Archer Daniels Midland 2010 Annual Report Download - page 10

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6
Item 1.
BUSINESS (Continued)
Agricultural Services
The Agricultural Services segment utilizes the Company‘s extensive grain elevator and transportation network to
buy, store, clean, and transport agricultural commodities, such as oilseeds, corn, wheat, milo, oats, rice, and barley,
and resells these commodities primarily as food and feed ingredients and as raw materials for the agricultural
processing industry. Agricultural Services‘ grain sourcing and transportation network provides reliable and
efficient services to the Company‘s agricultural processing operations and customers. Agricultural Services‘
transportation network capabilities include ground, rail, river, and ocean freight services.
The Company processes and distributes edible beans in the United States for use as a food ingredient. The
Company produces and distributes formula feeds and animal health and nutrition products to the livestock, dairy,
poultry, and pet food industries.
Alfred C. Toepfer International (Toepfer), in which the Company has an 80% interest, is a global merchandiser 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.
Other
The Company is engaged in milling wheat, corn, and milo into flour in the United States, Canada, the Caribbean,
and the United Kingdom. Wheat flour is sold primarily to commercial bakeries, food manufacturing companies,
food service companies, and retailers. Bulgur, a gelatinized wheat food, is sold to both the export and the
domestic food markets. Corn meal and flour is sold primarily to the cereal, snack, and bakery mix markets. The
Company produces bakery products and mixes, wheat starch, and gluten, which are sold to the baking industry.
The Company also mills milo to produce industrial flour used in the manufacturing of wallboard for the building
industry.
Gruma S.A.B. de C.V. (Gruma), in which the Company has a 23.2% interest, is the world‘s largest producer and
marketer of corn flour and tortillas with operations in Mexico, the United States, Central America, South
America, and Europe. Additionally, the Company has a 20% share, through a joint venture with Gruma, in six
U.S. corn flour mills and one in Italy. The Company also has a 40% share, through a joint venture with Gruma,
in nine Mexican wheat flour mills.
The Company procures, transports, and processes cocoa beans and produces cocoa liquor, cocoa butter, cocoa
powder, chocolate, and various compounds in North America, South America, Europe, Asia, and Africa for the
food processing industry.
Hickory Point Bank and Trust Company, fsb, a wholly owned subsidiary of the Company, furnishes public
banking and trust services, as well as cash management, transfer agency, and securities safekeeping services, for
the Company.
ADM Investor Services, Inc., a wholly owned subsidiary of the Company, is a registered futures commission
merchant and a clearing member of all principal commodities exchanges. ADM Investor Services International,
Ltd. and ADMIS Hong Kong Limited are wholly owned subsidiaries of the Company offering broker services in
Europe and Asia.
Agrinational Insurance Company, a wholly owned subsidiary of the Company, provides insurance coverage for
certain property, casualty, marine, and other miscellaneous risks of the Company and participates in certain
third-party reinsurance arrangements.
The Company is a limited partner in various private equity funds which invest primarily in emerging markets.