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RESULTS

CSBP’s revenue of $592.1 million was lower than last year as a result of lower sales volumes. Earnings before interest and tax of $100.6 million were 23.6 per cent higher than the previous year’s $81.4 million due to improved contributions from fertilisers, ammonium nitrate and Queensland Nitrates as well as the profit from the sale of the chlor-alkali business.

Despite reduced production, the chemicals business recorded earnings in 2006/07 broadly in line with the previous year. Resource sector demand remained strong, but earnings were constrained by available plant capacity. Production volumes were lower for all operations mainly as a result of planned maintenance shut downs. An unplanned shut down of the ammonia plant in April 2007 also affected production.

Earnings from CSBP’s 50 per cent interest in the Queensland Nitrates ammonium nitrate business exceeded last year’s, due to improved plant operation and ongoing high product demand in Queensland.

Total fertiliser sales declined by 6.1 per cent due to high
carry-forward stock held on farm from the 2005/06 season and lack of rain at the start of the growing season in Western Australia in 2007.