Q1 2014 Results Mr. Stefan Borgas | President & CEO

May 15, 2014

2

Important Legal Notes

The information delivered or to be delivered to you does not constitute an offer or a recommendation to do any transaction in Israel Chemicals Ltd. (ICL) securities. Although our shares may be bought and sold on the Tel Aviv Stock Exchange (TASE) at any trading time, they do not trade out of Israel - neither in the United States, nor EU ,nor elsewhere and this presentation does not constitute an offer or investment advice to any US or other person at this time. If we ever do so, our offer will only be made by a prospectus or a registration statement conforming with all requirements of U.S., EU or any other applicable law. Certain statements in this presentation and other oral and written statements made by ICL from time to time, are forward-looking statements, including, but not limited to, those that discuss strategies, goals, outlook or other non-historical matters; or project revenues, income, returns or other financial measures. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those contained in the statements, including, among others, the following: (a) Crisis in financial markets;(b) War or terror operations;(c) Impacts on sales of fertilizers (product prices, government policies and weather); (d) Subjection to legislative and licensing restrictions;(e) Exposure relating to environmental protection and safety;(f) Third party liability and product liability; (g) Volatility in the markets that affects the demand for some of the products; (h) Concessions and permits; (i) Natural disasters; (j) Water level in Pond 150 in Dead Sea;(k) Dependence on seaports, transportation and loading in Israel. We caution you that the above list of important factors is not comprehensive. We refer you to filings that we have made and shall make with the TASE. They may discuss new or different factors that may cause actual results to differ materially from this information. All information included in this document speaks only as of the date on which they are made, and we do not undertake any obligation to update such information afterwards. Some of the market and industry information is based on independent industry publications or other publicly available information, while other information is based on internal studies. Although we believe that these independent sources and our internal data are reliable as of their respective dates, the information contained in them has not been independently verified and we can not assure you as to the accuracy or completeness of this information. Readers and viewers are cautioned to consider these risks and uncertainties and to not place undue reliance on such information.

3

Highlights & Financial Results

Net income

Q1 13 $ millions

Operating income

Operating margin*

363

22.1%

Revenues 1,640

% change

(33.1)%

(1.6)%

Q1 14

243

15.6%

1,613

131 305 (50.8)%

123

15.4%

1,416

% change

97.6%

13.9%

119 26%

* Adjusted net income in Q1 2014 excludes one time tax expense in Europe and Rotem’s strike costs. Adjusted net income in Q4 2013 excludes non-recurring tax expenses due to the release of trapped profits and due to updating deferred taxes stemming from an increase in the corporate tax rate, provisions for early retirement plan at Rotem, waste removal at Bromine Compounds and asset impairment at ICL-IP.

Adjusted operating income*

Adjusted net income*

Growth compared to Q4 2013 was supported by improved environment in

the fertilizer market: volumes & outlook

Continued growth of Performance Products, stabilizing volumes of

Industrial Products

Implementation of “The Next Step Forward” strategy on track

Q4 13

189 305 195 (3.6)%

251 363 (30.9)% 218 15.1%

(38.4)%

4

Business Environment & Major Developments

Record Q1 potash sales volumes

Phosphate fertilizers: record Q1 sales volumes despite the Rotem strike during March

Specialty Fertilizers: underline growth trend continues, supported by favorable weather in

Europe

Stabilized volumes of Flame Retardants

Solid demand for clear brine fluids, continued growth in brominated biocides and mercury

emission control products

Strong growth in de-icing salts and magnesia products

Growth in food driven primarily by acquisitions & exchange rates

Stable quantities and improved profitability in advanced additives

Evaluating options for the segment’s non-core businesses

Strategy Implementation

ESSENTIAL NEEDS*

Agriculture 55%

Food 8%

Engineered Materials

29%

Clear Goals: • Leveraging our minerals as One ICL • Improved competitiveness - from the source to the customer • New products, new applications, new geographies

Building an Attractive Long-Term Future for ICL

Unique

minerals

K

P

S

Br

Mg

Min

ing

Ch

em

istr

y Fo

rmu

lati

on

Processing expertise

6 * Percentages represent share of 2013 sales

7

ONE ICL – Implementing Shared Services Centers at ICL’s Various Geographic Locations

Goal: cost efficiency, timely, valuable and consistent service

Finance & Tax Procurement Legal and

Compliance Information Technology

Human Resources,

Administration & Communications

Geographic Locations

Israel:

• Number of employees: 5,270 (43%)

• Number of companies: 9

Europe:

• Number of countries: 18

• Number of employees: 4,917 (40%)

• Number of companies: 85

Americas:

• Number of countries:6

• Number of employees: 1,292 (10%)

• Number of companies: 18

China (in the future)

• Number of countries: 8

• Number of employees: 714 (7%)

• Number of companies: 10

8

The Danakhil potash project in Ethiopia - basic facts:

• Reserves: potential for 30 years production

• Planned capacity: 1M tons per year

• ICL holds 16% of Allana with an option to increase to 37%; one board seat

• Potash for East Africa & exports via Djibouti

Building Demand for Potash in Ethiopia – first stage:

MOU for a joint program with Ethiopia’s Agriculture Transformation Agency

(“ATA”). Potential extension to other African countries (Kenya and Tanzania)

Agriculture: Potash For Africa - Strategic Alliance with Allana Potash to Diversify ICL’s Potash Resources

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• £38 million investment (including a £4.9 million grant from the UK government)

• Increasing production capacity from current 130K tonnes to ~600K tonnes per year

Agriculture: Polysulphate – A Unique Mineral

A new multinutrient sulphate fertiliser

from Cleveland Potash Ltd

Benefits:

• Provides solution for the sulphur-deficient soil

• Suitable for crops that are sensitive to chlorine (e.g. fruits, vegetables, flowers, coffee, tobacco)

• A natural product, certified and approved for use in organic farming systems

• Cost effective: can be applied directly to land

10

Agriculture: Phosphate Initiatives

Transform Rotem to enhance competitiveness

and sustainability

Cost reduction through R&D and operational excellence

Labor reduction of ~150 employees in 2013 & 2014 under early retirement plans Rotem agreement following strike: management determination led to achievements New reserves could trigger strong investments

Create an integrated phosphate platform in high growth regions (JVs/M&As)

Examples:

Brazil

Vietnam/China

Africa

Strengthening existing platform

Geographical expansion

Engineered Materials – Main Initiatives:

Acquisition of Auxquimia S.A (Spain)

Cutting edge technologies to expand product portfolio of firefighting

foams and fire extinguisher additives

11

Next generation bromine compounds – Completion of second production facility

for FR 122P, polymeric bromine flame retardant for insulation foams in the

construction industry:

Replacing HBCD (to be phased out by 2015) in the EU

2nd plant at Neot Hovav with start-up in H2

Facilities’ capacity to meet expected demand

Customer acceptance work on-going - initial orders in hand

Drive bromine market growth

Reinforce leadership in phosphates & other

ingredients for industrial applications

• Based in Germany

• Producer of premium spice blends and food ingredients for meat processing

• Processed meat formulation & specialty distribution channel

• Acquisition expands ICL’s portfolio of tailored, functional solutions

Premium Solutions for the processed meat industry

Expand Food Value Chain into Specialty Processed Meat Market

12

Acquisition of HAGESÜD GROUP:

Next step in executing food growth strategy

13

Expand Footprint in Brazil

Strategy implementation of phosphates and specialty

fertilizer in emerging markets

• 85 employees

• Increased ICL’s share to 88%

• More than $100M in sales

• Closing expected in H2 2014

• Latin America’s main producer of purified phosphoric acid

• Used in our three core markets:

December 2013: Acquisition of Vale’s share of Fosbrasil

Agriculture

Engineered

Materials

Food

Financial Results & Business Environment

Mr. Avi Doitchman Executive VP, CFO & Strategy

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Q1 2014 Results

Net income

Q1 13 $ millions

Operating income

Operating margin*

363

22.1%

Revenues 1,640

% change

(33.1)%

(1.6)%

Q1 14

243

15.6%

1,613

131 305 (50.8)%

123

15.4%

1,416

% change

97.6%

13.9%

119 26%

• Adjusted net income in Q1 2014 excludes non-recurring tax expense of $51 million as a result of ongoing assessment discussions at subsidiaries in Europe and costs related to Rotem’s strike in the amount of $7 million

• Adjusted net income in Q4 2013 excludes non-recurring tax expenses due to the release of trapped profits and due to updating deferred taxes stemming from an increase in the corporate tax rate, provisions for early retirement plan at Rotem, waste removal at Bromine Compounds and asset impairment at ICL-IP

Adjusted operating income*

Adjusted net income*

Q4 13

189 305 195 (3.6)%

251 363 (30.9)% 218 15.1%

(38.4)%

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Q1 2014: Potash Bridge Analysis

Sales Operating Profit

571 491

140 51

9

241

146

140

6 31 13 7

17

Record Q1 Potash Volumes Supported by Chinese Demand

1171 1230

677

1173

1390

299

1273

987

850

1251

1401

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Belarus 13.4%

Uralkali 36.7%

Canpotex 12.1%

K+S 4.0%

ICL 25.8%

APC 4.1%

SQM 1.9%

China imports Q1 2014 – 1.63 Mt tonnes*

Q1 potash volumes 2004-2014

*Sources: Sindicaro Da Industria DE Adubose Corretivos Agricolas No Estado De Sao Paulo.

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Q1 2014: Phosphates and Fertilizers Bridge Analysis

Sales Operating Profit

460 465

44 13 52

• Q1 strike is expected to have an additional negative impact of $11 million on 2014 operating profit.

49 30

12

26

10

52

8 7

19

Record Bulk Phosphate Volumes Supported By Strong Demand in Europe and in Brazil

456

327 354

505

471

102

454 486

329

465

525

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Q1 phosphate volumes 2004-2014

20

Q1 2014: Industrial Products Bridge Analysis

Sales Operating Profit

337 338

11 8 2

48 34

11 5 5 4 3

21

Q1 2014: Performance Products Bridge Analysis

*

Sales Operating Profit

357 391

28 6

• Q1 strike is expected to have an additional negative impact of $10 million on 2014 operating profit.

35 40

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2 3 3 1

Thank You

Appendices Financial Overview

24

Lower, Yet Strong Returns

10.9% 8.1%10.4% 10.5%

22.4%31.2%

23.2%

31.4%

94.5%

29.5%

38.0%

53.1%

40.4%

28.8%26.8%

5.5% 4.2% 5.5% 5.3%9.6%

14.4% 12.9%19.1%

52.0%

19.4% 21.4%

33.5%25.8%

18.2% 15.6%

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013* 2014**

ROIC

ROE

ROE (Return on equity) = net income / shareholders' equity, average

ROIC (Return on invested capital ) = (operating income ×(1-0.20)) / ((trade receivables + inventory – trade payables) + PP&E, net), average

* Operating income is after elimination of non recurring effects: provision for early retirement at Rotem, provision for removing waste at Bromine and impairment of assets at ICL-IP. Net income is after elimination of non recurring tax effects (mainly, tax in respect of release of trapped earnings in 2013 annual results, provision for early retirement it Rotem, provision for removing waste at Bromine and impairment of assets at ICL-IP in Q4 ‘13)

** LTM

2000-2006 figures are based on Israeli GAAP, 2007-2013 are based on IFRS

Data for 2012-2013 reflect the application of 2 new IFRS accounting standards

25

Q1 14 Cash Flow Delivery

$ millions

Q1 06 Q1 07 Q1 08 Q1 09 Q1 10 Q1 11 Q1 12 Q1 13 Q1 14

75 91

206239

220

142

321

192167

* 2006 figures are based on Israeli GAAP, 2007-2014 are based on IFRS

26

More than a Decade of High Dividend Yields

• Calculated according to market capitalization based on average share price adjusted for dividends. Dividends attributed to profits of that year.

Year Dividend Yield*

2001 4.0%

2002 4.8%

2003 4.5%

2004 4.5%

2005 3.6%

2006 6.4%

2007 3.5%

2008 5.9%

2009 3.9%

2010 7.0%

2011 5.9%

2012 6.4%

2013 8.0%

Dividend policy: Up to 70% of net income in quarterly payments

2014 Dividend Payments

Q1: $91.5 million announced on May 15, 2014

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(average Q1 2014 compared to average Q1 2013)

Change

-5.6% Appreciation of the NIS against the Dollar

3.7%

Appreciation of the EURO against the Dollar

(average for the period)

LIBOR Dollar interest rate (3 months) 0.2% vs. 0.3% last yr

72% Increase in Bulk Dry Freight Index (BDI)

Macroeconomic and Industry Parameters Which Affected

Q1 2014 Results