By Hugh Bronstein
BUENOS AIRES (Reuters) - Archer Daniels Midland Co has replaced the leader of its global trading desk, according to an internal memo seen by Reuters on Wednesday, as the company sheds traders around the world while grappling with huge grain supplies that have weakened margins.
Gary McGuigan, most recently managing director of global trade at ADM will succeed Gary Towne as president of the global trade desk, according to the memo. The move is in keeping with a time frame set when Towne, who is retiring from the company, took the job last year, it said.
In a global shakeup in trading operations, the U.S. agribusiness group has let go key personnel in recent months and exited energy trading. It said in early April that it planned to close its South African trading desk and it shrank its operations in Argentina at a time of increasing food production.
Global heads of grains and oilseed trade will report to McGuigan, the memo said. The new vice president of global trade is Andy Kenny, who will continue to serve as global trade finance director, it said.
ADM's public affairs office in the United States did not have an immediate comment.
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In February, ADM reported a 41 percent drop in fourth-quarter net earnings to $424 million. Gains in its agricultural services segment were blunted by more losses by its global trading desk in the quarter, the unit's second quarterly loss of 2016.
Record global stocks of key commodities including corn, soybeans and wheat thinned margins and limited trading opportunities for ADM.
The company is scheduled to report first-quarter results next Tuesday.
As part of the shake-up of its international trading operations, ADM cut jobs in Argentina last month when it shuttered its Toepfer grains trading unit.
The revamps hit at a time of increased competition from Chinese trading house COFCO Group, which has begun an aggressive expansion into international grains trading.
(Additional reporting by Karl Plume in Chicago; Editing by Bernard Orr)