Company Notes — The Potash Corporation

The recent announcement by leading Russian Potash producer Uralkali to exit its long-standing distribution agreement with Belaruskali, has thrown the industry into a mild state of panic. The link below contains a virtual meeting with Potash Corporation CEO, Bill Doyle, which sheds some light on his company’s position within the industry along with the long-term fundamentals of Potash. My best guess is that the news out of Russia is not as bad as the analysts speculate, or as benign as the company projects. With 90% of their major capital spending plans complete, the company announced last week they were repurchasing 8% of their shares outstanding to go along with the recent 25% hike in the dividend. Now yielding over 4.50%— I think I’ll purchase some also.

View the video here >

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David Burgess
sherri@bigideacreations.com