ADM Announces Significant Actions in Ongoing Portfolio Management

  ADM Announces Significant Actions in Ongoing Portfolio Management

Signing of definitive agreement to sell South American fertilizer business to
                                    Mosaic

                  Pursuing sale of global chocolate business

       Acquisition of remaining stake of global grains business Toepfer

Business Wire

DECATUR, Ill. -- April 15, 2014

Archer Daniels Midland Company (NYSE: ADM) today announced three significant
actions in the company’s ongoing portfolio management: an agreement to sell
the company’s South American fertilizer business, pursuit of the sale of the
company’s chocolate business, and the acquisition of the remaining stake of
Alfred C. Toepfer International GmbH.

“We are committed to ongoing portfolio management to realize value from our
businesses and to deploy our capital where it can best improve returns,” said
ADM Chairman and CEO Patricia A. Woertz. “The actions we are announcing today
are results of this continuing process. Each of these transactions will help
ADM continue to improve returns and create shareholder value.

“These actions complement recent demand-driven strategic investments, such as
our $250 million high-value protein facility in Brazil,” Woertz added. “We are
taking action to realize returns today and positioning ourselves for
continuing profitable growth around the globe in the future.”

Agreement to Sell Brazil and Paraguay Fertilizer Business

ADM has signed an agreement to sell its fertilizer business in Brazil and
Paraguay to The Mosaic Company (NYSE: MOS) for $350 million. The transaction
consists primarily of five ADM-owned blending facilities in Brazil and
Paraguay. The purchase price includes $150 million in working capital. As part
of the transaction, ADM will purchase fertilizer from Mosaic after the closing
and will continue to supply certain fertilizer customers in Brazil and
Paraguay. The proposed sale will be contingent on customary regulatory
approvals.

“Our fertilizer team has done a good job building the business since we
purchased our first blending facility in 1997,” said Woertz. “But the lengthy
value chain inherent in the fertilizer business, along with strong competition
from fully integrated companies that have entered the sector, has made it
difficult for this business to consistently meet our return objectives. By
selling our blending assets—while retaining our distribution business—we will
be improving our returns while maintaining our important origination
relationships with key growers in Brazil and Paraguay.”

Pursuit of Sale of Chocolate Business

ADM will pursue the sale of its chocolate business, while retaining the
majority of its cocoa press operations. The company has engaged advisers to
facilitate the sale process.

“Over the last year or so, we’ve taken significant actions to improve our
cocoa business, most notably by significantly reducing invested capital. At
the same time, we have also seen industry conditions improve as crop supplies
have returned to normal,” said Woertz. “Given improved underlying conditions
and the success of our efforts to reduce capital intensity, we see a promising
outlook for the cocoa press business and believe it will meet our returns
objectives.

“We had extensive negotiations with a potential buyer regarding the sale of
our global cocoa and chocolate business. In the end, we could not agree to an
outcome that met ADM’s objectives. Instead, ADM is moving ahead with a process
to sell our global chocolate business while retaining most of our cocoa press
operations. This approach will position ADM to realize the greatest overall
value from these businesses.”

ADM has chocolate manufacturing operations in Hazleton, Pa.; Milwaukee, Wis.;
Georgetown, Ontario; Liverpool, U.K.; Manage, Belgium; and Mannheim, Germany.

Acquisition of Remaining Stake in Toepfer

ADM will acquire the remaining 20 percent minority stake of Alfred C. Toepfer
International for €83 million, representing about 1.1x net book value. The
proposed transaction, which is occurring through the exercise of a put
agreement by Union InVivo, will be subject to customary regulatory approvals.
Since 2002, ADM has owned 80 percent of Toepfer; InVivo has held the remaining
20 percent since 2010.

“Toepfer has an important presence in critical origination areas as well as
growing destination markets,” said Woertz. “For years, ADM has benefitted from
our investment in Toepfer. Now, full ownership will allow us to strengthen
this business and fully integrate it into ADM’s global origination network.”

InVivo will remain a strategic business partner for ADM in Europe.

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,
31,000 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, 470 crop procurement facilities, and the world’s
premier crop transportation network, ADM helps connect the harvest to the home
in more than 140 countries. For more information about ADM and its products,
visit www.adm.com.

About Alfred C. Toepfer International

Alfred C. Toepfer International (Toepfer) is a global merchandiser of
agricultural commodities and processed products. Toepfer consists of a
headquarters in Hamburg, Germany and 36 sales offices worldwide. Toepfer
operates inland, river, and export facilities in Argentina, Hungary, Romania,
Ukraine, and the United States.

Contact:

Archer Daniels Midland Company
Media Relations
Jackie Anderson, 217-424-5413
media@adm.com
 
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