PHC.L Regulatory News (PHC)

21 Feb 2008 07:01

Plant Health Care PLC21 February 2008 Embargoed for release: 07.00, 21 February 2008 Plant Health Care ("PHC") Statement regarding a Monsanto announcement Plant Health Care (AIM: PHC.L), a leading provider of natural products forplants and soil, would like to draw investors' attention to an announcementissued by Monsanto on 20 February 2008. The announcement refers to PHC in twoparagraphs (see below) and PHC confirms that the Monsanto release is entirely inline with the PHC release dated 12 December. The Monsanto announcement is set out in full below. "NEW YORK, Feb. 20 Monsanto (NYSE: MON) Company's technologies have placed it ina unique position to help farmers meet the changing supply-demand patterns ofglobal agriculture, Monsanto's Executive Vice President of Strategy andOperations, Carl Casale, will tell investors tomorrow. Casale will deliver hisremarks as part of a presentation at the Morgan Stanley Basic MaterialsConference 2008 on Thursday in New York. Casale's presentation will discuss how there has been a fundamental shift in theagricultural landscape creating a new demand-driven agriculture market fueled bythree main factors. These factors include increased protein demand from risingincomes, demand for grain from China and biofuels. "The real demand pull comes from China," Casale said. "To meet the proteindemands of this growing population, China will look outside of its agriculturalsector, providing an enormous demand pull for grain over the next decade." "The solution to meeting these demands is yield," Casale said. "In ademand-driven environment opportunity is defined by scarcity or innovation," hesaid. "Monsanto's strategy is targeted on innovation -- discovering anddeveloping technology that is game changing." Casale believes the company's innovation focus sets it apart, both in the valuecreated for farmers and the company's strategic opportunity. "We will growbecause of what we do, how we invest and what we deliver -- not because of whatthe commodity cycles do," he said. Casale believes that the company's ability to provide technology to boostper-acre productivity will be key to helping farmers meet the needs of ademand-driven market. These potential technologies, like Roundup Ready 2 Yieldsoybeans, SmartStax corn and nitrogen-utilization corn are being developed todrive yields to meet these demands, he said. Monsanto Establishes Global Seed Treatment Platform As a technology company with strong cash generation, Monsanto has theopportunity to invest in growth areas for agriculture, Casale said. As part of his presentation, Casale will announce that Monsanto is establishinga global seed treatment platform. The company has entered into separateagreements with Becker Underwood and Plant Health Care Inc., as novel componentsof the platform for delivering proprietary seed treatments for corn, soybeansand cotton. The global platform is a natural complement to the company's seed strategy andyield-enhancing technology pioneered by Monsanto through biotechnology andbreeding, as well as its collaborative approach to new technologies, Casalesaid. "As we develop our seed-treatment platform, we're planning to stake a leadingposition in an underserved, but emerging category and to enter into a variety oflicensing and supply agreements," Casale said. "Seed treatments are the nextstep in yield protection and delivery, and represent a high-margin globalopportunity." The global seed treatment industry generates annual sales of greater than $1.5billion, with almost $900 million in the crops key to Monsanto's business.Currently, Monsanto treats more than 1 billion pounds of seed each year and seesthe potential to expand treatment to new crops and new geographies, Casale said. "The realizable yield in seeds is so valuable to farmers that seed treatmentsare the next logical complement to further protect yield created by advancedbreeding and biotech traits," said Casale. Monsanto plans to begin offering seed treatments as early as the 2009 season. In2009, Monsanto plans to treat all Roundup Ready 2 Yield soybeans with aproprietary treatment, aimed at incremental yield boost in soybeans. Similarlyin 2010, Monsanto plans to have a proprietary seed treatment for the launch ofits SmartStax corn product, and the company is also working to have a seedtreatment solution for its Deltapine cotton varieties by 2011. The agreement between Monsanto and Becker Underwood is focused on evaluating abiological seed treatment aimed at helping soybeans improve both their nitrogenfixation ability and overall plant performance. Monsanto is also working withPlant Health Care Inc. to develop and commercialize a novel seed-based solutionfor nematodes, a plant parasite that can severely limit crop yields around theworld in crops such as corn, soybeans, cotton and vegetables. Casale's presentation slides and simultaneous audio webcast of the presentationmay be accessed by visiting the company's web site athttp://www.monsanto.com/investors . Following tomorrow's live broadcast set for 8 a.m. ET, a replay ofthe webcast will be available for two weeks through this same link. Monsanto Company is a leading global provider of technology-based solutions andagricultural products that improve farm productivity and food quality." Forinformation on Monsanto, see: http://www.monsanto.com/. 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 andfinancial plans and other non-historical facts. These statements are based oncurrent expectations and currently available information. However, since thesestatements are based on factors that involve risks and uncertainties, thecompany's actual performance and results may differ materially from thosedescribed or implied by such forward-looking statements. Factors that couldcause or contribute to such differences include, among others: continuedcompetition in seeds, traits and agricultural chemicals; the company's exposureto various contingencies, including those related to intellectual propertyprotection, regulatory compliance and the speed with which approvals arereceived, and public acceptance of biotechnology products; the success of thecompany's research and development activities; the outcomes of major lawsuits,including proceedings related to Solutia Inc.; developments related to foreigncurrencies and economies; successful operation of recent acquisitions;fluctuations in commodity prices; compliance with regulations affecting ourmanufacturing; the accuracy of the company's estimates related to distributioninventory levels; the company's ability to fund its short-term financing needsand to obtain payment for the products that it sells; the effect of weatherconditions, natural disasters and accidents on the agriculture business or thecompany's facilities; and other risks and factors detailed in the company's mostrecent periodic report to the SEC. Undue reliance should not be placed on theseforward-looking statements, which are current only as of the date of thisrelease. The company disclaims any current intention or obligation to update anyforward-looking statements or any of the factors that may affect actual results. CONTACT: media, Lee Quarles, +1-314-694-2330, or investors, Scarlett LeeFoster, +1-314-694-8148, both of Monsanto Web site: http://www.monsanto.com/ For further information please visit www.planthealthcare.com or contact: Plant Heath Care plc Evolution Securities Tavistock Limited CommunicationsJohn Brady, Chief Executive Tim Worlledge/Tim Jeremy Carey/Matt Redfern RidsdaleTel: 001 603 525 3702 Tel: 020 7071 4300 Tel: 020 7920 3150 This information is provided by RNS The company news service from the London Stock Exchange