Arden Hills, Minn.-Land O’Lakes Inc. reported measurable improved performance in all business segments in 2006 except for agronomy, which is primarily composed of its 50 percent stake in Agriliance LLC. For the fourth quarter ending Dec. 31, 2006, LOL’s agronomy segment saw a $16.3 million pretax loss, versus a year-ago $20 million pretax loss. For the year, agronomy had pretax earnings of $11.8 million versus 2005’s $95.5 million, though the latter included a $73.5 million pretax gain off the sale of shares in CF Industries Inc. LOL noted that crop nutrient volumes and margins were depressed in 2006 due to a late planting season and early uncertainty over nitrogen prices. It also said the devaluation in crop protection products poses a continuing challenge. LOL-wide, the company reported fourth-quarter 2006 net income of $44.5 million on sales of $1.9 billion, versus the year-ago loss of $1.6 million on sales of $2 billion. For the year 2006, LOL reported net income of $88.7 million on sales of $7.3 billion, versus the year-ago $129 million and $7.6 billion. Again, the sale of CF shares impacted 2005 results.
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