished goods	$	2,706,606	$	1,679,473
Raw materials and work in process(a)	368,669		296,998
Stores, supplies and other	105,550		99,560
Total	$	3,180,825	$	2,076,031

(a)Includes $154.7 million and $133.2 million at March 31, 2023 and December 31, 2022, respectively, of work in process in our Energy Storage segment.

The Company records the balance of deferred profits on sales from its equity method investments to the Company to Inventories, specifically finished goods. Deferred profits from equity method investments totaled $552.8 million and $332.3 million as of March 31, 2023 and December 31, 2022, respectively.

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Investments

3 Months Ended

Mar. 31, 2023

Equity Method Investments and Joint Ventures [Abstract]

Investments

Investments:

MARBL Joint Venture Agreement Restructuring

On February 22, 2023, the Company announced that it has signed definitive agreements with Mineral Resources Limited (“MRL”) to restructure the parties' MARBL lithium joint venture in Australia (“MARBL”) and separately for MRL to invest in Albemarle conversion assets in China. This restructured agreement is intended to provide the Company with additional funding to support the expansion of lithium conversion capacity, while securing downstream conversion capacity for MRL.

In Australia, Albemarle will increase its interest in the first two conversion trains of the Kemerton processing plant from 60% to 85% by purchasing a 25% interest from MRL. Albemarle will operate Kemerton trains 1 and 2 on behalf of the joint venture. MRL will increase its interest in the Wodgina Lithium Mine Project from 40% to 50% by purchasing a 10% interest from Albemarle. MRL will operate the Wodgina mine on behalf of the joint venture. Consideration for Albemarle's increased stake in Kemerton will be offset by consideration for MRL's increased stake in Wodgina.

In China, MRL will acquire a 50% interest in Albemarle's Qinzhou and Meishan plants. Qinzhou has a designed annual capacity of up to 25,000 metric tonnes of LCE. The plant will undergo modifications to be able to convert Wodgina spodumene and is expected to commence that conversion in early 2024. The Meishan plant, which is under construction with a designed annual capacity of 50,000 metric tonnes of LCE, is scheduled to be completed in 2024. Albemarle will continue to operate Meishan and Qinzhou.

In addition, MRL committed to fund 50% of the capital costs for downstream conversion capacity. MRL is expected to pay approximately $350 million for its initial share of capital costs of this conversion capacity at closing. Albemarle expects to pay MRL a completion adjustment currently estimated to be between $100 million to $150 million reflecting a retroactive effective date of April 1, 2022.

These transactions are expected to close in stages beginning in the second quarter of 2023 and are subject to regulatory approval and other customary closing conditions. At this time the Company expects to record a gain as a result of these transactions in the period it closes.

Variable Interest Entities

The Company holds a 49% equity interest in Windfield Holdings Pty. Ltd. (“Talison”), where the ownership parties share risks and benefits disproportionate to their voting interests. As a result, the Company considers Talison to be a variable interest entity (“VIE”), however this investment is not consolidated as the Company is not the primary beneficiary. The carrying amount of the Company’s 49% equity interest in Windfield, which is our most significant VIE, was $746.8 million and $694.5 million at March 31, 2023 and December 31, 2022, respectively. The Company’s aggregate net investment in all other entities which it considers to be VIEs of which the Company is not the primary beneficiary was $7.7 million at March 31, 2023 and $6.7 million at December 31, 2022. The Company’s unconsolidated VIEs are reported in Investments on the consolidated balance sheets. The Company does not guarantee debt for, or have other financial support obligations to, these entities, and its maximum exposure to loss in connection with its continuing involvement with these entities is limited to the carrying value of the investments.

The following table summarizes the unaudited results of operations for the Talison joint venture, which met the significant subsidiary test for subsidiaries not consolidated or 50% or less owned persons under Rule 10-01 of Regulation S-X, for the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Net sales	$	1,959,298	$	392,833
Gross profit	1,901,700		354,442
Income before income taxes	1,784,150		292,552
Net income	1,248,902		204,787

Other

As part of the proceeds from the sale of the fine chemistry services (“FCS”) business on June 1, 2021, W.R. Grace & Co. (“Grace”) issued Albemarle preferred equity of a Grace subsidiary having an aggregate stated value of $270 million. The

preferred equity can be redeemed at Grace’s option under certain conditions and will accrue PIK dividends at an annual rate of 12% beginning two years after issuance. This preferred equity had a fair value of $266.3 million and $260.1 million at March 31, 2023 and December 31, 2022, respectively, which is reported in Investments in the consolidated balance sheets.

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Goodwill and Other Intangibles

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangibles

Goodwill and Other Intangibles:

The following table summarizes the changes in goodwill by reportable segment for the three months ended March 31, 2023 (in thousands):

	Energy Storage		Specialties		Ketjen		Total
Balance at December 31, 2022	$	1,424,275	$	20,319	$	173,033	$	1,617,627
Segment realignment(a)	(12,316)		12,316		—		—
Foreign currency translation adjustments and other	13,342		—		3,183		16,525
Balance at March 31, 2023	$	1,425,301	$	32,635	$	176,216	$	1,634,152

(a)    Effective January 1, 2023, the Company realigned its Lithium and Bromine reportable segments into the Energy Storage and Specialties reportable segments. See Note 11, “Segment Information,” for additional details. As a result, the Company transferred goodwill from its legacy Lithium segment to the new Specialties reportable segment during the three months ended March 31, 2023.

The following table summarizes the changes in other intangibles and related accumulated amortization for the three months ended March 31, 2023 (in thousands):

	Customer Lists and Relationships		Trade Names and Trademarks(a)		Patents and Technology		Other		Total
Gross Asset Value
Balance at December 31, 2022	$	412,670	$	13,161	$	46,399	$	35,186	$	507,416
Foreign currency translation adjustments and other	5,066		231		639		981		6,917
Balance at March 31, 2023	$	417,736	$	13,392	$	47,038	$	36,167	$	514,333
Accumulated Amortization
Balance at December 31, 2022	$	(177,627)	$	(3,587)	$	(23,790)	$	(14,542)	$	(219,546)
Amortization	(6,529)		—		(657)		(248)		(7,434)
Foreign currency translation adjustments and other	(2,136)		(43)		(373)		(293)		(2,845)
Balance at March 31, 2023	$	(186,292)	$	(3,630)	$	(24,820)	$	(15,083)	$	(229,825)
Net Book Value at December 31, 2022	$	235,043	$	9,574	$	22,609	$	20,644	$	287,870
Net Book Value at March 31, 2023	$	231,444	$	9,762	$	22,218	$	21,084	$	284,508

(a)    Net Book Value includes only indefinite-lived intangible assets.

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Long-Term Debt

3 Months Ended

Mar. 31, 2023

Debt Disclosure [Abstract]

Long-term Debt

Long-Term Debt:

Long-term debt at March 31, 2023 and December 31, 2022 consisted of the following (in thousands):

	March 31,		December 31,
	2023		2022
1.125% notes due 2025	$	408,959	$	401,265
1.625% notes due 2028	542,200		532,000
3.45% Senior notes due 2029	171,612		171,612
4.65% Senior notes due 2027	650,000		650,000
5.05% Senior notes due 2032	600,000		600,000
5.45% Senior notes due 2044	350,000		350,000
5.65% Senior notes due 2052	450,000		450,000
Variable-rate foreign bank loans	3,056		2,997
Finance lease obligations	76,070		76,537
Other	11,510		11,378
Unamortized discount and debt issuance costs	(27,847)		(28,689)
Total long-term debt	3,235,560		3,217,100
Less amounts due within one year	2,167		2,128
Long-term debt, less current portion	$	3,233,393	$	3,214,972

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Commitments and Contingencies

3 Months Ended

Mar. 31, 2023

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies:

Environmental

The following activity was recorded in environmental liabilities for the three months ended March 31, 2023 (in thousands):

Beginning balance at December 31, 2022	$	38,245
Expenditures	(817)
Accretion of discount	249
Additions and changes in estimates	1,869
Foreign currency translation adjustments and other	381
Ending balance at March 31, 2023	39,927
Less amounts reported in Accrued expenses	7,441
Amounts reported in Other noncurrent liabilities	$	32,486

Environmental remediation liabilities included discounted liabilities of $32.1 million and $30.1 million at March 31, 2023 and December 31, 2022, respectively, discounted at rates with a weighted-average of 3.6% and 3.4%, respectively, and with the undiscounted amount totaling $60.8 million and $57.5 million at March 31, 2023 and December 31, 2022, respectively. For certain locations where the Company is operating groundwater monitoring and/or remediation systems, prior owners or insurers have assumed all or most of the responsibility.

The amounts recorded represent our future remediation and other anticipated environmental liabilities. These liabilities typically arise during the normal course of our operational and environmental management activities or at the time of acquisition of the site, and are based on internal analysis as well as input from outside consultants. As evaluations proceed at each relevant site, changes in risk assessment practices, remediation techniques and regulatory requirements can occur, therefore such liability estimates may be adjusted accordingly. The timing and duration of remediation activities at these sites will be determined when evaluations are completed. Although it is difficult to quantify the potential financial impact of these remediation liabilities, management estimates (based on the latest available information) that there is a reasonable possibility that future environmental remediation costs associated with our past operations could represent an additional $19 million before income taxes, in excess of amounts already recorded.

We believe that any sum we may be required to pay in connection with environmental remediation matters in excess of the amounts recorded would likely occur over a period of time and would likely not have a material adverse effect upon our results of operations, financial condition or cash flows on a consolidated annual basis although any such sum could have a material adverse impact on our results of operations, financial condition or cash flows in a particular quarterly reporting period.

Litigation

We are involved from time to time in legal proceedings of types regarded as common in our business, including administrative or judicial proceedings seeking remediation under environmental laws, such as the federal Comprehensive Environmental Response, Compensation and Liability Act, commonly known as CERCLA or Superfund, products liability, breach of contract liability and premises liability litigation. Where appropriate, we may establish financial reserves for such proceedings. We also maintain insurance to mitigate certain of such risks. Costs for legal services are generally expensed as incurred.

As first reported in 2018, following receipt of information regarding potential improper payments being made by third-party sales representatives of our Refining Solutions business, within our Ketjen segment, we promptly retained outside counsel and forensic accountants to investigate potential violations of the Company’s Code of Conduct, the Foreign Corrupt Practices Act, and other potentially applicable laws. Based on this internal investigation, we have voluntarily self-reported potential issues relating to the use of third-party sales representatives in our Refining Solutions business, within our Ketjen segment, to the U.S. Department of Justice (“DOJ”), the SEC, and the Dutch Public Prosecutor (“DPP”), and are cooperating with the DOJ, the SEC, and the DPP in their review of these matters. In connection with our internal investigation, we have implemented, and are continuing to implement, appropriate remedial measures. We have commenced discussions with the SEC, DOJ and DPP about a potential resolution of these matters.

At this time, we are unable to predict the duration, scope, result, or related costs associated with the investigations. We also are unable to predict what action may be taken by the DOJ, the SEC, or the DPP, or what penalties or remedial actions they may ultimately seek. Any determination that our operations or activities are not, or were not, in compliance with existing laws or regulations could result in the imposition of fines, penalties, disgorgement, equitable relief, or other losses. We do not believe, however, that any such fines, penalties, disgorgement, equitable relief, or other losses would have a material adverse effect on our financial condition or liquidity. However, an adverse resolution could have a material adverse effect on our results of operations in a particular period.

Indemnities

We are indemnified by third parties in connection with certain matters related to acquired and divested businesses. Although we believe that the financial condition of those parties who may have indemnification obligations to the Company is generally sound, in the event the Company seeks indemnity under any of these agreements or through other means, there can be no assurance that any party who may have obligations to indemnify us will adhere to their obligations and we may have to resort to legal action to enforce our rights under the indemnities.

The Company may be subject to indemnity claims relating to properties or businesses it divested, including properties or businesses of acquired businesses that were divested prior to the completion of the acquisition. In the opinion of management, and based upon information currently available, the ultimate resolution of any indemnification obligations owed to the Company or by the Company is not expected to have a material effect on the Company’s financial condition, results of operations or cash flows. The Company had approximately $67.4 million and $66.1 million at March 31, 2023 and December 31, 2022, respectively, recorded in Other noncurrent liabilities, primarily related to the indemnification of certain income and non-income tax liabilities associated with the Chemetall Surface Treatment entities sold in 2017.

Other

We have contracts with certain of our customers which serve as guarantees on product delivery and performance according to customer specifications that can cover both shipments on an individual basis, as well as blanket coverage of multiple shipments under certain customer supply contracts. The financial coverage provided by these guarantees is typically based on a percentage of net sales value.

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Leases

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Leases

Leases:We lease certain office space, buildings, transportation and equipment in various countries. The initial lease terms generally range from 1 to 30 years for real estate leases, and from 2 to 15 years for non-real estate leases. Leases with an initial

term of 12 months or less are not recorded on the balance sheet, and we recognize lease expense for these leases on a straight-line basis over the lease term.

Many leases include options to terminate or renew, with renewal terms that can extend the lease term from 1 to 50 years or more. The exercise of lease renewal options is at our sole discretion. Certain leases also include options to purchase the leased property. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The following table provides details of our lease contracts for the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Operating lease cost	$	11,751	$	10,611
Finance lease cost:
Amortization of right of use assets	845		430
Interest on lease liabilities	1,059		853
Total finance lease cost	1,904		1,283
Short-term lease cost	5,060		2,699
Variable lease cost	3,509		717
Total lease cost	$	22,224	$	15,310

Supplemental cash flow information related to our lease contracts for the three-month periods ended March 31, 2023 and 2022 is as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	10,974	$	8,637
Operating cash flows from finance leases	1,203		599
Financing cash flows from finance leases	500		515
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	10,337		999

Supplemental balance sheet information related to our lease contracts, including the location on balance sheet, at March 31, 2023 and December 31, 2022 is as follows (in thousands, except as noted):

	March 31, 2023			December 31, 2022
Operating leases:
Other assets	$	128,229		$	128,173
Accrued expenses	35,343			35,515
Other noncurrent liabilities	102,125			99,269
Total operating lease liabilities	137,468			134,784
Finance leases:
Net property, plant and equipment	80,591			81,356
Current portion of long-term debt(a)	4,872			4,995
Long-term debt	73,903			74,409
Total finance lease liabilities	78,775			79,404
Weighted average remaining lease term (in years):
Operating leases	13.0			13.3
Finance leases	22.6			22.8
Weighted average discount rate (%):
Operating leases	3.72		%	3.60		%
Finance leases	4.41		%	4.41		%

(a)    Balance includes accrued interest of finance lease recorded in Accrued liabilities.

Maturities of lease liabilities at March 31, 2023 were as follows (in thousands):

	Operating Leases		Finance Leases
Remainder of 2023	$	31,554	$	5,437
2024	27,766		9,409
2025	15,923		6,129
2026	12,576		5,478
2027	10,717		5,478
Thereafter	113,413		91,904
Total lease payments	211,949		123,835
Less imputed interest	74,481		45,060
Total	$	137,468	$	78,775

Leases

Leases:We lease certain office space, buildings, transportation and equipment in various countries. The initial lease terms generally range from 1 to 30 years for real estate leases, and from 2 to 15 years for non-real estate leases. Leases with an initial

term of 12 months or less are not recorded on the balance sheet, and we recognize lease expense for these leases on a straight-line basis over the lease term.

Many leases include options to terminate or renew, with renewal terms that can extend the lease term from 1 to 50 years or more. The exercise of lease renewal options is at our sole discretion. Certain leases also include options to purchase the leased property. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The following table provides details of our lease contracts for the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Operating lease cost	$	11,751	$	10,611
Finance lease cost:
Amortization of right of use assets	845		430
Interest on lease liabilities	1,059		853
Total finance lease cost	1,904		1,283
Short-term lease cost	5,060		2,699
Variable lease cost	3,509		717
Total lease cost	$	22,224	$	15,310

Supplemental cash flow information related to our lease contracts for the three-month periods ended March 31, 2023 and 2022 is as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	10,974	$	8,637
Operating cash flows from finance leases	1,203		599
Financing cash flows from finance leases	500		515
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	10,337		999

Supplemental balance sheet information related to our lease contracts, including the location on balance sheet, at March 31, 2023 and December 31, 2022 is as follows (in thousands, except as noted):

	March 31, 2023			December 31, 2022
Operating leases:
Other assets	$	128,229		$	128,173
Accrued expenses	35,343			35,515
Other noncurrent liabilities	102,125			99,269
Total operating lease liabilities	137,468			134,784
Finance leases:
Net property, plant and equipment	80,591			81,356
Current portion of long-term debt(a)	4,872			4,995
Long-term debt	73,903			74,409
Total finance lease liabilities	78,775			79,404
Weighted average remaining lease term (in years):
Operating leases	13.0			13.3
Finance leases	22.6			22.8
Weighted average discount rate (%):
Operating leases	3.72		%	3.60		%
Finance leases	4.41		%	4.41		%

(a)    Balance includes accrued interest of finance lease recorded in Accrued liabilities.

Maturities of lease liabilities at March 31, 2023 were as follows (in thousands):

	Operating Leases		Finance Leases
Remainder of 2023	$	31,554	$	5,437
2024	27,766		9,409
2025	15,923		6,129
2026	12,576		5,478
2027	10,717		5,478
Thereafter	113,413		91,904
Total lease payments	211,949		123,835
Less imputed interest	74,481		45,060
Total	$	137,468	$	78,775

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Segment Information

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Segment Information

Segment Information:Effective January 1, 2023, the Company realigned its Lithium and Bromine global business units into a new corporate structure designed to better meet customer needs and foster talent required to deliver in a competitive global environment. In addition, the Company announced its decision to retain its Catalysts business under a separate, wholly-owned subsidiary renamed Ketjen. As a result, the Company’s three reportable segments include: (1) Energy Storage; (2) Specialties; and (3) Ketjen. Each segment has a dedicated team of sales, research and development, process engineering, manufacturing and sourcing, and business strategy personnel and has full accountability for improving execution through greater asset and market focus, agility and responsiveness. This business structure aligns with the markets and customers we serve through each of the segments. This structure also facilitates the continued standardization of business processes across the organization, and is consistent with the manner in which information is presently used internally by the Company’s chief operating decision maker

to evaluate performance and make resource allocation decisions. The segment information for the prior year period been recast to conform to the current year presentation.

The Corporate category is not considered to be a segment and includes corporate-related items not allocated to the operating segments. Pension and other post-employment benefit (“OPEB”) service cost (which represents the benefits earned by active employees during the period) and amortization of prior service cost or benefit are allocated to the reportable segments and Corporate, whereas the remaining components of pension and OPEB benefits cost or credit (“Non-operating pension and OPEB items”) are included in Corporate. Segment data includes inter-segment transfers of raw materials at cost and allocations for certain corporate costs.

The Company’s chief operating decision maker uses adjusted EBITDA (as defined below) to assess the ongoing performance of the Company’s business segments and to allocate resources. The Company defines adjusted EBITDA as earnings before interest and financing expenses, income tax expenses, depreciation and amortization, as adjusted on a consistent basis for certain non-operating, non-recurring or unusual items in a balanced manner and on a segment basis. These non-operating, non-recurring or unusual items may include acquisition and integration related costs, gains or losses on sales of businesses, restructuring charges, facility divestiture charges, certain litigation and arbitration costs and charges, non-operating pension and OPEB items and other significant non-recurring items. In addition, management uses adjusted EBITDA for business and enterprise planning purposes and as a significant component in the calculation of performance-based compensation for management and other employees. The Company has reported adjusted EBITDA because management believes it provides transparency to investors and enables period-to-period comparability of financial performance. Adjusted EBITDA is a financial measure that is not required by, or presented in accordance with, U.S. GAAP. Adjusted EBITDA should not be considered as an alternative to Net (loss) income attributable to Albemarle Corporation, the most directly comparable financial measure calculated and reported in accordance with U.S. GAAP, or any other financial measure reported in accordance with U.S. GAAP.

Segment information for the three-month periods ended March 31, 2023 and 2022 were as follows (in thousands). Prior period amounts have been recast to reflect the current segment structure.

	Three Months Ended March 31,
	2023		2022
Net sales:
Energy Storage	$	1,943,682	$	463,704
Specialties	418,778		446,147
Ketjen	217,792		217,877
Total net sales	$	2,580,252	$	1,127,728
Adjusted EBITDA:
Energy Storage	$	1,406,181	$	285,247
Specialties	162,158		152,602
Ketjen	14,543		16,910
Total segment adjusted EBITDA	1,582,882		454,759
Corporate	12,837		(22,829)
Total adjusted EBITDA	$	1,595,719	$	431,930
Depreciation and amortization:
Energy Storage	$	52,162	$	35,046
Specialties	19,892		16,153
Ketjen	13,143		12,921
Corporate	2,074		2,454
Total depreciation and amortization	$	87,271	$	66,574

See below for a reconciliation of total segment adjusted EBITDA to the companies consolidated Net income attributable to Albemarle Corporation, the most directly comparable financial measure calculated and reported in accordance with U.S. GAAP (in thousands):

	Three Months Ended March 31,
	2023		2022
Total segment adjusted EBITDA	$	1,582,882	$	454,759
Corporate expenses, net	12,837		(22,829)
Depreciation and amortization	(87,271)		(66,574)
Interest and financing expenses(a)	(26,777)		(27,834)
Income tax expense	(276,963)		(80,530)
Loss on sale of interest in properties, net(b)	—		(8,400)
Acquisition and integration related costs(c)	(5,108)		(1,724)
Non-operating pension and OPEB items	(601)		5,280
Mark-to-market gain on public equity securities(d)	45,826		—
Other(e)	(6,245)		1,235
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383

(a)Included in Interest and financing expenses for the three months ended March 31, 2022 is the correction of an out of period error of $17.5 million related to the overstatement of capitalized interest in prior periods.

(b)Expense recorded as a result of revised estimates of the obligation to construct certain lithium hydroxide conversion assets in Kemerton, Western Australia, due to cost overruns from supply chain, labor and COVID-19 pandemic related issues. The corresponding obligation was recorded in Accrued liabilities to be transferred to MRL, which maintains a 40% ownership interest in these Kemerton assets.

(c)Costs related to the acquisition, integration and potential divestitures for various significant projects, recorded in Selling, general and administrative expenses (“SG&A”).

(d)Gain recorded in Other income, net for the three months ended March 31, 2023, resulting from the increase in fair value of investments in public equity securities.

(e)Included amounts for the three months ended March 31, 2023 recorded in:

•SG&A - $1.9 million of charges primarily for environmental reserves at sites not part of our operations and $0.7 million of facility closure expenses related to offices in Germany.

•Other income, net - $3.6 million of charges for asset retirement obligations at a site not part of our operations.

Included amounts for the three months ended March 31, 2022 recorded in:

•SG&A - $4.3 million of gains from the sale of legacy properties not part of our operations, partially offset by $2.8 million of charges for environmental reserves at sites not part of our operations and $0.7 million of facility closure expenses related to offices in Germany.

•Other income, net - $0.6 million gain related to a settlement received from a legal matter in a prior period.

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Pension Plans and Other Postretirement Benefits

3 Months Ended

Mar. 31, 2023

Retirement Benefits [Abstract]

Pension Plans and Other Postretirement Benefits

Pension Plans and Other Postretirement Benefits:The components of pension and postretirement benefits cost (credit) for the three-month periods ended March 31, 2023 and 2022 were as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Pension Benefits Cost (Credit):
Service cost	$	1,321	$	985
Interest cost	8,542		5,605
Expected return on assets	(8,409)		(11,212)
Amortization of prior service benefit	20		24
Total net pension benefits cost (credit)	$	1,474	$	(4,598)
Postretirement Benefits Cost:
Service cost	$	12	$	21
Interest cost	468		327
Total net postretirement benefits cost	$	480	$	348
Total net pension and postretirement benefits cost (credit)	$	1,954	$	(4,250)

All components of net benefit cost (credit), other than service cost, are included in Other income, net on the consolidated statements of income.

During the three-month periods ended March 31, 2023 and 2022, the Company made contributions of $2.7 million and $3.2 million, respectively, to its qualified and nonqualified pension plans.

The Company paid $0.2 million and $0.6 million in premiums to the U.S. postretirement benefit plan during the three-month periods ended March 31, 2023 and 2022, respectively.

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Fair Value of Financial Instruments

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value of Financial Instruments

Fair Value of Financial Instruments:

In assessing the fair value of financial instruments, we use methods and assumptions that are based on market conditions and other risk factors existing at the time of assessment. Fair value information for our financial instruments is as follows:

Long-Term Debt—the fair values of our notes are estimated using Level 1 inputs and account for the difference between the recorded amount and fair value of our long-term debt. The carrying value of our remaining long-term debt reported in the accompanying consolidated balance sheets approximates fair value as substantially all of such debt bears interest based on prevailing variable market rates currently available in the countries in which we have borrowings.

	March 31, 2023				December 31, 2022
	Recorded Amount		Fair Value		Recorded Amount		Fair Value
	(In thousands)
Long-term debt	$	3,257,604	$	3,073,954	$	3,239,853	$	2,993,027

Foreign Currency Forward Contracts—during the fourth quarter of 2019, we entered into a foreign currency forward contract to hedge the cash flow exposure of non-functional currency purchases during the construction of the Kemerton plant in Australia. This derivative financial instrument is used to manage risk and is not used for trading or other speculative purposes. This foreign currency forward contract has been designated as a hedging instrument under ASC 815, Derivatives and Hedging. We had outstanding designated foreign currency forward contracts with notional values totaling the equivalent of $17.6 million and $64.5 million at March 31, 2023 and December 31, 2022, respectively.

We also enter into foreign currency forward contracts in connection with our risk management strategies that have not been designated as hedging instruments under ASC 815, Derivatives and Hedging, in an attempt to minimize the financial impact of changes in foreign currency exchange rates. These derivative financial instruments are used to manage risk and are not used for trading or other speculative purposes. The fair values of our non-designated foreign currency forward contracts are estimated based on current settlement values. At March 31, 2023 and December 31, 2022, we had outstanding non-designated foreign currency forward contracts with notional values totaling $5.2 billion and $2.8 billion, respectively, hedging our exposure to various currencies including the Chinese Renminbi, Euro, Australian Dollar, Chilean Peso and Japanese Yen.

The following table summarizes the fair value of our foreign currency forward contracts included in the consolidated balance sheets as of March 31, 2023 and December 31, 2022 (in thousands):

	March 31, 2023				December 31, 2022
	Assets		Liabilities		Assets		Liabilities
Designated as hedging instruments
Accrued expenses	$	—	$	921	$	—	$	3,159
Total designated as hedging instruments	—		921		—		3,159
Not designated as hedging instruments
Other current assets	—		—		6,016		—
Accrued expenses	—		306		—		85
Total not designated as hedging instruments	—		306		6,016		85
Total	$	—	$	1,227	$	6,016	$	3,244

The following table summarizes the net gains (losses) recognized for our foreign currency forward contracts during the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Designated as hedging instruments
Income recognized in Other comprehensive income (loss)	$	1,101	$	4,017
Not designated as hedging instruments
Income (loss) recognized in Other income, net(a)	$	35,233	$	(3,972)

(a)    Fluctuations in the value of our foreign currency forward contracts not designated as hedging instruments are generally expected to be offset by changes in the value of the underlying exposures being hedged, which are also reported in Other income, net.

In addition, for the three-month periods ended March 31, 2023 and 2022, we recorded net cash receipts (settlements) of $41.5 million and ($3.3) million, respectively, in Other, net, in our condensed consolidated statements of cash flows.

Unrealized gains and losses related to the cash flow hedges will be reclassified to earnings over the life of the related assets when settled and the related assets are placed into service.

The counterparties to our foreign currency forward contracts are major financial institutions with which we generally have other financial relationships. We are exposed to credit loss in the event of nonperformance by these counterparties. However, we do not anticipate nonperformance by the counterparties.

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Fair Value Measurement

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Measurement

Fair Value Measurement:

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The inputs used to measure fair value are classified into the following hierarchy:

Level 1	Unadjusted quoted prices in active markets for identical assets or liabilities
Level 2	Unadjusted quoted prices in active markets for similar assets or liabilities, or unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability
Level 3	Unobservable inputs for the asset or liability

We endeavor to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The following tables set forth our financial assets and liabilities that were accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022 (in thousands):

	March 31, 2023		Quoted Prices in Active Markets for Identical Items (Level 1)		Quoted Prices in Active Markets for Similar Items (Level 2)		Unobservable Inputs (Level 3)
Assets:
Available for sale debt securities(a)	$	266,276	$	—	$	—	$	266,276
Investments under executive deferred compensation plan(b)	$	27,539	$	27,539	$	—	$	—
Public equity securities(c)	$	177,503	$	177,503	$	—	$	—
Private equity securities measured at net asset value(d)(e)	$	6,388	$	—	$	—	$	—
Liabilities:
Obligations under executive deferred compensation plan(b)	$	27,539	$	27,539	$	—	$	—
Foreign currency forward contracts(f)	$	1,227	$	—	$	1,227	$	—

	December 31, 2022		Quoted Prices in Active Markets for Identical Items (Level 1)		Quoted Prices in Active Markets for Similar Items (Level 2)		Unobservable Inputs (Level 3)
Assets:
Available for sale debt securities(a)	$	260,139	$	—	$	—	$	260,139
Investments under executive deferred compensation plan(b)	$	27,270	$	27,270	$	—	$	—
Public equity securities(c)	$	5,890	$	5,890	$	—	$	—
Private equity securities measured at net asset value(d)(e)	$	6,375	$	—	$	—	$	—
Foreign currency forward contracts(f)	$	6,016	$	—	$	6,016	$	—
Liabilities:
Obligations under executive deferred compensation plan(b)	$	27,270	$	27,270	$	—	$	—
Foreign currency forward contracts(f)	$	3,244	$	—	$	3,244	$	—

(a)Preferred equity of a Grace subsidiary acquired as a portion of the proceeds of the FCS sale on June 1, 2021. A third-party estimate of the fair value was prepared using expected future cash flows over the period up to when the asset is likely to be redeemed, applying a discount rate that appropriately captures a market participant's view of the risk associated with the investment. These are considered to be Level 3 inputs.

(b)We maintain an Executive Deferred Compensation Plan (“EDCP”) that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trust”) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. As such, these assets and obligations are classified within Level 1.

(c)Holdings in equity securities of public companies reported in Investments in the consolidated balance sheets. The fair value is measured using publicly available share prices of the investments, with any changes reported in Other income, net in our consolidated statements of income. During the three-month period ended March 31, 2023, the Company purchased approximately $121.9 million of shares in a publicly-traded company. In addition, the Company recorded a mark-to-market gain of $45.8 million on all public equity securities during the three-month period ended March 31, 2023 in Other income, net.

(d)Primarily consists of private equity securities reported in Investments in the consolidated balance sheets. The changes in fair value are reported in Other income, net in our consolidated statements of income.

(e)Holdings in certain private equity securities are measured at fair value using the net asset value per share (or its equivalent) practical expedient and have not been categorized in the fair value hierarchy.

(f)As a result of our global operating and financing activities, we are exposed to market risks from changes in foreign currency exchange rates which may adversely affect our operating results and financial position. When deemed appropriate, we minimize our risks from

foreign currency exchange rate fluctuations through the use of foreign currency forward contracts. The foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within Level 2. See Note 13, “Fair Value of Financial Instruments,” for further details about our foreign currency forward contracts.

The following tables set forth the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements (in thousands):

	Available for Sale Debt Securities
Beginning balance at December 31, 2022	$	260,139
Fair value adjustment	2,953
Accretion of discount	3,184
Ending balance at March 31, 2023	$	266,276

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Accumulated Other Comprehensive (Loss) Income

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Accumulated Other Comprehensive (Loss) Income

Accumulated Other Comprehensive (Loss) Income:

The components and activity in Accumulated other comprehensive (loss) income (net of deferred income taxes) consisted of the following during the periods indicated below (in thousands):

	Foreign Currency Translation and Other		Cash Flow Hedge(a)		Interest Rate Swap(b)		Total
Three months ended March 31, 2023
Balance at December 31, 2022	$	(562,886)	$	2,224	$	—	$	(560,662)
Other comprehensive income before reclassifications	46,200		1,101		—		47,301
Amounts reclassified from accumulated other comprehensive loss	16		—		—		16
Other comprehensive income, net of tax	46,216		1,101		—		47,317
Other comprehensive income attributable to noncontrolling interests	8		—		—		8
Balance at March 31, 2023	$	(516,662)	$	3,325	$	—	$	(513,337)
Three months ended March 31, 2022
Balance at December 31, 2021	$	(391,674)	$	6,623	$	(7,399)	$	(392,450)
Other comprehensive (loss) income before reclassifications	(5,909)		4,017		—		(1,892)
Amounts reclassified from accumulated other comprehensive loss	20		—		650		670
Other comprehensive (loss) income, net of tax	(5,889)		4,017		650		(1,222)
Other comprehensive income attributable to noncontrolling interests	53		—		—		53
Balance at March 31, 2022	$	(397,510)	$	10,640	$	(6,749)	$	(393,619)

(a)We entered into a foreign currency forward contract, which was designated and accounted for as a cash flow hedge under ASC 815, Derivatives and Hedging. See Note 14, “Fair Value of Financial Instruments,” for additional information.

(b)The pre-tax portion of amounts reclassified from accumulated other comprehensive loss is included in interest expense. The balance of this interest rate swap was being amortized to Interest and financing expenses over the life of the 4.15% senior notes originally due in 2024. In the second quarter of 2022, the Company repaid these notes, and as a result, reclassified the remaining balance of this interest rate swap to interest expense during the same period as part of an early extinguishment of debt.

The amount of income tax expense allocated to each component of Other comprehensive income (loss) for the three-month periods ended March 31, 2023 and 2022 is provided in the following tables (in thousands):

	Foreign Currency Translation and Other		Cash Flow Hedge		Interest Rate Swap		Total
Three months ended March 31, 2023
Other comprehensive income, before tax	$	45,978	$	1,101	$	—	$	47,079
Income tax benefit	238		—		—		238
Other comprehensive income, net of tax	$	46,216	$	1,101	$	—	$	47,317
Three months ended March 31, 2022
Other comprehensive (loss) income, before tax	$	(6,458)	$	4,017	$	834	$	(1,607)
Income tax benefit (expense)	569		—		(184)		385
Other comprehensive (loss) income, net of tax	$	(5,889)	$	4,017	$	650	$	(1,222)

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Related Party Transactions

3 Months Ended

Mar. 31, 2023

Related Party Transactions [Abstract]

Related Party Transactions

Related Party Transactions:

Our consolidated statements of income include sales to and purchases from unconsolidated affiliates in the ordinary course of business as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Sales to unconsolidated affiliates	$	7,100	$	7,655
Purchases from unconsolidated affiliates(a)	$	1,072,544	$	216,554

(a)Purchases from unconsolidated affiliates primarily relate to spodumene purchased from the Company’s Windfield joint venture.

Our consolidated balance sheets include accounts receivable due from and payable to unconsolidated affiliates in the ordinary course of business as follows (in thousands):

	March 31, 2023		December 31, 2022
Receivables from unconsolidated affiliates	$	13,076	$	21,495
Payables to unconsolidated affiliates(a)	$	1,012,822	$	518,377

(a)Payables to unconsolidated affiliates primarily relate spodumene purchased from the Company’s Windfield joint venture under normal payment terms.

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Supplemental Cash Flow Information

3 Months Ended

Mar. 31, 2023

Supplemental Cash Flow Information [Abstract]

Supplemental Cash Flow Information

Supplemental Cash Flow Information:

Supplemental information related to the condensed consolidated statements of cash flows is as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Supplemental non-cash disclosure related to investing and financing activities:
Capital expenditures included in Accounts payable	$	347,165	$	196,661
Promissory note issued for capital expenditures(a)	$	—	$	10,876

(a)During the first quarter of 2022, the Company issued a promissory note with a present value of $10.9 million for land purchased in Kings Mountain, NC. The promissory note is payable in equal annual installments from the years 2027 to 2048.

As part of the purchase price paid for the acquisition of a 60% interest in the MRL Wodgina Project, the Company transferred $7.7 million and $65.1 million of its construction in progress of the designated Kemerton assets during the three months ended March 31, 2023 and 2022, respectively, representing MRL’s 40% interest in the assets. The cash outflow for these assets was recorded in Capital expenditures within Cash flows from investing activities on the condensed consolidated statements of cash flows. The non-cash transfer of these assets is recorded in Non-cash transfer of 40% value of construction in

progress of the Kemerton plant to MRL within Cash flows from operating activities on the consolidated statements of cash flows.

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Recently Issued Accounting Pronouncements

3 Months Ended

Mar. 31, 2023

Accounting Changes and Error Corrections [Abstract]

Recently Issued Accounting Pronouncements

Recently Issued Accounting Pronouncements:

In March 2020, the Financial Accounting Standards Board (“FASB”) issued accounting guidance that provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The guidance applies only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. In January 2021, the FASB issued additional accounting guidance which clarifies that certain optional expedients and exceptions apply to derivatives that are affected by the discounting transition. The guidance under both FASB issuances was originally effective March 12, 2020 through December 31, 2022. However, in December 2022, the FASB issued an update to defer the sunset date of this guidance to December 31, 2024. The Company currently does not expect this guidance to have a significant impact on its consolidated financial statements.

In October 2021, the FASB issued guidance on how to recognize and measure acquired contract assets and liabilities from revenue contracts in a business combination, which requires the acquirer to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with ASC 606, Revenue from Contracts with Customers as if it had originated the contracts. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2022, including interim periods within those annual periods. This guidance does not currently, nor is it expected to, have a significant impact on its consolidated financial statements.

In March 2022, the FASB issued accounting guidance that expands the Company’s abilities to hedge the benchmark interest rate risk of portfolios of financial assets or beneficial interests in a fair value hedge. This guidance expands the use of the portfolio layer method to allow multiple hedges of a single closed portfolio of assets using spot starting, forward starting, and amortizing-notional swaps. This also permits both prepayable and non prepayable financial assets to be included in the closed portfolio of assets hedged in a portfolio layer hedge. In addition, this guidance requires that basis adjustments not be allocated to individual assets for active portfolio layer method hedges, but rather be maintained on the closed portfolio of assets as a whole. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2022, including interim periods within those annual periods. This guidance does not currently, nor is it expected to, have a significant impact on its consolidated financial statements.

In March 2023, the FASB issued guidance which requires the Company to amortize leasehold improvements associated with common control leases over the asset’s useful life to the common control group regardless of the lease term. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2023, including interim periods within those annual periods. The Company currently does not expect this guidance to have a significant impact on its consolidated financial statements.

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Recently Issued Accounting Pronouncements (Policies)

3 Months Ended

Mar. 31, 2023

Accounting Changes and Error Corrections [Abstract]

Recently Issued Accounting Pronouncements

In March 2020, the Financial Accounting Standards Board (“FASB”) issued accounting guidance that provides optional expedients and exceptions for applying U.S. GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. The guidance applies only to contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. In January 2021, the FASB issued additional accounting guidance which clarifies that certain optional expedients and exceptions apply to derivatives that are affected by the discounting transition. The guidance under both FASB issuances was originally effective March 12, 2020 through December 31, 2022. However, in December 2022, the FASB issued an update to defer the sunset date of this guidance to December 31, 2024. The Company currently does not expect this guidance to have a significant impact on its consolidated financial statements.

In October 2021, the FASB issued guidance on how to recognize and measure acquired contract assets and liabilities from revenue contracts in a business combination, which requires the acquirer to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with ASC 606, Revenue from Contracts with Customers as if it had originated the contracts. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2022, including interim periods within those annual periods. This guidance does not currently, nor is it expected to, have a significant impact on its consolidated financial statements.

In March 2022, the FASB issued accounting guidance that expands the Company’s abilities to hedge the benchmark interest rate risk of portfolios of financial assets or beneficial interests in a fair value hedge. This guidance expands the use of the portfolio layer method to allow multiple hedges of a single closed portfolio of assets using spot starting, forward starting, and amortizing-notional swaps. This also permits both prepayable and non prepayable financial assets to be included in the closed portfolio of assets hedged in a portfolio layer hedge. In addition, this guidance requires that basis adjustments not be allocated to individual assets for active portfolio layer method hedges, but rather be maintained on the closed portfolio of assets as a whole. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2022, including interim periods within those annual periods. This guidance does not currently, nor is it expected to, have a significant impact on its consolidated financial statements.

In March 2023, the FASB issued guidance which requires the Company to amortize leasehold improvements associated with common control leases over the asset’s useful life to the common control group regardless of the lease term. This guidance is effective for financial statements issued for annual periods beginning after December 15, 2023, including interim periods within those annual periods. The Company currently does not expect this guidance to have a significant impact on its consolidated financial statements.

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Earnings Per Share (Tables)

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Calculation of Basic and Diluted Earning Per Share

Basic and diluted earnings per share for the three-month periods ended March 31, 2023 and 2022 are calculated as follows (in thousands, except per share amounts):

	Three Months Ended March 31,
	2023		2022
Basic earnings per share
Numerator:
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383
Denominator:
Weighted-average common shares for basic earnings per share	117,232		117,066
Basic earnings per share	$	10.57	$	2.16
Diluted earnings per share
Numerator:
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383
Denominator:
Weighted-average common shares for basic earnings per share	117,232		117,066
Incremental shares under stock compensation plans	609		587
Weighted-average common shares for diluted earnings per share	117,841		117,653
Diluted earnings per share	$	10.51	$	2.15

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Inventories (Tables)

3 Months Ended

Mar. 31, 2023

Inventory Disclosure [Abstract]

Breakdown of Inventories

The following table provides a breakdown of inventories at March 31, 2023 and December 31, 2022 (in thousands):

	March 31,		December 31,
	2023		2022
Finished goods	$	2,706,606	$	1,679,473
Raw materials and work in process(a)	368,669		296,998
Stores, supplies and other	105,550		99,560
Total	$	3,180,825	$	2,076,031

(a)Includes $154.7 million and $133.2 million at March 31, 2023 and December 31, 2022, respectively, of work in process in our Energy Storage segment.

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Investments, Debt and Equity Securities (Tables)

3 Months Ended

Mar. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Schedule Of Assets Liabilities And Results Of Operations For Unconsolidated Joint Ventures

The following table summarizes the unaudited results of operations for the Talison joint venture, which met the significant subsidiary test for subsidiaries not consolidated or 50% or less owned persons under Rule 10-01 of Regulation S-X, for the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Net sales	$	1,959,298	$	392,833
Gross profit	1,901,700		354,442
Income before income taxes	1,784,150		292,552
Net income	1,248,902		204,787

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Goodwill and Other Intangibles (Tables)

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Changes in Goodwill

The following table summarizes the changes in goodwill by reportable segment for the three months ended March 31, 2023 (in thousands):

	Energy Storage		Specialties		Ketjen		Total
Balance at December 31, 2022	$	1,424,275	$	20,319	$	173,033	$	1,617,627
Segment realignment(a)	(12,316)		12,316		—		—
Foreign currency translation adjustments and other	13,342		—		3,183		16,525
Balance at March 31, 2023	$	1,425,301	$	32,635	$	176,216	$	1,634,152

(a)    Effective January 1, 2023, the Company realigned its Lithium and Bromine reportable segments into the Energy Storage and Specialties reportable segments. See Note 11, “Segment Information,” for additional details. As a result, the Company transferred goodwill from its legacy Lithium segment to the new Specialties reportable segment during the three months ended March 31, 2023.

Other Intangibles

The following table summarizes the changes in other intangibles and related accumulated amortization for the three months ended March 31, 2023 (in thousands):

	Customer Lists and Relationships		Trade Names and Trademarks(a)		Patents and Technology		Other		Total
Gross Asset Value
Balance at December 31, 2022	$	412,670	$	13,161	$	46,399	$	35,186	$	507,416
Foreign currency translation adjustments and other	5,066		231		639		981		6,917
Balance at March 31, 2023	$	417,736	$	13,392	$	47,038	$	36,167	$	514,333
Accumulated Amortization
Balance at December 31, 2022	$	(177,627)	$	(3,587)	$	(23,790)	$	(14,542)	$	(219,546)
Amortization	(6,529)		—		(657)		(248)		(7,434)
Foreign currency translation adjustments and other	(2,136)		(43)		(373)		(293)		(2,845)
Balance at March 31, 2023	$	(186,292)	$	(3,630)	$	(24,820)	$	(15,083)	$	(229,825)
Net Book Value at December 31, 2022	$	235,043	$	9,574	$	22,609	$	20,644	$	287,870
Net Book Value at March 31, 2023	$	231,444	$	9,762	$	22,218	$	21,084	$	284,508

(a)    Net Book Value includes only indefinite-lived intangible assets.

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Long-Term Debt (Tables)

3 Months Ended

Mar. 31, 2023

Debt Disclosure [Abstract]

Long-term Debt

Long-term debt at March 31, 2023 and December 31, 2022 consisted of the following (in thousands):

	March 31,		December 31,
	2023		2022
1.125% notes due 2025	$	408,959	$	401,265
1.625% notes due 2028	542,200		532,000
3.45% Senior notes due 2029	171,612		171,612
4.65% Senior notes due 2027	650,000		650,000
5.05% Senior notes due 2032	600,000		600,000
5.45% Senior notes due 2044	350,000		350,000
5.65% Senior notes due 2052	450,000		450,000
Variable-rate foreign bank loans	3,056		2,997
Finance lease obligations	76,070		76,537
Other	11,510		11,378
Unamortized discount and debt issuance costs	(27,847)		(28,689)
Total long-term debt	3,235,560		3,217,100
Less amounts due within one year	2,167		2,128
Long-term debt, less current portion	$	3,233,393	$	3,214,972

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Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2023

Commitments and Contingencies Disclosure [Abstract]

Activity in Recorded Environmental Liabilities

The following activity was recorded in environmental liabilities for the three months ended March 31, 2023 (in thousands):

Beginning balance at December 31, 2022	$	38,245
Expenditures	(817)
Accretion of discount	249
Additions and changes in estimates	1,869
Foreign currency translation adjustments and other	381
Ending balance at March 31, 2023	39,927
Less amounts reported in Accrued expenses	7,441
Amounts reported in Other noncurrent liabilities	$	32,486

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Leases (Tables)

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Lease, Cost

The following table provides details of our lease contracts for the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Operating lease cost	$	11,751	$	10,611
Finance lease cost:
Amortization of right of use assets	845		430
Interest on lease liabilities	1,059		853
Total finance lease cost	1,904		1,283
Short-term lease cost	5,060		2,699
Variable lease cost	3,509		717
Total lease cost	$	22,224	$	15,310

Supplemental cash flow information related to our lease contracts for the three-month periods ended March 31, 2023 and 2022 is as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	10,974	$	8,637
Operating cash flows from finance leases	1,203		599
Financing cash flows from finance leases	500		515
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	10,337		999

Supplemental Balance Sheet Information related to Leases

Supplemental balance sheet information related to our lease contracts, including the location on balance sheet, at March 31, 2023 and December 31, 2022 is as follows (in thousands, except as noted):

	March 31, 2023			December 31, 2022
Operating leases:
Other assets	$	128,229		$	128,173
Accrued expenses	35,343			35,515
Other noncurrent liabilities	102,125			99,269
Total operating lease liabilities	137,468			134,784
Finance leases:
Net property, plant and equipment	80,591			81,356
Current portion of long-term debt(a)	4,872			4,995
Long-term debt	73,903			74,409
Total finance lease liabilities	78,775			79,404
Weighted average remaining lease term (in years):
Operating leases	13.0			13.3
Finance leases	22.6			22.8
Weighted average discount rate (%):
Operating leases	3.72		%	3.60		%
Finance leases	4.41		%	4.41		%

(a)    Balance includes accrued interest of finance lease recorded in Accrued liabilities.

Lessee, Operating Lease, Liability, Maturity

Maturities of lease liabilities at March 31, 2023 were as follows (in thousands):

	Operating Leases		Finance Leases
Remainder of 2023	$	31,554	$	5,437
2024	27,766		9,409
2025	15,923		6,129
2026	12,576		5,478
2027	10,717		5,478
Thereafter	113,413		91,904
Total lease payments	211,949		123,835
Less imputed interest	74,481		45,060
Total	$	137,468	$	78,775

Finance Lease, Liability, Maturity

Maturities of lease liabilities at March 31, 2023 were as follows (in thousands):

	Operating Leases		Finance Leases
Remainder of 2023	$	31,554	$	5,437
2024	27,766		9,409
2025	15,923		6,129
2026	12,576		5,478
2027	10,717		5,478
Thereafter	113,413		91,904
Total lease payments	211,949		123,835
Less imputed interest	74,481		45,060
Total	$	137,468	$	78,775

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Segment Information (Tables)

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Reportable Segments Summarized Financial Information

Segment information for the three-month periods ended March 31, 2023 and 2022 were as follows (in thousands). Prior period amounts have been recast to reflect the current segment structure.

	Three Months Ended March 31,
	2023		2022
Net sales:
Energy Storage	$	1,943,682	$	463,704
Specialties	418,778		446,147
Ketjen	217,792		217,877
Total net sales	$	2,580,252	$	1,127,728
Adjusted EBITDA:
Energy Storage	$	1,406,181	$	285,247
Specialties	162,158		152,602
Ketjen	14,543		16,910
Total segment adjusted EBITDA	1,582,882		454,759
Corporate	12,837		(22,829)
Total adjusted EBITDA	$	1,595,719	$	431,930
Depreciation and amortization:
Energy Storage	$	52,162	$	35,046
Specialties	19,892		16,153
Ketjen	13,143		12,921
Corporate	2,074		2,454
Total depreciation and amortization	$	87,271	$	66,574

See below for a reconciliation of total segment adjusted EBITDA to the companies consolidated Net income attributable to Albemarle Corporation, the most directly comparable financial measure calculated and reported in accordance with U.S. GAAP (in thousands):

	Three Months Ended March 31,
	2023		2022
Total segment adjusted EBITDA	$	1,582,882	$	454,759
Corporate expenses, net	12,837		(22,829)
Depreciation and amortization	(87,271)		(66,574)
Interest and financing expenses(a)	(26,777)		(27,834)
Income tax expense	(276,963)		(80,530)
Loss on sale of interest in properties, net(b)	—		(8,400)
Acquisition and integration related costs(c)	(5,108)		(1,724)
Non-operating pension and OPEB items	(601)		5,280
Mark-to-market gain on public equity securities(d)	45,826		—
Other(e)	(6,245)		1,235
Net income attributable to Albemarle Corporation	$	1,238,580	$	253,383

(a)Included in Interest and financing expenses for the three months ended March 31, 2022 is the correction of an out of period error of $17.5 million related to the overstatement of capitalized interest in prior periods.

(b)Expense recorded as a result of revised estimates of the obligation to construct certain lithium hydroxide conversion assets in Kemerton, Western Australia, due to cost overruns from supply chain, labor and COVID-19 pandemic related issues. The corresponding obligation was recorded in Accrued liabilities to be transferred to MRL, which maintains a 40% ownership interest in these Kemerton assets.

(c)Costs related to the acquisition, integration and potential divestitures for various significant projects, recorded in Selling, general and administrative expenses (“SG&A”).

(d)Gain recorded in Other income, net for the three months ended March 31, 2023, resulting from the increase in fair value of investments in public equity securities.

(e)Included amounts for the three months ended March 31, 2023 recorded in:

•SG&A - $1.9 million of charges primarily for environmental reserves at sites not part of our operations and $0.7 million of facility closure expenses related to offices in Germany.

•Other income, net - $3.6 million of charges for asset retirement obligations at a site not part of our operations.

Included amounts for the three months ended March 31, 2022 recorded in:

•SG&A - $4.3 million of gains from the sale of legacy properties not part of our operations, partially offset by $2.8 million of charges for environmental reserves at sites not part of our operations and $0.7 million of facility closure expenses related to offices in Germany.

•Other income, net - $0.6 million gain related to a settlement received from a legal matter in a prior period.

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Pension Plans and Other Postretirement Benefits (Tables)

3 Months Ended

Mar. 31, 2023

Retirement Benefits [Abstract]

Domestic and Foreign Pension and Postretirement Defined Benefit Plans

The components of pension and postretirement benefits cost (credit) for the three-month periods ended March 31, 2023 and 2022 were as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Pension Benefits Cost (Credit):
Service cost	$	1,321	$	985
Interest cost	8,542		5,605
Expected return on assets	(8,409)		(11,212)
Amortization of prior service benefit	20		24
Total net pension benefits cost (credit)	$	1,474	$	(4,598)
Postretirement Benefits Cost:
Service cost	$	12	$	21
Interest cost	468		327
Total net postretirement benefits cost	$	480	$	348
Total net pension and postretirement benefits cost (credit)	$	1,954	$	(4,250)

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Fair Value of Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value of Long-Term Debt

The carrying value of our remaining long-term debt reported in the accompanying consolidated balance sheets approximates fair value as substantially all of such debt bears interest based on prevailing variable market rates currently available in the countries in which we have borrowings.

	March 31, 2023				December 31, 2022
	Recorded Amount		Fair Value		Recorded Amount		Fair Value
	(In thousands)
Long-term debt	$	3,257,604	$	3,073,954	$	3,239,853	$	2,993,027

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The following table summarizes the fair value of our foreign currency forward contracts included in the consolidated balance sheets as of March 31, 2023 and December 31, 2022 (in thousands):

	March 31, 2023				December 31, 2022
	Assets		Liabilities		Assets		Liabilities
Designated as hedging instruments
Accrued expenses	$	—	$	921	$	—	$	3,159
Total designated as hedging instruments	—		921		—		3,159
Not designated as hedging instruments
Other current assets	—		—		6,016		—
Accrued expenses	—		306		—		85
Total not designated as hedging instruments	—		306		6,016		85
Total	$	—	$	1,227	$	6,016	$	3,244

Derivative Instruments, Losses

The following table summarizes the net gains (losses) recognized for our foreign currency forward contracts during the three-month periods ended March 31, 2023 and 2022 (in thousands):

	Three Months Ended March 31,
	2023		2022
Designated as hedging instruments
Income recognized in Other comprehensive income (loss)	$	1,101	$	4,017
Not designated as hedging instruments
Income (loss) recognized in Other income, net(a)	$	35,233	$	(3,972)

(a)    Fluctuations in the value of our foreign currency forward contracts not designated as hedging instruments are generally expected to be offset by changes in the value of the underlying exposures being hedged, which are also reported in Other income, net.

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Fair Value Measurement (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Financial Assets and Liabilities Accounted for at Fair Value on Recurring Basis

The following tables set forth our financial assets and liabilities that were accounted for at fair value on a recurring basis as of March 31, 2023 and December 31, 2022 (in thousands):

	March 31, 2023		Quoted Prices in Active Markets for Identical Items (Level 1)		Quoted Prices in Active Markets for Similar Items (Level 2)		Unobservable Inputs (Level 3)
Assets:
Available for sale debt securities(a)	$	266,276	$	—	$	—	$	266,276
Investments under executive deferred compensation plan(b)	$	27,539	$	27,539	$	—	$	—
Public equity securities(c)	$	177,503	$	177,503	$	—	$	—
Private equity securities measured at net asset value(d)(e)	$	6,388	$	—	$	—	$	—
Liabilities:
Obligations under executive deferred compensation plan(b)	$	27,539	$	27,539	$	—	$	—
Foreign currency forward contracts(f)	$	1,227	$	—	$	1,227	$	—

	December 31, 2022		Quoted Prices in Active Markets for Identical Items (Level 1)		Quoted Prices in Active Markets for Similar Items (Level 2)		Unobservable Inputs (Level 3)
Assets:
Available for sale debt securities(a)	$	260,139	$	—	$	—	$	260,139
Investments under executive deferred compensation plan(b)	$	27,270	$	27,270	$	—	$	—
Public equity securities(c)	$	5,890	$	5,890	$	—	$	—
Private equity securities measured at net asset value(d)(e)	$	6,375	$	—	$	—	$	—
Foreign currency forward contracts(f)	$	6,016	$	—	$	6,016	$	—
Liabilities:
Obligations under executive deferred compensation plan(b)	$	27,270	$	27,270	$	—	$	—
Foreign currency forward contracts(f)	$	3,244	$	—	$	3,244	$	—

(a)Preferred equity of a Grace subsidiary acquired as a portion of the proceeds of the FCS sale on June 1, 2021. A third-party estimate of the fair value was prepared using expected future cash flows over the period up to when the asset is likely to be redeemed, applying a discount rate that appropriately captures a market participant's view of the risk associated with the investment. These are considered to be Level 3 inputs.

(b)We maintain an Executive Deferred Compensation Plan (“EDCP”) that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trust”) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. As such, these assets and obligations are classified within Level 1.

(c)Holdings in equity securities of public companies reported in Investments in the consolidated balance sheets. The fair value is measured using publicly available share prices of the investments, with any changes reported in Other income, net in our consolidated statements of income. During the three-month period ended March 31, 2023, the Company purchased approximately $121.9 million of shares in a publicly-traded company. In addition, the Company recorded a mark-to-market gain of $45.8 million on all public equity securities during the three-month period ended March 31, 2023 in Other income, net.

(d)Primarily consists of private equity securities reported in Investments in the consolidated balance sheets. The changes in fair value are reported in Other income, net in our consolidated statements of income.

(e)Holdings in certain private equity securities are measured at fair value using the net asset value per share (or its equivalent) practical expedient and have not been categorized in the fair value hierarchy.

(f)As a result of our global operating and financing activities, we are exposed to market risks from changes in foreign currency exchange rates which may adversely affect our operating results and financial position. When deemed appropriate, we minimize our risks from

foreign currency exchange rate fluctuations through the use of foreign currency forward contracts. The foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within Level 2. See Note 13, “Fair Value of Financial Instruments,” for further details about our foreign currency forward contracts.

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The following tables set forth the reconciliation of the beginning and ending balance for the Level 3 recurring fair value measurements (in thousands):

	Available for Sale Debt Securities
Beginning balance at December 31, 2022	$	260,139
Fair value adjustment	2,953
Accretion of discount	3,184
Ending balance at March 31, 2023	$	266,276

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Accumulated Other Comprehensive (Loss) Income (Tables)

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Components and Activity in Accumulated Other Comprehensive (Loss) Income Net of Deferred Income Taxes

The components and activity in Accumulated other comprehensive (loss) income (net of deferred income taxes) consisted of the following during the periods indicated below (in thousands):

	Foreign Currency Translation and Other		Cash Flow Hedge(a)		Interest Rate Swap(b)		Total
Three months ended March 31, 2023
Balance at December 31, 2022	$	(562,886)	$	2,224	$	—	$	(560,662)
Other comprehensive income before reclassifications	46,200		1,101		—		47,301
Amounts reclassified from accumulated other comprehensive loss	16		—		—		16
Other comprehensive income, net of tax	46,216		1,101		—		47,317
Other comprehensive income attributable to noncontrolling interests	8		—		—		8
Balance at March 31, 2023	$	(516,662)	$	3,325	$	—	$	(513,337)
Three months ended March 31, 2022
Balance at December 31, 2021	$	(391,674)	$	6,623	$	(7,399)	$	(392,450)
Other comprehensive (loss) income before reclassifications	(5,909)		4,017		—		(1,892)
Amounts reclassified from accumulated other comprehensive loss	20		—		650		670
Other comprehensive (loss) income, net of tax	(5,889)		4,017		650		(1,222)
Other comprehensive income attributable to noncontrolling interests	53		—		—		53
Balance at March 31, 2022	$	(397,510)	$	10,640	$	(6,749)	$	(393,619)

(a)We entered into a foreign currency forward contract, which was designated and accounted for as a cash flow hedge under ASC 815, Derivatives and Hedging. See Note 14, “Fair Value of Financial Instruments,” for additional information.

(b)The pre-tax portion of amounts reclassified from accumulated other comprehensive loss is included in interest expense. The balance of this interest rate swap was being amortized to Interest and financing expenses over the life of the 4.15% senior notes originally due in 2024. In the second quarter of 2022, the Company repaid these notes, and as a result, reclassified the remaining balance of this interest rate swap to interest expense during the same period as part of an early extinguishment of debt.

Amount of Income Tax (Expense) Benefit Allocated to Component Of Other Comprehensive Income (Loss)

The amount of income tax expense allocated to each component of Other comprehensive income (loss) for the three-month periods ended March 31, 2023 and 2022 is provided in the following tables (in thousands):

	Foreign Currency Translation and Other		Cash Flow Hedge		Interest Rate Swap		Total
Three months ended March 31, 2023
Other comprehensive income, before tax	$	45,978	$	1,101	$	—	$	47,079
Income tax benefit	238		—		—		238
Other comprehensive income, net of tax	$	46,216	$	1,101	$	—	$	47,317
Three months ended March 31, 2022
Other comprehensive (loss) income, before tax	$	(6,458)	$	4,017	$	834	$	(1,607)
Income tax benefit (expense)	569		—		(184)		385
Other comprehensive (loss) income, net of tax	$	(5,889)	$	4,017	$	650	$	(1,222)

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Related Party Transactions (Tables)

3 Months Ended

Mar. 31, 2023

Related Party Transactions [Abstract]

Schedule of Related Party Transactions

Our consolidated statements of income include sales to and purchases from unconsolidated affiliates in the ordinary course of business as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Sales to unconsolidated affiliates	$	7,100	$	7,655
Purchases from unconsolidated affiliates(a)	$	1,072,544	$	216,554

(a)Purchases from unconsolidated affiliates primarily relate to spodumene purchased from the Company’s Windfield joint venture.

Our consolidated balance sheets include accounts receivable due from and payable to unconsolidated affiliates in the ordinary course of business as follows (in thousands):

	March 31, 2023		December 31, 2022
Receivables from unconsolidated affiliates	$	13,076	$	21,495
Payables to unconsolidated affiliates(a)	$	1,012,822	$	518,377

(a)Payables to unconsolidated affiliates primarily relate spodumene purchased from the Company’s Windfield joint venture under normal payment terms.

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Supplemental Cash Flow Information (Tables)

3 Months Ended

Mar. 31, 2023

Supplemental Cash Flow Information [Abstract]

Supplemental Cash Flow Information

Supplemental information related to the condensed consolidated statements of cash flows is as follows (in thousands):

	Three Months Ended March 31,
	2023		2022
Supplemental non-cash disclosure related to investing and financing activities:
Capital expenditures included in Accounts payable	$	347,165	$	196,661
Promissory note issued for capital expenditures(a)	$	—	$	10,876

(a)During the first quarter of 2022, the Company issued a promissory note with a present value of $10.9 million for land purchased in Kings Mountain, NC. The promissory note is payable in equal annual installments from the years 2027 to 2048.

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Business Combinations and Asset Acquisitions (Details) $ in Thousands	Oct. 25, 2022 USD ($) metricTon	Mar. 31, 2023 USD ($)	Dec. 31, 2022 USD ($)
Business Acquisition [Line Items]
Goodwill		$ 1,634,152	$ 1,617,627
Guangxi Tianyuan New Energy Materials Co Ltd
Business Acquisition [Line Items]
Payments to Acquire Businesses, Gross	$ 200,000
Deferred Payments to Acquire Businesses	$ 29,000
Designed Annual Conversion Capacity | metricTon	25,000
Fair value of mineral reserves	$ 106,600
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill	16,300
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities	5,500
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities	7,100
Goodwill	$ 76,100

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Income Taxes (Details)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Effective income tax rate	23.90%	26.90%

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Earnings Per Share - Calculation of Basic and Diluted Earnings Per Share From Continuing Operations (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Basic earnings per share from continuing operations
Net income attributable to Albemarle Corporation	$ 1,238,580	$ 253,383
Weighted-average common shares for basic earnings per share (in shares)	117,232	117,066
Basic earnings per share (in dollars per share)	$ 10.57	$ 2.16
Diluted earnings per share from continuing operations
Net income attributable to Albemarle Corporation	$ 1,238,580	$ 253,383
Weighted-average common shares for basic earnings per share (in shares)	117,232	117,066
Incremental shares under stock compensation plans (in shares)	609	587
Weighted-average common shares outstanding - diluted (in shares)	117,841	117,653
Diluted earnings per share (in dollars per share)	$ 10.51	$ 2.15

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Earnings Per Share - Additional Information (Details) - $ / shares	3 Months Ended
	Mar. 31, 2023	May 01, 2023	Feb. 23, 2023
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Antidilutive securities excluded from computation of earnings per share	51,316
Cash dividend, amount per share (in dollars per share)			$ 0.40
Subsequent Event
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Cash dividend, amount per share (in dollars per share)		$ 0.40

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Inventories - Breakdown of inventories (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Finished goods	$ 2,706,606	$ 1,679,473
Raw materials and work in process	368,669	296,998
Stores, supplies and other	105,550	99,560
Total inventories	$ 3,180,825	$ 2,076,031

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Inventories - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Other variable interest entities
Inventory [Line Items]
Equity Method Investment, Deferred Gain on Sale	$ 552.8	$ 332.3
Lithium
Inventory [Line Items]
Work in process related to Lithium	$ 154.7	$ 133.2

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Investments (Details) $ in Thousands			3 Months Ended		9 Months Ended
	Jun. 01, 2021 USD ($)	Oct. 31, 2019	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($)	Dec. 31, 2023 USD ($) metricTon	Dec. 31, 2022 USD ($)
Schedule of Investments [Line Items]
Net sales			$ 2,580,252	$ 1,127,728
Gross Profit			1,276,540	449,030
Net income			1,276,703	281,547
Fine Chemistry Services
Schedule of Investments [Line Items]
Preferred Stock, Value, Outstanding	$ 270,000		266,300			$ 260,100
Preferred Stock, Dividend Rate, Percentage	12.00%
Significant Unconsolidated Joint Ventures
Schedule of Investments [Line Items]
Net sales			1,959,298	392,833
Gross Profit			1,901,700	354,442
Income (Loss) Attributable to Parent, before Tax			1,784,150	292,552
Net income			1,248,902	$ 204,787
Windfield Holdings
Schedule of Investments [Line Items]
Carrying value of unconsolidated investment			$ 746,800			694,500
Windfield Holdings | Windfield Holdings
Schedule of Investments [Line Items]
Equity method investment, ownership percentage			49.00%
Other variable interest entities
Schedule of Investments [Line Items]
Carrying value of unconsolidated investment			$ 7,700			$ 6,700
Forecast | Minimum | Mineral Resources Limited
Schedule of Investments [Line Items]
Capital costs committed					$ 100,000
Forecast | Maximum | Mineral Resources Limited
Schedule of Investments [Line Items]
Capital costs committed					$ 150,000
Forecast | Mineral Resources Limited
Schedule of Investments [Line Items]
Capital costs committed percent					50.00%
Capital costs committed					$ 350,000
Kemerton Plant
Schedule of Investments [Line Items]
Ownership percentage			60.00%
Kemerton Plant | Forecast
Schedule of Investments [Line Items]
Ownership percentage					85.00%
Ownership percentage purchased					25.00%
Mineral Resources Limited Wodgina Project
Schedule of Investments [Line Items]
Ownership percentage		60.00%	40.00%
Mineral Resources Limited Wodgina Project | Forecast
Schedule of Investments [Line Items]
Ownership percentage					50.00%
Ownership percentage purchased					10.00%
Qinzhou Plant | Forecast
Schedule of Investments [Line Items]
Designed Annual Conversion Capacity | metricTon					25,000
Qinzhou Plant | Forecast | Mineral Resources Limited
Schedule of Investments [Line Items]
Ownership percentage					50.00%
Meishan Plant | Forecast
Schedule of Investments [Line Items]
Designed Annual Conversion Capacity | metricTon					50,000
Meishan Plant | Forecast | Mineral Resources Limited
Schedule of Investments [Line Items]
Ownership percentage					50.00%

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Goodwill and Other Intangibles - Changes in Goodwill (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($)
Goodwill [Roll Forward]
Balance at beginning of period	$ 1,617,627
Foreign currency translation adjustments and other	16,525
Balance at end of period	1,634,152
Goodwill, Transfers	0
Reportable Segments | Lithium
Goodwill [Roll Forward]
Balance at beginning of period	1,424,275
Foreign currency translation adjustments and other	13,342
Balance at end of period	1,425,301
Goodwill, Transfers	12,316
Reportable Segments | Specialties
Goodwill [Roll Forward]
Balance at beginning of period	20,319
Foreign currency translation adjustments and other	0
Balance at end of period	32,635
Goodwill, Transfers	(12,316)
Reportable Segments | Catalysts
Goodwill [Roll Forward]
Balance at beginning of period	173,033
Foreign currency translation adjustments and other	3,183
Balance at end of period	176,216
Goodwill, Transfers	$ 0

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Goodwill and Other Intangibles - Other Intangibles (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]
Gross Asset Value, Beginning of Period	$ 507,416
Foreign currency translation adjustments and other	6,917
Gross Asset Value, End of Period	514,333
Accumulated Amortization, Beginning of Period	(219,546)
Amortization	(7,434)
Foreign currency translation adjustments and other	(2,845)
Accumulated Amortization, End of Period	(229,825)
Net Book Value	284,508	$ 287,870
Customer lists and relationships
Finite-Lived Intangible Assets [Line Items]
Gross Asset Value, Beginning of Period	412,670
Foreign currency translation adjustments and other	5,066
Gross Asset Value, End of Period	417,736
Accumulated Amortization, Beginning of Period	(177,627)
Amortization	(6,529)
Foreign currency translation adjustments and other	(2,136)
Accumulated Amortization, End of Period	(186,292)
Net Book Value	231,444	235,043
Trade names and trademarks
Finite-Lived Intangible Assets [Line Items]
Gross Asset Value, Beginning of Period	13,161
Foreign currency translation adjustments and other	231
Gross Asset Value, End of Period	13,392
Accumulated Amortization, Beginning of Period	(3,587)
Amortization	0
Foreign currency translation adjustments and other	(43)
Accumulated Amortization, End of Period	(3,630)
Net Book Value	9,762	9,574
Patents and technology
Finite-Lived Intangible Assets [Line Items]
Gross Asset Value, Beginning of Period	46,399
Foreign currency translation adjustments and other	639
Gross Asset Value, End of Period	47,038
Accumulated Amortization, Beginning of Period	(23,790)
Amortization	(657)
Foreign currency translation adjustments and other	(373)
Accumulated Amortization, End of Period	(24,820)
Net Book Value	22,218	22,609
Other
Finite-Lived Intangible Assets [Line Items]
Gross Asset Value, Beginning of Period	35,186
Foreign currency translation adjustments and other	981
Gross Asset Value, End of Period	36,167
Accumulated Amortization, Beginning of Period	(14,542)
Amortization	(248)
Foreign currency translation adjustments and other	(293)
Accumulated Amortization, End of Period	(15,083)
Net Book Value	$ 21,084	$ 20,644

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Long-Term Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Total long-term Debt	$ 3,235,560	$ 3,217,100
Unamortized discount and debt issuance costs	(27,847)	(28,689)
Current portion of long-term debt	2,167	2,128
Long-term debt	3,233,393	3,214,972
Unsecured debt | 1.125% Notes
Debt Instrument [Line Items]
Total long-term Debt	$ 408,959	$ 401,265
Debt instrument, interest rate	1.125%	1.125%
Unsecured debt | 1.625% Notes
Debt Instrument [Line Items]
Total long-term Debt	$ 542,200	$ 532,000
Debt instrument, interest rate	1.625%	1.625%
Senior notes | 3.45% Senior Notes
Debt Instrument [Line Items]
Total long-term Debt	$ 171,612	$ 171,612
Debt instrument, interest rate	3.45%	3.45%
Senior notes | 4.65% Senior Notes
Debt Instrument [Line Items]
Total long-term Debt	$ 650,000	$ 650,000
Debt instrument, interest rate	4.65%	4.65%
Senior notes | 5.05% Senior Notes
Debt Instrument [Line Items]
Total long-term Debt	$ 600,000	$ 600,000
Debt instrument, interest rate	5.05%	5.05%
Senior notes | 5.45% Senior Notes
Debt Instrument [Line Items]
Total long-term Debt	$ 350,000	$ 350,000
Debt instrument, interest rate	5.45%	5.45%
Senior notes | 5.65% Senior Notes
Debt Instrument [Line Items]
Total long-term Debt	$ 450,000	$ 450,000
Debt instrument, interest rate	5.65%	5.65%
Variable-rate foreign bank loans
Debt Instrument [Line Items]
Total long-term Debt	$ 3,056	$ 2,997
Finance lease obligations
Debt Instrument [Line Items]
Total long-term Debt	76,070	76,537
Other Debt Obligations
Debt Instrument [Line Items]
Total long-term Debt	$ 11,510	$ 11,378

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Commitments and Contingencies - Activity in Recorded Environmental Liabilities (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($)
Accrual for Environmental Loss Contingencies [Roll Forward]
Balance at beginning of period	$ 38,245
Expenditures	(817)
Accretion of discount	249
Accrual for Environmental Loss Contingencies, Period Increase (Decrease)	1,869
Foreign currency translation adjustments and other	381
Balance at end of period	39,927
Less amounts reported in Accrued expenses	7,441
Amounts reported in Other noncurrent liabilities	$ 32,486

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Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Loss Contingencies [Line Items]
Environmental remediation liabilities - discounted	$ 32.1	$ 30.1
Accrual for environmental loss contingencies - weighted-average discount rate	3.60%	3.40%
Environmental remediation liabilities - undiscounted	$ 60.8	$ 57.5
Potential revision on future environmental remediation costs before tax	19.0
Other noncurrent liabilities
Loss Contingencies [Line Items]
Tax Indemnification Liability	$ 67.4	$ 66.1

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Leases - Additional Information (Details)	Mar. 31, 2023
Minimum
Lessee, Lease, Description [Line Items]
Lease renewal term	1 year
Maximum
Lessee, Lease, Description [Line Items]
Lease renewal term	50 years
Real estate | Minimum
Lessee, Lease, Description [Line Items]
Lease term of contract	1 year
Real estate | Maximum
Lessee, Lease, Description [Line Items]
Lease term of contract	30 years
Non-real estate | Minimum
Lessee, Lease, Description [Line Items]
Lease term of contract	2 years
Non-real estate | Maximum
Lessee, Lease, Description [Line Items]
Lease term of contract	15 years

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Leases - Leases Cost (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Operating lease cost	$ 11,751	$ 10,611
Amortization of right of use assets	845	430
Interest on lease liabilities	1,059	853
Total finance lease cost	1,904	1,283
Short-term lease cost	5,060	2,699
Variable lease cost	3,509	717
Total lease cost	$ 22,224	$ 15,310

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Leases - Leases Cash Flow (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Leases [Abstract]
Operating cash flows from operating leases	$ 10,974	$ 8,637
Operating cash flows from finance leases	1,203	599
Financing cash flows from finance leases	500	515
Right-of-use asset obtained in exchange for operating leases	$ 10,337	$ 999

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Leases - Leases Balance Sheet (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Leases [Abstract]
Other assets	$ 128,229	$ 128,173
Accrued expenses	35,343	35,515
Other noncurrent liabilities	102,125	99,269
Total operating lease liabilities	137,468	134,784
Net property, plant and equipment	80,591	81,356
Current portion of long-term debt(a)	4,872	4,995
Long-term debt	73,903	74,409
Total finance lease liabilities	$ 78,775	$ 79,404
Weighted average remaining lease term, operating leases	13 years	13 years 3 months 18 days
Weighted average remaining lease term, finance leases	22 years 7 months 6 days	22 years 9 months 18 days
Weighted average discount rate, operating leases, percent	3.72%	3.60%
Weighted average discount rate, finance leases, percent	4.41%	4.41%

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Leases - Leases Maturity Table (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Operating Leases
Remainder of 2023	$ 31,554
2024	27,766
2025	15,923
2026	12,576
2027	10,717
Thereafter	113,413
Total lease payments	211,949
Less imputed interest	74,481
Total operating lease liabilities	137,468	$ 134,784
Finance Leases
Remainder of 2023	5,437
2024	9,409
2025	6,129
2026	5,478
2027	5,478
Thereafter	91,904
Total lease payments	123,835
Less imputed interest	45,060
Total finance lease liabilities	$ 78,775	$ 79,404

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Segment Information - Additional Information (Details)	3 Months Ended
	Mar. 31, 2023 segment
Segment Reporting [Abstract]
Number of reportable segments	3

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Segment Information - Summarized Financial Information by Reportable Segments (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Segment Reporting Information [Line Items]
Net sales	$ 2,580,252	$ 1,127,728
Adjusted EBITDA	1,595,719	431,930
Depreciation and amortization	(87,271)	(66,574)
Interest and Debt Expense	(26,777)	(27,834)
Income tax expense	(276,963)	(80,530)
Gain (Loss) on Disposition of Business	0	(8,400)
Acquisition and integration related costs	(5,108)	(1,724)
Non-operating pension and OPEB items	(601)	5,280
Equity Securities, FV-NI, Unrealized Gain (Loss)	45,826	0
Other	(6,245)	1,235
Net income attributable to Albemarle Corporation	1,238,580	253,383
Corporate
Segment Reporting Information [Line Items]
Adjusted EBITDA	12,837	(22,829)
Reportable Segments
Segment Reporting Information [Line Items]
Adjusted EBITDA	1,582,882	454,759
Reportable Segments | Lithium
Segment Reporting Information [Line Items]
Net sales	1,943,682	463,704
Adjusted EBITDA	1,406,181	285,247
Depreciation and amortization	(52,162)	(35,046)
Reportable Segments | Specialties
Segment Reporting Information [Line Items]
Net sales	418,778	446,147
Adjusted EBITDA	162,158	152,602
Depreciation and amortization	(19,892)	(16,153)
Reportable Segments | Catalysts
Segment Reporting Information [Line Items]
Net sales	217,792	217,877
Adjusted EBITDA	14,543	16,910
Depreciation and amortization	(13,143)	(12,921)
Corporate
Segment Reporting Information [Line Items]
Depreciation and amortization	$ (2,074)	$ (2,454)

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Segment Information - Summarized Financial Information by Reportable Segments (Footnote) (Details) - USD ($) $ in Thousands		3 Months Ended
	Oct. 31, 2019	Mar. 31, 2023	Mar. 31, 2022
Segment Reporting Information [Line Items]
Interest and Debt Expense		$ (26,777)	$ (27,834)
Accrual for Environmental Loss Contingencies, Period Increase (Decrease)		$ 1,869
Lithium Hydroxide Conversion Assets
Segment Reporting Information [Line Items]
Ownership percentage	40.00%	40.00%
Selling, general and administrative expenses
Segment Reporting Information [Line Items]
Accrual for Environmental Loss Contingencies, Period Increase (Decrease)		$ 1,900	2,800
Other Restructuring Costs		700	700
Gain on sale of idle properties			4,300
Other Expense
Segment Reporting Information [Line Items]
Asset Retirement Obligation, Liabilities Incurred		$ 3,600
Proceeds from Legal Settlements			600
Revision of Prior Period, Error Correction, Adjustment
Segment Reporting Information [Line Items]
Interest and Debt Expense			$ 17,500

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Pension Plans and Other Postretirement Benefits - Domestic and Foreign Pension and Postretirement Defined Benefit Plans (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Defined Benefit Plan Disclosure [Line Items]
Total net pension and postretirement benefits cost (credit)	$ 1,954	$ (4,250)
Pension Plan
Defined Benefit Plan Disclosure [Line Items]
Service cost	1,321	985
Interest cost	8,542	5,605
Expected return on assets	(8,409)	(11,212)
Amortization of prior service benefit	20	24
Total net pension and postretirement benefits cost (credit)	1,474	(4,598)
Postretirement Benefits
Defined Benefit Plan Disclosure [Line Items]
Service cost	12	21
Interest cost	468	327
Total net pension and postretirement benefits cost (credit)	$ 480	$ 348

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Pension Plans and Other Postretirement Benefits - Pension and Postretirement Plan Contributions (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Retirement Benefits [Abstract]
Employer contributions	$ 2.7	$ 3.2
Payment for other postretirement benefits	$ 0.2	$ 0.6

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Fair Value of Financial Instruments - Fair Value of Long-Term Debt (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Fair Value Disclosures [Abstract]
Total long-term debt, excluding debt issuance costs	$ 3,257,604	$ 3,239,853
Total long-term debt, fair value, excluding debt issuance costs	$ 3,073,954	$ 2,993,027

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Fair Value of Financial Instruments - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Fair Value, Option, Quantitative Disclosures [Line Items]
Foreign currency forward contracts, assets	$ 0		$ 6,016
Foreign currency forward contracts, liabilities	1,227		3,244
Recognized gains (losses) of foreign currency forward contracts designated as hedging instruments	1,101	$ 4,017
Forward contracts | Other, net
Fair Value, Option, Quantitative Disclosures [Line Items]
Derivative, Cash Received on Hedge	41,500
Cash settlements		(3,300)
Designated as Hedging Instrument | Forward contracts
Fair Value, Option, Quantitative Disclosures [Line Items]
Derivative, notional amount	17,600		64,500
Fair value foreign currency forward contracts designated as hedging instruments, asset	0		0
Fair value foreign currency forward contracts designated as hedging instruments, liabilities	921		3,159
Recognized gains (losses) of foreign currency forward contracts designated as hedging instruments	1,101	4,017
Designated as Hedging Instrument | Forward contracts | Accrued expenses
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair value foreign currency forward contracts designated as hedging instruments, liabilities	921		3,159
Not Designated as Hedging Instrument | Forward contracts
Fair Value, Option, Quantitative Disclosures [Line Items]
Derivative, notional amount	5,200,000		2,800,000
Fair value foreign currency forward contracts not designated as hedging instruments, asset	0		6,016
Fair value foreign currency forward contracts not designated as hedging instruments, liabilities	306		85
Not Designated as Hedging Instrument | Forward contracts | Other current assets
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair value foreign currency forward contracts not designated as hedging instruments, asset	0		6,016
Not Designated as Hedging Instrument | Forward contracts | Accrued expenses
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair value foreign currency forward contracts not designated as hedging instruments, liabilities	306		$ 85
Not Designated as Hedging Instrument | Forward contracts | Other (expenses) income, net
Fair Value, Option, Quantitative Disclosures [Line Items]
Recognized (losses) gains of foreign currency forward contracts not designated as hedging instruments	$ 35,233	$ (3,972)

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Fair Value Measurement (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	$ 266,276		$ 260,139
Investments under executive deferred compensation plan	27,539		27,270
Private equity securities	177,503		5,890
Private equity securities measured at net asset value	6,388		6,375
Foreign currency forward contracts, assets	0		6,016
Obligations under executive deferred compensation plan	27,539		27,270
Foreign currency forward contracts, liabilities	1,227		3,244
Equity Securities, Purchases	121,900
Equity Securities, FV-NI, Unrealized Gain (Loss)	45,826	$ 0
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value	266,276		260,139
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Gain (Loss) Included in Other Comprehensive Income (Loss)	2,953
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Accretion of Discount	3,184
Quoted Prices in Active Markets for Identical Items (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0		0
Investments under executive deferred compensation plan	27,539		27,270
Private equity securities	177,503		5,890
Private equity securities measured at net asset value	0		0
Foreign currency forward contracts, assets			0
Obligations under executive deferred compensation plan	27,539		27,270
Foreign currency forward contracts, liabilities	0		0
Quoted Prices in Active Markets for Similar Items (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0		0
Investments under executive deferred compensation plan	0		0
Private equity securities	0		0
Private equity securities measured at net asset value	0		0
Foreign currency forward contracts, assets			6,016
Obligations under executive deferred compensation plan	0		0
Foreign currency forward contracts, liabilities	1,227		3,244
Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	266,276		260,139
Investments under executive deferred compensation plan	0		0
Private equity securities	0		0
Private equity securities measured at net asset value	0		0
Foreign currency forward contracts, assets			0
Obligations under executive deferred compensation plan	0		0
Foreign currency forward contracts, liabilities	$ 0		$ 0

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Accumulated Other Comprehensive (Loss) Income - Components and Activity in Accumulated Other Comprehensive (Loss) Income Net of Deferred Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Beginning Balance	$ 8,190,847	$ 5,805,607
Other comprehensive income (loss), before reclassifications	47,301	(1,892)
Amounts reclassified from accumulated other comprehensive loss	16	670
Total other comprehensive income (loss), net of tax	47,317	(1,222)
Other comprehensive (income) loss attributable to noncontrolling interests	8	53
Ending Balance	$ 9,459,070	6,035,052
4.15% Senior Notes | Senior notes
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Debt instrument, interest rate	4.15%
Foreign Currency Translation and Other
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Beginning Balance	$ (562,886)	(391,674)
Other comprehensive income (loss), before reclassifications	46,200	(5,909)
Amounts reclassified from accumulated other comprehensive loss	16	20
Total other comprehensive income (loss), net of tax	46,216	(5,889)
Other comprehensive (income) loss attributable to noncontrolling interests	8	53
Ending Balance	(516,662)	(397,510)
Cash Flow Hedge
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Beginning Balance	2,224	6,623
Other comprehensive income (loss), before reclassifications	1,101	4,017
Amounts reclassified from accumulated other comprehensive loss	0	0
Total other comprehensive income (loss), net of tax	1,101	4,017
Other comprehensive (income) loss attributable to noncontrolling interests	0	0
Ending Balance	3,325	10,640
Interest Rate Swap
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Beginning Balance	0	(7,399)
Other comprehensive income (loss), before reclassifications	0	0
Amounts reclassified from accumulated other comprehensive loss	0	650
Total other comprehensive income (loss), net of tax	0	650
Other comprehensive (income) loss attributable to noncontrolling interests	0	0
Ending Balance	0	(6,749)
Accumulated Other Comprehensive (Loss) Income
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Beginning Balance	(560,662)	(392,450)
Total other comprehensive income (loss), net of tax	47,325	(1,169)
Ending Balance	$ (513,337)	$ (393,619)

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Accumulated Other Comprehensive (Loss) Income - Amount of Income Tax Benefit (Expense) Allocated to Component of Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Accumulated Other Comprehensive (Loss) Income [Line Items]
Other comprehensive income (loss), before tax	$ 47,079	$ (1,607)
Income tax expense	238	385
Total other comprehensive income (loss), net of tax	47,317	(1,222)
Foreign Currency Translation and Other
Accumulated Other Comprehensive (Loss) Income [Line Items]
Other comprehensive income (loss), before tax	45,978	(6,458)
Income tax expense	238	569
Total other comprehensive income (loss), net of tax	46,216	(5,889)
Cash Flow Hedge
Accumulated Other Comprehensive (Loss) Income [Line Items]
Other comprehensive income (loss), before tax	1,101	4,017
Income tax expense	0	0
Total other comprehensive income (loss), net of tax	1,101	4,017
Interest Rate Swap
Accumulated Other Comprehensive (Loss) Income [Line Items]
Other comprehensive income (loss), before tax	0	834
Income tax expense	0	(184)
Total other comprehensive income (loss), net of tax	$ 0	$ 650

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Related Party Transactions (Details) - Unconsolidated Affiliates - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Related Party Transaction [Line Items]
Sales to unconsolidated affiliates	$ 7,100	$ 7,655
Purchases from unconsolidated affiliates	1,072,544	$ 216,554
Receivables from unconsolidated affiliates	13,076		$ 21,495
Payables to unconsolidated affiliates(a)	$ 1,012,822		$ 518,377

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Supplemental Cash Flow Information - Schedule of supplemental information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Supplemental Cash Flow Information [Abstract]
Capital expenditures included in Accounts payable	$ 347,165	$ 196,661
Notes Issued	$ 0	$ 10,876

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Supplemental Cash Flow Information - Additional Information (Details) - USD ($) $ in Thousands		3 Months Ended
	Oct. 31, 2019	Mar. 31, 2023	Mar. 31, 2022
Cash Flow Supplemental Disclosures [Line Items]
Non-cash transfer of 40% value of construction in progress of Kemerton plant to MRL		$ 7,665	$ 65,100
Lithium Hydroxide Conversion Assets
Cash Flow Supplemental Disclosures [Line Items]
Ownership percentage	40.00%	40.00%
Mineral Resources Limited Wodgina Project
Cash Flow Supplemental Disclosures [Line Items]
Ownership percentage	60.00%	40.00%
Mineral Resources Limited Wodgina Project | Lithium Hydroxide Conversion Assets
Cash Flow Supplemental Disclosures [Line Items]
Non-cash transfer of 40% value of construction in progress of Kemerton plant to MRL		$ 7,700	$ 65,100