----

| Title of each class                                             | Name of each exchange on which      registered |
|-----------------------------------------------------------------|------------------------------------------------|
| Series      B shares, in the form of American Depositary Shares | New      York Stock Exchange                   |

| Series      A shares | 142,819,552 |
|----------------------|-------------|
| Series      B shares | 120,376,972 |

|   |  ̈ YES   x  NO |
|--------|--------------------------------------------------|

----

|                                                           |                                                                                   |   | Page   |
|----------------------------------------------------------------|----------------------------------------------------------------------------------------|--------|--------|
|                                                           |                                                                                   |   |   |
| PRESENTATION      OF INFORMATION                               |                                                                                   | iii    |
| GLOSSARY                                                       |                                                                                   | iii    |
| CAUTIONARY      STATEMENT REGARDING FORWARD-LOOKING STATEMENTS |                                                                                   | vi     |
|                                                           |                                                                                   |   |   |
| PART      I                                                    |                                                                                   |   | 2      |
|                                                           |                                                                                   |   |   |
| ITEM      1.                                                   | IDENTITY      OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS                             |   | 2      |
| ITEM      2.                                                   | OFFER      STATISTICS AND EXPECTED TIMETABLE                                           |   | 2      |
| ITEM      3.                                                   | KEY      INFORMATION                                                                   |   | 2      |
| ITEM      4.                                                   | INFORMATION      ON THE COMPANY                                                        |   | 14     |
| ITEM      5.                                                   | OPERATING      AND FINANCIAL REVIEW AND PROSPECTS                                      |   | 50     |
| ITEM      6.                                                   | DIRECTORS,      SENIOR MANAGEMENT AND EMPLOYEES                                        |   | 67     |
| ITEM      7.                                                   | MAJOR      SHAREHOLDERS AND RELATED PARTY TRANSACTIONS                                 |   | 79     |
| ITEM      8.                                                   | FINANCIAL      INFORMATION                                                             |   | 82     |
| ITEM      9.                                                   | THE      OFFER AND LISTING                                                             |   | 85     |
| ITEM      10.                                                  | ADDITIONAL      INFORMATION                                                            |   | 88     |
| ITEM      11.                                                  | QUANTITATIVE      AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                        |   | 100    |
| ITEM      12.                                                  | DESCRIPTION      OF SECURITIES OTHER THAN EQUITY SECURITIES                            |   | 102    |
|                                                           |                                                                                   |   |   |
| PART      II                                                   |                                                                                   |   | 103    |
|                                                           |                                                                                   |   |   |
| ITEM      13.                                                  | DEFAULTS,      DIVIDEND ARREARAGES AND DELINQUENCIES                                   |   | 103    |
| ITEM      14.                                                  | MATERIAL      MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF      PROCEEDS |   | 103    |
| ITEM      15.                                                  | CONTROLS      AND PROCEDURES                                                           |   | 103    |
| ITEM      16.                                                  | RESERVED                                                                               |   | 104    |
| ITEM      16.a.                                                | AUDIT      COMMITTEE FINANCIAL  EXPERT                                       |   | 104    |
| ITEM      16.B.                                                | CODE      OF ETHICS                                                                    |   | 104    |
| ITEM      16.C                                                 | PRINCIPAL      ACCOUNTANT FEES AND SERVICES                                            |   | 104    |
| ITEM      16.D                                                 | EXEMPTIONS      FROM THE LISTING STANDARDS FOR AUDIT COMMITTEES                        |   | 105    |
| ITEM      16.E                                                 | PURCHASES      OF EQUITY SECURITIES BY THE ISSUERS AND AFFILIATED    PURCHASERS        |   | 105    |
| ITEM      16.F                                                 | CHANGE      IN REGISTRANT'S CERTIFYING ACCOUNTANT                                      |   | 105    |
| ITEM      16.G                                                 | CORPORATE      GOVERNANCE                                                              |   | 105    |
|                                                           |                                                                                   |   |   |
| PART      III                                                  |                                                                                   |   | 106    |
|                                                           |                                                                                   |   |   |
| ITEM      17.                                                  | FINANCIAL      STATEMENTS                                                              |   | 106    |
| ITEM      18.                                                  | FINANCIAL      STATEMENTS                                                              |   | 106    |
| ITEM      19.                                                  | EXHIBITS                                                                               |   | 106    |
| SIGNATURES                                                     |                                                                                   | 107    |
|                                                           |                                                                                   |   |
| CONSOLIDATED      FINANCIAL STATEMENTS                         |                                                                                   | 108    |
|                                                           |                                                                                   |   |
| EXHIBIT      1.1                                               |                                                                                   |   |
| EXHIBIT      8.1                                               |                                                                                   |   |
| EXHIBIT      12.1                                              |                                                                                   |   |
| EXHIBIT      12.2                                              |                                                                                   |   |
| EXHIBIT      13.1                                              |                                                                                   |   |
| EXHIBIT      13.2                                              |                                                                                   |   |

----

----

----

| * | The      definitions we use for resources and reserves are based on those provided      by the “Instituto de      Ingenieros de Minas de Chile” (Chilean Institute of Mining      Engineers). |
|---|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ** | The      definition of a Controller Group that has been provided is the one that      applies to the Company.  Chilean law provides for a broader      definition of a Controller Group. |
|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | · | the      Company's capital investment program and development of new      products; |
|--------|--------|-------------------------------------------------------------------------------------|

|   | · | trends      affecting the Company's financial condition or results of      operations; |
|--------|--------|----------------------------------------------------------------------------------------|

|   | · | level      of production, quality of the ore and brines, and production levels and      yields; |
|--------|--------|-------------------------------------------------------------------------------------------------|

|   | · | the      future impact of competition; and |
|--------|--------|--------------------------------------------|

|   | · | regulatory      changes |
|--------|--------|-------------------------|

|   | · | SQM's      ability to implement its capital expenditures, including its ability to      arrange financing when required; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------|

|   | · | the      nature and extent of future competition in SQM's principal      markets; |
|--------|--------|-----------------------------------------------------------------------------------|

|   | · | political,      economic and demographic developments in the emerging market countries of      Latin America and Asia where SQM conducts a large portion of its      business; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | volatility      of global prices for SQM’sproducts; |
|--------|--------|-----------------------------------------------------------|

|   | · | changes      in production capacities; |
|--------|--------|----------------------------------------|

|   | · | changes      in raw material and energy prices; |
|--------|--------|-------------------------------------------------|

|   | · | currency      and interest rate fluctuations; and |
|--------|--------|---------------------------------------------------|

|   | · | additional      factors discussed below under Item 3.  Key Information—Risk      Factors. |
|--------|--------|-----------------------------------------------------------------------------------------------------------|

----

| ITEM      1. | IDENTITY      OF DIRECTORS, SENIOR MANAGEMENT ANDADVISERS |
|--------------|-----------------------------------------------------------|

| ITEM      2. | OFFER      STATISTICS AND EXPECTED TIMETABLE |
|--------------|----------------------------------------------|

| ITEM      3. | KEY      INFORMATION |
|--------------|----------------------|

| Year      ended December 31,                                                    |
|---------------------------------------------------------------------------------|
|                                                                            |   | 2009 |   |   | 2008 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
| Income      Statement Data                                                      |   | (in millions of      US$) (1) |   |
| Chilean      GAAP                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      Revenues                                                             |   |   | 1,436.9 |   |   |   | 1,774.1 |   |   |   | 1,187.5 |   |   |   | 1,042.9 |   |   |   | 896.0 |   |
| Operating      Income                                                           |   |   | 441.9 |   |   |   | 632.2 |   |   |   | 259.5 |   |   |   | 219.9 |   |   |   | 181.2 |   |
| Non-operating      results, net                                                 |   |   | (37.0 | ) |   |   | (19.3 | ) |   |   | (27.1 | ) |   |   | (36.0 | ) |   |   | (34.3 | ) |
| Net      income                                                                 |   |   | 327.1 |   |   |   | 501.4 |   |   |   | 180.0 |   |   |   | 141.3 |   |   |   | 113.5 |   |
| Net      earnings per share (2)                                                 |   |   | 1.24 |   |   |   | 1.91 |   |   |   | 0.68 |   |   |   | 0.54 |   |   |   | 0.43 |   |
| Net      earnings per ADR (2) (3)                                               |   |   | 1.24 |   |   |   | 1.91 |   |   |   | 0.68 |   |   |   | 0.54 |   |   |   | 0.43 |   |
| Dividend      per share (4) (5)                                                 |   |   | 0.81 |   |   |   | 1.24 |   |   |   | 0.44 |   |   |   | 0.35 |   |   |   | 0.28 |   |
| Weighted      average shares outstanding (000s) (2)                             |   |   | 263,197 |   |   |   | 263,197 |   |   |   | 263,197 |   |   |   | 263,197 |   |   |   | 263,197 |   |
|                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| US      GAAP                                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      Revenues                                                             |   |   | 1,436.9 |   |   |   | 1,774.1 |   |   |   | 1,187.5 |   |   |   | 1,042.9 |   |   |   | 896.0 |   |
| Operating      Income                                                           |   |   | 433.9 |   |   |   | 623.0 |   |   |   | 237.0 |   |   |   | 205.5 |   |   |   | 163.9 |   |
| Non-operating      results, net (6)                                             |   |   | (15.2 | ) |   |   | (26.9 | ) |   |   | 1.7 |   |   |   | (14.1 | ) |   |   | (6.1 | ) |
| Equity      participation in income (loss) of related companies, net            |   |   | 5.7 |   |   |   | 14.4 |   |   |   | 3.6 |   |   |   | 2.0 |   |   |   | 2.6 |   |
| Net      income                                                                 |   |   | 349.4 |   |   |   | 506.7 |   |   |   | 200.2 |   |   |   | 158.8 |   |   |   | 129.8 |   |
| Net      income attributable to parent company                                  |   |   | 347.9 |   |   |   | 500.9 |   |   |   | 192.7 |   |   |   | 154.3 |   |   |   | 125.2 |   |
| Net      income attributable to non-controlling interest                        |   |   | 1.5 |   |   |   | 5.8 |   |   |   | 7.5 |   |   |   | 4.5 |   |   |   | 4.6 |   |
| Basic      and diluted earnings per share attributable to parent    company     |   |   | 1.32 |   |   |   | 1.90 |   |   |   | 0.73 |   |   |   | 0.59 |   |   |   | 0.48 |   |
| Basic      and diluted earnings per ADR attributable to parent company      (3) |   |   | 1.32 |   |   |   | 1.90 |   |   |   | 0.73 |   |   |   | 0.59 |   |   |   | 0.48 |   |
| Weighted      average shares outstanding (000s) (2)                             |   |   | 263,197 |   |   |   | 263,197 |   |   |   | 263,197 |   |   |   | 263,197 |   |   |   | 263,197 |   |

----

| As      of December 31,                              |   |
|------------------------------------------------------|--------|
|                                                 |   | 2009 |   |   | 2008 |   |   | 2007 |   |   | 2006 |   |   | 2005 |   |
| Balance      Sheet Data                              |   | (in millions of      US$) (1) |   |
| Chilean      GAAP                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      assets                                    |   |   | 3,203.1 |   |   |   | 2,567.2 |   |   |   | 1,986.3 |   |   |   | 1,871.2 |   |   |   | 1,640.6 |   |
| Long-term      debt                                  |   |   | 1,035.2 |   |   |   | 515.9 |   |   |   | 486.7 |   |   |   | 480.7 |   |   |   | 100.0 |   |
| Total      shareholders’ equity                |   |   | 1,466.6 |   |   |   | 1,463.1 |   |   |   | 1,182.4 |   |   |   | 1,086.0 |   |   |   | 1,020.4 |   |
| Capital      stock                                   |   |   | 477.4 |   |   |   | 477.4 |   |   |   | 477.4 |   |   |   | 477.4 |   |   |   | 477.4 |   |
|                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| US      GAAP                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total      assets                                    |   |   | 3,177.5 |   |   |   | 2,549.1 |   |   |   | 1,959.6 |   |   |   | 1,846.0 |   |   |   | 1,609.0 |   |
| Long-term      debt                                  |   |   | 1,028.9 |   |   |   | 514.5 |   |   |   | 485.0 |   |   |   | 478.7 |   |   |   | 100.0 |   |
| Total      shareholders’ equity                |   |   | 1,481.2 |   |   |   | 1,415.4 |   |   |   | 1,128.1 |   |   |   | 1,033.1 |   |   |   | 957.9 |   |
| Equity      attributable to parent company           |   |   | 1,434.6 |   |   |   | 1,368.0 |   |   |   | 1,084.1 |   |   |   | 994.5 |   |   |   | 923.4 |   |
| Equity      attributable to non-controlling interest |   |   | 46.6 |   |   |   | 47.4 |   |   |   | 44.0 |   |   |   | 38.6 |   |   |   | 34.5 |   |
| Capital      stock                                   |   |   | 479.3 |   |   |   | 479.3 |   |   |   | 479.3 |   |   |   | 479.3 |   |   |   | 479.3 |   |

----

| Observed      Exchange Rate (1) |   |
|---------------------------------|--------|
| Ch$      per US$                |   |
| Year/Month                      |   | Low (1) |   |   | High (1) |   |   | Average(2)(3) |   |   | Year/MonthEnd |   |
| 2005                            |   |   | 509.70 |   |   |   | 592.75 |   |   |   | 559.86 |   |   |   | 512.50 |   |
| 2006                            |   |   | 511.44 |   |   |   | 549.63 |   |   |   | 530.26 |   |   |   | 532.39 |   |
| 2007                            |   |   | 493.14 |   |   |   | 548.67 |   |   |   | 522.69 |   |   |   | 496.89 |   |
| 2008                            |   |   | 431.22 |   |   |   | 676.75 |   |   |   | 521.79 |   |   |   | 636.45 |   |
| 2009                            |   |   | 491.09 |   |   |   | 643.87 |   |   |   | 559.67 |   |   |   | 507.10 |   |
| 2010:                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Jan.                            |   |   | 489.47 |   |   |   | 531.75 |   |   |   | 500.66 |   |   |   | 523.10 |   |
| Feb.                            |   |   | 523.10 |   |   |   | 546.18 |   |   |   | 532.56 |   |   |   | 527.84 |   |
| Mar.                            |   |   | 508.66 |   |   |   | 533.87 |   |   |   | 523.16 |   |   |   | 524.46 |   |
| Apr.                            |   |   | 514.92 |   |   |   | 527.38 |   |   |   | 520.62 |   |   |   | 517.23 |   |
| May                             |   |   | 517.23 |   |   |   | 549.17 |   |   |   | 533.21 |   |   |   | 530.62 |   |

|   | (1) | Observed      exchange rates are the actual high and low on a day-to-day basis, for each      period. |
|--------|-----|-------------------------------------------------------------------------------------------------------|

|   | (2) | The      monthly average rate is calculated on a day-to-day basis for each      month. |
|--------|-----|----------------------------------------------------------------------------------------|

----

----

----

----

----

----

----

----

----

----

| ITEM      4. | INFORMATION      ON THE COMPANY |
|--------------|---------------------------------|

----

| (in      millions of US$)     |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|-------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Capital      Expenditures (1) |   |   | 376.2  |   |   |   | 286.6  |   |   |   | 185.0 |   |

|   | (1) | For      purposes of this item, capital expenditures include investments aimed at      sustaining, improving or increasing production levels, including      acquisitions and investments in related  companies. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | continued      construction of a new potassium nitrate production facility at Coya      Sur; |
|--------|--------|----------------------------------------------------------------------------------------------|

|   | · | investments      related to increase production capacity of potassium-based products at the      Salar de Atacama; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------|

|   | · | upgrade      of our railroad system to handle expanded production capacity;      and |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | various      projects designed to maintain production capacity, increase yields and      reduce costs. |
|--------|--------|--------------------------------------------------------------------------------------------------------|

|   | · | completion      of potassium nitrate expansion at CoyaSur; |
|--------|--------|------------------------------------------------------------|

|   | · | investments      related to increase production capacity of potassium-based products at the      Salar de Atacama; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------|

|   | · | upgrade      of our railroad system to handle expanded production capacity;      and |
|--------|--------|--------------------------------------------------------------------------------------|

|   | · | various      projects designed to maintain production capacity, increase yields and      reduce costs. |
|--------|--------|--------------------------------------------------------------------------------------------------------|

----

----

|                             |   | 2009   |   |   | 2008   |   |   | 2007 |   |   | 2006 |   |   | 2005   |   |
|----------------------------------|--------|--------|--------|--------|--------|--------|--------|------|--------|--------|------|--------|--------|--------|--------|
| Specialty      Plant Nutrition   |   |   | 45     | %      |   |   | 55     | %    |   |   | 49   | %      |   |   | 48     | % |   |   | 54 | % |
| Iodine      and Derivatives      |   |   | 13     | %      |   |   | 14     | %    |   |   | 18   | %      |   |   | 21     | % |   |   | 17 | % |
| Lithium      and Derivatives     |   |   | 8      | %      |   |   | 10     | %    |   |   | 15   | %      |   |   | 12     | % |   |   | 9 | % |
| Industrial      Chemicals        |   |   | 8      | %      |   |   | 7      | %    |   |   | 7    | %      |   |   | 7      | % |   |   | 8 | % |
| Potassium      Chloride          |   |   | 20     | %      |   |   | 8      | %    |   |   | 4    | %      |   |   | 3      | % |   |   | 4 | % |
| Other      Commodity Fertilizers |   |   | 6      | %      |   |   | 6      | %    |   |   | 7    | %      |   |   | 9      | % |   |   | 8 | % |
| Total                            |   |   | 100    | %      |   |   | 100    | %    |   |   | 100  | %      |   |   | 100    | % |   |   | 100 | % |

|  | (1) | maintain      leadership in specialty plant nutrients, iodine, lithium and industrial      nitrates, in terms of production capacity, costs, production, pricing and      development of new products; |
|--|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (2) | increase      our production capacity of potassium-related fertilizers from the Salar de      Atacama; |
|--|-----|--------------------------------------------------------------------------------------------------------|

|  | (3) | continually      increase the efficiency of our production processes and reduce      costs; |
|--|-----|---------------------------------------------------------------------------------------------|

|  | (4) | evaluate      acquisitions, joint ventures and commercial alliances in each of our core      businesses; and |
|--|-----|--------------------------------------------------------------------------------------------------------------|

|  | (5) | maintain      a solid, conservative financial position and investment grade ratings for      our debt securities. |
|--|-----|-------------------------------------------------------------------------------------------------------------------|

----

----

| · | are      fully water soluble, allowing their use in hydroponics, fertigation,      foliar applications and other advanced agricultural      techniques; |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | are      absorbed more rapidly by plants because they do not require nitrification,      unlike ammonia-based fertilizers; |
|--------|----------------------------------------------------------------------------------------------------------------------------|

| · | are      free of chlorine content, reducing the risk of scorching roots and other      problems caused by chlorine; |
|--------|---------------------------------------------------------------------------------------------------------------------|

| · | do      not release hydrogen after application, thereby avoiding increased soil      acidity; |
|--------|-----------------------------------------------------------------------------------------------|

| · | possess      trace elements, which promote disease resistance in plants and have other      beneficial effects; |
|--------|-----------------------------------------------------------------------------------------------------------------|

| · | are      more attractive to customers who prefer products of natural origin;      and |
|--------|---------------------------------------------------------------------------------------|

| · | are      more efficient than commodity fertilizers because they deliver more      nutrients per unit of productapplied. |
|--------|-------------------------------------------------------------------------------------------------------------------------|

----

|                                                |   | 2009   |   |   | 2008   |   |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|-----------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Sales Volume  (Th.MT)                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sodium      nitrate                                 |   |   | 16.5   |   |   |   | 22.8   |   |   |   | 45.9   |   |   |   | 43.3   |   |   |   | 63.3 |   |
| Potassium      nitrate and sodium potassium nitrate |   |   | 392.1  |   |   |   | 538.2  |   |   |   | 695.3  |   |   |   | 615.0  |   |   |   | 690.2 |   |
| Potassium      sulfate                              |   |   | 133.4  |   |   |   | 138.3  |   |   |   | 172.0  |   |   |   | 172.4  |   |   |   | 178.6 |   |
| Blended      and other specialty plant nutrients(1) |   |   | 274.8  |   |   |   | 309.0  |   |   |   | 378.6  |   |   |   | 393.8  |   |   |   | 350.7 |   |
| Revenues      (in US$ millions)                     |   |   | 648.7  |   |   |   | 978.9  |   |   |   | 580.8  |   |   |   | 503.1  |   |   |   | 487.8 |   |

|   | (1) | Includes      blended and other specialty plant nutrients.  It also includes      Yara's products sold pursuant to our commercial  agreement. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------|

| Sales Breakdown                  |   | 2009   |   |   | 2008   |   |   | 2007 |   |   | 2006 |   |   | 2005   |   |
|----------------------------------|--------|--------|--------|--------|--------|--------|--------|------|--------|--------|------|--------|--------|--------|--------|
| Central      & South America |   |   | 24     | %      |   |   | 34     | %    |   |   | 28   | %      |   |   | 29     | % |   |   | 29 | % |
| North      America               |   |   | 26     | %      |   |   | 19     | %    |   |   | 23   | %      |   |   | 22     | % |   |   | 22 | % |
| Europe                           |   |   | 25     | %      |   |   | 20     | %    |   |   | 19   | %      |   |   | 19     | % |   |   | 20 | % |
| Chile                            |   |   | 7      | %      |   |   | 7      | %    |   |   | 10   | %      |   |   | 9      | % |   |   | 9 | % |
| Others                           |   |   | 18     | %      |   |   | 20     | %    |   |   | 20   | %      |   |   | 21     | % |   |   | 20 | % |

----

----

----

|                            |   | 2009   |   |   | 2008   |   |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|---------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Sales      Volume (Th. MT)      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Iodine      and derivatives     |   |   | 7.2    |   |   |   | 10.5   |   |   |   | 9.1    |   |   |   | 9.8    |   |   |   | 8.1 |   |
| Revenues      (in US$ millions) |   |   | 190.3  |   |   |   | 246.9  |   |   |   | 215.1  |   |   |   | 217.7  |   |   |   | 149.1 |   |

----

| Sales      Breakdown             |   | 2009   |   |   | 2008   |   |   | 2007 |   |   | 2006 |   |   | 2005   |   |
|----------------------------------|--------|--------|--------|--------|--------|--------|--------|------|--------|--------|------|--------|--------|--------|--------|
| Europe                           |   |   | 31     | %      |   |   | 30     | %    |   |   | 31   | %      |   |   | 34     | % |   |   | 30 | % |
| North      America               |   |   | 36     | %      |   |   | 40     | %    |   |   | 38   | %      |   |   | 40     | % |   |   | 37 | % |
| Central      & South America |   |   | 3      | %      |   |   | 2      | %    |   |   | 5    | %      |   |   | 5      | % |   |   | 13 | % |
| Others                           |   |   | 30     | %      |   |   | 28     | %    |   |   | 26   | %      |   |   | 21     | % |   |   | 20 | % |

----

|                            |   | 2009   |   |   | 2008   |   |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|---------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Sales      Volume (Th. MT)      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Lithium      and derivatives    |   |   | 21.3   |   |   |   | 27.9   |   |   |   | 28.6   |   |   |   | 30.4   |   |   |   | 27.8 |   |
| Revenues      (in US$ millions) |   |   | 117.8  |   |   |   | 172.3  |   |   |   | 179.8  |   |   |   | 128.9  |   |   |   | 81.4 |   |

----

| Sales      Breakdown    |   | 2009   |   |   | 2008   |   |   | 2007 |   |   | 2006 |   |   | 2005   |   |
|-------------------------|--------|--------|--------|--------|--------|--------|--------|------|--------|--------|------|--------|--------|--------|--------|
| Europe                  |   |   | 31     | %      |   |   | 31     | %    |   |   | 34   | %      |   |   | 32     | % |   |   | 33 | % |
| North      America      |   |   | 14     | %      |   |   | 18     | %    |   |   | 21   | %      |   |   | 24     | % |   |   | 25 | % |
| Asia      & Oceania |   |   | 53     | %      |   |   | 48     | %    |   |   | 38   | %      |   |   | 36     | % |   |   | 31 | % |
| Others                  |   |   | 2      | %      |   |   | 2      | %    |   |   | 7    | %      |   |   | 8      | % |   |   | 11 | % |

----

|                            |   | 2009   |   |   | 2008   |   |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|---------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Sales      Volume (Th. MT)      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Industrial      nitrates        |   |   | 149.2  |   |   |   | 161.9  |   |   |   | 175.2  |   |   |   | 162.0  |   |   |   | 176.3 |   |
| Boric      Acid                 |   |   | 3.4    |   |   |   | 7.2    |   |   |   | 9.2    |   |   |   | 9.7    |   |   |   | 6.3 |   |
| Revenues      (in US$ millions) |   |   | 115.4  |   |   |   | 123.6  |   |   |   | 81.2   |   |   |   | 71.3   |   |   |   | 70.5 |   |

| Sales      Breakdown             |   | 2009   |   |   | 2008   |   |   | 2007 |   |   | 2006 |   |   | 2005   |   |
|----------------------------------|--------|--------|--------|--------|--------|--------|--------|------|--------|--------|------|--------|--------|--------|--------|
| North      America               |   |   | 30     | %      |   |   | 34     | %    |   |   | 40   | %      |   |   | 41     | % |   |   | 42 | % |
| Europe                           |   |   | 45     | %      |   |   | 38     | %    |   |   | 34   | %      |   |   | 29     | % |   |   | 28 | % |
| Central      & South America |   |   | 18     | %      |   |   | 18     | %    |   |   | 17   | %      |   |   | 17     | % |   |   | 17 | % |
| Others                           |   |   | 7      | %      |   |   | 10     | %    |   |   | 9    | %      |   |   | 13     | % |   |   | 13 | % |

----

|                            |   | 2009   |   |   | 2008   |   |   | 2007   |   |   | 2006   |   |   | 2005   |   |
|---------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Sales      Volume (Th. MT)      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Potassium      Chloride         |   |   | 556.5  |   |   |   | 185.6  |   |   |   | 179.0  |   |   |   | 126.4  |   |   |   | 128.8 |   |
| Revenues      (in US$ millions) |   |   | 284.8  |   |   |   | 140.0  |   |   |   | 51.3   |   |   |   | 32.1   |   |   |   | 32.4 |   |

----

| Sales      Breakdown |   | 2009   |   |   | 2008   |   |   | 2007 |   |   | 2006 |   |   | 2005   |   |
|----------------------|--------|--------|--------|--------|--------|--------|--------|------|--------|--------|------|--------|--------|--------|--------|
| Chile                |   |   | 8      | %      |   |   | 58     | %    |   |   | 63   | %      |   |   | 62     | % |   |   | 82 | % |
| Latin      America   |   |   | 26     | %      |   |   | 23     | %    |   |   | 18   | %      |   |   | 17     | % |   |   | 18 | % |
| Others               |   |   | 66     | %      |   |   | 19     | %    |   |   | 19   | %      |   |   | 21     | % |   |   | 0 | % |

| · | Caliche      ore deposits: contain nitrates andiodine. |
|--------|--------------------------------------------------------|

| · | Salar      brines: contain potassium, lithium, sulfate and  boron. |
|--------|--------------------------------------------------------------------|

----

----

----

----

----

----

----

----

----

| Main subsidiaries                                                                                                                                                   |     | Activity                                                                                                                                                 |     | Country ofIncorporation |   | SQM Beneficial Ownership Interest(Direct/Indirect) |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------|------------------------------|--------|-------------------------------------------------------------------|--------|
| SQM      Nitratos S.A.                                                                                                                                                   |               | Extracts      and sells caliche ore to subsidiaries and affiliates ofSQM                                                                                 |               | Chile                        |   |                                                              | 100    | % |
| SQM      Industrial S.A.                                                                                                                                                 |               | Produces      and markets the Company’s products directly and through other subsidiaries      and affiliates of SQM                                |               | Chile                        |   |                                                              | 100    | % |
| SQM      Salar S.A.                                                                                                                                                      |               | Exploits      the Salar de Atacama to produce and market the Company’s products directly      and through other subsidiaries and affiliates of SQM |               | Chile                        |   |                                                              | 100    | % |
| Minera      Nueva Victoria S.A.                                                                                                                                          |               | Produces      and markets the Company’s products directly and through other subsidiaries      and affiliates of SQM                                |               | Chile                        |   |                                                              | 100    | % |
| Servicios      Integrales de Tránsitos y Transferencias S.A. (SIT)                                                                                                  |               | Owns      and operates a rail transport system and also owns and operates the      Tocopilla port facilities                                             |               | Chile                        |   |                                                              | 100    | % |
| Soquimich      Comercial S.A.                                                                                                                                            |               | Markets      the Company’s specialty plant nutrition products domestically and imports      fertilizers for resale in Chile                        |               | Chile                        |   |                                                              | 61     | % |
| Ajay-SQM      Chile S.A.                                                                                                                                                 |               | Produces      and markets the Company’s iodine and iodine derivatives                                                                              |               | Chile                        |   |                                                              | 51     | % |
| Sales      and distribution subsidiaries in the United States, Belgium, Brazil,      Venezuela, Ecuador, Peru, Argentina, Mexico, South Africa and other      locations. |               | Market      the Company’s products throughout the world                                                                                            |               | Various                      |   |                                                              |   |   |

----

----

----

|                              |   | Exploitation      concessions |   |   | Exploration      concessions |   |      | Total             |   |
|-----------------------------------|--------|-------------------------------|--------|--------|------------------------------|--------|-----------|-------------------|--------|
| Mines                             |   | Total number             |   |   | Hectares                     |   |      | Total number |   |   | Hectares |   |   | Total number |   |   | Hectares |   |
| Pedro      de Valdivia            |   |                          | 584    |   |                         |   | 148,802   |              |   |   | 1 |   |   |   | 300 |   |   |   | 585 |   |   |   | 149,102 |   |
| El      Toco(1)                   |   |                          | 615    |   |                         |   | 182,804   |              |   |   | 25 |   |   |   | 4,900 |   |   |   | 640 |   |   |   | 187,704 |   |
| Pampa      Blanca(1)              |   |                          | 464    |   |                         |   | 137,112   |              |   |   | 1 |   |   |   | 200 |   |   |   | 465 |   |   |   | 137,312 |   |
| Nueva      Victoria               |   |                          | 342    |   |                         |   | 89,157    |              |   |   | 18 |   |   |   | 11,300 |   |   |   | 360 |   |   |   | 100,457 |   |
| Salar      de Atacama             |   |                          | 447    |   |                         |   | 277,075   |              |   |   | 2,502 |   |   |   | 996,900 |   |   |   | 2,949 |   |   |   | 1,273,975 |   |
| Subtotal      mines               |   |                          | 2,452  |   |                         |   | 834,950   |              |   |   | 2,547 |   |   |   | 1,013,600 |   |   |   | 4,999 |   |   |   | 1,848,550 |   |
| Other      caliche areas          |   |                          | 7,777  |   |                         |   | 1,720,000 |              |   |   | 733 |   |   |   | 253,300 |   |   |   | 8,510 |   |   |   | 1,973,300 |   |
| Other      salars and other areas |   |                          | 585    |   |                         |   | 116,933   |              |   |   | 210 |   |   |   | 53,500 |   |   |   | 795 |   |   |   | 170,433 |   |
| Subtotal      other Areas         |   |                          | 8,362  |   |                         |   | 1,836,933 |              |   |   | 943 |   |   |   | 306,800 |   |   |   | 9,305 |   |   |   | 2,143,733 |   |
| Total                             |   |                          | 10,814 |   |                         |   | 2,671,883 |              |   |   | 3,490 |   |   |   | 1,320,400 |   |   |   | 14,304 |   |   |   | 3,992,283 |   |

----

| (values in thousands, unless otherwise      stated)   |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|-------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Pedro      de Valdivia                                |   |   |   |   |   |   |   |   |   |
| Metric      tons of ore mined                         |   |   | 11,631 |   |   |   | 11,003 |   |   |   | 10,670 |   |
| Average      grade nitrate (% by weight)              |   |   | 7.3    |   |   |   | 7.1    |   |   |   | 7.5 |   |
| Iodine      (parts per million (ppm))                 |   |   | 363    |   |   |   | 345    |   |   |   | 354 |   |
| Metric      tons of crystallized nitrate produced     |   |   | 434    |   |   |   | 407    |   |   |   | 422 |   |
| Metric      tons of iodine produced                   |   |   | 2.6    |   |   |   | 2.2    |   |   |   | 2.3 |   |
| María      Elena(1)                              |   |   |   |   |   |   |   |   |   |   |   |   |
|     Metric      tons of ore mined |   |   | 5,443  |   |   |   | 4,683  |   |   |   | 4,651 |   |
| Average      grade nitrate (% by weight)              |   |   | 6.8    |   |   |   | 7.1    |   |   |   | 7.4 |   |
| Iodine      (ppm)                                     |   |   | 375    |   |   |   | 358    |   |   |   | 363 |   |
| Metric      tons of crystallized nitrate produced     |   |   | 155    |   |   |   | 151    |   |   |   | 167 |   |
| Metric      tons of iodine produced                   |   |   | 1.2    |   |   |   | 1.0    |   |   |   | 1.0 |   |
| Coya      Sur(2)                                      |   |   |   |   |   |   |   |   |   |   |   |   |
| Metric      tons of crystallized nitrate produced     |   |   | 193    |   |   |   | 302    |   |   |   | 257 |   |
| Pampa      Blanca(1)                                  |   |   |   |   |   |   |   |   |   |   |   |   |
| Metric      tons of ore mined                         |   |   | 3,785  |   |   |   | 3,811  |   |   |   | 3,108 |   |
| Iodine      (ppm)                                     |   |   | 645    |   |   |   | 533    |   |   |   | 527 |   |
| Metric      tons of iodine produced                   |   |   | 1.2    |   |   |   | 1.1    |   |   |   | 1.1 |   |
| Nueva      Victoria                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| Metric      tons of ore mined                         |   |   | 17,326 |   |   |   | 15,760 |   |   |   | 12,285 |   |
| Iodine      (ppm)                                     |   |   | 463    |   |   |   | 475    |   |   |   | 495 |   |
| Metric      tons of iodine produced                   |   |   | 5.1    |   |   |   | 4.0    |   |   |   | 3.7 |   |
| Salar      de Atacama                                 |   |   |   |   |   |   |   |   |   |   |   |   |
| Metric      tons of lithium carbonate produced(3)     |   |   | 14     |   |   |   | 30     |   |   |   | 30 |   |
| Metric      tons of potassium chloride produced       |   |   | 886    |   |   |   | 700    |   |   |   | 611 |   |
| Metric      tons of potassium sulfate produced        |   |   | 189    |   |   |   | 163    |   |   |   | 157 |   |
| Metric tons of boric acid      produced               |   |   | 5      |   |   |   | 8      |   |   |   | 7 |   |

|   | (1) | Operations at the El Toco and      Pampa Blanca mines were temporarily suspended in March      2010. |
|--------|-----|------------------------------------------------------------------------------------------------------|

|   | (2) | Includes      production at Coya Sur from treatment of fines from María Elena and Pedro      de Valdivia, nitrates from pile treatment at Pampa Blanca and net      production from NPT, or "technical (grade) potassium nitrate,"      plants. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | Lithium      carbonate is extracted at the Salar de Atacama and processed at our      facilities at the Salar delCarmen. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------|

----

----

| Mine                    |   | Proven Reserves (1)(millions of metric tons) |   |   | Nitrate Average Grade(percentage by weight) |   |   | Iodine Average Grade(parts per million) |   |
|-------------------------|--------|----------------------------------------------|--------|--------|---------------------------------------------|--------|--------|-----------------------------------------|--------|
| Pedro      de Valdivia  |   |                                         | 166.6  |   |                                        |   | 7.1    | %                                       |   |   | 368 |   |
| María      Elena   |   |                                         | 137.9  |   |                                        |   | 7.3    | %                                       |   |   | 412 |   |
| Pampa      Blanca       |   |                                         | 71.7   |   |                                        |   | 5.6    | %                                       |   |   | 544 |   |
| Nueva      Victoria (2) |   |                                         | 305.0  |   |                                        |   | 5.9    | %                                       |   |   | 458 |   |

| Mine                    |   | Probable Reserves (1) (3)(millions of metric tons) |   |   | Nitrate Average Grade(percentage by weight) |   |   | Iodine Average Grade(parts per million) |   |
|-------------------------|--------|----------------------------------------------------|--------|--------|---------------------------------------------|--------|--------|-----------------------------------------|--------|
| Pedro      de Valdivia  |   |                                               | 85.2   |   |                                        |   | 6.9    | %                                       |   |   | 482 |   |
| María      Elena   |   |                                               | 97.8   |   |                                        |   | 7.3    | %                                       |   |   | 380 |   |
| Pampa      Blanca       |   |                                               | 447.8  |   |                                        |   | 5.8    | %                                       |   |   | 538 |   |
| Nueva      Victoria (2) |   |                                               | 102.4  |   |                                        |   | 5.8    | %                                       |   |   | 396 |   |

| (1) | The      proven and probable reserves set forth in the tables above are shown      before losses related to exploitation and mineral treatment. Proven and      probable reserves are affected by mining exploitation methods, which      result in differences between the estimated reserves that are available      for exploitation in the mining plan and the recoverable material that is      finally transferred to the leaching vats or heaps. The average mining      exploitation factor for our different mines ranges between 80% and 90%,      whereas the average global metallurgical recoveries of processes for      nitrate and iodine contained in the recovered material vary between 55%      and 65%. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Probable      reserves can be expressed as proven reserves using a conversion factor. On      average, this conversion factor is higher than 60%. This factor depends on      geological conditions and caliche ore continuity, which vary from mine to      mine. The difference between the probable reserve amounts and the      converted probable reserve amounts is the result of the lower degree of      certainty pertaining to probable reserves compared with proven      reserves. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | Operations      at El Toco and Pampa Blanca mines were temporarily suspended in March      2010. |
|-----|--------------------------------------------------------------------------------------------------|

----

|                                |   | Proven Reserves (1)(millions of metric tons) |   |   | Probable Reserves (1)(millions of metric tons) |   |
|-------------------------------------|--------|----------------------------------------------|--------|--------|------------------------------------------------|--------|
| Potassium      (K +)      (2)       |   |                                         | 50.4   |   |                                           |   | 11.3 |   |
| Sulfate      (SO4 2-)      (3) |   |                                         | 37.2   |   |                                           |   | 2.2 |   |
| Lithium      (Li +)      (4)        |   |                                         | 2.7    |   |                                           |   | 2.7 |   |
| Boron      (B 3+)      (5)          |   |                                         | 1.1    |   |                                           |   | 0.2 |   |

| (1) | Metric      tons of potassium, sulfate, lithium and boron considered in the proven and      probable reserves are shown before losses from evaporation processes and      metallurgical treatment. The recoveries of each ion depend on both brine      composition, which changes over time, and the process applied to produce      the desired commercial products. |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Recoveries      for potassium vary from 47% to 77%. |
|-----|-----------------------------------------------------|

| (3) | Recoveries      for sulfate vary from 27% to 45%. |
|-----|---------------------------------------------------|

| (4) | Recoveries      for lithium vary from 28% to 37%. |
|-----|---------------------------------------------------|

| (5) | Recoveries      for boron vary from 28% to 32%. |
|-----|-------------------------------------------------|

| Location                               |   | Type of Facility                                                     |   | Approximate Size (Hectares) |
|----------------------------------------|--------|--------------------------------------------------------------------------------|--------|---------------------------------------|
| Pedro      de Valdivia (1)             |   | Nitrates      and iodine production                                            |   |    110                 |
| María      Elena (1)              |   | Nitrates      and iodine production                                            |   |      90      |
| Coya      Sur  (1)           |   | Nitrates      and iodine production                                            |   |    220                 |
| Pampa      Blanca (1)                  |   | Concentrated      nitrate salts and iodine production                          |   |     129           |
| Nueva      Victoria (2)                |   | Iodine      production                                                         |   |     315           |
| Salar      de Atacama (1)(3)           |   | Potassium      chloride, lithium chloride, potassium sulfate and boric    acid |   | 2,794                                 |
| Salar      del Carmen, Antofagasta (1) |   | Lithium      carbonate and lithium hydroxide production                        |   |      63      |
| Tocopilla                              |   | Port      facilities                                                           |   |      22      |

----

----

----

----

----

| ITEM      5. | OPERATING      AND FINANCIAL REVIEW AND PROSPECTS |
|--------------|---------------------------------------------------|

----

----

----

|   | · | specialty      plant nutrients |
|--------|--------|--------------------------------|

|   | · | iodine      and its derivatives |
|--------|--------|---------------------------------|

|   | · | lithium      and its derivatives |
|--------|--------|----------------------------------|

|   | · | industrial      chemicals |
|--------|--------|---------------------------|

|   | · | potassium      chloride; and |
|--------|--------|------------------------------|

|   | · | the      purchase and sale of other commodity fertilizers for use primarily in      Chile. |
|--------|--------|--------------------------------------------------------------------------------------------|

|   | · | trends      in demand for and supply of our products, including global economic      conditions, which impact prices andvolumes; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------|

|   | · | efficient      operations of our facilities, particularly as some of them run at      production capacity; |
|--------|--------|------------------------------------------------------------------------------------------------------------|

|   | · | our      ability to accomplish our capital expenditures program in a timely      manner; |
|--------|--------|------------------------------------------------------------------------------------------|

|   | · | the      levels of our inventories; |
|--------|--------|-------------------------------------|

----

|   | · | trends      in the exchange rate between the U.S. dollar and peso, as a significant      portion of the cost of sales is in Chilean pesos, and trends in the      exchange rate between the U.S. dollar and the Euro, as a significant      portion of our sales is denominated in Euros;  and |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | energy,      logistics, raw materials and maintenancecosts. |
|--------|--------|-------------------------------------------------------------|

|                                |   | Year      ended December 31, |    |
|-------------------------------------|--------|------------------------------|---------|
|                                |   | 2009                         |    |   | 2008 |   |   | 2007 |   |
|                                |   | US$                          |    |   | % |   |   | US$ |   |   | % |   |   | US$ |   |   | % |   |
| Specialty      plant nutrition      |   |                         | 648.7   |   |   |   | 45 |   |   |   | 978.9 |   |   |   | 55 |   |   |   | 580.8 |   |   |   | 49 |   |
| Iodine      and derivatives         |   |                         | 190.3   |   |   |   | 13 |   |   |   | 246.9 |   |   |   | 14 |   |   |   | 215.1 |   |   |   | 18 |   |
| Lithium      and derivatives        |   |                         | 117.8   |   |   |   | 8 |   |   |   | 172.3 |   |   |   | 10 |   |   |   | 179.8 |   |   |   | 15 |   |
| Industrial      chemicals           |   |                         | 115.4   |   |   |   | 8 |   |   |   | 123.6 |   |   |   | 7 |   |   |   | 81.2 |   |   |   | 7 |   |
| Potassium      chloride             |   |                         | 284.8   |   |   |   | 20 |   |   |   | 140.0 |   |   |   | 8 |   |   |   | 51.3 |   |   |   | 4 |   |
| Other      commodity fertilizers(1) |   |                         | 79.8    |   |   |   | 6 |   |   |   | 112.3 |   |   |   | 6 |   |   |   | 79.4 |   |   |   | 7 |   |
| Total                               |   |                         | 1,436.9 |   |   |   | 100 |   |   |   | 1,774.1 |   |   |   | 100 |   |   |   | 1,187.5 |   |   |   | 100 |   |

|   | (1)       Primarily consists of imported fertilizers distributed in      Chile. |
|--------|--------------------------------------------------------------------------------------|

|                                     |   | Year      ended December 31, |    |
|------------------------------------------|--------|------------------------------|---------|
|                                     |   | 2009                         |    |   | 2008 |   |   | 2007 |   |
|                                     |   | US$                          |    |   | % |   |   | US$ |   |   | % |   |   | US$ |   |   | % |   |
| Total      revenues                      |   |                         | 1,436.9 |   |   |   | 100.0 |   |   |   | 1,774.1 |   |   |   | 100.0 |   |   |   | 1,187.5 |   |   |   | 100.0 |   |
| Cost      of goods sold                  |   |                         | (916.1  | ) |   |   | (63.8 | ) |   |   | (1,056.2 | ) |   |   | (59.5 | ) |   |   | (857.8 | ) |   |   | (72.2 | ) |
| Gross      margin                        |   |                         | 520.8   |   |   |   | 36.2 |   |   |   | 717.9 |   |   |   | 40.5 |   |   |   | 329.8 |   |   |   | 27.8 |   |
| Selling      and administrative expenses |   |                         | (78.9   | ) |   |   | (5.5 | ) |   |   | (85.7 | ) |   |   | (4.8 | ) |   |   | (70.3 | ) |   |   | (5.9 | ) |
| Operating      income                    |   |                         | 441.9   |   |   |   | 30.8 |   |   |   | 632.2 |   |   |   | 35.6 |   |   |   | 259.5 |   |   |   | 21.9 |   |
|                                     |   |                         |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Non-operating      income                |   |                         | 40.5    |   |   |   | 2.8 |   |   |   | 40.6 |   |   |   | 2.3 |   |   |   | 25.9 |   |   |   | 2.2 |   |
| Non-operating      expenses              |   |                         | (77.5   | ) |   |   | (5.4 | ) |   |   | (59.9 | ) |   |   | (3.8 | ) |   |   | (53.0 | ) |   |   | (4.5 | ) |
|                                     |   |                         |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      before income taxes          |   |                         | 404.9   |   |   |   | 28.2 |   |   |   | 612.9 |   |   |   | 34.5 |   |   |   | 232.4 |   |   |   | 19.6 |   |
| Income      tax                          |   |                         | (76.5   | ) |   |   | (5.3 | ) |   |   | (108.0 | ) |   |   | (6.1 | ) |   |   | (48.6 | ) |   |   | (4.1 | ) |
| Minority      interest                   |   |                         | (1.3    | ) |   |   | (0.1 | ) |   |   | (3.5 | ) |   |   | (0.2 | ) |   |   | (3.8 | ) |   |   | (0.3 | ) |
| Amortization      of negative goodwill   |   |                         | 0.0     |   |   |   | 0.0 |   |   |   | 0.0 |   |   |   | 0.0 |   |   |   | 0.0 |   |   |   | 0.0 |   |
|                                     |   |                         |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                          |   |                         | 327.1   |   |   |   | 22.8 |   |   |   | 501.4 |   |   |   | 28.3 |   |   |   | 180.0 |   |   |   | 15.2 |   |

----

| (in      Th. MT)                                    |   | 2009   |   |   | 2008   |   |   | %      change |   |
|-----------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Sodium      nitrate                                 |   |   | 16.5   |   |   |   | 22.8   |          |   |   | (27 | )% |
| Potassium      nitrate and sodium potassium nitrate |   |   | 392.1  |   |   |   | 538.2  |          |   |   | (27 | )% |
| Blended      and other specialty fertilizers        |   |   | 184.5  |   |   |   | 205.9  |          |   |   | (10 | )% |
| Other      non-SQM specialty plant nutrients(1)     |   |   | 90.3   |   |   |   | 103.1  |          |   |   | (12 | )% |
| Potassium      sulfate                              |   |   | 133.4  |   |   |   | 138.3  |          |   |   | (4 | )% |

| (in      Th. MT)                |   | 2009   |   |   | 2008   |   |   | %      change |   |
|---------------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Iodine      and its derivatives |   |   | 7.2    |   |   |   | 10.5   |          |   |   | (32 | )% |

----

| (in      Th. MT)                 |   | 2009   |   |   | 2008   |   |   | %      change |   |
|----------------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Lithium      and its derivatives |   |   | 21.3   |   |   |   | 27.9   |          |   |   | (24 | )% |

| (in      Th. MT)         |   | 2009   |   |   | 2008   |   |   | %      change |   |
|--------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Industrial      nitrates |   |   | 149.2  |   |   |   | 161.9  |          |   |   | (8 | )% |
| Boric      acid          |   |   | 3.4    |   |   |   | 7.2    |          |   |   | (53 | )% |

----

| (in      Th. MT)        |   | 2009   |   |   | 2008   |   |   | %      change |   |
|-------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Potassium      chloride |   |   | 556.5  |   |   |   | 185.6  |          |   |   | 200 | % |

----

|   | · | in      the fourth quarter of 2009, we made provisions for US$15 million related      to the suspension of operations at the El Toco and Pampa Blanca mining      facilities. In March 2010, operations at the El Toco and Pampa Blanca      mines were temporarily suspended due to decreased global demand for      nitrates and iodine during the preceding 15 months coupled with high      inventory levels of these products; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | we      have increased our financial debt, as well as our cash position, since the      fourth quarter of 2008, which has led to higher interest expenses due to      the negative carry of debt; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | we      have obtained lower earnings from investments in related companies which      also affected non-operating results, as the fertilizer business activities      of our offshore affiliates were affected by lower global fertilizer      prices. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (in      Th. MT)                                    |   | 2008   |   |   | 2007   |   |   | %      change |   |
|-----------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Sodium      nitrate                                 |   |   | 22.8   |   |   |   | 45.9   |          |   |   | (50 | )% |
| Potassium      nitrate and sodium potassium nitrate |   |   | 538.2  |   |   |   | 695.3  |          |   |   | (23 | )% |
| Potassium      sulfate                              |   |   | 138.3  |   |   |   | 172.0  |          |   |   | (20 | )% |
| Blended      and other specialty fertilizers        |   |   | 205.9  |   |   |   | 261.5  |          |   |   | (21 | )% |
| Other      non-SQM specialty plant nutrients(1)     |   |   | 103.1  |   |   |   | 117.1  |          |   |   | (12 | )% |

----

| (in      Th. MT)                |   | 2008   |   |   | 2007   |   |   | %      change |   |
|---------------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Iodine      and its derivatives |   |   | 10.5   |   |   |   | 9.1    |          |   |   | 15 | % |

| (in      Th. MT)                 |   | 2008   |   |   | 2007   |   |   | %      change |   |
|----------------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Lithium      and its derivatives |   |   | 27.9   |   |   |   | 28.6   |          |   |   | (2 | )% |

| (in      Th. MT)         |   | 2008   |   |   | 2007   |   |   | %      change |   |
|--------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Industrial      nitrates |   |   | 161.9  |   |   |   | 175.2  |          |   |   | (8 | )% |
| Boric      acid          |   |   | 7.2    |   |   |   | 9.2    |          |   |   | (22 | )% |

----

| (in      Th. MT)        |   | 2008   |   |   | 2007   |   |   | %      change |   |
|-------------------------|--------|--------|--------|--------|--------|--------|--------|---------------|--------|
| Potassium      chloride |   |   | 185.6  |   |   |   | 179.0  |          |   |   | 4 | % |

----

|                    |   | 2009   |     |   | 2008   |   |
|-------------------------|--------|--------|----------|--------|--------|--------|
|                    |   | Th US$ |     |   | Th US$ |   |
| Chilean      pesos      |   |   | (271,513 | )      |   |   | (104,605 | ) |
| Brazilian      real     |   |   | (1,303   | )      |   |   | (1,367 | ) |
| Euro                    |   |   | 13,821   |   |   |   | 64,627 |   |
| Japanese      yen       |   |   | 832      |   |   |   | 1,033 |   |
| Mexican      pesos      |   |   | 667      |   |   |   | 2,188 |   |
| South      African rand |   |   | 28,868   |   |   |   | 11,584 |   |
| Dirhams                 |   |   | 22,575   |   |   |   | 15,353 |   |
| Other      currencies   |   |   | 16,968   |   |   |   | 14,971 |   |
|                    |   |   |     |   |   |   |   |   |
| Total,      net         |   |   | (189,085 | )      |   |   | 3,784 |   |

----

----

| (in      millions of U.S. dollars)                    |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|-------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| Cash      generated by (used in):                     |   |   |   |   |   |   |   |   |   |
| Operating      activities                             |   |   | 371.4  |   |   |   | 457.3  |   |   |   | 311.3 |   |
| Financing      activities                             |   |   | 202.5  |   |   |   | (38.4  | )      |   |   | (157.1 | ) |
| Investing      activities                             |   |   | (373.0 | )      |   |   | (278.8 | )      |   |   | (174.2 | ) |
| Increase      (decrease) in cash and cash equivalents |   |   | 226.6  |   |   |   | 139.6  |   |   |   | (19.7 | ) |

| Financial      instruments                |         | Interest      rate     |         | Issue      date    |         | Maturity      date |         | Amortization                                           |
|-------------------------------------------|--------------|------------------------|--------------|--------------------|--------------|--------------------|--------------|--------------------------------------------------------|
| Bond—CH$      21,000 million(1)     |         | 7.00%                  |         | Jan.      13, 2009 |         | Jan.      5, 2014  |         | Bullet                                                 |
| Bond—UF      1.50 million(1)        |         | 3.00%                  |         | May      8, 2009   |         | Apr.      1, 2014  |         | Bullet                                                 |
| Bond—CH$      52,000 million(1)     |         | 5.50%                  |         | May      8, 2009   |         | Apr.      1, 2014  |         | Bullet                                                 |
| Bond—US$200      million            |         | 6.125%                 |         | Apr.      5, 2006  |         | Apr.      15, 2016 |         | Bullet                                                 |
| Bond—UF      2.55 million(1)        |         | 4.00%                  |         | Jan.      24, 2006 |         | Dec.      1, 2026  |         | Semiannual      partial amortization beginning in 2007 |
| Bond—UF      4.00 million(1)        |         | 4.90%                  |         | Jan.      13, 2009 |         | Jan.      5, 2030  |         | Semiannual,      beginning in 2019                     |
| Syndicated      loan—US$100 million |         | 3M      LIBOR + 0.375% |         | Mar.      3, 2005  |         | Feb.      25, 2010 |         | Bullet                                                 |
| Bilateral      loan—US$50 million   |         | 6M      LIBOR +1.50%   |         | Dec.      24, 2008 |         | Dec.      24, 2010 |         | Bullet                                                 |
| Bilateral      loan—US$20 million   |         | 6M      LIBOR + 3.30%  |         | Mar.      20, 2009 |         | Mar.      20, 2011 |         | Bullet                                                 |
| Bilateral      loan—US$10 million   |         | 6M      LIBOR + 3.30%  |         | Mar.      23, 2009 |         | Mar.      23, 2011 |         | Bullet                                                 |
| Syndicated      loan—US$80 million  |         | 6M      LIBOR + 0.30%  |         | Nov.      28, 2006 |         | Nov.      28, 2011 |         | Bullet                                                 |
| Syndicated      loan—US$75 million  |         | 3M      LIBOR + 3.00%  |         | Jun.      30, 2009 |         | Jun.      24, 2012 |         | Bullet                                                 |
| Bilateral      loan—US$40 million   |         | 3M      LIBOR + 2.25%  |         | Sep.      11, 2009 |         | Sep.      11, 2012 |         | Bullet                                                 |
| Bilateral      loan—US$140 million  |    | 6M      LIBOR + 2.10%  |    | Oct.      29, 2009 |    | Oct.      29, 2014 |    | Bullet                                                 |

|   | (1) | UF-      and Ch$- denominated bonds are fully hedged to U.S. dollars with      cross-currency swaps. |
|--------|-----|------------------------------------------------------------------------------------------------------|

----

|   | · | on      January 26, 2010, we paid short-term bank debt, in an amount of US$10      million with a term of 11 months and an annual interest rate of      approximately Libor + 2.4%. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      February 12, 2010, we paid short-term bank debt, dated as of February 20,      2009, in an amount of US$20 million with a term of 1 year and an annual      interest rate of approximately Libor +2.585%. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      February 22, 2010, we renewed a short-term bank debt, in an amount of      US$14.5 million with a term of 6 months and an annual interest rate of      approximately Libor + 0.557%. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      February 25, 2010, we renewed a short-term bank debt, in an amount of      US$20 million with a term of 3 months and an annual interest rate of      approximately Libor + 0.6%. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      February 25, 2010, we paid a US$100 million credit agreement, dated as of      February 25, 2005, with a term of 5 years and an annual interest rate of      approximately Libor + 0.375%. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      March 17, 2010, we paid commercial papers, dated as of March 24, 2009, in      an amount of Th Ch$15,000,000 (US$29 million) with a term of 9 months and      an annual interest rate of approximately 3.3% in  pesos. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Maturity(1)(in millions of US$) |   | Amount |   |
|---------------------------------|--------|--------|--------|
| 2011                            |   |   | 115.13 |   |
| 2012                            |   |   | 120.13 |   |
| 2013                            |   |   | 5.13   |   |
| 2014                            |   |   | 327.28 |   |
| 2015                            |   |   | 5.13   |   |
| 2016      and thereafter        |   |   | 402.81 |   |
| Total                           |   |   | 975.62 |   |

|  | (1) | Only      the capital has been included. For the UF and Ch$ local bonds, the amounts      presented reflect the real U.S. dollar obligation resulting from the      effects of the cross currency swaps that hedge these bonds to the U.S.      dollar. |
|--|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      February 22, 2010, we renewed a short-term bank debt, in an amount of      US$14.5 million with a term of 6 months and an annual interest rate of      approximately Libor + 0.557%. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      February 25, 2010, we renewed a short-term bank debt, in an amount of      US$20 million with a term of 3 months and an annual interest rate of      approximately Libor + 0.6%. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | · | on      March 31, 2010, we entered into a short-term bank debt for US$5 million,      with a term of 1 month and an annual interest rate of approximately Libor      + 0.55%. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      April 21, 2010, we issued in the U.S. market a bond of US$250 million with      an annual interest rate of 5.5%. The interest will be paid semi-annually      and the capital will be paid in a single amortization during April,      2020. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | on      May 26, 2010, we renewed a short-term bank debt, in an amount of US$20      million with a term of 1 month and an annual interest rate of      approximately Libor - 0.2541%. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                               |   |   |      |   | Less      Than |   |    | 1 - 3 |   |   | 3 - 5 |   |   | More      Than |    |
|----------------------------------------------------|--------|--------|-----------|--------|----------------|--------|---------|-----------------|--------|--------|-----------------|--------|--------|----------------|---------|
|                                               |   | Total  |      |   | 1      year    |   |    | years           |   |   | Years           |   |   | 5      years   |    |
|                                               |   | ThUS$  |      |   | ThUS$          |   |    | ThUS$           |   |   | ThUS$           |   |   | ThUS$          |    |
| Long-      and short-term debt (*)                 |   |   | 1,287,848 |   |           |   | 252,627 |            |   |   | 110,000         |   |   |           | 460,905 |   |   |   | 464,316 |   |
| Capital      lease obligations                     |   |   | 487       |   |           |   | 300     |            |   |   | 187             |   |   |           | -       |   |   |   | — |   |
| Operating      leases (**)                         |   |   | 198,463   |   |           |   | 9,021   |            |   |   | 18,042          |   |   |           | 18,042  |   |   |   | 153,358 |   |
| Purchase      commitments                          |   |   | 122,651   |   |           |   | 115,257 |            |   |   | 7,394           |   |   |           | -       |   |   |   | — |   |
| Staff      severance indemnities                   |   |   | 29,444    |   |           |   | -       |            |   |   | -               |   |   |           | -       |   |   |   | 29,444 |   |
| Total      Contractual Obligations and Commitments |   |   | 1,638,893 |   |           |   | 377,205 |            |   |   | 135,623         |   |   |           | 478,947 |   |   |   | 647,118 |   |

----

| ITEM      6. | DIRECTORS,      SENIOR MANAGEMENT AND EMPLOYEES |
|--------------|-------------------------------------------------|

| Directors                      |         |                                                                                                                                                                                                                                                                                                                                                                                                                                    |         |                         |
|--------------------------------|--------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------|------------------------------|
| Name                           |         | Position                                                                                                                                                                                                                                                                                                                                                                                                                                |         | Current position held  since |
| Julio      Ponce L. (1)        |         | Chairman      of the Board and Director                                                                                                                                                                                                                                                                                                                                                                                                 |         | September      1987          |
|                           |         | Mr.      Ponce is a Forestry Engineer with a degree from the Universidad de      Chile.  He joined the Company in 1981.  He is also      Chairman of the board of directors of the following corporations: Sociedad      de Inversiones Pampa Calichera S.A., Sociedad de Inversiones Oro      Blanco S.A., Norte Grande S.A. and Soquimich Comercial S.A.  He      is the brother of Eugenio Ponce. |         |                         |
|                           |         |                                                                                                                                                                                                                                                                                                                                                                                                                                    |         |                         |
| Wayne      R. Brownlee         |         | Vice      Chairman of the Board and Director                                                                                                                                                                                                                                                                                                                                                                                            |         | December      2001      |
|                           |         | Mr.      Brownlee is Executive Vice-President, Treasurer and Chief Financial      Officer of Potash Corporation of Saskatchewan, Inc.  Mr.      Brownlee earned degrees in Arts and Science and Business Administration      from the University of Saskatchewan.  He is on the board of      directors of Great Western Brewing Company.  He became a      director of SQM in December 2001.             |         |                         |
|                           |         |                                                                                                                                                                                                                                                                                                                                                                                                                                    |         |                         |
| Hernán      Büchi B. |         | Director                                                                                                                                                                                                                                                                                                                                                                                                                                |         | April      1993              |
|                           |    | Mr.      Büchi is a Civil Engineer with a degree from the Universidad de      Chile.  He served as Vice Chairman of SQM's Board from January      2000 to April 2002.  He is currently a member of the board of      directors of Quiñenco S.A., S.A.C.I. Falabella and Madeco S.A., among      others.  He is also Chairman of the board of directors of      Universidad del Desarrollo.      |    |                         |

----

| José      María Eyzaguirre B. |         | Director                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |         | December      2001 |
|-----------------------------------------|--------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------|--------------------|
|                                    |         | Mr.      Eyzaguirre is a lawyer and is a partner of the Chilean law firm Claro y      Cia.  He obtained his law degree from the Universidad de Chile and      was admitted to the Chilean Bar in 1985.  In 1987, he obtained a      Master's Degree from the New York University School of Law.  He      was admitted to the New York Bar in 1988.  He is also a member      of the board of directors of D&S, an affiliate of Wal-Mart, Gasoducto      del Pacífico S.A., a transandean gas pipeline, Embotelladora Andina S.A.,      a bottler of The Coca Cola Company, and Chairman of the board of directors      of Club de Golf Valle Escondido.                                                                                                                    |         |               |
|                                    |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |         |               |
| Daniel      Yarur E.                    |         | Director                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |         | April      2003    |
|                                    |         | Mr.      Yarur is an Information Engineer with a degree from the Universidad de      Chile and holds an MSc in Finance from the London School of Economics and      an AMP from Harvard Business School.  He is a member of the      board of directors of Banco de Crédito e Inversiones, Antofagasta P.L.C.      (based in London), Antofagasta Minerals, President Fundación Chilena de      Ajedrez and President Fondo de Inversiones Alekine.  Mr. Yarur      was Chairman of the Chilean Securities and Exchange Commission from 1994      to 2000 and was also Chairman of the Council Organization of the      Securities Regulators of America.  He is also a Professor in the      Faculty of Economic and Administrative Sciences, Universidad de      Chile. |         |               |
|                                    |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |         |               |
| Wolf      von Appen                     |         | Director                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |         | May      2005      |
|                                    |         | Mr.      Von Appen is an entrepreneur.  He is currently a member of the      board of directors of Sociedad de Fomento Fabril and Vice President of      Centro de Estudios Publicos.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |         |               |
|                                    |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |         |               |
| Eduardo      Novoa C.                   |         | Director                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |         | April      2008    |
|                                    |    | Mr.      Novoa is an economist with a degree from the Universidad de Chile and      holds a Master in Business Administration from the University of Chicago.      He has held positions in business development, corporate level strategic      direction and asset management at a number of Chilean and multinational      companies, either as a member of the board of directors, Chief Development      Officer, Country Manager or CEO. Currently, Mr. Novoa provides strategic      advisory services and is a member of the board of several private      companies.                                                                                                                                                                                                                                     |    |               |

----

| Kendrick      T. Wallace |   | Director                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | December      2001 |
|--------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------|
|                     |   | Mr.      Wallace is a lawyer who graduated from Harvard Law School.  He      is currently a consultant to certain fertilizer industry      companies.  Until July 1, 2008 when he retired, he was Senior      Vice President and General Counsel of Yara International ASA in Oslo,      Norway.  Prior to the spin-off of Yara International ASA from      Norsk Hydro ASA, he was the chief legal counsel of Norsk Hydro ASA for      North and South America in Tampa, Florida.  Before that he was a      partner in the law firm of Bryan Cave LLP in Kansas City,      Missouri.  He is also on the board of directors of Sociedad de      Inversiones Pampa Calichera S.A. |   |               |

----

| Executive      Officers         |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |                             |
|---------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------|
| Name                            |   | Position                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | Current      position held since |
| Patricio      Contesse G.(2)    |   | Chief      Executive Officer                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | March      1990                  |
|                            |   | Mr.      Contesse is a Forestry Engineer with a degree from the Universidad de      Chile.  He joined the Company in 1981 as CEO, a position he held      until 1982, and again in 1988 for one year.  In the past, he was      CEO of Celco Limitada, Schwager S.A. and Compañía de Aceros del Pacífico      S.A.  He has also served as Operations Senior Executive Vice      President of Codelco Chile, President of Codelco USA and Executive      President of Codelco Chile.  Mr. Contesse is also a member of      the board of directors of Soquimich Comercial S.A. |   |                             |
|                            |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |                             |
| Patricio      de Solminihac T.  |   | Chief      Operating Officer andExecutive      Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | January      2000                |
|                            |   | Mr.      de Solminihac is an Industrial Engineer with a degree from the Pontificia      Universidad Católica de Chile and holds a Master in Business      Administration from the University of Chicago.  He joined the      Company in 1988 as Business Development Vice      President.  Currently he is a member of the board of directors      of Melon S.A. and CEM S.A.  Mr. de Solminihac is also a member      of the board of directors of Soquimich Comercial S.A.                                                                                                                      |   |                             |
|                            |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |                             |
| Matías      Astaburuaga S. |   | General      Counsel and Senior Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | February      1989               |
|                            |   | Mr.      Astaburuaga is a lawyer with a degree from the Pontificia Universidad      Católica de Chile.  He joined the Company in      1989.  Before that, he was Regional Counsel of The Coca Cola      Export Corporation, Andean Region and Regional Counsel of American Life      Insurance Company, Latin America Region.                                                                                                                                                                                                                                                                               |   |                             |
|                            |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |                             |
| Ricardo      Ramos R.           |   | Chief      Financial Officer andBusiness      Development Senior Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | November      1994               |
|                            |   | Mr.      Ramos is an Industrial Engineer with a degree from the Pontificia      Universidad Católica de Chile.  He joined SQM in 1989.  Mr.      Ramos is also a member of the board of directors of Soquimich Comercial      S.A.                                                                                                                                                                                                                                                                                                                                                                                    |   |                             |

----

| Jaime      San Martín L.(2) |         | Nueva      Victoria Operations Senior Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |         | March      2008 |
|----------------------------------|--------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------|-----------------|
|                             |         | Mr.      San Martín is a Transportation Engineer with a degree from the Pontificia      Universidad Católica de Chile.  He joined the Company in 1995 as      Project Manager.  He became Metallic Mining Development Manager      in 1997, and Development Manager in 1998, Business Development and Mining      Property Vice President in 1999, Technical Senior Vice President in 2001,      and Senior Vice President of Lithium Operations and Mining Affairs in      January 2007.                       |         |            |
|                             |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |         |            |
| Eugenio      Ponce L.            |         | Senior      Commercial Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |         | March      1999 |
|                             |         | Mr.      Ponce is a Mechanical Engineer with a degree from the Universidad Católica      de Valparaíso.  In 1981, he joined the Company as a Sales      Manager.  He became Commercial Manager in 1982, Commercial and      Operations Manager in 1988 and Chief Executive Officer of SQM Nitratos      S.A. in 1991. Currently he is a member of the board of Soquimich Comercial      S.A. and Vice Chairman of the board of directors of Pampa      Calichera.  He is Julio Ponce’s brother. |         |            |
|                             |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |         |            |
| Mauricio      Cabello C.         |         | Nitrates-Iodine      Operations Senior Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |         | June      2005  |
|                             |         | Mr.      Cabello is a Mechanical Engineer with a degree from the Universidad de      Santiago de Chile. He joined the Company in 2000 as Maintenance      Superintendent of SQM Salar. He became Maintenance Manager of SQM’s      nitrates and iodine operations in 2002 and Production Manager of SQM’s      nitrates and iodine operations in 2004. He previously worked in various      engineering-related positions in Pesquera San José S.A., Pesquera Coloso      S.A. and Cintac S.A.                               |         |            |
|                             |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |         |            |
| Pauline      De Vidts S.         |         | Safety,      Health & Environment Senior Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |         | June      2005  |
|                             |    | Mrs.      De Vidts is an Industrial Engineer with a degree from the Pontificia      Universidad Católica de Chile and holds a Ph.D. in Chemical Engineering      from Texas A&M University. She joined the Company in 1996 to work in      process development for the Salar de Atacama Operations, becoming      Development Manager for these operations in 1998, and in 2001, she became      Corporate R&D and Environmental Issues Vice President.                                                                          |    |            |

----

| Juan      Carlos Barrera P. (2) |         | Salar      and Lithium Operations Senior Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |         | January      2007 |
|---------------------------------|--------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------|-------------------|
|                            |         | Mr.      Barrera is an Industrial Engineer with a degree from the Pontificia      Universidad Católica de Chile and holds a Master in Business      Administration degree from Tulane University and a Master in Business      Administration degree from Universidad de Chile.  He joined the      Company in 1991 as an advisor in the Business Development area and has      served in many positions since then.  In 1995, he became      Business Development Manager of SQM Nitratos S.A. In 1999, he became the      Corporate Quality Manager, in 2000 Corporate Supply Chain Vice President      and, in 2006, General Manager of Soquimich Comercial S.A. Mr. Barrera is      also a member of the board of directors of Soquimich Comercial      S.A. |         |              |
|                            |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |         |              |
| Daniel      Jiménez Sch.   |         | Human      Resources and Corporate AffairsSenior      Vice President                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |         | May      2007     |
|                            |    | Mr.      Jiménez is an Industrial Engineer with a degree from the Pontificia      Universidad Católica de Chile and holds a Master in Business      Administration degree from Old Dominion University.  He joined the      Company in 1991, holding several positions in the finance and sales areas      at SQM’s headquarters and foreign subsidiaries in USA and Belgium,      countries he was based in for eight years. In 2002, he became VP Sales and      Marketing Iodine, Lithium and Industrial Chemicals.                                                                                                                                                                                                                                               |    |              |

|   | (1) | Mr. Julio      Ponce’s ownership interest in SQM is explained in Item 6.E. Share      Ownership. |
|--------|-----|-------------------------------------------------------------------------------------------------------------|

|   | (2) | The      individual beneficially owns less than one percent of the Company’s      shares. |
|--------|-----|-------------------------------------------------------------------------------------------------|

----

|                                       |   | SQM S.A.     |          |   | SQMC            |   |       | TOTAL         |   |
|--------------------------------------------|--------|--------------|---------------|--------|-----------------|--------|------------|---------------|--------|
|                                       |   | Meeting(Ch$) |          |   | Committee (Ch$) |   |       | Meeting (Ch$) |   |   | (Ch$) |   |
| Julio      Ponce Lerou                     |   |         | 1,588,815,774 |   |            |   |       |          |   | 75,552,288 |   |   |   | 1,664,368,062 |   |
|                                       |   |         |          |   |            |   |       |          |   |   |   |   |   |   |   |
| Wayne      R, Brownlee                     |   |         | 226,806,182   |   |            |   |       |          |   |   |   |   |   | 226,806,182 |   |
|                                       |   |         |          |   |            |   |       |          |   |   |   |   |   |   |   |
| Hernán      Büchi Buc            |   |         | 226,568,058   |   |            |   | 11,306,784 |          |   |   |   |   |   |   | 237,874,842 |   |
|                                       |   |         |          |   |            |   |       |          |   |   |   |   |   |   |   |   |
| José      María Eyzaguirre Baeza |   |         | 227,878,811   |   |            |   |       |          |   |   |   |   |   |   | 227,878,811 |   |
|                                       |   |         |          |   |            |   |       |          |   |   |   |   |   |   |   |   |
| Eduardo      Novoa Castellón          |   |         | 228,925,981   |   |            |   | 13,664,707 |          |   |   |   |   |   |   | 242,590,688 |   |
|                                       |   |         |          |   |            |   |       |          |   |   |   |   |   |   |   |   |
| Wolf      Von Appen                        |   |         | 233,145,873   |   |            |   |       |          |   |   |   |   |   |   | 233,145,873 |   |
|                                       |   |         |          |   |            |   |       |          |   |   |   |   |   |   |   |   |
| Kendrick      T, Wallace                   |   |         | 226,806,182   |   |            |   |       |          |   |   |   |   |   |   | 226,806,182 |   |
|                                       |   |         |          |   |            |   |       |          |   |   |   |   |   |   |   |   |
| Daniel      Yarur Elsaca                   |   |         | 227,878,811   |   |            |   | 12,617,537 |          |   |   |   |   |   |   | 240,496,348 |   |
|                                       |   |         |          |   |            |   |       |          |   |   |   |   |   |   |   |   |
| Total                                      |   |         | 3,186,825,672 |   |            |   | 37,589,028 |          |   |   | 75,552,288 |   |   |   | 3,299,966,988 |   |

----

|  | (a) | examine      and issue an opinion regarding the external auditor's report including      financial statements prior to its final presentation for approval at the      ordinary shareholders meeting; |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (b) | propose      to the Board the external auditors and the rating agencies that will be      presented to the ordinary shareholdersmeeting; |
|--|-----|------------------------------------------------------------------------------------------------------------------------------------------|

|  | (c) | examine      and elaborate a report concerning the operations covered by Title XVI of      the Chilean Corporations Act, which relates to related party transactions;      and |
|--|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (d) | examine      the remuneration and compensation plans of the senior      management. |
|--|-----|-------------------------------------------------------------------------------------|

|  | (a) | analysis      of unaudited financial reports; |
|--|-----|-----------------------------------------------|

|  | (b) | analysis      of audited financial reports; |
|--|-----|---------------------------------------------|

|  | (c) | analysis      of reports submitted by external auditors, account inspectors and rating      agencies, and formulation of proposals to the Board recommending external      auditors, account inspectors and rating agencies that could be designated      by the respective annual general shareholders  meeting; |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (d) | analysis      of functions, objectives and working programs of our internal audit      department; |
|--|-----|----------------------------------------------------------------------------------------------------|

|  | (e) | analysis      of the Company's senior executives' remuneration and compensation      plans; |
|--|-----|---------------------------------------------------------------------------------------------|

|  | (f) | analysis      of the records relating to the transactions referred to in Title XVI of      the Chilean Corporations Act; |
|--|-----|--------------------------------------------------------------------------------------------------------------------------|

|  | (g) | analysis      of matters related to the U.S. "Sarbanes-Oxley Act," especially regarding      Section 404 thereof; |
|--|-----|-------------------------------------------------------------------------------------------------------------------|

|  | (h) | analysis      of matters related to U.S. norms, "IFRS" and "PCAOB;"  and |
|--|-----|--------------------------------------------------------------------------|

|  | (i) | analysis      of internal control report. |
|--|-----|-------------------------------------------|

----

| Section |   | NYSE Standards                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | SQM practices      pursuant to Chilean StockExchangeregulations                                                                                                                                |
|---------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 303A.01 |   | Listed      companies must have a majority of independent directors.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | There      is no legal obligation to have a majority of independent directors on the      Board but according to Chilean law, the Company's directors cannot serve      as executive officers. |
|    |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                                                                                                                                                                                           |
| 303A.02 |   | No      director qualifies as "independent" unless the board of directors      affirmatively determines that the director has no material relationship      with the listed company (either directly or as a partner, shareholder or      officer of an organization that has a relationship with the      company).In      addition, a director is not independent if:(i) The      director is, or has been within the last three years, an employee of      the listed company, or an immediate family member is, or has been within      the last three years, an executive officer, of the listed      company.(ii) The      director has received, or has an immediate family member who has      received, during any twelve-month period within the last three years, more      than $120,000 in direct compensation from the listed company, other      than director and committee fees and pension or other forms of deferred      compensation for prior service (provided such compensation is not      contingent in any way on continued service).(iii)      (A) The director is a current partner or employee of a firm that is the      listed company's internal or external auditor; (B) the director has an      immediate family member who is a current partner of such a firm; (C) the      director has an immediate family member who is a current employee of such      a firm and personally works on the listed company's audit; or (D) the      director or an immediate family member was within the last three years a      partner or employee of such a firm and personally worked on the listed      company's audit within that time.(iv) The      director or an immediate family member is, or has been with the last three      years, employed as an executive officer of another company where any      of the listed company's present executive officers at the same time serves      or served on that company's compensation committee.(v)      The director is a current employee, or an immediate family      member is a current executive officer, of a company that has made      payments to, or received payments from, the listed company for property or      services in an amount which, in any of the last three fiscal years,      exceeds the greater of $1 million, or 2% of such other company's      consolidated gross revenues. |   | A      Director is considered independent if he would have been elected without      the vote of the controlling shareholder and related persons and      entities.                       |

----

| Section       |   | NYSE Standards                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | SQM practices pursuant to Chilean Stock      Exchangeregulations                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|---------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 303A.03       |   | The      non-management directors must meet at regularly scheduled executive      sessions without management.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | These      meetings are not needed given that directors cannot serve as executive      officers.                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|          |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 303A.04       |   | (a)      Listed companies must have a nominating/corporate governance committee      composed entirely of independent directors.(b)      The nominating/corporate governance committee must have a written charter      that addresses:(i)      the committee's purpose and responsibilities – which, at minimum, must be      to: identify individuals qualified to become board members, consistent      with criteria approved by the board, and to select, or to recommend that      the board select, the director nominees for the next annual meeting of      shareholders; develop and recommend to the board a set of corporate      governance guidelines applicable to the corporation; and oversee the      evaluation of the board and management; and(ii)      an annual performance evaluation of the committee. |   | This      committee is not required as such in the Chilean      regulations.  However, pursuant to Chilean regulations SQM has a      Directors' Committee (see Board practices above).                                                                                                                                                                                                                                                                                                                                    |
|          |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 303A.05       |   | Listed      companies must have a compensation committee composed entirely of      independent directors, and must have a written charter                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | This      committee is not required as such in the Chilean regulations. Pursuant to      Chilean regulations SQM has a Director’s Committee (see Board practices      above) that is in charge of reviewing management’s      compensation.                                                                                                                                                                                                                                                                              |
|          |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 303A.06  |   | Listed      companies must have an audit committee.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | This      committee is not required as such in the Chilean      regulations.  Pursuant to Chilean regulations, SQM has a      Directors’ Committee that performs the functions of an audit committee and      that complies with the requirements of the NYSE corporate governance      rules.                                                                                                                                                                                                                       |
|          |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 303A.07       |   | The      audit committee must have a minimum of three members. All audit committee      members must satisfy requirements of independence, and the committee must      have a written charter. The      listed companies must have an internal audit function to provide      management with ongoing assistance of the Company's risk management      process and the system of internal controls                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | Pursuant      to Section 303A.00, SQM is not required to comply with requirements in      303A.07. Pursuant to Chilean Regulations SQM has a Director’s Committee      (see Board practices above) that also performs the functions of an audit      committee with certain requirements of independence.                                                                                                                                                                                                                      |
|          |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 303A.08       |   | Shareholders      must have the opportunity to vote on all equity-compensation plans and      material revisions thereto.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | SQM      does not have equity compensation plans.  However, as mentioned      in Item 6.B Compensation, the Company does have a long-term cash bonus      compensation plan for certain senior executives, which consists of a      long-term bonus linked to the Company's share price. Directors and      executives may only acquire SQM shares by individual      purchases.  The purchaser must give notice of such purchases to      the Company and the Superintendence of Securities and      Insurance. |
|          |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 303A.09       |   | Listed      companies must adopt and disclose corporate governance      guidelines.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | Chilean      law does not require that corporate governance guidelines be      adopted.  Directors' responsibilities and access to management      and independent advisors are directly provided for by applicable      law.  Directors' compensation is approved at the annual meeting      of shareholders, pursuant to applicablelaw.                                                                                                                                                                        |

----

| Section |         | NYSE Standards                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |         | SQM practices pursuant to Chilean Stock      Exchangeregulations                                                                                                                                                                                        |
|---------|--------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 303A.10 |         | Listed      companies must adopt and disclose a code of business conduct and ethics      for directors, officers and employees and promptly disclose any waivers of      the code for directors or executive officers.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |         | Not      required in the Chilean regulations.  SQM has adopted and      disclosed a Code of Business Conduct and Ethics, available at the      Company's website, www.sqm.com.                                                                |
|    |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |         |                                                                                                                                                                                                                                                    |
| 303A.11 |         | Listed      foreign private issuers must disclose any significant ways in which their      corporate governance practices differ from those followed by domestic      companies under NYSE listed standards.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |         | Pursuant      to 303A.11, this table sets forth a comparative summary of differences in      corporate governance practices followed by SQM under Chilean regulations      and those applicable to U.S. domestic issuers pursuant to Section      303A. |
|    |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |         |                                                                                                                                                                                                                                                    |
| 303A.12 |         | Each      listed company CEO must (a) certify to the NYSE each year that he or she      is not aware of any violation by the listed company of NYSE corporate      governance listing standards; (b) promptly notify the NYSE in writing      after any executive officer becomes aware of any material non-compliance      with any applicable provisions of Section 303A; and (c) must submit an      executed Written Affirmation annually to the NYSE.        In addition, each listed company must submit an interim Written      Affirmation as and when required by the interim Written Affirmation form      specified by the NYSE. The annual and interim Written Affirmations must be      in the form specified by the NYSE. |         | Not      required in the Chilean regulations.  The CEO must only comply      with Section 303A.12 (b) and (c).                                                                                                                                |
|    |         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |         |                                                                                                                                                                                                                                                    |
| 303A.13 |    | The      NYSE may issue a public reprimand letter to any listed company that      violates a NYSE listing standard.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |    | Not      specified in the Chileanregulations.                                                                                                                                                                                                           |

|                            |   | 2009   |   |   | 2008   |   |   | 2007   |   |   | 2006  |   |   | 2005   |   |
|---------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|-------|--------|--------|--------|--------|
| Permanent      employees        |   |   | 4,387  |   |   |   | 4,561  |   |   |   | 3,746 |   |   |   | 3,745  |   |   |   | 3,672 |   |
| Employees      in Chile         |   |   | 4,161  |   |   |   | 4,332  |   |   |   | 3,515 |   |   |   | 3,415  |   |   |   | 3,350 |   |
| Employees      outside of Chile |   |   | 226    |   |   |   | 229    |   |   |   | 231   |   |   |   | 330    |   |   |   | 322 |   |

----

|                   |   | % Beneficial ownership |   |
|------------------------|--------|------------------------|--------|
| May      31, 2010      |   |                   | 32.62  | % |
| December      31, 2009 |   |                   | 32.22  | % |
| December      31, 2008 |   |                   | 34.05  | % |

----

| Shareholder                                            |   | Number ofseries Asharesbeneficiallyowned |       |   | %series Ashares |   |    | Number ofseries Bsharesbeneficiallyowned |   |   | %series Bshares |   |   | %totalshares |    |
|--------------------------------------------------------|--------|----------------------------------------------------|------------|--------|----------------------|--------|---------|----------------------------------------------------|--------|--------|----------------------|--------|--------|--------------|---------|
| Sociedad      de Inversiones Pampa CalicheraS.A.(1)(2) |   |                                               | 57,934,256 |   |                 |   | 40.56   | %                                                  |   |   | 8,643,774            |   |   |         | 7.18    | % |   |   | 25.30 | % |
|                                                   |   |                                               |       |   |                 |   |    |                                               |   |   |                 |   |   |         |    |   |   |   |   |   |
| Inversiones      El Boldo Ltda.(3)                     |   |                                               | 44,679,453 |   |                 |   | 31.28   | %                                                  |   |   | 17,643,419           |   |   |         | 14.66   | % |   |   | 23.68 | % |
|                                                   |   |                                               |       |   |                 |   |    |                                               |   |   |                 |   |   |         |    |   |   |   |   |   |
| The      Bank of New York                              |   |                                               | —    |   |                 |   | — |                                               |   |   | 50,784,946           |   |   |         | 42.19   | % |   |   | 19.30 | % |
|                                                   |   |                                               |       |   |                 |   |    |                                               |   |   |                 |   |   |         |    |   |   |   |   |   |
| Inversiones      RAC Chile Ltda.(3)                    |   |                                               | 19,200,242 |   |                 |   | 13.44   | %                                                  |   |   | 2,699,773            |   |   |         | 2.24    | % |   |   | 8.32 | % |
|                                                   |   |                                               |       |   |                 |   |    |                                               |   |   |                 |   |   |         |    |   |   |   |   |   |
| Inversiones      Global Mining (Chile)Limitada.(1)     |   |                                               | 13,798,539 |   |                 |   | 9.66    | %                                                  |   |   | —              |   |   |         | — |   |   |   | 5.24 | % |
|                                                   |   |                                               |       |   |                 |   |    |                                               |   |   |                 |   |   |         |    |   |   |   |   |   |
| Chilean      AFP's(4)                                  |   |                                               | 10,340     |   |                 |   | 0.01    | %                                                  |   |   | 10,688,178           |   |   |         | 8.88    | % |   |   | 4.06 | % |

|  | (1) | Mr.      Julio Ponce L., Chairman of the Board of SQM, and related persons control      100% of Inversiones SQYA S.A. ("SQYA"). SQYA indirectly controls and      beneficially owns a majority of the shares of Sociedad de Inversiones      Pampa Calichera S.A., ("Pampa Calichera") which, in turn, owns also 100%      of Global Mining Investments (Chile) S.A. Therefore, Mr. Ponce and related      persons beneficially own through the above entities 80,376,569 shares      constituting 30.54% of the total shares of SQM. The stake held by Mr.      Ponce and related parties as of December 31, 2009, 2008 and 2007 was      respectively, 30.15%, 32.00% and 32.00% of the total shares of      SQM. |
|--|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (2) | Pampa      Calichera is a publicly held corporation whose shares are traded on the      Santiago Stock Exchange. Originally, the shareholders of Pampa Calichera      were employees of SQM. Pampa Calichera was formed to hold the capital      stock of SQM contributed by such employees or later acquired in the open      market. |
|--|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (3) | Potash      Corporation of Saskatchewan ("PCS") owns 100% of Inversiones el Boldo      Limitada and 100% of Inversiones RAC Ltda., and, accordingly is the      beneficial owner of 84,222,887 SQM's shares that represent 32.00% of SQM's      total shares. The stake held by PCS as of December 31, 2009, 2008, and      2007 was, respectively, 32.00%, 32.00%, and 32.00% of the total shares of      SQM. |
|--|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  | (4) | Administradoras      de Fondos de Pensiones ("AFPs") are legal entities that manage pension      funds in Chile. |
|--|-----|------------------------------------------------------------------------------------------------------------------|

----

----

----

| Th.      US$            |   | 2009   |      |   | 2008   |   |      | 2007   |   |
|-------------------------|--------|--------|-----------|--------|--------|--------|-----------|--------|--------|
|                    |   |   |      |   |   |   |      |   |   |
| Foreign      sales      |   |   | 1,208,282 |   |   |   | 1,395,834 |   |   |   | 954,641 |   |
| Total      sales        |   |   | 1,436,891 |   |   |   | 1,774,119 |   |   |   | 1,187,527 |   |
|                    |   |   |      |   |   |   |      |   |   |   |   |   |
| %      of foreign sales |   |   | 84.09     | %      |   |   | 78.68     | %      |   |   | 80.39 | % |

----

| Dividends                               |   | Per Share    |   |   | Per ADR (1) |   |
|-----------------------------------------|--------|--------------|--------|--------|------------------|--------|
| Declared      for thebusiness      year |   | Paid      in |   | Ch$    |             |   | US$ |   |
|                                    |   |         |   |   |             |   |   |   |
| 2003                                    |   | 2004         |   |   | 55.05            |   |   |   | 0.088 |   |
| 2004                                    |   | 2005         |   |   | 106.56           |   |   |   | 0.182 |   |
| 2005                                    |   | 2006         |   |   | 145.11           |   |   |   | 0.279 |   |
| 2006                                    |   | 2007         |   |   | 183.96           |   |   |   | 0.349 |   |
| 2007                                    |   | 2008         |   |   | 204.14           |   |   |   | 0.445 |   |
| 2008      (interim)                     |   | 2008         |   |   | 243.34           |   |   |   | 0.380 |   |
| 2008                                    |   | 2009         |   |   | 515.90           |   |   |   | 0.858 |   |
| 2009      (interim)                     |   | 2009         |   |   | 191.32           |   |   |   | 0.380 |   |
| 2009                                    |   | 2010         |   |   | 126.69           |   |   |   | 0.241 |   |

|  | (1) | The      ratio of ordinary shares to Series A ADRs was 10:1 for all periods      reflected in the table.  The Series A ADRs were delisted from      the New York Stock Exchange on March 27, 2008.  The ratio of      ordinary shares to Series B ADRs changed from 10:1 to 1:1 on March 28,      2008.  The calculation in the table for all periods is based on      the ratio of 1:1. |
|--|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

|   |   | Santiago      Stock Exchange |   |   | NYSE          |   |
|--------|--------|------------------------------|--------|--------|---------------|--------|
|   |   | Per      Share (1)           |   |   | Per      ADR  |   |
|   |   | Series      A                |   |   | Series      B |   |   | Series      A (2) |   |   | Series      B (3) |   |
|   |   | High                         |   |   | Low           |   |   | High |   |   | Low |   |   | High |   |   | Low |   |   | High |   |   | Low |   |
|   |   | Ch$                          |   |   | Ch$           |   |   | Ch$ |   |   | Ch$ |   |   | US$ |   |   | US$ |   |   | US$ |   |   | US$ |   |
| 2005   |   |                         | 7,000  |   |          |   | 3,600 |   |   |   | 7,170 |   |   |   | 3,269 |   |   |   | 129.40 |   |   |   | 66.80 |   |   |   | 13.34 |   |   |   | 5.75 |   |
| 2006   |   |                         | 7,100  |   |          |   | 5,220 |   |   |   | 7,347 |   |   |   | 5,000 |   |   |   | 137.50 |   |   |   | 93.15 |   |   |   | 13.95 |   |   |   | 8.99 |   |
| 2007   |   |                         | 12,100 |   |          |   | 7,100 |   |   |   | 9,985 |   |   |   | 6,800 |   |   |   | 234.80 |   |   |   | 135.00 |   |   |   | 20.04 |   |   |   | 12.50 |   |
| 2008   |   |                         | 29,300 |   |          |   | 12,100 |   |   |   | 27,012 |   |   |   | 6,750 |   |   |   | - |   |   |   | - |   |   |   | 55.74 |   |   |   | 14.77 |   |
| 2009   |   |                         | 22,000 |   |          |   | 16,000 |   |   |   | 21,839 |   |   |   | 14,319 |   |   |   | - |   |   |   | - |   |   |   | 40.18 |   |   |   | 23.84 |   |

|                                 |   | Santiago      Stock Exchange |   |   | NYSE          |   |
|--------------------------------------|--------|------------------------------|--------|--------|---------------|--------|
|                                 |   | Per      Share (1)           |   |   | Per      ADR  |   |
|                                 |   | Series      A                |   |   | Series      B |   |   | Series      A (2) |   |   | Series      B (3) |   |
|                                 |   | High                         |   |   | Low           |   |   | High |   |   | Low |   |   | High |   |   | Low |   |   | High |   |   | Low |   |
|                                 |   | Ch$                          |   |   | Ch$           |   |   | Ch$ |   |   | Ch$ |   |   | US$ |   |   | US$ |   |   | US$ |   |   | US$ |   |
| 2008                                 |   |                         |   |   |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| First      quarter                   |   |                         | 12,600 |   |          |   | 12,100 |   |   |   | 10,658 |   |   |   | 6,750 |   |   |   | 290.00 |   |   |   | 226.00 |   |   |   | 24.25 |   |   |   | 14.77 |   |
| Second      quarter                  |   |                         | 29,300 |   |          |   | 16,000 |   |   |   | 27,012 |   |   |   | 10,500 |   |   |   | - |   |   |   | - |   |   |   | 54.74 |   |   |   | 23.98 |   |
| Third      quarter                   |   |                         | 25,000 |   |          |   | 16,000 |   |   |   | 22,856 |   |   |   | 13,049 |   |   |   | - |   |   |   | - |   |   |   | 44.71 |   |   |   | 23.56 |   |
| Fourth      quarter                  |   |                         | 16,450 |   |          |   | 15,990 |   |   |   | 16,451 |   |   |   | 9,469 |   |   |   | - |   |   |   | - |   |   |   | 26.05 |   |   |   | 15.25 |   |
|                                 |   |                         |   |   |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| 2009                                 |   |                         |   |   |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| First      quarter                   |   |                         | 19,000 |   |          |   | 16,000 |   |   |   | 18,997 |   |   |   | 14,319 |   |   |   | - |   |   |   | - |   |   |   | 31.73 |   |   |   | 23.84 |   |
| Second      quarter                  |   |                         | 22,000 |   |          |   | 19,000 |   |   |   | 21,839 |   |   |   | 15,969 |   |   |   | - |   |   |   | - |   |   |   | 38.88 |   |   |   | 27.75 |   |
| Third      quarter                   |   |                         | 22,000 |   |          |   | 20,900 |   |   |   | 21,397 |   |   |   | 18,695 |   |   |   | - |   |   |   | - |   |   |   | 40.15 |   |   |   | 33.49 |   |
| Fourth      quarter                  |   |                         | 21,910 |   |          |   | 20,700 |   |   |   | 21,401 |   |   |   | 18,600 |   |   |   | - |   |   |   | - |   |   |   | 40.18 |   |   |   | 36.36 |   |
|                                 |   |                         |   |   |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| 2010                                 |   |                         |   |   |          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| First      quarter                   |   |                         | 22,150 |   |          |   | 21,000 |   |   |   | 21,329 |   |   |   | 18,903 |   |   |   | - |   |   |   | - |   |   |   | 43.85 |   |   |   | 34.40 |   |
| Second      quarter (through May 31) |   |                         | 21,750 |   |          |   | 21,700 |   |   |   | 19,844 |   |   |   | 17,561 |   |   |   | - |   |   |   | - |   |   |   | 38.26 |   |   |   | 32.22 |   |

----

|               |   | Santiago      Stock Exchange |   |   | NYSE          |   |
|--------------------|--------|------------------------------|--------|--------|---------------|--------|
|               |   | Per      Share (1)           |   |   | Per      ADR  |   |
|               |   | Series      A                |   |   | Series      B |   |   | Series      A (2) |   |   | Series      B (3) |   |
|               |   | High                         |   |   | Low           |   |   | High |   |   | Low |   |   | High |   |   | Low |   |   | High |   |   | Low |   |
|               |   | Ch$                          |   |   | Ch$           |   |   | Ch$ |   |   | Ch$ |   |   | US$ |   |   | US$ |   |   | US$ |   |   | US$ |   |
| December      2009 |   |                         | 21,350 |   |          |   | 20,700 |   |   |   | 19,884 |   |   |   | 18,966 |   |   |   | - |   |   |   | - |   |   |   | 40.02 |   |   |   | 37.57 |   |
| January      2010  |   |                         | 21,500 |   |          |   | 21,000 |   |   |   | 21,329 |   |   |   | 19,473 |   |   |   | - |   |   |   | - |   |   |   | 43.85 |   |   |   | 36.38 |   |
| February      2010 |   |                         | 22,150 |   |          |   | 21,500 |   |   |   | 20,382 |   |   |   | 18,903 |   |   |   | - |   |   |   | - |   |   |   | 38.36 |   |   |   | 34.40 |   |
| March      2010    |   |                         | 21,750 |   |          |   | 21,600 |   |   |   | 20,281 |   |   |   | 19,218 |   |   |   | - |   |   |   | - |   |   |   | 38.62 |   |   |   | 36.57 |   |
| April      2010    |   |                         | 21,750 |   |          |   | 21,700 |   |   |   | 19,844 |   |   |   | 18,800 |   |   |   | - |   |   |   | - |   |   |   | 38.26 |   |   |   | 35.77 |   |
| May      2010      |   |                         | 21,725 |   |          |   | 21,725 |   |   |   | 18,895 |   |   |   | 17,561 |   |   |   | - |   |   |   | - |   |   |   | 36.32 |   |   |   | 32.22 |   |

| (1) | Pesos      per share of Common Stock reflect nominal price at trade    date. |
|-----|------------------------------------------------------------------------------|

| (2) | Series      A shares started trading on the New York Stock Exchange on April 9,      1999. |
|-----|--------------------------------------------------------------------------------------------|

| (3) | Series      B shares began trading on the New York Stock Exchange on September 20,      1993.  Historical prices have been restated to reflect the      change in the ratio of local shares to ADRs from 10:1 to 1:1, effective      March 28, 2008. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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----

----

----

----

----

|   | 1) | When      an investor wants to take control of a company's  stock. |
|--------|----|--------------------------------------------------------------------|

|   | 2) | When      a controlling shareholder holds two-thirds of the company's      stock.  If such shareholder buys one more share, it will be      mandatory to offer to acquire the rest of the outstanding stock within 30      days of surpassing that threshold. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 3) | When      an investor wants to take control of a corporation, which, in turn,      controls an open stock corporation that represents 75% or more of the      consolidated assets of the formercorporation. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | On      February 12, 1999, SQM S.A. entered into an Electrical Energy Supply      contract with Electroandina S.A.  This contract allowed for two      three-year renewal options, at the option of SQM. The first option was      exercised. As a result, the contract extends through March 16, 2013 with a      three-year renewal option of SQM. Early termination of the contract is      subject to payment of non-amortizedinvestments. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | On      March 21, 1997, SQM Salar S.A. entered into an Electricity Supply      agreement with Norgener S.A.  The term of this contract extends      through March 20, 2017, and early termination is subject to      penalties. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | On      January 13, 1998, SQM Nitratos S.A. entered into an Electrical Energy      Supply agreement with Norgener S.A.  The term of this contract      extends through January 31, 2013.  Early termination of the      contract is subject to payment of non-amortized    investments. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | On      May 22, 2001, SQM S.A. entered into a Natural Gas Supply agreement with      Distrinor S.A. The term of this contract extends through May 21,      2011.  Early termination of the contract is subject to payment      of non-amortized investments.   SQM pays a fixed annual      amount (amortization of investments), and when we receive gas, we pay the      corresponding amounts.  However, in 2008 we received practically      no gas, and we expect this situation to continue during    2009. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                    |   | Expected      Maturity Date |    |
|---------------------------------------------------------|--------|-----------------------------|---------|
|                                                    |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| On      Balance Sheet Financial Instruments             |   | 2010                        |    |   | 2011 |   |   | 2012 |   |   | 2013 |   |   | 2014      and |   |   | Total |   |   | Fair      Value |   |
| (in      thousands of U.S. dollars)                     |   |                        |    |   |   |   |   |   |   |   |   |   |   | thereafter |   |   |   |   |   |   |   |
|                                                    |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fixed      Rate (US$)                                   |   |                        | 39,654  |   |   |   | 39,350 |   |   |   | 39,106 |   |   |   | 38,742 |   |   |   | 752,113 |   |   |   | 908,965 |   |   |   | 732,573 |   |
|                                                    |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Bond      — US$200 million - Int.: 6.125%         |   |                        | 12,250  |   |   |   | 12,250 |   |   |   | 12,250 |   |   |   | 12,250 |   |   |   | 230,625 |   |   |   | 279,625 |   |   |   | 234,810 |   |
| Bond      — UF 2.55 million (1) - Int.: 5.84%     |   |                        | 10,221  |   |   |   | 9,917 |   |   |   | 9,625 |   |   |   | 9,309 |   |   |   | 93,387 |   |   |   | 132,459 |   |   |   | 100,586 |   |
| Bond      — CH$ 21,000 million (1) - Int.: 5.27%  |   |                        | 1,799   |   |   |   | 1,799 |   |   |   | 1,804 |   |   |   | 1,799 |   |   |   | 34,580 |   |   |   | 41,782 |   |   |   | 38,059 |   |
| Bond      — UF 1.50 million (1) - Int.: 4.80%     |   |                        | 2,727   |   |   |   | 2,727 |   |   |   | 2,735 |   |   |   | 2,727 |   |   |   | 57,400 |   |   |   | 68,317 |   |   |   | 61,813 |   |
| Bond      — CH$ 52,000 million (1) - Int.: 4.48%  |   |                        | 4,199   |   |   |   | 4,199 |   |   |   | 4,210 |   |   |   | 4,199 |   |   |   | 94,533 |   |   |   | 111,340 |   |   |   | 100,672 |   |
| Bond      — UF 4.00 million (1) (2) - Int.: 5.70% |   |                        | 8,458   |   |   |   | 8,458 |   |   |   | 8,481 |   |   |   | 8,458 |   |   |   | 241,588 |   |   |   | 275,442 |   |   |   | 196,634 |   |
|                                                    |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Variable      Rate (US$)                                |   |                        | 158,832 |   |   |   | 118,370 |   |   |   | 120,674 |   |   |   | 3,591 |   |   |   | 143,591 |   |   |   | 545,057 |   |   |   | 515,877 |   |
|                                                    |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loan      — US$ 140 million - Int.: L + 2.10%     |   |                        | 2,833   |   |   |   | 3,591 |   |   |   | 3,601 |   |   |   | 3,591 |   |   |   | 143,591 |   |   |   | 157,206 |   |   |   | 137,222 |   |
| Loan      — US$ 100 million - Int.: L + 0.375%    |   |                        | 100,098 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 100,098 |   |   |   | 99,993 |   |
| Loan      — US$ 80 million - Int.: L + 0.30%      |   |                        | 538     |   |   |   | 80,592 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 81,130 |   |   |   | 78,915 |   |
| Loan      — US$ 75 million - Int.: L + 3.00%      |   |                        | 2,601   |   |   |   | 2,608 |   |   |   | 76,308 |   |   |   | - |   |   |   | - |   |   |   | 81,516 |   |   |   | 77,525 |   |
| Loan      — US$ 50 million - Int.: L + 1.50%      |   |                        | 50,959  |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 50,959 |   |   |   | 50,621 |   |
| Loan      — US$ 40 million - Int.: L + 2.25%      |   |                        | 975     |   |   |   | 1,016 |   |   |   | 40,766 |   |   |   | - |   |   |   | - |   |   |   | 42,757 |   |   |   | 40,468 |   |
| Loan      — US$ 20 million - Int.: L + 3.30%      |   |                        | 551     |   |   |   | 20,375 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 20,926 |   |   |   | 20,754 |   |
| Loan      — US$ 10 million - Int.: L + 3.30%      |   |                        | 276     |   |   |   | 10,188 |   |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 10,463 |   |   |   | 10,377 |   |
|                                                    |   |                        |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                   |   |                        | 198,485 |   |   |   | 157,719 |   |   |   | 159,780 |   |   |   | 42,333 |   |   |   | 895,704 |   |   |   | 1,454,021 |   |   |   | 1,248,450 |   |

----

|                    |   | 2009        |     |   | 2008        |   |
|-------------------------|--------|-------------|----------|--------|-------------|--------|
|                    |   | Th US$ |     |   | Th US$ |   |
| Chilean      pesos      |   |        | (271,513 | )      |        |   | (104,605 | ) |
| Brazilian      real     |   |        | (1,303   | )      |        |   | (1,367 | ) |
| Euro                    |   |        | 13,821   |   |        |   | 64,627 |   |
| Japanese      yen       |   |        | 832      |   |        |   | 1,033 |   |
| Mexican      pesos      |   |        | 667      |   |        |   | 2,188 |   |
| South      African rand |   |        | 28,868   |   |        |   | 11,584 |   |
| Dirhams                 |   |        | 22,575   |   |        |   | 15,353 |   |
| Other      currencies   |   |        | 16,968   |   |        |   | 14,971 |   |
|                    |   |        |     |   |        |   |   |   |
| Total,      net         |   |        | (189,085 | )      |        |   | 3,784 |   |

----

| Service      Fees                                                     |   | Fees                 |
|-----------------------------------------------------------------------|--------|----------------------|
| Execution      and delivery of Receipts and the surrender of Receipts |   | $0.05      per share |

----

| (a) | Disclosure Control and      Procedures |
|-----|----------------------------------------|

----

|                    |   | Year      ended December 31, |    |   |   |   |
|-------------------------|--------|------------------------------|---------|--------|--------|--------|
|                    |   | 2009                         |    |   | 2008   |   |
| Audit      fees         |   |                         | 954.9   |   |   |   | 990.8 |   |
| Audit-related      fees |   |                         | -       |   |   |   | - |   |
| Tax      fees           |   |                         | 94.8    |   |   |   | 75.1 |   |
| Other      fees         |   |                         | 34.8    |   |   |   |   |   |
| Total      fees         |   |                         | 1,084.5 |   |   |   | 1,065.9 |   |

----

----

| Report      of Independent Registered      Public Accounting Firm                                                                               | F-1    |
|-------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                            |   |
| Report      of Independent Registered      Public Accounting Firm on the internal control over financial reporting as      of December 31, 2009 | F-2    |
|                                                                                                                                            |   |
| Consolidated      Financial Statements:                                                                                                         |   |
|                                                                                                                                            |   |
| Audited      Consolidated Balance Sheets as of December 31, 2009 and    2008                                                                    | F-4    |
|                                                                                                                                            |   |
| Audited      Consolidated Statements of Income for each of the three years in the      period  ended December 31, 2009, 2008 and 2007      | F-6    |
|                                                                                                                                            |   |
| Audited      Consolidated Statements of Cash Flows for each of the three years in the      period ended December 31, 2009, 2008 and 2007        | F-7    |
|                                                                                                                                            |   |
| Notes      to the Audited Consolidated Financial Statements                                                                                     | F-9    |
|                                                                                                                                            |   |
| Supplementary      Schedules*                                                                                                                   |   |

| ExhibitNo.      |   | Exhibit                                                |
|-----------------|--------|--------------------------------------------------------|
|            |   |                                                   |
|        1.1 |   | By-laws      (Estatutos) of the Company                |
|            |   |                                                   |
|        8.1 |   | Significant      subsidiaries of the Company           |
|            |   |                                                   |
| 12.1            |   | Section      302 Chief Executive Officer Certification |
|            |   |                                                   |
| 12.2            |   | Section      302 Chief Financial Officer Certification |
|            |   |                                                   |
| 13.1            |   | Section      906 Chief Executive Officer Certification |
|            |   |                                                   |
| 13.2            |   | Section      906 Chief Financial OfficerCertification  |

----

| /s/ Ricardo Ramos                              |
|------------------------------------------------|
|                                           |
| Ricardo      Ramos R.                          |
| Chief      Financial Officer and               |
| Business      Development Senior VicePresident |

----

| Report      of Independent Registered Public Accounting Firm                                            | F-1    |
|---------------------------------------------------------------------------------------------------------|--------|
| Report      of Independent Registered Public Accounting Firm on the internal control      over          |   |
| financial      reporting as of December 31, 2009                                                        | F-2    |
|                                                                                                    |   |
| Consolidated      Financial Statements                                                                  |   |
|                                                                                                    |   |
| Audited      Consolidated Balance Sheets as of December 31, 2009 and    2008                            | F-4    |
| Audited      Consolidated Statements of Income for each of the three years in the      period ended     |   |
| December      31, 2009                                                                                  | F-6    |
| Audited      Consolidated Statements of Cash Flows for each of the three years in the      period ended |   |
| December      31, 2009                                                                                  | F-7    |
| Notes      to the Audited Consolidated Financial Statements                                             | F-9    |

| Ch$    | - | Chilean      pesos                                                                                                                                                                                 |
|--------|---|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ThCh$  | - | Thousands      of Chilean pesos                                                                                                                                                                    |
| US$    | - | United      States dollars                                                                                                                                                                         |
| ThUS$  | - | Thousands      of United States dollars                                                                                                                                                            |
| ThEuro | - | Thousands      of Euros                                                                                                                                                                            |
| UF     | - | The      UF is an inflation-indexed, Chilean peso-denominated monetary unit. The UF      rate is set daily in advance, based on the change in the Consumer Price      Index of the previous month. |

----

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|                                                      | As      of December 31, |   |
|-----------------------------------------------------------|-------------------------|--------|
|                                                      |                    |   | 2009 |   |   | 2008 |   |
|                                                      | Notes                   |   | ThUS$ |   |   | ThUS$ |   |
|                                                      |                    |   |   |   |   |   |   |
| ASSETS                                                    |                    |   |   |   |   |   |   |
| Current      assets                                       |                    |   |   |   |   |   |   |
| Cash      and cash equivalents                            | 2y                      |   |   | 530,394 |   |   |   | 303,799 |   |
| Time      deposits                                        |                    |   |   | 15,043 |   |   |   | 20,121 |   |
| Accounts      receivable, net                             | 4                       |   |   | 309,765 |   |   |   | 328,041 |   |
| Other      accounts receivable, net                       | 4                       |   |   | 16,058 |   |   |   | 6,743 |   |
| Accounts      receivable from related companies           | 5                       |   |   | 68,656 |   |   |   | 51,027 |   |
| Inventories,      net                                     | 6                       |   |   | 637,689 |   |   |   | 540,727 |   |
| Recoverable      taxes                                    |                    |   |   | 68,903 |   |   |   | 37,081 |   |
| Prepaid      expenses                                     |                    |   |   | 5,275 |   |   |   | 5,490 |   |
| Deferred      income taxes                                | 7                       |   |   | 5,377 |   |   |   | 34,802 |   |
| Other      current assets                                 |                    |   |   | 87,971 |   |   |   | 11,583 |   |
| Total      current assets                                 |                    |   |   | 1,745,131 |   |   |   | 1,339,414 |   |
|                                                      |                    |   |   |   |   |   |   |   |   |
| Property,      plant and equipment, net                   | 8                       |   |   | 1,324,405 |   |   |   | 1,119,920 |   |
|                                                      |                    |   |   |   |   |   |   |   |   |
| Other      assets                                         |                    |   |   |   |   |   |   |   |   |
| Investments      in related companies                     | 9                       |   |   | 55,205 |   |   |   | 36,951 |   |
| Goodwill,      net                                        | 10                      |   |   | 29,725 |   |   |   | 31,901 |   |
| Negative      goodwill, net                               | 10                      |   |   | (1,073 | ) |   |   | (1,279 | ) |
| Long-term      accounts receivable, net                   | 4                       |   |   | 4,209 |   |   |   | 767 |   |
| Long-term      accounts receivable from related companies | 5                       |   |   | - |   |   |   | 2,000 |   |
| Intangible      assets, net                               |                    |   |   | 2,514 |   |   |   | 3,115 |   |
| Other      long-term assets                               | 11                      |   |   | 43,018 |   |   |   | 34,426 |   |
| Total      other assets                                   |                    |   |   | 133,598 |   |   |   | 107,881 |   |
| Total      assets                                         |                    |   |   | 3,203,134 |   |   |   | 2,567,215 |   |

----

|                                                      | As of December 31, |   |
|-----------------------------------------------------------|-----------------------------------|--------|
|                                                      |                              |   | 2009 |   |   | 2008 |   |
|                                                      | Notes                             |   | ThUS$ |   |   | ThUS$ |   |
|                                                      |                              |   |   |   |   |   |   |
| LIABILITIES AND SHAREHOLDERS' EQUITY  |                              |   |   |   |   |   |   |
| Current      liabilities                                  |                              |   |   |   |   |   |   |
| Short-term      bank debt                                 | 12                                |   |   | 70,368 |   |   |   | 133,355 |   |
| Current      portion of long-term bank debt               | 12                                |   |   | 151,158 |   |   |   | 451 |   |
| Promissory      notes                                     | 13                                |   |   | 29,363 |   |   |   | - |   |
| Current      portion of bonds payable                     | 13                                |   |   | 16,243 |   |   |   | 7,929 |   |
| Dividends      payable                                    |                              |   |   | 831 |   |   |   | 656 |   |
| Accounts      payable                                     |                              |   |   | 182,958 |   |   |   | 109,763 |   |
| Other      accounts payable                               |                              |   |   | 350 |   |   |   | 357 |   |
| Notes      and accounts payable to related companies      | 5                                 |   |   | 3,892 |   |   |   | 178 |   |
| Accrued      liabilities                                  | 14                                |   |   | 37,191 |   |   |   | 30,414 |   |
| Withholdings                                              |                              |   |   | 32,066 |   |   |   | 32,252 |   |
| Income      taxes                                         |                              |   |   | 1,298 |   |   |   | 89,186 |   |
| Deferred      income                                      | 27                                |   |   | 16,536 |   |   |   | 31,722 |   |
| Other      current liabilities                            |                              |   |   | 3,220 |   |   |   | 9,643 |   |
| Total      current liabilities                            |                              |   |   | 545,474 |   |   |   | 445,906 |   |
|                                                      |                              |   |   |   |   |   |   |   |   |
| Long-term      liabilities                                |                              |   |   |   |   |   |   |   |   |
| Long-term      bank debt                                  | 12                                |   |   | 365,000 |   |   |   | 230,000 |   |
| Bonds      payable                                        | 13                                |   |   | 670,221 |   |   |   | 285,940 |   |
| Other      accounts payable                               |                              |   |   | 187 |   |   |   | 397 |   |
| Deferred      income taxes                                | 7                                 |   |   | 56,520 |   |   |   | 57,485 |   |
| Long-term      accrued liabilities                        | 14                                |   |   | 53,026 |   |   |   | 37,310 |   |
| Total      long-term liabilities                          |                              |   |   | 1,144,954 |   |   |   | 611,132 |   |
|                                                      |                              |   |   |   |   |   |   |   |   |
| Minority      interest                                    | 15                                |   |   | 46,093 |   |   |   | 47,069 |   |
|                                                      |                              |   |   |   |   |   |   |   |   |
| Shareholders'      equity                                 | 16                                |   |   |   |   |   |   |   |   |
| Paid-in      capital                                      |                              |   |   | 477,386 |   |   |   | 477,386 |   |
| Other      reserves                                       |                              |   |   | 162,084 |   |   |   | 159,721 |   |
| Retained      earnings                                    |                              |   |   | 827,143 |   |   |   | 826,001 |   |
| Total      shareholders' equity                           |                              |   |   | 1,466,613 |   |   |   | 1,463,108 |   |
| Total      liabilities and shareholders' equity           |                              |   |   | 3,203,134 |   |   |   | 2,567,215 |   |

----

|                                                  |        |   | For the years ended December 31, |      |
|-------------------------------------------------------|-------------|--------|-----------------------------------------------------------|-----------|
|                                                  |        |   | 2009                                                      |      |   | 2008 |   |   | 2007 |   |
|                                                  | Notes  |   | ThUS$                                                     |      |   | ThUS$ |   |   | ThUS$ |   |
| Operating      results                                |        |   |                                                      |      |   |   |   |   |   |   |
|                                                  |        |   |                                                      |      |   |   |   |   |   |   |
| Sales                                                 |        |   |                                                      | 1,436,891 |   |   |   | 1,774,119 |   |   |   | 1,187,527 |   |
| Cost      of sales                                    |        |   |                                                      | (916,088  | ) |   |   | (1,056,254 | ) |   |   | (857,765 | ) |
| Gross      margin                                     |        |   |                                                      | 520,803   |   |   |   | 717,865 |   |   |   | 329,762 |   |
| Selling      and administrative expenses              |        |   |                                                      | (78,895   | ) |   |   | (85,709 | ) |   |   | (70,273 | ) |
| Operating      income                                 |        |   |                                                      | 441,908   |   |   |   | 632,156 |   |   |   | 259,489 |   |
|                                                  |        |   |                                                      |      |   |   |   |   |   |   |   |   |   |
| Non-operating      results                            |        |   |                                                      |      |   |   |   |   |   |   |   |   |   |
| Non-operating      income                             | 17          |   |                                                      | 40,472    |   |   |   | 40,590 |   |   |   | 25,948 |   |
| Non-operating      expenses                           | 17          |   |                                                      | (77,458   | ) |   |   | (59,896 | ) |   |   | (53,032 | ) |
| Non-operating      loss                               |        |   |                                                      | (36,986   | ) |   |   | (19,306 | ) |   |   | (27,084 | ) |
| Income      before income taxes and minority interest |        |   |                                                      | 404,922   |   |   |   | 612,850 |   |   |   | 232,405 |   |
| Income      tax expense                               | 7           |   |                                                      | (76,532   | ) |   |   | (107,951 | ) |   |   | (48,592 | ) |
| Income      before minority interest                  |        |   |                                                      | 328,390   |   |   |   | 504,899 |   |   |   | 183,813 |   |
| Minority      interest                                | 15          |   |                                                      | (1,334    | ) |   |   | (3,492 | ) |   |   | (3,792 | ) |
| Net      income for the year                          |        |   |                                                      | 327,056   |   |   |   | 501,407 |   |   |   | 180,021 |   |

----

|                                                                           |        |   | For the years ended December 31, |     |
|--------------------------------------------------------------------------------|-------------|--------|-----------------------------------------------------------|----------|
|                                                                           |        |   | 2009                                                      |     |   | 2008 |   |   | 2007 |   |
|                                                                           |  Notes |   | ThUS$                                                     |     |   | ThUS$ |   |   | ThUS$ |   |
| Cash      flows from operating activities                                      |        |   |                                                      |     |   |   |   |   |   |   |
| Net      income for the year                                                   |        |   |                                                      | 327,056  |   |   |   | 501,407 |   |   |   | 180,021 |   |
| Charges      (credits) to income not representing cash flows:                  |        |   |                                                      |     |   |   |   |   |   |   |   |   |   |
| Depreciation      expense                                                      | 8           |   |                                                      | 151,721  |   |   |   | 110,575 |   |   |   | 97,826 |   |
| Amortization      of intangible assets                                         |        |   |                                                      | 652      |   |   |   | 698 |   |   |   | 712 |   |
| Write-offs      and accruals                                                   |        |   |                                                      | 42,036   |   |   |   | 44,710 |   |   |   | 34,063 |   |
| Gain      on equity investments in related companies                           |        |   |                                                      | (5,717   | ) |   |   | (14,358 | ) |   |   | (3,643 | ) |
| Loss      on equity investments in related companies                           |        |   |                                                      | 1,256    |   |   |   | - |   |   |   | 77 |   |
| Amortization      of goodwill                                                  | 10          |   |                                                      | 2,176    |   |   |   | 2,215 |   |   |   | 2,252 |   |
| Gain      on sale of property, plant and equipment                             |        |   |                                                      | (228     | ) |   |   | (2,793 | ) |   |   | 87 |   |
| Gain      on sale of investments                                               |        |   |                                                      | -        |   |   |   | (1,387 | ) |   |   | (1,316 | ) |
| Other      credits to income not representing cash flows                       | 21          |   |                                                      | (12,269  | ) |   |   | (4,979 | ) |   |   | (1,745 | ) |
| Other      charges to income not representing cash flows                       | 21          |   |                                                      | 155,575  |   |   |   | 205,986 |   |   |   | 108,075 |   |
| Foreign      exchange difference, net                                          |        |   |                                                      | 7,576    |   |   |   | 15,897 |   |   |   | (2,212 | ) |
| Net      changes in operating assets and liabilities (increase)      decrease: |        |   |                                                      |     |   |   |   |   |   |   |   |   |   |
| Accounts      receivable                                                       |        |   |                                                      | 23,320   |   |   |   | (184,713 | ) |   |   | (25,830 | ) |
| Inventories                                                                    |        |   |                                                      | (119,865 | ) |   |   | (193,469 | ) |   |   | (34,983 | ) |
| Other      assets                                                              |        |   |                                                      | (33,109  | ) |   |   | 1,976 |   |   |   | (6,437 | ) |
| Accounts      payable                                                          |        |   |                                                      | 435      |   |   |   | 61,156 |   |   |   | (4,000 | ) |
| Interest      payable                                                          |        |   |                                                      | 11,434   |   |   |   | 1,729 |   |   |   | 582 |   |
| Net      income taxes payable                                                  |        |   |                                                      | (174,452 | ) |   |   | (42,073 | ) |   |   | (23,541 | ) |
| Other      accounts payable                                                    |        |   |                                                      | (17,221  | ) |   |   | (15,147 | ) |   |   | (2,760 | ) |
| VAT      and taxes payable                                                     |        |   |                                                      | 9,644    |   |   |   | (33,608 | ) |   |   | (9,726 | ) |
| Minority      interest                                                         | 15          |   |                                                      | 1,334    |   |   |   | 3,492 |   |   |   | 3,792 |   |
| Net      cash provided from operating activities                               |        |   |                                                      | 371,354  |   |   |   | 457,314 |   |   |   | 311,294 |   |
| Cash      flows from financing activities                                      |        |   |                                                      |     |   |   |   |   |   |   |   |   |   |
| Proceeds      from short term bank financing                                   |        |   |                                                      | 411,527  |   |   |   | 280,000 |   |   |   | - |   |
| Proceeds      from issuance of bonds                                           |        |   |                                                      | 372,347  |   |   |   | - |   |   |   | - |   |
| Payment      of dividends                                                      |        |   |                                                      | (345,647 | ) |   |   | (212,831 | ) |   |   | (94,910 | ) |
| Repayment      of bank financing                                               |        |   |                                                      | (190,333 | ) |   |   | (100,000 | ) |   |   | (57,089 | ) |
| Payment      of bonds payable                                                  |        |   |                                                      | (35,402  | ) |   |   | (5,573 | ) |   |   | (5,131 | ) |
| Payment      of bond issuance and placement expenses                           |        |   |                                                      | (8,093   | ) |   |   | - |   |   |   | - |   |
| Other      financing disbursements                                             |        |   |                                                      | (1,908   | ) |   |   | - |   |   |   | - |   |
| Net      cash provided by (used in) financing activities                       |        |   |                                                      | 202,491  |   |   |   | (38,404 | )  |   |   | (157,130 | )  |
| Cash      flows from investing activities                                      |        |   |                                                      |     |   |   |   |   |   |   |   |   |   |
| Sales      of property, plant and equipment                                    |        |   |                                                      | 1,810    |   |   |   | 25,969 |   |   |   | 2,498 |   |
| Sales      of investments in related companies                                 |        |   |                                                      | -        |   |   |   | 1,688 |   |   |   | 1,478 |   |
| Sales      of other investments                                                |        |   |                                                      | 20,121   |   |   |   | - |   |   |   | - |   |
| Other      investing income                                                    |        |   |                                                      | 2,170    |   |   |   | 721 |   |   |   | 399 |   |
| Additions      to property, plant and equipment                                |        |   |                                                      | (357,007 | ) |   |   | (275,893 | ) |   |   | (165,640 | ) |
| Capitalized      interest                                                      |        |   |                                                      | (19,231  | ) |   |   | (10,723 | ) |   |   | (12,388 | ) |
| Investments      in related companies                                          |        |   |                                                      | (3,580   | ) |   |   | - |   |   |   | - |   |
| Time      deposits                                                             |        |   |                                                      | (15,043  | ) |   |   | (20,121 | ) |   |   | - |   |
| Other      disbursements                                                       |        |   |                                                      | (2,200   | ) |   |   | (448 | ) |   |   | (513 | ) |
| Net      cash used in investing activities                                     |        |   |                                                      | (372,960 | ) |   |   | (278,807 | ) |   |   | (174,166 | ) |
| Effect      of inflation on cash and cash equivalents                          |        |   |                                                      | 25,710   |   |   |   | (516 | ) |   |   | 272 |   |
| Net      change in cash and cash equivalents                                   |        |   |                                                      | 226,595  |   |   |   | 139,587 |   |   |   | (19,730 | ) |
| Beginning      balance of cash and cash equivalents                            |        |   |                                                      | 303,799  |   |   |   | 164,212 |   |   |   | 183,942 |   |
| Ending      balance of cash and cash equivalents                               |        |   |                                                      | 530,394  |   |   |   | 303,799 |   |   |   | 164,212 |   |

----

|                                     |   | For      the years ended December 31 |   |
|------------------------------------------|--------|--------------------------------------|--------|
|                                     |   | 2009                                 |   |   | 2008 |   |   | 2007 |   |
|                                     |   | ThUS$                                |   |   | ThUS$ |   |   | ThUS$ |   |
| Supplemental      cash flow information: |   |                                 |   |   |   |   |   |   |   |
| Interest      paid                       |   |                                 | 38,127 |   |   |   | 26,975 |   |   |   | 33,441 |   |
| Income      taxes paid                   |   |                                 | 93,619 |   |   |   | 62,766 |   |   |   | 43,666 |   |
| Capital      lease obligation            |   |                                 | 329    |   |   |   | 268 |   |   |   | 315 |   |

----

| a) | Accounting      period |
|----|------------------------|

| b) | Basis      for the preparation of the consolidated financial    statements |
|----|----------------------------------------------------------------------------|

----

| c) | Reporting      currency |
|----|-------------------------|

| d) | Reclassifications |
|----|-------------------|

----

| e) | Basis      for consolidation |
|----|------------------------------|

|                                                       |   | Direct      or Indirect Ownership as of December 31, |   |
|------------------------------------------------------------|--------|------------------------------------------------------|--------|
| Foreign      Subsidiaries                                  |   | 2009                                                 |   |   | 2008 |   |   | 2007 |   |
|                                                       | %      |                                                 |   | % |   |   | % |   |
| Nitratos      Naturais Do Chile Ltda.                      |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Nitrate      Corporation of  Chile Ltd.               |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      North America Corporation.                        |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Europe N.V.                                       |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Soquimich      S.R.L. Argentina                            |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Soquimich       European Holding B.V.                 |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Corporation N.V.                                  |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQI      Corporation N.V.                                  |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Comercial de Mexico S.A. de C.V.                  |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| North      American Trading Co.                            |   |                                                 | 100.00 |   |   |   | 100,00 |   |   |   | 100.00 |   |
| Administración      y Servicios Santiago S.A. de C.V. |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Peru S.A.                                         |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Ecuador S.A.                                      |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Nitratos Mexico S.A.                              |   |                                                 | 51.00  |   |   |   | 51.00 |   |   |   | 51.00 |   |
| SQMC      Holding Corporation L.L.P.                       |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Investmet  Corporation N.V.                  |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Brasil Ltda.                                      |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      France S.A.                                       |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Japan Co. Ltda.                                   |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Royal      Seed Trading  A.V.V.                       |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Oceania PTY                                       |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| RS      Agro-Chemical Trading A.V.V.                       |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Indonesia                                         |   |                                                 | 80.00  |   |   |   | 80.00 |   |   |   | 80.00 |   |
| SQM      Virginia L.L.C.                                   |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Agricolima      S.A. de C.V.                               |   |                                                 | -      |   |   |   | - |   |   |   | 100.00 |   |
| SQM      Venezuela S.A.                                    |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Italia SRL                                        |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Comercial      Caiman Internacional S.A.                   |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Africa PTY.                                       |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Lithium Specialties LLP                           |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Dubai – Fzco (*)                            |   |                                                 | -      |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Fertilizantes      Naturales S.A.                          |   |                                                 | 66.67  |   |   |   | 66.67 |   |   |   | 66.67 |   |
| Iodine      Minera B.V.                                    |   |                                                 | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Agro India PVT. Ltd.                              |   |                                                 | 100.00 |   |   |   | - |   |   |   | - |   |

----

| e) | Basis      for consolidation (continued) |
|----|------------------------------------------|

|                                                                   |   | Direct or Indirect Ownership as of December 31, |   |
|------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------|--------|
| Domestic      Subsidiaries                                             |   | 2009                                                                               |   |   | 2008 |   |   | 2007 |   |
|                                                                   |   | %                                                                                  |   |   | % |   |   | % |   |
| Comercial      Hydro S.A.                                              |   |                                                                               | 60.64  |   |   |   | 60.64 |   |   |   | 60,64 |   |
| SQM      Potasio S.A.                                                  |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| SQM      Nitratos S.A.                                                 |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Ajay      SQM Chile S.A.                                               |   |                                                                               | 51.00  |   |   |   | 51.00 |   |   |   | 51.00 |   |
| SQMC      Internacional Ltda.                                          |   |                                                                               | 60.64  |   |   |   | 60.64 |   |   |   | 60.64 |   |
| SQM      Industrial S.A.                                               |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Isapre      Norte Grande Ltda.                                         |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Almacenes      y Depositos Ltda.                                       |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Servicios      Integrales de Transito y Transferencia S.A.             |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Soquimich      Comercial S.A.                                          |   |                                                                               | 60.64  |   |   |   | 60.64 |   |   |   | 60.64 |   |
| SQM      Salar S.A.                                                    |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Minera      Nueva Victoria S.A.                                        |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Proinsa      Ltda.                                                     |   |                                                                               | 60.58  |   |   |   | 60.58 |   |   |   | 60.58 |   |
| Sociedad      Prestadora de Servicios de Salud Cruz del Norte      S.A |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Exploraciones      Mineras S.A.                                        |   |                                                                               | 100.00 |   |   |   | 100.00 |   |   |   | 100.00 |   |
| Agrorama      Callegari Ltda. (*)                                      |   |                                                                               | 42.45  |   |   |   | - |   |   |   | - |   |

| f) | Price-level      restatement |
|----|------------------------------|

----

| g) | Foreign      currency |
|----|-----------------------|

|   | i) | Foreign      currency transactions |
|--------|----|------------------------------------|

|   | Monetary      assets and liabilities denominated in Chilean pesos and other currencies      have been translated to U.S. dollars at the observed exchange rates      determined by the Central Bank of Chile in effect at each year-end of Ch$      507.10 per US$ 1 at December 31, 2009, Ch$ 636.45 per US$ 1 at December      31, 2008. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The      values of the Unidad de Fomento (UF) used to convert UF-denominated assets      and liabilities to pesos (dollars) as of December 31, 2009 and 2008 were      Ch$ 20,942.88 (US$ 41.30) and Ch$ 21,452.57 (US$ 33.71),      respectively. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ii) | Translation      of non-U.S. dollar financialstatements |
|--------|-----|---------------------------------------------------------|

|   | a) | For      those subsidiaries and affiliates located in Chile and which keep their      accounting records in price-level adjusted Chilean  pesos: |
|--------|----|--------------------------------------------------------------------------------------------------------------------------------------------------|

|   | - | Balance      sheet accounts are translated to U.S. dollars at the year-end exchange      rate without eliminating the effects of price-level      adjustment. |
|--------|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | - | Income      statement accounts are translated to U.S. dollars at the average exchange      rate each month. The monetary correction account in the income statement,      which is generated by the inclusion of price-level restatement on the      non-monetary assets and liabilities and shareholders’ equity, is      translated to U.S. dollars at the average exchange rate for each      month. |
|--------|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | - | Translation      gains and losses, as well as the price-level restatement to the balance      sheet mentioned above, are included as an adjustment in shareholders’      equity, in conformity with Circular No. 1,697 of the  SVS. |
|--------|---|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|    | b) | The      financial statements of those foreign subsidiaries that keep their      accounting records in currencies other than the U.S. dollar have been      translated at historical exchange rates as  follows: |
|--------------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | - | Monetary      assets and liabilities are translated at year-end exchange rates between      the US dollar and the localcurrency. |
|--------|---|----------------------------------------------------------------------------------------------------------------------------------|

|   | - | All      non-monetary assets and liabilities and shareholders’ equity are      translated at historical exchange rates between the US dollar and the      local currency. |
|--------|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | - | Income      and expense accounts are translated at average exchange rates between the      US dollar and the local currency. |
|--------|---|------------------------------------------------------------------------------------------------------------------------------|

|   | - | Any      exchange differences are included in the results of operations for the      period. |
|--------|---|----------------------------------------------------------------------------------------------|

|   | Foreign      exchange differences for the years ended December 31, 2009, 2008 and 2007      generated net earnings (loss) of ThUS$ (7,576), ThUS$ (15,897), and ThUS$      2,212 respectively, which have been charged to the consolidated statements      of income in each respectiveperiod. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| g) | Foreign      currency (continued) |
|----|-----------------------------------|

|                    |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|-------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                    |   | US$    |   |   | US$    |   |   | US$    |   |
| Brazilian      Real     |   |   | 1.74   |   |   |   | 2.34   |   |   |   | 1.77 |   |
| New      Peruvian Sol   |   |   | 2.88   |   |   |   | 3.14   |   |   |   | 2.99 |   |
| Argentine      Peso     |   |   | 3.83   |   |   |   | 3.47   |   |   |   | 3.15 |   |
| Japanese      Yen       |   |   | 92.10  |   |   |   | 91.03  |   |   |   | 114.15 |   |
| Euro                    |   |   | 0.69   |   |   |   | 0.72   |   |   |   | 0.68 |   |
| Mexican      Peso       |   |   | 13.04  |   |   |   | 13.77  |   |   |   | 10.90 |   |
| Australian      Dollar  |   |   | 1.12   |   |   |   | 1.45   |   |   |   | 1.15 |   |
| Pound      Sterling     |   |   | 0.62   |   |   |   | 0.67   |   |   |   | 0.49 |   |
| Ecuadorian      Sucre   |   |   | 1.00   |   |   |   | 1.00   |   |   |   | 1.00 |   |
| South      African Rand |   |   | 7.40   |   |   |   | 9.28   |   |   |   | 6.81 |   |

| h) | Time      deposits |
|----|--------------------|

| i) | Inventories |
|----|-------------|

| j) | Allowance      for doubtful accounts |
|----|--------------------------------------|

----

| k) | Property,      plant and equipment |
|----|------------------------------------|

| l) | Depreciation      of property, plant and equipment |
|----|----------------------------------------------------|

|                             |   | Estimated                     |   |
|----------------------------------|--------|-------------------------------|--------|
|                             |   | years ofuseful      life |   |
|                             |   |                          |   |
| Mining      concessions          |   | 7 –      13             |   |
| Building      and infrastructure |   | 3 –      80             |   |
| Machinery      and equipment     |   | 3 –      35             |   |
| Other                            |   | 2 –      30             |   |

| m) | Assets      acquired through financial lease |
|----|----------------------------------------------|

| n) | Intangible      assets |
|----|------------------------|

----

| o) | Mining      development cost |
|----|------------------------------|

| p) | Investments      in related companies |
|----|---------------------------------------|

| q) | Goodwill      and negative goodwill |
|----|-------------------------------------|

----

| q) | Goodwill      and negative goodwill (continued) |
|----|-------------------------------------------------|

| r) | Reverse      purchase agreements |
|----|----------------------------------|

| s) | Current      and deferred income taxes |
|----|----------------------------------------|

| t) | Staff      severance indemnities |
|----|----------------------------------|

----

| u) | Revenue      recognition |
|----|--------------------------|

| v) | Derivative      contracts |
|----|---------------------------|

| w) | Computer      software |
|----|------------------------|

| x) | Research      and development expenses |
|----|----------------------------------------|

| y) | Cash      and cash equivalents |
|----|--------------------------------|

|               |   | As of December 31, |    |
|--------------------|--------|-----------------------------------|---------|
|               |   | 2009                              |    |   | 2008 |   |   | 2007 |   |
|               |   | ThUS$                             |    |   | ThUS$ |   |   | ThUS$ |   |
|               |   |                              |    |   |   |   |   |   |   |
| Cash               |   |                              | 19,217  |   |   |   | 21,618 |   |   |   | 18,236 |   |
| Time      deposits |   |                              | 174,742 |   |   |   | 116,492 |   |   |   | 85,523 |   |
| Mutual      funds  |   |                              | 336,435 |   |   |   | 165,689 |   |   |   | 60,453 |   |
| Total              |   |                              | 530,394 |   |   |   | 303,799 |   |   |   | 164,212 |   |

----

| z) | Vacations |
|----|-----------|

| aa) | Bonds      payable |
|-----|--------------------|

| ab) | Promissory      notes |
|-----|-----------------------|

----

| a) | Short      term and long-term accounts receivable and other accounts receivable as of      December 31, 2009 and 2008 are detailed as  follows: |
|----|-------------------------------------------------------------------------------------------------------------------------------------------------|

|                                 |   | Up to 90 days |    | Between 90 daysand 1 year |   | TotalShort-term (Net) |   |
|--------------------------------------|--------|------------------------------|---------|-----------------------------------------------|--------|----------------------------|--------|
|                                 |   | 2009                         |    | 2008                                          |   | 2009                       |   | 2008 |   | 2009 |   | 2008 |   |
|                                 |   | ThUS$                        |    | ThUS$                                         |   | ThUS$                      |   | ThUS$ |   | ThUS$ |   | ThUS$ |   |
| Short-term                           |   |                         |    |                                          |   |                       |   |   |   |   |   |   |   |
| Trade      Accounts Receivable       |   |                         | 205,516 |                                          |   | 190,398                    |   |   | 51,257 |   |   | 88,698 |   |   | 256,773 |   |   | 279,096 |   |
| Allowance      for Doubtful Accounts |   |                         | -       |                                          |   | -                          |   |   | - |   |   | - |   |   | (13,055 | ) |   | (8,935 | ) |
| Notes      Receivable                |   |                         | 53,319  |                                          |   | 43,060                     |   |   | 16,100 |   |   | 17,773 |   |   | 69,419 |   |   | 60,833 |   |
| Allowance      for Doubtful Accounts |   |                         | -       |                                          |   | -                          |   |   | - |   |   | - |   |   | (3,372 | ) |   | (2,953 | ) |
| Accounts      Receivable, Net        |   |                         |    |                                          |   |                       |   |   |   |   |   |   |   |   | 309,765 |   |   | 328,041 |   |
|                                 |   |                         |    |                                          |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other      Accounts Receivable       |   |                         | 14,127  |                                          |   | 7,822                      |   |   | 2,587 |   |   | 312 |   |   | 16,714 |   |   | 8,134 |   |
| Allowance      for Doubtful Accounts |   |                         | -       |                                          |   | -                          |   |   | - |   |   | - |   |   | (656 | ) |   | (1,391 | ) |
| Other      Accounts Receivable, Net  |   |                         |    |                                          |   |                       |   |   |   |   |   |   |   |   | 16,058 |   |   | 6,743 |   |
|                                 |   |                         |    |                                          |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Long-term      Receivables           |   |                         |    |                                          |   |                       |   |   |   |   |   |   |   |   | 4,209 |   |   | 767 |   |

| b) | Changes      in the allowance for doubtful accounts for the years ended December 31,      are as follows: |
|----|-----------------------------------------------------------------------------------------------------------|

|                              |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|-----------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                              |   | ThUS$  |   |   | ThUS$  |   |   | ThUS$  |   |
|                              |   |   |   |   |   |   |   |   |   |
| At      January 1,                |   |   | 13,279 |   |   |   | 10,649 |   |   |   | 11,793 |   |
| Charged      to expenses          |   |   | 3,716  |   |   |   | 4,700  |   |   |   | 466 |   |
| Deductions      (release)         |   |   | (199   | )      |   |   | (1,042 | )      |   |   | (2,235 | ) |
| Exchange      rate differences    |   |   | 1,214  |   |   |   | (855   | )      |   |   | 512 |   |
| Business      disposals and other |   |   | (927   | )      |   |   | (173   | )      |   |   | 113 |   |
| At      December 31,              |   |   | 17,083 |   |   |   | 13,279 |   |   |   | 10,649 |   |

----

|                                                    |   | Latin America andthe Caribbean |   | Asia and Oceania |   | Chile  |   | Europe |   | North America, Mexico and Canada |   | Total  |   |
|---------------------------------------------------------|--------|-----------------------------------------------|--------|----------------------------|--------|--------|--------|--------|--------|------------------------------------------------------|--------|--------|--------|
|                                                    |   | 2009                                          |   | 2008                       |   | 2009   |   | 2008   |   | 2009                                                 |   | 2008   |   | 2009 |   | 2008 |   | 2009 |   | 2008 |   | 2009 |   | 2008 |   |
|                                                    |   | ThUS$                                         |   | ThUS$                      |   | ThUS$  |   | ThUS$  |   | ThUS$                                                |   | ThUS$  |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   |
| Total      Short and Long-Term Accounts Receivable, Net |   |                                          |   |                       |   |   |   |   |   |                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance                                                 |   |                                          | 28,616 |                       |   | 77,530 |   |   | 4,730  |                                                 |   | 23,751 |   |   | 128,470 |   |   | 108,416 |   |   | 137,853 |   |   | 84,637 |   |   | 30,363 |   |   | 41,217 |   |   | 330,032 |   |   | 335,551 |   |
| % of      Total                                         |   |                                          | 8.67   | %                          |   | 23.11  | %      |   | 1.43   | %                                                    |   | 7.08   | %      |   | 38.93 | % |   | 32.31 | % |   | 41.77 | % |   | 25.22 | % |   | 9.20 | % |   | 12.28 | % |   | 100.00 | % |   | 100.00 | % |
| Short-Term      Accounts Receivable, Net                |   |                                          |   |                       |   |   |   |   |   |                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Sub      Total Short-Term                               |   |                                          | 28,616 |                       |   | 77,530 |   |   | 4,730  |                                                 |   | 23,751 |   |   | 124,261 |   |   | 107,649 |   |   | 137,853 |   |   | 84,637 |   |   | 30,363 |   |   | 41,217 |   |   | 325,823 |   |   | 334,784 |   |
| % of      Total                                         |   |                                          | 8.78   | %                          |   | 23.16  | %      |   | 1.45   | %                                                    |   | 7.09   | %      |   | 38.14 | % |   | 32.15 | % |   | 42.31 | % |   | 25.28 | % |   | 9.32 | % |   | 12.32 | % |   | 100.00 | % |   | 100.00 | % |
| Net      Short-Term Trade Accounts Receivable           |   |                                          |   |                       |   |   |   |   |   |                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance                                                 |   |                                          | 22,318 |                       |   | 75,653 |   |   | 4,709  |                                                 |   | 23,602 |   |   | 61,830 |   |   | 48,848 |   |   | 124,767 |   |   | 84,375 |   |   | 30,094 |   |   | 37,683 |   |   | 243,718 |   |   | 270,161 |   |
| % of      Total                                         |   |                                          | 9.16   | %                          |   | 28.00  | %      |   | 1.93   | %                                                    |   | 8.74   | %      |   | 25.37 | % |   | 18.08 | % |   | 51.19 | % |   | 31.23 | % |   | 12.35 | % |   | 13.95 | % |   | 100.00 | % |   | 100.00 | % |
| Net      Short-Term Notes Receivable                    |   |                                          |   |                       |   |   |   |   |   |                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance                                                 |   |                                          | 5,461  |                       |   | 1,706  |   |   | -      |                                                 |   | -      |   |   | 48,096 |   |   | 56,174 |   |   | 12,490 |   |   | - |   |   | - |   |   | - |   |   | 66,047 |   |   | 57,880 |   |
| % of      Total                                         |   |                                          | 8.27   | %                          |   | 2.95   | %      |   | -      |                                                 |   | -      |   |   | 72.82 | % |   | 97.05 | % |   | 18.91 | % |   | - |   |   | - |   |   | - |   |   | 100.00 | % |   | 100.00 | % |
| Net      Short-Term Other Accounts Receivable           |   |                                          |   |                       |   |   |   |   |   |                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance                                                 |   |                                          | 837    |                       |   | 171    |   |   | 21     |                                                 |   | 149    |   |   | 14,335 |   |   | 2,627 |   |   | 596 |   |   | 262 |   |   | 269 |   |   | 3,534 |   |   | 16,058 |   |   | 6,743 |   |
| % of      Total                                         |   |                                          | 5.21   | %                          |   | 2.53   | %      |   | 0.13   | %                                                    |   | 2.21   | %      |   | 89.27 | % |   | 38.96 | % |   | 3.71 | % |   | 3.89 | % |   | 1.68 | % |   | 52.41 | % |   | 100.00 | % |   | 100.00 | % |
| Long-Term      Accounts Receivable, Net                 |   |                                          |   |                       |   |   |   |   |   |                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance                                                 |   |                                          | -      |                       |   | -      |   |   | -      |                                                 |   | -      |   |   | 4,209 |   |   | 767 |   |   | - |   |   | - |   |   | - |   |   | - |   |   | 4,209 |   |   | 767 |   |
| % of      Total                                         |   |                                          | -      |                       |   | -      |   |   | -      |                                                 |   | -      |   |   | 100.00 | % |   | 100.00 | % |   | - |   |   | - |   |   | - |   |   | - |   |   | 100.00 | % |   | 100.00 | % |

----

| a) | Amounts      included in balances with related parties as of December 31, 2009 and 2008      are as follows: |
|----|--------------------------------------------------------------------------------------------------------------|

|                                           |   | Short-term |   |   | Long-term |   |
|------------------------------------------------|--------|------------|--------|--------|-----------|--------|
| Accounts      Receivable                       |   | 2009       |   |   | 2008      |   |   | 2009 |   |   | 2008 |   |
|                                           |   | ThUS$      |   |   | ThUS$     |   |   | ThUS$ |   |   | ThUS$ |   |
| Sales      de Magnesio Ltda.                   |   |       | 292    |   |      |   | 143 |   |   |   | - |   |   |   | - |   |
| Sociedad      Inversiones Pampa Calichera S.A. |   |       | 8      |   |      |   | 8 |   |   |   | - |   |   |   | - |   |
| Inversiones      PCS Chile S.A.                |   |       | -      |   |      |   | - |   |   |   | - |   |   |   | - |   |
| Doktor      Tarsa Tarim Sanayi AS              |   |       | 7,304  |   |      |   | 13,641 |   |   |   | - |   |   |   | - |   |
| Nutrisi      Holding N.V.                      |   |       | 1,741  |   |      |   | 1,702 |   |   |   | - |   |   |   | - |   |
| Ajay      Europe S.A.R.L.                      |   |       | 1,492  |   |      |   | 4,061 |   |   |   | - |   |   |   | - |   |
| Ajay      North America LLC                    |   |       | 2,914  |   |      |   | 2,520 |   |   |   | - |   |   |   | - |   |
| Abu      Dhabi Fertilizer Industries WWL       |   |       | 3,546  |   |      |   | 6,579 |   |   |   | - |   |   |   | 2,000 |   |
| NU3      B.V.                                  |   |       | 1,883  |   |      |   | 772 |   |   |   | - |   |   |   | - |   |
| SQM      Agro India                            |   |       | -      |   |      |   | 595 |   |   |   | - |   |   |   | - |   |
| SQM      East Med Turkey                       |   |       | -      |   |      |   | 1,075 |   |   |   | - |   |   |   | - |   |
| Misr      Specialty Fertilizers (MSF)          |   |       | 289    |   |      |   | 632 |   |   |   | - |   |   |   | - |   |
| Kowa      Company Ltd.                         |   |       | 15,764 |   |      |   | 18,170 |   |   |   | - |   |   |   | - |   |
| Minera      Saskatchewan Ltda. (PCS)           |   |       | 32,588 |   |      |   | - |   |   |   | - |   |   |   | - |   |
| NU3      N.V. (Belgium)                        |   |       | -      |   |      |   | 1,129 |   |   |   | - |   |   |   | - |   |
| SQM      Thailand Co. Ltd.                     |   |       | 835    |   |      |   | - |   |   |   | - |   |   |   | - |   |
| Total                                          |   |       | 68,656 |   |      |   | 51,027 |   |   |   | - |   |   |   | 2,000 |   |

----

| b) | Amounts      included in balances with related parties as of December 31, 2009 and 2008      are as follows: |
|----|--------------------------------------------------------------------------------------------------------------|

|                                |   | Short-term |   |   |   |   |
|-------------------------------------|--------|------------|--------|--------|--------|--------|
| Accounts      Payable               |   | 2009       |   |   | 2008   |   |
|                                |   | ThUS$      |   |   | ThUS$  |   |
| SQM      Thailand Co. Ltd.          |   |       | -      |   |   |   | 178 |   |
| NU3      B.V. (Belgium)             |   |       | 94     |   |   |   | - |   |
| SQM      Vitas                      |   |       | 2,883  |   |   |   | - |   |
| Callegari      Agricola S.A.        |   |       | 234    |   |   |   | - |   |
| Coromandel      Fertilizers Limited |   |       | 681    |   |   |   | - |   |
| Total                               |   |       | 3,892  |   |   |   | 178 |   |

| c) | During      2009, 2008 and 2007 principal transactions with related parties were as      follows (1): |
|----|-------------------------------------------------------------------------------------------------------|

|                                 |   |         |   | Nature of         |   | Amount of Transaction |   | Effect on Income - credit |   |
|--------------------------------------|--------|--------------|--------|------------------------|--------|---------------------------------|--------|-----------------------------------------------|--------|
|  Company                        |   | Relationship |   | Transaction       |   | 2009                            |   | 2008                                          |   | 2007 |   | 2009 |   | 2008 |   | 2007 |   |
|                                 |   |         |   |                   |   | ThUS$                           |   | ThUS$                                         |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   |
| Abu      Dhabi Fertilizer Ind. WWL   |   | Investee     |   | Sales      of Products |   |                            | 7,385  |                                          |   | 9,302 |   |   | 5,434 |   |   | 2,053 |   |   | 2,849 |   |   | 1,123 |   |
|                                 |   | Investee     |   | Financial      Income  |   |                            | 54     |                                          |   | 127 |   |   | 117 |   |   | 54 |   |   | 127 |   |   | 117 |   |
| Ajay      Europe SARL                |   | Investee     |   | Sales      of Products |   |                            | 11,899 |                                          |   | 19,561 |   |   | 24,965 |   |   | 695 |   |   | 2,667 |   |   | 9,250 |   |
|                                 |   | Investee     |   | Financial      Income  |   |                            | -      |                                          |   | 10 |   |   | 10 |   |   | - |   |   | 10 |   |   | 10 |   |
|                                 |   | Investee     |   | Dividends              |   |                            | -      |                                          |   | 118 |   |   | - |   |   | - |   |   | - |   |   | - |   |
| Ajay      North America LLC          |   | Investee     |   | Sales      of Products |   |                            | 13,839 |                                          |   | 28,676 |   |   | 17,281 |   |   | 610 |   |   | 9,970 |   |   | 8,060 |   |
|                                 |   | Investee     |   | Dividends              |   |                            | 453    |                                          |   | 760 |   |   | - |   |   | - |   |   | - |   |   | - |   |
| Kowa      Company Ltd.               |   | Shareholder  |   | Sales      of Products |   |                            | 59,233 |                                          |   | 100,633 |   |   | 84,701 |   |   | 15,321 |   |   | 41,066 |   |   | 50,770 |   |
|                                 |   | Shareholder  |   | Sales      of Services |   |                            | 185    |                                          |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |
| Nu3      B.V.                        |   | Investee     |   | Sales      of Products |   |                            | -      |                                          |   | 14,384 |   |   | 9,025 |   |   | - |   |   | 2,425 |   |   | 279 |   |
|                                 |   | Investee     |   | Sales      of Services |   |                            | -      |                                          |   | 109 |   |   | - |   |   | - |   |   | 109 |   |   | - |   |
| Nu3      N.V.                        |   | Investee     |   | Sales      of Products |   |                            | -      |                                          |   | 18,166 |   |   | 6,545 |   |   | - |   |   | 5,716 |   |   | 2,026 |   |
| Doktor      Tarsa Tarim Sanayi AS    |   | Investee     |   | Sales      of Products |   |                            | 11,030 |                                          |   | 15,590 |   |   | 7,577 |   |   | 1,134 |   |   | 6,492 |   |   | 2,159 |   |
| SQM      Agro India PVT LTD          |   | Investee     |   | Sales      of Products |   |                            | -      |                                          |   | 598 |   |   | - |   |   | - |   |   | 210 |   |   | - |   |
| MISR      Speciality                 |   | Investee     |   | Sales      of Products |   |                            | 170    |                                          |   | 733 |   |   | - |   |   | 9 |   |   | 320 |   |   | - |   |
|                                 |   | Investee     |   | Financial      Income  |   |                            | -      |                                          |   | 8 |   |   | - |   |   | - |   |   | 8 |   |   | - |   |
| Nutrisi      Holding N.V.            |   | Investee     |   | Financial      Income  |   |                            | 10,825 |                                          |   | 104 |   |   | - |   |   | 1,865 |   |   | 104 |   |   | - |   |
| Sales      de Magnesio Ltda.         |   | Investee     |   | Sales      of Products |   |                            | 908    |                                          |   | 920 |   |   | - |   |   | 828 |   |   | 334 |   |   | - |   |
|                                 |   | Investee     |   | Dividends              |   |                            | 385    |                                          |   | 491 |   |   | - |   |   | - |   |   | - |   |   | - |   |
|                                 |   | Investee     |   | Sales      of Services |   |                            | 270    |                                          |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |
| SQM      Eastemed Turkey             |   | Investee     |   | Sales      of Products |   |                            | -      |                                          |   | 397 |   |   | - |   |   | - |   |   | 240 |   |   | - |   |
| SQM      Thailand Co. Ltd.           |   | Investee     |   | Sales      of Products |   |                            | 1,716  |                                          |   | 83 |   |   | - |   |   | 351 |   |   | 69 |   |   | - |   |
| Minera      Saskatchewan Ltda. (PCS) |   | Shareholder  |   | Sales      of Products |   |                            | 34,949 |                                          |   | - |   |   | - |   |   | 16,839 |   |   | - |   |   | - |   |
|                                 |   | Shareholder  |   | Sales      of Services |   |                            | 540    |                                          |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |
| Nutrisi      Holding B.V.            |   | Investee     |   | Sales      of Products |   |                            | 10,223 |                                          |   | - |   |   | - |   |   | 1,316 |   |   | - |   |   | - |   |
|                                 |   | Investee     |   | Sales      of Services |   |                            | 106    |                                          |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |

----

|                        |   | Short-term |    |
|-----------------------------|--------|------------|---------|
|  Accounts      Payable |   | 2009       |    |   | 2008 |   |
|                        |   | ThUS$      |    |   | ThUS$ |   |
| Finished      Products      |   |       | 313,903 |   |   |   | 320,489 |   |
| Work      in Process        |   |       | 300,161 |   |   |   | 188,069 |   |
| Supplies                    |   |       | 23,625  |   |   |   | 32,169 |   |
| Total                       |   |       | 637,689 |   |   |   | 540,727 |   |

| a) | As      of December 31, 2009 and 2008 the Company has the following consolidated      balances for retained tax earnings, income not subject to taxes, tax loss      carry-forwards and credit forshareholders: |
|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                            |   | 2009   |    |   | 2008   |   |
|-----------------------------------------------------------------|--------|--------|---------|--------|--------|--------|
|                                                            |   | ThUS$  |    |   | ThUS$  |   |
| Accumulated      Tax Basis Retained Earnings with Tax Credit    |   |   | 668,670 |   |   |   | 813,716 |   |
| Accumulated      Tax Basis Retained Earnings without Tax Credit |   |   | 107,832 |   |   |   | 132,773 |   |
| Tax      Loss Carry-forwards (1)                                |   |   | 99,333  |   |   |   | 16,949 |   |
| Credit      for Shareholders (2)                                |   |   | 136,874 |   |   |   | 166,554 |   |

----

| b) | The      deferred taxes as of December 31, 2009 and 2008 represented a net      liability of ThUS$ 51,143, and ThUS$ 22,683 respectively, and consisted of      the following concepts: |
|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| As of December 31, 2009           |   | Deferred tax asset |   |   | Deferred tax liability |   |
|-------------------------------------------------------|--------|------------------------------|--------|--------|----------------------------------|--------|
|                                                  |   | Short-term                   |   |   | Long-term                        |   |   | Short-term |   |   | Long-term |   |
|                                                  |   | ThUS$                        |   |   | ThUS$                            |   |   | ThUS$ |   |   | ThUS$ |   |
| Temporary      differences                            |   |                         |   |   |                             |   |   |   |   |   |   |   |
| Allowance      for Doubtful Accounts                  |   |                         | 1,976  |   |                             |   | 1,732 |   |   |   | - |   |   |   | - |   |
| Prepaid      Income                                   |   |                         | 166    |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Vacation      Accrual                                 |   |                         | 2,295  |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Unrealized      Gain on Sale of Products              |   |                         | 53,274 |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Provision      for Obsolescence of Non-current Assets |   |                         | -      |   |                             |   | 3,433 |   |   |   | - |   |   |   | - |   |
| Production      Expenses                              |   |                         | -      |   |                             |   | - |   |   |   | 39,660 |   |   |   | - |   |
| Accelerated      Depreciation of PP&E             |   |                         | -      |   |                             |   | - |   |   |   | - |   |   |   | 81,099 |   |
| Exploration      Expenses                             |   |                         | -      |   |                             |   | - |   |   |   | - |   |   |   | 5,263 |   |
| Capitalized      Interest                             |   |                         | -      |   |                             |   | - |   |   |   | - |   |   |   | 11,222 |   |
| Staff      Severance Indemnities                      |   |                         | -      |   |                             |   | - |   |   |   | - |   |   |   | 2,756 |   |
| Fair      Value of PP&E                           |   |                         | -      |   |                             |   | 2,852 |   |   |   | - |   |   |   | - |   |
| Capitalized      Expenses                             |   |                         | -      |   |                             |   | - |   |   |   | - |   |   |   | 2,015 |   |
| Tax      Losses Carry-Forwards                        |   |                         | -      |   |                             |   | 18,206 |   |   |   | - |   |   |   | - |   |
| Derivatives                                           |   |                         | -      |   |                             |   | - |   |   |   | 10,948 |   |   |   | - |   |
| Employee      Benefits                                |   |                         | 1,105  |   |                             |   | 5,075 |   |   |   | - |   |   |   | - |   |
| Deferred      Mining Activity Royalty Taxes           |   |                         | 886    |   |                             |   | - |   |   |   | 4,017 |   |   |   | 4,546 |   |
| Accrued      Interest                                 |   |                         | 393    |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Other                                                 |   |                         | 4,538  |   |                             |   | 13,237 |   |   |   | 1 |   |   |   | 1,485 |   |
| Total      gross deferred taxes                       |   |                         | 64,633 |   |                             |   | 44,535 |   |   |   | 54,626 |   |   |   | 108,386 |   |
| Total      complementary accounts                     |   |                         | -      |   |                             |   | - |   |   |   | - |   |   |   | (11,364 | ) |
| Valuation      allowance                              |   |                         | (4,630 | )      |                             |   | (4,033 | ) |   |   | - |   |   |   | - |   |
| Total      deferred taxes                             |   |                         | 60,003 |   |                             |   | 40,502 |   |   |   | 54,626 |   |   |   | 97,022 |   |
| Deferred      tax asset/liability, net                |   |                         | 5,377  |   |                             |   | - |   |   |   | - |   |   |   | 56,520 |   |

----

| b) | Deferred      taxes (continued) |
|----|---------------------------------|

| As of December 31, 2008           |   | Deferred tax asset |    |   | Deferred tax liability |   |
|-------------------------------------------------------|--------|------------------------------|---------|--------|----------------------------------|--------|
|                                                  |   | Short-term                   |    |   | Long-term                        |   |   | Short-term |   |   | Long-term |   |
|                                                  |   | ThUS$                        |    |   | ThUS$                            |   |   | ThUS$ |   |   | ThUS$ |   |
| Temporary      differences                            |   |                         |    |   |                             |   |   |   |   |   |   |   |
| Allowance      for Doubtful Accounts                  |   |                         | 1,029   |   |                             |   | 897 |   |   |   | - |   |   |   | - |   |
| Prepaid      Income                                   |   |                         | 1,711   |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Vacation      Accrual                                 |   |                         | 1,734   |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Unrealized      Gain on Sale of Products              |   |                         | 76,633  |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Provision      for Obsolescence of Non-current Assets |   |                         | -       |   |                             |   | 3,940 |   |   |   | - |   |   |   | - |   |
| Production      Expenses                              |   |                         | -       |   |                             |   | - |   |   |   | 29,774 |   |   |   | - |   |
| Accelerated      Depreciation of PP&E             |   |                         | -       |   |                             |   | - |   |   |   | - |   |   |   | 72,211 |   |
| Exploration      Expenses                             |   |                         | -       |   |                             |   | - |   |   |   | - |   |   |   | 4,702 |   |
| Capitalized      Interest                             |   |                         | -       |   |                             |   | - |   |   |   | - |   |   |   | 9,252 |   |
| Staff      Severance Indemnities                      |   |                         | -       |   |                             |   | - |   |   |   | - |   |   |   | 1,935 |   |
| Fair      Value of PP&E                           |   |                         | -       |   |                             |   | 3,153 |   |   |   | - |   |   |   | - |   |
| Capitalized      Expenses                             |   |                         | -       |   |                             |   | - |   |   |   | - |   |   |   | 826 |   |
| Tax      Losses Carry-Forwards                        |   |                         | -       |   |                             |   | 4,362 |   |   |   | - |   |   |   | - |   |
| Derivatives                                           |   |                         | 629     |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Employee      Benefits                                |   |                         | 11      |   |                             |   | 2,904 |   |   |   | - |   |   |   | - |   |
| Deferred      Mining Activity Royalty Taxes           |   |                         | 971     |   |                             |   | 494 |   |   |   | 2,625 |   |   |   | 4,384 |   |
| Accrued      Interest                                 |   |                         | 504     |   |                             |   | - |   |   |   | - |   |   |   | - |   |
| Other                                                 |   |                         | 4,785   |   |                             |   | 11,623 |   |   |   | - |   |   |   | 370 |   |
| Total      gross deferred taxes                       |   |                         | 88,007  |   |                             |   | 27,373 |   |   |   | 32,399 |   |   |   | 93,680 |   |
| Total      complementary accounts                     |   |                         | -       |   |                             |   | - |   |   |   | - |   |   |   | (13,515 | ) |
| Valuation      allowance                              |   |                         | (20,806 | )      |                             |   | (4,693 | ) |   |   | - |   |   |   | - |   |
| Total      deferred taxes                             |   |                         | 67,201  |   |                             |   | 22,680 |   |   |   | 32,399 |   |   |   | 80,165 |   |
| Deferred      tax asset/liability, net                |   |                         | 34,802  |   |                             |   | - |   |   |   | - |   |   |   | 57,485 |   |

| c) | Income      tax expense in the years ended December 31, 2009, 2008 and 2007 is      summarized as follows: |
|----|------------------------------------------------------------------------------------------------------------|

|                                                                                          |   | 2009   |    |   | 2008   |   |     | 2007   |   |
|-----------------------------------------------------------------------------------------------|--------|--------|---------|--------|--------|--------|----------|--------|--------|
|                                                                                          |   | ThUS$  |    |   | ThUS$  |   |     | ThUS$  |   |
| Tax      Expense Adjustment (prior year)                                                      |   |   | (4,433  | )      |   |   | 576      |   |   |   | 132 |   |
| Provision      for Current Income Tax                                                         |   |   | (52,563 | )      |   |   | (147,694 | )      |   |   | (38,218 | ) |
| Effect      of Deferred Tax Assets and Liabilities                                            |   |   | (56,198 | )      |   |   | 45,786   |   |   |   | 3,380 |   |
| Tax      Benefit for Tax Losses                                                               |   |   | 13,803  |   |   |   | (20,652  | )      |   |   | (6,213 | ) |
| Effect      of Amortization of Complementary Accounts                                         |   |   | (2,151  | )      |   |   | (2,111   | )      |   |   | (5,508 | ) |
| Effect      on Deferred Tax Assets and Liabilities due to Changes in Valuation      Allowance |   |   | 16,452  |   |   |   | 13,230   |   |   |   | (2,182 | ) |
| Other      tax Charges and Credits                                                            |   |   | 8,558   |   |   |   | 2,914    |   |   |   | 17 |   |
| Total      Income Tax Expense                                                                 |   |   | (76,532 | )      |   |   | (107,951 | )      |   |   | (48,592 | ) |

----

|                                            |   | As      of December 31, |       |
|-------------------------------------------------|--------|-------------------------|------------|
|                                            |   | 2009                    |       |   | 2008 |   |
|                                            |   | ThUS$                   |       |   | ThUS$ |   |
| Land                                            |   |                    |       |   |   |   |
| Land                                            |   |                    | 82,081     |   |   |   | 80,529 |   |
| Mining      concessions                         |   |                    | 30,086     |   |   |   | 30,086 |   |
| Subtotal                                        |   |                    | 112,167    |   |   |   | 110,615 |   |
|                                            |   |                    |       |   |   |   |   |   |
| Buildings      and Infrastructure               |   |                    |       |   |   |   |   |   |
| Buildings                                       |   |                    | 185,356    |   |   |   | 176,327 |   |
| Installations                                   |   |                    | 445,972    |   |   |   | 389,353 |   |
| Construction-in-Progress                        |   |                    | 278,559    |   |   |   | 181,730 |   |
| Other                                           |   |                    | 294,268    |   |   |   | 230,135 |   |
| Subtotal                                        |   |                    | 1,204,155  |   |   |   | 977,545 |   |
|                                            |   |                    |       |   |   |   |   |   |
| Machinery      and Equipment                    |   |                    |       |   |   |   |   |   |
| Machinery                                       |   |                    | 636,335    |   |   |   | 602,490 |   |
| Equipment                                       |   |                    | 176,919    |   |   |   | 149,907 |   |
| Project-in-progress                             |   |                    | 71,137     |   |   |   | 30,682 |   |
| Other                                           |   |                    | 49,954     |   |   |   | 41,030 |   |
| Subtotal                                        |   |                    | 934,345    |   |   |   | 824,109 |   |
|                                            |   |                    |       |   |   |   |   |   |
| Other      Fixed Assets                         |   |                    |       |   |   |   |   |   |
| Tools                                           |   |                    | 11,615     |   |   |   | 10,808 |   |
| Furniture      and office equipment             |   |                    | 15,910     |   |   |   | 16,009 |   |
| Project-in-progress                             |   |                    | 29,720     |   |   |   | 22,345 |   |
| Other                                           |   |                    | 12,270     |   |   |   | 12,673 |   |
| Subtotal                                        |   |                    | 69,515     |   |   |   | 61,835 |   |
|                                            |   |                    |       |   |   |   |   |   |
| Amounts      related to technical appraisal     |   |                    |       |   |   |   |   |   |
| Land                                            |   |                    | 7,839      |   |   |   | 7,839 |   |
| Buildings      and infrastructure               |   |                    | 41,439     |   |   |   | 41,439 |   |
| Machinery      and equipment                    |   |                    | 12,048     |   |   |   | 12,048 |   |
| Other      assets                               |   |                    | 53         |   |   |   | 53 |   |
| Subtotal                                        |   |                    | 61,379     |   |   |   | 61,379 |   |
|                                            |   |                    |       |   |   |   |   |   |
| Total      property, plant and equipment (cost) |   |                    | 2,381,561  |   |   |   | 2,035,483 |   |
|                                            |   |                    |       |   |   |   |   |   |
| Less:      Accumulated depreciation             |   |                    |       |   |   |   |   |   |
| Buildings      and infrastructure               |   |                    | (472,950   | ) |   |   | (391,487 | ) |
| Machinery      and equipment                    |   |                    | (513,192   | ) |   |   | (449,558 | ) |
| Other      fixed assets                         |   |                    | (30,826    | ) |   |   | (35,264 | ) |
| Technical      appraisal                        |   |                    | (40,188    | ) |   |   | (39,254 | ) |
| Total      accumulated depreciation             |   |                    | (1,057,156 | ) |   |   | (915,563 | ) |
|                                            |   |                    |       |   |   |   |   |   |
| Net      property, plant and equipment          |   |                    | 1,324,405  |   |   |   | 1,119,920 |   |

----

|                                     |   | For the years ended December 31, |    |
|------------------------------------------|--------|-----------------------------------------------------------|---------|
|                                     |   | 2009                                                      |    |   | 2008 |   |   | 2007 |   |
|                                     |   | ThUS$                                                     |    |   | ThUS$ |   |   | ThUS$ |   |
| Buildings      and infrastructure        |   |                                                      | (77,641 | ) |   |   | (53,152 | ) |   |   | (44,135 | ) |
| Machinery      and equipment             |   |                                                      | (69,278 | ) |   |   | (53,104 | ) |   |   | (46,210 | ) |
| Other      property, plant and equipment |   |                                                      | (3,867  | ) |   |   | (3,180 | ) |   |   | (6,342 | ) |
| Technical      appraisal                 |   |                                                      | (935    | ) |   |   | (1,139 | ) |   |   | (1,139 | ) |
| Total      Depreciation                  |   |                                                      | 151,721 |   |   |   | (110,575 | ) |   |   | (97,826 | ) |

|                                 |   | As of December 31, |   |
|--------------------------------------|--------|-----------------------------------|--------|
|                                 |   | 2009                              |   |   | 2008 |   |
|                                 |   | ThUS$                             |   |   | ThUS$ |   |
| Administrative      Office Buildings |   |                              | 1,988  |   |   |   | 1,988 |   |
| Accumulated      Depreciation        |   |                              | (583   | ) |   |   | (552 | ) |
| Total      Assets in Leasing         |   |                              | 1,405  |   |   |   | 1,436 |   |

| a) | Information      on Foreign Investments |
|----|-----------------------------------------|

| b) | Significant      Transactions Involving RelatedParties |
|----|--------------------------------------------------------|

|      | · | On      April 30, 2009, the SQM’s Directors agreed to authorize signing of a      supply agreement by which SQM Salar S.A., subsidiary will sell PCS Sales      (USA) Inc. (PCS), a subsidiary of Potash Corporation of Saskatchewan Inc.      (SQM’s shareholder) between 25,000 and 150,000 tons of potassium chloride      per year that will be sold by PCS in Japan, India and China. These sales      may occur from May 1, 2009 to May 1, 2010, under terms and conditions      identical to those observed in the market at that  time. |
|--------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| b) | Significant      Transactions Involving Related Parties  (continued) |
|----|----------------------------------------------------------------------|

|             | · | On      July 14, 2009, the subsidiary Comercial Agrorama Callegari Limitada was      formed, to which Soquimich Comercial S.A. contributed capital of ThUS$      1,021 obtaining 70% participation in the capital of that      entity. |
|--------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|      | · | On      October 9, 2009, the subsidiary Soquimich European Holdings formed a joint      venture with Coromandel Fertilizars Limited called Coromandel SQM; each      party contributed capital of ThUS$ 2,200 for a 50%  share. |
|--------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|      | · | On      March 18, 2009, a shareholder agreement between SQM Industrial S.A. and      Migao Corporation was signed to form Sichuan SQM-Migao Chemical Fertilizer      Co. Ltd.  SQM Industrial S.A. made its first capital      contribution of ThUS$ 3,000 on November 6, 2009 from a total committed of      ThUS$ 10,000 that each party will contribute. These additional      contributions will be made during2010. |
|--------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|      | · | On December 17, 2009, Soquimich      European Holdings B.V. acquired 51% of SQM Agro India Pvt. Ltd. for ThUS$      50.  With this acquisition, it now holds 100% of this      entity. |
|--------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|      | · | On      December 29, 2009, a joint venture agreement was signed with the Roullier      Group for the company SQM Dubai-Fzco., decreasing our share from 100% to      50%. On the same date, the company changed its name to SQM Vitas. We      recorded a gain from that transaction of ThUS$ 3,019, which is presented      in Other non-operating income. |
|--------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|      | · | On      April 24, 2008, the subsidiary Agricolima S.A. was sold to Mr. Carlos      Federico Valenzuela Cadena, Mr. Diego Valenzuela Cadena and Mr. Jesús      Angel Morelos Montfort, creating a gain on sale of investment of ThUS$      1,387. |
|--------------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|      | · | On      January 12, 2007, the subsidiary PTM SQM Ibérica S.A. was liquidated and      extinguished. This operation gave rise to a loss of ThUS$ 41 in the      subsidiary Soquimich European HoldingB.V. |
|--------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|             | · | On      December 7, 2007, SQM North America Corp. sold to Nautilus International      Holding Corporation all the rights which SQM North America Corp had in      Cape Fear Bulk LLC for ThUS$ 1,478, and recorded a gain from the sale of      investments of ThUS$ 1,316. |
|--------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| c) | Investments      with Less Than 20% Ownership |
|----|-----------------------------------------------|

----

| d) | Detail      of Investments in Related Companies |
|----|-------------------------------------------------|

|                                                |   | Country        |   | Currency       |   | Ownership Interest |   | Equity of Investment |   | Carrying value |   | Net Income (Loss) |   | Equity Participationin Net Income (Loss) |   |
|-----------------------------------------------------|--------|----------------|--------|----------------|--------|-------------------------|--------|--------------------------------|--------|---------------------|--------|-----------------------------|--------|--------------------------------------------------------------|--------|
| Company                                             |   | of origin |   | of origin |   | 2009                    |   | 2008                           |   | 2007                |   | 2009                        |   | 2008                                                         |   | 2009 |   | 2008 |   | 2009 |   | 2008 |   | 2007 |   | 2009 |   | 2008 |   | 2007 |   |
|                                                |   |           |   |           |   | %                       |   | %                              |   | %                   |   | ThUS$                       |   | ThUS$                                                        |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   | ThUS$ |   |
| Doktor      Tarsa Tarim Sanayi AS                   |   | Turkey         |   | Euros          |   |                    | 50.00  |                           |   | 50.00               |   |                        | 50.00  |                                                         |   | 16,894 |   |   | 22,424 |   |   | 8,492 |   |   | 11,212 |   |   | 3,678 |   |   | 12,669 |   |   | 2,027 |   |   | 1,839 |   |   | 6,335 |   |   | 1,014 |   |
| Nutrisi      Holding N.V.                           |   | Belgium        |   | Euros          |   |                    | 50.00  |                           |   | 50.00               |   |                        | 50.00  |                                                         |   | 12,866 |   |   | 14,494 |   |   | 6,239 |   |   | 6,823 |   |   | (2,120 | ) |   | 4,634 |   |   | 1,163 |   |   | (831 | ) |   | 2,017 |   |   | 581 |   |
| Abu      Dhabi Fertilizer  Industries WWL |   | U.A.E.         |   | US$            |   |                    | 50.00  |                           |   | 50.00               |   |                        | 50.00  |                                                         |   | 12,143 |   |   | 10,555 |   |   | 6,072 |   |   | 5,277 |   |   | 1,547 |   |   | 5,842 |   |   | 794 |   |   | 773 |   |   | 2,921 |   |   | 397 |   |
| Ajay      North America LLC                         |   | USA            |   | US$            |   |                    | 49.00  |                           |   | 49.00               |   |                        | 49.00  |                                                         |   | 15,669 |   |   | 12,482 |   |   | 6,653 |   |   | 4,892 |   |   | 4,097 |   |   | 2,067 |   |   | 1,284 |   |   | 2,008 |   |   | 1,013 |   |   | 629 |   |
| Ajay      Europe S.A.R.L.                           |   | France         |   | Euros          |   |                    | 50.00  |                           |   | 50.00               |   |                        | 50.00  |                                                         |   | 10,974 |   |   | 10,033 |   |   | 3,921 |   |   | 4,282 |   |   | 1,449 |   |   | 1,625 |   |   | 1,474 |   |   | 725 |   |   | 813 |   |   | 737 |   |
| Misr      Speciality Fertilizers                    |   | Egypt          |   | US$            |   |                    | 47.49  |                           |   | 47.49               |   |                        | 47.49  |                                                         |   | 3,749 |   |   | 4,733 |   |   | 1,780 |   |   | 2,247 |   |   | (882 | ) |   | 622 |   |   | (140 | ) |   | (419 | ) |   | 295 |   |   | (67 | ) |
| Charlee      SQM Thailand Co Ltd.                   |   | Thailand       |   | US$            |   |                    | 40.00  |                           |   | 40.00               |   |                        | 40.00  |                                                         |   | 3,694 |   |   | 3,535 |   |   | 1,478 |   |   | 1,414 |   |   | 430 |   |   | 1,016 |   |   | 77 |   |   | 172 |   |   | 407 |   |   | 31 |   |
| Sales      de Magnesio Ltda.                        |   | Chile          |   | Ch$            |   |                    | 50.00  |                           |   | 50.00               |   |                        | 50.00  |                                                         |   | 656 |   |   | 946 |   |   | 328 |   |   | 473 |   |   | 354 |   |   | 697 |   |   | 509 |   |   | 177 |   |   | 349 |   |   | 254 |   |
| SQM      Eastmed Turkey                             |   | Turkey         |   | Euros          |   |                    | 50.00  |                           |   | 50.00               |   |                        | 50.00  |                                                         |   | 402 |   |   | 437 |   |   | 201 |   |   | 219 |   |   | (11 | ) |   | 270 |   |   | (7 | ) |   | (5 | ) |   | 135 |   |   | (4 | ) |
| SQM      Agro India Pvt. Ltd..                      |   | India          |   | US$            |   |                    | -      |                           |   | 49.00               |   |                        | 49.00  |                                                         |   | 38 |   |   | 191 |   |   | - |   |   | 94 |   |   | (213 | ) |   | 153 |   |   | (13 | ) |   | - |   |   | 75 |   |   | (6 | ) |
| Asociciación      Garantizadora de Pensiones   |   | Chile          |   | Ch$            |   |                    | 3.31   |                           |   | 3.31                |   |                        | 3.31   |                                                         |   | 610 |   |   | 536 |   |   | 20 |   |   | 18 |   |   | (45 | ) |   | (5 | ) |   | - |   |   | - |   |   | - |   |   | - |   |
| SQM      Vitas                                      |   | U.E.A.         |   | Dirham         |   |                    | 50.00  |                           |   | -                   |   |                        | -      |                                                         |   | 33,007 |   |   | - |   |   | 16,503 |   |   | - |   |   | (4,598 | ) |   | - |   |   | - |   |   | 36 |   |   | - |   |   | - |   |
| SQM      Migao Chemical Fertilized Co Ltda.         |   | China          |   | US$            |   |                    | 50.00  |                           |   | -                   |   |                        | -      |                                                         |   | 8,467 |   |   | - |   |   | 2,988 |   |   | - |   |   | (33 | ) |   | - |   |   | - |   |   | (12 | ) |   | - |   |   | - |   |
| Coromandel      SQM India                           |   | India          |   | US$            |   |                    | 50.00  |                           |   | -                   |   |                        | -      |                                                         |   | 1,060 |   |   | - |   |   | 530 |   |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |   | - |   |
| Total                                               |   |           |   |           |   |                    |   |                           |   |                |   |                        |   |                                                         |   |   |   |   |   |   |   | 55,205 |   |   | 36,951 |   |   |   |   |   |   |   |   |   |   |   | 4,463 |   |   | 14,360 |   |   | 3,566 |   |

----

| a) | Goodwill |
|----|----------|

|                                     |   | Balance as of December 31, |   |   | Amortization for the year endedDecember 31, |   |
|------------------------------------------|--------|------------------------------------------------|--------|--------|----------------------------------------------------------------------|--------|
| Company                                  |   | 2009                                           |   |   | 2008                                                                 |   |   | 2009 |   |   | 2008 |   |   | 2007 |   |
|                                     |   | ThUS$                                          |   |   | ThUS$                                                                |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |
|                                     |   |                                           |   |   |                                                                 |   |   |   |   |   |   |   |   |   |   |
| SQM      Potassium S.A.                  |   |                                           | 1,012  |   |                                                                 |   | 1,157 |   |   |   | 144 |   |   |   | 145 |   |   |   | 145 |   |
| Comercial      Hydro S.A.                |   |                                           | 565    |   |                                                                 |   | 737 |   |   |   | 170 |   |   |   | 208 |   |   |   | 245 |   |
| SQM      Industrial S.A.                 |   |                                           | 16,691 |   |                                                                 |   | 17,803 |   |   |   | 1,113 |   |   |   | 1,113 |   |   |   | 1,113 |   |
| SQM      México S.A. de C.V.        |   |                                           | 669    |   |                                                                 |   | 723 |   |   |   | 56 |   |   |   | 56 |   |   |   | 56 |   |
| Comercial      Caiman Internacional S.A. |   |                                           | 63     |   |                                                                 |   | 85 |   |   |   | 23 |   |   |   | 23 |   |   |   | 23 |   |
| SQM      Dubai Fzco                      |   |                                           | 1,579  |   |                                                                 |   | 1,682 |   |   |   | 101 |   |   |   | 101 |   |   |   | 101 |   |
| Iodine      Minera B.V.                  |   |                                           | 9,146  |   |                                                                 |   | 9,714 |   |   |   | 569 |   |   |   | 569 |   |   |   | 569 |   |
| Total                                    |   |                                           | 29,725 |   |                                                                 |   | 31,901 |   |   |   | 2,176 |   |   |   | 2,215 |   |   |   | 2,252 |   |

| b) | Negative      goodwill |
|----|------------------------|

|                            |   | Balance as of December 31, |   |   | Amortization for the year endedDecember 31, |   |
|---------------------------------|--------|------------------------------------------------|--------|--------|----------------------------------------------------------------------|--------|
| Company                         |   | 2009                                           |   |   | 2008                                                                 |   |   | 2009 |   |   | 2008 |   |   | 2007 |   |
|                            |   | ThUS$                                          |   |   | ThUS$                                                                |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |
|                            |   |                                           |   |   |                                                                 |   |   |   |   |   |   |   |   |   |   |
| Minera      Nueva Victoria S.A. |   |                                           | (1,073 | )      |                                                                 |   | (1,279 | ) |   |   | - |   |   |   | - |   |   |   | - |   |
| Total                           |   |                                           | (1,073 | )      |                                                                 |   | (1,279 | ) |   |   | - |   |   |   | - |   |   |   | - |   |

----

|                                             |   | As of December 31, |
|--------------------------------------------------|--------|-----------------------------------|
| Description                                      |   | 2009                              |   |   | 2008 |   |
|                                             |   | ThUS$                             |   |   | ThUS$ |   |
| Engine      and Equipment spare-parts, net (1)   |   |                              | 335 |   |   |   | 2,306 |   |
| Mine      Development Costs                      |   |                              | 26,832 |   |   |   | 24,892 |   |
| Construction      of Salar-Baquedano Road        |   |                              | 930 |   |   |   | 1,050 |   |
| Deferred      Loan Issuance Costs (2)            |   |                              | 1,192 |   |   |   | 320 |   |
| Cost      of Issuance and Placement of Bonds (3) |   |                              | 9,679 |   |   |   | 4,278 |   |
| Other                                            |   |                              | 4,050 |   |   |   | 1,580 |   |
| Total                                            |   |                              | 43,018 |   |   |   | 34,426 |   |

|                                      |   | As      of December 31, |   |
|-------------------------------------------|--------|-------------------------|--------|
| Bank      or Financial Institution        |   | 2009                    |   |   | 2008 |   |
|                                      |   | ThUS$                   |   |   | ThUS$ |   |
| BBVA      Chile                           |   |                    | 31,138 |   |   |   | - |   |
| HSBC      Bank Chile                      |   |                    | 15,090 |   |   |   | 15,266 |   |
| Banco      Estado                         |   |                    | 20,813 |   |   |   | - |   |
| JP      Morgan Chase Bank                 |   |                    | -      |   |   |   | 20,317 |   |
| BBVA      Banco Bilbao Vizcaya Argentaria |   |                    | -      |   |   |   | 40,524 |   |
| Banco      Santander Santiago             |   |                    | -      |   |   |   | 20,075 |   |
| Banco      de Crédito e Inversiones  |   |                    | -      |   |   |   | 35,518 |   |
| Fortis      Bank                          |   |                    | 1,618  |   |   |   | 641 |   |
| Banesto                                   |   |                    | 1,234  |   |   |   | 390 |   |
| Deustsche      Bank España S.A.      |   |                    | 288    |   |   |   | 408 |   |
| Caixa      Penedes de España         |   |                    | 187    |   |   |   | 194 |   |
| HSBC      Bank Middle East Ltd.           |   |                    | -      |   |   |   | 22 |   |
| Total                                     |   |                    | 70,368 |   |   |   | 133,355 |   |
|                                      |   |                    |   |   |   |   |   |   |
| Annual      average interest rate         |   |                    | 4.60   | % |   |   | 7.16 | % |

----

|                                             |   | As      of December 31, |    |
|--------------------------------------------------|--------|-------------------------|---------|
| Bank      or Financial Institution               |   | 2009                    |    |   | 2008 |   |
|                                             |   | ThUS$                   |    |   | ThUS$ |   |
| BBVA      Banco Bilbao Vizcaya Argentaria (1)    |   |                    | 100,053 |   |   |   | 100,204 |   |
| Export      Development Canada (2)               |   |                    | 50,019  |   |   |   | 50,032 |   |
| ING      Capital LLC (3)                         |   |                    | 80,055  |   |   |   | 80,215 |   |
| Caja      de Ahorro y Monte de Piedra Madrid (4) |   |                    | 40,043  |   |   |   | - |   |
| Banco      Estado NY Branch (5)                  |   |                    | 170,988 |   |   |   | - |   |
| BBVA      Bancomer (6)                           |   |                    | 75,000  |   |   |   | - |   |
| Total                                            |   |                    | 516,158 |   |   |   | 230,451 |   |
|                                             |   |                    |    |   |   |   |   |   |
| Including:      Current portion                  |   |                    | 151,158 |   |   |   | 451 |   |
|                                             |   |                    |    |   |   |   |   |   |
| Long-term      portion                           |   |                    | 365,000 |   |   |   | 230,000 |   |

|   | (1) | U.S.      dollar-denominated loan without guarantee, interest rate of Libor + 0.375%      per annum payable quarterly. The principal is due on March 3,      2010. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | U.S.      dollar denominated loan without guarantee, interest rate of Libor + 1.5%      per-annum payable quarterly. The principal is due on November 30,      2010. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | U.S.      dollar-denominated loan without guarantee, interest rate of Libor + 2.62%      per annum payable semi-annually. The principal is due on November 28,      2011. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (4) | U.S.      dollar-denominated loan, variable interest rate currently at 0.43125% per      annum payable semiannually. The principal is due on December 22,      2010. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (5) | U.S.      dollar-denominated loan, variable interest rate currently at 2.5625% per      annum payable semiannually. The principal is due on September 11,      2012. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (6) | U.S.      dollar-denominated loan, variable interest rate currently at 3.25063% per      annum payable quarterly. The principal is due on June 24,      2012. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------|

| c) | The      maturity of long-term debt since December 31, 2009 and 2008, respectively      is as follows: |
|----|--------------------------------------------------------------------------------------------------------|

|                                    |   | As of December 31, |    |
|-----------------------------------------|--------|-----------------------------------|---------|
| Years      to Maturity                  |   | 2009                              |    |   | 2008 |   |
|                                    |   | ThUS$                             |    |   | ThUS$ |   |
| Current      Portion (less than 1 year) |   |                              | 151,158 |   |   |   | 451 |   |
| 1      to 2 years                       |   |                              | 110,000 |   |   |   | 150,000 |   |
| 2      to 3 years                       |   |                              | 115,000 |   |   |   | 80,000 |   |
| 3      to 5 years                       |   |                              | 140,000 |   |   |   | - |   |
| Total                                   |   |                              | 516,158 |   |   |   | 230,451 |   |

----

| a) | Bonds      payable |
|----|--------------------|

|      |   | 2009   |    |   | 2008   |   |
|-----------|--------|--------|---------|--------|--------|--------|
|      |   | UF     |    |   | ThUS$  |   |   | UF |   |   | ThUS$ |   |
| Principal |   |   | 150,000 |   |   |   | 5,967 |   |   |   | 150,000 |   |   |   | 5,572 |   |
| Interest  |   |   | 105,456 |   |   |   | 4,191 |   |   |   | 111,398 |   |   |   | 4,145 |   |

|     |   | 2009   |   |   | 2008   |   |
|----------|--------|--------|--------|--------|--------|--------|
|     |   | ThUS$  |   |   | ThUS$  |   |
| Interest |   |   | 12,250 |   |   |   | 12,250 |   |

|                           |   | 2009   |   |
|--------------------------------|--------|--------|--------|
|                           |   | ThUS$  |   |
| Interest      – Series G |   |   | 1,329  |   |
| Interest      – Series H |   |   | 3,727  |   |

----

|                           |   | 2009   |   |
|--------------------------------|--------|--------|--------|
|                           |   | ThUS$  |   |
| Interest      – Series J |   |   | 2,583  |   |
| Interest      – Series I |   |   | 851    |   |

| Number ofregistration ofthe instrument |   | Series |   |   | NominalAmount |       | Currency orindexationunit |   | InterestRate |   |   | Matures on |   | Payment ofinterest |   | Repayment ofprincipal |   | Balance asof Dec 31,2009 |   |   | Balance asof Dec 31,2008 |   |
|-------------------------------------------------------|--------|--------|--------|--------|---------------|------------|--------------------------------|--------|--------------|--------|--------|-----------------|--------|-------------------------|--------|----------------------------|--------|-----------------------------------------|--------|--------|-----------------------------------------|--------|
|                                                  |   |   |   |   |          |       |                           |   |         |   |   |            |   |                    |   |                       |   | ThUS$                                   |   |   | ThUS$                                   |   |
| Current      portion of long-term bonds payable:      |   |
| 446                                                   |   | C      |   |   |          | 150,000    |                           | UF     |         |   | 4.0    | %               |   | Apr 15, 2010  |   | Semi-annual                |   | Semi-annual                             |   |   | 6,537                                   |   |   |   | 5,352 |   |
| 184                                                   |   | Single |   |   |          | -          |                           | ThUS$  |         |   | 6.125  | %               |   | Jun      1, 2010        |   | Semi-annual                |   | Bullet                                  |   |   | 2,577                                   |   |   |   | 2,577 |   |
| 564                                                   |   | H      |   |   |          | -          |                           | UF     |         |   | 4.9    | %               |   | Jan      5, 2010        |   | Semi-annual                |   | Semi-annual                             |   |   | 3,891                                   |   |   |   | - |   |
| 563                                                   |   | G      |   |   |          | -          |                           | ThCh$  |         |   | 7.0    | %               |   | Jan      5, 2010        |   | Semi-annual                |   | Bullet                                  |   |   | 1,386                                   |   |   |   | - |   |
| 563                                                   |   | I      |   |   |          | -          |                           | UF     |         |   | 3.0    | %               |   | Apr      1, 2010        |   | Semi-annual                |   | Bullet                                  |   |   | 461                                     |   |   |   | - |   |
| 563                                                   |   | J      |   |   |          | -          |                           | ThCh$  |         |   | 5.5    | %               |   | Apr      1, 2010        |   | Semi-annual                |   | Bullet                                  |   |   | 1,391                                   |   |   |   | - |   |
|        Total                                     |   |   | 16,243 |   |          |       | 7,929                          |   |
|                                                  |   |   |   |   |          |       |                           |   |         |   |   |            |   |                    |   |                       |   |                                    |   |   |                                    |   |   |   |   |   |   |
| Long-term      bonds payable:                         |   |
| 446                                                   |   | C      |   |   |          | 2,400,000  |                           | UF     |         |   | 4.00   | %               |   | Dec      1, 2026        |   | Semi-annual                |   | Semi-annual                             |   |   | 99,119                                  |   |   |   | 85,940 |   |
| 184                                                   |   | Single |   |   |          | 200,000    |                           | ThUS$  |         |   | 6.125  | %               |   | Apr 15, 2016  |   | Semi-annual                |   | Bullet                                  |   |   | 200,000                                 |   |   |   | 200,000 |   |
| 564                                                   |   | H      |   |   |          | 4,000,000  |                           | UF     |         |   | 4.9    | %               |   | Jan      5, 2014        |   | Semi-annual                |   | Semi-annual                             |   |   | 41,412                                  |   |   |   | - |   |
| 563                                                   |   | G      |   |   |          | 21,000,000 |                           | ThCh$  |         |   | 7.0    | %               |   | Jan      5, 2030        |   | Semi-annual                |   | Bullet                                  |   |   | 165,197                                 |   |   |   | - |   |
| 563                                                   |   | I      |   |   |          | 1,500,000  |                           | UF     |         |   | 3.0    | %               |   | Apr      1, 2014        |   | Semi-annual                |   | Bullet                                  |   |   | 61,949                                  |   |   |   | - |   |
| 563                                                   |   | J      |   |   |          | 52,000,000 |                           | ThCh$  |         |   | 5.5    | %               |   | Apr      1, 2014        |   | Semi-annual                |   | Bullet                                  |   |   | 102,544                                 |   |   |   | - |   |
|        Total                                     |   |   |   |   |          |       |                           |   |         |   |   |            |   |                    |   |                       |   |                                    |   |   | 670,221                                 |   |   |   | 285,940 |   |

| b) | Promissory      Notes |
|----|-----------------------|

----

|                                                     |   | As      of December 31, |   |
|----------------------------------------------------------|--------|-------------------------|--------|
| Description                                              |   | 2009                    |   |   | 2008 |   |
|                                                     |   | ThUS$                   |   |   | ThUS$ |   |
| Provision      for Royalties Corfo                       |   |                    | 3,752  |   |   |   | 5,256 |   |
| Provision      for Employee Compensation and Legal Costs |   |                    | 590    |   |   |   | 715 |   |
| Taxes      and Monthly Income Tax Installment Payments   |   |                    | 6,654  |   |   |   | 11,659 |   |
| Vacation      Accrual                                    |   |                    | 13,897 |   |   |   | 10,518 |   |
| Marketing      Expenses                                  |   |                    | 150    |   |   |   | 107 |   |
| Professional      Fees                                   |   |                    | 1,347  |   |   |   | 477 |   |
| Provision      for plant suspension                      |   |                    | 6,500  |   |   |   | - |   |
| Provision      for  employees termination plan |   |                    | 2,500  |   |   |   | - |   |
| Other      Accruals                                      |   |                    | 1,801  |   |   |   | 1,682 |   |
| Total      Short-term Accrued Liabilities                |   |                    | 37,191 |   |   |   | 30,414 |   |
|                                                     |   |                    |   |   |   |   |   |   |
| Staff      Severance Indemnities                         |   |                    | 29,444 |   |   |   | 22,129 |   |
| Incentive      bonus provision (1)                  |   |                    | 20,082 |   |   |   | 12,000 |   |
| Closure      of mining sites and environmental expenses  |   |                    | 3,500  |   |   |   | 3,181 |   |
| Total      Long-term Accrued Liabilities                 |   |                    | 53,026 |   |   |   | 37,310 |   |

|                           |   | Year      ended December 31, |   |
|--------------------------------|--------|------------------------------|--------|
|                           |   | 2009                         |   |   | 2008 |   |   | 2007 |   |
|                           |   | ThUS$                        |   |   | ThUS$ |   |   | ThUS$ |   |
| Opening      balance           |   |                         | 22,129 |   |   |   | 20,679 |   |   |   | 17,472 |   |
| Increases      in obligation   |   |                         | 5,897  |   |   |   | 8,332 |   |   |   | 4,190 |   |
| Payments                       |   |                         | (2,774 | ) |   |   | (2,227 | ) |   |   | (2,245 | ) |
| Exchange      differences      |   |                         | 5,554  |   |   |   | (4,796 | ) |   |   | 1,336 |   |
| Other      difference          |   |                         | (1,362 | ) |   |   | 141 |   |   |   | (74 | ) |
| Balance      as of December 31 |   |                         | 29,444 |   |   |   | 22,129 |   |   |   | 20,679 |   |

----

|                                       |   | Participation in equity as of December 31, |   |   | Participation in (income) loss for theyears ended December 31, |   |
|--------------------------------------------|--------|--------------------------------------------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------------|--------|
| Company                                    |   | 2009                                                                     |   |   | 2008                                                                                                   |   |   | 2009 |   |   | 2008 |   |   | 2007 |   |
|                                       |   | ThUS$                                                                    |   |   | ThUS$                                                                                                  |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |
|                                       |   |                                                                     |   |   |                                                                                                   |   |   |   |   |   |   |   |   |   |   |
| Soquimich      Comercial S.A.              |   |                                                                     | 41,123 |   |                                                                                                   |   | 42,498 |   |   |   | (1,180 | ) |   |   | (2,669 | ) |   |   | (3,886 | ) |
| Ajay      SQM Chile S.A.                   |   |                                                                     | 4,292  |   |                                                                                                   |   | 4,159 |   |   |   | (354 | ) |   |   | (532 | ) |   |   | 166 |   |
| Cape      Fear Bulk LLC                    |   |                                                                     | -      |   |                                                                                                   |   | - |   |   |   | - |   |   |   | - |   |   |   | (99 | ) |
| SQM      Nitratos México S.A. de C.V. |   |                                                                     | 3      |   |                                                                                                   |   | 10 |   |   |   | 7 |   |   |   | 3 |   |   |   | 31 |   |
| Fertilizantes      Naturales S.A.          |   |                                                                     | 194    |   |                                                                                                   |   | 423 |   |   |   | 230 |   |   |   | (300 | ) |   |   | - |   |
| SQM      Indonesia S.A.                    |   |                                                                     | 1      |   |                                                                                                   |   | (30 | ) |   |   | (36 | ) |   |   | 13 |   |   |   | (1 | ) |
| SQM      Potasio S.A.                      |   |                                                                     | 11     |   |                                                                                                   |   | 9 |   |   |   | (3 | ) |   |   | (7 | ) |   |   | (3 | ) |
| Agrorama      Callegari Ltda.              |   |                                                                     | 469    |   |                                                                                                   |   | - |   |   |   | 2 |   |   |   | - |   |   |   | - |   |
| Total                                      |   |                                                                     | 46,093 |   |                                                                                                   |   | 47,069 |   |   |   | (1,334 | ) |   |   | (3,492 | ) |   |   | (3,792 | ) |

|   | (i) | Number      of Shares |
|--------|-----|-----------------------|

| Series |   | No. of shares subscribed |   | No. of shares withpreferrential voting rights |
|--------|--------|-----------------------------------------|--------|------------------------------------------------------------------------|
| A      |   | 142,819,552                             |   | 142,819,552                                                            |
| B      |   | 120,376,972                             |   | 120,376,972                                                            |

|   | (ii) | Capital      subscribed and paid |
|--------|------|----------------------------------|

|   |   | Capital subscribed |   | Capital paid |
|--------|--------|-------------------------|--------|-------------------|
| Series |   |  ThUS$             |   | ThUS$        |
| A      |   | 134,750                 |   | 134,750           |
| B      |   | 342,636                 |   | 342,636           |

----

|   | c) | Other      reserves |
|--------|----|---------------------|

|                                                   |   | Effect in income (loss) for the year endedDecember 31, |   |   | Balance as of December 31, |
|--------------------------------------------------------|--------|------------------------------------------------------------------------------------------------|--------|--------|------------------------------------------------|
| Company                                                |   | 2009                                                                                           |   |   | 2008                                           |   |   | 2007 |   |   | 2009 |   |   | 2008 |   |
|                                                   |   | ThUS$                                                                                          |   |   | ThUS$                                          |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |
| Technical      appraisal                               |   |                                                                                           | -      |   |                                           |   | - |   |   |   | - |   |   |   | 151,345 |   |   |   | 151,345 |   |
| Changes      in other reserves related to investments: |   |                                                                                           |   |   |                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Soquimich      Comercial S.A. (1)                      |   |                                                                                           | -      |   |                                           |   | - |   |   |   | 7,888 |   |   |   | 13,286 |   |   |   | 13,286 |   |
| Comercial      Hydro S.A.                              |   |                                                                                           | 946    |   |                                           |   | (725 | ) |   |   | - |   |   |   | 221 |   |   |   | (725 | ) |
| SQMC      Internacional Ltda                           |   |                                                                                           | 43     |   |                                           |   | (35 | ) |   |   | - |   |   |   | 8 |   |   |   | (35 | ) |
| Proinsa      Ltda                                      |   |                                                                                           | 32     |   |                                           |   | (26 | ) |   |   | - |   |   |   | 6 |   |   |   | (26 | ) |
| Agrorama      Callegari Ltda.                          |   |                                                                                           | 66     |   |                                           |   | - |   |   |   | - |   |   |   | 66 |   |   |   | - |   |
| Isapre      Norte Grande Limitada (1)                  |   |                                                                                           | 37     |   |                                           |   | (1 | ) |   |   | 39 |   |   |   | (8 | ) |   |   | (45 | ) |
| Inversiones      Augusta S.A. (1)                      |   |                                                                                           | -      |   |                                           |   | - |   |   |   | - |   |   |   | (761 | ) |   |   | (761 | ) |
| SQM      Ecuador S.A. (2)                              |   |                                                                                           | -      |   |                                           |   | - |   |   |   | - |   |   |   | (271 | ) |   |   | (271 | ) |
| Almacenes      y Depósitos Limitada (1)           |   |                                                                                           | 42     |   |                                           |   | - |   |   |   | 66 |   |   |   | 130 |   |   |   | 88 |   |
| Asociación      Garantizadora de Pensiones (1)    |   |                                                                                           | -      |   |                                           |   | (6 | ) |   |   | (5 | ) |   |   | (23 | ) |   |   | (23 | ) |
| Sales      de Magnesio Ltda. (1)                       |   |                                                                                           | 53     |   |                                           |   | (101 | ) |   |   | 59 |   |   |   | 63 |   |   |   | 10 |   |
| Sociedad      de Servicios de Salud                    |   |                                                                                           | 15     |   |                                           |   | - |   |   |   | 14 |   |   |   | 29 |   |   |   | 14 |   |
| SQM      North America Corp. (3)                       |   |                                                                                           | 1,129  |   |                                           |   | (2,827 | ) |   |   | (141 | ) |   |   | (3,057 | ) |   |   | (4,186 | ) |
| SQM      Dubai Fzco. (1)                               |   |                                                                                           | -      |   |                                           |   | - |   |   |   | (11 | ) |   |   | (11 | ) |   |   | (11 | ) |
| Ajay      Europe SARL (1)                              |   |                                                                                           | -      |   |                                           |   | - |   |   |   | 343 |   |   |   | 343 |   |   |   | 343 |   |
| Other      entities (1)                                |   |                                                                                           | -      |   |                                           |   | - |   |   |   | - |   |   |   | 718 |   |   |   | 718 |   |
| Total                                                  |   |                                                                                           | 2,363  |   |                                           |   | (3,721 | ) |   |   | 8,252 |   |   |   | 162,084 |   |   |   | 159,721 |   |

|   | (1) | Corresponds      to translation adjustments and effects of the price-level      restatement.  In accordance with SVS Circulars No. 368 and      1,697, this adjustment is based on equity variations of the subsidiaries      and affiliates that apply price-level restatement to paid-in capital and      to the effect generated by these items expressed in foreign      currency. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | Corresponds      to the translation adjustment produced by the application of a law      implemented by the EcuadorianGovernment. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | Corresponds      to differences in valuation of the pension plan of subsidiary SQM North      America Corp. |
|--------|-----|-------------------------------------------------------------------------------------------------------------|

----

----

| e) | Changes      in shareholders’ equity in the years ended December 31,      2009,  2008 and 2007 were asfollows: |
|----|--------------------------------------------------------------------------------------------------------------------------------|

|                                                       |   | Number         |        |   | Paid-in |   |    | Other    |   |   | Interim   |   |   | Retained |     |   | Net    |   |     |   |   |
|------------------------------------------------------------|--------|----------------|-------------|--------|---------|--------|---------|----------|--------|--------|-----------|--------|--------|----------|----------|--------|--------|--------|----------|--------|--------|
|                                                       |   | of      shares |        |   | capital |   |    | Reserves |   |   | dividends |   |   | earnings |     |   | income |   |     | Total  |   |
|                                                       |   |           |        |   | ThUS$   |   |    | ThUS$    |   |   | ThUS$     |   |   | ThUS$    |     |   | ThUS$  |   |     | ThUS$  |   |
| Balance      as of January 1, 2007                         |   |           | 263,196,524 |   |    |   | 477,386 |     |   |   | 155,190   |   |   |     | -        |   |   |   | 312,096  |   |   |   | 141,277 |   |   |   | 1,085,949 |   |
| Transfer      of the 2006 net income to retained earnings  |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | -        |   |   |   | 141,277  |   |   |   | (141,277 | ) |   |   | - |   |
| Declared      dividends                                    |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | -        |   |   |   | (91,786  | )      |   |   | - |   |   |   | (91,786 | ) |
| Changes      in other reserves                             |   |           | -           |   |    |   | -       |     |   |   | 8,252     |   |   |     | -        |   |   |   | -        |   |   |   | - |   |   |   | 8,252 |   |
| Net      income for the year 2007                          |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | -        |   |   |   | -        |   |   |   | 180,021 |   |   |   | 180,021 |   |
| Balance      as of  December  31, 2007 |   |           | 263,196,524 |   |    |   | 477,386 |     |   |   | 163,442   |   |   |     | -        |   |   |   | 361,587  |   |   |   | 180,021 |   |   |   | 1,182,436 |   |
| Balance      as of January 1, 2008                         |   |           | 263,196,524 |   |    |   | 477,386 |     |   |   | 163,442   |   |   |     | -        |   |   |   | 361,587  |   |   |   | 180,021 |   |   |   | 1,182,436 |   |
| Transfer      of the 2007 net income to retained earnings  |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | -        |   |   |   | 180,021  |   |   |   | (180,021 | ) |   |   | - |   |
| Declared      dividends                                    |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | -        |   |   |   | (117,014 | )      |   |   | - |   |   |   | (117,014 | ) |
| Interim      dividends                                     |   |           |        |   |    |   |    |     |   |   |      |   |   |     | (100,000 | )      |   |   | -        |   |   |   | - |   |   |   | (100,000 | ) |
| Changes      in other reserves                             |   |           | -           |   |    |   | -       |     |   |   | (3,721    | )      |   |     | -        |   |   |   | -        |   |   |   | - |   |   |   | (3,721 | ) |
| Net      income for the year 2008                          |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | -        |   |   |   | -        |   |   |   | 501,407 |   |   |   | 501,407 |   |
| Balance      as of December 31, 2008                       |   |           | 263,196,524 |   |    |   | 477,386 |     |   |   | 159,721   |   |   |     | (100,000 | )      |   |   | 424,594  |   |   |   | 501,407 |   |   |   | 1,463,108 |   |
| Balance      January 1,2009                                |   |           | 263,196,524 |   |    |   | 477,386 |     |   |   | 159,721   |   |   |     | (100,000 | )      |   |   | 424,594  |   |   |   | 501,407 |   |   |   | 1,463,108 |   |
| Transfer      of the 2008 net income to retained earnings  |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | -        |   |   |   | 501,407  |   |   |   | (501,407 | ) |   |   | - |   |
| Declared      dividends                                    |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | 100,000  |   |   |   | (325,914 | )      |   |   |   |   |   |   | (225,914 | ) |
| Changes      in other reserves                             |   |           | -           |   |    |   | -       |     |   |   | 2,363     |   |   |     | -        |   |   |   | -        |   |   |   | - |   |   |   | 2,363 |   |
| Interim      dividends                                     |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | (100,000 | )      |   |   | -        |   |   |   |   |   |   |   | (100,000 | ) |
| Net      income for the year 2009                          |   |           | -           |   |    |   | -       |     |   |   | -         |   |   |     | -        |   |   |   | -        |   |   |   | 327,056 |   |   |   | 327,056 |   |
| Balance      as of  December 31, 2009            |   |           | 263,196,524 |   |    |   | 477,386 |     |   |   | 162,084   |   |   |     | (100,000 | )      |   |   | 600,087  |   |   |   | 327,056 |   |   |   | 1,466,613 |   |

----

| a) | Non-operating      income |
|----|---------------------------|

|                                                                 |   | Year      ended December 31, |   |
|----------------------------------------------------------------------|--------|------------------------------|--------|
|                                                                 |   | 2009                         |   |   | 2008 |   |   | 2007 |   |
|                                                                 |   | ThUS$                        |   |   | ThUS$ |   |   | ThUS$ |   |
| Interest      income                                                 |   |                         | 13,525 |   |   |   | 13,858 |   |   |   | 9,347 |   |
| Equity      participation in income of unconsolidated investees      |   |                         | 5,717  |   |   |   | 14,360 |   |   |   | 3,643 |   |
| Sale      of cross currency swap                                     |   |                         | -      |   |   |   | - |   |   |   | 4,000 |   |
| Amounts      recovered from insurance                                |   |                         | 285    |   |   |   | 581 |   |   |   | 275 |   |
| Payment      discounts obtained from suppliers                       |   |                         | 921    |   |   |   | 815 |   |   |   | 458 |   |
| Reversal      of allowance for doubtful accounts                     |   |                         | 670    |   |   |   | 2,623 |   |   |   | 229 |   |
| Income      from rental of property, plant and equipment             |   |                         | 1,133  |   |   |   | 1,092 |   |   |   | 958 |   |
| Recovery      of doubtful accounts                                   |   |                         | 41     |   |   |   | 424 |   |   |   | 861 |   |
| Sale      of mining concessions                                      |   |                         | 2,170  |   |   |   | 721 |   |   |   | 399 |   |
| Sale      of property, plant and equipment, materials and scrapmetal |   |                         | 710    |   |   |   | 1,064 |   |   |   | - |   |
| Fines      collected from third parties                              |   |                         | 288    |   |   |   | 77 |   |   |   | 192 |   |
| Sale      of investments in related companies                        |   |                         | -      |   |   |   | 1,387 |   |   |   | 1,316 |   |
| Services      provided                                               |   |                         | 100    |   |   |   | 156 |   |   |   | 369 |   |
| Indemnities      received                                            |   |                         | 60     |   |   |   | 146 |   |   |   | 523 |   |
| Gain      on sale of assets of SQM Lithium                           |   |                         | -      |   |   |   | 2,342 |   |   |   | - |   |
| Gain      from loss of control SQM Dubai-Fzco                        |   |                         | 3,019  |   |   |   | - |   |   |   | - |   |
| Gain      from sales of easements                                    |   |                         | 10,356 |   |   |   | - |   |   |   | - |   |
| Overestimate      on staff severance indemnity provision             |   |                         | 245    |   |   |   | - |   |   |   | - |   |
| Other      income                                                    |   |                         | 1,232  |   |   |   | 944 |   |   |   | 1,166 |   |
| Net      foreign exchange gain                                       |   |                         | -      |   |   |   | - |   |   |   | 2,212 |   |
| Total                                                                |   |                         | 40,472 |   |   |   | 40,590 |   |   |   | 25,948 |   |

----

| b) | Non-operating      expenses |
|----|-----------------------------|

|                                                                                                          |   | Year      ended December 31, |    |
|---------------------------------------------------------------------------------------------------------------|--------|------------------------------|---------|
|                                                                                                          |   | 2009                         |    |   | 2008 |   |   | 2007 |   |
|                                                                                                          |   | ThUS$                        |    |   | ThUS$ |   |   | ThUS$ |   |
| Equity      participation in loss of unconsolidated investees                                                 |   |                         | (1,256  | ) |   |   | - |   |   |   | (77 | ) |
| Amortization      of goodwill                                                                                 |   |                         | (2,176  | ) |   |   | (2,215 | ) |   |   | (2,252 | ) |
| Interest      expense                                                                                         |   |                         | (30,979 | ) |   |   | (19,957 | ) |   |   | (19,949 | ) |
| Net      foreign exchange loss                                                                                |   |                         | (7,576  | ) |   |   | (15,897 | ) |   |   | - |   |
| Work      disruption expenses                                                                                 |   |                         | (416    | ) |   |   | (1,256 | ) |   |   | (844 | ) |
| Training      expenses and donations                                                                          |   |                         | (2,431  | ) |   |   | (2,152 | ) |   |   | (520 | ) |
| Non-capitalizable      exploration project expenses and provisions for damages and liquidation of      assets |   |                         | (12,348 | ) |   |   | (9,261 | ) |   |   | (16,528 | ) |
| Amortization      of intangible assets                                                                        |   |                         | (403    | ) |   |   | (403 | ) |   |   | (413 | ) |
| Allowance      for materials, spare parts and supplies                                                        |   |                         | -       |   |   |   | (4,200 | ) |   |   | (4,925 | ) |
| Provision      for legal expenses and third-party indemnities                                                 |   |                         | (451    | ) |   |   | (975 | ) |   |   | (523 | ) |
| Indemnities      paid to suppliers                                                                            |   |                         | (90     | ) |   |   | (237 | ) |   |   | (1,575 | ) |
| Provision      for plant suspension                                                                           |   |                         | (12,847 | ) |   |   | (1,189 | ) |   |   | - |   |
| Non-recoverable      taxes                                                                                    |   |                         | (612    | ) |   |   | (424 | ) |   |   | (669 | ) |
| Expenses      related to energy tariff adjustments                                                            |   |                         | -       |   |   |   | - |   |   |   | (2,066 | ) |
| Fines      paid                                                                                               |   |                         | (262    | ) |   |   | (42 | ) |   |   | - |   |
| Advisory      services                                                                                        |   |                         | (49     | ) |   |   | (84 | ) |   |   | - |   |
| Provision      for employees termination plan                                                                 |   |                         | (2,500  | ) |   |   | - |   |   |   | - |   |
| Cost      of dismissal process                                                                                |   |                         | (1,696  | ) |   |   | - |   |   |   | - |   |
| Other      expenses                                                                                           |   |                         | (1,366  | ) |   |   | (1,604 | ) |   |   | (2,691 | ) |
| Total                                                                                                         |   |                         | (77,458 | ) |   |   | (59,896 | ) |   |   | (53,032 | ) |

|                                                            |   | (Charge) Credit to income for the year endedDecember 31, |   |
|-----------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------|--------|
|                                                            |   | 2009                                                                                             |   |   | 2008 |   |   | 2007 |   |
|                                                            |   | ThUS$                                                                                            |   |   | ThUS$ |   |   | ThUS$ |   |
| Inventory                                                       |   |                                                                                             | 45     |   |   |   | - |   |   |   | 1,450 |   |
| Property,      plant and equipment                              |   |                                                                                             | (7     | ) |   |   | 44 |   |   |   | 517 |   |
| Other      assets and liabilities                               |   |                                                                                             | (10    | ) |   |   | 707 |   |   |   | 677 |   |
| Shareholders’      equity                                 |   |                                                                                             | 166    |   |   |   | (602 | ) |   |   | (7,016 | ) |
| Net      adjustment of assets and liabilities denominated in UF |   |                                                                                             | -      |   |   |   | - |   |   |   | (484 | ) |
| Net      price-level restatement                                |   |                                                                                             | 194    |   |   |   | 149 |   |   |   | (4,856 | ) |

----

|                       |   | 2009   |      |   | 2008   |   |
|----------------------------|--------|--------|-----------|--------|--------|--------|
|                       |   | ThUS$  |      |   | ThUS$  |   |
| Assets                     |   |   |      |   |   |   |
| Chilean      peso          |   |   | 339,755   |   |   |   | 105,280 |   |
| US      dollar             |   |   | 2,632,877 |   |   |   | 2,307,684 |   |
| Euro                       |   |   | 83,184    |   |   |   | 76,679 |   |
| Japanese      yen          |   |   | 1,204     |   |   |   | 1,404 |   |
| Brazilian      real        |   |   | 329       |   |   |   | 195 |   |
| Mexican      peso          |   |   | 1,790     |   |   |   | 3,525 |   |
| UF                         |   |   | 70,829    |   |   |   | 27,586 |   |
| South      African rand    |   |   | 33,565    |   |   |   | 12,298 |   |
| Dirham                     |   |   | 22,575    |   |   |   | 15,744 |   |
| Other      currencies      |   |   | 17,026    |   |   |   | 16,820 |   |
|                       |   |   |      |   |   |   |   |   |
| Current      liabilities   |   |   |      |   |   |   |   |   |
| Chilean      peso          |   |   | 150,473   |   |   |   | 121,664 |   |
| US      dollar             |   |   | 306,855   |   |   |   | 295,843 |   |
| Euro                       |   |   | 69,363    |   |   |   | 12,052 |   |
| Japanese      yen          |   |   | 46        |   |   |   | 77 |   |
| Brazilian      real        |   |   | 1,632     |   |   |   | 1,562 |   |
| Mexican      peso          |   |   | 938       |   |   |   | 934 |   |
| UF                         |   |   | 11,412    |   |   |   | 10,830 |   |
| South      African rand    |   |   | 4,697     |   |   |   | 714 |   |
| Dirham                     |   |   | -         |   |   |   | 391 |   |
| Other      currencies      |   |   | 58        |   |   |   | 1,839 |   |
|                       |   |   |      |   |   |   |   |   |
| Long-term      liabilities |   |   |      |   |   |   |   |   |
| Chilean      peso          |   |   | 193,760   |   |   |   | 18,640 |   |
| US      dollar             |   |   | 624,231   |   |   |   | 505,448 |   |
| Japanese      yen          |   |   | 326       |   |   |   | 294 |   |
| UF                         |   |   | 326,452   |   |   |   | 86,337 |   |
| Mexican      peso          |   |   | 185       |   |   |   | 403 |   |
| Other      currencies      |   |   | -         |   |   |   | 10 |   |

----

|                     |   | Other assets as of December 31, |   |   |      |   |
|--------------------------|--------|----------------------------------------------------------|--------|--------|-----------|--------|
|                     |   | Short-term                                               |   |   | Long-term |   |   | Short-term |   |   | Long-term |   |   | Amortization in the yearended December 31, |   |
| Debt                     |   | 2009                                                     |   |   | 2009      |   |   | 2008 |   |   | 2008 |   |   | 2009 |   |   | 2008 |   |   | 2007 |   |
|                     |   | ThUS$                                                    |   |   | ThUS$     |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |
| Single      series bonds |   |                                                     | 293    |   |      |   | 1,536 |   |   |   | 293 |   |   |   | 1,829 |   |   |   | 293 |   |   |   | 293 |   |   |   | 295 |   |
| Series      C bonds      |   |                                                     | 277    |   |      |   | 2,172 |   |   |   | 294 |   |   |   | 2,449 |   |   |   | 294 |   |   |   | 310 |   |   |   | 479 |   |
| Series      G bonds      |   |                                                     | 136    |   |      |   | 409 |   |   |   | - |   |   |   | - |   |   |   | 136 |   |   |   | - |   |   |   | - |   |
| Series      H bonds      |   |                                                     | 133    |   |      |   | 2,636 |   |   |   | - |   |   |   | - |   |   |   | 139 |   |   |   | - |   |   |   | - |   |
| Series      J bonds      |   |                                                     | 552    |   |      |   | 1,131 |   |   |   | - |   |   |   | - |   |   |   | 415 |   |   |   | - |   |   |   | - |   |
| Series      I bonds      |   |                                                     | 348    |   |      |   | 1,795 |   |   |   | - |   |   |   | - |   |   |   | 262 |   |   |   | - |   |   |   | - |   |
| Total                    |   |                                                     | 1,739  |   |      |   | 9,679 |   |   |   | 587 |   |   |   | 4,278 |   |   |   | 1,539 |   |   |   | 603 |   |   |   | 774 |   |

|                                                            |   | For the year ended December 31, |    |
|-----------------------------------------------------------------|--------|----------------------------------------------------------|---------|
|                                                            |   | 2009                                                     |    |   | 2008 |   |   | 2007 |   |
| Description                                                     |   | ThUS$                                                    |    |   | ThUS$ |   |   | ThUS$ |   |
|                                                            |   |                                                     |    |   |   |   |   |   |   |
| Adjustment      of provision included in other financial income |   |                                                     | (670    | ) |   |   | (2,656 | ) |   |   | (229 | ) |
| Discounts      obtained from suppliers                          |   |                                                     | (921    | ) |   |   | (815 | ) |   |   | (458 | ) |
| Gain      from sales of easements                               |   |                                                     | (5,088  | ) |   |   | - |   |   |   | - |   |
| Gain      from loss of control in SQM Dubai-Fzco                |   |                                                     | (3,018  | ) |   |   | - |   |   |   | - |   |
| Other      minor credits to income not representing cash flows  |   |                                                     | (2,572  | ) |   |   | (1,508 | ) |   |   | (1,058 | ) |
| Total                                                           |   |                                                     | (12,269 | ) |   |   | (4,979 | ) |   |   | (1,745 | ) |

----

|                                                                                                      |   | For the year ended December 31, |    |
|-----------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------|---------|
|                                                                                                      |   | 2009                                                     |    |   | 2008 |   |   | 2007 |   |
| Description                                                                                               |   | ThUS$                                                    |    |   | ThUS$ |   |   | ThUS$ |   |
|                                                                                                      |   |                                                     |    |   |   |   |   |   |   |
| Provision      for Corfo royalty payments                                                                 |   |                                                     | 3,752   |   |   |   | 5,256 |   |   |   | 3,643 |   |
| Deferred      income taxes benefit for tax loss                                                           |   |                                                     | 23,969  |   |   |   | (39,493 | ) |   |   | 10,174 |   |
| Provision      for marketing expenses                                                                     |   |                                                     | 5,554   |   |   |   | 4,584 |   |   |   | 4,317 |   |
| Provision      for employee incentive plans                                                               |   |                                                     | 20,867  |   |   |   | 28,208 |   |   |   | 13,495 |   |
| Adjustment      of provision for severance indemnities                                                    |   |                                                     | 14,458  |   |   |   | 9,234 |   |   |   | 4,736 |   |
| Provision      for income taxes                                                                           |   |                                                     | 52,563  |   |   |   | 147,694 |   |   |   | 38,218 |   |
| Adjustment      of provision for vacation                                                                 |   |                                                     | 8,389   |   |   |   | 6,975 |   |   |   | 8,300 |   |
| Non-capitalizable      exploration project expense and provisions for damages and liquidation      assets |   |                                                     | 4,226   |   |   |   | 13,158 |   |   |   | 8,806 |   |
| Accrued      expenses related to energy tariff adjustments                                                |   |                                                     | -       |   |   |   | - |   |   |   | 4,023 |   |
| Amortization      of prepaid insurance expenses                                                           |   |                                                     | 4,333   |   |   |   | 9,313 |   |   |   | 7,553 |   |
| Remuneration      of Board of Directors                                                                   |   |                                                     | 2,190   |   |   |   | 5,000 |   |   |   | 1,820 |   |
| Provision      for mine closure                                                                           |   |                                                     | -       |   |   |   | 1,190 |   |   |   | - |   |
| Adjustment      and other expenses of inventories                                                         |   |                                                     | -       |   |   |   | 3,545 |   |   |   | - |   |
| Other      charges to income not representing cash flows                                                  |   |                                                     | 15,274  |   |   |   | 11,322 |   |   |   | 2,990 |   |
| Total                                                                                                     |   |                                                     | 155,575 |   |   |   | 205,986 |   |   |   | 108,075 |   |

| Type ofderivative |   | Notional orcoveredamount |   | Expiration |                  | Risk type |               | (Liability)Assetamount |   |   | Income (loss) effect |   |
|------------------------|--------|-------------------------------|--------|------------|-----------------------|----------------|--------------------|------------------------|--------|--------|--------------------------------|--------|
|                   |   | ThUS$                         |   |       |                  |           |               | ThUS$                  |   |   | ThUS$                          |   |
| CCS      Swap (1)      |   |                          | 87,236 |       | 4th      Quarter 2026 |           | Interest      Rate |                   |   | 17,997 |                           |   |   | 16,830 |   |
| CCS      Swap (1)      |   |                          | 33,673 |       | 1st      Quarter 2014 |           | Interest      Rate |                   |   | 8,243  |                           |   |   | 7,875 |   |
| CCS      Swap (1)      |   |                          | 42,822 |       | 1st      Quarter 2013 |           | Interest      Rate |                   |   | 8,763  |                           |   |   | 9,090 |   |
| CCS      Swap (1)      |   |                          | 43,116 |       | 1st      Quarter 2013 |           | Interest      Rate |                   |   | 8,483  |                           |   |   | 8,227 |   |
| CCS      Swap (1)      |   |                          | 60,422 |       | 1st      Quarter 2013 |           | Interest      Rate |                   |   | 1,334  |                           |   |   | 593 |   |
| CCS      Swap (1)      |   |                          | 56,041 |       | 1st      Quarter 2014 |           | Interest      Rate |                   |   | 5,690  |                           |   |   | 2,991 |   |
| CCS      Swap (1)      |   |                          | 46,220 |       | 1st      Quarter 2014 |           | Interest      Rate |                   |   | 5,223  |                           |   |   | 2,845 |   |
| CCS      Swap (1)      |   |                          | 46,220 |       | 1st      Quarter 2014 |           | Interest      Rate |                   |   | 5,226  |                           |   |   | 2,887 |   |
| FX      forward        |   |                          | 4,000  |       | 1st      Quarter 2010 |           | Exchange      Rate |                   |   | (118   | )                              |   |   | (118 | ) |
| FX      forward        |   |                          | 5,000  |       | 1st      Quarter 2010 |           | Exchange      Rate |                   |   | (147   | )                              |   |   | (147 | ) |
| FX      forward        |   |                          | 3,000  |       | 1st      Quarter 2010 |           | Exchange      Rate |                   |   | (59    | )                              |   |   | (59 | ) |
| FX      forward        |   |                          | 10,000 |       | 1st      Quarter 2010 |           | Exchange      Rate |                   |   | (118   | )                              |   |   | (118 | ) |
| FX      forward        |   |                          | 4,000  |       | 1st      Quarter 2010 |           | Exchange      Rate |                   |   | (111   | )                              |   |   | (111 | ) |
| FX      forward        |   |                          | 6,000  |       | 1st      Quarter 2010 |           | Exchange      Rate |                   |   | 7      |                           |   |   | 7 |   |

----

| FX      forward |   |   | 4,000   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (113   | )      |   |   | (113   | )      |
|-----------------|--------|--------|---------|--------|----------------------------------|--------|--------------------|--------|--------|--------|--------|--------|--------|--------|--------|
| FX      forward |   |   | 2,000   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (17    | )      |   |   | (17    | )      |
| FX      forward |   |   | 4,000   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (11    | )      |   |   | (11    | )      |
| FX      forward |   |   | 8,000   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (25    | )      |   |   | (25    | )      |
| FX      forward |   |   | 6,944   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 746    |   |   |   | 746    |   |
| FX      forward |   |   | 2,870   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 285    |   |   |   | 285    |   |
| FX      forward |   |   | 16,918  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 1,816  |   |   |   | 1,816  |   |
| FX      option  |   |   | 8,879   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 160    |   |   |   | 160    |   |
| FX      option  |   |   | 5,216   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 131    |   |   |   | 131    |   |
| FX      option  |   |   | 7,265   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 1      |   |   |   | 1      |   |
| FX      option  |   |   | 8,599   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | -      |   |   |   | -      |   |
| FX      option  |   |   | 8,500   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (1     | )      |   |   | (1     | )      |
| FX      option  |   |   | 5,352   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | -      |   |   |   | -      |   |
| FX      option  |   |   | 9,157   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (98    | )      |   |   | (98    | )      |
| FX      option  |   |   | 1,987   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (41    | )      |   |   | (41    | )      |
| FX      option  |   |   | 5,287   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (98    | )      |   |   | (98    | )      |
| FX      forward |   |   | 6,879   |   | 2nd      Quarter 2010            |   | Exchange      Rate |   |   | 420    |   |   |   | 420    |   |
| FX      option  |   |   | 59,571  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | -      |   |   |   | -      |   |
| FX      forward |   |   | 10,108  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (379   | )      |   |   | (379   | )      |
| FX      forward |   |   | 15,198  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (433   | )      |   |   | (433   | )      |
| FX      forward |   |   | 8,585   |   | 1st      Quarter  2010 |   | Exchange      Rate |   |   | (203   | )      |   |   | (203   | )      |
| FX      forward |   |   | 10,048  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 293    |   |   |   | 293    |   |
| FX      forward |   |   | 10,101  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (104   | )      |   |   | (104   | )      |
| FX      forward |   |   | 20,139  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 501    |   |   |   | 501    |   |
| FX      forward |   |   | 15,168  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 310    |   |   |   | 310    |   |
| FX      forward |   |   | 5,059   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 82     |   |   |   | 82     |   |
| FX      forward |   |   | 5,062   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 140    |   |   |   | 140    |   |
| FX      forward |   |   | 20,179  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 637    |   |   |   | 637    |   |
| FX      forward |   |   | 10,266  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 352    |   |   |   | 352    |   |
| FX      forward |   |   | 4,577   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 167    |   |   |   | 167    |   |
| FX      forward |   |   | 10,206  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 379    |   |   |   | 379    |   |
| FX      forward |   |   | 5,064   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 184    |   |   |   | 184    |   |
| FX      forward |   |   | 6,077   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 250    |   |   |   | 250    |   |
| FX      forward |   |   | 10,114  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 301    |   |   |   | 301    |   |
| FX      forward |   |   | 20,254  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 723    |   |   |   | 723    |   |
| FX      forward |   |   | 10,130  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 302    |   |   |   | 302    |   |
| FX      forward |   |   | 10,235  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 351    |   |   |   | 351    |   |
| FX      forward |   |   | 10,148  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 348    |   |   |   | 348    |   |
| FX      forward |   |   | 7,053   |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 27     |   |   |   | 27     |   |
| FX      forward |   |   | 10,070  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | 39     |   |   |   | 39     |   |
| FX      forward |   |   | 10,070  |   | 1st      Quarter of 2010         |   | Exchange      Rate |   |   | 59     |   |   |   | 59     |   |
| FX      forward |   |   | 10,070  |   | 1st      Quarter of 2010         |   | Exchange      Rate |   |   | 59     |   |   |   | 59     |   |
| FX      forward |   |   | 15,172  |   | 2nd      Quarter 2010            |   | Exchange      Rate |   |   | 85     |   |   |   | 85     |   |
| FX      forward |   |   | 36,300  |   | 1st      Quarter 2010            |   | Exchange      Rate |   |   | (1,189 | )      |   |   | (1,189 | )      |
| FX      forward |   |   | 13,900  |   | 2nd      Quarter 2010            |   | Exchange      Rate |   |   | (919   | )      |   |   | (919   | )      |
| FX      forward |   |   | 500     |   | 3rd      Quarter 2010            |   | Exchange      Rate |   |   | (47    | )      |   |   | (47    | )      |
| Total           |   |   | 939,027 |   |                             |   |               |   |   | 65,883 |   |   |   | 56,262 |   |

|  | (1) | Cross      currency swap. |
|--|-----|---------------------------|

----

Note 22 – DERIVATIVE INSTRUMENTS(continued)

| Type ofderivative |   | Notional orcoveredamount |    | Expiration |                             | Risk type |               | (Liability)Assetamount |   |    | Income (loss) effect |   |
|------------------------|--------|-------------------------------|---------|------------|----------------------------------|----------------|--------------------|------------------------|--------|---------|--------------------------------|--------|
|                   |   | ThUS$                         |    |       |                             |           |               | ThUS$                  |   |    | ThUS$                          |   |
|                   |   |                          |    |       |                             |           |               |                   |   |    |                           |   |
| FX      forward        |   |                          | 42,000  |       | 1st  quarter      2009 |           | Exchange      rate |                   |   | (1,273  | )                              |   |   | (1,273 | ) |
| CCS      Swap (1)      |   |                          | 113,025 |       | 4th  quarter      2026 |           | Interest      rate |                   |   | (11,031 | )                              |   |   | (1,524 | ) |
| FX      option         |   |                          | 8,478   |       | 1st      quarter 2009            |           | Exchange      rate |                   |   | (843    | )                              |   |   | (843 | ) |
| FX      option         |   |                          | 11,316  |       | 2st      quarter 2009            |           | Exchange      rate |                   |   | (1,125  | )                              |   |   | (1,125 | ) |
| FX      option         |   |                          | 1,617   |       | 3st      quarter 2009            |           | Exchange      rate |                   |   | (161    | )                              |   |   | (161 | ) |
| FX      forward        |   |                          | 1,489   |       | 1st      quarter 2009            |           | Exchange      rate |                   |   | (86     | )                              |   |   | (86 | ) |
| FX      forward        |   |                          | 24,154  |       | 1st      quarter 2009            |           | Exchange      rate |                   |   | (2,390  | )                              |   |   | (2,390 | ) |
| FX      option         |   |                          | 40,378  |       | 1st  quarter      2009 |           | Exchange      rate |                   |   | 1,225   |                           |   |   | 1,225 |   |
| FX      forward        |   |                          | 298     |       | 1st  quarter      2009 |           | Exchange      rate |                   |   | (90     | )                              |   |   | (90 | ) |
| FX      forward        |   |                          | 1,289   |       | 1st  quarter      2009 |           | Exchange      rate |                   |   | 357     |                           |   |   | 357 |   |
| FX      forward        |   |                          | 4,311   |       | 2st  quarter      2009 |           | Exchange      rate |                   |   | (1,169  | )                              |   |   | (1,169 | ) |
| FX      forward        |   |                          | 77      |       | 2st  quarter      2009 |           | Exchange      rate |                   |   | 17      |                           |   |   | 17 |   |
| FX      forward        |   |                          | 112     |       | 3st  quarter      2009 |           | Exchange      rate |                   |   | (21     | )                              |   |   | (21 | ) |
| FX      option         |   |                          | 27,818  |       | 1st  quarter      2009 |           | Exchange      rate |                   |   | 124     |                           |   |   | - |   |
| FX      forward        |   |                          | 30,000  |       | 1st  quarter      2009 |           | Exchange      rate |                   |   | -       |                           |   |   | - |   |
| Total                  |   |                          | 306,362 |       |                             |           |               |                   |   | (16,466 | )                              |   |   | (7,083 | ) |

|  | (1) | Cross      currency swap. |
|--|-----|---------------------------|

----

|   | I. | Contingencies: |
|--------|----|----------------|

| 1.     | Plaintiff            | :      Compañía de Salitre y Yodo Soledad S.A.                          |
|--------|----------------------|-----------------------------------------------------------------------------------|
|   | Defendant            | :      Sociedad Química y Minera de Chile S.A.                               |
|   | Date      of lawsuit | :      December 1994                                                              |
|   | Court                | :      Civil Court of Pozo Almonte                                                |
|   | Cause                | :      Partial annulment of mining property, Cesard 1 to 29                       |
|   | Instance             | :      Evidence provided                                                          |
|   | Nominal amount  | :      ThUS$ 211                                                                  |
|   |                 |                                                                              |
| 2.     | Plaintiff            | :      Compañía Productora de Yodo y Sales S.A.                         |
|   | Defendant            | :      SQM S.A.                                                                   |
|   | Date      of lawsuit | :      November 1999                                                              |
|   | Court                | :      Civil Court of Pozo Almonte                                                |
|   | Cause                | :      Partial annulment of mining property, Paz II 1 to 25                       |
|   | Instance             | :      Evidence provided                                                          |
|   | Nominal      amount  | :      ThUS$ 162                                                                  |
|   |                 |                                                                              |
| 3.     | Plaintiff            | :      Compañía Productora de Yodo y Sales S.A.                         |
|   | Defendant            | :      SQM S.A.                                                                   |
|   | Date      of lawsuit | :      November 1999                                                              |
|   | Court                | :      Civil Court of Pozo Almonte                                                |
|   | Cause                | :      Partial annulment of mining property, Paz III 1 to 25                      |
|   | Instance             | :      Evidence provided                                                          |
|   | Nominal      amount  | :      ThUS$ 204                                                                  |
|   |                 |                                                                              |
| 4.     | Plaintiff            | :      Angélica Allende and their sons Iván Molina and  Cristóbal  |
|   |                 |        Molina                                                                |
|   | Defendant            | :      Ingeniería, Construcción y Servicios SMR Limitada and    jointly |
|   |                 |        and severally SQM Nitratos S.A. and its insurance    companies.       |
|   | Date      of lawsuit | :      May 2008                                                                   |
|   | Court                | :      Arbitration Court of Antofagasta                                           |
|   | Cause                | :      Work accident                                                              |
|   | Instance             | :      Evidence                                                                   |
|   | Nominal      amount  | :      ThUS$ 670                                                                  |
|   |                 |                                                                              |
| 5.     | Plaintiff            | :      Nancy Erika Urra Muñoz                                                |
|   | Defendant            | :      Fresia Flores Zamorano, Duratec-Vinilit S.A. and SQM S.A.    and           |
|   |                 |        Its insurance companies.                                              |
|   | Date      of lawsuit | :      December 2008                                                              |
|   | Court                | :      1st      Civil Court of Santiago                                           |
|   | Cause                | :      Work accident                                                              |
|   | Instance             | :      Response                                                                   |
|   | Nominal      amount  | :      ThUS$ 550                                                                  |

----

|   | I. | Contingencies      (continued): |
|--------|----|---------------------------------|

| 6.     | Plaintiff                                                               | :      Agraria Santa Aldina Limitada                                                                                      |
|--------|-------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------|
|   | Defendant                                                               | :      SQM Perú S.A.                                                                                                 |
|   | Date      of lawsuit                                                    | :      June 2009                                                                                                          |
|   | Court                                                                   | :      Civil Court of Pisco - Perú                                                                                   |
|   | Cause                                                                   | :      Seek compensation for damages for alleged breach of the terms and      conditions of product distribution contract |
|   | Instance                                                                | :      Response                                                                                                           |
|   | Nominal amount                                                     | :      ThUS$ 6,000                                                                                                        |
|   |                                                                    |                                                                                                                      |
| 7.     | Plaintiff                                                               | :      Eduardo Fajardo Núñez, Ana María Canales Poblete,Raquel                                             |
|   | Beltrán      Parra, Eduardo Fajardo Beltrán y Martina Fajardo |
|   |                                                                    |        Beltrán                                                                                                  |
|   | Defendant                                                               | :      SQM Salar S.A. and us insurers.                                                                                    |
|   | Date      of lawsuit                                                    | :      November 2009                                                                                                      |
|   | Court                                                                   | :      20th      Civil Court of Santiago                                                                                  |
|   | Cause                                                                   | :      Work accident                                                                                                      |
|   | Instance                                                                | :      Demand response.                                                                                                   |
|   | Nominal      amount                                                     | :      ThUS$ 1,880                                                                                                        |

|   | II. | Restrictions: |
|--------|-----|---------------|

|   | III. | Commitments: |
|--------|------|--------------|

----

| Company      Name                      |   | ThUS$  |   |
|----------------------------------------|--------|--------|--------|
| Llanos      y Wammes Soc. Com. Ltda.   |   |   | 2,037  |   |
| Fertglobal      Chile Ltda. y Bramelli |   |   | 3,352  |   |
| Tattersall      S.A.                   |   |   | 1,134  |   |

----

|                                                         |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|--------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                                                         |   | ThUS$  |   |   | ThUS$  |   |   | ThUS$  |   |
| Project                                                      |   |   |   |   |   |   |   |   |   |
| Environmental      department                                |   |   | -      |   |   |   | 1,022  |   |   |   | 1,040 |   |
| Improvements      in María Elena Camp – streets   |   |   | 689    |   |   |   | 435    |   |   |   | 436 |   |
| Dust      emission control                                   |   |   | -      |   |   |   | -      |   |   |   | 76 |   |
| Light      normalization                                     |   |   | -      |   |   |   | -      |   |   |   | 921 |   |
| Environmental      studies – Region I of Chile project |   |   | 42     |   |   |   | -      |   |   |   | - |   |
| María      Elena environmental studies                  |   |   | -      |   |   |   | -      |   |   |   | 1,007 |   |
| Normalization      of lighting at FFCC yard, PV Mill         |   |   | -      |   |   |   | -      |   |   |   | 164 |   |
| The      Environment MOP/SOP 2                               |   |   | -      |   |   |   | -      |   |   |   | 294 |   |
| Construction      of facilities for workers                  |   |   | -      |   |   |   | 168    |   |   |   | 292 |   |
| Environmental      commitments in Region I of Chile          |   |   | -      |   |   |   | -      |   |   |   | 169 |   |
| Waste      pools R&R Lithium C. Plant                    |   |   | -      |   |   |   | -      |   |   |   | 2,073 |   |
| Salar      (Salt deposit) environmental follow-up plan       |   |   | -      |   |   |   | -      |   |   |   | 2,272 |   |
| Handling      of household and industrial waste              |   |   | 983    |   |   |   | 736    |   |   |   | 917 |   |
| Environmental      evaluation                                |   |   | 3,163  |   |   |   | 1,251  |   |   |   | 194 |   |
| Handling      of dangerous substances                        |   |   | 444    |   |   |   | 579    |   |   |   | - |   |
| Salar      (salt deposit) environmental follow-up plan       |   |   | -      |   |   |   | 3,045  |   |   |   | - |   |
| PV      environmental improvements                           |   |   | 1,029  |   |   |   | 555    |   |   |   | - |   |
| Waste      pools R&R lithium plant                       |   |   | -      |   |   |   | 2,150  |   |   |   | - |   |
| Enablement      of Camp and Bathrooms                        |   |   | 1,369  |   |   |   | -      |   |   |   | - |   |
| Salar      (Salt deposit) Environmental follow-up Plan       |   |   | 370    |   |   |   | -      |   |   |   | - |   |
| Environmental      Management                                |   |   | 1,235  |   |   |   | -      |   |   |   | - |   |
| Others                                                       |   |   | -      |   |   |   | 94     |   |   |   | 325 |   |
| Total                                                        |   |   | 9,324  |   |   |   | 10,035 |   |   |   | 10,180 |   |

----

----

----

| a) | Revaluation      of property, plant and equipment |
|----|---------------------------------------------------|

| b) | Deferred      income taxes |
|----|----------------------------|

----

| c) | Translation      of foreign currency financial statements and price-level      restatement |
|----|--------------------------------------------------------------------------------------------|

|  | (i)  |         balance sheet accounts: |
|--|-----------|-------------------------------------------|

|   | · | monetary      assets and liabilities are translated at the year-end exchange rate;      and |
|--------|--------|---------------------------------------------------------------------------------------------|

|   | · | non-monetary      assets and liabilities and shareholders' equity are translated at      historical exchange rates. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------|

|  | (ii)  |         income statement accounts: |
|--|------------|----------------------------------------------|

|   | · | depreciation      and amortization expense and other accounts derived from non-monetary      assets and liabilities are translated at historical rates;    and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | all      other accounts are translated at monthly-average exchange rates, which      approximate the actual rates of exchange at the date the transactions      occurred. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| d) | Minimum      dividend |
|----|-----------------------|

| e) | Loans      to employees |
|----|-------------------------|

| f) | Staff      severance indemnities |
|----|----------------------------------|

| g) | Derivatives      and hedging |
|----|------------------------------|

----

| g) | Derivatives      and hedging (continued) |
|----|------------------------------------------|

| h) | Business      combinations and goodwill |
|----|-----------------------------------------|

| i) | Negative      goodwill |
|----|------------------------|

----

| i) | Negative      goodwill (continued) |
|----|------------------------------------|

|   | i-1:       | The      reversal of negative goodwill amortization recorded under Chilean      GAAP;                                                                 |
|--------|------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | i-2:  | The      effects of reducing depreciation expense, due to the allocation of the      excess purchase price to property, plant and    equipment.  |

| j) | Capitalized      interest |
|----|---------------------------|

| k) | Presentation      of non – controlling interest |
|----|-------------------------------------------------------|

----

| l)  | Effects      of conforming to US GAAP |
|----------|---------------------------------------|

|                                                                                              |   | For the years ended December      31, |    |
|---------------------------------------------------------------------------------------------------|--------|---------------------------------------|---------|
|                                                                                              |   | 2009                                  |    |   | 2008 |   |   | 2007 |   |
|                                                                                              |   | ThUS$                                 |    |   | ThUS$ |   |   | ThUS$ |   |
|                                                                                              |   |                                  |    |   |   |   |   |   |   |
| Net income in accordance with      Chilean GAAP                                                   |   |                                  | 327,056 |   |   |   | 501,407 |   |   |   | 180,021 |   |
| Revaluation of property, plant and      equipment (paragraph a)                                   |   |                                  | 5,756   |   |   |   | 2,298 |   |   |   | 4,288 |   |
| Deferred income taxes (paragraph      b)                                                          |   |                                  | 2,151   |   |   |   | 2,118 |   |   |   | 5,483 |   |
| Translation of foreign currency      financial statements (paragraph c)                           |   |                                  | 146     |   |   |   | 5,457 |   |   |   | 9,507 |   |
| Staff severance indemnities      (paragraph  f)                                         |   |                                  | 3,394   |   |   |   | 408 |   |   |   | (1,406 | ) |
| Derivatives (paragraph      g)                                                                    |   |                                  | 7,891   |   |   |   | (11,600 | ) |   |   | (4,821 | ) |
| Reversal of amortization of      goodwill (paragraph h)                                           |   |                                  | 2,176   |   |   |   | 2,215 |   |   |   | 2,252 |   |
| Negative goodwill (paragraph      i) i-2: Depreciation of property,      plant and equipment |   |                                  | 113     |   |   |   | 113 |   |   |   | 113 |   |
| Capitalized interest (paragraph      j)                                                           |   |                                  | -       |   |   |   | (1,278 | ) |   |   | (91 | ) |
| Reclassification of      non-controlling interest under Chilean GAAP (paragraph      k)           |   |                                  | 1,334   |   |   |   | 3,492 |   |   |   | 3,792 |   |
| Deferred      income tax effect of the above US GAAP adjustments (paragraph    b)                 |   |                                  | (577    | ) |   |   | 2,120 |   |   |   | 1,074 |   |
| Net      income under US GAAP                                                                     |   |                                  | 349,440 |   |   |   | 506,750 |   |   |   | 200,212 |   |
| Net income attributable to parent      company                                                    |   |                                  | 347,886 |   |   |   | 500,912 |   |   |   | 192,668 |   |
| Net income attributable to      non-controlling interest                                          |   |                                  | 1,554   |   |   |   | 5,838 |   |   |   | 7,544 |   |
|                                                                                              |   |                                  |    |   |   |   |   |   |   |   |   |   |
| Other comprehensive income (loss),      net of tax:                                               |   |                                  |    |   |   |   |   |   |   |   |   |   |
| Minimum pension liability      adjustment                                                         |   |                                  | 1,129   |   |   |   | (2,827 | ) |   |   | (141 | ) |
| Swaps designated as cash flow      hedge                                                          |   |                                  | (7,984  | ) |   |   | - |   |   |   | - |   |
| Translation      adjustment                                                                       |   |                                  | 1,087   |   |   |   | (786 | ) |   |   | 356 |   |
| Total comprehensive income under      US GAAP                                                     |   |                                  | 343,672 |   |   |   | 503,137 |   |   |   | 200,427 |   |

----

| l)  | Effects      of conforming to US GAAP(continued) |
|----------|--------------------------------------------------|

|                                                                                    |   | As of December      31, |      |
|-----------------------------------------------------------------------------------------|--------|-------------------------|-----------|
|                                                                                    |   | 2009                    |      |   | 2008 |   |
|                                                                                    |   | ThUS$                   |      |   | ThUS$ |   |
|                                                                                    |   |                    |      |   |   |   |
| Shareholders’ equity in accordance with Chilean      GAAP                         |   |                    | 1,466,613 |   |   |   | 1,463,108 |   |
| Revaluation of property, plant and      equipment:  (paragraph a)             |   |                    |      |   |   |   |   |   |
| a-1: Property, plant and      equipment                                                 |   |                    | (133,309  | ) |   |   | (133,309 | ) |
| a-2: Accumulated      depreciation                                                      |   |                    | 115,785   |   |   |   | 110,029 |   |
| Deferred income taxes (paragraph      b)                                                |   |                    | (12,875   | ) |   |   | (15,026 | ) |
| Translation of foreign currency financial statements      (paragraph c)                 |   |                    |      |   |   |   |   |   |
| c-1: Property, plant and      equipment                                                 |   |                    | 391       |   |   |   | 391 |   |
| c-2: Goodwill,      net                                                                 |   |                    | (182      | ) |   |   | (182 | ) |
| c-3: Other      assets                                                                  |   |                    | (103      | ) |   |   | (103 | ) |
| Minimum      dividend  (paragraph d)                                          |   |                    | -         |   |   |   | (50,422 | ) |
| Employer loans used to purchase      shares (paragraph e)                               |   |                    | (158      | ) |   |   | (116 | ) |
| Staff severance indemnities      (paragraph f)                                          |   |                    | (3,014    | ) |   |   | (6,407 | ) |
| Derivatives (paragraph      g)                                                          |   |                    | (12,101   | ) |   |   | (11,989 | ) |
| Goodwill (paragraph      h)                                                             |   |                    | 12,406    |   |   |   | 10,230 |   |
| Negative goodwill: (paragraph      i)                                                   |   |                    |      |   |   |   |   |   |
| i-1: Property, plant and      equipment                                                 |   |                    | (4,230    | ) |   |   | (4,435 | ) |
| i-1: Accumulated depreciation of      property, plant and equipment                     |   |                    | 2,250     |   |   |   | 2,136 |   |
| i-2: Negative      goodwill                                                             |   |                    | 4,230     |   |   |   | 4,435 |   |
| i-2: Accumulated amortization of      negative goodwill                                 |   |                    | (3,156    | ) |   |   | (3,156 | ) |
| Reclassification of      non-controlling interest under Chilean GAAP (paragraph      k) |   |                    | 46,093    |   |   |   | 47,069 |   |
| Effect of US GAAP adjustments on      non-controlling interest (paragraph k)            |   |                    | (530      | ) |   |   | (310 | ) |
| Deferred      income tax effect of the above US GAAP adjustments (paragraph    b)       |   |                    | 2,569     |   |   |   | 3,128 |   |
| Shareholders' equity in accordance      with US GAAP                                    |   |                    | 1,481,209 |   |   |   | 1,415,381 |   |
| Shareholders' equity attributable      to parent company                                |   |                    | 1,434,586 |   |   |   | 1,368,002 |   |
| Shareholders' equity attributable      to non-controlling interest                      |   |                    | 46,623    |   |   |   | 47,379 |   |

----

| l)  | Effects      of conforming to US GAAP,(continued) |
|----------|---------------------------------------------------|

|                                                           |   | ThUS$  |      |
|----------------------------------------------------------------|--------|--------|-----------|
|                                                           |   |   |      |   |
| Balance      at January 1, 2007                                |   |   | 1,033,121 |   |
| Reversal      of accrued minimum dividend at December 31, 2006 |   |   | 42,383    |   |
| Distribution      of final 2006 dividend                       |   |   | (91,787   | ) |
| Accrued      minimum dividend at December 31, 2007             |   |   | (54,006   | ) |
| Employer      loans used to purchase shares                    |   |   | 126       |   |
| Other      comprehensive income                                |   |   | 215       |   |
| Increase      in non-controlling interest                      |   |   | (2,110    | ) |
| Net      income for the year                                   |   |   | 200,212   |   |
| Balance      at December 31, 2007                              |   |   | 1,128,154 |   |
| Reversal      of accrued minimum dividend at December 31, 2007 |   |   | 54,006    |   |
| Distribution      of final 2007 dividend                       |   |   | (117,014  | ) |
| Distribution      of 2008 interim dividend                     |   |   | (100,000  | ) |
| Accrued      minimum dividend at December 31, 2008             |   |   | (50,422   | ) |
| Employer      loans used to purchase shares                    |   |   | 12        |   |
| Other      comprehensive loss                                  |   |   | (3,613    | ) |
| Increase      in non-controlling interest                      |   |   | (2,492    | ) |
| Net      income for the year                                   |   |   | 506,750   |   |
| Balance      at December 31, 2008                              |   |   | 1,415,381 |   |
| Reversal      of accrued minimum dividend at December 31, 2008 |   |   | 150,422   |   |
| Distribution      of final 2008 dividend                       |   |   | (325,914  | ) |
| Distribution      of 2009 interim dividend                     |   |   | (100,000  | ) |
| Employer      loans used to purchase shares                    |   |   | (42       | ) |
| Other                                                          |   |   | 7,891     |   |
| Other      comprehensive loss                                  |   |   | (5,768    | ) |
| Decrease      in non-controlling interest                      |   |   | (2,310    | ) |
| Net      income for the year                                   |   |   | 349,440   |   |
| Balance      at December 31, 2009                              |   |   | 1,481,209 |   |

----

| a) | Earnings      per share |
|----|-------------------------|

|                                                                                                 |   | 2009                           |    |   | 2008   |   |    | 2007   |   |
|------------------------------------------------------------------------------------------------------|--------|--------------------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                                                                 |   | (Expressed in US      dollars) |    |
|                                                                                                 |   |                           |    |   |   |   |    |   |   |
| Basic and diluted earnings per      share under Chilean GAAP attributable to the parent      company |   |                           | 1.24    |   |   |   | 1.91    |   |   |   | 0.68 |   |
| Basic and diluted earnings per      share under US GAAP attributable to the parent    company        |   |                           | 1.32    |   |   |   | 1.90    |   |   |   | 0.73 |   |
| Dividends declared per share      (1)                                                                |   |                           | 0.62    |   |   |   | 1.24    |   |   |   | 0.44 |   |
|                                                                                                 |   |                           |    |   |   |   |    |   |   |   |   |   |
| Weighted average number of common      shares outstanding (thousands)                                |   |                           | 263,197 |   |   |   | 263,197 |   |   |   | 263,197 |   |

| b) | Income      taxes |
|----|-------------------|

|                                                  |   | 2009   |    |   | 2008        |   |    | 2007   |   |
|-------------------------------------------------------|--------|-------------|---------|--------|-------------|--------|---------|--------|--------|
|                                                  |   | ThUS$  |    |   | ThUS$  |   |    | ThUS$  |   |
|                                                  |   |        |    |   |        |   |    |   |   |
| Consolidated      pretax income under US GAAP         |   |        | 424,398 |   |        |   | 610,462 |   |   |   | 242,247 |   |
| Statutory      tax rate                               |   |        | 17      | %      |        |   | 17      | %      |   |   | 17 | % |
| Theoretical      tax at statutory rate                |   |        | 72,148  |   |        |   | 103,779 |   |   |   | 41,182 |   |
|                                                  |   |        |    |   |        |   |    |   |   |   |   |   |
| Non-deductible      items                             |   |        | 19,120  |   |        |   | 9,853   |   |   |   | (1,433 | ) |
| Difference      in tax rates in foreign jurisdictions |   |        | 141     |   |        |   | 3,310   |   |   |   | 105 |   |
| Valuation      allowance                              |   |        | (16,451 | )      |        |   | (13,230 | )      |   |   | 2,182 |   |
| Total      income tax under US GAAP                   |   |        | 74,958  |   |        |   | 103,712 |   |   |   | 42,036 |   |

----

| b) | Income      taxes (continued) |
|----|-------------------------------|

|                                                  |   | 2009   |     |   | 2008  |   |
|-------------------------------------------------------|--------|-------------|----------|--------|------------|--------|
|                                                  |   |  ThUS$ |     |   | ThUS$      |   |
| Deferred      Tax Assets                              |   |        |     |   |       |   |
| Allowance      for doubtful debts                     |   |        | 3,708    |   |       |   | 1,927 |   |
| Vacation      accrual                                 |   |        | 2,295    |   |       |   | 1,734 |   |
| Unrealized      gains on sales of products            |   |        | 53,274   |   |       |   | 76,633 |   |
| Provision      for obsolescence                       |   |        | 3,433    |   |       |   | 3,940 |   |
| Tax      loss carryforwards (1)                       |   |        | 18,206   |   |       |   | 4,362 |   |
| Write-downs      of inventory to net realizable value |   |        | 11,972   |   |       |   | 10,362 |   |
| Fair      value acquisition adjustments               |   |        | 2,852    |   |       |   | 3,153 |   |
| Other                                                 |   |        | 3,803    |   |       |   | 14,867 |   |
| Gross      deferred tax assets                        |   |        | 99,543   |   |       |   | 116,978 |   |
| Valuation      allowance                              |   |        | (8,663   | )      |       |   | (25,499 | ) |
| Total      deferred tax assets                        |   |        | 90,880   |   |       |   | 91,479 |   |
|                                                  |   |        |     |   |       |   |   |   |
| Deferred      Tax Liabilities                         |   |        |     |   |       |   |   |   |
| Production      expenses                              |   |        | (39,660  | )      |       |   | (29,775 | ) |
| Accelerated      depreciation of PP&E             |   |        | (81,055  | )      |       |   | (72,193 | ) |
| Staff      severance indemnities                      |   |        | (2,243   | )      |       |   | (846 | ) |
| Exploration      expenses                             |   |        | (5,263   | )      |       |   | (4,702 | ) |
| Capitalized      interest                             |   |        | (11,222  | )      |       |   | (9,252 | ) |
| Other                                                 |   |        | (11,375  | )      |       |   | (7,781 | ) |
| Total      deferred tax liabilities                   |   |        | (150,818 | )      |       |   | (124,549 | ) |

|  | (1) | The      Company’s tax loss carryforwards were primarily generated from losses      incurred in Chile.  In accordance with current laws in Chile,      tax losses may be carried forward indefinitely. In other countries tax      losses usually expire.  For the years ended December 31, 2009,      2008 and 2007 the Company realized benefits from the use of tax loss carry      forwards amounting to ThUS$ 13,803, ThUS$ 22,373 and ThUS$ 6,477,      respectively. |
|--|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                 |   | 2008   |   |   | 2008   |   |
|----------------------|--------|--------|--------|--------|--------|--------|
|                 |   | ThUS$  |   |   | ThUS$  |   |
|                 |   |   |   |   |   |   |
| Chile                |   |   | 16,036 |   |   |   | 1,558 |   |
| Other      countries |   |   | 2,170  |   |   |   | 2,804 |   |
| Total                |   |   | 18,206 |   |   |   | 4,362 |   |

----

| b) | Income      taxes (continued) |
|----|-------------------------------|

|                              |   | 2009   |    |   | 2008   |   |
|-----------------------------------|--------|--------|---------|--------|--------|--------|
|                              |   | ThUS$  |    |   | ThUS$  |   |
|                              |   |   |    |   |   |   |
| Short-term                        |   |   | 6,993   |   |   |   | 36,418 |   |
| Long-term                         |   |   | (66,931 | )      |   |   | (69,488 | ) |
| Net      deferred tax liabilities |   |   | (59,938 | )      |   |   | (33,070 | ) |

|                                         |   | 2009   |   |   | 2008   |   |    | 2007  |   |
|----------------------------------------------|--------|--------|--------|--------|--------|--------|---------|------------|--------|
|                                         |   | ThUS$  |   |   | ThUS$  |   |    | ThUS$      |   |
|                                         |   |   |   |   |   |   |    |       |   |
| Income      tax expense under Chilean GAAP   |   |   | 76,532 |   |   |   | 107,951 |       |   |   | 48,592 |   |
| Additional      deferred taxes under US GAAP |   |   | 577    |   |   |   | (2,128  | )          |   |   | (1,048 | ) |
| Reversal      of complementary accounts      |   |   | (2,151 | )      |   |   | (2,111  | )          |   |   | (5,508 | ) |
| Total      tax provision US GAAP             |   |   | 74,958 |   |   |   | 103,712 |       |   |   | 42,036 |   |

|    |   | 2009   |    |   | 2008   |   |    | 2007   |   |
|---------|--------|--------|---------|--------|--------|--------|---------|--------|--------|
|    |   | ThUS$  |    |   | ThUS$  |   |    | ThUS$  |   |
|    |   |   |    |   |   |   |    |   |   |
| Chile   |   |   | 457,005 |   |   |   | 605,491 |   |   |   | 246,251 |   |
| Foreign |   |   | (32,607 | )      |   |   | 4,971   |   |   |   | (4,004 | ) |
| Total   |   |   | 424,398 |   |   |   | 610,462 |   |   |   | 242,247 |   |

|    |   | 2009     |   |   | 2008    |   |   | 2007   |   |
|---------|--------|----------|--------|--------|---------|--------|--------|--------|--------|
|    |   | Deferred |   |   | Current |   |   | Total  |   |   | Deferred |   |   | Current |   |   | Total |   |   | Deferred |   |   | Current |   |   | Total |   |
|    |   | ThUS$    |   |   | ThUS$   |   |   | ThUS$  |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |
|    |   |     |   |   |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Chile   |   |     | 21,382 |   |    |   | 51,001 |   |   |   | 72,383 |   |   |   | (40,565 | ) |   |   | 145,969 |   |   |   | 105,404 |   |   |   | 3,554 |   |   |   | 36,010 |   |   |   | 39,564 |   |
| Foreign |   |     | 1,013  |   |    |   | 1,561  |   |   |   | 2,575 |   |   |   | (3,416 | ) |   |   | 1,724 |   |   |   | (1,692 | ) |   |   | 264 |   |   |   | 2,208 |   |   |   | 2,472 |   |
| Total   |   |     | 22,395 |   |    |   | 52,562 |   |   |   | 74,958 |   |   |   | (43,981 | ) |   |   | 147,693 |   |   |   | 103,712 |   |   |   | 3,818 |   |   |   | 38,218 |   |   |   | 42,036 |   |

----

| c) | Other      comprehensive income |
|----|---------------------------------|

|                                      |   | Year ended December 31, 2007                                                                                                                                     |   |
|-------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                      |   | Before-taxamount                                                                                                                                                                     |   |   | Tax (expense)or benefit |   |   | Net-of-taxamount |   |
|                                      |   | ThUS$                                                                                                                                                                                |   |   | ThUS$ |   |   | ThUS$ |   |
|                                      |   |                                |   |   |   |   |   |                               |   |
| Beginning      balance                    |   |                                                                                                                                                                                 | (1,242 | ) |   |   | - |   |   |   | (1,242 | ) |
| Translation      adjustment               |   |                                                                                                                                                                                 | 356    |   |   |   | - |   |   |   | 356 |   |
| Minimum pension liability      adjustment |   |                                                                                                                                                                                 | (141   | ) |   |   | - |   |   |   | (141 | ) |
| Net change                                |   |                                                                                                                                                                                 | 215    |   |   |   | - |   |   |   | 215 |   |
| Ending    balance                         |   |                                                                                                                                                                                 | (1,027 | ) |   |   | - |   |   |   | (1,027 | ) |

|                                      |   | Year ended December 31,      2008                                                                                                                                              |   |
|-------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                      |   | Before-taxamount                                                                                                                                                               |   |   | Tax (expense)or benefit |   |   | Net-of-taxamount |   |
|                                      |   | ThUS$                                                                                                                                                                          |   |   | ThUS$ |   |   | ThUS$ |   |
|                                      |   |                               |   |   |   |   |   |                               |   |
| Beginning      balance                    |   |                                                                                                                                                                           | (1,027 | ) |   |   | - |   |   |   | (1,027 | ) |
| Translation      adjustment               |   |                                                                                                                                                                           | (786   | ) |   |   | - |   |   |   | (786 | ) |
| Minimum pension liability      adjustment |   |                                                                                                                                                                           | (2,827 | ) |   |   | - |   |   |   | (2,827 | ) |
| Net change                                |   |                                                                                                                                                                           | (3,613 | ) |   |   | - |   |   |   | (3,613 | ) |
| Ending    balance                         |   |                                                                                                                                                                           | (4,640 | ) |   |   | - |   |   |   | (4,640 | ) |

|                                      |   |                                                                                                                                             |    |
|-------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------|---------|
|                                      |   | Year ended December 31,      2009                                                                                                                |    |
|                                      |   | Before-tax amount                                                                                                                           |    |   | Tax (expense)or benefit |   |   | Net-of-taxamount |   |
|                                      |   | ThUS$                                                                                                                                            |    |   | ThUS$ |   |   | ThUS$ |   |
|                                      |   |                          |    |   |   |   |   |                       |   |
| Beginning      balance                    |   |                                                                                                                                             | (4,640  | ) |   |   | - |   |   |   | (4,640 | ) |
| Translation      adjustment               |   |                                                                                                                                             | 1,087   |   |   |   | - |   |   |   | 1,087 |   |
| Minimum pension liability      adjustment |   |                                                                                                                                             | 1,129   |   |   |   | - |   |   |   | 1,129 |   |
| Swaps designated as cash flow      hedge  |   |                                                                                                                                             | (9,619  | ) |   |   | 1,635 |   |   |   | (7,984 | ) |
| Net change                                |   |                                                                                                                                             | (7,403  | ) |   |   | 1,635 |   |   |   | (5,768 | ) |
| Ending    balance                         |   |                                                                                                                                             | (12,043 | ) |   |   | 1,635 |   |   |   | (10,408 | ) |

----

| d) | Credit      agreements |
|----|------------------------|

| e) | Lease      commitments |
|----|------------------------|

|                                             |   | Minimum  |   |
|--------------------------------------------------|--------|----------|--------|
|                                             |   | lease    |   |
|                                             |   | payments |   |
| Year ended December      31,                     |   | ThUS$    |   |
|                                             |   |     |   |
| 2010                                             |   |     | 329    |   |
| 2011                                             |   |     | 192    |   |
| Total      future minimum lease payments         |   |     | 521    |   |
| Interest                                         |   |     | (34    | ) |
| Present      value of net minimum lease payments |   |     | 487    |   |

----

| e) | Lease      commitments (continued) |
|----|------------------------------------|

|                         |   | Minimum |    |
|------------------------------|--------|---------|---------|
|                         |   | annual  |    |
|                         |   | rentals |    |
| Year ended December      31, |   | ThUS$   |    |
|                         |   |    |    |
| 2010                         |   |    | 9,021   |   |
| 2011                         |   |    | 9,021   |   |
| 2012                         |   |    | 9,021   |   |
| 2013                         |   |    | 9,021   |   |
| 2014                         |   |    | 9,021   |   |
| Thereafter      (2015-2030)  |   |    | 144,352 |   |
| Total                        |   |    | 189,457 |   |

| f) | Concentration      of credit risk |
|----|-----------------------------------|

----

| g) | Foreign      exchange gains and losses |
|----|----------------------------------------|

| h) | Advertising      and research and development costs |
|----|-----------------------------------------------------|

| i) | Business      combinations and goodwill |
|----|-----------------------------------------|

----

| j) | Reclassification      differences between Chilean GAAP and USGAAP |
|----|-------------------------------------------------------------------|

|   | (i) | Non-operating      income and expense under US GAAP calculated in accordance with Chilean      GAAP |
|--------|-----|-----------------------------------------------------------------------------------------------------|

|                                                                                                        |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|-------------------------------------------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                                                                                                        |   | ThUS$  |   |   | ThUS$  |   |   | ThUS$  |   |
|                                                                                                        |   |   |   |   |   |   |   |   |   |
| Non-operating      income under Chilean GAAP                                                                |   |   | 40,472 |   |   |   | 40,590 |   |   |   | 25,948 |   |
| Less:                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |
| Sale      of mining concessions                                                                             |   |   | 2,170  |   |   |   | 721    |   |   |   | 399 |   |
| Sale      of easements                                                                                      |   |   | 10,356 |   |   |   | -      |   |   |   | - |   |
| Sale      of material and services                                                                          |   |   | 100    |   |   |   | 156    |   |   |   | 369 |   |
| Insurance      recoveries                                                                                   |   |   | 285    |   |   |   | 581    |   |   |   | 275 |   |
| Write-off      of liabilities                                                                               |   |   | 915    |   |   |   | 2,623  |   |   |   | 335 |   |
| Payment      discount obtained from suppliers                                                               |   |   | 921    |   |   |   | 815    |   |   |   | 458 |   |
| Rental of property, plant and      equipment                                                                |   |   | 1,133  |   |   |   | 1,092  |   |   |   | 958 |   |
| Compensation obtained from third      parties                                                               |   |   | 60     |   |   |   | 146    |   |   |   | 524 |   |
| Gain on sale of investment      (Agricolima S.A. de C.V.)                                                   |   |   | -      |   |   |   | 1,387  |   |   |   | - |   |
| Gain on sale of assets of SQM      Lithium                                                                  |   |   | -      |   |   |   | 2,342  |   |   |   | - |   |
| Other      income                                                                                           |   |   | 2,270  |   |   |   | 1,106  |   |   |   | 2,013 |   |
| Non-operating      income as classified under US GAAP, but calculated in accordance with      Chilean GAAP  |   |   | 22,262 |   |   |   | 29,621 |   |   |   | 20,617 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |
| Non-operating      expenses under Chilean GAAP                                                              |   |   | 77,458 |   |   |   | 59,896 |   |   |   | 53,032 |   |
| Less:                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |   |
| Work      disruption expenses                                                                               |   |   | 11,430 |   |   |   | 2,445  |   |   |   | 844 |   |
| Increase      in allowance for doubtful debts                                                               |   |   | -      |   |   |   | 30     |   |   |   | - |   |
| Non-capitalizable      exploration project expenses                                                         |   |   | 9,348  |   |   |   | 8,961  |   |   |   | 16,528 |   |
| Non-recoverable      taxes                                                                                  |   |   | 612    |   |   |   | 582    |   |   |   | 669 |   |
| Provision      for legal expenses and litigation                                                            |   |   | 451    |   |   |   | 975    |   |   |   | 523 |   |
| Allowances for materials, spare      parts and supplies                                                     |   |   | 9,059  |   |   |   | 4,732  |   |   |   | 4,925 |   |
| Consulting      services                                                                                    |   |   | 53     |   |   |   | 84     |   |   |   | - |   |
| Donations                                                                                                   |   |   | 2,431  |   |   |   | 2,152  |   |   |   | - |   |
| Suppliers’    compensations                                                                           |   |   | 90     |   |   |   | 237    |   |   |   | 1,575 |   |
| Accrued expenses related to energy      tariff adjustments                                                  |   |   | -      |   |   |   | -      |   |   |   | 2,066 |   |
| Other    expenses                                                                                           |   |   | 1,995  |   |   |   | 1,629  |   |   |   | 3,624 |   |
| Non-operating      expense as classified under US GAAP, but calculated in accordance with      Chilean GAAP |   |   | 41,989 |   |   |   | 38,069 |   |   |   | 22,278 |   |

----

|                                                               |   | As      of December 31, |      |
|--------------------------------------------------------------------|--------|-------------------------|-----------|
|                                                               |   | 2009                    |      |   | 2008 |   |
|                                                               |   | ThUS$                   |      |   | ThUS$ |   |
| Assets                                                        |   |                    |      |   |   |   |
|                                                               |   |                    |      |   |   |   |
| Current    assets                                                  |   |                    | 1,735,750 |   |   |   | 1,340,723 |   |
| Property, plant and      equipment                                 |   |                    | 2,246,984 |   |   |   | 1,894,557 |   |
| Accumulated      depreciation                                      |   |                    | (944,174  | ) |   |   | (802,306 | ) |
| Property plant and equipment,      net                             |   |                    | 1,302,810 |   |   |   | 1,092,251 |   |
| Goodwill                                                           |   |                    | 40,335    |   |   |   | 40,335 |   |
| Otherassets                                                        |   |                    | 98,588    |   |   |   | 75,781 |   |
| Totalassets                                                        |   |                    | 3,177,483 |   |   |   | 2,549,090 |   |
|                                                               |   |                    |      |   |   |   |   |   |
| Liabilities and      shareholders’ equity                    |   |                    |      |   |   |   |   |   |
|                                                               |   |                    |      |   |   |   |   |   |
| Current      liabilities                                           |   |                    | 544,235   |   |   |   | 505,644 |   |
| Long-term      liabilities                                         |   |                    | 1,152,039 |   |   |   | 628,065 |   |
| Shareholders equity attributable      to non-controlling interest  |   |                    | 46,623    |   |   |   | 47,379 |   |
| Shareholders’ equity attributable to the parent      company |   |                    | 1,434,586 |   |   |   | 1,368,002 |   |
| Total liabilities and      shareholders’ equity              |   |                    | 3,177,483 |   |   |   | 2,549,090 |   |

----

| j)  | Reclassification      differences between Chilean GAAP and US GAAP  (continued) |
|----------|---------------------------------------------------------------------------------|

|                                                          |   | For the years ended December 31, |      |
|---------------------------------------------------------------|--------|-----------------------------------------------------------|-----------|
|                                                          |   | 2009                                                      |      |   | 2008 |   |   | 2007 |   |
| Operating      income                                         |   | ThUS$                                                     |      |   | ThUS$ |   |   | ThUS$ |   |
|                                                          |   |                                                      |      |   |   |   |   |   |   |
| Sales                                                         |   |                                                      | 1,436,891 |   |   |   | 1,774,119 |   |   |   | 1,187,527 |   |
| Cost of    sales                                              |   |                                                      | (924,085  | ) |   |   | (1,065,370 | ) |   |   | (880,272 | ) |
| Grossmargin                                                   |   |                                                      | 512,806   |   |   |   | 708,749 |   |   |   | 307,255 |   |
|                                                          |   |                                                      |      |   |   |   |   |   |   |   |   |   |
| Selling and administrative      expense                       |   |                                                      | (78,896   | ) |   |   | (85,709 | ) |   |   | (70,273 | ) |
| Operating      income                                         |   |                                                      | 433,910   |   |   |   | 623,040 |   |   |   | 236,982 |   |
|                                                          |   |                                                      |      |   |   |   |   |   |   |   |   |   |
| Non-operating income (expense),      net                      |   |                                                      | (15,229   | ) |   |   | (26,936 | ) |   |   | 1,699 |   |
| Incometaxes                                                   |   |                                                      | (74,958   | ) |   |   | (103,712 | ) |   |   | (42,036 | ) |
| Equity      participation in income of related companies, net |   |                                                      | 5,717     |   |   |   | 14,358 |   |   |   | 3,567 |   |
|                                                          |   |                                                      |      |   |   |   |   |   |   |   |   |   |
| Net income                                                    |   |                                                      | 349,440   |   |   |   | 506,750 |   |   |   | 200,212 |   |
| Net  income attributable      to parent company     |   |                                                      | 347,886   |   |   |   | 500,912 |   |   |   | 192,668 |   |
| Net income attributable to      non-controlling interest      |   |                                                      | 1,554     |   |   |   | 5,838 |   |   |   | 7,544 |   |
| Other comprehensive income (loss),      net of taxes:         |   |                                                      |      |   |   |   |   |   |   |   |   |   |
| Minimum pension liability      adjustment                     |   |                                                      | 1,129     |   |   |   | (2,827 | ) |   |   | (141 | ) |
| Swaps designated as cash flow      hedge                      |   |                                                      | (7,984    | ) |   |   | - |   |   |   | - |   |
| Translation      adjustment                                   |   |                                                      | 1,087     |   |   |   | (786 | ) |   |   | 356 |   |
| Total comprehensive income under      US GAAP                 |   |                                                      | 343,672   |   |   |   | 503,137 |   |   |   | 200,427 |   |

----

| (i) | Sales      by product type and by geographic area for the years ended December 31,      2009, 2008 and 2007 |
|-----|-------------------------------------------------------------------------------------------------------------|

| Year ended December 31, 2009 |   | Chile  |    |   | Latin AmericaandCaribbean (1) |   |    | Europe |   |   | NorthAmerica |   |   | Asiaand other |    |   |  Eliminations |   |    | Total  |   |
|--------------------------------------------------|--------|--------|---------|--------|-----------------------------------------|--------|---------|--------|--------|--------|--------------|--------|--------|--------------------|---------|--------|--------------------|--------|---------|--------|--------|
|                                        |   | ThUS$  |    |   | ThUS$                                   |   |    | ThUS$  |   |   | ThUS$        |   |   | ThUS$              |    |   | ThUS$              |   |    | ThUS$  |   |
|                                             |   |   |    |   |                                    |   |    |   |   |   |         |   |   |               |    |   |               |   |    |   |   |
| Total      revenues:                             |   |   |    |   |                                    |   |    |   |   |   |         |   |   |               |    |   |               |   |    |   |   |
| Specialty      plant nutrition                   |   |   | 149,239 |   |                                    |   | 125,609 |   |   |   | 167,557      |   |   |               | 231,779 |   |               |   | 211,486 |   |   |   | (236,957 | ) |   |   | 648,713 |   |
| Iodine      and derivatives                      |   |   | 188,458 |   |                                    |   | 6,856   |   |   |   | 125,170      |   |   |               | 126,382 |   |               |   | 61,181  |   |   |   | (317,763 | ) |   |   | 190,284 |   |
| Lithium      and derivatives                     |   |   | 208     |   |                                    |   | 1,606   |   |   |   | 93,117       |   |   |               | 27,031  |   |               |   | 58,558  |   |   |   | (62,677 | ) |   |   | 117,843 |   |
| Industrial      chemicals                        |   |   | 8,684   |   |                                    |   | 13,562  |   |   |   | 100,806      |   |   |               | 99,221  |   |               |   | 38,243  |   |   |   | (145,130 | ) |   |   | 115,386 |   |
| Potassium      chloride                          |   |   | 173,249 |   |                                    |   | 49,542  |   |   |   | 182,271      |   |   |               | 65,587  |   |               |   | 91,131  |   |   |   | (276,957 | ) |   |   | 284,823 |   |
| Other      commodity fertilizers (2)             |   |   | 335,013 |   |                                    |   | 424     |   |   |   | 12,001       |   |   |               | 4,566   |   |               |   | 932     |   |   |   | (273,094 | ) |   |   | 79,842 |   |
| Total                                            |   |   | 854,851 |   |                                    |   | 197,599 |   |   |   | 680,922      |   |   |               | 554,566 |   |               |   | 461,531 |   |   |   | (1,312,578 | ) |   |   | 1,436,891 |   |
| Transfers      between geographic areas:         |   |   |    |   |                                    |   |    |   |   |   |         |   |   |               |    |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Specialty      plant nutrition                   |   |   | 66,556  |   |                                    |   | -       |   |   |   | 104,172      |   |   |               | 66,229  |   |               |   | -       |   |   |   | (236,957 | ) |   |   | - |   |
| Iodine      and derivatives                      |   |   | 187,586 |   |                                    |   | -       |   |   |   | 54,620       |   |   |               | 56,186  |   |               |   | 19,371  |   |   |   | (317,763 | ) |   |   | - |   |
| Lithium      and derivatives                     |   |   | -       |   |                                    |   | -       |   |   |   | 33,052       |   |   |               | 9,919   |   |               |   | 19,706  |   |   |   | (62,677 | ) |   |   | - |   |
| Industrial      chemicals                        |   |   | (1      | )      |                                    |   | 2,082   |   |   |   | 48,393       |   |   |               | 66,584  |   |               |   | 28,072  |   |   |   | (145,130 | ) |   |   | - |   |
| Potassium      Chloride                          |   |   | 115,138 |   |                                    |   | 16,589  |   |   |   | 111,607      |   |   |               | 33,623  |   |               |   | -       |   |   |   | (276,957 | ) |   |   | - |   |
| Others      commodity fertilizers (2)            |   |   | 256,963 |   |                                    |   | 152     |   |   |   | 11,429       |   |   |               | 4,157   |   |               |   | 393     |   |   |   | (273,094 | ) |   |   | - |   |
| Total                                            |   |   | 626,242 |   |                                    |   | 18,823  |   |   |   | 363,273      |   |   |               | 236,698 |   |               |   | 67,542  |   |   |   | (1,312,578 | ) |   |   | - |   |
| Sales      to unaffiliated customers:            |   |   |    |   |                                    |   |    |   |   |   |         |   |   |               |    |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Specialty      plant nutrition                   |   |   | 82,683  |   |                                    |   | 125,609 |   |   |   | 63,385       |   |   |               | 165,550 |   |               |   | 211,486 |   |   |   | - |   |   |   | 648,713 |   |
| Iodine      and derivatives                      |   |   | 872     |   |                                    |   | 6,856   |   |   |   | 70,550       |   |   |               | 70,196  |   |               |   | 41,810  |   |   |   | - |   |   |   | 190,284 |   |
| Lithium      and derivatives                     |   |   | 208     |   |                                    |   | 1,606   |   |   |   | 60,065       |   |   |               | 17,112  |   |               |   | 38,852  |   |   |   | - |   |   |   | 117,843 |   |
| Industrial      chemicals                        |   |   | 8,685   |   |                                    |   | 11,480  |   |   |   | 52,413       |   |   |               | 32,637  |   |               |   | 10,171  |   |   |   | - |   |   |   | 115,386 |   |
| Potassium      Chloride                          |   |   | 58,111  |   |                                    |   | 32,953  |   |   |   | 70,664       |   |   |               | 31,964  |   |               |   | 91,131  |   |   |   | - |   |   |   | 284,823 |   |
| Others      commodity fertilizers (2)            |   |   | 78,050  |   |                                    |   | 272     |   |   |   | 572          |   |   |               | 409     |   |               |   | 539     |   |   |   | - |   |   |   | 79,842 |   |
| Total                                            |   |   | 228,609 |   |                                    |   | 178,776 |   |   |   | 317,649      |   |   |               | 317,868 |   |               |   | 393,989 |   |   |   | - |   |   |   | 1,436,891 |   |

----

|   | (i) | Sales      by product type and by geographic area for the years ended December 31,      2009, 2008 and 2007 (continued) |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------|

| Year ended December 31, 2008 |   | Chile  |      |   | Latin AmericaandCaribbean (1) |   |    | Europe |   |   | North America |   |   | Asiaand other |    |   |  Eliminations |   |    | Total  |   |
|--------------------------------------------------|--------|--------|-----------|--------|-----------------------------------------|--------|---------|--------|--------|--------|--------------------|--------|--------|--------------------|---------|--------|--------------------|--------|---------|--------|--------|
|                                             |   | ThUS$  |      |   | ThUS$                                   |   |    | ThUS$  |   |   | ThUS$              |   |   | ThUS$              |    |   | ThUS$              |   |    | ThUS$  |   |
|                                             |   |   |      |   |                                    |   |    |   |   |   |               |   |   |               |    |   |               |   |    |   |   |
| Total      revenues:                             |   |   |      |   |                                    |   |    |   |   |   |               |   |   |               |    |   |               |   |    |   |   |
| Specialty      plant nutrition                   |   |   | 268,107   |   |                                    |   | 256,569 |   |   |   | 426,497            |   |   |               | 341,392 |   |               |   | 234,284 |   |   |   | (547,927 | ) |   |   | 978,922 |   |
| Iodine      and derivatives                      |   |   | 176,107   |   |                                    |   | 7,400   |   |   |   | 150,810            |   |   |               | 199,371 |   |               |   | 92,051  |   |   |   | (378,832 | ) |   |   | 246,907 |   |
| Lithium      and derivatives                     |   |   | 581       |   |                                    |   | 1,982   |   |   |   | 121,957            |   |   |               | 62,238  |   |               |   | 85,597  |   |   |   | (100,016 | ) |   |   | 172,339 |   |
| Industrial      chemicals                        |   |   | 8,011     |   |                                    |   | 35,415  |   |   |   | 107,040            |   |   |               | 135,658 |   |               |   | 47,699  |   |   |   | (210,204 | ) |   |   | 123,619 |   |
| Potassium      chloride                          |   |   | 223,901   |   |                                    |   | 30,465  |   |   |   | 5,090              |   |   |               | 546     |   |               |   | 33,561  |   |   |   | (153,565 | ) |   |   | 139,998 |   |
| Other      commodity fertilizers (2)             |   |   | 485,983   |   |                                    |   | 1,032   |   |   |   | 402                |   |   |               | 1,442   |   |               |   | 115     |   |   |   | (376,640 | ) |   |   | 112,334 |   |
| Total                                            |   |   | 1,162,690 |   |                                    |   | 332,863 |   |   |   | 811,796            |   |   |               | 740,647 |   |               |   | 493,307 |   |   |   | (1,767,184 | ) |   |   | 1,774,119 |   |
| Transfers between      geographic areas:         |   |   |      |   |                                    |   |    |   |   |   |               |   |   |               |    |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Specialty      plant nutrition                   |   |   | 81,293    |   |                                    |   | 27,529  |   |   |   | 197,416            |   |   |               | 156,481 |   |               |   | 85,208  |   |   |   | (547,927 | ) |   |   | - |   |
| Iodine      and derivatives                      |   |   | 174,630   |   |                                    |   | 43      |   |   |   | 70,366             |   |   |               | 100,340 |   |               |   | 33,453  |   |   |   | (378,832 | ) |   |   | - |   |
| Lithium      and derivatives                     |   |   | -         |   |                                    |   | -       |   |   |   | 41,067             |   |   |               | 30,269  |   |               |   | 28,680  |   |   |   | (100,016 | ) |   |   | - |   |
| Industrial      chemicals                        |   |   | 2,921     |   |                                    |   | 7,521   |   |   |   | 72,942             |   |   |               | 94,973  |   |               |   | 31,847  |   |   |   | (210,204 | ) |   |   | - |   |
| Potassium      Chloride                          |   |   | 148,921   |   |                                    |   | -       |   |   |   | -                  |   |   |               | -       |   |               |   | 4,644   |   |   |   | (153,565 | ) |   |   | - |   |
| Others      commodity fertilizers (2)            |   |   | 376,640   |   |                                    |   | -       |   |   |   | -                  |   |   |               | -       |   |               |   | -       |   |   |   | (376,640 | ) |   |   | - |   |
| Total                                            |   |   | 784,405   |   |                                    |   | 35,093  |   |   |   | 381,791            |   |   |               | 382,063 |   |               |   | 183,832 |   |   |   | (1,767,184 | ) |   |   | - |   |
| Sales      to unaffiliated customers:            |   |   |      |   |                                    |   |    |   |   |   |               |   |   |               |    |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Specialty      plant nutrition                   |   |   | 186,814   |   |                                    |   | 229,040 |   |   |   | 229,081            |   |   |               | 184,911 |   |               |   | 149,076 |   |   |   | - |   |   |   | 978,922 |   |
| Iodine      and derivatives                      |   |   | 1,477     |   |                                    |   | 7,357   |   |   |   | 80,444             |   |   |               | 99,031  |   |               |   | 58,598  |   |   |   | - |   |   |   | 246,907 |   |
| Lithium      and derivatives                     |   |   | 581       |   |                                    |   | 1,982   |   |   |   | 80,890             |   |   |               | 31,969  |   |               |   | 56,917  |   |   |   | - |   |   |   | 172,339 |   |
| Industrial      chemicals                        |   |   | 5,090     |   |                                    |   | 27,894  |   |   |   | 34,098             |   |   |               | 40,685  |   |               |   | 15,852  |   |   |   | - |   |   |   | 123,619 |   |
| Potassium      Chloride                          |   |   | 74,980    |   |                                    |   | 30,465  |   |   |   | 5,090              |   |   |               | 546     |   |               |   | 28,917  |   |   |   | - |   |   |   | 139,998 |   |
| Others      commodity fertilizers (2)            |   |   | 109,343   |   |                                    |   | 1,032   |   |   |   | 402                |   |   |               | 1,442   |   |               |   | 115     |   |   |   | - |   |   |   | 112,334 |   |
| Total                                            |   |   | 378,285   |   |                                    |   | 297,770 |   |   |   | 430,005            |   |   |               | 358,584 |   |               |   | 309,475 |   |   |   | - |   |   |   | 1,774,119 |   |

----

| (i) | Sales      by product type and by geographic area for the years ended December 31,      2009, 2008 and 2007 (continued) |
|-----|-------------------------------------------------------------------------------------------------------------------------|

|  Year ended December 31, 2007 |   | Chile  |    |   | Latin Americaand Caribbean (1) |   |    | Europe |   |   | NorthAmerica |   |   | Asiaand other |    |   |  Eliminations |   |    | Total  |   |
|--------------------------------------------------------|--------|--------|---------|--------|-----------------------------------------------|--------|---------|--------|--------|--------|--------------|--------|--------|--------------------|---------|--------|--------------------|--------|---------|--------|--------|
|                                                   |   | ThUS$  |    |   | ThUS$                                         |   |    | ThUS$  |   |   | ThUS$        |   |   | ThUS$              |    |   | ThUS$              |   |    | ThUS$  |   |
| Total      revenues:                                   |   |   |    |   |                                          |   |    |   |   |   |         |   |   |               |    |   |               |   |    |   |   |
| Specialty      plant nutrition                         |   |   | 157,148 |   |                                          |   | 127,274 |   |   |   | 240,982      |   |   |               | 192,830 |   |               |   | 84,509  |   |   |   | (221,982 | ) |   |   | 580,761 |   |
| Iodine      and derivatives                            |   |   | 167,189 |   |                                          |   | 7,584   |   |   |   | 144,977      |   |   |               | 157,530 |   |               |   | 63,353  |   |   |   | (325,530 | ) |   |   | 215,103 |   |
| Lithium      and derivatives                           |   |   | 631     |   |                                          |   | 2,621   |   |   |   | 152,993      |   |   |               | 66,708  |   |               |   | 72,651  |   |   |   | (115,814 | ) |   |   | 179,790 |   |
| Industrial      chemicals                              |   |   | 3,027   |   |                                          |   | 14,695  |   |   |   | 95,282       |   |   |               | 88,266  |   |               |   | 19,801  |   |   |   | (139,881 | ) |   |   | 81,190 |   |
| Potassium      chloride                                |   |   | 104,807 |   |                                          |   | 12,811  |   |   |   | 7,621        |   |   |               | 198     |   |               |   | 10,718  |   |   |   | (84,889 | ) |   |   | 51,266 |   |
| Other      commodity fertilizers (2)                   |   |   | 214,481 |   |                                          |   | 910     |   |   |   | 1,316        |   |   |               | 3,447   |   |               |   | 1,831   |   |   |   | (142,568 | ) |   |   | 79,417 |   |
| Total                                                  |   |   | 647,283 |   |                                          |   | 165,895 |   |   |   | 643,171      |   |   |               | 508,979 |   |               |   | 252,863 |   |   |   | (1,030,664 | ) |   |   | 1,187,527 |   |
| Transfers between      geographic areas:               |   |   |    |   |                                          |   |    |   |   |   |         |   |   |               |    |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Specialty      plant nutrition                         |   |   | 33,102  |   |                                          |   | 13,174  |   |   |   | 95,014       |   |   |               | 62,424  |   |               |   | 18,268  |   |   |   | (221,982 | ) |   |   | - |   |
| Iodine      and derivatives                            |   |   | 166,244 |   |                                          |   | -       |   |   |   | 59,011       |   |   |               | 78,736  |   |               |   | 21,539  |   |   |   | (325,530 | ) |   |   | - |   |
| Lithium      and derivatives                           |   |   | 260     |   |                                          |   | -       |   |   |   | 69,409       |   |   |               | 28,228  |   |               |   | 17,917  |   |   |   | (115,814 | ) |   |   | - |   |
| Industrial      chemicals                              |   |   | 1,322   |   |                                          |   | 2,776   |   |   |   | 58,897       |   |   |               | 61,298  |   |               |   | 15,588  |   |   |   | (139,881 | ) |   |   | - |   |
| Potassium      chloride                                |   |   | 74,789  |   |                                          |   | 2,598   |   |   |   | -            |   |   |               | 30      |   |               |   | 7,472   |   |   |   | (84,889 | ) |   |   | - |   |
| Other      commodity fertilizers (2)                   |   |   | 138,680 |   |                                          |   | -       |   |   |   | -            |   |   |               | 2,284   |   |               |   | 1,604   |   |   |   | (142,568 | ) |   |   | - |   |
| Total                                                  |   |   | 414,397 |   |                                          |   | 18,284  |   |   |   | 282,331      |   |   |               | 233,000 |   |               |   | 82,388  |   |   |   | (1,030,664 | ) |   |   | - |   |
| Sales      to unaffiliated customers:                  |   |   |    |   |                                          |   |    |   |   |   |         |   |   |               |    |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Specialty      plant nutrition                         |   |   | 124,046 |   |                                          |   | 114,100 |   |   |   | 145,968      |   |   |               | 130,406 |   |               |   | 66,241  |   |   |   | - |   |   |   | 580,761 |   |
| Iodine      and derivatives                            |   |   | 945     |   |                                          |   | 7,584   |   |   |   | 85,966       |   |   |               | 78,794  |   |               |   | 41,814  |   |   |   | - |   |   |   | 215,103 |   |
| Lithium      and derivatives                           |   |   | 371     |   |                                          |   | 2,621   |   |   |   | 83,584       |   |   |               | 38,480  |   |               |   | 54,734  |   |   |   | - |   |   |   | 179,790 |   |
| Industrial      Chemicals                              |   |   | 1,705   |   |                                          |   | 11,919  |   |   |   | 36,385       |   |   |               | 26,968  |   |               |   | 4,213   |   |   |   | - |   |   |   | 81,190 |   |
| Potassium      chloride                                |   |   | 30,018  |   |                                          |   | 10,213  |   |   |   | 7,621        |   |   |               | 168     |   |               |   | 3,246   |   |   |   | - |   |   |   | 51,266 |   |
| Other      commodity fertilizers (2)                   |   |   | 75,801  |   |                                          |   | 910     |   |   |   | 1,316        |   |   |               | 1,163   |   |               |   | 227     |   |   |   | - |   |   |   | 79,417 |   |
| Total                                                  |   |   | 232,886 |   |                                          |   | 147,347 |   |   |   | 360,840      |   |   |               | 275,979 |   |               |   | 170,475 |   |   |   | - |   |   |   | 1,187,527 |   |

----

| (ii) | Other      segment information as of and for the years ended December 31, 2009, 2008      and 2007: |
|------|-----------------------------------------------------------------------------------------------------|

|  As      of and for the year ended December 31,      2009 |   | Chile  |      |   | LatinAmerica andCaribbean |   |    | Europe |   |   | North      America |   |   |  Asiaand      other |   |   |   Eliminations |   |    | Total  |   |
|----------------------------------------------------------------|--------|--------|-----------|--------|--------------------------------|--------|---------|--------|--------|--------|--------------------|--------|--------|--------------------------|--------|--------|--------------------------|--------|---------|--------|--------|
|                                                           |   | ThUS$  |      |   | ThUS$                          |   |    | ThUS$  |   |   | ThUS$              |   |   | ThUS$                    |   |   | ThUS$                    |   |    | ThUS$  |   |
| Production      facilities (1):                                |   |   |      |   |                           |   |    |   |   |   |               |   |   |                     |   |   |                     |   |    |   |   |
| Pedro      de Valdivia                                         |   |   | 75,934    |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 75,934 |   |
| María      Elena                                          |   |   | 196,809   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 196,809 |   |
| Coya      Sur                                                  |   |   | 235,083   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 235,083 |   |
| Pampa      Blanca                                              |   |   | 15,667    |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 15,667 |   |
| Nueva      Victoria                                            |   |   | 141,786   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 141,786 |   |
| Salar      de Atacama                                          |   |   | 433,636   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 433,636 |   |
| Salar      del Carmen                                          |   |   | 92,341    |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 92,341 |   |
| Others                                                         |   |   | 2,444     |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | (1,271 | ) |   |   | 1,173 |   |
| Sub-total      production facilities                           |   |   | 1,193,700 |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | (1,271 | ) |   |   | 1,192,429 |   |
|                                                           |   |   |      |   |                           |   |    |   |   |   |               |   |   |                     |   |   |                     |   |    |   |   |   |   |   |   |   |   |   |
| Port      facility (1)                                         |   |   | 55,937    |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 55,937 |   |
| Other      property, plant and equipment                       |   |   | 58,814    |   |                           |   | -       |   |   |   | -                  |   |   |                     | -      |   |                     |   | -       |   |   |   | 7,839 |   |   |   | 66,653 |   |
| Assets      of commercial locations                            |   |   | 7,160     |   |                           |   | 1,619   |   |   |   | 505                |   |   |                     | 2,367  |   |                     |   | 665     |   |   |   | - |   |   |   | 12,316 |   |
| Investments      in related companies                          |   |   | 1,709,791 |   |                           |   | 37,591  |   |   |   | 49,272             |   |   |                     | 36,851 |   |                     |   | -       |   |   |   | (1,778,300 | ) |   |   | 55,205 |   |
| Goodwill(3)                                                    |   |   | 20,516    |   |                           |   | 63      |   |   |   | 9,146              |   |   |                     | -      |   |                     |   | -       |   |   |   | - |   |   |   | 29,725 |   |
| Other      non-current assets (2)                              |   |   | 274,635   |   |                           |   | -       |   |   |   | 7                  |   |   |                     | 3      |   |                     |   | -       |   |   |   | (228,907 | ) |   |   | 45,738 |   |
| Total      long-lived assets                                   |   |   | 3,320,553 |   |                           |   | 39,273  |   |   |   | 58,930             |   |   |                     | 39,221 |   |                     |   | 665     |   |   |   | (2,000,639 | ) |   |   | 1,458,003 |   |
|                                                           |   |   |      |   |                           |   |    |   |   |   |               |   |   |                     |   |   |                     |   |    |   |   |   |   |   |   |   |   |   |
| Expenditures on      long-lived assets                         |   |   | 375,941   |   |                           |   | 90      |   |   |   | 121                |   |   |                     | 30     |   |                     |   | 4       |   |   |   | - |   |   |   | 376,186 |   |
|                                                           |   |   |      |   |                           |   |    |   |   |   |               |   |   |                     |   |   |                     |   |    |   |   |   |   |   |   |   |   |   |
| Export      by region                                          |   |   | -         |   |                           |   | 120,648 |   |   |   | 469                |   |   |                     | 2,851  |   |                     |   | 134,062 |   |   |   | - |   |   |   | 258,030 |   |

| (1) | The      Company’s principal production facilities are located near its mines and      extraction facilities in northern Chile. The following table sets forth      the principal production facilities as of December 31, 2009, 2008 and      2007: |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Location:              |   | Products:                                                                      |
|------------------------|--------|--------------------------------------------------------------------------------|
| Pedro      de Valdivia |   | Nitrate      and iodine production                                             |
| María      Elena  |   | Nitrate      and iodine production                                             |
| Coya      Sur          |   | Nitrate      and iodine production                                             |
| Pampa      Blanca      |   | Concentrated      nitrate salts and iodine production                          |
| Nueva      Victoria    |   | Iodine      production                                                         |
| Salar      de Atacama  |   | Potassium      chloride, lithium chloride, potassium sulfate and boric    acid |
| Salar      del Carmen  |   | Lithium      carbonate and lithium hydroxide production                        |
| Tocopilla              |   | Port      facilitiy                                                            |

| (2) | In      all tables in the segment disclosure this category includes principally      assets that may not be assigned to production facilities and investments      held by holding entities within thegroup. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (ii) | Other      segment information as of and for the years ended December 31, 2009, 2008      and 2007: |
|------|-----------------------------------------------------------------------------------------------------|

| As of and for the      year endedDecember 31,      2008 |   | Chile  |      |   | LatinAmerica andCaribbean |   |    | Europe |   |   | North      America |   |   | Asiaand      other |   |   |  Eliminations |   |    | Total  |   |
|---------------------------------------------------------|--------|--------|-----------|--------|--------------------------------|--------|---------|--------|--------|--------|--------------------|--------|--------|--------------------|--------|--------|--------------------|--------|---------|--------|--------|
|                                                    |   | ThUS$  |      |   | ThUS$                          |   |    | ThUS$  |   |   | ThUS$              |   |   | ThUS$              |   |   | ThUS$              |   |    | ThUS$  |   |
| Production      facilities (1):                         |   |   |      |   |                           |   |    |   |   |   |               |   |   |               |   |   |               |   |    |   |   |
| Pedro      de Valdivia                                  |   |   | 69,096    |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 69,096 |   |
| María      Elena                                   |   |   | 177,416   |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 177,416 |   |
| Coya      Sur                                           |   |   | 146,203   |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 146,203 |   |
| Pampa      Blanca                                       |   |   | 7,037     |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 7,037 |   |
| Nueva      Victoria                                     |   |   | 115,845   |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 115,845 |   |
| Salar      de Atacama                                   |   |   | 342,458   |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 342,458 |   |
| Salar      del Carmen                                   |   |   | 100,909   |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 100,909 |   |
| Others                                                  |   |   | 2,907     |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | 5,529   |   |   |   | (1,480 | ) |   |   | 6,956 |   |
| Sub-total      production facilities                    |   |   | 961,871   |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | 5,529   |   |   |   | (1,480 | ) |   |   | 965,920 |   |
|                                                    |   |   |      |   |                           |   |    |   |   |   |               |   |   |               |   |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Port      facility (1)                                  |   |   | 46,188    |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 46,188 |   |
| Other      property, plant and equipment                |   |   | 91,099    |   |                           |   | -       |   |   |   | -                  |   |   |               | -      |   |               |   | -       |   |   |   | 7,839 |   |   |   | 98,938 |   |
| Assets      of commercial locations                     |   |   | 6,262     |   |                           |   | 1,236   |   |   |   | 2,772              |   |   |               | 2,557  |   |               |   | 743     |   |   |   | (894 | ) |   |   | 12,676 |   |
| Investments      in related companies                   |   |   | 1,489,439 |   |                           |   | 31,754  |   |   |   | 44,850             |   |   |               | 35,491 |   |               |   | -       |   |   |   | (1,564,583 | ) |   |   | 36,951 |   |
| Goodwill(3)                                             |   |   | 22,100    |   |                           |   | 86      |   |   |   | 9,715              |   |   |               | -      |   |               |   | -       |   |   |   | - |   |   |   | 31,901 |   |
| Other      non-current assets (2)                       |   |   | 254,635   |   |                           |   | -       |   |   |   | 6                  |   |   |               | 105    |   |               |   | -       |   |   |   | (219,519 | ) |   |   | 35,227 |   |
| Total      long-lived assets                            |   |   | 2,871,594 |   |                           |   | 33,076  |   |   |   | 57,343             |   |   |               | 38,153 |   |               |   | 6,272   |   |   |   | (1,778,637 | ) |   |   | 1,227,801 |   |
|                                                    |   |   |      |   |                           |   |    |   |   |   |               |   |   |               |   |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Expenditures on      long-lived assets                  |   |   | 302,915   |   |                           |   | 60      |   |   |   | 484                |   |   |               | 547    |   |               |   | 84      |   |   |   | - |   |   |   | 304,090 |   |
|                                                    |   |   |      |   |                           |   |    |   |   |   |               |   |   |               |   |   |               |   |    |   |   |   |   |   |   |   |   |   |
| Export      by region                                   |   |   | -         |   |                           |   | 273,152 |   |   |   | 6,607              |   |   |               | 5,630  |   |               |   | 171,594 |   |   |   | - |   |   |   | 456,983 |   |

----

| (ii) | Other      segment information as of and for the years ended December 31, 2009, 2008      and 2007: |
|------|-----------------------------------------------------------------------------------------------------|

|  As of and for the      year ended December 31, 2007 |   | Chile  |      |   | LatinAmerica andCaribbean |   |    | Europe |   |   | North      America |   |   |  Asiaand      other |    |   |   Eliminations |   |    | Total  |   |
|-----------------------------------------------------------|--------|--------|-----------|--------|--------------------------------|--------|---------|--------|--------|--------|--------------------|--------|--------|--------------------------|---------|--------|--------------------------|--------|---------|--------|--------|
|                                                      |   | ThUS$  |      |   | ThUS$                          |   |    | ThUS$  |   |   | ThUS$              |   |   | ThUS$                    |    |   | ThUS$                    |   |    | ThUS$  |   |
| Production      facilities (1):                           |   |   |      |   |                           |   |    |   |   |   |               |   |   |                     |    |   |                     |   |    |   |   |
| Pedro      de Valdivia                                    |   |   | 74,036    |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 74,036 |   |
| María      Elena                                     |   |   | 156,484   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 156,484 |   |
| Coya      Sur                                             |   |   | 106,771   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 106,771 |   |
| Pampa      Blanca                                         |   |   | 4,069     |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 4,069 |   |
| Nueva      Victoria                                       |   |   | 104,758   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 104,758 |   |
| Salar      de Atacama                                     |   |   | 250,577   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 250,577 |   |
| Salar      del Carmen                                     |   |   | 43,997    |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 43,997 |   |
| Others                                                    |   |   | 6,822     |   |                           |   | -       |   |   |   | -                  |   |   |                     | 21,440  |   |                     |   | 5,970   |   |   |   | (4,865 | ) |   |   | 29,367 |   |
| Sub-total      production facilities                      |   |   | 747,514   |   |                           |   | -       |   |   |   | -                  |   |   |                     | 21,440  |   |                     |   | 5,970   |   |   |   | (4,865 | ) |   |   | 770,059 |   |
|                                                      |   |   |      |   |                           |   |    |   |   |   |               |   |   |                     |    |   |                     |   |    |   |   |   |   |   |   |   |   |   |
| Port      facility (1)                                    |   |   | 39,038    |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 39,038 |   |
| Other      property, plant and equipment                  |   |   | 155,065   |   |                           |   | -       |   |   |   | -                  |   |   |                     | -       |   |                     |   | -       |   |   |   | 7,839 |   |   |   | 162,904 |   |
| Assets      of commercial locations                       |   |   | 7,615     |   |                           |   | 1,450   |   |   |   | 2,813              |   |   |                     | 2,867   |   |                     |   | 566     |   |   |   | (1,174 | ) |   |   | 14,137 |   |
| Investments      in related companies                     |   |   | 1,221,498 |   |                           |   | 15,659  |   |   |   | 24,035             |   |   |                     | 36,450  |   |                     |   | -       |   |   |   | (1,273,707 | ) |   |   | 23,935 |   |
| Goodwill                                                  |   |   | 23,844    |   |                           |   | 108     |   |   |   | 10,284             |   |   |                     | -       |   |                     |   | -       |   |   |   | - |   |   |   | 34,236 |   |
| Other      non-current assets (2)                         |   |   | 353,743   |   |                           |   | -       |   |   |   | 6                  |   |   |                     | 1,675   |   |                     |   | -       |   |   |   | (317,369 | ) |   |   | 38,055 |   |
| Total      long-lived assets                              |   |   | 2,548,317 |   |                           |   | 17,217  |   |   |   | 37,138             |   |   |                     | 62,432  |   |                     |   | 6,536   |   |   |   | (1,589,276 | ) |   |   | 1,082,364 |   |
|                                                      |   |   |      |   |                           |   |    |   |   |   |               |   |   |                     |    |   |                     |   |    |   |   |   |   |   |   |   |   |   |
| Expenditures on      long-lived assets                    |   |   | 175,910   |   |                           |   | 57      |   |   |   | 205                |   |   |                     | 1,838   |   |                     |   | 18      |   |   |   | - |   |   |   | 178,028 |   |
|                                                      |   |   |      |   |                           |   |    |   |   |   |               |   |   |                     |    |   |                     |   |    |   |   |   |   |   |   |   |   |   |
| Export      by region                                     |   |   | -         |   |                           |   | 139,242 |   |   |   | 241,097            |   |   |                     | 217,116 |   |                     |   | 189,897 |   |   |   | - |   |   |   | 787,352 |   |

----

| - | The      data excludes non-financial assets and liabilities, such as property,      plant and equipment, and goodwill. |
|---|------------------------------------------------------------------------------------------------------------------------|

| - | While      the data represents management’s best estimates, the data is subjective      and involves significant estimates regarding current economic and market      conditions and riskcharacteristics, |
|---|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | Cash      and time deposits approximate fair value because of the short-term      maturity of these instruments. |
|---|------------------------------------------------------------------------------------------------------------------|

| - | Current      liabilities that are contracted at variable interest rates are considered      to have a fair value equal to bookvalue. |
|---|--------------------------------------------------------------------------------------------------------------------------------------|

| - | For      interest-bearing liabilities with an original contractual maturity of      greater than one year, the fair values are calculated by discounting      contractual cash flows at current market origination rates with similar      terms. |
|---|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| - | For      forward contracts and swap agreements, fair value is determined using      quoted market prices of financial instruments with similar      characteristics. |
|---|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                       |   | As of December 31, |      |
|------------------------------------------------------------|--------|-----------------------------------|-----------|
|                                                       |   | 2009                              |      |   | 2008 |   |
|                                                       |   | US GAAPCarryingAmount        |      |   | EstimatedFair Value |   |   | US GAAPCarryingAmount |   |   | EstimatedFair Value |   |
|                                                       |   | ThUS$                             |      |   | ThUS$ |   |   | ThUS$ |   |   | ThUS$ |   |
| Assets:                                                    |   |                              |      |   |   |   |   |   |   |   |   |   |
| Cash      and cash equivalents                             |   |                              | 530,394   |   |   |   | 530,394 |   |   |   | 303,799 |   |   |   | 303,799 |   |
| Short-term      accounts receivable                        |   |                              | 394,479   |   |   |   | 394,479 |   |   |   | 385,695 |   |   |   | 385,695 |   |
| Long-term      accounts receivable                         |   |                              | 4,209     |   |   |   | 4,209 |   |   |   | 2,766 |   |   |   | 2,766 |   |
| Derivative      instruments                                |   |                              | -         |   |   |   | - |   |   |   | 1,723 |   |   |   | 1,723 |   |
|                                                       |   |                              |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Liabilities:                                               |   |                              |      |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Short-term      bank debt                                  |   |                              | 70,368    |   |   |   | 70,368 |   |   |   | 133,355 |   |   |   | 133,355 |   |
| Short-term      notes and accounts payable                 |   |                              | 216,563   |   |   |   | 216,563 |   |   |   | 110,298 |   |   |   | 110,298 |   |
| Derivative      instruments                                |   |                              | 68,036    |   |   |   | 68,036 |   |   |   | 18,189 |   |   |   | 18,189 |   |
| Current      and long-term portions of long-term bank debt |   |                              | 1,202,622 |   |   |   | 1,298,139 |   |   |   | 522,651 |   |   |   | 601,662 |   |
| Long-term      other accounts payable                      |   |                              | 187       |   |   |   | 187 |   |   |   | 397 |   |   |   | 397 |   |

----

----

| l) | Estimated      fair value of financial instruments and derivative financial instruments      (continued) |
|----|----------------------------------------------------------------------------------------------------------|

|                           |   | Fair Value Measurements at Reporting DateThUS$ |   |
|--------------------------------|--------|-------------------------------------------------------------------------|--------|
|                           |   | Level      1                                                            |   |   | Level      2 |   |   | Level      3 |   |
| Assets                         |   |                                                                    |   |   |   |   |   |   |   |
| Cross      currency swaps      |   |                                                                    | -      |   |   |   | 51,339 |   |   |   | - |   |
| Foreign      exchange forwards |   |                                                                    | -      |   |   |   | 8,863 |   |   |   | - |   |
| Foreign      exchange options  |   |                                                                    | -      |   |   |   | 54 |   |   |   | - |   |
| Total      Assets              |   |                                                                    | -      |   |   |   | 60,256 |   |   |   | - |   |
|                           |   |                                                                    |   |   |   |   |   |   |   |   |   |   |
| Liabilities                    |   |                                                                    |   |   |   |   |   |   |   |   |   |   |
| Cross      currency swaps      |   |                                                                    | -      |   |   |   | - |   |   |   | - |   |
| Foreign      exchange forwards |   |                                                                    | -      |   |   |   | 3,993 |   |   |   | - |   |
| Foreign      exchange options  |   |                                                                    | -      |   |   |   | - |   |   |   | - |   |
| Total      Liabilities         |   |                                                                    | -      |   |   |   | 3,993 |   |   |   | - |   |

| m) | Post-retirement      obligations and staff severanceindemnities |
|----|-----------------------------------------------------------------|

|                                         |   | 2009   |   |   | 2008   |   |
|----------------------------------------------|--------|--------|--------|--------|--------|--------|
|                                         |   |   |   |   |   |   |
| Weighted-average      discount rate          |   |   | 6.5    | %      |   |   | 6.5 | % |
| Rate      of increase in compensation levels |   |   | 0.0    | %      |   |   | 0.0 | % |
| Long-term      rate of return on plan assets |   |   | 7.5    | %      |   |   | 7.5 | % |

----

| m) | Post-retirement      obligations and staff severance indemnities  (continued) |
|----|-------------------------------------------------------------------------------|

|                                                                            |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|---------------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                                                                            |   |   |   |   |   |   |   |   |   |
|                                                                            |   | ThUS$  |   |   | ThUS$  |   |   | ThUS$  |   |
| Change      in benefit obligation:                                              |   |   |   |   |   |   |   |   |   |
| Benefit      obligation at beginning of year                                    |   |   | 6,631  |   |   |   | 6,245  |   |   |   | 5,696 |   |
| Service      cost                                                               |   |   | 1      |   |   |   | 1      |   |   |   | 1 |   |
| Interest      cost                                                              |   |   | 423    |   |   |   | 398    |   |   |   | 391 |   |
| Actuarial      loss                                                             |   |   | 33     |   |   |   | 255    |   |   |   | 405 |   |
| Benefits      paid                                                              |   |   | (297   | )      |   |   | (268   | )      |   |   | (248 | ) |
| Benefit      obligation at end of the year                                      |   |   | 6,791  |   |   |   | 6,631  |   |   |   | 6,245 |   |
|                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |
| Change      in plan assets:                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| Fair      value of plan assets at beginning of year                             |   |   | 3,758  |   |   |   | 6,141  |   |   |   | 5,621 |   |
| Employer      contributions                                                     |   |   | 448    |   |   |   | 34     |   |   |   | 69 |   |
| Actual      return (loss) on plan assets                                        |   |   | 1,173  |   |   |   | (2,149 | )      |   |   | 699 |   |
| Benefits      paid                                                              |   |   | (297   | )      |   |   | (268   | )      |   |   | (248 | ) |
| Fair      value of plan assets at end of year                                   |   |   | 5,082  |   |   |   | 3,758  |   |   |   | 6,141 |   |
|                                                                            |   |   |   |   |   |   |   |   |   |   |   |   |
| Funded      status                                                              |   |   | (1,709 | )      |   |   | (2,873 | )      |   |   | (104 | ) |
| Items      not yet recognized as components of net periodic pension      costs: |   |   |   |   |   |   |   |   |   |   |   |   |
| Net      actuarial loss at the beginning of the period                          |   |   | (4,186 | )      |   |   | (1,359 | )      |   |   | (1,218 | ) |
| Amortization      during the period                                             |   |   | 198    |   |   |   | 37     |   |   |   | 35 |   |
| Estimated      net gain loss occurring during the period                        |   |   | 857    |   |   |   | (2,864 | )      |   |   | (176 | ) |
| Adjustment      to recognize minimum pension liability                          |   |   | (3,131 | )      |   |   | (4,186 | )      |   |   | (1,359 | ) |
| Accrued      pension (liability)/ prepaid pension cost                          |   |   | (1,709 | )      |   |   | (2,873 | )      |   |   | (104 | ) |

|                                                   |   | 2009   |   |   | 2008   |   |   | 2007   |   |
|--------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                                                   |   | ThUS$  |   |   | ThUS$  |   |   | ThUS$  |   |
|                                                   |   |   |   |   |   |   |   |   |   |
| Service      cost or benefits earned during the period |   |   | 1      |   |   |   | 1      |   |   |   | 1 |   |
| Interest      cost on benefit obligation               |   |   | 423    |   |   |   | 398    |   |   |   | 391 |   |
| Actual      return on plan assets                      |   |   | (1,173 | )      |   |   | 2,149  |   |   |   | (699 | ) |
| Amortization      of loss from prior periods           |   |   | 198    |   |   |   | 38     |   |   |   | 35 |   |
| Net      gain during the period                        |   |   | 889    |   |   |   | (2,610 | )      |   |   | 229 |   |
| Net      periodic pension expense                      |   |   | 338    |   |   |   | (24    | )      |   |   | (43 | ) |

----

| m) | Post-retirement      obligations and staff severance indemnities  (continued) |
|----|-------------------------------------------------------------------------------|

|                          |   | 2009   |   |   | 2008   |   |
|-------------------------------|--------|--------|--------|--------|--------|--------|
|                          |   |   |   |   |   |   |
| Growth      securities        |   |   | 59     | %      |   |   | 48 | % |
| International      securities |   |   | 25     | %      |   |   | 25 | % |
| Taxable      bond             |   |   | 14     | %      |   |   | 20 | % |
| Treasury      securities      |   |   | -      |   |   |   | 4 | % |
| Money      market funds       |   |   | 2      | %      |   |   | 3 | % |
| Total                         |   |   | 100    | %      |   |   | 100 | % |

|               |   | ThUS$  |   |
|--------------------|--------|--------|--------|
|               |   |   |   |
| 2010               |   |   | 318    |   |
| 2011               |   |   | 346    |   |
| 2012               |   |   | 375    |   |
| 2013               |   |   | 400    |   |
| 2014               |   |   | 436    |   |
| Years    2015-2019 |   |   | 2,699  |   |

| n) | Cash      and cash equivalents |
|----|--------------------------------|

| o) | Restricted      assets |
|----|------------------------|

----