ALBEMARLE CORP

In July 2024, in connection with ongoing measures taken to generate long-term financial flexibility and optimize the Company’s cost structure, management consulted with the board of directors on a proposal to undertake certain asset and cost actions and concluded to stop construction of the third train at the Company’s Kemerton conversion plant and put the second train at the Kemerton conversion plant into care and maintenance. On July 29, 2024, management reviewed the appropriate accounting treatment for these actions with the Audit and Finance Committee. As a result, the Company expects to record a charge in the third quarter of 2024 in the range of approximately $0.9 billion to $1.1 billion, of which approximately $725 million to $800 million consists of the expected write-off of the carrying value of the Kemerton Train 3 assets less any salvage value, with the remainder related to contract cancellation, severance, decommissioning, demolition and other associated restructuring costs for both Kemerton Trains 2 and 3. The Company’s estimated range of the charge takes into account initial estimates for these activities and the determination of salvage value of the fixed assets, among other variables. The restructuring actions associated with these charges are expected to be substantially complete in 2024.