Our Commitment to Sustainability:
CEO Message
Mosaic's third Sustainability Report takes stock of our progress, opportunities and goals, and I am confident that our mission to help the world grow the food it needs is attainable with an ever-improving focus on sustainability.
Krishi Jyoti: Mosaic Villages Project India
Krishi Jyoti means "enlightened agriculture" and brings modern agricultural inputs and practices to farmers with the objective of improving the productivity of their fields.
For Generations to Come:
Mosaic's Commitment to the Land
Mosaic reclaims every acre we mine and leads the industry in returning mined land to productive uses, for wildlife and people. And we want our reclamations to be valued by future generations.
4Rs Nutrient Stewardship: The Nexus of Food and Water
With the right nutrient management, crop yields can increase without an environmental compromise. The 4R's are about doing everything "right" in regard to fertilizer application and effectively reducing agriculture's potential for negative externalities.
Safety: The Bottom Line is People
Mosaic's focus on environmental health and safety is first and foremost in any decision we make. Our culture of safety is something that we pride ourselves on. It's a culture of helping each other ensure that intervene where necessary to protect people and sustain our performance.



Percentage of Operations With Implemented Local Community Engagement, Impact Assessments and Development Programs

Impact Assessment

Mosaic employs a variety of approaches to systematically assess and manage the impacts of our operations on our communities. We also have a comprehensive approach to community engagement and development. Our largest operations are located in Saskatchewan, Canada, and four counties in Florida. We also have operations in South America and Asia. Although we continue to refine and adapt our programs in our more recent expansion areas of South America and Asia, this response focuses primarily on our North American operations. Mosaic has not quantifiably measured its percentage of local community engagement.

Mosaic is committed to conducting and reporting the results of environmental impact assessments. In 2011, the draft AEIS for continued phosphate mining in the Central Florida Phosphate District was launched. Administered by the Army Corps of Engineers and Environmental Protection Agency in compliance with the National Environmental Policy Act, this process analyzes the affected environment and potential impacts of phosphate mining in Central Florida. The draft AEIS scoping process included public meetings in March 2011, which attracted more than 800 industry supporters. There were 2,874 comments submitted during the public submission period, of which 91% were supportive of the phosphate industry and continued mining.

We are committed to public disclosure of our environmental impact assessments and permitting application details. For example, we are submitting our applications for future permits in conjunction with the draft AEIS with a focus on transparency. As information about our permit applications becomes available, it is posted online. This gives local residents the ability to communicate directly with the experts overseeing a given project, and provides the public with a clearer view of the regulatory process for permitting.

Our Potash business unit also conducts regular environmental impact assessments, reporting the findings to the Saskatchewan Ministry of Environment. The last study completed was in May 2011 and was for the Mosaic Potash Expansion K2 Stage 2 (K3). A full environmental impact assessment was conducted, including drilling test holes and a study of the local biology and wildlife, wetlands, topography and heritage factors.

We disclose the results of our Potash environmental impact assessments through open houses for the local community. These events are advertised in the local newspaper by Mosaic, and the public can submit comments up to 30 days after the presentation.

Community Development and Consultation

Each year, Mosaic donates 1% of pre-tax earnings to our philanthropic efforts. In fiscal 2011, Mosaic set a company record in corporate giving, and Mosaic employees logged more volunteer hours than ever before. We are striving to increase community support where our employees live and work.

In 2011, Mosaic operations in Florida committed over $8.4 million to enrich and improve communities where we have offices and operations. Community development projects in Florida include:

  • The Mosaic Coastal Education Center. During the reporting period, the Center hosted approximately 1,000 students for a semester of hands-on learning about Florida's ecosystems.
  • Start-up funds and agronomy expertise to establish school and community gardens in Polk County, Florida.
  • Participation in county fairs as a business partner and exhibitor. We educate the public about our reclamation efforts, and donate Mosaic youth livestock purchases to local chapters of Future Farmers of America, 4-H or food banks. During the reporting period, we distributed more than 3,500 Florida native tree seedlings at these fairs.
  • Partnership with the Florida Aquarium, including transporting and delivering essential salt water to the aquarium from Mosaic-owned barges. In 2011, we also made a donation to the aquarium for the creation of Mosaic Center, an education, conference and event facility.
  • Partnerships with local food banks. For example, in 2011 Mosaic donated $88,500 to Feeding America Tampa Bay as an underpinning of its Home Runs for Food partnership with the Tampa Bay Rays. Mosaic also donated more than 10,000 pounds of protein to food banks and shelters and held holiday food drives at facilities.

In 2011, Mosaic operations in Saskatchewan committed over $11 million to enrich and improve our Canadian communities. Community development projects in Canada include:

  • A $1 million matching grant campaign to raise funds for St. Anthony's Hospital in Esterhazy. The campaign has encouraged donations throughout the area—since September 2011, over $500,000 has been raised by the local community.
  • A $4 million investment by Mosaic in the building of the Children's Hospital of Saskatchewan in Saskatoon, the first children's hospital in the province.
  • Partnership with STARS (Shock Trauma Air Rescue Service), including a $5.5 million gift that will bring emergency medical transport for critically ill and injured patients in Saskatchewan.

Mosaic is also committed to maintaining an open dialogue with the people in our communities. Examples of community consultation efforts include:

  • Independent Community Advisory Panels (CAPs), underwritten by Mosaic, which serve as a forum for open discussion among representatives of the local community, and provide a place for companies to discuss community response to industry development and plans. The CAPs also provide grants to local schools to help fund projects focused on science and environmental issues. Plans to expand CAPs in 2012 in support of future operations are underway.
  • The expansion of Mosaic's community relations staff in Florida. Recognizing the need to be engaged fully in our future operating areas, these three new staff members are committed to engaging with these communities in support of jobs, future operations and economic impact.
  • In Canada, community meetings were held in conjunction with the rural municipality of Fertile Belt and the town of Esterhazy to discuss Mosaic's expansion and the community impact of the K3 mine shaft.
  • Mosaic is also committed to addressing community grievances in a comprehensive and efficient manner. In Canada, we have processes in place, as required by the Saskatchewan Mining Inspector, to encompass all grievances.

Stakeholder Engagement

Mosaic is committed to stakeholder engagement and public advocacy efforts. Through social media, government relations, facility tours and more, we work to ensure that our stakeholders are well-informed and engaged with our mission.

  • Mosaic employees conduct tours for local, state and federal elected officials and staff, customers, investors, students, community leaders and civic groups throughout the year.
  • Mosaic launched a full-time social media presence (Twitter, Facebook) in 2011. These mediums enable us to share information with the general public, and engage in conversations about our business, making thousands of impressions on users and community members.
  • In 2011, we launched three new micro-websites in support of future permitting, with the goal of being transparent with the general public. These sites invite the public to be engaged with the permitting process, review maps of the proposed mining areas, ask an expert and submit questions about our activities in and around their communities.
  • Mosaic's Florida Public Advocacy Campaign continued in 2011, with the goal of communicating key messages about the phosphate industry to the communities where we operate now and will in the future. The campaign includes promotion of our micro-sites, as well as direct mailings covering agriculture, water quality, reclamation, renewable energy and environmental science.
  • During the reporting period, the Mosaic Express—an educational exhibit on wheels about phosphate—traveled across Florida and the United States sharing information about our business with more than 16,000 people.
  • We are committed to being an engaged business partner. In the past year Mosaic held meetings inviting current and potential vendors to discuss our corporate values and how we interact with other companies and our communities.
  • As a member of TFI, the CFI, the SMA and the SPPA, we are able to present important information to government groups and decision makers that directly impact operations, our current expansions and our license to operate in our communities. We also act alone in ongoing consultation with both the provincial government of Saskatchewan and the federal government of Canada. Topics presented to key stakeholders include energy—particularly the high cost of natural gas in Saskatchewan, including the need for new exploration and sources to sustain potash mining and future industry. Another topic is air emissions, and the ability to work in partnership with the government to approach environmental sustainability.
  • With immense expansion in potash production, skilled labor is a key issue. Working with the government to make immigration a priority, we have not only helped bring new skilled labor to the province, but have also assisted in building community infrastructure in the areas where we operate.

Employee Representation

Mosaic is committed to occupational health and safety for employees, and we strive to build a representational workforce. As such, we adhere to all occupational health and safety committee regulations as required by the provincial government in Saskatchewan. The Saskatchewan Mining Inspector ensures that Mosaic follows all regulations.

Meanwhile, Mosaic has created a detailed Representative Workforce Strategy for our Potash business unit in Saskatchewan. After meeting continually with both the Saskatoon and Yorkton tribal council, we hired a new representative workforce manager to implement and oversee the strategy.


Operations With Significant Potential or Actual Negative Impacts on Local Communities

In communities where Mosaic has majority ownership in our plants and facilities, we do not believe we have a negative societal impact. Local vendors supplied 73% of our supply chain needs in our Phosphates business and 67% in our Potash business during 2011, supporting local jobs and contributing economic viability. Mosaic operates in a highly regulated and monitored industry, and we are continually working with state/province and federal programs on operations, expansions and sales. As an example, the U.S. Army Corps of Engineers has recently released a draft form of an AEIS, focusing on past, present and reasonably foreseeable mining projects, looking at potential and cumulative impacts of phosphate mining in Central Florida. Mosaic and other phosphate companies requested that the U.S. Army Corps of Engineers issue permits for activities associated with phosphate mining or mine expansions within the Central Florida Phosphate District (CFPD). Because issuance of multiple similar permits would be considered a "Major Federal Action" under the National Environmental Policy Act of 1960 (NEPA), the Corps has committed to preparation of a draft AEIS. Once completed, the Corps will use the draft AEIS to make final decisions on permit applications filed by Mosaic and other companies, including Mosaic's Wingate East, Ona and DeSoto mines.

The draft AEIS addresses several primary issues related to the potential effects of continued phosphate mining:

  • Areas of environmental concern: The loss of wetland functions and value, mitigation of such losses, the effect of proposed mining on groundwater and surface water quality and quantity, and potential cumulative effects on water resources, ecological resources and the human environment. Where unavoidable wetland impacts are likely, concerns focus on mitigation and successful recreation of wetland habitat structures and functions.
  • Other identified areas of concern: Threatened and endangered species, health and safety, socioeconomics, aesthetics, historic properties, cultural resources, fish and wildlife values, land use, transportation, recreation, water supply and conservation, water quality, energy needs, mineral needs, property ownership and the overall welfare of the people and communities.

These issues, as well as others accepted for inclusion as a result of public input, will be better defined through the "public scoping" phase of the draft AEIS. The draft AEIS is paid for by Mosaic and other companies as a part of permit applications. Historically, draft AEISs are conducted as the result of the activities of applicants, and as such, the applicants have to provide what is essentially unsponsored research funding. Mosaic and other companies are required to provide this funding for the study, but have no more say than the rest of the public in how it is conducted or what is in the scope. Other than providing raw data at the beginning of the process, the companies are not allowed to have any communication outside of the public commenting process.


Prevention and Mitigation Measures Implemented in Operations With Significant Potential or Actual Negative Impacts on Local Communities

As part of our permitting and reclamation processes, Mosaic strives to go above and beyond what is required and to create additional benefit to local economies whenever possible. Significant efforts are placed into best-in-practice land reclamation procedures and projects. Previously mined and reclaimed lands play an important role in a community's long-term economic development and environmental management plans.

Over the past 40 years, phosphate mining has advanced technologically and mine operators were noted as having adopted the following beneficial best practices and processes to improve water quality in the receiving streams after phosphate production and land reclamation: "(1) eliminating the use of ammonia in the ore separation (i.e., beneficiation) process, thereby reducing the nutrient (nitrogen) load in any water discharged; (2) increasing the water reuse rate, principally to address the hydrologic alterations discussed below, with the secondary benefit of reduced effluent volumes and loadings being released to the receiving streams; and (3) installation of sharp-crested weirs instead of discharge canals, which results in aeration at the point of discharge and increased dissolved oxygen levels downstream. In addition, improved floatation process control technology provides not only improved ore recovery and economic efficiency, but also water quality benefits as measured in units of flotation reagents applied per ton of phosphate rock recovered."

Mosaic's engagement within these communities includes monthly meetings with a series of community advisory panels, civic organizations, elected officials, government staff and other opinion leaders. We recognize that it is not practical to reach everyone through personal contact. Instead, we reach out to the broader community through television, news outlets, direct mail and public education initiatives. Our Phosphate operations also have developed community-specific websites. When our plans call for expanding our operations, we also participate in public hearings convened by local or regional governments.

In 2010, Mosaic had the unique opportunity to develop a large parcel of formerly mined phosphate land in Central Florida. These 16,000 acres of rolling, undulating land are being transformed into Streamsong®, a resort, conference center and golf venue. The area's dramatic contours contributed to the design of a highly distinctive 18-hole golf course. Additionally, the Central Florida Development Authority awarded Mosaic its highest honor, the George Harris, Jr. Award for business growth, community service and economic stability in Polk County.



Business Units Analyzed for Risks Related to Corruption

Mosaic's Code of Business Conduct and Ethics demands strict compliance from our employees and requires employees to complete online code of conduct training and certify compliance with the code annually. Mosaic also maintains a 24-hour independently administered confidential and anonymous incident reporting hotline for all Mosaic employees. In addition, Mosaic conducts a robust risk assessment to identify risks related to the U.S. Foreign Corrupt Practices Act (FCPA). A robust fraud risk assessment is also completed in the Sarbanes-Oxley compliance efforts.

Mosaic recognizes the importance of the FCPA and has established a Worldwide Anti-corruption Policy. Mosaic conducts periodic FCPA audits of selected various geographic locations and respective individuals - including but not limited to country managers, sales representatives, accounting/finance personnel and supply chain - whose job responsibilities require a keen awareness of and compliance with the FCPA. The next audit will be conducted in 2012.

The total number of business units analyzed for risks related to corruption: Three (Potash, Phosphates and Corporate).

The percentage of business units analyzed for risks related to corruption: 100% (all three business units, which is our total population of business units).


Employees Trained in Organization's Anti-Corruption Policies and Procedures

Mosaic requires all salaried employees (which include all management employees) to complete online training regarding the FCPA, and since May 2009, over 4,100 Mosaic employees have completed such training. In addition to the online training, instructor-led training is also provided to certain employees, based on their location and job responsibilities. As part of our Code of Business Conduct and Ethics certification process, which is required annually of all salaried employees, employees are specifically asked to certify as to their compliance with the FCPA.


Actions Taken in Response to Incidents of Corruption

Mosaic has not had any incidents of corruption during the life of our company. Accordingly, we have not dismissed or disciplined any employee for corruption, nor have we declined to renew a contract with a business partner due to violations related to corruption.

Public Policy


Public Policy Position

As one of the world's leading crop nutrient companies, Mosaic has a responsibility to be actively engaged in the promotion of sound and sustainable public policies. We are proactive in educating government officials and staff at all levels on our company's operations, the key issues our company faces, our company's importance to local communities and the critical role we play in the world's food supply.

Our primary public policy activities this reporting period have focused on:

  • Electricity cogeneration from waste heat. It is Mosaic's belief that the generation of electrical energy from cogeneration sources should be considered a renewable energy source. We have advocated in the United States for comprehensive, rational renewable energy policies that would incentivize and expand the generation and use of existing, low-cost renewables, such as non-GHG-emitting waste heat electricity generated from industrial operations, and promote fairer pricing for third-party renewable producers when selling power to the electrical grid.
  • Water quality. We have advocated in the United States for science-based policies that are protective of precious water resources in the communities in which we live and operate, while also allowing for the continued growth of job-creating businesses and the local and regional economies.
  • Taxes. We have advocated in the United States for elective state corporate income tax apportionment options that do not penalize companies that make significant investments in employees and capital in their communities. In Canada, we have advocated for a resource based tax structure that allows us to be competitive within the global potash industry. We have also received tax reductions through the recognition of our capital expansion plans in the Province of Saskatchewan.
  • Growth/land use. We have advocated in the United States for balanced growth and land use policies that would maintain and ensure the continued extensive local, state and federal reviews of our mining activities, while streamlining areas that have become unnecessarily redundant and costly.
  • Transportation infrastructure investment. We have advocated in the United States for investment in transportation infrastructure, particularly at the Port of Tampa in Florida and in the Central Florida region.

The Mosaic Company Political Action Committee (PAC), though officially chartered in late 2008, will be officially introduced to U.S. Mosaic employees in 2012. The purpose of the PAC is to support and help elect those federal candidates who are supportive of Mosaic's mission and share our views on important issues, such as maintaining a strong American manufacturing and mining base, recognizing the importance of crop nutrients in maintaining domestic food security and supporting reasonable science-based regulation with responsible environmental stewardship.


Value of Financial and In-Kind Contributions to Political Parties, Politicians and Related Institutions by Country

Amounts are reported based on when Mosaic wrote the check, which in some cases may be in a different fiscal year than when the check was delivered and reported by the receiving candidate or organization.

Contribution levels vary in accordance with election cycles in local and regional communities where we operate. 2011 was an active political year in our key geographies in the United States, as the Florida Legislature prepared to embark upon the once-a-decade redistricting process beginning in 2012 where every House, Senate and Congressional seat would be up for election. In Canada, the important Saskatchewan Provincial Election in 2011 led to the increase in political spending. The company is continuing to ramp up for a series of busy election cycles in the immediate future, and we continue to focus on telling the Mosaic story, while maintaining Mosaic's level of engagement in key races to promote a strong American manufacturing, agriculture and mining base, and reasonable science-based regulation with responsible environmental stewardship.

Political Contributions
($ U.S.)
FY2009 CY2010 CY2011
U.S. $69,950 $174,500 $146,250
Canada $7,500 $7,500 $42,000
Note: U.S. political contributions include both "hard" and "soft" money donations, with contributions made from Mosaic PAC included in the U.S. total.

Anti-Competitive Behavior


Legal Actions for Anti-Competitive Behavior, Antitrust, and Monopoly Practices

Mosaic is vigorously defending the civil lawsuits which were filed in 2008 against Mosaic and other potash companies alleging, among other things, that the defendants conspired to coordinate and fix prices of potash sold in the United States.



Significant Fines and Total Sanctions for Noncompliance With Laws and Regulations Not Covered by EN28 and PR9

In 2011, Mosaic paid environmental fines of $9,600 and health and safety fines of $11,719. For more information download our 2012 Sustainability Report or go to section 4.14.