New York, New York
December 4, 2002

Monsanto Chief Financial Officer Terry Crews said today that the company's ability to generate strong free cash flow is sustainable throughout the 2002-2004 timeframe.

In his remarks at the Salomon Smith Barney 13th Annual Chemical Conference, Crews also said 2003 and 2004 are transition years for the company as gross profit generation from its seeds and technology traits businesses will surpass those generated by agricultural productivity products such as Roundup and other herbicides.

"We expect our seed business to thrive based on continuous improvements being made across the product portfolio," Crews said. "Acreage planted with Monsanto's herbicide-tolerant and insect-protected products also continues to grow, and we're in the final stages of the regulatory process on two products which, upon registration and commercialization, will contribute to our results."

The two products awaiting final clearance from the U.S. Environmental Protection Agency (EPA) are Bollgard II, which will provide a broader spectrum of insect control in cotton; and YieldGard Rootworm corn, which is expected to be the first biotechnology product marketed to combat the corn rootworm.

Crews also provided an update on the company's expectations for its Latin American business in 2002. Currency devaluation for peso-based assets in Argentina, inventory reductions, and delaying sales closer to the actual use season in Latin America are expected to have a negative effect on earnings per share in the range of 82 cents to 85 cents. However, the actions taken to reduce risk in that region also are projected to benefit the company's free cash flow by more than $150 million in 2002.

"The actions we took this year in Latin America with our customers were designed to reduce risk and increase cash," Crews said. "While the implementation of our actions are nearly complete, we'll continue to closely monitor our business there, with a focus on reducing future risk from further economic uncertainty."

Crews reiterated fourth-quarter and full-year earnings per share of 28 cents to 36 cents (excluding restructuring), and $1.15 to $1.23, respectively (excluding goodwill impairment and special items). He also said the company is on track to deliver between $400 million and $460 million in free cash flow for 2002. Crews also projected 2002 capital expenditures of $230 million.

To hear Crews' presentation and view the accompanying slides, please go to Monsanto's web site (www.monsanto.com) and select "Presentations" under the investor relations' page. A replay of the webcast will be available on the Monsanto web site for two weeks.

Monsanto Company (NYSE: MON) is a leading global provider of technology- based solutions and agricultural products that improve farm productivity and food quality.

Free cash flow is cash flow from operations and investing.
Roundup, Bollgard and YieldGard are trademarks or registered trademarks owned by Monsanto Technology LLC.
References to Roundup products in this release mean Roundup branded and other glyphosate-based herbicides, excluding lawn and garden products.