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Monsanto is well positioned for breakout growth in seeds and traits through the end of the decade, executives tell investors at second annual summer field event

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St. Louis, Missouri
August 27, 2007

Building off of a strong 2007 season, Monsanto's (NYSE: MON) business is poised to create technology and commercial platforms that will enable the company to sustain its leadership and growth beyond the end of the decade, senior management will tell investors today.

Monsanto's remarks will be delivered as part of the company's second annual summer field event for investors, which begins today and continues tomorrow.

This year's event will be held at the Farm Progress Show, one of the world's largest outdoor farm shows, in Decatur, Ill. The event will include a special behind-the-scenes tour of the company's exhibit at the show as well as presentations by senior management.

Monsanto's exhibition at this year's Farm Progress Show will feature a complete on-site research-and-development (R&D) technology showcase including in-the-field displays of the company's key R&D pipeline technologies for the farm. Monsanto planted the live test plots earlier this year so that farmers and investors could see each of the projects in a field setting.

"We have the most successful R&D program in the ag industry, and it's poised to deliver value to farmers for years to come," Robb Fraley, Monsanto's chief technology officer, said. "No one in our industry has invested in the farmer the way we have or for as long as we have, and this investment has enabled us to deliver continuous innovation to the farm."

"In just one acre at the Farm Progress Show, we've assembled the brightest projects and best commercial opportunities that are poised to redefine farming for the next decade," Fraley said.

Monsanto's exhibit at the show will include new technologies and innovative approaches like:

  • Roundup RReady2Yield soybeans: This new soybean technology recently completed U.S. and Canadian regulatory approvals and is now one step closer to commercial availability.  It represents the soybean industry's first new trait technology developed in more than a decade. Three years of field comparisons have demonstrated that the technology can deliver a yield advantage of 7 to 11 percent over its first-generation Roundup Ready counterpart.

  • Drought tolerant corn: This technology is one of the centerpieces of Monsanto's R&D pipeline and its yield and stress technology collaboration with BASF. In the second year of South American testing, the drought-tolerant technology consistently delivered yield improvements compared with controls under water-stressed conditions, with yield advantages of up to 12 bushels per acre. 

  • Monsanto's library of corn, soybean and cotton germplasm: Monsanto has seen strong adoption of its corn and soybean seed brands, contributing to growth in its national corn seed business of between 4-5 percentage points this year. The company also expects that its national soybean brand, Asgrow, has realized share growth of more than 1 percent this year. Monsanto is currently using advanced breeding tools to more efficiently select for the best base germplasm, which will enable the company to continue delivering enhancements in these three crops in the coming seasons.

As part of the technology showcase tour, Fraley and the technology leadership team will discuss how projects the company is working on will help support farmers as they work to address the challenges facing global agriculture.

In a presentation on emerging trends in agriculture, Monsanto's Carl Casale, executive vice president for North American commercial business, will describe the changing global landscape for the production of corn, soybeans and cotton. With mounting global demand and constraints on key variables like land availability, Casale will discuss how there's an ever increasing emphasis on the productivity per acre.

"Today, we're seeing trends toward a demand-driven agricultural economy, where productivity per acre becomes an increasingly important factor in every crop," Casale said. "No company in the industry will be better positioned to meet these emerging trends than Monsanto -- and it all begins with our robust R&D program."

"We're focused on producing the best technology to maximize profit and productivity for the farmer, and because of that, we're poised for growth regardless of cyclical swings in commodity prices or shifts in crop plantings," Casale said.

Materials related to this investor briefing are available on the company's web site at http://www.monsanto.com/. These materials include:

In addition to the investor event materials, Monsanto has also posted information related to its presence at this week's Farm Progress Show. Interested parties can access this information on the company's web site at http://www.monsanto.com/. These materials include:

  • Blog: The Peek Over The Fence blog provides a week-by-week tour of how the technology showcase has evolved from an empty one-acre plot to a lush display of Monsanto's R&D projects.

  • Time-lapse videos: Time-lapse videos chronicle the growth cycle of Monsanto's drought-tolerant corn and third-generation soybean technology for dicamba-tolerance.

  • Farmer interviews: This section includes comments from farmers at the show and gauges their impressions on the company's technology showcase. 

  • Podcasts: This section includes comments from Monsanto officials on the showcase and the company's investment in new technologies for the farm.

Monsanto is an agriculture company. The company is a leading provider of technology-based solutions and agricultural products that improve farm productivity and food quality. Monsanto is committed to investing in products that can make a difference for its farmer customers and the land they farm. The company uses plant breeding, plant biotechnology and other applications of modern science to support its commitment to agriculture and the farmers that feed, clothe and fuel our growing world.

 

 

 

 

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