The Andersons, Inc.
The agreement will support a three-year licensing agreement announced last month between The Andersons Ag Software and American Agrisurance, Inc., the crop insurance marketing subsidiary of Acceptance Insurance Companies, Inc.
The Crop Revenue Profiler software program is an analytical tool that was developed by The Andersons to help farmers make the increasingly complex decisions that are required to run a successful business. The program provides a multi-page, detailed analysis of up to 209 different price/yield outcomes based on combinations of marketing plans and six different crop insurance policy types. Farmers enter individual variables including number of acres, production history, cost of production, and government subsidies to see a series of three-dimensional graphs showing how the varying prices and yields affect profitability.
Under the terms of the agreement with Utterback, President Robert Utterback will make available a monthly Profiler Marketing Plan. This marketing plan will be designed for use, on a fee basis, by American Agrisurance agents who have a sublicense to use the Crop Revenue Profiler program. The same plan will be available on a limited access web site, beginning Dec. 1, 2000.
Utterback is a registered commodities representative who provides overall technical and fundamental marketing outlooks and strategies regarding agricultural commodities through his firm. The Profiler Marketing Plan produced by Utterback will be focused on cash grain marketing, as opposed to futures and options. Utterback is also a contributing editor and economist for Farm Journal magazine. The agreement with The Andersons Ag Software allows him to use output from the Crop Revenue Profiler software program in his writings for Farm Journal as well as in other aspects of his business.
Mike Anderson, president and chief executive officer of The Andersons, said the Crop Revenue Profiler software program is an exciting and powerful new tool for growers of corn, wheat, and soybeans. "This allows farmers to see the impact of a crop marketing decision before they make it," he added. "We're very pleased that its value has been recognized by such a well- respected market analyst as Bob Utterback."
The income to be generated by the agreement "will have a positive impact on our earnings in 2001 and beyond," Anderson said.
The Andersons, Inc. is a respected leader and prominent regional player in grain merchandising. Its strong position in this basic business has allowed the company to diversify into other agribusiness operations, railcar leasing, turf care product manufacturing and distribution, and general merchandise retailing. The company has been in operation since 1947. The Andersons, Inc. is located on the Internet at http://www.andersonsinc.com/
Utterback Marketing Services, Inc. is a commodities brokerage firm, placing orders for clients throughout the United States who trade agriculture and related commodities. Utterback Marketing Services is registered with the NFA and provides individual marketing plans, private consulting, brokerage services, and supports clients nationwide in agricultural commodity marketing. Utterback Marketing Services, Inc. is located on the Internet at http://www.utterback.com/
This release contains forward-looking statements, including statements with respect to anticipated revenues, adequacy of cash flows and profitability. These statements involve risks and uncertainties that could cause actual results to differ materially, including, without limitation, economic, weather and regulatory conditions, competition and the risk factors set forth from time to time in the company's filings with the Securities and Exchange Commission.
SOURCE: The Andersons, Inc.
Contact: Gary Smith of The Andersons, Inc., 419-891-6417