Fresh Until: 6/07 1

Monsanto and Renessen’s pipeline productsMonsanto and Renessen’s pipeline products

Scientific hearing with Applicants – Scientific panel on Genetically Modified Organisms

March 21st, 2007

Bruno TinlandMonsanto Company© 2007 Monsanto Company

Second Generation of Biotech Crops

First Generation of Biotech

Nitrogen

Yield

Drought

FarmerHealthier

Oils

Consumer

FortifiedFood

Processor

Feed Enhanced

Biofuel

Industrial Processes

Second Generation of Biotech

Insect / VirusProtection

Herbicide Tolerance

© 2007 Monsanto Company

We Address Challenges One Phase at a Time, Beginning With Discovery

DISCOVERYGene/Trait Identification

PHASE IProof Of Concept

PHASE IIEarly Development

PHASE IIIAdvanced Development

PHASE IVPre-launch

AVERAGE DURATION1 24 to 48 MONTHS 12 to 24 MONTHS 12 to 24 MONTHS 12 to 24 MONTHS 12 to 36 MONTHS

SPENDING $2-5M $5-10M $10-15M $15-30M $20-40M

AVERAGE PROBABILITY OF SUCCESS2

5 PERCENT 25 PERCENT 50 PERCENT 75 PERCENT 90 PERCENT

GENES IN TESTING

TENS OF THOUSANDS

THOUSANDS 10s <5 1

KEY ACTIVITY •HIGH-THROUGHPUT SCREENING

•MODEL CROP TESTING

•GENE OPTIMIZATION•CROP TRANSFORMATION

•TRAIT DEVELOPMENT•PRE-REGULATORY DATA

•LARGE-SCALE TRANSFORMATION

•TRAIT INTEGRATION•FIELD TESTING•REGULATORY DATA GENERATION

•REGULATORY SUBMISSION

•SEED BULK-UP•PRE-MARKETING

1) Time estimates are based on our experience; they can overlap. Total development time for any particular product may be shorter or longer than the time estimated here.2) This is the estimated average probability that the traits will ultimately become commercial products, based on our experience. These probabilities may change over time.© 2007 Monsanto Company

Second Generation of Biotech Crops

First Generation of Biotech

Nitrogen

Yield

Drought

Farmer benefits

Second Generation of Biotech

© 2007 Monsanto Company

Without Gene With Gene

In third year field testing in U.S., drought-tolerant leads are consistently delivering higher yields compared with controls under drought-stressed conditions

2004 2005 20060

2

4

6

8

10

12

14

Yiel

d D

iffe

renc

e vs

. Co

ntro

l (Bu

/Acr

e)

NO

T TE

STED

2006 Testing:Yield Improvement of Lead Event Under Drought Stress

HYBRID 1: 2004, 4 locations 2005, 5 locations 2006, 1 location

(20 reps)

HYBRID 2: 2004, not tested 2005, 5 locations2006, 3 locations

Percent yield difference vs. control

7.3%

10.5%10.9% 23.2%

9.0%

Overcoming Insufficient Fresh Water for Crop UsageDrought Tolerant Corn

Discovery Phase 1Proof of Concept

Phase 2Early Development

Phase 3Adv. Development

Phase 4Pre-Launch

Launch

• Yield enhancement demonstrated again in 2006 under water-stress conditions in U.S.

• Lead event chosen

• 2007 trials expected to demonstrate yield enhancement in multiple hybrids under drylandconditions

© 2007 Monsanto Company

Drought Tolerant Cotton

Discovery Phase 1Proof of Concept

Phase 2Early Development

Phase 3Adv. Development

Phase 4Pre-Launch

Launch

• Drought leads advancing to greenhouse screens

• First leads in field testing are showing promise

• Up next: Continued evaluation to assess drought performance

Overcoming Insufficient Fresh Water for Crop Usage

© 2007 Monsanto Company

Building Yield Enhancement By Using Nitrogen EfficientlyNitrogen Utilization Corn Update

Discovery Phase 1Proof of Concept

Phase 2Early Development

Phase 3Adv. Development

Phase 4Pre-Launch

Launch

Industrial scale genomic efforts are generating leads

Lead events show roughly 10% yield increase in multi-location field trials under limiting nitrogen

Up Next: Optimization to improve trait performance and continued screening

These 2 events show no yield drop off as the Nitrogen application levels decrease from 180 lbs/ac to 40 lbs/ac

140

145

150

155

160

165

170

175

0

EVENT 1EVENT 2CONTROL

LEAD NITROGEN UTILIZATION

YIEL

DBU

/ACR

E

Reduction in Applied Nitrogen

40 80 180NITROGEN INPUT: LBS/ACRE

© 2007 Monsanto Company

With Three Years of Field Data, Higher-Yielding Corn Exits Proof-of-Concept for Phase 2 Development

Discovery Phase 1Proof of Concept

Phase 2Early Development

Phase 3Adv. Development

Phase 4Pre-Launch

Launch

Higher-Yielding Corn

2006 TESTING:2006 Field Results Indicate Increased Yield Versus Conventional Checks

12.1BU/AC

13.7BU/AC

15.5BU/AC

PRODUCT CONCEPT TARGET RANGE

0

2

4

6

8

10

HYBRID 1 HYBRID 2 HYBRID 3

% Y

IELD

INCR

EASE

OV

ER C

HEC

K

In 2006 field testing, lead event shows yield efficacy in different test hybrids

3 years of data demonstrate yield increase in multi-location trials with multiple hybrid combinations

Commercial transformations will be made, with further testing to select for lead events

12.1 bu/ac

13.7 bu/ac

15.5 bu/ac

© 2007 Monsanto Company

Second Generation of Biotech Crops

First Generation of Biotech

HealthierOils

Consumer benefits

FortifiedFood

Second Generation of Biotech

© 2007 Monsanto Company

Increasing Omega-3 for Health Benefits

Omega-3 & CHD Mortality

Chd

deat

hs p

er 1

00,0

00

USA

Spain

Japan

Greenland

150

100

50

0Omega-3 in diet

© 2007 Monsanto Company

Omega-3 Soybeans Have Met Early Development Targets for Food Application and Field Performance

Omega-3 Soybeans

Discovery Phase 1Proof of Concept

Phase 2Early Development

Phase 3Adv. Development

Phase 4Pre-Launch

Launch

Consistent Agronomic Performance of Omega-3 Soybeans in Field Trials

Ave

rage

Yie

ld (

bu/a

c)0

10

20

30

40

50

60

70

80

U.S. 2004

(10 Locations)

Argentina2004-2005

(12 Locations)

U.S.2005

(15 Locations)

Argentina2005-2006

(12 Locations)

U.S.2006

(16 Locations)

OMEGA-3 CONTROL

Over 5 growing seasons and 65 locations, no significant yield differences between the Omega-3 lead event and control

Represents a land-based supply of essential Omega-3 fatty acids

With soybean oil that would contain 20% stearidonic acid, the intent is for taste, shelf-life and oil stability to be as close to soybean oil as possible

© 2007 Monsanto Company

Reducing Trans Fats for Health Benefits

Reduce/eliminate trans fats with increased oil stability, requiring less hydrogenationAchieve yield parity and stack with Roundup Ready® traitReduce linolenic acid to <3%Launched in 2005

Standard Soybean

Vistive 1 - Low Lin

Vistive 2 - Low Lin - Mid Oleic

Vistive 3 - LL - MO - Low Sat

Linolenic18:3

Linoleic18:2

Oleic18:1

Sats18:0 / 16:0

™

© 2007 Monsanto Company

Vistive III Soybeans Continue to Meet Oil Composition and Yield Targets for Commercial Development

Discovery Phase 1Proof of Concept

Phase 2Early Development

Phase 3Adv. Development

Phase 4Pre-Launch

Launch

Vistive III Soybeans

2006 TESTING: Lead Events With Target Oil Composition IdentifiedDesigned to lower

linolenic and saturate content, while boosting oleic content

Phase 2 oil traits testing focuses on replicating oil-profile targets

2006 testing allowed for lead selection with multiple events hitting oil-profile targets

Oleic and Saturated Fatty Acids U.S. Field Data 2006 – 6-10 Locations

0

10

20

30

40

50

60

70

80

CONTROL EVENT 1 EVENT 2 EVENT 3

% F

ATT

Y A

CID

Oleic Acid Saturates

PRODUCT CONCEPT TARGET RANGES

In 2006 field testing, multiple events met target composition of 55-75% oleic and <7% saturates. Selection of leads is actively under way.

© 2007 Monsanto Company

Second Generation of Biotech Crops

First Generation of Biotech

Processor benefits

Feed Enhanced

Biofuel

Industrial Processes

Second Generation of Biotech

© 2007 Monsanto Company

Enhancing Essential Amino Acids in Feed

Mavera™ High Value Corn With Lysine

Discovery Phase 1Proof of Concept

Phase 2Early Development

Phase 3Adv. Development

Phase 4Pre-Launch

Launch

• Enhance level of limiting essential amino acids and corn oil content in feed• Lower cost of animal feed ration• Improve amino acid balance• Increase total energy

2nd Generation

Event 1 Event 2Control

MinimumMinimum

TargetTarget

3000

4000

5000

0

1000

20001st Generation

South America Result

US ResultControl

MinimumMinimumTargetTarget

Free

lysi

ne le

vel (

ppm

)

Phase 1Proof of Concept

Phase 4Pre-Launch

© 2007 Monsanto Company

Enhancing Oil Yield for Grain Processing

High Oil Soybeans for Processing

• Targeted to increase total product offering by improving crushing yield and meal protein content

• In 4 seasons of testing, significant oil yield advantage has been shown with high-oil gene

Discovery Phase 1Proof of Concept

Phase 2Early Development

Phase 3Adv. Development

Phase 4Pre-Launch

Launch

2006 Testing: Multi-Year Testing for Higher Oil Content

U.S. 2004(6 Locations)

Argentina 2004(11 Locations)

U.S. 2005(14 Locations)

U.S. 2006(19 Locations)

WITHOUT GENEWITH GENE

18

19

20

21

22

23

Oil

Perc

enta

ge

© 2007 Monsanto Company

Second Generation of Biotech Crops

First Generation of Biotech

Nitrogen

Yield

Drought

FarmerHealthier

Oils

Consumer

FortifiedFood

Processor

Feed Enhanced

Biofuel

Industrial Processes

Second Generation of Biotech

Insect / VirusProtection

Herbicide Tolerance

© 2007 Monsanto Company

Future Products

*Commercialization dependent on many factors, including successful conclusion of regulatory process

* Renessen is a Monsanto/Cargill joint venture

Cotton States

Roundup® Ready Flex

Germplasm Gains

BG3

Dicamba

Water usage efficiency

LygusYGVT Stacks

YGVT PRO Stacks

Renessen corn processing system*

Feed: 2nd Gen. high-value corn with lysine*

CRWIII

Yield I

Nitrogen

Drought II

ColdMavera high-value corn with lysine*

Drought I

CORN

OILSEEDS

COTTON

Omega-3

SCN

Rust

OmniSoy

Bt/RR2HBC a’

Feed: High Protein Soy*

Soy Protein

RR2Y

High Stearate

Processing: High Oil Soy*

Feed: HVS* Dicamba

Yield

Disease

RHS CanolaRR2+ Yield

Modified Oil Canola

2006 2007 2008 2009+

© 2007 Monsanto Company