The ratings on Archer Daniels Midland Co. (ADM) are supported by its position as one of the world's leading agribusiness companies, with major market positions in agricultural processing and merchandising as well as ethanol production, a moderate financial profile, an experienced management team, and a highly liquid balance sheet. This is offset by a challenging agricultural operating environment with high volatility in commodity prices. It is our belief that ADM will continue its prudent financial policies to maintain the current ratings. Over the years, ADM steadily built up its position as an important materials supplier to food and beverage companies as well as to farmers. Although ADM is a diversified commodity company in inherently cyclical businesses, its revenues and earnings
