Tuesday November 1 Ag News

NeSA and NeCGA Annual Meetings December 1st

The Annual meetings of the Nebraska Soybean Association and the Nebraska Corn Growers Association will be held on Thursday, December 1st 2016 at the Innovation Campus in Lincoln.  The campus  is located on the  former State Fair grounds

Registration and coffee will open at 8:00 am followed by the individual annual resolutions meetings for each organization starting at 8:30 am. 

Following the individual organizations meetings, a joint lunch will be served.         
        
Keynote luncheon speaker Jenny Hopkinson, Ag reporter for POLITICO of Washington DC. will  present the “Outlook for Agriculture Policy and the Post Election Impact”.   

The program will conclude with a presentation on the Innovation Campus offerings and a tour of the campus and greenhouse research facility

NE Soy Assoc To Elect 3 To Board
Plan now to participate and be engaged in the grassroots activities of developing policy resolutions for the upcoming year at the NE Soybean Assoc. annual meeting on December 1, 2016 at the Innovation Campus (old state fair park)  in Lincoln, NE.    
  
During the  annual meeting District Director elections  will be held.  Elections will be held for the following Districts.   District 1 representing the counties of Dixon, Dakota, Thurston, Wayne, Stanton, Cuming, Burt , Dodge and Washington. Brent Svoboda is eligible for re-election in District 1.   District 4 Butler, Boone, Colfax, Hamilton, Merrick, Nance, Platte, Polk, Seward and York  counties. Current District 4 director Geoff Ruth will term out. One At-Large director, Scott Richert will also term out and one At-Large director Craig Frenzen of Fullerton is eligible for re-election.    

Individuals  interested in serving as a NSA director must be an actual producer of soybeans, and live or farm in one of the counties represented in the District and be a current member of the NE Soybean Association. You must be willing to be involved in the legislative and policy  development process and  be engaged with membership recruitment.  

If you would like more information on  the director responsibilities or to submit your name for consideration, contact Lori Luebbe in the NSA office at 402-441-3239 or email to association@nebraskasoybeans.org. 

Policy resolution ideas can be submitted to your district director for consideration or contact the NSA office.



Adding Value to Market Cows (Cull Cows)
Steve Tonn, NE Extension Educator, Washington County

The sale of market cows (culls cows) on average will represent 15 to 30 percent of the yearly gross revenues of cow-calf operations in the U.S.  Informed marketing rather than simply selling, can add income to your operation.  Ron Gill, Texas A&M Extension Livestock Specialist, says “A good management goal is to pay your costs with your calf crop and derive your profits from cow sales.”  If you start thinking about your cow sales that way, the conditions that add value to those market cows become much more important.

Market cow prices generally follow a consistent seasonal pattern.  Prices are normally the lowest in November, December and January, and highest in March, April and May.  Prices during the summer months are typically near the average for the year.  Cows sold in the spring typically bring 10-20 % more than cows sold in the fall.  Any strategy that can be implemented to market cull cows outside of this seasonal price trend in the fall can help to improve revenue.

Several strategies can be used to market cull cows at more beneficial times.  Spring calving cows that lose their calves early should be marketed (assuming they are destined for market) as soon as possible to take advantage of high spring prices.  Cows that have been early weaned should also be marketed in August and September before the fall drop in prices.  Cows that can be fed for a period of time can increase final weight, improve dressing percent and quality grade and be sold for higher prices.  Finally, re-breeding open cows to sell as replacements for a fall calving cowherd.

National beef audits have generally shown that cull cows, bulls and cull dairy cows make up to 20% of the beef available for consumption in the U.S.  About half of this – or 10% of the beef supply – come from cull beef cows.  Beef from market cows is widely used in the retail and food service sectors in a variety of product forms, not all of which is ground beef.

There are four classes of market cows.  The classes are divided primarily on fatness.  The classes from fattest to thinnest are – Breakers (BCS 7 or greater); Boners or Boning Utility (BCS 5-7); Leans (BCS 1-4); and Lights (BCS 1-4 & < 500 lb. carcasses).  Keeping aware of the price differentials in these classes is vital marketing information.  The USDA market news service provides price reports on the four classes of market cows.  Market cows that can be fed enough to gain body condition to improve from the Lean or Light class to Boner can gain weight and gain in value per pound at the same time.

Selecting the “right kind” of cows to feed is crucial to the success of the program.  First and foremost, market cows should be sound and healthy and in thin to moderate condition.  Cows that are unsound or injured should be marketed directly to a packer.  Cows need to be able to walk on their own to be taken to a packing plant.  Non – ambulatory cows or “downers” are not eligible for slaughter for human consumption.

Market cows must be fed an energy dense diet.  Research data from the University of Nebraska-Lincoln and South Dakota State University indicates that cows can gain from 2.5 to 3.3 pounds per day, depending on the length of feeding period and the ration fed.  Normally the shorter the feeding period, the higher the average daily gain will be.  For most cows to improve one USDA quality grade they would need to be fed from 60 to 100 days.  If fed over 100 to 110 days, feed efficiency and rate of gain declines.  Implanting, using ionophores and feeding MGA at recommended levels will help to maximize gains.  Rations do not need to be complex.  Grazing corn residues can also be a viable option for adding weight to market cows.  While there is added profit potential for feeding market cows, the margin is tight and even small increases in feed costs or decreases in market price will reduce the profit potential.  Completing an enterprise budget is the best tool to analyze the profit potential.  The University of Minnesota and Oklahoma State Beef Extension have developed cull cow calculators (spreadsheets) to help you analyze your feeding options.

Another option to consider depending on cost and availability of feed resources is to re-breed open cows and sell them as bred cows for fall calving cow herds.  When deciding if re-breeding open cows is the right option for your operation, there are a few things to consider.  Are bulls available for a second breeding season?  Using bulls for a second breeding season is often accomplished when producers have both a spring and fall calving cow herd.  How much will it cost to retain these cows through a second breeding season? What is the potential income from the bred cow? Are these cows ones you would want someone else to have in their herd?  This option may be more practical for young open cows.

Market cows represent a substantial portion of the annual income on a cow-calf operation and should not be overlooked when it comes to marketing to add value.  Success and increased profitability with marketing cows requires careful study of what the market wants, what the buyers are willing to pay for, what you can produce with the resources available and a realistic estimate of the cost to produce that product.



Weed Management Area Awarded a Grant

The Northeast Nebraska Weed Management Area (NNWMA) is a project of the Northeast Nebraska Resource Conservation & Development Council and just recently they were awarded a $10,000 grant from the Nebraska Department of Agriculture.   The project will be dealing with the early detection and control of noxious and invasive weeds, especially Yellow Flag Iris, along the Elkhorn River drainage in Holt and Antelope Counties.

The Upper Elkhorn Natural Resources District is a major partner in this project and is providing $5,000 in matching funds.  Their wanted to assist in this way because noxious and invasive weeds can clog waterways, utilize nutrients and water that other plants need, they can reduce property values if not managed properly, and are detrimental to the natural resources.  This project will also help to educate residents within the basin about plant identification and provide assistance in mapping and controlling or eradicating these undesirable species.

Grant funding is coming from monies provided through LB1038, the 2016 Riparian Vegetation Management Grant program.  The goals of this program are to provide funds to weed management programs in Nebraska, promote collaborative efforts to survey and manage noxious and invasive weeds, support innovative integrated approaches to weed management, and to build public awareness of the adverse impacts of noxious weeds and invasive plants and the need for proactive control.

The RC&D Council looks forward to continuing their service to citizens through projects that will make life better for people in Antelope, Cedar, Dixon, Knox, Pierce, and Wayne counties. 



CVA Akron IA Project Update

Harvest is in full swing, and in Region 8 Central Valley Ag customers and employees have a new addition to enjoy. Over the course of the summer, two 600,000-bushel storage bins were constructed by Landmarc Construction at CVA’s location in Akron Iowa. This new addition has been getting plenty of use this fall and has helped increase speed and space in the area. A new receiving pit can dump both hoppers of a semi and holds 1,200-bushels, for even more convenience there is now a conveyor belt that feeds the existing concrete bunker from the new system. The new leg and large pit have the capacity to dump at a rate of 15,000 bushels per hour.

“The investment was made in Akron to show our commitment to the Akron area, as we realized we have not been providing acceptable service there with the older facilities,” said Bryan Reichmuth, CVA SVP of Operations. “The vision of speed and space has not changed, and Central Valley Ag will continue to commit to that vision.”

This addition has improved traffic through the town during harvest time, providing a safer more efficient cooperative for the community. CVA believes there is growth potential in grain receipts with the increased customer service.



KSU Beef Cattle Institute adds resources for Veterinary Feed Directive changes

With a Jan. 1, 2017, deadline looming, veterinarians and producers now have more resources available to help them comply with the Veterinary Feed Directive being issued by the Food and Drug Administration.

In response to increasing demand, the Beef Cattle Institute at Kansas State University developed additional free educational modules to complement its original set of modules released earlier this year. The new modules are pertinent to separate sectors of the beef industry.

In collaboration with the Kansas Department of Agriculture and K-State Research and Extension, the institute has developed a new website, VFDInfo.org, which houses modules specific to producers, feed mill operators, veterinarians and distributors. Experts from each sector address concerns and questions to ease the transition under new regulations.

Experts include Mike Apley, professor of production medicine in the College of Veterinary Medicine at Kansas State University; Brian Lubbers, director of clinical microbiology at the Kansas State Veterinary Diagnostic Laboratory, also in the College of Veterinary Medicine; A.J. Tarpoff, beef extension veterinarian at Kansas State University; and Ken Bowers, dairy and feed safety, Kansas Department of Agriculture.

The website also hosts a sample Veterinary Feed Directive form as well as additional resources to guide users through any additional questions.

"These changes will be significant for the livestock and feed industry, and we are eager to provide guidance as much as possible," Bowers said. "Collaboration between these organizations has been valuable as we work to reach all producers, veterinarians and feed mills. The website is a great resource."

The Beef Cattle Institute utilizes collaborative multidisciplinary expertise to promote successful beef production through the discovery and delivery of actionable information and innovative decision support tools.



NCBA and PLC File Opening Brief in WOTUS Legal Battle

The National Cattlemen’s Beef Association and the Public Lands Council, along with other industry and municipal stakeholders, filed the opening brief today in the Sixth Circuit Court of Appeals calling for the Environmental Protection Agency and the Army Corps’ “waters of the United States” rule to be invalidated. Tracy Brunner, NCBA president and Kansas cattle producer said subjectivity and egregious overreach by the agencies is of grave concern for landowners nationwide.

“Cattlemen and women have long asked for clarity in the Clean Water Act, yet this rule adds subjectivity,” said Brunner. “By violating fundamental tenets of administrative law and expanding jurisdiction well beyond the text and structure of the Clean Water Act, it is very clear the WOTUS rulemaking was flawed from start.”

The opening brief details how the agencies disregarded the statutory and constitutional limits of federal authority, lobbied on their own rule making, and failed to craft a rule that meets the rigors of the law.

PLC President Dave Eliason said WOTUS is just one example of the onslaught of regulations that rural America is facing.

“Regulatory overreach is becoming the norm for farmers, ranchers and small businesses across the country, hampering economic growth and threatening the stability of many rural communities,” said Eliason. “Unfortunately, because Congress has repeatedly failed to act on this issue, we are fighting the legal battle to keep this rule from being implemented.”



USDA:  Fats and Oils: Oilseed Crushings, Production, Consumption and Stocks

Soybeans crushed for crude oil was 4.15 million tons (138 million bushels) in September 2016, compared to 4.22 million tons (141 million bushels) in August 2016 and 4.04 million tons (135 million bushels) in September 2015. Crude oil produced was 1.62 billion pounds down 2 percent from August 2016 but up 6 percent from September 2015. Soybean once refined oil production at 1.37 billion pounds during September 2016 decreased 4 percent from August 2016 and decreased 2 percent from September 2015.

Canola seeds crushed for crude oil was 213 thousand tons in September 2016, compared to 174 thousand tons in August 2016 and 187 thousand tons in September 2015. Canola crude oil produced was 183 million pounds up 25 percent from August 2016 and up 16 percent from September 2015. Canola once refined oil production at 176 million pounds during September 2016 was up 54 percent from August 2016 and up 31 percent from September 2015. Cottonseed once refined oil production at 37.4 million pounds during September 2016 was down 3 percent from August 2016 and down 21 percent from September 2015.

Edible tallow production was 68.8 million pounds during September 2016, down 14 percent from August 2016 and down 20 percent from September 2015. Inedible tallow production was 311 million pounds during September 2016, up 2 percent from August 2016 and up 15 percent from September 2015. Technical tallow production was 104 million pounds during September 2016, down 12 percent from August 2016 but up 23 percent from September 2015. Choice white grease production at 112 million pounds during September 2016 decreased 2 percent from August 2016 and decreased 5 percent from September 2015.



USDA:  Grain Crushings and Co-Products Production

Total corn consumed for alcohol and other uses was 485 million bushels in September 2016. Total corn consumption was down 5 percent from August 2016 but up 2 percent from September 2015. September 2016 usage included 91.5 percent for alcohol and 8.5 percent for other purposes. Corn for beverage alcohol totaled 2.79 million bushels, down 11 percent from August 2016 and down 20 percent from September 2015. Corn for fuel alcohol, at 435 million bushels, was down 5 percent from August 2016 but up 2 percent from September 2015. Corn consumed in September 2016 for dry milling fuel production and wet milling fuel production was 89.3 percent and 10.7 percent respectively.

Dry mill co-product production of distillers dried grains with solubles (DDGS) was 1.96 million tons during September 2016, down 5 percent from August 2016 but up 5 percent from September 2015. Distillers wet grains (DWG) 65 percent or more moisture was 1.19 million tons in September 2016, down 3 percent from August 2016 and down 7 percent from September 2015.

Wet mill corn gluten feed production was 326 thousand tons during September 2016, down 3 percent from August 2016 but up 4 percent from September 2015. Wet corn gluten feed 40 to 60 percent moisture was 304 thousand tons in September 2016, down 2 percent from August 2016 but up 6 percent from September 2015.



USDA:  Flour Milling Products

All wheat ground for flour during the third quarter 2016 was 233 million bushels, up 4 percent from the second quarter 2016 grind of 224 million bushels but down 1 percent from the third quarter 2015 grind of 235 million bushels. Third quarter 2016 total flour production was 108 million hundredweight, up 4 percent from the second quarter 2016 but down slightly from the third quarter 2015. Whole wheat flour production at 6.05 million hundredweight during the third quarter 2016 accounted for 6 percent of the total flour production. Millfeed production from wheat in the third quarter 2016 was 1.69 million tons. The daily 24-hour milling capacity of wheat flour during the third quarter 2016 was 1.62 thousand hundredweight.

Durum wheat ground for flour and semolina production during the third quarter of 2016 totaled 16.2 million bushels, up 5 percent from the second quarter 2016 and up slightly from the third quarter 2015. Third quarter 2016 durum flour and semolina production was 7.67 million hundredweight, up 4 percent from the second quarter 2016 and up 3 percent from the third quarter 2015. Whole wheat durum flour and semolina production was 181 thousand hundredweight, up 12 percent from 162 thousand hundredweight in the second quarter 2016 but down 47 percent from 339 thousand hundredweight from the third quarter 2015. Third quarter durum wheat millfeed production was 113 thousand tons and the daily 24-hour milling capacity for durum and semolina production was 127 thousand hundredweight.

Rye ground for flour during the third quarter of 2016 was 472 thousand bushels, down 25 percent from the second quarter 2016 and down 9 percent from the third quarter 2015. Rye flour production during the third quarter of 2016 was 233 thousand hundredweight, compared to 303 thousand hundredweight and 241 thousand hundredweight in the previous quarter and the same quarter previous year. The daily 24-hour milling capacity for rye milling was 9.39 thousand hundredweight for the third quarter 2016.



NMPF President Commemorates Organization’s Centennial with Insights on how Past Achievements Set Path for Future

As the National Milk Producers Federation begins its second century, the organization is redoubling its efforts to advocate forcefully on behalf of its members in areas including economic opportunities for farmers and the role of dairy products in the diet, said President and CEO Jim Mulhern.

Speaking in front of more than 800 dairy industry stakeholders at the organization’s annual meeting in Nashville, Mulhern commemorated the centennial of one of Washington’s leading agriculture policy groups by ensuring that its commitments have not altered, and that NMPF plans to continue its aggressive dedication to issues like animal care, economics, trade and nutrition.

“We will speak out, we will push back, when those who don’t necessarily have your interests at heart push their agenda at our expense,” he said.

The dairy farming landscape – and the world outside of it – have changed considerably, Mulhern began. The numbers of farms have shrunk, the world marketplace has become more competitive, and consumers are becoming increasingly interested in how their food is produced.

“But these differences – these hurdles – will not be a deterrent for us,” he said. “We remain focused on our strategic priorities.”

Mulhern said the Margin Protection Program, created in the 2014 Farm Bill, is still the right program for the dairy industry’s future, even though it has yet to “live up to its intended potential” amid a struggling dairy economy. He said NMPF is committed to determining the necessary adjustments – such as restoring the margin feed cost adjuster to the level NMPF originally intended – and having Congress pass them at the earliest opportunity.

In addition to calling for immigration reform – a polarizing issue in this year’s election season – Mulhern also discussed National Milk’s pledge to seek opportunities for dairy all over the world. This includes pushing for passage of free trade agreements such as the Trans-Pacific Partnership, strengthening export assistance programs like Cooperatives Working Together, and holding other countries accountable for their protectionist behavior. Most recently, Canada is in the process of implementing a pricing policy that would block American milk product exports.

Mulhern spoke in depth about National Milk’s decision two weeks ago to join other prominent farm groups in challenging Dannon USA’s pledge to only source its milk from non-GMO cows, what he called a “fear-based marketing tactic.”

The issue of sustainable agriculture production is broader than dairy, Mulhern added. The farming community must continue to project a unified voice as it dispels false marketing claims about biotechnology and other claims like “hormone-free” and “antibiotic-free.”

In the latter half of his presentation, Mulhern discussed the growing momentum that is changing consumer perceptions on the role of fat in a healthy diet. He said there is increasing evidence that current dietary advice unfairly discriminates against dairy fat.

Another area Mulhern said will be an organizational focus is the National Dairy FARM Program, the dairy industry’s animal care verification program. In the last year, FARM has since expanded to also focus on antibiotic resistance and environmental stewardship. Today, more than 98 percent of the nation’s milk supply is now covered under the program.

“It is precisely through efforts like this that we will keep customers from trying to dictate farm practices – by demonstrating our high standards and our commitment to continuous improvement,” said Mulhern.

When facing these customers, Mulhern said the dairy industry must remain continuously united, which means continuing strong relationships with promotional organizations Dairy Management Inc. and the Innovation Center for U.S. Dairy, as well as the U.S. Dairy Export Council.

National Milk and the dairy industry as a whole are much different today, Mulhern concluded. Fortunately, NMPF has changed to fit increasingly challenging political, environmental and consumer environments.

“National Milk has, and always will be focused on establishing policies that protect and promote your interests,” he said. “We’re always looking around those dark corners, holding others to their commitments as we’re held to ours, and fighting to protect your social license to operate while working to build trust.



The Mosaic Company Reports Third Quarter 2016 Results

The Mosaic Company (NYSE: MOS) today reported third quarter 2016 net earnings of $39 million, down from net earnings of $160 million in the third quarter of 2015. Earnings per diluted share were $0.11, which included a negative $0.30 impact from notable items and a benefit of $0.08 per share from lowering the expected full year effective tax rate accrual. Mosaic's net sales in the third quarter of 2016 were $2.0 billion, down from $2.1 billion last year. Operating earnings during the quarter were $70 million, down from $246 million a year ago, primarily driven by lower potash prices and lower phosphate margins partially offset by higher sales volumes and positive impacts of cost savings initiatives.

"We expected improving market conditions in the second half of 2016 and this quarter's results reflect improvement," said Joc O'Rourke, President and Chief Executive Officer. "Both potash and phosphate prices strengthened in the quarter as pent-up demand materialized.  While the fourth quarter is expected to reflect a normal seasonal slowdown, we see a more stable operating environment in 2017, starting the year with lower pipeline inventories and demand growth in both nutrients. At the same time, we are taking action to protect the balance sheet and reduce operating expenses."

Cash flow provided by operating activities in the third quarter of 2016 was $96 million compared to $184 million in the prior year. Operating cash flow was negatively impacted by the record prepayments received in the second quarter of 2016. Capital expenditures plus investments totaled $380 million in the quarter, including a $120 million contribution for Mosaic's investment in the Ma'aden Wa'ad Al Shamal Phosphate Company. Mosaic's total cash and cash equivalents were $654 million and long-term debt was $3.8 billion as of September 30, 2016.

"We are pleased with this quarter's results and are continuing to focus on optimizing cash flow and protecting our balance sheet," said Rich Mack, Mosaic's Executive Vice President and Chief Financial Officer.  "We've made meaningful changes to our five year capital program and significantly reduced operating costs.  Going forward, we will continue to assess our cash generation and use in light of our strong commitment to maintain an investment grade credit rating."



ADM Reports Third Quarter Earnings of $0.58 per Share, $0.59 per Share on an Adjusted Basis

Archer Daniels Midland Company (NYSE: ADM) today reported financial results for the quarter ended September 30, 2016.

“After working through the challenging environment in the first half of the year, we capitalized on mproving operating conditions in the third quarter and are positioned well for a solid finish to the ear,” said ADM Chairman and CEO Juan Luciano. “Ag Services results were driven by U.S. exports that surged through the quarter, creating improved merchandising opportunities as the global market relied heavily on U.S. exports of corn and soybeans. Results for Corn included strong performance in North American sweeteners and starches, growth from our international corn operations and steady results for bioproducts. Oilseeds results were impacted by significantly lower global soy crushing margins, weaker origination results in Brazil and the unusual equity loss from our Wilmar investment.

WFSI results included strong growth from WILD Flavors with mixed results from our specialty ingredients businesses.

“We continued to execute our strategic plan in the quarter. We acquired Caterina Foods, a manufacturer of specialty gluten-free and high-protein pastas. In addition, we further invested in Asia’s growing and evolving food demand by increasing our strategic ownership stake in Wilmar to 23 percent. Our ethanol dry mill review has progressed and we are targeting receipt of final proposals from a short list of interested parties by the end of the calendar year. And, we have implemented nearly $250 million of new run-rate savings actions through the third quarter and expect to exceed our $275 million target by the end of the calendar year. In line with our balanced capital allocation framework, we have returned $1.3 billion to shareholders in dividends and share buybacks through the first nine months of the year.

“With improving market conditions and a large U.S. harvest, combined with the team’s solid execution capabilities, we feel good about the remainder of the year and a stronger 2017.”

Third Quarter 2016 Highlights:
• EPS as reported of $0.58 includes a $0.09 per share credit related to LIFO, $0.08 per share of charges related to asset impairments, restructuring and settlements, and other charges of $0.02 per share. Excluding these items, adjusted EPS is $0.591.
• Trailing four-quarter-average adjusted ROIC was 5.8 percent1, 80 basis points below our annual WACC of 6.6 percent.
• The effective tax rate for the quarter was 28 percent compared to 31 percent in the year-ago quarter due to changes in the mix of earnings.
• During the first nine months of 2016, the company returned $1.3 billion to shareholders through dividends and share repurchases.

Results of Operations:
In Ag Services, merchandising and handling results were up due to increased volumes and improved margins as crop shortages in South America accelerated this year’s seasonal shift in global demand to North America. The global trade desk results were lower in the quarter as some commodity prices declined, causing global buyers to draw down their inventories, which limited merchandising opportunities.

Transportation results improved due to strong exports and improved freight rates.

Milling and Other continued to perform well with another solid quarter, consistent with the year-ago period, on strong product margins related to seasonal demand.

In Corn Processing, sweeteners and starches results improved as the North American business continued to perform well with solid demand, production efficiencies and improved raw material costs.

The company’s results from its international corn operations improved in the quarter. Bioproducts results, excluding last year’s Brazilian sugar impairment charge, were essentially flat with improved operational performance and margins from Animal Nutrition, offset by slightly lower ethanol results compared to last year.

In Oilseeds Processing, crushing and origination results declined significantly versus a very strong year-ago quarter due to lower soy crush margins. In addition, origination volumes were lower due to reduced Brazilian soybean and corn crops.

Refining, packaging, biodiesel and other results were up from the year-ago quarter due to solid results in biodiesel, specialty fats and oils and better Golden Peanut and Tree Nuts margins.

Oilseeds results in Asia for the quarter declined from the year-ago period, primarily due to Wilmar’s unusual equity loss in the second quarter . ADM records its share of Wilmar’s results on a one-quarter lag basis and recorded a $48 million equity loss in the third quarter, compared to income of $36 million in the third quarter one year ago.

WFSI results were up slightly versus the year-ago quarter with strong operating profit growth in flavors and ingredient systems, and the integration of Eatem Foods, offset by mixed results from the specialty ingredients businesses and some start-up items.

Other financial operating profit was essentially flat on steady ADM Investor Services volumes and results from captive insurance operations.