ADM Announces Specialty Oils and Fats Group

ADM Announces Specialty Oils and Fats Group

ST. LOUIS--Archer Daniels Midland Co. (ADM) formedthe ADM Specialty Oils and Fats Group. The group will serve customers in thefood, pharmaceutical and personal care industries with products derived from avariety of vegetable oil-based raw materials. "The formation of this unitis an extension of our value-added line," said Larry Cunningham, seniorvice president of corporate affairs. "The Specialty Oils and Fats Groupwill provide a variety of unique solutions to our customers' needs by focusingon research and technical expertise in addition to strong sales and marketingsupport."

In additional company news, ADM decreased soybean crush ratesand halted refined oil production. The company noted its decrease of crush rateswas enacted as a result of reduced soybean processing margins, and the refinedoil production was halted due to increased crude oil export demand. Thedecreases were enacted through plant closures and reduced operating rates. Theaffected facilities are located in Ohio, Kansas, Arkansas, South Carolina,Illinois and Georgia.

ADM also announced the launch of Enova, a self-affirmed GRAS(generally recognized as safe) cooking oil the company says is clinically shownto positively affect weight management. Created by Kao Corp. of Japan, Enova oilis made from all-natural soybean and canola oil through a patented process thatincreases concentrations of diacylglycerol (DAG). DAG, a naturally occurringcomponent found in all vegetable oils, is produced in response to the binding ofa substance (e.g., serotonin) to receptors on the cell surface and mediates suchcellular events as smooth muscle contraction, adrenaline secretion and histaminesecretion. ADM Kao LLC, a joint venture between ADM and Kao Corp. formed in June2001, will market Enova.