Monsanto Challenges Unauthorized Use of Roundup Ready(R) Technology by DuPont
May 05 2009 - 8:30AM
PR Newswire (US)
DuPont Relying On Monsanto's Proven Technology In Attempt To Repair
Optimum(R) GAT(R) Problems ST. LOUIS, May 5, 2009
/PRNewswire-FirstCall/ -- Monsanto Company (NYSE: MON) announced
that it filed suit yesterday in federal court in St. Louis against
E.I. du Pont de Nemours and Company and its wholly owned
subsidiary, Pioneer Hi-Bred International, Inc., to prevent
unlawful use of Monsanto's proprietary Roundup Ready(R) herbicide
tolerant technologies in soybeans and corn. "As the saying goes,
imitation is the sincerest form of flattery," said Hugh Grant,
Monsanto Chief Executive Officer. "However, unlawfully taking
technology is neither imitation nor flattery; it is unethical and
wrong. A true technology company respects patents and its
contractual agreements and delivers new products through its own
innovation and honest collaboration. DuPont has failed on all
counts." Pioneer, like hundreds of other seed companies, has the
right to sell soybeans and corn with the Roundup Ready trait. For
several years, Pioneer publicly touted plans to replace Monsanto's
Roundup Ready trait with DuPont's claimed glyphosate tolerant
Optimum(R) GAT(R) trait. However, Pioneer has recently admitted
that the Optimum GAT trait when used alone presents unacceptable
risks to farmers. In an effort to repair these deficiencies,
Pioneer is misusing the Roundup Ready trait to mask problems with
their Optimum GAT trait. This violates Monsanto's contract rights
and U.S. patents. This suit insists that DuPont honor their
agreements and respect patented technologies. This is not the first
time that Monsanto has had to file litigation against Pioneer for
breaches of their contractual obligations with Monsanto. In a
previous case involving Monsanto's YieldGard(R) Corn Borer trait,
it was determined by the Court that Pioneer had breached its
license and improperly used Monsanto's patented technology. After
that case, in which Monsanto prevailed, an agreement was reached in
which Pioneer was able to continue licensed use of Monsanto's
technology. As in this previous case, Monsanto is confident once
again that it will prevail. True inventions will be critical to
meeting future global food demand. Experts now predict our planet
will need to double agricultural output by 2050 to feed a growing
population. Protecting inventions and respecting contracts are
critical to driving broad investment to meet this challenge.
Monsanto's investment in innovation is clear and consistent. It is
presently delivering to farmers two game-changing technologies that
will help achieve higher yields, in Genuity(TM) Roundup Ready 2
Yield(TM) in soybeans and SmartStax(TM) in corn. About Monsanto
Company Monsanto Company 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:
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 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; 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 reports on Forms 10-Q and 10-K. 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.
CONTACT: Media: Ben Kampelman (314-694-6192) Investors: Scarlett
Foster (314-694-8148) DATASOURCE: Monsanto CONTACT: Media, Ben
Kampelman, +1-314-694-6192, or Investors, Scarlett Foster,
+1-314-694-8148, both of Monsanto Web Site:
http://www.monsanto.com/
Copyright