Dividends paid to noncontrolling interests

[Table of Contents](#ibf86fcdc129f446cb1f3b45cc16d49fe_7)ALBEMARLE CORPORATION AND SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS(In Thousands)(Unaudited)

|  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |
|  | Three Months EndedMarch 31, |
|  | 2022 |  | 2021 |
| Cash and cash equivalents at beginning of year | $ | 439,272  |  |  | $ | 746,724  |  |
| Cash flows from operating activities: |  |  |  |
| Net income  | 281,547  |  |  | 117,698  |  |
| Adjustments to reconcile net income to cash flows from operating activities: |  |  |  |
| Depreciation and amortization | 66,574  |  |  | 62,260  |  |
|  |  |  |  |
|  |  |  |  |
|  |  |  |  |
|  |  |  |  |
| Loss on sale of investment in properties | 8,400  |  |  | —  |  |
|  |  |  |  |
| Stock-based compensation and other | 4,245  |  |  | 2,560  |  |
| Equity in net income of unconsolidated investments (net of tax) | (62,436) |  |  | (16,511) |  |
| Dividends received from unconsolidated investments and nonmarketable securities | 39,168  |  |  | 4,950  |  |
| Pension and postretirement benefit | (4,250) |  |  | (4,226) |  |
| Pension and postretirement contributions | (3,890) |  |  | (15,329) |  |
| Unrealized gain on investments in marketable securities | 1,469  |  |  | (1,762) |  |
| Loss on early extinguishment of debt | —  |  |  | 27,798  |  |
| Deferred income taxes | 27,747  |  |  | (19,384) |  |
| Working capital changes | (219,397) |  |  | (49,185) |  |
| Non-cash transfer of 40% value of construction in progress of Kemerton plant to MRL | 65,100  |  |  | 43,223  |  |
| Other, net | 1,899  |  |  | 5,857  |  |
| Net cash provided by operating activities | 206,176  |  |  | 157,949  |  |
| Cash flows from investing activities: |  |  |  |
|  |  |  |  |
|  |  |  |  |
| Capital expenditures | (231,698) |  |  | (179,683) |  |
|  |  |  |  |
|  |  |  |  |
|  |  |  |  |
|  |  |  |  |
| Sales of marketable securities, net | 3,751  |  |  | 5,245  |  |
|  |  |  |  |
| Investments in equity and other corporate investments | (146) |  |  | (286) |  |
| Net cash used in investing activities | (228,093) |  |  | (174,724) |  |
| Cash flows from financing activities: |  |  |  |
| Proceeds from issuance of common stock | —  |  |  | 1,453,888  |  |
| Repayments of long-term debt and credit agreements | —  |  |  | (1,174,980) |  |
| Proceeds from borrowings of credit agreements | 280,000  |  |  | —  |  |
| Other debt repayments, net | (166,615) |  |  | (325,159) |  |
| Fees related to early extinguishment of debt | —  |  |  | (23,719) |  |
| Dividends paid to shareholders | (45,637) |  |  | (41,130) |  |
| Dividends paid to noncontrolling interests | —  |  |  | (26,219) |  |
|  |  |  |  |
| Proceeds from exercise of stock options | 419  |  |  | 1,183  |  |
| Withholding taxes paid on stock-based compensation award distributions | (10,422) |  |  | (6,860) |  |
|  |  |  |  |
| Other | (126) |  |  | (253) |  |
| Net cash provided by (used in) financing activities | 57,619  |  |  | (143,249) |  |
| Net effect of foreign exchange on cash and cash equivalents | (11,649) |  |  | (16,841) |  |
| Increase (decrease) in cash and cash equivalents | 24,053  |  |  | (176,865) |  |
| Cash and cash equivalents at end of period | $ | 463,325  |  |  | $ | 569,859  |  |

See accompanying Notes to the Condensed Consolidated Financial Statements.7
