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    monsanto 09/30/04 monsanto 09/30/04 Presentation Transcript

    • Robb Fraley, Ph.D. Chief Technology Officer and Executive Vice President Credit Suisse First Boston September 30, 2004 1
    • Forward-Looking Statements Forward-Looking Statements Forward- Certain statements contained in this presentation, such as statements concerning the company's anticipated financial statements results, current and future product performance, regulatory approvals, currency impact, business and financial plans and approvals, other non-historical facts are quot;forward-looking statements.quot; These statements are based on current expectations and non- quot;forward- expectations currently available information. However, since these statements are based on factors that involve risks and uncertainties, the company’s actual performance and results may differ materially from those described or implied by those company’ such forward-looking statements. Factors that could cause or contribute to such differences include, among others: the forward- such company’s exposure to various contingencies, including those related to Solutia, Inc., litigation, intellectual property, company’ regulatory compliance (including seed quality), environmental contamination and antitrust; fluctuations in exchange rates contamination and other developments related to foreign currencies and economies; increased generic and branded competition for the economies; company's Roundup herbicide; the accuracy of the company’s estimates and projections, for example, those with respect company’ to product returns and grower use of our products and related distribution inventory levels; the effect of weather distribution conditions and commodity markets on the agriculture business; the success of the company’s research and the company’ development activities and the speed with which regulatory authorizations and product launches may be achieved; rizations autho domestic and foreign social, legal and political developments, especially those relating to agricultural products especially developed through biotechnology; the company's ability to continue to manage its costs; the company’s ability to continue company’ successfully market new and existing products in new and existing domestic and international markets; the company’s existing company’ ability to obtain payment for the products that it sells; the company's ability to achieve and maintain protection for its company's intellectual property; the effects of the company's accounting policies and changes in generally accepted accounting policies principles; the company's ability to fund its short-term financing needs; general economic and business conditions; short- political and economic conditions due to threat of future terrorist activity and related military action; and other risks and terrorist factors detailed in the company's filings with the U.S. Securities and Exchange Commission. Undue reliance should not Securities be placed on these forward-looking statements, which are current only as of the date of this release. The company forward- this disclaims any current intention to revise or update any forward-looking statements or any of the factors that may affect forward- actual results, whether as a result of new information, future events or otherwise. events 2
    • Additional Disclosures Fiscal Year In this presentation, unless otherwise specified references to years, or to fiscal years, 2001 through 2006 references are on a fiscal-year basis and refer to the 12-month period ending August 31. fiscal- 12- Trademarks Roundup, Roundup Ready, Bollgard, Bollgard II, YieldGard, Harness, Posilac , VISTIVE, Processor Preferred YieldGard, and the Monsanto, Imagine and vine logo are trademarks owned by Monsanto Company and its wholly owned subsidiaries. All other trademarks are the property of their respective owners. © 2004. Monsanto their Company. All Rights Reserved. 3
    • Overview Biotechnology Is Most Rapidly Adopted Technology in the History of Agriculture Global Monsanto Planted Biotech Acres Acres in millions 180 Canola 160 Cotton 140 Corn 120 Soybeans 100 80 60 40 20 0 1996 1997 1998 1999 2000 2001 2002 2003 2004* Source: Monsanto estimates * 2004 is preliminary 4
    • Overview Biotechnology Provides Better Economical and Environmental Solutions Effect of Biotech Crops on U.S. Pesticide Use in 2001 Million Lbs. Soybeans (29) Corn (8) Cotton (8) Canola (1) Total Reduction in (46) Pesticide Use Source: “Plant Biotechnology: Current and Potential Impact for Improving Pest Management in U.S. Agriculture,” Leonard P. Gianessi, National Center for Food & Agriculture Policy. Agriculture,” Gianessi, 5
    • Overview Early, Major Investment In Seeds Captured Value Shift Monsanto Brand Share Monsanto Licensed Share Dupont-Pioneer Share Monsanto Genetic Market Share in U.S. Corn Seed 60% 49% 48% 45% 43% 50% 40% 30% 20% 10% 0% 2001 2002 2003 2004 Source: Monsanto 6
    • Overview Value and Growth Potential Continues 2 1 R&D Update Commercial Update ! Soybean gene sequence ! Collaborations with Genomics sharing with Qualisoy; Devgen and Divergence Corn gene sequence for pest control sharing with NCGA* ! 2004 U.S branded market ! Launched 36 new corn Conventional share of 14% in corn and hybrids and 30 new Breeding 20% in soy soy varieties in 2004 U.S. brands ! Enabling technology for ! Over 2,000 active Molecular early introduction of markers drive breeding Breeding Vistive low-linolenic program soybeans ! Ankeny, Iowa is world’s ! Processor Preferred Crop Analytics hybrids for high ethanol only ISO-9001 certified yields crop analytics lab ! First reports from growers ! Completed U.S. show high satisfaction submissions of full Biotechnology with YieldGard Rootworm regulatory packages for corn Roundup Ready Flex 7 *NCGA is National Corn Growers Association
    • Round 1: Seed and Single-Trait Positions Firmly Established and Growing • Seed Breeding Advancements • First-Generation Traits • Geographic Expansion • Value Capture Round 1 8
    • Round 1: Breeding Now Commercializing First Inter-Company Corn Hybrids from Industry’s Most Diverse Genetic Pool 6-to-8 year process 6-to-8 year Late 1990s Early 2000s Today Acquired 36 major corn Crossed genetic lines Launching new hybrids breeding programs across acquired from inter-company (12 countries x average of 3 companies crosses companies per country) Temperate Temperate Sub-Tropical Sub- Sub-Tropical Monsanto corn Tropical Tropical germplasm flows globally Sub-Tropical Sub- Sub-Tropical Temperate Temperate 9
    • Round 1: First-Generation Traits Roundup Ready Soybeans Continue Delivering Value Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina Available Market 70M 50M 30M Available Market 70M 50M 30M Genomics Percent Penetrated (2004 Preliminary) 94% 15% 100% Percent Penetrated (2004 Preliminary) 94% 15% 100% 1 U.S. Grower System Cost Conventional Breeding Trait Molecular Herbicide Breeding Seed Crop Analytics Herbicide $ per acre Cost $52 Biotechnology $48 $40 Trait Cost 1999 1995 2005F Conventional Roundup Ready Source: Monsanto and Doane Market Research Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 10
    • Round 1: First-Generation Traits Roundup Ready Soybeans Continue Delivering Value Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina Available Market 70M 50M 30M Available Market 70M 50M 30M Genomics Percent Penetrated (2004 Preliminary) 94% 15% 100% Percent Penetrated (2004 Preliminary) 94% 15% 100% 2 Brazil Value Capture Conventional Breeding Brazil Molecular Breeding System Success Crop Analytics quot; Grain-based system implemented Biotechnology quot; Over 95% of grain originators in Sale of Roundup Ready soybean the territory under contract varieties for this quot; 100% of harvest has been area requires new regulatory delivered approvals quot; Demonstrated Collections Varieties from 40 million planted soybean acres Argentina are adaptable to this area 10 million planted soybean acres Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 11
    • Round 1: First-Generation Traits Available Market for Roundup Ready Corn Is Growing Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina 20M Available Market 20M-50M 20M- 5M 20M Available Market 20M-50M 5M Genomics Percent Penetrated (2004 Preliminary) 32% 0% 0% Percent Penetrated (2004 Preliminary) 32% 0% 0% 1 Grain Channeling in the U.S. Conventional Breeding Business Approach Molecular Breeding Website indicates to farmers # which elevators in their area Crop Analytics accept biotech grain not yet approved for import into the European Union Biotechnology Communication and # education program under way Percent of growers citing # grain marketing concerns has dropped from roughly 60% to nearly 30% in past year* *Based on Roundup Ready corn surveys taken in fall of 2003 and spring of 2004 in Eastern Iowa/Northern Illinois region www.866sellcorn.com Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 12
    • Round 1: First-Generation Traits Available Market for Roundup Ready Corn Is Growing Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina 20M Available Market 20M-50M 20M- 5M 20M Available Market 20M-50M 5M Genomics Percent Penetrated (2004 Preliminary) 32% 0% 0% Percent Penetrated (2004 Preliminary) 32% 0% 0% 2 Regulatory Processes Conventional Breeding European Union ! 23 products in regulatory queue Molecular Breeding under Directive 2001/18; 12 from Monsanto Crop Analytics ! Roundup Ready corn (NK603) Biotechnology approved for importation and whole corn feed in July 2004 ! NK603 food application in queue Argentina ! Roundup Ready corn (NK603) approved for planting in Argentina in July 2004 ! Application for stacks in queue Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 13
    • Round 1: First-Generation Traits YieldGard Rootworm Continues High Satisfaction Pattern with Biotech Traits Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina 5M Available Market 15M-20M 15M- 1M 5M Available Market 15M-20M 1M Genomics Percent Penetrated (2004 Preliminary) 11% 0% 0% Percent Penetrated (2004 Preliminary) 11% 0% 0% 1 Grower Satisfaction Conventional Breeding Percent of customers very or somewhat satisfied1 Molecular Breeding 100% 80% Crop Analytics 60% Biotechnology 40% 20% 0% Roundup Roundup Bollgard/ Roundup YieldGard YieldGard Ready Roundup Rootworm Corn Ready Ready Ready Corn** Borer* Cotton* Corn* Soybeans* Cotton* 1Based on all growers using specified seed and treatment and able to answer very satisfied, somewhat satisfied, neutral, or not satisfied. satisfied. *Source: Marketing Horizons Trait Satisfaction Studies 2002 **Source: Marketing Horizons Trait Satisfaction Studies 2004 Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 14
    • Round 1: First-Generation Traits YieldGard Rootworm Continues High Satisfaction Pattern with Biotech Traits Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina 5M Available Market 15M-20M 15M- 1M 5M Available Market 15M-20M 1M Genomics Percent Penetrated (2004 Preliminary) 11% 0% 0% Percent Penetrated (2004 Preliminary) 11% 0% 0% 2 YieldGard Rootworm Protection Conventional Breeding Molecular Breeding Crop Analytics Biotechnology Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 15
    • Round 2: Monsanto Is Uniquely Positioned To Bring Next Generation of Traits to Market • Continued Growth from Round 1 • Second-Generation Traits • Greater Intensity of Stacked Traits Round 1 Round 2 16
    • Round 2: Second-Generation Traits Upgrades in Technology Raise the Bar on Competition -- Roundup Ready Flex Cotton Key Market Acres U.S. Australia Key Market Acres U.S. Australia 0.5M – 0.8M Available Market 10M-15M 10M- 0.5M – 0.8M Available Market 10M-15M Genomics 0% Percent Penetrated 0% 0% Percent Penetrated 0% 1 Reproductive Tolerance to Roundup Conventional Breeding Molecular # New promoter in Roundup Ready Flex provides Breeding reproductive tolerance to Roundup during Crop Analytics cotton flowering Biotechnology Pollen Viability Roundup Ready Cotton Roundup Ready Flex Cotton 1.12 lbs ae/A Roundup applied over the top sequentially at 4 and 8 node stages ae/A stages Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 17
    • Round 2: Second-Generation Traits Upgrades in Technology Raise the Bar on Competition -- Roundup Ready Flex Cotton Key Market Acres U.S. Australia Key Market Acres U.S. Australia 0.5M – 0.8M Available Market 10M-15M 10M- 0.5M – 0.8M Available Market 10M-15M Genomics 0% Percent Penetrated 0% 0% Percent Penetrated 0% 2 Expanded Window of Application Conventional Breeding # Expanded window of over-the-top application Molecular Breeding - Increased margin of crop safety Crop Analytics - More “flexible” weed control # Increased grower convenience Biotechnology # Reduced need for specialized spray equipment Over-the-top window of application Roundup Ready® Flex Cotton Roundup Ready® Cotton (< 4 lf.) Emergence Layby Preharvest Harvest Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 18
    • Round 2: Second-Generation Traits Upgrades in Technology Raise the Bar on Competition -- Roundup Ready Flex Cotton Key Market Acres U.S. Australia Key Market Acres U.S. Australia 0.5M – 0.8M Available Market 10M-15M 10M- 0.5M – 0.8M Available Market 10M-15M Genomics 0% Percent Penetrated 0% 0% Percent Penetrated 0% 3 Field Trial Update Conventional Breeding # Over 200 field trials conducted in 2004 Molecular Breeding # 8 cotton seed companies participating in trial Crop Analytics program Biotechnology # Cotton States launching exclusively on a second-generation trait platform Results from the Field Results from the Field Coming in January 2005 Coming in January 2005 Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 19
    • Round 2: Second-Generation Traits Second-Generation YieldGard Corn Borer Controls More Insects Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina 15M Available Market 30M-40M 30M- 4M 15M Available Market 30M-40M 4M Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 1 2nd Generation Yieldgard Corn Borer Conventional Breeding Fall Armyworm Control Molecular # Broad control Breeding solution for fall Crop Analytics armyworm and corn earworm for Biotechnology global expansion YGCB YGCB II # Durability Corn Earworm Control solution for insect resistance management YGCB II No Yieldgard Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 20
    • Round 2: Second-Generation Traits Second-Generation YieldGard Corn Borer Controls More Insects Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina 15M Available Market 30M-40M 30M- 4M 15M Available Market 30M-40M 4M Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 2 Field Trail Update Conventional Breeding # 2004 field trials conducted in Puerto Rico, Molecular Argentina and U.S. Breeding Crop Analytics # Multiple trials per year Biotechnology # Excellent control in high infestations levels Results from the Field Results from the Field Coming in January 2005 Coming in January 2005 Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 21
    • Round 2: Stacked Traits Stacking Biotech Traits Adds New Dimension to Market Potential — Multiplying Margin Opportunities Monsanto U.S. Biotech Intensity Index* Average number of biotech traits per biotech acre 1.6 Cotton (2 Traits) 1.5 Corn (3 Traits) 1.5 Soybeans (1 Trait) 1.4 1.3 1.2 1.2 1.1 1.0 1 1996 1997 1998 1999 2000 2001 2002 2003 2004F 2005F 2006F U.S. Biotech Margin Opportunities – 2004 Preliminary* Corn Cotton 16 million 52 million 10 million 1.2 42 million 1.5 biotech biotech X = biotech X = intensity biotech intensity margin margin Acres index acres index opportunities opportunities 22 * Monsanto traits only
    • Round 3: Pipeline Potential Builds on Established Platform • Continued Growth from Rounds 1 & 2 • Improved Food and Feed Biotech Traits • Biotech Yield Traits Round 1 Round 2 Round 3 23
    • Round 3: Food, Feed and Yield Traits Pipeline Products Reach New Markets and Expand Base in Corn, Soybeans and Cotton Food Healthier Oil Soy Yield (Low Linolenic Feed Omega-3 Soy Omega- Mid Oleic (Stearidonic acid) Low Saturate) Enhanced High Drought Tolerant Improved Protein Soy Lysine Corn Corn, Soy, Cotton (Beta Conglycinin) Low Linolenic Cold Tolerant High Lysine Corn Soy Corn Improved Protein Soy Nitrogen Utilization Corn Commercialized Agronomic Traits YieldGard Roundup YieldGard Corn Borer Ready Corn, Rootworm Bollgard I & II Soy, Cotton Corn Cotton 2nd Generation Roundup Ready YGCB II Corn YGRW II Corn Agronomic Traits Flex Cotton 24
    • Round 3: Feed Traits High Lysine Enhances Essential Amino Acids in Feed Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina TBD Available Market TBD TBD TBD Available Market TBD TBD Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 1 High Lysine Corn Conventional Breeding # Enhance level of limiting Molecular essential amino acids in feed Breeding # Lower cost of animal feed ration Crop Analytics Biotechnology # Improved amino acid balance High Lysine Corn – Total Lysine # Increased total 150 Target energy Indexed 100 # U.S. regulatory 50 packages submitted 0 Neg. Pos. Neg. Pos. Event 1 Event 2 Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 25
    • Round 3: Feed Traits High Lysine Enhances Essential Amino Acids in Feed Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina TBD Available Market TBD TBD TBD Available Market TBD TBD Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 2 Field and Feeding Trial Update Conventional Breeding # Field trials conducted in U.S. and Molecular Breeding Argentina this year # Evaluating over 12 hybrid genotypes in Crop Analytics this year’s program # Excellent performance demonstrated in Biotechnology feeding trials to date Results from the Field Results from the Field Coming in January 2005 Coming in January 2005 Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 26
    • Round 3: Food Traits Preparing for 2005 Launch of First-Generation Output Trait Pre-Launch — VISTIVE Soybeans Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina TBD Available Market 5M TBD TBD Available Market 5M TBD Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 1 VISTIVE Low Linolenic Soy Conventional Breeding A more stable soy oil # Molecular requiring less Breeding hydrogenation: reduce/eliminate trans Crop Analytics fats Biotechnology Yield parity and # stacked with Roundup Ready trait Linolenic acid < 3% # Linolenic 18:3 Linoleic Oleic Sats Std Soybean VISTIVE Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 27
    • Round 3: Food Traits Preparing for 2005 Launch of First-Generation Output Trait Pre-Launch — VISTIVE Soybeans Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina TBD Available Market 5M TBD TBD Available Market 5M TBD Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 2 Field Trial Update Conventional Breeding Molecular # Advanced field testing Breeding # Shipping several tons of oil to food companies Crop Analytics for food formulation testing Biotechnology # Finalizing processor programs; Ag Processing, Inc. (AGP) participating # Launch in 2005 Results from the Field Results from the Field Coming in January 2005 Coming in January 2005 Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 28
    • Round 3: Food Traits Omega-3 Biofortification Is a Food Industry Breakthrough Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina TBD Available Market TBD TBD TBD Available Market TBD TBD Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 1 Oilseed Produced Omega-3 Conventional Breeding ! American Heart Assn., Omega-3 Deficiency Implicated in Molecular CVD Recommendations are American Dietetic 4:1 Japan Ratio dietary omega-6:3 Breeding for a ratio of 4:1 Assn., and 1,600+ omega-6 to omega-3 Canada Crop Analytics research studies UK support health benefits US Diet 80:1 Biotechnology % general population 50 200 CV deaths/100,000 39.1% stating they consider their ! Vegetable oils 32.0% PIC? diet deficient 30.9% Whole Grains 29.4% in… enriched with bio- 24.9% Vitamin E 23.1% available Omega-3 Folic Acid 18.7% Omega-3 ! Omega-3 promotes Soy Protein Vitamin C heart health Fiber ! Enhanced stability Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 29
    • Round 3: Food Traits Omega-3 Biofortification Is a Food Industry Breakthrough Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina TBD Available Market TBD TBD TBD Available Market TBD TBD Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 2 Field Trial Update Conventional Breeding ! 2004 field trials in U.S. Midwest Molecular Breeding ! Analyzing Omega-3 oil assay in Ankeny, Iowa and Crop Analytics St. Louis labs ! Testing for taste, odor and for agronomic performance Biotechnology PIC? Results from the Field Results from the Field Coming in January 2005 Coming in January 2005 Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 30
    • Round 3: Yield Drought Stress Tolerance Is One of Potential New Agronomic Traits in Pipeline Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina TBD Available Market TBD TBD TBD Available Market TBD TBD Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 1 Drought Tolerance Conventional Breeding ! Pricing depends on choice ! Yield insurance Molecular of market on all acres to Breeding protect against ! Stack with weed and insect water deficits Crop Analytics control traits enhances ! Yield enhancement margin opportunity Biotechnology on all acres through improved water use ! Cost savings on irrigated acres Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 31
    • Round 3: Yield Drought Stress Tolerance Is One of Potential New Agronomic Traits in Pipeline Key Market Acres U.S. Brazil Argentina Key Market Acres U.S. Brazil Argentina TBD Available Market TBD TBD TBD Available Market TBD TBD Genomics Percent Penetrated 0% 0% 0% Percent Penetrated 0% 0% 0% 2 Field Trial Update Conventional Breeding Molecular Breeding Crop Analytics Biotechnology Results from the Field Results from the Field Coming in January 2005 Coming in January 2005 Discovery Phase 1 Phase 3 Phase 4 Phase 2 Launch Proof of Concept Adv. Development Pre-Launch Pre- Early Development 32
    • Summary Value Shift to Seed Continues… Industry value shift from crop chemicals to seeds and traits is well under way… 1996 2003 2008F $7.5 Billion $8.4 Billion $9.2 Billion $3.6 $2.6 $4.5 $0.1 $3.8 $1.3 $3.5 $3.0 $2.7 Crop Chemicals Germplasm Biotech Traits Source: U.S. 1996-2003 Doane AgroTrak & Seed Studies; 2008 Monsanto Estimate 1996- 33
    • Summary Value Shift to Seed Continues… Value shift extends to feed, food, and yield… Water and Soil Value Shift Value Shift Nutrients Human Value Shift Value Shift Health Animal Value Shift Value Shift Nutrition Crop Value Shift Value Shift Chemicals Seed 34
    • Questions? 35