UPDATE 1-Potash Corp position on German company K+S unchanged - CEO

Wed Dec 2, 2015 10:22am EST
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(Adds company statement on dividend, share activity)

By Rod Nickel

Dec 2 (Reuters) - A recent report that Potash Corp of Saskatchewan is preparing a new takeover bid for German potash producer K+S AG is an unfounded rumor, Chief Executive Officer Jochen Tilk said on Wednesday.

Potash, one of the world's biggest producers of the crop nutrient, withdrew its $8.9 billion bid for K+S in October.

"We did withdraw and what we said in our press release two months ago is the same position we have today," Tilk said at a Citi investor conference in New York.

A recent German report that Potash is preparing a new bid for K+S "was a rumor, nothing more," Tilk said.

Potash Corp expects to generate more cash as it wraps up a longtime expansion program next year.

Tilk said the company is considering whether to reduce its dividend and instead return cash to shareholders by buying stock.

"Some people have asked, and I think it's a valid question, 'why wouldn't you reduce your dividend and buy back stock?'" Tilk said. "Of course we're looking at that."   Continued...