Segment and Geographic Information

The Company is principally engaged in procuring, transporting, storing, processing, and merchandising agricultural commodities and products. The Company’s operations are organized, managed and classified into four reportable business segments: Agricultural Services, Corn Processing, Oilseeds Processing, and Wild Flavors and Specialty Ingredients. Each of these segments is organized based upon the nature of products and services offered. The Company’s remaining operations are not reportable segments, as defined by the applicable accounting standard, and are classified as Other.

Effective January 1, 2015, the Company formed a fourth reportable business segment, Wild Flavors and Specialty Ingredients. Results of Wild Flavors and SCI, which were acquired during the fourth quarter of fiscal 2014, are reported in this segment in addition to results of certain product lines previously reported in the Agricultural Services, Corn Processing, and Oilseeds Processing business segments. Prior period results of the product lines previously reported in the other reportable business segments have been reclassified to conform to the current period presentation.

The Agricultural Services segment utilizes its extensive global grain elevator and transportation networks, and port operations to buy, store, clean, and transport agricultural commodities, such as oilseeds, corn, wheat, milo, oats, rice, and barley, and resells these commodities primarily as food and feed ingredients and as raw materials for the agricultural processing industry. The Agricultural Services segment includes international agricultural commodities merchandising and handling activities managed through a global trade desk based in Rolle, Switzerland. Agricultural Services’ grain sourcing, handling, and transportation network provides reliable and efficient services to the Company’s customers and agricultural processing operations. Agricultural Services’ transportation network capabilities include barge, ocean-going vessel, truck, and rail freight services. The Agricultural Services segment also includes the activities related to structured trade finance and the processing of wheat into wheat flour. In May 2015, the Company acquired the remaining interests in North Star Shipping and Minmetal which operate export facilities at the Romanian Port of Constanta on the Black Sea. The Agricultural Services segment also includes the Company’s 32.2% share of the results of its Pacificor (formerly Kalama Export Company LLC) joint venture and returns associated with the Company’s 19.8% investment in GrainCorp.

The Company’s Corn Processing segment is engaged in corn wet milling and dry milling activities, utilizing its asset base primarily located in the central part of the United States with additional facilities in China, Bulgaria, and Turkey. The Corn Processing segment converts corn into sweeteners, starches, and bioproducts. Its products include ingredients used in the food and beverage industry including sweeteners, starch, syrup, glucose, and dextrose. Dextrose and starch are used by the Corn Processing segment as feedstocks for its bioproducts operations. By fermentation of dextrose, the Corn Processing segment produces alcohol, amino acids, and other food and animal feed ingredients. Ethyl alcohol is produced by the Company for industrial use as ethanol or as beverage grade. Ethanol, in gasoline, increases octane and is used as an extender and oxygenate. Bioproducts also include essential amino acids such as lysine and threonine used in swine and poultry diets to optimize performance. Corn gluten feed and meal, as well as distillers’ grains, are produced for use as animal feed ingredients. Corn germ, a by-product of the wet milling process, is further processed into vegetable oil and protein meal. The Corn Processing segment also includes activities related to the processing and distribution of formula feeds and animal health and nutrition products. Other Corn Processing products include citric acids and glycols, all of which are used in various food and industrial products. The Corn Processing segment also includes the activities of the Company’s Brazilian sugarcane ethanol plant and related operations. This segment also includes the Company’s share of the results of its equity investments in Almidones Mexicanos S.A., and Red Star Yeast Company LLC. In May 2015, the Company sold its lactic acid business. In November 2015, the Company completed the purchase of the remaining interest in Eaststarch C.V.

The Oilseeds Processing segment includes global activities related to the origination, merchandising, crushing, and further processing of oilseeds such as soybeans and soft seeds (cottonseed, sunflower seed, canola, rapeseed, and flaxseed) into vegetable oils and protein meals. Oilseeds products produced and marketed by the Company include ingredients for the food, feed, energy, and industrial products industries. Crude vegetable oils produced by the segment’s crushing activities are sold “as is” or are further processed by refining, blending, bleaching, and deodorizing into salad oils. Salad oils are sold “as is” or are further processed by hydrogenating and/or interesterifying into margarine, shortening, and other food products. Partially refined oils are used to produce biodiesel or are sold to other manufacturers for use in chemicals, paints, and other industrial products. Oilseed protein meals are principally sold to third parties to be used as ingredients in commercial livestock and poultry feeds. In Europe and South America, the Oilseeds Processing segment includes origination and merchandising activities as adjuncts to its oilseeds processing assets. These activities include a network of grain elevators, port facilities, and transportation assets used to buy, store, clean, and transport grains and oilseeds. The Oilseeds Processing segment is a major supplier of peanuts, tree nuts, and peanut-derived ingredients to both the U.S. and export markets. In North America, cottonseed flour is produced and sold primarily to the pharmaceutical industry and cotton cellulose pulp is manufactured and sold to the chemical, paper, and filter markets. The Oilseeds Processing segment also included activities related to its global chocolate and cocoa businesses until the sale of these businesses in July 2015 and October 2015, respectively. The Oilseeds Processing segment also includes the Company’s share of the results of its equity investment in Wilmar International Limited (Wilmar) and its share of results for its Stratas Foods LLC and Edible Oils Limited joint ventures. In 2015, the Company acquired additional shares in Wilmar increasing its ownership interest from 17.3% to 19.0%. In September 2015, the Company completed the purchase of Belgian oil bottler, AOR N.V.

The Wild Flavors and Specialty Ingredients segment engages in the manufacturing, sales, and distribution of specialty products including natural flavor ingredients, flavor systems, natural colors, proteins, emulsifiers, soluble fiber, polyols, hydrocolloids, natural health and nutrition products, and other specialty food and feed ingredients. The Wild Flavors and Specialty Ingredients segment also includes the activities related to the procurement, processing, and distribution of edible beans. The Company’s Wild Flavors and Specialty Ingredients segment includes the activities of Wild Flavors and SCI, which were acquired during the fourth quarter of fiscal 2014 and Eatem Foods, a leading developer and producer of premium traditional, natural, and organic savory flavor systems, which was acquired in the fourth quarter of 2015.

Other includes the Company’s remaining operations, primarily its financial business units, related to futures commission and insurance activities.

Intersegment sales have been recorded at amounts approximating market. Operating profit for each segment is based on net sales less identifiable operating expenses. Also included in segment operating profit is equity in earnings of affiliates based on the equity method of accounting. Certain Corporate items are not allocated to the Company’s reportable business segments. Corporate results principally include the impact of LIFO-related adjustments, unallocated corporate expenses, interest cost net of investment income, and the Company’s share of the results of an equity investment.

Segment Information



	Year Ended
(In millions)	December 31
	2015			2014			2013
Gross revenues
Agricultural Services	$	33,658		$	40,120		$	45,917
Corn Processing	10,051			12,377			13,904
Oilseeds Processing	29,393			33,591			37,835
Wild Flavors and Specialty Ingredients	2,423			1,380			1,072
Other	634			573			515
Intersegment elimination	(8,457		)	(6,840		)	(9,439		)
Total	$	67,702		$	81,201		$	89,804

Intersegment revenues
Agricultural Services	$	3,976		$	3,832		$	5,485
Corn Processing	56			95			134
Oilseeds Processing	4,176			2,658			3,597
Wild Flavors and Specialty Ingredients	16			12			10
Other	233			243			213
Total	$	8,457		$	6,840		$	9,439

Revenues from external customers
Agricultural Services
Merchandising and Handling	$	25,957		$	32,208		$	36,162
Milling and Other	3,479			3,815			4,042
Transportation	246			265			228
Total Agricultural Services	29,682			36,288			40,432
Corn Processing
Sweeteners and Starches	3,713			3,767			4,726
Bioproducts	6,282			8,515			9,044
Total Corn Processing	9,995			12,282			13,770
Oilseeds Processing
Crushing and Origination	15,597			18,542			20,522
Refining, Packaging, Biodiesel, and Other	6,801			8,498			9,730
Cocoa and Other	2,563			3,439			3,281
Asia	256			454			705
Total Oilseeds Processing	25,217			30,933			34,238

Wild Flavors and Specialty Ingredients	2,407			1,368			1,062
Total Wild Flavors and Specialty Ingredients	2,407			1,368			1,062
Other
Financial	401			330			302
Total Other	401			330			302
Total	$	67,702		$	81,201		$	89,804



	Year Ended
(In millions)	December 31
	2015			2014			2013
Depreciation
Agricultural Services	$	188		$	189		$	208
Corn Processing	335			332			334
Oilseeds Processing	187			235			233
Wild Flavors and Specialty Ingredients	36			37			7
Other	5			3			5
Corporate	48			54			40
Total	$	799		$	850		$	827

Long-lived asset abandonments and write-downs⁽¹⁾
Agricultural Services	$	—		$	17		$	3
Corn Processing	66			15			62
Oilseeds Processing	40			3			4
Wild Flavors and Specialty Ingredients	1			—			—
Corporate	1			—			15
Total	$	108		$	35		$	84

Interest income
Agricultural Services	$	16		$	31		$	47
Corn Processing	2			10			3
Oilseeds Processing	29			30			36
Wild Flavors and Specialty Ingredients	1			1			—
Other	19			13			12
Corporate	4			7			4
Total	$	71		$	92		$	102

Equity in earnings of affiliates
Agricultural Services	$	24		$	41		$	64
Corn Processing	85			113			98
Oilseeds Processing	251			236			261
Other	(3		)	10			1
Corporate	33			(28		)	(13		)
Total	$	390		$	372		$	411

⁽¹⁾ See Note 19 for total asset impairment, exit, and restructuring costs.



	Year Ended
(In millions)	December 31
	2015			2014			2013
Operating Profit
Agricultural Services	$	714		$	1,043		$	342
Corn Processing	648			1,148			773
Oilseeds Processing	1,574			1,440			1,285
Wild Flavors and Specialty Ingredients	280			205			267
Other	56			79			41
Total operating profit	3,272			3,915			2,708
Corporate	(988		)	(785		)	(684		)
Earnings before income taxes	$	2,284		$	3,130		$	2,024

(In millions)	December 31
	2015			2014
Investments in and advances to affiliates
Agricultural Services	$	384		$	460
Corn Processing	368			426
Oilseeds Processing	2,743			2,596
Other	39			33
Corporate	367			377
Total	$	3,901		$	3,892

Identifiable assets
Agricultural Services	$	8,715		$	10,250
Corn Processing	6,450			6,384
Oilseeds Processing	10,794			12,712
Wild Flavors and Specialty Ingredients	4,570			3,468
Other	7,902			7,910
Corporate	1,726			3,273
Total	$	40,157		$	43,997



	Year Ended
(In millions)	December 31
	2015		2014
Gross additions to property, plant, and equipment
Agricultural Services	$	229	$	177
Corn Processing	427		273
Oilseeds Processing	404		268
Wild Flavors and Specialty Ingredients	167		570
Other	15		1
Corporate	108		68
Total	$	1,350	$	1,357

Geographic information: The following geographic data include revenues attributed to the countries based on the location of the subsidiary making the sale and long-lived assets based on physical location. Long-lived assets represent the net book value of property, plant, and equipment.



	Year Ended
(In millions)	December 31
	2015		2014		2013

Revenues
United States	$	31,828	$	39,609	$	41,427
Switzerland	11,681		10,118		10,467
Germany	3,436		7,174		10,029
Other Foreign	20,757		24,300		27,881
	$	67,702	$	81,201	$	89,804

(In millions)	December 31
	2015		2014
Long-lived assets
United States	$	6,877	$	6,601
Foreign	2,976		3,250
	$	9,853	$	9,851