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IMC FERTILIZER COMPLETES SALE OF AMMONIA PLANT TO KOCH INDUSTRIES, MAKES ACCOUNTING CHANGE

 IMC FERTILIZER COMPLETES SALE OF AMMONIA PLANT TO KOCH INDUSTRIES,
 MAKES ACCOUNTING CHANGE
 NORTHBROOK, Ill., March 2 /PRNewswire/ -- IMC Fertilizer, Inc. (IMCF) said today it has completed the sale of the company's ammonia production facility at Sterlington, La., to Koch Industries, Inc., Wichita, Kan.
 IMC Fertilizer also announced the two companies have agreed to a two-year contract with Koch Industries as a supplier of ammonia to IMCF's New Wales phosphate chemical complex near Mulberry, Fla.
 Terms of both transactions were not revealed, but the sale will generate an after-tax gain of $21.4 million, or 97 cents per share for IMC Fertilizer, Inc.'s parent company, IMC Fertilizer Group, Inc. (NYSE: IFL).
 An IMCF spokesman described the sale of the Sterlington facility, combined with the new ammonia supply contract, as part of the company's ongoing strategic plan to focus on maximum utilization of assets to support current operations and future growth objectives.
 IMCF Records One-Time Charge
 IMC Fertilizer Group, Inc., parent of IMC Fertilizer, Inc., also reported today it is recording a one-time charge of $165 million for the cumulative effect of the recently adopted statement of Financial Accounting Standards No. 109, which accounts for income taxes under the liability method.
 "There will be no cash flow impact and the charge is not expected to affect the company's debt ratings," the spokesman said.
 The charge records the deferred tax effects of basis differences related to certain net assets that arose when IMC Fertilizer became an independent company upon separation from IMCERA Group Inc., its former parent, in February 1988.
 The one-time charge will be retroactively reflected in the first quarter of fiscal 1992, resulting in a downward revision in that quarter's earnings from $20 million as previously reported on Oct. 10, 1991, to a restated loss of $145 million. On a restated basis, income before the cumulative effect of the accounting change for that quarter will increase to $21.3 million.
 Net earnings for the second quarter ended Dec. 31, 1991, will be restated from $22.1 million to $23.4 million as a result of the accounting change.
 Commenting on the charge, Billie B. Turner, IMCF's chairman and chief executive officer, said, "The company decided it was prudent to put this charge behind us now that the new accounting rules for income taxes have been finalized."
 IMC Fertilizer is one of the world's leading private enterprise producers and marketers of two basic fertilizer materials, phosphate rock and potash, and a manufacturer of concentrated phosphates. The company also produces oil and natural gas, and recovers uranium oxide for upgrading by electric utilities for use as fuel in nuclear power plants.
 -0- 3/2/92
 /CONTACT: Tom Unzicker, 708-205-4839, or (investors) John E. Galvin, 708-205-4814, both of IMC Fertilizer/
 (IFL) CO: IMC Fertilizer, Inc.; Koch Industries ST: Illinois, Kansas IN: CHM SU: TNM


TS-OS -- NY012 -- 3797 03/02/92 09:36 EST
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Date:Mar 2, 1992
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