Archer-Daniels-Midland Co. (ADM)

**greencat** · #1 10-04-2009, 11:39 PM

ADM: Profile for ARCHER DANIELS MDLND - Yahoo! Finance

Archer-Daniels-Midland Co.
4666 Faries Parkway
Decatur, IL 62525
United States - Map
Phone: 217-424-4647
Fax: 217-424-5447
Web Site: ADM: Home

DETAILS
Index Membership: S&P 500
Sector: Consumer Goods
Industry: Farm Products
Full Time Employees: 28,200

BUSINESS SUMMARY
Archer-Daniels-Midland Company procures, transports, stores, processes, and merchandises agricultural commodities and products in the United States and internationally. The company’s Oilseeds Processing segment engages in processing oilseeds, such as soybeans, cotton seed, sunflower seeds, canola, rape seed, pea nuts, and flax seed into vegetable oils and protein meals for the food and feed industries. It also produces edible soy protein products, including soy flour, soy grits, soy protein concentrates, and soy isolates used in processed meats, baked foods, nutritional products, snacks, and dairy and meat analogs. Archer-Daniels-Midland’s Corn Processing segment engages in wet milling and dry milling corn operations. This segment produces syrup, starch, glucose, dextrose, and sweeteners; corn gluten feed and meal, and distiller’s grains; corn germ; and alcohol, amino acids, and other food and animal feed ingredients, as well as produces and sells fresh and dry yeast. It also offers astaxanthin, a product used in aquaculture; and citric and lactic acids, lactates, sorbitol, and xanthan gum used in various food and industrial products. The company’s Agricultural Services segment purchases, stores, cleans, and transports agricultural commodities, such as oilseeds, corn, wheat, milo, oats, rice, and barley, as well as resells these commodities as food and feed ingredients for the agricultural processing industry. This segment also processes and distributes edible beans, formula feeds, and animal health and nutrition products. In addition, Archer-Daniels-Midland engages in milling wheat, corn, and milo into flour; and offers cocoa liquor, butter, powder, chocolate, bakery products and mixes, wheat starch, and gluten; provides brokerage and foreign exchange services; participates in third-party reinsurance arrangements; and sells crop insurance to American farmers. The company was founded in 1898 and is based in Decatur, Illinois

**greencat** · #2 10-05-2009, 10:49 AM

On Friday the Olympic Committee voted to award Rio de Janeiro the 2016 games, putting the Olympics in South America for the first time, ever.

Rio beat finalist Madrid in the last round of voting.

The decision culminates Brazil's remarkable rise over the past decade from a weak nation to an economic and diplomatic heavyweight.

Just as the Beijing Olympics of 2008 marked China's revival as a world power, Rio 2016 may be seen as a stamp of approval on the South American giant's coming of age.

What’s the trade?

Most people are forgetting that Brazil is already going to host the 2014 World Cup. If you put the two events together, the amount of investment that will have to be done, particularly on the infrastructure side, is significant,” says Vinicius Silva, equity strategist at Morgan Stanley.

(And) some things need to be done many years in advance of these events actually happening -- roads, rail, airports, energy to support the investments.

I like the infrastructure play, says Zach Karabell. I’d look at Vale [VALE 22.92 0.62 (+2.78%) ]. Or if you want a US play I’d look at Archer Daniels Midland [ADM 28.43 -0.43 (-1.49%) ] as a food play on soybeans and corn, major parts of Brazil's ag market.

I also like infrastructure, says Tim Seymour. Or you can look at cellphone makers such as Vivo Participacoes [VIV 26.18 1.25 (+5.01%) ] and TIM Participacoes [TSU 24.90 0.92 (+3.84%) ] as well as airlines including Gol Linhas Aereas Inteligentes [GOL 10.25 0.35 (+3.54%) ] and TAM Linhas Aereas [TAM 13.44 0.59 (+4.59%) ] .

Our news partner Reuters compiled a list of some principal challenges Rio faces with the games and resulting opportunities for investment. We thought you might be interested. They follow:

STADIUMS

Despite the considerable sports infrastructure built for the 2007 Pan-American Games, Rio will have to build from scratch nearly half the stadium capacity it needs and carry out renovations to provide another 24 percent of the minimum required seating.

This will require building a wide array of facilities such as an arena for diving and water polo. The Maracana soccer stadium is expected to be up to par by 2016 because it will be upgraded for the 2014 soccer World Cup to be held in Brazil.

TRANSPORTATION

Beating traffic will be a top priority for Rio because the city has a limited metro system that does not link the city center and most of its hotels to the outskirts of Barra da Tijuca, where the venues are concentrated.

The city will spend $5 billion on rapid-transit bus lines to cut through traffic between Barra and the beachside neighborhoods of Copacabana and Ipanema. Organizers say athletes should get to events within 25 minutes, though fans may sit through up to an hour of traffic.

The city failed to honor ambitious transportation promises made in the run-up to the Pan-American Games, including metro extensions and a system of ferries along Rio's coastline. And even the new bus system will not link the international airport to the venue circuit.

SECURITY

Renowned for its natural wonders including beaches and the Sugar Loaf mountain, Rio is also notorious for violent crime in its shantytowns, or "favelas," driven largely by warring drug gangs.

While most of the events are far from Rio's slums, some venues are in areas considered to be high risk. The Maracana soccer stadium, for example, is close to the Manguiera favela where gang confrontations and shootouts are not uncommon.

The organizers note that despite these concerns, there were no serious security problems during previous events such as the Pan-American Games and the 1992 Earth Summit.

ENVIRONMENT

Rio's abundant lakes and vast coastline make it ideal for water sports, but heavy investments are needed to clean up years of pollution.

The Rodrigo de Freitas lagoon suffers from draining of sewage from nearby neighborhoods that is the subject of complaints by the rowers and sailors who use it. The Guanabara Bay is polluted and heavily used by oil tankers. The government says it will invest $4 billion to clean up the waters.

ACCOMMODATION

Rio needs to build several complexes including the Olympic Village that will provide some 25,000 of the 48,000 hotel rooms needed for the Games.

Even with these facilities, the city still plans to provide a considerable amount of the total accommodation through cruise ships docked in rundown port areas of Rio.

A proposal to spend $210 million to revitalize the port area is stalled.

**greencat** · #3 10-05-2009, 10:52 AM

DECATUR, Ill. (TheStreet) -- Agriculture and fair competition have had a strained relationship.

More on ADM Eichenwald on 'The Informant''Mad Money Lightning Round': BofA -- Time to Reload1 Minute Trade: The ADM FactorArcher Daniels Profit Tumbles 83%High TimesRatings Changes: Disney, Unum, BungeAnalysts' Upgrades, Downgrades: BofA'Fast Money' Portfolios of the WeekToday's Outrage: Financial Stocks Crowd Out S&PDividend Stocks for the Week Market Activity Archer Daniels Midland Company| ADM The Andersons Incorporated| ANDE Bunge Limited| BG Price-fixing scandals, such as the lysine conspiracy, have marred the industry. (Lysine is a vital component of livestock feed and the subject of the new movie "The Informant.")

Regardless, the industry is growing in appeal as the world's population expands, straining food production. More food is needed from less space as cities grow, claiming more farm land. Companies such as Archer Daniels Midland(ADM Quote) is a big source of food, and its shares will benefit as a result. Archer Daniels has risen 37% over the past year, compared with a decline for the benchmark S&P 500 Index. Archer Daniels' growth potential is all but guaranteed.

Still, not all food producers have risen quite like Archer Daniels. Bunge(BG Quote) and Corn Products International(CPO Quote) declined during the past year, while The Andersons(ANDE Quote) is little changed. Some of the biggest players in the industry, such as Cargill, are closely held.
Global population growth stands at 1.1% a year, which doesn't sound like much, but in reality means there will be 77 million more people every year, taxing an already stretched food supply and leaving a huge hole to fill by food producers. Food isn't a complex industry to understand: Everyone needs it, and it's all basically the same.

That last point gives the industry most of its character. Commodities, be they corn, grain or lysine, require hedging, which is a huge task. Archer Daniels, for example, has nearly $2 billion in derivative contracts to help guard against a decrease in price or other events that could affect profits, such as foreign-exchange risk.

Money Grows Out of the Ground | The Financial Planner's Briefcase | Financial Articles & Investing News | TheStreet.com

**greencat** · #4 10-05-2009, 04:01 PM

ADM Acquires Czech Oilseed Plant - Yahoo! Finance

ADM Acquires Czech Oilseed Plant

DECATUR, Ill.--(BUSINESS WIRE)--Archer Daniels Midland Company (NYSE: ADM - News) announced today the expansion of its European oilseed processing capabilities with the acquisition of ViaChem Group’s oilseed processing assets in Olomouc, Czech Republic.

Related Quotes
Symbol Price Change
ADM 28.22 -0.21

{"s" : "adm","k" : "c10,l10,p20,t10","o" : "","j" : ""} This facility, in the Eastern part of the Czech Republic, consists of an oilseed crushing, refining and biodiesel plant that produces oil and meal for the food, feed and energy markets.

“This acquisition will allow ADM to expand further its leadership position in agricultural processing in Europe and strengthen our softseed processing activities in this region,” said Brent Fenton, managing director, ADM Europe. “This new site will support ADM’s expansion of its rapeseed and sunseed origination network in Central Europe. In line with ADM’s strategy to expand the size and global reach of our core model, this acquisition increases the Company’s presence in the growing Eastern European market.”

About ADM

Every day, the 28,000 people of Archer Daniels Midland Company (NYSE: ADM - News) turn crops into renewable products that meet the demands of a growing world. At more than 230 processing plants, we convert corn, oilseeds, wheat and cocoa into products for food, animal feed, chemical and energy uses. We operate the world’s premier crop origination and transportation network, connecting crops and markets in more than 60 countries. Our global headquarters is in Decatur, Illinois, and our net sales for the fiscal year ended June 30, 2009, were $69 billion. For more information about our Company and our products, visit ADM: Home.

**greencat** · #5 10-16-2009, 01:40 AM

ADM buys 5 ships to add to transportation network
Archer Daniels Midland buys 5 cargo ships to help transport grain worldwide

On 4:17 pm EDT, Thursday October 15, 2009
Buzz up! 0 Print.Companies:Archer Daniels Midland Company
DECATUR, Ill. (AP) -- Agribusiness leader Archer Daniels Midland Co. said Thursday it has acquired five cargo ships it says will help it transport grain worldwide with greater flexibility and at lower cost than outside carriers.

The company said the oceangoing dry-bulk commodity vessels range in length from 179 meters (587 feet) and 225 meters (738 feet). They can carry between 36,000 tons and 67,000 tons each of all types of grain, grain products and bulk commodities between ports in Europe, South America, Asia and other parts of the world, ADM said.

"Connecting these regions on a global scale aligns with our strategy to expand the geographic scope of our business," Royce Wilken, an officer of ADM Transportation, said in a statement. "In addition to providing us greater control of the supply chain, these vessels will improve operating margins, and help to position us ahead of our competitors with regards to net delivery cost."

ADM said the ships will augment its transportation network, which also includes 1,700 barges, 58 tow boats, 29 line boats, 23,500 railcars and 1,600 trailers.
ADM buys 5 ships to add to transportation network - Yahoo! Finance