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BASF and Monsanto Canada announce agreement to develop and commercialize CLEARFIELD canola hybrids
Toronto, Ontario and Winnipeg, Manitoba, Canada
December 5, 2006

New high-yielding hybrids to benefit Canadian growers

BASF and Monsanto Canada announced today the signing of a licensing agreement for the development
and commercialization of CLEARFIELD canola hybrids. The 10-year agreement will see the development and
marketing of CLEARFIELD hybrids under Monsanto’s DEKALB(R) brand of canola seed.

“This agreement is excellent news for western Canadian canola growers, as it will increase access to high-yielding hybrids under the CLEARFIELD banner,” says Ted Bonertz, Business Director for BASF Agricultural Products in Canada. “Our commitment to the ongoing development of the CLEARFIELD Production System is driven by the benefits this system delivers to Canadian growers.”

Currently, there is one DEKALB hybrid, 71-20CL, available as part of the CLEARFIELD Canola Production System; however, there are additional hybrids in both early and late stage development, with new products expected in 2007-2008 and beyond.

“We have a significant amount of resources dedicated to the development of Clearfield canola hybrids” said
Sean Gardner, vice-president and general manager, Monsanto Canada. “With this agreement, our customers
will benefit from improved genetics in DEKALB Clearfield hybrids developed specifically to be tolerant to the CLEARFIELD canola herbicides.”

The agreement between BASF and Monsanto is a global agreement covering CLEARFIELD development and commercial activity in canola and oil seed rape in several countries. The initial focus of the commercial activity is on canola in Canada. The CLEARFIELD Production System for canola combines agronomically strong hybrids, open-pollinated varieties and specialty-trait canola with proven weed control products (ODYSSEY(R), ABSOLUTE(TM), PURSUIT ULTRA(R) and SOLO(TM)), to meet the needs of western Canadian canola growers.

The CLEARFIELD Production System has been used extensively since 1995. The system matches carefully selected seed varieties/hybrids with custom-designed imidazolinone herbicides. All current CLEARFIELD varieties and hybrids as well as those that will be developed using this technology are recognized as on-GMO by international authorities. At the present time, BASF possesses the world’s largest portfolio of non-GMO herbicide tolerant traits and has established relationships with over 100 seed companies throughout the world. This  strategy of worldwide alliances supports the program with an unmatched offering of seed alternatives to meet the
specific local needs and preferences of individual growers.

With sales of €3,298 million in 2005, BASF’s Agricultural Products division is a leader in crop protection and a strong partner to the farming industry providing well-established and innovative fungicides, insecticides and herbicides. Farmers use these products and services to improve crop yields and crop quality. Other uses include public health, structural/urban pest control, turf and ornamental plants, vegetation management, and forestry. BASF aims to turn knowledge rapidly into market success. The vision of BASF’s Agricultural Products division
is to be the world’s leading innovator, optimizing agricultural production, improving nutrition, and thus enhancing the quality of life for a growing world population. Further information can be found on the web at www.agro.basf.com.

BASF is the world’s leading chemical company: The Chemical Company. Its portfolio ranges from chemicals, plastics, performance products, agricultural products and fine chemicals to crude oil and natural gas. As a reliable partner to virtually all industries, BASF’s intelligent system solutions and high-value products help its customers
to be more successful. BASF develops new technologies and uses them to open up additional market opportunities. It combines economic success with environmental protection and social responsibility, thus contributing to a better future. BASF has approximately 94,000 employees and posted sales of more than €42.7 billion (approximately $50.4 billion) in 2005. Further information on BASF is available on the Internet at 
www.basf.com.

Monsanto Company is a leading global provider of technology-based solutions and agricultural products
that improve farm productivity and food quality. To learn more about Monsanto’s branded seed business
and trait technologies or the company’s focus on serving farmers please visit Monsanto’s web site at 
www.monsanto.ca.

Always read and follow label directions.

(R) CLEARFIELD is a registered trademark of BASF.
(R) ODYSSEY and PURSUIT ULTRA are registered trademarks of BASF.
(TM) ABSOLUTE is a trademark of BASF Agrochemical Products. All are used under license by BASF Canada Inc.
(TM) SOLO is a trademark of BASF Canada Inc.
Dekalb and Dekalb and Design are registered trademarks of Dekalb Genetics Corporation, Monsanto Canada Inc. licensee.

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