The Andersons, Inc. (ANDE) — ESG & Values Scores

Environment story

The Andersons operates in commodity agriculture and renewables (ethanol production), sectors inherently exposed to climate transition risk and physical climate hazards. The company acknowledges climate-change risks to operations, crop yields, and supply chains but has not disclosed quantified Scope 1, 2, or 3 emissions, a net-zero target year, or verified decarbonization infrastructure investments. The 10-K explicitly identifies transition risk from electrification reducing ethanol demand and physical risk from weather volatility in the Eastern Grain Belt. Without emissions baselines or credible reduction targets, environmental credibility cannot be established. The company's participation in Section 45Z tax-credit programs for lower-carbon ethanol indicates some carbon-intensity awareness but is primarily a financial incentive program, not an operational decarbonization commitment.

Criticisms on file

Undisclosed Scope 1 and Scope 2 emissions; no net-zero target disclosed
Source: ANDE 10-K 2025 Item 1A Risk Factors
Explicit acknowledgment of transition risk from electrification reducing biofuel demand
Source: ANDE 10-K 2025 Item 1A Risk Factors: 'The Company faces transition risks and physical risks related to climate change and electrification'
Physical climate risk exposure concentrated in Eastern Grain Belt; subject to adverse weather, crop failures, water stress
Source: ANDE 10-K 2025 Item 1A Risk Factors: 'Adverse weather conditions, including as a result of climate change, may adversely affect...'
Undisclosed scope 3 supply-chain emissions; grain merchandising and international commodity trading are carbon-intensive
Source: ANDE 10-K 2025 Item 1A Risk Factors
Reliance on natural gas for grain drying, manufacturing; fossil-fuel input price volatility acknowledged but no decarbonization pathway disclosed
Source: ANDE 10-K 2025 Item 1A Risk Factors: 'Natural gas' risk factor

Disclosed initiatives

Section 45Z Tax Credit Participation

Company pursuing federal tax credits for domestically produced ethanol based on carbon intensity of fuel. Credits require achievement of certain lifecycle emissions and prevailing wage/apprenticeship standards.

Financial incentive; does not constitute operational decarbonization infrastructure
Sustainable Sourcing Pilot Projects

Participation with customers in pilot projects providing farming operations visibility into sustainability activities.

Early-stage; scope and verification not disclosed
Enterprise Risk Management (ERM) Program

Company assesses potential impacts of environmental risks including climate change, greenhouse gas emissions, and other environmental issues through ERM program.

Risk assessment only; no quantified reduction targets or commitments

Social story

The Andersons discloses limited social metrics in its 10-K. The company acknowledges talent attraction and retention as a critical business challenge, with recent senior-management changes and succession-planning concerns noted. No CEO-to-median-worker pay ratio, workforce diversity percentages, union-standing statements, or supply-chain human-rights audits are disclosed in the filing. The company identifies occupational safety risks (grain-dust explosions, chemical spills, equipment failures) and reports maintaining safety training and insurance coverage but provides no quantified injury rates, lost-time incident data, or third-party safety certifications. No evidence of union-suppression activities or major strikes in the last 24 months is visible in the 10-K. Without disclosed DEI metrics, pay-equity assessments, or supply-chain labor standards, social performance cannot be independently verified.

Criticisms on file

No disclosed CEO-to-median-worker pay ratio; no equity compensation or bonus structure disclosed
Source: ANDE 10-K 2025 lacks executive-compensation summary in Item 11 disclosure pattern
No disclosed workforce diversity metrics (gender, race, ethnicity) or formal DEI programs
Source: ANDE 10-K 2025 Item 1A Risk Factors acknowledges retention challenges but no workforce composition disclosed
No disclosed union recognition, collective bargaining agreements, or union-standing statements
Source: ANDE 10-K 2025 does not reference labor relations
Occupational safety risks explicitly acknowledged: grain-dust explosions, fires, chemical spills, transportation accidents, equipment failures
Source: ANDE 10-K 2025 Item 1A Risk Factors: 'Our business involves considerable safety risks'
No disclosed supply-chain human-rights audit, forced-labor policy, or conflict-minerals compliance
Source: ANDE 10-K 2025 does not address supply-chain labor or human-rights standards

Disclosed initiatives

Safety Training and Asset Integrity Program

Company undertakes regular engineer inspections of assets, increased focus on safety training, and capital spending allocations for maintenance. Insurance coverage includes inventory, property, liability, and business-interruption policies.

Occupational risk mitigation; no quantified safety metrics disclosed
Employee Retention and Succession Planning

Company identifies need to develop and retain organizational capabilities in key growth markets and maintain leadership succession plans.

Risk acknowledgment; no formal DEI programs or targets disclosed

Governance story

The Andersons' governance structure and practices are minimally disclosed in the 10-K. The filing does not reveal board independence percentage, share-class structure, or lobbying expenditures. The company discloses significant regulatory and legal risks, including compliance obligations under the Dodd-Frank Act, Commodity Exchange Act, environmental laws, and product-registration requirements, but does not report any major antitrust proceedings, consumer-safety fines, or SEC consent decrees in the excerpted text. The company acknowledges general litigation and regulatory proceedings in the ordinary course of business but provides no summary of active disputes. The 10-K includes standard risk disclosures around regulatory compliance costs and potential liabilities but lacks affirmative governance policies (board diversity, executive accountability, lobbying alignment with climate goals, or shareholder-proposal responses).

Criticisms on file

Board independence percentage not disclosed; no disclosure of board diversity, composition, or independence standards
Source: ANDE 10-K 2025 does not provide Item 10 board-composition detail in excerpted text
Share-class structure (single vs. dual-class, founder voting rights) not disclosed in 10-K excerpt
Source: ANDE 10-K 2025 capitalization section not excerpted
Annual lobbying expenditure not disclosed; no statement of lobbying positions on climate, environmental deregulation, or consumer protection
Source: ANDE 10-K 2025 does not itemize lobbying spend or policy positions
No active antitrust, consumer-safety, or financial-fraud regulatory proceedings explicitly disclosed in 10-K excerpt; generic litigation risk acknowledged
Source: ANDE 10-K 2025 Item 1A Risk Factors: 'We are subject to various legal and regulatory proceedings...'
Significant litigation and regulatory risk acknowledged: antitrust, tax, environmental, intellectual property, data privacy claims possible in ordinary course
Source: ANDE 10-K 2025 Item 1A Risk Factors
Cybersecurity governance: reliance on third-party cloud vendors with limited direct control over data security and compliance
Source: ANDE 10-K 2025 Item 1A Risk Factors: 'We utilize cloud-based services, systems and networks managed by third-party vendors'

Disclosed initiatives

Regulatory Compliance Framework

Company maintains compliance programs addressing Dodd-Frank, Commodity Exchange Act, environmental regulations, and EPA product-registration requirements.

Standard legal and regulatory compliance; no enhanced governance structures disclosed
Enterprise Risk Management (ERM) Program

ERM program addresses business, financial, regulatory, and environmental risks.

Risk oversight framework; scope and governance authority not detailed
Information Technology Governance Roadmap

Company reviewing systems roadmap to standardize processes and enhance internal controls over financial reporting.

System modernization; control-environment strengthening in progress

These are Missionomics' own editorial scores — directional signals built from disclosed facts under a published method, not certifications or definitive ratings of The Andersons, Inc.. Coverage and confidence vary by data point, and figures can lag real-world changes. Read the full Methodology for sourcing, scoring, and correction details — or open The Andersons, Inc. in the app for interactive charts and portfolio building.

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