Market Snapshot
  • U.S.
  • Europe
  • Asia
Ticker Volume Price Price Delta
DJIA 16,408.54 -16.31 -0.10%
S&P 500 1,864.85 2.54 0.14%
NASDAQ 4,095.52 9.29 0.23%
Ticker Volume Price Price Delta
STOXX 50 3,155.81 16.55 0.53%
FTSE 100 6,625.25 41.08 0.62%
DAX 9,409.71 91.89 0.99%
Ticker Volume Price Price Delta
NIKKEI 14,516.27 98.74 0.68%
TOPIX 1,173.37 6.78 0.58%
HANG SENG 22,760.24 64.23 0.28%

DuPont and Monsanto Reach Technology Licensing Agreements on Next-Generation Soybean Technologies



 DuPont and Monsanto Reach Technology Licensing Agreements on Next-Generation
                             Soybean Technologies

PR Newswire

WILMINGTON, Del. and ST. LOUIS, March 26, 2013

WILMINGTON, Del. and ST. LOUIS, March 26, 2013 /PRNewswire/ -- DuPont and
Monsanto announced today a series of technology licensing agreements that will
expand the range of seed products they can offer farmers.  The agreements
include a multi-year, royalty-bearing license for Monsanto's next-generation
soybean technologies in the United States and Canada. 

Through these agreements, DuPont Pioneer will be able to offer Genuity^®
Roundup Ready 2 Yield^® soybeans as early as 2014, and Genuity^® Roundup Ready
2 Xtend™ glyphosate and dicamba tolerant soybeans as early as 2015, pending
regulatory approvals.

DuPont Pioneer also will receive regulatory data rights for the soybean and
corn traits previously licensed from Monsanto, enabling it to create a wide
array of stacked trait combinations using traits or genetics from DuPont
Pioneer or others.  Monsanto will receive access to certain DuPont Pioneer
disease resistance and corn defoliation patents. 

"This technology exchange helps both companies to expand the range of
innovative solutions we can offer farmers, and to do so faster than either of
us could alone," said DuPont Pioneer President Paul E. Schickler.  "The
agreements broaden the Pioneer soybean line-up. Importantly, they give us
greater flexibility in developing combinations of genetics and traits to help
feed an increasingly crowded planet." 

Schickler reaffirmed DuPont's existing financial growth commitments for its
Agriculture segment.

"We've always agreed that technological innovation and farmer choice are
essential to agriculture, and this agreement endorses the value of our
next-generation soybean technologies," said Brett Begemann, Monsanto president
and chief commercial officer.  "This signals a new approach to our companies
doing business together, allowing two of the leaders in the industry to focus
on bringing farmers the best products possible while working to advance
innovation and long-term opportunity for agriculture."

Under these agreements, DuPont Pioneer will make a series of upfront and
variable based royalty payments subject to future delivery of enabling soybean
genetic material.  It will make four annual fixed royalty payments from 2014
to 2017 totaling $802 million for trait technology, associated data, and
soybean lines to support commercial introduction.  Additionally, beginning in
2018, DuPont Pioneer will pay royalties on a per unit basis of Genuity Roundup
Ready 2 Yield^® and Genuity Roundup Ready 2 Xtend™ for the life of the
agreement for continued technology access, subject to annual minimum payments
through 2023 totaling $950 million.  DuPont is filing a Form 8-K containing
additional information about the impact of these agreements on the company.  A
copy of the 8-K is available on the DuPont Investor Center at
www.investors.dupont.com. 

DuPont and Monsanto also agreed to dismiss their respective antitrust and
first-generation Roundup Ready^® soybean patent lawsuits pending in U.S.
federal court in St. Louis.

Additional terms of the agreements were not disclosed.

DuPont (NYSE: DD) has been bringing world-class science and engineering to the
global marketplace in the form of innovative products, materials, and services
since 1802.  The company believes that by collaborating with customers,
governments, NGOs, and thought leaders we can help find solutions to such
global challenges as providing enough healthy food for people everywhere,
decreasing dependence on fossil fuels, and protecting life and the
environment.  For additional information about DuPont and its commitment to
inclusive innovation, please visit www.dupont.com.

Monsanto Company (NYSE: MON) is a leading global provider of technology-based
solutions and agricultural products that improve farm productivity and food
quality.  Monsanto remains focused on enabling both small-holder and
large-scale farmers to produce more from their land while conserving more of
our world's natural resources such as water and energy.  To learn more about
our business and our commitments, please visit: www.monsanto.com.  Follow our
business on Twitter® at www.twitter.com/MonsantoNews, on the company blog,
Beyond the Rows® at www.monsantoblog.com, or subscribe to our News Release RSS
Feed.

Cautionary Statements Regarding Forward-Looking Information:
DuPont: This news release contains forward-looking statements based on
management's current expectations, estimates and projections. All statements
that address expectations or projections about the future, including
statements about the company's strategy for growth, product development,
market position, expected expenditures and financial results are
forward-looking statements. Some of the forward-looking statements may be
identified by words like "expects," "anticipates," "plans," "intends,"
"projects," "indicates," and similar expressions. These statements are not
guarantees of future performance and involve a number of risks, uncertainties
and assumptions. Many factors, including those discussed more fully elsewhere
in this release and in documents filed with the Securities and Exchange
Commission by DuPont, particularly its latest annual report on Form 10-K and
quarterly report on Form 10-Q, as well as others, could cause results to
differ materially from those stated. These factors include, but are not
limited to changes in the laws, regulations, policies and economic conditions,
including inflation, interest and foreign currency exchange rates, of
countries in which the company does business; competitive pressures;
successful integration of structural changes, including restructuring plans,
acquisitions, divestitures and alliances; cost of raw materials, research and
development of new products, including regulatory approval and market
acceptance; seasonality of sales of agricultural products; and severe weather
events that cause business interruptions, including plant and power outages,
or disruptions in supplier and customer operations. The company undertakes no
duty to update any forward-looking statements as a result of future
developments or new information.

Monsanto: 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 acceptance of biotechnology products;
the success of the company's research and development activities; the outcomes
of major lawsuits and the previously-announced SEC investigation; developments
related to foreign currencies and economies; successful operation of recent
acquisitions; fluctuations in commodity prices; compliance with regulations
affecting our manufacturing; the accuracy of the company's estimates related
to distribution inventory levels; 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 and accidents on the
agriculture business or the company's facilities; and other risks and factors
detailed in the company's most recent Form 10-K 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.

Genuity^® Roundup Ready 2 Yield^®, Genuity^® Roundup Ready 2 Xtend™ are
trademarks or registered trademarks of Monsanto.

SOURCE DuPont; Monsanto Company

Website: http://www.dupont.com
Contact: Michael J. Hanretta, DuPont, 302-774-4005,
michael.j.hanretta@dupont.com; Kelli Powers, Monsanto, 314-694-4003,
kelli.powers@monsanto.com
Sponsored Links
Advertisement
Advertisements
Sponsored Links
Advertisement