Archer Daniels Midland 2010 Annual Report Download

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2010
LETTER TO SHAREHOLDERS
& FORM 10–K

Table of contents

  • Page 1
    2010 Letter to SharehoLderS & Form 10-K

  • Page 2
    ... sales in the country. our agricultural Services team executed strongly throughout the year. In the U.S., we handled a large and logistically challenging crop. Growing world demand for grain also created opportunities, which we captured by acquiring oceangoing vessels and upgrading our barge fleet.

  • Page 3
    ... at our new ethanol plants in Columbus, Nebraska, and Cedar Rapids, Iowa. Production at our Clinton, Iowa, renewable plastics plant is now under way, and our propylene glycol operation in Decatur, Illinois, is projected to be online by the end of the 2010 calendar year. In Agricultural Services, we...

  • Page 4
    ... marked 85 years of trading on the New York Stock Exchange, a testament to our long legacy of success, and we were named the Most Admired Company in the food industry by Fortune magazine, an important step toward achieving our vision of being the most admired global agribusiness. Once again in 2010...

  • Page 5
    ... Commission file number 1-44 ARCHER-DANIELS-MIDLAND COMPANY (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or organization) 41-0129150 (I. R. S. Employer Identification No.) 4666 Faries Parkway Box 1470 Decatur, Illinois (Address...

  • Page 6
    ... day of the registrant's most recently completed second fiscal quarter. Common Stock, no par value--$19.7 billion (Based on the closing sale price of Common Stock as reported on the New York Stock Exchange as of December 31, 2009) Indicate the number of shares outstanding of each of the registrant...

  • Page 7
    ..., Executive Officers and Corporate Governance Executive Compensation Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters Certain Relationships and Related Transactions, and Director Independence Principal Accounting Fees and Services Part IV Exhibits and...

  • Page 8
    ... South America, the Oilseeds Processing segment utilizes a network of grain elevators, port facilities and transportation assets to buy, store, clean, and transport agricultural commodities and operates fertilizer blending facilities. The Company produces a wide range of edible soy protein products...

  • Page 9
    ...The Company is a major supplier of agricultural commodity raw materials to Edible Oils Limited, Stratas Foods LLC, and Wilmar. Corn Processing The Company's Corn Processing segment is engaged in corn wet milling and dry milling activities, primarily in the United States, related to its production of...

  • Page 10
    ... of agricultural commodities and processed products. Toepfer has 36 sales offices worldwide and operates inland, river, and export facilities in Argentina, Romania, Ukraine, and the United States. The Company has a 45% interest in Kalama Export Company, a grain export elevator in Washington...

  • Page 11
    ... the technology and has produced quantities of biocrude that can be upgraded to gasoline components by ConocoPhillips. In December 2009, the Company started production of Mirel®, a renewable plastic in our Clinton, Iowa facility. This new bioplastic is being marketed by Telles, a joint venture of...

  • Page 12
    ...-grain bakery and snack products. The Company has introduced a new chocolate that contains fiber for use in nutrition bars. The Company is moving toward the completion of its propylene glycol plant in Decatur, Illinois. The Company expects this plant to be fully operational in the fourth quarter...

  • Page 13
    ... and development support for cocoa and chocolate products is performed in Milwaukee, Wisconsin, and Koog aan de Zaan, the Netherlands. Research and technical support for industrial and food wheat starch applications is conducted in Ontario, Canada. The Company recently opened its Advantage Centre...

  • Page 14
    ... 31, 2009, the United States Environmental Protection Agency (U.S. EPA) issued a Notice of Violation indicating that one of the Company's facilities in Memphis, Tennessee, may have violated section 311(j) of the Clean Water Act relating to a release of product that occurred on January 2, 2008. The...

  • Page 15
    ...issuers that file information electronically with the SEC. The SEC's Internet address is http://www.sec.gov. Item 1A. RISK FACTORS The availability and prices of the agricultural commodities and agricultural commodity products the Company procures, transports, stores, processes, and merchandises can...

  • Page 16
    ... export restrictions on agricultural commodities and commodity products, including policies related to genetically modified organisms, renewable fuel, and low carbon fuel mandates, can influence the planting of certain crops, the location and size of crop production, whether unprocessed or processed...

  • Page 17
    ... impact operating results. The Company is exposed to potential business disruption, including but not limited to disruption of transportation services, supply of non-commodity raw materials used in its processing operations, and other impacts resulting from acts of terrorism or war, natural...

  • Page 18
    ... or offer other benefits including but not limited to geographic or product line expansion. The Company may encounter unanticipated operating issues or financial results related to these investments that may impact the Company's revenues and operating results. The Company's information technology...

  • Page 19
    ... in Georgia, Illinois, Indiana, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Carolina, Tennessee, and Texas. The international plants are located in Bolivia, Brazil, Canada, Czech Republic, England, Germany, India, Mexico, the Netherlands, Poland, and Ukraine. The Company...

  • Page 20
    ...health and nutrition plants. The domestic plants are located in Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, Ohio, Pennsylvania, Texas, Washington, and Wisconsin. The international plants are located in Canada, China, Puerto Rico, and Trinidad & Tobago...

  • Page 21
    ... bakery mix plants. These plants and related properties are located in California, Illinois, Indiana, Kansas, Minnesota, Missouri, Nebraska, New York, North Carolina, Oklahoma, Pennsylvania, Tennessee, Texas, Washington, Barbados, Belize, Canada, England, Grenada, and Jamaica. The Company operates...

  • Page 22
    ... indicated, the high and low market prices of the common stock as reported on the New York Stock Exchange and common stock cash dividends declared per share. Market Price High Fiscal 2010-Quarter Ended June 30 March 31 December 31 September 30 Fiscal 2009-Quarter Ended June 30 March 31 December 31...

  • Page 23
    ... the three-month period ended June 30, 2010, the Company received 33,011 shares as payment of the exercise price for stock option exercises. (2) On November 5, 2009, the Company's Board of Directors approved a stock repurchase program authorizing the Company to repurchase up to 100,000,000 shares...

  • Page 24
    ...graph below compares five-year returns of the Company's common stock with those of the S&P 500 Index and the S&P Consumer Staples Index. The graph assumes all dividends have been reinvested and assumes an initial investment of $100 on June 30, 2005. Information in the graph is presented on a June 30...

  • Page 25
    ... $0.44 per share) related to the exchange of the Company's interests in certain Asian joint ventures for shares of Wilmar, realized securities gains of $357 million ($225 million after tax, equal to $0.34 per share) related to the Company's sale of equity securities of Tyson Foods Inc. and Overseas...

  • Page 26
    ... buy, store, clean, and transport agricultural commodities and operates fertilizer blending facilities. This segment also includes the Company's share of the results of its equity method investment in Wilmar and its Golden Peanut Company LLC, Edible Oils Limited, and Stratas Foods LLC joint ventures...

  • Page 27
    ..., the Agricultural Services segment includes the activities of Alfred C. Toepfer International, a global merchant of agricultural commodities and processed products, and the Company's share of the results of its Kalama Export Company joint venture. Other includes the Company's remaining processing...

  • Page 28
    ... generally lower and less volatile agricultural commodity market prices and conditions. In addition, the late, extended U.S. harvest reduced profit opportunities. North American oilseed exports and domestic crushing volumes were enhanced by the poor supply of 2009 crop year soybeans in South America...

  • Page 29
    ... sales volumes of soybeans and fertilizer. Corn Processing sales increased 3% to $7.9 billion primarily as a result of increased sales volumes of ethanol and lysine partially offset by lower average selling prices of ethanol, sweeteners, and starches. Agricultural Services sales decreased 19% to $25...

  • Page 30
    ... Biodiesel & Other Asia Total Oilseeds Processing Corn Processing Sweeteners & Starches Bioproducts Total Corn Processing Agricultural Services Merchandising & Handling Transportation Total Agricultural Services Other Wheat, Cocoa & Malt Financial Total Other Total Segment Operating Profit Corporate...

  • Page 31
    ... and starches. Additionally, lower demand for gasoline, decreased gasoline prices and excess ethanol industry capacity negatively impacted ethanol margins. Demand for agricultural commodities, freight, and other products was weaker during 2009 in line with the downturn in the global economy. Results...

  • Page 32
    ... average selling prices of ethanol. Agricultural Services sales decreased 7% to $31.6 billion due principally to lower sales volumes of grain. Other sales decreased 1% to $5.4 billion primarily due to the sale of the Company's malting business during the first quarter of fiscal year 2009 and lower...

  • Page 33
    ... Biodiesel & Other Asia Total Oilseeds Processing Corn Processing Sweeteners & Starches Bioproducts Total Corn Processing Agricultural Services Merchandising & Handling Transportation Total Agricultural Services Other Wheat, Cocoa & Malt Financial Total Other Total Segment Operating Profit Corporate...

  • Page 34
    ...the year as ethanol and lysine margins declined significantly due to higher corn costs and lower average selling prices. Ethanol margins were also impacted by lower demand for gasoline, decreased gasoline prices, and excess ethanol industry capacity. Agricultural Services operating profits decreased...

  • Page 35
    .... As of June 30, 2010, the market price of the Company's common stock was not greater than the exercise price of the purchased call options or warrants related to the convertible senior notes. In June 2008, the Company issued $1.75 billion of debentures as a component of Equity Units (see Note 8 in...

  • Page 36
    ...related to the Company's normal business activities. The following table does not include unrecognized income tax benefits of $84 million as at June 30, 2010... information concerning the Company's pension and other postretirement plans, see Note 14 in Item 8. At June 30, 2010, the Company estimates...

  • Page 37
    ...hedges to fix the purchase price of anticipated volumes of commodities to be purchased and processed in a future month, to fix the purchase price of the Company's anticipated natural gas requirements for certain production facilities, and to fix the sales price of anticipated volumes of ethanol. The...

  • Page 38
    ... business of procuring, transporting, storing, processing, and merchandising agricultural commodities and products. This business is global in nature and is highly capitalintensive. Both the availability of the Company's raw materials and the demand for the Company's finished products are driven by...

  • Page 39
    ... production of similar and competitive crops. To reduce price risk caused by market fluctuations, the Company generally follows a policy of using exchangetraded futures and exchange-traded and over-the-counter options contracts to minimize its net position of merchandisable agricultural commodity...

  • Page 40
    ...average position for 2010 compared to 2009 was principally the result of changes in average quantities underlying the daily net commodity position. Currencies The Company conducts its business in over 60 countries. For the majority of the Company's subsidiaries located outside the United States, the...

  • Page 41
    ... 84 Financial Statements Consolidated Statements of Earnings Consolidated Balance Sheets Consolidated Statements of Cash Flows Consolidated Statements of Shareholders' Equity Notes to Consolidated Financial Statements Reports of Independent Registered Public Accounting Firm 37

  • Page 42
    Archer Daniels Midland Company Consolidated Statements of Earnings Year Ended June 30 2010 2009 2008 (In millions, except per share amounts) Net sales and other operating income Cost of products sold Gross Profit Selling, general and administrative expenses Other (income) expense - net Earnings ...

  • Page 43
    Archer Daniels Midland Company Consolidated Balance Sheets June 30 2010 (In millions) Assets Current Assets Cash and cash ... taxes Other Total Long-Term Liabilities Shareholders' Equity Common stock Reinvested earnings Accumulated other comprehensive income (loss) Noncontrolling interests Total...

  • Page 44
    Archer Daniels Midland Company Consolidated Statements of Cash Flows Year Ended June 30 2009 (In millions) $ 1,688 2010 Operating Activities Net earnings including noncontrolling interests Adjustments to reconcile net earnings to net cash provided by (used in) operating activities Depreciation and ...

  • Page 45
    ... of equity units Stock compensation expense Other Balance June 30, 2008 Comprehensive income Net earnings Other comprehensive income (loss) Total comprehensive income Cash dividends paid-$.54 per share Treasury stock purchases Pension plan measurement date adjustment, net of tax Stock compensation...

  • Page 46
    Archer Daniels Midland Company Notes to Consolidated Financial Statements Note 1. Summary of Significant Accounting Policies Nature of Business The Company is principally engaged in procuring, transporting, storing, processing, and merchandising agricultural commodities and products. Principles of ...

  • Page 47
    .... Collateral is generally not required for the Company's trade receivables. Trade accounts receivable due from unconsolidated affiliates as of June 30, 2010 and 2009 was $304 million and $301 million, respectively. Inventories Inventories of certain merchandisable agricultural commodities, which...

  • Page 48
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 1. Net Sales The Company follows a policy of recognizing sales revenue at the time of delivery of the product and when all of the following have occurred: a sales agreement is in place, pricing is fixed or ...

  • Page 49
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 1. Summary of Significant Accounting Policies (Continued) On July 1, 2009, the Company...Company's control. In accordance with guidance contained in SEC Accounting Series Release 268, Redeemable Preferred Stock ...

  • Page 50
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 1. Summary of Significant Accounting Policies (Continued) On October 1, 2009, the Company adopted the amendment to ASC Topic 820, Fair Value Measurements and Disclosures, which provides guidance for the fair ...

  • Page 51
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 1. Summary of Significant Accounting Policies (Continued) Effective October 1, 2010 and January 1, 2011, the Company will be required to adopt the amended guidance in ASC Topic 310, Receivables, which ...

  • Page 52
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 3. Fair Value Measurements The Company determines the fair value of certain of its inventories of agricultural commodities, derivative contracts, and marketable securities based on the fair value definition ...

  • Page 53
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 3. Fair Value Measurements (Continued) The following tables set forth, by level, the Company's assets and liabilities that were accounted for at fair value on a recurring basis as of June 30, 2010 and 2009. ...

  • Page 54
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 3. Fair Value Measurements (Continued) Fair Value Measurements at June 30, 2009 Quoted Prices...Unrealized derivative losses Commodity contracts Foreign exchange contracts Inventory-related payables Total ...

  • Page 55
    .... The Company's marketable securities are comprised of U.S. Treasury securities, obligations of U.S. government agencies, corporate and municipal debt securities, and equity investments. U.S. Treasury securities and certain publicly traded equity investments are valued using quoted market prices and...

  • Page 56
    Archer Daniels Midland Company Notes to ...2010 Commodity Inventories Derivative Carried at Contracts, Market, Net Net Total (In millions) Balance, June 30, 2009 Total gains (losses), realized or unrealized, included in earnings before income taxes* Purchases, issuances and settlements Transfers...

  • Page 57
    ... as Hedging Instruments The Company generally follows a policy of using exchange-traded futures and exchange-traded and OTC options contracts to minimize its net position of merchandisable agricultural commodity inventories and forward cash purchase and sales contracts to reduce price risk caused by...

  • Page 58
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 4. Inventories, Derivative Instruments & Hedging Activities (Continued) The following table sets forth the fair value of derivatives not designated as hedging instruments as of June 30, 2010 and 2009. 2010 ...

  • Page 59
    ..., ranging from 1% to 13% of its anticipated monthly grind. The Company, from time to time, also uses futures, options, and swaps to fix the purchase price of the Company's anticipated natural gas requirements for certain production facilities. The objective of this hedging program is to reduce the...

  • Page 60
    Archer-Daniels-Midland Company Notes to Consolidated Financial Statements (Continued) Note 4. Inventories, Derivative Instruments & Hedging Activities (Continued) The following table sets forth the fair value of derivatives designated as hedging instruments as of June 30, 2010 and 2009. 2010 Assets...

  • Page 61
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 5. Marketable Securities and Cash Equivalents Cost Unrealized Unrealized Gains Losses (In millions) - 1 3 4 9 - 2 - - - 48 - 67 15) - $ (15) Fair Value 2010 United States government obligations Maturity ...

  • Page 62
    ... in its equity investment in Wilmar. The Company had 73 and 72 unconsolidated affiliates as of June 30, 2010 and 2009, respectively, located in North and South America, Africa, Europe, and Asia. The following table summarizes the combined balance sheets as of June 30, 2010 and 2009, and the combined...

  • Page 63
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 6. Investments in and Advances to Affiliates (Continued) The Company... 2009 Investments In Affiliates (In millions) $ 186 7 1 82 $ 276 Total Total Oilseeds Processing Corn Processing Agricultural Services ...

  • Page 64
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 8. Debt and Financing Arrangements 2010 2009 (In millions) 4.70% Debentures $1.75 billion face amount, due in 2041 0.875% Convertible Senior Notes $1.15 billion face amount, due in 2014 5.45% Notes $700 ...

  • Page 65
    ... in June 2008, the Company issued $1.75 billion of Equity Units. Equity Units are a combination of debt and forward purchase contract for the holder to purchase the Company's common stock. The debt and equity instruments are deemed to be separate instruments as the investor may transfer or settle...

  • Page 66
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 8. Debt and Financing Arrangements (Continued) In February 2007, the Company issued $1.15 billion principal amount of convertible senior notes due in 2014 (the Notes) in a private placement. The Notes were ...

  • Page 67
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 8. Debt and Financing Arrangements (Continued) In March 2010, the Company repurchased an aggregate principal amount of $500 million of its outstanding debentures in accordance with its announced tender offers...

  • Page 68
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 9. Shareholders' Equity (Continued) Compensation expense for option grants, Restricted Stock Awards and PSUs granted to employees is generally recognized on a straight-line basis during the service period of ...

  • Page 69
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 9. Shareholders' Equity (Continued) The fair value of Restricted Stock Awards is determined based on the market value of the Company's shares on the grant date. The fair value of PSUs is estimated at the date...

  • Page 70
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 10. Accumulated Other Comprehensive Income (Loss) The following table sets forth information with respect to accumulated other comprehensive income: Foreign Currency Translation Adjustment Deferred Gain (Loss...

  • Page 71
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 11. Other (Income) Expense - Net 2010 2009 (In millions) $ 469 (181) - - 6 11 (24) (145) 41 $ 177 2008 Interest expense Investment income Loss on extinguishment of debt Unrealized losses on interest rate ...

  • Page 72
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 12. Income Taxes (Continued) Significant components of deferred tax liabilities and assets are as follows. 2010 (In millions) Deferred tax liabilities Property, plant, and equipment Equity in earnings of ...

  • Page 73
    ... related to state income tax attributes, due to the uncertainty of realization. The Company remains subject to examination in the U.S. for the calendar tax years 2007, 2008 and 2009. Undistributed earnings of the Company's foreign subsidiaries and affiliated corporate joint venture companies...

  • Page 74
    ... of unrecognized tax benefits were required to be recognized by the Company at one time, there would be a positive impact of $53 million on the tax expense for that period. In December 2009, the Company's wholly-owned subsidiary, ADM do Brasil Ltda. (―ADM do Brasilâ€-), received a tax assessment...

  • Page 75
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) In January 2010, ADM do Brasil filed an appeal with the BFRS. If ADM do Brasil is unsuccessful in the administrative appellate process, further appeals are available in the Brazilian federal courts. While the ...

  • Page 76
    ...value of $443 million. Cash dividends received on shares of Company common stock by these plans during the year ended June 30, 2010 were $10 million. Pension Benefits 2010 2009 2008 (In millions) Retirement plan expense Defined benefit plans: Service cost (benefits earned during the period) Interest...

  • Page 77
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 14. Employee Benefit Plans (Continued) The Company uses a June 30 measurement date for all defined benefit plans. The following tables set forth changes in the defined benefit obligation and the fair value of...

  • Page 78
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 14. Employee Benefit Plans (Continued) Included in accumulated other comprehensive income for pension benefits at June 30, 2010, are the following amounts that have not yet been recognized in net periodic ...

  • Page 79
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 14. Employee Benefit Plans (Continued) Plan Assets The Company's employee benefit plan assets are principally comprised of the following types of investments: ADM and other common stock: Equity securities are...

  • Page 80
    ... stock ADM common stock U.S. companies International companies Equity mutual funds Emerging markets International Large cap U.S. Other Common collective trust funds International equity Small cap U.S. equity Large cap U.S. equity Fixed income Other Debt instruments Corporate bonds U.S. Treasury...

  • Page 81
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 14. Employee Benefit Plans (Continued) The following table sets forth the actual asset allocation for the Company's global pension plan assets as of the measurement date: 20101, 2 Equity securities Debt ...

  • Page 82
    ...buy, store, clean, and transport agricultural commodities and operates fertilizer blending facilities. This segment also includes the Company's share of the results of its equity method investment in Wilmar and its Golden Peanut Company LLC, Edible Oils Limited, and Stratas Foods, LLC joint ventures...

  • Page 83
    ..., the Agricultural Services segment includes the activities of Alfred C. Toepfer International, a global merchant of agricultural commodities and processed products, and the Company's share of the results of its Kalama Export Company joint venture. Other includes the Company's remaining processing...

  • Page 84
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 15. Segment and Geographic Information (Continued) 2010 Sales to external customers Oilseeds Processing Corn Processing Agricultural Services Other Total Intersegment sales Oilseeds Processing Corn Processing ...

  • Page 85
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 15. Segment and Geographic Information (Continued) 2010 Investment income Oilseeds Processing Corn Processing Agricultural Services Other Corporate Total Equity in earnings of affiliates Oilseeds Processing ...

  • Page 86
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 15. Segment and Geographic Information (Continued) 2010 2009 (In millions) Gross additions to property, plant, and equipment Oilseeds Processing Corn Processing Agricultural Services Other Corporate Total $ ...

  • Page 87
    Archer Daniels Midland Company Notes to Consolidated Financial Statements (Continued) Note 17. Quarterly Financial Data (Unaudited) Quarter Second Third Fourth Year (In millions, except per share amounts) $ 15,913 1,053 567 0.88 0.88 $ 15,145 891 421 0.65 0.65 $ 15,703 926 ...

  • Page 88
    Report of Independent Registered Public Accounting Firm The Board of Directors and Shareholders Archer Daniels Midland Company Decatur, Illinois We have audited the accompanying consolidated balance sheets of Archer Daniels Midland Company (the Company) as of June 30, 2010 and 2009, and the related ...

  • Page 89
    ... Midland Company Decatur, Illinois We have audited Archer Daniels Midland Company's internal control over financ ial reporting as of June 30, 2010, based on criteria established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission...

  • Page 90
    ...accounting firm, has issued an attestation report on the Company's internal control over financial reporting as of June 30, 2010. That report is included herein. /s/ Patricia A. Woertz Patricia A. Woertz Chairman, Chief Executive Officer and President Item 9B. OTHER INFORMATION /s/ Steven R. Mills...

  • Page 91
    PART III Item 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE Information with respect to directors, executive officers, code of conduct, audit committee and audit committee financial experts of the Company, and Section 16(a) beneficial ownership reporting compliance is set forth in ―...

  • Page 92
    ... Communications function. Corporate communications consultant for various global companies from 1989 to May 2007. 50 Kevin L. Hess Craig E. Huss 58 Matthew J. Jansen 44 Randall Kampfe 63 Domingo A. Lastra 42 Michael Lusk Vikram Luthar Steven R. Mills 61 43 55 Victoria Podesta 54 88

  • Page 93
    ... 2007. Chief Executive Officer & President of the Company since May 2006. Executive Vice President Downstream at Chevron Corporation from October 2001 to March 2006. 56 John D. Rice Dennis C. Riddle Scott A. Roberts Ismael Roig 63 50 43 Scott A. Roney 46 Marc A. Sanner 57 David J. Smith John...

  • Page 94
    ...―Executive Officer Stock Ownership,â€- and ―Equity Compensation Plan Informationâ€- of the definitive proxy statement for the Company's annual me eting of stockholders to be held on November 4, 2010, and is incorporated herein by reference. Item 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS...

  • Page 95
    ...Year Allowance for doubtful accounts 2008 2009 2010 (1) (2) (a)(2) Additions Deductions (1) (In millions) (6) (6) - Other (2) Balance at End of Year $ 69 $ 89 $ 103 7 21 2 19 (1) (8) $ 89 $ 103 $ 97 Uncollectible accounts written off, net of recoveries Impact of reclassifications, business...

  • Page 96
    ... 15, 2035. (ii) Indenture dated September 20, 2006, between the Company and The Bank of New York (formerly known as, or successor to, JPMorgan Chase Bank, N.A.), as Trustee (incorporated by reference to Exhibit 4 to Registration Statement on Form S-3, Registration No. 333-137541), and Supplemental...

  • Page 97
    ... Exhibit A to the Company's Definitive Proxy Statement filed with the Securities and Exchange Commission on September 15, 1999 (File No. 1-44)). (vi) The Archer-Daniels-Midland Company Supplemental Retirement Plan, as amended. (vii) The Archer-Daniels-Midland Company Amended and Restated Stock Unit...

  • Page 98
    ... Stock Unit Award Agreement. (xiv) Agreement Regarding Terms of Employment dated April 27, 2006 with Patricia A. Woertz, filed on May 1, 2006, as Exhibit 10.1 to the Company's Current Report on Form 8-K (File No. 1-44). (xv) The Archer-Daniels-Midland Company 2009 Incentive Compensation Plan...

  • Page 99
    ...the undersigned, thereunto duly authorized. Date: August 27, 2010 ARCHER-DANIELS-MIDLAND COMPANY By: /s/ D. J. Smith D. J. Smith Executive Vice President, Secretary and General Counsel Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below on August 27...

  • Page 100
    ... excHAngeS notice of AnnuAl Meeting Archer Daniels Midland Company common stock is listed and traded on the New York Stock Exchange and the Frankfurt Stock Exchange. Ticker Symbol: ADM. trAnSfer Agent AnD regiStrAr Hickory Point Bank and Trust, fsb 1099 W. Wood St., Suite G Decatur, IL 62522 888...