Monsanto’s Continued Progress across Key Milestones Reinforces Confidence in Its Innovation-Based Growth Drivers

ST. LOUIS--(BUSINESS WIRE)-- During the Wells Fargo 2016 Industrials and Chemicals Conference today in New York, Monsanto Company’s (NYSE: MON) vice president and chief commercial officer Mike Frank will highlight the company’s core growth drivers and integrated platform opportunities that reinforce its position to help address key global challenges, generate significant value for farmers and return value to shareowners.

“The fundamentals of our business are strong – and our strategy and priorities are clear,” said Frank. “Through focus and financial discipline, our attention remains on driving our core business and building out our integrated solutions vision to best serve farmers around the world.”

As highlighted at its recent second quarter earnings, Monsanto continues to execute on key milestones within its core business in fiscal year 2016. Through new corn hybrid portfolio introductions across key corn growing regions, as well as at least seven different late stage technologies that have licensing and launch opportunities in the near term, Monsanto’s largest crop platform remains strong. Frank will note that Monsanto continues to expect to hold or grow corn share in the United States in 2016, with the company’s year one to year three hybrids continuing to track at 50 percent to 60 percent of its portfolio. SmartStax® corn remains roughly at the same percentage of the portfolio mix as last year. In Brazil, the company grew share in the first season of the year and its VT Triple PRO® product is expected to be on approximately two million acres across both seasons with strong grower interest and adoption. In Argentina, the company’s corn share remains above 50 percent in a region where acres declined significantly versus the prior year. Finally, across Europe and South Africa, the company also continues to expect to hold or grow share in a region of declining corn acres.

Within soybeans, the company continues to build on the strong grower adoption of Intacta RR2 PRO™ soybeans in South America as the company remains on track to reach 35 million acres in fiscal year 2016 on the way to its full 100 million acre opportunity. For the third year in a row, preliminary yield data demonstrates a greater than four bushel per acre yield advantage for Intacta RR2 PRO™ soybeans, as compared to first-generation Roundup Ready® soybeans with insecticide treatment, underscoring the value of the technology. Near-term, discussions continue with key stakeholders in Argentina to find a mutually agreeable solution for a soybean technology royalty collection system to secure the value this patented technology creates for growers, while the testing protocols to detect Intacta RR2 PRO™ technology in grain are currently under review by the ministry. In light of this continued evolving landscape in Argentina, the company will continue to evaluate its business plans as appropriate and will assess any related financial implications to its balance sheet and earnings as necessary.

Demand for Roundup Ready 2 Xtend™ soybeans also remains strong as the company continues to await the European Union stack trait approval, which is in the final, administrative stage of approval and is expected to be completed in the near future. The company continues to regularly and transparently communicate throughout the value chain on the status of Roundup Ready 2 Xtend™ approvals. Given the European Union approval delay, Monsanto now expects to be on less than two million acres in its first year of launch in the United States. However, given the strong grower demand for the technology, the company still expects to be on two-thirds of the U.S. soybean acres by 2019 and has plans in place to be on 15 million U.S. soybean acres in fiscal year 2017, assuming timely receipt of the remaining regulatory approvals.

Monsanto also continues to make strong progress across its Climate FieldView™ platform as it is now on track to deliver its target of paid services on more than 12 million acres as grower interest and adoption of the new platform continues to grow.

Frank will highlight that continued progress on these key milestones in fiscal year 2016 is expected to set up a runway of growth beginning in fiscal year 2017. Growth is expected to be anchored on the company’s expanding innovation growth drivers and R&D leadership advantage, financial discipline and balanced capital allocation. Together, this innovation and financial discipline is expected to continue to drive industry-leading margins and strong cash generation.

Webcast

In conjunction with this announcement, Frank will address investors at the Wells Fargo 2016 Industrials and Chemicals Conference beginning at 10:35 a.m. ET (9:35 a.m. CT). Frank will discuss the company’s strategic initiatives and long-term growth drivers, future expectations, product performance and other matters related to the company’s business.

Presentation slides and a simultaneous audio webcast of the conference call may be accessed by visiting the company's website at www.monsanto.com/investors. Visitors may need to download Windows Media Player™ prior to listening to the webcast. Following the live broadcast, a replay of the webcast will be available on the Monsanto website for three weeks. Monsanto publishes details on upcoming webcasts on this website in both the Presentation and Financial Reports section and the Calendar of Events section. Investors should look to this site as the source of information on future investor conference webcasts. The site includes a calendar of upcoming investor events, details on accessing scheduled webcasts and information from previous investor events.

About Monsanto Company

Monsanto is committed to bringing a broad range of solutions to help nourish our growing world. We produce seeds for fruits, vegetables and key crops – such as corn, soybeans, and cotton – that help farmers have better harvests while using water and other important resources more efficiently. We work to find sustainable solutions for soil health, help farmers use data to improve farming practices and conserve natural resources, and provide crop protection products to minimize damage from pests and disease. Through programs and partnerships, we collaborate with farmers, researchers, nonprofit organizations, universities and others to help tackle some of the world’s biggest challenges. To learn more about Monsanto, our commitments and our more than 20,000 dedicated employees, please visit: discover.monsanto.com and monsanto.com. Follow our business on Twitter® at twitter.com/MonsantoCo, on the company blog, Beyond the Rows® at monsantoblog.com or subscribe to our News Release RSS Feed.

Cautionary Statements Regarding Forward-Looking Information:

Certain statements contained in this release are "forward-looking statements," such as statements concerning the company’s anticipated financial results, current and future product performance, regulatory approvals, business and financial plans and other non-historical facts. These statements are based on current expectations and 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 such forward-looking statements. Factors that could cause or contribute to such differences include, among others: continued competition in seeds, traits and agricultural chemicals; the company’s exposure to various contingencies, including those related to intellectual property protection, regulatory compliance and the speed with which approvals are received, and public understanding and acceptance of our biotechnology and other agricultural products; the success of the company’s research and development activities; the outcomes of major lawsuits; developments related to foreign currencies and economies; pursuit of acquisitions or other transactions; fluctuations in commodity prices; compliance with regulations affecting our manufacturing; the accuracy of the company’s estimates related to distribution inventory levels; the recent increases in and expected higher levels of indebtedness; the company’s ability to fund its short-term financing needs and to obtain payment for the products that it sells; the effect of weather conditions, natural disasters, accidents, and security breaches, including cybersecurity incidents, on the agriculture business or the company’s facilities; and other risks and factors detailed in the company’s most recent periodic report to the SEC. Undue reliance should not be placed on these forward-looking statements, which are current only as of the date of this release. The company disclaims any current intention or obligation to update any forward-looking statements or any of the factors that may affect actual results.

View source version on businesswire.com: http://www.businesswire.com/news/home/20160510005273/en/

Monsanto Company
Media
Sara Miller, 314-694-5824
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Investors
Laura Meyer, 314-694-8148

Source: Monsanto Company

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