A continued difficult agricultural operating environment, exacerbated by insufficient returns on recent investments, has reduced Archer Daniels Midland Co.'s (ADM) financial flexibility. Still, the ratings are supported by ADM's position as one of the world's leading agribusiness companies, with major market positions in agricultural processing and merchandising, as well as industrial production. Standard&Poor's expects that ADM's financial policies will remain consistent with the current rating level, despite the company's aggressive investment program for capital spending, asset purchases, investments in affiliates, and share repurchases, which has totaled over $5.9 billion in the past five years. Profitability levels since 1998 have been well below the average of earlier years, mirroring weak demand and industry overcapacity in the company's core oilseeds
