Part II  iteM 7 Management’s Discussion and analysis of Financial Condition and results of operations Segment results Agricultural Products Certain Regulatory Issues asset impairments, Last-in, First-out (“LIFO”) inventory adjustments,  amortization of inventory step-up from business acquisitions and other  related inventory adjustments, pension settlement charge adjustments  and other income and expense items. Information about how each of these items relates to our businesses  at the segment level and results by segment are discussed below and  in Note 19 to our consolidated financial statements included in this  Form 10-K. For management purposes, segment operating profit is defined as  segment revenue less segment operating expenses (segment operating  expenses consist of costs of sales and services, selling, general and  administrative expenses and research and development expenses). We  have excluded the following items from segment operating profit:  corporate staff expense, interest income and expense associated with  corporate debt facilities and investments, income taxes, gains (or  losses) on divestitures of businesses, restructuring and other charges  (income), investment gains and losses, loss on extinguishment of debt,  Revenue of $1,241.8 million increased 18 percent versus the prior year,  as higher sales were recognized in North America, Latin America and  Asia. North America revenue increased 15 percent to $252.0 million due  to strong demand for our proprietary herbicides, growth from new and  recently introduced products, particularly our newly acquired herbicide,  fluthiacet-methyl, and improving market conditions in some non-crop  segments. Europe, Middle East and Africa revenue of $158.7 million were  flat year over year. Latin America revenue of $628.9 million increased  24 percent due to improved market conditions, particularly in the  sugarcane, cotton, soybeans, corn and tobacco segments, and growth  in new and recently introduced products. Revenue in Asia increased  21 percent to $202.1 million reflecting better market conditions, the  introduction of new products and growth in most countries particularly  India, Indonesia, Australia and China. Segment operating profit of $309.5 million increased seven percent  compared to the prior year period, reflecting strong sales performance  partially offset by higher first-half inventory and distribution costs, and  selling and administrative expenses. Higher selling and administrative  expenses were primarily due to foreign exchange impacts, higher spending  on growth initiatives and increased people-related costs. In 2011, we expect full-year revenue growth in the high-single digits  driven by increased volumes in most regions, particularly Latin America  and Asia, due to expected strong market conditions and growth in new  and recently introduced products. Full-year segment operating profit  growth is expected in the high-single digits reflecting the sales gains  partially offset by higher spending on growth initiatives and higher  raw material costs. In our Agricultural Products segment, several products are undergoing  re-registration in the U.S. and/or a comparable regulatory review by the  European Union (“EU”) governmental authorities. In August 2006,  the U.S. Environmental Protection Agency (“EPA”) issued its “Interim  Reregistration Eligibility Decision” (“IRED”) for our carbofuran  insecticide under the U.S. federal pesticide law. The IRED proposed  cancellation of all carbofuran uses in the United States, subject to a phase  out period for certain minor crop uses, while maintaining tolerances  for imported commodities (bananas, coffee, rice and sugarcane). The  EPA reiterated its proposal in January 2008, with the issuance of a draft  Notice of Intent to cancel carbofuran use (“Notice”). In February 2008,  the EPA convened a Scientific Advisory Panel meeting to evaluate  In the EU, following an administrative appeals process, the European  Commission’s proposal to exclude our bifenthrin product from the  European Commission’s official list of approved pesticides, was adopted  on November 30, 2009. FMC had an additional six months to sell  bifenthrin in the EU (i.e., through end-May 2010), and subsequently,  in most EU countries, there is up to 6-12 months for further sale by  distributors or dealers, and use by farmers. We have re-submitted for  reconsideration and the product dossier is now being reviewed by  relevant European authorities. On December 30, 2010, the French  Ministry of Agriculture issued a notice adding bifenthrin, along with  eight other pesticidal active ingredients, to the “Grenelle” list of  pesticides prohibited for sale in France. We believe that such listing  scientific issues relevant to the Notice. Separately, the U.S. Department  of Agriculture issued its comments on the Notice, stating that carbofuran  should continue to be registered. On July 24, 2008, the EPA published  a proposal to revoke all carbofuran tolerances under the Federal Food  Drug and Cosmetic Act in advance of any issuance of a final Notice  under the federal pesticide law. We responded to that notice, expressing  our strong disagreement with the EPA’s proposal to revoke tolerances  and our belief that carbofuran residues on food do not pose a threat  to human health. In May 2009, the EPA published its final revocation  of all carbofuran tolerances effective December 31, 2009. We filed  our objections to this revocation and requested a hearing before an  administrative law judge. On October 30, 2009, the EPA denied our  objections and our request for a hearing. We believe that we are entitled  to a hearing and we have challenged this decision by seeking judicial  review in the U.S. federal courts. On July 23, 2010, the U.S. Court  of Appeals for the D.C. Circuit ruled that the EPA acted arbitrarily  and capriciously in revoking the import tolerances, and ordered that  those tolerances be reinstated. However, the Court did not extend its  rationale to the domestic tolerances and instead ruled that the EPA  had the right to deny our request for administrative hearing. In mid- February 2011, we filed a petition for writ of certiorari, seeking review  before the U.S. Supreme Court. In light of the December 31, 2009,  tolerance revocation, FMC ceased sales of carbofuran in the United States  in 2009. FMC’s sales of our carbofuran products in the United States  were not significant and termination of such U.S. sales did not have  a material effect on the Company’s financial condition or results of  operations. We do not know the EPA’s timing on a final Notice of  Intent to Cancel the carbofuran registration, though the EPA has said  it intends to issue such notice after the tolerance revocation decision  is finally resolved. 21 FMC Corporation    2010 Form 10K (in Millions) Year Ended December 31, Increase/(Decrease) 2010 2009 $ % Revenue $1,241.8 $1,051.6 $190.2 18% Operating Profit 309.5 289.0 20.5 7