Our performance in fiscal 2010 gives us greater confidence as we make a clear, strong commitment to growing value for ADM shareholders. This year begins a new phase in ADM’s profitable growth.
As I write this, we are finalizing the last project of the large, three-year capital construction program. Our global footprint and our strong balance sheet provide ADM with the foundation and flexibility to build an even stronger, larger global business.
We will grow both organically and through strategic additions to ADM’s footprint. This demands a strong capital-allocation process and a pipeline of good projects. We have built that process, and continue to fill that pipeline. We will invest in projects that, when fully integrated into our business, enable us to meet or exceed company return rates of 2 percent over our weighted average cost of capital.
One area that will be particularly important in delivering profitable growth is our global oilseeds business. We have set a goal of 7 to 10 percent compound annual growth in our oilseed crush volume—a rate roughly twice that expected of the market as a whole. We will look to increase our access to key supply regions like South America and Central and Eastern Europe, growing mostly through acquisitions. And we will look to enhance our participation in fast-growing demand markets like China and India.
And, among the mix of opportunities to grow shareholder value, we will continue to include repurchasing shares.
ADM’s commitment to growing value for our stockholders compels us to perform with excellence as we go about our vital work. Whether we are evaluating growth opportunities, looking for ways to improve safety performance or seeking new markets to enhance the value of our assets, the 29,000 men and women of ADM remain focused on building an even stronger company to deliver even greater results. I am confident that ADM will rise to this inspiring challenge.
Patricia A. Woertz
Chairman, CEO and President