MBAC Fertilizer Reports FY2015 Results - Seite 2

On April 15, 2016, the TSX announced that the Company's common shares and share purchase warrants would be delisted from the TSX effective May 13, 2016.

ITAFÓS OPERATIONS

MBAC's performance throughout 2014 and 2015 was impacted by significant working capital constraints. In early 2015, the Company suspended production at its Itafós Arraias SSP Operations and placed the operations on care and maintenance. The Company expects to resume production if and when its recapitalization transaction contemplated in the Support Agreement is successfully completed and its liquidity constraints are resolved. Given that the recapitalization transaction is ongoing and that the Company has no certainty of when, or if, the recapitalization transaction will be successfully completed, MBAC's previously disclosed production and sales guidance for 2016 and 2017 are no longer valid and should not be relied upon.

Q4 2015 AND FY2015 FINANCIAL RESULTS

Prior to reaching commercial production, MBAC capitalized all costs related to Itafós to property, plant and equipment. As operations were placed in care and maintenance mode, such costs were expensed in 2015.

MBAC continues to expect that over the longer-term its future sales growth will be supported by strong market fundamentals and demand trends in Brazil. Fertilizer consumption has continued to be strong, driven by increased intensity of fertilizer application and increased planting area. Brazil.

MBAC incurred a net loss of $15.4 million or $0.09 basic and diluted loss per share in Q4 2015. This compares to a net loss of $8.8 million or $0.06 basic and diluted loss per share for Q4 2014.

For the year ended December 31, 2015, MBAC incurred a net loss of $117.62 million or $0.65 net loss per share, up from a net loss of $28.5 million or $0.16 net loss per share for 2014. The increase in net loss was primarily due to higher selling, general and administrative expenses (due to Itafos being in care and maintenance mode) and higher unrealized foreign exchange loss. Excluding unrealized foreign exchange loss of $43.6 million as well as other non-cash or non-recurring items totaling a loss of $7.8 million, MBAC incurred an adjusted net loss of $66.47 million or $0.36 adjusted net loss per share per share for 2015. This compares to an adjusted net loss of $18.9 million or $0.11 adjusted net loss per share for 2014.