This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Mosaic Lowers 2Q Production Guidance

PLYMOUTH, Minn. (AP) â¿¿ The Mosaic Co. says weak international demand for its crop nutrients has hurt sales volumes, which may not pick up until 2013.

The Plymouth, Minn.-based company, which sells phosphate and potash, lowered its second-quarter production guidance and tightened its price forecast as a result.

Shares of the company fell more than 4 percent in after-hours trading on the news.

Mosaic said international crop nutrient market demand has fallen as distributors are holding off on purchases to avoid price risk. The company believes this demand is simply delayed, but said sales volumes may not pick up until 2013.

The company had previously forecast second-quarter potash volumes of 1.6 million to 1.9 million metric tons, which already excluded shipments to India and China. Mosaic now forecasts shipments in the range of 1.3 million to 1.4 million metric tons, as other international buyers have followed suit and held off on purchases.

The company expects its phosphate volume to be in the range of 2.9 million to 3.1 million metric tons, down from its prior forecast of 3 million to 3.4 million metric tons.

Prices for both products are expected to be at the higher end of their projected ranges.

Jim Prokopanko, President and CEO of Mosaic, said that long-term demand for crop nutrients remains strong and this international weakness comes in spite of very strong demand in North America.

Mosaic also said Tuesday that it is decreasing the amount of unrecognized tax benefits reported on its balance sheet by $200 million in the second quarter due to the resolution of tax audit activity. As a result, it now expects its tax rate for 2013 will be in the mid-teens

The company made the announcement ahead of a presentation at the Dahlman Rose & Co. Global Metals, Mining Materials Conference in New York City on Wednesday.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,679.22 +0.99 0.01%
S&P 500 2,060.14 +3.99 0.19%
NASDAQ 4,882.7430 +19.3810 0.40%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs