ADM Reports Fourth Quarter 2012 Earnings Of $284 Million Or $0.43 Per Share

Agricultural Services Results Fall on Lower U.S. Exports

Agricultural Services operating profit was $123 million, down $222 million from the same period one year earlier.

Merchandising and handling earnings fell $152 million to $30 million due to lower U.S. merchandising results and lower U.S. crop supplies, which reduced North American export volumes. Results for the quarter also reflected an increase in loss provisions of approximately $40 million.

Transportation results increased $5 million to $17 million.

Excluding last year’s $78 million gain related to ADM’s share of Gruma S.A.B. de C.V.’s sale of assets, Milling and other results were steady.

Other Financial Results Slightly Up

In the fourth quarter, operating profit from ADM’s Other Financial businesses was $16 million, up $11 million from the same period one year earlier. The improvement was primarily a result of lower captive insurance loss reserves, and better results at ADM Investor Services.

Current Landscape Assessment

The smaller South American spring harvest means that the U.S. is currently the primary global supplier of soybeans and meal. U.S. corn and soybean yields have been reduced by drought; wheat was less affected. Generally high crop prices will encourage large planted acreage in South America. Global protein meal demand remains good. Poor margins have lowered U.S. ethanol industry production which is reducing inventories. Demand for corn sweeteners remains solid, supported by exports.

Conference Call Information

ADM will host a conference call and audio webcast Tuesday, July 31, 2012, at 8 a.m. Central Time to discuss financial results and provide a company update. A financial summary slide presentation will be available to download approximately 60 minutes prior to the call.

To listen to the call via the Internet or to download the slide presentation, go to www.adm.com/webcast. To listen by telephone, dial [phone] in the U.S. or [phone] if calling from outside the U.S. The access code is 95403712.

A replay of the call will be available from Aug. 1, 2012 to Aug. 6, 2012. To listen to the replay by telephone, dial [phone] in the U.S. or [phone] if calling from outside the U.S. The access code is 95403712. To listen to the replay online, visit www.adm.com/webcast.

About ADM

For more than a century, the people of Archer Daniels Midland Company (NYSE: ADM) have transformed crops into products that serve vital needs. Today, 30,000 ADM employees around the globe convert oilseeds, corn, wheat and cocoa into products for food, animal feed, industrial and energy uses. With more than 270 processing plants, 420 crop procurement facilities, and the world’s premier crop transportation network, ADM helps connect the harvest to the home in more than 160 countries. For more information about ADM and its products, visit www.adm.com.

¹ Non-GAAP financial measures, see pages 5 and 12 for explanations and reconciliations

Segment Operating Profit and Corporate Results (1)
A non-GAAP financial measure (unaudited)
			Quarter ended															Year ended
			June 30															June 30
			2012					2011					Change					2012					2011					Change
			(in millions)
Oilseeds Processing Operating Profit
Crushing and origination			$	150				$	226				$	(76	)			$	641				$	925				$	(284	)
Refining, packaging, biodiesel and other				84					90					(6	)				295					342					(47	)
Cocoa and other				52					71					(19	)				183					240					(57	)
Asia				45					62					(17	)				183					183					-
Total Oilseeds Processing			$	331				$	449				$	(118	)			$	1,302				$	1,690				$	(388	)
Corn Processing Operating Profit
Sweeteners and starches			$	135				$	11				$	124				$	335				$	330				$	5
Bioproducts				(61	)				111					(172	)				(74	)				749					(823	)
Total Corn Processing			$	74				$	122				$	(48	)			$	261				$	1,079				$	(818	)
Agricultural Services Operating Profit
Merchandising and handling			$	30				$	182				$	(152	)			$	493				$	807				$	(314	)
Transportation				17					12					5					125					117					8
Milling and other				76					151					(75	)				329					399					(70	)
Total Agricultural Services			$	123				$	345				$	(222	)			$	947				$	1,323				$	(376	)
Other Operating Profit
Financial				16					5					11					15					39					(24	)
Total Other			$	16				$	5				$	11				$	15				$	39				$	(24	)
Segment Operating Profit			$	544				$	921				$	(377	)			$	2,525				$	4,131				$	(1,606	)
Corporate Results
LIFO credit (charge)			$	50				$	52				$	(2	)			$	10				$	(368	)			$	378
Interest expense - net				(112	)				(115	)				3					(423	)				(445	)				22
Unallocated corporate costs				(67	)				(94	)				27					(360	)				(326	)				(34	)
Gains on interest rate swaps				-					-					-					-					30					(30	)
Other				1					-					1					13					(7	)				20
Total Corporate			$	(128	)			$	(157	)			$	29				$	(760	)			$	(1,116	)			$	356
Earnings Before Income Taxes			$	416				$	764				$	(348	)			$	1,765				$	3,015				$	(1,250	)

Total segment operating profit is ADM’s consolidated income from operations before income tax that excludes certain corporate items. Management believes that segment operating profit is a useful measure of ADM’s performance because it provides investors information about ADM’s business unit performance excluding certain corporate overhead costs. Total segment operating profit is a non-GAAP financial measure and is not intended to replace earnings before income tax, the most directly comparable GAAP financial measure. Total segment operating profit is not a measure of consolidated operating results under U.S. GAAP and should not be considered as an alternative to income before income taxes or any other measure of consolidated operating results under U.S. GAAP.

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