Compass Minerals International : 2022 Annual Report

F I S C A L 2 0 2 2

ANNUAL

REPORT

Safely delivering essential minerals products that fulfill our Core Purpose to help keep people safe, feed the world and enrich lives, every day.

Dear Shareholders,

Over the past few years, Compass Minerals has been on a transformational journey toward repositioning our company for accelerated growth, reduced weather dependency and sustained value creation. Throughout this journey, we have remained committed to several overarching priorities: 1) building a sustainable culture,

1. performing to meet customer expectations and
2. leveraging our advantaged assets to create value for our shareholders.

Continued dedication to these overarching priorities has not only helped us navigate the many challenges and opportunities that have presented themselves, but also laid a solid foundation for the expansion of our essential minerals portfolio into the adjacent, high-growth markets of lithium and next-generation fire retardants.

FISCAL 2022 FINANCIAL SUMMARY

82%

SALT

18% PLANT NUTRITION

FISCAL 2022 SALES BY SEGMENT

$1,244.1M

TOTAL COMPANY SALES

$188.5M

ADJUSTED EBITDA*

I'm proud of our progress over the past year in achieving a number of key strategic milestones.

In alignment with the recalibration of our asset portfolio, we completed the sale of our South America chemicals business, increased our minority equity stake ownership in Fortress North America to approximately 45% and clarified our strategic path for maximizing the value of our previously identified 2.4 mMT lithium carbonate equivalent (LCE) resource on the Great Salt Lake.

We maintained focus on our workforce, providing the tools and training to ensure safe and responsible operations, while also investing in our internal culture. This is being accomplished across our company by building execution muscle, increasing our efforts around diversity and inclusion, and staying true to our Core Purpose of helping to keep people safe, feed the world and enrich lives. Of note are the incredible achievements we have made around safety and the steps taken to build a workplace of greater belonging for all employees.

To help ensure we execute on our vision, we successfully bolstered our company's senior management team through the addition of key executives Lorin Crenshaw, chief financial officer (CFO), and Chris Yandell, head of lithium, who bring deep lithium industry knowledge, financial expertise and advanced battery supply chain experience. From an oversight perspective, we broadened the governance acumen of our board through the appointments in fiscal 2022 of Richard P. Dealy, Edward C. Dowling, Jr., Gareth Joyce and Melissa M. Miller, who collectively enhanced the board's operational, financial, advanced battery supply chain and human capital management expertise and experience.

Looking ahead, the breadth of our history serves as an incomparable resource to draw upon as we continue our transformational journey. Our company has been operating for over 175 years, producing essential minerals products through the responsible

*From continuing operations	On the front cover, essential minerals are ready for harvest at our
	55,000-acre solar evaporation facility in Ogden, UT.

transformation of Earth's natural resources. Our
management team brings decades of leadership and	NORTH
operational experience in areas most relevant to our core
business, such as mining and sustainable agriculture.		AMERICA
And with the advancement of our lithium development,
I believe the stage is set for the next phase in Compass
Minerals' journey - resulting in a faster growing, less
weather dependent and more valuable company with
the potential to become a premier producer of domestic
battery-grade lithium to help enable the energy transition
that is already underway.
The long-term prospects of our company remain sound,
and I feel we are well positioned to deliver improved
financial results more in line with the underlying
earnings power of our Salt business over the next fiscal
year. Challenges and uncertainties remain - including
persistent inflation, higher interest rates and the prospect
of a global economic slowdown - but I am confident in our
ability to navigate these headwinds. Our Salt business has
historically proven itself to be highly recession resistant,
with sales volumes driven primarily by weather and not
correlated with economic growth or downturns. For both
Salt and Plant Nutrition, I'm assured in the strength of
their long-run earnings power. And I believe the increasing
market need for domestically sourced lithium continues
to represent an attractive and durable trend that will help
fuel our company's future.
As such, while the next year is hard to predict, we
continue to be action-oriented to ensure we can
successfully manage through a wide range of scenarios
over the coming quarters. I firmly believe the long-term
prospects for Compass Minerals remain attractive as we
execute on our strategy to reduce the weather-dependent
portion of our earnings mix while driving growth to
create value for all of you. I invite you to read about our
performance and prospects in the pages ahead and I
thank you for your partnership and support.

Kevin S. Crutchfield

President and CEO

Jan. 3, 2023

UNITED KINGDOM

Culture

An unrelenting focus of our work is the continued building and strengthening of a sustainable culture at Compass Minerals. To us, that means a culture where employees feel safe, valued and heard.

It is one where we are responsible stewards of the environments in which we operate and active participants in the communities in which we live.

PRIORITIZING SAFETY

Safety for our employees, contractors and communities has always been and remains a top priority for our company. Over the years, we have invested resources and training into building a world-class safety program striving toward our goal of zero harm, which includes zero injuries to our employees and contractors and no environmental incidents from our operations. The goal is supported

by an environmental, health and safety framework that includes policies, procedures, training and company standards that go beyond compliance.

One of the ways we drive safety performance is through the SafeStart® framework. SafeStart is a behavior-based safety training that highlights the state-to-error pattern and addresses unintentional human error and critical safety habits, which reduces risk and the probability

of injury. The program complements our other safety systems to enhance and accelerate our ongoing efforts to eliminate workplace incidents. Each site's historical safety information was evaluated to determine where the greatest improvements could be made in our drive toward zero harm. SafeStart has now been implemented at many of our sites and we anticipate completing implementation

at all locations by the end of fiscal 2023. Sites that have recently employed SafeStart tools have experienced an improvement in their statistical safety performance metrics and multiple sites finished the fiscal year without any reported incidents.

INVESTING IN OUR WORKFORCE

By investing in our workforce, we are helping to ensure a strong, sustainable future for Compass Minerals. We offer a myriad of development opportunities for employees, such as trainings on performance mindset, team effectiveness and communication styles, and programs for employees who are looking to increase their knowledge and grow professionally.

Additionally, employees have opportunities for professional development through strategic partnerships with several outside organizations such as Central Exchange, Society of Women Engineers and American Royal, as well as through membership in trade groups including The Fertilizer Institute, Essential Minerals Association, U.K. Salt Association and Ontario Mining Association.

AS OF SEPTEMBER 30, 2022, WE EMPLOYED

1,954 997 773 184

EMPLOYEES

IN THE U.S.

IN CANADA

IN THE U.K.

SUPPORTING DIVERSITY,

BELONGING, INCLUSION

AND EQUITY

As an organization, Compass Minerals is committed to creating a workplace that respects and values the diversity of the people and communities around us. Our diversity, belonging, inclusion and equity (DBIE) strategy extends beyond awareness and engagement. We want our employees to know that they work in an environment where they belong, are connected and can contribute. A cornerstone of our DBIE strategy is a commitment to creating an inclusive organization and attracting, developing and retaining diverse employees.

One way our employees help bring to life our DBIE strategy is through participation in our employee resource groups (ERGs). Through our ERGs, employees sharing a particular characteristic, interest or experience, along with allies of that group, demonstrate how inclusion enhances employee engagement, provides a sense of belonging, creates opportunities for development and drives business results.

Compass Minerals launched four ERGs in fiscal 2022 to join our existing Emerging Leaders ERG: Advanced Career, Asian Employees and Allies, Compass Pride (LGBTQ+ and Allies), and Women and Allies. Open to all employees, our ERGs have become an important part of our organizational culture.

EMPHASIZING COMMUNITY ENGAGEMENT

Compass Minerals actively engages with the communities where we work and live. Our community engagement initiatives include charitable gifts and volunteer opportunities. From conserving ecological landscapes and volunteering with local organizations to targeting our philanthropy toward causes that align with our Core Purpose, our aim is to make sure our presence benefits those around us. In fiscal 2022, each of our sites led dedicated community engagement efforts. These included initiatives such as a food drive for FeedMore Western New York at our Buffalo location, volunteering to support

veterans' services with Monkey Brain Art in Kansas City, participating in the Cote Blanche Acadiana Pride Festival, advancing STEM education in Goderich Public Schools and much more. Engaging with our communities and partners helps build trust and connect us to the lives of those who help make our work successful.

OUR ESG STRATEGY

At Compass Minerals, we recognize the importance of managing our ESG impacts and growing our company in a sustainable manner. We approach our environmental, social and governance (ESG) work through a fundamental commitment to four key pillars: safety, growth, transparency and stewardship. Together, these pillars form our sustainability compass, guiding our decisions and business practices across all aspects of our company.

As we planned for the future, we engaged with stakeholders and internal business partners while assessing the broader sustainability landscape to inform our fiscal 2025 ESG goals and targets. These goals, and the targets that serve as milestones toward achieving them, span the key focus areas of Our Workforce, Our Environment, Our Products and Our Communities. We will report progress against our goals and targets in our future ESG reports to help ensure our stakeholders understand where we are each step of the way.