Marysville, Ohio-Full-year reported income at Scotts Miracle-Gro Co. was off 13 percent, with the company saying the primary reason was higher interest expense associated with the company’s recapitalization in February. Also cited was bad weather in April, which is the most important month for fertilizer purchases for Scotts. The company said purchases of lawn fertilizer were off 1 percent. Company-wide, however, sales were up 6 percent. Net income for the year ending Sept. 30, 2007, was $115.8 million ($1.73 per diluted share) on sales of $2.87 billion, versus the prior year’s $132.7 million ($1.91 per share) and $2.7 billion. For the fourth quarter, Scotts saw a 1 percent decline in sales in its North America consumer business. All other units were up. The fourth quarter saw a loss of $37.9 million ($.59 per share) on sales of $508.9 million, versus the year-ago loss of $42.7 million ($.64 per share) on sales of $492.1 million.
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TFI voices support for final Appendix A
Washington, D.C.-The Fertilizer Institute on Nov. 2 expressed support for the Department of Homeland Security’s decision to remove urea fertilizer from the final Appendix A list of chemicals in its Chemical Facility Anti-Terrorism Standards (CFATS). The final Appendix A, released by DHS on Nov. 2 (GM Nov. 5, p. 14), contains a list of chemicals that, if possessed by a facility in a specified quantity, trigger a requirement to complete and submit an online consequence assessment tool called a Top-Screen. The information gathered through the Top-Screen will help DHS make preliminary determinations as to which facilities present a high level of security risk. “Although we are pleased with the removal of urea from the chemicals list, our industry stands to be impacted heavily by new security regulations imposed on facilities that possess other fertilizers above the threshold levels,” said TFI President Ford B. West. “As members go through the process of registering and complying with these new security regulations, TFI will continue to work with DHS to ensure our members’ compliance questions are answered.” In comments submitted to DHS in May, TFI requested that DHS remove urea, potassium nitrate, and sodium nitrate from the final Appendix A, as well as increase the screening threshold quantity (STQ) associated with anhydrous ammonia, aqua ammonia, and nitric oxide. DHS expects the final Appendix A to be published in the Federal Register the third week of November, which will start the 60-day clock to register and complete the Top-Screen.
LSB reports record YTD
Oklahoma City-LSB Industries Inc., owner of El Dorado Chemical Co., reports that its net income for the first nine months is at an all time high. YTD net income stands at $42.3 million ($1.67 per diluted share) on sales of $451.7 million, versus the year-ago $12.8 million ($.65 per unit) and $368.2 million, respectively. Third-quarter net income was $18.3 million ($.77 per share) on sales of $147.6 million, versus the year-ago $3.5 million ($.18 per share) and $124 million. Nine-month chemical operating income was $27.1 million on sales of $222.4 million, up from the year-ago $9 million and $201.5 million, respectively. Third-quarter chemical operating income was $11.5 million on sales of $69.2 million, versus the year-ago $2.4 million and $60.8 million, respectively. Third-quarter net income included two settlement gains to the chemical business operating income totaling $4.8 million and the reversal of valuation allowances against net deferred tax assets, resulting in a deferred tax benefit of $3.2 million. Of the settlement, $3.3 million was for pending litigation (GM Archives) and $1.5 million as an advance payment for an insurance recovery on a business interruption claim associated with the Cherokee, Ala., facility.
ICL to acquire Biogema
Tel Aviv-Israel Chemicals Ltd.’s ICL Performance Products has signed an agreement with the owners of Biogema S. A., a company based at Aix-en-Provence, France, to acquire the company effective Jan. 1, 2008. The business will be integrated with ICL’s existing fire safety division. Biogema is active in the production and sales of wildfire retardants. Major products are formulations, based on special phosphates. After the sale, Mr. Patrice Oegema will stay involved with the business and consult for the new management. This acquisition follows the purchase of Fire-Trol earlier this year, a Canadian producer of wildfire retardants that was integrated with the North American Fire Safety division acquired as part of Astaris in 2005. ICL says Biogema adds an important European manufacturing, logistics, and support group to ICL’s fire safety business.
Research produces turf fertilizer from lysine
Urbana, Ill.-A University of Illinois researcher, with the help of Archer Daniels Midland Co., has developed a line of naturally-derived fertilizers believed to be ideal for golf course and residential use without impacting surface and groundwater and increasing turf pH. Turf specialist Tom Fermanian has turned lysine, a bio-product from fermented corn also found in many protein foods, into a high nitrogen nutrient that will be marketed by ADM under the brand name NaturStim. “One advantage of these lysine-based products is that they dissolve quickly in water and can be mixed with other turf products that are normally applied as a spray,” said Fermanian. “Lysine in its granular form is 15 percent nitrogen and soluble in water so it is quickly available for turf use, similar to most synthetic fertilizers.” He said in tests three formulations of lysine were rated equal in quality when compared with ammonium sulfate, the current fertilizer industry standard used by most golf courses. The same results were obtained with Sustane, another natural fertilizer product, and earlier with urea. “Research shows that the NaturStim products perform as well as synthetic fertilizers, but have the added benefit of providing golf course managers with a more natural alternative to traditional fertilizers,” said Fermanian. ADM, which provided part of the research funding, intends to have NaturStim available for residential use as well as commercial applications.
Bio Balance eyes plants in Canada, U.S.
Burlington, Ont.-Bio Balance, a joint venture headed by water and wastewater specialist Simpson Environmental Corp., has major plans for building a network of plants in Canada and the U.S. for turning animal processing waste into unique organic fertilizer, according to Simpson CEO Don Cooper. Cooper said Bio Balance, which includes Notra Organics as another partner, plans to locate its first plant in Smithville, also in Ontario in the Niagara area, but has run into a snag with some local council members. The facility, proposed for the West Lincoln industrial park, needs to get a zoning change from the council, but has raised questions about causing an odor nuisance. A columnist for the local paper also voiced objections, saying “all I can visualize are huge trucks, filled with animal offal, bearing down on the stop light in Smithville. It is not a pretty sight.” Cooper responded that there will be no trucking in of animal offal or carcasses, but rather a benign dryed paste material that gives off no odors. The issue is expected to come up again later this month. Bio Balance was formed to build and operate accelerated, aerobic composting facilities for clients in the food processing industry and for municipalities. Cooper told Green Markets that Bio Balance at Smithville and other locations to be selected would be using the residue collected in the washout process, which is actually high in protein. “Small bits in the washout are put through an in-vessel or composter where an anaerobic process results in complete bio-stabilization and locks in the nutrients,” Cooper reported. “Our proprietary and patented processes extract the maximum nutrient value from the organic residue, then seals in its potency so plants benefit throughout their growth curve while the problematic waste stream is virtually eliminated.” He said the Ontario facility could produce 10,000 tons a year of a natural 9-3-3 fertilizer to be bagged and sold for use on lawns, gardens, parks, golf courses, sports fields, and farms.
Virginia farmers to get paid for using poultry litter
Richmond-The Virginia Poultry Federation has joined with the State Department of Conservation and Recreation to provide $600,000 over the next three years for farmers to transport and use poultry litter from two poultry-producing counties. Officials said farmers are being offered conservation payments of either $5 or $12 per ton to haul away and use the litter as fertilizer on their fields. Typically, farmers would pay between $25-$35 per ton. “This is a public-private partnership that makes sense all around,” said Virginia Secretary of Natural Resources Preston Bryant Jr. “Developing a sustainable market for poultry litter helps stimulate the farm economy and has tremendous water quality benefits as well. This transportation program helps nurture that market.” Agriculture Secretary Robert Bloxom agreed the program is a win-win – farmers save by using the litter as fertilizer, and the state benefits from improved water quality. Farmers can sign up for incentives for up to 500 tons. Once payments are received on that tonnage, the farmer can reapply for up to another 500 tons. Participants must have a nutrient management plan in place.
Synagro agrees to Alabama biosolids rules
Montgomery, Ala.-Synagro Technologies Inc. has agreed to cooperate fully – and then some – with stronger statewide regulations resulting from growing concerns over the way biosolids are being used to fertilize farmland, according to the company and the state’s top agriculture official. Ag Dept. Commissioner Ron Sparks told Green Markets after a meeting with Synagro Executive Vice President Alvin Thomas that “they’re willing to do the things they need to do” to comply with new guidelines, which Sparks termed tougher than EPA’s. “Some of the things we talked about are not required by EPA,” Sparks pointed out. He said Alabama wants odor control, nutrient management, proper application, monitoring of pH levels for at least two years, and heavy metals restrictions. The state also will be restricting applications of biosolids near dwellings, streams, and property lines. Thomas indicated that Synagro intends to go beyond the state’s requirements. He said the company will make available on its web site documents pertaining to these guidelines, and will set up a customer service line “so community issues can be addressed as quickly as possible.” He added, “We will continue to work through partnerships with farmers and communities across the state as a good corporate citizen to provide increased economic and environmental benefits to agricultural operations.” Opposition spread to the state level from Limestone County, where residents complained about strong odors and biosolids being left on the surface. Officials there also talked about filing for an injunction. More recently, the Colbert County commission voted unanimously to file for an injunction against Synagro to halt use of biosolids being brought into the area from New York. Sparks said Synagro is the only biosolids applicator the state has contacted, but added that the new rules would apply to all companies in the business. Synagro ships the treated sewer sludge from New York, treats it at a plant in Leighton, and gives it to farmers.
SafeLawns.org makes “million acre” challenge
Washington–SafeLawns.org held a rally at the nation’s capitol recently to generate more support for its “million acre challenge,” aimed at getting homeowners across the country to pledge to stop using chemical fertilizers. Part of the organization’s more than 150 members and supporters, including some who belong to the American Horticulture Society, heard their founder, author Paul Tukey, announce that four acres of the National Mall are now growing organically thanks to the cooperation of the National Parks Service. “This will provide a side-by-side comparison of what organic care can do as opposed to the traditional synthetic chemical techniques,” Tukey told Green Markets. Tukey, who wrote The Organic Lawn Care Manual and started the web site SafeLawns.org in February 2006, claims chemical fertilizers are “just as bad as chemical pesticides, leaching into the ground and water and killing off beneficial soil organisms.” In addition, Tukey claims 40 pounds of chemical fertilizer contains the same amount of fossil fuel it takes to produce three gallons of gasoline. He promises that the organic way can keep lawns green even during drought, declaring that “if you avoid synthetic chemical fertilizers and switch to compost and organic fertilizers you’ll reduce the need for watering by up to 75 percent by helping the soil to store water and the grass stay green.” Also, the need for nitrogen is overstated, he insists, “because lawns don’t need synthetic nitrogen when there are organic ways to produce it.” Kathy Mathers, TFI Vice President, took issue with SafeLawn claims. “If you look at SafeLawn’s list of sponsors, it is full of commercial ventures in the organic market,” Mathers told Green Markets. “That’s fine, but where is the science behind their claims about commercial fertilizers? We have internationally recognized product testing data on 23 major fertilizer products which shows that when managed properly, fertilizers pose no harm to human health or the environment. Lawns (or crops for that matter) can’t tell the difference between commercial or organic nutrients (in fact some commercial fertilizers are on the approved organic list) and the most important thing for all homeowners to know is that management of all nutrient sources is key to protecting the environment.”
New fumigant gets restricted EPA registration
Cary, N.C.-Developer Arysta LifeScience North America is pursuing registration in all 50 states for a new crop fumigant after recently receiving restricted approval from EPA. Mike Allen, Arysta LifeScience product manager for the iodomethane (methyl Iodide) product brand named MIDAS, anticipates the first state registration will be achieved in December in the southeast U.S. California, where MIDAS is expected to be well-received as a replacement for the controversial methyl bromide, requires its own registration process, and Arysta is working with officials there to meet all requirements. Despite health concerns voiced by 54 chemists and other scientists, EPA has granted a one-year registration of MIDAS under what the agency terms as highly restrictive provisions governing its use as a pre-plant soil fumigant to control plant pathogens, nematodes, insects, and weeds on strawberries, tomatoes, peppers, ornamentals, turf, trees, and vines. EPA insists the risk assessment process for iodomethane has been one of the most thorough analyses ever conducted on a new pesticide. Allen declared that MIDAS is “the fumigant answer many growers have been looking for because it provides broad-spectrum control of target pests and diseases and uses conventional application techniques and equipment. MIDAS has been proven to be as effective as methyl bromide at lower application rates.” He said MIDAS has been in experimental use in Florida, Georgia, Michigan, North Carolina, South Carolina, Tennessee, and Virginia since 2006, and on test acreage added by EPA in California in 2007. Half of the growers who participated are said to experience on average a 19 percent yield increase compared to methyl bromide on side-by-side trials on commercial acreage. The remaining growers saw results similar to those achieved with methyl bromide. The 54 objectors from the science community sent EPA a letter Sept. 25 citing potential human health and environmental concerns and requesting additional peer review. But EPA insists that “when used according to strict procedures, iodomethane is not only an effective pesticide, but also meets the health and safety standards for registering pesticides. By using a thorough evaluation process, the agency concluded that there are adequate safety margins and the registration does not pose unreasonable risks.”